a.  Change in accounting policy
 
 Presentation and disclosure of financial statements
 
 During the year ended March 31, 2012, the revised Schedule VI notified
 under the Companies Act 1956, has become applicable to the company, for
 preparation and presentation of its financial statements. The adoption
 of revised Schedule VI doesnot impact recognition and measurement
 principles followed for preparation of financial statements. However,
 it has significant impact on presentation and disclosures made in the
 financial statements. The company has also reclassified the previous
 year figures in accordance with the requirements applicable in the
 current year. For further details, refer note 26.
 
 b.  Use of estimates
 
 The preparation of financial statements in conformity with Indian GAAP
 requires the management to make judgements, estimates and assumptions
 that affect the reported amounts of revenues, expenses, assets and
 liabilities and the disclosure of contingent liabilities, at the end of
 the reporting period. Although these estimates are based on the
 management''s best knowledge of current events and actions, uncertainity
 about these assumptions and estimates could result in the outcomes
 requiring a material adjustment to the carrying amounts of assets or
 liabilities in future period.
 
 c.  Tangible fixed assets
 
 Fixed assets are stated at cost/revalued amount where applicable, less
 depreciation. The cost comprises purchase price and directly
 attributable cost of bringing asset to its working condition for the
 intended use.  Any trade discounts and rebates are deducted in arriving
 at the purchase price.
 
 Land, Building, Plant & Machinery and Capital Work in Progress were
 revalued by a registered valuer as at 30th June, 1992 after considering
 depreciation upto that date on the governing principle of Current
 Replacement Cost and amount added on revaluation Rs. 146.12 lacs.
 Revaluation reserve was adjusted against goodwill created in a prior
 year on amalgamation and against sale/ surrender of land and building.
 
 Fixed assets other than book value of land and building were
 technically evaluated and on the basis of useful lives and obsolescence
 Rs. 632.46 lacs was devalued and charged to the profit and loss account
 for the year ended October 31, 1997.
 
 d.  Depreciation on tangible fixed assets
 
 Depreciation has been calculated under straight line method on:
 
 (a) Assets acquired prior to 1.5.1986 at the rates computed in the
 respective years of acquisition of those assets as per section
 205(2)(b) of the Companies Act, 1956.
 
 (b) Assets acquired on or after 1.5.1986 and before 16.12.1993 on a pro
 rata basis at the rates specified in Schedule XIV of the Companies
 (Amendment) Act, 1988.
 
 (c) Assets acquired on or after 16.12.1993 on a pro rata basis at the
 rates specified in the notification GSR No. 756 E dated 16.12.1993 as
 per the Schedule XIV of the Companies Act, 1956.
 
 e.  Investments
 
 Investments are stated at cost of acquisition, inclusive of expenditure
 incidental to acquisition. Long term (non trade) investments not held
 for immediate sale are valued at cost less permanent diminution in
 value, if any. Current investments are valued at lower of cost and
 fair/ market value in aggregate; Income from investments is recognised
 in the accounts in the year in which it is accrued.
 
 f.  Inventories
 
 Finished goods are valued at lower of cost and net realisable value.
 Excise duty on finished goods is included in cost only if paid.
 
 g.  Revenue Recognition
 
 Sale of scrap is recognized on disposal of scrap.
 
 h.  Income Taxes
 
 Deferred tax assets as per Accounting Standard 22 has not been
 recognized and carried forward in view of absence of reasonable
 certainty about the sufficient future taxable income.
 
 Minimum Alernate tax(MAT) paid in a year is charged to the statement of
 profit and loss as current tax.
 
 i.  Earning per share
 
 Basic earnings per share are calculated by dividing the net profit or
 loss for the period attributable to equity shareholders by the weighted
 average number of equity shares outstanding during the period.
 
 For the purpose of calculating diluted earnings per share, the net
 profit or loss for the period attributable to equity shareholders and
 the weighted average number of shares outstanding during the period
 adjusted for the effects of all dilutive potential equity shares .
 
 j. Contingent Liabilities
 
 A contingent liability is a possible obligation that arises from past
 events whose existence will be confirmed by the occurrence or non
 occurrence of one or more uncertain future events beyond the control of
 the company or a present obligation that is not recognised because it
 is not probable that an outflow of resources will be required to settle
 the obligation. A contingent liability also arises in extremely rare
 cases where there is a liability that cannot be recognised because it
 cannot be measured reliably. The company does not recognise a
 contingent liability but discloses its existence in the financial
 statements
 
 k. Cash and cash equivalents
 
 Cash and cash equivalents for the purposes of cash flow statement
 comprise cash at bank and in hand.