York Exports Ltd

The Directors have pleasure in presenting their 25th Annual Report of the company together with the Audited Statements of Accounts for the year ended 31 03 2007

FINANCIAL RESULTS

PERFORMANCE REVIEW

During the year under review, the company has achieved a sales turnover of Rs 738 28 Lacs as compared to Rs 801 41 Lacs for the previous year The company has earned a Profit of Rs 52 60 Lacs as compared to profit of Rs 46 71 Lacs for the previous year

DIVIDEND

Your directors have decided to conserve the resources for future requirements and hence do not recommend any dividend for the year under review

ENERGY, TECHNOLOGY ABSORPTION & FOREIGN EXCHANGE

Information in accordance with the provision of sec 217 (I) (e) of the Companies Act, 1956 read together with the Companies (Disclosures of Particulars in the Report of Board of Directors) Rules, 1988 regarding conservation of energy, technology and foreign exchange is given in the statement annexed hereto and forms part of this report

PUBLIC DEPOSITS

During the period under review your company has not accepted any deposits from public pursuant to the provisions of section 58-A of the companies Act, 1956

DIRECTORS RESPONSIBILITY STATEMENT

In accordance with the provisions of section 217 (2AA) of the Companies Act, 1956 the Directors confirm that

i) In the preparation of the annual accounts, the applicable accounting standards have been followed along with proper explanation relating to the material departures

ii) Such accounting policies, judgments and estimates are applied consistently that are reasonable and prudent so as to give a true and fair view of the state of affairs of the company at the end of the financial year and of the profit of company for that period

in) Proper and sufficient care has been taken for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 1956 for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities

iv) The annual accounts have been prepared on a going concern .basis

CORPORATE GOVERNANCE

Matters giving strength to corporate governance are being reviewed / finalized by the company in consultation with Auditors & Corporate Experts

AUDITORS

M/s Nanda & Bhatia, Chartered Accountants, the statutory auditors of the company retire at the conclusion of forthcoming Annual General Meeting and are eligible for re-appointment The company has received a certificate u/s 224 (1-B) of the Companies Act, 1956 from the retiring Auditors of the company that their re-appointment if made, shall be within prescribed limits

AUDITORS REPORT

The comments of the auditors have been explained in the notes on accounts The company has ascertained the accrued liability on account of gratuity payable and shall be provided in the current financial year ending 31 03 08

INDUSTRIAL RELATIONS

Industrial relations continued to remain cordial throughout the year and the Directors express their appreciation towards the workmen for their co-operation and hope for continued cordial relations in the years to come

LISTING OF SHARES

The equity shares of the company are listed on 1 The Ludhiana Stock Exchange Association Limited, Ludhiana 2 The Delhi Stock Exchange Association Limited, New Delhi 3 The Stock Exchange, Mumbai 4 The Jaipur Stock Exchange Limited, Jaipur

The company has made compliance of the listing agreement including payment of annual listing fee.

DIRECTORATE

In accordance with the provisions of the Companies Act, 1956 and the Articles of Association of the Company Sh Ashwani Dhawan and Sh Anil Bansal, retire by rotation and being eligible offer themselves for re-appointment

PARTICULARS OF EMPLOYEES

None of the employees of the company was in receipt of a remuneration of Rs 24,00,000/- or above during the year under consideration nor was any employee of the company paid a salary of Rs 2,00,000/-or more per month during any part of the year None of the employees of the company was drawing remuneration in excess of that drawn by any director and holds by himself or along with his spouse and dependent children more that two percent of the equity shares of the company

ACKNOWLEDGEMENTS

The board expresses its appreciation for the valuable assistance, co-operation and support received from Company's Bankers, Central and State Government Authorities and Shareholders

ANNEXURE TO DIRECTORS REPORT

Information as per section 271 (I) (e) read with the Companies (Disclosure of Particulars in the Report of Board of Directors) Rules, 1988 and forming part of the directors report for the year ended 31s1 March, 2007

A. CONSERVATION OF ENERGY

Your company always remained conscious to conserve the energy and has attempted measures for the same wherever possible in order to achieve the reduction in the cost of production The total energy consumption as per Form-"A" is enclosed

B. TECHNOLOGY ABSORPTION

Efforts made towards technology absorption are as under

1) Research and Development

The company has made continuous efforts for the development of new lines of activities and modernization of the existing process of manufacturing. The Company is adopting the most suitable manufacturing technology for saving in the cost of production, electricity consumption and personnel

2) Technology Absorption, Adaptation and Innovation

The Company is adopting the well- established technology with the scope of savings in the cost of production, energy consumption and capital cost in terms of the quantum of production The Company is making continuous efforts towards the product development, product improvement in the shape of quality and cost reduction

C. FOREIGN EXCHANGE EARNINGS & OUTGO

FORM-A

(See Rule-2)

FORM FOR DISCLOSURE OF PARTICULARS WITH RESPECT TO CONSERVATION OF ENERGY POWER & FUEL CONSUMPTION