Atul Ltd 2010-11

Schedules forming part of the accounts SCHEDULE 16 NOTES FORMING PART OF THE ACCOUNTS (contd) As per our attached report of even date For and on behalf of the Board of Directors For Dalal & Shah Firm Registration No. 102020W Sunil S Lalbhai Chartered Accountants Chairman & Managing Director G S Patel S S Baijal B S Mehta H S Shah S Venkatesh S M Datta Partner R A Shah Samveg A Lalbhai Membership No. F-037942 T R Gopi Kannan V S Rangan Managing Director Mumbai President, Finance & B N Mohanan Mumbai May 13, 2011 Company Secretary Directors May 13, 2011 19 Included under Loans and Advances is an amount of ` 11.29 crores (Previous year ` 21.29 crores) given to an associate company. The said company is registered under BIFR and is implementing its revival plan. First charge over all their assets has been assigned exclusively in favour of the Company. The Company has also given an unsecured loan of ` 3.59 crores (Previous year ` Nil) as Promoters contribution (repayable in two equal instalments in financial year 2015-16 and 2016-17). Considering the progress of the revival plan, the present market value of assets, etc these amounts included under loans and advances are considered as good and recoverable. 20 The Company has revalued (i) Leasehold land and (ii) Commercial land & building at Ahmedabad, Mumbai and Delhi as at March 31, 2008 at fair market value as determined by an independent valuer appointed for the purpose. Resultant increase in book value amounting to ` 107.47 crores has been transferred to Revaluation Reserve. 21 In the opinion of the management, the diminution in the value of the investment as shown in Schedule 6, held by the Company is temporary in nature and accordingly, no provision is considered necessary by the management. 22 Significant accounting policies followed by the Company are as stated in the statement annexed to this schedule. 23 Figures of the previous year have been regrouped | recast | reclassifed wherever necessary. 24 Figures less than ` 50000 has been shown at actual in bracket as the figures have been rounded off to nearest crores. 18 Employee benefits (contd) Experience adjustments ( ` crores) Particulars As at March 31, 2011 As at March 31, 2010 As at March 31, 2009 Experience adjustments on: 1 (Gain)| loss on plan liabilities 3.82 2.96 0.29 2 (Gain)| loss on plan assets 0.53 2.63 (2.18) (b) Defined contribution plan: Amount of ` 6.21 crores (Previous year ` 5.99 crores) is recognised as expense and included in the Schedule 13 “Contribution to Provident and Other Funds” to the Profit and Loss Account. (c) The estimates of future salary increases, considered in actuarial valuation, take account of inflation, seniority, promotion and other relevant factors, such as supply and demand in the employment market. Mortality rates are obtained from the relevant data. (d) Amount recognised as an expense in respect of compensated leave absences is ` 2.42 crores (Previous year ` 2.21 crores). 88 | 89