The Board of Directors present the 16th Annual Report, along with the
 audited annual standalone and consolidated accounts of Aditya Birla
 Money Limited (''the Company) for the year ended March 31, 2012.
 
 1.  Financial Performance Summary
 
 The highlights of the financial results of the Company on a standalone
 and on a consolidated basis are as follows:
 
                                                        (Rs. in Crore)
 
                             Standalone               Consolidated
 
 Particulars           Year ended  Year ended    Year ended  Year ended
                         March 31,   March 31,     March 31,   March 31,
                             2012        2011          2012        2011
 
 Income from 
 Operations                 67.41       98.90         88.28      114.28
 
 Other Income                4.98        8.22          8.95        9.74
 
 Expenditure                77.46      100.65        102.61      115.67
 
 Profit before 
 Interest,                  (5.07)       6.47         (5.38)       8.35
 
 Depreciation and 
 Taxation
 
 Less : Interest             5.62        4.77          5.60        4.80
 
 Profit before 
 Depreciation and
 Taxation                  (10.69)       1.70        (10.98)       3.55
 
 Less : Depreciation         7.80        7.16          8.28        7.50
 
 Less: Exceptional 
 items                          —        8.15             —        8.15
 
 Profit / (Loss) 
 before Taxation           (18.49)     (13.61)       (19.26)     (12.10)
 
 Less : Provision for
 tax including              (1.20)      (4.15)        (1.43)      (3.66)
 deferred tax
 
 Profit / (Loss) 
 after Tax                 (17.29)      (9.46)       (17.83)      (8.44)
 
 Profit brought 
 forward from 
 previous year              12.63       22.09         16.18       24.62
 
 Balance carried to 
 Balance Sheet              (4.66)      12.63         (1.65)      16.18
 
 2.  Business Performance
 
 On a Standalone basis, the Company''s total income stood at Rs.72.39
 Crore compared to Rs.107.12 Crore during the previous year. The Income
 from Operations was Rs.67.41 Crore compared to Rs. 98.90 Crore during
 the previous year. The Loss before depreciation and taxation was down
 to Rs.10.69 Crore compared to a profit of Rs.1.70 Crore in the previous
 year. Interest cost was Rs.5.62 Crore as compared to Rs. 4.77 Crore in
 the previous year. The Company also witnessed decrease in trading
 volumes in line with the market trends and thus impacting the revenues.
 As a result, the Company posted a Net Loss of Rs.17.29 Crore as
 compared to Rs.9.46 Crore in the previous year.  On a Consolidated
 basis, the Company''s consolidated Income from Operations was Rs.88.28
 Crore, compared to Rs. 114.28 Crore in the previous year. The
 Consolidated Net Loss (before Tax) was Rs.19.26 Crore compared to Rs.
 12.10 Crore in the previous year.
 
 3.  Reserves
 
 Reserves & Surplus of the Company as on March 31, 2012 stood at
 Rs.34.63 Crore. During the year, no amount is proposed to be
 transferred to Reserves.
 
 4.  Dividend
 
 In view of accumulated losses, your Directors do not recommend any
 dividend for the year under review.
 
 5.  Credit Rating
 
 During the year, CRISIL Limited re-affirmed A1  rating for the short
 term debt programme.
 
 6.  Share Capital
 
 The Authorised Share Capital of the Company is Rs.25 Crore. The Paid up
 Capital, Issued and Subscribed Capital of the Company was Rs.13.54
 Crore as on March 31, 2012 consisting of 55,400,000 Equity shares of
 Re.1/- each and 800,000 8% Redeemable Non Convertible Non Cumulative
 Preference Shares of Rs.100/- each. There was no capital infusion
 during the year under review.
 
 7.  Management Discussion and Analysis
 
 The Management Discussion and Analysis Report forming part of
 Directors'' Report for the year under review forms part of Annual
 Report. The report provides strategic direction and more detailed
 analysis on performance of the individual businesses and their outlook.
 
 8.  Corporate Governance
 
 Your Directors reaffirm their commitment to the corporate governance
 standards to the extent they are applicable to the Company. A detailed
 Corporate Governance Report forms part of this Annual Report.
 
 9.  Subsidiary
 
 The Company has a wholly owned subsidiary viz. Aditya Birla Commodities
 Broking Limited (ABCBL), which is engaged in the business of
 commodity broking. ABCBL has become a material non-listed subsidiary
 company on the basis of consolidated turnover for the accounting year
 ended March 31, 2012 pursuant to Clause 49 of the listing agreement.
 Relevant disclosure in this regard also forms part of the Corporate
 Governance Report.
 
 ABCBL continues to perform well in commodity trading. ABCBL posted
 total Income of Rs.24.97 Crore compared to Rs.16.90 Crore during
 previous year. The Net Loss was at Rs.0.54 Crore compared to a Net
 Profit of Rs.1.02 Crore in the previous year. The increase in total
 income during the year is attributed to increase in brokerage income
 due to higher volumes in commodity trading during the year, as compared
 to the previous year. The company had a Net Loss in the current year
 due to higher operating cost during the year.
 
 The Consolidated financial statements pursuant to clause 41 of the
 Listing Agreement and prepared in accordance with the Accounting
 Standards prescribed by the Institute of Chartered Accounts of India
 forms part of the Annual Report. In terms of general exemption granted
 by the Ministry of Corporate Affairs vide its circular no. Circular
 No.2/2011 dated February 8, 2011 and in compliance with the conditions
 enlisted therein, the reports and annual accounts of the subsidiary
 company for the financial year ended March 31, 2012 have not been
 attached to the Balance Sheet of the Company. As required under the
 circular, statutory information pertaining to the subsidiary company
 forms part of the Annual Report. Further, the annual accounts and other
 related information of the subsidiary company are available to you and
 the shareholders of subsidiary company at any point of time. Any
 shareholder / investor of the holding company or subsidiary company
 desirous of obtaining a copy of the said documents may send request in
 writing to the Company at the Registered Office. The annual accounts of
 subsidiary company shall also be kept for inspection at the Registered
 Office of the Company and of the subsidiary company.
 
 10. Public Deposits
 
 The Company has not accepted or renewed any deposit as covered under
 Section 58A of the Act read with the Companies (Acceptance of Deposit)
 Rules, 1975, as amended, from the public, during the year under review.
 
 11. Particulars as per Section 217 of the Companies Act, 1956
 
 The information relating to the conservation of Energy and Technology
 Absorption required under Section 217(1)(e) of the Companies Act, 1956
 (the Act), are not applicable to the Company due to the very nature
 of the industry in which it operates. During the year under review,
 there were no foreign exchange earnings (previous year Nil) and outgo
 (previous year Nil), respectively. In accordance with the provisions of
 Section 217(2A) read with the Companies (Particulars of Employees)
 Rules 1975, the names and other particulars of employees are to be set
 out in the Directors'' Report as an addendum thereto. However, in terms
 of the provisions of Section 219(1)(b)(iv) of the Companies Act, 1956,
 the Report and accounts, as therein set out, are being sent to all the
 members of the company excluding the information about the employees.
 Any member, who is interested in obtaining such particulars about
 employees, may write to the Company at the Registered Office of the
 Company.
 
 12.  Directors
 
 As on March 31, 2012, your Board of Directors comprises of 5 Directors
 including 2 Independent Directors. In accordance with the provisions of
 Section 255 and 256 of the Companies Act, 1956, Mr.P.Sudhir Rao,
 retires by rotation at the ensuing Annual General Meeting (AGM) and
 being eligible, has offered himself for re-appointment. The Board
 recommends his re-appointment.
 
 The Company has received requisite disclosures and undertakings from
 all the Directors in compliance with the provisions of the Companies
 Act, 1956 and other applicable statutes.
 
 13.  Directors'' Responsibility Statement
 
 Pursuant to Section 217(2AA) of the Companies Act, 1956 (the Act),
 your Directors confirm that, to the best of their knowledge and belief:
 
 - in the preparation of the annual accounts, the applicable standards
 have been followed alongwith proper explanation relating to material
 departures, if any;
 
 - appropriate accounting policies have been selected and applied
 consistently and such judgments and estimates that are reasonable and
 prudent so as to give a true and fair view of the state of affairs of
 the Company as at March 31, 2012 and of the profit of the Company for
 the year ended on that date;
 
 - proper and sufficient care has been taken for the maintenance of
 adequate accounting records in accordance with the provisions of the
 Act for safeguarding the assets of the Company and for preventing and
 detecting fraud and other irregularities;
 
 - the attached Statement of Accounts for the period ended March 31,
 2012 have been prepared on a going concern basis;
 
 - proper systems are in place to ensure compliance of all laws
 applicable to the Company; and
 
 - all related party transactions are disclosed in notes to accounts at
 Note 34 in terms of Accounting Standard 18.
 
 14.  Auditors and Auditors'' Report
 
 M/s. S.R. Batliboi & Co., Chartered Accountants, Mumbai, (Registration
 No. 301003E), hold office as the Statutory Auditors of the Company upto
 the ensuing AGM and have offered themselves for re-appointment. A
 certificate from them has been received to the effect that their
 re-appointment as Statutory Auditors of the Company, if made, would be
 within the limits prescribed under Section 224(1B) of the Act. The
 Auditors have further certified that they have subjected themselves for
 the peer review process of the Institute of Chartered Accountants of
 India (ICAI) and they hold a valid certificate issued by the Peer
 Review Board of ICAI. The Board proposes the re-appointment of M/s.
 S.R. Batliboi & Co., Chartered Accountants, Mumbai as the Statutory
 Auditors of the Company, on the recommendation of the Audit Committee.
 The observations, if any, made by the Auditors of the Company in their
 report read with relevant notes to the Accounts are self-explanatory
 and, therefore do not call for any further comments.
 
 15.  Appreciation
 
 Your Directors wish to place their sincere appreciation for the
 valuable advice, guidance and support provided by the regulators and
 statutory authorities from time to time. Your Directors express their
 gratitude to the clients, bankers and all business associates for their
 continuous support and patronage to the Company. Your Directors take
 this opportunity to recognize and place on record their deep sense of
 appreciation for the exemplary commitment and contribution made by
 employees at all levels. Your involvement as Shareholders is greatly
 valued. Your Directors look forward to your continuing support.
 
                                       For and on behalf of the Board
 
                    Pankaj Razdan            Sudhakar Ramasubramanian
 
                    Director                        Managing Director
 
 Place :  Chennai
 
 Date  :  May 3, 2012