1.  a) The Secured Term Loans amounting to Rs. 394.97 million (Previous
 Year Rs. 404.97 million) from banks are secured as follows:
 
 i) Rs. 199.97 million (Previous year Rs. 199.97 million) from Bank of
 India is secured by first charge on specified movable plant and
 machinery installed at Khandsa plant and Chakan plant and collaterally
 secured by first and exclusive charge on the immovable properties
 situated at Hosur plant.
 
 ii) Rs. 45.00 million (Previous year 75.00 million) from ING Vysya
 Bank, secured by equitable mortgage of Land and Building situated at
 Ambad plant.
 
 iii) Rs. 150.00 million (Previous year Rs. NIL) from Kotak Mahindra
 Bank secured by first Pari Passu charge over the movable fixed assets
 both present and future and exclusive charge by way of equitable
 mortgage over the immovable properties situated at Chakan plant.
 
 iv) Rs. NIL (Previous year Rs. 130.00 million) from State Bank of India
 was secured by hypothecation of the Company''s entire movable fixed
 assets both present and future.
 
 (b) Buyer''s Import Credit for Capital Goods facility Rs. 60.21 million
 (Previous year NIL) is secured by exclusive charge on the Dyna Chrome
 plating machine and all related equipment.
 
 (c) The Working capital facilities amounting to Rs. 658.55 million
 (Previous year Rs. 640.75 million) are secured by hypothecation of
 stocks, book debts and other current assets of the Company.
 
 2.  (a) Secured Term Loans from banks due for repayment within a year
 is Rs. 180.03 million (Previous year Rs. 171.11 million).
 
 (b) Buyer''s Import Credit for Capital Goods due for repayment within a
 year is Rs. NIL (Previous Year NIL)
 
 (c) Fixed deposits due for repayment within a year Rs. 162.10 million
 (previous year Rs. 30.04 million)
 
 (d) Sales Tax Deferral loan due for repayment within a year is Rs.
 46.13 million (previous year Rs. 24.98 million).
 
 (e) Other Loans and advances due for repayment within a year is Rs.
 1.25 million (Previous year Rs. 1.56 million).
 
 3.  Estimated amount of contracts remaining to be executed on capital
 account and not provided for are Rs. 337.00 million (Previous year Rs.
 127.46 million).
 
 4.  Contingent Liabilities are in respect of:
 
                                          31.03.11    31.03.10
 
                                       Rs. Million Rs. Million
 
 (i) Bills discounted, Letters of 
 Credit and Bank guarantees                 400.02      422.86
 
 (ii) Income Tax, Service Tax, 
 Sales Tax and Excise duty                   96.70      109.03
 against which the Company is in 
 appeal
 
 (iii) Claims not acknowledged as 
 debts                                       24.05       29.40
 
 5. The Company is in process of obtaining requisite clearance and
 completing the purchase formalities for the land situated at Khandsa,
 on which a manufacturing facility was set up in 2008. As the clearance
 formalities are taking time, the Company has, during the year, agreed
 to make a onetime payment of Rs. 30 million for usage of the land. The
 expense has been fully charged off to Profit and Loss Account in the
 current year. The Company has paid an advance of Rs. 90 Million for the
 purchase of land which is included in CWIP.
 
 6.  Loans and Advances include Rs. 0.90 million (Previous year Rs. 1.43
 million) due from an officer of the Company.  Maximum amount due during
 the year Rs. 1.32 million (Previous year Rs. 1.66 million).
 
 7.  Segmental Reporting:
 
 a) Primary Segment:
 
 The Company operates only in one business segment viz. Auto Components
 and Parts.
 
 b) Secondary Segment:
 
 The Company caters mainly to the needs of Indian market and the export
 turnover being 3.00% (Previous year 1.81%) of the total turnover of the
 Company; there are no reportable geographical segments.
 
 8.  In accordance with the Accounting Standard on Related Party
 Disclosures (AS 18), the disclosure in respect of transactions with
 the Company''s related parties are as follows:
 
 A.  Names of related parties and description of relationships
 (As identified and certified by the Management)
 
 1.  Enterprise where control exists - Holding Company.
 Holding Company
 Asia Investment Private Limited, March 25, 2011
 
 2.  Other related parties with whom transactions have taken place
 during the year.
 
 A Fellow Subsidiaries
 
 Anand Automotive Limited 
 Anchemco Limited
 Perfect Circle India Limited
 Victor Gaskets India Limited 
 Chang Yun India Limited
 
 B Associate
 
 Federal-Mogul Bearings India Limited
 
 C Key Management Personnel
 
 Mr. Prakash Kulkarni 
 Mr. Arvind Walia
 
 9. The Company has the following provision in the books of account 
 as on March 31, 2011
 
 Estimated warranty costs are accrued at the time of sale of components 
 on which the warranty provisions are applicable. It is expected
 that majority of the warranty provision outstanding as on 31st March 
 2011 is likely to result in cash outflow within 18 months of the
 Balance Sheet date.
 
 10. Job work charges included in cost of materials amount to Rs. 
 348.05 million (Previous Year Rs. 333.93 million).
 
 11. Actual consumption of raw material as disclosed in the profit and
 loss account is derived on the basis of opening stock   purchase-
 closing stock = consumption. The standard consumption based on the bill
 of material is not fully computed by this company in one of its plants.
 Accordingly the amount relating to the abnormal scrap, rejections and
 wastages which is inbuilt in the above mentioned consumption relating
 to these plants is not available.
 
 12. The Company has identified certain assets which are not in use. The
 WDV of these assets as at March 31, 2011 is Rs. 14.98 million (Previous
 Year Rs. 17.89 Million) against which an additional provision of Rs.
 1.54 million (previous year Rs. 4.61 million) has been made during the
 year. The total provision being carried at March 31, 2011 is Rs. 14.98
 million (Previous Year Rs. 13.42 Million).
 
 IX. The contributions expected to be paid to the plan during the annual
 period beginning after the balance sheet date is indeterminable as the
 information from the fund manager has not been received.
 
 X. Para 132 of AS15 (revised 2005) does not require any specific
 disclosures except where expense resulting from compensated absence is
 of such size, nature or incidence that its disclosure is relevant under
 Accounting Standard No. 5 or Accounting Standard No. 18. In the opinion
 of the management the expense resulting from compensated absence is not
 significant and hence no disclosures are prepared under various
 paragraphs of AS 15 (revised 2005).
 
 13.  During the year, the Company has availed a long term foreign
 currency buyers credit (foreign currency loan) amounting to Euro
 1,013,956 with interest rate linked to Euribor. In order to hedge the
 currency risk and interest rate risk, the Company has entered into SWAP
 and forward contracts with its bankers with terms similar to the
 original foreign currency loan. Pursuant to the hedging of the foreign
 currency and interest rate risk, the foreign currency loan has been
 recorded as a fixed Indian currency loan.
 
 14.  During the year discrepancies arising from timing differences in
 recording of consumption of certain raw materials were noticed in one
 of the manufacturing units of the Company. Consequently Rs. 23.3
 million of Raw Material purchases pertaining to year ended March 31,
 2010 and consequential tax impact of Rs. 6.10 million has been recorded
 in the year ended March 31, 2011.
 
 15.  Previous year figures have been re-grouped/reclassified wherever
 necessary to conform to current year''s classification.