Dear Members and Shareholders,

I have immense pleasure in presenting the Thirty Second Annual Report for the year ended March 31, 2009 of our Company.

At Soma we have had a very challenging but successful year. We have made laudable progress both in managing the projects in hand and winning new prestigious projects.

 The adverse impact of the global economic meltdown on the industry and business environment is more than palpable. The continued depreciation in the global cues sliding on the backdrop of the worst global financial crisis has affected the financial markets. The momentum of growth in all emerging economies has slowed down. It necessitated nothing less than the unified force of the Leaders of the world to curtail this crisis. A global effort has been activated to recuperate the financial environment.

Notably, it is during these times that countries focus on augmenting their infrastructure, to accelerate growth in business and industry. We recommit ourselves to deliver beyond our client’s expectations and partner India in its journey to greater glories during these trying times.

We have successfully completed the financial closure for NH1 Panipat Jallandhar Highway project in spite of the prevalent conditions. The year 2008 - 09 gives us a great sense of fulfillment in our commitment to contribute to India’s growth through our projects.

The following projects were completed on schedule; which showcased Soma’s execution capabilities.

Prakasha Barrage Gates: Construction of Prakasha Barrage Gates near village Prakasha, Tal Shahada, Dist. Nandurbar, Maharashtra.

East - West Corridor (RJ-2): Rehabilitation and Upgrading of Bekaria – Gogunda Section Km. 29 to Km. 73 of NH-76 to 4-lane divided carriageway configuration in the State of Rajasthan

East - West Corridor (RJ-6): Rehabilitation and upgrading of Km 229.240 to km 252.665 of NH-76 (Rajasthan / MP Border to Junction of NH-76 / NH-3) to 4-lane configuration.

Porbandar-Pkg II: Rehabilitation and Upgrading of Bhiladi - Jetpur Road Section of NH-8B from Km 53.05 to 117.00 in the State of Gujarat-Package – II

Shivpuri Bypass (MP-1): Construction of 4-lane Shivpuri Bypass connection NH-76 to NH-25 in the State of Madhya Pradesh

Soma continues its leadership in developing infrastructure of the country. While our focus remained on determined execution, our entrepreneurship drove us to seek bigger opportunities to excel at.

The promising highlight of the year has been the addition of new prestigious clients viz., Municipal Corporation of Greater Mumbai, Dedicated Freight Corridor Corporation of India Limited, Chennai Metro Rail Limited, Karnataka State Tourism Development Corporation, Andhra Pradesh State Road Transport Corporation, etc.

The highways sector business development team deserves special mention for bagging the highest value of projects in the industry in the recently awarded NHAI tenders.

Soma’s steadfast approach to overcome challenges is reflected not only in its commendable order book, but in its financial books too. Soma achieved a turnover of Rs.20124.58 Million, a growth of more than 15% over the previous year. PAT has grown to Rs. 1254.90 Million, a growth of over 2% over the previous year.

Continuing in our pursuit of business excellence, we are rolling out a Business Process Management Initiative across the organization to document our business processes and evolve an effective & efficient management system. A dedicated team has been set up to help the process owners in the rollout of this initiative.

Solid steps to boost productivity of our plants and equipment as well as our teams, and reduce the cost base of our operations were identified and implemented. This ensures that we are able to generate the required liquidity to sustain operations as well as fund our ambitious growth plans.

As you would have noticed, we now have a new logo and brand identity. This will enable us to enhance the Soma promise to all our stakeholders. Extensive efforts are being taken in evaluating and ensuring that all stakeholders have the right perceptions of Soma. Brand Soma will slowly gain visibility not only among those who come in direct contact with us, but with the broader population as well.

During the year, we have continued our organization development initiative and introduced a new competency based performance management system.

All these measures are to ensure necessary clarity in operations resulting in efficiency, and sustainable growth. Importantly, all these efforts are to ensure that we remain unequivocally focused on Execution.

Public Private Partnerships is the answer to the country’s infrastructure demands and Soma has been a trusted and proven partner for over 12 years now. We are also focusing more on Urban Infrastructure projects like Property Development and Hospitality to further capitalize our existing strengths. The leadership team for the Water & Environment sector is in place and business plans are drawn which should see us enter this sector in the near future.

Looking ahead we foresee exciting and challenging times. Infrastructure building, needless to stress, is the backbone of a country’s economy and determines its growth. For India to continue on its current growth rate there is compelling need to concurrently develop modern Highway, Railway, Port, Airport, Power & Urban Infrastructure. Our recent success in winning projects in almost all these areas validates this fact. Though the future prospects are exciting, factors such as project management, liquidity crunch, resource management among others pose many challenges. We at Soma are undaunted that our extensive experience and our foresighted preparedness hold us in good stead to rise to the occasion and also outperform.

This is an opportune time to express my sincere gratitude to our shareholders, Joint Venture Partners, Lenders, Banks, Financial Institutions, our clients, the Central and State Governments and other Regulatory Authorities/Agencies for their continuous support. I wish to express my appreciation to my colleagues on the Board and our employees for their leadership, dedication and relentless commitment. Even as we are preparing this annual report, definitive cues are indicating that the downturn has bottomed out and that the economy is set to regain its lost vigour shortly. It sure does promise to be an exciting year ahead, I join you all in renewing our commitment to rise to the challenges of the future.