1.  Description of Business
 
 Sasken Communication Technologies Limited (Sasken or the Company)
 is a provider of telecommunication software services and solutions to
 network equipment manufacturers, mobile terminal vendors and
 semiconductor companies around the world. Sasken delivers end-to-end
 solutions that enable richer content delivery on next generation
 networks.
 
 Sasken has its headquarters in Bangalore, India with offices in Pune,
 Chennai, Hyderabad, Noida, China, Germany, Sweden, United Kingdom (UK),
 United States of America (USA) and South Korea.
 
 2.  Basis for Preparation
 
 The abridged financial statements have been prepared in accordance with
 the requirements of Rule 7A of the Companies (Central Governments)
 General Rules and Forms, 1956 and Clause 32 of the Listing Agreement.
 These abridged financial statements have been prepared on the basis of
 the complete set of financial statements for the year ended March 31,
 2011. The notes number in the brackets [ ] are as they appear in the
 complete set of financial statements.
 
 The complete set of financial statements have been prepared to comply
 in all material respects with the notified Accounting Standards by
 Companies Accounting Standards Rules, 2006 and the relevant provisions
 of the Companies Act, 1956. The financial statements have been prepared
 under the historical cost convention on an accrual basis, except in
 case of assets for which impairment is made and revaluation is carried
 out. The accounting policies have been consistently applied by the
 Company and are consistent with those used during the previous year,
 other than those disclosed.
 
 3.  Investments in Subsidiaries and Joint Ventures
 
 (a) As at March 31, 2011, the Company has invested Rs1,355.44 lakhs
 (March 31, 2010 Rs902.44 lakhs) for its 45.77% (March 31, 2010, 49.87%)
 equity share in ConnectM Technology Solutions Pvt. Ltd.(ConnectM).
 ConnectM has incurred losses since the date of incorporation and the
 proportionate share of cumulative loss incurred as of March 31, 2011 is
 Rs1,243.64 lakhs (March 31, 2010, Rs798.26 lakhs). The Company believes
 that ConnectM is currently in the initial stages of business
 development and these losses are initial start up losses and hence
 considers the diminution in value of investment as temporary [Note 3
 (a) in the Notes to accounts of main financial statements].
 
 (b) As at March 31, 2011, the Company and Tata AutoComp Systems Limited
 (TACO) each hold 50% of the equity in TACO Sasken Automotive
 Electronics Limited (TSAE). The shareholders of TSAE have resolved
 that the company be wound up voluntarily.  Requisite documents have
 been filed with the Registrar of Companies. Considering the closure of
 operations of TSAE, the Company has made full provision for diminution
 in the value of investments in TSAE amounting to Rs767.84 lakhs as on
 March 31, 2011 [Note 3 (b) in the Notes to accounts of main financial
 statements].
 
 (c) As at March 31, 2011, the Company has total investment of Rs635.18
 lakhs (March 31, 2010 Rs 542.86 lakhs) in Sasken Communication
 Technologies (Shanghai) Co. Ltd.(Sasken China), its wholly owned
 subsidiary. Sasken China has made a loss of Rs26.93 lakhs for the year
 ended March 31, 2011 and has accumulated losses of Rs551.60 lakhs as at
 March 31, 2011. The Company has provided for diminution of its
 investment in Sasken China amounting to Rs282.48 lakhs (March 31, 2010
 Rs144.88 lakhs). Considering that the subsidiary is still in investment
 phase, the Company is of the view that no additional provision for
 diminution is required [Note 3 (c) in the Notes to accounts of main
 financial statements].
 
 4.  Capital Commitments and Contingencies
 
 (a) Estimated amount of contracts remaining to be executed on capital
 account (net of advances) amounted to Rs316.43 lakhs (As at March 31,
 2010 Rs71.76 lakhs) [Note 4(b) in the Notes to accounts of main
 financial statements].