BALANCE SHEET AS AT 31ST MARCH, 2009

(Rs. in Crores)
As at 31st As at 31st
Schedule March, 2009 March, 2008
SOURCES OF FUNDS
SHAREHOLDERS’ FUNDS
Share Capital ‘1’ 170.46 122.65
Share Capital Suspense — 0.41
Share Warrants — 139.10
Employee Stock Options Outstanding 3.17 2.13
Reserves and Surplus ‘2’ 23,584.69 17,171.53
23,758.32 17,435.82
LOAN FUNDS
Secured Loans ‘3’ 5,713.23 6,205.42
Unsecured Loans ‘4’ 2,611.06 2,123.16
8,324.29 8,328.58
DEFERRED TAX LIABILITY (NET) 1,410.67 1,323.67
TOTAL 33,493.28 27,088.07
APPLICATION OF FUNDS
FIXED ASSETS
Gross Block ‘5’ 13,393.07 12,608.46
Less : Depreciation 5,241.65 4,636.81
Less : Impairment 264.45 162.32
Net Block 7,886.97 7,809.33
Capital Work-in-Progress 1,389.63 1,119.87
9,276.60 8,929.20
INVESTMENTS ‘6’ 19,148.84 14,107.99
CURRENT ASSETS, LOANS AND ADVANCES
Inventories ‘7’ 4,070.14 5,097.91
Sundry Debtors ‘8’ 1,201.22 1,565.02
Cash and Bank Balances ‘9’ 843.72 146.98
Other Current Assets ‘10’ 51.78 62.30
Loans and Advances ‘11’ 1,573.05 979.46
7,739.91 7,851.67
Less :
CURRENT LIABILITIES AND PROVISIONS
Current Liabilities ‘12’ 1,868.91 2,894.78
Provisions ‘13’ 803.16 906.01
2,672.07 3,800.79
NET CURRENT ASSETS 5,067.84 4,050.88
TOTAL 33,493.28 27,088.07

Director

& CFO
PROFIT & LOSS ACCOUNT FOR THE YEAR ENDED 31ST MARCH, 2009
(Rs. in Crores)
For the year For the year
ended 31st ended 31st
INCOME Schedule March, 2009 March, 2008
Gross Sales and Operating Revenues ‘14’ 19,718.34 21,021.93
Less: Excise Duty 1,498.69 1,820.90
Net Sales and Operating Revenues 18,219.65 19,201.03
Other Income ‘15’ 636.65 492.94
18,856.30 19,693.97
EXPENDITURE
(Increase)/ Decrease in Stocks ‘16’ 520.71 (137.03)
Trade Purchases 113.04 92.52
Manufacturing and Other Expenses ‘17’ 14,550.03 15,844.43
Interest and Finance Charges ‘18’ 336.93 280.63
Depreciation 644.34 587.81
Impairment 0.93 —
16,165.98 16,668.36
PROFIT BEFORE TAX 2,690.32 3,025.61
Provision for Current Tax 478.11 606.36
Provision for Deferred Tax 121.40 87.58
Provision for Fringe Benefit Tax 11.37 11.40
Tax adjustment for earlier years (Net) (150.83) (540.67)
NET PROFIT 2,230.27 2,860.94
Balance brought forward from Previous year 300.00 100.00
Balance brought forward from Amalgamating Company — (1.56)
Transfer from Debenture Redemption Reserve — 172.17
BALANCE AVAILABLE FOR APPROPRIATIONS 2,530.27 3,131.55
APPROPRIATIONS
Debenture Redemption Reserve 5.00 5.00
Capital Redemption Reserve 0.41 —
Dividend on Preference Shares 0.02 0.02
Dividend Tax on Preference Shares 0.01 0.01
Proposed Dividend on Equity Shares 229.58 226.89
Tax on Proposed Dividend 39.02 38.56
Transfer to General Reserve 1,956.23 2,561.07
Balance Carried to Balance Sheet 300.00 300.00
2,530.27 3,131.55
Earnings per Share (EPS):
Basic EPS (in Rs.) 14.82 22.23
Diluted EPS (in Rs.) 14.82 22.11
Basic EPS before Tax adjustment for earlier years (in Rs.) 13.81 18.03
Diluted EPS before Tax adjustment for earlier years (in Rs.) 13.81 17.93
CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 31, 2009
(Rs. in Crores)
Year ended Year ended
March 31, 2009 March 31, 2008

A. CASH FLOW FROM OPERATING ACTIVITIES

Net profit before Tax 2,690.32 3,025.61
Adjustment for :
Interest and Finance charges 336.93 280.63
Depreciation 644.34 587.81
Impairment 0.93 -
Unrealized Foreign Exchange Gain / Loss (Net) 170.05 12.06
Employee Stock Option 2.09 2.13
Provisions / Provisions written-back (Net) (51.83) (56.65)
Miscellaneous expenditure written off - 3.62
Provision / (write back) for diminution in carrying cost of
Investments (Net) (8.66) 12.22
Investing Activities (Net) (620.39) (500.26)
Operating profit before working capital changes 3,163.78 3,367.16
Changes in working Capital:
Change in Inventories 1,027.77 (772.73)
Change in Trade and other Receivables 379.35 26.91
Change in Trade Payables (958.47) 176.20
Cash generation from Operation 3,612.43 2,797.53
Payment under VRS - (0.32)
Payment of Direct Taxes (442.04) (657.37)
Net Cash Generated/ (used) - Operating Activities 3,170.39 2,139.84
B. CASH FLOW FROM INVESTMENT ACTIVITIES
Purchase of Fixed Assets (1,000.75) (909.01)
Sale of Fixed Assets 33.90 21.25
Purchase / Sale of shares of Subsidiaries (Net) (10,406.75) (3,136.25)
Purchase / Sale of Investments (Net) 5,506.61 (2,124.41)
Loans / Repayment of Advances & Loans from Subsidiaries (Net) (597.69) 166.25
Interest received 104.71 132.84
Dividend received 586.55 486.83
Net Cash Generated/ (used) - Investing Activities (5,773.42) (5,362.50)
C. CASH FLOW FROM FINANCING ACTIVITIES
Proceeds from issue of shares and warrants (net of expenses) 4,425.74 2,423.71
Proceeds / Repayment of Long Term Borrowings (net) (403.46) (56.83)
Proceeds / Repayment of Short Term Borrowings (net) 210.65 1,020.84
Interest and Finance Charges (668.58) (667.84)
Dividend paid (including Dividend Tax) (265.52) -
Net Cash Generated/ (used) - Financing Activities 3,298.83 2,719.88
Net Increase / (Decrease) in Cash and Cash Equivalents 695.80 (502.77)
Add : Opening Cash and Cash Equivalents 139.38 641.21
Cash acquired on Amalgamation - 0.94
Closing Cash and Cash Equivalent 835.18 139.38

Notes:
1 Closing cash and cash equivalents represent “Cash and Bank Balances” except Rs. 8.54 crore (previous year 7.59
crore) lying in designated account with scheduled banks on account of unclaimed Dividend/ Fractional coupons
of Shares, which are not available for use by the Company.
2 Figures for the previous year have been regrouped / rearrranged wherever found necessary.