1.  The cash credit and export packing credit facility is secured by
 creating a charge by way of hypothecation of the Companys current
 assets, i.e. all inventories, book debts and all other movables, both
 present and future and additional collateral security over the
 Companys fixed assets at Village Bambhori, Tal. Erandol, Dist.
 Jalgaon.
 
 2.  Contingent liabilities:
 
 a.  Claims against the Company not acknowledged as debts: TINR 11355
 (Previous Year TINR 2 159)
 
 b.  i. Disputed Central Excise duty/ServiceTax:TINR36767 (Previous
 YearTINR37363) ii. Disputed Income Tax assessment dues :TINR24013
 (PreviousYear TINR6737).
 
 3.  Estimated amount of contracts remaining to be executed on capital
 account and not provided for [ Net of advance of TINR 15487
 (PreviousYearTINR38756) ] isTINR 27 933 (PreviousYearTINR 141029).
 
 4.  A net exchange gain of TINR 10 862 (Previous Year - net exchange
 gain of TINR 11 976) has been recognised in the Profit and Loss Account
 under Miscellaneous Income/Expense.
 
 6 Segment Reporting: The Company is engaged in the business of
 Automotive Brake System and Components, which as per the Accounting
 Standard - AS 17 is considered as the only reportable primary business
 segment. The following table provides an analysis by secondary
 geographical segment.
 
 7 Related Party Disclosures:
 
 A. Name of the related party and nature of relationship where control
 exists
 
 Name of the related party                 Nature of relationship
 
 Robert Bosch GmbH, Germany               Ultimate Holding Company
 
 Precision Seals Manufacturing 
 Limited                                  Subsidiary Company
 
 c.  Relationships:
 
 a. Subsidiary Company -
 
 i Precision Seals Manufacturing Ltd.
 
 b. Fellow Subsidiary Companies -*
 
 i Robert Bosch Travoes Unipessoal Limitada, Portugal
 
 ii Bosch Corporation Shibuya ku, Japan
 
 iii Robert Bosch Sp.Z.o.o., Poland
 
 iv Bosch Systemes De Freinage S.A.S., France
 
 v Bosch Sistemas De Franado, S.L., Spain
 
 vi Bosch Automotive Thailand Co. Ltd., Thailand
 
 vii Bosch Fren Sistemleri Sanayi VeTicaret A.S., Turkey
 
 viii Robert Bosch Limitada, Brazil
 
 ix Robert Bosch Korea Mechanics and Electronics Ltd
 
 x Robert Bosch (Australia)
 
 xi Bosch Automotive Products Co. Ltd
 
 xii BoschTecnologie Diesel e Sistemi Frenanti S.p.A.
 
 xiii BKJC( Thailand) Co. Ltd
 
 xiv Bosch, Italy
 
 c.  UltimateHoldingCompany -
 
 i Robert Bosch GmbH, Germany
 
 d.  Joint Venturers -
 
 i Robert Bosch Corporation, USA
 
 ii Robert Bosch Investment Netherland B.V.
 
 e.  Joint Venture Entity - KBX Motorbike Products Private Limited (Upto
 November 18,2008)
 
 f.  Key Management Personnel -Mr. S.Sekhri, Managing Director
 
 * As identified by the Management
 
 ** Values are provisional as contract are under negotiation, hence not
 credited to party account.
 
 8. Packing and forwarding expenses shown under Schedule 13 is net of
 recovery of freight outward amounting to TINR NIL (Previous YearTINR 9
 677)
 
 9. At the After Market division of the Company some dealers in
 collusion with certain employees made fraudulent claims of expenses.
 These claims were submitted during 2007 and 2008 but were detected and
 reported in 2009. Management has scrutinized these claims and has
 established Rs. 5.08 Mio as fraudulent.  Entire amount of expenses has
 since been reversed. Management has taken adequate steps to improve the
 internal control procedures to prevent such instances in future by
 formulating centralised policies and by periodic audits. Management has
 also initiated actions against the employees involved by terminating
 their services. Management has also lodged claim against the concerned
 dealers
 
 10. The previous periods figures, wherever necessary, have been
 regrouped, reclassified and recast to confirm with this years
 classification.
 
 11.  Provision for Current Taxation aggregating TINR 64 207 (Previous
 Year TINR 298 300) has been made on an estimated basis for the
 statutory accounting year ended December 31, 2009. The actual tax
 liability of the Company will be determined on the basis of taxable
 income of the Company for the year April 1, 2009 to March 31, 2010.