1.  Corporate Overview
 
 Usher Agro Limited is engaged in the business of food processing,
 mainly basic food i.e. wheat and rice. The Company is having
 manufacturing facilities for rice and wheat milling.
 
 a) During the year there are no securities issued/converted which are
 convertible into equity/preference shares.  However On 15th December
 2009 the company has issued 60,00,000 warrants on preferential basis to
 the promoters and others to raise Rs. 2,460 lacs through preferential
 allotment. out of which, 10 Lacs warrants and 50 Lacs warrants have
 been converted in to equity share in financial year 2009-10 and 2010-11
 respectively.
 
 b) There are no calls unpaid ( Previous year No )including calls unpaid
 by Directors and Officers as on balance sheet date
 
 NOTE - 2
 
 SEGMENT INFORMATION
 
 Business Segments :
 
 The Company is operating in three different business segments i.e. food
 processing, Bio-mass power generation and logistic. However,
 considering their size, volume of operations the same are not qualified
 into the reporting criteria of Business segments as described in the
 accounting Standard (AS) 17 as Segment Reporting, issued by the
 Institute of Chartered Accountants of India (ICAI). Hence no disclosure
 is required to be made under AS-17 as Segment Reporting.
 
 Geographical Segments :
 
 The Company is carrying on its operational activities in the domestic
 market i.e. India as well as in overseas market i.e. an export hence
 geographical segment i.e domestic and overseas has identified as
 secondary segment and the details of segment results as per AS 17
 issued by ICAI are as under :-
 
 
  Provisions and Contingencies                                   In Lacs
 
  Contingent Liabilities not provided for         2011-2012    2010-2011
 
  Letter of Credit issued by the Bankers of the 
  Company in favour of suppliers                   2,664.54       276.15
 
 (Fixed deposits in the form of margin money 
  including interest thereon of Rs. 1130.24 
  Lacs (P.Y. Rs. 94.87 Lacs) have been kept with 
  respective bankers for the said 
  letter of credit)
 
 
  Letter of Credit issued by the Bankers of the 
  Company for import of capital                         Nil       796.75
  goods*. (Fixed deposits in the form of 
  margin money including interest thereon of 
  Rs. Nil (P.Y. Rs. 810.00 Lacs) have been kept 
  with respective bankers for the said 
  letter of credit)
 
 
  * Converted on the foreign exchange 
  conversion rate prevailing on the date of 
  Balance Sheet.
 
   Bank guarantees issued by the bankers of 
  the Company for EPCG License                        25.25        27.68
 (Fixed deposits of Rs. 22.25 Lacs (P.Y. Rs. 
  27.68) have been kept with respective 
  Banks for the said bank guarantees)
 
 
   Sales Tax Liability in respect of A.Y. 
  2009-10 for which the company has                  215.59       239.54
  made application for rectification of 
  order U/s 31 of UP VAT Acts.
  2008, and company also gone in to the 
  appeal with the appropriate forums.
 
 
  Sales Tax Liability in respect of a 
  matter u/s 25(i)(ii) of UP VAT Act 2008,            16.80            -
  A.Y. 2011-12 for which the company has 
  made application for rectification of 
  order U/s 32 of UP VAT Acts. 2008, and 
  company also gone in to the appeal with 
  the appropriate forums.
 
 
  Stamp Duty Liability persuant to letter 
  by Stamp Authority, Mathura,                        179.0            -
  dt 13.02.2012
 
 
  Stamp Duty Liability persuant to letter 
  by Stamp Authority, Mathura,                        111.5            -
  dt 22.02.2012
 
 
  Stamp Duty Liability persuant to letter 
  by Stamp Authority, Mathura,                        161.5            -
  dt 09.12.2011
 
 
 (The management has taken expert legal 
  opinion on the said stamp duty matter 
  and based on that opinion, the total 
  liability in the subject matter may 
  not exceed to Rs. 12.00 lacs and the 
  matter has already been taken up with 
  the appropriate authorities.
 
 
  Custom duty saved on Import of capital 
  goods under EPCG Licence Scheme                         -       251.44
 
 
 (Export obligation under the said EPCG 
  License Nil (P.Y. Rs. 1951.19 lacs)
 
 
 
 Note: The Company has given Corporate Guarantee for Foreign Currency
 Loan (ECB) of USD 132.50 Lacs (equaivalent to Rs.7460.94Llacs) taken by
 its Subsidiary Company i.e. Usher Eco Power Ltd. This guarantee has
 been given for the intervening period till the commencement of
 commercial power generation by the said subsidiary company.
 
 NOTE - 3
 
 Derivative Instruments and Unhedged Foreign Currency Exposure
 
 Derivative Instruments:
 
 The Company uses commodities / forward contracts to hedge its risk
 associated with fluctuation in prices of food grain / commodities.
 
 The company does not use forward contract for speculative purposes.
 
 In the forward contract entered by the Company, where the counter party
 is a recognised commodities exchange.  The hedging / forward contracts
 mature generally between one to six months. The company considers the
 risk of non-performance by the counter party as negligible.
 
 NOTE - 4
 
 Leases
 
 In case of assets taken on lease
 
 Finance Lease :
 
 There are no finance lease transactions in the reporting period hence
 no disclosure is required to be made under AS 19 – Accounting for
 Lease, issued by the ICAI
 
 Operating Lease :
 
 (i) Office premises, godowns and warehouses are obtained on operating
 lease basis during the financial year in relation of business. The
 lease terms are normally for 11 months and renewable at the option of
 the Company. There are no restrictions imposed in lease arrangements.
 There are no subleases.
 
 NOTE - 5
 
 The company has given a sum of AED 63,090 (equivalent to Rs. 9.53 lacs)
 towards incorporation expenses of its wholly owned subsidiary namely
 Usher Worldwide FZE in UAE. The said expenses have been shown in Note
 No.18.
 
 Though the company has been incorporated on 03.06.2012, however
 operations has not been started till the balance sheet date as there
 are further formalities to be complied with.
 
 NOTE - 6
 
 Impairment of assets
 
 As on the Balance Sheet date the carrying amounts of the assets net of
 accumulated depreciation is not less than the recoverable amount of
 those assets. Hence, in the opinion of the management, there is no
 provision for impairment loss on the assets of the Company is required
 to be made under Accounting Standard-28 (Impairment of Assets) issued
 by the ICAI.
 
 NOTE - 7
 
 Provision for Taxation
 
 Provision for current tax has been made as per provisions of the Income
 Tax Act, 1961, after considering deduction/exemptions, if any,
 available to the Company under the said Act. Further the provision for
 current tax has been made upto 31st March, 2012, financial year ending
 as per the said Act.
 
 NOTE - 8
 
 The Balances of Debtors, Creditors, Loans & Advances and other parties
 are subject to confirmation and reconciliation, if any.
 
 NOTE - 9
 
 In the opinion of the Board the Assets (other than fixed assets & non
 current investments) are approximately of the value stated if realized
 in the ordinary course of business and the provisions of all known
 liabilities are adequate.
 
 NOTE - 10
 
 Foreign Exchange Fluctuation
 
 The Company has opted for accounting the exchange differences arising
 on reporting of long term foreign currency monetary items in line with
 Companies (Accounting Standard) Amendment Rules 2009 relating to
 Accounting Standard 11(AS-11) notified by Government of India on 31st
 March, 2009. Accordingly the effect of exchange differences on foreign
 currency loans of the company is accounted by addition or deduction to
 the cost of the assets so far it relates to the depreciable capital
 assets. The total amount of foreign exchange fluctuation profit/(Loss)
 of Rs. (803.62) Lacs (P.Y. 0.99 lacs) has been reduced/added from
 CWIP/pre operative expenses account.
 
 NOTE - 11
 
 The financial statements for the year ended March 31, 2011 had been
 prepared as per the applicable, pre-revised Schedule VI to the
 Companies Act,1956 (''the Act''). During the year, the revised Schedule
 VI notified under the Act has become applicable to the Company.
 Accordingly, the Company has reclassified previous year figures to
 conform to the current year''s classification. The adoption of revised
 schedule VI does not impact recognition and measurement principle
 followed for preparation of financial statements. However, it has
 significant impact on presentation and disclosures made in the
 financial statements.