(a) Basis of Presentation:
 
 The financial statements are prepared under the historical cost
 convention on a going concern basis and in accordance with the
 applicable accounting standards.
 
 (b) Fixed Assets and Depreciation:
 
 Fixed Assets are stated at acquisition/historical cost and include
 expenditure incurred up to the date the asset is put to use (as reduced
 by Cenvat/VAT credit wherever applicable).
 
 Depreciation on Building, Plant and Machinery and Electrical
 Installations has been provided on Straight Line Method and on other
 assets on Written Down Value basis in accordance with the rates
 prescribed under Schedule XIV of the Companies Act, 1956 or at such
 higher rates determined taking into consideration the effective useful
 life of the assets. Assets costing less than Rs. 5,000/- are fully
 depreciated in the year of purchase.
 
 Cost of the Leasehold rights in land is amortised over the primary
 lease period.
 
 Expenses incurred during the construction period prior to commencement
 of production are classified and disclosed under Capital
 Work-in-progress (net of income earned from the related investments
 during the Project construction period).
 
 (c) Investments:
 
 Investments in shares in Subsidiary and Associate Companies being long
 term in nature, are stated at acquisition cost. Current investments are
 valued at lower of Cost and Net Asset Value.
 
 (d) Current Assets:
 
 Inventories:
 
 i. Raw materials, Packing materials and stores and spares (other than
 bonded materials) have been valued at weighted average cost and
 includes freight, taxes and duties, net of CenvatA/AT credit, wherever
 applicable.
 
 ii.  Bonded materials are valued at CIF value and Material in Transit
 at cost.
 
 iii.  Work-in-progress has been valued at cost or Net Realisable Value,
 whichever is lower.
 
 iv. Finished Goods have been valued at cost or Net Realisable Value,
 whichever is lower and inclusive of Excise Duty.
 
 v. Raw Materials, packing materials, Stores and Spares, bonded
 materials, materials in transit, work-in-process and finished goods are
 as per inventories taken, valued and certified by the Managing
 Director.
 
 Others:
 
 vi Sundry Debtors are stated after providing for Bad Debts/recoveries.
 
 (e) Foreign Currency transactions:
 
 Transactions in foreign exchange are accounted for at the rates
 prevailing on the dates of the transactions.
 
 Exchange difference, arising on forward contracts, is recognized as
 income or expense.
 
 Monetary assets and liabilities denominated in foreign currencies as at
 the balance sheet date are translated at the rate of exchange
 prevailing at the year end. The resultant difference, if any, is dealt
 with appropriately in the accounts in accordance with the Accounting
 Standard 11 and Companies (Accounting Standards) Amendment Rules, 2009.
 
 (f) Sales:
 
 Net Sales are after trade discounts and inclusive of price variation
 claims and Receipts from Turnkey Contracts.
 
 (g) Retirement benefits:
 
 Fixed contributions to Employees'' Provident Fund and Superannuation
 Fund are charged off in the accounts. Contribution to Gratuity is
 covered under a Master Policy with Life Insurance Corporation of India
 and the annual premium ascertained based on Actuarial valuation has
 been charged to Profit and Loss Account. Earned Leave salary to
 eligible employees as per Company''s policy ascertained on actuarial
 basis has been provided for in the Accounts.
 
 (h) Amortization of Deferred Revenue Expenditure:
 
 Expenditure incurred under Voluntary Retirement are expensed over a
 period of five years.
 
 (i) Research & Development:
 
 Revenue expenditure on research and development are expensed in the
 year in which they are incurred. Capital expenditure on research and
 development is shown under fixed assets.
 
 (j) Deferred Tax:
 
 Deferred Tax is recognized on timing differences, being the difference
 between taxable income and accounting income that originate in one
 period and are capable of reversing in one or more subsequent periods.
 Deferred Tax assets are recognized only to the extent there is a
 virtual certainty of its realization.
 
 (k) Lease & Rentals:
 
 Receipts: Lease and rental receipts in respect of assets leased/rented
 out are accounted, in accordance with the terms and conditions of the
 lease/rental agreements entered into with the lessees/tenants and are
 in accordance with conditions specified in Accounting Standard 19.
 
 Lease payments on assets taken on lease are recognized as an expense on
 a straight line basis over the lease term.
 
 (I) Contingent Liability:
 
 Contingent Liability is disclosed for (i) Possible obligations where
 the probability of the final outcome in favour of the company is not
 certain, or (ii) Obligations likely to arise out of past events where
 it is unlikely that an outflow of resources will be required to settle
 the obligation or a reliable estimate of the amount of the obligation
 cannot be made.