1 Stock-based Compensation On 1 July 2006, the members of the Company
approved the Puravankara Projects Limited 2006 Employee Stock Option
Scheme CESOS'' or ''the Plan'') of the Company. The plan provides for the
issuance of stock options to eligible employees (including Directors of
the Company) with the total options issuable under the Plan not to
exceed 1,366,080 options and includes a limit for the maximum and
minimum number of options that may be granted to each employee. Under
the plan, these options vest over a period of four years and can be
exercised for a period of one year from vesting.
The weighted average exercise price of the options outstanding at 31
March 2011 was Rs465.86 and they had weighted average remaining
contractual life of 9 months.
2 Leases
Properties taken on operating lease
3 Other commitments and contingencies
The Company has claimed deduction under section 80 IB of the Income tax
act, 1961 on two projects based out at Kochi. The time limit specified
by the cited section above for completing the two projects was 31 March
2011. However, the Company was not able to complete the same within the
prescribed time limit primarily on account of court stay in one of the
projects and poor state of reclamation of the land in the other. Based
on the legal opinion obtained on the above, the management believe that
the deduction under the cited section above will not be denied.
The Company is also involved in certain litigation for lands acquired
by it for construction purposes, either through a Joint Development
Agreement or through outright purchases. These cases are pending with
the Civil Courts and scheduled for hearings shortly. After considering
the circumstances and legal advice received, management believes that
these cases will not adversely effect its financial statements.
4 Related party transactions (i) Parties where control exists
Parties where control exists include: Subsidiaries:
Prudential Housing and Infrastructure Development Limited
Centurions Housing and Constructions Private Limited
Melmont Construction Private Limited
Purva Corporation
Purva Marine Properties Private Limited
Purva Realities Private Limited
Puravankara Lanka Holding Private Limited
Puravankara Projects Lanka Private Limited
Nile Developers Private Limited
Vaigai Developers Private Limited
Purva Good Earth Properties Private Limited
Purva Star Properties Private Limited
Purva Sapphire Land Private Limited
Purva Ruby Properties Private Limited
Purva Opel Properties Private Limited
Puravankara Hotels Limited
Starworth Infrastructure & Construction Limited
Provident Housing Limited
Purva Land Limited
Key Management Personnel:
Mr. Ravi Puravankara
(ii) Relative of Key Management Personnel:
Ms. Geeta S. Vhatkar
Ms. Aarti Panjabi
Mr. Ashish Puravankara
Mr. Suresh Puravankara
Ms. Amanda Puravankara
Ms. Tanya Puravankara
Ms. Vishalakshi Puravankara
(iii) Entities controlled by Key Management Personnel (Other Related
Parties):
Purva Developments
Unique park Constructions Private Limited
Unique Constructions
Welworth
Puravankara Investments
Handiman Services Limited
Dealwel - Proprietorship
Dealwel Finance Corporation
Tanya Trust
Amanda Trust
Purva Properties and Resorts Private Limited
Deal wel Estates Private Limited
5 Employee benefits
A. Defined benefit plan
The Company has gratuity and vacation pay as defined
benefit retirement plans for its employees. As at 31 March 2011
and 31 March 2010 the plan assets were invested in insurer managed funds.
B. Defined contribution plan
The Company makes contribution of statutory provident fund as per
Employees Provident Funds and Miscellaneous Provisions Act, 1952. This
is a defined contribution plan as per AS 15. Contribution made was
Rs7,156,521 for the year ended 31 March 2011 (31 Mar 2010- Rs7,286,356).
6 Segmental Information
The Company is engaged in the development and construction of
residential and commercial properties which is considered to be the
only reportable business segment as per Accounting Standard 17 on
Segment Reporting. The Company operates primarily in India and there is
no other significant geographical segment.
7 Additional disclosures under Schedule VI
The Company is not a manufacturing Company and hence the quantitative
details required under Para 3, 4C and 4D of Part II of Schedule VI of
the Companies Act are not applicable and have not been provided.
8 Disclosures of dues to micro, small and medium enterprises
Based on the information available with the company, Rs73,715/- is the
amount payable to Small and Medium Enterprises at the balance sheet
date. These amounts, being retention money, are due only on completion
of retention period and are contractually not due as on 31 March 2011
as per the contract with the said parties. Consequently the management
feels that the interest liability under MSME Act does not arise and
hence no disclosure is required under the said law.
The above information and that in Schedule number 15 has
been determined to the extent such parties have been identified on the
basis of information provided by the company which has been relied upon
by the auditors.
9 Unhedged foreign currency exposure
Balance as on 31 March 2011 in Hatton National Bank, Srilanka amounted
to SLR 76,574 (31 March 2010 SLR 8,461,405)
Balance as on 31 March 2011 in HSBC, Dubai amounted to AED 37,958 (31
March 2010 AED 35,019)
Balance as on 31 March 2011 in EEFC account with Andhra Bank Bengaluru
amounted to USD 288 (31 March 2010 USD 288)
10 Prior year comparatives
Prior year comparatives have been regrouped/reclassified wherever
necessary to conform to the presentation in the current year |