CONTENTS Proxy Form 65

Essar Steel LimitedAs at31st March 2008Rs. CroresAs at31st March 2007Rs. CroresPrinting and Stationery 0.09 0.76Professional Fees 0.93 21.38Operating Lease Rent 0.15 0.91Rates and Taxes 0.25 1.12Vehicle Hire and Maintenance Charges 0.24 2.53Miscellaneous Expenses 0.62 4.05Service charges — 0.01Finance CostTerm Loan Interest 25.79 141.75Debentures — 7.98Capex LC Charges — 1.94Bank Guarantee and Other Charges — 19.29Forward cover cancellation (gain)/loss — 17.8831.14 284.54Add: Balance brought forward from previous Year 102.52 157.99133.66 442.53Less: Allocated/transferred during the Year 100.80 340.01Balance carried forward to next year 32.86 102.52Total Capital Work-in-Progress [(a)+(b)+(c)+(d)] 575.12 1,107.78* The expenditure debited to Profit and Loss Account are net of above expenditure during construction period.24. Long term advances from customer are secured by a guarantee from financial Institutions which has a charge on the company’s assets.25. (a) The Company has redeemed 20,29,24,832 0.01% Cumulative Redeemable Preference Shares (CRPS) of Rs. 10 each at a premiumof Rs. 2.50 each, during the year.(b) The Company has issued 4,35,98,951 10% CRPS of Rs. 10 each. Each CRPS will be redeemable at par in 12 equal monthlyinstallments commencing from October 01, 2017 to September 01, 2018. The Company shall have option to redeem the CRPS at parin one or more trenches from any or all of the existing holders, anytime after the date of allotment together with arrears of dividend ifany and the Board shall give one month’s notice for any such redemption to the registered holders of the CRPS.26. The Company has initiated the process of identification of suppliers registered under the Micro, Small and Medium Enterprises DevelopmentAct, 2006, by circulating confirmation to all the suppliers. The Company has not received any confirmation from suppliers regarding theirstatus under the Micro, Small and Medium Enterprises Development Act, 2006 and hence disclosures, relating to amounts unpaid, if any,as at the year end together with interest paid / payable as required under the said Act have not been given.27. Administrative expenditure for the previous year includes Rs. 14.73 Crores towards reversal of profit on sale of long term investmentrecorded during the year ended 31st March, 2006. The reversal was on account of non completion of the transaction.28. (i) Details of amount due from Sundry Debtors under the same management within the meaning of Section 370(1B):Rs. CroresSr No PartiesAs at31st March, 2008As at31st March, 20071 Essar Construction Limited – 12.432 Essar Logistics Limited – 194.363 Essar Sez Hazira Limited – 10.904 Essar Steel Hazira Limited 21.52 –5 Hazira Plate Limited 3.16 –6 Essar Projects Limited 4.25 –34