Torrent Pharmaceuticals

1. Excise Duty shown as deduction from Domestic Sales represents the
 amount of excise duty collected on sales.  Excise duty expenses under
 Schedule - 18, Manufacturing and Other Expenses, represents the
 difference between excise duty element in amounts of closing stocks and
 opening stocks, excise duty paid on samples and on inventory write-off,
 which is not recoverable from sales.
 
 2.  The accruing liability on account of gratuity (retirement benefit
 in the nature of defined benefits plan) is accounted as per Accounting
 Standard IS (revised 2005) Employee Benefits.
 
 General Description of the Plan :
 
 The Company operates a defined benefit plan (the Gratuity Plan)
 covering eligible employees, which provides a lump sum payment to
 vested employees at retirement, death, incapacitation or termination of
 employment, of an amount based on the respective employees salary and
 the tenure of employment.
 
 3.  Accounting Standard 17 requires segment information to be
 presented on the basis of consolidated financial statements.
 Accordingly segment information is disclosed in consolidated financial
 statements.
 
 4.  Previous year figures have been regrouped wherever necessary so as
 to make them comparable with those of the current year.