1. Estimated amount of contracts remaining to be executed on Capital
 
 Account and not provided for Rs.5,15,100/-(Previous year
 Rs.5,09,600/-).
 
 2. Contingent liabilities not provided for
 
 (i) Bills discounted Rs.93,51,083/-(Previous year Rs. 99,76,741/-)
 since realised.
 
 (ii) The Oil and Natural Gas Commission (ONGC) has demanded interest of
 Rs.  16,74,48,222/- in respect of its claim for additional price for
 gas supplied to the Company from 1979 to 1990 (Previous year Rs.6,98,57,137/- ).  Since the Courts have not
made any order for
 interest, the Company has not made any provision for this amount.
 
 (iii) Claims towards transportation charges on Gas disputed by Company
 Rs. 4,86,491/- (Previous year Rs. 4,86,491/-)
 
 (iv) In respect of disputed demands by the Income Tax Department Rs.
 1,66,56,198/- (Previous year Rs. 1,66,50,791/-).
 
 (v) In respect of disputed Excise duty demands Rs. 3,99,334/- (Previous
 year Rs.  27,51,295/-)
 
 (vi) In respect of disputed demands by Sales Tax Department Rs.
 6,33,903/- (Previous Year Rs. NIL/-).
 
 (vii) Other disputed demand Rs. 11,42,956/- (Previous Year - NIL)
 
 3. Agreement with the Employees' Union of Photopaper Division has
 expired on 31.03.1997 & at Vadodara Division on 31.08.1998.  The
 liability, if any, arising on account of the new agreement with respect
 to each division will be accounted in the year of settlement.
 
 4 (i) Excise duty in respect of goods manufactured by the Company is
 accounted at the time of removal of goods from the factory for sale
 and/or Captive Consumption.  Such Excise duty liability as at 31st March 1999, is estimated at Rs.8,59,047/-
(Previous year Rs.3,80,186/-).  This accounting policy has no impact on the Profit for the year.
 
 (ii) Import duty payable on goods lying in Customs Bonded Warehouse
 will, as per the Company's practice be charged in the year of clearance
 of goods.  Such liability as on 31st March, 1999 is estimated at
 Rs.1,12,48,308/- (Previous year Rs. 36,13,271/ -). This accounting
 policy has no impact on the Profit for the year.
 
 5. Based on valuation reports of the approved valuers, the following
 assets had been revalued as on 1st January, 1985 on the basis of assessment of their depreciated replacement
value, on that date, as
 shown below :
 
                 Gross   Depreciation  Depreciation  Amount written
                Amount       provided   for 1998-99      up (net of
               written  upto 31.03.98                 depreciation)
                 up on                               as on 31.03.99
           revaluation
                   Rs.            Rs.           Rs.             Rs.
 
 Land      3,14,45,381            NIL           NIL     3,14,45,381
 
 Buildings 2,15,80,288      66,12,339      4,99,044     1,44,68,905
 
           5,30,25,669      66,12,339      4,99,044     4,59,14,286
 
 Depreciation on enhanced value of buildings amounting to Rs. 4,99,044/-
 has been provided on the basis of rates determined with reference to
 their remaining useful life.  The amount of depreciation has been adjusted by way of transfer from
Revaluation Reserve Account to Profit
 and Loss Account.
 
 6. (i) Loans and Advances include loans due from a Director of the
 Company Rs.29,81,666/-;(Previous year Rs.31,00,000/-) on account of
 House Building Loan for employees in terms of clarification issued by
 Department of Company Affairs, vide Press Note No. 3/37/93-CL.V dated
 20.08.1993.  The Company is also legally advised that the aforesaid
 loan under an existing scheme for housing loan as applicable to Senior
 Executives of the Company will not attract restrictive provisions of
 Companies Act, 1956, Maximum amount due at any time during the year Rs.
 31,00,000/- (Previous year Rs. 31,00,000/-).
 
 7. (a) Sundry Creditors include Rs. 14,53,693/- due to small scale
 industrial undertakings.  Small Scale industrial undertakings to whom
 the Company owes a sum exceeding Rs. 1,00,000/- and is outstandings for
 more than 30 days as on 31st March, 1999 are
 
 Maksteel Wire Healds Pvt.Ltd., Ratnaani Timber Mart,
 
 Super Timber Co., Vishnu Timber Mart, Micron Plators,
 
 BBC Box Corporation.
 
 (b) The above information has been compiled in respect of parties to
 the extent to which they could be identified as small scale industrial
 undertaking on the basis of information available with the Company.
 
                                                   1998-1999   1997-1998
                                                      Rupees      Rupees
 
 8. Remuneration of Managing Director
 
 Salary                                             5,40,000    2,35,000
 
 Contribution to Provident Fund & Superannuation
 fund                                               1,45,800      58,420
 
 Medical Expenses                                      5,500       6,073
 
 Other Perquisites                                   112,948      48,972
 
                                                     804,248    3,48,465
 
 9. In view of inadequacy of profits, Managing Director is not entitled to any commission and as such
computation of profits in terms of
 Section 349 of the Companies Acts, 1956 is not considered necessary and hence is not given.