Dear Shareholders,
 
 I am pleased to communicate with you the developments of your Company
 on completion of another year of business operations.
 
 On behalf of the Board, I take pride in informing that your Company is
 the first Indian offshore oil field services Company to operate in the
 waters of Shakhalin, Russia. Your Company continues to leverage its
 domain capabilities in the marine engineering and construction services
 and has completed several noteworthy turnkey projects.
 
 For the financial year ended March 31, 2008, the Company on a stand
 alone basis reported a total income of Rs.75,031 lakhs and a profit
 after tax of Rs.20,321 lakhs. The Board of Directors have proposed a
 final equity dividend of Rs.8 per share. This, in aggregate, with the
 earlier declared interim dividend of Rs.8 per share, results in a total
 equity dividend of 160% on face value. At Rs.16 per equity share, total
 dividend outflow is to the tune of Rs.7,134 lakhs ( including tax
 thereof) representing a payout ratio of 35.11%.
 
 I thank our existing shareholders and subscribers to the optionally
 convertible redeemable preference shares aggregating Rs. 15,000 lakhs
 and foreign currency convertible bonds amounting to US$ 42 million for
 their support.
 
 I am confident that your Company is adequately positioned to exploit
 the emerging opportunities in the markets it operates and will continue
 its efforts with a view to provide returns to all its stakeholders.
 
 With best wishes,
                                                      Sevantilal 
                                                 J. Parekh Chairman