a.  Basis of Preparation: The financial statements are prepared under
 historical cost convention, on accrual basis of accounting, to comply
 in all material aspects with all the applicable Accounting Principles
 in India, the applicable Accounting Standards notified u/s 211(3C) of
 the Companies Act, 1956 and the relevant provisions of the Companies
 Act, 1956.
 
 b.  Use of Estimates: The preparation of financial statements in
 conformity with Generally Accepted Accounting Principles requires
 estimates and assumptions to be made that affect the reported amounts
 of assets and liabilities and disclosure of contingent liabilities on
 the date of the financial statements and the reported amounts of
 revenues and expenses during the reporting period.
 
 Differences between actual results and estimates are recognized in the
 periods in which the results are known/materialize.
 
 c.  Fixed Assets and Depreciation: Fixed Assets are stated at cost of
 acquisition or construction (including installation cost upto the date
 put to use, net of specific credits) less accumulated depreciation.
 Depreciation is provided using straight-line method based on useful
 lives as estimated by the management. The management estimate of useful
 lives for various assets is: Factory Building/Building- 28/60 years,
 Machinery - 8V2 years, Motor Cars - 10 years, Motor Truck - 8V2 years,
 Furniture - 6 years, Office equipments - 6 years, Computer/Software - 3
 years, Electrical Equipments - 6 years, Cycle - 2 years, Motorcycle - 7
 years, Rails and Trolley - 7 years and Ship - 8V2 years. Depreciation
 on additions and deletions to assets during the year is provided
 pro-rata.
 
 d.  Inventories: Stores, embedded goods and spare parts and Work in
 progress are valued at cost (FIFO basis) and contract rates
 respectively. Work in Progress in respect of Project development and
 Buildings held as stock-in-trade are valued at cost or net realizable
 value, whichever is lower.
 
 e.  Impairment of Assets: An asset is treated as impaired when the
 carrying cost of assets exceeds its recoverable value. An impairment
 loss is charged to profit and loss account in the year in which an
 asset is identified as impaired. The impairment loss recognized in
 prior accounting periods is reversed if there has been a change in the
 estimate of recoverable amount.
 
 f.  Retirement Benefits: Contribution to Provident/Family
 Pension/Gratuity Funds are made to recognized funds and charged to the
 Profit and Loss account. Provision for incremental liability in respect
 of Gratuity and Leave encashment is made as per independent Actuarial
 valuation at the year-end.
 
 g.  Foreign Currency Transactions/Translations: Transactions in foreign
 currency including acquisition of fixed assets are recorded at the
 prevailing exchange rates on the date of the transaction. All monetary
 assets and monetary liabilities in foreign currencies are translated at
 the relevant rates of exchange prevailing at the year-end. Exchange
 differences arising out of payment/restatement of long term liabilities
 relating to Fixed Assets are capitalized in accordance with The
 Companies (Accounting Standards) Amendment Rules 2009, relating to
 AS-11 The Effects of the changes in Foreign Exchange Rates, vide
 notification dated March 31, 2009 and further amended on May 13, 2011.
 
 Revenue transactions at the Foreign Branch/projects are translated at
 average rate. Fixed Assets are translated at rate prevailing on the
 date of purchase. Net exchange rate difference is recognized in the
 Profit and Loss Account. Depreciation is translated at rates used for
 respective assets.
 
 h.  In respect of Derivative Contracts, gain/loss on settlement are
 recognized and charged to Profit and Loss Accounts.
 
 i.  Investments: are stated at cost. Permanent diminution, if any, is
 provided for.
 
 j.  Recognition of Income and Expenditure: Revenue from contracts is
 recognized on the percentage
 
 completion method based on billing schedules agreed with the client on
 a progressive completion basis. In case the estimated total cost of a
 contract based on technical and other estimate is expected to exceed
 the corresponding contract value, such excess is accounted for. Claims
 and variations are recognized as revenue on acceptance of concerned
 authorities or on receipt of Award or on evidence of its final
 acceptability.  Revenue on Project Development is recognized on
 execution of sale agreement. Other Revenues and expenses are accounted
 on accrual basis.
 
 k.  Borrowing Costs: Borrowing costs directly attributable and
 identifiable to the acquisition or construction of qualifying assets
 are capitalized till the date such qualifying assets are ready to be
 put to use.
 
 L.  Taxation: The tax expense comprises of current tax and deferred
 tax. Current tax is calculated in accordance with the tax laws
 applicable to the current financial year. Deferred tax resulting from
 timing difference between book and taxable profit is accounted for
 using the tax rates and tax laws that have been enacted by the balance
 sheet date. Deferred tax assets are recognized only to the extent there
 is virtual certainty of realization in future.
 
 m.  a.  Where the Joint Venture Agreement provides for execution of
 contracts under work sharing pattern, the Company''s share of
 revenue/expenses in the works executed by it is accounted on percentage
 completion method as per the accounting policies followed by it in
 respect of contracts.
 
 b. Where the Integrated Joint Venture Agreement provides for execution
 of contracts under profit sharing arrangement, Company''s share in the
 profit/loss is accounted for as and when determined. The services
 rendered to Joint Ventures are accounted as income, on accrual basis.
 
 n.  Employees Stock Option Plan: Compensation expenses under Employee
 Stock Option Plan representing excess of market price of the shares on
 the date of grant of option over the exercise price of option is
 amortized on a straight-line basis over the vesting period.
 
 o.  Provisions and Contingent Liabilities: The Company recognizes a
 provision when there is a present obligation as a result of a past
 event that probably requires an outflow of resources and a reliable
 estimate can be made of the amount of the obligation. A disclosure for
 a contingent liability is made when there is a possible obligation or a
 present obligation that may, but probably will not, requires an outflow
 of resources.  Where there is a possible obligation or a present
 obligation that the likelihood of outflow of resources is remote, no
 provision or disclosure is made.