As at              As at
                                     31st March 2011    31st March 2010
 
                                         (Rs. in Lacs)        (Rs. in Lacs)
 
 1.  CONTINGENT LIABILITIES
 
 a) Letters of Credit                        3242.89           2933.74
 
 b) Bank Guarantees                           342.55            180.39
 
 c) Corporate Guarantees to 
    Subsidiary                               8673.47              -
 
 d) Disputed liability in respect of:
 
 i) Income tax*                               268.58             73.79
 
 iil Sales tax                                 17.56             17.56
 
 iiil Customs Duty                             25.00             49.50
 
 iv) Excise Duty                                 -               12.55
 
 * includes demand ofRs. 216.53 lacs decided in favour of the Company but
 disputed by Income-tax Department.
 
 2.  Hedging and Derivatives
 
 Pursuant to ICAI Announcement Accounting for Derivatives on the early
 adoption of Accounting Standard 30 - Financial Instuments
 :Recognition and Measurement iAS 30), the company has early adopted
 AS 30 with effect from October 1, 2008, to the extent that the adoption
 does not conflict with existing mandatory accounting standards and
 other authoritative pronouncements, company law and other regulatory
 requirements. Pursuant to the adoption :-
 
 a) Transitional Gain representing the Gain on fair valuation of foreign
 currency options, determined to be ineffective cash flow hedges on the
 date of adoption, amounting toRs. 194.41 Lacs has been adjusted against
 the opening balance of General Reserve Account in the Balance Sheet.
 
 b) Gain on the fair valuation of forward covers, which qualify as
 effective cash flow hedge amounting to T501.29 Lacs, on the date of
 adoption, has been recognised in the hedging reserve account.
 
 3 DEFINED BENEFIT PLAN:
 
 In accordance with applicable Indian laws, the Company provides for
 gratutity. A defined benefit retirement plan (Gratuity Plan). The
 Gratutity Plan provides a lump sum payment to vested employees, at
 retirement or termination of employment, an amount based on the
 respective employee''s last drawn salary and the years of employment
 with the Company. The Company provides the gratutiy benefit through
 annual contributions to a fund managed by the Insurer viz. (LIC). Under
 this plan, the settlement obligation remains with the Company.although
 the Employees Gratutity Trust administers the plan and determines the
 contribution premium required to be paid by the Company.
 
 4.  Segment Information:
 
 The company is primarily engaged and deals in pharmaceuticals & related
 products, which in the context of Accounting Standard-17, is the only
 business segment and has been identified as the primary reporting
 segment. Accordingly, the information appearing in these financial
 statements relate to the aforesaid primary reporting segment. Secondary
 segmental reporting is performed on the basis of the geographical
 locations of customers.
 
 5.  Debtors are secured to the extent of security deposit ofRs. 1334.60
 lacs (Previous YearRs. 1271.50 lacs) received from Distributors and
 Consignment Agents.
 
 6.  Sundry Debtors and Loans & Advances includes Rs. 848.06 lacs
 (Previous Year Rs. 967.25 lacs) and Rs. 37.40.lacs (Previous Year Rs. 1415.56
 lacs ) respectively, for value to be received, due from a company in
 which one of the Directors of this company is interested as Director.
 Maximum Debit Balance outstanding during the year Rs. 848.06 lacs and Rs.
 836.94 lacs (Previous Year Rs. 1097.22 lacs and Rs. 1415.56 lacs)
 respectively.
 
 7 I Related Party Disclosures:-
 
 Related party dislosures, as required by AS-18, Related Party
 Disclosures are given below : Names of the related parties and
 description of relationship :
 
 Related parties where control exists (A) Subsidiaries
 
 Elder International FZCO, Dubai, UAE
 
 IB) Enterprises over which key management personnel and their relatives
 are able to exercise significant influence
 
 Elder Health Care Limited.
 
 Elder Projects Limited.
 
 Elder Instruments Private Limited.
 
 Maveer Prints Private Limited
 
 E W F Pharmaceuticals Private Limited.
 
 Redle Pharmaceuticals Private Limited
 
 Akshaya Holdings Private Limited.
 
 Anjay Prints
 
 Anshul Printers
 
 (C) Key Management Personnel and their Relatives
 
 Mr Jagdish Saxena
 
 Mr M. V. Thomas (Upto 30-06-2010)
 
 Mr Alok Saxena
 
 Mr Yusuf Karim Khan
 
 Mrs Shalini Kumar
 
 Note: Related party relationship is as identified by the company and
 relied upon by the auditors.
 
 8.  Previous year''s figures have been regrouped / rearranged wherever
 necessary.