Notes to Accounts of Hawkins Cookers Ltd.

Mar 31, 2022

OTHER NOTES FORMING PART OF THE FINANCIAL STATEMENTS1. Dividend

The Board has recommended a final dividend of Rs. 60 per equity share of paid-up and face value of Rs. 10 each. The total dividend for the financial year ended March 31, 2022, will be Rs. 150 together with the interim dividend of Rs. 90 per equity share of paid-up and face value of Rs. 10 each paid in August 2021.

2. Contingent Liabilities and Capital Commitments

(a) Claims against the Company not acknowledged as debts are Rs. 12,15.34 Lakhs (Previous Year: Rs. 10,98.56 Lakhs). These comprise of:

I. Excise Duty, Service Tax, VAT, GST, PF, Utility Charges and other claims disputed by the Company relating to issues of applicability, classification etc. aggregating to Rs. 12,15.30 Lakhs (Previous Year: Rs. 10,98.53 Lakhs).

II. Income Tax claims disputed by the Company aggregating to Rs. 0.04 Lakhs (Previous Year: Rs. 0.04 Lakhs).

(b) Estimated amount of contracts remaining to be executed on capital account not provided for is Rs. 1,68.71 Lakhs (Previous Year: Rs. 2,90.54 Lakhs).

3. Segment Information

The Company operates in a single segment, manufacture, trading and sale of Kitchenware.

The revenues from customers attributed to the Company''s country of domicile amount to Rs. 876,46.36 Lakhs (previous year: Rs. 695,16.82 Lakhs) and revenues attributed to all foreign countries amount to Rs. 68,90.79 Lakhs (previous year: Rs. 65,57.82 Lakhs).

No customer of the Company contributed to more than 10% of the total revenues during the current year and previous year.

4. Foreign Exchange Translations

The net profit/loss on foreign exchange translations credited/debited to the Statement of Profit and Loss is NIL (previous year: gain credited Rs. 0.14 Lakhs).

5. Research and Development Cost

Research and Development costs debited to the Statement of Profit and Loss are Rs. 5,22.53 Lakhs (previous year: Rs. 5,19.95 Lakhs). Research and Development expenditure of capital nature is Rs. 4.77 Lakhs (previous year: Rs. 2.32 Lakhs).

6. Financial Instruments - Fair Values and Risk Management (a) Accounting Classifications and Fair Values

Carrying amounts and fair values of financial assets and financial liabilities, including their levels in the fair value hierarchy, are presented below. It does not include the fair value information for financial assets and financial liabilities not measured at fair value if the carrying amount is a reasonable approximation of fair value.

Note: Other Non-current Financial Assets (being Security deposits and Fixed Deposit with banks with maturity of more than 12 months) and Current Financial Assets (being Trade receivables, Cash and cash equivalents, Other bank balances and Other financial assets) are all valued at amortised cost since the business model of the Company is to hold the assets in order to collect contractual cash flows. All Non-current financial liabilities (being Borrowings) and Current Financial Liabilities (being Borrowings, Trade Payables and Other Financial Liabilities) are valued at amortised cost.

(b) Measurement of Fair Values

The fair values of financial instruments have been classified into three categories depending on the inputs used in the valuation technique. The hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and lowest priority to unobservable inputs (Level 3 measurements).

Fair Value Hierarchy

Level 1: Quoted prices for identical instruments in an active market;

Level 2: Directly or indirectly observable market inputs, other than Level 1 inputs; and Level 3: Inputs which are not based on observable market data.

7. Financial Risk Management

The Company''s business activities are exposed to a variety of financial risks, namely Market Risk, Credit Risk and Liquidity Risk. The Company has a well established Risk Management Policy which has been duly approved by the Board of Directors. The Risk Management Policy has been established to identify and analyse the risks faced by the Company as well as controls for mitigation of those risks. A periodical review of the changes in market conditions is also carried out to assess the impact of such changes on the Company and to revise the policies, if required.

(a) Management of Credit Risk

Credit risk refers to the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. The Company is primarily exposed to credit risk from its trade receivables and investments in the form of term deposits with scheduled banks.

The Company''s credit risk exposure towards trade receivables is very low as the majority of its sales is on advance payment basis. Customer credit period ranges from 30 days to 60 days. Credit can be extended only to those customers who have been approved by the Company and only upto a predefined approved credit limit. The Credit limit is decided after assessing the credit worthiness of the customers based on the past trends and as per the established policies and procedures of the Company. The Company''s customer base is widely distributed and the Company does not have concentration of credit risk in the hands of a few customers. Outstanding customer receivables are regularly monitored by the Company to ensure proper attention and focus on realisation. The historical experience of credit risk in collecting receivables is very low. Trade receivables are considered to be a single class of financial assets.

The Company invests surplus funds in fixed interest bearing term deposits with the scheduled banks.

The Company''s maximum exposure towards the credit risk is the carrying value of each class of financial assets amounting to Rs. 121,69.63 Lakhs and Rs. 223,41.88 Lakhs as at March 31, 2022, and March 31, 2021, respectively, being the carrying amount of current account balances with the scheduled banks, term deposits with scheduled banks, trade receivables and other financial assets.

(b) Management of Liquidity Risk

The liquidity risk is the risk that the Company will encounter difficulty in meeting obligations associated with the financial liabilities that are settled by delivering cash or another financial assets. Management of liquidity risk ensures that it has sufficient funds to meet its liabilities when due without incurring unacceptable losses.

The Company manages liquidity risk by maintaining sufficient cash and cash equivalents in the form of fixed interest rate bearing term deposits with the scheduled banks and also through an adequate amount of committed credit and overdraft facilities from a consortium of banks. The Company generates sufficient cash flows from operations which are used to service the financial liabilities occurring on a day to day basis. Shortfall, if any, is supported by the said committed credit facilities available to the Company from the banks.

The Company has not entered into any Forward Exchange Contracts or other derivative instruments as at the end of the year.

(c) Management of Market Risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market conditions. These changes may result from changes in the Foreign Currency exchange rates and in interest rates.

I. Currency Risk

Currency risk is the risk that the fair value of a financial instrument will fluctuate because of changes in foreign currency exchange rates. The Company has very minimal exposure towards foreign currency fluctuation on account of advances received from the foreign customers before the shipment of the goods. Production/delivery of goods is closely monitored to mitigate the said foreign currency risk.

The Company has not entered into any Forward Exchange Contracts or other derivative instruments as at the end of the year

Sensitivity analysis

This analysis assumes that all the other variables remain constant and ignores any impact of forecast sales and purchases. An analysis of strengthening or weakening of the INR against the foreign currencies which the company is exposed to as at the balance sheet date is as follows:

Weakening and strengthening of INR against the foreign currencies would not have led to any impact in the Statement of Profit and Loss for the year 2021-22 and also in the previous year.

II. Interest Rate Risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in Market interest rates. The Company does not have any exposure to interest rate risks since all its borrowing and investments are fixed interest bearing.

III. Price Risk

Price risk is the risk that the fair value of a financial instrument will fluctuate because of changes in market value of investments. The Company does not have any material investments in the form of shares, mutual funds, etc.

8. Capital Management

The Company manages its capital structure so as to ensure that all strategic as well as day to day capital requirements are met with the maximum focus on increasing the shareholders'' wealth. The Management and the Board of Directors of the Company monitor the return on capital and the level of dividends to shareholders taking into account the Company''s profitability, circumstances and requirements of the business. The Management of the Company ensures there is sufficient liquidity to meet the Company''s short term and long term financial liabilities without any shortfalls or delays. The Company maintains sufficient levels of investments in the form of term deposits with scheduled banks. The Company also raises funds from the public and its shareholders in the form of fixed deposits of upto three years tenure as per the applicable laws, as an alternative source to bank borrowings, in order to meet its working capital needs.

9. Employee Benefits

(a) Defined contribution plan

The Company''s defined contribution plans include Provident Fund, Superannuation Fund, Deposit-linked and Employee State Insurance. Contribution to these funds are recognised as an expense in the Statement of Profit and Loss under the line item employee benefit expenses. The Company has recognised an expense of Rs. 6,53.40 Lakhs during the year (previous year Rs. 5,91.48 Lakhs) towards contribution to defined contribution plans.

(b) Defined benefit plan - Gratuity I. Plan characteristics

Nature of Benefits: The Company operates a defined benefit final salary gratuity plan. The gratuity benefits payable to the employees are based on the employee''s service and last drawn salary at the time of leaving.

Regulatory Framework: There are no minimum funding requirements for a gratuity plan in India. The trustees of the gratuity fund have a fiduciary responsibility to act according to the provisions of the trust deed and rules. Besides this if the Company is covered by the Payment of Gratuity Act, 1972, then the Company is bound to pay the statutory minimum gratuity as prescribed under this Act.

Governance of the Plan: The Company has setup irrevocable trust fund to finance the plan liability. The trustees of the trust fund are responsible for the overall governance of the plan.

Inherent Risks: The plan is of a final salary defined benefit in nature which is sponsored by the Company and hence it underwrites all the risks pertaining to the plan. In particular, there is a risk for the Company that any adverse salary growth or demographic experience or inadequate returns on underlying plan assets can result in an increase in cost of providing these benefits to employees in future. Since the benefits are lump sum in nature the plan is not subject to any longevity risks.

These sensitivities have been calculated to show the movement in the defined benefit obligation in isolation and assuming there are no other changes in the market conditions at the accounting date. There have been no changes from the previous periods in the methods and assumptions used in preparing the sensitivity analysis.

X. Funding arrangements and funding policy: The money contributed by the Company to the fund to finance the liabilities of the plan has to be invested. The trustees of the plan have outsourced the investment management of the fund to an insurance company. The insurance company in turn manages these funds and the asset allocation which is within the permissible limits prescribed in the insurance regulations. Due to the restrictions in the type of investments that can be held by the fund, it is not possible to explicitly follow an asset-liability matching strategy to manage risk actively. There is no compulsion on the part of the Company to fully pre-fund the liability of the Plan. The Company''s philosophy is to fund the benefits based on its own liquidity and tax position as well as level of under funding of the plan.

XI. Expected contribution for the next year is Rs. 2,00 Lakhs.

Transactions between the Company and Hawkins Cookers Limited Employees Provident Fund Trust and the Status of outstanding balances as at March 31, 2022 (Previous year’s figures given in brackets):

During the year company has paid Rs. 5,79.48 Lakhs (previous year: Rs. 5,44.14 Lakhs) to Hawkins Cookers Limited Employees Provident Fund Trust towards the Company''s and the employees'' contribution. Balance payable to the said Trust as at March 31,2022: Rs. 49.79 Lakhs (Previous Year: Rs. 44.06 Lakhs).

11. Previous year''s figures have been regrouped wherever necessary to conform to this year''s classification. All the values have been stated in Rs. Lakhs unless otherwise indicated.

Signatures to Notes 1 to 37 forming part of the financial statements.

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Mar 31, 2018

1.1 Corporate Information

Hawkins Cookers Limited (the Company) is a public limited Company domiciled and incorporated in India having its registered office at F 101, Maker Tower, Cuffe Parade, Mumbai - 400 005. The Company s shares are listed since 1978 and traded on the BSE. The Company is engaged in the manufacture, trading and sale of kitchenware,

The financial statements of the Company for the year ended March 31, 2018, were approved by the Board of Directors and authorised for issue on May 30, 2018,

1.2 Basis of Preparation and Presentation

The financial statements of the Company have been prepared in accordance with the Indian Accounting Standards (Ind AS ) as notified by the Ministry of Corporate Affairs pursuant to Section 133 of the Companies Act, 2013 (Act), the Companies (Indian Accounting Standards) Rules, 2015, as amended, and other applicable provisions of the Act,

The financial statements of the Company for the year ended March 31, 2018, are the first financials prepared in compliance with Ind AS recognition and measurement principles and Ind AS 101, First Time Adoption of Indian Accounting Standards, The date of transition to Ind AS is April 1, 2016, The financial statements upto the year ended March 31, 2017, were prepared in accordance with the accounting standards notified under the Companies (Accounting Standards) Rules, 2006 (as amended), and other applicable provisions of the Act, considered as the Previous GAAP , The financial statements for the year ended March 31, 2017, and opening Balance Sheet as at April 1, 2016, have been restated in accordance with the Ind AS recognition and measurement principles, Reconciliations and explanations of the effect of transition from previous GAAP to Ind AS on the Company s Equity, Total Comprehensive Income and Cash Flows are provided in Note 34(13),

The Balance Sheet, Statement of Profit and Loss and Statement of Changes in Equity have been prepared and presented in the format prescribed in the Division II of the Schedule III to the Companies Act, 2013, Statement of Cash Flows has been prepared and presented as per the requirements of Ind AS 7 Statement of Cash Flows, The disclosure requirements with respect to the items in the Balance Sheet and Statement of Profit and Loss Account are presented by way of notes forming part of financial statements,

The Company has considered a period of twelve months as the operating cycle for classification of assets and liabilities as current and non-current,

1.3 Basis of Measurement

These financial statements have been prepared based on accrual and going concern principles following the historical cost conventions except for those financial assets and liabilities that are measured at fair value,

1.4 Functional and Presentation Currency

These financial statements are presented in Indian Rupees, which is the Company s functional currency, being the currency of the primary economic environment in which the Company operates, All amounts have been rounded off to the nearest Lakhs, unless otherwise indicated, Certain figures apparently do not add up because of rounding off but are wholly accurate in themselves,

1.5 Key Estimates & Assumptions

In preparing these Ind AS compliant financial statements, the Management has made judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities (including contingent liabilities), income and expenses, The Management believes that the estimates used in the preparation of the financial statements are prudent and reasonable and a continuous evaluation is done on the estimation and judgements based on historical experience and other factors,

Actual results may differ from these estimates, The areas involving critical estimates or judgements are as follows:

a. Useful life and residual value of property, plant and equipment [refer accounting policy 1,8(a)],

b. Impairment of property, plant and equipment [refer accounting policy 1,8(b)],

c. Recognition and measurement of defined benefit obligations [refer Note 1,8(j)],

d. Recognition of deferred tax assets [refer accounting policy 1,8(n)],

e. Fair Value measurement of Financial Instruments (refer Note 1,6),

f. Provisions and contingent liabilities [refer accounting policy 1,8(g)],

g. Allowances for Inventory [refer accounting policy 1,8(c)],

h. Allowances for doubtful debts [refer accounting policy 1,8(d)],

1.6 Measurement of Fair Values

The Company s accounting policies and disclosures require financial instruments to be measured at fair values, The Company has an established control framework with respect to the measurement of fair values, The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data is available to measure fair value maximising the use of relevant observable inputs and minimising the use of unobservable inputs,

Fair values are categorised into different levels in a fair value hierarchy based on the inputs used in the valuation techniques as follows: Level 1: Quoted prices for identical instruments in an active market;

Level 2: Directly or indirectly observable market inputs, other than Level 1 inputs; and Level 3: Inputs which are not based on observable market data,

If the inputs used to measure the fair value of an asset or liability fall into different levels of the fair value hierarchy, then the fair value measurement is categorised in its entirety in the same level of the fair value hierarchy of the lowest level input that is significant to the entire measurement,

The Company recognises transfers between levels of the fair value hierarchy at the end of the reporting period during which the change has occurred,

1.7 Standards issued but not yet effective

On March 28, 2018, the Ministry of Corporate Affairs (MCA) has notified the Companies (Indian Accounting Standards) Amendment Rules, 2018, containing Appendix B to Ind AS 21, foreign currency transactions and advance consideration and Ind AS 115, Revenue from Contract with Customers. The effective date for adoption of these standards is financial periods beginning on or after April 1, 2018. The Company is currently evaluating the effect of the above amendment.

Shareholders holding more than 5 percent Equity Shares

Mr. Brahm Vasudeva: 18,28,732 (34.58%) [March 31, 201 7: 18,29,032 (34.59%), April 1, 2016: 18,29,632 (34.60%)] Equity Shares Mr. Neil Vasudeva: 3,80,032 (7.19%) [March 31, 201 7: 3,80,032 (7.19%), April 1, 2016: 3,80,032 (7.19%)] Equity Shares Mr. Nikhil Vasudeva: 3,80,032 (7.19%) [March 31, 201 7: 3,80,032 (7.19%), April 1, 2016: 3,80,032 (7.19%)] Equity Shares

B. Nature and purpose of reserves

1. Securities Premium Reserve: The amount received in excess of face value of the equity shares is recognised in Securities Premium Reserve.

2. General Reserve: The Company had transferred a portion of the Net Profit of the Company before declaring dividend to General Reserve pursuant to the then applicable provisions of the Companies Act, 1956. A similar practice is continued even though it is not mandatory under the Companies Act, 2013.

3. Retained Earnings: Retained earnings are the profits that the Company has earned till date, less any transfers to General Reserve, Dividends or other distributions paid to shareholders.

1,8, The identification of vendors as a Supplier under the Micro, Small and Medium Enterprises Development Act, 2006, has been done on the basis of the information to the extent provided by the vendors to the Company. This has been relied upon by the auditors,

NOTE 2

Other Notes Forming Part of the Financial Statements

1. The Board has recommended a dividend of Rs. 70 per equity share of paid-up and face value of Rs. 10 each (previous year Rs. 70 per equity share of paid-up and face value of Rs. 10 each) which, if approved by the shareholders, shall amount to Rs. 37,01.47 Lakhs (previous year Rs. 37,01.47 Lakhs). As required by Ind AS 10, the dividend proposed by the Board but not yet declared by the Company has not been deducted from the reserves and surplus in the year ended March 31, 2018.

2. Contingent Liabilities and Capital Commitments

(a) Claims against the Company not acknowledged as debts are Rs. 18,37.32 Lakhs [(March 31, 201 7: Rs. 18,38.54 Lakhs), (April 1, 2016: Rs. 1 7,95.14 Lakhs)]. These comprise:

I. Excise Duty, V.A.T./Sales Tax and other claims disputed by the Company relating to issues of applicability, classification etc. aggregating to Rs. 18,36.66 Lakhs [(March 31, 2017: Rs. 18,36.96 Lakhs), (April 1, 2016: Rs. 17,93.42 Lakhs)].

II. Income Tax claims disputed by the Company relating to allowability of certain expenses, payment of taxes deducted at source etc. aggregating to Rs. 0.66 Lakhs [(March 31, 2017: Rs. 1.58 Lakhs), (April 1, 2016: Rs. 1.72 Lakhs)].

(b) Estimated amount of contracts remaining to be executed on capital account not provided for is Rs. 1,02.78 Lakhs [(March 31, 2017: Rs. 13.60 Lakhs), (April 1, 2016: Rs. 19.68 Lakhs)].

3. Segment Information

The Company operates in a single segment, manufacture, trading and sale of Kitchenware.

The revenues from customers attributed to the Company s country of domicile amount to Rs. 515,05.90 Lakhs (previous year: Rs. 498,20.59 Lakhs) and revenues attributed to all foreign countries amount to Rs. 34,76.40 Lakhs (previous year: Rs. 33,95.11 Lakhs).

During the year one customer (previous year: one customer) of the Company contributed to more than 10% of the total revenues amounting to Rs. 56,78.27 Lakhs (previous year: Rs. 74,87.81 Lakhs).

4. Corporate Social Responsibility Expenditure

The Company has incurred revenue expenses of Rs. 2.07 Lakhs (previous year revenue expenses: Rs. 0.86 Lakhs) towards CSR activities, of which Rs. 2.00 Lakhs (previous year: NIL) are yet to be paid. The required CSR expenditure of the Company is Rs. 1,17.15 Lakhs (previous year: Rs. 1,09.71 Lakhs).

5. The possession of 20 acres of land has been given to the Company by the Government of Punjab, as per the agreement, the conveyance of which has yet to be finalised.

6. Foreign Exchange Translations

The net gain on foreign exchange translations credited to the Statement of Profit and Loss is Rs, 15,26 Lakhs (previous year: gain credited Rs, 24,82 Lakhs),

7. Research and Development Costs

Research and Development costs debited to the Statement of Profit and Loss is Rs, 3,67,60 Lakhs (previous year: Rs, 3,91,87 Lakhs), Research and Development expenditure of capital nature is Rs, 2,06 Lakhs (previous year: Rs, 14,33 Lakhs),

8. Financial Instruments Fair Values and Risk Management

(a) Accounting Classifications and Fair Values

Carrying amounts and fair values of financial assets and financial liabilities, including their levels in the fair value hierarchy, are presented below, It does not include the fair value information for financial assets and financial liabilities not measured at fair value if the carrying amount is a reasonable approximation of fair value,

Note: Other Non-current Financial Assets (being Security deposits) and Current Financial Assets (being Trade receivables, Cash and cash equivalents, Other bank balances and Other financial assets) are all valued at amortised cost since the business model of the Company is to hold the assets in order to collect contractual cash flows, All Non-current financial liabilities (being Borrowings) and Current Financial Liabilities (being Borrowings, Trade Payables and Other Financial Liabilities) are valued at amortised cost,

(b) Measurement of Fair Values

The fair values of financial instruments have been classified into three categories depending on the inputs used in the valuation technique, The hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and lowest priority to unobservable inputs (Level 3 measurements),

Fair Value Hierarchy

Level 1: Quoted prices for identical instruments in an active market;

Level 2: Directly or indirectly observable market inputs, other than Level 1 inputs; and Level 3: Inputs which are not based on observable market data,

9. Financial Risk Management

The Company s business activities are exposed to a variety of financial risks, namely Market Risk, Credit Risk and Liquidity Risk, The Company has a well established Risk Management Policy which has been duly approved by the Board of Directors, The Risk Management Policy has been established to identify and analyse the risks faced by the Company as well as controls for mitigation of those risks, A periodical review of the changes in market conditions is also carried out to assess the impact of such changes on the Company and to revise the policies, if required,

(a) Management of Credit Risk

Credit risk refers to the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation, The Company is primarily exposed to credit risk from its trade receivables and investments in the form of term deposits with banks,

The Company s credit risk exposure towards trade receivables is very low as majority of its sales is on advance payment basis, Customer credit period ranges from 30 days to 60 days, Credit can be extended only to those customers who have been approved by the Company only upto a predefined approved credit limit, The Credit limit is decided after assessing the credit worthiness of the customers based on the past trends and as per the established policies and procedures of the Company. The Company s customer base is widely distributed and the Company does not have concentration of credit risk in the hands of a few customers, Outstanding customer receivables are regularly monitored by the Company to ensure proper attention and focus on realisation, The historical experience of credit risk in collecting receivables is very low. Trade receivables are considered to be a single class of financial assets,

The Company invests surplus funds in fixed interest bearing term deposits with the nationalised banks,

The Company s maximum exposure towards the credit risk is the carrying value of each class of financial assets amounting to Rs, 137,74,75 Lakhs, Rs, 114,61,58 Lakhs and Rs, 97,88,52 Lakhs as at March 31, 2018, March 31, 201 7 and April 1, 2016, respectively, being the carrying amount of current account balances with the scheduled banks, term deposits with scheduled banks, trade receivables and other financial assets,

(b) Management of Liquidity Risk

The liquidity risk is the risk that the Company will encounter difficulty in meeting obligations associated with the financial liabilities that are settled by delivering cash or other financial assets, Management of liquidity risk ensures that it has sufficient funds to meet its liabilities when due without incurring unacceptable losses,

The Company manages liquidity risk by maintaining sufficient cash and cash equivalents in the form of fixed interest rate bearing term deposits with the scheduled banks and also through an adequate amount of committed credit and overdraft facilities from a consortium of banks, The Company generates sufficient cash flows from operations which are used to service the financial liabilities occurring on a day to day basis, Shortfall, if any, is supported by the said committed credit facilities available to the Company from the banks,

Liquidity risk exposure

The following are the remaining contractual maturities of financial liabilities at the reporting date,

The Company has not entered into any Forward Exchange Contracts (or other derivative instruments) as at the end of the year,

(c) Management of Market Risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market conditions, These changes may result from changes in the Foreign Currency exchange rates and in interest rates,

I, Currency Risk

Currency risk is the risk that the fair value of a financial instrument will fluctuate because of changes in foreign currency exchange rates, The Company has very minimal exposure towards foreign currency fluctuation on account of advances received from the foreign customers before the shipment of the goods, Production/delivery of goods is closely monitored to mitigate the said foreign currency risk,

Foreign currency exposures in respect of Export receivables/payables are tabulated below:

The Company has not entered into any Forward Exchange Contract (or other derivative instruments) as at the end of the year,

Sensitivity analysis

This analysis assumes that all the other variables remain constant and ignores any impact of forecast sales and purchases, An analysis of strengthening or weakening of the INR against the foreign currencies which the Company is exposed to as at the balance sheet date is as follows:

A 4% strengthening of INR against the currencies to which Company is exposed would have led to an approximately additional Rs, 294 gain in the Statement of Profit and Loss for the year 201 7-18 (previous year: Rs, 1,75 Lakhs loss), A 4% weakening in INR against these currencies would have led to an equal but opposite impact in the Statement of Profit and Loss,

II, Interest Rate Risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in Market interest rates, The Company does not have any exposure to interest rate risks since all its borrowing and investments are fixed interest bearing,

III, Price Risk

Price risk is the risk that the fair value of a financial instrument will fluctuate because of changes in market value of investments, The Company does not have any material investments in the form of shares, mutual funds, etc,

10. Capital Management

The Company manages its capital structure so as to ensure that all strategic as well as day to day capital requirements are met with the maximum focus on increasing the shareholders wealth, The Management and the Board of Directors of the Company monitor the return on capital and the level of dividends to shareholders taking into account the Company s profitability, circumstances and requirements of the business, The Management of the Company ensures that there is sufficient liquidity to meet the Company s short term and long term financial liabilities without any shortfalls or delays, The Company maintains sufficient levels of investments in the form of term deposits with scheduled banks, The Company also raises funds from the public and its shareholders in the form of fixed deposits of upto three years tenure as per the applicable laws, as an alternative source to bank borrowings, in order to meet its working capital needs,

11. Employee Benefits

(a) Defined contribution plan

The Company s defined contribution plans include Provident Fund, Superannuation Fund, Deposit-linked and Employee State Insurance, Contribution to these funds are recognised as an expense in the Statement of Profit and Loss under the line item employee benefit expenses, The Company has recognised an expense of Rs, 4,77,79 Lakhs during the year (previous year Rs, 4,63,06 Lakhs) towards contribution to defined contribution plans,

(b) Defined benefit plan - Gratuity I, Plan characteristics

Nature of Benefits: The Company operates a defined benefit final salary gratuity plan, The gratuity benefits payable to the employees are based on the employee s service and last drawn salary at the time of leaving,

Regulatory Framework: There are no minimum funding requirements for a gratuity plan in India, The trustees of the gratuity fund have a fiduciary responsibility to act according to the provisions of the trust deed and rules, Besides this if the Company is covered by the Payment of Gratuity Act, 1972, then the Company is bound to pay the statutory minimum gratuity as prescribed under this Act,

Governance of the Plan: The Company has setup irrevocable trust fund to finance the plan liability. The trustees of the trust fund are responsible for the overall governance of the plan,

Inherent Risks: The plan is of a final salary defined benefit in nature which is sponsored by the Company and hence it underwrites all the risks pertaining to the plan, In particular, there is a risk for the Company that any adverse salary growth or demographic experience or inadequate returns on underlying plan assets can result in an increase in cost of providing these benefits to employees in future, Since the benefits are lump sum in nature the plan is not subject to any longevity risks,

These sensitivities have been calculated to show the movement in the defined benefit obligation in isolation and assuming there are no other changes in the market conditions at the accounting date. There have been no changes from the previous periods in the methods and assumptions used in preparing the sensitivity analysis.

X. Funding arrangements and funding policy: The money contributed by the Company to the fund to finance the liabilities of the plan has to be invested, The trustees of the plan have outsourced the investment management of the fund to an insurance company. The insurance company in turn manages these funds and the asset allocation which is within the permissible limits prescribed in the insurance regulations, Due to the restrictions in the type of investments that can be held by the fund, it is not possible to explicitly follow an asset-liability matching strategy to manage risk actively. There is no compulsion on the part of the Company to fully pre-fund the liability of the Plan. The Company s philosophy is to fund the benefits based on its own liquidity and tax position as well as level of under funding of the plan,

XI. Expected contribution for the next year is Rs. 2,50 Lakhs.

XII. Projected plan cash flow: The table below shows the expected cash flow profile of the benefits to be paid to the current membership of the plan based on the past service of the employees as at the valuation date:

Transactions between the Company and Hawkins Cookers Limited Employees Provident Fund and the Status of outstanding balances as at March 31, 2018 (Previous year s figures given in brackets)

During the year the Company has contributed Rs. 4,14.36 Lakhs (previous year: Rs. 3,58.09 Lakhs) to Hawkins Cookers Limited Employees Provident Fund towards the Company s and the employees contribution. Balance payable to Trust as at March 31, 2018: Rs. 43.03 Lakhs (March 31, 2017: Rs. 38.48 Lakhs, April 1, 2016: Rs. 30.83 Lakhs).

13. First Time Adoption of Ind AS

The financial statements of the Company for the year ended March 31, 2018, are the first financials prepared in compliance with Ind AS recognition and measurement principles. The date of transition to Ind AS is April 1, 2016. The financial statements upto the year ended March 31, 2017, were prepared in accordance with the accounting standards notified under the Companies (Accounting Standards) Rules, 2006, and other relevant provisions of the Act, considered as the Previous GAAP . The financial statements for the year ended March 31, 201 7, and opening Balance Sheet as at April 1, 2016, have been restated in accordance with the Ind AS recognition and measurement principles.

The adoption of Ind AS has been carried out in accordance with Ind AS 101, First-time Adoption of Indian Accounting Standards. Ind AS 101 requires that all Ind AS standards and interpretations that are issued and effective for the first Ind AS financial statements be applied retrospectively and consistently for all financial years presented except exemptions availed by the company. Accordingly, the Company has prepared financial statements which comply with Ind AS for the year ended March 31, 2018, together with the comparative information as at and for the year ended March 31, 201 7, and the opening Ind AS Balance Sheet as at April 1, 2016, the date of transition to Ind AS.

In preparing these Ind AS financial statements, the Company has availed certain exemptions and exceptions in accordance with Ind AS 101, as explained below:

a. Optional exemptions from retrospective application

i, Deemed cost for property, plant and equipment and intangible assets

The Company has elected to measure all its property, plant and equipment and intangible assets at the previous GAAP carrying amounts as its deemed cost on the date of transition to Ind AS,

b. Mandatory Exceptions from retrospective application

i, Estimates

The Company has assessed the estimates made under the Previous GAAP financial statements, and concluded that there is no necessity to revise the estimates under Ind AS, as there is no objective evidence of any error in those estimates. However, estimates that are required under Ind AS but were not required under Previous GAAP are made by the Company for the relevant reporting dates reflecting conditions existing as at that date,

ii, Classification and measurement of financial assets

The Company has classified and measured the financial assets on the basis of the facts and circumstances that exist at the date of transition to Ind AS,

c. Transition to Ind AS - Reconciliations

The following reconciliations provide the explanations and quantification of the differences arising from the transition from Previous GAAP to Ind AS in accordance with Ind AS 101:

Previous GAAP figures have been reclassified/regrouped wherever necessary to conform with financial statements prepared under Ind AS,

Notes:

a. Under Previous GAAP revenue was recognised net of trade discounts, sales taxes, value added tax and excise duty. Under Ind AS, revenue is recognised at the fair value of the consideration received or receivable, after deduction of any trade discounts, volume rebates and any taxes or duties collected on behalf of the government such as goods and service tax, sales tax and value added tax except excise duty. Discounts amounting to Rs. 66,33.35 Lakhs which were grouped in the line item Other Expenses under Previous GAAP have been netted off from revenue under Ind AS. Thus, sale of goods under Ind AS has decreased with a corresponding decrease in expenses.

b. Under Previous GAAP excise duty on sales amounting to Rs. 27,54.87 Lakhs was netted off from revenue. However, under Ind AS, excise duty is included in sale of goods and is separately shown as expense on the face of Statement of Profit and Loss. Thus, sale of goods under Ind AS has increased with a corresponding increase in expenses.

c. Under Previous GAAP the actuarial gain/ loss of defined benefit plans had been recognised in Statement of Profit and Loss under the line item Employee benefit expenses . Under Ind AS, the remeasurement gain/ loss on net defined benefit plans is recognised in Other Comprehensive Income .

d. Excise duty on inventory amounting to Rs. 25.52 Lakhs which was previously grouped under the line item Other Expenses has been shown under the line item Excise Duty on the face of the Statement of Profit and Loss.

e. Tax pertaining to the actuarial gain/ loss of defined benefit plans has been taken to Other Comprehensive Income.

iii. Reconciliation of Statement of Cash Flows

There were no material differences between the Statement of Cash Flows presented under Ind AS and the Previous

GAAP

14. Previous years figures have been regrouped wherever necessary to conform to this year s classification. All the values have been stated in Rs. Lakhs unless otherwise indicated.

---

Mar 31, 2017

1 The Board has recommended a dividend of Rs. 70 per equity share of paid-up and face value of Rs. 10 each (previous year Rs. 60 per equity share of paid-up and face value of Rs. 10 each) which, if approved by the shareholders, shall amount to Rs. 3701.47 Lakhs (previous year Rs. 3172.69 Lakhs). As required by AS 4, the dividend proposed by the Board but not yet declared by the Company has not been deducted from the reserves and surplus in the year ended March 2017.

2 Estimated amount of contracts remaining to be executed on capital account not provided for is Rs. 13.60 Lakhs (previous year: Rs. 19.68 Lakhs).

3 The possession of 20 acres of land has been given to the Company by the Government of Punjab, as per the agreement, the conveyance of which has yet to be finalized.

4 Claims against the Company not acknowledged as debts are gross Rs. 1838.54 Lakhs (previous year: Rs. 1795.14 Lakhs), net of tax Rs. 1415.62 Lakhs (previous year: Rs. 1381.28 Lakhs). These comprise:

5. Excise Duty, V.A.T./Sales Tax and other claims disputed by the Company relating to issues of applicability, classification etc. aggregating gross Rs. 1836.96 Lakhs (previous year: Rs. 1793.42 Lakhs), net of tax Rs. 1414.03 Lakhs (previous year: Rs. 1379.56 Lakhs).

6. Income Tax claims disputed by the Company relating to allow ability of certain expenses, payment of taxes deducted at source etc. aggregating gross Rs. 1.58 Lakhs (previous year: Rs. 1.72 Lakhs), net of tax Rs. 1.58 Lakhs (previous year: Rs. 1.72 Lakhs)

7. The net gain on foreign exchange translations credited to the Statement of Profit and Loss is Rs. 24.82 Lakhs (previous year: gain credited Rs. 2.32 Lakhs).

8. The Company operates in a single segment, manufacture, trading and sale of Kitchenware.

9. The identification of vendors as a "Supplier" under the Micro, Small and Medium Enterprises Development Act, 2006 has been done on the basis of information to the extent provided by the vendors to the Company. This has been relied upon by the auditors.

10. Research and Development costs debited to the Statement of Profit and Loss is Rs. 391.87 Lakhs (previous year: Rs. 332.79 Lakhs). Research and Development expenditure of capital nature is Rs. 14.33 Lakhs (previous year: Rs. 5.65 Lakhs).

11. As at the year end, the Company has not entered into any Forward Exchange Contracts (or other derivative instruments). The yearend foreign currency exposures, which are only in respect of Export receivables/payables, that have not been hedged by a derivative instrument or otherwise amount to Rs. 0.83 Lakhs (US $ 1219, Euro 62) [previous year: Rs. 0.71 Lakhs (US $ 1012, Euro 62)] in respect of receivables and Rs. 44.67 Lakhs (US $ 68136, Euro 1089) [previous year: Rs. 16.65 lakhs (US $ 24773, Euro 416] in respect of payables.

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Mar 31, 2016

NOTE 1

Other Notes Forming Part of the Accounts

1. Estimated amount of contracts remaining to be executed on capital account not provided for is Rs. 19.68 Lakhs (previous year: Rs. 57.98 Lakhs).

2. The possession of 20 acres of land has been given to the Company by the Government of Punjab, as per the agreement, the conveyance of which has yet to be finalised.

3. The exceptional item is in respect of expenditure of Rs. 404.17 Lakhs recognised in the year ended March 31, 2016, arising on a final determination of VAT applicable on Pressure Cookers for the period 2005-06 to 2010-11. There is no dispute about the current rate of VAT on Pressure Cookers.

4. Claims against the Company not acknowledged as debts are gross Rs. 1795.14 Lakhs (previous year: Rs. 1767.14 Lakhs), net of tax Rs. 1381.28 Lakhs (previous year: Rs. 1368.10 Lakhs). These comprise:

(a) Excise Duty, V.A.T./Sales Tax and other claims disputed by the Company relating to issues of applicability, classification etc. aggregating gross Rs. 1793.42 Lakhs (previous year: Rs. 1765.42 Lakhs), net of tax Rs. 1379.56 Lakhs (previous year: Rs. 1366.38 Lakhs).

(b) Income Tax claims disputed by the Company relating to allow ability of certain expenses, payment of taxes deducted at source etc. aggregating gross Rs. 1.72 Lakhs (previous year: Rs. 1.72 Lakhs), net of tax Rs. 1.72 Lakhs (previous year: Rs. 1.72 Lakhs).

5. The net profit on foreign exchange translations credited to the Statement of Profit and Loss is Rs. 2.32 Lakhs (previous year: profit credited Rs. 6.95 Lakhs).

6. The Company operates in a single segment, manufacture, trading and sale of Kitchenware.

7. The identification of vendors as a "Supplier" under the Micro, Small and Medium Enterprises Development Act, 2006 has been done on the basis of information to the extent provided by the vendors to the Company. This has been relied upon by the auditors.

8. Research and Development costs debited to the Statement of Profit and Loss is Rs. 332.79 Lakhs (previous year: Rs. 297.84 Lakhs). Research and Development expenditure of capital nature is Rs. 5.65 Lakhs (previous year: Rs. 9.71 Lakhs).

NOTE 2 (continued)

3. Related Party Disclosures:

1.Related Parties

(a) Individual having control and relatives:

Mr. Brahm Vasudeva Chairman

and relatives:

Mr. Neil Vasudeva Mr. Nikhil Vasudeva

Mrs. Anuradha S. Khandelwal

Mrs. Gitanjali V. Nevatia

Mrs. Gayatri S. Yadav*

Mrs. Susan M. Vasudeva Non-Executive Director

(b) Key Management Personnel and their relatives:

Mr. S. Dutta Choudhury Vice-Chairman & Chief Executive Officer

Mr. Sudeep Yadav Executive Director-Finance & Administration

Mrs. Sonya Dutta Choudhury Relative

Mrs. Gayatri S. Yadav Relative

* Disclosure of Related Party Transactions and Outstanding balances shown under the heading ''Individual having control and relatives''.

VIII. Expected contribution for the next year Rs. 150 Lakhs.

The expected rate of return is based on expectation of the average long term rate of return expected on investment of the fund, during the estimated term of obligation. The estimate of future salary increase considered in the actuarial valuation takes into account historical trends, future expectations, inflation, seniority, promotion and other relevant factors.

4. Previous year''s figures have been regrouped wherever necessary to conform to this year''s classification.

All the values have been stated in Rs. Lakhs unless otherwise indicated.

---

Mar 31, 2014

NOTE 1

Other Notes Forming Part of the Accounts

1. Estimated amount of contracts remaining to be executed on capital account not provided for is Rs.67.76 Lakhs (previous year: Rs.81.21 Lakhs).

2. The possession of 20 acres of land has been given to the Company by the Government of Punjab, as per the agreement, the conveyance of which has yet to be finalised.

3. Claims against the Company not acknowledged as debts are gross Rs.502.86 Lakhs (previous year: Rs.451.93 Lakhs), net of tax Rs.402.64 Lakhs (previous year: Rs.366.98 Lakhs). These comprise:

(a) Excise Duty, V.A.T./Sales Tax and other claims disputed by the Company relating to issues of applicability, classification etc. aggregating gross Rs.490.08 Lakhs (previous year: Rs.434.28 Lakhs), net of tax Rs.389.86 Lakhs (previous year: Rs.349.33 Lakhs).

(b) Income Tax claims disputed by the Company relating to allowability of certain expenses, payment of taxes deducted at source etc. aggregating gross Rs.12.78 Lakhs (previous year: Rs.17.65 Lakhs), net of tax Rs.12.78 Lakhs (previous year: Rs.17.65 Lakhs).

4. The net loss on foreign exchange translations debited to the Statement of Profit and Loss is Rs.7.53 Lakhs (previous year: profit credited Rs.14.50 Lakhs).

5. The Company operates in a single segment, manufacture, trading and sale of Kitchenware.

6. The identification of vendors as a "Supplier" under the Micro, Small and Medium Enterprises Development Act, 2006 has been done on the basis of information to the extent provided by the vendors to the Company. This has been relied upon by the auditors.

7. Research and Development costs debited to the Statement of Profit and Loss is Rs.189.58 Lakhs (previous year: Rs.104.94 Lakhs). Research and Development expenditure of capital nature is Rs.7.57 Lakhs (previous year: Rs.3.52 Lakhs).

8. As at the year end, the Company has not entered into any Forward Exchange Contracts (or other derivative instruments). The year end foreign currency exposures, which are only in respect of Export receivables/payables, that have not been hedged by a derivative instrument or otherwise amount to Rs.38.86 Lakhs (US$ 63838, Euro 983) [previous year: Rs.31.36 Lakhs (US$ 57849, Euro 157)] in respect of receivables and Rs.55.27 lakhs (US$ 92483, Euro 158 & AUD 29) [previous year: Rs.38.26 Lakhs (US$ 70596, Euro 158 & AUD 29)] in respect of payables.

9. Related Party Disclosures: 1. Related Parties

(a) Individual having control and relatives:

Mr. Brahm Vasudeva Chairman

and relatives:

Mr. Neil Vasudeva

Mr. Nikhil Vasudeva

Ms. Anuradha S. Khandelwal

Ms. Gitanjali V. Nevatia

Ms. Gayatri S. Yadav

(b) Key Management Personnel and their relatives:

Mr. S. Dutta Choudhury Vice-Chairman & Chief Executive Officer

Mr. M. A. Teckchandani Wholetime Director till November 11, 2013

Mr. K. K. Kaul Wholetime Director till May 31, 2013

Mr. Sudeep Yadav Wholetime Director from July 22, 2013

Mrs. Sonya Dutta Choudhury Relative

Mrs. S. M. Teckchandani Relative

10. Employee Benefits:

(a) Defined contribution plan Amount recognised as an expense for defined contribution plan Rs.368.42 Lakhs (previous year: Rs.298.37 Lakhs).

(b) Defined benefit plan – as per Actuarial valuation

VIII. Expected contribution for the next year Rs.119.81 Lakhs.

The expected rate of return is based on expectation of the average long term rate of return expected on investment of the fund, during the estimated term of obligation. The estimate of future salary increase considered in the actuarial valuation takes into account historical trends, future expectations, inflation, seniority, promotion and other relevant factors.

The details of experience adjustments arising on account of planned assets/liabilities as required by paragraph 120 (n) of AS 15 are not available in the valuation statement received from LIC in respect of previous periods ended on March 31,2010 and hence not furnished.

11. Previous year''s figures have been regrouped wherever necessary to conform to this year''s classification. All the values have been stated in Rs. Lakhs unless otherwise indicated.

---

Mar 31, 2012

1. the Punjab Pollution Control board (PPCb) instructed our pressure cooker factory in hoshiarpur to cease discharging trade effluents and to cease operations which were alleged to be producing effluents with pollutants beyond permissible limits. the Company took the matter to the hon'ble high Court of Punjab and haryana and obtained a stay of the said order on october 21, 2011. the matter was heard in the said high Court from time to time. the hon'ble high Court of Punjab and haryana at Chandigarh has delivered its judgment dated April 16, 2012, whereby it has disposed of the petition by giving directions to the Company and to the PPCb. in order to comply with the directions of the hon'ble high Court, the Company has applied to the PPCb on April 30, 2012, for the required No objection Certificate/Consents/Authorization. the direction given by the hon'ble high Court to the PPCb is that the PPCb shall inspect the premises of the Company and give its decision within three weeks from the date of receipt of the required information by it. the Company now awaits the response of the PPCb to the Applications submitted to it. Meanwhile, awaiting the PPCb's decision, the Company is continuing operations in its hoshiarpur factory at the same restricted level as it has been producing for the last six months.

2. estimated amount of contracts remaining to be executed on capital account not provided for is Rs.15.47 Lakhs (previous year: Rs.29.19 Lakhs).

3. the possession of 20 acres of land has been given to the Company by the Government of Punjab, as per the agreement, the conveyance of which has yet to be finalised.

4. Claims against the Company not acknowledged as debts are gross Rs.407.86 Lakhs (previous year: Rs.371.50 Lakhs), net of tax Rs.347.12 Lakhs (previous year: Rs.324.07 Lakhs). these comprise:

(a) excise duty, V.A.t./Sales tax and other claims disputed by the Company relating to issues of applicability, classification etc. aggregating gross Rs.268.32 Lakhs (previous year: Rs.201.31 Lakhs), net of tax Rs.207.58 Lakhs (previous year: Rs.153.88 Lakhs).

(b) income tax claims disputed by the Company relating to allowability of certain expenses, payment of taxes deducted at source etc. aggregating gross Rs.139.54 Lakhs (previous year: Rs.170.19 Lakhs), net of tax Rs.139.54 Lakhs (previous year: Rs.170.19 Lakhs).

5. Contingent liability in respect of wage settlements at one location, where the wage agreements have expired and negotiations for fresh settlements are ongoing, is not currently ascertainable.

6. the net loss on foreign exchange translations debited to the Statement of Profit and Loss is Rs.11.35 Lakhs (previous year: profit credited Rs.6.38 Lakhs).

7. the Company operates in a single segment, manufacture, trading and sale of Kitchenware.

8. the identification of vendors as a “Supplier” under the Micro, Small and Medium enterprises development Act, 2006 has been done on the basis of information to the extent provided by the vendors to the Company. this has been relied upon by the auditors.

9. research and development costs debited to the Statement of Profit and Loss is Rs.101.51 Lakhs (previous year: Rs.93.94 Lakhs).

10. As at the year end, the Company has not entered into any Forward exchange Contracts (or other derivative instruments). the year end foreign currency exposures, which are only in respect of export receivables/payables, that have not been hedged by a derivative instrument or otherwise amount to Rs.0.45 Lakhs (uS $876) [previous year: Rs.65.85 Lakhs (uS $148,536)].

11. related Party disclosures: 1. related Parties

(a) individual having control and relatives:

Mr. brahm Vasudeva Chairman

and relatives:

Mr. Neil Vasudeva

Mr. Nikhil Vasudeva

Ms. Anuradha S. Khandelwal

Ms. Gitanjali V. Nevatia

Ms. Gayatri S. Yadav

(b) Key Management Personnel and their relatives:

Mr. S. dutta Choudhury Vice-Chairman & Chief executive officer

Mr. M. A. teckchandani Wholetime director

Mr. K. K. Kaul Wholetime director

Mrs. Sonya dutta Choudhury relative

Mrs. S. M. teckchandani relative

12. disclosures required by the revised Schedule Vi of the Companies Act, 1956 have been made in the foregoing Notes and Accounts.

Previous year's figures have been regrouped wherever necessary to conform to this year's classification.

All the values have been stated in Rs. Lakhs unless otherwise indicated.

---

Mar 31, 2011

1. Estimated amount of contracts remaining to be executed on capital account not provided for is Rs. 2,919,223 (previous year: Rs. 12,765,293).

2. The possession of 20 acres of land has been given to the Company by the Government of Punjab, as per the agreement, the conveyance of which has yet to be finalised.

3. Claims against the Company not acknowledged as debts are gross Rs. 37,149,459 (previous year: Rs. 12,152,446), net of tax Rs. 32,407,080 (previous year: Rs. 8,644,628). These comprise:

(a) Excise Duty, V.A.T./Sales Tax and other claims disputed by the Company relating to issues of applicability, classification etc. aggregating gross Rs. 20,130,786 (previous year: Rs. 10,204,778), net of tax Rs. 15,388,407 (previous year: Rs. 7,678,704).

(b) Income Tax claims disputed by the Company relating to allowability of certain expenses, payment of taxes deducted at source etc. aggregating gross Rs. 17,018,673 (previous year: Rs. 965,924), net of tax Rs. 17,018,673 (previous year: Rs. 965,924).

(c) Bills Discounted Rs. Nil (previous year: Rs. 981,744).

4. Contingent liability in respect of wage settlements at one location, where the wage agreements have expired and negotiations for fresh settlements are ongoing, is not currently ascertainable.

5. Salaries, Wages and Bonus include Directors remuneration consisting of Salary and Allowances of Rs. 6,722,830 (previous year: Rs. 3,983,000) and Commission of Rs. 19,175,687 (previous year: Rs. 14,895,605), Companys contribution to Provident Fund is Rs. 689,900 (previous year: Rs. 465,000) and Superannuation/Gratuity Fund is Rs. 1,167,664 (previous year: Rs. 767,548). Reimbursement of medical expenses is Rs. 42,786 (previous year: Rs. 73,535) and value of other perquisites is Rs. 194,017 (previous year: Rs. 158,142). In addition, Rs. 83,874 (previous year: Rs. 121,089) has been incurred on benefits provided to the Non-Executive Chairman of the Company, as Advisor.

6. The net difference on account of foreign exchange translations credited to the Profit and Loss Account is Rs. 638,319 (previous year: Rs. 241,646).

7. The Company operates in a single segment, manufacture, trading and sale of Kitchenware.

8. The identification of vendors as a "Supplier" under the Micro, Small and Medium Enterprises Development Act, 2006 has been done on the basis of information to the extent provided by the vendors to the Company. This has been relied upon by the auditors.

9. Research and development costs debited to the Profit and Loss Account is Rs. 9,394,119 (previous year: Rs. 10,121,160).

10. As at the year end, the Company has not entered into any Forward Exchange Contracts (or other derivative instruments). The year end foreign currency exposures, which are only in respect of Export receivables/payables, that have not been hedged by a derivative instrument or otherwise amount to Rs. 6,584,581 (US $ 148,536) [previous year: Rs. 1,766,623 (US $ 39,347)].

11. Related Party Disclosures: 1. Related Parties

(a) Individual having control and relatives:

Mr. Brahm Vasudeva Chairman

and relatives:

Mr. Neil Vasudeva

Mr. Nikhil Vasudeva

Ms. Anuradha S. Khandelwal

Ms. Gitanjali V. Nevatia

Ms. Gayatri S. Yadav

(b) Key Management Personnel and their relatives:

Mr. S. Dutta Choudhury Vice-Chairman & Chief Executive Officer

Mr. M. A. Teckchandani Wholetime Director

Mr. K. K. Kaul Wholetime Director (from June 1, 2010)

Mrs. Sonya Dutta Choudhury Relative

Mrs. S. M. Teckchandani Relative

12. Previous years figures have been regrouped wherever necessary to conform to this years classification.

13. Previous years figures wherever applicable are written in brackets.

---

Mar 31, 2010

1. Estimated amount of contracts remaining to be executed on capita! account not provided for is Rs. 12,765,293 (previous year: Rs. 5,447,934).

2. The possession of 20 acres of land has been given to the Company by the Government of Punjab, as per the agreement, the conveyance of which has yet to be finalised.

3. Claims against the Company not acknowledged as debts are gross Rs.l 2,152,446 (previous year: Rs. 13,739,498), net of tax Rs. 8,643,998 (previous year: Rs. 11,342,101), These comprise:

(a) Excise Duty, Sales Tax and Indirect Taxes claims disputed by the Company relating to issues of applicability and classification aggregating gross Rs. 10,204,778 (previous year: Rs. 12,892,166), net of tax Rs. 7,678,704 (previous year: Rs. 10,494,769).

(b) Income Tax claims disputed by the Company relating to allowability of certain expenses aggregating gross Rs. 965,924 (previous year: Rs. 847,332), net of tax Rs. 965,924 (previous year: Rs. 847,332).

(c) Bills Discounted Rs. 981,744 (previous year: Rs. Nil)

4. Salaries, Wages and Bonus include Directors remuneration consisting of Salary and Allowances of Rs. 3,983,000 (previous year: Rs. 5,708,004) and Commission of Rs. 14,895,605 (previous year: Rs. 10,107,453), Companys contribution to Provident Fund is Rs.465,000 (previous year: Rs. 672,000) and Superannuation/Gratuity Fund is Rs. 767,548 (previous year: Rs. 1,109,231). Reimbursement of medical expenses is Rs. 73,535 (previous year: Rs. 115,903) and value of other perquisites is Rs. 158,142 (previous year: Rs. 200,394). In addition, Rs. 121,089 (previous year: Rs. 85,119) has been incurred on benefits provided to the Non-Executive Chairman of the Company, as Advisor.

5. The net difference on account of foreign exchange translations credited to the Profit and Loss Account is Rs. 241,646 (previous year: debited Rs. 1,712,630),

6. The Company operates in a single segment, manufacture, trading and sale of Kitchenware.

7. The identification of vendors as a "Supplier" under the Micro, Small and Medium Enterprises Development Act, 2006 has been done on the basis of information to the extent provided by the vendors to the Company. This has been relied upon by the auditors.

8. Research and development costs debited to the Profit and Loss Account is Rs. 10,121,160 (previous year: Rs. 10,935,237).

9. As at the year end, the Company has not entered into any Forward Exchange Contracts (or other derivative instruments) to establish the amount of reporting currency required or available at the settlement date of certain payables and receivables. The year end foreign currency exposures, which are only in respect of Export receivables/payables, that have not been hedged by a derivative instrument or otherwise amount to Rs. 1,766,623 (US $ 39,347) [previous year: Rs. 1,481,495 (US $ 29,238)].

10. Additional information as required under Part II of Schedule VI to the Companies Act, 1956. (a) Particulars in respect of goods manufactured/sold

11. Related Parly Disclosures: 1. Related Parries

(a) Individual having control and relatives:

Mr. Brahm Vasudeva Chairman and relatives: Mr. Neil Vasudeva Mr. Nikhil Vasudeva Ms. Anuradha S. Khandelwal Ms. Gitanjali V. Nevatia Ms. Gayatri S. Yadav

(b) Key Management Personnel and their relatives:

Mr. S. Dutta Choudhury Vice-Chairman & Chief Executive Officer Mr. K. Sundararaghavan Wholetime Director (up to April 15, 2009) Mr. M. A. Teckchandani Wholetime Director Mrs. Sonya Dutta Choudhury Relative Mrs. S. M. Teckchandani Relative Mrs. Prabha Raghavan Relative (up to April 15, 2009)

12. Previous years figures have been regrouped wherever necessary to conform to this years classification.

13. Previous years figures wherever applicable are written in brackets.