Alok - Annual Report 2010-11 - Low Rais

CELEBRATING
25Y E A R
1 9 8 6 - 2 0 11
Driven by a Vision
S
Leadership in Textiles
25 Annual Report 2010-11

thank youThank you for contributing
to our silver anniversary
We are celebrating 25 eventful
years. Silver Jubilee is a
milestone which has very
special significance in the life
of any institution. It signifies a
coming of age and
maturity…We believe this is
the time to look back, and
thank every person who has
contributed in our journey
so far…
Integrated Textile SolutionsTM 1

REMEMBRANCE
Late Bhagirathmal J. Jiwrajka

(14 November, 1925 - 17 September 2002)
Founder Chairman
2 Celebrating 25 Years 1986 - 2011

Naiva tasya krtenartho nakrteneha kascana
Na casya sarvabhutesu kascidarthavyapasrayah
He attaches nothing to the results of his action.

Thus gain and loss resulting from his actions mean the same to him.
He doesn't need a purpose therefore to motivate him into action
Tasmadasaktah satatam karyam karma samacara

Asakto hyacarankarma paramapnoti purusah
Therefore do your duty without any attachment to the

fruits of your work, for only by acting without attachment,
you will be able to realize God.
On this special occasion, the 25th anniversary of our company, we

bow in reverence to our Chairman, the Late Bhagirathmal J. Jiwrajka,
a man of the highest integrity with loyalty and devotion to high ideals,
a man of conscience and hard work.
He guided the affairs of the company with a sure and steady hand.
His simplicity and humility were transparent.
Behind them was a clear vision of mature mind
and profound wisdom. He taught us the virtues of austerity,
simplicity and consensus. We pledge to continue to live and govern by
his principles of integrity, honesty, commitment and trust.
TM
Integrated Textile Solutions 3
about us
about us
Alok Industries Limited, one of India's largest
vertically integrated textile companies, provides
end-to-end solutions through five core divisions:
Cotton Yarn, Apparel Fabric, Home Textiles,
Garments and Polyester Yarn.
With over two decades of experience, Alok is the
choice for quality textile products at internationally
competitive prices and dependable delivery
schedules. The company constantly adopts new
technology to widen its product range. Through a
planned and focused expansion, Alok is today a
leading player in each of its product segments.
Alok's large customer base comprises domestic
and overseas retailers, garment exporters in India
and converter countries who are vendors to major
international labels. They include some of the
world's largest retailers and India's largest
manufacturers of apparel and home textiles.
About 35% of Alok's production is
exported to over 70 countries,
with major markets being
US, Europe, Latin America,
Asia and Africa.

Vision
To be the world’s best integrated textile
solutions enterprise with leadership
position across products and markets,
exceeding customer and stakeholder
expectation. The barometer of our
success would be our ROCE.
Mission
We will:
mission
n Offer innovative, customised and
value added services to our
customers
n Actively explore potential markets &
products
&
n Optimise use of all resources

n Maximise people development
vision
initiatives
n Become a process driven
organisation
n Be a knowledge leader and an
innovator in our businesses
n Exceed compliances and
global quality standards
n Be an ethical, transparent
and responsible global
organisation
TM
contents
annual report
2010-11
Thank You 1 Report on Corporate Governance 95
Remembrance 2 Shareholder's Information 105
About Us 4 Auditor's Certificate
on Corporate Governance 111
Vision & Mission 5
Company Secretarial
Key Highlights 2010-11 7 Compliance Certificate 112
Textile Trivia 8 Certification by
Milestones 10 MD and CFO 113
Alok at 25 12 Auditor's Report 114
25 Years Financial Highlights 28 Annexure to the
Auditor's Report 115
Partners' Speak 30
Balance Sheet 118
Board of Directors 34
Profit and Loss Account 119
Young Leaders 37
Cash Flow Statement 120
Core team 38
Schedules 122
General Information 46 Balance Sheet Abstract and
Financial Highlights 48 Company's General
Business Profile 153
Key Ratios 49
Statement Pursuant to
Chairman's Message 50 section 212(3) and 212(5) of
Managing Director's Message 52 the Companies Act, 1956 relating
to subsidiary companies 154
Jt. Managing Director's Message 53
Consolidated Reports 156
Did You Know 54 Auditor's Report on
Notice 56 Consolidated Statements 157
Annexure to the Notice 59 Consolidated Balance Sheet 158
Director's Report to the Consolidated Profit
Shareholders 60 & Loss Account 159
Did You Know 68 Consolidated Cash Flow
Statements 160
Management Discussion
& Analysis Report 70 Consolidate Schedules 162
Did You Know 93 Notes 192
Turnover increased by 48.18% to ` 6,388.43 crore
Exports increased by 42.24% to ` 2,217.43 crore
EBIDTA increased by 38.02% to ` 1,756.35 crore
Profit After Tax by 63.48% to ` 404.36 crore
Dividend at ` 0.25 per share
Total Assets at ` 13,259.04 crore
Total Networth at ` 3,097.59 crore
Book Value at ` 39.32
EPS at ` 5.13
CEPS at ` 12.90
k ey
highlights
2010-11 TM
7000 years : Cotton fibre is discovered in
back Ancient Mexico
5800 BC : Cotton fabric is discovered in a
cave near Tehuacán, Mexico
300 BC : Ancient Egyptians, Greeks, and
Romans use soda ash prepared
from burned sea weed to bleach
and whiten cloth
Before : Textile printing originates in
220 AD China
1589 : Englishman, William Lee
constructs first knitting machine
1764 : Spinning jenny invented by
James Hargreaves - the first
machine to improve upon the
spinning wheel
1785 : French scientist Claude
Berthollet discovers application
of chlorine as an excellent a
bleaching agent
1790 : Thomas Saint invents first
sewing machine
1804 : Joseph Marie Jacquard invents
the Jacquard Loom
1843 : Dobby loom is discovered
1844 : John Mercer of Great Harwood,
Lancashire, England devises
mercerisation process which
treats cotton fibres with sodium
hydroxide
1856 : William Perkin invents the first
synthetic dye
Mid-19th : Terry or Turkish towels with its
Century origin in Constantinople, Turkey
is for the first time woven by
power driven looms in the
European countries
8 `ÉäÉÄê~íáåÖ=OR=vÉ~êë=NVUS=J=OMNN
1953 : Du Pont USA invents polyester fibre
1980 : The term Technical Textiles is coined to
describe the products and manufacturing
techniques developed primarily for their
technical properties and performance
TM
1986 Incorporation of your Company
Initial Public Offer of ` 4.50 crore

1993
Collaboration with Grabal, Albert Grabher Gesellshaft mbH &

1995 Co. of Austria for manufacturing of embroidery products,
through joint venture company, Grabal Alok Impex Ltd
Annual sales of ` 100 crore

1996
milestones
Rights Issue of equity shares aggregating to ` 14.98 crore

1997
Private placement of equity shares of ` 16 crore to Century

1998 Direct Fund (Mauritius)
■ Turnover exceeds ` 300 crore, including exports of ` 9 crore

2000 ■ New Alok Logo launched
Expansion initiated under Technology Upgradation Fund

2001 Scheme (TUFs) for weaving and processing capacities with
investment of ` 225 crore
■ Rights issue of FCDs of ` 51 crore

2002 ■ Turnover exceeds ` 550 crore
■ Awarded status of 'Export Trading House

2003 ■ Foray into Home Textile segment (bed linen)

■ Turnover crosses ` 1,000 crore. Exports exceed ` 100 crore
2004 ■ Commenced Phase I & II of expansion programme (Spinning,
Weaving, Processing & garmenting) aggregating to ` 1,175
crore under TUFs
FCCB issue of USD 35 million
2005
FCCB issue of USD 70 million
2006
■ 9001:2000 certification obtained
2007 ■ Turnover reaches ` 1,800 crore, Exports at ` 640 crore
■ Domestic retail brand 'H&A' launched
■ Embarked on expansion of ` 1,100 crore under Phase III under
TUFs
■ 60% stake acquired in “Mileta International”, integrated textile
milestones
unit at Czech Republic

■ Contracted to acquire commercial property at Lower Parel
admeasuring 6,41,000 sq. ft. in real estate subsidiary Alok
Infrastructure Limited
■ Initiated Phase IV expansion of ` 1,180 crore under TUFs

2008 ■ Raised ECB of USD 90 million
■ Acquired stake in UK retail “Store Twenty One”
Rights issue of Equity shares of ` 450 crore

2009 Completed integration of Polyester by commissioning
Continuous Polymerisation capacity of 600 tpa
■ Turnover touches ` 4,300 crore, Exports crosses

2010 ` 1,500 crore
■ Qualified Institutional Placement of Equity shares of ` 425 crore.
■ Added Terry Towels to its product range
■ 25 years of corporate journey completed

2011 ■ Turnover crosses ` 6,300 crore, Exports reach ` 2,200 crore
■ Awarded the IMC – Ramakrishna Bajaj National Quality (RBNQ)
Performance Excellence Trophy in the Manufacturing Category
■ Expansion of Polyester production from 600 tons/day to 1400
tons/day commenced
■ Awarded status of 'Recognised Star Trading House’
TM
achievers
achievers
The largest integrated textile company in India

At 25 we are Achievers
With humble beginnings back in 1986 as a
polyester yarn manufacturer, we are today,
amongst India's leading textile companies
providing Integrated Textile Solutions across the
value chain from yarn, apparel fabrics, home
textiles, technical textiles and apparels in all
natural and man-made fibers.
Two and a half decades have been a fantastic
journey of learning, experimenting and
progressing for us.
Carefully planned expansions and marketing
strategies have enabled us to achieve a CAGR
of 35% in sales since inception.
Yes, at 25, we are Achievers. We are the largest
integrated textile company in the country. An
achievement we are justifiably proud about.
TM
Diverse
Diverse
Widest range of
products and
designs along with
consistent quality.

At 25 we are Diverse
Our diverse product range spans across five core
business categories: Cotton Yarn, Apparel
Fabrics, Home Textiles, Garments and Polyester
Yarn (POY & Texturized Yarn).
We constantly keep track of global fashion trends,
market trends, technological advances and
materials innovations. Our zeal to innovate leads
to constant research & development, enabling us
provide better solutions to our customers across
business categories.
Our ever expanding product range with consistent
international quality standards meet our
customers' myriad needs in evolving markets,
sets new industry trends and helps us stay ahead
of competition.
Yes, at 25 we are Diverse in product range and
innovation with consistency in quality and delivery.
TM
proud
clientele
Constant efforts are always
on to not just meet, but
exceed customer
expectations
of our

At 25 we are Proud of our Clientele
We feel privileged to have a well-diversified
customer base in India and across continents.
Our customer list boasts of the Who's Who in
retailers, brands, garment manufacturers, home
textile manufactures, weavers, fashion houses and
importers and continues to grow year after year.
Investing in world class customer service
infrastructure, customer convenience and quality
assurance, besides state-of-the-art manufacturing
technology, helps us retain and expand our
customer base in the developed as well as
emerging markets across the globe.
In addition, introduction of several high-
performance, innovative fabrics is constantly
expanding our reach into large institutional
markets such as defense, hotels, hospitals,
refineries, construction, etc.
Yes at 25, we are Proud of our Clientele and
reiterate our commitment to not just meet but
exceed customer expectations.
17
team
team
Dynamic team of
professionals who
are passionate about
excellence

At 25 we are a Professional Team
A company is as good as its people. We are
privileged to have a motivated team of young and
experienced professionals who drive our growth and
create higher levels of performance, year after year.
A conducive environment has been created for
encouraging team work, two way communications
which drives every Alokian to contribute to the
company's goals.
A unique combination of experience and youth
ensure result-oriented action. As an experienced
management team leads the company with vision,
growth strategies and ideas for innovations, young
professionals, equipped with modern technology
and management systems are geared to face the
highest level of global competition.
We nurture the aspirations of our people by
providing them an enabling environment and ample
growth opportunities by broadening their
perspective on the industry and world markets
through constant training, external exposure and
interaction within.
Yes at 25, we are completely Professional and
re-dedicate ourselves to attract and retain the best
talent in the industry across functions like
management, production and marketing and
convert them into dynamic entrepreneurs.
TM
green
Sustained eco-friendly
endeavours include several
initiatives and investment in
ensuring environment
protection, health and safety
green
At 25 we are Green
Since its inception, we have emphasized strongly
on eco-friendly and sustainable production
as our core business philosophy. We believe in
acting as custodians of our planet and in
preserving nature for the generations to come, in
our sphere of influence.
We retain the natural environment around our
plants with minimum displacement of greenery
and landscape. Planting additional trees to create
green belts, rainwater harvesting and water
recycling through reverse osmosis are some of
the initiatives used in the production process.
Towards ensuring a healthy, pollution-free
environment, we promote the use of low carbon
fuels & cleaner energy alternatives, support
organic cotton movement and actively participate
in several national and international initiatives to
spread this message.
Yes at 25 we are Green and re-commit
ourselves to work towards sustainability of our
wonderful planet.
TM
C Commitment
and effective
contribution to
social welfare
SR
and societal
development
conscientious
of our society

At 25 we are Conscientious of our Society
As a responsible corporate citizen, we believe in
contributing in every possible way to the
development and prosperity of society as a
whole.
Constant efforts are made to create equal
opportunities for all. Towards this end, offering
jobs to tribal and rural population in and around
the company's manufacturing units at Vapi and
Silvassa is the first choice for us.
We have taken special initiatives to impart quality
education at Silvassa by opening ALOK PUBLIC
SCHOOL under the CBSE curriculum and have
also collaborated with the State Government and
local administration under the PPP initiative for
the modernization of the Industrial Training
Institutes.
Crèches have been put up, ongoing initiatives
are taken to teach tribals about health and
hygiene and canteens have been set up to
provide nutritious and wholesome food.
Yes at 25 we are Conscientious of our Society.
We understand that blending Corporate Social
Responsibility in our way of work is the only way
to work. In growth of all is our real growth.
TM
global
Unfurling Indian textile industry's potential across the world
global

At 25 we are Global
Having acquired a global scale and competitive
strength through well-planned efforts over two
and half decades, today we feel proud to
contributing to Indian textile industry's global
market growth.
We export a wide range of products to over 70
countries across all continents, including to all
developed and several emerging markets. We
have not only emerged as amongst the largest
exporters of textile products from India, but have
taken initiatives to create international bases in
Europe, USA and Africa to develop long-term
strategic presence in key markets and emerging
business opportunities.
We were amongst the few Indian textile players
to have foreseen the challenges and
opportunities under the quota free regime and
planned to optimize on this opportunity.
Yes at 25 we are Global in our outlook and reach.
We are determined to make India regain her
glory as a dominant global textile player.
TM
believe
believe
We have conviction and the resources

and enterprise to back it

At 25 we have conviction
Since our inception 25 years ago, we believed in
the great future of the Indian textile industry. We
believed that in order to be a leader and sustain
success, we needed to have a sizeable
presence across the textile value chain.
We believed that if timely investment and
resources are deployed supported by strategic
initiatives and a long term commitment, India
could gain competitive advantage in the post-
quota world market for textiles.
Our passion for textiles, unflinching commitment
to our values and philosophy of achieving
success through innovation should stand us in a
good stead.
Yes at 25, we continue to have conviction and
believe that the Indian textile industry is on the
verge of witnessing, perhaps, its brightest period
and our company is positioned perfectly to
capitalize on this wonderful opportunity.
TM
FinancialHighlights
25Years

TM
Kohl's Carrefour
Congratulations to Alok Industries for 25 Years! Four years back, when Carrefour Global Sourcing
I have worked with Alok for the past 10 years, India decided to develop the business in underwear
representing both Kohl's and Wal-Mart over that category, our objective was to find a strong and well-
time. Alok has proven to be an extremely reliable known partner in order to build a long term
and professional fabric supplier. The mill is state-of- partnership. Alok Industries was identified
the-art for weaving and dyeing, producing high immediately as the suitable partner for Carrefour.
quality fabrics. When our vendors place their fabric The expertise, reliability and powerful industrial
orders with Alok we are assured of quality and on capacity of Alok has been precious for Carrefour to
time delivery. Thanks you for all of you support and develop our business.
congratulation on this special anniversary. Women and Men are of course at the origin of this
success. So thank you to Alok team for their support
Chris Fisher .
Kohl's Department Stores, USA best regards ,
Product Development Mathias DESOUBRIES
Raw Materials & Color Manager Textile Permanent Lines Division Manager
Carrefour
Crystal Martin International Ltd. Marks & Spencer

From the commencement of our working partnership with the
Alok team, developed throughout the last decade, it has always Congratulations to the entire team at Alok, on
proven rewarding to realise the benefits of working alongside a completing 25 years. We at M&S are really happy to
business that delivers on both it's vision AND values. have been a part of Alok's growth over the years.
This we see recognised year on year by the continued patronage
of customers who are appreciative of the investment made in the For us at M&S, I would say that Alok are an excellent
delivery of innovation and quality within Alok's integrated textile one-stop-shop covering everything from plain, print
offer but also the significant investment in the delivery of shared and yarn dye cotton both woven and knitted through
values, values that set Alok out as THE supplier of choice. to polyester yarn, cotton towelling and full range of
As a leading international business CMI clearly recognise that wide width bed-linen. All this produced in-house
delivering added value, exceptional quality, design excellence,
from fibre to finished product makes it easy for us to
investment in our people and cutting edge innovation are an
absolute minimal requirement of today's consumer. However it is work with Alok. There is a huge potential to grow
essential that we deliver all of the above whilst demonstrating a within our business provided you continue to focus
corporate and ethical responsibility to our colleagues, our on quality and product development, just as you
consumers and our suppliers.
have been doing over the years.
This can only be achieved by partnering with a supply base of
indisputable repute. Alok deliver these same values on a daily Wish you all success in the coming years, and look
basis. for ward to us growing our partnership further.
We are PROUD to be associated with the team at Alok as they Venu Nair
celebrate their 25th anniversary and on this auspicious occasion
we take great pleasure in congratulating them on their past Head of Region (South Asia)
success. We take as much pleasure in sharing our combined Marks & Spencer
vision for the future that, together, we can deliver as Alok enter
their next 25 years of providing exceptional service to an ever
more demanding, worldwide, customer base.
Stuart Clayton
Director

State Bank of India
My hearty congratulations on Alok Industries Ltd achieving the land
mark of 25 years. We have been your bankers since inception and it is
a pleasure seeing Alok growing from strength to strength, maintaining
an impeccable track record through consistent performance.
The vision shown by the top management in tapping the opportunities
in textile sector especially in the post quota regime is quite admirable
and this has made Alok the largest integrated textile company of
India. It will be our pleasure to support the company in its future
endeavours.
I once again congratulate “Team Alok” and wish them more success
in the coming years.
V.S.Radhakrishnan
Deputy General Manager
State Bank of India
Axis Bank
We are enthused on the occasion of Alok Industries Limited completing
25 years of its existence. Our compliments on this historic occasion. We
take pride in being your partner Bank and associating with you at major
milestones in this impressive journey of becoming the largest integrated
textile company in India. The vision, direction and strategy of the top
management have made Alok a benchmark in textile industry.
We wish you all the success for your future endeavors.
Siddharth Rath
President, Corporate Banking
Axis Bank
TM
Clariant Monforts
On this occasion, we congratulate Alok Industries on " We are proud to have had the chance of contributing
successful completion of 25 golden years. The young Alok towards Alok's leadership in best-in-class technology and
group is marching ahead with grand success and new uncompromising quality standards."
landmarks. Jochen Stillger,
Alok Industries, as a textile unit, is a 21st Century state-of-art Vice President of Sales and Marketing
model. The product profile and the quality norms are one of Monforts
the key factors of its success. Today, this group has its own
trade mark in Home textile, Apparel's, Towels and Garment
segment. Alok has elite brand of International buyers and
stores of repute as potential customers.
As a specialty chemicals and dyes supplier, Clariant has had
a pleasant experience in working closely with Alok and looks
forward to enhance this business association to higher
levels. We will play an active role in the reliable quality by
supplying Alok with our best of product profile and by being
sensitive to their competitiveness in their market.
We wish Alok Industries a grand success and I am sure,
together we will become an icon in Textile Industry.
Ramesh Agrawal
G.M –Marketing
Clariant Chemicals (India) limited
DyStar Benninger
From the company's incorporation in 1986, Alok Industries The management team and all the employees of Benninger
Limited has relentlessly pursued its vision to be the world's Group and Benninger India Pvt Limited congratulate the
largest and the best textile solutions enterprise. The Board of Directors, Management as well as all the
company has achieved a historic revenue milestone of Rs. employees of Alok Industries Limited upon the -completion
6000 crores in the financial year ending March 2011. The of 25 glorious years.
benchmarks it has set in terms vertical integration, Our association with Alok Industries Limited started in the
diversification, export performance, profitability and net year 1991 as suppliers of “State-of-the-Art Technology” for
worth reflect the quality of management and execution at its Textile Finishing.
best. The company's initiatives towards sustainable
development ranging from women empowerment to Throughout our association with Alok Industries Limited, we
partnering with Zameen Organic set a standard for fair trade have found their management and team enthusiastic to
and ethical organic cotton supply chain. adopt new technology and new processing methods in
order to ensure high quality
As the world's largest dyestuff manufacturing company, we Home Textiles and Apparels to their customers.
are proud to be associated with Alok Industries Limited, as a
partner and key strategic supplier for dyes and chemicals. It We are proud to have been associated with the market
is also our privilege to be associated with Alok in a unique leader Alok Industries Limited.
skill development initiative for the industry, 'The Advanced Benninger India Limited
Academy for Development of Textile Technologist (AADTT)'. Machinery Manufacturer - India
On behalf of DyStar, I congratulate Alok Industries Limited
for 25 years of existence and continuous achievement and
wish them more success to make the nation proud!
Rajesh Balakrishnan
President South Asia, Managing Director
DyStar India Private Limited

BASF
Alok Industries Limited is one of India's largest vertically integrated textile producers today. The growth of the company has
been breathtaking right from its inception in 1986 when it started as a Private Limited Company. Its plant at Vapi uses state
of art machinery, backed by a well-equipped testing laboratory and skilled technicians. The manufacturing process is
mostly automated with little scope for human error. The raw material used is of top quality which shows Alok's adherence to
good quality in its products. The Environment, Health & Safety norms followed by Alok are amongst the best in the world.
With such a set-up it is hardly surprising that Alok has successfully penetrated key world markets like European Union and
The USA and has gained an appreciable share
Alok Industries is always on a lookout for innovation in machinery, dyes, chemicals and manufacturing processes. This has
kept the company ahead of others in offering differentiation to its customers. Headed by a competent, knowledgeable and
experienced top management team, Alok Industries is sure to scale newer heights in the future
We at BASF India have always stood by Alok Industries over the past decade and taken pride in growing with it. We do our
best to provide solutions to support Alok Industries to be successful. Our relationship has grown stronger over the years.
As an ardent well-wisher of Alok Industries Limited, we wish the company & its stakeholders all the very best on the
occasion of its silver jubilee. May it grower stronger every year and make our Country proud by its accomplishments in
international markets
Murli Ramalingam
Textile Chemicals
BASF - The Chemical Company, India
Rieter
Alok Industries has demonstrated an amazing pace of Caledonia Investments
diversification and expansion to become one of the
As a substantial shareholder on the Board of Alok Industries,
leading integrated manufacturers of home textiles and represented by Tim Ingram since 2004, Caledonia Investments
garments. As a vertically integrated textile group, Alok has been in a position to witness the unflagging energy and
derives tremendous strengths via economies of scale, dynamism of Alok's team, for whom we have the greatest respect,
to offer ultimate benefits to its customers. as well as enduring friendship.
Alok stepped up its global profile by opting for Reiter as In the seven years of our association, the team has generated
extraordinary growth in production and sales, building one of the
a system supplier in 2007, with a trend setting highly
world's largest and most efficient vertically integrated textile
automated compact spinning installation. manufacturing facilities. The Alok Group now employs over
It has been a privilege for Rieter to develop this 23000 people and provides a growing set of social amenities for
them. Alok is also a major exporter worldwide.
association further. With considerable potential for
process optimization, Alok continues to improve its We congratulate all concerned on Alok's 25th anniversary and
comprehensive offering to its customers from a single send to the company, its promoters and staff every best wish for
a happy and prosperous future. Many thanks and best wishes.
source.
Tony Hambro
Rieter Machine Works Associate Director
Rieter India Private Ltd. Caledonia Investments
TM
board of directors Mr. Ashok B. Jiwrajka (60) is the Executive Chairman of the
Company. Mr. Jiwrajka completed his schooling and college from
Mumbai After a brief stint with two then leading textile companies, he
joined the family partnership firm and went on to co-promote Alok
Industries Limited in 1986 with his two brothers. Mr. Jiwrajka has a
rich experience of over three decades in textiles. His functions as the
Executive Chairman include participating in strategizing the
company's growth trajectory besides overseeing the cotton yarn and
home textile segment.
Mr. Dilip B. Jiwrajka (54) is the Managing Director of the Company.

Mr. Jiwrajka did his schooling and college from Mumbai and
subsequently his post-graduation in Business Entrepreneurship and
Management. In the early 80s, he started the business of trading in
textiles mainly for the readymade garment sector. Starting with a
partnership firm, he gradually co-promoted Alok Industries Limited in
1986 along with his two brothers. His functions as the Managing
Director include envisioning the company's growth strategy,
responsibility for the apparel fabric and garment segments. He also
oversees the Finance and Administration functions of the company,
besides managing the operations of the overseas subsidiaries.
Mr. Surendra B. Jiwrajka (52) is the Joint Managing Director of the

Company. Mr. Jiwrajka's schooling and college were completed in
Mumbai. Immediately after his graduation, he joined the family
partnership firm for trading in yar n and thereafter
co-founded Alok Industries Limited in 1986 with his two brothers. Mr.
Jiwrajka brings with him an invaluable experience of over 25 years in
textiles. As the Joint Managing Director, he plays a critical role in
charting the company's growth strategy, oversees the manufacturing
and marketing functions of the polyester segment, domestic retail
'H&A' and is responsible for all capital expansion projects.
Mr. Chandra Kumar Bubna (58) is the Executive Director of the

Company. He has been partnering with the promoters since 1982
and is associated with the company since May 1993 as a Board
member in the capacity of an Additional Director and thereafter as
Executive Director from May 1995. He is a graduate in commerce
andassociated with the textile industry in the field of marketing for
about four decades. He manages the Company’s marketing
operations for the entire northern region and is also actively involved
in the planning and execution of the Company's marketing strategies.

Mr. Ashok G. Rajani (62) is an Independent Director of the company
since 27 May 1993. He is a graduate in commerce and the Founder
Chairman of the Midas Touch Group and Midas Touch Apparel
Private Limited, one of the leading garment export companies in the
country. He has valuable experience in the field of garment
manufacturing and exports. He is associated with various garment
and textile organizations. He was the Chairman of the Export
Promotion Committee of the Apparel Export Promotion Council and
is a member on its Executive Committee. Till recently he was the
President of The Clothing Manufacturers Association of India and
was on the Board of Governors of The National Institute of Fashion
Technology.
Mr. K.R. Modi (69) is an as Independent Director of the company

since 10 November 1994. He is an Advocate and Solicitor by
profession with over 40 years experience. His academic
qualifications include a Bachelor Degree in Arts and Law. He was a
Senior Partner with Messrs Kanga & Company, a reputed firm of
Advocates & Solicitors in Mumbai, who act as the ompany's Legal
Advisors. He is well versed with the matters relating to Company Law
and other allied acts.
board of directors
Mr. Timothy Ingram (64) is an Independent Director of the company

since 29 July 2005. He has done his Masters in Arts and Economics
from Cambridge University, an MBA from INSEAD Business School
and is a Fellow of the Chartered Institute of Bankers. He spent most
of his career in banking (Grindlays Bank, ANZ, Abbey National) and
then in 2002 became CEO of Caledonia Investments plc, a UK listed
investment company. He retired from Caledonia Investments in 2010
and is now Chairman of Collins Stewart Hawkpoint plc, a UK listed
investment banking and wealth management business.
Mr. David Rasquinha (50) is an Independent Nominee Director of

the company since October 2009, nominated by Export Import Bank
of India. He holds a first class graduate degree in Economics from
Bombay University. He also holds a Post Graduate qualification in
Business Management from XLRI, Jamshedpur, where he was
awarded a Gold Medal in Economics. He is with Export Import Bank
of India since 1985, presently designated as Chief General Manager
and heads the project and trade finance group. He has a wide range
of exposure and experience in the fields of export credit, treasury,
multilateral agency funded projects, planning & research, risk
management, trade finance and project finance.
TM
Mrs. Thankom T. Mathew (58) is an Independent Nominee Director
of the company since October 2009, nominated by Life Insurance
Corporation of India. She is M.Sc (Chemistry) and joined LIC of India
as Assistant Administrative Officer (AAO). She is presently working as
Executive Director (Underwriting and Re-Insurance) with LIC of India.
She has over 30 years of experience and specialises in the fields of
marketing, finance, underwriting, administration and audit.
Mr. M.V. Muthu (65) is an Independent Nominee Director of the

company since April 2011, nominated by IFCI Limited. He has done
his BSc, ANSI – Sugar Technology, Programme in Investment
Appraisal and Management from Havard. Mr. Muthu has rich and
varied experience in the manufacturing segment and also in Financial
services for over three decades. He joined IFCI Ltd as Asst. Technical
Officer and served there in various capacities. He retired as CEO from
IFCI Limited. He was Chairman of IFCI Venture Capital. He served on
Boards of ITC and Andhra Pradesh Paper Mills Limited. He is also on
the Expert Panel of the Technical Development Board of Government
of India as a Finance Expert.
board of directors
Ms. Maya Chakravorty (46) is an Independent Nominee Director of

the company since June 2011, nominated by IDBI Bank Limited. She
is B. E. (Chemical), MBA and CFA. She has rich and varied experience
of over two decades. She joined SAIL as Management Trainee,
worked with ONGC as Asst. Executive Engineer (Production) for 3
years. She joined IDBI Bank Limited as Manager and is presently the
General Manager (Treasury), where she is in-charge of liquidity / fund
management, resource mobilisation, statutory compliances like CRR
/ SLR, PD operation, etc.,

young leaders
Seated : Niraj D. Jiwrajka

Standing L to R : Alok A. Jiwrajka, Varun S. Jiwrajka
Alok Jiwrajka
Alok, 34, has done his schooling and college from Mumbai before graduating with a BBA from the
Loyola University in the United States of America.
Soon after completion of his overseas education program, Alok was given the responsibility of the
fledgling home textile business. His sharp business acumen, a management style based on
delegation and customer-centric skills have come together to develop this segment into close to a
Rs. 1000 crore business for your company with the share of exports in this constituting over 95%.
In a relatively short span of time, he has built strong business relations with customers and his focus
continues to be to grow this business, introduce innovative finishes and penetrate newer
geographies as a de-risking measure.
Varun Jiwrajka
Varun, 26, is an alumnus of the University of Southern California in Los Angeles. He completed his
schooling and college from Mumbai.
Varun assumes responsibility for the performance of “H&A”, the domestic retail venture of Alok
Industries Limited (Alok) managed by a wholly owned subsidiary, Alok H&A Limited. His dynamism
and entrepreneurial instincts have combined to catapult H&A into one of the largest retail chains in
the country with close to 400 stores, including shop-in-shops. Being a part of the core
management team, Varun is now grooming himself to handle the reins of the polyester business of
Alok.
Varun carries a pleasing demeanour and counts people skills as amongst his stronger attributes.
Niraj Jiwrajka
Niraj is 25 years of age and has done his BBA from the British American College in the United
Kingdom after completing his schooling in Singapore.
Three years after being inducted into the business, during which time, he spent time across various
functions Niraj today holds charge of the Knits division. He has been steadily enhancing the
prospects of this segment, achieving a growth rate of over 50% in the year under review.
Niraj believes in human capital as the most important asset of your company and encourages an
entrepreneurial style of working. He is currently involved in developing new markets and products
as also streamlining plant efficiencies.
TM
TEAM H.O.-SR. MANAGEMENT
core team
Seated L to R - Alok Mehrotra, Rohit Seru, Preeti Rane, R. Rajaram, Shaji Varghese
Standing L to R - K.H. Gopal, Romi Agarwal, Anil Nair, Kalpesh Shah, Sunil Mehta, Deepak Mehta, Alok Bahadur,
Madhusudhan Nagori, Suraj Alva, Sunil Khandelwal, Mesmer Michaeli
TEAM H.O.-MIDDLE MANAGEMENT
Seated L to R : Ashok Marathe, Dhruva Mall, Rakesh Rastogi, Yogesh Kalia, Ramesh Jain, Sunil Krishnan, Prasanna Kumar
Standing L to R : Husain Tayebkhan, Jitender Kumar, Virendra Rathi, K M Premkumar, Hitesh Shah, Jayesh Mehta, Ashish
Khandelwal, Ajay K Narayanan, Gloria Sequiera, Rasika Jaywant, Minu Mishra, Narinder Thapa, Girish Mahajan, Sanjeev
Pandey, Ashok Kumar, Shankar Singh Rawat, Hari Menon, Vipul Doshi, Sarweshwar Mantri, Thirupathi Talla, Rajnish Kharkar.

TEAM H & A
core team
L to R - Ashmeer Sayyed, Venkatesh Rajamani, Reshabh Raizada, Vidyadhar Hegde, Nitin Jayawant, Pinesh Mehta
DESIGN TEAM H.O.
Seated L to R : Payal Seth, Nelson Jaffery, Saumya Mishra

Standing : Adnan Nulwala.
TM
TEAM POLYESTER,WEAVING,KNITTING - SILVASSA
core team
Seated L to R - Sanjav Sachdev, K.V.S Nair, Ganesh Gupta, RB Mahapatra, Sudhir N Singh, Rambilas Bidada, Tulsi Karnani
Standing L to R - Balraj Rastogi, R.B. Maid, Akhilesh Shukla, Kamal Tiwari,Sashi Bhushan Sharma , Rajiv Sharma, Supriyo
Sarkar, Paresh Kulakshetra
TEAM SPINNING - SILVASSA
First Row L to R: S.P. Yadav, S. Mukerjee, S. Banerjee, T.N. Singh

Middle Row L to R: Murthy, Shankargowda, S.K. Agrawal, K.K. Dutta, M. S. Khaturia, M. S. Parkhi
Back Row L to R: R. Khalate, S.T. Jadhav, M. Joshi, C. Sharma, D.P. Singh, Siv Kumar, N. Mishra, A. M. Ranjan

TEAM MADEUP & GARMENTS - SILVASSA
core team
L to R : Amit Meghani, Rajesh Chauhan, Ashok Thakkar, Iqbal Delar, K. S. Sandhu
TEAM HEMMING - SILVASSA
Front Row: Sunil Mishra, Mala Mukerjee, Amir Patel, Vipul Bhagat
Back Row: Amitava Adhikary, Vinay Sharma, Keshav Chaudhary, Rohidas Baviskar, Bharat Sukhwal
TM
TEAM PROCESSING - VAPI
core team
Seated L to R: S.P. Bubna, Bhuvanesh Gupta, H.H. Vasvani, S.C. Goyal, S.S. Aich, S. Giridhar, Gautam Goswami.
Standing L to R: Munish Sharma, Leeroy Fernandis, Gurpal Singh, Digvijay Singh, Santosh Jagtap, Daxesh Lala, Premendra
Gopal, Qudus Munawar.
TEAM PROCESSING- PAWANE
Seated L to R: Anil Patel, Raju Kapadia, Umang Garg,Rajesh Khandelwal, Tushar Chakraborty.
Standing L to R: Pravin Chaskar, Umesh Devatarase, Kuriakose Polly, A. R. Sheikh, Pradeep Jadhav, Vaibhav Dhure, Atul
Mishra, Ranjan Panigrahi, Niranjan Sajnani, Sandeep Upadhyaya,

TEAM TERRY TOWEL - VAPI
core team
Seated L to R: Santosh Pandey, S. Giridhar, S. S. Rathod

Standing L to R: Anurag Singh, Kishor Prayag, Rahul Guleria, B.K. Singha, Somendu Sen, Nilesh Gore, Vinod Tomar, Umapati Lal,
Arvind Kate
TEAM MADEUP & GARMENTS VAPI
L to R: S.P. Bubna, Monish Shah, S.C. Goyal, S.S. Aich, Leeroy Fernandes
TM
TEAM-MILETA
core team
Front Row L to R : Anna Turkova, Oatakar Patracek, Katerina Moravcova, Kamath Gopinath, Dinesh Mall, Zdenek Sedlak
Back Row L to R : Oldrich Cermack, Josef Vydra, David Trnka, Jana Kloutvorova, David Bauer, Stanislav Rydval
TEAMS-MARKETING
SRILANKA BANGALORE
Seated L to R : Kalid Fayiz, Nilesh Jabade & Niroshan Senthil Kumar, C K Mukundan
DELHI CHENNAI
Front Row L to R : Parveen Kumar, Mohit Goel, Vimal Chaturvedi, Brig Naveen Sodhi, K. Sairam
Vishal Datta, Vikas Jain
Back Row L to R : Amit Tripathi, Aman Sihmar, Lalit Ramola, Kumar Gaurav, Vivek
Sangwan, Hemant Saharia, Rohit Gupta, Satyam Bharti, Ajay Singh

TEAMS-STORE TWENTY ONE
UNITED KINGDOM
L to R: Stephan Hewson, Anupam Jhunjhunwala, Cath Norgate, Mark Wastmoreland, Jacqui Harris, Doug, Sinclair, Dean
Cunningham, Nicola Jamieson, Louise Bramwich
core team
DELHI CHINA
Seated L to R: Arpita Saha, Jasmeet Saluja Front Row L to R : Leary, Joey, Yuki, Heidi, Saeah
Standing L to R: Munishh Bagga, Yogesh Adhikari, Imran Khan, Atul Middle Row L to R : Cathy, Vickie, Mandy, Banny
Singh, Indru Vaswani, Narendra Negi, Hassim Khan Shreya Bakshi, Back Row L to R: Jason, Phonix, Prashant Khadji,
Sher Singh Sachin Surve, Frank, Gloria
MUMBAI
L to R: Rahul Patki, Neelam Surve, Dipti Rathod, Disha Nagpal, Vincent Paul
Naem Gawhar
Country Manager
BANGLADESH
Front Row L to R : Md.Lutfor Rahman, Sakthi Saravanan, Atul Singh, Saud Siddiqui, Gauranga Mandal, Robiul Islam,
Md.Jahangir Hossain, Md.Riazuddin
Back Row L to R : Md.Mazharul Islam, Md.Anwar Hossain, Md.Mozammel Haque, Md.Mushfiqur Rahman, Joyto Noyan
Sarker, Mashekur Rahman, Md.Salim Hyder, Abu Sayeed Molla, Moinul Islam, Ahsan Ebne Zakaria, Md.Anisur Rahman
TM
GENERAL INFORMATION
Bankers Legal Advisors & Solicitors

Allahabad Bank Kanga & Co.
Andhra Bank
Axis Bank Limited Chief Financial Officer
Bank of Baroda Sunil O. Khandelwal
Bank of India
Bank of Maharashtra
Canara Bank President Corporate Affairs & Company Secretary
Central Bank of India K. H. Gopal
Corporation Bank
Dena Bank Demat ISIN Number in NSDL & CSDL
Export Import Bank of India Equity Shares - INE 270A01011
Indian Bank
IDBI Bank Limited Website Address
ING Vysya Bank Limited www.alokind.com
Oriental Bank Of Commerce
Punjab National Bank E-mail Address
Standard Chartered Bank. [email protected]
State Bank of Bikaner & Jaipur
State Bank of Hyderabad Registered Office
State Bank of India 17/5/1 & 521/1 Rakholi/ Saily, Silvassa-396230
State Bank of Mysore Union Territory of Dadra and Nagar Haveli
State Bank of Patiala
State Bank of Travancore Corporate Office
Syndicate Bank Peninsula Tower,
The Jammu & Kashmir Bank Limited Peninsula Corporate Park,
The Federal Bank Limited G. K. Marg, Lower Parel,
The Karur Vysya Bank Limited Mumbai - 400 013
UCO Bank
United Bank Of India
Vijaya Bank Marketing Offices
Domestic
Statutory Auditors Delhi
Deloitte Haskins & Sells F-2/9, 1st Floor, Okhla Industrial Estate
Chartered Accountants Phase I
Gandhi & Parekh New Delhi – 110 020
Chartered Accountants
Bengaluru
Internal Auditors 8-3/1, Pentaford Tower,
Bhandarkar & Co. Langford Town, Shanti Nagar,
Chartered Accountants Langford Road
Devdhar Joglekar & Srinivasan Bengaluru – 560 025
N.T. Jain & Co., Chennai
Chartered Accountants 156, First Floor, Doshi Towers
Shah Gupta & Co. Poonamallee High Road, Kilpauk,
Chartered Accountants Chennai – 600 010
T.R. Chadha & Co.

Overseas Weaving
Sri Lanka a) 17/5/1 & 521/1, Rakholi / Saily, Silvassa,
26, Hallmark Building, Vajira Road, Union Territory of Dadra & Nagar Haveli.
Colombo – 04, b) 209/1 & 209/4,
Sri Lanka Dadra, U. T. of Dadra and Nagar Haveli.
c) Babla Compound, Kalyan Road,
Bangladesh Bhiwandi – Dist. Thane
House # 15A, (5th Floor)
Road # 5, Block – F, Processing
Banani, Dhaka – 1213, a) 254, 261, 268, Balitha,
Bangaladesh Taluka Pardi, Dist. Valsad, Gujarat
China b) C-16/2, Village Pawane,

Room No 701, TTC Industrial Area, MIDC, Navi Mumbai
Youngong Communication Plaza,
Dist. Thane.
East Wing Building, Zheijiang,
China
Knitting
412, Saily, Silvassa
Union Territory of Dadra & Nagar Haveli
USA
1) 7 West, 34th Street,
Hemming
Suite # 607, New York – 10001
103/2, Rakholi, Silvassa,
2) 123 OAK, Lawn Avenue,
DALLAS, TX75207
Polyester Yarn (POY & Texturised Yarn)

Czech Republic
521/1, Village Saily, Silvassa,
Husova 734, 508 01 Horice
Czech Republic Union Territory of Dadra & Nagar Haveli
British Virgin Islands Garments

Pasea Estate, a) 374/2/2, Saily, Silvassa Khanvel Road,
Road Town, Tortola Union Territory of Dadra & Nagar Haveli.
British Virgin Islands b) 17/5/1, Rakholi, Silvassa,
Listing & Code c) 273/1/1, Hingraj Industrial Estate,
Bombay Stock Exchange Limited (521070) Atiawad, Daman
National Stock Exchange of India Limited (ALOKTEXT
EQ) Home Textiles
Bed Linen
Registrar & Share Transfer Agent a) 374/2/2, Saily, Silvassa
Link Intime India Private Limited Union Territory of Dadra & Nagar Haveli
C-13 Pannalal Silk Mill Compound, b) 149/150, Morai Taluka,
L.B.S. Marg Bhandup (West), Pardi, Dist. Valsad,
Mumbai- 400 078 Gujarat
Works Terry Towel

Spinning 263/P1 and 251/2P1 Balitha,
412, Saily, Silvassa, Taluka Pardi, Dist. Valsad
Union Territory of Dadra & Nagar Haveli Gujarat

FINANCIAL HIGHLIGHTS
(` crore)
Particulars 2010-11 2009-10 2008-09 2007-08 2006-07
Operating profits
Net Sales 6,388.43 4,311.17 2,976.93 2,170.41 1,824.68
Operating Profit 1,756.35 1,272.48 822.61 547.75 410.96
Depreciation 518.79 362.61 233.50 161.96 123.04
PBIT 1,237.56 909.87 589.11 385.79 287.92
Interest 654.37 535.08 304.12 131.83 89.04
PBT (operating) 583.19 374.80 284.99 253.96 198.88
PAT (operating) 404.36 247.34 188.37 167.73 135.18
Cash Profit 1,039.51 711.89 513.98 393.14 302.50
Dividend 22.97 22.97 17.28 26.28 28.75
Net Cash Accruals 1,016.54 688.93 496.70 366.86 273.75
Financial Position
Gross Fixed Assets 10,075.53 8,215.61 6,692.71 4,368.05 2,954.20
Net Fixed Assets 8,488.41 7,145.11 5,983.86 3,891.30 2,583.80
Current Assets 5,611.55 4,801.88 2,685.93 3,377.53 1,992.66
Foreign Currency Translation A/c (0.22) 0.17 11.20
Investments 167.18 229.69 478.58 618.96 219.49
Total Assets 14,266.92 12,176.85 9,159.58 7,887.79 4,795.95
Equity Share Capital 787.79 787.79 196.97 187.17 170.37
Reserves & Surplus 2,309.80 1,928.40 1,410.39 1,134.01 854.07
Tangible Net Worth 3,097.59 2,716.19 1,607.36 1,321.18 1,024.44
Share Application Money – – 137.50 – –
Share Warrants – – 10.20 110.16 –
Quasi Net Worth – 1 3,097.59 2,716.19 1,755.06 1,431.34 1,024.44
Deferred tax liability – 2 507.66 406.98 307.97 210.48 141.82
Total Long Term Borrowings
Secured Loans 6,967.46 6,056.69 4,948.43 3,706.66 2,049.13
Unsecured Loans – FCCB – 107.21 121.01 94.87 202.87
Unsecured Loans 162.22 272.81 51.09 103.28 6.48
7,129.68 6,436.71 5,120.53 3,904.81 2,258.48
Total Short Term Borrowings
Secured Loans 889.98 1,186.19 608.64 550.00 215.00
Unsecured Loans 764.95 43.00 168.02 745.01 294.36
Working Capital Borrowings 868.96 843.78 699.16 567.49 568.92
2,523.89 2,072.97 1,475.82 1,862.50 1,078.28
Total Borrowings – 3 9,653.57 8,509.68 6,596.35 5,767.31 3,336.76
Current Liabilities & Provisions – 4 1,008.10 544.00 500.19 478.66 292.93

Total Liabilities – 1 to 4 14,266.92 12,176.85 9,159.58 7,887.79 4,795.95
EPS 5.13 4.57 9.64 11.40 9.70
CEPS 12.90 9.04 24.04 20.53 16.99
Book Value 39.32 34.48 89.10 76.47 60.13

KEY RATIOS
Particulars 2010-11 2009-10 2008-09 2007-08 2006-07

Profitability Ratios
EBITDA (%) 27.49% 29.52% 27.63% 25.24% 22.52%
Profit Before Tax Margin (%) 9.13% 8.69% 9.57% 11.70% 10.90%
Profit After Tax Margin (%) 6.33% 5.74% 6.33% 7.73% 7.41%
Return on Net worth (%) 11.22% 7.92% 9.13% 10.22% 11.52%
Return on Capital Employed (%) 11.53% 9.52% 8.20% 6.96% 8.41%
Balance Sheet Ratios

Net Debt (Long Term) – Equity including 1.66 1.62 2.31 1.36 1.26
Deferred Tax Liability
Net Total Debt – Equity including Deferred 2.36 2.28 3.03 2.49 2.19
Tax Liability
Current Ratio 1.59 1.83 1.36 1.44 1.45
Liquid Ratio 1.02 1.27 0.88 1.15 1.11
Coverage Ratios
PBDIT/Interest 2.68 2.38 2.70 4.15 4.62
Net Fixed Assets/Secured Loans 2.64 2.28 1.89 1.73 1.37
(1st Charge holders)
Working Capital Turnover Ratio 0.33 0.51 0.24 0.48 0.34
Debtors Turnover – Days 99 93 108 102 109
Inventory Turnover – Days 114 125 116 116 93

CHAIRMAN’S MESSAGE
Dear Shareholders, The strategic investments into Realty and overseas retail too,
It gives me pleasure in sharing with you that in March 2011, , are starting to create value on their own. Alok Industries looks
your company, Alok Industries Limited achieved a land mark forward to monetising these strategic investments as these
of 25 years of its incorporation. This 25 years of journey has assets are now ready and Should yield significant revenue.
been very enriching, mixed experience and we have learnt and
Macro-economic trends suggested that global economic growth
matured in the process.
was back on track. You would recollect that in the calendar year
Looking back today, Alok has evolved into a integrated (CY) 2009, global output had actually reduced by 0.5% with
manufacturer and has emerged as world class Textile solution advanced countries witnessing output contraction by (-) 3.4%.
provider in apparel fabrics ,home textiles, garments, and Even emerging and developing economies, who were earlier
polyester yarns, selling directly to some of the world’s top brands growing by over 6.5%, witnessed a reduction in growth rate to
and retailers, manufacturers, exporters and importers.,. Its core 2.7%. By the end of 2009 we had already started observing
textiles business has the unique positioning of being integrated
encouraging trends in the emerging economies of China and
across the cotton and polyester fibre production chains and
India, and in the world’s largest economy – USA. Fortunately,
has the flexibilities in capacity to optimise opportunities in
this was no aberration and the positive trend continued through
the ever changing market. In addition, during this period, the
CY2010. Most of the developed economies bounced back –
Company has established strong relationships with sales
channels and customers both in the domestic and export USA grew by 2.8% in CY2010 against (-) 2.6% in CY2009; the
markets. Euro Zone grew by 1.7% in CY2010 against (-) 4.1% in CY2009;
and Japan grew by 3.9% in CY2010 against (-) 6.3% in CY2009.
More particularly, your Company has utilised the last decade to
create competitive and world class capacities and capabilities, The revival has been even more rapid in the emerging and
which need to be optimally utilised in the coming years. The tree developing economies. As a group, these countries witnessed
has been planted which is ready to bear the fruits. a much higher output growth of 7.3% in CY2010. Estimates
suggest that China grew by around 10% in CY2010, while India
On 25th anniversary , there are several reasons to celebrate. We
have gained a strong footing in the global textiles and apparels recorded a GDP growth of 8.5% in 2010-11, on the back of 8%
market, completed projects and commissioned capacities growth in 2009-10. And, the global economy has recovered to
across products according to plans, and grown into a Company record a growth of 5% in CY2010.
with a turnover over of ` 6,388 crore in 2010-11 and emerged Estimates suggest that driven by strong demand with
as one of the largest integrated textile manufacturing company improvement in economic conditions, world textile fibre
in the global textile market. Today, it gives me and the team consumption grew by 5% and hit record levels in CY2010.
at Alok even more satisfaction to look forward at the potential The demand pull led to a steep price increase in the dominant
for quantum growth that lay ahead. The spade work has been fibre – cotton. Consequently, by the end of 2010-11, there was
done and most of the large investments are in place. The next a move towards man-made fibres and polyester demand and
decade will be about sweating assets and reaping benefits while prices started to rise. There will be short term issues across
maintaining the growth momentum. different parts of the textile value chain given changes in trends
CHAIRMAN’S MESSAGE
and choices. However, over a longer term the important thing is Return on Capital Employed (ROCE) was 11.53% in 2010-
demand is back on a global footing. 11, up from 9.52% generated in 2009-10
With an anticipated CAGR of 5.7% for the five-year period 2009- Net cash flow from operating activities increased by 526%
2014, the global textiles market is expected to grow to $1,369.8 from ` 184.56 crore in 2009-10 to ` 1,155.87 crore in 2010-
billion by the end of 2014. In this growing global market, India has 11
great potential to grow its textiles and apparel output by serving If this trend is maintained and hopefully further improved in the
both its growing domestic market and exports. In fact, given its coming years, I am sure we will succeed in the third endeavour
competitive cost structures, estimates suggest that India’s US$ of reducing financial debt. In this respect, it is also heartening to
70 Billion Textile and Apparel industry has the potential to grow note that our primary investments are also starting to move in
at 11% per annum to reach US$ 134 Bn in 2015. the right direction.
Alok has positioned itself as a large integrated player with world The retail operations, both at home and in UK are starting to
class standards and production across both the polyester and gain traction and moving towards profitability. The `H&A’
the cotton chain and as such, has ensured that it has market for chain of stores continued to spread its stores across India
its wide range of products in any global scenario. with a total of 291 outlets (including shop-in-shop) by the end
Your Company continued to progress in utilising all the of 2010-11. The target is to have about 500 stores operational
opportunities during 2010-11. The highlights of the financial over next two years. Alok H&A Limited recorded sales of
performance, on a stand-alone basis are: ` 40.37 crore in 2010-11 and generated cash profits. `Store
Twenty One’, the UK retail chain of value-format stores did
Net Sales increased by 48.18% from ` 4,311.17 crore reasonably well during the year. The company for the first time
in 2009-10 to ` 6,388.43 crore in 2010-11. Growth has shown a positive EBITDA of £ 1.71 mn in 2010-11. For the
was driven by a 51.55% increase in domestic sales – 12 month period ended March 2011, the stores have registered
` 4, 171.00 crore in 2010-11 against ` 2,752.18 crore in sales of £ 129.75 mln as compare to £ 117.06 mln in FY 2010 – a
2009-10; and exports increased from ` 1,558.99 crore in growth of 10.84%.
2009-10 to ` 2,217.43 crore in 2010-11 – growth of 42.24%.
Even the international operations of the Czech subsidiary –
Earnings Before Interest, Depreciation, Tax and Mileta – have turned around. Net Sales grew by 3.02% from
Amortisation (EBIDTA) increased by 38.03% to ` 1,756.35 € 19.85 million in 2009-10 to € 20.45 million in 2010-11. This
crore in 2010-11 against ` 1,272.48 crore in 2009-10. Given revenue growth has contributed to PBT turning around from a
the high material costs, EBIDTA margins reduced from deficit of – € 1.54 million in 2009-10 to profits of € 0.70 million
29.52% in 2009-10 to 27.49% in 2010-11 in 2010-11.
Profit Before Tax (PBT) increased by 55.60% from ` 374.79 The commercial real estate projects are also completed and we
crore in 2009-10 to ` 583.19 crore in 2010-11. Profit After look forward to monetising these assets in the near future and
Tax (PAT) was 404.36 crore; a growth of 63.48% over ` use the proceeds to repay consolidated debt.
247.34 crore PAT generated in 2009-10
I urge you to read the details of our operations in 2010-11 that
Return on Net worth (RONW) improved from 7.92% in 2009- has been detailed out in the chapter on Management Discussion
10 to 11.22% in 2010-11. This was driven by the growth in and Analysis.
sales and profits Your Company also appreciates that this performance level
These results primarily describe the performance of the textile cannot be reached and sustained without the right quality of
operations, which is the core business of the Company. people. With this belief, your Company has laid significant
Importantly, all the divisions within this business across the emphasis on its HR practices. There are concerted efforts to
textile value chain have contributed positively to this growth. ensure that the most appropriate people are recruited into the
The company faced challenges in terms of cost of raw materials, organisation. A culture of training, people development and
especially cotton. While the company continued to focus and meritocracy to ensure that maximum human capital efficiency is
reduced people costs, interest costs and other overhead costs continuously promoted across the Company and its subsidiaries
as a ratio to sales, it could not offset the rise in material costs and associates. At the same time, employees have the
completely and profit margins were affected to same extent. satisfaction of working in an organisation that encourages skill
We continue to make all efforts at improving value additions, development and learning and monitors career growth.
reducing operation costs and improving efficiencies to overcome I would like to take this opportunity to thank each and everyone
higher input costs, which is a reality that the industry has to associated with the Alok Group in its journey over the past 25
face in the near future. Going forward, we believe that higher years and going forward. Let me also extend a special word of
economies of scale with the added capacities coming on stream gratitude to all our vendors, customers, bankers and government
will help in improving ROCE. authorities. Finally, to you, our shareholders, thank you for
reposing faith in our business.
As I have said, the focus for the next round of growth is to get
greater returns from investments, generate more free cash in the Yours Sincerely,
system and financially deleverage the business. On two of these
fronts, ROCE and cash generation, already there were positives Ashok B. Jiwrajka
in 2010-11. Executive Chairman

MANAGING DIRECTOR’S MESSAGE
It gives me great pleasure and sense of pride in seeing your Company entering its landmark
25th years. Your continued support and faith in your Company has helped it reach this far.
With a vision to emerge as a leading player in the global textile industry, your Company
started off its operations in 1986 as a small venture promoted by a group of people who had
only their passion and entrepreneurial ability to bank on. Your company is now in its Silver
Jubilee year as a leading integrated textile enterprise with a significant presence on the
cotton and polyester segments.
I am seeing a world of opportunity for your company to carve out a greater share in the textile
industry, especially in the technical textile and work wear space and your company will
spare no effort in asserting itself as a dominant player in this segment too.
This year and the next should also see your company deriving benefits of additional cash
flows through sale of its realty projects .
On the eve of the completion of 25 years, I wish to reiterate that your company remains on a
firm growth trajectory and your unwavering support will enable it to scale greater heights in
the years to come.
I thank every one of you for your tremendous commitment and look forward to your
continued support.
Dilip B. Jiwrajka
Managing Director

JOINT MANAGING DIRECTOR’S MESSAGE
I am delighted to share my thoughts with you on the occasion of the 25th year of your
company.
This is a special time in our company's history as we celebrate our 25th anniversary. We
were incorporated on March 12, 1986, and have spent these years continuing to build our
brand, which stands for our commitment to deliver Integrated Textile Solutions.
There are quite a few employees who have been with us since the beginning.
There's a reason why they are still there. It's the culture at Alok where the emphasis is on
personal development. It's the growth, change and flexibility they been able to enjoy over
the years. People are positive and the feel of each location is positive.
Alok is indeed a remarkable company.
Looking ahead, we are focused on accelerating the execution of our growth strategy,
especially on the polyester side, while continuing to build on the strength of our brand. We
will continue with our endeavour in helping our customers achieve high performance while
bringing about a positive change to the environment in which we work and live. I am excited
about this journey and truly believe the best of Alok is yet to come.
We thank you for your support and co-operation demonstrated thus far and are proud to
work with you towards a shared future.
Surendra B. Jiwrajka
Joint Managing Director
TM
did you know
Alok's Logo was created in 2000 as a reflection of the
Company's growing presence in areas of core
competencies. The 'A' in the symbol is presented in an
integrated arrangement, which nonetheless leaves ample
room, scope and freedom for growth within its free-flowing
lines. It represents the integrated units of the Company. In
addition, the clean lines depict modernity and steadfastness
of purpose. An open attitude that on the one hand establishes
a towering leadership as well as on the other, an openness to
the customer.
The bottom swoosh depicts a reach within boundaries that
could be termed as limitless, spanning the world as it were.
The two basic colour combination Blue and Red also enhance
the symbol's noticeability. Blue depicts aesthetics and beauty,
so evident in every line of the Company's various
manufacturing divisions. And Red is represented here as
speed and reach. Speed of response to
changing environment and demands. And a
reach that spans across the global market.
This LOGO was further modified to its
present form highlighting the company's
know unique position in providing Integrated
you
Textile Solutions to its customers.

did you know
■ Alok introduced the term "Integrated Textile Solution" in the

year 2000 when it had facilities for Texturising, Weaving,
Knitting and Batch Processing facilities. From such modest
beginnings, it has grown into the largest integrated textile
company in the country with five core divisions: Cotton Yarn,
Apparel Fabrics, Home Textiles, Garments and Polyester Yarn,
a powerful example of the "Power of Vision".
■ From exports of ` 9 crore in FY 2000, Alok has increased

did
its exports over 246 times in 11 years to reach ` 2217 crore in

FY 2011 at a CAGR of 73% and has emerged as the amongst
the largest textile exporters in the country. It got the 'Export
Trading House" status in 2003 and became a recognized "Star
Trading House" in 2011. Today products manufactured by the
company are exported to more than 70 countries in the
worldand constitute about 35% of company's total sales.

did you know?
■ Alok's sales has grown at a CAGR of 35% and its Profit After
Tax (PAT ) has increased at a CAGR of 50% since its inception.
did you know?
For the year ended 31.03.2011, its sales stood at ` 6,388

crore and PAT at ` 404 crore.
■ Alok was the first textile company to get the Integrated

Management System (IMS) certification for its manufacturing
facilities at Silvassa and Vapi. IMS is a consolidated
certification comprising of:
ISO 9001:2008 (Quality Management System)
ISO 14001:2004 (Environment Management System)
OHSAS 18001:2007 (Operational Health & Safety Assessment
System) and
SA 8000:2008 (Social Accountability)
■ Alok, in its maiden attempt, won the IMC - Ramakrishna

Bajaj National Quality (RBNQ) Performance Excellence
Trophy - 2010 in the Manufacturing Category.
■ Beginning with about 100 people in 1989, Alok presently

has about 23,000 employees making and is amongst the 25
largest employers in India. In Silvassa, not only is Alok the
largest employer, but also employs about 2000 tribal women,
serving a unique social cause.
■ With a vision to create a unique knowledge and

technologically advanced platform for the identification, skill
enhancement and career development of human resources
for the Textile Industry, Alok has played a pivotal role in setting
up of the Advanced Academy for Development of Textile
Technologists (A.A.D.T.T.) in association with DyStar India.
■ As part of its Corporate Social Responsibility (CSR), Alok

has promoted ALOK PUBLIC SCHOOL in 2011 under the
CBSE curriculum where around 1500 students can study from
kindergarten till the twelfth standard. The school would be
managed and administered by the 'BJJ Memorial Educational
Charitable Trust'.
TM
NOTICE
NOTICE is hereby given that the Twenty Fifth Annual General Meeting of the members of ALOK INDUSTRIES LIMITED
will be held on Thursday, the 29 September 2011 at 12.00 noon at the Registered Office of the Company at Survey Nos.17/5/1
& 521/1, Rakholi/ Saily, Silvassa – 396230, Union Territory of Dadra and Nagar Haveli, to transact the following businesses.
ORDINARY BUSINESS:
1. To receive, consider and adopt the Audited Balance Sheet as at 31 March 2011, the Profit & Loss Account for the year
ended on that date together with the Reports of the Directors and Auditors thereon.
2. To declare dividend on Equity Shares for the year ended 31 March 2011.
3. To appoint a Director in place of Mr. Chandrakumar Bubna, who retires by rotation and being eligible, offers himself for
re-appointment.
4. To appoint a Director in place of Mr. Timothy Ingram who retires by rotation and being eligible, offers himself for re-
appointment.
5. To appoint M/s. Gandhi & Parekh, Chartered Accountants and M/s. Deloitte Haskins & Sells, Chartered Accountants, as
Auditors of the Company to hold office from the conclusion of this Annual General Meeting until the conclusion of next
Annual General Meeting and to fix their remuneration.
In this connection, to consider and if thought fit, to pass the following resolution, with or without modification(s), as an
Ordinary Resolution:
“RESOLVED that M/s. Gandhi & Parekh, Chartered Accountants (Registration No. 120318W) and M/s. Deloitte Haskins
& Sells, Chartered Accountants, (Registration No. 117366W) be and are hereby appointed as Auditors of the Company
to hold office from the conclusion of this Annual General Meeting until the conclusion of next Annual General Meeting, on
such remuneration, plus service tax as applicable and reimbursement of out of pocket expenses in connection with the
audit as shall be fixed by the Board of Directors fix in this behalf.”
SPECIAL BUSINESS:
6. To Consider, and if thought fit, to pass, with or without modification(s), the following resolution as an Ordinary
Resolution:
“RESOLVED THAT in supersession of the resolution passed by the members of the Company under section 293(1)(d)
of the Companies Act, 1956, in the Annual General Meeting held on 17 September 2010, thereby limiting the borrowing
powers of the Board of Directors of the Company upto `11,000 crore (Rupees Eleven Thousand crore only), the consent
of the Company be and is hereby accorded pursuant to Clause (d) of Sub-section (1) of Section 293 and other applicable
provisions, if any, of the Companies Act, 1956, to the Board of Directors of the Company for borrowing from time to time
any sum or sums of monies, as it may considered fit for the business of the Company on such terms and conditions as
it may deem fit and expedient in the interests of the Company, notwithstanding that the monies to be borrowed together
with the monies already borrowed by the Company (apart from temporary loans obtained or to be obtained from the
Company’s bankers in the ordinary course of business) may exceed the aggregate of the paid-up capital of the Company
and its free reserves (that is to say, reserves not set apart for any specific purpose) provided that the maximum amount of
monies so borrowed by the Company shall (apart from temporary loans obtained or to be obtained from the Company’s
bankers in the ordinary course of business) and outstanding at any given point of time, not at any time exceed the sum
of `15,000 crore (Rupees Fifteen Thousand crore only).”
7. To Consider, and if thought fit, to pass, with or without modification(s), the following resolution as an Ordinary
Resolution:
“RESOLVED THAT pursuant to the provisions of Clause (a) of Sub-section (1) of Section 293 and other applicable
provisions, if any, of the Companies Act, 1956, the consent of the Company be and is hereby accorded to the Directors
of the Company for mortgaging and/or charging all or any of the present and/or future movable and/or immovable
properties and assets and the whole or substantially the whole of the undertaking(s) of the Company, on such terms
and conditions and in such form and manner, as the Directors may determine for the purpose of securing unto various
lenders who have granted and/or who may hereafter grant to the Company, financial facilities in the nature of short term/
long term loans, bridge loans, short term/long term secured Non-Convertible Debentures or other forms of secured
financial facilities for an aggregate nominal value not exceeding ` 15,000 crore (Rupees Fifteen Thousand crore only) for
the purpose of securing the said financial facilities granted/ to be granted to the Company, together with interest, further
interest, liquidated damages, costs, charges, expenses and other monies payable by the Company under the terms of
the respective financial facilities.”

NOTICE
“RESOLVED FURTHER THAT the Directors of the Company be and are hereby authorised to finalise with the respective
lenders the security documents and such other agreements for creating or evidencing the creation of mortgage and/or
charge as aforesaid and to do all such other acts, deeds and things and resolve any matter as may be necessary for
giving effect to this Resolution.”
By Order of the Board
K.H. Gopal
President (Corporate Affairs) &
Company Secretary
Registered Office:
17/5/1 & 521/1,
Rakholi / Saily,
Silvassa – 396 230,
Place : Mumbai
Date : 29 July 2011
NOTES:
1. A MEMBER ENTITLED TO ATTEND AND VOTE AT THE MEETING IS ENTITLED TO APPOINT A PROXY TO
ATTEND AND VOTE INSTEAD OF HIMSELF/HERSELF AND SUCH PROXY NEED NOT BE A MEMBER OF THE
COMPANY. PROXIES IN ORDER TO BE EFFECTIVE MUST BE RECEIVED BY THE COMPANY AT ITS REGISTERED
OFFICE NOT LATER THAN 48 HOURS BEFORE THE COMMENCEMENT OF THE MEETING.
2. Corporate members intending to send their authorised representatives to attend the Meeting are requested to send to the
Company a certified true copy of the Board Resolution authorizing their representative to attend and vote on their behalf
at the meeting.
3. The relevant Explanatory Statement pursuant to Section 173 (2) of the Companies Act, 1956, is enclosed hereto.
4. The Register of Members and Share Transfer Books of the Company will be closed from Thursday, the 22 September
2011 to Thursday, the 29 September 2011 (both days inclusive).
5. If the dividend on shares, as recommended by the Board of Directors, is declared at the Meeting, payment thereof will
be made:
(i) to those members whose names appear on the Register of Members of the Company after giving effect to all valid
share transfers in physical form lodged with the Company’s Registrars and Share Transfer Agent (R&TA) M/s. Link
Intime India Private Limited as on 22 September 2011; and
(ii) in respect of shares held in electronic form, the dividend will be payable on the basis of beneficial ownership as per
details furnished by National Securities Depository Limited and Central Depository Services (India) Limited, as on
22 September 2011 in case of shares held in demat form.
6. Members are requested to notify immediately any change of their address:
(a) To their Depository Participants (DPs) in respect of their electronic share accounts, and
(b) To the Company at its Registered Office address or Link Intime India Private Limited, the Registrar and Share
Transfer Agent of the Company at C-13, Pannalal Silk Mills Compound, LBS Marg, Bhandup (W), Mumbai 400 078,
India, Tel: +91 22 2596 3838, Fax: +91 22 2594 6969, in respect of their physical shares, if any, quoting their folio nos.
7. Members are advised to submit their Electronic Clearing Service (ECS) mandates to the Company’s R&TA at their
aforesaid address to facilitate remittance by means of ECS.
8. Members are requested to bring their copy of the Annual Report to the Meeting and produce the Attendance Slip at the
entrance where the Annual General Meeting will be held.
9. The Securities and Exchange Board of India (SEBI) has mandated the submission of Permanent Account Number (PAN)
by every participant in securities market. Members holdings shares in electronic form are, therefore, requested to submit
the PAN to their Depository Participants with whom they are maintaining their demat accounts. Members holding shares
in physical form can submit their PAN details to the Company / Registrars and Transfer Agents, M/s.Link Intime India
Private Limited.
10. The Company has already transferred the unclaimed Dividend, declared upto the financial year ended 31st March 2003
to the Investor Education and Protection Fund (IEPF).

NOTICE
Members who have not encashed their dividend warrants pertaining to the year 2003–2004 have already been informed
through a separate individual written notice to approach the Company’s R&TA on or before 29 September 2011, to check
up and send their claims, if any, before the amounts become due for transfer to IEPF.
Pursuant to the provisions of Section 205A of the Companies Act, 1956 dividends for the financial year ended 31 March
2004 and thereafter, which remain unpaid or unclaimed for a period of 7 years from respective dates of transfer to the
unpaid dividend account of the Company are due for transfer to the IEPF on the dates given in table below:
Financial year ended Date Declaration Last date for claiming Due date for Transfer to
unpaid dividend IEPF
31.03.2004 30.09.2004 29.09.2011 29.10.2011
31.03.2005 29.09.2005 28.09.2012 28.10.2012
31.03.2006 29.09.2006 28.09.2013 28.10.2013
31.03.2007 25.09.2007 24.09.2014 24.10.2014
31.03.2008 29.09.2008 28.09.2015 28.10.2015
31.03.2009 25.09.2009 24.09.2016 24.10.2016
31.03.2010 17.09.2010 16.09.2017 16.10.2017
Members who have so far not encashed their dividend warrants pertaining to the aforesaid years are advised to submit
their claim to the Company’s R&TA at the address mentioned above immediately quoting their folio number/ DP ID &
Client ID. It may be noted that once unclaimed divided is transferred to IEPF as aforesaid, no claim shall lie in respect of
such amount by the members.
11. Members may avail themselves of the facility of nomination in terms of Section 109A of the Companies Act, 1956 by
nominating in the prescribed form a person to whom their shares in the Company shall vest in the event of their death.
The prescribed form can be obtained from the Company’s R&TA at the aforesaid address.
12. Re-appointment of Directors:
At the forthcoming Annual General Meeting, Mr. Chandrakumar Bubna and Mr. Timothy Ingram, retire by rotation and
being eligible offer themselves for re-appointment. The information/details pertaining to the above two Directors that is
to be provided in terms of Clause 49 of the Listing Agreement executed by the Company with the Stock Exchanges are
furnished in the statement of Corporate Governance published elsewhere in this Annual Report.
13. Equity Shares of the Company are listed on the following Stock Exchanges:
Bombay Stock Exchange Limited National Stock Exchange of India Limited,
Floor 25, P. J. Towers, Exchange Plaza, 5th Floor, Plot No.C/1,
Dalal Street, Fort, “G” Block, Bandra-Kurla Complex,
Mumbai – 400 001. Bandra (East), Mumbai – 400 051.
The Listing fees in all the above stated Exchanges have been paid upto 31 March 2012.
14. Members desiring any information as regards to Accounts are requested to write to the Company at an early date so as
to enable the management to keep the information ready.
K. H. Gopal
Company Secretary
Registered Office:
17/5/1 & 521/1,
Rakholi/ Saily,
Silvassa – 396230,
Place : Mumbai
Date : 29 July 2011
Important Communication to members

The Ministry of Corporate Affairs has taken a “Green Initiative in the Corporate Governance” by allowing paperless
compliances by the companies and has issued circulars stating that the service of notice / documents including Annual
Report can be sent by e-mail to its members. To support this green initiative of the Government in full measure, members
who have not registered their e-mail address, so far, are requested to register their e-mail address in respect of electronic
holdings with the Depository through their concerned Depository Participants. We are sure, that as a responsible citizen, you
will whole-heartedly support this initiative and will co-operate with the Company in implementing the same.

NOTICE
ANNEXURE TO THE NOTICE
Explanatory Statement Pursuant To Section 173(2) Of The Companies Act, 1956

Item No.6
At the Annual General Meeting of the Company held on 17 September 2010, the members had accorded their consent
pursuant to Section 293(1)(d) of the Companies Act, 1956, to the Board of Directors of your Company for borrowing monies
upto a limit of `11,000 crore. In view of the increasing activities and operations and considering the expansion programs of
your Company, it is thought fit to increase the limit to `15,000 crore.
The Resolution at item no.6 is therefore, placed for the approval of the Members pursuant to Section 293(1)(d) of the
Companies Act, 1956.
None of the Directors of your Company is, in any way, concerned or interested in this resolution.
Item No.7
As stated in the explanatory statement at Item No.6 of this notice, your Company’s activities and operations are increasing,
thereby necessitating borrowings as stated in the resolution at Item No.6. Your Directors consider that it would be expedient to
have the approval of the shareholders for creating mortgage/charge in favour of various lenders in the event of your Company
availing financial facilities of a secured nature.
The Resolution at item no.7 is therefore, placed for approval of the members pursuant to Section 293(1)(a) of the Companies
Act, 1956.
None of the Directors of your Company is, in any way, concerned or interested in this resolution.
K. H. Gopal
Company Secretary
Registered Office:
17/5/1 & 521/1,
Rakholi/ Saily, Silvassa – 396230,
Place : Mumbai
Date : 29 July 2011

DIRECTORS’ REPORT TO THE SHAREHOLDERS
Dear Shareholders:
We have pleasure in presenting the 25 Annual Report of your Company together with the Audited Accounts for the financial
year ended 31 March 2011. The summarized financial results (stand-alone and consolidated) are given below in Table 1.
Table 1: Financial Highlights: Stand-Alone and Consolidated
(` crore)
Particulars Standalone Consolidated

2010-11 2009-10 2010-11 2009-10
Sales / Job charges (net of excise) 6,388.43 4,311.17 6,614.90 4,424.34
Other Income 6.44 64.02 5.03 64.68
Total Income 6,394.87 4,375.19 6,619.93 4,489.02
Total Expenditure 4,638.52 3,102.71 4,912.69 3,257.23
Operating Profit before interest, depreciation & taxes 1,756.35 1,272.48 1,707.24 1,231.79
Interest 654.37 535.08 675.03 578.90
Depreciation 518.79 362.61 530.97 366.92
Profit Before Tax 583.19 374.79 501.24 285.97
Less : Provision for Taxation
Current (120.57) (63.56) (123.52) (65.94)
MAT credit entitlement 42.25 34.26 42.25 34.26
Deferred (100.68) (99.01) (97.34) (96.96)
Fringe Benefit Tax – – – 0.02
Prior period adjustment of Tax 0.17 0.86 0.11 0.46
Profit After Tax 404.36 247.34 322.74 157.81
Add/(Less) :
Share of Profit from Associates – – (10.89) (20.74)
Minority Interest – – (0.31) 0.64
Profit After Tax after Minority Interest 404.36 247.34 311.54 137.71
Add/(Less) : Balance Brought Forward 180.91 276.63 (52.48) 149.78
Balance available for Appropriation 585.27 523.97 259.06 287.49
Add/(Less) :
Excess Provision of Dividend for Earlier Years – – (0.40) (0.15)
Dividend on Equity (19.69) (19.69) (19.69) (19.69)
Tax on Dividend (3.27) (3.27) (3.27) (3.27)
Transfer to Capital Redemption Reserve – – – –
Transfer from/(to) Debenture Redemption Reserve 384.30 (300.10) 384.30 (296.63)
Transfer to General Reserve (25.00) (20.00) (25.03) (20.23)
Balance carried to Balance Sheet 921.61 180.91 594.97 (52.48)
Notes: Previous years’ figures have been regrouped wherever necessary to bring them in line with the current year’s
representation of figures
Performance
During the financial year, your Company sales increased by 48.18% to ` 6,388.43 crore and achieved profit after tax
of ` 404.36 crore, an increase of 68.48 % over the previous year. The exports of your Company for the year, including
incentives, increased by 42.24% to ` 2,217.43 crore. All the divisions of your company recorded growth both in domestic and
export sales.
Details of your Company’s performance for the year under review are given in the ‘Management Discussion and Analysis’,
which forms part of this Directors’ Report.

Dividend
Your Directors have recommended a dividend of ` 0.25 per equity share of ` 10/- each (previous year ` 0.25 per share) for
the financial year ended 31 March 2011 and seek your approval for the same. If approved, the total amount of dividend to be
paid to the equity shareholders will be ` 19.69 crores (excluding tax of ` 3.27 crores). Based on the above dividend payout
(including dividend tax), the dividend payout ratio works out to 5.68% of Profit After Tax (PAT) as against 9.28% for 2009-10.
Capital
During the year under review, your Company, as per the terms of Letter of Offer dated 19 March 2009 and relevant provisions
of Articles of Association of the Company, forfeited 13,921 partly paid rights equity shares held by 83 shareholders for non-
payment of allotment money of ` 5/- and interest due thereon.
Consequent to the forfeiture of Rights shares the Company’s equity share capital as on 31 March 2011 stands at ` 787.78
crore divided into 78,77,84,357 fully paid equity shares of ` 10/- each.
FCCBs
The 475 outstanding FCCBs of USD 50000 each aggregating to ` 107.21 crore as at 31 March 2010 were redeemed during
the year, on their due date i.e. 26 May 2010.
Reserves
The balance available for appropriation as at 31 March 2011 amounted to ` 585.27 crores. After providing for dividend and
dividend tax of ` 22.96 crore, your Company proposes to bring ` 384.30 crore from Debenture Redemption Reserve and
transfer ` 25.00 crore to General Reserve. After providing for these, the balance of the Profit & Loss Account would stand at
` 921.61 crore.
At the end of the financial year, the total reserves of the company, stood at ` 2309.80 crores compared to ` 1928.40 crore in
at the end of previous year.
Loans
During the year under review, your Company has raised incremental debt of ` 1143.89 crore, both secured and unsecured,
by way of rupee loans, foreign currency loans and non-convertible debentures for meeting capital expenditure and working
capital requirements. The total debt at the end of year stood at ` 9653.57 crore compared to ` 8509.68 crore at the end of
previous year.
Capital Expenditure
During the year under review, your company has incurred a capital expenditure of ` 1858.81 crore across various divisions.
A major portion of these were towards cotton spinning, expansion of weaving and processing capacities, setting up additional
Continuous Polymerization (CP) plant, expansion of Texturising Plant and regular capex.
Details of your Company’s capacities across various divisions are provided under the head ‘Capacity Expansion’ in the
Management Discussion and Analysis annexed to this Report.
Merger
Your Directors at their meeting held on 29 July 2011 approved the proposal of amalgamation of Grabal Alok Impex Limited
(‘GAIL’) into the Company as per terms and conditions mentioned in the Scheme of Amalgamation to be filed with the stock
exchanges. The salient features of the proposed Scheme are as under:
(a) Amalgamation of GAIL with the Company;
(b) The Appointed Date of the Scheme will be 1 April 2011;
(c) The Company to issue its shares to the shareholders of GAIL as on record date, based on the share exchange ratio
determined by the independent valuers, M/s Ernst & Young Private Limited and the fairness report provided by Fortune
Financial Services (India) Limited and approved by the Board of Directors of the Company which is as under:
“1 (One) fully paid up equity share of ` 10 each of the Company shall be issued and allotted for every 1 (One) equity share
of ` 10 each held in GAIL”

(d) The Scheme is subject to approval of the shareholders, creditors, the Financial Institutions /Banks, the Hon’ble High
Court of Bombay, relevant stock exchanges and any other statutory or regulatory authorities, which by law may be
necessary for the implementation of the Scheme.
Subsidiary Companies
At the end of the financial year under review, your Company had the following subsidiaries:
Subsidiaries of Alok Industries Limited
1. Alok Industries International Limited (incorporated in the British Virgin islands)
2. Alok International Inc. (incorporated in the state of New York, USA)
3. Alok Inc. (incorporated in the state of New York, USA)
4. Alok Infrastructure Limited
5. Alok H&A Limited
6. Alok Retail (India) Limited (Formerly known as Alok Homes & Apparel Private Limited)
7. Alok Apparels Private Limited
8. Alok Land Holdings Private Limited
Step-down subsidiaries of Alok Industries Limited
Parent Company Subsidiary %Holding
Alok Industries International Limited Mileta, a.s.(incorporated in the Czech Republic) 100% holding
Alok European Retail, s.r.o. 100% holding
Alok Infrastructure Limited Alok Realtors Private Limited 100% holding
Alok HB Hotels Private Limited 100% holding
Alok HB Hotels Properties Limited 100% holding
Springdale Information and Technologies Private Limited 100% holding
Kesham Developers & Infotech Private Limited 100% holding
Alok Land Holdings Private Limited Alok Aurangabad Infratex Private Limited 100% holding
Alok New City Infratex Private Limited 100% holding
The Ministry of Corporate Affairs, Government of India has issued a Circular No.2 / 2011 dated 8 February 2011 granting
general exemption to Companies under section 212 (8) from attaching the documents referred to in section 212 (1) pertaining
to its subsidiaries, subject to approval by the Board of Directors of the Company and furnishing of certain financial information
in the Annual Report.
The Board of Directors of the Company have accordingly accorded approval for dispensing with the requirement of attaching
to its Annual Report the annual audited accounts of the Company’s subsidiaries.
Accordingly, the Annual Report of the Company does not contain the individual financial statements of these subsidiaries, but
contains the audited consolidated financial statements of the Company, its subsidiaries and associate. The Annual Accounts
of these subsidiary companies and the related detailed information will be made available to the shareholder of the holding
and subsidiary companies seeking such information at any point of time. The annual accounts of the Subsidiary Companies
will also be kept for inspection by any shareholder at its registered / corporate office and that of the concerned subsidiary
companies. The statement pursuant to the approval under section 212 (8) of the Companies Act, 1956 is annexed together
with the Annual Accounts of the Company.
Consolidated financial statements
The Consolidated Financial Statements of the Company prepared as per the Accounting Standard AS 21 and Accounting
AS 23, consolidating the Company’s accounts with its subsidiaries and an associate have also been included as part of this
Annual Report.
Shift in Registered Office
The registered office of your company was shifted from ‘B/43, Mittal Tower, Nariman point, Mumbai 400 021, Maharashtra’
to ‘17/5/1 & 521/1 Rakholi / Saily, Silvassa - 396 230, Union Territory of Dadra & Nager Haveli effective from 25 June 2010
pursuant to an Order passed by the Company Law Board.

Business and Operations

The business prospects of your company are quite encouraging considering the demand outlook in domestic as well as
export markets. The drivers of growth are however different for both the markets.
More details about your Company’s business operations and new initiatives are contained in the Management Discussion &
Analysis.
Awards and Recognition
During the year under review, your Company was awarded the following awards and recognitions by the Cotton Textile
Exports Council of India (TEXPROCIL) in three categories:
Gold Trophy in Highest Exports of

Bleached/ Dyed/ Yarn – dyed/ Printed
Fabrics”
Gold Trophy in – “Highest Exports of
Bed – Linen/ Bed sheets/ Quilts”
Silver Trophy in – “Highest Global
Exports”
The Company is the proud winner of IMC

– Ramakrishna Bajaj National Quality
(RBNQ) Performance Excellence
Trophy – 2010 in its maiden attempt
Corporate Social Responsibility

Details of your Company’s Corporate Social Responsibility (CSR) initiatives are given in a separate section, ‘Sustainability’,
which forms part of the accompanying Management Discussion and Analysis and Annual Report.
Corporate Governance
A separate report on Corporate Governance is enclosed as a part of this Annual Report. A certificate from the Statutory
Auditors of your Company regarding compliance with Corporate Governance norms stipulated in Clause 49 of the Listing
Agreement is also annexed to the report on Corporate Governance.
Fixed Deposits
Your Company does not have any fixed deposits under section 58A and 58AA of The Companies Act, 1956 read with
Companies (Acceptance of Deposits) Rule, 1975.
Insurance
All the insurable interests of your Company including inventories, buildings, plant and machinery are adequately insured.
Directors
Mr. Chandrakumar Bubna and Mr. Timothy Ingram will retire from office by rotation at the ensuing Annual General Meeting
and, being eligible, offer themselves for reappointment. Brief resumes of these Directors, in line with the stipulations of Clause
49 of the Listing Agreement, are provided elsewhere in this Annual Report.
During the year, A. B. Dasgupta, nominee director of IDBI Bank Limited, resigned from the Board of Directors w.e.f.
1 November 2010 and in his place Mr. Debashish Mallick was appointed as IDBI’s nominee. The Board wishes to place on
record their appreciation for the contribution of Mr. A. B. Dasgupta during his tenure as Directors of your Company.
Directors’ Responsibility Statement
Pursuant to section 217(2AA) of the Companies Act, 1956, your Directors subscribe to the ‘Directors’ Responsibility Statement’
and hereby confirm that:
in the preparation of the annual accounts for the financial year ended 31 March 2011, the applicable Accounting
Standards have been followed and there has been no material departure;

the Directors have selected such accounting policies, consulted and applied them consistently and made judgements
and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of your Company
as at 31 March 2011 and of the profit of your Company for the year on that date;
the Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance
with the provisions of the Companies Act,1956 for safeguarding the assets of your Company and for preventing and
detecting fraud and other irregularities;
they have prepared the annual accounts for the financial year ended 31 March 2011 on a ‘going concern’ basis.
Auditors and Auditors’ Report
M/s. Deloitte Haskins & Sells, Chartered Accountants and M/s Gandhi & Parekh, Chartered Accountants, Statutory Auditors
of the Company, hold office until the conclusion of the ensuing Annual General Meeting and are eligible for re-appointment.
The Company has received letters from the above named Auditors to the effect that their re-appointment, if made, would be
within the prescribed limits under section 224 (1B) of the Companies Act, 1956 and that they have not disqualified for re-
appointment within the meaning of the section 226 of the said Act.
The observations made in the Auditors’ Report are self-explanatory and therefore, do not call for any further comments under
section 217(3) of the Companies Act, 1956.
Cost Auditor
Pursuant to the directives of the Central Government under the provisions of Section 233B of the Companies Act, 1956 and
subject to the approval of the Central Government, M/s B. J. D. Nanabhoy & Co., Cost Accountants, Mumbai have been
appointed as Cost Auditors to conduct cost audit relating to the products manufactured by your Company.
Particulars of Employees
The information required on particulars of employees as per Section 217(2A) of the Companies Act, 1956, read with
Companies (Particulars of Employees) Rules, 1975 forms part of this Report. As per the provisions of Section 219(1)(b)(iv)
of the Companies Act, 1956, the Report and Accounts are being sent to all shareholders of your Company excluding the
Statement of Particulars of Employees. Any shareholder interested in obtaining a copy of the said statement may write to your
Company Secretary at the Corporate Office of your Company.
More details on the Human Resources function of your Company and its various activities are given in the ‘Human Resources’
and ‘Sustainability’ sections of the attached Management Discussion & Analysis.
Your Directors appreciate the significant contribution made by the employees to the operations of your Company during the
year.
Conservation of Energy, Technology absorption, Foreign Exchange Earnings and Outgo
The particulars as prescribed under Section 217(1)(e) of the Companies Act, 1956, read with the Companies (Disclosure of
Particulars in the Report of the Board of Directors) Rules, 1988 are attached as Annexure ‘A’ to this report.
Acknowledgements
On the occasion of completing 25 years, your Directors wish to place on record their deep sense of appreciation for all
the stake holders of your company who have been continuously supporting the growth of your Company. In particular, the
Directors value the dedication and commitment of your Company’s employees and thank the Central and State Governments,
Financial Institutions, Banks, Government authorities, customers, vendors and shareholders for their continued cooperation
and support.
For and on behalf of the Board
Place: Mumbai Dilip B. Jiwrajka

Date: 29 July 2011 Managing Director

ANNEXTURE “A” TO THE DIRECTORS REPORT
Information as required under section Section 217(1)(e) of the Companies Act, 1956, read with the Companies
(Disclosure of Particulars in the Report of the Board of Directors) Rules, 1988 and forming part of the Directors’
Report for the year ended 31st March 2011
Section 217(1)(e) of the Companies Act, 1956, read with the Companies (Disclosure of Particulars in the Report of the Board
of Directors) Rules, 1988
(A) CONSERVATION OF ENERGY
(a) Energy conservation measures taken:
The company is engaged in the continuous process of energy conservation through improved operational and
maintenance practices. Accordingly and in line with the company’s commitment to conservation of natural resources, all
units continued with their endeavor to make more efficient use of energy.
Some of the measures undertaken in this direction during the year under review were as under:
Replacement of existing small capacity cooling tower pumps with energy efficient pumps.
Power saving in soft water supply by pumping system modification (replacing submersible pump by self priming).
Energy saving by increasing the life of air filter by installing pre-filter and improving the cleaning process.
Power saving in compressed air system through better and more effective utilization.
Optimization of fuel viscosity and other related parameters of DG Set.
Optimal use of cooling tower fan as per climate conditions.
Optimization of use of engine hall ventilation fans as per climate conditions.
Installation of Air preheaters at Thermopac boilers.
Installation of Harmonic filter with capacitors.
Caustic handling system on process machines installed
Reduction of maximum demand by even distribution of daily load and through increased efficiency of plants.
Optimum choice of power factor improvement capacitors for improvement in power factor.
Modification of pipeline of chiller plant so as to maintain temperature.
Usage of voltage regulator in lighting circuits for reduction in lighting energy.
Rain harvesting measures.
Usage of optimum suction pressure OHTC Dust Collector.
New FO Emulsion fuel firing system implemented with the Steam and Thermic Fluid boilers.
Upgradation of Fire Hydrant system.
Periodic energy audits
(b) Additional proposals being implemented for further conservation of energy:
Usage of electronic blast in place of conventional choke.
Replacement of 36W TL fittings with LED lights for longer life and reduced energy consumption.
Expedite the process of conversion of all plants from FO to natural gas to promote greener fuel use.
Replacement of oil fired boiler with coal fired one.
Flash steam and condensate recovery in CPP.
Optimization of soft water supply pressure to minimize wastage of water.
Heat recovery from hot exhaust air of Stenter and CRP hot water.
Installation of EMS Energy Monitoring System for greater accuracy of energy consumption reports.
(c) Impact of measures at (a) and (b) above for reduction of energy consumption and consequent impact on the cost of
production:
The energy conservation measures have resulted in energy saving and consequent reduction in cost of production.
Besides, these measures have also resulted in elimination / reduction of furnace oil by substitution of natural gas, and
consequent reduction in emissions. Also, the mechanical, thermal and electrical efficiency of the plants stand improved.

FORM “A”
2010-11 2009-10
A. Power & Fuel Consumption For The Year Ended 31.03.2011
1) Electricity Purchased
Units: 445,002,536.00 346,317,651.97
Total amount ( ` crore ) 143.47 131.17
Average Rate/Unit (`) 3.22 3.79
2) Own Generation through Diesel Generator Set
Units: 163,060,781.40 181,036,388.77
Total amount ( ` crore) 92.92 87.82
Average Rate/Unit (`) 5.70 4.85
3) Own Generation through Co-generation
Units 17,779,900.00 20,612,300.00
Average Rate/Unit ( `) 3.62 2.85
4) Own Generation through Gas Turbine
Units 45,049,016.00 35,361,583.00
Average Rate/Unit ( `) 4.63 3.02
5) a) Furnace Oil Consumed – for boiler
Total amount (` crore) – –
b) Furnace Oil Consumed – for steam
c) Natural Gas Consumed
d) Coal consumed
e) Deisel Consumed
f) Electricity Duty Paid
Total amount (` crore) 2.79 2.13
B) Consumption per unit of production
a) Yarn (Kgs) 122,171,960.36 106,958,798.00
Units Consumed (per kgs) 1.01 1.10
b) Fabric Knits (Kgs)* 10,368,052.00 7,960,980.00
c) Fabric Woven (Mtrs)* 198,440,335.00 231,792,879.00
Units Consumed (per mtrs) 0.67 0.48
d) Processing Woven (Mtrs)* 329,849,609.00 121,567,652.00
Units Consumed (per mtrs) 0.58 0.33
e) Processing Knits (Kgs)* 7,837,064.00 5,542,259.00
f) Garments (Pcs) 5,101,577.00 3,938,429.00
Units Consumed (per pcs) 0.10 0.08
g) SL Madeups (Kgs) 8,512,885.50 7,736,043.00
h) Poy (Kgs) 39,086,832.31 28,978,059.00
i) Spinning (Kgs)* 54,391,442.00 41,230,507.00
j) Handkerchief (Pcs) 9,948,690.00 6,587,418.00
Units Consumed (per pcs) 0.05 0.04
k) Chips (Kgs) 24,688,623.14 41,958,053.00
l) FDY (Kgs) 15,484,717.23 –
Units Consumed (per kgs) 1.09 –
* Includes production consumed internally.
FORM “B”
2010-11 2009-10
C. Foreign Exchange Earnings and Outgo
i) Total Earnings of Foreign Exchange
FOB Value of Exports 2,032.34 1,437.06
Interest received on Fixed Deposits 0.06 7.45
2032.40 1445.51
ii) Total Outgoing in Foreign Exchange
Commission on sales 9.96 6.53
Payment to and Provisions for Employees 0.28 0.83
Freight, Coolie and Cartage 1.40 0.83
Insurance – 7.28
Interest on Fixed Loan 33.26 35.35
Legal and Professional Fees 1.74 11.33
Miscellaneous Expenses 2.27 1.48
Reimbursement of Expenses 11.19 6.13
Sales Promotion Expenses 7.90 12.15
Claim for damaged goods 2.96 3.10
Travelling expenses 0.11 0.39
Bank Charges 4.68 3.07
Power and Fuel 0.01 –
Processing Charges 0.02 –
Rates and Taxes 1.06 0.23
Rent 0.06 –
Repairs and Maintenance – Plant & Machinery 1.99 0.92
Repairs and Maintenance – Others 0.07 –
Exchange Rate Difference 94.37 –
Total 173.33 89.62

did you know?
■ Alok became a Public Limited Company in February 1993
and came out with its Initial Public Offer in September 1993
did you know?
with an offer of 22,50,000 equity shares of `10/- each for cash

at a premium of ` 10/- per share aggregating to
` 4.50 crore.
■ Alok was amongst the first Indian textile company to receive

FDI investment in 1998 by way of private placement of
91,42,700/- equity shares of ` 10/- each at a premium of
` 7.50 per share aggregating to `16 crore with Century Direct
Fund (Mauritius) LLC and TCFC Finance Limited.
■ Alok was amongst the first textile corporate in the country to

receive mezzanine finance in March 2004. The total
transaction value was ` 101.21 crore comprising of ` 68
crores - 10%Redeemable Preference Shares (6,80,00,000
preference share @ ` 10 each) and 33.21 crores warrants
(59,66,400 warrants @ ` 55.67) from the CLSA Group. The
warrants were converted into equity in 2005 while the 10%
preference shares were also converted into equity in 2006
(1,11,47,540 shares @ ` 61).
■ Alok has about 2,05,000 shareholders as on 31st March

2011. It is one of the most liquid and widely traded share on
BSE and NSE.
■ The quotas regime in Global Textile Trade was dismantled in

December 2004. Global Textile trade is expected to grow @
CAGR of 5% to USD 1000 billion by 2020 from its present size
of about USD 600 billion. The total Indian Textile trade during
the same period is likely to increase at a CAGR of 11% to
reach 220 billion (domestic USD 140 billion & Exports USD 80
billion) from its present size of about USD 78 billion (domestic
USD 52 billion & Exports USD 26 billion).(Source : Technopack)

did you know?
■ In 2001, Alok was amongst the first to invest under the
Government of India's Technology Upgradation Fund Scheme
did you know?
(TUFS) where 5% interest subsidy is available on eligible

loans. Since the abolition of textile quotas in global trade in
January 2005, Alok has invested over Rs. 9000 cores (about
USD 2 billion) in 7 years, perhaps the largest capex in the
Indian Textile industry.
It is the largest beneficiary of TUFS loans in the country with
Rs. 2592 crores TUFs loans outstanding as at 31 March 2011.
■ From an initial capacity of 50,000 spindles in 2007, Alok has

today created India's largest spinning capacity at one location
(Silvassa) with 4,11,840 spindles and 5680 rotors to produce
about 80,000 tons of cotton yarn per annum. Almost, 95% of
this yarn is consumed in house for fabric production, making it
the strongest vertical integration for textiles in India.
■ Alok initially set up a weaving unit at Bhiwandi back in 1991

with about 100 shuttle looms. Today it has about 2200 shuttle
less looms comprising of Rapier, Air jet and jacquard looms in
one complex at Silvassa. This is possibly the highest number
of looms at one location in the country. Also, at this location,
about 1000 looms are installed in one weaving unit, making it
probably the largest weaving unit in the world.
■ In an unfortunate incident on August 16, 2007, Alok's

Texturising unit at Silvassa with 70 texturising machines was
totally gutted in a fire. Alok rebuilt a new texturising plant at
the same location with 35 new texturising machines in about
90 days and restarted production on 24th November 2007.
This record performance was made possible with the
commissioning of nearly 2000 people through separate
contractors simultaneously and ample support from our
business associates. From the current 92, by the end of March
2012, Alok will have a total of 140 texturising machines,
producing 1,70,000 tons of texturised yarn per annum, making
it the largest capacity in the Industry.
TM
MANAGEMENT DISCUSSION AND ANALYSIS
Economic Overview
World
Economic activity in most developing countries is back on a high growth momentum. Supported by resurgence in international
and domestic financial flows and higher commodity prices, most of the spare capacity in developing countries that was created
by the crisis has been reabsorbed, and developing countries have regained trend growth rates close to those observed in
the pre-crisis period. Chart A shows that economic output growth in emerging developing economies improved from 2.7% in
calendar year (CY) 2009 to 7.3% in CY2010.
In contrast, the recovery in many high income countries (and
several economies in developing Europe and Central Asia)
has not been strong enough to make major inroads into
high unemployment and spare capacity. Prospects in these
economies, many of which were at the centre of the financial
boom and bust, continue to be weighed down by banking
sector restructuring, high consumer debt and a right-sizing
of economic sectors that grew unsustainably large during the
boom period. Having said so, driven primarily by resurgence
in the world’s largest economy – USA – advanced economies
recovered from a 3.4% drop in economic output in CY2009
to a 3% growth in CY2010. Consequently, global economic
output increased by 5% in CY2010 against a drop of – 0.5%
in CY2009. Source: International Monetary Fund (IMF)
The robust recovery in developing countries is even more remarkable because it mainly reflects an expansion of their internal
markets. Developing countries are not just leading the recovery. Increasingly they are an important source of stability, with
many of the risks to global growth centred in high-income countries and reflecting as yet unresolved imbalances generated by
the boom period. Very low policy-induced interest rates in high – income countries plus better growth prospects in developing
countries prompted a strong recovery in capital flows, mainly to middle-income countries. Overall net private capital flows to
developing countries expanded 44% in CY2010, but remain well below record 2007 levels. For most countries, the increase
in flows was beneficial, helping to finance growth enhancing investment.
Strong growth of domestic demand in developing countries
will continue to lead the world economy. Developing countries
domestic demand is playing a major role in the recovery,
representing 46% of global growth in 2010.
While, overall, indicators are positive, there are some
concerns with the global economy as well, which in the
short-run could de-rail the recovery to differing degrees. The
market concerns over debt sustainability in Europe continue
to escalate. Continued very low interest rates in high income
countries once again prompt large and volatile flows of capital
toward developing countries that contribute to destabilizing
movements in exchange rates, commodity prices, and asset-
prices.
Commodities prices, especially of food and oil have increased Source: World Bank Estimates
sharply in some poor countries; and if international prices
continue to rise, affordability issues and poverty impacts
could intensify.
Chart B shows that on average both non-oil commodity and oil prices increased by over 27% in CY2010, while they have
declined in CY2009.

India
The Indian economy continued to grow appreciably –
recording 8.5% growth in 2010-11 on the back of 8% growth
in 2009-10. Chart C shows the quarterly growth since Q1
2008-09. It is apparent that there has been steady growth
at well over 8% since Q4, 2009-10. And, this trend had
continued through the first 3 quarters of 2010-11. However,
there has been a slight slowdown in the fourth quarter.
The slowdown is a reflection of certain uncertainties
prevailing in the Indian economy. First, there is high rate of
inflation. Much of this inflation is driven by high prices of food,
which being an essential commodity has curbed general
consumption spending in the country. In the process, demand Source: Central Statistical Organisation, Government of India
has reduced affecting economic growth.
Second, there is a concern with rising rates of interest. In order
to curb inflation rates from spiralling upward, the Reserve
Bank of India (RBI) has tightened monetary policies. The
resultant reduction in money supply has caused an increase
in interest rates. On the consumer front, such interest rate
increase affect automobile and housing purchases, as most
of it is done through credit. These are two important customer
segments for AIS. Such high rates of inflation have a negative
impact on investments. And, a slowdown in investments at
the macro-level may lead to lower economic growth in the
future. Chart D shows that WPI based inflation has remained
at levels over 8% for most of the period since March 2010.
And, in line with this increase the benchmark reverse repo
Source: Office of Economic Advisor, Govt of India rate has increased steadily over the period.
Textiles, Clothing and Fibre Industry
Global Developments
World consumption of textile fibres increased in the past two years and hit record levels in CY2010. A shortfall of cotton
saw a sharp jump in cotton prices in 2010. After a 7% decline in 2008 in the aftermath of the global economic crisis, world
fibre consumption increased by 4% in CY 009 and by 5% in CY2010, according to data from the European Manmade Fibre
Association (CIRFS), the International Wool Textile Organisation (IWTO) and the International Cotton Advisory Committee
(ICAC). Estimates suggest that world fibre consumption was 75,100 million kilograms (mkg) in 2010, which is 2,000 mkg
above the pre-crisis levels of CY2007.
While in CY2009, growth was mainly driven by a 9% increase in consumption of cotton, in 2010, cotton consumption rose by
only 3% as it was replaced by polyester staples when cotton prices surged upwards rapidly. In fact, in CY2010, growth was
driven by synthetic fibres – synthetic staple fibre consumption increased by 6% to 16,600 mkg, while synthetic filament fibre
consumption increased by 8% to 28,200 mkg.
The two leading importers of apparel and textiles – USA and EU –
witnessed growth in imports. Chart E shows that the imports of textile
and apparel products to the US increased from US$ 81 bn in 2009 to
US$ 93 bn in 2010 – growth of 15%, while in the EU imports increased
by 6.6% from US$ 215 bn in 2009 to US$ 229 bn in 2010.
On the supply and production front, there were different trends for
various textile fibres in CY2010. Different production decisions were
responses to the cotton price upsurge and the inevitable substitution
of cotton by cheaper polyester staples. Cotton prices were expected
to increase in 2010-11. According to the International Cotton Advisory

Committee (ICAC), world cotton production had declined by 7% in 2009-10 with drop in production in China and the US – two
of the world’s three largest cotton producing countries. The global polyester industry, on the other hand, has over capacity
with significant investments in
China in the recent past. However, the sharp rise in cotton prices seen in 2010 resulted in garment manufacturers substituting
cotton with polyester in their fabrics, in particular in shirt fabrics. As a result, the increased polyester production was absorbed
by this higher demand. In contrast to the increased production of polyester, world acrylic fibre production was held back
in CY2010 by a shortage of acrylonitrile (the raw material). This restricted production of acrylic fibre in spite of very strong
demand.
The demand supply situation is well reflected in the price trends. The ‘CotLook A’ index, which is the world cotton price
indicator, increased by 120% in 2010, hitting a record 175.7 US cents/pound (387 USc/kg) in mid – December 2010. Acrylic
fibre prices lifted in response to the higher demand but tight supplies. Polyester prices also rose, but the extent was limited
by increased production and excess production capacity.
Clearly, with the global economic recovery, demand improved for garments and textiles. However, supply side constraints
are the lower end of the value chain in key fibre inputs like cotton and acrylic resulted in severe margin pressures for industry
players in the higher end of the value chain who produce fabric and garments.
India
The Indian textiles and apparel market, both domestic and exports, continues to grow. In 2010, the total Indian textiles and
apparel market was estimated to be around ` 3,68,000 crore (US$ 78 bn) and is estimated to grow at a CAGR of 11% to reach
` 10,32,000 crore (US$ 220 bn) by 2020. Within this industry the domestic apparel industry is growing by 10%, while home
textiles demand is growing by around 12%.
Cotton yarn, which accounts for 74% of total yarn production, grew by 12%, while blended yarn grew by 11% and non cotton
yarn by 9% in 2010-11. In terms of fabric, cotton based cloth, which accounts for 51% of total fabric production grew by 7%,
blended cloth by 5%, while non-cotton cloth reduced by 3% in the first 10 months of 2010-11.
Apart from catering to growing domestic demand, exports started
picking up since August 2010 after a slight blip in the first quarter of
2010-11. Over 60% of the country’s exports are to USA and the EU.
India’s exports of Textiles and Apparel products, specifically to US
has increased by 19% to ` 22,054 crore (around US$ 4,967 mn) for
11 months ending Feb’11, compared to Jan-Feb ‘10. India’s share in
the total US trade is stable at 6%. The Indian exports of textiles and
apparel category to EU has also shown a positive growth. The exports
have grown by 17% for the ten months ending Jan 2011 as compared
to same period last year. In fact, encouraged by the impressive growth,
the Government of India has increased the target for India’s textiles
and apparel exports to around US$ 30 bn for 2011-12 against around
US$25 bn achieved in 2010-11. Source: Ministry of Textiles, GoI
Through 2010-11, and especially from January 2011 there was strengthening of fibre and yarn prices. Due to high demand
and supply side constraints, there is a continuous rise in raw material prices. The average prices of cotton yarn rose by 45 %
YoY in Mar ’11 to reach 207/Kg while PV yarn and PC yarn has shown 35% increase each for the same period and stands at
233/kg and 221/kg respectively. Chart F plots the data. Since then, however, there has been a downward movement in prices
in Q1, 2010-11 to more sustainable levels..
The Government of India (GoI) continues to take several steps to promote the industry. Some of these include:
Scheme for Integrated Textile Parks (SITP): 40 Textile Park projects have been sanctioned by the Textile Ministry till
date in various states. These Parks are planned to have facilities for spinning, sizing, texturising, weaving, processing,
apparels etc. and are expected to employ approximately 7.5 lakh persons. Till date four projects have been completed
and production started in 24 out of 40. So far government assistance of ` 882.60 crore has been provided for execution of
these projects. The promoters of these textiles park projects have brought in ` 1000 crore (approx.) as their contribution.
Technology Up-gradation Fund Scheme (TUFS): Since its inception, ` 11,196 crore of subsidy has been released. The
Union Budget for 2011-12 has provided an allocation of ` 2,980 crore for the scheme. Government has also enhanced
subsidy allocation for modernisation of the textiles industry to ` 15,404 crore from earlier sanction of ` 8,000 crore for

the current Plan ending 2012. Of the additional ` 7,404 crore, ` 1972 crore would be available for fresh sanctions while
the remaining ` 5,432 crore is meant for fulfilling the committed liabilities under the TUF scheme. Some key points of the
new scheme, which focuses on balanced development and forward integration, are:
5% interest re-imbursements plus 10% capital subsidy for spinning units with matching capacity in weaving/knitting/
processing/garmenting
Reducing repayment period to 7 years with 2 years moratorium to promote financial efficiency
5% interest re-imbursements plus 10% capital subsidy for establishment of new shuttle less looms
Interest subsidy/capital subsidy/margin money subsidy on the basic value of the machineries excluding the tax
component for the purpose of valuation
Cotton Yarn Exports – Approval: Ceding to the demands of the Cotton Yarn exporters, the Directorate General of
Foreign Trade (DGFT) under the Ministry of Commerce announced approval of cotton yarn exports from April 1, 2011
subject to registration of export contracts with DGFT.
Financial Performance
Alok Industries (‘Alok’ or ‘the Company’) is a diversified business group with core interests in the textiles and apparel business.
The primary business is its integrated textile operations, which is based in India. The stand-alone financial results reflect the
performance of this business. This is the largest and the central business of the Company.
Alok has made several investments to diversify and grow related businesses. It has extended its textiles business to overseas
operations by acquiring Mileta, a Czech Republic based integrated textiles player. There are investments in the retail business
in India and in the United Kingdom (UK). In India, through its subsidiaries, the Company is actively developing its retail format
– ‘H&A’ stores, while in UK it operates the ‘Store Twenty One’ outlets through its associate Grabal Alok Impex Limited. In
addition, the Company has also made investments in the real estate business.
Stand alone Financials
Table 1 gives the summarised profit and loss statement of the Company
Particulars YTD YTD % Change

31 MAR 2011 31 MAR 2010
` Crore % to Sales ` Crore % to Sales
Domestic Sales 4,171.00 2,752.18 51.58%
Export Sales 2,217.43 1,558.99 42.24%
Net Sales 6,388.43 4,311.17 48.18%
Other Income 6.44 64.02 (89.90%)
TOTAL INCOME 6,394.87 4,375.19 46.16%
Material Costs 3,344.11 52.35% 2,004.99 46.51% 66.79%
People Costs 199.76 3.13% 153.73 3.57% 29.94%
Other Expenses 1,094.65 17.13% 943.99 21.90% 15.96%
EBIDTA 1,756.35 27.49% 1,272.48 29.52% 38.03%
Depreciation 518.79 8.12% 362.61 8.41% 43.07%
PBIT 1,237.56 19.37% 909.87 21.10% 36.02%
Interest & Finance Costs 654.37 10.24% 535.08 12.41% 22.29%
PBT 583.19 9.13% 374.79 8.69% 55.60%
Less: Provision for Taxes 2.79% 2.96% 40.31%
Current Tax (120.57) (63.56)
Deferred Tax (100.68) (99.01)
Fringe Benefit Tax 0.00 0.00
MAT Credit Entitlement 42.25 34.26
Prior Period Adjustment of Tax 0.17 0.86
PAT 404.36 6.33% 247.34 5.74% 63.48%

Profit and Loss Analysis

• Net Sales increased by 48.18% from ` 4,311.17 crore in 2009-10 to ` 6,388.43 crore in 2010-11. Growth was driven by
a 51.55% increase in domestic sales – ` 4,171.00 crore in 2010-11 against ` 2,752.18 crore in 2009-10; and exports
increased from ` 1,558.99 crore in 2009-10 to ` 2,217.43 crore in 2010-11 – growth of 42.24%.
• Other Income reduced by 89.90% to ` 6.44 crore. Much of the other income booked in 2009-10 was on account of gains
from foreign exchange fluctuations. This was not there in 2010-11
• Material Cost was ` 3,344.11 crore in 2010-11. This is a 66.79% growth over ` 2,004.99 crore in 2009-10. As a percentage
of sales, material cost increased from 46.51% in 2009-10 to 52.35% in 2010-11. There was steep rise in market prices.
While all efforts were undertaken on the purchase front, only a portion of this input cost increase could be controlled and
the Company had to operate with higher raw material costs
• People Cost was well managed. In absolute terms it increased from ` 153.73 crore in 2009-10 to ` 199.76 crore in 2010-
11 – a growth of 29.94%. People cost to net sales ratio decreased from 3.57% in 2009-10 to 3.13% in 2010-11
• Other Expenses increased by 15.96% from ` 943.99 crore in 2009-10 to ` 1,094.65 crore in 2010-11. As a percentage of
net sales, it decreased from 21.9% in 2009-10 to 17.13% in 2010-11. As percentage to sales, there have been no major
variations, except for power and fuel, which has decreased from 6.14% of sales in 2009-10 to 6.11% of sales in 2010-
11. Other factory overheads have moved in line with sales volume. Administrative and selling expenses were largely
controlled. In aggregate, these expenses grew by only 5% in 2010-11, and relative to sales it decreased from 7.16% of
sales for 2009-10 to 5.09% of sales for 2010-11
• Earnings Before Interest, Depreciation, Tax and Amortisation (EBIDTA) increased by 38.03% to ` 1756.35 crore in 2010-
11 against ` 1,272.48 crore in 2009-10. Given the high material costs, EBIDTA margins reduced from 29.52% in 2009-10
to 27.49% in 2010-11.
• Depreciation expense increased from ` 362.61 crore in 2009-10 to `518.79 crore in 2010-11. Gross Fixed Assets (GFA),
excluding Capital Work in Progress (WIP) increased by 23.89% from ` 7,276.36 crore as on 31 March 2010 to ` 9,014.33
crore as on 31 March 2011. After including Capital WIP, GFA increased by 22.64% to ` 10,075.53 crore as on 31 March
2011 against ` 8215.60 crore as on 31 March 2010. In line with sales growth, the Company maintained its fixed asset
utilisation and total depreciation expenses increased by 43.07%
• Interest expense Increased by 22.29% from ` 535.08 crore in 2009-10 to ` 654.37 crore in 2010-11. Total Borrowings
increased from ` 8,509.68 crore as on 31 March 2010 to ` 9653.57 crore as on 31 March 2011 – a growth of 16.9%. As a
percentage to sales, interest and financing expenses have dropped to 10.24% of sales for 2010-11; compared to 12.41%
of sales for 2009-10
• Profit Before Tax (PBT) increased by 55.60% from ` 374.79 crore in 2009-10 to ` 583.19 crore in 2010-11
• Profit After Tax (PAT) was ` 404.36 crore; a growth of 63.48% over ` 247.34 crore PAT generated in 2009-10

Key Ratios
Table 2 gives the key financial ratios for Alok Industries, as a stand-alone entity
Particulars 2010-11 2009-10

Profitability Ratios
EBITDA (%) 27.49% 29.52%
Profit Before Tax Margin (%) 9.13% 8.69%
Profit After Tax Margin (%) 6.33% 5.74%
Return on Net worth (%) 11.22% 7.92%
Return on Capital Employed (%) 11.53% 9.52%
Balance Sheet Ratios
Net Long Term Debt to Equity including Deferred Tax Liability 1.66 1.62
Net Total Debt to Equity including Deferred Tax Liability 2.36 2.28
Net Total Debt / EBITDA 4.85 5.59
Current Ratio 1.59 1.83
Liquid Ratio 1.02 1.27
Coverage Ratios
PBDIT/Interest 2.68 2.38
Debt Service Coverage Ratio 1.77 1.79
Net Fixed Assets/Secured Loans (1st Charge holders) 2.64 2.28
Working Capital Turnover Ratio 0.33 0.51
Debtors Turnover – Days 99 93
Inventory Turnover – Days 114 125
• EBIDTA Margin has dropped from 29.52% in 2009-10 to 27.49% in 2010-11. This is primarily due to the adverse effect of
high raw material prices. Alok Industries continued to focus on managing people and other operating costs to offset the
high cost of raw materials. Both these costs reduced as a ratio to sales during 2010-11.
• PBT Margin was 9.13% in 2010-11, marginally better than the 8.69% generated in 2009-10. Reduction in interest
and finance costs as a ratio to sales contributed significantly to this improvement. PAT margin was 6.33% in 2010-11
compared to 5.74% in 2009-10.
• Return on Net worth (RONW) improved from 7.92% in 2009-10 to 11.22% in 2010-11. This was driven by the growth in
profits.
• Return on Capital Employed (ROCE) was 11.53% in 2010-11, up from 9.52% generated in 2009-10.
• Debt to Equity for long term loans was maintained at 1.66 in 2010-11 compared to 1.62 in 2009-10. Total debt to equity
ratio was 2.36 in 2010-11 against 2.28 in 2009-10.
• PBDIT/Interest or the interest coverage ratio that indicates the Company’s ability to service its debt costs through profits
improved from 2.38 in 2009-10 to 2.6 in 2010-11, while net fixed assets as a ratio to secured loans increased from 2.28
in 2009-10 to 2.64 in 2010-11. This shows that there is better cover for secured loans.
• Inventory turnover decreased from 125 days in 2009-10 to 114 days in 2010-11. However, Debtor turnover increased
from 93 days in 2009-10 to 99 days in 2010-11. Over all, the total requirement for working capital on account of debtors
and inventory decreased from 218 days in 2009-10 to 216 days in 2010-11.

Cash Flows
Table 3 gives the abridged cash flow statement of the Company
(` Crore)
Particulars 2010-11 2009-10
Net Cash Provided/Used by
operating activities 1,135.46 184.56
investing activities (2058.13) (1906.48)
financing activities 369.39 2,117.75
Net Cash Surplus (563.75) 395.83
Cash and Cash Equivalents
at the beginning of the year 673.40 277.57
at end of the year 109.65 673.40
Add: Margin money & other fixed deposits pledged 978.32 559.69
Deposits with maturity period of more than three months 53.24 157.20
Cash and Bank Balance in balance sheet 1,141.21 1,390.29
Net cash flow from operating activities increased by 515.23% from ` 184.56 crore in 2009-10 to ` 1,135.46 crore
in 2010-11. On the other hand, cash generated from financing activities declined significantly to ` 369.39 crore in 2010-
11 against ` 2,117.75 crore in 2009-10. Cash utilised for investing activities reduced from ` 1,906.48 crore in 2009-10
to ` 2,058.13 crore in 2010-11. And, net cash surplus generated reduced from ` 395.83 crore in 2009-10 to ` (563.75) crore in
2010-11. Clearly, the focus in 2010-11 has been more on improving operating cash flows than on investments and financing.
The Company had issued and allotted US$ 45,000,000 – B – 1% – Unsecured Foreign Currency Convertible Bonds (FCCBs)
of the face value of US$50000 each in May 2005. The outstanding FCCBs out of the aforesaid issue aggregating to US$
23.75 million have been redeemed along with premium on 26 May 2010 as per the terms of the Offering Circular.
Ratings
The improvements in Alok Industries financial performance has been recognised and acknowledge by different ratings
agencies by upgrading the rating for the Company’s debt instruments.
Alok’s bank facilities have been rated by CARE, a premium Indian rating agency. Based on the Company’s performance,
CARE has improved Alok’s rating from ‘CARE A’ to ‘CARE A+’ for its long term facilities. The CARE A+ rating implies
that Alok offers ‘adequate safety for timely servicing of debt obligations’.
The Rating Committee of CARE has also re-affirmed a ‘PR-1’ rating for the Company’s short-term facilities. Facilities with
this rating “would have strong capacity for timely payment of short-term debt obligations and carry lowest credit risk”.
The Rating Committee of CARE has also re-affirmed a ‘PR-1+’ rating for the Company’s Commercial Paper / Short Term
NCDs aggregating to ` 1,000 crore. Facilities with this rating ‘would have strong capacity for timely payment of short-term
debt obligations and carry lowest credit risk’.
Dun and Bradstreet (D &B) has also assigned 5A3 rating for the Company.

Investments
As on 31 March 2011, the company had investments of ` 167.18 crore as compared to ` 229.69 crore as on 31 March 2010.
Table 4: Summarized Statement of Investments by Alok Industries Ltd. as on 31 March 2011
(` crore)
Sr. PARTICULARS EQUITY SHARE TOTAL
No. APPLICATION AS ON 31 MAR % HOLDING
2011 2010 2011
A Subsidiaries
Alok Industries International Ltd. 0.22 - 0.22 79.37 100%
Alok Infrastructure Ltd. 0.05 - 0.05 0.05 100%
Alok Land Holdings Pvt. Ltd. 0.50 - 0.50 0.50 100%
Alok Inc. 0.04 - 0.04 0.04 100%
Alok International Inc. 0.00 - 0.00 0.00 100%
Alok H & A Limited 36.05 - 36.05 36.05 100%
Alok Retail (India) Ltd. 0.05 - 0.05 0.05 100%
Alok Apparel Private Ltd. 1.00 9.00 10.00 10.00 100%
Sub Total 37.91 9.00 46.91 126.06
B Associates
Grabal Alok Impex Ltd. 3.99 - 3.99 3.99 8.70%
Aurangabad Textiles & Apparel Park Ltd. 17.25 - 17.25 15.50 49.00%
New City Of Bombay Mfg. Mills Ltd. 71.50 - 71.50 71.50 49.00%
Sub Total 92.74 - 92.74 90.99
C Other Investments At Cost
In Equity Shares 0.28 0.73
In Bonds, Debentures Etc 2.00 2.00
In Mutual Funds 25.25 9.91
Sub Total 27.53 12.64
Total 167.18 229.69
India Textiles Business: Operations Review
Alok Industries is an integrated player in the textiles and apparel industry with presence across the value chain. At the starting
end of the chain it produces cotton and polyester yarn. Both of which, are primarily to service internal requirements of yarn
but some of the produce is sold in the market. The Company produces fabric both through weaving and knitting and lays
great emphasis on specialised products in this space. It is also into manufacturing of home textiles including terry towels. At
the front end of the chain, there is a relatively small garmenting operation. The garmenting business is supplemented by the
Indian subsidiary Alok Apparels Private Limited.
Table 5 gives the relative share of the different divisions in the Company’s total sales. With 43% share, woven fabrics have
the largest share of revenues, followed by polyester yarn with 26%; home textiles with 15%; cotton yarn with 9%; knitted fabric
with 4% and garments with 3%.
Table 5: Alok’s Divisional Sales Snapshot
Particulars Twelve Months ended 31 March, 2011 Twelve Months ended 31 March, 2010 Change
Local Export Total % to Total Local Export Total % to Total
Sales Sales
Cotton & Cotton Yarn 416.40 136.50 552.90 8.65% 101.79 225.31 327.10 7.59% 69.03%
Apparel Fabric
Woven 2,458.85 272.77 2,731.62 42.76% 1,634.72 165.75 1,800.47 41.76% 51.72%
Knitting 116.77 124.79 241.56 3.78% 48.36 93.90 142.26 3.30% 69.80%
Total Apparel Fabric 2,575.62 397.56 2,973.18 46.54% 1,683.08 259.65 1,942.73 45.06% 53.04%
Home Textile 54.08 946.03 1,000.11 15.66% 17.13 690.13 707.26 16.41% 41.41%
Garments 11.07 162.99 174.06 2.72% 9.86 131.14 141.00 3.27% 23.45%
Polyester Yarn 1,113.83 574.35 1,688.18 26.43% 940.32 252.76 1,193.08 27.67% 41.50%
Total 4,171.00 2,217.43 6,388.43 100.00% 2,752.18 1,558.99 4,311.17 100.00% 48.18%
While domestic sales grew by 51.55% from ` 2,752.18 crore in 2009-10 to ` 4,171.00 crore in 2010-11, exports continued to
grow impressively, especially in the second half of 2010-11. The export growth was 42.24% from ` 1,558.99 crore in 2009-10
to ` 2,217.43 crore in 2010-11.

The share of Alok’s exports to different regions is given in chart G. The largest value of exports is to USA with a share of 39%
of total exports. Asia has the second largest share of 23%. South America has gained considerable share and is the third
largest export destination for Alok with a share of 18%. Europe is next with 17%, while non-US North America and Africa have
small shares of 2% and 1% respectively.
Chart G
Cotton Yarn
Alok’s requirement of cotton yarn increased considerably with the expansion of weaving and knitting capacities and made
strategic sense to have some portion of its total yarn requirement produced in-house. This also mitigates the risk of total
dependence on the market where availability could be a constraint with a lot of high speed weaving capacities being added in
the country in the quota free regime. Consequently, the size of the cotton yarn division is larger if we also account for internal
consumption.
Table 6 gives the data for external sales of cotton yarn, which is sold to traders, manufacturing units and weavers. Domestic
sales increased by 309.10% from ` 101.79 crore in 2009-10 to ` 416.40 crore in 2010-11, while exports reduced from ` 225.31
crore in 2009-10 to ` 136.50 crore in 2010-11 – a drop of 39.40%. There were considerable opportunities in the domestic market,
which the Company effectively tapped. With demand being there from internal requirements, high domestic sales resulted in
supply side constraints for exports. Consequently, exports dropped during 2010-11. Overall, total cotton yarn sales increased by
69.03% to ` 552.90 crore in 2010-11 against ` 327.10 crore in 2009-10.
Table 6: External Cotton Yarn Sales
(` crore)
Twelve Months ended 31 March 2011 Twelve Months ended 31 March 2010 % Change
Particulars Local Export Total % to Local Export Total % to
Sales Sales
Cotton & Cotton Spinning 416.40 136.50 552.90 8.65% 101.79 225.31 327.10 7.59% 69.03%
Looking to the increased requirement, the Company is further expanding its spinning capacity by installing 68,000 spindles
and 1,888 rotors taking the total production capacity to 80,000 tpa.

Apparel Fabric
Woven Processing Knit Processing
Alok produces a wide range of woven and knitted fabrics. The high quality of its products is a result of its design capabilities,
product knowledge and state of the art manufacturing facilities. On the weaving front it has modern facilities that utilise the
best technology available in the world. This includes Benninger warping and sizing machines from Switzerland for preparatory,
projectile Sulzer make looms, wider width/ narrow width Air Jet looms of Toyota/ Picanol make, Rapier Sulzer make looms
with Staubli make dobby and Rapier Sulzer make looms with Bonas make Jacquard attachment. It also outsources fabric
from power looms and mills to meet its requirements. Presently, the company has 1018 nos. apparel width looms with an
installed capacity of 93 mn meters and 855 nos. wider width looms with an installed capacity of 68 mn meters.
In knitting, today, the Company has 171 Mayer and Cie / Pialung circular knitting machines of various types like single jersey,
double jersey, interlock, auto striper and rib structure. The total installed capacity is 18,200 tpa. The products include single
jersey, double jersey, interlock, ribs, jacquards, auto striper and fibres used include cottons, blends of cotton with polyester
or viscose, polyester, viscose and lyrca blended.
Table 7 gives the data for apparel fabric sales. The details are:
• Woven: Domestic sales increased from 1,634.72 core in 2009-10 to ` 2,458.85 crore in 2010-11 – a growth of 50.41%.
Exports increased by 64.57% to ` 272.77 crore in 2010-11 against ` 165.75 crore in 2009-10. Total woven fabric sales
increased by 54.4% to ` 2,731.62 crore.
• Knitted: Domestic sales increased by 141.46% from ` 48.36 crore in 2009-10 to ` 116.77 crore in 2010-11. Export
increased to ` 124.79 crore in 2010-11 against ` 93.90 crore in 2009-10 – an increase of 32.90%. Total knitted fabric
sales increase by 59.3% to ` 241.56 crore in 2010-11.
• Total Apparel Fabric: Domestic sales increased by 53.03% to ` 2,575.62 crore in 2010-11, while exports increased by
53.10% to ` 397.56 crore in 2010-11. These sales growths contributed to a total apparel fabric sales growth of 53.04%
from ` 1,942.73 crore in 2009-10 to ` 2,973.18 crore in 2010-11.
Table 7: Apparel Fabric Sales
Sales Sales
Apparel Fabric
Woven 2,458.85 272.77 2,731.62 42.76% 1,634.72 165.75 1,800.47 41.76% 51.72%
Knitted 116.77 124.79 241.56 3.78% 48.36 93.90 142.26 3.30% 69.80%
Total 2,575.62 397.56 2,973.18 46.54% 1,683.08 259.65 1,942.73 45.07% 53.04%
To promote further profitable growth in this division, Alok is focusing on three segments of the apparel fabric market: (a)
fashion wear; (b) yarn dyed fabrics; and (c) work-wear and technical textiles.

In fashion wear fabrics, Alok produces a wide range in both knits and wovens. Fabric types include twills, voiles, cambrics,
poplins, Lycra poplins gabardines, jacquard, satins, matte, canvases, butta dobby, lawn, yarn dyed and many more. There are
several distribution channels through which the Company caters to specified target customer groups. The direct customers
include Indian exporters or converters in international countries, domestic garment manufacturers, retailers and traders, and
institutional sales.
Within fashion-wear, the Company is focusing on yarn dyed fabrics, which are used for fashionable shirting and high end
women’s wear and command premium prices in the market. Alok has a capacity to produce 5,000 TPA of dyed yarn, which is
being further expanded. In the near future, the company plans to make yarn dyed fabric a major growth driver of its apparel
fabric sales.
Technical textiles are speciality fabrics, such as fire retardant fabric, water repellent and soil release fabric and high visibility
fabric. They require special functionality and are used in industrial, aerospace, military, marine, medical, construction,
transportation and high technology applications. Due to their specialised nature, they offer higher margins than conventional
textiles. The technical textiles market in India is still in infancy and fairly unorganised. It is also highly import intensive.
Estimates suggest that this market will grow at a CAGR of 10% to reach ` 146,000 crore (US$ 31 bn) by 2020.
In weaving, the Company under its ongoing expansion proposes to install 200 nos. Toyota make Air jet wider width looms with
an installed capacity of 24 mn meters. The company is also installing 120 normal width Picanol make Airjet / Rapier looms
with an installed capacity of 27 mn meters. Thus the total weaving capacity would increase to 212 mn. meters and total no.
of looms to 2,183. Looking to the growing demand for the knitted fabrics, the company is further expanding its capacities by
installing additional circular knitting machines taking the total capacity to 25000 tpa.
Home Textiles
Terry Towel Sheet Sets
Alok ventured into made-ups segment by installing wider width (3 meter width) processing house at Vapi and as a forward
integration set up made-up unit of 100 stitching machines and other allied machines at Vapi. Subsequently, it setup a new
factory with 400 stitching machines at Silvassa taking the capacity to 6 million sets. Alok, has created a large and prestigious
customer base like Wal – Mart, Target and Kohl‘s, in the Home Textiles segment. Looking to the good demand the company
later on expanded its weaving and processing capacity. The products include Sheet-sets, duvets, comforters, blankets, quilts,
bed-in-a-bag, Curtains in prints, solids, embroidery, sateen‘s, flannel, Jacquards, Dobbies, yarn-dyed from 180 TCs to 1000
TCs. Within this segment in 2009-10, the Terry Towel plant was commissioned. It has 48 looms, capable of producing 6,700
TPA and an equivalent amount of terry towel processing capacity.
Home textiles are exported to overseas retailers and brands, sold in the domestic market to retailers and brands, and also
distributed through the Indian retail venture ‘H&A’ stores and the UK based ‘Store Twenty One’ outlets.
Domestic sales increased by 215.70% from ` 17.13 crore to ` 54.08 crore. While this growth looks large it is on a small
base. Exports grew to ` 946.03 crore in 2010-11 against ` 690.13 crore – an increase of 37.08%. Total home textiles sales
increased by 41.41% to ` 1000.11 crore. Growth was supported by faster penetration of H&A operations and growth in terry
towel sales, where production is getting stabilised. Table 8 gives the data.

Table 8: Home Textiles Sales

Sales Sales
Home Textiles 54.08 946.03 1000.11 15.66% 17.13 690.13 707.26 16.41% 41.41%
In home textiles, processing capacity is being increased by 22.50 mn meters to 105 mn meters, while weaving capacity is
being increased by 24 mn meters to a total capacity of 92 mn meters. And, terry towel capacity is being doubled to 13,400
tonnes.
Garments
Alok commenced its garment manufacturing operations in 2004 as a pilot project by setting up a unit of 100 stitching machines
at Turbhe, Navi Mumbai with an installed capacity of 1 mn pieces per annum. The company has evolved into a nominated or
preferred vendor for big global label and retailers like Mother Care, Carrefour, JC Penny and Kappa
With the removal of quotas and the sourcing of garments by the western countries shifting to low cost countries like India,
garment stitching is an important value added service for the buyer. With a view to increase its production capacity, the
company has added 1,547 Juki machines. The company currently has installed capacities of 22 mn pieces with 1,647 Juki
machines in Silvassa.
While garment sales, especially for exports, show encouraging growth potential, there is fierce cost competition. Alok is
therefore also looking at increasing capacities through outsourcing, either directly or through its subsidiaries to low cost
operators, both in India and overseas, especially Bangladesh, where quality garments can be produced at competitive prices.
The work-wear segment, too, offers opportunities for this division to grow profitably
The products include knitted or woven garments for ladies, gents and children, garments for sportswear, active wear, casual
wear and sleepwear, garments made from fabrics like solid, mélange, yarn dyed, auto stripes, jacquards, embroidered and
variety of prints like transfer prints, and block prints.
This remains primarily an export oriented business. And, exports increased to ` 162.99 crore in 2010-11 against ` 131.14
crore in 2009-10 – a growth of 25.28%. While, domestic sales increased from ` 9.86 crore in 2009-10 to ` 11.07 crore in
2010-11. Total garment sales increased by 23.45% to ` 174.06 crore in 2010-11. Table 9 gives the data.
Table 9: Garment Sales

Sales Sales
Garments 11.07 162.99 174.06 2.72% 9.86 131.14 141.00 3.27% 23.45%

Polyester Yarn
POY Texturing
As a backward integration to texturising, the Company had ventured in Partially Oriented Yarn (POY) with an installed capacity
of 54,000 tpa in 2006 through chip route. Looking to the expansion of texturising capacity and to save on the raw material
cost, the Company has increased the total production capacity of POY from 54,000 tpa to 200,000 tpa. This has been done
through Continuous Polymerization (CP) route in March 2009. Under the CP route, POY is manufactured from PTA and MEG.
With prices of cotton increasing steeply, cotton fabric got replaced by polyester fabric, giving a fillip to demand for polyester
yarn. Table 10 shows that Alok’s domestic sales increased by 18.45% to Rs. 1,113.83 crore in 2010-11, while exports
increased by 127.23% to Rs.574.35 crore in 2010-11. Consequently, total polyester yarn sales increased by 41.50% to
Rs.1,688.18 crore in 2010-11 against Rs.1,193.08 crore in 2009-10.
Table 10: Polyester Yarn Sales
Sales Sales
Polyester yarn 1,113.83 574.35 1,688.18 26.43% 940.32 252.76 1,193.08 27.67% 41.50%
The Company expects growth in global demand for polyester yarn and is setting up another CP plant with a capacity of
300,000 tonnes taking total capacity to 500,000 tonnes, out of this 100,000 tpa has commenced operation in March 2011. The
Company is also increasing DTY capacity by 56,000 tonnes to create total capacity of 170,000 tonnes
Capacity Expansion
Table 11 below gives the existing capacity and capacity expansion programmes form the different divisions.
Table 11: Alok’s Capacity and Expansion Programme
Divisions Units Current Capacities under Capacities Post
Capacities Implementation Expansions
SPINNING Tons 69,040 10,960 80,000
Spindles (3,43,840) (68,000) (4,11,840)
Rotors (3,792) (1,888) (5,680)
HOME TEXTILES
Processing mn mtrs 82.5 22.5 105
Weaving mn mtrs 68 24 92
Terry Towels Tons 6,700 6,700 13,400
APPAREL FABRIC
Processing mn mtrs 105 21 126
Weaving mn mtrs 93 17 110
Knits Tons 18,200 6,800 25,000
GARMENTS mn pcs 22 22
POLYESTER
DTY Tons 1,14,000 56,000 1,70,000
FDY Tons 65,700 - 65,700
POY Tons 3,00,000 2,00,000 5,00,000

Quality
Alok has always stressed on maintaining high quality of manufacturing facilities and operational processes.
The Company has the following accreditations.
ISO Certifications
The company is now accredited with Integrated Management System (IMS). There are 4 certificates under this system:
1. ISO 9001: 2000 – Quality Management System
2. ISO 14001:2004 – Environmental Management System
3. OHSAS 18001: 2007 – Occupational Health & Safety Assessment System
4. SA 8000: 2008 – Social Accountability
Alok is the only India textile company to have obtained IMS with all the four certifications.
ECO-Certification
Alok is the first Indian Textile company to have been awarded all three certifications for its eco-friendly products. This includes:
• EU Flower – the eco-certificate from European Union
• KRAV certification for organic products
• SWAN certification – a Nordic eco-labelling certification
In addition, the Company is also certified for Global Re-cycled Standard (GRS) certification for entire supply chain (spinning
to finished product). The testing Laboratory at Vapi and Pawane has been accredited by NABL (National Accreditation Board
for Testing and Calibration Laboratories) for ISO 17025:2005 Quality Management System
Strategic Investments
In addition to the core Indian textiles operations, the Company has diversified its business scope by making investments
into subsidiaries and associate companies. While some of these investments were to reach out to new markets, others were
made to fill a gap in the complete textile industry value chain. The outlays in the realty business were a pure opportunistic
financial investment.
The Company’s strategic investments into subsidiaries and group companies decreased from ` 217.06 crore as on 31
March 2010 to `139.64 crore as on 31 March 2011. The decrease is primary due to reduction in equity investment into Alok
Industries International Limited from ` 79.37 crore as on 31 March 2010 to ` 0.22 crore as on 31 March 2011. This step-down
subsidiary has the majority of investments in Mileta and Grabal Alok (UK) Ltd. of the strategic investments, mainly ` 36.05
crore is in Alok (H&A) Ltd, ` 10 crore in Alok Apparels Pvt. Ltd. and ` 71.50 crore in realty assets of New City of Bombay
Manufacturing Mills Limited.
In the textiles space, the two primary subsidiaries or associate companies are Mileta and Alok Apparels Private Limited.
Mileta
Alok holds 100% stake in Mileta, a Czech based manufacturing company through its wholly own subsidiary Alok Industries
International Ltd.. The plants of Mileta are located in Horice (Weaving and Administration) and Cerny Dul (processing) in the
Czech Republic.
Mileta provides benefits from its technology skills in yarn-dyed fabrics and hemming that results in higher per unit realisations
and new product lines. The Mileta range of products includes handkerchiefs, high quality shirting, batistes and voiles, complete
line of functional table linen and bed linen. Their brands including ‘Mileta’, ‘Erba’, ‘Cottonova’, ‘Wall Street’ and ‘lord Nelson’
are being introduced in the Indian domestic market. Alok also leverages Mileta’s extensive marketing network in Europe,
Russia and Africa to promote its existing products.

Mileta witnessed a turnaround in 2010-11. Net Sales grew by 3.02% from – € 19.85 million in 2009-10 to – € 20.45 million in
2010-11. PBT has turned around from a deficit of – € 1.54 million in 2009-10 to profits of € 0.7 million in 2010-11.
Alok Apparels Private Limited
Alok’s 100% subsidiary, Alok Apparels Pvt. Ltd., manufactures woven and knit fashion garments at Silvassa. In 2010-11,
the unit achieved sales of `10.89 crore. This business is expected to grow both through own manufacturing as well as
outsourcing.
In order to further reach out to end customers and fill the void of the ‘last mile’, Alok has entered the retail space. In India, this
endeavour is through the ‘H&A’ stores, while in UK it is through ‘Store Twenty One’
H&A: Domestic Retail
The Company’s domestic retail operations are today carried out through the cash and carry company called ‘Alok H&A Ltd’, a
100% subsidiary of the company and Alok Retail (India) Limited. The Company has been expanding its H&A chain of stores
at a rapid pace. It has increased its number of stores from 226 at the beginning of 2010-11 to 291 by the end of 2010-11. This
includes ‘shop in shop’ formats. With this, there is now presence in 22 states across over 75 cities. Most of the shops are
operated through the franchisee model. The stores offer quality products in home textiles, men’s wear, women’s wear, kids’
wear and accessories like ties, handkerchiefs and cuff-lings.
In 2010-11, Alok H&A Limited recorded sales of ` 40.37 crore and was a profitable business. Going forward the company
plans to expand its network to 500 operational stores by March 2012, including a few large format stores with carpet area
of around 2,500 square feet. All the new stores will be on the franchisee model and will therefore have lower set up costs
and accelerated roll out. There are plans to roll out new accessories like footwear, sun-glasses and perfumes. The goal is to
become an established affordable lifestyle store brand in India.
Store Twenty One: UK Retail
Alok Group presently has a stake of 91% in Grabal Alok (UK) Ltd the company that operates the ‘Store Twenty One’ chain of
value-format stores in UK. Today, the chain comprises around 215 stores, which offer a value proposition for quality apparel
for women, men, and children.

They also sell accessories like artificial jewellery, shoes, leather bags, and toys, which complement the apparel range.
The focus in this business over the recent past has been to restructure and grow revenues while optimising costs. And, in
2010-11, there were positive achievements on this front.
• For the 12 month period ended March 2011, the stores have registered gross sales of £ 129.75 million as compare to
£ 117.06 million in FY 2010, a growth of 10.84%.
• Store margin increased from 40.30% in FY 2009-10 to 40.67% in FY 2010-11. On the costs front, people costs reduced
marginally from 11.72% in 2009-10 to 11.68% in 2010-11.
• Operating profits or EBIDTA turned around from a negative of £ 3.01 million in 2009-10 to positive territory of £ 1.71
million in 2010-11.
The Company has also made investments in the realty sector. The focus in this business is to create value from the existing
investments and monetise the assets in an opportunistic manner. The investments here include:
Peninsula Business Park (Lower Parel)
This includes Tower B 641,600 sq ft at measuring of ultra
modern office premises with 600 car parks. The project is
developed by Peninsula Lands Ltd and civil work by out
by Shapoorji Pallonjee. The First level starts at a height of
80 feet from the ground, thereby offering a fabulous view
of the Arabian Sea and the Mahalaxmi Race Course. The
building has received occupancy certificate from respective
authorities. Two of the floors measuring about 32,000 sq. ft.
each have been leased .
The total project cost is ` 1306.80 crore. This has been
funded by equity of ` 556.80 crore and debt of ` 750.00
crore.
Ashford Royale Premium Residential Complex (Nahur)
The project is being developed jointly by Ashford Investment
and Trading Company Pvt. Ltd. and Alok Infrastructure Ltd.
It is a residential complex on a 7 acre plot (CEAT factory) at
Nahur. The architects appointed for the project are Talati and
Panthaky and the proposed saleable area is around 1.1 mn
Sq. ft. It is being developed as a modern residential complex
with large landscaped gardens and water bodies, with club
house and gymnasium.
The total project cost is estimated to be about ` 550 crore,
which is being funded by equity of ` 136 crore, advance
from customers of ` 314 crore and debt of ` 100 crore. The
certification of conversion of land to ‘residential’ use was
received and the project launched in February 2011. The
initial launch has been well received in the market and is
expected to be completed by March 2014.
Ashford Centre (Lower Parel)

This 60,000 square feet of prime office space is located in
Lower Parel in close proximity to to Lower Parel and Currey
Road stations; 5 star hotels ITC and Four Seasons; and other
major complexes like Indiabulls, DLF, HDFC Bank House and
Ambit RSM. The project developed by Ashford Group with
Billimoria as architects. It is 10 storey commercial building of
which 8 floors alongwith 40 car parks have been purchased
by us.
The total project cost is `124.50 crore. Construction is
complete and possession handed. Out of the 8th floors, 4
floor are being capitively used and balance 4 floor are being
offered for sale.

Since the two commercial properties are now nearly completed, Alok group is looking at bringing back its investments from its
realty subsidiaries over a period of next two years. The proceeds shall be utilised towards repaying part of the existing debt
of the subsidiary and parent company and thus reduce the gearing ratio of Alok Industries Ltd.
In addition, Alok had entered into a Joint Venture Agreement with National Textile Corporation (NTC) for the development and
revival of New City Mills at Mumbai and Aurangabad Textile Mills at Aurangabad. Progress on this has been satisfactory – the
units at Aurangabad and Mumbai with 135 garmenting machines and 125 garmenting machines have been set up; a design
studio at New City Mills has also been established.
Human Resources
At Alok, the role of the HR team is structured to meet the needs of the organization. As a successful organization, Alok is
becoming more adaptive, resilient, quick to change direction and customer-centered. Within this environment, the HR team
is a strategic partner, an employee sponsor or advocate and a change mentor.
Strategic Partner: In the role as a strategic partner, the HR team contributes to the development of and the accomplishment
of the organization-wide business plan and objectives. The HR business objectives are established to support the attainment
of the overall strategic business plan and objectives. This strategic partnership impacts HR services such as the design of
work positions; hiring; reward, recognition and strategic pay; performance development and appraisal systems; career and
succession planning; and employee development.
Employee Advocate: As an employee sponsor or advocate, the HR function plays an integral role in organizational success
via knowledge about and advocacy of people. This advocacy includes expertise in how to create a work environment in which
people will choose to be motivated, contributing, and happy.
Fostering effective methods of goal setting, communication and empowerment through responsibility, builds employee
ownership of the organization. The HR team helps establish the organizational culture and climate in which people have the
competency, concern and commitment to serve stake holders well.
In this role, the HR team provides employee development opportunities, talent management strategies, leadership development,
employee assistance programs, gainsharing and profit-sharing strategies, organization development interventions, due
process approaches to problem solving and regularly scheduled communication opportunities.
Change Champion: The constant evaluation of the effectiveness of the organization results in the need for the HR team to
frequently champion change. Both knowledge about and the ability to execute successful change strategies makes the HR
team a key catalyst to bring about change in the organization. This a critical attribute to minimize employee dissatisfaction
and resistance to change.
The HR team contributes to the organization by constantly assessing the effectiveness of the HR function. It also sponsors
change in other departments and in work practices. To promote the overall success of the organization, it champions the
identification of the organizational mission, vision, values, goals and action plans.
The company’s headcount (including those on contract) as on 31 March 2011 stood at 23031. There were no incidents of
stoppage of work on account of labour issues.
Information Technology (IT)
Alok has always utilised IT as a business enabler to optimise its processes and build a competitive edge. Implementation of
appropriate new technology and up-gradation of IT tools is an on-going process at Alok.
The developments on this front in 2010-11 include:
• Variant configuration pilot has been carried out. Alok/IBM team have finalised the characteristics to be considered for
final material master. After extensive testing to check the impact of this on all modules, it has been put to production and
teething issues are being resolved.
• Blue print of business process charts (BPC) is finalised except for management consolidation. Necessary development
environment is being installed. Consolidation of legal matters has been configured and tested. This is being made IFRS
compliant and details on IFRS is awaited.
• Proposals have been received for controlling (CO) module. The project has been initiated and we are in the blue print
phase.
• SAP has audited Advanced Planning Optimiser (APO) blue print and given a go ahead for configuration. APO Configuration
has been completed and unit testing is over. A few product gaps were found during testing. These are being analysed

by SAP. Users have signed off unit testing subject to these gaps. There are still some product gaps. SAP is looking into
them and trying to make necessary changes.
• Human Capital Management (HCM) module has started. “AS IS” documents have been finalised. Blue prints have been
signed off, configuration is complete and testing has been initiated.
• ECC 6 testing has been completed on development and quality servers. Preparation for production upgrade has been
completed. Production upgrade has been completed as planned and ECC 6 is working fine in production environment at
Alok.
• New P6 series servers and Storage Area Network (SAN) installed for APO and R/3 Production.
• Connectivity with Sri Lanka established (MPLS 512 Kbps).
Corporate Social Responsibility
While focusing on maximising shareholder value, Alok Industries has always strived to be a good corporate citizen and
promote the overall cause of all stakeholders related to the textiles and apparel industry. These include initiatives on education,
social welfare, environment and health.
Education
Alok played a pivotal role in setting up the Advanced Academy for Development of Textile Technologists (A.A.D.T.T.) with
a vision to create a unique knowledge and technologically advanced platform for the identification, skill enhancement and
career development of resources for the Textile Industry.
There is a significant knowledge gap between curriculum followed at institutes and knowledge and skill demand due to
technology up gradation in the Indian textile industry. The shortage of quality and quantity of trained manpower is further
worsened due to continuous movement of technologists to alternate streams (IT, Finance etc). Besides looking at governmental
support, a pro-active initiative was needed from the textile industry players to identify, train and retain talent within the industry.
The AADTT is testimony to the Company’s commitment towards creating quality human resources for the Textile Industry.
During the year, 10 candidates underwent training at the Spinning Division. In the current year close to 20 candidates have
been selected from leading textile engineering Institutes for a course in skill development and enhancement. This will prepare
them to meet the new and more challenging demands of the industry.
The Company provided mid-day meals to school children in the (Prathmik Shala) rural villages of Balitha and Murai, adjoining
its plant premise, benefiting around 200 children on daily basis. It renovated a primary School for rural children in the village
of Balitha which runs 1st to 5th standard and benefits over 100 children from adjacent villages. A similar school renovation
project has been sponsored at the Government School based at Saily Village. The Company donated computers to various
rural schools in Moria and Balitha villages.
The Company started a public school in Silvassa under the CBSE curriculum. This modern school will hugely boost the
aspirations of the local populace to ensure a sound education platform for their children. The school will have facilities for all
round development of children besides having special programs for the differently abled. Alok is also working on a private
public partnership with Silvassa administration to convert the Government owned Industrial Training Institute (ITI) into a
centre of excellence.
Social Welfare
The organization runs a training centre at Silvassa where tribal ladies and boys are trained on stitching operations and
later absorbed on the company rolls as permanent employees, thus providing employment opportunities to the rural local
population. The Company promotes women employment and imparts technical training to tribal women too for their migration
as operators.
To promote infrastructure development, the Company constructed tar roads inside the villages of Murai and Balitha. It
renovated a local bus stop at Morai for convenience of villagers, a police station at Vapi and provided proper infrastructure /
furniture to them, and a primary health care centre in the Chalka village. The Company also donated one “Blood Separator
Unit” to Haria Hospital at Vapi.
To extend a helping hand during natural calamities, Alok distributed food packets and bed sheets to the flood affected victims
during the Gujarat floods.
Environment
Afforestation work was carried out at hills adjacent to Balitha, Moria and Vatar Villages. The Company also provided a water
sprinkler system on the hills to maintain the forest and prevent fires during summer months. It undertook plantation and
cultivation of mango groves at the vicinity of Morai village, adjacent to Vapi plant by the company.

Alok has started a project on biological processing of ETP water at Vapi unit. On a regular basis, ETP water is recycled and
reused. The Company has set up a RO plant to recover over 70% of the ETP water and the same is used in sanitation and
horticulture purpose in the plant itself, reducing pollution load on the environment.
The organization has also taken up beautification projects in the township of Silvassa. It has taken up the mantle of maintaining
green units at important locations across the township. To maintain its commitment towards the environment, the company
planted over 500 trees and proposes to intensify its ‘greening’ initiatives this year.
Health
The Company frequently conducted blood donation camps in association with a NGO – Blood bank – Popat Lakla Blood Bank
at Balitha.
The company as a commitment towards community heath, conducted training and distributed tablets for prevention of filariasis
(Elephantiasis) to the people residing in vicinity with the help of Public Health Department, Silvassa.
The organization runs a full time dispensary at each of its unit for the welfare of its employees. Each dispensary has a visiting
doctor, full time trained nurses and is adequately equipped with medicines. It also has tie up with hospitals at Vapi / Silvassa
to handle emergencies.
The Company also conducted an ‘Eyecare camp’ at the corporate office and plants where all employees could get their eyes
tested by renowned ophthalmologists and were provided eye treatment at subsidised rates.
The Company received the following awards during 2010-11:
• The Company received the following trophies from TEXPROCIL for its performance in 2009-10
• Gold Trophy for highest exports of bleached/dyed/yarn dyed/printed fabrics in the fabrics category
• Gold Trophy for highest exports of bed linen/bed sheets/quilts in the Made-ups category
• Silver Trophy for highest global exports category
• Certificate of Recognition as a ‘STAR TRADING HOUSE’ from the Government of India.
• Appreciation Certificate from the Office of the Chief Commissioner of Central Excise, Customs and Service Tax, Vadodara
Zone to the Vapi Unit for “Contribution of the Revenues with the Spirit of Cooperation and voluntary compliance with the
laws during the Current Year”
• The Company was also the proud winner of the IMC – Ramakrishna Bajaj National Quality (RBNQ) Performance
Excellence Trophy – 2010 in its maiden attempt
Risk Management
The ability to take risks is the hallmark of any good business enterprise, but if those risks are managed ineffectively, then
growth can be adversely affected. Risk would mean the inability to assess the danger of loss due to unforeseen events or to
optimize opportunities. Every organization needs an effective risk management framework.
Corporate reality is today besieged with challenges. Whether those challenges relate to governance, people, process or
technology, there has to be a methodology to address all of them efficiently. Enterprises need to possess the right tools to
assess, develop, implement and monitor, to manage the organization.
At Alok Industries Limited, we adopt a risk intelligent approach to manage financial, technology, and business risks. We
have a structured framework that endeavors to deliver effective solutions to the challenges faced by the organization.
While focusing on areas of enhanced risk, we have created a structure to effectively manage risk across our bandwidth. We
have developed risk committees at all locations, comprising of senior officials from different streams. These committees meet
regularly to discuss various risks affecting their respective locations and also suggest mitigation measures for vetting by the
steering committee and subsequent implementation. There are identified risk owners and risk champions who lead these
committees and all identified and duly rated risks are captured in risk registers specially created for this purpose.
We seek to not only to pursue intelligent risk taking as a means to value creation but also cultivate a robust risk mitigation
ideology. Our risk management initiatives are directed so as to better align our business objectives and strategies with the
need of today’s competitive market. We periodically also avail the aid of globally reputed specialists to redefine our risk
framework in line with our vision, mission and business strategy.

Risks & Risk Mitigation

The Company’s risk mitigation measures for major operational and process risks are detailed below.
Materials and Input Costs
For financial year ended 31 March 2011, cotton related businesses constituted 74% of Alok’s total business and polyester
yarn was about 26%. The major raw materials for both the businesses are discussed below:
Cotton
Cotton related business being a major part of Alok’s

business; cotton is one of the main raw materials.
Fluctuations in the prices of cotton, therefore, may impact
the Company’s performance adversely.
According to the International Cotton Advisory Committee,
world cotton production for 2010-11 was estimated at
25.05 million tonnes, whereas consumption was 25.01
million tonnes, thus the stock was at 8.65 million tonnes
as at FY 2010-11. World cotton production for 2011-12 is
estimated at a record level of 27.33 million tonnes, whereas
consumption is estimated at 25.76 million tonnes. Thus, the
stock at the end of 2011-12 would be higher at 10.21 million
tonnes.
As per Cotton Advisory Board, India’s cotton output during the 2010-11 was estimated 32.5 million bales (170 kg each) and
consumption is estimated at 25.3 million bales. After considering exports of 6.5 million bales, the carry forward stock at the
end of 2010-11 is estimated at 5.25 million bales.
In the year under review, Cotton witnessed the highest price increase in the last 100 years. Cotton prices went up from Rs
34000 per/candy at the beginning of the season to Rs 63000 in the month of May 2011 and then dropped down to Rs 30,000.
In India this season, subject to normal monsoons, the crop is expected to be about 34 million bales i.e. about 5% higher than
the previous season and therefore, cotton prices are expected to remain stable at current levels.
Looking at the wide fluctuations in the price of cotton, Alok has strategized cotton procurement in many ways to mitigate the
risk of cotton price fluctuations. First, it buys cotton to the extent of sale of its fabrics and other products, which is normally
3-4 months. Secondly, it buys during cotton crop season, when quality, availability and costs are favourable. Finally, the
price movement of cotton being a global phenomenon; it is able to pass on the increase /decrease in prices to the customer.
PTA and MEG
Polyester yarn is increasingly becoming a major business
for Alok. Purified Terephthalic Acid (PTA) and Mono
Ethylene Glycol (MEG) are the / major raw materials that
go into the manufacture of POY and polyester yarn. Being
petrochemical products, prices of PTA and MEG fluctuate in
line with fluctuations in crude oil prices. Also, PTA and MEG
prices move in tandem with the cotton prices as was noticed
during the recent volatility of cotton prices.
Presently, international crude oil prices are stable and it is estimated that they would move within a narrow price band. Also,
the volatility in cotton prices has come down. As a result, we expect PTA and MEG prices to be stable too. The demand for
textiles is growing and cotton being a natural commodity has a limitation on production. Moreover, polyester being a cheaper
compared to cotton, the demand for polyester has been growing rapidly over the past few years and the trend is expected to
continue. In case of polyester also, Alok is trying to keep its inventory level matched with its sales order book. Looking to the
present rising demand scenario for polyester and fluctuation in prices being a global phenomenon, Alok is confident that it
will be able to pass on the fluctuations in cost of the raw material to the end customer.

Fuel
Power and fuel are major manufacturing costs in the production of textiles. In case of Alok, power and fuel cost are about 6%
of Alok’s sales. Any increase in these costs therefore has an adverse impact on Alok’s bottom line. Over the past year, tariff
prices for power have been increasing. The Company’s dual fuel captive power plant helps to mitigate some of the power cost
risk. Alok has been actively exploring opportunities to switch over to a cheaper fuel source. The Company’s plants at Vapi
are already running on natural gas; it is expected that the same initiative will be completed in 2011-12 for Silvassa. Once the
switchover is completed and stabilised, there will be substantial savings in fuel costs; availability of fuel will also be less of
a risk. Further, Silvassa perhaps, enjoys the lowest power tariff in the country and Alok makes efforts to draw maximum
power from the grid.
Markets
Alok’s sales are subject to market demands. Alok is a B2B company and caters to almost all the international and domestic
brands and retailers for one or other of their requirements. The Company has a mix of domestic and export sales; Alok’s
exports are to over 70 countries and exports constitutes about 35% of its total sales. The status and risk of major economies
where Alok sells its products are given below.
USA
36% of Alok’s total exports are to the USA. The US economy, though, having a slow growth, is a major textile consuming
country and textiles are sort of necessities. The consumer may, however, shift the demand towards mid to low end products
over high end products during such times. Moreover, in such scenario, the buyers resort to consolidation of sourcing to few
large suppliers like Alok. The Company has been actively exploring other lucrative export markets, especially in Asia, Middle
East and South and Central America; which together have a 49% share of Alok’s exports. Africa, also offers Alok growth
opportunities in the export market.
Europe
About 14% of Alok exports is to European nations. Slowdown in the in Europe is both a risk and an opportunity for Alok.
Textile is a basic consumption need and consumers will purchase basic ‘value for money’ clothes and apparel, even in
the middle of the slowdown. Also, because the cost of production being relatively high, a number of textile units in Europe
have either reduced or ceased operations. These factors, in turn, help Asian manufacturers like Alok to penetrate European
markets. Having said this, the slowness of the recovery, especially in Central and Southern Europe remains an area of
concern.
India
Indian economy is the second-fastest growing major economies in the world. A Clothing demand tends to move in tandem with
GDP growth; hence, the domestic demand prospects for textiles and apparel look positive. There is worry about inflationary
pressures; however, the scope for growth in the Indian market remains substantial. As per the domestic demand scenario,
Alok would suitably position itself to tap the growing domestic market.
Financial Risk
Since removal of quota in Textile trade in 2005 till 2011, Alok has been aggressively expanding its capacities with forward
and backward integration and did a capex of ` 9027 crores. As a result, it has emerged as the largest Integrated Textile
Company in the country and has been able to establish contacts with all the leading brands and retailers in the world. As
bulk of the capex was through debt, the gearing of the Company has increased. However, the company’s borrowing cost is
considerably low at about 8% p.a. as some of these borrowings are under the Technology Upgradation Fund Scheme (TUFS)
at concessional rates of interest; some are foreign currency borrowings. Also, for working capital, the company is able to
borrow at lower cost under foreign currency / rupee export finance.
The bulk of the capacity expansions that Alok has undertaken have been completed and commissioned. As production from
these expansions comes on-stream, Alok expects an improvement in its cash flow, profitability and internal accruals. Alok is
also contemplating to bring back some of its investments in Realty and use the proceeds towards repayment of consolidated
/ standalone debt. The Long term Rating of the company continues to be CARE A+( A Plus).
Currency Risk
About 35% of Alok’s total sales is exports. For FY 2010-11 the total exports were ` 2,217.43 crore. These sales were
denominated mainly in US Dollars. A part of the Company’s loan book also comprises of foreign debt. Fluctuations in
foreign currency can therefore impact, either Alok’s top line or its interest outgo. Over the past few months, there has been
uncertainty over the Rupee movement. Rupee strengthening will impact exporters but would be beneficial on foreign currency
loan liabilities.
Alok has a well-entrenched in-house treasury division, that monitors currency fluctuations periodically and takes corrective
action where needed.

Internal Controls and their Adequacy

Alok has internal control systems and processes commensurate with its size and operations. The internal control function
is prevalent across all plants, divisions and corporate headquarters for safeguard of the Company’s assets and for their
protection against loss from unauthorised use or disposition. This is also top ensure that transactions are reliably authorised,
recorded accurately and reported quickly.
Alok has, towards facilitating the above, appointed Chartered Accountant firms to carry out concurrent internal audit at all its
locations. The scope of its internal audit programme is laid down by the Audit Committee of the Board of Directors. The Audit
Committee is briefed every quarter of the findings by the internal auditors, along with the remedial actions that have been
recommended or have been taken by the management.
Future Outlook
The recovery of global economies is happening at a slower Rapid Urbanization
pace, however, growth in Asian economies is quite encouraging (Urban Percentage of Total Population)
and fuelling the overall global economy. India has emerged as
the second fastest growing economies in the world driven by its
manufacturing output and infrastructure growth. The monsoon in
2011-12 is expected to be normal and initial indicators are showing
that India is expected to grow at around 8%.
The demand for Textiles has been growing in the domestic market
in line with the growth in GDP and presently it is estimated at USD
52 billion (about ` 2,34,000 crore). On export front also, Indian
textile exports has been growing consistently
and it is at about USD 26 billion (about ` 1,17,000 crore). Thus, the total size of Indian Textile industry presently is about USD
78 billion (about ` 3,51,000 crore).
In case of domestic market, apparel segment is the highest constituting almost 70% of the total textile consumption and is
estimated to be USD 36 billion (about ` 1,62,000 crore). The next biggest segment is the technical textiles with an estimated
size of USD 12 billion (about ` 54,000 crore). The home textile segment is estimated to be around USD 4 billion (about `
18,000 crore).
The main drivers of domestic growth are increasing population, increasing income levels, rapid urbanization, improving
demographics, increased organized players and increasing penetration of retailers into smaller cities.
(source:Technopak)
Accordingly, the domestic market is expected to grow at a CAGR of about 10% to reach USD 140 billion (about ` 6, 30,000
crore) by the year 2020. All the three sectors are expected to grow uniformly with apparel segment to reach USD 100 billion
(about ` 4, 50,000 crore), technical textile to grow to USD 30 billion (about ` 1,35,000 crore) and home textile domestic market
is estimated to be USD 10 billion (about ` 45,000 crore).
As an indicator of rising domestic consumption, the Retail
sector in India grew at 10%-14% CAGR between 2004-05
and 2007-08 on the backdrop of favourable demographics,
rising disposable income and increasing urbanization.
Organised retail grew faster at 28% led by new entrants,
low penetration and large expansions by existing players.
Going forward, Indian retail is expected to grow at 13.5%
CAGR over the next 5 years and expected to almost double
(source:Technopak)
to ` 27,20,000 crore (USD 604 billion) from its existing

14,40,000 crore (USD 320 billon). Organised retail is

expected to grow faster at 22.3% increase its share in retail
to 9.4% by 2014 from the existing 6.5%.
The global textile and apparel is estimated to be around

USD 600 billion and is expected to grow at a CAGR of
5% to reach USD 1000 billion by 2020. With the world
population expected to grow 1 bn. by 2025, there would be
an additional fibre consumption of approx. 20mn. tons
(source:Technopak)
The Indian textile exports are likely to grow considerably to
USD 80 billion by the year 2020 at a CAGR of about 12%
and its share is expected to increase from present about 4%
to about 8% by 2020. The Indian textile and apparel exports
are expected to increase at a higher pace in the future due
to: (a) increased shift in sourcing from developed countries
to Asia; (b) the overseas buyers are now looking at India
as good a alternative to de-risk their sourcing requirements
from China (c) growing domestic demand in China limiting
its export surplus; and (d) Chinese announcement to allow
more flexibility to its currency Yuan vis-a-vis USD thereby
giving level playing field to the Indian Textile Exporters (source:Technopak)
The recent slow-down has indicated that global textile and apparel buyers are, to reduce supply chain costs and quality
variations, now looking at reducing the number of suppliers from whom they source materials and preferring to consolidate
their purchases with a few large and efficient suppliers; thus, textile players with capabilities to deliver large volumes of high
quality textiles and apparel, are expected to benefit.
Alok has been gearing itself, from last of couple of years, for these opportunities. It has created large scale capacities with
backward and forward integration, adopted modern technologies, widened its product range and created a flexible set up to
quickly adopt to the changing customer’s needs. Its integration and scale enable it to produce high quality products at most
competitive prices and at lowest lead times. It has a well diversified customer base and has become a reliable sourcing
partner for its customers. It also plans to penetrate in the domestic market by expanding its domestic retail outlets ‘H&A’ at
a pan India level.
With its expansion programmes nearing completion, Alok would be looking to consolidating its operations with a focus on
maximising Return On Capital Employed (ROCE), effective utilisation of capacities and cost control. It would be looking
at increasing its asset turnover by concentrating on value added products on the cotton side and increasing capacities on
polyester side. It would also be looking at expanding its market by increasing its geographical reach.
Alok also believes that its retail business will be a profitable revenue earner in the near future.
Cautionary Statement
The management of Alok Industries Ltd. has prepared and is responsible for the financial statements that appear
in this report. These are in conformity with accounting principles generally accepted in India and, therefore,
include amounts based on informed judgments and estimates. The management also accepts responsibility for the
preparation of other financial information that is included in this report. Statements in this Management Discussion
and Analysis describing the Company’s objectives, projections, estimates and expectations may be ‘forward looking
statements’ within the meaning of applicable laws and regulations. The management has based these forward
looking statements on its current expectations and projections about future events. Such statements involve known
and unknown risks significant changes in political and economic environment in India or key markets abroad, tax
laws, litigation, labour relations, exchange rate fluctuations, interest and other costs and may cause actual results
to differ materially.

did you know?
■ Alok is amongst the market leaders in every segment that it
operates.
did you know?
It has probably the widest product range in the world under

one roof.
■ Alok commenced manufacturing operations in February

1989 at Silvassa with production of 511 tons per annum of
Polyester Texturised Yarn. Alok's present capacity of 1,400 tons
per day is an increase of over 2.50 times of its original
capacity per annum making it the fourth largest fully integrated
polyester yarn manufacturer in the country.
Alok offers a wide range of polyester products from Partially
Oriented Yarn (POY), Draw Texturised yarn (DTY), Fully Drawn
Yarn (FDY), Dyed Yarn, Cationic Yarn, Polyester Staple Fiber
(PSF) and Chips.
■ One of the largest embroidery producers in India and

amongst the largest in the world is Grabal Alok Impex Limited
(Grabal), a Joint Venture Company promoted by Alok in 1995
in financial and technical collaboration with Grabal, Albert
Grabher Gesellshaft mbH & Co. of Austria.
The Board of Directors of Alok and Grabal have approved the
amalgamation of Grabal into Alok with a swap ratio of 1:1 i.e.
every one share of Grabal would receive one share of Alok.
■ Alok had a humble beginning in the Home Textiles sector in

2003-04 with manufacturing and export of bed sheets worth
Rs. 56 crore in the first year. As on 31st March 2011, Alok is
the probably the largest bed linen exporter from India with
export of Rs. 946 crore and has been awarded the prestigious
'Gold Trophy" by TEXPROCIL, Ministry of Textiles, Government
of India twice in a row.
Alok's range in this segment today includes the entire range of
top of the bed i.e. Sheet sets, Duvets, Comforters, Blankets,
Quilts, Bed in Bag in solids, dobbies, jacquards, prints,
embroidery, yarn dyed. It has also added special finishes such
as Wrinkle free, Antibacterial, Fire retardant, etc. and curtains
and towels to its portfolio.
■ Being amongst the first to enter the Technical and Special

finish fabrics segment in 2005, with capacity of about 20
million meters p.a., Alok today has become a dominant
manufacturer of work wear fabrics in India. camouflage prints
with IRR finish, Teflon coated, UV protection, ice cool, etc.
TM
did you know?
The range includes finishes such as flame retardant, high visibility,
oil resistant, anti bacterial, mosquito repellent,
did you know?
Alok is continuously investing in research and development in this

direction and work wear fabrics would be a major focus for growth.
■ Alok Industries International Limited (BVI), a wholly owned

subsidiary of Alok acquired 60% stake in Mileta International in
Czech Republic in 2007. Today, it owns 100% stake in that
company and has also turned around Mileta into a profit making
company.
Alok has also acquired technology to manufacture premium yarn
dyed fabrics and managed to penetrate the lucrative European
market for its products It has added
products from Mileta like handkerchiefs and table linen in its
product portfolio.
■ Alok group holds, 91% stake in Grabal Alok UK Limited, that

owns the retail chain "Store Twenty One" with 219
stores across UK, Scotland and Wales and employs
about 2,500 people. The stores offer a value
proposition for quality apparel for women, men, and children and
fashion accessories like costume jewellery, shoes, leather bags,
toys etc.
With the proposed amalgamation of Grabal into Alok,
post-merger the entire 91% would be held by
Alok Industries Ltd through its wholly owned overseas subsidiaries
■ Alok H&A Ltd., a 100% owned subsidiary of Alok operates 311

Stores in the Indian domestic market in 22 states and 75 cities
under the store brand on franchisee and shop-n-shop basis. H &
A stores offer high quality home textiles, men's wear, women's
wear, kids' wear and fashion accessories to Indian consumers.
"Brett Lee" brand of active wear and sportswear is now being
launched for the first time in India through H & A stores. Few more
brands and larger format stores of about 2500 sq. ft. will also be
introduced soon.
■ Alok has decided to sell its properties held under
its real estate subsidiary, Alok Infrastructure Private Limited.
It has appointed Cushman & Wakefield for this purpose. The
market value of these assets is significant and the company is
confident of liquidating the same over a period of 3 years. The
proceeds of these properties would be used to retire debt of the
Company.

REPORT ON CORPORATE GOVERNANCE
COMPANY’S PHILOSOPHY ON CORPORATE GOVERNANCE

Transparency, integrity, professionalism and accountability are the cornerstones of Alok Industries Limited’s (‘Alok Industries’
or ‘the Company’) value system, which guide the Company’s management in conducting business and creating value for
all its stakeholders including its shareholders, customers, employees and the community in which the company operates.
Consequently, Alok Industries remains resolute in its belief and practice of good corporate governance.
With firm commitment to ethics and integrity in all its business dealings, the Company maintains a high degree of transparency
through regular disclosures and a focus on adequate control systems. Alok encourages management independence and
provides flexibility to all its employees within an established framework of policies standards and processes. Instead of
viewing corporate governance practices as a set of binding obligations, Alok Industries believes in utilizing these governance
systems and frameworks in practice to deliver value over the long term.
This chapter, along with the chapter on additional shareholders information is the Company’s disclosure on compliance with
the mandatory requirements on corporate governance stipulated in the listing agreement with the Securities and Exchange
Board of India (SEBI) under clause 49.
BOARD OF DIRECTORS
COMPOSITION OF THE BOARD
As on 31 March 2011 the Company’s Board comprises of 12 directors. The Board has four Executive Directors, of which the
Executive Chairman, Managing Director and Joint Managing Director are also promoter Directors. In addition, the Board has
eight non-executive Directors, consisting of five independent Directors who are nominees of various financial institutions, two
independent Directors and one non-executive director . The composition of the Board satisfies the conditions that SEBI has
laid down in this regard.
NUMBER OF BOARD MEETINGS
The Board of Directors met four times during 2010-11 on 30 April 2010, 29 July 2010, 28 October 2010 and 28 January 2011.
The maximum gap between any two meetings was less than 4 months.
DIRECTORS’ ATTENDANCE RECORD AND DIRECTORSHIP HELD
Table 1: Composition of the Board of Directors as on 31 March 2011
Name of the Directors Category Attendance Particulars No. of other Directorships and Committee
membership / Chairmanships in other Indian
public companies
Number of Board Last AGM Other Committee
Meetings Directorships
Held Attended Memberships Chairmanships
Mr. Ashok B. Jiwrajka Promoter, 4 3 No 12 1 -
(Executive Chairman) Executive
Mr. Dilip B. Jiwrajka Promoter, 4 3 Yes 13 2 -
(Managing Director) Executive
Mr. Surendra B. Jiwrajka Promoter, 4 3 Yes 13 1 -
(Joint Managing Director) Executive
Mr. Chandrakumar Bubna Executive 4 2 Yes 1 - -
Mr. Ashok G. Rajani Independent 4 3 No - - -
Mr. K.R. Modi Independent 4 4 Yes 1 2 -
Mr. K. D. Hodavdekar Independent 4 4 Yes - - -
(Nominee of IDBI Bank
Limited)
Mr. Rakesh Kapoor Independent 4 4 Yes 2 - -
(Nominee of IFCI Ltd.)
Mrs. Thankom T. Mathew Independent 4 4 No - - -
(Nominee of Life Insurance
Corporation of India.)
Mr. David Rasquinha Independent 4 4 No 3 - -
(Nominee of Export Import
Bank of India)

Name of the Directors Category Attendance Particulars No. of other Directorships and Committee
membership / Chairmanships in other Indian
public companies
Number of Board Last AGM Other Committee
Meetings Directorships
Held Attended Memberships Chairmanships
Mr. Timothy Ingram Independent 4 4 Yes - - -
Mr. A. B. Dasgupta Independent 4 3 Yes - - -
(Nominee of IDBI Bank
Limited (#)
Mr. Debasish Mallick Independent 1 0 N.A. - - -
Nominee of IDBI Bank
Limited) (#)
Note:
# Nomination of Mr. A. B. Dasgupta was withdrawn by IDBI Bank Limited w.e.f. 01 November 2010 and in his place
Mr. Debasish Mallick was appointed on the same date.
As mandated by the Clause 49, none of the Directors are members of more than ten Board level committees of public
companies nor are they Chairman of more than five committees in which they are members.
DIRECTORS WITH MATERIAL PECUNIARY OR BUSINESS RELATIONSHIP WITH THE COMPANY
As mandated by Clause 49, the Independent Directors on the Company’s Board:
Apart from receiving sitting fee, commission and stock options, do not have any material pecuniary relationships or
transactions with the company, its promoters, its Directors, its senior management or its holding company, its subsidiaries
and associates which may affect independence of the Director.
Are not related to promoters or persons occupying management positions at the Board level or at one level below the
Board.
Have not been an executive of the company in the immediately preceding three financial years.
Are not partners or executives or were not partners or an executives during the preceding three years of the:
Statutory audit firm or the internal audit firm that is associated with the company
Legal firm(s) and consulting firm(s) that have a material association with the company
Are not material suppliers, service providers or customers or lessors or lessees of the company, which may affect
independence of the Director
Are not substantial shareholders of the company i.e. do not own two percent or more of the block of voting shares
Transactions with related parties are disclosed in Note 3 of ‘Notes forming part of the Accounts’ annexed to the financial
statements of the year. There has been no materially relevant pecuniary transaction or relationship between Alok and its
non-executive and/or independent Directors during the year 2010-11.
Note:
During the year, the Company made payment of legal fees of ` 1.74 lakh to M/s. Kanga & Co., solicitors and advocates,
in which Mr K R Modi, director, is a Senior Partner and had sales transactions aggregating to ` 238 lakh with a firm and
company in which Mr Ashok Rajani, director is a Partner and Director. The transactions were made in the ordinary course
of business and at arm’s length basis. The Board of Directors of the Company is of the view that the transactions made are
not material enough to impinge upon the independence of both the Independent Directors

INFORMATION SUPPLIED TO THE BOARD

The information supplied to the Board includes:
Annual operating plans and budgets and any update thereof
Capital budgets and any updates thereof
Quarterly results for the company and operating divisions and business segments
Minutes of the meetings of the Audit Committee and other Committees of the Board
Information on recruitment and remuneration of senior officers just below the level of Board, including the appointment
or removal of Chief Financial Officer and Company Secretary
Materially important show cause, demand, prosecution and penalty notices
Fatal or serious accidents, dangerous occurrences, any material effluent or pollution problems
Any material default in financial obligations to and by the Company, or substantial non-payment for goods sold by the
company
Any issue, which involves possible public or product liability claims of substantial nature, including any judgement or
order which, may have passed strictures on the conduct of the company or taken an adverse view regarding another
enterprise that can have negative implications on the Company
Details of any joint venture or collaboration agreement
Transactions that involve substantial payment towards goodwill, brand equity or intellectual property
Significant labour problems and their proposed solutions. Any significant development in human resources / industrial
relations front like signing of wage agreement, implementation of voluntary retirement scheme, etc.
Sale of material nature of investments, subsidiaries, assets, which is not in the normal course of business
Quarterly details of foreign exchange exposures and the steps taken by management to limit the risks of adverse
exchange rate movement, if material
Non-compliance of any regulatory, statutory nature or listing requirements and shareholders service such as non payment
of dividend, delay in share transfer, etc.
The Board of Directors is presented with detailed notes along with the agenda papers well in advance of the meeting. The
Board periodically reviews compliance reports of all laws applicable to the company, prepared by the company as well as
steps taken by the Company to rectify instances of non-compliances.
CODE OF CONDUCT
The Board of Alok Industries at its meeting on 28 October 2005, has adopted and laid down a code of conduct for all Board
members and Senior Management of the company. The code of conduct is available on the website of the company – www.
alokind.com. All Board members and senior management personnel have affirmed compliance with the Code of Conduct.
The Managing Director has also confirmed and certified the same (the certification is enclosed at the end of this report).
COMMITTEES OF THE BOARD
A) AUDIT COMMITTEE
As on 31 March 2011, Alok’s Audit Committee consisted of Mr. Rakesh Kapoor (Chairman of the Committee), Mr. Ashok
G. Rajani, Mr. K.R. Modi, Mr. Dilip B. Jiwrajka and Mr. K. D. Hodavdekar. All members of the Audit Committee have
accounting and financial management expertise. The Chairman of the Audit Committee attended the Annual General
Meeting (AGM) held on 17 September 2010.
The Committee met four times during the course of the year: on 30 April 2010, 29 July 2010, 28 October 2010 and 28
January, 2011. Table 2 gives attendance record.

TABLE 2: ATTENDANCE RECORD OF COMPANY’S AUDIT COMMITTEE
Name of the Member Position Status Audit Committee Meetings

Meetings Held Attended
Mr. Rakesh Kapoor Chairman of the Committee Independent Director 4 4
Mr.Ashok Rajani Member Independent Director 4 3
Mr.K R Modi Member Independent Director 4 4
Mr.Dilip B. Jiwrajka Member Promoter, Executive 4 3
Mr.K D Hodavadekar Member Independent Director 4 4
Notes:
The Chief Financial Officer (CFO) and representatives of the statutory auditors and internal auditors are regularly invited
by the Audit Committee to its meetings. Mr. K.H. Gopal, President (Corporate Affairs) & Company Secretary, is the
secretary to the Committee.
The functions of the Audit Committee of the company include the following:
1. Oversight of the Company’s financial reporting process and the disclosure of its financial information to ensure that
the financial statement is correct, sufficient and credible
2. Recommending to the Board, the appointment, re-appointment and, if required, the replacement or removal of the
statutory auditor and the fixation of audit fees
3. Approval of payment to statutory auditors for any other services rendered by the statutory auditors
4. Reviewing, with the management, the annual financial statements before submission to the Board for approval, with
particular reference to:
a. Matters required to be included in the Director’s Responsibility Statement to be included in the Board’s report in
terms of clause (2AA) of section 217 of the Companies Act, 1956.
b. Changes, if any, in accounting policies and practices and reasons for the same.
c. Major accounting entries involving estimates based on the exercise of judgment by management.
d. Significant adjustments made in the financial statements arising out of audit findings.
e. Compliance with listing and other legal requirements relating to financial statements.
f. Disclosure of any related party transactions.
g. Qualifications in the draft audit report.
5. Reviewing, with the management, the quarterly financial statements before submission to the Board for approval.
6. Reviewing, with the management, performance of statutory and internal auditors, adequacy of the internal control
systems.
7. Reviewing the adequacy of internal audit function, if any, including the structure of the internal audit department,
staffing and seniority of the official heading the department, reporting structure coverage and frequency of internal
audit.
8. Discussion with internal auditors any significant findings and follow up thereon.
9. Reviewing the findings of any internal investigations by the internal auditors into matters where there is suspected
fraud or irregularity or a failure of internal control systems of a material nature and reporting the matter to the Board.
10. Discussion with statutory auditors before the audit commences, about the nature and scope of audit as well as post-
audit discussion to ascertain any area of concern.
11. Reviewing the company’s risk management policies.
12. To look into the reasons for substantial defaults in the payment to the depositors, debenture holders, shareholders
(in case of non payment of declared dividends) and creditors.
13. Reviewing any changes in the accounting policies or practices as compared to the last completed financial year and
commenting on any deviation from the Accounting Standards.

14. Carrying out any other function as is mentioned in the terms of reference of the Audit Committee.
The Audit Committee is empowered, pursuant to its terms of reference, to:
a) Investigate any activity within its terms of reference and to seek any information it requires from any employee.
b) Obtain legal or other independent professional advice and to secure the attendance of outsiders with relevant
experience and expertise, when considered necessary.
The Company has systems and procedures in place to ensure that the Audit Committee mandatorily reviews:
Management discussion and analysis of financial condition and results of operations.
Statement of significant related party transactions (as defined by the Audit Committee), submitted by
management.
Management letters / letters of internal control weaknesses issued by the statutory auditors
Internal audit reports relating to internal control weaknesses.
The appointment, removal and terms of remuneration of the chief internal auditor
Whenever applicable, the uses/applications of funds raised through public issues, rights issues, preferential
issues by major category (capital expenditure, sales and marketing, working capital, etc), as part of the quarterly
declaration of financial results
If applicable, on an annual basis, statement certified by the statutory auditors, detailing the use of funds
raised through public issues, rights issues, preferential issues for purposes other than those stated in the offer
document/prospectus/notice.
In addition, the Audit Committee of the company is also empowered to review the financial statements, in
particular, the investments made by the unlisted subsidiary companies (if any), in view of the requirements
under Clause 49.
The Audit Committee is also apprised on information with regard to related party transactions by being presented:
A statement in summary form of transactions with related parties in the ordinary course of business
Details of material individual transactions with related parties which are not in the normal course of business
Details of material individual transactions with related parties or others, which are not on an arm’s length basis along
with management’s justification for the same.
b) SHAREHOLDERS’/INVESTORS’ GRIEVANCES COMMITTEE
The Committee looks into all matters related with the transfer of securities; it also specifically looks into redressing
complaints of shareholders and investors such as transfer of shares, issue of share certificates, non-receipt of Annual
Report and non-receipt of declared dividends. The Committee comprises Mr. Ashok. G. Rajani, who is the Chairman of
the Committee, Mr. Dilip B. Jiwrajka, Mr. Surendra B. Jiwrajka and Mr. Ashok B. Jiwrajka.
The Committee met 5 times during the year. Table 3 gives the details of attendance.
Table 3: Attendance record of Shareholders’/Investors’ Grievances Committee for 2010-11
Name of Members Status Category No. of Meetings

Held Attended
Mr. Ashok G. Rajani Chairman Independent 5 5
Mr. Dilip B. Jiwrajka Member Promoter, Executive 5 5
Mr. Surendra B. Jiwrajka Member Promoter, Executive 5 5
Mr. Ashok B. Jiwrajka Member Promoter, Executive 5 5
Terms of Appointment of Whole-time directors

Mr. Ashok B. Jiwrajka, Mr. Dilip B, Jiwrajka, Mr. Surendra B. Jiwrajka and Mr. Chadrakumar Bubna were appointed for a
period of 5 years with effect from the date of respective agreements executed between them and the Company and are
governed by Board and shareholders’ resolutions, the salient features of their appointments are as under:

Name of the Directors Contract Period Notice period for Fixed Salary Commission
termination of contract
Mr. Ashok B. Jiwrajka 10 March 2008 to Six calendar months notice, `15,00,000/- per 1% of the net profit
9 March 2013 in writing to the Board of month of the Company.
Directors of the Company.
Mr. Dilip B. Jiwrajka 10 March 2008 to Six calendar months notice, `15,00,000/- per 1% of the net profit
Mr. Surendra B. Jiwrajka 10 March 2008 to Six calendar months notice, `15,00,000/- per 1% of the net profit
Mr. Chandrakumar Bubna 1 May 2009 to Six calendar months notice, `15,00,000/- per 1% of the net profit
30 April 2014 in writing to the Board of month of the Company.
Remuneration paid to Directors
Payment of remuneration to the Executive Chairman, Managing Director, Joint Managing Director and Executive Director
is governed by the respective agreements executed between them and the Company and are governed by Board and
shareholders’ resolutions. The remuneration structure comprises Salary, Commission linked to profits, perquisites and
allowances. The details of such remuneration have been disclosed in Table 4.
Table 4: Details of remuneration paid to Directors for 2010-11
Name of the Director Sitting Salary and Provident & Commission 3 Total
Fees 2 Perquisites Superannuation
Funds
In `
Mr. Ashok B. Jiwrajka - 18,000,000 - 12,500,000 30,500,000
Mr. Dilip B. Jiwrajka - 18,000,000 - 12,500,000 30,500,000
Mr. Surendra B. Jiwrajka - 18,000,000 - 12,500,000 30,500,000
Mr. Chandrakumar Bubna - 18,000,000 - 12,500,000 30,500,000
Mr. Ashok G. Rajani 60,000 - - - 60,000
Mr. K. R. Modi 80,000 - - - 80,000
Mr. K. D. Hodavdekar 80,000 - - - 80000
(Nominee of IDBI Bank Limited) 4
Mr. Rakesh Kapoor 80,000 - - - 80,000
(Nominee of IFCI Ltd.) 4
Mrs. Thankom T. Mathew 80,000 - - - 80,000
(Nominee of Life Insurance Corporation of India) 4
Mr. David Rasquinha 80,000 - - - 80,000
(Nominee of Export Import Bank of India) 4
Mr. Timothy Ingram 80,000 80,000
Mr. A. B. Dasgupta 60,000 - - - 60,000
Mr. Debasish Mallick - - - - -
Notes:
1. None of the Directors are related to each other, except Mr. Ashok B. Jiwrajka, Mr. Dilip B. Jiwrajka and Mr. Surendra
B. Jiwrajka, who are brothers.
2. Sitting fees to non-executive directors include payment for Board-level committee meetings.
3. Commission payable to the executive directors, is linked to the net profit of the Company and therefore considered
as performance linked incentive.
4. Sitting fees of nominee Directors Mr. Rakesh Kapoor and Mr. A. B. Dasgupta have been / are paid in their names. In
the case of the other nominee Directors, the sitting fees are paid to the financial institution they represent.

SUBSIDIARY COMPANIES
Clause 49 defines a “material non-listed Indian subsidiary” as an unlisted subsidiary, incorporated in India, whose turnover or
net worth (i.e. paid up capital and free reserves) exceeds 20% of the consolidated turnover or net worth respectively, of the
listed holding company and its subsidiaries in the immediately preceding accounting year.
Under this definition, the Company does not have a ‘material non-listed Indian subsidiary’.
SHARES AND CONVERTIBLE INSTRUMENTS HELD BY THE NON-EXECUTIVE DIRECTORS
As on 31 March 2011, Mr. Ashok G. Rajani, independent Director holds 5,000 equity shares of the Company and Mr. K. R.
Modi, independent Director holds 4,612 equity shares of the Company. No other non-executive Director holds any equity
shares in Alok Industries .
As on 31 March 2011, none of the non-executive directors held any convertible instruments of the Company.
MANAGEMENT
The Management Discussion and Analysis is given separately and forms part of this Annual Report.
DISCLOSURES BY MANAGEMENT TO THE BOARD
All disclosures relating to financial and commercial transactions where Directors may have a potential interest are provided to
the Board, and the interested Directors do not participate in the discussion nor do they vote on such matters.
DISCLOSURE OF ACCOUNTING TREATMENT IN PREPARATION OF FINANCIAL STATEMENTS
The financial statements have been prepared under the historical cost convention in accordance with generally accepted
accounting principles in India, the applicable Accounting Standards and the provisions of the Companies Act, 1956.
DETAILS OF NON-COMPLIANCE BY THE COMPANY
“The Company” has complied with all the requirements of regulatory authorities. No penalties/strictures were imposed on the
company by stock exchanges or SEBI or any statutory authority on any matter related to capital market during the last three
years.
Code for prevention of insider-trading practices
In compliance with the SEBI regulation on prevention of insider trading, the company has instituted a comprehensive code
of conduct for its Directors, management and staff. The code lays down guidelines, which advises them on procedures to
be followed and disclosures to be made, while dealing with shares of company, and cautioning them of the consequences
of violations. The code clearly specifies, among other matters, that Directors and specified employees of the company can
trade in the shares of the company only during ‘Trading Window Open Period’. The trading window is closed during the time
of declaration of results, dividend and material events, as per the Code.
Mr. K.H. Gopal, President (Corporate Affairs) & Company Secretary, is the Compliance Officer.
CEO/ CFO CERTIFICATION
The CEO and CFO certification of the financial statements for the year is provided in the MD and CFO certification section
of the Annual Report.
SHAREHOLDERS
REAPPOINTMENT/APPOINTMENT OF DIRECTORS
As per the requirements of Section 256 of the Companies Act, 1956 two-third of the Board shall consist of retiring directors out
of which one third shall retire at every annual general meeting. Accordingly, Mr Chandrakumar Bubna and Mr Timothy Ingram
shall retire and shall seek re-appointment in the ensuing Annual General Meeting of the Company.
DETAILS OF DIRECTORS SEEKING RE-APPOINTMENT.
Mr. Chandrakumar Bubna – 58 years
He is a B.Com Graduate. He is the Executive Director of the Company and is responsible for the marketing operations of
the Company. He has over two decades of experience in designing of marketing strategies of the Company.
Other Directorships Grabal Alok Impex Limited
Other Committee Memberships NIL
Number of shares held in the Company 3,07,255

Mr. Timothy Ingram, 64 years

He completed his Masters in Arts in Economics from Cambridge University, an MBA from INSEAD Business School and is a
Fellow of the Chartered Institute of Bankers. He spent most of his career in banking (Grindlays Bank, ANZ, Abbey National)
and then in 2002 became CEO of Caledonia Investments plc, a UK listed investment company. He retired from Caledonia
Investments in 2010 and is now Chairman of Collins Stewart Hawkpoint plc, a UK listed investment banking and wealth
management business.
Other Directorships Collins Stewart Hawkpoint plc
Savills plc
Alliance Trust plc
(all are UK incorporated businesses)
Other Committee Memberships NIL
Number of shares held in the Company NIL
MEANS OF COMMUNICATION WITH SHAREHOLDERS
Alok Industries puts forth key information about the Company and its performance, including quarterly results, official news
releases, and presentations to analysts, on its website www.alokind.com regularly for the benefit of the public at large. During
the year, the quarterly results of the company’s performance have been published in leading newspapers such as ‘Business
Standard, ‘The Economic Times’ in English, ‘Maharashtra Times’ ‘Sakal’ in Marathi all Mumbai editions and in ‘Western
Times’, Gandhinagar edition and are also posted on its website. However, the audited financial results for the year ended 31
March 2011 were published in Business Standard, Mumbai and Western Times, Gandhinagar Edition Hence, they are not
separately sent to the shareholders. The Company, however, furnishes the quarterly results on receipt of a request from any
shareholder.
INVESTOR GRIEVANCE AND SHAREHOLDER REDRESSAL
The Company has appointed a Registrar and Share Transfer Agent, M/s. Link Intime India Private Limited, which is fully
equipped to carry out share transfer activities and redress investor complaints. Mr. K.H. Gopal, President (Corporate Affairs)
& Company Secretary, is the Compliance Officer for redressal of all shareholders’ grievances.
GENERAL BODY MEETINGS
The date, time and venue of the last three Annual General Meetings are given below in Table 5 .
Table 5: Details of last 3 Annual General Meetings
Financial Date Time Venue Resolutions passed

year
2007-08 29 September 2008 11.00 Textiles Committee 1. Re-appointment of three Whole-time
A.M. Auditorium P Balu Road, Directors of the Company viz. Mr. Ashok
Prabhadevi Chowk B. Jiwrajka, Mr. Dilip B. Jiwrajka and Mr.
Prabhadevi, Mumbai 400025 Surendra B. Jiwrajka.
2. Increase of remuneration of three relatives
of Whole-time Directors of the Company.
2008-09 25 September 2009 11.00 Textiles Committee 1. Re-appointment of Mr. Chandrakumar
A.M. Auditorium, P Balu Road, Bubna as a Whole Time Director of the
Prabhadevi Chowk, Company.
Prabhadevi, Mumbai 400025
2009-10 17 September 2010 12.00 17/5/1 & 521/1, Rakholi / 1. Increase of remuneration of a relative of
noon Saily, Silvassa – 396230, Whole time Director of the Company.
Union Territory of Dadra and
Nagar Haveli.
The resolutions mentioned in table 5 were taken up in the last three AGMs, and were passed with requisite majority.
No Extra Ordinary General Meeting of the shareholders were held during the year.
POSTAL BALLOTS
A Postal Ballot was conducted on one occasion pursuant to Section 192A of the Companies Act, 1956 read with the Companies
(Passing of the Resolution by Postal Ballot) Rules, 2001 for obtaining the consent of the Shareholders of the Company for the
various special resolutions. The details of resolutions passed through postal ballot during 2010-11 are given below.

Purpose of the Resolutions

(i) Revision of the conversion price of our outstanding 1% – series B Bonds of Foreign Currency Convertible Bonds
aggregating to USD 23.75 million in accordance with the provisions of the Press Note dated February 15, 2010 issued
by the Ministry of Finance, Government of India.
(ii) Grant of Employee Stock Option Plan upto 2,50,00,000 Equity Stock Options to the eligible present and future employees
an Directors of the Company in one or more trenches in accordance with the provisions of the SEBI (Employee Stock
Option Scheme and Employee Stock Purchase Scheme) Guidelines, 1999.
Type of Resolutions: Both the Resolutions were Special Resolutions.
The procedure of the Postal Ballot adopted was as follows:
1. A Postal Ballot Notice dated 11 March 2010 was sent to all the Shareholders along with Postal Ballot Form and the
Explanatory Statement pursuant to section 173(2) of the Companies Act, 1956 seeking their assent / dissent to the
proposed Resolutions.
2. The Board of Directors appointed Mr. Virendra Bhatt, Company Secretary in Practice, as the Scrutiniser for conducting
the Postal Ballot exercise.
3. Upon the receipt of the duly filled in Postal Ballot Forms and completion of the scrutiny thereof, the Scrutiniser submitted
his report to the Chairman.
4. The Chairman thereafter announced the results of the Postal Ballot on 15 April 2010.
A summary of the results is given below in Table 1
Table 1: Details of results of the Postal Ballot: announced on 15 April 2010
Particulars No. of Postal No. of Shares / Percentage of total

Ballot Forms Percentage of Shares Paid up Equity Capital
Resolution Valid Postal Ballot Forms Received 286 36,04,25,004/100% 45.751%
No. 1 Assent 280 36,04,19,639/99.998% 45.751%
Dissent 5 3,828/0.001% -
Neutral 1 1,537/0.001% -
Resolution Valid Postal Ballot Forms Received 286 36,04,25,004/100% 45.751%
No. 2 Assent 254 34,13,40,105/94.705% 43.329%
Dissent 23 1,90,81,587/5.294% 2.422%
Neutral 9 3,312/0.001% -
The above two Resolutions were, accordingly, declared by the Chairman as passed by the requisite majority.
COMPLIANCE
MANDATORY REQUIREMENTS
The company is fully compliant with the applicable mandatory requirements of the revised Clause 49.
NON MANDATORY COMPLIANCE
The details of compliance of the non-mandatory requirements are listed below.
NON EXECUTIVE CHAIRMAN’S OFFICE
The Chairman of the Company is the Executive Chairman; hence, this provision is not applicable.
REMUNERATION COMMITTEE
Details of the composition and function of the Remuneration Committee are given in the section ‘Committees of the Board’.
The Chairman of the Remuneration Committee was present at the last Annual General Meeting.
SHAREHOLDER RIGHTS – FURNISHING OF QUARTERLY RESULTS
Details of the shareholders’ rights in this regard are given in the section ‘Communication to Shareholders’.
AUDIT QUALIFICATIONS
During the current financial year, there are no audit qualifications in the financial statements. The Company continues to
adopt appropriate best practices in order to ensure unqualified financial statements

WHISTLE-BLOWER POLICY
Alok encourages an open door policy, where employees have access to the Head of Business / Head of Function. In terms
of the Company’s Code of Conduct, any instance of non-adherence to the Code or any observed unethical behaviour is to
be brought to the attention of the immediate reporting authority; the immediate reporting authority has to bring it to the notice
of the Code of Conduct’s Compliance Officer Mr. K.H. Gopal, President (Corporate Affairs) & Compnay Secretary is the
Compliance Officer for Alok’s Code of Conduct. No personnel have been denied access to the Audit Committee.
TRAINING OF BOARD MEMBERS
The Company’s Board of Directors consists of professionals with expertise in their respective fields and industry. They
endeavour to keep themselves updated with changes in global economy and legislation. They attend various workshops and
seminars to keep themselves abreast with the changing business environment.
MECHANISM FOR EVALUATING NON-EXECUTIVE BOARD MEMBERS
The Company has not yet adopted a policy for evaluation of Non-Executive Board Members. Sitting Fees is paid to the Non-
Executive Directors currently based on attendance.
AUDITOR’S CERTIFICATE ON CORPORATE GOVERNANCE
The Company has obtained a Certificate from the Statutory Auditors regarding compliance of conditions of corporate
governance, as mandated in Clause 49. The certificate is annexed to this report.

SHAREHOLDER’S INFORMATION
ANNUAL GENERAL MEETING

Date : 29 September 2011
Time : 12.00 noon
Venue : 17/5/1 & 521/1, Rakholi / Saily, Silvassa - 396230, Union Territory of Dadra & Nagar Haveli.
FINANCIAL CALENDAR
Financial year: 1 April to 31 March
For the year ended 31 March 2011, results were announced for:
First quarter : Provisional 29 July 2010

Second quarter: Provisional 28 October 2010
Third quarter: Provisional 28 January 2011
Fourth quarter and annual: Provisional 29 April 2011
Annual : Audited 29 July 2011
For the year ending 31 March 2012, results will be announced by:
First quarter : Provisional on or before July 2011

Second quarter: Provisional on or before October 2011
Third quarter: Provisional on or before January 2012
Fourth quarter and annual: Provisional April 2012
Annual : Audited June / July 2012
BOOK CLOSURE
The books will be closed from Thursday 22 September 2011 to Thursday 29 September 2011 (both days inclusive) as annual
closure for the Annual General Meeting
DIVIDEND PAYMENT
Dividend of Re. 0.25 per equity share will be paid on or after 29 September 2011 (within the statutory time limit of 30 days),
subject to approval by the shareholders at the ensuing Annual General Meeting.
LISTING
At present, the equity shares of the company are listed on Bombay Stock Exchange Limited (BSE) and National Stock
Exchange of India Limited (NSE).
The annual listing fees as prescribed have been paid to BSE and NSE upto 31st March 2012.
Table 1: Company’s Stock Exchange codes
Name of the Stock Exchange Stock Code

The National Stock Exchange of India Limited ALOKTEXTEQ
Bombay Stock Exchange Limited 521070
ISIN No. INE270A01011
Non-Convertible Debentures (NCDs)
Sr. No. Particulars No. of Amount Stock Code (BSE) ISIN NO.
NCDs (In Crore)
1 2000 – 11.50% Secured Redeemable 700 70.00 ALOK290610A INE270A07463
NCDs of ` 10,00,000/ – each aggregating
to ` 200 crore issued and allotted on 29 700 70.00 ALOK290610B INE270A07471
June 2010 on private placement basis. 600 60.00 ALOK290610C INE270A07489
2 1000 – 8% Redeemable NCDs of 1000 100.00 ALOK6JUL10 INE270A08164
`10,00,000/ – each aggregating to `100
crore issued and allotted on 06 July 2010
on private placement basis.
3 750 – 8% Redeemable NCDs of ` 750 75.00 ALOK12JUL10 INE270A08172

10,00,000/ – each aggregating to `75 crore
issued and allotted on 12 July 2010 on
private placement basis.
4 750 – 8% Redeemable NCDs of ` 750 75.00 ALOK19JUL10 INE270A08180
10,00,000/ – each aggregating to `75 crore
issued and allotted on 19 July 2010 on
private placement basis.
5 1000 – 10.75% Secured Redeemable 333 33.30 ALOK201010A INE270A07497
NCDs of RS.10,00,000/ – each aggregating 333 33.30 ALOK201010B INE270A07505
to ` 100 Crore issued and allotted on 20 334 34.40 ALOK201010C INE270A07513
October 2010 on private placement basis.
6. 2000 – 12.50% Secured Redeemable 670 67.00 Application to be made INE270A07521
NCDs of ` 10,00,000/- each aggregating to
` 200 crore issued and allotted on 4 March 670 67.00 Application to be made INE270A07539
2011 on private placement basis are to be 660 66.00 Application to be made INE270A07547
listed with BSE.
STOCK MARKET DATA
Monthly High and Low and the performance of Alok’s share price vis-à-vis BSE Sensex and NSE Nifty is given in Table 2 and
Chart A and B respectively.
Table 2: High, lows and volumes of company’s shares for 2010-11 at BSE and NSE
Month BSE (In ` per share) NSE (In ` Per share)
High Low Volume High Low Volume
Apr-10 23.30 20.00 4,09,14,824 23.25 20.00 7,90,13,036
May-10 22.00 17.75 5,43,63,483 21.60 17.80 5,39,06,941
Jun-10 22.00 17.75 2,86,90,425 21.95 17.80 7,01,16,113
Jul-10 21.00 19.85 2,11,91,799 21.00 19.80 5,45,40,009
Aug-10 21.40 18.60 3,87,77,416 21.40 18.60 8,62,66,477
Sep-10 22.65 18.90 4,76,88,974 24.30 18.90 9,88,83,845
Oct-10 28.40 20.10 14,41,46,614 28.45 21.10 32,83,26,459
Nov-10 35.00 25.30 19,52,40,171 35.00 25.20 55,66,85,899
Dec-10 29.50 20.55 9,44,91,321 29.25 21.90 29,72,50,669
Jan-11 29.50 24.40 8,51,30,246 29.25 24.00 27,11,84,383
Feb-11 26.40 19.90 7,42,71,976 26.40 18.00 22,93,47,260
Mar-11 22.80 20.05 5,02,90,728 23.00 19.05 14,39,07,018
Chart A: Alok Industries’s Share Performance versus BSE Sensex
Note: Share price of Alok Industries and BSE Sensex have been indexed to 100 on 1 April 2010

Chart B: Alok Industries’s Share Performance versus NSE NIFTY
Note: Share price of Alok Industries and NSE Nifty have been indexed to 100 on 1 April 2010
DISTRIBUTION OF SHAREHOLDING
Table 3 and 4 lists the distribution of the shareholding of the equity shares of the company by size and by ownership class as
on 31 March 2011.
Table 3: Shareholding pattern
Shareholding Class No of shares held % of total shares held No of shareholders % of total shareholders
Upto 500 30861811 3.92 148169 71.36
501 to 1,000 25760555 3.27 29782 14.34
1,001 to 2,000 23373908 2.97 14605 7.03
2,001 to 3,000 12615769 1.60 4783 2.31
3,001 to 4,000 9053315 1.15 2488 1.20
4,001 to 5,000 10592054 1.34 2202 1.06
5,001 to 10,000 23162450 2.94 3004 1.45
10,001 and above 652378416 82.81 2591 1.25
Total 787798278 100.00 207624 100.00
Table 4: Shareholding Pattern by ownership as on 31 March 2011
CATEGORY AS ON 31 MARCH 2011

TOTAL No. OF SHARES PERCENTAGE (%)
A. Promoter’s Holding
Promoters
Indian Promoters 223376351 28.35
Foreign Promoters --- --
Persons Acting in Concert -- --
TOTAL(A) 223376351 28.35
B. Non Promoters’ Holding
1. Institutional Investors
a. Mutual Funds and UTI 2100200 0.27
b. Banks, Financial Institutions, Insurance Companies / 103574939 13.15
Central Governments / State Governments
c. FIIs/ FDIs 130225221 16.53
TOTAL(B1) 235900360 29.95

2.
Others
• Private Corporate Bodies 71687538 9.10
• Indian Public 199312913 25.30
• NRIs/ OCBs 6690895 0.85
• Foreign Companies/ HUF 46127759 5.86
• Clearing Members/ Market Maker 4671514 0.59
• Trusts 30948 0.00
TOTAL(B2) 328521567 41.70
TOTAL B (B1+B2) 564421927 71.60
GRAND TOTAL (A+B) 787798278 100.00
REGISTRAR AND TRANSFER AGENT
The Company has appointed LINK INTIME INDIA PRIVATE LIMITED as its Registrar and Share Transfer Agent, to whom all
shareholders communications regarding change of address, transfer of shares, change of mandate etc. should be addressed.
The address of the Registrar and Share Transfer Agents is as under: –
Name and Address of LINK INTIME INDIA PRIVATE LIMITED,

R and T Agent or address of the share dept, as C-13, Pannalal Silk Mills Compound
the case may be LBS Marg, Bhandup (West), Mumbai 400078
Tel no. +91 22 25963838
Fax no. +91 22 25946969
SHARE TRANSFER SYSTEM
The shares of the company are compulsorily traded in dematerialized form. Shares received in physical form are transferred
within a period of 30 days from the date of lodgement subject to documents being valid and complete in all respects.
DE-MATERLISATION OF SHARES
As on 31 March 2011, 99.85% shares of the company were held in de-materialized form.
There are no legal proceedings against Alok on any share transfer matter. Table 5 gives details about the nature of complaints
and their status as on 31 March 2011.
Table 5: Complaints Received and Addressed during 2010-11
Particulars Complaints
Non- Change of Non-receipt Others Total
Receipt of address of dividend (Non-Receipt of
Certificates Annual Reports/ Non
Receipt of Demat
credit, etc.
Received during the year 04 11 306 113 434
Attended during the year 04 11 306 113 434
Pending as on 31 March 2011 NIL NIL NIL NIL NIL
Outstanding GDRs/ADRs/Warrants
The Company has not issued GDRs/ ADRs/Warrants as of 31 March 2011.
DETAILS OF PUBLIC FUNDING OBTAINED IN THE LAST THREE YEARS
2008-09
On 28 April 2008, the Company issued and allotted 9,800,000 Equity Shares of ` 10.00 each at a premium of ` 92.00 per
share on conversion of Warrants into equity shares to the promoter group on a preferential allotment basis. After the issue,
the total paid-up equity capital of the Company became 196,974,969 Equity Shares of ` 10.00 each.
2009-10
On 5 May 2009, the Company issued and allotted 244,719,930 Equity Shares of ` 10.00 each at a premium of ` 1.00 per
share to the existing shareholders of the Company on rights basis and also issued and allotted 164,003,131 partly paid up
equity shares (paid upto the extent of ` 6.00 per share i.e. Face Value ` 5.00 and Premium – Re.1.00) to the existing equity
shareholders of the company on rights basis in the ratio of 83 rights equity shares for every 40 equity shares held on the
Record Date i.e. 25 March 2009. After the issue, the total paid-up equity capital of the Company became 605,698,030 Equity
Shares of ` 10.00 each..
On 30 March, 2010, the Company issued and allotted 182,100,248 Equity Shares of ` 10.00 each at a premium of ` 13.32
per share to Qualified Institutional Buyers in terms of Chapter VIII of SEBI (Issue of Capital and Disclosure Requirements)
Regulations, 2009. After the issue, the total paid-up equity capital of the Company became 787,798,278 Equity Shares of
` 10.00 each.
2010-11
NIL
Table 6: Details of public funding obtained during the last three years and its implication on paid up Equity ShareCapital
Financial Year Amt. Raised through Public Funding Effect on Paid up equity Share Capital
2008-09 9,800,000 Equity Shares of ` 10.00 each, at a After the conversion of Warrants into equity shares,
premium of ` 92.00 per share to the promoter groupthe total paid-up capital of the Company increased
on conversion of warrants into equity shares. from 187,174,969 Equity Shares of ` 10.00 each to
196,974,969 Equity Shares of ` 10.00 each
2009-10 i. 408,723,061 Equity Shares of ` 10.00 each After the Rights issue of equity shares and Qualified
at a premium of Re. 1.00 per share to the Institutional Placement Issue, the total paid-up
existing shares of the Company on Rights equity capital of the Company became 787,798,278
basis. Equity Shares of ` 10.00 each
ii. 182,100,248 Equity Shares of ` 10.00 each at
a premium of ` 13.32 per share to Qualified
Institutional Buyers (QIBs).
2010-2011 NIL NIL
During the year under review, the Company forfeited 13,921 partly paid rights equity shares held by 83 shareholders for non
payment of allotment money of ` 5/ – and interest due thereon. Consequent to the forfeiture of Rights shares the Company’s
equity share capital as on 31 March 2011 stands at ` 787.78 crore divided into 787,784,357 fully paid equity shares of ` 10/
– each.
As on 31 March 2011, 68.24% of the promoters’ holding have been pledged with FIIs, MFs and other lenders as part of loan
conditions. This represents a sum total of 152,427,640 equity shares (19.35 % of the total equity of the Company).
Plant Locations
Spinning 412, Saily, Silvassa, Union Territory of Dadra & Nagar Haveli
Weaving Babla Compound, Kalyan Road, Dist. Bhiwandi, Thane
17/5/1 and 521/1, Rakholi / Saily, Silvassa, Union Territory of Dadra & Nagar Haveli
209/1 and 209/4, Silvassa, Village Dadra, Union Territory of Dadra & Nagar Haveli
Knitting 412, Saily, Silvassa, Union Territory of Dadra & Nagar Haveli
Processing C-16/2, Pawane, TTC Industrial Area, MIDC, Navi Mumbai, Dist. Thane
261/ 268, Balitha, Taluka Pardi, Dist. Valsad, Gujarat
254, Balitha, Taluka Pardi, Dist. Valsad, Gujarat
Garments 374/2/2, Saily, Silvassa, Union Territory of Dadra & Nagar Haveli
17/5/1, Rakholi, Silvassa, Union Territory of Dadra & Nagar Haveli
273/1/1, Hingraj Industrial Estate, Atiawad, Daman
Made ups 374/2/2, Saily, Silvassa, Union Territory of Dadra & Nagar Haveli
149/150, Morai, Taluka Pardi, Dist. Valsad, Gujarat
POY/ Texturising 521/1, Saily, Silvassa, Union Territory of Dadra & Nagar Haveli
Hemming 103/2, Rakholi, Silvassa, Union Territory of Dadra & Nagar Haveli
Continuous Polymerization 17/5/1 and 521/1, Rakholi / Saily, Silvassa, Union Territory of Dadra & Nagar Haveli
Plant
Terry Towel Unit 263/P1 and 251/2P1, Balitha, Taluka Pardi, Dist. Valsad, Gujarat
Packing Unit 87/1/1/1 and 97/1, Falandi, Silvassa, Union Territory of Dadra & Nagar Haveli

INVESTOR CORRESPONDENCE ADDRESS
For shares held in physical form For shares held in dematerialised form
Link Intime India Private Limited National Securities Depository Limited Central Depository Services (India)
C-13, Pannalal Silk Mills Compound Trade World, 4th Floor Limited
L.B.S. Marg Kamala Mills Compound Phiroze Jeejeebhoy Towers
Bhandup (West), Mumbai 400078 Senapati Bapat Marg 17th Floor, Dalal Street
Tel: +91-22-2596 3838 Lower Parel Mumbai 400 023
Fax: +91-22-2594 6969 Mumbai 400013 Tel.: +91-22-2272 3333
E-mail: [email protected] Tel.: +91-22-2499 4200 Fax: +91-22-2272 3199
Website: www.linkintime.co.in Fax: +91-22-2497 2993 E-mail: [email protected]
E-mail: [email protected] Website: www.cdslindia.com
Website: www.nsdl.co.in
COMPLIANCE OFFICER FOR INVESTOR REDRESSAL
K.H. Gopal
President (Corporate Affairs) & Company Secretary
Alok Industries Limited
Peninsula Towers ‘A’, Peninsula Corporate Park,
GK Marg, Lower Parel
Mumbai 400013
E-mail: [email protected]
Website: www.alokind.com
TRANSFER OF UNCLAIMED DIVIDEND TO INVESTOR EDUCATION AND PROTECTION FUND (IEPF)

The Notes to the Notice details the due dates on which unclaimed dividends lying in the unpaid dividend accounts of the
Company would be credited to the IEPF. Investors are requested to claim their unclaimed dividends before these due dates.
Pursuant to Section 205C of the Companies Act, 1956 and the IEPF (Awareness and Protection of Investors) Rules, 2001, a
sum of ` 556,478.00, being the unclaimed dividend for the year 2002-03, has been credited to the IEPF.

AUDITORS’ CERTIFICATE ON COMPLIANCE OF CONDITIONS OF
CORPORATE GOVERNANCE AS PER CLAUSE 49 OF THE LISTING
AGREEMENT OF THE STOCK EXCHANGES
To,
The Members
ALOK INDUSTRIES LIMITED
We have examined the compliance of the conditions of Corporate Governance by Alok Industries Limited, for the year ended
31 March 2011, as stipulated in Clause 49 of the Listing Agreement of the said Company with the Stock Exchanges.
The compliance of conditions of Corporate Governance is the responsibility of the Management. Our examination was limited
to procedures and implementation thereof, adopted by the Company for ensuring the compliance of the conditions of the
Corporate Governance. It is neither an audit nor an expression of opinion on the financial statements of the Company.
In our opinion and to the best of our information and according to the explanations given to us and the representations made
by the Directors and the Management, we certify that the Company has complied in all material respect with the conditions of
Corporate Governance as stipulated in the above mentioned Listing Agreement.
We further state that such compliance is neither an assurance as to the future viability of the Company, nor of the efficiency
or effectiveness with which the Management has conducted the affairs of the Company.
For Deloitte Haskins & Sells For Gandhi & Parekh

Chartered Accountants Chartered Accountants
[Firm Registration No. 117366W] [Firm Registration No.120318W]
R D. Kamat Devang B. Parekh

Partner Partner
Membership No.36822 Membership No.105789
Place: Mumbai
Date: 29 August 2011

COMPANY SECRETARIAL COMPLIANCE CERTIFICATE
To,
The Board of Directors,
I have examined the registers, records, books and papers of ALOK INDUSTRIES LIMITED as required to be maintained under
the Companies Act, 1956, (the Act) and the rules made there under and also the provisions contained in the Memorandum
and Articles of Association of the Company for the financial year ended on 31 March 2011 (Financial Year). In my opinion and
to the best of my information and according to the examinations carried out by me and explanations furnished to me by the
Company, I am of opinion that in respect of the aforesaid financial year.
1. The Company has kept and maintained all the registers as per the provisions of the Act and the rules made thereunder
and all entries therein have been duly recorded, subject to reconciliation with the Books of Accounts.
2. The Company has duly filed the forms and returns with the authorities prescribed under the Act and rules made thereunder.
3. The Board of Directors duly met four times in respect of which meetings, proper notices were given and the proceedings
were properly recorded and signed in the Minutes Book maintained for the purpose.
4. The Annual General Meeting for the financial year ended on 31 March 2010 was held on 17 September 2010 after giving
due notice to the members of the company and the resolutions passed thereat were duly recorded in Minutes Book
maintained for the purpose.
5. The Company has paid / posted warrants for dividends to all the members within a period of 30 (Thirty) days from the
date of declaration of dividend.
6. The Company has appointed Link Intime India Private Limited, as Share Transfer Agent who has duly informed me
that the Company has delivered all the certificates on allotment of securities and on lodgement thereof for transfer/
transmission or any other purpose in accordance with the provisions of the Act.
7. The Company has passed the following Resolutions during the financial year through the Postal Ballot conducted under
section 192A of the Companies Act, 1956.
Special Resolutions passed on 15 April 2010
(i) Revision of the conversion price of our outstanding 1% – series B Bonds of Foreign Currency Convertible Bonds
aggregating to USD 23.75 million in accordance with the provisions of the Press Note dated February 15, 2010
issued by the Ministry of Finance, Government of India.
(ii) Grant of Employee Stock Option Plan upto 2,50,00,000 Equity Stock Options to the eligible present and future
employees an Directors of the Company in one or more trenches in accordance with the provisions of the SEBI
(Employee Stock Option Scheme and Employee Stock Purchase Scheme) Guidelines, 1999.
All the procedures with regard to scrutiny and presentation of the postal ballot report has been complied as per
Section 192A of the Companies Act, 1956.
8. The Board of Directors of the company is duly constituted. There was no appointment of additional director, director to
fill in casual vacancy, alternate director but there was appointment of one Nominee Director as well as resignation of one
Nominee Director during the financial year.
9. During the financial year, the Registered Office of the Company was shifted from “B – 43, Mittal Tower, Nariman Point,
Mumbai – 400 021, Maharashtra” to “17/5/1 & 521/1, Rakholi / Saily, Silvassa – 396 230, Union Territory of Dadra &
Nagar Haveli”, effective from 25 June 2010 pursuant to an order passed by the Company Law Board.
10. The Company has altered the Clause No.II of the Memorandum of Association in respect of shift of the registered office
of the Company from the State of Maharashtra to Silvassa, in the Union Territory of Dadra & Nagar Haveli.
11. The Company had constituted the Audit Committee required as per Section 292A of the Act.
12. The Company has appointed Cost Auditors under Section 233B of the Act.
Virendra Bhatt
Practising Company Secretary
ACS 1157 /CP 12
Place: Mumbai
Dated: 29 July 2011

CERTIFICATION BY MANAGING DIRECTOR AND CHIEF FINANCIAL OFFICER OF THE COMPANY
We, Dilip B. Jiwrajka, Managing Director and Sunil O. Khandelwal, Chief Financial Officer of Alok Industries Limited, to the
best of our knowledge and belief, certify that –
a. We have reviewed financial statements and cash flow statements for the year ended 31 March 2011 and that to the best
of our knowledge and belief :
(i) these statements do not contain any materially untrue statement or omit any material fact or contain statements that
might be misleading;
(ii) these statements together present a true and fair view of the company’s affairs and are in compliance with existing
accounting standards, applicable laws and regulations.
b. There are, to the best of our knowledge and belief, no transactions entered into by the company during the year which
are fraudulent, illegal or in violation of the Company’s code of conduct.
c. We accept responsibility for establishing and maintaining internal controls for financial reporting and that we have
evaluated the effectiveness of internal control systems of the company pertaining to financial reporting and we have
disclosed to the auditors and the Audit Committee, deficiencies in the design or operation of such internal controls, if any,
of which we are aware and the steps we have taken or propose to take to rectify these deficiencies.
d. We have indicated to the auditors and the Audit committee –
(i) significant changes in internal control over financial reporting during the year;
(ii) significant changes in accounting policies during the year and that the same have been disclosed in the notes to the
financial statements; and
(iii) Instances of significant fraud of which we have become aware and the involvement therein, if any, of the management
or an employee having a significant role in the company’s internal control system over financial reporting.
e. We affirm that we have not denied any personnel access to the Audit Committee of the Company (in respect of matter
involving alleged misconduct).
Place: Mumbai . Dilip B. Jiwrajka Sunil O. Khandelwal

Date : 29 July 2011 Managing Director Chief Financial Officer
DECLARATION
DECLARATION BY THE MANAGING DIRECTOR UNDER CLAUSE 49 I (D) OF THE LISTING AGREEMENT REGARDING
ADHERENCE TO THE CODE OF CONDUCT
In accordance with the Clause 49 sub-clause of the listing Agrement with the Stock Exchanges, I further confirm that all the
directors and senior management personnel of the Company have affirmed compliance to their respect Code of conduct, as
applicable to them for the year ended 31 March 2011.
Place : Mumbai Dilip B. Jiwrajka

Date : 29 July 2011 Managing Director

AUDITORS’ REPORT
TO THE MEMBERS OF
1. We have audited the attached Balance Sheet of ALOK INDUSTRIES LIMITED (“the Company”) as at 31 March, 2011,
the Profit and Loss Account and the Cash Flow Statement of the Company for the year ended on that date, both annexed
thereto.These financial statements are the responsibility of the Company’s Management. Our responsibility is to express
an opinion on these financial statements based on our audit.
2. We conducted our audit in accordance with the auditing standards generally accepted in India. Those Standards
require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are
free of material misstatements. An audit includes examining, on a test basis, evidence supporting the amounts and
the disclosures in the financial statements. An audit also includes assessing the accounting principles used and the
significant estimates made by the Management, as well as evaluating the overall financial statement presentation. We
believe that our audit provides a reasonable basis for our opinion.
3. As required by the Companies (Auditor’s Report) Order, 2003 (CARO) issued by the Central Government in terms
of Section 227(4A) of the Companies Act, 1956, we enclose in the Annexure a statement on the matters specified in
paragraphs 4 and 5 of the said Order.
4. Further to our comments in the Annexure referred to in paragraph 3 above, we report as follows:
(a) we have obtained all the information and explanations which to the best of our knowledge and belief were necessary
for the purposes of our audit;
(b) in our opinion, proper books of account as required by law have been kept by the Company so far as it appears from
our examination of those books;
(c) the Balance Sheet, the Profit and Loss Account and the Cash Flow Statement dealt with by this report are in
agreement with the books of account;
(d) in our opinion, the Balance Sheet, the Profit and Loss Account and the Cash Flow Statement dealt with by this report
are in compliance with the Accounting Standards referred to in Section 211(3C) of the Companies Act, 1956;
(e) in our opinion and to the best of our information and according to the explanations given to us, the said accounts
give the information required by the Companies Act, 1956 in the manner so required and give a true and fair view in
conformity with the accounting principles generally accepted in India:
(i) in the case of the Balance Sheet, of the state of affairs of the Company as at 31 March, 2011;
(ii) in the case of the Profit and Loss Account, of the profit of the Company for the year ended on that date and;
(iii) in the case of the Cash Flow Statement, of the cash flows of the Company for the year ended on that date.
5. On the basis of the written representations received from the Directors as on 31 March, 2011 and taken on record by the
Board of Directors, none of the Directors is disqualified as on 31 March, 2011 from being appointed as a director in terms
of Section 274(1)(g) of the Companies Act, 1956.

[Firm Registration No : 117366W] [Firm Registration No : 120318W]
R. D. Kamat Devang B. Parekh

Partner Partner
Membership No 36822 Membership No 105789
Mumbai, 29 July 2011 Mumbai, 29 July 2011

ANNEXURE TO THE AUDITORS’ REPORT
Re: Alok Industries Limited

Referred to in paragraph 3 of our report of even date
(i) In respect of fixed assets:
(a) The Company has maintained proper records showing full particulars, including quantitative details and situation of
fixed assets.
(b) According to the information and explanations given to us, considering the nature of fixed assets, physical verification
of major portion of fixed assets as at 31 March 2011 was conducted by the management during the year, which is
reasonable having regard to the size of the company and nature of its business and no material discrepancies were
noticed on such verification.
(c) The fixed assets disposed off during the year, in our opinion, do not constitute a substantial part of the fixed assets
of the Company.
(ii) In respect of inventories:
(a) As explained to us, inventories (except stocks lying with third parties and in-transit, confirmation / subsequent receipt
have been obtained in respect of such inventory) have been physically verified during the year by the management,
at reasonable intervals.
(b) In our opinion and according to the information and explanations given to us, the procedures of physical verification
of inventories followed by the management were reasonable and adequate in relation to the size of the Company
and the nature of its business.
(c) In our opinion and according to the information and explanations given to us, the Company has maintained proper
records of its inventories and no material discrepancies were noticed on physical verification.
(iii) In respect of loans, secured or unsecured, granted by the Company to companies, firms or other parties covered in the
Register under Section 301 of the Companies Act, 1956, according to the information and explanations given to us:
(a) The Company has granted loans to a party during the year. At the year-end, the outstanding balance of such loan
was Nil and the maximum amount outstanding during the year was ` 59.12 crore.
(b) The rate of interest and other terms and conditions of such loans are, in our opinion, prima facie not prejudicial to
the interest of the Company.
(c) The receipt of principal amounts and interest is on demand and on that basis, the same is regular.
(d) There is no overdue amount in excess of ` 1 lakh since the same is recoverable on demand.
The Company has not taken loans, secured or unsecured from companies, firms or other parties covered in the
Register maintained under Section 301 of the Companies Act, 1956 and accordingly, clause (iii) (e) to (g) of CARO
are not applicable to the Company.
(iv) In our opinion and according to the information and explanations given to us, there is an adequate internal control
system commensurate with the size of the Company and the nature of its business with regard to purchases of inventory
and fixed assets and the sale of goods and services. During the course of our audit, we have not observed any major
weakness in such internal control system.
(v) In respect of contracts or arrangements entered in the register maintained in pursuance of section 301 of the Companies
Act, 1956:
(a) To the best of our knowledge and belief and according to the information and explanations given to us, the particulars
of contracts or arrangements referred to in Section 301 that needed to be entered in the register, have been so
entered.
(b) Where each of such transaction is in excess of ` 5 lakhs in respect of any party, the transactions have been made
at prices which are prima facie reasonable having regard to the prevailing market prices at the relevant time.
(vi) In our opinion and according to the information and explanations given to us, the Company has complied with the
provisions of Sections 58A and 58AA or any other relevant provisions of the Companies Act, 1956 and the Companies
(Acceptance of Deposits) Rules, 1975 with regard to the deposits accepted from the public. According to the information
and explanations given to us, no order has been passed by the Company Law Board or the National Company Law
Tribunal or the Reserve Bank of India or any Court or any other Tribunal.

(vii) In our opinion, the internal audit functions carried out during the year by firms of Chartered Accountants appointed by the
Management have been commensurate with the size of the company 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 Central
Government for the maintenance of cost records under Section 209(1) (d) of the Companies Act, 1956 in respect of
Textile and Polyester products manufactured by the Company and are of the opinion, that prima facie, the prescribed
accounts and records have been made and maintained. We have, however, not made a detailed examination of the
records with a view to determining whether they are accurate or complete. To the best of our knowledge and according
to the information and explanations given to us, the Central Government has not prescribed the maintenance of cost
records for any other product of the Company.
(ix) According to the information and explanation given to us in respect of statutory dues:
(a) the company has generally been regular in in depositing undisputed statutory dues, including Provident Fund,
Investor Education and Protection Fund, Employees’ State Insurance, Income-tax, Sales-tax, Wealth Tax, Custom
Duty, Profession Tax, Works contracts tax, Maharashtra Labour Welfare fund Cess and other statutory dues with the
appropriate authorities during the year, except for service tax dues aggregating to ` 0.50 crore including interest of
` 0.02 crore, which has been paid subsequent to year end.
(b) there are no undisputed amounts payable in respect of Income-tax, Wealth-tax, Customs Duty, Excise Duty, Sales
Tax, Service Tax, Cess and other statutory dues in arrears as at 31 March 2011 for a period of more than six months
from the date they became payable, except for service tax under Finance Act, 1994 based on reverse charge
mechanism of `. 1.33 crore and ` 2.94 crore (including interest) (aggregating to ` 4.27 crore) pertaining to the years
ended 2008 and 2009 respectively due on various dates, quantified based on internal assessment done by the
management and which has been deposited with the statutory authorities on 11 July 2011.
(c) there are no dues in respect of Sales Tax, income Tax, Wealth tax, Customs Duty and Cess that have not been
deposited as on 31 March 2011 on account of disputes, except as follows :
Name of the statute Nature of dues Amount Period to which the Forum where dispute
(` in crores) amount relates is pending
Income Tax Act, 1961 * Income tax demand 5.91 AY 2006-07 to 2009-10 Commissioner of
(TDS dues) Income Tax (Appeals)
Works Contract Tax Works Contract Tax 0.59 FY 2004-05 Deputy Commissioner
Act, 1986 of Sales Tax
* Refer note 1 (F)(a) of part B of Schedule 19 to the financial statements.
(x) The company neither has accumulated losses at the end of the year, nor incurred cash losses during the current and
immediately preceding financial year.
(xi) In our opinion and according to the information and explanations given to us, the Company has not defaulted in the
repayment of dues to banks, financial institutions and debenture holders.
(xii) According to the information and explanations given to us, the company has not granted any loans and advances on the
basis of security by way of pledge of shares, debentures and any other securities. Accordingly, clause 4 (xii) of the order
is not applicable to the company.
(xiii) In our opinion and according to the information and explanations given to us, the company is not a chit fund or a nidhi/
mutual benefit fund/society. Accordingly clause 4 (xiii) of the order is not applicable to the company.
(xiv) In our opinion and according to the information and explanations given to us, the company is not dealing in or trading in
shares, securities, debentures or investments. Accordingly clause 4 (xiv) of the order is not applicable to the Company.
(xv) In our opinion and according to the explanation given to us, the terms and conditions of the guarantees given by the
company for loans taken by subsidiary company from banks and financial institutions are not prima facie prejudicial to
the interests of the Company.
(xvi) On the basis on records examined by us, and relying on the infromation compiled by the Company for co-relating the
funds raised to the end use of term loans, we have to state that, the company has, prima-facie, applied the term loans
for the purpose for which they were obtained, other than amounts temporarily invested pending utilisaion of the funds for
the intended use.

(xvii) In our opinion and according to the information and explanations given to us and on an overall examination of the
Balance Sheet, we report that funds raised on short-term basis have not been used during the year for long – term
investment.
(xviii)The company has not made preferential allotment of shares to parties and companies covered in Register maintained
under section 301 of the Companies Act, 1956. Accordingly clause 4 (xviii) of the order is not applicable to the Company.
(xix) Security / Charges have been created in respect of debentures issued as detailed in Note No 1 of schedule 3 of the
Balance Sheet.
(xx) The Management has disclosed the end use of money raised Qualified Institutional Placements. We have verified the
same from the letter of offer filed with Securities Exchange Board of India and as disclosed in Notes to accounts (refer
note 5 of part B of Schedule 19).
(xxi) To the best of our knowledge and according to the information and explanations given to us, no fraud by the Company
and no material fraud on the Company has been noticed or reported during the year.

[Firm Registration No : 117366W] [Firm Registration No : 120318W]

Partner Partner
Membership No 36822 Membership No 105789
Mumbai, 29 July 2011 Mumbai, 29 July 2011

BALANCE SHEET AS AT 31 MARCH 2011
(` Crore)
PARTICULARS SCHEDULE AS AT AS AT
NO. 31.03.2011 31.03.2010
I SOURCES OF FUNDS
(I) Shareholder’s Funds
(a) Capital 1 787.79 787.79
(b) Reserves and Surplus 2 2,309.80 1,928.40
3,097.59 2,716.19
(2) Loan Funds
(a) Secured Loans 3 8,726.40 8,086.66
(b) Unsecured Loans 4 927.17 423.02
9,653.57 8,509.68
(3) Foreign Currency Monetory Item Translation
0.22 -
Difference Account
(4) Deferred Tax Liability (net) 507.66 406.98

(Refer Note No. 8 of part B of Schedule 19)
Total 13,259.04 11,632.85
II APPLICATION OF FUNDS
(1) Fixed Assets
(a) Gross Block 5 9,014.33 7,276.36
(b) Less : Depreciation / Amortisation 1,587.12 1,070.50
(c) Net Block 7,427.21 6,205.86
(d) Capital Work-in-Progress 6 1,061.20 939.25
8,488.41 7,145.11
(2) Investments 7 167.18 229.69
(3) Foreign Currency Monetory Item Translation
- 0.17
Difference Account
(4) Current Assets, Loans and Advances
(a) Inventories 8 2,002.62 1,474.41
(b) Sundry Debtors 9 1,740.20 1,101.23
(c) Cash and Bank Balances 10 1,141.21 1,390.29
(d) Loans and Advances 11 727.52 835.95
5,611.55 4,801.88
Less : Current Liabilities and Provisions
(a) Current Liabilities 12 929.84 488.93
(b) Provisions 13 78.26 55.07
1008.10 544.00
Net Current Assets 4,603.45 4,257.88
Total 13,259.04 11,632.85

Significant Accounting Policies and Notes to Accounts 19
In terms of our report attached For and on behalf of the Board

For Deloitte Haskins & Sells For Gandhi & Parekh Ashok B. Jiwrajka Executive Chairman
Chartered Accountants Chartered Accountants Dilip B. Jiwrajka Managing Director
Surendra B. Jiwrajka Jt. Managing Director
R. D. Kamat Devang B. Parekh Sunil O. Khandelwal Chief Financial Officer
Partner Partner K. H. Gopal President (Corporate Affairs) &
Company Secretary
Mumbai: 29 July 2011 Mumbai: 29 July 2011

PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31 MARCH 2011
(` Crore)
SCHEDULE Year Ended Year Ended
PARTICULARS
NO. 31.03.2011 31.03.2010
INCOME
Sales (inclusive of excise duty) 14 6,488.14 4,371.42
Less : Excise duty 112.48 71.64
6,375.66 4,299.78
Job Work Charges Collected 12.77 11.39
(Tax deducted at source ` 0.26 crore [Previous year ` 0.25 crore])
6,388.43 4,311.17
Other Income 15 6.44 64.02
Increase in Stocks of Finished Goods and Process Stock 16 222.55 333.82
6,617.42 4,709.01
EXPENDITURE
Purchase of Traded Goods 342.62 398.46
Manufacturing and Other Expenses 17 4,518.45 3,038.07
Interest (net) 18 654.37 535.08
Depreciation / Amortisation 518.79 362.61
PROFIT BEFORE TAX 583.19 374.79
Provision for Tax - Current tax (120.57) (63.56)
- MAT credit entitlement 42.25 34.26
- Deferred Tax (100.68) (99.01)
Excess provision for Income Tax in respect of earlier years 0.17 0.86
NET PROFIT FOR THE YEAR 404.36 247.34
Add: Balance brought forward from previous year 180.91 276.63
AMOUNT AVAILABLE FOR APPROPRIATION 585.27 523.97
APPROPRIATIONS
Less: Transfer from/(to) Debenture Redemption Reserve 384.30 (300.10)
Transfer to General Reserve (25.00) (20.00)
Proposed Dividend - Equity Shares (19.69) (19.69)
Corporate Dividend Tax thereon (3.27) (3.27)
BALANCE CARRIED TO BALANCE SHEET 921.61 180.91

EARNINGS PER SHARE (in `)
Basic & Diluted 5.13 4.58
(Refer Note No.9 of Part B of Schedule 19)
Significant Accounting Policies and Notes to Accounts 19

Company Secretary

CASH FLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2011
(` Crore)
PARTICULARS Year Ended Year Ended
31.03.2011 31.03.2010
A] Cash Flow from Operating Activities
Net Profit Before Tax 583.19 374.79
Adjustments for
Loss by Fire - 37.91
Dividend Income (2.37) (1.02)
Interest Paid (net) 654.37 535.08
Loss / (Profit) on sale of fixed assets (net) 1.74 (1.60)
Profit on sale of Current Investments (net) (1.16) (0.66)
Operating Profit before working capital changes 1,754.56 1,307.11
Adjustments for
Increase in Inventories (528.21) (530.57)
Increase in Trade Receivables (638.96) (217.04)
Decrease/(Increase) in Loans and Advances 148.61 (328.82)
Increase in Current Liabilities 517.32 1.11
Cash Generated from Operations 1,253.32 231.79
Income Taxes Paid (117.85) (47.23)
Net Cash Generated from operating activities 1,135.47 184.56
B] Cash Flow from Investing Activities

Purchase of fixed assets (1,858.84) (1,524.56)
Sale of fixed assets 1.76 2.33
Purchase of Investments (131.15) (567.85)
Sale of Investments 194.82 817.40
Fixed Deposits & Margin Money Deposits placed (314.67) (649.52)
Dividends received 2.37 1.02
Interest received 34.65 13.45
Inter Corporate Deposits Refunded (Net) 2.45 1.25
Net cash used in Investing Activities (2,068.61) (1,906.48)
C] Cash Flow from Financing Activities

Proceeds from issue of Equity Share Capital (including premium) (Net) - 736.74
Proceeds from Term borrowings 3,144.23 3,145.92
Repayment of Term borrowing (2,047.10) (1,826.15)
Proceeds from other borrowings (Net) 47.15 604.58
Dividend Paid (Including Tax thereon) (22.96) (17.28)
Interest Paid (Net) (751.93) (526.06)
Net cash generated from Financing Activities 369.39 2,117.75
Net Increase in Cash and Cash equivalents (A+B+C) (563.75) 395.83

Cash and Cash equivalents at the beginning of the year 673.40 277.57
Cash and Cash equivalents at the end of the year 109.65 673.40
CASH FLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2011
NOTES TO CASH FLOW STATEMENT

1. Cash and Cash equivalents includes : March 31, 2011 March 31, 2010
(` Crore) (` Crore)
Cash and Bank Balances 1,141.21 1,390.29
Less: Margin Money Deposits * 132.87 115.69
Less : Fixed Deposit Pledged * 845.45 444.00
Less : Deposit with maturity period of more than 3 months ** 53.24 157.20
Total Cash and Cash equivalents 109.65 673.40
* Margin money and fixed deposit pledged being restricted for its use have been excluded from cash and cash equivalent
and grouped under the investment activity.
** Fixed Deposits with maturity period of more than three months have been excluded from cash and cash equivalent
2. The Cash Flow Statement has been prepared in accordance with the requirements of Accounting Standard 'AS-3' Cash
Flow Statements’’.

Company Secretary

SCHEDULES
(` Crore)
PARTICULARS AS AT AS AT
31.03.2011 31.03.2010
SCHEDULE ‘1’
CAPITAL
Authorised:
90,00,00,000(Previous Year 90,00,00,000)Equity shares of `10/- each 900.00 900.00
Total 900.00 900.00
Issued and Subscribed :
Equity Share Capital
78,77,84,357 (Previous Year 78,77,98,278) Equity shares of `10/- each 787.78 787.80
fully paid up
Add: Forfeited Shares (13,921 shares of ` 10/- each ` 5/- paid up) 0.01 -
Less : Calls in Arrears (Nil (Previous Year 22,316) Shares of ` 10/- each
` 5/- paid up) - (0.01)
787.79
Total 787.79 787.79
NOTES:
a) During the year ended 31 March 2010, 59,08,23,309 equity shares are issued as under:
i] 40,87,23,061 Equity Shares of `10/- are issued at a premium aggregating to ` 40.87 crore on Rights basis in the
ratio of 83 Rights Equity Shares for every 40 Equity Shares held.
ii] 18,21,00,248 Equity Shares of `10/- issued at a premium aggregating to ` 242.56 crore in Qualified Institutional
Placements (QIP).
b) Of the above shares :
i] 7,45,396 equity shares were allotted as Bonus shares by way of capitalisation of General Reserve.
ii] 62,550 equity shares being forfeited shares were reissued during 2001.
(` Crore)
31.03.2011 31.03.2010
SCHEDULE ‘2’
RESERVES AND SURPLUS
Capital Reserve
Balance as per last Balance Sheet 10.23 0.03
Add : Share warrants forfeited - 10.20
10.23 10.23
Capital Redemption Reserve
Securities premium account

Add : Received during the year - 283.43
880.39 880.39
General Reserve
Add: Transferred from Profit and Loss Account 25.00 20.00
274.99 249.99
Debenture Redemption Reserve
(Less)/Add: Transferred (to) / from Profit and Loss Account (384.30) 300.10
220.38 604.68
Surplus in Profit and Loss Account 921.61 180.91
Total 2,309.80 1,928.40

SCHEDULES
(` Crore)
31.03.2011 31.03.2010
SCHEDULE ‘3’
SECURED LOANS
a. Debentures (see note 1 below)
12.50% Redeemable Non Convertible Debentures 200.00 -
11.50% Redeemable Non convertible Debentures 200.00 -
11.00% Redeemable Non Convertible Debentures - 300.00
10.75% Redeemable Non convertible Debentures 100.00 -
8.00% Redeemable Non convertible Debentures 250.00 100.00
7.30% Redeemable Non convertible Debentures - 500.00
750.00 900.00
b. Term Loans (see note 2 below)
(1) From Financial Institutions
- Rupee Loans 158.91 106.19
- Foreign Currency Loans 248.65 184.25
407.56 290.44
(2) From Banks

- Rupee Loans 6,146.47 5,395.13
- Foreign Currency Loans 545.54 653.00
6,692.01 6,048.13
7,099.57 6,338.57
c. From Banks on Cash Credit Accounts, Working capital demand 868.96 843.78
loans etc (See note 3 below)
[Including ` 469.42 crore loan in foreign currency (previous year `
352.44 crore)]
d. Vehicle loan from Banks (See note 4 below) 7.87 4.31

Total 8,726.40 8,086.66
NOTES:
1 a) Debentures outstanding at the year end are redeemable as follows
Particulars Nos Amount Date of
(` Crore) redemption
8.00% Redeemable Non convertible Debentures of ` 10,00,000/-each 1000 100.00 6-Jul-11
10.75% Redeemable Non convertible Debentures of ` 10,00,000/-each 333 33.30 20-Oct-16
11.50% Redeemable Non convertible Debentures of ` 10,00,000/-each 700 70.00 28-Jun-14
12.50% Redeemable Non convertible Debentures of ` 10,00,000/-each 667 66.70 3-Mar-15
Total 750.00
b) All the debentures in a) above are secured by pari passu charge on the immovable property situated at Mouje Irana,
Taluka Kadi, District Mehsana in the state of Gujarat
c) The debentures of ` 500 crore in a) above are secured by subservient charge on fixed and current assets of the
Company (excluding Land and Building).

SCHEDULES
2 Term loans are secured as under :

a) Term loans from financial institutions and from banks (Including foreign currency loans) to the extent of ` 106.92
crore (previous year ` 139.38 crore) and ` 2,492.99 crore (previous year ` 2,770.24 crore) respectively, are secured
by (i) a pari passu first charge created/to be created on all present and future movable and immovable assets of the
company subject to exclusive charges created/to be created on specific fixed assets in favour of specified lenders.
(ii) a charge created/ to be created on all current assets of the company subject to a prior charge on such current
assets created/to be created in favour of the company's bankers towards working capital requirements and (iii) the
personal guarantees of three promoter directors.
b) Term loan from banks to the extent of ` 647.66 crore (previous year ` 259.77 crore) is secured by (i) an exclusive
charge created on specific assets financed by them and (ii) the personal guarantees of three promoter directors.
c) Term loans from the Banks and Financial Institutions to the extent of ` 118.97 crore (previous year ` 204.19 crore)
and ` 189.00 crore (previous year ` 38.22 crore) respectively, are secured by (i) subservient charge on all movable
assets of the Company present and future subject to prior charge on specific movable assets in favour of the
company’s term lenders and towards working capital requirements (ii) the personal guarantee of three Promoter
d) Term loans from the Banks to the extent of ` 9.58 crore (previous year ` 13.20 crore) are secured by (i) subservient
charge on all assets of the Company excluding Land and Building (ii) Pledge of company's investment in a subsidiary
viz. Alok Industries International Limited (ii) the personal guarantee of three Promoter Directors of the Company.
e) Term loan from the Bank to the extent of ` 3,422.81 crore (previous year ` 2,800.72 crore), are secured by subservient
charge on all present and future moveable fixed assets, stocks and receivables of the Company subject to prior
charge in favour of the company’s term lenders and working capital bankers.
f) Term loan from Financial Institution of ` 111.64 crore (previous year ` 112.85 crore) is secured by (i) subservient
charge on all the present and future moveable fixed assets of the company except land and building
3 Working Capital limits from banks are secured by (i) hypothecation of Company’s current assets (ii) second /subservient
charge created / to be created on the fixed assets of the Company (iii) immovable properties belonging to the Company
/ Guarantors and (iv) the personal guarantees of three promoter directors of the Company.
4 Vehicle loans are secured by vehicles under hypothecation with banks against such loans taken.
(` Crore)
AS AT AS AT
PARTICULARS
31.03.2011 31.03.2010
SCHEDULE ‘4’
UNSECURED LOANS
(a) Term Loans and Advances
From Banks and Finacial Institutions
- Rupee Loans 814.95 193.00
- Foreign currency loans 112.22 122.81
927.17 315.81
(b) Nil (Previous year 475) 1% Foreign Currency Convertible Bonds - 107.21
(FCCBs)
Total 927.17 423.02
NOTES:
1. Term loan from banks
a. Includes commercial paper of ` 720 crore (Previous year ` Nil) maximum amount outstanding at any time during the
year ` 915 crore (Previous year ` Nil).
b. Term Loan from banks To the extent of ` 44.95 crore (Previous year ` 40.00 crore) are secured by Personal
Guarantee of three Promoter Directors.

Schedule ‘5’
FIXED ASSETS
(` Crore)
GROSS BLOCK DEPRECIATION/ AMORTISATION NET BLOCK
Sr DESCRIPTION OF As at 01.04.10 ADDITIONS DEDUCTIONS / As at 31.03.11 As at 01.04.10 FOR THE DEDUCTIONS / As at 31.03.11 As at 31.03.11 As at 31.03.10
No. ASSETS ADJUSTMENTS YEAR ADJUSTMENTS
OWN ASSETS
SCHEDULES
1 Freehold Land 75.38 24.05 - 99.43 - - - - 99.43 75.38

2 Leasehold Land 0.56 - - 0.56 0.13 0.00 - 0.13* 0.43 0.43
3 Buildings 1,628.26 268.18 - 1,896.44 114.46 51.42 (0.00) 165.88 1,730.56 1,513.80
4 Office Premises 26.54 - - 26.54 2.27 0.43 - 2.70 23.84 24.27
5 Plant and Machinery 5,316.52 1,422.22 4.77 6,733.97 896.73 444.66 1.86 1,339.53 5,394.44 4,419.79
6 Computer and 25.31 2.36 - 27.67 13.83 3.46 - 17.29 10.38 11.48
Peripherals
7 Office Equipment 8.66 1.02 0.07 9.61 2.29 0.82 0.02 3.09 6.52 6.37
8 Furniture and Fittings 70.41 5.51 - 75.92 13.42 4.53 - 17.95 57.97 56.99
9 Vehicles 8.32 11.43 0.81 18.94 2.69 1.33 0.29 3.73 15.21 5.63
10 Tools and Equipment 49.21 6.66 - 55.87 6.50 3.86 - 10.36 45.51 42.71
Sub - Total 7,209.17 1,741.43 5.65 8,944.95 1,052.32 510.51 2.17 1,560.66 7,384.29 6,156.85
INTANGIBLE ASSETS
1 Computer Software 12.15 2.19 - 14.34 3.05 2.78 - 5.83 8.51 9.10
2 Trademarks / Brands 55.04 - - 55.04 15.13 5.50 - 20.63 34.41 39.91
Sub - Total 67.19 2.19 - 69.38 18.18 8.28 - 26.46 42.92 49.01
Total 7,276.36 1,743.62 5.65 9,014.33 1,070.50 518.79 2.17 1,587.12 7,427.21 6,205.86
Total Previous Year 4,534.44 2,743.61 1.69 7,276.36 708.85 362.61 0.96 1,070.50 6,205.86
Integrated Textile SolutionsTM

Notes:
1. Plant & Machinery includes loss of ` 15.96 crore (previous year gain of ` 75 crore) in liability payable in foreign currency consequent upon changes in
the exchange rates.
2. Intangible assets consists of Trade Marks / Brands aggregating to ` 55.04 crore (previous year ` 55.04 crore) (Gross) [ Written down value ` 34.41 crore
(previous year ` 39.91 crore) ], which are registered in the name of subsidiary company in trust on behalf of the company. The company has applied for
registering those Trademarks / Brands in it’s name with concerned authorities and is awaiting registration.
3. Additions to plant & Machinery includes interest capitalised ` 36.08 crore (Previous year ` 83.92 crore).
* Amount written off in respect of Leasehold Land for the period of Lease which has expired.
125
SCHEDULES
(` Crore)
31.03.2011 31.03.2010
SCHEDULE ‘6’
CAPITAL WORK IN PROGRESS
Capital Expenditure On Projects 906.55 850.14
Advance For Capital Expenditure 154.65 89.11
Total 1,061.20 939.25
Capital expenditure incurred on Projects include :
i] ` 12.74 crore (Previous year ` 39.11 crore) on account of pre-operative expenses (Refer Note No. 7 of part B of schedule
19)
ii] ` 893.81 crore (Previous year ` 811.03 crore) on account of cost of construction material and plant and machinery under
erection. This amount include exchange loss of ` 7.52 crore (previous year ` Nil) and interest capitalised of ` 50.73 crore
(previous year ` 37.75 crore)
(` Crore)
31.03.2011 31.03.2010
SCHEDULE ‘7’
INVESTMENTS
A) LONG TERM INVESTMENTS (At cost / carrying amount unless
otherwise stated) - fully paid
In Equity shares
In Subsidiary Companies - Unquoted
Alok Inc. 0.04 0.04
(50 Equity Shares of USD 200 each)
Alok Industries International Limited 0.22 0.22
[50,000 Equity Shares of USD 1 each]
(Pledged against finance availed from Axis Bank)
Alok International Inc. (` 43,225/-) 0.00 0.00
[1,000 Equity Shares of USD 1/- each]
Alok Apparel Private Limited 1.00 1.00
[10,00,000 Equity Shares of ` 10/- each]
Alok Retail (India) Limited 0.05 0.05
[50,000 Equity Shares of `10/- each]
Alok Land Holdings Private Limited 0.50 0.50
[5,00,000 Equity Shares of `10/- each]
(1,50,000 shares Pledged against finance availed by Alok Infrastructure
Limited.)
Alok Infrastructure Limited 0.05 0.05
[50,000 Equity Shares of `10/- each]
(Pledged against finance availed Alok Realtors Private Limited)
Alok H & A Limited 36.05 36.05
[3,60,50,000 Equity Shares of `10/- each]
37.91 37.91
In Joint Venture
Aurangabad Textiles & Apparel Parks Limited 17.25 15.50
[10,19,200 Equity Shares of `10/- each]*
* Stamp duty on lease deed of ` 1.75 crore paid during the year as per
share subscription agreement
New City Of Bombay Mfg. Mills Limited 71.50 71.50
[44,93,300 Equity Shares of `10/- each]
88.75 87.00

SCHEDULES
(`. Crore)
31.03.2011 31.03.2010
Others - Unquoted
Trimphunt Victory Holdings Limited (` 45.14/-) 0.00 0.00
[1 Equity share of USD 1 each]
Shirt Company (India) Limited 0.20 0.50
[11,333 (Previous year 33,333) Equity Shares of `10/- each]
Dombivali Nagri Sahakari Bank Limited 0.05 0.05
[10,000 Equity Shares of ` 50/- each]
Kalyan Janata Sahakari Bank Limited 0.03 0.03
[10,000 Equity Shares of ` 25/- each]
Saraswat Bank Limited (` 25,000/-) 0.00 -
[2,500 Equity Shares (Previous Year Nil) of ` 10/- each]
Grabal Alok International Limited (` 1,121.25/-) 0.00 -
[25 Equity Shares (Previous Year Nil) of USD 1 each]
Wel-Treat Environ Management Organisation (` 36,500/-) 0.00 -
[3,650 Equity Shares (Previous Year Nil) of 10 each]
0.28 0.58
Others - Quoted
Grabal Alok Impex Limited 3.99 3.99
[19,00,000 Equity Shares of `10/- each ]
In Preference Shares
In Subsidiary company- Unquoted
Alok Industries International Limited - 79.15
[1%, Nil (Previous year 19,562,484) cumulative redeemable preference
shares of USD 1 each] redeemable after 10 years from the date of
allotments with a put and call option at the end of each year.
- 79.15
B) CURRENT INVESTMENTS
(At lower of cost or fair value) - fully paid
In equity shares - Quoted
United Bank of India - 0.15
[Nil (Previous Year 22,130) Equity Shares of ` 10/- each]
- 0.15
In Mutual Funds- Unquoted
Principal PNB Long Term Equity Fund 3 Year Plan - Series II - 0.56
[Nil (Previous Year 12,50,000) units of `10/- each]
Axis Infrastructure Fund 1 7.20 6.85
[72,035 (Previous year 68,453) units of ` 1000/- each]
SBI Short Horizon Fund Ultra Short Term Institutional - Growth - 2.50
[Nil (Previous Year 23,51,259.33) units of ` 10/- each]
SBI Magnum Insta Cash Fund 17.00 -
[78,08,875.48 (Previous year Nil) units of ` 10/- each]
Peerless Liquid Fund Collection A/C 1.00 -
[9,35,506.20 (Previous year Nil) units of ` 10/- each]
IDFC Money Manager Fund Daily Dividend 0.05 -
[49,652.93 (Previous year Nil) units of ` 10/- each]
25.25 9.91
Bonds
Laxmi Vilas Bank Tier II Bonds 2.00 2.00
[20 Bonds of `. 10,00,000 each]
2.00 2.00
27.25 12.06
158.18 220.69
SCHEDULES
31.03.2011 31.03.2010
C) Share Application Money - To Subsidiary company
Alok Apparel Private Limited 9.00 9.00
9.00 9.00
Total 167.18 229.69
1) Quoted Investment : Aggregate cost / carrying value 3.99 4.14

: Aggregate market value 6.08 9.64
2) Unquoted Investment : Aggregate cost / carrying value 154.19 216.55
Investments bought and sold during the year
Particulars No of units Face Value Purchase
` per Unit/ Cost
Share ` Crore
Mutual Fund Units
DSP Black Rock Liquidity fund 37,173.96 10 5.00

DSP Black Rock Liquidity fund 36,937.30 10 5.00
LIC MF Liquid Fund 11,725,460.08 10 20.00
Pnb-Principal Cash Mgt Fund 1,316,820.41 10 2.00
SBI Magnum Insta Cash Fund 7,112,206.92 10 15.00
SBI Magnum Insta Cash Fund 23,565,564.11 10 50.00
SBI Magnum Insta Cash Fund 924,932.48 10 2.00
SBI Premier Liquid Fund 6,693,530.03 10 10.00
SBIMF - SDFS - 90 Days 2,000,000.00 10 2.00
(` Crore)
31.03.2011 31.03.2010
SCHEDULE '8'
INVENTORIES [At Cost or Net Realisable value whichever is lower]
Stores, Spares, Packing Materials and others 66.30 38.28
Stock-in-trade :
Raw Materials 587.63 309.99
(Includes goods in transit ` 138.62 crore (Previous year ` 41.66 crore)
Process Stock 868.77 826.48
Finished Goods / Traded Goods 479.92 299.66
1,936.32 1,436.13
Total 2,002.62 1,474.41

SCHEDULES
(` Crore)
31.03.2011 31.03.2010
SCHEDULE ‘9’
SUNDRY DEBTORS (Unsecured)
Debts Outstanding for a period exceeding six months 50.75 40.73
Other Debts 1,698.84 1,065.06
1,749.59 1,105.79
Less : Provision 9.39 4.56
Total 1,740.20 1,101.23
Considered Good 1,740.20 1,101.23

Considered Doubtful 9.39 4.56
Total 1,749.59 1,105.79
NOTE : Sundry Debtors includes ` 64.9 crore (Previous year ` 38.23 crore) towards contractual obligations on account of
Export Incentives Receivables.
Debtors include dues from parties aggregating to ` 3.10 crore in which director is director/partner.
(` Crore)
31.03.2011 31.03.2010
SCHEDULE ‘10’
CASH AND BANK BALANCES
Cash on hand 0.70 0.57
Bank Balances :
a) With Scheduled Banks :
- In Cash Credit Accounts 1.36 2.34
- In Current Accounts 28.53 699.39
- In Deposit Accounts [including interest accrued thereon 977.75 548.23
` 3.56 crore (Previous Year ` 0.96 crore)] (Refer note no.4)
- In Margin Money Deposits 132.87 115.69
b) With others
- In Current Account
Hinduja Bank 0.00 1.50
[Maximum amount outstanding at any time during the year `
1.50 crore (Previous year ` 1.50 crore)]
- In Deposit Accounts
EXIM Bank - 22.57
[Maximum amount outstanding at any time during the year `
22.57 crore (Previous year ` 22.57 crore)]
Total 1,141.21 1,390.29
Cash and Bank Balance includes

1) ` 41.29 crore (Previous year `. 79.19 crore) kept in bank fixed deposits pending utilisation towards project.
2) Margin money deposits includes ` 69.16 crore (previous year ` 73.34 crore) towards L.C margin against import of plant
& machinery.
3) Includes ` Nil (Previous year ` 444.00 Crore) pledged with bank against put option (Refer note No. 15 of part ‘B’ of
Schedule 19).
4) Includes ` 845.45 crore (Previous year ` Nil) pledge with bank towards loan availed by subsidiary Companies.

SCHEDULES
(` Crore)
AS AT AS AT
PARTICULARS
31.03.2011 31.03.2010
SCHEDULE ‘11’
LOANS AND ADVANCES
[Unsecured]
Advances recoverable in cash or in kind or for value to be received 596.68 740.31
Loans - Inter Corporate Deposits 4.95 7.40
Deposits 9.36 5.03
Balances with Central Excise Collectorate 0.16 0.17
Advance Tax (Net of provision for tax) 15.29 14.90
Mat credit Entitlement 110.39 68.14
736.83 835.95
Less : Provision 9.31 -
727.52 835.95
Considered good 727.52 835.95

Considered doubtful 9.31 -
Total 736.83 835.95
Advances includes :
a) ` 171.33 crore (previous year ` 109.30 crore) towards Cenvat credit balances to be utilised in the subsequent years.
b) ` 121.73 crore (previous year ` 108.77 crore) towards interest subsidy receivable under the TUF scheme of
Government of India.
c) ` 1.27 crore (previous Year ` 0.43 crore) due from officers of the Company [maximum amount outstanding during the
year ` 1.35 crore (Previous year ` 0.49 crore)]
Deposit includes :
(a) ` 2.97 crore (previous year ` 3.00 crore) being deposits towards office/residential premises taken on rental basis.
(` Crore)
31.03.2011 31.03.2010
SCHEDULE ‘12’
CURRENT LIABILITIES:
Sundry Creditors
Total Outstanding dues to :
- Micro Enterprises and Small Enterprises * - 0.12
- Creditors other than Micro Enterprises and Small Enterprises 622.84 287.96
[Including Acceptances ` 89.92 crore (previous year ` 154.66 crore)]
622.84 288.08
Buyers credit 167.00 67.88
Mark to Market provision on derivative instruments (Refer note no.16 of
72.96 23.95
Part B of schedule 19)
Unclaimed Dividend# 0.84 0.80
Interest accrued but not due on loans 17.59 80.50
Advance from customers 48.61 27.72
Total 929.84 488.93
* As per information available with the Company

Note :
Sundry Creditors includes ` 30.13 crore (previous year ` 1.38 crore) being overdrawn bank balances as per books consequent to
issue of cheques at the year end though the banks have positive balances as on that date.
# This figure dosn’t includs any amount due and outstanding to be credited to Investor Education and Protection Fund. During the
year, company has transferd ` 0.06 crore (Previous year ` 0.04 Crore) to Investor Education and Protection Fund)

SCHEDULES
(` Crore)
31.03.2011 31.03.2010
SCHEDULE ‘13’
PROVISIONS
Provision for Gratuity and compensated absences 20.59 15.81
Proposed Dividend 19.69 19.69
Corporate Dividend Tax 3.27 3.27
Provision for Taxation (Net of advance tax) 19.24 16.30
Others (Refer note no 13 of part B of Schedule 19) 15.47 -
Total 78.26 55.07
(` Crore)
31.03.2011 31.03.2010
SCHEDULE ‘14’
SALES
Sales – Local 4,270.71 2,812.43
Sales – Export 2,080.48 1,466.97
6,351.19 4,279.40
Export Incentive 136.95 92.02
Total 6,488.14 4,371.42
(` Crore)
31.03.2011 31.03.2010
SCHEDULE ‘15’
OTHER INCOME
Dividend Income :
On long term investment 2.37 1.02
On Current investment - 0.00
2.37 1.02
Miscellaneous Income 0.16 0.32
Rent Received 0.78 0.06
Profit on sale of Current Investments (Net) 1.16 0.66
Profit on sale of Assets (Net) - 1.60
Exchange Rate difference (Net) - 58.03
Provision for Doubtful Debts written back 1.54 2.27
Sundry Credit balances written back 0.43 0.06
Total 6.44 64.02

SCHEDULES
(` Crore)
31.03.2011 31.03.2010
SCHEDULE ‘16’
INCREASE IN STOCK OF FINISHED GOODS AND PROCESS
STOCK
CLOSING STOCK AS ON 31 MARCH 2011
1,348.69 1,126.14
LESS : OPENING STOCK AS ON 1 APRIL 2010

1,126.14 792.32
Total 222.55 333.82
(` Crore)
31.03.2011 31.03.2010
SCHEDULE ‘17’
MANUFACTURING AND OTHER EXPENSES
Raw Material Consumed 3,224.04 1,940.35
Payment to and Provisions for Employees:
Salaries, Wages and Bonus 187.27 143.65
Contribution to Provident Fund and Other Funds 8.08 6.31
Employees Welfare Expenses 4.41 3.77
199.76 153.73
Operational and Other Expenses
Stores and Spares Consumed 50.63 67.55
Packing Materials Consumed 80.70 65.42
Power and Fuel 392.09 319.28
Processing Charges 47.93 35.41
Labour Charges 59.39 47.40
Excise Duty 4.14 4.75
Donation 0.81 2.15
Share Issue Expenses - 44.93
Rent 12.19 10.49
Repairs and Maintenance
Plant and Machinery 14.61 10.66
Factory Building 0.59 0.65
Others 3.55 3.12
18.75 14.43
Commission on Sales 21.63 16.51
Exchange rate difference (Net) 75.64 -

SCHEDULES
Provision for Doubtful Debts 6.37 2.93

Provision for doubtful advance 9.31 -
Loss of assets due to fire - 37.91
Directors Remuneration 7.20 7.20
Directors Fees and Commission 5.06 5.06
Auditors Remuneration
Audit Fees 1.30 0.47
Certification Fees 0.03 0.03
1.33 0.50
Insurance 12.87 9.67
Loss on Sale of Assets (net) 1.74 -
(Miscellaneous Expenses includes Printing and Stationery, Bank Charges,
Advertisement, Bill Discounting Charges etc.)
Total 4,518.45 3,038.07
(` Crore)
31.03.2011 31.03.2010
SCHEDULE ‘18’
INTEREST (NET)
Interest Paid:
On Debentures 75.00 75.64
On Fixed Loan 474.83 360.12
[Net of Interest Subsidy ` 131.88 crore (previous year ` 138.01 crore)]
On Cash Credit Accounts, etc. 139.19 112.78
[Net of recovery ` 81.47 crore (previous year ` Nil) (Tax Deducted at 689.02 548.54
source ` 8.15 crore [Previous year ` Nil crore])]
Less : Interest Received on Loans, Deposits etc. (Tax Deducted at 34.65 13.45
Source `3.73 crore [Previous Year ` 2.01 crore])
Less : Interest on calls in arrear - 0.01
Total 654.37 535.08

SCHEDULES
SIGNIFICANT ACCOUNTING POLICIES AND NOTES TO ACCOUNTS

Schedule ‘19’
A) SIGNIFICANT ACCOUNTING POLICIES
1. Basis of Preparation of Financial Statements
These financial statements have been prepared under the historical cost convention in accordance with generally
accepted accounting principles in India, the applicable Accounting Standards and the provisions of the Companies Act,
1956.
2. Use of Estimates
The preparation of financial statements in conformity with the generally accepted accounting principles require estimates
and assumptions to be made that affect the reported amounts of assets and liabilities on the date of the financial
statements and the reported amounts of revenues and expenses during the reporting period. Differences between, the
actual results and estimates are recognised in the period in which the results are known / materialise.
3. Revenue Recognition
a) Revenue on sale of products is recognised when the products are dispatched to customers, all significant contractual
obligations have been satisfied and the collection of the resulting receivable is reasonably expected. Sales are
stated net of trade discount, returns and sales tax collected.
b) Revenue in respect of insurance/other claims, interest etc. is recognised only when it is reasonably certain that the
ultimate collection will be made.
4. Fixed Assets
a) Own Assets:
Fixed Assets are stated at cost of acquisition or construction including directly attributable cost. They are stated at
historical cost less accumulated depreciation and impairment loss, if any.
b) Assets taken on lease:
1) Finance Lease:
Assets taken on lease after April 1, 2001 are accounted for as fixed assets in accordance with Accounting Standard
on “Leases” AS-19. Accordingly, the assets have been accounted at fair value. Lease payments are apportioned
between finance charges and reduction of outstanding liability.
2) Operating Lease:
Assets taken on lease under which, all the risk and rewards of ownership are effectively retained by the lessor are
classified as operating lease. Lease payments under operating leases are recognised as expenses on accrual basis
in accordance with the respective lease agreements.
5. Investments
Investments classified as Long Term Investments are stated at cost. Provision is made to recognise a decline, other than
temporary, in the value of investments. Current investments are carried at cost or fair value whichever is lower.
6. Capital Work – in-Progress
Projects under commissioning are carried forward at cost as capital work in progress and represent payments made to
contractors including advances and directly attributable cost.
7. Depreciation / Amortization
a) Depreciation on Fixed Assets is provided on Straight Line Method at the rates and in the manner specified in
Schedule XIV to the Companies Act, 1956. Continuous process plant is classified based on technical assessment
and depreciation is provided accordingly
b) Cost of leasehold land is amortized over the period of lease.
c) Trade marks/Brands marks are amortized over a period of ten years from the date of capitalization
d) Computer software is amortized for a period of five years from the date of capitalization.

SCHEDULES
e) Depreciation on additions to assets or on sale / disposal of assets is calculated from the beginning of the month of
such addition or up to the month of such sale / scrapped, as the case may be.
f) Assets costing less than ` 5,000/ – are fully depreciated in the year of purchase.
8. Foreign Currency Transactions & Translations
a) Foreign currency transactions are recorded at the exchange rates prevailing on the date of the transaction. Exchange
differences arising on settlement of foreign currency transactions are recognised in the profit and loss account
b) Monetary items denominated in foreign currency are restated using the exchange rate prevailing at the balance
sheet date and the resultant exchange differences are recognized in the profit and loss account. Non-monetary
items denominated in foreign currency are carried at historical cost.
However, pursuant to the notification of the Companies (Accounting Standards) Amendment Rules 2006 issued on
31 March 2009, which amended Accounting Standard 11 on The Effects of Changes in Foreign Exchange Rates,
exchange differences relating to long term monetary items are dealt with in the following manner:
i. Exchange differences relating to long-term monetary items, arising during the year, in so far as they relate to
the acquisition of a depreciable capital asset are added to / deducted from the cost of the asset and depreciated
over the balance life of the asset.
ii. In other cases such differences are accumulated in a “Foreign Currency Monetary Item Translation Difference
Account” and amortized to the profit and loss account over the balance life of the long-term monetary item,
however that the period of amortization does not extend beyond 31 March, 2012. (Refer Note 20 below).
c) In respect of forward contracts entered into to hedge foreign currency exposure in respect of recognized monetary
items, the premium or discount on such contracts is amortized over the life of the contract. The exchange difference
measured by the change in exchange rate between the inception dates of the contract / last reporting date as the
case may be and the balance sheet date is recognized in the profit and loss account. Any gain / loss on cancellation
of such forward contracts are recognised as income / expense of the period.
9. Inventories
Items of Inventories are valued on the basis given below:
1. Raw Materials, Packing Materials, Stores and Spares and Trading goods: at cost determined on First – In – First – Out
(FIFO) basis or net realisable value, whichever is lower.
2. Process stock and Finished Goods: At weighted average cost or net realisable values whichever is lower. Cost comprises
of cost of purchase, cost of conversion and other costs incurred in bringing the inventory to their present location and
condition.
10. Employee Benefits (Refer Note No. 10 of Part B of Schedule 19)
a) Defined Contribution Plan
Company’s contribution paid/ payable for the year to defined contribution retirement benefit scheme is charged to Profit
and Loss account.
b) Defined Benefit Plan and other long term benefit plan
Company’s liabilities towards defined benefit scheme and other long term benefit plans are determined using the
projected unit credit method. Actuarial valuation under projected unit credit method are carried out at Balance Sheet
date, Actuarial gains/losses are recognised in Profit and Loss Account in the period of occurrence of such gains and
losses. Past service cost is recognised immediately to the extent benefits are vested otherwise it is amortized on straight
line basis over running average periods until the benefits become vested. The retirement benefit obligation recognised in
Balance Sheet represents present value of the defined benefit obligations as adjusted for unrecognised past service cost
and as reduced by fair value of scheme assets. Any asset resulting from this calculation is limited to past service cost,
the present value is available refunds and reduction in future contribution to the scheme.
c) Short Term Employee Benefits
Short term employee benefits expected to be paid in exchange for the services rendered by the employee are recognised
undiscounted during the period the employee renders the services, these benefits include incentive, bonus.

SCHEDULES
11. Accounting of CENVAT credit

Cenvat credit available is accounted by recording material purchases net of excise duty. Cenvat credit availed is
accounted on adjustment against excise duty payable on dispatch of finished goods.
12. Government Grants
Grants, in the nature of interest subsidy under the Technology Upgradation Fund Scheme (TUFS), are accounted for
when it is reasonably certain that ultimate collection will be made. Government grants not specifically related to fixed
assets are recognised in the Profit and Loss Account in the year of accrual / receipt.
13. Borrowing Costs
Borrowing costs that are attributable to the acquisition or construction of qualifying assets are capitalised as part of
the cost of such assets. A qualifying asset is one that necessarily takes a substantial period of time to get ready for its
intended use or sale. All other borrowing costs are charged to revenue.
14. Income taxes
Tax expense comprises of current tax and deferred tax. Current tax and deferred tax are accounted for in accordance
with Accounting Standard 22 (AS-22) on “Accounting for taxes on Income”. Current tax is measured at the amount
expected to be paid / recovered from the tax authority using the applicable tax rates. Deferred liabilities are recognised
for future tax consequence attributable to timing difference between taxable income and accounting income that are
capable of reversing in one or more subsequent periods and are measured at relevant enacted/ substantively enacted
tax rates and in the case of deferred tax asset on consideration of prudence, are recognised and carried forward to the
extent of reasonable / virtual certainty as case may be. At each balance sheet date, the Company reassesses unrealised
deferred tax assets to the extent they become reasonably certain or virtually certain of realisation, as the case may be.
Minimum Alternate Tax (MAT) credit entitlement is recognised in accordance with the Guidance Note on “Accounting for
credit available in respect of Minimum Alternate Tax under the Income-tax Act, 1961” issued by ICAI (Refer note no. 8
and 12 of Part B of Schedule 19).
15. Intangible Assets
Intangible assets are recognised only if it is probable that the future economic benefits that are attributable to the assets
will flow to the enterprise and the cost of the assets can be measured reliably. The intangible assets are recorded at cost
and are carried at cost less accumulated amortisation and accumulated impairment losses, if any.
16. Impairment of Fixed Assets
At the end of each year, the company determines whether a provision should be made for impairment loss on fixed assets
by considering the indications that an impairment loss may have occurred in accordance with Accounting Standard 28
(AS-28) ‘’Impairment of Assets’’. An impairment loss is charged to the Profit and Loss Account in the year in which, an
asset is identified as impaired, when the carrying value of the asset exceeds its recoverable value. The impairment loss
recognised in prior accounting periods is reversed if there has been a change in the estimate of recoverable amount.
17. Provisions, Contingent Liabilities and Contingent Assets
Provisions involving substantial degree of estimation in measurement are recognised when there is a present obligation
as a result of past events and it is probable that there will be an outflow of resources. Contingent liabilities are not
recognised but are disclosed in the Notes. Contingent Assets are neither recognised nor disclosed in the financial
statements.
18. Issue Expenses
Expenses incurred in connection with the issue of shares, debentures and Foreign Currency Convertible Bonds to be
recognised in Profit & Loss Account .
19. Accounting for Derivatives
The company uses derivative instruments to hedge its exposure to movements in foreign exchange rates, interest rates
and currency risks. The objective of these derivative instruments is to reduce the risk or cost to the company and is not
intended for trading or speculation purposes.
Interest Rate Swaps, Currency Option and Currency Swaps, in the nature of firm commitment and highly probable
forecast transactions, entered into by the Company for hedging the risks of foreign currency exposure (including interest
rate risk) are accounted based on the principles of prudence as enunciated in Accounting Standard 1 (AS-1) “Disclosure
of Accounting Policies”.

SCHEDULES
B) NOTES TO ACCOUNTS
1 Contingent Liabilities in respect of : (` Crore)
Sr. No. Particulars Current Year Previous Year
A Customs duty on shortfall in export obligation in accordance with EXIM Amount Amount
Policy Unascertained Unascertained
(The company is hopeful of meeting the export obligation within the
stipulated period)
B Pending Litigation 0.05 0.05
C Guarantees given by banks on behalf of the Company 24.69 43.96
D Corporate Guarantees given to bank for loans taken by Subsidiary 213.35 212.79
Companies
E Bills discounted 242.94 71.47
F Taxation Matters :
a) During the year, the Company received Income Tax demand mainly 5.91 -
on account of alleged short deposition of TDS amounts for four years
arising from wrong TAN numbers mentioned while uploading the TDS
return and certain payments not considered by the Tax authorities,
although duly paid by the company. The Company has filed an appeal
with the Commissioner of Income Tax (A) and also made application
for rectification u/s 154 providing details of amounts paid to the bank
and is hopeful of a favourable order.
b) Demands of Works Contract Tax not acknowledged as debts and not 0.59 -
provided for. The company has initiated proceedings against such
demand and is hopeful of favourable decision.
G Guarantee provided to New City of Bombay Mfg. Mills Limited (Joint 18.00 -
Venture company) for loan given to Grabal Alok Impex Limited and
another company
2 Capital Commitments
(` Crore)
Particulars Current Year Previous Year
Estimated amount of contracts remaining to be executed on Capital Account and 464.55 238.10
not provided for (Net of advances)
3 Related Party Disclosure
A. Name and transaction / balances with related party.
1. Name of related parties and nature of relationship
As per Accounting Standard 18 (AS-18) “Related Party Disclosures”, Company’s related parties disclosed as below:
I Associate Companies
Grabal Alok (UK) Ltd. (Formerly known as Hamsard 2353 Limited)
Alspun Infrastructure Ltd.
Ashford Infotech Private Limited
Nirvan Builders Private Limited
Next Creation Holdings LLC
II Entities under common control
Alok Denims (India) Private Limited Gogri Properties Private Limited
Alok Finance Private Limited Green Park Enterprises
Alok Knit Exports Limited Jiwrajka Associates Private Limited
Alok Textile Traders Jiwrajka Investment Private Limited
Ashok B. Jiwrajka (HUF) Niraj Realtors & Shares Private Limited
Ashok Realtors Private Limited Nirvan Exports
Buds Clothing Co. Nirvan Holdings Private Limited
D. Surendra & Co. Pramatex Enterprises
Dilip B. Jiwrajka (HUF) Pramita Creation Private Limited
Grabal Alok Impex Limited Surendra B. Jiwrajka (HUF)
Grabal Alok International Limited Trumphant Victory Holdings Limited.

SCHEDULES
III Subsidiaries
Alok Inc. Alok Infrastructure Limited
Alok Industries International Ltd. Alok Apparels Private Limited
Alok Retail (India) Limited (Formerly known as Alok Homes & Alok New City Infratex Private Limited
Apparel Private Limited)
Alok Land Holdings Private Limited Alok Realtors Private Limited
Alok Aurangabad Infratex Private Limited Alok HB Hotels Private Limited
Alok H&A Limited Alok HB Properties Private Limited
Alok International, Inc. Springdale Information and Technologies
Private Limited
Alok European Retail, s.r.o. Kesham Developers & Infotech Private Limited
Mileta, a.s.
IV Joint Venture
Aurangabad Textiles & Apparel Parks Limited
New City Of Bombay Mfg. Mills Limited
}
V Key Management Personnel Ashok B. Jiwrajka
Chandrakumar Bubna
Directors
Dilip B. Jiwrajka
VI Relatives of Key Management Alok A. Jiwrajka

Personnel Suryaprakash Bubna
2. Nature of transaction:
(` Crore)
Transaction Associate Entities Subsidiaries Joint Key Relatives Total
Companies under Venture Management of Key
common Company Personnel Management
control Personnel
a) Share Application Money
Balance as at 1 April - - - - - - -
(-) (65.20) (-) (-) (27.30) (-) (92.50)
Received during the year - - - - - - -
(-) (45.26) (-) (-) (-) (0.84) (46.10)
Shares allotted during the - - - - - - -
Year (-) (110.46) (-) (-) (27.30) (0.84) (138.60)
Balance as at 31 Mar - - - - - - -
(-) (-) (-) (-) (-) (-) (-)
b) Loans and Advances
Balance as at 1 April - - 32.62 - - - 32.62
(-) (-) (31.07) (-) (-) (-) (31.07)
Granted during the year 1.59 252.25 1,481.24 - - - 1,735.08
(-) (-) (8.59) (-) (-) (-) (8.59)
Repaid during the year - 252.22 1,445.84 - - - 1,698.06
(-) (-) (7.04) (-) (-) (-) (7.04)
Balance as at 31 Mar 1.59 0.03 68.02 - - - 69.64
(-) (-) (32.62) (-) (-) (-) (32.62)
c) Investments
Balance as at 1 April - 3.99 117.07 87.00 - - 208.06
(-) (3.99) (369.77) (87.00) (-) (-) (460.76)
Invested during the year - - - 1.75 - - 1.75
(-) (-) (-) (-) (-) (-) (-)
Redeemed during the year - - (79.15) - - - (79.15)
(-) (-) (252.70) (-) (-) (-) (252.70)

SCHEDULES
Transaction Associate Entities Subsidiaries Joint Key Relatives Total

Companies under Venture Management of Key
common Company Personnel Management
control Personnel
Balance as at 31 Mar - 3.99 37.91 88.75 - - 130.65
(-) (3.99) (117.07) (87.00) (-) (-) (208.06)
d) Share Application Money –
Investments
Balance as at 1 April - - 9.00 - - - 9.00
(-) (-) (9.00) (-) (-) (-) (9.00)
Given/(Received back) - - - - - - -
during the period (-) (-) (-) (-) (-) (-) (-)
Shares allotted during the - - - - - - -
Year (-) (-) (-) (-) (-) (-) (-)
Balance as at 31 Mar - - 9.00 - - - 9.00
(-) (-) (9.00) (-) (-) (-) (9.00)
e) Sundry Debtors
Balance as at 31 Mar 26.97 0.45 38.78 0.09 - - 66.29
(2.08) (-) (45.22) (-) (-) (-) (47.30)
f) Sundry Creditors
Balance as at 31 Mar - 18.58 1.04 0.02 - - 19.64
(-) (1.00) (4.73) (-) (-) (-) (5.73)
g) Turnover
Sales of Goods 79.92 67.01 58.02 1.41 - - 206.36
(81.81) (52.88) (71.80) (-) (-) (-) (206.50)
h) Expenditure
Purchase of goods / Job - 2.87 1.07 82.87 - - 86.81
charges (-) (4.29) (0.26) (-) (-) (-) (4.55)
Purchase of Fixed Assets - 0.62 245.48 - 4.54* - 250.64
(* from three Directors jointly) (-) (-) (213.77) (-) (0.86) (-) (214.63)
Rent - - 0.59 - - - 0.59
(-) (-) (-) (-) (-) (-) (-)
LC Charges 2.36 - - - - - 2.36
(-) (-) (-) (-) (-) (-) (-)
Sales Promotion Expenses 2.35 - 0.09 - - - 2.44
(-) (-) (-) (-) (-) (-) (-)
Marketing Service Charges - - 8.84 - - - 8.84
(-) (-) (6.13) (-) (-) (-) (6.13)
Exchange Rate Difference 94.37 - - - - - 94.37
(-) (-) (-) (-) (-) (-) (-)
Remuneration - - - - 12.20 0.20 12.40
(-) (-) (-) (-) (12.20) (0.18) (12.38)
i) Dividend Paid - 0.44 - - 1.54 - 1.98
(-) (0.43) (-) (-) (-) (-) (0.43)
j) Income
Dividend - 0.15 - 2.21 - - 2.36
(-) (0.15) (-) (0.86) (-) (-) (1.01)
Sale of Fixed Assets and - - - - - - -
Stores & Spares (-) (0.02) (-) (-) (-) (-) (0.02)
Rent - 0.03 0.68 - - - 0.71
(-) (-) (0.02) (-) (-) (-) (0.02)
Interest - 2.90 - - - - 2.90
(-) (4.40) (-) (-) (-) (-) (4.40)
k. Guarantee given - - - 18.00 - - 18.00
(-) (-) (-) (-) (-) (-) (-)
Note: 1) Related party relationship is as identified by the company and relied upon by the Auditors.
2) Previous year figures are given in brackets.

SCHEDULES
3. Out of the above items, transaction in excess of 10% of the total Related Party transactions are as under:
(` Crore)
Transaction Current Year Previous Year
Received/Adjusted during the year
Entites under common control
Niraj Realtors & Shares Private Limited - 17.67
Jiwrajka Associates Private Limited - 10.16
Alok Finance Private Limited - 5.64
Grabal Alok Impex Limited - 5.23
- 38.70
b) Loans and advances
Granted during the year
Grabal Alok Impex Limited 244.80 -
Subsidiary-
Alok Infrastructure Limited 1,090.93 -
Alok Industries International Limited 298.50 -
Alok Retail (India) Limited - 7.19
1,389.43 7.19
Repaid during the year
Grabal Alok Impex Limited 244.80 -
Subsidiary-
Alok Infrastructure Limited 1,090.84 -
Alok Industries International Limited 236.45 -
Alok Apparels Private Limited - 8.49
1,327.29 8.49
c) Investment
Invested during the year
Subsidiary-
Alok H&A Ltd - 36.05
Joint Venture-
New City of Bombay Mfg. Mills Limited 1.75 -
Redeemed During the year (Net)-
Subsidiary-
Alok Industries International Limited 79.15 288.75
d) Turnover (including Jobwork charges)
Associates-
Grabal Alok (UK) Ltd. 79.92 81.81
Entities under common control
Subsidiary-
Alok Retail (India) Limited - 8.35
Alok International Inc. 44.68 45.08
Mileta, a.s. - 14.93
44.68 68.36
e) Expenditure
Purchase of Goods:
Subsidiary-
SCHEDULES
Transaction Current Year Previous Year

Alok Apparels Pvt. Limited - 0.22
Joint Venture Company
Purchase of Fixed Assets (Under Construction):
Subsidiary-
Alok Infrastructure Limited 245.48 213.77
Rent
Subsidiary- Kesham Developers Private Limited 0.59 -
LC Charges
Associates- Grabal Alok (UK) Ltd. 2.36 -
Sales Promotion Expenses
Marketing Service Charges
Subsidiary – Alok International Inc. 8.84 6.13
Exchange Rate Difference
Remuneration:
Key Management Personnel-
Ashok B. Jiwrajka 3.05 3.05
Surendra B. Jiwrajka 3.05 3.05
Dilip B. Jiwrajka 3.05 3.05
Chandrakumar Bubna 3.05 3.05
12.20 12.20
f) Dividend Paid
Ashok B. Jiwrajka 0.50 -
Dilip B. Jiwrajka 0.51 -
Surendra B. Jiwrajka 0.53 -
1.54 -
g) Income
Dividend:
Aurangabad Textiles & Apparel Parks Limited 0.41 -
2.21 -
Sale of Fixed Assets and Stores and Spares
Rent received:
Subsidiary-
Alok Retail (India) Limited 0.63 0.01
Alok Infrastructure Limited - 0.01
0.63 0.02
Interest received
h) Guaranteed given
New City Of Bombay Manufacturing Limited 18.00 -
TM
SCHEDULES
b) Details in accordance with clause 32 of the listing agreement with the stock exchanges are as under:
i) Loans and Advances to subsidiary companies / Others
Name of the Company Balance as at Maximum Balance Balance as at 31

31 March 2011 during the year March 2010
(` Crore) (` Crore)
a) Subsidiary Companies
Alok Infrastructure Limited 0.12 519.73 -
Alok Inc. 0.21 0.21 0.20
Alok Industries International Limited 62.28 336.75 0.23
Alok Apparels Private Limited - 24.96 12.54
Alok H & A Limited - 55.42 -
Alok Realtors Private Limited - 3.60 -
Alok Retail (India) Limited - 0.85 20.00
b) Others
Grabal Alok Impex Limited - 59.12 -
ii) Investment by Loanee in the shares of the company
Name of the Company No. of equity shares Face Value (Rupees)
Grabal Alok Impex Limited 17,559,382 175,593,820
c) Joint Venture
In compliance with the Accounting Standard 27 on ‘Financial Reporting of interest in Joint Ventures’ as notified by the
(Companies Accounting Standards) Rules, 2006, the Company has interests in the following jointly controlled entities,
which are incorporated in India.
(` Crore)
Name of the Companies % of Amount of interest based on audited Accounts for
share the year ended 31 March 2011
holding
Assets Liabilities Income Expense Contingent
Liability
New City of Bombay Mfg. Mills Limited 49.00% 36.77 3.59 65.57 61.20 -
(20.40) (0.88) (64.22) (61.98) (-)
Aurangabad Textile and Apparela Park Limited 49.00% 8.41 0.69 26.94 26.47 -*
(7.23) (0.16) (20.90) (19.96) (-)
* Disputed various matters relating to NTC/ATM-Amount unascertainable (Refer note no.17 (i) of schedule 19 of financial
statements of Aurangabad Textile and Apparel Park Limited)
Note : Previous year figures are given in brackets.
4 Managerial Remuneration
(` Crore)
Particulars 31 March 2011 31 March 2010
Salaries 7.20 7.20
Commission 5.00 5.00
Total 12.20 12.20

SCHEDULES
Computation of net profit in accordance with Section 198 read with Section 309(5) of the Companies Act, 1956.
(` Crore)
31 March 2011 31 March 2010
Profit Before Tax as per Profit & Loss A/c 583.19 374.79
Add: 1) Directors Remuneration (including commission) 12.20 12.20
2) Sitting Fees 0.06 0.06
3) Loss on sale of current investments - -
4) Loss on sale / lost of Fixed Assets 1.74 37.91
5) Provision for Doubtful Debts and Advances 15.68 2.93
612.87 427.89
Less: 1) Profit on sale of current investments 1.16 0.66
2) Provision for Doubtful Debts and Advances written back 1.54 2.27
3) Profit on Sale of Fixed Assets - 1.59
Net Profit under Section 349 of the Companies Act, 1956 610.17 423.37
Eligible Salaries, Perquisites and Commission @10% of above 61.02 42.34
Actual Commission (As restricted by Board of Directors) 5.00 5.00
5 Qualified Institutional Placements
During the previous year, the Company has issued & allotted 182,100,248 equity shares of ` 10 each at a premium of `.
13.32 per equity share to Qualified Institutional Buyers in terms of Chapter VIII of Security and Exchange Board of India
(Issue of Capital And Disclosure Requirements) Regulation 2009. The proceeds of the issue are utilised as under:
Sr. No. Particulars ` Crore

1. QIP Issue expenses 27.66
2. Long Term working capital margin 153.30
3. Capital Expenditure 243.70
Total 424.66
6 Employee Stock Option Scheme (ESOS)
During the year, the shareholders of the Company approved the Employee Stock Option Scheme vide postal ballot, in
accordance with the Securities and Exchange Board of India (ESOP & ESPS) Guidelines, 1999. Such scheme provides
for grant of options to the eligible employees and /or directors of the Company and / or its subsidiaries. The Company is
yet to grant any options under the scheme at the balance sheet date.
7 The Company during the year mainly capitalised Weaving Normal & Wider Width (Phase-III), Spinning unit (Phase
IV), PET Chips Plant, and POY Plant at Saily, Dadra and Nagar Haveli and Terry Towel unit at Vapi. I breav Pre-
operative expenses included in Capital work in progress (Schedule 6) represent the direct expenses incurred for projects
undertaken by the company which are yet to be commissioned. Such pre-operative expenses mainly pertain to plants/
building under erection/construction at units located at Vapi and Silvassa to be capitalised on completion of the project
at that location. The details of pre-operative expenses are as under :
(` Crore)
Details of Pre Operative Expenses For the year ended For the year ended
31 March 2011 31 March 2010
Opening balance 39.11 75.50
Add: Expenditure Incurred during the year
Payment to and provisions for employees 0.70 -
Stores and spares consumed - 0.80
Power and fuel 9.25 26.29
Legal & Professional charges 20.38 30.94
Upfront Fees towards borrowings 3.25 4.00
Others 1.70 8.41
Net Total 74.39 145.95
Less : Allocated to Fixed Assets. 61.65 (106.83)
Total 12.74 39.11

SCHEDULES
8 Deferred Taxation
Deferred Tax asset and liability arising on account of timing differences are as under:
(` Crore)
31 March 2011 31 March 2010
I) Deferred Tax Liability (DTL)
i) Depreciation 527.77 422.00
527.77 422.00
II) Deferred Tax Asset (DTA)
i) Other items 12.76 2.80
ii) Share Issue Expenses 7.35 12.22
20.11 15.02
(I-II) Total Deferred Tax Liability (Net) 507.66 406.98
9 Earnings per share (EPS)
(` Crore)
31 March 2011 31 March 2010
a. Nominal value of equity shares per share ( In Rupees) 10 10
b. Basic & Diluted EPS
Net Profit Available for Equity Shareholders 404.36 247.34
Weighted average number of Equity Shares Basic & Dilutive (Nos.) 787,784,357 539,602,404
Basic & Diluted Earnings per share (Rupees) 5.13 4. 58
10 Employee benefit plans:
i) Defined contribution plans:
Amounts recognized as expenses towards contributions to provident fund, superannuation and other similar funds
by the Company are ` 8.08 Crore (Previous Year ` 6.31 crore) for the year ended 31 March 2011.
ii) Defined benefit plans:
a) Gratuity Plan: The Company makes annual contribution to the Employee’s Group Gratuity Assurance Scheme,
administered by the Life Insurance Corporation of India (‘LIC’), a funded defined benefit plan for qualifying
employees. The scheme provides for lump sum payment to vested employees at retirement, death while in
employment or on termination of employment of an amount equivalent to fifteen days salary payable for each
completed year of service or part thereof in excess of six months. Vesting occurs on completion of five years of
service.
b) Compensated absences: Employees’ entitlement to compensated absences in future periods based on
unavailed leave as at balance sheet date, as per the policy of the Company, is expected to be a long term
benefit and is actuarially valued.

SCHEDULES
The following table sets out the status of the gratuity plan for the year ended 31 March 2011 as required under AS 15
(Revised)
(` Crore)
Particulars Gratuity (funded) Gratuity (funded)
as on 31 March as on 31 March
2011 2010
Change in Defined Benefit Obligation
Opening Defined Benefit Obligation 10.52 6.67
Current Service Cost 3.31 2.46
Interest Cost 1.11 0.52
Actuarial (Gain)/loss 0.46 0.30
Past Service cost – Vested Benefit - 0.83
Benefits Paid (0.32) (0.26)
Closing Defined Benefit Obligation 15.08 10.52
Change in Fair Value of assets
Opening in Fair value of assets 2.76 2.24
Expected Return on Plan Assets 0.22 0.18
Actuarial gain 0.08 0.07
Contribution by Employer 1.75 0.53
Closing Fair Value of Plan Assets 4.49 2.76
Net Liability 10.59 7.76
Expense to be recognized in statement of Profit and Loss Account
(` Crore)
Particulars For the year For the year
ended ended
31 March 2011 31 March 2010

Interest on Defined Benefit Obligation 1.11 0.52
Expected Return on Plan Assets (0.22) (0.18)
Net Actuarial Loss 0.38 0.24
Past Service cost – vested benefit recognised during the year - 0.83
Total Included in Employment Expenses 4.58 3.87
Actual Return on Plan Assets 0.30 0.25
Category of Assets as on 31 March 2011
Insurer Managed Fund 4.49 2.76
The assumptions used in accounting for the gratuity are set out below:
Particulars For the year For the year

ended ended
31 March 2011 31 March 2010
Discount rate 8.05% 8.00%
Rate of increase in compensation levels of covered employees 9.00% 8.00%
Expected Rate of return on plan assets* 7.50% 8.00%
* Expected rate of return on plan assets is based on expectation of the average long term rate of return expected to
prevail over the estimated term of the obligation on the type of the investments assumed to be held by LIC, since the
fund is managed by LIC. The estimates of future salary increases, considered in actuarial valuation, takes into account
the inflation , seniority , promotions and other relevant factors.

SCHEDULES
Experience Adjustments
(` Crore)
Particulars Year Ended
31 March 31 March 31 March 31 March 31 March
2011 2010 2009 2008 2007
Defined benefit obligation 15.07 10.52 6.67 - -
Plan Assets 4.48 2.76 2.24 - -
Surplus / (Deficit) (10.59) (7.76) (4.43) - -
Exp. Adj. on plan Liabilities (0.67) 0.16 - - -
Exp. Adj. on plan Assets 0.08 0.07 - - -
Asset Allocations
Since the investments are held in the form of deposit with LIC, these are not volatile and the market value of assets is
the cost value of assets and has been accordingly considered for the above disclosure.
11 Segment Reporting
a) Primary Segment: Geographical Segment
The company, considering its high level of international operations and present internal financial reporting based on
geographical location of customer, has identified geographical segment as primary segment.
The geographic segment consists of:
a) Domestic (Sales to Customers located in India)
b) International (Sales to Customers located outside India)
Revenue directly attributable to segments is reported based on items that are individually identifiable to that
segment. The company believes that it is not practical to allocate segment expenses, segment results, fixed
assets used in the company’s business or liabilities contracted since the resources/services/assets are used
interchangeably within the segments. Accordingly, no disclosure relating to same is made
(` Crore)
Operating Revenue - Sales
Domestic [Net of Excise duty of Rs.112.48 crores (Previous 4,158.23 2,740.80
year Rs.71.64 crores)]
International 2,217.43 1,558.98
6,375.66 4,299.78
Job Charges Collected (Domestic) 12.77 11.39
Profit before Interest & tax (segment results unallocable) 1,237.56 909.87
Less: Interest and finance Charges (Net) 654.37 535.08
Less: Tax 178.83 127.45
Profit after Tax 404.36 247.34
Sundry Debtors
Domestic 1,548.42 799.41
International 191.78 301.82
1,740.20 1,101.23
b) Secondary Segment: Business Segment

The company is operating in a single business i.e. Textile and as such all business activities revolve around this
segment. Hence, there is no separate secondary segment to be reported considering the requirement of AS 17 on
“Segment Reporting”

SCHEDULES
12 Provision for Income Tax of ` 120.57 crore (previous year ` 63.56 crore) has been computed on the basis of Minimum
Alternate Tax (MAT) in accordance with Section 115JB of the Income Tax Act, 1961, in view of deductions available
to the company. Considering the future profitability and taxable positions in the subsequent years, the company has
recognized ‘MAT credit entitlement’ amounting to ` 42.25 crore (Previous year ` 34.26 crore), aggregating to `110.39
crore (previous year ` 68.14 crore), as an asset by crediting the Profit and Loss Account for an equivalent amount and
disclosed under ‘Loans and Advances’ (Schedule 11) in accordance with the Guidance Note on “Accounting for credit
available in respect of Minimum Alternate Tax under the Income Tax Act, 1961” issued by The Institute of Chartered
Accountants of India.
13 Grabal Alok (UK) Ltd, an associate Company, (“Grabal Alok UK”) has entered into a JPY/USD foreign currency derivative
entailing monthly settlement up to October 2012 with a ‘knock-out’ feature at a stipulated JPY/USD mark. Vide a Novation
agreement, the Company has taken over the obligation to meet the liability which may arise from this derivative. Based
on an assessment considering a forecast model, Grabal Alok UK has quantified the probable outgo at GBP 2.151 million
in it’s audited accounts. The Company has accordingly made a provision for an amount of ` 15.47 crore (GBP 2.151 mio)
against it’s obligation.
14 The Company had invested ` 79.15 crore in 1% cumulative redeemable preference shares of Alok Industries International
Ltd (“Alok BVI”), its wholly owned subsidiary in an earlier year, which were redeemed during the year. Alok BVI has
investments in step down subsidiaries, an associate company and others (“investee companies”). As of the year end an
amount of ` 62.28 crore is due to the Company from Alok BVI. Based on an objective assessment of expected cash flow
from investee companies, Alok BVI considers the provision for diminution made in the books as adequate. Accordingly,
the Company has considered such advance as good of recovery.
15 During the previous year, the Company invested in a newly formed company, Triumphant Victory Holding Limited (“TVHL”)
in the British Virgin Islands, as a strategic long term investment. TVHL has availed of a short term loan facility from Axis
Bank-DIFC-Dubai Branch for investment in Alok Industries International Limited by way of Compulsory Convertible
Debentures with put option on the Company at the end of due date. The said put option was backed by a lien on fixed
deposit of Nil (Previous Year ` 444.00 crore) of the Company held by Axis Bank, New Delhi.
16 a) The Company, during the year based on the Announcement of The Institute of Chartered Accountants of India
“Accounting for Derivatives” along with the principles of prudence as enunciated in Accounting Standard 1 (AS-1)
“Disclosure of Accounting Polices” has accounted for derivative forward contracts at fair values.
On that basis, changes in the fair value / (loss) of the derivative instruments as at 31 March 2011 aggregating to
` 72.96 Crore (previous year ` 23.95 Crore) has been accounted for by the Company. The charge on account of
derivative losses has been computed on the basis of MTM values based on the report of counter parties. Net gain
is fair values have been ignored.
b) Derivative contracts entered into by the company and outstanding as on 31 March 2011 for hedging currency and
interest rate related risks
Nominal amounts of derivative contracts entered into by the company and outstanding as on 31 March 2011 amount
to ` 2841.73 Crore (previous year ` 1,267.46 Crore). Category wise break-up is given below.
(` Crore)
Sr. No. Particulars 31 March 2011 31 March 2010
1 Interest Rate Currency/Swaps 1023.95 1077.87
2 Currency Options* 1342.26 189.59
3 Forward Contract 475.52 -
Total 2841.73 1267.46
* Represents monthly currency option receivables maturing over period of 5 years.
c) The year end foreign currency exposure that has not been hedged by derivative instruments or otherwise are as
below :

SCHEDULES
1. Amount receivable in foreign currency on account of the following

(` Crore)
Particulars Current Year Previous ear
Foreign Amount Rupees Amount Rupees
Currency in foreign in foreign
currency currency
Debtors USD 1.37 61.12 5.46 246.36
EUR 0.09 5.51 0.28 17.05
GBP 0.01 0.48 0.02 1.09
Cash & Bank Balance USD - - 0.79 35.81
2. Amount Payable in foreign currency on account of the following

(` Crore)
currency currency
Secured Loans USD 21.49 959.31 5.50 248.25
JPY 182.81 98.76 113.98 72.99
EUR 1.69 106.78 - -
Interest accrued but not due on loans USD 0.01 0.43 0.57 25.89
EUR 0.02 1.44 - -
Unsecured Loan USD - - 2.38 107.21

EUR 1.77 112.22 - -
Sundry creditors USD 5.96 266.23 0.39 17.71

JPY 4.31 2.33 - -
EUR 0.02 0.97 - -
17 During the year Deutsche Bank, Singapore Branch has subscribed to unsecured floating rate compulsory convertible
bonds issued by Alok Industries International Limited (ALOK BVI), a company incorporated in British Virgin Islands (a
wholly owned subsidiary) and Grabal Alok (UK) Ltd (GAUK) a company incorporated in the united kingdom (associate)
of the company, of USD 56.5 million each, with a green shoe option of USD 25 million. These bonds are secured
by subservient charge on current and movable assets of the company which was created by executing a Deed of
Hypothecation on 28 October 2010 in favour of AXIS Trustee Services Limited, Mumbai, India.
18 In line with the notification dated 31 March 2009 issued by the Ministry of Corporate Affairs, amending Accounting
Standard (AS) 11 – ‘Effect of changes in Foreign Exchange Rates’, the Company has chosen to exercise the option
under paragraph 46 inserted in the Standard by the notification.
i) Added to fixed assets/ capital work-in-progress ` 23.48 crore (Previous year ` 75.00 crore) being exchange difference
on long term monetary items relatable to acquisition of fixed assets.
ii) Carried forward ` (0.22) crore (previous year ` 0.17 crore) in the ‘Foreign Currency Monetary Item Translation
Difference Account’ being the amount remaining to be amortised as at 31 March 2011.

19. Additional Information required under Schedule VI, Part II of the Companies Act,1956.
i) Details of Products Manufactured, Turnover, Opening Stock, Closing Stock etc.
Particulars Unit Year Installed Capacity per Opening Stock Production Purchase Turnover Closing Stock
ended annum + Quantity @
Quantity Amount Quantity # Amount Quantity # Amount Quantity Amount
(` Crore) (` Crore) (` Crore) (`Crore)
Woven Fabric Lacs March.11 1754 Looms & 19 Stenters 129.89 95.77 2,733.98 - - 2,650.40 2,718.87 213.48 260.31
Manufactured Mtrs March.10 1518 Looms & 19 Stenters 253.99 191.21 1,922.97 - - 2,047.07 1,788.86 129.89 95.77
Yarn Dyed M.T. March.11 - 17.70 0.32 87.23 40.75 0.21 64.19 1.96
SCHEDULES
March.10 - 41.04 0.36 89.91 113.25 0.42 17.70 0.32

Knitted Fabric M.T. March.11 184 Machines 424.56 9.91 8,801.38 - - 8,613.49 241.56 612.45 19.48
March.10 174 Machines 374.54 7.73 6,852.32 - - 6,802.29 142.26 424.57 9.91
Cotton Yarn – M.T March.11 330528 Spindles & 3792 1,493.57 15.65 15,245.32 13,784.38 120.33 2,954.51 46.51
Manufacture Rotors
March.10 300096 Spindles & 2160 763.39 6.15 10,989.08 - - 10,258.90 71.56 1,493.57 15.65
Rotors
Chips M.T March.11 2 Machines 521.12 3.15 24,688.62 - - 23,203.83 158.90 2,005.91 16.19
March.10 1 Machines 706.11 2.49 41,958.05 42,143.04 238.14 521.12 3.15
Texturised Yarn M.T. March.11 27600 Spindles 3,722.06 32.34 122,171.96 121,637.30 1,146.25 4,256.72 50.35
March.10 27816 Spindles 946.74 6.88 106,958.80 - - 104,183.48 824.52 3,722.06 32.34
Poy M.T. March.11 5808 Spindles 1,738.98 12.92 39,086.83 39,273.10 326.32 1,552.71 15.92
March.10 5328 Spindles 664.18 4.19 28,978.06 - - 27,903.26 201.86 1,738.98 12.92
FDY M.T. March.11 2304 Spindles - - 15,484.72 14,005.50 142.55 1,479.21 16.05
March.10 - - - - - - - -
Handkerchief Pcs March.11 64 Machines 1,183,802 1.53 9,948,690 9,370,892 21.39 1,761,600 2.42
March.10 64 Machines 1,258,423 1.04 6,587,418 - - 6,662,039 10.31 1,183,802 1.53
Garments Pcs March.11 2587 Machines 640,325 3.90 5,101,577 5,210,263 93.18 531,639 6.75
March.10 1647 Machines 401,060 3.30 3,938,429 - - 3,699,164 60.69 640,325 3.90
Made-ups Sets March.11 1026 Machines 183,253 6.34 5,690,108 5,750,763 485.49 122,598 9.94
March.10 948 Machines 120,496 6.92 5,010,290 - - 4,947,533 417.03 183,253 6.34
Pcs. March.11 - 217,754 3.58 3,979,671 4,028,421 292.77 169,004 8.55
March.10 - 177,963 4.20 3,776,641 - - 3,736,850 230.54 217,754 3.58
Pairs March.11 - 161,396 8.81 2,129,586 2,244,248 111.24 46,734 2.07
March.10 - 226,474 1.72 2,126,975 - - 2,192,053 30.65 161,396 8.81
Terry Towel M.T. March.11 48 Looms & 1 Stenters 204.37 11.11 152.61 - - 353.03 13.45 3.95 0.10
March.10 48 Looms & 1 Stenters 0.45 0.01 1,907.53 - - 1,703.61 29.02 204.37 11.11
Lacs March.11 - 0.14 0.08 2.10 - - 2.24 3.46 0.00 0.00
Mtrs March.10 - - - 0.16 - - 0.02 0.02 0.14 0.08
Pcs March.11 - - - 14,384,375 - - 13,561,694 93.70 822,681 8.83

March.10 - - - - - - - - - -
PSF M.T. March.11 - - - 2,242.72 - - 2,097.93 12.94 144.78 0.82
March.10 - - - - - - - - - -
Lacs March.11 - - - 0.90 - - 0.66 0.30 0.24 0.08
Mtrs March.10 - - - - - - - - - -
Raw Cotton – M.T. March.11 - 12,945,.04 94.24 - 19,759.02 274.02 31,150.77 429.78 1,553.29 13.59
Traded March.10 - 689.79 3.92 - 47,091.16 327.72 34,835.91 251.45 12,945.04 94.24
Cotton Yarn – M.T. March.11 - - - - 51.00 2.69 51.00 2.85 - -
Traded - March.10 - - - - 88.00 3.43 88.00 4.09 - -
Accessories – – March.11 - - - - - 54.33 - 59.49 - -
Traded - March.10 - - - - - 67.31 - 70.00 - -
PTA – Traded M.T. March.11 - - - - 2,002.00 11.58 2,002.00 13.11 - -
- March.10 - - - - - - - - - -
Total March.11 299.66 - - 342.62 - 6,488.14 - 479.92
March.10 - - 240.12 - - 398.46 - 4,371.42 - 299.66
* Includes 755 Nos. (Previous year 710 Nos) Double width Looms
# After Adjusting inter division consumption, excesses, shortages,
@ Production includes items produced on job work basis by outside parties.
+ As certified by the management
149
SCHEDULES
Production excludes Unit 31 March 2011 31 March 2010

1. Job work for Outsiders
a) Woven Fabric Lacs Mtrs. 30.88 56.39
b) Knitted Fabric M.T. 246.48 199.02
c) Woven Fabric for Processing Lacs Mtrs. 123.38 114.19
d) knitted Fabric for Processing M.T. 113.13 203.89
e) Cotton Yarn M.T. 484.74 -
2. Production consumed internally

a) Woven Fabric for Made-ups Lacs Mtrs. 569.23 478.96
b) Knitted Fabric for Garments M.T. 746.00 661.80
c) Woven Fabric for Garments Lacs Mtrs. 11.05 10.43
d) Yarn for Knitted Fabrics M.T. 1,163.16 1,184.82
e) Yarn for Woven Fabrics M.T. 37,982.96 29,056.61
f) Woven Fabrics for Processing Lacs Mtrs. 1,888.56 1,045.56
g) Knitted Fabrics for Processing M.T. 8,657.73 6,448.35
(` Crore)
PARTICULARS 31 March 2011 31 March 2010
Units Quantity Value Quantity Value
(ii) Raw Material Consumed
1) Manufacture of woven fabrics
– Yarn Kgs 11,353,514 238.11 9,051,938 167.06
– Fabric Mtrs 132,765,031 981.99 50,326,185 424.22
2) Manufacture of knitted fabrics
– Yarn Kgs 2,263,200 49.50 1,206,826 23.03
– Fabric Kgs 520,228 10.41 314,889 4.44
3) Manufacture of Yarn
– Poy Kgs 3,764,277 22.63 9,101,648 53.35
4) Processing
– Dyes & Chemicals 184.06 151.23
5) Manufacture of Garments
– Woven Fabrics Mtrs 490,888 3.63 4,962 0.04
– Knitted Fabrics Kgs 540,344 16.11 23,626 0.88
6) Manufacture of Poy
– Polyester Chips Kgs 2,741,043 24.52 1,419,157 12.57
7) Manufacture of Cotton Yarn
– Raw Cotton Kgs 53,230,177 456.55 40,460,595 276.87
8) Manufacture of Chips
– Chemicals Kgs 232,779,764 1,168.73 202,296,447 790.09
9) Manufacture of Terry Towel
– Yarn Kgs 754,981 14.75 2,962,266 36.57
– Fabric Mtrs 1,386,134 49.00 - -
10) Manufacture of Handkerchief
– Woven Fabrics Mtrs 542,260 4.06 - -
3,224.04 1,940.35

SCHEDULES
20 (i) CIF Value of Imports

(` in Crore )
2010-11 2009-10
– Capital Goods purchased 399.33 317.56
– Stores & Spares purchased 47.31 77.25
– Raw Material purchased 939.55 505.43
– Packing Materials purchased 7.15 -
1,393.34 900.24
(ii) Expenditure in Foreign Currency
(` Crore)
Nature of Expenses 2010-11 2009-10
Commission on sales 9.96 6.53
Payment to and Provisions for Employees 0.28 0.83
Insurance - 7.28
Interest on Fixed Loan 33.26 35.35
Reimbursement of Expenses 11.19 6.13
Sales Promotion Expenses 7.90 12.15
Claim for damaged goods 2.96 3.10
Travelling expenses 0.11 0.39
Bank Charges 4.68 3.07
Power and Fuel 0.01 -
Processing Charges 0.02 -
Rent 0.06 -
Repairs and Maintenance – Plant & Machinery 1.99 0.92
Repairs and Maintenance – Others 0.07 -
Exchange Rate Difference 94.37 -
Total 173.33 89.62
(iii) Value of raw materials, stores and spares consumed during the year.
(` Crore)
2010-11 2009-10
Imported Indigenous Imported Indigenous
Value % of Total Value % of Total Value % of Total Value % of Total
Consumption Consumption Consumption Consumption
Raw Materials 671.95 20.84% 2,552.09 79.16% 439.01 22.63 % 1501.34 77.37 %
Stores and Spares 32.56 64.30% 18.07 35.70% 67.53 99.97 % 0.02 0.03 %
Packing Materials 7.15 8.86% 73.55 91.14% 5.13 7.84% 60.29 92.16%
(iv) Earning in Foreign Currency
(` Crore)
2010-11 2009-10
– FOB Value of Exports 2032.34 1437.06
– Interest received on Fixed Deposits 0.06 7.45

SCHEDULES
(v) Dividend Remitted in Foreign Exchange

(` Crore)
Year of Dividend 2010-11 2009-10
Equity share
No. of shareholders - -
No. of shares held by them - -
Dividend remitted during the year (` Crore) - -
Year to which dividend relates - -
21 The amounts in balance Sheet, Profit and Loss account and cash flow statement are rounded off to the nearest lakh and
denominated in crore of rupees. The figures of the previous year have been reclassified / regrouped wherever necessary
to correspond with those of the current year.

Company Secretary

BALANCE SHEET ABSTRACT AND COMPANY'S GENERAL BUSINESS PROFILE
I Registration Details
Registration No. L17110 DN1986 PLC 00334
State Code 11
Balance Sheet Date 31 3 2011
Day Month period
(Amount in
` Thousands)
II Capital raised during the period
Public issue NIL
Right issue NIL
Bonus issue NIL
QIP issue NIL
III Position of mobilisation and deployment of funds

Total Liabilities 142,502,883
Total Assets 142,502,883
Sources of Funds
Paid up Capital 7,877,913
Reserves & Surplus 23,097,994
Share Application Money –
Share Warrants –
Secured Loan 92,263,977
Unsecured Loan 4,271,708
Deferred Tax Liability 5,076,627
Application of Funds
Net Fixed Assets 84,884,081
Net Current Assets 46,034,495
Investments 1,671,840
Foreign Currency Translation Monetory Account (2,197)
IV Performance of the Company

Turnover 63,884,325
Total Expenditure 58,052,430
Profit before Tax 5,831,896
Profit after Tax 4,043,554
Earning Per Share
– Basic 5.13
– Diluted 5.13
Dividend Rate 2.50%
V Generic names of Principal Products/Services of the Company

(as per monetary terms)
Item Code No.(ITC Code) 5208
Product description Woven Fabrics of cotton, containing 85% or more by weight of cotton
weighing not more than 200 g/m2
Product description Man made filament yarn (other than sewing thread) put up for retail sale.
Product description Pile fabric, including 'long pile' fabrics and terry fabrics, knitted or crocheted.
Product description Other knitted or crocheted fabric.

154
STATEMENT PURSUANT TO EXEMPTION RECEIVED UNDER SECTION 212(3) AND 212(5) OF THE COMPANIES ACT,1956
RELATING TO SUBSIDIARY COMPANIES
SR NAME OF THE SUBSIDIARY COMPANY Financial Holding Company's interest as at close of financial Net aggregate amount of Net aggregate Holding Company’s
NO Year to year of subsidiary company subsidiary company's profits amount of subsidiary interest as at
which after deducting its losses company's profits after March 31, 2010
accounts or vice versa, so far as it deducting its losses incorporating
relate concerns members of the or vice-versa, dealt changes since
Holding Company which within the Company's close of financial
are not dealt within the account year of subsidiary
Company's account company
i) Shareholding ii) Extent For the current For the For the For the
of financial year previous current previous
holding (` crore) financial financial financial
%age year year. year
(` crore) (` crore) (` crore)
Overseas
1 Alok Inc 2010-11 50 Equity Shares of USD 200 each 100 0.00 (loss) 0.04 (loss) Nil Nil N.A.
2 Alok Industries International Limited 2010-11 50000 Equity shares of USD 1 each 100 70.34 (loss) 58.88 (loss) Nil Nil N.A.
3 Alok International Inc 2010-11 1000 Equity Shares of USD 1 each 100 0.88 (loss) 0.51 (profit) Nil Nil N.A.
4 Alok European Retail, s.r.o. 2010-11 200 Equity Share of 1000 CZK Each 100 0.07 (loss) 0.01 (profit) Nil Nil N.A.
5 Mileta a.s 2010-11 1180152 Equity Share of CZK 196 Each 93.21 4.54 (profit) 9.42 (loss) Nil Nil N.A.
Domestic
1 Alok Infrastructure Limited 2010-11 50000 Equity Shares of ` 10 each 100 2.02 (profit) 1.79 (Profit) Nil Nil N.A.
2 Alok Apparels Private Limited 2010-11 1000000 Equity Shares of ` 10 each 100 5.25 (loss) 4.82 (loss) Nil Nil N.A.
3 Alok Retail (India) Limited 2010-11 50000 Equity Shares of ` 10 each 100 13.23 (loss) 8.71 (loss) Nil Nil N.A.
4 Alok Realtors Private Limited 2010-11 1750000 Equity Shares of ` 10 each 100 0.00 (loss) 0.02 (loss) Nil Nil N.A.
Celebrating 25 Years 1986 - 2011

5 Alok Landholdings Private Limited 2010-11 500000 Equity Shares of ` 10 each 100 0.00 (loss) 0.01 (loss) Nil Nil N.A.
6 Alok New City Infratex Pvt Ltd 2010-11 50000 Equity Shares of ` 10 each 100 0.00 (profit) 0.01 (loss) Nil Nil N.A.
7 Alok Aurangabad Infratex Pvt Ltd 2010-11 50000 Equity Shares of ` 10 each 100 0.00 (loss) 0.01 (loss) Nil Nil N.A.
8 Alok HB Hotels Private Limited 2010-11 50000 Equity Shares of ` 10 each 100 0.00 (loss) 0.01 (loss) Nil Nil N.A.
9 Alok HB Properties Private Limited 2010-11 50000 Equity Shares of ` 10 each 100 0.00 (loss) 0.01 (loss) Nil Nil N.A.
10 Kesham Developers & Infotech Pvt.Ltd 2010-11 2580000 Equity Shares of ` 10 each 100 0.68 (profit) 0.48 (Profit) Nil Nil N.A.
11 Springdale Information & Technology Pvt. Ltd. 2010-11 600000 Equity Shares of ` 10 each 100 0.03 (loss) 0.00 (profit) Nil Nil N.A.
12 Alok H&A Limited 2010-11 36050000 Equity Shares of ` 10 each 100 2.17 (loss) 0.58 (profit) Nil Nil N.A.
FINANCIAL INFORMATION RELATING TO SUBSIDIARY COMPANIES FOR THE YEAR ENDED 31ST MARCH 2011
(` Crore)
Name of the subsidiary Capital Reserve Total Total Investment* Turnover Proft Provision Profit Proposed
Assets Liabilities ( other than before for tax after tax Dividend
investment in Tax
subsidiaries )
1 Alok Industries International Limited@ 0.22 (110.63) 565.45 675.86 451.65 – (70.34) – (70.34) –
2 Alok Inc.@ 0.04 0.14 0.40 0.22 – – (0.00) – (0.00) –
3 Alok Infrastructure Limited 0.05 7.28 980.88 973.55 84.23 258.79 3.43 1.42 2.01 –
4 Alok Apparels Private Kunued* 10.00 (13.44) 52.44 55.88 – 10.90 (7.98) (2.73) (5.25) –
5 Alok Retail (India) Limited 0.05 (26.06) 49.89 75.90 – 20.85 (13.32) – (13.32) –
6 Alok Realtors Private Limited* 532.49 (0.33) 1,229.11 696.95 – – (0.00) – (0.00) –
7 Alok Land holdings Private Limited* 25.24 (0.23) 25.01 – – – (0.00) – (0.00) –
8 Alok New City Infratex Private Limited 0.05 (0.01) 0.04 – 0.04 – 0.00 – 0.00 –
9 Alok Aurangabad Infratex Private Limited 0.05 (0.01) 0.04 – 0.04 – (0.00) – (0.00) –
10 Alok HB Hotels Private Limited 0.05 (0.01) 0.04 – 0.04 – (0.00) – (0.00) –
11 Alok HB Properties Private Limited 0.05 (0.01) 0.04 – 0.04 – (0.00) – (0.00) –
12 Mileta, a.s.# 55.14 12.89 172.19 104.16 – 129.33 4.45 (0.10) 4.55 –
13 Alok International Inc.@ 0.00 0.25 31.63 31.38 4.47 46.82 (0.85) – (0.85) –
14 Alok European Retail, s.r.o.# 0.05 (0.64) 0.02 0.61 – – (0.07) – (0.07) –

15 Kesham Developers & Infotech Pvt.Ltd.* 15.58 2.60 18.52 0.34 – – 1.23 0.27 0.96 –
16 Springdale Information & Technology Pvt. 1.05 0.20 1.33 0.08 – – 0.00 0.04 (0.04) –
Ltd.*
17 Alok H&A Limited** 36.05 (0.90) 119.91 84.76 0.01 40.37 (2.11) (0.62) (1.49) –
@ Balance sheet items are transalated at closing exchange rate of INR 44.65/USD and Profit/(Loss) items are transalated at average closing rate of INR 45.58/USD
# Balance sheet items are transalated at closing exchange rate of INR 2.60/CZK and Profit/(Loss) items are transalated at average closing rate of INR 2.42/CZK
* Including share application money.
** Unaudited figures
Note :
The Ministry of Corporate Affairs, Government of India vide its order No. 47/720/2010-CL-III dated 15.02.2011 issued under section 212 (8) of the companies Act, 1956, has
exempted the company from attaching the documents of company’s subsidiaries, required to be attached under section 212 (1) of the companies Act, 1956, for the financial
year ended on 31.03.2011. However annual accounts of the Subsidiary Companies and the related detailed information will be made available to the investors of the company
and subsidiaries of the Company, seeking such information at any point of time. The annual accounts of the subsidiary companies are available for inspection by any investor
at the Registered Office of the company and the concerned Subsidiary of the company.
155
consolidated
reports
consolidated reports
AUDITORS’ REPORT ON THE CONSOLIDATED FINANCIAL STATEMENTS
To,
The Board of Directors
Alok Industries Limited
1. We have audited the attached Consolidated Balance Sheet of Alok Industries Limited (“the Company”) and its
subsidiaries (collectively referred to as “the Group”) as at 31st March 2011, the Consolidated Profit and Loss Account
and the Consolidated Cash Flow Statement for the year ended on that date, both annexed thereto. These financial
statements are the responsibility of the Company’s Management and have been prepared on the basis of the separate
financial statements and other financial information regarding components. Our responsibility is to express an opinion on
these Consolidated Financial Statements based on our audit.
2. We conducted our audit in accordance with the auditing standards generally accepted in India. These Standards
require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are
free of material misstatements. An audit includes examining, on a test basis, evidence supporting the amounts and
the disclosures in the financial statements. An audit also includes assessing the accounting principles used and the
significant estimates made by the Management, as well as evaluating the overall financial statement presentation. We
believe that our audit provides a reasonable basis for our opinion.
3. Financial statements of certain subsidiaries, which reflect total assets of Rs.419.50 crore as at 31st March, 2011, total
revenue of Rs.50.58 crore and net cash inflows amounting to Rs.44.52 crore for the year then ended, as considered in
the Consolidated Financial Statements, have been audited by one of us.
4. We did not audit the financial statements of certain subsidiaries and joint ventures, whose financial statements reflect
total assets of Rs.1,911.41 crore as at 31st March 2011, total revenues of Rs.228.21 crore and net cash outflows
amounting to Rs.134.00 crore for the year ended on that date and financial statements of certain associates in which the
share of loss of the Group is Rs.10.09 crore, as considered in the Consolidated Financial Statements. These financial
statements have been audited by other auditors whose reports have been furnished to us and our opinion in so far as
it relates to the amounts included in respect of these subsidiaries, joint ventures and associates is based solely on the
reports of the other auditors.
5. We have relied on the unaudited financial statements of a subsidiary and a joint venture, whose financial statements
reflect total assets of Rs.105.86 crore as at 31st March 2011, total revenue of Rs. 52.40 crore and net cash outflows
amounting to Rs.59.60 crore for the year ended on that date and financial statements of an associate in which the
share of loss of the Group is Rs.0.80 crore, as considered in the Consolidated Financial Statements. These unaudited
financial statements as approved by the respective Board of Directors of the Companies have been furnished to us by
the Management and our report in so far as it relates to the amounts included in respect of the subsidiary, joint venture
and an associate is based solely on such approved unaudited financial statements.
6. We report that the Consolidated Financial Statements have been prepared by the Company in accordance with the
requirements of Accounting Standard 21 (Consolidated Financial Statements), Accounting Standard 23 (Accounting for
Investment in Associates in Consolidated Financial Statements) and Accounting Standard 27 (Financial Reporting of
Interests in Joint Ventures) as notified under the Companies (Accounting Standards) Rules, 2006.
7. Based on our audit and on consideration of the separate audit reports on individual financial statements of the Company,
subsidiaries, joint ventures, associates and on the other financial information of the components and to the best of our
information and according to the explanations given to us, in our opinion, the Consolidated Financial Statements, read
with para 5 above, give a true and fair view in conformity with the accounting principles generally accepted in India:
a. in the case of the Consolidated Balance Sheet, of the state of affairs of the Group as at 31st March, 2011;
b. in the case of the Consolidated Profit and Loss Account, of the profit of the Group for the year ended on that date
and
c. in the case of the Consolidated Cash Flow Statement, of the cash flows of the Group for the year ended on that date.
Firm Registration No. 117366W Firms Registration No. 120318W

Partner Partner
Membership No.36822 Membership No. 105789
Place : Mumbai
Date : 29 July 2011

CONSOLIDATED BALANCE SHEET AS AT 31 MARCH 2011
(` Crore)
PARTICULARS SCHEDULE AS AT AS AT
NO. 31.03.2011 31.03.2010
I SOURCES OF FUNDS
(1) Shareholders' Funds
(a) Capital 1 787.79 787.79
(b) Share Application Money - 227.57
(c) Reserves and Surplus 2 2,004.27 1,769.62
2,792.06 2,784.98
(2) Minority Interest 4.62 3.62
(3) Loan Funds
(a) Secured Loans 3 10,717.59 8,798.15
(b) Unsecured Loans 4 1,239.72 874.42
11,957.31 9,672.57
(4) Foreign Currency Translation Difference Account 0.22 -
(Refer note no. 19 of part B of Schedule 19)
(5) Deferred Tax Liability 507.84 407.15
TOTAL 15,262.05 12,868.32
II APPLICATION OF FUNDS
(1) Fixed Assets
(a) Gross Block 5 9,395.28 7,632.81
(b) Less : Depreciation / Amortization 1,689.32 1,157.20
(c) Net Block 7,705.96 6,475.61
(d) Capital Work-in-Progress 6 2,263.57 1,691.42
9,969.53 8,167.03
(2) Investments 7 478.96 416.86
(3) Foreign Currency Translation Difference Account - 0.17
(Refer Note 19 of part B of Schedule.19)
(4) Deferred Tax Assets 7.54 4.19
(5) Current Assets, Loans and Advances
(a) Inventories 8 2,167.11 1,567.82
(b) Sundry Debtors 9 1,814.20 1,126.46
(c) Cash and Bank Balances 10 1,202.27 1,410.67
(d) Loans and Advances 11 837.42 910.51
6,021.00 5,015.46
Less: Current Liabilities and Provisions
(a) Current Liabilities 12 1,135.42 729.90
(b) Provisions 13 79.56 57.97
1,214.98 787.87
Net Current Assets 4,806.02 4,227.59
(6) Profit & Loss Account - 52.48
TOTAL 15,262.05 12,868.32
Significant Accounting Policies And Notes To The Accounts 19
Partner Partner K. H. Gopal President (Corporate Affairs)
& Company Secretary

CONSOLIDATED PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31 MARCH
(` Crore)
PARTICULARS SCHEDULE Year Ended Year Ended
NO 31.03.2011 31.03.2010
INCOME
Sales (inclusive of excise duty) 14 6,714.22 4,484.36
Less : Excise duty 112.48 71.64
6,601.74 4,412.72
Job Work Charges Collected 13.16 11.62
(Tax deducted at source ` 0.28 crore [Previous year ` 0.26 crore])
6,614.90 4,424.34
Other Income 15 5.03 64.68
Increase in Stocks of Finished Goods and Process Stock 16 267.67 305.73
6,887.60 4,794.75
EXPENDITURE
Purchase of Traded Goods 468.99 521.86
Manufacturing and Other Expenses 17 4,711.37 3,041.10
Interest (Net) 18 675.03 578.90
PROFIT BEFORE TAX 501.24 285.97
Provision for Tax
- Current tax (123.52) (65.94)
- MAT credit entitlement 42.25 34.26
- Deferred tax (97.34) (96.96)
- Fringe Benefit tax - 0.02
- Excess/(Short) Provision for Income tax of earlier years 0.11 0.46
PROFIT FOR THE YEAR BEFORE MINORITY INTEREST 322.74 157.81
Share of Loss from Associates (10.89) (20.74)
Add/(Less): Minority Interest (0.31) 0.64
PROFIT AFTER TAX 311.54 137.71
Add : Balance brought forward from previous year (52.48) 149.78
AMOUNT AVAILABLE FOR APPROPRIATION 259.06 287.49
APPROPRIATIONS
Add : (short) provision for Dividend of earlier year (0.40) (0.15)
(previous year `. 0.15 crore)
Less : Transfer to General Reserve (25.03) (20.23)
Transfer from/(to) Debenture Redemption Reserve 384.30 (296.63)
Proposed Dividend on Equity Shares (19.69) (19.69)
Corporate Dividend Tax thereon (3.27) (3.27)
BALANCE CARRIED TO BALANCE SHEET 594.97 (52.48)
EARNINGS PER SHARE (In `)
Basic and Diluted 3.95 2.54
(Refer Note no. 10 of Part B of Schedule 19)
SIGNIFICANT ACCOUNTING POLICIES AND NOTES TO THE
19
ACCOUNTS
Surendra B. JiwrajkaJt. Managing Director
Company Secretary

CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2011
(` Crore)
31.03.2011 31.03.2010
A) Cash Flow from Operating Activities
Net Profit Before Tax 501.24 285.97
Adjustments for:
Diminution in the value of investment 16.88 14.99
Loss by Fire - 37.91
Dividend Income (0.36) (0.79)
Interest Paid (net) 675.03 578.90
Loss/(Profit) on sale of fixed assets (net) 0.03 (2.97)
(Profit)/loss on sale of current investments (net) (1.16) (0.66)
Operating Profit before working capital changes 1,722.63 1,280.27
Adjustments for
Increase in Inventories (599.29) (499.14)
Increase in Trade Receivables (687.74) (212.69)
Decrease/(Increase) in Loans and Advances 125.86 (247.28)
Increase in Current Liabilities 479.80 61.24
Cash Generated from operations 1041.26 382.40
Income Taxes Paid (128.45) (55.68)
Net cash Generated from Operating Activities 912.81 326.72
B) Cash flow from Investing Activities

Purchase of Fixed Assets (2,340.79) (2,099.78)
Sale / adjustments of fixed assets 14.05 9.00
Purchase of Investments (214.13) (964.62)
Sale of Investments 127.24 819.38
Fixed Deposits & Margin Money deposits matured/(placed) (318.04) (649.25)
Dividends Received 0.36 0.79
Interest Received 62.04 19.87
Share Application money paid / (received) (0.16) (2.03)
Inter Corporate Deposits (granted) / refunded - net (3.44) 1.62
Net cash used in Investing Activities (2,672.87) (2,865.02)
C) Cash flow from Financing Activities

Proceeds from issue of Equity Share Capital (including premium) (Net) 0.00 736.74
Share Application money (repaid) / received (Net) (227.57) 36.01
Proceeds from Term borrowings 4,144.40 3,948.69
Repayment of Term borrowings (2,751.40) (1,826.15)
Proceeds / (Repayment) from other Term Borrowings 892.14 604.58
Dividend Paid (Including Tax thereon) (23.33) (17.43)
Interest Paid (798.62) (576.31)
Net cash Generated from Financing Activities 1,235.62 2,906.13
D) Effect of changes in Exchange rate difference (2.00) (33.83)

Net Increase in Cash and Cash equivalents (A+B+C+D) (526.44) 334.00
Cash and Cash equivalents
at the beginning of the Year 693.78 359.78
at the end of the Year 167.34 693.78

CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2011
Cash and cash equivalents

1 Purchase of fixed assets are stated inclusive of movements of Capital Work in Progress between the commencement
and end of the period and is considered as part of investing activity.
2 Cash and Cash equivalents includes :

March 31, 2011 March 31, 2010
` in Crore ` in Crore
Cash and Bank Balances 1,202.27 1,410.67
Less: Margin Money Deposit* 136.24 115.69
Less: Fixed Deposits Pledged * 845.45 444.00
Less : Deposit with maturity period of more than 3 months ** 53.24 157.20
Total Cash and Cash equivalents 167.34 693.78
* Margin money & fixed deposit pledged being restricted for its use have been excluded from cash and cash equivalent
** Fixed Deposits with maturity period of more than three months have been excluded from cash and cash equivalent
3 The Cash Flow Statement has been prepared in accordance with the requirements of Accounting Standard ‘AS-3’ Cash
Flow Statements”.
Company Secretary

SCHEDULES FORMING PART OF THE CONSOLIDATED ACCOUNTS
(` Crore)
31.03.2011 31.03.2010
SCHEDULE '1'
CAPITAL
Authorised :
90,00,00,000(previous year 90,00,00,000) Equity shares of `10/- each 900.00 900.00
900.00 900.00
Issued and Subscribed :
Equity Share Capital
78,77,84,357 (Previous Year 78,77,98,278) Equity shares of ` 10/- each 787.78 787.80
fully paid up
Add : Forfeited Share (13,921 shares of ` 10/- each of ` 5 Paid up) 0.01
Less : Calls in Arrears (Nil (Previous Year 22,316) shares of ` 10/- each
of ` 5 Paid up) - (0.01)
787.79 787.79
Total 787.79 787.79
NOTES :
a) During the year ended 31 March 2010, 59,08,23,309 equity shares were issued as under:
i] 40,87,23,061 Equity Shares of `10/- issued at a premium aggregating to ` 40.87 crore on Rights basis in the ratio of
83 Rights Equity Shares for every 40 Equity Shares held.
ii] 18,21,00,248 Equity Shares of `10/- issued at a premium aggregating to ` 242.56 crore in Qualified Institutional
Placements (QIP).
b) Of the above shares :
i] 7,45,396 equity shares were allotted as Bonus shares by way of capitalisation of General Reserve.
ii] 62,550 equity shares being forfeited shares were reissued during 2001.
(` Crore)
31.03.2011 31.03.2010
SCHEDULE '2'
RESERVES AND SURPLUS
Capital Reserve
Add : credited during the year - 10.20
10.23 10.23
Capital Reserve (on Consolidation)
Add : Translation difference on restatement 0.95
Add : (Reduction)/Addition on account of Additional Investment - (1.82)
11.61 10.66
Capital Redemption Reserve
Securities premium account
- 283.43
880.39 880.39
General Reserve
Add: Transferred from Profit and Loss Account 25.03 20.23
275.25 250.22
Debenture Redemption Reserve
Add: Transferred from Profit and Loss Account (384.30) 296.63
220.38 604.68
Foreign Currency Translation Reserve 9.24 11.24
Surplus in Profit and Loss Account 594.97 -
Total 2,004.27 1,769.62

(` Crore)
31.03.2011 31.03.2010
SCHEDULE '3'
SECURED LOANS
a. Debentures (See note 1 below)
11.00% Redeemable Non Convertible Debentures - 300.00
8.00% Redeemable Non convertible Debentures 250.00 100.00
7.30% Redeemable Non convertible Debentures - 500.00
750.00 900.00
b. Term Loans (See note 2 below)
(1) From Financial Institutions
-Rupee Loans 388.91 581.19
-Foreign currency loans 248.65 184.25
637.56 765.44
(2) From banks
-Rupee Loans 6,823.21 5,619.42
7,376.82 6,280.10
8,014.38 7,045.54
c. Compulsorily Convertible Bonds (see note 3 below) 226.47 -
d. From Banks on Cash Credit Accounts, Working capital, 1,718.75 848.11
demand loans etc (see note 4 below)
[Including ` 469.42 crore loan in foreign currency (previous year
` 352.44 crore)]
e. Vehicle loans from Banks (see note 5 below) 7.99 4.50
Total 10,717.59 8,798.15
Notes
1 a) All the debentures in a) and b) above are / were secured by pari passu charge on the immovable property situated
at Mouje Irana, Taluka Kadi, District Mehsana in the state of Gujarat
b) The debentures of ` 500 crore in b) above are secured by subservient charge on fixed and current assets of the
Company (excluding Land and Building).
2. Term loans are secured as under :
a) Term loans from financial institutions and from banks (Including foreign currency loans) to the extent of ` 106.92
crore (previous year ` 139.38 crore) and ` 2,492.99 crore (previous year ` 2,770.24 crore) respectively, are secured
by (i) a pari passu first charge created/to be created on all present and future movable and immovable assets of the
company subject to exclusive charges created/to be created on specific fixed assets in favour of specified lenders.
(ii) a charge created/ to be created on all current assets of the company subject to a prior charge on such current
assets created/to be created in favour of the company's bankers towards working capital requirements and (iii) the
personal guarantees of three promoter directors.
b) Term loan from the bank to the extent of ` 22.64 crore (Previous Year ` 24.28 crore) is secured by (i) a first charge
created/ to be created on the entire present and future movable fixed assets of the company (ii) mortgage of
immovable properties located at falandi-Silvassa (iii) the personal guarantee of Promoter Directors.
c) Term loan from banks and Financial Institution to the extent of ` 655.73 crore (previous year ` 267.46 crore) is
secured by (i) an exclusive charge created on specific assets financed by them and (ii) the personal guarantees of
promoter directors.
d) Term Loan from Bank and Financial Institution of ` 454.11 crore (Previous year ` Nil) and ` 230.00 Crore (Previous
year ` 475.00 ) respectively is secured by (i) First and exclusive charge over the mortgage property to secure loan
amount. (ii) a charge by way of mortgage deed created on commercial offices situated at 1-8th floor, Ashford Centre,
Matulya Mill Comp., Ganpat Rao Kadam marg, Lower Parel, Mumbai.
e) Term loans from the Banks and Financial Institutions to the extent of ` 318.97 crore (previous year ` 404.19
crore) and ` 189.00 crore (previous year ` 38.22 crore) respectively, are secured by (i) subservient charge on all
movable assets of the Company present and future subject to prior charge on specific movable assets in favour
of the company’s term lenders and towards working capital requirements (ii) the personal guarantee of Promoter
Directors.
f) Term loans from the Banks to the extent of ` 9.58 crore (previous year ` 13.20 crore) are secured by (i) subservient
charge on all assets of the Company excluding Land and Building (ii) Pledge of company's investment in a subsidiary
viz. Alok Industries International Limited (iii) the personal guarantee of Promoter Directors.
g) Term loan from the Bank to the extent of ` 3,422.81 crore (previous year ` 2800.72 crore ) , are secured by subservient
charge on all present and future moveable fixed assets, stocks and receivables of the Company subject to prior
charge in favour of the company’s term lenders and working capital bankers.
h) Term loan from Financial Institution of ` 111.63 crore (previous year ` 112.85 crore) is secured by (i) subservient
charge on all the present and future moveable fixed assets of the company except land and building
3. Bonds are secured by subservient charge on current and moveable assets of the company created by executing Deed
of Hypothecation on 20 October 2010 in favour of Axis Trustees Services Limited, Mumbai, India and by way of pledge
of 93.21% of shareholding of Alok Industries International Limited in Mileta,a.s. - a step down subsidiary of the Company
and 90.43% shareholding of Alok Industries International Limited and Grabal Alok International Limited in Grabal Alok
UK, an associate of the Company (Refer note no 17 of part B of Schedule 19).
4 . a) Working Capital limits from banks are secured by (i) hypothecation of Company’s inventories, book debts etc. (ii)
second charge created / to be created on the fixed assets of the Company (iii) immovable properties belonging to
the Company / Guarantors and (iv) the personal guarantees of three promoter and director of Company.
b) Demand loan from Banks of Rs. 845.45 crores (previous year Rs. Nil) is secured by pledge of Fixed Deposit of
Holding company.
5 . Vehicle loans are secured by vehicles under hypothecation with banks against such loans taken.
(` Crore)
31.03.2011 31.03.2010
SCHEDULE '4'
UNSECURED LOANS
(a) Term Loans and Advances
From Banks and Finacial Institutions
-Rupee Loans 814.95 193.00
927.17 315.81
(b) Nil (Previous year 475) 1% Foreign Currency Convertible Bonds - 107.21
(c) Compulsory Convertible Debentures (Refer note 2 below) 312.55 451.40
Total 1,239.72 874.42
NOTES:
1. Term Loan from banks To the extent of ` 44.95 crore (Previous year ` 40.00) are secured by Personal Guarantee of
Promoter Directors.
2. 70,000 (previous year 100,000) compulsory convertible Debentures of USD 1,000 each issued by Alok Industries
International Limited to Triumphant Victory Holdings Ltd (TVHL) to be converted into preference shares.
3. Term Loan from banks Includes commercial paper of ` 720 crore (previous year ` Nil), maximum amount outstanding at
any time during the year ` 915 crore (previous year ` Nil)

SCHEDULE ‘5’
FIXED ASSETS
(` in crore)
SR. DESCRIPTION OF ASSETS GROSS BLOCK DEPRECIATION NET BLOCK
NO. AS AT ADDITIONS DEDUCTIONS/ AS AT AS AT FOR THE DEDUCTIONS / AS AT AS AT AS AT
01.04.2010 ADJUSTMENTS 31.03.2011 01.04.2010 YEAR ADJUSTMENTS 31.03.2011 31.03.2011 31.03.09
TANGIBLE ASSETS :
1 Freehold Land 111.68 27.32 0.15 138.85 - - - - 138.85 111.68
2 Leasehold Land 0.56 - - 0.56 0.13 0.01 - 0.14 0.42 0.43
3 Factory Building 1,669.19 276.73 4.73 1,941.19 141.60 55.23 2.02 194.81 1,746.38 1,527.59
4 Office Premises 26.60 - - 26.60 2.27 0.43 - 2.70 23.90 24.33
5 Plant and Machinery 5,415.92 1,429.41 6.97 6,838.36 950.67 446.49 (2.90) 1,400.06 5,438.30 4,465.25
6 Computer and Peripherals 26.77 3.74 0.06 30.45 14.13 3.71 0.01 17.83 12.62 12.64
7 Office Equipment 9.66 0.92 0.07 10.51 2.33 0.88 0.02 3.19 7.32 7.33
8 Furniture and Fittings 87.51 10.88 - 98.39 15.12 6.46 - 21.58 76.81 72.39
9 Vehicles 8.67 15.92 0.95 23.64 2.73 5.06 0.01 7.78 15.86 5.94
10 Tools and Equipment 49.20 6.66 - 55.86 6.50 3.86 - 10.36 45.50 42.70
Sub - Total 7,405.76 1,771.58 12.93 9,164.41 1,135.48 522.13 (0.84) 1,658.45 7,505.96 6,270.28
INTANGIBLE ASSETS
1 Goodwill on consolidation* 155.53 0.89 - 156.42 - - - - 156.42 155.53
2 Computer Software 16.48 2.93 - 19.41 6.54 3.08 (0.31) 9.93 9.48 9.94
3 Trademarks / Brands 55.04 - - 55.04 15.18 5.76 - 20.94 34.10 39.86
Sub - Total 227.05 3.82 - 230.87 21.72 8.84 (0.31) 30.87 200.00 205.33
Total 7,632.81 1,775.40 12.93 9,395.28 1,157.20 530.97 (1.15) 1,689.32 7,705.96 6,475.61
TOTAL PREVIOUS YEAR 4,754.32 2,888.19 9.70 7,632.81 797.46 371.81# 12.07 1,157.20# 6,475.61

Notes :
1. Plant & Machiney includes loss of Rs. 15.96 crore (previous year gain of Rs. 75 crore) in liability payable in foreign currency consequent upon changes in the exchange rates.
2. Additions to Plant & Machinery includes interest capitalised Rs. 47.35 Crore (previous year Rs. 83.92 Crore)
# Depreciation for the previous year includes Rs. 4.89 crores being depreciation related to pre acquisition period of increase in stake of subsidiary company.
* Includes goodwill on consolidation of Joint venture Entities Rs. 50.11 crore (previous year Rs. 49.22 crore)
165
(` Crore)
31.03.2011 31.03.2010
SCHEDULE '6'
CAPITAL WORK IN PROGRESS
Capital Expenditure On Projects 1,150.51 948.44
Advance For Capital Expenditure 1,113.06 742.98
Total 2,263.57 1,691.42
a) Capital expenditure incurred on Projects includes :
i] ` 12.74 crore (previous year ` 39.11 crore) on account of pre-operative expenses
ii] ` 1,134.05 crore (Previous year ` 910.05 crore) on account of cost of construction material and plant and machinery
under erection. This Amount includes exchange loss ` 7.52 crore (previous year Nil) and interest capitalised of
` 115.30 crore (previous year ` 48.10 crore)
b) Advance for capital expenditure includes advance of Rs. 935 crore (previous year Rs. 625 crore) given towards acquisition
of Tower “B” in the Peninsula Business Park at Lower Parel.
(` Crore)
31.03.2011 31.03.2010
SCHEDULE '7'
INVESTMENTS
A) LONG TERM INVESTMENTS (At cost / carrying amount unless
otherwise stated) - fully paid
In Equity shares
Others - Unquoted
Shirt Company (India) Limited 0.20 0.50
[11,333 (previous year 33,333) Equity Shares of ` 10/- each]
Dombivali Nagri Sahakari Bank Limited. [10,000 Equity Shares of ` 50/- 0.05 0.05
each]
Kalyan Janata Sahakari Bank Limited [10,000 Equity Shares of ` 25/- 0.03 0.03
each]
Saraswat Bank Limited (` 25,000/-) 0.00 -
[2500 Equity Shares (previous year Nil) of ` 10/- each]
Trimphunt Victory Holdings Limited (` 45.14/-) 0.00 0.00
[1 Equity share of USD 1 each]
Grabal Alok International Limited (` 1,121.25/-) 0.00 -
[25 Equity Shares (previous year Nil) of USD 1 each]
Wel-Treat Environ Management Organisation (` 36,500/-) 0.00 -
[3,650 Equity Shares (previous year Nil) of 10 each]
Associate Companies
Next Creations Holdings LLC 4.47 -
Subscription towards 33% Membership Interest
Less: Share in post acquisition accumulated loss (0.80) -
3.67 -
Alspun Infrastructure Limited 0.08 0.08
[25,000 Equity shares of `10 each] (Including goodwill on acquistion of
stake of Associates ` 0.04 crore)
Less: Share in post acquisition accumulated loss (0.06) (0.06)
0.02 0.02

(` Crore)
31.03.2011 31.03.2010
Grabal Alok (UK) Limited 310.81 314.22
237,197,008 (Previous Year 237,197,008) Ordinary Shares of GBP
0.001 each
(Including goodwill on acquistion of stake of Associates ` 232.57 Crore)
218.64 225.46
Nirvan Builders Private Limited[ 16,600,Equity Shares of ` 10 each] 0.02 0.02
(` 25,141) ( Previous year ` 24,338)
0.02 0.02
Ashford Infotech [25,00,000 (Previous year 50,000) Equity Shares 2.50 0.05
of ` 10/- each]
(Including goodwill on acquistion of stake of Associates ` 2.43 Crore)
Add/(Less): Share in post acquisition accumulated (Loss)/Profit (0.06) 0.06
2.44 0.11
225.07 226.19
Others - Quoted
Grabal Alok Impex Limited [19,00,000 Equity Shares of ` 10/- each ] 3.99 3.99
In Preference Shares
In Associates Companies
11,970,552 (Previous Year 11,970,552) Preference shares in Grabal 53.45 54.04
Alok International Limited of USD 1/- each.
Ashford Infotech Pvt. Ltd. 65.49 -
[5,00,000 Preference Shares of ` 10/- each at a premium
of ` 64.99 crores]
118.94 54.04
Other Unquoted
In Associates Company
Convertible Loan notes of Grabal Alok (UK) Limited 79.12 -
B) SHORT TERM INVESTMENTS (At lower of cost or fair value)

In equity shares Quoted
United Bank of India - 0.15
(Nil (Previous Year 22,130) Equity Shares of ` 10/- each)
In Bonds - Unquoted
Laxmi Vilas Bank Tier II Bonds 2.00 2.00
(20 (Previous Year 20) Bonds of ` 10,00,000 each)
In Mutual Funds - Unquoted
AXIS Infrastructure Fund 7.20 6.85
[72,035 (previous year 68,474.99) units of ` 1000/- each]
SBI Short Horizon Fund Ultra Short Term - 2.50
(Nil (Previous year 23,51,259.334) units of ` 10/- each)
SBI Magnum Insta Cash Fund 17.00 -
(78,08,875.4761 (Previous year Nil) units of ` 10/- each)
Peerless Liquid Fund Collection A/C 1.00 -
(9,35,506.202 (Previous year Nil) units of ` 10/- each)
Principal PNB Long Term Equity Fund 3 Year Plan - Series II - 0.56
(Nil (Previous year 12,50,000) units of `10/- each)
LIC Income Plus Fund- Daily Dividend Plan, Reinvestment - 11.06
(3,06,54,802.764 (Previous year Nil.) units of `10 each)
IDFC Money Manager Fund Daily Dividend 0.05 -
(49,652.926 (Previous year Nil) units of ` 10/- each)

(` Crore)
31.03.2011 31.03.2010
Taurus Liquid Fund 0.16 -
(16,57,032 (Previous year Nil) units of ` 10/- each)
25.41 20.97
C) Share Application Money
Associate companies
Alspun Infrastructure Limited 16.16 16.00
Ashford Infotech Private Ltd - 67.94
16.16 83.94
D) Others
PowerCor
Subscription towards 5% Group B Membership interest 33.06 33.43
Less: Provision (24.80) (8.36)
8.26 25.07
Aisle 5 LLC
22 senior units of the equity capital 5.85 5.91
Less: Provision (5.85) (5.91)
- -
Other Investment 0.01 0.51
TOTAL 478.96 416.86

Note:
1) Quoted Investment : Aggregate cost / carrying value 3.99 4.14
: Aggregate market value 6.08 9.64
2) Unquoted Investment : Aggregate cost / carrying value 458.80 328.80
(` Crore)
31.03.2011 31.03.2010
SCHEDULE '8'
INVENTORIES [At Cost or Net Realisable value whichever is lower]
Stores, Spares, Packing Materials and others 66.81 38.69
Stock-in-trade :
Raw Materials 604.47 318.21
(Includes goods in transit ` 138.62 crore (previous year ` 41.66 crore)
2,083.07 1,529.13
Real Estate Project Cost 17.23 -
TOTAL 2,167.11 1,567.82
(` Crore)
31.03.2011 31.03.2010
SCHEDULE '9'
SUNDRY DEBTORS (Unsecured)
Debts Outstanding for a period exceeding six months 124.05 40.96
Other Debts 1,701.38 1,091.85
1,825.43 1,132.81
Less : Provision 11.23 6.35
TOTAL 1,814.20 1,126.46
Considered Good 1,814.20 1,126.46
Considered Doubtful 11.23 6.35
TOTAL 1825.43 1,132.81
NOTE : Sundry Debtors includes ` 64.90 crore (previous year ` 38.43 crore) towards contractual obligations on account of
Export Incentives Receivables.
(` Crore)
31.03.2011 31.03.2010
SCHEDULE '10'
CASH AND BANK BALANCES
Cash on hand 1.37 1.99
Bank Balances :
a) With Scheduled Banks :
- In Cash Credit Accounts 1.36 2.34
- In Current Accounts 77.45 705.88
- In Deposit Accounts [Including interest accrued theron ` 3.56 crore 985.56 541.62
(previous year ` 0.96 crore)]
- In Margin Money Deposits 136.24 116.07
b) With Others
- In Current Account 0.28 8.46
- In Deposit Accounts 0.01 34.31
TOTAL 1,202.27 1,410.67
Deposit Accounts include :

1) Includes ` 41.29 crore (Previous year ` 79.19 crore) kept in bank fixed deposits pending utilisation towards project.
2) Margin Money Deposit Includes ` 69.16 crore (Previous year ` 73.34 Crore) towards LC margin against import of plant
and machinery.
3) Includes ` Nil (Previous year ` 444.00 Crore) pledged with bank against put option ( Refer note No. 16 of part 'B' of
Schedule 19).
4) Includes ` 845.45 crore (previous year ` Nil) pledge with bank towards loan availed by subsidiary companies.

(` Crore)
31.03.2011 31.03.2010
SCHEDULE '11'
LOANS AND ADVANCES
[Unsecured considered good]
Advances recoverable in cash or in kind or for value to be received 687.04 789.81
Loans - Inter Corporate Deposits 13.78 10.34
Deposits 18.43 13.11
Balances with Central Excise Collectorate 0.16 0.17
Mat Credit Entitlement (Refer Note No. 13 of part B of schedule 19) 110.39 68.14
Advance Tax (Net of provision for tax) 35.99 28.88
Interest accrued but not due 0.21 0.06
866.00 910.51
Less : Provision 28.58 -
837.42 910.51
Considered good 837.42 910.51
Considered doubtful 28.58 -
TOTAL 866.00 910.51
Advances includes :
a) ` 171.33 crore (previous year ` 109.30 crore) towards Cenvat credit balances to be utilised in the subsequent years.
b) ` 123.35 crore (previous year ` 110.37 crore) towards interest subsidy receivable under the TUF scheme of Government
of India.
Deposit includes
a) ` 10.53 crore (previous year ` 9.70 crore) being deposits towards office/residential premises taken on rental basis.
(` Crore)
31.03.2011 31.03.2010
SCHEDULE '12'
CURRENT LIABILITIES :
Sundry Creditors
Total Outstanding dues to :
- Micro Enterprises and Small Enterprises * - 0.12
- Creditors other than Micro Enterprises and Small Enterprises 818.80 520.90
[including Acceptances ` 89.92 crore (previous year ` 154.66 crore)] 818.80 521.02
Buyers Credit 167.00 67.89
Mark to Market value of Derivative Instrument (Refer note no. 18 of part 72.96 23.95
B of Schedule 19)
Unclaimed Dividend # 0.84 0.80
Interest Accrued But not due on loans 18.95 80.50
Advance from customers 58.87 35.74
TOTAL 1,135.42 729.90
* As per information available with the Company

Notes
Sundry Creditors includes ` 32.13 crore (previous year ` 14.56 crore) being overdrawn bank balances as per books
consequent to issue of cheques at the year end though the banks have positive balances as on that date.
# This figure does not include any amount due & outstanding to be credited to Investor Education and Protection Fund.
During the year, company has transferred Rs. 0.06 crore (previous year Rs. 0.04 crore) to Investor Education and Protection
Fund.
(` Crore)
31.03.2011 31.03.2010
SCHEDULE '13'
PROVISIONS
Provision for Gratuity and Compensated Absences 21.05 16.33
Proposed Dividend 19.69 19.69
Provision for Tax on Dividend 3.30 3.27
Provision for Taxation (net of advance tax payments) 20.04 17.96
Other Provisions (Refer note no. 14 of part B of Schedule 19) 15.47 0.72
TOTAL 79.56 57.97
(` Crore)
31.03.2011 31.03.2010
SCHEDULE '14'
SALES
Sales - Local 4,371.52 2,896.64
Sales - Export (Refer note no. 12 of part B of Schedule 19) 2,205.46 1,495.26
6,576.98 4,391.90
Export Incentive 137.24 92.46
TOTAL 6,714.22 4,484.36
(` Crore)
31.03.2011 31.03.2010
SCHEDULE '15'
OTHER INCOME
Dividend Income :
On Long Term Investments 0.20 0.79
On Current Investments 0.16 0.00
0.36 0.79
Miscellaneous Income 0.64 0.60
Profit on sale of Current Investments (Net) 1.16 0.66
Profit on sale of Fixed Assets (Net) - 2.97
Exchange Rate difference (Net) - 56.89
Provision for Doubtful Debts and advances written back 1.54 2.27
Interest on others 0.48 0.40
Rent Received 0.42 -
Sundry Credit Balances written back 0.43 0.10
TOTAL 5.03 64.68

(` Crore)
31.03.2011 31.03.2010
SCHEDULE '16'
INCREASE IN STOCKS OF FINISHED GOODS AND PROCESS
STOCK
CLOSING STOCK
1,478.60 1,210.93
LESS : OPENING STOCK

1,210.93 905.20
TOTAL 267.67 305.73
(` Crore)
31.03.2011 31.03.2010
SCHEDULE '17'
MANUFACTURING AND OTHER EXPENSES
Raw Material Consumed 3,261.84 1,867.49
Payment to and Provisions for Employees :
Salaries, Wages and Bonus 230.70 163.77
Contribution to Provident Fund and Other Funds 8.52 6.63
Employees Welfare Expenses 5.00 4.28
244.22 174.68
Operational and Other Expenses
Stores and Spares Consumed 50.93 67.71
Packing Materials Consumed 81.17 65.58
Power and Fuel 392.40 320.68
Processing Charges 49.58 36.25
Labour Charges 60.27 47.63
Excise Duty 4.15 4.75
Donation 0.81 2.15
Share Issue Expenses - 44.93
Rent 22.91 21.30
Repairs and Maintenance
Plant and Machinery 14.67 10.67
Factory Building 0.67 1.34
Others 5.06 3.56
20.40 15.57
Commission on Sales 23.01 19.63
Provision for Doubtful Accounts 35.00 5.05

(` Crore)
31.03.2011 31.03.2010
Bad debts and other advances written off - 0.35
Directors Remuneration 7.20 7.20
Directors Fees and Commission 5.06 5.06
Auditors Remuneration
Audit Fees 1.63 0.87
Certification Fees 0.04 0.03
1.67 0.90
Insurance 13.07 10.03
Loss of assets due to fire - 37.91
Loss on sale of Fixed Assets (Net) 0.03 -
Exchange Rate Difference (Net) 89.60 -
Diminution in the value of investment 16.88 14.99
(Miscellaneous Expenses includes Printing and Stationery, Bank
Charges, Advertisement, Bill Discounting Charges etc.)
TOTAL 4,711.37 3,041.10
(` Crore)
31.03.2011 31.03.2010
SCHEDULE '18'
INTEREST (NET)
Interest Paid :
On Debentures 75.00 87.64
On Fixed Loan 520.99 377.28
[Net of Interest Subsidy ` 133.20 Crore (Previous year ` 139.33 Crore)]
Other Interest 0.70 11.95
On Cash Credit Accounts, etc. 139.64 113.15
[Net of recovery ` 81.47 crore (previous year ` Nil) (Tax Deducted at
Source ` 8.15 crore [previous year ` 2.01 crore ])]
Premium of Redemption of Debentures 0.74 8.76
737.07 598.78
Less : Interest Received on Loans, Deposits etc. 62.04 19.87
(Tax Deducted at Source ` 5.69 crore [Previous Year ` 5.15 Crore ]
Less : Interest on calls in arrear - 0.01
TOTAL 675.03 578.90

Schedule ‘19’
(a) SIGNIFICANT ACCOUNTING POLICIES
1. Basis of Preparation of Financial Statements
The consolidated financial statements of Alok Industries Limited (“the Parent Company”), its subsidiaries, joint ventures
and associates (together the “Group” or “the Company”) are prepared under the historical cost convention and in
accordance with the requirements of the Companies Act, 1956 and genenrally accepted accounting principles in India.
2. Principles of Consolidation
The financial statements of subsidiary companies, joint venture companies and its subsidiaries and associates (together the
“Group” or the Company). The consolidated financial statements drawn up to the same reporting date as of the Company,
except in the case of Grabal Alok (UK) Limited, an associate company, where the financial statements have been drawn up
to 2 April 2011 have been prepared on the following basis.
a) The financial statements of the Parent Company and its subsidiary companies are combined on a line-by-line basis
by adding together the book values of like items of assets, liabilities, income and expenses, after eliminating intra-
group balances and intra-group transactions resulting in unrealized profit or losses as per Accounting Standard
(AS) 21 “Consolidated Financial Statements” as notified by the Company (Accounting Standards) Rules 2006 the
financial statements have been prepared using uniform accounting policies for like transactions and other events in
similar circumstances.
b) The excess of cost to the Company of its investment in subsidiary companies over its share of equity of the subsidiary
companies at the dates, on which the investments in the subsidiary companies are made, is recognised as “Goodwill”
being an asset in the consolidated financial statements. Alternatively, where the share of equity in the subsidiary
companies as on the date of investment is in excess of cost of investment of the Company, it is recognised as
“Capital Reserve” and shown under the head ‘Reserves & Surplus’, in the consolidated financial statements.
c) Minority Interest in the net assets of consolidated subsidiaries consist of the amount of equity attributable to the
minority shareholders at the dates on which investments are made by the Company in the subsidiary companies
and further movements in their share in the equity, subsequent to the dates of investments.
d) The Financial Statements of the Joint Venture entities have been considered on a line by line basis by adding together
the book value of like items of assets, liabilities, income and expenses, after eliminating intra-group balances and
intra-group transactions resulting in unrealized profit or losses, by using “proportionate consolidation” method, the
investment in Joint Venture entities over a holding company’s portion of equity is recognized as a capital reserve/
goodwill, as per Accounting Standard 27 on “Financial Reporting of Interest in Joint Venture” as notified by the
Company (Accounting Standards) Rules 2006.
e) The consolidated financial statements include the share of profit / loss of associate companies in which the investor
has significant influence and which is neither a subsidiary nor a joint venture, which are accounted under the “Equity
Method” as per which the share of profit of the associate Company has been added to the cost of investment, and
its share of pre-acquisition profits/losses is reflected as Capital Reserve/Goodwill in the carrying value of Investment
in accordance with Accounting Standard 23 on Accounting for Investment in Associates in Consolidated Financial
Statement as notified by Company (Accounting Standards) Rules 2006.
3. Use of Estimates
The preparation of financial statements in conformity with the generally accepted accounting principles require estimates
and assumptions to be made that affect the reported amounts of assets and liabilities on the date of the financial
statements and the reported amounts of revenues and expenses during the reporting period. Differences between the
actual results and estimates are recognized in the period in which the results are known / materialize.
4. Revenue Recognition
a) Revenue on sale of products is recognized when the products are dispatched to customers, all significant contractual
obligations have been satisfied and the collection of the resulting receivable is reasonably expected. Sales are
stated net of trade discount, returns and sales tax collected.
b) Revenue from construction contracts is recognised by adopting “Percentage Completion Method”. It is stated on the
basis of physical measurement of work actually completed at the balance sheet date, taking into account contract
price and revision thereto.
c) Revenue in respect of insurance / other claims, interest etc. is recognized only when it is reasonably certain that the
ultimate collection will be made.
5. Fixed Assets
Fixed Assets are stated at cost of acquisition or construction including directly attributable costs. They are stated at
historical cost less accumulated depreciation and impairment loss, if any.
6. Investments
Investments classified as Long Term Investments are stated at cost. Provision is made to recognise a decline, other than
temporary, in the value of investments. Current investments are carried at cost or fair value whichever is lower.
7. Capital Work-in-Progress
Projects under commissioning are carried forward at cost as capital work in progress and represent payments made to
contractors including advances and directly attributable costs.
8. Depreciation / Amortization
a) Depreciation on Fixed Assets is provided on Straight Line Method at the rates and in the manner specified in
Schedule XIV to the Companies Act, 1956. Continuous process plant is classified based on technical assessment
and depreciation is provided accordingly.
b) Cost of leasehold land is amortized over the period of lease.
c) Trademarks/Brands are amortized over the period of ten years from the date of capitalization.
d) Computer Software is amortized over the period of five years from the date of capitalization.
e) Goodwil on consolidation is not amortised, but is tested for impairment at each balance sheet date impairment loss,
if any, is provided for.
f) Depreciation on additions to assets or on sale / disposal of assets is calculated from the beginning of the month of
such addition or up to the month of such sale / scrapped, as the case may be.
g) Assets costing less than ` 5,000/ – are fully depreciated in the year of purchase.
9. Foreign Currency Transactions
a) Foreign currency transactions are recorded at the exchange rates prevailing on the date of the transaction. Exchange
differences arising on foreign currency transactions are recognised in the profit and loss account.
b) Monetary items denominated in foreign currency are restated using the exchange rate prevailing at the balance sheet
date and hitherto, the resultant exchange differences were recognized in profit and loss account. Non Monetary
items denominated in foreign currency are carried at historical cost.
However, Pursuant to the notification of the Companies (Accounting Standards) Amendment Rules 2006 issued on
31 March 2009, which amended Accounting Standard 11 on The Effects of Changes in Foreign Exchange Rates,
exchange differences relating to long term monetary items are dealt with in the following manner:
i. Exchange differences relating to long-term monetary items, arising during the year, in so far as they relate to
the acquisition of a depreciable capital asset are added to / deducted from the cost of the asset and depreciated
over the balance life of the asset.
ii. In other cases such differences are accumulated in a “Foreign Currency Monetary Item Translation Difference
Account” and amortized to the profit and loss account over the balance life of the long-term monetary item,
however that the period of amortization does not extend beyond 31 March, 2011. (Refer Note 19 below of
Schedule 19).
c) In the respect of forward contact entered into the hedge foreign currency exposure in respect of recognized monetary
items, the premium or discount on such contracts is amortised over the life of the contract. The exchange difference
measured by the change in exchange rate between the inception dates of the contract / last reporting date as the
case may be and the balance sheet date is recognised in the profit and loss account. Any gain / loss on cancelation
of such forward contract are recognised as income / expense of the period.
Foreign Operation
The translation of the financial statements of non integral foreign operations is accounted for as under;
a) All Expenses and Revenues are translated at average rate.
b) All monetary and non monetary asstes and liablities are translated at rate prevaling at the balance sheet date.
c) Resulting exchange difference is accumulated in Foreign Currency Translation Reserve account until the disposal of
net investment in the said non integral foreign operation.
10. Inventories
Items of Inventories are valued on the basis given below:
1. Raw Materials, Packing Materials, Stores and Spares and Trading goods: at cost determined on First – In – First –
Out (FIFO) basis or net realisable value, whichever is lower.
2. Work-in-Progress on construction contracts reflects value of material inputs and expenses incurred on contracts.
3. Process stock and Finished Goods: At weighted average cost or net realizable values whichever is lower. Cost
comprises of cost of purchase, cost of conversion and other costs incurred in bringing the inventory to their present
location and condition. Real estate inventory includes cost incurred towards real estate projects.
11. Employee Benefits (Refer Note No. 11 of Part B of Schedule 19)
a) Defined Contribution Plan
Company’s contribution paid / payable for the year to define contribution retirement benefit scheme is charged to
Profit and Loss account.
b) Defined Benefit Plan and other long term benefit plan
Company’s liabilities towards defined benefit scheme are determined using the projected unit credit method.
Actuarial valuation under projected unit credit method are carried out at Balance Sheet date, Actuarial gains/losses
are recognised in Profit and Loss Account in the period of occurance of such gains and losses. Past service cost is
recognised immediately to the extent benefits are vested otherwise it is amortized on straight line basis over running
average periods until the benefits become vested. The retirement benefit obligation is recognised in Balance Sheet
represents present value of the defined benefit obligations as adjusted for unrecognized past service cost and as
reduced by fair value of scheme assets. Any asset resulting from this calculation is limited to past service cost, the
present value is available refunds and reduction in future contribution to the scheme.
c) Short Term Employee Benefits
Short term employee benefits expected to be paid in exchange for the services rendered by the employee are
recognised undiscounted during the period the employee renders the services, these benefits include incentive,
bonus.
12. Accounting of CENVAT credit
Cenvat credit available is accounted by recording material purchases net of excise duty. Cenvat credit availed is
accounted on adjustment against excise duty payable on dispatch of finished goods.
13. Government Grants
Grants, in the nature of interest / capital subsidy under the Technology Upgradation Fund Scheme (TUFS), are accounted
for when it is reasonably certain that ultimate collection will be made. Government grants not specifically related to fixed
assets are recognized in the Profit and Loss Account in the year of accrual / receipt.
14. Borrowing Costs
Borrowing costs that are attributable to the acquisition or construction of qualifying assets are capitalised as part of
the cost of such assets. A qualifying asset is one that necessarily takes a substantial period of time to get ready for its
intended use or sale. All other borrowing costs are charged to revenue.
15. Income taxes
Tax expense comprises of current tax and deferred tax. Current tax and deferred tax are accounted for in accordance
with Accounting Standard (AS) 22 on “Accounting for Taxes on Income”. Current tax is measured at the amount expected
to be paid / recovered from the tax authority using the applicable tax rates. Deferred tax assets and liabilities are
recognised for future tax consequence attributable to timing difference between taxable income and accounting income
that are capable of reversing in one or more subsequent periods and are measured at relevant enacted / substantively
enacted tax rates. At each balance sheet date, the Company reassesses unrealised deferred tax assets to the extent
they become reasonably certain or virtually certain of realisation, as the case may be. FBT is recognised in accordance
with the relevant provision of Income-tax Act, 1961 and the Guidance Note on FBT issued by ICAI. Minimum Alternate
Tax (MAT) credit entitlement is recognised in accordance with the Guidance Note on “Accounting for credit available in
respect of Minimum Alternate Tax under the Income-tax Act, 1961” issued by ICAI.
16. Intangible Assets
Intangible assets are recognised only if it is probable that the future economic benefits that are attributable to the assets
will flow to the enterprise and the cost of the assets can be measured reliably. The intangible assets are recorded at cost
and are carried at cost less accumulated amortisation and accumulated impairment losses, if any.
17. Impairment of Fixed Assets

At the end of each year, the Company determines whether a provision should be made for impairment loss on fixed
assets by considering the indications that an impairment loss may have occurred in accordance with Accounting Standard
(AS) 28 ‘’Impairment of Assets’’. An impairment loss is charged to the Profit and Loss Account in the year in which, an
asset is identified as impaired, when the carrying value of the asset exceeds its recoverable value. The impairment loss
recognised in prior accounting periods is reversed if there has been a change in the estimate of recoverable amount.
18. Provisions, Contingent Liabilities and Contingent Assets
Provisions involving substantial degree of estimation in measurement are recognized when there is a present obligation
as a result of past events and it is probable that there will be an outflow of resources. Contingent liabilities are not
recognized but are disclosed in the Notes. Contingent Assets are neither recognized nor disclosed in the financial
statements.
19. Issue Expenses
During the year the company has change its policy to adjust expenses incurred in connection with the issue of shares,
debentures and Foreign Currency Convertible Bonds against Securities Premium Account and recognised them in Profit
& Loss Account.
20. Accounting for Derivatives
The Company uses derivative instruments to hedge its exposure to movements in foreign exchange rates, interest rates
and currency risks. The objective of these derivative instruments is to reduce the risk or cost to the Company and is not
intended for trading or speculation purposes.
Interest Rate Swaps, Currency Option and Currency Swaps, in the nature of firm commitment and highly probable
forecast transactions, entered into by the Company for hedging the risks of foreign currency exposure (including interest
rate risk) are accounted based on the principles of prudence as enunciated in Accounting Standard 1(AS 1) “Disclosure
of Accounting Policies”.
B) NOTES TO ACCOUNTS
1. The subsidiary / fellow subsidiary companies considered in the consolidated financial statements are:
Sr. Name of the subsidiaries and fellow Country of Ownership Ownership

No. subsidiaries Incorporation Interest Interest
31 March 2011 31 March 2010
A Alok Infrastructure Limited India 100% 100%
B Alok Land Holdings Private Limited India 100% 100%
C Alok Realtors Private Limited India 100% 100%
D Alok Retail (India) Limited India 100% 100%
E Alok Apparels Private Limited India 100% 100%
F Alok New City Infratex Private Limited India 100% 100%
G Alok Aurangabad Infratex Private Limited India 100% 100%
H Alok HB Hotels Private Limited India 100% 100%
I Alok HB Properties Private Limited India 100% 100%
J Alok Industries International Limited British Virgin Island 100% 100%
K Alok Inc. USA 100% 100%
L Alok International Inc. USA 100% 100%
M Mileta, a. s. Czech Republic 93.20 % 93.20 %
N Alok European Retail, s.r.o. Czech Republic 100% 100%
O Alok H&A Limited+ India 100% 100%
P Springdale Information and Technologies India 100% 100%
Private Limited
Q Kesham Developers & Infotech Private Limited India 100% 100%
+ Consolidated based on unaudited. Financial statements as presented by parents company directors.
For financial information of subsidiary companies refer note no. 4 below

2. Joint Venture companies considered in the consolidated financial statements are:
Sr. Name of the associates Country of Ownership Ownership

No. Incorporation Interest Interest
31 March 2011 31 March 2010
A Aurangabad Textile and Apparela Park Limited India 49.00% 49.00%
B New City of Bombay Mfg. Mills Limited India 49.00% 49.00%
The Following amounts are included in the Consolidated Financial Statements in respect of Jointly Controlled Entities
based on “proportionate consolidation” method. As per Accounting Standard 27 on “Financial Reporting of Interest in
Joint Venture”

(` in crore) (` in crore)
ASSTES
Fixed Assets 2.07 2.18
Inventories 0.49 0.16
Sundry Debtors 18.04 19.39
Cash and Bank Balances 4.69 3.96
Loans and Advances 18.68 4.17
LIABILITIES
Current Liabilities 2.46 0.66
Provision 0.43 3.26
Deferred Tax Liability 0.18 0.17
INCOME
Sales 89.71 82.95
Other Income 2.75 2.16
Increase in Stock 0.05 0.08
EXPENSES
Manufacturing and Other Expenses 87.56 1.27
Depreciation 0.11 0.03
Provision for Tax 1.39 0.85
3. The associate companies considered in the consolidated financial statements are:
Sr. Name of the associates Country of Ownership Ownership

No. Incorporation Interest Interest
31 March 2011 31 March 2010
A Grabal Alok (UK) Limited (Formerly known as United Kingdom 41.72% 41.72%
Hamsard 2353 Ltd.)
B Ashford Infotech Private Limited India 50.00% 50.00%
C Alspun Infrastructure Limited India 50.00% 50.00%
D Nirvan Builders Pvt.Ltd. India 33.20% 33.20%
E Next Creations Holdings LLC* USA 33.00% -
*Consolidated based on unaudited financial statements, as approved by the board of director of the company.

4. FINANCIAL INFORMATION RELATING TO SUBSIDIARY COMPANIES FOR THE YEAR ENDED 31 MARCH 2011
(` Crore)
Name of the subsidiary Capital Reserve Total Total Investment* Turnover Proft Provision Profit Proposed
Assets Liabilities ( other than before for tax after tax Dividend
investment in Tax
subsidiaries )
1 Alok Industries International Limited@ 0.22 (110.63) 565.45 675.86 451.65 – (70.34) – (70.34) –
2 Alok Inc.@ 0.04 0.14 0.40 0.22 – – (0.00) – (0.00) –
3 Alok Infrastructure Limited 0.05 7.28 980.88 973.55 84.23 258.79 3.43 1.42 2.01 –
4 Alok Apparels Private Kunued* 10.00 (13.44) 52.44 55.88 – 10.90 (7.98) (2.73) (5.25) –
5 Alok Retail (India) Limited 0.05 (26.06) 49.89 75.90 – 20.85 (13.32) – (13.32) –
6 Alok Realtors Private Limited* 532.49 (0.33) 1,229.11 696.95 – – (0.00) – (0.00) –
7 Alok Land holdings Private Limited* 25.24 (0.23) 25.01 – – – (0.00) – (0.00) –
8 Alok New City Infratex Private Limited 0.05 (0.01) 0.04 – 0.04 – 0.00 – 0.00 –
9 Alok Aurangabad Infratex Private Limited 0.05 (0.01) 0.04 – 0.04 – (0.00) – (0.00) –
10 Alok HB Hotels Private Limited 0.05 (0.01) 0.04 – 0.04 – (0.00) – (0.00) –
11 Alok HB Properties Private Limited 0.05 (0.01) 0.04 – 0.04 – (0.00) – (0.00) –
12 Mileta, a.s.# 55.14 12.89 172.19 104.16 – 129.33 4.45 (0.10) 4.55 –
13 Alok International Inc.@ 0.00 0.25 31.63 31.38 4.47 46.82 (0.85) – (0.85) –
14 Alok European Retail, s.r.o.# 0.05 (0.64) 0.02 0.61 – – (0.07) – (0.07) –

15 Kesham Developers & Infotech Pvt.Ltd.* 15.58 2.60 18.52 0.34 – – 1.23 0.27 0.96 –
16 Springdale Information & Technology Pvt. Ltd.* 1.05 0.20 1.33 0.08 – – 0.00 0.04 (0.04) –
17 Alok H&A Limited** 36.05 (0.90) 119.91 84.76 0.01 40.37 (2.11) (0.62) (1.49) –
@ Balance sheet items are transalated at closing exchange rate of INR 44.65/USD and Profit/(Loss) items are transalated at average closing rate of INR 45.58/USD
# Balance sheet items are transalated at closing exchange rate of INR 2.60/CZK and Profit/(Loss) items are transalated at average closing rate of INR 2.42/CZK
* Including share application money.
** Unaudited figures
179
5 . Contingent Liabilities in respect of:

(` Crore)
Sr. No. Particulars Current Year Previous Year
A Customs duty on shortfall in export obligation in accordance with Amount Amount
EXIM Policy Unascertained Unascertained
(The company is hopeful of meeting the export obligation within the
stipulated period)
B Pending Litigation 0.05 0.05
C Guarantees given by banks on behalf of the Company 28.07 44.33
D Bills discounted 242.94 71.74
E Taxation Matters :
a) During the year, the Company received Income Tax demand 5.91 -
mainly on account of alleged short deposition of TDS amounts
for four years arising from wrong TAN numbers mentioned while
uploading the TDS return and certain payments not considered
by the Tax authorities, although duly paid by the company. The
Company has filed an appeal with the Commissioner of Income
Tax (A) and also made application for rectification u/s 154
providing details of amounts paid to the bank and is hopeful of a
favourable order.
b) Demands of Works Contract Tax not acknowledged as debts 0.59 -
and not provided for. The company has initiated proceedings
against such demand and is hopeful of favourable decision.
F Disputed various matters relating to NTC / ATM Amount Amount
Unascertained Unascertained
G. Guarantee provided to New City of Bombay Mfg. Mills Limited (Joint 9.18 -
Venture company) for loan given to Grabal Alok Impex Limited (51%)
6. Capital Commitments
(` Crore)
a. Estimated amount of contracts remaining to be executed on Capital 694.70 728.58
Account and not provided for (Net of advances)
7. Related Part Disclosure

a. Names of related parties and nature of relationship
As per Accounting Standard (AS) 18 “Related Party Disclosures”, Company’s related parties disclosed as below:
I Associate Companies
Alspun Infrastructure Limited Next Creation Holdings LLC
Ashford Infotech Private Limited Nirvan Builders Private Limited
Grabal Alok (UK) Ltd. (Formerly known as Hamsard 2353 Ltd.)
II Entities under common control

Alok Denims (India) Private Limited. Grabal Alok International Limited
Alok Finance Private Limited Honey Comb Knit Fabrics
Alok Knit Exports Limited Jiwrajka Associates Private Limited
Alok Textile Traders Jiwrajka Investment Private Limited
Ashok B. Jiwrajka (HUF) Niraj Realtors & Shares Private Limited
Ashok Realtors Private Limited. Nirvan Exports
Buds Clothing Co. Nirvan Holdings Private Limited
D. Surendra & Co. Pramatex Enterprises
Dilip B. Jiwrajka (HUF) Pramita Creation Private Limited
Grabal Alok Impex Limited Surendra B. Jiwrajka (HUF)
Green Park Enterprises Trimphant Victory Holdings Limited.
Gogri Properties Private Limited
III Joint Venture

Aurangabad Textiles & Apparel Parks Limited
New City Of Bombay Mfg. Mills Limited
IV Key Management Personnel
}
Ashok B. Jiwrajka
Dilip B. Jiwrajka
Directors
Chandra Kumar Bubna
V Relatives of Key Management Personnel Alok A. Jiwrajka

Prita D. Jiwrajka
Varun S. Jiwrajka
Niraj D. Jiwrajka
Suryaprakash. Bubna
b. Nature of transaction
(` Crore)
Associates Entities under Joint venture Key Relatives
Transaction Common Company Management of Key Total
Control Personnel Management
Personnel
Balance as at 1st April – 227.57 – – – 227.57
(–) (256.76) (–) (27.30) (–) (284.06)
Received During the year – -227.57 – – – -227.57
(–) (81.27) (–) (–) (0.84) (82.11)
Shares Alloted during the year – – – – – –
(–) (110.46) (–) (27.30) (0.84) (138.60)
Balance as at 31st March – – – – – –
(–) (227.57) (–) (–) (–) (227.57)
b) Unsecured Loan
Balance as at 1st April – 451.40 – – – 451.40
(–) (–) (–) (–) (–) (–)
Received During the year – – – – – –
(–) (451.40) (–) (–) (–) (451.40)
Repaid during the year – 133.85 – – – 133.85
(–) (–) (–) (–) (–) (–)
Translation difference during the – - 4.90 – – – - 4.90
year
(–) (–) (–) (–) (–) (–)
Balance as at 31st March – 312.55 – – 312.55
(–) (451.40) (–) (–) (451.40)
c) Loans and Advances
Balance as at 1st April 24.13 5.46 – – – 29.59
(–) (16.73) (–) (–) (–) (16.73)
Granted during year 182.16 339.37 – – – 521.53
(24.13) (5.46) (–) (–) (–) (29.59)
Repaid / Adjusted during the Year 203.77 313.50 – – – 517.27
(–) (16.73) (–) (–) (–) (16.73)


Personnel
Provision made 0.68 – – – – 0.68
(–) (–) (–) (–) (–) (–)
Translation difference during the -0.25 -0.06 – – – -0.31
year
(–) (–) (–) (–) (–) (–)
Balance as at 31st March 1.59 31.27 – – – 32.86
(24.13) (54.46) (–) (–) (–) (29.59)
d) Investments
Balance as at 1st April 314.22 58.17 – – – 372.39
(354.80) (42.04) (–) (–) (–) (396.84)
Invested during the year 151.53 – – – – 151.53
(0.02) (15.97) (–) (–) (–) (15.99)
Translation difference during the -3.27 -0.73 – – – -4.00
year
(40.60) (0.16) – (–) (–) (40.44)
Balance as at 31st March 462.48 57.44 (–) – – 519.92
(314.22) (58.17) (–) (–) (–) (372.39)
e) Share Application Money
Balance as at 1st April 83.94 – – – – 83.94
(81.91) (–) (–) (–) (–) (81.91)
Given/(Received) during the Year 0.16 – – – – 0.16
(Net)
(2.03) (–) (–) (–) (–) (2.03)
Shares Alloted 67.94 – – (-) (-) 67.94
(–) (–) (–) (–) (–) (–)
Balance as at 31st March 16.16 – – – – 16.16
(83.94) (–) (–) (–) (–) (83.94)
f) Sundry Debtors
Balance as at 31st March 27.00 3.77 – – – 30.77
(3.10) (–) (–) (–) (–) (3.10)
g) Sundry Creditors
Balance as at 31st March 79.12 19.03 0.06 – – 98.21
(–) (3.44) (–) (–) (–) (3.44)
h) Turnover
Sales of Goods 80.60 86.29 0.71 – – 167.60
(Including jobwork charges) (81.81) (55.85) (–) (–) (–) (137.66)
i) Expenditure
Purchase of goods / Job charges 0.03 2.87 42.26 – – 45.17
(–) (4.62) (–) (–) (–) (4.62)
Purchase of Fixed Assets – 0.62 0.05 4.54 – 5.21
(–) (–) (–) (0.86) (–) (0.86)
LC Charges 2.36 – – – – 2.36
(–) (–) (–) (–) (–) (–)
Sales Promotion Expenses 2.35 – – – – 2.35
(–) (–) (–) (–) (–) (–)


Personnel
Exchange Rate Difference 94.37 – – – – 94.37
(–) (–) (–) (–) (–) (–)
Rent – – – – 0.19 0.19
(–) (–) (–) (–) (–) (–)
Remuneration – – – 12.20 0.26 12.46
(–) (–) (–) (12.32) (0.36) (12.68)
Upfront Fees – – – – – –
(–) (4.51) (–) (–) (–) (4.51)
Dividend Paid – 0.44 – 1.54 – 1.98
(–) (0.43) (–) (–) (–) (0.43)
Electricity Expenses – – 0.08 – – 0.08
(–) (–) (–) (–) (–) (–)
Design Charges – – 0.24 – – 0.24
(–) (–) (–) (–) (–) (–)
j) Income
Dividend – 0.15 1.13 – – 1.28
(–) (0.15) (–) (–) (–) (0.15)
Rent – 0.03 – – – 0.03
(–) (–) (–) (–) (0.03) (0.03)
Sale of Fixed Assets and Stores & – – – – – –
Spares
(–) (0.02) (–) (–) (–) (0.02)
Interest – 2.65 – – – 2.65
(–) (4.40) (–) (–) (–) (4.40)
k) Contingent Liabilities
Guarantee given – – 9.18 – – 9.18
(–) (–) (–) (–) (–) (–)
Note:
• Related party relationship is as identified by the Company and relied upon by the Auditors.
• Previous year figures are given in brackets.
c. Out of the above items, transactions in excess of 10% of the total Related Party transactions are as under:
(` Crore)
Transactions Current Year Previous Year
Amount Amount
Entities under Common Control
Niraj Realtors & Shares Private Limited – 53.68
Jiwrajka Associates Private Limited – 10.16
Alok Finance Private Limited – 5.64
Grabal Alok Impex Limited – 5.23
– 74.71
Repaid during the year
Alok Finance Pvt. Ltd. 32.54 –

Jiwrajka Associate Pvt. Ltd. 36.39 –

Jiwrajka Investment Pvt. Ltd. 48.65 –
Niraj Realtors & Shares Pvt. Ltd. 68.77 –
Nirvan Holdings Pvt. Ltd. 41.22 –
227.57 –
b) Unsecured Loan
Accepted during the year
Triumphant Victory Holdings Limited – 451.40
Repaid / Adjusted during the year
Triumphant Victory Holdings Limited 138.85 –
c) Loans and advances

Granted during the year
Associates
Grabal Alok ( UK ) Limited 182.17 24.13
Grabal Alok Impex Limited 250.68 –
Grabal Alok International Ltd 66.19 –
316.87 –
Associates
Grabal Alok ( UK ) Limited 204.71 –
–
d) Investment
Invested during the year
Grabal Alok International Ltd – 15.97
Associates
Ashford Infotech Pvt Ltd 67.94 –
Grabal Alok ( UK ) Limited 79.12 –
147.06 –
e) Share Application Money

Given during the year
Associates
Alspun Infrastructure Ltd. 0.16 1.88

Share alloted/repaid during the year

Associates
Ashford Infotech Pvt Ltd 67.94 –
f) Turnover (including jobwork charges)

Associates
Grabal Alok (UK) Ltd. 80.60 84.78
g) Expenditure
Purchase of Goods
Grabal Alok Impex Limited – 4.62
New City of mfg. Mills Ltd. - Fixed Assets 41.67 –
Purchase of fixed Assets
LC Charges
Associates
Grabal Alok (UK) Ltd. 2.35 –
Sales Promotions
Associates
Exchange rate difference
Associates
Remuneration:
Chandrakumar Bubna 3.05 3.05
12.20 12.20
Dividend paid
1.54 1.54
Design Charges
Joint venture
New City of mfg. Mills Ltd. 0.24 –

h) Income
Dividend Income:
Joint Venture
New City of Bombay mfg. Mills Ltd. 0.92 –
Aurangabad Textile & Apprel Parks Ltd. 0.21 –
1.13 –
Interest received
i) Guarantee given on loan given to Grable Alok Impex Limited

Joint Venture
New City of Bombay mfg. Mills Ltd. 9.18 –
d. Details in accordance with clause 32 of the listing agreement with the stock exchanges.
a. Investment by Loanee in the shares of the Company.
Name of the Company No. of equity shares Face Value (Rupees)

Grabal Alok Impex Limited 17,559,382 175,593,820
7. Qualified Institutional Placements
During the previous year, the Company has issued & allotted 182,100,248 equity shares of ` 10 each at a premium of `
13.32 per equity share to Qualified Institutional Buyers in terms of Chapter VIII of Security and Exchange Board of India
(Issue of Capital And Disclosure Requirements) Regulation 2009. The proceeds of the issue are utilised as under:
Sr. No. Particulars ` Crore
1. QIP Issue expenses 27.66
2. Long Term working capital margin 153.30
3. Capital Expenditure 243.70
Total 424.66
8. Employee Stock Option Scheme(ESOS)
During the year, the shareholders of the Company approved the Employee Stock Option Scheme vide postal ballot, in
accordance with the Securities and Exchange Board of India (ESOP & ESPS) Guidelines, 1999. Such scheme provides
for grant of options to the eligible employees and /or directors of the Company and / or its subsidiaries. The Company is
yet to grant any options under the scheme at the balance sheet date.
9. Deferred Taxation
Deferred Tax Assets and Liabilities arising on account of timing differences are as under:
(` Crore)
Sr. No. Particulars 31 March 2011 31 March 2010
I) Deferred Tax Liability (DTL)
i) Depreciation 527.97 422.18
ii) Share Issue expenses (7.35) (12.22)
iii) Other Items (12.78) (2.81)
507.84 407.15
II) Deferred Tax Asset (DTA)
i) Other items 0.02 2.54
ii) Business / Depreciation loss as per I. T. Act, 1961 7.52 1.65
7.54 4.19

10. Earnings per share (EPS)

(` Crore)
31 March 2011 31 March 2010
a. Nominal value of equity shares per share ( In Rupees) 10 10
b. Basic & Diluted EPS
Net Profit Available for Equity Shareholders 327.54 137.25
Weighted average number of Equity Shares Basic & Dilutive (Nos.) 787,784,357 539,602,404
Basic & Diluted Earnings per share (Rupees) 3.95 2.54
11. Employee benefit plans:
i. Defined contribution plans:
Amounts recognized as expenses towards contributions to provident fund, superannuation and other similar funds
by the Company are ` 8.13 Crore (Previous Year ` 12.56 Crore) for the year ended 31 March 2011.
ii. Defined benefit plans:
(a) Gratuity Plan: The Company makes annual contribution to the Employee’s Group Gratuity Assurance Scheme,
administered by the Life Insurance Corporation of India (‘LIC’), a funded defined benefit plan for qualifying
employees. The scheme provides for lump sum payment to vested employees at retirement, death while in
employment or on termination of employment of an amount equivalent to fifteen days salary payable for each
completed year of service or part thereof in excess of six months. Vesting occurs on completion of five years of
service.
(b) Compensated absences: Employees’ entitlement to compensated absences in future periods based on
unavailed leave as at balance sheet date, as per the policy of the Company, is expected to be a long term
benefit and is actuarially valued.
The following table sets out the status of the gratuity plan for the year ended 31 March 2011 as required under
AS 15 (Revised)
(` Crore)
Particulars Gratuity Gratuity
(funded) as on (funded) as on
31 March 2011 31 March 2010
Change in Defined Benefit Obligation
Opening Defined Benefit Obligation 10.77 6.70
Interest Cost 1.15 0.52
Actuarial loss 0.27 0.32
Past Service cost – Vested Benefit – 0.83
Closing Defined Benefit Obligation 15.40 10.77
Change in Fair Value of assets –
Opening Fair value of assets 2.85 2.23
Expected Return on Plan Assets 0.23 0.18
Actuarial Gain 0.08 0.07
Contribution by Employer 1.87 0.63
Closing Fair Value of Plan Assets 4.71 2.85
Net Liability 10.69 7.92

Expense to be recognized in statement of Profit and Loss Account

(` Crore)
Particulars For the year ended For the year ended
31 March 2011 31 March 2010
Interest on Defined Benefit Obligation 1.15 0.52
Expected Return on Plan Assets (0.23) (0.18)
Net Actuarial loss 0.19 0.26
Past Service cost – vested benefit recognised during the year – 0.83
Total Included in Employment Expenses 4.64 4.09
Actual Return on Plan Assets 0.30 0.25
Category of Assets 4.71 2.85
Insurer Managed Fund
The assumptions used in accounting for the gratuity are set out below:
(` Crore)
Particulars For the year ended For the year ended
31 March 2011 31 March 2010
Discount rate 8.05% 8.00%
Rate of increase in compensation levels of covered employees 9.00% 8.00%
Expected Rate of return on plan assets* 7.50% 8.00%
* Expected rate of return on plan assets is based on expectation of the average long term rate of return expected
to prevail over the estimated term of the obligation on the type of the investments assumed to be held by LIC,
since the fund is managed by LIC. The estimates of future salary increases, considered in actuarial valuation,
takes into account the inflation , seniority , promotions and other relevant factors.
Experience Adjustments
(` Crore)
Particulars Year Ended
31 March 2011 31 March 2010 31 March 2009
Defined benefit obligation 15.30 10.68 6.67

Plan Assets 4.70 2.86 2.24
Surplus / (Deficit) (10.60) (7.82) (4.43)
Exp. Adj. on plan Liabilities 0.71 0.16 -
Exp. Adj. on plan Assets 0.08 0.07 -
Asset Allocations
Since the investments are held in the form of deposit with LIC, these are not volatile and the market value of
assets is the cost value of assets and has been accordingly considered for the above disclosure.
12 Segment Reporting
a) Primary Segment: Geographical Segment
The company, considering its high level of international operations and present internal financial reporting based on
geographical location of customer, has identified geographical segment as primary segment.
The geographic segment consists of:
a) Domestic (Sales to Customers located in India)
b) International (Sales to Customers located outside India)
Revenue directly attributable to segments is reported based on items that are individually identifiable to that
segment. The company believes that it is not practical to allocate segment expenses, segment results, fixed
assets used in the company’s business or liabilities contracted since the resources/services/assets are used
interchangeably within the segments. Accordingly, no disclosure relating to same is made
(` Crore)
Operating Revenue - Sales
Domestic [Net of Excise duty of Rs.112.48 crores (Previous 4,259.05 2,824.99
year Rs.71.64 crores)]
International 2,342.69 1,587.73
Job Charges Collected (Domestic) 13.16 11.62

6,614.90 4,424.34
Profit before Interest & Tax 1,176.27 868.87
Less: Interest (Net) 657.03 578.90
Less: Tax 178.50 128.16
Profit after Tax before minority interest and share of profit of Associate 322.74 157.81
(Less)/Add: Minority Interest (0.31) 0.64
Less: Share of loss of Associates 10.89 20.74
Profit After Tax 311.54 137.71
Sundry Debtors
Domestic 1,609.67 798.19
International 204.53 328.27
1,814.20 1,126.46
b) Secondary Segment: Business Segment
The Group during the year was having single segment as reportable segment as per AS 17 “Segment Reporting”.
Hence there is no Secondary segment to be reported.
13. Provision for Income Tax of includes ` 120.57 crore (previous year ` 63.56 crore) has been computed on the basis of
Minimum Alternate Tax (MAT) in accordance with Section 115JB of the Income Tax Act, 1961, in view of deductions
available to the company. Considering the future profitability and taxable positions in the subsequent years, the company
has recognized ‘MAT credit entitlement’ amounting to ` 42.25 crore (Previous year ` 34.26 crore), aggregating to `110.39
crore (previous year ` 68.14 crore), as an asset by crediting the Profit and Loss Account for an equivalent amount and
disclosed under ‘Loans and Advances’ (Schedule 11) in accordance with the Guidance Note on “Accounting for credit
available in respect of Minimum Alternate Tax under the Income Tax Act, 1961” issued by The Institute of Chartered
Accountants of India.
14. Grabal Alok (UK) Ltd, an associate Company, (“Grabal Alok UK”) has entered into a JPY/USD foreign currency derivative
entailing monthly settlement up to October 2012 with a ‘knock-out’ feature at a stipulated JPY/USD mark. Vide a Novation
agreement, the Company has taken over the obligation to meet the liability which may arise from this derivative. Based
on an assessment considering a forecast model, Grabal Alok UK has quantified the probable outgo at GBP 2.151 million
in it’s audited accounts. The Company has accordingly made a provision for an amount of ` 15.47 crore (GBP 2.151
million) against its Obligation.
15. The Group has strategic long term investment in an associate company, Grabal Alok (Uk) Ltd as follows :
a) Investments in ordinary shares with carrying amount of Rs 218.64 crore
b) Convertible loan notes aggregating to Rs 79.12 crore
Grabal Alok (UK) Limited has embarked upon a plan for revamping its retailing operations in the United Kingdom through
an optimized sourcing strategy and opening of additional stores. The Company continued to improve sales volumes
and gross margins, resulting in positive EBITDA during the year against loss in the earlier year(s). On the basis of
objective assessment of expected cash flows made by the management of the Parent company – Alok Industries Ltd,
the carrying value of investments/loan as above is considered good and recoverable and no provision for diminution /
non-recoverability is considered necessary.
16. During the previous year, the Company invested in a newly formed company, Triumphant Victory Holding Limited (“TVHL”)
in the British Virgin Islands, as a strategic long term investment. TVHL has availed of a short term loan facility from Axis
Bank-DIFC-Dubai Branch for investment in Alok Industries International Limited by way of Compulsory Convertible
Debentures with put option on the Company at the end of due date. The said put option was backed by a lien on fixed
deposit of Nil (Previous Year ` 444.00 crore) of the Company held by Axis Bank, New Delhi and pledged of share of Alok
Industries Limited.
17. Alok Industries International Ltd., a wholly owned subsidiary of the Company, (“Alok BVI”) and Grabal Alok UK Limited, an
associate company of the Company (Grabal Alok UK) have during the year, issued unsecured floating rate Compulsorily
Convertible bonds of USD 56.50 million each to Deutsche Bank, AG, Singapore branch at a discount of USD 6.50 million
each. The holders have a green shoe option aggregating USD 50 million. At the end of maturity (July 2014) such bonds
are convertible into Class A preference shares of Alok BVI of USD 1.00 each (USD 56.50 million) and ordinary shares of
Grabal Alok UK of GBP 0.001. (USD 56.50 million).
Grabal Alok International Ltd, an entity under common control with the Company (Grabal Alok BVI), and Alok BVI, have
agreed to purchase such bonds from the holders on scheduled put option dates between the 33rdmonth (July 2013) to
42nd month (April 2014) from the issue date. The payment obligations under the put option are inter alia secured by way
of pledge of 93.21% of shareholding of Alok BVI in Mileta,a.s. - a step down subsidiary of the Company and 90.43%
shareholding of Alok BVI and Grabal Alok BVI in Grabal Alok UK, an associate of the Company. Further, these bonds
are secured by subservient charge on current and movable assets of the company created by executing a Deed of
Hypothecation on 28th October, 2010 in favour of AXIS Trustee Services Limited, Mumbai, India.
18. a) The Company, during the year based on the Announcement of The Institute of Chartered Accountants of India
“Accounting for Derivatives” along with the principles of prudence as enunciated in Accounting Standard 1 (AS-1)
“Disclosure of Accounting Polices” has accounted for derivative forward contracts at fair values.
On that basis, changes in the fair value of the derivative instruments as at 31 March 2011 aggregating to ` 72.96
Crore (previous year ` 23.95 Crore) have been debited to the Profit and Loss Account. The charge on account of
derivative losses has been computed on the basis of MTM values based on the report of counter parties. Net gain
in fair value has been ignored.
b) Derivative contracts entered into by the company and outstanding as on 31 March 2011 of hedging currency and
interest rate related risks
Nominal amounts of derivative contracts entered into by the company and outstanding as on 31 March 2011 amount
to ` 2,841.73 Crore (previous year ` 1,267.46 Crore). Category wise break-up is given below.
Sr. Particulars 31 March 2011 31 March 2010

No.
1 Interest Rate / Currency Swaps 1,023.95 1077.87
2 Currency Options* 1,342.26 189.59
3 Forward Contract 475.52 -
Total 2,841.73 1,267.46
* Represent monthly currency option for receiveables maturing over next year.
c) The year end foreign currency exposure that has not been hedged by derivative instruments or otherwise are as
below:
i) Amount receivable in foreign currency on account of the following
(` Crore)
in Millions currency (Crore) currency (Crore)
Debtors USD 0.79 35.41 5.67 255.94
EUR 0.09 5.51 0.28 17.05
GBP 0.01 0.48 0.03 1.66
CZK 12.25 31.87 11.10 26.45
Cash & Bank Balance USD - - 0.94 42.77
CZK 2.62 7.81 2.94 7.00

ii) Amount payable in foreign currency on account of the following

(` Crore)
in Millions currency (Crore) currency (Crore)
Secured Loans USD 26.56 1185.78 5.50 248.25
JPY 182.81 98.76 113.98 72.99
EUR 1.69 106.78 - -
CZK 3.11 8.07 4.03 10.24
Interest accrued but not due on loans USD 0.06 2.80 0.57 25.89
EUR 0.02 1.44 - -

Unsecured Loan USD 7.00 312.55 12.38 558.61
EUR 1.77 112.22 - -
CZK - - - -
Sundry creditors USD 7.74 345.72 0.83 37.47
JPY 4.31 2.33 - -
19. In line with the notification dated 31 March 2009 issued by the Ministry of Corporate Affairs, amending Accounting
Standard (AS) 11 – ‘Effect of changes in Foreign Exchange Rates’, the Company has chosen to exercise the option
under paragraph 46 inserted in the Standard by the notification.
i) In effect of the above the company hasAdded to fixed assets/ capital work-in-progress ` 23.48 crore (Previous year
` 75.00 crore) being exchange difference on long term monetary items relatable to acquisition of fixed assets.
ii) Carried forward ` (0.22) (previous year ` 0.17 crore) in the ‘Foreign Currency Monetary Item Translation Difference
Account’ being the amount remaining to be amortised as at 31 March 2011.
20. The amounts in balance Sheet, Profit and Loss account are rounded off to the nearest lakhs and denominated in Crore
of rupees.
The figures of the previous year have been reclassified / regrouped wherever necessary to correspond with those of the
current year.
Signatures to Schedules 1 to 19
In terms of report attached For and on behalf of the Board
Company Secretary

TH
IS
PA
G
E
IS
IN
TE
N
TI
O
N
A
LL
Y
LE
FT
B
LA
N
K
PROXY FORM
Registered Office : 17/5/1 & 521/1, Rakholi / Saily, Silvassa - 396230
Union Territory of Dadra and Nagar Haveli
REGD FOLIO
DP. ID
DP ID CLIENT ID
PROXY NO.
NO. OF SHARES
I/We ............................................................................................................ of .......................................................... in the

district of .................................................................................................. being a member/members of Alok Industries Limited,
hereby appoint ............................................. of ......................................................... or failing him ............................................
.... of ...................................... in the district of ........................................................ as my/our proxy to attend and vote for me/
us and on my/our behalf at the Twenty Fifth Annual General Meeting of the Company to be held on Thursday, the 29 day
of September 2011 at 12.00 noon at the Registered Office of the Company at 17/5/1 & 521/1, Rakholi/ Saily,
Silvassa – 396 230, Union Territory of Dadra and Nagar Haveli, and at any adjournment thereof.
AFFIX
Signed on this ____________day of 2011 15 PS.
REVENUE
STAMP
________________________________
Signature(s) of Member(s)
Note : The Proxy in order to be effective should be duly stamped, completed and signed and must be deposited at the
Registerd Office of the Company not less than 48 hours before the time for holdiig the aforesaid meeting. Teh proxy
need not be a member of the Company.
ATTENDANCE SLIP
Registered Office : 17/5/1 & 521/1, Rakholi / Saily, Silvassa - 396230
Union Territory of Dadra and Nagar Haveli
Folio No. /DP. ID : _________________________________________________

Client ID No. : _________________________________________________
Name & Address : _________________________________________________
_________________________________________________
_________________________________________________
I hereby record my presence at the Twenty Fifth Annual General Meeting of the Company being held on Thursday, the
29 day of September, 2011 at 12.00 noon at the Registered Office of the Company at 17/5/1 & 521/1, Rakholi/ Saily,
Silvassa – 396 230, Union Territory of Dadra and Nagar Haveli.
________________________________
Signature(s) of Member(s)
Proxy attending the meeting
Please complete this Attendance Slip and bring the slip to the Meeting.
NOTES
NOTES
Registered Office :
17/5/1, 521/1, Rakholi / Sayli, Silvassa - 396230 Union Territory of Dadra and Nagar Haveli.
Corporate Office :
Peninsula Tower, Peninsula Corporate Park, Ganpatrao Kadam Marg, Lower Parel, Mumbai-400 013
Tel: 91-22-2499 6200/6500 Fax: 91-22-2493 6078
E-mail: [email protected]
Visit us at: www.alokind.com

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CELEBRATING

25 Annual Report 2010-11

Integrated Textile SolutionsTM 1

Late Bhagirathmal J. Jiwrajka

2 Celebrating 25 Years 1986 - 2011

He attaches nothing to the results of his action.

Tasmadasaktah satatam karyam karma samacara

Therefore do your duty without any attachment to the

On this special occasion, the 25th anniversary of our company, we

4 Celebrating 25 Years 1986 - 2011

n Optimise use of all resources

Exports increased by 42.24% to ` 2,217.43 crore

EBIDTA increased by 38.02% to ` 1,756.35 crore

Profit After Tax by 63.48% to ` 404.36 crore

Dividend at ` 0.25 per share

Total Assets at ` 13,259.04 crore

Total Networth at ` 3,097.59 crore

Book Value at ` 39.32

Initial Public Offer of ` 4.50 crore

Collaboration with Grabal, Albert Grabher Gesellshaft mbH &

Annual sales of ` 100 crore

Rights Issue of equity shares aggregating to ` 14.98 crore

Private placement of equity shares of ` 16 crore to Century

■ Turnover exceeds ` 300 crore, including exports of ` 9 crore

Expansion initiated under Technology Upgradation Fund

■ Rights issue of FCDs of ` 51 crore

■ Awarded status of 'Export Trading House

10 Celebrating 25 Years 1986 - 2011

unit at Czech Republic

■ Initiated Phase IV expansion of ` 1,180 crore under TUFs

Rights issue of Equity shares of ` 450 crore

■ Turnover touches ` 4,300 crore, Exports crosses

■ 25 years of corporate journey completed

The largest integrated textile company in India

12 Celebrating 25 Years 1986 - 2011

14 Celebrating 25 Years 1986 - 2011

16 Celebrating 25 Years 1986 - 2011

18 Celebrating 25 Years 1986 - 2011

22 Celebrating 25 Years 1986 - 2011

24 Celebrating 25 Years 1986 - 2011

We have conviction and the resources

26 Celebrating 25 Years 1986 - 2011

28 Celebrating 25 Years 1986 - 2011

Crystal Martin International Ltd. Marks & Spencer

30 Celebrating 25 Years 1986 - 2011

32 Celebrating 25 Years 1986 - 2011

Mr. Dilip B. Jiwrajka (54) is the Managing Director of the Company.

Mr. Surendra B. Jiwrajka (52) is the Joint Managing Director of the

Mr. Chandra Kumar Bubna (58) is the Executive Director of the

34 Celebrating 25 Years 1986 - 2011

Mr. K.R. Modi (69) is an as Independent Director of the company

Mr. Timothy Ingram (64) is an Independent Director of the company

Mr. David Rasquinha (50) is an Independent Nominee Director of

Mr. M.V. Muthu (65) is an Independent Nominee Director of the

Ms. Maya Chakravorty (46) is an Independent Nominee Director of

36 Celebrating 25 Years 1986 - 2011

Seated : Niraj D. Jiwrajka

TEAM H.O.-MIDDLE MANAGEMENT