With reference to the news item appearing in a newspaper report on Sanghi Family and businesses in certain sections of Press on June, 10 2008 under the headings “Warring Sanghi bros to split their businesses”, “Sanghis head for amicable Separation”, Sanghi Polyesters Ltd has clarified to BSE the following keeping in view the interests of the share holders of the Company:

1. Sanghi Family owns various businesses ranging from Media to Textiles.

2. Sanghi Polyesters Ltd is a professionally managed Company. The Board consists of Sri. Sudhir Sanghi as the Managing Director, Sri. Siddharth Sanghi as Executive Director and also Sri. Anand Prakash Sanghi as a Director. The Board is assisted by well qualified and experienced professionals to run the Polyesters Business.

3. The business operations of the Company are and will run continue as usual.