Notes to Accounts of Prima Plastics Ltd.

Mar 31, 2018

Nature and purpose of reserves

1) Securities Premium Reserve: Securities premium reserve is credited when shares are issued at premium. It is utilized in accordance with the provisions of the Act, to issue bonus shares, to provide for premium on redemption of shares or debentures, write-off equity related expenses like underwriting costs, etc.

2) General Reserve: The general reserve is used from time to time to transfer profits from retained earnings for appropriation purposes.

Note 33 : Contingent Liabilities (Ind AS 37)

a. Claims against the Company not acknowledged as debts - Nil

The Company does not have any pending litigations and proceedings as at March 31, 2018

b. Guarantees :

The company has issued corporate guarantees as under:

(a) Guarantee of Rs, 12,504,296 {March 31 2017: Nil, April 1, 2016: Nil} in favour of Tricon Energy on behalf of its subsidiary, Prima union Plasticos S.A. for the purpose of procurement of raw material and other corporate purpose.

(b) Guarantee of Rs, 3,842,959 {March 31 2017: Nil, April 1. 2016: Nil} in favour of Muehlstein International on behalf of its subsidiary, Prima union Plasticos S.A. for the purpose of procurement of raw material and other corporate purpose.

Note 1: Capital and other commitments

Estimated amount of Contracts remaining to be executed on capital account, not provided for (net of advances) Rs, 2,173,421(March 31, 2017 - Rs, 5,479,825, April 1, 2016 - Rs, 6,979,438).

Note 2: Employee Benefits (Ind AS 19)

a. Defined Benefit Plan:

Gratuity:

The gratuity payable to employees is based on the employee''s service and last drawn salary at the time of leaving the services of the Company and is in accordance with the rules of the Company for payment of gratuity.

Inherent Risk on above:

The plan is defined in nature which is sponsored by the Company and hence it underwrites all the risks pertaining to the plan. In particular, this exposes the Company to actuarial risk such as adverse salary growth, change in demographic experience, inadequate return on underlying plan assets. This may result in an increase in cost of providing these benefits to the employees in future. Since the benefits are lump sum in nature, the plan is not subject to any longevity risk.

# The Balance as at beginning of March 31, 2018 for defined benefit obligation is based on independent actuarial report and is different compared to balance as at end of March 31, 2017 which was based on LIC report.

* The Sensitivity Analysis have been calculated to show the movement in defined benefit obligation in isolation and assuming there are no other changes in 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.

Basis used to determine Expected Rate of Return on Plan Assets:

Expected rate of return on Plan Assets is based on expectation of the average long term rate of return expected on investments of the fund during the estimated term of the obligations.

Salary Escalation Rate:

The estimates of future salary are considered taking into account inflation, seniority, promotion and other relevant factors.

Asset Liability matching strategy

The money contributed by the Company to the Gratuity 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 as per the mandate provided to them by the trustees 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.

There is no compulsion on the part of the Company to fully prefund the liability of the Plan. The Company''s philosophy is to fund these benefits based on its own liquidity and the level of underfunding of the plan.

The Company''s expected contribution during next year is Rs, 38,98,407 {March 31, 2017: Rs, 2,928,973}.

b. Defined Contribution Plans:

Amount recognized as an expense and included in Note 29 under the head “Contribution to Provident and other Funds” of Statement of Profit and Loss is Rs. 3,680,690 (Previous Year Rs. 3,161,517).

NOTES FORMING PART OF THE STANDALONE FINANCIAL STATEMENTS Note 36: Segment Reporting (Ind AS 108):

A. Basis for segmentation

The Company''s Managing Director, the Chief Operating Decision Maker for the Company, periodically reviews the internal management reports and evaluates performance/allocates resources based on the analysis of various performance indicators relating to the segment.

B. Information about reportable segments

The Company''s business activity falls within a single operating segment i.e. "Plastic Articles" and operates in one geography "within India" which in terms of Ind AS 108 constitutes a single reporting segment.

C. Information about major customers

The Company is not reliant on revenues from transaction with any single external customers and does not receive 10% or more of its revenues from transaction with any single external customers.

(B) Entities controlled by Directors/Relatives of Directors

1. Sanya Plastics

2. Classic Plastics

3. National Plastics and Allied Industries

(C) Other Related Parties with whom there were transactions during the year:

Name of Related Parties Nature of Relationship

Shri Bhaskar M. Parekh - Executive Chairman Key Management Personnel

Shri Dilip M. Parekh - Managing Director Key Management Personnel

Hina V. Mehta - Non Executive Director Key Management Personnel

Shri Mulchand S. Chheda - Independent Director Key Management Personnel

Shri Krishnakant V. Chitalia - Independent Director Key Management Personnel

Shri Rasiklal M. Doshi - Independent Director Key Management Personnel

Pratik B. Parekh Relative of KMP

Paras B. Parekh Relative of KMP

Shri Manoj O. Toshniwal - Chief Financial Officer Key Management Personnel

Shri Alok S. Desai (upto 12/08/17) (Company Secretary) Key Management Personnel

Ms. Niddhi Shah (w.e.f 14/12/17) (Company Secretary) Key Management Personnel

The remuneration paid to key managerial personnel excludes gratuity and compensated absences as the provision is computed for the Company as a whole and separate figures are not available.

Based on the recommendation of the Nomination, Remuneration and Compensation Committee, all decisions relating to the remuneration of the Directors are taken by the Board of Directors of the Company, in accordance with shareholder''s approval, wherever necessary.

Terms and Conditions of transactions with Related Parties:

The transactions with the related parties are made in the normal course of business and on the terms equivalent to those that prevails in arm''s length transactions. Outstanding balances at the year-end are unsecured .

NOTES FORMING PART OF THE STANDALONE FINANCIAL STATEMENTS

For the year ended March 31, 2018, the Company has not recorded any impairment of receivables relating to amounts owned by related parties. This assessment is undertaken each financial year through examining the financial position of the related party and the market in which the related paties operate.

Note 3: Fair Value measurement (Ind AS 113):

The fair values of the financial assets and liabilities are included at the amount at which the instrument could be exchanged in a current transaction between willing parties, other than in a forced or liquidation sale.

The Company has established the following fair value hierarchy that categorizes the values into 3 levels. The inputs to valuation techniques used to measure fair value of financial instruments are:

Level 1: This hierarchy uses quoted (unadjusted) prices in active markets for identical assets or liabilities. The company does not have any such asset or liabilities.

Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation techniques which maximize the use of observable market data and rely as little as possible on company specific estimates. The investment in mutual funds are valued using the closing Net Asset Value based on the mutual fund statements received by the company. If all significant inputs required to fair value an instrument are observable, the instrument is included in Level 2.

Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in Level 3.

The management assessed that cash and bank balances, trade payables, and other financial asset and liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments.

The following methods and assumptions were used to estimate the fair values:

The fair values of the quoted investments/units of mutual fund schemes are based on market price/net asset value at the reporting date.

Note 4: Financial Risk Management Objectives and Policies (Ind AS 107):

The Company''s principal financial liabilities comprises of borrowings, trade and other payables. The main purpose of these financial liabilities is to finance and support the Company''s operations. The Company''s principal financial assets include Investments, Loans and Other receivables, Cash and Cash Equivalents, Other Bank Balances that directly derive from its operations.

The Company is exposed to Market Risk, Credit Risk and Liquidity Risk. The Company''s senior management oversees the management of these risks. The Company''s senior management ensures that the Company''s financial risk activities are governed by appropriate policies and procedures and that financial risks are identified, measured and managed in accordance with the Company''s policies and risk objectives.

NOTES FORMING PART OF THE STANDALONE FINANCIAL STATEMENTS Market Risk

Market risk is the risk of loss of future earnings, fair values or future cash flows that may result from a change in the price of a financial instrument.

The value of a financial instrument may change as a result of changes in the interest rates, foreign currency exchange rates, equity prices and other market changes that affect market risk sensitive instruments. Market risk is attributable to all market risk sensitive financial instruments including investments and deposits, foreign currency receivables, payables and borrowings.

Foreign Currency Risk

Foreign currency risk is the risk of impact related to fair value or future cash flows of an exposure in foreign currency, which fluctuate due to changes in foreign exchange rates. The Company''s exposure to the risk of changes in foreign exchange rates relates primarily to the foreign currency borrowings, receivable against exports of finished goods, loan to foreign subsidiary, interest receivable on loan to subsidiary and the Company''s net investments in foreign subsidiaries.

The Company evaluates exchange rate exposure arising from foreign currency transactions. The Company follows established risk management policies and standard operating procedures where management enters into forward contract, if required for the purpose of being hedge.

Note: If the rate is decreased by 100 bps profit will decrease by an equal amount.

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''s exposure to the risk of changes in market interest rates relates primarily to the Company''s short term borrowing with floating interest rates. The Company constantly monitors the credit markets and rebalances its financing strategies to achieve an optimal maturity profile and financing cost.

Note: If the rate is decreased by 100 bps profit will increase by an equal amount.

Credit Risk :

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. The Company is exposed to credit risk from its operating activities (primarily Trade Receivables), investing and financing activities including Mutual Fund Investments, Deposits with Bank, Security Deposits, Loans to Employees and other financial instruments.

Trade Receivables :

Trade receivables are consisting of a large number of customers. The Company has credit evaluation policy for each customer and based on the evaluation credit limit of each customer is defined.

Total Trade receivable as on March 31, 2018 '' 210,293,279{March 31, 2017 '' 139,231,498, April 1, 2016 '' 148,102,426}.

As per simplified approach, the Company makes provision of expected credit losses on trade receivables using a provision matrix to mitigate the risk of default payments and makes appropriate provision at each reporting date wherever outstanding is for longer period and involves higher risk.

As per policy, Receivables are classified into different buckets based on the overdue period ranging from 3 months to more than 2 years. There are different provisioning rates for each bucket which are ranging from 2% to 100%.

Investments, Cash and cash Equivalent and Bank Deposit :

Credit Risk on cash and cash equivalent, deposits with the banks/financial institutions is generally low as the said deposits have been made with the banks/financial institutions who have been assigned high credit rating by international and domestic rating agencies. Investments of surplus funds are made only based on Investment Policy of the Company. Investments primarily include investment in units of mutual funds. These Mutual Funds have low credit risk.

Liquidity Risk

Liquidity risk is defined as the risk that the Company will not be able to settle or meet its obligations on time or at reasonable price. Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availability of funding through

NOTES FORMING PART OF THE STANDALONE FINANCIAL STATEMENTS

an adequate amount of credit facilities to meet obligations when due. Senior management of the Company is responsible for liquidity, funding as well as settlement management. Management monitors the Company''s liquidity position through rolling forecasts on the basis of expected cash flows.

The table below provides details regarding the remaining contractual maturities of financial liabilities and investments at the reporting date based on contractual undiscounted payments.

Proposed dividends on equity shares are subject to approval at the annual general meeting and are not recognized as a liability (including Divided Distribution Tax thereon) as at March 31 of respective year.

Note 5: Capital Management (Ind AS 1):

The Company''s objectives when managing capital are to :

(a) maximise shareholder value and provide benefits to other stakeholders and

(b) maintain an optimal capital structure to reduce the cost of capital.

For the purposes of the Company''s capital management, capital includes issued capital, share premium and all other equity reserves attributable to the equity holders.

In addition the Company has financial covenants relating to the borrowing facilities that it has taken from the lenders like interest coverage service ratio, Debt to EBITDA, etc. which is maintained by the Company.

Note 6: Operating Leases (Ind AS 17):

a. Operating lease payment recognized in the Statement of Profit and Loss amounting to '' 16,527,185 (March 31, 2017 '' 17,103,330)

b. General Description of Leasing Agreements:

- Leased assets: God owns & Machinery.

- Future lease rental income are determined on basis of agreed terms

- At the expiry of lease terms, the Company has an option to return the assets or extend the term by giving notice in writing.

- Lease agreements are generally cancellable and are renewable by mutual consent on mutually agreed terms.

Note 7: Micro, Small and Medium Enterprises

Under the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED) which came into force from 2 October 2006, certain disclosures are required to be made relating to Micro, Small and Medium enterprises.

There is no principal amount and interest overdue to Micro and Small Enterprises. During the year no interest has been paid to such parties. This information has been determined to the extent such parties have been identified on the basis of information available with the Company and the same has been relied upon by the auditors.

Note 8: Corporate Social Responsibility

Expenditure incurred on Corporate Social Responsibility activities, included in different heads of expenses in the Statement of Profit and Loss is Rs, 13.00 lacs (March 31, 2017 Rs, 10.50 lacs).

The amount required to be spent under Section 135 of the Companies Act, 2013 for the year ended March 31, 2018 is Rs, 12.96 lacs (March 31, 2017 Rs, 10.28 lacs) i.e. 2% of average net profits for last three financials years, calculated as per section 198 of the Companies Act, 2013.

Note 9: Disclosure for Specified Bank Notes

Pursuant to the gazette notification G.S.R 308(E) dated 30^th March 2017, issued by the Ministry of Corporate Affairs, details of Specified Bank Notes (SBN) held and transacted during the period 08/11/2016 to 30/12/2016 is provided in the table below. Disclosure is not applicable for FY 2017-18.

Note 10:

In March 2018, the Ministry of Corporate Affairs issues the Companies (indian Accounting Standards) Amendment Rules, 2018, notifying Ind AS 115 ''Revenue from Contract with Customers'' which replaces IndAS 11 ''Construction Contracts'' and IndAS 18 ''Revenue''. Expect for disclosure requirement, the new standard will not materially impact the Company''s financial statements. The amendment will come into force from April 01, 2018.

Note 11: First Time Adoption of Ind AS (Ind AS 101):

As stated in Note 1, these financial statements, for the year ended March 31, 2018, are the first the Company has prepared in accordance with IndAS. For periods up to and including the year ended March 31, 2017, the Company prepared its financial statements in accordance with accounting standards notified under section 133 of the Companies Act, 2013, read together with paragraph 7 of the Companies (Accounts) Rules, 2014 (IGAAP).

Accordingly, the Company has prepared financial statements which comply with Ind AS applicable for periods ending on March 31, 2018, together with the comparative period data as at and for the year ended March 31, 2017, as described in the summary of significant accounting policies. In preparing these financial statements, the Company''s opening balance sheet was prepared as at April 01, 2016, the Company''s date of transition to Ind AS. This note explains the principal adjustments made by the Company in restating its IGAAP financial statements, including the balance sheet as at April 01, 2016 and the financial statements as at and for the year ended March 31, 2017 and how the transition from IGAAP to Ind AS has affected the Company''s financial position, financial performance and cash flows.

Exemption Availed:

Ind AS 101 allows first-time adopters certain exemptions from the retrospective application of certain requirements under Ind AS. The Company has availed the following exemptions:

a. Deemed cost for PPE and Intangible Assets:

The Company has elected to continue with the carrying value of all of its plant and equipment and intangible assets as recognized as of April 01, 2016 (transition date) measured as per the IGAAP and use that carrying value as its deemed cost as of the transition date.

b. Investment in Subsidiary and Joint Venture:

The Company has elected to carry its investment in subsidiary and joint venture at deemed cost which is its IGAAP carrying amount at the date of transition to Ind AS.

c. Fair Value of Financials Assets and Liabilities:

As per Ind AS exemption the Company has not fair valued the financial assets and liabilities retrospectively and has measured the same prospectively.

Notes to the Reconciliation of equity as at April 1, 2016 and March 31, 2017 and Total Comprehensive Income for the year ended March 31, 2017:

A. Fair valuation of Security Deposits

Interest free deposits have been fair vlaued and are discounted using an appropriate current market rate. The difference between the nominal value and the fair value of the deposit under the lease is considered as Prepaid Rent, Which is unwanted on a straight line basis over the period of the lease. The company also recognizes interest expenses using the discounting rate, over the life of the deposit. These adjustments are reflected in reatined earnings as at the date of transition and subsequently in the statement of profit and loss.

B. Allowances for Credit losses

For Provision of Credit losses on Trade Receivables, the company has adopted Simplified Approach where by provision of expected credit losses is made using a provision matrix to mitigate the risk of default payments.

C. Deferred Tax

IGAAP requires deferred tax accounting using the income statement approach, which focuses on differences between taxable profits and accounting profits for the period. Ind AS 12 requires entities to account for deferred taxes using the balance sheet approach, which focuses on temporary differences between the carrying amount of an asset or liability in the balance sheet and its tax base. The application of Ind AS 12 approach has resulted in recognition of deferred tax on new temporary differences which was not required under IGAAP In addition, the various transitional adjustments lead to temporary differences. According to the accounting policies, the Company has to account for such differences. Deferred Tax adjustments are recognized in correlation to the underlying transaction either in retained earnings or profit and loss respectively.

D. Revenue from Operations

Under IGAAP cash discounts and other discounts directly attributable to sales was recognized as part of other expenses which has been adjusted against the revenue under Ind AS during the year ended March 31, 2017.

Under IGAAP revenue was presented net of excise duty. However, as per Schedule III to the Companies Act, 2013, revenue from operations is to be shown inclusive of excise duty. Accordingly, excise duty has been included in revenue from operations and shown separately as an expense

E. Defined Benefit Liabilities

Both under IGAAP and Ind AS, the Company recognized costs related to its post-employment defined benefit plan on an actuarial basis. Under IGAAP the entire cost, including actuarial gains and losses, are charged to Statement of Profit and Loss. Under Ind AS, remeasurements (comprising of actuarial gains and losses, the effect of the asset ceiling, excluding amounts included in net interest on the net defined benefit liability and the return on plan assets excluding amounts included in net interest on the net defined benefit liability) are recognized immediately in the balance sheet with a corresponding debit or credit to retained earnings through OCI.

Note 12 :

Effective July 01, 2017, sales are recorded net of GST whereas earlier sales were recorded gross of excise duty which formed part of expenses. Hence revenue from operations for the year ended March 31, 2018 is not comparable with the previous year corresponding figures.

Note 13 :

The Company has a process whereby periodically all the long term contracts (including derivatives contracts) are assessed for material foreseeable losses. At the year end, the Company has reviewed and ensured that adequate provision as required under any law / accounting standards for material foreseeable losses on such long term contracts has been made in the books of accounts. There are no derivatives contract outstanding as at year end.

Note 14 :

Previous year figures have been regrouped / reclassified wherever necessary to correspond with current year classification / disclosure.

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Mar 31, 2017

NOTE NO.1 NOTES TO ACCOUNTS

1. Contingent Liabilities not provided for:

Claim against the Company not acknowledged as debts: NIL

2. Estimated amount of contracts remaining to be executed on capital account and not provided for (net of advance payment) ''5,479,825/- (previous year of ''6,979,438 /-).

3. Details of Company''s interest in its Joint Venture, having Joint Control, as per the requirement of AS-27 on Financial Reporting of Interests in Joint Venture is as under:

a) Contingent Liability in respect of the Jointly Controlled Entities: NIL

b) Capital Commitment in respect of the Jointly Controlled Entities: NIL

c) The proportionate share of assets, liabilities, income & expenditure as on December 31, 2016 based on audited accounts of Prima Dee-Lite Plastics S.A.R.L. (50% Joint Venture) are stated as under:

5. Related party disclosure.

Related Party Disclosures as required under Accounting Standard on ‘Related Party Disclosure'' issued by the Institute of Chartered Accountants of India are given below:

(A) Name of the Related Parties and descriptions of relatives.

Subsidiary Company

Prima Union Plasticos S.A.

Joint Venture Company

Prima Dee-Lite Plastics S.A.R.L.

Management personnel Shri. Bhaskar M. Parekh (Executive Chairman) (DIN - 00166520); Shri. Dilip M. Parekh (Managing Director) (DIN - 00166385); Smt. Hina V. Mehta (DIN - 07201194) Shri. Pratik B. Parekh; Shri. Paras B. Parekh;

Entities over which the key management personnel and or their relatives are able to exercise significant influence.

Firms (Where the Director has substantial interest)

M/s. Classic Plastics;

M/s. Sanya Plastics

M/s. National Plastics and Allied Industries.

10. The previous year figures have been regrouped / reclassified wherever necessary.

11. Disclosure on specified bank notes (SBNs):

During the year the Company had specified bank notes or other denomination notes as defined in the MCA Notification G.S.R. 308(E) dated March 31, 2017 on the details of Specified Bank Notes (SBN) held and transacted during the period from November 8, 2016 to December 30, 2016, the demonetization wise SBNs and other notes as per the Notification is given below:

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Mar 31, 2016

NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2016

Minimum Alternate Tax (MAT) eligible for set-off in subsequent years (as per tax laws) is recognized as on asset by way of credit to the Profit and Loss Account only if, there is convincing evidence of its realization. At each Balance Sheet date, the carrying amount of MAT Credit Entitlement receivable is reviewed to reassure realization.

II. Deferred Tax Provision

Deferred tax charge or credit (reflecting the tax effects of timing differences between accounting income and taxable income for the period).

The deferred tax charge or credit and the corresponding deferred tax liabilities or assets are recognized using the tax rates that have been enacted or substantively enacted by the Balance Sheet date. Deferred tax assets are recognized only to the extent there is reasonable certainty that the assets can be realized in future. Deferred tax assets and liabilities are reviewed as at each Balance Sheet date to reassess realization.

1) Foreign Currency Transactions:

(a) Initial recognition:

Transactions in foreign currencies entered into by the Company are accounted at the exchange rates prevailing on the date of the transaction. Exchange differences arising on foreign exchange transactions settled during the year are recognized in the Statement of Profit and Loss.

(b) Measurement of foreign currency items at the Balance Sheet date:

Foreign currency monetary items of the Company are restated at the closing exchange rates. Non-monetary items are recorded at the exchange rate prevailing on the date of the transaction. Exchange differences arising out of these translations are recognized in the Statement of Profit and Loss.

2) Employee Benefits: Defined Contribution Plan

Defined Benefit Plan:

Gratuity liability is covered under the Gratuity-cum-Insurance Policy of Life Insurance Corporation of India (LIC). The present value of the obligation is determined based on an actuarial valuation. Actuarial gains and losses arising on such valuation are recognized immediately in the Statement of Profit and Loss Account. The amount funded by the Trust administered by the Company under the aforesaid Policy is reduced from the gross obligation under the defined benefit plan to recognize the obligation on a net basis.

Contribution to provident fund etc. is accounted on accrual basis.

A defined contribution plan is a post employment benefit plan under which the Company and employee make monthly contribution to the Provident Fund Plan equal to a specified percentage of the covered employee''s salary. The Company''s contribution is recognized as an expense in the Statement of Profit and Loss during the period in which employee renders the related service.

3) Earning per Share:

Basic and Diluted earnings per share are computed by dividing the net profit after tax by the weighted average number of equity shares outstanding during the period.

4) Borrowing Cost:

Borrowing Cost includes interest, amortization of ancillary costs incurred in connection with the arrangement of borrowings and exchange differences arising from foreign currency borrowings to the extent they are regarded as adjustment to the interest cost. Interest and other borrowing costs attributable to acquisition, construction or production of qualifying assets that takes a substantial period of time to get ready for its intended use or sale are capitalized. All other borrowing costs are expenses in the period they occur.

B. Terms/rights attached to Equity Shares:

The Company has issued only one class of Equity Shares having a par value of '' 10/- per share. Each holder of Equity Shares is entitled to one vote per share.

In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company, after distribution of all preferential amounts, in proportion to their shareholding.

D. Share reserved for issue under options and contracts / commitments:

The Company has not made any contracts / commitments to issue under option (PY Nil)

A. Secured working capital loans are secured by hypothecation of inventories, receivable, other current assets and other tangible fixed assets, pledge of immovable properties and personal guarantee of promoter directors. Secured working capital Loans are repayable on demand and carries interest @11.65% p.a.

B. Unsecured working capital loan is repayable in 90 days and carries interest @12.50% p.a. and guaranteed by personal guarantee of promoter directors.

A. In absence of any intimation received from vendors the status of their registration under “The Micro, Small and Medium Enterprises Development Act.2006”, the Company is unable to comply with disclosures required to be made under said Act. There are no amount is payable to any Small Scale Industrial undertaking.

NOTE NO. 5

6. Contingent Liabilities not provided for:

Claim against the Company not acknowledged as debts : Nil

7. Estimated amount of contracts remaining to be executed on capital account and not provided for (net of advance payment) Rs. 6,979,438/- (previous year of Rs. 13, 66,062/-).

8. Segment have been identified in line with the Accounting Standard on segment reporting (AS-17) taken into account of Company Organization structure as well as differential risks and returns of these segment.

Segment Information for the year ended March 31, 2016

9. Details of Company’s interest in its Joint Venture, having Joint Control, as per the requirement of AS-27 on Financial Reporting of Interests in Joint Venture is as under :

a) Contingent Liability in respect of the Jointly Controlled Entities: Nil

b) Capital Commitment in respect of the Jointly Controlled Entities: Nil

10. The previous year figures have been regrouped / reclassified wherever necessary.

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Mar 31, 2015

1. COMPANY OVERVIEW

Company is a public Company, incorporated in India under the provisions of the Companies Act, 1956. The Company is engaged in the business of manufacturing of Plastic Moulded Articles and Aluminum Composite Panel.

2. Terms/rights attached to Equity Shares:

The Company has issued only one class of Equity Shares having a par value of Rs. 10/- per share. Each holder of Equity Shares is entitled to one vote per share. The Board of Directors of the Company proposed a dividend subject to approval of the shareholders in the ensuing Annual General Meeting.

During the year ended March 31 2015, the amount of dividend per share recognized as distributions to equity shareholders was Rs. 1.50/- per share of face value of Rs. 10/- each (March 31 2014, Rs. 1/- per share of face value of Rs. 10/- each.)

In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company, in proportion to their shareholding.

3. Share reserved for issue under options and contracts / commitments:

The Company has not made any contracts / commitments to issue under option (RYNil)

4. Contingent Liabilities not provided for:

Claim against the Company not acknowledged

Sr. No. Particulars March 31,2015

1. Income Tax 1,838,485

2. Dividend Distribution Tax 1,869,530

3. Fringe Benefit Tax 6,000

4. VAT/CST 50,000

5. Estimated amount of contracts remaining to be executed on capital account and not provided for (net of advance payment) Rs. 1,366,062/- (previous year of Rs. 4,265,948/-).

6. In accordance with Accounting Standard 17 "Segment Reporting”, segment information has been given in the Consolidated Financial Statement and therefore no separate disclosure on segment information is given in these financial statements.

7. Information on Joint Ventures:

a) Contingent Liability in respect of the Jointly Controlled Entities: NIL

b) Capital Commitment in respect of the Jointly Controlled Entities: NIL

c) The proportionate share of assets, liabilities, income & expenditure as on December 31, 2014 based on audited accounts of Prima Dee-Lite Plastics Pvt. Ltd. (50% Joint Venture) are stated as under:

8. Related party disclosure.

Related Party Disclosures as required under Accounting Standard on 'Related Party Disclosure' issued by the Institute of Chartered Accountants of India are given below:

(A) Name of the Related Parties and descriptions of relatives.

Joint Venture Company

Prima Dee-Lite Plastics Pvt. Ltd.

Key Management personnel

Mr. Bhaskar M. Parekh (Chairman) (DIN - 00166520); Mr. Dilip M. Parekh (Managing Director) (DIN - 00166385); Mr. Pratik B. Parekh; Mr. Paras B. Parekh Entities over which the key management personnel and or their relatives are able to exercise significant influence.

Firms (Where the Director has substantial interest)

M/s. Classic Plastics; M/s. Sanya Plastics and M/s. National Plastics and Allied Industries.

9. The previous year figures have been regrouped / reclassified wherever necessary.

INSTRUCTIONS FOR E-VOTING

Prima Plastics Limited CIN - L25206DD1993PLC001470

Registered Office - 98/4, Prima House, Daman Industrial Estate, Kadaiya, Daman - 396 210 (U.T)

Email - [email protected]. Tel - [phone], Fax - [phone], Web Site - www.primaplastics.com

The instructions for shareholders voting electronically are as under:

10. The voting period begins on September 21, 2015 at 9.00 am and ends on September 23, 2015 at 5.00 pm. During this period shareholders of the Company, holding shares either in physical form or in dematerialized form, as on the cut-off date September 18, 2015 may cast their vote electronically. The e-voting module shall be disabled by CDSL for voting thereafter.

The shareholders should log on to the e-voting website www.evotingindia.com.

11. Click on Shareholders.

12. Now Enter your User ID

a. For CDSL: 16 digits beneficiary ID.

b. For NSDL: 8 Character DP ID followed by 8 Digits Client ID.

c. Members holding shares in Physical Form should enter Folio Number registered with the Company.

13. Next enter the Image Verification as displayed and Click on Login.

If you are holding shares in demat form and had logged on to www.evotingindia.com and voted on an earlier voting of any company, then your existing password is to be used.

If you are a first time user follow the steps given below:

For Members holding shares in Demat Form and Physical Form

PAN Enter your 10 digit alpha-numeric *PAN issued by Income Tax Department (Applicable for both demat shareholders as well as physical shareholders)

* Members who have not updated their PAN with the Company/Depository Participant are requested to use the sequence number which is printed on Attendance Slip indicated in the PAN field.

DOB Enter the Date of Birth as recorded in your demat account or in the company records for the said demat account or folio in dd/mm/yyyy format.

Dividend Bank Enter the Dividend Bank Details as recorded in your demat account or in the company records for the said demat Details account or folio.

* Please enter the DOB or Dividend Bank Details in order to login. If the details are not recorded with the depository or company please enter the member id / folio number in the Dividend Bank details field as mentioned in instruction (iv).

14. After entering these details appropriately, click on "SUBMIT” tab.

15. Members holding shares in physical form will then directly reach the Company selection screen. However, members holding shares in demat form will now reach 'Password Creation' menu wherein they are required to mandatorily enter their login password in the new password field. Kindly note that this password is to be also used by the demat holders for voting for resolutions of any other company on which they are eligible to vote, provided that company opts for e-voting through CDSL platform. It is strongly recommended not to share your password with any other person and take utmost care to keep your password confidential.

16. For Members holding shares in physical form, the details can be used only for e-voting on the resolutions contained in this Notice.

17. Click on the EVSN - 150820042 on which you choose to vote.

18. On the voting page, you will see "RESOLUTION DESCRIPTION” and against the same the option "YES/NO” for voting. Select the option YES or NO as desired. The option YES implies that you assent to the Resolution and option NO implies that you dissent to the Resolution.

19. Click on the "RESOLUTIONS FILE LINK” if you wish to view the entire Resolution details.

20. After selecting the resolution you have decided to vote on, click on "SUBMIT”. A confirmation box will be displayed. If you wish to confirm your vote, click on "OK”, else to change your vote, click on "CANCEL”' and accordingly modify your vote.

21. Once you "CONFIRM” your vote on the resolution, you will not be allowed to modify your vote.

22. You can also take out print of the voting done by you by clicking on "Click here to print” option on the Voting page.

23. If Demat account holder has forgotten the same password then Enter the User ID and the image verification code and click on Forgot Password & enter the details as prompted by the system.

24. Note for Non - Individual Shareholders and Custodians

Non-Individual shareholders (i.e. other than Individuals, HUF, NRI etc.) and Custodian are required to log on to www.evotingindia. com and register themselves as Corporates.

A scanned copy of the Registration Form bearing the stamp and sign of the entity should be emailed to [email protected].

After receiving the login details a compliance user should be created using the admin login and password. The Compliance user would be able to link the account(s) for which they wish to vote on.

The list of accounts should be mailed to [email protected] and on approval of the accounts they would be able to cast their vote.

A scanned copy of the Board Resolution and Power of Attorney (POA) which they have issued in favour of the Custodian, if any, should be uploaded in PDF format in the system for the scrutinizer to verify the same.

In case you have any queries or issues regarding e-voting, you may refer the Frequently Asked Questions ("FAQs”) and e-voting manual available at www.evotingindia.com, under help section or write an email to [email protected].

25. The Registrar and Transfer Agent will dispatch the password along with the Annual Report to the members appearing as on August 21,2015 and the Shareholders who acquired shares after this date and wants to vote by e-voting are requested to contact to the Compliance Officer of the Company for password generation.

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Mar 31, 2014

COMPANY INFORMATION

PRIMA PLASTICS LIMITED ("the Company") is a public Company, resident in India and incorporated under the provisions of the Companies Act, 1956. The Company is engaged in the business of manufacturing of Plastic Moulded Articles and Aluminum Composite Panel.

1. SHARE CAPITAL

Terms/rights attached to Equity Shares:

The Company has issued only one class of Equity Shares having a par value of Rs. 10/- per share. Each holder of Equity Shares is entitled to one vote per share. The Board of Directors of the Company proposed a dividend subject to approval of the shareholders in the ensuing Annual General Meeting.

During the year ended March 31, 2014, the amount of dividend per share recognized as distributions to equity shareholders was Rs.1/- per share of face value of Rs.10/- each (March 31, 2013, Rs.1/- per share of face value of Rs.10/-each.)

In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company, in proportion to their shareholding.

2. SHORT TERM BORROWINGS

A. Secured working capital loans are secured by hypothecation of inventories, receivable, other current assets and other tangible fixed assets, pledge of immovable properties and personal guarantee of promoter directors. The working capital is repayable on demand and carries interest @13.85% p.a.

B. Unsecured working capital loan is repayable in 90 days and carries interest @12.50% p.a. and guaranteed by personal guarantee of promoter directors.

3. CURRENT LIABILITIES

In absence of any intimation received from vendors the status of their registration under "The Micro,Small and Medium Enterprises Development Act, 2006", the Company is unable to comply with disclosures required to be made under said Act. There are no amount is payable to any Small Scal Industrial undertaking.

4. OTHER CURRENT LIABILITIES

A. Car loans (two loans) aggregating to Rs.1,331,963/-(previous year Rs.12,57,284/-) are secured against the respective vehicles and at the rate of interest @ 10.99% p.a. The Loans are repayable in equal monthly installments of Rs.81,850/-. Last installments of both the loans are due on September 2017 and October 2017.

B. Unclaimed Dividend do not include any amount, due and outstanding, to be credited to investor Education and protection fund.

5. LONG TERM LOANS AND ADVANCES

A. Security deposits with related parties are interest free and given against the occupation of office premises on rent.

B. Loan to employees is interest free as per Company policy.

C. Loan to Joint Venture is given on interest @7% p.a. and repayable in a period of 3 to 5 years.

6. INVENTORIES

A. Inventories are measured at cost or net realizable value whichever is lower.

B. The excise duty in respect of the inventory of finished goods is included as part of the finished goods.

7. TRADE RECEIVABLES

Trade receivables are due in respect of goods sold in the normal course of business and the normal credit period allowed by the Company is taken in to consideration for computing due dates.

8. Contingent Liabilities not provided for:

Claim against the Company not acknowledged

Sr. No. Particulars March 31, 2014

1. Income Tax 1,838,485

2. Dividend Distribution Tax 1,869,530

3. Fringe Benefit Tax 6,000

4. VAT/CST 100,000

9 . Estimated amount of contracts remaining to be executed on capital account and not provided for (net of advance payment) Rs.4,265,948/- (previous year of Rs.1,465,641/-).

10. In accordance with Accounting Standard 17 "Segment Reporting", segment information has been given in the Consolidated Financial Statement and therefore no separate disclosure on segment information is given in these financial statements.

11. The Company''s subsidiary "Prima Global FZE" incorporated on October 21, 2010 at RAS Al Khaimah UAE with an intention to start commercial operation in UAE. Due to economic recession and adverse market conditions business did not materialise. However, no operations were conducted and eventually subsidiary was liquidated and received consideration of Rs. 1,544,712/-.

12. As per Accounting Standards 22 "Accounting for Taxes on Income" issued by the Institute of Chartered Accountants of India, the Company has unabsorbed depreciations which is to be carry forward as per the provisions of the Income Tax Act, 1961 and also other deferred tax assets. The Management of the Company considered its prudent not to be recognized any deferred tax assets in the current year.

13. Related party disclosure:

Related Party Disclosures as required under Accounting Standard on ''Related Party Disclosure'' issued by the Institute of Chartered Accountants of India are given below:

(A) Name of the Related Parties and descriptions of relatives.

Joint Venture Company

Prima Dee-Lite Plastics Pvt. Ltd.

Key Management personnel

Mr. Bhaskar M. Parekh (Chairman) (DIN - 00166520); Mr. Dilip M. Parekh (Managing Director) (DIN - 00166385); Mr. Pratik B. Parekh; Mr. Paras B. Parekh.

Entities over which the key management personnel and or their relatives are able to exercise significant influence.

Firms (Where the Director has substantial interest)

M/s. Classic Plastics; M/s. Sanya Plastics and M/s. National Plastics and Allied Industries.

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Mar 31, 2013

NOTE NO.1

COMPANY INFORMATION

PRIMA PLASTICS LIMITED ("the Company") is a public Company, resident in India and incorporated under the provisions of the Companies Act, 1956. The Company is engaged in the business of manufacturing of Plastic Moulded Articles and Aluminum Composite Panel.

2. Contingent Liabilities not provided for: Rs. 31.3.2013 31.3.2012

a) Guarantees given by the Company''s Bankers 4,723,355 4,723,355

b) Letter of Credit opened by Bankers and outstanding at the year end. NIL 27,696,265

3. Estimated amount of contracts remaining to be executed on capital account and not provided for (net of advance payment) Rs.1,465,641/- (previous year of Rs. 3,522,400/-).

4. In the opinion of the management, the Current Assets, Loans and Advances are expected to realize at least amount at which they are stated, if realized in the ordinary course of business and provision of all known liabilities have been adequately made in accounts.

5. In accordance with Accounting Standard 17 "Segment Reporting", segment information has been given in the Consolidated Financial Statement and therefore no separate disclosure on segment information is given in these financial statements.

6. Information on Joint Ventures:

a) Contingent Liability in respect of the Jointly Controlled Entities: NIL

b) Capital Commitment in respect of the Jointly Controlled Entities: NIL (Previous Year Rs. 223,373/-)

c) The proportionate share of assets, liabilities, income & expenditure as on December 31, 2012 based on audited accounts of Prima Dee-Lite Plastics Pvt. Ltd. (50% Joint Venture) are stated as under:

7. As per Accounting Standards 22 "Accounting for Taxes on Income" issued by the Institute of Chartered Accountants of India, the Company has unabsorbed depreciations which is to be carry forward as per the provisions of the Income Tax Act, 1961 and also other deferred tax assets. The Management of the Company considered its prudent not to be recognized any deferred tax assets in the current year.

8. Related party disclosure.

Related Party Disclosures as required under Accounting Standard on ''Related Party Disclosure'' issued by the Institute of Chartered Accountants of India are given below:

(A) Name of the Related Parties and descriptions of relatives.

Joint Venture Company

Prima Dee-Lite Plastics Pvt. Ltd.

Subsidiary Company

Prima Global FZE, UAE

Key Management personnel

Mr. Bhaskar M. Parekh (Chairman); Mr. Dilip M. Parekh (Managing Director); Mr. Pratik B. Parekh; Mr. Paras B. Parekh Entities over which the key management personnel and or their relatives are able to exercise significant influence.

Firms (Where the Director has substantial interest)

M/s. Classic Plastics; M/s. Sanya Plastics and M/s. National Plastics and Allied Industries.

(B) The following transactions were carried out with the related parties in the ordinary course of business.

9. The Ministry of Corporate Affairs, Government of India vide General Circular No.2 and 3 dated 8th February 2011 and 21st February 2011 respectively has granted a general exemption from compliance with section 212 of the Companies Act, 1956, subject to fulfillment of conditions stipulated in the circular. The Company has satisfied the conditions stipulated in the circular and hence is entitled to the exemption. Necessary information relating to the subsidiaries has been included in the Consolidated Financial Statements.

10. The previous year figures have been reclassified to conform to this year''s classification.

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Mar 31, 2012

NOTE NO.1

COMPANY INFORMATION

PRIMA PLASTICS LIMITED ("the Company") is a public Company, resident in India and incorporated under the provisions of the Companies Act, 1956. The Company is engaged in the business of manufacturing of Plastic Moulded Articles and Aluminum Composite

A. Terms/rights attached to Equity Shares:

The Company has issued only one class of Equity Shares having a par value of Rs. 10/- per share. Each holder of Equity Shares is entitled to one vote per share. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.

During the year ended 31 March 2012, the amount of per share dividend recognized as distributions to equity shareholders was Rs. 1/-per share of face value of Rs. 10/-each (31 March 2011 Rs.1/- per share of face value of Rs. 10/-each).

In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company, in proportion to their shareholding.

1.1 Car loans (two loans) aggregating to Rs. 577, 806/-(previous year Rs. 1,110,703/-) are secured against the respective vehicles and at the rate of interest @ 8.58% p.a. The Loans are repayable in equal monthly installments of Rs.50,208/- & Rs.50,848/-. Last installments of both the loans are due on Sept-12

1.2 Loan against key man policy from LIC is secured against maturity value and at rate of interest @ 9% p.a. The loan has no repayment terms but will be adjusted from maturity value. The policy is due for maturity on March 2013.

1.3 Unclaimed Dividend do not include any amount, due and outstanding, to be credited to investor Education and protection fund.

2.1 Security deposits with related parties is interest free and given against occupation of office premises on rent.

2.2 Loan to employees is interest free as per Company policy.

2.3 Loan to Joint Venture is given on interest @8% p.a. and repayable in a period of 3 to 5 years.

2.4 Loan to Subsidiaries are interest free and repayable in a period of 3 to 5 years.

3.1 Trade receivables are due in respect of goods sold in the normal course of business and the normal credit period allowed by the Company is taken in to consideration for computing due dates.

NOTE NO. 4

NOTES TO ACCOUNTS

1. Contingent Liabilities not provided for:

Rs.

31.3.2012 31.3.2011

a) Guarantees given by the Company's Bankers 2,596,205 2,996,305

b) Letter of Credit opened by Bankers and outstanding at the year end. 27,696,265 8,428,177

2. Estimated amount of contracts remaining to be executed on capital account and not provided for (net of advance payment) Rs.3, 522,400/- (previous year of Rs.5, 512,084/-)

3. In the opinion of the management, the Current Assets, Loans and Advances are expected to realize at least amount at which they are stated, if realized in the ordinary course of business and provision of all known liabilities have been adequately made in accounts.

4. In accordance with Accounting Standard 17 "Segment Reporting", segment information has been given in the Consolidated Financial Statement and therefore no separate disclosure on segment information is given in these financial statements

5. Information on Joint Ventures:

a) Contingent Liability in respect of the Jointly Controlled Entities: NIL

b) Capital Commitment in respect of the Jointly Controlled Entities of Rs. 223,373/- (Previous Year of Rs. Nil).

7. As per Accounting Standards 22 "Accounting for Taxes on Income" issued by the Institute of Chartered Accountants of India, the Company has unabsorbed depreciations which is to be carry forward as per the provisions of the Income Tax Act, 1961, and also other deferred tax assets. The Management of the Company considered its prudent not to be recognized any deferred tax assets in the current year.

8. Related Party Disclosure.

Related Party Disclosures as required under Accounting Standard on 'Related Party Disclosure' issued by the Institute of Chartered Accountants of India are given below:

(A) Name of the Related Parties and Descriptions of Relatives.

Joint Venture Company

Prima Dee-Lite Plastics Pvt. Ltd.

Subsidiary Company

Prima Global FZE, UAE

Key Management Personnel

Mr. Bhaskar M. Parekh (Chairman); Mr. Dilip M. Parekh (Managing Director); Mr. Pratik B. Parekh; Mr. Paras B. Parekh Entities over which the key management personnel and or their relatives are able to exercise significant influence.

Firms (Where the Director has substantial interest)

M/s. Classic Plastics, M/s. Sanya Plastics and M/s. National Plastics and Allied Industries

9. The Ministry of Corporate Affairs, Government of India, vides General Circular No.2 and 3 dated 8th February 2011 and 21st February 2011 respectively has granted a general exemption from compliance with section 212 of the Companies Act, 1956, subject to fulfillment of conditions stipulated in the circular. The Company has satisfied the conditions stipulated in the circular and hence is entitled to the exemption. Necessary information relating to the subsidiaries has been included in the Consolidated Financial Statements.

10. The financial statement for the year ended 31st March 2011 had been prepared as per the then applicable, pre-revised Schedule VI to the Companies Act, 1956. Consequent to the notification under the Companies Act, 1956, the financial statements for the year ended 31st March 2012 are prepared under revised Schedule VI. Accordingly, the previous year figures have been reclassified to conform to this year's classification.

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Mar 31, 2010

1. Contingent Liabilities not provided for in respect of:

(Rs.) 31.3.2010 31.3.2009

a) Guarantees given by the Companys Bankers 4,705,070 3,989,620

b) Letters of Credit opened by Bankers and outstanding at the year end 14,280,617 6,861,036 .

2. Estimated amount of contracts remaining to be executed on capital account and not provided for (net of advance payment) Rs. 8,618,140/- (previous year of Rs.Nil)

3. Remuneration to the Directors of the Company (including the Managing Director) paid or provided in accordance with section 198 of the Companies Act, 1956.

Since the Company does not pay any commission on its net profits, the computation of net profits under section 349 of the Companies Act, 1956 is not required to be appended.

4. In absence of any intimation received from vendors the status of their registration under "The Micro, Small and Medium Enterprises Development Act,2006", the Company is unable to comply with the disclosures required to be made under said Act. There are no amount is payable to any Small Scale Industrial undertaking.

5. In the opinion of the management, the Current Assets, Loans and Advances are expected to realize at least amount at which they are stated, if realized in the ordinary course of business and provision of all known liabilities have been adequately made in accounts.

6. Previous years figures are regrouped, reclassified and recast wherever necessary to conform to this years classification. Figures in brackets pertain to previous year.

7. Related party disclosure

Related party disclosures as required under Accounting Standard on Related Party Disclosure issued by the Institute of Chartered Accountants of India are given below:

A. Name of the related parties and descriptions of relatives.

Joint Venture Company

Prima Dee-Lite Plastics Pvt. Ltd.

Key Management personnel (Whole time Directors).

Mr. Bhaskar M. Parekh

Mr. Dilip M. Parekh

Mr. Pratik B. Parekh

Mr. Paras B. Parekh

Entities over which the key management personnel and/ or their relatives are able to exercise significant influence.

Firms (Where the Director has substantial interest).

i) M/s. Classic Plastics

ii) M/s. Sanya Plastics

iii) M/s. National Plastics Ailled Industries