1994 DIRECTORS' REPORT M.S.READY FOODS LIMITED TO THE MEMBERS The Directors have great pleasure in presenting to you the Sixth Annual Report of the company, together with the Audited Accounts for the year ended 31-03-1994 and Auditors' Report thereon. ACCOUNTS As there was no commercial activity during the period under report, no Profit and Loss Account has been prepared. The Fixed Assets together with incidental expenditure during the construction amounts to Rs. 76.02 crores as at 31.03.1994. PROJECT The company has commenced commercial production on 7th April, 1994. The first export consignment has been shipped on 12th June 1994. The market is very encouraging and the company is expecting repeated orders shortly. DIRECTORS Sri H.A.B.Parpia and Sri N.S.Randhawa retire by rotation and being eligible offer themselves for re-appointment. AUDITORS M/s. M.S.Reddy & Company, Chartered Accountants, retire at tne forthcoming Annual General Meeting and being eligible, offer themselves for re- appointment for the next year. The Auditors' observation in their report to members have been carefully considered by the Board. The company is taking necessary steps to introduce an internal audit system commensurate with its size and nature of business besides formalization/streamlining of various systems and procedures in the wake of auditors report. Steps have also been initiated to ratify/regularise the specific transactions commented upon by the auditors. CONSERVATION OF ENERGY The Disclosures on Conservation of Energy, Technology Absorption and Foreign Exchange Earnings and outgo as required by Section 217(i) of the Companies Act, 1956 are not applicable since there was no commercial activity during the year under report. ACKNOWLEDGEMENT The Directors wish to place on record their profound appreciation of the help and assistance given by the Financial Institutions, Banks, Government Departments and suppliers. The Directors wish to place on record the support an encouragement received from M/s.Rheinhold & Mahla, Germany, the Foreign Collaborators. The Directors also acknowledge the dedicated services rendered by all the Employees of the company. BY ORDER OF THE ROARD P.KUMAR T.V. RAJA REDDY DIRECTOR VICE CHAIRMAN AND MANAGING DIRECTOR Place : Bangalore Date : 30-06-1994