Dear Shareholders,
 
 The Directors present the 35th Annual Report and Accounts for the
 Financial Year ended 31st March, 2011.
 
 1.  FINANCIAL RESULTS:
 
                                            (Rs. in thousand)
 
                                       For the           For the
                                    Year ended        Year ended
                                   31st March,       31st March,
                                          2011              2010
 
 Sales and Other Income              6,975,425         5,568,264
 
 Profit Prior to Finance Charges 
 & Depreciation                        794,834           664,516
 
 Less:
 
 Finance charges                         2,550             2,574
 
 Depreciation                          104,124            86,815
 
 Profit before Taxation                688,160           575,127
 
 Less: Provision for Taxation
 
 Current Tax                           122,320
 
 Deferred Tax                           62,722            37,483
 
 Profit after Tax                      503,118           537,644
 
 Balance brought forward
 
 from previous year                 (1,201,069)       (1,541,614)
 
 Preference Dividend paid
 
 including Dividend Tax                  -                37,099
 
 Transfer from General Reserve
 
 Transfer to capital
 
 redemption reserve                      -               160,000
 
 Balance carried to Balance Sheet    (697,951)         (1,201,069)
 
 2.  DIVIDEND
 
 In view of the accumulated loss, the Board regrets its inability to
 recommend any dividend to equity shareholders for the year.
 
 3.  REVIEW OF OPERATION
 
 Your Company completed another year of steady performance with strong
 topline growth and high quality earnings. All business segments posted
 sound growth in revenues and enhanced their market standing.
 
 Gross Turnover for the year grew by 26.9% to Rs. 772.6 crores. Net
 Turnover other than service & other income at Rs. 634.9 crores grew by
 24.9% driven by higher
 
 Engineering business and the continuing steady performance by Appliance
 business which grew by 25.03%. Engineering Division grew by 24.74%.
 Pretax Profit increased by 19.6% to Rs. 68.81 crores. Earning Per share
 for the year stands at Rs. 14.24.
 
 5.  DIRECTORS'' RESPONSIBILITY STATEMENT IN TERMS OF SECTION 217 (2AA)
 OF THE COMPANIES ACT, 1956
 
 To the best of knowledge and belief and according to the confirmations
 and explanations obtained by them, your directors make the following
 statements in terms of Section 217(2AA) of the Companies Act, 1956:
 
 a) In the preparation of the annual accounts, the applicable accounting
 standards have been followed along with proper explanation relating to
 material departures;
 
 b) The Directors have selected such accounting policies and applied
 them consistently and made judgments and estimates that are reasonable
 and prudent so as to give a true and fair view of the state of affairs
 of the Company at the end of the financial year and of the profits of
 the Company for that period;
 
 c) 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;
 
 d) These accounts are prepared on a going concern basis.
 
 6.  CORPORATE GOVERNANCE
 
 As stipulated by Clause 49 of the Listing Agreement, a Report on
 Corporate Governance along with a Certificate from the Auditors is
 given separately in this Annual Report.
 
 7.  DELISTING FROM DELHI STOCK EXCHANGE
 
 The application for delisting to Delhi Stock Exchange is pending.
 
 8.  AUDITORS
 
 M/s Deloitte Haskins & Sells, Chartered Accountants, retire at the
 conclusion of the ensuing Annual General Meeting. They have signified
 their willingness to accept reappointment and have further confirmed
 their eligibility under section 224(1B) of the Companies Act, 1956.
 
 9.  DIRECTORS
 
 In view of Sec 274(1) (g) of the Companies Act prescribing
 disqualification for directors in the event of non- redemption of
 debentures ( privately-placed), a writ- petition was filed before the
 High Court at Calcutta challenging the applicability of said section
 274(1) (g) which is pending for final disposal. An interim order dated
 14.05.2004 has been passed by the Hon''ble Calcutta High Court directing
 Union of India and its authorized agents, servants or otherwise from
 giving any effect or further effect to or taking any step in pursuance
 of the provisions contained in section 274(l)(g) of the Companies Act,
 1956
 
 In the mean time all the debentures have been fully redeemed by
 December 2007.
 
 Dr. Rathindra Nath Mitra and Mr.K.M.Unnikrishnan retire as directors by
 rotation at the ensuing Annual General Meeting and being eligible,
 offer themselves for reappointment. The particulars of directors
 seeking appointment / reappointment are given in Corporate Governance
 section of this Report.
 
 10.  PERSONNEL
 
 The Directors would like to place on record their appreciation of the
 dedication and hard work put in by employees at all levels.
 
 Particulars of employees as required to be furnished pursuant to
 Section 217(2A) of the Companies Act, 1956 , read with rules
 thereunder, forms part of this Report.  However, as per the provision
 of Section 219(1) (b) (iv) of the Companies Act,1956, the reports and
 accounts are being sent to all the shareholders of the Company
 excluding the statement of particular of employees. Any shareholder
 interested in obtaining a copy may write to the Company Secretary of
 the Company.
 
 11.  ESPS
 
 The Company implemented the Employees Stock Purchase Scheme 2008 in
 accordance with the Securities and Exchange Board of India (Employees
 Stock Option
 
 Scheme and Employee Stock Purchase Scheme) Guide lines, 1999 ('' the
 SEBI Guidelines''). The Compensation committee, constituted in
 accordance with the SEBI Guidelines, administers and monitors the
 scheme.
 
 The applicable disclosures as stipulated under the SEBI Guidelines as
 at March 31, 2011 ( cumulative position) are given below:
 
 a) Total no. of equity shares issued to employees in ESPS1593449.
 
 b) Exercise price Rs 10/- per share to employees belonging to workers
 category and for rest of employees Rs 15/- per share., plus applicable
 taxes, as per law.
 
 c) Employee wise details of shares alloted under ESPS to:
 
 i.  Key Management person:
 
 1.  Mr.A.K.Nag 50,000
 
 2.  Mr.A.S.Negi 25,000
 
 3.  Mr.B.M.Shetye 25,000
 
 4.  Mr.DipakMitra 50,000
 
 5.  Mr.GautamDasgupta 50,000
 
 6.  Mr.GRayChowdhury 17,500
 
 7.  Mr.IndroneelGoho 25,000
 
 8.  Mr.ProbirChatterjee 25,000
 
 9.  Mr.RajshankarRay 15,000
 
 10.  Mr.S.Bhattacharya 25,000
 
 11.  Mr.SiddharthaChatterjee 25,000
 
 ii Any other employee who is issued shares in any one year amounting to
 5 % or more shares during the year-nil
 
 iii. Identified employees, who were issued shares during any one year,
 equal to or exceeding 1% of the issued capital of the company at the
 time of issuance-nil
 
 d) Diluted Earning Per share ( EPS) pursuant to issuance of shares
 under ESPS Rs 14.24
 
 e) Consideration received against the issuance of shares Rs. 235 lacs
 plus applicable taxes.
 
 12.  ENVIRONMENT, CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION,
 FOREIGN EXCHANGE EARNINGS AND OUTGO
 
 As required by the Companies (Disclosure of Particulars in the Report
 of the Board of Directors) Rules, 1988, the relevant data are given in
 the Annexure to this Report.
 
 13.  ACKNOWLEDGMENTS
 
 Your Directors would like to place on record their sincere appreciation
 to the employees, Customers,Shareholders, banks and also Central &
 State Government Offices and all others for their co-operation and
 support.
 
                                             On behalf of the Board 
 
                                                         Bikram Nag
                                           Joint Executive Chairman 
                                                & Managing Director
 
 Place :Kolkata                                         R. N. Mitra
 Dated : 27th May, 2011                                    Director