Sabero Organics Gujarat Ltd has informed BSE that in the limited review report of the Company for the quarter ended December 31, 2007, the Auditors of the Company have made the following observations:

“1. The accounts of certain sundry debtors, sundry creditors, advances and secured loans are subject to confirmation / reconciliation and adjustments, if any. The management does not expect any material difference affecting the current financial results.

2. Refer Note 6 in published results mentioning that deferred tax accounting as required under mandatory Accounting Standard AS-22 Accounting for taxes on income would be done at the year end.”