The Members of
 
 Patel Integrated Logistics Limited.
 
 The Directors have pleasure in presenting their 49th Annual Report and
 the Audited Statement of Accounts for the year ended 31st March 2011.
 
 FINANCIAL RESULTS :
 
 The financial results are as under: 
 
                                                     (Rs. in lakhs)
 
                                      Year ended        Year ended 
                                31st March, 2011  31st March, 2010
 
 Profit before Interest, 
 Depreciation & Tax                      1630.89           1565.12
 
 Less : Interest                          740.49            575.81
 
 Profit before Depreciation               890.40            989.31
 
 Less : Depreciation                      388.76            372.11
 
 Profit before tax                        501.64            617.20
 
 Less : Provision for tax                 191.50            163.00
 
 Less : Deferred Tax                       (7.43)            (4.03)
 
 Less : (Excess)/Short 
 Provision of Income 
 Tax for earlier years                     (1.23)             2.00
 
 Profit after tax                         318.80            456.23
 
 Add : Balance of Profit 
 from previous year                      1175.15            894.76
 
 TOTAL                                   1493.95           1350.99 
 
 APPROPRIATIONS:
 
 Equity Dividend                          150.79            150.79
 
 Tax on Dividend                           24.46             25.05
 
 Transfer to General 
 Reserve                                  200.00                 -
 
 Balance carried to 
 Balance Sheet                           1118.70           1175.15
 
 TOTAL                                   1493.95           1350.99
 
 
 PERFORMANCE REVIEW:
 
 Your Company is a ''Total Logistics Solutions Provider'' with products
 like Conventional Road Transport, Co-Loading of Air Freight and
 Consolidation of Cargo, both Domestic and International, Logistics and
 Retail Cargo movement, under its belt.
 
 Total income earned by the Company during the year under consideration
 stood at Rs.43086.70 Lacs. The Profit Before Tax is Rs. 501.64 lacs and
 Profit After Tax is Rs. 318.80 lacs.
 
 The Net Worth of your Company is Rs. 8698.33 lacs while the fixed
 assets base is Rs.4592.33 lacs. The Earning Per Share is Rs.2.11
 
 DIVIDEND :
 
 For the year under consideration, the Board of Directors have
 recommended a dividend of Re.1/- per share on the equity share capital
 of the Company.
 
 FUTURE PLANS AND OUTLOOK:
 
 The outlook of transportation and logistics industry is bright as our
 Indian economy is growing steadily. With the global express service
 industry riding its growth on the wave of surge in global trade, there
 is very bright future for express service industry in India.
 
 Your Company has entered into its 50th Year of existence. Your Company
 plans to spread its wings in the Express Retail segment and increase
 its market share. The strategies have been drawn to increase the
 business of Patel Retail in the financial year 2011-12.
 
 Keeping in mind our business strategy for Retail Express, we have
 upgraded our major hubs and now we intend to introduce mechanized
 operations and mechanized stacking systems. This will be supported by
 strong marketing campaign and training programmes for operating people.
 
 We are also moving towards the expansion of our warehousing business
 and 3PL logistics business in 2011-12 and have plans to build our
 assets base for long term perspective.
 
 The Air Cargo Industry in India is poised for significant growth in the
 year 2011-12. With further liberalization of the economy and
 declaration of open sky policy by the Government the air traffic in
 India is experiencing a boom. There is significant growth across all
 categories of traffic, aircraft movement, cargo traffic, etc. The
 country is witnessing a double-digit growth in air traffic this year.
 This growth refects the improved economic scenario in the country. This
 growth when compared to the comparative data of world airports is
 significant and the current trend continues to be more growth oriented.
 The growth in the economy also brings in higher foreign exchange
 reserves, high inflow of foreign capital, and increase in the country’s
 percentage of world trade, which also contributes to the overall
 growth.
 
 Currently around 50 carriers operate Cargo and passenger services to
 and from India. Few more have announced their intention to enter the
 growing Indian market. With India increasingly acquiring the status of
 a manufacturing base, the cargo segment is hoping to achive all round
 further growth.
 
 With the open sky policy, with about 100 airports in the country, and
 development and growth of a number of export promotion zones, better
 infrastructural facilities, with all-round economic growth will provide
 further impetus for growth of Air Cargo Industry. Our Company if taking
 full advantage of the situation and is poised to hit the targeted
 growth figure as in the past.
 
 SUBSIDIARY:
 
 The Company does not have any Subsidiary Company as on date of this
 report.
 
 FIXED DEPOSITS:
 
 Fixed Deposits accepted by the Company stood at Rs.792.05 lacs as on
 31st March 2011. There were no unpaid or overdue deposits as on 31st
 March 2011, other than unclaimed Deposits aggregating Rs.15.46 lacs.
 During the year under consideration, amount of Rs.8,615/- being
 unclaimed fixed deposits and interest accrued thereon, has been
 transferred to the Investor Education and Protection Fund.
 
 In the current year i.e. 2011-2012, unclaimed matured fixed deposit
 with interest accrued thereon aggregating to Rs.74,798/- was
 transferred to the Investor Education and Protection Fund on 20th May
 2011.
 
 DIRECTORS :
 
 Mr. Asgar S. Patel, Director of the Company, retires by rotation at the
 ensuing Annual General Meeting and, being eligible, has offered himself
 for re-appointment as the Director.
 
 AUDITORS:
 
 M.S.P. & Company retire as the Auditors of the Company at the ensuing
 Annual General Meeting and, being eligible, offer themselves for
 re-appointment.
 
 The Company has received a letter from the Auditors to the effect that
 their appointment, if made would be within the prescribed limits under
 section 224 (1B) of the Companies Act, 1956 and that they are not
 disqualified for such re-appointment within the meaning of section 226
 of the said Act.
 
 AUDITORS’ REPORT:
 
 Your Directors refer to observations made by the Auditors in their
 Report and wish to state that the related notes forming part of the
 Accounts are provide sufficient explanations and hence no further
 comments are required on the observations of Auditors.
 
 CORPORATE GOVERNANCE:
 
 To comply with conditions of Corporate Governance, pursuant to clause
 49 of the Listing Agreements with the Stock Exchanges, a Management
 Discussion and Analysis Report, Corporate Governance Report and
 Auditors’ Certificate on the compliance of conditions of Corporate
 Governance, are included in this Annual Report.
 
 SECRETARIAL AUDIT REPORT:
 
 As a measure of good corporate governance practice, the Board of
 Directors of the Company appointed Mr. Dinesh Kumar Deora, Practicing
 Company Secretary, to conduct Secretarial Audit of records and
 documents of the Company. The Secretarial Audit Report for the
 financial year ended 31st March, 2011 is provided in the Annual Report.
 
 PARTICULARS REQUIRED TO BE FURNISHED UNDER THE COMPANIES (DISCLOSURE OF
 PARTICULARS IN THE REPORT OF BOARD OF DIRECTORS) RULES, 1988
 
 PART A - CONSERVATION OF ENERGY:
 
 The Company continues its in-house programme of enlightening and
 educating its commercial vehicle drivers for greater fuel effciencies.
 All the vehicles owned by the Company undergo an intensive Planned
 Preventive Maintenance (PPM) drill to keep the vehicles in top running
 condition with special emphasis on fuel conservation.
 
 PART B - TECHNOLOGY ABSORPTION: Not Applicable
 
 PART C - FOREIGN EXCHANGE EARNINGS AND OUTGO:
 
                                    (Rs. in lakhs)     (Rs. in lakhs)
 
                                  Year ended 31st    Year ended 31st 
                                      March, 2011        March, 2010
 
 Earnings in Foreign Exchange
 
 Air Freight Billing, and other 
 expenses (Net)                              4.03               3.66
 
 TOTAL .                                     4.03               3.66
 
 Expenditure in Foreign Currency
 
 Freight Charges                             1.17               4.27
 
 Travelling                                 10.45               5.33
 
 TOTAL .                                    11.62               9.60
 
 
 PERSONNEL & HUMAN RESOURCES :
 
 The Directors sincerely appreciate efforts put in by employees of the
 Company at all levels and thank them for their contribution in
 achieving the overall results during the year.
 
 The information required under the provisions of Section 217(2A) of the
 Companies Act, 1956, read with Companies (Particulars of Employees)
 Rules, 1975, as amended to date, is not applicable to the Company as
 during the year under consideration, there were no employees who were
 in receipt of remuneration which exceeds the limits laid down under the
 said section.
 
 DIRECTORS'' RESPONSIBILITY STATEMENT:
 
 The Directors would like to inform the Members that the Audited
 Accounts for the financial year ended 31st March 2011 are in full
 conformity with the requirement of the Companies Act, 1956. The
 Financial Results are audited by the Statutory Auditors M/s MSP & Co.
 
 The Directors further confirm that:
 
 1) in the preparation of the annual accounts, the applicable accounting
 standards have been followed;
 
 2) the accounting policies are consistently applied and reasonable,
 prudent judgement and estimates are made so as to give a true and fair
 view of the state of affairs of the Company at the end of the Financial
 Year and of the profits of the Company for that period;
 
 3) the Directors have taken proper and sufficient care for the
 maintenance of adequate accounting records in accordance with the
 provisions of the Companies Act, 1956, for safeguarding the assets of
 the Company and for preventing and detecting fraud and other
 irregularities;
 
 4) the Annual Accounts have been prepared on a going concern basis.
 
 ACKNOWLEDGEMENTS:
 
 The Directors place on record their appreciation of the continued
 assistance and support received from the Bankers, Clients, Stakeholders
 and Fixed Deposit Holders.
 
                          For and on behalf of the Board of Directors
 
 
                                                A.S. PATEL - Chairman
                                A. A. PATEL - Executive Vice Chairman
                                             P. S. G. NAIR - Director
 
 
 Registered Office :
 
 Patel House, 5th Floor, Plot No. 48, 
 Gazdarbandh, North Avenue Road,
 Santacruz (West) 
 Mumbai - 400 054.
 
 Mumbai, 30th August 2011