DCW Ltd. - Annual Report - 2004-2005

Corporate Directory LIMITED
BOARD OF DIRECTORS AUDITORS

V. Sankar Aiyar & Co.,
Dr. Shashi Chand Jain Chartered Accountants, Mumbai.
Chairman and Managing Director
Shri Sharad Kumar Jain

Vice Chairman & Managing Director REGISTERED OFFICE
Dhrangadhra 363 315, Gujarat.
Smt. Satyawati Jain

HEAD OFFICE
“Nirmal”, 3rd Floor,
Shri F.H. Tapia Nariman Point,
Mumbai 400 021.
Dr. V.H. Joshi

BRANCH OFFICE
Shri Yuvaraj Saheb of Dhrangadhra Indra Palace, 1st Floor,
H-Block, Connaught Circus,
New Delhi 110 001.
Shri Sushil Kumar Jalan
WORKS
Shri Nirmal Kumar R. Ruia Soda Ash Division : Dhrangadhra 363 315,
Gujarat.
Caustic Soda Division : Arumuganeri P.O.,
Shri Pramod Kumar Jain Sahupuram 628 202,
Managing Director Tamil Nadu.
PVC Division : Arumuganeri P.O.,
Sahupuram 628 202,
Shri Bakul Jain Tamil Nadu.
Executive Director Salt Works : Kuda, Gujarat.
Arumuganeri P.O.,
Sahupuram 628 202,
Tamil Nadu.
BANKERS
Punjab National Bank
State Bank of Saurashtra 66th
State Bank of India Annual Report
City Union Bank Ltd. 2004-2005
ING Vysya Bank Ltd.
Note: The Balance Sheet, Profit and Loss Account and Key Financial Data are also presented in US $ on
Page Numbers 13, 14 & 15 respectively.
DCW Limited Ò Annual Report 2004-2005 1

LIMITED Directors’ Report
TO THE MEMBERS 4. Exports: of Caustic Soda was 61,420 MT
The Company’s exports increased as compared to 59,060 MT in
Your Directors present their 66th Annual
to Rs. 72.14 crores as compared to the previous year.
Report and Audited Accounts for the
Financial Year ended 31st March, 2005: Rs. 35.91 crores in the previous year. (c) Soda Ash Division:
This 101% increase in exports enabled
The turnover of the division was
the Company to take advantage of the
1. Financial Results: Rs. 122.83 crores as compared
target plus scheme offered by the
to Rs. 120.85 crores in the
31-3-2005 31-3-2004 Government of India.
(Rs. in lacs) (Rs. in lacs) previous year. The Company
5. Divisionwise Performance: produced 83,091 MT of Soda
Sales 76,967.20 69,136.91 Ash (previous year 92,475 MT),
(a) PVC Division:
16,458 MT of Soda Bi Carb
Gross Profit 4,442.24 4,241.27 The turnover of the division was (previous year 16,469 MT) and
Add: Balance Rs. 426.27 crores as compared 1,950 MT of Ammonia Bi
brought forward 2,259.85 1,261.23 to Rs. 372.90 crores, registering Carbonate (previous year 2,226
Total (A) 6,702.09 5,502.50 14% increase, mainly on MT).
Less: Provisions account of better Sales
The Company also produced
realisation. The cost of VCM in
Depreciation 2,074.46 2,312.48 25,654 MT of detergents
the international market
compared to 28,362 MT in the
Tax: Current 170.00 160.00 continued to rule high
previous year.
throughout the year bringing the
Deferred 94.46 (369.18)
margins under pressure.
Total (B) 2,338.92 2,103.30 6. New Projects:
(b) Caustic Soda Division: Seven, out of the 14 new wind mills
Balance (A) – (B) 4,363.17 3,399.20
The turnover of the division was of capacity of 11.2 MW, in the state
Rs. 217.72 crores as compared of Tamilnadu, have gone into
Appropriations: to Rs. 195.15 crores in the production and selling power to
General Reserves 1,000.00 750.00 previous year, registering a TNEB. The balance seven wind mills
growth of 12% in the sales. The are expected to be commissioned in
Dividend 414.16 345.13
increase in turnover was on the next couple of months.
Dividend account of increased exports of The Company is evaluating,
Distribution Tax 54.13 44.22 ilmenite and better realisation conversion of its Caustic Plant, from
Balance carried of Caustic Soda. The production the present Mercury Cell Technology
forward 2,894.88 2,259.85 to Membrane Cell Technology. Various
evaluations are being carried on the
2. Dividend: viability and for the execution of the
Your Directors recommend payment project. This may also result in
of Dividend at Rs. 1.20 per equity increase in production capacity apart
share of Rs. 10/- each. from cost savings.
The Company is also evaluating a
3. Operations: substantial increase in its Yellow
Sales during the year were Rs. 769.67 Synthetic Iron Oxide capacities from
crores as compared to Rs. 691.36 the present 1 MT capacity per day to
crores recorded in the previous year, 20 MT per day. Increase in ilmenite
registering a growth of 11%. The production capacity to 36,000 MT per
increase in sales was mainly due to annum is under completion.
higher sales realisation. The Gross In order to utilize the unfiltered waste
Profit for the year increased from effluent at the Soda Ash unit, the
Rs. 42.41 crores to Rs. 44.42 crores. company is undertaking a project to
The profit before tax amounted to manufacture Calcium Chloride, Edible
Rs. 23.67 crores as against Rs. 19.28 Salt and regenerate Water which is
crores in the previous year. After expected to be completed during the
providing Rs. 1.70 crores for current year.
taxes and Rs. 0.95 crores towards
deferred taxes the net profit for the year 7. Fixed Deposits:
amounted to Rs. 21.03 crores as The Company has not accepted any
against Rs. 21.38 crores. fresh Deposits during the year.
2 DCW Limited Ò Annual Report 2004-2005

LIMITED
Deposits matured but not claimed as Shri Nirmal Kumar R. Ruia on 31st 14. Cost Audit:
at the end of the financial year, January, 2005. The said Additional In accordance with the directions
amounted to Rs. 0.85 lac. None of Directors hold office till the date of received from the Department of
these deposits have been claimed the forthcoming Annual General Company Affairs, the Cost Audit of the
since then. Meeting. The Company has received Company’s Soda Ash and Caustic Soda
notices under Section 257 of the Divisions were conducted for the
8. Corporate Governance:
Companies Act 1956, from the Financial Year 2003-2004 by Cost
The report on Corporate Governance members of their intention to propose Auditors, M/s. N. D. Birla & Company
is annexed to this report. the candidature of the aforesaid and M/s. R. Nanabhoy & Company
Additional Directors for the office of respectively. Their appointments were
9. Conservation of Energy, Technology
Director. approved by the Department of
Absorption and Foreign Exchange
Earnings and Outgo: Company Affairs. The Cost Audit of
Dr. Shashi Chand Jain and Shri Sharad
these Divisions is conducted every
Information pursuant to Section 217 Kumar Jain, Directors, retire by
year and the Reports are submitted by
(1) (e) of the Companies Act, 1956, rotation at the forthcoming Annual
the Cost Auditors to the Central
read with the Companies (Disclosure General Meeting, and being eligible,
Government.
of Particulars in the Report of the offer themselves for re-appointment.
Board of Directors) Rules 1988 is set 15. Management Discussion and Analysis
out in the Annexure forming part of 13. Auditors and Auditors’ Report: Report:
this Report. M/s. V. Sankar Aiyar & Co., Chartered OUTLOOK
Accountants – Statutory Auditors
10. Particulars of Employees: The Company has diversified
of the Company retire at the
Information in accordance with operations with three business
forthcoming Annual General
Section 217 (2A) of the Companies segments viz. PVC 55%, Chlor Alkali
Meeting and are eligible for re-
Act, 1956, read with the Companies 28.5%, and Soda Ash 16.5%,
appointment. Regarding the
(Particulars of Employees) Rules, 1975 contributing to its performance. It is
qualification in the Auditors’ Report,
is set out in the Annexure forming part thus reasonably protected from the
the notes to the Accounts referred to
of this Report. vagaries of business cycles of these
in the Auditors’ Report are self-
products.
explanatory and do not call for any
11. Environment and Safety Measures: further clarification. PVC Division:
The Company is committed to The Company, one of the six producers
Industrial Safety and Environment of the PVC resin and despite
Protection and these are on going competition, has maintained its
processes at the Company’s various market share of nearly 10%. The PVC
plants. The Sahupuram Unit has been Industry continues to grow at a
granted ISO 14001 Certificate for compounded rate of 10%. Pipes,
complying with environment Cables and Films which are the major
protection and safety. user segments are showing satisfactory
growth. The new application sectors
12. Directors:
like construction and profiles have
The Company has repaid its dues to excellent potential.
Industrial Development Bank of India The de-bottlenecking and
(IDBI) and hence IDBI has withdrawn replacement of the old glass-lined
the nomination of Shri Prafull Ojha, reactors with modern stainless steel
as nominee from our Board with effect reactors have been successfully
from 6th July, 2004. completed and will result in increase
Smt. Satyawati Jain who was a in capacity to around 90,000 MT
Director of the Company resigned during current financial year.
from the Board with effect from 25th Caustic Soda Division:
October, 2004 due to personal
reasons. Smt. Satyawati Jain was The Company continues to be a major
appointed as Additional Director with player in South India with a market
effect from 31st January, 2005. share of approximately 15%. The
working of the division has been quite
The Company has also appointed two satisfactory. Due to good demand from
Additional Directors, Shri Sushil K. Alumina industry the realisation is
Jalan on 26th October, 2004 and expected to be higher during the year.

LIMITED
The demand for Caustic Soda will with proper explanation relating
increase on account of the increase to material departures;
in existing demand and new Alumina
Companies coming up in Orissa. The (b) selected such accounting
demand from 2006 onwards is likely policies and applied them
to be about 2 Million tonnes per consistently and made
annum. judgements and estimates that
are reasonable and prudent so
We have been able to establish the
as to give a true and fair view of
quality of Yellow Synthetic Iron Oxide
the state of affairs of your
which has a huge export potential.
Company at the end of financial
year and of the profit of your
Soda Ash Division:
Company for that period;
The Soda Ash Industry continues to
grow at a compounded rate of 4% to (c) taken proper and sufficient care
5% p.a. and this trend is expected to for the maintenance of adequate
continue. Due to good demand, the accounting records in
realisation of Soda Ash has gone up. accordance with the provisions
This is expected to further increase of the Companies Act, 1956 for
during the current year. safeguarding the assets of your
Company and for preventing
Internal Control Systems: and detecting fraud and other
The Company has an adequate irregularities; and
internal control procedure
(d) prepared the Annual Accounts
commensurate with the nature of its
on a going concern basis.
business and size of its operations.
Internal Audit is conducted at regular 17. Insurance:
intervals. Internal Audit is conducted
counterparts in industries. This is All the properties of the Company are
on a regular basis by an independent
basically done to enhance their skills adequately insured.
firm of Chartered Accountant.
in order to achieve an optimum output
However the Board of Directors are 18. Industrial Relations:
from them.
re-examining the scope of Internal
Audit looking into the size of The relations between the employees
Cautionary Note: and the management were cordial and
operations of the Company.
Statements in this report describing the an atmosphere of understanding
The reports of the internal audit along prevailed throughout the year. The
company’s objectives, projections,
with comments from the management Company has entered into a long-term
estimates, expectations and
are placed for review before Audit wage settlement Agreement with the
predictions may be “forward looking
Committee. The Audit Committee also workers at Sahupuram unit.
statements”. Actual results could differ
scrutinizes all the programmes and the
materially from those expressed or
adequacy of the internal controls. 19. Acknowledgement:
implied due to variation in prices of
raw materials, cyclical demand and The Board places on record their
Human Resources:
pricing in the Company’s principal grateful appreciation for the assistance
The Company has been following a markets, changes in Government and co-operation received from the
standard procedure for recruitment of regulations, tax regimes, economic Financial Institutions and the Banks.
best personnel for all the departments developments within India and other
and is making constant and incidental factors.
continuous efforts to retain and groom
them to meet its present and future 16. Directors’ Responsibility Statement:
requirements. The current strength is On behalf of the
In terms of Section 217 (2AA) of the
2,336 employees. The Company Board of Directors
Companies Act, 1956 your Directors
sponsors employees for various
have: Dr. Shashi Chand Jain
seminars on finance, operations,
marketing and human resource (a) followed in the preparation of Chairman and Managing Director
development to update their skills and the Annual Accounts, the
develop close co-ordination with their applicable accounting standards Mumbai, 28th June, 2005

Annexure to Directors’ Report
Report on Corporate Governance LIMITED
(Pursuant to Clause 49 of the Listing Agreement)
A. MANDATORY REQUIREMENTS:
1. Company’s philosophy on Code of Corporate Governance:

The Company believes in the practice of good Corporate Governance. A continuous process of delegation of powers
commensurate with accountability coupled with trust, faith and transparency has been embedded in the day to day
functioning. The Company will endeavor to improve on these aspects on an ongoing basis.
2. Board of Directors:
Ò Size of the Board

The Board of Directors of the Company consists of 10 Directors.
Ò Composition, category and their attendance at the Board meetings during the year and at the last Annual General
Meeting as also the number of other Directorships/Memberships of Committees are as follows:
Attendance Particulars
Category of Name of the Director at the Other Other Other
Directorship Board Last Directorships Committee Committee
Meetings AGM Memberships Chairmanships
Promoter/ Dr. Shashi Chand Jain 5 No 5 2 —
Executive Directors (Chairman &
Managing Director)
Shri Sharad Kumar Jain 4 No 2 — —
(Vice Chairman &
Managing Director)
Shri Pramod Kumar Jain 5 Yes 5 — —
(Managing Director)
Shri Bakul Jain 4 No 9 — —
(Executive Director)
Promoter/Non-Executive Smt. Satyawati Jain 3 No 2 — —
Director
Non-Executive and Shri Yuvaraj Saheb of 3 No — — —
Independent Directors Dhrangadhra
Shri F. H. Tapia 4 No 1 — —
Dr. V. H. Joshi 5 Yes — — —
Sushil K. Jalan** 2 N.A. 10 — —
Shri N.R. Ruia*** 1 N.A. 7 — —
Nominee Director Shri Prafull Ojha* — N.A. 2 — —
(Nominee of IDBI
as Lender)
* ceased to be a Director due to withdrawal of nomination by IDBI w.e.f. 6th July, 2004
** appointed as Additional Director w.e.f. 26th October, 2004
*** appointed as Additional Director w.e.f. 31st January, 2005
Ò No. of Board Meetings held during the year along with the dates of the meeting:
During the year five Board Meetings were held on:
27.04.2004, 21.06.2004, 29.07.2004, 26.10.2004 and 31.01.2005.
The Company placed before the Board the Annual Budget, Performance of various units and other information from
time to time as specified in Annexure I of the Listing Agreement.

LIMITED
3. Audit Committee: and such other authorities as the case may be).
Ò Terms of Reference: The remuneration is fixed considering various
factors such as qualification, experience,
The terms of reference of this Committee cover expertise, prevailing remuneration in the
the matters as specified for Audit Committees corporate world, financial position of the
under Clause 49 of the Listing Agreement as well Company etc. The remuneration Structure
as per the provisions of Section 292 A of the comprises Salary, Perquisites, Commission,
Companies Act, 1956. Contribution to Provident Fund, Super-
Ò Composition: Annuation Fund and other funds in accordance
with the provisions of the Companies Act, 1956.
The Audit Committee comprises 3 Non-
The Non-Executive Directors do not draw any
Executive Independent Directors. Dr. V.H. Joshi
remuneration from the Company besides the
is the Chairman of this Committee. Shri Yuvaraj
sitting fees for each meeting of the Board, Audit
Saheb of Dhrangadhra and Shri F.H. Tapia are
and Remuneration Committees attended by
the other members of the Committee.
them.
Ò Meetings and Attendance during the year:
Ò Details of the remuneration paid to the
The Committee met 3 times during the year and
Directors for the Financial year 2004-2005 is
the attendance of the Members at these meetings
given below:
was as follows:
Directors Salary Benefits Commis- Sitting Total
Dates of Dr. V.H. Joshi Shri F.H.Tapia Shri Yuvaraj sion Fees
Meetings Saheb of (Rs.) (Rs.) (Rs.) (Rs.) (Rs.)
Dhrangadhra Dr. Shashi
Chand Jain 18,00,000 7,94,899 33,36,092 — 59,30,991
27.04.2004 Yes Yes No
Shri Sharad
26.10.2004 Yes Yes Yes Kumar Jain 18,00,000 7,81,920 33,36,092 — 59,18,012
31.01.2005 Yes Yes Yes Shri Pramod
Kumar Jain 18,00,000 7,80,720 33,36,092 — 59,16,812
Shri Bakul Jain 18,00,000 7,89,320 33,36,092 — 59,25,412
4. Remuneration Committee: Smt. Satyawati
Jain — — — 10,000 10,000
Ò Terms of Reference: Shri F.H. Tapia — — — 25,000 25,000
The terms of reference of this Committee cover Dr. V.H. Joshi — — — 30,000 30,000
the matters as specified for Remuneration Shri Yuvaraj
Committees under Clause 49 of the Listing Saheb of
Dhrangadhra — — — 17,500 17,500
Agreement.
Shri Prafull
Ò Composition, Name of Members and Chairman: Ojha — — — — —
The Remuneration Committee comprises 3 Non- Shri Sushil K.
Jalan — — — 10,000 10,000
Executive Independent Directors. Shri F.H. Tapia
Shri Nirmal
is the Chairman of this Committee. Dr. V.H. Joshi Kumar R. Ruia — — — 5,000 5,000
and Shri Yuvaraj Saheb of Dhrangadhra are the
other members of the Committee. Shri Prafull Sitting Fees also includes payment for Board
Ojha (Nominee Director) ceased to be a Level Committee meetings.
member of this committee w.e.f. 06.07.2004 due
to the withdrawal of his nomination on the Board Dr. Shashi Chand Jain, Shri Sharad Kumar Jain,
by IDBI. Shri Pramod Kumar Jain and Shri Bakul Jain are
Ò Meetings and Attendance during the year: each entitled for commission @ 25% of the
difference between 10% of the net profits as
There was only one Remuneration Committee computed under Section 349 of the Companies
meeting during year held on 21st June, 2004 Act, 1956, in a financial year and the aggregate
and Shri F.H. Tapia and Dr. V.H. Joshi were of the salary and perquisites and benefits paid
present for the same. to all the Managing Directors and Wholetime
Ò Remuneration Policy: Director in that year subject to the overall
The Remuneration of Managing Directors and ceilings stipulated in Sections 198 and 309 of
Whole-time Director is approved by the the Companies Act, 1956.
Remuneration Committee and thereafter by the The appointments of Managing Directors/
Board (subject to the subsequent approval by Executive Director are contractual and are for a
the Shareholders at the general body meeting period of 5 years.

LIMITED
The appointment of the Managing Directors/ Directors of the Company formulated DCW
Executive Director may be terminated by either Code of Conduct for the prevention of Insider
party by giving a six-month notice. Trading in the shares of the Company by its
No severance fee is payable on termination of Directors and designated employees. The DCW
appointment. Code, inter-alia, prohibits purchase/sale of
shares of the Company by the Directors and
Non-Executive Directors are not paid/entitled designated employees, while in possession of
for any remuneration other than sitting fees. unpublished price sensitive information in
Presently the Company does not have any relation to the Company. A system has been put
Scheme for grant of any stock option either to in place and Directors/Designated Employees
the Directors or to the employees. have been advised to take pre-clearance before
purchase/sale of the Company’s shares.
5. Shareholders’/Investors’ Grievance Committee:
Shri R. Venkataraman, Chief Financial Officer
Ò Smt. Satyawati Jain, Non-executive Director is & Secretary has been appointed as the
the Chairperson of the Shareholders’/Investors’ Compliance Officer for monitoring adherence
Grievance Committee. to the Regulations for the preservation of price
Ò Shri R. Venkataraman, Chief Financial Officer sensitive information, pre-clearance of trades
& Secretary is the Compliance Officer of the and implementation of the Code of Conduct for
Company. the prevention of Insider Trading.
Ò There were 147 complaints received from the 8. Means of Communication:
shareholders during the year, which have been Ò The Quarterly results are published in ‘Financial
resolved. Express’ in all editions in India including the
Ò There were no pending share transfers at the Gujarati edition published from Ahmedabad.
close of the financial year ended 31.03.2005. These are not sent individually to the
shareholders.
6. General Body Meetings: Ò The above results are also displayed on the
Location and time of last 3 Annual General Meetings Company’s web-site viz. www.dcwltd.com
were: Ò There were no presentations made to the
Year Location Date Time institutional investors or to the analysts.
Ò The Management Discussion and Analysis report
2001-02 Dhrangadhra,
appears in para 15 of the Directors’ Report.
Gujarat 11.09.2002 11.00 a.m.
2002-03 Dhrangadhra, 9. General Shareholders information:
Gujarat 07.08.2003 11.00 a.m. ANNUAL GENERAL MEETING:
2003-04 Dhrangadhra, Ò Day & Date : Thursday, 25th August, 2005
Gujarat 12.08.2004 11.00 a.m. Ò Time : 11.00 a.m.
Ò Venue at the Registered Office
No Special Resolutions were required to be put (at Guest House No. 2) ,
through postal ballot in the last AGM nor are there Dhrangadhra,
any matters requiring postal ballot at this Meeting. Gujarat - 363 315
7. Disclosures: Financial calendar: April 2005 – March 2006:

1. During the year, there were no transactions of First Quarter results
ending 30th June 2005 : last week of July, 2005
material nature with the Promoters, Directors
Second Quarter results
or the management or relatives etc. that may
ending 30th September
have potential conflict with the interest of the 2005 : last week of October,
Company at large. 2005
2. During the last three years, there were no Third Quarter results
strictures or penalties imposed by either SEBI or ending 31st December
the Stock Exchanges or any other statutory 2005 : last week of January,
authority for non-compliance of any matter 2006
Last Quarter results
related to the Capital Market.
ending 31st March
3. DCW Code of Conduct for Prevention of Insider 2006 : last week of April, 2006
Trading: Date of Book closure : Thursday, 18th August,
In accordance with the Securities and Exchange 2005 to Thursday 25th
Board of India (Prohibition of Insider Trading) August, 2005
Regulations, 1992 as amended, the Board of (both days inclusive).

LIMITED
Listing on Stock Exchanges: Stock Performance (Indexed):
The Company’s shares are listed with the following The performance of the Company’s shares relative to
Stock Exchanges: BSE Sensex is given in the chart below:
Ò The Mumbai Stock – Phiroze Jeejeebhoy Towers,

Exchange (BSE) Dalal Street, Mumbai 400 023
Ò National Stock – Exchange Plaza Bldg.,
Exchange of 5th floor, Plot No. C-1,
India Limited ‘G’ Block, Bandra-Kurla
(NSE) Complex, Near Wockhardt,
Mumbai 400 051
Annual Listing fees as prescribed has been paid to
the above Stock Exchanges for the year 2005-2006.
GDRs of the Company are listed with the Luxembourg
Stock Exchange
Stock Code : 117 (BSE), DCW (NSE)
Demat ISIN Nos. : INE 500A01011 (Fully Paid) Registrar and Share Transfer Agents:
9500 A01019 (Partly Paid) The Company has appointed Bigshare Services
Pvt. Ltd., E/2, Ansa Industrial Estate, Sakivihar Road,
Share Transfers and : Bigshare Services Pvt. Ltd.,
Saki Naka, Andheri (East), Mumbai 400 072 as
Other Communica- (Unit DCW Ltd.,)
Registrars and Share Transfer Agents of the Company.
tions may be E/2, Ansa Industrial Estate,
Addressed to Sakivihar Road, Saki Naka, The Company’s shares are traded in the Stock
Andheri (East), Exchanges compulsorily under demat mode. All the
Mumbai 400 072. applications received for transfer of physical shares
email: bigshare@sify.com are approved by the Share Transfer Committee, which
normally meets twice in a month depending on the
Investors’ complaints : Chief Financial Officer & volume of transfers. Share transfers are registered and
may be Secretary returned normally within 20 days from the date of
Addressed to DCW Limited lodgement, if documents are complete in all respects.
Nirmal, 3rd floor,
Nariman Point, Distribution of shareholding as on 31.03.2005:
Mumbai 400 021
No. of Shares SHAREHOLDERS SHAREHOLDING
Market price data : held Nos. % Nos. %
High/Low During each month in last Financial year: Upto 250 3,280 12.73 31,763 0.09
251 - 500 3,751 14.56 1,64,465 0.48
NSE BSE
Month/Year 501 - 1000 5,737 22.27 5,17,747 1.50
High Low High Low 1001 - 2000 4,518 17.54 7,62,031 2.20
(Rs.) (Rs.) (Rs.) (Rs.)
2001 - 3000 1,884 7.31 5,02,441 1.46
April 2004 27.75 22.40 27.95 22.40 3001 - 4000 1,062 4.13 3,89,347 1.13
May 2004 26.00 18.05 25.75 18.50 4001 - 5000 1,699 6.60 8,31,521 2.41
5001 - 10000 2,063 8.02 16,65,886 4.83
June 2004 22.00 18.10 21.50 17.60
10001& above 1,762 6.84 2,96,48,133 85.90
July 2004 26.80 18.65 26.90 19.00 TOTAL 25,756 100.00 3,45,13,334 100.00
August 2004 25.50 20.75 25.50 21.00 Shareholding Pattern as on 31.03.2005:
September 2004 29.00 23.85 28.80 23.95 Percent-
October 2004 32.30 26.25 32.40 26.10 Shareholder No. of age of
Shares Capital
November 2004 41.50 31.45 41.35 31.45 Foreign Investors:
December 2004 53.20 36.00 53.25 35.50 Non-resident individuals/OCBs 2285843 6.62
FII’S 1354520 3.92
January 2005 47.90 36.10 47.90 37.50 Non-Domestic Company 1184 0.01
February 2005 44.60 38.10 44.65 38.05 Shares Underlying GDR’s 1070000 3.10
March 2005 44.00 30.10 43.45 33.70 Total Foreign Holding 4711547 13.65

LIMITED
Percent- Outstanding GDRs/ADRs/Warrants/convertible

Shareholder No. of age of instruments etc.:
Shares Capital Outstanding GDRs as on 31st March, 2004 represent
1070000 shares (3.10%). There are no further
Indian Institutions
outstanding instruments, which are convertible into
Life Insurance Corpn. of India 1673283 4.85 equity in the future.
Unit Trust of India 3350 0.01
Banks 18966 0.05 Plant Location:
Mutual Funds 6241 0.02 Given in the 1st page of this Annual Report.
Others 498956 1.44
Address for correspondence:
Total Indian Institutions Holding 2200796 6.37
DCW Limited, Nirmal, 3rd floor, Nariman Point,
Indian Bodies Corporate Mumbai – 400 021.
Domestic Companies 2630355 7.63
Other Non-nationalised Banks 578 0.01
B. NON-MANDATORY REQUIREMENTS:
Total Indian Bodies Corporate Holding 2630933 7.64
1. Chairman of the Board:
Directors & Relatives 5768864 16.71
The Company has an Executive Chairman and hence
Companies Associated with Directors 8769776 25.41
the requirement pertaining to reimbursement of
Other Indian Investors 10431418 30.22
expenses to a Non-Executive Chairman does not arise.
GRAND TOTAL 34513334 100
2. Remuneration Committee:
Dematerialisation of shares: Please refer Item No. 4 under the heading ‘Mandatory
Requirements’.
31542577 Equity shares held by 13678 Shareholders
comprising 91.39% of the paid up Share Capital have 3. Shareholders’ Rights:
been dematerialised as on 31st March, 2005.
As the Company’s Quarterly results are published in
English Newspaper having circulation all over India
and in a Gujarati Newspaper circulated in Gujarat,
the same are not sent to each household of
shareholders.
4. Postal Ballot:
The provisions relating to Postal Ballot will be
complied with in respect of matters where applicable.
Auditors Certificate on Clause 49 Compliance

To The Members of complied with the conditions of Corporate Governance as
DCW LIMITED stipulated in the above mentioned Listing Agreement.
We have examined compliance of conditions of Corporate As required by the Guidance Note on Certification of Corporate
Governance by DCW Ltd. for the year ended 31st March, 2005, Governance issued by the Institute of Chartered Accountants of
as stipulated in Clause 49 of the Listing Agreement of the said India, we state that the registrars of the Company have certified
Company, with the Stock Exchanges. that as on 31st March, 2005 there were no investor grievances
remaining unattended pending for a period exceeding one
The compliance of conditions of corporate governance is the month.
responsibility of the management. Our examination was limited
to a review of the procedures and implementation thereof, We further state that such compliance is neither an assurance
adopted by the Company for ensuring the compliance with the as to the future viability of the Company nor the efficiency or
conditions of the Corporate Governance. It is neither an audit effectiveness with which the management has conducted the
nor an expression of opinion on the financial statements of the affairs of the Company.
Company.
For V. Sankar Aiyar & Co.,
In our opinion and to the best of our information and according Chartered Accountants
to the explanations given to us, except that during the period
6th July, 2004 to 26th October, 2004 the number of independent S. Venkatraman
directors on the Board of Directors was less than the required Partner
number as prescribed in clause 49(1)(A) of the Listing Agreement,
which we are informed was due to the withdrawal by IDBI of Place : Mumbai
its Nominee Director, we certify that the said Company has Date : June 28, 2005

Annexure to the
LIMITED Directors’ Report
STATEMENT CONTAINING PARTICULARS PURSUANT TO THE COMPANIES (DISCLOSURE OF PARTICULARS IN THE REPORT
OF BOARD OF DIRECTORS) RULES, 1988 AND FORMING PART OF THE DIRECTORS REPORT.
A. CONSERVATION OF ENERGY :
1. Installation of Supermizers
Supermizers, the Electronic devise to reduce energy consumption in three phase induction motors, are being used
continuously in all plants to save energy and so far 236 Supermizers have been installed resulting in saving of 43 lacs units
during the year.
2. Other energy saving measures are being used such as installation of Asian e+ Tubelights with longer life and high lumins.
Each tube consumes 28 watts as compared to conventional tubelights that consume 53 watts. The Company has started
conversion programme in a phased manner to replace inefficient tubelights and also inefficient mercury and sodium vapor
lamps were replaced by highly efficient metal haldies lamps and so far 3175 nos. of lights have been installed resulting in
an annual energy savings of about 6.5 lacs units.
3. The existing 3 MVA transformer was replaced by low loss 2 MVA transformer resulting in an annual energy savings of about
6.5 lacs units.
4. Eight nos. of Cooling Towers without fan and gear box which save energy and also reduce maintenance cost have been
installed and annual energy saving to the tune of 11 lacs units is achieved.
5. In CPP, the alternator hot air was diverted outside the building through ducts, resulting in drop in the energy room temperature
and subsequent power savings to the tune of Rs. 30 lacs.
6. In-house Cost Improvement Programmes are conducted periodically where mostly energy saving proposals are given by all
the Departments for implementation. During the year under report 5 programmes have been conducted and about
80 suggestions have been implemented resulting in annual saving of about Rs. 110 lacs.
B. TECHNOLOGY ABSORPTION :
Research and Development:
1.1 BENEFICIATED ILMENITE AREA:
1.1.1 High Pressure leaching to reduce cycle time and acid consumption in BI process.
As reported last year, experimental trial runs have proved successful resulting in reduction in acid consumption and
cycle time by about 25%. By this modified process, apart from higher productivity in digesters, fair amount of
effluent reduction will also be achieved. Suitable hardware for the modified leaching process were installed for
6 digesters as first phase during 2003-04. For remaining digesters, installation of necessary materials was completed
by October 2004.
1.1.2 BI fines recovery system
A system consisting of lamella clarifier, tanks with agitators, floculant dosing arrangement etc. was designed and
installed to completely recover BI fines from leach liquor resulting in the capacity of existing filter presses being
doubled.
1.2 Iron Oxide area
1.2.1 Use of carbide drums for iron reaction
Carbide drums were used due to which procurement of scrap is totally avoided and there is substantial reduction in
the cost of production of iron oxide.
1.2.2 Use of oxygen in place of air for crystal reaction
Lab scale and plant scale experiment were conducted and encouraging results were obtained. Oxygen was used in
place of air for crystal reaction resulting in the reaction time reducing to nearly half which in turn reduces the
requirement of reactors when the plant is expanded.
1.3 Caustic Soda Area
1.3.1 Modernisation of cells in phased manner continued. During the year under report, 9 Cells have been completed.
1.3.2 Demercurisation plant was designed and installed to reduce the mercury content in caustic lye and hydrogen. The
CPCB norms are maintained with the commissioning of the demercurisation plant.
1.4 PVC
1.4.1 To increase PVC production capacity to 90,000 TPA, 4 Nos. SS reactors (3 Nos. towards replacement of existing glass
lined reactors and 1 No. additional) were ordered. 3 Nos. were erected and commissioned during November 2004.
The 4th reactor was commissioned in May 2005.
1.4.2 As reported last year, use of indigenous catalyst in place of imported catalyst is continued. There is a substantial
reduction in cost of additive chemicals.
1.4.3 In-house re-engineering efforts, reduction of inputs (VCM, power etc.) for manufacturing PVC was achieved and
annual savings to the tune of Rs. 40 lacs achieved.

LIMITED
1.5 Captive Power Plant

1.5.1 The economizers were upgraded by increasing heating surface resulting in additional steam production of 30 MT per
day and annual savings of Rs. 70 lacs
1.5.2 PLC system was installed to improve condition monitoring and to avoid major breakdowns.
2. EXPENDITURE ON RESEARCH & DEVELOPMENT:
(i) Capital Rs. 150.60 lacs
(ii) Recurring Rs. 7.18 lacs
Rs. 157.78 lacs
(iii) Total Research & Development Expenditure as a percentage of total turnover (Net of Excise) : 0.23 percent.
Technology Absorption, Adaptation and Innovation :
Continuos efforts are made towards technology absorption, adaptation and innovation. The emphasis is on improving the
quality of the finished products and reducing energy consumption.
C. FOREIGN EXCHANGE EARNINGS AND OUTGO :
Particulars regarding foreign exchange earnings and outgo appear in Schedule 6 forming part of the Profit and Loss Account.
REQUISITE DATA IN RESPECT OF ENERGY CONSUMPTION
(A) Power and Fuel Consumption
Caustic Soda Unit PVC Unit Soda Ash Unit

Particulars Current Previous Current Previous Current Previous
Year Year Year Year Year Year
2004-2005 2003-2004 2004-2005 2003-2004 2004-2005 2003-2004
1. ELECTRICITY
(a) Purchased
Unit (Lakh Kwh) 0.19 8.28 2.79 2.93 44.84 44.19
Total Amount 14.23 62.28 20.31 24.64 231.25 225.70
(Rs. In Lakhs)
Rate/Unit (Rs.) *73.71 7.52 7.29 8.41 5.16 5.11
(b) Own Generation
(i) Through
Diesel
Generator
Unit (Lakh
Kwh) 2078.02 2008.47 180.25 192.18 — —
Unit/ltr of 4.39 4.31 4.39 4.31 — —
LSHS/Diesel
Oil
Cost/Unit (Rs.) 3.14 3.17 3.14 3.17 — —
(ii) Through Steam
Turbine Generator
Unit (Lakh Kwh) — — — — 238.41 250.05
Unit/ltr of Fuel — — — — — —
Oil/Gas
Cost/Unit (Rs.) — — — — — —
2. FURNACE OIL/LSHS/
LSFO/ADDTITIVE
Quantity (Kl) 51417.31 51102.69 3335.55 2571.11 — —
Total Amount 5387.25 5251.12 349.86 263.76 — —
(Rs. in Lakhs)
Average Rate (Rs.) 10189.80 10177.09 10488.75 10258.68 — —
3. OTHERS
(i) Hydrogen
Quantity (MT) 450.514 382.734 — — — —
Total Amount 130.89 111.20 — — — —
(Rs. in lakhs)
Rate/Unit (Rs.) 29053.70 29053.70 — — — —
*Inclusive of Fixed Minimum demand charges per KVA to be paid irrespective of drawal of Power.

LIMITED
Caustic Soda Unit PVC Unit Soda Ash Unit
Particulars Current Previous Current Previous Current Previous

Year Year Year Year Year Year
2004-2005 2003-2004 2004-2005 2003-2004 2004-2005 2003-2004
(ii) Lignite
Quantity (MT) — — — — 108558 111460
Total Amount — — — — 1377.84 1216.07
(Rs. in Lakhs)
Rate/Unit (Rs.) — — — — 1269.00 1091.00
(iii) HSD
Quantity (MT) 19.09 21.03 8.16 1.70 — —
Total Amount 12.10 12.10 5.17 0.98 — —
(Rs. in lakhs)
Rate/Unit (Rs.) 63397.40 57571.79 63397.40 57571.79 — —
(B) Consumption per unit

of Production
Electricity (Kwh) 3005 3020 233.00 239.00 240.00 229.00

Fuel Oil (MT) 0.083 0.081 0.083 0.032 — —
– Hydrogen (Kgs.) 21.90 20.05 — — — —
– LSHS (MT) — — — — — —
– Lignite (MT)— — — — 0.923 0.898 —
– HSD (Litre) 0.0001 0.0001 — — — —
Annexure to the Directors’ Report

Information as per Section 217(2A) of the Companies Act, 1956, read with the Companies
(Particulars of Employees) Rules, 1975 and forming part of the Directors’ Report
Sr. Name Designation/ Remune- Qualification Experience Date of Age Last employment held.
No. Nature of Duties ration commence- Name of the Company,
ment of Designation
Employment and Period of Service
(Rupees) (Years) (Years)
Employed for whole of the year

1 Dr. Shashi Chand Jain Chairman & 5,930,991 Ph.D (Economics) 49 01.04.1969 72 Sahu Brothers (Saurashtra)
Managing Director Pvt. Ltd.
Director - 11 years
2 Shri Sharad Kumar Jain Vice Chairman & 5,918,012 B.A. (Hons.) Economics 47 01.04.1969 70 Sahu Brothers (Saurashtra)
Managing Director Pvt. Ltd.
Director - 11 years
3 Shri Pramod Kumar Jain Managing Director 5,916,812 B.A. (Hon.) Economics 46 01.04.1969 67 Sahu Brothers (Saurashtra)
Pvt. Ltd.
4 Shri Bakul Jain Executive Director 5,925,412 B.Com., MBA 21 01.09.1984 50 —
Employed for part of the year
1 Shri C. V. Subramanian Chief Financial 1,649,260 B.Com., ACA, 20 21.10.2002 48 Sr. General Manager –
Officer Grad CWA Finance & Taxation
Sterlite Opticals Ltd.
2 Shri S. Viswanathan Steno Secretary 490,085 S.S.L.C 34 20.01.1968 58 —

3 Shri A. S. Jhala Sr. Dy. General 437,236 B.Sc. 36 18.03.1968 60 —
Manager (Process)
4 Shri P. Arumairaj Dy. General 213,946 M.Sc., PGDPM & IR 11 16.11.1992 44 —
Manager (Salt)
5 Shri C. Sankaranarayanan J O (Time Office) 264,800 PUC 34 20.11.1969 58 —
6 Shri G. Srinivasan Vice President 225,840 ACA 30 08.05.1998 51 Al-Khaleej Ceramics, Dubai
(Works) - 1 yr. 6 mths.
Notes :
1. The gross remuneration shown above (subject to tax) comprise salary, perquisites, Company’s contribution to Provident Fund , Superannuation
Fund and Gratuity Fund.
In case of Managing Directors & Executive Director, the Remuneration also includes Commission.
2. The nature of employment of the Managing Directors & the Executive Director is contractual.
3. Dr. Shashi Chand Jain, Shri Sharad Kumar Jain and Shri Pramod Kumar Jain - Managing Directors and Shri Bakul Jain - Executive Director, are
related to Smt. Satyawati Jain - Director of the Company.

Balance Sheet LIMITED
AS AT 31ST MARCH, 2005

As at As at
31/03/2005 31/03/2004
US $ in Millions* US $ in Millions#
SOURCES OF FUNDS
Shareholders’ Funds :
Capital 7.89 7.92
Reserves and Surplus 42.44 39.00
Loan Funds :
Secured Loans 16.37 9.88
Unsecured Loans 0.02 0.38
Deferred Tax Liability:
Deferred Tax Liability 12.93 12.77
Deferred Tax Asset –1.55 –1.55
11.38 11.22
TOTAL 78.10 68.40
APPLICATION OF FUNDS
Fixed Assets :
Gross Block 119.32 115.58
Less : Depreciation 61.42 57.35
57.90 58.23
Capital Work-in-progress 8.10 2.87
66.00 61.10
Investments 0.19 0.09
Current Assets, Loans and Advances :
Inventories 18.25 22.15
Sundry Debtors 11.24 9.40
Cash and Bank Balances 0.84 0.70
Loans and Advances 11.35 3.90
41.68 36.15
Less: Current Liabilities and Provisions
Liabilities 28.02 27.46
Provisions 1.75 1.48
29.77 28.94
Net Current Assets 11.91 7.21
TOTAL 78.10 68.40
* One US $ = Rs. 43.75

# One US $ = Rs. 43.56

LIMITED Profit and Loss Account
FOR THE YEAR ENDED 31ST MARCH, 2005
For the year ended For the year ended
31/03/2005 31/03/2004
US $ in Millions* US $ in Millions#
INCOME
Sales (including Excise Duty) 175.93 158.72

Less: Excise Duty 21.61 19.65
154.32 139.07
Other Income 2.12 1.10

156.44 140.17
EXPENDITURE
Manufacturing and Other Expenses 146.11 129.73

Interest & Finance Charges 0.16 0.71
146.27 130.44
Profit before Depreciation 10.17 9.73
Depreciation 4.74 5.31
Profit Before Tax 5.43 4.42
Provision for Tax

Current Tax 0.39 0.37
Deferred Tax 0.22 –0.85
Profit After Tax 4.82 4.90
Add : Surplus brought forward from last year 5.17 2.90
9.99 7.80
APPROPRIATION
Transfer to General Reserve 2.29 1.72

Proposed Dividend on Equity Shares 0.95 0.79
Provision for Dividend Distribution Tax 0.12 0.10
Profit Carried Forward 6.63 5.19
* One US $ = Rs. 43.75

# One US $ = Rs. 43.56

Key Financial Data LIMITED
2004-2005 2003-2004
Rs. in US $ in Rs. in US $ in
Millions Millions* Millions Millions#
Gross Sales 7,696.72 175.93 6,913.69 158.72
Fixed Assets – Gross Block 5,220.05 119.32 5,034.55 115.58
Net Block 2,887.26 65.99 2,661.44 61.10
Export Earnings 721.41 16.49 359.12 8.24
Earnings Before Depreciation and Interest 451.42 10.32 455.01 10.45
Interest 7.19 0.16 30.89 0.71
Earnings Before Depreciation 444.23 10.15 424.12 9.74
Depreciation 207.45 4.74 231.25 5.31
Earnings Before Tax 236.78 5.41 192.87 4.43
Taxation
Current 17.00 0.39 16.00 0.37
Deferred 9.45 0.22 (36.92) (0.85)
Earnings After Tax 210.33 4.81 213.79 4.91
No. of shares of Rs. 10/- each (Million Nos.) 34.51 34.51 34.51 34.51
Earnings per Share 6.09 0.14 6.20 0.14
Net Worth (Excl. Revaluation Reserve) 2,063.84 47.17 1,899.22 43.62

Book value per share 59.80 1.37 55.05 1.26
Gross profit to sales (%) 5.77 5.77 6.13 6.13

(Earnings Before Depreciation)
Interest coverage Ratio 62.78 62.78 14.73 14.73
Debt/Equity 1:2.94 1:2.94 1:4.25 1:4.25
Current Assets/Current Liabilities 1:40 1:40 1.25 1.25
* 1 US $ = Rs. 43.75
# 1 US $ = Rs. 43.56

LIMITED Auditor’s Report
AUDITOR’S REPORT TO THE sub-section (4A) of Section 227 of the record by the Board of Directors,
SHAREHOLDERS OF DCW LIMITED Companies Act, 1956, we enclose in we report that none of the
the Annexure a statement on the Directors are disqualified as on
matters specified in paragraphs 4 and 31st March 2005 from being
1. We have audited the attached
5 of the said Order. appointed as a Director in terms
Balance Sheet of DCW Limited as at
of clause (g) of sub-section (1)
31st March, 2005 and also the Profit
of Section 274 of the Companies
and Loss Account and Cash Flow 4. Further to our comments in the
Act, 1956;
Statement of the Company for the Annexure referred to in paragraph 3
year ended on that date, annexed above, we report that:
(vi) In our opinion and to the best
thereto. These financial statements
of our information and
are the responsibility of the (i) We have obtained all the according to the explanations
Company’s Management. Our information and explanations given to us, the said accounts
responsibility is to express an opinion which to the best of our
on these financial statements based subject to Note No. B-17 of
knowledge and belief, were
on our Audit. Schedule ‘N’ to the Accounts,
necessary for the purpose of our which has the effect of not
audit;
2. We conducted our audit in disclosing the respective
accordance with auditing standards liabilities/assets indicated
(ii) In our opinion, proper books
generally accepted in India. Those therein and showing the total
of account as required by law,
Standards require that we plan and assets and liabilities lesser to the
have been kept by the Company
perform the audit to obtain extent of Rs. 4217.63 lacs, and
so far as appears from our
reasonable assurance about whether read with the Significant
examination of those books;
the financial statements are free of Accounting Policies and other
material misstatement. An audit notes thereon, give the
(iii) The Company’s Balance Sheet,
includes examining, on a test basis, information required by the
Profit and Loss Account and
evidence supporting the amounts Companies Act, 1956 in the
Cash Flow Statement dealt
and disclosures in the financial manner so required and give a
with by this Report are in
statements. An audit also includes true and fair view in conformity
agreement with the books of
assessing the accounting principles with the accounting principles
account;
used and significant estimates made generally accepted in India:
by management, as well as evaluating (iv) In our opinion, the Balance (a) In the case of the Balance
the overall financial statement Sheet, Profit and Loss Account Sheet, of the state of affairs
presentation. We believe that our and Cash Flow Statement dealt of the Company as at 31st
audit provides a reasonable basis for with by this report comply with March, 2005,
our opinion. the Accounting Standards
(b) In the case of the Profit and
referred to in sub-section (3C)
Loss Account, of the profit
3. As required by the Companies of Section 211 of the Companies
for the year ended on that
(Auditor’s Report) Order, 2003 and Act, 1956, to the extent
date, and
read together with the Companies applicable;
(Auditor’s Report) Amendment Order, (c) In the case of the Cash
2004 (hereinafter referred to as the (v) On the basis of written Flow Statement of the cash
Order) issued by the Central representations received from flows for the year ended on
Government of India in terms of the Directors and taken on that date.
For V. Sankar Aiyar & Co.,

Chartered Accountants.
S. Venkatraman
Place : Mumbai Partner
Dated : June 28, 2005 Membership No. 34319

LIMITED
ANNEXURE REFERRED TO IN (c) In our opinion, the company is applicable as there are no such
PARAGRAPH 3 OF AUDITOR’S REPORT maintaining proper records of transactions exceeding the
TO THE SHAREHOLDERS OF DCW inventories and no material value of Rupees Five Lacs in
LIMITED ON THE ACCOUNTS FOR discrepancies were noticed respect of any party in the
THE YEAR ENDED 31ST MARCH, 2005. on physical verification as financial year.
compared to the record of
inventories. vi. In our opinion and according to the
i. (a) The Company has maintained
information and explanations given
proper records, except in
iii. Based on the audit procedures to us, the company has complied
respect of Pantape Division,
applied by us and according to the with the provisions of the Sections
showing particulars including
information and explanations given 58A, 58AA and other relevant
quantitative details and
to us, the company has not granted provisions of the Companies Act,
situation of fixed assets.
or taken any loans, secured or 1956 and the rules framed
unsecured, to/from companies, firms thereunder, with regard to deposits
(b) We are informed that the accepted from the public.
or other parties listed in the register
fixed assets, except in respect
maintained under Section 301 of the
of Pantape Division, have We are informed by the
Companies Act, 1956.
been physically verified by Management that no order has been
the Management with the passed by the Company Law Board
assistance of external agencies iv. In our opinion and according to the
or National Company Law Tribunal
during the year. In our opinion information and explanations given
or Reserve Bank of India or any Court
the frequency of verification to us, having regard to the
or any other Tribunal under Sections
is reasonable. As per the explanation that for purchase of
58A and 58AA of the Companies
information given to us by the certain raw materials, stores, and
Act, 1956.
management, no material components, alternative sources of
discrepancies as compared to supply are limited with reference to vii. The Company has, in general, an
book records were noticed in quality, delivery schedules, credit internal audit system commensurate
respect of fixed assets verified period and some of the items with the nature of the Company’s
during the year. purchased are of special nature, and business. However, the scope of
hence comparable alternative internal audit needs to be enlarged
quotations are not available for keeping in mind the size of the
(c) Since there is no disposal of a
these, there are adequate internal Company’s business.
substantial part of fixed assets
control procedures commensurate
during the year, the preparation
with the size of the Company and viii. We have broadly reviewed the books
of financial statements on a
the nature of its business for the of account maintained by the
going concern basis is not
purchase of inventories and fixed company pursuant to the rules made
affected on this account.
assets and for the sale of goods and by the Central Government for the
services. During the course of our maintenance of cost records under
ii. (a) The inventories of finished audit, we have not observed any Section 209(1)(d) of the Companies
goods (except goods lying with continuing failure to correct major Act, 1956 and are of the opinion
consignees and in transit), weaknesses in the internal control that, prima facie, the prescribed
stores, spare parts and raw system. accounts and records have been
materials have been physically
made and maintained. We have not,
verified by the management
v. (a) Based on the audit procedures however, made a detailed
with the help of external
applied by us, to the best of our examination of these records with a
agencies. In our opinion, the
knowledge and belief and view to determine whether they are
frequency of physical
according to the information accurate or complete.
verification is reasonable.
and explanations given to us,
particulars of contracts or ix. (a) According to the records of the
(b) In our opinion, the procedures arrangements referred to in company, undisputed statutory
of physical verification of Section 301 of the Companies dues including provident fund,
inventories (except finished Act, 1956, have been entered investor education and
goods lying with consignees in the register required to protection fund, employees’
and in transit) followed by the be maintained under that state insurance, income tax,
management are reasonable Section. sales tax, wealth tax, service
and adequate in relation to the tax, custom duty, excise duty,
size of the company and the (b) Sub clause (b) of sub-para (v) cess and other material
nature of its business. of para 4 of the Order is not statutory dues that are required

LIMITED
to be deposited regularly with x. The company does not have any Therefore the provisions of sub para
authorities, have generally accumulated losses at the end of the (xiii) of para 4 of the Order are not
been regularly deposited with financial year. The company has not applicable to the Company.
the appropriate authorities. incurred any cash losses during the
According to the information financial year covered by our audit
xiv. In respect of shares, securities and
and explanations given to us, and the immediately preceding
other investments dealt in or traded
no undisputed amounts in financial year.
by the Company, proper records
respect of the aforesaid
xi. On the basis of verification of have been maintained of the
statutory dues were in arrears,
records and according to the transactions and contracts and
as at 31st March, 2005, for a
information and explanations given timely entries have been made
period of more than six months
to us, the Company has not defaulted therein. All the investments are held
from the date they became
in repayment of dues to Financial by the Company in its own name
payable.
Institutions/Banks or Debenture except to the extent of the exemption
holders. granted under Section 49 of the
(b) According to the information
Companies Act, 1956.
and explanations given to us xii. The Company has not granted
and the records of the any loans and advances on the basis
company, the dues of sales tax/ of security by way of pledge of xv. According to the information and
income tax/customs duty/ shares, debentures and other explanations given to us, the
wealth tax/service tax/excise securities. Company has not given any
duty/cess, which have not been guarantee for any loans taken by
deposited on account of any xiii. The Company is not a chit fund or a others from any bank or financial
dispute are as follows:- nidhi or a mutual benefit society. institution.
(Rs. in lacs)
Name of the Statute/ Period Forum where Dispute is pending

Nature of Dues
Supreme High Appellate Appellate State Grand
Court Court Tribunal* Authority** Govern- Total
ment
Customs Act, 1962 (Customs Duty 1998 to 2005 — 31.26 ***111.72 — — 142.98
Including Penalty & Interest,
wherever applicable)
Central Excise Act, 1944 (Excise Duty 1977 to 2005 — — 346.96 6.83 353.79
Including Penalty & Interest,
Finance Act, 1994 (Chapter V) July/August

— Service Tax 1999 — — 0.82 — — 0.82
Sales Tax Legislations 1982-1999 — 2.57 542.60 40.29 — 585.46

(Sales Tax, including Penalty
& Interest, wherever applicable)
Local cess, Local cess surcharge 1989-1993 — — — — 12.69 12.69

(Land Revenue Including
Penalty & Interest,
Grand Total 33.83 1002.10 47.12 12.69 1095.74
*Appellate Tribunal includes STAT, CESTAT and ITAT

**Appellate Authority includes Commissioner Appeals, Assistant Commissioner Appeals, Deputy Commissioner Appeals, Joint
Commissioner Appeals and Deputy Commissioner Commercial Taxes Appeals.
*** Appeal being filed.

LIMITED
xvi. In our opinion, the term loans taken maintained under Section 301 of the procedure and utilised for availing
during the year have, prima facie, Companies Act, 1956. duty exemption of Rs. 95,29,591 on
been applied for the purpose for imports, were reported by the
which they were raised. xix. The Company has not issued any Customs as not being genuine.
debentures during the year and Based on legal opinion obtained,
xvii. According to the information and therefore the question of creating that the claim of the custom
explanations given to us, based on security or charge in respect thereof authority is time barred, the
an overall examination of the does not arise. company proposes to contest the
balance sheet of the Company, order before the appellate tribunal.
related information made available xx. The Company has not made any
to us and as represented to us by the public issue of any securities during
Management, funds raised on short the year and therefore the question For V. Sankar Aiyar & Co.,
term basis have, prima facie, not of disclosing the end-use of money Chartered Accountants.
been used during the year for long raised by any public issue does not
term investment. arise. S. Venkatraman
xxi. As represented to us by the Partner
xviii. The Company has not made any Membership No. 34319
Management, DEPB licenses that
preferential allotment of shares Place : Mumbai
were purchased in the market in
during the year to parties and
accordance with the prescribed Dated : June 28, 2005
companies covered in the register

LIMITED Balance Sheet
AS AT 31ST MARCH, 2005
Schedule As at As at
31/03/2005 31/03/2004
Rs. in lacs Rs. in lacs
SOURCES OF FUNDS
Shareholder’s Funds :
Capital A 3,450.93 3,450.76
Reserves and Surplus B 18,567.96 16,987.25
Loan Funds :
Secured Loans C 7,163.52 4,303.76
Unsecured Loans D 6.94 166.73
Deferred tax liability :
(Refer Note B–5 of Schedule–N)
Deferred tax liability 5,658.48 5,563.83
Less : Deferred tax asset (677.81) (677.62)
4,980.67 4,886.21
12,151.13 9,356.70
TOTAL 34,170.02 29,794.71
APPLICATION OF FUNDS
Fixed Assets :
Gross Block E 52,200.45 50,345.52
Less : Depreciation 26,872.09 24,979.53
25,328.36 25,365.99
Capital Work-in-progress 3,544.25 1,248.38
28,872.61 26,614.37
Investments F 85.01 39.41
Current Assets, Loans and Advances
Inventories G 7,985.57 9,647.30
Sundry Debtors H 4,919.30 4,095.74
Cash and Bank Balances I 366.38 303.55
Loans and Advances J 4,964.16 1,521.18
18,235.41 15,567.77
Less : Current Liabilities and Provisions
Liabilities K 12,257.42 11,781.90
Provisions L 765.59 644.94
13,023.01 12,426.84
Net Current Assets 5,212.40 3,140.93
Contingent Liabilities not provided for M
Significant Accounting Policies and N
Notes forming part of
Balance Sheet and Profit and Loss Account
TOTAL 34,170.02 29,794.71
As per our Report attached For and on behalf of the Board
Dr. Shashi Chand Jain Satyawati Jain

For V. Sankar Aiyar & Co. Chairman & Managing Director
F. H. Tapia
Chartered Accountants Sharad Kumar Jain
Vice Chairman & Managing Director Dr. V. H. Joshi
S. Venkatraman
Pramod Kumar Jain Yuvraj Saheb of Dhrangadhra
Partner
Managing Director Directors
R. Venkataraman
Place : Mumbai Chief Financial Officer & Bakul Jain
Date : 28th June, 2005 Secretary Executive Director

Profit and Loss Account LIMITED
FOR THE YEAR ENDED 31ST MARCH, 2005

Schedule For the year ended For the year ended
31/03/2005 31/03/2004
INCOME
Sales & Self Consumption ‘1’ 76,967.20 69,136.91
Less: Excise Duty (9,455.38) (8,558.59)
Net Sales 67,511.82 60,578.32
Other Income ‘2’ 927.29 477.65
68,439.11 61,055.97
EXPENDITURE
Manufacturing and Other Expenses ‘3’ 63,924.96 56,505.85
Interest & Finance Charges (Net) ‘4’ 71.91 308.85
63,996.87 56,814.70
Depreciation ‘5’ 2,074.46 2,312.48
66,071.33 59,127.18
Profit before tax 2,367.78 1,928.79
Provision for taxation
Current 170.00 160.00
Deferred (Refer Note B-5 of Schedule-N) 94.46 (369.18)
Profit after tax 2,103.32 2,137.97
Add : Surplus brought forward from last year 2,259.85 1,261.23
Available for appropriation 4,363.17 3,399.20
APPROPRIATION
Transfer to General Reserve 1,000.00 750.00
Proposed Dividend on Equity Shares 414.16 345.13
Tax on Dividend 54.13 44.22
1,468.29 1,139.35
Profit Carried Forward 2,894.88 2,259.85
Notes to Profit & Loss Account ‘6’

Weighted average number of Equity Shares
outstanding during the year 3,45,13,334 3,45,13,334
Basic and diluted earning per share Rs. 6.09 Rs. 6.20

F. H. Tapia
S. Venkatraman
Partner
R. Venkataraman

LIMITED
CASH FLOW STATEMENT FOR THE YEAR ENDED 31st MARCH, 2005
2004-05 2003-04
Rs in lacs Rs in lacs
A. Cash flow from Operating Activities

Net profit before tax and extraordinary items 2,367.80 1,928.79
Adjustments for:
Non-cash items 32.04 15.12
Depreciation 2,074.46 2,312.48
Interest ( net ) 71.91 308.90
Dividend income (39.45) 2,138.96 (31.47) 2,605.03
Operating profit before working capital changes 4,506.76 4,533.82
Adjustments for:
Trade and other receivables (4,266.54) (843.97)
Inventories 1,661.71 (1,841.95)
Current liabilities and provisions 229.82 2,018.68
Sub-Total (2,375.01) (667.24)
Cash generation from operations 2,131.75 3,866.58
Interest paid (313.22) (326.51)
Direct taxes paid 129.64 (321.91)
Cash flow before Extraordinary items 1,948.17 3,218.16
Extraordinary items — —
Net Cash flow from Operating Activities 1,948.17 3,218.16
B. Cash flow from Investing Activities

Purchase of Fixed Assets (4,276.50) (2,826.89)
Sale of Fixed Assets 60.12 63.33
Purchase/Sales of Investments (23.44) 38.12
Dividend Income 39.45 31.47
Net cash used in investing Activities (4,200.37) (2,693.97)
C. Cash from Financing Activities

Proceeds from issue of share capital 0.17 0.05
Repayment of loans (186.24) (1,335.52)
Repayment of Other Borrowings (331.19) 32.64
Proceeds from Long Term Borrowings 3,221.64 791.54
Dividend paid (345.13) (345.13)
Tax on dividend (44.22) (44.22)
Net cash used in Financing Activities 2,315.03 (900.64)
Net increase in Cash and Cash equivalents 62.83 (376.45)
Cash & Cash Equivalents as at 1st April 2004 303.55 680.00
Cash & Cash Equivalents as at 31st March 2005 366.38 303.55
62.83 (376.45)

F. H. Tapia
S. Venkatraman
Partner
R. Venkataraman

Schedules LIMITED
FORMING PART OF THE BALANCE SHEET

As at As at
31/03/2005 31/03/2004
SCHEDULE “A”
SHARE CAPITAL
Authorised Capital
3,50,00,000 Equity Shares of Rs. 10/- each
(Previous Year 3,50,00,000 Equity Shares) 3,500.00 3,500.00
TOTAL 3,500.00 3,500.00
ISSUED, SUBSCRIBED AND PAID-UP CAPITAL
3,45,13,334 Equity Shares of Rs. 10/- each

(Previous Year 3,45,13,334 Shares) 3,451.33 3,451.33
Less : Calls in Arrears 0.40 0.57
TOTAL 3,450.93 3,450.76
Notes
Of the Equity Shares
(1) The following Shares were allotted as fully paid-up without payment being received in cash:
(a) 1,05,000 Shares to Vendors.
(b) 910 Shares to Equity Shareholders of the erstwhile, PRC Limited, pursuant to the amalgamation with the Company.
(2) 74,90,197 Shares were allotted as fully paid-up Bonus Shares by Capitalisation of Capital Redemption Reserve, Share Premium
Account and General Reserve.
(3) 53,33,310 Shares were issued and allotted consequent to conversion of Part A of the 26,66,655 Partly Convertible Debentures
allotted in April 1992.
(4) 92,25,000 Shares were issued in 1994-95 against which Global Depository Receipts were issued by the Depository viz. Citibank,
U.S.A.
(5) 56,18,905 Shares were issued and allotted pursuant to Rights issue made during 2000-01.

LIMITED Schedules
As at As at
31/03/2005 31/03/2004
SCHEDULE “B”
RESERVES AND SURPLUS
CAPITAL RESERVE
As per last balance sheet 355.61 355.61
CAPITAL REDEMPTION RESERVE

SHARE PREMIUM
As per last balance sheet 7,079.70 7,079.70
DEBENTURE REDEMPTION RESERVE

Less : Transferred to General Reserve 30.00 830.00
— 30.00
REVALUATION RESERVE
Less : Transferred to Profit and Loss Account 58.57 134.68
1,380.38 1,438.95
GENERAL RESERVE
Add : Transfer from P&L account 1,000.00 750.00
Less : Amortisation of Intangible Assets — 46.02
Add : Transfer from Debenture Redemption Reserve 30.00 830.00
Add : Forfeiture of Debentures 4.24 —
6,801.04 5,766.79
CONTRIBUTION FOR CAPITAL EXPENDITURE

PROFIT AND LOSS ACCOUNT 2,894.88 2,259.85

TOTAL 18,567.96 16,987.25

Schedules LIMITED

As at As at
31/03/2005 31/03/2004
SCHEDULE “C”
SECURED LOANS
Debentures
Principal Amounts — 26.45
Add:- Forfeiture of Debentures — 4.24
— 30.69
Banks
Term loans 3,113.50 68.95
Working Capital Loans 335.32 666.51
Other Loans
Financial Institutions 3,714.29 3,532.59
Term Loans from NBFC 0.41 5.02
TOTAL 7,163.52 4,303.76
Notes :
1. Debentures
Series Redemption Details
14% At par in 12 quarterly instalments commencing from August, 2001 to May, 2004.
2. Loans Secured by
Debentures Legal mortgage creating charge on all immovable and movable properties of the Company situated in the State of
Gujarat and Tamil Nadu, both present and future, ranking subsequent, subservient and sub-ordinate to all prior
mortgages/charges created/to be created in future in favour of Public Financial Institutions.
Banks Working Capital facilities are secured by a first charge by way of hypothecation and/or pledge of current assets,
namely, stocks of materials, semi-finished and finished goods, consumable stores and spares including machinery
spares not capitalised, bills receivable and book debts and further secured by a second charge by way of hypothecation
over all the movable plant and machinery and by way of mortgage by deposit of title deeds over the immovable
properties, both present and future, such mortgage to rank second to the mortgages created in favour of Financial
Institutions/Debentures Trustees.
Term Loans from Banks are secured by a pari-passu first charge by way of hypothecation of movable properties of the
Company.
Other loans The Long Term Working Capital Loan from a Financial Institution is secured by creation of first pari passu charge
on all the movable fixed assets, both present and future by way of hypothecation and further secured on first pari-
passu charge by mortgage on all the immovable properties situated in the states of Tamilnadu and Gujarat.
Equipments Finance Loan from a Financial Institution is secured by creation of first pari-passu charge on all the
movable fixed assets, both present and future by way of hypothecation.
As at As at
31/03/2005 31/03/2004
SCHEDULE “D”
UNSECURED LOANS
OTHERS
Deferred Sales Tax Credit 6.94 166.73
TOTAL 6.94 166.73
Due within one year Rs. 1.30 lacs (Previous Year Rs. 163.44 lacs)

26
Schedules
FORMING PART OF THE BALANCE SHEET LIMITED
SCHEDULE “E”
FIXED ASSETS
Rs. in lacs
GROSS BLOCK DEPRECIATION NET BLOCK
Description of At cost or Additions Sales and At Cost or Depreciation Depreciation As at As at
Assets Revalued and other other Revalued for the as at 31-03-2005 31-03-2004
Book Value Transfers Deduc- Book Value Year 31-03-2005
as at tions as at
01-04-2004 31-03-2005
Land 407.77 9.37 — 417.14 — — 417.14 407.77
Buildings 7,927.57 34.81 0.12 7,962.25 177.18 3,633.02 4,329.23 4,471.61
Plant and Machinery 40,610.44 1,973.86 242.14 42,342.16 1,832.51 22,340.47 20,001.69 19,880.15
Furniture, Fittings 733.47 35.40 14.87 753.99 51.01 573.53 180.46 267.54
Railway Sidings 0.59 — — 0.59 — 0.59 — —
Vehicles 665.69 156.86 98.24 724.32 57.00 324.48 399.84 338.93
Total 50,345.53 2,210.30 355.39 52,200.45 2,117.70 26,872.09 25,328.36 25,366.01
DCW Limited Ò Annual Report 2004-2005

Previous Year 49,365.02 1,853.91 873.39 50,345.53 2,250.09 24,979.53 25,366.01 26,021.65
Notes:
1. See Note “B-2” of Schedule “N”.
2. Buildings include Rs. 701.06 lacs being cost of ownership flats and office accommodation in Co-operative Societies and a Limited Company against which the
Company holds shares of the face value of Rs. 1.24 lacs in Co-operative Societies and the Limited Company and shares of the face value of Rs. 0.54 lacs in the
Limited Company is yet to be transferred in favour of the Company.
3. Land includes the leasehold land valued at Rs. 70.99 lacs.
4. Assignment deeds in respect of 9.13 acres of Land at Caustic Soda Division, transferred by the Central Government to the State Government, are yet to be
executed by the State Government in favour of the Company.
5. Land, Building and Plant and Machinery located at Sahupuram Works (other than PVC Division) were revalued on 31.03.1993.
6. The Company exercised the option to purchase 793.39 acres of land leased by the State Government at Sahupuram Works. Assignment deeds in respect of the
said land are yet to be executed by the State Government in favour of the Company.
7. Fixed Assets includes assets taken over from erstwhile Pantape Magnetics Limited at revalued figure as per independent valuer’s report.
Schedules LIMITED

SCHEDULE “F” As at 31/03/2005 As at 31/03/2004
Face No. of Amount Face No. of Amount

Value per Shares/ Rs. in Value per Shares/ Rs. in
INVESTMENTS (At Cost) Share/ Bonds lacs Share/ Bonds lacs
Bond Rs. Unit/
Bond Rs.
I. Long Term
In Govt. & Trust Securities (Unquoted)
7 Years National Savings Certificates 1000 10 0.10 1000 10 0.10
In Other Companies – Non-Trade (Unquoted)
The Dhrangadhra Peoples Co-op. Bank Ltd. 25 10 *250 25 10 *250
In Govt. & Trust Securites (Quoted)
Unit Trust of India - 6.75% Tax Free Bonds 100 19,358 19.36 100 19,358 19.36
In Other Companies – Non-Trade (Quoted)

Fully Paid Equity Shares
Global Trust Bank Ltd. 10 19,000 1.90 10 19,000 1.90
LIC Housing Finance Ltd. 10 17,400 10.44 10 17,400 10.44
12.34 12.34
Less: Dimunition of value in shares of Global Trust Bank 19,000 1.90 — — —
10.44 12.34
II. Current Investment
UCO Bank — — — 10 900 0.11
Indraprastha Gas Ltd. — — — 10 2,900 1.39
Power Trading Corporation of India Ltd. — — — 10 38,200 6.11
Tata Consultancy Services Ltd. 1 3 0.03 — — —
Punjab National Bank Ltd. 10 14,123 55.08 — — —
55.11 7.61
TOTAL 85.01 39.41
* Figures Denote Amount in Rupees.

31/03/2005 31/03/2004
Aggregate Value of long term quoted investments 31.70 31.70

Aggregate Value of current quoted investments 55.11 7.61
TOTAL 86.81 39.31
Aggregate Value of unquoted investments 0.10 0.10
Market Value of quoted investments 116.98 45.52
Investments purchased and redeemed/sold during the year

Particulars Face value No. of Units/Shares
I. Mutual Funds Units :
PRINCIPAL Mutual Fund - Liquid Institutional Plan 10.00 166,347,075.100
SBI Mutual Fund - Magnum Insta Cash Fund 10.00 46,210,127.344
Prudential ICICI Mutual Fund - Institutional Liquid Plan 10.00 24,863,721.231
Franklin Templeton Mutual Fund - Liquid Fund 10.00 47,950.919
Tata Mutual Fund - Liquid Fund SHIP Daily Dividend 10.00 27,726,473.750
HSBC Mutual Fund - Cash Fund - Institutional 10.00 8,407,825.491
Birla Sun Life Mutual Fund - Institutional - Daily Dividend 10.00 4,657,760.000
II. Shares :
NDTV Ltd. 10.00 5,800
ONGC Ltd. 10.00 4,173
Tata Consultancy Limited 1.00 2,300

LIMITED Schedules
As at As at
31/03/2005 31/03/2004
SCHEDULE “G”
INVENTORIES
(As Certified by the Management)
(Refer Note A-6 of Schedule ‘N’)
Stores, Spare Parts, Fuel 1,732.85 2,212.85
Packing Materials (at or below cost) 3.26 12.53
Mercury on hand & in process 201.59 195.80
STOCK-IN-TRADE
Raw materials on hand & in transit 3,150.35 3,257.00
Finished Goods 2,788.55 3,820.08
Stock in process 56.77 103.98
Packing Drums & Scrap 24.25 10.55
Coke dust, Gypsum 14.55 21.08
Stock of Traded Goods 5.34 5.37
Shares (Refer Statement below) 8.06 8.06
TOTAL 7,985.57 9,647.30
Investment in shares (Stock-in-trade)

As at 31/03/2005 As at 31/03/2004
Face No. of Amount No. of Amount

Value per Shares Rs. in Shares Rs. in
Particulars Share Rs. lacs lacs
Quoted
Reliance Industries Ltd. 10 553 0.42 553 0.42
Grasim Industries Ltd. 10 700 2.01 700 2.01
Ranbaxy Laboratories Ltd. 10 2,713 5.60 2,713 5.60
IPCL 10 43 0.03 43 0.03
TOTAL 8.06 8.06
As at As at
31/03/2005 31/03/2004
SCHEDULE “H”
Sundry Debtors (Unsecured unless otherwise stated)
(a) Over 6 months
Considered good (Secured) 30.00 30.00
Considered good 127.22 115.65
Considered doubtful 290.39 290.40
(b) Other Debts (considered good) 4,762.08 3,950.09
5,209.69 4,386.14
Less : Provision for doubtful debts 290.39 290.40
TOTAL 4,919.30 4,095.74

Schedules LIMITED

As at As at
31/03/2005 31/03/2004
SCHEDULE “I”
CASH AND BANK BALANCES
1. Cash on hand 8.90 5.54
2. Cheques, Stamps, Hundi papers on hand 0.05 0.04
3. Balance with Scheduled Banks
a. in Current Account 310.52 295.84
b. in Fixed Deposits (Pledged with Bank as Margin Money) 46.04 1.26
4. Post Office Savings Deposit (Pass Book pledged with
Central Excise Department) 0.02 0.02
5. Balance with Dhrangadhra People’s Co-op. Bank Ltd. (Maximum amount
outstanding Rs. 0.85 lacs) 0.85 0.85
TOTAL 366.38 303.55
SCHEDULE “J”
LOANS AND ADVANCES (UNSECURED, CONSIDERED GOOD)
Advances recoverable in cash or kind or for value to be received 2,692.06 866.02
Inter Corporate Deposits – Considered Good 1,400.00 —
Staff loans 49.73 41.73
Electricity and other Deposits 132.03 82.75
Balance with Customs, Central Excise etc. 656.20 480.94
Claims against Insurance, Railways, Custom etc. 34.14 49.74
TOTAL 4,964.16 1,521.18
SCHEDULE “K”
LIABILITIES
Acceptances against Letters of Credit 8,968.75 7,833.90
* Sundry Creditors (Includes liabilities for capital items) 1,234.07 1,348.14
Advances from Customers and Consignees 972.12 1,505.70
Trade and Other Deposits 352.29 355.81
Unclaimed Debentures Monies # 39.76 55.98
Unclaimed Dividend # 7.99 7.56
Unclaimed Public Deposit Monies # 0.93 1.06
Other Liabilities 485.31 788.22
Interest accrued but not due on Loans 75.00 63.37
Advance tax & tax deducted at source (Net of Provision for tax of
Rs. 1,323.00 lacs) (Previous Year Rs. 1,153.00 lacs) 121.20 (177.84)
TOTAL 12,257.42 11,781.90
* Includes outstanding dues of small scale industrial undertakings of

Rs. 18.43 lacs (Previous year Rs. 17.48 lacs).
# These figures do not include any amounts, due and outstanding,
to be credited to Investor Education and Protection Fund.

LIMITED Schedules
As at As at
31/03/2005 31/03/2004
SCHEDULE “L”
PROVISIONS
Proposed Dividend 414.16 345.13
Tax on Dividend 54.13 44.22
Leave Encashment 297.30 255.59
TOTAL 765.59 644.94
SCHEDULE “M”
A. Contingent liabilities not provided for :
1. Disputed Sales Tax Demands 657.34 172.03
2. Disputed Service Tax Demands 0.82 —
3. Disputed Entry Tax Demands 592.64 592.64
4. Disputed Excise Demands 359.14 60.96
5. Disputed Customs Demands 142.98 38.26
6. Disputed Income Tax Demands — 200.17
7. Company’s contribution to ESI not made pursuant to petitions for
exemption pending before High Court 79.08 79.08
8. Lease Rent, Local Cess, Interest on Lime Stone, Surcharge, Stamp
Duty, Octroi, Water & Electricity Charges/Tax 1,145.01 714.48
9. Disputed Industrial relations matters 219.43 106.33
B. Claims not acknowledged as debts : 14.58 15.67

Schedules LIMITED

SCHEDULE - ‘‘N’’
SIGNIFICANT ACCOUNTING POLICIES AND NOTES FORMING PART OF THE BALANCE SHEET AND PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31ST MARCH, 2005.
A. SIGNIFICANT ACCOUNTING POLICIES
1. SYSTEM OF ACCOUNTING
A. The Company follows the mercantile system of accounting and recognises income and expenditure on accrual basis.
B. Financial statements are prepared on historical cost basis and as a going concern, adjusted for revaluation/dimunition
in value of certain fixed assets.
2. USE OF ESTIMATES
The preparation of financial statements requires management to make certain estimates and assumptions that affect the
amounts reported in the financial statements and notes thereto. Differences between actual results and estimates are
recognized in the period in which they materialize.
3. FIXED ASSETS AND DEPRECIATION
(A) Fixed Assets

Fixed Assets are stated at their original cost net of Cenvat Credit where applicable (including expenses related to
acquisition and installation) except certain Fixed Assets which are adjusted for revaluation.
(B) Depreciation and Amortisation

Depreciation is charged in the Accounts on straight line method as under:
(a) On assets revalued at Sahupuram Unit on 31-3-93 @ 3% on the revalued cost based on revision in useful life
estimated by the valuer (Refer Note B2).
(b) On fixed assets added pursuant to the amalgamation of Pantape Magnetics Limited with the Company, at rates
specified in Schedule XIV to the Companies Act, 1956 on the revalued cost.
(c) On balance fixed assets of the Company at rates specified in Schedule XIV to the Companies Act, 1956 on the
original cost.
(d) On fixed assets added/disposed off during the year, on pro-rata basis with reference to the month of addition/
disposal.
(e) On Technical Know-how fees at 33.33%
4. EXPENDITURE DURING CONSTRUCTION AND ON NEW PROJECTS
In the case of new projects and in the case of modernisation/expansion of existing units, interest on borrowings for the
same and all pre-operative expenditure, incurred during implementation upto the date of installation are included under
Capital Work in Progress and capitalised by adding pro-rata to the cost of the assets.
5. INVESTMENTS
The Company’s investments comprise long term and current investments. Long Term investments are stated at cost less
permanent dimunition, if any, in value. Current investments are stated at lower of cost or market value.
6. INVENTORIES
Inventories are valued at lower of cost and net realisable value except stores, spares, mercury on hand and stock in process
which are valued at cost, packing materials which are valued at or below cost and scrap which is valued at net realisable
value. Cost is computed on weighted average basis and includes cost of conversion and other costs incurred in bringing the
inventories to their present location and condition.
7. ACCOUNTING FOR CENVAT AND SERVICE TAX CREDITS
Cenvat credit available on Raw Materials, Fuel and Packing materials, stores, spares and Capital goods and Service tax
credit on services availed are accounted for by reducing purchase cost of the related material or the expenses respectively.

LIMITED Schedules
8. FOREIGN CURRENCY TRANSACTIONS
(a) Transactions in Foreign Currency are recorded at the exchange rates prevailing on the date of Transactions. Exchange
differences arising on settlement, other than those pertaining to fixed assets, are recognised as income or expense in
the Profit and Loss account.
(b) Foreign Currency loans availed for acquisition of fixed assets are translated at the exchange rates prevailing at the
year end. The exchange difference is adjusted to the cost of Fixed Assets acquired through these loans.
(c) Foreign currency Current Assets/Liabilities covered by forward contracts are translated at forward cover rates at the
close of the year. The resultant gain or loss on translation difference is recognised in the Profit and Loss Account.
(d) Premium/discounts on forward exchange contracts are amortised over the life of the contract and recognised in the
Profit and Loss account.
9. RESEARCH & DEVELOPMENT EXPENDITURE

Revenue Expenditure on Research & Development is charged against the Profit of the year in which it is incurred. Capital
expenditure on Research & Development is shown as an addition to fixed assets.
10. BORROWING COSTS

Borrowing costs attributable to acquisition, construction or production of a qualifying asset are capitalized as part of the
cost of that asset. A qualifying asset is one that necessarily takes substantial period of time to get ready for intended use. All
other borrowing costs are recognized as an expense in the period in which they are incurred.
11. RETIREMENT BENEFITS

(a) Contributions to Provident and Superannuation Funds are made to recognised funds and are charged to Profit & Loss
Account.
(b) The Company has created an Employees’ Group Gratuity Fund which has taken a Group Gratuity Assurance Scheme
with the Life Insurance Corporation of India. Premium charged by the Life Insurance Corporation of India, based on
actuarial valuation is debited to the Profit and Loss account.
(c) Liabilities towards Leave Encashment Benefit is provided for based on actuarial valuation done at the year end.
(d) Contribution to Employee Pension Scheme 1995 are accounted on accrual basis with corresponding remittance made
to Government Provident Fund authority.
12. CONTINGENT LIABILITIES

Show Cause Notices are not considered as Contingent Liabilities unless converted into demands.
13. TAXES ON INCOME

Income tax expenses comprises current tax and deferred tax charge or credit. Deferred tax assets/liabilities are measured
by applying tax rate and tax laws that have been enacted or substantially enacted by the Balance Sheet date. Deferred tax
asset arising on account of unabsorbed depreciation under tax laws is recognised only to the extent there is virtual certainty
of its realisation supported by convincing evidence. Deferred tax assets on account of other timing differences are recognised
only to the extent there is reasonable certainty of its realisation. At each Balance Sheet date, the carrying amount of
Deferred tax asset is reviewed based on developments to reassess realisation.
B. NOTES ON ACCOUNTS
1. Estimated amount of Contracts remaining to be executed on Capital Account and not provided for is Rs. 4,676.51 lacs
(Previous year Rs. 1561.99 lacs).
2. The depreciation charge on the assets revalued on 31-3-1993 is more by Rs. 43.24 lacs (previous year Rs. 52.77 lacs) than
the depreciation charge thereon under section 205(2)(b) of the Companies Act, 1956 and the same is met by drawing from
Revaluation Reserve. The uplift on revalued assets discarded amounting to Rs. 15.33 lacs (previous year Rs. 81.91 lacs) has
also been met by drawing from Revaluation Reserve.
3 Consignment sales and expenses are incorporated on the basis of sale notes when received from consignees.
4. Confirmation of balances from some of the Debtors and Creditors, have not been received.

Schedules LIMITED

5. The break up of Deferred Tax Assets/Liabilities are as under: (Rs. in lacs)
Nature of timing difference Deferred Tax Debit/(Credit) Deferred Tax Liability/
Liability/(Assets) for the year (Assets) as at
as at 1st April, 2004 31st March, 2005
(a) DEFERRED TAX LIABILITIES
Depreciation 5,563.83 94.65 5,658.48
SUB TOTAL 5,563.83 94.65 5,658.48
(b) DEFERRED TAX ASSETS
Provision for dimunition in value of
Business Centre Immovable Property 448.50 8.91 457.41
Provision for dimunition in
value of Investments 0 0.70 0.70
Provision for Doubtful debts 10.98 0.22 11.20
Expenses allowed on payment basis 211.89 (9.85) 202.03
Long-term capital loss to be set-off 6.25 0.23 6.47
SUB-TOTAL 677.62 0.19 677.81
4,886.21 94.46 4,980.67
6. RELATED PARTY INFORMATION

(i) RELATIONSHIPS:
(a) WHERE CONTROL EXISTS
Double Dot Finance Ltd.
Crescent Finstock Ltd.
Sahu Brothers (Saurashtra) Pvt. Ltd.
Dhrangadhra Trading Company Pvt. Ltd.
Kishco Cutlery Pvt. Ltd.
Kalpataru Botanical Garden Pvt. Ltd.
Crescent Holdings Pvt. Ltd.
(b) KEY MANAGEMENT PERSONNEL
Dr. S. C. Jain Chairman & Managing Director
Shri S. K. Jain Vice Chairman & Managing Director
Shri P. K. Jain Managing Director
Shri Bakul Jain Executive Director
Shri Vivek Jain Sr. President
Shri Mudit Jain President
Shri Ashish Jain President
Smt. Paulomi Jain Vice President
NOTE: Related party relationships on the basis of the requirements of Accounting Standard (AS) - 18 disclosed
above is as identified by the Company and relied upon by the auditors.
(ii) DISCLOSURE OF TRANSACTIONS BETWEEN THE GROUP AND RELATED PARTIES AND THE STATUS OF
OUTSTANDING BALANCES AS ON 31ST MARCH, 2005 (Rs. in lacs)
Particulars Enterprises where Key Management

control exists personnel
Commission paid 5.06 —
Remuneration paid — 270.02
Purchases 1.10 —
Balances as on 31st March, 2005 (3.61) —

LIMITED Schedules
7. SEGMENT INFORMATION FOR THE YEAR 2004-05 (Rs. In lacs)
Caustic PVC Soda Ash Others Total
SEGMENT REVENUE
External Revenue 17,935.19 36,842.52 9,892.73 390.25 65,060.69
15,314.56 32,282.96 9,788.17 370.47 57,756.16
Inter Segment Revenue — — — — —
— — — — —
Total Revenue 17,935.19 36,842.52 9,892.73 390.25 65,060.69
15,314.56 32,282.96 9,788.17 370.47 57,756.16
RESULT
SEGMENT RESULT 1,531.68 251.13 452.10 204.78 2,439.69
(383.09) 1,854.85 529.41 236.54 2,237.71
Add: Unallocated Corporate Income — — — — —
(Net of Expenses) — — — — —
Less:
Finance Charges 71.91
308.90
Current Tax 170.00
160.00
Deffered Tax 94.46
(369.18)
NET PROFIT 2,103.32
2,137.99
OTHER INFORMATION
Segment Assets 20,699.45 9,775.83 11,484.58 3,459.77 45,419.62
21,313.61 8,312.01 10,001.74 2,411.77 42,039.14
Add: Unallocated Corporate Assets — — — — 1,773.42
— — — — 360.29
Total 21,757.14 9,775.83 11,484.58 2,402.08 47,193.04
21,313.61 8,312.01 10,001.74 2,411.77 42,399.43
Segment Liabilities 1,207.13 10,699.45 742.99 380.38 13,029.95
1,198.14 9,892.47 887.71 257.37 12,235.69
Add: Unallocated Corporate Liabilities — — — — 12,144.18
— — — — 9,725.70
Total 1,207.13 10,699.45 742.99 380.38 25,174.13
1,198.14 9,892.47 887.71 257.37 21,961.39
Capital expenditure including Capital 1,216.41 1,466.07 1,823.66 — 4,506.13
Work in Progress 890.12 305.79 1,785.32 — 2,981.23
Depreciation 1,213.21 189.36 580.00 91.89 2,074.46
1,407.07 195.84 628.14 81.43 2,312.48
8. Encroachers have occupied some portions of the land belonging to the Company at Sahupuram. Efforts are being made to
evict them.
9. Sales Tax Assessments of Dhrangadhra Unit are pending from 1994-95 to 1997-98 and 2002-03 to 2004-05 (except for
1998-99 and 2001-02 which have been completed) and Central Sales Tax Assessments of Sahupuram Unit are pending
from 1998-99 Sales tax assessments under Tamil Nadu General Sales Tax Act, are pending since 1999-2000.
10. The amount of exchange difference in respect of forward contracts to be recognised in the Profit and Loss Account in the
subsequent accounting year is Rs. 7.95 Lacs (Previous year Rs. 9.50 Lacs).

Schedules LIMITED

11. In respect of Plant & Machinery, equipment and other items taken on lease, the future obligations towards lease rentals
under the lease agreements as on 31st March, 2005 amount to Rs. 217.13 lacs (previous year Rs. 197.50 lacs).
12. In the matter of customs duty on imported calciner, CEGAT vide its order, dt. 8th December, 2000 has held that the
calciner imported would be entitled to exemption under Notification No. 59/87 and has also reduced the fine levied
for alleged import of the calciner without licence to Rs. 5 lacs. The Company has consequentially applied for refund
of Rs. 41.48 lacs to the Customs authorities who have denied the claim on account of unjust enrichment. The Company
filed a Civil application before the Hon’able Gujarat High Court. The case is pending for hearing.
13. The Company’s pending application to the Government of Tamilnadu for renewal of the lease of 3185 acres and 153 cents
of land at Vedaranayam from 1st April, 2003 has been directed by the Hon’able Supreme Court to be considered
by the learned Single Judge of the Madras High Court. The increase in lease rent, cess etc. on the said lease hold land
relating to the past period claimed by the State Government is disputed in writ petitions filed and pending in the Madras
High Court.
14. Computation of net profits under Section 349 of the Companies Act, 1956 (Rs. in lacs)
Particulars Amount
Profit before tax as per Profit & Loss Account 2368
Add:
Wealth Tax paid 3
Managerial remuneration 234
Directors’ sitting fees 1
Less:
Provision for dimunition in value of Investments written back 2
Profit on sale of Investments 24
Net profit U/S 349 2580
10% thereof i.e. (2580 X 10/110) 234
Less: Managerial remuneration paid 101
Commission payable 133
15. During the year, trial runs were conducted at Dhrangadhra between August ’04 and November ’04 on the modernisation/
revamping of Soda Ash plant. Since the desired results relating to quality and efficiency was not forthcoming, the trial runs
were suspended pending assessment and carrying out necessary modifications. The company has invited foreign technical
experts to evaluate and recommend changes if any required. Efforts are on to complete the revamping / modernisation of
Soda Ash plant.
The trial run expenditure of Rs. 296.41lacs, incurred during the year construction period is included under Capital work in
progress.

LIMITED Schedules
16. (a) Sundry Creditors ( Schedule K) include Rs.10.26 lacs due to small scale and ancillary undertakings outstanding for
more than 30 days. This amount has been determined to the extent such parties have been identified from available
information. This has been relied upon by the auditors.
(b) The small scale undertakings from whom amounts outstanding for more than 30 days are as under.:-
1) Austin Engg. Co. Ltd., 2) Shanti Trading Company 3) Peeyelcee Polysacks 4) ESSVEE Agro Polymers 5) Tamilnadu
Synthetics Ltd.
17. Acceptances under current liabilities are disclosed after netting off fixed deposits for Rs. 2216.13 lacs given as security to
the Company’s Bankers for issuing letter of credit. This does not understate the net current assets of the company. Outstanding
short term foreign currency unsecured loan of Rs. 2001.50 lacs taken from a foreign branch of a Bank has been netted off
against fixed deposits of like amount given as security to the Company’s Bankers for issuing comfort letter towards the said
loan.
18. Information required in terms of Part IV of Schedule VI of the Companies Act, 1956 is attached.
Schedule “A” to “N” form an integral part of the Balance Sheet and Schedule “1” to “6” form an integral part of the Profit
and Loss Account.
Previous year figures are regrouped to match with current years grouping.
Signature to Schedule “A” to “N”


F. H. Tapia
S. Venkatraman
Partner Pramod Kumar Jain Yuvraj Saheb of Dhrangadhra
R. Venkataraman Managing Director Directors

Schedules LIMITED
FORMING PART OF THE PROFIT AND LOSS ACCOUNT

31/03/2005 31/03/2004
SCHEDULE “1”
SALES (less Rebates and Trade Discount but including excise duty)
Direct Sale * 46,298.09 45,398.44
Consignment Sales 19,391.88 16,123.98
Export Sales 7,186.18 3,625.11
Other Sales * 427.91 361.53
Stock (including cost of raw materials) taken for self consumption 3,378.41 3,477.40
Sale of Services [TDS Rs. 54.95 lacs, (Previous year Rs. 30.12 lacs)]. 284.73 150.45
TOTAL 76,967.20 69,136.91
* Includes Sale of Traded Goods Rs. 86.65 lacs

(Previous Year Rs. 85.69 lacs) and Sale of Shares Rs. Nil (Previous Year
Rs. 95.54 lacs)
SCHEDULE “2”
OTHER INCOME
Profit on Sale of Invesments 24.06 53.05
Profit on Sale of Fixed Assets 10.95 6.17
Unclaimed balance written back 35.68 99.22
Dividend received on Current Investments 37.92 28.89
Dividend received on Long Term Investments 1.53 2.58
Miscellaneous Income 817.15 287.74

TOTAL 927.29 477.65

LIMITED Schedules
31/03/2005 31/03/2004
SCHEDULE “3”
MANUFACTURING AND OTHER EXPENSES
1. Consumption of Materials : Raw Materials

Stock in hand and in process as at opening 3,257.00 2,156.16
Add : Purchases including cost of self consumption 43,536.28 37,786.79
Less : Closing stock in hand & in process (including taxes duties etc.) 3,150.35 3,257.00
TOTAL 43,642.93 36,685.95
2a. INCREASE/DECREASE IN STOCK
Closing Stock :
Manufactured Products 2,788.55 3,820.08
Stock in Process 56.77 103.98
Packing Drums and Scrap 24.25 10.54
Coke Dust & Gypsum 14.55 21.08
Stock of Traded Shares 8.06 8.06
2,897.52 3,969.11
Opening Stock :
Manufactured Products 3,820.09 3,315.28

Stock in Process 103.98 78.49
Packing Drums and Scrap 10.55 12.93
Coke Dust & Gypsum 21.08 28.93
Stock of Traded Shares 8.06 20.15
3,969.13 3,695.56
Opening Stock – Closing Stock 1,071.61 (273.55)
2b. Purchases for resale (Net of stock of traded goods capitalised/written off) 84.30 1,791.68
TOTAL 1,155.91 1,518.13
3. SALARIES, WAGES & BENEFITS TO EMPLOYEES
Salaries & Wages 2,662.10 2,810.93

Contribution to Provident and other Funds 366.39 379.01
Employees’ Welfare 285.26 291.07
Gratuity Paid 0.13 —
TOTAL 3,313.88 3,481.01
4. Power and Fuel 7,591.86 7,756.83

Schedules LIMITED

31/03/2005 31/03/2004
SCHEDULE “3” (Contd.)
5. OPERATIONS AND MAINTENANCE
Repairs and Maintenance - Buildings 316.95 315.66
Repairs and Maintenance - Plant & Machinery 2,569.35 2,307.65
Repairs and Maintenance - Other Assets 106.33 88.13
Packing Charges 1,210.06 1,000.61
Other Operation & Maintenance Expenses 702.00 687.13
TOTAL 4,904.69 4,399.18
6. ASSETS SOLD OR WRITTEN OFF

Fixed Assets discarded, obsolete, written off 62.81 148.36
Less: Drawn from Revaluation Reserve (15.33) (81.91)
47.48 66.45
Loss on Sale of Fixed Assets 19.57 15.21
(Unserviceable, written off etc.)
TOTAL 67.05 81.66
7. ADMINISTRATION EXPENSES
Rent 14.92 16.21
Rates, Taxes and licence fees 358.39 432.96
Insurance 137.64 117.42
Exchange Difference 418.63 (173.98)
Wealth Tax paid 3.11 3.17
Donation 0.80 8.49
Other expenses 613.98 661.57
TOTAL 1,547.47 1,065.84
8. SELLING AND DISTRIBUTION

Freight, Transportation, Loading and Other Charges (Net) 1,017.67 743.88
Commission to wholesalers/others 302.25 384.45
Cash discount 131.83 188.41
Octroi – Consignment Sale 1.58 —
TOTAL 1,453.33 1,316.74
9. (a) PAYMENT TO AUDITORS

(i) Audit Fees 4.96 4.98
(ii) Tax Audit 1.24 1.22
(iii) Retainer Fees 3.40 3.00
(iv) Other Services 1.29 1.93
(v) Reimbursement of Expenses 2.03 3.07
TOTAL 12.92 14.20

LIMITED Schedules
31/03/2005 31/03/2004

(b) Details of Directors’ Remuneration under Section 198
(i) Managing Director’s and Whole-time Directors’ Remuneration:
Salary 72.00 48.00
Perquisites on House 9.60 9.60
Company’s Contribution to PF 8.62 5.75
Medical Expenses 0.15 —
Company’s Contribution to Superannuation 10.13 7.20
Company’s Contribution to Gratuity Fund — 1.46
Commission 133.44 113.52
(ii) Directors Sitting Fees 0.98 0.78
234.92 186.31
TOTAL 63,924.96 56,505.85
SCHEDULE “4”
INTEREST AND FINANCE CHARGES
Debentures 0.49 67.52
Fixed loans 136.68 154.06
Others 327.23 344.86
464.40 566.44
Less: Interest from banks & others [TDS Rs. 50.67 lacs
(Previous Year Rs. 29.02 lacs)] (392.49) (257.59)
TOTAL 71.91 308.85
SCHEDULE “5”
DEPRECIATION
Depreciation on Fixed Assets for the year 2,117.70 2,250.09
Provision for diminution in value of Capital Stores — 115.16
2,117.70 2,365.25
Less: Drawn from Revaluation Reserve 43.24 52.77
TOTAL 2,074.46 2,312.48

F. H. Tapia
S. Venkatraman

Schedules LIMITED

SCHEDULE “6”
(a) Quantitative information with regard to each class of goods manufactured/traded (as certified by Chairman & Managing Director) (Rs. in Lacs)
CAPACITY – MT OPENING STOCK PRODUCTION SELF CLOSING STOCK SALES

PARTICULARS
CONSUMP-
TION
Licensed Installed Quantity Value Quantity Quantity Quantity Value Quantity Value
M.T. Rs. In lacs M.T. M.T. M.T. Rs. In lacs M.T. Rs. In lacs
Dharangadhra Unit
Soda Ash 96,000 96,000 3,180 223.68 83,091 8,243 753 62.72 77,275 6,904.63
(96,000) (96,000) (2,626) (212.55) (92,475) (9,151) (3,180) (223.68) (82,769) (6,804.77 )
Soda Bicarbonate 12,000 12,000 315 34 16,458 — 1,973 184.20 14,800 1,543.87
(12,000) (12,000) (1,439) (128) (16,469) (—) (315) (34) (17,592) (1,723.85 )
Amonium Bicarbonate 5,000 — 56 3.90 1,950 — 34 2.50 1,972 147.15

(5,000) (—) (48) (3.38) (2,226) (—) (56) (3.90) (2,219) (161.79 )
Detergent — Green — — — — 12,966 — — — 12,966 1,316.66

(—) (—) (—) (—) (26,875) (—) (—) (—) (26,875) (2,534.22 )
Detergent — Active — — — — 12,688 — — — 12,688 1,663.11

(—) (—) (—) (—) (1,487) (—) (—) (—) (1,487) (186.09 )
Sahupuram Unit
Caustic Soda Lye 60,000 60,000 680 62 61,420 21,795 425 41.34 39,880 4,793.50
(60,000) (60,000) (1,861) (164) (59,060) (20,209) (680) (61.90) (40,032) (4,528.22 )
Caustic Soda Solid — — 11 1 116 — 8 1 119 19.04

(—) (—) (15) (2) (116) (—) (11) (1) (120) (18.98 )
Caustic Soda Flakes — — 312 36 20,452 138 — — 20,626 3,103.22

(—) (—) (850) (93) (18,976) (138) (312) (36) (19,376) (2,639.63 )
Sodium Hypochloride — — — — 1,638 4 — — 1,635 38.54

(—) (—) (184) (—) (2,054) (7) (—) (—) (2,231) (51.00 )
Hydrochloric Acid 100% 39,600 33,000 23 1 33,009 28,836 16 1 4,180 252.50

(39,600) (33,000) (25) (1) (30,603) (27,010) (23) (1) (3,595) (172.02 )
Liquid Chlorine 40,000 40,000 113 6 22,220 7,974 118 8 14,241 1,041.25
(40,000) (40,000) (118) (9) (22,395) (8,028) (113) (6) (14,372) (1,027.11 )
Trichloroethylene 5,400 5,400 158 63 5,355 — 384 171 5,129 2,478.39

(5,400) (5,400) (221) (84) (5,350) (—) (158) (63) (5,413) (2,382.19 )
Upgraded Ilmenite No Licence 25,000 7,580 1,314 28,900 — 1,640 337 34,840 6,601.58
Required (25,000) (1,307) (260) (23,684) (16) (7,580) (1,314) (17,395) (3,341.53 )
Utox No Licence 600 152 26 595 6 41 7 700 184.19

Required (600) (118) (26) (655) (5) (152) (26) (616) (151.98 )
Ferric Chloride — 10,000 78 1 2,466 39 140 2 2,365 43.28

(—) (10,000) (153) (1) (2,128) (76) (78) (1) (2,127) (65.10 )
Yellow Iron Oxide — — 7 2 408 — 40 10 375 92.92

(—) (—) (37) (9) (253) (—) (7) (2) (283) (65.69 )
PVC Resin — 60,000 4,345 1,932 77,330 — 3,599 1,891 78,076 42,617.29
(—) (60,000) (5,496) (2,194) (80,246) (—) (4,345) (1,932) (81,397) (37,283.72 )
Caustic Soda Lye — — — — — — — — — 38.88

(Traded Goods) (—) (—) (—) (—) (—) (—) (—) (—) (—) (1,909.53 )
Misc. Sales — — — — — — — — — 376.29

(—) (—) (—) (—) (—) (—) (—) (—) (—) (279.92 )
Total 73,255.79
(65,327.34 )
Note: 1. Licensed capacity is not applicable in view of the Company’s products having been delicensed as per the new liberalised licensing policy announced by the Government of India.
2. Ammonium Bicarbonate production is out of part of Soda ash plant.
3. Self consumption quantity mentioned includes quantity lost in handling, lost in transit, wash loss, samples, etc.
4. Previous year figures are given in bracket.

LIMITED Schedules
Rs. in lacs

Consolidated:
(b) Expenditure in Foreign Currency

(i) Know-how fees —
(—)
(ii) Consultant fees —
(—)
(iii) Others 593.83
(221.96)
(c) Earnings in Foreign Exchange

(i) Export on f.o.b. basis 7,214.05
(3,591.94)
(ii) Others 57.23
(52.65)
(d) Consumption of imported/indigenous Raw Materials,

Stores and Spares at Landed Cost
Raw Material Imported 33,077.74
(27,014.89)
Indigenous 10,565.19
(9,525.70)
Stores and Spare parts (Including Consumption for Capital jobs)
Imported 675.75
(407.40)
Indigenous 6,109.27
(2,535.08)
Mercury
Imported 1.98
(3.16)
Indigenous —
(—)
(e) Value of Imports on c.i.f. basis

(i) Raw Materials 29,720.91
(23,652.61)
(ii) Fuel Oil —
(—)
(iii) Mercury 7.32
(15.69)
(iv) Stores and Spare parts 332.56
(163.36)
(v) Capital Goods 87.52
(115.57)
(f) Amount remitted in Foreign Currencies on account of Dividend —

(—)

Schedules LIMITED

Total
Quantity Value
(M.T) Rs. in lacs
(g) Raw Materials consumed :

Salt 3,07,938 1,039.30
(3,24,117) (1,003.99)
Ilmenite Sand 56,035 1,860.78

(46,092) (1,506.25)
Lecofines — —
(4) (153.21)
Calcium Carbide 4,306 1,154.73

(4,113) (919.55)
Vinyl Chloride Monomer 78,314 31,835.73

(81,377) (26,007.86)
Lauryl Peroxide 21 57.53

(23) (67.98)
Limestone 1,91,199 861.54

(2,00,228) (882.85)
Coke 19,335 1,587.47

(12,073) (915.75)
Ammonia 1,383 241.64

(1,728) (224.00)
Others — 2,015.06
(—) (1,996.48)
Consumption of own manufactured products — 2,989.15

and Intermediates (—) (2,862.67)
TOTAL 43,642.93
(36,540.59)

F. H. Tapia
S. Venkatraman

LIMITED
Statement Pursuant to Part IV of Schedule VI of the Companies Act, 1956

Balance Sheet Abstract and Company’s General Business Profile.
I. Registration Details
Registration No. 7 4 8 State Code 0 4
Balance Sheet Date 3 1 / 0 3 / 2 0 0 5
(Date / Month / Year)
II. Capital raised during the year (Amount in Rs. Thousands)
Public Issue Rights Issue
N I L N I L
Bonus Issue Private Placement
N I L N I L
III. Position of Mobilisation and Deployment of Funds (Amount in Rs. Thousands)
Total Liabilities Total Assets
4 7 1 9 3 0 3 4 7 1 9 3 0 3
Sources of Funds
Paid-up Capital Reserves & Surplus
3 4 5 0 9 3 1 8 5 6 7 9 6
Secured Loans Unsecured Loans
7 1 6 3 5 2 6 9 4
Application of Funds
Net Fixed Assets Investments
2 8 8 7 2 6 1 8 5 0 1
Net Current Assets Misc. Expenditure
5 2 1 2 4 0 N I L
Accumulated Losses Project Expenditure
N I L N I L
IV. Performance of Company (Amount in Rs. Thousands)
Turnover Total Expenditure
7 6 9 6 7 2 0 6 6 0 7 1 3 3
+ – Profit/Loss Before Tax + – Profit/Loss After Tax
+ 2 3 6 7 7 8 + 2 1 0 3 3 2
Earnings per Share in Rs. Dividend Rate (%)
6.09 1 2
V. Generic Names of Three Principal Products/Services of the Company (as per monetary term)
(a) Item Code No. (ITC Code) Product Description
3 9 0 0 4 2 1 0 2 POLY VINYL CHLORIDE BY SUSPENSION
2 8 1 5 1 1 0 1 CAUSTIC SODA
2 8 3 6 2 0 0 9 SODA ASH

F. H. Tapia
S. Venkatraman
Partner
R. Venkataraman

DCW Ltd. - Annual Report - 2004-2005

Cargado por

Información del documento

Descripción original:

Derechos de autor

Formatos disponibles

Compartir este documento

Compartir o incrustar documentos

Opciones para compartir

¿Le pareció útil este documento?

¿Este contenido es inapropiado?

Copyright:

Formatos disponibles

DCW Ltd. - Annual Report - 2004-2005

Cargado por

Copyright:

Formatos disponibles

Corporate Directory LIMITED

BOARD OF DIRECTORS AUDITORS

Shri Sharad Kumar Jain

Smt. Satyawati Jain

Dr. V.H. Joshi

Shri Sushil Kumar Jalan

DCW Limited Ò Annual Report 2004-2005 1

2 DCW Limited Ò Annual Report 2004-2005

DCW Limited Ò Annual Report 2004-2005 3

4 DCW Limited Ò Annual Report 2004-2005

(Pursuant to Clause 49 of the Listing Agreement)

1. Company’s philosophy on Code of Corporate Governance:

Ò Size of the Board

DCW Limited Ò Annual Report 2004-2005 5

6 DCW Limited Ò Annual Report 2004-2005

7. Disclosures: Financial calendar: April 2005 – March 2006:

DCW Limited Ò Annual Report 2004-2005 7

Listing on Stock Exchanges: Stock Performance (Indexed):

Ò The Mumbai Stock – Phiroze Jeejeebhoy Towers,

8 DCW Limited Ò Annual Report 2004-2005

Percent- Outstanding GDRs/ADRs/Warrants/convertible

Auditors Certificate on Clause 49 Compliance

DCW Limited Ò Annual Report 2004-2005 9

10 DCW Limited Ò Annual Report 2004-2005

1.5 Captive Power Plant

Rs. 157.78 lacs

Caustic Soda Unit PVC Unit Soda Ash Unit

DCW Limited Ò Annual Report 2004-2005 11

Caustic Soda Unit PVC Unit Soda Ash Unit

Particulars Current Previous Current Previous Current Previous

(B) Consumption per unit

Electricity (Kwh) 3005 3020 233.00 239.00 240.00 229.00

Annexure to the Directors’ Report

Employed for whole of the year

Employed for part of the year

2 Shri S. Viswanathan Steno Secretary 490,085 S.S.L.C 34 20.01.1968 58 —

12 DCW Limited Ò Annual Report 2004-2005

AS AT 31ST MARCH, 2005

* One US $ = Rs. 43.75

DCW Limited Ò Annual Report 2004-2005 13

Sales (including Excise Duty) 175.93 158.72

Other Income 2.12 1.10

Manufacturing and Other Expenses 146.11 129.73

Provision for Tax

Transfer to General Reserve 2.29 1.72

* One US $ = Rs. 43.75

14 DCW Limited Ò Annual Report 2004-2005

Gross Sales 7,696.72 175.93 6,913.69 158.72

Fixed Assets – Gross Block 5,220.05 119.32 5,034.55 115.58

Net Block 2,887.26 65.99 2,661.44 61.10

Export Earnings 721.41 16.49 359.12 8.24

Earnings Before Depreciation and Interest 451.42 10.32 455.01 10.45

Interest 7.19 0.16 30.89 0.71

Earnings Before Depreciation 444.23 10.15 424.12 9.74

Depreciation 207.45 4.74 231.25 5.31

Earnings Before Tax 236.78 5.41 192.87 4.43

Current 17.00 0.39 16.00 0.37

Deferred 9.45 0.22 (36.92) (0.85)

Earnings After Tax 210.33 4.81 213.79 4.91

Earnings per Share 6.09 0.14 6.20 0.14

Net Worth (Excl. Revaluation Reserve) 2,063.84 47.17 1,899.22 43.62

Gross profit to sales (%) 5.77 5.77 6.13 6.13

Interest coverage Ratio 62.78 62.78 14.73 14.73