a) The Company has issued only one class of shares referred to as
equity shares having a par value of Rs.5/-. All equity shares carry one
vote per share without restrictions and are entitled to dividend, as
and when declared. All shares rank equally with regard to the
Company''s residual assets.
b) The Company has issued Nil (Previous Year : 19,67,108 Equity Shares)
Bonus Shares during the period of 5 years immediately preceding the
Balance Sheet date.
c) The amount of per share dividend recognised as distributions to
equity shareholders during the year ended 31st March, 2012 is Rs.1.125
(Previous Year: Rs.1.125), subject to approval by shareholders in the
ensuing Annual General Meeting.
a) Term Loans Secured by way of first charge, in respect of all the
current asset, both present and future, of the Company and Fixed
assets, both present and future, and further secured by personal
guarantees of Directors.
i. Corporation Bank Term Loan of Rs. 2,477.13 Lacs (Previous Year : Rs.
2,469.30 Lacs) repayable within 72 months including initial moratorium
period of twelve months from the date of first disbursement in twenty
quarterly equal instalments. Repayable by February 2015.
ii. Standard Chartered Bank Term Loan of Rs.359.38 Lacs (Previous Year :
Rs.646.88 Lacs) repayable within 60 months including initial moratorium
period of twelve months from the date of first disbursement in sixteen
quarterly equal instalments. Repayable by April 2013.
iii.HDFC Bank ECB Loan of Rs.3,561.60 Lacs (Previous Year : Rs. Nil)
repayable within 66 months including initial moratorium period of
twelve months from the date of first disbursement in eighteen quarterly
Repayable by December 2016. iv.Standard Chartered Bank ECB Loan of
Rs.1,602.72 Lacs (Previous Year : Rs.892.00 Lacs) repayable within 60
months including initial moratorium period of twelve months from the
date of first disbursement in nine half yearly instalments. Repayable
by March 2013.
b) Vehicle Loans are Secured by way of hypothecation of respective
motor vehicles purchased.
i. Kotak Mahindra Prime Limited Vehicle Loan of Rs.35.74 Lacs (Previous
Year : Rs.58.98 Lacs) repayable on monthly basis. Repayable by April
ii. Axis Bank Limited Vehicle Loan of Rs.7.11 Lacs (Previous Year : Rs.
Nil) repayable on monthly basis. Repayable by July 2014.
iii.Tata Motors Finance Limited Vehicle Loan of Rs.2.48 Lacs (Previous
Year : Rs.4.51 Lacs) repayable on monthly basis. Repayable by April 2013.
* There are no dues to Micro and small Enterprises as at 31st March,
2012. This information as required to be disclosed under the Micro,
Small and Medium Enterprises Development Act, 2006 has been determined
to the extent such parties have been identified on the basis of
information available with the company.
a) Building Includes Rs.750/- being face value of 15 number of shares of
Rs.50/- each held in Kant Apartment Co- Operative Housing Society
Limited. Also includes Rs.127.11 Lacs (Previous Year : Rs.127.11 Lacs) for
which the procedure for transfer of title in the name of the company is
b) Accumulated Depreciation up to 31st March 2012 includes impairment
loss on Plant and Equipment Rs.96.20 Lacs (Previous Year : Rs.96.20 Lacs)
* The Company is lessee under various operation leases under which
rental expenses for the year was Rs.91.21 Lacs (Previous year : Rs.61.68
Lacs). The Company has not executed any non cancelable lease agreement.
1 CONTINGENT LIABILITIES AND COMMITMENTS NOT PROVIDED FOR
(Rs. In Lacs)
As At As At
31st March, 2012 31st March, 2011
Bank Guarantees 155.18 109.96
Letters of Credit for Purchases 38.00 -
Income tax matters under appeal 772.53 77.79
Capital Contracts remaining to
be executed 840.82 808.57
2 EMPLOYEE BENEFITS
The disclosures required under Accounting Standard 15 (Revised)
Employee Benefits notified in the Companies (Accounting Standards)
Rules 2006 are given below:
Defined Contribution Plan:
Contribution to Defined Contribution Plan, recognized and charged off
the year, is as under: Employer''s Contribution to Providend Fund Rs.
Defined Benefit Plan:
The Company has defined benefit plans for gratuity to eligible
employees, contributions for which are made to Life Insurance
Corporation of India, who invests the funds as per IRDA guidelines. The
details of these defined benefit plans recognised in the financial
statements are as under:
General Description of the Plan:
The Company operates a defined benefit plan (the Gratuity Plan)
covering eligible employees, which provides a lump sum payment to
vested employees at retirement, death, incapacitation or termination of
employment, of an amount based on the respective employees salary and
the tenure of employment.
e) Investment details of plan assets :
To fund the obligations under the gratuity plan, Contributions are made
to Life Insurance Corporation of India, who invests the funds as per
Future Salary increases are based on long term average salary rise
expected taking into account inflation, seniority, promotion and other
relevant factors such as supply and demand factors in the employee
market. Future Separation & mortality rates are obtained from relevant
data of Life Insurance Corporation of India.
h) Contributions expected to be paid to the plan during the next
financial year Rs.Nil (Previous Year : Nil)
The Liability for Leave Encashment and compensated absences as at year
end is Rs.53.82 Lacs (Previous Year: Rs.39.21 Lacs)
Figures in the brackets are in respect of the previous year.
3. SEGMENT REPORTING
The Company is engaged mainly in production of plastic products and as
such is the only reportable segment as per Accounting Standard on
Segment Reporting (AS - 17) issued by the Institute of Chartered
Accountants of India. The geographical segmentation is not relevant as
export turnover is not significant in respect of total turnover.
4. DERIVATIVE INSTRUMENTS
The Company uses foreign currency forward contracts to hedge its risks
associated with foreign currency fluctuations relating to certain firm
commitments and forecasted transactions. The use of foreign currency
forward contracts is governed by the Company''s strategy approved by the
Board of Directors, which provide principles on the use of such forward
contracts consistent with the Company''s Risk Management Policy. The
Company does not use forward contracts for speculative purposes.
Expenditure on account of premium on forward exchange contracts to be
recognized in the profit and loss of subsequent accounting period
aggregates to Rs.51.65 Lacs (Previous Year : Rs.29.37 Lacs).
Foreign Currency Exposures not hedged by derivative instruments as at
31 st March, 2012 on payable amounting US$ 399.45 Lacs & EURO 9.55 Lacs
Equivalent Rs.20,972.25 Lacs (Previous Year : US$ 243.70 Lacs & EURO 6.49
Lacs Equivalent Rs.11,280.67 Lacs) and on receivables amounting US$ 3.61
Lacs Equivalent Rs.183.46 Lacs (Previous Year : US$ 5.86 Lacs Equivalent
Foreign Exchange Loss (Net) of Rs.2,236.87 Lacs (Previous Year : Exchange
Gain (Net) of Rs.286.99 Lacs) for the year has been included in
respective heads of Profit and Loss Account.
36. Provision for current tax has been made in accounts under MAT.
Since the company estimates that there will be no taxable profits under
normal working of taxable income for the year, Deferred Tax Charges/
Credits have not been recognized in view of the tax holiday enjoyed by
a unit of the Company and on considerations of prudence as set out in
AS 22 on Accounting for Taxes on Income.
5. The Company prepares and presents its financial statements as per
Schedule VI to the Companies Act, 1956, as applicable to it from time
to time. In view of the revision to the Schedule VI as per a
notification issued during the year by the Central Government, the
financial statements for the financial year ended 31st March, 2012 have
been prepared as per the requirements of the Revised Schedule VI to the
Companies Act, 1956. The previous year figures have been accordingly
regrouped /reclassified to confirm to the current year''s