(i) Provisions
 
 In respect of warranty obligations, provision is made in accordance
 with terms of sale of vehicles vide schedule XIV (c) to the Balance
 Sheet.
 
 (ii) Contingent liabilities
 
 The amount for which the Company is contingently liable is disclosed in
 note no. 11.
 
 (iii) Contested liabilities are detailed in note no. 12.  2 Share
 capital
 
 Authorised share capital increased to Rs.50 crores from Rs.25 crores on
 account of bonus equity shares issued on 10th September, 2010.
 
 Sundaram-Clayton Limited, Chennai holds 4,20,00,000 (last year
 2,10,00,000) Equity shares of Re.1/- each while its wholly owned
 subsidiary Anusha Investments Limited, Chennai holds 23,06,82,786 (last
 year 11,53,41,393) Equity shares of Re.1/- each.  This aggregates to
 57.40% (last year 57.40%) of the share capital of the Company.
 
 3 (a) Amount of loan payable within one year:
 
 (b) Details of securities created for Loans:
 
 BANKS
 
 (i) External Commercial Borrowings secured by exclusive charge by way
 of hypothecation of specific moveable properties including moveable
 plant and machinery located at Mysore Plant.
 
 (ii) Rupee Term loans
 
 (a) First and exclusive charge on specific plant and machineries
 located at Hosur plant.
 
 (b) Charge on pari-passu basis on the movable plant and machinery,
 machinery spares, tools and accessories and other movables, both
 present and future situated in all plants, with the existing term loan
 lenders.
 
 (iii) Cash credit facilities
 
 First charge by way of hypothecation and / or pledge of current assets
 viz., stocks of raw materials, semi finished and finished goods, stores
 and spares not relating to plant and machinery, bills receivable,book
 debts and all other movable located in all plants.
 
 OTHERS
 
 (iv) Soft loan
 
 First charge on the specific plant and machineries located at Hosur
 Plant and also secured by equitable mortgage created by way of deposit
 of title deeds of lands admeasuring 3.78 acres situated at
 Kothakondapalli, admeasuring 51.58 acres situated at Motham Agraharam,
 and admeasuring 11.98 acres situated at Mookandapalli - villages in
 Harita, Hosur, Krishnagiri district, in the State of Tamil Nadu.
 
 4 Land
 
 Title deed in respect of land acquired near Ahmedabad in Gujarat at a
 cost of Rs.0.01 crore is yet to be received from the registering
 authority.
 
 During the year, 3 acres and 24 guntas of lands were converted from
 leasehold to freehold.
 
 5 Miscellaneous expenditure not written off
 
 (a) New product launch expenses carried forward from earlier years upto
 31-03-2009 are charged off over 36 months. On and from the year ended
 31-03-2010, new product launch expenses are charged off fully in the
 year of incurring such expenditure.
 
 (b) Expenditure incurred in raising External Commercial Borrowings is
 being written off over the period of the loan.