1. During the five reporting periods immediately preceding the reporting date, no shares have been issued by capitalization of reserves as bonus shares or for Consideration other than cash.

2. The Company has a single class of equity shares. Accordingly all equity shares rank equally with regard to voting rights, dividends and share in the Company’s residual assets.

Notes:

3. Long Term Loans From Banks were taken for the purchase of new wind mills and these loans are required to be repaid before July 2023.

4. Loan from Directors have been brought in pursuant to the terms of sanction of Loans by Bankers and retained as unsecured loans.

5. Income Tax assessments have been completed up to the Assessment Year 2015 -2016.

6. The Company declared Dividend at Rs.2 per Equity share for the year ending March 2018. The Total Dividend payable for 6750000 Equity shares comes to Rs.13500000/ - and tax payable on this amounts to Rs.2748282/- .

7. As at the end of the year, the Company does not have small-scale industries as defined by Section 3-J of the Industries (Development and Regulation) Act, 1951 and to whom more than Rs. 1.00 lakh is due and also for more than 30 days. Hence, the provision of interest does not arise. There were no overdue payments to Micro, Small and Medium scale enterprises during the year and there is no amount overdue as on the date of the Balance Sheet to such enterprises.

8. Sundry debtors which are overdue for a period of 6 months and more include a sum Rs.32.68 lakhs (Rs.32.72 lakhs) for which the Company has taken legal action and is hopeful of recovery. Provision has been made for Rs.32.84 Lakhs for Doubtful Debtors.

9. Depreciation has been calculated according to Schedule II of the Companies Act, 2013 as amended on straight-line method.

10. The Company has received a demand towards additional Electricity tax amounting to Rs.26.42 lakhs from TNEB against which the Company has gone on appeal to the Honourable High Court of Madras. The Company has not paid this amount due to dispute. No provision has been made in the accounts, pending disposal of appeal by the Honourable High Court of Madras.

11. Previous year figures have been regrouped and reclassified wherever necessary to conform to current year’s classification.

I. Segment-wise Reporting:

The Company is engaged mainly in the manufacture of yarn. The Company owns thirteen wind mills mainly for captive consumption purpose only. During the year the value of power generated through these mills is Rs. 12,94,42,280.00 (21099028 units) and this is adjusted with the power cost of the Company. The processing division is operating mainly for captive utilization and hence segment- wise reporting as defined in Accounting Standard 17 is not required.

II. Deferred Tax Assets / Liability:

Deferred tax provision for the current year has been credited to the profit and loss account for the year. The Balance of deferred Tax liability is being disclosed as a liability. Deferred Taxation Liability on account of Timing Difference : (Rs.)

III. Employee Benefits: AS-15:

Provident Fund Contribution:

During the year the Company has contributed Rs.2004529/- to Government Provident fund. The Company does not have a separate exempted provident fund.

Gratuity:

As per the records of the Company none of the employees come under the purview of Payment of Gratuity Act.

With regard to other terminal benefits payable to employees the Company makes a payment of such benefits every year and hence no provision is required.