1 Loans covered in S.No. 1 to 6 and 11 above :
 
 First pari passu charge over the entire fixed assets, present and
 future, of the Company''s Textile (Birla Century), Rayon, Cement, Pulp
 and paper divisions and phase I of Real Estate Development (excluding
 lease hold land of Birla Century and Pulp and Paper Divisions).
 
 2 Loans covered in S.No. 7 to 10 above :
 
 First pari passu charge over the entire fixed assets, present and
 future of the Company''s Textile (Birla Century), Rayon, Cement, Pulp
 and Paper Divisions and phase I of Real Estate Development (excluding
 leasehold land at Birla Century, Pulp & Paper, Sonar Bangla Cement and
 Maihar Cement Unit I & II Divisions).
 
 3 Loans covered in S.No. 12 and 18 to 19 above :
 
 First pari passu charge over the entire fixed assets, present and
 future, of the Company''s Textile, Rayon, Cement and Pulp & Paper
 Divisions and phase I of Real Estate Development (excluding the lease
 hold land of the Birla Century, Pulp and Paper and Maihar Cement I & II
 Divisions).
 
 4 Loans covered in S.No. 13 to 17 above :
 
 First pari passu charge over the entire fixed assets, present and
 future, of the Company''s Textile (Birla Century), Rayon, Cement and
 Pulp & Paper Divisions and phase I of Real Estate Development of the
 Company including those acquired/ to be acquired for the new project
 (excluding the lease hold land of Birla Century, Pulp & Paper & Sonar
 Bangla Cement Divisions).
 
 5 Loans covered in S.No. 20 above :
 
 First pari passu charge over the entire fixed assets, present and
 future, of the Company''s Textile, Rayon, Cement and Pulp & Paper
 Divisions and phase I of Real Estate Development including those
 acquired/to be acquired for the new project (excluding the lease hold
 land of all Divisions).
 
 6 Loans covered in S.No. 21 above :
 
 First pari passu charge over the entire fixed assets, present and
 future, of the Company''s Textile (Birla Century), Rayon, Cement & Pulp
 and Paper Divisions and phase I of Real Estate Development including
 expansion project of Denim Division (excluding the lease hold land of
 the Pulp and Paper Division).
 
 7 Loans covered in S.No. 22 to 31 above :
 
 First pari passu charge over the entire fixed assets, present and
 future, of the Company''s Textile (Birla Century), Rayon, Cement and
 Pulp & Paper Divisions and phase I of Real Estate Development including
 those acquired/to be acquired for the new project (excluding the lease
 hold land of Pulp & Paper Division).
 
 The Board has recommended dividend @ Rs. 5.50 (Rupees five and paise
 fifty only) per equity share of Rs. 10 each on 9.30.45.680 equity
 shares for the year ended 31st March, 2012 (Previous year Rs. 5.50 per
 equity share of Rs. 10 each on 9.30.45.680 equity shares.)
 
 Nature of Security
 
 (i) Working capital loans from banks are secured against the
 hypothecation of the whole of the Company''s raw materials, finished
 goods, material-in-process, stores and spares, present and future book
 debts, receivables, etc. and second charge created over movable and
 immovable fixed assets of Company''s Divisions viz. Birla Century,
 Cement, Pulp & Paper and Rayon Divisions (excluding leasehold land at
 Birla Century, Pulp & Paper and Sonar Bangla Cement Division) and also
 a portion of the land at Worli, Mumbai.
 
 (ii) The charge created as per para (i) also extends to the guarantees
 given by the banks on behalf of the Company, aggregating Rs. 228.64
 Crore (31.3.2011 Rs. 175.78 Crore).
 
 Note:
 
 (i) Unclaimed dividend amounting to Rs.0.03 Crore (31.3.2011 Rs. 0.03
 Crore) is pending on account of litigation among claimants / notices
 from the tax recovery officer.
 
 (ii) There is no amount due and outstanding to be credited to Investors
 Education and Protection Fund as at the balance sheet date other than
 cases under litigation among claimants regarding beneficial ownership.
 
 (a) Includes Rs. 5.20 Crore (Previous year Rs. 5.44 Crore) for which
 sale and conveyance deeds and other transfer formalities are yet to be
 executed.  Stamp duty and other incidental expenses will be capitalised
 on execution of the same.
 
 (b) Includes premises on ownership basis Rs. 2.67 Crore (Previous year
 Rs. 2.67 Crore), leasehold premises Rs. O.OlCrore (Previous year Rs.
 0.01 Crore) and cost of shares in co-operative societies (Rs. 750/-)
 [Previous year (Rs.750/-)].
 
 (c) Wagons acquired under Own Your Wagon scheme have been given on
 lease to railways.
 
 (d) Land Development at Worli, Mumbai - Construction of two commercial
 building with car parking spaces etc. has commenced on the Company''s
 freehold land at Worli, Mumbai as permitted by the relevant
 regulations. The buildings will cover a constructed area of about 13
 lac square feet and are expected to be completed by late 2012-13.
 
 (e) Includes adjustment for Revaluation Reserve (Refer Note 44)
 
 (f) i) 44 hectares of land were acquired at Manikgarh Cement Division
 and were subsequently surrendered to the Forest Department, Government
 of India, pursuant to the provisions of the Forest Conservation Act,
 1980. The amount of compensation payable will be accounted for when
 determined by the Collector.
 
 ii) In respect of Manikgarh Cement Division, Land measuring 41.20
 hectares occupied by the Forest Department and disputed by the Company
 was adjudicated by the Collector and the Divisional Commissioner
 (Appeals) in favour of the Company. The Government of Maharashtra on a
 reference made by the Forest Department directed the Collector for a
 fresh demarcation of the site boundaries and has also directed the
 Forest Department to refund the compensation paid by the Company along
 with interest for the land falling within their boundary. The
 Revisional Authority has since observed that approx. 17 hectares of
 land falls within the boundaries of the reserved forest. The Company
 has filed a writ petition before the Bombay High Court, Nagpur bench
 against the said order. Adjustments, if any will be made, in the year
 in which the matter is finally settled.
 
 8  (a) Trade payables include (i) Rs. 1.82 Crore (31.03.2011 -
 Rs.0.95 Crore) due to micro and small enterprises registered under the
 Micro, Small and Medium Enterprises Development Act, 2006 (MSME); and
 (ii) Rs. 309.85 Crore (31.03.2011 - Rs. 410.79 Crore) due to other
 creditors.
 
 (c) The above information has been determined to the extent such
 parties could be identified on the basis of the information available
 with the Company regarding the status of suppliers under the MSME.
 
 8.Provision for disputed matters in respect of known contractual
 risks, litigation cases and pending assessments in respect of taxes,
 duties and other levies / claims, the actual outflow on which will
 depend on the outcome of the respective proceedings.
 
 10. Contingent Liabilities not provided for 
 
                                               31.3.2012       31.3.2011 
                                            (Rs.in Crore)  (Rs. in Crore)
 
 (a) (i) Claims against the Company not 
 acknowledged as debts in respect of :
 
 - Custom Duty and Excise Duty                    17.98         15.17
 
 - Sales Tax and Entry Tax                        94.46         40.49
 
 - Power Charges                                  15.10         12.48
 
 - Royalty                                       281.52        202.93
 
 - Others                                         17.57         33.10
 
 (ii) Claims not acknowledged as debts
 jointly with other members of Business 
 Consortium of Companies in which the 
 Company had an interest (proportionate)          19.19         18.59
 
 (b)  Disputed income tax matters under appeal    13.18         11.71
 
 (c)  Registration and Road Tax on Dumper of 
 Cement Division                                 Amount not determinable
 
 (d)  Liability on account of Jute
 packaging obligation upto 30th June, 1997 
 under the Jute Packaging Materials 
 (Compulsory use in Packing Commodities) 
 Act,1987 -    Amount not determinable
 
 (Future cash flows in respect of item 
 No.32 (a) to (d) above are determinable
 only on receipt of judgments/decisions 
 pending with various forums/authorities.)
 
 e) Guarantees given by the Company''s 
 bankers                                          2.41           4.49
 Guarantees have been given by the 
 Company''s bankers in the normal course 
 of business and are not expected to 
 result in any liability on the Company
 
 (f)  Undertaking given by the company 
 under concessional duty/exemption scheme
 to government authorities (net of
 obligation fulfilled)                          696.79         746.42
 
 11.  Revenue expenditure on research and development activities
 relating to Government recognised in-house research and development
 laboratories incurred and charged out during the year through the
 natural heads of account, aggregate Rs.0.60 Crore (2010-2011 Rs. 0.57
 Crore). No capital expenditure on research and development has been
 incurred during the year (2010-11 Rs.Nil)
 
 12.  RELATED PARTY INFORMATION 1 Relationships :
 
 (a) Where significant influence exists :
 
 (i) Pilani Investment and Industries Corporation Limited
 
 (ii) Kesoram Insurance Broking Services Limited
 
 (iii) Vasavadatta Services Limited
 
 (iv) Industry House Limited
 
 (v) Bander Coal Company Private Limited
 
 (b) Key Management Personnel :
 
 Shri B.L. Jain (Whole-time Director)
 
 (c) Other Related Parties :
 
 (1) Shri B.K. Birla
 
 (2) Kesoram Industries Ltd.
 
 (3) Century Enka Ltd.
 
 (4) Jayshree Tea & Industries Ltd.
 
 Note : The parties listed under 1(c) above, are strictly not ''related
 parties'' as per the requirements of AS-18, but are being included
 herein for making the Financial Statements more transparent.
 
 The estimate of future salary increases considered in actuarial
 valuation takes into account inflation, seniority, promotion and other
 relevant factors.
 
 Provident Fund Liability :
 
 In case of certain employees, the Provident fund contribution is made
 to trusts administered by the Company. In terms of guidance note Issued
 by the Institute of Actuaries of India, the Actuary has provided a
 valuation of Provident fund liability based on the assumptions listed
 and determined that there is no shortfall as at 31st March, 2012.
 
 The assumptions used in determining the present value of obligation of
 the interest rate guarantee under deterministic approach are:
 
 Remaining term of maturity - 11 to 18 years Expected guaranteed
 interest rate - 8.25%
 
 Discount rate for the remaining term to maturity of interest portfolio
 - 8.50%
 
 13. Remuneration has been paid to the whole time director for the year
 ended 31st March, 2012 in terms of the resolution passed by the
 shareholders at the Annual General Meeting of the Company held on 28th
 July, 2009. In the absence of adequate profits for the said year, the
 remuneration paid, in accordance with the provisions of Revised
 Schedule XIII to the Companies Act, 1956, is proposed to be ratified at
 the ensuing Annual General Meeting of the Company.
 
 14.  Unclaimed fixed deposits amounting to ( Rs.22,500 ) [31.3.2011
 (Rs.22,500)] and (Rs. 3150) [31.3.2011 (Rs.3,150)] being interest
 accrued and due thereon remain unpaid in view of the internal disputes
 between the claimants which has been referred to the Court whose
 decision is awaited.
 
 15.  The Company had, during the year 1983, carried out a revaluation
 of certain assets viz. Land, Buildings and Plant and Machinery, at some
 of its divisions, the residual value of which, as at 31st March, 2012,
 aggregate Rs.16.73 Crore.  Since the revalued amounts do not reflect
 values which are relevant at present, the Board of Directors, at their
 meeting dated 2nd May, 2012, has decided to reverse the aforesaid
 amount which would result in these assets being stated at their
 historical cost less accumulated depreciation. The above accounting
 treatment does not have any impact on the Statement of Profit and Loss
 for the current or subsequent years.
 
 16.  Figures less than Rs.50,000 have been shown at actuals in
 brackets, since the figures are rounded off to the nearest lac.
 
 17.  The Financial statements for the year ended 31st March, 2011 had
 been prepared as per the applicable pre- revised Schedule - VI to the
 Companies Act 1956. Consequent to the notification under the Companies
 Act 1956 , the financial statements for the year ended 31st March, 2012
 are prepared under revised Schedule VI. Accordingly, the previous year
 figures have also been reclassified to confirm to this year''s
 classification.
 
 18.  Significant Accounting Policies followed by the Company are as
 stated in the statement annexed as Annexure I.