1.  Government of Tamil Nadu Interest Free Sales Tax (IFST) Loan is
 repayable in monthly installments, The Sales Tax loan carries no
 interest. Trie balance outstanding is Rs. 401.06 Lakhs (31,03,2010 -
 Rs, 569.37 Lakhs).
 
 2.  The borrowing cost capitalized during the yearisRs.49,48 Lakhs
 (31.03.2010-Rs. 91.31 Lakhs).
 
 3.  The Company has provided depreciation on straight-tine Pasis in
 respect of fixed assets other than Windmill Units at the rates
 prescribed in Schedule XIV to the Companies Act, 1956. In respect of
 Windmill assets, the method of providing for depreciation has been
 changed to written down value basis from straight line method basis as
 adopted in the previous year, On account of change in the method of
 providing deprecation, the profit for the year has decreased by
 Rs.2528.49 Lakhs.
 
 4.  Estimated amount of contracts to be executed on the capital
 accounts and not provided for amounts to Rs. 1120 Lakhs (31.03.2010-Rs,
 1421.40 Lakhs) approximately.
 
 5.  a) Aggregate value of unquoted Investments Rs.2u,39,92,768/-(Rs.
 9,11,55,7507-)
 
 b) Aggregate value of Quoted Investments Rs.37,490/-£Rs.2,05,37,845/-)
 
 c) Aggregate market value of Quoted Investments Rs. 1,52,035/- (Rs,
 11,20,19,375/-)
 
 6.  a) The Company has not received information from its creditors
 regarding their status under the Micro, Small and Medium Enterprises
 Development Act 2006 and hence a disclosure relating to their
 outstanding amount and interest has not been given.
 
 b) No amount is due for credit to investor Education and Protection
 Fund,
 
 7.  The funds raised by way of Public Issue have been fully utilized
 for the purposes for which it was raised.
 
 8.  a) Amounts due from Officers of the Company during the year is
 Rs.32.66.792/- (31.03.2010 - Rs.29.84,337).
 
 b) Maximum amount due from officers during the year is Rs, 33,19.773/-
 (31.03.2010-Rs,31,94,837).
 
 9.  Disclosures pursuant to AS 28- on Impairment of Assets - During
 the year, the company has reviewed the carrying value of the assets for
 finding out the impairment, if any. The review has revealed that there
 is no impairment of assets in terms of Accounting Standard 28,
 
 10.  Figures are rounded off to the nearest rupee.
 
 11.  Previous year figures have been regrouped/reclassified wherever
 necessary, The previous year comparative figure have been given in
 brackets.
 
 12.  Related Party Transactions:
 
 I Key Management Personnel Dr S V Balasubramaniam, Chairman
 
 Sri S V Alagappan, Vice Chairman 
 
 Sri S V Arumugam, Managing Director
 
 Sri S K Sundararaman, Executive Director
 
 Related Party Shiva Distilleries Limited
 
 Shiva Texyarn Limited
 
 Bannari Amman Sugars Limited
 
 Anamallais Automobiles Private Limited
 
 Annamallai Infrastructures Limited
 
 Shiva Cargo Movers Limited
 
 Bannari Amman Apparel Private Limited
 
 Bannari Amman Flour Mill Limited
 
 Sakthi Murugan Transports Limited
 
 Relationship Enterprises in which the Key management Personnel or their
 relatives have significant influence.
 
 III Remuneration to key management Personnel disclosed in schedule No.
 24 in accounts read with Note No.4 in Notes on accounts.
 
 13. Contingent Liability:
 
 (i) The amount of duty concession availed against the pending
 obligation (For import of capital goods under concessional customs duty
 linked to fulfillment of export obligations) for the year ended
 31.03.2011 is Rs.1692.00 Lakhs. (31.03.2010 - Rs. 3125.00 Lakhs).
 
 (ii) The Central Excise Department has demanded the Excise Duty rebate
 received by the company on account of Export of Yarn. The amount of
 demand is Rs.59.09 Lakhs (31.03.2010- Rs. Nil)
 
 14. The company has invested Rs.1419.27 Lakhs (Rs.815.53 Lakhs) in the
 equity shares of Bannari Amman Apparel Private Limited (A Joint venture
 of the Company) as on 31.03.2011. The company does not have any further
 capital commitment towards purchase of shares of the Joint venture
 entity. The company has paid Rs.418.44 Lakhs towards share application
 money.