1.  Contingent Liabilities Not Provided Forin respect of :
 
 a) Net Outstanding commitments against Letter of Credits established by
 the Company: Rs.6,537.80 Lacs (Previous Year Rs.5088.05 Lacs)
 
 b) Guarantees given by banks on behalf of the Company: Rs 458.08 Lacs
 (Previous Year: Rs. 440.05 Lacs)
 
 c) Claims against the company not acknowledged as debt :-
 
                                     As at            As at
 
 NatureofClaim                      31.03.11         31.03.10
                                         (Rupees in Lacs) 
 
 i) Disputed Sales Tax 
    Demands              -Gross       138.13           149.93
 
                         -Net of tax   92.24            98.97
 
 ii) Disputed Demand 
     under Income Tax Act                NIL            12.95
 
 iii) Other claims       -Gross         49.61           45.32
 
                         -Netoftax      33.13           29.92
 
 2.  Estimated value of contracts on capital account remaining to be
 executed and not provided for (net of advances): Rs.6382.66 Lakhs
 (Previous Year: Rs.2,324.91 Lacs).
 
 3.  In the opinion of Board, the value on realisation of current
 assets, loans and advances in the ordinary course of business shall not
 be less than the amount at which they are stated in the balance sheet
 and provision for all known liabilities has been made and contingent
 liabilities disclosed properly.
 
 4.  The company has identified that there is no material impairment of
 assets and as such no provision is required in terms of Accounting
 Standard-28 issued by the Institute of Chartered Accountants of India.
 
 5.  Segment Reporting
 
 The Company''s business activity falls within a single primary business
 segment i.e, Automotive Airconditioning Systems (with or without Fan
 Motor Assembly) and parts thereof. Export sales constitute an
 insignificant portion of the total business of the company. Hence,
 there is no geographical segment as well. Therefore, the disclosure
 requirements ofAccounting Standard — 17 on ''Segment Reporting'' issued
 by the Institute of Chartered Accountants of India are not applicable.
 
 6.  Related Party Disclosures
 
 In terms ofAccounting Standard — 18 issued by the Institute of
 CharteredAccountants of India, the particulars of transactions with
 related parties are given as under:
 
 a) Name of related parties and description of relationship (as
 certified by the management & relied upon bythe auditors):- i) Key
 Management Personnel
 
 - Mr. Ramesh Suri, Chairman
 
 - Ms. Shradha Suri, Managing Director (Daughter of Mr. Ramesh Suri)
 
 ii) Relatives of Key Management Personnel
 
 - Mrs. Ritu Suri (Wife of Mr. Ramesh Suri) iii) Subsidiary Company
 
 - Thai Subros Ltd., Thailand iv) Joint Venture Company
 
 - Denso Subros Thermal Engineering Centre India Ltd. (DSEC)
 
 v) Entities over which Key Management Personnel or their relatives are
 able to exercise significant influence:
 
 - SHS Transport (P) Ltd.
 
 - Rohan Motors Limited
 
 - Hemkunt Service Station (P) Ltd.
 
 - Tempo Automobiles (P) Ltd.
 
 - M/s. Ramesh Suri (HUF)
 
 - Prima Telecom Ltd.
 
 d) Exchange gain/(loss) accounted during the year:
 
 i) Exchange Gains/(Loss) credited               Gain Rs.1,193.75 Lacs
    to Profit and LossAccount                     (Previous Year Gain 
                                                    Rs.442.64 Lacs)
 
 ii) Difference between forward rates and           Rs.106.22 Lacs
     spot ratestoberecognisedin                   (Previous Year 
                                                    Rs.10.54 Lacs)
     subsequent years
 
 c) Provision for taxation has been made after taking into account the
 benefit available on expenditure incurred on R & D Centre. Such
 expenditure are subject to approval of appropriate authorities.
 
 7. Following expenditure were incurred on making tools and dies to be
 used in-house as capital assets which have been capitalised with tools
 and dies or clubbed with Capital Work-in- Progress,as the case may be
 :-
 
 Defined Benefit Plan
 
 The employees'' gratuity fund scheme managed by a Trust is a defined
 benefit plan. The present value of obligation is determined based on
 actuarial valuation using the Projected Unit Credit Method, which
 recognizes each period of service as giving rise to additional unit of
 employee benefit entitlement and measures each unit separately to build
 up the final obligation. The obligation for leave encashment is
 recognized in the same manner as gratuity.
 
 The estimates of rate of escalation in salary as considered in
 actuarial valuation, take into account inflation, seniority, promotion
 and other relevant factors including supply and demand in employment
 market. The above information is certified by the actuary.
 
 The expected rate of return on plan assets is determined considering
 the LIC''s policy for plan assets management.
 
 8.  Borrowing cost amounting to Rs. 257.56 lacs (Previous Year :
 120.37 lacs) has been capitalised with the cost of fixed assets as per
 Accounting Standard 16 issued by Institute of CharteredAccountant of
 India.
 
 9.  As informed there was no supplier who was registered under  The
 Micro, Small and Medium Enterprises (Development)Act, 2006.
 
 10.  Balance confirmations have not been received from some of the
 parties showing debit/credit balances.
 
 11.  Previous year''s figures have been regrouped/rearranged wherever
 considered necessary to confirm to this year''s classification.
 
 Statement pursuant to section 212 of the Companies Act, 1956
 relatingtothe subsidiarycompany
 
 1.  Nameofthe subsidiary : THAI SUBROS LIMITED
 
 2.  Financial Year of the subsidiary ended on : 31st March, 2011
 
 3.  No. of shares held in Subsidiary 
     Company on the above date         : 599300 Common Shares of THB 5/-
                                         Each and 700 Common Shares of 
                                         THB 5/- each held through seven
                                         individuals
 
 4.  ExtentofHolding (%)               : 99.88%ason31/03/2011 and
                                         balance 0.12% held through 
                                         seven individuals
 
 5.  Net aggregate amount of profit/(loss) of the subsidiary
 so far as they concern members of the Company:
 
 A)   dealt with in the Accounts of Subros Limited amounted to:-
 1) for subsidiary''s Financial year ended on 31st
 
 March, 2011 (RsinLakhs)                                      : NIL
 
 2) for previous Financial Years of the subsidiary since
 it became subsidiary of Subros Ltd(Rs in Lakhs)              : NIL
 
 B)   not dealt with in the Accounts of Subros Ltd amounted to:-
 1) for subsidiary''s Financial year ended on 31st
 
 March, 2011 (RsinLakhs)                                      : 30.92
 
 2) for previous Financial Years of the subsidiary since
 
 it became subsidiary of Subros Ltd (Rs in Lakhs)             : 9.37