(A) Notes on Financial Statements

1. The SSI status of the creditors is not known to the Company; hence the information is not given.

2. Salaries includes directors remuneration on account of salary Rs. 18,00,000/- (Previous Year Rs. 3,60,000/-)

3. Trade receivables, Trade payables, Loans & Advances and Unsecured Loans have been taken at their book value subject to confirmation and reconciliation.

4. Payments to Auditors:

5. The Company has invested in stock as Sai Kalyan Kendra is opening in the next fiscal year.

6. Loans and Advances are considered good in respect of which company does not hold any security other than the personal guarantee of persons.

7. No provision for retirement benefits has been made. The impact of the same on Profit & Loss is not determined.

8. All assets and liabilities are presented as Current or Non-current as per criteria set out in Revised Schedule VI to the Company’s Act, 1956 Notified by the Ministry of Corporate affairs vide Notification No. SO447 (E) Dated 28th February, 2011 and SO653 (E) Dated 30th March, 2011. Based on the nature of operation of the company and realization from the trade receivable, the company has ascertained its operating cycle of less than 12 months. Accordingly 12 months period has been considered for the purpose of Current /Non-current classification of assets & liabilities.

9. Previous year figures have been regrouped /rearranged wherever necessary.