Central Province Management Discussions

Director are pleased to present the Management Discussion and Analysis Reports for the year ended March 31, 2018 as under:

> Overview :

The Management Discussion and Analysis Report provides an overview of the affairs of the Company, its business environment, mission and objectives, outlook, operational performance, its resources and systems, strengths, opportunities, constraints, risks and concerns, strategies, prospects, etc.

> Industry Structure:

With the Foreign inflow of Funds in the Indian Railways, the Industry looks forward for major turnaround and growth in all aspects of industry.

> Opportunities and Threat

The continued losses and halted operations of the Company causes a threat reenter the business but Directors and Management of the Company are hopeful to overcome the threat and commence the operations of the Company with new energy and Zest.

> Business operations:

The Central Railway had demanded a sum of Rs.18.72 Crores in December 2002 towards repairs, rehabilitation, renewals and replacements of the railway assets. During the year also the dispute remains unresolved.

The Company has disowned the liability on the ground that these liabilities being in the nature of replacement are to be borne by the Central Railway, as per the Contracts. But in spite of disowning the liability by your Company, the Central Railway has adjusted an amount of Rs.2,30,12,005/- being the railway earnings of your Company for the period from Octomber,2002 to March,2018. Hence, your Company thought it proper and as an abundant caution and not to harm the interest of shareholders of the Company and therefore decided not to include the said Income from railways amounting to Rs. 6,64,703/- in the Accounts for the year ended 31st March, 2018.

> Out Look

Outlay for railway electrification increased by 50 per cent; 2,000-km route to be electrified next fiscal. Railways to generate 9 crore mandays in financial year 2017-18 and 14 crore mandays in 2018-19. Railways to get Rs 40,000 cr budgetary support from the government.

> Internal control System

The Company has not carried on any operations during the year but the Company has an adequate internal control system commensurate with the size of the company and the nature of its business which ensures that functioning of the Company is managed efficiently and effectively, assets are safeguarded, regulatory compliances are complied with and transactions are recorded after appropriate authorization.

> Human relations

The Company did not have any employee during the year under review and hence, no reporting required under this head.

> Forward Looking and Cautionary Statements:

Management Discussion and Analysis contains forward-looking statements concerning the Companys future plans, strategies, and performance.

Registered Office: By Order of the Board of Directors
Unit No. B-35, Ganjawala Shopping Center, For The Central ProvinceRailways Co.Ltd
S.V. P. Road, Borivali West, Sd/-
MUMBAI- 400092 Mr. Haresh Bhojwani
Dated : 05th September 2018 (Din 02895523)