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MAHINDRA & MAHINDRA LIMITED

COMMITTEES OF THE BOARD BOARD OF DIRECTORS
Keshub Mahindra
Audit Committee Chairman
Deepak S. Parekh Anand G. Mahindra
Chairman Vice-Chairman & Managing Director

Nadir B. Godrej Deepak S. Parekh
M. M. Murugappan A. K. Nanda
R. K. Kulkarni Nadir B. Godrej
M. M. Murugappan
Share Transfer and Shareholders/ Narayanan Vaghul
Investors Grievance Committee A. S. Ganguly
Keshub Mahindra R. K. Kulkarni
Chairman Anupam Puri
Anand G. Mahindra Arun Kanti Dasgupta
Nominee of Life Insurance Corporation of India
Bharat Doshi
Bharat Doshi
A. K. Nanda
Executive Director
R. K. Kulkarni

Remuneration/Compensation Committee Narayan Shankar
Narayanan Vaghul Company Secretary
Chairman
Bankers
Keshub Mahindra Bank of America N.A.
Nadir B. Godrej Bank of Baroda
M. M. Murugappan Bank of India
Canara Bank
Loans & Investment Committee Central Bank of India
Keshub Mahindra HDFC Bank Limited
Chairman Standard Chartered Bank
State Bank of India
Anand G. Mahindra Union Bank of India
Bharat Doshi
Auditors
A. K. Nanda
Deloitte Haskins & Sells
R. K. Kulkarni 12, Dr. Annie Besant Road, Opp. Shiv Sagar Estate,
Worli, Mumbai 400 018.
Research & Development Committee
Advocates
A. S. Ganguly
Chairman Khaitan & Co.,
One Indiabulls Centre,
Anand G. Mahindra 13th Floor, 841, Senapati Bapat Marg,
Nadir B. Godrej Elphinstone Road, Mumbai 400 013.
M. M. Murugappan Registered Office
Bharat Doshi Gateway Building, Apollo Bunder, Mumbai 400 001.

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.....Automotive Division (Automotive Sector) Rajeev Dubey President (HR............................................. 47 Sustainability .......................................................................Mahindra Division (Farm Equipment Sector) Ulhas N..............................International Operations (Automotive & Farm C..........Mahindra Holidays & Resorts India Limited & CEO Hospitality Sector Zhooben Bhiwandiwala Executive Vice President & Managing Partner................ Yargop President (Information Technology Sector) V........................................Mahindra Lifespace Developers Limited & Ramesh Ramanathan CEO Real Estate Sector Managing Director .........................................Finance........................... 133 2 ...................................................GROUP EXECUTIVE BOARD Anand G.......................................... Mahindra Partners Pravin Shah Chief Executive ....................................Mahindra & Mahindra Financial Services Limited Bharat Doshi Executive Director and Group Chief Financial Officer Rajesh Jejurikar Chief Executive ..............Swaraj Division (Farm Equipment Sector) Uday Y........ Product Development and Executive Vice President ......................Mahindra Intertrade Limited Hemant Luthra President (Systems & Technologies Sector) Romesh Kaul Global Chief Executive Officer ............ 27 Corporate Governance ...........................Gears Business........................ Phadke President (Finance........ Mahindra Ramesh Iyer Vice-Chairman & Managing Director Managing Director ......................................................................... 73 Accounts ...................................................... Parthasarathy Executive Vice President ............. M&A and Group CIO Anita Arjundas Managing Director ...... S..............................Mahindra Satyam Rajan Wadhera Ruzbeh Irani Chief Executive ...............Corporate Strategy & Chief Brand Officer Sourcing (Automotive & Farm Equipment Sectors) Contents Directors’ Report ................................................ After-Market & Corporate Services) Sanjay Kalra Chief Executive Officer .................... Gurnani Equipment Sectors) Chief Executive Officer ................................................................. 3 Management Discussion and Analysis . 129 Consolidated Accounts .......................... Systech Sector Anoop Mathur President (Two-Wheeler Sector) Bishwambhar Mishra Chief Executive Officer ................................Tech Mahindra Limited Pawan Goenka President (Automotive & Farm Equipment Sectors) Harsh Kumar Managing Director .. 79 Statement pursuant to Section 212 .............. P..........Technology.............................. Legal & Financial Services Sector) Gautam Nagwekar Chief Executive .....................

MAHINDRA & MAHINDRA LIMITED 3 .

optimisation of Income-tax on Proposed Dividends 74 33 Balance carried forward 4588 3365 plant capacity utilisation and cost competitiveness in almost 5 . 2008 . Interest.154.75 crores as Reserve 31 30 against Rs.7% to Rs. 160 against Rs. rose alarmingly and Less: Depreciation/Amortisation 371 292 food inflation in India has leapfrogged to challenging levels. Your Company continues with its Less: General Reserve 210 100 Credit of Income-tax on Proposed rigorous cost restructuring exercises and efficiency Dividend of previous year . 31 Profits Balance of profit for the year 2088 868 Balance of profit for earlier years 3365 2775 The Profit for the year before Depreciation. an increase Less: Transfer to Debenture Redemption of 131. witnessed a decline this year Net Income 18801 13364 Profit before Depreciation.59 crores as Amalgamation of Mahindra Holdings & Finance Limited .18.1. Finance Limited for the period 1st February. 2010. increase in consumer durables and capital goods production Financial Highlights (Rs. economising. MAHINDRA & MAHINDRA LIMITED Directors’ Report Dear Shareholders Your Directors present their Report together with the Inspite of the global financial crisis.837 crores for the Add: Profit of Mahindra Holdings & previous year. in crores) this fiscal is particularly heartening as it indicates strengthening consumer and business confidence in the 2010 2009 Gross Income 20595 14983 country.Deferred Tax (Net) 10 141 the profit after tax of the Company for the current year Profit for the year 2088 837 was Rs. India’s economic growth audited accounts of your Company for the year ended is steadily gaining momentum.087. Profit after tax was Rs. The sharp 31 March.364 crores in the Financial Less: Provision for Tax . Add: Amount transferred on Exceptional items and Taxation was Rs. Profit before Interest. Interest.2. Less: Excise Duty on Sales 1794 1619 Agricultural GDP however. led by a very encouraging st re-bound in industrial activity during the year.801 crores in Profit before Taxation 2847 1036 the year under review from Rs.45%.13.Current Tax Year 2009. Consequent to this commendable performance. due to the severe drought experienced during the kharif Exceptional items and Taxation 3155 1363 season. (including Fringe Benefit Tax) 749 58 Less: Provision for Tax .2. Exceptional items and Taxation 2784 1071 In these challenging times. Food prices as a consequence.3.362.97 crores in the previous year. (4) improvements which have resulted in significant savings Proposed Dividends 550 279 through value engineering.78 crores in the previous year clocking an Profits available for appropriation 5422 3773 increase of 149.088 crores as against Rs. the Automotive and Farm Less: Interest (Net) 28 45 Divisions of your Company have clocked one of their best Profit before Exceptional items and Taxation 2756 1026 performances reflecting in substantial growth in the net Add: Exceptional items 91 10 income of the Company by 40.836. 2008 to 31st March.50%.

61.360 three-wheelers as compared to 1.75 per Ordinary (Equity) Share and also a Special The Company’s domestic MUV sales volumes grew by Dividend of Rs.75. registering a growth of 42%.3% and 1. 2010.2%. Your Company’s Farm Division recorded sales of 1.10 each paid for the previous year).3% over the previous year’s market share of 57. recording a significant growth of 45. Your Company recorded total sales of 2.5 Ton Truck load segment.8%. well accepted in the market. Rs.278.202 tractors sold in the previous wheelers 0.06 crores comprising the dividend of Rs. with 2-cylinder common rail engine.653 MUVs and 1 Light Commercial Vehicle (“LCV”)].533 three-wheelers.323 vehicles sourced from Mahindra would absorb a sum of Rs.501 Equity Share of Rs.75 crores (including Exports of Rs. which was launched in January.623. 514.8% year.882 (including Exports of Rs.50 per Ordinary (Equity) Share of the face value of The Company strengthened its dominant position in the Rs. despite difficult economic (after reducing the tax on distributed profits of Rs. The equity dividend outgo for the Financial Year 2009-10. payable to those Shareholders whose names domestic MUV segment by increasing its market share to appear in the Register of Members as on the Book Closure 63.20.53.114 vehicles [includes 2.978 Xylos were In recognition of the impressive performance of the sold in the year under review. the previous year).806 three-wheelers in the previous year Rs.17.2% as compared to the previous Your Directors are pleased to recommend a dividend of year’s volume of 44. For the 6 . Date. Company.567 receivable from them during the current Financial Year) vehicles [including 1. Also the wheeler cargo vehicle. 22.75 per Ordinary (Equity) Share aggregating 39.2% in vehicles sales previous year.654 vehicles advantage of the recovery in the economy. The Special Dividend is being recommended in the light of the very successful listing of Mahindra Holidays & Xylo.722 small 4 wheelers 0.10 Ton).3%. The domestic sales volume of 44. Rs.27.128 Multi Utility Vehicles (MUVs). Farm Division: On the domestic sales front.75 crores (as against Navistar Automotives Limited (“MNAL”) and 922 three- Rs.10 per wheelers] in the Overseas market as compared to 8.96 crores and 45. inclusive of tax on distributed profits In the Overseas market.8.53.289. your Company registered superior growth. your base of Rs.0.36.264 mini 4 tractors as against 1.04 conditions.75 proposed dividend as compared to the dividend of Rs.82 crores in Company launched a compact Truck – Gio.4% as against the industry MUV sales growth of 26%.9.21 crores (as against Rs.5 each.27 crores) in the registering a growth of 46. 2009 has been very Resorts India Limited Equity Shares on the Stock Exchanges.196 3.75 Ton cargo and 9. In the 0.all areas thereby enabling the Company to take full over the previous year’s volume of 1. and three-wheeler sales respectively. your Company sold 10. a substantial increase is being made in the In a very competitive small 4-wheeler cargo segment (0. 362.5 Ton cargo] registering a growth of 47. your Company has launched the Maxximo.4 crores) as compared to vehicles and 44. your Company sold 2. vehicles [including 693 vehicles sourced from MNAL and 273 three-wheelers] in the previous year registering a Automotive Division: growth of 24.759 vehicles Spare parts sales for the year stood at Rs. proposed dividend will be paid on a slightly enlarged capital in February.14.438 three- Dividend wheelers was lower by 0.312. crores payable by the subsidiaries on the dividends During the year under review. a small 4 per Equity Share paid in the previous year. A total of 27. [includes 1.

to form a 74:26 Joint Venture for and despite one of the worst South-West monsoons. During the year. th Shareholders by way of Postal Ballot on 4 April. MSSG has tractors exported in the previous year.837 tractors as compared to 6.00. During paramilitary use. the previous year. 2009.933 encompassing people. This has also helped gain market share which manufactures Sea Mines. CRISIL has re-affirmed the highest level rating. rechristened as Defence Land Systems India Private Limited) 2008. provides corporate risk management consultancy services With the slow recovery in international markets.350 engines in some international markets. it would further expand its product base to clocking sales of 4. Management Discussion and Analysis Report while strengthening its presence in the retail segment. especially and assists organisations in maintaining their competitive in the US.359 tractors. which forms part of this Annual Report. 2009 this (Level 1) for Governance and Value Creation for the fourth 7 . the Company has taken into business has been hived-off into a wholly owned subsidiary consideration.5% to reach 8.011 has expanded to Northern and Southern India as well as engines in this Financial Year. tractor industry exports from India continued to edge by protecting Information. MAHINDRA & MAHINDRA LIMITED previous year figures. Your Company retained its leadership position in the genset market catering to the telecom space. the merger of Punjab Tractors Limited with (Mahindra Defence Land Systems Private Limited – now st your Company.8% in the previous for various naval and other applications. In contrast. this business Mahindra Powerol Brand. Your Company outperformed the vehicles in technical assistance with BAE Systems Plc. your Company currently previous year. Once this Joint Venture is year saw a strong resurgence with the domestic industry operational.269 tractors sold in the In the Naval Systems business.13. 2009 After 3 years of plateauing of the domestic tractor industry with BAE Systems Plc.4% as compared to 40. been integrated with the MDS Operating Group from 1st April. Your Company has further signed a Joint Venture Agreement on 30th November. Your In the Land Systems business.7% over the last year. your Company’s exports grew assets through implementing the security strategy 27. a growth of 46. dealings and places high emphasis on business ethics.66. your Company sold 48. Financial Year. industry with domestic sales of 1. your Company provides Company received the Best Governed Company 2009 armouring solutions for light combat vehicles and SUVs as Award from the Indian Merchants Chamber and the Asian well as high mobility vehicles for defence. Your Company. is engaged in three defence related Corporate Governance businesses – a) Land Systems b) Naval Systems and Your Company is committed to transparency in all its c) Mahindra Special Services Group (“MSSG”). A detailed analysis of the Company’s performance is Mahindra Defence Systems Division (MDS): discussed in the Management Discussion and Analysis Report. 2009 in order to synergise the efficiencies with Beyond Agriculture. as against 52. thus completing 27 years of leadership in In the Special Services Group business. Decoy Launchers and composites now stands at 41. process and technology. police and Centre for Corporate Governance and Sustainability.203 tractors registering a growth of include manufacture of artillery products and combat 31. the appointed date of which was 1 August. in the Powergen space under the other businesses of MDS. Pursuant to an approval accorded by the the year. this defence land systems products.9% as compared to 1. with effect from 1st July. Physical and Personnel be under strain. your Company the Indian tractor industry. through Mahindra Defence Systems (MDS) Operating Group.

30th March.year in a row. in July.00. it was ensured that your Company had abundant Sub-division (“Stock-split”) of Face Value of liquidity. comprising of 57. and 2) 93. along with a Certificate from the Statutory Auditors of the Company regarding the compliance of conditions of Finance Corporate Governance as stipulated under Clause 49 of Despite prolonged global challenges. your Company has on 31st March. 10 each in the Share Capital of the Company as on the Record Date i.5 each fully paid-up and the Authorised Share Capital Your Company follows a prudent financial policy and aims of the Company stands at Rs.289.21 crores of Rs. Even though things looked to be on an upswing. This rating indicates that the capability of Consequent to the Stock-split.10 fully paid-up held by the Members in the Equity convertible into one Equity Share of Rs. A Report on Corporate Governance of the face value of Rs. 745 and Rs. your Golboot Holdings Limited upon compulsory conversion Company continued to focus on managing cash efficiently.478 Ordinary (Equity) Shares of Rs. 700 crores to its Net Worth.974 Ordinary (Equity) Shares Share Capital of the Company stands at Rs.5 each. paid-up in the Equity Share Capital of the Company for Unsecured Fully and Compulsorily Convertible Debentures every 1 (One) Ordinary (Equity) Share of the face value of (“FCD”).5 the Company by way of Postal Ballot on 11th March. the Indian economy the Listing Agreement forms part of the Annual Report. The risk appetite returned to Increase in Share Capital financial markets as equities and debt raising gained During the year under review. The 1.10 each. million without the need for refinancing. the FCDs Post allotment of Equity Shares and sub-division of Equity were converted into Equity Shares of the Company and Shares as aforesaid.5 each fully your Company had.20. issued 9.37 as at 25. subscribed and paid-up your Company allotted 93.e.a. 745 per Share.84. Your Company did not need to tap the capital Equity Shares market and in fact used its strong liquidity at its disposal Pursuant to the approval received from the Members of to repay foreign currency loans aggregating USD 94. keeping in mind the volatile times. a new International Securities the Company with respect to wealth creation for all its Identification Number (ISIN) INE101A01026 has been stakeholders while adopting strong Corporate Governance created by the Depositories for the Company’s Equity Shares practices is the highest. showed signs of recovery in most of the Sectors in the Share Capital Financial Year 2009-10. As was reported in the previous year’s Director’s Report. 8 .000 Unclassified Shares of Rs.00.95. 2010.95. 2008. in accordance with the terms of the issue. 2010.000 Ordinary (Equity) Shares of Rs.974 Ordinary (Equity) Shares of Rs.00.974 Fully and Compulsorily Convertible Even while financing its ongoing modernisation and growth Debentures.10 each to the task of sustaining growth amidst volatilities as well as the Trustees of Mahindra & Mahindra Employees’ Stock surging inflation.10 each to During the year. initiatives. Company at a price of Rs. 2010.000 Ordinary (Equity) Shares of Rs.625 crores comprising of to maintain optimum financial gearing at all times.100 each. each FCD having a face value of Rs.00. the issued. upon sub-division. Corporates still faced 1) 10. 2010. issued 2 (Two) Ordinary (Equity) Shares of Rs.34. 2010.25% p. 31st March.95. adding Rs. your Company allotted: momentum on the back of abundant liquidity. Option Trust. In January.5 each and Company’s total Debt to Equity Ratio was 0. of 93.

To meet these goals. Company and also revised its rating outlook from “LAA+/ Negative” to “LAA+/Stable” and CARE has maintained a 2. your Company NM5 is a 5-seater Aircraft designing and manufacturing divested 46. BAE is a premier global defence. During the and in particular the offset opportunities that have year. as well as under: advanced electronics. MAHINDRA & MAHINDRA LIMITED Your Company has been rated by CRISIL. Your Company had prime customer and extend facilities/services at prime rates. Joint Venture with BAE Systems Plc. leading players in Aerospace and also to become small (“BAE”).66% of the Equity Share Capital in MGTPL project which is being developed by your Company in favour of ICICI Venture Fund during the year. The Company’s CRISIL reaffirmed its rating of “AA” and revised its rating investment in component capability addresses the outlook to “AA/ Stable” from “AA/ Negative” for your growing needs of both the civil and defence markets Company’s Long Term Facilities under Basel II. the holding of your compliments the product portfolio of GA. Long Term Rating of “CARE AA+”. also been exploring opportunities for partnerships with Acquisitions and other matters companies with globally proven high end defence technologies. with Hindustan Aeronautics Limited. Acquisition of Aerostaff Australia and Gippsland Company had evaluated various options and identified Aeronautics possibilities for forming separate Joint Ventures/alliances Your Company decided to make a foray into Aerospace with strategic partners. your Company had CRISIL. Mahindra Gears & Transmissions Private Limited Gippsland Aeronautics (“GA”) is an established brand (“MGTPL”) is a subsidiary of your Company. information technology solutions and customer support services. Through various initiatives. your Company manufacturer of components and assemblies with the has entered into a Joint Venture with BAE Systems Plc. Company in MGTPL stands at 53. Sector with the intention of penetrating into global aerospace supply chain as a credible registered As mentioned earlier in this Report. Gear Vertical Manufacturers (“OEMs“). Aerostaff Australia (“AA”) manufactures high-precision close-tolerance aircraft components and assemblies for large aerospace Original Equipment 3. security and capacity aircraft manufacturer. With this objective in mind. benefits and unlock value in MGTPL. ICRA Limited Your Company’s move into the Aerospace segment is (ICRA) and Credit Analysis & Research Limited (CARE) for supported by a renewed demand for economical air its Banking facilities under Basel II norms. land and naval forces. Your Defence Sector for the manufacture and integration Company’s Bankers continue to rate your Company as a of weapon systems and platforms. your 1. aerospace company delivering a full range of products your Company has made 2 acquisitions in Australia as and services for air. ICRA and CARE have all reaffirmed the highest positioned itself to play a major role in the Indian rating for your Company’s Short Term facilities. During the year. With a in general aviation and has delivered more than 200 view to derive optimum structuring and operational FAR 23 certified planes in 32 countries.34%. The NM5 initiative Subsequent to the divestment. security. ICRA also reaffirmed its rating of “LAA+” for your triggered world wide interest in Indian Aerospace. transportation around the world. .

MHL) as on the Record Date 34. .270 Warrants on a preferential basis to business would be demerged into your Company owing your Company wherein each Warrant entitles the to its strategic importance and funding resources Company to apply for and be allotted one Equity Share required for the same. The Company has made an alia envisages demerger of the Agri Inputs Business upfront payment of 25% of the aggregate price along with other common assets and liabilities (“Non amounting to approximately Rs. essential for improving customer Buyers accompanied by a simultaneous issue of bonding.99. The Appointed Date of the Scheme would convert the balance 42. raised capital by way of a Qualified Company.10 each at a price of Rs. is in the business of Shares of Rs. MSSL has till now Placement and issue of Warrants to the Company steadily developed a footprint in Agri Input business.107. Judicature at Bombay for approval. MSSL now intends to streamline An amount of Rs. Exchange Board of India (Issue of Capital and Disclosure In view of the Agri Inputs business being a high Requirements) Regulations.175 crores was raised through a QIP its operations and wants to focus only on the Fruits by issue and allotment of Equity Shares of the face Business and explore strategic options to grow this value of Rs. the Company’s shareholding in MFL stands at subsidiary. the Agri Inputs allotted 72. 2009. Mahindra Forgings Limited (“MFL”). 2010 and pursuant to the Scheme. Mahindra Holdings Limited (“MHL”) in MSSL 50. Seed Potato and Crop Care Products.99.25 crores and has Fruit business”) of MSSL into the Company under the exercised its option to convert 30. Currently. As a result of the Shares held by the Company and its wholly owned above. 2011. Demerger of Non Fruit Business of Mahindra shall stand cancelled. at any Arrangement between MSSL and your Company and time after the date of allotment of Warrants but on or their respective Shareholders was announced by your before the expiry of 18 months from the date of th Company and MSSL on 30 March.730 fully paid-up Equity a subsidiary of your Company. Mahindra Forgings Limited Qualified Institutional foray into other Fruits businesses.000 Warrants provisions of sections 391 to 394 of the Companies into Equity Shares. of MFL of the face value of Rs.68%.270 Warrants into Equity be 1st January. Upon the Scheme becoming Shubhlabh Services Limited into the Company effective.00. the Company shall issue and allot to the Shareholder of MSSL (other than the Company and Mahindra Shubhlabh Services Limited (“MSSL”). in terms of Securities and your Company. customer loyalty and market penetration of Warrants to your Company. MSSL’s Fruits business is currently focused on exports of grapes to Europe. a subsidiary of which is strategically an important business to your the Company. gestation business. in one or more tranches.137 per share.4. MFL has also and profitability and going forward. a Scheme of Rs.10 each at a price of To achieve the above objective. The Company still has an option to Act.5 each of the Company. as it directly relates with the farmer and Institutional Placement (“QIP”) to Qualified Institutional Farm Tech Prosperity. 1956. MSSL proposes to expand its 5. the a) domestic sales and exports of fresh fruit products Scheme is in process of being filed with the Stock and b) production and distribution of Agri Inputs Exchanges and the Honourable High Court of namely Seeds. Shares by 3rd September.75 per Equity business domestically and globally in terms of scale Share to Qualified Institutional Buyers. 2010 which inter allotment of Warrants.

It is proposed . your Company would strive to ensure of the Mahindra & Mahindra Employees’ Stock Option continuity and build on the positive customer equity Trust have granted 4. the demand for electric. Renault would continue to support the Stock Options Company and the Logan through a License Agreement On the recommendation of the Remuneration/ and supply of key components. Most Scheme . Mahindra Renault Private Limited (“MRPL”). arrive at a long term solution to MRPL’s continuing This acquisition would help your Company to losses and subsequent to the year end. tighter (“the Guidelines”) are set out in Annexure I to this Report.770 Stock Options to Eligible that exists for the Logan in India. a significant proprietary technology which has enabled subsidiary of the Company had commenced commercial it to create a fleet of EVs worldwide with over 3. 7. MAHINDRA & MAHINDRA LIMITED 6. (“Renault”) for the manufacture and sale the ‘G-Wiz’ brand. in Space. signed a Framework Agreement with Renault to buyout Hydrogen and Bio-diesel which is an important element Renault’s Shares in MRPL which would result in MRPL in the sustainable mobility strategy of the Company. the United Kingdom and other The Company had been in discussions with Renault to countries in Europe.a. Mahindra & Mahindra Limited Employees Stock Option vehicles (“EV”) is projected to increase many fold. Through this Compensation Committee of your Company. the Trustees Agreement.a. Acquisition of Shareholding of Renault s.s. your Company subsequent to the year end Mahindra Renault Private Limited (“MRPL”) and take decided to acquire a majority stake in Reva Electric Car over of the business of MRPL as a going concern Company Private Limited (“Reva”). The New Scheme will facilitate grant of Options be ready to exploit this opportunity. to the employees in the form of Stock Options and/ or Keeping in mind the above opportunity and with a Restricted Stock Units (“RSU’s”) and /or other instruments view to consolidate its presence in the Automotive (“Options”) exercisable into Equity Shares.s. including India. 1999 Given the concerns about environment. debate on greenhouse gases and taxation on emission. becoming a wholly owned subsidiary of your Company.2010 global OEMs are working on EV programs and are at Your Company proposes to introduce a new Employee least 1 to 2 years away from commercial production. Stock Option Scheme known as ‘Mahindra & Mahindra Your Company is of the view that it should be focused Limited Employees Stock Option Scheme 2010’ (“New on developing EV capabilities that would assist it to Scheme”). 2007. regulation on emission. Employees during the year under review.000 production of the car badged as Mahindra Renault vehicles on the road in more than 20 countries Logan from February. With the help of its strong of the Logan sedan car principally for the Indian market engineering team and frugal mindset. Going Green – Acquisition of Reva Electric Car Details required to be provided under the Securities and Company Private Limited Exchange Board of India (Employee Stock Option Scheme and Employee Stock Purchase Scheme) Guidelines. Reva launched its first EV in 2001 under the ‘Reva’ The Company had entered into a Joint Venture with brand and further extended it to London in 2004 under Renault s.01. Established in 1994. your Company compliment its other clean energy initiatives on Hybrid. it has developed in 2005.

Occupational Health & Environment of its Your Company’s Plants continued its commitment to improve employees are embedded as core Organisational values of the well being of the employees.e. plant and equipment. employees. With a clear view on sustaining green business growth. The necessary Resolutions seeking provides a framework for environmental initiatives. Health and Environmental Performance safety practice which is implemented through the amended management system and all the Plants of the Automotive Health and Safety Division have been certified during the year 2009-10. Company’s commitment to environment stems from the Group’s abiding concern for the Stakeholders engagement Industrial Relations in and around the society. conducts regular medical and occupational check-up of its employees and promotes Air Pollution Management eco-friendly activities. Its nature of operations has a Industrial Relations remained cordial and harmonious low impact on the environment due to implementation of throughout the year. The Policy inter alia covers and ensures safety all employees in Hazardous operations were medically of public. the workmen at the Nashik plant of the work environment to its employees and ensures conduct Automotive Division of the Company resorted to one illegal of environment friendly business. . Occupational Health and Kandivli. Water and Waste Management performance. Zaheerabad and Haridwar are Environment. All Plants of Automotive Division have been certified with amended The New Scheme has been formulated in accordance with standard for ISO 14001: 2004 & OHSAS 18001. Air. The OHSAS system aims to eliminate or Occupational & Environmental Policy (SH&E). 2009. the Company. consent of the Members are being sought as proposed in objectives & targets and helps in continually improving its the Notice convening the Annual General Meeting. Nashik.that the Options can be exercised by the employees at a New Certifications price equal to or not less than the face value of the Equity The Sustainability Reporting System of your Company Shares of the Company. with its activities. During the year 2009-10. The Your Company continues to demonstrate a strong individual operational Units of the Automotive Division i. strike in May. Company’s commitment of Safety and Occupational Health to high levels. The Management Discussion and Implementation of Occupational Health & Safety Analysis Report gives an overview of the developments in Management System Standard has re-enforced the Human Resources/Industrial Relations during the year. Occupational Health Examination The Safety. Igatpuri. imparts training examined once in six months and other employees from to all its employees as per training calendar. Your Company has a well established Safety. carries out Non-Hazardous operations were examined once in a year. The objectives minimise risk to employees and other interested parties and targets derived from the Policy are supported by who may be exposed to Occupational Safety risks associated Management Programs. Your the Guidelines and other applicable laws. As mentioned in the last year’s Environment Management System which provides a healthy Directors’ Report. statutory safety assurance and audits of its facilities as per Environmental Initiatives : legal requirements. also certified. commitment towards Safety. OHSAS 18001:2007 is the best existing Safety.

MPS provides food waste to manure/cooking gas towards minimisation these youth with livelihood training in sunshine industries 3 . bio-gas Plants to convert completed the 3 month course at MPS. Nashik. speeds its graduates’ integration into the workforce. Your Company is conscious towards By incorporation of new technological upgradations. print of Plants location wise and is taking adequate Greenbelt Development measures to mitigate the causes attributing to it. where it is recycled and reused. largely within Plant premises and would extend it to other locations to benefit the socially and economically disadvantaged as well.720 executing various Management programmes at each students from socially disadvantaged communities have location such as vermiculture. disadvantaged youth become self reliant in Pune. The generation of waste to a Mahindra Pride Schools (“MPS”) unique partnership model greater extent has been reduced at source and if adaptable. Mumbai and Kanhe and at dealers & distributors across Your Company is constantly imbibing the major India. your environment and ensures environment friendly disposal of Company is now in the process of calculating carbon foot e-waste. Igatpuri. sections of Society. Your Company is aggressively they earn not only a salary but also the respect of their working towards minimising waste disposal costs and is family and peers. Since inception in March. the Company has has also introduced rainwater harvesting and recharging pledged 1% of its Profit after Tax for CSR initiatives. Your Company has implemented At Mahindra we call it “Transform-nation”. Mahindra Hariyali was one of client locations for Meetings and discussions and this is the initiatives which was implemented at the Plants at achieved by promoting the use of Video Conferencing. to Water and Waste Water Management planting a million trees in India. 1. providing healthcare increased green zones. MAHINDRA & MAHINDRA LIMITED the need for clean environment was given a renewed focus. Your Company’s Plants at various locations have environment sensitisation drives amongst its employees partnered with Non-Governmental Organisations and through various events such as celebrations of World various academic institutions all located in and around Environment Day. enabling socially waste monitoring. and has taken various initiatives to achieve waste reduction and resource conservation. Nashik. Zaheerabad and Haridwar. of the same. 2007. Solid Waste Management Some of the major initiatives your Company has invested in are described below: Your Company’s Plants at Kandivli. your Company’s Corporate Social Responsibility (“CSR”) initiatives continue to provide Your Company is committed towards resource conservation strategic interventions that help the Nation help itself. various water management methods such as recycling and CSR continues to be an integral part of the vision of the re-use of treated waste water in process. World Ozone Day alongwith active Mumbai. participation of employee’s families. The Company Mahindra Group and this year too. Your Company has Corporate Social Responsibility also implemented ambient and work place air monitoring. alongwith effluent treatment and to inaccessible areas in Uttarkhand. Igatpuri and Mahindra Pride Schools: Zaheerabad believe in responsible disposal of hazardous and non-hazardous waste. From educating a girl child in Udaipur. The Company also has a roadmap to reduce Green House Gas Your Company has community partners at each location (“GHG”) emissions by curtailing travel of its employees to for green belt development.

Operations are performed placement process. Some of the notable ESOPs initiatives this year were: 4 .000 underprivileged girls by infrastructure in Pattori Gram Panchayat. Project Nanhi Kali now supports the education of rehabilitation and reconstruction activities in Pattori Gram over 54. 31. Pithampur that they have got good jobs and the living standards and and Mahindra Retail. As a result in the last Financial Year. Gifting Cochlear Implants: Hardware & Networking and Call Centre Training. This 2011.525 students all over India received financial support initiatives in their local communities. a her family from hidden costs of education. India’s leading ENT surgeon and his Nanhi Kali: Team. A survey of students who have graduated indicate Two Wheelers. school bags. The Mahindra subsidiary of the Company have entered into a Group independently supports 11. Mahindra Education Trust. Mahindra Two Wheelers. The goal of Nanhi Kali is to provide terms of the MOU. Life skills and computer applications.317 employees have volunteered in various 1. Panchayat. etc. Pune. 4.000 underprivileged girl children. a three year course. ESOPs were formally through MAITS. Memorandum of Understanding (“MOU”) with the With support from thousands of individuals and Corporate Collector.000 girls across India. Singheswar Block. Milind Kirtane.00. Under the 8 States of India. belonging to the lower socio-economic strata Nanhi Kali. Nanhi Kali brings Bihar Rehabilitation Project: about a complete transformation.i. All beneficiaries are hearing impaired children below the age of 5. Mahindra Foundation and also provides uniforms. Till date. shoes. MACE would create the complete social educational support to 1. the Mahindra Group has changed the English. Approximately 500 programme at the Mahindra Group where each employee scholarships are given every year for students who undergo can do social work by volunteering in various CSR initiatives. in poor urban. Bangalore. Bihar to support the donors. by Dr.e. economic status of their families have improved. MAITS are awarded to students from Employee Social Options: lower socio-economic strata to enable them to pursue a job oriented diploma course at a recognised Government Employee Social Options (“ESOPs”) is the unique Polytechnic Institute in India. Madhepura District. which free Mahindra Consulting Engineers Limited (“MACE”). Hospitality. by allowing the girls to The river Kosi wreaked havoc in Bihar in 2008 with floods attend school and learn with dignity.772 students have been MAITS launched in 3 new locations of Mahindra Group – Mahindra Scholars. Science and language are taught to the girls but State. Customer Relationship Management. C. Till date. disadvantaged girl child has been the flagship programme of the K. Instituted in 1995. which supports the education of the of Society. comprehensive programme includes the construction of Mahindra All India Talent Scholarships (MAITS): permanent houses with provision of basic infrastructural facilities such as water supply and sanitation. Madhepura District of Bihar remote rural and conflict afflicted tribal communities across for those ravaged by the Kosi floods in 2008. Following the same. There has life and future of 60 profoundly hearing-impaired. All By gifting the power of sound through the donation of students are required to undergo mandatory courses in Cochlear Implants. been 100% placement of all students participating in the underprivileged children till date. Nanhi Kali sponsorship causing incalculable loss of life and property besides provides not only academic support classes where concepts snatching away the livelihood of lakhs of people in the of Maths.

consumption of energy and water and reduction in GHG Other ESOPs activities also included other initiatives in emission and waste.14. a reviewing its commitments to the Environment and Society. Environment and Social arenas bringing and further information on various environment related long-lasting impact. interacting with children.664 lives.153 surgeries were performed free of During the year under review. For taking care of the Environment. a beginning was made strategic approach of ‘ALTERNATIVE THINKING’ your 5 . the survival rate has also grown. HIV/ all the Company’s business operations under Scope I. MAHINDRA & MAHINDRA LIMITED • The Lifeline Express in Wardha: This was jointly to appraise the Shareholders of the initiatives your Company sponsored and organised by the Farm Division and had taken in reporting its ‘Sustainability’ performance for Mahindra & Mahindra Financial Services Limited. etc. IT/ achieving the targets in the Road Map. Your Company’s as on 31st May. This would be reported in your visiting Old Age Homes. mobile exercise was undertaken to inventorise GHG emissions from dispensaries. a Carbon foot-printing blood donation camps.752 man hours in this activity the latest Guidelines of the internationally accepted Global and 30. thus making it an ideal public-private this Report was externally assured by Ernst & Young and partnership initiative. This • Mahindra Hariyali : A Survey was conducted on the 2nd Report reflects that along with your Company’s business survival rate of trees planted in the Financial Year growth. Again this year. infrastructure development) impacting elaborated elswhere in the Annual Report. 78. Details of this Group Level Road Map Education.49%. reached out to over 14. subsidiary of the Company. have been vocational training. expanded and intensified.36.573 people. the 2nd Sustainability Report cost and 281 Hearing Aids were distributed. would enable your Company to baseline data on its 1. 71 Social initiatives were conducted such as performance in this area. Company’s 3rd Sustainability Report. a more responsible and holistic approach to business is reflected by the facts that a) all commitments made in the • ESOPs AWARDS 2009: is an internal Company award first Report were satisfactorily met and b) a structured and was institutionalised in 2008 to appreciate and Sustainability road map over a 3 and 5 year time horizon promote healthy competition amongst employees and has been drawn.560 III emissions as per internationally accepted standards. through its In the last year’s Directors’ Report. ESOPs for the year 2008-09 was published. with clear targets for reducing locations. II & AIDS awareness campaigns reached out to over 1. During the year under review.003 people. According to the Survey. the Community. which reached out to over released shortly. which would be conducting Shraamdan.575 man hours were spent by volunteers from Reporting Initiative or the GRI standards. Wardha and 1. 27 initiatives were conducted in initiatives taken by your Company which would help in Education (such as distributing educational material. Health. the Company’s responsibility to its stakeholders 2008-09. 2009 of the trees planted during progression in this journey and its commitment to taking the abovementioned period is 79. 24. rated with the highest level of A+ and GRI checked. 54 Health initiatives such as medical camps. etc. Pulse Polio Campaigns. in accordance with Volunteers spent 13. Realising that the equation of business with Environment ‘Sustainability’ Initiative and Society is undergoing a radical change.862 trees were planted for Gap Filling in Financial emissions and undertake initiatives towards improving Year 2009-10. The Project was held at while generating profits. This people in Nashik.

1. 2010 at the Meeting of the irregularities. A. (iv) the annual accounts have been prepared on a going 2010. Nanda’s immense contribution and valuable services The subsidiary companies of your Company continue to during his long association with the Company and contribute to the overall growth of the Company. prior period adjustments and tax and office of Director at the forthcoming Annual General after deducting minority interests is Rs. the development for a sustainable business growth.478.C. Service Centre Limited. concern basis. 6 . 46.2. Mr. Executive Director of the Company. Mr. The consolidated Group Profit for the year after signifying his intention to propose Mr. Dr. based on the representations received from Private Limited. Limited.Company is committed to integrate sustainable (i) in the preparation of the annual accounts. Tech the Operating Management. Mahindra Technologies Services Inc. For a applicable accounting standards have been followed. Mahindra Conveyor Systems your Directors. Keshub Mahindra. in the selection of the accounting policies. against Rs. Kulkarni retire by rotation and. K. and BAH Hotelanlagen that: AG became subsidiaries of your Company.96% growth in its consolidated profits including his contribution as Executive Director of the and Mahindra Holidays & Resorts India Limited with a Company from 1992 onwards. Considering his experience and expertise. Ganguly During the year under review. confirm Mahindra Bahrain Limited S. Anupam Puri. Mahindra Retail Private Limited. Nanda. Mahindra Metal One Steel and Mr. R. Mahindra Pursuant to section 217(2AA) of the Companies Act. Nanda for the exceptional items.56 crores as Meeting.405. Nanda’s outstanding experience and subsidiaries such as Mahindra & Mahindra Financial Services expertise in serving the Mahindra Group since 1973 Limited with a 61.com/sustainability. and after due enquiry. for the years 2007-08 to 2008-09 please log on to consulted the Statutory Auditors and these have been www. A. 2010 and of the profit of 37 illustrious years of service in the Mahindra Group of the Company for the year ended on that date. accordance with the provisions of the Companies Act. Major acknowledged Mr. A. K. detailed information on the Annual Sustainability Reports (ii) they have.P.mahindra. Tech Mahindra (Nigeria) Limited. K. 1956. Retail Initiative Holdings Limited. which 18 years were as an Executive Director decided to (iii) proper and sufficient care has been taken for the step down from his executive position with effect from the maintenance of adequate accounting records in close of 31st March. Raigad Industrial & Business Park offer themselves for re-appointment. Directors’ Responsibility Statement Mahindra Punjab Tractors Private Limited. after Company as at 31st March. Mr. applied consistently and reasonable and prudent Directors judgments and estimates have been made so as to give a true and fair view of the state of affairs of the Mr. being eligible. The Board has placed on record its deep appreciation of Subsidiary Companies Mr.86% growth in its consolidated profits deserve special The Company has received a Notice from a Member mention. 2010. EcoNova Private Limited. Board of Directors of the Company held on 30th March.. S. Nanda 1956 for safeguarding the assets of the Company and was appointed as an Additional Director of the Company for preventing and detecting fraud and other with effect from 1st April.41 crores earned in the previous year.

the Company has obtained a written Pty. as Mahindra ceasing to be a subsidiary of the Company with directed by the Central Government. and Mahindra Technologies Limited which in turn is a subsidiary of your Company. Inc. Metalcastello S. Tech Auditors Mahindra (Nigeria) Limited... signed between SBC International Inc. Further. Tech Mahindra GmbH. Tech subsidiary companies shall be uploaded on the Website of Mahindra (Americas) Inc. Tech Mahindra for inspection at the Head Office of the Company and at (Thailand) Limited. working hours upto the date of the Annual General Meeting. resulting in Tech Company interested in obtaining the same. CanvasM (Americas) Inc. ceased to be subsidiaries of the Company. Tech Mahindra (Malaysia) SDN. copy of Mahindra. Tech Mahindra Foundation. is attached. pursuant to an Agreement dated 10th May. Mahindra and Mahindra Act. Limited became Certificate from the above Auditors proposed to be 7 .. British Telecommunications Plc. 2005. the subsidiaries of Tech Mahindra viz. during Mahindra Indonesia. S. Board of Directors and Auditors of the subsidiaries have not been attached to the Balance Sheet of the Company. Mahindra-BT Investment Company (Mauritius) Limited The Consolidated Financial Statements of the Company (“MBTM”) and Tech Mahindra Limited (“Tech Mahindra”) and its subsidiaries..A. Subsequent to the year end. the financial data of effect from 22nd March. Mahindra Metal One Steel Service Centre Limited has changed its name to Mahindra As required under the provisions of section 224(1B) of the Electrical Steel Limited and Mahindra Aerospace Australia Companies Act. 2010 from MBTM. Limited and Aerostaff Australia Pty. Shares of Tech Mahindra on achieving certain Milestones by Tech Mahindra at a pre-determined price.07% of the paid-up Equity Share the Balance Sheet. MAHINDRA & MAHINDRA LIMITED During the year under review.. The Shareholders would be nd 22 March. aggregating 8.P. Tech your Company. AT&T exercised In terms of the approval granted by the Central Government its Options and acquired 98.p. 2010.BHD. Chartered Accountants. 1956 containing details of the Company’s subsidiaries Limited (“the Company”). and Venturbay Consultants Private Limited also ceased retire as Auditors of the Company and have given their to be subsidiaries of the Company with effect from consent for re-appointment.C. 2010. prepared in accordance with which entitled AT&T to exercise certain Options over Equity Accounting Standard AS21 form part of the Annual Report. 1956. Reports of the Capital of Tech Mahindra on 22nd March. These documents would also be available Mahindra (Singapore) Pte. PT Tech the Office of the respective subsidiary companies. Upon the exercise of Options by AT&T. [now AT&T The Statement pursuant to section 212 of the Companies International Inc. 1956. Profit and Loss Account.70.01%. Limited. required to elect Auditors for the current year and fix their remuneration. Tech Mahindra (Beijing) IT Services Limited. Tech Mahindra Bahrain Limited Messrs. the subsidiaries have been separately furnished forming Consequently. Mahindra Hinoday Industries wholly owned subsidiaries of Mahindra Aerospace Private Limited. Deloitte Haskins & Sells. the Shareholding The Company Secretary would make these documents of the Company alongwith its subsidiary MBTM in Tech available upon receipt of request from any Member of the Mahindra stands reduced to 44. CanvasM Technologies Limited. Reva Electric Car Company Private Limited also became a subsidiary of your Company. The accounts of the individual Mahindra Logisoft Business Solutions Limited. However.912 Equity Shares of Tech under section 212(8) of the Companies Act. part of the Annual Report.] (“AT&T”).

current year. required to be disclosed in the Annual (Disclosure of Particulars in the Report of Board of Directors) Accounts of the Company pursuant to Clause 32 of the Rules.67 crores had matured and this through an intensive and continuous focus on cost had not been claimed as at the end of the Financial Year.44 crores have been claimed. Particulars required to be disclosed under the Companies associates. sent to all the Shareholders of the Company excluding the Statement of particulars of employees.1% on a For and on behalf of the Board year on year basis between April. The primary driver of growth in the year under review was the Industrial Sector. if last few months. Particulars of Employees Current Year The Company had 426 employees who were in receipt of st th During the period 1 April. 2010 as compared to the 3. product innovation and customer delight.2.00. During the per month during any part of the said year. Any Shareholder Economies in many parts of the world have started to interested in obtaining a copy of the Statement may write stabilise and recover either from recession or severe slow to the Company Secretary of the Company. the Directors’ Report and Accounts are being period in the previous year.699 tractors were despatched as against per the provisions of section 219(1)(b)(iv) of the Companies 24. 2010 or not less than Rs.166. as same period. 205 considerable concern and your Company hopes to counter deposits amounting to Rs. 1988 are set out in Annexure II to this Report. With investments picking up in the Mumbai. Public Deposits and Loans/Advances However. Technology Absorption and Foreign Exchange Earnings and Outgo The particulars of loans/advances and investment in its own shares by listed companies. Listing Agreement are furnished separately. 1956.0.22 crores from constraints on certain critical components are a source of the Public and Shareholders as at 31st March. 45.00.0.000 the corresponding period in the previous year. the rising cost of commodities and the supply Out of the total 17. 2010. would be in conformity with the limits specified in goods production and a normal monsoon forecast for the the said section.536 tractors despatched during the corresponding Act.24. their subsidiaries. 2010. Energy Conservation. controls. The Indian Economy has displayed remarkable resilience over the course of the downturn and is expected to grow strongly. The index of industrial production grew 10. 29 May. 93 of these deposits of the value of Rs. down in the past two years..821 remuneration of not less than Rs. as indicated by the sharp rise in capital made. 2010 Chairman 8 .1% growth registered in the same KESHUB MAHINDRA th period in the last fiscal.101 deposits of Rs.797 vehicles during year ended 31st March.re-appointed to the effect that their re-appointment. 29. the prognosis for growth in the current fiscal is positive. 2009 to February. Since then.000 during the vehicles were despatched as against 34. However. etc. 2010 to 28 May.

898 granted (b) The pricing 1st Tranche 2nd Tranche 3rd Tranche 4th Tranche 5th Tranche 6th Tranche 7th Tranche 8th Tranche 9th Tranche 10th Tranche formula Average Average Discount Discount Average Discount Discount Discount Discount Discount price price of 5. exercise of options (i) Total number 98. (c) Options vested 82.80.283 (d) Options exercised 45.35.13th date .88. the the the the the 2001 2003 specified specified 2005 specified specified specified specified specified date . These were transferred from the Trust to the Eligible shares arising as a Employees prior to sub-division of the Face Value of Equity Share from Rs.30th May.31st date . the fringe benefit tax in respect of Options which are granted to or vested or exercised by the Eligible Employees on or after 1st April.24.738.98.29th date . 1999: (a) Options 1. 2004 May. 2007. 2006 September. (h) Money realised by Rs. 2009 2006 2008 Average price .165 (g) Variation of terms At the Sixty-first Annual General Meeting of the Company held on 30th July. the grant of Options.703 (e) The total number of 45.30th date . This amount was received by the Trust.10 to Rs. Average of the daily high and low of the prices for the Company’s Equity Shares quoted on Bombay Stock Exchange Limited during 15 days preceding the specified date.97% of 5.13% of 4. July.89% of 4.10 each.5.030 of options in force . Date on which the Remuneration/Compensation Committee decided to recommend to the Mahindra & Mahindra Employees’ Stock Option Trust (Trust).02% of 4.14th preceding preceding preceding preceding preceding September. July.90.30th preceding preceding date .4th date .703 Equity Shares of Rs. MAHINDRA & MAHINDRA LIMITED ANNEXURE I TO THE DIRECTORS’ REPORT FOR THE YEAR ENDED 31ST MARCH.97% preceding preceding on the on the preceding on the on the on the on the on the the the average average the average average average average average specified specified price price specified price price price price price date .03% of 4. May. 2010 Information to be disclosed under the Securities and Exchange Board of India (Employee Stock Option Scheme and Employee Stock Purchase Scheme) Guidelines.85% price of 5. 2007.88.51.27th date .30th date .57. the of options Mahindra & Mahindra Limited Employees Stock Option Scheme was amended to provide for recovery from Eligible Employees. 2007 August.79. the the September. result of exercise of option (f) Options lapsed 7. The specified date . 2005 May.

44 options. the Options granted and outstanding as of 30th March 2010. 2003. The impact of this difference on profits and on EPS of the company shall also be disclosed. cost so computed and the employee compensation cost that shall have been recognised if it had used the fair value of the options. that year 2004* 2005* Mr. Hemant Luthra 15.44 respectively.0.44 crores. Augustin 5.920 Mr. equal to or exceeding 1% of the issued capital (excluding outstanding warrants and conversions) of the company at the time of grant (k) Diluted Earnings Per Share Rs. the difference between crores and the basic and diluted earnings per share would have been lower by the employee compensation Rs.5.35. shall be disclosed. the employee compensation cost intrinsic value of the stock would have been higher by Rs. Pranab Datta 15.10 to Rs. . during any one year. (iii) Identified employees who Nil were granted option. Had the fair value method been used.240 Mr. Profit after tax lower by Rs. Mr.160 .0.26. Rajeev Dubey 15. 31st March.080 * The Options granted stand augmented by an equal number of Options and the Exercise Price stands reduced to half on account of the 1:1 Bonus Issue made in September.240 Mr. in respect of stock compensation cost using the options granted on or after 30th June.000 Mr. Raghunath Murti 15. Allen Sequeira 10.48 and Rs.26. .000** Mr.61 (EPS) pursuant to issue of shares on exercise of option calculated in accordance with Accounting Standard (AS) 20 ‘Earnings per Share’ (l) Where the company has The Company has calculated the employee compensation cost using the intrinsic calculated the employee value of stock options. Prince M. stands augmented by an equal number of Options and the Exercise Price stands reduced to half on account of the sub-division of the Face Value of Equity Share from Rs. ** Out of these. 2005. Ramesh lyer 25.(j) Employee-wise details of options granted to: (i) Senior managerial As per Statement attached personnel (ii) Any other employee who Names Options Names Options receives a grant in any granted granted one year of option during the during the amounting to 5% or more year ended year ended of option granted during 31st March.

K. 2005** September. Parekh 20.000 5. *** Out of these.000 ***11. M. 53.000 Nil Nil Nil Mr.362 ***29.000 ***11.000 5.000 ***10.000 Nil Nil Nil Mr.84 equals or exceeds or is less than the market price of the stock.000 Nil Nil Nil Dr.56% (iv) expected dividends. 6. 2008 Options have been granted Mr.000 Nil Nil Nil Mr. Godrej 20.00.24% (v) the price of the underlying Rs. 2007 August.41% (ii) expected life.000 5. 2010 Name of Senior Managerial Options granted in Options granted in Options granted in Options granted in Options granted in Persons to whom Stock December. 2006 July. Kulkarni 20. ** The Options granted stands augmented by an equal number of Options and the Exercise Price stands reduced to half on account of the 1:1 Bonus Issue made in September.000 ***5. stands augmented by an equal number of Options and the Exercise Price stands reduced to half on account of the sub-division of Face Value of Equity Share from Rs. A. 2001* June.) (Rs.000 5.039 Mr. Ganguly 20. 2009 724. K.000 Nil Nil Nil Mr.890 * All the above Options have been exercised. the Options granted and outstanding as on 30th March 2010. Bharat Doshi 1.345 ***8.000 5. 2005. 2009 have been and significant assumptions calculated using Black-Scholes Options pricing Formula and the significant used during the year to assumptions made in this regard are as follows: estimate the fair values of options. and 2. R. Deepak S.50 share in market at the time of option grant. Anupam Puri 20. (n) A description of the method The fair-value of the stock options granted on 4th November.929.000 Nil Nil Nil Mr. 2. MAHINDRA & MAHINDRA LIMITED (m)Weighted-average exercise Options Grant Date Exercise price Fair value prices and weighted-average fair values of options shall be (Rs. Nadir B.00.000 5.000 10. STATEMENT ATTACHED TO ANNEXURE I TO THE DIRECTORS’ REPORT FOR THE YEAR ENDED 31ST MARCH.10 to Rs. Murugappan 20. Nanda 1.) disclosed separately for options whose exercise price either 4th November.5. Narayanan Vaghul 20.000 Nil Nil Nil Mr.362 ***24. including the following weighted-average information: (i) risk-free interest rate.50 years (iii) expected volatility. A. . M. S.00 414.345 ***8.

REPORT FOR THE YEAR ENDED 31ST MARCH. • Installation of heat pumps. • Installation of capacitor banks. • Modification in equipments like oil • Idea generation campaign for electrical pumps and motors coupled with system energy saving. automatic being implemented for reduction of consumption timer circuits for lights and fans. (ii) Process Improvement • Explore application of efficient lighting (LED. conditioning units. Magnetic coupled). if any. Energy paint shop to optimise use of Air Blower conservation initiatives have been implemented at all power consumption.ANNEXURE II TO THE DIRECTORS’ REPORT FOR THE YEAR ENDED 31ST MARCH. of energy: • Installation of heat recovery system at • Waste heat recovery projects in paint shops. • Cycle time reduction of various manufacturing processes. • Installation of natural draft cooling • Reward and recognition for energy saving towers instead of induced draft cooling projects. 2009 followed by • Replacement of higher HP motor with Energy Conservation Week between 14th lower HP. on 14th December. . optimisations to reduce energy • Celebration of Energy Conservation Day consumption. • Improvement in efficiency of central air • Shift to LPG Heating from Electric Heating. ED oven. for conservation of energy and has been steadily • Modification of Air Handling Ducts in making progress towards this end. • Use of renewable energy (Solar and Wind). systems. (b) Additional investments and proposals. RULES. the plants and offices of the Company by undertaking numerous energy conservation projects. Efficient and Renewable Energy Products. metal halide • Setting up of Stalls inside the Plant lamps instead of sodium and mercury premises for awareness of Energy vapor lamps. 2010 PARTICULARS AS PER THE COMPANIES (DISCLOSURE OF • Improving capacity utilisation of cylinder PARTICULARS IN THE REPORT OF BOARD OF DIRECTORS) head washing units. the Company has taken the following initiatives for conservation of energy: • Display of sustainability posters at (i) Engineering Initiatives workplace. 1988 AND FORMING PART OF THE DIRECTORS’ • Modifying furnace charging sequence. 2009 to 21st December. 2009. December. (iii) Initiatives Generating Awareness on Energy Consumption (a) During the year. 2010 • Optimising temperature settings of air A) Conservation of Energy conditioners considering seasonal The Company has always been conscious of the need changes.

the 1st new product from the Swaraj stable after its merger with the Some significant achievements for the year under review include the C2 CRDe engine with DOHC Company. security Specific Power consumption per equivalent vehicle and on board diagnostics. the Automotive domestic market. Areas in which Research & Development is carried out: Moving on to the Farm Equipment Sector. In the Automotive Division. In the area of sustainable mobility. offering better fuel efficiency. stability improvement in engine technology and new and comfort. For the confidence of complying to the latest FMVSS same period. safety. offering advanced features like competitive advantage to your Company. MAHINDRA & MAHINDRA LIMITED (c) Impact of the measures at (a) & (b) above for for the Maxximo to give the pick-up segment reduction of energy consumption and users a car like driving comfort. consequent impact on the cost of production of Your Company has been working on developing goods: the Scorpio Pick-UP for the US market and in the The measures taken have resulted in lower energy process. 1. which Scorpio targeting the overseas markets. Compact series of tractors were launched across thus delivering significant customer benefit and the country. has developed/attained significant consumption. The engine In the international space. was also introduced in the US market. In China. in the During the year under review. i. the Farm Equipment Sector achieved legislations for model year 2010 and further years. In the same period. during the Division focused technology development efforts year under review. in the US market. allowing the product to Company also developed its first in-house be easily operated by all in the household. the delivers higher power and better fuel efficiency. The entire manufacturing processes. the Farm Division. developing capabilities in automotive electronics. Your Gasoline Engine which was launched on the Company developed an Integrated Cabin. the Swaraj product development. The Company has improved by 15% over the previous year. which was launched on the Maxximo. Sarpanch and the flagship Arjun range were The Farm Equipment Sector too. significantly and front independent suspension was developed expanding your Company’s tractor range. a hydro-formed frame the 125 HP tractor was launched. to meet the needs engineering through the use of modern of the small and marginal farmers. the capabilities in the field of emission. an improvement of 3. Division developed and launched the Swaraj 843 2. the Company developed a Micro Hybrid application on the The work done by your Company has received Pick-UP.e. Your Hydrostatic Transmission. a 15HP tractor. B) Technology Absorption During the year under review. value “Yuvraj 215”. your Company’s Research & Development: Automotive Division applied for 24 Patents and 8 Design Registrations. customers. This was launched on the new Bolero recognition in the form of a number of National Maxi Truck and was received very well by the and State level awards. focused on upgraded. safety. 3 . Benefits derived as a result of the above efforts: XM (Xtra Mileage) tractor. developed and launched the in core areas of engine technology.21% per equivalent tractor. alternate material and existing range of tractors. In the area of Suspension. Bhoomiputra.

• Introduction of Micro Hybrid Technology on On the Farm Equipment side. and Implements) and non-product initiatives. Further. Efforts.390. Hydrogen and requirements. your Company’s tractor engines are compliant with the upcoming BS (Trem) IIIA 1.72 crores on capital expenditure) on developed and introduced. All of the Company’s Registration applications. regulatory alternate fuels like CNG.86 crores (including end. prepare for the future. your Company a Pick-UP. adaption and innovation programme to meet the challenging Tier-IV The Company has continued its endeavor to emission norms of USA. development in this area. adaptation and innovation: requirements. The Your Company continues its focus on developing Company has also undertaken programs for new products and technologies to meet the ever development of vehicles which would run on growing customer needs. Future plan of action in the countries to which they are exported. In the case of Mahindra Powerol. absorb advanced technologies for its product range to meet the requirements of a globally During the year in India. At the lower end. 4 . The focus will be on delivering new technology to • Development of Integrated Cabin for Tractor. your Company. Vehicles. competitive pressures and to Electric traction. Maxximo technologies are another key area of focus for and Yuvraj. Some of the key thrust 2010. Gio. the 5kVA genset has been Rs. Benefits derived as a result of the above efforts solutions are a key focus area and your Company • Compliance with new emission norms will continue to aggressively pursue technology introduced in India with effect from 1st April.664. the Farm Equipment Sector filed 12 New Patents and 2 New Design competitive market. fuel efficiency improvement and development of • Build a knowledge base for the Company. Sustainable mobility 2. In AppliTrac. the customer for a multi-fold farm output. the product 4. productivity through a variety of product (Tractors • Development of Electric Version of Maxximo. down costs.23% of the total and introduced in the southern rice belt. alternative fuel powertrains. Keeping in view the future technology Technology Absorption. new products and implements and innovative cost reduction ideas to cut will be focus areas. made towards technology norms in India and has also undertaken a absorption. remains committed to improving farm • Development of C2 CRDe engine with DOHC. the Research and Development work during the year tracked type self propelled harvester was developed which was approximately 3. in brief. Bio-diesel. Expenditure on R&D range was increased to 320 kVA. • Emphasis on value analysis/value engineering Product upgrades. turnover. Engines and Tractors are compliant with the prevalent regulatory norms in India and also 3. areas in this direction are weight reduction. at the higher The Company spent Rs. safety related • Launch of Bolero Maxi Truck.

Transmission Upgrade 2008 In the process of Absorption 23. Climate control (Heated and Cooled) seats 2005 In the process of Absorption 7. infotainment and convenience 37. Engine upgrades and Emission improvement technologies 2010 In the process of Absorption 34. Electrical and electronic technologies in the areas of 2010 In the process of Absorption safety. Design for New Tractor Transmission 2008 In the process of Absorption 25. 29th May. Development of Nano-Technology for IP etc. 2005 Technology Absorbed 6. CNG Engines for Pickups/3 Wheelers 2009 Technology Absorbed 28. CNG engines for LCV 2007 Technology Absorbed 16. Automatic Transmission for SUV 2007 Technology Absorbed 12. Fuel Cell Vehicle Development 2007 In the process of Absorption 20. Development of digital service interface 2010 In the process of Absorption 40. New transmissions for compact vehicles and Utility vehicles 2010 In the process of Absorption 35. Sandwich material for noise absorption 2005 Technology Absorbed 5. Electronic Programs for Safety. New Electricals & Electronics Features 2007 In the process of Absorption 15. 2010 Chairman 5 . Development of Integrated Cabin for Tractor 2006 Technology Absorbed 10. Start Stop Micro Hybrid 2009 Technology Absorbed 26. Hydrophilic Nano coated Feature 2007 In the process of Absorption 11. Alternate fuel technologies 2010 In the process of Absorption 38. Hybrid Vehicles 2008 In the process of Absorption 22. New suspension system for improved comfort 2010 In the process of Absorption 39. Technology for NVH management 2010 In the process of Absorption 36. New Generation Engine Management System 2009 In the process of Absorption 27. Fatigue Lab and track design for MRV. Transmission Design of Compact Tractor 2006 Technology Absorbed 9. Bio-Diesel and Gas based engine 2005 Technology Absorbed 8. New Generation system for Brakes for SUV 2007 In the process of Absorption 14. Transmission for new SUV 2007 In the process of Absorption 13. 2nd Generation Biofuels (Biomass to Liquid/Gas to Liquid) 2007 In the process of Absorption 21. New Airbag Program 2009 In the process of Absorption 31. Development of Air Bags on utility vehicle 2005 In the process of Absorption 2. No. Electricals & Electronics Update 2008 Technology Absorbed 24. Common Rail Diesel on Light commercial vehicle 2007 Technology Absorbed 17. The information on foreign exchange earnings and outgo is furnished in the Notes on Accounts. CAN Based Networking 2009 Technology Absorbed 30. Development of components using alternate 2010 In the process of Absorption materials and advanced manufacturing processes 33. Stability & Steering Control 2009 Technology Absorbed 29. For and on behalf of the Board KESHUB MAHINDRA Mumbai. Hydrogen ICE 2007 Technology Absorbed 19. Advanced Materials Technologies 2009 Technology Absorbed 32. Next generation Common rail adaptation 2007 Technology Absorbed 18. Imported Technology for the last 5 years Sr. MAHINDRA & MAHINDRA LIMITED 3. Further details in respect of exports are set out elsewhere in the Annual Report. Agri Implements Technology transfer 2010 In the process of Absorption C) Foreign Exchange Earnings and Outgo The Company continues to strive to improve its export earnings. Technology Imported Year of Import Status 1. Development of cruise control on utility vehicle 2005 Technology Absorbed 3. Chennai 2005 In the process of Absorption 4.

Particulars of loans/advances and investment in its own shares by listed companies, their subsidiaries,
associates, etc., required to be disclosed in the Annual Accounts of the Company pursuant to Clause 32
of the Listing Agreement.
Loans and advances in nature of loans to subsidiaries:
(Rupees in crores)
Name of the Company Balances as on Maximum outstanding
31st March, 2010 during the year
Mahindra & Mahindra Financial Services Limited 0.00 15.00
Mahindra Intertrade Limited 0.00 0.15
(including loans where there is no interest) (0.15)
Bristlecone India Limited 8.03 8.03
Mahindra Gujarat Tractor Limited 1.00 1.00
Mahindra Shubhlabh Services Limited 0.00 2.00
NBS International Limited 2.00 2.00
Mahindra Forgings Limited 0.00 100.50
Bristlecone Limited 72.45 72.45
Mahindra Overseas Investment Company (Mauritius) Limited 86.86 86.86
Mahindra Engineering & Chemical Products Limited 68.53 68.53
Mahindra Two Wheelers Limited 41.00 46.00
Mahindra Vehicle Manufacturers Limited 230.00 230.00
Mahindra Castings Limited 0.00 38.00
Mahindra Holdings Limited 25.00 25.00
Mahindra Automotive Australia Pty. Ltd. 4.51 4.51
Mahindra Logistics Limited 0.00 22.84
Mahindra USA Inc. 0.00 7.20

Loans and advances in the nature of loans to firms/companies in which Directors are Interested:
(Rupees in crores)
Name of the Company Balances as on Maximum outstanding
31st March, 2010 during the year
Infrastructure Development & Finance Company Limited 0.00 15.00

Except as indicated above, the Company has not made any loans and advances in the nature of loans to associates or
loans and advances in the nature of loans where there is no repayment schedule or repayment beyond seven years or no
interest or interest below section 372A of the Companies Act, 1956.

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MAHINDRA & MAHINDRA LIMITED

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industrial growth made rapid strides.30 hp Indian Automobile Industry registered a healthy growth of segment.9% in Financial Year 2010 as compared to a decline of segment of above 40 hp. the horsepower into the low horsepower of 20 hp . which includes soft tops. As a spectrum of industries from Tractors to Information result. after a 3. The Automotive Sector The global Automobile Industry was one of the worst contributed to the revival of The Indian Auto Industry with affected by the financial crisis.7% decline the recession and which went on to become an immensely in the year 2008 (Source: OICA). The Farm Equipment Sector crowned 27 of the Automobile Industry to their economies and years of market leadership.5% in the year 2009. However. Indian Automotive Sector inspiration and motivation. The stimulus package including reduction in indirect taxes and different Sectors of the Mahindra Group cover a wide other fiscal and monetary measures to boost demand. the middle segment of 30-40 hp and the higher 27. 4. given the poor monsoon and rise in global Positive sentiment and a renewed confidence in the India commodity prices. An investor in M&M has the benefit of period of Financial Year 2009. Containing inflation is likely to remain a key challenge the past year. reinvent itself and to reignite its dreams. from Automobiles and Two Wheelers to double digit increase in the second half of Financial Year Airplanes. especially through providing incentives for scrapping old vehicles (also known as "cash The domestic Automotive Industry comprises of Multi Utility for clunker" Schemes) and by reducing taxes. The Group which consists of 105 companies and has businesses Government responded quickly to the crisis with a large large and small in almost every continent of the world. Light Commercial Vehicles ("LCVs"). many Governments in developed and largest tractor Company in the world by volume.1 billion Mahindra faster from the effects of the global financial crisis. hard tops and pick-ups. It took the challenges head on and surged ahead with aspiration. which was launched at the height of declined by 13. from Financial services and Holidays to Defence 2010. the Group’s involvement in all these Industries. Recognising the importance successful vehicle. three wheelers Helped by the Indian Government's stimulus package and C-segment cars. growth story replaced the fear and uncertainty prevalent in 2009. Your Company used the crisis to reboot and for the Government and policymakers in the near term. Vehicles ("MUVs"). Global Automobile production the Mahindra Xylo.8% in Financial Year 2009. (primarily comprising a 6% point reduction in excise duty) The domestic Tractor Industry is traditionally segmented by and multiple new product launches by manufacturers. . MAHINDRA & MAHINDRA LIMITED Management Discussion & Analysis Management Discussion & Analysis Industry overview and trends Mahindra & Mahindra Limited ("M&M") or ("Mahindra") is Indian economic growth recovered strongly and relatively the flagship Company of the US$ 7. inflation has risen sharply since November. emerging markets responded with measures to boost Industry Structure demand for Automobiles. registering a Technology. as compared to nearly zero growth in the comparable and Infrastructure. with M&M becoming the single employment.

475 15.781 3.699 2.88.916 -7.9% -88.13.264 90.703 19.0% 42.4% Motorcycles 57.346 -20.6% Passenger 38.725 2.50.007 81.892 43.49.935 1.395 -21.3% A2: Compact 8.683 2.25.787 1.00.201 9.8% 15.088 3.3% 37.48.272 3.83.64.37.139 1.0% A6: Luxury 862 1.45.68.759 4.638 46.2% Goods 1.31.41.73.109 11.7% 40.59.647 34.68.977 -37.48.214 5.383 63.582 1.194 5.64.00. Domestic industry sales F-08 F-09 F-10 F-09 F-10 Passenger vehicles 15.342 58.5% 11.071 7.445 3.76.507 9.1% 25.001 54.378 -29.607 1.662 14.865 1.007 14.3% LCVs 2.1% 27.639 11.5% Goods 2.8% A5: Premium 6.553 49.7% Goods 1.49.195 33.85.7% MPVs 1.256 5.832 26.62.1% *A1: Mini 69.0% 26.3% 38.058 -33.882 15.0% Commercial vehicles 4.603 2.9% Passenger 2.0% 28.0% Scooters 10.068 26.26.06.84.9% Electric 17.86.093 1.952 34.2% 25.40.2% 30.31.733 12.747 2.0% 20.2% 27.72.584 4.368 -4.49.9% UVs 2.284 2.41.1% 14.953 73.71.9% Mopeds 4.28.435 74.265 26.3% 30.03.231 -23.455 46.776 0. A2 etc as per Society of Indian Automobile Manufacturers 3 .197 8.6% 45.88.45.774 2.727 4.706 -37.081 -9.093 11.421 -3.30.337 -7.2% 33.25.0% M&HCVs 2.621 2.51.2% A4: Executive 42.1% 25.74.6% 2 Wheelers 96.4% A3: Mid-size 2.34.7% 23.54.619 93.912 2.7% Source: Society of Indian Automobile Manufacturers * Classification of A1.733 -8.9% 3 Wheelers 3.35.50.6% 26.01.495 2.3% 27.49.463 3.15.7% Passenger 27.31.4% 25.20.6% Cars 12.52.0% 35.080 1.

The Utility Vehicle ("UV") segment. registered a growth of Kharif crop this year. farm incomes now contribute small commercial vehicle segment (of less than 1 tonne to less than half of rural incomes.8% during the year. ensuring strong demand. the performance of growth was 34. grew by 31. Industry 400203 450000 400000 318328 302241 303921 350000 262621 300000 226114 250000 175465 200000 160056 150000 100000 2005-06 2007-08 2010-11 2009-10 2006-07 2003-04 2004-05 2008-09 The Indian Tractor Industry. including those under initiatives like the National Rural The commercial vehicle industry registered a growth of Employment Guarantee Scheme ("NREGS") have helped 38.4%. Increased rural outlays was contributed by Mahindra Xylo. This was primarily driven by the emerged and on an average.2%. All this has resulted in payload).7% during the year. led year.0% as compared to a decline of 7. the world's largest.00. wealth and aspirations of the Indian consumers. partly due to a sharp rebound in industrial growth and partly due to a The passenger car segment. which grew by 47% (Source: M&M analysis).4%. over 40% of the growth in UV industry volumes and better minimum support prices. 3 . This growth was driven by increasing prosperity. by the A2 segment which grew 27.921 Tractors sold in the corresponding period last year. The LCV market showed an increase improve rural incomes. New employment avenues have of 42. The A4. Most of the growth in M&HCV sales different segments varied significantly during the year. The Government has enhanced its support development of infrastructure and growth in road travel. higher rural liquidity. is because the dynamics of the rural 21. despite a weak monsoon and a badly-affected participates as a significant player. came in the second half of the fiscal. in which your Company This growth.203 Tractors.7% this year to touch 4. MAHINDRA & MAHINDRA LIMITED Within the overall Automobile Industry. for the Agriculture Sector with increased levels of credit Interestingly. recent times.6% in Financial Year economy has undergone some fundamental changes in 2009. reported a healthy growth of 25. compared with 3.03. despite the Medium and Heavy commercial vehicle (M&HCV) segment poor monsoon. which comprises of 78% of very low base in the corresponding period of the previous personal vehicles. A5 and A6 segments grew in average of 36-68% indicating the rising Indian Tractor Industry income levels.

5T GVW segment CNBC TV 18 Overdrive Awards 2009 and (small commercial vehicles and pick-ups).29. 3 . strengthened its domination of the domestic UV sub.000 vehicles three important awards .533 44.56.03. During the year.726 2. • The Scorpio. as against a growth of 20.3% UVs 1.06. Bolero and Xylo continued to lead the Indian market.217 1. sold a total of 2. while its MPV of the year from ZigWheels Car and Bike subsidiary MNAL has a presence in the 3.0% over the previous year.3% 3 Wheelers 33.942 1. your Company.3% -0. the Bolero (‘‘MRPL’’).014 70. the Scorpio and Automotive Sector. Includes sales of subsidiaries.3% as for industry UV sales. UV of the Year from • In LCVs.1% (Source: SIAM Data).438 31. a state-of-the-art factory was inaugurated. selling more than 70. New vehicles were Automotive Sector . All other vehicles but one.7% 30.7% Light commercial vehicles 55.7% for the industry.3% over segment with a market share of nearly 30. increasing Mahindra's already dominant marketshare.2% -60.7% to 1.222 55.MUV of the Year from NDTV during the year. SIAM Data).0%.8% Notes: Data as per classification of Society of Indian Automobile Manufacturers.927 44. on the list of top Limited (‘‘MNAL’’) and Mahindra Renault Private Limited 10 selling vehicles were small cars.2% 54. As a result.332 -48.Leading the Industry launched. increasing its market share to 55. a growth of 30. M&M has a presence in < 3. market. 1 in the SUV/MPV category in TNS.50. your Company's overall LCV 41.423 5. • The Company's domestic UV sales volumes increased • In Financial Year 2010.2% 2 Wheelers N/A 3.058 units.Your Company's Performance imposed by a stagnant market and declining customer spend. along with Bolero was the 9th largest selling passenger vehicle in its Joint Venture subsidiaries Mahindra Navistar Automotives the country.849 1.008 N/A 2.5MT GVW Awards 2009. Your Company is the second largest player in the LCV segment. even Financial Year 2010 was an epochal year for your Company's as your Company's ever popular vehicles. • During the Financial Year 2010. segment.86. (Source: the previous year's market share of 47.058 -7.222.907 13.50. Spurred to rise above the challenges Bolero continued to show good growth in sales volumes: Growth M&M Domestic sales F-08 F-09 F-10 F-09 F-10 Passenger Vehicles 1. Further.217 units. a growth of 54. Scorpio won the Autobild Technology Award for its micro- • The Bolero occupied the numero uno slot for the fourth hybrid technology.713 vehicles in the domestic was ranked No.0% sales were 86. your Company further compared with a growth of 42.881 86.5-7. Two wheeler sales for F-09 are for the period January 2009-March 2009.799 1.3% 41. the Xylo won consecutive year.3% Cars 25.376 1. Mahindra broke new ground.19. Profit Car and Bike Awards 2009.

a decline of 60. was commissioned in December. Mahindra Vehicle Manufacturers Limited ("MVML"). France. Mahindra commenced features the world's first 2-cylinder 4-valve common partial operations at its brand new research and rail engine. MNAL accounts for more than 30% of BMT volumes. New products .s. is expected to have a full range of M&HCVs in the next • The Company also 3-4 years. Keeping customer launched. Gio to provide self-employment opportunities to rural 2009.2% for the A3-segment.a. with a 0. segment in the Bolero Maxi- 2010 to wide acclaim from media and customers. which now commercial launch is expected in the short term. which it hopes • In March.Mahindra Research Valley. the customer is king.332 in terms of performance units. a wholly owned subsidiary of your Company. Your Company is positive on the future of the Indian with car-like interiors Automotive Industry and is continuing with its expansion and an attractive price plans.Aspiring to reach greater heights compact truck. the first point. on the basis of which your Company the year. To meet increased customer requirements. By offering phase of a brand new manufacturing facility at Chakan. launched India's first New Infrastructure . is ramping up production to meet market demand. the Company expects the near Pune in Maharashtra.5T payload. the Logan sold 5. MRV at 33 .Inspiration on roads called the "Mighty At Mahindra. which led to focus in view. This state-of-the-art plant is owned and operated by and semi-urban youth. • Mahindra launched the Maxximo. which met with encouraging sales of the brand during response in the market.85T payload. Company to introduce micro- some of which were displayed hybrid technology in the LCV at the Auto Expo in January. • Mahindra Navistar Automotives Three new products were launched in the < 3. version of the Scorpio. superior to what was hitherto available in the • The Company recently announced a restructuring of its market.5T GVW Limited ("MNAL") (a subsidiary of segment. and their satisfaction is Muscular Scorpio" was the source of the Company's motivation. a technologically- advanced compact truck with a 0. The truck (BMT). the Automotive Sector launched new products more than 20% growth in in Financial Year 2010. Joint Venture with Renault s. attractive finance schemes. the Gio.3% over the previous year as and features that is much compared to a growth of 14. your Company) is developing products to address the full range • Mahindra was the first of the commercial vehicle market. It In another path breaking initiative. MAHINDRA & MAHINDRA LIMITED • In the passenger car segment. The Maxximo offers a price-value proposition development facility . 2009 a refreshed will augment sales.

'Mahindra Tractors' is an iconic brand and enjoys a Overseas operations .9% increase.9% export sales growing nearly 24% to 10.202 1.66.13. the Company.533 6. 34 .567 units as Exports 8. It will also manufacture Company.269 1.A revolutionary 15 HP Tractor for the build its brand in small and marginal farmer. your Company sold 1.509 1.The route to the numero uno few years and will create a world class R&D infrastructure position for product development.Chennai. the 1st Tractor Company in the country to achieve this distinction.Inspired by India Company's heritage and • Yuvraj 215 . your • 843 XM .66.560 • This resulted in the market share going up to 41.042 1. 2.75.8% operations recovered in the second half of last year with Domestic 90. a 46. overseas markets.4% 6.Expanding frontiers strong following in the India rural heartland. In the Global markets. The Financial year ended 31st March.000 Logan Tractors Limited with cars in overseas markets through MRPL. while the overall economic conditions M&M Domestic sales F-08 F-09 F-10 F-09 F-10 have improved from the nadir of Financial Year 2009. fulfilling a long cherished dream. Your Company's range of new generation UVs as well as Company became the world's largest tractor commercial application vehicles. of the erstwhile Punjab In addition to the above.837 -18.2% 46. they still remain challenging.4% 45. your Company sold 1.501 units in the previous year. 2010 The Chakan Plant has the capability to manufacture the was a landmark year for the business. The product has brand after the merger received good response in targeted markets. launched in Gujarat.933 8.269 tractors sold in the previous year.128 from 40.373 • The above volumes included the sale of more than 1. tractors sold.5% compared to 8.359 tractors Automotive Sector: Overseas volumes under its Mahindra and Swaraj brands as against 1.20. testing and validation.13.007 the Indian Tractor Market. • In this period. The Company's overseas automotive Tractors 99.8% 27.8% last year and marked the completion of 27 years of leadership of the Farm Equipment Sector in 3.359 25. Mahindra under the Swaraj Thar.00.000 Mahindra branded tractors in the domestic H1F09 H1F10 H2F09 H2F10 tractor market in a single financial year.The first Company launched a Tractor to be launched new product. To build on the New Products . in terms of the number of Commercial Vehicles for MNAL. 7. The facility will be expanded further over the next Farm Equipment Sector .196 21.

the inauguration of the Joint Venture Company Beyond Agriculture . thus expanding your Company's leading tractor maker for close to three decades now.011 engines in this financial year. fuelled by increased Government subsidies focussed on United States agricultural mechanisation. Mahindra Powerol sold 48.933 tractors exported last year. which impacted the sale of tractors by Mahindra USA. Inc. the tractor industry continued to face the country. • China is the second largest tractor market in the world International launches with a rapidly growing Chinese market. These products have been very well received in that • In the US. the product portfolio range up to 125HP. as against 52. the increase in domestic volumes in the first year of first from a tractor that is 'Made in India'.000 tractors. Upgraded versions outperforming exports registered by the Indian tractor launched. • Exports grew 27.5% at 36. another first from an in China together account for the sale of around Indian Tractor Company.350 engines in the last year. Company has diversified in other Overseas Operations . as compared to 6. space. 35 . MAHINDRA & MAHINDRA LIMITED • Arjun. brunt of the economic down turn.Global Reach spheres such as power generators. for the customer.394 tractors. Having been the of the 125HP tractor. MYYTCL has been • Launch of the first hi-tech Integrated Cabin Tractor successfully operationalised and has delivered 32% with both air-conditioning and heating in the US. 2009 was accompanied by the launch Mahindra is a Company on the move. The two Joint Ventures of your Company • The Compact series of Tractors. Sarpanch.837 tractors Bhoomiputra range . China In China. 30.5% this year to touch 8. was launched nation-wide. Mahindra Yeuda (Yancheng) Tractor Company Limited Powerol ("MYYTCL") in April. with nearly 42% market share.Mahindra viz. operations. Mahindra Powerol has made a foray in the new area of Tele Infra Mahindra Powerol is the largest manufacturer of gensets in the country and has retained its leadership position in the Powergen space for telecom. • Mahindra Tractors exported tractors to more than 35 A leading player in the powergen countries across the world. enhancing value industry which de-grew 6.New growth engines .

The Sector is relentlessly periods. With sales However. this product is poised to on public transportation may discourage use of automobiles take Mahindra into every home. It also tested an engine over the next several years. 2010-2011 showing an increase in agri credit outlay 36 .Management ("TIM"). the Sector is pursuing the path of Total Productive Maintenance ("TPM") under the • The improvement in rural liquidity and increase in guidance of Japan Institute of Plant Maintenance.000 numbers this year. pursuing its goal of business excellence and is taking this • Food security and rural development remain high on culture across to other businesses in your Company as the Government agenda. of automotive companies in the country. per 1.000 sites for its services. The Indian Government's Automotive DG at the lower end. security and surveillance while ensuring world The current low level of vehicle ownership in India is 14 per class uptime levels. MNAL is such as the Deming Prize and the Japan Quality Medal set to launch a range of medium and heavy commercial has inspired it to continue on the exalted path. The Farm vehicles over the next few years.Inspiring success The increased investments in infrastructure and the Strict adherence to quality is the abiding culture at consequent growth in industrial activity will lead to increased Mahindra Tractors.000 which implies a huge opportunity for growth of the Automobile Industry. . goods movement. India's Automotive Sector is Mahindra Powerol has notched impressive growth in the expected to be one of the fastest growing in the world retail space in Financial Year 2010. across its businesses and activities. Perhaps the most significant product Mission Plan 2016 (AMP 2016) envisages a doubling of introduction for the retail segment from the Mahindra Automotive Industry's share of the Indian economy by 2016. The Company's subsidiary. the Company faces for rice mill application. with the Union Budget for well. which was successfully introduced increasing competition from the presence of a large number in the market. stricter emission norms and an increased focus of over 7. However. Powerol stable has been the digital home UPS. This will ensure the Equipment Sector ("FES") has continued on the Total Quality Company's participation in this large and important segment Management ("TQM") path with its own Assessment Model of the Indian Automotive Industry.the Mahindra Excellence Model. To further strengthen The Farm Equipment Sector its manufacturing capability. The non-agri component of rural incomes is a strong rich TQM experience of FES is now being horizontally positive since demand will have lesser sensitivity to a deployed in the Swaraj Division to accelerate the single deficient monsoon as compared to earlier implementation of best practices.000 people as compared with the world average of 120 more than 7. resulting in a growing demand for Winning the most coveted International Quality accolades commercial vehicles. This is a business where your Company Opportunities and threats will manage telecom towers by providing the entire range The Automotive Sector of services required. preventive maintenance. The Quality Way . as a means of personal transport. The business has already contracted 1. including diesel filling. Mahindra Powerol has expanded its genset product range The Automobile Industry is also a key contributor in to 320 kVA at the higher end and introduced a new 5kVA economic growth.

ownership for vehicles and tractors. Your Company's strategy to make Stringent regulatory norms are being introduced to use of low cost manufacturing and sourcing bases in India safeguard the environment. of customers who had no affordable option thus Increased competition will lead to more frequent product far. your Company expects growth of UVs and the large car segment. indicates that there is Risks and Concerns significant growth potential for agricultural mechanisation in the country. Fuel prices and alternate fuels Perhaps the biggest opportunity will emerge as the FES gears up to bring about Farm Tech Prosperity. the business to resume its growth path. be one of the fastest growing markets in the world. Your Company is well The Automotive Sector poised to leverage this opportunity. especially in the area of and abroad will enhance its cost competitiveness. coupled with create its own pathways on its continued journey to success significantly low levels of mechanisation in Indian farms and excellence. This. with the US market car purchases or buy a small car. The Company may Competition face increased competition from other tractor Given that the Indian Automobile Industry is expected to manufacturers. all of this as an opportunity and a challenge. fuelled by huge Government for small cars. emissions. your Company is well poised In India. Many of these measures are likely to result in an increase in costs which cannot always be passed on to Having achieved Global Leadership. the 2 Joint Ventures in China. many • Amongst your Company's newly launched products.3. one of the fastest cars and larger vehicles. The Fuel prices are an important element of the overall cost of possibilities are endless in this area. your Company will customers through price increases in a highly competitive continue to focus on expanding international volumes. compared to the global average. global players are significantly expanding their presence in the Yuvraj 215 has the potential to grow significant India. interest subvention on Your Company has the will to achieve and go where no crop loans and various initiatives for rural development other has gone before. launches in all industry segments and raise customer Your Company will use every opportunity to leverage synergy expectations in terms of performance. which could impact the slowly emerging out of a recession. there is a large differential in taxes levied on small to participate in the growth in China. develop cutting edge technologies and introduce a Regulations continuous pipeline of product upgradations and new product introductions. leading to higher costs. Similarly. There is a concern that this will result in an ever volumes in the upcoming period by creating an increasing level of competition and intense pressure on the entirely new category and catering to a large group profit margins of all participants. With market environment. Almost all of the 37 .75 lakh crores. MAHINDRA & MAHINDRA LIMITED by 15% to Rs. Your Company views companies to create and improve channel efficiencies. to travel the road less travelled and also have enhanced outlays. quality and both within the Sector as well as with other Mahindra technology. many customers may opt to postpone large subsidies for mechanisation. With the resulting lower price tag growing tractor markets.

your Company is taking great care in building new products around the customers' S y s t e m ("BRTS"). However. several strategic tie-ups with multiple this risk. Availability of credit and affordable interest rates are There is also a growing customer trend. such as Bus Rapid Transit To mitigate the associated risks. etc. as well as hybrid powertrains. Diesel is priced Also. is taking appropriate bio-diesel tractors and Gensets. which are a key thrust area for the prototypes of a hybrid Scorpio and hydrogen powered three- Company. given the aspirations of Indian consumers. However. M&M. LPG and Any adverse change in these factors would impact electric batteries. as well as promotion important facilitators for automobile and tractor sales. While the thrust by the Government on development of New projects urban infrastructure would lead to overall economic development and improve living standards.Company's UV models are diesel powered. Sectors. thus limiting the impact Alternate modes of transportation of risk. UVs and will be disadvantageous to the Financial market conditions Company. growing urbanisation and vehicle population is leading lower than petrol. the Company has developed products powered by banks and financing companies alleviates this concern to alternate energy such as CNG and electricity to provide some extent. it is also likely To maintain and extend its competitive advantage. transport for Success of the new product launches and attaining optimal d a i l y and planned capacity utilisation of the new facility would commuting have an important bearing on the future profitability. needs and plans to bring in the incremental capacity from Metrorail. To mitigate demand. for vehicles powered by CNG. monorails. 38 . it may the demand for petrol UVs not have a significant impact on the demand for personal at the expense of diesel vehicles. lower polluting products. congestion and shortage of parking reduction in the price spaces in cities. The Company has also developed For overseas operations. by the Government. rupee appreciation could be a risk for both the wheeler as well as a bio-diesel powered Scorpio and Bolero. the to provide Company has created significant new capacity at its new alternate manufacturing plant at Chakan and is simultaneously investing modes of in an aggressive new product development programme. Any to growing pollution. These trends would likely discourage the differential between petrol use of automobiles as a means of personal transport. steps to hedge currency exposure. as a practice. and diesel may increase though. this new plant in phases.

MAHINDRA & MAHINDRA LIMITED

Farm Equipment Sector Strategy

Competition Automotive Sector: Expanding the addressable market

The Indian domestic tractor market, the world's largest, has Your Company is investing significant resources in developing
seen a round of consolidation in the last few years, which its capacity and capabilities to grow its participation as a
includes the coming together of TAFE and Eicher and the full range player in the Indian automobile industry.
acquisition of Punjab Tractors Limited by your Company. • Entry into new segments - In addition to sports utility
Having recorded a significant growth of over 30% in this vehicles, pick-up trucks, light commercial vehicles and
financial year, the market is expected to see more three-wheelers, your Company has recently entered into
competition among the existing domestic and international the Multi Purpose Vehicle segment (through the Xylo),
players. the mini-truck segment (through the Maxximo) and

Increased competition will lead to more frequent product the compact-truck segment (through the Gio). The

launches in all industry segments and raise customer Company, through its subsidiary MNAL, will enter into

expectations in terms of performance, quality and the medium and heavy commercial vehicle segment in

technology, leading to higher costs. Your Company views the near term as well. This will not only provide the

all of this as an opportunity and a challenge. Company with a much larger addressable market but
will also provide multiple avenues for growth and de-
Regulations and alternative fuels risk the business from dependence on a single segment.

Stringent regulatory norms are being introduced to • New products - The Company is refreshing and growing
safeguard the environment, especially in the areas of its product portfolio to grow its sales volumes and
emissions. Your Company is ahead of the curve, in terms of defend its market position. As part of the Company's
technology readiness, to meet the changes in norms. In aggressive product plan, it is planned to launch a
addition, in the area of alternative fuels, your Company's number of new products and multiple variants in the
products both in tractors and gensets are compatible with next three years. This includes a new global Sports
bio-fuels, ensuring the customer can use such fuels, Utility Vehicle platform to be launched in the near
whenever their commercial availability improves. future.

Raw Materials • Technology upgradation and R&D - The Company is
investing in upgrading the technology and quality of
After a year of decline in raw material prices, Financial Year
its products. An important initiative in this area is the
2011 is expected to see a firming of prices in the
new research facility being set up at Mahindra Research
international market. While this is an area of concern and
Valley (MRV) in Chennai, which will provide world-
will put pressure on margins, your Company will continue
class R&D infrastructure. Further, the impending launch
to focus on cost re-engineering to minimise the impact of
of the Company's products in the US, the most
this development.
advanced automobile market, will help the Company
keep abreast of technological trends. The Company
plans to harness its frugal engineering capabilities to

3

achieve its technology and new product development Yuvraj 215 has received the Golden Peacock Award, 2010
objectives at a globally competitive cost. in the Innovative Product/Services category, which has
recognised the game changing nature of Yuvraj 215.
• Overseas markets and partnerships - The Company
plans to increase its focus on developing overseas
HP tractor at an unbeatable price for small and marginal
markets through new products and brand building.
farmers - your Company's contribution towards inclusive
During Financial Year 2011, the Company plans to
growth in the country. This technological marvel meets the
enter the US market with a pick-up. The Company
needs of over 80% of India's farming populace, whose
also continues to actively search for overseas partners
land holding is less than 5 acres, and for whom a Rs.2.5
to supplement and strengthen its domestic market in
lakhs tractor is simply unaffordable.
both the Sectors.
Mahindra Applitrac
Farm Equipment Sector: Aspiring for Farm Tech Prosperity
Research suggests that increasing rural affluence, multiple
Going beyond just being a tractor company, FES aspires to
sources of income in rural India and the success of social
make a difference in the lives of farmers by delivering Farm
Tech Prosperity, both in the Indian context, as well as on a
global scale, in the immediate and distant future.

The Company's customers - the source of inspiration

At Mahindra, the Company undertakes research to identify
the needs of both its existing and potential customers in
order to fulfil their aspirations. These findings inspire the
Company to follow the road less travelled. In the past year,
FES took many steps along the road, to improve the lives
of its customers.
programmes like NREGS are combining to make farm labour
Yuvraj 215 scarce and expensive. Also, the productivity levels are very
low on Indian farms, far lower than the global average.
There is wealth at the bottom of the pyramid. Research
This is the inspiration for the AppliTrac brand, which offers
showed that the lower income farmer is still forced to rely
the Indian farmer, complete mechanisation solutions for a
on manual labour and
range of crops, helping him deal with labour shortage and
bullocks to till his land.
also enhance productivity.
With this insight, your
Company took upon Mahindra Samriddhi
itself the challenge of
Farmer prosperity is the inspiration that has motivated FES
creating a suitable
to intensify Mahindra Samriddhi, which is focused on
solution at a suitable
increasing crop productivity. This initiative includes soil and
price. FES launched
water testing labs, productivity demo farms, agri-clinics and
the Yuvraj 215, a 15
counselling centres. It brings the best of agricultural know-

4

MAHINDRA & MAHINDRA LIMITED

how within reach of the farmer and helps him increase Going forward, the success of the Group will depend on
farm productivity. individuals and teams that are able to create value for the
organisation. The levers of organisation structure and design,
In the Financial Year ended 31st March, 2010, 75 Samriddhi
reward and recognition, talent acquisition, communication
centres were operational across the country. Samriddhi is and performance management system are important and
motivated by your Company's desire to help millions of
are aligned. Leadership development, succession planning
farmers across the country get more out of soil, ensuring and employee engagement demanded extra focus this year,
that there is and will be enough food to feed India's growing
given the prevalent economic situation.
population.
To showcase HR practices in various businesses and
Outlook
encourage best practice sharing, the HR Best Practice Award
was instituted.
In the long term, the Indian economy is projected to grow
rapidly and demand conditions are expected to remain
The Talent Management process of the Group gave impetus
strong. However, in the near term, there are challenges in
to leadership development programmes with a focus on
terms of higher commodity prices, rising inflation and
creating synergy between Satyam Computer Services Limited,
appreciation of the rupee which will have a bearing on
Tech Mahindra Limited and the other businesses of the
demand and profitability.
Group. Continuing with leadership development
Both the Automotive and Farm Equipment Sectors with programmes, this year a partnership was forged with the

their updated product portfolios and their exploration of Centre for Creative Leadership, USA in line with the said
global horizons, will strive to maintain their leadership purpose.

position in their respective markets. Simultaneously, your
A cross-functional team of more than 150 HR,
Company will continue its focus on achieving cost leadership
business and IT professionals worked together for
through focused cost optimisation, value engineering,
harnessing the power of IT through Parivartan -
improved efficiency measures like supply chain management,
Project Harmony, whose basic objective is to create a One
countrywide connectivity of all its suppliers and dealers and
Mahindra experience by synergising and creating best
exploiting synergies between its Sectors.
practices in 24 HR processes across the Group. 17,000
Material Developments in Human Resources/ Officers across 29 Group companies spread over 156
Industrial Relations for Automotive and Farm locations experienced this power when the system went
Equipment Sectors live.

This year, HR in the Mahindra Group continued on its Your Company continued with its initiative of employer
strategic purpose of focusing on the HR Triple Bottom-line branding through “The War Room”, event which sees
by creating a culture of sustained business out performance, participation from the country's leading Business Schools.
extreme care for all stakeholders, starting with customers The impact of this initiative was significant and there was a
and employees, and strengthening the core values of the marked increase in the number of participating teams this
Group. year.

4

48% 3. Professionally qualified.31 crores (previous year Rs. Overview However. technical and financial Particulars 31st March. This information appears along with the consolidated accounts. The Company uses an research facility in Chennai.Industrial Relations remained cordial and harmonious during Discussion on Financial Performance with respect the year for both the Sectors.46% Finished goods as a % of gross sales 2. Team Effectiveness. the loss in production was compensated and the Company did not suffer any major loss. The Inventories: Chief Internal Auditor reports directly to the Chairman of the Board. This included the purchase of Enterprise Resource Planning ("ERP") package. Workmen at all locations are involved in driving improvement activities.855. Capacity Enhancement and respects and of providing protection against significant Research & Development including on the Company's misuse or loss of Company assets. of topics e. personal. apart from a brief illegal to Operational Performance tool-down strike by workers at the Nashik Automotive Plant. The Group's consolidated financial statements have been Creativity.31% 4 .170. 31st March. out components as a % of consumption 4. the Company incurred capital expenditure The Company maintains adequate internal control systems. among other things.355. of Rs. Financial Information Fixed Assets: The permanent employee strength of the Company as on 31st March. The Consolidation of Accounts and presented in a separate workmen wholeheartedly participated in all training section.23% 4.62 crores as at 31st March. 2009.35 crores). Safety and Environment.49 crores as Internal Control Systems compared to Rs.g. Various training The financial statements have been prepared in programmes were organised at all Plants for developing compliance with the requirements of the Companies Act. interpersonal and technical skills of the Company's 1956 and Generally Accepted Accounting Principles workmen. The Company year Rs. The which provide. During the year. Dexterity and Technical training.12 crores). reasonable assurance major items of capital expenditure were on New Product of recording the transactions of its operations in all material Development like the Maximmo. personnel of the internal audit function conduct periodic 2010 2009 audits to ensure that the Company's internal control systems Raw materials and bought are adequate and are complied with.28 crores (previous enhances the internal control mechanism. 2010 the Gross Block of Fixed Assets and Capital Work in Progress was Rs. The Company has provided segment reporting on programmes and in many cases on a holiday or after a consolidated basis as per standard AS 17 on segment working hours. Stress Management. 2010 was 14. reporting.540. which Intangible assets aggregating Rs.5. Positive Attitude. has a strong and independent internal audit function.225.6. As at 31st March. prepared in compliance with the standard AS 21 on Quality Tools.240. TPM. These training programs covered a wide range ("GAAP") in India.946.

2.052.199.35 12.268.09% for the previous continued focus on supply chain management and better year.79 Net Sales & Income from Operations 18.619.00 42.34 crores due to lower dividend income from growth in domestic UV volumes by 39%.61 14. 43 .41 108. The tractor business growth was fuelled by a strong increase in sales in both the domestic and export The net sales and income from operations of the markets.62 3.880. as a The decrease is primarily on account of the conversion of percentage of gross sales and income from operations the Fully and Compulsorily Convertible Debentures into debtors are lower at 6. 2010.1.17% for the year ended Equity Shares and the repayment of secured Foreign Currency Loans from Banks.2009 Inc.63 Less : Excise Duty on Sales 1.713.4.01 9.86 Gross Sales & Income from Operations 20.270. Sundry Debtors: Sundry debtors amount to Rs.258.34 2.35 crores in the Company's tractor business./(Dec.06 (26.64 14.396.76 crores in st Rs.03 112.1. While in absolute the previous year to Rs.) Amount % Amount % % Gross Sales 19.602.794.97 38.99 Income from Operations 564.12 109.37 10.37 38. The Company has been able to achieve this planning and control.64 1.06 3. as compared with The loans funds have decreased from Rs.093. 2010 as compared to 7. terms the debtors have gone up.40 26.08 crores as Loan Funds: at 31 st March.832.06 106. 2009.03 444.00 13.043.68 100. RESULTS OF OPERATIONS Income: (Rs. crores) Particulars Finanical Year . This growth in the fell by 26% as compared to the previous year amount of Automotive Sector was driven by the robust Rs.65 crores as at 31 March.2010 Finanical Year .15 crores in the current year. Company grew by 42% over the previous year on a growth of 44% in the automotive business and 40% Other income during Financial Year 2010 at Rs.26) Net Sales.35 1.07 270. improvement in its debtor's level due to its proactive emphasis on collections. increased exports subsidiaries and lower profit from the sale of investments and the launch of the GIO and the Maximmo in the current in the current year.07 Other Income 199. MAHINDRA & MAHINDRA LIMITED The reduction in inventory levels is due to the Company's 31st March. Income from Operations and Other Income: year.11 100.

21 13.97 Interest.48 11.92 66. advertisement.28 Total Expenditure 16. Thus.82 94.99 291./(Dec.26% as compared to 94.291.15 45.00 24.98 Personnel expenses 1. power and fuel.115.47 6. For the year ended 31st March.26 0. officers' annual Rs. Other expenses as a percentage of net sales and operating material cost shows a decrease over the previous year.Expenditure: (Rs.51 crores in the increments and impact of wage agreements signed during previous year due to the full impact in the current year of the year.337.045.47 crores from Rs. However.024.1. as a percentage of net sales. and marketing related expenses on incentives.61 7.024.61 crores in the previous year.23 30.1.35 (38. commitment and finance charges 27.370.198. This is mainly The depreciation for the year ended 31st March.) Amount % to Net Sales Amount % to Net Sales % and Income and Income from from Operations Operations Raw materials. Also the current year had the impact of full year capitalisation of Xylo related fixed assets and intangibles and charge of the erstwhile Punjab Tractors Limited in the books due to fresh capitalisation of projects in the current year.19 Other expenses 2. warranty of the Company.44 1.23% in the previous year.274.83 16. 2010 is at due to increase in flexible manpower.30 9.198. This income shows a decrease over the previous year due to the is mainly due to the full benefit of the decrease in increased income in the current year.83 32.78 crores as compared to Rs. Finished and Semi-finished Products 12.46 86. 2010 material cost has increased by 33% which is much lower than increase in net Other Expenses: sales and income from operations due to increased volumes in the current year. the expenses in absolute terms are accruing to the current year and the cost reduction initiatives higher due to increases in freight. etc.23 70.78 1. sales promotion.81 0. crores) Particulars Financial Year 2010 Financial Year 2009 Inc. because of commodity prices in the second half of Financial Year 2009 the increase in volumes.51 2. 44 .37 1. Material Cost: of the Company as compared to an eight month charge in the previous year.702.332.05 The total expenditure during the year as a percentage of Net sales/Income from Operations is 86.26 12.23 27. Personnel Cost: Depreciation: Personnel cost has increased by 17% to Rs.56) Depreciation/Amortisation 370.

registering an increase of 62.37 crores in the previous year. while in the previous year the Group Profit for the year after exceptional items. by virtue of exercise of options granted to AT&T.405.264.134. The lower at Rs. The provision for current tax.2.71% to Rs.1. the current year is Rs.27 India Limited.01%. there was an exceptional gain of Rs. prior period exceptional income was on account of surplus on transfer adjustments and tax and after deducting minority interests of the Company's Logistics business to its wholly owned is Rs.18% over (net of interest income Rs.56 Exceptional Items: crores mainly arising from the sale of shares through an The profit from Exceptional items during the year ended Initial Public Offering of Mahindra Holidays and Resorts st 31 March.42 crores during Financial Year 2010 as Group's net turnover grew by 17. Provision for taxation: During the year.41 crores earned subsidiary.81 crores (net of interest Year 2009. The consolidated Initial Public Offering.33.014. fringe benefit tax and deferred the shareholding of the Company alongwith Mahindra-BT tax for the year ended 31st March.28. 2010 of Rs.10 crores as 6. registered a and profits of the Group. resulting in Tech Mahindra Limited of the incremental profits during the year being subjected alongwith its subsidiary companies ceasing to be subsidiaries of to tax at the maximum marginal rate of 33. The profit before exceptional items and tax for income Rs.26 crores Rs.90. Tech Mahindra Limited is a Joint Venture of Group the Company.779. This is due to the higher earnings from surplus funds its segments has registered an improvement.12 crores) in the previous the previous year. 2010.73 crores as compared to 2010 is lower than the interest expense of Rs. last year. Accordingly as Consolidated Financial Position of the M&M on 31st March. The profit in the current year is on the Company's holdings in group companies such as account of profit on sale of shares of Mahindra Holidays & Mahindra Forgings Limited.129. 2010 is Rs. While the Group's performance across all year.10.700.919. 45 .687. Tech Mahindra Limited and Resorts India Limited offered as a part of that company's Mahindra Holidays & Resorts India Limited.81 crores in Financial The interest expense of Rs. the Group's IT arm. the Company with effect from 22nd March. after share of minority interest.991.an increase of Consolidated Mahindra Group is Rs.75 crores as against Rs.86 crores in Financial Year 2009 .77 crores as against st The Gross turnover for the year ended 31 March.19%. a growth of 76.99%.330. gains on account of deemed divestitures of crores in the last year.31. 2010 as a percentage to Investment Company (Mauritius) Limited in Tech Mahindra Limited profit before tax is higher than the previous year.700. The current year has witnessed a strong sales performance which has translated to healthy growth in both. 5 Joint Ventures and 10 Associates.2. on account stands reduced to 44. During the year. the Systech and interest on IT refund received during the current year segment faced challenges on account of the situation partially offset by increased expense on account of increased prevailing in the European countries which are yet to return fixed deposits and a longer period impact of fully and to normalcy post the global meltdown of 2009 which compulsorily convertible debentures in the current year. revenues Tech Mahindra Limited.3.4.51 crores. As on 31st March.26. total income (Consolidated) of Rs. 2010 the Group comprised of 90 Subsidiaries.4. 2010. was against Rs.790.99 crores for the previous year. Its Net Profit.56 crores as against Rs.27.04 crores) for the year ended 31st March.45.97 crores against Rs.1.426.36%. severely impacted the auto-components industry world over. MAHINDRA & MAHINDRA LIMITED Interest (Net): in the current year from Rs.478.

126. Financial Services 524. Important factors that could make a difference to the Company's operations include raw material availability and prices. Mahindra & Mahindra from Rs.71 financing of utility vehicles.60 crores during the current year income (Consolidated) grew by 17.45 crores in the last year.06 crores in Financial profit after tax for Financial Year 2010 grew by 61.08) 23.21 333.82 Financial Services Limited (Consolidated).The Group's Finance company.12 as compared to Rs.026. 46 .85 3. Actual results could differ from those expressed or implied.66 667. IT Services 1.825 numbers to 1. With a crores to Rs. Systech (108. Others (108. Automotive 1.93% over the previous year.1. Hospitality 158. changes in Government regulations.36 1.70 crores in the previous year to Rs.64 94.355.96% Year 2010. tax regimes. during the year put in place various initiatives towards improving cashflows. continued to grow towards dominance in reducing interest costs through broad basing the borrowing the Holiday Segment with membership growing by 18.09.595.91 4. Infrastructure 121. Steel Trading & Processing 82.00 6. The profit after tax for the year network of 459 offices it is one of the leading NBFCs in registered an increase of 46.80 5.66 7. under review. Segment Results (before exceptional item): The results achieved by major business segments of the Group are given below: (Rupees Crores) Segments Financial Year 2010 Financial Year 2009 1. 442. witnessed a crores in the current year. it reported a from 92.260.1. revenue growth of 13.71) Disclaimer Certain statements in the Management Discussion and Analysis describing the Company's objectives.86% increasing from Rs. Having Mahindra Holidays & Resorts India Limited. expectations or predictions may be "forward-looking statements" within the meaning of applicable securities laws and regulations.72 2.406.01 93.117. The total total income of Rs. projections. Its consolidated crores in Financial Year 2009 to Rs. tractors and cars. estimates.38% profile and establishing banking relationships.08) (46. 521.28 8.884 numbers.28 crores.86 9.219.64 257.72 80. economic developments within India and the countries in which the Company conducts business and other incidental factors. Farm Equipment 1.90% from Rs.79. cyclical demand and pricing in the Company's principal markets.400.

MAHINDRA & MAHINDRA LIMITED 47 .

48 .

banking. The Company. its Promoters. Executive Director of the dealings and places high emphasis on business ethics. Kulkarni. 1956 Centre for Corporate Governance and Sustainability’. oversees the actions and results of management to ensure The Senior Management have made disclosures to the that the long term objectives of enhancing stakeholders’ Board confirming that there are no material.. A. Board of Directors Subsidiaries and Associates which in their judgment would The composition of the Board is in conformity with Clause affect their independence. Non-Executive Directors. in which Mr. MAHINDRA & MAHINDRA LIMITED Corporate Governance Your Company is committed to transparency in all its Company. that good governance goes beyond good working results though Professional Directors in their individual capacities. finance. The Non–Executive Chairman of the Company is a Promoter and the number of Non-Executive Independent Professional fees for the year to Khaitan & Co. The Board reviews and approves strategy and Director is a partner amounts to Rs. or commercial transactions between them and the The Vice-Chairman & Managing Director alongwith Company which could have potential conflict of interest Executive Directors are Whole-time Directors of your with the Company at large. Directors (including the Nominee Director) and one Non- Your Company practices a culture that is built on core Independent Non-Executive Director possess the requisite values and ethics. goals are met with integrity. Board of India and incorporated in the Listing Agreement none of these Directors has any other material pecuniary is given below. with effect from 1st April. as Non-Executive Directors and the remuneration that a A Report on compliance with the Code of Corporate Director may receive for professional services rendered to Governance as prescribed by the Securities and Exchange the Company through a firm in which he is a partner. its Senior Management or its I. Nanda. This has been fields which enable them to contribute effectively to the possible through sustained efforts and commitment to the Company in their capacity as Directors of the Company. insurance and other allied Value Creation for the fourth year in a row. 2010 and has been critical for enhancing and retaining investor trust and appointed as a Non-Executive Director on the Board of your Company always seeks to ensure that its performance Directors of the Company. K. time. Mr.77 lakhs. as amended from time to Company are inter-se related to each other. None of the Directors of the 49 of the Listing Agreement. R. its Directors. 2010. highest standards of corporate conduct. Advocates Directors is more than one-half of the total number of & Solicitors. 4 . and financial propriety and is a pre-requisite to attainment belong to the Company’s promoter group. the remuneration that these Award from the ‘Indian Merchants Chamber and the Asian Directors would be entitled under the Companies Act. financial and/ value are met. Your Company Apart from reimbursement of expenses incurred in the has also received the “Best Governed Company 2009” discharge of their duties. has resigned with effect from the close of Company believes that sound Corporate Governance is working hours on 31 st March.112. During the year ‘CRISIL’ has re-affirmed qualifications and experience in general corporate the highest level rating “GVC Level 1” for Governance and management. The Company is of the view The Chairman and the Vice-Chairman & Managing Director. K. relationships or transactions with the Company. The remaining of excellent performance in terms of stakeholder value Non-Executive Directors comprising of eight Independent creation.

$ Excludes Alternate Directorships but includes Additional Directorships and Directorship in Mahindra & Mahindra Limited. 13 (Vice-Chairman & Managing Director) Mr. + Committees considered are Audit Committee and Shareholders/Investors Grievance Committee.A. 5 . K. B. N. 5 EXECUTIVE Mr. None of the Directors on the Board is a Member Currently. Mahindra Promoter 1 . Parekh Independent 7 5 12 Mr. 2010. M. Chairmanships and Directorships of public companies* as on 31st March. Keshub Mahindra Promoter 1 1 6 (Chairman) Mr. He has been appointed as an Additional Director on the Board of Directors of the Company. Nanda# Non-Independent 8 4 15 Mr. 2010. 1956 and government bodies. Arun Kanti Dasgupta Independent 2 . A. * Excludes private limited companies. S. Narayanan Vaghul Independent 2 1 5 Dr. foreign companies. across all the companies in which he is a Director: Directors Category Total Number of Committee Memberships. A. Anand G. Godrej Independent 3 1 14 Mr. Ganguly Independent 2 1 5 Mr. K. Bharat Doshi Non-Independent 4 3 10 (Executive Director) # Resigned as the Executive Director and also as a Director of the Company with effect from the close of working hours on 31st March. the Board comprises of twelve Directors. Kulkarni Independent 7 3 8 Mr. R. The names on more than 10 Committees and Chairman of more than 5 and categories of Directors. Composition of the Board given below. the number of Directorships and Committees (as specified in Clause 49 of the Listing Committee positions held by them in the companies are Agreement). 2010 Committee Committee Directorships $ Memberships+ Chairmanships+ NON-EXECUTIVE Mr. 5 Mr. Deepak S. companies registered under section 25 of the Companies Act. M. Murugappan Independent 5 4 8 Mr. Anupam Puri Independent 2 . including that of Mahindra & Mahindra Limited. with effect from 1st April.

Murugappan 5+ Yes Mr. investment and Board Meetings were held on the following dates – 9th exposure limits. The Sixty-third Annual unlisted subsidiary companies. A detailed functional Directors at Meetings of the Board and at the Report is also placed at Board Meetings. transactions pertaining to The attendance of the Directors at these Meetings is as purchase/disposal of property(ies). companies. Parekh 4 Yes Mr. corporate restructuring. including the Company Secretary and discharge its responsibilities effectively. Ganguly 6 Yes Mr. Mahindra 6 Yes Mr. Nanda 6 Yes Mr. adoption of quarterly/half-yearly/annual results. K. 25th January. MAHINDRA & MAHINDRA LIMITED B. 5 . & Managing Director apprises the Board at every Meeting of the overall performance of the Company. Keshub Mahindra and Mr. 2009. 28th May. Number of Board Meetings. Mr. Anand G. Six operating and capital expenditure budgets. M. Attendance of the presentations by the Sector Presidents. N. significant labour issues. 2009. Murugappan participated in one Board Meeting through teleconference. 2009. followed by C. Minutes of Meetings of the Audit and other Committees of the A detailed Agenda folder is sent to each Director in advance Board and information on recruitment of Officers just below of Board and Committee Meetings. R. 29th October. A. 2010. significant transactions and General Meeting (AGM) of the Company was held on 30th arrangements entered into by the unlisted subsidiary July. as well as steps taken by the Company to 2009. Keshub Mahindra 5+ Yes Mr. The Board also Annual General Meeting inter alia reviews strategy and business plans. Deepak S. B. S. Godrej 6 Yes Mr. annual During the year 1st April. review of major legal between two Meetings did not exceed four months. 2010 and 30th March. compliance reports of all laws applicable April. Arun Kanti Dasgupta 4 Yes + In addition to five Board Meetings. 30th July. minutes of the Board Meetings of your Company’s Meetings were well attended. M. Board Procedure provisions and write-offs. 2010. 2009. M. The gap rectify instances of non-compliances. to the Company. A. Anupam Puri 5 Yes Mr. Bharat Doshi 6 Yes Mr. K. M. Narayanan Vaghul 6 Yes Dr. Kulkarni 6 Yes Mr. major accounting under: Directors Number of Board Attendance at the Meetings Attended AGM Mr. To enable the Board to the Board level. the Vice-Chairman Compliance Officer. These issues. No sitting fees were paid for participation through teleconference. 2009 to 31st March.

Governance issues. Mahindra is associated with several Committees. Dr. he became the Chairman in 1963. 2009 ACMA Lifetime Achievement Award Mahindra Holdings Limited and Director of Bombay Burmah and very recently 2009 Economic Times Lifetime Trading Corporation Limited. After joining the Company as a Director for Excellence & Lifetime Achievement. Achievement Award presented by the Institute of Chartered Mr.University of Mr. President the close of working hours on 31st March. Company and put forth their views and recommend their New Delhi.. 2007 Indian Business School (IBS) Kolkata Lifetime sector. an informal and flexible manner to enable the Independent Mr. Mr. Deputy suggestions to the Board. and Mr. The Bombay Dyeing & Achievement Award. 1998 IMC Diamond Jubilee Endowment Limited. being eligible. etc. A. R. 5 . 2008 Mahindra United World College of India. Mr. A. Keshub Mahindra 1994 The Sir Jehangir Ghandy Medal for Industrial Peace - Mr. (International). including 1989 Business India . Mahindra was the President of Bombay Chamber of and also as a Director of the Company with effect from Commerce & Industry. University of Trust Award. 2003 All India in 1948. 2006 Lakshya Business Visionary Award - Governance by effectively channelising funds into the social NITIE. Kulkarni retire by rotation and. Jamshedpur. functioning of the Company and of He was also appointed by the Government of India to the Group and other issues without the presence of Vice. Vice-Chairman Society of Indian Automobile Manufacturers (SIAM) Award of Housing Development Finance Corporation Limited. Keshub Mahindra. Mahindra has been recipient of prestigious awards next Annual General Meeting of the Company.Businessman of the Year. Indian Institute for The Independent Directors of the Company meet before Human Settlements and Prudential Management & Services the Board Meeting to examine various Corporate Private Limited.ASSOCHAM. 2009 Chairman of Kema Services (International) Private Limited. Apex Advisory Council . U. serve on a number of Committees including the Sachar Chairman & Managing Director or Executive Directors or Commission on Company Law & MRTP. Chairman of the Board of Governors of Entrepreneur of the Year Lifetime Achievement Award. 2000 Dadabhai Naoroji International Award Pennsylvania. USA. 2010 and will hold office upto the Mr. Chairman of Mahindra & Mahindra XLRI. Anupam Puri. E. Keshub Mahindra is Chairman of Mahindra Ugine Steel Financial Analysts of India (ICFAI). effect from 1st April. Nanda resigned as the Executive Director of the Company Mr. 2010. Chairman of Award 2008. Keshub Mahindra. Chairman & Trustee . Mr. S. He is Directors to discuss matters pertaining to the affairs of the a Member of Prime Minister's Council on Trade & Industry. is a Graduate from Wharton. Ahmedabad. K. These Meetings are conducted in Council of Industries.Employers' Federation of India. 2007 Ernst & Young Company Limited. He was of Indo-American Society and Chairman of Indian Institute appointed as an Additional Director of the Company with of Management. New Delhi and Member of United World Colleges have offered themselves for re-appointment. Ganguly Pennsylvania Institute for the Advanced Study of India. Meetings of Independent Directors Manufacturing Company Limited. for 'Lifetime Contribution to the Automotive Industry'. Directors seeking appointment/re-appointment President of the Governing Council . CNBC TV 18 India Business Leaders Lifetime Achievement Chairman of Tech Mahindra Foundation.K.D. K. Management Association Lifetime Achievement Award for He is a well-known philanthropist who redefined Corporate Management. President of ASSOCHAM. Central Advisory Management Personnel. amongst other companies.

Mahindra & Mahindra Limited Share Transfer and Shareholders/ Chairman Investors Grievance Committee Loans & Investment Committee Chairman Remuneration/Compensation Committee Member 2. Anupam Puri holds a M.296 Ordinary (Equity) institutions on public policy. Puri was Mumbai Mantra Media Limited and Tech Mahindra Limited a Management Consultant with McKinsey & Company from as well as Chairman of the Advisory Board of Corsair Capital. Tech Mahindra Limited Audit Committee Member Compensation Committee Member 3. Anupam Puri Member of the Board. Anupam Puri is a Member of the following Board and also served several Governments and multilateral Committees: Sr. Name of the Company Name of Committee Position held 1. Oxford University. Anupam Puri does not hold any Share in the Company. MAHINDRA & MAHINDRA LIMITED Mr. 1967. Anupam Puri spearheaded Shares in the Company. and a B. India. No. Economics from Delhi University. Dr. Mahindra & Mahindra Limited. the development of McKinsey’s India practice. Bombay Burmah Trading Remuneration Committee Member Corporation Limited Mr.A. Name of the Company Name of Committee Position held 1. Phil in Economics from Nuffield College. 1970 to 2000. in Economics He is currently a Member of the Board at Dr. No.02. He worked globally with corporate clients in several industries on strategy and organisational issues Mr. Oxford University. 1965. in Laboratories Limited. Housing Development Finance Compensation Committee Chairman Corporation Limited 3. oversaw the Asian and Latin American offices and was an elected Mr. Mr. an M. Keshub Mahindra is a Member of the following Board Committees: Sr. Bombay Dyeing & Manufacturing Remuneration Committee Chairman Company Limited 4. Mumbai Mantra Media Limited Audit Committee Member Mr. 1969. 53 . Mr. Mr. Reddy’s from Balliol College. Keshub Mahindra holds 4.A. Reddy’s Laboratories Limited Governance and Compensation Chairman Committee 2.

V. Ganguly is a Limited and a Director on the Advisory Board of Microsoft recipient of the Padma Bhushan.”Strategic Manufacturing for Competitive Advantage” (1998) and “Business Driven R&D- Dr. as Member. Dr. Wipro Limited Corporate Governance Committee Chairman 5. Dr. Name of the Company Name of Committee Position held 1. received the Economic Times Lifetime Achievement Award Dr. Ganguly is a Member of the following Board Committees: Sr.11. Dr. S. Liberalisation”(1994). set up by the Prime Minister of Achievement for the academic year 2003-2004. Wipro Limited.00.S. from the India and the President of the USA. Ganguly Commission to the Prime Minister. and Ph. 2000. Ganguly Dr Ganguly is a former Member of the Board of British has authored three books – “Industry & Airways Plc. The University on the Board of Dr. Hemogenomics Private Board of Research Councils (1991-94). Ganguly has resigned from the RBI Board effective 18. Tata AIG Life Insurance Company Limited Remuneration Committee Chairman Audit Committee Member 3. Microsoft Corporation India Private Limited Advisory Board Chairman Dr. Dr. Dr. Tata AIG to the Prime Minister of India (1985-89) and the UK Advisory Life Insurance Company Limited. Vibhushan. In 2006. with responsibility for world-wide been a Director on the Central Board of the Reserve Bank research and technology. Dr. Ganguly During his career. Ganguly Member of the Prime Minister’s Council on Trade and as their ‘Outstanding Alumnus’ in 1997 and he is the Industry as well as the Investment Commission and the recipient of the International Alumni Award for Exceptional India-USA CEO Council. College of Food and Nutrition selected Dr.D. of India. (1996-2005).Dr. Dr. A. He is also a Member University of Illinois. Firstsource Solutions Limited Compensation cum Chairman Board Governance Committee Investors /Shareholders’ Chairman Grievance Committee Investment Committee Member Committee for Issue of Securities Chairman (FCCB Committee) Strategy Committee Chairman 4. USA. degrees several publications in Science. India’s second highest civilian award. He was the Chairman of Hindustan Lever Limited Solutions Limited (formerly ICICI OneSource Limited) and from 1980 to 1990 and a Member of the Unilever Board ABP Private Limited (Ananda Bazar Patrika Group) and has from 1990 to 1997. More recently. Reddy’s Laboratories Limited. No. Ganguly was nominated to the Rajya Sabha and ‘sworn and more recently. he was made an Hon. Shanghai (1996). 2009. Professor by the Group. since November. the also currently serves as a Non-Executive Director of principal among them. Ganguly was awarded the of the Rajiv Gandhi Foundation and National Knowledge CBE (Hon) by the United Kingdom. Ganguly has been recently appointed a Director Chinese Academy of Science. Ganguly holds 1. 54 . In 2008.000 Ordinary (Equity) Shares in the Company. Technology and Management. Science Advisory Council Mahindra & Mahindra Limited. He is a of Illinois. he has served several public bodies. one of India’s highest Corporation (India) Private Limited and the Blackstone honours (1987)./ Dr. Ganguly from the University of Illinois. besides University and has obtained the M. Ganguly graduated with Distinction from the Bombay Managing Knowledge to Create Wealth” (1999). Mahindra & Mahindra Limited Research & Development Committee Chairman 2. Dr. Ganguly’s principal professional career spanned 35 years with Unilever Plc. Ganguly is currently the Chairman of Firstsource N. (Dr. he has been the recipient of the Padma in’ as a Member of Parliament on 30th November.2009).

Mergers & Acquisitions – such as due diligence. K.such as advice and civic litigation. steel. K. Entertainment Network (India) Limited Audit Committee Member Remuneration Committee Member 5. import of plant and equipment. demergers. in Restructuring – information technology.. documentation in relation of privatisation of Government Entertainment Network (India) Limited. MAHINDRA & MAHINDRA LIMITED Mr. Elantas Beck India Limited Audit Committee Chairman Shareholders’/Investor Chairman Grievance Committee 3. Infrastructure and Project Financing – such as advice and Advocates & Solicitors. Alternate Brand Solutions (India) Limited. He advises a range of large Indian and and documentation relating to domestic IPOs and GDR/ multinational clients in various business Sectors. in Foreign Investment. in and Solicitor and is a Senior Partner in Khaitan & Co. Tech Mahindra Limited Remuneration Committee Chairman Mr. K. R. LL. takeover-code. Kulkarni.576 Ordinary (Equity) Shares in the Company. 55 . in infrastructure. software and public offers. R&P Management Communications Private Limited Foreign Collaboration – such as advice and documentation.. Tech Mahindra Limited. construction contracts. Mahindra & Mahindra Limited Audit Committee Member Share Transfer and Shareholders/ Member Investors Grievance Committee 2. debt issues. Kulkarni is a Member of the following Board Committees: Sr. sale of Mahindra Limited. agriculture and agri-products. considerable experience in litigation having handled writs cross-border transactions in Capital Markets . Caprihans India Limited Audit Committee Chairman 4. power. etc. cement. He has immense experience in all aspects of Corporate including concession agreements. Joint Venture and licensing. Mr. B. Name of the Company Name of Committee Position held 1. telecom. R.. buyback of securities. retail services. sick companies. Shamrao Vithal Co-op Bank bidders.. and Venturbay Consultants Private Limited.. etc. is a practicing Advocate shareholder agreements and arrangements. documentation relating to corporate financing. technology transfers. in privatisation – such as advice and Elantas Beck India Limited. such as advice and documentation involving creditors He is on the Board of various companies viz. R. Caprihans India Limited. spin offs. etc.M. assets. He also has structuring documentation involving listed companies. INEOS ABS (India) Limited Audit Committee Member Remuneration Committee Member 6. No. operation & maintenance contracts. Joint Venture and Limited. law. engineering Securities Law – such as insider trading.Sc. Mahindra & restructuring. Mr. INEOS ABS (India) business and companies in India on behalf of several Limited. Kulkarni obtaining regulatory approvals. etc. etc. Kulkarni holds 87. etc. including FCCB offerings of securities by Indian companies. automobile.

He was Republic. Nanda Mahindra World City (Jaipur) Limited. from April. Vice-Chairman of Mahindra World City Star Awards 2010. Mahindra Construction Company Accountants of India Award 2009 and “Lifetime Limited. 2007 to March. Nanda has been honoured with an Award of “Chevalier Limited (M&M) in August. Mumbai Mantra Media Limited and Union Bank of India. Nanda has also been awarded with the “CA Business Owens Corning (India) Limited. Committees: 56 . Mr. Nicolas Sarkozy. He was inducted to the Board of Mahindra & Mahindra Mr. Mahindra Consulting Achiever Award . A. Nanda is also the Chairman of CII Western Region. Mahindra Holdings Limited. K. K. Nanda is a Member of the following Board Hotel Management GmbH. Mahindra Holidays and Resorts (USA) Inc. He joined the Commerce. Mr. MHR Mr. Nanda has also been awarded with the “Real Estate Person of the Year” Award from GIREM Leadership He is currently the Chairman of Mahindra Holidays & Resorts Awards in India. Developers Limited and Director of Mahindra Water Utilities Limited. Mahindra Lifespace Developers Limited. Mahindra Infrastructure Developers Limited. 2010 to focus on the social sector and the Legion of Honour) by the President of the French create a favourable ecosystem for senior citizens. (FCS). immediately appointed as a Non-Executive Director of M&M. India Limited. He is also on the Mr. Nanda holds a Degree in Law from the University Advisory Boards of Barco Company Limited and Schneider of Calcutta. member of The Institute of Company Secretaries of India Mr.. K. Achievement Award” for his outstanding contribution to Mahindra World City (Maharashtra) Limited. Mr. Mr. Knowledge the Hospitality Industry and the Service Sector by the Golden Township Limited. Member of the Governing Boards of the Council Mahindra Group in 1973.Mr. positions within the Group over the 37 years he was with He was the Chairman of CII National Committee on Water the Company. A. 2009. Nanda has also participated in a Senior Executive Chairman Emeritus of the Indo-French Chamber of Programme at the London Business School. A.Corporate” at The Institute of Chartered Engineers Limited. is a fellow member of The Institute of Electric India Private Limited and elected as a Member of Chartered Accountants of India (FCA) and a fellow the Supervisory Board of BAH Hotelanlagen AG. 1992 and resigned as Executive de la Legion d’Honneur” (Knight of the National Order of Director in March. He has held several important of EU Chambers of Commerce in India and Bombay First.

MAHINDRA & MAHINDRA LIMITED Sr. Mahindra Infrastructure Developers Limited Audit Committee Member 7. Mahindra & Mahindra Limited Share Transfer and Shareholders/ Member Investors Grievance Committee Loans & Investment Committee Member 2. Nanda holds 2. No.864 Ordinary (Equity) Shares in the Company. Mahindra Lifespace Developers Limited Investors’ Grievance and Shareholders’ Chairman Committee Loans & Investment Committee Chairman Remuneration Committee Member Share Allotment Committee Member 6. Mahindra Holdings Limited Audit Committee Chairman 10. Owens Corning (India) Limited Audit Committee Chairman Remuneration Committee Member 4. Mahindra World City Developers Limited Remuneration Committee Member 11.75. Name of the Company Name of Committee Position held 1. 57 . A. Mahindra World City (Maharashtra) Limited Capital Issue Committee Member 9. Mahindra World City (Jaipur) Limited Audit Committee Member Capital Issue Committee Member Land Lease Committee Member Loans & Investment Committee Member Remuneration Committee Chairman 8. Mahindra Construction Company Limited Remuneration Committee Member 5. Union Bank of India Shareholders /Investors Grievance Member Committee Remuneration Committee Member Mr. K. Mahindra Holidays & Resorts India Limited Loans & Investment Committee Member Remuneration Committee Member Inventory Approval Committee Member IPO Committee Member Share Allotment/Transfer cum Chairman Investor Grievances Committee 3.

Ganguly 8. 2009). the current trends in the industry. Parekh 8. G. Remuneration to Non-Executive Directors for the Director and the Group Chief Financial Officer of the year ended 31st March. All Board Members and Senior relevant industries through participation in structured Management Personnel have affirmed compliance with these surveys.00 Mr. N. 58 .mahindra.00 Dr.F. B. Arun Kanti Dasgupta (Nominee of LIC) 8. past (“Codes”). Keshub Mahindra 32. The Board/ Management and Employees of the Company. S.00 Mr. R. M. A.00 Mr. distributed amongst the Directors as under: (Rs. the Vice-Chairman & Managing B. Anupam Puri 8. Codes of Conduct (“Committee”) considers the performance of the Company.00 Mr. in Lakhs) Directors Commission for the year ended 31st March.144 lakhs has been While deciding on the remuneration for Directors. A commission of Rs.00 Mr. Narayanan Vaghul 8.00 Mr. Remuneration Policy purpose. During the year under review. paid during the year under review Mr. Director to this effect is enclosed at the end of this Report. CEO/CFO Certification As required under Clause 49 V of the Listing Agreement with the Stock Exchanges. Remuneration to Directors of the Company as specifically computed for this A. Murugappan 8. A declaration signed by the Vice-Chairman & Managing Company’s remuneration policies.com. Kulkarni 8.00 # # The Commission is paid to the Nominating Financial Institution. This information is used to review the Codes. their experience. 2010. M. These Codes Committee regularly keeps track of the market trends have been posted on the Company’s website http:// in terms of compensation levels and practices in www. Deepak S. 2009. Remuneration/ Compensation Committee Directors in the accounts of the year under review. the Non-Executive Directors were paid a commission of Rs. the The Board has laid down two separate Codes of Conduct qualification of the appointee(s). The eligible Non-Executive Directors are paid commission upto a maximum of 1% of the net profits II. 2010 Company have certified to the Board regarding the Financial Statements for the year ended 31st March.96 lakhs (provided in the accounts for the year ended 31st March. one for Board Members and other for Senior performance and other relevant factors.00 Mr. the provided as payable to the eligible Non-Executive Board. Godrej 8. K.

2005 to the Non. of Ordinary (Equity) and Committee Meetings Shares held as on paid during the year 31st March.00.296 Mr.000 Dr.20 3.58.70 1.00. K.000 Stock Options granted in June. excluding the Share Transfer and Shareholders / Investors Grievance Committee.180 Mr. 2006 can Exercise Price stands reduced to half on account of Sub- be exercised in three tranches over a period of five years division of each Ordinary (Equity) Share of the Company from the date of vesting at an Original Exercise Price of having a Face Value of Rs. R. stands augmented by an equal number of Options and Executive Directors which have vested in June. Arun Kanti Dasgupta (Nominee of LIC) 0. Anupam Puri 0. Narayanan Vaghul 1.884 Mr. B. N. 35.60 Nil Mr. 2009. Deepak S. Godrej 2.454 per share.80 1. The sitting fees paid to Non-Executive Directors for the year ended 31st March.40 1.000 Mr.10 each fully paid-up into 2 Rs. Details of the Options granted to each stands reduced to half on account of the 1:1 Bonus Issue of the Directors are given in the Statement attached to made in September.50 ** Nil * The sitting fees payable to the Non-Executive Directors of the Company has been increased with effect from 1st November.10 87.02.000 Mr. in Lakhs) Mr. 2005. Keshub Mahindra 1. S.5 by an equal number of Options and the Exercise Price each fully paid-up.12. The Options granted stand augmented (Two) Ordinary (Equity) Shares of the Face Value of Rs. Murugappan 2. Kulkarni 2.10. Further.000* for every Meeting of the Board or Committee attended.00 1. ** Sitting fees for Board Meetings were paid to LIC.576 Mr. Ganguly 1. MAHINDRA & MAHINDRA LIMITED Non-Executive Directors are also paid a sitting fees of Rs.000 for every Board Meeting or Board constituted Committee Meeting attended by them. 2010 5 .000 to Rs. from the existing limit of Rs. 2010 ended 31st March.60 4. 2010 (Rs.20. Options granted and outstanding as on 30th March. M. 2010 alongwith their shareholdings are as under: Directors Sitting Fees for the Board No. M.20. Parekh 1. A.00. the number of Stock Annexure I to the Directors’ Report.

500 per share August 2009. 2006 Four equal instalments in On the date of Vesting or Rs. A.000 11. 2010 and within five years from the 2011 respectively date of Vesting $$$$ August.890 (Executive Director) to 27th August.42 130.000 11. Anand G.345 8.362 29. of No. 2012 Mr.454 per share# date of vesting $$ September.64 28th August. ** Resigned as the Executive Director and also as a Director of the Company with effect from the close of working hours on 31st March.33 89. 2007 10. 2008. September.762 per share July. 2010.039 (Executive Director) to 27th August. All other components are fixed. 2007 Nil Nil Nil Nil Mahindra to 3rd April. In Lakhs) Directors Salary Comm. 2010. 2009. within five years 2009 and 2010 respectively from the date of Vesting $$$ July.66 50. Company’s Perquisites Total Contract No.10 each fully paid-up into 2 (Two) Ordinary (Equity) Shares of the Face Value of Rs. of No. (Vice-Chairman & 2012 Managing Director) Mr. Details of the Options granted including discount are given in the Statement attached to Annexure I to the Directors’ Report.02 19. 2011 or within five years from and 2012 respectively the date of Vesting # The Options granted stands augmented by an equal number of Options and the Exercise Price stands reduced to half on account of the 1:1 Bonus Issue made in September.00 16. 65.46 183. 2005. Provident Fund. Remuneration paid/payable to Managing/Executive subsequently approved by the Board of Directors and Director(s) (Whole-time Directors) for the year ended Shareholders at a General Meeting. K.33 89. in August.02 48. the number of Stock Options granted and outstanding as on 30th March. Notes: a) Notice period applicable to each of the Whole-time Directors – six months.616 per share September 2007. 2005$ 2006 $$ 2007$$$ 2008$$$$ Mr. 2007 10. Gratuity and Privilege Leave Encashment. 2012 * Aggregate of the Company’s contributions to Superannuation Fund. Bharat Doshi 59.66 4th April.29 212. 2010: (Rs. 2010: Remuneration to Whole-time Directors is fixed by the Following is the remuneration paid/payable to the Whole- Remuneration/ Compensation Committee which is time Directors during the year ended 31st March.5 each fully paid-up.00 16. 2008.81 28th August. € Further. Options granted on€ Vesting period Exercise period Exercise price€ $ June.73 264. 2006 Within five years from the Rs. Nanda** 59. of No. in July. 2007 Four equal instalments in On the date of Vesting or Rs. 2010 stands augmented by an equal number of Options and Exercise Price stands reduced to half on account of Sub-division of each Ordinary (Equity) Share of the Company having a Face Value of Rs. of ission Contribu.85 17. 2005 Already vested in June. 31st March. 2010. 6 . and Period Options Options Options Options tion to allowances granted granted in granted granted Funds* in June. with effect from 1st April. He has been appointed as an Additional Director on the Board of Directors of the Company.C.345 8. b) Employee Stock Options and Commission are the only components of remuneration that are performance-linked. 2008 Four equal instalments in On the date of Vesting Rs.362 24.

M. The Chairman of the Audit to periodically place before the Board. Mr. K. 2009. and 30th March. The Committee Meetings were held on the following dates – 21st May. the Executive Directors and Senior Executives of related parties not in normal course of business or which the Company. The Committee acts Mr. Remuneration/Compensation Committee and to recommend a change in Auditors. material individual transactions with Director. Chief Internal Auditor Annual Report. of the Statutory and the Internal Auditors and meet with Mr. suggestions and other related matters. M. R. 25th January. Godrej and Mr. K. Mr. the Committee can obtain external Mr. Deepak S. M. R. MAHINDRA & MAHINDRA LIMITED III. 2010 viz. Company and steps taken by it to mitigate these risks. 2009. The Company Secretary is the Secretary to the Committee. The role of the Remuneration/Compensation Committee is It is also empowered to review Financial Statements and to review market practices and to decide on remuneration investments of unlisted subsidiary companies. N. The attendance at the Meetings Murugappan. review the remuneration payable to the Statutory Auditors B. B. the risk assessment Committee. Murugappan 5+ and the Board of Directors of the Company. the President-Finance. review reports + In addition to attending five Audit Committee Meetings. M. 2009. the Statutory Auditors. Risk Management the terms of reference. The Audit Committee has been granted powers as prescribed under Clause 49 II (C). All the Members of the Committee possess is as under: strong accounting and financial management knowledge. IV. This Committee comprises solely of Independent Directors 29th October. Parekh was present at the 63rd and minimisation procedures being followed by the Annual General Meeting of the Company held on 30th July. Kulkarni. Your Company has established procedures and the Company Secretary. Meetings attended Besides having access to all the required information from Mr. The gap between two Meetings did Mr. B. Parekh (Chairman of the Committee). not exceed four months. The Committee is empowered to inter alia participation through teleconference. Committees of the Board The Committee met seven times during the year under A. 2nd December. It is authorised to select and establish accounting policies. Generally all items listed Committee also decides on the commission of the Directors in Clause 49 II (D) of the Listing Agreement are covered in and/or other incentives payable. Kulkarni 7 professional advice whenever required. 2010. the are not on an arm’s length basis. The risk management framework Vice-Chairman & Managing Director. if felt necessary. 2009. 30th July. Mr. 2009. taking into account the 6 . Murugappan participated in one Meeting through teleconference. During the course of its review. M. N. M. No sitting fee was paid for them to discuss their findings. Audit Committee review. Parekh (Chairman) 6 within the Company. 2009. Management packages applicable to the Vice-Chairman & Managing Discussion & Analysis. Legal and Financial Management Discussion and Analysis Chapter of this Services Sector. Godrej 6 as a link between the Statutory and the Internal Auditors Mr. Deepak S. Deepak S. the Executive Directors adopted by the Company is discussed in detail in the of the Company. Members Number of The terms of reference of this Committee are very wide. The Your Company has a well-defined risk management Meetings of the Audit Committee are also attended by the framework in place. 28th May.

000 Ordinary Board Members. provides direction on review. provided the transferee does Members with reference to their competencies. disinvestment. Mr. Godrej. The Company’s Share Transfer and Shareholders/Investors E. N. retaining and managing Members of the Committee attended the same. Mr. C. N. S. During the necessary talent pool commensurate with the size and the year. which would. track record. assessment of the necessary and desirable competencies The Committee met two times during the year and all of Board Members. B. Company The Committee has formulated and administers the Secretary is the Compliance Officer of the Company. Dr. K. Mr. on the Committee. Chairman of the Board and a The Committee approves of the making of loans and Non-Executive Director. initiative of the Company) Murugappan are the other Members of the Committee. integrity. K. redressal of complaints from Shareholders relating to The scope of the Remuneration/Compensation Committee transfers. Narayanan Vaghul (Chairman) 4 the structure and the process needed to ensure that the Mr. A. M. etc. Mr. borrowing moneys and related Kulkarni. Loans & Investment Committee (a voluntary Grievance Committee functions under the Chairmanship initiative of the Company) of Mr. which was The Committee met four times during the year under constituted by the Board in 1998. Godrej and Mr. to inter alia Scheme and also attends to such other matters as may be deal with matters relating to transfer of shares and monitor prescribed from time to time. Ganguly is the Chairman of Mr. Murugappan are the Grievance Committee other Members of the Committee. Mr. The Research & Development (R&D) Committee. Narayan Shankar. Mahindra. Research & Development Committee (a voluntary Mr. investment. M. non-receipt of Balance Sheet. Mr. Keshub Mahindra 3 R&D initiatives result in products that are in keeping with Mr.. there are no pending share transfers Directors and includes the Chairman of the Company. necessary authority has been delegated recommendations for new appointment and removal of to approve the transfers of not more than 5. Mr. D. Nanda are also aspects of fund management in accordance with the 6 . Godrej 3 the business needs. A. Keshub Mahindra. Mr. As of date. not hold one lakh or more Ordinary (Equity) Shares in the qualifications. Anand G. pertaining to the year under review. Company. Shareholders. Bharat Doshi and Mr. Murugappan 4 the Committee. With a view to expedite the process Committee. The attendance at the Meetings is as under: the R&D mission and strategy and key R&D and technology Members Number of issues. N. B. B. Share Transfer and Shareholders/Investors Mr. The Committee also reviews and makes Meetings attended recommendations on skills and competencies required and Mr. experience. M. inter alia include of share transfers. scrutinising nominations for Board (Equity) Shares per transfer. appointing. 19 complaints were received from the operations of the Company including Board Members. etc. Narayanan Vaghul is the Chairman of the Committee. Anand G. Mahindra. M. Keshub Mahindra.individual’s performance as well as that of the Company. all of which have been attended to/resolved The Committee comprises of a majority of Independent to date. Bharat Doshi and Mr. etc. R. Mahindra & Mahindra Limited Employees’ Stock Option The Committee meets as and when required. non-receipt of is enhanced to include the function of a Nomination dividends declared. M. M.

the Company did not have any Date : 28th July.e. End January. in compliance with Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations. paid-up capital and free reserves) shares of the Company. The Subsidiaries of the Company function Venue : Birla Matushri Sabhagar. Further details of related to 31st March. employees. with an adequately empowered Board of Directors and sufficient resources. Keshub Mahindra C. 31st December. review. and its promoters. K. Mr. Quarter ending B. 2010 down by The Companies (Accounting Standards) Rules. 2010 . 2010.m. K. there were no materially Date of payment of Dividend would be on or after significant transactions entered into between the Company 29th July. Financial Year of the Company or relatives. of the Company for their review. 2011 63 . which advises them on procedures to be as an unlisted subsidiary. 2. 1. that may have potential conflict with the The financial year covers the period from 1st April interests of the Company at large. Directors or the management. while dealing with turnover or net worth (i. Nanda Conduct for Prevention of Insider Trading for its designated are the other Members of the Committee. Shareholder Information subsidiaries in the immediately preceding accounting year. both days inclusive. whose followed and disclosures to be made. Disclosure of Accounting Treatment in preparation 30th June. Mahindra. Mr. Disclosures 10th July. Quarter ending 2006 in preparation of its financial statements. of the listed holding company and its VII. A. incorporated in India. Date of Dividend Payment During the financial year 2009-10. The Company has instituted a comprehensive Code of Mr. End July. 2010 . V. Dates of Book Closure Dates of Book Closure for Dividend will be from VI. 2010 “material non-listed Indian subsidiary” during the year under Time : 3:00 p.400 020. 2010 . MAHINDRA & MAHINDRA LIMITED Guidelines prescribed by the Board. of the Company are placed before the Board of Directors Mumbai . respectively. independently. Anand G. the Minutes of Board Meetings of Subsidiaries (New Marine Lines). Sir Vithaldas Thackersey Marg governance. End October. 2010 of Financial Statements Half-year ending The Company has followed the Accounting Standards laid 30th September. Bharat Doshi and Mr. Code for Prevention of Insider Trading Practices is the Chairman of the Committee. Subsidiary Companies 1992. and cautioning them of the exceeds 20% of the consolidated turnover or net worth consequences of violations. 64rd Annual General Meeting Under this definition. Mr. Disclosure of transactions with Related Parties 3. Kulkarni. R. 2010. as amended from time to time. party transactions are presented in Note Number “29” in Financial Reporting for: Schedule XIV to Annual Accounts of the Annual Report. For more effective 19. A. 2010 to 28th July. The Code lays down Clause 49 defines a “material non-listed Indian subsidiary” Guidelines. subsidiaries 4. etc.

2011 Shares as aforesaid.34.289.17. subscribed and paid-up Share Capital of the Company stands at Rs. Sub-division of Face Value of Equity Shares (Stock. The Global Depositary Receipts (GDRs) of the Company are listed on the Luxembourg Stock Exchange 2.5 each fully Limited (ISIN): XS0250972543 paid-up in the Equity Share Capital of the Company for every 1 (One) Ordinary (Equity) Share of the face value of 6.92. GDRs. Capital of the Company stands at Rs.478 Ordinary (Equity) Shares of 5.000 Unclassified Shares of Rs. 2011 . INE101A01026 (New – for Equity Shares of split) Rs. The US $200 3.5 each Mumbai .239 Mahindra & Mahindra Limited Equity Shares of Rs. Stock Code Limited (BSE) and National Stock Exchange of India Limited 1. 5. 2010. National Stock Exchange of India Limited (NSE): and are also admitted for trading on International Order M&M Book (IOB) of the London Stock Exchange.e.10 each) and the Authorised Share Gateway Building.100 each. upon sub-division. comprising of 57. and 25.00. Rs.5 each fully paid-up (prior to Stock-split: 28. Singapore Exchange Securities Trading issued 2 (Two) Ordinary (Equity) Shares of Rs.400 001. Corporate Identity Number: th the Company by way of Postal Ballot on 11 March. 2010.20. Luxembourg Stock Exchange (ISIN): Rs.00.5 each) Pursuant to the approval received from the Members of 4. FCCBs.625 crores comprising Apollo Bunder. Registered Office Rs. End May.22 crores Note: The above dates are indicative.10 each) 7. 2010.00. Year ending Post allotment of Equity Shares and sub-division of Equity 31st March. Bombay Stock Exchange Limited (BSE) : 500520 (NSE). 6.000 Ordinary (Equity) Shares of Rs. Listing on Stock Exchanges The Company’s Shares are listed on Bombay Stock Exchange 8.84. L65990MH1945PLC004558 st the Company has on 31 March. the issued.10 fully paid-up held by the Members in the Equity USY541641194 Share Capital of the Company as on the Record Date i. 30th March. 64 . of 1. Demat International Security Identification Number million Zero Coupon Foreign Currency Convertible Bonds (ISIN) in NSDL and CDSL for Equity Shares: (FCCBs) due for redemption in 2011 are listed at Singapore Exchange Securities Trading Limited. The requisite listing INE101A01018 (Old – for Equity Shares of fees have been paid in full to all these Stock Exchanges.

However. 65 . 2010 has been doubled. MAHINDRA & MAHINDRA LIMITED 9. the closing price on the last trading day of March. 2010. for a meaningful comparison. 2010. 2010 has been doubled. Stock Performance The performance of the Company’s shares relative to the BSE Sensitive Index is given in the chart below: M&M on BSE BSE Sensex 1200 20000 18000 1000 16000 M&M on BSE BSE SENSEX 14000 800 12000 600 10000 8000 400 6000 4000 200 2000 0 0 Apr-09 May-09 Jun-09 Jul-09 Aug-09 Sep-09 Oct-09 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10* Closing Price on Last Trading day of the Month * The Share price became ex-date for sub-division with effect from 29th March. However. for a meaningful comparison. The performance of the Company’s shares relative to the NSE Sensitive Index (S&P CNX Nifty Index) is given in the chart below: M&M on NSE NSE Nifty 1200 6000 1000 5000 M&M on NSE 800 4000 NSE NIFTY 600 3000 400 2000 200 1000 0 0 Apr-09 May-09 Jun-09 Jul-09 Aug-09 Sep-09 Oct-09 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10* Closing Price on Last Trading day of the Month * The Share price became ex-date for sub-division with effect from 29th March. the closing price on the last trading day of March.

75 26.00 21.10 21. 2010* 1154. 2009 503.00 987.50 504.00 981.: +91-22-22881568/69 Fax: +91-22-22825484 66 .26 21. Telephone Nos.00 879.80 950.00 808.00 25. Sakinaka Telephone Exchange Lane.00 22. Nariman Point.73 May.10.60 14.30 889.80 809. 2009 824.400 072.53 16. Rs. Off Andheri Kurla Road. 2009 700.20 943.00 660.95 734.00 484.00 878. Telephone Nos. Stock Price Data: Equity Shares GDRs Bombay Stock National Stock Luxembourg Stock Exchange Limited Exchange of India Limited Exchange High Low High Low High Low Rs.86 20.00 23.400 021.00 486.00 June. Mumbai .05 829.63 October. 2009 1098.00 18.25 1065. Sakinaka.65 November.04 18.07 14. 2009 981.00 669. 2010 1065. 2nd Floor. 2009 942.00 910.03 July.80 644.00 23.com The Registrar and Transfer Agents also have an office at: Sharepro Services (India) Private Limited 912.02 12. 11.50 950.52 March.: +91-22-67720400/67720300 Fax: +91-22-28591568 email: sharepro@shareproservices.70 735.74 7.00 1005.00 19.87 December.70 985.75 February.00 1094.75 698.95 515.40 866.00 377. 2009 909. Samhita Warehousing Complex.50 9. 2010.00 535.80 August. Registrar and Transfer Agents Sharepro Services (India) Private Limited Unit: Mahindra & Mahindra Limited 13AB. US $ US $ April. Free Press Journal Road. 2009 1092.54 January. Rs.45 1154.00 1199.14 * The Share price became ex-date for sub-division with effect from 29th March.50 10.00 865.93 13.00 1091. Mumbai .70 1005.00 643.55 377. 2010 1196. Raheja Centre. Rs.10 17. Andheri (East).15 17.51 15.20 September. 2009 892.05 18.

592 26. Share Transfer System per transfer. Legal and Financial Services Sector or Shares sent for transfer in physical form are registered and Mr. Nanda.992 5. Mr.23.01. 13.99 Total 1. The Share Director as well as Mr.40.135 2.478 100.84.37.87. Group Chief Financial Officer or Mr. NRIs/ OCBs/ Foreign National ** 33. A.32 lakhs Shares representing 0. Nanda ceased to be an Executive Director recognized Stock Exchanges is permitted only in of the Company. 2010: Sr.427 1.688 57.356 92.76 Central and State Government 4. FIIs* 13.40 5. K. Executive Director and dematerialised form.478 100.23. Company Secretary Transfer and Shareholders/Investors Grievance Committee of the Company were severally authorised to approve the meets as and when required to consider the other transfer transfers of not more than 5.34.69 8.30. With a view to expedite transfer.78.34. Mutual Funds/UTI 2.794 1. Insurance Companies.410 1.58 9. Financial Institutions. Phadke.32. Foreign Bodies 1. Private Corporate Bodies 4.27.69. Company Secretary of the Company returned within a period of thirty days from the date of have now been severally authorised to approve the transfers receipt of the documents. Banks. Mr. provided the transferee does not hold one lakh or more Ordinary (Equity) Shares in the Company. The Bank of New York Mellon (for GDR holders) 2.23 lakhs Shares representing 2. 2010 Number of Shares held Number of Number of Percentage of Shareholders Shares held Shareholding 1 to 500 1.02.62.823 1.12% of the paid-up share capital of the Company held by a NRI.70. provided the transferee does not hold one lakh or the process of share transfers. provided the documents are of not more than 5. 12.391 61.948 3.34. Uday Y.273 7.000 Ordinary (Equity) Shares proposals and attend to Shareholder grievances.99 501 to 1000 8.99. No.00 * FIIs category does not include Shareholding aggregating 135.42.91.02.813 23.34 2.772 20.15 10001 and above 1.00 Shareholding Pattern as on 31st March.65 7.34% of the paid-up share capital of the Company held by a FII.84.57. Mr. as the same is included under the category of Promoters and Promoter Group. K. Trading in Ordinary (Equity) Shares of the Company through Since.46. ** NRIs category does not include Shareholding aggregating 7. Distribution of Shareholding as on 31st March.06 1001 to 5000 7.754 1. Indian Public 5. Executive more Ordinary (Equity) Shares in the Company.81 5001 to 10000 944 66.902 8.86. Narayan Shankar.000 Ordinary (Equity) Shares per valid and complete in all respects.73.073 4.17 Grand Total 57. Narayan Shankar. 67 . A.16 3. MAHINDRA & MAHINDRA LIMITED 12. Bharat Doshi. as the same is included under the category of Promoters and Promoter Group.113 0. Category of Shareholders Total Holdings Holdings in Percentage 1.15. President – Finance.52.25 6.53.18. Promoters and Promoter Group 15.132 53.

: +91-22-24905624 & +91-22-24975074 per share with effect from 31st March. Samhita Warehousing Complex. Nagpur. M.10 fully paid-up in the Equity Share Compliance Officer can be contacted at: Capital of the Company into 2 Ordinary (Equity) Shares of Mahindra Towers. Since the underlying Ordinary (Equity) Shares Sakinaka.922. represented by GDRs have been allotted in full. 2010. http://www. Sakinaka Telephone Exchange Lane. Dematerialisation of Shares 16.5 each fully paid-up. conversion price of Rs. the Company Secretary & of the face value of Rs.com 2000 Zero Coupon Convertible Bonds (due 2011) of US$ 1. outstanding GDRs have no impact on the Equity of the Telephone Nos.99. Till Depositary Participants for Shares held in demateralised date. Sharepro Services (India) Private Limited Unit: Mahindra & Mahindra Limited 15. Consequent to sub-division of each Ordinary (Equity) Share For all investor related matters.47% of the paid-up Equity Share Capital is held in a The Company’s manufacturing facilities are located at dematerialised form with National Securities Depository Kandivali. the initial Worli. payment of dividend and any other query relating converted into around 96. Fax: +91-22-24900833 As of date. In the year 2008-2009.000 at a discount Shareholders would have to correspond with the respective and the same have been cancelled upon repurchase. Dr. G.04 at any time between as an exclusive email ID for Investors for the purpose of 7th May.05.156 Equity Shares/GDRs each to Equity Shares or Debentures of the Company.04 was adjusted to Rs.mahindra. 2011. Address for correspondence share. Bhosale Marg.: +91-22-67720400/67720300 Company.922. Igatpuri. Plant Locations 98.82. 2006 and 7th March. FCCBs amounting to US$ 18. registering complaints and the same has been displayed on the Company’s website. Non-Promoters’ Transfer Agents at: holding is 73.622 Equity Shares/GDRs The Company can also be visited at its website: are outstanding. the Mumbai . Instruments. 2010.400 072.00.35.400 018. the Company had repurchased 105 FCCBs aggregating US$ 1. no conversion of any FCCBs has taken place. on 31st March. as the trading in the Equity Shares of the Company Shareholders may correspond with the Registrar and is permitted only in dematerialised form. Chakan and Mohali. GDR representing One Equity Share of the Company at an The Company has also designated investors@mahindra.000 each (FCCBs) aggregating US$ 200 million issued on all matters relating to transfer/dematerialisation of in April.com 68 . may at the option of the Bondholder. Jaipur. Off Andheri Kurla Road. 2010.992 GDRs were outstanding as at 31st March. 5th Floor. 2.00. Fax: +91-22-28591568 Email: sharepro@shareproservices. the face value of Rs. Outstanding GDRs / ADRs / Warrants or any Convertible 13AB.461.00.000 email: investors@mahindra.58. 2006. Conversion date and likely impact on equity 2nd Floor. Limited and Central Depository Services (India) Limited as Rudrapur. form.14. be shares.com initial conversion price of Rs. Haridwar.95.66% and the stock is highly liquid.com convertible into around 1.18.02 Telephone Nos. The market lot of the share is one 17. Nashik. Andheri (East). Mumbai . Zaheerabad.

2007. 2. Mumbai . Sir Vithaldas Thackersey Marg (New Marine Lines). K. No Special Resolution was passed at the AGM. Mumbai . Next to Sachivalaya Gymkhana. 2007. 2009 30th July. 1956 upto an amount of Rs. A. Mahindra. Re-appointment of two Executive Directors of the Company viz. 6 . 3. MAHINDRA & MAHINDRA LIMITED VIII.1. Making investments etc. 19. 2007 11. Vice-Chairman & Managing Director for a period of 5 years with effect from 4th April.500 crores. 2008 3. 2009 which was convened at Y B Chavan Centre. Bharat Doshi and Mr. Alteration of Article 3 of the Articles of Association of the Company. Authority to the Board to recover from Eligible Employees.30 p. the fringe benefit tax in respect of Options which are granted to or vested or exercised by the Eligible Employees on or after 1st April. 2007.m. in excess of the limits prescribed under section 372A of the Companies Act. Details of General Meetings and Special Resolutions passed Annual General Meetings (AGM) held during the past 3 years and the Special Resolutions passed therein: Year Date Time Special Resolutions passed 2007 30th July. etc. Nanda for a period of 5 years with effect from 28th August. Other Disclosures 1.m. All the above Meetings were held at Birla Matushri Sabhagar. Anand G.30 p. 2009 3.30 p.400 020. General Jagannathrao Bhosale Marg. except the Annual General Meeting held on 30th July. 4. Re-appointment of Mr. 1.400 021. Change in place of keeping Registers and Index of Members and Debenture/ Bond Holders and copies of Annual Returns.m. 2007 3.m. Mr.00 a. Extraordinary General Meetings held during the past 3 years: Year Date Time Special Resolution passed 2007 20th April. 2008 30th July.

www. Ordinary Resolution to sub-divide 99.90 Secretary. Khumri. Rs. Details of non-compliance etc. 1956 and Rules made thereunder namely Companies (Passing of the Resolution by Postal Ballot) Rules. Means of Communication has been attached to the Directors’ Report and forms The quarterly.10 into 2 Ordinary (Equity) Shares of the Face Value of Mr. Office of the Chairman also put up on the website of the Company. During the last three years.co. Management Discussion and Analysis Report capital markets. These are not sent individually 5. half-yearly and yearly results are published part of this Annual Report. 3. Presentations are also made to international and 6.90 of the Articles of Association of the Company. 2001. on Corporate Filing and Dissemination System (CDFS) there were no instances of non-compliance by the viz. any statutory authority. The Company has provided the Chairman 7 . 2010 1. the common platform Company and no penalty or strictures were imposed launched by BSE and NSE for electronic filing by listed on the Company by the Stock Exchanges or SEBI or companies. The Company has been regularly posting information The Company has complied with all the requirements relating to its financial results and shareholding pattern of regulatory authorities. Practising Company 2. Management Discussion and Analysis Report (MDA) 3.mahindra. Compliance with Mandatory requirements to the Shareholders.in.com relating to Corporate Governance. Ordinary Resolution to amend Clause 99.5 each. 2. 5 of the Memorandum of Association Mumbai of the Company.Details of Resolutions passed through Postal Ballots durings the year 2009-10: Date of Board Description % of Valid Votes in Scrutinizer for Meeting favour of the conducting the Resolution Postal Ballot 25th January. Taizoon M. on any matter related to the 4. in Business Standard and Sakal which are national and local dailies respectively. Special Resolution to amend Clause 3 99. The Company’s results and official The Company has complied with all the mandatory news releases are displayed on the Company’s website requirements of Clause 49 of the Listing Agreement http://www. The procedure for Postal Ballot is as per section 192A of the Companies Act.99 each of the Ordinary (Equity) Share of the Face Value of Rs.corpfiling. Compliance with Non-mandatory requirements national institutional investors and analysts which are a.

The Company continues to adopt best practices to The Company has been a strong believer in good ensure regime of unqualified financial statements. Remuneration Committee the success of the enterprise and set a global The Company has set up the Remuneration/ benchmark for good Corporate Governance. one year. The Company is in substantial compliance with the 7. Compliance with the Corporate Governance – Guidelines and it will always be the Company’s Voluntary Guidelines. MCA has clarified that the Guidelines were Mumbai. Ministry Governance. 7 . 2009 endeavour to attain the best practices in Corporate In December. Corporate Governance and has been adopting the best The Company has not adopted the other non- practices that have evolved over the last two decades. 29th May. the value for every stakeholder who has contributed in b. adoption by Corporates and may be voluntarily adopted by public companies with the objective to enhance The Chairman is reimbursed all expenses incurred not only the economic value of the enterprise but also in the performance of his duties. MAHINDRA & MAHINDRA LIMITED (Non-Executive) with a full-fledged office. 2009 the Government of India. Guidelines by Corporates and after consideration of c. mandatory requirements as specified in Annexure I D of Clause 49. 2010. MCA after Compensation Committee long before application taking into account the experience of adoption of these of Clause 49 of Listing Agreement. Audit Qualifications the feedback received from them would review the During the year under review. of Corporate Affairs (“MCA”) had issued Corporate Governance Voluntary Guidelines 2009 (“the Guidelines”). there is no audit Guidelines for further improvements after a period of qualification in the Company’s financial statements. the prepared and disseminated for consideration and expenses of which are borne by the Company.

2010 Membership Number: 34382 7 . 2010 Vice-Chairman & Managing Director CERTIFICATE To The Members of Mahindra & Mahindra Limited We have examined the compliance of conditions of Corporate Governance by Mahindra & Mahindra Limited. DECLARATION BY THE MANAGING DIRECTOR UNDER CLAUSE 49 OF THE LISTING AGREEMENT To The Members of Mahindra & Mahindra Limited I. Shroff (Partner) th Mumbai. 29 May. as stipulated in Clause 49 of the Listing Agreement of the said Company with stock exchanges in India. 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. Mahindra th Mumbai. Anand G. adopted by the Company for ensuring the compliance of the conditions of the Corporate Governance. For DELOITTE HASKINS & SELLS Chartered Accountants (Registration No. Vice-Chairman & Managing Director of Mahindra & Mahindra Limited declare that all the Members of the Board of Directors and Senior Management Personnel have affirmed compliance with the Code of Conduct for the year ended 31st March. We state that such compliance is neither an assurance as to the future viability of the Company nor the efficiency or effectiveness with which the management has conducted the affairs of the Company. we certify that the Company has complied with the conditions of the Corporate Governance as stipulated in the above mentioned Listing Agreement. Anand G. 117364W) B. 2010. 29 May. Our examination was limited to procedures and implementation thereof. Mahindra. The compliance of conditions of Corporate Governance is the responsibility of the management.P. 2010. for the year ended on 31st March.

MAHINDRA & MAHINDRA LIMITED 73 .

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MAHINDRA & MAHINDRA LIMITED 75 .

76 . 5 each fully paid up in March. * Book value per share is shown after giving effect to a 1:1 bonus issue in September. Book value per share is calculated after reducing Miscellaneous Expenditure not written off and Revaluation Reserve from Net worth. .03 192. 10 each fully paid up into two Ordinary (Equity) Shares of Rs.50 @ Book value per share is shown after giving effect to the sub-division of each Ordinary (Equity) Share of the face value Rs. .26 165. . 224 Long-term 2801 3685 2187 1558 837 941 652 1072 1192 791 Borrowings Short-term 79 368 400 78 46 111 78 68 185 344 Current Liabilities and Provisions 5197 4798 3240 2666 2052 1760 1329 1095 1051 927 Deferred Tax Liability/(Asset) (Net) 240 (18) 57 20 147 190 203 177 138 - Equity Capital 283 273 239 238 233 112 116 116 116 111 Reserves 7544 4989 4111 3315 2676 1875 1659 1454 1388 1958 Net Worth 7827 5262 4350 3553 2909 1987 1775 1570 1504 2069 Book Value Per Share (Rupees) @138.29 174. Expenditure not written off 4 13 14 18 18 24 10 40 . . 2005.98 *123.56 128.89 130. 2010. - Inventories 1189 1061 1084 878 879 760 500 457 469 553 Debtors 1258 1044 1005 701 638 512 400 517 648 632 Other Current Assets 3595 2959 1555 2169 1232 1028 625 640 616 529 Misc. .46 150.87 147.12 180. .Financial Position at a Glance (Rupees in crores) 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 Gross Fixed Assets 6240 5541 4203 3510 3065 2810 2559 2489 2417 2231 Net Fixed Assets 3703 3214 2361 1871 1555 1475 1391 1466 1537 1483 Investments 6398 5786 4215 2238 1669 1190 1111 862 800 710 Foreign Currency Monetary Item Translation Difference Account Asset/(Liability) (3) 18 .

Current 749 58 279 366 285 215 63 12 3 8 Deferred Tax Liability/(Asset) 10 141 25 (15) (43) (14) 26 39 (25) - Adj.14 2.00 100.51 3.00 55. .97 15. 77 . 6 - Balance profit 2088 868 1103 1069 857 513 349 146 97 121 Dividends #+624 +312 +321 +325 +278 +172 +118 + 72 56 +67 Equity Dividend (%) #190. 2008.12 22.00 50.00 115.04 11. + Including Income-tax on Proposed Dividend/Dividends. pertaining to Prev.00 100. ▲31 .92 23.00 130.52 7. 19 . .00 Earnings per Share (Rupees) * 37.00 55. Years .16 2.58 19.00 90. ** Including CKD packs. for all the periods above.00 115. ▲ Profit of Mahindra Holdings and Finance Limited for the period 1st February. MAHINDRA & MAHINDRA LIMITED Summary of Operations (Rupees in crores) 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 Income @ 20595 14983 13238 11558 9451 7804 6001 4597 3997 4353 Direct 12333 9274 7726 6828 5714 4603 3353 2500 2117 2359 Materials Indirect 105 91 89 79 68 60 43 39 32 49 Excise Duty (Net) 1807 1587 1584 1335 1136 1055 955 785 677 755 Personnel 1198 1025 868 666 553 465 421 385 375 401 Interest (Net) @ 28 45 24 (67) (18) (6) 52 87 83 62 Depreciation (Net) 371 292 239 209 200 184 165 165 139 140 Other Expenses 1997 1643 1474 1192 909 743 603 496 476 443 Exceptional items (Income)/Expense (91) (10) (173) (122) (210) (14) (29) (57) 17 15 Profit before tax for the year 2847 1036 1407 1439 1099 714 438 197 81 129 Tax for the year . 2008 to 31st March.73 Vehicles produced ** (Units) 284516 201993 196956 169557 148213 148025 117670 87088 66256 63146 Vehicles sold ** (Units) 282119 206688 195077 169679 147591 145024 117399 86890 65338 62927 Tractors produced (Units) 173276 119098 98917 103847 87075 67115 50102 45183 54524 80261 Tractors sold (Units) 175196 120202 99042 102531 85029 65390 49576 47028 58006 79237 @ Interest income netted off in interest expense 129 89 63 87 45 36 25 29 33 51 # Proposed Dividend. * Basic Earning per share is calculated on effective capital during the year and after giving effect to the sub-division of the Ordinary (Equity) Shares in March 2010. .

6% 0.2 Automotive 57.56 0.58 23.1 0.6 0.97 16000 1800 13364 14000 32 1500 11672 12000 EPS (Rs.04 900 857 868 16 6000 15.8 Others 0.5 Times 0.0 FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 78 .) 2400 20000 48 18801 2088 18000 2100 40 37.) Net Income PAT 10221 1200 10000 24 22.12 8327 1103 1068 8000 19.92 600 4000 8 300 2000 0 0 FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 0 FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 Net Income Profit After Tax Net Segmental Revenue F-2010 Debt Equity Ratio 0.3 0.7 Farm 0.4% Equipment 0.37 0.4 0.Financial Highlights PAT and Net Income (Rupees Crores) Earnings Per Share (Rs.60 42.0% 0.46 0.31 0.

MAHINDRA & MAHINDRA LIMITED 79 .

80 .

1956 2. Shroff (c) the Balance Sheet. as well of the Company for the year ended on that date. 1956. according to the explanations given to us. 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. An audit includes (i) in the case of the Balance Sheet. MUMBAI. appointed as a director in terms of Section 274(1) (g) of the 4. As required by the Companies (Auditor’s Report) Order. of the cash We believe that our audit provides a reasonable basis for flows of the Company for the year ended on that date. we report that none of the Annexure a statement on the matters specified in paragraphs Directors is disqualified as on 31st March. the Profit and Account and the Cash Flow Statement dealt with by this Loss Account and the Cash Flow Statement of the Company report are in compliance with the Accounting Standards for the year ended on that date. 2010. on a test basis. 2010. On the basis of the written representations received from (CARO) issued by the Central Government in terms of Section the Directors as on 31st March. These financial statements are the responsibility of the Company’s Management. our opinion.117364W) have been kept by the Company so far as it appears from our examination of those books.34382) agreement with the books of account. We have audited the attached Balance Sheet of Mahindra & (d) in our opinion. 29th May. 1956. 3. paragraph 3 above. Further to our comments in the Annexure referred to in Companies Act. referred to in Section 211(3C) of the Companies Act. An audit also includes assessing the accounting principles used and (ii) in the case of the Profit and Loss Account. 2003 5. Those Standards conformity with the accounting principles generally accepted require that we plan and perform the audit to obtain in India: reasonable assurance about whether the financial statements are free of material misstatements. 2010 81 . and taken on record 227(4A) of the Companies Act. MAHINDRA & MAHINDRA LIMITED Auditors’ Report to the members of Mahindra & Mahindra Limited 1. the Profit and Loss Mahindra Limited as at 31st March. 2010. we enclose in the by the Board of Directors. Our responsibility is to express an (e) in our opinion and to the best of our information and opinion on these financial statements based on our audit. the said accounts give the information required by the Companies Act. 1956. evidence supporting the amounts of the Company as at 31st March. both annexed thereto. For DELOITTE HASKINS & SELLS Chartered Accountants (b) in our opinion. We conducted our audit in accordance with the auditing in the manner so required and give a true and fair view in standards generally accepted in India. B. of the state of affairs examining. and as evaluating the overall financial statement presentation. the Balance Sheet. the Profit and Loss Account and the Partner Cash Flow Statement dealt with by this report are in (Membership No. P. proper books of account as required by law (Registration No. (iii) in the case of the Cash Flow Statement. and the disclosures in the financial statements. 2010 from being 4 and 5 of the said Order. of the profit the significant estimates made by the Management.

In respect of its inventory: information and explanations given to us. provides for physical verification of all the fixed assets the transactions have been made at prices which are at reasonable intervals. to/from companies. in our explanations given to us. In respect of contracts or arrangements entered in the (b) There were no undisputed amounts payable in respect Register maintained in pursuance of Section 301 of the of Income-tax. The Company has neither granted nor taken any loans. 1975 with regard the Company. Sales Tax. To the parties listed in the Register maintained under Section 301 best of our knowledge and according to the information of the Companies Act. Customs Duty. Companies Act. the inventories were physically Company Law Tribunal or the Reserve Bank of India or any verified during the year by the Management at Court or any other Tribunal. Wealth Tax. not iii. 1956 in respect of proper records of its inventories and no material manufacture of motor vehicles and tractors and are of the discrepancies were noticed on physical verification. having regard to the (b) The fixed assets were physically verified during the year explanations that some of the items purchased are of by the Management in accordance with a regular special nature and suitable alternative sources are not programme of verification which. full particulars. firms or other determining whether they are accurate or complete. vi. (b) Where each of such transaction is in excess of Rs. Value Added Tax. In our opinion and according to the information and other product of the Company. having regard to the explanations that some of the items purchased are of special nature and ix. Wealth Tax. We have broadly reviewed the books of account maintained the Company and the nature of its business. 1956. in relevant provisions of the Companies Act. the Central Government has not prescribed the maintenance of cost records for any iv. no material discrepancies market prices at the relevant time. the Company has complied with opinion. vii. including quantitative details and situation of the fixed assets. in our opinion. In our opinion and according to the information and (c) The fixed assets disposed off during the year.5 lakhs in respect of any party. reasonable intervals. 1956 and the our opinion. Employees’ State purchases of inventory and fixed assets and the sale of Insurance. to the deposits accepted from the public. to the best of our knowledge and Cess and other material statutory dues in arrears as at belief and according to the information and explanations 31st March. do not constitute a substantial part of the the provisions of Sections 58A and 58AA or any other fixed assets of the Company and such disposal has. Income-tax. In our opinion. Excise Duty. During the course of our audit. not affected the going concern status of Companies (Acceptance of Deposits) Rules. According to the information prima facie reasonable having regard to the prevailing and explanation given to us. and explanations given to us. there is an adequate (a) The Company has generally been regular in depositing internal control system commensurate with the size of the undisputed dues. We have. According to the ii. however. the Company has maintained Section 209(1) (d) of the Companies Act. explanations given to us. the appropriate authorities. v. readily available for obtaining comparable quotations. including Provident Fund. were noticed on such verification. According to the information and explanations given to us suitable alternative sources are not readily available for in respect of statutory dues: obtaining comparable quotations. 2010. Cess have not observed any major weakness in such internal and other material statutory dues applicable to it with control system. 1956. the Company has an adequate internal audit (b) In our opinion and according to the information and system commensurate with the size and the nature of its explanation given to us. In respect of its fixed assets: (a) The particulars of contracts or arrangements referred to Section 301 that needed to be entered in the Register (a) The Company has maintained proper records showing maintained under the said Section have been so entered. verification of inventories followed by the Management were reasonable and adequate in relation to the size of viii.Annexure to the Auditors’ Report of Mahindra & Mahindra Limited for the year ended 31st March. opinion that prima facie the prescribed accounts and records have been made and maintained. the procedures of physical business. 2010 for a period of more than six months given to us: from the date they became payable. we Tax. Investor Company and the nature of its business with regard to Education and Protection Fund. no order has been passed by the Company Law Board or the National (a) As explained to us. by the Company pursuant to the rules made by the Central (c) In our opinion and according to the information and Government for the maintenance of cost records under explanations given to us. (Referred to in paragraph (3) thereof) i. Customs Duty. Excise Duty. Service goods and services. 82 . made a detailed examination of the records with a view to secured or unsecured.

preceding financial year. records of the Company.71 Service Tax Laws Service Tax Appellate Authority – Tribunal Level 2007-2008 1. MAHINDRA & MAHINDRA LIMITED (c) Details of dues of Income-tax. Chartered Accountants (Registration No. xx. xix. to the information and explanations given to us. According to the information and explanations given to us.39 Appellate Authority – Commissioner (Appeals) 1989-2010 24. carried out in accordance with the xiv. In our opinion and according to the information and shares to parties and companies covered in the register explanations given to us. debentures and other securities. In our opinion and according to the information and the Company has created security in respect of the explanations given to us. In our opinion and according to the information and (Membership No. the term loans have been applied B.16 Appellate Authority – Commissioner 2002-2010 6. the terms and conditions.49 Appellate Authority – Commissioner 1994-2010 34. we report that funds raised on short March. Customs Duty. The Company has not made any preferential allotment of xi. Shroff for the purposes for which they were obtained.83 Customs Duty Laws Customs Duty Appellate Authority – Tribunal Level 1992-2001 6. clause (xiii) of the said Order are not applicable to the xxi. In our opinion and according to the information and explanations given to us. During the course of our examination of the books and Company. Service been deposited as on 31st March. the Company has not granted any debentures issued in earlier years. Partner xvii. According to the information and explanations given to us. Wealth Tax.31 x. the Company has not given any guarantees for loans taken by others from banks or financial institutions. the repayment of dues to banks. the Company has not defaulted in maintained under Section 301 of the Companies Act.12 Tribunal Level Appellate Authority – 1999-2008 5. 2010 and has not incurred cash losses during the term basis have not been used during the year for long financial year ended on that date and in the immediately term investments. xii. by the Company. xv. P. we have Accordingly. debentures and other investments. in crores) Income-Tax Laws Income-Tax Appellate Authority – 2004-2007 8. and according shares. 1956. Sales Tax.87 Appellate Authority – Tribunal Level 1987-2007 0.99 Commissioner (Appeals) Sales Tax Laws Sales Tax High Court 1987-2008 181. 2010 83 . The provisions of any special statute as specified under the during the year. whereof. Excise Duty and Cess which have not disputes are given below: Statute Nature of Forum where Period to Amount Dues Dispute is pending which the amount involved relates (Rs. the provisions of paragraph 4(xiv) of the Order neither come across any instance of significant fraud on or are not applicable to the Company.117364W) xvi. 29th May. noticed or reported during the year nor have we been informed of such case by the management. In our opinion the Company is not dealing in or trading in generally accepted auditing practices in India. securities. The Company has not raised any money by public issue xiii. xviii.09 Excise Duty Laws Excise Duty Supreme Court 1991-1996 418.34382) explanations given to us and on an overall examination of MUMBAI. 2010 on account of Tax. financial institutions and during the year. The Company does not have accumulated losses as at 31st the Balance Sheet. debenture holders. in our opinion are prejudicial to For DELOITTE HASKINS & SELLS the interest of the Company. loans and advances on the basis of security by way of pledge of shares.22 Appellate Authority – Tribunal Level 1987-2009 221.

.....071........ 2...............................60 CAPITAL WORK-IN-PROGRESS (INCLUDING CAPITAL ADVANCES) .801..743.................... Parekh Narayan Shankar Company Secretary th Mumbai........796. III B 2.........................78 1...574..535......... 845............... P. Dasgupta Deepak S....... Kulkarni Anand G..............................91 7..............277....71 9....33 INVESTMENTS ...41 DEFERRED TAX ASSET (Net) [Note 22] ........................................29 4............Balance Sheet as at 31st March.880......39 5....................54 4....382.......43 1....... Shroff A.......... — 18.......314..76 DEFERRED TAX LIABILITY (Net) [Note 22] ................052...85 265......67 (b) Sundry Debtors ..... 29 May...................950... XIV In terms of our report attached } For Deloitte Haskins & Sells M.......93 CURRENT LIABILITIES AND PROVISIONS : (a) Current Liabilities ...54 1.............15 4.........87 1.46 — Total ........08 LOAN FUNDS : (a) Secured Loans ......... VI C 1.......55 Reserves and Surplus ..... 8... 964..56 5..... 3.......196.56 (e) Loans and Advances .......... APPLICATION OF FUNDS : FIXED ASSETS : Gross Block .326.......................400..........62 Employee Stock Options Outstanding ........................................11 CURRENT ASSETS..............042.. VII A 3..43 (d) Other Current Assets .... VI A 1. SOURCES OF FUNDS : SHAREHOLDERS’ FUNDS : Capital……………………… ...........276............. Godrej A.. III A 602....... LOANS AND ADVANCES : (a) Inventories .....73 3....062..72 3.....77 5.............982..........520.27 FOREIGN CURRENCY MONETARY ITEM TRANSLATION DIFFERENCE ACCOUNT .23 1........................00 3.. 10...45 981....060...... 2010 Rupees crores Schedule 2010 2009 I........ 5. 2010 Mumbai...................................................65 (c) Cash and Bank Balances ...... II 7.84 NOTES ON ACCOUNTS ...702.... V 6. 29th May.89 Less : Depreciation ...76 NET CURRENT ASSETS ....258.....00 (b) Unsecured Loans ...............................................043.............826.....76 2..... P................... VII B 1................ Murugappan Keshub Mahindra Chairman Chartered Accountants N......... 10.. 2010 84 .............950.262............277........................... M............214.................17 MISCELLANEOUS EXPENDITURE (TO THE EXTENT NOT WRITTEN OFF OR ADJUSTED) . I 282. VI E 1.....................20 646...893.............52 2..........20 (b) Provisions ..02 5........01 6...08 1.......................................................... Ganguly B..62 6. K...567......................71 9.................81 4..... B................................ IV 2...... VI D 50................. K..................537..............70 3....... VI B 1.......29 Net Block .................... Mahindra Vice Chairman & Managing Director A................. Vaghul R.786...............55 Total ...............77 2........................... S...797.....738............... Puri Directors Bharat Doshi Executive Director Partner N.......................... 240................314..84 II..12 12..................... — 18.................................95 272...................188.....33 — FOREIGN CURRENCY MONETARY ITEM TRANSLATION DIFFERENCE ACCOUNT .. VIII 4...398.............................

....78 Add : Profit of Mahindra Holdings and Finance Limited for the period 1st February.......29 (32.................024......................................................................................................................................... 3..................................... K........ 74.......................................................... XII 27..026. Commitment and Finance Charges (Net) ..............794..61 15.........51 Balance of Profit for earlier years ...... P..........Current Tax (including Fringe Benefit Tax) ...........................846........ 2.. 749...................................................02 EXPENDITURE : Raw Materials....................... X 12..................... XIV In terms of our report attached } For Deloitte Haskins & Sells M..801................23 Excise Duty .......832............ M.....23 33.............................20 Add : Exceptional Items [Note 21] ........................................... Dasgupta Deepak S................ 18...........34 16...................777................ 35...46 12........... XI 1..........274..............................198.................036....32 EARNINGS PER SHARE [Note 24] : (Face value Rs... 29th May.....................05 12....06 Income from Operations ................. 90.....268..... 29 May............................51 ......... 2.........................34 Net Income ......23 Balance for 2009-2010 and earlier years carried to Balance Sheet ............... Godrej A..........47 Less : Provision for Tax ............Traded and Manufactured Goods ......................... Kulkarni Anand G........ S................................. 2..46 13... Murugappan Keshub Mahindra Chairman Chartered Accountants N.........per share) (Rupees) Basic ...................................................... 37................00 1.37 3........................................... (30...........................74 1..........................06 14.........73 Balance of Profit for the year ..............78 291.......................332..................................... K.......756.................................................. Puri Directors Bharat Doshi Executive Director Partner N.........65 Less : Cost of Manufactured Products Capitalised .................087......... Parekh Narayan Shankar Company Secretary th Mumbai................00 100.....92 9.............. IX A 564...........................................37 2...................................045...............48 Amount Transferred on Amalgamation of Mahindra Holdings and Finance Limited [Note 23(a)] .......................80 Total of Profit and Loss Account balances shown above ........................83 Income-tax on Proposed Dividend ...........775............30) Personnel ............. 1.............. — (4. P.94 Less : Transfer to Debenture Redemption Reserve (Net) ....................773...... 370...............334. Vaghul R......Deferred Tax (Net) ............... 549. 19......52 278.......00 Credit of Income-tax on Proposed Dividend of Previous Year ..................................................................92 Diluted ...................... Shroff A..380...83 16.. 2010 Mumbai.........62) 3...75 1... 2010 85 ........365......................... 13.......... Ganguly B.....................588............................... XIII 2............01 1................................. IX B 199..........................365............................ 18............35 270.............. 2...............55 42... 5/....................... — 30....07) Proposed Dividend ..........31 Less : General Reserve ........... MAHINDRA & MAHINDRA LIMITED Profit and Loss Account for the year ended 31st March..............06 444..33 58......................................... Finished and Semi-finished Products ..82 Profit before exceptional items and taxation ....32 2................................... 5...............................01 12......................................41 Less : Excise Duty on Sales (Net) ...75 836..............81 45... 4.... Mahindra Vice Chairman & Managing Director A.......61 Interest.........087.............................. 9..................................619............. B. 2008 ....................649............................................47 1......161.......................................905................. — 159..26 Depreciation/Amortisation [Note 5(c)(i)] .......038....35 Net Sales ............................................................95) (29................75 867.................51 Other Expenses .... 59.............337.................18 Profit for the year ...62 Other Income .....75 10.................97 15.. 210......422........ 2010 Rupees crores Schedule 2010 2009 SALES ......................01 NOTES ON ACCOUNTS .......67 141.105.................................................. 2008 to 31st March.........364.......27 Profit before taxation ..........12 3.......................

047.......................32 83.............................................87 1...............................98) Exceptional Items : Sales Proceeds (Net) on sale of Long Term Investments ............... — 30.........74) Sale of fixed assets .................26 137.............941....................756..........................01 — 41.....................................................90) Interest......32 Profit on sale of investments (Net) ..................................................................Cash Flow Statement for the year ended 31st March....... (10.. 370.............07 11...........30) NET CASH FROM OPERATING ACTIVITIES ..................80) (266........ 2008 ................73 Interest received ................36 14. 100.56 Changes in : Trade and other receivables ...... CASH FLOW FROM OPERATING ACTIVITIES : Profit before exceptional items and taxation ..12 Amortisation of Expenses ................10) (17......49 1.022...............................30 Investment and Interest Income ...............................73) Cash generated from operations .. 87. 18.................. — (11...... (711....... 2.................................25 6...30 B......... (261.................08 515....45) 591................ (967....151..00 1..........89 16...........87 Dividends received .............345........... 2.....................731.... 3..........78 291....40) (92...........00) 86 ............... (0...........13 (4............................052.85 134.............................................. (458......52 (Profit)/Loss on Exchange (Net) ... 2008 to 31st March........ 6.............01 Trade and other payables .....026.631...118................19 Excess of cost over fair value of current investments (Net) ..........195..............58 Purchase of investments ......................62 Operating Profit before Working Capital changes ............................ (19.......83 1........14 — NET CASH USED IN INVESTING ACTIVITIES .................. 2010 Rupees crores 2010 2009 A.......59) Sale of investments ...........................................37) Inventories .................................13 Inter corporate deposits (Net) ......44) (1....... — 11.......... 3.. (133.......... 6...................................................336.....................................69) (99.....................32 1..60 Income Taxes paid (Net of refunds) ............................ (1........... 20.........74 79.38) (100.... 92.....26) (1.......... Commitment and Finance charges ....... 156.....20 Adjustments for : Net Profit earned by Mahindra Holdings and Finance Limited from 1st February..74 Adjustments for : Depreciation/Amortisation ............57) 296... 588... CASH FLOW FROM INVESTING ACTIVITIES : Purchase of fixed assets ... 14........................73 Taxes and other adjustments on above ..............................................................67) (319...........................84) 176........36) Loss on fixed assets sold/scrapped/written off (Net) ................................................................................490.......................................... (133.....77 Miscellaneous Expenditure (to the extent not written off or adjusted) incurred during the year .............06) (929..

. Commitment and Finance charges paid ...... Shroff A......... P...........561.........................91 NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS ....26) Interest.. 33.. K.........39 Repayments of borrowings (including premium on prepayments) ........................ Parekh Narayan Shankar Company Secretary Mumbai.............. B.............83 923...........02) Closing Balance ............................... 72.. 207..... Godrej A............. (743.... — 253.. Vaghul R..........87) 696.....................88 Cash and Bank Balance acquired pursuant to the Schemes of Amalgamation . P...20) (3...................................... CASH FLOW FROM FINANCING ACTIVITIES : Proceeds from Issue of Share Capital (including Share Premium) ..... 2010 Mumbai.... 29th May.......... 29th May.. (311........ (18..........76 Cash and Bank Balance Transferred on transfer of Business .. MAHINDRA & MAHINDRA LIMITED Cash Flow Statement (Contd..... (7..........................32 2...........005....750........................................ In terms of our report attached } For Deloitte Haskins & Sells M.......... Murugappan Keshub Mahindra Chairman Chartered Accountants N....48) (95.. Puri Directors Bharat Doshi Executive Director Partner N.. 436.117...05) Dividends paid [including income tax on dividend Rs....18 387.... Kulkarni Anand G.81 1........ 38........... Dasgupta Deepak S....................... Ganguly B.............77) — NET CASH (USED IN)/FROM FINANCING ACTIVITIES ..... 2010 87 ....) Rupees crores 2010 2009 C....... Mahindra Vice Chairman & Managing Director A....... 1.........98) (1...........36) (320......561...40 — Proceeds from borrowings ............... M....83 See Notes attached...48 crores)] .... K.. (783... S.....................23 crores (2009 : Rs......17) Stamp Duty paid on shares issued on merger ..21 CASH AND CASH EQUIVALENTS [Note 1] : Opening Balance . (229.......... 1.........

.. 32...............58 (12.................. 0.. 33........................ The value of the assets and liabilities of the business transferred are at the values indicated below : Fixed Assets (including Capital Work-in-Progress) ....43 — Current Liabilities and Provisions .... to a wholly owned subsidiary in the current year with effect from 1st July.................27 crores respectively.. 1.. 14.........................750...........574...........47 — This transfer of the Land Defence Systems business of Mahindra Defence Systems division is a non-cash transaction............743...43 Unrealised (Gain)/Loss on foreign currency cash and cash equivalents .............. a division of Mahindra & Mahindra Limited............60) Total cash and cash equivalents ..... 5 Previous year’s figures have been regrouped/restated wherever necessary..........23 1.. 7........ 26................................ 3 During the year the Company received on disposal of its subsidiaries Mahindra Logisoft Business Solutions Limited and Mahindra Steel Service Centre Limited Rs..................42 — Current Assets .....01 crores............. 88 ..........Notes to the Cash Flow Statement for the year ended 31st March.. 2010 Rupees crores 2010 2009 1 Cash and Bank Balances ...........81 1..... 2009....... 4 The Company transferred the Land Defence Systems business of Mahindra Defence Systems....83 2 During the year the Company formed Mahindra EcoNova Private Limited as a wholly owned subsidiary with an initial subscription of Rs... 5.......561..............71 crores and Rs.......... 1...

.62 6 Investment Fluctuation Reserve [Note 23........25.592 Ordinary (Equity) Shares of Rs. 25 & 26] ...........05.23 3..........00............20 71. 10 each)…………… 600..00 Issued and Subscribed : 57..62 — 47.18 crores (Net of Tax of Rs.61 173...62 30.......79 6. 493.  Provisions no longer required written back..82 289....20 Adjusted : Issued and Subscribed Share Capital ....88..74 210...... 3.......34 — 1..28 — (0.09 — 0.50 — — 11......95 272.....  Amount utilised for expenses incurred on amalgamation of previous year Rs........ 282.....86 43..947.... 5.37 3...... 210....20..........47 2..79 crores. 289......29 16....26............ 5 each fully paid up (2009 : 62..59 8 Balance for 2009-2010 and earlier years as per Profit and Loss Account ........92) — 421.00 625............ 25..25 752...52 964.535.21 278... 89 .79 784......... 2.030.........44 1..... 4.... 7.. 672..59 1....31 84............187..... 15...59 713.........26 6.00 625.09 4 General ReserveI ..... 47.14 15.365..74 Add : Bonus shares issued to ESOP Trust but not allotted to employees [Note 3(b)] ....21 278..95 crores (2009 : Rs...00 600.... 17........14 81... MAHINDRA & MAHINDRA LIMITED SCHEDULE I Rupees crores 2010 2009 Share Capital [Note 2] : Authorised : 1............50 2 Securities Premium Account [Note 3(a)(i)] ..79 39.................20 493.588.....14 7 Hedging Reserve Account [Note 3(c)] ...........00..59 3 Revaluation Reserve [Note 3(a)(ii)] ..34..... 5 each (2009 : 60.271...28 1. 0...12 1........70 510....81 1....... 100 each ...84 5 Debenture Redemption Reserve .........50 — — 11...33 — 0.. 10 each fully paid up) . 12. 2009 on Accounting Standard 11 (Net of Tax of Rs....00 crores (2009 : Rs............ 826......00 25........00 crores)...82 Less : 1.......21.19) 1...306 Ordinary (Equity) Shares of Rs..58 crores)..10 — 0.......982.10 829.331....47 — 0...52 70.66 39..........00.....00 6.. 625........59 crores) and impact of tax rate change on net debits to General Reserve Rs.00 25.......14 23.00 Total .92 117..411.....033.......20 478....50 11.......000 Ordinary (Equity) Shares of Rs..86 44. • Adjustment on adoption of Companies (Accounting Standards) Amendment Rules...27 (434.617...38 12...617.........84 210....29 2...00 6......19) 433.......  Transfer from Profit and Loss Account Rs.....59 1......43 806..91  Transfer from Profit and Loss Account Rs.....62 748.....000 Ordinary (Equity) Shares of Rs..39 4..90 672..62 crores)...40 2......42 11....97• 826.... 5 each fully paid up (2009 : 27.00......06 478......79 40.....79 Less : Premium on shares issued to ESOP Trust but not allotted to employees [Note 3(b)] .....20 829.....91) (12.99 527...00....59 1..  Amount transferred during the year on amalgamation Rs...84...95 — 78...............00 29..25 117......67 12..478 Ordinary (Equity) Shares of Rs... 29....... 6.............81 4.. 20.79 10..........63 3. (434..........265 Ordinary (Equity) Shares of Rs..94 crores...... 30.........000 Unclassified Shares of Rs.....13 10....62 #REF! SCHEDULE II Rupees crores 2009 Additions Deductions 2010 Reserves and Surplus 1 Capital Reserve 11.88 678.... 100.... 10 each fully paid up) issued to ESOP Trust but not allotted to employees .....32 Total .57 18..

................291..52 2.... 28.70 3......60 90 .07 9...770......29 (3) Loans and Advances on cash credit account from Banks ...31 7...19 153.643..... 638..071...01 56...........69 276...30 1........86 11.. — 2.68 119..59 4.............43 53.18 Land ...61 45.....09 Software Expenditure ...23 169...............54 11.. during ments March.... March... Deprecia...596......11 41.08 502..........326.......65 (c) Zero Coupon Convertible Bonds .........60 155.567.893......... 850..65 59..01 600...... 4..276.. 2010 2009 the year Amorti...893....88 — 410........................... 600............ Cost/Pro...58 — 2..... — 253.. 240.....25 2.. and valuation tisation Amor....... 2009 the year during 2010 2009 2010 ciation/ March...SCHEDULE III Rupees crores 2010 2009 Loan Funds [Note 4] : (A) Secured : (1) Debentures/Bonds ...28 1.. 122.89 589..... 3...738........00 (4) Short-term Foreign Currency Loans from Banks ..31 7..44 76......111. etc ..............052.00 (3) Other Loans : (a) From Financial Institutions .....35 625.... as at as at as at 31st ments adjust..99 12...........75 Plant and Machinery .....52 2.......Leasehold .29 2.52 — 0. Deprecia............23 7...93 39............ for 2009....14 36.58 — 0..62 52.... 47... 2..11 484....25% Fully and Compulsorily Convertible Debentures .......99 10..15 4...44 3......................28 8........ — 124......61 22...06 — Development Expenditure ...567.......53 Total ....72 2......85 961.........91 Furniture and Fittings .. Net Net Professional and tions fessional tion/Amor.. 501.03 7.......45 981.14 35.......841...97 — 63....656..14 70...74 — 47..78 51.69 134.......... Deductions Deprecia.... 166......76 SCHEDULE IV Fixed Assets [Note 5] : Rupees crores Description of Assets Cost/ Additions Deduc..48 68.06 2.....00 29.08 Vehicles..48 49..... tion/ and tion/ Balance Balance valuation adjust....29 2.960...........87 59.01 (2) Foreign Currency Loans from Banks ...... March..880.......91 2.37 169.....67 — 3.............610........ adjust..52 (d) 9........29 371.......41 54..07 — 56.....68 1...... 2010 sation Land .22 30....97 73...60 3...................86 19. 2........ Amortisa.........11 332.......Freehold ....30 Buildings .985..........70 602.127... of Depre.76 Total ...52 12.00 199.........34 206......68 (b) Foreign Currency Loan from Banks ....... — 80..42 20...60 329.85 17.. 131....... Cycles. — 700.00 (B) Unsecured : (1) Fixed Deposits ....77 2.....70 2... 56.......01 — — — — 49...68 514.. 730......94 671...............277.13 1.35 634.98 1..94 5..85 (2) Short-term Loans from Banks ...........48 2..537.00 (e) From Others ...........62 133....22 3..67 4................60 58...... 61.....97 — 78........76 Technical Knowhow .....20 159.326...........89 1..98 0..39 2.....18 0.. to 31st March. as at 31st to 31st tisation ments tion 31st 31st March...............

...00...... 0... (b)(c)(8) 585..06 — 0................ 15......50 — 2..29 — 0.....00........20...................55....................000 10 Mahindra Navistar Engines Private Limited .....55 — 22.............31 — 15......00...........12 — (b) In Other Companies : (i) Equity Shares : 312 100 Montreal Engineering International Limited .....000 US$ 1 Mahindra Overseas Investment Company (Mauritius) Limited .63........... 0...75 — 40....72 — 31........001 Bristlecone Limited .............997 10 Officemartindia.........................................00 — 7.80......99..........00...........00..72 — 25.001 (iii) Series’B’ Preference Shares : Bristlecone Limited .09 — 0......06 — 20.............. 0.........50.....12 — 28.........15 — 21.............. 7..000 US$ 0.000 10 Mahindra Aerospace Private Limited ....10...............000 ZAR 1 Mahindra & Mahindra South Africa (Proprietary) Limited ........................000 US$ 0.83 — 2..........46.000 91 ....24...15 — 0...............000 10 Mahindra & Mahindra Contech Limited ........................55 — 2.. MAHINDRA & MAHINDRA LIMITED SCHEDULE V Investments (At Cost.....000 10 New Tirupur Area Development Corporation Limited .....................40....27 — 2.............00 — 23..... 0..95................ 5.......... (c)(10) 84...44 — 47..........00...........................10......... (c)(6) 21...70..............00 Mahindra Lifespace Developers Limited ........000 shares partly paid-up Rs...00 — 2................806 10 Mahindra Gears & Transmissions Private Limited (formerly known as Mahindra SAR Transmission Private Limited) .............49.......... 19...................................47......490 10 NBS International Limited ...........250 US$ 0............750 5 PSL Erickson Limited ......14.........10 — 0......25 — 50...90.....................94 — 0......60 — 16....00........35 — 11.999 10 Mahindra Holdings Limited .........41.... 118........ (c)(11) 10.....96 — 5........... 1..006 10 Mahindra Intertrade Limited [including 1......98......17 — 1.. 3......05 — 8......646 10 Machinery Manufacturers Corporation Limited ........000 EURO 1 (v) Preference Shares : Mahindra Gears International Limited .........................22 — 50.. 0............. 28..211....................................00 — 10...........04 — 75..000 AU$ 1 Mahindra Automotive Australia Pty.218 10 Mahindra Engineering Services Limited………………………….05 — 49....38 — 154....... 0..97 — 0............................ (c)(13) — — 30............50..........00.........54 — 17... 16...44 — — 10 Mahindra Logisoft Business Solutions Limited ................................ (c)(3) — — 5................. (b) 25......877....27 — 3. (c)(12) 16. * — * — 8. (c)(16) 0............. ....31 — (vi) Share Warrants Convertible into Equity Shares : 42.58 — Others .......85......29 — 9....83 — 137..........................10 — 204........................ 5.....24 — 81....... (c)(14)&(15) 34.........00.........25 — 4.794 10 Owens Corning India Limited ....000 10 Mahindra EcoNova Private Limited ...............02 — 2.........22.......................82 — 2....... unless otherwise specified) : Rupees crores 2010 2009 Face Value Number Per Unit Note Long Term Current Long Term Current Rupees Shares (Non-trade and fully paid-up unless otherwise specified) : Unquoted : (a) In Subsidiary Companies : (i) Equity Shares : 53.......24........00........................81..........................15 — 7.....01 — 4...........................98..... 0.05...........00.............78 — 42....83........30........ 31..000 10 Mahindra First Choice Services Limited ..........87.............38 — 20...26 — 5....32....64 — 0......94 — 1................000 10 Mahindra Sona Limited ..000 100......................96 — 59......255 10 Mahindra First Choice Wheels Limited .... 137.....000 US$ 0.......71....26...... 0..............001 (ii) Series’A’ Preference Shares : Bristlecone Limited ........000 10 Mahindra Construction Company Limited . 10..000 10 Mahindra Two Wheelers Limited .50 — 7..49.....00 — 165...........09 — 13..................02 — 0..10 — 35... (b)(c)(7) 209..........31 — 58. (b) 0.... (b)(c)(4) 28... (c)(17) 14......07.........38 — 14.55 — 5....25....................000 10 Triton Overwater Transport Agency Limited .............97 — 5.........00 — 118..05 — 2.........001 EURO 1 Mahindra Gears International Limited .....12 — (iv) 10........ 49.....00............00 — 485..50.......77 — 10.....000 10 Business Standard Limited ..........72 — 69...04 — 0.......72 — 3.....58 — 0.50.................07 — 5.............07 — 11.900 10 Mahindra Logistics Limited ....26 — — — 10.. .......218 10 Mahindra Gujarat Tractor Limited .....64 — — 10 Mahindra Holidays & Resorts India Limited (transferred to Quoted Subsidiary) ..437 10 Mahindra Shubhlabh Services Limited ................22 — 0....com Limited ............50...............300 10 Mahindra Navistar Automotives Limited ........... 0....000 10 Utility Engineers (India) Limited .......................26 — 19...05 — 1..... 47......................64 — 1...... (c)(9) 130.......01 — 0....28 — 40................62. (b)(c)(2) 66.......12 — 19.. 0..... 15..16.........10 Mahindra USA Inc...42.37 — 44...34 — 1...... (b) 154.... 3 per share] .270 10 Mahindra Forgings Limited ..25 — 105... (c)(1) — — 6.......000 10 Mahindra Vehicle Manufactures Limited .......000 10 Indian NGOs..................50% Non Cumulative Redeemable Preference Shares : 10........... 0..............462 10 Mahindra Engineering and Chemical Products Limited .........00...............com Private Limited ...55 — 3......... 50......... 22..232 10 Mahindra Renault Private Limited .......000 10 Judricks (India) Private Limited ......000 10 Mahindra Consulting Engineers Limited ...82 — 5.....00......................000 10 Sixth Sense Studios Private Limited ....... 2............49.....60 — — 10 Mahindra Steel Service Centre Limited .............000 10 NTTF Industries Limited ..................20............052 10 Mahindra Castings Limited (formerly known as Mahindra Castings Private Limited) ........81.... 0........ (b) 59......55 — 0..........000 10 Defence Land Systems India Private Limited (formerly known as Mahindra Defence Land Systems Private Limited) ..............00............01 — — — 70.77.................. Ltd..64 — 75....00........ (a) * — * — *denotes amounts less than Rs.............30 — 16.......12 — 15.... (b)(c)(5) 270.......72 — — — 2...

........90 — 25 100 Jardine Henderson Limited .........76 — Quoted : (a) In Subsidiary Companies : (i) Equity Shares : 2..45.95 — 276.45 — — — 2..00 — * denotes amounts less than Rs.00 — 25...................867 Class ‘A’ shares partly paid-up Re.........26 — 6............ — * — * 5........86 — — — 1............. 1.....81 — — — 211...) Investments (At Cost......41..........99....................000 100 2.................789 10 Mahindra Ugine Steel Company Limited .........................45..........19 — — — (ii) 0........... * — * — 2..78..66.90 — 2...000 100 Sixth Sense Studios Private Limited ....00... 191.....296 100 Machinery Manufactures Corporation Limited .....07 — (b) In Other Companies : (i) Equity Shares : 41....76 — 61....423........26... 12....000 100 Mahindra Construction Company Limited .........417 10 Swaraj Engines Limited ....867 10 Wardha Power Company Limited [19...............40 — 5........................85...........................................07 * 19.............. (c)(18) 2........203 10 Mahindra Composites Limited ......1 per share] .78 — (iv) 10% Non–Cumulative Redeemable Participating Preference Shares : 5..64..28 — 900 10 Power Trading Corporation of India Limited .........................76...... 5....00 — (b) In Other Companies : 13 100 0......642 10 Mahindra Holidays & Resorts India Limited (transferred from Unquoted Subsidiary) ......543 10 Swaraj Automotives Limited ....................00 — 25..........41...................45 — 12............................ 276.133 10 Wardha Power Company Limited ....... (b) 0..........14 — 1.......81 — 4..........26............95 — 5..... USA ...........23 — 1...440 10 IDBI Bank Limited ...26 — 49....339 10 Mahindra Forgings Limited .....83 — 13... 49.......40 — (v) 8% Non–Cumulative Redeemable Preferred Stock : 23.. (c)(18) 0.08......45..............59.....40....000 92 ..SCHEDULE V (Contd...............423 Prana Holdings Inc............ (b) 28...02 — 0..................... 2. 2................... 13............................64 — — — Debentures/Bonds : (Non-trade & fully paid-up) : Unquoted : (a) In Subsidiary Companies : 25.........301... 150.......91 — 150..50% The East India Clinic Limited ...63 — 10.......85........00..........91 — — 10 Tech Mahindra Limited (transferred to Quoted Non Subsidiary) — — 191...................78 — 1...01% Class ‘A‘ Redeemable Preference Shares : 24...........82......................................45 — 13.....................126 10 Mahindra Lifespace Developers Limited ........46...........54......00% Mahindra Holdings Limited .....25 — 754..83 — 61....26 * Shares : (Trade & fully paid-up unless otherwise specified) : Unquoted Others : (i) Equity Shares : 19.... 1.........02 — (iii) 11% Redeemable Preference Shares : 1.......... * — * — 25.....................63 — 1... 50.252 10 Tech Mahindra Limited (transferred from Quoted Subsidiary) ..............................37....28 — 2........ 25...... unless otherwise specified) : Rupees crores 2010 2009 Face Value Number Per Unit Note Long Term Current Long Term Current Rupees (ii) 4% Tax–free Cumulative Preference Shares : 2.................. (b)(c)(17) 795....532 10 Mahindra & Mahindra Financial Services Limited ............

.00......84 — 10 Birla Sun Life Mutual Fund ......00 — — — 77.....................00 — 10 Birla Sun Life Mutual Fund ... MAHINDRA & MAHINDRA LIMITED SCHEDULE V (Contd.................02 Less : Excess of cost over fair value of current investments of Debentures/ Bonds ..................35) 25......80 — 10.459.........67 Other Investments : Trust Securities : Unquoted : — Sunrise Initiatives Trust ...99% Infrastructure Development Finance Company Limited ......80 — 1...37 — 51........511......17..........16 — 1...... (d)(7) — 10......91 1......................77 — 1......... (f)(2) — 15............................... (d)(4) — 20..91 — 1......................95 — — 50 10.... (d)(8) — 10......... — — — (0........085 1......12 1.......91 Less : Excess of cost over fair value of current investments of Government Securities ..000 1..Saving Fund Institutional Daily Dividend .00 37.......22 250 10............ 1.....00 77..........00% Indian Railway Finance Corporation Limited .......01 — — M & M Fractional Entitlement Trust ......... unless otherwise specified) : Rupees crores 2010 2009 Face Value Number Per Unit Note Long Term Current Long Term Current Rupees Quoted : (a) In Subsidiary Companies : — 10.............67 — 34.91 ^ Total Face Value Units : Unquoted : 1......55....50% Mahindra & Mahindra Financial Services Limited ...... — * — — 1.12 1. (d)(2) — 25.. (d)(3) — — — 15........285 10 Canara Robeco Mutual Fund .......00 — — 500 1...00.....00 — — (b) In Other Companies : 18 10..93........000 6....... (e)(1) * — * — 1...00..........................000 1..511................02 — — 46..599 10 Birla Sun Life Mutual Fund ....................000 7.................... (d)(6) — 5...50% Mahindra & Mahindra Financial Services Limited ..000 93 .......... 50.......................FTP Institutional Series AV Dividend .......................548.......... (d)(1) — — — 20..............00 77. (f)(3) — — — 5...............548..30% Indian Railway Finance Corporation Limited .... 0..00.........00.......00................75% Rural Electrification Corporation Limited .00 36...459...91 — 1..271 10 Birla Sun Life Mutual Fund ..16 1............ 0.......00% Power Finance Corporation Limited (2011) Series XXII .........00 — — 1......00... (f)(6) — 10....77 — — Mahindra World Motor Driving School Trust ...01 — 1...........16 — 1....000 6..24 — — 1..16 1..............BSL Floating Rate Fund Long Term Institutional Weekly Dividend ..00 50.........000 6........00... (d)(5) — 5.......511.......000 7..............................665 10 Birla Sun Life Mutual Fund .....Dynamic Bond Fund Retail Plan Monthly Dividend ..) Investments (At Cost...........000 7......................01 — 0...00 — — 1...........00 2.12 — Quoted : — 1.............00................548...000^ Government of India Securities ...........00......91 1... (e)(2) — 1.................................12 — Government Securities : Unquoted : — 26.....511..........92.........................................75 25. (f)(5) — 5......................75 — 37.......85% India Infrastructure Finance Company Limited .Liquid Super Institutional Daily Dividend Reinvestment Fund ...000 7..000 6.. 88.02 25...........91 — 1...........FTP Institutional Series AK Dividend .............56..........33 — — M & M Benefit Trust ...................00.....................548.....................71 — — * denotes amounts less than Rs. (f)(4) — — — 10..91 1.....75 25................000^ 6 Years National Savings Certificates ..................01 — 0.. — 1....................000 8.........70....70% Indian Railway Finance Corporation Limited ....... (f)(7) — 4.....

India Treasury Management Account Super Institutional Plan Daily Dividend ........... (f)(22) — — — 30.................Cash Management Fund Savings Plan Daily Dividend Reinvestment Option ......................94.....43.................03.....................86 — 16....691 10 Deutsche Mutual Fund ......52.........................22 — — 50.10 — 20. (f)(19) — — — 5........768 10 Deutsche Mutual Fund ..................... (f)(38) — — — 25....... (f)(34) — — — 50.....409 1...........Fixed Maturity Plan ..64..........92 — 10 IDFC Mutual Fund ...........000 Franklin Templeton Mutual Fund ..205 10 HDFC Mutual Fund ........Series 43 (13 Months) .000 10 J P Morgan Mutual Fund ........25 — 50............. (f)(27) — 9...........250 10 Kotak Mahindra Mutual Fund ..................................................74 — 10 Kotak Mahindra Mutual Fund ... (f)(52) — 18..............Floating Rate Fund Institutional Plan Daily Dividend ..................09.......Treasury Advantage Super Institutional Daily Dividend Reinvestment ............. (f)(53) — 11.......Money Manager Fund Investment Plan B Daily Dividend ..........14 7............... (f)(17) — — — 50.................. (f)(13) — 5........India Ultra Short Bond Fund Super Institutional Plan Daily Dividend ..... (f)(36) — 5............30 49......... (f)(39) — 5.....57 — 10 Franklin Templeton Mutual Fund ....................10............................................ (f)(24) — — — 14..................Floating Rate LT Institutional Option Weekly Dividend (f)(32) — — — 36.91..............................00 4...... (f)(28) — 17..........Savings Plus Fund Daily Dividend Plan ....445 10 Prudential ICICI Mutual Fund .00................48....23 — — — 10 JM Financial Mutual Fund ... (f)(48) — — — 50.......FMP 15M Series 5 Institutional Dividend ......00 — — — 10 Kotak Mahindra Mutual Fund ..... (f)(49) — — — 10........Freedom Income STP Institutional Daily Dividend Reinvestment Plan (formerly known as DBS Chola Mutual Fund) ............71.................00 — 10 Franklin Templeton Mutual Fund ................16 — 20.........Floater Long Term Daily Dividend ...073 10 Canara Robeco Mutual Fund .............................96 — — 20.... (f)(47) — 5..........46 94 ....04........22 — — 2.........SSIF Short Term Plan B Fortnightly Dividend ........SCHEDULE V (Contd.......................Fixed Term Series 54 Institutional Dividend Tenure 370 Days ...........10.909 10 HDFC Mutual Fund ....Cash Fund Super Institutional Plan C Dividend ...........26 — — — 10 Fortis Mutual Fund ........879 10 JM Financial Mutual Fund ...............48............694 10 HDFC Mutual Fund ...Money Plus Institutional Plan Daily Dividend ................................................................ (f)(26) — 25..............Institutional Liquid Plan Super Institutional Daily Dividend ....................779 10 IDFC Mutual Fund ...00 — 10 Prudential ICICI Mutual Fund .................. (f)(54) — 25...............47 — 50.....................................00 1...86 — 10 HSBC Mutual Fund ................... (f)(35) — 40.51... (f)(10) — — — 24....00 — 34..........39 — — 1...27 — 10 LIC Mutual Fund ....................................... unless otherwise specified) : Rupees crores 2010 2009 Face Value Number Per Unit Note Long Term Current Long Term Current Rupees 1............................31 — 10 Fidelity Mutual Fund ....................32................14 1.000 10 Kotak Mahindra Mutual Fund .51............29 50..................555 10 Principal Mutual Fund ..............High Liquidity Fund Super Institutional Plan Daily Dividend .....Cash Management Fund Liquid Option Institutional Premium Plan Dividend Reinvestment Daily .........................12........08 1......Ultra Short Term Debt Fund Institutional Daily Dividend ...........................82.Fixed Horizon Fund Series VII Plan A Institutional Growth ........................................................ (f)(51) — 74.... (f)(44) — 41.................) Investments (At Cost....723 10 Principal Mutual Fund ........Income Plus Fund Daily Dividend Plan ...High Interest Fund Short Term Plan Dividend Option (f)(29) — 5...... (f)(21) — — — 10........55 4.............39 — — — 10 L & T Mutual Fund ............46.................. (f)(8) — 20.................39 — 10 Kotak Mahindra Mutual Fund ..... (f)(37) — 10.............Ultra Short Term Fund Institutional Daily Dividend .72......Liquid Institutional Premium Daily Dividend (f)(43) — — — 14.................10 — — 1.............27......... (f)(45) — — — 10.................. (f)(15) — 25......Quarterly Interval Plan Series 2 Dividend .403 10 IDFC Mutual Fund ....17..............18 — — — 10 HSBC Mutual Fund ........................825 10 IDFC Mutual Fund .....FMP 14M Series 3 Institutional Dividend ...34 — 30...51.791 10 LIC Mutual Fund ....Money Manager Fund TP Super Institutional Plan C Daily Dividend ..Money Manager Fund Super Plus Plan Daily Dividend .........26 — — 25...............02............................71.. (f)(20) — 17........07 2.....91................Cash Management Fund Treasury Advantage Plan Wholesale Daily Dividend Reinvestment ...............Flexible Income Plan Premium Daily Dividend (f)(55) — — — 30......... (f)(46) — — — 5................. (f)(41) — 2..............................37 98..........02....000 DSP Black Rock Mutual Fund ......193 10 HDFC Mutual Fund ............Floating Rate Fund FMP Institutional Option Dividend Reinvestment Daily ....India Short Term Income Fund Weekly Dividend Reinvestment ........ (f)(33) — — — 15...................00 7....... (f)(12) — 70...11....06 59......................00 — — — 10 LIC Mutual Fund .............................................................Ultra Short Term Debt Fund Super Institutional Daily Dividend ..................................007 10 Fidelity Mutual Fund .........................08 — 1.29 — — 48...Short Maturity Fund Institutional Weekly Dividend Plan ......................00....Floating Rate Income Fund Short Term Plan Wholesale Option Dividend Reinvestment ..35...

......Flexible Income Plan Premium Daily Dividend ..........398...50 Less : Excess of cost over fair value of current investments of Mutual Fund Units — (0...... unless otherwise specified) : Rupees crores 2010 2009 Face Value Number Per Unit Note Long Term Current Long Term Current Rupees 17.......96 1..181 1........ (0.00....81 Notes: Face Value Per Unit Long Term Long Term Number Rupees Rupees Rupees (a) Shares (unquoted) in other companies : 21 100 # The United Spices Importers Limited (Equity “B” Shares) ..786.000 10 UTI Mutual Fund .. (f)(66) — — — 30...41 Market Value of Quoted Investments .....00 1...Money Fund Super Institutional Daily Dividend ..13.........00.74.......481... 4.... Tehran .............................. 1 1 74 16.................................. 1..........000 ^ State Bank of Hyderabad .....95 — — 2..01.......62 5........73........44 — — 50.... (f)(69) — 27..917.....41.............75 3.......000 UTI Mutual Fund ..208 10 Religare Mutual Fund .. 6.09 6.... 1 (b) Equity investments in these companies carry certain restrictions on transfer of shares in terms of funds raised by these companies from financial institutions/banks/or in terms of SEBI IPO for listing agreements.........33 — 50.............. (g)(3) — 24...30............ (g)(4) — 69........................... (g)(1) — 24.....................26 6.........422 1........591........ (f)(59) — — — 5.....................Ultra Short Term Fund Institutional Daily Dividend (f)(60) — 26...02 5..........000 10 UTI Mutual Fund .......Magnum Insta Cash Fund Daily Dividend Option ....423 10 SBI Mutual Fund ....................786............000 ^ State Bank of Travancore .50 Certificate of Deposits : Unquoted : 25................................................030 100 Prudential ICICI Mutual Fund ...18.......... (f)(58) — 20.148 10 SBI Mutual Fund ..... MAHINDRA & MAHINDRA LIMITED SCHEDULE V (Contd............ 12...........00 — 19...........................33 — — 42.... (f)(56) — 18.........97............................... (f)(70) — 5......60 3..00.........Institutional Short Term Plan Dividend Reinvestment Fortnightly .50 Cost of Quoted Investments ..08 Total ...........10 — — — 10 Sundaram Mutual Fund ....398............Liquid Super High Investment Fund Daily Dividend .000 UTI Mutual Fund .......Floater Fund Daily Dividend .......82 — — 70................786.............15 4...00.... 2 2 # Written off to Re......................000 UTI Mutual Fund ........000 ^ Central Bank of India ...... (f)(61) — 100...............218..73..000 ^ State Bank of Mysore .11 5........000 Tata Mutual Fund ...76 Less : Excess of cost over fair value of Current Investments (Net) .... (f)(57) — 5..............398.........00 — — — 813....Floating Rate Fund Short Term Plan Institutional Daily Dividend Plan ...........00...........59..........43 — 20...................Treasury Advantage Fund Institutional Plan Daily Dividend Option Reinvestment ................... (f)(65) — 64......00........... (f)(67) — 11............ (f)(64) — — — 25.216..036...........Ultra Short Term Plan Super Premium Daily Dividend Reinvestment ..18 — — 2......22 — — — 10 Religare Mutual Fund ..... (g)(2) — 24.........82 4.95............21 — 830........................34....23 — 1....95 — — ^ Total Face Value 5..532 10 Tata Mutual Fund ...33 869......... 95 .305..............736 10 Prudential ICICI Mutual Fund .....50 — — — 143..............86...........361...........................................................Ultra Short Term Fund Institutional Plan Daily Dividend (f)(62) — 23...09) — — — 813........292 1............102 10 Prudential ICICI Mutual Fund ..30 — 830.....82 — — 25...) Investments (At Cost.... (f)(68) — 31............35) 6.........00...........00...... (f)(71) — 10.................50 2......00.....806........Liquid Fund Super Institutional Daily Dividend ...........57.....Fixed Income Interval Fund Monthly Interval Plan II Institutional Dividend Plan .........667 # Engineering & Metal Works...Money Market Fund Daily Dividend Option Reinvestment ..................................02 2...Fixed Income Interval Fund Quarterly Interval Plan Series I Institutional Dividend Plan Reinvestment .00.....00.......41 Cost (net of amounts written off) of Unquoted Investments ..02 5...............81 — — 25............00.........09) (0......20 1...00 — — 1...............00 — 25..................... 1 1 (Rials) Total .......

...25.............. 30....38 53....30........ $ Conversion of warrants into Equity.....49.......91................ — 35....874 — — — (2) Mahindra USA Inc ..50...........000 96 .. 10................83........ 8......06....635 467........ 9.424 0................00 Crores (2009 : Nil) sold during the year..........19......................000 — — — — (5) Mahindra Overseas Investment Company (Mauritius) Limited ...30% 1......73............................... 6...... # Consideration other than Cash. 6.........00.........000 10.... 98...............085 20...................................00...235 (3) Birla Sun Life Mutual Fund .............. (1) Mahindra & Mahindra Financial Services Limited . 1......38..000 — — — — (6) Mahindra Gears & Transmissions Private Limited .. 25.29.............................. 10...... 6...............00........094 — — — (7) Mahindra Navistar Automotives Limited .......................38.....................850# — — — — (16) Mahindra EcoNova Private Limited ................09..........852 * denotes amount less than Rs.....36.52...000 — — — — (17) Mahindra Forgings Limited .... Crores Nos...................... Nos........ Rs..86.000 — — — — (9) Mahindra Castings Limited………………………………………...................64.............. unless otherwise specified) : (c) The following are the movements in Shares during the year : Equity Shares Preference Share Warrants Shares Acquired Sold Acquired/ Acquired Sold/ (Redeemed/ Converted Sold) Nos.............. (2) Treasury Bills of the face value of Rs....700 — — — — (8) Mahindra Vehicle Manufacturers Limited ... — 63...867 — 24.. * crores) were lodged as security deposit......................................498 (2) Birla Sun Life Mutual Fund ............498 990.... (1) Mahindra Steel Service Centre Limited ..... 49.................... 7... 50...133 — — @ Subscribed to on rights basis..........79................191 — — — (14) Defence Land Systems India Private Limited ...... (1) Birla Sun Life Mutual Fund ..57 98.................00.........57 48... 6.............000 (18) Wardha Power Company Limited ......... — 33...75% 50 5............................... Saving Fund Institutional Daily Dividend .86...85...84.........................00 — — (3) Infrastructure Development Finance Company Limited .... Nos.................. Nos......................26...000@ — — — — (3) Mahindra Logisoft Business Solutions Limited .00...00................40................................150 — — — — (15) Defence Land Systems India Private Limited ...424 (4) Birla Sun Life Mutual Fund ..... (f) The following are the movements in Units during the year : Acquired Sold Nos...83.) Investments (At Cost. 2.99% — — — 150 (4) India Infrastructure Finance Company Limited ... 53................000 10.....05....... 7.69............99...........000 — — — — (12) Mahindra First Choice Services Limited ..... — 37....... 7......... FTP Institutional Series AV Dividend ...... Nos.............................00 — — (8) Indian Railway Finance Corporation Limited .45....000@ — — — — (11) Mahindra Aerospace Private Limited .........................85% 2..00 — — (6) Indian Railway Finance Corporation Limited . Nos...SCHEDULE V (Contd.. Cash Plus Institutional Premium Daily Dividend .. 4.50% — — — 200 (2) Mahindra & Mahindra Financial Services Limited .82...... FTP Institutional Series AK Dividend ....000$ — — 72...54...72....00 — — (e) Government Securities : (1) Face value of Rs......00 — — (7) Indian Railway Finance Corporation Limited .......................852 0...............500 — — — (4) Mahindra & Mahindra South Africa (Proprietary) Limited ... 19....... Rs.....55..70% 500 5.........000 — — — — (13) Mahindra Holidays & Resorts India Limited ...................00.....................450@ — — — — (10) Mahindra Navistar Engines Private Limited .................................... 3.............00% 1. 6.......50% 250 25.............. (d) The following are the movements in Debentures/Bonds during the year : Acquired Sold Matured Nos............................. Crores Nos..... 46......06... 1..95 — — (5) Rural Electrification Corporation Limited .91 1............. 25................... 4.....270 30....... 1...... * crores (2009 : Rs..........00 Crores (2009 : Nil) were purchased and of the face value of Rs.................23.. 68.....

......... 32...........Ultra Short Term Fund Institutional Daily Dividend ........India Liquid Fund Super Institutional Daily Dividend Plan ...90......Fixed Term Series 54 Institutional Dividend Tenure 370 Days .......00 — (48) LIC Mutual Fund ..96............ 49...............Fixed Horizon Fund Series VII Plan A Institutional Growth .13.06...586 0.058......High Interest Fund Short Term Plan Dividend Option ..16.958 (12) Deutsche Mutual Fund ..16 79...............051 (17) Fortis Mutual Fund ........83...00.Cash Management Fund Savings Plan Daily Dividend Reinvestment Option ...93.08..96 5...16 1..22..................16...Insta Cash Plus Fund Super Institutional Plan Daily Dividend ..10.....30.505 (29) HDFC Mutual Fund ....51.73..08. 59...42 21......................296 785......19.............13......43...096 30....Ultra Short Term Debt Fund Institutional Daily Dividend ....Cash Management Fund Treasury Advantage Plan Wholesale Daily Dividend Reinvestment ....................841 0...48....35..) Investments (At Cost..................410 0................01.......... 32......130 (46) Kotak Mahindra Mutual Fund ....47.......624 (44) Kotak Mahindra Mutual Fund .....69 33.............65.... 13.783 (49) LIC Mutual Fund ..............Liquid Institutional Daily Dividend Reinvestment Plan ........ 9................Cash Plus Institutional Daily Dividend .........64 12.... 5...110 51............................ 7..BSL Floating Rate Fund Long Term Institutional Weekly Dividend .00 — (42) J P Morgan Mutual Fund .....Income Plus Fund Daily Dividend Plan ....Liquid Institutional Premium Daily Dividend ..Liquid Super Institutional Daily Dividend Reinvestment Fund . 5.661 (43) Kotak Mahindra Mutual Fund .12.......01....88.....44..136 45..Floater Long Term Daily Dividend .India Short Term Income Fund Weekly Dividend Reinvestment .....79..74.....87.365 (21) Franklin Templeton Mutual Fund ...........25.........24....309 238...674 (28) HDFC Mutual Fund ......811 0.605 16.. 2..49.932 165.02.............12.....309 97 .............41 4......22 — (14) DSP Black Rock Mutual Fund .......66.....72.....10.......... 1.38............42 14....768 5..36........................86....72..29.76.............58.271 10..217 (40) J P Morgan Mutual Fund ...............................99.......173 376......314 (45) Kotak Mahindra Mutual Fund ............FMP 15M Series 5 Institutional Dividend .....742 1....71... 48.......79....77......83.........47..........88....714 (13) Deutsche Mutual Fund .............56.... 4....... 21..87.23.....71....... 50.Short Maturity Fund Institutional Weekly Dividend Plan ...Floating Rate Fund Institutional Plan Daily Dividend ........54...........Ultra Short Bond Fund Institutional Plan Dividend ..71 3.030 (27) HDFC Mutual Fund ..50 5......................................26 — (16) DSP Black Rock Mutual Fund .....03...35.710 (8) Canara Robeco Mutual Fund ..........57.600 (47) Kotak Mahindra Mutual Fund .303 (41) J P Morgan Mutual Fund .....Money Manager Fund Super Plus Plan Daily Dividend .00.. — — 1.... 78.......79................................14 30..23 — (38) JM Financial Mutual Fund ........02 — (7) Canara Robeco Mutual Fund .19.....Money Manager Fund TP Super Institutional Plan C Daily Dividend . 30..........10... 3..........38....21 5.....19.586 (50) LIC Mutual Fund ..... 3...Money Manager Fund Investment Plan B Daily Dividend .64...........01..37...01........ 1......87........16...45.40.FMP 14M Series 3 Institutional Dividend .......52.........19............998 10.................05 51..........665 5.. 5....05.Money Plus Institutional Plan Daily Dividend .... 1........... 14.....22 23.........96 5..........18 17........ 4......053 26....71......44............Cash Fund Super Institutional Daily Dividend ....... 99.01.......455 (36) IDFC Mutual Fund ........82...... 2.................58......Liquidity Fund Institutional Daily Dividend ......65.. 1.13................403 5.......012.......69.Freedom Income STP Institutional Daily Dividend Reinvestment Plan ...64 5.......55. 1........145 (33) HSBC Mutual Fund .60.......260 0....Dynamic Bond Fund Retail Plan Monthly Dividend .82..423 2.India Treasury Management Account Super Institutional Plan Daily Dividend .63 4.... (5) Birla Sun Life Mutual Fund ..033 (25) Franklin Templeton Mutual Fund ............Ultra Short Term Debt Fund Super Institutional Daily Dividend ...............92 93...48.723 74...76....66 4.70..... 50.....958 940.46.. 93.....01 1.......06.65...........00.....218 (20) Fidelity Mutual Fund ...........229 (22) Franklin Templeton Mutual Fund ...000 2...09..........91..........95 12........162 300.39 1. 16..... 20........06...69.......Treasury Advantage Super Institutional Daily Dividend Reinvestment .221 (39) JM Financial Mutual Fund .......Floating Rate LT Institutional Option Weekly Dividend ..47 13..... 2...773 (18) Fidelity Mutual Fund .........96..18 — (30) HDFC Mutual Fund ....... 22...63 7..........10 — (37) IDFC Mutual Fund .. 2....80....722 0...50....39..................40 32......18..026 71..Liquid Fund Premium Plan Dividend Daily Reinvestment ......... 48....Liquid Fund Dividend Plan ....779 10.....71..09....55.........................10 4.80..110 (10) L & T Mutual Fund ..............15. 5.......841 (26) HDFC Mutual Fund ...99 1....00 99.... 16......470 (31) HSBC Mutual Fund ..... Crores Nos......46....00............043 183......Cash Fund Institutional Plus Daily Dividend ....280 277.113 6...High Liquidity Fund Super Institutional Plan Daily Dividend .........Floating Rate Income Fund Short Term Plan Wholesale Option Dividend Reinvestment ............859 (35) IDFC Mutual Fund .88...694 5...214 74.....Quarterly Interval Plan Series 2 Dividend .71..915 1..29...............000 134..060 (34) IDFC Mutual Fund ...... 27...26..........661 49.... 99...54.995 330... Rs.759 (23) Franklin Templeton Mutual Fund ............50.19.50..............55.Ultra Short Bond Fund Retail Plan Daily Dividend ................ 50.......65.27 17..414 324....... 7..24 — (6) Birla Sun Life Mutual Fund ...Cash Fund Super Institutional Plan C Dividend .......SSIF Short Term Plan B Fortnightly Dividend .....63................................051 26.....63........742 (11) Deutsche Mutual Fund ..94....94..... unless otherwise specified) : (f) The following are the movements in Units during the year : Acquired Sold Nos...21 1.......17....93.....650 (9) L & T Mutual Fund ................136 (24) Franklin Templeton Mutual Fund ..........Fixed Maturity Plan Series .....43.00.......45.....43 (13 Months) .470 181...India Ultra Short Bond Fund Super Institutional Plan Daily Dividend ......214 (32) HSBC Mutual Fund ................20 54.......997 52.... MAHINDRA & MAHINDRA LIMITED SCHEDULE V (Contd....03..............13........28 35...........Treasury Fund Super Institutional Daily Dividend Plan .51 2.17...............87.998 (15) DSP Black Rock Mutual Fund ....20 18.......303 137.......................36...40...96 2......73......16.......801 204........ 13..........043 (19) Fidelity Mutual Fund ..000 5........409 25....... 37........ 18.......79.....

.000 10..............) Investments (At Cost....45.. 2......... 16..........35...........44 8.324 175.....................................79 2........032 (54) Prudential ICICI Mutual Fund .............38.....................Ultra Short Term Fund Institutional Plan Daily Dividend ............Ultra Short Term Plan Super Premium Daily Dividend Reinvestment ...... 25...........Fixed Income Interval Fund Quarterly Interval Plan Series I Institutional Dividend Plan Reinvestment ....................053.............. 25.......282 1..25..551 223.. 23..........26 27................06........622 (62) SBI Mutual Fund ..Ultra Short Term Fund Institutional Daily Dividend ......... 22. unless otherwise specified) : (f) The following are the movements in Units during the year : Acquired Sold Nos.......37 69.......91..85 5...Flexible Income Plan Premium Daily Dividend ..81 — — (3) State Bank of Hyderabad .26........986 103..........Magnum Insta Cash Fund Daily Dividend Option ..................00..................................................709 70...................Floating Rate Fund FMP Institutional Option Dividend Reinvestment Daily .. 50....608 1....................................................71 53.........73 27.............046 130.........028 (61) SBI Mutual Fund ... 39...46....Treasury Advantage Fund Institutional Plan Daily Dividend Option Reinvestment ...35 10............22 — (59) Religare Mutual Fund .............Flexible Income Plan Premium Daily Dividend ........50 — — (5) State Bank of Patiala ...................68.....00 — (71) UTI Mutual Fund ........ Rs............898 (63) Sundaram Mutual Fund .37.....53...........963 (67) UTI Mutual Fund ... Crores Rs....26....73.....95 35.20.89........46.. 62....526 112...801 233......Institutional Liquid Plan Super Institutional Daily Dividend ...13 19..................10..........60.......Liquid Super High Investment Fund Daily Dividend ............75........... 70.....00 — (72) UTI Mutual Fund ........................73.............00 24.66.....698 (69) UTI Mutual Fund ......... 10.03...........00 24......Money Fund Super Institutional Daily Dividend .98........369 87........14.....................736 5.....Money Market Fund Daily Dividend Option Reinvestment ..........................345 (70) UTI Mutual Fund .................761 (53) Principal Mutual Fund ..........77......... 5......02..........447 293...587 624....Liquid Fund Super Institutional Daily Dividend ..................... 57.Fixed Income Interval Fund Monthly Interval Plan II Institutional Dividend Plan .33.........................................457 (56) Prudential ICICI Mutual Fund ....24...........85..05................... 13........624 395....58 66.........23..Institutional Short Term Plan Dividend Reinvestment Fortnightly 42.....71.......000 5.... 25...01....00 24........42..... 7.......369 (g) The following are the movements in Certificate of Deposits during the year : Acquired Sold Matured Face Value Total Value Face Value Face Value Rs...77.......00 69....984 2........ Crores Rs....................551 (64) Sundaram Mutual Fund ..46........01................47 10.......... 2...................04..79 7........................79 1..33..............37.. 50.027 13...961 (60) Religare Mutual Fund ..22........Liquid Cash Plan Institutional Daily Income Option .46....49........416 (68) UTI Mutual Fund ......29...........95..... 25.........Floating Rate Fund Short Term Plan Institutional Daily Dividend Plan………… 11.............Liquid Plus Super Institutional Dividend Reinvestment Daily .....93..24......76 53..........................................34....................... Crores (1) State Bank of Travancore ......45 22... 1.......... 70.......................120 572........44..70..74..86...........SCHEDULE V (Contd.484 (66) Tata Mutual Fund .......99 — 10.....29 11........789 565...35 2.......07...40....Savings Plus Fund Daily Dividend Plan .....08.... Crores Rs.....339 (65) Tata Mutual Fund . 1..............30.36...Floater Fund Daily Dividend ..04.986 (73) UTI Mutual Fund .......43..... 10.......09..743...............22..............................82 — — (2) Central Bank of India ..............417 (57) Prudential ICICI Mutual Fund .................... 19.941 (55) Prudential ICICI Mutual Fund ....183..........................82 — — (4) State Bank of Mysore ..00 98 ...Cash Management Fund Liquid Option Institutional Premium Plan Dividend Reinvestment Daily ...........................102 20..317 (52) Principal Mutual Fund .19.42.. 2....................62............ (51) LIC Mutual Fund ..........70.......14......Money Market Fund Daily Dividend Option .................00.........18..............99..56..18 — (58) Prudential ICICI Mutual Fund .53. Crores Nos........54 61............00..108 194...............386 818........................................ 1....00 9...44.72......

156......510..02 1.32 6.. 6....................................... 50.02 Less : Provision for Doubtful bills .11 Payments towards Income-tax and Surtax [Note 18(d)] .....42 Others .....................................042.53 5.77 Less : Provision for Doubtful Debts ................02 1..........156.................................................................11 Considered doubtful ....................63 402.......000 99 ..........50 391.................17 354........87 (iii) Manufactured Components ...........43 (D) Other Current Assets : Interest accrued on Investments ...... 113...99 ...................................99 24.....................................86 48.... 946....................86 Other Debts : Considered good .....57 1....19 23.25 72...................115..46 crores (2009 : Rs...........................78 1...................43 1.... 494............... considered doubtful .......801.........38 1.........................574..12 214......08 1...... 292..66 917..........32 (vi) Stores and Spares .................... MAHINDRA & MAHINDRA LIMITED SCHEDULE VI Rupees crores 2010 2009 Current Assets.....91 1...06 0.........03 88... .....93 (iv) Raw Materials and Bought-out Components .....................................................................................................01 (v) Property Development Activity .....09 1...............................89 55.......63 402.004..........32 crores (2009 : Rs........56 (E) Loans and Advances [Note 7] : (Unsecured.258.67 Balances .64 ....... 5............ 23.93 -497Bills of exchange.......... 491............................................................... 73... Port Trust..............................................25 72......................... 242.............371....91 1................... 47...........62 427..... — — 1................Work-in-Progress [including completed flats and premises Rs...39 5........23 1.... 221........67 (B) Sundry Debtors (Unsecured) : Outstanding over six months : Considered good ...........................060............................... 5.32 crores)] .04 221. 113......99 24................ 6.743..................................188................................Customs.......268.............. 48................39 Balances with Scheduled Banks : (i) On Current Account ............86 48.........42 125............49 0.......62 Total..........75 Less : Provision for Doubtful Advances . 1...............................47 275.... 57................... 57.... 24................93 * denotes amounts less than Rs...53 1...........95 crores)] Balances with Non-Scheduled Banks [Note 6] : On Current Account ..92 Less : Provision for Doubtful Advances and Loans ................. Loans and Advances : (A) Inventories (at cost or net realisable value whichever is lower) : (i) Finished Products produced and purchased for sale .....043.......... 101............ 561....... 1.12 1.... 6.66 917......70 757.....67 197........73 (iii) On Margin Account ...70 757........... etc.....................14 50.........................93 Considered doubtful ...91 : Considered doubtful ..............56 805...........47 23............................................................................ considered good unless otherwise stated) : Advances and Loans to subsidiaries : Considered good ....382..............56 (vii) Tools ......64 1............ 1.65 (ii) On Fixed Deposit Account @ ...........17 1.....................................06 938.99 567..........02 — — Advances recoverable in cash or in kind or for value to be received : Considered good .... Excise................................33 1...........81 (ii) Contracts and Work-in-Progress .......... 6..............062.. 53... 1................... 3.... * 0.. 11........ 1............74 : Considered doubtful ............... cheques and stamps on hand ...........................................65 -(C) Cash and Bank Balances : Cash..87 1................................................... 75.............38 471................. 946..........47 @ [includes balance of unutilised monies raised by issue : Rs........214..... 561.....

...... — 0.........196........ 3.....................66 167............. 6............................23 Provision for diminution in value of long term investments .....99 5.....49 269............... 173.............................80 Dividend payable ......67 68............... 3........ 266...12 11........797.................54 4.....74 3. 209......62 3....................... 238.... 173..99 (ii) Total outstanding dues of creditors other than micro and small enterprises [including Rs............63 81...........10 2.......080............51 Provision for compensated absences .................69 (b) Separation and Other Costs ...........02 Proision for premium payable on redemption of convertible bonds .09 3.......... 74..21 crores (2009 : Rs..............00 3.............26 Sundry Creditors : (i) Total outstanding dues of micro and small enterprises [Note 8].....................206....................54 1....25 124.........19 Balances on Directors’ Current Accounts ....85 3.... 22..................... 5..........................89 6....52 278.12 12............................... 162.......55 100 ...400............. (B) Provisions : Proposed Dividend .....25 106...........21 Interest accrued but not due on loans ................83 Provision for Tax on Proposed Dividend .23 33.. 4..76 Provision for taxation ...51 crores) being advance payments for which value has still to be given]…......260..................CMYK SCHEDULE VII Rupees crores 2010 2009 Current Liabilities and Provisions : (A) Current Liabilities # : Acceptances 107.........56 Total………… 5........520.. 549...................58 245.....................76 Provision Others [Note 9] ....277..........19 (iii) Dues to Subsidiaries .................................. 274.......86 Total………… 4...........76 SCHEDULE VIII Rupees crores 2010 2009 Miscellaneous Expenditure (to the extent not written off or adjusted) : (a) Finance Charges ..............................43 201...........336...... 219.796..........................................20 # There are no amounts due and outstanding to be credited to the Investor Education and Protection Fund....45 1.....

..35 270..... 281..21 Profit on sale of Investments (Net) [Note 10(b)] ...................... (23................69) 156..108............................................................................... Finished and Semi-Finished Products : (A) (Increase)/Decrease in Stock of Finished Goods...... 10................................ 70............87 (iii) Manufactured Components .....03 88. 343...47 46.....05 346...................74 Add : Stock Taken Over on Amalgamation ...... 224.....81 579.........Gross ................Gross............... 73....... — 11...................01 351.........................49 44..90 Other Operating Income .......................95 Add : Purchases [including outside processing charges Rs.............. ......... 661......................695.................01 11.......................... 83..62 (B) Other Income : Dividends on Investments in subsidiaries .........799..............................................10 (iii) Manufactured Components . 55.....50 391.....................29 (B) Consumption of Raw Materials and Bought-out Components : Opening Stock ............................................190........... 49........771.......54 Total...56 8..............79 (C) Purchases of Finished Products for sale .....79 12...................................... 72.....38 471......06 Less : Closing Stock ..............................................................93 640.......................19 39...............332................. 564......83 Dividends on other Investments ....83 crores (2009 : Rs........ 56...................23 101 ...14 63.........06 9...........08 Total.......87 53.92 9......... 11. 12......................15 616.83 272.........89 55...60 63.............30 616.....22 Less : Closing Stock : (i) Finished Products produced and purchased for sale ......61 — 92..................05 8.........756.....43 (ii) Contracts and Work-in-Progress . Work-in-Progress and Manufactured Components : Opening Stock : (i) Finished Products produced and purchased for sale ...68 Add : Stock Taken Over on Amalgamation : (i) Finished Products produced and purchased for sale ........ — 80..45 Scrap Sales .............. 77...............34 SCHEDULE X Rupees crores 2010 2009 Raw Materials............06 crores)] ........................... 494.....Non Trade [Note 10(a)] .......61 (Increase)/Decrease in Stock .............93 48.....61 680....................40 53........... 75...... 199... — 54.......................29 131.61 (ii) Contracts and Work-in-Progress .......15 Total........22 Miscellaneous Income .....06 444........... 391..... 471...........81 (ii) Contracts and Work-in-Progress ................274................... 88. MAHINDRA & MAHINDRA LIMITED SCHEDULE IX Rupees crores 2010 2009 Income from Operations and Other Income : (A) Income from Operations : Income from services rendered ............................................ 491...............73 Octroi Refund .......................................

95 Repairs and Maintenance [Note 11] : Buildings .68 23.......................... 1...................... ..............91 Discount allowed 4.... 96.52 156.........13 Welfare ..........78 96.......................Gross [Note 10(d)] 124..74 1.57) Provision for doubtful debts/advances (Net) [Note 25] 51.Gross [Note 10(c)] 4.47 1...69 Rent including lease rentals 47...29 152.........02 31......36 84............ 27.................94 9..........47 Sales Promotion Expenses 317....17 208......01 49...............................14 0........60 On Others (Net) 7...73 215.89 58......10 129............. Debentures and Bonds .................31 50.35 5.68 4.26 SCHEDULE XIII Rupees crores 2010 2009 Other Expenses : Stores consumed 75.........41 Rates and Taxes 16. 33............... etc..44 Total..85 134......92 75.88 779........36 Others .............53 12...54 Gratuity .. 66....................SCHEDULE XI Rupees crores 2010 2009 Personnel : Salaries..86 Total.....................36 Contribution to Provident and other funds .......80 7...................10 822.....161.04 88...198.Others ...... 31.........97 98...76 (ii) Interest ...10 28........89 Tools consumed 29..12 Less : Interest Income : (i) Interest on Government Securities..... Wages............17 93.88 Machinery ...024........27 66.........45 Freight outward 269.........85 Directors’ fees 0........ 988............................... Bonus.........19 Excess of cost over fair value of Current Investments (Net) (0........54 47........49 Commission on sales/contracts (Net) 70......97 Loss on Fixed Assets sold/scrapped/written off (Net) 20....81 45....72 11................. Commitment and Finance Charges : On Term Loans and Debentures 148.....53 Advertisement 139.88 Power and Fuel 120............68 Insurance 11...58 121..02 Miscellaneous Expenses [Note 12] 824..26) (1.................... 22.......... 2..................... 112............58 Total.91 124.......83 1............56 17.777.34 102 .....61 SCHEDULE XII Rupees crores 2010 2009 Interest.......09 Donations and contributions [Note 27] 9.............................

except for : (1) certain items of Plant and Machinery individually costing more than Rs. any unamortised expenditure is fully written off in that year. Current investments are valued at the lower of cost and fair value. as the case may be) as determined by the Company. 2010 1. Significant Accounting Policies : (A) Basis of Accounting : The financial statements are prepared in accordance with the generally accepted accounting principles in India and comply with the Accounting Standards notified under sub-section (3C) of Section 211 of the Companies Act. MAHINDRA & MAHINDRA LIMITED SCHEDULE XIV Notes on Accounts for the year ended 31st March. 5. (c) Software Expenditure : The expenditure incurred is amortised over three financial years equally commencing from the year in which the expenditure is incurred. 1956 and the relevant provisions thereof. (iii) Depreciation charge for each year is after deducting the amount representing the depreciation on the increase due to revaluation of Land and Buildings. (b) (i) Leasehold land is amortised over the period of the lease. conversion and other costs incurred in bringing the inventories to their present location and condition. 3 years. (ii) Depreciation on assets is calculated on Straight Line Method at the rates and in the manner prescribed in Schedule XIV to the Companies Act. the cost and related depreciation are removed from the books of account and resultant profit (including capital profit) or loss. not exceeding six years commencing with the year of purchase of the technology. (ii) Land and Buildings. conversion or repayment of borrowings. (D) Investments : Long term investments are valued at cost. (C) Intangible Assets : Intangible Assets are initially measured at cost and amortised so as to reflect the pattern in which the asset’s economic benefits are consumed. (2) Cars and Vehicles .over their useful lives (2 years. not exceeding five years. provision for diminution in value is made to recognise a decline other than temporary in the value of investments. if any. Excise duty is included in the value of finished goods inventory. 1956. (F) Miscellaneous Expenditure (to the extent not written off or adjusted) : Expenditure carried forward under this head is being amortised as follows : (a) Finance Charges : The expenditure incurred in raising long term borrowings is amortised over the period of the borrowings. if any. Cost includes financing cost relating to borrowed funds attributable to the construction or acquisition of qualifying fixed assets upto the date the assets are ready for use. determined by category of investment. (E) Inventories : Inventories comprise all costs of purchase. 103 .000 . Where the acquisition of fixed assets are financed through long term foreign currency loans (having a term of 12 months or more at the time of their origination) the exchange differences on such loans are added to or subtracted from the cost of such fixed assets. used are not stated in the valuation. spares and tools other than obsolete and slow moving items are carried at cost. (b) Development Expenditure : The expenditure incurred on technical services and other project/product related expenses are amortised over the estimated period of benefit. Obsolete and slow moving items are valued at cost or estimated realisable value. When an asset is scrapped or otherwise disposed off. 5 years or 7 years. On early buyback. whichever is lower.at 15% of cost. 1984 at depreciated replacement values on the basis of a valuation made by a firm of Chartered Surveyors and Valuers. Raw materials and bought out components are valued at the lower of cost or net realisable value. (a) Technical Knowhow : The expenditure incurred is amortised over the estimated period of benefit. had been revalued as at 31st October. Stores. Cost is determined on the basis of the weighted average method. Long term contracts in progress are valued at cost. However. (B) Fixed Assets : (a) (i) Fixed Assets are carried at cost less depreciation except as stated in (ii) below. manufactured components and work-in-progress are carried at cost or net realisable value whichever is lower. transferred from the Revaluation Reserve. is reflected in the Profit and Loss Account. Finished goods produced and purchased for sale. The indices.

such grants are accounted for as and when the disbursements are received. (L) Borrowing Costs : All borrowing costs are charged to the Profit and Loss Account except : (a) Borrowing costs that are attributable to the acquisition or construction of assets that necessarily take a substantial period of time to get ready for their intended use. 2010 from the month in which the liability is incurred. (K) Employee Benefits : Defined Contribution Plan/Defined Benefit Plan/Long term Compensated Absences. the estimated costs of these warranties are accrued at the time of sale. In view of the uncertainty in respect of the collection of these grants. Obligation is measured at the present value of estimated future cash flows using a discounted rate that is determined by reference to the market yields at the Balance Sheet date on Government Bonds where the currency and terms of the Government Bonds are consistent with the currency and estimated terms of the defined benefit obligation. Company’s liability towards gratuity. The liability is amortised by the year ended March. Changes in the fair value of the contracts that are designated and effective as hedges of future cash flows are recognised directly in Hedging Reserve Account and the ineffective portion is recognised immediately in the Profit and Loss Account. The exchange difference between the rate prevailing on the date of transaction and on the date of settlement as also on translation of monetary items at the end of the year (other than those relating to long term foreign currency monetary items) is recognised as income or expense. post retirement medical benefit and post retirement housing allowance schemes are determined by independent actuaries. conversion or repayment of borrowings. The Company is liable for the contribution and any shortfall in interest between the amount of interest realised by the investment and the interest payable to members at the rate declared by the Government of India. (N) Product Warranty : In respect of warranties given by the Company on sale of certain products. long term compensated absences. On early buyback. ESIC and Labour Welfare Fund are recognised in the Profit and Loss Account. as the case may be. any unamortised expenditure is fully written off in that year. using the projected unit credit method. (J) Government Grants : The Company is entitled to various incentives from a State Government. 104 . except in the case where the contract is designated as a cash flow hedge. Contributions to Provident Fund are made to a Trust administered by the Company and are charged to Profit and Loss Account as incurred. Monetary items are translated at the year-end rates. Any premium or discount arising at the inception of a forward exchange contract is recognised as income or expense over the life of the contract. (G) Foreign Exchange Transactions : Transactions in foreign currencies (other than firm commitments and highly probable forecast transactions) are recorded at the exchange rates prevailing on the date of transaction. Past services are recognised on a straight line basis over the average period until the benefits become vested. The Company has applied to such contracts the hedge accounting principles set out in Accounting Standard 30 ‘Financial Instruments : Recognition and Measurement’ (AS 30) by marking them to market. (b) Separation and Other Costs : Special Payments/Pensions under Voluntary Retirement Schemes. (H) Derivative Instruments and Hedge Accounting : The Company uses foreign currency forward contracts and currency options to hedge its risks associated with foreign currency fluctuations relating to certain firm commitments and highly probable forecast transactions. Exchange differences relating to long term foreign currency monetary items. Actuarial gains and losses are recognised immediately in the statement of Profit and Loss Account as income or expense. such as grants by way of refund of octroi duty paid by the Company for its manufacturing unit located in a developing region. Dividend from investments are recognised in the Profit and Loss Account when the right to receive payment is established. The estimates for accounting of warranties are reviewed and revisions are made as required. (I) Revenue Recognition : Sales of products and services are recognised when the products are shipped or services rendered including export benefits thereon. Company’s contributions paid/payable during the year to Superannuation Fund. The Company does not hold derivative financial instruments for speculative purposes. (M) Redemption Premium : Premium payable on redemption of Bonds/Debentures is fully provided and charged to Securities Premium Account (Net of Tax) in the year of issue. which are capitalised as part of the cost of such assets. 2011 whichever is earlier. (b) Expenses incurred on raising long term borrowings are amortised over the period of borrowings. to the extent they are used for financing the acquisition of fixed assets are added to or subtracted from the cost of such fixed assets and the balance accumulated in ‘Foreign Currency Monetary Item Translation Difference Account’ and amortised over the balance term of the long term monetary item or 31st March.

95 Effect of tax rate change on amounts debited to Securities Premium Account .. 5.......... 5 each (2009 : 9.. (f) 19........ — 39................. etc.......... Of these..........05........01 — 0..... (Q) Excise duty recovered on sales is included in “Sales – Traded and Manufactured Goods”..40 — Premium on conversion of Debentures and Bonds . 10 each) issued consequent to the Scheme of Amalgamation with International Tractor Company of India Limited without payment having been received in cash......504 Ordinary (Equity) Shares of Rs. 690.47 crores (2009 : Rs......104 Ordinary (Equity) Shares of Rs.....56.. 5 each (2009 : 1.800 Ordinary (Equity) Shares of Rs.552 Ordinary (Equity) Shares of Rs.124 Ordinary (Equity) Shares of Rs. 0..12....98. 10 each) allotted as fully paid-up pursuant to a contract without payment having been received in cash.66.71 — Increase of provision for premium on redemption of Zero Coupon Convertible Bonds [Net of Tax of Rs.809 Ordinary (Equity) Shares of Rs..33. (b) 34.. arising out of exercise of options .....25 6... (h) 4.... 27......... 10 each) issued consequent to the Scheme of Amalgamation with Punjab Tractors Limited without payment having been received in cash.................. and are usually renewable by mutual consent on agreed terms...... 5 each (2009 : 1......... 2...54 crores)] ...86 Applied.20 (ii) Revaluation Reserve : Adjusted against depreciation for the year [Note 1(B)(b)(iii)] ...... 0. — 9... 10... in accordance with Section 78 of the Companies Act..02 Additions.332 Ordinary (Equity) Shares of Rs... Nil (2009 : Rs. 0. 10 each) were issued on conversion of 41..........166 Ordinary (Equity) Shares of Rs......... (e) 3... godowns... 5 each (2009 : 13.. 5 each (2009 : 2....07.73.....30 crores (2009 : Rs................202 Ordinary (Equity) Shares of Rs... Excise duty in respect of Finished Goods manufactured is shown separately as an item of expense and included in valuation of finished goods produced.404 Ordinary (Equity) Shares of Rs.. 10 each) issued consequent to the Scheme of Amalgamation with Mahindra Spicer Limited without payment having been received in cash....... being the difference between taxable income and accounting income that originate in one period and are capable of reversal in one or more subsequent periods............72 — 784...... The leasing arrangements. range between eleven months and five years generally...55. Nil (2009 : Rs...... (P) Taxes on Income : Current tax is determined as the amount of tax payable in respect of taxable income for the year.. 20. 0.... towards : Writing-off of share and bonds/debenture issue expenses [Net of Tax of Rs.... (c) 25.02. computer hardware. on timing differences. 0... MAHINDRA & MAHINDRA LIMITED (O) Leases : The Company’s significant leasing arrangements are in respect of operating leases for premises (residential.....76.........15.... 71.......211 8% Bonds... 20..79 10...............42 0.....474 Ordinary (Equity) Shares of Rs..... Deferred tax assets arising on account of unabsorbed depreciation or carry forward of tax losses are recognised only to the extent that there is virtual certainty supported by convincing evidence that sufficient future tax income will be available against which such deferred tax assets can be realised. The aggregate lease rentals payable are charged as rent.........562 Ordinary (Equity) Shares of Rs..900 Ordinary (Equity) Shares of Rs.....07 1.13. 10 each) issued consequent to the Scheme of Amalgamation with Mahindra Holdings and Finance Limited without payment having been received in cash.... Share Capital : Issued and Subscribed Capital include : (a) 3.....200 Ordinary (Equity) Shares of Rs.... Deferred tax is recognised..06.......618 Ordinary (Equity) Shares of Rs..59 44............. 5 each (2009 : 1.88 4......... 10 each) issued consequent to the Scheme of Amalgamation with the Union Bank of India Limited....20 crores )] .)....88...28...........51.56... 5........... 5 each (2009 : 12.38 105 ..... subject to consideration of prudence.......03... (g) 2....84 Reduction of provision for premium on redemption of Zero Coupon Convertible Bonds [Net of Tax of Rs.07 crores)] ... 10 each) allotted as fully paid-up by way of Bonus Shares by capitalisation of Securities Premium Account and Reserves....... 5 each (2009 : 12.. arising out of issue of Ordinary (Equity) Shares to M&M ESOP Trust ...60 — Reversal of Premium on buyback of Zero Coupon Convertible Bonds [Net of Tax of Rs....737 Ordinary (Equity) Shares of Rs............ 10 each) issued consequent to the Scheme of Amalgamation with Mahindra Nissan Allwyn Limited without payment having been received in cash.....27.. Nil)] .. 2.......... 3.......96..... office..46.... 5 each (2009 : 17...400 Ordinary (Equity) Shares of Rs....38 Adjusted in respect of revalued Buildings demolished .. stores.... 1956.... Reserves and Surplus : Rupees crores 2010 2009 (a) Movements during the year : (i) Securities Premium Account : Additions....41 0. which are not non-cancellable...008 Ordinary (Equity) Shares of Rs.. (d) 25....

.. 8......... at par..........29 crores (2009 : Rs.95...... (c) The following amounts are repayable/convertible by 31st March... : Rs... Accordingly............00 crores) (b) from financial institutions .48 crores) (iii) Fixed Deposit holders .. 253.00 crores in three equal instalments from 12th December..... 735 per share. in whole but not in part.........70 crores) (b) Unsecured . 5 each (2009 : 31.. (c) Consequent to the announcement issued by The Institute of Chartered Accountants of India dated 29th March...88 crores) (iv) Rupee Loans : (a) from banks ... 48......974 Ordinary (Equity) Shares of Rs.. 2008 in respect of forward exchange contracts and currency and interest rate swaps.... 2.. the Company has applied the Hedge Accounting principles set out in the Accounting Standard (AS) 30 ‘Financial Instruments : Recognition and Measurement’..95. machinery spares......... The net proceeds of Rs.. 84. 5 each (2009 : 31. The above monies which are treated as advance received from it.. receivables. 2013......... The Bonds 2011 may be redeemed.... 745 per FCD issued during the year ended 31st March. Bonds 2011 of the face value of US$ 10......60 crores respectively. both present and future........ Nil (2009 : Rs....... 400...... 2010.01 crores of 12........ : Rs...45 crores) [2009 : Rs.... 175...02.. the Company has reduced the Share Capital by Rs.... Consequent to the conversion the Share Capital and Securities Premium Account of the Company have increased by Rs. at any time on or after 7th May.. 2011........... Nil) (c) from others . 0...... 2011......57 crores)] arising consequently on contracts that were designated and effective as hedges of future cash flows has been recognized directly in the Hedging Reserve Account.. The Company’s 93.63. 223....... tools and accessories...653 bonus shares of Rs..42 = US$ 1.... 700.. 3...00 crores (2009 : Rs.91 crores (Net of Tax of Rs..19 crores (Net of Tax of Rs.86 crores (2009 : Rs.... Accordingly.... : Rs.......10 crores) for the 52.00 crores on 9th January..... etc.. 101. 15.50% Debentures and Zero Interest Bonds on receipt of balance amount due on allotment. 200....653 shares of Rs.. 10 each [before sub-division of the Ordinary (Equity) Shares] of the Company at a premium of Rs.........296 bonus shares of Rs.... 2011 at 128..... 922....... 10 each) held by the trust pending transfer to the eligible employees...... 78...63 crores (2009 : Rs. 2009.46 crores..... 3...... : Rs. none of the Bonds 2011 have been converted into equity shares/GDRs. is included under current liabilities............50 million have been bought back and cancelled in the previous year. 200...... : Rs.. (b) The Guidance Note on Accounting for Employee Share-based Payments issued by The Institute of Chartered Accountants of India requires that shares allotted to a trust but not transferred to employees be reduced from Share Capital and Reserves. book debts... 2010 into 93... 2010...15 crores (2009 : Rs.. Securities Premium Account by Rs..... 2..... were compulsorily converted on 27th January...... 461............10 crores)........01 crores are secured by a pari-passu charge on immovable properties of the Company both present and future.... Nil (2009 : Rs... claims...00 crores) (ii) Foreign currency loans from Banks : (a) Secured ..... 44.. The bond holders have an option to convert these bonds into Equity Shares with full voting rights or Global Depository Receipts (GDRs) determined at an initial conversion price of Rs........13 crores) The Company had issued during the year ended 31st March.......... 2008 subject to satisfaction of certain conditions. the bonds fall due for redemption on 14th April.40 crores and Rs...... such contracts are marked to market and the loss aggregating Rs...20 crores) for the 72.... 10..... 0..... (ii) Rs. unutilised as at 31st March..... (iii) Rs. 3... 4. (ii) Loans and Advances on cash credit accounts from the Company’s bankers are secured by a first charge on a pari-passu basis on the whole of the current assets of the Company namely inventories......... 80.08 crores (2009 : Rs....... 2007.................... Unless previously converted....63 crores (2009 : Rs. The Share Capital of the Company has also been reduced and the General Reserve increased by Rs..........296 shares of Rs.. 9..... Loans : (a) Debentures are redeemable as follows : (i) Rs............................ at the option of the Company at any time on or after 13th April....... 2005 to the trust but not yet transferred by the trust to the employees. (b) (i) Debentures of Rs..... both present and future... is disclosed under Cash and Bank balances...03 per cent of their principal amount. 600. 10 each) with fixed exchange rate of conversion of Rs.. redeemed or purchased and cancelled.... 690...... : Rs...... 2011 : (i) Debenture holders ..02...04 per share of Rs..02 per share of Rs.974 Unsecured Fully and Compulsorily Convertible Debentures (FCD’s) having face value of Rs.. 434. subject to certain exclusions and are also secured by pari-passu charge on the movable properties of the Company including movable machinery. 5 each (2009 : Rs. outstanding monies.60 crores (2009 : Rs.... Upto 31st March........ 0....... Zero Coupon Foreign Currency Convertible Bonds (Bonds 2011) aggregating US$ 200 million..63... : Rs... 10 each) issued by the Company in September.. 106 ... 4......... 2006 upto 7th March.......

Micro. Bank Ltd....38 crores).........68 * Maximum balance during the previous year * 9. provision for post retirement housing allowance Rs....... — 0..... 179...... 0. * 3. 0.99 crores (2009 : Rs..... (b) Additions to fixed assets and capital work-in-progress include : (i) Interest capitalised during the year Rs. 137. 8.............39 * 5. until such date when the interest due as above are actually paid to the small enterprises ................... (b) An amount of Rs.......... Provision for warranties relates to warranty provision made in respect of sale of certain products....61 crores (2009 : Rs... 519...32 0. Provision for contingencies is in respect of labour demands under negotiations at certain locations of the Company.......45 crores)...Others Rs. 0..... 2010 .09 2.32 9. Cash and Bank Balances include balances lying with non-scheduled banks : In Current Account Rupees crores Bank Tejarat........25 crores)..... Balance as at 31st March......... provision for post retirement medical benefits Rs.....05 (b) Interest paid in terms of Section 16 of the Act.... Total outstanding dues of Micro and Small enterprises..91 0.....07 0....34 0.000 107 ... Loans and Advances include : (a) Fixed/Call deposits with/loans to limited companies Rs. * crores) being the value of shares in co-operative housing societies.. which are outstanding for more than the stipulated period are given below : Rupees crores 2010 2009 (a) Dues remaining unpaid as at 31st March Principal .... Nil)..... 6........12 Interest paid in terms of Section 16 of the Act ....13 * Maximum balance during the year . * crores (2009 : Rs................65 crores) with/to subsidiaries... (a) Provision ............72 crores (2009 : Rs........63 crores). 219.... Merchant’s Co-op.... 0. 8.......51 1... 167.............. representing depreciation on revalued buildings demolished during the year........14 crores) including Rs.14 * Balance as at 31st March. Nil) and provision for diminution in value of certain assets substantially retired from active use Rs.84 crores)..11 0........45 crores) includes provision for contingencies Rs. 0.. 9..... (ii) Foreign exchange fluctuation capitalised during the year Rs...........79 crores credit (Net) [2009 : Rs. 404..89 2..... 26........... Small and Medium enterprises have been identified by the Company on the basis of the information available.83 crores (2009 : Rs......... 16. 117.....58 crores (2009 : Rs.42 crores (2009 : Rs. * 6...........50 0... * 11.. 50.42 Interest on the above ....89 crores).. The products are generally covered under a free warranty period ranging from 6 months to 3 years.............39 18. Bank of Australia Bank of China The Municipal The Ahmednagar Tehran Co-op.... 0.... MAHINDRA & MAHINDRA LIMITED 5. 2009 .......1. (ii) The net credit to the Profit and Loss Account consequent to the above adjustments to the Revaluation Reserve is Rs. Nil (2009 : Rs.....65 crores (2009 : Rs. 0....23 crores (2009 : Rs.......56 crores (2009 : Rs.......47 3......15 (d) Further interest due and payable even in the succeeding years.......54 crores).03 (c) Amount of interest due and payable for the period of delay on payments made beyond the appointed day during the year ... 3... 0...59 5.... (c) (i) The depreciation charge for the year excludes : (a) An amount of Rs.... * denotes amounts less than Rs... 411...66 crores (2009 : Rs. 15... 172...... 525....23 * 7. 15.... representing depreciation on the increase due to revaluation of Land and Buildings transferred from the Revaluation Reserve.. (a) Buildings include Rs. 10. 0......97 crores debit (Net)]...38 crores)........... provision for warranty Rs.41 crores (2009 : Rs..... Bank Ltd. the estimated cost of which is accrued at the time of sale.. (b) Amounts paid towards joint development of property Rs.13 (e) Amount of interest accrued and remaining unpaid as at 31st March .01 crores (2009 : Rs..... 7. 4.............. 0. along with the amount of payment made to the supplier beyond the appointed day during the year Principal paid beyond the appointed date .....

....... perquisites Rs.. 1....09 crores)....27 8...... 12......................... 1....... 63.....76 0. Managerial remuneration for Directors included in the Profit and Loss Account is Rs.......... 4...... In case of death while in service.. the gratuity is payable irrespective of vesting.. (c) Interest on Government Securities..........09 crores).........25 5......others includes tax deducted at source Rs.....83 16. 3....49 crores).....53 crores (2009 : Rs..... 14...91 0. The benefit payable is the greater of the amount calculated as per the Payment of Gratuity Act or the Company scheme applicable to the employee....06 0....05 3...... 33. (d) Interest received . The Company makes annual contribution to the group gratuity scheme administered by the Life Insurance Corporation of India through its Gratuity Trust Fund....73 crores)............05 — 1..... * — * — (iii) Other Services .......... (a) Dividends on other investments include Rs.... — 0... provision for leave encashment and post retirement medical benefit as separate actuarial valuation figures are not available..................... 179..32 1..... 0.......42 8. 0...01 Add : On Amalgamation during the year ....... 0. and profit on disposal of long term investments (Net) Rs. 45.89 17..08 0..... 13. Miscellaneous Expenses include : (a) Amounts paid/payable to Auditors (Net of service tax where applicable) : Rupees crores Statutory Auditors Cost Auditors (i) Audit Fees ....68 crores (2009 : Rs... 11.19 crores (2009 : Rs..03 1....06 crores (2009 : Rs.87 crores (2009 : Rs..21 crores (2009 : Rs....... 26........... Employee Benefits : General description of defined benefit plans : Gratuity The Company operates a gratuity plan covering qualifying employees......... 0..........89 10......... 0.............. The benefit vests upon completion of five years of continuous service and once vested it is payable to employees on retirement or on termination of employment.11 crores) and comprise Rs.....02 (b) An amount of Rs....18 crores (2009 : Rs........ 3. * denotes amounts less than Rs. 14..... 1.14 crores (2009 : Rs..03 1......66 — 0.. 38.25 — — — — Add : Provision made during the year ....16 crores) (See Schedule XV) and excluding charge for gratuity......01 — 0.....56 crores (2009 : Rs. contingency and retired assets is as follows : Rupees crores Warranty Contingency Retired assets 2010 2009 2010 2009 2010 2009 st Balance as at 1 April .58 5.. 4.................... Debentures and Bonds includes tax deducted at source Rs..50 crores (2009 : Rs.45 3.......25 15.. 0.. 1. 8... 0.........91 crores (2009 : Rs..61 137...26 crores) in respect of long term and current investments respectively.96 crores) payable as commission to non-wholetime Directors – Note 13 and Schedule XV.. The above perquisites include amortisation of Employees Stock Options amounting to Rs................53 crores (2009 : Rs.05 crores (2009 : Rs....... 6. 0......... 44......85 crores (2009 : Rs. 15..27 crores) and commission Rs...24 0......... 0....58 8. 137...........32 crores) in respect of long term investments..50 crores) and Rs. 1...............12 Balance as at 31st March ....16 16..43 54.........................59 85.......29 crores) including Directors’ fees of Rs... 1.................... (b) Profit on sale of investments (Net) includes profit on disposal of current investments (Net) Rs.....25 crores) but does not include items included under Consumption of Raw Materials and Bought-out Components and amounts charged to salaries and wages (amounts not ascertained). 0... 8.......... 0........................ Repairs and Maintenance includes machinery spares consumed Rs...45 106. 4.......................... ............25 8...41 — — Less : Utilisation during the year ...02 (ii) Company Law matters .............. 12.. 105.000 108 ....89 crores) in respect of current investments and Rs.(b) The movement in provisions for warranty... 50.........44 crores (2009 : Rs..........................63 — (iv) Reimbursement of expenses.11 crores).

Fair value of plan assets as at 31st March 266. Interest cost 23. MAHINDRA & MAHINDRA LIMITED Post retirement medical The Company provides post retirement medical cover to select grade of employees to cover the retiring employee and their spouse upto a specified age through mediclaim policy on which the premiums are paid by the Company.22 1. is paid to the retiring employee in lieu of housing.42 — 2. Change in fair value of assets during the year ended 31st March 1.84 — 3.34) (0. Change in the obligation during the year ended 31st March 1.75 18.81 (1.16) — — — — 4.47) (10.32 1.28 0.10 206.22) — — 7.50 — 2.37 0.69) 33.14 — — — — st 3.68 5.09 2.28) (0.81 (1. Benefit payments (18.50 — 4.99) — III.22) — — 8.22 — — 6. Actual return on plan assets 20.34) (0.76 4.14 163. Total expense included in Personnel (Schedules XI) 31.65 4.61 9.47) (10. Present value of defined benefit obligation at the end of the year 334. The eligibility of the employee for the benefit as well as the amount of medical cover purchased is determined by the grade of the employee at the time of retirement. Present value of defined benefit obligation as at 31st March 334.13 5.22 1.47) (9.16 — — — — 109 . 2010 Rupees Crores Funded Plan Unfunded Plans Gratuity Post retirement Post retirement medical housing allowance 2010 2009 2010 2009 2010 2009 I. Expense recognised in the Statement of Profit and Loss Account for the year ended 31st March 1.77) — 5.79 10. Net Asset/(Liability) as at 31 March (68.91 18.17) 33. Actual return on plan assets 20.40 0.91 18. Net Asset/(Liability) recognised in the Balance Sheet as at 31st March 1.61 201.32 1.40 0.27 0.77) — 6.15 — — — — — 7.15 — — — — — 6.24 0.37 0.10) (94.99 — 2.90 — — — — 3. Expected return on plan assets 16.10 206.84 10.65) (4.31 50.58 — — — — 2.23) (18. Current service cost 19. Contributions by employer (including benefit payments recoverable) 57.16 — — — — 4.84) (10. Fair value of plan assets at the end of the year 266.84 2. Actuarial Gain/(Loss) 4. Benefit payments (18.84 10. Defined benefit plans – as per actuarial valuation on 31st March.58 0.28) (0.17 16. Addition on account of amalgamation — 29. Current service cost 19.65 4.30 0. Past service cost 12.59 0. Expected return on plan assets (16.16 — — — — II.59 0.40 4. Actuarial (Gain)/Loss (3. Interest cost 23. Past service cost 12. Addition on account of amalgamation — 40.17 16.40 4.84 — 5.30 0.23 18.75 18.20 300. Present value of defined benefit obligation at the beginning of the year 300. Fair value of plan assets at the beginning of the year 206.61 9.57 — 7.52 — — — — — 5.14 — — — — 8. Post retirement housing allowance The Company operates a post retirement benefit scheme for a certain cadre of employees in which a monthly allowance determined on the basis of the last drawn basic salary at the time of retirement. Actuarial (Gain)/Loss (7.24 0.16 — — — — 3.20 300.99 — IV.

14 (0.60) VIII. Surplus/(Deficit) (68. 2010.47) (38.75% 8. On account of defined contribution plans the Company’s contribution to Provident Fund and Superannuation Fund aggregating Rs.15 crores (2009 : Rs. Experience adjustment on plan assets [Gain/(Loss)] 4. Defined benefit obligation 10.07 Post retirement housing allowance 1.72 (1. Effect on the accumulated post employment medical benefits obligations 1. 110 . Experience Adjustments Period ended 2010 2009 2008 2007 Gratuity 1.87 4.14 163. Fair value of plan assets 266. Attrition rate 5.99 — — — 2.18) (57. Effect on the aggregate service and interest cost of post employment medical benefits 0.45% 7. 8. Effect of one percentage point change in the One percentage point increase in One percentage point decrease assumed medical inflation rate medical inflation rates in medical inflation rates 2010 2009 2010 2009 1.55 — 5.22 2.24 (0.50% 7. Surplus/(Deficit) (10.10) (0.93 5.79) (3.02 crores.00% — — 4.44 — — — Post retirement medical 1. Discount rate 8. the Company has given effect to the same in valuing its actuarial liability for gratuity as at 31st March.22) 4.00% — — VII.43 2.84 2. Experience adjustment on plan liabilities [(Gain)/Loss] 5.45% — 2.00% 5. Defined benefit obligation 9.04 3.65 4.65) (4. 10.50 lakhs to Rs. 10.10 206. Since the said Bill has been substantively enacted.75% 8.99) — — — 4. 2010 and will come into effect from a date to be notified by the Central Government.42 crores has been recognized as an expense in the current year. Plan assets — — — — 3. 2009 of Rs.50% — — — — 3.55) 0.21 1. Rupees Crores Funded Plan Unfunded Plans Gratuity Post retirement Post retirement medical housing allowance 2010 2009 2010 2009 2010 2009 V.76 184. Experience adjustment on plan liabilities [(Gain)/Loss] 7. Defined benefit obligation 334. Due to this change in the maximum limit under the Act.78 crores) has been recognized in the statement of Profit and Loss Account under the head personnel.00% 5.00% 5.25 0. the profit after tax for the current year is lower by Rs. Medical premium inflation — — 5.00 lakhs has been passed by both houses of Parliament in May.20 300. 66.11) 2.79 3. Expected rate of return on plan assets 7.36 0.20) (0.61 201.58 127. Surplus/(Deficit) (9. Experience adjustment on plan liabilities [(Gain)/Loss] 0.39) 4. Actuarial assumptions 1.84) (2. The major categories of plan assets as a percentage of total plan Insurer managed funds 100% 100% — — — — VI. 57.00% 5.15 — — — The Payment of Gratuity (Amendment) Bill 2010 amending the maximum gratuity payable under The Payment of Gratuity Act 1972 from Rs. The post retirement housing allowance scheme of the Company for select cadre of employees has been introduced in the current year and the opening liability as at 1st April.10) (94. 3.45% 7. Plan assets — — — — 3.

00 – Rs.81 Options exercised during the year 9.25 th 29 September. Range of exercise price Number of options Weighted average remaining life Rs. where the employee can exercise all the options vested but not exercised till that date. The options may be exercised on the date of vesting and on specified dates within 5 years from the date of vesting.57 yrs Rs.58. The Company has allotted 55.70 th 14 June.922 4. 2006 vest in 4 equal instalments on the expiry of 12 Months. 2009 793.33 st Options outstanding on 31 March.15.515 298. considered in actuarial valuation.00 12. of stock options Weighted average exercise price (Rs.84 per share. The compensation costs of stock options granted to employees are accounted by the Company using the intrinsic value method.770 724.38.) Options outstanding on 1st April.009 413.47. 2009 928. 36 Months and 48 Months from the date of grant. 180.91. The trust holds these shares for the benefit of the employees and issues them to the eligible employees as per the recommendation of the Compensation Committee.00 42. except in case of the last date of exercise.00 Options forfeited/lapsed during the year 1. 2009 803.65 th 13 August. 2009 790. The number of options exercisable in each tranche is between the minimum of 100 and a maximum of 1/3rd of the options vested.) th 11 June.00.00 7.01.11 yrs Rs.71 Additional options pursuant to sub-division of shares 49. the equity settled options vest one year from the date of the grant and are exercisable on specified dates in 3 tranches within a period of 5 years from the date of vesting.14 yrs Rs. 10 each in the years ended 31st March. except in case of the last date of exercise.55 Options granted during the year 4. 2006. 2009 863. 362. 381.80 st 31 July.80 yrs Rs.29. 2010 35. such as supply and demand in the employment market. 414.09 yrs The fair value of options granted during the year on 4th November.50 . 107. 2010 98.42. 113. 2002 and 31st March.Rs.167 585.066 3.33 st Options vested but not exercised on 31 March. 2010 respectively to the Mahindra & Mahindra Employees’ Stock Option Trust set up by the Company.90 Information in respect of options outstanding as at 31st March.056 6. 15. 2009 is Rs. where the employee can exercise all the options vested but not exercised till that date.57 Average share price on the date of exercise of the options are as under Date of exercise Average share price (Rs.17. The estimate of future salary increases.00 29. MAHINDRA & MAHINDRA LIMITED The expected rate of return on plan assets is based on the average long term rate of return expected on investments of the fund during the estimated term of obligation. Number of vested options exercisable on each specified date is subject to a minimum of 50 or number of options vested whichever is lower.24. 250. takes account of inflation. 310. In respect of options granted prior to 29th September.35. seniority.50 5. 2010.000 Ordinary (Equity) Shares of Rs.61.921 556. 111 .662 1.627 300.484 1.840 7. 2009 858.85 th 26 October. Options granted on or after 29th September. Summary of Stock Options No. promotion and other relevant factors.030 298.219 and 10.50 35.86 yrs Rs. 2009 56.69. 24 Months. 308.

67 * denotes amounts less than Rs. the Commissioner of Central Excise.46 286. which is yet to be finally heard by the Tribunal.) 929. The fair value has been calculated using the Black Scholes Options Pricing Model and the significant assumptions made in this regard are as follows : Grant dated 4-Nov-09 Risk free interest rate 6. as has been repeatedly held by various judicial fora. Contingent Liability : (a) Guarantees given by the Company : Rupees crores Amount of guarantees Outstanding amounts against the guarantees 2010 2009 2010 2009 For employees 1. as provided under the Motor Vehicles Act. which is amortised on a straight line basis over the period between the date of grant of options and eligible dates for conversion into equity shares. 18. and Service Tax Appellate Tribunal (CESTAT) by its order dated 7th December. etc.75 crores. Navi Mumbai. on the same grounds as adopted for Commander range of vehicles. Pending admission of the Company’s appeal. 781.) 724. 168. 304. the employee compensation cost would have been higher by Rs. The CESTAT had accepted the Company’s submission that MVA and MMVR could not be referred to for determining the classification for the purpose of levy of excise duty and rejected the Department’s appeal against the Order of the Collector. 2009 has rejected the Company’s appeal against the order dated 30th March. 26. Had the Company adopted fair value method in respect of options granted on or after 1st April.91 163.05 1. on the grounds that the MVA and MMVR cannot be referred to for the purpose of determining the excise classification. 50. However.05 * * For other companies 327.50 Years Expected volatility 53. 3.57 crores) being the amortisation of deferred employee compensation. as a Contingent Liability in the Accounts and the same is included in the amounts disclosed under Note 18 (b)(i). 26. In earlier collateral proceedings on this issue.000 112 . 1989 (MMVR) and as such attracted a higher rate of excise duty. the Commissioner of Central Excise (Adjudication). the Supreme Court has passed an interim order staying the recovery of the balance amount till further orders. Profit after tax lower by Rs.05 crores accrued on the same upto 31st March.00 Stock price (Rs. Central Excise classifying the Commander range of vehicles as 10-seater. the Company has reflected the above amount aggregating Rs. 40. in accordance with guidelines issued by SEBI. wages.61 168.54 crores (2009 : Rs. based on legal advise it has received. 2005 passed by the Commissioner of Central Excise (Adjudication). after adjusting for reversals on account of options lapsed. In another case relating to Armada range of vehicles manufactured during the years 1992 to 1996.11 crores in connection with the classification of Company’s Commander range of vehicles. The Department’s appeal against the CESTAT Order dated 19th July. 2009 inter alia. 2010 is Rs. 2005 in the Company’s own case referred to above. has held that these vehicles could not be classified as 10-seater as they did not fulfil the requirement of 10-seater vehicles. Nashik passed an order dated 20th March.86 crores and the interest of Rs. 24. 2005. 328. the Company has paid an amount of Rs.48 & Rs. 0. 1988 (MVA) and Maharashtra Motor Vehicles Rules.44 crores. 2005 settled the controversy in the Company’s favour.44 respectively. 17. salaries. 16. 2009 which is under appeal in the Supreme Court is not sustainable in law and hence the Company has a very good chance of succeeding in the matter.83 crores (2009 : Rs. Excise.32 crores). includes Rs. 756. by the Company at its Nashik facility. Whilst the Company had classified the Commander range of vehicles as 10-seater attracting a lower rate of excise duty.56% Expected dividend yield 2. bonus. 3. The CESTAT has given an unconditional stay against this order. 2010.41% Expected life 2. the accounting value of the options is accounted as deferred employee compensation. 2005 is pending before the Supreme Court of India but the operation of the Order has not been stayed. Navi Mumbai confirming the demand made on the Company for payment of differential excise duty (including penalty) of Rs.50 In respect of Options granted under the Employee Stock Option plan. the Company does not expect any liability on this account. that the CESTAT order dated 7th December. Consequently. The Company has filed an appeal against the aforesaid order dated 7th December.44 crores and the basic and diluted earning per share would have been lower by Rs. The Customs. including the Supreme Court and particularly by CESTAT vide its order dated 19th July.00 crores in January. 2006 confirming a demand of Rs. As such. the CESTAT had by an Order dated 19th July.24% Exercise price (Rs. The Company strongly believes. 2010. The estimated amount of contracts remaining to be executed on capital account and not provided for as at 31st March. in view of the CESTAT order. Without prejudice to the grounds raised in the appeal. during the years 1991-1996. 0.

65 Net Deferred Tax (Asset)/Liability 240. 10. 70. 0. 12.20 crores).17 411. 128. 4.07 crores (2009 : Rs.28 crores (2009 : Rs. 1.19 crores)]. The net difference in foreign exchange loss debited to the Profit and Loss Account is Rs.50 crores).69 17.94 crores). Nil (2009 : Rs.34 crores (2009 : Rs. aggregate Rs.08 (iv) On Provision for employee benefits 13.10 40. 386. 38. 81.41 crores) [2009 : Rs.50 crores)].89 crores (2009 : Rs. MAHINDRA & MAHINDRA LIMITED (b) Claims against the Company not acknowledged as debts comprise of : (i) Excise Duty.25 crores (2009 : Rs.54 27.Income-tax : Rs. 90. aggregate Rs. 968.61 (v) Loss on mark to market of forward contracts 0. (iii) Capitalisation of assets Rs.78 crores (Net of Tax : Rs. 17. 10. 113. Nil).32 crores (Net of Tax : Rs.14 crores)].57 (vi) Others 26.56 crores).33 (iii) On Premium on redemption of Zero Coupon Convertible Bonds 18. .33 (18. relating to issues of deductibility and taxability in respect of which the Company is in appeal and exclusive of the effect of similar matters in respect of assessments remaining to be completed : . (b) Surplus on transfer of Logistics business Rs.37 crores (Net of Tax : Rs. 18. 7.03 crores (2009 : Rs. 58.13 crores). 1.13 crores (2009 : Rs.25 crores (2009 : Rs. 25. 12. 220.22 crores (Net of Tax : Rs. (iii) Capitalisation of assets Rs.12 322.32 422. (ii) Items in respect of which the Company has succeeded in appeal. (ii) Development Expenditure incurred during the year Rs.59 crores (2009 : Rs.41 78. Research and Development expenditure : (a) In recognised Research and Development units : (i) debited to the Profit and Loss Account. 56. 2010 are as under : Rupees crores 2010 2009 Deferred Tax Liability : (i) On fiscal allowances on fixed assets 296. 22.50 crores (2009 : Rs.27) 113 .09 crores) [excluding depreciation and amortisation of Rs. Exceptional items of Rs.98 24.44 182. 21. but the Income-tax Department is pursuing/likely to pursue in appeal/reference and exclusive of the effect of similar matters in respect of assessments remaining to be completed : .25 crores).18 crores).63 crores). (ii) Development Expenditure incurred during the year Rs. 2. (c) Uncalled liability on equity shares partly paid Rs.38 71.64 crores (2009 : Rs. including certain expenditure based on allocations made by the Company. 19. (b) In other units : (i) debited to the Profit and Loss Account.04 crores) [2009 : Rs.58 crores (2009 : Rs.75 crores (2009 : Rs.20 crores)]. 698. 41. The components of Deferred Tax Liability and Assets as at 31st March.55 crores).27 crores).64 crores). Sales Tax and Service Tax claims disputed by the Company relating to issues of applicability and classification aggregating Rs. 3. 181. 90. 248.75 crores (2009 : Rs. 20. (e) Bills discounted not matured Rs.Surtax matters : Rs.62 (ii) On Provision for doubtful debts/advances 36. 237. (d) Taxation matters : (i) Demands against the Company not acknowledged as debts and not provided for. 10. 131.50 crores). 0.50 393. 168. 15. 10. including certain expenditure based on allocations made by the Company. Nil (2009 : Rs. 17. (iii) Claims on capital account : Rs. 59.69 crores) [excluding depreciation and amortisation of Rs.48 crores (2009 : Rs.Income-tax matters : Rs.27 crores) comprise of : (a) Profit on sale of certain long term investments Rs. 1. 274.45 223.38 Deferred Tax Assets : (i) On Provision for compensated absences 86. (ii) Other matters (excluding claims where amounts are not ascertainable) : Rs.18 crores (2009 : Rs.06 (ii) Others 126.

. — 19.. 2008........38 Less : Transfer from Investment Fluctuation Reserve pursuant to the above schemes of arrangement/amalgamation ........ The excess of the value of the net assets of PTL over the face value of the shares allotted was credited to the existing Investment Fluctuation Reserve Account.......................... 70....................... Provision for diminution in the value of long term investments for the year comprises : Rupees crores 2010 2009 Provision for diminution in value of investments...... duties and obligations of Punjab Tractors Limited (PTL) (an erstwhile subsidiary of the Company) were transferred to and vested in the Company..........826 Weighted average number of equity shares used in computing diluted earnings per share ...... the Company has given effect to the sub-division in March..... 24.......... (b) In the previous year...... 5 each.......00 crores (2009 : Rs.. pursuant to the Scheme of Amalgamation (the scheme) as approved by the shareholders of the Company and subsequently sanctioned by the Honourable High Court of Bombay and the Honourable High Court of Punjab & Haryana on 9th January..31....84.....897 4.........39 884........................ 2008.....................98.........45... 70.......................52 Total ... the entire business and all the assets and liabilities........................02 31.....02 50..........38 Total .61 15.....70....................44 26...................) (Face value of Rs..... 2087................................720 Basic Earnings per share (Rs............. 2009 and 16th January...................01 In the computation of earnings per share for the periods above.......... duties and obligations of Mahindra Holdings and Finance Limited (MHFL) (an erstwhile wholly owned subsidiary of the Company) were transferred to and vested in the Company...769 54.....80 Weighted average number of equity shares used in computing basic earnings per share ........................ the face value of the shares cancelled and the amount of General Reserve and Profit and Loss Account of MHFL transferred to the Company was credited to the existing Investment Fluctuation Reserve Account..........38 crores) pursuant to the schemes of arrangement/amalgamation approved by the Hon’ble High Courts] .....50...................56..44. — — 114 ....... Scheme of Amalgamations : (a) In the previous year...................64 17.... with effect from 1st February...................75 867...... 35...96 Less : Transfer from Investment Fluctuation Reserve pursuant to the above schemes of arrangement/amalgamation .00 154.......92 Diluted Earnings per share (Rs.....894 Effect of potential Ordinary (Equity) Shares on conversion of bonds/debentures ...... 5 per share) ..... Nil (2009 : Rs..... 59.....23....... 19........ 10 each into 2 Ordinary (Equity) Shares of Rs..............94................... with effect from 1st August......... 25............................. 70..38.. 32..... 54..........666 58.00 154..............) ........................ 2008.......................54.......51 Effect on earnings of convertible bonds/debentures (Gain)/Loss (Rupees crores) .... pursuant to the Scheme of Amalgamation (the scheme) as approved by the shareholders of the Company and subsequently sanctioned by the Honourable High Court of Bombay on 18th July.................. 2010 of the Company’s Ordinary (Equity) Share of Rs.... 2120.......... 2009 respectively............. the entire business and all the assets and liabilities........................... 51..... made during the year (Net) [including provision of Rs..... Provision for doubtful debts and advances for the year comprises : Rupees crores 2010 2009 Provision for doubtful debts and advances made during the year (Net) [including Rs........................... The excess of the value of the net assets of MHFL over the face value of the shares allotted..............52 crores) pursuant to the schemes of arrangement/amalgamation approved by the Hon’ble High Courts] . 51.................. 4....................97 15............. the figures for the current year are not strictly comparable with that of the previous year..... (c) Accordingly......................... Earnings per Share : 2010 2009 Amount used as the numerator – Balance of profit (Rupees crores) .........29 Amount used as the numerator for diluted earnings per share (Rupees crores) ............................................38. 154... 37................

2006. 2010) 32. (upto 10th March.24 crores (2009 : JPY 450. Name of the Company Sl. Stokes Group Limited 9. GBP * crores. Bristlecone Inc. (upto 22nd March.000 of respective currency. Limited 5. Name of the Company 1. No.20 crores) and US$ 15. Tech Mahindra Foundation (upto 22nd March.38 crores. Mahindra World City (Jaipur) Limited 17. Mahindra Intertrade Limited 44.10 crores (2009 : US$ 60.00 crore (2009 : Rs. Mahindra Logisoft Business Solutions Limited 31. Mahindra Steel Service Centre Limited 45. Mahindra Overseas Investment Company (Mauritius) Limited 43. Gesenkschmiede Schneider GmbH 27. SEK * crores and Payables of US$ 2. Mahindra World City (Maharashtra) Limited 21. Range Forwards US$ 7. JECO-Jellinghaus GmbH (upto 22nd March.04 crores. Bristlecone (Singapore) Pte. NBS International Limited 50. 2010) 55. Schöneweiss & Co. Mahindra Forgings Europe AG 26.44 crores and US$ 9. 0. Mahindra Forgings International Limited 23. Mahindra & Mahindra Financial Services Limited 52. 1. CanvasM Technologies Limited (upto 22nd March. Donations and contributions include contributions to : (a) Indian National Congress : Rs.30 crores).24 crores) has been completely hedged using cross currency swap structure fixing the liability into a full fledged rupee liability. The borrowing of US$ Nil (2009 : US$ 2. Mahindra-BT Investment Company (Mauritius) Limited Technologies GmbH) 14. 2010) 59. SEK 0. Mahindra Ugine Steel Company Limited 51. Mahindra Infrastructure Developers Limited 19. 34.01 crores.80 crores comprising Forward Contracts US$ 32. Mahindra Engineering Services (Europe) Limited 12.44 crores (2009 : JPY 1.00 crores) has been hedged using a forward cover. Mahindra Engineering and Chemical Products Limited 30. Tech Mahindra (Singapore) Pte. Mahindra Navistar Automotives Limited 8. 39. The Company had made an issue of US$ 20. The foreign currency exposures not hedged by derivative instrument or otherwise as on 31st March. SAR 0. Mahindra Lifespace Developers Limited 16. Mahindra Insurance Brokers Limited 53. 29. Mahindra Technologies Inc. Nil) (b) Bhartiya Janata Party : Rs. 2010) 15.67 crores. Stokes Forgings Limited 11. 2010) 24.25 crores (2009 : Rs. Bristlecone India Limited 4.95 crores) are outstanding and have not been hedged. Tech Mahindra Limited (upto 22nd March. Mahindra Holidays & Resorts India Limited 48. Bonds of value US$ 18. Tech Mahindra (Thailand) Limited (upto 22nd March.126. DKK * crores. SAR 0. No. The outstanding derivative instruments as on 31st March. NZD 0. Falkenroth Umformtechnik GmbH 28. Mahindra & Mahindra South Africa (Proprietary) Limited 38. 49. 1. Mahindra World City Developers Limited 18. The Company has outstanding borrowings of JPY 1. Limited 57. 2010) 56. NZD * crores ). 2010) 54.50 crores (2009 : Rs. EUR 0. Nil) (d) Nationalist Congress Party : Rs. Nil) (e) Bihar Pradesh Janata Dal (United) : Rs. 2010) 25.58 crores.126. 2010) 60. Out of this issue. AUD 0. CHF * crores and Payables of JPY 2.71 crores. JPY 2.02 crores. Bristlecone Limited 2. Mahindra Renault Private Limited 7. The borrowing of JPY 450. * denotes amounts less than 50.00 crore (2009 : Rs. Nil) 28. 2010 : The Company has taken foreign exchange contracts amounting to US$ 54. The borrowing of JPY 676. EUR 0. Mahindra First Choice Wheels Limited 33. Mahindra Engineering GmbH (formerly known as Plexion 13. Mahindra Vehicle Manufacturers Limited 29. Stokes Forgings Dudley Limited known as Mahindra SAR Transmission Private Limited) 42. Nil) (c) Shiv Sena : Rs.33 crores. 0.00 crores in the form of Foreign Currency Convertible Bonds in April. Tech Mahindra GmbH (upto 22nd March. SGD * crores.r. 2010) 58.20 crores. PT Tech Mahindra Indonesia (upto 22nd March. (upto 22nd March. Mahindra Europe s. 2010 are – Receivables of ZAR 4.20 crores (2009 : US$ 10. SGD * crores (2009 : Receivables of AUD 0. Mahindra Middleeast Electrical Steel Service Centre (FZC) 46.l. US$ 1.38 crores.39 crores.03 crores.50 crores (2009 : US$ 33. Bristlecone (UK) Limited 3. Bristlecone GmbH 6. Mahindra Shubhlabh Services Limited 37.03 crores.20 crores) of derivative structures in the form of ‘strips’. 2010) 22.45 crores) as Foreign Currency Borrowings. Mahindra USA Inc. Mahindra (China) Tractor Company Limited 36. Tech Mahindra (Americas) Inc. 0. ZAR * crores.20 crores) has been fixed to a US$ liability using a cross currency swap structure. Mahindra Gujarat Tractor Limited 35.95 crores (2009 : US$ 18. Mahindra Gears & Transmissions Private Limited (formerly 41. Mahindra Holidays and Resorts USA Inc. (upto 22nd March.01 crores.50 crores (2009 : Rs. Jensand Limited 10. CanvasM (Americas) Inc. CHF * crores.27 crores. RMB 0. Related Party Disclosure : (a) Related parties where control exist : (i) Subsidiaries : Sl. Mahindra Consulting Engineers Limited 47. MAHINDRA & MAHINDRA LIMITED 27. Mahindra Integrated Township Limited 20.20 crores (2009 : JPY 676. GBP 0. Mahindra Engineering Services Limited 40. GmbH 115 .

.f.l. 9th October. Defence Land Systems India Private Limited (formerly known 69. Metalcastello s. M&M Benefit Trust 3.f... MHR Hotel Management GmbH 87.f.. 2010) (ii) Joint Venture : Sl... Nanda (iv) Welfare Funds : Sl. 11th January.. 83. Mahindra Conveyor Systems Private Limited as Mahindra Industrial Township Limited) (w. Satyam Computer Services Limited (from 5th May. ID-EE s.... Mahindra Residential Developers Limited (w. Mahindra United Football Club Private Limited Castings Private Limited) 94.. 2010) 84.e. Mahindra Retail Private Limited (w. Mahindra Logistics Limited 2010) 72..K.. Mahindra Composites Limited 5. 1st July. Name of the Company 1. 2009 & upto 22nd March.. Mahindra Rural Housing Finance Limited 89.... 2009) 78. No. Mahindra Sona Limited 2. 2009) 107. Tech Mahindra Limited (w.. Bristlecone (Malaysia) SDN.e. 2009 to 22nd March. 2nd January.) 105. EFF Engineering s.f.. 4th January.. Mahindra Castings Limited (formerly known as Mahindra 93.. Mahindra Holdings Limited 96...f. Mr. (i) Associates : Sl.. Mahindra Punjab Tractors Private Limited 81.f.... Name of the Company Sl.. A.. Venturbay Consultants Private Limited (upto 22nd March..f. Metalcastello S.f...l.l. Mahindra Automotive Australia Pty.. 3rd November. 2009) 73. 99. Engines Engineering s.. B...e. 1st July.. 2009) 77. Name of the Company Sl.. Tech Mahindra (Nigeria) Limited 79. Mahindra Technologies Services Inc...A (upto 31st December.f..l.r. 2010) (w..f 23rd March..e. 63.. Mahindra Forgings Global Limited (formerly known as Mahindra IT Consulting Private Limited) 66. Doshi Mr.r. Mahindra Gears International Limited 104. Anand Mahindra Executive Directors .BHD 91.. (formerly known as (w. Mahindra Water Utilities Limited 4....r.. M&M Employee’s Welfare Fund 4. Tech Mahindra (Beijing) IT Services Limited 97.. Mahindra Business & Consulting Services Private Limited 65. Mahindra Navistar Engines Private Limited 98. 67. Mahindra Gears Global Limited 103. 2010) 80.. Knowledge Township Limited (formerly known as Mahindra as Mahindra Defence Land Systems Private Limited) Knowledge City Limited) 95.. Mahindra Metal One Steel Service Centre Limited (upto 22nd March. Sl.r... BAH Hotelanlagen AG (w. Mahindra Construction Company Limited 6.f.. 2009) 75.. 2010) Mahindra Metalcastello s. Tech Mahindra Bahrain Limited S.e.. 2010) 92. Mahindra Hotels and Residences India Limited 90.. Mahindra Two Wheelers Limited 68.. Crest Geartech Private Limited (b) Other parties with whom transactions have taken place during the year. Name of the Company 61. Ltd..BHD (upto 22nd March... Swaraj Engines Limited 3. No. 64. 2009) 76. (w. 4th June.. Mahindra World School Education Trust 2.... Mahindra First Choice Services Limited 102. Swaraj Automotives Limited 2. M&M Employee’s Farm Equipment Sector Employee’s Welfare Fund 116 . Mahindra Forgings Limited 88. 62... Raigad Industrial & Business Park Limited 74. Mahindra Yeuda (Yancheng) Tractor Company Limited 70..e. Mahindra Gears Cyprus Limited (w.e. 2009 to 22nd March.e. 18th June.. Mahindra Graphic Research Design s. 2009) 82..e. Name of the Company 1...r... 2010) (iii) Key Management Personnel : Vice Chairman and Managing Director . 11th June... No.p. 2010) 85.e.r.l..N.. Mahindra EcoNova Private Limited (w.. 2010) 86.l.... Mr..P... No. No... Industrial Township (Maharashtra) Limited (formerly known 106. Heritage Bird (M) SDN.BHD 101..C.. Retail Initiative Holdings Limited (w....e.. Owens Cornings (India) Limited 7. No... Mahindra Bebanco Developers Limited (from 18th August.. Tech Mahindra (Malaysia) SDN.. 71.. Mahindra Aerospace Private Limited 100.. Name of the Fund 1.

.... No....16) (—) (—) (—) Services .72) (1.22) (—) (—) (—) Fixed Assets ...99.........05) (—) (—) 3........................................19.10 — — — — (8.. Finance : Inter Corporate Deposits given . Purchases : Goods ............66 — — — — (10.59) (—) (—) (—) (—) Inter Corporate Deposits refunded by parties ....... 0......93 0... 6........................... Write off of Receivables .....................22.......................... 4..88..............19) (0...52) (—) (—) (—) (—) 8...........20 — — — — (—) (—) (—) (—) (—) 6.....25...... 2...41 — — — — (2...........53 1...........52) (—) (—) (—) 5.. 2.. 4........34 — — — — (7..... 10.. 39...52 — — — — (—) (—) (—) (—) (—) 7.23 — — — — (1...... 5. — — — 0......55 0............ Deputation of Personnel : From Related Parties ....04..15 — — — (17..........45) (—) (—) (—) (—) 2..07) (—) 10............. 2..........00) (—) (—) (—) (—) 117 ............03.................58.. Managerial Remuneration .49) (66......................65............... 14.....05 — — (1.............56 — (—) (—) (—) (5................04 — — — (3........ 9..... Sales : Goods ..........58.00) (4............... MAHINDRA & MAHINDRA LIMITED (c) The related party transactions are as under : Rupees crores Sl... — — — — 10.......60 — — (6..75) (—) (—) (—) (—) 4...............39) (—) (—) (—) (0..24 — — — — (6.67 0................ — — — 6..41) (—) (—) (—) (—) Services .35) (0..............61) (—) (—) (—) (—) Inter Corporate Deposits taken ....98 4................01) Sales/Redemption ............................... Stock Options .......25..26) (1..............05 — (—) (—) (—) (0..... 19.................................08..............34...96) (0......... Nature of Transactions Subsidiaries Associate Joint Key Management Welfare Companies Ventures Personnel Funds 1.................90 84...09...... Investments : Purchase/Subscribed .63 3.41................. 1.59) (—) (—) (—) (—) To Related Parties ..34............00 (19..99 — — — — (28....... — — — — — (5...31 — — — (4....................72) (—) (—) Fixed Assets ... Provision for doubtful debts/advances ................................. Write Back of Provision for doubtful debts/advances .........15) (—) 9..............

Rupees crores
Sl. No. Nature of Transactions Subsidiaries Associate Joint Key Management Welfare
Companies Ventures Personnel Funds

Inter Corporate Deposits refunded to parties . — — — — —
(5.00) (—) (—) (—) (—)
Interest received .............................................. 54.31 0.46 — — —
(24.19) (1.85) (—) (—) (—)
Interest Paid ..................................................... 0.44 — — — —
(1.47) (—) (—) (—) (—)
Dividend received ............................................ 83.29 2.60 1.31 — —
(1,31.83) (0.28) (0.98) (—) (—)
Security Deposits Paid ..................................... 0.81 — — — —
(—) (—) (—) (—) (—)
Security Deposits Refunded ............................. 0.66 — — — —
(—) (—) (—) (—) (—)
11. Issue of Ordinary (Equity) Shares .................... — — — — —
(—) (—) (—) (—) (14,59.76)
12. Dividends Distributed ...................................... — — — 0.45 26.86
(—) (—) (—) (0.52) (1.05)
13. Guarantees & Collaterals given ....................... 1,67.99 — — — —
(1,19.58) (—) (—) (—) (—)
14. Other Transactions :
Other Income .................................................. 9.64 0.29 — — 25.91
(10.88) (0.28) (—) (—) (—)
Other Expenses ................................................ 20.60 — — — —
(17.71) (—) (—) (—) (—)
Reimbursements received from parties ........... 1,10.16 1.04 0.03 — —
(2,01.55) (0.02) (0.03) (—) (—)
Reimbursements made to parties .................... 87.44 0.02 — — —
(1,29.43) (0.02) (—) (—) (—)
Advance Given ................................................. 8.49 — — — 7.00
(5.74) (—) (—) (—) (15.00)
Advance Received ............................................ 1.00 — — — —
(—) (—) (—) (—) (—)
15. Outstandings :
Payable ............................................................ 1,73.25 1.36 7.61 3.10 —
(1,24.62) (3.26) (11.20) (2.21) (—)
Receivable ........................................................ 3,49.13 2.72 0.01 — 22.00
(1,38.46) (12.31) (0.01) (—) (15.00)
Debenture issued by parties ............................ 50.00 — — — —
(45.00) (—) (—) (—) (—)
Inter Corporate Deposits given ........................ 5,14.72 4.59 — — —
(4,00.78) (4.59) (—) (—) (—)
Guarantees & Collaterals given ....................... 2,86.91 — — — —
(1,63.67) (—) (—) (—) (—)
Security Deposit Paid ....................................... 5.79 — — — —
(5.03) (—) (—) (—) (—)
Security Deposit Received ................................ 1.85 — — — —
(2.51) (—) (—) (—) (—)
16. Provision for doubtful debts/advances ............ 5.99 6.69 — — 10.00
(25.51) (6.69) (—) (—) (—)
Previous year’s figures are given in brackets.

118

MAHINDRA & MAHINDRA LIMITED

The significant related party transactions are as under :
Rupees crores
Sl. Associate
No. Nature of Transactions Subsidiaries Amount Companies Amount Joint Ventures Amount
1. Purchase – Goods Mahindra Intertrade 1,60.19 Swaraj Engines 2,94.63 Mahindra Sona 84.60
Limited (1,24.93) Limited (1,50.60) Limited (66.72)

Mahindra Ugine Steel 3,84.61
Company Limited (3,08.92)

Mahindra Forgings 1,11.14
Limited (77.32)
Mahindra Vehicle 1,08.60
Manufacturers Limited (—)

2. Purchase – Services Mahindra Logistics 5,13.81 Satyam Computer 0.04
Limited (2,37.42) Services Limited (—)

Mahindra Engineering —
Services Limited (44.05)

3. Sale – Goods Mahindra USA Inc. 1,35.45 Swaraj Engines 1.31
(1,05.37) Limited (1.22)
Mahindra Navistar 1,48.28
Automotives Limited (92.61)
Mahindra & Mahindra 65.76
South Africa (58.22)
(Proprietary) Limited
NBS International Limited 79.12
(64.89)
4. Sale – Services Mahindra Navistar 43.90 Owens Corning 0.47 Mahindra 0.05
Automotives Limited (34.37) (India) Limited (3.21) Sona Limited (0.05)

Mahindra Renault 44.38 Satyam Computer 0.07
Private Limited (76.27) Services Limited (—)
Swaraj Engines —
Limited (1.43)
5. Investments –
Purchase Mahindra Navistar 43.69
Automotives Limited (1,12.97)
Mahindra Vehicle 1,00.00
Manufacturers Limited (3,60.20)

Mahindra Overseas 65.82
Investment Company (1,09.43)
(Mauritius) Limited

Mahindra Forgings 55.83
Limited (—)

Mahindra Navistar 62.98
Engines Private Limited (—)

Mahindra Gears —
International Limited (1,53.14)
Mahindra Two —
Wheelers Limited (1,17.99)

119

Rupees crores
Sl. Associate
No. Nature of Transactions Subsidiaries Amount Companies Amount Joint Ventures Amount
6. Investments – Sale Tech Mahindra Limited 5.71
(—)
Mahindra Intertrade Limited 14.27
(—)
7. Investments – Mahindra & Mahindra 20.00
Redemption Financial Services Limited (10.00)

Mahindra Intertrade Limited —
(18.75)
8. Advances Given Mahindra Integrated 5.39
Township Limited (—)

Defence Land Systems 2.73
India Private Limited (—)

Mahindra Ugine —
Steel Company Limited (2.13)

Mahindra Automotive —
Australia Pty. Ltd. (3.57)

9. Inter Corporate Deposits Mahindra Overseas 62.38
given Investment Company (—)
(Mauritius) Limited

Mahindra Forgings 56.50
Limited (—)

Mahindra Vehicle 2,05.00
Manufacturers Limited (1,00.00)

Mahindra Two Wheelers —
Limited (1,02.00)

Mahindra & Mahindra —
Financial Services Limited (1,85.00)

10. Inter Corporate Deposits Mahindra Forgings 1,00.50
refunded by parties Limited (—)

Mahindra Vehicle 75.00
Manufacturers Limited (—)

Mahindra Castings Limited 38.00
(—)
Mahindra & Mahindra —
Financial Services Limited (1,70.00)

Mahindra Engineering —
Services Limited (40.00)

Mahindra Two —
Wheelers Limited (67.00)

11. Guarantees given Mahindra USA Inc. 94.42
(—)
Mahindra Forgings 73.57
Limited (—)
Mahindra Renault —
Private Limited (1,19.58)

Previous year’s figures are given in brackets.

120

.............. Liabilities.............29 31......................73 2 Excise Duties ............................. Joint Venture Disclosure (i) Jointly Controlled Entities by the Company : Name of the Entity Country of Incorporation % Holding a) Tech Mahindra Limited (w........................................... Additional information pursuant to the provisions of Part IV of Schedule VI to the Companies Act....................................e... Previous year’s figures have been regrouped/restated wherever necessary........24 0........................................See Schedule XVI......40 (d) Loans and Advances .... 337..................................... 1956 .......85 2................. 297... Previous year’s figures are indicated below the current year’s figures............................................ 33...326.. 12.............................................................51 — 2 Current Liabilities and Provisions (a) Liabilities ........................... 118.................57 2 Other Income .........................................43 10.........62 3 Deferred Revenue .. Finished and Semi Finished Products .............14 0......03 2 Investments………………………………………………………....... 1........... 23rd March................. 415....................78 1..76 5 Provision for Taxation .........34 4 Depreciation/Amortisation .............................90 2 Capital Commitments .............20 V OTHER MATTERS 1 Contingent Liabilities ...............21 IV EXPENSES 1 Raw Materials...........................................................................................................09 3 Manufacturing................................. 267. MAHINDRA & MAHINDRA LIMITED 30.......71 — III INCOME 1 Sales ..................................................... Selling Expenses..61 44....82 (b) Unsecured Loans ........14 (b) Provisions ....05 3 Current Assets.......02 1......26 4................59 (b) Sundry Debtors ................. ................13 0...... 4.................... 2.....69 0........................ 3..60 2......................................... etc.............................23 4 Deferred Tax – Net ..... 7....................61 6.....................01 0...................................................................................................................................................17 8...............83 3..................83 4......................... Income and Expenses with respect to Jointly Controlled Entities.....................See Schedule XVII..................... 100..............65 26...... Additional information pursuant to the provisions of paragraphs 3(i)(a) and (ii).......................... 469. 4C and 4D of Part II of Schedule VI to the Companies Act.........11 9...............22 (c) Cash and Bank Balances ....................... .............. 109....... 124........................................ 121 ................... ................................................................................ 330.........................77 % c) PSL Erickson Limited India 18.. 1956 ........... 2010) India 43............. 34.....06 % (ii) Interests in the Assets......99 % b) Mahindra Sona Limited India 29................... 54................................. Loans and Advances (a) Inventories ... 59.........f.............50 3.... 271......................................25 II LIABILITIES 1 Loan Funds (a) Secured Loans ....... Rupees crores 2010 2009 I ASSETS 1 Fixed Assets . 32......................................... 4.....................

...........20 Commission payable to the non-wholetime Directors restricted to ...............14 : Profit on sale of Investments (Net) .......................854............................96 122 .60 3.....29 : Provision for doubtful debts and advances (Net) .............44 : Loss on sale..................................... 290..... 1956 (Net) ....22 : Surplus on transfer of Logistics Division .. 1956 for the year ended 31st March..................19 6.02 31................. 51........076..................... 2...........07 Less : Depreciation under Section 350 of the Companies Act....... 101..SCHEDULE XV Computation of Net Profit in accordance with Section 309(5) of the Companies Act...23 31...... 2.................... 8..04 1.....31 1..........44 0............97 : Amortisation of Intangibles ................... 1. (0.......... 3...036............ of Fixed Assets (Net) .... — 10...27 330...... 2008 to 31st March.......................297.....57) 450.............................22 : Loss on sale of Assets as per Section 349 of the Companies Act......407.................51 : Directors’ Remuneration including Directors’ fees ......25 Commission payable to the wholetime Directors restricted to ....................80 2........47 Add : Profit of Mahindra Holdings and Finance Limited for the period 1st February................ 370...................... — 41.........75 1..................27 443......... 49...15 53...................74 : Depreciation/Amortisation charged in the Accounts ........... 1956 . 2008 .....09 2......09 233...............................82 Total.................19 : Net reduction in the fair value of current investments ........78 291........ 2...26) (1..............846..........83 1.....56 370.. 20...... etc..... 2010 Rupees crores 2010 2009 Profit before Taxation as per Profit and Loss Account .......

31.17 10. medium and heavy commercial vehicles.75. Export benefits 18.386 65.958 248.33 14.15 Locations 6.227 115 2.89 1.671 232. Forklifts Nos.000 2.11 4.52 8.73 302 42.42 10.35 against spare capacity under 2(a) 3.15 1. Three Wheelers Nos.73.165.16 manufactured 4.72 b.000 to 60.360 530.47 9.717 1.91.000 tonnes grey iron castings..27.525 15. 1.963 191.000 2.205 13. (c) Within the overall licensed capacity in item 1 above.671 232.189 7.333.58.183 592.49 11.217 6.000 1.753 29.78 24. 91.41 against spare capacity under 2(a) 7.000 Assembly 21.08 9..683 1.000 45.626 246. 1956.77 6. (A) PARTICULARS IN RESPECT OF GOODS MANUFACTURED : Sl. 19.647 92. and duly acknowledged by. 300 300 324 1 0. On Road Automobiles having four or more wheels such as light.000 1.524. 94.550 8. a.53 .66 1.278 2.000 1. 2.000 72.17.75. Internal Combustion Piston Engines Nos.08 against spare capacity under 1 and 2 above 4. (iii) (a) The actual production disclosed against manufactured components/sub-assemblies/steel blanks is the number of such components transferred during the year to the Marketing Unit/Spare Parts Stores for sale or sold otherwise.68. These are 4. No. (e) The installed capacity mentioned against item no.726 23 1.27 1.806 517.565 4.15 1.18.11. 66.04 0.000 43.904 439 2.68 2.97 . Class of Goods Unit of Licenced Installed Actual Opening Stock Closing Stock Sales Measurement Capacity per Capacity Production annum per annum [Notes (ii) [Note (i)] [Note (i)] & (iii)(a)] Quantity Value Quantity Value Quantity Value Rupees crores Rupees crores Rupees crores 1.79 385 2.71.66 1.52 2.99 Total .14 45. (b) The licensed capacities include/represent.260 .144 385 2.036 1.000 tractors at Mumbai subject to fulfillment of conditions mentioned therein.179 106.96 114 1.10 2.28 1..60.61. (ii) Actual Production includes production for captive consumption.000 1.796 451.76.51 6 0. 24. Harvester Combines Nos.33.56 b.000 at 3rd Party 26.952 . Engines Nos.15 manufactured 25.41 2 0.715 5.61 2. jeep type vehicles and passenger cars covered under sub heading (5) of Heading (7) of First Schedule Nos.25 5. a.034 89.000 2.16 8. (d) Bullet proof work and fabrication on base vehicles has been carried out at third party facilities.01 . which the auditors have relied on without verification as this is a technical matter.438 254.03 4.. (iv) Licenced capacity in respect of Agricultural Tractor includes a Letter of Intent from the Government of India for expansion of the manufacturing capacity from 25.533 2. 300 300 110 6 0.000 2.162 8.937 108.89 44.53 . 4C and 4D.41 300 300 136 2 0. an Industrial Licence will be issued on fulfillment of the conditions mentioned in the Letter of Intent.000 60.721. (b) The Opening and Closing Stocks and Sales of goods shown under item 3 above consist of manufactured and purchased parts.43 25.000 (2009 : 48.365 155.08 1.11 1.000) for production of vehicles for third parties.11 23 2.25 1 0.826 256. SCHEDULE XVI Additional Information pursuant to the Provisions of Paragraphs 3 (i)(a) and (ii).77 1.000 petrol/diesel engines and 4.225 9.04 159 2.83 21.03 0. Diesel Genset Nos.11 1.61 23 1. Agricultural Tractors [Note (iv) below] Nos. 91.60 Notes : (i) (a) The installed capacity has been certified by President/Chief Executives.14.96 26.000 3.17 25.41 46 3.408.17 903 3. MAHINDRA & MAHINDRA LIMITED 123 . of Part II of Schedule VI to the Companies Act. 3.01 0.06 manufactured 1.205 13. Nil (2009 : 110) Vehicles were produced and sold using such third party facilities and are included in item (A) 1(a).000 1. 888.75. Manufactured and Purchased Parts and Accessories for sale [Notes (iii)(a) and (b) below] Nos. Others 0. the Company is permitted to manufacture for outside sale 10.847 9. The bifurcation of stocks/sales into manufactured and bought-out parts is not practicable.751 159 2.361 10.000 1...33. 621. the Government pursuant to the schemes of de-licensing [Also see note (iv) below].646.251 168 6.97 26. registrations granted and Industrial Entrepreneur Memorandum filed with. (A) 1(a) above includes 48.24 300 300 46 7 0. These are 26.33.66 98 4.937 108.703 10.18.04..29. 90. as the case may be.50.361 10.98 2.13 113 8.11 137 16.50. Tractor Skids These are 1.000 1.

........ 1...83 124 ..40 — — 211 5. Aluminium Sections and Other Aluminium Items Kgs....035 Metres 2....801 0....41 — — — — 693 31. 10.34 166 1..75.09 — — 68 0.... Lead..522 274. Diesel Genset & Genset Engines ..02 0.09 17.29 36 1.. Nos....13..168 57. Nos...47 269 7..23 Total ...75 35 1......35 436 5.85 19..042 191..62 436 5. etc.. Class of Goods Measurement Quantity Value Quantity Value Quantity Value Quantity Value Rupees Rupees Rupees Rupees crores crores crores crores 1...24 332 12...83...05 0.. Others .. Unit of No..00 32...272 151.....) (B) PARTICULARS IN RESPECT OF GOODS TRADED : Purchases Opening Stock Closing Stock Sales Sl.523 18.339 0..017 7.76.49..891 17.747 Litres 47.10 58.......14 3.889 35..98 7..... 5.. Description Measurement Quantity Rupees crores } 1....73 346.SCHEDULE XVI (Contd..903 1.. Nos. Steel Scrap Metric Tonnes 8.... Four Wheelers ..459 89.. 661...61 68 0....) Nos.....02 9. Paints Nos.30..20 4..90 2......35.47 10.01 5.98 865 9.230 3....24 7.898 19.583 96. Nos.13 Metric Tonnes 48.. 26. Other Metals (Steel Shots..75 251 8. 49.....13 50 1.......... Tubes......36.......05 8...83 2....96 — — — 5..... Tin..09 102.) Metric Tonnes 120 0.16 693 27..56 4.972 50..788 5...... 375. 8.739 69.41 9.. Steel Items (Sheets.09 307.64 — — — 263.16 6..11 Kgs..45 } 119 0.47 2....00 50 1.33 589 17...290 2...... Agricultural Implements .15 4.. (C) PARTICULARS OF RAW MATERIALS AND COMPONENTS CONSUMED : Sl.93 277 3..32 3.. Unit of Value No. 38...93 — 0....75 8.......34 6...... Bought-out Spares for Resale [Note (iii)(b) to item “A”] . Tractors .056 149.. 1.178 41..58. etc. 317 9.185 72...34 209 3.81 Note (iv) to item (A)..

..65 249..............................771... Patterns.....61 81.................50 Total....52 crores) 125 ......... incurred on the above items not separately allocable ..71 Notes : (i) Credits.........................................55 crores (2009 : Rs...I....... Pig Iron .42..77 Total ......59 12..32 Litres 4................091..........880 25.. 11.................. etc.... Not practicable to *102.... 19.......................... MAHINDRA & MAHINDRA LIMITED SCHEDULE XVI (Contd.....687 15. 352.. Notes : (i) The consumption in value has been ascertained on the basis of opening stock plus purchases less closing stock and includes the adjustment of excesses and shortages as ascertained on physical count and write-off of obsolete and unserviceable raw materials and components............ Components other than Tyres and Tubes (including processing charges) ....939 Metric Tonnes 14............................... Nos....15 300...) (C) PARTICULARS OF RAW MATERIALS AND COMPONENTS CONSUMED (Contd... Material handling and transportation charges.......................... Description Measurement Quantity Rupees crores 6....08 11.......4.....45........F.........682 *473..832 *664.........) : MATERIALS Sl........660 3........ (ii) The value of imports shown above includes : (a) Imports on C&F basis as per suppliers’ invoices Rs..42 7...31..... etc......... Raw Materials .........17 0... 203.. (ii) The consumption in value shown against item 10 is a balancing figure based on the total consumption shown in the Profit and Loss Account...............28....... Nos...............593..... Items imported for Resale ..................... Miscellaneous Foundry Materials ........................ Other Materials (Direct Stores.. Capital Goods .......64 } 8............09 crores (2009 : Rs........................................ 12.. Spare Parts.... 1... Tyres and Tubes ... *35...) ..157 23..........................36......................................................................... recoverable in respect of short landings..............70 *27..... BASIS ACCOUNTED FOR DURING THE YEAR : Rupees crores 2010 2009 1.....76 give quantitative details *78................ Metric Tonnes 11....56 8.............396 16.....86 153. (D) VALUE OF IMPORTS ON C..19 9.. 225........ etc... *10......695. if any. etc..........01 13.......82 crores) (b) Imports on ‘cost’ basis Rs...81 3. Oils. Components...........48 4.......... 163...........65 2.......... 408......90 10.... .................. amounts not ascertained.................... are not considered.....585 16............. 27..........32 *7.................... Unit of Value No...844 8. 98...79 * Includes items used for other than production.......45..

) (E) EXPENDITURE IN FOREIGN CURRENCIES (SUBJECT TO DEDUCTION OF TAX WHERE APPLICABLE) : Rupees crores 2010 2009 1........... 50.....35 crores) capitalised] 34..........................68 70..........48 8.... Export of goods on F...............00 8....................52 121...........84 3.......82 43..........771....... 2009 2009 : 1 120 * Year ended 31st March...44 691.... Interest ........18 crores (2009 : Rs.................95 98..................47 44................91 crores). 5............ Commission on Exports ......... (H) VALUE OF IMPORTED AND INDIGENOUS CONSUMPTION : ^Raw Materials and Components Rupees crores % 1... Others ... Professional and Consultancy Fees [including Rs.................... basis .. 6....... Indigenously obtained ............ Others (freight.....................................74 3.............. 1................ 76..B......SCHEDULE XVI (Contd..56 169......................... 32..............61 1..649.....................00 ^ Includes items used for other than production.... 9.... 0.......89 crores (2009 : Rs...36 2........17 crores (2009 : Rs............000 126 ..... Imported .......... 148..82 98.... (F) REMITTANCE IN FOREIGN CURRENCY ON ACCOUNT OF DIVIDENDS TO NON-RESIDENT SHAREHOLDERS : Number of Amount remitted Dividend relating to Shareholders Equity shares 2010 : 1 120 * Year ended 31st March..) .... amount not ascertained................. 11............39 2... development expenditure and software expenditure [refer to in Note 1 (C)] : (a) written off during the year Rs..... 9............. 59..60 14..............................................92 crores (2009 : Rs.695............79 100...15 Total. (3) In giving the above information the Company has taken the view that spares and components as referred to in paragraph 4 (D)(c) of Part II of Schedule VI covers only such items as go directly into production. 8.....97 1.................... Interest & Commitment charges .............11 crores) are not included in the above figures..........61 Total.31 4....... value of exports includes local sales which qualify for export benefits and for which payment is receivable in foreign currency and local/export sales under rupee credit which qualify for export benefits........................ and (b) amount remitted during the year Rs..517...37 632................ * denotes amounts less than Rs....... 177....................... Notes : (1) Items purchased through canalising agencies have been considered as imported...O......81 crores) net of tax deducted at source of Rs.......................... 6. etc...... 2008 (G) EARNINGS IN FOREIGN EXCHANGE : Rupees crores 2010 2009 1... 761...........85 55...... 719...................................... 11..........35 2.. 69....32 Total..........................................21 0..................... (2) See Note (i) to item (C).......................56 100..25 Notes : F...82 Notes : (1) Fee for use of technology......B............. 42.O............

MAHINDRA & MAHINDRA LIMITED SCHEDULE XVII ADDITIONAL INFORMATION PURSUANT TO THE PROVISIONS OF PART IV OF SCHEDULE VI TO THE COMPANIES ACT. Thousands) : Public Issue Rights Issue N I L N I L Bonus Issue Private Placement N I L 1 0 0 0 0 III. 4 5 5 8 State Code 1 1 Balance Sheet Date 3 1 0 3 2 0 1 0 Date Month Year II. Thousands) : Turnover (Sales & Other Income)★ Total Expenditure 2 0 8 1 5 2 5 3 5 1 7 9 6 8 5 0 5 6 + . Performance of Company (Amount in Rs. Position of Mobilisation and Deployment of Funds (Amount in Rs.97 35. Balance Sheet Abstract & Company’s General Business Profile : I.Profit/Loss Before Tax + . Registration Details : Registration No. Thousands) : Total Liabilities including Shareholders’ Funds Total Assets 1 6 3 2 9 4 2 2 4 1 6 3 2 9 4 2 2 4 Sources of Funds : Paid-up Capital Reserves & Surplus 2 8 2 9 5 3 9 7 5 4 3 8 2 8 3 Secured Loans Unsecured Loans 6 0 2 4 4 9 7 2 2 7 7 7 0 1 1 Deferred Tax Liability (Net) Foreign Currency Monetary Item Translation Difference Account 2 4 0 3 2 6 6 3 4 5 5 8 Application of Funds : Net Fixed Assets Foreign Currency Monetary Item Translation Difference Account 3 7 0 2 7 1 8 1 — Investments Deferred Tax Asset (Net) 6 3 9 8 0 1 5 1 — Miscellaneous Expenditure Net Current Assets 4 1 1 8 1 8 4 5 8 6 4 1 IV.61 1 9 0 (Refer Note 24) 127 . 1956. Capital raised during the Year (Amount in Rs. Profit/Loss After Tax  2 8 4 6 7 4 7 9  2 0 8 7 7 4 7 9 Earnings per Share in Rupees ▲ Basic Diluted Dividend Rate % 37.

K. Godrej A. K. (ITC Code) 8 7 0 1 Product Description Tractors Item Code No. P. the weighted average number of shares outstanding during the year. S. Ganguly A.) V. 29th May. (ITC Code) 8 7 0 2 Product Description Motor Vehicles for the transport of more than six persons. Vaghul R. (ITC Code) 8 7 0 3 Product Description Other motor vehicles principally designed for the transport of persons ★ after considering interest income and exceptional items. Mahindra Vice Chairman & Managing Director A. Generic Names of Three Principal Products/Services of Company (as per monetary terms) : Item Code No. M. Murugappan Keshub Mahindra Chairman } N.SCHEDULE XVII (Contd. excluding the driver Item Code No. Signatures to Schedules I to XVII M. 2010 128 . B. Parekh Narayan Shankar Company Secretary Mumbai. ▲ computed on the basis of. Puri Directors Bharat Doshi Executive Director N. Kulkarni Anand G. Dasgupta Deepak S.

... 51....28) + Mahindra Hotels and Residences India Limited . #83..71 . .. 3..999 100..25.. ...... 100..08% ... 78.. MAHINDRA & MAHINDRA LIMITED Statement pursuant to Section 212 of the Companies Act...69% . -  Mahindra Retail Private Limited .... 51. 6.. 84. ....... (0..... 48.00% ..62 ......89 72...58  Mahindra World City (Jaipur) Limited . 6..........99.. 2... 0...... (0..... (0.09% ......09)  Mahindra Residential Developers Limited .. 2.126 51..... - NBS International Limited ......64. 0. - Mahindra Consulting Engineers Limited ...........87% .... 100.00% ..08% ...... #62....15 Mahindra Holidays and Resorts India Limited . ..95) .....49 0. (0. * . 100.. .. (0........ .BHD ...74% ....19)  Mahindra Bebanco Developers Limited ...02) + Mahindra Holidays & Resorts USA Inc .00% . 0.............43 • Retail Initiative Holdings Limited . - • Mahindra Conveyor Systems Private Limited ......21% .... % Rupees crores Rupees crores Rupees crores Rupees crores Mahindra Engineering and Chemical Products Limited 53..98 ........09% .. … ...00% .....490 100... 51. (0.. . (1. . 90..09% ............12) E Mahindra United Football Club Private Limited .. (0...... 50. 2.. 2...... (0...... 37....00% .. * ...000 129 ..789 50... 14....80  Mahindra Infrastructure Developers Limited .11)  Raigad Industrial & Business Park Limited ........ 15.000 51.... 2.00% ..... ........ .. ... 51.... (0..........66......10..... 5.... * E Mahindra Punjab Tractors Private Limited .............00% ..... (0... .08.85% ...08% .. 1956. 61.54 @ Mahindra Steel Service Centre Limited ..41 Mahindra Holdings Limited .. relating to subsidiary companies Number of The net aggregate of profits/(losses) of the Shares in the Subsidiary Companies so far as they concern the members of Subsidiary Mahindra & Mahindra Limited Company held by Mahindra & Mahindra For Current Financial Year For Previous Financial Years Name of the Subsidiary Companies Limited at the Dealt with in Not dealt Dealt with in Not dealt financial year the accounts with in the the accounts with in the ending date of Mahindra & accounts of of Mahindra & accounts of Mahindra Mahindra & Mahindra Mahindra & Limited for Mahindra Limited for Mahindra the year Limited for the year Limited for st st Equity Extent ended 31 the year ended 31 the year of March.04)  Knowledge Township Limited (formerly known as Mahindra Knowledge City Limited) ..... * .20% .. #83..462 100....03) .. #82.... (2.81  Mahindra Integrated Township Limited .43) .......91 22.32% ...00% * ..... 24..91% .. - Mahindra Lifespace Developers Limited ...... 40...... * ..... 1. 2010 Nos.80% . 0..01 140.... #83.63 Mahindra Ugine Steel Company Limited ..14 .... 0.46.85....36 .08 ..... * .. .....01) + Heritage Bird (M) SDN.00% ... (25..... ............. 2010 March.... 100....... ..12) ....21  Mahindra World City Developers Limited .55 6.... - Mahindra Intertrade Limited ...20 0. (0..53 1..16)  Mahindra World City (Maharashtra) Limited ..... 100....95 @ Mahindra MiddleEast Electrical Steel Service Centre (FZC) .. .... 0. 0.. 97.006 100.. 50..16) .07 12. .00% .... 42..........00% .07 ...... (0.. 0..09% .98..26 55....18 1. ....... 40..69 ...00% . 6....642 #83..... .12) ....... 4..76% ..........09) + BAH Hotelanlagen AG . 2... - * denotes amounts less than Rs.18) ...63 + MHR Hotel Management GmbH ......02 .......01) ........ 2010 ended 31st March. 35. (0. ....71......52 9............... 2010 ended 31st holding March.11 .... (0. (0.....45 115..... (0...02) ......49.51 @ Mahindra Metal One Steel Service Centre Limited ....00.

.. (55...000 100........00% .... 5.............57)  Bristlecone Inc ..... .............. #52....10% ... 5....... 80....45 .73)  Mahindra Business & Consulting Services Private Limited (formerly known as Mahindra IT Consulting Private Limited) .........87............90% .... 5.......58 .................... ..47......97% .... (3...........20  Mahindra Graphic Research Design s.. 0... (5... 42..... 81............ (0............l..... (16...... ........... (2...00............ ........... (21.........BHD ..97% .................. .....437 83....... 100............48)  Mahindra Yeuda (Yancheng) Tractor Company Limited ..............92) ...71 0.. 81........ ..... ...255 #53......76 1.. ...l .....75)  Bristlecone India Limited .. 0. 205...65) . 2...60) Mahindra USA Inc............ 81.......44) Mahindra Gears & Transmissions Private Limited (formerly known as Mahindra SAR Transmission Private Limited) ...... 57..03 .... (10......04)  Bristlecone UK Limited .... (5........83.......11) ...84) ....97% . 0. 85.... (4. 7..47  Mahindra Europe s.00% .95. (11......... .......30....61 ..........82.....51) .24 * denotes amounts less than Rs.r....87) Mahindra Shubhlabh Services Limited ................. 2010 Nos.65) . (0................97% . #60...... 0...000 130 ..... 0....... (10................ #60..... % Rupees crores Rupees crores Rupees crores Rupees crores  Industrial Township (Maharashtra) Limited (formerly known as Mahindra Industrial Township Limited) .. 81..... 2010 March. 42..... 81......... (34. (0. 51....98) Mahindra & Mahindra South Africa (Proprietary) Limited ..65 .........62 ... ...08% .97% ....34% .03 363.000 100.. (0.....77... (2..532 #60. . 2... 3.......... 81....16) .. (1.. 16.........806 53.....................10% ......29  Mahindra Insurance Brokers Limited ....... Limited ..02) .......90) Mahindra Gujarat Tractor Limited ... .....97 32.....58)  Mahindra-BT Investment Company (Mauritius) Limited ... (0..... * Bristlecone Limited ...00.67 Mahindra First Choice Wheels Limited ..50) Mahindra Overseas Investment Company (Mauritius) Limited .26) ........ . 1956.....00% .... relating to subsidiary companies Number of The net aggregate of profits/(losses) of the Shares in the Subsidiary Companies so far as they concern the members of Subsidiary Mahindra & Mahindra Limited Company held by Mahindra & Mahindra For Current Financial Year For Previous Financial Years Name of the Subsidiary Companies Limited at the Dealt with in Not dealt Dealt with in Not dealt financial year the accounts with in the the accounts with in the ending date of Mahindra & accounts of of Mahindra & accounts of Mahindra Mahindra & Mahindra Mahindra & Limited for Mahindra Limited for Mahindra the year Limited for the year Limited for Equity Extent ended 31st the year ended 31st the year of March..00% .............. (12...... 1......78)  Mahindra (China) Tractor Company Limited ..46.....09)  Bristlecone (Malaysia) SDN....81... 50.. (8......... 1.51 ....59) .... (5..81 ....05) .. 5...........41....59% .........Statement pursuant to Section 212 of the Companies Act..218 60.. (38.....89  Mahindra Rural Housing Finance Limited .18)  Bristlecone GmbH . 51.........00% ..00% ....... 14....... (28....... 6.... 40........ 0.....03) Mahindra & Mahindra Financial Services Limited ....250 81.....00% .. (4.15 ...00. (15.. ....17) .00% ..05% .....31% .... 0....22.......... 12...08 .......31  Bristlecone (Singapore) Pte....000 100.20.97% ..... 1........ .........97% ........... .... .10% .... (2........ 2010 ended 31st March......... (1....r. 2010 ended 31st holding March.......

........ ...62 Jensand Limited ........l ....68% . (0.... ..45............ (11.........64% .. % Rupees crores Rupees crores Rupees crores Rupees crores Mahindra Engineering Services Limited .r... 11..... 0........... 100........ - Engines Engineering s. * ........... ...... 81.........68% .....26..91 £ Mahindra Forgings International Limited ..... 70...00% .....26 5. (0.. 8..... (0................... (48..02) ............l .00% .. (4.14) £ Mahindra Forgings Global Limited ... (9.................l ........... . .... 50.26.....339 50. MAHINDRA & MAHINDRA LIMITED Statement pursuant to Section 212 of the Companies Act...............72) ...... 50... 2010 Nos.... (2.... (1....... .........04) . 10.. ........ 4.. ....92 ...... 0.....00% .... (0... 1956. ......... 0.70% ...48) ...00% ... 35....68% .64% ...... .... GmbH . ...... ....35 .. 50....... 28..... 50..... (27..93) . 50........06) ....218 100..28) Mahindra Technologies Services Inc ......r...02 ¥ ID-EE s..18 Mahindra Engineering Services (Europe) Limited ..........68% . 2010 ended 31st holding March............. 50.. ..........64% ......88) Mahindra Forgings Europe AG . 100..... .......... 100........ ...........64% ..............85 55... . 0... (0...05) ¥ EFF Engineering s..63 ...05) ................17) £ Stokes Group Limited .68% .09) Mahindra Forgings Limited ..... ...77) Stokes Forgings Dudley Limited ........00% . .27) Stokes Forgings Limited ... (0......00% .18 ............. .... 2010 March... (19. (28.. relating to subsidiary companies Number of The net aggregate of profits/(losses) of the Shares in the Subsidiary Companies so far as they concern the members of Subsidiary Mahindra & Mahindra Limited Company held by Mahindra & Mahindra For Current Financial Year For Previous Financial Years Name of the Subsidiary Companies Limited at the Dealt with in Not dealt Dealt with in Not dealt financial year the accounts with in the the accounts with in the ending date of Mahindra & accounts of of Mahindra & accounts of Mahindra Mahindra & Mahindra Mahindra & Limited for Mahindra Limited for Mahindra the year Limited for the year Limited for Equity Extent ended 31st the year ended 31st the year of March.. 50. (1.79) .. 50...........r............54 Mahindra Engineering GmbH (formerly known as Plexion Technologies GmbH) . (15. 2010 ended 31st March. 6...88) ## Schöneweiss & Co. 49.............

....39 ...... . Gesenkschmiede Schneider GmbH ... 3....53) ..... 50.. (29....68% .

68% ...........88) .... ....92 . 50. 2.................. JECO-Jellinghaus GmbH ..... (6..

. (0.. 50........50..00% . 0.. 50.18) .16 .10) ...50.....62) .00% ..58) ......00...........38)  Metal Castello S......900 100..... (0...34% .11) Mahindra Gears Global Limited ..81) .... 8..... 58. (34............ (8..11) Mahindra Navistar Automotives Limited ... 2.... (7....... 1... (41. 20.94% .. (296......... ...18) ......50......50. (2.... (3.. .13 * denotes amounts less than Rs....... 2. 2..40..00% .. 51... (8... (3..08) ....A .. (16.63......90) Mahindra Castings Limited (formerly known as Mahindra Castings Private Limited) ..70) Mahindra Aerospace Private Limited .. 6.....p..90..000 131 .....001 100......300 51.....03) Mahindra Vehicle Manufacturers Limited ..18) ......00.38) Mahindra First Choice Services Limited .....89) Mahindra Logistics Limited ....34% ...34 2. ...........07.89 Mahindra Navistar Engines Private Limited ........24...68% .... 4.....49........14..... (0..16... (5.....00% ......32.57 Mahindra Renault Private Limited ......... 1... 10.. (0. .81  Crest Geartech Private Limited ......000 100.. 0.......00% ..09) . (13.00% .41..... 53.. (28...000 100. (6...08)  Mahindra Gears Cyprus Limited .......000 51.......00% ........ (0....... 53...00% ........ (0..84) 1...43) . (19..........11) ... (0.. 51... (0.052 64.........70....89) .00% ..... Falkenroth Umformtechnik GmbH .. ......05...00% .000 100.....86) Mahindra Gears International Limited ..232 51..........

......00..00) Defence Land Systems India Private Limited (formerly known as Mahindra Defence Land Systems Private Limited) . 2010 ended 31st holding March..00% ..l....07) ..... Ltd.... 11. £ a subsidiary of Mahindra Forgings Limited a subsidiary of Stokes Group Limited ## a subsidiary of Mahindra Forgings Global Limited a subsidiary of Mahindra Forgings International Limited ... - Mahindra EcoNova Private Limited ....62.r... 50. 2010 March.. (1. 10..87) Mahindra Two Wheelers Limited . % Rupees crores Rupees crores Rupees crores Rupees crores Mahindra Automotive Australia Pty... 2010 ended 31st March.80.. 7.. relating to subsidiary companies Number of The net aggregate of profits/(losses) of the Shares in the Subsidiary Companies so far as they concern the members of Subsidiary Mahindra & Mahindra Limited Company held by Mahindra & Mahindra For Current Financial Year For Previous Financial Years Name of the Subsidiary Companies Limited at the Dealt with in Not dealt Dealt with in Not dealt financial year the accounts with in the the accounts with in the ending date of Mahindra & accounts of of Mahindra & accounts of Mahindra Mahindra & Mahindra Mahindra & Limited for Mahindra Limited for Mahindra the year Limited for the year Limited for Equity Extent ended 31st the year ended 31st the year of March.. 3.42...53) ...000 80. 2010 Nos.... • a subsidiary of Mahindra Engineering and Chemical Products Limited  a subsidiary of Retail Initiative Holdings Limited @ a subsidiary of Mahindra Intertrade Limited + a subsidiary of Mahindra Holidays & Resorts India Limited E a subsidiary of Mahindra Holdings Limited  a subsidiary of Mahindra Lifespace Developers Limited  a subsidiary of Mahindra Integrated Township Limited  a subsidiary of Mahindra & Mahindra Financial Services Limited  a subsidiary of Bristlecone Limited  a subsidiary of Bristlecone India Limited  a subsidiary of Mahindra Overseas Investment Company (Mauritius) Limited a subsidiary of Mahindra Engineering Services Limited ¥ a subsidiary of Engines Engineering s.000 # after considering shares issued to its ESOP Trust but not allotted to its employees......... * .000 100...... - * denotes amounts less than Rs........... 1956.. (18..........24) ...00% .00% ..........00% .00..... (0.. (3.000 80...Statement pursuant to Section 212 of the Companies Act.........000 100..... .. (77....

except for Mahindra Yueda (Yancheng) Tractor Company Limited whose financial year is 1st January. Mahindra Vice Chairman & Managing Director A. 2010. Murugappan Keshub Mahindra Chairman N. 2011 and 4th January.A Note : The financial year of all subsidiaries ended on 31st March. 2010 132 . K. K. Parekh Narayan Shankar Company Secretary Mumbai. Puri Directors Bharat Doshi Executive Director N. S. 2010 to 31st March. 2011. 29th May. Dasgupta Deepak S. Godrej A. Vaghul R. M. Kulkarni Anand G. respectively. 2009 and Mahindra EcoNova Private Limited and Mahindra Conveyor Systems Private Limited whose first financial years would be from 2nd January. 2010 to 31st March. Ganguly A. } M. a subsidiary of Mahindra Forgings Europe AG a subsidiary of Mahindra Gears International Limited  a subsidiary of Mahindra Gears Global Limited  a subsidiary of Mahindra Gears Cyprus Limited  a subsidiary of Metal Castello S.p. 2009 to 31st December. P. B.

MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) 33 .

34 .

902. in our opinion. joint ventures and 2. its aforesaid subsidiaries. on a test basis. 2006. evidence supporting the amounts and the disclosures in the financial statements. the require that we plan and perform the audit to obtain Consolidated Financial Statements give a true and fair view reasonable assurance about whether the financial statements in conformity with the accounting principles generally are free of material misstatements. Without qualifying our opinion. We report that the Consolidated Financial Statements have Financial Statements) and the jointly controlled entities been prepared by the Company in accordance with the accounted in accordance with Accounting Standard 27 requirements of Accounting Standard 21 (Consolidated (Financial Reporting of Interests in Joint Ventures) as notified Financial Statements). 29th May. and the impact of post acquisition profit or Statements include investments in associates accounted on loss of Satyam Computer Services Limited and its subsidiaries the equity method in accordance with Accounting Standard are not considered in these financial statements. Mumbai. as well as evaluating the overall financial statement presentation. We conducted our audit in accordance with the auditing associates and to the best of our information and according standards generally accepted in India. Shroff and our opinion in so far as it relates to the amounts (Partner) included in respect of these subsidiaries and joint ventures Membership Number: 34382 is based solely on the reports of the other auditors. As indicated controlled entities (the Group) as at 31st March. Those Standards to the explanations given to us. We believe that our audit provides a reasonable basis for of the profit of the Group for the year ended on that our opinion. that date. 2010.43 crores and net cash inflows amounting to Rs. date.P.67 crores for the year ended on For Deloitte Haskins & Sells that date as considered in the Consolidated Financial Chartered Accountants Statements. An audit includes accepted in India : examining. Based on our audit and on consideration of the separate Statements based on our audit. 2010 35 . in Cash Flow Statement of the Group for the year ended on accordance with the approval of the Securities and Exchange that date. 23 (Accounting for Investments in Associates in Consolidated 5. the therein the Consolidated Financial Statements do not include Consolidated Profit and Loss Account and the Consolidated Satyam Computer Services Limited and its subsidiaries. The Consolidated Financial Board of India. We did not audit the financial statements of certain (iii) in the case of the Consolidated Cash Flow Statement. 4. and 3. for Investment in Associates in Consolidated Financial These financial statements are the responsibility of the Statements) and Accounting Standard 27 (Financial Company’s Management and have been prepared on the Reporting of Interests in Joint Ventures) as notified under basis of the separate financial statements and other financial the Companies (Accounting Standards) Rules.30 crores as at 31st March.628. An audit (i) in the case of the Consolidated Balance Sheet. the significant estimates made by the Management. Accounting Standard 23 (Accounting under the Companies (Accounting Standards) Rules. its subsidiaries and jointly 4 of Schedule XV to the financial statements. Our responsibility is to express an opinion on these Consolidated Financial 6. we draw attention to note of Mahindra & Mahindra Limited. whose financial statements of the cash flows of the Group for the year ended on reflect total assets of Rs. 2010. total revenues of Rs. both annexed thereto. 5. MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) Auditors’ Report to the Board of Directors of Mahindra & Mahindra Limited 1. subsidiaries and joint ventures. information regarding components. audit reports on individual financial statements of the Company.13. We have audited the attached Consolidated Balance Sheet 4. (ii) in the case of the Consolidated Profit and Loss Account. of the also includes assessing the accounting principles used and state of affairs of the Group as at 31st March. These financial statements have been audited by other auditors whose reports have been furnished to us B. 2010. 2006.

................62 Employee Stock Options Outstanding .......22 18..........837.......................... 14.....58 16...........95 272...967.92 NOTES ON ACCOUNTS ........... VI E 10..............31 DEFERRED TAX LIABILITY (Net) [Note 17] ....40 FOREIGN CURRENCY MONETARY ITEM TRANSLATION DIFFERENCE ACCOUNT ......... 1.......... I 282.............55 Reserves and Surplus ...................................85 12........................81 INVESTMENTS ...............25 3.... XV Per our report attached For Deloitte Haskins & Sells M................... Godrej A...................938....717............................520.....76 5.................21 — FOREIGN CURRENCY MONETARY ITEM TRANSLATION DIFFERENCE ACCOUNT ..805.......141..53 10........................................897. K........ Ganguly Directors B.94 3...................... VII B 1.................45 7.... Murugappan Keshub Mahindra Chairman } Chartered Accountants N................96 (b) Provisions ........861....40 4.. VIII 4...........................................................35 3..................... 11..779........... VI D 51.........60 311....316.....00 13.... Mahindra Vice Chairman & Managing Director A.........967...............069.......26 DEFERRED TAX ASSETS (Net) [Note 17] ............................................................. 5............... M..204...................925................ VI A 3............990............................... APPLICATION OF FUNDS : FIXED ASSETS : ........69 22. Parekh Narayan Shankar Company Secretary Mumbai............................................ B. 29th May. Kulkarni Anand G.179...12 2.......395..................................771........029........86 LESS : CURRENT LIABILITIES AND PROVISIONS : (a) Current Liabilities .. VII A 6............................... III A 8..................... S....207........61 6.............................46 (b) Sundry Debtors .......................................71 (b) Unsecured Loans .615.......... 29th May................. 2010 36 ........... SOURCES OF FUNDS : SHAREHOLDERS’ FUNDS : Capital .........75 8............92 II..... Dasgupta Deepak S........485..........574.....................89 Total ......................271.....................................................................69 8............ Puri Bharat Doshi Executive Director Partner N............33 CAPITAL WORK-IN-PROGRESS (INCLUDING CAPITAL ADVANCES) .79 (c) Cash and Bank Balances ..76 10...........86 Total .......................91 20............ P..24 7......972................462...17 3.........................69 22.................................470...042...............453............ Vaghul R.... 8....................99 3............................................701....... 2010 Rupees crores Schedule 2010 2009 I.................................548.............. 804.... K..................990.....94 — DEFERRED INCOME : Advance towards Club Mahindra members’ facilities .......35 Less : Depreciation ..........513.................................................. 48....................................................08 1............06 Less : Provision for impairment .............................................71 NET CURRENT ASSETS ................. Shroff A...........................33 9.............. VI C 2.... 2..............79 LOAN FUNDS : (a) Secured Loans ...15 MISCELLANEOUS EXPENDITURE (TO THE EXTENT NOT WRITTEN OFF OR ADJUSTED) ......... IV Gross Block ... 8......73 10........................................341..19 (e) Loans and Advances ...........................25 10.........................................381.....27 7.....188..... 2010 Mumbai........................... III B 4.................. — 18. P............724.......... LOANS AND ADVANCES : (a) Inventories ......51 (d) Other Current Assets .....................Consolidated Balance Sheet as at 31st March.60 13.......................870...........................655.....................00 8.............660..737.......................751............01 6.............31 6..333..........925................ V 4... 1.................... II 9........... 317.465......................... — 188..93 MINORITY INTEREST ........................ 26..............................................................790.93 9.....02 Net Block ........07 635.69 1...............................190.......................................... 26. VI B 3........44 CURRENT ASSETS........................

...62) 4.............. 1.......................................... Parekh Narayan Shankar Company Secretary Mumbai.986.18 Net Sales ....063.................................... Commitment and Finance Charges (Net) ..... Puri Bharat Doshi Executive Director Partner N............................................................ 4..52 278........................... P.91 13...... 45................526.779..........67 Total of Profit and Loss Account balances shown above .....55 4..............96 28...........................873..................12 (Add) / Less : Provision for Tax ........058.46 31......................................... 7............337..........06 4. 74............................ M............................................711.........02 5........59 Add : Share of Profit of Associates for the year ......................................59 107................205.............................................................76 1....... P...................10) (29..49 1....919.............................................................. Godrej A............274.......040......................................871....Deferred Tax (Net) ....198...875.................................. 4..................62 General Reserve (Net) ........ S........................................................ B.................... — 18......... 25.................................................................................96 2........ 412......24 24..10 Less : Cost of Manufactured/Purchased Products capitalised ...102... 15.......45 Net Profit .........................589.....642.....70 3............................. Kulkarni Anand G...............20 Less : Adjustment on account of Mergers .....38 24..........08 Deduct : Statutory Reserve ......... (116.....79 Personnel .................. 2.............................27 6......79 Diluted ..................56 311..............52 749..................16 Depreciation/Amortisation [Note 8] ...769.................................................................................369..................75 Income Tax on Dividends .............. Vaghul R........................................................ 873............97 26...73 2....45 Income from Operations ......... 4....23 (76........... 2010 Rupees crores Schedule 2010 2009 SALES .....705........642.......Current Tax including Fringe Benefit Tax .......................478................. 132....... 2010 37 ............. 2.................33 Other Expenses ........................83 24............................................... 3......254.........................81 EXPENDITURE : Raw Materials................. Ganguly Directors B.................................... — 43............. 2.... 286......................14 NOTES ON ACCOUNTS ...................029...........................072..............240.....................................05 Capital Redemption Reserve ...... 42......................90 Other Income ...............13 2.......80 27.......... 2..........86 Minority Share in Profits for 2009-2010 ........... Murugappan Keshub Mahindra Chairman Chartered Accountants N....12 506.............................................687. 23..... 29th May.. IX 8......... XII 4.............16 5........................... 2010 Mumbai. 2...267....... K......90 Proposed Dividend on Equity Shares ....83 Income Tax on Proposed Dividend ............................................................................ (85.....86 Interest.....................582.63 Less : Excise Duty on Sales .................................41 Balance of profit for earlier years ....................... MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) Consolidated Profit and Loss Account for the year ended 31st March..............92) 35.......891.....................5/..23 33. XV Per our report attached } For Deloitte Haskins & Sells M........697....89 7.......................................... 6.............................70 EARNINGS PER SHARE : [Note 23] (Face value Rs... Shroff A...... Dasgupta Deepak S..............................43 163............................................ 19..............23 Balance for 2009-2010 and earlier years carried to Balance Sheet ...................................... XIII 979..................... XIV 6.............................65 18...............300............799..........................................39) Profit before taxation .330...17 24..........005.................. Mahindra Vice Chairman & Managing Director A.....................51 Add : Exceptional Items [Note 18] .63 11.............. X 119. K....78 21.................................12 1........... 29th May.....036.......................36 Balance of profit for 2009-2010 before share of profit/loss of Associates and Minority Interests ..92 ...27 Profit before Minority Interests . 549..............908........................................... 250..........................................88 180.............60 3..08 25...........................25 Profit for the year before prior year adjustments ..................................09 26.................................91 Less : Transfer to Debenture Redemption Reserve (Net) ..per share) (Rupees) Basic .83 750.................................... XI 15........... 43......30 Profit before exceptional item and taxation .......... Finished and Semi-finished Products ..............................56 1.....716....................405...858......................95 Less : Adjustments pertaining to previous year [Note 19] .......

....18 157.65 305....................33) Sale of fixed assets ............54) 14.81 Profit on sale of Investments (Net) ....149.........................42 crores) in respect of financial enterprises consolidated] ....... 873... 495.. — (21..........81 Interest received ... (32............... 0....17 79.. 5.....78) Loss on fixed assets sold/scrapped/written off (Net) (Excluding Rs....................76 3.34) 177......05 Exceptional Items ......725.......................23 Changes in : Deferred income – advances towards membership fees .................93 15.........67) (717........... 145............... (183......75 0...........70) (195..... 0..51 Adjustments for : Depreciation/Amortisation ..........98) (47........................ CASH FLOW FROM INVESTING ACTIVITIES : Purchase of fixed assets ..91 crores (2009 : Rs........84 Income Taxes paid (Net of refunds including for prior years) .......... 3........95) Sales Proceeds/subscription (Net) received on divesture of interest in subsidiaries 681........ 9.............. 160.88) 85...24 Increase of cost over fair value of current investments (Net) ................ (2.... 500..... 20............................................................................................ (278...............214.........40 (1.....................443....................50 * In respect of financial enterprises consolidated....93) 1...... Commitment and Finance charges [Excluding Rs...52 749...869........81) (3............ 8..........................34) NET CASH FROM OPERATING ACTIVITIES ..................... 13..........................699......83 6...28) Inventories ...962........88 Purchase consideration paid on acquisition of interest in subsidiaries .. 168......30 35.......................................14 NET CASH USED IN INVESTING ACTIVITIES .. 2.....................43 4.....................................25) (1..........351.......................... 8............ (23.............................Consolidated Cash Flow Statement for the year ended 31st March.................................23 19................................ (1...................941.............51 81......118.............05 crores) in respect of financial enterprises consolidated] 620........73 Purchase of investments ..798.....44) Cash generated/(used) from operations ........33 Profit on Exchange (Net) ......................................................................................692................ (35......................................................94 Trade and other receivables ...94 Trade and other payables .... CASH FLOW FROM OPERATING ACTIVITIES : Profit before exceptional item. 25........... B................................... taxation and adjustments pertaining to previous years .38) (185.08 (5. (1.....41 883... (0..............................04 Provision for diminution in value of long term investments (Net) .....................................34) 38 . (2....163......52 Dividends received .......25) Interest.... 2010 Rupees crores 2010 2009 A............72 Operating Profit before Working Capital changes .................112.................19) — Miscellaneous Expenditure (to the extent not written off or adjusted) incurred during the year .. (4... (1...........330........90 690...............05 Loans against Assets * ...................................16) (562.......401................11) (20.......58) Investment and Interest Income [Excluding Rs..............................................147....... (13..... 1...............................................332.......88 Inter corporate deposits (Net) .........452....................23 362.................................................14 3..84 Amortisation of Expenses ..86) (2......05 crores in respect of Prior Period Item) ........ 17................823....................02) Sale of investments ..........766......... 3..............................................779.........52) 926.......34 crores (2009 : Rs...73 2....

... K......93 57.....81) Stamp duty paid on shares issued to PTL Shareholders ..92) (1.................. 2010 Mumbai.... 2........................ Kulkarni Anand G......... (367.... 1.37 Cash & Bank Balance on Disposal of Subsidiary .........r.............. 2010 Notes to the Consolidated Cash Flow Statement for the year ended 31st March........ P........40 — Proceeds from borrowings .. Commitment and Finance charges paid ........13) (371.......271.......46) (55........ resulting in TML alongwith its subsidiary companies ceasing to be subsidiaries of the Company.....164... 2.........74 CASH AND CASH EQUIVALENTS [Note (a)] Opening Balance .... 61... 10...953......12 2.......... 29th May..............................785... (716.... 1...... B....58 NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS (A + B + C) (84......953.....83 1............... Shroff A.... (MBTICM).......07 1...747..............................) Rupees crores 2010 2009 C............. (7..... P..22) 1.......... with Mahindra Metalcastello S....... Vaghul R.........364................... K.322..................................36 2... M......... 2....................................................43 4........78) Interest............ Puri Bharat Doshi Executive Director Partner N.... (c) Previous year’s figures have been regrouped/restated wherever necessary.............19) Dividends paid ......... (TML) by MBTICM to AT&T.14) (328.........p..........07 (b) The following non-cash transactions do not form part of Cash Flow : (i) Arising out of the agreement between Mahindra-BT Investment Company (Mauritius) Ltd............842..36 2...67 Cash & Bank Balance Acquired on Acquisition of Subsidiaries ....... a subsidiary of the Company and AT&T for sale of shares of Tech Mahindra Ltd............. Ganguly Directors B.............747......... Dasgupta Deepak S............ 2.............07 Per our report attached } For Deloitte Haskins & Sells M........................ 3 ....... S...............44) Total cash and cash equivalents ....................A...................................... Godrej A.... CASH FLOW FROM FINANCING ACTIVITIES : Proceeds from issue of Share Capital ..........967. (ii) Arising out of the scheme of arrangement for the merger of Mahindra Hinoday Industries Limited with Mahindra Castings Private Limited.... MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) Consolidated Cash Flow Statement (contd......... 29th May............................ 72.......953..737..........71) Closing Balance .. Murugappan Keshub Mahindra Chairman Chartered Accountants N....... Parekh Narayan Shankar Company Secretary Mumbai..... (iii) Arising out of the scheme of arrangement for the merger of Metalcastello S..77) — NET CASH FROM FINANCING ACTIVITIES ..... (122...............l.... Mahindra Vice Chairman & Managing Director A.51 Unrealised (Net) translation (gain)/loss on foreign currency cash and cash equivalents ............................................. 2010 Rupees crores 2010 2009 (a) Cash and Bank Balances ...206.. (58..............183.............24 (14....36 Repayments of borrowings (including premium on repayment) .......

......34... 12..71 Add : Bonus shares issued to ESOP Trust but not allotted to employees [Note 5] .........10 each fully paid up] issued to ESOP Trust but not allotted to employees ...10 — 0...............46 4 Revaluation Reserve ....66 784.46 713..01 0..06† † [including Group Share in Joint Ventures Rs... 625.......68 81. (479... 129.....306 Ordinary (Equity) Shares of Rs........ 10 each] 600...00 Issued and Subscribed : 57...54 — — 23....59 1...........592 Ordinary (Equity) Shares of Rs...........377.00................32 545.88.....26 6............................02 23.......49 3....22 129.00 Total .....75 50....000 Ordinary (Equity) Shares of Rs..........67 12..................31 (57..58 2..380...478 Ordinary (Equity) Shares of Rs......62 SCHEDULE II Rupees crores 2009 Additions / Deductions 2010 Adjustments Reserves and Surplus : 1 Capital Reserve ...................050...............18 530...38 6.................00...39 4..62 91...12o 1...047......... 289.......82 Less : 1...........047...54 2 Capital Reserve on consolidation .91 10 Hedging Reserve Account [Note 6] .....55 0.............. 15....48 0......00......050.............. 47.14 15..97 971.92 — 80..09 5 General Reserve ..29 16...20 71.....75 9 Special Reserve (As per Section 45 IC of the RBI Act) .05......00.........00 625......51 26....02 28... 1.....073.. 6. 25...148............24 29..11 163........32 138..34) 14..21 278.81 6 Debenture Redemption Reserve ......20 530.......79 6...90) 11 Foreign Exchange Fluctuation Reserve .46 — 139... 10 each fully paid up] .... 5 each [2009 : 60..........31 — 139..CMYK SCHEDULE I Rupees crores 2010 2009 Share Capital : Authorised : 1..02 crores (2009 : Rs.....28 1....20.41 1.23 3......90) 559......00 617....21 278..25† 2.20 Adjusted : Issued and Subscribed Share Capital . 3......... 3.....00 25......10$ 0.............84 4..86 7 Investment Fluctuation Reserve ...95 272..78 — 508..048......97 — (36. 545.... 282.............33 — 0.....05# 104............52V 70........38# 6.......75 — 68..61 806.31) 20..34 — 1........000 Ordinary (Equity) Shares of Rs..26..14 973.71 336........06 1.86 579........50 1....86 116............09 — 0..25..........95 43........239......................62$ — 47..................... 139......60 975.31) 2....... 68.59 1...21 crores)] 140 .......00 25.100 each ...........57 562..36 30.........66 Less : Premium on shares issued to ESOP Trust but not allotted to employees [Note 5] ...............40 2.........61 154..91 194...17 180..21..63 3..00 — 71. 23..47 — 0........... 682.323.............91 43.......81 336...42 11....84 180.82 289.....01 3 Securities Premium Account .......10 1........................265 Ordinary (Equity) Shares of Rs..000 Unclassified Shares of Rs....85 18.38 682.18** 1.31 84.54 23..861........00 600....... 5 each fully paid up [2009 : 27.....05 104....09 0..794...84............. (57.....00 18.08 0.....75 — *** — 68....95 44..69 10.38 12......84 8 Capital Redemption Reserve .... 401.148...........09 172.....47 2..... 5 each fully paid up [2009 : 62..68 (479.03 10...00.

..71 (B) Unsecured : (1) Fixed Deposits .............................................................. 318........ 18.......52 — Total ..... 975...............09 3....................465........465.....047................648...43 688....20 213..12 (b) From Others ....84 718... 4......89 Group Share in Joint Ventures ...................76 # Transfer from Profit and Loss Account Rs........63 Group Share in Joint Ventures .11 871...97 2......................91 658......... 39............. 261.................. 180............... 49.............................39 crores ***Transfer of Rs.... 841...............753.............................38 4...........................97 (3) Rupee Loans : (a) From Financial Institutions ..............................614..... 148......................897...................................... 456..723..........03 crores SCHEDULE III Rupees crores 2010 2009 Loan Funds : (A) Secured : [Note 7] (1) Debentures/Bonds ..68 103...........81 (h) From Others ..................52 (d) Debentures/Bonds .................60 Total ....................... 116........561...88 crores (2009 : Rs..................... 2..31 9.. 21...........................25 41............ 10........790.................... 29.. 0.241......330...................72 2.Net of Tax of Rs......25 0......485.....86 961......724.....40 4.......................65 (c) Zero Coupon Convertible Bonds .............. 330.59 crores) and impact of tax rate change on net debits to General Reserve Rs............ 501.................................76 709...........25% Fully and Compulsorily Convertible Debentures .... 8......................... — 700...................... 5.....07 Total ....... 1.18 crores (Net of Tax of Rs.......................88 4..........38 137.....................................................00 4.00 (f) From Government of Gujarat ........00 (e) 9..... 286.67 (b) Foreign Currency Loans from Banks ... 2009 on Accounting Standard 11 ...88 2............642........... 9................27 1................. 271.....31 6................................060.................... 671......................00 (4) Loans and Advances on cash credit account from Banks ...................) Rupees crores 2010 12 Balance for 2009-2010 and earlier years as per Profit and Loss Account ..................96 (3) Other Loans : (a) From Financial Institutions ..........05 crores) # Addition include adjustments pertaining to earlier periods in respect of Minority Interest amounting to Rs..36 (5) Short-term Foreign Currency Loans from Banks ......00 321...........35 625.......86 (2) Foreign Currency Loans from Banks .........92 (b) From Banks .........................................08 (c) From Others ...... 2....... 44.......................31 141 . 290.................................26 (2) Short-term Loans : (a) From Banks ........................................94 crores ** Adjustment on adoption of Companies (Accounting Standards) Amendment Rules.62 crores) V Provisions no longer required written back o Amount utilised for expenses incurred on amalgamation of previous year Rs..40 28.......................76 45.............60 Group Share in Joint Ventures .... NIL crores (2009 : Rs..................................................... 510..490...972...........85 12..746..20 2.........66 4...........CMYK MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) SCHEDULE II (contd...........10 crores (2009 : Rs.......................45 7...... 4................ 850.................852.......00 56.................................133.........20 7..70 8........513..190...... 5.82 Total ....880. — 253......75 crores) from Profit and Loss Account $ Transfer from Profit and Loss Account Rs.85 (g) From Banks ..... 13......................................

57 62.01 — 3..476.....17 — 271. 110...93 317...341..22 — 116.75 1.81 494..24 0..50 0.97 39..204..30 — 1..82 7.74 76.....51 16.971...... 2..41 crores towards Group share in Joint Ventures (2009 : Rs......008....14 1.16 44.19 114...16 3...971.46 D: Capital Work-in-Progress and Advances [including Rs.357......690.23 233...11 22...042.368.97 — 8.953.76 1.03 Non-Compete Fees .. 24.81 10....24 — 3.22 0..62 499. * Rs.... 141..31 217.. etc...565.20 92. 2010 # Depreciation/ March.26 — 74....81 0..45 — 0...517.85 32..131...........133...476.85 B: Owned Assets Land ...31 31....73 101.81 + Goodwill arising on consolidation...88 — — — — 1.06 — 0..50 18.....72 1..98 221. 74.39 Land .32 11.24 317.02 64. 192..06 1.99 49.......74 446.97 14..09 3..04 518....141......341..02 32.35 Grand Total (A+B+C+D) .. 621.453..69 — 1.... 76...38 28.51 0.78 8.74 2.22 112. 54..67 0...73 0.64 49....89 28....31 28..39 TOTAL (A+B+C) ..80 Plant and Machinery ....56 1...06 511.Freehold .43 33.49 42..74 1.22 1..02 5.....35 50..35 — 32..017.36 3...... 379.88 — 220.08 877.17 2... 399.62 Sub Total A ......Freehold .. 3..64 3..49 41.25 9...990.....35 3.49 5.35 crores)] ....49 223...26 0. March.. 1.....38 16.94 1....08 36. .25 98.16 344....60 8....59 Furniture and Fittings ..30 1....163.....92 333...14 Buildings ..28 474..123.17 5.. 173..35 38.40 — 0. 211....26 — 0.. 3.144.634..02 1......219..341.39 107... ..23 Vehicles .333..04 — 446... 12...042.. ments of to 31st Impairment 2010 $ Impairment Impairment as at 31st during the during as at 31st March..54 0....75 517.. year # the year March.870... # Refer Note 8 (b).. 2009 Amortisation 2010 March.86 541.98 399.74 3.03 58..01 267...762..60 3.71 0..26 20..333..81 0.76 10..831.00 5..48 Development Expenditure .........88 192.85 Other Intangible ..02 1..56 — 1..49 456.27 Vehicles.... 13....35 crores in Plant & Machinery and Software Expenditure.... 233.91 215..77 Software Expenditure .86 7..60 168.81 80..83 3..88 13.60 8...60 10.141..50 276.75 602...73 — — 3..38 — 18......30 0..65 39..967.37 35. after after valuation adjustments adjustments valuation to 31st for 2009.28 Goodwill + ........50 5..72 224...88 1.88 7............42 317.22 C: Group Share in Joint Ventures . 2009 2010 2010 2010 2009 A: Assets on Lease Plant and Machinery ........Leasehold ...88 — 1.31 — 20.....62 — — 0.116.....64 29. 1.12 6...41 1..43 0.....552. 1......63 8...43 258.80 20.60 457.64 8.133.. 7..26 1.59 602...12 0.71 1...13 — 0.. 24....49 0. 13.65 — 33.042....39 8.00 5.69 1..57 757..03 116..403.520..50 32.69 271.37 117.738..03 240.35 3.02 69.519.517..02 9..00 10..837...124.....59 4.....476...49 Timeshare weeks ..06 39..09 — 3.20 5.46 9..297...93 18..971.39 221. 0.... 6.483. Amortisation before for 2009.99 8.06 1..17 13........75 Technical Knowhow ......66 102...02 1...14 — 42... Cycles.71 44.56 0.....124..967..25 0..72 67...10 7..44 8..204.33 9.84 2....116.49 0....62 1.47 0.76 1..79 55.Leasehold ...71 6...98 142.10 34.58 Sub Total B .64 7..917.519.97 14.616. 1.06 5.73 0...02 — 8.358...4 SCHEDULE IV Fixed Assets : Rupees crores Description of Assets Cost/ Additions Deductions Cost/Pro...07 1..401.87 1.99 93.63 220.93 146...11 0.17 99.35 4.98 7. Depreciation/ Depreciation/ Deductions Depreciation/ Net Balance Impairment Net Balance Net Balance Professional and and fessional Amortisation Amortisation and adjust...86 2. as at 31st as at 31st as at 31st March....73 39. 12.513.....07 0......76 8...02 5.. March....19 Trademarks ...050..21 0.16 3....47 crores is on account of Tech Mahindra Ltd as it has become a Joint Venture and on account of merger of subsidiaries during the year.....49 * 0..48 0.06 311.13 0.02 15..52 51.62 0. $ Includes current charge of impairment (Net) Rs.83 0.26 0.....42 Websites ..19 Buildings ...15 10.......88 6......772.94 226...62 1..58 53...247..56 96.04 391...15 84.38 — 0....22 9..

..... 42......76 — 16.........................25 16..... — 205.....224...........08 Units : Unquoted .......01 99......29 0.15 1.82 — 6................. 422.......88 0................693........83 — 24................57 0...................806......61 1...15 0.................. 1.01 — (b) Quoted .......291...........40 3...............................17 — 1......511....291..511........................80 — 52..............................95 0.......85 — 50...381..........80 Other Investments : Government Securities (including Treasury Bills) : (a) Unquoted ..806.........15 1............ 1... 61.....535........57 — 1.01 43........... — 143............01 169........... — — 33........................548...17 — (b) Equity Shares partly paid-up .04 4...............535.................. 4................... — 52..86 Group Share in Investments of Joint Ventures .498.......329................................. MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) SCHEDULE V Rupees crores 2010 2010 2009 2009 Long Term Current Long Term Current Investments (At Cost unless otherwise specified) : Shares (Non-trade and fully paid-up) : Unquoted : (a) Equity Shares ..............95 0.. 0.........82 — (b) Equity Shares .25 3................ 3....58 1...16 — Shares (Trade and fully paid-up......29 — 31........37 1............... 1.......05 — — 143..... 0...21 — 16..729...........19 — — — (c) Preference Shares ..73 — 209.......................57 — 1..805................05 — 1...............................49 — 8................. 43........30 Less : Excess of cost over fair value of Current Investments (Net) 1....52 — 159.30 Cost (Net of amounts written off) of Unquoted Investments ...Associates [Note 1(c) & Note 24] ..........01 205...............08 0..........62 0...... 54..... unless otherwise specified) : Unquoted : (a) Equity Shares ...............548.50 188..............43 — Quoted : (a) Equity Shares ... 8.. 15...............01 — 0....09 — (c) Preference Shares .................. 307......26 Market value of Quoted Investments .....76 33.......44 Total .............381................61 4........83 156..................................................88 — 49............40 0....37 Trust Securities : Unquoted ..........17 — 1...................... 7...........69 Cost/Carrying Value of Quoted Investments .....20 — 9........40 3.14 — 1..............................29 — 99. 4...................25 Total ...651.................94 1.......85 — (b) Equity Shares .78 — 40......57 3......25 — (b) Quoted .Associates [Note 1(c) & Note 24] ................52 3........381.380..09 43 ..............................782..476......00 — Debentures/Bonds (Non-trade & fully paid-up) : (a) Unquoted ............01 128......20 — 34.........14 — Others : Unquoted ........

........59 38...........168..........541.... cheques and stamps on hand ...96 2............ 3........69 Group Share in Cash and Bank Balances of Joint Ventures ...........23 456...........67 550................................... 1..61 3.......................................................... 3.............120.........23 : Considered doubtful ....... Beverages.. Smokes and Operating Supplies .....81 Group Share in Debtors of Joint Ventures ............112...... 128....59 Total ......... 2... 763.................83 55..................72 3....829...................... 163............................43 2.....42 3.98 Total ..........95 (iii) On Margin Account .................................548......02 Less : Provision for Doubtful Debts ...........48 3...82 Total ..06 902.70 3...........207..737....... 377..............50 (ii) On Fixed Deposit Account ...79 (C) Cash and Bank Balances : Cash.........46 Other Debts : Considered good .......266........82 51....SCHEDULE VI Rupees crores 2010 2009 Current Assets.............77 427............27 94......... 3.... 40...............27 4.......568........................51 44 .......19 : Considered doubtful ..................664........46 (B) Sundry Debtors : Unsecured unless otherwise stated : Outstanding over six months : Considered good ........13 1...14 1.. 103.......29 2............................17 3.... 860. 1.............99 3.55 3.................348......12 2.......81 Balances with Banks : (i) On Current Account ...................................79 (iv) Raw Materials and Bought-out Components .... 246.... 2................ 7..........75 58....125............24 (vii) Stores and Spares .... Loans and Advances : (A) Inventories (at cost or net realisable value whichever is lower) : (i) Finished Products produced and purchased for sale ...................... 804.73 (v) Work-in-Progress – Property Development Activity and Long Term Contracts 576......633..............09 2........13 845.....................450.........42 (iii) Manufactured Components .......................90 123.....58 3......................33 498.... 78.................................36 (vi) Food. 65..... 162...........967.......20 (viii) Tools ........662...........................55 (ii) Contracts and Work-in-Progress ....................11 2........03 3....87 Group Share in Inventories of Joint Ventures ......961.................581....78 862...........88 131.................... 1........................25 5..122.........88 2...387........... 42..............16 5..........62 19. 292................................................271...470................87 392....94 Less : Unmatured Finance Charges ..675.....

....774......474..... 1..83 15.....................................618................................... 1.. 71..............................81 14...... 296. 47.91 2.........................02 1........998..................969........316....38 Payments towards Income Tax and Surtax (Net of provisions) .....01 Less : Provision for Doubtful Advances ........................) Rupees crores 2010 2009 (D) Other Current Assets : Interest accrued on Investments .... Excise..............84 0.......................16 8..... 20.57 Balances ....... 4..75 Total .......02 1. 51..111.......................86 45 .........16 Group Share in Loans and Advances of Joint Ventures ...59 Considered doubtful ....66 379....81 14..................................... etc..63 7...................... 88.........00 8. 411...............14 51.............27 336.........381.....22 18...........22 Considered doubtful .............50 74..07 0.779...... 411...........................861....66 678..........53 10................................49 0.............69 1.. considered good unless otherwise stated) : Bills of exchange..............................28 Less : Provision for Doubtful Debts ...91 Total .39 1.....26 Advances recoverable in cash or in kind or for value to be received : Considered good .........319...................... 273...................94 Others ..............42 6............63 112............. 2.19 (E) Loans and Advances : (Unsecured.108...08 Group Share in Other Current Assets of Joint Ventures ...... MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) SCHEDULE VI (contd............76 6...............11 Total .02 48.......80 79.........87 3....26 Bills of exchange......969................79 8...861............771....... ...................... considered doubtful . 0.....Customs.............. Port Trust...................197..........................76 6... 85.854.........42 Loans against assets/Retained Interest in Securitised Assets (Secured) : Considered good ..38 2..... 47...............02 47.....................................74 2.33 Less : Provision for Doubtful Advances ....................94 3.......... 10.........19 1....574. 7...................................... considered good .......

....104.SCHEDULE VII Rupees crores 2010 2009 Current Liabilities and Provisions : (A) Current Liabilities : Acceptances ...48 210.................. 238....66 Group Share in Current Liabilities of Joint Ventures .35 Provision for premium payable on redemption of convertible bonds ........61 6......46 0........938... 334.01 5...568....83 Provision for Tax on Proposed Dividends .............................72 466..............21 6............22 5...............23 33.........544.........395................................................................................62 Total .... 4.................... 6..............75 Total .71 Sundry Creditors : (i) Total outstanding dues of micro and small enterprises .... 508...99 400.............209................10 2.......................49 Dividend payable .................614..... 1..................................................................52 278... 103..........097.................34 28...............655. 0.... 24.....45 1. 349..71 SCHEDULE VIII Rupees crores 2010 2009 Miscellaneous Expenditure (to the extent not written off or adjusted) : (a) Finance Charges .........86 (c) Others ........039....................... 3......86 46 ...............62 Provision : Others [Note 14] ........................12 0..023............96 1.... 151.................09 6................30 Total .....67 137....... 341.................................717.04 6......770........49 269........ 4....834.............................................12 15....96 (B) Provisions : Proposed Dividends ...................89 354...51 Provision for compensated absences ........................73 4.......58 16...... 74...10 Deposits/Advances received against hire purchase/lease agreements ...............................................21 Interest accrued but not due on loans ...........87 Other current liabilities .........34 6.......615.......84 Total ...............................21 1................ 202........... 1.........................91 Group Share in Provisions of Joint Ventures ..............69 8....... — 0.......... 549......57 9.80 53........ 112. 8...........................19 Balances on Directors’ Current Accounts ....76 (ii) Total outstanding dues of creditors other than micro and small enterprises 4.......................779........ 93.............. 0.08 1..........................38 (b) Separation and other costs ..............92 Provision for Estimated Loss/Expenses on Securitisation .......................23 Provision for diminution in value of long term investments ..............................

....43 163.....................................05 Total .....52 Less : Closing Stock ...........38 163........534.................................791..06 Group Share in Joint Ventures .....67 1.................................. 32...................57 7.. Finished and Semi-Finished Products : (A) (Increase)/Decrease in Stock of Finished Goods..............44 Group Share in Joint Ventures .......................028......362...........06 902................... 321..............................763.....27 26..........74 1....16 159............. 6............. 6.... 7...41 Income from long term contracts ..... 8.........79 48........78 862........69 179........76 1......... 394.. 78...20 (ii) Contracts and Work-in-Progress .89 7... 1.....69 119................................801..73 14...............23 15.......79 47 ................. 902.........64 13..........718.............79 1................029......................57 Hire Purchase income.............338.......55 1.......................267.....41 Group Share in Joint Ventures .................97 Add : Stock taken over on acquisition .49 167......037..............769..31 Add : Stock taken over on acquisition (i) Finished Products produced and purchased for sale .....129...................235...............................40 11............91 13..........42 (iii) Manufactured Components ............32 8....... 804...............01 (iii) Manufactured Components ......................... 26. — 7....... 1....830...73 1.......13 12....................................... 83............743.....78 Dividends on other Investments [Note 20 (a)] ......... 0.........07 (B) Consumption of Raw Materials and Bought-out Components : Opening Stock ...............935...763..........46 Total ........... 119.................. 862...... Work-in-Progress and Manufactured Components : Opening Stock : (i) Finished Products produced and purchased for sale ............90 1....58 15.........07 11....10 1...... 845......94 Miscellaneous Income ........................ 14......... 68..42 730............. 15......112.......83 55. 860.......88 922.................................55 (ii) Contracts and Work-in-Progress .... 55....369............ — 149................. 36.........................................................................................67 151..........90 SCHEDULE X Rupees crores 2010 2009 Other Income : Profit on sale of Investments (Net) [Note 20 (b)] ....73 6..............50 Miscellaneous Income ...................05 5.............................13 845........05 0.........76 (C) Purchases of Finished Products for sale ..013.......................... MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) SCHEDULE IX Rupees crores 2010 2009 Income from Operations : Income from services rendered ...761..........79 (ii) Contracts and Work-in-Progress .................45 8.........98 47.......46 SCHEDULE XI Rupees crores 2010 2009 Raw Materials.......................063... 13................... Retained Interest in securitised assets and securitisation 1...............39 Add : Purchases ..........241........ Lease income and other rentals ...................53 14.....................51 Income from Loan............76 (Increase)/Decrease in Stock ...52 Less : Closing Stock : (i) Finished Products produced and purchased for sale .....................................079.......87 100......................97 342.........73 Total .........373.........................

........00 3.................83 Interest .........43 Group Share in Joint Ventures ................. 0.................76 Group Share in Joint Ventures ..........37 107...................120....................17 1......... 188..27 Total ................92 Contribution to Provident and other funds . 26.. 4...........120.......68 Finance charges ...... 0...736......................................21 4........... 905............36 730.....89 Less : Interest Income : Interest on Government Securities......................30 Total ..................09 4.34 6..................93 105...................37 0.83 750..SCHEDULE XII Rupees crores 2010 2009 Personnel : Salaries.... Debentures and Bonds ................ 140...Others .....274.....57 857.......................574............73 979............................ Bonus....... 4...........58 Welfare .......07 0..............94 104.....55 4.......... 294.......................Gross ......... .............74 107. 255..........................................................16 48 ...................65 262................Gross ....86 SCHEDULE XIII Rupees crores 2010 2009 Interest............................582..................... 136.. Commitment and Finance Charges : On Term Loans and Debentures .......................... Wages..........50 857.... 8.... 3............................024...... etc.............56 269.21 21.59 Group Share in Joint Ventures .. 1........43 2............................60 140.....................91 On Others (Net) ....268...13 Total .......

........ 6............09 Donations and Contributions ................02 5........ 873........................ 873................ Property etc....... MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) SCHEDULE XIV Rupees crores 2010 2009 Other Expenses : Stores consumed ...15 Legal and Professional Charges ...........46 Group Share in Joint Ventures ...... ......76 200................................................................................................................09 181.............26 165.......93 770................................................................................90 72..................89 Loss on Fixed Assets sold/scrapped/written off (Net) ...........23 Rates and Taxes .......08 351........75 16.........................15 Cost of Projects...........53 Discount allowed ................... 58........87 Freight outward ....................08 240........... 91..58 5..........51 Travelling Expenses . 930................87 Power and Fuel ......55 Machinery ..36 Sales Promotion Expenses .....................72 29........ 510.............................05 66.................................................50 132..................................................................................................01 Amortisation of Expenses .................... 7......................................................87 718.......................90 68............. 458...............................................44 5.. 18...... 17.. 100.................................................................................. Telephone and Communication ... 172.................................................. 130.......................................... 58...... 1...................................070..........329.................... 30. 80...77 471.......................................... (0..........................................49 Repairs and Maintenance : Buildings ......31 Postage...................19 Directors’ Fees .............30 1.............50 Total ................................... 8............................... 192...............19 57.. 241..........57 Tools consumed ........................ 439.14 0.......................... 254...............93) Provision for doubtful debts/advances (Net) .........................................07 Software Charges ..68 6........92 131.............75 0...........................................................................858.........60 288......30 Advertisement .......68 1..96 4 .................................40 Rent including lease rentals ...24 Net Increase of cost over fair value of Current Investments ...........04 Provision for diminution in value of Long Term Investments (Net) ..........................................83 191.....37 Insurance . 247............................337......88 6........................40 5..21 Miscellaneous Expenses .72 145............................94 283............................................ 169..........................................................................................57 203........................................82 Others ..21 68.............25) (1.. 102.....................................98 Commission on sales/contracts (Net) ................................853........ 70..... 194.............................................................................................................................................................88 Subcontracting Charges ........................ 0................58 487..................

ii) The difference between the costs of investment in the subsidiaries over the Company’s portion of equity of the subsidiary is recognised in the financial statements as Goodwill or Capital Reserve.08% — — Mahindra Consulting Engineers Limited India 51. 2010.21% 42. Accounting Standard 23 (AS 23) “Accounting for Investment in Associates in Consolidated Financial Statements” and Accounting Standard 27 (AS 27) “Financial Reporting of Interests in Joint Ventures” notified by the Companies (Accounting Standard) Rules.03% 95. the parent. The Consolidated Financial Statements relate to Mahindra & Mahindra Limited (M&M.83% 54.00% 100.00% Mahindra Engineering and Chemical Products Limited India 100.68% 60.33% Bristlecone India Limited India 81.05% — — NBS International Limited India 100.00% Mahindra Engineering Services Limited India 100.83% — — Mahindra Life Space Developers Limited India 51.00% — — Mahindra World City Developers Limited India 42.05% 83. income and expenses.00% — — Tech Mahindra Limited [upto 22nd March. 2010 1.00% 100. and b) the minorities’ share of movements in equity since the date the parent subsidiary relationship comes into existence. joint ventures and associates. iii) The difference between the proceeds from disposal of investment in a subsidiary and the carrying amount of its assets less liabilities as of date of disposal is recognised in the Profit and Loss Account as profit or loss on disposal of investment in subsidiary.05% 100. intra group transactions and unrealised profits or losses have been fully eliminated. 2010 – refer note 3 (iii)] India — 100.00% 60. The Consolidated Financial Statements have been prepared on the following basis : (a) Investments in Subsidiaries : i) The Financial Statements of the Company and its subsidiary companies have been combined on a line by line basis by adding together the book values of like items of assets.00% 51.62% 82.00% 100. The Consolidated Financial Statements have been prepared in accordance with Accounting Standard 21 (AS 21) “Consolidated Financial Statements”.00% 100. liabilities. v) The Financial Statements of the subsidiaries are drawn up to 31st March. the Company) and its subsidiaries. The subsidiaries (which along with Mahindra & Mahindra Limited.29% — — Mahindra Infrastructure Developers Limited India 40.00% 100.08% 51.85% 100.62% 5 .00% — — Mahindra Logisoft Business Solutions Limited [upto 22nd March. 2010 – refer note 3 (iii)] India — 48. iv) Minority Interest in the net assets of consolidated subsidiaries consists of : a) the amount of equity attributable to minorities at the date on which investment in a subsidiary is made. constitute the group) considered in the presentation of these Consolidated Financial Statements are : Proportion of Proportion of voting Country of ownership interest power where different Name of the Subsidiary Company Incorporation as at as at as at as at 31-03-2010 31-03-2009 31-03-2010 31-03-2009 Indian Subsidiaries Mahindra First Choice Wheels Limited * India 54.00% — — Mahindra Holidays and Resorts India Limited * India 84.00% — — Mahindra Shubhlabh Services Limited India 83.21% 82.00% — — Mahindra Insurance Brokers Limited India 60.00% 61.00% — — Mahindra & Mahindra Financial Services Limited * India 60.68% 60.00% 100.00% Mahindra Intertrade Limited India 100.SCHEDULE XV Notes on the Consolidated Accounts for the year ended 31st March. Intra group balances.87% 80.00% — — Mahindra Gujarat Tractor Limited India 60.87% 40.00% 80.97% 82.83% — 52.85% — — Mahindra Steel Service Centre Limited India 61. 2006.

08% 51.80% 37.00% — — Mahindra United Football Club Private Limited India 100.05% 100.56% — — Mahindra Hotels and Residences India Limited India 84.00% 100. 2009) India 100.00% 100.76% 70.08% — 100.00% Mahindra Renault Private Limited India 51. MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) Proportion of Proportion of voting Country of ownership interest power where different Name of the Subsidiary Company Incorporation as at as at as at as at 31-03-2010 31-03-2009 31-03-2010 31-03-2009 Mahindra Gears & Transmissions Private Limited (formerly known as Mahindra SAR Transmission Private Limited) India 53. 2010 – refer note 3 (iii)] India — 39.f.00% 51.10% Mahindra Hinoday Industries Limited * [upto 31st March.00% 100.00% — — — Raigad Industrial & Business Park Limited (w.00% 80. 18th June.00% — — Mahindra Logistics Limited India 100.00% Mahindra Metal One Steel Service Centre Limited (w.87% 51.00% 100.e.00% 100.85% 24.00% 51. 2010 – refer note 3 (iii)] India — 48.00% 100.00% Mahindra Vehicle Manufacturers Limited India 100.02% 95.00% Mahindra Aerospace Private Limited India 100.00% 51.00% Industrial Township (Maharashtra) Limited (formerly known as Mahindra Industrial Township Limited) India 51.08% 100.00% 100. 2009 – refer note 3 (iv)] India — 64.e.69% 50.34% 100.88% — 99.00% 100.00% — — Mahindra Bebanco Developers Limited India 35.69% — — Mahindra World City (Jaipur) Limited India 37.00% — — Venturbay Consultants Private Limited [upto 22nd March.00% Mahindra Two Wheelers Limited India 80.00% 100.00% 70.28% 99.92% 100.00% 100.00% — — Mahindra Navistar Engines Private Limited India 51.08% 100.00% 100.00% — — Mahindra Forgings Limited India 50.08% 51.00% Mahindra Holdings Limited India 100.00% — — Mahindra Navistar Automotives Limited India 51.00% — — Mahindra World City (Maharashtra) Limited India 51.76% 35.50% 87.00% — — Mahindra Castings Limited (formerly known as Mahindra Castings Private Limited) India 64.68% 82.08% 100.81% Mahindra Integrated Township Limited India 48.83% — 100.99% 99. 2009) India 51.00% 74.00% — — Mahindra First Choice Services Limited India 100.77% 99.50% Mahindra Residential Developers Limited India 24.f.00% 51.08% 51.00% CanvasM Technologies Limited [upto 22nd March.25% 87.80% 74.00% Crest Geartech Limited India 51.00% — — Defence Land Systems India Private Limited (formerly known as Mahindra Defence Land Systems Private Limited) India 100.74% 48.11% — 80.94% 65.00% 51.00% — — Mahindra Ugine Steel Company Limited India 50.00% 100.00% — 5 .00% — — Mahindra Rural Housing Finance Limited India 53.09% 53.00% 100.68% 60. 11th June.00% Mahindra Business & Consulting Services Private Limited (formerly known as Mahindra IT Consulting Private Limited) India 60.99% Knowledge Township Limited (formerly known as Mahindra Knowledge City Limited) India 51.

Proportion of Proportion of voting
Country of ownership interest power where different
Name of the Subsidiary Company Incorporation as at as at as at as at
31-03-2010 31-03-2009 31-03-2010 31-03-2009
Retail Initiative Holdings Limited (w.e.f. 1st July, 2009) India 100.00% — — —
Mahindra Retail Private Limited (w.e.f. 1st July, 2009) India 78.91% — — —
Mahindra Punjab Tractors Private Limited
(w.e.f. 9th October, 2009) India 100.00% — — —
Mahindra EcoNova Private Limited (w.e.f. 2nd January, 2010) India 100.00% — — —
Mahindra Conveyor Systems Private Limited
(w.e.f. 4th January, 2010) India 100.00% — — —
Foreign Subsidiaries
Mahindra Automotive Australia Pty. Limited Australia 80.00% 80.00% — —
Bristlecone Limited Cayman Islands 81.97% 82.05% — —
Mahindra (China) Tractor Company Limited China 85.90% 84.87% — —
Tech Mahindra (Beijing) IT Services Limited
[upto 22nd March, 2010 – refer note 3 (iii)] China — 48.83% — 100.00%
Mahindra Yueda (Yancheng) Tractor Company Limited China 51.00% 51.00% — —
Mahindra Gears Cyprus Limited Cyprus 53.34% 53.34% 100.00% 100.00%
Tech Mahindra GmbH
[upto 22nd March, 2010 – refer note 3 (iii)] Germany — 48.83% — 100.00%
Bristlecone GmbH Germany 81.97% 82.05% 100.00% 100.00%
Mahindra Engineering GmbH
(formerly known as Plexion Technologies GmbH) Germany 100.00% 100.00% — —
Mahindra Forgings Europe AG Germany 50.68% 60.56% 100.00% 100.00%
Gesenkschmiede Schneider GmbH Germany 50.68% 60.56% 100.00% 100.00%
JECO-Jellinghaus GmbH Germany 50.68% 60.56% 100.00% 100.00%
Falkenroth Umformtechnik GmbH Germany 50.68% 60.56% 100.00% 100.00%
Schöneweiss & Co. GmbH ** Germany 50.68% 60.56% 97.28% 97.28%
MHR Hotel Management GmbH Germany 63.02% 71.47% 75.00% 75.00%
PT Tech Mahindra Indonesia
[upto 22nd March, 2010 – refer note 3 (iii)] Indonesia — 48.83% — 100.00%
Mahindra Europe S.r.l. Italy 80.00% 80.00% — —
Mahindra Graphic Research Design S.r.l. Italy 100.00% 100.00% — —
Metalcastello S.p.A.
(formerly known as Mahindra Metalcastello S.r.l.- name
changed pursuant to merger of Metalcastello S.p.A
w.e.f. 31st December, 2009) Italy 51.00% 51.00% 95.61% 95.61%
st
Metalcastello S.p.A. (upto 31 December, 2009) Italy — 51.00% — 100.00%
Engines Engineering S.r.l. Italy 70.00% 70.00% — —
EFF Engineering S.r.l. Italy 35.70% 35.70% 51.00% 51.00%
ID-EE S.r.l. Italy 49.00% 49.00% 70.00% 70.00%
Bristlecone (Malaysia) SDN. BHD. Malaysia 81.97% 82.05% 100.00% 100.00%
Tech Mahindra (Malaysia) SDN. BHD.
[upto 22nd March, 2010 – refer note 3 (iii)] Malaysia — 48.83% — 100.00%
Heritage Bird (M) SDN. BHD. Malaysia 84.03% 95.29% 100.00% 100.00%
Mahindra Overseas Investment Company (Mauritius) Limited Mauritius 100.00% 100.00% — —

5

MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED)

Proportion of Proportion of voting
Country of ownership interest power where different
Name of the Subsidiary Company Incorporation as at as at as at as at
31-03-2010 31-03-2009 31-03-2010 31-03-2009
Mahindra-BT Investment Company (Mauritius) Limited Mauritius 57.00% 57.00% — —
Mahindra Forgings International Limited Mauritius 50.68% 60.56% 100.00% 100.00%
Mahindra Forgings Global Limited Mauritius 50.68% 60.56% 100.00% 100.00%
Mahindra Gears International Limited Mauritius 100.00% 100.00% — —
Mahindra Gears Global Limited Mauritius 53.34% 53.34% — —
Mahindra Middleeast Electrical Steel Service Centre (FZC) Sharjah 90.00% 90.00% — —
Tech Mahindra (Singapore) Pte. Limited
[upto 22nd March, 2010 – refer note 3 (iii)] Singapore — 48.83% — 100.00%
Bristlecone (Singapore) Pte. Limited Singapore 81.97% 82.05% 100.00% 100.00%
Mahindra & Mahindra South Africa (Proprietary) Limited South Africa 100.00% 90.73% — —
Tech Mahindra (Thailand) Limited
[upto 22nd March, 2010 – refer note 3 (iii)] Thailand — 48.83% — 100.00%
Bristlecone UK Limited U.K. 81.97% 82.05% 100.00% 100.00%
Stokes Group Limited U.K. 50.64% 60.43% 99.92% 99.78%
Stokes Forgings Dudley Limited U.K. 50.64% 60.43% 100.00% 100.00%
Jensand Limited U.K. 50.64% 60.43% 100.00% 100.00%
Stokes Forgings Limited U.K. 50.64% 60.43% 100.00% 100.00%
Mahindra Engineering Services (Europe) Limited U.K. 100.00% 100.00% — —
Tech Mahindra (Americas) Inc.
[upto 22nd March, 2010 – refer note 3(iii)] U.S.A. — 48.83% — 100.00%
Mahindra USA Inc. U.S.A. 100.00% 100.00% — —
Bristlecone Inc. U.S.A. 81.97% 82.05% 100.00% 100.00%
Mahindra Holidays and Resorts USA Inc. U.S.A. 84.03% 95.29% 100.00% 100.00%
Mahindra Technologies Inc.(upto 10th March, 2010) U.S.A. — 100.00% — —
CanvasM (Americas) Inc.
[upto 22nd March, 2010 – refer note 3 (iii)] U.S.A. — 39.11% — 100.00%
th
Mahindra Technologies Services Inc. (w.e.f. 4 June, 2009) U.S.A. 100.00% — — —
Tech Mahindra (Nigeria) Limited
[w.e.f. 18th August, 2009 & upto 22nd March, 2010 –
refer note 3 (iii)] Nigeria — — — —
Tech Mahindra Bahrain Limited S.P.C.
[w.e.f. 3rd November, 2009 & upto 22nd March, 2010 –
refer note 3 (iii)] Bahrain — — — —
BAH Hotelanlagen AG (w.e.f. 11th January, 2010) Austria 83.13% — 98.93% —

* excluding shares issued to ESOP Trust but not allotted to employees as per the Guidance Note on Accounting for Employee Share-based
Payments issued by The Institute of Chartered Accountants of India.
** includes fundamental economic rights and administrative rights (including but not limited to voting rights, information rights and right to
participate in shareholders meetings) in respect of 2.72% shares.
Note : Tech Mahindra Foundation is not consolidated as a subsidiary as it can apply its income for charitable objects only and cannot pay
dividend or transfer funds to its parent. Further, with effect from 23rd March, 2010 Tech Mahindra Limited & all its subsidiaries cease to
be a subsidiary of the Company.

53

(b) Interests in Joint Ventures

The Group’s interests in jointly controlled entities of the Group are :
Name of the Entity Country of Percentage of Percentage of
Incorporation ownership ownership
interest interest
as at 31-03-2010 as at 31-03-2009

a) Mahindra Sona Limited India 29.77% 29.77%
b) PSL Erickson Limited India 18.06% 18.06%

c) Mahindra Water Utilities Limited $ India 50.00% 50.00%
d) Mahindra Inframan Water Utilities Private Limited $ India 50.00% 50.00%

e) Tech Mahindra Limited [w.e.f. 23rd March, 2010 - refer note 3 (iii)] India 43.99% —
Interest in Joint Ventures is accounted for using Proportionate Consolidation Method.
$ Shareholding is through a subsidiary, Mahindra Infrastructure Developers Limited.

The financial statements of all the Joint Ventures are drawn upto 31st March, 2010.
(c) Investment in Associates

The Group’s Associates are :
Name of the Entity Country of Percentage of Percentage of
Incorporation ownership ownership
interest interest
as at 31-03-2010 as at 31-03-2009

Owens Corning (India) Limited India 21.50% 21.50%

Mahindra Construction Company Limited India 43.83% 43.83%
Officemartindia.com Limited India 50.00% 50.00%

Rathna Bhoomi Enterprises Private Limited India 20.43% 20.43%
Kota Farm Services Limited India 37.37% 37.37%

Mriyalguda Farm Solution Limited India 37.37% 37.37%
Mega One Stop Farm Services Limited India 37.37% 37.37%
Mahindra Composites Limited India 30.56% 30.56%

Swaraj Automotives Limited India 44.19% 44.19%
Swaraj Engines Limited India 33.22% 33.22%

Eco Engines (upto 15th January, 2010) Russia — 29.75%
Satyam Computer Services Limited
(w.e.f. 5th May, 2009 and upto 22nd March, 2010 – refer note 4) India — —
st
The financial statements of all the Associates are drawn up to 31 March, 2010.

2. Accounting Policies :
(A) Basis of Accounting :
The financial statements are prepared in accordance with the generally accepted accounting principles in India and comply with the
Accounting Standards notified under sub-section (3C) of Section 211 of the Companies Act, 1956 and the relevant provisions thereof.
(B) Fixed Assets :
(a) (i) Fixed Assets are carried at cost less depreciation except as stated in (iii) below. Cost includes financing cost relating to borrowed
funds attributable to the construction or acquisition of qualifying fixed assets upto the date the asset is ready for use.
(ii) When an asset is scrapped or otherwise disposed off, the cost and related depreciation are removed from the books of account
and resultant profit (including capital profit) or loss, if any, is reflected in the Profit and Loss Account.
(iii) Land and Buildings, of the parent company had been revalued as at 31st October, 1984 at depreciated replacement values on the
basis of a valuation made by a firm of Chartered Surveyors and Valuers. The indices, if any, used are not stated in the valuation.

54

(b) Separation and Other Costs : Special Payments/Pensions under Voluntary Retirement Schemes. for long term projects. Current investments are valued at the lower of cost and fair value. not exceeding six years commencing with the year of purchase of the technology. conversion or repayment of borrowings. (ii) Depreciation on fixed assets is provided on straight line method over its useful life estimated by management or on the basis of depreciation rates prescribed under respective local laws. whichever is lower. 2010 from the month in which the liability is incurred. (iii) Depreciation charge for each year is after deducting the amount representing the depreciation on the increase due to revaluation of Land and Buildings. not exceeding ten years. MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) (b) (i) Leasehold land is amortised over the period of the lease. (g) Non-Compete Fees : Non-compete payments are amortised equally over the estimated period of benefit. Cost is arrived at on a weighted average method and includes. manufacturing overheads and excise duty. where appropriate. However. determined by category of investment. not exceeding ten years. (c) Software Expenditure : The expenditure incurred is amortised over three financial years equally commencing from the year in which the expenditure is incurred. transferred from the Revaluation Reserve. (d) Websites : The expenditure incurred is amortised over the estimated period of benefit. (G) Foreign Exchange Transactions : Transactions in foreign currencies are recorded at the exchange rates prevailing on the date of transaction. Cost of the inventory. are carried at cost. in the value of investments. The exchange difference between the rate prevailing on the date of transaction and on the date of settlement as also on translation of monetary items at the end of the year (other than those relating to long term foreign currency monetary items) is recognised as income or expense. (E) Inventories : Inventories are stated at cost or net realisable value. other than in Associates. (C) Intangible Assets : All Intangible Assets are initially measured at cost and amortised so as to reflect the pattern in which the asset’s economic benefits are consumed. provision for diminution in value is made to recognise a decline other than temporary. Investments in Associates are accounted using the equity method. (a) Technical Knowhow : The expenditure incurred is amortised over the estimated period of benefit. (D) Investments : All long term investments. as the case may be. (F) Miscellaneous Expenditure (to the extent not written off or adjusted) : Expenditure carried forward under this head is amortised as follows : (a) Finance Charges : The expenditure incurred in raising long term borrowings is amortised over the period of the borrowings. 55 . not exceeding five years. (e) Timeshare Weeks : Intangible assets representing ‘timeshare weeks’ are amortised over a period of ten years. The liability is amortised by the year ending March. On early buyback. Monetary items are translated at the year-end rates. (f) Trademarks : The expenditure incurred is amortised over the estimated period of benefit. includes interest. (b) Development Expenditure : The expenditure incurred on technical services and other project related expenses are amortised on the completion of the development work over the estimated period of benefit not exceeding five years. where appropriate. any unamortised expenditure is fully written off in that year.

2001 is accounted for on equated basis in accordance with the terms of the contract (except in some cases in which it is accounted for by applying the interest rate implicit in such contracts). (H) Derivative Instruments and Hedge Accounting : The Company uses foreign currency forward contracts and currency options to hedge its risks associated with foreign currency fluctuations relating to certain firm commitments and highly probable forecast transactions. 2011 whichever is earlier. as reduced by the net present value of the lease instalments falling due. which entitles the Timeshare member for the Timeshare facilities over the membership usage period. or on a deferred payment basis. (I) Revenue Recognition : (a) Sales of products and services are recognised when the products are shipped or services rendered. Income from hire purchase contracts entered prior to 1st April. accounted for on percentage of completion basis. Where the management fee is linked to the input costs. made by the management and certified to the auditors. have been relied upon by them. Entitlement fee. as these are of a technical nature. such grants are accounted for as and when the disbursements are received. 2005 in accordance with the new membership rules. is recognised as Timeshare income in the year in which the purchaser of Timeshare becomes a member and the balance representing ‘Advance towards members’ facilities’ is being recognised as Timeshare income equally over a period for which holiday facilities are provided commencing from the year in which the member is entitled to benefits of membership under the scheme. revenue is recognised as a proportion of the work completed based on progress claim submitted. In view of the uncertainty in respect of the collection of these grants. (M) Timeshare Business : The activity of selling Timeshare and providing holiday facilities to members for a specified period each year. (J) Long Term Contracts and Property Development Activity : Income on long term contracts and property development activity is accounted on the percentage of completion basis which necessarily involves technical estimates of the percentage of completion of each contract/activity. to the extent they are used for financing the acquisition of fixed assets are added to or subtracted from the cost of such fixed assets and the balance accumulated in ‘Foreign Currency Monetary Item Translation Difference Account’ and amortised over the balance term of the long term monetary item or 31st March. 2001 the income is accounted for by applying the interest rate implicit in such contracts. such as grants by way of refund of octroi duty paid by the Company for its manufacturing unit located in a developing region. (L) Government Grants : The Company is entitled to various incentives from a State Government. for which membership fee is collected either in full up front. over a number of years. revenue is recognised on the percentage of completion basis. Any premium or discount arising at the inception of a forward exchange contract is recognised as income or expense over the life of the contract. Project management fees receivable on fixed period contracts are accounted over the tenure of the contract/agreement. Exchange differences relating to long term foreign currency monetary items. relevant portion reasonably attributable towards cost required to market Timeshare. Upto 30th September. is recognised as income on admission of a member. The Company does not hold derivative financial instruments for speculative purposes. Income from long term contracts and sale of property (concerning property development activity) is. 2005 out of the total membership fee. Such estimates. and costs to completion of the contract/activity. on the basis of which profits/losses are accounted. admission fee. With effect from 1st October. (K) Income from Lease/Hire Purchase : Finance earnings on lease transactions are calculated by applying the interest rate implicit in the lease. to the investment in the leased assets. For hire purchase transactions entered on or after 1st April. Changes in the fair value of the contracts that are designated and effective as hedges of future cash flows are recognised directly in Hedging Reserve Account and the ineffective portion is recognised immediately in the Profit and Loss Account. [Refer paragraph (J) below] (b) Dividends from investments are recognised in the Profit and Loss Account when the right to receive payment is established. except in the case where the contract is designated as a cash flow hedge. Where the management fees are linked to the revenue generation from the project. 56 . is recognised as income equally over the usage period. The Company has applied to such contracts the hedge accounting principles set out in Accounting Standard (AS) 30 “Financial Instruments : Recognition and Measurement” by marking them to market. which is assessed and revised periodically. which is non-refundable.

Income/Expenses relating to the enterprise as a whole and not allocable on a reasonable basis to business segments are reflected as unallocated corporate income/expenses. Actuarial gains and losses are recognised immediately in the statement of Profit and Loss Account as income or expense. Obligation is measured at the present value of estimated future cash flows using a discounted rate that is determined by reference to the market yields at the Balance Sheet date on Government Bonds where the currency and terms of the Government Bonds are consistent with the currency and estimated terms of the defined benefit obligation. Segments are identified having regard to the dominant source and nature of risks and returns and internal organisation and management structure. office. long term compensated absences and post retirement medical benefit schemes are determined by independent actuaries. on timing differences. stores. conversion or repayment of borrowings. Group’s liability towards gratuity. MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) (N) Employee Benefits : Defined Contribution Plan/Defined Benefit Plan/Long term compensated absences. 57 . In case of assignment of receivables the assets are derecognised as all the rights. subject to consideration of prudence.). Deferred tax assets arising on account of unabsorbed depreciation or carry forward of tax losses are recognised only to the extent that there is virtual certainty supported by convincing evidence that sufficient future tax income will be available against which such deferred tax assets can be realised. (R) Leases : The Group’s significant leasing arrangements are in respect of operating leases for premises (residential. Deferred tax is recognised. (P) Redemption Premium : Premium payable on redemption of Bonds/Debentures is fully provided and charged to Securities Premium Account (Net of Tax) in the year of issue. ESIC and Labour Welfare Fund are recognised in the Profit and Loss Account. and are usually renewable by mutual consent on agreed terms. Inter-segment transfers are at prices which are generally market led. On early buyback. (Q) Product Warranty : In respect of warranties on sale of certain products. the difference between book value of the securitised asset and consideration received as reduced by the estimated provision for loss/expense and incidental expenses related to the transaction is recognised as gain or loss arising on securitisation. any unamortised expenditure is fully written off in that year. the difference between book value of the receivables assigned and consideration received as reduced by the estimated provision for loss/expense and incidental expenses related to the transaction is recognised as gain or loss arising on assignment. Revenues and expenses have been identified to the segments based on their relationship to the business activity of the segment. (b) Expenses incurred on raising long term borrowings which are amortised over the period of borrowings. using the projected unit credit method. Past services are recognised on a straight line basis over the average period until the benefits become vested. the estimated costs of these warranties are accrued at the time of sale. etc. (O) Borrowing Costs : All borrowing costs are charged to the Profit and Loss Account other than : (a) Borrowing costs that are attributable to the acquisition or construction of assets that necessarily take a substantial period of time to get ready for their intended use. Contributions to Provident Fund are made to a Trust administered by the Group and are charged to Profit and Loss Account as incurred. The estimates for accounting of warranties are reviewed and revisions are made as required. godowns. titles. (S) Segment Reporting : The accounting policies adopted for segment reporting are in line with the accounting policies of the Group. The leasing arrangements which are not non-cancellable range between eleven months and three years generally. These are capitalised as part of the cost of such assets. Group’s contributions paid/payable during the year to Superannuation Fund. future receivables and interest thereof are assigned to the purchaser. (T) Taxes on Income : Current tax is determined as the amount of tax payable in respect of taxable income for the year. being the difference between taxable income and accounting income that originate in one period and are capable of reversal in one or more subsequent periods. The Company is liable for the contribution and any shortfall in interest between the amount of interest realised by the investment and the interest payable to members at the rate declared by the Government of India. On derecognition. On derecognising. (U) Income from Securitisation and Assignment : Securitised assets are derecognised as the contractual rights therein are transferred to the special purpose vehicle or buyers as the case may be. The aggregate lease rentals payable are charged as Rent including lease rentals.

A.r. as SCSL is in the process of restating its financials. 3. The above monies which are treated as advance received from it. 2008. a deemed divestiture gain of Rs. Tech Mahindra Limited (TML) : M&M and Mahindra-BT Investment Company (Mauritius) Limited (MBTICM). were effectively holding 48. 2005 to the trust but not yet transferred by the trust to the employees. For the purposes of the Balance Sheet as at 31st March.63 crores (2009 : Rs.63. Mahindra Forgings Limited (MFL) : During the current year Mahindra Forgings Limited (MFL). vi.. the following changes in Group structure have taken place and the same have been appropriately dealt with in the Consolidated Financial Statements. had come out with an IPO which was accompanied by a simultaneous offer for sale of its’ shares held by M&M. 2009 has given extension of time till 30th June.912 equity shares of TML on 22nd March. Italy vide its order dated 17th December. ‘Group Share in Investments of Joint Ventures’ and ‘Reserves and Surplus’ is not considered in the Consolidated Financial Statements of the Group for the current year. 3.10 crores). 84. iv. 2008. (MMCS) : In accordance with a scheme of amalgamation sanctioned by The Ordinary Court Room.68%. Mahindra Holidays & Resorts India Limited (MHRIL) : During the current year Mahindra Holidays & Resorts India Limited (MHRIL).63 crores (2009 : Rs. 2010. the financial statements of MSSL.56% to 50. Accordingly. had issued and allotted fresh equity shares to Qualified Institutional Buyers (QIBs).653 shares of Rs. Bombay vide its order dated 10th July. The Company Law Board vide its order dated 15th April. M&M had reported a profit on this transaction of Rs.10 crores) for the 52. an existing subsidiary of the Company.96 crores for MBTICM. While the sale of shares has resulted in a gain of Rs. with effect from 1st January. and the Company the scheme would be operative. MBTICM had entered into an option agreement whereby it had granted AT&T an option to acquire its investment in TML at a fixed price of US$ 3.63. in accordance with the provisions of Accounting Standard 27 dealing with Financial Reporting of Interests in Joint Venture. 5 each (2009 : 31. AT&T has exercised its Options and acquired 98.296 shares of Rs. As a consequence of this the Group’s holding in MFL has reduced from 60. Hence the impact of post acquisition profit/loss of SCSL on ‘Share of Profit of Associates for the year’. the Company has reduced the Share Capital by Rs. 2010 without including SCSL and its subsidiaries. 10 each) issued by the Company in September. in the consolidated accounts of the Company.62% in the equity of Tech Mahindra Limited (TML). 2.3.90. 4.2. a subsidiary of Mahindra Castings Private Limited (MCPL). the de-subsidiarisation of Tech Mahindra group has resulted in a deemed divestiture loss amounting to Rs.89 crores which has been reflected as an exceptional item in the consolidated accounts.112. 2010 has approved the publishing of the Consolidated Financial Statements of the Company for the year ended 31st March. The Guidance Note on Accounting for Employee Share-based Payments issued by The Institute of Chartered Accountants of India requires that shares allotted to a trust but not transferred to employees be reduced from Share Capital and Reserves. Changes in Group Structure : During the year ended 31st March. These changes have collectively resulted in a deemed divestiture gain of Rs. In accordance with the Court Order. Metalcastello S. a subsidiary of the Company. the appointed date. the Company has applied the Hedge Accounting principles set out in the Accounting 58 . This has resulted in a dilution of M&M’s holding in MHRIL from 95.94. 653 shares of Rs.02. have been considered in the Consolidated Financial Statements without considering the impact of the proposed scheme. Mahindra Hinoday Industries Limited (MHIL) : In accordance with a scheme of amalgamation sanctioned by the Hon’ble High Court of Judicature. has merged with MMCS with effect from 1st April. Mahindra Shubhlabh Services Limited (MSSL) : In terms of the proposed scheme of arrangement between Mahindra Shubhlabh Services Limited (MSSL).29% to 84. a subsidiary of Mahindra Metalcastello S. The Share Capital of the Company has also been reduced and the General Reserve increased by Rs.29 crores (2009 : Rs. has been accounted as a prior period item. has merged with MCPL with effect from 1st April.296 bonus shares of Rs. The scheme proposes restructuring of the non-fruit business of MSSL as a result of which the non-fruit business would be transferred to the Company. a subsidiary of the Company. The Securities Exchange Board of India vide its letter dated 19th April.l. 2009. Consequent to the announcement issued by The Institute of Chartered Accountants of India dated 29 th March. 2010 to SCSL for filing of the documents with various statutory authorities. 2010. the appointed date. 3.26 crores. Pursuant to the same. While in the standalone accounts. the impact of accounting treatment in accordance with the Court Order.21 crores and these have been reflected in the consolidated accounts as exceptional items.70. Metalcastello S. 5 each (2009 : 31. on a consolidated basis. At the year end the effective shareholding of the Company alongwith MBTICM in TML stands reduced to 43. Pending the approvals. 2010.20 crores) for the 72.75 crores. v. amounting to Rs. 5. 2010. is included under Current Liabilities. 2008 in respect of forward exchange contracts and currency and interest rate swaps. the assets and liabilities of MHIL have been transferred at their respective fair values. been treated as a Joint Venture.12.55 crores has been accounted for as an exceptional item.p. pending statutory approvals. 15. 45. 2009 Mahindra Hinoday Industries Limited (MHIL).5022 per share. ii. Since the merger was effective 1st April.03%. TML has. Further M&M also opted to convert the preferential warrants issued by MFL to the Company.99%. The Consolidated Financial Statements of the Company do not include Satyam Computer Services Limited (SCSL) and its subsidiaries. a subsidiary of the Company. 2009.p.02. (MMCS). 10 each) held by the trust pending transfer to the eligible employees. i. iii. 6. Securities Premium by Rs.A. 2010 from MBTICM. resulting in TML alongwith its subsidiary companies ceasing to be Subsidiaries of the Company with effect from 22nd March.

.............. Cycles.20 crores) [2009 : Loss of Rs....... 2010 into 93.......... 2007.Leasehold .......... The income booked in respect of assignment of receivables includes certain amount towards cost of future servicing of the assigned pool and an appropriate amount has been provided towards expenditure for future services........28 crores (2009 : Rs...... 80.................57 crores)] arising consequently on contracts that were designated and effective as hedges of future cash flows has been recognised directly in the Hedging Reserve Account........ 0. etc. Unless previously converted........... 8...................... The net proceeds of Rs.59 Furniture and Fittings .. 10................23 crores) (including future interest receivable) for a consideration of Rs....... 6..........95 crores) and provision for estimated loss/expenses of Rs..... 2008 subject to satisfaction of certain conditions......98 0. Loans : (a) Secured borrowings are secured by a pari-passu charge on immovable properties of the entities both present and future.64 9..... machinery spares. 971.....22 Software Expenditure .....50 Vehicles....... 1.....42 = US$ 1.. the bonds fall due for redemption on 14th April....40 crores and Rs.............. Consequent to the conversion the Share Capital and Securities Premium Account of the Company have increased by Rs..... 26. 15.. 1....... 151...46 crores.......11 crores) and de-recognised the assets from the books........ This expenditure is transferred to Development Expenditure and is appropriately amortised.......... 479..... 2010.....21 — Plant and Machinery ...................60 crores respectively....... at the option of the Company at any time on or after 13th April..27 crores).. 922...............95..........02 crores (Net of Tax of Rs... subject to certain exclusions and are also secured by pari-passu charge on the movable properties of the Entities including movable machinery.............. is disclosed under Cash and Bank balances.. Bonds 2011 of the face value of US$ 10.. 5 ...... in whole but not in part............ both present and future.46 crores (2009 : Rs.........62 0.........10 0. MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) Standard (AS) 30 “Financial Instruments : Recognition and Measurement”.... 80......................38 crores)..... On assignment of receivables income is booked at Rs....... 7...67 crores) considered no longer necessary has been written back...12 0. 223..........90 crores (Net of Tax of Rs. representing depreciation on assets used for development work............11 0.............................. 690. were compulsorily converted on 27th January....... 190.. 1.....14 2.. 735 per share................ at any time on or after 7th May... 6......... The Bonds 2011 may be redeemed....... at par........ 2011........ (a) The depreciation charge for the year excludes : i) An amount of Rs........ 6........95. Zero Coupon Foreign Currency Convertible Bonds (Bonds 2011) aggregating US$ 200 million..... 50....... 2006 upto 7th March....974 Ordinary (Equity) shares of Rs.... receivables... unutilised as at 31st March................. 27... subject to certain exclusions..044....... 2011 at 128........... 48.. 10 each [before sub division of the Ordinary (Equity) Shares] of the Company at a premium of Rs......... 745 per FCD issued during the year ended 31st March....... 461..... certain book debts.50 million have been bought back and cancelled in the previous year... The Company had issued during the year ended 31st March. The bond holders have an option to convert these bonds into Equity Shares with full voting rights or Global Depository Receipts (GDRs) determined at an initial conversion price of Rs............. 2010... . 2009....08 crores). outstanding monies...................... claims............ Accordingly.......... Mahindra & Mahindra Financial Services Limited has without recourse assigned loan receivables of 31.. both present and future................. 6.. 54..036. 0.. 4....... 5 each (2009 : Rs......... tools and accessories.. 44.. none of the Bonds 2011 have been converted into equity shares/GDRs......... (b) Additions to assets include assets taken over due to acquisition of subsidiaries : Rupees crores Description of Assets Cost Depreciation/ Amortisation Land ... 7.................083) contracts amounting to Rs........ ii) An amount of Rs..... such contracts are marked to market and the gain aggregating Rs.....80 Property – Leasehold ..04 per share of Rs. representing depreciation on the increase due to revaluation of Land and Buildings transferred from the Revaluation Reserve....03 per cent of their principal amount.. Upto 31st March............. During the year provision in respect of securitisation of Rs..... (b) Loans and Advances from Banks are secured by a first charge on whole of the Current Assets namely inventories.02 per share of Rs.. During the year. etc....... The Company’s 93......53 Total .........42 crores (2009 : Rs.... redeemed or purchased and cancelled..................61 crores (2009 : Rs..974 Unsecured Fully and Compulsorily Convertible Debentures (FCD’s) having face value of Rs. 915..71 crores (2009 : Rs........ 9....51 crores (2009 : Rs.... 10 each) with fixed exchange rate of conversion of Rs............. 3.............................628 (2009 : 32....................58 crores (2009 : Rs...

04 230.88) (4.66) (19.46) (155.96 20.41 0.86 (4.41 0.23 1.21) (3.12) — — — — 8 Benefits paid (22.00 10.12 337.24 0.23) — — 9 Past Service Cost 12.15) 35.68 — — — — 4 Current Service Cost 25.24 40.62) (12.27 61.44 0.17 2.57 — B.60 0.95 10.21 — — — — 3 Amount not recognised as an asset (0.04) — — — — 4 Actuarial (Gains)/Losses (10.59 0.82) (0.50 — 2 Interest Cost 26.02) 0.71) (9.29) (0.27 9.05 — — — — 6 Settlement Cost — — — — — — — — 7 Payments on account of employee transferred (0.86 (4.80 (1.58) (162.99) (10.90) 35.32 1.84 — 6 Actuarial (Gains)/Losses (6.04 5.17) — 57.11.58) (162.99) — 5 Net Asset/(Liability) as at 31st March (72.05 0.72 162.51 116.46) (155. 2010 Rupees crores Funded Plan Unfunded Plans Gratuity Gratuity Post Retirement Post Retirement Medical Benefits Housing Allowance 2010 2009 2010 2009 2010 2009 2010 2009 A Expense recognised in the statement of Profit & Loss Account for the year ended 31st March 1 Current Service Cost 25.95 9.72 278.88 4.59 0.96 22.99) — C.06 — — — — 10 Present Value of Defined Benefit Obligation at the end of the year 378.99 — 2 Fair value of Plan Assets as at 31st March 305.99) (10.04) (0.44 0.16 4.78 16.78) 8.08) 2.70) (0.00 2.07) — — — — — 8 Effect of the limit in Para 59(b) of the revised AS 15 0.01 10.50 — 5 Interest Cost 26.80 (1.10) (0.96 20.58 162.28 — — (3.12 341.14 0.19 12.41 5.99 — 6 .25 0.40) (13.21 4.92) — 39.51 95.77) — 7 Liabilities settled on sale of business 0.02) 0.42 0.32 1.84 — 3 Expected return on Plan Assets (18.19 12.22) (0.88 5.00 10.57 9.28 0.14 — (0.95 32.84) 8.77) — 5 Past Service Cost 12.25 0. Change in the obligations during the year ended 31st March 1 Present Value of Defined Benefit Obligation at the beginning of the year 341.88) (4.96 22.99 10.36 58.42 — 2 Adjustment to the opening balance/Exchange rate variation (0.54) (9.87) (103.06 — — — — — 3 Obligations arising on account of acquisitions during the year — (3.71 95.27 21.23 1.08 (0.08 0.01) — — — — — — 9 Total expense recognised in Personnel (Sch XII) 35.65 — — — — 4 Funded status [Surplus/(Deficit)] (72. Net Asset/(Liability) recognised in the Balance Sheet as at 31st March 1 Present Value of Defined Benefit Obligation as at 31st March 378. Employee Defined Benefits : Defined benefit plans – as per Actuarial Valuation on 31st March.58 9.71) (9.03 (0.87) (103.

50 % - Plan Assets 7.60 % . Actuarial Assumptions 1 Discount Rate (Basis .2% 50 .07% 9.3% 50 .41) (0.50 % 3 In-service Mortality Indian Assured Lives Mortality (1994-96) Modified ultimate 4 Turnover rate Age 21 to 5.50 % .04 239.59 0.50 % .10% 40 .04% 0.50 % 8.50 % - market yields of govt.00%- 6. above - 2% 2% 5 Medical Premium inflation 3.41 0.22) — — 9 Fair value of Plan Assets at the end of the year 305.27 — — — — — — 6 Contributions by employer 66.26 0.3% 59 . 7.76 — — — — — — 8 Actual Benefits paid (22.00% Age 21 to Age 21 to 5.62) (11.16) — — — — — — 4 Expected return on Plan Assets 18.38 — — — — — — E.45 % 8.00% 6 .5% Age 41 to Age 41 to Age 41 to 59 . MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) Rupees crores Funded Plan Unfunded Plans Gratuity Gratuity Post Retirement Post Retirement Medical Benefits Housing Allowance 2010 2009 2010 2009 2010 2009 2010 2009 D.45 % 8.24 17.28) (0.96% 100.00% Others 2.85 % .10% Age 31 to Age 44 to Age 31 to Age 31 to 40 .50 % 8.05 — — — — — 10 Actual return on Plan Assets 22.28 0.13 217. securities) 8. 7.21) — — — — — — — 3 Fair value of Plan Assets arising on account of acquisitions during the year 1.00%.10% 30 .05 2. 7.5% 40 . 6.22 — — 7 Asset distributed on sale of business — 1.30 10.95 — — — — — — 2 Adjustment to the opening balance/Exchange rate variation (4.31) — (2.3% Age 51 Age 51 and and above .prevailing 7. 7.00% Age 21 to 30 .00% F. Major category of Plan Assets as a percentage of total plan Insurer Managed Funds 97. 3.01 (0.50 % 8.00% 6.13 0.45% 2 Expected Rate of return on 7.10% 44 -25% 30 .03 — — — — — — 5 Actuarial Gains/(Losses) 7.17 20.50 % .50 % 8. Change in the fair value of plan assets during the year ended 31st March 1 Fair value of Plan Assets at the beginning of the year 239.

30) Experience adjustments on Plan Liabilities 5.38 (1.13 217. The estimate of future salary increase.38) Rupees crores Period ended H.95 144.34 (3.05) Experience adjustments on Plan Liabilities (0.59) (60.67 (Deficit)/Surplus (73.99 — — — Plan Assets — — — — (Deficit)/Surplus (10.20) Effect on the accumulated Post Employment Medical benefit obligations 1.99) — — — Experience adjustments on Plan Liabilities 0.21 1.14 (0. Experience Adjustments 2010 2009 2008 2007 Gratuity (Funded) Defined Benefit Obligation 378.25 (0.88) (5.02 — — Gratuity (Unfunded) Defined Benefit Obligation 162.24 (0.79) Experience adjustments on Plan Liabilities 13.95) (3.05 Plan Assets 0.95) (52.49) 0.16) Effect on the accumulated Post Employment Medical benefit obligations 0.05 — — — (Deficit)/Surplus (162.71 204. such as supply and demand in the employment market.00 2.75) (32.36) — Experience adjustments on Plan Assets 4.95 3.12 341.08) (102.51 95. promotion and other relevant factors.15 — — — Basis used to determine expected rate of return on assets : Based on expectation of the average long term rate of return expected on investment of the fund.40 34. seniority.46 Plan Assets 305. 6 .11) Previous Year Effect on the aggregate service and interest cost of Post Employment Medical benefits 0.76) (59. take account of inflation. One percentage point increase in One percentage point decrease in medical inflation rate medical inflation rate G.46 (1. during the estimated term of obligation.75 32.46) (95.00) (2.04 239. considered in actuarial valuation.02 — — Post Retirement Medical Benefits (Unfunded) Defined Benefit Obligation 9.72 278.95 52.30 Plan Assets — — — — (Deficit)/Surplus (9.88 5.92 0.07 Post Retirement Housing Allowance (Unfunded) Defined Benefit Obligation 10. Effect of one percentage point change in the assumed medical inflation rate Current Year Effect on the aggregate service and interest cost of Post Employment Medical benefits 0.26) 0.

..29 crores (2009 : Rs.... 330.. 2... 280.. 104. The Company has filed an appeal against the aforesaid order dated 7th December............ 0.18 crores)...... Navi Mumbai.... 22.... 1988 (MVA) and Maharashtra Motor Vehicles Rules.11 crores in connection with the classification of Company’s Commander range of vehicles........05 For other companies . 328. the CESTAT had by an Order dated 19th July. Group Share in Joint Ventures : Rs. MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) 12. 427....13 crores (2009 : Rs. However.......41 crores) [2009 : Rs..42 105. 0... As such. The Company strongly believes.... including the Supreme Court and particularly by CESTAT vide its order dated 19th July... 168..... 0. 63 ...... 2009 inter alia... 458.. Surtax matters : Rs.... 2005 settled the controversy in the Company’s favour... 2005 is pending before the Supreme Court of India but the operation of the Order has not been stayed.....25 crores (2009 : Rs......... 726.. the Company does not expect any liability on this account. based on legal advice it has received......... In earlier collateral proceedings on this issue...... during the years 1991-1996...... 1... in view of the CESTAT order......85 Group share in Joint Ventures Rs. 2006 confirming a demand of Rs..... Nil) (b) Claims against the Companies not acknowledged as debts comprise of : (i) Excise Duty. 7... 1.. 2005 in the Company’s own case referred to above. which is yet to be finally heard by the Tribunal. the Commissioner of Central Excise (Adjudication)...... Without prejudice to the grounds raised in the appeal. 2005 passed by the Commissioner of Central Excise (Adjudication).... as a Contingent Liability in the Accounts and the same is included in the amounts disclosed under Note 13 (b)(i).... Excise... Pending admission of the Company’s appeal the Supreme Court has passed an interim order staying the recovery of the balance amount till further orders..89 crores (Net of Tax : Rs..... The Department’s appeal against the CESTAT Order dated 19th July... 50...... 1. Central Excise classifying the Commander range of vehicles as 10-seaters...04 crores (Net of Tax : Rs. Income Tax matters : Rs.. 31........31 crores)............... 2009 has rejected the Company’s appeal against the order dated 30th March....72 181. 40 crores in January...... The CESTAT has given an unconditional stay against this order... the Commissioner of Central Excise... Sales tax and Service tax claims disputed by the Companies relating to issues of applicability and classification aggregating Rs..29 crores) (ii) Items which have succeeded in appeal.... and Service Tax Appellate Tribunal (CESTAT) by its order dated 7th December.... 1..... 0.. Navi Mumbai confirming the demand made on the Company for payment of differential excise duty (including penalty) of Rs.18 crores (2009 : Rs..... Income Tax : Rs....68 crores (Net of Tax : Rs.... 368.75 crores) [2009 : Rs.58 crores (2009 : Rs. 68. 2010......86 crores and the interest of Rs. In another case relating to Armada range of vehicles manufactured during the years 1992 to 1996...... 1989 (MMVR) and as such attracted a higher rate of excise duty........52 crores) .......70 crores (Net of Tax : Rs.....75 crores......38 crores)]. 24. Nashik passed an order dated 20th March........20 crores). by the Company at its Nashik facility..78 crores (2009 : Rs....38 crores (Net of Tax : Rs... as provided under the Motor Vehicles Act. 2009 which is under appeal in the Supreme Court is not sustainable in law and hence the Company has a very good chance of succeeding in the matter.... (iii) On Capital account : Rs. 91.... (c) Taxation matters : (i) Demands not acknowledged as debts and not provided for.. that the CESTAT order dated 7th December.79 crores)]... The Customs..004..... the Company has reflected the above amount aggregating Rs........ (e) Corporate undertaking on Securitisation/Assignment by Mahindra & Mahindra Financial Services Limited Rs. Whilst the Company had classified the Commander range of vehicles as 10-seater attracting a lower rate of excise duty.05 1..... Contingent Liability : (a) Guarantees given : Rupees crores Outstanding amounts against the guarantees 2010 2009 For employees ......63 crores) [2009 : Rs......... relating to issues of deductibility and taxability in respect of which the matters are in appeal and exclusive of the effect of similar matters in respect of assessments remaining to be completed : . 70..13 crores) (d) Bills discounted not matured Rs. has held that these vehicles could not be classified as 10-seaters as they did not fulfil the requirement of 10-seater vehicles. 409.. 304..... 7.. on the same grounds as adopted for Commander range of vehicles....63 crores) . but the Income Tax Department is pursuing/likely to pursue in appeal/reference and exclusive of the effect of similar matters in respect of assessments remaining to be completed : . 58...38 crores (Net of Tax : Rs.. 13......... 25.....40 crores (2009 : Rs. 0.. (ii) Other Matters (excluding claims where amounts are not ascertainable) : Rs..57 crores (2009 : Rs... as has been repeatedly held by various judicial fora... 94......... The CESTAT had accepted the Company’s submission that MVA and MMVR could not be referred to for determining the classification for the purpose of levy of excise duty and rejected the Department’s Appeal against the Order of the Collector. 2010. (iv) Group Share in Joint Ventures Rs........39 Others ..05 crores accrued on the same upto 31st March....02 crores)]. the Company has paid an amount of Rs. 626. on the grounds that the MVA and MMVR cannot be referred to for the purpose of determining the excise classification...

...............32 1..... 1...................................47 115....40 120......................43 0.. 2010 are as under : Rupees crores 2010 2009 Deferred Tax Liability : (i) On fiscal allowances on Fixed Assets .....................................68 774.......88 676.40) # (considered............. 17............ NIL (2009 : Rs.................... 389. 11. 2010 is Rs..........47 445.. 240...................................................47 crores)..........29 crores (2009 : Rs..........................................06 0............ (c) Provision for retired assets Rs.......................................................................89 Group Share in Joint Venture : Rs.......... 207................ The ultimate settlement is contingent on the conclusion of negotiations.............. 213.............33 4...01 crores (2009 : Rs.......50 287.........04 101..12 st Balance as at 31 March .........400.08 (v) Provision for Gratuity .... 16..27 0.......25 Deferred Tax Assets : (i) Provision for Compensated absences . 1...................10 crores) 15................ 517....97 crores).... 174. 170............40 (ii) Provision for Doubtful Debts/Advances .08 15.............................72 crores (2009 : Rs........................... including certain expenditure based on allocations made aggregate Rs............ 0...20 140.......... Research and Development expenditure debited to the Profit and Loss account........................... The components of Deferred Tax Liability and Assets as at 31st March......01 Add : On Amalgamation during the year ....11 11........77 6....... 86..14....... 213........... The movement in above provisions is as follows : Rupees crores Warranty Contingency Retired assets Provisions 2010 2009 2010 2009 2010 2009 st Balance as at 1 April ............... 48...99 (iii) Unabsorbed depreciation carried forward # ..................................65 Net Deferred Tax Liability/(Assets) ........ 14................... 12..........................83 crores (2009 : Rs........55 5.......................................37 crores) includes provision for warranty Rs......83 16.........29 crores (2009 : Rs.............45 Group Share in Joint Ventures ... 113........55 139... 0...............................54 Group Share in Joint Ventures ................................................ 247.......... 170............................. 128... The products are generally covered under a free warranty period ranging from six months to three years......10 40.08 crores) is in respect of labour demands under negotiation at certain locations of the Company..50 724................55 16..............89 17....21 (188....... 64 .............. 336.........02 17...........89 586.........03 crores).....85 — — Less : Utilisation/Reversal during the year .. 97..... Group Share in Joint Ventures : Rs.55 crores)... 16...................89 crores) is in respect of diminution in value of certain assets substantially retired from active use... 0... The estimated amount of contracts remaining to be executed on capital account and not provided for as at 31st March.......................66 (iv) Premium on Redemption of Zero Coupon Convertible Bonds .....08 9... 118.22 0............61 (vii) Others ..........06 crores (2009 : Rs...29 crores).19 209......................70 crores (2009 : Rs. (b) Provision for Contingencies Rs.......Others Rs.................. 15... This relates to warranty provision made in respect of sale of certain products.............. 0..15 5....30 (ii) Others ........................09 1......32 89. 0. 18. (a) Provision ...................... 0.259..................................25 — — — — Add : Provision made during the year .... 0...12 crores (2009 : Rs. 5.....14 10...................06 170.................70 11..............49 (vi) Provision for Post Retirement Medical Expenses .................. the estimated costs of which are accrued at the time of sale.......... will result in sufficient future taxable income against which this can be realised)..... as there are compensatory timing differences the reversal of which. Group Share in Joint Ventures : Rs.............. 275....

.... PSL Erickson Limited 2.... Tech Mahindra Foundation [upto 22nd March....... 250.e.......35) (311. Name of the Company 1.............. No............ 0.............. Swaraj Automotives Limited 5................ (3........25 crores)...... 2010 ....... 3... 2010 on which date it got liquidated) 4.15 0......12 6...com Limited 9..........94 crores) in respect of current investments and Rs.............25) 3......... Mahindra Sona Limited 4...refer note 3 (iii)] Associates : Sl...... and profit on disposal of long term investments (Net) Rs..e.. Officemartindia.............. (a) Dividends on other investments Rs..... Amortisation of liability ......... the commencement of which has been delayed pending resolution of certain matters including receipt of approvals and outcome of court cases.f...... Mahindra Composites Limited 11...... Mriyalguda Farm Solution Limited 2.......... (6............................... 4.... Mahindra Construction Company Limited 8........ Satyam Computer Services Limited (w...............73 crores) on account of certain projects............... comprise of the following : Rupees crores 2010 2009 1.. 10...... Others .................................... 23rd March..... MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) 18....60 Total ....73 crores (2009 : Rs.. Name of the Company 1..29 Total ............. Kota Farm Services Limited 12.... Nil) in respect of long term investment................87 crores (2009 : Rs..... 2010) – (refer note 4) Joint Ventures : Sl......... net of current and deferred tax........ 22... Adjustments pertaining to previous years.......23 (76......... 100. Tech Mahindra Limited [w................................07 2....23 crores (Credit) [2009 : Rs..... 2.... 76........... 5th May..............................30 crores (2009 : Rs..................... 35...........68 crores (2009 : Rs.... Name of the Company Sl..................94 crores) includes Rs........ Related Party Disclosures : (a) Names of related parties where transactions have taken place during the year : Where Control exists : Sl..38 4..18 2................. Name of the Company 1. — (5....... Swaraj Engines Limited 6.............................. 2010 – refer note 3(iii)] 3................. 68............ 264....... — 154... Eco Engines (upto 15th January............. comprise of the following : Rupees crores 2010 2009 1.. 19...... Impairment of Assets ............... Transferred from Investment Fluctuation Account . 68........00 crores (2009 : Rs........ (Excess)/Short provision of Income Tax in respect of previous years ........ 100.. Restructuring Cost .. 2009 and upto 22nd March................... 12.................... Owens Corning (India) Limited 7............... No.. Work-in-progress – Property Development Activity and Long Term Contracts and Advances recoverable in cash or kind or for value to be received includes Rs...56 83.. (4...... Mega One Stop Farm Services Limited 3................ Mahindra Water Utilities Limited 5...............................................53 crores).. No... 250... (b) Profit on sale of investments (Net) includes profit on disposal of current investments (Net) Rs...........36 20.......... No...... Rathna Bhoomi Enterprises Private Limited 10. 21.....................30) 6. No.. Mahindra Inframan Water Utilities Private Limited 65 ..... Exceptional items of Rs.27 6.......87 crores (2009 : Rs. Name of the Company Sl............ 4..............................82) — 5........ 68..39 crores (Debit)].....39) Figures in brackets signify charge to Profit and Loss account.. Profit on divesture of Long Term Investments (Net) ..................................16) 2.... Other Adjustments ..f............................ 66............................

.........98) (—) (—) 66 .....N.........04) (—) (—) (—) 5....... Sales : Goods .....17 0...... — @ — — 10....... M&M Benefit Trust 3............ M&M Fractional Entitlements Trust (b) The related party transactions are as under : Rupees crores Sl................... Name of the Fund 1.............................86 (—) (—) (—) (—) (1.......85) (—) (—) (—) Dividend Distributed ... — 2... M&M Employee’s Farm Equipment Sector Employee’s Welfare Fund 5...... — 8.................... Nanda Welfare Funds : Sl.07) (—) (—) (—) 2.................. — 4. — 2......05) Dividend Received ..... Deputation of Personnel : To Related Parties ..31 — — (—) (2. Mr................. Doshi Mr.........00 (0...15 — — — (—) (0.. Mr.. — — — — — (—) (0..... M&M Employee’s Welfare Fund 4... — 16............................ Key Management Personnel : Vice Chairman and Managing Director ........46 — — — (—) (1...............91 89................................. Purchases : Goods .....52) (—) (—) (—) 4. — 308............... Companies Companies Ventures Management Funds # Personnel 1............................. Anand Mahindra Executive Directors .................22) (71..........07)* (—) (—) (—) (—) Diminution in value of other assets written back — @ — — — (—) (0............. — — — — 26......38) (0................22 — — — (—) (—) (—) (—) (—) Services ................99 — — (—) (6..................60 1....16) (—) (—) (—) Services ... — 0....................81 — — — (—) (0..........52) (0.............01) (—) (—) Fixed Assets ......99) (—) (—) 3.. Finance : Interest Received .. Provisions for : Doubtful Debts/Advances during the year ........55 — — (—) (236........................................K...............22 3............................ Mahindra World School Education Trust 2.... — 0.........................73) (2..........................21 — — (—) (1............... B............. No.......... A.........26) (—) (—) Fixed Assets . Nature of Transactions Subsidiary Associate Joint Key Welfare No.

..64) (1................ Nature of Transactions Subsidiary Associate Joint Key Welfare No..................00 (—) (@) (—) (—) (15..... ..........45)* (0...94) (12.53 2.... — 0............ Companies Companies Ventures Management Funds # Personnel 6... — 7......... Provision for Doubtful debts/advances ...03 — — (—) (0.. 2..33 — — 10. — 5.. — 4..................... Dividends .......... — — — 0...........52) (—) 12........18) (—) (—) (—) Other Expenses .......... 50......................00 14.....................59 — — — (—) (5.......01 — (8....85 3. # Transactions with Joint Ventures have been disclosed at full value......... — 1....459....00 — — (—) (—) (9...00) (—) (—) Previous year’s figures are in brackets..10 — (—) (30..... — 16.... MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) Rupees crores Sl....03) (—) (—) Reimbursements made to parties ..29 — — 25.... Issue of Ordinary (Equity) Shares ...........01) (0...........76) 14..92 (—) (7.01) (—) (—) (—) Reimbursements received from parties..................92 — 22....29 — — — (—) (0...... Outstandings : Payables ....00) 7..... Other Transactions : Other Income ..16) (—) 11.....67 — 0...... — @ — — 7.........04 0..... — — 9............ Guarantees and Collaterals given.73) (—) (—) (—) 8..84* 0.........20) (—) Receivables .............05 — (—) (—) (—) (0.................. * Amount pertains to Tech Mahindra Foundation...000.....95 — — — (—) (7.. — — — 6..... Provision for Diminution in value of other related assets .33) (—) (—) (—) 10.............................. — 5.00) Inter Corporate Deposits given ....00 (—) (5........ 67 ........ — — — — — (—) (—) (—) (—) (1.............65) (—) (—) (—) 9.... Stock Options ........ @ denotes amounts less than Rs........45 — (—) (—) (—) (0.. — — — 0...... — 0.......18) (—) (15.......56 — (—) (—) (—) (5...03) (—) (—) (—) Advances given by group companies ......................07) (—) 13................66) (2..... ........................00 (—) (19..... Managerial Remuneration ..

... Purchases – Services .....95 (2....47 (3.. Sales – Services .... Sales – Fixed Assets ....26) 5.... Sales – Goods ...22 Mahindra Sona Ltd 3.............16) 6...... Doubtful Debts/Advances ................................25 (—) 8.........72) (71....04) Mriyalguda Farm Solutions Ltd @ (—) 68 ... Kota Farm Services Ltd — (0.......52) Swaraj Automotives Ltd 0............................ Satyam Computer Services Ltd 0.......Write back of provision of doubtful debts/advances ...22 (—) 3........ Swaraj Engines Ltd — (0.......... Swaraj Engines Ltd — Mahindra Water Utilities Ltd 0...55 (225..46 (1................................. Purchases – Fixed Assets . Deputation of Personnel ............. Interest Received .........81 (—) 4...37 (—) 7.........Significant related party transactions are as under : Rupees crores Nature of Transactions Associate Companies Amount Joint Ventures# Amount 1 Purchases – Goods ....71) (2........32 (0.07) Satyam Computer Services Ltd 16................63 Mahindra Sona Ltd 89...........78) Owens Corning (India) Ltd 0...... Kota Farm Services Ltd @ (—) Mriyalguda Farm Solution Ltd @ (—) Mega One Stop Farm Services Ltd @ (—) 9...... Swaraj Engines Ltd 294.....................42 (0.... Swaraj Automotives Ltd — (0.... Mahindra Composites Ltd 0..21) Satyam Computer Services Ltd 1.. Owens Corning (India) Ltd 0......49 (—) Swaraj Engines Ltd 3.85) 10.. Swaraj Engines Ltd 8...................38) (0...95) Swaraj Automotives Ltd 0.....01) 2.........21 (1.

..............01) Satyam Computer Services Ltd 0........84 (—) (1......08) (—) Mriyalguda Farm Solution Ltd 0....... Swaraj Automotives Ltd 0... MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) Rupees crores Nature of Transactions Associate Companies Amount Joint Ventures# Amount 11.......45 (—) Owens Corning (India) Ltd — (12... Company Ltd (6..........55 Company Ltd (6....... Owens Corning (India) Ltd 0............ Payables .....63 Mahindra Sona Ltd 0.......00 (9.... Other Income ... Company Ltd (5...32) (0... Provision for diminution in value Mahindra Construction 6.67 (—) 14.26 Mahindra Sona Ltd 1........... Receivables .00) 19... Guarantees given ...98) Swaraj Engines Ltd 2.... Owens Corning (India) Ltd — (6..37) 18...... Mahindra Water Utilities Ltd 9.........03) Mahindra Water Utilities Ltd @ (—) 15..................29 Mahindra Sona Ltd 8.27 (—) 12......06) Mahindra Composites Ltd 0.....15 (—) (—) Swaraj Automotives Ltd 0.73) 20...99 of other related assets .......... Mahindra Composites Ltd — (0..06 (2......53 (—) 17. Swaraj Engines Ltd 0.......98 Mahindra Sona Ltd 0...... Mahindra Construction 2...66) Mahindra Composites Ltd 0.69) 6 ....... Dividend Received ...............53 Tech Mahindra Ltd 6.....03 (—) (0.......................27 (—) 16..........01) Satyam Computer Services Ltd 0. Mahindra Construction — Company Ltd (0.89) Mahindra Composites Ltd 0............ Other Expenses ...29 (—) 13.... Reimbursement made to parties .04) (12.........59 (outstanding) .70 (30.....54 Mahindra Water Utilities Ltd 1............................... Inter Corporate Deposits given Mahindra Construction 4.02) Swaraj Engines Ltd — (0.31 (0..17) Swaraj Engines Ltd 1............. Reimbursement Received from parties ......

... # Transactions with Joint Ventures have been disclosed at full value.......56 1......43% @ — @ — 7 ... 4.. Investment in Associates : No.............720 Basic Earnings per share (Rs..... 9...794 21.........44.....49) Mega One Stop Farm Services Ltd — (0..... 500 20...00% 0..54) 22.. 5 each in March......83% 0... 5 per share) .000 43.......43% @ — @ — 500 20........ 24..70...........894 Effect of potential ordinary (equity) shares on conversion of bonds/debentures ....478..97 — (0.769 54....... 2....20 1..826 Weighted average number of equity shares used in computing diluted earnings per share ..897 4.......45. 23...64) 26..50........794 21......000 43......50% 28..17 24.79 Diluted Earnings per share (Rs... 42.29 Amount used as the numerator for diluted earnings per share (Rupees crores) .....56.....49...64) 21......10 each into 2 Ordinary (Equity) Shares of Rs....49 (4......com Limited ..... Mriyalguda Farm Solutions Ltd 0.00% 0.24. 2010..00... 45. 7....... 5 per share) .. 50...98.......85 2. the Company has given effect to the sub division of its Ordinary (Equity) Share of Rs.. Mriyalguda Farm Solution Ltd @ (—) Kota Farm Services Ltd @ (—) Mega One Stop Farm Services Ltd @ (—) Previous year’s figures are in brackets.97) — Officemartindia.82 49..41 Effect on earnings of convertible bonds/debentures (Gain)/Loss (Rupees crores) ..) (Rupees crores) Unquoted : Owens Corning (India) Limited ..) (Face value of Rs..22 — (0....12 (7................................12 (7......94.... 2............73 54..22) — Rathna Bhoomi Enterprises Private Limited ....... Earnings per Share : 2010 2009 Amount used as the numerator – Net Profit (Rupees crores) ........ 2.54............50% 28...64 17.70 Weighted average number of equity shares used in computing basic earnings per share ..422...405.......... 59.31.97 — (0.54 (—) Mahindra Construction Company Ltd 4..84.. 54...... @ denotes amounts less than Rs..94 Mahindra Construction Company Limited ........22) — 7......81........... Rupees crores Nature of Transactions Associate Companies Amount Joint Ventures # Amount 21.49..38........14 In the computation of earnings per share for the periods above......666 58......81... Advances given ...38......08 25...........00......97) — 9.) (Face value of Rs..997 50..997 50.....83% 0.000...511.... 32........22 — (0.........24.. Provision for doubtful debts/advances .. of Equity % of Cost of Goodwill/ Share in Carrying shares held Holding Investments (Capital accumulated Cost (Equity reserve) Profit/(Loss)/ Shares) Reserves (Nos..

.500 37.. 7 .....72 5...73....35) — .........34) — Mega One Stop Farm Services Limited .. of Equity % of Cost of Goodwill/ Share in Carrying shares held Holding Investments (Capital accumulated Cost (Equity reserve) Profit/(Loss)/ Shares) Reserves (Nos.. 54.....................14 81.22% 1..........37% 0..37% 0...........56% 2....000 33..........37.......97 @ denotes amounts less than Rs..45 (1.... MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) No.......17 10....203 30......29 31....62 13........23 Swaraj Engines Limited .51.36) 9........35 0..27) — Mriyalguda Farm Solution Limited .....73.03 (0.......543 44.....15 — — 0......85 Total………..27 — (0... — — — — — — — — 0.19% 12.34 — (0....... 3..) (Rupees crores) Kota Farm Services Limited . 13.....000 37. 50...63 (1.34) — ....27) — ..........17 19...19...... 2...90 0... 3......000 37......55 2.....63 (1...99) 3.55 2...........85 50...37% 0...56% 2.......37% 0.45 (1.....27 — (0.417 33. 10......34 — (0.99) 4..19% 12....... 2..41...420 37....37% 0........37% 0................87 10............09 Quoted : Mahindra Composites Limited ..26.. 3...22% 1.........42 16...420 37.......203 30......03 (0.....41...88 Total……….. 97.......40 15.....37.35) — Eco Engines (upto 15th January.59. 41.........36) 18....... 2010) .......51...90 0.543 44..80 Swaraj Automotives Limited ...........500 37.......59.....33 5..000.......80 41............15 Total……….. 3............ 42.......35 0..

46 3.891.14 499.10 4.04 expenses (Net of income) 93.95 Less : Adjustments pertaining to previous years 4. 2. (2.570.662.57 1.711. 134.850.86 .62 (1.27 .705.64 121.399.11 9. 58.41 4.48 .46 8. .36 290.37 Exceptional Items allocated (6.624. .82 Unallocable Corporate 143.03 586. .91 94.18 Net External Revenue 11.01 35.69 83.824.389.25 Add : Interest Income not allocable to segments 124.590. .31 4.51 97.66 21.41 1.986.27 Profit for the year before Minority Interests 2.654.43 2.43 2. 2.56 669.713.10 (1.26 1. .84 .85 1.61 428.08) . 28.18) - 18.10 .59 9. 82.689.04 8.83) 26.18) 31.406.Business Segment Rupees crores Automotive Farm IT Services Financial Steel Trading Infrastructure Hospitality Systech Others Eliminations Consolidated Equipment Services and Processing Total REVENUE Gross External Revenue 13.102.55) Segment result after 1.97 1.24 6.628.50 578.21 82.121.64 1.260.446.72 667.50 415.20 17.800.28 333.46 406.406. .07 89. .15 Less : Excise Duty on Sales 1.08) (108.64 Less : Interest Expense not allocable to segments 565.076.37 406.87) .083.12 6.32 524.75 4.91 94.453.32 506.364.029.579.546.12 1.27 (1.342.631.51 1.59 Share of Profit of Associates 19.47 875.30 4.654. 4.26 1.00 93. .63 11. 196.36 .628.28 333.681. 25.072.00 93.58 2.18 (46.30 158.97 RESULT Segment result before 1.126.51 9.85 667.692.240.126. (1.36 524.40 6.11 856.43 350.66 1.86 (46.254.716.57 Add : Exceptional Items Unallocable to segments 167.766.42 1. 2.85 1.21 82.46 8.09 0.12 Less : Income Taxes – Current Tax including Fringe benefit tax 1.839.80 .68) .31 11.32 .101.97 Inter Segment Revenue 5.56 35.09 3.016. 26.49 1. 94.09 1.01 (108.254.101.96 .733.323.32 590.80 80.66 23.42) .84 136.64 117.08 415.14 499.11 4.39 375.993.92) 35.71 965.12 506.824. . 2010.71 500.14 (1.281.12 339.83) - Total Revenue 11.96 2.471.23) .17 210. Segment Information : 7 Segment Report for the year ended 31st March.131.21 910.36 Balance of Profit for the year before Share of Profit of Associates 2.860. 42. .01 (109.47 23.66 1.132.08) .53 13. 33.766.09 3.37 406.14 664.31 4.71) .94 .85) (108. Primary Segment Disclosure .51 1.94 646.276.821.82 305. 2.76 1.13 1. (159.17 .026.54 to Segments (156.74 35.77) . .71) .25 Profit for the year before prior year adjustments 2. 4.80 80.16 10.871. 31.92 – Deferred Tax (85.32 632.378. .42 .27 6.72 19.590.58 9.92 959.62 exceptional items 100.875.06 339.08 exceptional items 257.570.303.18 Operating Profit 4.389.72 158.56 728.16 Profit before Tax 4. (4.

97 5.97 3.84 233.724.51 1.56 932.51 16.24 1.291.31 13.79 7.83 12.25 432.380.66 920.636.07 32.618.57 27.88 163.873.84 Unallocable Corporate Liabilities 7.26 Total Liabilities 22.42 951.00 108.83 9.306.71 – 24.65 818.28 8.861.44 1.60 92.77 3.80 14.77 1.51 721.965.86 685.18 197.11 – 27.85 100.688.57 6.57 248.69 Non cash expenditure other than depreciation – – – – – – – – – – – – – – – – – – MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) 73 .27 112.38 1.02 156.29 172.636.88 10.08 8.44 9.675.12 1.364.19 180.61 5.58 Segment Liabilities 2.170.764.93 72.89 Depreciation/Amortisation 280.77 730.10 Capital Expenditure 1.05 528.94 602.78 297.038.52 9.60 122.74 320.247.328.02 2.76 31.872.92 Total Assets 35.68 249.68 106.07 2.15 21.455.62 2.370.49 1.753.313.591.507.496.344.08 21.02 8.64 136.87 2.947.64 14.662.41 1.40 366.61 7.61 272.730.731.33 2.63 7.75 8.212.53 189.33 479.374.48 245.74 120.004.66 Unallocable Corporate Assets 8.68 19. Segment Information (Contd) : Rupees crores Automotive Farm IT Services Financial Steel Trading Infrastructure Hospitality Systech Others Eliminations Consolidated Equipment Services and Processing Total OTHER INFORMATION Segment Assets 6.

.......................082............038............55 Notes : 1..77 364......05 138..........461..........692.......... 2............058............... Business Segments The Group has considered business segments as the primary segment for disclosure. 33........27 Income from Loan.......... Retained Interest in securitised Asset & Securitisation ............16 33............. Secondary Segments The geographical segments are considered for disclosure as secondary segment....300........... leasing and hire purchase of automobiles and tractors............... Others comprise of Logistics.............57 27.. etc..............................77 364............... Hospitality comprises of sale of Timeshare............717................................................................... After-market......... project management and development..........903.......839.......................839.....66 2...........................Secondary Segment Disclosure ..........................26 160..... Overseas segment includes sales and services rendered to customers located outside India.... The segments have been identified taking into account the organisational structure as well as the differing risks and returns of these segments................63 Income from Services rendered ........59 199. 24...........41 Other allocable income * ......................01 3............... 271.. Infrastructure comprises of operating of commercial complexes..... 30.........05 5................................................. spare parts and related services...... 1.......... Domestic segment includes sales to customers located in India and service income accrued in India..90 Scrap Sales ....850............... 74 ...................................59 24................................373...........739.... Farm Equipment Segment comprises of sales of Tractors..15 Segment Assets .14 4. Systech comprises of Automotive components and other related products and services..................................................76 1.........10 Others ................................64 3................ 25.... 6........... 2...54 81........................07 Hire purchase and lease income ..............83 8................015. Segment Revenue comprises of : Rupees crores 2010 2009 Sales ............... 419.....610..............98 Dividend ............................03 Total ...........................................................................54 16............Geographical Segment Rupees crores Domestic Overseas Total Revenue from External Customers .................................49 21...... Financial Services comprise of services relating to financing......................15 Rupees crores 2010 2009 *Other allocable income includes : Interest Income ............ 0......534........ Automotive Segment comprises of sales of automobiles.. 124..01 28...........................100....55 Income from long term contracts ......054...................12 165.868....... 327.................934......................... spare parts and related services.............................................43 3........... Investment...........................90 1........ IT Services comprise of services rendered for IT and Telecom....... 82...... 419.....97 21... Two wheelers.............22 Total .........21 Commission ...................................170............. 10.........59 28.22 26....................88 203..........................364.. 12.........00 24. Previous year’s figures have been regrouped/restated wherever necessary................692.........52 2..... Steel Trading & Processing comprises of trading and processing of Steel...............028................................40 2.........................66 Capital Expenditure ............................

(13.76 (0. # 8. 4.65 1. .98 1.04 229. 0.57 176. (@) .07) - EFF Engineering S.35) 2.17 57.73 0.06) 0.43) .09 203.19 .33) 29.05 3.09 (13.12 27.04 0.r.01 .60 23. 3.35 4.42 (0.01 (@) 0.48 10.60 .39 126. 0. 78.15) 57.97) 200.53 - Mahindra Engineering GmbH # 0.29 7.17 10.96 0.82) 89.07) 1.23) @ (12.06 0.71 85. (@) .82) .03 (6. # 0.07 0.35 0. .33 0.03 7.58 0.83 .14) - Mahindra Gears International Limited # 139.03 @ 0. (6.33 (3.49 (0.l.05 258.72) .35 (12.18) .66) - Gesenkschmiede Schneider GmbH # 74. .36) - Mahindra Aerospace Private Limited 10.60 0.32 144.85 160. 120.41 0. (0.93 6. 0. 0.19) - Falkenroth Umformtechnik GmbH # 6. .02 - Mahindra Forgings International Limited # 489. .72) - Mahindra Forgings Europe AG # 84.48 .41 . 50.36 0.58 48.58) - Mahindra Consulting Engineers Limited 1.95 . (0.04 7.66 (74.13 28.30 (0.43 (21.01 0. 1.37 4. (3.51 Mahindra Europe S.65 6.37 0.19 66.59 198.50) 36.44 6.82 3.71 1.01 0.04) 8.72 282.01 (0.18) - Mahindra First Choice Wheels Limited 63.05 15.01) 0.56 20.19 29. 20.57 33. Limited # 3.20 38.96 0.24) - Bristlecone India Limited 19. # 99.02 (0.46 .96 0. - Mahindra & Mahindra Financial Services Limited 95.19) 23.73) - Mahindra Gears & Transmissions Private Limited 7.45 4. Details of Subsidiary Companies Rupees crores Details of Capital Investments (including (excluding Proposed Name of the Subsidiary Preference Reserves & Total Total Investments in Gross Profit Provision Profit Dividend & Capital) Surplus Assets Liabilities subsidiaries) Turnover before Tax for Tax after Tax Tax thereon BAH Hotelanlagen AG # 0.41 Mahindra Conveyor Systems Private Limited 0.55) 0.82) - Mahindra Engineering Services (Europe) Limited # 0.01 (0.30 (0.75 1.14 5.91 6.11) 4.07) - Industrial Township (Maharashtra) Limited 5.38) 66.18 342.21 51.43) - Mahindra Bebanco Developers Limited 0.68 . (0.04) - Jeco-Jellinghaus GmbH # 31.43 .10) (2.53 0.88 (93.67 (4.95 138.43) - Heritage Bird (M) SDN.61 (51. BHD # 0.41 .12 0.55 (1.26) .06 8.24 0.41 0.01 0.77 0.38 (4.72 0.63 - Mahindra (China) Tractor Company Limited # 103.02 7.79 0.84) 7.62 - Bristlecone Limited # 74.08 (6.07) 45.02 (94.21 1.l.18 282.99 (14.08 @ - Engines Engineering S.20) - Bristlecone GmbH # 0. 61.26 (0.11 (14.10) - Crest Geartech Limited 0. 0.20 (1. . (@) - Mahindra Engineering & Chemical Products Limited 5.65 1.42 24. BHD # 0. 82.29) 259.29 .60 (4.82 .85 (7.28 0.27) 10.26 9.04) 3.631.66 0.81 .00 3.30 1.37 1.57 28.45 . 3.56) . 15.54 71.92 0. 3.60 13. (0.54 .888.13 - Mahindra Castings Limited 33.77 160.44 (12. 0.18) 0.09) - Mahindra Graphic Research Design S. (0.02 .10 76.41 0.05 (0.15) - Jensand Limited # 0.04) .70 9.02 40.03 Mahindra & Mahindra South Africa (Proprietary) Limited # 32.81 1.12) 0.l.99 (6.139.02 (0.73 71. (0.13 73.02 4.89) - Mahindra Automotive Australia Pty.01) (0. 85.18 (88.31 - Defence Land Systems India Private Limited 34.01 (20.84) .38 .01 (@) 7. (0.63 (13. 0.000.22 . (0.82 520. (@) - Mahindra EcoNova Private Limited 0. (0.07 0. # The financial statements of the Foreign Subsidiaries have been converted into Indian Rupees at the 31st March.04 123.76 0.02 84. MAHINDRA & MAHINDRA LIMITED (CONSOLIDATED) 75 .04 .12 .55 1.50 25.82 .51 .84) - Bristlecone Singapore Pte.69 (3.26) - Mahindra Forgings Limited 87.82 687.37 77. Limited # 5.23) (90.08 (0.90 4.68 326.67 .79 45.17 (14.21 63.10) .41 . 18.38 8.65) 1.51 140.34 .30 0.66 76. 8.70 (3.76 0.90 0.08) (0.06 5.02 (0.77 (40.42) 687.78 .36 (1.83) 229. .78 200.01) - Mahindra Business & Consulting Services Private Limited 0.33 63.68 258. 2010 exchange rate. 1.98 48.36) .41 1.09 8. 0.20) 140.68 127.56) - @ denotes amounts less than Rs.22 1.10 .03 (3.16) 0.38 7.18) . (6.29 (13.00 76.20 9.03 - Bristlecone Inc.91 .54 258.01 98.40 39.17 - Mahindra Engineering Services Limited 8.01 0. .65 - Mahindra First Choice Services Limited 16. (4.20 8.r.57) 0.01 (0.r.l.12 13.21 0.44) (5.09 (0.70 292.85 21.77) - Bristlecone UK Limited # 15.20 0.r.75 - Bristlecone (Malaysia) SDN.02 . 105.139.45 5.60 1.56 127.89) .29) 13.04 .50 77.20) 138.13) - ID-EE S.23 (16.00 315. 11.43 33.33 .25) 7.89 36.86 697.38 1. 7.73 (8.00 (0.44 Mahindra Gears Cyprus Limited # 0.34 89.83 0.95 (0.888.13 3.33 5. # 6.08 (53.67 7.12 1. . # 0. (0. # 0. 19. .56 1.553.97 (93.87) - Mahindra Forgings Global Limited # 204.14) .86 (1.09) .r. 13. .14 .00) 0.08 0.84 (94.22 (4.89 . (16.55 2.15 (13.18) - Mahindra Gears Global Limited # 260.22 349.46 3.00 76.19 . (4. (8.14 0.76 0.01) .83 259.02) (1.l. (0.

.11 8.69 (44.13 0. .88 203. 0.07 14. (81.30 .96 (81.08) .06) 0.88 117.90 29.01 0.30 .06) - Mahindra Holidays and Resorts India Limited 83. (0.00 (0.18 0. GmbH # 30.66 30.50 (59.87 - Mahindra World City (Maharashtra) Limited 1.30 18.32) 1.85 195.96 (4.54 - Mahindra Steel Service Centre Limited 9.18 (43.62 .93 7.34 2.10 - NBS International Limited 0.45) (1.80 Mahindra United Football Club Private Limited 0.39) 27.49 56. 50.55 4.p.72 510.01 0.96 5. 269.76 0.63 131. 565.00 – 16.94 6.05 (0. 0. .95 289.41) (50.64 .98 (4.59 75. (0. 362. .96 0.43) 0.27 51. # @ 0.41) 233.16 Mahindra Shubhlabh Services Limited 38.01 (0. .24 1.74 (3.05 (0.34 (37.05 76.71 0.84 19.54 (13.03 70.05 (0.84 (48.53 (23.72 3.99) 0.04 0.68 .52 86.42 759.92 6.12) .40 (0.82 0.02) (0.05 (0.72 58.36 117.54 .34 (8. @ @ .22) .00 0.81 - Metalcastello S.32 142. (0.44) - Mahindra Intertrade Limited 16.08 82.06) .31 .59 Mahindra Integrated Township Limited 50.18 .65 (91.70 .63 3.34 78.01) - Mahindra Infrastructure Developers Limited 18.81 20.50) .01) . - Mahindra USA Inc.84 . .41) .01 – .91) - Mahindra Ugine Steel Company Limited 32.26 (559.50 (119.38 17.30 759.52 .08 . (32.22 .01 29.62) (2.70 714. 3. (0.38 3.00 (21.06 (25.82) .28 - Mahindra Navistar Automotives Limited 405.611. .30 (39.53) .09 5.23) - MHR Hotel Management GmbH # 0.43 1.33 18. 6.78 11.86 8.23 0.04 (4. 0.94 Mahindra Logistics Limited 49.96 (96.471.89 51. CMYK Details of Subsidiary Companies Rupees crores 176 Details of Capital Investments (including (excluding Proposed Name of the Subsidiary Preference Reserves & Total Total Investments in Gross Profit Provision Profit Dividend & Capital) Surplus Assets Liabilities subsidiaries) Turnover before Tax for Tax after Tax Tax thereon Mahindra Gujarat Tractor Limited 20.96) 75.06 203.07 0.00 21.44) (@) (4.12) .22) - Mahindra Rural Housing Finance Limited 13.01) .59 0.74 277.03 89.30 233.611.59 519. .59 – 351.01 .58 1.37 14.181. .09) 1.02) .66) 241. (@) - Mahindra Renault Private Limited 199. (0.95 (8.01 51.12 79.08) 3.92) - Mahindra Vehicle Manufacturers Limited 585.23 (13.32) 56.13 0.43) - Mahindra World City (Jaipur) Limited 170. # 0.24 107.78 510.60 153.52 15.23 603.98 27.82 30. . 2010 exchange rate.17 16. . .66) .84) - Mahindra Metal One Steel Service Centre Limited 0. .01 – 10.30) 580.36) 86. (@) .44 18.33 391.000.20 – 15.01 0.10 16. - Stokes Group Limited # 10.41 90.02) 0.59 (32.63 (3.89) 839.126.81 907.21 0. (25. (0. . # 63.60 - Mahindra Technologies Services Inc.03 839.41 84.00 131.81 3.53) - Mahindra Residential Developers Limited 0.45 20.49 1. # 120. .36 1.34 24.98 0.85 5.00 9.64) (9.88 .04 1.77 33. 0.24 88.36 16.12) - Mahindra Middleeast Electrical Steel Service Centre (FZC) # 2. (0.00 (28.00 0.05 0.48 137. (3.40 495.02 - Mahindra Holidays and Resorts (USA) Inc.87 741. (0. 0.12 (0. 258.88 (25.03 0.34) 199.23) 7. .33 3.61 88.23 0. .82 .42 0.09) - Mahindra Overseas Investment Company (Mauritius) Limited # 265.01 0.31 78.31 11.04 .A.45 15.52 199.02) - Schöneweiss & Co.04 1.96 176. (0.55 24.471.65 341.68 241. 4.03) (0.03 26.18) - Raigad Industrial and Business Park Limited 0.59 0.28 . 226.76 277.91) .05 0. . (3.06) - Retail Initiative Holdings Limited 0.02 - Mahindra Holdings Limited 22.42 1.27 (51.02) 391.54 (19. (96. (0.10 (14.01) - Mahindra World City Developers Limited 85.19 3.20 40.67) 84.01 (@) 0. 131.95 (0.50 24. 902. 98.66) - Mahindra Navistar Engines Private Limited 165.57 103.52 Mahindra Knowledge City Limited 21.36 408.66) 519.03 946.66 3. 30. (19.64 580. - Stokes Forgings Limited # 0.62 1.39 0.41 .49) - @ denotes amounts less than Rs.48 16.97) 40.60 11.94 5.84 289.28 - Mahindra Insurance Brokers Limited 0.97 4.61 0.13 .85 1.82) - Mahindra Retail Private Limited 95.33 - Mahindra Two Wheelers Limited 147. .15 10.66 142.40 2.20) (0.31 (25.11 0.73) 2. (0.43) .34 0.55 52.39 23.29 Mahindra Hotels and Residences India Limited 0.94 89.30 2. 68.54 (10.84 39.08) - Mahindra Punjab Tractors Private Limited 0. # The financial statements of the Foreign Subsidiaries have been converted into Indian Rupees at the 31st March.41 (0.95 Mahindra Yueda (Yancheng) Tractor Company Limited # 283.72 15.19 .126.00) - Stokes Forgings Dudley Limited # @ .32 0.93 5.12 52. (10.01) - Mahindra Life Space Developers Limited 50.01) .50) - Mahindra-BT Investment Company (Mauritius) Limited # 53.26 49.65) 23.29 356.95 1.86 1.30 14.04 .23 75.90 52.22 29.87 4.88 (0.31 0.27 408.09 0.23 .93 (24.52 0.50 28.09) (0.

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INFOMEDIA 18 LIMITED .