in a Dynamic Environment - Domain-b

FINANCIAL POSITION - TCS LIMITED(UNCONSOLIDATED)Share capitalAmount in Rs. croreAs at As atMarch March31, 2009 31, 2008Authorised share capital 220.00 220.00Issued, subscribed and paid-up 197.86 197.86share capitalThe issued, subscribed and paid-up share capital as atMarch 31, 2009 comprised Rs.97.86 crore of equity sharesof face value of Re. 1/- each and Rs.100.00 crore ofcummulative redeemable preference shares of face valueof Re.1/- each.The Company proposes to increase the authorized sharecapital to Rs.325.00 crore.The Directors have recommended issue of bonus sharesin the ratio of 1:1 subject to the approval of theshareholders.Post bonus issue, the issued, subscribed and paid-up sharecapital will go up to Rs.295.72 crore.Reserves and surplusAs at March 31, 2009 the balance in the securities premiumaccount was Rs.2,016.33 crore, remaining unchanged fromfiscal 2008.General reserve as at March 31, 2008 wasRs.1,394. 67 crore. On transfer of 10% of the profit aftertax for fiscal 2009 amounting to Rs.469.62 crore (previousfiscal Rs.450.88 crore), the general reserve as at March31, 2009 increased to Rs.1,864.29 crore.Balance in the profit and loss account as at March 31,2009 was at Rs.9,990.41 crore (Rs.7,374.89 crore as atMarch 31, 2008).Foreign currency translation reserve was Rs.99.22 croreas at March 31, 2009 (Rs.36.21 crore as at March 31, 2008).This increase is primarily on account of revaluation ofloans outstanding with overseas subsidiaries as at March31, 2009.Loss on cash flow hedges was Rs.721.86 crore as at March31, 2009 (loss of Rs.15.15 crore as at March 31, 2008).This loss represents effect of mark-to-market valuationof cash flow hedges taken for projected revenues. Of thisloss in the hedging reserve account, Rs.462.63 crore relatesto fiscal 2010.Reserves and surplus as at March 31, 2009 wasRs.13,248.39 crore, an increase of 22.59% overRs.10,806.95 crore as at March 31, 2008 due to accretionof profits for fiscal 2009.LoansSecured loans as at March 31, 2009 aggregatedRs.32.63 crore (Rs.9.27 crore as at March 31, 2008). Thisincrease is primarily due to finance lease obligations ofRs.31.18 crore undertaken as at March 31, 2009 (Rs.‘Nil’as at March 31, 2008). These obligations are securedagainst fixed assets. Bank overdrafts as at March 31, 2009aggregated Rs.1.45 crore (Rs.9.27 crore as at March 31,2008). These overdrafts are secured against domesticbook debts.Unsecured loans as at March 31, 2009 stood atRs.7.74 crore (Rs.8.98 crore as at March 31, 2008). Out ofthe above unsecured loans, Rs.1.24 crore is repayablewithin one year.Deferred tax liability (net)As stated in the accounting policy (see notes to accounts,schedule Q1 (k)), deferred tax assets and liabilities areoffset, tax jurisdiction wise. Schedule ‘E’ brings out detailsof component wise deferred tax balances where the netvalues result into liabilities or assets, jurisdiction wise. Acombined view of all deferred tax assets and liabilities,across all tax jurisdictions is summarized below.Amount in Rs. croreLiabilities AssetsMarch March March March Increase/31, 31, 31, 31, (decrease)2009 2008 2009 2008(108.86)(61.54)0.8631.1319.4619.55Total asset /(liability) (170.40) (109.40) 71.00 54.91 (44.91)69