Williamson Tea Assam

1. Estimated amount of Contracts remaining to be executed on Capital
 Account and not provided for Rs. 0.13 lakhs (2004 - Rs. 25.13 lakhs)
 
 2. Contingent Liabilities not provided for in respect of -
 
 (i) Bills discounted Rs. 566.77 lakhs (2004 - Rs. Nil lakhs)
 
 (ii) Income Tax matters under Appeal Rs.120.13 lakhs (2004 - Rs. 131.50
 lakhs), without considering concomitant liability in respect of
 Agricultural Income Tax.
 
 (iii) Sales tax disputed Rs. 16.69 lakhs (2004 - Rs. 3.13 lakhs)
 
 (iv) Disputed renewal fee for Pollution Consent Rs. 21.31 lakhs (2004 -
 Rs. Nil)
 
 (v) Disputed ASEB demand Rs. 24.41 lakhs. (2004 - Rs. Nil)
 
 3. Provision for Taxation for the year has been made after taking into
 account, benefit under Section 33AB of the Income Tax Act, 1961 (which
 are available on timely deposit of required amount with development
 bank).
 
 4. Deferred Tax provision has been made in the Accounts in accordance
 with the requirements of the Accounting Standard on `Taxes on Income
 (AS-22). The major components of the Deferred Tax Assets/Liabilities
 based on the tax effect of timing differences, are as under :-
 
                                       31st March, 2005  31st March.2004
 Deferred Tax Liability                  (Rs. in Lakhs)   (Rs. in Lakhs)
 Excess of tax depreciation
 over book depreciation                          701.67           839.59
 
                                                 701.67           839.59
 DeferredTax Assets
 
 Expenditure under Section 43B of Income Tax Act.(6.73)           (1.00)
 
 Voluntary Retirement Payment                         -          (10.00)
 
 Other                                           (0.73)           (1.00)
 
                                                 (7.46)          (12.00)
 
                                                 694.21           827.59
 
 5. Nilpur Tea Company Private Limited, (Nilpur) a wholly owned
 subsidiary of the company (w.e.f. 6th August, 2004) is proposed to be
 amalgamated with the Company w.e.f, 1st April, 2005 after obtaining
 necessary approval of the proposed scheme of amalgamation from the
 appropriate authorities.
 
 6. Related party disclosures, as required by the Accounting Standard on
 (AS-18) Related Party Disclosures are given below:
 
 1 Relationships
 
 i) Shareholders of the Company
 
 Borelli Tea Holdings Limited,UK,holds 70% of the Equity Share Capital
 of the Company. Williamson Tea Holdings pie, the holding Company of
 Borelli Tea Holdings Limited is a subsidiary of George Williamson & Co.
 Ltd., UK, the ultimate holding Company.
 
 ii) Other related parties where common control exits:
 
 Cohen & Griffiths Ltd., UK, Brock Investments Ltd., Guernsey,
 KapchoruaTea Co.Ltd., Kenya, Subati Ltd., Kenya, Tinderet Tea Estate
 (1989) Ltd., Kenya, NgongTea Holdings Ltd.,UK, Strathkirk Investments
 Ltd., UK,(formerly Williamson Tea Investments Ltd.,UK), Williamson Tea
 Kenya Ltd.,Kenya, Williamson & Magor Ltd.,UK, Estate Technical Services
 Ltd.,UK, Little Bedwyn Estates Ltd.,UK, WarnfordTea Trading Co. Ltd.,
 Williamson & Magor Fine Tea Ltd., Hortanzia Ltd., North Standen Estate
 Ltd., UK, Forest Investments Ltd., Guernsey and Williamson Flowers Ltd.
 
 iii) Subsidiary Company : NilpurTea Company Private Ltd. (Wholly owned
 subsidiary w.e.f. 6th August, 2004).
 
 (iv) Key Management Personnel :-
 
 Mr, P. Magor, Mr. P. K. Gangulee and Mr. S. Singh
 
 (v) Enterprises over which the Key Management Personnel are able to
 exercise significant influence and with whom the Company has
 transactions:- NilpurTea Company Private Ltd.
 
 7. Segment Information
 
 The Company is engaged in the business of cultivation, manufacture and
 sale of tea having 17 Estates located in the state of Assam. The
 products and their application are homogeneous in nature.The business
 segments are organised as Domestic and Export. In arriving at the
 segment results indirect overheads have been allocated with reference
 to quantity sold in the different segments.
 
 The analysis by geographical area of the Companys revenue, results,
 assets and liabilities is set out below:
 
                                                        31st March, 2005
 (a) Segment Results                        Export   Domestic      Total
 
 Segment Revenue                           9103.00    9400.94   18503.94
 
 Segment Results                            758.55     674.96    1433.51
 
 Segment Assets (Debtors)                   353.32      31.98     385.30
 
 Segment Liabilities                             -      30.64      30.64
 
                                                          (Rs. in Lakhs)
                                                        31st March, 2004
                                            Export    Domestic     Total
 
                                           8236.11    10773.89  79010.00
 
                                            778.87      711.18   1490.05
 
                                            472.67       81.31    553.98
 
                                                 -       61.44     61.44
 
 (b) Reconciliation of Reportable Segments with Financial Statements
 
                                                        31st March, 2005
                                Revenues    Profit    Assets Liabilities
 
 Total of Reported Segments     18503.94   1433.51    385.30       30.64
 
 Interest                              -  (110.67)         -           -
 
 Unallocated Items                     -  (424.47)  35335.47      473821
 
 Taxes                                 -   (56.62)         -           -
 
 As per Financial Statement     18503.94    841.75  35720.77     4768.85
 
                                                       (Rupees in Lakhs)
                                                        31st March, 2004
                              Revenues     Profit     Assets Liabilities
                               1900.00    1490.05     553.98       61.44
 
                                     -   (232.25)          -           -
 
                                     -   (451.14)   36572.10     5841.75
 
                                     -    (86.09)          -           -
 
                              19010.00     720.57   37126.08     5903.19
 
                                      31st March, 2005  31st March, 2004
 
 8. Interest and Dividend Income on :-
 
 Fixed Deposit-Banks                              2.43              8.73
 
 Loans and Advances and Deposits                  8.30              0.75
 
 Deposit under Section 33AB of the
 Income Tax Act, 1961                            40.08             55.57
 
 Investments-Other Than Trade                     9.36              3.95
 
 Others                                           8.43             70.40
 
                                                 68.60             79.34
 
 9. The Company manufactures Tea and the relevant particulars are as
 under :-
 
 (a) Licensed Capacity                  Not Applicable    Not Applicable
 
 (b) Installed Capacity              Not Ascertainable Not Ascertainable
 
 (c) Total Production (including 306Tonne
 (2004 - 329 tonne) forTea Waste, Gift,
 Samples and statutory free issue
 to worker)                                21657 Tonne       23291 Tonne
 
 (d) Total Saleable Quantity               21351 Tonne       22962 Tonne
 
 (e) Opening Stock                           835 Tonne         821 Tonne
 
 (f) Closing Stock                           924 Tonne         835 Tonne
 
 10. (a) Raw Materials Consumed
 (All Indigenous)
 
 (i) *Green Leaf plucked from Companys
 own Estates                               94187 Tonne       94983 Tonne
 
 (ii) Green Leaf purchased                  7353 Tonne       74437 Tonne
 
                                      Rs. 684.41 Lakhs Rs. 1199.25 Lakhs
 
 11. Earnings in Foreign Exchange :-
 
 Export Sales during the year                  8939.42           8236.11
 
 Less: Earnings on account of Ocean
 
 Freight, Marine Insurance                      410.22            333.49
 
 F.O.B. Value of Exports                       8529.20           7902.62
 
 12. Expenses incurred in Foreign
 Currency during the year
 
 Selling Expenses                               950.83            836.25
 
 Interest                                        66.47             25.76
 
 Loan Repayment                                3889.70           1496.21
 
 Others*                                         96.56             79.04
 
 * Based on Actual Remittance
 
 13. Dividends remitted to Non-Resident
 Shareholders in foreign currency :-
 
 Amount remitted                                396.90             99.23
 No. of Non-Resident Shareholders                    1                 7
 No. of Shares held by them (Equity Shares)    9922500           9922500
 
 Year to which Dividend related             Year Ended        Year Ended
                                      31st March, 2004  31st March, 2003
 
                                               (Final)           (Final)
 
 14. Earnings per Equity Share (Basic and diluted)
 
 The calculation of earnings per share is based on the profit after
 taxation of Rs.841.75 lakhs (2004 - profit after taxation Rs. 720.57
 lakhs) and on 1,41,75,000 (2004 - 1,41,75,000) Equity Shares (Nominal
 Value Rs. 10) ranking for dividend in respect of the year.
 
 15. The names of Small Scale Industrial Undertakings to whom amounts
 are due for more than thirty days as on Balance Sheet date are as
 follows :-
 
 Continental Engineering Co., Modi Packaging & Modi Industries.
 
 16. Figures for the previous financial year have been rearranged and
 regrouped wherever necessary.