Notes to Accounts of Rubfila International Ltd.

Mar 31, 2018

NOTE 39. SEGMENT INFORMATION

The Companies engaged in the manufacture and the sale of products which form part of one product group which represents one operating segment, as the Cheif Operating Decision Maker (CODM), reviews business performance at an overall company level. Entity -wide disclosure as required by Ind AS 108 "Operating Segment" are as follows:

The Company has only primary segment namely Manufacture and sale of Latex Rubber Thread. On the basis of Geographical revenues, allocated based on the location of the customer. Geographic segment of the Company is disclosed as follows: Revenue outside India, i.e. Sales in Export Market and Revenue with in India i.e. Sales in Domestic Market.

The Geographic segment individually contributing to the company''s revenue and segment assets are as follows:

	Year ended 31st March, 2018		Year ended 31st March, 2017
Particulars	in f Lakhs		in Rs Lakhs
	Assets	Revenues	Assets	Revenues
Outside India
Asia	166.12	2,374.94	149.37	1,806.10
Europe	4.47	221.20	2.77	190.09
Africa		72.67	12.08	70.41
America		25.00	-	48.92
Within India	2,913.41	18,943.73	1,900.56	16,211.71
Total	3,084.00	21,637.55	2,064.78	18,327.23

NOTE 40. RELATED PARTY DISCLOSURES

In accordance with the requirement of Accounting Standard (AS) - 24 on "Related Party Discloures" the names of the related parties where control exists/able to exercise significant influence a long with the aggregate transactions/yea rend balance with them as identified and certified by the management are given below:

Details of Related Party Transactions during the year ended 31st March 2018

	Year ended 31st March, 2018		Year ended 31st March, 2017
Particulars	Paid during the Year	Outstanding	Paid during the Year	Outstanding
Directors Sitting Fee
Mr. Bharat Jayantilal Patel	1.00		1.20
Mr. Bharat Jamnadas Dattani	1.00		1.00
Mr. Hardik Patel	0.80
Mr. DhirenSShah	1.20		1.15
Mr. Patrick Davenport	0.75		0.95
Mr. Tommy Thompson	0.40		0.60
Mr. S.N.Rajan	0.95		1.05
Mr. Samir K. Shan	0.70		0.50
Mrs. R. Chitra	0.60		0.80
Mr. S.H. Merchant	0.40
Total	7.80		7.25
Remuneration
Mr. G. Krishna Kumar (Managing Director)	74.99		56.59
Mr. N.N. Parameswaran (CFO&CS)	49.23		39.78
Total	124.22		96.37

NOTE 41. DETAILS OF PROVISIONS FOR CONTINGENT LIABILITY

Particulars	As at 1st April, 2017	Additions	Reversal	As at 31st March, 2017
	in Rs Lakhs	in Rs Lakhs	in Rs Lakhs	in Rs Lakhs
Sales Tax
	91.42	-	91.42
Financial Charges on Disputed Liabilities
	31.33		31.33
Provision for Expenses - Tripura VAT	173.42	-		173.42
	124.86	48.56		173.42
Provision for Unforseen Liabilities	164.00	120.00		284.00
	104.00	60.00		164.00
Total	337.42	120.00	-	457.42
	351.61	108.56	122.75	337.42

Note:- Figures in Italics relates to Previousyear

NOTE 42. CONTINGENT LIABILITY & COMMITMENTS (TO THE EXTENT NOT PROVIDED FOR)

Particulars	As at 31st March, 2018 in f Lakhs	As at 31st March, 2017 in Rs Lakhs	As at 1st April, 2016 in Rs Lakhs
(a) Claim against the Company not Acknowledgment as debt: Duty Draw back	391.73	391.73	391.73
Total	391.73	391.73	391.73

The details of Provisions, Contingent Liabilities and Contingent Assets are as required under Ind AS-37 Provisions, Contingent Liabilities and Contingent Assets for the year ended 31st March 2018.

The company has pending the following pending litigations with various courts and which in its opinion has no impact on its financial position in the financial statements as on 31 March 2018.

SL No.	Claimant& Respondent	Date of admission	Status
1	Rubfila International Ltd. Vs Abhisar Buildwell Pvt. Ltd. before the sole arbitrator Justice MohitSShah	2017-18	Posted for Claimant''s Evidence
2	Rubfila International Ltd. Vs Commissioner of Customs Coimbatore (Financial Impact is Rs. 391.73 Lakhs)	2008-09	Tribunal issued Orders remanding the case back to the original authority, and to await the Supreme Court decision in a similarcase.

NOTE 43. FINANCIAL RISK MANAGEMENT

The Company''s activities expose it to a variety of financial risks: market risk, credit risk and liquidity risk. The Company''s focus is to foresee the unpredictability of financial markets and seek to minimize potential adverse effects on it''s financial performance. The Company''s exposure to credit risk is influenced mainly by the individual characteristic of each customer. The Company''s risk management activity focuses on actively securing the Company''s short to medium-term cash flows by minimising the exposure to volatile financial markets. Long-term financial investments are managed to generate lasting returns. The Company does not actively engage in the trading of financial assets for speculative purposes nor does it write options. The most significant financial risks to which the Company is exposed are described below.

A. Credit Risk Analysis

Credit risk refers to the risk that counter party will default on its contractual obligations resulting in financial loss to the Company. The Company is exposed to credit risk for receivables, cash and cash equivalents, short term loans.

Cash and cash equivalents and short term investments (Loans current)

The Company considers factors such as track record, size of institution, market reputation and service standard to select the banks with which deposits are maintained. Generally the balances are maintained with the institutions with which the Company has been transactingforyears.

The Company has made several Intercorporate loans and security with unrelated Companies considering factors Such as track record, size of organisation, market reputation and value of the security. The risk is mitigated by the security provided by the Companies. There for the Company does not expect any material risk on account of non performance by any of the Companies to which the loans are given.

Trade receivables

The Company is exposed to credit risk from its operating activities primarily from trade receivables a mounting to Rs 3084.00 Lakhs and Rs 2,064.78 Lakhs as of 31 March 2018 and 31 March 2017 respectively. The Company has standard operating procedure for obtaining sufficient security where appropriate, as a means of mitigating the risk of financial loss from defaults. No customers accounted for 10% or more of revenue during the reporting periods covered.

The credit quality of the Company''s customers is monitored on an ongoing basis and assessed for impairment where indicators of such impairment exist. The history of trade receivables shows a negligible provision for bad and doubtful debts. The solvency of customers and their ability to repay the receivable is considered in assessing receivables for impairment. Therefore, the Company does not expect any material risk on account of non-performance by any of the Company''s counter parties. Where receivables are impaired, the Company actively seeks to recover the a mounts in question and enforce the compliance with credit terms.

B. Liquidity Risk

The Company requires funds both for short-term operational needs as well as for long-term growth projects. The Company generates sufficient cash flows from the current operations which together with the available cash and cash equivalents provide liquidity both in the short-term as well as in the long-term. The company has adequate reserves and in the form of intercorporate deposits to mitigate the liquidity risk. As on 31 March 2018 the company has no financial liabilities over and above the cash and cash equivalents. Hence the liquidity risk is minimal.

C. Interest Rate Risk

The Company is a zero debt company as on 31 March 2018 (Previous year auto loans to the extent of Rs. 29.18 Lakhs) and is not exposed to any interest rate risk of short-term or long-term borrowings. All the vehicle loans of the company are closed in the financial year 2017-2018. The borrowings of the Company are principally denominated in Indian Rupees. There a re no foreign currency borrowings made by the company during the reporting periods. The impact on the Companies profit before tax due to change in interest rate is Nil at the close of this financial year.

D. Foreign currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates. The Company''s exposure to the risk of changes in foreign exchange rates relates primarily to the purchase of materials from abroad and realisation on export sales:

The impact on the Companies profit before tax due to change in interest rate is given below:

Particulars	Impact in Statement of Profit and Loss for 2% change As at31 March 2018	Impact in Statement of Profit and Loss for 2% change As at31 March 2017
	in Rs Lakhs	in f Lakhs
INR-USD INR-GBP INR-EURO	3.40 (0.00) (0.09)	2.55 0.06 0.50

The sensitivity analysis includes only outstanding foreign currency denominated monetary items and adjusts their translation at the year-end fora 2% change in foreign currency rates, with all other variables held constant.

The particulars of un hedged items as at Balance Sheet date is as under:

Particulars	As at 31 March 2018		As at 31 March 2017
	Foreign Currency	in Rs Lakhs	Foreign Currency	in Rs Lakhs
Assets
USD	3,17,790	206.31	2,74,281	178.27
GBP		-	3,898	3.14
EURO	140	0.11	37,507	26.71
Liabilities
USD	56,149	36.45	78,450	50.79
GBP	73	0.07	446	0.36
EURO	5,834	4.67	2,484	1.73

The company has not entered into any forward contracts or foreign currency hedges to mitigate the risk. As the a mount involved is not material the foreign currency risk involved is minimal.

NOTE 44. EVENTS AFTER THE REPORTING PERIOD

There are no material events to be disclosed subsequent to the end of the reporting period.

NOTE 45. CAPITAL AND OTHER COMMITMENTS

There are no material capital and other commitments to be disclosed subsequent to the end of the reporting period.

NOTE 46. CAPITAL MANAGEMENT

The Company''s objectives when managing capital is to safeguard continuity, maintain a strong credit rating and healthy capital ratios in order to support its business and provide ad equate return to shareholders through continuing growth and maximise the shareholders value. The Company''s overall strategy remains unchanged from previous year. The Company sets the amount of capital required on the basis of annual business and long term operating plans.

NOTE 47. FAIR VALUE MEASUREMENTS

(i) Financial Instruments by Category

The carrying value and fair value of financial instruments by categories are as follows:

The management assessed that the fair value of cash and cash equivalents, trade receivables, loans, other financial assets, trade payables and other financial liabilities approximate the carrying amount largely due to short-term maturity of this instruments.

(ii) Fair value of financial assets and liabilities measured at amortised cost

The management assessed that for amortised cost instruments, fair value approximate largely to the carrying amount.

The mangement assessed that the fair value of investment property and carry ing a mount of the property has not varied materially during the period.

NOTE 48. FIRST TIME ADOPTION OF IND AS

These a re the Company''s first financial statements for the year ended 31 March 2018 prepared in accordance with Ind AS. For the purposes of transition to Ind AS, the Company has followed the guidance prescribed in IndAS 101- First Time adopt! on of Indian Accounting Standard, with 1 April 2016 as the transition date to the Ind AS. An explanation of the transition from previous GAAP to Ind AS and the Company''s financial position, financial performance and cash flows is set out in the following tables and notes. The accounting policies set out in note 1 have been applied in preparing the financial statements for the year ended 31 March 2018, the comparative information presented in these financial statements for the year ended 31M arch 2017 and in the preparation of an opening I nd AS balance sheet at 1 April 2016 (the Company''s date of transition).

A. Ind AS Optional Exemptions

Deemed Cost for Property, Plant and Equipment and Intangible Assets

Ind AS 101 permits a first-time adopter to elect to continue with the carrying value for all of its property, plant and equipment as recognised in the financial statements as at the date of transit! on to Ind AS, measured as per the previous GAAP and use that as its deemed cost as at the date of transition after making necessary adjustments for de-commissioning liabilities. This exemption can also be used for intangible assets covered by Ind AS 38 Intangible Assets. Accordingly, the Company has elected to measure all of its property, plant and equipment and intangible assets at their previous GAAP carrying value.

B. Ind AS Mandatory Exemptions

Estimates

In accordance with Ind AS, as at the date of transition to Ind AS an entity''s estimates shall be consistent with the estimates made for the same date in accordance with previous GAAP (after adjustments to reflect any difference in accounting policies), unless there is objective evidence that those estimates were in error. Ind AS estimates as at 1 April 2016 are consistent with the estimates as at the same date made in conformity with previous GAAP except impairment of financial assets based on expected credit loss model in accordance with Ind AS at the date of transition this was not required under the previous GAAP.

Classification and Measurement of Financial Assets and Liabilities

The classification and measurement of financial assets will be made considering whether the conditions as per Ind AS 109 Financial Instruments are met based on facts and circumstances existing at the date of transition. Financial assets can be measured using effective interest method by assessing its contractual cash flow characteristics only on the basis of facts and circumstances existing at the date of transit! on and if it is impracticable to assess elements of modified time value of money i.e. the use of effective interest method, fair value of financial asset at the date of transition shall be the new carrying amount of that asset. The measurement exemption applies for financial liabilities as well.

Applying a requirement is impracticable when the entity cannot apply it after making every reasonable effort to do so. It is impracticable to apply the changes retrospectively if:

a) The effects of the retrospective application or retrospective restatement a re not determinable;or

b) The retrospective application or restatement requires assumptions a bout what management''s intent would have been in that period; or

c) The retrospective application or retrospective restatement requires significant estimates of amounts and it is impossible to distinguish objectively information a bout those estimates that existed at that time.

Reconciliations between Previous GAAP and Ind AS

Ind AS 101 First-time Adopt! on of Indian Accounting Standards, requires an entity to reconcile equity, total comprehensive income and cash flows for prior periods. The following tables represent the reconciliations from previous GAAP to Ind AS as at the periods specif led below.

Reconciliation of Total Equity as at 31 March 2017 and 1 April 2016

Particulars	As at 31 March 2017 in f Lakhs	As at 1 April 2016 in f Lakhs
Total equity as per previous GAAP	8,105.94	7,243.80
Adjustments:
i) Measurement of financial assets and liabilities at amortised cost
ii) Reversal of proposed dividend	390.13	260.09
iii) Defined benefit obligation	1.02
Total Equity as per Ind AS	8,497.09	7,503.89

Reconciliation of Balance Sheet as at 1 April 2016 (date transition to Ind AS)

	Previous GAAP	Adjustment	Ins as
Particulars	in f Lakhs	in f Lakhs	in f Lakhs
ASSETS
Non- current Assets
Property, Plant and Equipment	2,777.41	128.15	2,649.26
Capital work- in-progress		-
Other Intangible Asset	1.51	-	1.51
Investment property		(128.15)	128.15
Financial Assets
Trade receivable	14.34	-	14.34
Loans	838.79	-	838.79
Other financial assets	79.29	-	79.29
Other non- Current Asset	269.43	-	269.43
Current assets
Inventories	719.69	-	719.69
Financial Assets
Trade and other receivables	2,658.07	(82.00)	2,740.07
Cash and Cash Equivalents	565.19	114.48	450.71
Bank Balance other than above	-	(50.00)	50.00
Loans	1,758.46	458.46	1,300.00
Other currentfinancial assets	(55.12)	(64.48)	9.36
Other current assets	107.95	82.00	25.95
TOTAL ASSETS	9,735.01		9,276.55
EQUITY AND LIABILITIES
Equity
Equity attributable to owners of Parent
Equity share capital	2,160.88		2,160.88
Other equity	5,082.92	(260.09)	5,343.01
Liabilities
Non current liabilities
Financial liabilities
Borrowings	-	(3.43)	3.43
Trade payables	0.46		0.46
Provisions (non Current)	352.55	(39.47)	392.02
Deferred tax liablities (Net)	234.11		234.11
Other non - Current Liabilities	-	(91.01)	91.01
Current liabilities
Financial liabilities
Trade payables	789.13	91.01	698.12
otherfinancial liabilities	57.55		57.55
otherfinancial liabilities	206.16	3.43	202.73
Provisions	851.25	822.76	28.49
Current Tax Liabilities	-	(64.74)	64.74
TOTAL	9,735.01		9,276.55

Reconciliation of Balance Sheet as at 31 March 2017

Particulars	Previous GAAP	Adjustment	Ins as
	in f Lakhs	in f Lakhs	in f Lakhs
ASSETS
Non- current Assets
Property, Plant and equipment	3,617.35	160.69	3,456.66
Capital work- in-progress	-	(32.55)	32.55
Other Intangible Asset	0.20		0.20
Investment property	-	(128.15)	128.15
Financial Assets
Trade receivable	8.75		8.75
Loans	860.78		860.78
Other financial assets	14.03	(63.20)	77.23
Other non- Current Asset	608.61	(0.00)	608.62
Current assets
Inventories	683.84		683.84
Financial Assets
Trade and other receivables	2,056.03	(5.47)	2,061.50
Cash and Cash Equivalents	330.55	73.20	257.35
Bank Balance other than above	-	(10.00)	10.00
Loans	2,768.05	625.05	2,143.00
Other currentfinancial assets	37.08		37.08
Other current assets	57.72	5.22	52.50
TOTAL ASSETS	11,043.01		10,418.20
EQUITY AND LIABILITIES
Equity
Equity attributable to owners of Parent
Equity share capital	2,160.88		2,160.88
Other equity	5,945.06	(391.15)	6,336.21
Liabilities
Non current liabilities
Financial liabilities
Borrowings	29.18		29.18
Trade payables	2.72		2.72
Provisions (non Current)	338.98	(50.68)	389.66
Deferred tax liablities (Net)	251.03		251.03
Other non - Current Liabilities	-	(110.51)	110.51
Current liabilities
Financial liabilities
Trade payables	938.02	110.26	827.76
other financial liabilities	71.88		71.88
other current liabilities	167.83		167.83
Provisions	1,137.43	1,110.27	27.16
Current Tax Liabilities	-	(43.39)	43.39
TOTAL	11,043.01	624.81	10,418.20

Reconciliation of Considated statement of cash flows for the year ended 31st March 2017

Particulars	Previous GAAP	Adjustment	Ins as
	in f Lakhs	in f Lakhs	in f Lakhs
Net Cash from/fused) in operating Activities	1,027.83	(105.84)	1,133.67
Net Cash from/fused) in Investing Activities	(865.88)	218.97	(1,084.85)
Net Cash from/fused) in Financing Activities	(396.60)	(165.93)	(230.67)
Net Increase/ (decrease) in cash and cash equivalents	(234.65)	(52.80)	(181.85)
Cash and cash equivalents at the beginning of the year	565.19	136.04	429.15
Cash and cash equivalents at the end of the year	330.55	83.25	247.30

NOTES

1. Financial Assets and Liabilities

Under Previous GAAP the financial assets and liabilities were carried at cost. However under I nd AS, a II financial assets and I labilities are required to be recognised atfair value. Accordingly, the Company has recognised all financial assets and liabilities initially at fair value and measured them subsequently at amortised cost using the effective interest method.

2. Defined benefit obligation

Both under the Previous GAAP and Ind AS, the Company recognized costs related to its post-employment defined benefit plan on an actuarial basis. Under previous GAAP, the entire cost, including actuarial gains and losses, are charged to profit or loss. Under Ind AS, re-measurements comprising of actuarial gains and losses are recognized immediately in the balance sheet with a corresponding debit or credit to retained earnings through OCI. Thus the employee benefit cost is reduced by such amount with a corresponding adjustment on defined benefit plans has been recognized in the OCI.

3. Adjustment for Proposed Dividend

Under the Previous GAAP, dividends proposed by the board of directors after the balance sheet date but before the approval of the financial statements were considered as adjusting events. Accordingly, provision for proposed dividend was recognised as a liability. Under Ind AS, such dividends are recognised when the same is approved by the shareholders in the general meeting. Accordingly, the liability for proposed dividend included under provisions has been reversed with corresponding adjustment to retained earnings.

4. Excise Duty

Under the Previous GAAP, revenue from sale of goods was presented net of excise duty whereas underlnd AS the revenue from sale of goods is presented inclusive of excise duty. Accordingly, the excise duty has been included in revenue and expenses respectively.

5. Deferred Tax

Under the Previous GAAP, deferred tax was accounted using the income statement approach, on the timing differences between the taxable profit and accounting prof its for the period. Under Ind AS 12, Income Tax, deferred taxes a re recognised following the balance sheet approach on the temporary differences between the carrying amount of asset or liability in the balance sheet and its tax base. In the year ended 31st march 2017 there has been no material variance in deferred tax from Ind AS and previous GAAP and hence the amount as per previous GAAP remains unchanged.

6. Other Comprehensive Income

Under Ind AS, all items of income and expense recognised in a period should be included in profit or loss for the period, unless a standard requires or perm its otherwise. Items of income and expense that a re not recognised in prof it or loss but a re shown in the Statement of Prof it and Loss as''other comprehensive income'' includes re-measurements of defined benefit plans. The concept of other comprehensive income did not exist under the Previous GAAP.

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Mar 31, 2016

NOTE 1. EMPLOYEE BENEFITS PLAN

The Company makes Provident Fund and Super Annotation Fund contributions to defined Contribution plans for qualifying employees. Under the Schemes, the company is required to contribute a specified percentage of the payroll costs to fund the benefits. The Company recognized Rs.56.73 lakhs (Year ended 31st March, 2015 Rs.45.39 lakhs) for Provident Fund contributions and Rs.3.11 lakhs (Year ended 31st March Rs.2.08 lakhs) for Super Annotation Fund Contributions in the Statement of Profit and Loss. The Contributions payable to these plans by the company are at rates specified in the rules of the schemes.

2. SEGMENT REPORTING

The Company has identified business segments as its primary segment and geographic segments as its secondary segment. The Company has only one primary segment namely Manufacture and sale of Heat Resistant Latex Rubber Thread. Hence segment reporting for primary segment is not applicable. Secondary Segment is on the basis of Geographical revenues, allocated based on the location of the customer. Geographic segments of the company are disclosed as follows : Revenue outside India, i.e., Sales in Export Market and Revenue within India, i.e., Sales in Domestic Market.

3. RELATED PARTY DISCLOSURE_

Details of Related Parties for the year 2015-16

Directors

Mr. Bharat Jayanthilal Patel Mr. Bharat Jamnadas Dattani Mr. Hardik Patel Mr. Dhiren S Shah Mr. Patrick Davenport Mr. Tommy Thompson Mr. S.N. Rajan Mr. Samir K. Shan Mrs. R. Chitra Key Management Personnel

Mr. G. Krishna Kumar (Managing Director)

Mr. N.N. Parameswaran (CFO & CS)

Other Related Party

M/s Money Bee Advisors Pvt. Ltd.

The Diluted EPS is computed by dividing the Net profit after Tax available for Equity shareholders by the weighted average number of Equity shares, after giving dilutive effect of the outstanding Warrants, Stock Options and Convertible Bonds for the respective period. Since the Company doesn''t have any Warrants, Stock Options and Convertible Bonds, Dilutive EPS will be the same as Basic EPS and hence Dilutive EPS is not computed.

Note :- Figures in Italics relates to Previous year

NOTE 4. COMPARATIVES

Previous year’s figures have been reworked, regrouped, rearranged and reclassified, wherever necessary, to correspond with the current year''s classification / disclosure.

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Mar 31, 2014

Corporate Information

Rubfila International Limited (RIL) is a Public Limited Company promoted by Rubpro Sdn. Bhd., Malaysia and Kerala State Industrial Development Corporation, with its plant located at New Industrial Development Area, Kanjikode, Palakkad, Kerala. Kerala is the heartland of natural rubber in India. The production facility of RIL is designed to produce both Talc Coated Rubber Thread (TCR) as well as Silicon Coated Rubber Thread (SCR). RIL is the market leader in India in the business of rubber threads and is also a leading exporter of the product from India. RIL produces rubber threads for various applications like apparel, food grade, furniture webbing, bungee jumping, toys, medical netting, diapers, catheter manufacturing etc.

Terms / rights attached to equity shares.

i) The company has only one class of equity shares having par value of Rs. 5 per share. Each holder of equity share is entitled to vote per share. The company declares and pays dividend in Indian Rupees for shareholders in India and in US Dollars for shareholders outside India

ii) The dividend proposed is as recommended by the Board of Directors and subject to the approval of the shareholders in the ensuing Annual General Meeting

iii) For the year ended 31st March, 2014, the amount of dividend per share recognised as distributions to equity shareholders is Re 0.60 (31st March, 2013 - Re. 0.60)

iv) In the event of liquidation of the Company, the holders of equity shares will be entitled to receive the realised value of the assets of the Company, remaining after payment of all preferential dues. The distribution will be in proportion to the number of equity shares held by the shareholders.

NOTE 1. CONTINGENT LIABILITIES & COMMITMENTS (to the extent not provided for)

As at 31st As at 31st March, 2014 March, 2013 Particulars in Rs. Lakhs in Rs. Lakhs

(a) Claim against the Company not acknowledged as debt:

* Duty Draw Back - -

* Sales Tax Liability (see note below) 959.70 968.51

(b) Guarantees

* Bank Guarantee with PNB 9.44 11.70

Total 969.14 980.21

NOTE 2. EMPLOYEE BENEFITS PLAN

The Company makes Provident Fund and Super Annuation Fund contributions to defined Contribution plans for qualifying employees. Under the Schemes, the company is required to contribute a specified percentage of the payroll costs to fund the benefits. The Company recognized Rs. 29.47 (Year ended 31 March, 2013 Rs. 29.32) for Provident Fund contributions and Rs. 2.28 (Year ended 31 March, 2013 Rs. 2.08) for Super Annuation Fund Contributions in the Statement of Profit and Loss. The Contribuitions payable to these plans by the company are at rates specified in the rules of the schemes.

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Mar 31, 2013

Corporate Information

Rubfila International Limited (RIL) a Public Limited Company promoted by RubproSdn. Bhd., Malaysia and Kerala State Industrial Development Corporation, with its plant located at Ne wind us trial Development Area, Kanjikode, Palakkad, Kerala. Kerala is the heartland of natural rubber in India. The production facility of RIL is designed to produce both Talc Coated Rubber Thread (TCR) as well as Silicon Coated Rubber Thread (SCR). RIL is the market leader in India in the business of rubber threads and is also a leading exporter of the product from India. RIL produces rubber threads for various applications like apparel, food grade, furniture webbing, bungee Jumping, toys, medical netting, diapers, catheter manufacturing etc.

NOTE 1. CONTINGENT LIABILITIES & COMMITMENTS

(to the extent not provided for)

As at 31st March, 2013 As at 31st March, 2012 Particulars in Lakhs in Lakhs

(a) Claim against the Company not acknowledged as debt!

"Duty Draw Back - 391.73

- Sales Tax Liability (see note below 968.50 986.13

(b) Guarantees

- Bank Guarantee with PNB 11.70 8.10

Total 980.20 994.23

NOTE 2. EMPLOYEE BENEFITS PLAN

The Company makes Provident Fund and Super Annotation Fund contri- butions to defined Contribution plans for qualifying employees. Under the Schemes, the company is required to contribute a specified percentage of the payroll costs to fund the benefits. The Company recognized Rs. 29.32 (Year ended 31 March, 2012Rs. 19.45) for Provident Fund contributions and 2.08 (Year ended 31 March, 2012Rs. 1.70) for Super Annotation Fund Contributions in the Statement of Profit and Loss. The Contributions payable to these plans by the company are at rates specified in the rules of the schemes.

NOTE 3. SEGMENT REPORTING

The Company has identified business segments as its primary segment and geographic segments as its secondary segment. The Company has only one primary segment namely Manufacture and sale of Heat Resistant Latex Rubber Thread. Hence segment reporting for primary segment is not applicable. Secondary Segment is on the basis of Geographical revenues, allocated based on the location of the customer. Geographic segments of the company are disclosed as follows. Revenue outside India, i.e., Sales in Export Market and Revenue within India, i.e., Sales'' in Domestic Market.

The Diluted EPS is computed by dividing the Met profit after Tax a available for Equity share holders by the weighted average number of Equity shares, after giving dilutive effect of the outstanding Warrants, Stock Options and convertible Bonds for the respective period Since the company doesn''t have any Warrants, Stock Options and Co invertible Bonds, Dilutive EPS will be the same as Basic EPS and hence Dilutive EPS is not computed .

NOTE 4. PRIOR PERIOD COMPARATIVES

Previous year''s figures have been reworked, regrouped, rearranged and reclassified, wherever necessary, to correspond with the current year s classification / disclosure

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Mar 31, 2012

Corporate information

Rubfila International Limited (RIL) is a Public Limited Company promoted by Rubpro Sdn. Bhd., Malaysia and Kerala State Industrial Development Corporation. The State of the Art infrastructure facility of is located at New Industrial Development Area, Kanji ode, Palatka, Kerala. Kerala is the heartland of natural rubber in India. The production facility of RIL is designed to produce both Talc Coated Rubber Thread (TCR) as well as Silicon Coated Rubber Thread (SCR). RIL produces rubber threads for various applications like apparel, food grade, furniture webbing, bungee jumping, toys, medical netting, diapers, catheter manufacturing etc.

The Revised Schedule VI has become effective from 1st April, 2011 for the preparation of financial statements. This has significantly impacted the disclosure and presentation made in the financial statements. Amounts in the Financial Statements are presented in Rs. Lakhs. Previous year's figures have been regrouped / reclassified wherever necessary to correspond with the current year's classification / disclosure.

The Diluted EPS is computed by dividing the Net Profit after Tax available for Equity Shareholders by the weighted average number of equity shares, after giving dilutive effect of the outstanding Warrants, Stock Options and Convertible bonds for the respective period. Since the Company doesn't have any Warrants, Stock Options or Convertible Bonds, Dilutive EPS will be the same as Basic EPS and hence Dilute EPS is not computed.

NOTE 2. CONTINGENT LIABILITIES & COMMITMENTS (to the extent not provided for)

As at 31 March As at 31 March Particulars 2012 2011 in lakhs in lakhs

(a) Claims against the Company not acknowledged as debt:

- Duty Draw back 391.73 -

- Sales Tax Liability (see note below) 986.13 986.13

(b) Guarantees:

- Bank Guarantee with PNB 8.10 -

- Bank Guarantee with CSB - 8.29

The Company has provided 129.38 Lakhs against the demand of 1115.51 Lakhs in the year 2010-2011. In the opinion of the management, the provision made above is considered appropriate for the disputed amounts mentioned above on the ground that there are reasonable chances of successful outcome of appeals filed by the company.

NOTE 3. EMPLOYEE BENEFITS PLAN

The Company makes Provident Fund and Superannuation Fund contributions to defined contribution plans for qualifying employees. Under the Schemes, the Company is required to contribute a specified percentage of the payroll costs to fund the benefits. The Company recognized. Rs. 19.45 (Year ended 31 March, 2011 Rs. 18.66) for Provident Fund contributions and Rs. 1.70 (Year ended 31 March, 2011 Rs. 1.75) for Superannuation Fund contributions in the Statement of Profit and Loss. The contributions payable to these plans by the Company are at rates specified in the rules of the schemes.

NOTE 4. SEGMENT REPORTING

The Company has identified business segments as its primary segment and geographic segments as its secondary segment. The Company has only one primary segment namely Manufacture and sale of Heat Resistant Latex Rubber Thread. Hence segment reporting for primary segment is not applicable. Secondary Segment is on the basis of Geographical revenues, allocated based on the location of the customer. Geographic segments of the Company are disclosed as follows: Revenue outside India, i.e., Sales in Export Market to Countries in Asia, Africa and Europe, and Revenue within India, i.e., Sales in Domestic Market.

NOTE 5. RELATED PARTY DISCLOSURE Details of related parties: Promoters / Associates :

M/s Entelechy Holdings Corporation

Ms. Annie Guat Chew

Mr. Barry Yates

Mr. Christopher Chong

Ms. Bharati Bharat Dattani

Mr. Bharat Jamnadas Dattani

Bharat Jamnadas HUF

Ms. Minal Bharat Patel

Mr. Dhiren S Shah

M/s Rubpro Sdn Bhd.

Key Management Personnel

Mr. G. Krishnakumar (Managing Director)

NOTE 6.PRIOR YEAR COMPARATIVES

The financial statements for the year ended 31 March 2011, had been prepared as per the applicable, pre-revised Schedule VI to the Companies Act 1956. Consequent to the notification of the Revised Schedule VI under the Companies Act 1956, the financial statements for the year ended 31 March 2012 are prepared as per the Revised Schedule VI. Accordingly, the previous year figures have been reclassified to conform to this year's classification. The adoption of Revised Schedule VI for previous year figures does not impact recognition and measurement principles followed for preparation of financial statements as at 31 March 2011.

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Mar 31, 2010

1. Contingent Liabilities not provided for in respect of disputed demands for taxes, duties and other claims not acknowledged as debts :

a) Bank Guarantee of Rs. 7.92 Lacs during the year (previousyear Rs.7.92 Lacs)

2. The Estimated value of Contracts in progress and not provided for is nil.

3. Amount outstanding for more than 30 days to Small scale Industrial undertaking is Nil.

4. KVAT refund due from Govt. Of Kerala is Rs. 148.73 and the details areas follows:

5. The company has initiated the process of obtaining confirmations from the "suppliers" who have registered under Micro Small Medium Enterprise Development Act, 2006 (MSMED ACT) which came into effect from October2006 and so far it has not received the information from suppliers regarding their status under MSMED Act as on 31 st March2009. Hence disclosure relating to the amounts outstanding to them have not been made

6. Income Tax Assessment has been completed upto the accounting year ended 31st March, 2006.

7. Disclosure in respect of Accounting Standard 15 "Employee Benefits" notified in the Companies (Accounting Standards) Rule 2007:

8. Segment Information.

1. Primary Business Segment: There is only one segment namely Manufacture and Sale of Rubber Threads.

Notes:

The segment revenue in the Geographical segments considered for disclosure are as follows:

a) Revenue within India includes sales to customers located within India.

b) Revenue outside India includes sales to customers located outside India.

8. Additional Information pursuant to Part II of Schedule VI of the Companies Act, 1956

10. Value of Raw Materials, Stores and Spares Consumed during the Year

11. a) Capacity and Production

12. Related Party Disclosure (As identified by the Management)

1) a) Name of the transacting related party Mr.G. Krishna Kumar

b) Description of relationship Managing Director

c) Nature of Transaction Remuneration

d) Volume of transaction Rs. 11.44 Lacs

e) Outstanding at the Balance sheet date Nil

2) Unsecured Loan .

2.1) From M/s. PAT Financial Consultants (P) Ltd., Mumbai.

a) Amount involved - Rs. 1810 lacs

b) Nature of Transaction - Interest free unsecured loan

c) Purpose - Take over and Settlement of Bank Dues

13. The Company is in the process of releasing the Charges filed with Registrar of Companies, Kerala on its properties in favour of Banks.