Income from Investments & Dividend - Quarter ended & year ended March 31, 2009 includes income of RS 0.66 crores & Rs 16.88 crores respectively earned from liquid mutual fund & Rs 15.30 crores being dividend from subsidiary company..

1. The consolidated and standalone financial results of Edelweiss Capital Limited (ECL or the Company) for the quarter and year ended March 31, 2009 have been reviewed by the Audit Committee and approved by the Board of Directors at its meeting held on May 22, 2009.

2. The Company conducts its operations along with its subsidiaries and associates. The consolidated financial statements are prepared in accordance with the principles and procedures for the preparation and presentation of consolidated accounts as set out in the Accounting Standards (AS 21 and AS 23) prescribed by Companies (Accounting Standards) Rules, 2006. The financial statements of the holding company and its subsidiaries have been combined on a line-by-line basis by adding together the book values of like items of assets, liabilities, income and expenses after
eliminating intra-group balances, transactions and resulting unrealised gains/losses. The investment in associates is accounted on Equity Method. The consolidated financial statements are prepared by applying uniform accounting policies.

3. The Operating Cost in the consolidated results includes Securities Transaction Tax (STT) cost of Rs. 10.75 crores and Rs. 72.04 crores for the quarter and year ended March 31, 2009 respectively. This is in line with the amendment in the Income Tax Act, 1961, pursuant to which the STT is an item of expenditure w.e.f. the current year.

4. CRISIL has assigned the rating of ´P1+´ (pronounced ´P one Plus´) to the Short Term Debt Programmes of ECL for Rs. 1,500 crores and ICRA has assigned the rating ´LAA-´ (pronounced ´Ldouble A minus´) to the Long Term Debt Programme of ECL for Rs. 350 crores (enhanced from Rs. 200 crores). The ratings as mentioned for these Programmes/ Issues continue to remain in force.

5. During the quarter, the Company has not granted any options under Employee Stock Option Scheme and the stock options outstanding with employees of the Company and its subsidiaries as at March 31, 2009 are 63,88,055.

6. The Board of Directors recommended dividend of Rs. 3 per share (on an equity share of face value of Rs 5 each). The payment is subject to the approval of the shareholders at the ensuing Annual General Meeting of the Company.

7. The previous financial year/ period figures have been regrouped/ reclassified wherever necessary to
conform to current financial year/period presentation.

Rashesh Shah
Chairman