A)   Basis of Preparation of Financial Statements:
 
 The financial statements are prepared under the historical cost
 convention, in accordance with the provisions of the Companies Act,
 1956 and the Companies (Accounting Standards) Rules 2006, as adopted
 consistently by the Company. All income and expenditure having a
 material bearing on the financial statements are recognized on accrual
 basis.
 
 B) Use of Estimates:
 
 The preparation of the financial statements in conformity with
 generally accepted accounting principles require management to make
 estimates and assumptions that affect the reported amounts of assets
 and liabilities and disclosure of contingent liabilities on the date of
 financial statements and reported amounts of income and expenditure for
 the year.  Actual results could differ from these estimates. Any
 revision in accounting estimates are recognized in the period in which
 the results are known / materialized.
 
 C) Revenue Recognition:
 
 Income from Hospital collections including the Pharmacy sales are
 accounted for on accrual basis on raising the invoices and is exclusive
 of Tax. The charges recoverable in respect of services rendered by the
 Company to in-patients till the year end, and not due for billing has
 been treated as IP Collections Accrued (pending bill) under''Other
 Current Assets''.
 
 D) Inventories:
 
 Inventories are valued at cost or net realizable value whichever is
 lower under FIFO method.  Inventories include Medicines, Lab Chemicals,
 Consumables stores and spares.
 
 E) Cash Flow statement:
 
 Cash flows from operating activities are reported using the indirect
 method, whereby net profit before tax is adjusted for the effects of
 transactions of a non-cash nature and any deferrals or accruals of past
 or future cash receipts or payments. The cash flows from regular
 revenue generating, investing and financing activities of the company
 are segregated.
 
 F) Fixed Assets:
 
 i) Owned Assets:
 
 Fixed Assets are stated at cost less Accumulated Depreciation. Costs
 incurred till the asset is ready for use are Capitalized / Allocated to
 various items of Fixed Assets. The costs of improvement to Leased
 Assets are capitalized.
 
 ii) Leased Assets:
 
 Fixed Assets acquired under Hire- Purchase agreements are capitalized
 to the extent of principal value, while finance charges are charged to
 revenue on accrual basis.
 
 iii) Impairment of Assets:
 
 The carrying amounts of Assets are reviewed at each Balance Sheet date
 to ascertain if there is any indication of impairment based on
 internal/external factors. An asset is treated as impaired when the
 carrying cost of such asset exceeds its recoverable value as contained
 in AS 28 (Impairment of Assets) issued by the Companies (Accounting
 Standard Rules), 2006. An impairment loss is charged to the Profit and
 Loss Account in the year in which an asset is identified as impaired.
 The impairment loss recognized during a prior accounting period is
 reversed if there has been a change in the estimate of the recoverable
 amount.
 
 iv) Borrowing Cost:
 
 Borrowing costs that are attributable to the acquisition or
 construction of qualifying assets are capitalized as part of the cost
 of such assets. All other borrowing costs are charged to revenue,
 during the period in which they are incurred.
 
 v) Depreciation:
 
 Depreciation on Fixed Asset is provided on straight-line method in
 accordance with the Schedule XIV of the Companies Act 1956. Costs of
 Improvement to leased Assets are amortized over the period of the
 Lease.
 
 G) Foreign Currency Transactions:
 
 Foreign Currency transactions are recorded at the Exchange rates
 prevailing on the date of transaction. Monetary items appearing in the
 Balance Sheet as at the year-end are converted at the exchange rate
 prevalent as on that date and the difference, if any, is
 charged/credited to Profit and loss A/C, as the case may be.
 
 H) Employee Benefits:
 
 a.  Defined Contribution
 
 Contribution to the Provident Fund is made on monthly basis, at the
 rate prescribed by the Employees'' Provident Fund and Miscellaneous
 Provisions Act, 1971 and is charged to the Revenue.  _
 
 b.  Defined Benefit
 
 The Accrued liability towards gratuity due to employees on their
 retirement is ascertained on the basis of actuarial valuation as at the
 year end and duly provided for.
 
 c.  Compensated Absences
 
 Liability towards Long Term Compensated absences is determined on the
 basis of actuarial valuation as at the year end and duly provided for.
 
 I) Earnings Per Share:
 
 The number of shares used in computing basic earnings per share is the
 weighted average number of shares outstanding during the year. The
 number of shares used in computing diluted earnings per share comprises
 the weighted average shares considered for deriving basic earnings per
 share and also the weighted average number of shares, if any, which
 would have been issued on the conversion of all dilutive potential
 equity shares.
 
 J) Taxation:
 
 Provision for Current Tax is made in accordance with the Provisions of
 the Income Tax Act, 1961. Timing differences between accounting income
 and taxable income capable of being reversed in subsequent years are
 recognized as Deferred Tax.
 
 K) Provisions, Contingent Liabilities and Contingent Assets:
 
 A provision is recognized when the company has a present obligation as
 a result of past event and it is probable that an out flow of resources
 will be required to settle such obligation, in respect of which a
 reliable estimate can be made. Contingent Liabilities are not
 recognized but are disclosed at their estimated value in the notes to
 the Accounts. Contingent Assets are neither recognized nor disclosed in
 the financial statements.