Atul Ltd 2020-21

61 Corporate Overview 01 - 21 Statutory Report 22 - 87 Financial Statements 88 - 229 5.4 Related party transactions The Company has formulated a Related Party Transactions Policy and the same is disclosed on the website of the Company at www.atul.co.in/investors/policies 5.5 ‘Material’ subsidiary companies The Company has formulated a policy for determining ‘material’ subsidiary companies and the same is disclosed on the website of the Company at www.atul.co.in/investors/policies 5.6 Familiarisation programs The details of Familiarisation programs imparted to Independent Directors are disclosed on the website of the Company at www.atul.co.in/about/directors/ 5.7 Commodity price risk or foreign exchange risk and hedging activities i) Risk management policy on commodities, including through hedging T he Company has in place a Risk Management Policy and mechanism to assess risks, periodically review it and steps are taken to mitigate the risks. The Company uses certain raw materials, which are derivatives of various commodities, from various sources, for manufacturing products of the Company. Hedging products are not available for the major chemicals purchased by the Company. However, for minimising procurement risk for short duration, the Company enters into annual purchase contracts for key raw materials linked to input costs | published benchmark prices. ii) Exposure of the Company to commodity and commodity risks faced throughout the year: not applicable iii) Foreign exchange risks are tracked and managed within the risk management framework. Short-term foreign currency asset - liability mismatch is continuously monitored and hedged. The foreign exchange market is highly regulated and the Company ensures compliance with all the regulations. 5.8 Credit ratings Credit Analysis and Research Ltd maintained its credit rating at ‘AA+’ and stable outlook for long-term borrowings and ‘A1+’ for short-term borrowings. 6. Affirmation and disclosure There were no materially significant related party transactions, pecuniary transactions or relationships between the Company and its Directors or the Management and their subsidiary companies or relatives, among others, during 2020-21 that may have a potential conflict with the interests of the Company at large. All details relating to financial and commercial transactions where the Directors may have a pecuniary interest are provided to the Board. The interested Directors neither participate in the discussion nor vote on such matters. The Company complied with the statutory provisions, rules and regulations relating to the capital markets during the last three years and the stock exchanges or the Securities and Exchange Board of India or any statutory authority did not impose any penalties or strictures on the Company for the said period. 7. Shareholders’ information 7.1 General Body meetings 7.1.1 Location and time where the last three AGMs were held: Year Location Date Time 2017-18 H T Parekh Hall Ahmedabad Management Association Dr Vikram Sarabhai Marg Ahmedabad 380 015, Gujarat, India July 27, 2018 10:30 am 2018-19 H T Parekh Hall Ahmedabad Management Association Dr Vikram Sarabhai Marg Ahmedabad 380 015, Gujarat, India July 31, 2019 10:30 am 2019-20 Through video conference at deemed venue Atul House, G I Patel Marg Ahmedabad 380 014, Gujarat, India July 31, 2020 10:30 am