GAMMON INDIA LIMITED

Franco Tosi Meccanica S.p.A.
Services and work in progress
Revenues from providing services are recognized in income statement at the moment said services are
completed.
As for works in progress, they are measured based on the status of completion of work. Whenever the
results of the agreement cannot be reliably evaluated, revenues are recognized only to the extent that
costs are deemed to be recoverable.
The costs for purchasing goods and services are recognized in the income statement on accrual basis
and develop into decreases in economic benefits, which occur in the form of cash outflows, or of
impairment of assets or incurring a liabilities.
Interests are recognized based on the principles of competition in accordance with the content of the
agreement itself.
5.2 Information on net equity and income statement
We remind you that unless otherwise specified, amounts are expressed in Euro.
The following explanatory notes refer to the statement formats under par. 1 and 2.
NET EQUITY
ACTIVITY
Total Non-
Current
12.31.2008 12.31.2007
Current Total Non-
Current
Tangible assets 135,961,428 135,961,428 134,459,664 134,459,664
Intangible assets 1,125,364 1,125,364 705,371 705,371
Participations in controlled companies 0 0 42,826 42,826
Participation in other companies 5 5 5 5
Deferred income taxes 4,091,000 4,091,000 4,123,020 4,123,020
Current
Trade receivables 68,818,603 68,818,603 83,340,350 83,340,350
Other receivables 9,995,426 1,363,721 8,631,705 6,244,534 35,112 6,209,422
Inventories 8,185,311 8,185,311 7,566,817 7,566,817
Cash and cash equivalents 8,340,739 8,340,739 1,232,098 1,232,098
Tax receivables 19,537,007 19,537,007 17,432,983 0 17,432,983
Total 256,054,883 142,541,518 113,513,365 255,147,668 139,365,998 115,781,670
11/26
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