2007-08 - Aditya Birla Nuvo, Ltd

More documents

Recommendations

Info

SCHEDULESSCHEDULE 19 (Contd.)SIGNIFICANT ACCOUNTING POLICIES AND NOTES ON ACCOUNTS(v) BORROWING COSTBorrowing Costs, attributable to acquisition and construction of qualifying assets, are capitalised as a part ofthe cost of such asset upto the date when such assets are ready for its intended use.Other borrowing costs are charged to the Profit and Loss Account.(vi) TRANSLATION OF FOREIGN CURRENCY ITEMSTransactions in foreign currency are recorded at the rate of exchange prevailing on the date of transaction.Foreign currency monetary items are reported using closing rate of exchange at the end of the year. Theresulting exchange gain/loss is reflected in the Profit and Loss Account. Other non-monetary items, like fixedassets, investments in equity shares, are carried in terms of historical cost using the exchange rate at the dateof transaction. Premium/Discount, in respect of forward foreign exchange contract, is recognised over the lifeof the contracts. Profit/Loss on cancellation/renewal of forward exchange contract is recognised as income/expense for the year.(vii) DERIVATIVE INSTRUMENTSThe Company uses derivative financial instruments, such as forward exchange contracts, currency swaps andinterest rate swaps, to hedge its risks associated with foreign currency fluctuations and interest rate. Currencyand interest rate swaps are accounted in accordance with their contract.(viii) INVESTMENTSCurrent Investments are stated at lower of cost and fair value. Long term investments are stated at cost afterdeducting provisions made, if any, for other than temporary diminution in the value.(ix) INVENTORIESRaw materials, components, stores and spares are valued at lower of cost and net realisable value. However,these items are considered to be realisable at cost if the finished products, in which they will be used, areexpected to be sold at or above cost.Work-in-progress and finished goods are valued at lower of cost and net realisable value. Finished goods andwork-in-progress include costs of conversion and other costs incurred in bringing the inventories to theirpresent location and condition.Cost of inventories is computed on a weighted-average/FIFO basis.Proceeds in respect of sale of raw materials/stores are credited to the respective heads. Obsolete, defectiveand unserviceable inventory is duly provided for.(x)GOVERNMENT GRANTSGovernment Grants are recognised when there is reasonable assurance that the same will be received. Revenuegrants are recognised in the Profit and Loss Account. Capital grants relating to specific fixed assets are reducedfrom the gross value of the respective fixed assets. Other capital grants are credited to capital reserve.(xi) REVENUE RECOGNITIONSales are recorded net of trade discounts, rebates and include excise duty. Revenue from sale of products isrecognised when the significant risks and rewards of ownership of the goods have passed to the buyer.Income from services are recognised as they are rendered based on agreements/arrangements with theconcerned parties.(90)
SCHEDULESSCHEDULE 19 (Contd.)SIGNIFICANT ACCOUNTING POLICIES AND NOTES ON ACCOUNTSFertiliser price support under Group Concession and other Scheme of the Government of India is recognisedbased on management’s estimate taking into account known policy parameters and input price escalation/de-escalation.Income from Certified Emission Reductions (CERs) is recognised at estimated realisable value on confirmationof CERs by the concerned authorities.Dividend income on investments is accounted for when the right to receive the payment is established.(xii) RETIREMENT AND OTHER EMPLOYEE BENEFITS(i)(ii)Defined Contribution PlanThe Company makes defined contribution to Provident Fund and Superannuation Schemes, which arerecognised in the Profit and Loss Account on accrual basis.Defined Benefit PlanThe Company’s liabilities under Payment of Gratuity Act (funded), long term compensated absences andpension are determined on the basis of actuarial valuation made at the end of each financial year usingthe projected unit credit method except for short term compensated absences, which are provided forbased on estimates. Actuarial gain and losses are recognised immediately in the statement of theProfit and Loss Account as income or expense. Obligation is measured at the present value of estimatedfuture cash flows using a discounted rate that is determined by reference to market yields at the BalanceSheet date on Government bonds where the currency and terms of the Government bonds are consistentwith the currency and estimated terms of the defined benefit obligation.(xiii) EMPLOYEE STOCK OPTIONSThe stock options granted are accounted for as per the accounting treatment prescribed by Employee StockOption Scheme and Employee Stock Purchase Guidelines, 1999, issued by Securities and Exchange Board ofIndia, whereby the intrinsic value of the option is recognised as deferred employee compensation. The deferredemployee compensation is charged to the Profit and Loss Account on straight line basis over the vestingperiod of the option. The employee stock option outstanding account, net of any unamortised deferredemployee compensation, is shown separately as part of Reserves.(xiv) TAXATIONTax expense comprises of current, deferred and fringe benefit tax.Provision for current tax is made on the basis of estimated taxable income for the current accounting year inaccordance with the Income Tax Act, 1961.The deferred tax for timing differences between the book and tax profits for the year is accounted for, usingthe tax rates and laws that have been substantively enacted as of the Balance Sheet Date. Deferred tax assetsarising from timing differences are recognised to the extent there is reasonable certainty that these would berealised in future.Deferred tax assets, in case of unabsorbed losses and unabsorbed depreciation, are recognised only if there isvirtual certainty that such deferred tax asset can be realised against future taxable profits.Fringe Benefit Tax is provided in accordance with the provisions of the Income Tax Act, 1961.(xv) OPERATING LEASESLeases, where significant portion of risk and reward of ownership are retained by the Lessor, are classified asOperating Leases and lease rentals thereon are charged to the Profit and Loss Account.(91)
Page 2 and 3:
Mr. G. D. Birla and Mr. Aditya Birl
Page 4 and 5:
THE CHAIRMAN’S LETTER TO SHAREHOL
Page 7 and 8:
THE CHAIRMAN’S LETTER TO SHAREHOL
Page 9 and 10:
ADITYA BIRLA NUVO LIMITEDBOARD OF D
Page 11 and 12:
FINANCIAL HIGHLIGHTS - STANDALONERs
Page 13 and 14:
MANAGEMENT’S DISCUSSION AND ANALY
Page 15 and 16:
Page 17 and 18:
Page 19 and 20:
Page 21 and 22:
Page 23 and 24:
Page 25 and 26:
Page 27 and 28:
Page 29 and 30:
Page 31 and 32:
Page 33 and 34:
CORPORATE GOVERNANCE REPORTGovernan
Page 35 and 36:
CORPORATE GOVERNANCE REPORT1. Manag
Page 37 and 38:
CORPORATE GOVERNANCE REPORTEmployee
Page 39 and 40:
CORPORATE GOVERNANCE REPORTAll the
Page 41 and 42: CORPORATE GOVERNANCE REPORTMEANS OF
Page 43 and 44: SOCIAL REPORTTranscending BusinessS
Page 45 and 46: SOCIAL REPORTMaking a difference -
Page 47 and 48: ENVIRONMENT REPORTElements for the
Page 49 and 50: SHAREHOLDER INFORMATION6c. Domestic
Page 51 and 52: SHAREHOLDER INFORMATION12. Share Tr
Page 53 and 54: SHAREHOLDER INFORMATION16. Demateri
Page 55 and 56: SHAREHOLDER INFORMATION21. Per Shar
Page 57 and 58: SHAREHOLDER INFORMATIONAccordingly,
Page 59 and 60: DIRECTORS’ REPORT TO THE SHAREHOL
Page 69 and 70: ANNEXURE ‘A’ TO THE DIRECTORS
Page 71 and 72: ANNEXURE ‘B’ TO DIRECTORS’ RE
Page 77 and 78: AUDITORS’ REPORT TO THE MEMBERSAn
Page 79 and 80: AUDITORS’ REPORT TO THE MEMBERS(x
Page 81 and 82: PROFIT & LOSS ACCOUNT FOR THE YEAR
Page 83 and 84: SCHEDULESSCHEDULE 2RESERVES & SURPL
Page 85 and 86: SCHEDULESRs. CroresAs atAs atFace V
Page 87 and 88: SCHEDULESSCHEDULE 7INVENTORIESAs at
Page 89 and 90: SCHEDULESRs. CroresYear EndedYear E
Page 91: SCHEDULESSCHEDULE 19SIGNIFICANT ACC
Page 95 and 96: SCHEDULESSCHEDULE 19 (Contd.)SIGNIF
Page 121 and 122: SEGMENT DISCLOSURES FOR THE YEAR EN
Page 123 and 124: CASH FLOW STATEMENT FOR THE YEAR EN
Page 125 and 126: AUDITORS’ REPORT ON THE CONSOLIDA
Page 127 and 128: CONSOLIDATED PROFIT & LOSS ACCOUNT
Page 129 and 130: SCHEDULES FORMING PART OF CONSOLIDA
Page 143 and 144:
SCHEDULES FORMING PART OF CONSOLIDA
Page 145 and 146:
Page 147 and 148:
Page 149 and 150:
Page 151 and 152:
SEGMENT DISCLOSURES FOR THE YEAR EN
Page 153 and 154:
CONSOLIDATED CASH FLOW STATEMENT AS
Page 156 and 157:
ANNEXURE ‘1’ OF STATEMENT PURSU
Page 158 and 159:
STATEMENT PURSUANT TO SECTION 212(8
Page 160 and 161:
ANNEXURE ‘A’ OF STATEMENT U/S 2
Page 162 and 163:
ANNEXURE ‘A’ OF STATEMENT U/S 2
Page 164:
ADITYA BIRLA NUVO LIMITEDRegistered
show all

2007-08 - Aditya Birla Nuvo, Ltd

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?