Greetings from Deco Group!
 
 On behalf of the Board of Directors of Decolight Ceramics Limited and
 on my personal behalf, I extend a warm Welcome to the Twelfth Annual
 General Meeting of the company.
 
 Industry Scenario
 
 VITRIFIED TILES
 
 The construction industry in India, which is having major linkages with
 building materials segments, has been growing at 15% to 20% year on
 year, mainly on the strength of increased manufacturing activities,
 industrial growth, and heightened investments, especially by the
 government in infrastructure and real estate. Vitrified tiles segment,
 being one of the building materials segment linked mainly to the
 construction landscape has been growing at 25% to 30% per annum, while
 the gap in growth rate between Vitrified tiles segment and construction
 industry can be attributed to new capactly addition every year in the
 wake of the paradigm shift and preferences towards Vitrified tiles in
 place of the old and conventional mosaic tiles, marbles and Kota
 Stones, etc.
 
 Being one of the constituents building materials for construction
 activities and one of the important sectors in the Ceramic Industry,
 Vitrified tile segment is expected to constitute the size of Rs. 4000
 Cr out of the Rs. 12000 Cr Indian Ceramic Industry. The production
 capacity of Vitrified Tiles has been increased to 5,50,000 sq mtrs per
 day contributed by about 55 units which in the year 2009-10 stood at
 3,20,000 sq mtrs per day and 40 units respectively. On global front,
 the consumption per head of ceramic tiles, which includes vitrified
 tiles, comes to 3 to 4 sq mtr in Europe, 1.8 sq mtr in China and 0.35
 sq mtr in India. Globally the vitrified tiles segment has been growing
 at a rate of 18% per annum over the past three years, accounting for
 around 10 - 12% of the total tile production.
 
 While the demand for vitrified tiles is driven by the developments and
 growth in construction, realty, housing and infrastructure sectors, it
 is expected that expanding construction activities in the largely
 untapped rural areas are also expected to provide a huge thrust to the
 construction building materials market. Besides, in view of rising
 disposable income, rapidly growing middle class and increased
 urbanization, etc, it is expected that India''s per capita consumption
 of ceramic tiles will have a healthy growth in the periods ahead. While
 India growth story continues in spite of inflationary pressures,
 indications are that the long term scenario for the ceramic industry in
 general and the vitrified tiles segment in particular will remain
 healthy.
 
 Business Performance
 
 For the year ended 31st March, 2011, the revenue from Tiles, Building
 Materials and Allied Activities remained at Rs. 14043.32 lakhs as
 against Rs. 8199.56 lakhs for year 2009-10. On green power generation
 front, during the year under review the revenues were Rs. 336.66 lakhs
 as against Rs. 549.69 lakhs for the year ended 31st March, 2010.
 Overall for the year under review, the company reported a profit before
 tax of Rs. 101.27 lakhs as against the reported loss of Rs. 240.75
 lakhs for the year ended 31st March, 2010.
 
 Though the company could manage volume growth in its Tiles, Building
 Materials & Allied Activities segments, the margins were affected
 because of rising input cost, intense competition in the vitrified
 tiles segment and pricing pressures. The manufacturing facilities of
 the company remained completely shut down for a period of about 50 days
 because of the natural calamity destructions that happened to the
 company on 17th of November, 2010.  Even after regaining the
 manufacturing operations on 1st January, 2011, it took another fifteen
 days to bring on track the manufacturing operations in to a regular
 flow.  Resultantly, the year 2010-11 was very tough and challenging for
 the company. While we continue to focus on improving all round
 efficiencies and lowering costs throughout the value chains, we are
 also preparing for the emerging challenges of rising input costs and
 inflationary pressures, etc.
 
 Future Plans
 
 With the objective of reducing the cost of production and at the same
 time not compromising with quality, the company already imported and
 installed new coal stove plant during 2010-11. However, because of
 inflationary pressures and consequent increases in input costs the
 company could not pass the cost savings benefit on to its esteemed
 customers. Those apart, continuing its cost optimization initiatives
 further, the company has imported new polishing line and printing
 machines to aid in increased productvity and further quality
 improvement.
 
 For the future, the company has in its agenda to double the capacity of
 its manufacturing facilities so as to ramp up the production capacity
 to manufacture 24,000 SMPD from the existing 12000 SMPD anticipating
 that the construction landscape which includes the constructions and
 real estate segments will continue to drive the growth of the ceramic
 industry. Also on the agenda is to introduce Nano Technology backed
 machinery for manufacturing of high Nano quality Vitrified Tiles so as
 to offer the company''s products with manufacturing value addition. On
 marketing front, the company''s drive to position its products in
 untapped and potential markets continues to get greater thrust and
 priority including futher improvement for better delivery systems.
 
 Corporate Governance
 
 Your Company is committed to the continued adoption and adherence to
 good Corporate Governance practices as the Company continues to believe
 that implementing good corporate governance practices add value and
 thus contribute to the overall performances.
 
 Green initiatives in Corporate Governance
 
 We welcome the Ministry of Corporate Affairs'' Green initiative in
 Corporate Governance by allowing paperless compliance to companies.
 Accordingly, the company will be taking necessary steps to implement
 the same.
 
 CSR Activities
 
 On Corporate Social Responsibility front, the company is making every
 possible efforts. In this context I am pleased to inform that the
 company has already made plantation of two hundred environment friendly
 plants in the manufacturing premises of the company. Also myself
 spearheaded in making the old ghuntu road spanning about three
 kilometers adjoining the company''s premises anew among other
 entrepreneurs of the Morbi Ceramic hub, as the units in Morbi believe
 that unhindered approach roads facilitate the customers reach the
 market place at right time.
 
 Investor Relations
 
 The investors'' relations were cordial during the year under review.
 There was no complaint from investors during the year under review for
 which credit goes to Bigshare Services Pvt. Ltd., the existing
 Registrar & Share Transfer Agent, who have recently launched Gen-Next
 Investor Module i''Boss the most advanced tool to interact with
 shareholders. Please log on to i''Boss (www.bigshareonline.com] and help
 them serve you better.
 
 Conclusion
 
 Finally, I convey my sincere gratitude to all shareholders and
 stakeholders of the Company. I also wish to place on record the support
 of Board Members, Customers, Business Associations and Employees of the
 Company and the cooperation extended by the government and look forward
 the same in the future too.
 
 On behalf of the Board of Directors of the Company, my best wishes for
 the periods ahead!
 
 
                                               Girishbhai M Pethapara
                                       Chairman and Managing Director
 
 Place : Morbi
 Date : August 26, 2011