BOARD OF DIRECTORS Dr. G.V.CHALAPATHI SRI … · Sri. G.V.Gopinath, as relatives, are interested....

Annual Report 2009 - 2010

BOARD OF DIRECTORS

Dr. G.V.CHALAPATHI ManagingDirector* SRI G.RADHAKRISHNA JointManagingDirector**SRI G.S.SRIDHAR ExecutiveDirector(Operations)SRI G.V.GOPINATH ExecutiveDirector(FinanceandMarketing)SRI M.RAVINDRA REDDY DirectorSRI S. RAMAKRISHNAN DirectorSRI M.V.CHANDRASEKAR DirectorSRI B.SURENDER DirectorSRI G.P.N.GUPTA AdditionalDirector***SRI RAJU SWAMY AdditionalDirector***SRI SANJAY RAMASWAMI AdditionalDirector****hasresignedfromtheofficeasManagingDirectorw.e.fApril01,2010.**hasbeenredesignatedfromJointManagingDirectortoManagingDirectorw.e.fApril01,2010.***hasbeenappointedastheAdditionalDirectorw.e.fMay27,2010.

STATUTORY AUDITORS COMPANY SECRETARY AND M/s. M.SRINIVASAN & ASSOCIATES COMPLIANCE OFFICER CharteredAccountants, MR. V.RAMESHNo.5,9thFloor,BWingParsnManere602,AnnaSalai,Chennai-600006

BANKERS WORKSThe Karnataka Bank Ltd. ٭ Sholiyapalayam Village, Sholavaram,ThiruvallurDist. Chennai-600067,TamilNadu.SOLICITOR ٭ No.157/1, GNT Road, Chinnambedu PO.Sri R.Sundarrajan,Advocate,Chennai. Kavarapet,ThiruvallurDist. PIN601206,TamilNadu,Assisted Pvt.Industrial Estate ,6-6 ٭ Nellore–524004.A.P.

REGISTERED OFFICE REGISTERED OFFICE W.E.F JUNE 21, 2010No. 46, Halls Road, Kilpauk, “S.K.Enclave” No.4, (Old No.47)Chennai 600010 Nowroji Road, Chetpet,Phone:26451722,26461415,26452325 Chennai600031 Fax:91-44-26451720 Phone:26451722,26461415,26452325,E-Mail:[email protected] Fax:91-44-26451720Website:http://www.blissgroup.com E-Mail:[email protected] Website:http://www.blissgroup.com

REGISTRAR AND SHARE TRANSFER AGENT LISTING:M/S.Cameo Corporate Services Ltd., The Bombay Stock Exchange Ltd., andSubramaniamBuilding,No.1, TheMadrasStockExchangeLtd.Club House Road, Chennai - 600 002.


S.No Topic Page No.

1 Notice of Annual General Meeting 01

2 Report of the Directors 05

3 Report on Corporate Governance 12

4 Auditor’s Report 22

5 FinancialStatements 26

6 Balance sheet abstract and Company’s General Business profile 46

7 Attendanceslip&Proxyform End

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NOTICE

NOTICEisherebygiventhatthe19th ANNUAL GENERAL MEETING of the members of the Company willbeheldat10.30a.m.onThursday,theJuly29,2010atTAMILNADUFOUNDATIONINC.USA,27,Taylors Road, Kilpauk, Chennai – 600 010 to transact the following business:

ORDINARY BUSINESS:

1. Toreceive,considerandadopttheauditedBalanceSheetoftheCompanyasat31stMarch,2010andtheProfitandLossAccountfortheyearendedonthatdateandthereportsoftheDirectorsandAuditorsthereon.

2. To appoint a Director in place of Sri. S.Ramakrishnan who retires by rotation and being eligible, offershimselfforre-appointment

3. ToappointaDirectorinplaceofSriB.Surenderwhoretiresbyrotation.

4. ToappointAuditorsand fix their remuneration.TheretiringAuditorsMessrs.M.Srinivasan&Associates,CharteredAccountantsareeligibleforre-appointment.Inthisconnectiontoconsiderandifthoughtfit,topass,withorwithoutmodification(s),thefollowingresolutionasanordinaryresolution:

“RESOLVED THAT Messrs. M.Srinivasan & Associates, Chartered Accountants, be and areherebyappointedas theauditorsof theCompany toholdoffice from theconclusionof thisAnnual General Meeting till the conclusion of the next Annual General Meeting on a remuneration to be determined by the Board of Directors.”

SPECIAL BUSINESS:

5. Toconsiderandifthoughtfit,topass,withorwithoutmodification,thefollowingresolutionasan Ordinary Resolution:

“RESOLVED THAT Sri. G.P.N.Gupta, who was appointed as Additional Director at the meeting oftheBoardofDirectorsheldon27thMay2010andwhoholdsofficeassuchuptothedateof this Annual General Meeting of the Company and in respect of whom notices under Section 257oftheCompaniesAct,1956hasbeenreceivedfromamembersignifyinghisintentiontopropose Sri G.P.N.Gupta as a candidate for the office of Director of the company, be and is hereby appointed as a Director of the Company liable to retire by rotation.”


“RESOLVED THAT Sri. Raju Swamy, who was appointed as Additional Director at the meeting oftheBoardofDirectorsheldon27thMay2010andwhoholdsofficeassuchuptothedateof this Annual General Meeting of the Company and in respect of whom notices under Section 257oftheCompaniesAct,1956hasbeenreceivedfromamembersignifyinghisintentionto

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propose Sri Raju Swamy as a candidate for the office of Director of the company be and is herebyappointedasaDirectoroftheCompanyliabletoretirebyrotation.


“RESOLVED THAT Sri. Sanjay Ramaswami, who was appointed as Additional Director at the meeting of the Board ofDirectors held on 27thMay 2010 andwho holds office as such upto the date of this Annual General Meeting of the Company and in respect of whom notices underSection257oftheCompaniesAct,1956havebeenreceivedfromamembersignifyinghis intention to propose Sri Sanjay Ramaswami as a candidate for the office of Director of the companybeandisherebyappointedasaDirectoroftheCompanyliabletoretirebyrotation.

ByOrderoftheBoard For Stanpacks (India) Ltd

Place : Chennai V.Ramesh Date : May27,2010. CompanySecretary

NOTES:

1. A MEMBER ENTITLED TO ATTEND AND VOTE AT THE MEETING IS ENTITLED TO APPOINT A PROXY TO ATTEND AND VOTE INSTEAD OF HIMSELF AND THE PROXY NEED NOT BE A MEMBER. THE PROXY FORM DULY STAMPED AND EXECUTED SHOULD BE DEPOSITED AT THE REGISTERED OFFICE OF THE COMPANY NOT LESS THAN 48 HOURS BEFORE MEETING.

2. Members / Proxies should bring the Attendance slip duly filled in for attending the meeting.

3. Members are requested to bring their copy of the Annual Report. No additional copies will be providedatthevenue.

4. Members are requested to intimate to the Company, queries, if any, regarding the accounts/notice,not lessthansevendaysbeforethemeetingtoenablethemanagementtokeeptherequiredinformationreadilyavailableatthemeeting.

5. The Register of Members of the Company will remain closed from 23rdJuly2010to29thJuly,2010(bothdaysinclusive).

6. MemberswhoholdsharesindematerializedformarerequestedtobringtheirClientIDandDPIDnumbersforeasyidentificationofattendanceatthemeeting.

7. AsrequiredunderClause49oftheListingAgreementabriefbackgroundoftheDirectorsproposedforreappointmentandappointmentarefurnishedbelow:

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RESUME OF THE DIRECTORS BEING APPOINTED

AsrequiredunderClause49oftheListingAgreementwiththeStockExchanges,abriefbackground,functionalexpertiseof thedirectorsproposed forappointmentare furnishedbelowalongwith thedetailsofcompaniesinwhichtheyaredirectorsandthecommitteesofwhichtheyaremembers:

Name Qualification & Experience in

the field

Suitability to the post Other Companies in which interested as

Director or member of Committee of Directors

Sri G.P.N.Gupta DegreeinCommerce

Hehasmorethan35yearsexperienceinbusinessparticularlyinPackagingIndustry.

HeistheManagingDirectorof M/s. Jumbo Bag Limited.

Sri Raju Swamy MA(Hons)Economics

Hehasmorethan24yearsasanindependentmanagementconsultant

Member-InstituteofManagementConsultantsIndia

Member-ConfederationofIndianIndustry.

Member-TheIndusEntrepreneurs.

Member-NationalInstituteofPersonnelManagement.

Member-BangaloreManagementAssociation.

Member-MysoreChamberofCommerce&Industry

SriSanjayRamaswami

L.L.BattheUniversityofHull,UnitedKingdom

Hehaswidepracticeincivil,criminal,companylaw,banking,labouradministrativelaws,municipallawsandArbitrationlaws

FormerMember–TamilNaduLegislativeAssembly.

Member–CommitteeonDelegatedLegislation,TamilNaduLegislature.

Member–PublicUndertakingsCommittee.

Chairman–TamilNaduPublicAccountsCommittee.

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RESUME OF DIRECTOR REAPPOINTED:

Sri S.Ramakrishnan: He is a Science Graduate and has been serving as a Director of the Company since 2002. He is a member of Audit Committee, Selection/Remuneration Committee and Shareholders Investors Grievance Committee of the Company. He was the Director in M/s.Abbott Laboratories and amemberofOPPIMarketingCommittee,ProfessionalMarketingConsultants,AlumniofStaffCollege,Hyderabad,hewasthepastmemberofIndianSocietyofTraining&Development.Heiswellversedin handling production and workforce problems and HRD needs. He a Senior Marketing Consultant with anexperienceofover40yearsandextensivelytravelledinIndiaandabroad.HeisnotholdinganyshareintheCompany.HeisnotadirectorinanyotherCompany.

8. ShareholdersarerequestedtocheckwhethertheyhaveencashedDividendWarrantsforearlieryears.IftheDividendWarrantsarelostorhavebecometime-barred,pleaseapplyforDemandDraftinlieuofthoseDividendWarrantsbeforethelastdateindicatedbelow.

Dividendfortheyear

ended

Rate of Dividend

Dividendwarrantdated

DateonwhichUnpaidamountsrequiredtobepaidto the Central Government

Shareholdersshouldapply

latestby

31.3.2005 5% 27.09.2005 11.10.2012 17.09.2012

31.3.2006 5% 14.10.2006 27.10.2013 03.10.2013

EXPLANATORY STATEMENT PURSUANT TO SECTION 173(2) OF THE COMPANIES ACT, 1956

ITEM NO. 5 - 7

ThequalificationandexperienceastabledaboveadequatelysatisfiestheireligibilitynormsforholdingthepostsandmembershipintheCompanyanditsBoard.ThereisnodoubtthattheCompanywillgrowwellbyutilizingtheirrichknowledgeandexperience.Hence,theBoardrecommendsthattheirappointmentbeapprovedbytheshareholders.

None of the Directors are interested in the appointment of Sri. Raju Swamy and Sri Sanjay Ramaswami. In the case of Sri. G.P.N.Gupta, none of the directors except Sri. G.Radhakrishna, Sri G.S.Sridhar and Sri. G.V.Gopinath, as relatives, are interested.

TheBoardrecommendstheresolutionsgivensuprafortheapprovaloftheshareholders.

ByOrderoftheBoard For Stanpacks (India) Ltd

Place : Chennai-600010 V.Ramesh Date : May27,2010. CompanySecretary

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REPORT OF THE BOARD OF DIRECTORS AND MANAGEMENT

DISCUSSION AND ANALYSIS

To,

The Members,

Your Directors have pleasure in presenting their Report and the Audited Accounts of the Company for theyearended31stMarch2010.

FINANCIAL RESULTS:

ThesalientfeaturesoftheCompany’sfinancialresultsfortheperiodunderreviewareasfollows:-

Rs. In lakhs

2009-2010 2008-2009

Income

SalesandotherIncome 2702.32 2959.82

ProfitbeforeInterest,Depreciation&Taxes 194.86 85.33

Interest 185.73 203.67

Depreciation 98.54 97.43

Profit Before Tax (90.92) (213.86)

DeferredTax (27.42) (106.24)

FringeBenefitTax - 2.10

ProfitAfterTax (63.50) (109.72)

Profitofearlieryears (11.65) 98.07

Profit / (Loss) (75.15) (11.65)

DIVIDEND:

TheDirectorshavenotrecommendedanydividendduringtheyearunderreview,asthecompanydidnothaveprofitstodistribute.

OPERATIONS:

Thecompanymadeaturnoverof2694.47Lakhsasagainsttheturnoverof2887.84lakhsduringtheprevious year. This has resulted in the loss of Rs 64 lakhs. The cost of operation increased due to increaseincostofpoweronaccountofpowershutdownsandalsoincreaseinlabourcost.TheshiftingoftheMarasurfactorytoChennaihasresultedinthelossofproduction.

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TheMarasurunitdealswithproductionofagronitbags.Thedemandforwhichhasgreatlyreduced.ThescopeforexpansionatMarasur isnot inconsonantwiththecurrentmarketsituations inTamilNadu.Withoutexpansionthecostofrunningistoohightocontinuetheproductionthere.ConsideringallthesetheBoardhadapprovedtheshiftingofthesametoChennai.ThustheplantandmachineriesinMarasurUnithasbeenshiftedtoChennaiUnit.

Regarding Auditors comment in clause xvi of the annexure to the auditors report that “the company has used Rs. 97.98 Lakhs funds on short term basis for long term investment.”

ThecompanywouldliketoinformtheshareholdersthatduringtheyearthecompanyhadtoshifttheoperationfromMarasur(Bangalore)toChennaiforsynergyinoperationandtoconsolidateoperations.Thetemporarydisruptionofproductionduringthisperiod,thecostofrelocationinitialstartupexpensescoupledwiththeadditionalpowerrequirementcostwasthemajorreason,forthis.Anamounttothetune of around Rs. 37 Lakhs was invested towards the same.

Thebenefitsofthiswillaccruetoyourcompanyduringtheensuingfinancialyear.Yourcompanyisconfidentofnullifyingthiseffectduringthecurrentfiscal.

It is pertinent here to inform the shareholders that the balance amount was utilised towards Repayment ofTermLoan.

SECTOR AND INDUSTRY-WISE DEVELOPMENTS

Growth of Industry:

Therecessionarytrendcontinuedinthefinancialyear2009-10thoughitpickedupinthelaterhalfoftheyear.Thistrendmadecostcuttingacrossallsectorsmakingitdifficulttorecoveranyincreaseincost.Theraw-materialpricesincreasedinthelastquarterofthefinancialyear.

However, the year 2009 saw a significant slowdown in India’s official GDP growth rate to 6.1%.

Growth of customers and products:

Yourcompanyconsolidateditsclienteleandtheproductstoensurethevolumesofscaleareachievedtokeepthecostofproductionlow.Alsothecompanyhasbeenfocusingonitssouthernclienteletoensurethatthelogisticsdokeeptheregularoff-takefromthem.

OPPORTUNITIES AND THREATS

Opportunities:

Establishedsetofclientelegivesenoughopportunitiestoexpandtheproductionlevels.

Withitsrangeofproductsithasanadvantageoveritscompetitors.

Thewovensackindustryholdsimmensepotentialinvarioussectorswithgrowingdemand.

Threats TheincreaseinexcisedutyhasaffectedtherealizationsofAgronit. Therawmaterialpricefluctuationsaffectthesalesaswellasthebottomline.

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Thegrowinguseofrecycledplasticsbycompetitorsaffectsthesales.

Newconvertersareemerginginthefieldduetoavailabilityofsemifinishedmaterial.

Therehasbeencontinuedacuteshortageofpowerduetowhichproductionhadtobecurtailed.Powercut&fluctuationshasresultedinincreaseinwaste.

Theincreaseincostoflabourwillaffecttherealizations.

Risks and Concerns

The increase in labour cost of skilled and unskilled labour has resulted in high cost ofproduction.

Thepowershortagehashamperedtheproductionlevelsofthecompany.

Reservation of Jute packaging in food grains and other sectors.

Risk alleviation

Thefocusistoincreasethebulkvolumeclients.Thiswillenablethecompanytokeepthecostofproductionlow.

To ensure the full capacity utilization and also increase productivity by mechanization andtraining.

Ensurequality,serviceandpromptdeliveryascommitted.

Tokeepinventoriestotheminimumlevelandreducewastages.

Withwiderangeofproductsandclientele,theshift inthesectorwillenablethecompanytomaintainitsproductionlevels.

FIXED DEPOSITS:

ThetotalamountofFixedDepositsfromthePublicandShareholdersoftheCompanyasat31stMarch,2010 was Rs. 17,90,000 /-. There was no default in repayment of deposits or interest thereon on the due dates and there was no overdue/unclaimed deposit at the end of the year.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY:

TheCompanybelievesinconstantimprovementandstrivesforbettersystemsandcontrolsateverystage.TheCompanyhasadoptedvariouscontrolandmonitoringmechanisms,whichareauditedbyanindependentInternalAuditor.Thecompanyhasaproperandadequatesystemofinternalcontrolstoensurethatallassetsaresafeguardedandprotectedagainstlossfromunauthorizeduseordisposition,andthosetransactionsareauthorized,recordedandreportedcorrectly.

Theinternalcontrolisdesignedtoensurethatfinancialandotherrecordsarereliableforpreparingfinancial informationandotherdata,and formaintainingaccountabilityofassets. InternalAudit isconducted by M/s. J.V .Ramanujam & Co, Chartered Accountants, Chennai, the Internal Auditors of the CompanyandthereportoftheInternalAuditorsarereviewedbythemanagementandplacedbeforetheAuditCommittee.

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TheAuditCommitteealsoevaluatestheadequacyandeffectivenessoftheinternalcontrolsystemsandmonitorstheactiontakenpursuanttothecommittee’sobservations.AlltheshortcomingsintheregularactivitiesarebroughttothenoticeoftheCommitteeandthenalsototheBoardandcorrectiveactionsarebeingtaken.

DIRECTORS:

Sri. S.Ramakrishnan, Director retires by rotation at the ensuing Annual General Meeting and being eligible,offershimselfforre-appointment.

Sri B.Surender, Director retires by rotation at the ensuing Annual General Meeting.

During the year, Dr. G.V.Chalapathi, Managing Director and Sri. G.Muralidhar Director have resigned from the Directorship of the Company. Sri G.Radhakrishna, Joint Managing Director has taken the mantle of the Managing Director from Sri G.V. Chalapathi with effect from April 01,2010. Sri.G.P.N.Gupta, Sri. Rajuswamy and Sri. Sanjay Ramaswami were appointed as additional directors and their appointments are valid till the ensuing Annual general Meeting only. Hence their appointment to the board asNon-ExecutiveDirectors,liabletoretirebyrotationarebeingplacedbeforetheshareholders.

PARTICULARS OF EMPLOYEES:

None of the employees of the Company were in receipt of remuneration which in the aggregateexceededthelimitsfixedundersub-section(2A)ofSection217oftheCompaniesAct,1956.

ENERGY, TECHNOLOGY AND FOREIGN EXCHANGE:

Information in accordancewith the provisions of Section 217(1)(e) of theCompaniesAct, 1956read with the Companies (Disclosure of Particulars in the Report of Board of Directors) Rules, 1988 regardingconservationofenergy,technologyabsorptionandforeignexchangeearningsandoutgohasbeen set out in the Annexure-I to this Report.

CORPORATE GOVERNANCE:

The Company has complied with all mandatory provisions of Corporate Governance as prescribed undertheListingAgreementoftheStockExchangesinwhichtheCompanyislisted.Inlinewiththerequirements of Clause 49 of the listing agreement, a separate report on Corporate Governance, along withacertificatefromtheStatutoryAuditorsoftheCompanyisannexedherewithtothisreport.

DIRECTORS’ RESPONSIBILITY STATEMENT:

PursuanttoSection217(2AA)of theCompaniesAct,1956theDirectorsherebyconfirmthat theyhave:

i) FollowedtheapplicableaccountingStandardsinthepreparationoftheannualaccounts;

ii) Selected such accounting policies and applied them consistently andmade judgments andestimatesthatwerereasonableandprudentsoastogiveatrueandfairviewofthestateofaffairsofthecompanyattheendofthefinancialyearandoftheprofitsofthecompanyfortheyearunderreview;

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iii) Taken proper and sufficient care for the maintenance of adequate accounting records inaccordancewiththeprovisionsoftheCompaniesAct,1956forsafeguardingtheassetsofthecompanyanddetectingfraudandirregularities;

iv) Prepared the accounts for the financial year on a “going concern” basis.

STATUTORY AUDITORS:

TheBoardofDirectorsrecommendtheappointmentoftheAuditorsoftheCompanytoholdofficefromthe conclusion of the ensuing Annual General Meeting until the conclusion of the next Annual General Meeting and to fix their remuneration. The present Auditors, M/s.M.Srinivasan & Associates whose tenure comes to an end at the ensuing Annual General Meeting are eligible for reappointment.

INDUSTRIAL RELATIONS:

Industrialrelationscontinuedtobecordial.TheDirectorsplaceonrecordtheirdeepappreciationforthesincereanddedicatedteamworkbyallemployeesatalllevelstomeetthequality,costanddeliveryrequirementsofthecustomers.

ACKNOWLEDGEMENT:

Your Directors wish to place on record their gratitude to the Central Government and the Government ofTamilNadu,KarnatakaBankLtd.,fortheircontinuedsupportduringtheyear.YourDirectorsalsowishtoconveytheirthankstothevaluedcustomers,dealersfortheircontinuedpatronageduringtheyear.

Your Directors acknowledge with appreciation the services rendered by the Executives, Staff andWorkersoftheCompany.

ForandonbehalfoftheBoard

Chennai G.Radhakrishna G.V.Gopinath May27,2010 ManagingDirector ExecutiveDirector

CAUTIONARY STATEMENT:

Management Discussion and Analysis forming part of this Report is in compliance with Corporate Governance Standards incorporated in the listing agreement with Stock Exchanges and such statements may be “forward-looking” within the meaning of applicable securities laws and regulations. Actual results coulddiffermaterially from thoseexpressedor implied. Important factors that couldmakea difference to the Company’s operations include economic conditions affecting demand/supply and priceconditionsinthedomesticandoverseasmarketsinwhichthecompanyoperates,changesintheGovernment regulations, tax laws and other statutes and other incidental factors.

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ANNEXURE-1

INFORMATION UNDER SECTION 217(1)(e) OF THE COMPANIES ACT, 1956, READ WITH THE COMPANIES (DISCLOSURE OF PARTICULARS IN THE REPORT OF BOARD OF DIRECTORS) RULES, 1988

A. CONSERVATION OF ENERGY

a) Measurestakenforconservationofenergy:

i) WhiletheTapeplantisrunning,7unitsperhourissavedbyusageofa10HPcompressorinstead of 2H.P. compressor the cost of power conservation is round about Rs. 29 per hour

ii) The tape plant is run in 250 KVA DG instead of 325 KVA through which the company saves around 6 liters of diesel per hour which in turn saves the company Rs 228 per hour.

iii) AwarenessaboutpowersavingwascreatedamongalltheemployeesintheareaoflightingandACintheoffice.

b) Additionalinvestmentsandproposals,ifany:Nil

Impactoftheabovemeasuresonconsumptionofenergy:N.A

c) Appropriatestepsaretakenforsavingtheenergy.

d) TotalenergyconsumptionperunitofproductionasperForm-A:-

FORM-A

Sl. No. Particulars Current Year 2009-10

Previous Year2008-09

1. ElectricitypurchasedfromElectricityBoards

a. Total units purchased / consumed 20,70,063 26,12,386

b. Total amount of Electricity bill (in Rs.) 1,03,81,807/- 1,22,57,189/-

c. Rate per unit (in Rs.) 5.02 4.69

2. OwngenerationthroughDieselgenerator

Dieselgenerator(inunit) 6,01,391 2,61,833

Fuel(inltrs.) 1,82,388 81377

Averageunitgeneratedperltr. 3.30 3.21

Rate per unit (in Rs.) 11.44 10.55

B.TECHNOLOGY ABSORPTION

EffortsmadeintechnologyabsorptionasperForm-B

FORM-B

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RESEARCH AND DEVELOPMENT (R&D)

1. Specific areas in which R&D carried out by the Company:-

* R&D was carried out on both process and product development.

* R&D was carried out on the value added bags and samples also were arrived.

* Agronitbagswithstriplamination.

* On-linegussetopenintuberplant

2. Benefits derived:-

* Agronitbagscreatedmarketforstriplaminatedbags.

* On-linegussetopenveryeffectiveinlaboursaving.

3. Future plan of action:-

* Fabriclaminationwithvariouscombinationsoffabricandbags.

* Value added products identification are in progress.

Expenditure on R&D 2009-10 2008-09

a) Capital Rs. Nil Nil

b) Revenue Rs. 2,98,283 2,17,500

c) Total Rs. 2,98,283 2,17,500

d) Total R&D expenditure as a percentage of total turnover 0.10% 0.07%

C. FOREIGN EXCHANGE EARNINGS AND OUTGO 2009-2010 2008-2009

(Rupees in lakhs)

ForeignExchangeoutgo

Imports(CIF) 35.87 N i lTravel Nil N i lForeignExchangeEarned:

Exports(FOB) 89.04 45.80


Place : Chennai G.Radhakrishna G.V.Gopinath Date : May27,2010 ManagingDirector ExecutiveDirector

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REPORT ON CORPORATE GOVERNANCE

1. COMPANY’S PHILOSOPHY ON CORPORATE GOVERNANCE: The Company’s Philosophy on Corporate Governance envisages attainment of highest levels of

transparency,accountabilityandequityinallfacetsofitsoperationsandmaintainsbestpossiblestandards of Corporate Governance with the belief that all such actions will have the consequent effectofincreasingtheshareholdervalueonasustainedbasis.

2. BOARD OF DIRECTORS: • Board Composition: Sri B.Surender chairs the Board of the Company; Sri G.V. Chalapathi Managing Director,

resigned as on April 01, 2010 and Sri G.Radhakrishna, Joint Managing Director has been re-designatedastheManagingDirectorofthecompany.TheBoardconsistsof8Directorsoutofwhich4areindependentdirectors.TheCompositionoftheBoardandcategoryofDirectorsaregivenbelow.

• Board Meetings: Duringthefinancialyear,theBoardmet6timeson29thJune2009,29thJuly2009,29th

September2009,24thOctober2009,27thJanuary2010and29thMarch2010.

• Attendance of each Director at the Board Meetings and at the Last AGM and details of other Directorship as on 31st March 2010:

Name of the Directors

Category of Directorship

No of shares

held as on 31st March

2010

Attendance Particulars

No of other Directorship and Committee Membership

Board Meetings

Last AGM

Other Directorships*

Other Committee Memberships #

SriB.Surender Chairman(NEI) Nil 6 Yes 2 2(AsperAnnexureII)

Dr G.V.Chalapathi** ManagingDirector(E) 90,000 5 Yes Nil Nil

Sri G.Radhakrishna JointManagingDirector(E) 2,42,900 6 Yes 1 Nil

Sri G.S.Sridhar Director(E) 13,968 6 Yes Nil Nil

Sri G.V.Gopinath Director(E) 18,000 6 Yes Nil Nil

Sri G.Muralidhar** Director(NE) 1,62,300 5 Yes Nil Nil

Sri M.Ravindra Reddy Director(NEI) 3,500 6 Yes Nil Nil

Sri M.V.Chandrasekar Director(NEI) 59,650 6 Yes Nil Nil

Sri S.Ramakrishnan Director(NEI) Nil 6 Yes Nil Nil

E-Executive,NE-NonExecutive,NEI-NonExecutiveIndependent* DoesnotincludePrivateLimitedCompanies# Audit Committee, Share holders/Investors Grievance Committee and Selection & Remuneration Committee are

aloneconsideredforthispurpose.** Sri G.Muralidhar resigned from Directorship on 13.02.2010** Dr. G.V.Chalapathi resigned from Directorship on 01.04.2010

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3. AUDIT COMMITTEE:

AsperSec292AoftheCompaniesAct,1956readwithClause41and49oftheListingAgreement,theCompanyisrequiredtohaveanAuditCommittee.ThescopeoftheAuditCommitteeisasbelow:

1. Overseeing the Company’s financial reporting process and the disclosure of its financialinformationtoensurethatthefinancialsarecorrect,sufficientandcredible.

2. Recommending to the Board, the appointment / reappointment and if required the replacement ofStatutoryAuditorsandfixationofauditfees.

3. Approval ofpayment toStatutoryAuditors for anyother services renderedby theStatutoryAuditors.

4. Reviewing with the Management, the annual financial statements before submission to the Boardforapproval,withparticularreferenceto:

• Matters required to be included in the Directors’ Responsibility Statement to be included in the Directors’ Report in terms of sub-section (2AA) of Section 217 of the Companies Act, 1956.

• Changes,ifany,inaccountingpoliciesandpracticesandreasonsforthesame

• Major accountingentries involvingestimatesbasedon theexerciseof judgmentby themanagement.

• Significantadjustmentmadeinthefinancialstatementsarisingoutofauditfindings.

• Compliancewithlistingandotherlegalrequirementrelatingfinancialstatements.

• Disclosureofrelatedpartytransactions.

• Qualificationsintheauditreport.

5. Reviewing with the management, the performance of Statutory and Internal Auditors, adequacy ofinternalcontrolsystems.

6. Reviewing the adequacy of internal audit function, including the structure of the internal audit department,reportingstructure,coverageandfrequencyofinternalaudit.

7. DiscussionwithInternalAuditorsanysignificantfindingsandfollowupthereon.

8. Reviewing the findings of any internal investigations by the Internal Auditors into matters where thereissuspectedfraudorirregularityorafailureintheinternalcontrolsystemsofmaterialnatureandreportingsuchmatterstotheBoard.

9. DiscussionwithStatutoryAuditorsbeforetheauditcommences,aboutthenatureandscopeofauditaswellaspostauditdiscussiontoascertainanyareaofconcern.

10. To look into the reasons for substantial defaults, if any, in the payment to the depositors,shareholders(inthepaymentofdeclareddividends)andcreditors.

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11. TointroduceandreviewtheWhistleBlowingPolicy.

12. CarryingoutsuchotherfunctionasmaybespecificallyreferredtotheCommitteebytheBoardand / or other Committees of Directors of the Company.

13. Toreviewthefollowinginformation:

• Themanagementdiscussionsandanalysisoffinancialconditionandresultsofoperation;

• Statementofsignificant relatedparty transactions(asdefinedby theAuditCommittee),submittedbymanagement;

• InternalcontrolweaknessesreportedbytheStatutoryorInternalAuditors;

• Reviewing the financial statements;

• Review of uses / application of funds raised through an issue (Public issue, rights issue, preferentialissueetc.).

• CompositionoftheCommitteeasondate,Meetingsheldandattendanceduringtheyear:

Particulars Name of the Chairman/Member NoofMeetingsheld NoofMeetingsattended

Chairman SriB.Surender 4 4

MembersSri M.V.Chandrasekar 4 4

Sri S.Ramakrishnan 4 4

CompanySecretaryistheSecretarytotheAuditCommittee.

4. SELECTION & REMUNERATION COMMITTEE:

Thescopeofthecommitteeisasbelow:

Todealwithappointments,remuneration,promotionandotherrelatedaspectsinrespectoftheManagingDirector,Whole-timeDirectorandotherSeniorManagementstaffmembersoftheCompany.

Toreviewtheremunerationpolicyofthecompanyfromtimetotimewhichisinconsonancewiththeexistingindustrypractice,i.e.directedtowardsrewardingperformance,basedonthereviewonperiodicalbasis.

A Remuneration Committee under the provisions of the Schedule XIII to the Companies Act, 1956, has been constituted with Sri B. Surender, Sri M.V.Chandrasekar and Sri S.Ramakrishnan as members. Sri B.Surender is the Chairman of the Remuneration Committee. During the financial year 2009-10 there was no necessity to conduct Remuneration Committee Meeting. TheelementsofremunerationincludeBasicSalary,Allowances,Perquisitesandretirementbenefits(allfixed).

15


REMUNERATION PAID TO DIRECTORS FOR THE FINANCIAL YEAR 2009-10:

• Dr. G.V.Chalapathi, Managing Director

FixedComponents 2009-2010(Amount in Rs.)

2008-2009(Amount in Rs.)

Salary/Allowances 10,20,000 10,20,000Perquisites 65,096 39,956Retirement Benefits 90,000 60,000ProvisionforLeavesalary 29,032 -Total 12,04,128 11,19,956

• Sri. G.Radhakrishna, Joint Managing Director



Salary/Allowances 10,20,000 10,20,000Perquisites 80,174 29,858Retirement Benefits 90,000 60,000ProvisionforLeavesalary 29,032 -Total 12,19,206 11,09,858

• Sri G.S.Sridhar, Whole Time Director



Salary/Allowances 7,68,000 7,40,000Perquisites 32,852 16,406Retirement Benefits 72,000 -ProvisionforLeavesalary 23,226 50,323Total 8,96,078 8,06,729

• Sri G.V.Gopinath, Whole Time Director

FixedComponents 2009-2010Amount in Rs.)


Salary/Allowances 7,68,000 7,40,000

Perquisites 20,160 12,598

Retirement Benefits 72,000 -

ProvisionforLeavesalary 23,226 44,032

Total 8,83,386 7,96,630

Remuneration by way of Sitting fee of Rs.10,000/- is paid to the Non-Executive Directors for attending a Board / Committee meeting. Apart from this travel, accommodation and out-of-pocketexpensesincurredbythemforattendingthemeetingsarealsoreimbursed.

16


ThedetailsofsittingfeespaidtoNon-ExecutiveDirectorsfortheyear2009-10areasbelow:

Name of the Director Amount (Rs.)Sri.B.Surender 1,00,000Sri. M.V.Chandrasekar 1,00,000Sri. G.Muralidhar 50,000Sri. S.Ramakrishnan 1,00,000Sri. M.Ravindra Reddy 60,000

5. SHARE TRANSFER & INVESTORS GRIEVANCE COMMITTEE:

The Committee consists of Sri S.Ramakrishnan as the Chairman & Sri G. Radhakrishna as the member. CompanySecretaryistheSecretaryoftheCommittee.

TheroleoftheCommitteeistolookintotheredressalofshareholdersandinvestorscomplaintsontransferofshares,non-receiptofBalanceSheet,non-receiptofdeclaredDividendetc.andalso tooversee the performance of the Registrar and Transfer Agent.

COMPLIANCE OFFICER:

Mr. V.Ramesh, Company Secretary is the Compliance Officer and his e-mail address is [email protected]. TheCompany has not received any complaints during theyear.

GENERAL SHAREHOLDERS INFORMATION:

AGM Date : 29thJuly2010

Timeandvenue : 10.30a.m

TAMILNADUFOUNDATIONINC.USA, 27, Taylors Road, Kilpauk, Chennai – 600 010. FinancialCalendar2010-11(Tentative):UnauditedresultsforthefirstquarterendingJune30,2010 : LastWeekofJuly,2010

UnauditedresultsforthesecondquarterendingSeptember30,2010 : LastWeekofOctober,2010

UnauditedresultsforthethirdquarterendingDecember31,2010 : LastWeekofJanuary,2011

AuditedresultsfortheyearendingMarch31,2011 : BeforeendofMay,2011

BookclosureDates : 23rdJuly2010to29thJuly2010 (bothdaysinclusive)

ListingonStockExchanges : BombayStockExchangeLtd MadrasStockExchangeLtd

17


StockCode : 530931(BSE)

ISIN : INE457D01018

Registrar and Transfer Agents : M/s. Cameo Corporate Services Ltd., No. 1, Club House Road, Mount Road, Chennai-600002

PlantLocations : Thisinformationformspartoftheannualreport

Address for correspondence : “S.K.Enclave” No.4, (Old No.47) Nowroji Road, Chetpet,Chennai–600031.

MARKET PRICE DATA IN BSE(HIGH, LOW DURING EACH MONTH IN THE YEAR 2009-10):

Month High (Rs.) Low (Rs.) Month High (Rs.) Low (Rs.)Apr2009 5.65 4.26 Nov2009 6.41 5.30

May2009 4.69 3.50 Dec2009 7.20 5.81

Jun2009 5.02 4.08 Jan2010 8.36 6.74

Jul2009 6.35 5.00 Feb2010 7.40 7.09

Aug2009 7.24 6.00 Mar2010 7.04 6.23

Sep2009 5.98 4.29 Apr2010 6.00 5.45

Oct2009 6.55 4.99

DISTRIBUTON OF SHAREHOLDING (AS ON 30TH APRIL 2010):

No.of shares heldFolio Shares

Number % Number %

Upto-500 2195 69.25 516940 8.48

501-1000 402 12.68 342540 5.62

1000-2000 157 4.95 238874 3.92

2001-3000 168 5.30 425408 6.98

3001-4000 88 2.78 308260 5.06

4001-5000 39 1.23 184932 3.03

5001-10000 58 1.83 430301 7.06

10001-20000 22 0.69 312135 5.12

20001-50000 24 0.76 749375 12.29

50001-100000 8 0.25 615945 10.10

100001&above 9 0.28 1971290 32.34

Total 3170 100.00 6096000 100.00

18


SHAREHOLDING PATTERN AS ON 30TH APRIL 2010:

DEMAT/PHYSICAL STATUS OF SHARES (% TO PAIDUP CAPITAL) AS ON 30TH APRIL 2010:

TheCompanyhasenteredintothenecessaryagreementswithNSDLandCDSLfordematerializationofthesharesheldbyinvestors.SEBIhasincludedthesharesofyourCompanyinthelistofscriptsfortradingonlyindematerializedformforallinvestorswitheffectfromJune,2001.

GENERAL BODY MEETINGS:

Date, Time & Venue of the last three Annual General Meetings

FinancialYear Ended

Date Time Venue Whether Special Resolution passed

March31,2007 27.08.2007 10.30a.m Sri P.Obul Reddy Hall, Vani Mahal, 103, G.N.Chetty Road, T.Nagar,Chennai-600017.

No

March31,2008 25.09.2008 10.30a.m Sri P.Obul Reddy Hall, Vani Mahal, 103, G.N.Chetty Road, T.Nagar,Chennai-600017.

Yes

March31,2009 29.09.2009 10.30a.m Sri P.Obul Reddy Hall, Vani Mahal, 103,G.N.Chetty Road, T.Nagar,Chennai-600017.

Yes

19


MEANS OF COMMUNICATION:

The quarterly and annual financial results are published in newspapers viz., “The Financial Express” and “Malai Murasu” (Tamil). The quarterly and annual financial results are also displayed on the Company’s websitewww.blissgroup.com. The Company’s website also contains several other details/information ofinteresttovariousstakeholders.

CODE OF CONDUCT:

TheBoardofDirectorshaslaiddownacodeofconductforallBoardMembersandSeniorManagementoftheCompany.ThesamehasbeenpostedonthewebsiteoftheCompany.

DISCLOSURE:

Duringtheyear,theCompanyhasnotenteredintoanytransactionofmaterialnaturewithanyofthepromoters, directors, management, subsidiary / associate company or relative etc., which is in conflict withthe interestoftheCompany.ThenecessarydisclosureregardingthetransactionswithrelatedpartiesisgiveninNoteNo.22ofnotesonannualaccountsfortheyear2009-10.

ThereisnoinstanceofnoncompliancebytheCompanyinmattersrelatingtothecapitalmarkets;nor is there any penalty / strictures imposed by the stock exchanges or SEBI or any other statutory authorityonsuchmatters,duringthelastthreeyears.

ThenonmandatoryrequirementsofClause49oftheListingAgreement,havebeencompliedtotheextentpossible.

CEO/CFO CERTIFICATION:

The certificate as required under Clause 49(VI) of the Listing Agreement is given as Annexure II.

COMPLIANCE CERTIFICATE:

Certificate from the Auditors of the Company, M/s. M.SRINIVASAN & ASSOCIATES, Chartered Accountants confirming compliance with the conditions of Corporate Governance as stipulated under Clause 49 (VII) of the listing agreement is given as Annexure III.


Place : Chennai G.Radhakrishna G.V.Gopinath Date : May27,2010 ManagingDirector ExecutiveDirector

20


ANNEXURE I

Name of the Director with Designation

Name of the Committee & Chairman/Member

Name of the Company

Sri.B.Surender,Chairman(NEI) AuditCommittee–MemberRemuneration Committee – Member

JumboBagLtd.JumboBagLtd.

ANNEXURE II

CERTIFICATION BY CHIEF EXECUTIVE OFFICER AND CHIEF FINANCIAL OFFICER OF STANPACKS (INDIA) LIMITED.

We, G.Radhakrishna, Managing Director and G.V. Gopinath, Chief Financial Officer of Stanpacks (India) Limited(thecompany),tothebestofourknowledgeandbeliefcertifythat:

1. Wehavereviewed theBalanceSheetandProfitandLossAccountandall itsSchedulesandNotes on Accounts, as well as the Cash Flow Statement and Directors’ Report for the year ended March31,2010.

a. Based on our knowledge and information, these statements do not contain any untruestatementofamaterialfactoromitanymaterialfactorcontainstatementsthatmightbemisleading.

b. ThesestatementstogetherpresentatrueandfairviewoftheCompany’saffairsandareincompliancewithexistingaccountingstandards,applicablelawsandregulations.

2. Thereare,tothebestofourknowledgeandbelief,notransactionsenteredintobythecompanyduringtheyearwhicharefraudulent,illegalorviolativeofthecompany’scodeofconduct.

3. Weareresponsible forestablishingandmaintaining internalcontrolsandprocedures for theCompany pertaining to financial reporting, and have evaluated the effectiveness of theseprocedures in the Company. We have disclosed to the auditors and the Audit Committee,deficiencies,ifany,inthedesignoroperationofsuchinternalcontrols,ofwhichweareawareandthestepsthatwehavetakenorproposetotaketorectifythesedeficiencies.

4. Wehavedisclosed,basedonourmostrecentevaluation,whereverapplicable,totheCompany’sauditorsandtheAuditCommitteeoftheCompany’sBoardofDirectors:-

a. Significantchangesininternalcontrolsduringtheyear;

b. Significantchanges inaccountingpoliciesduringtheyearandthat thesamehavebeendisclosedintheNotestothefinancialstatements;and

c. Instances,ifany,ofsignificantfraudofwhichwehavebecomeawareandtheinvolvementtherein,ifany,ofthemanagementoranemployeehavingasignificantroleintheCompany’sinternalcontrolsystem.

21


5. Weaffirmthatwehavenotdeniedanypersonnel,accesstotheAuditCommitteeoftheCompany(inrespectofmattersinvolvingmisconduct,ifany).

6. AsrequiredbyClause49(1D)oftheListingAgreement,itisherebyaffirmedthatalltheBoardMembersandSeniorManagementPersonnelhavecompliedwiththeCodeofConductoftheCompany.ItisalsoconfirmedthattheCodeofConducthasalreadybeenpostedontheWebsiteoftheCompany.

G.RADHAKRISHNA G.V.GOPINATHMANAGING DIRECTOR CHIEF FINANCIAL OFFICER Place : Chennai,Date : May27,2010.

ANNEXURE III

C E R T I F I C A T E

TO THE MEMBERS OF STANPACKS (INDIA) LIMITED

We have examined the compliance of conditions of Corporate Governance by Stanpacks (India) Limited fortheyearendedMarch31,2010asstipulatedinclause49oftheListingAgreementofthesaidCompanywithstockexchanges.

The Compliance of conditions of Corporate Governance is the responsibility of the management. Our examination was limited to procedures and implementation thereof adopted by the Company forensuring the compliance of the conditions of the Corporate Governance. It is neither an audit nor an expressionofopiniononthefinancialstatementsoftheCompany.

Inouropinionandtothebestofourinformationandaccordingtotheexplanationsgiventous,weCertify that the Company has complied with the conditions of Corporate Governance as stipulated in theabovementionedListingAgreement.

Westate that no investorgrievance ispendingforaperiodexceeding one month against theCompany as per the records maintained by the Shareholders/Investors Grievances Committee.

We further state that such compliance is neither an assurance as to the future viability of theCompanynortheefficiencyoreffectivenesswithwhichthemanagementhasconductedtheaffairsoftheCompany.

forM.SRINIVASAN & ASSOCIATES CharteredAccountants Firmregistrationno.:004050SPlace : Chennai N.KISHOREDate : May27,2010 Partner MembershipNo.025789

22


AUDITORS’ REPORT To the Members of Stanpacks (India) LimitedWe have audited the attached balance sheet of Stanpacks (India) Limited (“the Company”) as at 31March,2010, theprofit and loss account andalso the cash flow statement for the year endedon that date annexed thereto. These financial statements are the responsibility of the Company’sManagement.Ourresponsibilityistoexpressanopiniononthesefinancialstatementsbasedonouraudit.Weconductedouraudit inaccordancewithauditingstandardsgenerallyaccepted inIndia.ThoseStandardsrequirethatweplanandperformtheaudittoobtainreasonableassuranceaboutwhetherthe financialstatementsare freeofmaterialmisstatement.Anaudit includesexamining,ona testbasis, evidence supporting the amounts anddisclosures in the financial statements. An audit alsoincludesassessingtheaccountingprinciplesusedandsignificantestimatesmadebyManagement,aswellasevaluatingtheoverallfinancialstatementpresentation.Webelievethatourauditprovidesareasonablebasisforouropinion.As required by the Companies (Auditor’s Report) Order, 2003, as amended, issued by the Ministry of CorporateAffairsintermsofsub-section(4A)ofSection227oftheCompaniesAct,1956,weencloseintheAnnexureastatementonthemattersspecifiedinparagraphs4and5ofthesaidOrder.FurthertoourcommentsintheAnnexurereferredtoabove,wereportthat:(a) Wehaveobtainedalltheinformationandexplanations,whichtothebestofourknowledgeand

beliefwerenecessaryforthepurposesofouraudit;(b) inouropinion,properbooksofaccountasrequiredbylawhavebeenkeptbytheCompanyso

farasappearsfromourexaminationofthosebooks;(c) thebalancesheet,profitandlossaccountandcashflowstatementdealtwithbythisreportare

inagreementwiththebooksofaccount;(d) inouropinion,thebalancesheet,profitandlossaccountandcashflowstatementdealtwithby

thisreportcomplywiththeaccountingstandardsreferredtoinsub-section(3C)ofSection211oftheCompaniesAct,1956;

(e) onthebasisofwrittenrepresentationsreceivedfromthedirectors,asat31March,2010andtakenonrecordbytheBoardofDirectors,wereportthatnoneofthedirectorsaredisqualifiedasat31March,2010frombeingappointedasadirectorintermsofclause(g)ofsub-section(1)ofSection274oftheCompaniesAct,1956onthesaiddate;

(f) Inouropinionandtothebestofourinformationandaccordingtotheexplanationsgiventous,thesaidaccountsgivetheinformationrequiredbytheCompaniesAct,1956,inthemannersorequiredandgiveatrueandfairviewinconformitywiththeaccountingprinciplesgenerallyacceptedinIndia.

(i) inthecaseofthebalancesheet,ofthestateofaffairsoftheCompanyasat31March,2010;

(ii) inthecaseoftheprofitandlossaccount,ofthelossoftheCompanyfortheyearendedonthatdate;and

(iii) inthecaseofthecashflowstatement,ofthecashflowsoftheCompanyfortheyearendedonthatdate.

ForM.SRINIVASAN & ASSOCIATES CharteredAccountants Firmregistrationno.:004050SPlace : Chennai N.KISHOREDate : May27,2010 Partner MembershipNo.025789

23


ANNEXURE TO THE AUDITORS’ REPORT

Annexure referred to in our report to the members of Stanpacks (India) Limited (“the Company”) for theyearended31March,2010.Wereportthat:

(i) (a) TheCompanyhasmaintainedproperrecordsshowingfullparticulars,includingquantitativedetailsandsituationoffixedassets.

(b) TheCompanyhasaregularprogrammeofphysicalverificationofitsfixedassetsbywhichallfixedassetsareannuallyverified.Inouropinion,thisperiodicityofphysicalverificationisreasonablehavingregardtothesizeoftheCompanyandthenatureofitsassets.Nomaterialdiscrepancieswerenoticedonsuchverification.

(c) FixedassetsdisposedoffduringtheyearpartofoldMachinerywerenotsubstantialandtherefore,donotaffectthegoingconcernassumption.

(ii) (a) The inventory,exceptgoods-in-transit,hasbeenphysicallyverifiedbythemanagementduringtheyear.Inouropinion,thefrequencyofsuchverificationisreasonable.

(b) Theproceduresforthephysicalverificationof inventoriesfollowedbythemanagementarereasonableandadequateinrelationtothesizeoftheCompanyandthenatureofitsbusiness.

(c) TheCompany ismaintainingproper recordsof inventory.Thediscrepanciesnoticedonverificationbetweenthephysicalstocksandthebookrecordswerematerialandhavebeenproperlydealtwithinthebooksofaccount.

(iii) TheCompanyhasnotgrantedanyloans,securedorunsecured,tocompanies,firmsorotherparties covered in the register maintained under Section 301 of the Companies Act, 1956.However, the Company has taken unsecured loans from one party of Rs. 1,50,000 covered in theregistermaintainedunderSection301oftheCompaniesAct,1956.Therateofinterestandthetermsandconditionsarenotprimafacie,prejudicialtotheinterestoftheCompany.

(iv) In our opinion and according to the information and explanations given to us, there is anadequateinternalcontrolsystemcommensuratewiththesizeoftheCompanyandthenatureofitsbusiness,forthepurchaseofinventoryandfixedassetsandforthesaleofgoods.Wehavenotobservedanymajorweaknessintheinternalcontrolsystemduringthecourseoftheaudit.

(v) Inouropinion,andaccordingtotheinformationandexplanationsgiventous,therearecontractsorarrangementsandtheparticularsoftransactionsareenteredintotheregisterreferredtoinSection301oftheCompaniesAct,1956andthetransactionshavebeenmadeatpriceswhicharereasonablehavingregardtotheprevailingmarketpricesattherelevanttime.

(vi) TheCompanyhasaccepteddepositsfromthepublicandasperthedirectives issuedbytheReserve Bank of India and the provisions of sections 58A and 58AA of the Act and the rules framedthereunder,whereapplicable,havebeencompliedwith.

(vii) TheCompanyhasaninternalauditsystemcommensuratewithitssizeandnatureofbusiness.

24


(viii) The Central Government of India has not prescribed the maintenance of cost records under section209(1)(d)oftheCompaniesAct,1956foranyoftheproductsmanufacturedorservicesrenderedbytheCompany.

(ix) (a) According to the information and explanations given to us and on the basis of ourexaminationoftherecordsoftheCompany,amountsdeductedoraccruedinthebooksofaccountinrespectofundisputedstatutoryduesincludingProvidentfund,Income-tax,Salestax,Customsduty,Servicetaxandothermaterialstatutorydueshavebeengenerallyregularlydeposited,duringtheyearbytheCompanywiththeappropriateauthorities.Asexplainedtous,theCompanydidnothaveanyduesonaccountofInvestorEducationandProtectionFund,Employees’stateinsurance,ExcisedutyandWealthtax.

TherearenoduesonaccountofCessunderSection441AoftheCompaniesAct,1956sincethedatefromwhichtheaforesaidsectioncomesintoforcehasnotyetbeennotifiedby the Central Government of India.

Accordingtotheinformationandexplanationsgiventous,noundisputedamountspayableinrespectofProvidentfund,Incometax,Salestax,Customsduty,Servicetaxandothermaterialstatutoryduesthatwereinarrearsasat31March,2010foraperiodofmorethansixmonthsfromthedatetheybecamepayable.

(b) Accordingtotheinformationandexplanationsgiventous,therearenoduesintherespectofIncome-tax,Servicetax,Wealthtax,ExcisedutyandCesswhichhavenotbeendepositedonaccountofanydispute.ThecompanydisputesthefollowingSalestaxandexcisedutydues:

Name of the Statute

Nature of the Dues

Amount (Rs) Period to which the amount

relates

Forum where dispute is pending

SalesTax SalesTaxDemand

8,25,477 1994-95 OnAppealandthecasewas remanded to theAssessingofficer.






80,755 2001-02 OnAppealandthecasewas remanded to theAssessingofficer.

25


CentralExcise ExciseDutyDemand

218,870 2007-08 AppealpendingwithTheAssistantCommissionerof Central Excise,Chennai

CentralExcise ExciseDutyDemand

412,853 2008-09 AppealpendingwithTheAssistantCommissionerof Central Excise,Chennai

(x) Inouropinion,theaccumulatedlossesoftheCompanyarenotmorethanfiftypercentofitsnetworth.TheCompanyhasincurredlossesinthefinancialyearendedasonthatdateandcashlossesincurredbytheCompanyintheimmediatelyprecedingfinancialyear.

(xi) Inouropinionandaccordingtotheinformationandexplanationsgiventous,theCompanyhasnotdefaultedinrepaymentofduestoitsbankersortoanyfinancialinstitutions.TheCompanydidnothaveanyoutstandingdebenturesduringtheyear.

(xii) TheCompanyhasnotgrantedanyloansandadvancesonthebasisofsecuritybywayofpledgeofshares,debenturesandothersecurities.

(xiii) Inouropinionandaccordingtotheinformationandexplanationsgiventous,theCompanyisnot a chit fund / nidhi/ mutual benefit fund/ society.

(xiv) Accordingtotheinformationandexplanationsgiventous,theCompanyisnotdealingortradinginshares,securities,debenturesandotherinvestments.

(xv) According to the informationandexplanationsgiven tous, theCompanyhasnotgivenanyguaranteeforloanstakenbyothersfrombanksorfinancialinstitutions.

(xvi) Accordingtotheinformationandexplanationsgiventousandonanoverallexaminationofthebalance sheet of the Company, we report that the Company has used Rs.97.98 lacs funds on short-termbasisforlongterminvestment.

(xvii) TheCompanyhasnotmadeanypreferentialallotmentofsharestocompaniesorfirmsorpartiescoveredintheregistermaintainedunderSection301oftheCompaniesAct,1956.

(xviii)TheCompanydidnothaveanyoutstandingdebenturesduringtheyear.

(xix) TheCompanyhasnotraisedanymoneybypublicissuesduringtheyearofaudit.

(xx) Accordingtotheinformationandexplanationsgiventous,nofraudonorbytheCompanyhasbeennoticedorreportedduringthecourseofouraudit.

forM.SRINIVASAN & ASSOCIATES CharteredAccountants Firmregistrationno.:004050SPlace : Chennai N.KISHOREDate : May27,2010 Partner MembershipNo.025789

26


BALANCE SHEET AS AT 31st March 2010 SOURCE OF FUNDS Schedule As at 31.03.2010 As at 31.03.2009 Shareholders’ Funds : Rs. Rs. Rs. Rs. ShareCapital 1 6,09,60,000 6,09,60,000

6,09,60,000 6,09,60,000LoanfundsSecuredLoans 4 12,47,69,015 13,28,77,093UnsecuredLoan 5 3,49,79,345 3,27,13,505

22,07,08,360 22,65,50,598 APPLICATION OF FUNDS :Fixed AssetsLessDepreciation 6 11,22,38,349 11,90,73,526Add:CapitalWorkinProgress 7,27,101 12,00,000

11,29,65,450 12,02,73,526DeferredTaxAsset 3 30,15,319 2,73,778Current Assets, Loans & Advancesa)Inventories 7 8,16,08,788 68,164,342b)SundryDebtors 8 4,07,74,310 3,37,60,873c)Advances&Deposits 9 1,82,29,779 3,09,77,913d)Cash&BankBalances 10 80,63,171 80,70,347Total(A) 14,86,76,048 14,09,73,475 Less : Current Liabilites & provisionsSundryCreditorsforTrade 3,11,89,746 1,82,25,543SundryCreditorsforExpenses&Others 1,64,83,004 1,39,94,826UnclaimedDividend 2,87,578 2,87,578StatutoryDuesPayable 35,03,570 36,27,486Total(B) 5,14,63,898 3,61,35,433 Net Current Assets (A-B) 9,72,12,150 104,838,042MiscellaneousExpenditure(totheextentnotwrittenoff)Profit&LossAccount 2 75,15,441 11,65,252

22,07,08,360 22,65,50,598

SignificantaccountingpoliciesNotestotheaccounts Theschedulesreferredtoaboveformanintegralpartofthesefinancialstatements

ForandonbehalfoftheBoard AsperourreportofevendateG.RADHAKRISHNA G V GOPINATH For M. SRINIVASAN & ASSOCIATESManagingDirector ExecutiveDirector CharteredAccountants

G S SRIDHAR V.RAMESH N.KISHORE ExecutiveDirector CompanySecretary Partner MembershipNo.025789Place:Chennai Date:May27,2010

27


PROFIT AND LOSS ACCOUNT FOR THE PERIOD ENDED 31st March 2010Schedule Year ended Year ended

31.03.2010 31.03.2009INCOME Rs. Rs.TotalTurnover 30,83,26,007 33,69,47,185Less:ExciseDutyincludingEducationCess 3,05,85,958 3,90,81,096Less:SalesTax 82,92,427 90,81,588NetTurnover 26,94,47,622 28,87,84,501OtherIncome 11 7,85,315 71,97,619Total Income 27,02,32,937 29,59,82,120 EXPENDITURE(Increase) /Decrease in Finished Goods (1,31,44,272) 2,25,42,338ManufacturingCost 12 24,30,60,005 24,47,03,500EstablishmentExpenses 13 1,01,17,590 96,08,736AdministrativeExpenses 14 72,24,224 70,30,624SellingExpenses 15 34,89,563 35,63,137

25,07,47,110 28,74,48,335 Profit Before Interest, Depreciation & Tax 1,94,85,827 85,33,785Less:InterestandFinanceCharges 1,85,72,829 2.03,66,577Profit Before Depreciation & Tax 9,12,998 (1,18,32,792)Less:Depreciation 98,54,037 97,43,202Profit Before Tax (89,41,039) (2,15,75,994)Less:PriorPeriodAdjustments 1,50,691 (1,89,447)

(90,91,730) (2,13,86,547)Less:ProvisionforTaxa)ProvisionforCurrentYear - -b)FringeBenefitTax - 2,10,000c)DeferredTax (27,41,541) (1,06,24,299)Profit After Tax (63,50,189) (1,09,72,248)Add : Profit/(Loss) b/f from previous year (11,65,252) 98,06,996Balance Carried Over to Balance Sheet (75,15,441) (11,65,252)Loss per share (par value Rs 10 each) - -Basicanddiluted (1.04) (1.80)WeightedaveragenumberofequitysharesBasicanddiluted 60,96,000 60,96,000

SignificantaccountingpoliciesNotestotheaccounts Theschedulesreferredtoaboveformanintegralpartofthesefinancialstatements ForandonbehalfoftheBoard AsperourreportofevendateG.RADHAKRISHNA G V GOPINATH For M. SRINIVASAN & ASSOCIATESManagingDirector ExecutiveDirector CharteredAccountants

G S SRIDHAR V.RAMESH N.KISHORE ExecutiveDirector CompanySecretary Partner MembershipNo.025789Place:Chennai Date:May27,2010

28


SCHEDULES FORMING PART OF ACCOUNTS

As at 31.03.2010 As at 31.03.2009SCHEDULE - 1 Rs. Rs.Authorised Capital70,00,000 Equity Shares of Rs.10/- Each 7,00,00,000 7,00,00,000Issued,SubscribedandPaid-upCapital60,96,000 Equity Shares of Rs.10/- Each fully paid up 6,09,60,000 6,09,60,000

SCHEDULE - 2Reserves & Surplus Profit&(Loss)AsperLastBalanceSheet (11,65,252) 98,06,996Add:LossduringtheyeartransferredfromProfitandLossAccount (63,50,189) (1,09,72,248)

Total (75,15,441) (11,65,252)

SCHEDULE - 3Deferred Tax Liability *OpeningBalance (2,73,778) 1,03,50,521DeferredTaxLiabilityfortheyear (27,41,541) (1,06,24,299)Total (30,15,319) (2,73,778)* Grouped separately under Asset head

SCHEDULE - 4Secured LoanTerm Loan from KARNATAKA BANK LIMITED * 4,04,05,186 2,51,60,880OCC Facility - THE KARNATAKA BANK LIMITED 8,43,63,829 10,75,20,879Vehicle Loans - 1,95,334Total 12,47,69,015 13,28,77,093 * Includes working Capital term Loan of Rs 2,70,00,000/- Repayable with in one year Rs.Nil.

SCHEDULE - 5Unsecured LoanAdvance Received against Research & Development 25,00,000 25,00,000Loan-Others 80,21,135 79,00,000Deposits 17,90,000 21,76,000InterestFreeSalesTaxDeferral* 2,26,68,210 2,01,37,505Total 3,49,79,345 3,27,13,505 * (Refer Note No.26 of Notes of Accounts )

29

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30


As at 31.03.2010Rs.

As at 31.03.2009Rs.

SCHEDULE - 7

Inventories (At lower of cost or net realisable value and as valued & certified by the Management)

Raw Materials 1,20,66,171 1,18,76,731

Finished Goods 6,53,26,060 5,21,81,788

Stores&Spares 42,16,557 41,05,823

Total 8,16,08,788 6,81,64,342

SCHEDULE - 8

Sundry debtors (Unsecured)Debtsoutstandingforaperiodexceedingsixmonths

-consideredgood 26,07,155 44,61,695

-considereddoubtful - -

Otherdebts

-consideredgood 3,81,67,155 2,92,99,178

Less:Provisionfordoubtfuldebts - -

Debtors as at theendof the yearwithCompaniesunder the same management as defined undersection370(1B)oftheCompaniesAct,1956

- -

Total 4,07,74,310 3,37,60,873

SCHEDULE - 9Advances & Deposits (Unsecured but considered Good)AdvancesrecoverableinCashorinKindorforvaluetobereceivedAdvances-Others 19,22,125 1,52,03,667

Advances&Deposits-Salestax 12,72,869 12,20,873

Advances&Deposits-Incometax 39,82,179 35,06,593

Advances&Deposits-CentralExcise 17,98,073 22,45,449

Deposits-Others 89,63,786 83,45,707

Prepaid Insurance/Expenses 2,90,747 4,55,625

Total 1,82,29,779 3,09,77,913

31


SCHEDULE - 10

Cash and Bank Balance

CashonHand 2,84,390 1,52,160

BankBalancewithScheduledBank

FixedDepositinBank 74,91,203 76,30,609

State Bank of India/ HDFC - Unclaimed Dividend 2,87,578 2,87,578

Total 80,63,171 80,70,347

Year Ended 31.03.2010

Year Ended 31.03.2009

SCHEDULE - 11

Other Income

Interest Earned (TDS Rs. 1,02,620/-) 7,69,392 9,99,858

ProfitonSaleofAssets 6,133 56,92,305

Miscellaneous Receipts 9,790 5,05,456

Total 7,85,315 71,97,619

SCHEDULE - 12

Manufacturing Cost

Opening Stock of RM, Stores and Spares 1,59,82,554 2,51,95,190

MaterialsPurchase&PurchaseExpenses 19,07,87,540 19,55,65,768

ConsumablesandSpares 51,78,259 44,15,206

ManufacturingExpenses 4,73,94,382 3,55,09,890

TotalCost 25,93,42,735 26,06,86,054

Less : Closing Stock of RM, Stores and Spares 1,62,82,730 1,59,82,554

Total 24,30,60,005 24,47,03,500

SCHEDULE - 13

Establishment Expenses

StaffSalaries,PF,ESI&Allowances 56,20,431 60,38,524

Directors’ Remuneration 37,65,695 29,87,255

Directors’TravellingExpenses 3,21,464 1,72,957

Directors’SittingFees 4,10,000 4,10,000

Total 1,01,17,590 96,08,736

32


SCHEDULE - 14

Administrative Expenses

Vehicle Maintenance 6,89,121 9,12,497

ElectricityCharges 2,47,431 2,56,355

Rent 4,13,000 4,29,000

R & D Expenses 2,98,283 2,78,437

Printing&Stationery 3,12,536 4,43,655

TravellingExpenses 4,57,217 7,39,270

Postage&TelegramandCourierExpenses 1,95,821 2,03,787

TelephoneExpenses 4,64,014 5,61,943

Advertisement&Publicity 53,982 49,207

InsuranceExpenses 6,80,506 6,13,118

License,Fees&Taxes 6,75,055 2,85,128

ProfessionalConsultancyCharges 2,58,690 5,52,670

LegalCharges 70,820 42,966

AuditFees-Statutory 1,25,000 1,00,000

AuditFees-Internal 80,000 70,112

Membership&Subscription 1,06,965 61,900

BankCharges 6,26,487 9,57,092

Meeting&SeminarExpenses 84,552 1,24,441

LossonSaleofAssets 10,32,134 21,678

OfficeMaintenanceExpenses 3,52,610 3,27,368

Total 72,24,224 70,30,624

SCHEDULE - 15Selling Expenses

Brokerage&Commission 2,07,500 -

Rebate & Discount 1,57,548 71,501

FreightOutwards 28,58,557 30,46,566

Clearing&ForwardingCharges 2,46,027 2,62,660

Bad Debts Written Off/Provision - (7,900)

OtherSellingExpenses 19,931 1,90,310

Total 34,89,563 35,63,137

33


ANNEXURE TO SCHEDULE

Manufacturing Expenses Total Total

31.03.2010 31.03.2009

Salary,Wages&Bonus 1,10,32,052 1,08,23,624

ContributiontoPF,ESIandotherfunds 8,37,737 8,80,302

WorkmenandStaffWelfareExp 12,85,793 11,55,016

Rent 34,66,281 44,11,214

Power&Fuel 1,80,60,633 1,33,22,996

ExciseDuty 23,50,480 (53,71,770)

Repairs & Maintenance - Buildings 22,444 1,20,530

Repairs & Maintenance - Machinery 13,63,931 2,99,176

Repairs & Maintenance - Others 3,03,218 2,79,419

LabourChargesPaid 40,85,069 54,15,317

CartageExpenses 3,49,773 2,84,605

TelephoneExpenses 1,28,972 1,71,874

ServiceCharges 6,41,064 7,80,847

SecurityCharges 16,15,733 15,09,724

OtherFactoryExpenses 18,51,202 14,27,015

TOTAL MANUFACTURING EXPENSES 4,73,94,382 3,55,09,890

Staff Salary & Allowances Office

Salary,Allowances&Bonus 49,65,602 53,49,874

ContributiontoPF,ESIandotherfunds 1,46,902 1,46,635

WorkmenandStaffWelfareExp 5,07,927 5,42,015

56,20,431 60,38,524

34


SCHEDULE 16

STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES

1. BASIS OF PREPARATION OF FINANCIAL STATEMENTS

(a) The financial statements have been prepared and presented under the historical costconventionontheaccrualbasisofaccountingandcomplywiththeAccountingStandardsissuedbytheInstituteofCharteredAccountantsofIndiaandtherelevantprovisionsoftheCompaniesAct,1956,totheextentapplicable.ThefinancialstatementsarepresentedinIndianrupees.

(b)Accountingpoliciesnotspecificallyreferredtootherwiseareconsistentandinconsonancewithgenerallyacceptedaccountingprinciples.

2 USE OF ESTIMATES

The preparation of financial statements in conformity with generally accepted accountingprinciples (GAAP) requires management to make estimates and assumptions that affect the reportedamountsofassetsandliabilitiesandthedisclosureofcontingentliabilitiesonthedateofthefinancialstatements.Actualresultscoulddifferfromthoseestimates.Anyrevisiontoaccountingestimatesisrecognizedprospectivelyincurrentandfutureperiods.

3. FIXED ASSETS AND DEPRECIATION

Fixedassetsarecarriedatcostofacquisitionlessaccumulateddepreciation.Thecostoffixedassets includes freight, duties, taxes and other incidental expenses relating to acquisition.WherefixedassetshavebeenacquiredfromacountryoutsideIndia,thecostofthesefixedassetsalsoincludesexchangedifferences(favourableandunfavourable)arisinginrespectofforeigncurrencyloansonotherliabilitiesincurredspecificallyforthepurposeoftheiracquisition.Borrowingcostsrelatedtotheacquisitionorconstructionofthequalifyingfixedassetsfortheperioduptothecompletionoftheiracquisitionorconstructionarecapitalized.

DepreciationisprovidedontheStraightLineMethodfromthebeginningofthemonthinwhichthe asset is ready for use. The rates of depreciation prescribed in Schedule XIV to the Companies Act,1956areconsideredastheminimumrates.Ifthemanagement’sestimateoftheusefullifeofafixedassetatthetimeofacquisitionoftheassetoroftheremainingusefullifeonasubsequent review is shorter than that envisaged in the aforesaid schedule, depreciation isprovidedatahigherratebasedonthemanagement’sestimateoftheusefullifeorremainingusefullife.Pursuanttothispolicy,depreciationonassetshasbeenprovidedattheratesbasedontheestimatedusefullivesoffixedassets

Assets individually costing Rs 5,000 or less are depreciated at the rate of 100%.

35


Depreciationischargedonaproportionatebasisforallassetspurchasedandsoldduringtheyear.

4. REVENUE RECOGNITION

Revenue from sale of Manufactured goods , including scrap, is recognised on transfer of all significant risks and rewards of ownership to the buyer. The amount recognised as sale isinclusiveofsalestax,customduty,tradeandquantitydiscountsonaccrualbasis.

Interest ondeploymentof surplus funds is recognisedusing the timeproportionatemethodbasedonunderlyinginterestrates.

5. INVENTORIES

Inventoriesarecarriedatthelowerofcostandnetrealizablevalue.Thecomparisonofcostandnetrealizablevalueismadeonanitem-by-itembasis.

Costcomprisesofpurchasepriceandallincidentalexpensesincurredinbringingtheinventorytoitspresentlocationandcondition.Themethodofdeterminationofcostisasfollows:

• Raw materials – valued at cost.

• Finishedgoods-atlandedcostonafirstinfirstoutmethod

• Storesandspares-atlandedcostonafirstinfirstoutmethod

Theprovision for inventoryobsolescence is assessedannually and isprovidedasandwhenconsiderednecessary.

6. FOREIGN EXCHANGE TRANSACTIONS

Foreigncurrency transactionsare recordedat the ratesofexchangeprevailingon thedatesoftherespectivetransactions.Exchangedifferencesarisingonforeignexchangetransactionssettledduringtheyeararerecognizedintheprofitandlossaccountoftheyear,exceptthatexchangedifferences related to acquisition of fixed assets froma country outside India areadjustedinthecarryingamountoftherelatedfixedassets.

Monetaryassetsandliabilitiesdenominatedinforeigncurrenciesasatthebalancesheetdatearetranslatedattheclosingexchangeratesonthatdate;theresultantexchangedifferencesarerecognizedintheprofitandlossaccountexceptthoserelatedtoacquisitionoffixedassetsfromacountryoutsideIndiawhichareadjustedinthecarryingamountoftherelatedfixedassets.

7. PROVISIONS AND CONTINGENT LIABILITIES

TheCompanyrecognizesaprovisionwhenthereisapresentobligationasaresultofapasteventthatprobablyrequiresanoutflowofresourcesandareliableestimatecanbemadeof

36


theamountof theobligation.Adisclosure foracontingent liability ismadewhen there isapossibleobligationorapresentobligationthatmay,butprobablywillnot,requireanoutflowofresources.Wherethereisapossibleobligationorapresentobligationthatthelikelihoodofoutflowofresourcesisremote,noprovisionordisclosureismade.

Provisionsforonerouscontracts,i.e.contractswheretheexpectedunavoidablecostsofmeetingtheobligationsunderthecontractexceedtheeconomicbenefitsexpectedtobereceivedunderit,arerecognizedwhenitisprobablethatanoutflowofresourcesembodyingeconomicbenefitswill be required to settle apresentobligationasa result of anobligatingevent, basedonareliableestimateofsuchobligation.

8. INCOME TAX

Income-tax expense comprises current tax (i.e. amountof tax for theperioddetermined inaccordancewiththeincome-taxlaw)andnodeferredtaxchargeorcredit(reflectingthetaxeffects of timing differences between accounting income and taxable income for the year)providedinthebooksofaccounts.

9. SALES

SalesareinclusiveofExciseDutyandSalesTax.

10. EXCISE DUTY

ExciseDutyinrespectofgoodsmanufacturedbythecompanyisbeingaccountedfor,atthetimeofremovalofgoodsfromthefactoryforsale.

11. RETIREMENT BENEFITS TO EMPLOYEES.

i ShortTerm

ShorttermemployeebenefitsarerecognisedasanexpenseaspertheCompany’sschemebasedonexpectedobligations.

ii. Post Retirement

Postretirementbenefitscompriseofprovidentfund,superannuationandgratuitywhichareaccountedforasfollows:

a) Providentfund

This isadefinedcontributionplan.Contributions inrespectofstaffandworkersareremittedtoprovidentfundauthoritiesinaccordancewiththerelevantstatuteandarecharged to profit and loss account as andwhen due. TheCompany has no furtherobligationsforfutureprovidentfundbenefitsinrespectoftheseemployeesotherthanitsannualcontributions.

37


b) Superannuation

Thisisadefinedcontributionplan.TheCompanymakescontributionaspertheschemeto Superannuation Fund administered by Life Insurance Corporation of India. TheCompanyhasno furtherobligation for future superannuationbenefitsother than itsannualcontributionsandrecognisessuchcontributionsasexpenseasandwhendue.

c) Gratuity

Thisisadefinedbenefitplan.Provisionforgratuityismadebasedonactuarialvaluationusingprojectedunitcreditmethod.Actuarialgainsandlosses,comprisingofexperienceadjustments and the effects of changes in actuarial assumptions, are recognisedimmediatelyintheprofitandlossaccountasincomeorexpense.

12 . RESEARCH & DEVELOPMENT

Research & Development expenditure of revenue nature is charged to Profit & Loss A/c, while CapitalExpenditureisaddedtothecostoffixedassetsintheyearinwhichtheyareincurred.

13. DEFERRED TAX LIABILITY

DeferredTaxresultingfromtimingdifferencebetweenbookandTaxprofitisaccountedforunderliabilitymethod,atthecurrentrateoftax,totheextent,thetimingdifferencesareexpectedtocrystallize.

14. INTANGIBLE ASSETS

ImpairmentofAssets:

Thecompanyassessesateachbalancesheetdatewhetherthereisanyindicationthatanassetincludinggoodwillmaybeimpaired.Ifanysuchindicationexists,theCompanyestimatestherecoverableamountoftheasset.Ifsuchrecoverableamountoftheassetortherecoverableamountofthecash-generatingunittowhichtheassetbelongsislessthanitscarryingamount,thecarryingamountisreducedtoitsrecoverableamount.Thereductionistreatedasanimpairmentlossandisrecognizedintheprofitandlossaccount.Ifatthebalancesheetdatethereisanindicationthatifapreviouslyassessedimpairmentlossnolongerexists,therecoverableamountisreassessedandtheassetisreflectedattherecoverableamount.

15. DUES TO MICRO, SMALL AND MEDIUM ENTERPRISES:

The management is currently in the process of identifying enterprises which have providedgoods and services to the company which qualify under the definition of micro, small andmediumenterprises,asdefinedinMicro,SmallandMediumEnterprisesAct2001.Accordingly,basedoninformationavailable,theamountpayabletosuchenterprisesason31stMarch2010isNIL.

38


16. DETAILS OF MANAGERIAL REMUNERATION

Dr.G.V.Chalapathi Mr.G.Radhakrishna

Salary and Allowances : Rs .10,20,000/- Rs.10,20,000/-

Perquisites : Rs. 65,096/- Rs. 80,174/-

Retirement Benefits : Rs. 90,000/- Rs 90,000/-

Provision for Leave Salary : Rs 29,032/- Rs. 29,032/-

Total : Rs. 12,04,128/- Rs.12,19,206/

Mr. G.S. Sridhar Mr. G.V.Gopinath

Salary and Allowances : Rs. 7,68,000/- Rs. 7,68,000/-

Perquisites : Rs. 32,852/- Rs. 20,160/-

Retirement Benefits : Rs. 72,000/- Rs. 72,000/-

Provision for Leave Salary : Rs. 23,226/- Rs. 23,226/-

Total : Rs. 8,96,078/- Rs . 8,83,386/-

17. SALES TAX & CENTRAL EXCISE DUTY PENDING DISPUTE

S.No Name of

the Statute Nature of Dues

Amount (Rs.)

Pertaining Present Status

i. SalesTax SalesTaxDemand 8,25,477 1994-1995 OnAppealthecasewasremandedtotheAssessingOfficer

ii. SalesTax SalesTaxDemand 3,53,788 1995-1996 -do-

iii. SalesTax SalesTaxDemand 1,28,925 1997-1998 -do-

iv. SalesTax SalesTaxDemand 80,755 2001-2002 -do-

v. CentralExcise

ExciseDutyDemand 2,18,870

2007-2008 AppealpendingwithTheAssistantCommissionerofCentralExcise,Chennai

vi. CentralExcise

ExciseDutyDemand 4,12,853

2008-2009 AppealpendingwithTheAssistantCommissionerofCentralExcise,Chennai

39


NOTES ON ACCOUNTS

18. LEASES

ThecompanyisobligatedundercancellableoperatingleasesforKavarapetandMarasurfactorieswhicharerenewableattheoptionsofboththelessorandthelessee.Theexpenseunderthecontracted lease amounts to Rs. 31,50,956/- ( previous year Rs. 42,25,691/-)

19. DISCLOSURE UNDER AS-15 2009 – 2010 2008 - 2009

(i) DefinedContributionPlans:-

(a) Contribution to Provident Fund Rs. 9,15,579/- Rs. 8,67,571/-

(b) Contribution to Superannuation Fund Rs. 4,33,284/- Rs. 4,33,284/-

Effective 1st April 2009, the company has adopted revised accounting standard AS15 – “Employee Benefits” issued by the ICAI.

(ii) DefinedBenefitPlans:-

Gratuity: -

The Gratuity liability is covered by a Master Policy taken out with LIC of India under the CashAccumulationScheme.TheFollowingtablesetoutthestatusofthegratuityplanasrequiredundersectionAS15.

The details are as follows :-

1 Table Showing changes in present value of obligation as on 31.03.2010 31.03.2009

Particulars Amount Rs. Amount Rs.

Presentvalueofobligationasatbeginningofyear 25,95,598 22,01,835

InterestCost 2,07,648 1,76,147

CurrentServiceCost 2,05,032 1,67,320

BenefitsPaid -6,53,231 -8,23,615

Actuarial (gain)/loss on obligations -3,26,910 8,73,911

Presentvalueofobligationasatendofyear 20,28,137 25,95,598

2 Table Showing changes in the fair value of plan assets as on 31.03.2010 31.03.2009

FairvalueofplanAssetsatbeginningofyear 1,99,418 9,34,256

ExpectedreturnofplanAssets 25,704 71,729

Contribution 6,00,000 17,048

Benefitspaid -6,53,323 -8,23,615

40


Actuarial (gain)/loss on plan Assets Nil Nil

FairvalueofplanAssetsattheendofyear 1,71,891 1,99,418

3 Table Showing fair value of plan Assets as on 31.03.2010 31.03.2009

Fair Value of plan Assets at beginning of year 1,99,418 9,34,256

Actualreturnofplanassets 25,704 71,729

Contribution 6,00,000 17,048

Benefitspaid -6,53,231 -8,23,615

FairvalueofplanAssetsattheendofyear 1,71,891 1,99,418

FundedStatus -18,56,246 -23,96,180

ExcessofActualoverestimatedreturnofplanAssets Nil Nil

(Actual rate of return = Estimated rate of return as ARD falls as on 31st March)

4 Actual Gain/loss recognized 31.03.2010 31.03.2009

Actuarial (gain)/loss on Obligations 3,26,910 -87,391

Actuarial (gain)/loss for the year – plan Assets Nil Nil

Actuarial (gain)/loss on Obligations -3,26,910 8,73,911

Actuarial (gain)/loss recognized in the year -3,26,910 8,73,911

5 The amounts to be recognized in balance sheet and statement of Profit & Loss

31/03.2010 31/03.2009

Present Value of obligations as at the end of year 20,28,137 25,95,598

Fairvalueofplanassetsasattheendofyear 1,71,891 1,99,418

FundedStatus -18,56,246 -23,96,180

Net asset/(liability) recognized in the balance sheet 18,56,246 23,96,180

6 Expenses Recognised in statement of Profit & loss 31.03.2010 31.03.2009

Currentservicecost 2,05,032 1,67,920

Interestcost 2,07,648 1,76,147

Expectedreturnonplanassets -25,704 -71,729

Net Actuarial (gain)/loss recognized in the year -3,26,910 8,73,911

ExpensesrecognizedinstatementofProfit&Loss 60,066 11,45,649

Expendedrateofreturnontheplanassets8%Theestimateoffuturesalaryincrements,contributioninactualvaluation,taxingintoaccountofinflation,senioritypromotionandotherfactorsintheemployment.

41


20. Asat31st March,2010, the company had Rs.659.08 lakhs unabsorbed depreciation and carried forwardoflossesundertaxlaws.

21. SEGMENTAL REPORTING

ThecompanycurrentlyoperatesinonebusinesssegmentinmanufacturingofPPbagsandonegeographicalsegmentinIndia.InlinewithAS17,therelevantinformationisavailableinthebalancesheetandtheprofitandlossaccount.

22. DISCLOSURES UNDER ACCOUNTING STANDARD -18 :-

RELATED PARTIESwithwhomtransactionshavetakenplaceduringtheyearareasfollows.

S. No.

Name of the Party

Nature of Relationship

Nature of Transactions

Transaction During the year (Net)

(Rs.)

Closing Balance as on

31.03.2010(Rs.)

Maximum Amount

Outstanding during the Year

1 G.V. Chalapathi KeyManagementPersonnel

Salary&Allowances

12,04,128 1,34,960 1,34,960

2 G.S. Sridhar Relative of Key ManagementPersonnel

Salary&Allowances

8,96,078 1,03,310 1,03,310

3 G.P.N. Gupta Relative of Key ManagementPersonnel

Rent Paid 78,000 - 6500

4 G.V. Gopinath Relative of Key ManagementPersonnel

Salary&Allowances

8,83,386 1,06,020 1,06,020

5 G. Muralidhar Relative of Key ManagementPersonnel

Rent-

32,000-

--

4000

6 G. Radhakrishna KeyManagementPersonnel

Salary&Allowances

12,19,206 1,14,310 1,14,310

7 SuchitraTMurali Relative of Key ManagementPersonnel

Int.onFD&Repayment of FD

8,7601,58,760

- -,

8 Rishab T M Relative of Key ManagementPersonnel


2,88552,885

- -

9 Rohit T M Relative of Key ManagementPersonnel


2,88552,885

- -

10 JumboBagLtd. AssociatedCompany

JobWorkEarnedSalesPurchase

3,16,5394,84,0074,96,955

1,93,571 9,04,662

11 G.F. Impex Pvt Ltd.

AssociatedCompany

RentSales

3,81,00010,64,464

--

10,64,464

12 BalajiTradingEnterprisesPLtd

AssociatedCompany

UnsecuredLoan 1,50,000 80,21,135 96,75,000

InterestonLoan 8,58,122

14 B.SangeethaLakshmi

Relative of Key ManagementPersonnel


9,279-

85,000 -

42


23. CONTINGENT LIABILITIES

Sl.No.

Particulars Asat31.03.2010(Rs.)

Asat31.03.2009(Rs.)

a) DisputedAmountofSalestax 13,88,945 13,88,945

b) DisputedAmountofCentralExcise 6,31,723 3,70,589

Noprovisionhasbeenmadeintheaccountsinrespectofdisputedamountofsalestaxasthecompanyhascontestedthecaseand isconfidentofgettingtheverdict in its favour.Certainclaims/show cause notices disputed have neither been considered as contingent liability nor acknowledgedasclaim,basedontheopinionobtained,sincethepossibilityoflossisremote.

24. SecuredLoansavailedfromTheKarnatakaBankLimitedaresecuredbyfirstchargeonspecificassets acquired out of the loan and personal guarantees of Messrs. G.V.Chalapathi, G. Muralidhar, G. Radhakrishna, G.S.Sridhar and G.V.Gopinath,Directors of the company.

25. (a)WorkingcapitalfacilitatesfromTheKarnatakaBankLimitedaresecuredbyfirstchargeonthecurrentassetsconsistingofstockofrawmaterials,finishedgoods,work-in-process,debtors and personal guarantees of Messrs. G.V.Chalapathi, G.Muralidhar, G. Radhakrishna, G.S.Sridhar and G.V.Gopinath, Directors of the company .

(b) WorkingcapitalloanconvertedtoTermLoan,repaymentof3yearsSecuredwithexistingterms&conditions.

26. InterestFreeSalesTaxDeferral:

Due Within 1 year : Rs. 18,19,125/-

Due Within 1 to 5 Years : Rs. 1,24,25,789/-

Due more than 5 Years : Rs. 84,23,296/-27. Advances & Deposits include an amount of Rs.16,55,273/- being Admitted and Disputed Sales

Tax of Rs.14,27,605/- for various years paid and Income Tax for the Assessment Year 1996-97 of Rs.2,27,668/- paid, but kept as Deposit in the books since the company has gone on appeal inrespectofthesematters.Necessaryadjustmentsinthebooksofaccountswillbemadeintheyearinwhichtheoutcomeoftheappealisknown.

28. Deferred Tax Liability accrued during the year aggregating to Rs. (27,41,541/-) Previous yearRs. 1,06,24,299/-) has been recognised in P&L A/c.

43


Deferredtaxliability/Asset as on

01.04.2009Rs.

CurrentChargetoP& L a/c

Rs.

Deferredtaxliability/Asset as on

31.03.2010Rs.

1.DeferredTaxLiability 1,95,89,969 (2,02,731) 1,93,86,968

2.DeferredTaxAsset 1,98,63,477 25,38,810 2,24,02,287

DeferredTaxLiability(Net) (2,73,778) (27,41,541) (30,15,319)

29. Expenditure in Foreign Exchange

As at 31.03.10 (Rs.)

As at 31.03.09 (Rs.)

ImportedMaterialsPurchase(CIF) 3,586,753 -

30. Foreign Exchange Earnings

ExportSales(FOB) 8,904,161 45,79,862

31. Remuneration to Auditors :

I) StatutoryAuditFees 1,00,000 75,000

II) InOtherCapacity

a) TaxAudit 25,000 25,000

b) ServiceTax 12,875 10,300

c) FeesforCertification 3,586 3,372

32. ConfirmationofBalancesinrespectofdebtors,creditorsarenotobtainedinfewcases.

33. Previous year figures have been regrouped and recast wherever necessary for comparisonpurpose.

34. CapacityandProductionduringtheyear2009–2010 Product : PolymerProducts LicensedCapacity : NotApplicable InstalledCapacity : 7920Tons Production : 3907Tons

44


A) i. Raw - Materials and Intermediates Consumed:

Particulars UOM2009 – 2010 2008 – 2009

Qty Value (in Rs.) Qty Value (in Rs.)

a. PP Granules Kgs 3,440,172 176,316,302 33,90,020 18,00,15,917

b.Others 19,349,319 2,91,77,696

ii. Consumption of Imported & Indigenous Raw – Materials, Stores and spare parts and the percentage of each to the consumption

Particulars2009 – 2010 2008 – 2009

% Value (in Rs.) % Value (in Rs.)

i. Raw Materials

a. Imported 2 35,86,753

b. Indigenous 98 186,343,739 100 20,48,17,259

ii. Stores,Spares&Consumables

a. Imported - - -

b. Indigenous 100 5,735,129 100 43,76,354

B) STOCK SUMMARY FOR THE YEAR 2009 – 2010

NameoftheCommodity

Unit OpeningBalance

Receipts Issues Closingstock

2009-10 2008–2009

Hessian Metres 13,702 274,690 280,914 7,477 13,702

Paper Kgs 62,591 472,014 470,305 64,299 737

Bitumen Kgs 45 - - 45 45

Granules Kgs 1,25,958 3,435,264 3,440,172 121,050 1,25,958

Others Nos. 30 - - 30 30

HDPE/PP Bags Nos. 15,62,618 27,942,407 28,609,895 895,130 15,62,618

HDPE/PP Kraft Bags Nos. 1,29,941 6,409,163 6,396,923 142,181 1,29,941

45


C) CLOSING STOCK VALUE WITH QUANTITY AS ON 31.03.2010

Name of the Commodity

Unit Quantity Value

2009-10 2008-09 2009-10 2008-09Hessian Metres 7,477 13,702 1,25,647 1,58,801Paper Kgs 64,299 737 13,71,453 7,747Bitumen Kgs 45 45 1,170 1,170Granules Kgs 1,21,050 1,25,958 88,15,723 77,92,598Others Nos 30 30 18,000 18,000HDPE/PP Bags Nos 8,95,130 15,62,618 2,91,16,055 1,94,08,534HDPE/PP Kraft Bags Nos 1,42,181 1,29,941 28,00,119 23,53,779HDPE/PP Fabric & HDPE/PP Kraft Fabric 2,50,23,923 1,92,34,289

AccessoriesforBags 11,52,972 24,43,971

WaterProofPackingMaterials

- 325

MiscellaneousItemsIncludingConsumables 28,66,870 1,27,72,628

ProvisionforExciseDuty 61,00,300 39,72,500

Total Value of Closing Stock 7,73,92,232 6,81,64,342

D) SALES SUMMARY FOR THE YEAR 2009-10

Name of the CommodityValue (Rs.)

2009 – 2010 2008– 2009PolyPropyleneBags 22,80,20,842 29,78,75,975Others 8,03,05,165 3,90,71,210

46


Balance Sheet Abstract and Company’s General Business Profile as per Part IV of Schedule VI to the Companies Act, 1956.i) Registration Details

Registration No 2 1 8 8 8 StateCode 1 8

BalanceSheetDate 3 1 0 3 2 0 1 0 DateMonthYearii) Capital raised during the year (Amount in Rupees Thousands) Public Issue Rights Issue

N I L N I L BonusIssue PrivatePlacement

N I L N I L

iii) Position of mobilisation and Deployment of funds (Amount in Rupees Thousands) TotalLiabilities TotalAssets

2 2 0 7 0 8 2 2 0 7 0 8 Source of Funds Paid - Up Capital Reserves and Surplus

6 0 9 6 0 N I L DeferredTaxLiability

3 0 1 5 SecuredLoan UnsecuredLoan

1 2 4 7 6 9 3 4 9 7 9 Application of Funds NetFixedAssets Investments

1 1 2 9 6 5 N I L NetCurrentAssets MiscellaneousExpenditure

9 7 2 1 2 N I L AccumulatedLoss

7 5 1 5

iv) Performance of the Company (Amount in Rupees Thousands) Turnover TotalExpenditure

2 7 0 2 3 2 2 7 9 1 7 3 +-ProfitBeforeTax + -ProfitAfterTax

- 8 9 4 1 - 7 5 1 5 Earning per Share in Rupees Dividend Rate %

- 1 . 0 4 N I L

v) Generic names of three Principal Products / Services of Company (as per monetary terms)

ItemCodeNo(ITCCode) 6 3 0 5 1 0

ProductDescription L A M I N A T E D J U T E B A G S

ItemCodeNo(ITCCode) 9 9 9 3 0 0 0 9

ProductDescription L A M I N A T I O N O F P A P E R B O A R D

ItemCodeNo(ITCCode) 3 9 2 3 1 0

ProductDescription S A N D W I C H E D B A G S

SignatoriestoSchedules1to16

ForandonbehalfoftheBoard Asperourreportofevendate

G.RADHAKRISHNA G V GOPINATH For M. SRINIVASAN & ASSOCIATESManagingDirector ExecutiveDirector CharteredAccountants

G S SRIDHAR V.RAMESH N.KISHORE ExecutiveDirector CompanySecretary Partner

Place:Chennai MembershipNo.025789Date:May27,2010

47


CASH FLOW STATEMENT FOR THE PERIOD FROM 01.04.2009 TO 31.03.2010

(Pursuant to Clause 32 of the Listing Agreement)A. Cash Flow from Operating Activities Year Ended 31.03.2010 Year Ended 31.03.2009

Rs. Rs. Rs. Rs.NetProfitBeforeTaxandExtraordinaryItems (89,41,039) (2,15,75,994)AdjustmentsforDepreciation 98,54,037 97,43,198PriorPeriodAdjustments (1,50,691) 1,89,447ProfitonSaleofFixedAssets (6,133) (56,92,305)LossonSaleofFixedAssets 14,16,727 21,678InterestEarned (7,69,392) (9,99,858)InterestPaid 1,85,72,829 2,03,66,577

2,89,17,377 2,36,28,737OperatingProfitbeforeWorkingCapitalChanges 1,99,76,338 20,52,743AdjustmentforTrade Receivables - (Increase) / Decrease 57,34,697 96,38,813Inventories - (Increase) / Decrease (1,34,44,446) 3,17,54,977Trade Payables - Increase / (Decrease) 1,53,28,465 (2,01,15,753)

76,18,716 2,12,78,037Cash Generated from Operations 2,75,95,054 2,33,30,780InterestEarned 7,69,392 9,99,858InterestPaid (1,85,72,829) (2,03,66,577)Less:DirectTaxPaid 0 2,10,000CashFlowbeforeExtraordinaryItems 97,91,617 37,54,065NetCashfromOperatingActivities(A) 97,91,617 37,54,065

B. Cash Flow from Investing ActivitiesPurchaseofFixedAssets (47,99,248) (39,31,591)SaleofFixedAssets 8,42,693 82,92,497

(39,56,555) 43,60,906NetCashusedforInvestingActivities(B) (39,56,555) 43,60,906

C. Cash flow from Financial ActivitiesProceedsfromLongTermBorrowings (58,42,238) (7,99,713)NetCashUsedinFinancingActivities(C) (58,42,238) (7,99,713)NetIncreaseinCash&Cashequivalents(A+B+C) (7,176) 73,15,258OpeningBalanceofCash&CashEquivalents 80,70,347 7,55,089ClosingBalanceofCash&CashEquivalents 80,63,171 80,70,347

ForandonbehalfoftheBoard AsperourreportofevendateG.RADHAKRISHNA G V GOPINATH For M. SRINIVASAN & ASSOCIATESManagingDirector ExecutiveDirector CharteredAccountants

G S SRIDHAR V.RAMESH N.KISHORE ExecutiveDirector CompanySecretary Partner

Place:Chennai MembershipNo.025789

Date:May27,2010

48


(Rs. In Lakhs)

2009-2010 2008-2009 2007-2008 2006-2007 2005-2006

OPERATING RESULTS: Turnover 3,008.19 3369.47 4415.64 3,381.72 2,713.40

Profitbeforedepreciationandtax 7.61 (215.76) 221.61 107.60 145.29

Depreciation 98.54 97.43 98.56 99.05 74.87

ProvisionforTax - (106.25) 6.28 0.96 5.86

FringeBenefitTax - 2.10 2.16 2.68 3.62

ProvisionforDeferredTax (27.43) (106.25) 25.17 2.54 23.97

ProfitafterTax (63.50) (109.72) 89.44 2.37 36.97

Dividend(IncludingDividendTax) - - - - 35.14Retained Profit. (63.50) (11.65) 89.44 2.37 1.83

SOURCES OF FUNDS ShareCapital-Equity 609.60 609.60 609.60 609.60 609.60

Reserves & Surplus (75.15) - 98.07 38.60 36.23

ShareholdersFunds 534.45 609.60 707.67 648.20 645.83Borrowings 1,597.48 1655.90 1663.90 1,771.06 1,589.39DeferredTax(Net) - (2.74) 103.51 78.33 75.78

Total 2,131.93 2262.76 2475.08 2,497.59 2,311.00

APPLICATION OF FUNDS NetFixedAssets 1,129.64 1202.73 1287.06 1,372.19 1,365.17

NetCurrentAssets 972.13 1048.38 1188.01 1,125.39 945.83

Miscellaneous Expenses / P & La/c - 11.65 - - -(Totheextentnotwrittenoff)

Total 2,101.77 2262.76 2475.07 2,497.58 2,311.00

Book Value per Equity Share 8.77 9.81 11.61 10.63 10.59EarningsperShare (1.04) (1.80) 1.47 0.04 0.61DividendonEquityShare% - - - - 5

FIVE YEARS AT A GLANCE

Regd.Office:“S.K. ENCLAVE” New No. 4 (Old No. 47), Nowroji Road, Chetpet, Chennai – 600 031.

ATTENDANCE SLIP

Regd.Folio No......................................................................... D.P.Id.* ...............................................

No.ofsharesheld...................................................................ClientId.*............................................

Mr./Mrs./Miss....................................................................................................................................

I certify that I am a registered shareholder/proxy for the registered shareholder of the Company. I hereby recordmypresence at the19th ANNUAL GENERAL MEETING of theCompanyheld at TAMILNADUFOUNDATION INC.USA, 27, Taylors Road, Kilpauk, Chennai – 600 010 at 10.30 a.m. on Thursday, the July29,2010.

.................................................................... .........................................Member’s/Proxy’s Name (IN BLOCK LETTERS) Member’s/Proxy’s Signature

Notes:PleasefillinthisattendanceslipandhanditoverattheEntranceoftheMeetingHall.

---------------------------------------------------------------------------------------------------------------------------

Regd.Office:“S.K. ENCLAVE” New No. 4 (Old No. 47), Nowroji Road, Chetpet, Chennai – 600 031.

PROXY FORM

Regd.Folio No........................................................................ D.P.Id.*...............................................

No.ofsharesheld...................................................................ClientId.*............................................

I/We...................of.......................................in the district of....................................................being

member/members of Stanpacks(India)Limited hereby appoint.......................of............... in the district

of.....................or failing him.................. in the district of......................as my/our proxy to vote for me/

us on my/our behalf at the 19th ANNUAL GENERAL MEETING of the Company to be held on 29th July,

2010andatanyadjournmentthereof.

Signedthis.........................dayof.....................2010.

Signature..................................................................

Notes: 1) AMemberentitledtoattendandvoteattheMeetingisentitledtoappointoneormoreProxiestoattendand

voteinsteadofhimselfandaProxyneednotbeaMemberoftheCompany.Proxies,inordertobeeffectivemustbereceivedbytheCompanynotlessthan48hoursbeforethetimeforholdingthemeeting.

2) InthecaseofaBodyCorporate,theProxyFormshouldbeexecutedunderitsCommonSealorbesignedonitsbehalfbyanofficeroranAttorneydulyauthorisedbyit.

3) Wheretherearejointregisteredholdersofanyshare,anyoneofsuchpersonsmayvoteattheMeetingeitherpersonallyorbyproxyinrespectofsuchshareasifhewassolelyentitledthereto;andifmorethanoneofsuchjoint-holdersbepresentattheMeetingeitherpersonallyorbyproxy,thenoneofthesaidpersonssopresent whose name stands first on the Register of Members in respect of such share shall alone be entitled to voteinrespectthereof.

4)* Applicableforinvestorsholdingsharesinelectronicform.

Please be informed that no gifts or compliments will be given at the time of Annual General Meeting.

Affix15PaiseRevenueStamp

BOARD OF DIRECTORS Dr. G.V.CHALAPATHI SRI … · Sri. G.V.Gopinath, as relatives, are interested....

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Transcript of BOARD OF DIRECTORS Dr. G.V.CHALAPATHI SRI … · Sri. G.V.Gopinath, as relatives, are interested....