Ahlcon Parenterals (India) Limited is the manufacturer of Pharmaceutical Intravenous Fluids and Opthalmics / Ear drops.

NOTE 2 CAPITAL COMMITMENTS

Capital contracts remaining to be executed (net of advances) and not provided for Rs. 3,03,92,003/- (previous year Rs. 1,390,207,014/-)

NOTE 3 GRATUITY AND OTHER POST-EMPLOYMENT BENEFIT PLANS:

The Company has a defined benefit gratuity plan. Gratuity is computed as 15 days salary, for every completed year of service or part thereof in excess of 6 months and is payable on retirement/termination/resignation. The benefit vests on the employees after completion of 5 years of service. The Gratuity liability has been funded. Company makes provision of such gratuity liability in the books of accounts on the basis of actuarial valuation as per the Projected unit credit method.

The Company has also provided long term compensated absences which are unfunded.

The following tables summarise the components of net benefit expense recognized in the profit and loss account and the unfunded status and amounts recognized in the balance sheet for the Gratuity.

NOTE 4 - LEASE

The company has taken various residential, office premises and other assets under operating lease agreements These are generally not non-cancelable and are renewable by mutual consent on mutually agreed terms. There are no restrictions imposed by lease agreement. There are no subleases.

NOTE 5 SEGMENT REPORTING:

1. Business Segment: In the opinion of the management, there is only one reportable segment i.e. manufacturing of pharmaceuticals products, as envisaged by Accounting Standered 17 'Segment Reporting' , prescribed by the companies (Accounting Standards) Rules, 2006.

2. Geographical Segment: The Company sells its products to various customers within the country and also exports to other countries. Considering size and proportion of exports to local sales, the Company considers sales made with in the country and exports as different geographical segments.

Information about Reportable Segment:

c. The Company has common fixed assets for producing goods for domestic market and Overseas Market. Hence, Separate figurers for fixed assets / addition to fixed assets cannot be furnished.

Note 6:

During the financial year 2013-14, the company had started expansion of capacity at its existing plant in Bhiwadi, Rajasthan. The expenditure incurred on start-up and commissioning of the project along with certain revenue expenses attributable to assets under construction have been capitalised as an indirect element of the construction cost during the current year. The trial run carried out successfully during the year, and the plant was commissioned and the assets are ready to use.

Expenditure attributable to assets pending capitalisation:

The Company has incurred certain revenue expenses attributable to assets under construction, which are capitalised along with the cost of fixed assets.

The details of such expenditure incurred are given below:

NOTE : 7

In compliance to the accounting standard - 29 on "provisions, contingent liabilities and contingent assets" issued by the institute of chartered accountants of india, contingent liabilities and provisions has been disclosed as below:

NOTE: 8 DELISTING STATUS OF COMPANY

The board of directors , on November, 29, 2013, December, 26, 2013 and shareholders of the Company on February, 10, 2014 (Special Resolution passed through postal ballot ) have approved the delisting of equity shares of the company from the stock exchanges on which the equity shares of the company are presently listed i.e BSE Limited ("BSE"), Delhi Stock Exchange Limited ("DSE"), the Calcutta Stock Exchange Limited ("CSE"), and Jaipur Stock Exchange Limited ("JSE") (collectively "Stock Exchanges") in accordance with the Securities and Exchange Board of India (Delisting of Equity Shares) Regulations, 2009, and the company has completed delisting process and obtained final approval from the stock exchanges.

NOTE: 9 CORPORATE SOCIAL RESPONSIBILITY (CSR)

Pursuant to Section 135 of the Companies Act, 2013 and rule made thereunder, the Board of Directors has constituted a Corporate Social Responsibility (CSR) Committee. The Committee has adopted a Corporate Social Responsibility Policy. As per Section 135 (5) of the Act, the Company needs to ensure at least 2% of the average net profit of preceding three financial years is spent on CSR activities as mentioned in CSR Policy. The average result of preceding three financial years (2011-12, 2012-13 and 2013-14) was Rs. 189,367,581/- and the CSR obligations was Rs. 3751981/- (P.Y. Rs. Nil). However the Company has not spent any amount on CSR during the current year.

NOTE 10 MINIMUM ALTERNATE TAX (MAT)

In the options of convincing evidence credit for Minimum Alternate Tax (MAT) paid during the year has not been recognised.

NOTE 11 ADVANCE FROM CUSTOMERS

The management believes that advance from customers received prior to 31st march, 2014 is in the normal course of its business and outstanding for more than a year as on the balance sheet date should not be considered as deposits in term of the provision of the companies act.

NOTE: 12

Previous year figures have been regrouped and/or rearranged wherever considered necessary.