1.  All amounts in the financial statements are presented in Indian
 Rupees in lakhs except per share data and as otherwise stated.  Figures
 in brackets represent corresponding previous year figures in respect of
 Profit & Loss items and in respect of Balance Sheet items as on the
 Balance Sheet date of the previous year. Figures for the previous year
 have been regrouped / rearranged wherever considered necessary to
 confirm to the figures presented in the current year.
 
 During the year ,the company has opened a branch at Dubai on
 26-04-2010. This branch operations are controlled by Sri K Jalandhar
 Reddy, Executive Director of the Company.
 
 During the year, the company purchased all the equity shares in KNRCL
 FZE, a foreign company, which was owned by Sri K. Narasimha Reddy, M.D
 of KNR Constructions Ltd., on 29-11-2010. Against this transaction ,
 the company has not paid the purchase consideration of Rs 48,88,337/-
 to Sri K. Narasimha Reddy as on 31-3-2011 . Sri K. Narasimha Reddy has
 been appointed as the Director of this company. Five Equity shares,
 face value of AED 100000 each have been purchased from Sri. K.
 Narasimha Reddy , M.D of KNR Constructions Ltd and purchase value of
 each share is AED 78174 as on 29-11-2010.
 
 During the year ,the company purchased all the equity shares in KNR
 Infra Projects Pvt Ltd., Hyderabad on 28.03.2011 which was promoted by
 Sri K Jalandhar Reddy and Sri J.V Panindra Reddy. The total purchase
 consideration of Rs. 1,00,000/- has been paid to the said persons
 during the financial year .
 
 Additional amount of depreciation has been charged to the Profit & Loss
 A/c to the tune of Rs 9,44,94,285/-during the financial year on account
 of the change in accounting policy of providing depreciation on plant
 and machinery for few projects only from Written Down Value Method to
 Straight Line Method based on the useful lives estimated by the
 management .
 
 2. Contingent Liabilities not provided for               Rs. in Lakhs
 
 Sl 
 No  Particulars                                   2010-11     2009-10
 
 a.  Bank Guarantees
 
 - for Company                                    31434.05    19338.34
 
 - for Joint Ventures''                             3197.36     4086.20 
 
 -for Subsidiaries                                     Nil         Nil
 
 - for Associates (SPVs)                            200.00      622.32
 
 Total                                            34831.41   24,046.86
 
 b.  Corporate guarantees given to 
 banks and financial institutions for
 financial assistance extended to Subsidiaries,
 Associates and Joint Ventures                    13642.25    52642.25
 
 c.  Counter Guarantees to Corporates               280.00         Nil
 
 d.  Letters of Credit                                 Nil         Nil
 
 e.  Demands against the Company not 
 acknowledged as debts and not
 provided for in respect of which the 
 Company has filed appeal.
 
 - Income Tax                                      2954.75        4.68
 
 - Sales Tax / VAT / Entry Tax                     1481.99      156.50
 
 f.  Claims against the Company not 
 acknowledged as debts                                 Nil         Nil
 
 g.  Joint and several liabilities in respect of joint venture projects
 and liquidated damages in respect of delays in completion of projects -
 amounts are not ascertainable.
 
 3.  The Company has not received any intimation from ‘Suppliers''
 regarding their status under the Micro, Small and Medium Enterprises
 Development Act, 2006 and hence disclosures, if any relating to amounts
 unpaid as at the year end together with interest paid /payable as
 required under the said Act have not been given.
 
 4.  Segmental Reporting
 
 The Company''s operations consist of Construction activities. Hence,
 there are no reportable segments under Accounting Standard – 17. During
 the year under report, the Company has engaged in business in India
 only and not in any other Country.  The conditions prevailing in India
 being uniform, no separate geographical disclosures are considered
 necessary.
 
 5.  Related Party Transactions
 
 A. Following is the list of related parties and relationships:
 
 Sl.
 No  Particulars
 
 A)  Subsidiaries
 
     KNR Agrotech Beverages Pvt Ltd., 
 
     KNR Constructions LLC, Oman 
 
     KNR – FZE * 
 
     KNR Infrastructure Projects Pvt Ltd., **
 
 B)  Joint Ventures
 
     KNR – Patel JV 
 
     Patel – KNR JV 
 
     NCC-KNR JV 
 
     KNR – SLEC JV 
 
     KNR-BPL JV
 
     KNR-GVR-JV 
 
     KNR-JKM-KAMAL-JV
 
 C)  Associates
 
     Patel-KNR Infrastructure Ltd., 
 
     Patel-KNR Heavy Infrastructure Ltd.,
 
 D)  Key Management Personnel
 
     Sri K Narasimha Reddy , M.D 
 
     Sri K Jalandhar Reddy, E.D 
 
     Sri JV Panindra Reddy, E.D 
 
     Sri M. Rajesh Reddy, E.D 
 
     Sri M. V Venaka Rao, CS 
 
     Sri G. Sravana Kumar, G.M
 
 E)  Relatives of Key Management Personnel
 
     NIL
 
 F)  Enterprises owned or significantly influenced by key management
     personnel or their relatives
 
     Yuvashakthi Enterprises (Firm) 
 
     KNR Infrastructure Projects Pvt Ltd.,
 
     Vishnu Publicity Solutions Pvt. Ltd., 
 
     Trapezoid Software Solutions Pvt. Ltd., 
 
     Mesmeric Software Solutions Pvt. Ltd.,
 
     Nag Talent Ventures & Infotech Pvt. Ltd.,
 
 * Has become a subsidiary with effect from 29-11-2010.  
 
 ** Has become a subsidiary with effect from 28-03-2011.
 
 6.  There was no impairment Loss on fixed assets on the basis of
 review carried out by the management in accordance with Accounting
 Standard-28 issued by the Institute of Chartered Accountants of India.
 Further during the review of assets of the company, those assets which
 are found having nil market value have been written off in the
 accounts.
 
 7.  Debit and credit balances of parties are subject to confirmation
 by the respective parties.
 
 8.  Additional information pursuant to provisions of Para 3, 4C and 4D
 of Part – II of Schedule VI of Companies Act, 1956 – not applicable.
 
 9.  Figures of previous year have been regrouped / rearranged wherever
 necessary to conform to the current year presentation.