(a) The financial statements of the company have been prepared under
 the historical cost convention. Items of income and expenditure are
 recognised on accrual basis unless otherwise stated.
 
 (b) Fixed Assets are stated at cost less depreciation (on Straight Line
 Method at applicable rates prescribed in Schedule XIV of the Companies
 Act, 1956, on a pro-rata basis).
 
 (c) i) Raw materials, Stores & Spares and Trading goods are valued at
 cost determined on the weighted average method or market price
 whichever is lower.
 
 ii) Work-in-process is valued at cost inclusive of appropriate
 production overheads.
 
 iii) Finished goods are valued at Cost or Market Price whichever is
 lower.
 
 (d) Transactions in Foreign currencies to the extent not covered by
 forward contracts are accounted for at exchange rates prevailing on the
 dates on which the transactions took place.  Losses and gains arising
 from subsequent fluctuations are recognised as and when they are
 crystallised. Foreign Currency Loans & Creditors and corresponding
 fixed assets and purchases are stated at exchange rates prevailing on
 the date of the Balance Sheet.
 
 (e) The diminution in carrying amount of investment which are
 considered temporary are not provided for in the books.
 
 (f) Sales are net of returns and are inclusive of sale of Raw
 Materials, stores & spares and impact of foreign exchange gain/loss if
 any. Accordingly, consumption of Raw Materials and Stores & Spares also
 includes the sale thereof, if any.
 
 (g) Purchases are net of rebates and discounts including those in
 respect of purchases made in earlier years and impact of foreign
 exchange gain / loss, if any.
 
 (h) The foreign exchange gain / loss on Foreign Currency Term Loans,
 External Commercial Borrowings, Foreign Currency Convertible Bonds,
 Capex FLC, Buyer''s Credit and Supplier''s Credit have been shown as
 exceptional items in the Statement of Profit and Loss.
 
 (i) In respect of retirement benefits in the form of Provident Fund,
 the contribution payable by the Company for the year is charged to
 revenue.
 
 (j) Liability for future payment of Gratuity to employees is covered by
 Group gratuity scheme of Life Insurance Corporation of India.  The
 amount paid/payable to them is charged to revenue as and when demand is
 raised. The Company has obtained an actuarial valuation certificate for
 the total amount of gratuity to be provided till 30th June 2011. The
 provision for the period from 01st July 2011 to 30th June 2012 has been
 made on an estimated basis pending the actuarial valuation certificate.
 
 (k) Payment to employees in respect of encashment of leave is accounted
 for as and when claimed by the employee concerned and paid by the
 Company.
 
 (l) No provision is made in books of account for future liability,
 being unascertainable, that may occur on account of warranty on
 company''s products [Please refer Note No. 28(d) also]
 
 (m) Fixed Assets are reviewed at each Balance Sheet date for
 impairment. In case, events and circumstances indicate any impairment,
 recoverable amount of fixed assets is determined.  An impairment loss
 is recognised, wherever the carrying amount of assets either belonging
 to cash generating unit or otherwise exceeds recoverable amount. The
 recoverable amount is the greater of net selling price of assets or its
 value in use. In assessing the value in use, the estimated future cash
 flow from the use of assets is discounted to their present value at
 appropriate rate. An impairment loss is reversed if there has been
 change in the recoverable amount and such loss no longer exists or has
 decreased. Impairment loss/ reversal thereof is adjusted to the
 carrying value of the respective assets, which in case of cash
 generating unit, are allocated to assets on a pro- rata basis.
 
 (n) Borrowing cost incurred in relation to the acquisition or
 construction of assets are capitalised / allocated as part of the cost
 of such assets till the date of completion of such assets.  Other
 borrowing costs are charged as an expense in the year in which these
 are incurred.