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BOARD OF DIRECTORSDR. VIJAYPAT SINGHANIA, Chairman Emeritus

GAUTAM HARI SINGHANIA, Chairman and Managing Director

B. K. KEDIA (upto 22-05-2008)

NANA CHUDASAMA

B. V. BHARGAVA

U. V. RAO

I. D. AGARWAL

NABANKUR GUPTA

P. K. BHANDARI

MANAGEMENT EXECUTIVESGAUTAM HARI SINGHANIA, Chairman and Managing Director

DEEPAK KHETRAPAL, Chief Operating Officer

ANIRUDDHA DESHMUKH, President - FMCG & Retail

HARSHAL JAYAVANT, President - Engineering Business

H. SUNDER, President - Corporate Affairs (w.e.f. 04-05-2009)

K. A. NARAYAN, President - HR

NITIN JAIN, President - Strategic Initiatives

ROBERT LOBO, President - Shirting Fabric Business

SHREYAS JOSHI, President - Group Apparel

S. K. SINGHAL, President - Textiles

S. RAGHUNATHAN, President - Finance, Chief Financial Officer (w.e.f. 04-05-2009)

DIRECTOR – SECRETARIAL & COMPANY SECRETARYTHOMAS FERNANDES

BANKERSBANK OF INDIA

BANK OF MAHARASHTRA

BANK OF AMERICA

CENTRAL BANK OF INDIA

CITIBANK N.A.

HDFC BANK LIMITED

THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED

STATE BANK OF INDIA

STANDARD CHARTERED BANK

AUDITORSDALAL & SHAH

Chartered Accountants

INTERNAL & OPERATIONAL AUDITORSMAHAJAN & AIBARA

Chartered Accountants

REGISTERED OFFICEPLOT NO. 156/H. NO. 2, VILLAGE ZADGAON

RATNAGIRI 415 612 (MAHARASHTRA)

REGISTRAR & SHARE TRANSFER AGENTLINK INTIME INDIA PRIVATE LIMITED

C-13, PANNALAL SILK MILLS COMPOUND,

L. B. S. MARG, BHANDUP (WEST)

MUMBAI - 400 078.

CONTENTS Pages

Directors’ Report & 2-10Management Discussionand Analysis

Corporate Governance Report 11-17

Shareholder Information 18-22

Auditors’ Report 23-25

Balance Sheet 26

Profit and Loss Account 27

Cash Flow Statement 28

Schedules ‘1’ to ‘15’ 29-43

Schedule ‘16’ – Notes Forming 44-59Part of the Accounts

Annexure I - Statement of Significant 60-61Accounting Policies and Practices

Research and Development 61Expenditure Account

Ten-Year Highlights 62

Consolidated Account 63-77

Details of Balance Sheet and 77Income and Expenditure ofSubsidiary Companies

Balance Sheet Abstract and 78Company’s General Business Profile

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DIRECTORS’ REPORT & MANAGEMENT DISCUSSION AND ANALYSISDEAR MEMBERS,Your Directors are pleased to present their 84th report on the business and operations of your Company together with the AuditedStatement of Accounts for the year ended March 31, 2009.

1. CORPORATE OVERVIEWRaymond Limited (hereinafter referred to as your Company/the Company) is India’s leading multi-product conglomerate withinterests in textiles, apparels, retail, brands and engineering (files & tools) having its corporate headquarters in Mumbai.

The Company prepares its financial statements in compliance with the requirements of the Companies Act, 1956, and theGenerally Accepted Accounting Principles (GAAP) in India. Overall the financial statements have been prepared on thehistorical cost basis.

2. FINANCIAL HIGHLIGHTSWhile the first half operating performance of your Company was generally in line with expectations, the mainstay textilebusiness was adversely impacted by the drop in consumer sentiment as fallout of the economic downturn. The second half ofthe year generally is the main season for textiles. In addition, due to the restricted credit availability to the trade, the Companyhad to carefully monitor despatches.

Consequently your Company has registered only nominal growth in turnover. During the year, the gross turnover of the Companywas Rs.1393.25 crores as compared to Rs.1337.56 crores in the previous year.

Profit before tax, prior period adjustments, exceptional items and foreign exchange loss/gain was Rs.30.35 crores as againstRs.69.31 crores in the previous year. The performance was affected by foreign exchange loss of Rs 89.10 crores.

After factoring in the foreign exchange loss, the loss before tax, prior period adjustments and exceptional items was Rs.58.75crores as against the profit of Rs.86.15 crores in the previous year.

The operations of your Company’s denim joint venture - Raymond UCO Denim Private Limited were restructured by closingdown two of its heavily loss making subsidiaries in Belgium and USA. The Company has assessed the situation considering theprevailing economic uncertainties and based on a valuation report of an independent valuer, provided for diminution ofRs.230.13 crores, in the value of the Company’s investments in the joint venture, as an exceptional item. Your Company has alsoimpaired its investment in its overseas subsidiary - Regency Texteis Portuguesa Limitada by Rs. 5.12 crores, as an exceptionalitem.

Thus, the net loss, after exceptional items, prior year adjustments and provision for taxes was Rs. 271.55 crores as against a netprofit of Rs.72.42 crores last year.

In order to conserve the resources of the Company and taking into account the prevailing uncertain economic situation theBoard of Directors of the Company have decided not to recommend dividend for the financial year ended March 31, 2009.

However, your Company looks beyond immediate challenges to build business with long-term goals based on your Company’sintrinsic strength both in terms of product quality and also brands and distribution strength, thereby sustaining growth despitethe current turbulent business environment. Your Company is also focused on bringing down costs and streamlining operationsto improve future profitability.

3. OVERVIEW OF THE ECONOMY

In the past year, markedly during the second half, the Indian as well as the global economy witnessed a high degree ofuncertainty and rapid slowdown. The global recession impacted the fortunes of corporates across geographies. The IMF hasestimated that world economic growth will fall its lowest since World War II. Although the jury is still out on whether the globalrecession could potentially turn out to be another great depression like in the 1930s, there is a strong school of thought which isexpecting a slow and gradual recovery in the year 2010, once there is some stability achieved during the year 2009.

The Indian economy too has not been isolated from what has been happening in the global economy; in fact, it only becameabundantly clear that the fortunes of the Indian economy are not decoupled from the rest of the world. As export demandcontinued to shrink during the year and external financing became progressively constrained, the pace of growth in the Indianeconomy slowed down.

The good thing though is that the Indian economy is not entirely export dependent, which has worked to its advantage and itslarge domestic consumption demand has helped prop up the GDP growth rates and has prevented it from slipping intonegative territory.

It is expected by many that once the global economy stabilises and shows some signs of recovery, the Indian economy will beamongst the first few economies that would lead the world on the path of an economic turnaround.

4. SEGMENT ANALYSIS AND REVIEW

The key business segments of the Company are Textile and Files & Tools Divisions.

A. TEXTILE DIVISION

Industry Conditions

The Indian textiles and apparels sector is a major contributor to the Indian economy in terms of gross domestic product (GDP),industrial production and the country’s total export earnings. This sector provides employment to over 35 million people and hasdirect linkages to the rural economy and the agricultural sector.

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The Indian textile industry is currently passing through a turbulent phase. With the global downturn ravaging economies, thetextile sector is one of the worst hit. The effect of demand contraction and credit squeeze resulted in over 7 lac textile workerslosing their jobs (by November 2008).

The drop in the levels of discretionary spending along with the credit squeeze spreading to the trade also contributed in nosmall measure.

However there is a slight thaw in the negative trend and it is expected that the economy may improve from the second half ofthe Financial Year 2009-10, when the pent up demand of the Indian consumers would come to the fore and provide furthertraction to facilitate investment demand.

Opportunities and Challenges

The present global economic scenario throws up opportunities for fundamentally strong companies such as your Company. Theinherent strengths, in the form of strong domain expertise, powerful brand positioning, strength and resilience of the brands, fullyintegrated state of the art production facilities, cutting-edge technology and unparalleled product innovation capabilitiescombined with the deep retail market penetration, provide a highly potent platform to seize the opportunities that are boundto arise during cyclical downturns in the form of newer markets, new segments of customers, new channels of distribution, etc.

On the other hand, during the Financial Year 2008-09, the volatility witnessed in the forex markets, credit squeeze, high costs ofborrowings, drop in discretionary spending especially in export markets, disbursements of Technology Upgradation Fund (TUF)loan subsidies are some of the challenges facing the textile industry at large.

Overview

The Company is the market leader in the textiles sector in India, has a powerful brand ‘Raymond’, state of the art manufacturingfacilities and a strong all India retail presence in the form of ‘The Raymond Shop’ (‘TRS’). While focusing on its vision of being theglobal leader in fashion and lifestyle segment, your Company is now also establishing itself as a preferred supplier ofvalue-added premium fabric in the international markets. The Company is on the path to becoming a lifestyle solution fordiscerning customers with an offering of a range of fabrics, garments and accessories in a premium shopping environment.

During the year 2008-09, the phase III of the Company’s textile Division at Vapi commenced commercial production.

Performance Highlights

Despite the severe downturn faced in the year 2008-09, poor consumer sentiments and the credit squeeze, the Company’s netsales from the textile division registered a nominal growth. Net sales for the year was Rs.1137.85 crores as compared to Rs.1133.85crores in the previous year.

Market Share and Retail Network

The Company is the undisputable market leader in India and is considered as one of the more formidable players in the globalmarket for worsted suitings.

The Company continues to focus on the retail sector in a big way and is now concentrating on penetrating further into the Tier3, 4 and 5 towns of the country. Even in existing malls and other locations, the rent renegotiations are being aggressively pursuedby the Company which is resulting in rental cost savings. The Company’s like-to-like own store sales growth was to the order of4% which augurs well for the future. The Company continues to be judicious in its selection of store locations with profitability asthe key criterion.

Export

Textile exports for the Financial Year 2008-09 were Rs.110 crores, as against Rs.114 crores in the previous year. Quality, design,service to mid premium and premium customers has resulted in stability of customers internationally and new customers beingattracted to provide an integrated offering.

Raw Material

Wool prices were lower during the Financial Year 2008-09. Further, alternate vendors have been developed in other countrieslike South Africa to reduce the Company’s dependence on traditional sources from Australia. Polyester fibre prices are presentlystable.

B. FILES & TOOLS DIVISIONThe Division is engaged in manufacture and marketing of Steel Files, HSS Cutting Tools (mainly drills) and Merchandising activitiesmainly in Hand Tools. During the year, the Division further consolidated its position in Cutting Tools and Hand Tools segments.

Industry OutlookGlobally, the Steel Files business has stagnated and has not registered growth in demand. However, your Company’s Division hasbeen in a position to improve its market share in the international market with sustained marketing and business developmentefforts. Timely action on market segmentation, price hikes, tight control on liquidity, cost-control, etc. also contributed. The CuttingTools business recorded growth in the year despite stiff competition in the domestic as well as in export market.

Opportunities and Threats

The challenge before this Division is to sustain growth and profitability in the background of the recessionary climate. Theweakening of currencies in some of the major markets like Latin America, Africa etc., is leading to price pressure by buyers. Allthese factors are going to make the current financial year very challenging for this Division.

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OverviewThis Division is planning to counter its challenges through focused marketing, tight control on liquidity and margins, costeffective sourcing of materials and services, improved productivity through process automation & up-gradation, shorter lead-time with focus on time in full delivery.

The Division continues to expand and consolidate its presence in International market continues. The Division has also strengthenedits presence in USA and Latin America.

Performance and Review of OperationsThe Division continues to remain the market leader in the files segment in the domestic market and is amongst the largestproducer of Steel Files in the world. For the first time, the Export Sales of the Division have crossed the milestone of Rs.100 croresand recorded all time high export sales of Rs.108 crores. The Division reported net sales of Rs. 222 crores (Previous Year:Rs. 177 crores).

5. FINANCE AND ACCOUNTSThe observations made by the Auditors in their Report have been clarified in the relevant notes forming part of the Accounts,which are self explanatory.

6. PERFORMANCE OF SUBSIDIARY COMPANIESDomesticRaymond Apparel LimitedThe gross turnover of the Company was higher by 20.31% at Rs. 421.02 crores (Previous Year: Rs. 349.96 crores). Profit after tax waslower at Rs. 4.67 crores (Previous Year: Rs. 7.84 crores).

The second half of the Financial Year 2008-09 was challenging due to fall in consumer sentiments. Though the Company’sperformance was impacted, the strength of its brands enabled it to maintain a leading position in the apparel industry. The “ParkAvenue” brand of the Company was adjudged the “Most Admired Menswear Brand” of the year in Images Fashion Forum.

In the coming years, the Company is gearing to consolidate and retain the leadership position of its various brands and improveprofitability, through continued focus on product innovation, appropriate product-price matrix and operating efficiencies, especiallyin retail.

The Company is in the process of implementing an ERP system which will help it to improve its service levels further.

Colorplus Fashions LimitedThe gross turnover of the Company for the year ended March 31, 2009 was marginally higher at Rs.148.32 crores (Previous Year:Rs.147.89 crores). Profit before tax and exceptional items was lower at Rs.5.72 crores (Previous Year: Rs.14.68 crores). During theyear, the Company has provided for diminution in respect of its long term investments in Gas Apparel Ltd. The net loss for theyear, after providing for diminution and after taxes, was Rs. 15.05 crores (Previous Year: net profit Rs. 6.71 crores)

The performance of the Company was affected by adverse consumer sentiments. The Company is focusing its efforts on qualitycollections, operational efficiencies and market serviceability and will continue its focus on offering more innovative productsand styles to retain its market leadership in the premium casual segment.

Silver Spark Apparel LimitedThe gross turnover of the Company was Rs. 86.83 crores (Previous Year: Rs. 88.07 crores).

The Company had a profit after tax of Rs.1.81 crores (Previous Year: Rs. 7.39 crores) during the Financial Year 2008-09, afterforeign exchange loss of Rs 9.07 crores.

The Company continues to export its products to reputed international brands, who have shown their acceptance of qualityand service levels by placing repeat orders. The Company has been imparting continuous training to the operators to improvethe efficiencies as well as standards of quality.

Celebrations Apparel LimitedThe gross turnover of the Company was Rs.14.29 crores (Previous Year: Rs. 8.97 crores). The Company incurred a loss of Rs. 0.04crores (Previous Year: loss of Rs. 0.10 crores).

During the year, the Company focused on imparting training to operators, obtaining manufacturing consistency and operationalefficiencies. The Company has met the quality standards set by reputed national brands. During the year, the Company hasincreased its shirts manufacturing capacity from 4000 shirts to 5000 shirts per day. The Company is receiving encouraginginquiries for export of high quality shirts.

Everblue Apparel LimitedThe Company earned a profit after tax of Rs 1.32 crores (Previous Year: Rs 1.50 crores).

Raymond Woollen Outerwear Limited (formerly known as Raymond Fedora Private Limited)The gross turnover of the Company, net of returns and discounts was Rs 45.72 crores (Previous Year: Rs. 35.33 crores). TheCompany incurred a loss before prior period adjustments of Rs.1.45 crores (Previous Year: loss of Rs. 11.85 crores).

During the year, the shares of Lanificio Fedora S.p.A., were forfeited by the Company due to non payment of call money andthe Joint Venture agreement between Raymond Limited and Lanificio Fedora S.p.A., was terminated. Hence, the Companysubsequently became a subsidiary of Raymond Limited and a Public Company pursuant to Section 3(1)(iv)(c) of the CompaniesAct, 1956. The Company’s name has since been changed as above.

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Inspite of the global economic downturn severely impacting apparel business worldwide, the Company managed to increaseits fabric exports during the year by 75% to Rs. 33.40 crores through sustained efforts of its Marketing and Operations team.

With continued focus on product and design development and exploring opportunities in new markets and customers, theCompany expects to sustain its performance in the face of continuing challenging conditions in the global market place.

Hindustan Files LimitedThe gross turnover of the Company (including sales & services) was higher at Rs.45.01 crores (Previous Year: Rs. 37.98 crores).Profit after Tax was at Rs.1.31 crores (Previous Year: Rs. 2.15 crores). The control measures, monitoring and process improvementstrategy applied has helped the Company to remain profitable during the Financial Year 2008-09.

JK Talabot LimitedThe Company manufactures files and rasps at its plant located at Chiplun in Ratnagiri District, in the State of Maharashtra.During the year gross turnover of the Company was at Rs.18.85 crores (Previous Year: Rs. 13.94 crores). The Company recordedprofit after tax of Rs.2.74 crores (Previous Year: Rs.0.09 crores) during the Financial Year 2008-09.

The performance of the Company during the year was good, due to improved capacity utilisation, initiatives on improvementin productivity and quality in addition to effective management of working capital.

Scissors Engineering Products LimitedThe Company incurred a loss of Rs.26,000/- (Previous Year: loss of Rs. 36,000/-) during the Financial Year 2008-09.

Ring Plus Aqua LimitedThe gross turnover of the Company was at Rs.84.56 crores (Previous Year: Rs. 83.39 crores). Profit after tax was at Rs. 2.94 crores(Previous Year: Rs. 7.27 crores).

Gear sales during the year were Rs. 54.74 crores as compared to Rs.49.30 crores in the previous year. Despite recessionary trendin the market, export sale of gears grew by more than 17% and was at Rs. 32.24 crores as against Rs.27.51 crores in the previousyear. The Company continued making major in-roads into European market during the year. The sales of gears in Domestic OEMmarket is increasing steadily. The Gear capacity expansion is in process and enhancement in capacity and capability will helpthe Company to extend its OEM customer base, particularly in Western Europe.

Shaft Bearings sales were lower during the year at Rs.18.56 crores as against Rs.20.53 crores in the previous year. USA continuedto be the major market for Bearing exports.

Pashmina Holdings LimitedThe Company made a loss of Rs 0.08 crores in the Financial Year ended March 31, 2009 as compared to a loss of Rs.0.09 croresin the previous year.

Overseas CompaniesJaykayorg AG incurred a loss of CHF 883,975 (equivalent to Rs.3.70 crores) [Previous Year: loss CHF 394,277 (equivalent to Rs.1.65crores)] for the year ended December 31, 2008.

J. K. (England) Limited recorded a profit of Pound Sterling 4,084 (equivalent to Rs.0.03 crores) [Previous Year: profit Pound Sterling21,648 (equivalent to Rs.0.17 crores)] for the year ended December 31, 2008.

Regency Texteis Portuguesa Limitada, Portugal incurred a loss of Euros 366,953.95 (equivalent to Rs.2.40 crores) [Previous Year:profit Euros 44,897.98 (equivalent to Rs.0.29 crores)] for the year ended December 31, 2008.

Raymond Europe S.R.L., incurred a loss of Euro 28,486 (equivalent to Rs.0.19 crores) [Previous Year: profit Euro 4,258 (equivalent toRs.0.03 crores)] for the year ended December 31, 2008. The operations of the Company, which ran a design studio in Italy, hasbeen closed down.

R & A Logistics INC., USA, a subsidiary of Ring Plus Aqua Limited set up in the USA to provide better service to US basedcustomers, earned a profit US $ 1,430 (equivalent to Rs.0.01 crores) (Previous Year: profit US $ 10,787 (equivalent to Rs.0.05crores)] for the year ended March 31, 2009.

7. PERFORMANCE OF JOINT VENTURESRaymond UCO Denim Private LimitedDuring the year, the consolidated sales (including services and export incentives) is Rs.713.13 crores (unaudited) as comparedto Rs.784.71 crores for the previous year ended March 31, 2008. The loss for the year after tax and exceptional items isRs. 330.74 crores (unaudited) as compared to Rs.120.93 crores for the previous year ended March 31, 2008.

Foreign exchange loss during the year is Rs.45.72 crores as against the gain of Rs.11.54 crores in the previous year endedMarch 31, 2008.

In view of the restructuring exercise including closure of unviable operations carried out in the Company’s overseas subsidiaries(in Belgium and USA), the Company based on its assessment and independent valuation report, has provided for diminution inthe value of its investments and outstanding from its overseas subsidiaries, resulting in an exceptional charge of Rs.349.16 crores.

The figures for the year are subject to audit.

In the domestic market, with continuous focus on differentiated products, wider and better product range, the Companycontinues to maintain significant share of the premium brands operating in India.

The Company has been constantly developing new and innovative products catering to the higher end of the European andUS markets.

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The Romanian operation which was operating as a manufacturing support to the operations in Belgium for most of the year, hasnow been ramped up to cater to the European market directly and take advantage of being present in a low cost environmentwhile catering to the European market.

As a result of the above restructuring, the pressures on the bottom line are expected to ease with low cost operations (Indiaand Romania) and strong equity on product differentiation, value addition and customer service.

Raymond Zambaiti Private LimitedThe gross turnover of the Company was Rs.131.45 crores (Previous Year: Rs. 103.58 crores). The Company had a profit after tax ofRs. 8.58 crores (Previous Year: Rs. 6.04 crore) during the year.

The Company during the year has reached benchmark levels in weaving efficiency and warping productivity; grade realisationhas also increased during the year.

Gas Apparel LimitedThe turnover of the Company for the current financial year March 31, 2009 is Rs. 11.98 crores (unaudited) as against the turnoverof the previous year ended March 31, 2008 which was at Rs. 15.67 crores.

The Company launched the ‘GAS’ fashion brand of premium apparel in April 2007. Though the brand was well received amongits target youth audience the Company has been incurring steep loss due to brand building expenses, high cost of importedmerchandise and very high rentals and other operating costs for its stores. During the year, with a view to stop the continuingcash drain, a number of actions were taken to close down stores, clear off inventory and reduce overheads. As a consequenceof the costs incurred to restructure as above, the Company’s loss is Rs. 50.46 crores (unaudited) as compared to previous year’sloss of Rs.19.33 crores and its networth is fully eroded.

The figures for the year are subject to audit.

Discussions are ongoing with Grotto S.p.A., Italy, the joint venture partner regarding the way forward. In the meantime theCompany was converted into ‘Public Company’ with effect from March 27, 2009, and Company will be henceforth known as‘Gas Apparel Limited’. Further, your Company has acquired the entire share holding held by Colorplus Fashions Limited in GasApparel Limited on April 1, 2009.

8. QUALITY & ACCOLADESAt Raymond there is an on-going quest for Excellence, Quality, Leadership and Trust in the products and services provided to itscustomers and is a continuous journey that is undertaken with a commitment to improve processes, and deliver superiorproducts. Every effort is made to provide products and services that consistently meet or exceed customers’ expectations. YourCompany continues to win awards year-on-year, some notable awards during the Financial Year 2008-09 are;

• The Readers Digest Platinum Award for the most Trusted Brand;

• The Ninth Annual Images Fashion Awards 2009 for “The Most Admired Menswear Brand of the Year”;

• JK Files & Tools has for 28 consecutive years been awarded the All India Export Award by Engineering Export PromotionCouncil (EEPC) of India for being the ‘Star Performer Award as Large Enterprise’ of 2006-07 in the Hand Tools Category;

• Your Company’s Jalgaon Plant has been certified OHSAS 18001:2007 for the conformance of Occupational Health & SafetyManagement System.

9. CONSOLIDATED ACCOUNTSIn accordance with the requirements of Accounting Standard AS-21 prescribed by The Institute of Chartered Accountants ofIndia, the Consolidated Accounts of the Company and its subsidiaries (including the Joint Ventures) is annexed to this Report.

10. CORPORATE GOVERNANCEYour Company continues to be committed to good Corporate Governance aligned with the best-of-breed practices. YourCompany complies with the standards set out by Clause 49 of the Listing Agreement with the Stock Exchanges.

A separate Report on Corporate Governance along with the Auditors’ certificate on compliance with the Corporate Governanceas stipulated in Clause 49 is provided in this Annual Report.

11. DIRECTORSShri B.K. Kedia, resigned from the Board of Directors of the Company with effect from May 22, 2008. The Board places on recordthe great zeal and dedication with which Shri Kedia served the Company during his long association of over five decades. TheBoard is deeply grateful for the mature and professional advise and guidance of Shri Kedia, from which the Company hadimmensely benefited. The Board gratefully acknowledges the stellar role of Shri B.K. Kedia in building up Raymond Group to itspresent enviable stature.

Shri B.V. Bhargava and Shri Nana Chudasama retire by rotation at this Annual General Meeting and are eligible for re-appointment. However, they have informed the Board that they do not seek re-appointment. The Board does not propose to fillthe vacancies at this meeting or any adjournment thereof. Hence, as required under Section 256 of the Companies Act, 1956,resolution at item Nos. 2 and 3 are proposed not to fill up the vacancies caused by the retirement of Shri B.V. Bhargava and ShriNana Chudasama.

Shri Bhargava is a Director of the Company since August 16, 1996, and is also Member of the Audit Committee, Member of theFinance Committee and the Chairman of the Remuneration Committee of the Board of Directors. The Board places on recordits deep gratitude and appreciation for the precious time and very valuable guidance provided to the Raymond Group by ShriB. V. Bhargava during his tenure.

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Shri Nana Chudasama is a Director of the Company since August 1, 1986, and is also the Chairman of the Committee ofDirectors and a Member of the Remuneration Committee of the Board of Directors. The Board places on record its deepgratitude and appreciation for the precious time and very valuable guidance provided to the Raymond Group by Shri NanaChudasama during his tenure.At the 84th Annual General Meeting two special resolutions are commended for your approval. The resolution at item No. 5 is forthe payment of the remuneration to the Chairman and Managing Director of the Company for the period April 1, 2008 toJune 30, 2009 as earlier approved by the remuneration committee and the shareholders at the Annual General Meeting of theCompany held on June 23, 2006 and the resolution at item No. 6 is for the payment of the remuneration to Shri P. K.Bhandari forthe period April 1, 2008 to April 23, 2008, as earlier approved by the remuneration committee and the shareholders of theCompany at the Annual General Meeting of the Company held on June 23, 2006.

12. DIRECTORS’ RESPONSIBILITY STATEMENTPursuant to sub-section (2AA) of Section 217 of the Companies Act, 1956, the Board of Directors of the Company hereby stateand confirm that:(i) in the preparation of the Annual Accounts, the applicable accounting standards have been followed along with proper

explanation relating to material departures;(ii) the Directors have selected such accounting policies and applied them consistently and made judgments and estimates

that are reasonable and prudent so as to give a true and fair view of the state of affairs of the Company at the end of thefinancial year and of the loss of the Company for that period;

(iii) the Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordancewith the provisions of the Companies Act, 1956 for safeguarding the assets of the Company and for preventing anddetecting fraud and other irregularities;

(iv) the Directors have prepared the annual accounts on a going concern basis.13. AUDIT

Messrs. Dalal & Shah, Chartered Accountants, who are Statutory Auditors of the Company hold office up to the forthcomingAnnual General Meeting and are recommended for re-appointment to audit the accounts of the Company for the FinancialYear 2009-10. As required under the provisions of the Section 224(1B) of the Companies Act, 1956, the Company has obtainedwritten confirmation from Messrs. Dalal & Shah that their appointment, if made, would be in conformity with the limits specifiedin the Section.As per the requirement of Central Government and pursuant to Section 233B of the Companies Act, 1956 your Company carriesout an audit of cost records relating to textile division every year. Subject to the approval of the Central Government, theCompany has appointed Messrs. Nanabhoy & Co., cost accountants, as auditors to audit the cost accounts of the Companyfor the Financial Year 2009-10.

14. INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACYYour Company believes in formulating adequate and effective internal control systems and implementing the same strictly toensure that assets and interest of the Company are safeguarded and reliability of accounting data and accuracy are ensuredwith proper checks and balances. The Internal control system is improved and modified continuously to meet the changes inbusiness conditions, statutory and accounting requirements.The Company has engaged a competent firm of Chartered Accountants to conduct internal audit, examine and evaluate theadequacy and effectiveness of the Internal Control System. The internal audit ensures that the systems designed andimplemented, provides adequate internal control commensurate with the size and operations of the Company.The Audit Committee of the Board of Directors, Statutory Auditors and the Business Heads are periodically apprised of theinternal audit findings and the corrective actions taken.The Audit Committee of the Board of Directors actively reviews the adequacy and effectiveness of internal controls systemsand suggests improvements for strengthening them. The Company has a strong Management Information System which is anintegral part of the control mechanism.

15. RISK MANAGEMENTThe Company is exposed to risks from market fluctuations of foreign exchange, interest rates and commodity prices andbusiness risk.Foreign Exchange RiskThe Company’s policy is to systematically hedge its long term foreign exchange risk as well as short term exposures riskconsidering prevalent conditions. Your Company has opted not to follow notification number GSR 225(E) dated March 31, 2009issued by Government of India in relation to accounting of exchange differences arising on reporting of long term foreigncurrency items due to currency rate fluctuations, in order to be consistent in application of accounting policies both currentand in future.Interest rate riskGiven the interest rate fluctuations, the Company has adopted a prudent and conservative risk mitigating strategy to minimisethe interest costs.Commodity Price RiskThe Company is exposed to the risk of price fluctuation on raw materials as well as finished goods in all its products. TheCompany proactively manages these risks in inputs through forward booking, inventory management, proactive management

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of vendor development and relationships. The Company’s strong reputation for quality, product differentiation and service theexistence of a strong brand image and a strong marketing network mitigates the impact of price risk on finished goods.

Risk Element in Individual BusinessesApart from the risks on account of interest rate, foreign exchange and regulatory changes, various businesses of the Companyare exposed to certain operating business risks, which are managed by regular monitoring and corrective actions.

16. ENVIRONMENT AND SAFETYThe Company is conscious of the importance of environmentally clean and safe operations. The Company’s policy requires theconduct of all operations in such manner so as to ensure safety of all concerned, compliance of statutory and industrialrequirements for environment protection and conservation of natural resources to the extent possible.

17. HUMAN RESOURCES AND INDUSTRIAL RELATIONSThe Company takes pride in the commitment, competence and dedication shown by its employees in all areas of business.Various HR initiatives are taken to align the HR Policies to the growing requirements of the business.

The Company has a structured induction process at all locations and management development programmes to upgrade skillsof managers. Objective appraisal systems based on KRAs are in place for senior management staff.

Technical and safety training programmes are given periodically to workers. Industrial relations remained generally cordial.

18. STATUTORY INFORMATIONInformation pursuant to sub-section 1 (e) of Section 217 of the Companies Act, 1956, read with the Companies (Disclosure ofParticulars in the Report of the Board of Directors) Rules, 1988 is given in Annexure 1 to this Report.

During the Financial Year 2008-09, 38 employees employed throughout the year, were in receipt of remuneration of Rs.24 lakhsper annum or more and 56 employees employed for part of the Financial Year 2008-09 were in receipt of remuneration ofRs. 2 lakhs per month or more. The particulars of employees, as required under Section 217 (2A) of the Companies Act, 1956, aregiven in a separate Annexure to this Report. This Annexure is not being sent along with this Report to the members of theCompany in line with the provisions of Section 219 (1) (b) (iv) of the said Act. Members who are interested in obtaining theseparticulars may write to the Company Secretary at the Registered Office of the Company. None of the employees listed in thesaid Annexure is a relative of any Director of the Company except for Shri Gautam Hari Singhania who is related to Dr. VijaypatSinghania. None of the employees hold (by himself or along with his spouse and dependent children) more than two percent ofthe equity shares of the Company.

The Company has been exempted by the Central Government vide their letter No. 47/68/2009-CL-III dated March 20, 2009under Section 212 (8) of the Companies Act, 1956 from attaching a copy of the Balance Sheet, Profit and Loss Account, Reportof the Board of Directors and the Report of the Auditors of the subsidiary companies. However, pursuant to AccountingStandard AS-21 issued by The Institute of Chartered Accountants of India, Consolidated Financial Statements presented by theCompany includes the financial information of the subsidiaries. A statement containing brief details of the subsidiaries isincluded in this Annual Report.

The Company will make available these documents/details upon request by any member of the Company and members of itssubsidiaries interested in obtaining the same. The annual accounts of the subsidiary companies will also be kept for inspectionby any member at the registered offices of the Company.

The Company has also been exempted by the Central Government vide their letter No.46/11/2009-CL-III dated April 9, 2009under sub-section (4) of Section 211 of the Companies Act, 1956, from disclosing quantitative details in compliance of para 3(i)(a) of Part II of Schedule VI of the Companies Act, 1956. However, the Company is disclosing these details in the enclosedAnnual Report.

Fixed Deposits amounting to Rs. 3,46,000/- (Rupees Three Lakhs Forty Six Thousand only) from 35 depositors, which remainedunclaimed by the depositors as on March 31, 2009 have remained unclaimed upto the date of this Report.

19. CAUTIONARY STATEMENTStatement in this Directors Report & Management Discussion and Analysis describing the Company’s objectives, projections, estimates,

expectations or predictions may be “forward-looking statements” within the meaning of applicable securities laws and regulations.

Actual results could differ materially from those expressed or implied. Important factors that could make a difference to the Company’s

operations include raw material availability and prices, cyclical demand and pricing in the Company’s principal markets, changes in

Government regulations, tax regimes, economic developments within India and the countries in which the Company conducts business

and other incidental factors.

20. APPRECIATIONYour Directors express their warm appreciation to all the employees at various Units for their diligence and contribution. YourDirectors also wish to record their appreciation for the support and co-operation received from the joint venture partners,dealers, agents, suppliers, bankers and all other stakeholders.

for and on behalf of the Board

Gautam Hari SinghaniaChairman and Managing Director

Mumbai, April 24, 2009

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Annexure (1) to the Directors’ ReportInformation pursuant to Section 217(1)(e) of the Companies Act, 1956 read with Companies (Disclosure of Particulars in the Report ofBoard of Directors) Rules, 1988.A. Conservation of Energy

Energy conservation continued to have high prominence as in previous years.Some of the initiatives taken in the year 2008-09 were as follows:In Textile DivisionAt Thane Unit:1) Utilizing Backwash exit heat for drying of Polyester tops.2) Installation of electronic chokes and energy efficient light fittings.3) Rain water harvesting.At Chhindwara Unit:1) Conversion from DC to AC system in various machines in Dyeing, Warping and Finishing.2) Installation of time lag switch in industrial fans in Dyeing and ETP.3) Installation of electronic chokes and energy efficient light fittingsAt Jalgaon Unit:1) Installation of electronic chokes and energy efficient light fittings.2) Use of renewable energy resources by installation of turbo ventilators & solar water heaters.At Vapi Unit:1) Installation of Solenoid Valves in looms for arresting Compressed air when machine is not running.In Files & Tools DivisionAt Chiplun Unit:1) Introduction of Thyristorised PID Controllers for Annealing Furnaces.2) Conversion of LDO Annealing furnace to Electrical furnace.

B. Technology Absorption(a) Research and Development (R&D)

Textile DivisionThe R&D Department of Textile Division strives to develop and provide exclusive and innovative products under its brand.Some of the products developed and introduced during the year under review were:1) Super 240s - Finest fabric in the world, made from 11.6 micron wool2) Saxxon Wool – Jacketing fabrics and Suiting fabrics with properties like superior comfort and good crease recovery3) Lamere – Range of fabrics with Luster and softness using Lamere fibres4) World class jacketing fabric using coarser wool5) A Range of wool rich fabrics using Chintz finishFiles & Tools DivisionIn order to maintain its leadership in files business, the Files & Tools Division developed 10 new SKU’s for the Export market forcustomer specific engineering and agro applications.The details of expenditure on Research and Development is given in Schedule - 16 notes forming part of the Accounts.The Company has incurred an expenditure of Rs. 18.67 lacs towards Research and Development which is 0.01% of the totalturnover of the Company for the year 2008-09.

(b) Technology Absorption, Adaptation and InnovationTextile DivisionThe Textile Division undertook the following measures towards Technology absorption, Adaptation and Innovation:1) As part of its modernization project, installation of new energy efficient machines in Spinning and Finishing processes at

Chhindwara and Jalgaon plants.2) Indigenous development of Energy Monitoring System (SCADA) at Vapi plant by which the power consumption of

each department can be monitored, analysed and report generated.3) Automatic dispensing of chemicals in Rope Scouring machines at Vapi plant’s Finishing Dept.4) Implementation of the Weavemaster and Qualimaster for on line monitoring of various parameters of looms and report

generation at Vapi Plant.5) Indigenous development of cloth roller in Designing Picanol Looms at Vapi Plant.6) Regeneration of Steam from Gas Generator at Vapi Plant7) Circulation of hot water received from Jacket cooling of Gas Generator in Dyeing Machines at Vapi PlantFiles & Tools DivisionThe Files & Tools Division undertook the following Process Improvement measures:1) Introduction of rust preventive oil (Castrol Rustilo DWX 32) for final packaging of files for enhanced corrosion resistance2) Introduction of File finishing lines for online washing of files at its Ratnagiri plant3) Introduction of Single piece flow packing and cartoning of files at its Ratnagiri plant4) Introduction of Stand-alone Brine Chillers for the hardening systems at its Ratnagiri plant to maintain optimum brine

temperature in hardening process5) Process stage elimination in Tang punching of Flat files for productivity improvement

C. Foreign Exchange Earnings and OutgoGlobal recession has severely impacted business in major export markets, particularly in the apparel sector. Textile Division’sexports declined by 3%, in comparison with the previous year, to Rs. 110.77 crores. In adverse market conditions and facing stiffcompetition from Indian and overseas competitors, the Division was able to deliver a sustained performance. This has beenachieved through focused effort on enhancing customer base and providing value added products.In spite of unprecedented Global recession particularly in second half of the financial year, the Files & Tools Division’s endeavorto expand and consolidate its presence in International market continues. During the year under review the division recordedan all time high sales volume of files in international market and also crossed a milestone of Rs. 100 crores export for the first time.The appreciation of USD against major global currencies including Indian Rupee caused lot of imbalance in the flow of ordersas well as pressure on prices. However, the division has strengthened its presence in USA and Latin America besides furtherconsolidating its position in Asia and Africa.The particulars regarding foreign exchange earnings and outgo are given in Schedule 16 - notes forming part of the Accounts.

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Form ‘A’[Forming part of Annexure (1)]

DISCLOSURE OF PARTICULARS WITH RESPECT TO CONSERVATION OF ENERGYA. POWER AND FUEL CONSUMPTION

Purchased Own generation (through DieselGenerator/Steam Turbine)

Current Year Previous Year Current Year Previous Year

1. Electricitya) Total units (KWH in thousands)

Textiles * 63736 68049 69124 64449Files & Tools 14665 14621 42 37

b) Total Amount (Rupees in lacs)Textiles 3198 3015 2123 1808Files & Tools 708 697 6 5

c) Units/per Liter of Diesel OilTextiles — — 2.79 3.14Files & Tools — — 4.83 4.77

d) Units/per Kg. of CoalTextile — — 0.90 0.90

e) Units/per Cubic mtr of GasTextile — — 3.78 —

f) Cost per unit (Rs.)Textiles 5.02 4.43 3.07 2.81Files & Tools 4.83 4.77 13.55 13.82

* 595.46 lac KWH units generated through steam turbine (Previous year 607.23 lac KWH units)

Total Total Cost Average Rate Quantity Rs. Lacs per Unit (Rs.)

2. Coal (M.T.)a) Textile Division**

Current Year 74998 1473 1964Previous Year 76457 1407 1840

3. Furnace Oil (Lac Liters)a) Textile Division

Current Year 53.72 1557 28.97Previous Year 60.84 1349 22.18

b) Files & Tools DivisionCurrent Year 3.83 106 27.65Previous Year 4.79 105 21.94

4. Diesel Oil (Lac Liters)a) Textile Division

Current Year 3.09 124 40.04Previous Year 5.61 201 35.87

b) Files & Tools DivisionCurrent Year 0.50 18 35.75Previous Year 0.54 16 30.31

5. LPG (Kgs.)a) Textile Division

Current Year 91412 49 53Previous Year 95909 46 48

b) Files & Tools DivisionCurrent Year 79160 38 47Previous Year 85543 43 50

6. Natural Gas (Lacs Cubic Mtr.)a) Textile Division

Current Year 55 695 13Previous Year 29 289 10** 66136 MT used for CPP (Previous year 67376 MT)

B. CONSUMPTION PER UNIT OF PRODUCTIONUnit Standard (if any) Current Year Previous Year

Electricitya) Fabrics KWH/Metre — 4.67 4.87b) Engineers’ Steel Files KWH/Piece — 0.22 0.23

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CORPORATE GOVERNANCE REPORTAs the global economic crisis continues to ravage the world, corporate governance is even more relevant and has a larger role.With recent developments in India, Corporates have to be more resilient in adopting best practices of Corporate Governance withan aim to revive stakeholders’ faith in the Corporate Sector. The Principles of Corporate Governance are based essentially on theexisting legal and regulatory arrangements as well as the best prevailing practices followed by Corporates globally. Good CorporateGovernance has become a necessary pre-requisite for any corporation to manage effectively in the globalised market scenario.

The detailed report on implementation by the Company, of the Corporate Governance Code as incorporated in Clause 49 of theListing Agreement with the Stock Exchanges, is set out below:

1. COMPANY’S PHILOSOPHY ON CODE OF GOVERNANCE :We, at Raymond, believe in ethical business conduct, integrity and commitment to values. This helps us to enhance and retainthe trust of our stakeholders which is the cornerstone of Corporate Governance. At Raymond we continue to focus our energiesand resources in creating and safeguarding the interest of all our stakeholders.

At Raymond we adopt best global practices as part of the Company’s future growth strategy, which aims at maximising theinterest of the shareholders with those of other stakeholders – customers, employees, investors, vendors, dealers, financiers, Stateand Central Governments and society at large, in order to achieve long-term sustained value while ensuring accountability inthe exercise of corporates’ financial, legal and contractual obligations.

Your Company is fully committed to and continues to follow procedures and practices in conformity with the Code of CorporateGovernance contained in the Listing Agreement.

2. BOARD OF DIRECTORS:COMPOSITION AND CATEGORYThe Board of Directors of the Company consists of eminent persons with considerable professional proficiency and experiencein business, industry, finance, management, legal and marketing. The Board of your Company provides leadership and strategicguidance that exercises control over the Company.

The Chairman and Managing Director is involved in the day-to-day management of the Company while the Non-Executiveincluding the Independent Directors bring external and wider perspective and independence to the decision making. Thecomposition of the Board of Directors, meets with the requirements of Clause 49 (I) (A) of the Listing Agreement.

The present strength of the Board of Directors is eight. The composition is as follows:

• one Promoter, Executive Director

• one Promoter, Non-Executive Director

• one Non-Independent, Non-Executive Director

• Five Independent, Non-Executive Directors

None of the Directors on the Board is a member of more than ten Committees and Chairman of more than five Committees (asspecified in Clause 49), across all companies in which they are Directors.

The composition of the Board of Directors, the number of other Directorship and Committee positions held by each Director ason March 31, 2009 are as under:

Name of Director Category of Directorship No. of Board Relationship interseDirectorship in other Committees Directors

companies (*) (other than RaymondLimited) in which

Chairman/MemberChairman Member

Dr. Vijaypat Singhania, Promoter, 6 Nil 1 Related to Shri GautamChairman Emeritus Non-Executive Hari Singhania

Shri Gautam Hari Singhania, Promoter, 7 Nil 2 Related to Dr. VijaypatChairman and Managing Director Executive Singhania

Shri B. K. Kedia (upto May 22, 2008) Independent,Non-Executive 8 Nil 1

Shri Nana Chudasama Independent,Non-Executive 4 Nil Nil

Shri B. V. Bhargava Independent,Non-Executive 10 5 4

Shri U. V. Rao Independent,Non-Executive 5 2 2

Shri I. D. Agarwal Independent,Non-Executive 2 Nil 1

Shri Nabankur Gupta Independent, Non-Executive 9 1 2

Shri P. K. Bhandari Non-Independent, Non- Executive 10 2 2(Wholetime Director – upto (w.e.f. April 24, 2008)April 23, 2008)

(*) – excludes Alternate Directorships, Directorships in Indian Private Limited Companies and Foreign Companies and Membership of ManagingCommittees of various bodies.

Only memberships of Audit Committee and Shareholders’/Investors‘ Grievances Committee are considered.

The column ‘Member’ includes only membership of Audit committee and Shareholders’/Investors‘ Grievances Committee and not the Chairmanship.

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BOARD PROCEDURE

The Board meets at least once a quarter to review the quarterly performance and the financial results. The Board Meetings aregenerally scheduled well in advance and the notice of each Board Meeting is given in writing to each Director. All the items onthe Agenda are accompanied by notes giving comprehensive information on the related subject and in certain matters suchas financial/business plans, financial results, detailed presentations are made. The Agenda and the relevant notes are sent inadvance separately to each Director and only in exceptional cases; the same is tabled at the meeting. The Board is also free torecommend the inclusion of any matter for discussion in consultation with the Chairman.

The information as specified in Annexure (I) (A) to Clause 49 of the Listing Agreement is regularly made available to the Board.

To enable the Board to discharge its responsibilities effectively, the members of the Board are briefed at every Board Meeting,on the overall performance of the Company, with presentations by Business Heads. Senior Management is invited to attend theBoard Meetings so as to provide additional inputs to the items being discussed by the Board.

The Board’s role, functions, responsibility and accountability are clearly defined. In addition to matters statutorily requiringBoard’s approval, all major decisions involving policy formulation, strategy and business plans, annual operating and capitalexpenditure budgets, new investments, details of joint ventures, sale of business unit/division, compliance with statutory/regulatoryrequirements, major accounting provisions and write-offs are considered by the Board.

The Minutes of the Board Meetings are circulated in advance to all Directors and confirmed at subsequent Meeting. TheMinutes of Audit Committee and other Committees of the Board are circulated in advance to all Directors, regularly placedbefore the Board and noted by the Board.

ATTENDANCE OF EACH DIRECTOR AT THE BOARD MEETINGS AND THE LAST ANNUAL GENERAL MEETING

Five Board Meetings were held during the Financial Year 2008-09 on the following dates: April 29, 2008, July 31, 2008, October 31,2008, November 30, 2008 and January 31, 2009. The gap between two Board Meetings did not exceed four months. During theFinancial year 2008-09 two Circular Resolutions were passed on August 13, 2008 and March 30, 2009 respectively.

The attendance of each Director at Board Meetings and the last Annual General Meeting (AGM) is as under:

Name of the Director No. of Board Attendance at last AGMMeetings attended held on June 18, 2008

Dr. Vijaypat Singhania 5 No

Shri Gautam Hari Singhania 4 Yes

Shri B. K. Kedia (up to May 22, 2008) 1 No

Shri Nana Chudasama 5 No

Shri B. V. Bhargava 3 No

Shri U. V. Rao 4 No

Shri I. D. Agarwal 5 Yes

Shri Nabankur Gupta 3 Yes

Shri P. K. Bhandari 5 Yes

3. AUDIT COMMITTEE:BROAD TERMS OF REFERENCEThe Audit Committee of the Board of Directors of the Company, inter-alia, provides assurance to the Board on the adequacy ofthe internal control systems and financial disclosures.

The Terms of Reference of the Audit Committee are wide enough to cover the matters specified for Audit Committees underClause 49 of the Listing Agreement as well as in Section 292A of the Companies Act, 1956 and inter-alia includes:

a. oversight of the Company’s financial reporting process and the disclosure of its financial information to ensure that thefinancial statement is correct, sufficient and credible;

b. recommending to the Board, the appointment, re-appointment and, if required, the replacement or removal of the StatutoryAuditors and the fixation of audit fees;

c. approval of payment to Statutory Auditors for any other services rendered by the Statutory Auditors;

d. reviewing, with the management, the annual financial statement before submission to the Board for approval, with particularreference to :

i. matters required to be included in the Director’s Responsibility Statement which forms part of the Directors’ Reportpursuant to Clause 2AA of Section 217 of the Companies Act, 1956;

ii. changes, if any, in accounting policies and practices and reasons for the same;

iii. major accounting entries involving estimates based on the exercise of judgment by management;

iv. significant adjustments made in the financial statements arising out of audit findings;

v. compliance with listing and other legal requirements relating to financial statements;

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vi. disclosure of any related party transactions;

vii. qualifications in the draft audit report.

e. reviewing with the management, the quarterly financial statements before submission to the Board for approval;

f. reviewing, with the management, the statement of uses/application of funds raised through an issue (public issue, rightsissue, preferential issue, etc.), the statement of funds utilised for purposes other than those stated in the offer document/prospectus/notice and the report submitted by the monitoring agency monitoring the utilisation of proceeds of a public orrights issue and making appropriate recommendations to the Board to take up steps in this matter;

g. reviewing, with the management, performance of statutory and internal auditors, adequacy of the internal control systems;

h. reviewing the adequacy of internal audit function, if any, including the structure of the internal audit department, staffingand seniority of the official heading the department, reporting structure coverage and frequency of internal audit;

i. discussion with internal auditors any significant findings and follow up thereon;

j. reviewing the findings of any internal investigations by the internal auditors into matters where there is suspected fraud orirregularity or a failure of internal control systems of material nature and reporting the matter to the Board;

k. discussion with statutory auditors before audit commences, about the nature and scope of audit as well as post-auditdiscussion to ascertain any area of concern;

l. to look into the reasons for substantial defaults in the payment to the depositors, debenture holders, shareholders (in caseof non-payment of declared dividends) and creditors;

m. to review the functioning of the Whistle Blower Mechanism, in case the same is existing;

n. carrying out any other function as mentioned in the terms of reference of the Audit Committee.

In fulfilling the above role, the Audit Committee has powers to investigate any activity within its terms of reference, to seekinformation from employees and to obtain outside legal and professional advice.

The Audit Committee, while reviewing the Annual Financial Statements also reviewed the applicability of various AccountingStandards (AS) referred to in sub-section (3C) of Section 211 of the Companies Act, 1956. Compliance of the AccountingStandards as applicable to the Company has been ensured in the Financial Statements for the year ended March 31, 2009.

COMPOSITIONThe Audit Committee comprises of four Directors, all of whom are Non-Executive. Three Members of the Audit Committee areNon-Executive Independent Directors while one member is Promoter, Non-Executive. The Audit Committee is constituted inaccordance with the provisions of Clause 49 (II) (A) of the Listing Agreement and Section 292A of the Companies Act, 1956. Allthese Directors possess knowledge of corporate finance, accounts and company law. The Meetings of the Audit Committee areattended by the Chief Operating Officer, the President-Finance, the Director-Finance, the Statutory Auditors, the Internal Auditorsand the Company Secretary. The Chairman of the Audit Committee, Shri Nabankur Gupta was present at the 83rd AnnualGeneral Meeting of the Company held on June 18, 2008. The quorum for the Audit Committee Meetings is two non-executiveIndependent members. The Company Secretary acts as Secretary to the Committee.

The Minutes of the Audit Committee Meetings are noted by the Board of Directors at the subsequent Board Meeting.

The composition of the Audit Committee is as follows :

Name of the Director Position CategoryDr. Vijaypat Singhania Member Promoter, Non-Executive

Shri. B. K. Kedia (upto May 22, 2008) Chairman Independent, Non-Executive

Shri B. V. Bhargava Member Independent, Non-Executive

Shri U. V. Rao Member Independent, Non-Executive(Chaired the Audit Committeemeetings held between May 22, 2008to October 31, 2008)

Shri Nabankur Gupta(with effect from October 31, 2008) Chairman Independent, Non-Executive

MEETINGS AND ATTENDANCEThe Audit Committee held four meetings during the financial year ended March 31, 2009 and the gap between two meetingsdid not exceed four months. The Audit Committee Meetings were held on April 29, 2008, July 31, 2008, October 31, 2008 andJanuary 30, 2009.

The attendance at the Audit Committee Meetings is as under:

Name of the Director No. of meetings attendedDr. Vijaypat Singhania 4

Shri. B. K. Kedia (upto May 22, 2008) 1

Shri B. V. Bhargava 2

Shri U. V. Rao 4

Shri Nabankur Gupta 1(with effect from October 31, 2008)

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INTERNAL AUDITORS

The Company has appointed a firm of Chartered Accountants as Internal Auditors to review the internal control systems of theCompany and to report thereon. The report of the Internal Auditors is reviewed by the Audit Committee.

4. REMUNERATION COMMITTEE:

TERMS OF REFERENCE

- Reviewing the overall compensation policy, service agreements and other employment conditions of Managing/WholetimeDirectors.

- Reviewing the performance of the Managing/Wholetime Directors and recommending to the Board, the quantum ofannual increments and annual commission.

COMPOSITION

The Remuneration Committee presently comprises of four Directors, all of whom are Non-Executive Directors. The Chairman ofthe Committee is an Independent and Non-Executive Director nominated by the Board.

The composition of the Remuneration Committee is as follows:

Name of the Director Position Category

Dr. Vijaypat Singhania Member Promoter, Non-Executive

Shri. B. V. Bhargava Chairman Independent, Non-Executive

Shri B. K. Kedia(upto May 22, 2008) Member Independent Non-Executive

Shri Nana Chudasama Member Independent, Non-Executive

Shri Nabankur Gupta(with effect from March 30, 2009) Member Independent, Non-Executive

MEETING AND ATTENDANCE

The Committee did not hold any meeting during the financial year ended March 31, 2009.

REMUNERATION POLICY

A. Remuneration to Non-Executive Directors

The Non-Executive Directors are paid remuneration by way of Commission and Sitting Fees. In the 83rd Annual General Meetingthe shareholders’ have approved payment of commission of Rs.25 lakhs to the Non-Executive Directors of the Company for aperiod of three years for financial years commencing from April 1, 2008 to March 31, 2011. Non-Executive Directors are paidsitting fees @ Rs.10,000 for each meeting of the Board or any Committee thereof attended by them.

The compensation of Non-Executive Directors was approved unanimously by the Board.

None of the Non-Executive Directors has any material pecuniary relationship or transactions with the Company. Shri P. K.Bhandariwas Wholetime Director for a period from April 1, 2008 to April 23, 2008. Dr. Vijaypath Singhania, Chairman Emeritus belongs to thePromoter Group.

B. Remuneration to Chairman and Managing Director and Wholetime Director

The appointment of Chairman and Managing Director and Wholetime Director is governed by resolutions passed by the Boardof Directors and shareholders of the Company, which covers the terms of such appointment and remuneration, read with theservice rules of the Company. Payment of remuneration to Chairman and Managing Director and Wholetime Director isgoverned by the respective Agreements executed between them and the Company. Remuneration paid to Chairman andManaging Director and Wholetime Director is recommended by the Remuneration Committee, approved by the Board and iswithin the limits set by the shareholders at the Annual General Meetings. The remuneration package of Chairman and ManagingDirector and Wholetime Director comprises of salary, perquisites and allowances, commission and contributions to Provident andother Retirement Benefit Funds as approved by the shareholders at the Annual General Meetings. Annual increments are linkedto performance and are decided by the Remuneration Committee and recommended to the Board for approval thereof.

The remuneration policy is directed towards rewarding performance, based on review of achievements. It is aimed at attractingand retaining high caliber talent.

There is no separate provision for payment of severance fees under the resolutions governing the appointment of Chairman andManaging Director and Wholetime Director.

Presently, the Company does not have a scheme for grant of stock options or performance linked incentives for its Directors.

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DETAILS OF REMUNERATION TO ALL THE DIRECTORS FOR THE YEAR ENDED MARCH 31, 2009NON-WHOLETIME DIRECTORS

Name of the Director Sitting Fees(Rs.) No. of Shares heldDr. Vijaypat Singhania 1,40,000 56247

Shri B. K. Kedia (upto May 22, 2008) 20,000 100

Shri Nana Chudasama 1,70,000 663

Shri B. V. Bhargava 80,000 NIL

Shri U. V. Rao 1,30,000 NIL

Shri I. D. Agarwal 50,000 NIL

Shri Nabankur Gupta 40,000 NIL

Shri P. K.Bhandari # 2,10,000 303# Shri. P. K.Bhandari after completion of his term as Wholetime Director on April 23, 2008 became Non-executive Director on theBoard of the Company.

No commission is payable to Non-Wholetime Directors for the Financial Year 2008-09 due to abscence of profits.

MANAGING AND WHOLETIME DIRECTOR

Name of the Director Salary (Rs.) Benefits (Rs.) Service ContractShri Gautam Hari Singhania, *1,80,00,000 *1,89,31,062 5 yearsChairman and Managing Director (July 1, 2004 to June 30, 2009)

Shri P. K.Bhandari, 6,13,333 56,23,179@ 5 yearsWholetime Director (upto April 23, 2008) (April 24, 2003 to April 23, 2008)

* Salary and benefits for February 2009 and March 2009 was provided in the books of accounts.

@The amount paid/payable to Shri P. K. Bhandari as shown in the benefits column above includes Rs.3,50,000/- towards gratuityand Rs.48,00,000/- towards leave encashment on ceasing to be the Wholetime Director of the Company with effect fromApril 24, 2008.

In accordance with the resolutions passed by the Board of Directors and the shareholders of the Company at their respectivemeetings, appointing/revising the remuneration payable to the Chairman and Managing Director and to the WholetimeDirector of the Company an application u/s 198, 309 and other applicable provisions of the Companies Act, 1956, has beenmade by the Company seeking approval of the Central Government for the payment of remuneration on the terms, asapproved by the shareholders at the Annual General Meeting of the Company held on June 23, 2006, due to inadequacy/absence of profits for the Financial Year 2008-09. Two special resolutions in this respect are placed before the shareholders fortheir approval at the 84th Annual General Meeting.

5. SHAREHOLDERS’/INVESTORS’ GRIEVANCES COMMITTEE:FUNCTIONSThe Board of Raymond Limited has constituted a Committee of Directors, which inter-alia also functions as “Shareholders’/Investors’Grievances Committee”, consisting of three members, chaired by a Non-Executive, Independent Director.The Committee meets once a month and inter-alia, deals with various matters relating to:- transfer/transmission/transposition of shares;- consolidation/splitting of shares/folios;- issue of share certificates for lost, sub-divided, consolidated, rematerialised, defaced, etc;- review of shares dematerialised and all other related matters; and- investors’ grievances and redressal mechanism and recommend measures to improve the level of investor services.The Share Department of the Company and the Registrar and Share Transfer Agent, Link Intime India Private Limited attend toall grievances of the shareholders and investors received directly or through SEBI, Stock Exchanges, Ministry of Corporate Affairs,Registrar of Companies etc.The Minutes of the Shareholders’/Investors’ Grievances Committee are noted by the Board of Directors at the Board Meetings.Continuous efforts are made to ensure that grievances are more expeditiously redressed to the complete satisfaction of theinvestors. Shareholders are requested to furnish their telephone numbers and e-mail addresses to facilitate prompt action.

COMPOSITIONThe composition of the Committee of Directors is as under :

Name of the Director Position Category

Shri Nana Chudasama Chairman Independent, Non-Executive

Shri Gautam Hari Singhania Member Promoter, Executive

Shri P. K. Bhandari Member Non-Independent, Non-Executive

Shri Nana Chudasama acts as Chairman of Shareholders’/Investors’ Grievances Committee.

COMPLIANCE OFFICERThe Board has designated Shri Thomas Fernandes, Director – Secretarial & Company Secretary as the Compliance Officer.

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MEETINGS AND ATTENDANCEDuring the year, twelve meetings of the Committee of Directors were held on April 1, 2008, May 2, 2008, June 2, 2008, July 1,2008, August 1, 2008, September 1, 2008, October 1, 2008, November 1, 2008, December 1, 2008, January 6, 2009, February 2,2009 and March 2, 2009.

The number of meetings attended by each of the members is as under :

Name of the Director No. of meetings attended

Shri Nana Chudasama 12

Shri Gautam Hari Singhania 12

Shri P. K. Bhandari 12

DETAILS OF SHAREHOLDERS’ COMPLAINTS RECEIVED, NOT SOLVED AND PENDING SHARE TRANSFERSThe total number of complaints received and replied to the satisfaction of the shareholders during the year endedMarch 31, 2009 was 143. There were no complaints outstanding as on March 31, 2009. The number of pending share transfersand pending requests for dematerialisation as on March 31, 2009 were Nil.

Shareholders’/Investors’ complaints and other correspondence are normally attended to within seven working days exceptwhere constrained by disputes or legal impediments. No investor grievances remained unattended/pending for more than thirtydays as on March 31, 2009.

6. GENERAL BODY MEETINGS:a. Location and time, where last three Annual General Meetings were held is given below :

Financial Year Date Location of the Meeting Time

2005-2006 June 23, 2006 Registered Office of the Company at Ratnagiri 11.00 A.M.

2006-2007 June 18, 2007 Registered Office of the Company at Ratnagiri 11.00 A.M.

2007-2008 June 18, 2008 Registered Office of the Company at Ratnagiri 11.00 A.M.

b. Special Resolutions passed at last three Annual General Meetings :

(i) Special resolution for reappointment of Messrs. Dalal & Shah, Chartered Accountants as Statutory Auditors of theCompany were passed at the 81st Annual General Meeting of the Company held on June 23, 2006 which was put tovote by show of hands and was passed unanimously.

(ii) The payment of commission to Non-Executive Directors for the financial year 2006-2007 and 2007-2008 were passed atthe 82nd Annual General Meeting of the Company held on June 18, 2007, which was put to vote by show of hands andwas passed unanimously. In the 83rd Annual General Meeting held on June 18, 2008, the shareholders’ have approvedpayment of commission of Rs.25 lakhs to the Non-Executive Directors of the Company, by passing a special resolutionfor a period of three years for financial years commencing from April 1, 2008 to March 31, 2011.

c. Passing of resolutions by Postal Ballot :

No items were passed by resolutions through Postal Ballot during the Financial Year 2008 - 2009. At the forthcoming AnnualGeneral Meeting also, there is no item on the agenda that needs approval by Postal Ballot.

d. Extra-ordinary General Meeting :

No Extra-ordinary general meeting was held by the Company during the financial year ended March 31, 2009.

7. SUBSIDIARIES :

The Company does not have any material non-listed Indian subsidiary whose turnover or net worth (i.e. paid-up capital and freereserves) exceeds 20% of the consolidated turnover or net worth respectively, of the listed holding company and its subsidiariesin the immediately preceding accounting year.

8. CODE OF CONDUCT :

The Board of Directors has adopted the Code of Business Conduct and Ethics for Directors and Senior Management. The saidCode has been communicated to the Directors and members of the Senior Management. The Code has also been displayedon the Company’s website – www.raymond.in.

9. INSIDER TRADING :

Code of Conduct for Prevention of Insider Trading

The Securities and Exchange Board of India (SEBI) has over the years introduced various amendments to the Insider TradingRegulations of 1992 which ordain new action steps by corporates and other market intermediaries for the purposes of preventionof Insider Trading.

Pursuant to the above requirements of SEBI (Prohibition of Insider Trading) Regulations, 1992 as amended, the Company hasadopted a ‘Code of Conduct for Prevention of Insider Trading’ (The Code) with effect from October 1, 2002. The Code isapplicable to all Directors and such Designated Employees who are expected to have access to unpublished price sensitiveinformation relating to the Company. The Company Secretary has been appointed as the Compliance Officer for monitoringadherence to the said Regulations.

17

10. DISCLOSURES :

a. Disclosure on materially significant related party transactions that may have potential conflict with the interests of theCompany at large.

There are no materially significant related party transactions made by the Company with its Promoters, Directors orManagement, their subsidiaries or relatives, etc. that may have potential conflict with the interests of the Company at large.

Transactions with related parties as per requirements of Accounting Standard (AS-18) – ‘Related Party Disclosures’ aredisclosed in Note No. 19 of Schedule 16 to the Accounts in the Annual Report.

b. Disclosure of Accounting Treatment

In the preparation of the financial statements, the Company has followed the Accounting Standards referred to in Section211 (3)(c) of the Companies Act, 1956. The significant accounting policies which are consistently applied are set out in theAnnexure to Notes to the Accounts.

c. Risk Management

Business risk evaluation and management is an ongoing process within the Company. During the year under review, adetailed exercise on ‘Risk Assessment and Management’ was carried out covering the entire gamut of business operationsand the Board was informed of the same.

d. Details of non-compliance by the Company, penalties, strictures imposed on the Company by Stock Exchanges or SEBI orany statutory authority, on any matter related to capital markets, during the last three years.

The Company has complied with all requirements of the Listing Agreements entered into with the Stock Exchanges as wellas the regulations and guidelines of SEBI. Consequently, there were no strictures or penalties imposed by either SEBI or theStock Exchanges or any statutory authority for non-compliance of any matter related to the capital markets during the lastthree years.

e. Non-mandatory requirements

Adoption of non-mandatory requirements of Clause 49 of the Listing Agreement are being reviewed by the Board fromtime to time.

11. MEANS OF COMMUNICATION:

(i) The Board of Directors of the Company approves and takes on record the quarterly, half yearly and yearly financial resultsin the Proforma prescribed by Clause 41 of the Listing Agreement within one month of the close of the respective period.

(ii) The approved financial results are forthwith sent to the Listed Stock Exchanges and are published in a national Englishnewspaper. In addition, the same are published in local language (Marathi) newspaper, within forty-eight hours of approvalthereof. Presently the same are not sent to the shareholders separately.

(iii) Pursuant to Clause 51 of the Listing Agreement, all data related to quarterly financial results, shareholding pattern, etc. arehosted on the Electronic Data Information Filing and Retrieval (EDIFAR) website www.sebiedifar.nic.in maintained by SEBI inassociation with the National Informatics Centre, within the time frame prescribed in this regard.

(iv) The Company’s financial results and official news releases are displayed on the Company’s website www.raymond.in

(v) No formal presentations were made to the institutional investors and analysts during the year under review.

(vi) Management Discussion and Analysis forms part of the Annual Report, which is posted to the shareholders of the Company.

12. GENERAL SHAREHOLDER INFORMATION:

Detailed information in this regard is provided in the section ‘Shareholder Information’ which forms part of this Annual Report.

13. COMPLIANCE CERTIFICATE OF THE AUDITORS:

The Statutory Auditors have certified that the Company has complied with the conditions of Corporate Governance as stipulatedin Clause 49 of the Listing Agreement with the Stock Exchanges and the same is annexed to the Directors’ Report andManagement Discussion and Analysis.

The Certificate from the Statutory Auditors will be sent to the Listed Stock Exchanges along with the Annual Reports of theCompany.

D E C L A R A T I O NAs provided under Clause 49 of the Listing Agreement with the Stock Exchanges, all Board members and Senior ManagementPersonnel have affirmed compliance with Raymond Limited Code of Business Conduct and Ethics for the year endedMarch 31, 2009.

for Raymond Limited

Gautam Hari SinghaniaChairman and Managing Director

Mumbai, April 24, 2009

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SHAREHOLDER INFORMATION

Registered Office : Plot No. 156/H. No.2, Village Zadgaon, Ratnagiri 415 612,MaharashtraPhone : 95-2352-232514; Fax : 95-2352- 232513 Website : www.raymond.in

Annual General Meeting : Day, Date and Time : Wednesday, June 10, 2009 at 11.00 A.M.Venue : Registered Office of the Company : Plot No. 156/H. No. 2, Village Zadgaon,

Ratnagiri 415 612, Maharashtra.

Financial Calendar :

• Financial reporting for the quarter ending June 30, 2009 : End July 2009• Financial reporting for the half year ending September 30, 2009 : End October 2009• Financial reporting for the quarter ending December 31, 2009 : End January 2010• Financial reporting for the year ending March 31, 2010 : End April 2010

Date of Book Closure : May 27, 2009 to June 10, 2009 (both days inclusive) in connection with Annual General Meeting.

Listing on Stock Exchanges:

The Equity Shares of the Company are listed on Bombay Stock Exchange Limited (BSE) and National Stock Exchange of India Limited(NSE). Annual Listing Fees as prescribed have been paid to both the Stock Exchanges for the year 2009 – 2010.

Global Depository Receipts are listed on Luxembourg Stock Exchange and Annual Listing Fees as prescribed has been paid to thesaid Stock Exchange for the calendar year 2009.

Stock Code : Bombay Stock Exchange Limited – 500330National Stock Exchange of India Limited – Raymond EQDemat ISIN No. for NSDL and CDSL – INE301A01014

Stock Market Data : The monthly high and low quotations and volume of shares traded on BSE and NSE during the year wereas follows :

MONTH BSE NSE

HIGH (Rs.) LOW (Rs.) VOLUME (Nos.) HIGH (Rs.) LOW (Rs.) VOLUME (Nos.)

APRIL 2008 303.95 262.00 615144 302.00 262.10 1132349

MAY 2008 282.60 234.70 893008 292.00 235.00 1098442

JUNE 2008 258.00 205.00 716420 259.70 182.30 706018

JULY 2008 223.00 200.00 647677 223.00 190.80 655564

AUGUST 2008 209.70 193.05 581482 208.00 192.40 502917

SEPTEMBER 2008 199.95 128.00 510797 199.65 125.05 912876

OCTOBER 2008 137.00 75.00 844434 119.40 76.05 840298

NOVEMBER 2008 100.00 78.50 885738 101.50 76.00 493057

DECEMBER 2008 116.00 80.15 730527 117.60 84.30 1326057

JANUARY 2009 119.30 88.25 947078 119.50 89.10 945906

FEBRUARY 2009 91.00 76.15 702177 91.20 76.40 547198

MARCH 2009 81.60 68.10 1038012 81.30 67.95 1435611

BSE NSE

No. of Shares traded 9112494 10596293

Highest Share Price (Rs.) 303.95 302.00

Lowest Share Price (Rs.) 68.10 67.95

Closing share price as on March 31, 2009 (Rs.) 76.45 76.15

Market Capitalisation as on March 31, 2009 (Rs.) 46926 Lakhs 46742 Lakhs

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Stock Performance (Indexed) :The performance of the Company’s shares relative to BSE Sensex is given in the chart below:

Registrar and Share Transfer Agent :LINK INTIME INDIA PRIVATE LIMITED(Formerly known as Intime Spectrum Registry Limited)C-13, Pannalal Silk Mills Compound,L.B.S Marg, Bhandup (West), Mumbai – 400 078.Tel : 022-25963838; Fax : 022-25946969e-mail : mahadevan.iyer@linkintime.co.in ; sujata.poojary@linkintime.co.ine-mail : Exclusive for redressal of Investor Complaints is mumbai@linkintime.co.inTime : 10.00 a. m. to 1.00 p. m. and 2.00 p. m. to 4.00 p. m. (Monday to Friday)

Share Transfer System:

The transfer of shares in physical form is processed and completed by Registrar & Transfer Agent within a period of seven days fromthe date of receipt thereof provided all the documents are in order. In case of shares in electronic form, the transfers are processedby NSDL/CDSL through respective Depository Participants. In compliance with the Listing Agreement with the Stock Exchanges, aPractising Company Secretary carries out audit of the System of Transfer and a certificate to that effect is issued.

Distribution of shareholding as on March 31, 2009:

No. of equity shares No. of shareholders % of shareholders No. of shares held % of shareholding

Upto 500 125539 96.84 9130058 14.87

501 to 1000 2503 1.93 1829656 2.98

1001 to 2000 931 0.72 1328760 2.16

2001 to 3000 241 0.19 603477 0.98

3001 to 4000 120 0.09 428496 0.70

4001 to 5000 80 0.06 368475 0.60

5001 to 10000 109 0.08 772222 1.26

10001 and above 117 0.09 46919709 76.45

GRAND TOTAL 129640 100 61380853 100

BS

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BSE Sensex LowBSE Sensex High

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Share Price LowShare Price High

April 2008 to March 2009

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-09

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Shareholding Pattern as on March 31, 2009:

Category No. of shares Percentage of held shareholding

(A) Shareholding of Promoter and Promoter Group

1 Indian

(a) Individuals/Hindu Undivided Family 861403 1.40

(b) Bodies Corporate 22693022 36.97

Sub-Total (A)(1) 23554425 38.37

2 Foreign — —

Sub-Total (A)(2) — —

Total Shareholding of Promoter and Promoter Group (A)= (A)(1)+(A)(2) 23554425 38.37

(B) Public shareholding

1 Institutions

(a) Mutual Funds/UTI 3546267 5.78

(b) Financial Institutions/Banks 31944 0.05

(c) Venture Capital Funds — —

(d) Insurance Companies 12653205 20.61

(e) Foreign Institutional Investors 2740225 4.47

Sub-Total (B)(1) 18971641 30.91

2 Non-Institutions

(a) Bodies Corporate 3642096 5.93

(b) Individuals

i Individual shareholders holding nominal share capital up to Rs. 1 lakh 13351761 21.75

ii Individual shareholders holding nominal share capital in excess of Rs. 1 lakh. 964315 1.57

(c) Any Other (specify)

Trusts 1303 0.01

Sub-Total (B)(2) 17959475 29.26

Total Public Shareholding (B)= (B)(1)+(B)(2) 36931116 60.17

TOTAL (A)+(B) 60485541 98.54

(C) Shares held by Custodians and against which Depository Receipts have been issued 895312 1.46

GRAND TOTAL (A)+(B)+(C) 61380853 100

Dematerialisation of shares and liquidity:

94.37% of the equity shares of the Company have been dematerialised as on March 31, 2009. The Company has entered intoagreements with both National Securities Depository Limited (NSDL) and Central Depository Services (India) Limited (CDSL) wherebyshareholders have an option to dematerialise their shares with either of the depositories.

Status of Dematerialisation as on March 31, 2009 :

PARTICULARS NO. OF SHARES % TO TOTAL CAPITAL NO. OF ACCOUNTS

National Securities Depository Limited 55797563 90.90 64286

Central Depository Services (India) Limited 2126659 3.47 14856

TOTAL DEMATERIALISED 57924222 94.37 79142

PHYSICAL 3456631 5.63 50498

GRAND TOTAL 61380853 100.00 129640

Outstanding GDRs/Warrants and Convertible Bonds, conversion date and likely impact on equity :

Outstanding number of GDRs represent 895312 equity shares (1.46%) of the total share capital as on March 31, 2009. Each GDRrepresents 2 underlying equity shares. Since the underlying equity shares represented by GDRs have been allotted in full, theoutstanding GDRs have no impact on the equity of the Company.

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The Company during the previous financial year had issued 61,38,085 warrants on a preferential basis to one of the promoters as perthe SEBI (Disclosure and Investor Protection) Guidelines, 2000 entitling the warrant holders to apply for equivalent number of fully paidequity shares of Rs.10/- each at a price of Rs. 340/- per share. In terms of the special resolution, the said warrants have been issuedupon payment of 10% of the amount. The balance 90% of the amount is payable on or before June 3, 2009.

Unclaimed Dividends :

Pursuant to Section 205C of the Companies Act, 1956, dividends that are unpaid/unclaimed for a period of seven years from thedate they became due for payment are required to be transferred by the Company to the Investor Education and Protection Fund(IEPF) administered by the Central Government. Given below are the dates of declaration of dividend and corresponding dateswhen unpaid/unclaimed dividends are due for transfer to IEPF:

Financial Year Date of declaration of Dividend Due Date for transfer to IEPF

2001-2002 June 24, 2002 July 30, 2009

2002-2003 June 11, 2003 July 17, 2010

2003-2004 June 30, 2004 August 6, 2011

2004-2005 June 16, 2005 July 22, 2012

2005-2006 June 23, 2006 July 29, 2013

2006-2007 June 18, 2007 July 24, 2014

2007-2008 June 18, 2008 July 24, 2015

Members who have so far not encashed their dividend warrants are requested to write to the Company/Registrar to claim the same,to avoid transfer to IEPF. Members are advised that no claims shall lie against the said Fund or the Company for the amounts ofdividend so transferred to the said Fund.

During the Financial Year 2008-09, the Company has transferred Rs. 36,64,515.00 to Investor Education and Protection Fund towardsUnclaimed Dividend, Fixed Deposits and Debentures, Interest on Fixed Deposits and Debentures.

Nomination:

Individual shareholders holding shares singly or jointly in physical form can nominate a person in whose name the shares shall betransferable in case of death of the registered shareholder(s). Nomination facility in respect of shares held in electronic form is alsoavailable with the depository participants as per the bye-laws and business rules applicable to NSDL and CDSL. Nomination formscan be obtained from the Company’s Registrar and Share Transfer Agent.

Electronic Clearing Service:

The Securities and Exchange Board of India has made it mandatory for all companies to use the bank account details furnished bythe depositories and shareholders for crediting dividend through Electronic Clearing Services (ECS) to the investors wherever ECSand bank details are available. In the absence of ECS facility, the Company is required to print the bank account details on thedividend warrants. This ensures that the dividend warrants, even if lost or stolen, cannot be used for any purpose other than fordepositing the money in the accounts specified on the dividend warrants and ensures safety for the investors. The Companycomplies with the SEBI requirements.

Plant Locations:

The Company has the following manufacturing and operating Divisions :

Textile Division :

Thane Jekegram, Thane, Maharashtra - 400 606;

Jalgaon No. E/1, MIDC Area, Phase II, Ajanta Road, Jalgaon, Maharashtra - 425 003;

Chhindwara B 1, A.K.V.N., Boregaon Industrial Growth Centre, Kailash Nagar, Tehsil Sauser,Dist. Chhindwara, Madhya Pradesh - 480 001;

Vapi N. H. No.8, Khadki - Udwada, Taluka Pardi, District Valsad, Gujarat - 396 185;

Bangalore No.4/2A, 2B, 5/3A, 3B, Gundapura, Gowribidanur, Taluk Chikkaballapura,Bangalore, Karnataka – 561208.

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J. K. Files and Tools Division:

Ratnagiri A-1 Mirjole Industrial Estate, MIDC, Kolhapur Road, Ratnagiri, Maharashtra - 415 639;

Chiplun Plot No. C 1/1, MIDC Area, Gane – Khadpoli, Chiplun, Maharashtra - 415 605.

Pithampur Shed No. S/1 & S/2, Sector 1, Road No. 10, Pithampur, Dist. Indore,Madhya Pradesh - 454 775.

Kolkata 22 New Tangra Road, Kolkata, West Bengal - 700 046.

Aviation Division : Mahindra Towers, B Wing, 2nd Floor, P. B. Marg, Worli, Mumbai - 400 018.

Address for Correspondence:

PHYSICAL SHARES DEMAT SHARES DEBENTURES AND FIXED DEPOSITS

LINK INTIME INDIA PRIVATE LIMITED Respective Depository Raymond LimitedC-13, Pannalal Silk Mills Compound, Participants of the shareholders Share DepartmentL.B.S Marg, Bhandup (West), Pokhran Road No.1Mumbai – 400 078 JekegramTel : 022-25963838 Thane 400 606Fax : 022-25946969 Maharashtrae-mail: mahadevan.iyer@linkintime.co.in Phone : 022-4036 8619/20

sujata.poojary@linkintime.co.in Fax : 022-2538 2912

SECRETARIAL AUDIT FOR RECONCILIATION OF CAPITAL:

As stipulated by SEBI, a qualified Practising Company Secretary carries out Secretarial Audit to reconcile the total admitted capitalwith National Securities Depository Limited (NSDL) and Central Depository Services (India) Limited (CDSL) and the total issued andlisted capital. This audit is carried out every quarter and the report thereon is submitted to the Listed Stock Exchanges. The auditconfirms that the total Listed and Paid-up Capital is in agreement with the aggregate of the total number of shares in dematerialisedform (held with NSDL and CDSL) and total number of shares in physical form.

AUDITORS’ CERTIFICATE ON CLAUSE 49 COMPLIANCE

The Members ofRaymond Limited

We have reviewed the records concerning the Company’s compliance of the conditions of Corporate Governance as stipulated inClause 49 of the Listing Agreement entered into, by the Company, with Stock Exchanges of India, for the financial year ended31st March, 2009.

The Compliance of conditions of corporate governance is the responsibility of the management. Our examination was limited toprocedures and implemention thereof, adopted by the Company for ensuring the compliance of the conditions of the CorporateGovernance. It is neither an audit nor an expression of opinion on the financial statements of the Company.

We have conducted our review on the basis of the relevant records and documents maintained by the Company and furnished tous for the review, and the information and explanations given to us by the Company.

Based on such a review and to the best of our information and according to the explanations given to us, in our opinion, theCompany has complied with the conditions of Corporate Governance, as stipulated in Clause 49 of the said Listing Agreements.

We further state that, such compliance is neither an assurance as to the future viability of the Company, nor as to the efficiency oreffectiveness with which the management has conducted the affairs of the Company.

For and on behalf ofDALAL & SHAH

Chartered Accountants

Ashish DalalPartner

Mumbai, April 24, 2009 Membership No. 33596

23

REPORT OF THE AUDITOR TO THE MEMBERS

We have audited the attached Balance Sheet of Raymond Limited as at 31st March, 2009, the annexed Profit and Loss Account forthe year ended on that date, and also the Cash Flow Statement for the year ended on that date. These financial statements are theresponsibility of the Company’s management. Our responsibility is to express an opinion on these financial statements based on ouraudit.

1. We conducted our audit in accordance with the auditing standards generally accepted in India. Those Standards require thatwe plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from anymaterial misstatement. An audit includes, examining on a test basis, evidence supporting the amounts and disclosures in thefinancial statements. An audit also includes, assessing the accounting principles used and significant estimates made bymanagement, as well as evaluating the overall presentation of the financial statements. We believe that our audit provides areasonable basis for our opinion.

2. As required by the Companies (Auditor’s Report) Order, 2003 and the Companies (Auditor’s Report) (Amendment) Order, 2004issued by the Central Government in terms of Section 227(4A) of the Companies Act, 1956, we annex hereto a statement on thematters specified in paragraphs 4 and 5 of the said Order.

3. Further to our comments in the Annexure referred to above, we report that:

(i) We have obtained all the information and explanations, which, to the best of our knowledge and belief, were necessary forthe purposes of our audit;

(ii) In our opinion, proper books of account as required by law have been kept by the Company so far as appears from ourexamination of the books of the Company;

(iii) The Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt with by this report are in agreement with thebooks of account of the Company;

(iv) In our opinion, the Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt with by this report comply withthe accounting standards referred to in sub-section (3C) of Section 211 of the Companies Act,1956;

(v) Based on the representations made by the Directors as on 31st March, 2009 and taken on record by the Board of Directorsof the Company and the information and explanations given to us, none of the Directors is, as at 31st March, 2009, prima-facie disqualified from being appointed as a director in terms of clause (g) of sub-section (1) of Section 274 of theCompanies Act, 1956;

(vi) Without qualifying our opinion, we draw attention to Note No.3A in Schedule 16 relating to investments in, loans and otherreceivables from subsidiaries, whose networths have eroded/substantially eroded; Note No.3B(a) in Schedule 16, relating toprovision for diminution in the value of Company’s exposures in Raymond UCO Denim Private Limited, based on a valuer’sreport and management’s judgement, upon which we have placed our reliance; and Note No.8A relating to managerialremuneration which is subject to the approval of the Central Government and the Shareholders.

(vii) In our opinion and to the best of our information and according to the explanations given to us, the said financialstatements, read with the notes thereon, give the information required by the Companies Act, 1956, in the manner sorequired and present a true and fair view in conformity with the accounting principles generally accepted in India:

(a) in the case of the Balance Sheet, of the state of affairs of the Company as at 31st March, 2009;

(b) in the case of the Profit and Loss Account, of the Loss for the year ended on that date; and

(c) in the case of the Cash Flow Statement, of the cash flows for the year ended on that date.

For and on behalf ofDALAL & SHAH

Chartered Accountants

Ashish DalalPartner

Mumbai: 24th April, 2009 Membership No.33596

24

ANNEXURE REFERRED TO IN PARAGRAPH 2 OF OUR AUDITOR’S REPORT OF EVEN DATE ON THE FINANCIALSTATEMENTS FOR THE YEAR ENDED 31st MARCH, 2009 OF RAYMOND LIMITEDOn the basis of such checks as we considered appropriate and in terms of the information and explanations given to us, we state that:-

i. (a) The Company has generally maintained proper records showing particulars, including quantitative details and situation offixed assets;

(b) As explained to us, the fixed assets have been physically verified by the management at reasonable intervals, according toa phased verification programme, which, in our opinion, is reasonable, looking to the size of the Company and the natureof its assets. According to the information and explanations given to us, discrepancies noticed on physical verification havebeen properly dealt with in the books of account;

(c) During the year, the Company has not disposed off any substantial part of its fixed assets so as to affect its going concern;

ii. (a) As explained to us, inventories have been physically verified during the year by the management. Inventories lying withoutside parties have been confirmed by them at the close of the year;

(b) The procedures explained to us, which are followed by the management for physical verification of inventories, are, in ouropinion, reasonable and adequate in relation to the size of the Company and the nature of its business;

(c) On the basis of our examination of the inventory records of the Company, we are of the opinion that, the Company ismaintaining proper records of its inventory. Discrepancies which were noticed on physical verification of inventory ascompared to book records, have been properly dealt with in the books of account;

iii. According to the information and explanations given to us, the Company has not granted/taken any loan, secured orunsecured, to/from companies, firms or other parties covered in the register maintained under Section 301 of the CompaniesAct 1956;

iv. In our opinion and according to the information and explanations given to us, there are generally adequate internal controlprocedures commensurate with the size of the Company and the nature of its business with regard to purchase of inventoryand fixed assets and for sale of goods and services. During the course of our audit, we have not observed any continuing failureto correct major weaknesses in internal control;

v. (a) On the basis of the audit procedures performed by us, and according to the information, explanations and representationsgiven to us, the particulars of all transactions in which directors were interested, as contemplated under Section 297 andSection 299 of the Companies Act, 1956, and which were required to be entered in the register maintained under Section301 of the said Act, have been so entered;

(b) In our opinion, and according to the information and explanations given to us, the transactions made in pursuance ofcontracts or arrangements entered in the register maintained under Section 301 of the Companies Act, 1956 exceeding thevalue of rupees five lacs in respect of any party during the year have been made at prices which are reasonable havingregard to prevailing market prices at that time;

vi. The Company has not accepted any deposits from the public;

vii. On the basis of the internal audit reports broadly reviewed by us, we are of the opinion that, the coverage of internal auditfunctions carried out by a firm of Chartered Accountants appointed by the management, is commensurate with the size of theCompany and the nature of its business;

viii. We have broadly reviewed the books of account maintained by the Company pursuant to the rules made by the CentralGovernment for the maintenance of cost records under Section 209(1)(d) of the Companies Act, 1956 in respect of theCompany’s products to which the said rules are made applicable, and are of the opinion that, prima-facie, the prescribedaccounts and records have been made and maintained. We have, however not made a detailed examination of the recordswith a view to determine whether they are accurate or complete;

ix. (a) According to the records of the Company, it has generally been regular in depositing undisputed statutory dues includingProvident Fund, Investor Education and Protection Fund, Employees’ State Insurance, Income Tax, Sales Tax, Wealth Tax,Service Tax, Custom Duty, Excise Duty, Cess and other material statutory dues with the appropriate authorities;

(b) On the basis of our examination of the documents and records, and explanations and information given to us, there wereno disputed dues in respect of Service Tax, Wealth Tax and Custom Duty. The following disputed dues on account ofIncome Tax, Sales Tax, Excise Duty, Entry Tax and Cess on Royalty have not been deposited with the appropriate authorities:

Nature of Dues Amount (Rs. in lacs) Forum where dispute is pending

Income Tax 489.07 Commissioner of Income Tax (Appeals)

Sales Tax / VAT and Entry Tax 41.43 High Courts

18.76 Sales Tax Appellate Tribunal

108.60 Sales Tax Departmental Authorities

Excise Duty 5849.68 Central Excise and Service Tax Appellate Tribunal

221.27 Excise Departmental Authorities

Cess on Royalty Amount not determinable High Court

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x. The Company has neither accumulated losses at the end of the financial year nor has it incurred cash losses, both, in thefinancial year under report and the immediately preceding financial year;

xi. On the basis of the records examined by us and the information and explanations given to us, the Company has not defaultedin repayment of dues to Banks and Debenture holders. There were no dues to any Financial Institution during the year;

xii. As explained to us, the Company has not granted any loans or advances on the basis of security by way of pledge of shares,debentures or any other securities;

xiii. In respect of shares, securities, debentures and other investments dealt or traded by the Company, proper records have beenmaintained in respect of the transactions and contracts and timely entries have been made therein. All the investments areheld by the Company in its own name;

xiv. According to the information and explanations given to us, and the representations made by the management, the Companyhas given guarantee for loans taken by its subsidiaries from Banks aggregating Rs.8307.33 lacs. The terms and conditions of suchguarantees are, prima-facie, not prejudicial to the interests of the Company;

xv. On the basis of the records examined by us, we have to state that, the Company has, prima facie, applied the term loans for thepurposes for which they were obtained;

xvi. According to the information and explanations given to us and on an overall examination of the Financial Statements of theCompany, we are of the opinion that, prima facie, short term funds have not been used for long term investment;

xvii. The Company has, during the year, not made any preferential allotment of shares to parties and companies covered in theregister maintained under Section 301 of the Companies Act, 1956;

xviii. On the basis of the records and documents examined by us, the Company has, during the year, issued short term privatelyplaced secured debentures with daily put/call option, aggregating Rs.114100 lacs, which have been repaid prior to thecreation of any security in favour of the debenture holders;

xix. The Company has not raised any money by way of public issue during the year;

xx. According to the information and explanations given to us, and to the best of our knowledge and belief, no significant fraud onor by the Company, has been noticed or reported by the Company during the year ;

Looking to the nature of activities being carried on, at present, by the Company and also considering the nature of the mattersreferred to in the various clauses of the Companies (Auditors’ Report) Order, 2003, and the Companies (Auditor’s Report) (Amend-ment) Order, 2004, Clauses (iii)(b), (iii)(c), (iii)(d), (iii)(f), (iii)(g) and (xiii) of paragraph 4 of the aforesaid Order, are, in our opinion, notapplicable to the Company.

For and on behalf ofDALAL & SHAH

Chartered Accountants

Ashish DalalPartner

Mumbai: 24th April, 2009 Membership No.33596

26

Schedule 31st March, 2009 31st March, 2008No. (Rs. in lacs) (Rs. in lacs)

SOURCES OF FUNDS:Shareholders’ Funds:

Share Capital 1 6138.08 6138.08Share Warrants 1A 2086.95 2086.95Reserves and Surplus 2 106560.29 133690.42

114785.32 141915.45Loan Funds: 3

Secured Loans 86884.81 50204.16Unsecured Loans 47621.85 37472.21

134506.66 87676.37Deferred Tax Liability (Net)

(Refer Note18) 2837.20 5967.58

TOTAL 252129.18 235559.40

APPLICATION OF FUNDS:Fixed Assets: 4

Gross Block 170064.13 134540.27Less: Depreciation and Amortisation 70159.58 62587.76

Net Block 99904.55 71952.51Capital work-in-progress 6210.69 1358.36

106115.24 73310.87Investments 5 88859.46 104730.20

Current Assets, Loans and Advances: 6Inventories 34040.36 32974.18Sundry Debtors 30447.61 28988.56Cash and Bank Balances 4679.94 2182.48Other Current Assets 5066.34 5775.49Loans and Advances 23931.08 23361.38

98165.33 93282.09

Less:Current Liabilities and Provisions: 7

Current Liabilities 35044.23 28210.03Provisions 5966.62 7553.73

41010.85 35763.76

Net Current Assets 57154.48 57518.33

TOTAL 252129.18 235559.40

Notes forming part of the Accounts 16

BALANCE SHEET AS AT 31ST MARCH, 2009

As per our Report of even date

For and on behalf ofDALAL & SHAH H. SUNDER GAUTAM HARI SINGHANIAChartered Accountants President - Finance Chairman and Managing Director

ASHISH DALAL THOMAS FERNANDES P. K. BHANDARIPartner Director-Secretarial & Director

Company Secretary

Mumbai, 24th April, 2009 Mumbai, 24th April, 2009

27

PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31ST MARCH, 2009Year ended Year ended

Schedule 31st March, 2009 31st March, 2008No. (Rs. in lacs) (Rs. in lacs)

INCOMESales, Services and Export Incentives 8 139325.37 133756.33Less:Excise Duties (1405.99) (1505.18)

137919.38 132251.15Other Income 9 9860.40 12080.89

147779.78 144332.04EXPENDITURE

Material Costs 10 44290.85 46855.29Manufacturing and Operating Costs 11 27030.47 26467.16(Increase)/Decrease in finished and process stock 12 (2904.95) (3792.31)Employment Costs 13 26100.26 23315.98Administrative, Selling andGeneral expenses 14 32845.78 30437.68Finance Charges 15 8500.86 6010.34Loss/(Gain) on Variation In ForeignExchange Rates (Net) 8910.27 (1683.66)Depreciation and Amortisation 8881.35 8106.71

153654.89 135717.19

PROFIT/(LOSS) FOR THE YEAR BEFORE EXCEPTIONAL ITEMS: (5875.11) 8614.85EXCEPTIONAL ITEMS (Refer Note 17) (23879.95) (445.19)

PROFIT/(LOSS) FOR THE YEAR BEFORE TAX (29755.06) 8169.66Provision for Income Tax :- Current Tax — 780.08

Less: MAT Credit — (642.08)- Deferred Tax charge/(credit) (3130.38) 1015.49- Fringe Benefit Tax 315.00 342.00Provision for Wealth Tax 100.00 62.00

PROFIT/(LOSS) FOR THE YEAR AFTER TAX (27039.68) 6612.17Prior period adjustments (net) (Refer Note 16) (65.41) 1.03Tax in respect of ealier years (Net) (50.04) 629.10Balance brought forward 32674.54 27888.77

BALANCE AVAILABLE FOR APPROPRIATION 5519.41 35131.07

General Reserve — 661.22Proposed Dividend — 1534.52Tax on proposed dividend — 260.79

— 2456.53

Balance carried to Balance Sheet 5519.41 32674.54

Weighted average number of Equity Shares outstandingduring the year 61380853 61380853

Basic and diluted earnings per share, including exceptionalitems (in Rs.) (44.24) 11.80

Basic and diluted earnings per share, excluding exceptionalitems (net of tax) (in Rs.) (5.94) 12.28

Notes forming part of the Accounts 16

As per our Report of even date

For and on behalf ofDALAL & SHAH H. SUNDER GAUTAM HARI SINGHANIAChartered Accountants President - Finance Chairman and Managing Director

ASHISH DALAL THOMAS FERNANDES P. K. BHANDARIPartner Director-Secretarial & Director

Company Secretary

Mumbai, 24th April, 2009 Mumbai, 24th April, 2009

28

Year Ended Year Ended31st March, 2009 31st March, 2008

(Rs. in lacs) (Rs. in lacs)A. Cash Flow arising from Operating Activities:

Net Profit before Tax and Exceptional Items as perProfit and Loss Account (5875.11) 8614.85Add/(Deduct):a) Provision for Doubtful Debts / Bad Debts, Advances and

claims written off 117.73 27.15b) Provision no longer required (753.62) (186.52)c) Provision for Diminution in value of Investments 1313.56 43.72d) Depreciation and Amortisation Charge 8881.35 8106.71e) Finance Charges and Gain/Loss on variation in

Foreign Exchange rates 20806.45 7387.76f) Loss on sale of Assets ( Net) 45.49 120.72g) Interest Income (4136.00) (3456.88)h) Dividend Income (1949.28) (1279.80)i) Surplus on sale of Investments (1721.52) (4692.16)

22604.16 6070.70

Operating Cash Profit before Working Capital Changes 16729.05 14685.55Add/(Deduct):a) Increase/(Decrease) in Trade Payable 7544.03 (1135.02)b) Decrease/ (Increase) in Trade and Other Receivables (9431.10) (5112.23)c) Decrease/(Increase) in Inventories (1066.18) (4607.82)

(2953.25) (10855.07)Cash Flow from Operations 13775.80 3830.48Add : Direct Taxes refunds (Net) (1343.77) (1826.26)Cash Flow before Prior Period Adjustments 12432.03 2004.22Add/(Deduct) : Prior Period adjustments (65.62) (7.37)Net Cash Inflow in the course of Operating Activities 12366.41 1996.85Deduct: Voluntary Retirement Compensation 312.54 445.19Net Cash Inflow in the course of OperatingActivities after Exceptional Items 12053.87 1551.66

B. Cash Flow arising from Investing Activities:Inflow:a) Sale of Fixed Assets 194.52 153.43b) Interest Received 4195.62 3309.84c) Dividend Received 1949.28 1279.80d) Sale of Long Term Investments 12729.61 7664.82e) Capital Subsidy Received 25.00 —

19094.03 12407.89Outflow:a) Acquisition of Fixed Assets 41925.52 5509.17b) Investment in Subsidiaries/Joint Ventures 1293.58 2892.65c) Purchase of other Long Term Investments 752.10 450.00d) Purchase of Current Investments (Net) 14307.41 5956.43e) Increase in Loans to Companies (Net) (3071.45) (1089.79)

55207.16 13718.46Net Cash (Outflow) in the course of Investing Activities (36113.13) (1310.57)

C. Cash Flow arising from Financing Activities:Inflow:a) Proceeds from Term Loans 46329.33 1279.21b) Proceeds from other Borrowings (Net) 500.95 14508.96c) Proceeds from Issue of Share Warrants — 2086.95

46830.28 17875.12Outflow:a) Finance Charges (Net) 18471.12 9121.18b) Dividend Paid 1541.65 3052.37c) Tax on dividend 260.79 521.58d) Repayment of Debentures (Net) — 5800.00

20273.56 18495.13Net Cash Inflow in the course of Financing Activities 26556.72 (620.01)

Net Increase/(Decrease) in Cash/Cash Equivalents (A+B+C) 2497.46 (378.92)Add: Balance at the beginning of the year 2182.48 2561.40Cash and Cash Equivalents at the close of the year 4679.94 2182.48

CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH, 2009

As per our Report of even date

For and on behalf ofDALAL & SHAH H. SUNDER GAUTAM HARI SINGHANIAChartered Accountants President - Finance Chairman and Managing Director

ASHISH DALAL THOMAS FERNANDES P. K. BHANDARIPartner Director-Secretarial & Director

Company Secretary

Mumbai, 24th April, 2009 Mumbai, 24th April, 2009

29

SCHEDULES ‘1’ TO ‘16’ ANNEXED TO AND FORMING PART OF THE BALANCE SHEETAS AT AND THE PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31ST MARCH, 2009.

31st March, 2009 31st March, 2008(Rs. in lacs) (Rs. in lacs)

SCHEDULE 1 - SHARE CAPITALAuthorised:

10,00,00,000 Equity Shares of Rs.10 each 10000.00 10000.00

10000.00 10000.00

Issued and Subscribed :* 6,13,80,853 Equity Shares of Rs.10 each, fully paid-up 6138.08 6138.08

Per Balance Sheet 6138.08 6138.08

3,50,000 Equity Shares were allotted as fully paid-up pursuant tocontracts without payments being received in cash and 4,25,28,312Equity Shares were allotted as fully paid-up Bonus Shares by way ofcapitalisation of Securities Premium Account and Reserves.

* includes 8,95,312 Equity Shares represented by GlobalDepository Receipts

SCHEDULE 1A - SHARE WARRANTS

61,38,085 warrants of Rs. 34/- each (Refer Note 7) 2086.95 2086.95

Per Balance Sheet 2086.95 2086.95

SCHEDULE 2 - RESERVES AND SURPLUS

(a) Securities Premium Account:Balance as per last account 14778.55 14778.55

(b) Capital Redemption Reserve:Balance as per last account 1371.01 1371.01

(c) Capital Reserve:Balance as per last account — —Add: Capital Subsidy received during the year 25.00 —

(Refer Note below) 25.00 —

(d) Debenture Redemption Reserve:Balance as per last account — 1450.00Less:Transfer to General Reserve — 1450.00

— —(e) General Reserve:

Balance as per last account 84866.32 83989.53Add: 1) Transfer from Debenture Redemption Reserve — 1450.00

2) Transfer from Profit and Loss Account — 661.22Less: Adjustment on account of transitionalprovisions of Accounting Standard - 15 onEmployee Benefits — (1234.43)

84866.32 84866.32(f) Profit and Loss Account 5519.41 32674.54

Total Reserves and Surplus - Per Balance Sheet 106560.29 133690.42

Note: Received under the Special Capital Incentive Scheme for the Company’s investment in its manufacturing facility at Chiplun.

30

SCHEDULE 3 - LOAN FUNDS 31st March, 2009 31st March, 2008(Rs. in lacs) (Rs. in lacs)

(a) Secured Loans:Term Loans from Banks (including foreigncurrency loan from banks Rs.4330.75 lacs;Previous year Rs. 3397.45 lacs)[Refer Note 1(a)(i) and (ii)] 67665.12 36335.79Term Loan from a Bank (Partly Secured) [Refer Note 1(a) (iii)] 15000.00 —Short Term Borrowings from Bank:

Under Buyer’s Credit Arrangements 650.50 3139.06[Refer Note 1(b)]

Working Capital Loans from Banks (including foreigncurrency loan from banks Rs. 3057.00 lacs;Previous year Rs. 1998.50 lacs) [Refer Note 1(b)] 3569.19 10729.31

Total - Secured Loans 86884.81 50204.16

(b) Unsecured Loans:Foreign Currency Loans from Banks 29208.00 30593.34Short Term Borrowings from Banks:Foreign Currency Loans 690.60 3997.00Others — 2500.00

690.60 6497.00By issue of Commercial Papers (Maximum balanceduring the year Rs 19000 Lacs; Previous year Rs. Nil) 17500.00 —Sales Tax Deferment Loans 223.25 381.87

Total - Unsecured Loans 47621.85 37472.21

Total Loan Funds - Per Balance Sheet 134506.66 87676.37

SCHEDULE 4 - FIXED ASSETS(Refer Note 2) (Rs. in lacs)

GROSS BLOCK - AT COST DEPRECIATION / AMORTISATION NET BLOCK(unless otherwise specified)

Balance Additions/ Deduct- Balance Upto For the Deduct- Upto As at As atas at Adjust- tions/Ad- as at 31-Mar-08 year tions/Ad- 31-Mar-09 31-Mar-09 31-Mar-08

01-Apr-08 ments justments 31-Mar-09 justments

A. AssetsLand -

Freehold 2599.55 — — 2599.55 — — — — 2599.55 2599.55

Leasehold 246.25 — — 246.25 20.82 2.16 — 22.98 223.27 225.43

Buildings 16877.37 5704.91 — 22582.28 4968.95 680.00 — 5648.95 16933.33 11908.42

Plant and Machinery,Electrical Installations andEquipments 89413.80 30274.11 1256.92 118430.99 50222.81 5562.44 1073.00 54712.25 63718.74 39190.99

Furniture, Fixtures andOffice Equipment 4445.61 664.68 109.32 5000.97 2726.46 402.35 82.20 3046.61 1954.36 1719.15

Livestock (at book value) 12.71 — 4.42 8.29 — — — — 8.29 12.71

Vehicles 2208.72 187.72 178.67 2217.77 1355.17 243.82 154.33 1444.66 773.11 853.55

Aircraft 9853.00 — — 9853.00 1336.73 552.60 — 1889.33 7963.67 8516.27

Boats and Water Equipments 7239.89 96.83 — 7336.72 1188.04 919.52 — 2107.56 5229.16 6051.85

Software 1643.37 144.94 — 1788.31 768.78 518.46 — 1287.24 501.07 874.59

Per Balance Sheet 134540.27 37073.19 1549.33 170064.13 62587.76 8881.35 @1309.53 70159.58 99904.55 71952.51

Previous year’s Total 123003.48 12719.32 1182.53 134540.27 55397.84 8106.71 @916.79 62587.76 71952.51

@ Net after adjustments on account of Excess provision for depreciation/amortisation Rs. 0.21 lacsrelating to earlier years (Previous year Rs.8.40 lacs).

B. Capital work-in-progress 6210.69 1358.36

31

SCHEDULE 5 - INVESTMENTS (AT COST/BOOK VALUE) 31st March, 2009 31st March, 2008(fully paid up unless otherwise specified) Nos. (Rs. in lacs) Nos. (Rs. in lacs)

I. LONG TERM INVESTMENTSA Investments in Government Securities : 0.06 0.06

National Saving Certificates (deposited withGovernment Department as Security)

0.06 0.06

B Investments in Shares of Subsidiary Companies(Unquoted):1. Raymond Apparel Limited

- Equity Shares of Rs.10 each 2000000 191.51 2000000 191.51- 6% Cumulative Redeemable Preference Shares of Rs.100 each 3430000 3430.00 3430000 3430.00

2. J.K. (England) Limited (Equity Shares of £.1 each) 1000 0.03 1000 0.033. Jaykayorg AG (Equity Shares of Swiss Francs 100 each) 500 0.98 500 0.984. Pashmina Holdings Limited (Equity Shares of Rs.10 each) 740000 724.00 740000 724.005. Everblue Apparel Limited [ Refer Note 3A(b)]

- Equity Shares of Rs.10 each 5000000 500.00 5000000 500.00- 6% Optionally Convertible Preference Shares of Rs.100 each 1000000 1000.00 1000000 1000.00

6. Regency Texteis Portuguesa, Limitada:- Equity Shares 1148.91 1148.91Less:Provision for diminution in value of Investments[Refer Note 3B(b)] (512.00) —

636.91 1148.91- Preference Shares 355.24 355.24

7. Hindustan Files Limited (Equity Shares of Rs.10 each) 3770070 377.01 3770070 377.018. Colorplus Fashions Limited

- 0.01% Non Cumulative Preference Shares of Rs.100 each 398000 398.00 398000 398.009. Silver Spark Apparel Limited:

- Equity Shares of Rs.10 each 7000000 700.00 7000000 700.00-7% Non Cumulative Preference Shares of Rs.100 each 1000000 1000.00 1000000 1000.00

10. Celebrations Apparel Limited (Equity Shares of Rs.10 each)[Refer Note 3A(a)] 2710000 271.00 2710000 271.00

11. Scissors Engineering Products Limited- Equity Shares of Rs.10 each 6907450 690.75 6892450 689.25- 6% Cumulative Optionally Convertible Preference Shares ofRs.100 each 2052305 2052.31 2048805 2048.81

12. JK Talabot Limited ( Equity Shares of Rs.10 each ) 7248936 724.89 7248936 724.8913. Raymond Europe SRL 41.58 41.58

Less:Provision for diminution in value of Investments[Refer Note 3B (c)] (41.58) — —

14. Raymond Woollen Outerwear Ltd.[Formerly known as Raymond Fedora Private Limited](Equity Shares of Rs.10 each) [Refer Note 3A(c)] 9690000 969.00 — —

14021.63 13601.21

C. Investments in Joint Ventures *1. Raymond Zambaiti Private Limited (Equity Shares of Rs.10 each) 41000000 4100.00 41000000 4100.002. Raymond Fedora Private Limited

(Equity Shares of Rs.10 each ) [Refer Note 3A(c)] — — 9690000 969.003. Raymond UCO Denim Private Limited [Refer Note 3B(a)]

- Equity Shares of Rs.10 each 10644250 16088.69 10000000 14800.19- 0.1% Preference Shares of Rs.10 each 10000000 8700.00 10000000 8700.00

24788.69 23500.19Less:Provision for diminution in value of Investments[Refer Note 3B(a)] (16400.00) —

8388.69 23500.19

12488.69 28569.19

* The Company has agreed with the lenders (Banks) of some of these Companies for not disposing off these investments withouttheir prior consent

32

D. Non-Trade Investments:Shares (Unquoted):1. Gujarat Sheep & Wool Development Corporation Limited

(Equity Shares of Rs.100 each) 102 0.10 102 0.10Less:Provision for diminution in value of Investments (0.10) (0.10)

2. P. T. Jaykay Files Indonesia - Associate Company(Equity Shares of Indon.Rp.4,150 = US$ 10 each) 24000 23.99 24000 23.99

3. Bengal & Assam Company Limited (Equity Shares of Rs.100 each) 1150 1.00 1150 1.00Less:Provision for diminution in value of Investments (1.00) (1.00)

4. Impex (India) Limited (Equity Shares of Rs.10 each) 8000 0.80 8000 0.805. R.R. Investments & Estates Private Limited

(Equity Shares of Rs.100 each) 225 5.19 225 5.196. Seven Seas Transportation Limited (Equity Shares of Rs.10 each) 205000 27.94 205000 27.94

Less:Provision for diminution in value of Investments (27.94) (27.94)7. J.K. Cotton Spg. & Wvg. Mills Company Limited

(Equity Shares of Rs.10 each) 10510 2.49 10510 2.49Less:Provision for diminution in value of Investments (2.49) (2.49)

8. Radha Krshna Films Limited - Associate Company(Equity Shares of Rs.10 each) 2500000 250.00 2500000 250.00Less:Provision for diminution in value of Investments (250.00) (250.00)

29.98 29.98

E. Non-Trade Investments:Shares (Unquoted):1. J.K. Investo Trade (India) Limited - Associate Company

(Equity Shares of Rs.10 each) 3489878 326.12 3489878 326.12Bonds (Quoted):1. 6.75% Tax Free US 64 Bonds of Rs.100 each — — 974956 974.962. 6.60% UTI Units Tax Free Bonds of Rs.100 each 2000000 2000.00 2000000 2000.00

2326.12 3301.08

F. Non-Trade Investments:Unquoted Debentures:1. R.R. Investments & Estates Private Limited (Unsecured Debentures

of Rs.10,000 each) [Residual value after redemption Rs.7,800 each(Net of redemption Rs.0.06 lac and proportionate acquisitioncost written off Rs.1.56 lacs)] 19 42.19 19 42.19

2. Raymond Apparel Limited (a subsidiary) (Fully ConvertibleUnsecured Debentures of Rs.100 each) 2850000 2850.00 2850000 2850.00

3 Raymond UCO Denim Private Limited (a Joint Venture)(Non- Convertible Unsecured Debentures of Rs.100 eachbearing interest linked to one year Government Securitywith annual reset) 2850000 2850.00 2850000 2850.00Less:Provision for diminution in value of Investments[Refer Note 3 (d)] (2850.00) —

2892.19 5742.19

G. Others:1 5.50% SIDBI Capital Gains Bonds Issue - 2005 of Rs.10000 each — — 8200 820.002 5.50% NHAI Capital Gains Bonds Issue - of Rs.100000 each 75000 7500.00 75000 7500.00

7500.00 8320.00

H. Investments in Mutual Fund - FMP ( Growth )(Units of Rs.10 each)1 Prudential ICICI FMP Series 34 Scheme-18 Months Plans

(NAV Previous year Rs.1112.57 lacs) — — 10000000 1000.002 Prudential ICICI FMP Series 34 Scheme-17 Months Plans

(NAV Previous year Rs.554.54 lacs) — — 5000000 500.00

31st March, 2009 31st March, 2008Nos. (Rs. in lacs) Nos. (Rs. in lacs)

SCHEDULE 5 - INVESTMENTS (AT COST/BOOK VALUE) Contd...(fully paid up unless otherwise specified)

C/F — 1500.00

33

3 Kotak FMP 16M Series 1 Growth(NAV Previous year Rs.1110.93 lacs) — — 10000000 1000.00

4 HDFC FMP 16M Dec2006(2) Wholesale Plan Growth(NAV Previous year Rs.555.98 lacs) — — 5000000 500.00

5 Prudential ICICI FMP Series 34 Scheme-16 Months Plans(NAV Previous year Rs.1107.42 lacs) — — 10000000 1000.00

6 HSBC Fixed Term Series 22 Inst. Growth (15 Months Plan)(NAV Previous year Rs.1111.44 lacs) — — 10000000 1000.00

7 HDFC FMP 16M January2007(2) Wholesale Plan growth(NAV Previous year Rs.1109.84 lacs) — — 10000000 1000.00

8 Templeton Fixed Horizon Fund Series I -15 MonthsPlans-Institutional Growth (NAV Previous year Rs.554.38 lacs) — — 5000000 500.00

9 Birla FTP Series-P-Growth (NAV Previous year Rs.556.19 lacs) — — 5000000 500.00

10 Prudential ICICI FMP Series 34 Scheme-15 MonthsPlans Institutional Growth (NAV Previous year Rs.561.68 lacs) — — 5000000 500.00

11 UTI FIXED Term Income Fund-Series II Plan 16- Institutional GrowthPlan (NAV Previous year Rs.1064.09 lacs) — — 10000000 1000.00

12 Kotak FMP 13M Series 2 Institutional Growth(NAV Previous year Rs.730.22 lacs) — — 6580000 658.00

— 9158.00

I. Investments in Venture Capital Funds1 India Growth Fund (Units of Rs.1000 each, Paid up value

per Unit of Rs.920 each, Previous year Rs.900 each) 50000 460.00 50000 450.00

2 HDFC India Real Estate Fund (Units of Rs.1000 each) 248294 2482.94 248294 2482.94

2942.94 2932.94

Total - Long Term Investments 42201.61 71654.65

II. CURRENT INVESTMENTSA. Dividend Option (Units of Rs.10 each, unless otherwise specified):

1 UTI Balanced Fund ( Income - Reinvestment )(NAV Rs.35.26 Lacs, Previous year Rs.49.36 lacs ) 246925.30 27.98 246925.30 27.98

2 Tata Floater Fund - Daily Dividend (NAV Rs. 3037.18 Lacs,Previous year Rs.2253.71 Lacs,) 30264074.85 3037.18 22457171.20 2253.71

3 Birla Sun Life Liquid Plus - Institutional - Daily Dividend -Reinvestment ( NAV Previous year Rs.3814.86 Lacs) — — 38122716.45 3814.86

4 ICICI Prudential - Flexible Income Plan Dividend - Daily(NAV Previous year Rs.499.47 Lacs) — — 4723803.84 499.47

5 HDFC Floating Rate Income Fund Short Term Plan -Wholesale Option Dividend Reinvestment - Daily(NAV Previous year Rs.3625.62 Lacs) — — 35965281.00 3625.62

6 TATA Treasury Manager SHIP Daily Dividend(NAV Previous Rs. 1612.06 lacs) ( Units of Rs. 1000 each ) — — 160723.85 1612.06

7 SBI - SHF - Liquid Plus - Institutional Plan - Daily Dividend(NAV Previous year Rs. 3695.22 lacs ) — — 36933691.28 3695.22

8 SBI Premier Liquid Fund - Super Institutional - Daily Dividend(NAV Previous year Rs. 1510.49 lacs ) — — 15055959.73 1510.49

9 BSL Quarterly Interval - Series 3 - Dividend Reinvestment(NAV Previous year Rs. 502.49 lacs ) — — 5000000.00 500.00

10 ABN AMRO Flexible Short Term Plan Ser. C Quarterly Dividend(NAV Previous year Rs. 1005.17 lacs ) — — 10000000.00 1000.00

31st March, 2009 31st March, 2008Nos. (Rs. in lacs) Nos. (Rs. in lacs)

SCHEDULE 5 - INVESTMENTS (AT COST/BOOK VALUE) Contd...(fully paid up unless otherwise specified)

B/F — 1500.00

C/F 3065.16 18539.41

34

31st March, 2009 31st March, 2008Nos. (Rs. in lacs) Nos. (Rs. in lacs)

SCHEDULE 5 - INVESTMENTS (AT COST/BOOK VALUE) Contd...(fully paid up unless otherwise specified)

B/F 3065.16 18539.41

11 TATA Floating Rate Fund Long Term - Income / Bonus(NAV Previous year Rs. 501.99 lacs ) — — 4954584.83 501.05

12 Kotak FMP 3 M Series 27 - Dividend(NAV Previous year Rs. 502.55 lacs ) — — 5000000.00 500.00

13 Templeton Quarterly Interval Plan - Plan B - Institutional -Dividend Reinvestment ( NAV Previous year Rs.1005.78 lacs ) — — 9989710.60 1000.00

14 UTI Fixed Maturity Plan HFMP 03/08 - I - Institutional DividendPlan (NAV Previous year Rs. 501.63 lacs ) — — 5000000.00 500.00

15 Standard Chartered Arbitrage Fund - Plan A - Dividend( NAV Previous year Rs. 205.55 lacs ) — — 1959593.19 200.00

16 Birla Cash Plus- Instl.Prem. Daily Dividend Reinvestment Option(NAV Previous year Rs. 500.10 lacs) — — 4991227.73 500.10

17 HDFC Cash Management Treasury Advantage Plan-Weekly Dividend (NAV Rs.262.95 Lacs,Previous year Rs.131.83 lacs) 2624753.16 262.96 1314148.06 131.67

18 UTI Liquid Cash Plan Institutional - Daily Income Option -Re-Investment ( NAV Rs. 4860.85 Lacs )(Units of Rs.1000 each) 476813.47 4860.85 — —

19 SBI Magnum Insta Cash Fund - Daily Dividend Option( NAV Rs. 5929.60 Lacs ) 35399964.91 5929.60 — —

20 Kotak Liquid ( Institutional Premium ) Daily Dividend(NAV Rs. 5546.82 Lacs ) 45361269.08 5546.82 — —

21 ICICI Prudential Floating Rate Plan D - Daily DividendReinvest Dividend ( NAV Rs. 5137.20 Lacs ) 51361246.74 5137.20 — —

22 Birla Sun Life Short Term Fund - Institutional Daily Dividend(NAV Rs. 5744.28 Lacs ) 57411238.76 5744.29 — —

23 DSP BlackRock Strategic Bond Fund - Regular Plan -Weekly Dividend (NAV Rs. 717.56 Lacs) (Units of Rs.1000 each) 71534.55 718.35 — —

24 Tata Liquid Super High Investment Fund - Daily Dividend(NAV Rs. 3024.85 Lacs) ( Units of Rs.1000 each ) 271403.67 3024.85 — —

34290.08 21872.23

B. Growth Option (Units of Rs.10 each, unless otherwise specified):1. Kotak Liquid (Institutional), Growth (NAV Previous year Rs.993.86 lacs) — — 6144360.61 970.28

2. Kotak Liquid (Institutional) - Growth(NAV Previous year Rs.72.87 lacs) — — 450527.32 71.81

3. DSP Merrill Lynch Liquid Plus - Growth(NAV Previous year Rs.507.28 lacs) ( Units of Rs.1000 each ) — — 45415.10 501.76

4. Benchmark Mutual Fund - Gold Bees(NAV Previous year Rs 48.50 lacs) (Units of Rs.1000 each ) — — 4000.00 51.94

5. Morgan Stanley Growth Fund ( NAV Rs.31.01 lacs ) 100000.00 63.47 — —

6. Kotak Floater Long Term - Growth ( NAV Rs. 1724.78 Lacs ) 12412399.92 1700.55 — —

7. UTI Liquid Cash Plan Institutional - Growth Option(NAV Rs. 1509.96 Lacs ) ( Units of Rs. 1000 each ) 104416.49 1499.93 — —

8. Tata Floater Fund - Growth ( NAV Rs. 30.79 lacs ) 235528.19 30.64 — —

9. HDFC Cash Management - Fund Saving Plan -Growth (NAV Rs.4.93 Lacs) 26791.85 4.93 — —

10. HDFC Liquid Fund - Premium Plus Plan - Growth(NAV Rs. 6401.38 Lacs ) 36239269.78 6400.00 — —

9699.52 1595.79

35

C. Fixed Maturity Plan (Units of Rs.10 each, unless otherwise specified):1. Reliance Fixed Horizon Fund II-Annual Plan - Series V-

Institutional Growth Plan (NAV Previous year Rs 1112.24 lacs) — — 10000000.00 1000.00

2. Principal PNB Fixed Maturity Plan- Series IV (FMP-37)385 Days Institutional Growth Plan.(NAV Previous year Rs.1106.45 lacs) — — 10000000.00 1000.00

3. Reliance Fixed Horizon Fund III-Annual Plan - Series I -Institutional Growth Plan (NAV Previous year Rs.2225.06 lacs) — — 20000000.00 2000.00

4. DBS Chola FMP - Series 6 (371 Days Plan)-Cumulative -(NAV Previous year Rs.1093.77 lacs) — — 10000000.00 1000.00

— 5000.00

D. Equity Shares (Quoted)(Shares of Rs.10 each, unless otherwise specified):1. Oil & Natural Gas Corporation Limited 18000 193.52 22500 241.902. ITC Limited (Equity Shares of Re.1 each ) 80000 140.48 80000 140.483. Tata Motors Limited 8000 51.39 8000 51.394. GAIL India Limited — — 19300 74.515. Satyam Computer Services Limited (Equity Shares of Rs.2 each) — — 12500 45.746. ICICI Bank Limited 16000 131.48 23000 220.537. Bharat Earth Movers Limited 5000 48.47 5000 48.478. State Bank of India 9800 101.24 7500 64.989. Grasim Industries Limited 3000 50.66 4200 70.9210. Bharat Heavy Electricals Limited 8000 142.88 6800 138.6811. Larsen & Toubro Limited (Equity Shares of Rs.2 each) 22746 307.70 11000 330.7112. BGR Energy Systems Limited 15000 76.30 15000 76.3013. Biocon Limited (Equity Shares of Rs.5 each) 38746 81.21 19373 81.2114. Indian Hotels Company Limited (Equity Shares of Re.1 each ) 54000 40.72 45000 34.4215. Onmobile Global Limited — — 5000 22.0016. Mahindra & Mahindra Limited 15700 73.47 15700 73.4717. Maruti Suzuki India Limited (Equity Shares of Rs.5 each) 14000 84.81 14000 84.8118. Tata Power Company Limited 7000 76.73 7000 76.7319. HDFC Limited 7730 162.32 7600 159.5020. HDFC Bank Limited 8000 101.09 7000 100.4421. Century Textiles & Industries Limited 10000 63.95 10000 63.9522. Hindustan Petroleum Corporation Limited — — 28000 73.6623. Housing Development & Infrastructure Limited 19285 75.00 15000 75.0024. Cholamandalam DBS Finance Limited 81935 113.36 49980 83.0125. Cadila Healthcare Limited (Equity Shares of Rs.5 each) 20000 65.63 20000 66.1126. Chennai Petroleum Corporation Limited — — 11140 27.3827. Tata Consultancy Services Limited (Equity Shares of Re.1 each) — — 6000 45.4528. Texmaco Limited ( Equity Shares of Re.1 each )# 86980 50.91 8698 50.9129. Transformers & Rectifiers India Limited 14000 71.59 14000 71.5930. Bharti Airtel Limited 13,000 54.01 10000 32.3331. Bilcare India Ltd. — — 4000 47.4832. Financial Technologies Limited (Equity Shares of Rs.2 each) 5000 65.02 4000 47.3533. Asian Paints Limited — — 9999 65.1934. Bharat Petroleum Corporation Limited — — 10000 41.7035. Finolex Industries Limited — — 33600 40.31

31st March, 2009 31st March, 2008Nos. (Rs. in lacs) Nos. (Rs. in lacs)

SCHEDULE 5 - INVESTMENTS (AT COST/BOOK VALUE) Contd...(fully paid up unless otherwise specified)

C/F 2423.94 2968.61

36

31st March, 2009 31st March, 2008Nos. (Rs. in lacs) Nos. (Rs. in lacs)

SCHEDULE 5 - INVESTMENTS (AT COST/BOOK VALUE) Contd...(fully paid up unless otherwise specified)

B/F 2423.94 2968.61

36. Godrej Industries Limited (Equity Shares of Re.1 each ) 30000 18.85 30000 18.8537. Gammon India Limited (Equity Shares of Rs.2 each ) 10000 43.74 10000 43.7438. Infrastructure Development Finance Company Limited 110000 153.12 105000 166.1539. Infosys Technologies Limited ( Equity Shares of Rs. 5 each ) 9500 150.20 6000 90.1640. Jindal Saw Limited — — 3000 26.0441. National Thermal Power Corporation Limited — — 25000 25.1442. Punjab National Bank 13000 73.96 13000 73.9643. Reliance Industries Limited 7500 137.86 14500 267.2144. Reliance Infrastructure Limited — — 5000 38.7345. Reliance Communication Limited (Equity Shares of Rs.5 each) — — 10000 31.9346. Suzlon Energy Limited( Equity Shares of Rs. 2 each ) 30000 45.20 30000 121.8047. Tata Tea Limited 12493 87.34 15000 104.8648. Sundaram Finance Limited ( Equity Shares of Rs.5 each) — — 9820 38.9249. DLF Limited ( Equity Shares of Rs. 2 each ) 8000 61.57 8000 61.5750. Divis Laboratories Limited ( Equity Shares of Rs. 2 each ) 3700 55.96 2100 39.7051. Power Grid Corporation of India Limited 50000 46.21 50000 46.2152. Sun Pharma Advanced Research Company Limited 30000 20.00 30000 20.0053. Steel Authority of India Limited — — 45000 77.1954. Great Eastern Shipping Company Limited 30000 104.75 30000 104.7555. Galaxy Entertainment Corporation limited 25000 42.73 25000 42.7356. Great Offshore Limited 9000 66.00 9000 66.0057. GMR Infrastructure Limited (Equity Shares of Rs.2 each) 77500 116.47 97500 146.5358. Lupin Limited 7500 46.26 7500 36.2159. Mahindra Forgings Limited 20000 9.44 20000 9.4460. Punj Lloyd Limited (Equity Shares of Rs.2 each) 35000 85.76 30000 91.9061. Sun Pharmaceuticals Industries Limited (Equity Shares of Rs.5 each) 9863 95.05 8063 69.8062. Aptech Limited 30000 59.25 — —63. Glenmark Pharmaceuticals Ltd. (Equity Shares of Re. 1 each) 8000 48.56 — —64. Idea Cellular Limited 30000 33.05 — —65. Monsanto India Limited 1300 24.82 — —66. Piramal Healthcare Ltd. (Equity Shares of Rs.2 each) 7500 28.13 — —67. Ranbaxy Laboratories Limited (Equity Shares of Rs. 5 each) 5389 27.83 — —68. Shree Renuka Sugars Limited (Equity Shares of Re.1 each) 54390 71.31 — —69. Zydus Wellness Limited 5333 0.48 — —

4177.84 4828.13

E. Equity Shares (Unquoted)(Shares of Rs.10 each, unless otherwise specified):1 Ansal Hi-Tech Townships Limited 21187 18.70 — —2 Ananta Landmarks Private Limited 10109 1.01 — —

19.71 —

F. Preference Shares (Shares of Rs. 1000 each)1 Ananta Landmarks Private Limited 2400 24.00 — —2 Neo Pharma Private Limited 395 3.95 — —

27.95 —

G. Unquoted Debentures: (of Rs. 100 each)1. Ansal Hi-Tech Townships Limited 37399 37.40 — —2. Nilkanth Tech Park Pvt.Ltd. 39545 39.55 — —

76.95 —

37

H. Mutual Fund (Quoted)Morgan Stanley Growth Fund — — 100000 63.47

I. Warrants (Quoted)Cholamandalam DBS Finance Limited — — 31955 —

48292.05 33359.62Less:Provision for diminution in value of Current Investments (1634.21) (320.64)

Total - Current Investments 46657.84 33038.98

Total - Investments 88859.46 104693.63

Notes: Split Shares

# The Shares have been split in FV Rs.10 to Re.1

III. APPLICATION MONEY PENDING ALLOTMENT(a) Equity Application Money

State Bank of India (Rights Issue) — 36.57

(b) Debenture Application MoneyRaymond UCO Denim Private Limited 98.60 —

Less : Provision for Diminution [Refer Note 3B(a)] (98.60) —

Per Balance Sheet 88859.46 104730.20

Acquired and Sold during the yearNos. Acquisition

Cost(Rs. in lacs)

A. Dividend Option (Units of Rs.10 each, unless otherwise specified):1. Birla Sun Life Cash Plus - Institutional Premium -

Daily Dividend Reinvestment 95047776.02 9523.31

2. Tata Floater Fund - Daily Dividend 18429328.93 1849.49

3. Birla Sun Life Liquid Plus - Institutional Dily Dividend -Reinvestment 41720697.29 4174.91

4. ICICI Prudential - Flexible Income Plan Dividend - Daily 70007736.63 7402.27

5. HDFC Floating Rate Income Fund Short Term Plan -Wholesale Option Dividend Reinvestment - Daily 49241520.50 4963.99

6. Tata Treasury Manager SHIP Daily Dividedn(Units of Rs.1000 each ) 2562.55 25.70

7. SBI - SHF - Liquid Plus - Institutional - Daily Dividend 33152412.12 3316.90

8. SBI Premier Liquid Fund - Super Institutional - Daily Dividend 15198068.84 1524.75

9. BSL Quaeterly Interval - Series 3 - Dividend Reinvestment 104400.00 10.44

10. ABN AMRO Flexible Short Term Plan Ser. CQuarterly Dividend Red. 207387.05 20.74

11. Tata Floating Rate Fund Long Term - Income / Bonus 94005.33 9.52

12. Kotak FMP 3M Series 27 - Dividend 103727.05 10.37

13. Templeton Quarterly Interval Plan - Plan B - Institutional -Dividend Reinvestment 209388.19 20.94

14. UTI Fixed Maturity Plan HFMP 03/08 - I -Institutional Dividend Plan 111201.70 11.12

15. Tata Liquid Super High Investment Fund - Dividend Plan(Units of Rs.1000 each ) 636390.78 7092.70

16. Kotak Flexi Debt Scheme - Daily Dividend 35047774.19 3515.68

31st March, 2009 31st March, 2008Nos. (Rs. in lacs) Nos. (Rs. in lacs)

SCHEDULE 5 - INVESTMENTS (AT COST/BOOK VALUE) Contd...(fully paid up unless otherwise specified)

C/F

38

SCHEDULE 5 - INVESTMENTS (AT COST/BOOK VALUE) Contd...(fully paid up unless otherwise specified)

Nos. AcquisitionCost

(Rs. in lacs)

17. Templeton India Treasury Management Account SuperInstitutional Plan - Daily Dividend Reinvestment(Units of Rs.1000 each ) 113793.88 1138.52

18. Templeton Floating Rate Income Fund Long Term PlanSuper Institutional Option - Daily Dividend Reinvestment 14970038.49 1498.62

19. Birla Sun Life Liquid Plus - Institutional Dily Dividend -Reinvestment 5771541.72 577.55

20. Reliance Liquid Plus Fund Institutional Option -Daily Dividend Plan ( Units of Rs.1000 each) 451045.54 4515.58

21. UTI Liquid Cash Plan Institutional - Daily Income Option -Re-Investment ( Units of Rs.1000 each ) 98931.68 1008.55

22. Kotak Flexi Debt Scheme - Daily Dividend 10239139.72 1027.10

23. Kotak Liquid ( Institutional Premium ) - Daily Dividend 8367521.56 1023.19

24. BSL Interval Income INSTL - Monthly - Series 1 -Dividend Reinvestment 10060350.00 1006.04

25. JPMORGAN India Liquid Plus Fund - Dividend Plan - Reinvest 10176483.37 1018.55

26. UTI Liquid Plus Fund Institutional Plan - Daily Dividend Option -Re-investment ( Units of Rs.1000 each ) 114821.37 1148.46

27. Kotak Flexi Debt Scheme Institutional - Daily Dividend 46010128.96 4622.87

28. UTI Liquid Plus Fund Institutional Plan - Daily Dividend Option -Re-investment ( Units of Rs.1000 each ) 51329.74 513.41

29. ABN AMRO Money Plus Institutional Plan Daily Dividend 10485224.97 1048.54

30. HDFC Liquid Fund Premium Plan - Dividend -Daily Reinvest Option 50343794.46 6172.05

31. DBS Chola Interval Income Fund - MPI-A- Dividend -Auto Redemption 10018627.16 1006.10

32. ICICI Prudential Institutional Liquid Plan Super InstitutionalDaily Dividend Reinvest Dividend 96430188.92 9643.50

33. JPMORGAN India Liquid Fund - Super InstitutionalDaily Dividend Plan - Reinvest 10201392.17 1020.95

34. SBI Magnum Insta Cash Fund - Daily Dividend Option 3589388.58 601.23

35. Kotak Liquid (Institutional Premium) - Daily Dividend 12275113.06 1501.01

36. Reliance Liquidity Fund Daily Dividend Reinvestment Option 15004698.84 1500.94

37. ICICI Prudential Floating Rate Plan D - Daily Dividend -Reinvest Dividend 29993701.32 3000.00

38. HDFC Cash Management Fund - Saving Plus Plan -Retail - Weekly Dividend 7708727.89 772.47

39. DSP BlackRock Strategic Bond Fund - Regular Plan -Weekly Dividend ( Units of Rs.1000 each ) 3150.03 31.63

40. HDFC Cash Management Treasury Advantage Plan -Weekly Dividend 537457.25 53.85

B. Growth Option ( Units of Rs.10 each, unless otherwise specified):1. Kotak Liquid (Institutional ) - Growth 4729230.40 781.36

2. DSP Merrill Lynch Liquid Plus Growth(Units of Rs. 1000 each ) 30302.14 347.72

3. SBI Premier Liquid Fund - Institutional Growth 4613503.73 600.00

4. UTI Money Market Fund - Growth Plan 195825602.22 46450.00

5. Kotak Liquid (Institutional Premium) - Growth 36358759.70 6230.00

6. UTI Liquid Cash Plan Institutional - Growth Option(Units of Rs.1000 each) 567765.14 8024.22

39

7. Tata Liquid Super High Inv. Fund - Appreciation(Units of Rs.1000 each) 244320.25 3874.63

8. HDFC Cash Management Fund - Saving Plan - Growth 19539537.08 3500.00

9. Kotak Gilt (Savings) - Growth 11958797.82 2421.60

10. Kotak Floater Long Term - Growth 374162.20 51.26

11. HDFC Cash Management Fund - Saving Plan - Growth 161545.49 29.38

C. Equity Shares (Quoted)(Shares of Rs.10 each,unless otherwise specified):

1. Aban Offshore Limited ( Equity Share of Rs. 2 each ) 600 24.36

2. Cairn India Limited 18000 50.39

3. Colgate Palmolive India Limited ( Equity Share of Re. 1 each ) 11000 48.84

4. Ranbaxy Laboratories Limited ( Equity Share of Rs. 5 each ) 4611 23.81

5. Suzlon Energy Limited ( Equity Share of Rs. 2 each ) 28000 14.10

6. Satyam Computer Service Limited ( Equity Share of Rs. 2 each ) 10000 52.15

7. Shree Renuka Sugers Limited ( Equity Shares of Re. 1 each ) 40000 50.45

8. Tata Consultancy Services Limited ( Equity Share of Re.1 each ) 3000 29.92

9. Wipro Limited 5500 29.22

Book Value Market Value

31st March,2009 31st March,2008 31st March,2009 31st March,2008(Rs. in lacs) (Rs. in lacs) (Rs. in lacs) (Rs. in lacs)

Aggregate of Quoted Investments 4576.35 7482.45 4662.43 8352.01

Aggregate of Unquoted Investments 84283.11 97211.18

88859.46 104693.63

SCHEDULE 5 - INVESTMENTS (AT COST/BOOK VALUE) Contd...(fully paid up unless otherwise specified)

Nos. AcquisitionCost

(Rs. in lacs)

40

31st March, 2009 31st March, 2008(Rs. in lacs) (Rs. in lacs)

SCHEDULE 6 - CURRENT ASSETS, LOANS AND ADVANCES(a) Inventories:

(As verified, valued and certified by the Management):(i) Loose Tools 103.58 85.70(ii) Stores and Spare Parts 1710.30 1769.40(iii) Stock-in-Trade:

Raw Materials 2864.80 3150.22Goods-in-Process 9073.06 11896.62Finished Goods 15272.34 9549.89

(iv) Merchanting Goods 3750.00 4038.42(v) Goods-in-Transit 1266.28 2483.93

34040.36 32974.18

(b) Sundry Debtors :(Refer Note 3 and 4 )(i) Debts outstanding for a period exceeding six months

Secured (considered good) 171.91 192.99Unsecured -Considered good (including Rs. 1252.81 lacs duefrom subsidiaries; Previous year Rs 5.52 lacs) 3438.51 1761.81

3610.42 1954.80Considered doubtful 360.28 390.70Less: Provision (360.28) (390.70)

— —(ii) Other Debts :

Secured (considered good) 2584.58 2785.97Unsecured -Considered good (including Rs. 583.46 lacs due fromsubsidiaries; Previous year Rs.1210.42 lacs) 24252.61 24247.79

26837.19 27033.76

30447.61 28988.56

(c) Cash and Bank Balances:(i) Cash on hand (including cheques on hand Rs. 128.49 lacs;

Previous year Rs. 241.73 lacs) 197.53 289.02

(ii) Balances with Scheduled Banks:In Current Accounts (including remittance-in-transit Rs. Nil;Previous year Rs. 0.16 lac) 3381.27 1798.15In Deposit Account [includes Rs. 0.53 lac deposit receiptendorsed in favour of Government authorities as security(Previous year Rs.0.63 lac)] 1100.47 92.92

(iii) Balances with Non-Scheduled Banks:In Current Accounts:The Municipal Co-operative Bank Limited[Maximum balance during the year Rs. 8.48 lacs(Previous year Rs.16.34 lacs)] — 0.85The Hongkong & Shanghai Banking Corporation, Shanghai[Maximum balance during the year Rs. 17.44 lacs(Previous year Rs.6.03 lacs)] 0.17 1.04In Deposit Accounts:The Municipal Co-operative Bank Limited[Maximum balance during the year Rs.0.50 lac(Previous year Rs.0.50 lac)] 0.50 0.50

4679.94 2182.48

C/F 69167.91 64145.22

41

31st March, 2009 31st March, 2008(Rs. in lacs) (Rs. in lacs)

SCHEDULE 6 - CURRENT ASSETS, LOANS AND ADVANCES (Contd.)B/F 69167.91 64145.22

(d) Other Current Assets:(i) Export Incentives receivable 695.43 516.82(ii) Dividend, Interest Subsidy and Interest receivable

(Interest accrued on Investments Rs.478.50 lacs;Previous year Rs.538.12 lacs) 1881.02 3594.13Interest Receivable from a Joint Venture Company(Refer Note 3B(a)) 722.73 374.39Less: Provision (722.73) —

— 374.39(iii) MAT Credit Receivable 642.08 642.08(iv) Claims and Other receivables 1847.81 648.07

5066.34 5775.49

(e) Loans and Advances (Unsecured, considered good,unless otherwise specified): [Refer Notes 3 and 5]Subsidiary Companies:Loans and other dues 7077.31 5624.44Loans and Advances to companies and others:

Considered good (includes Rs. Nil;Previous year Rs. 30.00 lacs secured) 20.00 4544.32Considered doubtful:To a Joint Venture Company[Refer Note 3B(a)] 2942.50 —Others 32.00 32.00Less: Provision (2974.50) (32.00)

— —Advance Tax (Net of provision for tax) 1688.27 815.84Advances recoverable in cash or in kind or for valueto be received :

Considered good 8139.33 5517.38Considered doubtful 13.84 28.82Less: Provision (13.84) (28.82)

— —

Balances with -Customs, Excise, etc. 292.06 91.72Others (including with subsidiaries Rs.248.77 lacs;Previous year Rs.160.33 lacs) 6714.11 6767.68

23931.08 23361.38

Per Balance Sheet 98165.33 93282.09

SCHEDULE 7 - CURRENT LIABILITIES AND PROVISIONS(a) Current Liabilities :

Sundry Creditors [including Rs.75.00 lacs remunerationto the Directors (Previous year Rs.27.96 lacs)][Refer Note 8 and 15] 22005.18 17007.74Advances against Sales 581.75 623.78Due to Subsidiary Companies 558.62 874.22Deposits from Dealers and Agents 5854.34 5805.78Overdrawn Bank Balances 1363.69 1525.21Other Liabilities 3886.68 1886.78Interest accrued but not due 793.97 486.52

35044.23 28210.03

(b) Provisions :For Proposed Dividend — 1534.52For Tax on Proposed Dividend — 260.79For Fringe Benefit Tax (Net of Advance Tax) 9.28 15.58For Employee Benefits 5766.71 5546.15For Excise Duties 190.63 196.69

5966.62 7553.73

Per Balance Sheet 41010.85 35763.76

42

SCHEDULE 8 - SALES, SERVICES AND EXPORT INCENTIVES(1) Gross Turnover (net of usual trade discounts, allowances, etc.)

(a) Manufactured Goods (inclusive of sale ofsemi-finished goods) 125691.75 118769.13

(b) Merchanting Goods 12953.75 14353.18

138645.50 133122.31Less:

Sales Returns 317.18 406.32Other discounts and allowances 2095.61 1476.20

2412.79 1882.52

136232.71 131239.79(2) Income from Air Taxi Operations 1246.77 1169.37(3) Gross Income from Services:

(a) Income from Job Work 76.85 0.68(b) Income from other services 562.99 361.84

(4) Export Incentives, etc. 1206.05 984.65

Per Profit and Loss Account 139325.37 133756.33

SCHEDULE 9 - OTHER INCOMEDividends:From Non-Trade Investments- Current Investments 1949.18 1262.31- Long Term Investments 0.06 17.45

1949.24 1279.76From a Subsidiary company 0.04 0.04Interest Income (Tax deducted Rs. 536.44 lacs;Previous year Rs.357.01 lacs):- On Long Term Investments 569.20 621.04- Others (Including from subsidiaries Rs. 373.03 lacs;

Previous Year Rs.90.50 lacs) 3566.80 2835.84

4136.00 3456.88Profit on sale of Current Investments (Net) 588.48 4027.34Profit on sale of Long-term Investments (Net) 1133.04 664.82Rent and Compensation 148.72 150.20Credit Balances appropriated (Net) 146.17 13.91Excess provisions written back (Net) 607.45 172.61Sales Tax and Excise Duty Refunds — 747.49Miscellaneous Income 1151.26 1567.84

Per Profit and Loss Account 9860.40 12080.89

SCHEDULE 10 - MATERIAL COSTS(1) Raw Materials consumed:

Opening Stock 3150.22 4475.97Purchases 34707.32 34100.83

37857.54 38576.80Less: Sales 1353.61 1041.19

36503.93 37535.61Less: Closing Stock 2864.80 3150.22

33639.13 34385.39(2) Merchanting Goods (Cost of goods sold):

Opening Stock 4038.42 2714.92Add: Purchases 10363.30 13793.40

14401.72 16508.32Less:Closing Stock 3750.00 4038.42

10651.72 12469.90

Per Profit and Loss Account 44290.85 46855.29

Year ended Year ended31st March, 2009 31st March, 2008

(Rs. in lacs) (Rs. in lacs)

43

SCHEDULE 11 - MANUFACTURING AND OPERATING COSTSStores and Spare Parts 9401.92 9116.30Power and Fuel 8983.36 8215.50Repairs to Buildings 345.55 742.51Repairs to Machinery 1269.90 1253.29Other Manufacturing and Operating Expenses 7029.74 7139.56

Per Profit and Loss Account 27030.47 26467.16

SCHEDULE 12 - (INCREASE)/DECREASE IN FINISHED AND PROCESS STOCKOpening Stock:

Goods-in-Process 11896.62 8673.34Finished Goods 9549.89 9007.19

21446.51 17680.53Closing Stock:

Goods-in-Process 9073.06 11896.62Finished Goods 15272.34 9549.89

24345.40 21446.51

(2898.89) (3765.98)Add/(Less): Variation in excise duty on opening andclosing stock of finished goods (6.06) (26.33)

Per Profit and Loss Account (2904.95) (3792.31)

SCHEDULE 13 - EMPLOYMENT COSTSSalaries, Wages, Bonus, etc, [including rent Rs. 82.22 lacs(Previous year Rs.110.11 lacs)] 23552.42 20746.66Contribution to Provident and Other Funds 1358.83 1394.04Workmen and Staff Welfare Expenses 1189.01 1175.28

Per Profit and Loss Account 26100.26 23315.98

SCHEDULE 14 - ADMINISTRATIVE, SELLING AND GENERAL EXPENSESInsurance (Net) 198.52 333.22Rent 4389.83 3843.83Lease Rentals 19.26 20.09Rates and Taxes 88.09 80.38Advertisement 7183.15 7383.55Commission to Selling Agents 4291.13 3268.43Freight, Octroi, etc. 1043.86 1289.27Bad Debts, Advances and Claims written off 117.73 5.67Provision for Doubtful Debts, Advances and Claims — 21.48Legal and Professional charges 3372.64 3366.88Repair & Maintenance Others 1923.65 2312.57Miscellaneous Expenses 8829.65 8067.28Loss on sale/discardment of Fixed Assets (Net) 45.49 120.72Provision for diminution in value of Current Investments 1313.56 43.72Contribution to Charitable Funds, etc. 20.82 272.99Directors’ Fees 8.40 7.60

Per Profit and Loss Account 32845.78 30437.68

SCHEDULE 15 - FINANCE CHARGESInterest on Debentures and Fixed Loans(Net of Subsidy Rs. 1679.61 lacs; Previous Year Rs.1617.68 lacs) 4936.31 3746.63Interest - Others 3948.70 2233.47

8885.01 5980.10Commitment and other charges on Loans 257.13 30.24

9142.14 6010.34Less : Borrowing Costs Capitalised (641.28) —

Per Profit and Loss Account 8500.86 6010.34

Year ended Year ended31st March, 2009 31st March, 2008

(Rs. in lacs) (Rs. in lacs)

44

SCHEDULE 16 - NOTES FORMING PART OF THE ACCOUNTS

1. Loan Funds :

(a) Term Loans from Banks:Amount Outstanding (Rs. in Lacs) From Banks:

(i) 56964.91 Secured by Mortgage of Immovable properties at the Company’s Textile Division at(P.Y. 30722.69) Vapi (Gujarat) and Suit Plant at Gauribidnur (Karnataka). Also secured by hypothecation

of specified machineries situated at the Company’s Textile unit at Vapi (Gujarat), Thaneand Jalgaon (Maharashtra) and Chindwara (Madhya Pradesh) and at Suit Plant atGauribidnur (Karnataka).

(ii) 10700.21 To be secured / since secured by Mortgage of Immovable properties at the Company’s(P.Y. 5613.10) Textile Division at Vapi (Gujarat) and by hypothecation of specified machineries, situated

at the Company’s Textile Division at Vapi (Gujarat), Thane and Jalgaon (Maharashtra)and Chindwara (Madhya Pradesh)

(iii) 15000.00 To be secured by first charge on specific Plant & Machinery to the extent of minimum(P.Y. Nil) 15% of the loan.

(b) Working Capital Loans (including Buyer’s Credit arrangement):

Secured by hypothecation of stocks, book debts and other current assets of the Company’s Textile and Files & ToolsDivisions.

2. Fixed Assets :

(a) In terms of the acquisition proceedings initiated by Thane Municipal Corporation, about 4,222 sq. metres of the Company’sland at Thane is acquired for the purpose of widening of municipal road. Necessary accounting effect for the same will begiven in the year in which the matter is finally settled.

(b) Buildings include Rs. 10.48 lacs in respect of ownership flats/portions of buildings or Co-operative Housing Societies andRs. 0.02 lac in respect of shares held in Co-operative Housing Societies.

(c) Capital work-in-progress includes expenditure during construction period on substantial expansion/new industrial units ofthe Company as under:

Year ended Year ended31st March, 2009 31st March, 2008

(Rs. in lacs) (Rs. in lacs)

Opening balance 32.61 3.57

Add: Incurred during the year:

Employment Costs 66.56 —

Power and Fuel 7.60 0.27

Legal and professional charges 49.41 30.30

Travelling Expenses 10.69 —

Miscellaneous Expenses 55.30 2.04

Insurance 18.52 —

208.08 32.61

240.69 36.18Less: Capitalised during the year (240.69) (3.57)

— 32.61

45

(d) Capital work-in-progress includes:

(i) Advances for capital expenditure Rs. 1999.06 lacs (Previous Year Rs.575.02 lacs);

(ii) Machineries in transit Rs. Nil (Previous year Rs.64.12 lacs).

3A. (a) The Company has an investment of Rs. 271.00 lacs in the shares of Celebrations Apparel Limited (CAL) a wholly ownedsubsidiary of the Company. Further, the Company has loans, advances and other receivables amounting to Rs. 800.27 lacsrecoverable from CAL. The networth of CAL has eroded due to operational losses. Considering the fact that the investmentis of a strategic nature and the steps taken by the Company to improve CAL’s performance has resulted in CAL makingcash profits in the current and the previous year, no provision is considered necessary by the Management at present, forpossible diminution in the value of investments and also in respect of losses that may arise in respect of loans to and otherreceivables from CAL.

(b) The Company has an investment of Rs. 1500 lacs in the shares of Everblue Apparel Limited (EBAL), a wholly owned subsidiaryof the Company. Further, the Company has loans, advances and other receivables amounting to Rs. 2174.61 lacs recoverablefrom EBAL. The net worth of EBAL has substantially eroded due to operational losses. EBAL has entered into a conductingAgreement with Raymond UCO Denim Private Limited (RUDPL) to manufacture Denim Jeans, label, package and store asdirected by RUDPL for a conducting fee in addition to reimbursement of certain costs and expenses incurred by EBAL in themanufacturing process. This arrangement has improved the performance of EBAL and EBAL has made profit during thecurrent and previous year. Under the circumstances, the Company has not provided for any diminution in the value ofinvestments and also in respect of losses that may arise in respect of loans to and other receivables from EBAL.

(c) During the year, Raymond Woollen Outerwear Limited (formerly Raymond Fedora Private Limited) has become a subsidiaryof the Company. The Company has an investment of Rs. 969.00 lacs in the equity shares of RWOL. Further, the Company hasloans, advances and receivables amounting to Rs. 3288.68 lacs recoverable from RWOL. The accumulated losses as on 31stMarch 2009 have substantially exceeded the net worth of the company due to operational losses. Various initiatives takenby RWOL has improved the performance and RWOL has made operational cash profit during the year. Under thecircumstances, the Company has not provided for any diminution in the value of investments and also in respect of lossesthat may arise in respect of loans to and other receivables from RWOL.

3B. (a) The Company has an aggregate investment of Rs.27638.69 lacs in the Equity and Preference Capital and also in Debenturesof Raymond UCO Denim Private Limited (RUDPL), a Joint Venture Company. Further, the Company has advanced a loan ofRs.2942.50 lacs and has other receivable of Rs. 722.73 lacs due from RUDPL. In view of continuous cash losses incurred andconsequent closure of operations of two of the overseas subsidiaries of RUDPL, the Company had a valuation carried outby an expert to assess permanent diminution in the value of its exposures. Based on such valuation, the Company hasmade a provision of Rs. 23013.83 lacs for diminution in the value of its investment, in loans to and other receivable fromRUDPL.The valuer for the purpose of carrying out the valuation, considered realisable value of assets of these subsidiaries asestimated by the management of these subsidiaries. However, these values carried uncertainty of realisation and theauditors of one of the subsidiaries has expressed his reservation in this regard.

The Company has, along with its JV partner, pledged shareholding in RUDPL as security for a loan taken by a subsidiary ofRUDPL to fund the employee separation cost. The Company, along with the Joint Venture Partner, has undertaken toadditionally fund RUDPL in case it fails to meet certain covenants of the Facility cum Hypothecation Agreement with Banks.The auditors of the Company have, under the circumstances, placed reliance on the management’s judgment, andvaluer’s valuation, and have accepted the same for the purpose of arriving at the permanent diminution in its exposure toRUDPL.

(b) Considering the business prospects of wholly owned subsidiary, Regency Texteis Portugesa, Limitada (Regency), the Companyhas made a provision of Rs. 512 lacs for diminution in the value of its investments in Regency and brought the carrying costof investment in the books in line with the networth as per the audited accounts of Regency.

(c) During the year the operations of Raymond Europe Srl, a subsidiary, were closed and the Company is under liquidation.Accordingly the Company has provided for the entire value of its investment in Raymond Europe Srl.

4. Sundry Debtors, considered good, include Rs. 8.51 lacs for the recovery of which the Company has initiated legal actions(Previous year Rs.8.51 lacs).

46

5. (a) Loans and Advances in the nature of loans: (Rs. in lacs)

Amount Maximum Shares held by outstanding balance Loanee in the Company

during the No. of Maximumyear Shares No.of

outstanding Shares heldat the year-end during the year

(i) Subsidiaries:

Colorplus Fashions Limited 300.00 300.00 — —

(300.00) (300.00) (—) (—)

Pashmina Holdings Limited 300.00 300.00 — —

(300.00) (300.00) (—) (—)

Everblue Apparel Limited 2012.75 2012.75 — —

(1870.75) (2173.17) (—) (—)

Silver Spark Apparel Limited 1507.96 1556.96 — —

(1556.96) (2331.96) (—) (—)

Celebrations Apparel Limited 772.48 1006.08 — —

(1006.08) (1006.08) (—) (—)

JK Talabot Limited 668.48 687.61 — —

(575.62) (726.62) (—) (—)

Ring Plus Aqua Limited — 15.03 — —

(15.03) (15.03) (—) (—)

Raymond Woollen Outerwear Limited 1515.64 1515.64 — —

(formerly Raymond Fedora Private Limited) (—) (—) (—) (—)

(ii) Associate Companies:

J.K. Investo Trade (India) Limited — 30.00 20,11,325 20,11,325

(30.00) (30.00) (16,58,923) (16,58,923)

P T Jaykay Files Indonesia — 56.38 — —

(56.38) (56.38) (—) (—)

(iii) Joint Ventures:

Raymond Fedora Private Limited — 1123.64 — —

(a subsidiary w.e.f. 9th August 2008) (1123.64) (1123.64) (—) (—)

Raymond UCO Denim Private Limited 2942.50 2942.50 — —

(Repayable on or before 6th August, 2013) (2942.50) (2942.50) (—) (—)

(Figures in bracket relate to previous year)

(b) Advances recoverable in cash or in kind or for value to be received, considered good, includes:

(i) Due from Officers of the Company Rs.49.20 lacs (Previous year Rs.69.18 lacs); Maximum balance during the yearRs. 69.18 lacs (Previous year Rs.123.38 lacs).

(ii) Due from Subsidiary Companies Rs. 986.45 lacs (Previous year Rs.99.23 lacs).

47

6. A. Contingent Liabilities not provided for :

31st March, 2009 31st March, 2008

(Rs. in lacs) (Rs. in lacs)

(a) Claims against the Company not acknowledged as debts in respect of pastdisputed liabilities of the Cement and Steel Divisions divested during theyear 2000—2001,Carded Woollen business divested during theyear 2005—06 and Denim Division divested during 2006—07 (interest thereonnot ascertainable at present).— Excise Matters 4.06 51.03— Sales Tax 181.85 181.85— Royalty on Limestone 2201.94 2201.94— Other matters 152.09 152.09

2539.94 2586.91

(b) Claims against the Company not acknowledged as debts inrespect of other divisions.— Sales Tax 78.22 141.45— Compensation for Premises 1426.46 1298.89— Stamp Duty 174.16 174.16— Water Charges 95.68 87.17— Other Matters 67.53 153.41

1842.05 1855.08

(c) Bills Discounted with the Company’s bankers 5477.13 8662.09

(d) On account of guarantees given and also on account of the indemnityissued by the Company to the Acquirer of shares of Recron Synthetics Limitedpursuant to an Agreement. 342.70 342.70

(e) On account of corporate guarantee to the bankers/vendors on behalfof subsidiaries for facilities availed by them (amount outstanding at close ofthe year) 8724.00 8565.00

(f) Disputed demands in respect of Income-tax, etc. (Interest thereon not ascertainable at present) 755.16 47.26

(g) Bonds/Undertakings given by the Company under concessionalduty/exemption scheme to Government authorities (Net of obligations fulfilled) 9155.49 4083.88

(h) On account of Excise Duty liability on post removal of goods from theplace of manufacture. 2118.90 2118.90

(i) Disputed Excise Duty liability in respect of other matters. 7257.12 915.78(includes Rs. 5750.83 lacs; P.Y. Nil on account of denial of exciseexemption benefit.)

(j) Liability on account of jute packaging obligation upto 30th June, 1997,in respect of the Company’s erstwhile Cement Division, under the JutePackaging Materials (Compulsory use in Packing Commodities) Act, 1987. Amount not determinable

48

31st March, 2009 31st March, 2008(Rs. in lacs) (Rs. in lacs)

(k) Liability in respect of additional stamp duty on the transfer

of immovable properties of the Company’s erstwhile

Cement Division and Denim Division. Amount not determinable

(l) Company’s liabilities/ obligations pertaining to the period upto the date

of transfer of the Company’s erstwhile Steel, Cement, Carded Woollen

Division and Denim Division in respect of which the Company has given

undertakings to the acquirers Amount not determinable

(m) The Wage Agreement in respect of the certain unionised staff of the Company’s Textile Division situated at Chindwarahas expired during the financial year 2007-08. The staff union has referred the dispute to the industrial court for anaward. The net liability on account of revision will be accounted on receipt of the award from the Industrial Court.

The wage agreement in respect of the unionised employees of Company’s Textile plant situated at Thane has expiredduring the financial year 2008-09. The liability on account of revision will be accounted in the year of finalisation of thewage agreement.

Note: Item 6A(a), (b), (h), (i) to (l)

The Company has taken legal and other steps necessary to protect its position in respect of these claims, which, in itsopinion, based on legal advice, are not expected to devolve. It is not possible to make any further determination ofthe liabilities which may arise or the amounts which may be refundable in respect of these claims.

31st March, 2009 31st March, 2008(Rs. in lacs) (Rs. in lacs)

B Estimated amount of contracts remaining to be executed on capital account

and not provided for (net of advances). 6432.95 7866.01

C Disclosure in respect of derivative instruments :

(a) Derivative instruments outstanding :

Millions

Forward Option Swap

(i) Against Exports USD/INR 4.50 (11.44) USD/INR 8.00 (1.20)EUR/USD — (2.00)

(ii) Against Imports USD/INR 3.00 (—) AUD/USD 10.70 (19.00)AUD/USD — (4.50) USD/INR 3.00 (—)USD/JPY — (4.75)

(iii) Loans taken : - Principal USD/INR 5.00 (10.00) USD/INR 32.50 (—) JPY/INR 3476.10 (3476.10)

JPY/USD 1177.30 (2344.80)INR/USD 25.00 (30.00)

- Interest rate JPY/USD 21.25 ( 59.61 ) JPY/JPY 1177.30 (2344.80)JPY/INR 3476.10 (3476.10)USD/USD 28.50 (20.00)

Note: ( ) Denotes previous year’s figures.

49

(b) All the derivative instruments have been acquired for hedging purposes.

(c) Foreign currency exposures that are not hedged by derivative instruments :

MillionsUSD EURO GBP CHF AUD JPY RMB

08-09 07-08 08-09 07-08 08-09 07-08 08-09 07-08 08-09 07-08 08-09 07-08 08-09 07-08i) Debtors — — 0.26 0.61 0.15 0.12 — 0.04 — — — — — —

ii) Creditors — 0.14 0.57 0.18 — — — 0.02 — — — 6.64 — —

iii) Loans taken 28.63 61.18 — — — — — — — — — — — —

iv) Cash & Bank bal. — — — — — — — — — — — — 0.01 0.02

v) Other Receivables &Advances — 0.08 — 0.11 — — — 0.01 — 0.05 — 33.89 0.05 —

vi) Other Payables — 2.29 — 0.11 — — — — — — — — — —

7. During the previous year, the Company received Rs 2086.95 Lacs, being 10% of the amount on issue of 61,38,085 warrants onpreferential basis to the promoters. The Company has utilised the funds for capital expenditure.

8. A. Managerial remuneration under Section 198 of the Companies Act, 1956, paid or payable during the financial year, to theDirectors, as under :

2008-2009 2007-2008(Rs. in lacs) (Rs. in lacs)

Salary, Allowances and Gratuity paid 363.15 404.60Contribution to Provident and Other Funds 46.53 68.40Commission — 27.96

409.68 500.96Approximate money value of perquisites and benefits 22.00 36.75

431.68 537.71

The employee-wise break-up of liability on account of Retirement Schemes based on actuarial valuation is not ascertainable.The amounts relatable to the Directors is, therefore, disclosed in the year of payment.In view of inadequacy of profits for the year 2008-09, the Company has made an application to the Central Government forapproval of remuneration to managerial personnel. Pending such approval of the Central Government and the approval ofthe Shareholders at the ensuing annual general meeting, the remuneration paid during the year, in excess of the limitsprescribed under Schedule XIII of the Companies Act 1956, amounting to Rs.242.34 lacs is being held in trust by suchdirectors for the Company.

Year ended Year ended31st March, 2009 31st March, 2008

(Rs. in lacs) (Rs. in lacs)

B. Statement showing the computation of Net Profitin accordance with Section 198(1) of the Companies Act, 1956:Profit/(Loss) before Tax - per Profit and Loss Account (29755.06) 8169.66Add: Managerial remuneration paid/provided 431.68 537.71

Provision for diminution in value of investments 1313.56 43.72Exceptional Items (net) 23879.95 445.19Prior period adjustments (net) — 1.03

25625.19 1027.65

(4,129.87) 9197.31Less: Profit on sale of Investments (net) 1721.52 4692.16

Prior period adjustments (net) 65.41 —Provision for Wealth Tax 100.00 62.00

1886.93 4754.16

Net Profit/(Loss) in accordance with Section 198(1)/349 (6016.80) 4443.15

Commission payable:(i) to the Chairman and Managing Director @ 1% of

said Net Profit* — 1.48(ii) to the Wholetime Director @ 1% of said Net Profit subject

to a ceiling of annual salary* — 1.48(iii) to other Directors — 25.00

* Restricted upto overall limits of 10% of profits computedunder Section 349 of the Companies Act, 1956

50

Year ended Year ended31st March, 2009 31st March, 2008

(Rs. in lacs) (Rs. in lacs)9. Auditor’s Remuneration:

(i) Fees as Auditor 30.33 30.93(ii) For management services 10.11 22.47(iii) For other services 11.81 11.24(iv) Out-of-pocket expenses 3.29 3.46

10. Imports:Value of imports (including in-transit) calculated on C.I.F. basisin respect of -(i) Raw Materials, Merchanting Goods, etc. 14141.68 16017.67(ii) Stores and Spare Parts 1437.96 1450.70(iii) Capital Goods 23791.12 917.72(iv) Repairs 46.01 302.00

11. Expenditure in Foreign Currency on account of:(i) Interest and Finance Charges 1941.93 1639.17(ii) Export Sales Commission 952.74 835.51(iii) Advertisement expenses 251.95 168.20(iv) Foreign travel, subscription, etc. 329.56 418.66(v) Consultancy charges 467.92 683.30(vi) Others 524.29 889.82

12. Remittance in Foreign Currency on account of dividends:Paid in 2008-2009 Paid in 2007-2008

(a) Year to which the dividend relates 2007-2008 2006-2007(b) Number of non-resident shareholders to whom remittances were made 62 66(c) Number of shares on which remittances were made 51876 54106(d) Amount remitted (Rs. in lacs) 1.30 2.71

Year ended Year ended31st March, 2009 31st March, 2008

(Rs. in lacs) (Rs. in lacs)

13. Earnings in Foreign Currency:(i) Export of goods calculated on FOB basis 18706.62 15107.70(ii) Earnings from Air Taxi Operations 36.96 26.81(iii) Others 6.37 15.55

14. Revenue expenditure, including overheads on research and development incurred and charged out during the year throughthe natural heads of account, aggregate Rs. 18.67 lacs. The capital expenditure incurred for research and developmentpurposes, aggregate Rs.Nil.

15. There are no dues to Micro and Small Enterprises as at 31st March, 2009. This information as required to be disclosed under theMicro, Small and Medium Enterprises Development Act, 2006 has been determined to the extent such parties have beenidentified on the basis of information available with the Company.

Year ended Year ended31st March, 2009 31st March, 2008

(Rs. in lacs) (Rs. in lacs)

16. Prior period adjustments represent :Debits relating to earlier years 115.22 30.32Credits relating to earlier years (49.60) (22.95)Depreciation/Amortisation adjustments (net) (0.21) (8.40)

65.41 (1.03)

51

17. Exceptional Items:

Year ended Year ended31st March, 2009 31st March, 2008

(Rs. in lacs) (Rs. in lacs)

(a) VRS payments (312.54) (445.19)

(b) Provision for Diminution in exposures in Raymond UCODenim Private Limited [Refer Note 3B(a)] (23013.83) —

(c) Provision for diminution in the value of investments insubsidiaries [Refer Note 3B(b) and (c)] (553.58) —

(23879.95) (445.19)

(Rs. in lacs)As at 31-3-2009 As at 31-3-2008 As at 31-3-2007

18. Deferred Tax :

Deferred Tax Liability on account of :

Depreciation 9998.40 8177.38 7479.17

Deferred Tax Asset on account of :

(i) VRS Payments 329.25 545.36 706.61

(ii) Other Employee benefits 1474.14 1277.40 789.27

(iii) Taxes, Duties, Cess, etc. 218.65 215.23 206.57

(iv) Provision for doubtful debts, etc. 381.00 135.60 158.49

(v) Provision for diminution in value of Investments 7.42 0.78 2.91

(vi) Unabsorbed Depreciaion 4750.74 — —

(vii) Others — 35.43 27.59

7161.20 2209.80 1891.44

Deferred Tax (Net) 2837.20 5967.58 5587.73

52

19. Related parties disclosures :1. Relationships :

(a) Subsidiary Companies :Raymond Apparel Limited

Pashmina Holdings Limited

Everblue Apparel Limited

Jaykayorg AG

J.K. (England) Limited

Regency Texteis Portuguesa, Limitada

Hindustan Files Limited

Colorplus Fashions Limited

Silver Spark Apparel Limited

Celebrations Apparel Limited

Ring Plus Aqua Limited

R&A Logistics Inc.

Scissors Engineering Products Limited

JK Talabot Limited

Raymond Woollen Outerwear Limited (a subsidiary w.e.f. 9th August 2008) (formerly Raymond Fedora Private Limited)

Raymond Europe S.r.l.

(b) Joint Ventures :Raymond Zambaiti Private Limited

Raymond UCO Denim Private Limited and its subsidiaries;

UCO General Holding LLC,

UCO Spinning Ltd. Partnership, UCO Fabrics Inc.,

UCO Sportswear International NV, UCO Tesatura SRL,

UCO Raymond Denim Holding NV,

UCO Ltd. LLC

GAS Apparel Limited

Raymond Fedora Private Limited (a subsidiary w.e.f. 9th August 2008)

Rayves Automotive Textile Company Private Limited

Rose Engineered Products India Pvt. Ltd.

(c) Other related parties where control exists :J.K. Investo Trade (India) Limited

P.T. Jaykay Files Indonesia

J.K. Helene Curtis Limited

J.K. Ansell Limited

J.K. Investors (Bombay) Limited

Radha Krshna Films Limited

(d) Key Management Personnel :Mr. Gautam Hari Singhania

Mr. Pradeep Kumar Bhandari (up to 23rd April 2008)

(e) Relatives of key management personnel and their enterprises where transactions have taken place :Dr. Vijaypat Singhania

Silver Soaps Private Limited

Avani Agricultural Farms Private Limited

Note : Related party relationship is as identified by the Company and relied upon by the Auditors.

53

2. Transactions carried out with related parties referred in 1 above, in ordinary course of business: (Rs. in lacs)

Related Parties Nature of transactions Referred in Referred in Referred in Referred in Referred in

1(a) above 1(b) above 1(c) above 1(d) above 1(e) abovePurchasesGoods and Materials 8565.34 28.04 1047.37 — —

(8907.96) (1453.51) (1188.50) (—) (—)

Fixed Assets 24.87 3.78 — — — (—) (2.47) (—) (—) (—)

DEPB Certificate 37.10 — — — —(28.52) (22.48) (—) (—) (—)

SalesGoods, Materials and Services 5069.26 84.36 520.75 — —

(6014.24) (3437.14) (403.69) (—) (—)

Fixed Assets 1.22 36.27 — — — (13.73) (12.11) (4.38) (—) (—)

ExpensesRent and other service charges 28.65 1.20 962.03 — 40.80

(22.65) (9.75) (888.49) (—) (40.80)

Job work charges 692.55 257.92 — — — (8.35) (545.88) (—) (—) (—)

Agency Commission 687.56 — 479.02 — —(575.33) (—) (501.23) (—) (—)

Remuneration (Refer Note 8) — — — 431.68 — (—) (—) (—) (512.71) (—)

Interest paid — — 21.10 — —(—) (—) (20.83) (—) (—)

Professional Fees 74.58 — — — 134.59(88.39) (—) (—) (—) (112.36)

Directors’ Fees — — — — 1.40(—) (—) (—) (—) (1.10)

Other Reimbursements 333.65 57.94 16.27 — —(191.69) (4.90) (47.35) (—) (—)

IncomeRent and other service charges 322.86 19.66 30.45 — —

(204.04) (29.93) (36.39) (—) (—)

Interest received 428.21 506.58 2.36 — —(90.50) (427.02) (2.70) (—) (—)

Other ReceiptsDeputation of staff 164.67 136.67 212.46 — —

(96.28) (192.56) (159.63) (—) (—)

Advertisement Reimbursements 135.81 2.46 — — — (122.05) (11.51) (5.67) (—) (—)

Other reimbursements 284.14 127.23 50.45 — —(130.97) (133.90) (65.89) (—) (—)

FinanceLoans and Advances given # 251.40 — — — —

# (384.26) (470.00) (—) (—) (—)

Investments made 5.00 1387.10 — — — (42.65) (2850.00) (—) (—) (—)

OutstandingsCommitments given on behalf of 14054.00 Refer Note 3B(a) — — —

(11886.00) (—) (—) (—) (—)

Payable 1353.22 771.79 396.78 75.00 —(874.22) (374.15) (136.05) (2.96) (—)

Receivable 2822.72 * 730.42 350.67 — —(1315.17) (1591.70) (152.38) (—) (—)

Agency/Property Deposits received — 1.00 211.02 — —(—) (1.00) (211.02) (—) (—)

Security Deposit paid 150.00 — — — —(150.00) (—) (—) (—) (—)

Loans and Advances ** 7077.31 * 2942.50 — — —** (5624.44) (4066.14) (33.23) (—) (—)

Property Deposit paid 98.77 1.00 2935.85 —50.00

(10.33) (1.00) (2935.85) (—) (50.00)

* Refer Note 3B(a)** includes Rs.2155.44 lacs, interest free (Previous year Rs.4308.79 lacs)# includes Rs.Nil, interest free (Previous year Rs.300.00 lacs)

(Previous year figures are in brackets)

54

Year ended Year ended31st March, 2009 31st March, 2008

(Rs. in lacs) (Rs. in lacs)

20 (a) Premises taken on operating lease:

The total future minimum lease rentals payable at theBalance Sheet date is as under:

For a period not later than one year 2866.93 2758.67For a period later than one year and not later than five years 9594.42 8867.91For a period later than five years 3748.84 3404.21

(b) Machinery taken on operating lease:

The total future minimum lease rentals payable at theBalance Sheet date is as under:

For a period not later than one year 93.86 140.41For a period later than one year and not later than five years 70.72 245.71For a period later than five years — —

Total operating lease expenses debited to profit and loss accountis Rs. 4618.18 lacs (Previous year Rs. 3953.94 lacs)

(c) Premises given on operating lease:

(i) Buildings:Gross carrying amount 244.74 244.74Depreciation for the year 8.39 8.55Accumulated Depreciation 45.68 37.29The value of portions of premises given on operating lease is notdisclosed above since identification of value relatable to theportion is not possible.

(ii) The total future minimum lease rentals receivable at theBalance Sheet date is as under:For a period not later than one year 51.27 47.11For a period later than one year and not later than five years 42.30 95.68For a period later than five years — —

Year ended Year ended31st March, 2009 31st March, 2008

(Rs. in lacs) (Rs. in lacs)

21. Computation of Profit for Earnings per Share:

Profit/(Loss) for the year after tax (27039.68) 6612.17

Prior period adjustments (net) (65.41) 1.03

Excess/(Short) Provision for tax in respect of earlier years (50.04) 629.10

Profit/(Loss) including exceptional items (27155.13) 7242.30

Exceptional items (net of taxes) 23511.30 293.87

Profit/(Loss) excluding exceptional items (net of taxes) (3643.83) 7536.17

Nominal value per share in Rupees 10.00 10.00

55

22. Capacity and Production(Annual Capacity)

As at 31st March, 2009 As at 31st March, 2008

Licensed/ * Installed Licensed/ * InstalledRegistered Registered

(A) Licensed and Installed Capacities:

Wool Combing - Lac Kgs. 13.60 13.60 13.60 13.60

Wool Combing - Lac Kgs. 46.96 (b) 46.96 22.58 (b) 22.58

Wool Spinning - Spindles 1440 1440 1440 1440

Worsted Spinning - Spindles 22700 22700 22700 22700

Worsted Spinning - Spindles 55656 (b) 55656 37704 (b) 37704

Synthetic Spinning - Spindles 13728 (a) 13728 13728 (a) 13728

Synthetic Spinning - Spindles 3840 3840 3840 3840

Weaving - No. of Looms 246 246 246 246

Weaving - No. of Looms 243 (b) 243 149 (b) 149

Weaving - No. of Looms 32 32 32 32

Hosiery - No. of Machines Not specified 37 Not specified 37

Looms for Plush Fabrics 19 (b) 19 19 (b) 19

Trousers - Lac Nos. 5.44 (b) 1.80 - -

Jackets - Lac Nos. 5.44 (b) 1.80 - -

Files & Rasps - Lac Nos. NA# 444 NA# 444

H.S.S. Twist Drills - Lac Nos. NA# 144 NA# 144

Tool bits - Lac Nos. NA# 1.50 NA# 1.50

Bars & Rods - M.T. NA# 7200 NA# 7200

* As certified by the Management and being a technical matter, accepted by the Auditors as correct.

# Delicensed & therefore Not Applicable

(a) Per Memorandum of Information filed with Secretariat for Industrial Approvals, Government of India

(b) Installed against Industrial Entrepreneurs Memorandum

Year Ended Year EndedUnit 31st March, 2009 31st March, 2008

(B) Actual Production

Fabrics Lac Mtrs. 325.00 318.71

Rugs, Blankets and Shawls Lac Pcs. 3.25 2.17

Furnishing Fabrics Lac Mtrs. 8.04 8.14

Files and Rasps Lac Nos. 513.71 508.66

H.S.S.Twist Drills Lac Nos. 146.02 118.78

Bars and Rods (HRS) $ M.T. 6365.27 6456.50

$ 5608.43 M.T. used for captive consumption; Previous year 5686.40 M.T.

56

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57

23. Disclosures pursuant to Accounting Standard-15 “Employee Benefits”

a. The Company has recognised Rs. 1358.83 lacs (Previous year 1394.04 lacs) in the Profit and Loss Account for the year ended31st March 2009 under Defined Contribution Plans.

b. Details of Defined Benefit Plan(Rs. In Lacs)

31st March, 2009 31st March, 2008

Gratuity Pension Gratuity Pension

1. Components of Employer Expense(a) Current Service Cost 280.70 33.10 284.44 33.16(b) Interest Cost 491.67 64.30 467.86 62.25(c) Expected Return on Plan Assets (451.50) — (426.66) —(d) Actuarial (Gain)/Loss 84.87 (48.67) 9.09 (24.17)(e) Total expense/(gain) recognised in the Profit & Loss Account 405.74 48.73 334.73 71.24

2. Net Asset/(Liability) recognised in Balance Sheet(a) Present Value of Obligation as at 31st March, 2009 6516.35 803.04 6005.31 792.43(b) Fair Value of Plan Assets as at 31st March, 2009 6516.35 N.A. 6005.31 N.A.(c) Asset/(Liability) recognised in the Balance Sheet — (803.04) — (792.43)

3. Change in Defined Benefit Obligation (DBO) during theyear ended as on 31st March, 2009

(a) Present Value of Obligation as at 31st March, 2008 6005.31 792.43 5695.12 767.59(b) Current Service Cost 280.70 33.10 284.44 33.16(c) Interest Cost 491.67 64.30 467.86 62.25(d) Actuarial (Gain)/Loss 65.32 (48.67) (78.99) (24.17)(e) Benefits Paid (326.65) (38.12) (363.12) (46.40)(f) Present Value of Obligation as at 31st March, 2009 6516.35 803.04 6005.31 792.43

4. Changes in the Fair Value of Plan Assets(a) Present Value of Plan Assets as at 31st March, 2008 6005.31 5695.12(b) Expected Return on Plan Assets 451.50 426.66(c) Actuarial Gain/(Loss) (19.55) N.A. (88.08) N.A(d) Actual Company Contribution 405.74 334.72(e) Benefits Paid (326.65) (363.12)(f) Fair Value of Plan Assets as at 31st March, 2009 6516.35 6005.31

5. Actuarial Assumptions(a) Discount Rate (per annum) 7.5% 7.5% 8.0% 8.0%(b) Expected Rate of Return on Assets (per annum) 7.5% N.A. 7.5% N.A.(c) Salary Escalation Rate* 7.5% 7.5% 8.0% 8.0%

* takes into account the inflation, seniority, promotions and other relevant factors

6. Percentage of each Category of Plan Assets to total FairValue of Plan Assets as at 31st March, 2009

(a) Government Securities 55% 54%(b) Corporate Bonds 41%

N.A.39%

N.A.(c) Insurer Managed Funds 1% 7%(d) Others 3% 0%

} }

} }

58

24. Material Consumption(Rs. in lacs)

Year Ended Year Ended31st March, 2009 31st March, 2008

Unit Quantity Value Quantity Value

A. Raw Material Consumed:Wool and Wool Tops M.T. 4487 12795.00 5216 13991.00Other Natural Fibres & Tops M.T. 55 550.00 22 172.00Staple & Synthetic Fibres & Tops M.T. 5052 4611.00 5652 4947.00Yarn M.T. 3892 6578.00 4707 7773.00Grey Fabric Lac Mtrs. 1.04 170.44 1.44 192.68Rags & Waste M.T. 220 158.00 352 229.00Files Steel M.T. 6055 3168.19 6031 2425.27Drill Steel M.T. 374 1393.82 326 1095.63Semi-Finished Files Lac Nos. 190.46 4019.63 178.85 3362.69Others 195.05 197.12

33639.13 34385.39

B. Imported and Indigenous materials consumed:Year Ended Year Ended

31st March, 2009 31st March, 2008

(Rs. in lacs) % (Rs. in lacs) %(i) Raw Materials:

Imported 12607.33 37.48 18644.50 54.22Indigenous 21031.80 62.52 15740.89 45.78

33639.13 100.00 34385.39 100.00

(ii) Stores and Spare Parts:Imported 1535.74 16.33 1791.43 19.65Indigenous 7866.18 83.67 7324.87 80.35

9401.92 100.00 9116.30 100.00

25. Information on Joint Ventures:i) Jointly controlled entities.

Sr. Name of the Joint Venture Country of Percentage ofNo. Incorporation Ownership interest

1) Raymond Zambaiti Private Limited India 50%

2) Raymond Fedora Private Limited # India 50%

3) Raymond UCO Denim Pvt. Ltd.@ India 50%

4) GAS Apparel Limited @* India 50%

5) Rose Engineered Product India Pvt. Ltd.* India 50%

6) Rayves Automotive Textile Company Pvt. Ltd.* India 50%

* Held through subsidiaries @ Information based on unaudited financial statements# Refer Note 3A(c)

(Rs. in lacs)ii) Contingent Liabilities in respect of Joint Ventures. 2008-09 2007-08

a) Directly incurred by the Company — —b) Share of the Company in contingent liabilities which have been incurred jointly

with other ventures — —c) Share of the Company in contingent liabilities incurred by jointly controlled

entity (to the extent ascertainable) 2344.86 2959.87d) Share of other ventures in contingent liabilities incurred by jointly controlled entity. — —

iii) Capital commitments in respect of Joint Venturesa) Direct Capital commitments by the Company — —b) Share of the Company in capital commitments which have been incurred jointly

with other ventures Refer Note 3B(a)c) Share of the Company in capital commitments of the jointly controlled entity. 58.96 448.31

59

iv) Interest in the assets, liabilities, income and expenses with respect to jointly controlled entities.(Rs.in lacs)

2008-09 2007-08

A) Assets:

a) Fixed Assets (Net Block): 26135.83 47210.90

Capital Work-in-Progress 157.39 594.43

b) Investments — 13.59

c) Current Assets, Loans and Advances:Inventories 5899.33 13143.17

Sundry Debtors 6838.23 8591.88

Cash and Bank Balances 1467.79 1723.29

Loans and Advances 1496.75 2273.21

Other Current Assets 2594.60 1743.35

B) Liabilities:1) Loan Funds:

Secured Loans 23526.18 35420.58

Unsecured Loans 4122.99 6728.22

2) Current Liabilities and Provisions:

Liabilities 8679.66 9036.49Provisions 2573.17 1251.94

3) Deferred Tax Liability (Net) 137.11 318.27

C) Income:a) Sales and Export Incentives 43227.99 46350.76

b) Other Income 573.14 (14.54)

D) Expenditure:a) Material Costs 17654.61 19748.87

b) Manufacturing Expenses and Inventory Variation 13807.54 13184.45

c) Employment Costs 6573.38 8574.02

d) Administrative, Selling and Other Expenses 8912.28 5675.80

e) Finance Charges 2782.30 2490.12

f) Depreciation 4265.33 5951.02

g) Provision for Taxation (183.24) (176.51)

26. Previous year’s figures have been regrouped/recast wherever necessary.

27. Significant accounting policies and practices adopted by the Company are disclosed in the statement annexed to these Accountsas Annexure I.

Signatures to Schedules 1 to 16As per our Report of even date

For and on behalf ofDALAL & SHAH H. SUNDER GAUTAM HARI SINGHANIAChartered Accountants President - Finance Chairman and Managing Director

ASHISH DALAL THOMAS FERNANDES P. K. BHANDARIPartner Director-Secretarial & Director

Company Secretary

Mumbai, 24th April, 2009 Mumbai, 24th April, 2009

60

ANNEXURE ISTATEMENT OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES(annexed to and forming part of the Accounts for the year ended 31st March, 2009)

I. RECOGNITION OF INCOME AND EXPENDITURE :(i) Revenues/Incomes and Costs/Expenditure are generally accounted on accrual, as they are earned or incurred.(ii) Sale of Goods is recognised on transfer of significant risks and rewards of ownership which is generally on the dispatch of goods.(iii) Export Incentives under the “Duty Entitlement Pass Book Scheme” and “Duty Draw Back Scheme” are accounted in the

year of export.(iv) Compensation to employees under Voluntary Retirement Scheme (VRS) is written off in the year of payment.

II. USE OF ESTIMATES :The preparation of financial statements in conformity with generally accepted accounting principles requires estimates andassumptions to be made that affect the reported amounts of assets and liabilities on the date of the financial statements andthe reported amounts of revenues and expenses during the reporting period. Differences between actual results and estimatesare recognised in the period in which the results are known/materialised.

III. FIXED ASSETS :Fixed Assets (other than livestock) are stated at cost, less accumulated depreciation (other than ‘Freehold Land’ where nodepreciation is charged). Livestock are stated at Book Value.

IV. METHOD OF DEPRECIATION AND AMORTISATION :(i) Depreciation on Factory Buildings, Plant and Machinery, Electrical Installations and Equipment and Aircraft is provided on

the “Straight Line Method” (S.L.M.) by writing off 95% of the cost of the assets over the ‘Specified Period’ of the assets inaccordance with the provisions of Section 205(2)(b) of the Companies Act, 1956;

(ii) Depreciation on other Fixed Assets (other than ‘Land’ and ‘Livestock’ where no depreciation is provided), is provided on the“Written Down Value Method” (W.D.V.) at the rates specified in Schedule XIV to the Companies Act, 1956 from time to time;

(iii) Depreciation on all assets referred to in (i) above, acquired upto 31st March, 1987, is provided at the rates of depreciationprevalent at the time of acquisition of the assets, in pursuance of Circular No. 1 of 1986, (1.1/86-CL-V) dated 21st May, 1986,issued by the Company Law Board;

(iv) Depreciation on additions to Fixed Assets after 1st April, 1987 is provided at the relevant rates of depreciation in respect ofS.L.M. and W.D.V., as specified in Schedule XIV to the Companies Act, 1956 from time to time;

(v) Depreciation on additions to assets or on sale/discardment of assets, is calculated pro rata from the month of such additionor upto the month of such sale/discardment, as the case may be;

(vi) Cost of Technical Know-how capitalised is amortised over a period of six years thereof.(vii) Cost of Customised Software capitalised is amortised over a period of three years(viii) Cost of Leasehold Land is amortised over the period of lease.

V. INVESTMENTS :Investments are classified into Current and Long-term Investments. Current Investments are stated at lower of cost and fair value.Long-term Investments are stated at cost. A provision for diminution is made to recognise a decline, other than temporary, in thevalue of Long-term Investments.

VI. VALUATION OF INVENTORIES :Inventories of Raw Materials, Goods-in-Process, Stores and spares, Finished Goods and Merchanting Goods are stated ‘at cost ornet realisable value, whichever is lower’. Goods-in-Transit are stated ‘at cost’. Cost comprise all cost of purchase, cost ofconversion and other costs incurred in bringing the inventories to their present location and condition. The excise duty in respectof closing inventory of finished goods is included as part of finished goods. Cost formulae used are ‘First-in-First-out’, ‘Averagecost’ or ‘Specific identification’, as applicable. Due allowance is estimated and made for defective and obsolete items,wherever necessary, based on the past experience of the Company.

VII. FOREIGN CURRENCY TRANSLATIONS :(i) All transactions in foreign currency, are recorded at the rates of exchange prevailing on the dates when the relevant

transactions take place;(ii) Monetary items in the form of Loans, Current Assets and Current Liabilities in foreign currency, outstanding at the close of

the year, are converted in Indian Currency at the appropriate rates of exchange prevailing on the date of the BalanceSheet.Resultant gain or loss is accounted during the year;

(iii) In respect of Forward Exchange contracts entered into to hedge foreign currency risks, the difference between theforward rate and exchange rate at the inception of the contract is recognised as income or expense over the life of thecontract. Further, the exchange differences arising on such contracts are recognised as income or expense along with theexchange differences on the underlying assets / liabilities. Further, in case of other contracts with committed exchangerates, the underlying is accounted at the rate so committed. Profit or loss on cancellations / renewals of forward contractsis recognised during the year. In case of option contracts, the losses are accounted on mark to market basis.

VIII. RESEARCH AND DEVELOPMENT :Revenue expenditure, including overheads on Research and Development, is charged out as an expense through the naturalheads of account in the year in which incurred. Expenditure which results in the creation of capital assets is taken as FixedAssets and depreciation is provided on such assets as are depreciable.

61

IX. EMPLOYEE BENEFITS :Defined Contribution Plans such as Provident Fund etc., are charged to the Profit & Loss Account as incurred. Defined Benefit Plans

- The present value of the obligation under such plan, is determined based on an actuarial valuation using the Projected UnitCredit Method. Actuarial gains and losses arising on such valuation are recognised immediately in the Profit & Loss Account. Incase of funded defined benefit plans, the fair value of the plan assets is reduced from the gross obligation under the definedbenefit plans, to recognise the obligation on net basis. Further for certain employees, the monthly contribution for Provident Fundis made to a Trust administered by the Company. The interest payable by the Trust is notified by the Government. The Companyhas an obligation to make good the shortfall, if any.

Other Long term Employee Benefits are recognised in the same manner as Defined Benefit Plans. Termination benefits are recognisedas and when incurred.

X. PROJECT DEVELOPMENT EXPENSES PENDING ADJUSTMENT :Expenditure incurred during developmental and preliminary stages of the Company’s new projects, are carried forward. However,if any project is abandoned, the expenditure relevant to such project is written off through the natural heads of expenses in theyear in which it is so abandoned.

XI. BORROWING COSTS :Interest and other borrowing costs attributable to qualifying assets are capitalised. Other interest and borrowing costs arecharged to revenue.

XII. GOVERNMENT GRANTS:Grants received against specific fixed assets are adjusted to the cost of the assets and those in the nature of promoter’scontribution are credited to Capital Reserve. Revenue Grants are recognised in the Profit and Loss Account in accordance withthe related scheme and in the period in which these are accrued.

XIII. EXPENDITURE DURING CONSTRUCTION AND ON NEW PROJECTS :In the case of new industrial units and substantial expansion of existing units, all pre-operating expenditure specifically for theproject, incurred upto the date of installation, is capitalised and added pro rata to the cost of fixed assets.

XIV. APPLICATION OF SECURITIES PREMIUM ACCOUNT :Share and Debenture Issue expenses and Premium payable on redemption of Debentures, are charged, first against availablebalance in Securities Premium Account.

XV. TAXATION :Income-tax expense comprises current tax, fringe benefit tax (FBT) and deferred tax charge or credit. Provision for current tax ismade on the basis of the assessable income at the tax rate applicable to the relevant assessment year. Provision for FBT is madeon the basis of the fringe benefits provided / deemed to have been provided during the year at the rates and valuesapplicable to the relevant assessment year. The deferred tax asset and deferred tax liability is calculated by applying tax rateand tax laws that have been enacted or substantively enacted by the Balance Sheet date. Deferred tax assets arising mainlyon account of brought forward losses and unabsorbed depreciation under tax laws, are recognised, only if there is a virtualcertainty of its realisation, supported by convincing evidence. Deferred tax assets on account of other timing differences arerecognised only to the extent there is a reasonable certainty of its realisation. At each Balance Sheet date, the carrying amountof deferred tax assets are reviewed to reassure realisation.

XVI. IMPAIRMENT OF ASSETS:The carrying amounts of assets are reviewed at each Balance Sheet date if there is any indication of impairment based oninternal/external factors. An asset is impaired when the carrying amount of the asset exceeds the recoverable amount. Animpairment loss is charged to the Profit and Loss Account in the year in which an asset is identified as impaired. An impairmentloss recognised in prior accounting periods is reversed if there has been change in the estimate of the recoverable amount.

RESEARCH AND DEVELOPMENT EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31ST MARCH, 2009(Rs. in lacs)

MaterialsStores, spares and chemicals consumed 2.14

PersonnelWages, salaries, bonus, etc. 8.22Workmen and staff welfare expenses 1.59Contribution to Provident and other Funds 1.36

11.17Other Expenditure

Repairs and maintenance, conveyance, travelling, car expenses, etc. 1.90Miscellaneous expenses 1.36

3.26Depreciation 2.10

Total 18.67

This information is given pursuant to the recognition granted to the Company’s Research & Development Laboratory at Jekegram,Thane by the Department of Scientific & Industrial Research, Ministry of Science & Technology, Government of India, vide their letterNo. 2(109)/2008/RDI/2005 dated 6th June, 2008, which is valid upto 31st March, 2011.

62

TEN YEAR HIGHLIGHTS

(Rupees in Lacs)

2008-09 *2007-08 2006-07 2005-06 2004-05 2003-04 2002-03 2001-02 2000-01 1999-2000

INCOME

Sales and Other Income 147780 146015 137497 140637 122639 116853 109588 103208 147279 167630

% Increase/(Decrease) 1.2 6.2 (2.2) 14.7 4.9 6.6 6.2 (29.9) (12.1) 4.7

Gross Profit/(Loss) beforeinterest and depreciation -12373 22287 34840 27170 18442 27305 21820 18844 52570 23115

As % of Sales andOther Income -8.4 15.3 25.3 19.3 15.0 23.4 19.9 18.3 35.7 13.8

Net Profit/(Loss) after Tax -27040 6612 20125 12229 7682 13184 9143 8364 33341 3262

ASSETS EMPLOYED

Net Fixed Assets 106115 73311 76174 84512 57563 42122 40602 37857 37079 85373

Investments 88859 104730 98448 73660 73428 71587 61231 58766 60744 18583

Net Current Assets 57155 58543 45343 44013 42083 44381 46623 50263 42009 53072

Total 252129 236584 219965 202185 173074 158090 148456 146886 139832 157028

% Increase/(Decrease) 7 8 9 17 9 6 1 5 (11) (7)

EQUITY FUNDS ANDEARNINGS

Shareholders’ Funds:

Shareholders’ Investments 1885 1885 1885 1885 1885 1885 1885 1885 1885 3256

Bonus Shares 4253 4253 4253 4253 4253 4253 4253 4253 4253 4253

Reserves 106560 133690 129478 112857 104256 98717 89297 83388 81252 73307

Total 112698 139828 135616 118995 110394 104855 95435 89526 87390 80816

Contribution toCountry’s Exchequer 7144 7998 10306 11011 10031 17672 17096 17410 27062 31204

Per Equity Share of Rs.10: (Rupees)

Book Value 187.0 231.2 220.9 193.9 179.9 170.8 155.5 145.9 142.4 107.6

Earnings -44.2 11.8 32.9 19.7 13.6 21.6 14.7 14.4 35.6 4.3

Dividend Nil 2.5 5.0 5.0 4.0 5.5 4.5 4.5 3.0 1.5

* Figures are stated as per the Annual Report of 2007-08

63

AUDITORS’ REPORT TO THE BOARD OF DIRECTORS OF RAYMOND LIMITED ON THE CONSOLIDATED FINANCIALSTATEMENTS OF RAYMOND LIMITED1. We have examined the attached Consolidated Balance Sheet of Raymond Limited, its subsidiaries and its joint ventures as at 31st March, 2009, the Consolidated Profit

and Loss Account and the Consolidated Cash Flow Statement for the year then ended.2. These consolidated financial statements are the responsibility of the management of Raymond Limited. Our responsibility is to express an opinion on these consolidated

financial statements based on our audit. We conducted our audit in accordance with the generally accepted auditing standards in India. Those Standards require thatwe plan and perform the audit to obtain reasonable assurance about whether the financial statements are prepared, in all material respects, in accordance with anidentified financial reporting frame work and are free of material misstatement. An audit includes, examining on a test basis, evidence supporting the amounts anddisclosures in financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well asevaluating the overall financial statements. We believe that our audit provides a reasonable basis for our opinion.

3. We have audited the financial statements of following subsidiaries and Joint Ventures, whose total assets as at 31st March, 2009 and total revenues for the year thenended are as under:

Rs. in lacsName of the Companies Total Assets Total Revenues

a. SubsidiariesEverblue Apparel Limited 4,696.22 700.58Silver Spark Apparel Limited 7,421.15 8,683.04Celebrations Apparel Limited 2,440.19 1428.78Colorplus Fashions Limited 13,450.93 14,909.11Raymond Woolen Outerwear Limited 4,269.58 4,572.15JK Talabot Limited 2,164.85 1,730.34Scissors Engineering Products Limited 2,716.11 —

b. Joint VenturesRaymond Zambaiti Private Limited 20,760.21 12,950.25Rayves Automotive Textile Company Private Limited 42.03 —

4. We did not audit the financial statements of following subsidiaries, joint venture and associates. These financial statements have been audited by other auditors whose reportshave been furnished to us, and our opinion, in so far as it relates to the amounts included in respect of these subsidiaries and associates, is based solely on the reports of theother auditors. The total assets as at 31st March, 2009 and total revenue for the year then ended, in respect of these subsidiaries, Joint Venture and associates are as under:

Rs. in lacsName of the Companies Total Assets Total Revenues

a. SubsidiariesRaymond Apparel Limited 32,304.36 42,102.20Pashmina Holdings Limited 1,173.67 —Hindustan Files Limited 1,253.89 4,022.77Ring Plus Aqua Limited 7,395.35 8,065.11R&A Logistics Inc. 285.91 1,339.96

b. Joint VentureRose Engineered Products India Private Limited 1,591.32 327.66

c. AssociatesJ.K. Investo Trade (India) Limited (including its subsidiary J.K. Helene Curtis Limited and a joint venture J.K. Ansell Limited) 8,384.96 13,781.02Radha Krshna Films Limited 110.02 —

5. In respect of Raymond Europe S.r.L., a Foreign Subsidiary, which is under liquidation, the relevant financial information compiled by the management, which has notbeen audited, reflects total revenue of Rs.184.41 lacs. Any adjustments to the said financial information, could have consequential effect on the attached consolidatedfinancial statements. However, the size of this subsidiary, in a consolidated position, is not significant in relative terms.

6. We also did not audit the financial statements of other Foreign subsidiaries and the Foreign associate. These financial statements have been audited/reviewed (as thecase may be) as at 31st December, 2008 by other auditors, whose reports have been furnished to us. However, since these financial statements, which were compiled bythe management of these companies, for the financial year ended 31st March, 2009, were not audited, any adjustments to their balances, could have consequentialeffect on the attached consolidated financial statements. However, the size of these subsidiaries and the associate, in the consolidated position, is not significant inrelative terms. The total assets as at 31st March, 2009 and total revenue for the year then ended, in respect of these Foreign subsidiaries and the Foreign associate are asunder:

Rs. in lacsName of the Companies Total Assets Total Revenues

a. Foreign SubsidiariesJaykayorg AG 2,817.93 608.88J.K. (England) Limited 273.78 336.29Regency Texteis Portuguesa, Limitada 3,507.48 4,757.75

b. Foreign AssociateP.T. Jaykay Files Indonesia 2,083.85 3095.86

7. The Consolidated financial statements include the unaudited financial statements of the following Joint Ventures, which have been certified by the management andany adjustments to their balances, could have consequential effect on the attached consolidated financial statements. The total assets as at 31st March, 2009 and totalrevenue for the year then ended, in respect of these subsidiaries and associates are as under:

Rs. in lacsName of the Companies Total Assets Total Revenues

Raymond UCO Denim Private Limited (Consolidated financial statements) 69,624.76 70,353.14Gas Apparel Limited 632.75 1,198.39The Consolidated Profit and Loss Account includes aggregate loss of Rs.20,582.58 Lacs incurred by these two Joint Ventures, during the year.

8. We report that the consolidated financial statements have been prepared by the Company in accordance with the requirements of Accounting Standard (AS) 21 –‘Consolidated Financial Statements’, Accounting Standard (AS) 23 – ‘Accounting for Investments in Associates in Consolidated Financial Statements’ and AccountingStandard (AS) 27 – ‘Financial Reporting of Interests in Joint Ventures’, and on the basis of the separate audited/certified financial statements of Raymond Limited, itssubsidiaries, its joint ventures and its associates.

9. Without qualifying our opinion, we draw attention to Note No 9 in Schedule 16, relating to the realizable value of assets of subsidiaries of Raymond UCO Denim PrivateLimited, a joint venture company, on which we have placed our reliance.

10. On the basis of the information and explanations given to us, we are of the opinion that, subject to the consequential effect, if any, arising out of the audit ofsubsidiaries, associate and joint ventures referred in Para 5, 6 and 7 above, and read with the notes thereon:(a) the Consolidated Balance Sheet gives a true and fair view of the consolidated state of affairs of Raymond Limited, its subsidiaries and its joint ventures as at

31st March, 2009;(b) the Consolidated Profit and Loss Account gives a true and fair view of the consolidated results of operations of Raymond Limited, its subsidiaries and its joint

ventures for the year then ended, and(c) the Consolidated Cash Flow Statement gives a true and fair view of the consolidated cash flows of Raymond Limited, its subsidiaries and its joint ventures for the

year ended on that date.For and on behalf of

DALAL & SHAHChartered Accountants

Ashish DalalPartner

Mumbai: 24th April, 2009 Membership No.33596

64

Consoli- Share in Total as at Consoli- Share in Total as atSchedule dated with Joint 31.03.2009 dated with Joint 31.03.2008

No. subsidiaries Ventures (Rs. in lacs) subsidiaries Ventures (Rs. in lacs)

SOURCES OF FUNDS:Shareholders’ Funds:

Share Capital 1 6138.08 — 6138.08 6138.08 — 6138.08Share Warrrants 1A 2086.95 — 2086.95 2086.95 — 2086.95Reserves and Surplus 2 141797.94 (28361.42) 113436.52 144043.50 (7525.14) 136518.36Joint Ventures Control Account (34533.76) 34533.76 — (27405.09) 27405.09 —

115489.21 6172.34 121661.55 124863.44 19879.95 144743.39

Loan Funds: 3Secured Loans 109211.51 23526.18 132737.69 72093.79 35420.58 107514.37Unsecured Loans 48463.44 1096.76 49560.20 38221.10 5303.22 43524.32

157674.95 24622.94 182297.89 110314.89 40723.80 151038.69Deferred Tax Liability (Net) 2617.11 137.14 2754.25 6118.18 318.27 6436.45(Refer Note No.7)Minority Interest 673.56 — 673.56 651.18 — 651.18

TOTAL 276454.83 30932.42 307387.25 241947.69 60922.02 302869.71

APPLICATION OF FUNDS:Fixed Assets: 4Gross Block 214383.04 35635.70 250018.74 171603.04 76119.05 247722.09Less: Depreciation, Amortisation and Impairment 86353.68 8593.69 94947.37 74855.03 28908.15 103763.18

Net Block 128029.36 27042.01 155071.37 96748.01 47210.90 143958.91Less: Unrealised Profit 361.21 3230.15 3591.36 — 4083.39 4083.39Capital work-in-progress 8312.17 157.37 8469.54 3085.73 594.43 3680.16

135980.32 23969.23 159949.55 99833.74 43721.94 143555.68Investments 5 63014.73 — 63014.73 62265.14 13.59 62278.73

Current Assets, Loans and Advances: 6Inventories 53609.80 5899.33 59509.13 53505.53 13143.19 66648.72Sundry Debtors 39048.22 6838.23 45886.45 37821.63 8591.89 46413.52Cash and Bank Balances 6891.39 1467.79 8359.18 4069.67 1723.29 5792.96Other Current Assets 6312.09 2594.60 8906.69 6592.50 1743.35 8335.85Loans and Advances 24296.62 1496.75 25793.37 25155.23 2273.21 27428.44

130158.12 18296.70 148454.82 127144.56 27474.93 154619.49

Less:Current Liabilities and Provisions: 7

Current Liabilities 46029.84 9075.34 55105.18 39009.10 9036.50 48045.60Provisions 6668.50 2258.17 8926.67 8286.65 1251.94 9538.59

52698.34 11333.51 64031.85 47295.75 10288.44 57584.19

Net Current Assets 77459.78 6963.19 84422.97 79848.81 17186.49 97035.30

TOTAL 276454.83 30932.42 307387.25 241947.69 60922.02 302869.71

Notes forming part of the Accounts 16

CONSOLIDATED BALANCE SHEET AS AT 31ST MARCH, 2009

As per our Report of even date

For and on behalf ofDALAL & SHAH H. SUNDER GAUTAM HARI SINGHANIAChartered Accountants President - Finance Chairman and Managing Director

ASHISH DALAL THOMAS FERNANDES P. K. BHANDARIPartner Director-Secretarial & Director

Company Secretary

Mumbai, 24th April, 2009 Mumbai, 24th April, 2009

65

Consoli- Share in Total Consoli- Share in Totaldated with Joint year ended dated with Joint year ended

Schedule subsidiaries Ventures 31.03.2009 subsidiaries Ventures 31.03.2008No. (Rs. in lacs) (Rs. in lacs)

INCOMESales, Services and Export Incentives 8 212720.71 43227.99 255948.70 193264.49 46350.76 239615.25Other Income 9 9688.08 573.14 10261.22 12276.74 501.46 12778.20

222408.79 43801.13 266209.92 205541.23 46852.22 252393.45

EXPENDITUREMaterial Costs 10 65845.75 17654.61 83500.36 67538.19 19748.87 87287.06Manufacturing and Operating Costs 11 36520.22 12575.53 49095.75 35840.62 13775.64 49616.26(Increase)/Decrease in finished and process stock 12 (3050.08) 1232.01 (1818.07) (8737.80) (591.19) (9328.99)Employment Costs 13 38488.65 6573.38 45062.03 33081.17 8574.02 41655.19Administrative, Selling and General expenses 14 65189.99 8912.28 74102.27 47190.91 6191.80 53382.71Finance Charges 15 10495.91 2782.30 13278.21 7199.99 2490.12 9690.11Depreciation, Amortisation and Impairment 12389.90 4265.33 16655.23 10935.08 5951.02 16886.10

225880.34 53995.44 279875.78 193048.16 56140.28 249188.44

(LOSS)/PROFIT FOR THE YEAR BEFORE EXCEPTIONAL ITEMS (3471.55) (10194.31) (13665.86) 12493.07 (9288.06) 3205.01EXCEPTIONAL ITEMS (Refer Note 6) (1040.48) (10314.30) (11354.78) (447.96) 1179.96 732.00

(LOSS)/PROFIT FOR THE YEAR BEFORE TAX (4512.03) (20508.61) (25020.64) 12045.11 (8108.10) 3937.01Provision for Income Tax :- Current Tax (Net of MAT credit) 1104.75 (20.00) 1084.75 1937.43 20.72 1958.15- Deferred Tax (charge/ credit) (3501.08) (181.12) (3682.20) 564.80 (221.66) 343.14- Fringe Benefits Tax 434.05 16.44 450.49 484.99 22.02 507.01Provision for Wealth Tax 101.25 1.44 102.69 63.36 2.41 65.77

(LOSS)/PROFIT FOR THE YEAR AFTER TAX (2651.00) (20325.37) (22976.37) 8994.53 (7931.59) 1062.94Share of profit in Associate Companies 402.88 — 402.88 461.79 — 461.79Minority Interest (59.37) — (59.37) (81.92) — (81.92)

(2307.49) (20325.37) (22632.86) 9374.40 (7931.59) 1442.81Prior period adjustments (net)(Refer Note 5) (139.37) (16.44) (155.81) (15.47) (7.73) (23.20)Excess/(Short) provision for tax 1.02 (0.07) 0.95 620.62 115.13 735.75Balance brought forward 34574.01 (12947.51) 21626.50 27512.96 (5121.61) 22391.35

BALANCE AVAILABLE FOR APPROPRIATION 32128.17 (33289.39) (1161.22) 37492.51 (12945.80) 24546.71APPROPRIATION:

Legal Reserve — — — 0.18 1.71 1.89General Reserve — — — 661.22 — 661.22Share of Retained Earnings in Associate Companies 354.28 — 354.28 410.80 — 410.80Proposed dividend — — — 1534.52 — 1534.52Tax on proposed dividend — — — 260.79 — 260.79Share of tax on dividend of Associates 48.60 — 48.60 50.99 — 50.99

402.88 — 402.88 2918.50 1.71 2920.21

Balance carried to Balance Sheet 31725.29 (33289.39) (1564.10) 34574.01 (12947.51) 21626.50

Disclosure for Discontinuing OperationsSubsidiaries of Raymond UCO Denim Pvt . Ltd.-Pre tax loss from ordinary activity (3647.43) (3251.54)

Add/Less: Tax thereon — 26.47

(3647.43) (3225.07)

-Pre tax loss on disposal of assets/settelment of liabilities (10314.30) —Add/Less: Tax thereon 318.27 —

(9996.03) —

Total (13643.46) (3225.07)

Weighted average number of Equity Shares outstanding during the year 6,13,80,853 6,13,80,853

Basic and diluted earnings per share including exceptional items (in Rs.) (37.21) 3.43

Basic and diluted earnings per share excluding exceptional items (20.13) 1.99(net of tax) (in Rs.)Notes forming part of the Accounts 16

CONSOLIDATED PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31ST MARCH, 2009

As per our Report of even date

For and on behalf ofDALAL & SHAH H. SUNDER GAUTAM HARI SINGHANIAChartered Accountants President - Finance Chairman and Managing Director

ASHISH DALAL THOMAS FERNANDES P. K. BHANDARIPartner Director-Secretarial & Director

Company Secretary

Mumbai, 24th April, 2009 Mumbai, 24th April, 2009

66

Year Ended Year Ended31st March, 2009 31st March, 2008

(Rs. in lacs) (Rs. in lacs)

A. Cash Flow arising from Operating Activities:Net Profit before Tax and Exceptional Items as per Profit andLoss Account (13665.86) 3205.01Add/(Deduct):a) Bad debts and Provision for Doubtful Debts, Advances

and claims 750.03 202.42b) Investment Grant (13.78) (4.73)c) Provision for Diminution in value of Investments 1313.56 43.72d) Depreciation and Amortisation Charge 16655.23 16886.10e) Finance Charges and (Gain)/Loss on variation in

Foreign Exchange rates 26381.63 11918.17f) Loss on Sale of Assets 600.69 543.50g) Interest Income (4076.93) (3672.28)h) Dividend Income (1977.02) (1323.52)i) Provision no longer required (874.68) (239.41)j) Surplus on sale of Investments (1613.51) (4586.68)k) Government Grant Received 25.00 —l) Trf From Capital Reserve (25.77) —

37144.45 19767.29

Operating Cash Profit before Working Capital Changes 23478.59 22972.30Add/(Deduct):a) Increase/(Decrease) in Trade Payable 12891.48 2066.84b) (Increase)/Decrease in Trade and Other Receivables (5379.21) (10569.08)c) (Increase)/Decrease in Inventories 2772.73 (9527.73)

10285.00 (18029.97)

Cash Inflow from Operations 33763.59 4942.33Deduct:Direct Taxes paid ( Net ) 1000.21 3976.03

Cash Inflow before Prior Period Adjustments 32763.38 966.30Deduct:Prior Period adjustments (155.81) (23.20)

Net Cash Inflow in the course of Operating Activities 32607.57 943.10Deduct:Voluntary Retirement Compensation (Exceptional Item ) 348.75 447.96Net Cash Inflow in the course of Operating Activities afterExceptional Items 32258.82 495.14

B. Cash Flow arising from Investing Activities:Inflow:a) Sale of Fixed Assets 2758.56 1602.77b) Dividend & Interest Received 8215.71 4848.76c) (Increase) / Decrease in loan to Companies — 549.93d) Sale of Investments — 2179.54

10974.27 9181.00Outflow:a) Acquisition of Fixed Assets 58254.80 14297.51b) Acquisition of Minority Interest 36.99 35.34c) Investment 3417.00 —d) Investment in Debentures of a Joint Venture — 2,850.00

61708.79 17182.85

Net Cash (Outflow) in the course of Investing Activities (50734.52) (8001.85)

C. Cash Flow arising from Financing Activities:Inflow:a) Proceeds from Term Loans (Net) 39073.16 11217.23b) Proceeds from other borrowings (Net) 9190.38 15853.95c) Issue of Share Warrants — 2086.95d) Proceeds from Debentures (Net) — 1425.00

48263.54 30583.13Outflow:a) Finance Charges (Net) 26346.30 13625.84b) Dividend paid 1795.31 3069.04c) Redemption of Debentures — 5,800.00d) Tax on dividend — 521.58

28141.61 23016.46

Net Cash Inflow in the course of Financing Activities 20121.93 7566.67

D. Change in Currency Fluctuation Reserve arising onconsolidation 919.99 57.26

Net Increase/(Decrease) in Cash/Cash Equivalents (A+B+C+D) 2566.22 117.22Add:Balance at the beginning of the year 5792.96 5675.74Cash/Cash Equivalents at the close of the year 8359.18 5792.96

CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH, 2009

As per our Report of even date

For and on behalf ofDALAL & SHAH H. SUNDER GAUTAM HARI SINGHANIAChartered Accountants President - Finance Chairman and Managing Director

ASHISH DALAL THOMAS FERNANDES P. K. BHANDARIPartner Director-Secretarial & Director

Company Secretary

Mumbai, 24th April, 2009 Mumbai, 24th April, 2009

67

SCHEDULES ‘1’ TO ‘16’ FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED31ST MARCH, 2009

Total as at Total as at31.03.2009 31.03.2008

(Rs. in lacs) (Rs. in lacs)

SCHEDULE 1 - SHARE CAPITALAuthorised:10,00,00,000 Equity Shares of Rs.10 each 10000.00 10000.00

10000.00 10000.00

Issued and Subscribed :6,13,80,853 Equity Shares of Rs.10 each, fully paid-up 6138.08 6138.08

Per Balance Sheet 6138.08 6138.08

SCHEDULE 1A - SHARE WARRANTSIssued and Subscribed :

61,38,085 Warrants of Rs.34/- each 2086.95 2086.95

Per Balance Sheet 2086.95 2086.95

SCHEDULE 2 - RESERVES AND SURPLUS Consolidated Share in Total as at Consolidated Share in Total as atwith subsidiaries Joint Ventures 31.03.2009 with subsidiaries Joint Ventures 31.03.2008

(Rs. in lacs) (Rs. in lacs)(a) Capital Reserve

Balance as per last account — 25.77 25.77 — 25.77 25.77

Less: Transfer to Profit and Loss Account — (25.77) (25.77) — — —

Add: Capital grant from a joint venture partner — 250.79 250.79 — — —

Add: Govternment grant received 25.00 — 25.00 — — —

25.00 250.79 275.79 — 25.77 25.77

(b) Legal Reserve:Balance as per last account 8.22 2.29 10.51 8.04 0.58 8.62

Add: Transfer from Profit and Loss Account — — — 0.18 1.71 1.89

8.22 2.29 10.51 8.22 2.29 10.51(c) Securities Premium Account

Balance as per last account 14778.55 4358.53 19137.08 14778.55 4358.53 19137.08(d) Capital Redemption Reserve

Balance as per last account 1521.51 — 1521.51 1521.51 — 1521.51(e) Debenture Redemption Reserve:

Balance as per last account — — — 1450.00 — 1450.00

Less: Transfer to General Reserve — — — (1450.00) — (1450.00)

— — — — — —(f) General Reserve:

Balance as per last account 89518.50 — 89518.50 88632.66 — 88632.66

Add: 1) Transfer from Debenture Redemption Reserve — — — 1450.00 — 1450.00

2) Transitonal liability as per AS 15 — — — (1225.38) — (1225.38)

For Employee Benefits

3) Transfer from Profit and Loss Account — — — 661.22 — 661.22

89518.50 — 89518.50 89518.50 — 89518.50

(g) Revaluation ReserveBalance as per last account — 1354.40 1354.40 — 1335.27 1335.27

Additions During the year — — — — 45.60 45.60

Less : Transfer to Profit & Loss Account — (1354.40) (1354.40) — (26.47) (26.47)

— — — — 1354.40 1354.40

(h) Investments GrantsBalance as per last account — 13.78 13.78 — 18.51 18.51

Additions During the year — — — — — —

Less : Transfer to Profit & Loss Account — (13.78) (13.78) — (4.73) (4.73)

— — — — 13.78 13.78

(i) Currency Fluctuation Reserve - on ConsolidationOpening balance 847.33 (332.40) 514.93 557.58 (99.91) 457.67

Add/(Less) : During the year 271.23 648.76 919.99 289.75 (232.49) 57.26

1118.56 316.36 1434.92 847.33 (332.40) 514.93

(j) Share of Retained Earnings in Associates: 3102.31 — 3102.31 2795.38 — 2795.38(Movement During the year refer Note 15)

(k) Profit and Loss Account 31725.29 (33289.39) (1564.10) 34574.01 (12947.51) 21626.50

Total Reserves and Surplus - Per Balance Sheet 141797.94 (28361.42) 113436.52 144043.50 (7525.14) 136518.36

68

Consolidated Share in Total as at Consolidated Share in Total as atwith subsidiaries Joint Ventures 31.03.2009 with subsidiaries Joint Ventures 31.03.2008

(Rs. in lacs) (Rs. in lacs)SCHEDULE 3 - LOAN FUNDS

(a) Secured Loans:

Term Loans:

Term Loans from Banks 81946.86 17003.34 98950.20 49965.22 26116.92 76082.14

Interest accrued thereon 45.28 — 45.28 36.71 — 36.71

Partly Secured Term Loan 15000.00 — 15000.00 — — —

96992.14 17003.34 113995.48 50001.93 26116.92 76118.85

Working capital loans from banks 11528.04 6522.84 18050.88 18488.21 9303.66 27791.87

Interest accrued thereon 39.79 — 39.79 29.86 — 29.86

11567.83 6522.84 18090.67 18518.07 9303.66 27821.73

Buyer’s Credit Loan 650.50 — 650.50 3573.79 — 3573.79

Hire purchase loans 1.04 — 1.04 — — —

Total - Secured Loans 109211.51 23526.18 132737.69 72093.79 35420.58 107514.37

(b) Unsecured Loans:

Foreign Currency Loans from Banks 29898.60 — 29898.60 30593.34 — 30593.34

From Joint Venture Partners (Long Term) — 1096.76 1096.76 — 5303.22 5303.22

Short Term Borrowings from Banks — — — 6499.64 — 6499.64

Other Borrowings:

Sales Tax Deferment Loan 953.22 — 953.22 1128.12 — 1128.12

Others 17611.62 — 17611.62 — — —

18564.84 — 18564.84 1128.12 — 1128.12

Total - Unsecured Loans 48463.44 1096.76 49560.20 38221.10 5303.22 43524.32

Total Loan Funds - Per Balance Sheet 157674.95 24622.94 182297.89 110314.89 40723.80 151038.69

SCHEDULE 4 - FIXED ASSETS (NET BLOCK)

A. Assets

Goodwill on Consolidation 698.10 906.18 1604.28 797.85 8622.08 9419.93

Land -

Freehold 3990.98 12.03 4003.01 3994.69 844.08 4838.77

Leasehold 789.36 260.53 1049.89 611.23 1743.35 2354.58

Buildings 22439.65 5124.28 27563.93 15882.46 9760.92 25643.38

Improvements to Leasehold Premises 2222.99 0.64 2223.63 2155.64 343.65 2499.29

Plant and Machinery, Electrical Installations and Equipments 79236.03 20522.30 99758.33 53238.18 25135.00 78373.18

Furniture, Fixtures and Office Equipments 3962.54 156.62 4119.16 3568.82 436.84 4005.66

Livestock (at book value) 8.29 — 8.29 12.71 — 12.71

Vehicles 927.12 59.38 986.50 1042.25 118.70 1160.95

Boats and Water Equipments 5229.16 — 5229.16 6051.85 — 6051.85

Aircraft 7963.67 — 7963.67 8516.27 — 8516.27

Intangible Assets :

Software 561.47 0.05 561.52 874.60 4.83 879.43

Leasing and other similar rights — — — — 201.45 201.45

Technical Knowhow — — — 1.46 — 1.46

Per Balance Sheet 128029.36 27042.01 155071.37 96748.01 47210.90 143958.91

Less : Unrealised Profit 361.21 3230.15 3591.36 — 4083.39 4083.39

127668.15 23811.86 151480.01 96748.01 43127.51 139875.52

B. Capital work-in-progress 8312.17 157.37 8469.54 3085.73 594.43 3680.16

69

Consolidated Share in Total as at Consolidated Share in Total as atwith subsidiaries Joint Ventures 31.03.2009 with subsidiaries Joint Ventures 31.03.2008

(Rs. in lacs) (Rs. in lacs)SCHEDULE 5 - INVESTMENTS (AT COST/BOOK VALUE)(fully paid up unless otherwise specified)

I. LONG TERM INVESTMENTS

A. Investments in Government Securities 0.27 — 0.27 0.07 0.10 0.17

B. Non-Trade Investments

Shares (Unquoted) 872.65 — 872.65 889.24 — 889.24

Less: Provision for diminution in value of Investments (337.70) — (337.70) (337.80) — (337.80)

534.95 — 534.95 551.44 — 551.44

C. Non-Trade Investments

Shares (Quoted) 5064.24 — 5064.24 2740.82 — 2740.82

Bonds (Quoted) — — — 2974.96 — 2974.96

5064.24 — 5064.24 5715.78 — 5715.78

D. Non-Trade Investments

Unquoted Debentures 42.19 — 42.19 1467.19 — 1467.19

Less: Provision for diminution in vale of Investments — — — — — —

42.19 — 42.19 1467.19 — 1467.19

E. Mutual Fund (Unquoted):

Investment in mutual fund-FMP (Growth) 15.50 — 15.50 9707.52 — 9707.52

F. Venture Capital Funds

Investments in ventures Capital Fund 2942.94 — 2942.94 2932.94 — 2932.94(Includes units of Rs.500 lacs,Rs.450 lacs paid up)

G. Others 7756.79 — 7756.79 8814.64 — 8814.64

Total - Long Term Investments 16356.88 — 16356.88 29189.58 0.10 29189.68

II. CURRENT INVESTMENTS

A. Dividend Option Units 34290.07 — 34290.07 21872.23 13.49 21885.72

B. Growth Option Units 9699.52 — 9699.52 1595.79 — 1595.79

C. Fixed Maturity Plan Units — — — 5000.00 — 5000.00

D. Equity Shares (Quoted) 4197.57 — 4197.57 4828.15 — 4828.15

E. Preference Shares 27.95 — 27.95 — — —

F. Bonds (Quoted) 76.95 — 76.95 — — —

G. Mutual Funds (Quoted) — — — 63.47 — 63.47

48292.06 — 48292.06 33359.64 13.49 33373.13

Less: Provision for diminution in value of Current Investments (1634.21) — (1634.21) (320.65) — (320.65)

Total - Current Investments 46657.85 — 46657.85 33038.99 13.49 33052.48

Total - Investments 63014.73 — 63014.73 62228.57 13.59 62242.16

III. APPLICATION MONEY PENDING ALLOTMENT

Equity Application Money — — — 36.57 — 36.57

— — — 36.57 — 36.57

Per Balance Sheet 63014.73 — 63014.73 62265.14 13.59 62278.73

Book Value

Aggregate of Quoted Investments 7638.21 — 7638.21 10290.19 — 10290.19

Aggregate of Unquoted Investments 55376.52 — 55376.52 51938.38 13.59 51951.97

63014.73 — 63014.73 62228.57 13.59 62242.16

Market Value

Aggregate of Quoted Investments 4676.30 — 4676.30 15025.36 — 15025.36

70

Consolidated Share in Total as at Consolidated Share in Total as atwith subsidiaries Joint Ventures 31.03.2009 with subsidiaries Joint Ventures 31.03.2008

(Rs. in lacs) (Rs. in lacs)SCHEDULE 6 - CURRENT ASSETS, LOANS AND ADVANCES(a) Inventories:

(As verified, valued and certified by the Management):(i) Loose Tools 103.58 — 103.58 85.70 — 85.70(ii) Stores and Spare Parts 2267.80 702.88 2970.68 2320.78 1289.19 3609.97(iii) Stock-in-Trade:

Raw Materials 7680.35 998.48 8678.83 9675.36 2987.35 12662.71Goods-in-Process 10659.20 1938.11 12597.31 14231.90 2318.95 16550.85Finished Goods (including Merchanting Goods) 31332.94 2200.71 33533.65 24286.49 6435.11 30721.60

(iv) Accumulated cost on conversion contracts 190.55 — 190.55 79.07 42.58 121.65(v) Goods-in-Transit 1375.38 59.15 1434.53 2826.23 70.01 2896.24

53609.80 5899.33 59509.13 53505.53 13143.19 66648.72(b) Sundry Debtors :

(i) Debts outstanding for a period exceedingsix months (Refer Note 3)Secured (considered good) 180.54 38.03 218.57 231.09 — 231.09Unsecured -Considered good 3488.43 62.15 3550.58 1853.15 124.13 1977.28

3668.97 100.18 3769.15 2084.24 124.13 2208.37Considered doubtful 371.23 — 371.23 391.92 382.38 774.30Less: Provision (371.23) — (371.23) (391.92) (306.54) (698.46)

— — — — 75.84 75.84(ii) Other Debts :

Secured (considered good) 3117.22 — 3117.22 3350.85 1280.96 4631.81Unsecured -Considered good 32262.03 6725.98 38988.01 32386.54 7110.96 39497.50Considered doubtful — 134.04 134.04 — — —Less: Provision — (121.97) (121.97) — — —

— 12.07 12.07 — — —35379.25 6738.05 42117.30 35737.39 8391.92 44129.31

39048.22 6838.23 45886.45 37821.63 8591.89 46413.52

(c) Cash and Bank Balances:(i) Cash on hand (including cheques on hand) 256.55 94.68 351.23 392.14 207.10 599.24(ii) Balances with Banks

In Current Accounts (including remittances-in-transit) 4828.07 113.32 4941.39 2886.19 482.48 3368.67In Deposit Accounts 1806.77 1259.79 3066.56 791.34 1033.71 1825.05

6891.39 1467.79 8359.18 4069.67 1723.29 5792.96(d) Other Current Assets:

(i) Export Incentives, etc. receivable 961.81 400.38 1362.19 656.74 391.95 1048.69(ii) Dividend, Interest Subsidy and Interest receivable

[including interest accrued on Investments Rs. 478.50 lacs(Previous year Rs.538.12 lacs)] 2627.38 517.28 3144.66 4432.60 873.82 5306.42

(iii) MAT Credit Receivable 664.58 — 664.58 642.08 — 642.08(iv) Claims and Other receivables 2058.32 397.24 2455.56 861.08 477.58 1338.66(v) Assets held for disposal — 1279.70 1279.70 — — —

6312.09 2594.60 8906.69 6592.50 1743.35 8335.85

(e) Loans and Advances (Unsecured, considered good,unless otherwise specified):Loans and Advances to companies and others:Considered good 20.00 — 20.00 4544.32 — 4544.32Considered doubtful 1698.61 1268.92 2967.53 32.00 — 32.00Less: Provision (1698.61) (1268.92) (2967.53) (32.00) — (32.00)

20.00 — 20.00 4544.32 — 4544.32Advance Tax (Net of provision for tax) 2035.34 146.35 2181.69 1149.04 32.44 1181.48Advances recoverable in cash or in kind or for value to be received:Considered good 10349.36 1198.21 11547.57 7808.95 1652.07 9461.02Considered doubtful 37.84 — 37.84 30.63 — 30.63Less: Provision (37.84) — (37.84) (30.63) — (30.63)

10349.36 1198.21 11547.57 7808.95 1652.07 9461.02Balances with -

Customs, Excise, etc. 354.17 62.68 416.85 492.90 161.38 654.28Others 11537.75 218.45 11756.20 11160.02 427.32 11587.34Less: Provision for doubtful deposits — (128.94) (128.94) — — —

11891.92 152.19 12044.11 11652.92 588.70 12241.6224296.62 1496.75 25793.37 25155.23 2273.21 27428.44

Per Balance Sheet 130158.12 18296.70 148454.82 127144.56 27474.93 154619.49

71

Consolidated Share in Total as at Consolidated Share in Total as atwith subsidiaries Joint Ventures 31.03.2009 with subsidiaries Joint Ventures 31.03.2008

(Rs. in lacs) (Rs. in lacs)SCHEDULE 7 - CURRENT LIABILITIES AND PROVISIONS(a) Current Liabilities :

Acceptances 507.81 — 507.81 506.54 — 506.54Sundry Creditors 30143.81 6879.22 37023.03 26216.41 6807.90 33024.31Advances against Sales 1303.33 38.87 1342.20 678.86 290.66 969.52Deposits from Dealers and Agents 6439.62 39.83 6479.45 6350.61 1.15 6351.76Overdrawn Bank Balances 1559.34 90.39 1649.73 1641.49 17.07 1658.56Other Liabilities 5242.35 1722.53 6964.88 3007.61 1424.55 4432.16Interest accrued but not due 833.58 304.50 1138.08 607.58 495.17 1102.75

46029.84 9075.34 55105.18 39009.10 9036.50 48045.60(b) Provisions :

For Proposed Dividend — — — 1534.52 — 1534.52For Tax on Proposed Dividend — — — 260.79 — 260.79For Employee Benefits 6465.90 45.59 6511.49 6290.46 896.18 7186.64For Excise Duties 191.91 51.03 242.94 197.29 55.91 253.20For obligations relating discontinued operation — 1640.67 1640.67 — — —For Others 10.69 520.88 531.57 3.59 299.85 303.44

6668.50 2258.17 8926.67 8286.65 1251.94 9538.59

Per Balance Sheet 52698.34 11333.51 64031.85 47295.75 10288.44 57584.19

SCHEDULE 8 - SALES, SERVICES AND EXPORT INCENTIVES(1) Gross Turnover (Net of usual trade discounts, allowances, etc.):

(a) Manufactured Goods (inclusive of sale of semi-finished goods) 195899.67 41421.57 237321.24 176121.36 44605.65 220727.01(b) Merchanting Goods 20452.92 661.31 21114.23 19303.96 830.32 20134.28

216352.59 42082.88 258435.47 195425.32 45435.97 240861.29Less:Excise Duties 2476.16 588.48 3064.64 2601.60 674.83 3276.43Sales Returns 317.18 130.64 447.82 406.32 232.73 639.05Other discounts and allowances 6642.29 190.12 6832.41 3675.20 142.77 3817.97

9435.63 909.24 10344.87 6683.12 1050.33 7733.45

Net Turnover 206916.96 41173.64 248090.60 188742.20 44385.64 233127.84

(2) Commission 42.66 — 42.66 120.04 — 120.04(3) Income from Air Taxi Operations 1111.70 — 1111.70 1169.37 — 1169.37(4) Gross Income from Services 597.23 751.04 1348.27 330.41 — 330.41(5) Income from Job work 1571.13 108.06 1679.19 1034.18 1016.40 2050.58(6) Conducting Fees 698.21 — 698.21 547.63 — 547.63(7) Export Incentives, etc. 1782.82 1195.25 2978.07 1320.66 948.72 2269.38

Per Profit and Loss Account 212720.71 43227.99 255948.70 193264.49 46350.76 239615.25

SCHEDULE 9 - OTHER INCOMEDividends:

From Non-Trade Investments:— Current Investments 1949.18 0.18 1949.36 1262.36 28.65 1291.01— Long Term Investments 27.66 — 27.66 32.51 — 32.51

1976.84 0.18 1977.02 1294.87 28.65 1323.52Interest Income:— On Investments 600.34 0.17 600.51 624.86 0.01 624.87— Others 3284.04 192.38 3476.42 2902.82 144.59 3047.41

3884.38 192.55 4076.93 3527.68 144.60 3672.28Profit on sale of Current Investments (Net) 588.48 — 588.48 4027.34 5.94 4033.28Profit on sale of Long-term Investments (Net) 1025.03 — 1025.03 553.40 — 553.40Rent and Compensation 148.17 — 148.17 118.37 — 118.37Credit Balances appropriated (Net) 194.20 — 194.20 14.78 — 14.78Excess provisions written back (Net) 680.48 — 680.48 224.63 — 224.63Sales Tax and Excise duty Refunds — — — 747.49 — 747.49Miscellaneous Income 1190.50 380.41 1570.91 1768.18 322.27 2090.45

Per Profit and Loss Account 9688.08 573.14 10261.22 12276.74 501.46 12778.20

SCHEDULE 10 - MATERIAL COSTS(1) Raw Materials consumed :

Opening Stock 9675.36 2987.35 12662.71 10123.94 3364.04 13487.98Add: On Joint Venture becoming a subsidiary 85.39 (91.37) (5.98) — — —Add: Purchases 49577.07 15587.39 65164.46 51789.96 18667.42 70457.38

(Includes Purchase of Semi Finished Goods) 59337.82 18483.37 77821.19 61913.90 22031.46 83945.36Less: Inventory of business liquidation — 303.19 303.19 — — —Less: Sales 1701.86 21.25 1723.11 1115.34 273.68 1389.02

57635.96 18158.93 75794.89 60798.56 21757.78 82556.34

Less: Closing Stock 7680.35 998.48 8678.83 9675.36 2987.35 12662.71

49955.61 17160.45 67116.06 51123.20 18770.43 69893.63(2) Purchases of Merchanting Goods 15890.14 494.16 16384.30 16414.99 978.44 17393.43

Per Profit and Loss Account 65845.75 17654.61 83500.36 67538.19 19748.87 87287.06

72

Consolidated Share in Total as at Consolidated Share in Total as atwith subsidiaries Joint Ventures 31.03.2009 with subsidiaries Joint Ventures 31.03.2008

(Rs. in lacs) (Rs. in lacs)

SCHEDULE 11 - MANUFACTURING AND OPERATING COSTSStores and Spare Parts 12648.83 6290.39 18939.22 12006.32 6613.73 18620.05Power and Fuel 10915.30 4449.53 15364.83 9805.16 4848.61 14653.77Repairs to Buildings 368.03 42.53 410.56 806.55 78.24 884.79Repairs to Machinery 1750.93 556.58 2307.51 1749.53 832.77 2582.30Other Manufacturing and Operating Expenses 10837.13 1236.50 12073.63 11473.06 1402.29 12875.35

Per Profit and Loss Account 36520.22 12575.53 49095.75 35840.62 13775.64 49616.26

SCHEDULE 12 - (INCREASE)/DECREASE IN FINISHED AND PROCESS STOCKOpening Stock:Goods-in-Process 14231.90 2318.95 16550.85 10605.47 2133.68 12739.15On Joint Venture becoming a subsidiary 548.86 (274.43) 274.43 — — —Accumulated cost on conversion contracts 79.07 42.58 121.65 60.10 — 60.10Finished Goods (including Merchanting Goods) 24286.49 6435.11 30721.60 19227.93 6059.11 25287.04

39146.32 8522.11 47668.53 29893.50 8192.79 38086.29Add/(Less): Inventory of disconinuing operation written down — (2432.94) (2432.94) — — —Add/(Less): Inventory on liquidation of business — (702.83) (702.83) — — —Closing Stock:Goods-in-Process 10659.20 1938.11 12597.31 14231.90 2318.95 16550.85Finished Goods (including Merchanting Goods) 31332.94 2200.71 33533.65 24286.49 6435.11 30721.60Accumulated cost on conversion contracts 190.55 — 190.55 79.07 42.58 121.65

42182.69 4138.82 46321.51 38597.46 8796.64 47394.10(Increase)/Decrease in Stocks (3036.37) 1247.62 (1788.75) (8703.96) (603.85) (9307.81)Add/(Less): Variation in excise duty on opening andclosing stock of finished goods (13.71) (15.61) (29.32) (33.84) 12.66 (21.18)

Per Profit and Loss Account (3050.08) 1232.01 (1818.07) (8737.80) (591.19) (9328.99)

SCHEDULE 13 - EMPLOYMENT COSTSSalaries, Wages, Bonus, etc. 34548.08 5773.52 40321.60 29364.15 6262.98 35627.13Contribution to Provident and Other Funds 2229.45 361.30 2590.75 2112.22 1606.21 3718.43Workmen and Staff Welfare Expenses 1711.12 438.56 2149.68 1604.80 704.83 2309.63

Per Profit and Loss Account 38488.65 6573.38 45062.03 33081.17 8574.02 41655.19

SCHEDULE 14 - ADMINISTRATIVE, SELLING AND GENERAL EXPENSESInsurance (Net) 368.13 126.92 495.05 504.49 198.15 702.64Rent 11091.24 362.33 11453.57 8170.72 369.13 8539.85Lease Rentals 19.26 — 19.26 20.09 — 20.09Rates and Taxes 297.63 55.65 353.28 227.69 96.57 324.26Advertisement 11803.49 120.05 11923.54 12553.46 218.52 12771.98Commission to Selling Agents 6408.70 538.39 6947.09 4867.07 596.96 5464.03Freight, Octroi, etc. 2665.34 1214.55 3879.89 2774.05 1516.97 4291.02Bad Debts, Advances and Claims written off 126.87 143.82 270.69 6.03 10.50 16.53Provision for Doubtful Debts, Advances and Claims 25.60 453.74 479.34 39.42 146.47 185.89Miscellaneous Expenses 20378.79 2920.64 23299.43 19353.55 2545.70 21899.25Loss /(Gain) on sale/discardment of fixed assets(Net) 223.94 376.75 600.69 566.67 (23.17) 543.50Provision for diminution in value of Investments 1313.56 — 1313.56 43.72 — 43.72Loss on variation in foreign exchange rates (net):— On loans 12344.12 759.30 13103.42 1348.18 879.88 2228.06— On others (1906.54) 1840.14 (66.40) (3570.84) (363.88) (3934.72)

10437.58 2599.44 13037.02 (2222.66) 516.00 (1706.66)Contribution to Charitable Funds, etc. 20.82 — 20.82 278.03 — 278.03Directors’ fees 9.04 — 9.04 8.58 — 8.58

Per Profit and Loss Account 65189.99 8912.28 74102.27 47190.91 6191.80 53382.71

SCHEDULE 15 - FINANCE CHARGESInterest on Debentures and Fixed Loans(Net) 5222.65 2504.55 7727.20 3936.39 1740.08 5676.47Interest - Others 4925.34 138.04 5063.38 3159.60 644.59 3804.19

10147.99 2642.59 12790.58 7095.99 2384.67 9480.66Discount on issue of “Commercial Papers” 90.13 — 90.13 69.87 — 69.87Commitment and other charges on Loans 257.79 139.71 397.50 34.13 105.45 139.58

10495.91 2782.30 13278.21 7199.99 2490.12 9690.11

Per Profit and Loss Account 10495.91 2782.30 13278.21 7199.99 2490.12 9690.11

73

SCHEDULE 16 - NOTES FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS

1. The consolidated Financial Statements present the consolidated Accounts ofRaymond Limited with its following Subsidiaries, Joint Ventures (and its subsidiaries),Associates, Subsidiary and Joint Venture of an Associate:

Name Country of Proportion ofIncorporation Ownership

Interest

A. SubsidiariesIndian Subsidiaries:(a) Raymond Apparel Limited India 100%

(b) Pashmina Holdings Limited India 100%

(c) Everblue Apparel Limited India 100%

(d) Hindustan Files Limited India 100%

(e) Colorplus Fashions Limited India *100%

(f) Silver Spark Apparel Limited India 100%

(g) Celebrations Apparel Limited India 100%

(h) Scissors Engineering Products Limited India 100%

(i) Ring Plus Aqua Limited India $88.47%

(j) JK Talabot Limited India 90%

(k) Raymond Wollen Outerwear Limited India 99.90%(Formerly Raymond Fedora Private Limited)* Held by Raymond Apparel Limited$ Held by Scissors Engineering Products Limited

Foreign Subsidiaries:(a) Jaykayorg AG Switzerland 100%(b) J.K. (England) Limited United Kingdom 100%(c) Regency Texteis Portuguesa, Limitada Portugal 100%(d) R&A Logistics Inc. United States 100% owned by

of America Ring Plus AquaLimited

(e) Raymond Europe, S.r.l (Under liquidation) Italy 60%

B. Joint Ventures:(a) Raymond Fedora Private Limited

(a subsidiary w.e.f. 09/08/2008) India 50%

(b) Raymond Zambaiti Private Limited India 50%

(c) Raymond UCO Denim Private Limited(and its subsidiaries ) India 50%

(d) GAS Apparel Limited India @ 50%

(e) Rose Engineered Products India Private Limited India & 50%

(f) Rayves Automotive Textile CompanyPrivate Limited India # 50%

@ Held by Color Plus Fashions Limited(Wholly owned subsidiary of RaymondApparel Limited )

& Held by Ring Plus Aqua Limited( Subsidiary of Scissors EngineeringProducts Limited )

# Held by Silver Spark Apparel Limited

C. Associates, Subsidiary and Joint Venture of an Associate:

(a) P.T. Jaykay Files Indonesia Indonesia $ 39.20%

(b) J.K. Investo Trade (India) Limited India 47.66%

(c) J.K. Helene Curtis Limited India 100% owned byJ.K. Investo

Trade (India)Limited

(d) J.K. Ansell Limited India Joint Venturewith 50%

ownershipby J.K. Investo

Trade (India)Limited

(e) Radha Krshna Films Limited India 29.41%

$ Includes 15.20% equity shares held by Jaykayorg AG.

2. Significant Accounting Policies and Notes to these Consolidated FinancialStatements are intended to serve as a means of informative disclosure and aguide to better understanding the consolidated position of the Companies.Recognising this purpose, the Company has disclosed only such Policies andNotes from the individual financial statements, which fairly present the neededdisclosures.

3. Sundry Debtors, considered good includes Rs.8.51 lacs for which the Companyhas initiated legal action (Previous year Rs.8.51 lacs).

4. A. Contingent Liabilities not provided for:31st March, 31st March,

2009 2008(Rs. in lacs) (Rs. in lacs)

(a) Claims against the Company notacknowledged as debts in respectof past disputed liabilities of theCement and Steel Divisions divestedduring the year 2000-2001, CardedWoollen business divested during theyear 2005-2006 and Denim Divisiondivested during the year 2006-07.(interest thereon not ascertainableat present). 2539.94 2595.72

(b) Claims against the Companies notacknowledged as debts (includingshare of Joint Ventures Rs.416.52lacs; Previous Year Rs.30.02 lacs) 2494.99 2185.00

(c) Bills Discounted with the Company’sbankers. (including share of JointVentures Rs. 1001.22 Lacs ; PreviousYear Rs. 1478.72 lacs) 6478.35 10140.81

(d) On account of guarantees givenand also on account of theindemnities issued by the Companyto the Acquirer of shares of RecronSynthetics Limited pursuant to anagreement. 342.70 342.70

(e) On account of corporate guranteeto the bankers, vendors on behalf ofsubsidiaries for facilities availed bythem. 8724.00 8565.00

(f) Disputed demand in respect ofIncome-tax etc. (interest thereon notascertainable at present.) 862.73 95.40

(g) Bonds/Undertakings given by theCompany under concessional duty/exemption scheme to Customsauthorities (including share of JointVentures Rs. 914.00 lacs; Previousyear Rs. 1437.08 lacs.) 11200.98 7165.98

(h) Disputed liability towards Excise Dutyon Post Removal of Goods from theplace of manufacture. 2118.90 2118.90

(i) Disputed Excise Duty Liability inrespect of other matters. 7330.57 954.21(includes Rs. 5750.83 lacs (PreviousYear: Nil) on account of denial ofexcise exemption benefit).

(j) Liabil ity on account of jutepackaging obligation upto 30thJune, 1997, in respect of theCompany’s erstwhile CementDivision, under the Jute PackagingMaterials (Compulsory use inpacking Commodities) Act, 1987. Amount not determinable

(k) Liability in respect of additionalstamp duty on the transfer ofimmovable properties of theCompany’s erstwhile Cement andDenim Divisions. Amount not determinable

(l) Guarantees issued by the Bankers 17.03 18.03(m) Company’s liabilities/obligations

pertaining to the period upto thedate of transfer of the Company’serstwhile Steel, Cement, CardedWoollen and Denim Divisions inrespect of which the Company hasgiven undertaking to the acquirers. Amount not determinable

(n) Share in the Contingent Liabilities ofan Associate 669.36 764.25

(o) Liability on account of sales taxmatter of an Ex-Franchisee. Amount not determinable

B. The Wage Agreement in respect of thecertain unionised staff of the Company’sTextile Division situated at Chindwara hasexpired during the financial year 2007-08. The staff union has referred thedispute to the Industrial Court for anaward. The net liability on account ofrevision will be accounted on receipt ofthe award from the Industrial Court.Thewage agreement in respect of theunionised employees of Company’sTextile plant situated at Thane hasexpired during the financial year 2008-09. The liability on account of revisionwil l be accounted in the year offinalisation of the wage agreement.

C. Estimated amount of contractsremaining to be executed on capitalaccount and not provided for (net ofadvances) [including Rs. Nil (Previousyear Rs.0.07 lacs) being share in anAssociate Company] [including share ofJoint Ventures Rs 58.96 lacs (PreviousYear Rs. 448.31 lacs)] 7608.63 10860.42

74

D. The Company along with the JointVenture Partner has undertaken toadditionally fund RUDPL in case it fails tomeet certain covenants of the Facilitycum Hypothecation Agreement enteredinto with a Bank.Further the companyhas alongwith its Joint Venture partner,pledged its entire shareholding in RUDPLwith bank ,as security for loan taken bya subsidiary of RUDPL to meet employeeseperation costs.

Year ended Year ended31st March, 31st March,

2009 2008(Rs. in lacs) (Rs. in lacs)

5. Prior period adjustments represent:Debits relating to earlier years (212.73) (64.30)Credits relating to earlier years 53.62 32.70Depreciation/Amortisation adjustments (net) 3.30 8.40

(155.81) (23.20)

6. Exceptional Items:(a) VRS payments written off (348.75) (447.96)(b) Waiver of unsecured Loan by the Joint

Venture Partner in Raymond UC DenimPvt Ltd which is not repayable in termsof the agreement. — 1179.96

(c) Closure of operations by two subsidiariesof Raymond Uco Denim PrivateLimited, a Joint Venture company(refernote 9). (10,314.30) —

(d) Loss on Joint venture becominga subsidiary. (670.76) —

(e) Loss upon liquidation of a subsidiary( Raymond Europe Srl)(refer note 11). (20.97) —

(11354.78) 732.00

7 Deferred Tax: As at As at As at31-3-2009 31-3-2008 31-3-2007

(Rs. in lacs) (Rs. in lacs) (Rs. in lacs)(a) Deferred Tax Liability on account of:

Depreciation 13726.91 11506.21 11056.10Others — 318.26 478.70

13726.91 11824.47 11534.80

(b) Deferred Tax Asset on account of:

(i) VRS payments 346.22 561.76 706.61(ii) Employee benefits 1664.67 1519.88 870.50(iii) Taxes, Duties, Cess, etc. 218.65 215.23 206.57(iv) Provision for doubtful debts, etc. 405.32 135.60 158.49(v) Provision for diminution in value

of investments 7.42 0.78 2.91(vi) Unabsorbed depreciation and losses* 8168.96 2908.20 2,892.04(vii) Others 161.42 46.57 27.59

10972.66 5,388.02 4,864.71

Deferred Tax (Net) 2754.25 6,436.45 6,670.09

* As a matter of prudence, unabsorbed depreciation and losses have beenrecognised only to the extent there is Deferred Tax Liability.

8 Variation between the Accounting Policies followed by various entities within thegroup:(a) The foreign subsidiaries, listed in Note 1 above, have not accounted for

deferred taxation.(b) Accounting for improvements to Leasehold Premises by Raymond Limited is

in variation to the methods adopted by other entities in the group.The impact of the above, in the opinion of the management, would not besignificant.

9 During the year, following subsidiaries of Raymond UCO Denim Private Limitedhave closed their operations:UCO Sportswear International NV (Belgium) [USI] has opted for voluntaryliquidation under the local Belgian laws and the operations were closed inDecember 2008. Accordingly, the financial statements of this subsidiary have notbeen consolidated after December 2008. The net investment in this subsidiaryhas been reduced to Nil. Further, based on the expected realization of assets (asper the respective valuators reports), which is subject to uncertainties of realization,a sum of Rs.1,640.67 lacs has been provided for estimated devolvement ofobligations (including social costs).UCO Fabrics Inc (USA) [UFI] based on its decision in September 2008 has closedits plant in December 2008. The assets of this subsidiary are being liquidated andliabilities are being settled. The assets of the Company have been reduced tothe lower of estimated realizable value (based on the management’s estimate)and book value and the fixed assets have been grouped under ‘Other CurrentAssets’ in Schedule 6 as “Assets held for disposal”.The auditors have, under these circumstances and uncertainties of realisability,placed reliance on the Management’s judgement and have accepted thesame for the purpose of these financial statements.

10 During the year Raymond Woollen Outer wear Limited (Formerly Raymond fedoraPrivate Limited) has become a subsidiary of the company. The share of lossesover the net worth upon subsidiarisation has been charged to Profit and Lossaccount.

11 During the year, the operation of Raymond Europe Srl, a subsidiary, were closedand the company is under liquidation from December 2008. Accordingly witheffect from this date, the financial statements of the subsidiary have not beenconsolidated.

12 The disclosures with respect to the discontinuing operations are as under:

Subsidaries of Raymond Uco Denim Private Limited2008-09 2007-08

Total Assets at the close of the year 1805.82 24193.98Total Liabilities at the close of the year 4517.19 22484.95Revenue from ordinary activities 12039.64 19227.85Expenses from ordinary activities 15687.07 24457.92Net Cash flows:Operating Activity (1456.58) (213.70)Investing Activity 1869.62 (1221.14)Financing Activity (651.84) 2062.08

13 Related parties disclosures:1. Relationships:

(a) Joint Ventures:Raymond Zambaiti Private LimitedRaymond Fedora Private Limited (a subsidiary w.e.f.09/08/2008)GAS Apparel Ltd.Rose Engineered Products India Pvt.Ltd.Raymond Uco Denim Private LimitedRayves Automotive Textiles Company Private Limited

(b) Related parties where relationship of control exists:J.K. Investo Trade (India) LimitedP. T. Jaykay Files IndonesiaJ.K. Helene Curtis LimitedJ.K. Ansell LimitedJ.K. Investors (Bombay) LimitedRadha Krshna Films Limited

(c) Key Management Personnel, their relatives and their enterprises wheretransactions have taken place:Dr. Vijaypat SinghaniaMrs. Asha Devi SinghaniaMr. Gautam Hari SinghaniaMr. Pradeep Kumar Bhandari ( upto April 23,2008)Silver Soaps Private LimitedAvani Agricultural Farms Private Limited

Note: Related party relationship is as identified by the Company andrelied upon by the Auditors.

2. Transactions carried out with related parties referred in 1 above, in ordinarycourse of business:

(Rs. in lacs)

Related PartiesNature of transactions Referred in Referred in Referred in

1(a) above 1(b) above 1(c) aboveCurrent Previous Current Previous Current Previous

year year year year year yearPurchases:Goods and Materials 2451.04 1582.38 1048.16 1188.50 - -Fixed Assets 6.78 2.47 - - - -Sales:Goods and Materials 782.57 6039.42 520.75 405.06 - -Fixed Assets 36.27 12.11 - 4.38 - -Expenses:Rent and other servicecharges 1.20 557.38 962.58 888.49 40.80 40.80

Job Work Charges 257.92 545.88 642.27 - - -Agency Commission - - - 501.23 - -Remuneration - 4.90 - 43.88 431.68 517.70Interest paid - - 21.10 20.83 - -Professional Fees - - - - 134.59 114.76Directors’ Fees - - - - 1.40 1.10Other reimbursement 57.94 1740.15 16.27 10.06 - -Income:Rent and other servicecharges 19.66 29.93 42.40 293.68 - -

Interest received 506.58 427.02 2.36 2.70 - -Other Receipts:Deputation of staff 136.67 192.56 212.46 159.63 - -Other reimbursement 1613.76 145.42 50.45 65.91 - -Finance:Loans and Advances given - 470.00 - - - -Investments 1387.10 2903.00 - - - -Outstandings:Payable 1241.63 1074.55 409.25 136.05 - 7.96Receivable 825.96 1973.85 350.67 260.80 - -Agency Deposits received - 1.00 211.02 211.02 - -Loans and Advancesgiven 3665.23 4516.47 - 30.00 - -

Property Deposits paid 1.00 1.00 2935.85 2935.85 50.00 50.00

75

14. SEGMENT INFORMATION

A. BUSINESS SEGMENT

(Rs. in lacs)

Particulars Textiles Garment Files Denim Auto Components Others Elimination Total

Current Previous Current Previous Current Previous Current Previous Current Previous Current Previous Current Previous Current Previousyear year year year year year year year year year year year year year year year

Segment RevenueExternal Revenue 110248.74 103426.89 77547.65 71310.34 21604.41 16224.45 35176.57 38712.19 9557.21 8772.01 1814.12 1169.37 – – 255948.70 239615.25Inter-Segment Revenue 2985.71 4341.71 13.92 14.71 59.11 – – – – 7.58 348.87 360.20 (3407.61) (4724.20) – –Total Revenue 113234.45 107768.60 77561.57 71325.05 21663.52 16224.45 35176.57 38712.19 9557.21 8779.59 2162.99 1529.57 (3407.61) (4724.20) 255948.70 239615.25Segment Result 14426.94 15394.24 2459.82 4272.92 3069.29 1558.28 (5809.55) (6068.09) 285.29 794.55 (1866.97) (1820.64) 381.98 (785.23) 12946.80 13346.03Add/(Less):Pre-acquisition (Loss) – – – – – – – – – – – – – – – –Minority Interest – – – – (27.37) (0.89) – – (32.00) (81.73) – 0.70 – – (59.37) (81.92)

14426.94 15394.24 2459.82 4272.92 3041.92 1557.39 (5809.55) (6068.09) 253.29 712.82 (1866.97) (1819.94) 381.98 (785.23) 12887.43 13264.11Unallocated income/

(expenses) (Net) (17567.19) (4146.39)Finance charges (13278.21) (9690.11)Interest Income 4076.93 3672.28Exceptional Items (11354.78) 732.00Excess/(Short) provision for

tax in respect of earlier years 0.95 735.75Provision for Taxes 2044.27 (2874.07)Share of Profit in Associate

Companies 402.88 461.79Net Profit (22787.72) 2155.36Other Information:Segment Assets 155259.13 129685.01 61591.42 63904.57 10527.15 11026.19 29563.73 54586.06 6844.20 7687.06 11362.36 11269.13 (2234.81) (6149.08) 272913.18 272008.94Unallocated assets 98505.94 88444.96Total Assets 371419.12 360453.90Segment Liabilities 30590.93 25728.23 13007.21 11273.46 4196.76 3868.33 8865.86 7039.20 1397.39 1740.14 401.19 405.31 (1259.00) (1561.63) 57200.34 48493.04Minority Interest – – – 80.56 53.19 – – 593.00 566.23 – 31.76 – – 673.56 651.18Unallocated Liabilities 191883.65 166566.29Total Liabilities 249757.55 215710.51Capital ExpenditureSegment capital expenditure 40207.54 4798.29 4816.52 5437.29 311.44 174.30 4647.90 2833.73 629.68 696.88 152.50 334.88 – – 50765.58 14275.37Unallocated capital expenditure 4363.08 735.32Total capital expenditure 55128.66 15010.69Depreciation and Amortisation:Segment depreciation and

amortisation 7560.69 6984.09 3101.76 2299.44 360.97 381.15 3205.67 4954.90 441.87 425.47 678.14 659.16 – – 15349.10 15704.21Unallocated depreciation

and amortisation 1306.13 1181.89Total depreciation and

amortisation 16655.23 16886.10Significant Non Cash Expenditure:Segment Significant Non Cash

Expenditure – 7.81 427.00 12.58 – 17.47 – 142.67 7.16 5.36 – – – – 434.16 185.89Unallocated non cash expenditure 1313.56 43.72Total Significant Non Cash

Expenditure 1747.72 229.61

B. GEOGRAPHICAL SEGMENT

(Rs. in lacs)

Particulars India Rest of the world Total

Current year Previous Year Current year Previous Year Current year Previous Year

Segment Revenue 184739.74 172782.62 71208.96 66832.63 255948.70 239615.25

Carrying cost of segment assets 256908.76 223612.80 16004.42 48396.14 272913.18 272008.94

Additions to Fixed Assets and Intangible Assets 45799.33 11492.28 4966.25 2783.09 50765.58 14275.37

C. OTHER DISCLOSURES

1. Segments have been identified in line with the Accounting Standard on Segment Reporting (AS-17) taking into account the organisation structure as well as thedifferential risks and returns of these segments.

2. The Company has disclosed Business Segment as the primary segment.

3. Types of products and services in each business segment:

Business Segment Types of Products and services

a) Textiles - Fabric, rugs, blankets, shawls and furnishing fabric

b) Denim - Denim fabric and cotton yarn

c) Garments - Readymade garments and designerwear

d) Files and Tools - Engineers’ files and rasps, H.S.S. twist drills and bars and rods (HRS)

e) Auto Components - Starter Gear, Shaft Bearings and Sheet metal components

f) Others - Aviation, Home Living etc.

4. Inter Segment revenues are recognised at sales price.

5. The Segment Revenues, Results, Assets and Liabilities include the respective amounts identifiable to each of the segment and amounts allocated on a reasonablebasis.

76

15. Investments in equity shares of Associates:

(a) P.T. Jaykay Files Indonesia 134.71 134.71

Add: Share of accumulated reserves/profits 398.03 373.56

Add: Share of current profits 30.51 13.25

563.25 521.52Less/(Add): Exchange fluctuation on openingretained earnings 47.35 (11.22)

515.90 532.74

(b) J.K. Investo Trade (India) Limited 326.12 326.12

Add: Share of accumulated reserves/profits 2397.35 1999.80

Less: Dividend received (including tax) - 17.44

Add: Share of current profits 323.77 414.99

3047.24 2723.47

(c) Radha Krshna Films Limited (includinggoodwill Rs.18.22 lacs ). * *

* Being provision made for diminution in the value of investments

16. Proportionate interest in retained earningsof Associates includes share in revaluationreserve amounting to Rs. Nil (Previous yearRs10.27 lacs).

Year ended Year ended31st March, 31st March,

2009 2008(Rs. in lacs) (Rs. in lacs)

17. Computation of Profit for Earnings per Share:

(Loss)/Profit for the year after tax (22976.37) 1062.94

Add/(Less): Prior period adjustments (155.81) (23.20)

Minority Interest (59.37) (81.92)

Share of tax on dividends (48.60) (50.99)

(Short)/Excess provision for tax 0.95 735.75

Share of Profit in Associate

Companies 402.88 461.79

(Loss)/Profit including Exceptional Items (22,836.32) 2104.37Add /(Less):Exceptional Items (net of tax) 10482.31 (884.26)

(Loss)/Profit excluding Exceptional Items (12,354.01) 1220.11

Nominal value per Share in Rupees 10.00 10.00

18. Previous year’s figures have been regrouped / recast wherever necessary.

19. Significant Accounting Policies and Practices - Annexure I.

As at As at31st March, 31st March,

2009 2008(Rs. in lacs) (Rs. in lacs)

CONSOLIDATED FINANCIAL STATEMENTSANNEXURE ISTATEMENT OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES(annexed to and forming part of the Accounts for the year ended 31st March, 2009)

I. BASIS OF PREPARATION OF FINANCIAL STATEMENTS :(i) The financial statements of the subsidiaries used in the consolidation are

drawn upto the same reporting date as that of the Parent Company, i.e.year ended 31st March. The foreign subsidiaries follow January to Decemberas their financial year. In the case of these foreign subsidiaries the Companyhas redrawn their financial statements for the year ended 31st March.

(ii) The financial statements have been prepared under the historical costconvention (with the exception of all the fixed assets belonging to RegencyTexteis Portuguesa, Limitada , which have been revalued in accordancewith the applicable local laws) and on the accrual basis of accounting. Theaccounts of the Parent Company, Indian Subsidiaries and Joint VentureCompanies have been prepared in accordance with the AccountingStandards and those of the foreign subsidiaries have been prepared inaccordance with the local laws and the applicable Accounting Standards/generally accepted accounting principles.

II. PRINCIPLES OF CONSOLIDATION :(i) The financial statements of the Parent Company and its subsidiaries have

been consolidated on a line-by-line basis by adding together the bookvalues of like items of assets, liabilities, income and expenses, after eliminatingintra-group balances, intra-group transactions and the unrealised profits.

(ii) The financial statements of the Parent Company and its subsidiaries havebeen consolidated using uniform accounting policies excepting therevaluation of assets by companies referred above. Further, accounting forimprovements to Leasehold Premises by Raymond Limited is in variation tothe methods adopted by other entities in the group.

(iii) The excess of the cost to the Parent Company of its investments in each ofthe subsidiaries over its share of equity in the respective subsidiary, on theacquisition date, is recognised in the financial statements as goodwill andamortised over a period of ten years. However, such excess or deficit arisingafter the acquisition date on account of currency fluctuation in respect offoreign subsidiary, is transferred to Currency Fluctuation Reserve.

III. RECOGNITION OF INCOME AND EXPENDITURE :(i) Revenues/Incomes and Costs/Expenditure are generally accounted on

accrual, as they are earned or incurred.

(ii) Compensation to employees under Voluntary Retirement Scheme (VRS) iswritten off in the year of payment.

IV. FIXED ASSETS :(i) All the fixed assets belonging to Regency Texteis Portuguesa Limitada and

certain assets belonging to the subsidiaries of the Joint Venture - RaymondUCO Denim Private Limited have been revalued and have been depreciatedas per the applicable local laws.

(ii) The fixed assets of the Parent Company (other than livestock) and othersubsidiaries (with the exception of assets stated under (i) above) are statedat cost, less accumulated depreciation (other than freehold land where nodepreciation is charged). Livestock are stated at book value.

V. METHOD OF DEPRECIATION AND AMORTISATION :(i) Depreciation on Fixed Assets is provided :

(a) By Indian Companies - on WDV/SLM method and at rates under theCompanies Act, 1956.

(b) By foreign subsidiaries - on methods and at rates permissible underapplicable local laws or at such rates so as to write off the value ofassets over its useful life.

(ii) Cost of technical know-how capitalised is amortised over the period ofagreement.

(iii) Cost of Customised Software is amortised over a period of three to six yearsthereof.

(iv) Cost of Trademarks acquired is amortised over a period of five years thereof.

(v) Goodwill arising on consolidation is amortized over a period of ten years.

VI. INVESTMENTS :

Investments are classified into Current and Long-term Investments. Currentinvestments are stated at the lower of cost and fair value. Long-term Investmentsare stated at cost. A provision for diminution is made to recognise a decline,other than temporary, in the value of Long-term Investments.

VII. VALUATION OF INVENTORIES :

(i) The inventories resulting from intra-group transactions have been stated atcost after deducting unrealised profit on such transactions.

(ii) Goods in transit are stated ‘at cost’.

(iii) Other inventories are stated ‘at cost or net realisable value’, whichever islower.

(iv) Cost comprise of all costs incurred in bringing the inventories to their presentlocation and condition. Cost formulae used are either ‘average cost’ or‘specific identification’, as applicable. Due allowance is estimated and madefor defective and obsolete items, wherever necessary, based on the pastexperience.

(v) All the costs incurred on un-invoiced conversion contracts are carried forwardas “Accumulated Costs on Conversion Contracts”.

As per our Report of even date

For and on behalf ofDALAL & SHAH H. SUNDER GAUTAM HARI SINGHANIAChartered Accountants President - Finance Chairman and Managing Director

ASHISH DALAL THOMAS FERNANDES P. K. BHANDARIPartner Director-Secretarial & Director

Company Secretary

Mumbai, 24th April, 2009 Mumbai, 24th April, 2009

77

VIII. FOREIGN CURRENCY TRANSLATIONS :For the purpose of consolidation, the amounts appearing in foreign currenciesin the Financial Statements of the foreign subsidiaries are translated at thefollowing rates of exchange:

(a) Average rates for the incomes and expenditure.

(b) The year-end rates for the assets and liabilities.

IX. FOREIGN CURRENCY TRANSACTIONS BY INDIAN COMPANIES :(i) All transactions in foreign currency, are recorded at the rates of exchange

prevailing on the dates when the relevant transactions take place;

(ii) Monetary items in the form of Loans, Current Assets and Current Liabilities inforeign currency, outstanding at the close of the year, are converted inIndian Currency at the appropriate rates of exchange prevailing on thedate of the Balance Sheet. Resultant gain or loss is accounted during theyear;

(iii) In respect of Forward Exchange contracts entered into to hedge foreigncurrency risks, the difference between the forward rate and exchange rateat the inception of the contract is recognized as income or expense overthe life of the contract. Further, the exchange differences arising on suchcontracts are recognised as income or expense along with the exchangedifferences on the underlying assets / liabilities. Further, in case of othercontracts with committed exchange rates, the underlying is accounted atthe rate so committed. Profit or loss on cancellations / renewals of forwardcontracts is recognised during the year. In case of option contracts, thelosses are accounted on mark to market basis.

X. EMPLOYEE BENEFITS :Defined Contribution Plans such as Provident Fund etc., are charged to theProfit & Loss Account as incurred.Defined benefit Plans - The present value ofthe obligation under such plan, is determined based on an actuarial valuationusing the Projected Unit Credit Method, Actuarial gains and losses arising onsuch valuation are recognised immediately in the Profit & Loss Account. In caseof funded defined benefit plans the fair value of the plan assets is reducedfrom the gross obligation under the defined benefit plans, to recognise theobligation on net basis.Other Long term Employee Benefits are recognised inthe same manner as Defined Benefit Plans.Termination benefits are recognisedas and when incurred.

XI BORROWING COSTS

Interest and other borrowing costs attributable to qualifying assets arecapitalised.Other interest and borrowing costs are charged to revenue.

XII TAXATION :

(i) Indian Companies -Income-tax expense comprises current tax, fringe benefittax (FBT) and deferred tax charge or credit. Provision for current tax ismade on the basis of the assessable income at the tax rate applicable tothe relevant assessment year. Provision for FBT is made on the basis of thefringe benfits provided / deemed to have been provided during the yearat the rates and values applicable to the relevant assessment year. Thedeferred tax asset and deferred tax liability is calculated by applying taxrate and tax laws that have been enacted or substantively enacted bythe Balance Sheet date. Deferred tax assets arising mainly on account ofbrought forward losses and unabsorbed depreciation under tax laws, arerecognised, only if there is a virtual certainty of its realisation, supported byconvincing evidence. Deferred tax assets on account of other timingdifferences are recognised only to the extent there is a reasonable certaintyof its realisation. At each Balance Sheet date, the carrying amount ofdeferred tax assets are reviewed to reassure realisation.

(ii) J.K. (England) Limited - Provision is made for taxation deferred as a result ofmaterial timing differences between the incidence of income andexpenditure for taxation and accounts purposes, using the liability method,only to the extent that, in the opinion of the Directors, there is a reasonableprobability that a liability or asset will crystallise in the near future.

(iii) Other foreign subsidiaries do not recognise the deferred tax assets/liabilities.

XIII IMPAIRMENT OF ASSETS:

The carrying amounts of assets are reviewed at each Balance Sheet date ifthere is any indication of impairment based on internal/ external factors. Anasset is impaired when the carrying amount of the asset exceeds therecoverable amount. An impairement loss is charged to the Profit & Loss Accountin the year in which an asset is identified as impaired. An impairment lossrecognised in prior accounting periods is reversed if there has been change inthe estimate of the recoverable amount.

XIV. GOVERNMENT GRANTS:

Grants received against specific fixed assets are adjusted to the cost of theassets and those in the nature of promoter’s contribution are credited to CapitalReserve. Revenue Grants are recognised in the Profit and Loss Account inaccordance with the related scheme and in the period in which these areaccrued.

DETAILS OF BALANCE SHEET AS AT 31ST MARCH, 2009 AND INCOME AND EXPENDITURE FOR THE YEAR ENDED31ST MARCH, 2009 OF SUBSIDIARY COMPANIES

Indian Subsidiaries (Rs. in lacs) Foreign Subsidiaries (Rs. in lacs)

Raymond Pashmina Everblue Hindustan Colorplus Silver Celebrations Scissors Ring Plus Raymond JK J.K. Jaykayorg Regency R&AParticulars Apparel Holdings Apparel Files Fashions Spark Apparel Engineering Aqua Woollen Talabot (England) AG Texteis Logistics

Limited Limited Limited Limited Limited Apparel Limited Products Limited Outerwear Limited Limited (Switzerland) Portuguesa, Inc.(UnitedLimited Limited Limited (United Limitada States of

Kingdom) (Portugal) America)

1. Share Capital 3630.00 74.00 1500.00 377.01 498.00 1700.00 271.00 2743.05 760.66 1696.00 805.44 0.73 22.18 652.14 0.15

2. Reserves and Surplus 8580.42 780.88 (1491.27) 230.99 7268.50 (206.41) (259.44) (27.16) 4358.13 49.97 1.43 263.94 2773.87 387.67 40.82

3. Miscellaneous Expenditureto the extent not written off - - - - - - - - - - - - - -

4. Total Assets 32304.36 1173.66 4696.21 1253.89 13450.93 7421.15 2440.18 2716.11 7395.35 4269.56 2164.85 273.77 2824.58 3507.49 285.91

5. Total Liabilities @ 20093.94 318.79 4687.48 645.89 5684.43 5927.56 2428.62 0.22 1855.47 5474.33 1357.99 9.10 28.53 2467.68 244.94

6. Details of Investments

- Government Securities 0.01 - - - - - - - - 0.20 - - - - -

- Shares (excludingsubsidiaries) 8.05 13.81 - - - - - - 8.20 - - - 256.79 - -

- Mutual Funds - 14.61 - - - - - - 0.89 - - - - - -

7. Turnover and Other Income 42156.78 28.28 708.39 4158.59 14969.15 8757.84 1478.96 - 8193.78 4658.81 1735.29 336.29 631.20 4811.77 1339.96

8. Profit Before Taxation 812.93 0.66 134.94 198.48 (1277.55) 214.81 (2.97) (0.26) 449.81 (143.97) 274.47 32.81 (90.26) (177.26) 0.84

9. Provision for Taxation * 346.18 8.05 3.47 67.40 240.03 33.88 1.25 - 155.67 1.07 0.34 5.32 1.81 - 0.18

10. Profit After Taxation 466.75 (7.39) 131.47 131.08 (1517.58) 180.93 (4.22) (0.26) 294.14 (145.04) 274.13 27.50 (92.08) (177.26) 0.66

11. Proposed Dividend - - - - 0.04 - - - - - - - - - -

@ Includes deferred tax liability (net); * Net of excess/short provision for tax in respect of earlier years.Note - In respect of foreign subsidiaries:

a) Item Nos. 1 to 6 and 11 are translated at exchange rates as on 31st March, 2009 as follows: Pound Sterling = Rs.72.86, Swiss Francs = Rs.44.36, Euro = Rs.67.48 and US Dollars= Rs. 50.95; b) Item Nos. 7 to 10 are translated at annual average exchange rates as follows: Pound Sterling = Rs.78.28, Swiss Francs = Rs.41.89, Euro = Rs.65.29 and US Dollars= Rs. 46.24.

The above details have been annexed in terms of Letter No.47/68/2009-CL-III dated March 20, 2009 issued by Government of India, Ministry of Company Affairs under Section212(8) of the Companies Act, 1956.

78

ADDITIONAL INFORMATION AS REQUIRED UNDER PART IV OF SCHEDULE VI TO THE COMPANIES ACT, 1956

BALANCE SHEET ABSTRACT AND COMPANY’S GENERAL BUSINESS PROFILE

I. REGISTRATION DETAILS

Registration No. 1 2 0 8 State Code 1 1

Balance Sheet Date 3 1 . 0 3 . 0 9

II. CAPITAL RAISED DURING THE YEAR (AMOUNT IN RS. THOUSANDS)

Public Issue N I L Rights Issue N I L

Bonus Issue N I L Private Placement N I L

III. POSITION OF MOBILISATION AND DEPLOYMENT OF FUNDS (AMOUNT IN RS. THOUSANDS)

Total Liabilities 2 5 2 1 2 9 1 8 Total Assets 2 5 2 1 2 9 1 8

SOURCES OF FUNDS APPLICATION OF FUNDS

Paid-up Capital 6 1 3 8 0 8 Net Fixed Assets 1 0 6 1 1 5 2 4

Reserves & Surplus 1 0 8 6 4 7 2 4 Investments 8 8 8 5 9 4 6

Secured Loans 8 6 8 8 4 8 1 Net Current Assets 5 7 1 5 4 4 8

Unsecured Loans 4 7 6 2 1 8 5 Misc. Expenditure N I L

Deferred Tax Liability 2 8 3 7 2 0 Accumulated Losses N I L

IV. PERFORMANCE OF COMPANY (AMOUNT IN RS. THOUSANDS)

Turnover 1 4 7 7 7 9 7 8 Total Expenditure 1 7 7 5 3 4 8 4

Profit Before Tax - 2 9 8 7 0 5 1 Profit After Tax - 2 7 1 5 5 1 3

Earning per Share in Rs. - 4 4 . 2 4 Dividend % N I L

V. GENERIC NAMES OF PRINCIPAL PRODUCTS/SERVICES OF THE COMPANY (AS PER MONETARY TERMS)

ITEM CODE NO. (ITC CODE) PRODUCT DESCRIPTION

51121900, 51123000, 55151300 & 55151100 Woollen, Polyester/Wool Blended and Polyester/

Viscose Blended Fabrics

82031000 & 82075000 Files, Rasps, similar tools and H.S.S. Drills

N.A. Air Taxi Operations

ATTENDANCE SLIP(To be presented at the entrance of the Meeting venue)

84TH ANNUAL GENERAL MEETING ON WEDNESDAY, JUNE 10, 2009 AT 11.00 A.M

at Plot No. 156/H.No.2, Village Zadgaon, Ratnagiri – 415 612 (Maharashtra)

Folio No:………………………………… DP ID No:…………………….……………… Client A/c. No………………….……………

Name of the Shareholder:…………………………………………………... …………………………………………………………….

Signature of the Shareholder:…………………………………………………………………………………………………………….

(only shareholders/proxies are allowed to attend the meeting)

PROXY FORM84TH ANNUAL GENERAL MEETING ON WEDNESDAY, JUNE 10, 2009 AT 11.00 A.M

at Plot No. 156/H.No.2, Village Zadgaon, Ratnagiri – 415 612 (Maharashtra)

I/We ....................................................................................... of …………..............................................................................……

being a member(s) of Raymond Limited hereby appoint .................................................................................................

of .......................................................................................... or failing him .............................................................................

of ............................................................................................ or failing him ............................................................................

of .................................................................................................... as my/our proxy to attend and vote for me/us andon my/our behalf at the 84th Annual General Meeting of Raymond Limited to be held on Wednesday, June 10,2009 or at any adjournment thereof.

Folio No: ........................................................

DP ID No: ............................................................................ Client A/c. No. ..........................................................................

AffixRevenue

StampRe.1/-

Signed this ..................... day of ..............................., 2009 Signature across Revenue Stamp

Note: The proxy, in order to be effective, should be duly stamped, completed and signed must be deposited at the Registered Office of theCompany at Plot No. 156/H.No.2, Village Zadgaon, Ratnagiri – 415 612 Maharashtra), not less than 48 hours before the time of the meeting,The proxy need not be a member of the Company.

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