EASTERN HOUSING LIMITED Islam Chamber: 125/A, Motijheel Commercial Area, Dhaka-1000

Transcription

1 EASTERN HOUSING LIMITED Islam Chamber: 125/A, Motijheel Commercial Area, Dhaka

2 Founder Chairman Late Al-Hajj Jahurul Islam

3 Board of Directors Mr. Manzurul Islam Mrs. Suraiya Begum Mr. Dhiraj Malakar Mr. Md. Mostafizur Rahman Mr. Md. Abdul Wadud Mr. Sarwar Boudius Salam Eastern Housing Limited 3

4 Directors attending the 46 th Annual General Meeting A view of the 46 th Annual General Meeting A view of the Board of Directors Meeting 4 Eastern Housing Limited

5 Table of Contents Corporate Directory 06 Notice of the Annual General Meeting 07 At a Glance - Year Corporate Governance Compliance Report 10 Director s Report 13 Appropriation of the Profit 38 Auditors Report to the Shareholders 39 Statement of Financial Position 40 Statement of Comprehensive Income 41 Statement of Cash Flow 42 Statement of Changes in Shareholders Equity 43 Notes to the Financial Statements 44 Credit Rating Report 64 Proxy Form & Attendance Slip 65 Eastern Housing Limited 5

6 Board of Directors Chairman Manzurul Islam Directors Suraiya Begum Md. Mostafizur Rahman Md. Abdul Wadud Sarwar Boudius Salam Managing Director Dhiraj Malakar Audit Committee Md. Abdul Wadud (Director), Chairman Md. Mostafizur Rahman (Director), Member Sarwar Boudius Salam (Director), Member Company Secretary Md. Saiful Huda Anaholy Chief Financial Officer (Acting) Imtiaz Ahmed Head of Internal Audit Md. Alauddin, ACA Legal Advisor Dr. M. Zahir Auditors Rahman Mostafa Alam & Co. Chartered Accountants Principal Bankers Janata Bank Limited IFIC Bank Limited Uttara Bank Limited Prime Bank Limited Standard Bank Limited Southeast Bank Limited Registered Office Islam Chamber 125/A, Motijheel Commercial Area Dhaka-1000, Bangladesh Web: 6 Eastern Housing Limited

7 Notice of the 47 th Annual General Meeting Notice is hereby given that the 47 th Annual General Meeting of the Shareholders of Eastern Housing Limited will be held at Officers Club, 26, Baily Road, Dhaka on Thursday, November 24, 2011 at 10:30 AM to transact the following business: 1. To confirm the proceedings of the 46 th Annual General Meeting of the shareholders of the company held on December 22, To receive and adopt the Audited Accounts of the company for the year ended July 31, 2011 and the report of the Directors and Auditors thereon. 3. To declare Cash and Stock Dividend for the year ended July 31, To elect Directors. 5. To appoint Auditors and fix up their remuneration. 6. To transact any other business with the permission of the chair. Dated: October 25, 2011 Dhaka. Note : By order of the Board Sd/- Md. Saiful Huda Anaholy Company Secretary. 1. The shareholders whose name appeared in the share register of the company or in the CDBL Depository Register on November 3, 2011 the Record Date will be entitled to attend the meeting, vote thereat and receive dividend. 2. A member entitled to attend and vote at the Annual General Meeting may appoint a proxy to attend and vote in his/her stead. The proxy form, duly stamped, must be deposited at the registered office of the company not later than 48 hours before the time fixed for the meeting. 3. Members are requested to notify the change of address, if any to the company. 4. Admission to the Meeting Hall will be strictly on production of the attendance slip sent with the notice. 5. Registration of attendance will start from 8:00 AM and will be closed at 11:00 AM. Eastern Housing Limited 7

8 At a Glance - Year 2011 Net Sales & Profit Before Tax 1,800 In Million 1, , , Net Sales Income Profit Before Tax Earning Per Share Shareowners'Equity In Million Eastern Housing Limited

9 Five Years Comparative Statements 31st July, 2007 to 31st July, 2011 Particulars 31st July st July st July st July st July 2007 Authorized Capital 1,000,000,000 1,000,000,000 1,000,000,000 1,000,000,000 1,000,000,000 Issued & Paid up capital 620,568, ,568, ,568, ,568, ,568,000 Turnover ( Net) 2,234,047,200 1,595,086, ,072,000 1,069,070,200 1,235,099,300 Gross Profit 536,236, ,951, ,051, ,966, ,661,900 Profit Before Tax 314,315, ,279, ,242, ,080, ,700,900 Profit After Tax 250,909, ,777, ,437, ,074,500 96,137,600 Current Assets 15,516,219,300 14,963,538,700 13,912,660,700 14,238,341,100 12,698,478,100 Net Current Assets 1,339,491,200 1,205,376,000 1,198,380,300 1,105,449,300 1,228,740,600 Shareowners Equity 1,180,868,600 1,085,100, ,408, ,055, ,066,600 Cash Dividend Tk. 62,056, ,142,000 93,085,200 93,085,200 93,085,200 Current Ratio Net Assets per Share-Tk Market price per share-tk NOCFPS Earned per Share - Tk Dividend per share (Cash) - Tk Bonus Share 5% Number of employee Officers Staffs 1,549 1,495 1,495 1,482 1,489 Field Workers Total 2,053 2,068 2,115 2,055 2,052 Turnover Analysis Admin & Overhead 10.59% Finance Expenses 2.46% Taxation 2.44% Conversion Cost 11.72% Net Profit 9.67% Land & Material Cost 63.12% Eastern Housing Limited 9

10 Annexure-A STATEMENT REQUIRED UNDER SECURITIES AND EXCHANGE COMMISSION NOTIFICATION NO. SEC/ CMRRCD/ /ADMIN/02-08 DATED FEBRUARY 20, 2006 ITEM AREA 1.4 ARE AS FOLLOWS: (a) The financial Statement prepared by the Management of the Company present fairly its state of affairs, the result of its operation, cash flows and changes in equity. (b) Proper books of account of the company have been maintained. (c) An appropriate accounting policy has been consistently applied in preparation of the financial statement and that the accounting estimates are based on reasonable and prudent judgement. (d) Bangladesh Accounting Standards, (as per BAS) have been followed in preparation of the financial statements. (e) The system of internal control is sound in design and has been effectively implemented and monitored. (f) There are no significant doubts upon the company s ability to continue as a going concern. (g) Significant deviations from last year in operating result of the company have been highlighted and reasons there of explained. (h) Key operating and financial data of preceding three years are as follows: Particulars 31st July st July st July st July 2008 Authorized Capital 1,000,000,000 1,000,000,000 1,000,000,000 1,000,000,000 Issued & Paid up capital 620,568, ,568, ,568, ,568,000 Turnover 2,234,047,200 1,595,086, ,072,000 1,069,070,200 Gross Profit 536,236, ,951, ,051, ,966,100 Profit Before Tax 314,315, ,279, ,242, ,080,100 Profit After Tax 250,909, ,777, ,437, ,074,500 Current Assets 15,516,219,300 14,963,538,700 13,912,660,700 14,238,341,100 Net Current Assets 1,339,491,200 1,205,376,00 1,198,380,300 1,105,449,300 Shareowners Equity 1,180,868,600 1,085,100, ,408, ,055,900 Cash Dividend 62,056, ,142,000 93,085,200 93,085,200 Current Ratio Net Assets per Share-Tk Market price per share-tk Earned per Share - Tk NOCFPS Dividend per share (Cash) - Tk Bonus Share 5% (i) (j) The Board of Director has recommended Cash Dividend at the rate of Tk % and Stock 5% i.e. 1 bonus against 20 ordinary shares During the year four Board meetings were held and the Attendance by each Director was as follows: 10 Eastern Housing Limited

11 Sl # Name of the Directors No. of Meetings held No. of Attendance 01 Mr. Manzurul Islam Mrs. Suraiya Begum Mr. Md. Abdul Wadud Mr. Md. Mostafizur Rahman Mr. Sarwar Boudius Salam 4 4 (k) The pattern of shareholdings as on is given below: i. Related Party Details Name of the Company No. of Share Percentage M/s. Islam Brothers Properties Limited 2,050, % ii. The shareholding status of the Directors, Chief Executive Officer/Managing Director, Company Secretary, Chief Financial Officer, Head of Internal Audit, and their spouses and minor children as on are as follows. Name Designation No. of Share Percentage Holding Mr. Manzurul Islam Chairman 46, % Mrs. Suraiya Begum Director 17, % Mr. Md. Abdul Wadud Director % Mr. Md. Mostafizur Rahman Director % Mr. Sarwar Boudius Salam Director % Mr. Dhiraj Malakar Managing Director Nil Nil Name Designation No. of Share Percentage Holding Mr. Md. Saiful Huda Anaholy Company Secretary Nil Nil Mr. Imtiaz Ahmed Chief Financial Officer (Acting) Nil Nil Mr. Md. Alauddin, ACA Head of Internal Audit Nil Nil Dr. M. Zahir Legal Adviser Nil Nil iii. Not Applicable iv. Shareholders holding ten percent (10%) or more voting interest in the company name wise details: Name of the Company No. of Share Percentage M/s. River View Limited 850, % M/s. Islam Brothers Properties Limited 2,050, % Eastern Housing Limited 11

12 Annexure- B The Compliance of notification of Securities and Exchange Commission Status of compliance with the conditions imposed by the Commission s Notification No. SEC/CMRRCD/ / Admin/02-08 dated 20th February, 2006 issued under section 2CC of the Securities and Exchange Ordinance, 1969: (Report under Condition No. 5.00) Condition No. Title Compliance Status(Put in the appropriate column) Complied Not-Complied Explanation for Noncompliance with the condition 1.1 Board s Size 1.2( i) Independent Directors 1.2( ii) Independent Directors Appointed 1.3 Chairman of the Board and Chief Executive 1.4 Directors Report to Shareholders 1.4(a) Financial Statements 1.4(b) Books of Accounts 1.4(c) Accounting Policies 1.4(d) IAS Applicable in Bangladesh 1.4(e) System of Internal Control 1.4(f) Going Concern 1.4(g) Deviation in Operating Results 1.4(h) Key Operating and Financial Data 1.4(i) Declaration of Dividend 1.4(j) Number of Board Meetings 1.4(k) Pattern of Shareholdings 2.1 CFO, HIA & CS Appointment 2.2 Board Meeting Attendance 3.00 Audit Committee 3.1(i) Constitution of Audit Committee 3.1(ii) Audit Committee Members Appointment 3.2(iii) Terms of service of Audit Committee 3.2(i) Chairman of Audit Committee 3.1(ii) Audit Committee Chairman s Qualification 3.3.1(i) Reporting to the Board of Directors 3.3.1(ii) (a) Report of Conflicts of Interest No such incident arose 3.3.1(ii) (b) Defect in the Internal Control System No such incident arose 3.3.1(ii) (c) Suspected infringement of Laws No such incident arose 3.3.1(ii) (d) Any other matter No such incident arose Reporting to the Authorities 3.4 Reporting to the Shareholders and General Investors 4.00 (i) Appraisal or Valuation Services of fairness opinions 4.00 (ii) Financial information system design and implementation 4.00 (iii) Book Keeping or other services related to the Accounting records or Financial Statements 4.00 (iv) Broker- dealer services 4.00 (v) Actuarial services 4.00 (vi) Internal Audit Services; and 4.00 (vii) Any other service that the Audit Committee determines 12 Eastern Housing Limited

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14 `kxq g~jab evrvi Av jvp erm ii ïiæ _ K, we klzt cö_g 5 gv m K gv K U ZRxfve weivrgvb wqj Zvic i evrvi g~jab µgvmz n«vm c Z _v K hvi cöfv e µgvmzfv e ÿz`ª wewb qvmkvixiv Av v nvwi q d j Av jvp eq i Avgv `i cöwzwu 100/- UvKv g~ j i kqv ii m e v P g~j wqj 28/10/2010 Zvwi L 2080/- UvKv I me wbgœ 03/03/2011 Zvwi L 582/- UvKv Ges 24/10/2011 Zvwi L wqj UvKv hv w wzkxj Av Q wcöq kqvi nvìvie ` BóvY nvdwrs wjwg UW Bmjvg MÖæc Ae Kv úvbxi GKwU cöwzôvb hv wi qj G óu, wbg vy, Jla, nuvm gyimxi Lv`, gv Qi cvbv Drcv`b, gmwr`, wk v msµvší I gvbewn Zlxg~jK cöwzôvbmg~n hgb we` vjq, gnvwe` vjq, gwwk vj K jr, gv`ªvmv, nvmcvzvj I bvwm s BbwówUDU BóvY cvš Qvqv BZ vw` wewea wel q ˆewPÎvwqZ n q Q MÖæc Gi wewfbœ e emvq L vwzgvb I cöwzôvzv Pqvig vb giûg Rûiæj Bmjvg Gi MwZkxj bz Z cövk ^vaxbzv Avgj n Z wel vz n q I Vb; Ges ` Zvi mv _ cwipvjbv K i Gi Kg ZrciZv hy³ivr, mshy³ Avie AvwgivZ, B q gb Avie cörvzš I Biv K we Í wz jvf K i wzwb 19 k A ±vei, 1995 Zvwi L wm½vcy i wpwkrmv _vkvkvjxb Ae vq g Zÿ eiy K ib BóvY nvdwrs wjwg UW Avevmb Dbœqb (wi qj G U) Kv úvbx wnmv e 1964 mv j hvîv ïiæ K i BóvY nvdwrs wjwg UW Avevmb ÿ Î cw_k Z wnmv e MY wqj Kv úvbxwu 1994 m b cvewjk wjwg UW Kv úvbx wnmv e iƒcvšíixz nq I K G PÄ mg~ n ZvwjKvf~³ nq wemz eqi jv Z Kv úvbx Zvi Avw_ K cöe w K AviI greyz i L Q Ges Rwgi cøu I G vcvu g U n ÍvšÍi K i Avm Q Av jvp eq i Kv úvbxi weµq cövq 40% e w cvq Gi weµqjä A_ KvwU UvKvi wecix Z m bi weµq wqj KvwU UvKv BwcGm wqj UvKv A_ eq i BwcGm kqvi wcqz UvKv I Ki ciez x bu gybvdv MZ erm i UvKv KvwUi wecix Z Z UvKv KvwU Z `uvovq mv j Kv úvbx 25% nv i jf vsk cwi kva K i Q RbmsL v e w i Av jv K wi qj G U Gi m vebv we k i RbmsL v 2011 mv j 700 KvwU Z cšu Q Q, hv 1960 mv ji wø b WweW eøyg A_ bxwz I RbmsL v Z Ë nvf vw wek we` vj qi Aa vck e jb h, RbmsL v e w wek e cx brxiwenxb cwiez b wb q Avm e hvi d j RvqMv, kªg I cwi e ki Dci Pvc m wó n e 2100 mv j c w_exi RbmsL v AwPšÍbxq 15.8 kz KvwU gvby li Avevm j n e 2050 mvj bvmv` 230 KvwU m ve ewa Z RbmsL vi AwaKvskB n e Kg DbœZ A j, hvi cövq A a KB n e Avwd«Kv Z Zzjbvg~jKfv e AwaK DbœZ ivóªmg~ ni RbmsL v GKB ch v q _vk e Ges Zv `i eqm e w c Z _vk e, hvi g a cbm bi A _ i Dci wbf ikxj Aemi cövß gvbyl `i K mnvqzv `Iqvi g Zv Kg g eq mi cövßeq e w³i msl v bmy n q Avm e wbg vy mvgmöxi g~j hgb GgGm iw, wm g U, gvuv evjy, BU, cv_ ii UzKiv BZ vw`i g~j µge w Z jv fi Dci mivmwi cöfve co Q 14 Eastern Housing Limited

15 wi qj G U e emv Avmbœ Avw_ K erm i AviI bzzb P v jämg~ ni gy LvgywL n Q LvZwU weµq n«vm I bzzb wbwg Z febmg~ n cö qvrbxq mev ms hv Mi Afv e fvimvg LyR Q AwZ D Ø Mi welq n Q M vm, we` yr I Ab vb ms hvmmg~n cövc Zv wi qj G U DbœqbKvix `i d vu, `vkvb, Kvh vjq/evwbwr K RvqMvmg~ ni wbeü bi R b Dr m K ii nvi e vckfv e cöwz em wguv i ez gvb 2000 UvKvi _ K cöwz em wguv i 8000 UvKvq e w Kiv n q Q (300% e w ) jkvb, ebvbx, evwiaviv, gwzwsj I w`jkzkv GjvKv Ges avbgwû, jvjgvwuqv, DËiv, emyüiv, wwigbpgm, gnvlvjx, XvKv mbvwbevm, KvIivb evrvi, XvKv g UªvcwjUb GjvKv I Lyjkx, AvMÖvev`, bvwmivev`, cuvpjvbk, PÆMÖv gi R b cöwz em wguvi UvKv 2000 _ K UvKv 6000 (200% e w ) Kiv n q Q, AviI Ab vb GjvKvi R b cöwz em wguv ii R b UvKv 800 _ K UvKv 2000-G e w Kiv n q Q (A_ vr 150% e w ) hv wi qj G U e emv qi R b nzvkvrbk GUv wi qj G U Lv Zi Dci fvwi evsv n q `uvwo q Q XvKv gnvbmixi RbmsL v GLb 1.50 KvwU Z `vwo q Q hv 2020 mv j 2 KvwU Z cušqv e hw` Avgiv mzk Zvi mv _ wnmve Kwi XvKv gnvbmix M nvqb e e vq Avevmb ÿ Îi cöwz hvmxzv ejer _vk e wcöq kqvi nvìvie ` mv cöwzk gvmmg~ n Rwg I G vcvu g Ui mvgwmök wewµ we`ÿ r, M vm I cvwb mieivn ms hv Mi Afv e 30% n«vm c q Q Gme G vcvu mg~ ni wbg vy cövq mgvß n q wm q Q Af šíixb myî `vex K i h, iww G vcvu g U hvi g~j cövq UvKv 8000 nvrvi KvwU MÖvnK `i wbku mgqgz n ÍvšÍi Ki Z e _ n q Q Ki e w I cöwzk~j ˆe `wkk gỳ ªv cöi Yi nvi n«v mi Kvi Y cövq 5000 wbg vbvaxb nvbivbr wewìs Gi fvm h jvi mv _ A bk evwbwr K Kg cø I Av Q AwbwðZ n q c o Q e vsk KZ K my `i nvi e w i d j d vu Kbvi R b e vs Ki Znwej cö`vb mv cöwzk mg q mskywpz n q G m Q hfv e cy e B ejv n q Q cöevmxivb n Q Rwg I d v Ui iæz c~y µzv wkš, Dbœqbkxj ` ki A_ bxwzi wb œgywlzvi Kvi Y Avevmb e emvi Dci weiƒc cöfve m wó Ki Q GgbwK mikvwi Lv Z wbg vy Kg ZrciZvmg~n LyeB gš i gỳ ªvùxwZ `yb As Ki Ni AwZµg K i Q wbg vy mvgmöxmn cö qvrbxq I Riæix `ªe vw`i Ît ch v jvpbvaxb ermi PjvKv j cöwz nvrvi B Ui weµq g~j UvKv 6500/- _ K UvKv 7800/-, wm g U cöwz e vm UvKv 350/- _ K UvKv 370/- G wewµ n Q GgGm iw 60 MÖW cöwz Ub UvKv 50000/- _ K UvKv 61000/- nv i; vbxq evjy cöwz wmgdwu UvKv 12 _ K UvKv 13; wm ju evjy cöwz wmgdwu UvKv 25 _ K UvKv 27; wravbcvbc cöwzwdu UvKv 45 _ K UvKv 160; wcwfwm cvbc UvKv 25 _ K UvKv 110; GmGm cvbc cöwz wdu UvKv 50 _ K UvKv 210; gnmwb KvV cöwz wmgdwu UvKv 1350 _ K UvKv 1450; m b KvV cöwz wmgdwu UvKv 3700 _ K UvKv 4000; `kxq cö Z Iqvj UvBjm cöwz em dzu UvKv 38 _ K UvKv 155; wewfbœ AvKv ii ga g gv bi g Si UvBjm cöwz em dzu UvKv 38 _ K UvKv 160; ˆe`ÿ wzk K vej weaviwe I BwmGj wewfbœ KvD Ui cöwz K qj UvKv 2000 _ K UvKv 12000, cv_ ii UzK iv cöwz e:dz: UvKv 110 _ K 120G e w c q Q mgq AwZµvšÍ niqvi mv _ mv _ Rwgi gvwu fiv Ui g~j cöwz KvVv Z A ^vfvwekfv e e w c q Q, Rwgi g~j GjvKvi Dci wbf i K i UvKv 20 jvl _ K UvKv 1 KvwU 20 jvl ch ší wewµ n Q ez gv b (A ±vei 2011) GcvU g U/ d vumg~n wb gœi ey bv Abyhvqx GjvKvi Dci wfwë K i cöwz em dzu wewfbœ nv i wewµ n Q Iqvwit UvKv 8000 _ K UvKv 10000/-, Kgjvcyi t UvKv 6000 _ K UvKv 7000/-, wljmuvit UvKv 6000/- _ K UvKv 7000/-, kvwšíbmit UvKv 8000 _ K UvKv 10,000/-, B vubt UvKv 8000/- _ K UvKv 12000/-, avbgwût UvKv _ K UvKv 23000/-, gvnv v`cyit UvKv 7000/- _ K 14000/-, evwo avivt UvKv 25000/- _ K UvKv 40,000/-, DËivt UvKv 6000/- _ K UvKv 10,000/-, jkvbt UvKv 22000/- _ K UvKv 35000/- Avevwm Ki R b, I UvKv 30000/- _ K UvKv 80,000/- evwbwr Ki R b, wgicyit UvKv 5000/- _ K UvKv 7000/- Eastern Housing Limited 15

16 wcöq kqvi nvìvimy, ÒgvqvKzÄÓ cökí BóvY nvdwrs wjwg UW Gi ÒgvqvKzÄÓ GKUv ivrdk Aby gvw`z gvwu fivu Rwg Dbœqbg~jK cökí wqj, hvi AvqZb GKi wqj, hv wewfbœ cø U wef³ wqj I cøumg~n µzv `i Kv Q wewµ Kiv n qwqj I hv mikvi KZ K e b evwo- nvwzi wsj mshy³ cök íi R b Riæix gqv `i mgq ûkzg `Lj Kiv n q Q hvi Kvi Y Avgiv LyeB wzmö n qwq Avgiv AvbyKy j ÿwzcyi bi `vex iæry K iwq Avgv `i Aweivg Z`we ii gy L mikvi bxwzmzfv e m Z n q Q h D³ cök íi wecix Z Avgv `i K wzc~iy cö`vb Kiv n e BwZg a Avgiv gvivz K Pv ci Aax b wqjvg hv µzv `i KvQ _ K Avgv `i Dci Kiv n qwqj Zv `i UvKv mỳ mn diz `Iqvi R b Avgv `i Ab Kvb Dcvq wqj bv KZ c i Kv Q Avgv `i R b mvnvh PvIqv Qvov KZ c PzovšÍ wb úwë g~jzwe i L MÖvnK `i K A_ cwi kva Ki Z Avgv `i K m g Kivi R b Znwej Qv oi Aby gv`b w` q Qb Avgiv Pv ci gy L MÖvnK `i `bv cwi kva KiwQ hw`i Avgiv GRvZxq cövwß Avgv `i ivr ^ wnmv e `Lv Z cviwq bv Kbbv jb `bwu PzovšÍ nqwb Avgiv Avkv Kwi h, AvMvwg ermi mikv ii mv _ Avgv `i `vex PzovšÍ Ki Z m g ne hz ZvovZvwo m e we ivamg~n cvi úwik mg SvZvi wfwë Z PzovšÍfv e wb úwë n j Avgiv Zv Avgv `i ivr ^ Avq wnmv e ^xk wz w` Z cvie ÒgvqvKvbbÓ cökí Avwgb evrvi GjvKv, wgicy i ÒgvqvKvbbÓ cök í GKUv eo AvKv ii Rwg Z Kvb cökvi AMÖMwZ n Q bv GUv mepvb Z eo RvqMvi GKUv wqj Avgiv gvwu fiv Ui gva g wecyj cwigvb RvqMv DbœZ K iwq I A bk cøu µzv `i Kv Q wewµ K iwq `yf vm ekz GjvKvwU Rjvkq wnmv e wwgwci Aax b wpwýz nq hvi d j Avgiv cökí GjvKv Z Dbœqb KvR eü Ki Z eva n qwq BwZg a Avgv `i MÖvn Kiv UvKv diz cviqvi R b Avgv `i Dci gvivz K Pv ci m wó Ki Q Avgiv mswkøó KZ c i mv _ GjvKvwU Aegy³ Ki Z Z`wei Pvwj q hvw Q wkš Kvb myivnv n Q bv myzivs GB cökíwu Avgv `i wzi KviY n q hv Q Ges mv _ mv _ Avgv `i MÖvn `ii `y f v Mi KviY n q `vov Q Avgiv ivrdk Gi Kv Q Aby iva K iwq Zv `i B QvgZ cökíwu Dbœqb Kivi wkš Zv ZI Kvb jvf nqwb Avgv `i Pjgvb cök íi Ae v AvdZve bmi (bzzb)t AvdZve bmi, XvKv Z Aew Z 27, avbgwð, XvKv Avg `i mepvb Z eo Rwgi cökímg~ ni GKwU z`ª Ask GB ch v qi 165wU cøu Av Q I KvVvi Dc i GwU we Í Z GLv b wewfbœ AvKv ii cøu Av Q hvi AvqZb 1.5 _ K 7 KvVv ch ší gvu cøu 25% BwZg a eivï `Iqv n q Q ivrdk wewfbœ wel qi AeZvibv K i GLb ch ší Avgv `i GB cökíwu Aby gv`b `qwb Zviv wewfbœ wel qi AeZviYv Ki Q Avgiv Zv `i welqmg~n cyi Yi R b Póv KiwQ Bóvvb cvš Qvqvt GKwU 15 Zjv GcvU g U Kg cø cökí hv KvVv Rwgi Dc i Aew Z GUv 152/2/wR/1-2,cvš c _ Aew Z GUv wewfbœ AvKv ii 260wU d v Ui mgš^ q MwVZ hv `i AvKvi 1475 em dz Ui _ K 2250 em dzu ch ší Gi gvu GjvKv n Q 4,48,500 em dzu wbg vy Kv Ri 55% BwZg a m úbœ n q Q I n ÍvšÍi cöwµqv M vm I we`ÿ r ms hv Mi R b wejw ^Z n Q 16 Eastern Housing Limited

17 BóvY Wvwjqvt KvVv Rwgi Dci Aew Z GKwU 14Zjv Gc vu g U Kg cø cökí GUv cøu bs 405wm, nvwìs bs 24 I 24/G, mok bs 16, avbgwû 27 (cyivzb) G Z Aew Z I ÔBóvY WvwjqvÕ bv g AwfwnZ, hvi 48wU G vcvu g U Av Q, cöwzwu G vcvu g Ui Mo AvqZb n Q 2120 em dzu Ges Gi gvu AvqZb n Q 1,01,760 em dzu BóvY Kgjvcyit KvVv Rwgi Dci GKwU 18Zjv evwbwr K Kvg AvevwmK cökí 64, 66, 67 I 68, DËi Kgjvcyi G Aew Z Ges Gi bvg n Q ÓBóvY KgjvcyiÕ hvi 88wU G vcvu g U I 113wU Awdm iæg i q Q Gi gvu GjvKv n Q 2,62,225 em dzu d vu I Awdm eivï DfqB Pj Q 80 fv MiI ewk d vu I Awdm eivï BwZg a `Iqv n q M Q Ges wbg vy KvR cyy MwZ Z Pj Q BóvY Kwigt 12.5 KvVv Rwgi Dci we Í Z 14 Zjv G vcvu g U cökí cøu bs 2/5, eøk- wm kvnrvnvb ivw, gvnv v`cy i Aew Z I ÔBóvY KwigÕ wnmv e cwiwpz hv Z 36wU G vcvu g U i q Q Ges Mo AvqZb n Q 1492 em dzu gvu AvqZb 53,712 em dzu 60% wbg vb KvR m úvw`z n q Q I d v Ui eivï Pj Q BóvY biqve KvUvivt GKUv 10Zjv G vcvu g U cökí, hvi AvqZb KvVv 27 biqve KvUviv Z Aew Z I bvg n Q ÔBóvY biqve KvUvivÕ G Z 34wU G vcvu g U i q Q Mo AvqZb n Q 1419 em dzu Gi gvu GjvKv 48,265 em dzu 55 fvm wbg vb KvR m úvw`z n q Q I d v Ui eivï Pj Q cøu bs 7B, mok bs 13/G, DËivt 7.34 KvVvi Dci we Í Z GKwU 8Zjv G vcvu g U cªkí cøu bs 7/B, mok bs 13/G, m±i bs 3 (bzzb), DËiv Z Aew Z Ges 14wU G vcvu g U i q Q hvi Mo AvqZb 1585 em dzu Gi gvu AvqZb 22,190 em dzu eivï cöwµqv m egvî ïiæ n q Q BóvY AviRyt 12 KvVv Rwgi Dci GKwU 18Zjv evwbwr K cökí 61 werq bm i Aew Z, hv Z 32 wu `vkvb I 120wU Awd mi vb i q Q wbg vy KvR Pj Q Gi gvu GjvKv n Q 1,02,138 em dzu mkj `vkvb wewµ n q hv Q 80% Awd mi vbmg~n eivï `Iqv n q M Q wbg vy KvR c~y MwZ Z Pj Q 59/we, Kvgvj AvZvZzK GwfwbDt GKwU 14Zjv evwbwr K cökí hv KvVv Rwgi Dci Aew Z, cøu bs 59 (cyivzb) bzzb- 25, eøk bs we, Kvgvj AvZvZzK GwfwbD, ebvbx Z Aew Z, gvu GjvKv n Q 89,447 em dzu bzzb cökímg~n wb gœv³ bzyb cökímg~n wknöb nv Z biqv n PQt µwgk bs cök íi Ae vb Rwgi AvqZb (KvVvq) cö ÍvweZ D PZv 1 cøu bs wmbgm(wr)- 5G ivw-126 jkvb Zjv evwbwr K 2 cøu bs 37, eøk- K, cvk ivw, evwiaviv Zjv AvevwmK 3 1/4, gqgbwmsn ivw, cwievm, XvKv /15 Zjv AvevwmK 4 cøu -64/G, ivw - 5, ebvbx (wwigbpgm) XvKv Zjv AvevwmK 5 cøu 2/G, ivw -29, jkvb-1, XvKv Zjv AvevwmK 6 cøu - 41,43, ivw - 14, m±i- 12, DËiv, XvKv Zjv AvevwmK 7 cøu U-47, ivw -16, m±i-14, DËiv, XvKv Zjv AvevwmK 8 evwo- 80 Ges 80/we, Bw `iv ivw, XvKv Zjv AvevwmK 9 cøu -1/1/K, mkkb-2 wgicyi, XvKv Zjv AvevwmK 10 cøu - 18, ivw - 2, m±i- 11, DËiv, XvKv Zjv AvevwmK 11 cøu - 32, ivw - 2, m±i- 12, DËiv, XvKv Zjv AvevwmK cökvi Eastern Housing Limited 17

18 wcöq kqvi nvìvie ` Avcbviv AeMZ Av Qb h, BóvY nvdwrs wjwg UW Gi cöwzôvzv Pqvig vb giûg Rûiæj Bmjvg, GKwU ^ cœi Dci wfwë K i RbMY K mev `vb Kivi R b GKwU cw_k r cöwzôvb wnmv e cwipvjbv K i Qb hvi cöwz AvgivI bwzkfv e cöwzkªywze Zvi g Zz Avgv `i I wk íi R b Mfxi cwizv ci welq Avgiv wbôv I cöwzköæwzi cöwz wek Í, kª vfvrb cöwzôvzv Avgv `i Dci h wek vm b Í Kiv M Qb Zvi cöwz Avgiv hzœevb Ges Avgv `i hvm Zvi m e vëg Póv Avcbv `i mvnvh I Drmv ni mv _ Póv KiwQ GB mg q Avcbv `i Kv úvbx GKwU fvj gybvdv AR b K i Q Ges Avgiv GB avivwu fwel Z ervq ivlvi R b m e vëg Póv Kie Avgiv AvšÍwiKfv e Avkv Kwi Avcbv `i Drmv ni cöwz h_vmva iz cö`vb K i Kv úvbxi Dbœqb I AMÖMwZ K GwM q wbe Avgiv Avcbv `i civgk K g~j vqb Kwi I Avcbv `i D Pvkv Avgv `i j AR bi R b cwipvjbvkvix kw³ wnmv e KvR Ki e Rwg e vsk MZ K qk ermi a i Avgv `i Rwg e vsk (RgvK Z Rwg) µgvmz n«vm cv Q Avgiv MZ erm ii 17 GK ii wecix Z KejgvÎ GKi Rwg µq Ki Z c iwq Avgv `i AbybœZ Rwgi girỳ kl n Z n Z KejgvÎ GK i G m `uvwo q Q Ges Avgv `i DbœqbK Z Rwgi girỳ GKi I GKi Rwg Z Dbœq bi KvR Pj Q Kv úvbx me mgq wbpz Rwgi müv b i q Q I hlbb cviqv hvq Zv Kbvi R b m Pó i q Q XvKv Z Ges Gi msjmœ GjvKvq Rwgi Afve i q Q, hlbb Rwg cviqv hvq ZLb Gi `vexk Z g~j Avw_ K Dbœq bi evb i cwi ekmz Kvi Y XvKvi Av k cv k KwZcq wbpz GjvKvi Dci wb laváv Av iv ci Kvi Y Ges Rjvkqmg~n cöavbz wwgwc mxgve A ji g a Aew Z niqv Z XvKvi Av kcv k Rwgi Afve i q Q MZ ermi wwgwc Z h fv e ejv n q Q Zv Z A bk evav wb la Av ivc Kiv n q Q, gvwu fiv Ui Dci wb laváv Av ivc Kiv n q Q hv Rwgi cökí m cömviy bvkp K i `q e emv K Drmvn `v bi cwie Z eo cök íi R b Rwg cviqv KóKi n q `vwo q Q Z`ycwi, mikvi K wlrvz Rwg fiv Ui Dci wb laváv Av ivc Kivi K_v we epbv Ki Q GUv Kiv n j Kg g~ j i wbpz Rwgi cövc Zv K AviI RwUj K i Zzj e Rwgi Dbœqb ch v jvpbvaxb ermi PjvKv j Kv úvbx KejgvÎ GKi AbybœZ Rwg µq Ki Z c i Q I erm ii k l Avgv `i AbybœZ Rwgi cwigvb n Q GKi Kv úvbxi AviI GKi Rwg Dbœq bi wewfbœ av c i q Q Ges Avgiv MZ erm i 40wU G vcvu g U m úyb Ki Z mg_ n qwq Avgv `i Rwg e vs Ki wnmve wb P `Iqv njt 31/07/2011 ZvwiL ch ší Kv úvbxi Rwgi gry `i weeiyt weeiy 31/07/2011 GK i AvqZb UvKv Z g~j AbybœZ Rwg ,134,584,600 DbœqbK Z Rwg 1, ,503,819,500 Rwg hv cöwµqvrvz Kiv n Q ,468,200 gvu t 1, ,046,872,300 `xn gqv`x FY cöviw K w wz wqj UvKv KvwU (`xn gqv`x UvKv PjwZ cwic Zv UvKv 8.87 KvwU), PjwZ erm i UvKv KvwU hvm n q Q PjwZ erm i mỳ Rgv n q Q UvKv 2.14 KvwU G Z gvu F Yi UvKv KvwU Z DbœxZ n q Q I GB erm i cwi kva Kiv n q Q UvKv 9.61 KvwU, hv Z mgvcyx w wz `vwo q Q UvKv KvwU (`xn gqv`x UvKv 6.44 KvwU + PjwZ cwic Zv UvKv 7.48 KvwU) hlv b Kvb PjwZ cwic Zvi w wz bb GUv úý ii mỳ wenxb FY 18 Eastern Housing Limited

19 AšÍ fy³ K i bv, hvi cwigvb n Q UvKv KvwU Ifvi WªvdU XvKv e vsk wjwg UW, vûvw e vsk wjwg UW, BDbvB UW Kgvwk qvj e vsk wjwg UW I mvb_ B e vsk wjwg U Wi mv _ Ifvi WªvdU wnmv ei cöviw K w wz wqj hv cwi kva Kiv n q Q UvKv KvwU d j ez gvb erm i jb ` bi w wz 31/07/2011 Z `vwo q Q UvKv KvwU weµq ch v jvpbvaxb ermi PjvKv j MZ erm ii Rûiæj Bmjvg wmwu 487wU cø Ui wecix Z 1184wU cøu wewµ Kiv n q Q I 299wUi wecix Z 305 wu G vcvu g Ui wewµ e w cövß n q Q g~ j i wnmv e Avgv `i Uvb Ifvi UvKv KvwU _ K UvKv KvwU Z e w c q Q Zzjbvg~jK weµ qi AsK wb P viwy Z `Iqv njt weµq 31/07/ /07/2010 Rwg 1,683,636, ,565,700 G vcvu g U 550,410, ,520,700 gvu 2,234,047,200 1,595,086,400 Av jvp erm i Rwg Lv Z (wbewüz) weµq e w c q Q Gi cwigvb UvKv KvwUi wecix Z UvKv KvwU Z `uvwo q Q Gc vu g U BDwb U wewµ UvKv KvwU weµq wemz erm i UvKv KvwUi wecix Z AwR Z n q Q M vm I we`ÿ r ms hv Mi Dci mikvwi evav wb l ai Kvi Y Avcbv `i Kv úvbx MÖvnK `i Kv Q d vu n ÍvšÍi Ki Z Amg_ n q Q hv Z MZ erm ii Zzjbvq G vcvu g U Lv Z wewµi cwigvb n«vm c q Q gvu Uvb Ifv i e w AwR Z n q Q (UvKv UvKv ) hvi cwigvb n Q UvKv 63.9 KvwU gybvdv hvi d j gybvdv UvKv KvwU Z e w c q Q GdwWAvi I GmwUwW wnmv e AwR Z my `i cwigvb UvKv KvwU Z `uvwo q Q GdwWAv ii Dci Ki 10% nv i Dr m KZ b Kiv n q Q I Avgiv Avq Ki AvBb Abyhvqx 14.75% nv i AviI Ki cwi kva K iwq I bxu gybvdvmn `wj j bxu my `i _ K DcvR b Ki cwi kv ai ci D³ UvKv KvwU Z `uvwo q Q cöwz kqv i AR b (BwcGm) UvKv wqj ch v jvpbvaxb ermi PjvKv j gybvdv hvm Zv wb Pi mviwy AvKv i cö`ë njt ( KvwU UvKv Z As K) weeib 31/07/2011 Zvwi L Ae vb 31/07/2010 Zvwi L Ae vb gvu e emvwqk gybvdv e e vcbv I mỳ eve` e q wbu e emvwqk Avq wewb qvm Avq (mỳ ) AvqKic~e gybvdv AvqKi Ges AvqK ii ms vb (33.84) (6.34) (24.83) (8.45) K ii ci gybvdv Eastern Housing Limited 19

20 K c v iu Mfv b Ý e e vcbv K c v iu Mfv b Ý e e vcbv Ggb GKwU cöwµqv hvi Øviv Kvb Kv úvwb cwipvwjz, wbqwš Z Ges cwipvjk `i kqvi nvìvi `i cöwz Revew`wnZv m wó K i kqvi nvìvi `i m ev P g~j vqb Ges m ú` e w i Rb GwU AZ ší iz c~y f~wgkv cvjb K i BóvY nvdwrs wjwg U W G e e v Pvjy Av Q ZvB wewb qvmkvixiv Gi Ici c~y Av v ivl Z cv ib K c v iu Mfv b Ý e e vcbv wkqz ^ Qv-cÖ Yvw`Z AvBb, wbqg Ges Gi h_vh_ cª qv Mi e e v hvnv g~jab, ` Zv e w K i kqvi nvìvi Ges mgv Ri Kj vb mvab K i K cv iu Mfv b Ý Gi g~j ˆewkó jv nj: msl vjny kqvi nvìvi `i ^v_ i v ^ QZv (cö qvrbxq A_ bwzk, e emvwqk, gvwjkvbv, cwipvjbv, AvšÍte e vcbv msµvší wel q mwvk I wek vm hvm Z_ cwi ekb Kiv) `vwqz cövß cwipvjk K ^vaxbfv e e emvwqk KŠkj, cwikíbv Ges wm vší MÖn b mnvqzv, Ges gyj vqb I Aby gv`b Ki Z Ges cö qvrb Abyhvqx e e vcbv I wbix K cwiez b Ki Z cv i wb œwjwlz Î jv Z BóvY nvdwrs wjwg UW Gi K c v iu Mfv b Ý Gi PP v Zz j aiv nj: cwipvjke ` Ges Zv `i f~wgkv kqvi nvìvi `i mv _ m úk Revew`wnZv Ges wbix v AvBbMZ wewaweavb h_vh_ g b Pjv Kg Pvixe ` e emvqxk AvPib cwipvjke ` Ges Zv `i f~wgkv cwipvjke `i Kvh vejx K GKwU wbw` ó I mymse KvVv gv cö`v bi j K cv iu Mfv b Ý GKwU e e v Dciš, GwU cwipvjk `i f~wgkv I Øvwq Z i mwvk ey bv I Dbœq bi civgk MwZkxj n q G K mvg bi w` K mdjfv e GwM q wb q h Z mnvqzv K i Avgv `i Kv úvwb GKwU mywbw` ó bxwz Ges KvVv gv Abymib K i, hv Avgv `i e emv K mdjfv e cwipvjbvq Ges wb ` kbvq mnvqzv K i Ges e emvwqk Revew`wnZv wbwðz K i kqvi nvìvi `i g~j vqb I ^v_ i v K i K c v iu Mfv b Ý bxwzgvjv Kvh vejxi m e vëg djvdj wbwðz K i Ges e emvi AbyKzj KvVv gv cö`vb K i kqvi nvìvi `i ^v_ Ges AwaKvi i v Ges e e vcbv msµvší h Kvb ai bi Revew`wn Ki Z `vqe _v K ZvQvov wb œ ewy Z AvBb cvjb KivI ev W i `vwqz : Kv úvwbi cwikíbv KŠkj ch v jvpbv Ges AvZ KiY e emvq Kvh vejx wbix b Ges Zv mwvkfv e cwipvwjz n Q wkbv Zv `Lv g~jab RvZxq SzwK jv K wpwýz Kiv Ges mwvkfv e SzwK e e vcbv Kiv cyivzb e e vcbv e` j bzzb avibv, cwikíbv, wb qvm, cöwk b, wzc~iy wba vib Ges cö qvrb Abyhvwq D Zb e e vcbv cwiez b m Ü mwvk e e v bqv kqvi nvìvi I wewb qvmkvix `i mv _ m ú K i Dbœqb I ev evqb Kv úvwbi h_vh_ e e vcbv, Z_ Av`vbcÖ`vb, cö qvrbxq AvBb, wbqg, wb ` kvejx mwvkfv e cª qvm n Q wk bv Zvi Z`viK Kiv Avw_ K weeiy Ges wnmvei bi bxwz Aby gv`b Kiv jf vsk mycvwik Kiv wbq gi cwiez bi mycvwik Kiv Kv úvbxi Avw_ K weeiyx I wnmve c wz Aby gv`b Kiv evw Gi wbix v KwgwU, wzc~ib KwgwU BZ vw` mn Ab vb KwgwU MVb Kiv I KZ e m ú K AewnZ Kiv 20 Eastern Housing Limited

21 KwgwUi wbku _ K wi cvu MÖnb I wbix v Kiv Kv úvwb ó vûvw Abyhvwq Z`viwK e e v ch v jvpbv-bxwz wba vib Kiv K c v iu Mfv b Ý Gi mwvk bxwzi cö qvm mywbwðz Kiv Ab vb e vcvi jv we kl K i evw Gi Rb msiw Z welq jv Av jvpbv I Aby gv`b Kiv me mgq e emvq mswkøó mkj c K cö qvrb Abyhvqx mnvqzv Kiv evw web vm: BóvY nvdwrs wjwg UW-Gi ez gvb cwipvjbv cl ` 5 (cuvp) Rb cwipvjk Øviv MwVZ, Zb a GKRb ^vaxb cwipvjk wb œ ev W i cwipvjk `i bvg `qv n jv 1. Rbve gbryiæj Bmjvg, Pqvig vb 2. Rbvev myivbqv emg, cwipvjk 3. Rbve gvt Ave`yj Iqv`ỳ, cwipvjk 4. Rbve gvt gv ÍvwdRyi ingvb, cwipvjk 5. Rbve miiqvi ew`dm mvjvg, cwipvjk 2011 mv j evw gvu Pvievi GKwÎZ n q Q Ges iz c~y wel q wm vší wb q Qb Kv úvwbi AvšÍt e e vcbv, mvwe K Af šíixb wbqš b Ges Gi Kvh KvixZvi Rb evw m ú~b iæ c `vqxz cövß Kv úvwbi e emvi KŠkj Ges bwgwz K KvR cwipvjbvi ØvwqZ GKwRwKDwUf KwgwU Øviv cwipvwjz nq hviv cöwzgv m GKevi GKwÎZ nb GB KwgwU cwipvjbv K ib e e vcbv cwipvjk GB KwgwUi Ab vb m`m iv n Qb wjm vj GÛ m µuvwiqvj, gv K wus, Acv ikbm, wdbvý, wndg vb wi mvm Ges K c v iu i juix kvlvi cöavbmb kqvi nvìvi `i mv _ m úk K cv iu Mfv b Ý kqvi nvìvi `i mv _ AvjvcPvwiZvq AbycÖvwYZ K i Ges evwl K mvaviy mfv Kv úvwbi cöwz Pvi gv mi Kvh Kjv ci cöwz e` bi cöwz kqvi nvìvi `i g bv hvm AvKl b Kiv Revew`wnZv I wbix v evw evrmwik mw wjz Avw_ K weeiyx Ges cwipvjk `i cöwz e`b ch v jvpbv K i h Z_ Dc vcb mwvk Ges Kv úvwbi ez gvb Ae v m ú~y iæ c kqvi nvìvi `i mv _ Av`vb cª`vb K i cwipvjkgûjx wnmve i b e envh bxwzmg~n Ges Avf šíixb wbqš b e e v m ú K ewnivmz wbix Ki mv _ ch v jvpbv K i _v K AvB bi eva evakzv cvjb evsjv ` ki AvBb Abyhvqx e emv qi Kg KvÛ mwvkfv e cwipvwjz n Q wkbv Zv evw wjm vj GÛ m µuvwiqvj kvlvi gva g mywbwðz K i _v K ZvQvov wbqš b c wz wbqgzvwš K I h_vh_ wkbv Zv wbwðz Kiv cwipvjkgûjx Avw_ K weeibx Z mkj e vcv i evsjv `k wnmvei b gvb (weggm) Ges wmwkdwiwur GÛ G PÄ Kwgk bi wbqg bxwz m ve mkj Î cö qv Mi e e v mywbwðz K i úk KvZi welq wj Ges e emv msµvší mg Í welq wj kqvi nvìvimb K wbqwgz AewnZ K i Kg Pvixe ` BóvY nvdwrs wjwg UW Zv `i cökvkbv, Dc `k Ges Kg Pvix cöwzwbwa `i mv _ wgwus Gi mgq Kg Pvix `i ^Z:ù~Z Dcw wz I AskMÖnb DrmvwnZ K i Kv úvwbi Kg Pvix wb qv Mi mgq wbi c fv e KvR Kivi mvg_ Ges cvi`wk Zv we epbv Kiv nq e emv cwipvjbvi gvb BóvY nvdwrs wjwg UW Zv `i e emvq Kvh Kjv ci gvb erv qi gva g Rbg b vb `Lj K i bevi Rb ` p cöwzá GB gvb wbqš b Kiv nq mzzv, b vqcivqbzv Ges ^ QZvi wfwë Z e emv cwipvjbvi gva g `xn gqv`x ^v_ i v K i ØvwqZ kxjzv, mzzv Ges mdjzvi mv _ e emvq cwipvjbv K i fwel Z wu K _vkvi e e v Kiv Eastern Housing Limited 21

22 e emvq cwipvjbvi gvb i v Kiv Acwinvh GKwU bxwz hv BóvY nvdwrs wjwg UW Gi cö Z K KB K Vvifv e Abymib Ki Z nq Kg Pvixiv hv Z cöpwjz AvB bi mv _ mvgäm Zv i L GB Av`k Abymib K i e emv qi Kvh Kjvc K A bk DuPz Z cš Q w` Z cv i GRb Zv `i ch vß mvnvh Ges mn hvmxzv cö`vb Kiv nq BóvY nvdwrs wjwg UW Gi GB Av`k n jv K cv iu Mfv b Ý Gi Awe Q` iæc `qv: Kg Pvix `i Øviv M nxz mkj wm vší hv Z AvBb Ges e emv qi bxwz g b P j Zv wbwðz Kiv cöwzôv b Ggb ixwz cöwzôv Kiv cª qvrb hv mybvmwik wn m e M o Zzj Z mnvqk n e Kg Pvix `i Zv `i Kg Î mwvk wm vší wb Z mnvqzv Kiv e e vck K mwvk wbqg g b Pj Z mnvqzv Kiv Ges kqvi nvìvi, µzv Ges RvMvb`vi, mikvi Ges Ab vb mkj c K wbðqzv cö`vb hv `i ms M e emvwqk m úk _v K BóvY nvdwrs wjwg UW K aÿsm, Pzwi, RvwjqvwZ, Nyl, `yb xwz, Af šíixb jb `b BZ vw` mkj AmZZvg~jK NUbv _ K i v Kiv GB e emv cwipvjbvi Av`k Avgv `i AwfÁZv I cö qvrb Abyhvqx wbqwgz cwiez b, cwiea b I cwigvr b Kiv n q _v K Af šíixb wbqš b BóvY nvdwrs wjwg UW Gi Af šíixb e e vcbv ˆZix Kiv n q Q e emv qi Kvh m úv` bi Rb h mkj SzuwKi m ywlb n Z nq Zv K bv Kwg q mwvkfv e cwipvjbv Kivi Rb Kv úvbxi Af šíixb e e vcbvi g~j PvjK cwipvjke ` Af šíixb wbqš bi cvkvcvwk `vwq Z i mylg e U bi cö qvrbxqzv Abyaveb Kiv Af šíixb wbqš b nj GKwU cöwµqv hvi gva g Kv úvbxi cwipvjk, e e vcbv Ges Kg Pvix GKwU wbw`ó D Ïk mdj Kivi Rb cö qvrbxq wbðqzv c q _v K GQvovIt- mỳ - Kvh Ki e e v bqv m ú` i Yv e b A_ bwzk Ges Ab vb e e vcbvi mwvk Z _ I wbðqzv RvwjqvwZ eü Kiv RvZxq AvBb I Kv úvbx AvBb, SEC Rules, K G PÄ Gi wbqg Kvbyb g b Pjv BóvY nvdwrs wjwg UW GB Dcv`vb jvi Dcw wz me `v mywbwðz K i hv Q hv djcömy Af šíixb e e vcbvq Dcw wzi cögvb K i cwi ek wbqš b cwipvjkgûjx Zv `i `k Y m ú K Av jvpbv Ges we kl SywK wbw` ókiy, Zzjbv Ges mwvk e e vcbvi gva g djcömy wbqš b cwi ek m wó K i Avm Q GKwU djcömy wbqš b cwi ek mb D P e e vcbvi gva g cöwzwôz Kiv m e hviv e emv qi cöwzwu Î m`vpib K i h Kvb Rwg A_ev GcvU g U Gi Kv R nvz `evi c~ e Zvi cwi e ki w` K we klfv e bri `qv nq SuywK wba viy e emv qi cöavb SzuwK wbav i bi Rb Kv úvwbi wbr ^ SzuwK e e vcbv cöwµqv i q Q SuywK we epbvi mgq cöwµqvmz SzuwK KI we epbv Kiv nq, cwikíbvi mgq hv e emv qi j K cöfvwez Ki Z cv i SuywKi mwvk we epbv Kv úvwb K Zvi j AviI djcömyfv e AR b mnvqzv K i Kvh µg wbqš b Kvh µg wbqš b nj wkqz wbqg I bxwz hv e e vcbv K djcömy K i Ges j AR b e _ n j cö qvrbxq c` c MÖnY K i wbqgbxwz jv Kv úvbx Z cöwzwôz i q Q Ges G jv cöwzwbqz cwiez b, cwiea b I cwigvr b Kiv nq Z_ I hvmv hvm Kv úvbx Af šíixb I ewn:kvh µg welq jv e e &vcbv ch v q Kvh Kix Z_ mieiv ni wbðqzv cö`vb K i D Zb e e vcbv _ K cö Z K Avjv`vfv e cwi vi evz v cvq hv iæ Z i mv _ wbqš b Kiv nq 22 Eastern Housing Limited

23 cwiex b Af šíixb wbqš bi c wz wbqwgz cwiex b Kiv nq Pjgvb Kg ZrciZv I c _K g~j vqb- GB Df qi gva g Pjgvb cwiex b Kg ZrciZvmg~n wbqwgz e e vcbvi Kg ZrciZvmg~ ni gva g cwipvjbv Kiv nq Af šíixb wbix v KvR, cwipvjbvmz Avw_ K wbqš b I c wzi Kvh KwiZv Ges wbqš bi welqmg~ ni m ú K KvR Kivi mg q e e vcbvi Kvh e e vi Kvh KwiZv m ú K GKwU be w³k I ^vaxb gzvgz cö`vb Kivi R b `vqx Af šíixb wbwi v KvR Af šíixb wbqš b c wzi Dcv`vbmg~ ni Dcw wz cwiex b K i I wbix v KwgwUi Kv Q cöwz e`b cö`vb K i m PZbZvi Dbœqb evw wbix K KwgwUi gva g wbwðz K i Q h Kv úvwb Z Af šíixb wbqš b m úwk Z m PZbZv e w n q Q G jv m e n q Q e e vcbvi wbqš b, Af šíixb wbqš b welq jv wb q Av jvpbv, PvKzwii evb i Af šíixb e e vcbv wb q covïbv, wbqš b e e vi gva g GKwU cöwz hvmxzvc~y Kg kxj, Ges g `v Ae vi K_v wpšív K i mwvk wbqš b cwi ek m wói gva g evw wbix v KwgwUi gva g Af šíixb wbqš bi djcömyzv hvpvb Gi Rb me `v wewb qvwrz wbix v KwgwU 2011 mv j Pvievi GKwÎZ n q Q G `i Kvhv ejx wbix v KwgwUi cöwz e` b `qv n q Q GB KwgwU ^vaxbfv e Kv úvbxi e emvi cöwµqv hvpvb K i _v K AwWU KwgwUi cöwz e`b f~wgkv BóvY nvdwrs wjt Gi wbix v KwgwU cwipvjke `i GKwU Dc-KwgwU hviv SEC Circular Abyhvqx evw Gi Øviv wbe vwpz Ges wb qvmcövß n q Qb e emv qi Kvh vejx chv jvpbvi Rb wbix v KwgwU Kv úvbxi Avw_ K weeibxi mvgäm Zv wbix v K i Ges ev W i wbku e emvwqk SyuwK Af šíixb wbqš b Ges Mfv b Ý Ges Gi cwicvjb wel q Zv `i gzvgz cö`vb K i KwgwU e emv qi Af šíixb e e vcbv, e emvwqk SuywK Ges e emvi cwipvjbv msµvší Z_ vw` msmön K i Ges e emv K GKwU myô I mwvk c _ cwipvjbv Ki Z mnvqzv K i m`m c` Ges mfv GKRb ^vaxb cwipvjk mn wbix v KwgwU 3 m`m Øviv MwVZ 2011 mv ji cwipvjke ` n Qb: 1) Rbve gvt Ave`yj Iqv`ỳ, Pqvig vb, AwWU KwgwU 2) Rbve miiqvi ew`dm mvjvg, m`m, AwWU KwgwU 3) Rbve gvt gv ÍvwdRyi ingvb, m`m, AwWU KwgwU 2011 mv j KwgwU 4 evi GKwÎZ n qwqj GB wgwus G e e vcbv cwipvjk, A_ cwipvjk, AvBb cwipvjk, AwWU Gi cöavb Ges ewnivmz wbix K `i wmwbqvi Askx`vi K Avgwš Z Kiv n qwqj Ges Zviv me jv wgwus G Dcw Z wq jb Kv úvbx mwpe wbix v KwgwUi mwpei e U, wzwb mkj Minutes and Documents ˆZix K i Qb Ges wgwus Gi Action Plan Gi ev Íevqb I cö qvm Ges djvdj Rvbv bvi Rb `vqxz cövß `vwqz Ges D Ïk wbix v KwgwUi Kvh v ejx evw wbav wiz wbqgvejx Øviv cwipvwjz nq hv wbix v KwgwUi Øviv ch v jvpbv Ges evw KZ K Aby gvw`z nq wbix v KwgwUi cöavb `vwqz jv n Q t 1. Kv úvbxi Avw_ K weeibxi h_v_ Zv hvpvb Ges Kv úvbxi Kvh vejx m ú K h Kvb AvbyôvwbK NvlYv `qv Ges cöavb ev W i Kv Q Dcw wzi c~ e Avw_ K cöwz e`b hvpvb Kiv 2. Kv úvbxi wnmve i Yi bxwz, Af šíixb wbqš b Ges e emvwqk SuywK e ve vi djcªmyzv wbix b 3. Af šíixb wbix vi Kvh vejx I djcömyzv `Lv I wbix b Kiv 4. Kv úvbxi m ve Zv Ges Kvb wkqz ïiæ Kivi c~ e Gi djvdj wb q ewnt wbix Ki mv _ Av jvpbv I hvpvb Ges Kv úvbxi Ges cövwzôvwbk Pvwn`v Abyhvqx e emvi cöwµqvi djcömyzv hvpvb Eastern Housing Limited 23

24 wbix v KwgwUi Kvh vejx 31 k RyjvB 2011 mgvß eqi ch ší wbix v KwgwU wbgœwjwlz Kvh vejx m úv`b K i Q: 1) Kv úvbxi mwvk Ges hyw³hy³ Ae v cö`k bi Rb mv ji Avw_ K weeiyx jv ch v jvpbv 2) Af šíixb wbqš b wbix v cwikíbv Aby gv`b Ges Af šíixb wbix v KwgwUi ^vaxb Kvh vejxi wbix b 3) Kv úvbxi SuywK e e vcbv cöwµqv Ges SzuwK wbimb cwikíbv wbix b 4) Kv úvbxi AvBb Abyhvwq wb qvmcövß wbix Ki Zdkxj KŠkj wbix b I Aby gv`b hgb- Kv Ri cwiwa, wbix vi Am úyy cöwz e`b, mycvwikgvjv ch v jvpbv, ms hvrb I we qvrb Kiv 5) AvBbx wbix K _ K c&ªvß e e vckxq wm vší wbix b Ges Zv `i mevi djcömyzv g~j vqb 6) wbix b KwgwUi Kv Ri cwiwa hvpvb 7) e emv qi cöavb wbqš jv m ú K e e vcbvi wb Ri avibv Ges m Î M nxz Kvh ejx wbix b Ges Kvb wel qi Kvh µg D ` vm bqv 8) e e vcbv cwipvjk Ges cöavb Avw_ K Kg KZ v KZ K ^v ik Z Af šíixb wbqš bi gvb Ges e emv cwipvjbvi Av`k wbix b Ges ^xk wz cö`vb 9) wb gœv³ welq jv hvnv cwipvjkgûjxi mfvq Rvbv bv nq Zvnv ch v jvpbv K i `Lv K. Kv úvbxi ^v_ welqk Ø `i Dci cöwz e`b L. Af šíixb wbqš b c wz Z m `n ev AbywgZ avkv ev AwbqgvbyewZ Zv A_ev e MZ ÎæwU M. AvBbf½, wbivcëv welqk AvBbmn, AvB bi weavb 31 k RyjvB, 2011 Zvwi L mgvß erm ii R b wbix v KwgwUi cöwz e`b ms v cwipvjbvi wewai mv _ msmwz i L cwipvjk gûjx KZ K wba vwiz wbix v KwgwUi wb qv Mi kz vejx KwgwU cwipvjk gûjx KZ K wb qvmk Z nq I Gi Kv Q `vqe _vk e wbix v KwgwU wzb m`m wewkó GKwU evw, hv `i g a GKRb n Qb ^vaxb cwipvjk Zviv n Qb Rbve gvt Ave`yj Iqv`ỳ, cwipvjk, wbix v KwgwUi Pqvig vb, Rbve gvt gv ÍvvwdRyi ingvb, m`m I Rbve mv ivqvi ew`dm mvjvg, ^vaxb cwipvjk I wbix v KwgwUi m`m wbix v KwgwU GB erm i 4 (Pvi) evi ˆeV K e m I KwgwUi mkj m`m I hv Z A vqx cöavb Avw_ K Kg KZ v Dcw Z wq jb PjwZ ermi Kg ZrciZvmg~n cwipvwjz nq mv j wb gœv³ wel qi Dci KwgwU KvR K it 1. wbg vy mgqm~px I gvwu fivu Kg ZrcivZvmg~n cix v I hvpvb K i 2. µq cö Íve, wbg vy gvjvgv ji cö Íve I g~jab LiP cix v K i 3. ˆÎgvwmK I Kv úvbxi PzovšÍ wnmve hvpvb K i 4. Af šíixb Avw_ K wbqš bi Kvh KwiZv ch v jvpbv K i I cöavb Af šíixb wbix Ki wbix v AvcwËI ch v jvpbv K i 5. Af šíixb wbix K KZ K cö`ë c q U ev mycvwik I ms kvabmg~n ch v jvpbv K i 6. ms vmz cwipvjbvi ch vßzv m ú K AwfwnZ K i 7. ev W i Kv Q Avwe Z Awbqgmg~n PzovšÍfv e cöwz e`b K i 8. ewnt wbix KM Yi m`m `i mv _ wgwjz nq I Avw_ K weeiyxmg~n m ú K Av jvpbv K i KwgwUi gzvgz n Q GB h ch vß wbqš b I cöwµqvmg~n Kvh Kwi Av Q hv Z Kv úvbxi m úwëmg~n wbivc ` _vk e m m ú K hšw³k Avk vm cö`vb K i, `vqmg~n h_vh_fv e wnmv e cö`k b Kiv n e I Kv úvbxi Avw_ K Ae vb fvjfv e I h_vh_fv e cwipvjbv Kiv n e m m ú K hšw³kfv e Avk vm cö`vb K i wbix v KwgwUi c gvt Ave`yj Iqv`ỳ Pqvig vb, wbix v KwgwU ZvwiL 17/10/ Eastern Housing Limited

25 cwipvjkmy Kv úvbxi msnwewai 138 avivi weavb Abyhvqx Kv úvbxi cöwzwu evwl K mvaviy mfvq cwipvjkgûjxi GK Z Zxqvs ki Aemi MÖnY Kiv Acwinvh Kv úvbxi msnwewai 139 weavb Abyhvqx c~e ezx wbe vp bi mgqmxgv we epbvq hviv `xn mgq hver cwipvjk c ` envj Av Qb Zv `i ch vqµ g Aemi MÖnY Ki Z n e Z`bymv i cwipvjk Rbvev myivbqv emg I cwipvjk Rbve gvt Ave`yj Iqv`ỳ `xn Kvj envj Av Qb weavq Zviv `yrb GKB w`b A_ vr AvMvgx 47 Zg evwl K mvaviy mfvq Aemi MÖnY Ki eb Ges msnwewai 140 aviv Abyhvqx hvm weavq Zuviv cyb:wbe vp bi B Qv cökvk K i Qb wbix K wb qvm I cvwiköwgk wba vib gmvm ingvb gv Ídv Avjg GÛ Kv úvbx, PvU vw GKvDbU v Um, c vivgvd U nvbum, Aóg Zjv, ww- 27, 65/2/1, e KvjfvU ivw, cyivbv cëb, XvKv Kv úvbxi wbix K wnmv e 31 k RyjvB, 2010 Zvwi L mgvß erm ii R b 46 Zg evrmwik mvaviy mfvq wb qvmcövß nb Ges Zv `i wd 1,25,000/- UvKv wba viy Kiv nq Zviv 31/07/2011 Zvwi L mgvß erm ii R b wbix v cwipvjbv K ib I Zv `i cöwz e`b mgqgz ck K ib gmvm ingvb gv Ídv Avjg GÛ Kv úvbx, PvU vw GKvDbU v Um GB 47 Zg evrmwik mvaviy mfvq Aemi MÖnY Ki eb gmvm G. Kv mg GÛ Kv úvbx, PvU vw GKvDbU v Um, wcsk wmwu, mybu-01-03, j fj-7, cøu-15, ivw-103, jkvb G fwbd, XvKv K Kv úvbxi ciezx AwWUi wnmv e wb qvm `qvi Rb Avgiv AviI `yb Rb kqvi nvìv ii KvQ _ K cª Íve c qwq K ZÁZv Ávcb wi qj G óu e emvq bvbv cªwzkzjzv, evavwecwë, Amyweav Amxg mvnwmkzvi mv _ gvkv ejv K i Avgiv DËiY NUv Z c iwq GRb Avbw `Z Avgiv gnvb Avjøvni Kv Q wpi K ZÁ Av iv Avgv `i m vbxz kqvi nvìvimy hviv Avgv `i cöwz Av v i L Qb Ges mb me gvby li cöwz hv `i mev `v bi cöwzköæwz w` qwq Avgiv m vbxz MÖvnK, G Uvibvj AwWUm GÛ i juvix ewwm, e vsk mg~n, wmwkdwiwur GÛ G PÄ Kwgkb, K G PÄ mg~n I iwróªvi Ae R q U K Kv úvbxr GÛ dvg m mkj K Avgv `i Mfxi K ZÁZv Rvbvw Q BóvY nvdwrs wjwg U Wi cöwzwu Kg KZ v-kg Pvix hviv wbijm K Vvi cwikªg K i Qb Zv `i wbr wbr Ae v, j I mvdj AR b Avwg we kl ay ev` Rvbvw Q me k l, Avgiv ` p cöwzá Avgv `i Awfó j AR b I Avgv `i µzv mvaviy K Aweivg DbœZ mev cö`v b, mb mv _ AvBbx ms wz Pvjy ivl Z I kqvi nvìvi `i gvb i vq m Pó _vk ev Avjøvn nv dr (gbryiæj Bmjvg) Pqvig vb Eastern Housing Limited 25

26 Directors Report to the Shareholders For the year ended July 31, Bismillahir Rahmanir Rahim Dear Respected Shareholders, Assalamu Alaikum. I take the privilege to welcome you at the 47 th Annual General Meeting of Eastern Housing Limited on my behalf and the Board of Directors. Before drawing your attention to the financial statements and report of the company I avail myself of the opportunity to pay homage and respect to my beloved father Late Jahurul Islam and the illustrious founder of Eastern Housing Limited. We also mourn for the shareholders who have passed away since our last Annual General Meeting. Dear Distinguished Shareholders, It is indeed a pleasure for me to present the 18 th Annual Report of the Directors and the audited financial statements of your company for the year ended 31 st July 2011 along with the auditors report thereon complying with the Companies Act, 1994, Securities and Exchange Commission, Stock Exchanges Rules and Regulations. Economic Scenario Dear Shareholders, You are aware of the global economic condition which has had an impact on our economy. The ongoing debt crisis in Europe and deceleration of growth in USA have created wide spread apprehension, uncertainties and nervousness in the global economy. World economy is unlikely to return to pre-crisis normalcy level. World trade economy may have serious effect on energy, food and other commodities. The current crisis is of different dimension from the previous one of Domestic economy Bangladesh economy has been consistently depending on RMG and expatriates remittance. The devaluation of our currency against US Dollar causes a rise of inflation which may lead to increase in cost of inputs of particular concern is cost of food grain and petroleum imports. We are pleased to note that Bangladesh economy attained a GDP growth of 5.6% during the financial year It is expected to attain GDP growth of 6.7% in provisionally and around 7% in The per capita income is estimated to stand at US $ in 2011 as per budget announcement. We are pleased to note that the Finance Minister has recognized the Real Estate Sector as a potential of the country s economy. Bangladesh Foreign Exchange Requirement and Remittance Expatriates mostly invest in residential plots and flats. Political upheaval and battle to over through Gaddafi in Libya compelled many Bangladeshi employees to come back and also diminished the possibilities of the hope of expatriates. Similarly political unrest in Syria, Egypt, Yemen and Afghanistan also reduced the increase of expatriate s remittance. The economic situation in Malaysia and the Middle East are also reducing. Domestic Capital Market Right from the beginning of the year under review specially during the first 5 months stock market had been continuing with bullish trend. Thereafter, capital market started a downward trend which affected the trading attitude of retail investors. During the year under review, the highest price of our share was Tk.2,080/- per share of Tk.100/- each on and the lowest Tk.582/ , the current rate is Tk closing on which is stable. Dear Distinguished Shareholders Eastern Housing Limited is a part of the Islam Group of Companies having diversified into real estate, construction, pharmaceuticals, poultry feeds, hatchery, mosques, educational and philanthropic institutions viz. school, college, medical college, madrasha and hospital. The group started its diversified business under the dynamic leadership of 26 Eastern Housing Limited

27 our founder Chairman Late Jahurul Islam, during pre-independent era and became famous and steered successfully and efficiently spreading its activities in UK, UAE, Yemen Arab Republic and Iraq. He passed away on October 19, 1995 in Singapore while he was undergoing treatment. Eastern Housing Limited started in 1964 as private company in Real Estate Development. Eastern Housing Limited was the pioneer in the Real Estate Sector. The company was converted into a Public Limited Company listed with stock exchanges in Over the years, the company has been delivering steady growth by distributing plots of land and apartments. It sales grew 40% during the year and under review. Last year s sales proceeds was Tk crore against Tk crore in The EPS for this year is Tk per share against Tk in and net profit after tax is Tk crore against Tk crore in Cash dividend of 25% was paid for the year Real Estate Potentiality in the Light of Population Growth World s population already hit 7 billion in 2011, which is double than what it was in the 1960s. David Bloom, Professor of Economics and Demography at Harvard University, said the increase will bring unprecedented global demographic upheaval putting strains on space, labor and environment. By the year 2100, the earth could be home to a staggering 15.8 billion people. By 2050 nearly all of 2.3 billion projected increase will be in the less developed regions, with nearly half in Africa. By contrast, the populations of more developed countries will stay flat but will be aging, with fewer working-age adults to support retires living on pensions. The price of building materials like MS. Rod, Cement, Coarse Sand, Bricks, Stone Chips etc. are in upward trend directly affecting on profitability. Real Estate business is suspected to embrace new challenges in the upcoming Fiscal Year while the sector has been struggling to find a balance between decline of sales and getting utility connections to the newly built buildings. Biggest concern is to get power, gas and other utility connection. The rate of tax at source for registration of flat, shops, office/commercial spaces of real estate developers have been raised from existing Tk.2000/- per sqm to Tk.8000/- per sqm. (300% increase) for Gulshan, Banani, Baridhara, Motijheel and Dilkusha Area, and for Dhanmondi, Lalmatia, Uttara, Bashundhara, DOHS, Mohakhali, Dhaka Cantonment, Kawran Bazar of Dhaka Metropolitan area and Khulshi, Agrabad, Nasirabad Panchlaish of Chittagong from Tk.2000/- to Tk.6000/- per sqm (200% increase) also the rate for others area from Tk.800/- to Tk.2000/- per sqm. (ie. 150% increase) are discouraging for the real estate business. It will hang heavy on the real estate sector. The population of Dhaka city now stands at 1.50 crore which may reach at 2.00 crore by 2020 if we conservatively estimate. Housing will remain a challenge for the residents of Dhaka City. Dear distinguished shareholders, In the recent months, over all sales of land and apartments have dropped by 30% for want of electricity, gas and water supply connections to the completed projects. Insiders claimed that the realtors have failed to deliver nearly 10,000 ready apartments worth Tk.8000/- crore to the clients in time. Inconsequence of tax increase and unfavorable tune of foreign exchange remittance, the fate of around many under construction high rise buildings with commercial complex became uncertain. The banks have raised the rate of interest, banks funding for purchasing flats has been squeezed in recent times. As stated expatriates are the important buyers of land and flats but, due to economic down turn in the developed countries are affecting the real estate business. Even in the public sector construction activities have been very slow. We would suggest that government should give green signal to the projects which were stared before the announcement of DAP and also suggest to review the DAP. Inflation has crossed double digit in case of necessary and essential including building materials: During the year under review, bricks had been selling at varied rate from Tk.6,500/- to Tk.7,800/- per thousand; cement from Tk.350/- to Tk.370/- per bag; M.S. Rod 60 grade from Tk.50,000/- to Tk.61,000/- per ton; local sand Tk.12/- to Tk.13/- per cft.; Sylhet sand Tk.25/- to Tk. 27/- per cft. GI pipe Tk.45/- to Tk.160/- per feet; PVC pipe Tk.25/- to Tk.110/- per feet; SS pipe Tk.50/- to Tk.210/- per feet. Mehgini wood Tk.1,350/- to Tk.1,450/- per cft.; Shegun wood Tk.3,700/- to Tk.4,000/- per Eastern Housing Limited 27

28 cft.; Country made Wall Tiles Tk.38/- to Tk.155/- per sft.; Floor Tiles of different sizes of brand Tk.38/- to Tk.160/- per sft.; Electrical cable BRB & ECL Tk.2,000/- to Tk.12,000/- per coil of different counts, stone chips Tk110/- to Tk.120/-. With the passage of time, the price of earth filling of land has increased abnormally per katha, price of land varies from Tk.20,00,000/- to Tk.1,20,00,000/- depending on locality. At present (October 2011). Apartments/flats are being sold at varied rates per Sft. based on locality rates as stated bellow: Wari: Tk.8,000/- to Tk.10,000/-, Kamalapur: Tk.6,000/- to Tk.7,000/-, Khilgaon: Tk.6,000/- to Tk.7,000/-, Santinagar: Tk.8,000/- to Tk.10,000/-, Eskaton: Tk.8,000/- to Tk.12,000/-, Dhanmondi: Tk.15,000/- to Tk.23,000/-, Mohammadpur, Tk.7,000/- to Tk.14,000/-, Baridhara: Tk.25,000/- to Tk.40,000/-, Uttara Tk.6,000/- to Tk.10,000/-, Gulshan: Tk.22,000/- to Tk.35,000/- for residential and Tk.30,000/- to Tk.80,000/- for commercial, Mirpur: Tk.5,000/- to Tk.7,000/-. Dear Shareholders, Maya Kunjo Project Eastern Housing Limited s Maya Kunjo was a RAJUK approved earth filling land developed project of acres of land divided into plots and the plots were sold to the buyers was acquired by the government for Begunbari- Hatirjheel combined project during the emergency period. Consequently we sustained heavy losses. We lodged claim for compassion. On our continuous persuasion government agreed in principle to pay us compensation against the said project. In the meanwhile we had been under heavy pressure mountained by the buyers for refund of their money with interest. We had the no other alternative to insist the authority to help us. Finally, the authority approved to release fund to enable us to pay off our clients pending final settlement. We have been paying of our customers under pressure. However, we could not recognize such receipt in our revenue account since the deal was not finalized. We hope, we may be able to finalize our claim with the government in the next year. As soon as the disputes finally recorded on mutual understanding we would recognize the same as our revenue income. Maya Kanon Project There has been no progress of a big chunk of land at Maya Kanon project at Aminbazar area of Mirpur. It was one of the largest land area. We developed considerable area by earth filling sold to many plots to the buyers. Unfortunately, the area was marked as water bodies under DAP and on the height of that we had to stop development work in the project area. In the meanwhile our clients have been mounting enormous pressure for refund of money. We have been pursuing the concerned authority for release of the area but of no avail. So, this project has been hunting us as well as our clients. We assumed the RAJUK to develop the project as per their desire but of no avail. Shareholders recording attendance in the 46 th annual general meeting POSITION OF OUR ONGOING PROJECTS Aftabnagar (NEW): It is a small part of our biggest land projects situated in Aftabnagar, Dhaka. This phase has 165 plots and an area of katha. There are different types of plot size varying from 1.5 to 7 katha. 25% of the total plots has already been allotted. RAJUK has not yet approved our project on raising different issue. We have been trying meet up their issues. Eastern Panthachaya: It is a 15 storied Apartment complex project on katha of land. It is situated at 152/2/G/1-2, Panthapath. It consists of 260 flats of different sizes varying from 1475 sft. to 2250 sft. It has total area of 4,48,500 sft. 55% of the construction work has already been completed and handing over are being delayed for gas and electricity connection. 28 Eastern Housing Limited

29 Eastern Dhalia: It is a 14 storied Apartment complex project on katha of land. It is situated at Plot # 405 C, Holding # 24 & 24/A, Road # 16, Dhanmondi 27 (old) and named as Eastern Dhalia having 48 apartments on an average 2120 sft. It has total area of 1,01,760 sft. Eastern Kamalapur: It is a 18 storied Commercial cum Residential complex project on katha katha of land. It is at 64, 66, 67, 68 North Kamalapur and style Eastern Kamalapur having 88 apartments and 113 office spaces. It has total area of 2,62,225 sft. Both construction work and allotment of the flats and office spaces have been going on. More than 80% flats and office spaces have been allotted so far and construction work is going on in full swing. Eastern Karim: It is a 14 storied Apartment complex project on katha 12.5 of land. It is at Plot # 2/5, Block # C, Shahjahan Road, Mohammadpur and known as Eastern Karim having 36 apartments on an average 1492 sft. It has total area of 53,712 sft. 60% 0f the construction work has been completed and allotments of flats are going on. Eastern Nawab Katra: It is a 10 storied Apartment complex project on katha at 27 Nawab Katra and style Eastern Nawab Katra having 34 apartments on an average 1419 sft. It has total area of 48,265 sft. 55% of the construction work has been completed and allotments of flats are going on. Plot # 7E, Rd # 13, Uttara: It is a 8 storied Apartment complex project on katha 7.34 of land. It is situated at plot # 7/E, Road # 13A, Sector # 3 (new), Uttara and having 14 apartments on an average 1585 sft. It has total area of 22,190 sft. The allotment process has just started for this project. Eastern Arzoo: It is a 18 storied Commercial complex project on katha 12 of land. It is at 61 Bijoynagar having 32 nos. shops and 120 office spaces. The construction is still going on. It has total area of 1,02,138 sft. All shops are being sold where as more than 80% office spaces have been allotted so far and construction work is going on in full swing. 59/B Kamal Atatuk Avenue: It is a 14 storied Commercial complex project on katha of land and it is at plot # 59 (old) New - 25 Block # B, Kamal Atatuk Avenue, Banani and style 59/B Kamal Atatuk Avenue having total area of 89,447 sft. NEW PROJECTS The following new projects will come up shortly: Sl # Project Location Land Area (in Katha) Proposed Height 1 Plot # CES (G)- 5A, Road-126, Gulshan Storied Commercial 2 Plot # 37, Block- K, Park Road, Baridhara Storied Residential 3 1/ 4, Mymenshingh Road, Paribagh, Dhaka /15 Storied Residential 4 Plot- 64/A, Road- 5, Banani (DOHS), Dhaka Storied Residential 5 Plot 2/A, Road- 29, Gulshan-1, Dhaka Storied Residential 6 Plot- 41,43, Road- 14, Sector- 12, Uttara, Dhaka Storied Residential 7 Plot- 47, Road- 16, Sector- 14, Uttara, Dhaka Storied Residential 8 House- 80 and 80/B, Indira Road, Dhaka Storied Residential 9 Plot- 1/1/KA, Section 2, Mirpur, Dhaka Storied Residential 10 Plot- 18, Road- 2, Sector- 11, Uttara, Dhaka Storied Residential 11 Plot- 32, Road- 2, Sector- 12, Uttara, Dhaka Storied Residential Dear Shareholders You are aware that late Jahurul Islam, the founder Chairman of Eastern Housing Limited established the company with vision and charted mission as pioneering institution to serve the people we are ethically committed to. He could visualized the importance of housing problem well in advance and steered and pioneered the company. His passing away was a severe shock to us and the industry. We have been sincere and true to our commitment and trust reposed on us by our beloved founder and have been centering to the best of our capability with your help and encouragement. This time your company earned a decent profit and we would strive hard to keep the trend in future. We sincerely hope and pay utmost important to your help and encourage in advancing the cause of improvement and development of the company. We do value your advise and aspiration will be guiding force in to attain our goal. Type Eastern Housing Limited 29

30 LAND BANK: For the last a few years our land bank have been continuing to decrease. We could purchase only acres against 17 acres in the previous year. Our stock of undeveloped land has depleted to acres only and stock of developed land is acres and acres are under progress. The company has been constantly in search of low laying land and purchase whenever available. There is dearth of land in Dhaka and in its adjacent area whenever available the price demand are beyond economic development. Due to imposition of embargo in certain low-lying areas in and around Dhaka on environment ground and water bodies are mainly under DAP restricted zone. As stated in the last year DAP (Detailed Area Plan) imposed many restrictions, on earth filling which negate expansion of land project instead of encouraging the trade. It has become difficult to find land mass for big project. Further, government has been contemplating to impose embargo on filling any agricultural land. These will further complicate the availability of low cost of low lying land. DEVELOPMENT OF LAND During the year under review, the company could purchase only acres of undeveloped land and at the end of the year we have acres of undeveloped land. The company has another acres of land at different stages of development. And we have completed 40 apartments in the last year. The breakup of our Land Bank is given hereunder: Break up of Land Bank of The Company As on : 30 Eastern Housing Limited Particulars Area in Acre Value in Taka Undeveloped land ,134,584,600 Developed land 1, ,503,819,500 Land in process ,468,200 Total : 1, ,046,872,300 LONG TERM LOAN: The opening balance was Tk crore (long term Tk current maturity Tk.8.87 crore), addition during the year Tk crore. Interest accrued during the year amounting to Tk.2.14 crore made the total of Tk crore and payment made during the year amounting to Tk.9.61 crore leaving the closing balance at Tk crore (long term Tk.6.44 crore + current maturity Tk.7.48 crore) where as there is not any current maturity balance. This does not include sponsor s non-interest bearing loan amounting to Tk crore. OVER DRAFT: Opening balance of Overdraft account with Dhaka Bank Limited, Standard Bank Limited, United Commercial Bank Limited and Southeast Bank Limited paid Tk crore. As a result of transactions during the year balance as on amounted to Tk crore. SALES: During the year under review, 1,184 plots has been sale from land section as against 487 of plots in previous year and apartment sale increased to 350 as against 299 nos. In terms of value our turnover has increased from Tk crore to Tk crore. The comparative sales figures are tabulated below: Sale Land 1,683,636, ,565,700 Apartment 550,410,900 1,044,520,700 Total 2,234,047,200 1,595,086,400 During the year under review, the sale in the land sector (registered) increases. It amounts to Tk.1,68.36 crore compared to Tk crore. The sale of apartment unit achieved at Tk crore sales against Tk crore in the previous

31 year. Due to government restrictions on gas and electricity connections your company was unable to hand over flats to customers which resulted in the drop in sales figure of the apartment sector in comparison to last year. Total turnover recorded an increase of (Tk Tk ) Tk.63.9 crore. PROFIT: Consequently profit increased to Tk crore. Interest earned on FDR and the STD Account tuned to Tk crore. Tax on 10% was deducted at sources and we have provide further 14.75% as per Income Tax Law and net interest earnings in deed with net profit after tax amounting to said Tk crore. The earning per share (EPS) was Tk The profitability during the year under review is tabulated here under: (Amount in Crore Taka) Operating Gross Profit Overhead Expenses Operating Income Non-Operating Income Profit before Taxation Tax & Provision for Tax Particulars Position as on (33.84) (6.34) Position as on (24.83) (8.45) Profit After Tax Corporate Governance Management Corporate Governance has been defined as the system, by which companies are directed, controlled and the Board is accountable for it to the shareholders. It is imperative for the company to maximize the shareholder s value and wealth. Eastern Housing Limited practices it so that investors can place their full confidence in the company. Corporate Governance is blend of law, regulation, enforcement and appropriate voluntary practices by companies that permit a company to attract capital, perform efficiently and generate long term economic value for its shareholders, while respecting the interest of its stakeholders and society as a whole. The principal characteristics of effective corporate governance are: protection of the rights of minority shareholders, transparency (including disclosure of relevant reliable financial and operational information on ownership and control; and information on the internal process of management), responsible directors capable of independently evaluating and approving the joint stock company s strategy, business plans and decisions, independently hiring, monitoring, and when necessary, replacing management and auditors. The statement outlines main Corporate Governance practices in Eastern Housing Limited under the following headings: Board of Directors of Eastern Housing Limited and their roles: Relationship with Shareholders Accountability and Audit Compliance with Legal Requirements. Employees Standard of Business Conduct. Board of Directors of Eastern Housing Limited and their roles: A Code of Corporate Governance had been produced as an outline framework for Directors to the Board of Directors. Additionally it describes their role and responsibilities and suggests a process for their continued development to assist in ensuring that they will make an effective and ongoing contribution to our business. The company fully supports establishment of formal code and is committed to ensure that structures and processes are used to direct and manage the business towards enhancing business prosperity and corporate accountability with the ultimate objective of realizing long term shareholder value, whilst talking into account the interests of other stakeholders. Eastern Housing Limited 31

32 The Code on Corporate Governance of the company sets out the principles and best practices to be applied by the company in its operations towards achieving the optimal governance framework. The Board of Directors is responsible for protecting the rights and interests of all shareholders and also accountable for the overall management of the entity. Besides its usual legal and statutory responsibilities, the Board is responsible for the following: Reviewing and adopting a strategic plan for the company; Overseeing the conduct of the company s business to evaluate whether the business is being properly managed; Identifying principal risks and ensuring the implementation of appropriate systems to manage these risks; Succession planning, including appointing, training, fixing the compensation and where appropriate, replacing senior management; Developing and implementing and investor relations program or shareholder communications policy for the company; Reviewing the adequacy and the integrity of the company s internal control systems and management information systems, including systems for compliance with applicable laws, and regulations, rules, directives and guidelines; Approving the financial statements and accounting policies of the company; Approving changes in the policy; Approving the financial statements and accounting policies of the company; Eastern Nawab Katra Recommending dividend for declaration in AGM; Establishing committees including the Audit Committee and the Compensation Committee and determining the authorities to be delegated to committees of the Board; Receiving and reviewing reports from committees of the Board; Establishing and monitoring compliance with the company s standards of business conduct and other policies of the company; Establishing appropriate systems of corporate governance in the company; Considering and approving other matters specially reserved for the attention of the Board; and Constantly guide and assist the company in external stakeholder management. Board Composition: The present Board of Eastern Housing Limited consists of 5 (five) Directors, comprising of one independent Director. The name of the Board of Directors: 1. Mr. Manzurul Islam, Chairman 2. Mrs. Suraiya Begum, Director 3. Mr. Md. Abdul Wadud, Director 4. Mr. Md. Mostafizur Rahman, Director 5. Mr. Sarwar Boudius Salam, Director The Board met 4 times during the year 2011 and took decisions on key matters. The Board is responsible for the overall system of internal control for the company and for reviewing the effectiveness of these controls. 32 Eastern Housing Limited

33 Responsibilities for implementing the company s strategy and day-to-day operations are delegated to the Executive Committee, which meets monthly. The Executive Committee is chaired by the Managing Director. The other members include the functional Heads of Legal & Secretarial, Marketing, Operations, Finance, Human Resources and Corporate & Regulatory Affairs. Relationship with Shareholders: Good corporate governance encourages dialogue with shareholders and the Annual General Meeting encourages participation of shareholders through quarterly updates of performance. Accountability and Audit: The Board reviews in detail the contents of the annual consolidated Financial Statements and Directors Report in order to satisfy itself that the presentation is balanced and that the Company s position is communicated clearly to the shareholders. The Board of Director considers, in conjunction with the external auditor, the accounting policies adopted in the accounts and examines internal control which has been put in place in the company. Compliance with Legal Requirements: The Board through the Legal & Secretarial function makes every endeavor to ensure that the business of the company complies with the laws and regulations of Bangladesh. Additionally, necessary controls are in place to ensure that the policies of the Board are complied with. The Board of Directors requires that in all possible aspects, the financial statements are prepared in accordance with the Bangladesh Accounting Standards (BAS) and requirements of Securities and Exchange Commission. Maximum information is provided to shareholders and full discloser is made subject only to any sensitive information which could directly impact the company. Employees: Eastern Housing Limited actively encourages employee involvement in the company s business via publications, team briefings and regular meetings with employee s representatives. The company s employment policy includes commitments to recruit people on the basis of their ability and to equal opportunities. Standards of Business Conduct: Eastern Housing Limited is committed to achieving high standards of integrity in public life and in all of its business practices. This commitment is set out in the standards of business conduct adopted by the company in order to conduct the company s business with honesty, integrity and transparently. It is critical to the continuing development of a business that is responsible, successful and sustainable in the long term. Standards of Business Conduct are a fundamental policy of the company that everyone working in Eastern Housing Limited must follow, whilst also providing support and guidance to assist the people to ensure that their conduct meets the high standards expected to them and comply with the laws and regulations applicable to the company s business and that they act with high standards of business integrity. The standards are an integral part of the principles of corporate governance in Eastern Housing Limited and are designed to: Ensure that decision and judgments made by the employees are lawful and comply with the ethical standards expected of a leading public limited company; Set a tone and culture for the organization which will enable it to be regarded as a good corporate citizen; Help employees who are faced with making relevant judgments in the course of doing their work; Assist managers in considering disciplinary matters where appropriate, give reassurance to Eastern Housing Limited s shareholders, customers and suppliers, to government and to other third parties with whom Eastern Housing Limited comes into business contact and; Seek to protect Eastern Housing Limited from being subject to loss as a consequence of extortion, fraud, theft, bribery and corruption, insider dealing and anti-terrorism or other dishonesty. The Standards of Business Conduct are reviewed from time to time and updated to reflect what we see as developments and issues affecting corporate conduct and values, and the standards expected. Eastern Housing Limited 33

34 Statement of Internal Control The internal control system of Eastern Housing Limited is designed to manage risks that may impede the achievement of the company s business objectives rather than eliminates these risks. The ultimate facilitator of the internal control system is the Board of Directors in order to ensure that the importance of internal controls is understood across the company and that adequate resource allocations are available. Internal control is the process by which the company s directors, management and staff obtain reasonable assurance as to the achievement of specified objectives including:- Efficiency and effectiveness of operations, maintenance of assets, reliability of financial and other management information, the prevention of fraud, compliance with relevant national laws and company Act. SEC Rules, Stock Exchanges Rules and Regulations. Eastern Housing Limited continues to ensure the presence of the following components that would create an effective internal control system. Control Environment The Board of Directors sets the tone for an effective control environment through regular exchange views and reviews of the processes for identifying, evaluating and managing the significant risks. An effective control environment is set by top management that cascades across all business functions. Before selecting a site for land or apartment projects utmost attention and arrangement is ensured for environment. Risk Assessment The company has an ongoing risk management process to identify key business risks. Process risks are also assessed at the planning stages whereby objectives are reviewed along with the associated risks that may potentially affect the achievement of objectives. Appropriate risk responses are articulated to enable the company to achieve its objectives effectively. Control Activities Control activities are the policies and the procedure to help ensure that management directives are carried out, and the necessary actions are taken to minimize the risks of failing to meet objectives. Policies and procedures are affectively established within the company and continuously reviewed for compliance, adequacy and improvement. Information and Communication The company ensures the effective flow of information on internal activities and external factors across the management levels. All individuals receive a clear message from senior management that control responsibilities must be taken seriously. Monitoring The system of internal control is monitored regularly through both ongoing activities and separate evaluations. Ongoing monitoring activities are conducted through regular management activities. The internal audit function is responsible for providing an objective and independent view of the effectiveness of operational and financial controls and procedures, as well as management action in dealing with issues of control. The internal audit function monitors the presence of the components of internal control system and reports to the audit committee. Development of Awareness The Board through the Audit Committee ensures that an awareness of internal control is enhanced throughout the company. This occurs through management self assessment of controls, discussion of internal control issues at management meetings, off the job education on internal control and through creating an environment and control attitude within the company that is challenging, proactive, and considers the worst case scenarios to gauge the appropriateness of controls. 34 Eastern Housing Limited

35 The Board has delegated the process of reviewing the effectiveness of internal controls to the Audit Committee. The Audit Committee, whose functions are described in the Audit Committee Report, met 4 times during The committee monitored and reviewed independent assessment of business process within the company. Audit Committee Report Introduction The Audit Committee of Eastern Housing Limited is a sub-committee of the Board of Directors and is appointed and authorized by the Board in pursuance of SEC Circular to review the activities of business. The role of the Audit Committee is to monitor the integrity of the financial statements of the company and review when appropriate, make recommendations to the Main Board on business risks, internal controls, governance issues and compliance. The committee satisfies itself by means of suitable steps and appropriate information, that proper and satisfactory internal control systems are in place to identify and contain business risks and that the company s business is conducted in a proper and prudent manner. Membership and Meetings The Audit Committee comprises of three members and out of them, one is independent director. The directors for 2011 were: 1. Mr. Md. Abdul Wadud, Chairman Audit Committee 2. Mr. Sarwar Boudius Salam, Member, Audit Committee and 3. Mr. Md. Mostafizur Rahman, Member, Audit Committee. The committee met 4 times during Invitees to the meeting are the Managing Director, Finance Director, Legal Director, Head of Audit and Senior Partner of the External Auditors, who have regularly attended all the meeting of the year. The Company Secretary is also Secretary to the Audit Committee prepares all minutes and documents for circulation and is responsible to provide feedback on effective implementation of action plans arising from the meetings. Responsibilities and Objectives The operating procedure of the Audit Committee is governed by a Terms of Reference which is reviewed by the committee and ratified by the Board. The major responsibilities of the Audit Committee are: 1. Monitor the integrity of the financial statements of the company and any formal announcements relating to the company s performance, reviewing significant financial reporting judgments before their submission to the Main Board for approval. 2. Review the effectiveness of the accounting policies, internal control and business risks systems of the company. 3. Monitor and review the effectiveness of the company s internal audit function. 4. Consider and the discuss with the external auditors of the company the scope of their audit prior to its commencement and, subsequently the results, and review the effectiveness of the process, taking into consideration relevant professional and regulatory requirements; Activities of the Audit Committee In the year ended July 31, 2011, the Audit Committee carried out the following activities: 1. Reviewed the financial statements and related schedules to ensure that these reflect a true and fair view of the company s state of affairs for the year Approved the Internal Audit Plan and reviewed all independent assessments carried out by the internal audit function. 3. Reviewed the risk management process adopted by the company and the major risks facing the business along with related mitigation plans. 4. Reviewed and approved the External Auditor s Strategy Memorandum, i.e. the scope of their work, reporting schedule and the resources for the audit. Eastern Housing Limited 35

36 5. Reviewed all management findings from the external audit and the effectiveness evaluation of the services of the external audit. 6. Reviewed the Audit Committee Terms of Reference. 7. Reviewed the management of self-assessment of the key controls of the business and the actions plan put forward to address any issues. 8. Reviewed the Confirmation Statement on the Standard of Internal Control and the Standards of Business Conduct signed by the Managing Director and the Chief Financial Officer. 9. Reviewed issues within the following areas. However no such occurrences were reported to the Board of Directors: a. Report on conflicts of interests; b. Suspected or presumed fraud or irregularity or material defect in the internal control system; c. Suspected infringement of laws, including security related laws, rules and regulations. Audit Committee Report for the Year ended July 31, The terms of reference of the Audit Committee has been determined by the Board of Directors in accordance with the Code of Corporate Governance. The Committee is appointed and responsible to the Board of Directors. Audit Committee consist of 3 members of the Board one of them is independent director. They are Mr. Md. Abdul Wadud, Director, Chairman of the Audit Committee, Mr. Md. Mostafizur Rahman, Member, and Mr. Sarwar Boudius Salam, Independent Director and Member of the Audit Committee. Audit Committee met 4 (four) times during the year and all the members of the Committee and Acting Chief Financial Officer attended the meeting. Activities carried out during the year: In the committee worked on follows: 1. Checked and verified the construction schedules and earth filling activities. 2. Checked the purchase proposal, proposals of construction materials and capital expenditure. 3. Verified the Quarterly and Final Accounts of the company. 4. Reviewed the effectiveness of internal financial control and also reviewed audit objection of Chief Internal Auditor. 5. Reviewed points or suggestions and amendments by the Internal Auditor. 6. Notified the adequacy of corporate governance. 7. Finally reported the irregularities detected to the Board. 8. Met the members of the external auditors and had discussion on financial statements. The committee is of the opinion that adequate controls and procedures are there to provide reasonable assurance that the company s assets are safeguarded, the liabilities are properly accounted for and financial position of the company is well and adequately managed. On behalf of the Audit Committee. Md. Abdul Wadud Chairman Audit Committee Dated Eastern Housing Limited

37 DIRECTORS As per Article 138 of the Articles of Association of the Company one third of the Directors for the time being shall retire at the every Annual General Meeting of the company. In pursuance of Article- 139 of the Articles of Association of the Company those who have been longest in the office since their last re-election are to retire by rotation. Accordingly, Director Mrs. Suraiya Begum and Director Mr. Md. Abdul Wadud will retire at this Annual General Meeting being longest in the office since their appointment. Being eligible as per Article- 140 they offer themselves for re-appointment. AUDITORS & FIX THEIR REMUNERATION M/s. Rahman Mostafa Alam & Co., Chartered Accountants of Paramount Heights, 7 th Floor, D-27, 65/2/1, Box Culvert Road, Purana Palton, Dhaka-1000 was appointed as Auditors of the company in it s 46 th Annual General Meeting for the year ending 31 st July 2010 and their fees was fixed at Tk.1,25,000/-. They carried out the audit for the year ending and submitted their report in time. M/s. Rahman Mostafa Alam & Co., Chartered Accountants, the auditors of the company will retire in this 47 th Annual General Meeting. We have also received application from two shareholders proposing M/s. A. Qasem & Co., Chartered Accountants, Pink City Suites-01-03, Level-7, Plot-15, Road-103, Gulshan Avenue, Dhaka for appointment as next auditor. APPRECIATION: We are happy for the accomplishment for the year overcoming adversities, adversaries and problems confronting the real estate business. We are grateful to the Almighty Allah. We remain committed to the shareholders for reposing trust on us and to the people we are committed to serve. We also express our profound gratitude to our Clients, External Auditors and Regulatory Bodies including Banks, Securities & Exchange Commission, Stock Exchanges and Registrar of Joint Stock Companies & Firms. My special thanks to each and every employee of Eastern Housing Limited who worked hard to achieve their respective goals and targets. We express our firm commitment to achieve our ultimate goal of rendering quality service to the clients and enhance both our corporate culture and shareholders value. Allah Hafez. (Manzurul Islam) Chairman. Eastern Housing Limited 37

38 Appropriation of the Profit In the year 2011, SALES increased by 40.06% and Cost of Sale was increased by 48.52%. Gross Profit increased by 18.65% and Profit After Tax Increased by 12.63%. Earning per Share Increased to Tk from Tk in the previous year and NAV per share increased from Tk to Tk Particulars 31/7/ /7/2010 Amount in Taka Percentage Amount in Taka Percentage Profit Before Tax 314,315, ,279, Total Available of Appropriation 314,315, ,279, Tax U/S 53FF & 53H (63,405,400) (20.17) (84,501,800) (27.50) General Reserve (60,000,000) (19.09) (20,000,000) (6.51) Dividend (Cash) (93,085,200) (29.62) (155,142,000) (50.49) Dividend Equalization Reserve (50,000,000) (15.91) (20,000,000) (6.51) Retained During the Year (47,824,600) (15.21) (27,635,500) (8.99) Total (314,315,200) (100.00) (307,279,300) (100.00) G. Reserve 19.09% Retained 15.21% Income Tax 20.17% Dividend E. Reserve 15.91% Dividend 29.62% 38 Eastern Housing Limited

39 Auditors Report To The Shareholders of Eastern Housing Limited We have audited the accompanying financial statements of Eastern Housing Limited which comprise the statement of Financial Position as at July 31, 2011, and the Statement of Comprehensive Income, Statement of Changes in Equity, Statement of Cash Flows for the year then ended and a summary of significant accounting policies and other explanatory information. Management s responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with Bangladesh Financial Reporting Standards (BFRS) and the Companies Act, 1994 and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatements, whether due to fraud or error. Auditors Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with Bangladesh Standards on Auditing (BSA). Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditors judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, we consider internal control relevant to the entity s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstance, but not for the purpose of expressing an opinion on the effectiveness of the company s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Opinion: In our opinion, the financial statements present fairly, in all material respects, the financial position of Eastern Housing Limited as at July 31, 2011 and its financial performance and its cash flows for the year then ended in accordance with Bangladesh Financial Reporting Standards and comply with the applicable sections of the Companies Act, 1994, the Securities & Exchange Rule, 1987 and other applicable laws and regulations. We also report that: a) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purpose of our audit and made due verification thereof; b) in our opinion, proper books of accounts as required by law have been kept by the company so far as it appeared from our examination of these books ; c) the statement of financial position and statement of comprehensive income dealt with by the report are in agreement with the books of accounts and returns ; and d) the expenditure incurred was for the purpose of the company s business. Dated: Dhaka October 25, 2011 Rahman Mostafa Alam & Co. Chartered Accountant