1.  contingent Liabilities
 
                                         (Figures in Rs.Thousands)
 
                                              as at           as at
 
                                     March 31, 2011  March 31, 2010
 
 a) In respect of Excise                    136,134          8,842
 
 b) In respect of Customs                    32,304              -
 
 c) In respect of Entry Tax                       -          8,186
 
 d) In respect of Sales Tax                  21,233         18,781
 
 e) In respect of Service Tax                 5,925          6,240
 
 f) In respect of Stamp Duty                  4,754          4,754
 
 g) In respect of Income Tax                      -          2,185
 
 h) In respect of Labour Cases               11,307         17,005
 
 i) The Company has given corporate guarantees in respect of :
 
 i) Subsidiary Companies                  2,559,600      2,164,243
 
 j) Bank Guarantees / Letters of Credit 
 furnished by the Company                   287,784        199,715
 
 1 Excludes interest
 
 Further, in respect of certain subsidiary companies, the Company has
 furnished letter of support to enable the said companies continue the
 operations.
 
 The amount shown in items a to h above represents the best possible
 estimates arrived at on the basis of available information. The
 uncertainty and possible reimbursement are dependent on the outcome of
 the different legal processes which have been invoked by the Company or
 the claimants as the case may be and therefore cannot be predicted
 accurately.
 
 3.  issue of Zero coupon convertible bonds
 
 During the year ended March 31, 2006, the Company issued Euro
 50,300,000 Zero Coupon Convertible Bonds due 2010 (the Bonds). These
 bonds were listed on the Singapore Exchange Securities Trading Limited
 (the SGX-ST). The bonds were convertible at the option of the holder
 at any time on or after August 24, 2005 (or such earlier date as was
 notified to the holders of the bonds by the Company) upto July 6, 2010
 into fully paid equity shares with full voting rights at par value of
 Re. 1.00 each of the Issuer (Shares) at an initial Conversion Price
 (as defined in the Terms & Conditions of the bonds) ofRs.74.32 per
 share with a fixed rate of exchange on conversion of Rs.52.01 = Euro
 1.00.  The Conversion Price was subject to adjustment in certain
 circumstances.
 
 The bonds also otherwise could be redeemed, in whole or in part, at the
 option of the Issuer, at any time on or after July 15, 2008 and prior
 to July 7, 2010 subject to satisfaction of certain conditions and at
 their Early Redemption Amount (as defined in the Terms & Conditions
 of the bonds) at the date fixed for such redemption if the Closing
 Price (as defined in the Terms & Conditions of the bonds) of the
 Shares translated into Euro at the prevailing rate (as defined in the
 Terms & Conditions of the bonds) for each of 20 consecutive Trading
 Days (as defined in the Terms & Conditions of the bonds) the last of
 which occurs not more than five days prior to the date upon which
 notice of such redemption is published, is greater than 130 per cent,
 of the Conversion Price (as defined in the Terms & Conditions of the
 Bonds) then in effect translated into euro at the rate of Rs.52.01 =
 Euro 1.00.
 
 The bonds also could be redeemed, in whole, but not in part, at any
 time at the option of the Issuer at their Early Redemption Amount, if
 less than 10 per cent, in aggregate, principal amount of the Bonds
 originally issued was outstanding.
 
 The bonds also could be redeemed in whole, but not in part, at the
 option of the Issuer subject to satisfaction of certain conditions
 including obtaining Reserve Bank of India (RBI) approval, at their
 Early Redemption Amount, on the date fixed for redemption in the event
 of certain changes relating to taxation in India.
 
 Unless previously redeemed, converted or purchased and cancelled, the
 bonds were to be redeemed by the Issuer in Euros on July 16, 2010 at
 126.77 per cent of its principal amount.
 
 The issuer had to, at the option of any holder of any bonds, repurchase
 at the Early Redemption Amount such bonds at such time as the shares
 ceased to be listed or admitted to trading on the BSE and the NSE (as
 defined in the Terms & Conditions of the bonds) in respect of the
 Issuer.
 
 Consequent to the exercise of conversion option by holders of bonds of
 face value Euro 18.5 million, the Company has allotted 12,950,000
 equity shares during the year. Accordingly, an amount ofRs. 1,285.25
 million, being the excess of the liabilities (including amortized
 premium/ issue expenditure on such bonds up to the date of conversion)
 extinguished in respect of such bonds over the face value of shares
 issued, has been credited to securities premium account. Consequent to
 the said allotment, bonds have been fully converted as at June 30,
 2010.
 
 2 Revised from Rs.111.45, in accordance with the terms of issue,
 consequent to the issue of bonus shares by the Company.
 
 3.  As per information available with the management, the dues payable
 to enterprises covered under The Micro, Small and Medium Enterprises
 Development Act, 2006 aggregate to Rs.5,646 thousand (Previous year
 Rs.9,609 thousand). This has been determined on the basis of responses
 received from vendors on specific confirmation sought by the Company in
 this regard.
 
 Further, as determined by the management, there is no interest paid/
 payable to such enterprises.  
 
 4.  amalgamation of balda Motherson Solutions india Limited (bMSi) &
 Motherson tradings Limited (MtL) with the company
 
 a) The High Court of Judicature at Delhi has approved on March 21, 2011
 the arrangement as embodied in the Scheme of Amalgamation (the
 Scheme) of the erstwhile Balda Motherson Solutions India Limited
 (BMSI) & Motherson Tradings Limited (MTL), subsidiaries of the Company,
 the transferor Company with the Company (Motherson Sumi Systems
 Limited), the transferee Company On complying with the requisite
 formalities by the Company, the Scheme became effective on April 28,
 2011 (the effective date), operative retrospectively from April 1,
 2010, the Appointed Date, as per the Scheme. Accordingly, the whole of
 the undertakings of BMSI and MTL have been transferred to and vested in
 the Company as a going concern and BMSI and MTL without any further act
 were dissolved without winding up.
 
 b) BMSI is in the business of manufacture and sale of injection moulded
 components and assemblies for mobile phones, electrical and electronic
 equipments. MTL is in the business of trading in fuse, fuse box and
 circuits.
 
 c) During the year, on May 18, 2010, the Company had, pursuant to an
 agreement with Balda AG & Balda Investment Mauritius Limited, purchased
 the 60% shareholding held by it, thereby making BMSI a 100% subsidiary
 of the Company. As per the Scheme, the said transaction is recorded in
 such a manner so that with effect from the appointed date, all assets
 and liabilities are vested in the Company. The amalgamation has been
 accounted for under the pooling of interests method as prescribed by
 Accounting Standard (AS-14) issued by the Institute of Chartered
 Accountants of India and the specific provisions of the Scheme.
 Accordingly, all the assets, liabilities and reserves of the transferor
 company as on April 1, 2010 have been recorded by the Company at their
 respective amounts.
 
 d) In view of the amalgamation of BMSI and MTL with the Company
 effective from April 1, 2010, the figures for the current year are not
 directly comparable to those of the previous year.
 
 e) On March 31, 2011, the Company has acquired 100% shares of India
 Nails Manufacturing Limited (formerly India Nails Manufacturing Private
 Limited). The total consideration paid amounted to Rs.153,608 thousand as
 against negative net worth of India Nails Manufacturing Limited of
 Rs.20,358 thousand. Accordingly, goodwill on consolidation of Rs.173,966
 thousand has been recognized in the consolidated financial statements.
 
 Subsequently, the Board of Directors of the Company, at their meeting
 held on April 28, 2011, have approved merger of its wholly owned
 subsidiary companies namely, India Nails Manufacturing Limited and MSSL
 Global Wiring Limited (MGWL) with the Company, subject to requisite
 approvals.
 
 f) The Board of Directors of the Company at the meeting held on April
 28, 2011, approved the merger of Sumi Motherson Innovative Engineering
 Limited (SMIEL) with the company with effect from April 1, 2011,
 subject to necessary approvals. Further, the Board at their meeting
 held on May 25, 2011 has recommended an exchange ratio of 10 shares of
 Rs.1 each fully paid up for every 57 equity shares of Rs.10 each held by
 shareholders of SMIEL. The Company will issue 4,420,360 new shares,
 thereby increasing its equity capital to Rs.391,964 thousand.
 
 5.  During the year, the Company has made a provision for diminution in
 the value of its investment amounting to Rs. 1,835 thousand, in view of
 the continued losses incurred, on account of MSSL Handels GmbH.
 
 6.  The details of liabilities recognised by the Company in respect of
 long term defined benefits and contribution schemes in accordance with
 Accounting Standard 15 (Revised 2005) for its employees are as under:
 
 (a) defined benefit Schemes
 
 (i) gratuity
 
 The employees are entitled to gratuity that is computed as half-month''s
 salary for every completed year of service and is payable on
 retirement/termination. The Company makes provision of such gratuity
 liability in the books of accounts on the basis of actuarial valuation.
 The Company pays contribution to Life Insurance Corporation of India to
 fund its plan.
 
 (ii) Leave encashment /compensated absences
 
 The employees are entitled for leave for each year of service and part
 thereof and subject to the limits specifed, the un-availed portion of
 such leaves can be accumulated or encashed during/ at the end of the
 service period. The plan is not funded.
 
 (b) defined contribution Schemes
 
 The Company deposits an amount determined at a fixed percentage of
 basic pay every month to the State administered Provident Fund and
 Employee State Insurance (ESI) for the benefit of the employees.
 Accordingly the Company''s contribution during the year that has been
 charged to revenue amounts to Rs.130,834 thousand (Previous Year Rs.98,535
 thousand).
 
 7.  related party disclosures
 
 Related party disclosures, as required by AS18, Related Party
 Disclosures, are given below:
 
 i relationships where control exists: Subsidiaries of the company:
 
 MSSL Mauritius Holdings Limited
 
 MSSL Mideast (FZE)
 
 MSSL Ireland Pvt. Limited
 
 MSSL Handels GmbH
 
 Motherson Electrical Wires Lanka Pvt. Ltd.
 
 MSSL Tooling (FZE)
 
 MSSL (S) Pte Ltd.
 
 MSSL GmbH
 
 MSSL Polymers GmbH
 
 Samvardhana Motherson Invest Deutschland GmbH (formerly Mothersonsumi
 Reiner GmbH)
 
 MSSL Advanced Polymers s.r.o.
 
 MSSL (GB) Limited
 
 Global Environment Management (FZC)
 
 Global Environment Management Australia Pty Limited
 
 Motherson Sumi Wiring System Ltd. (FZE)
 
 MSSL Australia Pty Ltd.
 
 Motherson Elastomers Pty Limited
 
 Motherson Investments Pty Limited
 
 Motherson Orca Precision Technology GmbH
 
 MSSL Global Wiring Limited
 
 MSSL s.r.l Unipersonale
 
 MSSL Global RSA Module Engineering Limited
 
 MSSL Japan Limited
 
 Samvardhana Motherson Global Holdings Ltd.
 
 Samvardhana Motherson Reflectec Group Holdings Limited
 
 SMR Automotive Holding Hong Kong Limited
 
 SMR Automotive Technology Holding Cyprus Ltd.
 
 SMR Automotive Mirror Systems Holding Deutschland GmbH
 
 SMR Automotive Parts GmbH
 
 SMR Poong Jeong Automotive Mirrors Korea Ltd.
 
 SMR Hyosang Automotive Ltd.
 
 SMR Holding Australia Pty Limited
 
 SMR Automotive Australia Pty Limited
 
 SMR Automotive Taree Pty Limited
 
 SMR Automotive Mirror Technology Hungary Bt
 
 SMR Grundbesitz GmbH & Co. KG
 
 SMR Automotive Services GmbH
 
 SMR Automotive Mirror Parts and Holdings UK Ltd.
 
 Portchester Limited
 
 SMR Automotive Mirrors UK Limited
 
 SMR Automotive Technology Valencia S.A.U. (formerly Visiocorp
 Automotive Valencia S.A.U.)
 
 SMR Automotive Services UK Ltd.
 
 SMR Automotive Technology Holdings USA Partners
 
 SMR Automotive Mirror International USA Inc.
 
 SMR Automotive Systems USA Inc.
 
 SMR Automotive Systems France S. A.
 
 SMR Automotive Systems India Limited
 
 SMR Automotive Yancheng Co. Limited
 
 SMR Automotive Beijing Company Limited
 
 SMR Automotive Mirror Technology Holding Hungary Kft
 
 SMR Automotive Systems Spain S.A.U.
 
 SMR Automotive Vision Systems Mexico S.A. de C.V.
 
 SMR Automotive Servicios Mexico S.A. de C.V.
 
 SMR Automotive Mirrors Stuttgart GmbH
 
 SMR Automotive Patents S.aR.L.
 
 SMR Automotive Beteiligungen Deutschland GmbH
 
 SMR Automotive Brasil Ltda.
 
 SMR Automotive System (Thailand) Limited
 
 India Nails Manufacturing Limited (Formerly India Nails Manufacturing
 Private Limited)
 
 ii.  Other related parties
 
 a.  Joint ventures:
 
 Kyungshin Industrial Motherson Limited
 
 Woco Motherson Elastomer Limited
 
 Woco Motherson Advanced Rubber & Technologies Limited
 
 Woco Motherson Limited (FZC)
 
 Calsonic Kansei Motherson Auto Products Limited
 
 Ningbo SMR Huaxiang Automotive Mirrors Co. Limited
 
 b.  associate companies:
 
 Saks Ancillaries Limited
 
 c.  key Management personnel:
 
 i) board of directors:
 
 Mr. M. S. Gujral
 
 Mr. V. C. Sehgal
 
 Mr. Laksh Vaaman Sehgal
 
 Mr. Toshimi Shirakawa
 
 Mr. Toshihiro Watanabe
 
 Mr. Bimal Dhar
 
 Mr. Hiroto Murai
 
 Maj. Gen. Amarjit Singh (Retd.)
 
 Mr. Pankaj Mital
 
 Mr. Arjun Puri
 
 Mr. Futoshi Urai
 
 ii) Other key Management personnel:
 
 Mr. Vivek Avasthi 
 
 Mr. Ravindra Mathur 
 
 Mr. G.N. Gauba 
 
 Mr. N. Ramanathan
 
 Mr. Sanjay Mehta 
 
 Mr. Ramesh Dhar
 
 iii) relatives of key Management personnel:
 
 Ms. Renu Sehgal
 
 Ms. Vidhi Sehgal
 
 Ms. Geeta Soni
 
 Ms. Neelu Mehra
 
 Ms. Padma Avasthi
 
 Mr. Harjit Singh
 
 Ms. Upkar Guj''ral
 
 Ms. Subina Avasthi
 
 d.  companies in which key Managerial personnel or their relatives have
 control/ significant infuence:
 
 Motherson Auto Limited
 
 Motherson Air Travel Agencies Limited
 
 Ganpati Auto Industries
 
 South City Motors Limited
 
 ASI Motherson Communication Solutions Limited
 
 Motherson Techno Tools Limited
 
 Motherson Techno Tools Mideast (FZE)
 
 Sumi Motherson Innovative Engineering Limited
 
 SWS India Management Support & Service (P) Limited
 
 Vaaman Auto Industries
 
 A Basic Concepts Design India Private Limited
 
 Motherson Sumi Infotech and Designs Limited
 
 Motherson Engineering Research and Integrated Technologies Limited
 
 Moon Meadows Private Limited
 
 Sis Bro Motor and Workshop Private Limited
 
 Motoman Motherson Robotics Limited (up to February 1, 2011)
 
 NACHI Motherson Tool Technology Limited Motherson
 
 Samvardhana Motherson Finance Limited
 
 A Basic Concepts Design Pty Limited
 
 ATAR Mauritius Private Limited
 
 Motherson Auto Solutions Limited
 
 Motherson Machinery and Automations Limited
 
 Spheros Motherson Thermal Systems Limited
 
 Matsui Technologies India Limited
 
 Motherson Moulds and Diecasting Limited
 
 Webasto Motherson Sunroofs Limited
 
 Anest Iwata Motherson Limited
 
 Field Motor Limited
 
 AES (India) Engineering Limited
 
 Motherson Auto Eng. Service Ltd. (formely Miyazu Motherson Eng. Design
 Ltd.) Anest Iwata Motherson Coating Equipment Limited Nissin Advance
 Coating Indo Company Limited Magnetti Marelli Motherson Holding India
 B.V.  Magnetti Marelli Motherson Auto System Limited Samvardhana
 Motherson Finance Services Cyprus Limited Motherson Zanotti
 Refrigeration System Limited Samvardhana Motherson Virtual Analysis
 Ltd.  Samvardhana Motherson Finance services Inc.  Motherson Time Tooth
 Technologies Inc.  Tigers Connect Travel Systems and Solutions Limited
 Samvardhana Motherson Holding (M) Private Limited Motherson Advanced
 Tooling Solutions Limited Avon Hill Limited
 
 Fritzmeier Motherson Cabin Engineering Limited
 
 Air Factory Energy Limited
 
 CTM India Limited
 
 MSID U.S. Inc
 
 Motherson Climate System Ltd.
 
 Spirited Auto Cars (I) Limited
 
 Style Motors Limited
 
 Systematic Conscom Limited
 
 MAS Middle East Ltd. (FZE)
 
 Motherson Bergstrom HVAC Solutions Pvt. Ltd.
 
 NACHI Motherson Precision Ltd.
 
 e.  Joint venturer:
 
 Sumitomo Wiring Systems Limited, Japan
 
 Kyungshin Corporation, Korea
 
 Woco Franz Josef Wolf Holding GmbH, Germany
 
 Balda AG, Germany (up to May 17, 2010)
 
 Calsonic Kansei Corporation, Japan
 
 E-Compost Pty. Limited, Australia
 
 Dremotech GmbH & Co. KG., Germany
 
 8.  The Company has a comprehensive system of maintenance of
 information and documents as required by the transfer pricing
 legislation under sections 92-92F of the Income Tax Act, 1961. Since
 the law requires existence of such information and documentation to be
 contemporaneous in nature, the Company appoints independent consultants
 for conducting a Transfer Pricing Study to determine whether the
 transactions with associate enterprises are undertaken, during the
 financial year, on an arms length basis. Adjustments, if any, arising
 from the transfer pricing study shall be accounted for as and when the
 study is completed for the current financial year. However, the
 management is of the opinion that its international transactions are at
 arm''s length so that the aforesaid legislation will not have any impact
 on the financial statements, particularly on the amount of tax expense
 and that of provision for taxation.
 
 9.  The corresponding figures of previous year have been regrouped,
 rearranged wherever necessary to conform to the current year''s
 classification.