Atul Ltd 2010-11

Schedules forming part of the accounts SCHEDULE 16 NOTES FORMING PART OF THE ACCOUNTS (contd) 17 Loans and advances in nature of loans ( ` crores) Particulars Amount outstanding as at March 31, 2011 Maximum balance during the year (i) Subsidiary: Ameer Trading Corporation Ltd (including interest) 13.40 13.40 (ii) Associate company: Amal Ltd 14.88 21.29 (iii) Loan to other: Atul club 1.42 1.42 Note: (a) No repayment Schedule for (i) and (iii) (b) Loans given to employees as per the policy of the Company are not considered. 18 Employee benefits (a) Defined benefit plans: Expenses recognised for the year ended on March 31, 2011 (included in Schedule 13 of Profit and Loss Account) ( ` crores) Particulars 2010-11 Gratuity funded 2009-10 Gratuity funded 1 Current service cost 1.40 1.38 2 Interest cost 2.36 2.06 Amounts receivable or payable in foreign currency on account of the following: Current Year Previous Year Particulars US$ equivalent (crores) Euro equivalent (crores) Others equivalent (crores) US$ equivalent (crores) Euro equivalent (crores) Others equivalent (crores) Debtors 2.62 0.27 - 2.34 0.45 0.01 Creditors 0.57 - 0.13 0.92 - 0.02 Loans Taken 2.51 - - 1.44 - - (c) Financial derivatives hedging transactions: Pursuant to the announcement issued by the Institute of Chartered Accountants of India dated March 29, 2008 in respect of forward exchange contracts and currency and interest rate swaps, the Company has applied the Hedge accounting principles set out in the Accounting Standard (AS) 30 ‘Financial Instruments: Recognition and Measurement’. Accordingly, range forward contracts are marked to market and the loss aggregating ` 5.09 crores (Previous year ` 15.03 crores) arising consequently on contracts that were designated and effective as hedges of future cash flows has been recognized directly in the hedging reserve account. Actual gain or loss on exercise of these range forward contracts or any part thereof is recognised in the Profit and Loss account. Hedge accounting will be discontinued if the hedging instrument is sold, terminated or no longer qualifies for hedge accounting. 86 | 87