The last few years have seen Nakoda reinforce the foundation of its
 business. It has established strong operational capabilities. It gives
 me great pleasure to share with you through this Annual Report, the
 results and progress of the company during the past year.
 
 The company performance has been encouraging in the Financial Year 2010
 despite the challenges arising out of the global economic meltdown. We
 have achieved a robust growth in financial results for the year ending
 December 31, 2010. The sales for the year were Rs.1339 cr. and profit
 after tax stood at over Rs. 33 cr.
 
 India is at an inflection point of sustained growth, and so is Nakoda.
 With well differentiated products, and a healthy balance sheet, Nakoda
 has embarked on a journey of accelerated growth. With the intention of
 doubling its business over the next 3-4 years, it has charted a
 3-pronged business strategy.
 
 - Grow the core business
 
 - Extend the core business
 
 - Extend beyond the core
 
 Nakoda occupies a strong position in manufacturing POY/FDY and its
 endeavor is to continue to further consolidate its strength. As a
 
 part of its strategy to grow the core business, it has enhanced its
 spinning capacity from 50,000 MTPA to 1,00,000 MTPA, and Texturising
 capacity from 1070 MTPA to 30,000 MTPA.
 
 Nakoda has extended its core business by implementing a Continuous
 Polymerisation (CP) Plant as backward integration with capacity of
 1,40,000 MTPA.
 
 As a major step towards extending beyond the core, Nakoda identified
 Renewable Energy as an exciting sector and invested in wind power
 projects at Tamilnadu & M.P. It entered with a 6.75 MW wind mill
 project at Tamil Nadu and enthused by considerable success, it has
 expanded its wind mill capacity to 12 MW by putting up another wind
 mill project of 5.25 MW in Madhya Pradesh.
 
 Nakoda also successfully extended beyond the boundaries, and its South
 Korean subsidiary Indo Korean Petrochem Limited commenced production
 during September 2010 The Korean CP Plant has a capacity of 1,00,000
 MTPA.
 
 Mr. P. P. Vora and Mr. P. J. Shah have joined Nakoda Board as Non
 executive Independent Directors.  Nakoda will benefit immensely from
 their expert knowledge& vast experience.
 
 Nakoda issued 2,000,000 GDRs at a price of USD 12.125 per GDR
 representing 60,000,000 Underlying equity shares of Rs.5/- each at a
 price of Rs.18/- per share including share premium of Rs.13/- per
 share. GDRs are listed on Luxembourg Stock Exchange and Underlying
 equity shares are listed on BSE.
 
 The company is positioned to stay on the growth track backed by its
 financial strengths. Our performance in the year 2010 enhances our
 confidence that we are well prepared for an increasingly competitive
 environment and reinforces our ability to deliver value products
 efficiently. In the coming year we will strive to maintain our growth
 momentum by focusing on qualitative growth.
 
 Let me conclude by thanking all our people, sub contractors, banks and
 other stake holders for their support during the year, and also thank
 you for your support as a shareholder. I look forward to further
 develop our business and reach new heights.
 
 Sincerely
 
 B. G. Jain 
 CMD