i) Contingent Liabilities / Commitments
 
 The amount remaining to be executed on capital account not provided for
 Is Rs 67.74 crores {Rs 83.51 crores).
 
 The amount remaining to be executed on revenue account not provided for
 is Rs 345.20 crores.
 
 Claims against the company not acknowledged as debts are Rs 142.81
 crores (Rs 134.23 crores).
 
 The company has given counter-guarantee to Government of India for
 loans obtained from JBIC & IBRD banks am on lent to its subsidiaries.
 The outstanding balance as on 31.03.2012 stood at Rs 720.10 crores {Rs
 731.76 crores) am Rs 642.62 crores (Rs 638.67 crores) respectively.
 
 Further, the company has also given guarantee for loans obtained by
 subsidiaries from Export Development Bank of Canada (EDO and Liebher
 France the outstanding balance of which as on 31.03.2012 stood at Rs
 155.47 crore (Rs140.45 crores) and Rs 13.87 crores {Rs 13.60 crores)
 respectively.
 
 As on 31.03.2012 outstanding letters of credits amounted to Rs 218.63
 crores {Rs 48.06 crores).
 
 ii) Long Term & Short Term Provision (Refer Note 5 & Note 9)
 
 Provision for Employee Benefits
 
 The disclosures as per actuarys certificate for employee benefits for
 gratuity and leave encashment are given below:-
 
 iii)        Related party disclosure
 
 Key management personnel for the year ending 31.03.2012 :
 
 Mr. N. C. Jha, Chairman (upto 31 st January, 2012)
 
 Ms. Z. Chatterji, Chairman-Cum-Managing Director (from 1 st February,
 2012)
 
 Mr. R. Mohan Das, Director (P&IR)
 
 Dr. A.K. Sarkar, Director (Marketing) (upto 30th April, 2011)
 
 Mr. A. K.Sinha, Director (Finance)
 
 Mr. N. Kumar. Director (Technical) (from 1 st February, 2012)
 
 iv) Taxation
 
 An amount of Rs 450.00 crores (Rs 190.00 crores) is provided in the
 accounts during the current year towards income tax.
 
 There is no deferred tax liability of the company for the year.
 However, the company is having a deferred tax asset on the basis of
 calculation as per Accounting for Taxes on Income (AS-22), issued by
 Institute of Chartered Accountants of India. As per existing provisions
 of tax laws the dividend received from subsidiaries which accounts for
 the income of Coal India Ltd, is tax free w.e.f. financial year
 2003-04. Since without considering such dividend there is no virtual
 certainty of future taxable income, as a prudent practice no deferred
 tax asset is recognised in the accounts.
 
 Further dividend to GOI / other shareholders has been paid out of
 dividends received from subsidiary companies of CIL, on which Dividend
 Distribution Tax has been paid by the respective subsidiaries. No tax
 on dividend to GOI and other shareholders has been considered as per
 the provision of Income Tax Act, 1961.
 
 v) Borrowing and other Costs in respect of foreign currency loans
 
 Borrowing and other costs (including exchange difference) in respect of
 foreign currency loans obtained for subsidiary companies have been
 recovered from the respective subsidiary companies. The company has
 entered into swap transactions against interest. Gains arising out of
 swap transactions are being carried as reserve for Foreign Exchange
 Transactions. Net result of the said swap transactions will be
 recovered / paid to subsidiary companies upon completion of repayment
 of foreign currency loans.
 
 vi) The fund available with the company from the management period
 (Pre-nationalisation) of non-coking coal mines i.e. on 1.5.1973
 
 The fund available with the company against cash, bank balances, road
 coupons etc. taken over by the company from the management period of
 non-coking coal mines i.e. on 1.5.1973 has been adjusted against the
 deposit made by the company on behalf of the Govt of India to
 Commissioner of Payments on account of surplus of the said management
 period.
 
 vii) Goods purchased by Coal India Ltd. on behalf of Subsidiaries
 
 As per existing practice, goods purchased by Coal India Ltd. on behalf
 of subsidiary companies are accounted for in the books of respective
 subsidiaries directly.
 
 viii) Insurance and escalation claims
 
 Insurance and escalation claims are accounted for on the basis of
 admission/final settlement. However such details of unsettled claim are
 maintained by concerned department.
 
 ix) Provisions made in the Accounts
 
 Provisions made in the accounts against slow moving/non-moving/obsolete
 stores, claims receivable, advances, doubtful debts etc. are considered
 adequate to cover possible losses.
 
 x) Micro, Small and Medium Enterprises
 
 There is no reported Micro, Small and Medium Enterprises as defined in
 the The Micro, Small and Medium Enterprises Development Act, 2006 to
 whom the company owes dues.
 
 xi) Current Assets, Loans and Advances etc.
 
 In the opinion of the Management Current Assets, Loans and Advances
 etc. have realisable value in the course of business at least equal to
 the net amount at which they are stated.
 
 xii) Balance confirmation
 
 Balance confirmation/reconciliation is carried out for bank balances,
 all major loans & advances, long term liabilities and current
 liabilities. Provision is taken against all doubtful unconfirmed
 balances.
 
 xiii) Revision of Schedule VI to the Companies Act 1956 (w.e.f.
 01.04.2011)
 
 Following the Gazette notification dated 30th March, 2011 the Schedule
 VI of the Companies Act 1956 dealing with the format of Balance Sheet
 has modified and a format for Statement of Profit & Loss is introduced.
 
 The format as per revised Schedule VI has been applied while preparing
 this accounts. Following the new guidelines of the revised format
 inter-alia, the following segregation have been made in the Balance
 Sheet: 
 
 Current Assets
 
 An asset has been classified as current when it satisfies any of the
 following criteria :-
 
 - It is expected to be realized in, or is intended for sale or
 consumption in, the companys normal operating cycle
 
 - It is held primarily for the purpose of being traded
 
 - It is expected to be realized within twelve month after the reporting
 date
 
 - It is cash or cash equivalent unless it is restricted from being
 exchanged or used to settle a liability for at least twelve months
 after the reporting date.
 
 Non-Current Assets
 
 All assets other than current assets are Non- Current Assets
 
 Current Liabilities
 
 A liability has been classified as current when it satisfies any of the
 following criteria :
 
 - It is expected to be settled in the companys normal operating cycle
 
 - It is held primarily for the purpose of being traded
 
 - It is due to be settled within twelve month after the reporting date
 
 - The company does not have an unconditional right to defer settlement
 of the liability for at least twelve months after the reporting date.
 Terms of a liability that could, at the option of the counterparty,
 result in its settlement by the issue of equity instruments do not
 affect its classification.
 
 Non-Current Liabilities
 
 All liabilities other than current liabilities are Non- Current
 Liabilities.
 
 Operating Cycle for Coal India Limited :-
 
 As there is no normal Operating cycle the same is considered to be 12
 months period.
 
 xiv) Significant accounting policy
 
 Significant accounting policy (Note - 33) has been suitably modified/
 re-drafted over previous year, as found necessary to elucidate the
 accounting policies adopted by the company.
 
 xv) Previous years figures
 
 Previous years figures have been regrouped and rearranged wherever
 considered necessary.
 
 Figures in the parentheses relating to Additional Notes of Balance
 Sheet and Statement of Profit & Loss correspond to 12 month period of
 the previous year.
 
 xvi) Use of estimate:
 
 In preparing the financial statements in conformity with accounting
 principles generally accepted in India, management is sometimes
 required to make estimates and assumptions that effect the reported
 amounts of assets and liabilities and the disclosures of contingent
 liability as at the date of financial statements and the amount of
 revenue and expenses during the reported period. Actual results may
 differ from those estimates. Any revision to such estimate is
 recognized in the period in which the same is determined.