Sri Jayalakshmi Spinning Mills Ltd. के अकाउंट के लिये नोट

Jun 30, 2009

For the Year ended 30.06.2009 30.06.2008

1 Contingent liabilities Nil Nil

2 Claims against the Company not acknowledged as debt Nil Nil

3 Accounting for Taxes on Income: Deferred Tax is recognised on timing differences, keeping in view the matching concept and the principles of prudence. No provision for Deferred Tax had been made for the year ended 30.06.2009 as a matter of prudence in view of the utilisation of carry forward losses.

4 The Company operates predominantly only in one Business Segment viz. Cotton Yarn. The Sales of the Company is mostly in India and there are no reportable geographical segments.

5 Confirmation letters to Debtors, Creditors, Advances from Customers and Advances to Suppliers have been sent and some of the confirmations are yet to be received.

6 The company is negotiating with iCICI Bank and Indian Overseas Bank for a one-time settlement or all their dues to them .

The company had not provided for interest on loans amounting to Rs 504.25 lakhs for the year ended 30th June 2008. The profit for the year would have been lower by Rs 504.25 lakhs.

7 As regards to compliance of provisions relating to the dues to Small Scale Industries, the Company has no information, as to whether its suppliers constitute Small Scale Industrial Undertaking and consequently the amount due to such Industrial Undertaking have not been identified.

8 Debenture Redemption Reserve was not provided following One Time Settlement wit ICICI Bank Ltd

9 Dividend on Cumulative Redeemable Preference Shares has not been provided for.

10 Related Psrty Disclosures:

a) Lisi of mated parties and description of relationship.

1. Associates Sri Jayalakshmi Tobacco Co. Ltd

Gogeneni Tobaccos Ltd Green Leaf Tobacco Threshers Ltd Sri Jayalakshmi Powercrop Ltd Jayalakshmi Projects Ltd Jayalakshmi Exports

2. Key Management Personnel Sri. R. Sambashiva Rao, Chairman

Sri. G. Kanakaiah, Vice Chairman Dr. R. Srinivas, Managing Director Sri. R. Gopala Krishna, Director Sri. R. Hanumantha Rao, Director

11. Previous year figures have been recast and regrouped wherever necessary to be in confirmity with current year classification.

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Jun 30, 2008

For the Year ended 30.06.2008 30.06.2007

1 Contingent liabilities

2 Claims against the Company not acknowledged as debt Nil Nil

3 Accounting for Taxes on Income: Deferred Tax is recognised on timing differences, keeping in view the matching concept and the principles of prudence. No provision for Deferred Tax had been made for the year ended 30.06.2008 as a matter of prudence in view of the utilisation of carry forward losses.

4 The Company operates predominantly only in one Business Segment viz. Cotton Yarn. The Sales of the Company is mostly in India and there are no reportable geographical segments.

5 Confirmation letters to Debtors, Creditors, Advances from Customers and Advances to Suppliers have been sent and some of the confirmations are yet to be received.

6 The company is negotiating with ICICI Bank and Indian Overseas Bank for a one-time settlement of ali their dues to them .

The company had not provided for interest on loans amounting to Rs 480.25 lakhs for the year ended 30th June 2008. The profit for the year would have been lower by Rs 480.25 lakhs.

7 As regards to compliance of provisions relating to the dues to Small Scale Industries, the Company has no information, as to whether its suppliers constitute Small Scale Industrial Undertaking and consequently the amount due to such Industrial Undertaking have not been identified.

8 Debenture Redemption Reserve was not provided following One Time Settlement wit ICICI Bank Ltd

9 Dividend on Cumulative Redeemable Preference Shares has not been provided for.

10 Related Party Disclosures:

a) List of related parties and description of relationship.

1. Associates Sri Jayalakshmi Tobacco Co. Ltd

Gogeneni Tobaccos Ltd Green Leaf Tobacco Threshers Ltd Sri Jayalakshmi Powercrop Ltd Jayalakshmi Projects Ltd Jayalakshmi Exports

2. Key Management Personnel Sri. R. Sambashiva Rao, Chairman

Sri. G. Kanakaiah, Vice Chairman Dr. R. Srinivas, Managing Director Sri. R. Gopaia Krishna, Director Sri. R. Hanumantha Rao, Director

11 Previous year figures have been recast and regrouped wherever necessary to be in confirmity with cunent year classification.