Notes to Accounts of Simplex Mills Company Ltd.

Mar 31, 2025

(xii) Provisions and Contingent Liabilities:

The Company recognizes a provision when there is a present obligation (legal or constructive) as a result of
a past event and it is probable that an outflow of resources embodying economic benefits will be required to
settle the obligation and a reliable estimate can be made of the amount of the obligation.

Contingent liabilities are disclosed when there is a possible obligation arising from past events the
existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain
future events not wholly within the control of the Company or a present obligation that arises from past
events where it is either not probable that an outflow of resources will be required to settle the obligation or a
reliable estimate of the amount cannot be made.

(xiii) Eamings Per Share:

Basic earnings per share is calculated by dividing the profit / (loss) attributable to the equity shareholders by
weighted average number of equity shares outstanding during the year.

For the purpose of calculating diluted earnings per share, the net profit / (loss) 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.

(xiv) Investments:

Long-term investments are valued at cost less provision for impairment in value of such investments.

(a) USE OF ESTIMATES AND JUDGEMENTS

The preparation of financial statements in conformity with Ind AS requires management to make judgments,
estimates and assumptions that affect the reported amounts of assets, liabilities, income, expenses and
disclosures of contingent liabilities at the reporting date. However, uncertainty about these assumptions
and estimates could result in outcomes that require a material adjustment to the carrying amount of the
asset or liability affected in future periods.

Estimates and underlying assumptions are reviewed at each reporting date. Any revision to accounting
estimates and assumptions are recognised prospectively i.e. recognised in the period in which the estimate
is revised and future periods affected.

GENERAL RESERVE

General Reserve is used to represent amounts transferred from Retained Earnings for appropriation purpose as
per the requirements of the erstwhile Companies Act, 1956. This General Reserve includes the amount credited
as per the scheme of arrangement in earlier year. The reserve can be utilised in accordance with the provisions of
the Act.

CAPITAL RESERVE

On consolidation of shares , fractioanal amount was transferred to Capital Reserve

c. 90,00,000 Non-cumulative redeemable preference shares of '' 10/- each are redeemable at face value within
20 years from the date of allotment i.e. 20.11.2018.

d. Rights and restrictions to NCRPS

NCRPS of the Company have priority over the equity shares of the Company i) for receiving dividend if
declared and paid ii) for repayment of capital in the event of liquidation of the Company in proportion to their
holding.

27. The net worth of the Company has been fully eroded due to continuous losses. During the year, the Company has
trading activity in clothes. Further, the Management is in the process of evaluating other options and accordingly,
the accounts have been prepared on going concern basis.

28. The Company has not received any intimation from “suppliers” regarding their status under the Micro, Small and
Medium Enterprises Development Act, 2006 and hence disclosures, if any, relating to amounts unpaid as at the
year end together with interest paid/payable as required under the said Act have not been given.

29. As there are only two employee in the Company as at the Balance Sheet date and have not completed required
minimum period to become eligible for retirement benefits, accordingly, the provisions relating to Ind As 19
Employee Benefits, are not applicable.

30. Earnings Per Share - (EPS) is calculated by dividing the profit / (loss) attributable to the equity share holders by
weighted average number of equity shares outstanding during the year.

For the purpose of calculating diluted earnings per share, the net profit or loss for the period attributable to equity
shareholders and the weighted average number of shares outstanding during the period is adjusted for the
effects of all dilutive potential equity shares, except when the results would be anti-dilutive.

b) Fair value hierarchy and Method of valuation

The Company considers that the carrying value amount recognised in the financial statements approximate
their fair value largely due to the short term maturities of these instruments.

c) Risk management framework

The Company''s principal financial liabilities includes borrowings, trade and other payables. The Company''s
principal financial assets include loans, trade receivables, cash and cash equivalents and others. The
Company is exposed to credit risk,liquidity risk and market risk. The Company’s senior managment oversees
the management of these risks. The Company''s senior management provides assurance that the Company''s
financial risk activities are governed by appropriate policies and procedures and that financial risks are
identifed, measured and managed in accordance with the Company''s policies and risk objectives.

d) Financial Risk Management

The Company has exposure to the following risks arising from financial instruments:

i) Credit Risk

ii) Liquidity Risk

iii) Market Risk

i) Credit Risk

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

The carrying amount of following financial assets represents the maximum credit exposure:

Trade receivables

The Company’s exposure to credit risk is influenced mainly by the individual characteristics of each
customer. Each outstanding customer receivables are regularly monitored and if outstanding is above
due date the further sales are controlled and can only be released if there is a proper justification.

No impairment is observed on the carrying value of trade receivables.

Other financial assets

Credit risk from balances with banks, loans is managed by responsible and authorised person of the
Company. Investments of surplus funds are made only with approved counterparties.

ii) Liquidity Risk

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

The Management monitors rolling forecasts of the Company''s liquidity position on the basis of
expected cash flows.The Company’s objective is to maintain a balance between continuity of funding
and flexibility through the use of surplus funds and inter-corporate loans.

Exposure to liquidity risk

iii) Market Risk

Market risk is the risk that changes in market prices such as foreign exchange rates, interest rates and
commodity prices which will affect the Company’s income or the value of its holdings of financial
instruments. The objective of market risk management is to manage and control market exposures within
acceptable parameters, while optimising the return.

Currency risk

There is no currency risk to the Company, as the Company''s primary business activities are within India
and does not have any exposure in foreign currency.

Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate
because of changes in market interest rates. The Company''s exposure to risk of changes in market
interest rate is not material as the Company has not taken any loan from outside.

The Company does not account for any fixed rate financial assets and liabilities at fair value through profit
or loss. Therefore, a change in interest rate at the reporting date would not affect profit or loss.

Commodity price risk

Exposure to market risk with respect to commodity prices arises from the cost of procurement of traded
goods and this price may be influenced by factors such as demand and supply, production cost. The
Company does not buy any new material, if it can not be sold to the customers above the cost of
procurment.

34. CAPITAL MANAGEMENT

The capital structure of the Company consists of net debt and the total equity of the Company. For this purpose,
net debt is defined as total borrowings less cash and cash equivalents. The net worth of the Company has been
fully eroded.

The funding requirements are met through short-term/long-term borrowings. The Company monitors the capital
structure on the basis of total debt to equity ratio and maturity profile of the overall debt portfolio of the Company.

The Company''s net debt to equity ratio is as follows:

37. There are no transactions and balances with companies struck off under Section 248 of the Companies Act, 2013
or Section 560 of the erstwhile Companies Act, 1956.

38. The Financial Statements of the Company for the year ended 31st March, 2025 were approved by the Board of
Directors on 20th May, 2025.

39. Previous year’s figures have been reclassified, wherever necessary, to conform current year’s presentation.

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

For Khandelwal and Mehta LLP Fatima Fernandes Sita S_unil

Chartered Accountants Chief Executive Officer and Di_rect_or

Firm''s Registration No. W100084 Chief Financial Officer DIN_:00041722

Sunil Khandelwal K_a lyan i N at_eka_r Shekh ar R Singh

^Partner Co m pa n y Secretary and Director

Membership No.101388 Compliance Officer DIN:03357281

Mumbai, 20th May, 2025 Mumbai, 20th May, 2025

---

Mar 31, 2024

(xii) Provisions and Contingent Liabilities:

The Company recognizes a provision when there is a present obligation (legal or constructive) as a result of
a past event and it is probable that an outflow of resources embodying economic benefits will be required to
settle the obligation and a reliable estimate can be made of the amount of the obligation.

Contingent liabilities are disclosed when there is a possible obligation arising from past events the
existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain
future events not wholly within the control of the Company or a present obligation that arises from past
events where it is either not probable that an outflow of resources will be required to settle the obligation or a
reliable estimate of the amount cannot be made.

(xiii) Eamings Per Share:

Basic earnings per share is calculated by dividing the profit / (loss) attributable to the equity shareholders by
weighted average number of equity shares outstanding during the year.

For the purpose of calculating diluted earnings per share, the net profit / (loss) 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.

(xiv) Investments:

Long-term investments are valued at cost less provision for impairment in value of such investments.

1 (a) USE OF ESTIMATES AND JUDGEMENTS

The preparation of financial statements in conformity with Ind AS requires management to make judgments,
estimates and assumptions that affect the reported amounts of assets, liabilities, income, expenses and
disclosures of contingent liabilities at the reporting date. However, uncertainty about these assumptions
and estimates could result in outcomes that require a material adjustment to the carrying amount of the
asset or liability affected in future periods.

Estimates and underlying assumptions are reviewed at each reporting date. Any revision to accounting
estimates and assumptions are recognised prospectively i.e. recognised in the period in which the estimate
is revised and future periods affected.

CAPITAL RESERVE

This includes the amount of backward area incentive received by the Company. The reserve can be utilised in
accordance with the applicable provisions.

GENERAL RESERVE

General Reserve is used to represent amounts transferred from Retained Earnings for appropriation purpose as
per the requirements of the erstwhile Companies Act, 1956. This General Reserve includes the amount credited
as per the scheme of arrangement in earlier year. The reserve can be utilised in accordance with the provisions of
the Act.

24. The net worth of the Company has been fully eroded due to continuous losses. During the year, the Company has
trading activity in clothes. Further, the Management is in the process of evaluating other options and accordingly,
the accounts have been prepared on going concern basis.

25. The Company has not received any intimation from “suppliers” regarding their status under the Micro, Small and
Medium Enterprises Development Act, 2006 and hence disclosures, if any, relating to amounts unpaid as at the
year end together with interest paid/payable as required under the said Act have not been given.

26. As there is only one employee in the Company as at the Balance Sheet date and have not completed required
minimum period to become eligible for retirement benefits, accordingly, the provisions relating to Ind As 19
Employee Benefits, are not applicable.

27. Earnings Per Share - (EPS) is calculated by dividing the profit / (loss) attributable to the equity share holders by
weighted average number of equity shares outstanding during the year.

For the purpose of calculating diluted earnings per share, the net profit or loss 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, except when the results would be anti-dilutive.

‘During the year, the effect of National Company Law Tribunal (NCLT) order for consolidation of equity shares of
face value from '' 10/- to '' 1,000/- per share has been given and the BSE Limited (i.e. stock exchange where the
Company''s shares are listed) has allowed trading of equity shares of the Company having face value of '' 1,000/-
each share w.e.f. 22nd June, 2023. As per the NCLT order, 75 equity shares of face value of '' 10/- have been
cancelled and the same has been adjusted in Capital Reserve. After consolidation, paid up equity share capital of
the Company is '' 300.04 lakhs having 30,004 equity shares of face value of ''1,000/- each.

The basic and diluted EPS for the prior year have been restated considering the face value of '' 1,000/- each in
accordance with Ind AS 33 - “Earnings per Share” on account of consolidation of the equity shares of face value
of '' 10/- each into equity shares of face value for '' 1,000/- each.

28. The Company’s activities are classified as belonging to a single business segment of trading of textile products.
The Company’s operations are largely limited to India.

b) Fair value hierarchy and Method of valuation

The Company considers that the carrying value amount recognised in the financial statements approximate
their fair value largely due to the short term maturities of these instruments.

c) Risk management framework

The Company''s principal financial liabilities includes borrowings, trade and other payables. The Company''s
principal financial assets include loans, trade receivables, cash and cash equivalents and others. The
Company is exposed to credit risk,liquidity risk and market risk. The Company’s senior management oversees

the management of these risks. The Company''s senior management provides assurance that the Company''s
financial risk activities are governed by appropriate policies and procedures and that financial risks are
identified, measured and managed in accordance with the Company''s policies and risk objectives.

d) Financial Risk Management

The Company has exposure to the following risks arising from financial instruments:

i) Credit Risk

ii) Liquidity Risk

iii) Market Risk

i) Credit Risk

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

The carrying amount of following financial assets represents the maximum credit exposure:

Trade receivables

The Company’s exposure to credit risk is influenced mainly by the individual characteristics of each
customer. Each outstanding customer receivables are regularly monitored and if outstanding is above
due date the further sales are controlled and can only be released if there is a proper justification.

No impairment is observed on the carrying value of trade receivables.

Other financial assets

Credit risk from balances with banks, loans is managed by responsible and authorised person of the
Company. Investments of surplus funds are made only with approved counterparties.

ii) Liquidity Risk

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

The Management monitors rolling forecasts of the Company''s liquidity position on the basis of expected
cash flows. The Company’s objective is to maintain a balance between continuity of funding and flexibility
through the use of surplus funds and inter-corporate loans.

iii) Market Risk

Market risk is the risk that changes in market prices such as foreign exchange rates, interest rates and
commodity prices which will affect the Company’s income or the value of its holdings of financial
instruments. The objective of market risk management is to manage and control market exposures within
acceptable parameters, while optimising the return.

Currency risk

There is no currency risk to the Company, as the Company''s primary business activities are within India
and does not have any exposure in foreign currency.

Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate
because of changes in market interest rates. The Company''s exposure to risk of changes in market
interest rate is not material as the Company has not taken any loan from outside.

The Company does not account for any fixed rate financial assets and liabilities at fair value through profit
or loss. Therefore, a change in interest rate at the reporting date would not affect profit or loss.

Commodity price risk

Exposure to market risk with respect to commodity prices arises from the cost of procurement of traded
goods and this price may be influenced by factors such as demand and supply, production cost. The
Company does not buy any new material, if it can not be sold to the customers above the cost of
procurement.

31. CAPITAL MANAGEMENT

The capital structure of the Company consists of net debt and the total equity of the Company. For this purpose,
net debt is defined as total borrowings less cash and cash equivalents. The net worth of the Company has been
fully eroded.

The funding requirements are met through short-term/long-term borrowings. The Company monitors the capital
structure on the basis of total debt to equity ratio and maturity profile of the overall debt portfolio of the Company.

32. CORPORATE SOCIAL RESPONSIBILITY

During the year, the Company was not required to spend any money as per the provision of Section 135 of the
Companies Act, 2013 towards Corporate Social Responsibility (CSR) activities.

Gross amount required to be spent by the Company during the year '' Nil (previous year Nil )

34. There are no transactions and balances with companies struck off under Section 248 of the Companies Act, 2013
or Section 560 of the erstwhile Companies Act, 1956.

35. The Financial Statements of the Company for the year ended 31st March, 2024 were approved by the Board of
Directors on 17th May, 2024.

36. Previous year’s figures have been reclassified, wherever necessary, to conform current year’s presentation.

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

For Khandelwal and Mehta LLP Fatima Fernandes Sabhapati G Shukla

Chartered Accountants Chief Executive Officer and Director

Firm''s Registration No. W100084 Chief Financial Officer DIN:02799713

Sunil Khandelwal S hekh ar R Singh

Partner Director

Membership No.101388 DIN_:03357281

Mumbai, 17th May, 2024 Mumbai, 17th May, 2024

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Mar 31, 2015

1. CORPORATE INFORMATION

Simplex Mills Company Limited ("the Company") is in manufacturing of cotton yarn and industrial fabrics and trading in textile products (i.e. cloths). The Company is a Public Limited Company and is listed on BSE Limited.

2. SHARE CAPITAL

a. Terms/rights attached to the equity shares

The Company has one class of equity shares having a par value of Rs. 10/- per share. Each holder of equity shares is entitled to one vote per share. In the event of liquidation of the Company, the holders of the equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts, in proportion to their shareholding.

3. Retirement benefit plans

As per Accounting Standard 15 "Employee benefits", the disclosures as defined in the Accounting Standard are given below:

I) Defined Contribution Plan

a) Provident Fund

b) Pension Scheme 1995

II) Defined Benefit Plans

a) Contribution to Gratuity Fund (Non-Funded)

b) Leave Encashment (Non-Funded)

4. Contingent Liabilities :

Claims against the Company not acknowledged as debt: (In Rs. ) 31.03.2015 31.03.2014

Appeals filed in respect of disputed demands:

i) Central Excise 3,03,04,158 3,03,04,158

ii) Labour Matters 1,06,46,115 5,74,290

5. Estimated amount of contracts remaining to be executed on capital account and not provided for Rs. 2,85,99,008/- (net of advances) (Previous year Rs. 2,85,99,008/-).

6. During the year, the Company has received permission for closure of its Akola Plant under Section 25-O of the Industrial Disputes Act, 1947 from the Honb'le Industrial Court and accordingly, closure compensation to the workers and staff of the Company was paid. The total closure compensation paid to the workers and staff was Rs. 4,85,13,118/- which has been shown as exceptional item. Consequent upon the said event, the net worth of the Company has been fully eroded. However, the Management is in the process of evaluating viable textile business options and accordingly, the accounts have been prepared on going concern basis.

7. The Company has not received any intimation from "suppliers" regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006 and hence disclosures, if any, relating to amounts unpaid as at the year end together with interest paid/payable as required under the said Act have not been given.

8. During the year, the Company has provided depreciation as per the provision of Schedule II to the Companies Act, 2013 ("the Act") based on the remaining useful life of the assets and consequently, in case of the assets which have completed their useful lives as prescribed under Schedule II to the Act, the carrying value (net of residual value) as at 01st April, 2014 amounting to Rs. 3,29,80,891/- has been transferred to the retained earnings and in case of other assets, the carrying value (net of residual value) is being depreciated over the revised remaining useful lives. As a result of the above, depreciation for the current year is higher by Rs. 9,09,607/-.

9. During the year under review, the Company has sold the Plant and Machinery along with the other fixed assets and made a net profit of Rs. 5,13,137/- the same has been disclosed as an exceptional item.

10. Earnings per Share - (EPS) is calculated by dividing the profit/(loss) attributable to the equity share holders by weighted average number of equity shares outstanding during the year.

11. The Company's activities are classified as belonging to a single business segment of manufacture and trading in yarns, textiles and textile products. The Company's operations are largely limited to India.

12. Previous year's figures

The previous year's figures have been reclassified, wherever necessary, to conform current year's presentation.

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Mar 31, 2014

CORPORATE INFORMATION

Simplex Mills Company Limited ("the Company") is in manufacturing of cotton yarn and industrial fabrics and trading in textile products (i.e. cloths). The Company is a Public Limited Company and is listed on BSE Limited.

1. Contingent Liabilities :

Claims against the Company not acknowledged as debt: (In Rs.)

31.03.2014 31.03.2013

Appeals filed in respect of disputed demands:

i) Central Excise 3,03,04,158 5,51,42,947

ii) Labour Matters 5,74,290 5,74,290

2. Estimated amount of contracts remaining to be executed on capital account and not provided for Rs. 2,85,99,008/- (net of advances) (Previous year Rs. 2,85,99,008/-).

3. The Company has received permission for closure of its Akola Plant under Section 25-O of the Industrial Disputes Act 1947. The labour union was in appeal against the order and now union has filed an application for passing suitable order and the said application has been allowed in the operative part of award by the Tribunal. Accordingly, the Company has offered voluntary retirement under Voluntary Retirement Scheme and effect of the order of the Tribunal will be given after full order is received by the Company.

4. The Company has not received any intimation from "suppliers" regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006 and hence disclosures, if any, relating to amounts unpaid as at the year end together with interest paid/payable as required under the said Act have not been given.

5. Earnings per Share (EPS) is calculated by dividing the profit/(loss) attributable to the equity share holders by weighted average number of equity shares outstanding during the year.

For the purpose of calculating diluted earnings per share, the net profit or loss for the period attributable to equity shareholders and the weighted average number of shares outstanding during the period is adjusted for the effects of all dilutive potential equity shares, except when the results would be anti-dilutive.

6. The Company''s activities are classified as belonging to a single business segment of manufacture and trading in yarns, textiles and textile products. The Company''s operations are largely limited to India.

7. Previous year figures

The previous year''s figures have been reclassified, wherever necessary to conform current year''s presentation.

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Mar 31, 2013

CORPORATE INFORMATION

Simplex Mills Company Limited (the Company) is in manufacturing of cotton yarn and industrial fabrics and trading in textile products (i.e. cloths). The Company is a Public Limited Company and is listed on BSE Limited.

1. Contingent liabilities not provided for:

(In Rs.)

Particulars 31.03.2013 31.03.2012

Appeals filed in respect of disputed demands:

i) Central Excise 5,51,42,947 5,51,42,947

ii) Labour Matters 5,74,290 3,09,000

2. Estimated amount of contracts remaining to be executed on capital account and not provided for Rs. 2,85,99,008/- (net of advances) (Previous year Rs. 2,85,99,008/-).

3. The Company has not received any intimation from "suppliers" regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006 and hence disclosures, if any, relating to amounts unpaid as at the year end together with interest paid/payable as required under the said Act have not been given.

4. Earnings per Share (EPS) is calculated by dividing the profit / (loss) attributable to the equity share holders by weighted average number of equity shares outstanding during the year.

For the purpose of calculating diluted earnings per share, the net profit or loss for the period attributable to equity shareholders and the weighted average number of shares outstanding during the period is adjusted for the effects of all dilutive potential equity shares, except when the results would be anti-dilutive.

5. The Company''s activities are classified as belonging to a single business segment of manufacture and trading in yarns, textiles and textile products. The Company''s operations are largely limited to India.

6. Previous year figures:

The financial statements for the year ended 31st March, 2013 are prepared as per Revised Schedule VI. The previous year figures have been reclassified to conform to this year''s classification, wherever necessary to conform current year''s presentation.

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Mar 31, 2012

CORPORATE INFORMATION

Simplex Mills Company Limited ("The Company") is in manufacturing of cotton yarn and industrial fabrics and also in trading of clothes. The Company is a Public Limited Company and is listed on BSE Limited.

a. Terms/rights attached to the equity shares

The Company has one class of equity shares having a par value of Rs 10/- per share. Each holder of equity shares is entitled to one vote. In the event of liquidation of the company, the holders of the equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts, in proportion to their shareholding.

Mode of Valuation

Stores and spare parts are valued at cost. Process stock is valued at estimated cost. Raw materials are valued at cost or market rate, whichever is lower. Finished products and waste are valued at cost or market rate whichever is lower, whereas the sold quantity is valued at contract rates. (Cost includes direct cost and overheads). Cost of finished goods and work in process is ascertained by applying the absorption cost basis.

I) Defined Contribution Plan

a) Provident fund

b) Pension fund

The Company has recognized the following amounts in the statement of Profit and Loss which are included under Contribution to Provident and other funds:

II) Defined Benefit Plans

a) Contribution to gratuity fund (Non-funded)

b) Leave encashment (Non-funded)

In accordance with the Accounting Standard (AS 15) (Revised 2005) Employee Benefits, actuarial valuation was done in respect of the aforesaid defined benefit plans of gratuity and leave encashment based on the following assumptions:

1. Contingent liabilities not provided for :

(In Rs)

Particulars 31.03.2012 31.03.2011

a) Appeals filed in respect of disputed demands:

i) Central Excise 5,51,42,947 5,51,42,947

ii) Labour Matters 3,09,000 3,84,000

b) Bank Guarantee - 5,00,000

2. Estimated amount of contracts remaining to be executed on capital account and not provided for Rs 2,85,99,008/- (net of advances) (Previous year Rs 2,85,99,008/-).

3. The Company has not received any intimation from "suppliers" regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006 and hence disclosures, if any, relating to amounts unpaid as at the year end together with interest paid/payable as required under the said Act have not been given.

4. Earnings per Share (EPS) is calculated by dividing the profit attributable to the equity share holders by weighted average number of equity shares outstanding during the year.

For the purpose of calculating diluted earnings per share, the net profit or loss for the period attributable to equity shareholders and the weighted average number of shares outstanding during the period is adjusted for the effects of all dilutive potential equity shares, except when the results would be anti-dilutive.

5. The Company's activities are classified as belonging to a single business segment of manufacture and trading in yarns, textiles and textile products. The Company's operations are largely limited to India.

6. Previous year figures:

The financial statements for the year ended 31st March, 2011 had been prepared as per the then applicable, pre-revised Schedule VI to the Companies Act, 1956. Consequent to the notification of Revised Schedule VI under the Companies Act, 1956, the financial statements for the year ended 31st March, 2012 are prepared as per Revised Schedule VI. Accordingly, the previous year figures have also been reclassified to conform to this year's classification. The adoption of Revised Schedule VI for previous year figures does not impact recognition and measurement principles followed for preparation of financial statements.

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Mar 31, 2011

1. Contingent liabilities not provided for:

(Rs. in Lacs)

31-03-11 31-03-10

a) Appeals filed in respect of disputed demands:

i) Central Excise 551.43 551.43

ii) Labour Matters 3.84 3.84

b) Bank Guarantee 5.00 5.00

2. Estimated amount of contracts remaining to be executed on capital account and not provided for Rs.285.99 lacs (net of advances) (Previous year Rs. 285.99 lacs).

3. The Company has not received any intimation from "suppliers" regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006 and hence disclosures, if any, relating to amounts unpaid as at the year end together with interest paid / payable as required under the said Act have not been given.

4. The Company has classified the various benefits provided to the employees as under: I) Defined Contribution Plan

a) Provident Fund

b) Superannuation Fund and Pension Scheme

II) Defined Benefit Plans

a) Contribution to Gratuity Fund (Non Funded)

b) Leave Encashment (Non Funded)

In accordance with the Accounting Standard (AS-15) (Revised 2005) Employee Benefits, actuarial valuation was done in respect of the aforesaid defined benefit plans of gratuity and leave encashment based on the following assumptions:

5. The Company's activities are classified as belonging to a single business segment of manufacture and trading in yarns, textiles and textile products. The Company's operations are largely limited to India.

6. Information required pursuant to Part - IV of Schedule VI to the Companies Act, 1956 is annexed hereto.

7. Previous Year's figures have been regrouped wherever necessary to conform to this year's presentation.

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Mar 31, 2010

1. Contingent liabilities not provided for: (Rs in Lacs)

31-03-10 31-03-09

a) Appeals filed in respect of disputed demands:

i) Central Excise 551.43 551.43

ii) Labour Matters 3.84 3.84

b) Bank Guarantee 5.00 15.00



2. Estimated amount of contracts remaining to be executed on capital account and not provided for Rs. 285.99 lacs (net of advances) (Previous year Rs. 285.99 lacs).

3. The Company has not received any intimation from "suppliers" regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006 and hence disclosures, if any, relating to amounts unpaid as at the yearend together with interest paid / payable as required underthe said Act have not been given.

4. Voluntary Retirement Scheme (VRS) and Gratuity paid to workers hitherto was treated as deferred revenue expenditure and one fifth of the amount was amortised overa period of 5 years. Unamortised balance at the end of the current year of Rs.31.65 lacs has been amortised in compliance with Accounting Standard-15 "Employee Benefits (Revised-2005)", and same has been shown under extraordinary items.

5. The Company has classified the various benefits provided to the employees as under:

I) Defined Contribution Plan

b) Superannuation Fund and Pension Scheme

II) Defined Benefit Plans

In accordance with the Accounting Standard (AS -15) (Revised 2005) Employee Benefits, actuarial valuation was done in respect of the aforesaid defined benefit plans of gratuity and leave encashment based on the following assumptions:

6. The Companys activities are classified as belonging to a single business segment of manufacture and trading in yarns, textiles and textile products. The Companys operations are largely limited to India.

7. Related Party Disclosure (As identified by the Management: (a) Related Party Relationship during the year Controlling Company Simplex Realty Limited

8. Additional information pursuant to the provisions of paragraphs 3 & 4 of part II of Schedule VI to the Companies Act, 1956 as certified by the Management.

(f) Earnings in Foreign Exchange on account of Export of goods on F.O.B. basis :

(g) Licensed and Installed capacity and Production (as certified by the management and accepted by auditors, it being a technical matter).

9. Information required pursuant to Part - IV of Schedule VI to the Companies Act, 1956 is annexed hereto.

10. Previous Years figures have been regrouped wherever necessary to conform to this years presentation.