*Shree Digvijay Cement Company* reported a substantial drop in standalone
net profit for the quarter ended December 2008. During the quarter, the
profit of the company declined 50.82% to Rs 48.20 million from Rs 98 million
in the same quarter last year.

Net sales for the quarter rose 14.33% to Rs 692.50 million, while total
income for the quarter rose 12.62% to Rs 693.60 million, when compared with
the prior year period.

The company reported earnings of Rs 0.34 a share during the quarter,
registering 50.72% decline over previous year period.


  *Quarterly Results - Standalone (Rs in mn)* *As at* *Dec - 08* *Dec - 07*
*%Change* *Net Sales* 692.50 605.70 14.33 *Net Profit* 48.20 98.00
(50.82) *Basic
EPS* 0.34 0.69 (50.72)

During the quarter, the operating margin of the company dropped by 627.27
basis points to 13.24% compared with the previous year period.

*Outcome of board meeting*

The board of directors at its meeting held on Jan. 27, 2009, has decided and
approved to convene an extra-ordinary general meeting of its shareholders on
Feb. 24, 2009 to seek approval under section 81(1-A) of the companies act,
1956 for preferential allotment of non-cumulative compulsory convertible
preference shares aggregating Rs 1 billion entitled to dividend at the rate
of 6% per annum, to the promoters of the company, Cimpor Inversiones SA in
order to strengthen the capital base of the company.

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