Dear Members,
 
 The Directors present the Twenty Ninth Annual Report on the business
 and operations of the company and the audited statements of the
 accounts for the year ended 31 st March 2011.
 
 1.  FINANCIAL RESULTS AND OPERATIONS:
 
 The summarized financial results for the year ended 31st March 2011 as
 compared with the previous year are as under:-
 
                                                         (Rs. In lakhs)
 
 PARTICULARS                             For the year      For the year
                                            2010-11          2009-10
 
 a.   Sales & incentives                    2567.84          3397.08
 (excluding excise & sales tax)
 
 b.   Profit before interest,                293.05           393.90
 depreciation and taxes
 
 c.   Interest                               291.69           263.20
 
 d.  Depreciation                            103.30           103.45
 
 e.   Profit before tax                     (101.94)           27.25
 
 f.    Prior period adjustments (net)          0.00             0.00
 
 g.    Provision for taxation:
 
 - Current                                     0.00             8.72
 
 - Deferred                                    8.78             0.00
 
 h.   Net profit(loss)                      (110.73)           18.53
 
 Your Company has achieved the gross turnover of Rs.2567.84 lakhs as
 against a turnover of Rs.3397.08 lakhs achieved during the previous
 financial year. The Company''s export sales Increased from Rs.  87.74
 lakhs to Rs. 173.38 lakhs during the period under review.
 
 The company has incurred a Net Loss of Rs 101.94 lakhs for the year
 under review as against Net Profit of Rs. 18.53 lakhs earned during the
 previous financial year.
 
 2.  MARKETING
 
 The service rendered by your company to the customers, continues to be
 the best in the industry which can be attributed to the long-lasting
 strive of the service personnel for improvement.
 
 3.  INDUSTRY OUTLOOK
 
 With the sustainable growth in steel producing capacities particularly
 in India and increased demand for quality Iron and Steel particularly
 from manufacturing, construction and automobile sectors, it is expected
 that demand for refractories would continue to rise.
 
 4.  DIRECTORS
 
 At the ensuing Annual General Meeting Sri.  Mahesh Kumar Agarwal and
 Sri. Muralidhar Agarwal, Directors of the Company will be retiring by
 Rotation and being eligible offer themselves for re-appointment in
 terms of Section 256 of the Companies Act, 1956.
 
 None of the directors of the company are disqualified for being
 appointed as directors as specified in Section 274 of the Companies
 Act, 1956. Your Board of Directors recommends their reappointment.
 
 5.  DIRECTORS''RESPONSIBILITY STATEMENT
 
 As per the requirements of section 217(2AA) of the Companies Act, 1956,
 in respect of the Director''s responsibility statement, the Directors of
 the Company hereby confirm.
 
 a.  That in the preparation of the accounts for the financial year
 ended 31st March, 2011, the applicable accounting standards have been
 followed along with proper explanation relating to material departures.
 
 b.  That the Directors'' have selected such accounting policies and
 applied them consistently and made judgment''s and estimates that were
 reasonable and prudent so as to give a true and fair view of the
 financial year and of the profit of the Company for the year under
 review.
 
 c.  That the Directors have taken proper and sufficient care for the
 maintenance of the 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.
 
 
 d. That the Director''s have prepared the
 accounts for the financial year ended 31st March, 2011 on a going
 concern basis.
 
 6.  AUDITORS
 
 M/S SRB & Associates, Chartered Accountants, Auditors of the company
 hold office until the conclusion of the Twenty Ninth Annual General
 Meeting and are eligible for re-appointment.
 
 7.  FIXED DEPOSITS
 
 The Company has not accepted any fixed deposits from the public within
 the meaning of section 58A of The Companies Act, 1956 and, as such no
 amount of principal or interest was outstanding as of the balance sheet
 date.
 
 8.  DIVIDENDS
 
 No dividend is recommended by the Board of Directors for the year under
 review.
 
 9.  PARTICULARS OF EMPLOYEES
 
 No employee of the company was in receipt of remuneration, which
 requires disclosure under section 217(2A) of the Companies Act, 1956
 read with the Companies (Particulars of Employees) Rules, 1975.
 
 10.  ENHANCEMENT OF AUTHORISED CAPITAL
 
 The Company has enhanced its Share Capital from Rs. 15,00,00,000 to Rs.
 25,00,00,000, with the consent of Members in the Annual General Meeting
 held on 27th September, 2010. However, due to deficit in funds the
 Company was unable to file the Form-5 in respect of the same. The
 company is taking necessary measures for filing Form-5.
 
 11.  CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE
 EARNING AND OUTGO
 
 Particulars pursuant to the provisions of section 217(1)(e) of the
 Companies Act, 1956 read with the Companies (Disclosures of particulars
 in the report of Board of Directors) Rules, 1988 are given in the
 Annexure-A.
 
 12.  CORPORATE GOVERNANCE
 
 A separate report on corporate governance along with the Auditors''
 Certificate on its Compliance is attached to this report.
 
 CERTIFICATE
 
 The company has obtained a compliance certificate in accordance with
 the provisions of Section 383A of the Companies Act 1956The certificate
 is attached there to.
 
 ACKNOWLEDGEMENT
 
 Your Directors wish to place on record the sincere thanks for the
 co-operation and support received from various agencies of the Central
 and State Government and also from the company''s bankers State Bank of
 India, State Bank of Hyderabad, State Bank of Bikaner & Jaipur and
 Andhra Bank.
 
 Your Directors also take this opportunity to place on record their
 appreciation of the dedication and sense of commitment shown by the
 employees at all levels and their contribution towards the performance
 of the company.
 
                                                By order of the Board 
                                       For RAASI REFRACTORIES LIMITED
 
 Date: 19-08-2011                                 Ashok Kumar Agarwal
 
 Place: Hyderabad                                  Executive Chairman