The Directors have pleasure in presenting their Seventy Eighth Annual
 Report together with the Audited Statement of Accounts for the
 financial year ended March 31, 2011.
 
 FINANCIAL RESULTS
 
                                                        (Rs. in lacs)
 
 Particulars                           Year ended          Year ended
                                       31.03.2011          31.03.2010
 
 Net Sales Turnover                     72,158.77           65,253.42
 
 Other Income                            1,315.59              962.73
 
 Profit before Depreciation & Interest   7,746.71            7,003.17
 
 Less:
 
 – Depreciation                          1,889.60            1,836.54
 
 – Interest                                539.03              995.20
 
 Profit before Tax                       5,318.08            4,171.43 
 
 Less:
 
 – Current Tax                           1,318.69              708.94
 
 – Deferred Tax                           (70.95)              676.75
 
 – MAT                                          –            (215.53)
 
 Profit after Tax                        4,070.34            3,001.27
 
 Add: Surplus of earlier years 
 brought forward                         8,150.31            6,239.05
 
 Profit available for Appropriation     12,220.65            9,240.32
 
 Appropriations:
 
 General Reserve                           410.00              310.00
 
 Dividend                                  686.94              666.70
 
 Tax on Distributed Profits                108.90              113.31
 
 Surplus carried to Balance Sheet       11,014.81            8,150.31
 
 DIVIDEND
 
 Your Directors are pleased to recommend a dividend of 45% i.e. Rs.4.50
 per equity share of Rs.10/- each. The total quantum of dividend, if
 approved by members, will be Rs. 679.09 Lacs, while Rs.110.16 Lacs will
 be paid by the Company towards dividend tax and surcharge on the same
 on the equity shares of the Company as at 31st March, 2011. Dividend
 will be tax free in the hands of the shareholders.
 
 OPERATIONS REVIEW
 
 Net Sales Turnover was Rs. 721.59 crores as compared to Rs.652.53
 crores during the previous year. The profit after tax for during the
 year at Rs. 40.70 crores was higher as compared to the previous year.
 
 DIRECTORS’ RESPONSIBILITY STATEMENT
 
 Pursuant to the requirements of Section 217(2AA) of the Companies Act,
 1956 with respect to the Directors’ Responsibility Statement and to the
 best of their knowledge and belief and according to the information and
 explanations obtained by them, the Directors confirm:
 
 i) that in the preparation of the annual accounts for the year ended
 31st March 2011, the applicable accounting standards have been followed
 alongwith proper explanation relating to material departures, if any;
 
 ii) that appropriate accounting policies have been selected and applied
 consistently and judgments and estimates have been made that were
 reasonable and prudent so as to give a true and fair view of the state
 of affairs of the Company as at 31st March, 2011 and of the profit of
 the Company for the year ended on that date;
 
 iii) that the Directors have taken proper and sufficient care for the
 maintenance of adequate accounting records in accordance with the
 provisions of the Companies Act, 1956, for safeguarding the assets of
 the Company and for preventing and detecting fraud and other
 irregularities;
 
 iv) that the annual accounts have been prepared on a going concern
 basis.
 
 DIRECTORS
 
 Mr. Mohanlal Bhandari, Director, Mr. Sandeep Junnarkar, Director and
 Mr. Naga Veera Srinivasa Rao Yenduri, Executive Director (Operations),
 retire by rotation at the forthcoming Annual General Meeting and being
 eligible, offer themselves for re-appointment.
 
 FIXED DEPOSITS
 
 Your Company has not invited or accepted any fixed deposits from the
 public and, as such, no amount of principal or interest was outstanding
 on the date of the Balance Sheet.
 
 AUDITORS
 
 The Statutory Auditors of the Company, M/s Deloitte Haskins & Sells,
 Gurgaon, retire at the conclusion of the ensuing Annual General Meeting
 and being eligible, offer themselves for re-appointment. They have
 confirmed that their re-appointment, if made, would be within the
 limits in accordance with Section 224(1B) of the Companies Act, 1956.
 The Audit Committee and the Board recommend the re-appointment of M/s.
 Deloitte Haskins & Sells, Chartered Accountants, as Statutory Auditors
 of the Company.
 
 CORPORATE GOVERNANCE
 
 Your Company continues to be committed to good corporate governance and
 ethical corporate practices. A separate Report on Corporate Governance
 along with Auditors’ Certificate on compliance with the conditions of
 Corporate Governance as per Clause 49 of the Listing Agreement with
 Stock Exchanges is provided as part of this Annual Report, besides
 Management Discussion and Analysis, Risk Management and Shareholders
 Information.
 
 CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE
 EARNINGS AND OUTGO
 
 The required particulars under Section 217(1)(e) of the Companies Act,
 1956, read with the Companies (Disclosure of Particulars in the Report
 of Board of Directors) Rules, 1988 are furnished in the Annexure-A and
 forms an integral part of this Report.
 
 PARTICULARS OF EMPLOYEES
 
 As required by the provisions of Section 217(2A) of the Companies Act,
 1956 read with Companies (Particulars of Employees) Rules, 1975, as
 amended, the names and other required particulars of the employees are
 set out in the Annexure – B forming an integral part of this Report.
 
 EMPLOYEES’ STOCK OPTION SCHEMES
 
 Your Company has already implemented the ESOS-2006, ESOS-2007,
 ESOS-2008, ESOS-2009 & ESOS 2010. Details of these Employees’ Stock
 Option Schemes, as required under the SEBI Guidelines, are set out in
 Annexure - C to the Directors’ Report and forms an integral part of
 this Report.
 
 INDUSTRIAL RELATIONS
 
 The industrial relations at all the works of the Company, during the
 year were cordial.
 
 ACKNOWLEDGEMENT
 
 Your Directors wish to place on record their gratitude to the Company’s
 business associates, trade partners, dealers, customers, shareholders,
 vendors, bankers, technology providers and other stakeholders all over
 India and overseas for the continuous support and co-operation extended
 by them to the Company. Your Board also thanks the Government of India,
 State Governments and other Government Authorities for their continuous
 support and encouragement to the Company and look forward to their
 support in future as well.
 
 Your Directors especially wish to place on record their appreciation of
 the efficient services rendered by the Company’s motivated team members
 from all Zones, Works and Offices.
 
                                For and on behalf of the Board
 
                  MANISH SANGHI                     Y. SRINIVASA RAO
                  Managing Director   Executive Director (Operations)
 
 
 Mumbai, 29th April, 2011