Infomedia 18 Limited - domain-B

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Infomedia 18 Limited
CMYK
CMYK
CMYK
BOARD OF DIRECTORS
DR. VIJAYPAT SINGHANIA, Chairman Emeritus
GAUTAM HARI SINGHANIA, Chairman and Managing Director
I. D. AGARWAL
NABANKUR GUPTA
P. K. BHANDARI
SHAILESH V. HARIBHAKTI (w.e.f. 15.06.2009)
PRADEEP GUHA (w.e.f. 15.06.2009)
MANAGEMENT EXECUTIVES
GAUTAM HARI SINGHANIA, Chairman and Managing Director
ANIRUDDHA DESHMUKH, President – FMCG & Textiles (Sales & Marketing)
HARSHAL JAYAVANT, President – Engineering Business
H. SUNDER, President – Finance & Chief Financial Officer
K.A. NARAYAN, President – HR
RAKESH PANDEY, President – Retail & Business Development
ROBERT LOBO, President (Operations) – Group Apparel
SHREYAS JOSHI, President – Group Apparel
S.K. SINGHAL, President – Textiles
S.L. POKHARNA, President – Commercial
DIRECTOR – SECRETARIAL & COMPANY SECRETARY
THOMAS FERNANDES
BANKERS
BANK OF INDIA
BANK OF MAHARASHTRA
BANK OF AMERICA
CENTRAL BANK OF INDIA
CONTENTS
Directors’ Report &
Management Discussion
and Analysis
Pages
CITIBANK N.A.
HDFC BANK LIMITED
IDBI BANK LIMITED
2-10
STATE BANK OF INDIA
Corporate Governance Report
11-20
STANDARD CHARTERED BANK
Shareholder Information
21-24
THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED
Auditors’ Report
25-27
Balance Sheet
28
Profit and Loss Account
29
Cash Flow Statement
30
AUDITORS
DALAL & SHAH
Chartered Accountants
Schedules ‘1’ to ‘15’
31-45
INTERNAL & OPERATIONAL AUDITORS
Schedule ‘16’ – Notes Forming
Part of the Accounts
46-61
MAHAJAN & AIBARA
Annexure I - Statement of Significant
Accounting Policies and Practices
62-63
REGISTERED OFFICE
Research and Development
Expenditure Account
63
Ten-Year Highlights
64
Consolidated Account
65-79
Details of Balance Sheet and
Income and Expenditure of
Subsidiary Companies
79
Balance Sheet Abstract and
Company’s General Business Profile
80
PLOT NO.156/H.NO. 2, VILLAGE ZADGAON
RATNAGIRI - 415 612, MAHARASHTRA
REGISTRAR & SHARE TRANSFER AGENT
LINK INTIME INDIA PRIVATE LIMITED
C-13, PANNALAL SILK MILLS COMPOUND, L.B.S MARG,
BHANDUP (WEST),
MUMBAI – 400 078.
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DIRECTORS’ REPORT & MANAGEMENT DISCUSSION AND ANALYSIS
DEAR MEMBERS,
Your Directors are pleased to present their 85th report on the business and operations of your Company together with the Audited
Statement of Accounts for the year ended March 31, 2010.
1.
CORPORATE OVERVIEW
Raymond Limited is India’s leading multi-product conglomerate with interests in textiles, garmenting, apparel, retail, lifestyle
brands and engineering (files, tools and auto components) having its corporate headquarters in Mumbai.
The Company prepares its financial statements in compliance with the requirements of the Companies Act, 1956, and the
Generally Accepted Accounting Principles (GAAP) in India. Overall the financial statements have been prepared on the
historical cost basis.
2.
FINANCIAL HIGHLIGHTS
In the backdrop of the financial crisis witnessed in the previous financial year and the subsequent fallout, FY 2010 was an
extremely challenging year for your Company. However, the resilience and inherent strengths of your Company’s brands, quality
manufacturing and deep network relationships enabled your Company to weather the downturn and achieve better performance
in FY 2010. Your Company continues to be the market leader in its core business. A number of rationalisation and restructuring
initiatives were taken during the year under review to further consolidate its strengths and position itself to take advantage of
the upturn.
During FY 2010, your Company completed the restructuring exercise of the Files & Tools business by transferring it as a goingconcern on a slump sale basis to its wholly owned subsidiary JK Files (India) Limited (formerly known as Hindustan Files Limited)
effective October 1, 2009. This restructuring brings together different entities of your Company’s Files & Tools businesses into a
single legal structure and leverage synergies. In view of this restructuring, the standalone performance of the Company is strictly
not comparable with that of the previous year.
The Company closed down the operations at its high cost Thane unit in December 2009. A section of the workers accepted the
voluntary retirement scheme and negotiations are on with the balance workers for an amicable settlement. During the year
under review, the adverse changes in European market conditions coupled with the bankruptcy of a major customer rendered
the operations of the Company’s wholly-owned subsidiary-Regency Texteis Portuguesa Limitada (Regency), Portugal, unviable
and as a consequence, Regency filed for insolvency. The Company has made a provision of Rs.12.14 crores for diminution in the
value of its exposures in Regency.
For the Financial Year ended March 31, 2010, the gross turnover of your Company was Rs.1339.37 crores as compared to
Rs.1393.26 crores in the previous year. Profit before tax and exceptional items was Rs.18.88 crores as against a loss of
Rs.58.75 crores in the previous year. The net profit, after exceptional items, prior year adjustments and provision for taxes was
Rs.25.06 crores as against a net loss of Rs.271.54 crores last year.
In order to conserve the resources of the Company and taking into account the prevailing economic situation, the need of
resources for growth, the Board of Directors of the Company have decided not to recommend dividend for the financial year
ended March 31, 2010.
Your Company continues with its task to build businesses with long-term goals based on its intrinsic strengths in terms of its
powerful brands, quality manufacturing prowess, distribution strengths and customer relationships. To accelerate further value
creation, your Company continues to evaluate new areas of growth. The initiatives aimed at rationalising and streamlining
operations, to bring about efficiencies and reducing costs, remain top priority.
3.
OVERVIEW OF THE ECONOMY
The global economy is showing signs of a turnaround with Asian economies experiencing a relatively stronger rebound. The
global economic performance improved during the latter half of the calendar year 2009, prompting the IMF to reduce the
projected rate of economic contraction in 2009 from 1.1 per cent to 0.8 per cent in January 2010. Consequently, the IMF also
revised the projection of global growth for 2010 from 3.1 per cent to 3.9 per cent. However, significant risks remain: (1) in many
economies, the recovery is largely driven by government spending whilst consumer sentiments remain fragile; (2) high levels of
global liquidity have led to steep increases in commodity prices; (3) emerging markets are likely to face increased inflationary
pressures and (4) developed economies are facing large budget deficits.
There are concerns that the global recovery phase may be fragile, as economies of developed countries, particularly USA and
Europe, continue to be beset with the problems of high unemployment, low consumer spending and depressed housing
markets. Besides, the recent crisis in Portugal, Ireland, Spain and Greece indicate that there would be many pitfalls along the
road to recovery and that normalcy is still some time away.
India’s growth–inflation dynamics are in contrast to the overall global scenario. The Indian Economy is recovering steadily from
the growth slowdown, but inflationary pressures, triggered by the supply side factors, have developed into a wider inflationary
cycle.
Although the growth momentum of the Indian economy was substantially impacted with the onset of the global economic
slowdown, the severity of the impact was considerably less when compared to most developed economies. The fiscal and
monetary policies implemented by the Government of India helped the economy to weather the downturn phase. The outlook
of the Indian economy turned positive towards the end of 2009, driven by the uptrend in industrial production and recuperating
consumption and investment demand. The Reserve Bank of India has projected the final real GDP growth for 2009-10 in the
range of 7.2 per cent to 7.5 per cent with a forecast of 8.0 per cent for 2010-11.
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4.
A.
SEGMENT ANALYSIS AND REVIEW
TEXTILE DIVISION
Industry Conditions
The Indian Textile Industry is one of the leading textile industries in the world. The textiles and apparels sector is a major
contributor to the Indian economy in terms of gross domestic product (GDP), industrial production and the country’s total
export earnings. India earns about 27 per cent of its total foreign exchange through textile exports. Besides, the Indian Textile
industry contributes 14 per cent of the total industrial production of the Country. This sector provides employment to over 35
million people and it is expected that the textile industry will generate new jobs during the ensuing years.
The industry went through a challenging FY 2010, with the global meltdown ravaging economies. The collapse in consumer
sentiments, weak exports, noteworthy drop in discretionary spending in textiles/apparels and down trading by the consumers
put immense pressure on both the top-line and the bottom-line of textile companies.
Opportunities and Challenges
The present global economic scenario throws up opportunities for fundamentally strong companies such as your Company. The
inherent strengths, in the form of strong domain expertise, powerful brand positioning and strength and resilience of the brands,
fully integrated state-of-the-art production facilities, cutting-edge technology and unparalleled product innovation capabilities
combined with the deep retail market penetration, growth potential of the Tier 3, 4 and 5 towns; provide a highly potent
platform to seize opportunities in the form of newer markets, new segments of customers, new channels of distribution, etc.
On the other hand, value buying by consumers, sharp increase in raw material prices, continued weakness in developed
geographies, prospect of higher domestic inflation and interest rates are some of the challenges facing the textile industry at
large.
Overview
The Company is the market leader in high quality suiting fabrics and is a preferred supplier to leading international and Indian
brands. The Company has a powerful brand ‘Raymond’, state-of-the-art manufacturing facilities and a strong Pan-India retail
presence in the form of ‘The Raymond Shop’ (‘TRS’). The Company is on the path to becoming a lifestyle solution for discerning
customers with an offering of a range of fabrics, garments and accessories in a premium shopping environment. The Company
continues its growth of its retail network of ‘TRS’ in tier 3, 4 and 5 towns.
Performance Highlights
The performance of the Company improved during the second-half of FY 2010 as demand picked up significantly vis-à-vis the
first-half of FY 2010. In spite of the challenging business environment the Company’s net sales from the textile division was
Rs.1222.93 crores compared to Rs.1137.85 crores in the previous year.
Market Share and Retail Network
The Company is the market leader in India and is considered as one of the most formidable players in the global markets for
high-quality suitings.
In FY 2010 the Textile Division domestic sales were Rs.1089.29 crores as against Rs.1027.32 crores in FY 2009. During FY 2010 the
Company opened 89 new retails stotes. The Company continues to be judicious in its selection of store locations.
Export
Export to the USA improved during FY 2010 vis-à-vis FY 2009. The Textile exports for the FY 2010 were Rs.133.64 crores, as against
Rs.110.65 crores in the previous year. Quality, design, new products, higher levels of service to mid-premium and premium
customers have resulted in stability of customers internationally and new customers being attracted for an integrated offering.
Raw Material
Wool prices were stable during the year under review as compared to the previous year. However, the Australian Dollar
appreciated against the Indian Rupee. Your Company in its pursuit to de-risk dependence on traditional wool sources has
developed alternate vendors in other countries. The Polyester fibre prices were generally stable.
B.
FILES & TOOLS DIVISION
The Division manufactures and markets Steel Files, HSS Cutting Tools (mainly drills) and merchandising activities mainly in Hand
Tools. During the year, the Division further consolidated its position in Cutting Tools and Hand Tools segments.
Industry Outlook
Globally, the Steel Files business registered marginal organic growth in demand. The domestic market for the Company’s
products improved over the previous year with the Company registering good growth. Although the Company witnessed signs
of revival in the world economies for Files and Tools, the markets in Europe and USA, continued to be sluggish.
Performance and Review of Operations (for 6 months ended September 2009)
The Division continues to remain the market leader in the files segment in the domestic market and is amongst the largest
producers of Steel Files in the world.
The Export Sales of the Division was Rs.39.26 crores, lower by 27 per cent over the corresponding period in the previous year due
to sluggish markets in Europe and USA. The Division reported net sales of Rs.96.52 crores for the six months ended
September 2009 (Previous Year: Rs.111.51 crores for the six months ended September 2008).
5.
FINANCE AND ACCOUNTS
The observations made by the Auditors in their Report have been clarified in the relevant notes forming part of the Accounts,
which are self explanatory.
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6.
PERFORMANCE OF SUBSIDIARY COMPANIES
Domestic
Raymond Apparel Limited
Although the gross turnover of the Company was lower by 5 per cent at Rs.401.56 crores (Previous Year: Rs.421.02 crores), the
Profit after tax for the FY 2010 was Rs.5.57 crores (Previous Year: Rs.4.67 crores), registering a year-on-year growth of 19 per cent
over the previous year.
The adverse consumer sentiments made the FY 2010 very challenging due to poor retail off take and extended end-of-season
sales. Though the Company’s top-line performance was impacted, the strength of its brands and several initiatives taken to
rationalise stores, reduce operating costs, enhance efficiencies in raw material and packing material usage helped to improve
profitability. The Company also successfully implemented Enterprise Resource Planning (ERP) to streamline operations.
Going forward this Company is geared to consolidate and retain the leadership position of its power brands and improve
profitability, through continued focus on product innovation, appropriate product-price matrix and operating efficiencies,
especially in retail.
In order to optimise operational efficiencies, rationalise cost, etc., this Company and another subsidiary of your Company
namely Solitaire Fashions Limited (formerly known as Gas Apparel Limited) is seeking the approvals of the High Court, Bombay
and High Court, Madras, respectively under Section 391 – 394 of the Companies Act, 1956 for amalgamation of this Company
with Solitaire Fashions Limited. The appointed date of this amalgamation is April 1, 2009. The legal process for the said amalgamation
is expected to be completed shortly. This Company shall stand dissolved without winding up, upon completion of the
amalgamation. In view of the Petitions pending before the respective High Courts the financial statements of this Company
have been prepared and audited for the purpose of enabling your Company to prepare its consolidated financial statements
for the FY 2010.
Colorplus Fashions Limited
The Company’s turnover for the year ended March 2010 was marginally higher at Rs.154.28 crores (Previous Year:
Rs.148.32 crores). The net loss for the year after taxes, was at Rs.3.40 crores (Previous Year; Net loss after taxes and exceptional
items Rs.15.05 crores).
The performance of the Company was affected by the adverse consumer sentiments resulting in consumer down trading. In
spite of this, the Company continues to be the market leader in the premium casual wear segment. During the year this
Company exited from the women’s wear and the kids wear segments, as a part of its rationalising initiatives.
With a view to consolidate this subsidiary’s market leadership in the premium casual segment, various structural and strategic
initiatives are under implementation. The Company is confident that these strategic measures will enable this subsidiary to
report improved performance going forward.
Silver Spark Apparel Limited
The gross turnover of the Company was marginally lower at Rs.83.82 crores as compared to the previous year Rs.86.83 crores.
The Company had a Profit after tax of Rs.3.06 crores (Previous Year: Rs.1.81 crores).
The Company was successful in retaining its customers in the domestic and export markets and continues its endeavour to
attract new customers. The Company continues to meet the ever increasing quality standards set by reputed national and
international brands.
Celebrations Apparel Limited
The gross turnover of the Company was Rs.17.42 crores (Previous Year: Rs.14.29 crores). The Company earned a Profit after tax of
Rs.2.09 crores (Previous Year: loss after tax Rs.0.05 crores).
Everblue Apparel Limited
The Company earned a Profit after tax of Rs 2.15 crores (Previous Year: Rs 1.32 crores).
Raymond Woollen Outerwear Limited
The gross turnover of the Company, net of returns and discounts was Rs.46.17 crores (Previous Year: Rs.45.72 crores). The Company
recorded a loss after tax of Rs.1.71 crores (Previous Year: loss after tax Rs.1.59 crores).
With focus on product and design development and exploring opportunities in new markets and customers, the Company
expects to improve performance.
Solitaire Fashions Limited [formerly known as Gas Apparel Limited]
During the year under review this Company became a subsidiary of your Company with the erstwhile Joint Venture partner
Grotto S. p. A., divesting its 50 per cent stake. The gross income of the Company for the current Financial Year March 31, 2010 is
Rs.27.90 crores, as against the income of the previous year ended March 31, 2009 which was at Rs.11.99 crores. The Profit after
taxation was Rs.16.67 crores as against Loss Rs.50.44 crores in the previous year ended March 31, 2009.
This Company and Raymond Apparel Limited as stated above is seeking the Approvals of the High Court, Madras and High
Court, Bombay, respectively under Section 391 – 394 of the Companies Act, 1956. The appointed date of this amalgamation is
April 1, 2009. The legal process for the said amalgamation is expected to be completed shortly. Raymond Apparel Limited shall
be merged into this Company upon completion of the amalgamation. In view of the petitions pending before the aforesaid
Courts the financial statements of this Company have been prepared and audited for the purpose of enabling your Company
to prepare its consolidated financial statements for the FY 2010.
JK Files (India) Limited [formerly known as Hindustan Files Limited]
This Company is now the market leader in the files segment in the domestic market and is amongst the largest producer of Steel
Files in the world.
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The Export Sales of the Company is at Rs.45.72 crores compared to Rs.4.50 crores in the corresponding previous year. The
Company reported gross turnover of Rs.138.66 crores for the year under review (Previous Year: Rs.45.79 crores). The Company
recorded a Profit after tax of Rs.4.58 crores (Previous Year: Rs.1.31 crores). In spite of global recession and general inflationary
trend, the Company registered good performance during FY 2010. Improvements in processes and yields, control over rejections,
improvements in through put, control on costs; tight working capital management and focused marketing are the factors, which
enabled the Company to boost performance for the year under review.
JK Talabot Limited
The Company manufactures files and rasps at its plant located at Chiplun in Ratnagiri District, in the State of Maharashtra.
During the year gross turnover of the Company was at Rs.17.44 crores (Previous Year: Rs.18.85 crores). The Company recorded
Profit after tax of Rs.0.83 crores (Previous Year: Rs.2.74 crores) during the FY 2010. The weak export markets affected the
performance of the Company.
Scissors Engineering Products Limited
The Company incurred a loss of Rs.34,631 (Previous Year: loss of Rs.25,735) during the year under review.
Ring Plus Aqua Limited
The gross turnover of the Company was at Rs.81.48 crores (Previous Year: Rs.84.56 crores). Profit after tax was at Rs.5.08 crores
(Previous Year: Rs.2.94 crores).
Gear sales during the year were Rs.46.30 crores as compared to Rs.54.74 crores in the previous year. The gear sales were lower
mainly due to fall in export sale. The Company continued its efforts in developing new markets, making major in-roads into Asian
and Latin American markets during the year. In the domestic market the Company was successful in securing orders from new
customers.
The performance of the Shaft Bearings Divison showed significant growth during the year under review. The Bearings sales were
higher by 39 per cent at Rs.25.73 crores as against Rs.18.56 crores in the previous year. USA continues to be the major market for
bearing exports.
During the year the Company received quality certification from a top international quality car maker.
Pashmina Holdings Limited
The Company made a loss of Rs 0.05 crores in the FY 2010 as compared to a loss of Rs.0.08 crores in the previous year.
Overseas Companies
Jaykayorg AG incurred a loss of CHF 743,667 (equivalent to Rs.3.34 crores) [Previous Year: loss CHF 883,975 (equivalent to
Rs.3.70 crores)] for the year ended December 31, 2009.
Raymond (Europe) Limited [formerly known as J. K. (England) Limited] recorded a loss of Pound Sterling 111,804 (equivalent to
Rs.0.84 crores) [Previous Year: profit Pound Sterling 4,084 (equivalent to Rs.0.03 crores)] for the year ended December 31, 2009.
R & A Logistics INC, USA, a subsidiary of Ring Plus Aqua Limited set up in USA to provide better service to US based customers,
earned a profit of US $ 7,239 (equivalent to Rs.0.03 crores) [Previous Year: profit US $ 1,430 (equivalent to Rs.0.01crores)] for the
year ended March 31, 2010.
7.
PERFORMANCE OF JOINT VENTURES
Raymond UCO Denim Private Limited
The Indian operations of the Company continued to be robust and has established its place as a leading denim manufacturer
catering to both the domestic overses markets. The Company recorded a loss after tax of Rs.3.03 crores (Previous Year: loss after
tax: Rs.410.54 crores).
The manufacturing facilities at Romania operated below its full capacity due to the recessionary pressures in Europe and
working capital constraints. As you are aware the Company has closed its operations in USA and Belgium and the legal process
is still on. As a result of the above restructuring, the pressures on the bottom line eased during the year under review.
8.
During the year, the consolidated sales (including services and export incentives) were Rs.522.05 crores, as compared to
Rs.713.07 crores for the previous year. The loss for the year after tax and exceptional items was Rs.114.26 crores as compared to
Rs.331.29 crores for the previous year ended March 31, 2009.
The financial statements have been prepared by this joint venture company for the purpose of enabling your Company in
preparing its consolidated financial statements for the FY 2010.
Raymond Zambaiti Limited
The gross turnover of the Company was Rs.163.20 crores (Previous Year: Rs.131.15 crores). The Company had a Profit after tax of
Rs.11.12 crores (Previous Year: Rs.8.61 crores) during the year ended March 2010.
The Company has established itself as a preferred premium high value shirting supplier to top domestic brands through its
continuous design and product innovation and strong emphasis on consumer service. The weak European economy affected its
exports.
QUALITY & ACCOLADES
Your Company continues to win awards year-on-year, some notable awards during the year are:
Raymond emerged as the top franchise brand in India (amongst 100 brands) – announced at the Inaugural Annual India
•
Franchise Rankings-2010 (awarded by MFV, India);
•
The Chhindwara Textile Unit was awarded ‘The National Safety Award -2009’;
•
The Chhindwara Textile Unit was also awarded ‘The Certificate of Excellence for National Energy Conservation Award-2009’;
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•
•
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•
•
9.
The Thane Textile Unit has been certified OHSAS 18001 and declared as ISO-14001 & ISO-9001;
JK Files & Tools was awarded All India Export Excellence in the category of ‘Star Performer Award Trophy in Hand Tools in the
large enterprise category’ at the prestigious All India Export Excellence Award (2007-2008);
Raymond Woollen Outerwear Limited was awarded the First Prize for Energy Conservation in the Textile Sector for the year
2009 by the Union Ministry of Power;
Raymond Zambaiti Limited, Kolhapur Plant has been declared as an ISO-14001 and certified OHSAS 18001:2007;
Silver Spark Apparel Limited was selected as one of ‘India’s Best Companies to Work for Women Employees-2009’ by a study
conducted by Great Place to Work Institute in partnership with The Economic Times.
CONSOLIDATED ACCOUNTS
In accordance with the requirements of Accounting Standard AS-21 prescribed by The Institute of Chartered Accountants of
India, the Consolidated Accounts of the Company and its Subsidiaries (including the Joint Ventures) is annexed to this Report.
10. CORPORATE GOVERNANCE
Your Company continues to be committed to good Corporate Governance aligned with the good practices. Your Company is
in compliance with the standards set out by Clause 49 of the Listing Agreement with the Stock Exchanges.
A separate Report on Corporate Governance along with the Auditors’ certificate on compliance with the Corporate Governance
as stipulated in Clause 49 is set out in this Annual Report and forms part of this Report.
11. DIRECTORS
Shri U. V. Rao resigned from the Board of Directors of the Company with effect from May 15, 2009. The Board places on record the
great zeal and dedication with which Shri Rao served the Company during his long association since September 1994. The
Board is deeply grateful for the mature and professional advice and guidance of Shri Rao, from which the Company had
immensely benefited and gratefully acknowledges the role of Shri U. V. Rao in building up the Raymond Group to its present
enviable stature.
The Shareholders have approved on August 17, 2009 by Postal Ballot the appointment of Shri Gautam Hari Singhania as
Chairman and Managing Director and his remuneration, for period of 5 years and 3 years respectively with effect from
July 1, 2009.
Shri Shailesh V. Haribhakti and Shri Pradeep Guha, Independent Directors were appointed as Additional Directors of the Company
with effect from June 15, 2009.
Shri Desh Deepak Khetrapal was appointed as Wholetime Director of the Company with effect from June 20, 2009. Shri Khetrapal
tendered his resignation as Wholetime Director of the Company and the Board accepted the resignation of Shri Khetrapal at its
meeting held on April 27, 2010. The Board wishes to place on record its appreciation for the contributions made by
Shri Khetrapal during his association with the Company.
In accordance with the provisions of the Companies Act, 1956 and the Company’s Articles of Association, Shri P. K. Bhandari and
Shri I. D. Agarwal, Directors, retire by rotation at the forthcoming Annual General Meeting and being eligible offer themselves for
re-appointment.
12. DIRECTORS’ RESPONSIBILITY STATEMENT
Pursuant to sub-section (2AA) of Section 217 of the Companies Act, 1956, the Board of Directors of the Company hereby state
and confirm that:
(i) in the preparation of the Annual Accounts, the applicable accounting standards have been followed along with proper
explanation relating to material departures;
(ii) the Directors have selected such accounting policies and applied them consistently and made judgments and estimates
that are reasonable and prudent so as to give a true and fair view of the state of affairs of the Company at the end of the
financial year and of the profit of the Company for that period;
(iii) the Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance
with the provisions of the Companies Act, 1956 for safeguarding the assets of the Company and for preventing and
detecting fraud and other irregularities;
(iv) the Directors have prepared the annual accounts on a going concern basis.
13. AUDIT
M/s. Dalal & Shah, Chartered Accountants, who are Statutory Auditors of the Company hold office up to the forthcoming
Annual General Meeting and are recommended for re-appointment to audit the accounts of the Company for the Financial
Year 2010-11. As required under the provisions of the Section 224(1B) of the Companies Act, 1956, the Company has obtained
written confirmation from M/s. Dalal & Shah that their appointment if made would be in conformity with the limits specified in
the Section.
As per the requirement of Central Government and pursuant to Section 233B of the Companies Act, 1956 your Company carries
out an audit of cost records relating to textile division every year. Subject to the approval of the Central Government, the
Company has appointed M/s. Nanabhoy & Co., Cost Accountants, as Cost Auditors to audit the cost accounts of the Company
for the Financial Year 2010-11.
14. INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY
Your Company believes in formulating adequate and effective internal control systems and implementing the same strictly to
ensure that assets and interests of the Company are safeguarded and reliability of accounting data and accuracy are ensured
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with proper checks and balances. The Internal control system is improved and modified continuously to meet the changes in
business conditions, statutory and accounting requirements.
The Audit Committee of the Board of Directors, Statutory Auditors and the Business Heads are periodically apprised of the
internal audit findings and corrective actions taken.
The Audit Committee of the Board of Directors actively reviews the adequacy and effectiveness of internal controls systems and
suggests improvements for strengthening them. The Company has a robust Management Information System which is an
integral part of the control mechanism.
15. RISK MANAGEMENT
The Company is exposed to risks from market fluctuations of foreign exchange, interest rates, commodity prices, business risk,
compliance risks and people risks.
Foreign Exchange Risk
The Company’s policy is to actively manage its long term foreign exchange risk within the framework laid down by the
Company’s forex policy.
Interest rate risk
Given the interest rate fluctuations, the Company has adopted a prudent and conservative risk mitigating strategy to minimise
the interest costs.
Commodity Price Risk
The Company is exposed to the risk of price fluctuation on raw materials as well as finished goods in all its products. The
Company proactively manages these risks in inputs through forward booking, inventory management, proactive management
of vendor development and relationships. The Company’s strong reputation for quality, product differentiation and service, the
existence of a powerful brand image and a robust marketing network mitigates the impact of price risk on finished goods.
Risk Element in Individual Businesses
Apart from the risks on account of interest rate, foreign exchange and regulatory changes, various businesses of the Company
are exposed to certain operating business risks, which are managed by regular monitoring and corrective actions.
Compliance Risks
The Company is exposed to risks attached to various statutes and regulations including the Competition Act. The Company is
mitigating these risks through regular reviews of legal compliances, through internal as well as external compliance audits.
People Risks
Retaining the existing talent pool and attracting new manpower are major risks. The Company has initiated various measures
such as rollout of strategic talent management system; training and integration of learning activities. The Company has also
established ‘Raymond Leadership Academy’, which helps identify, nurture and groom managerial talent within the Raymond
Group to prepare them as future business leaders.
16. CORPORATE SOCIAL RESPONSIBILITY (CSR)
The Company has an innate desire and zeal to contribute towards the welfare and social upliftment of the community. The
Company continues to support the following CSR initiatives:
•
Smt. Sulochanadevi Singhania School at Thane, Maharashtra and the Kailashpat Singhania High School in Chhindwara, M.P.,
having overall strength of around 6000 students, provide quality education not only to the Raymond employees’ children,
but also to the children of the local populace;
•
Raymond Embryo Research Centre for cattle is a centre set up at Gopalnagar, Bilaspur, Chhattisgarh and its ceaseless
efforts and endeavours have made several significant achievements in Embryo transfer. Raymond was the first organisation
in India to introduce Embryo Transfer in Sheep;
•
J. K. Trust Gram Vikas Yojana (JKTGVY) launched in 1997 helps transfer of the technical expertise gained over three decades
to the grass-root level. The mission of this initiative is to significantly improve the quality of life in India’s rural areas through a
“Cattle Breed Improvement Programme”. This initiative operates in a network of over 700 Integrated Livestock Development
Centre in Chhattisgarh, Madhya Pradesh, Uttarakhand and Andhra Pradesh; and
•
Raymond Rehabilitation Centre has been set-up for the welfare of under-privileged children at Jekegram, Thane. This
initiative enables less fortunate children to be self-sufficient in life. The centre provides free vocational training workshops to
young boys over the age of 16. The three-month vocational courses comprise of basic training in electrical, air-conditioning
& refrigeration, plumbing, etc.
17. ENVIRONMENT AND SAFETY
The Company is conscious of the importance of environmentally clean and safe operations. The Company’s policy requires the
conduct of all operations in such manner so as to ensure safety of all concerned, compliance of statutory and industrial
requirements for environment protection and conservation of natural resources to the extent possible.
18. HUMAN RESOURCES AND INDUSTRIAL RELATIONS
The Company takes pride in the commitment, competence and dedication shown by its employees in all areas of business.
Various HR initiatives are taken to align the HR Policies to the growing requirements of the business.
7
CMYK
The Company has a structured induction process at all locations and management development programmes to upgrade skills
of managers. Objective appraisal systems based on Key Results Areas (KRAs) are in place for senior management staff.
Technical and safety training programmes are given periodically to workers. Industrial relations remained generally cordial.
19. STATUTORY INFORMATION
Information pursuant to sub-section 1 (e) of Section 217 of the Companies Act, 1956, read with the Companies (Disclosure of
Particulars in the Report of the Board of Directors) Rules, 1988 is given in Annexure 1 to this Report.
During the FY 2010, 38 employees employed throughout the year, were in receipt of remuneration of Rs.24 lakhs per annum or
more amounting to Rs.2316.08 lakhs and 130 employees employed for part of the FY 2010, were in receipt of remuneration of
Rs.2 lakhs per month or more amounting to Rs.1873.83 lakhs. The particulars of employees, as required under Section 217 (2A) of
the Companies Act, 1956, are given in a separate Annexure to this Report. This Annexure is not being sent along with this Report
to the members of the Company in line with the provisions of Section 219 (1) (b) (iv) of the said Act. Members who are interested
in obtaining these particulars may write to the Company Secretary at the Registered Office of the Company. The aforesaid
Annexure is also available at the Registered Office of the Company for inspection of members 21 days before the 85th Annual
General Meeting.
None of the employees listed in the said Annexure is a relative of any Director of the Company. None of the employees hold (by
himself or along with his spouse and dependent children) more than two percent of the equity shares of the Company.
As per Section 212 of the Companies Act, 1956, the Company is required to attach the Directors’ Report, Balance Sheet, and
Profit and Loss account of our subsidiaries. The Company had applied to the Central Government of India for an exemption
from such attachment as the Company presents the audited consolidated financial statements in the Annual Report. The
Central Government has granted the Company exemption from complying with Section 212 of the Companies Act, 1956.
Accordingly, this Annual Report does not contain the financial statements of these subsidiaries. The Company will make
available the audited annual accounts and related information of our subsidiaries, where applicable, upon request by any of
its shareholders. The annual accounts of the subsidiary companies will also be kept for inspection by any member at the
Registered Offices of the Company and its subsidiary companies.
Fixed Deposits amounting to Rs.95,000 (Rupees Ninety Five Thousand only) from 9 depositors, which remained unclaimed by the
depositors as on March 31, 2010 and have remained unclaimed upto the date of this Report.
20. CAUTIONARY STATEMENT
Statement in this Directors’ Report & Management Discussion and Analysis describing the Company’s objectives, projections,
estimates, expectations or predictions may be “forward-looking statements” within the meaning of applicable securities laws
and regulations. Actual results could differ materially from those expressed or implied. Important factors that could make a
difference to the Company’s operations include raw material availability and prices, cyclical demand and pricing in the
Company’s principal markets, changes in Government regulations, tax regimes, economic developments within India and the
countries in which the Company conducts business and other incidental factors.
21. APPRECIATION
Your Directors wish to place on record their appreciation for the contribution made by employees at all levels but for whose
hard work, solidarity, and support your Company’s achievements would not have been possible. Your Directors also wish to thank
our customers, dealers, agents, suppliers, joint venture partners, investors and bankers for their continued support and faith in the
Company. We also thank the Central Government, the concerned State Governments and other Government authorities for
their support and cooperation.
for and on behalf of the Board
Gautam Hari Singhania
Chairman and Managing Director
Mumbai, April 27, 2010
8
CMYK
Annexure (1) to the Directors’ Report
Information pursuant to Section 217(1)(e) of the Companies Act, 1956 read with Companies ( Disclosures of Particulars in the Report
of Board of Directors) Rules, 1988.
A. Conservation of Energy
Energy conservation continued to have high prominence as in previous years.
Some of the initiatives taken in the FY 2010 were as follows:
In Textile Division
At Thane Unit:
1) Installation of geared motor for plaiter of Osthoff Singeing machine in place of existing hydraulic system for energy saving.
2) Installation of inverter for 10T boiler FD fan for speed regulation.
3) Installation of energy efficient light fittings.
4) Rain water harvesting.
At Chhindwara Unit:
1) Conversion from DC to AC drive in Zonco (EOLO) machine in Finishing.
2) Installation of new energy saving machines e.g. Thermopac, Ugolini Dyeing Machine.
At Jalgaon Unit:
2) Automation of Air-conditioning plant compressors by installation of microprocessor based PLC units.
3) Use of renewable energy resources by installation of turbo ventilators & solar water heaters.
At Vapi Unit:
1) Installation of Inverter at Air washer Tower to take advantage of the outside weather conditions.
2) Installation of Timer Switches for Warehouse racks lighting.
In Files & Tools Division
•
Wind Ventilators installed at Ratnagiri , Chiplun & Pithampur for conservation of power.
•
Halide lamps installed at Ratnagiri for conservation of power.
B. Technology Absorption
(a) Research and Development (R&D)
Textile Division
The R&D Department of Textile Division strives to develop and provide exclusive and innovative products under its brand. Some
of the products developed and introduced during the year under review were:
1) Adoration – Finest wool rich fabric in the world, made from super 200s wool.
2) La Futuro – An innovative fabric in Viscose rich blend with special features like sustainability and comfort. A patented
technology will also provide exclusivity for this product in the market.
3) Benito – Range of fabrics developed using Ceramica polyester with properties like superior comfort and good crease
recovery.
4) Credence – Fine fabric especially developed from extra fine cotton, fine wool and polyester blended fabric for Generation
Next.
5) Emplaza - Special product with soft and pliable handle in polyester, wool and cellulose blend.
New Product Development :
In order to maintain the leadership of JKFT in files business, 5 new SKU’s have been developed for the Export market for customer
specific engineering and agro applications.
The details of expenditure on Research and Development is given in Page No. 63 of this Report. The Company has incurred an
expenditure of Rs.12.09 lacs towards Research and Development which is 0.01 per cent of the total turnover of the Company for
the FY 2010.
(b) Technology Absorption, Adaptation and Innovation
Textile Division
The Textile Division undertook the following measures towards Technology absorption, Adaptation and Innovation:
1) Implementation of BARCO Optispin system in spinning department for online monitoring of Production parameters and
report generation.
2) Implementation of Automatic Humidification system for on line monitoring, control and report generation.
3) Installation of Condensate Heat recovery pumps at various locations.
4) Implementation of Nature Switch in Street lights for switching on the lights automatically when it is dark.
5) Quick style change in weaving department to reduce the Beam gaiting time.
Process Improvement:
•
Slurry pump on scouring machines for quality improvement
•
Elimination of wooden packaging for domestic dispatches by corrugated box packing.
•
Automatic Taping & Strapping machines in warehouses for better productivity.
•
Tang Tempering by Induction heating to eliminate the use of Lead.
•
Introduction of File finishing Lines for single piece flow.
•
Introduction of DWX-32 antirust oil for better shelf life of files
C. Foreign Exchange Earnings and Outgo:
Despite adverse conditions in the global markets and stiff competition impacting average realization, Textile Division recorded a
substantial increase of 21 per cent in exports, in comparison with the previous year, to Rs.133.64 Crores. This has been achieved
through focused effort on enhancing customer base and providing value added products.
9
CMYK
Form ‘A’
[Forming part of Annexure (1)]
DISCLOSURE OF PARTICULARS WITH RESPECT TO CONSERVATION OF ENERGY
A. POWER AND FUEL CONSUMPTION
Purchased
Current Year
1.
2.
3.
4.
5.
6.
B.
Previous Year
Own generation (through Diesel
Generator/Steam Turbine)
Current Year
Electricity
a) Total units (KWH in thousands)
Textiles *
68512
63736
67145
Files & Tools
5882
14665
18.91
b) Total Amount (Rupees in lacs)
Textiles
3762
3198
2462
Files & Tools
335.91
708.37
2.60
c) Units/per Liter of Diesel Oil
Textiles
3.44
Files & Tools
5.71
d) Units/per Kg. of Coal
Textile
0.78
e) Units/per Cubic mtr of Gas
Textile
3.46
f)
Cost per unit (Rs.)
Textiles
5.49
5.02
3.67
Files & Tools
5.71
4.83
13.75
* 605.71 lac KWH units generated through steam turbine (Previous year 595.46 lac KWH units)
Total
Total Cost
Quantity
Rs. Lacs
Coal (M.T.)
a) Textile Division**
Current Year
85126
1804
Previous Year
74998
1473
Furnace Oil (Lac Liters)
a) Textile Division
Current Year
26.24
686
Previous Year
52.65
1557
b) Files & Tools Division
Current Year
1.74
38.86
Previous Year
3.83
105.92
Diesel Oil (Lac Liters)
a) Textile Division
Current Year
5
184
Previous Year
3
124
Current Year
0.10
3.47
Previous Year
0.50
17.78
LPG (Kgs.)
a) Textile Division
Current Year
71737
29
Previous Year
91412
49
Current Year
41186
15.58
Previous Year
79160
37.58
Natural Gas (Lacs Cubic Mtr.)
a) Textile Division
Current Year
77
1263
Previous Year
55
695
** 77481 MT used for CPP (Previous year 66153 MT)
Previous Year
69124
41.72
2123
5.65
2.79
4.83
0.90
3.78
3.07
13.55
Average Rate
per Unit (Rs.)
2119
1964
26.14
29.57
22.33
27.65
36.55
40.13
36.02
35.75
40.56
53.60
37.84
47.48
16.43
12.64
CONSUMPTION PER UNIT OF PRODUCTION
Unit Standard (if any)
Current Year
Previous Year
Electricity
a) Fabrics
KWH/Metre
4.88
4.67
KWH/Piece
0.22
0.22
Note: Effective October 1, 2009, Files & Tools Division has been transferred on a slump-sale basis to the Company’s wholly-owned
subsidiary. Therefore, the figures of previous year are not comparable.
10
CMYK
CORPORATE GOVERNANCE REPORT
At Raymond, the Corporate Governance philosophy stems from our belief that good corporate governance practices are sine qua
non for sustainable business that aims at generating long-term value to its stakeholders. Raymond, being a value-driven organisation
realizes the pivotal role of sound governance. A transparent, ethical, and robust governance framework helps enhance efficiency,
which is an important catalyst in driving business growth across parameters and boosts Investors confidence in the Business entity.
The detailed report on implementation by the Company, of the Corporate Governance Code as incorporated in Clause 49 of the
Listing Agreement with the Stock Exchanges, is set out below:
1. COMPANY’S PHILOSOPHY ON CODE OF GOVERNANCE:
Raymond’s Corporate Governance principles have a strong pedigree of fairness, transparency, ethical processes and good
practices. The Core values of the organisation include Quality, Trust, Leadership and Excellence.
At Raymond, Governance has been a journey and we are continuously benchmarking our governance standards to global
practices. These efforts gives us the confidence of having put in place the right building blocks for future growth in a prudent and
sustained manner. This emanates from our strong belief that sound governance is integral to creating value on a sustainable basis.
Raymond complies with the requirements as laid down in Clause 49 of the Listing Agreement with the Stock Exchanges.
1.1 GOVERNANCE STRUCTURE:
Raymond’s Corporate Governance Structure is as under:
i.
The Board of Directors - The Members of the Raymond Board are free to bring up any matter for discussions at the Board
Meetings and the functioning is democratic. The Board plays a key role in framing policies for ensuring and enhancing
good governance. Besides its primary role of setting corporate strategies and goals and monitoring corporate performance,
the Board directs and guides the activities of the Management towards achieving corporate goals, seeks accountability
with a view to achieve sustained and consistent growth aimed at adding value for its stakeholders.
ii. The Committee of Directors – The Board has constituted the following committees viz; Audit Committee, Remuneration and
Nomination Committee, Committee of Directors (which also acts as the Shareholder’s/Investors’ Grievance Committee).
Each of the Committee has been mandated to operate within a given framework.
2. BOARD OF DIRECTORS:
COMPOSITION AND CATEGORY
The Board of Directors consists of professionals drawn from diverse fields, who bring in a wide range of skills and experience to
the Board. The Board is broad-based and consists of eminent individuals drawn from management, technical, financial and
marketing fields. The Company is managed by the Board of Directors in coordination with the senior management team.
The day-to-day operations of the Company are conducted by the Chairman and Managing Director, subject to the supervision
and control of the Board of Directors. The Non-Executives including the Independent Directors bring external and wider perception
and independence in the decision making.
The composition of the Board of Directors, meets with the requirements of Clause 49 (I) (A) of the Listing Agreement.
None of the Directors on the Board is a member of more than ten Committees and Chairman of more than five Committees (as
specified in Clause 49), across all companies in which they are Directors.
BRIEF PROFILE :
1. DR. VIJAYPAT SINGHANIA – CHAIRMAN EMERITUS
Dr. Vijaypat Singhania is a reputed industrialist who started his business career at an early age of 20. He ran the JK Group’s
cotton mill in Bombay as his first venture into business, and later on managed its fertiliser & chemicals factories.
On the untimely demise of Raymond’s Chairman Shri G.K. Singhania on 3rd January 1980, Dr. V.P. Singhania took over as CMD of
Raymond and its affiliate Companies. During his tenure the Company diversified/expanded its activities into men’s suits, ready-made
garments, cement, steel, polyester filament yarn, denims, cosmetics and prophylactics. He expanded the files plant in Indonesia and
the woollen plant in Kenya & made them into very respected and profitable ventures in those countries.
During the 20 years of his management:
Raymond’s sales grew by 30 times (from Rs. 49.82 cr in 1979-80 to Rs. 1472.79 cr in 2000-01),
PAT grew by 137 times (from Rs. 2.42 cr in 1979-80 to Rs. 333.41 cr in 2000-01 – including net capital gain), &
Net Worth increased by 61 times (from Rs. 14.40 cr in 1979-80 to Rs. 873.90 cr in 2000-01).
On retiring from active management in September 2000, he handed over his responsibility of Raymond’s management to his son
Shri Gautam Hari. In token of his meritorious services to the Company, the Board of Directors appointed him Chairman Emeritus
& Advisor of the Company effective September 6, 2000.
After 15 years of business experience, he went through the Advanced Management Programme (AMP) at the Harvard Business
School, Boston in 1974. He was a member of the FICCI trade delegation to Russia & Australia, and the delegation of the
Government of India to France. Dr. Singhania was conferred an Hony. Ph.D. by The London Institute of Technology and Research
in October 2003. The Ministry of HRD appointed him a member of the prestigious Board of Governors of the Indian Institute of
Management, Ahmedabad from 1994-99, and in 2007, as Chairman of the IIM-A Board for the period 2007 to 2012. He was the
Sherriff of Mumbai in 2005-06.
Dr. Singhania has a great passion for flying having trained as a Pilot in the October of 1959. He got his first entry into the Guinness
Book of World Records for his solo flight in the fastest time between UK and India in 1988, in recognition of which President of India
Hon’ble R. Venkatraman bestowed on him the rank of an (Hon) Air Commodore of the Indian Air Force. He won the first ‘Round the
World Air Race’ in 1994 and earned with it the most coveted trophy in aviation – an FAI Gold medal (Federation Aeronautique
Internationale, Paris), so far the only one ever won by an Indian. Dr. Singhania also accomplished a New High Altitude Indian
Record in a Hot Air Balloon by climbing to 29,044 ft. above sea level on 13 th June 2005. On
November 26, 2005, he established a New High Altitude World Record by climbing in a Hot Air Balloon to an altitude of
69,852 ft. above sea level. Dr. Singhania broke the previously held record since 1988 by world renowned balloonist Per Lindstrand.
Apex body for aviation sports, the FAI, formally recognised the new record. This feat has earned Dr. Singhania yet another entry into
the Guinness Book of World Records and a Gold Medal form the Royal Aero Club of U.K., yet another first for an Indian. The Limca
Book of Records has bestowed on him “People of the Year Award 2006”. Dr. Singhania was conferred the Padma Bhushan Award
11
CMYK
by the President of India Hon’ble Dr. APJ Abdul Kalam on 26th January 2006. Prime Minister Atal Behari Vajpayee conferred on him
the “Tenzing Norgay National Adventure Award” for 2001 and the Chhatrapati Shivaji Maharaj Smarak Samiti Mumbai presented
him the “Chhatrapati Shivaji Maharaj Smarak Award” for his achievements in the field of Aviation. The 7th Air Squadron of the IAF
comprising of the Mirage 2000 aircraft based at Gwalior, honoured him by naming him as the first and only civilian member of the
Squadron of “The Battle Axes”. Dr. Singhania has recently taken up Deep Sea “Scuba Diving”. PADI has certified him qualified to
meet EN 14153-2: Autonomous Diver standards on 16th February 2010.
He is a keen photographer, ballroom dancer and snooker player, having won national awards in all of them. He still cherishes his
days teaching final year MMS students at the Jamnalal Bajaj Institute of Management Studies.
VPS, as he is fondly called, now leads a retired life generally overseeing Raymond’s operations and guiding its policies, philosophies
and values.
2. SHRI GAUTAM HARI SINGHANIA - CHAIRMAN AND MANAGING DIRECTOR
Shri Gautam Hari Singhania took over the reins of the Company as Chairman and Managing Director in September 2000. Since
then, he has steered the destiny of Raymond Limited with a single-minded focus of being the best brand in India. He has been
responsible for the strategic decision of the restructuring of the Group, initiating the divestment of the Synthetics, Steel and Cement
Divisions. Post divestment, the Group has consolidated its position with a better bottom line and more focussed and market
oriented approach. Shri Gautam Singhania joined the J. K. Group of Companies (Western Zone) in the year 1986. He was appointed
as the Wholetime Director on the Board of Raymond Ltd. in 1990 and was elevated to the position of Managing Director in mid1999, in charge of all companies and subsidiaries of the Raymond Group in India and abroad.
With a drive for creating new Brands, Shri Singhania has taken active interest in the launch of new services and products. He was
instrumental in the successful launch of the brand ‘KamaSutra’ in 1991. In the year 1996, he launched a new division called
‘Million Air’, providing quality air-taxi charter services. It was under his leadership that the fashion casual wear brand ‘Parx’ and
premium men’s wear brand ‘Manzoni’ were launched in the year 1999 and 2000 respectively. In the year 2001, Shri Gautam Hari
Singhania introduced the concept of corporatisation of designer wear in India. He was also instrumental in Raymond’s acquisition
of ColorPlus, a leading menswear brand. Under his leadership, the Raymond Group has become an internationally reputed
premium fibre to fashion player with immense strength in worsted suitings, high value cotton shirting, denim, garmenting, owning
market leading brands with a deep distribution network across the country and a premium international client base. His
personal vision for the group is to take the Raymond Brand from being amongst the most respected Indian brands to be
amongst the best in the global market.
Shri Gautam Hari Singhania aged 44 years, is a commerce graduate from the University of Mumbai and has nearly 25 years of
experience in the field of industry, business and corporate management.
3. SHRI SHAILESH V. HARIBHAKTI – INDEPENDENT DIRECTOR
Shri Shailesh V. Haribhakti, aged 54, who joined the Board as an Additional Director on June 15, 2009, is the Managing Partner of
M/s. Haribhakti & Co., Chartered Accountants and Chairman of BDO Consulting Pvt. Ltd. He is a Committee member of Futures
& Options segment of National Stock Exchange of India and is a member of the SEBI Committee on Disclosures and Accounting
Standards. He serves as member of managing committees of ASSOCHAM and IMC and Corporate Governance Committees of
ASSOCHAM and CII and is Chairman of the ‘Combating Global Warming Committee’ of IMC. He is on the Board of several listed
companies.
4. SHRI I.D.AGARWAL – INDEPENDENT DIRECTOR
Shri I.D. Agarwal, aged 69 years, is an Independent Director. Shri Agarwal was earlier a Nominee Director of Unit Trust of India on
the Board of the Company from October, 2001 to February, 2006. Shri Agarwal, M.Com., D.S.M., C.A.I.I.B., who has over 40 years of
rich experience in Banking, Finance & Currency, has undergone professional training with Bank of England (U.K.), Midland Bank
(U.K.), Bundesbank, (Germany) and Dresdnerbank (Germany).
Shri Agarwal, is the former Executive Director, Reserve Bank of India and was an Advisor to the United Nations. He also served as
Director of Union Bank of India, Unit Trust of India, Small Industries Development Bank of India (SIDBI) and a few other reputed
Financial Institutions and Corporates.
5. SHRI NABANKUR GUPTA – INDEPENDENT DIRECTOR
Shri Nabankur Gupta, aged 61 years, a graduate from IIT, Delhi in Electrical & Electronics Engineering, joined the Company as
Group President on August 1, 2000 and was co-opted on the Board of Directors of the Company as Wholetime Director and
Group President effective January 15, 2001. Shri Gupta relinquished his position as Wholetime Director and Group President of
the Company with effect from April 1, 2005, from which date he continues to be on the Board of the Company in his capacity
as Non-Executive Director. Shri Gupta possesses vast, rich and varied experience of over three decades in project management,
marketing and Sales, General Management and Business Stratagy. Shri Gupta pioneered the concept of sub-branding and
subsequently, multi-branding in the area of consumer durable for the first time in India. Shri Gupta was the first Indian to receive
recognition by the Advertising Age International, New York, in 1995 with the title of ‘Marketing Superstar’. Prior to his tenure with
Raymond, he was an Executive Director with Videocon. Presently he is the Co-Founder and Chairman of Blue Ocean Capital &
Advisory Services and the Founder CEO of Nobby Brand Architects. He is on several boards as an independent director.
6. SHRI PRADEEP GUHA – INDEPENDENT DIRECTOR
Shri Pradeep Guha, aged 57 years, was the CEO of India’s largest satellite broadcasting network, Zee Entertainment Enterprises
Ltd. , for over three years. Shri Guha joined the Board as an Additional Director on June 15, 2009. Shri Guha had been associated
with the print media for 29 years and was President of The Times of India Group, as well as on its Board of Directors. Shri Pradeep
Guha is associated with many bodies in the field of advertising, marketing and media. Shri Guha is fascinated by cinema and
has a production house of his own by the name of Culture Company.
7. SHRI P.K.BHANDARI - NON EXECUTIVE DIRECTOR
Shri P. K. Bhandari, aged 52 years is a commerce and law graduate from the University of Kolkata and a Fellow Member of the
Institute of Chartered Accountants of India and an Associate Member of the Institute of Company Secretaries of India and has
over 28 years of experience in the field of project finance, industry, business and corporate management.
Shri P. K. Bhandari, who joined the Group in the year 1989 played a key role in strategising and implementing the Company’s
restructuring program, which included hiving off its non-core businesses in steel, cement and synthetics and consolidating its
core - textile, garment and files businesses through merger and acquisitions.
12
CMYK
Shri Bhandari joined the Board of Directors of the Company as Wholetime Director on April 24, 2003. Shri P. K. Bhandari was Group
President of the Company from April 1, 2005 to January 30, 2008.
Shri Bhandari was honoured with a ‘Special Commendation’ for his outstanding performance in the mergers and acquisitions
category of the “CFO of the Year” award instituted by ‘The Economist’ in association with American Express.
8.
SHRI DESH DEEPAK KHETRAPAL – WHOLETIME DIRECTOR (Resignation accepted by the Board of Directors on April 27, 2010).
Shri Desh Deepak Khetrapal, aged 54 years, is a Honors Graduate in Business and Economics from Shri Ram College of
Commerce, Delhi (University of Delhi) and also holds Honors in Masters of Business Administration, (FMS, University of Delhi).
Shri Khetrapal has over 33 years of experience in managing businesses in diverse industries. Shri Khetrapal started his career with
State Bank Group as a Probationary Officer in 1976.
Shri Khetrapal was associated with reputed companies like Turner Morrison, Steelage Industries Ltd., Gunnebo AB in leadership
positions.
ATTENDANCE OF EACH DIRECTOR AT THE BOARD MEETINGS AND THE LAST ANNUAL GENERAL MEETING
Seven Board Meetings were held during the financial year 2009-10 on the following dates: April 24, 2009; June 15, 2009;
June 20, 2009; July 30, 2009; September 17, 2009; October 22, 2009 and January 20, 2010. The gap between two Board Meetings
did not exceed four months. During the Financial year 2009-10 one Circular Resolution was passed on May 11, 2009.
The details in regard to attendance of Directors at Board Meetings/Shareholders Meetings, the number of Directorship(s) held in
Indian public limited companies and the position of Membership/Chairmanship of Audit Committee and Shareholders/Investors’
Grievance Committee in such Indian public limited companies are given below:
Name of the Director
Dr. Vijaypat Singhania,
Chairman Emeritus
DIN : 00020063
Shri Gautam Hari
Singhania,
Chairman and
Managing Director
DIN :00020088
Shri U.V. Rao
(upto May 15, 2009)
DIN:00012490
Shri Nana Chudasama
(upto June 10, 2009)
DIN :00019768
Shri B. V. Bhargava
DIN:00001823
Shri I. D. Agarwal
DIN :00293784
Shri Nabankur Gupta
DIN: 00020125
Shri P. K. Bhandari
DIN:00021923
Shri Shailesh V.
Haribhakti
(w.e.f June 15, 2009)
DIN:00007347
Shri Pradeep Guha
(w.e.f June 15, 2009)
DIN 00180427
Shri Desh Deepak
Khetrapal,
Wholetime Director
(w.e.f June 20, 2009)
(Resignation accepted
on April 27, 2010).
DIN :02362633
Category of
Directorship
No. of
Attendance
Directorship
Board
at the
held in
Meetings AGM held on other Indian
attended June 10, 2009 public limited
out of 7
companies
Meetings
(excluding
held
Raymond
Limited)
No. of Board
Committees
(other than
Raymond
Limited)
in which
Chairman/
Member
Chairman Member
Nil
1
Relationship
interse
Directors
Promoter,
Non-Executive
6
Yes
6
Related to
Shri Gautam
Hari Singhania
Related to
Dr. Vijaypat
Singhania
Promoter,
Executive
7
Yes
8
Nil
2
Independent,
Non-Executive
Nil out
of 1
Not
Applicable
5
2
2
—
Independent,
Non-Executive
Nil out
of 1
No
4
Nil
Nil
—
Independent,
Non-Executive
1 out
of 1
No
10
5
4
—
7
Yes
1
1
1
—
7
Yes
9
1
3
—
Independent,
Non-Executive
Independent,
Non-Executive
Non-Independent,
Non-Executive
Independent,
Non-Executive
7
Yes
11
2
3
—
6 out
of 6
Not
Applicable
14
4
5
—
Independent,
Non-Executive
5 out
of 6
Not
Applicable
6
Nil
Nil
—
Executive,
Non-Promoter
5 out
of 5
Not
applicable
4
Nil
1
—
13
CMYK
BOARD PROCEDURE
The Board generally meets once in a quarter to review the quarterly business and financial performance of the Company and
its subsidiaries. These Meetings are scheduled well in advance and the notice of each Board Meeting is given in writing to each
Director. All the items on the Agenda are accompanied by notes giving comprehensive information on the related subject and
in certain matters such as financial/business plans, financial results and the same are tabled at the meeting.
The Agenda and the relevant notes are sent in advance separately to each Director and only in exceptional cases, the same
is tabled at the meeting. The Minutes of the Board Meetings are also circulated in advance to all Directors and confirmed at
subsequent Meeting. The Board reviews the performance of the Company every quarter vis-à-vis the targets set by them and
helps in the major strategic decisions and policy formulations. The Members of the Board are also free to recommend the
inclusion of any matter for discussion in consultation with the Chairman.
The Board members are briefed at every Board Meeting, on the overall performance of the Company, with presentations by
Business Heads and Senior Management. The performance vis-à-vis budgets are also presented to the Members of the Board.
The information as specified in Annexure (I) (A) to Clause 49 of the Listing Agreement is regularly made available to the Board.
The Minutes of Audit Committee and other Committees of the Board are circulated in advance to all Directors, regularly placed
before the Board and noted by the Board.
3.
AUDIT COMMITTEE:
BROAD TERMS OF REFERENCE
The composition, quorum, powers, role, review of information, scope, etc., of the audit committee is in accordance with the
Section 292A of the Companies Act, 1956 and the provisions of Clause 49 II. (A), (B), (C), (D) and (E) of the Listing Agreement. The
Audit Committee acts as a link between the Statutory and Internal Auditors and the Board of Directors. The Audit Committee
inter-alia provides assurance to the Board on the adequacy of the internal control systems and financial disclosures.
The Terms of Reference of the Audit Committee are as per the provisions and requirements of the Listing Agreement with the
Stock Exchanges and in accordance with Section 292A of the Companies Act, 1956. These broadly include approval of Annual
Internal Audit Plan, review of financial reporting system, internal controls system, discussion on quarterly, half-yearly annual
financial results, interaction with Statutory and Internal Auditors, In-camera meeting with Statutory and Internal Auditors,
recommendation for the appointment of Statutory and Cost Auditors and fixing their remuneration, appointment and remuneration
of Internal Auditors, Review of Business Risk Management Plan, Management Discussions & Analysis, Review of Internal Audit
Reports, significant related party transactions. The Company has framed the Audit Committee Charter for the purpose of
effective compliance of Clause 49 of the Listing Agreement.
In fulfilling the above role, the Audit Committee has powers to investigate any activity within its terms of reference, to seek
information from employees and to obtain outside legal and professional advice.
Additionally, the following terms of reference were issued to the Audit Committee by the Board of Directors:
a)
to consider and recommend to the Board the following:
(i)
investment guidelines for treasury operations;
(ii)
capital expenditure for enhancement of production capacity (excluding capital expenditure for normal maintenance/
repairs/replacements);
b)
to review the Annual Budget;
c)
to take note of the significant decisions taken, or important developments; considered at the Management Committee/
Working Board Meetings; and
d)
to carry out any other duties that may be delegated to the Audit Committee by the Board of Directors from time-to-time.
The Audit Committee, while reviewing the Annual Financial Statements also reviewed the applicability of various Accounting
Standards (AS) referred to in sub-section (3C) of Section 211 of the Companies Act, 1956. Compliance of the Accounting
Standards as applicable to the Company has been ensured in the preparation of the Financial Statements for the year ended
March 31, 2010. The Company has appointed a firm of Chartered Accountants as Internal Auditors to review the internal control
systems of the Company and to report thereon. The report of the Internal Auditors is reviewed by the Audit Committee.
The Members of the Audit Committee comprised of the following:
Shri Shailesh V. Haribhakti, Chairman
(w.e.f June 15, 2009)
Shri Nabankur Gupta
(Chairman upto June 15, 2009 Member thereafter)
Dr. Vijaypat Singhania
Shri I.D. Agarwal
(w.e.f June 15, 2009)
Shri B. V. Bhargava
(Upto June 10, 2009)
Shri U. V. Rao
(Upto May 15, 2009)
Category
Independent, Non-Executive
Promoter, Non-Executive
14
Qualifications required to be a member
Has the requisite accounting and financial
management expertise
Had the requisite accounting and financial
Had the requisite accounting and financial
CMYK
The Chairman and Managing Director, Wholetime Director & Chief Operating Officer, President-Finance and Chief Financial
Officer, Business Heads of the Company’s Divisions, the representatives of the Statutory Auditors and the Internal Auditors are
permanent invitees to the Audit Committee Meetings. The representatives of the Cost Auditor attend such meetings of the Audit
Committee where matters relating to the Cost Audit Report are discussed. Shri Nabankur Gupta (Chairman of the Audit
Committee on the date of the 84th Annual General Meeting) was present at the last Annual General Meeting. The Company
Secretary acts as Secretary to the Audit Committee.
The Minutes of the Audit Committee Meetings are noted by the Board of Directors at the subsequent Board Meeting.
MEETINGS AND ATTENDANCE:
The Audit Committee held five meetings during the financial year ended March 31, 2010 and the gap between two meetings
did not exceed four months. The Audit Committee Meetings were held on April 23, 2009; July 30, 2009; October 22, 2009;
December 23, 2009 and January 20, 2010.
The attendance of the Members at the Audit Committee Meetings are as under:
4.
No. of meetings
held during tenure
No. of meetings
attended during tenure
Leave of
absence sought
Shri Shailesh V. Haribhakti
(w.e.f June 15, 2009)
4
4
Nil
Shri Nabankur Gupta
5
5
Nil
5
5
Nil
Shri I.D. Agarwal
(w.e.f June 15, 2009)
4
4
Nil
Shri B. V. Bhargava
1
1
Nil
Shri U. V. Rao
(Upto May 15, 2009)
1
Nil
1
REMUNERATION AND NOMINATION COMMITTEE:
TERMS OF REFERENCE
•
Reviewing the overall compensation policy, service agreements, ESOP Schemes and other employment conditions of
Managing/Wholetime Directors and Senior Management (one level below the Board of Directors);
•
Reviewing the performance of the Managing/Wholetime Directors/Senior Management and recommending to the Board,
the quantum of annual increments and annual commission;
•
The Committee has the mandate to recommend the size and composition (including functional specialist) of the Board,
establish procedures for the nomination process, and recommend candidates for selection to the Board/nominate Wholetime
Directors; and
•
Structure and design a suitable succession planning policy for Board and Senior Management team of the Company.
The Remuneration and Nomination Committee presently comprises of the following:
Position
Category
Shri I.D. Agarwal
(w.e.f June 15, 2009)
Chairman
Member
Promoter, Non-Executive
Shri Nabankur Gupta
Member
Shri Pradeep Guha
(w.e.f June 15, 2009)
Member
Shri Gautam Hari Singhania
(w.e.f. October 22, 2009)
Member
Promoter, Executive
(w.e.f. October 22, 2009)
Member
Independent, Non Executive
Shri. B. V. Bhargava
Chairman
Shri Nana Chudasama
Member
MEETING AND ATTENDANCE
The Remuneration Committee held three meetings during the financial year ended March 31, 2010. The Meetings were held on
April 23, 2009, June 20, 2009 and January 13, 2010.
15
CMYK
The attendance of the Members at the Remuneration and Nomination Committee Meetings are as under:
No. of meetings
held during
tenure
No. of meetings
attended during
tenure
Leave of
absence sought
Shri I.D. Agarwal
2
2
Nil
3
2
1
Shri Nabankur Gupta
3
3
Nil
Shri Pradeep Guha
2
2
Nil
1
1
Nil
1
1
Nil
Shri B. V. Bhargava
1
1
Nil
Nil
1
Shri Nana Chudasama
1
REMUNERATION POLICY
A. Remuneration to Non-Executive Directors
The Non-Executive Directors are paid remuneration by way of Commission and Sitting Fees. In the 83rd Annual General Meeting
the shareholders’ have approved payment of commission of a sum not exceeding 1% of the annual net profit of the Company
subject to the overall ceiling limit of Rs.25 lakhs to the Non-Executive Directors of the Company. The Non-Executive Directors are
paid sitting fees for each meeting of the Board or Committee of Directors attended by them. During the financial year 2009-10
(with effect from August 1, 2009), the sitting fees paid to Non-Executive Directors has been revised from Rs. 10,000/- to
Rs. 20,000/- for each meeting of the Board or Committee of Directors attended by them. The total amount of sitting fees paid
during the financial year 2009-10 was Rs.14.70 Lakhs.
None of the Non-Executive Directors have any material pecuniary relationship or transactions with the Company.
Dr. Vijaypat Singhania, Chairman Emeritus, belongs to the Promoter group.
B. Remuneration to Chairman and Managing Director and Wholetime Director
The appointment of Chairman and Managing Director and Wholetime Director is governed by resolutions passed by the Board
of Directors and shareholders of the Company, which covers the terms of such appointment and remuneration, read with the
service rules of the Company. Payment of remuneration to Chairman and Managing Director and Wholetime Director is
governed by the respective Agreements executed between them and the Company. Remuneration paid to Chairman and
Managing Director and Wholetime Director is recommended by the Remuneration Committee, approved by the Board and is
within the limits set by the shareholders. The remuneration package of Chairman and Managing Director and Wholetime
Director comprises of salary, perquisites and allowances, commission and contributions to Provident and other Retirement
Benefit Funds as approved by the shareholders. Annual increments are linked to performance and are decided by the
Remuneration Committee and recommended to the Board for approval thereof.
The remuneration policy is directed towards rewarding performance, based on review of achievements. It is aimed at attracting
and retaining high caliber talent.
There is no separate provision for payment of severance fees under the resolutions governing the appointment of Chairman and
Managing Director and Wholetime Director.
Presently, the Company does not have a scheme for grant of stock options or performance linked incentives for its Directors.
At the 84th Annual General Meeting of the Company, the shareholders of the Company had subject to the approval of the
Central Government approved by special resolution, the payment of excess remuneration to Shri Gautam Hari Singhania,
Chairman and Managing Director, for the period from April 1, 2008 to March 31, 2009, and Shri P.K. Bhandari, Wholetime Director
for the period from April 1, 2008 to April 23, 2008 in view of loss suffered by the Company.
The Company has received the approval from the Central Government under Section 309(5B) for the payment of
Rs.3,20,41,242/- as managerial remuneration to Shri Gautam Hari Singhania, Chairman and Managing Director for the period
from April 1, 2008 to March 31, 2009.
The Central Government also approved the waiver of recovery of excess managerial remuneration of Rs.6,26,512/- from
Shri P. K. Bhandari for the period from April 1, 2008 to April 23, 2008.
By Postal Ballot dated June 20, 2009 the shareholders approved the re-appointment of Shri Gautam Hari Singhania, as Chairman
and Managing Director for a period of five years w.e.f July 1, 2009 and subject to the approval of the Central Government the
payment of managerial remuneration to Shri Gautam Hari Singhania, as Chairman and Managing Director as minimum
remuneration for a period of three years. The Company has accordingly received the approval of the Central Government for
the appointment of Shri Gautam Hari Singhania as Chairman and Managing Director for a period of two years w.e.f. July 1, 2009
to June 30, 2011 and the payment of remuneration of Rs. 3,20,41,242/- per annum for the period July 1, 2009 to June 30, 2011. The
Company is awaiting the approval of the Central Government for the period April 1, 2009 to June 30, 2009.
Similarly by Postal Ballot dated June 20, 2009 the shareholders approved the appointment of Shri Desh Deepak Khetrapal, as
Wholetime Director for a period of five years w.e.f June 20, 2009 and subject to the approval of the Central Government the
payment of managerial remuneration to Shri Khetrapal, as minimum remuneration for a period of three years. The Company has
accordingly applied to the Central Government for the payment of remuneration of Rs. 1,43,00,000/- to the Wholetime Director
for the period from June 20, 2009 to March 31, 2010. The Company has received the approval of the Central Government
against which certain clarification has been sought.
16
CMYK
DETAILS OF REMUNERATION PAID TO ALL THE DIRECTORS FOR THE YEAR ENDED MARCH 31, 2010
(a) NON-WHOLETIME DIRECTORS
Sitting Fees (Rs.)
No. of Shares held
2,00,000
56,247
Shri U.V.Rao
10,000
Nil
Shri Nana Chudasama
40,000
663
Shri B. V. Bhargava
40,000
Nil
Shri I. D. Agarwal
2,00,000
Nil
Shri Nabankur Gupta
3,90,000
Nil
Shri P. K. Bhandari
3,30,000
303
(w.e.f June 15, 2009)
1,70,000
Nil
90,000
Nil
Dr. Vijaypat Singhania,
Chairman Emeritus
Shri Pradeep Guha
(w.e.f June 15, 2009)
No commission is payable to Non-Executive Directors for the financial year 2009-10 due to absence/inadequate profits.
(b) MANAGING AND WHOLETIME DIRECTOR
5.
Shri Gautam Hari Singhania,
Chairman and Managing
Director
Salary (Rs.)
1,80,00,000
Benefits (Rs.)
1,63,01,242
Shri Desh Deepak Khetrapal,
Wholetime Director
(w.e.f June 20, 2009)
58,83,672
80,95,193
Remarks
Appointment for a period 5 years
from July 1, 2009 to June 30, 2014
and remuneration for a period of
3 years.
Resignation accepted by the Board of
Directors on April 27, 2010.
SHAREHOLDERS’ / INVESTORS’ GRIEVANCE COMMITTEE:
The Board of Raymond Limited has constituted a Committee of Directors, which inter-alia also functions as “Shareholders’/
Investors’ Grievance Committee”, consisting of three members, chaired by a Non-Executive, Independent Director.
The Committee meets once a month and inter-alia, deals with various matters relating to:
•
approval of transfer of shares/debentures and issue of duplicate/split/consolidation/sub-division of share/debenture
certificates;
•
opening/modification of operation and closing of bank accounts;
•
grant of special/general Power of Attorney in favour of employees of the Company from time to time in connection with
the conduct of the business of the Company particularly with Government and Quasi-Government Institutions;
•
to fix record date/book closure of share/debenture transfer book of the Company from time to time;
•
to appoint representatives to attend the General Meeting of other companies in which the Company is holding shares;
•
to change the signatories for availment of various facility from Banks/Financial Institution;
•
to grant authority to execute and sign foreign exchange contracts and derivative transactions;
•
to carry out any other duties that may be delegated to the Committee by the Board of Directors from time-to-time.
The Secretarial Department of the Company and the Registrar and Share Transfer Agent, Link Intime India Private Limited attend
to all grievances of the shareholders and investors received directly or through SEBI, Stock Exchanges, Ministry of Corporate
Affairs, Registrar of Companies etc.
The Minutes of the Shareholders’/Investors’ Grievances Committee are circulated to the Board and noted by the Board of
Directors at the Board Meetings.
Continuous efforts are made to ensure that grievances are more expeditiously redressed to the complete satisfaction of the
investors. Shareholders are requested to furnish their telephone numbers and e-mail addresses to facilitate prompt action.
During the financial year 2009-10, the Company also sent reminder letters to the shareholders whose names appeared in the
unclaimed dividend list of 2002-03 and subsequent years, to enable them to claim such unclaimed dividend.
17
CMYK
The composition of the Committee of Directors and the attendance during 2009-10 are as under:
Category
No of meeting
No of meetings
held during
attended during
tenure
tenure
6.
Shri Nabankur Gupta
Chairman (w.e.f. June 20, 2009)
9
9
Promoter, Executive
13
13
Shri P. K. Bhandari
Non-promoter, Non-Executive
13
13
Shri Nana Chudasama
(Acted as Chairman
upto June 10, 2009)
4
4
COMPLIANCE OFFICER
The Board has designated Shri Thomas Fernandes, Director – Secretarial & Company Secretary as the Compliance Officer.
DETAILS OF SHAREHOLDERS’ COMPLAINTS RECEIVED, NOT SOLVED AND PENDING SHARE TRANSFERS
The total number of complaints received and replied to the satisfaction of the shareholders during the year ended
March 31, 2010 was 87.
There were no complaints outstanding as on March 31, 2010. The number of pending share transfers and pending requests for
dematerialization as on March 31, 2010 were Nil.
Shareholders’/Investors’ complaints and other correspondence are normally attended to within seven working days except
where constrained by disputes or legal impediments. No investor grievances remained unattended/pending for more than thirty
days as on March 31, 2010.
GENERAL BODY MEETINGS:
a. Location and time, where last three Annual General Meetings were held are given below :
Financial Year
b.
Date
Location of the Meeting
Time
2006-2007
June 18, 2007
Registered Office of the Company at Ratnagiri
11.00 A.M.
2007-2008
June 18, 2008
11.00 A.M.
2008-2009
June 10, 2009
11.00 A.M.
c.
Special Resolutions passed at last three Annual General Meetings :
(i) The payment of commission to Non-Executive Directors for the financial year 2006-2007 and 2007-2008 was passed at
the 82nd Annual General Meeting of the Company held on June 18, 2007, which was put to vote by show of hands and
was passed unanimously.
(ii) In the 83rd Annual General Meeting held on June 18, 2008, the shareholders’ have approved payment of commission of
a sum not exceeding 1% of the annual net profit of the Company subject to the overall ceiling limit of Rs.25 lakhs to the
Non-Executive Directors of the Company, by passing a special resolution for a period of three financial years commencing
from April 1, 2008 to March 31, 2011.
(iii) At the 84th Annual General Meeting of the Company, the shareholders of the Company had subject to the approval of
the Central Government passed as special resolutions, the payment of minimum remuneration in the absence or
inadequacy of profits to Shri Gautam Hari Singhania, Chairman and Managing Director, for the period from April 1, 2008
to June 30, 2009, and Shri P.K. Bhandari, Wholetime Director for the period from April 1, 2008 to April 23, 2008 in view of
inadequacy of profit.
Passing of resolutions by Postal Ballot:
During the financial year 2009-10, three postal ballots were conducted. The details of which are as follows:
i.
Notice dated June 20, 2009 was issued for seeking the approval of the shareholders by a Special Resolution for
re-appointment of Shri Gautam Hari Singhania, as Chairman and Managing Director w.e.f. July 1, 2009 for a period of
five years and fixing remuneration including minimum remuneration for a period of three years and for the appointment
of Shri Desh Deepak Khetrapal as Wholetime Director w.e.f. June 20, 2009 for a period of five years and fixing remuneration
including minimum remuneration for a period of three years, result of this postal ballot was declared on August 17, 2009.
ii.
Notice dated July 30, 2009 was issued for seeking the approval of the shareholders for reorganization of the Company’s
files business by transfer of Files & Tools division of the Company to its wholly owned subsidiary, JK Files (India) Limited
(formerly known as Hindustan Files Limited) as a going concern on slump sale basis and for alteration of object Clause
of the Memorandum of Association of the Company by adding Clause for development of realty business, result of this
postal ballot was declared on September 30, 2009.
iii. Notice dated October 1, 2009 was issued for seeking the approval of the shareholders for commencement of Real
Estate business, result of this postal ballot was declared on November 10, 2009.
d.
Extraordinary General Meeting:
No Extraordinary general meeting was held by the Company during the financial year ended March 31, 2010.
7.
SUBSIDIARIES :
The Company does not have any material non-listed Indian subsidiary whose turnover or net worth (i.e. paid-up capital and free
reserves) exceeds 20% of the consolidated turnover or net worth respectively, of the listed holding company and its subsidiaries
in the immediately preceding accounting year.
18
CMYK
8.
9.
CODE OF CONDUCT :
The Board of Directors have adopted the Code of Business Conduct and Ethics for Directors and Senior Management. The said
Code has been communicated to the Directors and members of the Senior Management. The Code has also been displayed
on the Company’s website – www.raymond.in.
INSIDER TRADING :
Code of Conduct for Prevention of Insider Trading
The Securities and Exchange Board of India (SEBI) has over the years introduced various amendments to the Insider Trading
Regulations of 1992 which ordain new action steps by corporates and other market intermediaries for the purposes of prevention
of Insider Trading.
Pursuant to the above requirements of SEBI (Prohibition of Insider Trading) Regulations, 1992 as amended, the Company has
adopted a ‘Code of Conduct for Prevention of Insider Trading’ (The Code) with effect from October 1, 2002. The Code of
conduct for prevention of Insider Trading is amended from time to time reflecting the changes brought in by SEBI in the Insider
Trading regulations. The Code is applicable to all Directors and such Designated Employees who are expected to have access
to unpublished price sensitive information relating to the Company. The Company Secretary has been appointed as the
Compliance Officer for monitoring adherence to the said Regulations.
10. DISCLOSURES :
a.
b.
c.
Disclosure on materially significant related party transactions that may have potential conflict with the interests of the
Company at large.
There are no materially significant related party transactions made by the Company with its Promoters, Directors or
Management, their subsidiaries or relatives, etc., that may have potential conflict with the interests of the Company at
large.
Transactions with related parties as per requirements of Accounting Standard (AS-18 ) – ‘Related Party Disclosures’ are
disclosed in Note No. 19 of Schedule 16 to the Accounts in the Annual Report.
Disclosure of Accounting Treatment
In the preparation of the financial statements, the Company has followed the Accounting Standards referred to in Section
211 (3) (c) of the Companies Act, 1956. The significant accounting policies which are consistently applied are set out in the
Annexure to Notes to the Accounts.
Risk Management
Business risk evaluation and management is an ongoing process within the Company. During the year under review, a
detailed exercise on ‘Risk Assessment and Management’ was carried out covering the entire gamut of business operations
and the Board was informed of the same.
d.
Details of non-compliance by the Company, penalties, strictures imposed on the Company by Stock Exchanges or SEBI or
any statutory authority, on any matter related to capital markets, during the last three years.
The Company has complied with all requirements of the Listing Agreements entered into with the Stock Exchanges as well
as the regulations and guidelines of SEBI. Consequently, there were no strictures or penalties imposed by either SEBI or the
Stock Exchanges or any statutory authority for non-compliance of any matter related to the capital markets during the last
three years.
e. Non-mandatory requirements
Adoption of non-mandatory requirements of Clause 49 of the Listing Agreement are being reviewed by the Board from
time to time.
11. MEANS OF COMMUNICATION:
(i)
The Board of Directors of the Company approves the quarterly, half yearly and yearly financial results in the Proforma
prescribed by Clause 41 of the Listing Agreement within one month of the close of the respective period.
(ii) The approved financial results are forthwith sent to the Listed Stock Exchanges and are published in a national English
newspaper. In addition, the same are published in local language (Marathi) newspaper, within forty-eight hours of approval
thereof. Presently the same are not sent to the shareholders separately.
(iii) Pursuant to Clause 51 of the Listing Agreement, all data related to quarterly financial results, shareholding pattern, etc., are
hosted on the Electronic Data Information Filing and Retrieval (EDIFAR) website www.sebiedifar.nic.in maintained by SEBI in
association with the National Informatics Centre, within the time frame prescribed in this regard. EDIFAR has been discontinued
by SEBI with effect from April 1, 2010.
(iv) The Company’s financial results and official news releases are displayed on the Company’s Website www.raymond.in.
(v) Any presentation made to the institutional investors and analysts are also posted on the Company’s website.
(vi) Management Discussion and Analysis forms part of the Annual Report, which is sent to the shareholders of the Company.
12. GENERAL SHAREHOLDER INFORMATION:
Detailed information in this regard is provided in the section ‘Shareholder Information’ which forms part of this Annual Report.
13. COMPLIANCE CERTIFICATE OF THE AUDITORS:
The Statutory Auditors have certified that the Company has complied with the conditions of Corporate Governance as stipulated
in Clause 49 of the Listing Agreement with the Stock Exchanges and the same is annexed to the Directors’ Report and
Management Discussion and Analysis.
The Certificate from the Statutory Auditors will be sent to the Listed Stock Exchanges along with the Annual Reports of the
Company.
19
CMYK
DECLARATIONS
Compliance with the Code of Business Conduct and Ethics
As provided under Clause 49 of the Listing Agreement with the Stock Exchanges, all Board members and Senior Management
Personnel have affirmed compliance with Raymond Limited Code of Business Conduct and Ethics for the year ended
March 31, 2010.
For Raymond Limited
Mumbai: April 27, 2010
CEO / CFO Certification
As required by sub clause V of Clause 49 of the Listing Agreement with the Stock Exchanges, we have certified to the Board that for
the financial year ended March 31, 2010, the Company has complied with the requirements of the said sub clause.
For Raymond Limited
For Raymond Limited
H. Sunder
President-Finance
and Chief Financial Officer
AUDITORS’ CERTIFICATE REGARDING COMPLIANCE OF CONDITIONS OF CORPORATE GOVERNANCE
To the Members of
Raymond Limited
We have examined the compliance of conditions of Corporate Governance by Raymond Limited, for the year ended
31st March 2010, as stipulated in Clause 49 of the Listing Agreement(s) of the said Company with stock exchanges in India.
The compliance of conditions of Corporate Governance is the responsibility of the Company’s management. Our examination was
carried out in accordance with the Guidance Note on Certification of Corporate Governance (as stipulated in Clause 49 of the
Listing Agreement), issued by the Institute of Chartered Accountants of India and was limited to procedures and implementation
thereof, adopted by the Company for ensuring the compliance of the conditions of Corporate Governance. It is neither an audit nor
an expression of opinion on the financial statements of the Company.
We certify that the Company has complied with the conditions of Corporate Governance as stipulated in the above mentioned
Listing Agreements.
We state that such compliance is neither an assurance as to the future viability of the Company nor the efficiency or effectiveness
with which the management has conducted the affairs of the Company.
For Dalal & Shah
Firm Registration Number: 102021W
Shishir Dalal
Partner
Membership Number: 037310
20
CMYK
SHAREHOLDER INFORMATION
Registered Office :
Plot No. 156 / H. No.2, Village Zadgaon, Ratnagiri 415 612, Maharashtra
Phone : 95-2352-232514; Fax : 95-2352- 232513; Website : www.raymond.in
Annual General Meeting :
Day, Date and Time : Tuesday, June 15, 2010 at 11.00 A.M.
Venue : Registered Office of the Company : Plot No. 156/ H. No. 2, Village Zadgaon,
Ratnagiri 415 612, Maharashtra.
Financial Calendar :
• Financial reporting for the quarter ending June 30, 2010
• Financial reporting for the half year ending September 30, 2010
– End July 2010
– End October 2010
• Financial reporting for the quarter ending December 31, 2010
• Financial reporting for the year ending March 31, 2011
– End January 2011
– End April 2011
Date of Book Closure : May 29, 2010 to June 15, 2010 (both days inclusive), for the purpose of Annual General Meeting.
Listing on Stock Exchanges:
The Equity Shares of the Company are listed on Bombay Stock Exchange Limited (BSE) and National Stock Exchange of India Limited
(NSE). Annual Listing Fees as prescribed have been paid to both the Stock Exchanges for the year 2010 - 2011.
Global Depository Receipts are listed on Luxembourg Stock Exchange and Annual Listing Fees as prescribed has been paid to the
said Stock Exchange for the calendar year 2010.
Stock Code :
Bombay Stock Exchange Limited – 500330
National Stock Exchange of India Limited – Raymond EQ
Demat ISIN No. for NSDL and CDSL – INE301A01014
Stock Market Data : The monthly high and low quotations and volume of shares traded on BSE and NSE during the year were as
follows :
MONTH
BSE
NSE
HIGH (Rs.)
LOW (Rs.)
VOLUME (Nos.)
HIGH (Rs.)
LOW (Rs.)
VOLUME (Nos.)
APRIL 2009
98.05
75.25
1045742
98.70
75.70
1907346
MAY 2009
152.65
87.50
1130904
153.65
87.15
2074337
JUNE 2009
189.40
142.25
1532188
188.55
142.00
2630473
JULY 2009
194.50
152.60
1807997
194.90
153.50
2367538
AUGUST 2009
189.60
157.60
768217
190.45
156.00
1521876
SEPTEMBER 2009
234.40
172.10
4912591
233.50
168.00
8847258
OCTOBER 2009
212.50
179.15
1934633
217.00
179.10
4260993
NOVEMBER 2009
206.60
175.05
1401231
206.50
170.05
2597893
DECEMBER 2009
203.55
186.30
955538
203.40
182.20
1693429
JANUARY 2010
271.75
194.00
7865518
271.95
193.50
13734673
FEBRUARY 2010
249.70
199.00
4210784
249.40
210.00
6590623
MARCH 2010
259.65
215.50
6844141
259.90
216.00
12702250
BSE
NSE
34409484
60928689
Highest Share Price (Rs.)
271.75
271.95
Lowest Share Price (Rs.)
75.25
75.70
239.60
239.35
147069
146915
No. of Shares traded
Closing share price as on March 31, 2010 (Rs.)
Market Capitalisation as on March 31, 2010 (Rs. in lakhs)
21
CMYK
250
10000
200
7500
150
5000
100
2500
50
Jan-10
Nov-09
Sep-09
Jul-09
May-09
0
SHARE PRICE ON BSE
12500
Mar-10
300
Feb-10
15000
Dec-09
350
Oct-09
17500
Aug-09
400
Jun-09
20000
Apr-09
BSE SENSEX
Stock Performance (Indexed) :
The performance of the Company’s shares relative to BSE Sensex is given in the chart below :
0
April 2009 to March 2010
BSE Sensex Low
BSE Sensex High
Share Price High
Share PriceLow
Registrar and Share Transfer Agent :
C-13, Pannalal Silk Mills Compound,
L.B.S Marg, Bhandup (West),
Mumbai – 400 078. Maharastra, (India)
Tel : 022-25963838 ; Fax : 022-25946969
e-mail : [email protected]; [email protected]
e-mail : Exclusive for redressal of Investor Complaints is [email protected]
Time : 10.00 a. m. to 1.00 p. m. and 2.00 p. m. to 4.00 p. m. (Monday to Friday)
Share Transfer System:
The transfer of shares in physical form is processed and completed by Registrar & Transfer Agent within a period of seven days from
the date of receipt thereof provided all the documents are in order. In case of shares in electronic form, the transfers are processed
by NSDL/CDSL through respective Depository Participants. In compliance with the Listing Agreement with the Stock Exchanges, a
Practising Company Secretary carries out audit of the System of Transfer and a certificate to that effect is issued.
Distribution of shareholding as on March 31, 2010:
No. of equityshares
Upto 500
No. of shareholders
% of shareholders
No. of shares held
% of shareholding
122222
96.64
8873383
14.46
501 to 1000
2522
1.99
1868328
3.04
1001 to 2000
959
0.76
1384465
2.26
2001 to 3000
254
0.20
647210
1.05
3001 to 4000
128
0.10
455871
0.74
4001 to 5000
96
0.08
450057
0.73
5001 to 10000
135
0.11
986316
1.61
10001 and above
154
0.12
46715223
76.11
126470
100
61380853
100
GRAND TOTAL
22
CMYK
Shareholding Pattern as on March 31, 2010:
Category
(A)
1
(a)
(b)
2
(B)
1
(a)
(b)
(c)
(d)
(e)
2
(a)
(b)
i
ii
(c)
(C)
Shareholding of Promoter and Promoter Group
Indian
Individuals/Hindu Undivided Family
Bodies Corporate
Sub Total(A)(1)
Foreign
Sub Total(A)(2)
Total Shareholding of Promoter and Promoter Group (A)= (A)(1)+(A)(2)
Public shareholding
Institutions
Mutual Funds/UTI
Financial Institutions/Banks
Venture Capital Funds
Insurance Companies
Foreign Institutional Investors
Sub-Total (B)(1)
Non-institutions
Bodies Corporate
Individuals
Individual shareholders holding nominal share capital up to Rs.1 lakh
Individual shareholders holding nominal share capital in excess of Rs.1 lakh
Any Other (specify)
Trusts
Sub-Total (B)(2)
Total Public Shareholding (B)= (B)(1)+(B)(2)
TOTAL (A)+(B)
Shares held by Custodians and against which Depository Receipts have been issued
GRAND TOTAL (A)+(B)+(C)
No. of shares
held
Percentage of
shareholding
866428
23039234
23905662
23905662
1.41
37.53
38.94
38.94
1779803
36185
11928352
4902589
18646929
2.90
0.06
19.43
7.99
30.38
3416459
5.57
13396807
1129391
21.83
1.84
1093
17943750
36590679
60496341
884512
61380853
0.00
29.23
59.61
98.56
1.44
100
Dematerialisation of shares and liquidity:
94.64 % of the equity shares of the Company have been dematerialised as on March 31, 2010. The Company has entered into
agreements with both National Securities Depository Limited (NSDL) and Central Depository Services (India) Limited (CDSL) whereby
shareholders have an option to dematerialise their shares with either of the depositories.
Status of Dematerialisation as on March 31, 2010 :
PARTICULARS
NO. OF SHARES
% TO TOTAL CAPITAL
NO. OF ACCOUNTS
57912636
94.35
62230
178527
0.29
15587
58091163
94.64
77817
3289690
5.36
48653
61380853
100
126470
National Securities Depository Limited
Central Depository Services (India) Limited
TOTAL DEMATERIALISED
PHYSICAL
GRAND TOTAL
Outstanding GDRs/ Warrants and Convertible Bonds, conversion date and likely impact on equity :
Outstanding number of GDRs represent 884512 equity shares (1.44%) of the total share capital as on March 31, 2010. Each GDR
represents 2 underlying equity shares. Since the underlying equity shares represented by GDRs have been allotted in full, the
outstanding GDRs have no impact on the equity of the Company.
The Company during the financial year 2007 – 2008 had issued 61,38,085 warrants on a preferential basis to one of the promoters,
J.K.Investors (Bombay) Limited, as per the SEBI (Disclosure and Investor Protection) Guidelines, 2000 entitling the warrant holders to
apply for equivalent number of fully paid equity shares of Rs.10/- each at a price of Rs. 340/- per share. In terms of the special
resolution, the said warrants had been issued upon payment of 10% of the amount. The balance 90% of the amount was payable on
or before June 3, 2009. J.K.Investors (Bombay) Limited have not exercised their option and hence the warrants have lapsed.
23
CMYK
Unclaimed Dividends :
Pursuant to Section 205C of the Companies Act, 1956, dividends that are unpaid/unclaimed for a period of seven years from the
date they became due for payment are required to be transferred by the Company to the Investor Education and Protection Fund
(IEPF) administered by the Central Government. Given below are the dates of declaration of dividend and corresponding dates
when unpaid/unclaimed dividends are due for transfer to IEPF:
Financial Year
Date of declaration of Dividend
2002-2003
June 11, 2003
Due Date for transfer to IEPF
July 17, 2010
2003-2004
June 30, 2004
August 6, 2011
2004-2005
June 16, 2005
July 22, 2012
2005-2006
June 23, 2006
July 29, 2013
2006-2007
June 18, 2007
July 24, 2014
2007-2008
June 18, 2008
July 24, 2015
2008-2009
No Dividend declared
—
Members who have so far not encashed their dividend warrants are requested to write to the Company/Registrar to claim the same,
to avoid transfer to IEPF. Members are advised that no claims shall lie against the said Fund or the Company for the amounts of
dividend so transferred to the said Fund.
During the financial year under review, the Company has transferred Rs. 28,33,193 to Investors Education and Protection Fund
towards Unclaimed Dividend, Fixed Deposits, Interest on Fixed Deposits, Debentures and Interest on Debentures.
Nomination:
Individual shareholders holding shares singly or jointly in physical form can nominate a person in whose name the shares shall be
transferable in case of death of the registered shareholder(s). Nomination facility in respect of shares held in electronic form is also
available with the depository participants as per the bye-laws and business rules applicable to NSDL and CDSL. Nomination forms
can be obtained from the Company’s Registrar and Share Transfer Agent.
Electronic Clearing Service:
The Securities and Exchange Board of India has made it mandatory for all companies to use the bank account details furnished by
the depositories and shareholders for crediting dividends through Electronic Clearing Services (ECS) to the investors wherever ECS
and bank details are available. In the absence of ECS facility, the Company is required to print the bank account details on the
dividend warrants. This ensures that the dividend warrants, even if lost or stolen, cannot be used for any purpose other than for
depositing the money in the accounts specified on the dividend warrants and ensures safety for the investors. The Company
complies with the SEBI requirement.
Plant Locations:
The Company has the following manufacturing and operating Divisions :
Textile Division :
Thane
Jekegram, Thane, Maharashtra - 400 606; (upto December, 2009);
Jalgaon
No. E/1, MIDC Area, Phase II, Ajanta Road, Jalgaon, Maharashtra - 425 003;
Chhindwara
B 1, A.K.V.N., Boregaon Industrial Growth Centre, Kailash Nagar, Tehsil Sauser, Dist. Chhindwara, Madhya
Pradesh - 480 001;
Vapi
N. H. No.8, Khadki - Udwada, Taluka Pardi, District Valsad, Gujarat - 396 185;
Bangalore
No.4/2A, 2B, 5/3A, 3B, Gundapura, Gowribidanur, Taluk Chikkaballapura, Bangalore, Karnataka – 561208.
Aviation Division :
Old Apperal Building, Jekegram, Pokhran Road No. 1, Thane (West) - 400 606.
Address for Correspondence:
PHYSICAL SHARES
DEMAT SHARES
DEBENTURES AND FIXED DEPOSITS
C-13, Pannalal Silk Mills Compound,
L.B.S Marg, Bhandup (West), Mumbai – 400 078
Tel : 022-25963838, Fax : 022-25946969
e-mail : [email protected]
[email protected]
Respective Depository
Participants of the shareholders
Raymond Limited, Share Department,
Pokhran Road No.1, Jekegram,
Thane (W) - 400 606.
Phone : 022-4036 8687/8619
Fax : 022-2538 2912, 022-25412805
e-mail : [email protected]
SECRETARIAL AUDIT FOR RECONCILIATION OF CAPITAL:
As stipulated by SEBI, a qualified Practising Company Secretary carries out Secretarial Audit to reconcile the total admitted capital
with National Securities Depository Limited (NSDL) and Central Depository Services (India) Limited (CDSL) and the total issued and
listed capital. This audit is carried out every quarter and the report thereon is submitted to the Listed Stock Exchanges. The audit
confirms that the total Listed and Paid-up Capital is in agreement with the aggregate of the total number of shares in dematerialised
form (held with NSDL and CDSL) and total number of shares in physical form.
24
CMYK
AUDITORS’ REPORT TO THE MEMBERS OF RAYMOND LIMITED
1.
We have audited the attached Balance Sheet of Raymond Limited as at 31st March, 2010, and the related Profit and Loss
Account and Cash Flow Statement for the year ended on that date annexed thereto, which we have signed under reference
to this report. These financial statements are the responsibility of the Company’s management. Our responsibility is to express an
opinion on these financial statements based on our audit.
2.
We conducted our audit in accordance with the auditing standards generally accepted in India. Those Standards require that
we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as
well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our
opinion.
3.
As required by the Companies (Auditor’s Report) Order, 2003, as amended by the Companies (Auditor’s Report) (Amendment)
Order, 2004 (together the “Order”), issued by the Central Government of India in terms of sub-section (4A) of Section 227 of ‘The
Companies Act, 1956’ of India (the ‘Act’) and on the basis of such checks of the books and records of the Company as we
considered appropriate and according to the information and explanations given to us, we give in the Annexure a statement
on the matters specified in paragraphs 4 and 5 of the Order.
4.
Further to our comments in the Annexure referred to in paragraph 3 above, we report that:
(a) We have obtained all the information and explanations, which to the best of our knowledge and belief were necessary for
the purposes of our audit;
(b) In our opinion, proper books of account as required by law have been kept by the Company so far as appears from our
examination of those books;
(c) The Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt with by this report are in agreement with the
books of account;
(d) In our opinion, the Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt with by this report comply with
the accounting standards referred to in sub-section (3C) of Section 211 of the Act;
(e) On the basis of written representations received from the directors, as on 31st March, 2010 and taken on record by the
Board of Directors, none of the directors is disqualified as on 31st March, 2010 from being appointed as a director in terms of
clause (g) of sub-section (1) of Section 274 of the Act;
(f)
Without qualifying our opinion, we draw attention to Note 3B(a) in Schedule 16 to the financial statements, regarding the
carrying value of exposures in Raymond UCO Denim Private Limited, which may need adjustment if the outcome of the
Management’s estimates of profits and realisable value of assets, which are subject to inherent uncertainties, is substantially
different.
(g) In our opinion and to the best of our information and according to the explanations given to us, the said financial
statements together with the notes thereon and attached thereto give, in the prescribed manner, the information required
by the Act and give a true and fair view in conformity with the accounting principles generally accepted in India:
(i)
in the case of the Balance Sheet, of the state of affairs of the Company as at 31st March 2010;
(ii)
in the case of the Profit and Loss Account, of the profit for the year ended on that date; and
(iii) in the case of the Cash Flow Statement, of the cash flows for the year ended on that date.
For Dalal & Shah
Shishir Dalal
Partner
Mumbai
27th April, 2010
25
CMYK
ANNEXURE TO AUDITORS’ REPORT
Referred to in paragraph 3 of the Auditors’ Report of even date to the members of Raymond Limited on the financial statements for
the year ended 31st March, 2010
1.
(a) The Company is maintaining proper records showing full particulars including quantitative details and situation of fixed
assets.
(b) The fixed assets are physically verified by the management according to a phased programme designed to cover all the
items over a period of three years, which in our opinion, is reasonable having regard to the size of the Company and the
nature of its assets. Pursuant to the programme, a portion of the fixed assets has been physically verified by the management during the year and no material discrepancies between the book records and the physical inventory has been
noticed.
(c) In our opinion and according to the information and explanations given to us, a substantial part of fixed assets has not
been disposed of by the Company during the year.
2.
3.
4.
5.
6.
7.
8.
9.
(a) The inventory has been physically verified by the management during the year. In our opinion, the frequency of verification
is reasonable. Inventories lying with outside parties have been confirmed by them at the close of the year.
(b) In our opinion, the procedures of physical verification of inventory followed by the management are reasonable and
adequate in relation to the size of the Company and the nature of its business.
(c) On the basis of our examination of the inventory records, in our opinion, the Company is maintaining proper records of
inventory. The discrepancies noticed on physical verification of inventory as compared to book records were not material.
The Company has not granted / taken any loans, secured or unsecured, to / from companies, firms or other parties covered in
the register maintained under Section 301 of the Act.
In our opinion and according to the information and explanations given to us, there is an adequate internal control system
commensurate with the size of the Company and the nature of its business for the purchase of inventory, fixed assets and for the
sale of goods and services. Further, on the basis of our examination of the books and records of the Company, and according
to the information and explanations given to us, we have neither come across nor have been informed of any continuing failure
to correct major weaknesses in the aforesaid internal control system.
(a) In our opinion and according to the information and explanations given to us, the particulars of contracts or arrangements
referred to in Section 301 of the Act have been entered in the register required to be maintained under that section.
(b) In our opinion and according to the information and explanations given to us, the transactions made in pursuance of such
contracts or arrangements and exceeding the value of rupees five lacs in respect of any party during the year have been
made at prices which are reasonable having regard to the prevailing market prices at the relevant time.
The Company has not accepted any deposits from the public within the meaning of Sections 58A and 58AA of the Act and the
rules framed there under.
In our opinion, the Company has an internal audit system commensurate with its size and nature of its business.
We have broadly reviewed the books of account maintained by the Company in respect of products where, pursuant to the
rules made by the Central Government of India, the maintenance of cost records has been prescribed under clause (d) of subsection (1) of Section 209 of the Act and are of the opinion that prima facie, the prescribed accounts and records have been
made and maintained. We have not, however, made a detailed examination of the records with a view to determine whether
they are accurate or complete.
(a) According to the information and explanations given to us and the records of the Company examined by us, in our
opinion, the Company is generally regular in depositing the undisputed statutory dues including provident fund, investor
education and protection fund, employees’ state insurance, income-tax, sales-tax, wealth tax, service tax, customs duty,
excise duty, cess and other material statutory dues as applicable with the appropriate authorities.
(b) According to the information and explanations given to us and the records of the Company examined by us, the particulars of dues of income-tax, sales-tax, wealth tax, service tax, customs duty, excise duty and cess as at 31st March, 2010 which
have not been deposited on account of disputes are as follows:
Nature of dues
Central Sales Tax and Local Sales
Amount
(Rs. in lacs)
41.43
Period to which
the amount relates
Forum where the
dispute is pending
1990-91 and 1997 to 2001
High Court
Tax (including Value Added Tax,
Entry Tax, etc)
Excise Duty
18.76
1999-2000
Appellate Tribunal
92.13
1986-87, 1994 to 1997,
1999-2000, 2004-2007
1998 and 2004 to 2009
Departmental Authorities
1997 to 2000, 2003 and 2010
Departmental Authorities
1982 to 2001
High Court
840.24
70.31
Cess on Royalty
Amount not
ascertainable
26
Appellate Tribunal
CMYK
10. The Company has no accumulated losses as at 31st March 2010 and it has not incurred any cash losses in the financial year
ended on that date or in the immediately preceding financial year.
11. According to the records of the Company examined by us and the information and explanation given to us, the Company has
not defaulted in repayment of dues to any financial institution or bank or debenture holder during the year.
12. The Company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and
other securities.
13. In respect of shares, securities, debentures and other investments dealt or traded by the Company, proper records have been
maintained in respect of the transactions and contracts and timely entries have been made therein. All the investments are
held by the Company in its own name
14. According to the information and explanations given to us, and the representations made by the management, the Company
has given guarantee for loans taken by its subsidiaries from Banks aggregating Rs.12707.79 lacs. In our opinion, the terms and
conditions of these guarantees given by the Company, for loans taken by others from banks or financial institutions during the
year, are not prejudicial to the interest of the Company.
15. In our opinion, and according to the information and explanations given to us, on an overall basis, the term loans have been
applied for the purposes for which they were obtained.
16. On the basis of an overall examination of the balance sheet of the Company, in our opinion and according to the information
and explanations given to us, there are no funds raised on a short-term basis which have been used for long-term investment.
17. The Company has not made any preferential allotment of shares to parties and companies covered in the register maintained
under Section 301 of the Act during the year.
18. On the basis of the records and documents examined by us, the Company has, during the year, issued short term privately
placed secured debentures with daily put/call option, aggregating Rs.3700 lacs, which have been repaid prior to the creation
of any security in favour of the debentures holders.
19. The Company has not raised any money by public issues during the year.
20. During the course of our examination of the books and records of the Company, carried out in accordance with the generally
accepted auditing practices in India, and according to the information and explanations given to us, we have neither come
across any instance of fraud on or by the Company, noticed or reported during the year, nor have we been informed of such
case by the management.
21. The other clauses, (iii)(b), (iii)(c), (iii)(d), (iii)(f), (iii)(g) and (xiii) of paragraph 4 of the Companies (Auditor’s Report) Order, 2003 as
amended by the Companies (Auditor’s Report) Order, 2004, are not applicable in the case of the Company for the current year,
since in our opinion there is no matter which arises to be reported in the aforesaid order.
For Dalal & Shah
Shishir Dalal
Partner
Mumbai
27th April, 2010
27
CMYK
BALANCE SHEET AS AT 31ST MARCH, 2010
Schedule
No.
SOURCES OF FUNDS:
Shareholders’ Funds:
Share Capital
Share Warrants
Reserves and Surplus
1
1A
2
31st March, 2010
(Rs. in lacs)
6138.08
111152.99
31st March, 2009
(Rs. in lacs)
6138.08
2086.95
106560.29
117291.07
Loan Funds:
Secured Loans
Unsecured Loans
75695.61
49575.24
Deferred Tax Liability (Net)
(Refer Note18)
TOTAL
APPLICATION OF FUNDS:
Fixed Assets:
Gross Block
Less: Depreciation and Amortisation
Investments
5
Current Assets, Loans and Advances:
Inventories
Sundry Debtors
Cash and Bank Balances
Other Current Assets
Loans and Advances
6
Less:
Current Liabilities and Provisions:
Current Liabilities
Provisions
86884.81
47621.85
125270.85
134506.66
2105.03
2837.20
244666.95
252129.18
4
Net Block
Capital work-in-progress
171339.35
77297.50
170064.13
70159.58
94041.85
4164.28
99904.55
6210.69
98206.13
89178.56
106115.24
88859.46
28450.38
29694.35
2656.16
4332.30
27827.63
34040.36
30447.61
4679.94
5066.34
23931.08
92960.82
98165.33
30367.14
5311.42
35044.23
5966.62
35678.56
41010.85
7
Net Current Assets
TOTAL
Notes forming part of the Accounts
114785.32
3
57282.26
57154.48
244666.95
252129.18
16
As per our Report of even date
For DALAL & SHAH
Firm Registration Number 102021W
H. SUNDER
President-Finance and
Chief Financial Officer
GAUTAM HARI SINGHANIA
Shishir Dalal
Partner
Membership No. 037310
THOMAS FERNANDES
Director-Secretarial &
Company Secretary
P. K. BHANDARI
Director
Mumbai, 27th April, 2010
28
CMYK
PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31ST MARCH, 2010
Year ended
31st March, 2010
(Rs. in lacs)
Schedule
No.
INCOME
Sales, Services and Export Incentives
Less:Excise Duties
8
Other Income
9
EXPENDITURE
Material Costs
Manufacturing and Operating Costs
(Increase)/Decrease in finished and process stock
Employment Costs
Administrative, Selling and General expenses
Finance Charges
Loss/(Gain) on Variation In Foreign
Exchange Rates (Net)
Depreciation and Amortisation
10
11
12
13
14
15
Finished and process stock transferred on
divestment of Business
PROFIT/(LOSS) FOR THE YEAR BEFORE EXCEPTIONAL ITEMS:
EXCEPTIONAL ITEMS (Refer Note 17)
Surplus on divestment of Files and Tools business
Others
PROFIT/(LOSS) FOR THE YEAR BEFORE TAX
Provision for Income Tax :
Current Tax
Less: MAT Credit
Deferred Tax charge/(credit)
Fringe Benefit Tax
Provision for Wealth Tax
PROFIT/(LOSS) FOR THE YEAR AFTER TAX
Prior period adjustments (Net) (Refer Note 16)
Tax in respect of earlier years (Net)
Balance brought forward
Balance carried to Balance Sheet
Disclosure for discontinued operations
-Pre tax profit from ordinary activity
-Less: Tax thereon
Weighted average number of Equity Shares outstanding
during the year
Basic and diluted earnings per share, including exceptional
items (in Rs.)
Basic and diluted earnings per share, excluding exceptional
items (net of tax) (in Rs.)
16
Year ended
31st March, 2009
(Rs. in lacs)
133936.91
(439.50)
133497.41
9209.07
139325.37
(1405.99)
137919.38
9860.40
142706.48
147779.78
39125.88
24649.24
5545.62
25453.53
27801.07
9803.10
44290.85
27030.47
(2904.95)
26100.26
32845.78
8500.86
(897.36)
11130.65
8910.27
8881.35
142611.73
153654.89
(1793.07)
140818.66
153654.89
1887.82
(5875.11)
4450.82
(4334.30)
(23879.95)
2004.34
(29755.06)
250.00
(250.00)
(732.17)
100.00
2636.51
(130.76)
5519.41
8025.16
(3130.38)
315.00
100.00
(27039.68)
(65.41)
(50.04)
32674.54
5519.41
206.71
43.54
163.17
1043.55
145.88
897.67
61380853
61380853
4.08
(44.24)
2.74
(5.94)
For DALAL & SHAH
H. SUNDER
Shishir Dalal
Partner
THOMAS FERNANDES
Company Secretary
P. K. BHANDARI
Director
29
CMYK
CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH, 2010
A.
Year Ended
31st March, 2010
(Rs. in lacs)
Cash Flow arising from Operating Activities:
Net Profit/(Loss) before Tax and Exceptional Items as per
Add/(Deduct):
a)
Bad Debts, Advances and Claims written off
b)
Provision no longer required
c)
Credit balance appropriated
d)
Provision for Diminution in value of Investments
e)
Depreciation and Amortisation Charge
f)
Finance Charges and Gain/Loss on variation in
Foreign Exchange rates
g)
Loss on sale of Assets ( Net)
h)
Interest Income
i)
Dividend Income
j)
Surplus on sale of Investments
1887.82
753.92
(2443.03)
(16.58)
—
11130.65
117.73
(607.45)
(146.17)
1313.56
8881.35
6791.70
140.92
(2836.46)
(160.46)
(1795.36)
20806.45
45.49
(4136.00)
(1949.28)
(1721.52)
119.87
(4715.12)
2749.79
Cash Flow from Operations
Add :
Direct Taxes (Net)
Cash Flow before Prior Period Adjustments
Add/(Deduct) : Prior Period adjustments
Net Cash Inflow in the course of Operating Activities
Deduct: Voluntary Retirement Compensation and
other termination cost
after Exceptional Items
Cash Flow arising from Investing Activities:
Inflow:
a)
Sale of Fixed Assets
b)
Interest Received
c)
Dividend Received
d)
Sale of Long Term Investments
e)
Capital Subsidy Received
22604.16
16729.05
7544.03
(9431.10)
(1066.18)
(1845.46)
11607.66
(2953.25)
13775.80
(865.76)
10741.90
(133.38)
10608.52
(1343.77)
12432.03
(65.62)
12366.41
3094.85
312.54
7513.67
12053.87
130.98
2633.41
160.46
10503.98
—
194.52
4195.62
1949.28
12729.61
25.00
13428.83
Outflow:
a)
Acquisition of Fixed Assets
b)
Investment in Subsidiaries/Joint Ventures
c)
Investment in other Long Term Investments
d)
Purchase of Current Investments (Net)
e)
Increase in Loans to Companies (Net)
4765.82
620.86
1008.39
4644.06
—
19094.03
41925.52
1293.58
752.10
14307.41
(3071.45)
11039.13
2389.70
Net Cash Inflow/(Outflow) in the course of Investing Activities
C.
(5875.11)
11565.30
13453.12
Operating Cash Profit before Working Capital Changes
Add/(Deduct):
a)
Increase/(Decrease) in Trade Payable
b)
Decrease/ (Increase) in Trade and Other Receivables
c)
Decrease/(Increase) in Inventories
B.
Year Ended
31st March, 2009
(Rs. in lacs)
Cash Flow arising from Financing Activities:
Inflow:
a)
Proceeds from Term Loans
b)
Proceeds from other Borrowings (Net)
16344.56
—
Outflow:
a)
Repayment of Term Loans
b)
Proceeds from other Borrowings (Net)
c)
Finance Charges (Net)
d)
Dividend Paid
e)
Tax on dividend
13750.56
7750.37
6770.78
—
—
55207.16
(36113.13)
46329.33
500.95
16344.56
Net Cash Inflow/(Outflow) in the course of Financing Activities
Net Increase/(Decrease) in Cash/Cash Equivalents (A+B+C)
Add: Balance at the beginning of the year
Cash and Cash Equivalents at the close of the year
46830.28
—
—
18471.12
1541.65
260.79
28271.71
(11927.15)
20273.56
26556.72
(2023.78)
4679.94
2656.16
2497.46
2182.48
4679.94
For DALAL & SHAH
H. SUNDER
Shishir Dalal
Partner
THOMAS FERNANDES
Company Secretary
P. K. BHANDARI
Director
30
CMYK
SCHEDULES ‘1’ TO ‘16’ ANNEXED TO AND FORMING PART OF THE BALANCE SHEET AS AT AND THE PROFIT AND
LOSS ACCOUNT FOR THE YEAR ENDED 31ST MARCH, 2010.
31st March, 2010
(Rs. in lacs)
31st March, 2009
(Rs. in lacs)
SCHEDULE 1 - SHARE CAPITAL
Authorised:
10,00,00,000 Equity Shares of Rs.10 each
Issued and Subscribed :
* 6,13,80,853 Equity Shares of Rs.10 each, fully paid-up
Per Balance Sheet
10000.00
10000.00
10000.00
10000.00
6138.08
6138.08
6138.08
6138.08
3,50,000 Equity Shares were allotted as fully paid-up pursuant to
contracts without payments being received in cash and 4,25,28,312
Equity Shares were allotted as fully paid-up Bonus Shares by way of
capitalisation of Securities Premium Account and Reserves.
*
includes 8,84,512 Equity Shares represented by Global
Depository Receipts
SCHEDULE 1A - SHARE WARRANTS
61,38,085 warrants of Rs. 34/- each (Refer Note 4)
Per Balance Sheet
—
2086.95
—
2086.95
14778.55
14778.55
1371.01
1371.01
SCHEDULE 2 - RESERVES AND SURPLUS
(a) Securities Premium Account:
Balance as per last account
(b) Capital Redemption Reserve:
(c) Capital Reserve:
Add: Share warrants forfeited (Refer Note 4)
Add: Capital Subsidy received
25.00
—
2086.95
—
—
25.00
(d) General Reserve:
(e) Profit and Loss Account
Total Reserves and Surplus - Per Balance Sheet
31
2111.95
25.00
84866.32
84866.32
8025.16
5519.41
111152.99
106560.29
CMYK
SCHEDULE 3 - LOAN FUNDS
(a)
31st March, 2010
(Rs. in lacs)
Secured Loans:
Term Loans from Banks (including foreign
currency loan from banks during the year
Rs. Nil ; Previous year Rs. 4330.75 lacs) [Refer Note 1(a)(i)]
Term Loan from a Bank (Partly Secured) [Refer Note 1(a)(ii)]
57669.27
15000.00
67665.12
15000.00
1888.61
650.50
1137.73
3569.19
75695.61
86884.81
22951.00
15000.00
29208.00
—
Short Term Borrowings from Bank:
Under Buyer’s Credit Arrangements [Refer Note 1(b)]
Working Capital Loans from Banks (including foreign
currency loan from banks Rs. 1.16 lacs; Previous year
Rs. 3057.00 lacs) [Refer Note 1(b)]
Total - Secured Loans
(b)
Unsecured Loans:
Foreign Currency Loans from Banks
Long Term Borrowings from a Bank
Short Term Borrowings from Banks:
Foreign Currency Loans
Under Buyer’s Credit Arrangements
Others
31st March, 2009
(Rs. in lacs)
—
1624.24
2500.00
690.60
—
—
By issue of Commercial Papers (Maximum balance
during the year Rs. 20000 lacs; Previous year Rs.19000 lacs)
Sales Tax Deferment Loans
Total - Unsecured Loans
Total Loan Funds - Per Balance Sheet
4124.24
690.60
7500.00
—
17500.00
223.25
49575.24
47621.85
125270.85
134506.66
SCHEDULE 4 - FIXED ASSETS
(Refer Note 2)
(Rs. in lacs)
GROSS BLOCK - AT COST
(unless otherwise specified)
Balance Additions/
as at
Adjust01-Apr-09
ments
A. Assets
Land Freehold
Leasehold
Buildings*
Plant and Machinery,
Electrical Installations and
Equipments*
Furniture, Fixtures and
Office Equipment
Livestock (at book value)
Vehicles
Aircraft
Boats and Water Equipments
Software
Per Balance Sheet
2599.55
246.25
22582.28
—
—
766.70
118430.99
5000.97
8.29
2217.77
9853.00
7336.72
1788.31
170064.13
Deducttions/Adjustments
0.06
34.15
866.86
DEPRECIATION / AMORTISATION
Balance
Upto
as at
31-Mar-09
31-Mar-10
For the
year
Deducttions/Adjustments
NET BLOCK
Upto
31-Mar-10
As at
31-Mar-10
As at
31-Mar-09
2599.49
212.10
22482.12
—
22.98
5648.95
—
2.41
842.06
—
7.66
443.85
—
17.73
6047.16
2599.49
194.37
16434.96
2599.55
223.27
16933.33
5665.06
3962.89 120133.16
54712.25
7883.77
3038.04
59557.98
60575.18
63718.74
324.01
—
59.08
—
—
—
6814.85
249.12
5075.86
1.69
6.60
416.86
1859.99
—
9853.00
8.00
7328.72
—
1788.31
5539.63 171339.35
3046.61
—
1444.66
1889.33
2107.56
1287.24
70159.58
382.07
156.08
—
—
198.52
340.32
552.60
—
768.15
6.78
501.07
—
11130.65 @ 3992.73
3272.60
—
1302.86
2441.93
2868.93
1788.31
77297.50
1803.26
6.60
557.13
7411.07
4459.79
—
94041.85
1954.36
8.29
773.11
7963.67
5229.16
501.07
99904.55
Previous year’s Total
134540.27 37073.19
1549.33 170064.13 62587.76
* includes assets retired from active use. (Refer Note 3B (c)
11972.67
@ Net after adjustments on account of Excess provision for depreciation/amortisation
Rs. 2.62 lacs relating to earlier years (Previous year Rs. 0.21 lac).
B. Capital work-in-progress
8881.35 @ 1309.53
70159.58
10714.04
99904.55
1258.63
32
4164.28
6210.69
CMYK
SCHEDULE 5 - INVESTMENTS (AT COST/BOOK VALUE)
(fully paid up unless otherwise specified)
I.
A
B
31st March, 2010
Nos.
(Rs. in lacs)
31st March, 2009
(Rs. in lacs)
Nos.
0.06
0.06
0.06
0.06
LONG TERM INVESTMENTS
Investments in Government Securities :
National Saving Certificates (deposited with
Government Department as Security)
Investments in Shares of Subsidiary Companies
(Unquoted):
1. Raymond Apparel Limited
- Equity Shares of Rs.10 each
- 6% Cumulative Redeemable Preference Shares of Rs.100 each
2. Raymond (Europe) Limited (Formerly J.K. (England) Limited)
(Equity Shares of £.1 each)
3. Jaykayorg AG (Equity Shares of Swiss Francs 100 each)
4. Pashmina Holdings Limited (Equity Shares of Rs.10 each)
5. Everblue Apparel Limited [ Refer Note 3A(a)]
- 6% Optionally Convertible Preference Shares of Rs.100 each
6. Regency Texteis Portuguesa, Limitada:
- Equity Shares
- Preference Shares
2000000
3430000
191.51
3430.00
2000000
3430000
191.51
3430.00
1,000
500
740000
0.03
0.98
724.00
1,000
500
740000
0.03
0.98
724.00
5000000
1000000
500.00
1000.00
5000000
1000000
500.00
1000.00
Less:Provision for diminution in value of Investments
[Refer Note 3B(b)]
7.
8.
9.
10.
11.
12.
13.
14.
15.
C.
- 0.01% Non Cumulative Preference Shares of Rs.100 each
Silver Spark Apparel Limited:
-7% Non Cumulative Preference Shares of Rs.100 each
Celebrations Apparel Limited (Equity Shares of Rs.10 each)
Scissors Engineering Products Limited:
- 6% Cumulative Optionally Convertible Preference Shares of
Rs.100 each
JK Talabot Limited (Equity Shares of Rs. 10 each)
Raymond Europe SRL
Raymond Woollen Outerwear Limited (Equity Shares of
Rs.10 each) [Refer Note 3A(b)]
J K Files (India) Limited (Formerly known as Hidustan Files Limited)
- 6% Cumulative Redeemable Preference Shares of Rs.100 each
Solitaire Fashions Limited [Formerly known as Gas Apparel Limited]
Preference Shares of Rs.10 each
Investments in Joint Ventures *
(unquoted)
1. Raymond Zambaiti Limited [Formely known as
Raymond Zambaiti Private Limited ] (Equity Shares of Rs.10 each)
2. Raymond UCO Denim Private Limited (Refer Note 3B(a))
- 0.1% Preference Shares of Rs.10 each
1148.91
355.24
1148.91
355.24
1504.15
1504.15
(1504.15)
(512.00)
—
992.15
398000
398.00
398000
398.00
7000000
1000000
2710000
700.00
1000.00
271.00
7000000
1000000
2710000
700.00
1000.00
271.00
6907450
690.75
6907450
690.75
2052305
2052.31
—
41.58
(41.58)
2052305
7248936
2052.31
724.89
41.58
(41.58)
9690000
969.00
9690000
969.00
8740658
2200000
1222.01
2200.00
3770070
377.01
—
9250000
9250000
Re.1.00
Re.1.00
—
—
15349.59
14021.63
41000000
4100.00
41000000
4100.00
10644250
10000000
16088.69
8700.00
10644250
10000000
16088.69
8700.00
24788.69
(16400.00)
24788.69
(16400.00)
8388.69
8388.69
12488.69
12488.69
* The Company has agreed with the lenders (Banks) of some of these Companies for not disposing off these investments without
their prior consent
33
CMYK
31st March, 2010
Nos.
(Rs. in lacs)
31st March, 2009
Nos.
(Rs. in lacs)
SCHEDULE 5 - INVESTMENTS (AT COST/BOOK VALUE) Contd...
D.
Non-Trade Investments:
Shares (Unquoted):
1. Gujarat Sheep & Wool Development Corporation Limited
(Equity Shares of Rs.100 each)
2. P.T. Jaykay Files Indonesia - Associate Company
(Equity Shares of Indon.Rp.4,150 = US$ 10 each)
3. Bengal & Assam Company Limited (Equity Shares of Rs.100 each)
4. Impex (India) Limited (Equity Shares of Rs.10 each)
5. R.R. Investments & Estates Private Limited
6. Seven Seas Transportation Limited (Equity Shares of Rs.10 each)
7. J.K. Cotton Spg. & Wvg. Mills Company Limited
8. Radha Krshna Films Limited - Associate Company
9. J.K. Investo Trade (India) Limited - Associate Company
102
0.10
(0.10)
102
0.10
(0.10)
24000
1150
23.99
1.00
(1.00)
0.80
24000
1150
23.99
1.00
(1.00)
0.80
225
205000
5.19
27.94
(27.94)
225
205000
5.19
27.94
(27.94)
10510
2.49
(2.49)
10510
2.49
(2.49)
2500000
250.00
(250.00)
2500000
250.00
(250.00)
3489878
326.12
3489878
326.12
8000
8000
356.10
E.
Bonds (Quoted):
6.60% UTI Units Tax Free Bonds of Rs.100 each
—
356.10
2000000
—
F.
G.
Unquoted Debentures:
1. R.R. Investments & Estates Private Limited (Unsecured Debentures
of Rs.10,000 each) [Residual value after redemption Rs.7,800 each
(Net of redemption Rs.0.06 lac and proportionate acquisition
cost written off Rs.1.56 lacs)]
2. Raymond Apparel Limited (a subsidiary) (Fully Convertible
Unsecured Debentures of Rs.100 each)
3
Raymond UCO Denim Private Limited (a Joint Venture)
(Non- Convertible Unsecured Debentures of Rs.100 each
bearing interest linked to one year Government Security with
annual reset)
[Refer Note 3B (a)]
19
42.19
19
42.19
2850000
2850.00
2850000
2850.00
3344450
3344.46
2850000
2850.00
(2948.60)
Others:
5.50% NHAI Capital Gains Bonds Issue - of Rs.100000 each
(2850.00)
395.86
—
3288.05
2892.19
—
75000
—
H.
Investments in Venture Capital Funds
1
India Growth Fund (Units of Rs.1000 each, Paid up value per
Unit of Rs.950 each, Previous year Rs.920 each)
2
HDFC India Real Estate Fund (Units of Rs.1000 each)
Total - Long Term Investments
34
2000.00
2000.00
50000
248169
475.00
2481.69
7500.00
7500.00
50000
248294
460.00
2482.94
2956.69
2942.94
34439.17
42201.61
CMYK
31st March, 2010
Nos.
(Rs. in lacs)
31st March, 2009
Nos.
(Rs. in lacs)
II.
CURRENT INVESTMENTS
A. Dividend Option (Units of Rs.10 each, unless otherwise specified):
1
UTI Balanced Fund (Income - Reinvestment)
(NAV Previous year Rs.35.26 lacs)
2
Tata Floater Fund - Daily Dividend (NAV Previous year
Rs.3037.18 Lacs)
3. HDFC Cash Management Treasury
Advantage Plan- Weekly Dividend (NAV Rs.266.75 Lacs,
Previous year Rs.262.95 lacs)
2660701.82
4. UTI Liquid Cash Plan Institutional - Daily Income Option Re-Investment (NAV Previous year Rs. 4860.85 Lacs)
(Units of Rs.1000 each)
5. SBI Magnum Insta Cash Fund - Daily Dividend Option
(NAV Previous year Rs. 5929.60 Lacs)
6. Kotak Liquid (Institutional Premium) Daily Dividend
(NAV Previous year Rs.5546.82 Lacs)
7. ICICI Prudential Floating Rate Plan D - Daily Dividend
Reinvest Dividend (NAV Previous year Rs. 5137.20 Lacs)
8. Birla Sun Life Short Term Fund - Institutional Daily Dividend
9. DSP BlackRock Strategic Bond Fund - Regular Plan Weekly Dividend (NAV Previous year Rs. 717.56 Lacs)
10. Tata Liquid Super High Investment Fund - Daily Dividend
(NAV Previous year Rs. 3024.85 Lacs) (Units of Rs.1000 each)
11. HDFC Cash Management Fund - Treasury Advantage Plan Retail-Weekly Dividend Option (NAV Rs. 282.21 Lacs)
2814859.34
B.
Growth Option (Units of Rs.10 each, unless otherwise specified):
1. Morgan Stanley Growth Fund (NAV Rs.59.02 lacs,
Previous year Rs. 31.01 lacs)
100000.00
2. Kotak Floater Long Term - Growth (NAV Rs. 674.61 Lacs,
Previous year Rs.1724.78 Lacs)
4616668.99
3. UTI Liquid Cash Plan Institutional - Growth Option
(NAV Previous year Rs. 1509.96 Lacs) (Units of Rs. 1000 each)
4. Tata Floater Fund - Growth (NAV Previous year Rs. 30.79 lacs)
5. HDFC Cash Management - Growth
(NAV Previous year Rs.4.93 Lacs)
6. HDFC Liquid Fund - Premium Plus Plan - Growth
7. Reliance Medium Term Fund - Retail Plan Growth Plan - Growth Option (NAV Rs. 3982.24 Lacs)
20868977.22
8. Birla Sun Life Savings Fund Institutional - Growth
(NAV Rs. 4034.06 Lacs)
23077221.07
9. Fortis Money Plus Institutional - Growth
28817333.25
10. Kotak Floater Long Term - Growth (NAV Rs. 4003.29 Lacs)
27396551.87
11. Templeton India Ultra Short Bond Fund Super Institutional
Plan - Growth (NAV Rs. 4004.18 Lacs)
33797424.77
12. UTI Treasury Advantage Fund - Institutional Plan Growth Option (NAV Rs. 425.13 Lacs)
(Units of Rs. 1000 each)
34370.76
13. JM Money Manager Fund Super Plus Plan - Growth
(172) (NAV of Rs. 4003.33 Lacs)
30831874.55
14. UTI Floating Rate Fund - Short Term Plan Institutional Growth Option (NAV Rs. 2336.86 Lacs)
(Units of Rs. 1000 each)
225849.58
15. IDFC Money Manager Fund - Treasury Plan Super Institutional Planc C - Growth
36667856.33
C/F
35
—
246925.30
27.98
—
30264074.85
3037.18
267.10
2624753.16
262.96
—
476813.47
4860.85
—
35399964.91
5929.60
—
45361269.08
5546.82
—
51361246.74
5137.20
—
57411238.76
5744.29
—
71534.55
718.35
—
271403.67
3024.85
282.15
—
549.25
34290.08
63.47
100000.00
63.47
642.38
12412399.92
1700.55
—
—
104416.49
235528.19
1499.93
30.64
—
26791.85
4.93
—
36239269.78
6400.00
3980.82
—
4030.58
—
4000.48
4000.47
—
—
4000.43
—
425.05
—
4000.53
—
2335.31
—
4000.54
—
31480.06
9699.52
CMYK
31st March, 2010
Nos.
(Rs. in lacs)
31st March, 2009
Nos.
(Rs. in lacs)
31480.06
9699.52
32385463.56
4000.28
—
12475257.41
1500.00
—
8316838.27
1000.00
—
38747469.12
4000.48
—
8340590.50
1000.15
—
16105004.63
2000.00
—
5000000.00
500.00
—
17397140.07
2725.29
—
161454.64
1665.00
—
B/F
16. LICMF Income Plus Fund - Growth Plan
17. UTI Fixed Income Interval Fund Monthly Interval Plan Series-I Institutional Growth Plan
18. Kotak Quarterly Interval Plan Series 1 - Growth
(NAV Rs.1001.83 Lacs)
19. ICICI Prudential Ultra Short Term Plan
Super Premium - Growth (NAV Rs.4003.89 Lacs)
20. SBI-SHF Ultra Short Term Fund - Institutional Plan - Growth
21. Reliance Monthly Interval Fund - Series II - Institutional
Growth Plan (NAV Rs. 2000.68 Lacs)
22. BSL Interval Income Fund - Institutional Quarterly - Series 1 - Growth (NAV Rs. 502.86 Lacs)
23. HDFC Floating Rate Income Fund - Short Term Plan Wholesale Option - Growth (NAV Rs.2728.72 Lacs)
24. UTI Money Market Mutual Fund - Institutional Growth Plan
(NAV Rs. 1665.24 Lacs) (Units of Rs.1000 each)
25. HDFC Cash Management Savings Plan - Growth
(NAV Rs.535.07 Lacs)
C.
Equity Shares (Quoted)(Shares of Rs.10 each,
unless otherwise specified):
1. Oil & Natural Gas Corporation Limited
2. ITC Limited(Equity Shares of Re.1 each)
3. Tata Motors Limited
4. GAIL India Limited
5. ICICI Bank Limited
6. Bharat Earth Movers Limited
7. State Bank of India
8. Grasim Industries Limited
9. Bharat Heavy Electricals Limited
10. Larsen & Toubro Limited (Equity Shares of Rs.2 each)
11. BGR Energy Systems Limited
12. Biocon Limited (Equity Shares of Rs.5 each)
13. Indian Hotels Company Limited (Equity Shares of Re.1 each)
14. Mahindra & Mahindra Limited
(Equity Shares of Rs.5 each) #
15. Maruti Suzuki India Limited (Equity Shares of Rs.5 each)
16. Tata Power Company Limited
17. HDFC Limited
18. HDFC Bank Limited
19. Century Textiles & Industries Limited
20. Hindustan Petroleum Corporation Limited
21. Housing Development & Infrastructure Limited
22. Cholamandalam DBS Finance Limited
23. Cadila Healthcare Limited (Equity Shares of Rs.5 each)
24. Tata Consultancy Services Limited
(Equity Shares of Re.1 each)
25. Texmaco Limited (Equity Shares of Re.1 each)
26. Transformers & Rectifiers India Limited
27. Bharti Airtel Limited (Equity Shares of Rs. 5 each) #
28. Financial Technologies Limited (Equity Shares of Rs.2 each)
29. Godrej Industries Limited(Equity Shares of Re.1 each)
30. Gammon India Limited (Equity Shares of Rs.2 each)
31. Infrastructure Development Finance Company Limited
32. Infosys Technologies Limited (Equity Shares of Rs. 5 each)
33. National Thermal Power Corporation Limited
C/F
2779957.29
17000
70000
8000
10000
14000
7800
1500
5000
8480
15000
38746
54000
18600
7000
5550
8000
10000
81935
10000
10000
86980
14000
32800
1800
30000
60000
7500
20000
535.00
—
50406.26
9699.52
182.77
122.92
50.05
41.28
114.62
—
80.58
25.33
89.30
117.86
76.30
81.21
40.72
18000
80000
8000
—
16000
5000
9800
3000
8000
22746
15000
38746
54000
193.52
140.48
51.39
—
131.48
48.47
101.24
50.66
142.88
307.70
76.30
81.21
40.72
56.29
—
76.73
116.54
101.09
—
38.99
—
113.36
32.82
15700
14000
7000
7730
8000
10000
—
19285
81935
20000
73.47
84.81
76.73
162.32
101.09
63.95
—
75.00
113.36
65.63
53.51
50.91
71.59
92.24
25.19
18.85
—
83.52
118.58
41.09
—
86980
14000
13,000
5000
30000
10000
110000
9500
—
—
50.91
71.59
54.01
65.02
18.85
43.74
153.12
150.20
—
2114.24
36
2789.85
CMYK
31st March, 2010
Nos.
(Rs. in lacs)
31st March, 2009
Nos.
(Rs. in lacs)
34.
35.
36.
37.
38.
39.
40.
41.
42.
43.
44.
45.
46.
47.
48.
49.
50.
51.
52.
53.
54.
55.
56.
57.
58.
59.
60.
61.
62.
63.
64.
65.
66.
67.
68.
69.
70.
71.
72.
B/F
Punjab National Bank Limited
Reliance Industries Limited
Reliance Communication Limited (Equity Shares of Rs.5 each)
Suzlon Energy Limited (Equity Shares of Rs. 2 each)
Tata Tea Limited
DLF Limited (Equity Shares of Rs. 2 each)
Divis Laboratories Limited (Equity Shares of Rs. 2 each)
Power Grid Corporation of India Limited
Sun Pharma Advanced Research Company Limited
Great Eastern Shipping Company Limited
Galaxy Entertainment Corporation limited
Great Offshore Limited
GMR Infrastructure Limited (Equity Shares of Re1 each) *
Lupin Limited
Mahindra Forgings Limited
Punj Lloyd Limited (Equity Shares of Rs.2 each)
Sun Pharmaceuticals Industries Limited
Aptech Limited
Glenmark Pharmaceuticals Ltd. (Equity Shares of Re. 1 each)
Idea Cellular Limited
Monsanto India Limited
Piramal Healthcare Ltd. (Equity Shares of Rs.2 each)
Ranbaxy Laboratories Limited (Equity Shares of Rs. 5 each)
Shree Renuka Sugars Limited (Equity Shares of Re.1 each)
Zydus Wellness Limited
Aurobindo Pharma Limited (Equity Shares of Rs. 5 each)
Axis Bank Limited
Bajaj Auto Limited
Dr. Reddy’s Laboratories Limited (Equity Shares of Rs.5 each)
Essar Oil Limited
Hindustan Unilever Limited (Equity Shares of Re.1 each)
Jaiprakash Associates Limited (Equity Shares of Rs.2 each)
Mcleod Russel India Limited (Equity Shares of Rs.5 each)
Mundra Port and Special Economic Zone Limited
Mid-Day Multimedia Limited
NHPC Limited
Patni Computer Systems Limited (Equity Shares of Rs. 2 each)
Sterlite Industries (India) Limited (Equity Shares of Rs. 2 each)
Union Bank of India
5000
10000
15000
70000
7400
20000
30000
2142
100000
7500
20000
14000
20000
1300
68000
5000
2000
3000
5000
25000
20000
45125
25000
8950
190173
54000
10000
3000
10000
2114.24
28.45
91.91
43.66
80.56
—
—
55.96
18.49
20.00
—
—
15.71
75.14
46.26
—
49.00
—
—
63.78
22.03
24.82
—
—
44.58
—
45.32
20.38
49.98
49.43
37.63
55.02
60.11
36.72
52.21
42.88
19.99
46.98
21.92
25.34
13000
7500
—
30000
12493
8000
3700
50000
30000
30000
25000
9000
77500
7500
20000
35000
9863
30000
8000
30000
1300
7500
5389
54390
5333
3358.50
D.
Equity Shares (Unquoted) (Shares of Rs.10 each,
1
Ansal Hi-Tech Townships Limited
2
Ananta Landmarks Private Limited
3
Nitesh Estate Private Limiteed
4
Total Envirnment Project I Private Limited
5
VBHDC Bangalore Value Homes Private Limited
6
BCC Infrastructure Private Limited
21187
10109
1438
769
307
290
18.70
1.01
5.13
0.08
0.03
0.03
Preference Shares (Unquoted) (Shares of Rs. 1000 each,
1
Ananta Landmarks Private Limited
2
Neo Pharma Private Limited
3
BCC Infrastructure Private Limited (Shares of Rs.10 each)
4
Godrej Estate Developers Private Limited
5
Godrej Sea View Properties Private Limited
6
Runwal Homes Private Limited
2400
395
871
70
318
1118
24.00
3.95
0.09
12.85
7.14
16.07
64.10
37
95.05
59.25
48.56
33.05
24.82
28.13
27.83
71.31
0.48
—
—
—
—
—
—
—
—
—
—
—
—
—
—
4177.84
21187
10109
24.98
E.
2789.85
73.96
137.86
—
45.20
87.34
61.57
55.96
46.21
20.00
104.75
42.73
66.00
116.47
46.26
9.44
85.76
18.70
1.01
—
—
—
—
19.71
2400
395
24.00
3.95
—
—
—
—
27.95
CMYK
31st March, 2010
Nos.
(Rs. in lacs)
31st March, 2009
Nos.
(Rs. in lacs)
F
Unquoted Debentures: (of Rs. 100 each, unless otherwise specified):
1. Ansal Hi-Tech Townships Limited
2. Nilkanth Tech Park Private Limited
3. Atithi Building Commodities Private Limited
(Debentures of Rs.1000 each)
4. Ariisto Realtors Private Limited (Debentures of Rs.1000 each)
5. Total Environment Projects Private Limited
6. Total Environment Building Private Limited
7. R.Mall Developers Private Limited
8. Nitesh Housing Developers Private Limited
9. ATS Apartments Private Limited
10. Nitesh Housing Developers Private Limited. Deb.IV
11. Kanakia Builders Private Limited
12. Nitesh Land Holding Private Limited
13. Runwal Homes Private Limited - Class A Debentures
14. Runwal Homes Private Limited - Class B Debentures
15. Aristo Realtors Private Limited - III (Debentures of Rs.1000 each)
16. Atithi Building Commodities Private Limited - II
(Debentures of Rs.1000 each)
17. VBHDC Bangalore Value Homes Private Limited - Debentures. I
18. Total Environment Projects Private Limited - Debentures. II
19. BCC Infrastructure Private Limited
20. ATS Apartments Private Limited
37399
39545
37.40
39.55
3321
2888
17775
28882
13832
14239
7002
3420
12042
5696
38919
3807
617
33.21
28.88
17.77
28.88
13.83
14.24
7.00
3.42
12.04
5.70
38.92
3.81
6.17
—
—
—
—
—
—
—
—
—
—
—
—
—
467
6880
587
8646
7452
4.67
6.88
0.59
8.64
7.45
—
—
—
—
—
319.05
76.95
54722.14
(207.74)
48292.05
(1634.21)
Total - Current Investments
54514.40
46657.84
Total - Investments
88953.56
88859.46
225.00
—
98.60
(98.60)
89178.56
88859.46
Less:Provision for diminution in value of Current Investments
III.
Notes: Split Shares
#
The Shares have been split (FV from Rs.10 to Rs.5)
*
The Shares have been split (FV from Rs.2 to Re.1)
APPLICATION MONEY PENDING ALLOTMENT
Debenture Application Money
Less : Provision for Diminution [ Refer Note 3B(a)]
Per Balance Sheet
Acquired and Sold during the year
A.
Dividend Option (Units of Rs.10 each, unless otherwise specified):
1. TATA Floater Fund - Daily Dividend
2.
TATA Liquid Super High Investment Fund Daily Dividend (Units of Rs.1000 each)
3.
UTI Liquid Cash Plan Institutional Daily Income Option - Re-Investment (Units of Rs.1000 each)
SBI - Magnum Insta Cash Fund - Daily Dividend Option
4.
5.
6.
7.
8.
Kotak Liquid (Institutional Premium) Daily Dividend
ICICI Prudential Floating Rate Plan D Daily Dividend - Reinvest Dividend
Birla Sun Life Short Term Fund - Institutional Daily Dividend
UTI Liquid Cash Plan Institutional Daily Income Option - Re-Investment (Units of Rs.1000 each)
38
Nos.
Acquisition
Cost
(Rs. in lacs)
105419.31
10.58
644.61
7.18
1177.31
80649.57
12.00
13.51
108944.01
13.32
132598.13
158813.46
13.26
15.89
203335.53
2072.90
37399
39545
37.40
39.55
CMYK
HDFC Cash Management Fund Treasury Advantage Plan - Wholesale - Daily Dividend
10. HDFC Cash Management Fund Saving Plus Plan - Retail - Weekly Dividend
11. IDFC Money Manager Fund - Treasury Plan Weekly Dividend
12. DSP BlackRock Strategic Bond Fund - Regular Plan Weekly Dividend (Units of Rs.1000 each)
Nos.
Acquisition
Cost
(Rs. in lacs)
6714862.09
673.60
6595174.57
661.01
1443517.47
144.98
9.
B.
13. HDFC CM Treasury Advantage Plan - Weekly Dividend
14. UTI Balance Fund - (Income - Re-investment)
Growth Option (Units of Rs.10 each, unless otherwise specified):
1.
2.
3.
4.
5.
6.
Birla Sun Life Short Term Fund - Institutional Growth
UTI Liquid Cash Plan Institutional - Growth Option
TATA Floater Fund - Growth
TATA Liquid Super High Inv. Fund - Appreciation
SBI - Magnum Insta Cash Fund - Cash Option
Kotak Liquid (Institutional Premium) - Growth
7.
ICICI Prudential Institutional Liquid Plan Super Institutional Growth
8.
9.
ICICI Prudential Floating Rate Plan D - Growth
UTI Liquid Cash Plan Institutional - Growth Option
10. Reliance Medium Term Fund-Retail Plan Growth Plan - Growth Option
11. Reliance Liquid Fund - Treasury Plan Institutional Option Growth Option - Growth Plan
12. Reliance Liquidity Fund - Growth Option
13. Fidelity Cash Fund (Super Institutional) - Growth
14. Fidelity Ultra Short Debt Fund Super Institutional - Growth
15. Reliance Money Manager Fund - Institutional Option Growth Plan (Units of Rs.1000 each)
16. Birla Sun Life Savings Fund Instl. - Growth
17. Birla Sun Life Cash Plus - Instl.Prem. - Growth
18. Fortis Overnight Institutional Plus - Growth
19. Fortis Money Plus Institutional Growth
20. HDFC Floating Rate Income Fund - Short Term Plan Wholesale Option - Growth
22. Kotak Floater Long Term - Growth
23. Templeton India Treasury Management Account
Super Institutional Plan - Growth (Units of Rs.1000 each)
24. Templeton India Ultra Short Bond Fund
Super Institutional Plan - Growth
25. ICICI Prudential Flexible Income Plan Premium - Growth
26. UTI Treasury Advantage Fund - Institutional Plan Growth Option (Units of Rs.1000 each)
39
1233.31
12.37
895256.14
11728.06
90.31
1.71
55008084.56
5760.17
287458.72
72486950.35
4236.90
9663.77
583080.09
30161178.24
117373118.02
9647.03
5943.11
21430.70
38705658.50
5116.00
42668721.27
5566.84
1133832.62
16739.86
38525318.09
7231.50
22221140.47
144203422.52
4897.91
19680.00
43245634.43
45825760.44
5300.00
5301.02
1122599.01
52566104.60
67208390.66
13803.89
9054.95
9770.50
168430037.67
106219290.35
18500.00
14553.46
82653870.34
101517418.04
12721.85
18464.30
79400406.79
11429.55
1850282.86
24913.53
98419927.83
11460.23
28275322.36
4700.60
1199754.70
14609.46
CMYK
27. JM High Liquidity Fund - Super Institutional Plan Growth(94)
28. JM Money Manager Fund Super Plus Plan - Growth(172)
29. LICMF Liquid Fund - Growth Paln
30. LICMF Savings Plus Fund - Growth Paln
31. Reliance Floating Rate Fund - Growth Plan Growth Option
Regular Plan - Growth (Units of Rs.2000 each)
33. Templeton India Ultra Short Bond Fund Retail Plan - Growth
34. UTI Floating Rate Fund - Short Term Plan Institutional Growth Option (Units of Rs.1000 each)
Nos.
Acquisition
Cost
(Rs. in lacs)
83772720.63
62229298.43
164829181.70
11955.00
7995.13
27445.49
96885440.31
13899.57
37330614.75
5276.00
541.37
12.00
105046.30
12.01
796473.87
8128.35
62902801.05
7800.00
53348302.84
62944316.56
93322443.52
10590.86
7801.23
10320.00
39. IDFC Money Manager Fund - Treasury Plan Super Inst Plan C - Growth
40. Birla Sun Life Cash Manager - Institutional Plan - Growth
59161502.24
32740171.54
6371.96
4962.00
41. Sundaram BNPP Money Fund Super Inst. Growth
42. Sundaram BNPP Ultra ST Fund Super Inst. Growth
43. LICMF Income Plus Fund - Growth Plan
16816261.33
26335134.79
62355043.96
3200.00
3200.40
7636.10
7392970.72
12525.35
1830.14
34504449.66
27.00
4070.00
35029746.35
25988190.28
4070.39
3050.00
58781794.86
25835011.75
7299.16
3050.68
10197429.32
13803.00
304526.49
4000.00
302507.66
4000.46
226553.89
2335.00
6915629.32
33470896.83
1000.00
6145.00
66803.18
3364265.89
1100.00
600.00
456147.38
6060.00
35. Religare Liquid Fund - Super Institutional Growth
36. HDFC Cash Management Fund Treasury Advantage Plan - Wholesale - Growth
37. Religare Ultra Short Term Fund - Institutional Growth
38. IDFC Cash Fund - Super Inst Plan C - Growth
44. ICICI Prudential Flexible Income Plan Premium Growth (Units of Rs.100 each)
45. UTI - Floating Rate Fund - Short Term Plan Growth Option (Units of Rs.1000 each)
46. DWS Insta Cash Plus Fund - Super Institutional Plan Growth
47. DWS Cash Opprtunities Fund - Institutional Plan Growth
48. JPMORGAN India Liquid Fund - Super Inst.Growth Plan
49. Templeton Floating Rate Income Fund Long Term Plan
Super Institutional Option - Growth
50. JPMORGAN India Treasury Fund - Super Inst.Growth Plan
51. ICICI Prudential Liquid - Super Institutional Plan Growth (Units of Rs.100 each)
52. DSP BlackRock Liquidity Fund - Institutional Plan Growth (Units of Rs.1000 each)
53. DSP BlackRock Floating Rate Fund - Institutional Plan Growth (Units of Rs.1000 each)
54. UTI Money Market Mutual Fund Institutional Growth Plan (Units of Rs.1000 each)
55. SBI Premier Liquid Fund - Super Institutional - Growth
57. TATA Liquid Super High Fund - Appreciation
58. Kotak Liquid (Institutional Premium) - Growth
Super Institutional Plan - Growth (Units of Rs. 1000 each)
40
CMYK
Nos.
Acquisition
Cost
(Rs. in lacs)
4248990.87
245138885.04
1668344.28
600.00
37280.23
300.00
9916609.86
45539547.75
13395.00
7908.07
65. Birla Sun Life Cash Plus- Instl.Prem. - Growth
66. ICICI Prudential Flexible Income Plan - Premium - Growth
67. LICMF Liquid Fund - Growth Plan
68. Religare Liquid Fund - Super Institutional Growth
99584933.74
14609.99
2122842.83
1995510.49
65061965.03
3625.57
335.00
8207.70
69. Religare Ultra Short Term Fund - Institutional Growth
70. Reliance Liquidity Fund - Growth Option
71. Reliance Medium Term Fund Retail Plan Growth Plan - Growth Option
72. UTI Money Market Mutual Fund - Institutional Growth Plan
73. UTI Treasury Advantage Fund Institutional Plan Growth Plan (Units of Rs.1000 each)
32477567.48
59324090.20
4100.39
8206.67
21553496.24
4100.44
194091.19
2000.71
161868.08
2000.23
19642871.47
14039101.50
3076.21
2700.30
76. Kotak Floater Long Term - Growth
5324656.11
77. HDFC Cash Management Fund - Growth
1636284.13
Equity Shares (Quoted)(Shares of Rs.10 each, unless otherwise specified):
748.87
312.82
60. Reliance Floating Rate Fund - Growth Plan Growth Option
61. Birla Sun Life Cash Manager - Institutional Plan - Growth
62. HDFC Liquid Fund - Growth
63. ICICI Prudential Institutional Liquid - Super Institutional Plan Growth (Units of Rs.100 each)
64. Birla Sun Life Savings Fund Instl. - Growth
74. HDFC Floating Rate Income Fund - Short Term Plan Wholesale Option - Growth
75. HDFC Cash Management Fund - Savings Plan - Growth
C.
1.
2.
3.
Balrampur Chini Mills Limited
Bajaj Hindusthan Limited
Mcleod Russel India Limited (Equity Shares of Rs.5 each)
20000
14000
27000
24.56
30.08
32.40
4.
5.
6.
Mundra Port and Special Economic Zone Limited
Orchid Chemicals & Pharmacuticals Limited
Ranbaxy Laboratories Limited (Equity Shares of Rs. 5 each)
1950
20000
7611
11.28
24.82
14.51
Book Value
Aggregate of Quoted Investments
Aggregate of Unquoted Investments
41
Market Value
31st March,2010
(Rs. in lacs)
31st March,2009
(Rs. in lacs)
31st March,2010
(Rs. in lacs)
31st March,2009
(Rs. in lacs)
3155.20
85798.36
4576.35
84283.11
4115.08
4662.43
88953.56
88859.46
CMYK
31st March, 2010
(Rs. in lacs)
31st March, 2009
(Rs. in lacs)
SCHEDULE 6 - CURRENT ASSETS, LOANS AND ADVANCES
(a)
Inventories:
(i) Loose Tools
(ii) Stores and Spare Parts
(iii) Stock-in-Trade:
103.58
1745.59
103.58
1710.30
Raw Materials
Goods-in-Process
Finished Goods
2947.72
10348.23
8427.64
2864.80
9073.06
15272.34
2740.36
2137.26
3750.00
1266.28
(iv) Merchanting Goods
(v) Goods-in-Transit
28450.38
(b)
Sundry Debtors :
(Refer Note 3)
(i) Debts outstanding for a period exceeding six months
Secured (considered good)
Unsecured Considered good (including Rs. 245.21 lacs
outstanding from subsidiaries;
Previous year Rs 1252.81 lacs)
169.66
34040.36
171.91
2722.21
3438.51
2891.87
Considered doubtful
Less: Provision
447.43
(447.43)
3610.42
360.28
(360.28)
—
(ii)
(c)
Other Debts :
Unsecured Considered good (including Rs. 570.64 lacs
outstanding from subsidiaries;
3036.04
—
2584.58
23766.44
24252.61
26802.48
26837.19
29694.35
30447.61
Cash and Bank Balances:
(i)
Cash on hand (including cheques on hand
Rs. 35.47 lacs; Previous year Rs. 128.49 lacs)
(ii)
Balances with Scheduled Banks:
In Current Accounts
In Deposit Account [includes Rs. 0.53 lac
deposit receipt endorsed in favour of
Government authorities as security
(Previous year Rs.0.53 lac)]
(iii) Balances with Non-Scheduled Banks:
In Current Accounts:
The Municipal Co-operative Bank Limited
[Maximum balance during the year Rs. 6.79 lacs
(Previous year Rs.8.48 lacs)]
The Hongkong & Shanghai Banking Corporation,
Shanghai [Maximum balance during the year
Rs. 23.05 lacs (Previous year Rs.17.44 lacs)]
In Deposit Accounts:
The Municipal Co-operative Bank Limited
[Maximum balance during the year Rs.0.50 lac
(Previous year Rs.0.50 lac)]
79.46
197.53
1680.31
3381.27
888.96
1100.47
3.03
—
3.90
0.17
0.50
0.50
2656.16
42
4679.94
CMYK
31st March, 2010
(Rs. in lacs)
31st March, 2009
(Rs. in lacs)
SCHEDULE 6 - CURRENT ASSETS, LOANS AND ADVANCES (Contd)...
(d)
Other Current Assets:
(i) Export Incentives receivable
(ii) Dividend, Interest Subsidy and Interest receivable
(Interest accrued on Investments Rs. 8.57 lacs;
Interest Receivable from a Joint Venture Company
Less: Provision
572.43
695.43
2084.07
1881.02
—
—
722.73
(722.73)
—
892.08
783.72
(iii) MAT Credit Receivable
(iv) Claims and Other receivables
—
642.08
1847.81
4332.30
(e)
Loans and Advances
(Unsecured, considered good,
unless otherwise specified): [Refer Notes 3 and 5]
Subsidiary Companies:
Loans and other dues
Loans and Advances to companies and others:
Considered good
Considered doubtful:
To a Joint Venture Company
Others
Less: Provision
5066.34
13729.68
7077.31
20.00
20.00
2942.50
—
(2942.50)
2942.50
32.00
(2974.50)
—
2209.41
Advance Tax (Net of provision for tax)
Advances recoverable in cash or
in kind or for value to be received :
Considered good
Considered doubtful
Less: Provision
—
1688.27
4710.23
8139.33
—
—
Balances with Customs, Excise, etc.
Others (including with subsidiaries Rs. 160.33 lacs;
13.84
(13.84)
—
—
303.03
292.06
6855.28
6714.11
Per Balance Sheet
27827.63
23931.08
92960.82
98165.33
SCHEDULE 7 - CURRENT LIABILITIES AND PROVISIONS
(a)
Current Liabilities :
Sundry Creditors [including Rs. 11.93 lacs
remuneration to the Directors
(Previous year Rs.75.00 lacs)] [Refer Note 15]
Advances against Sales
Due to Subsidiary Companies
Deposits from Dealers and Agents
Overdrawn Bank Balances
Other Liabilities
Interest accrued but not due
19295.30
418.45
1440.79
6115.76
640.94
1641.01
814.89
22005.18
581.75
558.62
5854.34
1363.69
3886.68
793.97
30367.14
(b)
Provisions :
For Fringe Benefit Tax (Net of Advance Tax)
For Employee Benefits
For Excise Duties
14.67
5296.75
—
Per Balance Sheet
43
35044.23
9.28
5766.71
190.63
5311.42
5966.62
35678.56
41010.85
CMYK
Year ended
31st March, 2010
(Rs. in lacs)
SCHEDULE 8- SALES, SERVICES AND EXPORT INCENTIVES
(1)
Gross Turnover (net of usual trade discounts, allowances, etc.)
(a) Manufactured Goods (inclusive of sale of
semi-finished goods)
(b) Merchanting Goods
122392.76
11199.55
Year ended
31st March, 2009
(Rs. in lacs)
125691.75
12953.75
133592.31
138645.50
Less:
Sales Returns
Other discounts and allowances
(2)
(3)
(4)
174.03
2147.11
Income from Air Taxi Operations
Gross Income from Services:
(a) Income from Job Work
(b) Income from other services
Export Incentives, etc.
Per Profit and Loss Account
SCHEDULE 9 - OTHER INCOME
Dividends:
From Non-Trade Investments
—
Current Investments
—
Long Term Investments
317.18
2095.61
2321.14
2412.79
131271.17
759.38
136232.71
1246.77
474.32
436.86
995.18
76.85
562.99
1206.05
133936.91
139325.37
160.42
—
1949.18
0.06
160.42
0.04
From a Subsidiary company
Interest Income (Tax deducted Rs. 481.70 lacs;
Previous year Rs.536.44 lacs):
—
On Long Term Investments
—
Others (Including from subsidiaries Rs. 1145.86 lacs;
191.40
569.20
2645.06
3566.80
Profit on sale of Current Investments (Net)
Profit on sale of Long-term Investments (Net)
Rent and Compensation
Credit Balances appropriated (Net)
Miscellaneous Income
SCHEDULE 10 - MATERIAL COSTS
(1)
Raw Materials consumed:
Opening Stock
Purchases
1949.24
0.04
2836.46
1786.02
9.34
236.80
16.58
2443.03
1720.38
4136.00
588.48
1133.04
148.72
146.17
607.45
1151.26
9209.07
9860.40
2864.80
32212.21
3150.22
34707.32
Less: - Sales
- Transfer on divestment of Files and Tools Business
35077.01
586.80
724.73
37857.54
1353.61
—
Less:
33765.48
2947.72
36503.93
2864.80
Closing Stock
30817.76
(2)
Merchanting Goods (Cost of goods sold):
Opening Stock
Add: Purchases
33639.13
3750.00
7462.91
4038.42
10363.30
Less:- Transfer on divestment of Files and Tools Business
11212.91
164.43
14401.72
—
Less:Closing Stock
11048.48
2740.36
14401.72
3750.00
44
8308.12
10651.72
39125.88
44290.85
CMYK
Year ended
31st March, 2010
(Rs. in lacs)
SCHEDULE 11 - MANUFACTURING AND OPERATING COSTS
Stores and Spare Parts
Power and Fuel
Repairs to Buildings
Repairs to Machinery
Other Manufacturing and Operating Expenses
Year ended
31st March, 2009
(Rs. in lacs)
8300.58
8966.31
243.88
1310.42
5828.05
9401.92
8983.36
345.55
1269.90
7029.74
24649.24
27030.47
SCHEDULE 12 - (INCREASE)/DECREASE IN FINISHED AND PROCESS STOCK
Opening Stock:
Goods-in-Process
9073.06
Finished Goods
15272.34
11896.62
9549.89
24345.40
Closing Stock:
Goods-in-Process
Finished Goods
10348.23
8427.64
Add/(Less): Variation in excise duty on opening and
closing stock of finished goods
21446.51
9073.06
15272.34
18775.87
24345.40
5569.53
(2898.89)
(23.91)
(6.06)
5545.62
(2904.95)
22888.12
1354.02
1211.39
23552.42
1358.83
1189.01
25453.53
26100.26
115.94
4246.35
14.14
149.05
6478.77
3975.50
857.44
753.92
2818.11
1271.93
6811.83
140.92
—
152.47
14.70
198.52
4389.83
19.26
88.09
7183.15
4291.13
1043.86
117.73
3372.64
1923.65
8829.65
45.49
1313.56
20.82
8.40
27801.07
32845.78
SCHEDULE 15 - FINANCE CHARGES
Interest on Debentures and Fixed Loans
(Net of Subsidy Rs. 2190.51 lacs; Previous Year Rs.1679.61 lacs)
Interest - Others
6843.94
2928.16
4936.31
3948.70
Commitment and other charges on Loans
9772.10
31.00
8885.01
257.13
Less : Borrowing Costs Capitalised
9803.10
—
9142.14
(641.28)
9803.10
8500.86
SCHEDULE 13 - EMPLOYMENT COSTS
Salaries, Wages, Bonus, etc, [including rent Rs. 127.87 lacs
(Previous year Rs.82.22 lacs)]
Contribution to Provident and Other Funds
Workmen and Staff Welfare Expenses
SCHEDULE 14 - ADMINISTRATIVE, SELLING AND GENERAL EXPENSES
Insurance (Net)
Rent
Lease Rentals
Rates and Taxes
Advertisement
Commission to Selling Agents
Freight, Octroi, etc.
Legal and Professional charges
Repair & Maintenance Others
Miscellaneous Expenses
Loss on sale/discardment of Fixed Assets (Net)
Provision for diminution in value of Current Investments
Contribution to Charitable Funds, etc.
Directors’ Fees
45
CMYK
SCHEDULE 16 - NOTES FORMING PART OF THE ACCOUNTS
1.
Loan Funds :
(a) Term Loans from Banks:
Amount Outstanding (Rs. in Lacs)
From Banks:
(i)
57669.27
(P.Y. 67665.12)
Secured by Mortgage of Immovable properties at the Company’s Textile Division at
Vapi (Gujarat) and Suit Plant at Gauribidanur (Karnataka). Also secured by
hypothecation of specified machineries situated at the Company’s Textile Division at
Vapi (Gujarat), Thane and Jalgaon (Maharashtra) and Chindwara (Madhya Pradesh)
and at the Suit Plant at Gauribidanur (Karnataka).
(ii)
15000.00
(P.Y. 15000.00)
Secured by first charge on specific Plant & Machinery to the extent of minimum 15% of
the loan.
(b) Working Capital Loans (including Buyer’s Credit arrangement):
Secured by hypothecation of stocks, book debts and other current assets of the Company’s Textile Division.
2.
Fixed Assets :
(a) In terms of the acquisition proceedings initiated by Thane Municipal Corporation, about 4,222 sq. metres of the Company’s
land at Thane is acquired for the purpose of widening of municipal road. Necessary accounting effect for the same will be
given in the year in which the matter is finally settled.
(b) Buildings include Rs.10.48 lacs in respect of ownership flats/portions of buildings or Co-operative Housing Societies and Rs.
0.02 lac in respect of shares held in Co-operative Housing Societies.
(c) Capital work-in-progress includes:
(i)
Advances for capital expenditure Rs. 2024.08 lacs (Previous Year Rs.1999.06 lacs);
(ii)
Machineries in transit Rs. 93.03 lacs (Previous year Rs. Nil).
3A. (a) The Company has an investment of Rs. 1500 lacs in the shares of Everblue Apparel Limited (EBAL), a wholly owned subsidiary
of the Company. Further, the Company has loans, advances and other receivables amounting to Rs. 1839.84 lacs recoverable
from EBAL. The net worth of EBAL has substantially eroded due to past operational losses. EBAL has entered into a conducting
Agreement with Raymond UCO Denim Private Limited (RUDPL) to manufacture Denim Jeans, label, package and store as
directed by RUDPL for a conducting fee in addition to reimbursement of certain costs and expenses incurred by EBAL in the
manufacturing process. This arrangement has improved the performance of EBAL and EBAL has made profit during the
current and past two years. Under the circumstances and on the basis of the estimates, no provision is considered necessary
by the management at present, for any diminution in the value of investments and also in respect of losses that may arise
in respect of loans to and other receivables from EBAL.
(b) The Company has an investment of Rs. 969.00 lacs in the equity shares of Raymond Woollen Outerwear Limited (RWOL), a
subsidiary of the Company. Further, the Company has loans, advances and receivables amounting to Rs. 3793.36 lacs
recoverable from RWOL. The accumulated losses as on 31st March 2010 have substantially exceeded the net worth of the
company due to operational losses. Various initiatives taken by RWOL has improved the performance and RWOL has made
operational cash profit during the year and in the previous year. Under the circumstances and on the basis of the estimates,
no provision is considered necessary by the management at present, for any diminution in the value of investments and
also in respect of losses that may arise in respect of loans to and other receivables from RWOL.
3B. (a) The Company has an aggregate exposure net of provision of Rs. 9009.55 lacs, including investment during the year Rs.
620.86 lacs (gross Rs. 31300.65 lacs less provision for diminution Rs. 22291.10) lacs in Raymond UCO Denim Private Limited
(RUDPL) a joint venture company. The Company has, at the close of the year, reassessed the carrying value of the
exposures. Based on the valuation by expert, no further provision is considered necessary at present. The said valuation is
based on the estimates of profits and realisable value of assets, which are subject to uncertainties.Considering the present
financial position of RUDPL, the Company has agreed to waive the interest due on loans and debentures upto 31st March
2010, amounting to Rs. 1067.32 lacs.
The Company has , along with its JV partner, pledged shareholding in RUDPL as security for a loan taken by a subsidiary of
RUDPL to fund the employee separation cost. The Company, along with the Joint Venture Partner, had also undertaken to
additionally fund RUDPL in case it fails to meet certain covenants of the Facility cum Hypothecation Agreement with Banks.
(b) Regency Texteis Portugesa, Limitada (Regency), a wholly owned Subsidiary of the Company has been declared insolvent in
a court of jurisdiction due to its operations becoming unviable and significant part of receivables turning bad owing to
severe recession in Europe. The Company has made full provision for diminution in value of its investment and receivables in
Regency amounting to Rs. 992.15 lacs and Rs. 222.30 lacs respectively as an exceptional item.
46
CMYK
(c) The Company has, during the year, discontinued manufacturing operations at its textile plant at Thane. The Company has,
at the close of the year, assessed carrying value of fixed assets retired from active use based on valuation by experts. On
the basis of such valuations, there is no impairment on the carrying value of fixed assets. Certain workmen have accepted
the voluntary retirement scheme offered by the Company. The Company is in discussion with balance workmen for an
amicable settlement.
4.
The promoters, during the year, did not exercise their right to convert 6138085 warrants into equity shares of the Company.
Accordingly, an amount of Rs 2086.95 lacs, representing the initial amount paid on allotment of such warrants has been forfeited
and credited to Capital Reserve.
5.
(a) Loans and Advances in the nature of loans:
(Rs. in lacs)
Amount
outstanding
(i)
Shares held by
Loanee in the Company
No. of
Maximum
Shares
No.of
outstanding
Shares held
at the year-end
during the year
Subsidiaries:
300.00
(300.00)
1,800.00
(300.00)
(-)
(-)
300.00
(300.00)
300.00
(300.00)
(-)
(-)
1675.00
(2012.75)
2012.75
(2012.75)
(-)
(-)
6085.00
(-)
6085.00
(-)
(-)
(-)
(-)
5000.00
(-)
(-)
(-)
1507.96
(1507.96)
2507.96
(1556.96)
(-)
(-)
1021.08
(772.48)
1021.08
(1006.08)
(-)
(-)
JK Talabot Limited
(668.48)
696.57
(687.61)
(-)
(-)
-
(15.03)
(-)
(-)
2840.64
(1515.64)
2840.64
(1515.64)
(-)
(-)
J.K. Investo Trade (India) Limited
-
(30.00)
20,11,325
(20,11,325)
20,11,325
(20,11,325)
P T Jaykay Files Indonesia
-
(56.38)
(-)
(-)
-
(1123.64)
(-)
(-)
* 2942.50
* (2942.50)
2,942.50
(2942.50)
(-)
(-)
JK Files (India) Limited
(formerly Hindustan Files Limited)
(ii)
Maximum
balance
during the
year
Associate Companies:
(iii) Joint Ventures:
(a subsidiary w.e.f. 9th August 2008)
(Repayable on or before 6th August, 2013)
(Figures in bracket relate to previous year)
* Refer Note 3B(a). Gross of provision of Rs. 2942.50 lacs.
(b) Advances recoverable in cash or in kind or for value to be received, considered good, includes:
(i)
Due from Officers of the Company Rs. 29.40 lacs (Previous year Rs.49.20 lacs); Maximum balance during the year
Rs. 49.20 lacs (Previous year Rs.69.18 lacs).
(ii)
Due from Subsidiary Companies Rs. 857.07 lacs (Previous year Rs.986.45 lacs).
47
CMYK
6.
A.
Contingent Liabilities not provided for :
31st March, 2010
(Rs. in lacs)
31st March, 2009
(Rs. in lacs)
—
4.06
181.85
181.85
2201.94
2201.94
152.09
152.09
2535.88
2539.94
36.05
78.22
1518.98
1426.46
(a) Claims against the Company not acknowledged as debts in respect of
past disputed liabilities of the Cement and Steel Divisions divested during
the year 2000-2001, Carded Woollen business divested during the year
2005-06, Denim Division divested during 2006-07 (interest thereon not
ascertainable at present).
—
Excise Matters
—
Sales Tax
—
Royalty on Limestone
—
Other matters
(b) Claims against the Company not acknowledged as debts in respect of
other divisions.
—
Sales Tax
—
Compensation for Premises
—
Stamp Duty
174.16
174.16
—
Water Charges
105.11
95.68
—
Other Matters
111.32
67.53
1945.62
1842.05
1853.67
5477.13
(d) On account of guarantees given and also on account of the indemnity
issued by the Company to the Acquirer of shares of Recron Synthetics
Limited pursuant to an Agreement.
(c) Bills Discounted with the Company’s bankers
—
342.70
(e) On account of corporate guarantee to the bankers/vendors on behalf
of subsidiaries for facilities availed by them (amount outstanding at
close of the year)
7371.85
8724.00
Disputed demands in respect of Income-tax, etc. (Interest thereon not
ascertainable at present)
1991.46
755.16
(g) Bonds/Undertakings given by the Company under concessional duty/
exemption scheme to Government authorities (Net of obligations fulfilled)
8831.75
9155.49
(h) Disputed liability towards Excise duty on Post Removal of Goods from
place of manufacture
2118.90
2118.90
1943.23
7257.12
(f)
(i)
Disputed Excise Duty Liability in respect of other matters (includes
Rs 645.10 lacs, Previous Year Rs. 5750.83 lacs, on account of denial of
excise exemption benefit)
(j)
Liability on account of jute packaging obligation upto 30th June, 1997,
in respect of the Company’s erstwhile Cement Division, under the Jute
Packaging Materials (Compulsory use in Packing Commodities) Act,
1987.
Amount not determinable
(k) Company’s liabilities/ obligations pertaining to the period upto the date
of transfer of the Company’s erstwhile Steel, Cement, Carded Woollen
Division and Denim Division in respect of which the Company has given
undertakings to the acquirers
Note: Item 6A(a), (b), (f), (h) to (k)
The Company has taken legal and other steps necessary to protect its position in respect of these claims, which, in its
opinion, based on legal advice, are not expected to devolve. It is not possible to make any further determination of the
liabilities which may arise or the amounts which may be refundable in respect of these claims.
48
CMYK
B
31st March, 2010
(Rs. in lacs)
31st March, 2009
(Rs. in lacs)
4387.98
6432.95
Estimated amount of contracts remaining to be executed on capital account
and not provided for (net of advances).
C
Disclosure in respect of derivative instruments :
(a) Derivative instruments outstanding :
Millions
(i)
Against Exports
USD/INR
GBP/USD
Forward
9.01
0.22
(ii)
Against Imports
USD/INR
AUD/USD
6.28
7.14
(3.00)
(—)
AUD/USD
USD/INR
- Principal
USD/INR
4.00
(5.00)
USD/INR
- Interest rate
JPY/USD
—
( 21.25 )
(iii)
(4.50)
(—)
Option
USD/INR
—
Swap
(8.00)
—
— (10.70)
— (3.00)
—
Loans taken :
19.00 (32.50)
JPY/INR 3476.10
JPY/USD
—
INR/USD
14.00
(3476.10)
(1177.30)
(25.00)
JPY/JPY
—
JPY/INR 3476.10
USD/USD 20.00
(1177.30)
(3476.10)
(28.50)
Note: ( ) Denotes previous year’s figures.
(b) All the derivative instruments have been acquired for hedging purposes.
(c) Foreign currency exposures that are not hedged by derivative instruments :
Millions
USD
7
EURO
GBP
JPY
RMB
i)
ii)
Debtors
Creditors
09-10
—
0.14
08-09
—
—
09-10
0.08
0.15
08-09
0.26
0.57
09-10
—
—
08-09
0.15
—
09-10
0.64
—
08-09
—
—
09-10
—
—
08-09
—
—
iii)
iv)
v)
Loans taken
Cash & Bank balances
Other Receivables & Advance
18.70
—
—
28.63
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
0.06
—
—
0.01
0.05
As per the terms of agreements dated 31st August 2009 and dated November 2009 with JK Files (India) Limited (JKFIL) (formerly
Hindustan Files Limited), a wholly owned subsidiary of the Company, the Company during the year, divested its Files & Tools
business on a going concern basis to JKFIL w.e.f. 1st October 2009, on the terms and conditions mentioned in the agreements.
The financial statements of the year reflect the impact of the transactions. The surplus arising out of the transaction and the tax
expenses thereon are as under.
Rs in lacs
Surplus on divesment of files business
Tax expenses:
Current Tax
4450.82
—
Deferred Tax
329.49
329.49
4121.33
The disclosure with respect to discontinued operations are as under:
Rs in lacs
Particulars
Revenue from ordinary activities
2009-10
9,652.37
2008-09
22,156.22
Expenses from ordinary activities
9,445.66
21,112.67
1,192.36
1,741.26
Net Cash Flow:
Operating activity
Investing activity
Financing Activity
49
69.28
(133.07)
(1,310.26)
(1,291.39)
CMYK
8.
A.
Managerial remuneration under Section 198 of the Companies Act, 1956, paid or payable during the financial year, to the
Directors, as under :
2009-2010
(Rs. in lacs)
2008-2009
(Rs. in lacs)
394.83
363.14
37.31
46.53
432.14
409.67
50.66
18.11
482.80
427.78
Salary, Allowances and Gratuity paid
Approximate money value of perquisites and benefits
(a) The employee-wise break-up of liability on account of Retirement Benefit Schemes based on actuarial valuation is not
ascertainable. The amounts relatable to the Directors is, therefore, disclosed in the year of payment.
(b) (i)
In absence of adequate profits during the year, the Company made an application to the Central Government
for approval of remuneration of Chairman and Managing Director in terms of the shareholders’ approval. The
Central Government has approved the remuneration for the period July 2009 to March 2010. For the period April
2009 to June 2009, approval from the Central Government is awaited.
(ii)
In respect of Whole Time Director appointed with effect from 20th June 2009, the Company made an application
for approval of appointment and remuneration in terms of the shareholders’ approval. The Company has received
the Central Government approval, against which certain clarification has been sought by the Company.
(iii) Pending such approval in case of (i) above and clarification in case of (ii) above, an amount of Rs.88.21 lacs
being remuneration in excess of the approvals received, is being held in trust by the managerial personnel.
(c) In terms of Central Government approval received by the Company during the year in respect of the managerial
remuneration paid / provided in the year 2008-09, the Company has written back an amount of Rs.3.90 lacs being
excess provision for remuneration. Previous year’s figures have accordingly been restated.
Year ended
31st March, 2010
(Rs. in lacs)
B.
Year ended
31st March, 2009
(Rs. in lacs)
Statement showing the computation of Net Profit in
accordance with Section 198(1) of the Companies Act, 1956:
Profit/(Loss) before Tax - per Profit and Loss Account
2,004.34
Add: Managerial remuneration paid/provided
Director’s Fees
Provision for diminution in value of investments
Depreciation and amortisation
Exceptional Items (net)
(29,755.06)
482.80
427.78
14.70
8.40
—
1,313.56
11130.65
8,881.35
(116.52)
23,879.95
11511.63
34511.04
13,515.97
Less: Profit on sale of Investments (net)
Excess of expenditure over income under Section 349
relating to earlier years.
Depreciation and amortisation
4,755.98
1795.36
1721.52
6735.03
—
11130.65
8,881.35
Provision for doubtful debts/receivables
(shown as exceptional item)
222.30
722.73
Prior period adjustments (Net)
130.76
65.41
100.00
100.00
Net Profit/(Loss) in accordance with Section 198(1)/349
50
20114.10
11491.01
(6,598.13)
(6,735.03)
CMYK
Year ended
31st March, 2010
(Rs. in lacs)
9.
Year ended
31st March, 2009
(Rs. in lacs)
Auditor’s Remuneration:
(i)
Fees as Auditor
(ii)
For management services
(iii) For other services
(iv) Out-of-pocket expenses
40.26
30.33
5.79
10.11
23.47
11.81
2.72
3.29
12,789.03
14,141.68
10. Imports:
Value of imports (including in-transit) calculated on C.I.F. basis
in respect of (i)
Raw Materials, Merchanting Goods, etc.
(ii)
1,175.19
1,437.96
(iii) Capital Goods
555.10
23,791.12
(iv) Repairs
237.69
46.01
1,441.29
1,941.93
11. Expenditure in Foreign Currency on account of:
(i)
Interest and Finance Charges
(ii)
Export Sales Commission
679.65
952.74
(iii) Advertisement expenses
217.01
251.95
(iv) Foreign travel, subscription, etc.
169.36
329.56
(v) Consultancy charges
351.25
467.92
(vi) Others
727.58
524.29
12. Remittance in Foreign Currency on account of dividends:
Paid in 2009-2010
(a) Year to which the dividend relates
2008-09
Paid in 2008-2009
2007-2008
(b) Number of non-resident shareholders to whom remittances were made
Nil
62
(c) Number of shares on which remittances were made
Nil
51876
(d) Amount remitted (Rs. in lacs)
Nil
1.3
Year ended
31st March, 2010
(Rs. in lacs)
Year ended
31st March, 2009
(Rs. in lacs)
13. Earnings in Foreign Currency:
(i)
Export of goods calculated on FOB basis
(ii)
Earnings from Air Taxi Operations
(iii) Others
12877.13
18706.62
26.92
36.96
26.48
6.37
14. Revenue expenditure, including overheads on research and development incurred and charged out during the year through
the natural heads of account, aggregate Rs. 12.09 lacs (Previous year Rs. 18.67 lacs). The capital expenditure incurred for
research and development purposes, aggregate Rs.Nil (previous year Nil).
15A Sundry Creditors in Schedule ‘5’ to the Accounts include (i) Rs. Nil (Previous Year Rs. Nil) due to micro and small enterprises
registered under the Micro, Small and Medium Enterprises Development Act, 2006 (MSME); and (ii) Rs. 19295.30 lacs (Previous
Year Rs. 22005.18 lacs) due to other creditors.
15B No interest is paid / payable during the year to any enterprise registered under the MSME.
15C The above information has been determined to the extent such parties could be identified on the basis of the information
available with the Company regarding the status of suppliers under the MSME.
51
CMYK
Year ended
31st March, 2010
(Rs. in lacs)
Year ended
31st March, 2009
(Rs. in lacs)
16. Prior period adjustments represent :
Debits relating to earlier years
160.32
115.22
Credits relating to earlier years
(26.94)
(49.60)
(2.62)
(0.21)
130.76
65.41
(3119.85)
(312.54)
Depreciation/Amortisation adjustments (net)
17. Exceptional Items:
(a) VRS payments and other termination costs
(b) Provision for Diminution in exposures in
Raymond UCO Denim Private Limited [Refer Note 3B(a)]
(c) Net surplus on divestment of Files and Tools business [Refer Note 7]
(d) Provision for Diminution in exposures in the value of
investments in subsidiaries [Refer Note 3B(b)]
—
(23013.83)
4450.82
—
(1,214.45)
(553.58)
116.52
(23879.95)
As at 31-3-2010
As at 31-3-2009
9936.85
9998.40
(Rs. in lacs)
As at 31-3-2008
18. Deferred Tax :
Deferred Tax Liability on account of :
Depreciation
8177.38
Deferred Tax Asset on account of :
(i)
VRS Payments
(ii)
Other Employee benefits
(iii) Taxes, Duties, Cess, etc.
(iv) Provision for doubtful debts, etc.
(v) Unabsorbed Depreciaion
(vi) Others
Deferred Tax (Net)
52
816.50
329.25
545.36
1258.02
1474.14
1277.40
208.12
218.65
215.23
90.73
381.00
135.60
5457.47
4750.74
0.00
0.98
7.42
36.21
7831.82
7161.20
2209.80
2105.03
2837.20
5967.58
CMYK
19. Related parties disclosures :
1.
Relationships:
(a) Subsidiary Companies :
Jaykayorg AG
Raymond (Europe) Limited [formerly J.K.( England) Limited]
Regency Texteis Portuguesa, Limitada
JK Files (India) Limited (formerly Hindustan Files Limited)
R & A Logistics Inc.
Scissors Engineering Products Limited
JK Talabot Limited
Soltaire Fashions Limited (formerly GAS Apparel Ltd.)(a subsidiary w.e.f. 1st October 2009)
(b) Joint Ventures
Raymond Zambaiti Limited(formerly Raymond Zambaiti Private Limited)
GAS Apparel Limited (upto 30th September 2009)
Rose Engineered Products India Private Limited.
Raymond Uco Denim Private Limited and its subsidiaries
UCO Fabrics Inc.and its Subsidiaries.
UCO Sportswear International NV
UCO Testatura SRL
UCO Raymond Denim Holding NV
Rayves Automotive Textiles Company Private Limited.
(c) Other related parties where control exists :
P. T. Jaykay Files Indonesia
J.K. Helene Curtis Limited
J.K. Ansell Limited
J.K. Investors (Bombay) Limited
Radha Krshna Films Limited
(d) Key Management Personnel :
Mr. Gautam Hari Singhania
Mr. Desh Deepak Khetrapal (w.e.f. 20th June 2009).
Mr. Pradeep Kumar Bhandari (upto 23rd April 2008)
(e) Relatives of key management personnel and their enterprises where transactions have taken place :
Silver Soaps Private Limited
Avani Agricultural Farms Private Limited
Note : Related party relationship is as identified by the company and relied upon by the Auditors.
53
CMYK
2.
Transactions carried out with related parties referred in 1 above, in ordinary course of business:
(Rs. in lacs)
Nature of transactions
Purchases
Goods and Materials
Fixed Assets
DEPB Certificate
Sales
Goods, Materials and Services
Fixed Assets
Expenses
Rent and other service charges
Job work charges
Agency Commission
Remuneration (Refer Note 8)
Interest paid
Professional Fees
Directors’ Fees
Other Reimbursements
Income
Rent and other service charges
Interest/Dividend received
Other Receipts
Deputation of staff
Advertisement Reimbursements
Other reimbursements
Finance
Loans and Advances given
Investments made
Outstandings
Commitments given on behalf of
Payable
Receivable
Agency/Property Deposits received
Security Deposit paid
Loans and Advances
Property Deposit paid
Referred in
1(a) above
Referred in
1(b) above
Related Parties
Referred in
1(c) above
5692.34
(8565.34)
0.62
(24.87)
(37.10)
321.59
(28.04)
(3.78)
23.82
(-)
1201.97
(1047.37)
(-)
(-)
(-)
(-)
(-)
(-)
(-)
(-)
3366.92
(5069.26)
3.43
(1.22)
0.75
(84.36)
(36.27)
195.81
(520.75)
-
(-)
(-)
(-)
(-)
30.05
(28.65)
1505.42
(692.55)
668.50
(687.56)
(-)
(-)
(74.58)
(-)
372.72
(333.65)
1.10
(1.20)
(257.92)
(-)
(-)
(-)
(-)
(-)
655.36
(57.94)
819.91
(962.03)
(-)
560.89
(479.02)
(-)
21.10
(21.10)
(-)
(-)
57.70
(16.27)
(-)
(-)
(-)
482.80
(427.78)
(-)
(-)
(-)
(-)
40.80
(40.80)
(-)
(-)
(-)
(-)
132.36
(134.59)
2.00
(1.40)
(-)
412.62
(322.86)
1131.79
(428.21)
17.87
(19.66)
0.77
(506.58)
67.10
(30.45)
(2.36)
(-)
(-)
(-)
(-)
460.76
(164.67)
(135.81)
950.17
(284.14)
67.89
(136.67)
(2.46)
63.06
(127.23)
276.58
(212.46)
92.09
(-)
37.67
(50.45)
(-)
(-)
(-)
(-)
(-)
(-)
#7320.85
#(251.40)
3045.00
(5.00)
(-)
620.86
(1387.10)
(-)
(-)
(-)
(-)
(-)
(-)
12707.79
(14054.00)
1440.80
(1353.22)
* 1895.22
(2822.72)
(-)
150.00
(150.00)
**13729.68
**(7077.31)
10.33
(98.77)
Refer note
3B(a)
656.64
(771.79)
0.33
(730.42)
1.00
(1.00)
(-)
* 2942.50
* (2942.50)
1.00
(1.00)
(-)
695.53
(396.78)
29.35
(350.67)
(211.02)
(-)
(-)
2935.85
(2935.85)
(-)
(75.00)
(-)
(-)
(-)
(-)
(-)
(-)
5.67
(-)
(-)
(-)
(-)
(-)
50.00
(50.00)
Referred in
1(d) above
Referred in
1(e) above
Notes: The above excludes:
1.
Transfer of Files & Tools business to JK Files (India) Limited (JKFIL) for an aggregate consideration of Rs. 9155.00 lacs. Refer note 7.
2.
Forfeiture of amount paid against Share warrants issued to JK Investors (Bombay) Limited. Refer Note 4.
3.
Waiver of interest outstanding of Raymond UCO Denim Private Limited. Refer Note 3B(a).
*
Refer Note 3B. Figures are gross of provision.
**
includes Rs. 2404.04 lacs, interest free (Previous year Rs.2155.44 lacs)
#
includes Rs. 248.60 lacs, interest free (Previous year Rs.Nil)
(Previous year figures are in brackets)
54
CMYK
3
Disclosure in respect of material transactions with related parties during the year. (included in 2 above).
(Rs. in lacs)
2009-10
2008-09
3294.54
3646.02
1219.98
2896.15
455.20
1383.09
1129.10
928.81
943.26
642.30
537.83
1457.81
1265.70
1984.78
605.12
77.32
877.10
861.95
615.91
736.08
204.00
225.95
Jaykayorg AG
650.42
584.02
560.89
479.02
2935.85
2935.85
5089.25
6400.00
2132.54
2168.00
4300.00
4300.00
Purchases
Goods and Materials
JK Talabot Limited
Sales
Goods and Materials
Job work charges
Rent Paid
Commission
Property Deposit
Guarantee Given
55
CMYK
As at 31.03.2010
(Rs.in lacs)
As at 31.03.2009
(Rs. in lacs)
For a period not later than one year
2941.46
2866.93
For a period later than one year and not later than five years
8201.24
9594.42
For a period later than five years
1861.52
3748.84
31.70
—
48.24
—
—
—
244.74
244.74
8.33
8.39
54.01
45.68
39.42
51.27
2.88
42.30
—
—
Year ended
31st March, 2010
(Rs. in lacs)
Year ended
31st March, 2009
(Rs. in lacs)
Profit/(Loss) for the year after tax
2636.51
(27039.68)
Prior period adjustments (Net)
(130.76)
(65.41)
—
(50.04)
Profit/(Loss) including exceptional items
2505.75
(27155.13)
Exceptional items (net of taxes)
(823.44)
23511.30
Profit/(Loss) excluding exceptional items (net of taxes)
1682.31
(3643.83)
10.00
10.00
20. (a) Premises taken on operating lease:
The total future minimum lease rentals payable at the
Balance Sheet date is as under:
(b) Vehicles taken on operating lease:
The total future minimum lease rentals payable at the
Balance Sheet date is as under:
Total operating lease expenses debited to Profit and Loss Account is
Rs. 4402.39 lacs (Previous year 4618.18 lacs)
(c) Premises given on operating lease:
(i)
Buildings:
Gross carrying amount
Depreciation for the year
Accumulated Depreciation
The value of portions of premises given on operating lease is not disclosed
above since identification of value relatable to the portion is not possible.
(ii)
The total future minimum lease rentals receivable at the Balance Sheet date
is as under:
21. Computation of Profit for Earnings per Share:
Tax in respect of earlier years
Nominal value per share in Rupees
56
CMYK
22. Capacity and Production
(Annual Capacity)
Refer Note 3B(c)
As at 31st March, 2010
As at 31st March, 2009
Licensed/
Registered
* Installed
Licensed/
Registered
* Installed
Wool Combing - Lac Kgs.
13.60
13.60
13.60
13.60
Wool Combing - Lac Kgs.
46.96
46.96
46.96
Wool Spinning - Spindles
1,440
1,440
1,440
1,440
Worsted Spinning - Spindles
22700
22700
22700
22700
Worsted Spinning - Spindles
55656
(b)
55656
55656
(b)
55656
Synthetic Spinning - Spindles
13728
(a)
13728
13728
(a)
13728
Synthetic Spinning - Spindles
3840
3840
3840
3840
Weaving - No. of Looms
246
246
246
246
243
243
243
32
32
32
Not specified
37
(A) Licensed and Installed Capacities:
Hosiery - No. of Machines
Looms for Plush Fabrics
(b)
(b)
(b)
(b)
46.96
243
32
Not specified
37
19
(b)
19
19
(b)
19
Trousers - Lac Nos.
5.44
(b)
1.80
5.44
(b)
1.80
Jackets - Lac Nos.
5.44
(b)
1.80
5.44
(b)
1.80
Files & Rasps - Lac Nos.
H.S.S. Twist Drills - Lac Nos.
Tool bits - Lac Nos.
Bars & Rods - M.T.
}
Refer Note 7
NA #
444
NA #
144
NA #
1.50
NA #
7,200
*
As certified by the Management and being a technical matter, accepted by the Auditors as correct.
#
Delicensed and therefore Not Applicable
(a) Per Memorandum of Information filed with Secretariat for Industrial Approvals, Government of India
(b) Installed against Industrial Entrepreneurs Memorandum
Unit
Year Ended
31st March, 2010
Year Ended
31st March, 2009
326.43
325.00
(B) Actual Production
$
Fabrics
Lac Mtrs.
Rugs, Blankets and Shawls
Lac Pcs.
2.86
3.25
Furnishing Fabrics
Lac Mtrs.
7.81
8.04
Files and Rasps
Lac Nos.
200.95
513.71
H.S.S.Twist Drills
Lac Nos.
72.49
146.02
Bars and Rods (HRS) $
M.T.
2979.83
6365.27
2548.71 M.T. used for captive consumption; Previous year 5608.43 M.T.
57
58
Lac Pcs.
Lac Mtrs.
Lac Mtrs.
Lac Nos.
Lac Nos.
M.T.
M.T.
Garments
Shirtings
Merchanting
Fabrics
Files and Rasps
H.S.S. Twist Drills
Bars & Rods $
File Steel
1572.65
2979.83
72.49
200.95
2.71
7.43
2.94
7.81
3031.76
6365.27
146.02
513.71
3.03
6.03
2.93
8.04
3.25
—
73.86
11.95
60.41
0.85
1.79
1.10
0.75
1.27
58.02
—
35.74
282.48
1425.32
1029.71
315.54
2021.27
148.94
738.17
12733.87
Value
MT
Steel
1093
2.71
516.43
1059.02
1174.79
7462.91
Lac Mtrs.
Fabrics
7.43
3821.83
Total
Lac Mtrs.
Shirtings
2.94
Value
890.84
Lac Pcs
Garments
Quantity
Others
Unit
Items
2009-10
2175
3.03
6.03
2.93
Quantity
Value
10363.30
1385.79
1267.98
2177.57
945.51
4586.45
2548.71 M.T. used for captive consumption; Previous year 5608.43 M.T.
$
2008-2009
Samples, damages, losses, excess/shortage in inventories etc..
Quantity transferred on divestment of Files and tools business.
Details of Goods Traded in - Purchases during the year
239.02
—
57.02
336.66
1104.25
1301.42
436.63
1834.86
125.85
653.47
7499.13
Value
13588.31
b)
—
127.16
13.09
51.43
1.74
2.61
1.66
0.66
1.06
36.10
Quantity
As at 1-4-2008
a)
Notes : Sundries include -
19022.34
Lac Mtrs.
Furnishing
Fabric
2.86
325.00
Quantity
Total
Lac Pcs./
Mtrs.
Rugs, Blankets &
Shawls
326.43
Quantity
As at 1-4-2009
Opening Stock
291.30
Lac Mtrs.
Fabrics
Quantity
2009-10 2008-2009
Production/Purchase
Others
Unit
Stocks and Turnover
Class of Goods
(C)
—
0.74
2.43
1.21
0.32
1.67
35.22
Quantity
11168.00
164.33
—
589.85
399.02
1576.98
68.09
954.30
7415.43
Value
As at 31-3-2010
—
73.86
11.95
60.41
0.85
1.79
1.10
0.75
1.27
58.02
Quantity
19022.34
291.30
—
35.74
282.48
1425.32
1029.71
315.54
2021.27
148.94
738.17
12733.87
Value
As at 31-3-2009
Closing Stock
Value
1572.65
323.91
74.47
209.76
2.78
6.68
2.87
8.27
2.43
130831.67
2544.02
1040.96
110.46
1659.25
6102.37
1696.42
1583.62
5228.77
1764.42
1717.27
348.30 107384.11
Quantity
2009-2010
3031.76
810.14
147.11
504.63
3.39
6.71
3.45
8.07
3.10
302.96
Quantity
134826.72
2214.92
2405.71
542.15
3339.48
14559.10
2453.21
1540.48
5434.04
1744.87
1986.00
98606.76
Value
2008-2009
Turnover (net of sales returns)
—
—
181.57
9.97
51.60
0.04
0.11
(0.04)
(0.03)
0.03
0.93
Quantity
—
—
—
0.05
0.10
0.53
0.14
0.04
(0.12)
(0.06)
0.12
Quantity
2009-2010 2008-2009
Sundries
(Value - Rs. in lacs)
CMYK
CMYK
23
Disclosures pursuant to Accounting Standard-15 “Employee Benefits”
a.
The Company has recognised Rs. 1354.02 lacs (Previous Year Rs. 1358.83 lacs) in the Profit and Loss Account for the year
ended 31st March 2010 under Defined Contribution Plans.
b.
Details of Defined Benefit Plan
(Rs. In Lacs)
31st March, 2010
Gratuity
31st March, 2009
Pension
Gratuity
Pension
1
Components of Employer Expense
(a)
Current Service Cost
303.83
32.35
280.70
33.10
(b)
Interest Cost
461.66
60.52
491.67
64.30
(c)
Expected Return on Plan Assets
(452.00)
—
(451.50)
—
(d)
Actuarial (Gain)/Loss
(59.01)
(7.17)
84.87
(48.67)
(e)
Total expense/(gain) recognised in the
254.48
85.70
405.74
48.73
830.62
6516.35
803.04
2
Net Asset/(Liability) recognised in Balance Sheet
(a)
Present Value of Obligation as at the close of the year
5284.15
(b)
Fair Value of Plan Assets as at the close of the year
5284.15
N.A.
6516.35
N.A.
(c)
Asset/(Liability) recognised in the Balance Sheet
—
(830.62)
—
(803.04)
3
Change in Defined Benefit Obligation (DBO)
during the year ended as on 31st March, 2010
(a)
Present Value of Obligation as at the beginning of the year
6516.35
803.04
6005.31
792.43
(b)
Current Service Cost
303.83
32.35
280.70
33.10
(c)
Interest Cost
461.66
60.52
491.67
64.30
(d)
Actuarial (Gain)/Loss
(88.83)
(7.17)
65.32
(48.67)
(e)
Liabilities assumed on Acquisition / Settled on Divestiture
(1,028.17)
—
—
—
(f)
Benefits Paid
(880.69)
(58.12)
(326.65)
(38.12)
(g)
Present Value of Obligation as at the close of the year
5284.15
830.62
6516.35
803.04
4
Changes in the Fair Value of Plan Assets
(a)
Present Value of Plan Assets as at the beginning of the year
(b)
Expected Return on Plan Assets
452.00
(c)
Actuarial Gain/(Loss)
(29.82)
(d)
Actual Company Contribution
254.48
(e)
Liabilities assumed on Acquisition / Settled on Divestiture
(f)
Benefits Paid
(880.69)
(g)
Fair Value of Plan Assets as at the close of the year
5284.15
5
Actuarial Assumptions
6516.35
(1,028.17)
}
6005.31
451.50
(19.55)
N.A.
405.74
—
(326.65)
6516.35
}
N.A.
(a)
Discount Rate (per annum)
8.0%
8.0%
7.5%
7.5%
(b)
Expected Rate of Return on Assets (per annum)
7.5%
N.A.
7.5%
N.A.
(c)
Salary Escalation Rate*
7.5%
7.5%
7.5%
7.5%
* takes into account the inflation, seniority, promotions and other relevant factors
6
Percentage of each Category of Plan Assets to total Fair Value of
Plan Assets as at the close of the year
(a)
Government Securities
60%
(b)
Corporate Bonds
33%
(c)
Insurer Managed Funds
5%
(d)
Others
2%
59
}
55%
41%
N.A.
1%
3%
}
N.A.
CMYK
24. Material Consumption
(Rs. in lacs)
Year Ended
31st March, 2009
Year Ended
31st March, 2010
Unit
A.
Raw Material Consumed:
Wool and Wool Tops
Other Natural Fibres & Tops
Staple & Synthetic Fibres & Tops
Yarn
Grey Fabric
Rags & Waste
Files Steel
Drill Steel
Semi-Finished Files
Others
M.T.
M.T.
M.T.
M.T.
Lacs Mtrs.
M.T.
M.T.
M.T.
Lac Nos.
Quantity
Value
Quantity
Value
3109
84
4946
5435
1.00
69
2342
172
79
12630.00
480.00
4911.00
9280.00
150.00
46.00
1112.94
583.30
1418.48
206.04
3003
55
5052
3892
1.04
220
6055
374
190
12795.00
550.00
4611.00
6578.00
170.44
158.00
3168.19
1393.82
4019.63
195.05
30817.76
B.
33639.13
Imported and Indigenous materials consumed:
Year Ended
31st March, 2010
(i)
(ii)
Raw Materials:
Imported
Indigenous
Stores and Spare Parts:
Imported
Indigenous
Year Ended
31st March, 2009
(Rs. in lacs)
%
(Rs. in lacs)
%
11780.07
19037.69
38.22
61.78
12607.33
21031.80
37.48
62.52
30817.76
100.00
33639.13
100.00
6911.02
1389.56
83.26
16.74
1535.74
7866.18
16.33
83.67
8300.58
100.00
9401.92
100.00
25. Information on Joint Ventures:
i)
Jointly controlled entities.
Sr.
Name of the Joint Venture
No.
Country of
Incorporation
Percentage of
Ownership interest
1)
2)
Raymond Zambaiti Limited
India
India
2009-10
50%
99.99%
2008-09
50%
50%
3)
4)
5)
Raymond UCO Denim Pvt. Ltd.
Solitaire Fashions Limited.
Rose Engineered Products India Pvt. Ltd.*
India
India
India
50%
100%
50%
50%
50%
50%
6)
Rayves Automotive Textile Company Pvt. Ltd.*
India
33.33%
50%
* Held through subsidiaries
ii)
Contingent Liabilities in respect of Joint Ventures.
(Rs.in lacs)
a)
b)
iii)
Directly incurred by the Company
Share of the Company in contingent liabilities which have been incurred jointly
with other ventures
c) Share of the Company in contingent liabilities incurred by jointly controlled entity
(to the extent ascertainable)
d) Share of other ventures in contingent liabilities incurred by jointly controlled entity.
Capital commitments in respect of Joint Ventures
a) Direct Capital commitments by the Company
b) Share of the Company in capital commitments which have been incurred jointly
with other ventures
c) Share of the Company in capital commitments of the jointly controlled entity.
60
2009-10
2008-09
—
—
—
—
1499.53
—
2344.86
—
—
—
Refer Note 3B(a)
215.94
58.96
CMYK
iv)
Interest in the assets, liabilities, income and expenses with respect to jointly controlled entities.
(Rs.in lacs)
A)
2008-09
Fixed Assets (Net Block):
24499.48
26135.83
Capital Work-in Progress
166.10
157.39
Inventories
6340.92
5899.33
Sundry Debtors
6200.95
6838.23
1587.89
1467.79
Loans and Advances
1791.28
1496.75
1871.71
2594.60
21286.88
23526.18
4836.21
4122.99
Liabilities
7219.99
8679.66
Provisions
4523.41
2573.17
418.12
137.11
34346.54
43227.99
873.41
573.14
Assets:
a)
b)
B)
2009-10
Liabilities:
1)
Loan Funds:
Secured Loans
Unsecured Loans
2)
3)
C)
D)
Income:
a)
Sales and Export Incentives
b)
Other Income
Expenditure:
a)
Material Costs
14533.15
17654.61
b)
Manufacturing Expenses and Inventory Variation
10686.46
13807.54
c)
Employment Costs
3221.17
6573.38
d)
Administrative, Selling and Other Expenses
2826.19
8912.28
e)
Finance Charges
1775.47
2782.30
f)
Depreciation
3189.99
4265.33
g)
Provision for Taxation
282.82
(183.24)
26. In accordance with Accounting Standard-17 ‘Segment Reporting’, segment information has been given in the consolidated
financial statements of Raymond Limited, and therefore , no separate disclosure on segment information is given in these
financial statements.
27. Previous year’s figures have been regrouped / recast wherever necessary.In view of the divestment of the Files & Tools business,
the figures of current year are not comparable with corressponding figures of previous years.
28. Significant accounting policies and practices adopted by the Company are disclosed in the statement annexed to these
Accounts as Annexure I.
Signatures to Schedules 1 to 16
For DALAL & SHAH
H. SUNDER
Shishir Dalal
Partner
THOMAS FERNANDES
Company Secretary
P. K. BHANDARI
Director
61
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ANNEXURE I
STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES
(annexed to and forming part of the Accounts for the year ended 31st March, 2010)
These financial statements have been prepared on an accrual basis and under historical cost convention and in compliance, in all
material aspects, with the applicable accounting principles in India, the applicable accounting standards notified under Section
211 (3C) and the relevant provisions of the Companies Act, 1956. The significant accounting policies adopted by the Company are
detailed below.
I.
RECOGNITION OF INCOME AND EXPENDITURE :
(i) Revenues/Incomes and Costs/Expenditure are generally accounted on accrual, as they are earned or incurred.
(ii) Sale of Goods is recognised on transfer of significant risks and rewards of ownership which is generally on the dispatch of
goods.
(iii) Export Incentives under the “Duty Entitlement Pass Book Scheme” and “Duty Draw back Scheme” are accounted in the
year of export.
(iv) Compensation to employees under Voluntary Retirement Scheme (VRS) is written off in the year of payment.
II. USE OF ESTIMATES :
The preparation of financial statements in conformity with generally accepted accounting principles requires estimates and
assumptions to be made that affect the reported amounts of assets and liabilities on the date of the financial statements and
the reported amounts of revenues and expenses during the reporting period. Differences between actual results and estimates
are recognised in the period in which the results are known/materialised.
III. FIXED ASSETS :
Fixed Assets (other than livestock) are stated at cost, less accumulated depreciation (other than ‘Freehold Land’ where no
depreciation is charged). Cost comprises the purchase price, including duties and other non-refundable taxes on levies, any
directly attributable cost of bringing the asset to its working condition and indirect costs specifically attributable to construction
of a project or to the acquisition of a fixed asset. Livestock are stated at Book Value. Assets retired from active use are carried at
lower of book value and estimated net realisable value.
IV. METHOD OF DEPRECIATION AND AMORTISATION :
(i) Depreciation on Factory Buildings, Plant and Machinery, Electrical Installations and Equipment and Aircraft is provided on
the Straight Line Method (S.L.M.) by writing off 95% of the cost of the assets over the ‘Specified Period’ of the assets in
accordance with the provisions of Section 205(2)(b) of the Companies Act, 1956;
(ii) Depreciation on other Fixed Assets (other than ‘Land’ and ‘Livestock’ where no depreciation is provided), is provided on the
“Written Down Value Method” (W.D.V.) at the rates specified in Schedule XIV to the Companies Act, 1956 from time to time;
(iii) Depreciation on all assets referred to in (i) above, acquired upto 31st March, 1987, is provided at the rates of depreciation
prevalent at the time of acquisition of the assets, in pursuance of Circular No. 1 of 1986, (1.1/86-CL-V) dated 21st May, 1986,
issued by the Company Law Board;
(iv) Depreciation on additions to Fixed Assets after 1st April, 1987 is provided at the relevant rates of depreciation in respect of
S.L.M. and W.D.V., as specified in Schedule XIV to the Companies Act, 1956 from time to time;
(v) Depreciation on additions to assets or on sale/discardment of assets, is calculated pro rata from the month of such addition
or upto the month of such sale/discardment, as the case may be;
(vi) Cost of Technical Know-how capitalised is amortised over a period of six years thereof.
(vii) Cost of Customised Software capitalised is amortised over a period of three years
(viii) Cost of Leasehold Land is amortised over the period of lease.
V. INVESTMENTS :
Investments are classified into Current and Long-term Investments. Current Investments are stated at lower of cost and fair value.
Long-term Investments are stated at cost. A provision for diminution is made to recognise a decline, other than temporary, in the
value of Long-term Investments.
VI. VALUATION OF INVENTORIES :
Inventories of Raw Materials, Goods-in-Process,Stores and spares, Finished Goods and Merchanting Goods are stated ‘at cost or
net realisable value, whichever is lower’. Goods-in-Transit are stated ‘at cost’. Cost comprise all cost of purchase, cost of
conversion and other costs incurred in bringing the inventories to their present location and condition. The excise duty in respect
of closing inventory of finished goods is included as part of finished goods. Cost formulae used are ‘First-in-First-out’, ‘Weighted
Average cost’ or ‘Specific identification’, as applicable. Due allowance is estimated and made for defective and obsolete items,
wherever necessary, based on the past experience of the Company.
VII. FOREIGN CURRENCY TRANSLATIONS :
(i) All transactions in foreign currency, are recorded at the rates of exchange prevailing on the dates when the relevant
transactions take place;
(ii) Monetary items in the form of Loans, Current Assets and Current Liabilities in foreign currency, outstanding at the close of
the year, are converted in Indian Currency at the appropriate rates of exchange prevailing on the date of the Balance
Sheet. Resultant gain or loss is accounted during the year;
(iii) In respect of Forward Exchange contracts entered into to hedge foreign currency risks, the difference between the forward
rate and exchange rate at the inception of the contract is recognized as income or expense over the life of the contract.
Further, the exchange differences arising on such contracts are recognised as income or expense along with the exchange
differences on the underlying assets / liabilities. Further, in case of other contracts with committed exchange rates, the
underlying is accounted at the rate so committed. Profit or loss on cancellations / renewals of forward contracts is recognised
during the year. In case of option contracts, the losses are accounted on mark to market basis.
62
CMYK
VIII. RESEARCH AND DEVELOPMENT :
Revenue expenditure, including overheads on Research and Development, is charged out as an expense through the natural
heads of account in the year in which incurred. Expenditure which results in the creation of capital assets is taken as Fixed
Assets and depreciation is provided on such assets as are depreciable.
IX. EMPLOYEE BENEFITS
Defined Contribution Plans such as Provident Fund etc., are charged to the Profit & Loss Account as incurred.Defined Benefit
Plans - The present value of the obligation under such plan, is determined based on an actuarial valuation using the Projected
Unit Credit Method. Actuarial gains and losses arising on such valuation are recognised immediately in the Profit & Loss Account.
In case of funded defined benefit plans, the fair value of the plan assets is reduced from the gross obligation under the defined
benefit plans, to recognise the obligation on net basis. Further for certain employees, the monthly contribution for Provident Fund
is made to a Trust administered by the Company. The interest payable by the Trust is notified by the Government. The Company
has an obligation to make good the shortfall, if any.Other Long term Employee Benefits are recognised in the same manner as
Defined Benefit Plans.Termination benefits are recognised as and when incurred.
X. PROJECT DEVELOPMENT EXPENSES PENDING ADJUSTMENT :
Expenditure incurred during developmental and preliminary stages of the Company’s new projects, are carried forward. However,
if any project is abandoned, the expenditure relevant to such project is written off through the natural heads of expenses in the
year in which it is so abandoned.
XI. BORROWING COSTS :
Interest and other borrowing costs attributable to qualifying assets are capitalised. Other interest and borrowing costs are
charged to revenue.
XII. GOVERNMENT GRANTS:
Grants received against specific fixed assets are adjusted to the cost of the assets and those in the nature of promoter’s
contribution are credited to capital Reserve. Revenue Grants are recognised in the Profit and Loss Account in accordance with
the related scheme and in the period in which these are accrued.
XIII. PROVISIONS
A provision is recognised when there is a present obligation as a result of a past event, that probably requires an outflow of
resources and a reliable estimate can be made to settle the amount of obligation. Provision is not discounted to its present
value and is determined based on the last estimate required to settle the obligation at the year end. These are reviewed at
each year end and adjusted to reflect the best current estimate.
XIV. APPLICATION OF SECURITIES PREMIUM ACCOUNT :
Share and Debenture Issue expenses and Premium payable on redemption of Debentures, are charged, first against available
balance in Securities Premium Account.
XV. TAXATION :
Income-tax expense comprises current tax and deferred tax charge or credit. Provision for current tax is made on the basis of
the assessable income at the tax rate applicable to the relevant assessment year.The deferred tax asset and deferred tax
liability is calculated by applying tax rate and tax laws that have been enacted or substantively enacted by the Balance Sheet
date. Deferred tax assets arising mainly on account of brought forward losses and unabsorbed depreciation under tax laws, are
recognised, only if there is a virtual certainty of its realisation, supported by convincing evidence. Deferred tax assets on
account of other timing differences are recognised only to the extent there is a reasonable certainty of its realisation. At each
Balance Sheet date, the carrying amount of deferred tax assets are reviewed to reassure realisation.
XVI. IMPAIRMENT OF ASSETS:
The carrying amounts of assets are reviewed at each Balance Sheet date if there is any indication of impairment based on
internal/external factors. An asset is impaired when the carrying amount of the asset exceeds the recoverable amount. An
impairment loss is charged to the Profit and Loss Account in the year in which an asset is identified as impaired. An impairment
loss recognised in prior accounting periods is reversed if there has been change in the estimate of the recoverable amount.
RESEARCH AND DEVELOPMENT EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31ST MARCH, 2010
(Rs. in lacs)
Materials
Stores, spares and chemicals consumed
Personnel
Wages, salaries, bonus, etc.
Workmen and staff welfare expenses
Contribution to Provident and other Funds
1.46
4.19
1.16
0.68
6.03
Other Expenditure
Repairs and maintenance, conveyance, travelling, car expenses, etc.
Miscellaneous expenses
1.81
1.33
3.14
1.46
Depreciation
Total
12.09
This information is given pursuant to the recognition granted to the Company’s Research & Development Laboratory at Jekegram,
Thane by the Department of Scientific & Industrial Research, Ministry of Science & Technology, Government of India, vide their letter
No. 2(109)/2008/RDI/2005 dated 6th June, 2008, which is valid upto 31st March, 2011.
63
CMYK
TEN YEAR HIGHLIGHTS
(Rupees in Lacs)
2009-10
*2008-09
2007-08
2006-07
2005-06
2004-05
2003-04
2002-03
2001-02
2000-01
142706
147780
146015
137497
140637
122639
116853
109588
103208
147279
% Increase/(Decrease)
(3.43)
1.2
6.2
(2.2)
14.7
4.9
6.6
6.2
(29.9)
(12.1)
Gross Profit/(Loss) before
interest and depreciation
22938
(12373)
22287
34840
27170
18442
27305
21820
18844
52570
16.1
(8.4)
15.3
25.3
19.3
15.0
23.4
19.9
18.3
35.7
2637
(27040)
6612
20125
12229
7682
13184
9143
8364
33341
Net Fixed Assets
98206.1
106115
73311
76174
84512
57563
42122
40602
37857
37079
Investments
89178.6
88859
104730
98448
73660
73428
71587
61231
58766
60744
Net Current Assets
57282.3
57155
58543
45343
44013
42083
44381
46623
50263
42009
Total
244667
252129
236584
219965
202185
173074
158090
148456
146886
139832
-3
7
8
9
17
9
6
1
5
(11)
Shareholders’ Investments
1885
1885
1885
1885
1885
1885
1885
1885
1885
1885
Bonus Shares
4253
4253
4253
4253
4253
4253
4253
4253
4253
4253
Reserves
111153
106560
133690
129478
112857
104256
98717
89297
83388
81252
Total
117291
112698
139828
135616
118995
110394
104855
95435
89526
87390
3798
7144
7998
10306
11011
10031
17672
17096
17410
27062
INCOME
Sales and Other Income
As % of Sales and
Other Income
Net Profit/(Loss) after Tax
ASSETS EMPLOYED
% Increase/(Decrease)
EQUITY FUNDS AND EARNINGS
Contribution to Country’s
Exchequer
Per Equity Share of Rs.10:
Book Value
(Rupees)
191.1
187.0
231.2
220.9
193.9
179.9
170.8
155.5
145.9
142.4
Earnings
4.1
(44.2)
11.8
32.9
19.7
13.6
21.6
14.7
14.4
35.6
Dividend
Nil
Nil
2.5
5.0
5.0
4.0
5.5
4.5
4.5
3.0
* Figures are stated as per the Annual Report of 2008-09
64
CMYK
AUDITOR’S REPORT ON THE CONSOLIDATED FINANCIAL STATEMENTS OF RAYMOND LIMITED
The Board of Directors of Raymond Limited
1.
We have audited the attached consolidated balance sheet of Raymond Limited (the “Company”) and it subsidiaries, its jointly controlled entities and associate
companies; hereinafter referred to as the “Group” (Refer Note 1 in Schedule 16 to the attached consolidated financial statements) as at 31st March, 2010, the
related consolidated Profit and Loss Account and the consolidated Cash Flow Statement for the year ended on that date annexed thereto, which we have signed
under reference to this report. These consolidated financial statements are the responsibility of the Company’s management. Our responsibility is to express an
opinion on these financial statements based on our audit.
2.
We conducted our audit in accordance with the auditing standards generally accepted in India. Those Standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.
3.
(a)
We did not audit the financial statements of (i) seven subsidiaries (including three foreign subsidiaries of a Indian Joint Venture of the Company) and one
jointly controlled entity included in the consolidated financial statements, which constitute total assets of Rs.24814.72 lacs and net assets of Rs.21753.53 lacs as
at 31st March, 2010 and total revenue of Rs.25416.10 lacs and net increase in cash flows amounting to Rs.149.92 lacs for the year then ended; and (ii) three
associate companies whose net assets are Rs.6763.57 lacs as at 31st March, 2010. These financial statements and other financial information have been
audited by other auditors whose reports have been furnished to us, and our opinion on the consolidated financial statements to the extent they have been
derived from such financial statements is based solely on the report of such other auditors.
(b)
We also did not audit the financial statements of (i) two other foreign subsidiaries included in the consolidated financial statements, which constitute total assets
of Rs.2306.76 lacs and net asset of Rs.2183.76 lacs as at March 31, 2010 and total revenue of Rs.902.51 lacs and net increase in the cash flow of Rs.201.57 lacs for
the year then ended and (ii) an associate whose net asset were Rs.1253.03 lacs as at March 31, 2010. These financial statements have been audited/reviewed (as
the case may be) as at 31st December, 2009 by other auditors, whose reports have been furnished to us. However, since these financial statements, which were
compiled by the management of these companies, for the financial year ended 31st March, 2010, were not audited, any adjustments to their balances could
have consequential effect on the attached consolidated financial statements. However, the size of these subsidiaries and the associate, in the consolidated
position, is not significant in relative terms.
4.
Without qualifying our opinion, we draw your attention to Note 9 (a) in Schedule 16, regarding the carrying value of the assets relating to subsidiaries of Raymond UCO
Denim Private Limited, a joint venture company, which may need adjustment, if the outcome of the management’s estimates of realisable value of assets, which are
subject to inherent uncertainties, is substantially different.
5.
We report that the consolidated financial statements have been prepared by the Company’s Management in accordance with the requirements of Accounting
Standard (AS) 21 - Consolidated Financial Statements, Accounting Standard (AS) 23 - Accounting for Investments in Associates in Consolidated Financial Statements,
and Accounting Standard (AS) 27 - Financial Reporting of Interests in Joint Ventures notified under sub-section 3C of Section 211 of the Companies Act, 1956.
6.
Based on our audit and on consideration of reports of other auditors on separate financial statements and on the other financial information of the components of
the Group as referred to above, and to the best of our information and according to the explanations given to us, in our opinion, the attached consolidated
financial statements give a true and fair view in conformity with the accounting principles generally accepted in India:
(a)
in the case of the consolidated Balance Sheet, of the state of affairs of the Group as at 31st March 2010;
(b)
in the case of the consolidated Profit and Loss Account, of the loss of the Group for the year ended on that date: and
(c)
in the case of the consolidated Cash Flow Statement, of the cash flows of the Group for the year ended on that date
For DALAL & SHAH
Shishir Dalal
Mumbai,
Partner
27th April, 2010
Membership Number 037310
65
CMYK
CONSOLIDATED BALANCE SHEET AS AT 31ST MARCH, 2010
Schedule
No.
SOURCES OF FUNDS:
Share Capital
Share Warrrants
Reserves and Surplus
Joint Ventures Control Account
Loan Funds:
Secured Loans
Unsecured Loans
1
1A
2
Consolidated with
subsidiaries
Share in
Joint
Ventures
Total as at
31.03.2010
(Rs. in lacs)
Consolidated with
subsidiaries
Share in
Joint
Ventures
Total as at
31.03.2009
(Rs. in lacs)
6138.08
—
143920.26
(36364.20)
—
—
(32470.90)
36364.20
6138.08
—
111449.36
—
6138.08
2086.95
141797.94
(34533.76)
—
—
(28361.42)
34533.76
6138.08
2086.95
113436.52
—
113694.14
3893.30
117587.44
115489.21
6172.34
121661.55
96282.38
50172.76
21286.88
1466.10
117569.26
51638.86
109211.51
48463.44
23526.18
1096.76
132737.69
49560.20
146455.14
1700.47
22752.98
418.12
169208.12
2118.59
157674.95
2617.11
24622.94
137.14
182297.89
2754.25
3
(Refer Note No.7)
Minority Interest
TOTAL
APPLICATION OF FUNDS:
Fixed Assets:
4
Gross Block
Less: Depreciation, Amortisation and Impairment
Net Block
Less: Unrealised Profit
Investments
Inventories
Sundry Debtors
Loans and Advances
Less:
Current Liabilities
Provisions
5
6
—
734.09
673.56
—
673.56
27064.40
289648.24
276454.83
30932.42
307387.25
216792.77
94048.54
35465.09
11826.43
252257.86
105874.97
214383.04
86353.68
35635.70
8593.69
250018.74
94947.37
122744.23
1984.33
6124.82
23638.66
2789.71
166.10
146382.89
4774.04
6290.92
128029.36
361.21
8312.17
27042.01
3230.15
157.37
155071.37
3591.36
8469.54
126884.72
62965.89
21015.05
—
147899.77
62965.89
135980.32
63014.73
23969.23
—
159949.55
63014.73
49905.96
38896.82
5479.51
5741.21
22041.10
6340.92
6200.95
1587.89
1791.28
1871.71
56246.88
45097.77
7067.40
7532.49
23912.81
53609.80
39048.22
6891.39
6312.09
24296.62
5899.33
6838.23
1467.79
2594.60
1496.75
59509.13
45886.45
8359.18
8906.69
25793.37
122064.60
17792.75
139857.35
130158.12
18296.70
148454.82
42944.42
6386.95
7219.99
4523.41
50164.41
10910.36
46029.84
6668.50
9075.34
2258.17
55105.18
8926.67
49331.37
11743.40
61074.77
52698.34
11333.51
64031.85
72733.23
6049.35
78782.58
77459.78
6963.19
84422.97
262583.84
27064.40
289648.24
276454.83
30932.42
307387.25
7
Net Current Assets
TOTAL
734.09
262583.84
16
For DALAL & SHAH
H. SUNDER
Shishir Dalal
Partner
THOMAS FERNANDES
Company Secretary
P. K. BHANDARI
Director
66
CMYK
CONSOLIDATED PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31ST MARCH, 2010
Schedule
No.
Consolidated with
subsidiaries
Share in
Joint
Ventures
Total
year ended
31.03.2010
(Rs. in lacs)
Consolidated with
subsidiaries
Share in
Total
Joint year ended
Ventures
31.03.2009
(Rs. in lacs)
216436.32
10074.99
34346.54
873.41
250782.86
10948.40
212720.71
(749.50)
43227.99
(2026.30)
255948.70
(2775.80)
226511.31
35219.95
261731.26
211971.21
41201.69
253172.90
65772.48
35016.70
5463.47
39585.15
50650.13
11154.12
14743.64
14533.15
9972.74
713.72
3221.17
2826.19
1775.47
2910.19
80305.63
44989.44
6177.19
42806.32
53476.32
12929.59
17653.83
65845.75
36520.22
(3050.08)
38488.65
54752.41
10495.91
12389.90
17654.61
12575.53
1232.01
6573.38
6312.84
2782.30
4265.33
83500.36
49095.75
(1818.07)
45062.03
61065.25
13278.21
16655.23
222385.69
35952.63
258338.32
215442.76
51396.00
266838.76
INCOME
Sales, Services and Export Incentives
Other Income
EXPENDITURE
Material Costs
Manufacturing and Operating Costs
(Increase)/Decrease in finished and process stock
Employment Costs
Administrative, Selling and General expenses
Finance Charges
Depreciation, Amortisation and Impairment
8
9
10
11
12
13
14
15
Less: Stock of Subsidiary under Liquidation
PROFIT FOR THE YEAR BEFORE EXCEPTIONAL ITEMS
EXCEPTIONAL ITEMS (Refer Note 6)
(925.67)
—
(925.67)
—
—
—
221460.02
35952.63
257412.65
215442.76
51396.00
266838.76
5051.29
(4836.72)
(732.68)
(3411.59)
4318.61
(8248.31)
(3471.55)
(1040.48)
(10194.31)
(10314.30)
(13665.86)
(11354.78)
PROFIT/(LOSS) FOR THE YEAR BEFORE TAX
Provision for Income Tax :
- Current Tax (Net of MAT credit)
- Deferred Tax charge/ (credit)
- Fringe Benefits Tax
214.57
(4144.27)
(3929.70)
(4512.03)
(20508.61)
(25020.64)
1617.69
(916.63)
—
101.30
0.05
280.97
—
1.80
1617.74
(635.66)
—
103.10
1104.75
(3501.08)
434.05
101.25
(20.00)
(181.12)
16.44
1.44
1084.75
(3682.20)
450.49
102.69
PROFIT/(LOSS) FOR THE YEAR AFTER TAX
Share of profit in Associate Companies
Minority Interest
(587.79)
679.35
(60.95)
(4427.09)
—
—
(5014.88)
679.35
(60.95)
(2651.00)
402.88
(59.37)
(20325.37)
—
—
(22976.37)
402.88
(59.37)
30.61
(148.29)
(21.09)
31725.29
(4427.09)
(28.79)
—
(33289.39)
(4396.48)
(177.08)
(21.09)
(1564.10)
(2307.49)
(139.37)
1.02
34574.01
(20325.37)
(16.44)
(0.07)
(12947.51)
(22632.86)
(155.81)
0.95
21626.50
BALANCE AVAILABLE FOR APPROPRIATION
APPROPRIATION:
Share of Retained Earnings in Associate Companies
Share of tax on dividend of Associates
31586.52
(37745.27)
(6158.75)
32128.17
(33289.39)
(1161.22)
671.25
8.10
—
—
671.25
8.10
354.28
48.60
—
—
354.28
48.60
679.35
—
679.35
402.88
—
402.88
Balance carried to Balance Sheet
30907.17
(37745.27)
(6838.10)
31725.29
(33289.39)
(1564.10)
Prior period adjustments (net)(Refer Note 5)
Excess/(Short) provision for tax
Balance brought forward
Disclosure for Discontinuing Operations
Subsidiaries of Raymond UCO Denim Pvt . Ltd.
-Pre tax loss from ordinary activity
Add/Less: Tax thereon
(3537.69)
—
(3647.43)
—
-Pre tax loss on disposal of assets/settelment of liabilities
Add/(Less): Tax thereon
(3537.69)
—
—
(3647.43)
(10314.30)
318.27
Total
Basic
items
Basic
items
and diluted earnings per share including exceptional
(in Rs.) (Refer Note 14)
and diluted earnings per share excluding exceptional
(net of tax) (in Rs.) (Refer Note 14)
—
(9996.03)
(3537.69)
(13643.46)
(7.50)
(37.21)
3.91
(20.13)
16
For DALAL & SHAH
H. SUNDER
Shishir Dalal
Partner
THOMAS FERNANDES
Company Secretary
P. K. BHANDARI
Director
67
CMYK
CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH, 2010
Year Ended
31st March, 2010
(Rs. in lacs)
A. Cash Flow arising from Operating Activities:
Net Profit/(Loss) before Tax and Exceptional Items as per Profit and Loss Account
Add/(Deduct):
a) Bad debts and Provision for Doubtful Debts, Advances and claims
b) Investment Grant
c) Provision for Diminution in value of Investments
d) Depreciation and Amortisation Charge
e) Depreciation and Amortisation Charge ( on dillution of control )
f) Finance Charges and (Gain)/Loss on variation in Foreign
Exchange rates - Loans
g) Loss on Sale of Assets
h) Interest Income
i) Dividend Income
j) Provision no longer required
k) Credit balance appropriated
l) Surplus on sale of Investments
m) Government Grant Received
n) Transfer from Capital Reserve
4318.61
Add/(Deduct):
a) Increase/(Decrease) in Trade Payable
b) (Increase)/Decrease in Trade and Other Receivables
c) (Increase)/Decrease in Inventories
(13665.86)
1056.30
—
—
17653.83
2750.83
750.03
(13.78)
1313.56
16655.23
—
9536.43
402.60
(1961.06)
(165.58)
(2869.94)
(142.22)
(1881.18)
—
—
26381.63
600.69
(4076.93)
(1977.02)
(680.48)
(194.20)
(1613.51)
25.00
(25.77)
Operating Cash Profit before Working Capital Changes
B.
Year Ended
31st March, 2009
(Rs. in lacs)
24380.01
37144.45
28698.62
23478.59
(1854.86)
1721.26
2427.91
12891.48
(5379.21)
2772.73
2294.31
10285.00
Cash Inflow from Operations
Deduct:
Direct Taxes paid ( Net )
30992.93
33763.59
2595.35
1000.21
Cash Inflow before Prior Period Adjustments
Deduct: Prior Period adjustments
28397.58
(156.55)
32763.38
(159.11)
Deduct: Exceptional Item
28241.03
3508.39
32604.27
348.75
Net Cash Inflow in the course of Operating Activities after Exceptional Items
24732.64
32255.52
Cash Flow arising from Investing Activities:
Inflow:
a) Sale of Fixed Assets
b) Dividend
c) Interest Received
d) Sale of Investments
3475.84
165.58
1861.28
1930.04
2758.56
1977.02
6238.69
—
7432.74
Outflow:
a) Acquisition of Fixed Assets
b) Increase in Minority Interest
c) Investment in Debentures of Joint Venture
11839.06
0.42
—
Net Cash (Outflow) in the course of Investing Activities
C. Cash Flow arising from Financing Activities:
Inflow:
a) Proceeds from Term Loans (Net)
b) Proceeds from other borrowings (Net)
10974.27
58251.50
36.99
3417.00
11839.48
61705.49
(4406.74)
(50731.22)
—
—
39073.16
9190.38
—
Outflow:
a) Repayment of other Borrowings (Net)
b) Repayment of Term Loan (Net)
c) Finance Charges (Net)
d) Dividend paid
6225.01
5997.96
9557.41
—
Net Cash Inflow in the course of Financing Activities
D.
Change in Currency Fluctuation Reserve arising on consolidation
Net Increase/(Decrease) in Cash/Cash Equivalents (A+B+C+D)
Cash & Cash equivalent at the beginning of the year
(Refer: schedule 6 [c] )
Cash given up on dilution of Interest
Cash/Cash Equivalents at the close of the year
48263.54
—
—
26346.30
1795.31
21780.38
28141.61
(21780.38)
20121.93
280.30
919.99
(1174.18)
2566.22
8359.18
(117.60)
7067.40
5792.96
—
8359.18
For DALAL & SHAH
H. SUNDER
Shishir Dalal
Partner
THOMAS FERNANDES
Company Secretary
P. K. BHANDARI
Director
68
CMYK
SCHEDULES ‘1’ TO ‘16’ FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED
31ST MARCH, 2010
Total as at
31.03.2010
(Rs. in lacs)
Total as at
31.03.2009
(Rs. in lacs)
SCHEDULE 1 - SHARE CAPITAL
Authorised:
10,00,00,000 Equity Shares of Rs.10 each
10000.00
10000.00
10000.00
10000.00
6,13,80,853 Equity Shares of Rs.10 each, fully paid-up
6138.08
6138.08
Per Balance Sheet
6138.08
6138.08
—
2086.95
—
2086.95
SCHEDULE 1A - SHARE WARRANTS
61,38,085
Warrants of Rs.34/- each
Per Balance Sheet
SCHEDULE 2 - RESERVES AND SURPLUS
(a)
Share in
Joint Ventures
(Rs. in lacs)
Total as at
31.03.2010
Consolidated
with subsidiaries
Share in
Joint Ventures
(Rs. in lacs)
Total as at
31.03.2009
25.00
250.79
275.79
—
25.77
25.77
500.00
—
2086.95
—
—
(250.00)
—
—
—
—
250.00
—
2086.95
—
—
—
—
—
—
25.00
—
(25.77)
—
250.79
—
—
(25.77)
—
250.79
25.00
2611.95
0.79
2612.74
25.00
250.79
275.79
8.22
(1.00)
2.29
—
10.51
(1.00)
8.22
—
2.29
—
10.51
—
Capital Reserve
Add/(Less): Arising from conversion of
joint venture to a subsidiary
Less: Transfer to Profit and Loss Account
Add: Share Warrants forefeited
Add: Capital grant from a joint venture partner
Add: Government grant received
(b)
Consolidated
with subsidiaries
Legal Reserve:
Less: Reserves on Liquidation of subsidiary
7.22
2.29
9.51
8.22
2.29
10.51
(c)
Securities Premium Account
14778.55
4358.53
19137.08
14778.55
4358.53
19137.08
(d)
Capital Redemption Reserve
1521.51
—
1521.51
1521.51
—
1521.51
(e)
General Reserve:
89518.50
—
89518.50
89518.50
—
89518.50
(f)
Revaluation Reserve
Less : Transfer to Profit & Loss Account
—
—
—
—
—
—
—
—
1354.40
(1354.40)
1354.40
(1354.40)
—
—
—
—
—
—
—
—
—
—
—
—
—
—
13.78
(13.78)
13.78
(13.78)
—
—
—
—
—
—
1118.56
(316.10)
316.36
596.40
1434.92
280.30
847.33
271.23
(332.40)
648.76
514.93
919.99
802.46
912.76
1715.22
1118.56
316.36
1434.92
3772.90
—
3772.90
3102.31
—
3102.31
30907.17
(37745.27)
(6838.10)
31725.29
(33289.39)
(1564.10)
143920.26
(32470.90)
111449.36
141797.94
(28361.42)
113436.52
(g)
(h)
(i)
(j)
Investments Grants
Less : Transfer to Profit & Loss Account
Currency Fluctuation Reserve - on Consolidation
Add/(Less) : During the year
Share of Retained Earnings in Associates:
(Movement during the year Refer Note 13)
Per Balance Sheet
69
CMYK
Consolidated
with subsidiaries
Share in
Joint Ventures
(Rs. in lacs)
Total as at
31.03.2010
Consolidated
with subsidiaries
Share in
Joint Ventures
(Rs. in lacs)
Total as at
31.03.2009
98950.20
SCHEDULE 3 - LOAN FUNDS
(a)
Secured Loans:
Term Loans:
Term Loans from Banks
70075.79
15002.01
85077.80
81946.86
17003.34
Interest accrued thereon
36.48
—
36.48
45.28
—
45.28
Partly Secured Term Loan
15000.00
—
15000.00
15000.00
—
15000.00
85112.27
15002.01
100114.28
96992.14
17003.34
113995.48
9231.06
6284.87
15515.93
11528.04
6522.84
18050.88
50.44
—
50.44
39.79
—
39.79
9281.50
6284.87
15566.37
11567.83
6522.84
18090.67
Buyer’s Credit Loan
1888.61
—
1888.61
650.50
—
650.50
Hire purchase loans
—
—
—
1.04
—
1.04
96282.38
21286.88
117569.26
109211.51
23526.18
132737.69
39575.24
—
39575.24
29898.60
—
29898.60
—
958.26
958.26
—
1096.76
1096.76
Working capital loans from banks
Interest accrued thereon
Total - Secured Loans
(b)
Unsecured Loans:
Foreign Currency Loans from Banks
From Joint Venture Partners (Long Term)
Other Borrowings:
Sales Tax Deferment Loan
597.52
—
597.52
953.22
—
953.22
Others
10000.00
507.84
10507.84
17611.62
—
17611.62
10597.52
507.84
11105.36
18564.84
—
18564.84
Total - Unsecured Loans
50172.76
1466.10
51638.86
48463.44
1096.76
49560.20
146455.14
22752.98
169208.12
157674.95
24622.94
182297.89
598.36
681.38
1279.74
698.10
906.18
1604.28
Per Balance Sheet
SCHEDULE 4 - FIXED ASSETS (NET BLOCK)
A.
Assets
Goodwill on Consolidation
Land Freehold
3891.01
10.96
3901.97
3990.98
12.03
4003.01
Leasehold
1302.66
257.59
1560.25
789.36
260.53
1049.89
22833.25
4860.16
27693.41
22439.65
5124.28
27563.93
1032.68
—
1032.68
2222.99
0.64
2223.63
76795.27
17659.14
94454.41
79236.03
20522.30
99758.33
3355.04
128.68
3483.72
3962.54
156.62
4119.16
Buildings
Improvements to Leasehold Premises
Plant and Machinery, Electrical Installations and Equipments
Furniture, Fixtures and Office Equipments
Livestock (at book value)
6.60
—
6.60
8.29
—
8.29
725.72
40.75
766.47
927.12
59.38
986.50
Boats and Water Equipments
4459.79
—
4459.79
5229.16
—
5229.16
Aircraft
7411.07
—
7411.07
7963.67
—
7963.67
332.78
—
332.78
561.47
0.05
561.52
122744.23
23638.66
146382.89
128029.36
27042.01
155071.37
1984.33
2789.71
4774.04
361.21
3230.15
3591.36
120759.90
20848.95
141608.85
127668.15
23811.86
151480.01
6124.82
166.10
6290.92
8312.17
157.37
8469.54
Vehicles
Intangible Assets :
Software
Per Balance Sheet
Less : Unrealised Profit
B.
70
CMYK
Consolidated
with subsidiaries
Share in
Joint Ventures
(Rs. in lacs)
Total as at
31.03.2010
Consolidated
with subsidiaries
Share in
Joint Ventures
(Rs. in lacs)
Total as at
31.03.2009
0.27
—
0.27
0.27
—
0.27
4252.78
—
4252.78
3919.89
—
3919.89
—
—
—
(337.70)
—
(337.70)
4252.78
—
4252.78
3582.19
—
3582.19
17.00
—
17.00
2017.00
—
2017.00
536.65
—
536.65
42.19
—
42.19
25.41
—
25.41
15.50
—
15.50
2956.69
—
2956.69
2942.94
—
2942.94
296.59
—
296.59
7756.79
—
7756.79
8085.39
—
8085.39
16356.88
—
16356.88
SCHEDULE 5 - INVESTMENTS (AT COST/BOOK VALUE)
I.
LONG TERM INVESTMENTS
A.
Investments in Government Securities
B.
Non-Trade Investments
Shares (Unquoted)
Less: Provision for diminution in value of Investments
C.
Shares (Quoted)
D.
Unquoted Debentures
E.
Mutual Fund (Unquoted):
F.
Venture Capital Funds
Investment in mutual fund-FMP (Growth)
Investments in ventures Capital Fund
G.
Others
Total - Long Term Investments
II.
CURRENT INVESTMENTS
A.
Dividend Option Units
B.
Growth Option Units
C.
Equity Shares (Quoted)
D.
Preference Shares
E.
Bonds
802.84
—
802.84
34290.07
—
34290.07
50406.26
—
50406.26
9699.52
—
9699.52
3358.51
—
3358.51
4177.87
—
4177.87
53.01
—
53.01
47.65
—
47.65
355.12
—
355.12
76.95
—
76.95
Less: Provision for diminution in value of Current
Investments (Unquoted)
(4.44)
—
(4.44)
—
—
—
(203.30)
—
(203.30)
(1634.21)
—
(1634.21)
Total - Current Investments
54768.00
—
54768.00
46657.85
—
46657.85
Total - Investments
62853.39
—
62853.39
63014.73
—
63014.73
112.50
—
112.50
—
—
—
112.50
—
112.50
—
—
—
62965.89
—
62965.89
63014.73
—
63014.73
Less: Provision for diminution in value of Current Investments (Quoted)
III.
APPLICATION MONEY PENDING ALLOTMENT
Equity Application Money
Per Balance Sheet
Book Value
Aggregate of Quoted Investments (Net)
3172.21
—
3172.21
4560.66
—
4560.66
Aggregate of Unquoted Investments (Net)
59681.18
—
59681.18
58454.07
—
58454.07
Total Investment excluding Application Money Pending Allotment
62853.39
—
62853.39
63014.73
—
63014.73
4167.19
—
4167.19
4676.30
—
4676.30
Market Value
Aggregate of Quoted Investments
71
CMYK
SCHEDULE 6 - CURRENT ASSETS, LOANS AND ADVANCES
(a)
Inventories:
(As verified, valued and certified by the Management):
(i)
Loose Tools
(ii)
(iii)
Stock-in-Trade:
Raw Materials
Goods-in-Process
Finished Goods (including Merchanting Goods)
(iv)
Accumulated cost on conversion contracts
(v)
Goods-in-Transit
(b)
Sundry Debtors :
(i)
Debts outstanding for a period exceeding six months
Unsecured Considered good
Considered doubtful
Less: Provision
(ii)
(c)
(d)
(e)
Other Debts :
Unsecured Considered good
Considered doubtful
Less: Provision
Cash and Bank Balances:
(i)
Cash on hand (including cheques on hand)
(ii)
Balances with Banks
In Current Accounts (including remittances-in-transit)
In Deposit Accounts
Other Current Assets:
(i)
Export Incentives, etc. receivable
(ii)
Dividend, Interest Subsidy and Interest receivable [including
interest accrued on Investments Rs. 8.57 lacs (Previous year
Rs.478.50 lacs)]
(iii)
MAT Credit Receivable
(iv)
Claims and Other receivables
(v)
Assets held for disposal
Loans and Advances (Unsecured, considered good, unless
otherwise specified):
Loans and Advances to companies and others:
Considered good
Considered doubtful
Less: Provision
Advance Tax (Net of provision for tax)
Advances recoverable in cash or in kind or for value to be received:
Considered good
Considered doubtful
Less: Provision
Balances with Customs, Excise, etc.
Others: Considered Good
Considered Doubtful
Less: Provision
Per Balance Sheet
Consolidated
with subsidiaries
Share in
Joint Ventures
(Rs. in lacs)
Total as at
31.03.2010
Consolidated
with subsidiaries
Share in
Joint Ventures
(Rs. in lacs)
Total as at
31.03.2009
103.58
2423.16
692.07
103.58
3115.23
103.58
2267.80
702.88
103.58
2970.68
8309.21
12461.37
24285.78
169.45
2153.41
2234.85
2195.17
1066.31
152.52
10544.06
14656.54
25352.09
169.45
2305.93
7680.35
10659.20
31332.94
190.55
1375.38
998.48
1938.11
2200.71
59.15
8678.83
12597.31
33533.65
190.55
1434.53
49905.96
6340.92
56246.88
53609.80
5899.33
59509.13
516.94
-
516.94
180.54
38.03
218.57
2985.37
389.54
3374.91
3488.43
62.15
3550.58
3502.31
598.74
(598.74)
389.54
-
3891.85
598.74
(598.74)
3668.97
371.23
(371.23)
100.18
-
3769.15
371.23
(371.23)
-
-
-
-
-
-
3502.31
389.54
3891.85
3668.97
100.18
3769.15
3314.92
-
3314.92
3117.22
-
3117.22
32079.59
-
5811.41
53.27
(53.27)
37891.00
53.27
(53.27)
32262.03
-
6725.98
134.04
(121.97)
38988.01
134.04
(121.97)
35394.51
5811.41
41205.92
35379.25
12.07
6738.05
12.07
42117.30
38896.82
6200.95
45097.77
39048.22
6838.23
45886.45
233.93
14.29
248.22
256.55
94.68
351.23
2414.50
2831.08
422.52
1151.08
2837.02
3982.16
4828.07
1806.77
113.32
1259.79
4941.39
3066.56
5479.51
1587.89
7067.40
6891.39
1467.79
8359.18
1067.94
363.04
1430.98
961.81
400.38
1362.19
2778.36
934.11
960.80
-
466.09
285.05
677.10
3244.45
934.11
1245.85
677.10
2627.38
664.58
2058.32
-
517.28
397.24
1279.70
3144.66
664.58
2455.56
1279.70
5741.21
1791.28
7532.49
6312.09
2594.60
8906.69
58.78
2084.54
(2084.54)
2.36
2192.37
(2192.37)
61.14
4276.91
(4276.91)
20.00
1698.61
(1698.61)
1268.92
(1268.92)
20.00
2967.53
(2967.53)
58.78
2494.18
2.36
271.38
61.14
2765.56
20.00
2035.34
146.35
20.00
2181.69
7583.35
25.70
(25.70)
1474.88
-
9058.23
25.70
(25.70)
10349.36
37.84
(37.84)
1198.21
-
11547.57
37.84
(37.84)
7583.35
1474.88
9058.23
10349.36
1198.21
11547.57
747.59
11157.20
100.00
(100.00)
62.10
60.99
-
809.69
11218.19
100.00
(100.00)
354.17
11537.75
-
62.68
89.51
128.94
(128.94)
416.85
11627.26
128.94
(128.94)
11904.79
22041.10
123.09
1871.71
12027.88
23912.81
11891.92
24296.62
152.19
1496.75
12044.11
25793.37
122064.60
17792.75
139857.35
130158.12
18296.70
148454.82
72
CMYK
SCHEDULE 7 - CURRENT LIABILITIES AND PROVISIONS
(a)
Current Liabilities :
Acceptances
Sundry Creditors
Advances against Sales
Deposits from Dealers and Agents
Credit balance in Current Account
Other Liabilities
Interest accrued but not due
(b)
Provisions :
For Employee Benefits
For Excise Duties
For obligations relating discontinued operation
For Others
Per Balance Sheet
SCHEDULE 8 - SALES, SERVICES AND EXPORT INCENTIVES
(1)
Gross Turnover (Net of usual trade discounts, allowances, etc.):
(a)
Manufactured Goods (inclusive of sale of semi-finished goods)
(b)
Merchanting Goods
Less:
Excise Duties
Sales Returns
Other discounts and allowances
(2)
(3)
(4)
(5)
(6)
(7)
Share in
Joint Ventures
(Rs. in lacs)
Total
as at
31.03.2010
Consolidated
with subsidiaries
Share in
Joint Ventures
(Rs. in lacs)
Total
as at
31.03.2009
29366.25
1155.14
6952.23
811.35
3651.54
1007.91
6215.77
20.54
8.41
96.16
771.77
107.34
35582.02
1175.68
6960.64
907.51
4423.31
1115.25
507.81
30143.81
1303.33
6439.62
1559.34
5242.35
833.58
6879.22
38.87
39.83
90.39
1722.53
304.50
507.81
37023.03
1342.20
6479.45
1649.73
6964.88
1138.08
42944.42
7219.99
50164.41
46029.84
9075.34
55105.18
6204.70
179.53
2.72
798.29
76.45
3424.77
223.90
7002.99
255.98
3424.77
226.62
6465.90
191.91
10.69
45.59
51.03
1640.67
520.88
6511.49
242.94
1640.67
531.57
6386.95
4523.41
10910.36
6668.50
2258.17
8926.67
49331.37
11743.40
61074.77
52698.34
11333.51
64031.85
195221.05
20574.60
32740.43
1162.58
227961.48
21737.18
195899.67
20452.92
41421.57
661.31
237321.24
21114.23
215795.65
33903.01
249698.66
216352.59
42082.88
258435.47
1628.06
177.14
2678.68
396.55
24.22
171.91
2024.61
201.36
2850.59
2476.16
317.18
6642.29
588.48
130.64
190.12
3064.64
447.82
6832.41
4483.88
592.68
5076.56
9435.63
909.24
10344.87
Net Turnover
Commission
Income from Air Taxi Operations
Gross Income from Services
Income from Job work
Conducting Fees
Export Incentives, etc.
211311.77
162.44
697.48
436.86
1154.96
741.55
1931.26
33310.33
178.64
5.77
851.80
244622.10
162.44
697.48
615.50
1160.73
741.55
2783.06
206916.96
42.66
1111.70
597.23
1571.13
698.21
1782.82
41173.64
751.04
108.06
1195.25
248090.60
42.66
1111.70
1348.27
1679.19
698.21
2978.07
216436.32
34346.54
250782.86
212720.71
43227.99
255948.70
160.42
5.16
-
160.42
5.16
1949.18
27.66
0.18
-
1949.36
27.66
SCHEDULE 9 - OTHER INCOME
Dividends:
From Non-Trade Investments:
—
Current Investments
—
Long Term Investments
Interest Income:
—
On Investments
—
Others
165.58
-
165.58
1976.84
0.18
1977.02
191.40
1682.80
86.86
191.40
1769.66
600.34
3284.04
0.17
192.38
600.51
3476.42
1874.20
86.86
1961.06
3884.38
192.55
4076.93
3170.95
(2300.42)
222.21
63.78
3393.16
(2236.64)
(12344.12)
1906.54
(759.30)
(1840.14)
(13103.42)
66.40
870.53
1786.02
95.16
209.54
73.60
2748.47
2251.89
285.99
68.62
121.47
310.47
1156.52
1786.02
95.16
209.54
142.22
2869.94
2562.36
(10437.58)
588.48
1025.03
148.17
194.20
680.48
1190.50
(2599.44)
380.41
(13037.02)
588.48
1025.03
148.17
194.20
680.48
1570.91
10074.99
873.41
10948.40
(749.50)
(2026.30)
(2775.80)
7680.35
52217.86
998.48
15808.10
8678.83
68025.96
9675.36
85.39
49577.07
2987.35
(91.37)
15587.39
12662.71
(5.98)
65164.46
59898.21
1118.31
16806.58
38.58
76704.79
1156.89
59337.82
1701.86
18483.37
303.19
21.25
77821.19
303.19
1723.11
Less: Closing Stock
58779.90
8309.21
16768.00
2234.85
75547.90
10544.06
57635.96
7680.35
18158.93
998.48
75794.89
8678.83
Purchases of Merchanting Goods
50470.69
15301.79
14533.15
-
65003.84
15301.79
49955.61
15890.14
17160.45
494.16
67116.06
16384.30
65772.48
14533.15
80305.63
65845.75
17654.61
83500.36
Gain/(Loss) on variation in Foreign Exchange rates(Net):
—
On Loans
—
On Others
Profit on sale of Current Investments (Net)
Profit on sale of Long-term Investments (Net)
Rent and Compensation
Credit Balances appropriated (Net)
Miscellaneous Income
SCHEDULE 10 - MATERIAL COSTS
(1)
Raw Materials consumed :
Opening Stock
Add: On Joint Venture becoming Subsidiary
Add: Purchases (Includes Purchase of Semi Finished Goods)
Less: Inventory of business liquidation
Less: Sales
(2)
Consolidated
with subsidiaries
73
CMYK
Consolidated
with subsidiaries
Share in
Joint Ventures
(Rs. in lacs)
Total year
ended
31.03.2010
Consolidated
with subsidiaries
Share in
Joint Ventures
(Rs. in lacs)
Total year
ended
31.03.2009
12273.35
4936.54
17209.89
12648.83
6290.39
18939.22
Power and Fuel
11927.29
3459.86
15387.15
10915.30
4449.53
15364.83
379.74
14.40
394.14
368.03
42.53
410.56
1849.89
347.32
2197.21
1750.93
556.58
2307.51
8586.43
1214.62
9801.05
10837.13
1236.50
12073.63
35016.70
9972.74
44989.44
36520.22
12575.53
49095.75
16550.85
SCHEDULE 11 - MANUFACTURING AND OPERATING COSTS
Repairs to Buildings
Repairs to Machinery
Other Manufacturing and Operating Expenses
SCHEDULE 12 - (INCREASE)/DECREASE IN FINISHED AND PROCESS STOCK
Opening Stock:
Goods-in-Process
10659.20
1938.11
12597.31
14231.90
2318.95
On Joint Venture becoming a Subsidiary
208.23
(104.12)
104.11
548.86
(274.43)
274.43
190.55
-
190.55
79.07
42.58
121.65
31332.94
2200.71
33533.65
24286.49
6435.10
30721.59
42390.92
4034.70
46425.62
39146.32
8522.20
47668.52
Add/(Less): Inventory of discontinuing operation written down
-
(84.97)
(84.97)
-
(2432.93)
(2432.93)
Add/(Less): Inventory on liquidation of business
-
-
-
-
(702.83)
(702.83)
Goods-in-Process
12461.37
2195.17
14656.54
10659.20
1938.11
12597.31
24285.78
1066.31
25352.09
31332.94
2200.71
33533.65
169.45
-
169.45
190.55
-
190.55
36916.60
3261.48
40178.08
42182.69
4138.82
46321.51
5474.32
688.25
6162.57
(3036.37)
1247.62
(1788.75)
Closing Stock:
(Increase)/Decrease in Stocks
Add/(Less): Variation in excise duty on opening and
closing stock of finished goods
(10.85)
25.47
14.62
(13.71)
(15.61)
(29.32)
5463.47
713.72
6177.19
(3050.08)
1232.01
(1818.07)
SCHEDULE 13 - EMPLOYMENT COSTS
Salaries, Wages, Bonus, etc.
35488.86
2866.85
38355.71
34548.08
5773.52
40321.60
2317.50
133.28
2450.78
2229.45
361.30
2590.75
Workmen and Staff Welfare Expenses
1778.79
221.04
1999.83
1711.12
438.56
2149.68
39585.15
3221.17
42806.32
38488.65
6573.38
45062.03
SCHEDULE 14 - ADMINISTRATIVE, SELLING AND GENERAL EXPENSES
Insurance (Net)
Rent
Lease Rentals
Rates and Taxes
270.81
86.82
357.63
368.13
126.92
495.05
10655.32
237.70
10893.02
11091.24
362.33
11453.57
14.14
-
14.14
19.26
-
19.26
328.22
36.78
365.00
297.63
55.65
353.28
11923.54
Advertisement
9767.34
0.03
9767.37
11803.49
120.05
Commission to Selling Agents
6889.42
314.75
7204.17
6408.70
538.39
6947.09
Freight, Octroi, etc.
2946.86
666.70
3613.56
2665.34
1214.55
3879.89
270.69
924.11
12.28
936.39
126.87
143.82
Provision for Doubtful Debts, Advances and Claims
105.76
14.15
119.91
25.60
453.74
479.34
18160.67
1441.98
19602.65
20378.79
2920.64
23299.43
387.60
15.00
402.60
223.94
376.75
600.69
-
-
-
1313.56
-
1313.56
152.47
-
152.47
20.82
-
20.82
47.41
-
47.41
9.04
-
9.04
50650.13
2826.19
53476.32
54752.41
6312.84
61065.25
Interest on Debentures and Fixed Loans(Net)
7382.58
1666.09
9048.67
5222.65
2504.55
7727.20
Interest - Others
3737.13
26.90
3764.03
4925.34
138.04
5063.38
11119.71
1692.99
12812.70
10147.99
2642.59
12790.58
Miscellaneous Expenses
Loss /(Gain) on sale/discardment of fixed assets(Net)
Provision for diminution in value of Investments
Contribution to Charitable Funds, etc.
Directors’ fees
SCHEDULE 15 - FINANCE CHARGES
Discount on issue of “Commercial Papers”
-
-
-
90.13
-
90.13
Commitment and other charges on Loans
34.41
82.48
116.89
257.79
139.71
397.50
11154.12
1775.47
12929.59
10495.91
2782.30
13278.21
74
CMYK
4.
SCHEDULE 16 - NOTES FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS
1.
A. Contingent Liabilities not provided for:
The consolidated Financial Statements present the consolidated Accounts of
Raymond Limited with its following Subsidiaries, Joint Ventures (and its subsidiaries),
Associates (it’s Subsidiaries and Joint Ventures) :
Name
Country of
Incorporation
Proportion of
Ownership Interest
As on 31st
As on 31st
March 2010 March 2009
A. Subsidiaries
Indian Subsidiaries:
(a) Raymond Apparel Limited
India
100%
100%
(b) Pashmina Holdings Limited
India
100%
100%
(c) Everblue Apparel Limited
India
100%
100%
(d) J K Files (India ) Limited
(formerly Hindustan Files Limited)
India
100%
100%
(e) Colorplus Fashions Limited
India
* 100%
* 100%
(f) Silver Spark Apparel Limited
India
100%
100%
(g) Celebrations Apparel Limited
India
100%
100%
(h) Scissors Engineering Products Limited
India
100%
100%
(i)
India
$ 88.47%
$ 88.47%
(j)
JK Talabot Limited
India
# 90%
90%
India
99.90%
99.90%
India
** 100%
(k) Raymond Woollen Outerwear Limited
(l)
Solitaire Fashions Limited
(Formerly GAS Apparel Limited)
(From October 1, 2009)
*
@
-
Held by Raymond Apparel Limited
$ Held by Scissors Engineering Products Limited
# Held by J K Files ( India) Ltd.
** 50% each held by Raymond Apparel Limited and Raymond Limited
@ Joint Venture in the previous year
Foreign Subsidiaries:
(a) Jaykayorg AG
(b) J.K. (England) Limited
Switzerland
100%
100%
United Kingdom
100%
100%
(c) Regency Texteis Portuguesa, Limitada
Portugal
100%
100%
United States
of America
* 100%
* 100%
(a) Raymond Zambaiti Limited (formerly
Raymond Zambaiti Private Limited)
India
50%
50%
(b) Raymond UCO Denim Private Limited
(and its subsidiaries)
India
50%
50%
(c) Rose Engineered Products India
Private Limited
India
& 50%
& 50%
(d) Rayves Automotive Textile Company
Private Limited
India
# 33.33%
# 50%
(e) GAS Apparel Limited
(upto September 30, 2009)
India
(d) R&A Logistics Inc.
*
B.
2332.99
2494.99
(c) Bills Discounted with the Company’s
bankers. (including share of Joint
Ventures Rs. 1080 Lacs ; Previous Year
Rs. 1001.22 lacs)
2933.67
6478.35
(d) On account of guarantees given and
also on account of the indemnities
issued by the Company to the
Acquirer of shares of Recron
Synthetics Limited pursuant to an
agreement.
—
342.70
(e) On account of corporate guarantee
to the bankers, vendors on behalf of
subsidiaries for facilities availed by
them.
7371.85
8724.00
(f) Disputed demand in respect of
Income-tax etc. (interest thereon not
ascertainable at present.)
2220.93
862.73
(g) Bonds/Undertakings given by the
Company under concessional duty/
exemption scheme to Customs
authorities (including share of Joint
Ventures Rs. 418.18 lacs; Previous year
Rs. 914.00 lacs.)
11660.96
11200.98
(h) Disputed liability towards Excise Duty
on Post Removal of Goods from the
place of manufacture.
2118.90
2118.90
2378.16
7330.57
(j)
#
Held by Silver Spark Apparel Limited
@
Held by Colorplus Fashions Limited
$ 39.20%
47.66%
+ 100%
+ 50.00%
29.41%
Disputed Excise Duty Liability in
respect of other matters.
{(Includes Rs. 645.10 Lacs (Previous
Year Rs. 5750.83 Lacs) on account of
denial of excise exemption benefit)
(including share of joint venture Rs.
1.35 Lacs; Previous year Nil)}
Lia bility on account of jute
packaging obligation upto 30th June,
1997, in respect of the Company’s
erstwhile Cement Division, under the
Jute
Packaging
Materials
(Compulsor y use in packing
Commodities) Act, 1987.
(k) Guarantees issued by the Bankers
(l)
Held by Ring Plus Aqua Limited (Subsidiary
of Scissors Engineering Products Limited)
C. Associates and its Subsidiaries and Joint Ventures :
(a) P.T. Jaykay Files Indonesia
Indonesia
(b) J.K. Investo Trade (India) Limited
India
(c) J.K. Helene Curtis Limited
India
(d) J.K. Ansell Limited
India
(e) Radha Krshna Films Limited
India
$ Includes 15.20% equity shares held by Jaykayorg AG.
+ Held by J K Investo Trade ( India) Limited
3.
2539.94
Joint Ventures and its subsidiaries
&
2.
2535.88
(i)
@ 50%
$ 39.20%
47.66%
+ 100%
+ 50.00%
29.41%
31st March,
2009
(Rs. in lacs)
(a) Claims against the Company not
acknowledged as debts in respect of
past disputed liabilities of the Cement
and Steel Divisions divested during
the year 2000-2001, Carded Woollen
business divested during the year
2005-2006 and Denim Division
divested during the year 2006-07.
(interest thereon not ascertainable at
present)
(b) Claims against the Companies not
acknowledged as debts (including
share of Joint Ventures Rs . Nil ;
Previous Year Rs. 416.52 lacs)
Held by Ring Plus Aqua Limited
@ 50%
31st March,
2010
(Rs. in lacs)
Company’s liabilities/obligations
pertaining to the period upto the
date of transfer of the Company’s
erstwhile Steel, Cement, Carded
Woollen and Denim Divisions in
respect of which the Company has
given undertaking to the acquirers.
81.86
17.03
(m) Share in the Contingent Liabilities of
an Associate
678.66
669.36
(n) Estimated liability for tax matters of
foreign subsidiary
497.42
—
4801.51
7608.63
B.
Estimated amount of contracts remaining
to be executed on capital account and
not provided for (net of advances)
[including Rs. 0.09 lacs (Previous year
Rs.Nil ) being share in an Associate
Company] [including share of Joint
Ventures Rs. 215.94 lacs (Previous year
Rs. 58.96 lacs)]
C. The Company along with the Joint
Venture Partner has under taken to
additionally fund RUDPL in case it fails to
meet certain covenants of the Facility
cum Hypothecation Agreement entered
into with a Bank. Further the Company
has alongwith its Joint Venture Partner,
pledged its entire shareholding in RUDPL
with a bank, as security for loan taken by
a subsidiary of RUDPL to meet employee
separation costs.
Significant Accounting Policies and Notes to these Consolidated Financial
Statements are intended to serve as a means of informative disclosure and a guide
to better understanding the consolidated position of the Companies. Recognising
this purpose, the Company has disclosed only such Policies and Notes from the
individual financial statements, which fairly present the needed disclosures.
The Company has, during the year, discontinued manufacturing operations at its
textile plant at Thane. The Company has, at the close of the year, assessed carrying
value of fixed assets retired from active use based on valuation by experts. On the
basis of such valuations, there is no impairment on the carrying value of fixed assets.
Certain workmen have accepted the voluntary retirement schme offered by the
Company. The Company is in discussion with balance workmen for an amicable
settlement.
75
CMYK
5.
6.
Year ended
31st March,
2010
(Rs. in lacs)
Year ended
31st March,
2009
(Rs. in lacs)
223.01
(66.46)
20.53
212.73
(53.62)
(3.30)
177.08
155.81
(3752.68)
(348.75)
(3537.69)
—
—
(10314.30)
115.09
(670.76)
—
(20.97)
(1084.04)
11.01
—
—
(8248.31)
(11354.78)
Prior period adjustments represent:
Debits relating to earlier years
Credits relating to earlier years
Depreciation/Amortisation adjustments (net)
Subsidaries of Raymond Uco Denim Private Limited
Exceptional Items:
(a) VRS/Termination payments
(b) Provision for social obligation, impairment
of assets of subsidiaries of Raymond Uco
Denim Company Private Ltd. a Joint
Venture of the Company
(c) Closure of operations by two subsidiaries
of Raymond Uco Denim Private Limited,
a Joint Venture Company(Refer Note 9 (a))
(d) Gain / (Loss) on Joint Venture becoming
Subsidiaries (Net)
(e) Loss upon liquidation of a subsidiary
(Raymond Europe Srl).
(f) Loss upon liquidation of a subsidiary
(Regency) (Refer Note 9 (b))
(g) Profit on sale of investment in Joint Venture
7
10. The disclosures with respect to these discontinuing operations are as under:
Deferred Tax:
(b) Deferred Tax Asset on account of:
(i) VRS payments
(ii) Employee benefits
(iii) Taxes, Duties, Cess, etc.
(iv) Provision for doubtful debts, etc.
(v) Provision for diminution in value of
investments
(vi) Unabsorbed depreciation and losses*
(vii) Others
Net Cash flows:
Operating Activity
Investing Activity
Financing Activity
215.20
361.84
(587.43)
(1456.58)
1869.62
(651.84)
1.
12620.22
—
13726.91
—
11506.21
318.26
12620.22
13726.91
11824.47
940.79
1397.26
208.12
409.44
346.22
1664.67
218.65
405.32
561.76
1519.88
215.23
135.60
0.98
7455.07
89.97
7.42
8168.96
161.42
0.78
2908.20
46.57
10501.63
10972.66
5388.02
2118.59
2754.25
6436.45
Relationships:
(a) Joint Ventures:
Raymond Zambaiti Limited (formerly Raymond Zambaiti Private Limited)
GAS Apparel Ltd. (upto 30.09.2009)
Rose Engineered Products India Pvt. Ltd.
Raymond Uco Denim Private Limited
Rayves Automotive Textiles Co. Pvt. Ltd.
(b) Related parties where company has significant influence:
P. T. Jaykay Files Indonesia
J.K. Helene Curtis Limited
J.K. Ansell Limited
Radha Krshna Films Limited
(c) Key Management Personnel, their relatives and their enterprises where
transactions have taken place:
Mrs. Asha Devi Singhania
Mr. Gautam Hari Singhania
Mr. Desh Deepak Khetrapal (w.e.f. 20/06/2009).
Silver Soaps Private Limited
Avani Agricultural Farms Private Limited
Note: Related party relationship is as identified by the Company and relied
upon by the Auditors.
2.
Transactions carried out with related parties referred in 1 above, in ordinary
course of business:
Nature of transactions
Purchases:
Goods and Materials
Fixed Assets
Sales:
Goods and Materials
Fixed Assets
Expenses:
Rent and other service
charges
Job Work Charges
Agency Commission
Remuneration
Interest paid
Professional Fees
Directors’ Fees
Other reimbursement
Income:
Rent and other service
charges
Interest and dividend
received
Other Receipts:
Deputation of staff
Other reimbursement
Finance:
Loans and Advances
given
Investments
Outstandings:
Payable
Receivable
Agency Deposits
received
Loans and Advances
given
Property Deposits paid
Property Deposits
received
Variation between the Accounting Policies followed by various entities within the
group:
(a) The foreign subsidiaries, listed in Note 1A above, have not accounted for
deferred taxation.
(b) Accounting for improvements to Leasehold Premises by Raymond Limited is in
variation to the methods adopted by other entities in the group.
The impact of the above, in the opinion of the management, would not be
significant.
9.
1805.82
4517.19
12039.64
15687.07
—
11. Related parties disclosures:
* As a matter of prudence, unabsorbed depreciation and losses have been
recognised only to the extent there is Deferred Tax Liability.
8.
2008-09
677.10
1926.39
—
—
(223.29)
As at
As at
As at
31-3-2010 31-3-2009
31-3-2008
(Rs. in lacs) (Rs. in lacs) (Rs. in lacs)
(a) Deferred Tax Liability on account of:
Depreciation (net)
Others
Deferred Tax (Net)
2009-10
Total Assets at the close of the year
Total Liabilities at the close of the year
Revenue from ordinary activities
Expenses from ordinary activities
Loss from post closure activity of (USI)
Following subsidiaries which are included in textile segment have discontinued
their operations for the reasons stated therein:
(a) Subsidiaries of Raymond UCO Denim Private Limited have closed their
operations:
(i) UCO Sportswear International NV (Belgium) [USI] had opted for voluntary
liquidation under the local Belgian laws and the operations were closed in
December 2008. Accordingly, the financial statements of this subsidiary have
not been consolidated after December 2008. The net investment in this
subsidiary has been reduced to Nil. Further, based on the expected realization
of assets (as per the respective valuators reports), which is subject to
uncertainties of realization, a sum of Rs. 1640.67 lacs was provided in the
previous year. Further during the year Rs. 1784.10 lacs has been provided for
the estimated amount of the liabilities towards social obligation.
(ii) UCO Fabrics Inc (USA) [UFI] based on its decision in September 2008 has
closed its plants in December 2008. The assets of this subsidiary are being
liquidated and liabilities are being settled. The assets of the Company have
been reduced to the lower of estimated realizable value (based on the
management’s estimate) and book value and the fixed assets have been
grouped under ‘Other Current Assets’ in Schedule 6 as “Assets held for
disposal”. During the year, the company sold one of its plant and the sale
of second plant is expected to be completed by September 2010.
(b) Regency Texteis Portugesa, Limitada (Regency) wholly owned subsidiary of
Raymond Ltd has filed insolvency petition in a court under the local Portugal
laws and the operations were closed in September 2009. Accordingly, the
financial statements of this subsidiary have not been consolidated after
September 2009. The net investment in this subsidiary has been reduced to Nil.
The auditors have, under these circumstances and uncertainties of realisability,
placed reliance on the Management’s judgement and have accepted the
same for the purpose of these financial statements.
76
(Rs. in lacs)
Related Parties
Referred in
Referred in
Referred in
1(a) above
1(b) above
1(c) above
Current Previous Current Previous Current Previous
year
year
year
year
year
year
3081.63
—
2451.04 1204.34
6.78
—
1048.16
—
—
—
—
—
765.72
—
782.57
36.27
196.53
—
520.75
—
—
—
—
—
1.10
—
—
—
—
—
—
655.36
1.20
257.92
—
—
—
—
—
57.94
204.00
615.91
808.37
—
21.10
—
—
150.04
962.58
—
642.27
—
21.10
—
—
16.27
40.80
—
—
482.80
—
132.36
2.00
—
40.80
—
—
427.78
—
134.59
1.40
—
17.87
19.66
67.10
42.40
—
—
0.77
506.58
—
2.36
—
—
67.89
1558.66
136.67
1613.76
280.90
136.75
212.46
50.45
—
—
—
—
—
620.86
—
1387.10
—
—
—
—
—
—
—
—
800.26
666.61
1241.63
825.96
712.65
30.09
409.25
350.67
5.67
—
—
—
—
—
—
211.02
—
—
3665.23
—
1.00 2935.85
—
2935.85
—
50.00
—
50.00
—
—
—
—
1.00
1.00
—
—
CMYK
12. SEGMENT INFORMATION
A. BUSINESS SEGMENT
(Rs. in lacs)
Particulars
Textiles
Garment
Files
Denim
Auto Components
Others
Elimination
Total
Current
year
Previous
year
Current
year
Previous
year
Current
year
Previous
year
Current
year
Previous Current Previous
year
year
year
Current
year
Previous
year
Current
year
Previous
year
Segment Revenue
External Revenue
Inter-Segment Revenue
122679.88
2349.59
110248.74
2985.71
71356.06
513.41
77547.65
13.92
20796.95
8.51
21604.41
59.11
25719.11
-
35176.57
-
8740.54
-
9557.21
-
1490.32
61.90
1814.12
348.87
(2933.41)
(3407.61)
250782.86 255948.70
-
Total Revenue
125029.47
113234.45
71869.47
77561.57
20805.46
21663.52
25719.11
35176.57
8740.54
9557.21
1552.22
2162.99
(2933.41)
(3407.61)
250782.86 255948.70
16322.59
14426.94
4987.69
2459.82
2805.77
3069.29
(123.17)
(5809.55)
714.76
285.29
(2067.80)
(1866.97)
74.35
381.98
22714.19
-
-
-
-
(1.02)
(27.37)
-
(59.93)
(32.00)
-
(60.95)
(59.37)
16322.59
14426.94
4987.69
2459.82
2804.75
3041.92
(5809.55)
654.83
253.29
381.98
22653.24
12887.43
Segment Result
(Less):
Minority Interest
(123.17)
(2067.80)
(1866.97)
74.35
Unallocated income/
(expenses) (Net)
Finance charges
Interest Income
Exceptional Items
Excess/(Short) provision for tax
in respect of earlier years
Provision for Taxes
Share of Profit in Associate
Companies
Previous
year
12946.80
(7604.12) (17567.19)
(12929.59) (13278.21)
1961.06
4076.93
(8248.31) (11354.78)
Net Profit
(21.09)
(1085.18)
0.95
2044.27
679.35
402.88
(4594.65) (22787.72)
Other Information:
Segment Assets
Unallocated assets
148743.47
155259.13
54190.75
61591.42
10737.10
10527.15
26049.61
29563.73
7264.62
6844.20
9942.00
11362.36
(1877.70)
(2234.81)
30392.10
30590.93
-
8749.95
13007.21
-
4688.90
81.16
4196.76
80.56
10557.99
8865.86
2046.53
652.93
1397.39
593.00
251.68
401.19
(1904.18)
(1259.00)
-
Total Assets
255049.83 272913.18
95673.18 98505.92
350723.01 371419.10
Segment Liabilities
Minority Interest
Unallocated Liabilities
Total Liabilities
54782.97 57200.34
734.09
673.56
177618.51 191883.65
233135.57 249757.55
Capital Expenditure
Segment capital expenditure
Unallocated capital expenditure
2476.34
40207.54
1716.79
4816.52
6175.47
311.44
277.05
4647.90
430.28
629.68
3.06
152.50
-
-
Total capital expenditure
Depreciation and Amortisation:
Segment depreciation and
amortisation
Unallocated depreciation and
amortisation
9978.82
7560.69
2811.54
3101.76
383.47
360.97
2088.03
3205.67
510.16
441.87
656.76
678.14
-
-
Total depreciation and amortisation
Significant Non Cash Expenditure:
Segment Significant Non Cash
Expenditure
Unallocated non cash expenditure
-
-
126.95
427.00
-
-
-
-
26.48
7.16
-
-
-
-
Total Significant Non Cash
Expenditure
B.
Current
year
11078.98
2226.42
50765.58
4363.08
13305.40
55128.66
16428.78
15349.10
1225.05
1306.13
17653.83
16655.23
153.43
434.16
1313.56
153.43
1747.72
GEOGRAPHICAL SEGMENT
(Rs. in lacs)
Particulars
India
Rest of the world
Total
Current year
Previous Year
Current year
Previous Year
Current year
Previous Year
Segment Revenue
199137.15
184739.74
51645.71
71208.96
250782.86
255948.70
Carrying cost of segment assets
240309.67
256908.76
14740.16
16004.42
255049.83
272913.18
11073.00
45799.33
5.98
4966.25
11078.98
50765.58
Additions to Fixed Assets and Intangible Assets
C. OTHER DISCLOSURES
1.
Segments have been identified in line with the Accounting Standard on Segment Reporting (AS-17) taking into account the organisation structure as well as the
differential risks and returns of these segments.
2.
The Company has disclosed Business Segment as the primary segment.
3.
Types of products and services in each business segment:
Business Segment
Types of Products and services
a) Textiles
-
Fabric, rugs, blankets, shawls and furnishing fabric
b) Denim
-
Denim fabric and cotton yarn
c) Garments
-
Readymade garments and designerwear
d) Files and Tools
-
Engineers’ files and rasps, H.S.S. twist drills and bars and rods (HRS)
e) Auto Components -
Starter Gear, Shaft Bearings and Sheet metal components
f)
Aviation, Home Living etc.
Others
-
4.
Inter Segment revenues are recognised at sales price.
5.
The Segment Revenues, Results, Assets and Liabilities include the respective amounts identifiable to each of the segment and amounts allocated on a reasonable
basis.
77
CMYK
As at
31st March,
2010
(Rs. in lacs)
As at
31st March,
2009
(Rs. in lacs)
134.71
134.71
381.19
398.03
(0.33)
30.51
515.57
563.25
CONSOLIDATED FINANCIAL STATEMENTS
ANNEXURE I
STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES
(annexed to and forming part of the Accounts for the year ended 31st March, 2010)
13. Investments in equity shares of Associates:
(a) P.T. Jaykay Files Indonesia
Add: Share of accumulated reserves/profits
Add: Share of current profits
Less: Exchange fluctuation on opening
retained earnings
(b) J.K. Investo Trade (India) Limited
Add: Share of accumulated reserves/profits
0.66
47.35
514.91
515.90
326.12
326.12
2721.12
2397.35
Add: Share of current profits
671.58
323.77
3718.82
3047.24
*
*
Year ended
31st March,
2010
(Rs. in lacs)
Year ended
31st March,
2009
(Rs. in lacs)
(5014.88)
(22976.37)
(177.08)
(155.81)
(60.95)
(59.37)
(8.10)
(48.60)
I.
BASIS OF PREPARATION OF FINANCIAL STATEMENTS :
(i)
(ii) The financial statements have been prepared under the historical cost
convention on the accrual basis of accounting. The accounts of the Parent
Company, Indian Subsidiaries and Joint Venture Companies have been
prepared in accordance with the Indian Accounting Standards and those of
the foreign subsidiaries have been prepared in accordance with the local
laws and the applicable Accounting Standards/generally accepted
accounting principles.
II.
PRINCIPLES OF CONSOLIDATION :
(i)
(c) Radha Krshna Films Limited (including
goodwill Rs.18.22 lacs ).
* Being provision made for diminution in the
value of investments
Add/(Less): Prior period adjustments
Minority Interest
Share of tax on dividends
The financial statements of the Parent Company and its subsidiaries have been
consolidated on a line-by-line basis by adding together the book values of
like items of assets, liabilities, income and expenses, after eliminating intra-group
balances, intra-group transactions and the unrealised profits.
(ii) The financial statements of the Parent Company and its subsidiaries have been
consolidated using uniform accounting policies excepting the revaluation of
assets by companies referred above. Further, accounting for improvements to
Leasehold Premises by Raymond Limited is in variation to the methods adopted
by other entities in the group.
(iii) The excess of the cost to the Parent Company of its investments in each of the
subsidiaries over its share of equity in the respective subsidiary, on the acquisition
date, is recognised in the financial statements as goodwill and amortised over
a period of ten years. Fluctuation to goodwill in respect of foreign subsidiary
arising subsequent to acquisition, on translation at the year end rate, is included
in the currency fluctuation reserve
14. Computation of Profit for Earnings per Share:
Profit/(Loss) for the year after tax
The financial statements of the subsidiaries used in the consolidation are drawn
upto the same reporting date as that of the Parent Company, i.e. year ended
31st March. The foreign subsidiaries follow January to December as their
financial year. In the case of these foreign subsidiaries the Company has
redrawn their financial statements for the year ended 31st March.
III. RECOGNITION OF INCOME AND EXPENDITURE :
(i)
Revenues/Incomes and Costs/Expenditure are generally accounted on
accrual, as they are earned or incurred.
(ii) Compensation to employees under Voluntary Retirement Scheme (VRS) is
written off in the year in which incurred.
(Short)/Excess provision for tax
(21.09)
0.95
Share of Profit in Associate Companies
679.35
402.88
(4602.75)
(22836.32)
Add /(Less): Exceptional Items (net of tax)
7001.67
10482.31
Profit excluding Exceptional Items
2398.92
(12354.01)
61,380,853
61,380,853
10.00
10.00
(a) By Indian Companies - on WDV/SLM method and at rates under the
Companies Act, 1956.
(7.50)
(37.21)
3.91
(20.13)
(b) By foreign subsidiaries - on methods and at rates permissible under
applicable local laws or at such rates so as to write off the value of assets
over its useful life.
Profit including Exceptional Items
Weighted average number of Equity Shares
outstanding during the year
IV. FIXED ASSETS :
The fixed assets of the Parent Company (other than livestock) and other subsidiaries
are stated at cost, less accumulated depreciation/amortisation (other than
freehold land where no depreciation is charged). Livestock are stated at book
value.
V.
Nominal value per Share in Rupees
Basic and diluted earnings per share including
exceptional items (in Rs.)
Basic and diluted earnings per share excluding
exceptional items (net of tax) (in Rs.)
METHOD OF DEPRECIATION AND AMORTISATION :
(i)
Depreciation on Fixed Assets is provided :
(ii) Cost of technical know-how capitalised is amortised over five years.
15. Previous year’s figures have been regrouped / recast wherever necessary.
(iii) Cost of Customised Software is amortised over a period of three to six years
thereof.
16. Significant Accounting Policies and Practices - Annexure I.
(iv) Cost of Trademarks acquired is amortised over a period of five years thereof.
(v) Goodwill arising on consolidation is amortized over a period of ten years.
For and on behalf of
DALAL & SHAH
Firm Registration
Number 102021W
H. SUNDER
SHISHIR DALAL
Partner
THOMAS FERNANDES
Company Secretary
P. K. BHANDARI
Director
VI. INVESTMENTS :
Investments are classified into Current and Long-term Investments. Current
investments are stated at the lower of cost and fair value. Long-term Investments
are stated at cost. A provision for diminution is made to recognise a decline, other
than temporary, in the value of Long-term Investments.
VII. VALUATION OF INVENTORIES :
(i)
The inventories resulting from intra-group transactions have been stated at
cost after deducting unrealised profit on such transactions.
(ii) Goods in transit are stated ‘at cost’.
(iii) Inventories are stated ‘at cost or net realisable value’, whichever is lower.
(iv) Cost comprise of all costs incurred in bringing the inventories to their present
location and condition. Cost formulae used are either ‘average cost’ or ‘specific
identification’, as applicable. Due allowance is estimated and made for
defective and obsolete items, wherever necessary, based on the past
experience.
(v) All the costs incurred on un-invoiced conversion contracts are carried forward
as “Accumulated Costs on Conversion Contracts”
78
CMYK
VIII. FOREIGN CURRENCY TRANSLATIONS :
XII TAXATION :
(i)
For the purpose of consolidation, the amounts appearing in foreign currencies in
the Financial Statements of the foreign subsidiaries are translated at the following
rates of exchange:
Indian Companies - Income-tax expense comprises current tax and deferred
tax charge or credit. Provision for current tax is made on the basis of the taxable
income at the tax rate applicable to the relevant assessment year. The deferred
tax asset and deferred tax liability is calculated by applying tax rate and tax
laws that have been enacted or substantively enacted by the Balance Sheet
date. Deferred tax assets arising mainly on account of brought forward losses
and unabsorbed depreciation under tax laws, are recognised, only if there is
a virtual certainty of its realisation, supported by convincing evidence. Deferred
tax assets on account of other timing differences are recognised only to the
extent there is a reasonable certainty of its realisation. At each Balance Sheet
date, the carrying amount of deferred tax assets are reviewed to reassure
realisation.
(a) Average rates for the incomes and expenditure.
(b) The year-end rates for the assets and liabilities.
IX. FOREIGN CURRENCY TRANSACTIONS BY INDIAN COMPANIES :
(i)
All transactions in foreign currency, are recorded at the rates of exchange
prevailing on the dates when the relevant transactions take place;
(ii) Monetary items in the form of Loans, Current Assets and Current Liabilities in
foreign currency, outstanding at the close of the year, are translated in Indian
Currency at the applicable rates of exchange prevailing on the date of the
Balance Sheet. Resultant gain or loss is accounted during the year;
(ii) J.K. (England) Limited - Provision is made for taxation deferred as a result of
material timing differences between the incidence of income and expenditure
for taxation and accounts purposes, using the liability method, only to the
extent that, in the opinion of the Directors, there is a reasonable probability
that a liability or asset will crystallise in the near future.
(iii) In respect of Forward Exchange contracts entered into to hedge foreign
currency risks, the difference between the forward rate and exchange rate at
the inception of the contract is recognized as income or expense over the life
of the contract. Further, the exchange differences arising from translation at
the year end rate on such contracts are recognised as income or expense
along with the exchange differences on the underlying assets / liabilities. Further,
in case of other contracts with committed exchange rates, the assets/liabilities
are accounted at the rate so committed. Profit or loss on cancellations /
renewals of forward contracts is recognised during the year. In case of option
contracts, the losses are accounted on mark to market basis.
X.
(iii) Other foreign subsidiaries do not recognise the deferred tax assets/liabilities.
XIII IMPAIRMENT OF ASSETS:
The carrying amounts of assets are reviewed at each Balance Sheet date if there
is any indication of impairment based on internal/ external factors. An asset is
impaired when the carrying amount of the asset exceeds the recoverable amount.
An impairement loss is charged to the Profit & Loss Account in the year in which
an asset is identified as impaired. An impairment loss recognised in prior accounting
periods is reversed if there has been change in the estimate of the recoverable
amount.
XIV.GOVERNMENT GRANTS:
EMPLOYEE BENEFITS :
Defined Contribution Plans such as Provident Fund etc., are charged to the Profit
and Loss Account as incurred.Defined benefit Plans - The present value of the
obligation under such plan, is determined based on an actuarial valuation using
the Projected Unit Credit Method, Actuarial gains and losses arising on such
valuation are recognised immediately in the Profit and Loss Account. In case of
funded defined benefit plans the fair value of the plan assets is reduced from the
gross obligation under the defined benefit plans, to recognise the obligation on
net basis.Other Long term Employee Benefits are recognised in the same manner
as Defined Benefit Plans.Termination benefits are recognised as and when incurred.
XI
Grants received against specific fixed assets are adjusted to the cost of the assets
and those in the nature of promoter’s contribution are credited to capital Reserve.
Revenue Grants are recognised in the Profit and Loss Account in accordance
with the related scheme and in the period in which these are accrued.
XV. PROVISIONS:
A provision is recognised when there is a present obligation as a result of a past
event, that probably requires an outflow of resources and a reliable estimate can
be made to settle the amount of obligation. Provision is not discounted to its present
value and is determined based on the last estimate required to settle the obligation
at the year end. These are reviewed at each year end and adjusted to reflect the
best current estimate.
BORROWING COSTS
Interest and other borrowing costs attributable to qualifying assets are
capitalised.Other interest and borrowing costs are charged to revanue.
DETAILS OF BALANCE SHEET AS AT 31ST MARCH, 2010 AND INCOME AND EXPENDITURE FOR THE YEAR ENDED
31ST MARCH, 2010 OF SUBSIDIARY COMPANIES
Indian Subsidiaries (Rs. in lacs)
Particulars
Raymond Pashmina
Apparel Holdings
Limited
Limited
Foreign Subsidiaries (Rs. in lacs)
JK Files Colorplus
Silver Celebrations
Scissors Ring Plus Raymond
JK
(India) Fashions
Spark
Apparel Engineering
Aqua
Woollen Talabot
Limited
Limited Apparel
Limited
Products Limited Outerwear Limited
Limited
Limited
Limited
1. Share Capital
3630.00
1500.00
3074.07
498.00
1700.00
271.00
2743.05
760.66
1696.00
2. Reserves and Surplus
9125.69
776.09 (1273.11)
1036.75
6919.35
99.43
(50.77)
(27.51)
4866.01
(3072.09)
-
-
-
-
-
-
-
-
-
3. Miscellaneous Expenditure
to the extent not written off
74.00
Everblue
Apparel
Limited
805.44
Solitaire Raymond
Jaykayorg
Regency
R&A
Fashions (Europe)
AG
Texteis
Logistics
Limited
Limited (Switzerland) Portuguesa, Inc.(United
(United
Limitada
States of
Kingdom)
(Portugal) America)
in (Rs.)
3700.00
0.03
0.98
-
0.14
61.35 (5094.14)
136.39
2190.45
-
39.43
-
-
-
-
-
-
4. Total Assets
31773.62
1160.53
4126.89 14832.48
11386.98
8206.28
2655.90
2715.82
8290.81
4429.36 1988.85
129.12
342.12
2289.94
-
318.55
5. Total Liabilities @
19017.93
310.44
3900.00 10721.66
3969.63
6406.85
2435.67
0.28
2664.14
5805.45 1122.06
1523.26
205.70
98.51
-
278.98
6. Details of Investments
- Government Securities
0.01
-
-
-
-
-
-
-
-
0.20
-
-
-
-
-
- Shares (excluding
subsidiaries)
8.05
13.81
-
-
-
-
-
-
693.20
-
-
-
-
-
-
-
-
-
- Mutual Funds
-
25.41
40188.49
31.12
8. Profit Before Taxation
870.46
9. Provision for Taxation *
325.19
10. Profit After Taxation
545.27
7. Turnover and
Other Income
11. Proposed Dividend
-
-
-
-
753.91 13539.07
15553.19
8475.62
1771.39
3.47
214.63
765.14
(405.46)
637.93
258.28
(0.34)
8.26
-
307.32
(65.32)
332.09
49.61
-
(4.79)
214.63
457.82
(340.14)
305.84
208.67
(0.34)
-
0.04
-
-
-
253.59
-
-
-
296.59
-
-
4696.70 1651.11
2790.21
1023.15
713.75
2216.31
795.53
782.50
(143.77)
114.89
1836.31
(113.75)
(502.58)
(554.24)
4.35
274.61
0.17
31.87
168.89
(11.45)
1.28
-
0.91
507.89
(143.94)
83.02
1667.42
(125.20)
(503.86)
(554.24)
3.43
-
-
-
-
-
-
-
8015.26
@
Includes deferred tax liability (net); * Net of excess/short provision for tax in respect of earlier years.
Note - In respect of foreign subsidiaries:
a)
b)
Item Nos. 1 to 6 and 11 are translated at exchange rates as on 31st March, 2010 as follows: Pound Sterling = Rs.68.03, Swiss Francs = Rs.42.42, Euro = Rs.60.56 and US Dollars = Rs. 45.14;
Item Nos. 7 to 10 are translated at annual average exchange rates as follows: Pound Sterling = Rs.75.81, Swiss Francs = Rs.44.62, Euro = Rs.67.06 and US Dollars = Rs. 47.41.
The above details have been annexed in terms of Letter No.47/167/2010-CL-III dated April 23, 2010 issued by Government of India, Ministry of Corporate Affairs under Section 212(8) of the Companies Act, 1956.
79
CMYK
ADDITIONAL INFORMATION AS REQUIRED UNDER PART IV OF SCHEDULE VI TO THE COMPANIES ACT, 1956
BALANCE SHEET ABSTRACT AND COMPANY’S GENERAL BUSINESS PROFILE
I.
REGISTRATION DETAILS
Registration No.
Balance Sheet Date
II.
III.
1 2 0 8
3 1
.
0 3
.
State Code
1 0
CAPITAL RAISED DURING THE YEAR (AMOUNT IN RS. THOUSANDS)
Public Issue
N
I
L
Rights Issue
N
I
L
Bonus Issue
N
I
L
Private Placement
N
I
L
POSITION OF MOBILISATION AND DEPLOYMENT OF FUNDS (AMOUNT IN RS. THOUSANDS)
Total Liabilities
2 4 4 6 6 6 9 5
Total Assets
SOURCES OF FUNDS
Reserves & Surplus
6 1 3 8 0 8
1 1 1 1 5 2 9 9
Net Fixed Assets
9 8 2 0 6 1 3
Investments
8 9 1 7 8 5 6
5 7 2 8 2 2 6
Secured Loans
7 5 6 9 5 6 1
Net Current Assets
Unsecured Loans
4 9 5 7 5 2 4
Misc. Expenditure
N
I
L
Accumulated Losses
N
I
L
Deferred Tax Liability
2 1 0 5 0 3
PERFORMANCE OF COMPANY (AMOUNT IN RS. THOUSANDS)
Turnover
1 4 2 7 0 6 4 8
Profit Before Tax
Earning per Share in Rs.
V.
2 4 4 6 6 6 9 5
APPLICATION OF FUNDS
Paid-up Capital
IV.
1 1
Total Expenditure
2 0 0 4 3 4
4
.
1 4 0 8 3 2 9 0
Profit After Tax
0 8
Dividend %
GENERIC NAMES OF PRINCIPAL PRODUCTS/SERVICES OF THE COMPANY (AS PER MONETARY TERMS)
ITEM CODE NO. (ITC CODE)
PRODUCT DESCRIPTION
51121900, 51123000, 55151300 & 55151100
Woollen, Polyester/Wool Blended and Polyester/
Viscose Blended Fabrics
82031000 & 82075000
Files, Rasps, similar tools and H.S.S. Drills
N.A.
Air Taxi Operations
80
2 6 3 6 5 1
N
I
L
CMYK
Infomedia 18 Limited
CMYK

Infomedia 18 Limited - domain-B

Transcription

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