ANNUAL REPORT 2013-14 ANNUAL REPORT 2013-14

NOTE NO. 1 SHARE CAPITAL

(₹ in Crores)  

		31-Mar-14	31-Mar-13
1	SHARE CAPITAL
	Authorised:	78.10	75.00
	39,05,00,000(37,49,95,000 Shares of ₹ 2/- Each) Equity Shares of ₹ 2/- Each	0.02	-
	20,000 ( P.Y. NIL)  0.01% Non -Cumulative Redeemable  Preference Shares of ₹ 10/- Each	0.00	0.00
	1000 (1000) 5% Cumulative Redeemable  Preference Shares of ₹ 10/- each.	78.12	75.00
	Issued , Subscribed and paidup
(a)	Equity Shares :
	Balance at the Beginning of the year	55.84	55.84
	27,92,01,220 Equity Shares  of ₹ 2/-  Each Fully paid up (P.Y. 27,92,01,220 Equity Shares of ₹ 2/-  Each Fully paid up)
	Includes 13,33,20,055 Shares of ₹ 2/- Each ( P.Y. 13,33,20,055 Shares of ₹ 2 /- each) issued pursuant to Schemes of Arrangement for consideration other than cash issued prior to five year from this balance sheet  date
	Add:Forfeiture of Shares	0.06	0.06
	Balance at the end of the year    (a)	55.90	55.90
(b)	Preference Shares :
	Balance at the Beginning of the year	0.00	0.00
	1,000  (1,000) 5%  Cumulative Redeemable  Preference  Shares of ₹ 10/- each  pursuant to
	Scheme of Arrangement for consideration other than  cash
	Balance at the end of the year   (b)	0.00	0.00
	Balance at the end of the year total share capital- (a)  +(b)	55.90	55.90

Note :

1. Terms /rights attached to Equity shares
   The Company has only one class of equity shares having a par value of ₹ 2 per share. Each holder of equity share is entitled  to one vote  per share. All shares rank pari passu with regard to dividend and repayment of capital

   Board of Director's have recommended a dividend of ₹ 0.40  (P.Y. ₹ 1.50  ) per   equity share  20%  (P.Y. 75%)  of Face value of equity share  of ₹ 2

2. Terms /rights attached to  5% Cumulative Redeemable  Preference Shares :
   The Company has issued only one class of Preference  shares having par value of ₹ 10 each   and   are redeemable on the expiry of ten years from the date  of allotment,with an option for the Company for early redemption but not before  18  months  from the date of allotment  25th January 2006.  The preference shareholder do not have any voting right

Equity Shares in the Company held by each shareholders holding more than  5% shares specifying the number  of shares held:

Sr No.	Name of Share holder	31-Mar-14		31-Mar-13
		No.  of shares held	% of holding	No.  of shares held	% of holding
1	Ashok Piramal Group  Real Estate Trust through its Trustee Ms.Urvi A.Piramal	14 89 29 248	53.34	14 89 29 248	53.34
2	Franklin templeton investment  funds	2 07  09  266	7.42	2 79 16 705	10.00
3	Templeton Emerging Markets Investment Trust PLC	1 55  95  175	5.59	1 55 95 175	5.59

5% Cumulative Redeemable  Preference  Shares in the Company held by each shareholders holding more than 5% shares  specifying the  number  of shares held:

Sr No.	Name of Share holder	31-Mar-14		31-Mar-13
		No.  of shares held	% of holding	No.  of shares held	% of holding
1	Ashok Piramal Group  Real Estate Trust through its Trustee Ms. Urvi A. Piramal	1000	100%	1000	100%

Details of Shares Held by Controlling entity

Sr No.	Shares Held by Controlling entity	31-Mar-14		31-Mar-13
		No.  of shares held	% of holding	No.  of shares held	% of holding
1	Ashok Piramal Group  Real Estate Trust through its Trustee Ms. Urvi A. Piramal	14  89  29  248	53.34	14  89  29  248	53.34

NOTE NO. 2 RESERVES AND SURPLUS

(₹ in Crores) 

	31-Mar-14	31-Mar-13
Capital Reserve
As per last Balance Sheet	2.50	1.85
Add : Acquired under Merger Scheme	-	0.65
Less : Adjustments pursuant to merger  Scheme (Refer Note 1 below)	2.50	-
	-	2.50
Capital Redemption Reserve	0.17	0.17
Securities Premium Reserve
As per last Balance Sheet	617.29	640.32
Less : Applied towards  Expenses on issue of Debentures	8.08	23.03
(Refer Note 2 Below)	609.21	617.29
General Reserve
As per last Balance Sheet	300	272.40
Add : Transfer from Statement of Profit and Loss	3.68	27.60
Less : Adjustments pursuant to merger  Scheme (Refer Note 1 below)	230.24	-
	73.44	300
Debenture Redemption Reserve
As per last Balance Sheet	32.15	-
Less : Recoupment of Debenture Redemption  Reserve	4.56	-
Add : Transfer from Statement of Profit and Loss	49.14	32.15
	76.73	32.15
Reserve Funds in terms of section 45IC(1) RBI ACT	0.62	0.61
Add : Transfer from Statement of Profit and Loss	0.01	0.01
	0.63	0.62
Profit and Loss Statement
As per last Balance Sheet	625.39	538.81
Less : Proposed Dividend on Equity Shares	11.17	41.88
Less : Distribution Tax thereon	1.90	7.12
Less : Proposed Dividend on Preference Shares	0.00	0.00
Less : Distribution Tax thereon	0.00	0.00
Add  : Reversal of Interest on merger scheme of Earlier years	65	-
Add  : Reversal of Loss of subsidiary on Merger Scheme	11.69	-
Less : Transfer to General Reserve	3.68	27.60
Add  : Recoupment of Debenture Redemption  Reserve	4.56	-
Add  : Net Profit  for the year	41.83	195.34
Less : Transfer to Debenture Redemption  Reserve *	49.14	32.15
Less : Transfer to Reserve fund in terms of 45IC (1)	0.01	0.01
	682.57	625.39
Total	1442.75	1578.12

* Transfer to Debenture Redemption Reserve restricted to current year profit due to this there is lower transfer to the extent of ₹ 0.59 Cr  to Debenture Redemption  Reserve

NOTE :

1. The adjustments made to Capital / General reserves pursuant to  composite  scheme of  arrangement and amalgamation are net of tax impact thereon of ₹ 82.13  Cr  ( P.Y. NIL)
2. The application of Securities Premium towards  debenture issue expenses is net of tax impact thereon of ₹ 4.16 Cr ( P.Y. NIL)

NOTE NO. 3 LONG TERM BORROWINGS

(₹ in Crores) 

Long Term Borrowings		31-Mar-14	31-Mar-13
I	Secured Loan
A	From Banks ( Term Loan )	243.23	350.85
B	From Financial Institutions	112.84	92.98
C	Debentures	462.83	361.78
	Total I	818.90	805.61
II	Unsecured Loan
A	Others	9.53	3.55
	Total II	9.53	3.55
	Total  Long Term Borrowings   ( I+II)	828.43	809.16

(₹ in Crores)  

Sr no:	Particulars	31-Mar-14	31-Mar-13
I	Secured Loan from :
A	Loan from Bank
1	From  Bank  1
a	Terms of Loan Repayment
	Outstanding  balance  as at    balance  sheet  date  is  repayable   over a period of 28  months  (P.Y.40Months) in  varying monthly instalments	28	51
b	Security
	Secured  against  charge  of Immovable property   (held for real estate    development )     belonging to  the  company  (Subsidiary Companies    till Previous year ) and  other  Companies  for whom  the Company  has undertaken the project   development and   execution  and receivable there  on from the project.
2	From  Bank  2
a	Terms of Loan Repayment
	Outstanding  balance  as at    balance  sheet  date  is  repayable   over a period of  C.Y. NIL   (P. Y.24Months)  in  varying monthly instalments	-	126
b	Security
	Secured against  charge  of Immovable property   (held for real estate   development )    belonging  to Subsidiary Companies   and other  Companies  for whom  the Company  has undertaken the project development and  execution.
3	From  Bank  3
a	Terms of Loan Repayment
	Outstanding balance   as at balance sheet date is repayable   within  82 months  ( P.Y. 94 months) in varying monthly instalments	96.94	106.35
b	Security
	By way of   mortgage on the  company’s  immovable  property   and  charge  on the  rent  receivable therefrom
4	From  Bank  4
a	Terms of Loan Repayment
	Outstanding  balance  at balance  sheet   date  is repayable   in 12 Equal installments  within for C.Y.NIL ( P.Y. 24 Months )	-	67.50
b	Security
	First and equitable/registered mortgage charge  on immovable properties  being land  and building situated   ‘  thereon known  as  Bishop gate  Plot ‘Malabar  & Cumballa  hill division   located  at  ‘ Bhulabhai Desai road Mumbai.  Exclusive hypothecation of ‘ present  and future  receivables arising out of the above property
5	From  Bank  5
a	Terms of Loan Repayment
	Outstanding  balance  at balance  sheet   date  is  repayable   in varying monthly installments  within 15 Months ( P.Y. NIL )	50	-
b	Security
	Secured  against  charge  of Immovable property    (held for real estate    development ) of   project undertaken by company and other Companies  for whom the Company has undertaken the project development and  execution and receivable there on from the project.
6	From  Bank  6	68.30	-
a	Terms of Loan Repayment
	Loan shall be repaid by way of 12 equal monthly instalments  within 23 months  from balance sheet date ( P.Y. NIL )
b	Security
	First and equitable/registered mortgage charge  on immovable properties  being land  and building situated ‘ thereon known as Bishop gate Plot ‘Malabar & Cumballa hill division located at ‘ bhulabhai desai road Mumbai.  Exclusive hypothecation of ‘ present  and future  receivables arising out of the above property
B	The  term loans from Financial Institution are
1	Loan 1 from Financial Institution
a	Terms of Loan Repayment
	Outstanding  balance  as at    balance  sheet  date  is  repayable   over a period of C.Y.  NIL   ( P.Y.19 Months ) varying periodic instalments.	-	26.88
b	Security
	Secured by mortgage of the Company’s immovable   property  (held for real estate  development) and charge on receivables from the said project and insurance proceeds
2	Loan 2  from Financial Institution
a	Terms of Loan Repayment
	Outstanding balance as at   balance sheet date is repayable   over a period of  36 Months in ( P.Y.48 Months )  varying periodic  instalments.	112.84	66.10
b	Security
	Mortgage  of  the   company’s   immovable   property   comprising   land   and   present   and   future construction   thereon at its project Celestia Spaces sewree , Mumbai and a charge on the receivable from the said project.
C	Debentures
a	Terms of Loan Repayment
	Outstanding balance as at   balance sheet date is repayable  over a period of  57 months in varying periodic  instalments  ( P.Y. 59)  - Refer note 1 below	462.83	361.78
b	Security
	Secured against  charge  of Immovable property   (held for real estate   development )    belonging  to Subsidiary Companies   and other  Companies  for whom  the Company  has undertaken the project development and  execution.
c	Coupon  Rate
	For Coupon   Rate -Refer note 2 below
II	UNSECURED LOAN
A	Others	9.53	3.55
a	Terms of Loan Repayment
	Loan is repayable from the project inflow of the company

NOTE : 1 Debentures Redemption Schedule

(₹ in Crores) 

Sr no	Particulars	31-Mar-14	31-Mar-13
1	Redeemable   in Financial Year 2018-19	102.50	-
2	Redeemable   in Financial Year 2017-18	115.53	115.53
3	Redeemable   in Financial Year 2016-17	106.07	51.07
4	Redeemable   in Financial Year 2015-16	138.73	139.23
5	Redeemable   in Financial Year 2014-15	-	55.95
	Total	462.83	361.78

NOTE : 2 Coupon Rate on Debentures

(₹ in Crores) 

Sr No.	Coupon Rate	31-Mar-14	31-Mar-13
1	0%	48.50	-
	(Redemption premium amortised  over repayment period)
2	12.40%	0.70	-
3	12.60%	-	3
4	13.00%	263.80	161
5	13.09%	1	1
6	13.25%	-	9.35
7	13.31%	20	40
8	13.50%	14	14
9	13.75%	114.83	133.43
	Total	462.83	361.78

NOTE NO.4 LONG TERM PROVISIONS

(₹ in Crores) 

Sr No.	Particulars	31-Mar-14	31-Mar-13
a	Employee Benefits (Refer para no. 19 of note 24)	1.69	2.70
Total		1.69	2.70

NOTE NO. 5 SHORT TERM BORROWINGS

(₹ in Crores) 

Sr  no	Particulars	31-Mar-14	31-Mar-13
(I)	Secured
a	Bank Overdraft	45.79
(I)	Terms of Loan Repayment  :		-
	Bank Overdraft is repayable on demand
(ii)	Security
	Secured against charge of Immovable property  (held as Fixed Assets  and  Immovable property  held as  realty finished Goods  inventory)
(II)	Unsecured
a	Bank Overdraft	33.24	3.26
(I)	Terms of Loan Repayment  :
	Bank Overdraft is repayable on demand
b	Others	-	3.41
	(Company in which Director is member/director)
(i)	Terms of Loan Repayment  :
	Repayable on demand
	Total	79.03	6.67

NOTE NO. 6 TRADE PAYABLES

Sr no	Particulars	31-Mar-14	31-Mar-13
a	MSMED	0.00	0.01
b	Others- trade payables	107.66	141.58
	Total	107.66	141.59

NOTE NO. 7 OTHER CURRENT LIABILITIES

Sr no	Particulars	31-Mar-14	31-Mar-13
a	Current Maturities of Long term debt	465.85	406.65
b	Trade Deposit & Advances	26.48	23.59
c	Interest accrued but not due on borrowings	37.33	23.14
d	Advances  from customers	161.95	89.78
e	Unpaid Dividends	2.06	1.72
f	Other Current Liabilities  ( Condomanium payable)	21.55	53.70
g	Statutory Dues payable	3.56	12.84
	Total	718.78	611.42

NOTE NO. 8 SHORT TERM PROVISIONS

Sr no	Particulars	31-Mar-14	31-Mar-13
a	Employee Benefits (Refer para no. 19 of Note 24)	1.27	0.96
b	Proposed Dividend on Equity Shares	11.17	41.88
c	Proposed Dividend on Preference Shares	0.00	0.00
d	Tax Payable on Proposed Dividend	1.90	7.12
	Total	14.34	49.96

NOTE NO. 9 FIXED ASSETS (AT COST)

*Deduction during the year in goodwill includes ₹ 70.24 Crores ( P. Y. NIL) attributable to reversal of cost of investments due to merger of subsidiary pursuant to Composite scheme of arrangement and Amalgamation U/S 391 to 394 of the Companies Act 1956

NOTE NO. 10 NON-CURRENT INVESTMENTS

 

Note: 1

Name of Partner	2013-2014		2012-2013
	Profit Sharing Ratio	Contribution	Profit Sharing Ratio	Contribution
Peninsula Land Limited-After Adjusting Loss till current Year	40.00%	0.30	-	-
KB Kothari Group	60.00%	0.46	-	-
Total	100.00%	0.76	-	-

NOTE NO. 11  ADVANCE TO EMPLOYEES ESOP TRUST

(Unsecured Considered Good)

Sr no	Particulars	31-Mar-14	31-Mar-13
	Balance at the beginning  of the year	27.35	27.73
	Less : Repaid during the year	0.51	0.38
	Less :  Provision for Diminution in value of Advance (Refer para no. 5 of Note 24)	10.37	-
	Balance at the end of the year	16.47	27.35

NOTE NO. 12 LONG TERM LOANS AND ADVANCES

(₹ in Crores) 

(Unsecured Considered  Good)

Sr no	Particulars	31-Mar- 14	31-Mar-13
a	Security Deposit with Public Bodies	2.04	1.91
b	Advances   to Joint Venture entities (For Projects )	22.21	16.07
c	Loans and advances to others	11.37	10.02
d	Advance Tax ( Net of Provision)	30.14	26.36
e	MAT Credit Entitlement	61.01	51.07
f	Advances  to third parties  for Projects	107.19	77.86
g	Advances  to Associates Companies/  Entities  (For Projects)	193.14	154.29
h	Advance Recoverable in cash or in kind for value to be received	9.62	1.71
i	Capital Advances	-	13.10
	Total	436.72	352.39

NOTE NO.13 CURRENT INVESTMENTS

	Nos.	NAV	31-Mar-14	31-Mar-13
		(Rupees)
CURRENT  INVESTMENTS  (AT COST)
SHORT  TERM  INVESTMENTS  ( Non-Trade)
Investments in Mutual Funds ( Quoted)
ICICI Prudential Floating rate  Plan Daily Dividend	78146	100.152	0.78	0.31
	(30935)	(100.098)
ICICI Prudential Floating Rate - Regular Plan - Daily Dividend	68790.024	100.0604	0.69	7.01
	(700516.226)	(100.094)
ICICI Prudential Flexi Income Plan Premium Daily Dividend.	535591	105.735	5.66	14.76
	(1396055.945)	(105.735)
LIC MF Liquid Fund	15539.503	1098	1.71	1.60
	(14546.13)	(1098)
Reliance Money Manager  Fund- Daily Dividend	1180.27	1002.086	0.12	0.03
	(312.513)	(1002.1)
Reliance Medium Term Fund-Daily Dividend	1487340.55	17.096	2.54	2.54
	(1482999.89)	(17.096)
Reliance Money Manager  Fund - Retail option	12446.352	1,001.95	1.25	1.25
	(12446.35)	(1001.81)
UTI Banking & PSU Debt Fund - Regular Plan - Dividend	4820888.179	10.0649	4.85	-
	-	-
HDFC Liquid Fund - Daily Dividend Plan	3878383.727	10.198	3.96	-
	-	-
DWS ultra short term fund-Institutional  daily dividend Plan	-	-	-	4.56
	(4556156)	(10.018)
HDFC Floating rate income fund-short term plan daily dividend plan  -		-	-	3.73
	(3699478)	(10.0809)
			21.56	35.79
Aggregate amount of Quoted  Investments & Market value thereof			21.56	35.79
Aggregate amount of Unquoted Investments  (at cost)			-	-
Total			21.56	35.79

NOTE NO. 14 INVENTORIES (Valued at Cost)

(₹ in Crores) 

Sr no	Particulars	31-Mar-14	31-Mar-13
a	Finished Goods (Realty Stock) (Refer para  25 of Note 24)	77.73	132.85
b	Work in progress (Realty Stock) (Refer para  25 of Note 24)	1243.72	1297.80
c	Stock of Traded Goods (Refer para  25 of Note  24)	0.79	0.80
	Total	1322.24	1431.45

NOTE NO. 15  TRADE RECEIVABLES

(Unsecured considered  good)

Sr no	Particulars	31-Mar- 14	31-Mar-13
a	Trade Receivables outstanding for more than six months	13.65	17.10
b	Provision for Doubtful debt	(1.1)	(0.96)
c		12.55	16.14
d	Trade Receivable -Others	253.60	98.85
	Total	266.15	114.99

NOTE NO. 16  CASH AND BANK BALANCES

Sr no	Particulars	31-Mar-14	31-Mar-13
I	Cash  and Cash  Equivalents
a	Balances with Banks in  Current Account	50.06	48.89
b	Cheques  in Hands	0.00	0.02
c	Balance with Banks in Deposit Account ( Maturity less than three months)	89.51	117.37
d	Cash on Hand	0.33	0.32
II	Unpaid Dividend	2.06	1.72
III	Balance in Deposit Account as  Margin money	0.27	0.18
	Other Bank  Balances
IV	Balances with Banks in Deposit Account
a	Balances with Banks in Deposit Account ( Maturity after three months  but before twelve months)	72.47	99.62
b	Balances with Banks in Deposit Account ( Maturity beyond twelve months)	63.33	23.31
	Total	278.03	291.43

NOTE NO. 17  SHORT TERM LOANS AND ADVANCES

(Unsecured Considered  Good)

Sr no	Particulars	31-Mar- 14	31-Mar-13
a	Advances Recoverable in cash or kind or for value to be received	0.54	0.45
	(Where Director is member  or Director)
b	Loans & Deposit with others	40.32	129.07
c	Advances Recoverable in cash or kind or for value to be received	36.95	50.24
d	Loans to staff	0.06	0.11
e	Employee Benefits (Refer para no. 19 of Note 24)	0.04	-
	Total	77.91	179.87

NOTE NO. 18    OTHER CURRENT ASSETS

(Unsecured Considered  Good)

(₹ in Crores)  

Sr no	Particulars	31-Mar- 14	31-Mar-13
a	Interest Receivable	152.73	151.50
b	Other Receivable	1.28	20.32
c	Share Application Money -Refund Receivable	0.13	0.06
d	Earnest Money	0.03	0.05
e	Unadjusted  tax effect on charge to reserve under merger scheme	61.08	-
	(Refer  para 5  of  Note   No. 24)
	Total	215.25	171.93

NOTE NO. 19  OTHER INCOME

Particulars	2013-2014	2012-2013
Dividend on Mutual Fund	3.49	3.09
Miscellaneous Income	2.28	0.38
Profit on sale of assets	-	0.00
Share of Profit & Loss from LLP	(0.01)	-
Interest Income	99.92	185.56
Total	105.68	189.03

NOTE NO. 20 EMPLOYEE BENEFIT EXPENSES (Including Managerial Remuneration)

Particulars	2013-2014	2012-2013
Salaries, Wages and Bonus	49.76	51.16
Contributions To ESIS, Provident Fund, Super Annuation  fund etc.	2.17	3.16
Staff & Labour Welfare	5.27	4.84
Executive Directors’  Commission	-	11
Total	57.20	70.16

NOTE NO. 21  FINANCE  COST

Particulars	2013-2014	2012-2013
Interest  Expenses	206.27	205.19
Other Borrowing Cost	4.39	18.58
	210.66	223.77
Less : Transfer to Work In Progress ( Refer Para  no. 25 of  note 24 )	105.71	72.06
	104.95	151.71
Foreign exchange  loss	0.00	9.92
Total	104.95	161.63

NOTE NO. 22  OTHER EXPENSES

Particulars	2013-2014	2012-2013
Power  and  Fuel	1.83	1.19
Repairs & Maintenance -Buildings	4.02	1.46
Repairs & Maintenance - Others	1.60	9.06
Insurance	0.44	0.41
Rent	1.44	1.57
Rates & Taxes ( Excluding Income Tax)	0.92	1.72
Legal & Professional Fees	21.15	9.12
Advertisement  and Sales Promotions	13.41	13.07
Brokerage & Commission	0.15	9.56
Donations	1.09	1.69
Miscellaneous  Expenses	10.74	11.77
Loss on Sale of  Fixed Assets	-	0.00
Directors’  Sitting Fees	0.07	0.08
Non-Executive Directors’ Commission	0.08	0.68
Common  Area Maintenance Expenses	0.07	11.40
House Keeping, Security  and Car park Services	0.09	13.58
Total	57.10	86.36

23 Significant Accounting Policies

1. Basis of Accounting
   The Financial statements have been prepared and presented under historical cost convention on the accrual basis of accounting in accordance with the accounting principles generally accepted in India (“GAAP”) and comply with the mandatory accounting standards (“AS”) as notified by the Companies Accounting Standard (Rules), 2006 to the extent applicable and with the relevant provisions of the Companies Act, 1956.
2. Use of Estimates
   The preparation of financial statements in conformity with GAAP requires Management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent liabilities on the date of financial statements and reported amount of revenue and expenses for the year. Actual results could differ from these estimates. Difference between the actual result and estimates are recognised in the year in which results are known / materialized. Any revision to an accounting estimate is recognised prospectively in the year of revision.
3. Revenue Recognition
   1. The Company is in the business of Real Estate Development. Revenue from sale of properties under construction is recognised on the basis of actual bookings done (provided the significant risks and rewards have been transferred to the buyer and there is reasonable certainty of realisation of the monies) using the Percentage of Completion Method. Revenue is recognised in accordance with the guidelines prescribed by the “Guidance note on Accounting Treatment for real estate transactions (Revised 2012)” issued by the Institute of Chartered Accountants of India, inter alia , with regard to thresholds for commencement of revenue recognition for projects and the basis for determining percentage of completion.
   2. Revenue from sale of completed properties (Finished Realty Stock) is recognised upon transfer of significant risks and rewards to the buyer.
   3. Revenue on Development Rights is recognised on the basis of our revenue share receivable, from the related projects as per agreed terms and conditions.
   4. Income from Operations include Realty Sales, Lease Rentals, Service Fees, Signages, Car Park and PMC / Marketing Fees.
   5. Interest income is recognised on time basis determined by the amount outstanding and the rate applicable.
   6. Dividend income is recognised when the right to receive the payment is established
4. Inventories
   1. Inventories comprise of: (i) Finished Realty Stock representing unsold premises in closed projects and (ii) Realty Work in Progress representing properties under construction / development.
   2. Inventories are valued at lower of cost and net realisable value.
   3. Cost of Realty construction / development is charged to the Statement of Profit and Loss in proportion to the revenue recognised during the period and the balance cost is carried over under Inventory as part of either Realty Work- in- Progress or Finished Realty Stock. Cost of Realty construction / development includes all costs directly related to the Project and other expenditure as identified by the Management which are incurred for the purpose of executing and securing the completion of the Project (net off incidental recoveries / receipts) upto the date of receipt of occupancy certificate from the relevant authorities.
5. Fixed Assets
   1. Tangible Assets
      1. Tangible assets are carried at cost of acquisition or construction less accumulated depreciation. The cost of fixed assets includes non refundable taxes, duties, freight and other incidental expenses related to the acquisition and installation of the respective assets. Borrowing cost attributable to acquisition or construction of fixed assets which takes substantial period of time to get ready for their intended use is capitalised.
      2. Expenses incurred for acquisition of capital assets excluding advances paid towards the acquisition of fixed assets outstanding at each Balance Sheet date are disclosed under Capital Work in Progress.
   2. Intangible Assets
      Intangible Assets are recorded at the consideration paid for the acquisition.
6. Leases
   1. Assets acquired on lease where a significant portion of risks and rewards of ownership are retained by the Lessor are classified as Operating Leases. Lease Rentals are charged to Statement of Profit and Loss on accrual basis.
   2. Assets leased out under Operating Leases are capitalised. Rental Income is recognised on accrual basis over the Lease term.
7. Depreciation / Amortization
   1. Depreciation
      1. Depreciation has been charged on SLM basis for the assets acquired from erstwhile Piramal Holdings Limited (PHL) and Piramyd Retail and Merchandising Private Limited (PRMPL) and property held as investment.
      2. For all other assets depreciation is provided on WDV basis.
      3. Depreciation is provided at the rates and in the manner specified under Schedule XIV of the Companies Act, 1956.
      4. Depreciation is calculated on a pro-rata basis from the date of installation / acquisition till the date the assets are sold or disposed.
      5. Individual assets costing less than ₹ 5000/- are depreciated fully in the year of acquisition.
      6. Depreciation on Post Investment Tracker software (‘PIT’) is provided on straight line basis over a period of 36 months commencing from the month of acquisition.
   2. Amortization
      1. Leasehold assets are amortized over the period of lease.
      2. Intangible assets are amortized over their estimated useful lives on a straight line basis, commencing from the date the asset is available to the Company for its use.
8. Investments
   Long term investments are carried at cost less any permanent diminution in value. Current investments are carried at the lowerof cost and fair value.
   
   Carrying amount of the individual investment is determined on the basis of the average carrying amount of the total holding of the investments.
   
   As regards investments in AOP, Company’s share of Profit / Loss from AOP are accounted in respect of the year ended as on the Balance Sheet date, on the basis of their audited financial statements.
9. Foreign Currency Transactions
   1. Foreign exchange transactions are recorded at the closing rate prevailing on the dates of the respective transaction or at the contracted rates as applicable. Exchange difference arising on foreign exchange transactions settled during the year, if any is recognised in the Statement of Profit and Loss.
   2. Monetary assets and liabilities denominated in foreign currencies are converted at the closing rate as on Balance Sheet date. The resultant exchange difference is recognised in the Statement of Profit and Loss
   3. Non monetary assets and liabilities denominated in foreign currencies are carried at the exchange rate prevalent on the date of the transaction
10. Employee Benefits
    1. Short Term Employee Benefits Short term employee benefits are recognised as an expense at the undiscounted amount in Statement of Profit and Loss of the year in which the related service is rendered.
    2. Post Employment Benefits Contribution to Provident Fund and Superannuation Scheme are charged against revenue. Provision for Gratuity is recorded on the basis of actuarial valuation certificate, provided by the actuary.
    3. Other Long Term Employee Benefits
       Company’s liability towards earned leave is determined by an independent actuary using Projected Unit Credit Method. Past services are recognised on a straight line basis over the average period until the benefits become vested. Actuarial gains and losses are recognised immediately in the Statement of Profit and Loss as income or expenses. Obligation is measured at the present value of the estimated future cash flows using a discounted rate that is determined by reference to the market yields at the Balance Sheet date on Government Bonds where the currency and terms of the Government Bonds are consistent with the currency and estimated terms of the defined benefit obligation.
11. Segment Reporting
    1. Segment Revenue and Expense
       Revenue and Expenses have been identified to a segment on the basis of relationship to operating activities of the segment. Revenue and Expenses which relate to enterprises as a whole and are not allocable to a segment on a reasonable basis have been disclosed as “Unallocable”.
    2. Segment Assets and Liabilities
       Segment assets and segment liabilities represent assets and liabilities in respective segments. Investments, tax related assets and other assets and liabilities that cannot be allocated to a segment on reasonable basis have been disclosed as “Unallocable”.
    3. Intersegment Transfers
       Segment revenue, segment expenses and segment results include transfer between business segments, such transfers are eliminated in consolidation.
    4. Accounting Policies
       The accounting policies consistently used in the preparation of the financial statements are also applied to item of revenue and expenditure in individual segments.
12. Taxation
    Tax expenses are the aggregate of current tax and deferred tax charged or credited in the statement of Profit and Loss for the year.
    1. Current Tax
       The current charge for Income Tax is calculated in accordance with the relevant tax regulations applicable to the Company.
    2. Deferred Tax
       Deferred tax charge or credit reflects the tax effects of timing differences between accounting income and taxable income for the year. The deferred tax charge or credit and the deferred tax liabilities or assets are recognised using the tax rates that have been enacted or substantively enacted by the Balance Sheet date. Deferred tax assets are recognised only to the extent there is reasonable certainty that the assets can be realised in future, however where there is unabsorbed depreciation or carry forward of losses, deferred tax assets are recognised only if there is virtual certainty of realisation of such assets. Deferred tax assets are reviewed at each Balance Sheet date.
    3. Minimum Alternate Tax (MAT)
       In case the Company is liable to pay income tax u/s 115JB of Income Tax Act, 1961 (i.e. MAT), the amount of tax paid in excess of normal income tax is recognised as an asset (MAT Credit Entitlement) only if there is convincing evidence for realisation of such asset during the specified period. MAT credit entitlement is reviewed at each Balance Sheet date
13. Borrowing Cost
    Borrowing cost attributable to the individual Projects have been treated as Project Cost and added to Stock in Trade. Other borrowing costs are charged to Statement of Profit and Loss in the year in which they are incurred.


14. Employee Stock Option
    Employee Compensation Cost, if any, arising on account of option granted to employees is recognised in the financial statements. It is the difference between the intrinsic value and the exercise price of options.


15. Impairment of Assets
    The Company assesses at each Balance Sheet date whether there is any indication that an asset may be impaired. If any such indication exists, the Company estimates the recoverable amount of the assets. If such recoverable amount of the assets or the recoverable amount of the cash generating unit to which the assets belongs is less than its carrying amount, the carrying amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and is recognised in the Statement of Profit and Loss. If at the Balance Sheet date there is an indication that if a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount subject to a maximum of depreciated historical cost.


16. Provisions and Contingent Liabilities
    The Company creates a provision when there is a present obligation as a result of past events that probably requires an outflow of resources and reliable estimates can be made of the amount of the obligation. A disclosure for a contingent liability is made when there is possible obligation or a present obligation that may, but probably will not, require an outflow of resources. Contingent assets are neither recognised nor disclosed.

24 NOTES FORMING PART OF CONSOLIDATED FINANCIAL STATEMENTS

1. Principles of Consolidation
   1. The Consolidated Financial Statements are based on the Audited financial statements of the subsidiaries / associates / joint venture for the year ended 31st March, 2014. No significant transactions have occurred after the Balance Sheet date.
   2. The Financial Statements of the company and its subsidiaries have been combined on a line by line basis by adding together like items of assets, liabilities, income and expenses. All intra group balances and have been eliminated on consolidation as per Accounting Standard AS 21 “Consolidated Financial Statements”.
   3. The consolidated financial statements have been prepared using uniform accounting policies for like transactions and other events in similar circumstances and are presented to the extent possible, in the same manner as the company’s financial statements.
   4. Minority interest in the net income and net assets of the consolidated financial statements are computed and shown separately.
   5. In case of Associate Company, the Audited financial statements as on 31st March, 2014 have been consolidated as per Accounting Standard - AS 23 “Accounting For Investments in Associates in Consolidated Financial Statements”.
   6. In case of joint venture, the Audited financial statements as on 31st March, 2014 have been consolidated as per Accounting Standard - AS 27 “Financial Reporting of Interest in Joint Ventures” using proportionate consolidation method.
2. In the opinion of the Board, the current assets, loans and advances are approximately of the value stated if realised in the ordinary course of business. The provisions for all known liabilities are adequate.
3. The financial statements for the year ended March 31, 2014 have considered the effect of a Composite Scheme of Arrangement and Amalgamation u/s 391 to 394 of the Companies Act 1956 (Scheme), duly sanctioned by the High Court of Judicature at Mumbai vide its order dated 25th October 2013 and filed with the ROC on 7th November 2013 (Effective Date), whereby the company has taken over the real estate businesses of four of its wholly owned subsidiaries as under:
   1. Demerger of the real estate business undertaking of Peninsula Mega Township Developers Limited (“Demerged Undertaking”) into the Company with effect from the appointed date of 1st of April 2013.
   2. Amalgamation of Wismore Real Estate Private Limited, R R Mega Property Developers Private Limited and City Parks Private Limited (“Amalgamating entities”) with the Company with effect from the Appointed Dates of 1st April 2013, 1st April 2013 and 1st August 2013 respectively.
4. “To the extent of the effect of the Scheme, the current year’s figures are not comparable with the previous year figures.“
5. Pursuant to and as stipulated in the Scheme, the Company has, on appointed date, inter alia restated (in case of demerged undertaking) and recorded (in the case of amalgamating entities) the value of real estate work in progress in its books lower by ₹ 86.85 crores and ₹ 134.39 crores respectively, to comprise only cost of land and directly attributable operational costs of development activities. All other assets and liabilities are recorded at their respective book values. This along with other accounting effects of the Scheme aggregating to ₹ 92.98 crores (comprising of cancellation of investments of ₹ 72.60 crores, other merger related effects and expenses of ₹ 10.01 crores and provision for diminution in value of advances given to employee stock option trust of ₹ 10.37 crores) have been adjusted against the Capital Reserve - ₹ 1.85 crores and against the General Reserve - ₹ 230.24 crores (net of the tax effect thereon of ₹ 82.13 crores). The tax effect pertaining to the current year of ₹ 21.05 crores has been charged to P&L A/c as a part of tax expense and the remaining unadjusted tax effect of ₹ 61.08 crores is carried forward under other current assets. This is in compliance with the Announcement of ICAI relating to accounting for “Tax adjustments of expenses directly debited to Reserves”.
6. Though mandated by the Scheme duly sanctioned by the Honorable High Court of Mumbai, the aforesaid accounting treatment of recording of real estate WIP of amalgamating entities at their defined value as aforesaid and the adjustment of the aforesaid amounts against Reserves instead of routing the same through Statement of Profit & Loss is not entirely in conformity with Accounting Standard AS-14 “Accounting for Amalgamations”. Had the same been routed through profit and loss account, the profit would have been lower by ₹ 293.17 crores.
7. No shares have been alloted or any consideration paid pursuant to the scheme as the respective merging entities are wholly owned subsidiaries of the company.
8. Employee benefit expenses include ₹ 9.55 crores paid as the contracted remuneration to three executive directors in whole-time employment with the company, of which ₹ 3.26 crores is in excess of the limits specified in section 309 read with Section 198 of the Companies Act, 1956, which has resulted due to lower profit for the year. The Company had, during the year, applied to the Central Government under section 309 (5B) of the Act, for approval of such excess remuneration paid and the same is awaited.



(₹ in Crores)  

Sr.no		As At 31.03.2014	As At 1.03.2013
9	Commitments and Contingent Liabilities
a	Claims against the Company not acknowledged as debts in respect of
i	Income tax demand under appeal (excluding contingent interest)	0.12	3.88
	(Comprising additions made during assessments disputed  by the Company)
ii	Disputed service tax demand	0.52	0.45
iii	Others	5.64	-
b	Estimated amount of contracts remaining to be executed on capital account and not provided for (Net of Advances of ₹ Nil crores previous year ₹ 8.00 crores)

10. Recognition of Income and Expenses for on-going projects are based upon actual sales value, estimated costs, Managements judgement of overall project profitability and work completion status. The work completion status is determined based on the actual costs incurred vis-a-vis the estimated cost of the project. The estimated costs of every project are reviewed periodically and revised whenever required. The consequential effect of such revision is considered in the year of revision and in the balance future period of the project.
    

(₹ in Crores)  

		Year  Ended 31.03.2014	Year  Ended 31.03.2013
	11  Income From  Operations
a	Sale of Products
	Realty Sales	232.81	667.29
b	Sale of Services
	Realty Rentals	36.80	26.55
c	Other Operating  Income	9.72	47.36
	Total	279.33	741.20

12. The Company has entered in partnership as an AOP named Peninsula GSG MHP Project with a party named GSG Builders and Infrastructure Private Limited with a total investment of ₹ 1.00 crores constituting 50% of the total capital of the AOP. The Profit & Loss from such AOP are shared in the ratio of 50:50. Loss of current year of ₹ 0.01 crores (previous year Rs 0.07 crores) from the AOP is recognised, which is to the extent of our share in the said AOP.
13. The Company has entered in partnership as an LLP named Bridgeview Real Estate Development LLP with a party named K B K group with a total investment of ₹ 0.05 crores constituting 50% of the total capital of the LLP. The Profit & Loss from such LLP are shared in the ratio of 50:50. Loss of current year of ₹ 0.01 crores (previous year ₹ Nil crores) from the LLP is recognised, which is to the extent of our share in the said LLP.
14. Donation includes ₹ 0.01 Crores (Previous Year ₹ 0.00 Crores) paid to political parties. The details of the same are as under:

(₹ in Crores)  

	Year  Ended 31.03.2014	Year  Ended 31.03.2013
Shivsena	0.00	-
Maharashtra Navnirman Sena	0.01	-
South Mumbai District Congress Committee	0.00	-
Bharatiya Janata Party	0.00	0.00
Total	0.01	0.00

15. Employee Stock Option Scheme (ESOS)
1. During the year, the Company has granted NIL (Previous Year - NIL) Employee Stock Options to the employees of the Company.
2. The company had granted stock options to employees under the Employees Stock Option Scheme 2006 at grant price of ₹ 70/- (face value ₹ 2/-).
   The details of options granted, lapsed and in force at the end of the year are as under

 

	Current year	Previous year
Option in force at the beginning  of the year (face value ₹ 2/-)	3,150	4,26,938
Add : Granted  during the year	-	-
Less : Lapsed during the year	3,150	4,23,788
Option vested during the year	-	-
Option in force at the end of the year	-	3,150

3. As the options are granted using the fair value, no compensation cost will arise. Moreover all the grants have lapsed without any exercise of the same. Further, the said ESOP scheme has been cancelled vide Board resolution dated 26th May 2014, subject to shareholders ratification.
   
   

16   Payment of Auditors included in Miscellaneous Expenses

(₹ in Crores)  

Sr.no		Year Ended 31.03.2014	Year Ended 31.03.2013
a	As Auditors
b	Statutory Audit Fees (including limited review and consolidation  fees)	0.36	0.33
c	Tax Audit Fees	0.08	0.09
d	For Certification and Other Services	0.06	0.04
e	For Reimbursement of Expenses	0.01	0.00
	Service Tax on Fees and Reimbursement	0.06	0.06
		0.57	0.52

17   Loans and Advances to Associates, Companies / Enterprises under the same Management

(₹ in Crores)  

	Particulars	As At 31.03.2014	As At 31.03.2013	Max O/s during the year
				31.03.2014	31.03.2013
a)	Companies in which any Director is a Director / Member
1	Rockfirst Real Estate Limited *	18.34	45.03	46.80	45.03
2	Ashok Piramal Management Corporation Limited	0.28	0.20	0.28	0.20
3	PMP Auto Components Private Limited	0.13	0.00	0.13	0.00
4	Goldlife Mercantile Company Private Limited	(0.01)	0.05	0.58	0.05
5	Pune Football Club Limited	0.04	0.05	0.05	0.06
6	Peninsula Townships Development  Private Limited	0.02	0.02	0.02	0.02
7	Morarjee Textiles Limited	0.01	0.08	0.37	0.56
8	Ashok Piramal Mega City Development   Private Limited	0.01	0.01	0.01	0.01
9	Ashok Piramal Townships Developments  Private Limited	0.01	0.01	0.01	0.01
10	Ashok Piramal Mega Properties Private Limited	0.01	0.01	0.01	0.01
11	Edustar Learning Private Limited	0.00	0.00	0.00	0.00
12	Peninsula SA Realty Private Limited	0.00	0.00	0.00	0.04
13	CAMS Learning Private Limited	0.00	0.00	0.00	0.00
14	Piramal Land Private Limited	0.00	0.00	0.00	0.00
15	Pune Sports Club Private Limited	0.00	0.00	0.00	0.00
16	Cromwell Tools  (I) Private Limited	0.00	0.00	0.00	0.00
17	Miranda Ultra Tools Private Limited	0.00	0.00	0.00	0.00
18	Jammin Recreation Private Limited	0.00	0.00	0.00	0.00
19	APG Infrastructure  Private Limited	0.00	0.00	0.00	0.00
20	Bridgepoint Learning Private Limited	0.00	0.00	0.00	0.00
21	Thundercloud  Technologies (India) Private Limited	-	0.01	0.01	0.01
22	Miranda Few Tools Private Limited	-	0.00	0.00	0.00
23	Piramal Roads Infra Private Limited	-	-	0.00	-
	Total (a)	18.84	45.47

 

(₹ in Crores)  

	Particulars	As At 31.03.2014	As At 31.03.2013	Max O/s during the year
				31.03.2014	31.03.2013
b)	Joint Venture
(i)	Bridgeview Real Estate Development  LLP	22.21	16.07	66.98	34.54
(ii)	Peninsula Brookfield Investment Managers  Private Limited	0.01	0.00	0.02	0.07
	Total (b)	22.21	16.07
c)	Associates
1	JM Realty Management Private Limited	7.79	7.79	7.79	7.79
2	RA Realty Ventures LLP *	176.35	137.50	253.53	137.50
	Total (c)	184.14	145.29
	Grand Total (a+b+c)	225.19	206.83

 

(₹ in Crores)  

	31.03.2014	31.03.2013
18	Borrowing Cost
Borrowing Cost treated as project cost during the year	105.71	72.06

19. Employee Benefit Plans
    The Company has classified various benefit plans as under:
1. Defined Contribution Plan
   The Company has recognised the following amounts in Profit and Loss Account which are included under Contributions to Funds
   

Particulars	Current Year	Previous Year
Employer’s contribution  to Provident Fund	2.28	3.06
Employer’s contribution  to Superannuation Fund	0.45	1.20
Employer’s contribution  to Employees State Insurance	0.01	0.02

2. Defined Benefit Plan:
1. Gratuity (Funded)
2. Leave Encashment (Non funded)
   
   In terms of the Guidance Note on implementing the revised AS 15, issued by the Accounting Standards Board of the Institute of Chartered Accountants of India, the Gratuity Trust set up by the Company is treated as defined benefit plan since the Company has to meet the shortfall, if any. However at the year end, no shortfall remains unprovided for.
   
   Leave encashment is payable to eligible employees who have earned leaves, during the employment and / or separation as per the Company’s policy.
   
   Valuations in respect of Gratuity and Leave Encashment, as at the Balance Sheet date, are based on the following assumptions.
1. The disclosures of Gratuity are as under:
   The Company has funded its gratuity obligation under Group Gratuity Policy managed by LIC. The disclosures stated below have been obtained from independent actuary, as the figures from LIC were not available. The other disclosures in accordance with AS -15 (revised) pertaining to Defined Benefit Plan are given below:

(₹ in Crores)  

Particulars	As at 31.03.2014	As at 31.03.2013	As at 31.03.2012	As at 31.03.2011	As at 31.03.2010
Assumptions
Discount rate	9.10%	8.10%	8.50%	8.00%	8.00%
Salary escalation	6%	6%	6%	6%	6%
Employee Turnover Ratio	5% at younger ages 1% at older Ages	5 % at younger age and 1% at older age	3 % at younger age and 1% at older age	3 % at younger age and 1% at older age	3 % at younger age and 1% at older age
Expected Rate of Return on Planned Assets	9%	9%	9%	9%	9%
Retirement Age	58  Years	58 Years	58 Years	58 Years	58 Years
Changes in Present Value of Obligations
Present value of obligations as at beginning  of the year	2.81	5.19	3.62	2.81	2.32
Interest cost	0.21	0.42	0.29	0.23	0.19
Liability Transferred	0.07	0.03	0.00	0.00	0.00
Current service cost	0.49	0.55	0.88	0.65	0.58
Benefits paid	0.36	0.55	0.31	0.11	0.03
Actuarial (gain)/ loss on obligations	0.48	2.77	0.70	0.05	0.24
Present value of obligations as at end of the year	2.74	2.81	5.19	3.63	2.81
Actuarial Gain / Loss recognised
Actuarial gain/(loss) for the year –Obligations	0.48	2.77	0.79	0.05	0.24
Actuarial gain/(loss) for the year –plan assets	0.03	0.19	0.03	0.05	0.00
Total gain/(loss) for the year	0.51	2.58	0.82	0.10	0.24
Actuarial gain/(loss) recognised  in the year	0.51	2.46	0.82	0.10	0.24
The amounts to be recognised in the Balance Sheet and Statement of Profit & Loss
Present value of obligations as at end of the year	2.74	2.81	5.19	3.63	2.62
Fair value of plan assets as at end of the year	2.61	1.91	2.22	1.57	0.28
Funded status	2.68	1.91	2.22	1.57	0.28
Net assets (liability) recognised  in balance sheet	(0.21)	0.66	2.97	2.06	2.34
Expenses recognised in Statement of Profit & Loss
Current service cost	0.49	0.55	0.88	0.65	0.58
Interest cost	0.21	0.42	0.29	0.23	0.19
Expected return on plan assets	0.19	0.19	0.16	0.08	0.00
Net actuarial (gain)/loss recognised  in the year	0.51	2.57	0.73	0.10	0.24
Expenses recognised  in statement of profit and loss	0.00	1.80	1.74	0.89	0.52
Pattern of Investment
Central & State Government Securities	56%	56%	56%	56%	56%
Bonds/Debentures	36%	36%	36%	36%	36%
Equity Shares	6%	6%	6%	6%	6%
Money Market Instrument	2%	2%	2%	2%	2%

2. Leave Encashment (Unfunded)
   Value of liability for leave encashment has been carried out by an independent actuary, as at the Balance Sheet based on the following
   

(₹ in Crores)  

Particulars	As at 31.03.2014	As at 31.03.2013	As at 31.03.2012	As at 31.03.2011	As at 31.03.2010
Assumptions
Discount rate (per annum)	9.10%	8.20%	8.50%	8.50%	8%
Rate of increase in compensation levels	6%	6%	6%	6%	6%
Rate of return on plan assets	-
Retirement Age	58  years	58 years	58 years	58 years	58 years
Changes in present value of obligation
Present value of obligation as at beginning  of the year	2.74	1.52	1.97	1.50	0.69
Interest Cost	0.20	0.10	0.16	0.12	0.06
Current Service Cost	0.43	0.54	0.32	0.30	0.33
Liability Transferred	0.05	(0.03)	0.00	0.00	0.00
Contributions by plan participants	-
Curtailment  Cost / (Credit)	-
Settlement  Cost / (Credit)	-
Benefits Paid	(0.59)	(0.56)	(0.44)	(0.13)	(0.09)
Actuarial (Gains) / Loss	(0.04)	1.17	(0.48)	0.18	0.51
Present value of obligation as at end of the year	2.78	2.75	1.52	1.97	1.50
Amounts recognised in Balance Sheet
Present value of obligation as at end of the year	2.79	2.75	1.52	1.97	1.50
Fair value of plan assets as at end of the year	-
(Asset) / Liability recognised  in the Balance Sheet	2.79	2.75	1.52	1.97	1.50
Classification of Liability
Current	1.27	0.39	0.04	0.05
Non Current	1.52	2.36	1.48	1.92
Expenses recognised in Statement of Profit & Loss
Current service cost	0.43	0.54	0.32	0.30	0.33
Past service cost	-
Interest Cost	0.20	0.10	0.16	0.12	0.06
Expected return on plan assets	-
Curtailment  Cost / (Credit)	-
Settlement  Cost / (Credit)	-
Net Actuarial (Gain) / Loss	(0.04)	1.18	(0.48)	0.18	0.51
Employee’s Contribution	-
Total expenses recognised  in Profit & Loss account	0.59	1.83	0.00	0.60	0.90

 

20. List of Related Parties and Transactions during the year.
1. Controlling Entity
1. Ashok Piramal Group Real Estate Trust
2. Morarjee Goculdas Spinning and Weaving Company Limited Senior ESOP Trust
2. Associate Companies with whom the Company had transactions during the year
1. JM Realty Management Private Limited
2. SEW Engineering (India) Private Limited
3. RA Realty Ventures LLP (formerly known as RA Realty Ventures Private Limited)
3. Companies where Key Management Personnel /their relatives exercise significant influence
1. Ashok Piramal Management Corporation Limited
2. Freedom Registry Limited
3. Morarjee Textiles Limited
4. Thundercloud Technologies (India) Private Limited
5. Peninsula SA Realty Private Limited
6. Peninsula Townships Development Private Limited
7. Delta Corp Limited
8. Rockfirst Real Estate Limited
9. Ashok Piramal Mega City Development Private Limited
10. Ashok Piramal Mega Properties Private Limited
11. Ashok Piramal Township Development Private Limited
12. Goldlife Mercantile Company Private Limited
13. Jammin Recreation Private Limited
14. Pune Football Club Limited
15. Topvalue Brokers Private Limited
16. Integra Apparels & Textiles Limited, a division of Morarjee Textiles Limited
17. CAMS Learning Private Limited
18. EDUSTAR Learning Private Limited
19. Bridgepoint Learning Private Limited
20. Rockfield Trading Private Limited
21. Piramal Land Private Limited
22. Piramal Roads Infra Private Limited
23. Antartica Trading Company Private Limited
24. APG Infrastructure Private Limited
25. Cromwell Tools (I) Private Limited
26. Miranda Few Tools Private Limited
27. Miranda Ultra Tools Private Limited
28. PMP Auto Components Private Limited
29. Peninsula Sports Club Private Limited
30. Onestar Mercantile Company Private Limited
31. Shobla Hydropower Private Limited
32. Peninsula Brookfield Capital Advisors Limited
33. Anjoss Trading Private Limited
34. Delta Adventure and Entertainment Private Limited
35. Delta Corp Limited (Richtime Realty Private Limited)
4. Joint Venture
1. Bridgeview Real Estate Development LLP (formerly known as Bridgeview Real Estate Development Private Limited)
2. Peninsula Brookfield Trustee Private Limited (entire equity is held through wholly owned subsidiary)
3. Peninsula Brookfield Investment Managers Private Limited (entire equity is held through wholly owned subsidiary)
5. Enterprises where Key Management Personnel /their relatives exercise significant influence
1. Ashok G. Piramal Trust
2. Peninsula Land Limited ESOP Trust
3. Urvi Ashok Piramal Foundation
6. Key Management Personnel
1. Ms. Urvi A. Piramal - Executive Chairperson
2. Mr. Rajeev A. Piramal- Executive Vice Chairman & Managing Director
3. Mr. Mahesh S. Gupta - Group Managing Director
7. Relatives of Key Management Personnel
1. Mr. Harshvardhan A. Piramal - Son of Executive Chairperson
2. Mr. Nandan A. Piramal - Son of Executive Chairperson
3. Mr. Jaydev Mody - Brother of Executive Chairperson
4. Ms. Sunita Gupta - Spouse of Group Managing Director
5. Ms. Kalpana Singhania - Sister of Executive Chairperson

 

		2013-14	2012-13
	Details of Transactions are as Follows :
I	Loan received from
a	Companies where Key  Management Personnel / their relatives exercise significant influence
(i)	Piramal Roads Infra Private Limited	0.00	0.00
II	Income received from
a	Companies where Key  Management Personnel / their relatives exercise significant influence
(i)	Rent from  Morarjee Textiles Limited
(ii)	Debenture Interest from Rockfirst Real Estate Limited	-	6.28
(iii)	Rent from  Piramal Roads Infra Private Limited	0.14	0.14
(iv)	Rent/Licence fee from PMP Auto Component Pvt Ltd	0.03	-
III	Receipt of Services from
a	Companies where Key  Management Personnel / their relatives exercise significant influence
(i)	Freedom Registry Limited	0.07	0.07
(ii)	Pune Football Club Limited
	-Advertisement	9.92	8.76
IV	Purchase from
a	Associate Companies
1	SEW Engineering (India) Private Limited	3.54	6.51
V	Reimbursement made to
	a  Companies where Key  Management Personnel / their relatives exercise significant influence
1	Ashok Piramal Management Corporation Limited		0.01
VI	Donation paid to
a	Companies/Enterprises where Key  Management Personnel / their relatives exercise significant influence	-
1	Urvi Piramal Foundation	0.74	1.44
VII	Loan  given to
a	Associate Companies
1	RA Realty Ventures LLP	119.60	22.91
b	Companies where Key  Management Personnel / their relatives exercise significant influence
1	Rockfirst Real Estate Limited	10.47	22.98
2	Ashok Piramal Management Corporation Limited	0.08
c	Joint Venture
1	Bridgeview Real Estate Development  LLP	21.96	13.51
VIII	Loan  repaid by
a	Associate Companies
1	RA Realty Ventures LLP	107.69	1.70
b	Companies where Key  Management Personnel / their relatives exercise significant influence
1	Rockfirst Real Estate Limited	40.85	0.61
c	Joint Venture
1	Bridgeview Real Estate Development  LLP	19.03	28.05
IX	Expenses incurred on behalf of
a	Companies where Key  Management Personnel / their relatives exercise significant influence
1	Morarjee Textiles Limited	0.81	0.47
2	Others	0.22	0.19
b	Joint Venture
1	Peninsula Brookfield Trustee Private Limited	0.00	0.00
2	Peninsula Brookfield Investment Managers  Private Limited	0.01	0.01
X	Expenses incurred on behalf reimbursed by
a	Companies where Key  Management Personnel / their relatives exercise significant influence
1	Morarjee Textiles Limited	0.87	0.49
2	Peninsula Land Limited ESOP Trust	0.51	0.38
3	Others	0.10	0.09
b	Joint Venture
1	Peninsula Brookfield Investment Managers  Private Limited	0.00	0.07
XI	Loan  Repaid to
a	Companies where Key  Management Personnel / their relatives exercise significant influence
1	Piramal Roads Infra Private Limited	3.53	0.03
XII	Interest income from
	(interest income has been converted in loan at year end, which is not included in amount disclosed under head loan given above)
a	Associate Companies
1	RA Realty Ventures LLP	28.64	18.48
b	Companies where Key  Management Personnel / their relatives exercise significant influence
1	Rockfirst Real Estate Limited	3.16	5.95
c	Joint Venture
1	Bridgeview Real Estate Development  LLP	3.20	2.82
XIII	Remuneration to Key  Management Personnel (Includes Commission)
1	Ms. Urvi A. Piramal	4.26	8.27
2	Mr. Rajeev A. Piramal	2.32	5.32
3	Mr. Mahesh S. Gupta	2.96	5.93
4	Mr. Rajesh Jaggi		2.74
XIV	Dividend Paid  to Key  Management Personnel
1	Ms. Urvi A. Piramal	0.42	0.31
2	Mr. Rajeev A. Piramal	0.14	0.10
3	Mr. Mahesh S. Gupta	0.00	-
4	Mr. Rajesh Jaggi		0.01
XV	Dividend Paid to Relatives of Key  Management Personnel
1	Mr Harshvardhan  A Piramal	0.14	0.10
2	Mr Nandan A Piramal	0.14	0.10
3	Mr Jaydev Mody	0.00	0.00
4	Ms Kalpana Singhania	0.00	0.00
5	Ms Sunita Gupta	0.13	0.10
XVI	Dividend Paid  to Controlling Entity
1	Ashok Piramal Group Real Estate Trust through its trustees  Ms Urvi A Piramal and Mr Harshvardhan A Piramal (Equity)	22.34	16.38
2	Morarjee Goculdas Spinning & Weaving Company  Limited Senior ESOP Trust through its trustees Ms Urvi A Piramal and Mr Mahesh S Gupta	0.15	0.11
3	Ashok Piramal Group Real Estate Trust through its trustees  Ms Urvi A Piramal and Mr Harshvardhan A Piramal (Preference)	0.00	0.38
XVII	Sale to Company where Key  Management Personnel / their relatives exercise significant influence
1	Delta Corp Limited		1.47
XVIII	Sundry Advances for property received
a	Companies where Key  Management Personnel / their relatives exercise significant influence
1	Delta Corp Limited		2.50
XIX	Sundry Advances for property repaid
a	Companies where Key  Management Personnel / their relatives exercise significant influence
1	Delta Adventure & Entertainment Pvt Ltd		7.50
2	Delta Corp Limited	2.50
XX	Rendering of services to and recoveries from
a	Key  Management Personnel
1	Mr Rajeev. A. Piramal
1	Mr Rajeev. A. Piramal		0.02
b	Relatives of Key  Management Personnel
1	Mr . Harshvardhan  A. Piramal	-	0.02
2	Mr . Nandan A. Piramal	-	0.02
XXI	Outstanding balances as  at March 31,2014
1	Payable by  Company to
a	For Services received
a	Companies where Key  Management Personnel / their relatives exercise significant influence
1	Freedom Registry Limited	0.00	0.01
b	For Loan  received
a	Companies where Key  Management Personnel / their relatives exercise significant influence
1	Piramal Roads Infra Private Limited		3.41
c	Sundry Advances for properties received
a	Companies where Key  Management Personnel / their relatives exercise significant influence
1	Delta Adventure & Entertainment Pvt Ltd		(0.2)
2	Delta Corp Limited		2.50
D	Towards services / supplies
a	Associate Companies
1	SEW Engineering (India) Private Limited	(1.14)	1.66
II	Receivable by  Company
A	Loans
a	Associate Companies
1	JM Realty Management Private Limited	7.79	14.29
2	RA Realty Ventures LLP	176.35	137.50
b	Companies where Key  Management Personnel / their relatives exercise significant influence
1	Rockfirst Real Estate Limited	18.34	45.03
2	Ashok Piramal Management Corporation Limited	0.28	-
c	Enterprise over which Company exercise significant control
1	Peninsula GSG MHP Project - AOP (50% share)	1.01	0.94
2	Peninsula Land Limited ESOP Trust	26.84	27.35
d	Joint Venture
1	Bridgeview Real Estate Development  LLP	22.21	16.07
b	For  Reimbursement of Expenses
a	Companies where Key  Management Personnel / their relatives exercise significant influence
1	PMP Auto Components Private Limited	0.13	0.00
2	Goldlife Mercantile Company Private Limited	(0.01)	0.05
3	Pune Football Club Limited	0.04	0.05
4	Ashok Piramal Management Corporation Limited	-	0.20
5	Morarjee Textiles Limited	0.01	0.08
6	Others	0.04	0.04
b	Joint Venture
1	Peninsula Brookfield Investment Managers  Private Limited	0.01	0.01
	C Towards Sales/Services
a	Companies where Key  Management Personnel / their relatives exercise significant influence	0.02	0.02
1	Piramal Roads Infra Private Limited	0.01	0.01
2	Morarjee Textiles Limited		0.53
3	Rockfirst Real Estate Limited
d	Towards Debentures and Accrued Interest</td>
a	Companies where Key  Management Personnel / their relatives exercise significant influence
1	Rockfirst Real Estate Limited	60.27	60.27

22. Resources / Premises sharing with related parties Transactions involving resource / premise sharing with undermentioned related parties which are for non monetary consideration
1. Joint Venture
1. Bridgeview Real Estate Development LLP
2. Peninsula Brookfield Trustee Private Limited
3. Peninsula Brookfield Investment Managers Private Limited
2. Companies where Key Management Personnel /their relatives exercise significant influence
1. Ashok Piramal Management Corporation Limited
2. Freedom Registry Limited
3. Morarjee Textiles Limited
4. Thundercloud Technologies (India) Private Limited
5. Peninsula SA Realty Private Limited
6. Peninsula Townships Development Private Limited
7. Delta Corp Limited
8. Rockfirst Real Estate Limited
9. Ashok Piramal Mega City Development Private Limited
10. Ashok Piramal Mega Properties Private Limited
11. Ashok Piramal Township Development Private Limited
12. Goldlife Mercantile Company Private Limited
13. Jammin Recreation Private Limited
14. Pune Football Club Limited
15. Topvalue Brokers Private Limited
16. Integra Apparels & Textiles Limited, a division of Morarjee Textiles Limited
17. CAMS Learning Private Limited
18. EDUSTAR Learning Private Limited
19. Bridgepoint Learning Private Limited
20. Rockfield Trading Private Limited
21. Piramal Land Private Limited
22. Piramal Roads Infra Private Limited
23. Antartica Trading Company Private Limited
24. APG Infrastructure Private Limited
25. Cromwell Tools (I) Private Limited
26. Miranda Few Tools Private Limited
27. Miranda Ultra Tools Private Limited
28. PMP Auto Components Private Limited
29. Peninsula Sports Club Private Limited
30. Onestar Mercantile Company Private Limited
31. Shobla Hydropower Private Limited
32. Peninsula Brookfield Capital Advisors Limited
33. Anjoss Trading Private Limited
34. Delta Adventure and Entertainment Private Limited
35. Delta Corp Limited (Richtime Realty Private Limited)
    
    

21   Leases

1. Assets taken on Operating Lease
   Future minimum lease payments  under non - cancellable operating lease are as under:

(₹ in Crores)  

	As At 31.03.2014	As At 31.03.2013
Not later than one year	0.43	0.99
Later than one year and not later than five years	0.10	0.53
Later than five years	-	-
Total	0.53	1.52

Total lease rental cost recognised in the financial statement is ₹1.45 Crores [Previous Year ₹ 1.57 Crores]. This rental cost is inclusive of service tax.

General Terms of Lease Rentals:
1. Lease Rentals are charged on the basis of agreed terms.
2. Assets are taken on lease over a period of 4 to 5 years.
   
   

2. Assets given on  Operating Lease
   Future minimum lease income under   operating lease are as under:

(₹ in Crores)  

	As At 31.03.2014	As At 31.03.2013
	31.03.2014	31.03.2013
Not later than one year	23.34	26.91
Later than one year and not later than five years	2.84	2.43
Later than five years	-	-
Total	26.18	29.34

Total lease rental income recognised in the financial statement is ₹ 36.80 Crores [Previous Year ₹ 26.55 Crores]. inclusive of service tax.

General Terms of Lease Rentals:
1. Lease Rentals are charged on the basis of agreed terms.
2. Assets are given on lease for a period ranging between 1 year to 10 years.
3. The lease agreements can be renewed on mutually agreed terms with the lessee.
   
   

22   Major components of deferred tax assets and liabilities are:

	As At 31.03.2014	As At 31.03.2013
Opening Deferred Tax liability	9.46	9.33
Add: Difference between book WDV and WDV as per Income Tax Act 1961	(0.47)	(0.07)
Add: Unabsorbed Business Loss	(23.14)	-
Less: Merger Expenses	0.90	-
Less: Deferred tax asset as per Section 43B	(0.27)	(0.2)
Closing Deferred Tax Liability / (Asset)	(14.78)	9.46

 

23 Earnings Per Share (EPS)

In determining earnings per share, the Company considers the net profit after tax and includes the post tax effect of any extra - ordinary / exceptional items. The number of shares in computing basic earnings per share is the weighted average number of shares outstanding during the year. The number of shares used in computing diluted earnings per share comprises weighted average shares considered for deriving basic earnings per share, and also the weighted average number of equity shares that could have been issued on the conversion of all dilutive potential equity shares. The diluted potential equity shares are adjusted for the proceeds receivable, had the shares been actually issued at fair price (ie the average market value of outstanding shares). Statement showing the computation of EPS is as under:

(₹ in Crores)  

		2013-14	2012-13
a	Profit after tax before extraordinary items	41.83	195.34
	Less : Preference Share Dividend and Dividend Distribution tax thereon	0.00	0.00
		41.83	195.34
b	Profit after tax after extraordinary items	41.83	195.34
	Less : Preference Share Dividend and Dividend Distribution tax thereon	0.00	0.00
		41.83	195.34
c	Weighted  Average Number of Shares
	Basic	27,92,01,220	27,92,01,220
	Diluted	27,92,01,220	27,92,01,220
d	Basic EPS (₹) (After Extraordinary & Prior Period Items)	1.50	7
e	Basic EPS (₹) (Before Extraordinary & Prior Period Items)	1.50	7
f	Diluted EPS (₹) (After Extraordinary & Prior Period Items)	1.50	7
g	Diluted EPS (₹) (Before Extraordinary & Prior Period Items)	1.50	7
h	Face value of share in ₹	2	2

24 The Micro, Small and Medium Enterprises Development Act, 2006

Company has sent letters to suppliers to confirm whether they are covered under Micro, Small and Medium Enterprises Development Act 2006 as well as they have filed required memorandum with the prescribed authorities. Out of the letters sent to the parties, some confirmations have been received till the date of finalisation of Balance Sheet. Based on the confirmations received, the details of outstandings are as under:

(₹ in Crores)  

	As at 31.03.2014	As at 31.03.2013
The principal amount remaining  unpaid at the end of the year	-	0.01
The interest amount remaining  unpaid at the end of the year	-	-
The balance of MSMED parties as at the end of the year	-	0.01

25 a The  details of cost of Realty Sales and Work in Progress (Realty Stock) are as under:

(₹ in Crores)  

	2013-14	2012-13
Realty Costs incurred during the year
Land	1.21	245.54
Cost of Acquisition of Development  Rights	6.74	154.42
Material Costs	19.54	28.32
Other Development  Expenses	22.06	110.03
Interest Expense	105.71	72.06
Interest reversal pursuant to merger scheme	(221.24)	-
Interest reversed in earlier year reversed on account  of merger	64.99	-
Statutory Fees	0.65	102.21
Allocated Expenses	4.74	4.67
Total Realty Costs for the year  (A)	4.40	717.25
Changes in Inventory :
Opening Inventory :
Finished Realty Stock	132.85	4.91
Work in Progress	1,297.80	1,096.63
Sub-total (i)	1,430.65	1,101.54
Closing Inventory :
Finished Realty Stock	77.73	132.85
Work in Progress	1,243.72	1,297.80
Sub-total (ii)	1,321.45	1,430.65
Changes in Inventory  (B) = (i-ii)	109.20	(329.11)
Costs capitalised / Transferred to P&L  (C)	-	-
Cost of Realty Sales (Revenue Recognised)  (A+B+C)	113.59	388.14

25 b The  details of cost of Traded Finished Goods are as under:

(₹ in Crores)  

	2013-14	2012-13
Purchase of Traded Finished Goods during the year	0.00	0.75
Changes in Inventory
Opening Inventory - (i)	0.80	0.05
Closing Inventory - (ii)	0.79	0.80
Changes  in Inventory - (i-ii)	0.01	(0.75)
Cost of Sales - Traded Finished Goods	0.01	-

26   Details of Subsidiary, Associates and Other Entities

	Country of Incorporation	% of Voting power as  on 31.03.2014	% of Voting power as  on 31.03.2013
a  Subsidiaries
Peninsula Holdings and Investments Private Limited	India	100%	100%
Renato Finance and Investments Private Limited	India	100%	100%
Peninsula Mega Properties Private Limited	India	100%	100%
Peninsula Crossroads Private Limited	India	100%	100%
Pavurotti  Real Estate  Private  Limited (formerly  known  as  Pavurotti  Finance  &	India	56%	-
Investment Private Limited- Previous Year Step Down Subsidiary)
Goodtime  Real Estate Development  Private Limited (Previous year step down subsidiary)	India	100%	-
Peninsula Mega Township Developers Limited	India	100%	-
b  Other Entities
Peninsula GSG MHP Project (AOP)	India	50%	50%
c  Step Down Other Entities (treated as Step down subsidiaries for
consolidation)
Argento Real Estate LLP	India	99%	99%
Gorena Real Estate LLP	India	99%	99%
Maxis Real Estate LLP	India	99%	99%
Nebustar Real Estate LLP	India	99%	99%
Regena Real Estate LLP	India	99%	99%
Eastgate Real Estate LLP	India	99%	99%
Westgate Real Estate Developers LLP	India	84.99%	85%
d  Step Down Subsidiaries
City Parks Private Limited (merged  with Peninsula Land Limited with effect from	India	-	100%
1st August 2013)
Inox Mercantile Company Private Limited	India	100%	100%
Peninsula Facility Management Services Limited	India	100%	100%
Peninsula Investment Management Company Limited	India	75.01%	75%
Peninsula Mega Township Developers Limited	India	-	100%
Peninsula Pharma Research Centre Private Limited	India	100%	100%
Peninsula Trustee Limited	India	70%	70%
Planetview Mercantile Company Private Limited	India	100%	100%
RR  Mega  Property  Developers  Private  Limited  (merged   with  Peninsula  Land	India	-	100%
Limited with effect from 1st April 2013)
RR Real Estate Development  Private Limited	India	100%	100%
Takenow Property Developers Private Limited	India	100%	100%
Goodtime  Real Estate Development  Private Limited	India	-	100%
Peninsula Mega City Development  Private Limited	India	100%	100%
Peninsula Real Estate Management Private Limited	India	100%	100%
Flaxo Real Estate Private Limited	India	100%	100%
Hem Infrastructure  and Property Developers Private Limited	India	51%	51%
Pavurotti Real Estate Private Limited	India	-	56%
Wismore Real Estate Private Limited (merged  with Peninsula Land Limited with	India	-	100%
effect from 1st April 2013)
Peninsula Integrated Land Developers Private Limited (Previous year Associate)	India	100%	100%
Midland Township Private Limited	India	100%	-
Sketch Real Estate Private Limited	India	100%	-
e  Associates
JM Realty Management Private Limited.	India	50%	50%
SEW Engineering (India) Private Limited.	India	26%	26%
RA Realty Ventures LLP	India	40%	40%
HEM Bhattad AOP	India	18%	18%
f  Joint Venture
Bridgeview Real Estate  Development  LLP    (formerly known  as Bridgeview Real	India	50%	50%
Estate Development  Private Limited)
Peninsula Brookfield Investment Managers  Private Limited	India	49.67%	49.67%
Peninsula Brookfield Trustee Private Limited	India	50%	50%

27   Schedule of Investment in Associates

2013-2014

(₹ in Crores)  

Name of Associate	Original cost of investment	Goodwill/ (Capital Reserve) included in the original cost of Investments	Dividend	Investors Share in accumulated Profits/ Losses	Carrying Value
JM Realty Management Private Limited  (Principal Activity - Real Estate) Ownership Interest & Voting Power - 50%)	0.00	0.00			0.00
SEW Engineering (India) Private Limited. (Principal Activity - Electrical Contracts) (Ownership Interest & Voting Power - 26	6.54	4.53		8.31	10.32
RA Realty Ventures LLP (Principal Activity - Real Estate)(Ownership Interest & Voting Power 40%)	0.40			(0.10)	0.30
HEM Bhattad AOP (Principal Activity - Real Estate) Ownership Interest & Voting Power -18.11%	93.96*				93.96
	100.40	4.53		8.21	104.58

2012-2013

(₹ in Crores)  

Name of Associate	Original cost of investment	Goodwill/ (Capital Reserve) included in the original cost of Investments	Dividend	Investors Share in accumulated Profits/ Losses	Carrying Value
JM Realty Management Private Limited  (Principal Activity - Real Estate) Ownership Interest & Voting Power - 50%)	0.00	0.00			0.00
SEW Engineering (India) Private Limited. (Principal Activity - Electrical Contracts) (Ownership Interest & Voting Power - 26	6.54	4.53		8.06	10.07
RA Realty Ventures LLP (Principal Activity - Real Estate)(Ownership Interest & Voting Power 40%)	0.40			(0.06)	0.34
HEM Bhattad AOP (Principal Activity - Real Estate) Ownership Interest & Voting Power -18.11%	93.96*				93.96
Total	100.90	4.53		8	104.37

 

28   Segment Information

In accordance with AS-17, Segment  Revenue, Segment  results and other information  are as under:

29   MAT Credit Entitlement of ₹ 61.01 crores (Previous year ₹ 51.07 crores) is based on future performance of the Company as projected by the Management which has been relied upon by the Auditors.

30   Previous year figures have been regrouped / reclassified wherever necessary to conform to current year’s classification.

31   Interest in joint venture

	2013-14	2012-13
Assets	193.25	170.68
Liabilities	191.21	168.82
Income	0.15	0.04
Expense	6.55	0.85

32   The figures have been rounded off to two decimals in crores.
33 The Company is registered with Ministry of Corporate Affairs under CIN no L17120MH1871PLC000005.

Signature to Schedules 1 to 22