Year : 2010-11 - CCL

ANNUAL REPORT 2010-11 ________________________________________________________
ascertained liabilities in the current year an amount of 22591.94 lakh out of the past obligation
and s5360.43 lakh for the current year making a total amount of 27487.96 lakh to the CCL
Employees Group Gratuity Fund Trust (the Trust). Trustees administered contribution made to
the Trust and contribution are invested with Employees Group Gratuity Cash Accumulation
Scheme with Life Insurance Corporation of India. The following table sets out the gratuity plan
and the amounts recognized in the Company’s financial statements as at 31st March, 2011.
Disclosure Item 120 (c) As at 31.03.2011
(Figs. in Lakh)
1. Change in benefit obligations :
Projected benefit obligation, beginning of the year April, 2010 12469135893
Interest Cost 928785533
Current Service Cost 503765821
Benefits paid 1841877628
Actuarial gain/loss on obligations (–)955022298
Present value of obligation at the end of the year 13014831917
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2. Fair value of the plan assets : Dissclosure item 120 (e) :
Fair value of the plan assets beginning of the year April, 2011 3211871909
Contribution by Employer 2748796333
Benefits paid 813073347
Actuarial gain/loss on plan assets 157294108
Fair value of the plan assets at the end of the year (net of Claims Receivables) 4102359145
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3. Amount recognized in the Balance Sheet :
Disclosure item 120 (f) funded status :
Present value of obligation as on 31.03.2011 13014831917
Fair value of plan assets as on 31.03.2011 4102359145
Net liability recognized in Balance Sheet 8912472772
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4. Amount recognized in the Profit & Loss Account :
Disclosure item 120 (g) :
Current service cost 503765821
Interest cost 928785533
Actual gain/loss of plan assets 256949753
Net actuarial gain/loss recognised in this year 797728190
Total included in gratuity cost (refer Sch.-6) 1973329791
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5. Principal actuarial assumption :
Mortality table LICI 1994-96
Superannuation age
60 years
Salary Escalation
6.00 % p.a.
Inflation Rate
6.00 % p.a.
Discount Rate
8.50 % p.a.
Return on Asset
9.50 % p.a.
Formula used
Projected unit credit method
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In the case of Leave Encashment Benefit (EL/HPL) Disclosure items 12(c):
As at 31.03.2011
Present value of obligation at the beginning of the year 2046111543
Interest Cost 154526474
Current Service Cost 448074992
Curtailment Cost 0.00
Settlement Cost 0.00
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