As at              As at
                                 31st March, 2011   31st March, 2010
                                  Rupees in lakhs    Rupees in lakhs 
 
 1. Contingent liabilities for :
 
 (14.1) Claims against the Company 
 not acknowledged as debts :
 
 - Incomeltax matters pending (
 other than matters set aside
 for reassessment)                      245.12              119.95
 
 - Excise and Customs matter etc         49.63                l
 
 (1.2) Outstanding Bank
 
 Guarantees etc.                        807.10              716.56
 
 2.  Premium on foreign exchange arising from forward exchange contract
 to be recognised in the accounts of future periods Rs. 183.45 lakhs
 (Previous year - Rs. 29.00 lakhs).
 
 3.  Capital Commitments [(net of advances Rs. 2,660.84 lakhs, (31st
 March, 2010 - Rs. 2,604.94 lakhs)] not provided for as at 31st March,
 2011 are estimated at Rs. 2,390.19 lakhs (31st March, 2010 - Rs.
 4,498.24 lakhs).
 
 4. As regards contribution to the provident fund maintained with
 separate Trust, in keeping with consistent practice, the Company''s
 Actuary has carried out an assessment as to the adequacy of the related
 Trust Fund for distribution of interest at the rate prescribed by the
 Government and based on such assessment an amount of Rs 20.34 lakhs (
 Previous Year-Nil) towards Shortfall in interest for the year has been
 provided for by the Company.
 
 5. For the Defined Contribution Plans amounts aggregating Rs 299.22
 lakhs( Previous Year-Rs 223.92 lakhs) have been recognized as expense
 during the year.
 
 The contribution to the Defined Benefit Plans expected to be made by
 the Company during the annual period beginning after the balance sheet
 date is yet to be reasonably determined.
 
 6.  Segment Reporting
 
 a) Information relating to the two business segments, being Carbon
 Black and Power has been disclosed as primary segments.
 
 b) Interlsegment transfers being power consumed for manufacture of
 carbon black are based on price paid for power purchased from external
 sources.
 
 c) Segment Revenues, Results and Other Information :
 
 7.  Pending completion of the relevant formalities of transfer of
 certain assets acquired pursuant to the Scheme of Amalgamation of
 Transmission Holdings limited with the Company in 2001l2002, such
 assets remain included in the books of the Company under the name of
 the transferor company.
 
 8.  In accordance with SEBI Guidelines and Members approval, the
 Company has allotted 4,964,376 Equity Shares of Rs10 each at a premium
 of Rs190 per share to the Qualified Institutional Buyers by way of
 Qualified Institutional Placements on 30th April 2010.Further in
 keeping with SEBI regulations, dividends( General and Golden Jubilee
 Year) at the rate of Rs 5 per share for the year ended 31st March 2010
 has also been paid on such shares.
 
 9.  On 30th April,2010 the Company had allotted on a preferential
 basis to certain companies in the promoter group, 1,250,000 Convertible
 Warrants against receipt of 25% of the consideration of Rs 196/ l per
 warrant determined in keeping with the related SEBI Guidelines.  Each
 Warrant is convertible into one Equity Share of nominal value of Rs
 10/- each at a premium of 186/- per share at the option of the warrant
 holders within 18 months from the date of allotment in accordance with
 relevant SEBI Guidelines and the terms of the issue upon payment of
 balance consideration by the warrant holders. The shares to be allotted
 would rank pari passu in all respect with the then existing Equity
 Shares. In case, the conversion option is not exercised before the
 expiry of the period allowed for such conversion 25% of the
 consideration received as aforesaid shall be forfeited.
 
 10.  Expenses are after adjustment of amounts reimbursed to or by the
 Company.
 
 11.  Interest expenditure is net of Rs. 409.82 lakhs (Previous Year -
 Rs.226.67 lakhs) being interest earned on Fixed Deposits and Margin
 Money Deposits and Others [Gross, Tax Deducted at Source Rs.28.21lakhs
 (31.03.2010 Rs 32.33 lakhs)] and borrowing cost capitalised Rs.851.99
 lakhs (31st March, 2010 lRs. 1508.47 lakhs)
 
 12.  Rent of Rs. 75.07 lakhs (Previous Year - Rs.116.96 lakhs) relates
 to cancellable operating leases taken on or after 1.04.2001. These
 lease arrangements range from 11 months to 3 years and are primarily in
 respect of accommodation for offices; warehouses etc.  and inter alia
 include escalation clause and option for renewal.
 
 13 Previous Year''s figures are regrouped or rearranged where considered
 necessary to
 
 Signatures to Schedules numbered 1 to 19