NOTES DABUR INDIA LIMITED 1. The relevant explanatory statement pursuant to Section 173(2) of the Companies Act, 1956 in respect of item no.8 to 11, of the notice set out above is annexed herewith. Regd. Office : 8/3 Asaf Ali Road, New Delhi - 110002 2. A MEMBER ENTITLED TO ATTEND AND VOTE AT THE MEETING IS ENTITLED TO APPOINT A PROXY TO ATTEND AND ON A POLL TO VOTE INSTEAD OF HIMSELF. THE PROXY NEED NOT BE A MEMBER OF THE COMPANY. A BLANK FORM OF PROXY IS ENCLOSED HEREWITH AND, IF INTENDED TO BE USED, IT SHOULD BE RETURNED DULY COMPLETED AT THE REGISTERED OFFICE OF THE COMPANY NOT LESS NOTICE THAN FORTY EIGHT HOURS BEFORE THE SCHEDULED TIME OF THE COMMENCEMENT OF 31ST ANNUAL GENERAL MEETING. Notice is hereby given that the 31st Annual General Meeting of the Members of Dabur India Limited will be held on 3. The Share Transfer Books and Register of Members of the Company will remain closed from Friday, the 23rd June, 2006 to Saturday, the 8th July, 2006 (both days inclusive). Saturday, the 8th July, 2006 at Air Force Auditorium, Subroto Park, New Delhi – 110 010 at 9.30 AM to transact the following business:- 4. a) Members holding shares in physical form are requested to notify/send the following to the Registrar & Transfer Agent of the Company MCS LIMITED, SRI VENKATESH BHAWAN, W-40, OKHLA INDUSTRIAL AREA, PHASE II, NEW DELHI - 110020:- ORDINARY BUSINESS i) particulars of their bank account and email id, in case the same have not been sent earlier; and 1. To receive, consider and adopt the Audited Balance Sheet of the Company as at 31st March, 2006 and Profit & Loss Account for ii) any change in their address/e-mail id/ECS mandate/ bank details; the year ended on that date along with the Reports of the Auditors and Directors thereon. 2. To confirm the interim dividend already paid and to declare final dividend for the financial year ended 31st March, 2006. iii) share certificate(s), held in multiple accounts in identical names or joint accounts in the same order of names, for consolidation of such shareholding into one account. 3. To appoint a Director in place of Dr Anand Burman who retires by rotation and being eligible offers himself for reappointment. 4. To appoint a Director in place of His Highness Maharaja Gaj Singh who retires by rotation and being eligible offers himself for b) Members holding shares in the dematerialised form are requested to notify all changes with respect to their address, email id, reappointment. ECS mandate and bank details to their Depository Participant. 5. To appoint a Director in place of Mr Sunil Duggal who retires by rotation and being eligible offers himself for reappointment. 5. The Shareholders/Proxies are requested to produce at the Registration Counter(s) the attached attendance slip, duly completed 6. To appoint a Director in place of Mr P N Vijay who retires by rotation and being eligible offers himself for reappointment. and signed, for admission to the meeting hall. 7. To appoint Auditors and to fix their remuneration. Photocopies of Attendance Slip will not be entertained for issuing Gate Pass for attending Annual General Meeting. However, SPECIAL BUSINESS in case of non-receipt of Notice of Annual General Meeting, members are requested to write to the Company at its registered office for issuing the duplicate of the same. 8. To consider and, if thought fit, to pass, with or without modification(s), the following resolution as an Ordinary Resolution:- “RESOLVED THAT Dr S Narayan, who was co-opted by the Board as an additional Director with effect from 26th July, 2005 and who 6. In case you have any query relating to the enclosed Annual Accounts you are requested to send the same to the Company Secretary holds office upto the date of this Annual General Meeting and in respect of whom the Company has received a notice in writing at the Registered Office of the Company atleast 10 days before the date of Annual General Meeting so as to enable the management from a member proposing his candidature for the office of Director, be and is hereby appointed as a Director of the Company, to keep the information ready. liable to retire by rotation.” 7. Pursuant to provisions of Section 205C of the Companies Act, 1956, the amount of dividends remaining unclaimed and unpaid for 9. To consider and, if thought fit, to pass, with or without modification(s), the following resolution as an Ordinary Resolution:- a period of seven years from the date of payment, is required to be transferred to the Investor Education and Protection Fund (IPF). “RESOLVED THAT M/s Bansal & Company, Chartered Accountants, be and are hereby reappointed as Branch Auditors of the Accordingly, during the financial year 2005-06 the Company has transferred the unpaid and unclaimed amount pertaining to final Company to hold office until the conclusion of next Annual General Meeting to carry out the audit of the books of accounts dividend for the financial year 1997-98 amounting to Rs.5,55,387/- and unpaid and unclaimed amount pertaining to interim dividend relating to Alwar Division of the Company for the financial year 2006-07 on such remuneration as may be determined by the Audit for the financial year 1998-99 amounting to Rs.4,47,900/- to the IPF. Members who have not yet encashed their dividend warrants Committee.” for the financial year 1998-99 onwards are requested to make their claims to the company immediately. Members may please note that no claim shall lie either against the Fund or the Company in respect of dividend which remain unclaimed and unpaid for a 10. To consider and, if thought fit, to pass, with or without modification(s), the following resolution as an Ordinary Resolution:- period of seven years from the date of payment and no payment shall be made in respect of such claims. “RESOLVED THAT M/s Waring & Partners, Chartered Accountants, be and are hereby reappointed as Branch Auditors of the Company to hold office until the conclusion of next Annual General Meeting to carry out the audit of the accounts of London Branch of 8. As a measure of economy, copies of Annual Reports will not be distributed at the venue of the Annual General Meeting. the Company for the financial year 2006-07 on such remuneration as may be determined by the Audit Committee.” Members are, therefore, requested to bring their own copies of the Annual Reports to the meeting. 11. To consider and, if thought fit, to pass, with or without modification(s), the following resolution as a Special Resolution:- 9. All the documents referred to in the accompanying notice, explanatory statement and Register of Directors’ Shareholding are open “RESOLVED THAT in accordance with the provisions of Sections 314 and all other applicable provisions of the Companies Act, 1956 for inspection at the registered office of the Company on all working days between 11.00 am to 1.00 pm up to the date of Annual (including any statutory modification(s) or re-enactment thereof, for the time being in force), the Consent of the Company be General Meeting. Register of Directors’ Shareholding shall be open for inspection upto 3 days after the Annual General Meeting. and is hereby accorded to the appointment of Mr Mohit Burman as Whole-time Director in Dabur International Limited (DITL) 10. Members holding shares in physical form and desirous of making a nomination in respect of their shareholding in the Company, w.e.f. 1st April, 2006 on such remuneration and terms & conditions as set out in the explanatory statement attached to the notice.” as permitted under Section 109A of the Companies Act, 1956, are requested to submit to the Registrar & Transfer Agents of the Company the prescribed Form 2B, which can be downloaded from our website www.dabur.com By Order of the Board for DABUR INDIA LIMITED Regd. Office: 8/3, Asaf Ali Road, (A K JAIN) New Delhi - 110 002 Addl. General Manager (Fin.) 25th April, 2006 & Company Secretary

Explanatory statement in respect of special business pursuant to Section 173(2) Details of Directors seeking appointment /reappointment in Annual General Meeting of the Companies Act, 1956 fixed for 8th July, 2006 Item No.8 Dr Anand Burman • Dabur International Limited The Board of Directors in its meeting held on 26th July, 2005, had appointed Dr S Narayan as Additonal Non-Executive Independent • Balsara Hygiene Products Limited Director of the Company in terms of Section 260 of the Companies Act, 1956. Date of Birth: 05.05.1952 • Balsara Home Products Limited Pursuant to provisions of Section 260 of the Companies Act, 1956, Dr S Narayan shall hold office only up to the date of ensuing Annual Date of Appointment: 13.10.1986 • Besta Cosmetics Limited General Meeting. Valid notice along with requisite deposit under Section 257 of the Companies Act, 1956 has been received from Qualification: M. Sc., Ph.D., University of Kansas, USA Chairman/Member of the Committee of Board of Directors of BOOK POST the member of the Company proposing the candidature of Dr S Narayan for the office of Director of the Company. the Companies: Dr S Narayan belongs to Indian Administrative Service of 1965 batch and has served for nearly four decades in various positions in Expertise in specific functional area: • Dr Anand Burman obtained his Masters of Science Degree in Dabur Foods Ltd.:- the State and Central Government. He retired in 2003-04 as Economic Adviser to the Prime Minister of India and was responsible Chemistry in 1977. The University of Kansas, USA awarded him • Audit Committee - for implementation of economic policies of over 30 Ministries including Finance, Commerce & Industry, Petroleum, Agriculture, the Doctorate in 1980. • Remuneration Committee Shipping, Road Transport & Highways, Power, etc. • Dr Burman joined Dabur in 1980 as Manager R&D. He came on Shareholding in the Company: In view of his versatile experience the Board expects that with his induction as member of the Board, he will prove to be an asset the Board of the Company in 1983. Holds 4,65,676 equity shares of the Company and 11,06,862 stock to the Company. • He set up the Pharmaceutical Division of the Company in 1989 options. The Board of Directors recommends for your approval the appointment of Dr S Narayan as Director of the Company, liable to retire and was responsible for Company’s diversification into bulk drugs, by rotation. phytochemicals, phytopharmaceuticals and oncology. Mr P N Vijay None of the Directors except Dr S Narayan is concerned or interested in the Resolution. List of public companies in which outside directorship held: • Dabur Pharma Ltd. Date of Birth: 10.07.1951 Item No.9 & 10 • Dabur Pharmaceuticals Ltd. Date of Appointment: 15.05.2001 The members in their last Annual General Meeting held on 15th July, 2005, approved the appointment of M/s Bansal & Co. and M/s • Dabur Overseas Ltd. Qualification: M.Sc Waring & Partners, Chartered Accountants, as Branch Auditors of the Company to carry out the audit of the accounts relating to Alwar • Hindustan Motors Ltd. Expertise in specific functional area: Division and London branch respectively for the financial year 2005-06. Accordingly, their term of appointment is expiring at the • Dabur Oncology Plc conclusion of this Annual General Meeting. • Mr P N Vijay is a leading expert in Stock Market. He is a regular Chairman/Member of the Committee of Board of Directors of columnist in leading newspapers and financial journals. Consequent upon the recommendation of the Audit Committee, the Board of Directors in its meeting held on 25th April, 2006, has the Companies: List of public companies in which outside directorship held: recommended the reappointment of M/s Bansal & Co. and M/s Waring & Partners, Chartered Accountants, as Branch Auditors of the Dabur Pharma Ltd.:- Company to carry out the audit of the accounts relating to Alwar Division and London branch respectively for the financial year 2006- • Eicher Limited • Audit Committee • Eicher Motors Ltd. 07. • Shareholders / Investors Grievance Committee • Reed Relay & Electronics Limited The Board of Directors recommends these resolutions for your approval. Shareholding in the Company: None of the Directors is concerned or interested in these resolutions. Chairman/Member of the Committee of Board of Directors of Holds 74000 equity shares of the Company the Companies Item No.11 Dabur India Ltd.:- The Board of Directors of Dabur International Limited (DITL), a subsidiary of the Company, has appointed Mr Mohit Burman as Whole HH Maharaja Gaj Singh • Audit Committee time Director w.e.f. 1st April 2006, on the remuneration and other terms as mutually agreed. Accordingly, the Board of Directors of • Shareholders / Investors Grievance Committee Date of Birth: 03.01.1948 • Remuneration cum Compensation Committee your Company in its meeting held on 25th April, 2006, has recommended the appointment of Mr Mohit Burman as Whole time Director Date of Appointment: 16.11.1993 (or any other designation which the Board of Directors of DITL may decide from time to time) in DITL w.e.f. 1st April, 2006 on the Eicher Ltd.:- Qualification: M.A. (Oxford) following remuneration and terms & conditions:- • Audit Committee A. Basic Salary of Rs.28,43,750/- per annum with authority to the Board of Directors of DITL to give annual increment not exceeding Expertise in specific functional area: • Shareholders / Investors Grievance Committee • His Highness Gaj Singh is son of Late Maharaja Hanwant Singh Eicher Motors Ltd.:- 30% of the immediately previously drawn basic salary. • Audit Committee B. Perquisites & Allowances of Jodhpur. • He is Chairman, Maharaja Heritage Resorts Limited and Managing • Shareholders / Investors Grievance Committee In addition to the prescribed basic salary, Mr Mohit Burman will also be entitled to perquisites and allowances like conveyance Director Marudhar Hotels Private Limited. He also serves on the Shareholding in the Company: allowance, house rent allowance or rent free furnished accommodation in lieu thereof, house maintenance allowance, medical board of several companies. Does not hold any equity shares of the Company reimbursement, coverage under medical insurance, coverage under keyman insurance scheme, leave travel concession for himself • He has also served as High Commissioner of India in the West and his family, club fee, special allowance, variable pay/performance linked incentive, contribution to provident fund, superannuation Indies. Dr S Narayan fund and payment of gratuity and such other perquisites and allowances in accordance with the rules of DITL or as may be agreed • His Highness Gaj Singh has got varied experience of over 25 to by the Board of Directors of DITL with Mr Mohit Burman provided that such perquisites and allowances will be subject to ceiling years. Date of Birth: 20.06.1943 of 300% of the basic salary. List of public companies in which outside directorship held: Date of Appointment: 26.07.2005 For the purpose of calculating the above ceiling, perquisites and allowances shall be evaluated as per Income Tax rules, wherever • Tourism Finance Corporation of India Limited Qualification: M.Sc, MBM, M Phil, Ph.D applicable. In the absence of any such rules, perquisites and allowances shall be evaluated at the actual cost. • Jodhna Medical Research Centre Ltd. Expertise in specific functional area: In addition to the above, Mr Mohit Burman will also be entitled to the following benefits as per rules of DITL:- • Maharaja Heritage Resorts Limited • Nearly four decades (1965 to 2004) in public service in the State 1. Use of Company’s Car for official purposes and telephone at residence (including payment for local calls and long distance • Fortune Park Hotels Limited and Central Governments, in Development administration. Retired calls). Use of car for private purpose and personal long distance calls shall be billed by the Company to the appointee. • Shankar Packagings Limited as Economic Adviser to the Prime Minister of India. 2. Encashment of unavailed leave as per rules of DITL. • Birla Sunlife Insurance Company Limited • Experience in implementation of economic policies and monitoring Since Mr Mohit Burman is relative of Mr V C Burman - Chairman of the Company and his remuneration will exceed the ceiling prescribed Shareholding in the Company: of the special economic agenda of the Cabinet on behalf of the under Section 314 of the Companies Act, 1956, his appointment as Whole time Director in Dabur International Limited is required Holds 4000 equity shares of the Company Prime Minister’s Office. to be approved by Special Resolution of members of the Company in pursuance of the provisions of said Section of the Companies • He has rich experience in formulation of macro-economic policy Act, 1956. Mr Sunil Duggal for the Government, tariff and taxation policies as well as initiatives The copy of Resolution passed by the Board of Directors in its meeting held on 25th April, 2006 recommending the appointment of for modernizing the capital markets. Mr Mohit Burman as Whole time Director in Dabur International Limited is available for inspection by the members of the Company Date of Birth: 17.07.1957 List of public companies in which outside directorship held: at its Registered Office between 11.00 am to 1.00 pm on all working days till the date of Annual General Meeting. Date of Appointment: 31.07.2000 • Apollo Tyres Limited The Board of Directors recommends the Special Resolution for your approval. Qualification: M.B.A. (IIM, Kolkata) • Multi Commodity Exchange of India Ltd. If undelivered, please return to: None of the Directors except Mr V C Burman is concerned or interested in the Resolution. Expertise in specific functional area: Chairman/Member of the Committee of Board of Directors of By Order of the Board • He served as General Manager – Sales & Marketing in Wimco the Companies DABUR INDIA LIMITED for DABUR INDIA LIMITED Limited, then moved to Pepsi Foods Limited in 1994 as General Dabur India Ltd.:- Manager, Sales & Marketing before joining Dabur in 1995. • Audit Committee 8/3, Asaf Ali Road, Regd. Office: • Played the key role in redefining the sale and marketing functions New Delhi 110 002, India 8/3, Asaf Ali Road, (A K JAIN) Apollo Tyres Ltd.:- at Dabur and making it more efficient. • Audit Committee - New Delhi - 110 002 Addl. General Manager (Fin.) [email protected] 25th April, 2006 & Company Secretary List of public companies in which outside directorship held: Shareholding in the Company: www.dabur.com • Dabur Foods Limited Does not hold any equity shares of the Company