1. CONTINGENT LIABILITIES
 
 Contingent liability exists in respect of:                  Rs. In Lac
 
 Particulars                                      As at          As at
 
                                                  31.03.2011   31.03.2010
 a)  Guarantees issued by banks on 
      behalf of company.                            404.67       463.53
 
 b)  Letters of Credit outstanding (trade)         4114.87      2298.78
 
 c)  Bills discounted with banks                   3228.25      2949.77
 
 d-  Claims against the company not 
     acknowledged as debt                           602.62       624.72
 
 e)  Dividend on 1%cumulative redeemable 
     preference shares                               32.10         N.A.
 
 f)  Dividend on 6% cumulative redeemable 
     preference shares                                2.95         N.A.
 
 g) Other Claims against the company not acknowledged as debt :
 
 I.  The Company had certain exotic derivative transactions with ABN
 Amro Bank (bank), which the Company has disputed in competent court of
 law in earlier year. Till that time the bank had communicated estimated
 liability of the Company against these transactions of Rs 125.30 Crore
 to the Company. The deal was expired in June 2010 and as per assessment
 by the independent agency the value of this deal is Rs308 crore
 (negative to the Company) excluding any fee or any amount received/
 paid or payable on settlement. However bank has not communicated any
 such amount to the company. On the basis of legal opinion, the Company
 has not admitted the claim and matter became subjudice and the
 competent court had already stayed the demand of bank. In view of above
 facts, no provision against these transactions is considered necessary.
 
 II.  Kotak Mahindra Bank Limited filed an Original Application (O.A.)
 before Hon''ble Debt Recovery Tribunal-II, Mumbai (DRT) for recovery of
 it''s claim amounting to Rs. 601.11 lacs in respect of certain foreign
 currency derivative transactions. Hon''ble Debt Recovery Appellate
 Tribunal (DRAT) Mumbai, on appeal of the company, has set aside the
 order of the DRT. Aggrieved with the order of DRAT, Kotak Mahindra Bank
 has filed a writ before Bombay High Court. The Hon''ble High Court has
 stayed the order of DRAT & allowed the operation of order of DRT till
 next order and the matter is pending adjudication. Besides this,
 subsequently Kotak Mahindra Bank has also raised a claim of Rs.  1435
 Lac in respect of these foreign currency derivative transactions. Based
 on the legal advice, these claims have not been admitted & these
 derivative transactions have been disputed in the civil court of law
 against which the Company has got an interim order for maintenance of
 status quo with regards to recovery towards these transactions.  In
 view of above facts, no provision against these transactions is
 considered necessary.
 
 III.  DBS Bank Ltd. and DCB Bank Ltd. have lodged claims amounting to $
 9109957 ( previous year $ 9109957) & Rs.  667.39 lac (totaling to Rs.
 4734.99 lac, approx) and Rs 1362.65 Lac ( previous year 1362.65 Lac )
 respectively against the Company in respect of certain foreign currency
 derivative/forward transactions. Based on the legal advice, the claims
 have not been admitted & these transactions have been disputed in the
 civil court of law against which the Company has got an interim order
 for maintenance of status quo with regards to recovery towards these
 transactions.  In view of above facts, no provision against these
 transactions is considered necessary.
 
 IV.  Merrill Lynch Capital Services Inc. (MLCS) raised a claim of US$
 195.80 Lac ( previous year 195.80 Lac) (Rs 8742.47 Lac, approx.)
 against the company in respect of a corporate guarantee of $ 100 Lac (
 previous year 0 Lac) (Rs.4465.00 Lac, approx.) given by the company
 for one of its subsidiary company M/s Alps USA Inc. Based on legal
 advice, the company has not admitted the said claim and disputed the
 same which is pending before the court of law.  In view of above facts,
 no provision against above claim is considered necessary.
 
 
 2.  Forward/ Derivative Contracts outstanding as on 31.3.2011:
 
 a) Forward Contracts Rs3082.75 Lac
 
 b) Derivative Contracts
 
 CURRENCY NO.OF DEALS AMOUNT OUTSTANDING
 
 EURO         1            Euro180Lakh
 
 3.  Secured Term Loans includes Rs 15178.52 Lacs being debts
 convertible into 6% Optionally Convertible Cumulative Preference Shares
 (OCCPS) with option to convert into Equity Shares within 18 months from
 the date of allotment. In case no option is so executed, then
 convertible into 6% Cumulative Redeemable Preference Shares ( CRPS),
 and Unsecured Term Loans includes Rs 3058.75 Lacs convertible into 1%
 CRPS, with interest up to the date of allotment in terms of CDR Scheme.
  
 4.  The previous period figures of the company are for 9 months i.e.
 from 01.07.2009 to 31.03.2010 while the current year figures are for 12
 months i.e. from 01.04.2010 to 31.03.2011. In view of above, the
 current year figures are not comparable with those of previous period.
 
 5.  Deferred Tax adjustments resulting from items of timing differences
 have been measured using the rates and tax laws enacted or
 substantially enacted as on 31.03.11. The same results into the
 Deferred Tax Assets (net), which has not been recognized due to
 uncertainty of sufficient taxable income within reasonable future.
 
 6.  The unclaimed dividend amount of Rs.0.17 Lac for the financial year
 2002-03 (Rs. 0.14 Lac for the Financial Year 2001-02) has been credited
 to the Investor Education and Protection Fund, as per the provisions of
 Section 205C of the Companies Act, 1956.
 
 7.  The balances under the head sundry debtors, loans and advances and
 sundry creditors as reflected in the books of the company are
 subject to confirmation.
 
 8.  In compliance of the Accounting Standard 26 issued by the Institute
 of Chartered accountants of India, expenses incurred in the current
 period of the nature of intangible assets are charged to profit & loss
 account. The earlier expenses of preliminary, capital issue and
 deferred revenue expenses continued to be amortised as per accounting
 policy of the company.
 
 9.  Sales are net of Rebate &Discounts amounting to Rs. 526.19
 Lac(Previous Year 123.34 Lac).
 
 10.  Due to erosion of total Net worth of the company as per Audited
 Accounts as of 31st March 2010, the Company has filed a reference with
 Hon''ble BIFR and has been declared as Sick Industrial Company under
 section 3(1)(o) of the Sick Industrial Company ( Special Provisions)
 Act, 1985 vide their order dated 06.12.2010. In terms of the directions
 of the BIFR, company had prepared and submitted the Draft
 Rehabilitation Proposal to Operative Agency (State Bank of India) &
 BIFR. Operative Agency, after consideration in the joint meetings with
 Lenders and Statutory Agencies from whom company sought reliefs and
 concessions, has filed the Draft Rehabilitation Scheme (DRS) with BIFR.
 The circulation of the Rehabilitation Scheme is under consideration
 with Hon''ble BIFR.
 
 11.  The information regarding Micro, Small and Medium Enterprises have
 been determined (refer Schedule 7 – Current Liabilities and
 Provisions) to the extent of information available with the Company.
 The Company has normally made payments to such enterprises within due
 period and no interest accrued/ paid during the year.
 
 12.  Loss on sale of investment includes Rs 45 Lac, the investment in
 shares of M/s Improve Interior.com Ltd, written off due to closure of the
 said Company.
 
 13.  A fire broke out in one unit of the Company during the year and
 certain raw materials and some fixed assets were affected. The Company
 has lodged and expect so receive claimofRs259 Lacs from the insurance
 company.
 
 - *Includes negative balance of Profit & Loss Rs 41561.86 Lacs (
 Previous Year Rs 31911.00 Lacs).
 
 - Previous years figures have been regrouped or rearranged to make them
 comparable with those of current year.
 
 
 14. Related Party Transactions
 
 The members of the Board are interested in the following entities,
 covered under the Related Party Transactions, but there were no
 material transactions entered into with any of these entities. However
 the details of transactions with each of them are given below:
 
 Name of related parties and description of relationship as required by
 AS-18:
 
 Wholly owned Subsidiary Companies: Alps Energy Pvt. Ltd.,
 
 Alps Uttarakhand Energy Pvt. Ltd (a subsidiary of ALPS
 
 Energy Pvt Ltd).
 
 Snowflakes Meditech Private Ltd (Formerly known as ALPS
 
 Retail Pvt Ltd) Alps USAINC.
 
 Entities controlled by subsidiaries, key SBT Technotex Pvt Ltd (
 formerly known Alps Tex fab (P) Ltd.),
  
 management personnel and their relatives.  Alps Processers Pvt. Ltd.,
 Careen Fintec (P.) Ltd., Coronation
 
 Spinning India (P) Ltd., Improve Interior. Com Ltd , Jhala-Koti Gunsola
 Power Pvt. Ltd., Pacific Texmark Pvt. Ltd. (Formerly known as Alps
 Infin Pvt. Ltd.), Padam Precision Dies & Component Pvt. Ltd., Peek
 Finvest (P) Ltd., Perfect Finmen Services (P) Ltd., Roseate Finvest
 Pvt. Ltd., Saurabh Floriculture (P) Ltd., Sedona Herbals Pvt. Ltd.,
 Supreme Finvest Pvt. Ltd.,
 
 Key management personnel 
 and their relatives
 
 1.Mr. Sandeep Agarwal
 
 2.Mr. P.K. Rajput
 
 3.MrK.K.Agarwal
 
 4.Mrs. Nidhi Agarwal 
 
 5.Mr. Rohan Agarwal