SUBSIDIARY COMPANIES - ITC Ltd

NOTES TO THE ACCOUNTS
30. Related party disclosures
1. Parties exercising control over the Company:
Related Party Relationship
ITC Limited Holding company effective September
29, 2011, was the ultimate holding
company in 2010-11
Russell Credit Limited Fellow subsidiary, was the holding
company of Wimco Limited till
September 28, 2011
WIMCO LIMITED
29. Segment information for the year ended March 31, 2012 (` in lacs)
Information about primary March 31, 2012 March 31, 2011
business segments
Revenue
Match Engineering Forestry Unallocated Total Match Engineering Forestry Unallocated Total
External 15,285.86 1,676.85 1,191.64 18,154.35 18,478.00 1,404.25 975.53 20,857.78
Inter-segment 296.57 296.57 — — 329.32 329.32
Total
Less: Eliminations on account
15,285.86 1,676.85 1,488.21 — 18,450.92 18,478.00 1,404.25 1,304.85 — 21,187.10
of inter segment revenue (296.57) (296.57) (329.32) (329.32)
Total revenue
Result
15,285.86 1,676.85 1,191.64 — 18,154.35 18,478.00 1,404.25 975.53 — 20,857.78
Segment result
Unallocated expenditure net
(538.63) 236.68 821.09 519.14 (2,201.19) 173.84 736.45 (1,290.90)
of unallocated income
Operating Profit / (Loss)
(1,244.63) (1,244.63) (872.40) (872.40)
before exceptional items
Exceptional Item
(538.63) 236.68 821.09 (1,244.63) (725.49) (2,201.19) 173.84 736.45 (872.40) (2,163.30)
(see note 34)
Operating Profit / (Loss) after
(3,687.26) (3,687.26) (3,746.46) (3,746.46)
exceptional items (538.63) 236.68 821.09 (4,931.89) (4,412.75) (2,201.19) 173.84 736.45 (4,618.86) (5,909.76)
Interest expenses — — — (189.66) (189.66) (57.84) (57.84)
Interest income 0.40 — 0.10 2.55 3.05 2.56 2.56
Provision for taxation — —
Net Profit / (Loss)
Other Information
(538.23) 236.68 821.19 (5,119.00) (4,599.36) (2,201.19) 173.84 736.45 (4,674.14) (5,965.04)
Segment assets 6,635.39 567.45 1,996.54 12,785.14 21,984.53 8,944.15 681.16 1,935.02 11,278.30 22,838.63
Segment liabilities 1,043.05 302.26 414.30 9,067.82 10,827.44 2,102.31 304.93 472.21 4,216.96 7,096.41
Capital expenditure 39.68 6.82 22.19 40.83 109.51 109.77 5.73 1.79 15.40 132.68
Depreciation 337.17 4.75 3.66 110.88 456.46 406.07 8.65 3.33 95.95 513.99
Information about Secondary Business Segments
Revenue by Geographical Segments
March 31, 2012 March 31, 2011
India Outside India Total India Outside India Total
Sales 17,898.21 256.15 18,154.35 20,573.15 284.64 20,857.79
Carrying Amount of Segment Assets 21,984.53 — 21,984.53 22,778.81 — 22,778.81
Capital Expenditure 109.51 — 109.51 132.68 — 132.68
Unallocated income and expenditure relate mainly to the Corporate Office as also the Unallocated assets and Liabilities which include investments made centrally at the Corporate Office.
(i) The business segment has been considered as the primary segment. The Company is organised into three main business segments: Match, Engineering and
Forestry. The segments have been identified and reported taking into account the nature of products and services, the differing risks and returns, the organisation
structure and the internal financial reporting systems.
(ii) Segment revenue in each of the above business segments primarily includes sales and services in the respective segments.
(iii) The Segment revenues in the geographical segments considered for disclosure are as follows:
(a) Revenue within India includes sales to customers located within India and earnings in India.
(b) Revenue outside India includes sales to customers located outside India and earnings outside India.
The Company has disclosed Geographical Segment as the secondary segment. Fixed assets used in the Company's business or liabilities contracted have not
been identified to any of the reportable segments, as the fixed assets and services are used interchangeably between segments for some units. The Company
therefore believes that it is currently not practicable to provide segment disclosures relating to total assets and liabilities (including capital expenditure incurred
during the period) other than debtors, since a meaningful segregation of the available data is onerous
(iv) Segment revenue, results, assets and liabilities include the respective amounts identifiable to each of the above segments and amounts allocated on a reasonable
basis.
2. Parties over whom Company exercises control:
Related Party Relationship
Pavan Poplar Limited Subsidiary Company (Wholly owned)
Prag Agro Farm Limited Subsidiary Company (Wholly owned)
3. Other related Parties with whom the Company had transactions
Related Party Relationship
ITC Infotech India Limited Fellow subsidiary
Russell Credit Limited Fellow subsidiary, was the holding
company of Wimco Limited till
September 28, 2011
4. Directors of the Company
Managing director VM Rajasekharan
No remuneration is paid by the Company to the Managing Director
in accordance with the terms of his appointment.
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