1 Contingent Liabilities:
 
 Outstanding bank guarantees, Letters of Credit and bills discounting -
 Rs.25,100,000 (Previous year Rs.17,990,000).
 
 2 Excise Duty:
 
 Liability towards excise duty on the company''s products (beer) is the
 primary responsibility of the purchaser in whose favour the goods are
 released and is applicable to the state in which the goods are intended
 for sale/consumption. Provision has, therefore, not been made in
 respect of excise duty liability and uncleared/ undespatched finished
 goods lying as at the year-end in factory/in bond. Such duty is also
 not determinable as it varies according to the states to which goods
 are despatched for sale. Even otherwise, the non-provision of such
 liability has no effect on the net profits for the year or on the Net
 Current Assets as at the year-end.
 
 3 As per Accounting Standard 15 ''Employee Benefits'', the disclosures of
 Employee benefits as defined in the Accounting Standard are given
 below:
 
 Disclosure Pursuant to Accounting Standard 15 (Revised) Employee
 Benefits:
 
 The Company has adopted Accounting Standard 15 (Revised) ''Employee
 Benefits'', issued by ''The Institute of Chartered Accountants of India''.
 
 As per Accounting Standard 15 (Revised) ''Employee Benefits'', the
 disclosure of Employee Benefits as defined in the Accounting Standard
 are given below:
 
 a) Defined Contribution Plan:
 
 The Company makes Provident Fund contribution to Regional Provident
 Fund Commissioner for eligible employees and Superannuation Fund
 contributions to scheme managed by Life Insurance Corporation of India
 for qualifying employees. Under the Provident Fund Scheme, the Company
 is required to contribute a specified percentage of the payroll costs
 to fund the benefits. The Company recognised Rs.3,215,523 (Previous
 Year Rs.2,591,389) and Rs.949,500 (Previous Year Rs. 679,500) for
 Provident Fund and Superannuation Fund contributions respectively in
 the Statement of Profit and Loss. The contribution payable to
 Superannuation Fund plan by the Company are at rates specified in the
 rules of the scheme.
 
 b) Defined Benefit Plan:
 
 The Company offers Gratuity as employee benefit scheme to its
 employees.
 
 The Following table sets out the funded status with Life Insurance
 Corporation of India Gratuity Fund Scheme of the Gratuity defined
 benefit scheme and the amount recognised in the financial statements.
 
 4 Fixed Assets :
 
 4.1 Following fixed assets of the restaurant ‘Reds'' at Jaipur has
 been transferred to restaurants at Amber Palace (Jaipur) and Hanuwant
 Mahal (Jodhpur) : and Brewery at Behror on its closure on 30.04.2011.
 
 4.2 Buildings (renovation) and Electric Installation valued as
 Rs.2,144,304 and Rs.653,366 respec- tively of Reds restaurant Jaipur
 has been amortised on its closure on 30.04.2011.
 
 Current Assets:
 
 5.  Includes Rs.340,000 (Face value) towards Terms Deposits with
 Oriental Bank of Commerce shown under the head ‘Cash & Cash
 Equivalent'' which have matured in 2002, 2006,2007 and 2010 and not
 renewed till date. Terms deposits receipts are deposited with Excise
 Department as Security against duty payable against excisable goods.
 
 6.  Actuarial valuation of gratuity has been carried out by LIC for
 twelve months based on employees data for the financial year 2011-12.
 Gratuity has been provided for 15 months extended amount of liability
 calculated by LIC for 12 months.
 
 7.  Taxation:
 
 7.1 Provision for Wealth -tax has been made in accordance with the
 provisions of the Wealth Tax Act , 1957.
 
 7.2 The Net Deferred Tax adjustments for the period amounting to
 Rs.46,820,087 has been recognised in the Statement of Profit and Loss
 in accordance with the Accounting Standard (AS-22) ‘Accounting for
 Taxes on Income'' issued by ‘The Institute of Chartered Accountants of
 India''.
 
 8.  Additional information pursuant to requirements of Part-II of the
 Schedule-VI to the Companies Act, 1956
 
 (As certified by the management.)
 
 9 There are no amounts payable to Micro, Small and Medium Enterprises
 as defined under the Micro, Small and Medium Enterprises Development
 Act, 2006 based on information available with the Company.  Further,
 the Company has not paid any interest to any Micro, Small and Medium
 Enterprises during the current year. This information has been
 determined to the extent such parties have been identified on the basis
 of information available with the Company and relied upon by the
 Auditors.
 
 10 Segment Reporting:
 
 10.1 Business Segments
 
 Based on the guiding principles given in Accounting Standard (AS)-17
 ''Segment Reporting'' notified by the ''Companies (Accounting Standard)
 Rules, 2006'' the company''s business segment include: manufacture of and
 dealing in Beer and Hospitality (running and maintenance of
 restaurants).
 
 10.2 Geographical Segment
 
 Since the Company''s activities / operations are primarily within the
 country and considering the nature of products / services it deals in,
 the risk and return are same and as such there is only one geographical
 segment.
 
 10.3 Segment Accounting Policies
 
 i) The generally accepted accounting principles used in the preparation
 of the financial statements are applied to record revenue and
 expenditure in individual segments.
 
 ii) Expenses that are directly identifiable to segments are considered
 for determining the segment results. Expenses which relates to the
 company as a whole are not allocated to segments and are included under
 unallocated corporate expenses.
 
 iii) Segment assets and liabilities include those directly identifiable
 with the respective segments.  Most of the assets / liabilities can be
 directly attributable to individual segments. Unallocated corporate
 assets and liabilities represents the assets and liabilities that
 relate to the company as a whole and not allocable to any segment.
 Segment assets and liabilities do not include deferred income taxes.
 
 11 In terms of Accounting Policy No.4, a diminution in the value, other
 than temporary, in the long term investment has been recognised in the
 Accounts to the extent of Rs.786,100 (previous year Rs.600,000) as
 estimated by the management.
 
 12 Disclosure of Related Parties/Related Party transactions:
 
 I) Related Parties where Control Exists:
 
 i) Entities Controlled through Directors;
 
 a) Mount Shivalik Breweries Ltd.
 
 b) Mount Shivalik Investments Ltd.
 
 c) Mount Shivalik Hotels & Resorts Pvt. Ltd.
 
 d) Ranika Investments Pvt. Ltd.
 
 e) Mount Shivalik Packaging Pvt. Ltd.
 
 ii) Key Management Personnel and their relatives;
 
 a) Shri B.D.Bali Chairman & Managing Director Mrs. Nita Rani Bali
 (Wife)
 
 Shri Monish Bali (Son)
 
 b) Shri Sanjiv Bali Managing Director Mrs. Kavita Bali (Wife)
 
 c) Shri Rajiv Bali Director
 
 d) Shri K. C. Garg Director Finance Mrs. Shashi Garg (Wife)
 
 Note : Previous year figures are indicated in brackets.
 
 13 The Financial Statements have been drawn for the period of 15 months
 ended June 30, 2012 and the figures of the previous year of 12 months
 are not strictly comparable.
 
 14.  The Revised Schedule VI has become effective from 1st April, 2011
 for the preparation of financial statements. This has significantly
 impacted the disclosure and presentation made in the financial
 statements. Previous year''s figure have been regrouped/reclassified
 wherever necessary to correspond with the current year''s
 classification/ disclosure.
 
 15 Notes 1 to 30 are annexed to and form an integral part of the
 Balance Sheet as at June 30, 2012 and the Statement of Profit and Loss
 for the period ended on that date.