TRUE SUCCESS RESTS ON

HEART & STRENGTH

ANNUAL REPORT AND ACCOUNTS 2019-20
ANNUAL REPORT AND ACCOUNTS 2019-20
M a d h av P ra s a d j i B i r l a P r i ya mva d a j i B i r l a
(1918-1990) (1928-2004)

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B I R L A CO R P O R AT I O N L I M I T E D B I R L A CO R P O R AT I O N L I M I T E D
 S h r i H a r s h V. L o d h a
Chairman

Shri Pracheta Majumdar Shri Vikram Swarup Shri Anand Bordia

Wholetime Director &
Chief Executive Officer

Shri Brij Behari Tandon Shri Dhruba Narayan Ghosh Dr. Deepak Nayyar

Ra j endraji S. L odha
( 1942-2008)

Smt. Shailaja Chandra Shri Dilip Ganesh Karnik

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B I R L A CO R P O R AT I O N L I M I T E D B I R L A CO R P O R AT I O N L I M I T E D
 HEART & STRENGTH
As we complete another year of remarkable
achievements by all companies in the group, our
conviction in ‘Heart and Strength’ gets even more
entrenched in all aspects of our operations. It is a belief
instilled in us by the vision of our founders
Syt. Madhav Prasadji Birla and Smt. Priyamvadaji Birla.
Remaining true to this vision, over the years, we have
grown, advanced and developed the group in various
dimensions. We have led the charge in building
leading enterprises, educational institutions and
healthcare facilities built on the foundations of
integrity, sustainability, compassion and ethics. As a
group we constantly strive to attain newer heights of
operational excellence and commercial success, while
following sustainable policies and practices that have
a positive impact on the environment and the lives of
all stakeholders.

Harsh V. Lodha
(Chairman)

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B I R L A CO R P O R AT I O N L I M I T E D B I R L A CO R P O R AT I O N L I M I T E D
 To be admired
for our Performance,
Ethics and Culture.
VISION

A JOURNEY OF
GROWING STRONGER

To be the
2019-20 has been a year of unprecedented growth across all our
best in class
divisions through seamless integration and better efficiency of
in every sector
we operate. manufacturing capabilities. While growth has been a constant,
consistent efforts have been made to reach out and impact the
MISSION

lives of the people who reside around our factories and plants.
VALUES

 Integrity
 Professionalism
 Value Creation

 Social Commitment 011

B I R L A CO R P O R AT I O N L I M I T E D
 GROWING IN STRENGTH

SATNA

CHANDERIA
The Chanderia plant reached its highest ever production of the The plant attained its highest ever clinker production and daily
premium brand Perfect Plus cement. It also achieved the highest ever production from the BVC kiln.
clinker TPD from CCW-2 kiln after the project completion of the first
To further integrate the automated weighbridge with SAP for all
expansion phase.
inward and outward movement of material, an Automated Truck
Parking with Plant Entry & Weighbridge System was installed at
the plant.
Farmers of the surrounding areas have gained from the Livelihood
Promotional Program, Improved Agricultural Practices, Livestock
Development & Wadi (Orchard) fruits based farming and increased
their agricultural income.

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B I R L A CO R P O R AT I O N L I M I T E D B I R L A CO R P O R AT I O N L I M I T E D
MAIHAR

KUNDANGANJ
The efficient operating parameters of power and fuel consumption The Kundanganj plant broke all its previous records with the highest
at the Maihar plant were rated as one of the best in the industry. ever cement production and dispatch in a year. It also successfully set up
Also, a 12.25MW Waste Heat Recovery System and 12MW solar plant a railway siding and automated loading facility for finished products.
were commissioned at the plant. The plant won the gold award under Apex India Environment Excellence
A MP Birla Cement mobile medical clinic, along with a doctor and award forum for outstanding achievement in Environment and Best
pharmacist visited adjoining villages offering clinical examination CSR Impact award by UBS forum for various skill trainings program
and distribution of medicines. To further the cause of education, girls (Mason, Motor Driving, Stitching, Beautician etc.)
studying in class 10 of these villages were given home solar panels.

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B I R L A CO R P O R AT I O N L I M I T E D B I R L A CO R P O R AT I O N L I M I T E D
 DURGAPUR

BUTIBORI
Safety measures at the RCCPL-Butibori plant never take a backseat. The With the highest ever slag % utilisation in DCW PSC (yearly average) and fly ash %
Certificate of Zero Accident Year (2019-20) issued by Dy. Director of utilisation in DHTC PPC (yearly average), the Durgapur plant reached its highest
Industrial Health & Safety bears testament to that fact. ever cement production and dispatch in a year.
In collaboration with the Government Hospital, Takalghat, a Filariasis As part of the CSR initiatives, Free Eye Screening and Surgery Camps were held
disease camp was organised for the residents of 35 villages near Butibori. regularly for people from rural areas to have easy access to these facilities.

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RAEBARELI

MUKUTBAN
The Raebareli plant reached its highest ever fly ash consumption in The Mukutban project has seen rapid progress in the past year with
a year at its RCW and RHTC units. 64% completion achieved. It is being executed with the highest safety
standards with the accomplishment of 9.87 million safe man hours.
Better control of processes led to water consumption reaching an
all-time low at the plant. The water saved was used for industrial
cooling and domestic purposes.
To support underprivileged families in neighbouring areas in the
Corona virus pandemic, essentials were distributed to them.

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B I R L A CO R P O R AT I O N L I M I T E D B I R L A CO R P O R AT I O N L I M I T E D
 SALES &
LOGISTICS

GET IT ON

EXPANDING MARKETS, ALL-ROUND GROWTH

SECURING GROWTH. The Power of One helped various BCL and RCCPL teams operate as 'one' team.
A comprehensive marketing communication plan was executed successfully in Seamless integration and organisational synergies led to greater opportunities
different markets to further the premium strategy of MP Birla Cement. and success.

Build Water Smart, an industry first initiative, was introduced to promote water An improved brand architecture following the 3P model (Price, Premium, Profit),
conservation. It raised awareness on how during concreting our premium created a special place in recording more than a 40% share of premium grade
range of blended cements need less water than Ordinary Portland Cement. product sales across India.

Armaan Nirmaan, our influencer management program, is now even stronger Supply chain efficiencies are long-term game changers where outcomes are
with two lakh masons, head masons and contractors. visible. The initiation of various compliance measures led to overall savings in
total delivered cost of cement.
Prerna Season 3 helped us recognise the accomplishments of families of our dealer
partners in academics, sports, music, dance and fine arts.

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B I R L A CO R P O R AT I O N L I M I T E D B I R L A CO R P O R AT I O N L I M I T E D
GROWING IN THE RIGHT DIRECTION
The year saw the financial closure of Mukutban project with a long term
loan on competitive terms. We also successfully pre-paid and refinanced
loans to reduce cost of funding.

JUTE A LIFELINE GROWS STRONGER

The first blood bank of Chittorgarh was inaugurated on 19th
November, 2019 at MP Birla Hospital & Research Centre, Chittorgarh.
WEAVING SUCCESS
The first Arthroscopic ACL Reconstruction in Chittorgarh was done at
The significant increase of our jute exports bears testimony to our
MP Birla Hospital & Research Centre, Chittorgarh.
commitment to quality.
We successfully partnered with a major international retail chain to
supply shopping bags to their numerous stores across the globe.

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B I R L A CO R P O R AT I O N L I M I T E D B I R L A CO R P O R AT I O N L I M I T E D
 BIRLA
CORPORATION
NOTES LIMITED

NOTICE

To the Members

NOTICE is hereby given that the One Hundredth Annual General Meeting of the Members of the Company will be held on Tuesday, the 25th
day of August, 2020 at 10.30 A.M. (IST) through Video Conferencing (“VC”)/Other Audio Visual Means (“OAVM”) to transact the following
business:-

ORDINARY BUSINESS:

1. To receive, consider and adopt:

(a) the Audited Standalone Financial Statements of the Company for the financial year ended 31st March, 2020 together with the
Reports of the Directors and Auditors thereon; and

(b) the Audited Consolidated Financial Statements of the Company for the financial year ended 31st March, 2020 together with the
Reports of the Auditors thereon.

2. To declare dividend on Ordinary Shares of the Company for the financial year ended 31st March, 2020.

3. To appoint a Director in place of Shri Harsh V. Lodha (DIN: 00394094), who retires by rotation and being eligible, offers himself for
re-appointment.

SPECIAL BUSINESS:

4. To consider and if thought fit, to pass the following Resolution as a Special Resolution:

“RESOLVED that pursuant to Regulation 17(6)(ca) of Securities and Exchange Board of India (Listing Obligations and Disclosure
Requirements) Regulations, 2015 read with Sections 197, 198 and other applicable provisions, if any, of the Companies Act, 2013 (“the
Act”) and the Rules made thereunder (including any statutory modification or re-enactment thereof for the time being in force),
approval of the members of the Company be and is hereby accorded for payment of remuneration/compensation by way of profit
related commission or otherwise as permissible (excluding Goods and Services Tax, if any, thereon) of an amount not exceeding 0.75%
(seventy five basis points) of Net Profits of the Company computed in the manner as laid down in Section 198 of the Act, to Shri Harsh V.
Lodha (DIN: 00394094), Non-Executive Chairman of the Company, for the financial year 2020-2021 as determined by the Board of
Directors based on the recommendation of Nomination and Remuneration Committee and such remuneration/compensation may
exceed fifty percent of the total annual remuneration/compensation payable to all Non-Executive Directors of the Company.”

“RESOLVED FURTHER that the remuneration/compensation by way of profit related commission or otherwise (excluding Goods and
Services Tax, if any thereon) payable to Shri Harsh V. Lodha, Non-Executive Chairman of the Company, shall be in addition to the sitting
fees and other reimbursement of expenses payable to him for participation in the Board, Committee and other meetings.”

“RESOLVED FURTHER that the Board of Directors of the Company be and is hereby authorised to do all such acts, deeds, matters and
things as may be considered necessary, desirable or expedient to give effect to this Resolution.”

5. To consider and if thought fit, to pass the following Resolution as an Ordinary Resolution:

“RESOLVED that pursuant to the provisions of Section 148 and all other applicable provisions, if any, of the Companies Act, 2013 and
the Companies (Audit and Auditors) Rules, 2014 (including any statutory modification(s) or re-enactment thereof, for the time being in
force), the remuneration of ` 4,00,000/- (Rupees four lakh only) plus applicable taxes and reimbursement of actual travelling and out of
pocket expenses, to be paid to M/s. Shome & Banerjee (Firm Registration No. 000001), Cost Auditors of the Company, for the Financial
024
Year 2020-2021 as approved by the Board of Directors of the Company, at its Meeting held on 22nd May, 2020, be and is hereby ratified
and confirmed.”
BIRLA CORPORATION LIMITED

25
 BIRLA
CORPORATION
LIMITED

“RESOLVED FURTHER that the Board of Directors of the Company be and is hereby authorised to do all acts and take all such steps as resolution is proposed for ratification of appointment of Auditors, who were appointed in the Annual General Meeting held on
may be necessary, proper or expedient to give effect to this Resolution.” 31st July, 2017.

7. The Register of Members and the Share Transfer Books of the Company will remain closed from 19th August, 2020 to 25th August,
2020 (both days inclusive).

Registered Office: By Order of the Board 8. The dividend on the Ordinary Shares, if approved at the AGM, will be paid subject to deduction of tax at source, to the Members whose
Birla Building, names appear in the Register of Members/list of Beneficial Owners as at the end of business hours on Tuesday, 18th August, 2020, i.e.
9/1, R.N. Mukherjee Road, Girish Sharma the date prior to the commencement of book closure.
Kolkata - 700 001 Jt. President (Indirect Taxes)
CIN: L01132WB1919PLC003334 & Company Secretary 9. Pursuant to the Finance Act, 2020, dividend income will be taxable in the hands of shareholders w.e.f. 1st April, 2020 and
Email: investorsgrievance@[Link] the Company is required to deduct tax at source from dividend paid to shareholders at the prescribed rates in the Income Tax Act, 1961
Website: [Link] (“IT Act”). To enable us to determine the appropriate TDS rates as applicable, Members are requested to complete and/or update their
Residential Status, Permanent Account Number (PAN) with their depositories (in case of shares held in demat mode) or with the
Dated: 6th July, 2020 Company/Registrar & Share Transfer Agent (RTA) (in case of shares held in physical mode) by sending the documents through email at
Place: Kolkata investorsgrievance@[Link] on or before Monday, 10th August, 2020. No communication on the tax determination/ deduction
shall be entertained post 10th August, 2020. For the detailed process, the information is available on the Company’s website at
Notes: [Link]

1. In view of the outbreak and continuing COVID-19 pandemic, the Ministry of Corporate Affairs (“MCA”) vide its circular dated 5th May, 10. The Company will arrange to email the soft copy of TDS certificate to the Members at their registered email ID in due course, post
2020 read with circulars dated 8th April, 2020 and 13th April, 2020 (collectively referred to as “MCA Circulars”), permitted the holding of payment of the said Dividend. Members will also be able to see the credit of TDS in Form 26AS, which can be downloaded from their
the Annual General Meeting (“AGM”) through VC/OAVM, without the physical presence of the Members at a common venue. In e-filing account at [Link]
compliance with the provisions of the Companies Act, 2013 (“Act”), SEBI (Listing Obligations and Disclosure Requirements)
11. The Company vide its separate email communication dated 15th July, 2020 had informed the Members regarding this change in
Regulations, 2015 (“Listing Regulations”) and MCA Circulars, the AGM of the Company is being held through VC/OAVM. The venue of
the IT Act as well as the relevant procedure to be adopted by the Members to avail the applicable tax rate.
the Meeting shall be deemed to be the place from where the Chairman of the Company shall attend and conduct the Meeting.

2. A Member entitled to attend and vote at the AGM is entitled to appoint a proxy to attend and vote on his/her behalf and the proxy need 12. Pursuant to the Listing Regulations, all companies mandatorily have to use the bank account details furnished by the depositories for
not be a Member of the Company. Since this AGM is being held pursuant to the MCA Circulars through VC/OAVM, physical attendance payment of dividends. Dividend will be credited to the Members’ Bank Account through NACH/NEFT wherever complete core banking
details are available with the Company. In cases where the core banking details are not available, dividend warrants will be issued to the
of Members has been dispensed with. Accordingly, the facility for appointment of proxies by the Members will not be available
Members with bank details printed thereon as available in the Company’s records, at the earliest once the normalcy is restored.
for the AGM and hence the Proxy Form is not annexed to this Notice. Since the AGM will be held through VC / OAVM, the
Attendance Slip and Route Map of the AGM are also not annexed to this Notice. 13. Members holding shares in physical form are requested to notify to the Company’s RTA, M/s. MCS Share Transfer Agent Limited,
3. Institutional/Corporate Members (i.e. other than individuals, HUF, NRI etc.) intending to authorize their representatives for the 383, Lake Gardens, 1st Floor, Kolkata -700045, quoting their folio number, any change in their registered address along with a copy
purpose of voting through remote e-Voting, participation in the AGM through VC/OAVM and e-Voting at the AGM are required to of any one of the address proof i.e. Voter Identity Card, Aadhaar Card, Electric/Telephone Bill, Driving Licence, Passport or Bank
send a scanned copy (PDF/JPG Format) of the relevant Board Resolution/Authority letter etc. with attested specimen signature of the Statement and any change in Bank mandate along with original cancelled cheque leaf/attested bank passbook showing name of
duly authorized signatory(ies) to the Scrutinizer by email to evotingam@[Link] with a copy marked to evoting@[Link]. the Account Holder. Members holding shares in demat form are requested to intimate any change in their address and/or bank
mandate immediately to their respective Depository Participant.
4. The Statement pursuant to Section 102(1) of the Act, in respect of Item Nos. 4 and 5 which sets out details relating to Special Business at
the Meeting and considered unavoidable by the Board, is annexed hereto and forms part of the Notice. The relevant details of the 14. The Company has transferred the unpaid or unclaimed dividends declared up to financial years 2011-2012 and interim dividend
Director seeking re-appointment and/or fixation of remuneration of Director as required under Regulations 26(4) and 36(3) of the declared upto the financial year 2012-2013 on respective due dates to the Investor Education and Protection Fund (“IEPF”) established
Listing Regulations and the Secretarial Standard on General Meetings is also annexed as Annexure- A to the Notice. by the Central Government. The details of the unpaid/unclaimed amounts lying with the Company as on 31st March, 2020 are available
on the website of the Company at [Link]. Members who have not encashed their Dividend for the financial year
5. In compliance with the aforesaid MCA Circulars and SEBI Circular dated 12th May, 2020, Notice of the AGM along with the Annual 2012-2013 or any subsequent Dividend declared by the Company, are advised to write to the Company immediately.
Report for the financial year 2019-2020 is being sent only through electronic mode to those Members whose email addresses are
registered with the Company/ Depository Participant(s). The Notice of AGM along with the Annual Report for the financial year 15. Pursuant to the provisions of Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016
2019-2020 will also be available on the Company’s website at [Link], websites of the Stock Exchanges i.e. BSE as amended from time to time (IEPF Rules), all Shares in respect of which Dividend has not been paid or claimed by the Members for
Limited and National Stock Exchange of India Limited at [Link] and [Link] respectively, and on the website seven (7) consecutive years or more would be transferred to the demat account of IEPF Authority. In terms of the aforesaid provisions,
of NSDL at [Link]. during the financial year 2019-2020, the Company has transferred all shares in respect of which dividend had remained unpaid or
unclaimed for seven consecutive years or more as on the due date of transfer, i.e. 3rd August, 2019 and 15th December, 2019. Details of
6. At the Ninety-Seventh Annual General Meeting held on 31st July, 2017, the members had approved the appointment of Messrs. V. shares transferred to the IEPF Authority are uploaded on the website of IEPF Authority and the same can be accessed through the link:
Sankar Aiyar & Co., Chartered Accountants (Firm Registration No.109208W) as Statutory Auditors of the Company to hold office for a [Link].
period of five years from the conclusion of that AGM till the conclusion of the Hundred and Second Annual General Meeting of the
Company to be held in the year 2022, subject to ratification of their appointment by Members at every Annual General Meeting. The 16. The Members whose dividend/ shares has been transferred to the IEPF Authority can claim their shares from the Authority by following
requirement to place the matter relating to appointment of Auditors for ratification by members at every Annual General Meeting has the Refund Procedure as detailed on the website of IEPF Authority [Link] In case the Members have
been done away with vide notification dated 7th May, 2018 issued by the Ministry of Corporate Affairs, New Delhi. Accordingly, no any query on the subject matter and the IEPF Rules, they may contact the Company/RTA.

26 27
 BIRLA
CORPORATION
LIMITED

17. As per Regulation 40 of the Listing Regulations, as amended, securities of listed companies can be transferred only in dematerialized by the Company. The Management will decide, at its due discretion, whether and how it will answer the questions.
form with effect from 1st April, 2019, except in case of request received for transmission or transposition of securities. Members holding It can summarize the questions and select, in the interest of the other shareholders, only meaningful questions.
shares in physical form are requested to Dematerialize their holdings as it will not be possible to transfer shares held in physical mode.
e) Members who may like to express their views or ask questions during the AGM may register themselves as a speaker by
18. Members holding shares in physical form, in identical order of names, in more than one folio are requested to send to the Company or sending their request from their registered email address mentioning their name, DP ID and Client ID number/folio number,
Registrars, the details of such folios together with the share certificates for consolidating their holdings in one folio. A consolidated PAN and mobile number at agm@[Link] between 9.00 a.m. (IST) on Thursday, 20th August, 2020 and 5.00 p.m. (IST)
share certificate will be issued to such Members after making requisite changes. on Saturday, 22nd August, 2020. Only those Members who register themselves as speaker will be allowed to express
views/ask questions during the AGM. The Company reserves the right to restrict the number of speakers and time for each
19. As per the provisions of the Act, the facility for making/varying/ canceling nominations is available to individuals, holding shares in the
speaker depending upon the availability of time at the AGM.
Company. Nominations can be made in Form SH.13 and any variation/cancellation thereof can be made by giving notice in
Form SH.14, prescribed under the Companies (Share Capital and Debentures) Rules, 2014 for the purpose. The Forms can be f) Members may note that facility of joining the AGM through VC/OAVM provided by NSDL allows participation of at least
obtained from the RTA/Company at mcssta@[Link] and investorsgrievance@[Link] respectively. 1000 members on first-come-first-served-basis. However, the participation of members holding 2% or more shares,
Promoters, Institutional Investors, Directors, Key Managerial Personnel, Chairpersons of the Audit Committee, Stakeholders
20. The Securities and Exchange Board of India (SEBI) has mandated submission of PAN by every participant in the securities market.
Relationship Committee, Nomination and Remuneration Committee and Auditors are not restricted on first-come-first-
Members holding shares in dematerialized form are therefore, requested to submit their PAN to their Depository Participant(s).
Members holding shares in physical form are required to submit their PAN details to the RTA/Company. served-basis.

g) Members attending the AGM through VC/OAVM shall be counted for the purpose of reckoning the quorum under Section
21. To support “Green Initiatives”, Members who have not yet registered their email address are requested to register the same with their
Depository Participant(s) where shares are held in dematerialized form and with the RTA/Company where the shares are held in 103 of the Act.
physical form. Members may follow the process detailed below for registration of email ID to obtain the Notice of AGM, Annual Report, h) Institutional Investors, who are Members of the Company, are encouraged to attend and vote at the AGM through
user ID/password for e-Voting: VC/OAVM facility.
a. Members holding shares in physical mode and who have not updated their email addresses with the Company are requested to B. Instructions for Members for Remote e-Voting:
update their email addresses by writing to the RTA/Company at mcssta@[Link] and investorsgrievance@[Link]
respectively and along with the copy of the signed request letter mentioning the name, folio no., address of the Member, self- a) In compliance with the provisions of Section 108 of the Act, read with Rule 20 of the Companies (Management and
attested copy of the PAN card and self-attested copy of any document (eg.: Driving License, Bank Statement, Election Identity Administration) Rules, 2014, as amended, Secretarial Standards on General Meetings (SS-2) issued by the Institute of
Card, Passport, Aadhaar Card) in support of the address of the Member. Company Secretaries of India (“ICSI”) and Regulation 44 of the Listing Regulations read with the MCA Circulars and SEBI
Circular dated 12th May, 2020, the Company is pleased to provide the facility to members to exercise their right to vote on
b. Members holding shares in dematerialized mode are requested to register/update their email addresses with the relevant
the resolutions proposed to be considered at the AGM by electronic means. The facility of casting the vote by the members
Depository Participants.
using an electronic voting system from a place other than venue of the Meeting (“remote e-Voting”) will be provided by
In case of any queries/difficulties in registering the email address, Members may write to investorsgrievance@[Link]. National Securities Depository Limited (NSDL). Facility to cast vote through e-Voting system will also be provided by NSDL
to Members participating in the AGM.
22. Instructions for attending the AGM through VC/OAVM and remote e-Voting (before and at the AGM) are given below:
b) The remote e-Voting period commences on Saturday, 22nd August, 2020 at 9.00 a.m. (IST) and ends on Monday, 24th
A. Instructions for Members for attending the AGM through VC/OAVM:
August, 2020 at 5.00 p.m. (IST). During this period members of the Company, holding shares either in physical form or in
a) Members will be able to attend the AGM through VC/OAVM through the NSDL e-Voting system at dematerialized form, as on the cut-off date of Tuesday, 18th August, 2020, may cast their vote by remote e-Voting. The
[Link] under shareholders login by using their remote e-Voting credentials and selecting the EVEN remote e-Voting module shall be disabled by NSDL for voting thereafter. Once the vote on a resolution is cast by the
for the Company’s AGM. The link for VC/OAVM will be available in shareholders login where the EVEN of Company will be member, the member shall not be allowed to change it subsequently.
displayed. Please note that the Members who do not have the User ID and Password for e-Voting or have forgotten the User
c) Members desiring to vote through remote e-Voting may refer to the following steps:
ID and Password may retrieve the same by following the remote e-Voting instructions mentioned in the Notice.
Further members can also use the OTP based login for logging into the e-Voting system of NSDL. Step 1: Log-in to NSDL e-Voting system at [Link]
b) Facility of joining the AGM through VC/OAVM shall open 30 minutes before the time scheduled for the AGM and shall be Step 2: Cast your vote electronically on NSDL e-Voting system.
available for Members on first-come-first-served-basis.
A. Details on Step 1 is mentioned below:
c) Members may join the Meeting through their desktops/Laptops/ Smartphones, etc. Further, Members will be required to
use Internet with a good speed to avoid any disturbance during the Meeting. Please note that Members connecting from How to Log-in to NSDL e-Voting website?
Mobile Devices or Tablets or through Laptops connecting via mobile hotspot may experience Audio/Video loss due to
1. Visit the e-Voting website of NSDL. Open web browser by typing the following URL: [Link]
fluctuation in their respective network. It is therefore recommended to use stable Wi-Fi or LAN connection to mitigate any
either on a Personal Computer or on a mobile.
kind of glitches.
2. Once the home page of e-Voting system is launched, click on the icon “Login” which is available under ‘Shareholders’
d) Members may submit their questions in advance with regard to the financial statements or any other matter to be placed at
section.
the AGM, from their registered email address, mentioning their name, DP ID and Client ID number/folio number, PAN
and mobile number to reach the Company’s email address at agm@[Link] on or before 5.00 p.m. (IST) on 3. A new screen will open. You will have to enter your User ID, your Password and a Verification Code as shown on the
Saturday, 22nd August, 2020. Such questions by the Members shall be taken up during the Meeting and suitably dealt with screen.

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 BIRLA
CORPORATION
LIMITED

Alternatively, if you are registered for NSDL eservices i.e. IDEAS, you can log-in at [Link] with your 1. After successful login at Step 1, you will be able to see the Home page of e-Voting. Click on e-Voting. Then, click on
existing IDEAS login. Once you log-in to NSDL eservices after using your log-in credentials, click on e-Voting and you Active Voting Cycles.
can proceed to Step 2 i.e. Cast your vote electronically.
2. After click on Active Voting Cycles, you will be able to see all the companies “EVEN” in which you are holding shares and
4. Your User ID details are given below: whose voting cycle is in active status.

Manner of holding shares i.e. Your User ID is 3. Select “EVEN” of “Birla Corporation Limited”.
Demat (NSDL or CDSL) or Physical 4. Now you are ready for e-Voting as the Voting page opens.
a) For Members who hold shares 8 Character DP ID followed by 8 Digit Client ID 5. Cast your vote by selecting appropriate options i.e. assent or dissent, verify/modify the number of shares for which you
in demat account with NSDL. For example if your DP ID is IN300*** and Client ID is 12****** then your wish to cast your vote and click on “Submit” and also “Confirm” when prompted.
user ID is IN300***12******.
6. Upon confirmation, the message “Vote cast successfully” will be displayed.
b) For Members who hold shares 16 Digit Beneficiary ID
in demat account with CDSL. For example if your Beneficiary ID is 12************** then your user ID is 7. You can also take the printout of the votes cast by you by clicking on the print option on the confirmation page.
12************** 8. Once you confirm your vote on the resolution, you will not be allowed to modify your vote.
c) For Members holding shares EVEN Number followed by Folio Number registered with the Company
in Physical Form. For example if folio number is 001*** and EVEN is 101456 then user ID is C. Instructions for Members for e-Voting on the day of the AGM:
101456001*** a) Members may follow the same procedure for e-Voting at the AGM as mentioned above for remote e-Voting.
5. Your password details are given below: b) Only those Members who will be present in the AGM through VC/OAVM facility and have not cast their vote on the
a) If you are already registered for e-Voting, then you can use your existing password to login and cast your vote. Resolutions through remote e-Voting, and are otherwise not barred from doing so, shall be eligible to vote through
e-Voting System in the AGM.
b) If you are using NSDL e-Voting system for the first time, you will need to retrieve the ‘initial password’ which was
communicated to you. Once you retrieve your ‘initial password’, you need to enter the ‘initial password’ and the c) The Members who have cast their vote by remote e-Voting prior to the AGM may also attend/ participate in the AGM
system will force you to change your password. through VC/OAVM but shall not be entitled to cast their vote again.

c) How to retrieve your ‘initial password’ ? d) For details of the person who may be contacted for any assistance with the use of technology, before or during the
AGM, please refer Note no. 23 (b) below.
(i) If your email ID is registered in your demat account or with the company, your ‘initial password’ is
communicated to you on your email ID. Trace the email sent to you from NSDL from your mailbox. Open the 23. General Guidelines for shareholders
email and open the attachment i.e. a .pdf file. Open the .pdf file. The password to open the .pdf file is your 8
a. It is strongly recommended not to share your password with any other person and take utmost care to keep your password
digit client ID for NSDL account, last 8 digits of client ID for CDSL account or folio number for shares held in
confidential. Login to the e-Voting Website will be disabled upon five unsuccessful attempts to key in the correct password. In
physical form. The .pdf file contains your ‘User ID’ and your ‘initial password’.
such an event, you will need to go through the “Forgot User Details/Password?” or “Physical User Reset Password?” option
(ii) If your email ID is not registered, please follow the steps mentioned in Note No. 21 above. available on [Link] to reset the password.
6. If you are unable to retrieve or have not received the ‘Initial password’ or have forgotten your password: b. In case of any queries/grievances pertaining to e-Voting (before or at the AGM), you may refer the Frequently Asked
Questions (FAQs) for Members and remote e-Voting user manual for Members available at the download section of
a) Click on “Forgot User Details/Password?” (If you are holding shares in your demat account with NSDL or CDSL)
[Link] or call on toll free no.: 1800-222-990 or send a request at evoting@[Link] or contact Mr. Amit
option available on [Link].
Vishal, Senior Manager or Ms. Pallavi Mhatre, Manager, National Securities Depository Ltd., at the designated email IDs:
b) Click on “Physical User Reset Password?” (If you are holding shares in physical mode) option available on amitv@[Link] or pallavid@[Link] or at telephone nos.: +91-22-24994360 or +91-22-24994545 who will address the
[Link]. grievances on e-Voting.
c) If you are still unable to get the password by aforesaid two options, you can send a request at evoting@[Link] c. You can also update your mobile number and email id in the user profile details of the folio which may be used for sending future
mentioning your demat account number/folio number, your PAN, your name and your registered address. communication(s).
d) Members can also use the One-Time Password (OTP) based login for casting the votes on the e-Voting system of d. The voting rights of members shall be in proportion to their shares of the paid-up equity share capital of the Company as on the
NSDL. cut-off date of 18th August, 2020. Any person who is not a member as on the said cut-off date should treat this Notice for
information purpose only.
7. After entering your password, tick on Agree to “Terms and Conditions” by selecting on the check box.
e. Any person, who acquires shares of the Company and become a member of the Company after dispatch of the notice and holding
8. Now, you will have to click on “Login” button.
shares as on the cut-off date i.e. Tuesday, 18th August, 2020 may obtain the login ID and password by sending a request at
9. After you click on the “Login” button, Home page of e-Voting will open. evoting@[Link] or mcssta@[Link].

B. Details on Step 2 is given below: However, if you are already registered with NSDL for remote e-Voting then you can use your existing user ID and password for
casting your vote. If you forgot your password, you can reset your password by using “Forgot User Details/Password” option
How to cast your vote electronically on NSDL e-Voting system? available on [Link] or contact NSDL at the following toll free no.: 1800-222-990.

30 31
 BIRLA
CORPORATION
LIMITED

f. A person, whose name is recorded in the register of members or in the register of beneficial owners maintained by the STATEMENT PURSUANT TO SECTION 102 OF THE COMPANIES ACT, 2013
depositories as on the cut-off date only shall be entitled to avail the facility of remote e-Voting or casting vote through e-Voting
system at the meeting.

g. In case of joint holders, the Member whose name appears as the first holder in the order of names as per the Register of Members The following Statement sets out all material facts relating to the Special Business mentioned in the Notice:
of the Company will be entitled to vote at the AGM.
Item No. 4
h. Shri Anil Murarka (Membership No. F3150, C.P No. 1857), LLB, Company Secretary in Wholetime Practice has been appointed
as the Scrutinizer to scrutinize the voting and remote e-Voting process in a fair and transparent manner. Pursuant to the provisions of Regulation 17(6)(ca) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (“Listing
Regulations”), the approval of the members of the Company by way of a special resolution is required to be obtained every year for payment
i. The Scrutinizer shall, immediately after the conclusion of voting at the AGM, first count the votes cast at the AGM and thereafter of annual remuneration/compensation by way of profit related commission or otherwise as permissible under the Companies Act, 2013 to a
unblock the votes cast through remote e-Voting and shall make, not later than 48 hours of the conclusion of the AGM, a single Non-Executive Director exceeding fifty percent of the total annual remuneration/compensation payable to all Non-Executive
consolidated scrutinizer’s report of the total votes cast in favour or against, if any, and submit the Report to the Chairman or a Directors and giving details of remuneration thereof.
person authorized by him in writing, who shall countersign the same.
Shri Harsh V. Lodha has been leading the Company as Chairman for several years. He has provided vision and leadership which has helped
j. The Results declared along with the Scrutinizer’s Report shall be placed on the Company’s website [Link] the Company achieve high standards of corporate governance, brand visibility and overall growth and efficiency. His in-depth knowledge in
and on the website of NSDL [Link] The Company shall simultaneously forward the results to the areas of operations, finance, corporate management including general management functions provides strategic guidance to the
National stock Exchange of India Limited and BSE Limited, where the shares of the Company are listed. Company. Under the directions and guidance of the Board, Shri Lodha spends considerable time in reviewing the performance and
24. The Register of Directors and Key Managerial Personnel and their shareholding, maintained under Section 170 of the Act, and the operations of the Company as well as in formulating the strategy of the Company. Under his leadership, the Company has achieved
Register of Contracts or Arrangements in which the Directors are interested, maintained under Section 189 of the Act, will be available considerable success and has been consistently posting healthy growth in terms of capacity, revenues as well as profitability. Considering
electronically for inspection by the members during the AGM. All documents referred to in the Notice, if any, will also be available for the active and vital role played by Shri Harsh V. Lodha as Non-Executive Chairman of the Company, the Board, based on the
electronic inspection without any fee by the members from the date of circulation of this Notice up to the date of AGM. Members recommendation of the Nomination and Remuneration Committee, at its meeting held on 22nd May, 2020, recommended for passing of a
seeking to inspect such documents can send an email to agm@[Link]. Special Resolution by the Members of the Company for payment of remuneration/ compensation by way of profit related commission or
otherwise (excluding Goods and Services Tax, if any, thereon) of an amount not exceeding 0.75% (seventy five basis points) of Net Profits of
the Company, to Shri Harsh V. Lodha for the financial year 2020-2021, which may exceed fifty percent of the total annual remuneration
payable to all Non-Executive Directors of the Company.

The said remuneration/compensation by way of profit related commission or otherwise (excluding Goods and Services Tax, if any, thereon)
payable to Shri Harsh V. Lodha shall be in addition to the sitting fees and reimbursement of expenses for attending Board/ Committee
meetings.

Save and except Shri Harsh V. Lodha and his relatives, none of the other Directors/Key Managerial Personnel of the Company and their
respective relatives are, in any way, concerned or interested, whether financially or otherwise, in the Resolution as set out at Item No. 4 of the
Notice.

The Board of Directors, therefore, recommends the Resolution as set out at Item No. 4 to be passed as a Special Resolution by the Members.

Item No. 5

The Board of Directors of the Company, on the recommendation of the Audit Committee, at its meeting held on 22nd May, 2020, has
considered and approved the appointment of M/s. Shome & Banerjee (Firm Registration No. 000001) as the Cost Auditors of the Company
for the Financial Year 2020-2021 for the following products at a total remuneration of ` 4,00,000/- (Rupees four lakh only) per annum plus tax
as applicable and reimbursement of travelling and incidental expenses:

1. Cement – ` 2,50,000/- (Rupees two lakh fifty thousand only) per annum.

2. Jute Goods - ` 1,25,000/- (Rupees one lakh twenty five thousand only) per annum.

3. Steel - ` 25,000/- (Rupees twenty five thousand only) per annum.

In accordance with the provisions of Section 148(3) of the Companies Act, 2013 read with the Companies (Audit and Auditors) Rules, 2014,
the remuneration payable to the Cost Auditors has to be ratified by the shareholders of the Company.

Accordingly, consent of the Members is sought for passing an Ordinary Resolution as set out at Item No. 5 of the Notice for ratification of the
remuneration payable to the Cost Auditors for the Financial Year 2020-2021.

32 33
 BIRLA
CORPORATION
LIMITED

None of the Directors/Key Managerial Personnel of the Company and/or their relatives are, in any way, concerned or interested, financially or ANNEXURE-A
otherwise, in the resolution as set out at Item No. 5 of the Notice.
The Board of Directors, therefore, recommends the Resolution as set out at Item No. 5 to be passed as Ordinary Resolution by the Members.
ANNEXURE TO ITEM NO. 3 AND 4 OF THE NOTICE

Details of Director seeking re-appointment and/or fixation of remuneration of Director at the forthcoming Annual General Meeting [in
pursuance to the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and Secretarial Standard on General Meetings]

Registered Office: By Order of the Board (As on 31st March, 2020)

Birla Building,
9/1, R.N. Mukherjee Road, Girish Sharma
Name of the Director Shri Harsh V. Lodha (DIN: 00394094)
Kolkata - 700 001 Jt. President (Indirect Taxes)
CIN: L01132WB1919PLC003334 & Company Secretary Date of Birth and Age 13.02.1967, (53 years)
Email: investorsgrievance@[Link]
Website: [Link] Nationality Indian

Dated: 6th July, 2020 Date of first appointment on the Board of 23.04.1996
Place: Kolkata Directors of the Company

Qualifications Chartered Accountant

Experience (including nature of expertise in Wide experience in Corporate Management including Finance and
specific functional areas)/ Brief Resume General Management functions

Number of shares held in the Company 1260*

List of directorships held in other companies 1. Alfred Herbert (India) Ltd.

2. Birla Cable Ltd.
3. Hindustan Gum & Chemicals Ltd.
4. J.K. Fenner (India) Ltd.
5. Punjab Produce Holdings Ltd.
6. Universal Cables Ltd.
7. Vindhya Telelinks Ltd.
8. Baroda Agents & Trading Co. Pvt. Ltd.
9. Birla Furukawa Fibre Optics Pvt. Ltd.
10. East India Investment Co. Pvt. Ltd.
11. Gwalior Webbing Co. Pvt. Ltd.
12. Oneworld Resources Pvt. Ltd.
13. RCCPL Private Limited (formerly Reliance Cement Co. Pvt. Ltd.)
14. Swiss India Financial Services Co. Pvt. Ltd.
15. The Punjab Produce & Trading Co. Pvt. Ltd.

34 35
 LIMITED

ANNEXURE TO ITEM NO. 3 AND 4 OF THE NOTICE (Contd.)

(`
Chairman/Member of the Committees of Chairman
the Boards of the Companies in which he is Director
Stakeholders Relationship Committee-
2019 - 20 2018 - 19 2017 - 18 2016 - 17 2015 - 16 2014-15 2013-14 2012-13 2011-12 2010-11
Birla Corporation Limited

Corporate Social Responsibility Committee-

1421.10 1027.08 882.12 769.40 463.47 457.55 382.03 521.15 479.65 556.15
Birla Corporation Limited
Hindustan Gum & Chemicals Limited
387.67 370.52 377.64 276.79 82.26 78.37 85.60 64.86 52.64 52.63
RCCPL Private Limited
1033.43 656.56 504.48 492.61 381.21 379.18 296.43 456.29 427.01 503.52
The Punjab Produce & Trading Co. Pvt. Limited
Universal Cables Limited
351.91 339.12 332.16 255.50 148.76 153.46 133.06 104.91 80.58 65.41
Member
Corporate Social Responsibility Committee- 176.34 61.74 5.89 10.82 33.23 37.44 22.61 81.09 106.99 117.90
(Net)
Gwalior Webbing Co. Pvt. Limited
255.70 153.95 219.47 167.73 175.44 129.82 270.28 239.44 320.21
#
Committee of Directors- 69.62 60.34 60.24 55.61 55.61 55.61 54.06 62.92 53.70 53.77
Birla Corporation Limited 75.00 65.00 65.00 60.00 60.00 60.00 60.00 70.00 60.00 60.00

RCCPL Private Limited

Nomination and Remuneration Committee-

Birla Corporation Limited 10345.24 9252.17 8867.18 7572.26 2245.88 3284.54 3090.27 2921.80 2723.51 2255.45
RCCPL Private Limited 8178.35 8131.07 7168.32 2097.35 2050.38 2012.23 1967.16 1868.28 1473.43
3246.02 3153.26 2943.87 2529.50 3131.97 2940.88 2858.82 2562.18 2194.71 2219.01
Relationship with other Directors, Manager and None
Key Managerial Personnel of the Company

Number of meetings of the Board attended during Shri Harsh V. Lodha has attended all the five Board Meetings held 77.01 77.01 77.01 77.01 77.01 77.01 77.01 77.01 77.01 77.01
the year 2019-2020 during the year.
4729.12* 4418.21* 4202.81* 3227.98 2848.31 2547.10 2452.07 2375.97 2168.82 1983.08
Number of ESOPs granted Nil
4281.95 4049.20 4130.46 4254.94 1281.25 1302.18 1401.30 1226.05 1135.40 1015.79
Terms and conditions of Re-appointment Liable to retire by rotation 3087.39 2787.19 2664.66 2137.89 1022.75 1064.97 940.67 850.31 681.76 616.56

Details of Remuneration sought to be paid Shri Harsh V. Lodha shall be entitled to sitting fees for attending meetings of
the Board and Committees thereof and shall also be entitled to commission,
if any. `) 65.60 33.21 19.99 28.50 21.78 22.78 16.86 35.10 31.09 41.58

Remuneration last drawn (including sitting fees, if any) The details of the Remuneration paid to Shri Harsh V. Lodha during the financial `) 134.20 85.26 63.89 63.09 45.41 47.57 37.08 59.25 55.45 65.39
year 2019-2020 is provided in the Report on Corporate Governance. ( annualised )

NOTE: * Shares held jointly with other shareholder. 624.13 583.75 555.78 429.19 379.89 340.77 328.43 318.55 291.65 267.53

1.08:1 1.13:1 1.21:1 1.26:1 0.42:1 0.44:1 0.49:1 0.39:1 0.34:1 0.30:1

1.28 1.40 1.54 1.59 2.86 3.65 2.58 2.22 2.51 2.10

36 37
 BIRLA
CORPORATION
LIMITED

DIRECTORS’ REPORT & MANAGEMENT DISCUSSION & ANALYSIS

(` To the Members
The Directors have the pleasure in presenting the 100th Annual Report on the business and operations of the Company together with the
Audited Financial Statements of the Company and its Subsidiaries for the year ended 31st March, 2020. The Management Discussion and
4.82% 0.01% Analysis has also been incorporated into this Report.

FINANCIAL PERFORMANCE
The Company’s financial performance (standalone and consolidated) for the year ended 31st March, 2020 and its comparison with the
previous year is summarised below:
(` in Crore)
STANDALONE CONSOLIDATED
PARTICULARS 31.03.2020 31.03.2019 31.03.2020 31.03.2019

95.17%
Revenue from Operations (Gross) 4746.60 4423.58 6915.69 6548.73
Total Revenue 4829.08 4504.66 7000.82 6627.20
Profit before Finance Costs, Tax, 757.53 486.60 1421.10 1027.08
Depreciation, Amortization, Minority
Interest and Exceptional items
Finance Costs 185.23 178.06 387.67 370.52
Profit before Tax, Depreciation, Amortization, 572.30 308.54 1033.43 656.56
Minority Interest and Exceptional items
Depreciation and Amortization Expense 151.18 148.53 351.91 339.12
Exceptional items - - - -
Tax Expense (Net) 105.28 256.46 22.23 170.76 176.34 528.25 61.74 400.86
Profit for the year 315.84 137.78 505.18 255.70
Profit for the year attributable to - - - 0.01
non-controlling interest
2019-20 (`
Profit for the year attributable to 315.84 137.78 505.18 255.69
owner of the Parent
6.50% Re-measurement of the defined benefit (6.56) 0.50 (6.98) 0.47
16.32%
29.45% plans (net of tax expenses)
Finance Lease adjustment due to (0.52) - (0.97) -
Ind AS 116 (net of tax expenses)
40.89%
Total Surplus during the year 308.76 138.28 497.23 256.16
Surplus as per the last Financial Statements* 353.48 346.96 513.89 389.49

Appropriations:
6.84%
Debenture Redemption Reserve 17.67 21.42 17.67 21.42
Dividend paid on Ordinary Shares 57.75 50.05 57.75 50.05
Corporate Dividend Tax on Dividend 11.87 10.29 11.87 10.29
General Reserve - 50.00 - 50.00
Net Surplus 574.95 353.48 923.83 513.89
* After adjustment of re-measurement of the defined benefit plans (net of tax expenses)

FINANCIAL HIGHLIGHTS AND STATE OF COMPANY’S AFFAIRS

During the financial year 2019-2020, the Company achieved consolidated revenue of `7,001 crore, an increase of 5.6% as compared to
`6,627 crore in the previous year. The Company recorded its highest ever consolidated EBIDTA and cash profit in financial year 2019-2020 at
`1,421 crore and `1,033 crore, respectively, registering a growth of 38% in EBIDTA and 57% in cash profit over the previous year.
Consolidated Net Profit for the year 2019-2020 at `505 crore was 98% higher than the previous year.

38 39
 BIRLA
CORPORATION
LIMITED

DIVIDEND Impact of COVID-19 on financial performance The year started with unavoidable disruptions in the economy Production of RCCPL Private Limited (RCCPL) (formerly
due to the General Election. Cement demand was impacted as known as Reliance Cement Company Private Limited),
The Directors are pleased to recommend a dividend of `7.50 per In view of the COVID-19 pandemic, lockdown was imposed across
construction activities slowed down. Most cement companies wholly owned subsidiary of the Company:
share (i.e. 75%) on 7,70,05,347 Ordinary Shares for the year ended the country by the central/state government on various dates
reported low capacity utilisation in the first few quarters. But
31st March, 2020 aggregating to `57.75 crores as compared to between 22nd March, 2020 and 25th March, 2020 which affected The details of production of clinker and cement of RCCPL are as
even with the country voting for a stable government at the
`69.63 crores (including Corporate Dividend Tax of `11.87 crores) the manufacturing and sales operations of the Company and its follows:-
Centre, things did not look up as the economy went into an
in the previous year. The dividend recommended is in accordance subsidiaries. The lockdown was further extended from time to time
unanticipated tailspin. Particulars 2019-2020 2018-2019 Change %
with the Company’s Dividend Distribution Policy. The Dividend which interrupted the production, supply chain disruption etc.
Distribution Policy of the Company is annexed hereto and However, the operations of the Company and its subsidiaries (Lakh Ts.) (Lakh Ts.)
Estimates for growth of India’s Gross Domestic Product (GDP)
marked as “Annexure – A” forming part of the Directors’ have commenced in a phase manner since April/ May 2020 at 6.8 per cent at the beginning of fiscal 2019-2020 were revised Clinker production 32.46 34.19 (5.06)
Report and is also uploaded on the Company’s website at conforming to the guidelines of the regulatory authorities and downward at least twice during the year by multiple agencies Cement production 51.06 49.42 3.32
[Link] having regard to social distancing norms, safety, health and — to 5 per cent and to 4.1 per cent eventually — even before
[Link]. wellbeing of the workers and employees at various locations/units the country went into a lockdown in the wake of the COVID-19 Sales:
of the Company to prevent the spread of COVID-19. The Company pandemic towards the end of March.
Dividend is subject to approval of Members at the ensuing Annual During the year under review, the Company has registered a
has considered external and internal information for developing
General Meeting (AGM). In view of the changes made under the decrease of 0.85% in cement sales on standalone basis and
various assumption for assessing the fair value of assets and India’s cement consumption in fiscal 2019-2020 is estimated to
Income Tax Act, 1961, by the Finance Act, 2020, dividends paid or 0.06% on consolidated basis. In absolute terms, the sale of
liabilities, the impact whereof may differ from the estimates taken as have contracted by at least 2 per cent from the previous year to
distributed by the Company shall be taxable in the hands of the cement on standalone basis has decreased to 88.35 lakh tons
on the date of this Report. 331 mt. At the same time, India continued to add production
Members. The Company shall, accordingly, make the payment of the compared to 89.10 lakh tons in the previous year.
Dividend after deduction of tax at source as per the rules as may be capacity, which, coupled with weak demand, impacted
KEY FINANCIAL RATIOS
capacity utilisation in a big way. RCCPL has sold 49.86 lakh tons of cement during the year.
applicable, at prescribed rates as per the Income Tax Act, 1961.
The key financial ratios of the Company showing financial
It was estimated at the beginning of fiscal 2019-2020 that India Power Plant:
TRANSFER TO RESERVES performance for the financial year ended 31st March, 2020, are
given herein below: would expand its cement production capacity at an annual The details of power generated at various plants are as under:
The Board of Directors have decided to retain the entire amount of compounded rate of 3.8 per cent to reach 410 mt by fiscal 2023-
profit for the financial year 2019-2020 in the profit and loss account. Sl. Financial Ratios 2019-2020 2018-2019 Particulars 2019-2020 2018-2019 Change %
2024. Plans for capacity addition will likely be altered due to the
(Lakh Units) (Lakh Units)
SHARE CAPITAL No. COVID-19 pandemic and its impact on India’s cement demand.
Thermal Power Plant 3820.37 3313.74 15.29
The paid up Equity Share Capital as on 31st March, 2020 stood at 1. Debtors Turnover 25.39 24.99
(b) REVIEW OF OPERATIONS AND PERFORMANCE: WHRS 1210.39 1224.62 (1.16)
`77.01 crores. During the year under review, the Company has not 2. Inventory Turnover 40.56 47.29
issued shares with differential voting rights nor has granted any 3. Interest Coverage ratio* 4.09 2.73 During fiscal 2019-2020, the Company managed to beat Solar Power 52.31 25.45 105.54
stock options or sweat equity. As on 31st March, 2020, none of the 4. Current Ratio 1.49 1.62 competition on several parameters — most notably, in sales Cost and Profitability:
Directors of the Company holds instruments convertible into equity growth and capacity utilisation. On a consolidated basis, the
5. Debt Equity Ratio 0.46 0.54 On a consolidated basis, the Company achieved its highest ever
shares of the Company. Company managed to sustain a sales growth by volume of
6. Operating Profit Margin (%)* 14.22 % 9.17% EBITDA and cash profit during fiscal 2019-2020, up 38 per cent
around 6 per cent through the first 11 months of fiscal 2019-
FINANCIAL STATEMENTS 7. Net Profit Margin (%)* 6.65 % 3.11% 2020 despite weak demand, resulting in a full-year capacity and 57 per cent respectively, over the previous year.
The Company has prepared its financial statements as per IND AS 8. Return on Net Worth * 8.96 % 4.05% utilisation of 91 per cent — one of the highest in the industry. In fiscal 2019-2020, sales of premium cement by volume grew
requirement for the financial year 2019-2020. The estimates and *Interest Coverage Ratio, Operating Profit Margin, Net Profit Margin Capacity utilisation during fiscal 2019-2020 on a consolidated 8 per cent year-on-year and its share within the trade segment
judgments relating to the financial statements are made on a and Return on Net Worth are higher for the year ended 31st March, basis was up two percentage points over the previous year. rose four percentage points to 41 per cent, indicating that the
prudent basis, so as to reflect, in a true and fair manner, the form and 2020 due to higher EBIDTA. Company’s sustained investments into its brands and
In absolute terms, the Company’s sales for the full-year on a
substance of transactions and reasonably present the Company’s distribution assets together with its continuous drive to offer
CHANGE IN NATURE OF BUSINESS consolidated basis was flat compared to the previous year, at
state of affairs, profits and cash flows for the year ended 31st March, high quality products to the customers are paying off. High-
2020. 13.4 mt. In line with the trend witnessed across the industry, the
There has been no change in the nature of business of the Company yielding blended cement accounted for 93 per cent of sales by
Company lost sales volume in March 2020 due to the lockdown.
CONSOLIDATED FINANCIAL STATEMENTS during the financial year 2019-2020. volume as against 89 per cent in the previous year — a payback
In the fourth quarter, the Company’s sales by volume dropped
for the Company’s strategy of focusing on brand-conscious
CEMENT DIVISION 13 per cent year-on-year.
The Consolidated Financial Statements of the Company are individual home-builders.
prepared in accordance with the provisions of the Companies Act, Production of the Company (BCL Standalone):
(a) INDUSTRY STRUCTURE AND DEVELOPMENTS: Also, increase in sale in blended cement implies higher
2013 and SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015 by following applicable IND AS issued by the The details of production of clinker and cement of the absorption of fly ash, which reduces clinker consumption, and,
Demand for cement in India witnessed a robust growth of
Institute of Chartered Accountants of India and forms an integral Company are as follows:- in turn, boosts profitability.
around 13 per cent in fiscal 2018-2019. At least 338 million tons
part of this Report. (mt) of cement was consumed during 2018-2019, up from Despite muted market conditions, the Company was able to
299 mt in the previous year. At the beginning of 2019-2020, Particulars 2019-2020 2018-2019 Change % raise price realisation during the year by as much as 5.70 per
MATERIAL CHANGES AND COMMITMENTS (Lakh Ts.) (Lakh Ts.)
it was expected that demand for cement would continue to cent to `4,811 per ton through judicious adjustment of
Material changes and commitments affecting the financial position grow at a compounded annual rate of at least 4 per cent over Clinker production 52.62 51.82 1.54 geographic focus and product mix aimed at increasing the
of the Company which have occurred between the end of the the next few years, balancing out capacity addition. But fiscal share of premium and blended cement within its brand
financial year 2019-2020 and the date of this Report is given below: 2019-2020 failed to live up to its expectations. Cement production 89.96 88.72 1.40 portfolio aided by high quality of the products.

40 41
 BIRLA
CORPORATION
LIMITED

Amid weak prices in the eastern region and Madhya Pradesh, these teams, the Company has fielded young, energetic (c) RISK AND CONCERNS: is approximately 2.5 times the Company’s EBITDA in 2019-
the Company consolidated its share in key markets by experts who can reach remote areas on their own motorcycles. 2020. This includes bank loans of `543 crore taken for the
The Company has been slowly scaling up production at all its
continuing to focus on premium and blended cements. Sales of After establishing its brand architecture in fiscal 2018-2019, the under-construction cement plant at Mukutban in Maharashtra.
units, but revival and sustenance of demand remains the key
the premium slag brand, MP Birla Cement Unique (sold in Company continued to invest in its brand platform with clearly red herring. At the time of writing this report, fresh cases of The Company has chosen not to take the moratorium on loan
eastern India markets), grew 18 per cent year-on-year. Among segregated offering of premium and popular products. Above COVID-19 were still on the rise, and workers remained servicing offered by the Reserve Bank of India in the wake of the
new launches, the super-premium Ultimate Ultra brand with the line advertising through high visibility television properties displaced from construction sites. COVID-19 pandemic. In view of the challenges, the Company is
water-repellent properties has made its mark in Madhya such as the General Election, cricket tournaments and popular taking several initiatives such as deferring capital expenditure
Pradesh. Samrat Advanced, a premium variant of the Hindi news and general entertainment channels has improved Across the world, commercial properties as an asset class are to protect profitability, guard financial metrics and conserve
Company’s heritage MP Birla Cement Samrat brand, gained top-of-the-mind awareness about MP Birla Cement brands. the worst affected within the real estate sector. At almost all liquidity. These measures have been taken despite securing
significant grounds in key markets of eastern Uttar Pradesh. existing properties, tenants are behind on rents, and new
Even as the Company focused on its flagship brand Perfect Plus financial closure for all outstanding projects.
projects are expected to be delayed. People’s income has been
Despite operational headwinds, the Company continued to in its marketing initiatives during the year, it drove sustained The Company is going ahead with the construction of a 3.9 mt
impacted and it is feared that demand for cement even among
rationalise costs under two key heads: power and fuel, and localised campaign for its regional champions such as Unique, cement plant at Mukutban in Maharashtra with the aim of
individual home builders may remain subdued for some time.
logistics. During the year, the Company managed to reduce its Samrat, Samrat Advanced, Ultimate and Chetak brands. commissioning it by June 2021. Till the end of fiscal 2019-2020,
power and fuel costs on account of several initiatives, which Much depends on infrastructure spending by the government the Company has spent `1,085 crore on the under-
Wall putty and construction chemicals launched during the
include scaling up of captive coal production from Sial Ghogri and revival of low-cost housing projects. The Centre has construction factory.
year under the Perfect Plus franchise in select markets have
captive coal mine, power generation from newly installed solar announced a multi-pronged booster package to strengthen
been received well and have even started to make a modest The Company will conclude in fiscal 2020-2021 its project to
power units and Waste Heat Recovery System. the Indian economy, but tax revenues are under severe
contribution to the Company’s profitability. The Company expand the kiln capacity of its Chanderia unit by around
pressure. It is, however, still expected that government
During the year, the Company concluded the installation of the plans to scale up the business and expand profitability by 400,000 tons. Of the total outlay of `150 crore for the project,
spending on infrastructure will kick off the first phase of
11-megawatt Waste Heat Recovery System at Maihar and solar adding new products to the range and by optimising the the Company has spent around `70 crore till the end of March.
recovery.
power plants with aggregate generation capacity of 12 supply chain.
megawatt at Maihar, Satna and Chanderia. However, it has been decided to put on hold the project to
Mining operations at Chanderia: The extent of the impact of the pandemic on demand will
expand the Kundanganj unit, which was estimated to cost `285
depend on how fast the lockdowns are lifted and normalcy
Alongside, your Company concluded during the year the The Mining Operations (through blasting) at the Chanderia crore. The decision was taken to restrict debt and conserve
returns. For some quarters, it is apprehended that cement
construction of the railway siding facility at Kundanganj in plant had been suspended since August, 2011 owing to the liquidity. The project will be taken up on normalisation of
makers may have to cope with lower than normal capacity
Uttar Pradesh, where RCCPL has a grinding unit. This facility, Order of Jodhpur High Court (Rajasthan), which was business environment.
utilisation, which may impact profitability. As a measure of
which is now fully operational, helped bring down freight cost. challenged by the Company before the Hon’ble Supreme caution, the Company will for now focus on conserving cash JUTE DIVISION
The Company also benefited from rationalisation in road Court. As a partial relief, the Supreme Court had allowed mining and consolidating its position in key markets.
freight. Over and above increase in realisation, these cost operations beyond two kms from the Chittorgarh Fort by using (a) INDUSTRY STRUCTURE AND DEVELOPMENTS:
rationalisation initiatives led to higher earnings for the year. heavy earth moving machinery. The Hon’ble Supreme Court (d) THREATS AND OPPORTUNITIES :
The jute industry is concentrated in eastern India and plays a
The financial benefits of the projects concluded in fiscal 2019- had further directed the Central Building Research Institute
The COVID-19 pandemic has turned the world upside down key role in the state economy of West Bengal. It supports at
2020 will be fully realised in the years ahead, even as the (CBRI) to submit a report after comprehensive study of all
with little visibility into the future. The Indian economy is least 4 million people, including factory workers, farmers and
Company continues to focus on cost rationalisation to cope relevant aspects and facets relating to full-scale mining
projected to contract in fiscal 2020-2021 in line with other those dependent on it indirectly. The industry is heavily
with new challenges. In view of the uncertainty in the economy operations and its impact, if any, on the Chittorgarh Fort. The
major economies. In the given scenario, cement demand in dependent on government orders for procurement of food
in the wake of the COVID-19 pandemic, the Company will take report of CBRI has concluded that vibrations and air pressures
India is bound to be impacted, the extent of which will depend grains under the Jute Packaging Materials Act. The industry’s
steps to conserve cash and has kept planned capacity induced by the mine of Birla Cement Works and adjoining
on the ease of lockdown and return of normalcy. dependence on government orders has increased over the
expansion project at Kundanganj on hold. mines are well within safe limits as per national and
years: government orders currently account for about 70 per
international standards and there is no damage to the Fort due However, the Company is better geared to cope with the
Marketing Initiatives: cent of installed production capacity.
to the mining operations. The Company has filed an Interim challenges because of its focus on northern and central India
The Company has in fiscal 2019-2020 emerged as a significant Application seeking Interim Relief for blasting at the existing markets, which are more consolidated than the rest of the (b) PERFORMANCE:
player in its key markets, benefiting from its clearly working pit. The matter is in the final stage of hearing. country and the capacity utilisation levels are higher than the The division has reported an EBITDA of `23.37 crore in fiscal
differentiated brand offerings in each region and its sustained The Principal Bench of the National Green Tribunal (NGT) on 8th pan-India levels. 2019-2020 as against `20.20 crore in the previous year,
focus on scaling up sales of its premium brands such as Perfect March, 2019 had ordered to stop all mining activities which are (e) OUTLOOK: registering a growth of 15.70 per cent. Production during the
Plus, which grew from strength to strength. For the full year, being carried out within the municipal limits of Chittorgarh City year at 35,718 metric tons (37,308 metric tons in the previous
premium brands accounted for 41 per cent of sales by volume and within 10 km of Bassi Wildlife Sanctuary or within the eco- Due to the global slowdown in demand, commodity prices year) was impacted by the lockdown at the end of the March.
within the trade segment, up eight percentage points over the sensitive zone of Bassi Wildlife Sanctuary, if finally notified. The have corrected sharply and are expected to remain soft in fiscal Eight working days were lost which translates into a production
previous year. Sales of Ultimate Ultra could be ramped up and Company has taken effective steps to ensure that no mining 2020-2021. This should reduce variable costs such as pet coke, loss of around 959 metric tons.
the brand has now established itself as one of the most activity takes place in the area falling within the restrictions diesel, fly ash and slag. But the benefits of reduced variable
The Company’s constant thrust on value-added products has
premium in Madhya Pradesh. prescribed in NGT’s Order. costs will likely be neutralised by poor absorption of fixed costs
led to a 33 per cent growth in exports in fiscal 2019-2020.
due to low capacity utilisation.
Continuing to invest in its Cement-Se-Ghar-Tak strategy of The Company does not anticipate any material impact of the Revenue from exports during the year was at `39.08 crore
supporting and earning the trust of individual home-builders, said Order on the current operations as it has sufficient reserves The Company’s gross term loans at the end of fiscal 2019-2020 compared with `29.44 crore in the previous year. Growth in
the Company has created service teams to provide on-ground in areas outside the limits covered by the Order. The matter is stood at `4,226 crore as against `4,049 crore a year earlier. Net exports has helped cope with cost pressure and improve the
support to consumers. To boost the capability and reach of pending for hearing. debt at the end of March stood at less than `3,500 crore, which division’s profitability.

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Production & Dispatch of availability of alternative employment closer to their homes, Project under implementation: DIRECTORS’ RESPONSIBILITY STATEMENT
workers from neighbouring states have stopped coming to
Particulars 2019-2020 2018-2019 Change % l Expansion project of New Chanderia Cement Works (NCCW) Pursuant to Section 134(3)(c) of the Companies Act, 2013, the
West Bengal.
Production of Jute Goods (MT) 35718 37308 -4.26
plant at Chanderia to increase capacity clinker production Directors state that:
Being a labour intensive industry, shortage of labour has capacity from 3600 TPD to 5500 TPD.
Dispatches of Jute Goods (MT) (a) in the preparation of the annual accounts for the year ended
started to impact capacity utilisation at Indian jute mills.
RCCPL Private Limited (Wholly Owned Material Subsidiary 31st March, 2020, the applicable accounting standards have
a) Domestic 31421 35136 -10.57
(e) OUTLOOK: Company) been followed with proper explanation relating to material
b) Export 3650 2955 23.52 departures, if any;
To cope with operational headwinds such as competition from Projects Completed:
Sales Bangladesh, shortage of labour and sustained increase in the (b) the accounting policies adopted in the preparation of the
l Commissioned 12.25 MW Waste Heat Recovery System at
Particulars 2019-2020 2018-2019 price of raw jute, the Company has taken several initiatives to Maihar unit. annual accounts have been applied consistently except as
improve efficiency. Investments have been made into plants otherwise stated in the Notes to Financial Statements and
(` in Lakh) (` in Lakh) l Commissioned 7.7 MW Captive Solar Power Plant at Maihar
and machinery to reduce dependence on manpower and to reasonable and prudent judgments and estimates have been
Net Sales diversify product range beyond traditional packaging material. unit. made so as to give a true and fair view of the state of affairs of
Projects under implementation: the Company at the end of the Financial Year 2019-2020 and of
a) Domestic 29068.05 29747.11 At the same time, the Company is looking to reduce its
the profit for the year ended 31st March, 2020;
dependence on government orders and is actively scouting for l Second phase expansion of existing capacity of grinding
b) Export 3907.64 2944.13
export opportunity for value-added products such as shopping cement plant at Kundanganj unit by installing a third line with a (c) proper and sufficient care has been taken for the maintenance
FOB Value 3814.46 2892.73 bags, floor covering and furnishing material among others. capacity of 1.20 million tons per annum with cement mill, of adequate accounting records in accordance with the
packing plant, wagon loading and permanent connectivity provisions of the Companies Act, 2013, for safeguarding the
But at the same time, it is feared that the industry could
(c) OPPORTUNITIES AND THREATS: with railway etc. at an estimated cost of `285 crores was assets of the Company and for preventing and detecting fraud
continue to lose its traditional market within India because of
approved. and other irregularities;
Due to the lockdown starting in March, the volume of raw jute the widening gap between jute and synthetic packaging
being carried over to the next year will be substantially higher materials. However, it has been decided to keep it in hold for the time (d) the annual accounts for the year ended 31st March, 2020, have
than in fiscal 2019-2020. being to restrict debt and conserve liquidity due to uncertainty been prepared on a going concern basis;
VINDHYACHAL STEEL FOUNDRY created by COVID-19 pandemic.
Jute sowing typically starts in mid-March and goes on till the (e) proper internal financial controls were in place and that the
end of April. Sowing in India this year has been above normal, Vindhyachal Steel Foundry produces iron & steel castings primarily l Setting up of a 3.90 million ton Greenfield Integrated Cement financial controls were adequate and were operating
estimated at 110 per cent, due to the abundant supply of farm for internal consumption. The total production of castings during Plant at Mukutban (Maharashtra) with 40 MW Captive Power effectively;
workers. With expectations of a normal monsoon, the crop in the year has been 493 Ts. as against 591 Ts. in the previous year. The Plant and 10.60 MW Waste Heat Recovery System at an
2020 is expected to be good. total sale of castings during the year was 526 Ts. (including 465 Ts. estimated cost of `2,450 crore is in advance stage of (f) systems to ensure compliance with the provisions of all
within the company) as against 552 Ts. (including 402 Ts. within the implementation. applicable laws were in place and were adequate and
In Bangladesh, however, sowing has been poor because of company) in the previous year. operating effectively.
disruption in the supply of seeds from India. The crop in However, Commissioning of the project is likely to be delayed
Bangladesh may contract by as much as 20 per cent in 2020. As ALLOCATION OF COAL MINES due to lockdown and uncertainty created by COVID-19 and is PARTICULARS OF LOANS, GUARANTEES OR INVESTMENTS
a result, Bangladesh will likely face a shortage of raw jute expected to be commissioned in the year 2021-2022.
During the year, the Government of India, Ministry of Coal had Details of Loans, Guarantees and Investments covered under the
whereas in India, raw jute prices will remain weak. Both should
approved allocation of 2 (two) Coal Mines to the Company as under: EXTRACT OF ANNUAL RETURN provisions of Section 186 of the Companies Act, 2013, are given in
augur well for Indian jute mills.
Sl. Name of State Extractable Grade PRC Final Price The extract of Annual Return in Form MGT-9 as required under the Notes forming part of the Standalone Financial Statements.
With growing awareness about the benefits of using a natural No. Coal Mine Reserves (MTPA) (` per
Section 92 of the Companies Act, 2013 and Rules framed CREDIT RATING
fibre as packaging material, demand for jute goods is expected (MT) tonne)
thereunder, is annexed hereto and marked as “Annexure – B”
to improve in the years ahead. Significant export opportunities 1 Bikram Madhya Pradesh 9.44 G-8 0.36 154
forming part of the Directors’ Report and is also uploaded on the CRISIL has reaffirmed its ratings on short term debt including
are presenting themselves as jute gets more extensively used 2 Brahampuri Madhya Pradesh 12.343 G-6 0.36 156
Company’s website at [Link] Commercial Paper (CP) to the extent of `300 crores as “A1+” and for
in shopping bags, floor covering and geotextile products.
Once operational, the above Coal Mines are expected to provide [Link]. the Long term Non-Convertible Debentures of the Company of
(d) RISKS AND CONCERN: fuel security and cost optimization to the Company. `130 Crores has reaffirmed its rating as “AA” with revision in the
COMPOSITION, NUMBER AND DATES OF MEETINGS OF THE Outlook to Stable from Negative.
Indian jute mills face a huge challenge from Bangladesh where CAPITAL EXPENDITURE BOARD AND COMMITTEES
production costs are much lower and subsidized. Cheaper ICRA has also re-affirmed its rating of “AA” for Long Term Non-
The details of various Capital Expenditure and Projects of the The details of the composition, number and dates of meetings of Convertible Debentures of the Company of `400 Crores. It has also
supplies from Bangladesh are a major stumbling block for
Company and its material Subsidiary during the financial year 2019- the Board and Committees held during the financial year 2019-2020 revised the Outlook to Stable from Negative.
Indian jute mills looking to scale up exports. Even in the
2020 are as follows: are provided in the Report on Corporate Governance forming part
domestic market, Indian jute mills are losing ground to duty-
of this Annual Report. The number of meetings attended by each Further, CARE has reaffirmed its rating on Long Term Facilities as
free exports from Bangladesh. Birla Corporation Limited Director during the financial year 2019-2020 are also provided in the “CARE AA” (Outlook Stable) and “CARE A1+” (Outlook Stable) for the
At the same time, availability of labour in Indian jute mills is Report on Corporate Governance. The Independent Directors of the Company’s Short Term/Long Term Bank facilities aggregating to
Projects Completed:
increasingly becoming a major threat to productivity. Jute mills Company have held a separate meeting during the financial year `2245.16 crores. The rating Committee of CARE has reaffirmed as
in West Bengal were heavily dependent on migrant workers l Installation of 3 MW Solar Power Plant at Chanderia unit and 1 2019-2020 details of which are also provided in the Report on “CARE AA” (Outlook Stable) for the outstanding Non- Convertible
from neighbouring states, but they are in short supply. Because MW Solar Power Plant at Satna unit. Corporate Governance. Debentures of `530 Crores.

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FINANCE Company have been disclosed in the accompanying financial l BHAMASHAH Award – 2019 for effective contribution in The CSR Policy has been uploaded on the Company’s website and
statements. the field of education under CSR Presented by District may be accessed at the link [Link]
The Company efficiently manages its surplus funds by investing in
Administration, Chittorgarh. investors/policies/[Link]
highly rated debt securities, fixed deposits and debt schemes of ENERGY CONSERVATION, TECHNOLOGY ABSORPTION AND
mutual funds considering safety, liquidity and return. It monitors FOREIGN EXCHANGE EARNINGS AND OUTGO l Birla Cement Works, Chanderia has received the award Pursuant to the provisions of Section 135 of the Companies Act,
the borrowings on a continuous basis for opportunities to refinance with “Shiksha Shree” for the support provided to Govt. 2013 and Rules made thereunder, a Report on CSR activities and
Pursuant to the provisions of the Companies Act, 2013 and Rule 8(3)
or prepay its loans in order to reduce borrowing costs and foreign Education under CSR. initiatives taken during the year in the prescribed format is given in
of Companies (Accounts) Rules, 2014, details relating to
exchange exposure. “Annexure – D”, which is annexed hereto and forms part of the
Conservation of Energy, Technology Absorption and Foreign
OCCUPATIONAL HEALTH & SAFETY Directors’ Report.
The Company has timely repaid its outstanding Non-Convertible Exchange Earnings and Outgo are given in “Annexure – C”, which is
Debentures along with interest on 30th March, 2020 for `150 annexed hereto and forms part of the Directors’ Report. Employees of the Company play an important role in operations The Company is actively associated with various social and
crores. Further it has prepaid its External Commercial Borrowing and growth, and are considered the most valuable assets. Their philanthropic activities undertaken on its own as well as by different
RISK MANAGEMENT Trusts and Societies. As a constructive partner in the communities in
(ECB) instalment of USD 10 Mns. on 30th March, 2020 which was personal and professional development along with health and
due in the financial year 2021-2022. Risk Management is the process of identification, assessment, and safety are among the top priorities of the organization. which it operates, the Company has been taking concrete action to
prioritisation of risks followed by coordinated efforts to minimise, realize its social responsibility objective. The Company has been
CORPORATE GOVERNANCE The Company complies with all statutory provisions as required playing a pro-active role in the socio-economic growth and has
monitor and mitigate/control the probability and /or impact of
The Company is committed to maintain the good standards of unfortunate events or to maximise the realisation of opportunities. under the Factories Act. Competent persons carry out compulsory contributed to all spheres ranging from health, education,
Corporate Governance and adheres to the Corporate Governance In compliance with the provisions of SEBI (Listing Obligations and testing/examination of lifting tools, pressure vessels, cranes, safety empowerment of women, rural infrastructure development,
requirements set out by the Securities and Exchange Board of India Disclosure Requirements) Regulations, 2015 and Companies Act, belts etc. as per statutory requirement. For effective accident environment conservation etc. In the past ten decades, the
(‘SEBI’). The Company has complied with the Corporate Governance 2013, the Board has constituted a Risk Management Committee and prevention, we routinely investigate and analyse all serious and Company has supported innumerable social initiatives in India,
Code as stipulated under the SEBI (Listing Obligations and 1 (one) Meeting of the Committee was held during the year. fatal accidents, and obtain recommendations/remedial measures touching the lives of lakhs of people positively by supporting
Disclosure Requirements) Regulations, 2015. A separate section on to prevent similar accidents. Near-miss situation/incident with no environmental and health-care projects and social, cultural and
The Company has adopted a comprehensive Risk Management injury is accorded serious consideration for planning of preventive
Report on Corporate Governance, along with certificate from the educational programs.
Policy which is reviewed by the Risk Management Committee and measures. With a view to strengthen the safety competencies and
auditors confirming the compliance of conditions of Corporate the Audit Committee and approved by the Board from time to time. Health, Educational and Social Initiatives:
Governance, is annexed and forms part of the Annual Report. to raise safety standards, the Company has been working with a
These procedures are reviewed to ensure that executive reputed Risk Consulting Group to make the workplace more safe The Company provides active assistance, finance as well as
RELATED PARTY TRANSACTIONS management controls risk through means of a properly defined and secure. managerial, to various hospitals and educational and philanthropic
framework. The major risks have been identified by the Company institutions set up by trust and societies.
All transactions entered with Related Parties during the financial As a part of safety measures, we are ensuring almost 100 per cent
and its mitigation process/measures have been formulated in the
year 2019-2020 were on an arm’s length basis and in the ordinary use of Personal Protective Gear by educating workers the need to The Company has provided financial as well as administrative
areas such as raw materials and fuel, quality, market, safety,
course of business and the provisions of Section 188 of the litigation, logistics, community relations, intellectual property, use them. Various periodical health check-ups are conducted from support for setting up a hospital in Chittorgarh namely Birla Hospital
Companies Act, 2013 are not attracted. Further, during the year project execution, financial, human resources, fraud, environment, time to time to monitor health hazards, if any. and Research centre, where the Company has two cement plants.
under review, there are no materially significant related party information technology and statutory compliance.
transactions which may have a potential conflict with the interest of Safety posters, slogans are widely displayed inside our factories — This is a State-of-the-Art multi-speciality hospital, which has
the Company at large. Accordingly, the disclosure required under AWARDS & RECOGNITIONS at shop floors, canteen and plant gates — to continuously remind diagnostic and treatment facilities for Emergency, General
Section 134(3)(h) of the Act read with Rule 8(2) of the Companies everyone about safe working practices and environment so as to Medicines, Cardiology, Orthopaedics, Gynaecology, Childcare
The details of various awards and recognitions received by various (NICU & SCBU), General Surgery, Urology, Nephrology, Neurology,
(Accounts) Rules, 2014 in Form AOC-2 is not applicable to the inculcate a culture of safety among workers. Safety day/week
units of the Company during the financial year 2019-2020 are as Ophthalmology, Radiology including CT scan & Colour Dopplers,
Company. celebration is organized every year with a view to improving
follows: Dental, ENT, Dermatology, Pharmacy and Physiotherapy amongst
consciousness amongst workers.
All Related Party Transactions are placed before the Audit v Satna Unit of the Company won CSR Platinum Award 2019. others. The hospital has in-house modern medical & pathological
Committee for approval. Prior omnibus approval of the Audit CORPORATE SOCIAL RESPONSIBILITY laboratories. The hospital also has Modular Operation Theatres and
Committee is obtained for the transactions which are of a foreseen v Durgapur Unit received one Gold award and two Silver awards advanced Intensive Cardiac Care Unit, Intensive Care Unit and
and repetitive nature. The transactions entered into pursuant to the at Quality Circle, Durgapur Chapter Convention. In line with the provisions of the Companies Act, 2013, the Company Intensive Therapy Unit. Blood Bank is operational now and the
omnibus approval so granted, along with a statement giving details v Chanderia Unit received the following Awards: has framed its Corporate Social Responsibility (CSR) policy for the Hospital has also been registered with Employees State Insurance.
of all related party transactions, are placed before the Audit development of programmes and projects for the benefit of weaker Currently, in the “In-Patient Department” approximately 115 beds
Committee. l 2nd Award For fly ash utilization during “fly ash utilization sections of society and the same has been approved by the CSR are operational and best medical services are provided to patients
conference 2020” by Mission Energy Foundation in Committee and the Board of Directors of the Company.
The policy on Related Party Transactions, as approved by the Board, at a nominal cost.
February, 2020.
is uploaded on the Company’s website and may be accessed at the The Corporate Social Responsibility (CSR) policy of the Company The hospital has been registered under Bhamashah Swasthya
link [Link] investors/policies/related- l Rajasthan Energy Conservation Award–2019 under provides a road map for its CSR activities. The purpose of CSR Policy Bima Yojana, thereby enabling poor people to get the benefit of the
cement category for excellent efforts in energy is to devise an appropriate strategy and focus its CSR initiatives and
[Link]. services provided by the hospital. The initiative has helped people
conservation by Government Energy Department, Jaipur lay down the broad principles on the basis of which the Company
The details of the transactions with related parties pursuant to IND in and around Chittorgarh to avoid travelling to nearby cities like
in December, 2019.
will fulfill its CSR objectives. As per the said policy, the Company Ahmedabad and Udaipur to get themselves treated. The 200,000 sq.
AS during financial year 2019-2020 are provided in the
l Power Plant Performance Award under category LIFE TIME continues the strategy of discharging part of its CSR responsibilities ft hospital has capacity to hold up to 200 beds. The hospital building
accompanying financial statements.
ACHIEVEMENT AWARD for prolong continuous efforts in related to social service through various trusts/societies, in addition consists of basement, ground and four floors. The separate housing
Transaction with person or entity belonging to the promoter/ NTPP and WHRS presented by M/s. Mission Energy at Delhi to its own initiatives and donations made to other non-government wing is made up of ground and four floors, which are used as
promoter group which hold(s) 10% or more shareholding in the on 28th June, 2019. organizations. residence by doctors, nurses and paramedical staff.

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This apart, the CSR activities undertaken include: 06] Promotion on rural sports: The Company is using Alternative Fuel and Raw Material appointed as an Independent Director of the Company for a second
Feeding System (AFRS) for higher use of alternative fuel on term of five consecutive years w.e.f. 5th February, 2020. The Board is
01] Health Care Activities: Program encourages rural sports and activities by financial
continuous basis at its clinker manufacturing units. This move of the opinion that Smt. Shailaja Chandra, Independent Director
The Company provides various health care facilities like free supporting state-level competition in which rural youths
ensures availability of alternative fuel throughout the year and possesses requisite qualification, experience, expertise and holds
medical check-up, free medicines and treatments for needy participate.
has resulted in reduction of fuel costs and also helped in high standards of integrity.
people. Organised medical check-up camps, free eye camps, 07] Other Social Initiatives: reducing the carbon footprint.
speciality Health camps. Apart from this the Company Cessation:
conducted adolescent health awareness camp and provided The Company has undertaken various other programs including The Waste Heat Recovery System at Satna and Chanderia plants
of the Company uses the hot gases coming out of the pre- Shri Bachh Raj Nahar (DIN: 00049895) ceased to be the Managing
baby kits to new born babies to improve maternal and child social welfare activities and rural development projects such as
heater and clinker cooler to generate substantial power, Director of the Company w.e.f. 3rd August, 2019 in view of
health. The company also donated gowns for mothers and providing drinking water facilities, strengthening village
thereby reducing Greenhouse Gases (GHG) emissions. completion of his tenure. He also ceased to be the Director of the
infants under “Kangaroo Mother Care Scheme” launched by infrastructure in the plant’s neighbourhood villages. The
Grinding aid is introduced in all the units to improve Company w.e.f. 13th August, 2019 due to retirement. The Board
the UP Government with a view to give proper and better care Company has made contribution towards various art and
consumption of fly ash and slag. Further, to protect the placed on record its appreciation for the valuable contribution and
to mother and infants. cultural programmes and has helped with the upkeep of
environment, the Company has consumed substantial guidance provided by Shri Nahar during his tenure as Executive
Sitamata Wildlife Sanctuary. Various awareness program has
02] Educational Initiatives: quantity of fly ash during 2019-2020 at various cement plants. Director of the Company.
also been organised on Road & driver safety and the importance
In addition to financial and institutional support provided the of voting in elections. Promoted Social forestry in the common This has resulted in reduction of clinker usage, which in turn The following are the Key Managerial Personnel of the Company:
schools located close to the Company’s plant, the company and private land in the neighbourhood villages. The Company reduced GHG emissions at our plants, without compromising
organised various competitions involving students. School on the quality and the strength of our cement. 1. Shri Pracheta Majumdar: Wholetime Director & Chief Executive
also contributed to the renovation of important historical and
dresses, bags and stationaries copies are also provided free to Officer.
religious sites. With a view to promote renewable energy and also to produce
underprivileged students. Foods and sweets were distributed 2. Shri Aditya Saraogi: Chief Financial Officer.
08] Village Adoption Programme: energy through cleaner and greener sources the Company has
in villages near our plants on Independence Day and Republic
installed Solar Power Plants at its Satna and Chanderia Cement 3. Shri Girish Sharma: Company Secretary.
Day. Under “Swachh Bharat” mission Company renovated During the year, the Company has initiated a programme Plants.
toilets for girls and boys and provided water tank for drinking named ‘Village Adoption Programme’ with the objective to DECLARATION BY INDEPENDENT DIRECTORS
water. For better computer skills of students the Company develop that particular village as model where the community A Waste Heat Recovery System and Solar Power Plant were
provided teachers to impart basic training in computers. will have access to all necessary infrastructures including installed at Maihar plant of RCCPL Private Limited, Wholly Shri Vikram Swarup, Shri Anand Bordia, Shri Brij Behari Tandon, Shri
health and water related facilities, a school with all facilities Owned Subsidiary Company. Dhruba Narayan Ghosh, Dr. Deepak Nayyar and Smt. Shailaja
03] Empowerment of Women:
including infrastructure as well as quality education for Chandra are Independent Directors on the Board of the Company.
BUSINESS RESPONSIBILITY REPORT
Empowerment of women is one of the Company’s long term children, support for progressive farmers and livelihood The Independent Directors hold office for a fixed term of five years
initiatives. With the aim of imparting women the skills to get The Business Responsibility Report as required under Regulation and are not liable to retire by rotation.
sources for landless and poor families. The Company is
jobs, the Company has taken various initiatives (sewing & 34(2) of the SEBI (Listing Obligations and Disclosure Requirements)
prioritizing Village adoption where the team with an The Company has received declarations from all the Independent
stitching, embroidery works) to promote skill development. The Regulations, 2015 form an integral part of this Annual Report.
experienced NGO and in co-operation with Village authorities Directors of the Company confirming that they meet the criteria of
Company also supports schemes that generates employments
are surveying to carry out the development activities. DIRECTORS AND KEY MANAGERIAL PERSONNEL independence as prescribed both under the Companies Act, 2013
for women in villages surrounding its factories and mining
areas. Necessary training and support are provided to Self-Help 09] Environmental Sustainability: and SEBI (Listing Obligations and Disclosure Requirements)
Retirement by Rotation:
Groups (SHG) under various projects to make them self-reliant. Regulations, 2015.
The Company is well aware of its responsibility towards Shri Harsh V. Lodha (DIN: 00394094) Director, who retires by
04] Livestock Development and Improved Agriculture sustainable development and environment. Various initiatives rotation at the ensuing Annual General Meeting (AGM) and being Further, declaration has been received from all the Independent
Practices: have been taken for Clean Development Mechanism (CDM) eligible offers himself for re-appointment. Directors confirming compliance with Rule 6(3) of the Companies
and pollution prevention. (Appointment and Qualification of Directors) Rules, 2014, as
Livestock development program provides an opportunity for Appointment: amended by Ministry of Corporate Affairs (“MCA”) Notification
farmers to improve their livestock based livelihoods by Eco-friendly plantations have been created in and around the dated October 22, 2019, regarding the requirement relating to
improving productivity of the progeny through breed Shri Pracheta Majumdar (DIN: 00179118) was appointed as the Chief
plants. Equipment for pollution control is kept under regular enrollment in the Data Bank created by MCA for Independent
improvement and dissemination of improved animal Executive Officer of the Company w.e.f. 2nd August, 2019.
inspection and emission levels are monitored to ensure that Directors. In terms of the amended Section 150 of the Companies
husbandry practices. The programme provided extensive Consequently, Shri Majumdar has been re-designated as
the same remain within statutory limits. Concerns for Act, 2013 read with Rule 6(4) of the Companies (Appointment &
services, including breeding, fodder propagation and training Wholetime Director & Chief Executive Officer of the Company w.e.f.
environment and sustainable development are integral to the Qualification of Directors) Rules, 2014, the Independent Director(s)
of farmers to different villages. Our Sustainable Agriculture 2nd August, 2019.
Company’s business decisions. unless otherwise exempted in terms of the prescribed Rules shall
programme attempts to de-risk farmers from erratic weather During the year under review, in terms of the provisions of SEBI
Interventions such as Bag Dust Collectors and water spray undertake online proficiency self-assessment test in due course
events through the promotion of climate-smart agriculture (Listing Obligations and Disclosure Requirements) Regulations,
system in dust generation areas have significantly reduced within a period of 1 (one) year from the date of inclusion of their
premised on dissemination of relevant package of practices, 2015, approval of the Members was accorded by way of postal ballot
pollution. SO2 & NOX gas analyzer in kiln stack has been names in the Databank.
adoption of appropriate mechanisation and provision of on 11th June, 2019 for continuation of Directorship of Smt. Shailaja
institutional services. installed for close monitoring. Sheds have been constructed for COMPANY’S POLICY ON DIRECTORS’ APPOINTMENT AND
Chandra (DIN: 03320688) as an Independent Director of the
maintaining good housekeeping inside plants. Measures have REMUNERATION
05] Horticulture Development: Company till the expiration of her first term i.e. upto 4th February,
also been taken for conservation of limestone reserves. Water
2020, on attaining the age of seventy five years. The Board of Directors of the Company, based on the
The Company has developed orchards in its mining lease areas, tankers, pumps, rain guns and water spray system have been
where beneficiaries have started accruing income on regular provided for pressurized spraying to control dust pollution Further, at the last Annual General Meeting of the Company held on recommendation of the Nomination and Remuneration Committee,
basis. around mining areas and connecting roads. 13th August, 2019, Smt. Shailaja Chandra (DIN: 03320688) was re- had formulated a Nomination and Remuneration Policy in terms of

48 49
 BIRLA
CORPORATION
LIMITED

Section 178(3) of the Companies Act, 2013 and Regulation 19 of the evaluation of the performance of the Board, the Directors Pursuant to Section 129(3) of the Companies Act, 2013 read with system with the objective of providing to the Audit Committee and
SEBI (Listing Obligations and Disclosure Requirements) Regulations, individually as well as the evaluation of the functioning of various Rule 5 of the Companies (Accounts) Rules, 2014, a statement the Board of Directors an independent, objective and reasonable
2015. During the year, the Nomination and Remuneration Policy was Committees. The Independent Directors of the Company has also containing salient features of the financial statements of assurance on the adequacy and effectiveness of the organization’s
revised by the Board of Directors of the Company based on the reviewed the performance of the Chairman, Non-Independent Subsidiaries/Associate Companies/Joint Ventures in Form AOC-1 risk management measures with regard to the Internal Financial
recommendation of the Nomination and Remuneration Committee, Directors and Board as a Whole. Further, the Board has carried out forms part of the consolidated financial statement and hence not Control System.
to further streamline the process of appointment and removal of Key the performance evaluation of Independent Directors of the repeated here for the sake of brevity. Further, pursuant to the
Managerial Personnel and Senior Management Personnel and Company. provisions of Section 136 of the Companies Act, 2013, the Annual VIGIL MECHANISM / WHISTLE BLOWER POLICY
payment of remuneration to them. Financial Statements of each of the Subsidiaries are available on the The Company has adopted a Vigil Mechanism/Whistle Blower Policy
CRITERIA FOR EVALUATION OF DIRECTORS Company’s website at [Link].
The Nomination and Remuneration Policy of the Company, inter for Directors and employees to report concerns about unethical
alia, includes the aims and objectives, principles of remuneration, For the purpose of proper evaluation, the Directors of the Company behaviour, actual or suspected fraud or violation of the Company’s
DEPOSITS
guidelines for remuneration to Executive Directors and Non- have been divided into 3 (three) categories i.e. Independent code of conduct or ethics policy, if any. The policy provides for
Executive Directors, fixed and variable components in the Directors, Non-Independent Non-Executive Directors and During the year under review, the Company has not accepted adequate safeguard against victimization of employees who avail of
remuneration package, criteria for identification of the Board Executive Directors. deposits from the public falling within the ambit of Section 73 of the the mechanism and also provides for direct access to the Chairman
members and appointment of senior management. Companies Act, 2013 and the Rules framed thereunder. of the Audit Committee.
The criteria for evaluation include factors such as engagement,
The criteria for identification of the Board Members, including those strategic planning, vision and direction for growth and DETAILS OF SIGNIFICANT AND MATERIAL ORDERS PASSED BY During the year, the Vigil Mechanism/Whistle Blower Policy was
for determining qualification, positive attributes, independence development, team spirit and consensus building, effective THE REGULATORS, COURTS AND TRIBUNALS amended by the Board of Directors based on the recommendation
etc. is summarily given hereunder: leadership, domain knowledge, ensuring best practices in of the Audit Committee to incorporate reporting of instances of leak
governance, financial management and operations, evolving short No significant and material order has been passed by the regulators, or suspected leak of Unpublished Price Sensitive Information in
l A Director should possess high level of personal and
term and long term goals for the company and roadmap for courts, tribunals impacting the going concern status and terms of Regulation 9A of the SEBI (Prohibition of Insider Trading)
professional ethics, integrity and values. He/she should be able
achieving them, management qualities, team work abilities, result/ Company’s operations in future. Regulations, 2015. The Vigil Mechanism/Whistle Blower Policy has
to balance the legitimate interest and concerns of all the
achievements, understanding and awareness, leadership qualities, also been uploaded on the website of the Company.
Company’s stakeholders in arriving at decisions, rather than INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY
advancing the interests of a particular constituency. motivation/commitment/diligence, integrity/ethics/values and DETAILS RELATING TO REMUNERATION OF DIRECTORS, KEY
openness/receptivity. The Company has adequate internal control procedures
l A Director must be willing to devote sufficient time and energy MANAGERIAL PERSONNEL AND EMPLOYEES
commensurate with its size and nature of business. The objective of
in carrying out his/her duties and responsibilities effectively. SUBSIDIARIES, JOINT VENTURES AND ASSOCIATE Disclosure pertaining to remuneration and other details as required
these procedures is to ensure efficient use and protection of the
He/she must have the aptitude to critically evaluate COMPANIES: under Section 197(12) of the Companies Act, 2013 read with Rule
Company’s resources, accuracy in financial reporting and due
management’s working as part of a team in an environment of 5(1) of the Companies (Appointment and Remuneration of
During the year under review, considerable efforts have been made compliance with statutes, corporate policies and procedures.
collegiality and trust.
by the Management for improving the operational efficiency of Managerial Personnel) Rules, 2014 is marked as “Annexure – E”
l Independent Directors shall be a person of integrity and Internal Audit is conducted periodically across all locations by which is annexed hereto and forms part of the Directors’ Report.
RCCPL Private Limited (formerly Reliance Cement Co. Pvt. Ltd.), wholly
possess expertise and experience and/or someone who the Chartered Accountant/(audit) firms who verify and report on the
owned material subsidiary of the Company, which has led to In terms of the provisions of Section 197(12) of the Companies Act,
Committee/Board believes could contribute to the efficiency and effectiveness of internal controls. The adequacy of
significant improvement in all parameters across the board. The 2013 and Rule 5(2) and 5(3) of the Companies (Appointment and
growth/philosophy/strategy of the Company. internal control systems are reviewed by the Audit Committee of
operations of RCCPL Private Limited have stabilized and it is achieving Remuneration of Managerial Personnel) Rules, 2014, a statement
the Board periodically.
l In evaluating the suitability of individual Board members, the operating parameters that are among the best in the industry. comprising the names of top 10 (ten) employees in terms of
Committee takes into account many factors, including general INTERNAL FINANCIAL CONTROL SYSTEM remuneration drawn and every person employed throughout the
As on 31st March, 2020, the Company has 7 (seven) subsidiary
understanding of the Company’s business dynamics, global year, who were in receipt of remuneration exceeding the prescribed
companies namely RCCPL Private Limited, Lok Cement Limited, The Company has a robust and comprehensive Internal Financial
business, social perspective, educational and professional limit, forms an integral part of Directors’ Report.
Talavadi Cements Limited, Birla Jute Supply Company Limited, Control system commensurate with the size, scale and complexity
background and personal achievements. Factors like eligibility
Budge Budge Floorcoverings Limited, Birla Cement (Assam) Limited of its operations. The system encompasses the major processes to The above Annexure is not being sent along with this Annual Report
criteria, independence, term and tenure of a Director shall be in
accordance with the provisions of the Act and the Listing and M.P. Birla Group Services Private Limited. 2 (Two) subsidiary ensure reliability of financial reporting, compliance with policies, to the Members of the Company in line with the provision of Section
Regulations for the time being in force. companies, namely Thiruvaiyaru Industries Limited and Birla procedures, laws, and regulations, safeguarding of assets and 136 of the Companies Act, 2013. Members who are interested in
Corporation Cement Manufacturing PLC, Ethiopia, are under the economical and efficient use of resources. obtaining these particulars may write to the Company Secretary at
l The Committee evaluates each individual with the objective of process of voluntary winding up. In view of the aforesaid, these agm@[Link]. The aforesaid Annexure is also available for
having a group that best enables the success of the Company’s subsidiaries have not been considered in preparing the The controls were tested during the year and no reportable material electronic inspection by Members at the Registered Office of the
business and achieve its objectives. Consolidated Financial Statements. weaknesses either in their design or operations were observed. Company, 21 days before and up to the date of the Annual General
The Nomination and Remuneration policy as approved by the Board Meeting. Members seeking to inspect such documents can send an
No Company has become or ceased to be the Company’s The policies and procedures adopted by the Company ensures
is uploaded on the Company’s website and may be accessed at the email at agm@[Link].
Subsidiaries, Joint Venture or Associate Company during the orderly and efficient conduct of its business and adherence to the
link [Link] company’s policies, prevention and detection of frauds and errors,
financial year 2019-2020. Commission to Non-Executive Directors:
[Link]. accuracy in the record-keeping and timely preparation of reliable
The “Policy on ‘Material’ Subsidiary” is available on the financial information. In view of the adverse business environment prevalent in the
BOARD EVALUATION
Company’s website and may be accessed at the link country, the Board decided to give a token amount of `1 as
The Nomination and Remuneration Committee pursuant to the [Link] The Internal Auditors and the Management Audit Department Commission to the Non-Executive Directors for the financial year
powers delegated to it by the Board, has carried out an annual [Link]. continuously monitor the efficacy of Internal Financial Control 2019-2020.

50 51
 BIRLA
CORPORATION
LIMITED

HUMAN RESOURCE DEVELOPMENT AND INDUSTRIAL MAINTENANCE OF COST RECORDS There are no audit qualifications, adverse remarks or disclaimer in fuels cost & availability, transportation costs, changes in Government
RELATIONS the respective reports of the Statutory Auditors and Secretarial regulations and tax structure, economic developments within India
The Company is required to maintain cost records as specified by
Auditors for the year under review. and in the countries with which the Company has business contacts
Employees are the core strength of the Company. Therefore, at all the Central Government under sub-section (1) of Section 148 of the
Companies Act, 2013 and accordingly such accounts and records None of the Auditors of the Company has reported any fraud as and other factors such as litigation and industrial relations.
times, we focus on creating the right workplace environment that
provides opportunities for our employees to improve their are made and maintained by the Company. specified under the second proviso of Section 143(12) of the APPRECIATION
performance. Robust and up to date Human Resource (HR) Policies Companies Act, 2013 (including any statutory modification(s) or re-
AUDITORS & AUDITORS’ REPORT We wish to place on record our appreciation for the continued
are in place for proper evaluation of performances, which is the key enactment(s) thereof for the time being in force).
support and co-operation received by the Company from the
to building future leaders. Statutory Auditors:
COMPLIANCE WITH SECRETARIAL STANDARDS Government of India, State Governments, Financial Institutions,
HR functions in the organization have witnessed a paradigm shift M/s. V. Sankar Aiyar & Co., Chartered Accountants (Firm Registration Banks, Dealers, Customers and last but not the least, from our
The Company has complied with all the applicable provisions of
and evolved to bring together modern day practices with proper No.109208W), were appointed as the Statutory Auditors of the Members.
Secretarial Standards, i.e. SS-1 and SS-2, relating to ‘Meetings of the
use of technology and automation. This has had a profound impact Company at the 97th Annual General Meeting held on 31st July,
Board of Directors’ and ‘General Meetings’, respectively, issued by
on the morale and motivation of the employees who are the prime- 2017 for a term of five consecutive years commencing from the
the Institute of Company Secretaries of India.
movers. The Company has succeeded in fostering a relationship conclusion of the 97th Annual General Meeting till the conclusion of
with its employees which will help transform the organization. the 102nd Annual General Meeting of the Company to be held in the CAUTIONARY STATEMENT For and on behalf of the Board of Directors
year 2022.
Statements in this Report, particularly those which relate to
There is a well-calibrated mechanism to reward meritocracy.
The notes on accounts referred to in the Auditors’ Report are self- Management Discussion & Analysis, describing the Company’s
Learning and development initiatives for our employees are geared Harsh V. Lodha Pracheta Majumdar
explanatory and, therefore, do not call for any comments. objectives, projections, estimates, expectations or predictions may
to enable all-round performance, both as individuals and as teams. Chairman Wholetime Director &
be ‘forward looking statements’ within the meaning of applicable
Cost Auditors: (DIN: 00394094) Chief Executive Officer
Encouraging cordial working relation and maintaining good laws or regulations. Actual results could however differ materially
(DIN: 00179118)
industrial relations have been the philosophy and endeavour of the The Board of Directors on the recommendation of the Audit from those expressed or implied. Important factors that could make a
HR Department. On the whole, industrial relation scenario has been Committee had appointed M/s. Shome & Banerjee, (Firm difference to the Company’s operations include global and domestic Place: Kolkata
good. Statutory compliances related to labour laws have been Registration No.000001), Cost Accountant, as the Cost Auditors demand-supply conditions, finished goods prices, raw materials and Dated, the 22nd day of May, 2020
followed with due emphasis. of the Company for the financial year 2020-2021 for auditing
the cost records relating to cement, jute goods and steel
The Company had 7412 permanent employees on its rolls at the products manufactured by the Company. The remuneration
close of business hours on 31st March, 2020. Industrial relations proposed to be paid to the Cost Auditors is subject to ratification
continued to remain cordial throughout the year at all the units. by the Members of the Company at the ensuing Annual General
Suspension of Operation continues at Soorah Jute Mills, Auto Trim Meeting.
Division, Birlapur, and at Birla Vinoleum, Birlapur.
M/s. Shome & Banerjee has confirmed that they are free from any
PREVENTION OF SEXUAL HARASSMENT OF WOMEN AT THE disqualifications specified under Section 141(3) and proviso to
WORKPLACE Section 148(3) read with Section 141(4) and all other applicable
provisions of the Companies Act, 2013 and their appointment
In order to provide women employees with a safe working meets the requirements of Section 141(3)(g) of the Companies Act,
environment at workplace and also in compliance with the 2013. They have further confirmed their independent status and
provisions of the Sexual Harassment of Women at Workplace arm’s length relationship with the Company.
(Prevention, Prohibition and Redressal) Act, 2013 and Rules framed
thereunder, the Company has formulated a Policy on 'Prevention of The Company submits its Cost Audit Report with the Ministry of
Sexual Harassment of Women at the Workplace'. The said Policy has Corporate Affairs within the stipulated time period.
been uploaded on the internal portal of the Company for Secretarial Auditors:
information of all employees.
The Board of Directors on the recommendation of the Audit
The Company has complied with the provisions relating to Committee had appointed M/s Mamta Binani & Associates,
constitution of Internal Complaints Committee under the Sexual Company Secretaries, to conduct secretarial audit of the Company
Harassment of Women at Workplace (Prevention, Prohibition and for the financial year 2019-2020. The Secretarial Audit Report for the
Redressal) Act, 2013. The Internal Complaints Committee comprises financial year ended 31st March, 2020 is annexed herewith and
of three employees and one outside member. One of the Senior marked as “Annexure - F”. The Report is self-explanatory and do
female employee of the Company is the Presiding Officer of the said not call for any comments.
Committee.
Further, the Board on the recommendation of the Audit Committee
No complaint pertaining to sexual harassment of women has appointed M/s Mamta Binani & Associates, Company
employees from any of the Company’s locations was received Secretaries, to conduct secretarial audit of the Company for the
during the financial year ended 31st March, 2020. financial year 2020-2021.

52 53
 BIRLA
CORPORATION
LIMITED

ANNEXURE TO DIRECTORS’ REPORT ANNEXURE TO DIRECTORS’ REPORT (Contd.)

ANNEXURE – A } Leverage profile, liabilities and liquidity position of the Company;

DIVIDEND DISTRIBUTION POLICY } Fund requirement for contingencies and unforeseen events with financial implications;
PREAMBLE, OBJECTIVE AND SCOPE } Past Dividend trend including Interim dividend paid, if any; and
In terms of Regulation 43A of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, } Any other factor as deemed fit by the Board.
2015 (‘Listing Regulations’), the Company is required to formulate a Dividend Distribution Policy which shall be disclosed in its Annual
Report and on its website. CIRCUMSTANCES UNDER WHICH THE SHAREHOLDERS MAY OR MAY NOT EXPECT DIVIDEND
To comply with the above requirement and with an endeavor to maintain a consistent approach to dividend pay-out plans, the Board of The circumstances under which shareholders may not expect dividend/or when the dividend could not be declared by the Company shall
Directors (‘Board’) of Birla Corporation Limited (‘the Company’) adopts this Dividend Distribution Policy (‘Policy’). include, but are not limited to, the following:
The objective of this Policy is to: } The Company is in higher need of funds for acquisition/ diversification/ expansion/ investment opportunities/ deleveraging or capital
(i) specify the parameters (including internal and external factors) that shall be considered while declaring the dividend; expenditures;

(ii) lay down the circumstances under which the shareholders of the Company may or may not expect dividend; and } The Company has incurred losses or in the stage of inadequacy of profits;

(iii) provide for the manner of utilization of retained earnings. } Significantly higher working capital requirements adversely impacting free cash flow;

EFFECTIVE DATE } Due to operation of any law in force;

The Policy shall become effective from the date of its adoption by the Board i.e. 8th February, 2017. The Shareholders of the Company may expect dividend only if the Company is having surplus funds after providing for all the expenses as
may be statutorily required under various legislations applicable to the Company.
PARAMETERS/FACTORS AFFECTING DIVIDEND DECLARATION:
In addition to the above, the Board of Directors of the Company may also consider declaration of any special dividend, on special occasions,
The Board of Directors of the Company shall, inter alia, consider the following Parameters for recommendation / declaration of Dividend: as and when they may deem fit, subject to the provisions of the Companies Act, 2013 and rules made thereunder and other relevant
External Factors: requirements, if any.

} Macroeconomic conditions: In the event of uncertain or recessionary economic and business conditions, the Board may consider Further, the Board may also take into consideration such other circumstances as it may in its absolute discretion think fit.
retaining a larger part of the profits to have sufficient reserves to absorb unforeseen circumstances;
UTILIZATION OF RETAINED EARNING
} Statutory requirements: Statutory requirements, regulatory conditions or restrictions as applicable including tax laws, the
Companies Act, 2013 and SEBI regulations etc; The Board may retain its earnings in order to make optimum utilisation of the available resources and enhance the shareholder’s value. The
retained earnings of the Company can be used for acquisitions, expansions, diversifications or for meeting the working capital
} Agreements with Lending Institutions: The Board may consider protective covenants in a bond indenture or loan agreement that requirements, other liabilities of the Company or for any other object covered in Memorandum of Association or may be retained for its
may include leverage limits & restrictions on payment of cash dividends in order to preserve the Company’s ability to service its debt; business purpose in accordance with the applicable provisions of the Companies Act, 2013 read with the Rules framed thereunder, if any, the
Listing Regulations, other applicable legislations governing dividends and the Memorandum and Articles of Association of the Company, as
} Capital Markets: In favourable market scenarios, the Board may consider liberal pay–out. However, it may resort to a conservative
in force and as amended from time to time.
dividend pay-out in case of unfavourable market conditions.
The decision of distributing dividend or utilisation of the retained earnings shall be taken after having due regard to the parameters laid
} Taxation Policy: The tax policy of the country may also influence the dividend policy of the Company. The rate of tax directly influences
down in this Policy.
the amount of profits available to the Company for declaring dividends.
} Any other factor as may be deemed fit by the Board. PARAMETERS THAT SHALL BE ADOPTED WITH REGARD TO VARIOUS CLASSES OF SHARE

Internal Factors: Presently, the issued share capital of the Company comprises of only one class of Shares i.e. equity shares. In the event of the Company
issuing any other class(es) of shares, it shall consider and specify the other parameters to be adopted with respect to such class(es) of shares.
Apart from the various external factors, the Board shall take into account various internal factors including the financial parameters while
declaring dividend, which inter alia will include: DISCLOSURE
} Financial performance including profits earned (standalone), available distributable reserves etc;
The Company shall disclose the Policy on the Company’s website and a web link thereto shall be provided in the Annual Report.
} Impact of dividend payout on Company’s return on equity, while simultaneously maintaining prudent and reasonably conservative
leveraging in every respect e.g. Interest coverage, DSCR (Debt Service Coverage Ratio) Debt: EBITDA and Debt: Equity, including REVIEW & AMENDMENT
maintaining a targeted rating – domestically and internationally; The Policy shall be reviewed as and when required to ensure that it meets the objectives of the relevant legislation and remains effective. The
} Alternate usage of cash viz. acquisition/Investment opportunities or capital expenditures and resources to fund such Board has the right to amend or modify this Policy in whole or in part, at any time without assigning any reason, whatsoever.
opportunities/expenditures, in order to generate significantly higher returns for shareholders;

54 55
 BIRLA
CORPORATION
LIMITED

ANNEXURE TO DIRECTORS’ REPORT (Contd.) ANNEXURE TO DIRECTORS’ REPORT (Contd.)

ANNEXURE – B
III. PARTICULARS OF HOLDING, SUBSIDIARY AND ASSOCIATE COMPANIES
Form No. MGT-9
Sl. Name and address of the Company CIN/GLN Holding/Subsidiary/ % of Shares Applicable
EXTRACT OF ANNUAL RETURN No. Associate held Section
as on the financial year ended on 31st March, 2020
1 RCCPL Private Limited U26940MH2007PTC173458 SUBSIDIARY 100.00 2(87)
of (formerly Reliance Cement Company
BIRLA CORPORATION LIMITED Private Ltd.)
‘Industry House’,
[Pursuant to Section 92(3) of the Companies Act, 2013 and Rule 12(1) of the Companies 159, Churchgate Reclamation,
(Management and Administration) Rules, 2014]
Mumbai - 400 020

I. REGISTRATION AND OTHER DETAILS: 2 Lok Cement Limited U26922MH1995PLC085677 SUBSIDIARY 100.00 2(87)
‘Industry House’,
i) CIN : L01132WB1919PLC003334 159, Churchgate Reclamation,
Mumbai - 400 020
ii) Registration Date : 25th day of August, 1919
3 Talavadi Cements Limited U72900WB1995PLC099355 SUBSIDIARY 98.01 2(87)
iii) Name of the Company : BIRLA CORPORATION LIMITED
Birla Building,
iv) Category / Sub-Category of the Company : Public Company/Limited by shares 9/1, R.N. Mukherjee Road,
Kolkata - 700 001
v) Address of the Registered Office and contact details : Birla Building,
9/1, R.N. Mukherjee Road, 4 Birla Jute Supply Company Limited U01113WB1950PLC093522 SUBSIDIARY 100.00 2(87)
Kolkata – 700 001 Birla Building,
Phone: (033) 6616 6729/ 6737/ 6738 9/1, R.N. Mukherjee Road,
Fax: (033) 2248- 7988 / 2872 Kolkata - 700 001
E-mail: coordinator@[Link]
5 Budge Budge Floorcoverings Limited U36994WB1996PLC076677 SUBSIDIARY 100.00 2(87)
vi) Whether listed company : Yes Birla Building,
9/1, R.N. Mukherjee Road,
vii) Name, Address and contact details of Registrar & Transfer : MCS Share Transfer Agent Ltd. Kolkata - 700 001
Agents (RTA), if any 383, Lake Gardens, 1st Floor,
Kolkata - 700045 6 Birla Cement (Assam) Ltd. U26940AS2008PLC008652 SUBSIDIARY 100.00 2(87)
Phone : (033) 4072- 4051/ 4052 104A, Dr. B.K. Kakoti Road,
Fax : (033) 4072 – 4050 Opp. Royal View Building, Ulubari
E-mail : mcssta@[Link] Guwahati - 781 007 (Assam)

II. PRINCIPAL BUSINESS ACTIVITIES OF THE COMPANY 7 M.P. Birla Group Services Pvt. Ltd. U74999WB2008PTC125257 SUBSIDIARY 100.00 2(87)
Birla Building,
(All the business activities contributing 10 % or more of the total turnover of the company shall be stated) 9/1, R.N. Mukherjee Road,
Kolkata - 700 001
Name and Description of main products / services NIC Code of the % to total turnover
Product/ service of the company

Cement 2394 92% Approx.

56 57
 BIRLA
CORPORATION
LIMITED

ANNEXURE TO DIRECTORS’ REPORT (Contd.) ANNEXURE TO DIRECTORS’ REPORT (Contd.)

IV. SHARE HOLDING PATTERN (Equity Share Capital Breakup as percentage of Total Equity) Category of Shareholders No. of Shares held at the beginning of the year No. of Shares held at the end of the year %
( as on 01.04.2019) (as on 31.03.2020) Change
(i) Category-wise Share Holding during
Demat Physical Total % of Total Demat Physical Total % of Total the year
No. of Shares held at the beginning of the year No. of Shares held at the end of the year % Shares Shares
( as on 01.04.2019) (as on 31.03.2020) Change
Category of Shareholders during 2. Non-Institutions
Demat Physical Total % of Total Demat Physical Total % of Total the year
(a) Bodies Corp.
Shares Shares
(i) Indian 4361656 3117 4364773 5.67 2885945 3017 2888962 3.75 -1.92
A. Promoters
(ii) Overseas 0 0 0 0.00 0 0 0 0.00 0.00
(1) Indian
(b) Individuals
(a) Individual/HUF 0 1260 1260 0.00 0 1260 1260 0.00 0.00
(i) Individual shareholders 6733261 327553 7060814 9.17 6745876 300073 7045949 9.15 -0.02
(b) Central Govt 0 0 0 0.00 0 0 0 0.00 0.00 holding nominal share
capital up to ` 1 lakh
(c) State Govt (s) 0 0 0 0.00 0 0 0 0.00 0.00
(ii) Individual shareholders 1946079 0 1946079 2.53 2266396 0 2266396 2.94 0.41
(d) Bodies Corp. 37379183 0 37379183 48.54 37379183 0 37379183 48.54 0.00 holding nominal share
capital in excess of ` 1 lakh
(e) Banks / FI 0 0 0 0.00 0 0 0 0.00 0.00
(c) Others (specify)
(f) Any Other….Society 11053248 500 11053748 14.36 11053748 0 11053748 14.36 0.00
(i ) Non Resident Individuals 390141 4834 394975 0.51 455734 4714 460448 0.60 0.09
Sub-total (A) (1):- 48432431 1760 48434191 62.90 48432931 1260 48434191 62.90 0.00
(ii) Trust, Foundations & Society 654178 0 654178 0.85 668608 0 668608 0.87 0.02
2) Foreign
(iii) NBFCs 11258 0 11258 0.01 11000 0 11000 0.01 0.00
(a) NRIs - Individuals 0 0 0 0.00 0 0 0 0.00 0.00
(iv) IEPF 211913 0 211913 0.28 220628 0 220628 0.29 0.01
(b) Other – Individuals 0 0 0 0.00 0 0 0 0.00 0.00
(v) Co-operatives Society 2500 0 2500 0.00 3751 0 3751 0.00 0.00
(c) Bodies Corporate 0 0 0 0.00 0 0 0 0.00 0.00 (vi) Unclaimed Share 6943 0 6943 0.01 6943 0 6943 0.01 0.00
(d) Banks / FI 0 0 0 0.00 0 0 0 0.00 0.00 Suspense A/c.

(e) Any Other 0 0 0 0.00 0 0 0 0.00 0.00 Sub-total (B)(2):- 14317929 335504 14653433 19.03 13264881 307804 13572685 17.62 -1.41

Total Public Shareholding 28218752 352404 28571156 37.10 28245412 325744 28571156 37.10 0.00
Sub-total (A) (2):- 0 0 0 0.00 0 0 0 0.00 0.00
(B)=(B)(1)+(B)(2)
Total shareholding of 48432431 1760 48434191 62.90 48432931 1260 48434191 62.90 0.00
C. Shares held by Custodian 0 0 0 0.00 0 0 0 0.00 0.00
Promoter (A) = (A)(1)+(A)(2)
for GDRs & ADRs
B. Public Shareholding Grand Total (A+B+C ) 76651183 354164 77005347 100.00 76678343 327004 77005347 100.00 0.00
1. Institutions

(a) Mutual Funds 9249185 1100 9250285 12.01 8868612 2140 8870752 11.52 -0.49 (ii) Shareholding of Promoters

(b) Banks / FI 12593 15300 27893 0.03 89551 15300 104851 0.13 0.10 Shareholding at the beginning Shareholding at the end
Sl. Shareholder’s Name of the year (as on 01.04.2019) of the year (as on 31.03.2020) % change in
(c) Central Govt 0 0 0 0.00 0 0 0 0.00 0 No. shareholding
No. of % of total % of Shares No. of % of total % of Shares during the
(d) State Govt(s) 0 0 0 0.00 0 0 0 0.00 0 Shares Shares of the Pledged / Shares Shares of the Pledged / year
(e) Venture Capital Funds 0 0 0 0.00 0 0 0 0.00 0 company encumbered company encumbered
to total shares to total shares
(f) Insurance Companies 3032164 500 3032664 3.94 2814569 500 2815069 3.66 -0.28
1 August Agents Ltd. 6015912 7.81 0.00 6015912 7.81 0.00 0.00
(g) FIIs 1606881 0 1606881 2.09 3207799 0 3207799 4.17 2.08 2 Baroda Agents & Trading Co. Pvt. Ltd. 914355 1.19 0.00 914355 1.19 0.00 0.00
(h) Foreign Venture Capital Funds 0 0 0 0.00 0 0 0 0.00 0 3 Belle Vue Clinic 175148 0.23 0.00 175148 0.23 0.00 0.00
(i) Others (specify) 0 0 0 0.00 0 0 0 0.00 0 4 Birla Cable Ltd. 280 0.00 0.00 280 0.00 0.00 0.00
Sub-total (B)(1):- 13900823 16900 13917723 18.07 14980531 17940 14998471 19.48 1.41 5 Birla Financial Corporation Ltd. 280 0.00 0.00 280 0.00 0.00 0.00

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Shareholding at the beginning Shareholding at the end (iii) Change in Promoters’ Shareholding
Sl. Shareholder’s Name of the year (as on 01.04.2019) of the year (as on 31.03.2020) % change in
No. shareholding Shareholding at the beginning
Cumulative Shareholding
No. of % of total % of Shares No. of % of total % of Shares during the Sl. of the year
Shares Shares of the Pledged / Shares Shares of the Pledged / year during the year
No. (as on 01.04.2019)
company encumbered company encumbered
to total shares to total shares No. of shares % of total No. of shares % of total
shares of the shares of the
6 East India Investment Co. Pvt. Ltd. 73475 0.10 0.00 73475 0.10 0.00 0.00
company company
7 Eastern India Educational Institution 3361200 4.36 0.00 3361200 4.36 0.00 0.00
At the beginning of the year 48434191 62.90 48434191 62.90
8 Express Dairy Company Limited 280 0.00 0.00 280 0.00 0.00 0.00
Date wise Increase / Decrease in
9 Gwalior Webbing Co. Pvt. Ltd. 1775200 2.31 0.00 1775200 2.31 0.00 0.00 Promoters Share holding during the
10 Hindustan Gum & Chemicals Ltd. 270000 0.35 0.00 270000 0.35 0.00 0.00 Year specifying the reasons for increase / No change during the year
decrease (e.g. allotment / transfer /
11 Hindustan Medical Institution 7159460 9.30 0.00 7159460 9.30 0.00 0.00 bonus/ sweat equity etc):
12 Insilco Agents Ltd. 6004080 7.80 0.00 6004080 7.80 0.00 0.00 At the end of the year - - 48434191 62.90
13 Laneseda Agents Ltd. 5994680 7.78 0.00 5994680 7.78 0.00 0.00
(iv) Shareholding Pattern of top ten Shareholders (other than Directors, Promoters and Holders of GDRs and ADRs):
14 M.P. Birla Foundation Educational
Society 100100 0.13 0.00 100100 0.13 0.00 0.00 Shareholding at the Date Increase / Reason
Sl. Name beginning (01.04.2019)/ Decrease in Cumulative Shareholding
15 M.P. Birla Institute of Fundamental during the year
No. end of the year shareholding
Research 100 0.00 0.00 100 0.00 0.00 0.00
(31.03.2020)
16 Mazbat Tea Estate Ltd. 1467689 1.91 0.00 1467689 1.91 0.00 0.00 No. of shares % of total No. of Shares % of total
17 Punjab Produce Holdings Ltd. 3665407 4.76 0.00 3665407 4.76 0.00 0.00 shares of the shares of the
Company Company
18 Shreyas Medical Society 117740 0.15 0.00 117740 0.15 0.00 0.00
1 Reliance Capital Trustee 5415705 7.03 01.04.2019 5415705 7.03
19 Estate of Late Smt Priyamvada Devi Company Limited 05.04.2019 70133 Transfer 5485838 7.12
Birla represented by Justice Mohit 19.04.2019 42400 Transfer 5528238 7.18
Shantilal Shah, Shri Amal Chandra
Chakrabortti and Shri Mahendra 26.04.2019 41000 Transfer 5569238 7.23
Kumar Sharma in their capacity as 03.05.2019 25000 Transfer 5594238 7.26
Administrators pendente lite 1260 0.00 0.00 1260 0.00 0.00 0.00 10.05.2019 116020 Transfer 5710258 7.42
20 South Point Foundation 140000 0.18 0.00 140000 0.18 0.00 0.00 24.05.2019 70873 Transfer 5781131 7.51
14.06.2019 14324 Transfer 5795455 7.53
21 The Punjab Produce & Trading Co.
Pvt. Ltd. 4520572 5.87 0.00 4520572 5.87 0.00 0.00 21.06.2019 -2869 Transfer 5792586 7.52
30.06.2019 -94231 Transfer 5698355 7.40
22 Universal Cables Ltd. 296730 0.39 0.00 296730 0.39 0.00 0.00
12.07.2019 145294 Transfer 5843649 7.59
23 Vindhya Telelinks Ltd. 6380243 8.29 0.00 6380243 8.29 0.00 0.00 19.07.2019 76177 Transfer 5919826 7.69
TOTAL 48434191 62.90 0.00 48434191 62.90 0.00 0.00 02.08.2019 15747 Transfer 5935573 7.71
09.08.2019 68400 Transfer 6003973 7.80
16.08.2019 25000 Transfer 6028973 7.83
30.08.2019 20000 Transfer 6048973 7.86
06.09.2019 25000 Transfer 6073973 7.89
20.09.2019 20000 Transfer 6093973 7.91
11.10.2019 -482138 Transfer 5611835 7.29
18.10.2019 -439 Transfer 5611396 7.29
25.10.2019 36000 Transfer 5647396 7.33
08.11.2019 -50000 Transfer 5597396 7.27
15.11.2019 -174660 Transfer 5422736 7.04

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Shareholding at the Date Increase / Reason Shareholding at the Date Increase / Reason
Sl. Name beginning (01.04.2019)/ Decrease in Cumulative Shareholding Sl. Name beginning (01.04.2019)/ Decrease in Cumulative Shareholding
No. end of the year shareholding during the year No. end of the year shareholding during the year
(31.03.2020) (31.03.2020)
No. of shares % of total No. of Shares % of total No. of shares % of total No. of Shares % of total
shares of the shares of the shares of the shares of the
Company Company Company Company
29.11.2019 25000 Transfer 5447736 7.07 14.06.2019 1122 Transfer 841223 1.09
06.12.2019 -27649 Transfer 5420087 7.04 21.06.2019 -433 Transfer 840790 1.09
13.12.2019 51300 Transfer 5471387 7.11 30.06.2019 344 Transfer 841134 1.09
20.12.2019 6776 Transfer 5478163 7.11 12.07.2019 -63408 Transfer 777726 1.01
27.12.2019 -7351 Transfer 5470812 7.10 02.08.2019 385 Transfer 778111 1.01
31.12.2019 50000 Transfer 5520812 7.17 09.08.2019 566 Transfer 778677 1.01
03.01.2020 45863 Transfer 5566675 7.23 30.08.2019 -9363 Transfer 769314 1.00
17.01.2020 -22707 Transfer 5543968 7.20 11.10.2019 -143 Transfer 769171 1.00
24.01.2020 -413770 Transfer 5130198 6.66 15.11.2019 -567 Transfer 768604 1.00
31.01.2020 -475230 Transfer 4654968 6.04 22.11.2019 -4342 Transfer 764262 0.99
07.02.2020 -197950 Transfer 4457018 5.79 07.02.2020 101462 Transfer 865724 1.12
14.02.2020 -248021 Transfer 4208997 5.47 14.02.2020 1614 Transfer 867338 1.13
21.02.2020 -38130 Transfer 4170867 5.42 06.03.2020 565 Transfer 867903 1.13
28.02.2020 -29412 Transfer 4141455 5.38 13.03.2020 1196 Transfer 869099 1.13
06.03.2020 -83398 Transfer 4058057 5.27 20.03.2020 2408 Transfer 871507 1.13
13.03.2020 -7984 Transfer 4050073 5.26 871507 1.13 31.03.2020 871507 1.13
20.03.2020 5650 Transfer 4055723 5.27
5 Birla Education Trust 650961 0.85 01.04.2019 No movement 650961 0.85
4104723 5.33 31.03.2020 49000 Transfer 4104723 5.33
650961 0.85 31.03.2020 during the year 650961 0.85
2 Life Insurance Corporation 2708172 3.52 01.04.2019 2708172 3.52
6 Brijmohan Sagarmal Capital 589500 0.77 01.04.2019 589500 0.77
of India 06.12.2019 -27173 Transfer 2680999 3.48
Services Private Ltd. * 05.04.2019 -143500 Transfer 446000 0.58
13.12.2019 -9886 Transfer 2671113 3.47
19.04.2019 -128000 Transfer 318000 0.41
20.12.2019 -7154 Transfer 2663959 3.46
26.04.2019 -23000 Transfer 295000 0.38
27.12.2019 -1105 Transfer 2662854 3.46
03.05.2019 5000 Transfer 300000 0.39
31.12.2019 -59309 Transfer 2603545 3.38
10.05.2019 -3500 Transfer 296500 0.39
03.01.2020 -34787 Transfer 2568758 3.34
24.05.2019 -45000 Transfer 251500 0.33
10.01.2020 -66698 Transfer 2502060 3.25
31.05.2019 -16500 Transfer 235000 0.31
17.01.2020 -151422 Transfer 2350638 3.05
30.06.2019 125000 Transfer 360000 0.47
24.01.2020 -82584 Transfer 2268054 2.95
05.07.2019 -100000 Transfer 260000 0.34
2268054 2.95 31.03.2020 2268054 2.95
12.07.2019 -11000 Transfer 249000 0.32
3 L and T Mutual Fund 1634095 2.12 01.04.2019 1634095 2.12 19.07.2019 -4246 Transfer 244754 0.32
Trustee Ltd. 05.04.2019 -98778 Transfer 1535317 1.99 02.08.2019 17729 Transfer 262483 0.34
19.04.2019 -5896 Transfer 1529421 1.99 09.08.2019 92517 Transfer 355000 0.46
26.04.2019 -91561 Transfer 1437860 1.87 16.08.2019 -7605 Transfer 347395 0.45
03.05.2019 -86940 Transfer 1350920 1.75 23.08.2019 -102486 Transfer 244909 0.32
10.05.2019 -102875 Transfer 1248045 1.62 30.08.2019 -46584 Transfer 198325 0.26
02.08.2019 -80200 Transfer 1167845 1.52 06.09.2019 -14299 Transfer 184026 0.24
1167845 1.52 31.03.2020 1167845 1.52 13.09.2019 35974 Transfer 220000 0.29
4 Canara HSBC Oriental Bank of 832771 1.08 01.04.2019 832771 1.08 20.09.2019 9000 Transfer 229000 0.30
Commerce Life Insurance 19.04.2019 5034 Transfer 837805 1.09 30.09.2019 -66500 Transfer 162500 0.21
Company Ltd. 26.04.2019 1851 Transfer 839656 1.09 01.11.2019 -17500 Transfer 145000 0.19
03.05.2019 -3073 Transfer 836583 1.09 08.11.2019 -23000 Transfer 122000 0.16
24.05.2019 1296 Transfer 837879 1.09 15.11.2019 -7000 Transfer 115000 0.15
07.06.2019 2222 Transfer 840101 1.09 22.11.2019 -7500 Transfer 107500 0.14

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Shareholding at the Date Increase / Reason Shareholding at the Date Increase / Reason
Sl. Name beginning (01.04.2019)/ Decrease in Cumulative Shareholding Sl. Name beginning (01.04.2019)/ Decrease in Cumulative Shareholding
No. end of the year shareholding during the year No. end of the year shareholding during the year
(31.03.2020) (31.03.2020)
No. of shares % of total No. of Shares % of total No. of shares % of total No. of Shares % of total
shares of the shares of the shares of the shares of the
Company Company Company Company
29.11.2019 -1500 Transfer 106000 0.14 08.11.2019 50 Transfer 1217 0.00
06.12.2019 -1000 Transfer 105000 0.14 15.11.2019 24 Transfer 1241 0.00
13.12.2019 44500 Transfer 149500 0.19 22.11.2019 27 Transfer 1268 0.00
20.12.2019 -45000 Transfer 104500 0.14 29.11.2019 18 Transfer 1286 0.00
03.01.2020 -1650 Transfer 102850 0.13 06.12.2019 36 Transfer 1322 0.00
10.01.2020 -18350 Transfer 84500 0.11 13.12.2019 20 Transfer 1342 0.00
17.01.2020 -9500 Transfer 75000 0.10 20.12.2019 39 Transfer 1381 0.00
24.01.2020 -5000 Transfer 70000 0.09 31.12.2019 -56 Transfer 1325 0.00
31.01.2020 -10000 Transfer 60000 0.08 03.01.2020 38 Transfer 1363 0.00
14.02.2020 -1000 Transfer 59000 0.08 10.01.2020 72 Transfer 1435 0.00
06.03.2020 -24689 Transfer 34311 0.04 17.01.2020 100261 Transfer 101696 0.13
13.03.2020 -7100 Transfer 27211 0.04 24.01.2020 497752 Transfer 599448 0.78
27.03.2020 -15000 Transfer 12211 0.02 31.01.2020 15462 Transfer 614910 0.80
12211 0.02 31.03.2020 12211 0.02 07.02.2020 37900 Transfer 652810 0.85
7 Motilal Oswal Focused 555500 0.72 01.04.2019 555500 0.72 14.02.2020 7 Transfer 652817 0.85
Growth Opportunities Fund 24.01.2020 -3477 Transfer 552023 0.72 28.02.2020 -5 Transfer 652812 0.85
20.03.2020 -1099 Transfer 550924 0.72 06.03.2020 7955 Transfer 660767 0.86
550924 0.72 31.03.2020 550924 0.72 13.03.2020 38 Transfer 660805 0.86
20.03.2020 -190 Transfer 660615 0.86
8 Motilal Oswal Focused 508736 0.66 01.04.2019 No movement 508736 0.66
660681 0.86 31.03.2020 66 Transfer 660681 0.86
Multicap Opportunities Fund * 508736 0.66 31.03.2020 during the year 508736 0.66
13 Kuwait Investment 0 0.00 01.04.2019 0 0.00
9 Aditya Birla Sun Life Trustee 501117 0.65 01.04.2019 501117 0.65
Authority Fund F238 # 11.10.2019 631637 Transfer 631637 0.82
Private Limited 30.08.2019 -78000 Transfer 423117 0.55
619637 0.80 31.03.2020 -12000 Transfer 619637 0.80
30.09.2019 23400 Transfer 446517 0.58
11.10.2019 37860 Transfer 484377 0.63 14 The New India Assurance 323942 0.42 01.04.2019 323942 0.42
29.11.2019 14685 Transfer 499062 0.65 Company Limited # 05.04.2019 39296 Transfer 363238 0.47
07.02.2020 -9942 Transfer 489120 0.64 19.04.2019 13131 Transfer 376369 0.49
14.02.2020 189854 Transfer 678974 0.88 26.04.2019 1844 Transfer 378213 0.49
678974 0.88 31.03.2020 678974 0.88 03.05.2019 60000 Transfer 438213 0.57
30.08.2019 111120 Transfer 549333 0.71
10 Motilal Gopilal Oswal * 476000 0.62 01.04.2019 No movement 476000 0.62
05.09.2019 35870 Transfer 585203 0.76
476000 0.62 31.03.2020 during the year 476000 0.62
20.12.2019 -10399 Transfer 574804 0.75
11 Raamdeo Ramgopal Agrawal * 476000 0.62 01.04.2019 No movement 476000 0.62 03.01.2020 -2649 Transfer 572155 0.74
476000 0.62 31.03.2020 during the year 476000 0.62 28.02.2020 -46426 Transfer 525729 0.68
12 Motilal Oswal 262078 0.34 01.04.2019 262078 0.34 525729 0.68 31.03.2020 525729 0.68
(under various Scheme)# 26.04.2019 -102092 Transfer 159986 0.21
03.05.2019 -159986 Transfer 0 0.00 * These shareholders ceased to be a part of Top 10 Shareholders during the year, however the same are reflected above since the shareholders were among
13.09.2019 1083 Transfer 1083 0.00 Top 10 shareholders as at the beginning of the year i.e. 01.04.2019.
# These shareholders are not in the list of Top 10 Shareholders as on 01.04.2019, however the same has been reflected above since the shareholders were
27.09.2019 -7 Transfer 1076 0.00
30.09.2019 9 Transfer 1085 0.00 among one of the Top 10 shareholders during the period from 01.04.2019 to 31.03.2020.
11.10.2019 19 Transfer 1104 0.00 Note: PAN-wise consolidated shareholding taken
18.10.2019 19 Transfer 1123 0.00
25.10.2019 43 Transfer 1166 0.00
01.11.2019 1 Transfer 1167 0.00

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(v) Shareholding of Directors and Key Managerial Personnel: V. INDEBTEDNESS:

Indebtedness of the Company including interest outstanding/accrued but not due for payment:
Shareholding at the beginning Cumulative shareholding (` in Lakhs)
Sl. For Each of the Directors and KMP of the year (as on 01.04.2019) during the year
No. Secured Loans Unsecured Deposits Total
No. of shares % of total No. of shares % of total excluding deposits loans Indebtedness
shares of the shares of the Indebtedness at the beginning of the financial year
company company
i) Principal Amount as on 31.03.2019 1,85,757.08 834.61 - 1,86,591.69
A. DIRECTORS: ii) Interest due but not paid - - - -
1 Shri Harsh V. Lodha * iii) Interest accrued but not due as on 31.03.2019 2,813.92 1.81 - 2,815.73
As on 01.04.2019 & 31.03.2020 1260 0.00 1260 0.00 TOTAL (i+ii+iii ) 1,88,571.00 836.42 - 1,89,407.42
2 Shri Pracheta Majumdar * Change in Indebtedness during the financial year
As on 01.04.2019 & 31.03.2020 500 0.00 500 0.00 Addition 19,375.19 9,091.33 - 28,466.52

3 Shri Vikram Swarup * Reduction 44,421.25 2,926.42 - 47,347.67

As on 01.04.2019 & 31.03.2020 500 0.00 500 0.00 Net Change (25,046.06) 6,164.91 - (18,881.15)

4 Shri Anand Bordia * Indebtedness at the end of the financial year

As on 01.04.2019 & 31.03.2020 500 0.00 500 0.00 i) Principal Amount as on 31.03.2020 1,60,454.87 7,000.00 - 1,67,454.87
ii) Interest due but not paid - - - -
5 Shri Brij Behari Tandon *
As on 01.04.2019 & 31.03.2020 500 0.00 500 0.00 iii) Interest accrued and due as on 31.03.2020 263.84 - - 263.84
iv) Interest accrued but not due as on 31.03.2020 2,806.23 1.33 - 2,807.56
6 Shri Dhruba Narayan Ghosh *
TOTAL (i+ii+iii+iv) 1,63,524.94 7,001.33 - 1,70,526.27
As on 01.04.2019 & 31.03.2020 500 0.00 500 0.00
Note: Loan & Interest in Foreign currency is considered at Closing Rate for respective year.
7 Dr. Deepak Nayyar *
As on 01.04.2019 & 31.03.2020 500 0.00 500 0.00 VI. DETAILS OF REMUNERATION OF DIRECTORS AND KEY MANAGERIAL PERSONNEL (AS PER THE PROVISIONS OF THE INCOME TAX ACT):
A. Remuneration to Managing Director, Whole-time Directors and/or Manager:
8 Smt. Shailaja Chandra*
As on 01.04.2019 & 31.03.2020 500 0.00 500 0.00 Shri Bachh Raj Nahar Shri Pracheta Majumdar Total Amount
Sl. Particulars of Remuneration (Managing Director)* (Wholetime Director & (` in Lakh)
9 Shri Dilip Ganesh Karnik No. Chief Executive Officer)
As on 01.04.2019 & 31.03.2020 500 0.00 500 0.00
1. Gross salary
10 Shri Bachh Raj Nahar *# (a) Salary as per provisions contained in section 17(1) of
As on 01.04.2019 & 31.03.2020 500 0.00 500 0.00 the Income Tax Act, 1961 334.21 124.40 458.61
(b) Value of perquisites u/s 17(2) of the
Income Tax Act, 1961 6.91 0.40 7.31
B. KEY MANAGERIAL PERSONNEL (KMP):
(c) Profits in lieu of salary under section 17(3) of the
11 Shri Aditya Saraogi Income Tax Act, 1961 - - -
As on 01.04.2019 & 31.03.2020 100 0.00 100 0.00 2. Stock Option - - -
12 Shri Girish Sharma 3. Sweat Equity - - -
As on 01.04.2019 & 31.03.2020 0 0.00 0 0.00 4. Commission
- as % of profit
* Shares held jointly with other Shareholder
- others, specify - - -
# ceased to be the Director w.e.f. 13th August, 2019
5. Others (Performance Linked Bonus) 20.40 0.00 20.40
Total (A) 361.52 124.80 486.32
Ceiling as per the Act 10% of the Net Profits of the Company as per Section 198 of the Companies Act, 2013.

* ceased to be the Director w.e.f. 13th August, 2019

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B. Remuneration to other Directors: VII. DETAILS OF PENALTIES / PUNISHMENT/ COMPOUNDING OF OFFENCES:

1. Independent Directors: Type Section of the Brief Details of penalty/ Authority Appeal made,
Name of Directors Companies Act Description Punishment/ [RD/NCLT/ if any (give
Total compounding COURT] details)
Particulars of Remuneration Shri Vikram Shri Anand Shri Brij Shri Dhruba Dr. Deepak Smt. Shailaja Amount fees imposed
Swarup Bordia Behari Narayan Nayyar Chandra (` in Lakh)
Tandon Ghosh A. COMPANY
Fee for attending board/committee meetings 12.50 11.00 3.75 5.50 10.00 5.50 48.25 Penalty
Commission* 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Punishment NIL
Others, please specify - - - - - - - Compounding
Total (B)(1) 12.50 11.00 3.75 5.50 10.00 5.50 48.25 B. DIRECTORS
* In view of extraordinary circumstances, adverse and uncertain business environment prevailing in the country due to COVID-19 pandemic, the Penalty
Non-Executive Directors were paid a token amount of ` 1/- each as commission for the financial year 2019-2020.
Punishment NIL
2. Other Non-Executive Directors:
Compounding
Name of Directors Total Amount
Particulars of Remuneration C. OTHER OFFICERS IN DEFAULT
(` in Lakh)
Shri Harsh V. Lodha Shri Dilip Ganesh Karnik Penalty
Fee for attending board/committee meetings 7.00 4.50 11.50 Punishment NIL
Commission* 0.00 0.00 0.00 Compounding
Others, please specify - - -
Total B(2) 7.00 4.50 11.50
Total (B) = (B1) + (B2) ` 59.75 lakh
Total Managerial Remuneration ` 546.07 lakh For and on behalf of the Board of Directors
Overall Ceiling as per the Act 11% of the Net Profits of the Company as per Section 198 of the Companies Act, 2013.
* In view of extraordinary circumstances, adverse and uncertain business environment prevailing in the country due to COVID-19 pandemic, the Harsh V. Lodha Pracheta Majumdar
Non-Executive Directors were paid a token amount of ` 1/- each as commission for the financial year 2019-2020. Chairman Wholetime Director &
Place: Kolkata (DIN: 00394094) Chief Executive Officer
C. Remuneration to Key Managerial Personnel other than MD/ Manager/WTD:
Dated, the 22nd day of May, 2020 (DIN: 00179118)
Key Managerial Personnel
Sl. Particulars of Remuneration Shri Aditya Saraogi Shri Girish Sharma Total Amount
No. (Chief Financial Officer) (Company Secretary) (` in Lakh)
1 Gross salary
(a) Salary as per provisions contained in section 17(1) of
the Income Tax Act, 1961 117.69 48.49 166.18
(b) Value of perquisites u/s 17(2) of the Income Tax Act, 1961 0.30 3.62 3.92
(c) Profits in lieu of salary under section17(3) of the
Income Tax Act, 1961 - - -
2 Stock Option N.A. N.A. N.A.
3 Sweat Equity N.A. N.A. N.A.
4 Commission N.A. N.A. N.A.
- as % of profit
- others, specify
5 Others (Performance Linked Bonus) 27.00 12.50 39.50
Total 144.99 64.61 209.60

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ANNEXURE - C

THE CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE EARNINGS AND OUTGO, Cement Jute Steel Foundry
IN THE MANNER AS PRESCRIBED IN RULE 8(3) OF THE COMPANIES (ACCOUNTS) RULES, 2014 ii) Steps in utilization of 1 AFR used in kiln in both Satna & Chanderia Plant which – –
alternate sources of energy includes Carbon Black, Waste mix solids, ETP sluge,
Cement Jute Steel Foundry Mustard husk, TDI Tar, Industrial waste, Non hazardous
waste, liquid waste etc.
A. Conservation of Energy
2 WHRS system is operating in both Satna & Chanderia
i) a) Energy Conservation Chanderia Unit for power generation from waste flue gas.
measures taken. 1 Process modification and Raw mix optimization in BCW 1 Replacement of 2 nos. old sub 1 The conservation of energy is 3 Sourcing renewable energy from solar power plant at
& CCW to increase fly ash consumption in cement. mercible pump of 15 kW each a continuous exercise. Trend Satna.
2 Cooler modification by adding two nos module and with new energy efficient of energy consumption is 4 Additional solar power plant installed at both Satna and
installations of ABC inlet instead of CIS at NCCW. mercible pump of 22 kW. regularly monitored and Chanderia.
2 Replacement of 35 nos old remedial measures are
3 Reduction in thermal energy consumption kin CCW-1
motors with new energy initiated to improve energy iii) Capital investment on energy ` 197 Lakh ` 3.05 Lakh –
Kiln by optimization of raw mix and process.
efficient IE3 motors at spinning efficiency. conservation equipments
4 Process optimization in raw mill and cement
mill section by reduction in breakdown, process and drawing frames. 2 Control of metal heating
3 Old CFL, halogen lamps process temperature to B. Technology Absorption
optimization.
replaced with energy efficient optimize energy requirement. Research & Development
5 Power factor improvement.
LED lights. 3 Efficiency improvement in
Satna 1) Specification of 1 Replacement of existing Packer with latest generation 1 Development of Sizing additive
4 Replacement of 23 old Acs and cooling system leads to reduce
1 Installation of MVVFDs in various Process fan Technology absorption packer RCW. which increase strength with
12 nos Geyers with new energy energy consumption.
applications in both BVC and SCW. and/or R&D 2 Installation of energy efficient screw compressor lower concentration of starch
efficient Acs and Geyers. 4 Optimize air requirement and reduce fluff generation.
2 Installation of MVVFDs in preheater fan at BVC. inplace of reciprocating compressor in RCW.
to improve efficiency of
Durgapur compressor. 3 Replacement of existing CIS cooler inlet with ABC inlet 2 Upgraded Technology for
to increase cooler performance in NCCW. suppression of dust in Jute
1 Installation of LED light fittings in plant area replacing
conventional lights. 4 Installation of CBA for limestone quality control at Satna. Selection dept.
2 Installation of VVVF Drive for 30 kW DA Fan of HAG 5 Upgradation of PLC system of packing plant at DCW.
replacing damper control. 6 Installation of low cost additives feeding to BVC cement
3 Interlocking of Conveying Air Compressors of PD Pump circuit.
of DCW Mills with Mill operation to avoid idle running of 7 Installation of PSA based N2 inertization system for
compressors. CCW coal mill.
Raebareli 8 Installation of turbo blower for kiln and calciner firing
at NCCW.
1 Installation of VFD in bag filter fan of Cement mill no-2.
2 Replacement of dynamic separator feeding belt
2) Benefits 1 Installation of new packers will lead to high efficiency Conservation of Energy. Conservation of Energy.
conveyor with air slide.
cement packing and less nozzle downtime.
3 Replacement of conventional light fittings with LED
2 Increased compressor performance and energy savings.
light.
3 Improved cooler performance and clinker quality.
4 Installation of 2 nos. screw compressor for energy
savings. 4 Enhancement in performance of packing plant.
5 Cement mill performance improved.
b) Impact on conservation of Chanderia
6 Improved fire fighting system in coal mill circuit.
energy 1 Increased usage of fly ash in producing cement reduces Reduction in power consumption – 7 Improved kiln operation.
the consumption of clinker, the production of which is
energy intensive.
2 Cooling efficency increased as well as reduction in C. Foreign Exchange Earning &
thermal energy. Outgo
3 Optimizing process & raw mix Reduction in thermal i) Total Foreign Exchange ` 28387 Lakh
energy consumption in CCW & NCCW Kiln. used -
4 Power factor of improvement leads to energy saving.
ii) Total Foreign Exchange ` 3814.46 Lakh
Satna earned (including export
1 Reduction in Specific power consumption per tonne of in INR)
Clinker.
Durgapur Note: Excludes borrowings and repayments in Foreign Currency.
1 Saving of power consumption.
2 Optimize the compressor running time and saving in
power. For and on behalf of the Board of Directors
Raebareli
1 Saving in motor power.
2 Power consumption reduced. Harsh V. Lodha Pracheta Majumdar
3 Savings in lighting power substantially and also reduce Chairman Wholetime Director &
maintenance cost. Place: Kolkata (DIN: 00394094) Chief Executive Officer
4 Installation of Screw compressor led to energy savings. Dated, the 22nd day of May, 2020 (DIN: 00179118)

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ANNEXURE – D
Sr. CSR project/ activity Sector in which Projects/ programs Amount Amount spent Cumulative Amount spent:
REPORT ON CORPORATE SOCIAL RESPONSIBILITY (CSR) ACTIVITIES/ INITIATIVES No identified the project is 1. Local area/others- outlay on the project/ spend up Direct/ through
covered 2. Specify the State/ (budget) programs Sub to the implementing
[Pursuant to Section 135 of the Act & Rules made thereunder] district (Name project/ heads: reporting agency
of the District/s, program 1. Direct period i.e.
1. A brief outline of the Company’s CSR Policy including overview of the projects or programmes proposed to be undertaken and State/s where – wise expenditure 2019 – 2020
reference to the web-link to the CSR Policy and projects or programmes : project/ programs on project /
was undertaken Programs,
As per the provisions of the Companies Act, 2013 and Rules framed thereunder, the Company has formulated its CSR policy to 2. Overheads
contribute to economic development in different ways to ensure the economically disadvantaged section of society is benefited. The
1 2 3 4 5 6 7 8
CSR initiatives are steered by the guiding principle of sensitivity to the needs of the people, enhancing the quality of their lives and
protection of the environment. ` in Lakhs ` in Lakhs ` in Lakhs
III Promotion of Primary Education Chanderia in Rajasthan, 41.21 41.32 41.32 Direct
The Company’s CSR Programs are directed mainly in the areas of Education, Healthcare, Water, Infrastructure and Enhancement of & Secondary Education Raebareli in Uttar Pradesh,
livelihood of Rural Poor. While planning the CSR activities the needs of the people are taken into account and people living around the and assistant for Durgapur in West Bengal,
places where our manufacturing operations are carried out, are consulted. Greater emphasis is laid on activities for Preventive Schools Infrastructure Satna in Madhya Pradesh.
healthcare, Education of poor children, Water Facility, Rural Infrastructure development, Cleanliness and enhancing the income of the development
poor people. The Company has undertaken the CSR activities directly through our staff with support from reputed NGO and also IV Vocational training Women Chanderia in Rajasthan, 4.55 4.55 4.55 Through
through Madhav Prasad Priyamvada Birla Apex Charitable Trust and M P Birla Netralaya. The Company’s CSR policy is placed on its and Micro Enterprise Empowerment Raebareli in Uttar Pradesh, Implementing
website and the web-link for the same is [Link] Development and SHG Durgapur in West Bengal, Agency i.e.
development Program Satna in Madhya Pradesh. Priyanshi
2. The composition of the CSR Committee is as under :- for Women Educational,
Empowerment Cultural and Social
Shri Harsh V. Lodha Chairman Society, Bhopal, MP
Shri Vikram Swarup Director V Improved Animal Livelihood & Chanderia in Rajasthan, 31.87 31.63 31.63 1- Sarv Mangal
Shri Brij Behari Tandon Director Husbandry Program, Environmental Raebareli in Uttar Pradesh, Gramin Sansthaan
Advanced Agricultural Sustainability Durgapur in West Bengal, Address- Bundi,
Shri Dhruba Narayan Ghosh Director Practices & Satna in Madhya Pradesh. Rajasthan
Environmental 2- BAIF Institute
3. Average net profits of the Company for the last three financial years : Sustainability of Sustainable
2018-2019, 2017-2018 and 2016-2017 is ` 156.17 Crores. Livelihoods and
Development
4. The prescribed CSR expenditure at 2% is ` 3.12 Crores. Address: - BAIF
Bhavan, Dr. Manibhai
5. Details of CSR activities/projects undertaken during the year : Desainagar, Warje,
a) Total amount to be spent for the Financial Year 2019-2020 : ` 3.12 Crores Pune-411058 (M.H)
VI Promotion of Rural Promotion of Chanderia in Rajasthan, 3.32 6.96 6.96 Direct
b) Amount unspent, if any : Nil Sports, Cultural Sports and Raebareli in Uttar Pradesh,
c) Manner in which the amount spent during the Financial Year 2019–2020 is detailed below :- Initiatives, Support to Cultural Durgapur in West Bengal,
District Administration Initiatives Satna in Madhya Pradesh.
Sr. CSR project/ activity Sector in which Projects/ programs Amount Amount spent Cumulative Amount spent: for Good Governance
No identified the project is 1. Local area/others- outlay on the project/ spend up Direct/ through and Support to
covered 2. Specify the State/ (budget) programs Sub to the implementing Old Age Home
district (Name project/ heads: reporting agency VII Rural Development Rural Chanderia in Rajasthan, 19.70 8.81 8.81 Direct
of the District/s, program 1. Direct period i.e.
Project Development Raebareli in Uttar Pradesh,
State/s where – wise expenditure 2019 – 2020
project/ programs on project / Program Durgapur in West Bengal,
was undertaken Programs, Satna in Madhya Pradesh.
2. Overheads VIII Village Development Village Neighbour village of 10.00 10.00 10.00 Direct
1 2 3 4 5 6 7 8 Adoption Chanderia Cement Works,
Chanderia in Rajasthan.
` in Lakhs ` in Lakhs ` in Lakhs
TOTAL 350.00 347.62 347.62
I Contribution to Multi- Health care Chanderia in Rajasthan, 165.00 165.85 165.85 Implementing
specialty hospital and Durgapur in West Bengal Agencies- 6. In case the company has failed to spend the 2% of the average net profit of the last 3 financial years or any part thereof, reasons
Eye Clinic for Madhav Prasad for not spending the amount: Not Applicable.
promoting health care Priyamvada Birla
activities Apex Charitable 7. A responsibility statement by the CSR Committee that the implementation and monitoring of CSR Policy is in compliance with
Trust and M. P. Birla
Netralaya CSR objectives and Policy of the Company: The CSR Committee confirms that the implementation and monitoring of CSR Policy
is in compliance with CSR objectives and Policy of the Company.
II Making available safe Health, Water & Chanderia in Rajasthan, 74.35 78.50 78.50 Implementing
drinking water, Eye Sanitation Raebareli in Uttar Pradesh, Agency i.e. NGO-
Check-up camps and Durgapur in West Bengal, Shamayita Math, For and on behalf of the Board of Directors
Surgery, Preventive Satna in Madhya Pradesh Bankura, West
Health Check up Bengal
Camps, Adolescent
Health Program, Harsh V. Lodha Pracheta Majumdar
Awareness on Chairman of the CSR Committee Wholetime Director &
Sanitation,
construction &
Place: Kolkata (DIN: 00394094) Chief Executive Officer
renovation of toilets Dated, the 22nd day of May, 2020 (DIN: 00179118)

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ANNEXURE – E ANNEXURE – F
FORM NO. MR-3
DETAILS PERTAINING TO REMUNERATION AS REQUIRED UNDER SECTION 197(12) OF THE
SECRETARIAL AUDIT REPORT
COMPANIES ACT, 2013 READ WITH RULE 5(1) OF THE COMPANIES (APPOINTMENT AND FOR THE FINANCIAL YEAR ENDED 31.03.2020
REMUNERATION OF MANAGERIAL PERSONNEL) RULES, 2014 [Pursuant to Section 204(1) of the Companies Act, 2013 and Rule 9 of the Companies
(Appointment and Remuneration of Managerial Personnel) Rules, 2014]
(i) The percentage increase in remuneration of each Director, Chief Financial Officer and Company Secretary during the financial year
2019-2020 and ratio of the remuneration of each Director to the median remuneration of the employees of the Company for the To
financial year 2019-2020: The Members
Birla Corporation Limited
Sl. Name of Director(s)/ Designation Ratio of remuneration of each % increase in Birla Building
No. KMPs Director to median Remuneration in the 9/1, R N Mukherjee Road
remuneration of employees ** Financial Year 2019-2020 Kolkata 700001

01. Shri Bachh Raj Nahar* Managing Director - - We have conducted the secretarial audit of the compliance of applicable statutory provisions and the adherence to good corporate
practices by Birla Corporation Limited (hereinafter called the Company), bearing CIN: L01132WB1919PLC003334. The Secretarial Audit was
02. Shri Pracheta Majumdar# Wholetime Director & 55.46 (26.77)%
conducted in a manner that provided us a reasonable basis for evaluating the corporate conducts/statutory compliances and expressing
Chief Executive Officer
our opinion thereon.
03. Shri Aditya Saraogi Chief Financial Officer N.A. 17.71%
Based on our verification of the Company’s books, papers, minute books, forms and returns filed and other records maintained by the
04. Shri Girish Sharma Jt. President (Indirect Taxes) & N.A. 15.21% Company and also the information provided by the Company, its officers, agents and authorized representatives during the conduct of
Company Secretary secretarial audit, we hereby report that in our opinion, the Company has, during the audit period covering the financial year ended on 31
March, 2020 complied with the statutory provisions listed hereunder and also that the Company has proper Board-processes and
* Shri Bachh Raj Nahar ceased to be the Managing Director of the Company w.e.f. 3rd August, 2019. Since the remuneration has been compliance-mechanism in place to the extent, in the manner and subject to the reporting made hereinafter.
paid for the part of the year, the ratio of the remuneration and % increase in the remuneration is not comparable and hence not stated. We have examined the books, papers, minute books, forms and returns filed and other records maintained by the Company for the financial
# The remuneration for financial year 2019-2020 is lower as compared to financial year 2018-2019 since it does not include performance year ended on 31 March 2020, to the extent applicable, according to the provisions of:
linked incentive for the financial year 2019-2020, which is yet to be finalized. i. The Companies Act, 2013 (‘the Act’) and the rules made thereunder;
** The median remuneration of employees of the Company during the financial year was ` 2.25 Lakhs. ii. The Securities Contracts (Regulation) Act, 1956 (‘SCRA’) and the rules made there under;
iii. The Depositories Act, 1996 and the Regulations and Bye-laws framed there under;
Note: The Non-Executive Directors of the Company are entitled for sitting fees and commission as per the statutory provisions and within
the limits approved by the Members. The details of sitting fees and commission paid to the Non-Executive Directors are provided in the iv. Foreign Exchange Management Act, 1999 and the rules and regulations made there under to the extent of Foreign Direct Investment,
Report on Corporate Governance. Overseas Direct Investment and External Commercial Borrowings;

i) There was an increase of 4.62% in the median remuneration of employees during the financial year 2019-2020.
v. The Investor Education and Protection Fund Authority Rules, 2016;
vi. The following Regulations and Guidelines prescribed under the Securities and Exchange Board of India Act, 1992 (‘SEBI Act’), to the
ii) There were 7412 permanent employees on the rolls of Company as on 31st March, 2020.
extent applicable:
iii) Average percentage increase made in the salaries of employees other than the managerial personnel in the financial year
(a) The Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011;
i.e. 2019-2020 was 8.64% whereas the decrease in the managerial remuneration for the same financial year was 22.55%.
(b) The Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015;
Average increase in the remuneration of the employees other than the Managerial Personnel and that of the managerial personnel
depends upon the factors like industry standards, individual performance etc. during the year. (c) The Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009;
(d) The Securities and Exchange Board of India (Issue and Listing of Debt Securities) Regulations, 2008;
iv) It is hereby affirmed that the remuneration paid during the year ended 31st March, 2020 is as per the Nomination and Remuneration
Policy of the Company. (e) The Securities and Exchange Board of India (Registrars to an Issue and Share Transfer Agents) Regulations, 1993 regarding the
Companies Act and dealing with client; and
(f) The Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.
For and on behalf of the Board of Directors
vii. The other laws applicable specifically to the Cement/Jute/Iron & Steel division of the Company, namely:
(a) Mineral Conservation and Development Rules, 1988
Harsh V. Lodha Pracheta Majumdar
Chairman Wholetime Director & (b) The Mines and Minerals (Development and Regulation) Act, 1957
Place: Kolkata (DIN: 00394094) Chief Executive Officer (c) Explosive Rules, 2008
Dated, the 22nd day of May, 2020 (DIN: 00179118) (d) Ammonium Nitrate Rules, 2012

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(e) The Environment (Protection) Act, 1986 The Directors present the Business Responsibility Report of the Company for the financial year ended on 31st March, 2020, pursuant to
(f) The Limestone and Dolomite Mines Labour Welfare Fund Act, 1972 Regulation 34(2)(f) of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.
(g) Indian Electricity Rules 1956 This Business Responsibility Report is a testament to our accountability towards creating enduring value for all stakeholders in a responsible
(h) The Jute Packaging Materials (Compulsory Use in Packing Commodities) Act, 1987 manner. In line with SEBI’s proposed index and the nine principles of the Government of India’s ‘National Voluntary Guidelines on Social,
(i) The Jute Manufactures Cess Act, 1983 Environmental and Economic Responsibilities of Business’, the report summarises our efforts to conduct business with responsibility.
(j) The National Jute Board Act, 2008
SECTION A: GENERAL INFORMATION ABOUT THE COMPANY
(k) The Employees Provident Fund Act, 1952
(l) The West Bengal Factories Rules, 1958 1 Corporate Identity Number (CIN) of the Company L01132WB1919PLC003334
(m) West Bengal Labour Welfare Fund Act & Rule, 1976 2 Name of the Company Birla Corporation Limited
(n) Contract Labour (R&A) Act, 1970 3 Registered address 9/1, R N Mukherjee Road, Birla Building,
We have also examined compliance of Secretarial Standards issued by The Institute of Company Secretaries of India. Kolkata -700001

During the period under review the Company has complied with the provisions of the Act, Rules, Regulations, Guidelines, Standards, etc. 4 Website [Link]
mentioned herein above. 5 E-mail id coordinator@[Link]
We further report that: 6 Financial Year reported 1st April, 2019 to 31st March, 2020
The Board of Directors of the Company is duly constituted with proper balance of Executive Directors, Non-Executive Directors and 7 Sector(s) that the Company is engaged in (industrial Details of major Products
Independent Directors. The changes in the composition of the Board of Directors that took place during the period under review were activity code-wise)
carried out in compliance with the provisions of the Act. Group Class Sub Class Description
Adequate notice had been given to all Directors to schedule the Board Meetings, agenda and detailed notes on agenda were sent at least 239 2394 23941 Manufacturing of Clinker and
seven days in advance, and a system exists for seeking and obtaining further information and clarifications on the agenda items before the 23942 Cement
meeting and for meaningful participation at the meeting.
131 1313 13135 Manufacturing of Jute Goods.
As per the minutes of the meetings duly recorded and signed by the Chairman, the decisions of the Board were unanimous and therefore
there were no dissenting views that were required to be recorded. 8 List three key products/ services that the Company (i) The Company manufactures cement of various kinds viz. Ordinary
manufactures/ provides (as in balance sheet) Portland Cement, Portland Pozzolana Cement and Portland Slag
We further report that there are adequate systems and processes in the Company commensurate with the size and operations of the
Company to monitor and ensure compliance with applicable laws, rules, regulations and guidelines. Cement.
We further report that during the audit period there were no investments/disinvestments made by the Company having a major bearing on (ii) The Company also manufactures Jute Goods.
the Company’s affairs. The details are given as under: 9 Total number of locations where business activity is (a) Number of International Locations (Provide details of major 5)- Nil
1. Details of investments of the Company in other companies resulting which a subsidiary company has been formed: undertaken by the Company (b) Number of National Locations:
No 2 Integrated Cement Units, 2 Grinding Units, 1 Blending Unit,
1 Jute Mill, 1 Steel Foundry, Registered Office and Corporate Office
2. Company/Bodies Corporate which has become associate: & Regional Sales Offices in various states.
No
10 Markets served by the Company – Local/State/ Local/State/National/International
3. Company which have become Joint Venture: National/International
Local State National International
No
Note: The Company has not declared the voting results of the Annual General Meeting held on 13th August, 2019 in view of the Orders dated Yes Yes Yes Yes
2nd August, 2019 and 9th August, 2019 and other related Orders passed by Hon’ble High Court, Calcutta till 31st March, 2020 and
consequently is yet to comply with the requirement of filing XBRL document (AOC 4 XBRL) in respect for financial statements and other SECTION B: FINANCIAL DETAILS OF THE COMPANY
related annexures thereto for the Financial Year 2018- 2019. Subsequently, pursuant to the Order of the Division Bench of the Hon’ble High
Court at Calcutta dated 4th May, 2020, the Company on 4th May, 2020 had published the voting results of the business transacted at the 1 Paid up Capital (INR) ` 77.01 crores
Annual General Meeting of the Company held on 13th August, 2019.
2 Total Turnover (INR) ` 4746.60 crores
For Mamta Binani & Associates
3 Total profit after taxes (INR) ` 315.84 crores
CS Madhuri Pandey
4 Total Spending on Corporate Social Responsibility (CSR) During the year 2019-2020, an amount of `347.62 Lakhs was spent on
Partner
as percentage of profit after tax (%) CSR activities. This represents more than 2% of average net profit for
CP No. : 20723
Date: 22.05.2020 Membership No: A55836 three financial years immediately preceding the financial year 2019-
Place: Kolkata UDIN: A055836B000358875 2020.

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5 List of activities in which expenditure in 4 above has 1. Health Care and Sanitation 2. Principle-wise (as per NVGs) BR Policy/policies
been incurred:- 2. Education a) Details of compliance (Reply in Y/N)
3. Water The Nine principles as per BRR are as given below:-
4. Women Empowerment
5. Environment Sustainability and Livelihood P1 Businesses should conduct and govern themselves with Ethics, Transparency and Accountability.
6. Promotion of sports and Cultural Initiatives P2 Businesses should provide goods and services that are safe and contribute to sustainability throughout their life cycle.
7. Rural Development Program
P3 Businesses should promote the well-being of all employees.
8. Village Adoption
P4 Businesses should respect the interests of, and be responsive towards all stakeholders, especially those who are
disadvantaged, vulnerable and marginalised.
SECTION C: OTHER DETAILS
P5 Businesses should respect and promote human rights.
1. Does the Company have any Subsidiary Company/ Companies?
P6 Businesses should respect, protect, and make efforts to restore the environment.
Yes, as on 31st March, 2020, the Company has 7 (Seven) Subsidiary Companies, viz. RCCPL Private Limited (formerly known as Reliance
Cement Company Private Limited), Lok Cement Limited, Talavadi Cements Limited, Birla Jute Supply Company Limited, Budge Budge P7 Businesses, when engaged in influencing public and regulatory policy, should do so in a responsible manner.
Floorcoverings Limited, Birla Cement (Assam) Ltd. and M.P. Birla Group Services Pvt. Ltd.
P8 Businesses should support inclusive growth and equitable development.
2. Do the Subsidiary Company/Companies participate in the BR Initiatives of the parent company? If yes, then indicate the
P9 Businesses should engage with and provide value to their customers and consumers in a responsible manner.
number of such subsidiary company(s)
The Business Responsibility initiatives of the Company apply to its material subsidiary.
No. Questions P1 P2 P3 P4 P5 P6 P7 P8 P9
3. Do any other entity/entities (e.g. suppliers, distributors etc.) that the Company does business with, participate in the BR 1 Do you have a policy/ policies for Y Y Y Y Y Y Y Y Y
initiatives of the Company? If yes, then indicate the percentage of such entity/entities? [Less than 30%, 30-60%, More than
60%] 2 Has the policy being formulated in consultation Y Y Y Y Y Y Y Y Y
with the relevant stakeholders?
Other entities viz. suppliers, distributors etc. with whom the Company does business, do not participate in the Business Responsibility
initiatives of the Company. 3 Does the policy conform to any national / The policies are based on the ‘National Voluntary Guidelines
international standards? If yes, specify? (50 words) on Social, Environmental and Economic Responsibilities of
Business’ released by the Ministry of Corporate Affairs.
SECTION D: BR INFORMATION
4 Has the policy being approved by the Board? Y Y Y Y Y Y Y Y Y
1. Details of Director/Directors responsible for BR Is yes, has it been signed by MD/ owner/ CEO/
appropriate Board Director?
a) Details of the Director/Directors responsible for implementation of the BR policy/ policies
5 Does the company have a specified committee Y Y Y Y Y Y Y Y Y
1 DIN Number : 00179118 of the Board / Director / Official to oversee the
2 Name : Shri Pracheta Majumdar* implementation of the policy?

3 Designation : Wholetime Director & Chief Executive Officer 6 Indicate the link for the policy to be viewed online? Copy of the policy will be made available on receipt of written
request from a stakeholder.
* w.e.f. 2nd August, 2019
7 Has the policy been formally communicated to all The policy has been communicated to key internal
b) Details of the BR head relevant internal and external stakeholders? stakeholders of the Company.
No. Particulars Details 8 Does the company have in-house structure to Y Y Y Y Y Y Y Y Y
1 DIN Number (if applicable) 00179118 implement the policy/ policies.

2 Name Shri Pracheta Majumdar* 9 Does the Company have a grievance redressal Y Y Y Y Y Y Y Y Y
mechanism related to the policy / policies to
3 Designation Wholetime Director & Chief Executive Officer address stakeholders’ grievances related to the
policy/ policies?
4 Telephone Number (033) 6603-3300
10 Has the company carried out independent audit / The policies are evaluated from time to time and updated
5 E-mail id pmajumdar@[Link]
evaluation of the working of this policy by an whenever required.
* w.e.f. 2nd August, 2019 internal or external agency?

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b) If answer to the question at serial number 1 against any principle, is ‘No’, please explain why: (Tick up to 2 options) 2. For each such product, provide the following details in respect of resource use (energy, water, raw material etc.) per unit of
product(optional):
No. Questions P1 P2 P3 P4 P5 P6 P7 P8 P9
(a) Reduction during sourcing/production/ distribution achieved since the previous year throughout the value chain?
1 The company has not understood the Principles
The Company is committed to Environment protection, climate change and taking lot of initiatives to reduce carbon footprint. As
2 The company is not at a stage where it finds itself in
a part of promoting renewal energy, the Company has installed WHRS (Waste Heat Recovery System) at Satna and Chanderia
a position to formulate and implement the policies
Units to capture waste heat of kilns and utilize the same for power generation and resultantly save water and fossil fuels. We are
on specified principles always promoting energy efficient technology to ensure lower energy consumption. The Company, as a part of conserving
3 The company does not have financial or manpower Not Applicable natural resources and to reduce energy consumption, consumes industrial waste by-products like fly ash, steel slag in the cement
resources available for the task manufacturing process, which reduces greenhouse gas emission. The Company has installed solar power plants at different
4 It is planned to be done within next 6 months factories for increasing share of renewable power in captive power consumption. For further details please refer to Annexure – ‘C’
to the Director’s Report covering inter-alia, details of Conservation of Energy.
5 It is planned to be done within the next 1 year
(b) Reduction during usage by consumers (energy, water) has been achieved since the previous year?
6 Any other reason (please specify)
The Company’s products are used by variety of consumers and it is neither feasible to measure reduction in the usage (energy,
water) nor available with us. However at plant level we are taking following actions to reduce energy and water:
3. Governance related to BR
1. Use of alternative fuel for thermal substitution by using FMCG waste, Polyresidue Plastic, ETP Sludge, Industrial waste and
a) Indicate the frequency with which the Board of Directors, Committee of the Board or CEO to assess the BR performance of agricultural waste and replacing fossil fuel.
the Company. Within 3 months, 3-6 months, Annually, More than 1 year.
2. For water conservation, we collect rain water in our mined out area which is being used for plant and colony throughout the
BR performance of the Company is assessed annually. year. We have also installed Air Cooled Condenser (ACC) at 27 MW CPP at both the plants at Chanderia and Satna which
b) Does the Company publish a BR or a Sustainability Report? What is the hyperlink for viewing this report? How frequently saves 90% water required for running condenser of Captive Power plant.
it is published? The Company has also installed effluent treatment plant for recycling waste water and using the same for plantation, dust
The Company prepares Business Responsibility Report annually. The Business Responsibility Report is part of this Annual Report suppression etc.
and the same is also placed on the website of the Company at [Link]. 3. Does the company have procedures in place for sustainable sourcing (including transportation)?
(a) If yes, what percentage of your inputs was sourced sustainably? Also, provide details thereof, in about 50 words or so.
SECTION E: PRINCIPLE-WISE PERFORMANCE
The Company’s main raw material, is procured mostly through its own mines, situated close to plants. These are transported
PRINCIPLE 1: BUSINESSES SHOULD CONDUCT AND GOVERN THEMSELVES WITH ETHICS, TRANSPARENCY AND ACCOUNTABILITY through long belt conveyors/ropeway. Most of the Company’s inward bulk materials are sourced from nearby areas in a
1. Does the policy relating to ethics, bribery and corruption cover only the company? Yes/ No. Does it extend to the Group/Joint sustainable manner.
Ventures/ Suppliers/Contractors/NGOs /Others? The Company has its own slag processing (granulation) plant near to steel plant and procure fly ash and slag from nearby areas as
much as possible. The Company is also planning to source fly ash through rail wagon for most sustainable sourcing.
The Company considers Corporate Governance as an integral part of good management and guides the operations of the Company
alone. The Code of Conduct is applicable to the Directors and Senior Management of the Company. A Whistle Blower Policy/ Vigil The Company is using Alternate Fuel (bio mass, plastic wastes, co-processed industrial waste, hazardous & non-hazardous waste)
Mechanism is also in place to provide opportunity to all stakeholders to report any concerns/issues/incidents about unethical to replace part of fossil fuel, in a sustainable manner.
behaviour, actual or suspected fraud or violation of the code of conduct or policies. 4. Has the company taken any steps to procure goods and services from local & small producers, including communities
2. How many stakeholder complaints have been received in the past financial year and what percentage was satisfactorily surrounding their place of work?
resolved by the management? If so, provide details thereof, in about 50 words or so. (a) If yes, what steps have been taken to improve their capacity and capability of local and small vendors?
During the financial year 2019-2020, the Company has received 7 (Seven) complaints from the shareholders relating to non-receipt of The Company encourages local vendors to supply its regular needs. The Company also encourages procurement of goods and
Dividend which were resolved by the management. services from SME & MSME vendors and contributes in their overall development. The Company has trained and developed local
contractors to meet its repair and maintenance needs as much as possible. These contractors employ workmen mostly from local
PRINCIPLE 2: BUSINESSES SHOULD PROVIDE GOODS AND SERVICES THAT ARE SAFE AND CONTRIBUTE TO SUSTAINABILITY
villages.
THROUGHOUT THEIR LIFE CYCLE
5. Does the company have a mechanism to recycle products and waste? If yes what is the percentage of recycling of products and
1. List up to 3 of your products or services whose design has incorporated social or environmental concerns, risks and/or
waste (separately as <5%, 5-10%, >10%). Also, provide details thereof, in about 50 words or so.
opportunities.
Cement manufacturing process does not generate any by-product / waste as such. The Company utilises wastes of other industries like
The Company has been focussing on developing products that are environment friendly, utilising waste by product from other steel plants, power plants and other chemical plants as additives in cement manufacture and thus contributes to sustainable
industries, reducing carbon footprint and more energy efficient. Our major product range is blended cements which include Portland development. Fly ash generated in power plants and Slag a waste generated from steel industry are used in the cement manufacturing
Pozzolana Cement (PPC) and Portland Slag Cement (PSC). Fly ash from waste from thermal power plant is used in PPC and also Slag process itself. Fly ash generated from own captive thermal power plants is also used in cement manufacturing process. Apart from that
waste from steel industry is used in PSC. Another product is Pozzolana Composite Cement (PCC) in which both fly ash and slag are used. waste from agriculture and industries are used as alternate fuel in kiln to replace fossil fuel. Solid waste such as electronic waste and
For producing clinker, we are replacing fossil fuel with agricultural waste, industrial waste, hazardous & non-hazardous waste to the liquid waste such as used oil, lubricants are sold/disposed to authorize recycling vendors. Waste water is treated in effluent plant and
extent of availability. used for green belt development and dust suppression.

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PRINCIPLE 3: BUSINESSES SHOULD PROMOTE THE WELL-BEING OF ALL EMPLOYEES PRINCIPLE 5: BUSINESSES SHOULD RESPECT AND PROMOTE HUMAN RIGHTS
1. Please indicate the Total number of employees. 1. Does the policy of the company on human rights cover only the company or extend to the Group/Joint Ventures/Suppliers/
As on 31st March, 2020, the Company had total 7,412 number of employees. Contractors/NGOs/Others?
2. Please indicate the Total number of employees hired on temporary/contractual/casual basis. The Policy relating to respecting and promoting human rights covers the Company and its subsidiaries only. The Company encourage
Total temporary/contractual/casual employees were 6,891 as on 31st March, 2020 out of which 284 comprises of Trainees and its business partners and third parties with whom it conducts business to abide by this policy.
Apprentices.
2. How many stakeholder complaints have been received in the past financial year and what percent was satisfactorily resolved
3. Please indicate the Number of permanent women employees.
by the management?
There were 40 permanent women employees as on 31st March, 2020.
During the financial year 2019-2020, the Company did not receive any complaint with regard to violation of human rights.
4. Please indicate the Number of permanent employees with disabilities.
There were 4 (four) permanent employees with disabilities as on 31st March, 2020. PRINCIPLE 6: BUSINESS SHOULD RESPECT, PROTECT, AND MAKE EFFORTS TO RESTORE THE ENVIRONMENT
5. Do you have an employee association that is recognized by management. 1. Does the policy related to Principle 6 cover only the company or extends to the Group/Joint Ventures/Suppliers/
Yes Contractors/NGOs/others.
6. What percentage of your permanent employees is members of this recognized employee association? The Policy relating to respecting, protecting and restoring the Environment covers the Company and its subsidiaries only.
52.56%.
2. Does the company have strategies/ initiatives to address global environmental issues such as climate change, global
7. Please indicate the Number of complaints relating to child labour, forced labour, involuntary labour, sexual harassment in the warming, etc? Y/N. If yes, please give hyperlink for webpage etc.
last financial year and pending, as on the end of the financial year.
Climate change, global warming and environmental risks are serious challenges that the company is fully engaged with and started
No. Category No. of complaints filed No. of complaints pending as on various initiatives. The Company proactively takes measure to reduce carbon foot print by trying to maximise production of blended
during the financial year end of the financial year cement by using waste generated from power plant and steel industry. The Company is using different waste material from different
1 Child labour/ forced labour/ involuntary The Company does not employ such Not Applicable sector as alternate fuel to reduce fossil fuel which leads to reduction in carbon foot print. The Company has also taken several initiatives
labour labour to reduce and control other Greenhouse Gases (GHG) like NOx, SOx etc. The Company has special program for tree plantation in the
2 Sexual harassment Nil Not Applicable mined out areas, waste land and plant premises. The hyperlink for the same is [Link]
3 Discriminatory employment Nil Not Applicable 3. Does the company identify and assess potential environmental risks? Y/N
8. What percentage of your under mentioned employees were given safety & skill up-gradation training in the last year? Yes. The Company identifies and assesses potential environmental risks periodically across its plant operations and projects.
Safety and skill up-gradation training The Company has invested heavily to comply with all the new Environment norms. The Company has dedicated Sustainable
(a) Permanent Employees 49.62% Development Team to identify, assess, monitor and mitigate the environmental risk on regular basis.
(b) Permanent Women Employees 12.50% 4. Does the company have any project related to Clean Development Mechanism? If so, provide details thereof, in about 50
(c) Casual/Temporary/Contractual Employees 55.39% words or so. Also, if yes, whether any environmental compliance report is filed?
(d) Employees with Disabilities Nil Currently no projects related to Clean Development Mechanism (CDM) has been taken up by the Company. However, the Company
PRINCIPLE 4: BUSINESSES SHOULD RESPECT THE INTERESTS OF, AND BE RESPONSIVE TOWARDS ALL STAKEHOLDERS, ESPECIALLY has already completed CDM project on Waste Heat Recovery based power generation at Satna and Chanderia Units. It is continuously
THOSE WHO ARE DISADVANTAGED, VULNERABLE AND MARGINALIZED. endeavouring to identify opportunities to contribute in this regard.
1. Has the company mapped its internal and external stakeholders? Yes/No 5. Has the company undertaken any other initiatives on – clean technology, energy efficiency, renewable energy, etc. Y/N. If yes,
Yes. For Birla Corporation Limited, maintaining relationship with stakeholders is a business imperative. The business revolves around please give hyperlink for web page etc.
stakeholders, right from suppliers to customers, shareholders to communities, government to workforce and contractors.
Yes. The Company has taken various initiatives on clean technology, energy efficiency, renewable energy etc., to reduce its impact on
2. Out of the above, has the company identified the disadvantaged, vulnerable & marginalized stakeholders. the environment. The Company has taken several initiatives in process & technology to improve plant performance and energy
The company has mapped disadvantaged, vulnerable and marginalised stakeholders viz. communities in and around the areas of its efficiency. We have installed waste heat recovery system to generate power from waste heat of clinkerization process. The Company
significant operations, and is actively working towards their inclusive growth as part of Company’s CSR efforts. has already commissioned solar power system to promote green energy and reduce carbon emission. Installed solar power plant also
3. Are there any special initiatives taken by the company to engage with the disadvantaged, vulnerable and marginalized complies RPO obligation. In addition, we have installed system for feeding AFR (bio mass, plastic waste, co-processed industrial and
stakeholders. If so, provide details thereof, in about 50 words or so. chemical wastes hazardous & non-hazardous waste etc.). The Company has installed SNCR system for reduction of NOx. In the coming
The Company runs initiatives in the areas of Health Care including preventive health care and sanitation, providing safe drinking water, periods, it is proposed to increase alternate fuel consumption to reduce the dependence on fossil fuel. For further details please refer to
education, skill development leading to creation of alternative employment, Infrastructure development and ensuring environmental Annexure- ‘C’ to the Director’s Report covering inter-alia, details of Conservation of Energy.
sustainability through agro forestry, conservation of natural resources and maintaining quality of soil, air and water, all directed 6. Are the Emissions/Waste generated by the company within the permissible limits given by CPCB/SPCB for the financial year
towards helping neighbouring communities, including disadvantaged, vulnerable and marginalised stakeholders and being
being reported?
instrumental in cultivating their progress. To achieve the same, the Company has a well-established CSR policy which reflects the
objective of economic and social development to create a positive impact. Yes. The emissions/waste generated by the Company are within the permissible limits for the financial year 2019-2020.

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7. Number of show cause/ legal notices received from CPCB/SPCB which are pending (i.e. not resolved to satisfaction) as on end 3. Have you done any impact assessment of your initiative?
of Financial Year.
Our team / Field staffs regularly visit the farmer’s field and prepare the farm plots and from time to time senior officials go to said villages
There are no show cause / legal notices received from CPCB/SPCB which are pending as at end of the Financial Year 2019-2020. and take feedback from beneficiaries. We also conduct Community Assessment to identify the need of local community.
4. What is your company’s direct contribution to community development projects- Amount in INR and the details of the
PRINCIPLE 7: BUSINESSES, WHEN ENGAGED IN INFLUENCING PUBLIC AND REGULATORY POLICY, SHOULD DO SO IN A
projects undertaken.
RESPONSIBLE MANNER
During the financial year 2019-2020, the Company has spent ` 347.62 Lakhs as part of its CSR initiatives. Details of the projects are given
1. Is your company a member of any trade and chamber or association? If Yes, Name only those major ones that your business
in Annexure- ‘D’- Report on CSR Activities forming part of Director’s Report.
deals with:
5. Have you taken steps to ensure that this community development initiative is successfully adopted by the community? Please
The Company is a Member of the following trade / chamber associations:
explain in 50 words, or so.
(a) Indian Chamber of Commerce.
Yes. The Company has taken all possible steps to ensure that these programs are successfully adopted by the community. Primary and
(b) Cement Manufacturer’s Association. secondary data was procured through Participatory Rural Appraisal (PRA) method and focus group discussion. The Company arranges
2. Have you advocated/lobbied through above associations for the advancement or improvement of public good? Yes/No; if yes regular meetings of company officials with villagers to ensure their satisfaction. NGOs have created Self Help Group (SHG) and regularly
specify the broad areas ( drop box: Governance and Administration, Economic Reforms, Inclusive Development Policies, keep meeting them to explain benefits of the program. As a result of this, villager’s mind-set has changed. Women groups come
Energy security, Water, Food Security, Sustainable Business Principles, Others) forward to showcase their products in various local festivals in and around the Plant locations. With the support of NGOs, the Company
encourages women to embrace entrepreneurship. The Company has also implemented monthly reporting system which contains
The Company continuously advocates the use of eco-friendly mining practices, use of alternative fuels, increase in usage of fly-ash, progress and development report of all the ongoing programmes.
Installation of Waste Heat Recovery Plants in cement manufacturing units, energy conservation and construction of Concrete roads.
PRINCIPLE 9: BUSINESSES SHOULD ENGAGE WITH AND PROVIDE VALUE TO THEIR CUSTOMERS AND CONSUMERS IN A
PRINCIPLE 8: BUSINESSES SHOULD SUPPORT INCLUSIVE GROWTH AND EQUITABLE DEVELOPMENT RESPONSIBLE MANNER
1. Does the company have specified programmes/initiatives/projects in pursuit of the policy related to Principle 8? If yes details 1. What percentage of customer complaints/consumer cases are pending as on the end of financial year.
thereof.
The Company is steadfast to provide world class products and services to customers, backed by proficient, competent and qualified
The Company has a continuous CSR programme and plays a pro-active role in the socio economic growth and has contributed to all manpower to extend pre and post sales services. The Company empathises with concerns of all its stakeholders, influencers and
spheres ranging from Health, Water & Sanitation, Education, Women Empowerment, Livelihood & Environmental Sustainability, recommenders. We have a well-established formal system of receiving Customer complaints through Toll free number, e-mail,
Promotion of Sports, Cultural Initiatives, Rural Development Program and Village Adoption etc. The Company has consistent track telephone, website, social media and feedback forms. It is a robust mechanism to address appropriately and resolve any type of
record of supporting innumerable social initiatives, touching the lives of lakhs of people positively by supporting environmental and grievance. Few cases received were addressed and disposed off leaving “Zero” cases pending as on end of the financial year 2019-2020.
health care projects and social, cultural and educational programs. The Company:
2. Does the company display product information on the product label, over and above what is mandated as per local laws?
1) focuses on skill development of people for alternate employment opportunity generation, particularly women empowerment Yes/No/N.A. /Remarks(additional information)
including livelihood projects.
The Company displays and maintains high standards of communication and information dissemination to ensure full compliance
2) conducts Self Help Group training, meeting and development programme. with applicable regulations. The product quality is governed by the Bureau of Indian Standards (BIS). As per the BIS mandate,
3) provides training to farmers and their family members in the project for Vermi-compost manufacturing and Construction of the product information is clearly displayed on the bag. No other label is displayed over and above than the mandated ones. The test
Vermi-compost pit. report of cement supplied is available & produced on demand to the customers.

4) conducts regular farmers meeting and train them towards advanced agriculture techniques so that they can use their land more 3. Is there any case filed by any stakeholder against the company regarding unfair trade practices, irresponsible advertising
effectively and increase their income. and/or anti-competitive behaviour during the last five years and pending as on end of financial year. If so, provide details
thereof, in about 50 words or so.
5) provides assistance to villagers for making Tree based farming (WADI) for Sustainable Livelihood.
There are no cases in relation to unfair trade practices, irresponsible advertising and/or violation of any such laws during the financial
6) works for Livestock development in which we do AI (Artificial Insemination) with superior breed and provide livestock to villagers
year 2019-2020.
so that it increases their income by selling milk or selling goat or by way of poultry farming. We also provide mineral mixture to
New Born Calf. 4. Did your company carry out any consumer survey/ consumer satisfaction trends?
7) conducts Vocational skill training for Women empowerment such as Mushroom cultivation, Tank Fishery, manufacturing of bags, Yes. The Company carries out periodic customer satisfaction and consumer perception surveys from time to time based on commercial
florescent Jacket and Sanitary napkins. We also provide Computer & Beautician Course training. needs to fine tune its market offerings and products. The feedback of various programs for customers/ influencers education is also
taken. We have a practice of conducting Brand Equity Survey influencer, dealers & consumer to know our brand health in the market.
2. Are the programmes/projects undertaken through in-house team/own foundation/external NGO/government
The exercise enables the Company to take appropriate measures, often proactively, to increase customer satisfaction.
structures/any other organization?
Programme / Projects are undertaken through in house team as well as through external NGOs .

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1. COMPANY’S PHILOSOPHY ON CODE OF GOVERNANCE: Shri Harsh V. Lodha, Chairman of the Company is a Chartered Shri Brij Behari Tandon, a Member of the Indian Shri Dilip Ganesh Karnik, Arbitrator and Legal Consultant,
Accountant. He has served on the Board of several reputed Administrative Service (IAS), has served as Former Chief retired as a Judge of Bombay High Court in May 2012. He was
Company’s philosophy on Code of Governance is to achieve
companies and as Trustee and Managing Committee Member Election Commissioner of India and as a Member of the elevated as Additional Judge of the Court in October 2001. A
the highest levels of transparency, accountability in all its
of many social and philanthropic organizations. He is the Delimitation Commission. He was Secretary, Ministry of practicing advocate from 1972 to 2001, he was a Gold Medalist
interactions with its stakeholders including shareholders,
executive committee member of Indian Chamber of Personnel, as well as Secretary, Mines to the Government of in Law from the University of Pune. He is currently serving on
employees, lenders and the government. We believe that
Commerce where he has also served as Vice President. He has India. He served as Additional Secretary in the Department of the Board of the ICICI group of companies and M.P. Birla group
Corporate Governance is a voluntary and self discipline code
served as the member of the executive committee of FICCI and Company Affairs and Cabinet Secretariat. He was the convener of companies.
which means not only ensuring compliance with regulatory served as the co-chairman of its Young Leaders Forum. He has of the Working Group on Revision of the Companies Act, 1956.
requirements but also being responsive to our stakeholders served as the member of the Accounting Standards Board of In the State Government of Himachal Pradesh, he served as Directors’ induction, familiarisation and training:
needs. Focus of the Company has always been to ensure the Institute of Chartered Accountants of India.
continuing value creation for each of its stakeholders and Principal Secretary, Department of Industries and Power as
The Company acknowledges the importance of continuous
above all to achieve business excellence with the goal of long- Apart from handling audits of several large publicly quoted well as Chairman of the H.P. State Electricity Board.
education and training of the Directors to enable effective
term sustainable development. companies in India and other professional work, he has discharge of their responsibility.
Shri Dhruba Narayan Ghosh was the former Secretary to the
been involved in and handled several Advisory assignments
A Report on compliance with the principles of Corporate Govt. of India and a former Chairman of State Bank of India. He Directors are regularly briefed about the industry’s specific
in the fields of international takeovers and financing,
Governance as prescribed by the Securities and Exchange was the Founder Chairman of ICRA Ltd., the premier Rating issues to enable them to understand the business
domestic financing, project structuring, capital mobilisation,
Board of India (SEBI) in Chapter IV read with Schedule V of SEBI joint ventures/collaborations, mergers/reconstructions and Agency and former Chairman of Larsen & Toubro Ltd., Philips
environment in which the company operates. To enhance
(Listing Obligations and Disclosure Requirements) rehabilitation. (India) Ltd. and the Management Development Institute,
their skills and knowledge, the Directors are regularly updated
Regulations, 2015 (hereinafter referred to as “Listing Gurgaon and Founder Chairman of the Indian Institute of
Shri Pracheta Majumdar, was re-designated as Wholetime on the changes in the policies, laws and regulations,
Regulations”) is given below: Management, Lucknow.
Director & Chief Executive Officer of the Company w.e.f. 2nd developments in the business environment etc. The Board
2. BOARD OF DIRECTORS: August, 2019. He is a former Managing Director of CEAT Tyres Dr. Deepak Nayyar is an eminent economist and Emeritus members are provided necessary documents, reports and
Ltd., a Mechanical Engineer and a Management Advisor by Professor of Economics at Jawaharlal Nehru University. He has other presentations about the Company from time to time.
Board Composition: profession. He has worked in the fields of design and project also taught at the University of Oxford, University of Sussex,
Efforts are also made to familiarise the Directors about their
The Board of Directors of the Company comprises of an management of Chemicals, Petrochemical and Fertilizer IIM Calcutta and the New School of Social Research, New York.
roles, rights, responsibility in the Company, its business model
optimum combination of Executive and Non-Executive Plants. He has worked with Hindustan Unilever Limited for He was a Rhodes Scholar at Oxford and is Honorary Fellow,
and the environment in which the Company operates.
Directors with Independent Directors forming majority. about 12 years. Shri Majumdar has served in very Senior Balliol College, Oxford. He served as Chief Economic Advisor to
Management positions in diverse fields with large corporates the Government of India and Secretary, Ministry of Finance The details of such familiarisation programmes have
The strength of the Board of Directors as on 31st March, 2020,
and Multinational Companies. Shri Majumdar attended and was Vice Chancellor, University of Delhi. He has published been placed on the website of the Company under the
is 9 (Nine) including 1 (one) Independent Woman Director. Of
various international management courses organized by 16 books and more than 75 papers in academic journals. Dr. web link/url: [Link]
the 9 (Nine) Directors, 1 (One) is an Executive Director and 8
Unilever and Executive Development Programmes and Nayyar was an Independent Director on the Board of ICRA, [Link]
(Eight) are Non-Executive Directors out of which 6 (six) are
Advanced Management Programmes conducted by Stanford SAIL and ONGC. He is currently serving on the Board of The
Independent Directors. The composition of the Board is in
University and Harvard Business School. Press Trust of India Limited. Meetings, attendance and agenda of the Board Meetings:
conformity with Regulation 17 of the Listing Regulations read
with Section 149 of the Companies Act, 2013. Shri Vikram Swarup is the Managing Director of Paharpur During the financial year 2019-2020, 5 (Five) Meetings of the
Ms. Shailaja Chandra was a Member of the Indian
Cooling Towers Limited. He is a Mechanical Engineer and is an Board of Directors of the Company were held on 1st April,
None of the Directors of the Company are Members of more Administrative Service (IAS) and a civil servant for 38 years. She
acknowledged authority on thermal design of cooling towers 2019; 3rd May, 2019; 2nd August, 2019; 5th November, 2019
than 10 (Ten) Committees (i.e. Audit Committee and has distinguished herself in several assignments including
in India. He has vast experience in Marketing, Engineering and and 29th January, 2020. The maximum time gap between two
Stakeholders Relationship Committee) nor Chairman of more Secretary in the Ministry of Health and later as Delhi’s only
other General Management functions. He is the Vice Chairman consecutive board meetings was not more than one hundred
than 5 (Five) such Committees (as specified in Regulation 26 of woman Chief Secretary. Apart from 15 years with the Central
of Kalyan Bharti Trust which owns and operates The Heritage and twenty days.
the Listing Regulations). Government where she held assignments in the Ministries of
Group of Educational Institutions in Kolkata, Chairman of the
School Management Committee of The Heritage School and Defence, Power and Health she has experience of working
None of the Directors of the Company serves as an All the agenda items are backed by necessary supporting
Vice Chairman of the Board of Governors of the Heritage with different Governments in Maharashtra, Manipur, Goa,
Independent Director in more than 7 (Seven) listed information and documents to enable the Board to take
companies, nor any of the Whole-time Director serves as an Institute of Technology. He is also on the Executive Committee Delhi and the Andaman & Nicobar Islands.
informed decisions. The Chairman along with the Wholetime
Independent Director in more than 3 (Three) listed companies. of the Indo-Italian Chamber of Commerce & Industries. After retirement Ms. Chandra held a series of assignments Director & Chief Executive Officer and/or the Chief Financial
Shri Anand Bordia, Member of the Indian Revenue Service, carrying executive responsibility including as the Chairman of Officer, Executive Presidents of the Company makes
Directors’ Profile:
was First Secretary, Trade High Commission of India, London, the Public Grievances Commission and Appellate Authority presentation on the quarterly and annual financial
The Board of Directors is composed of highly renowned and worked in the Secretariat of the World Customs under the Delhi Right to Information Act and as the first performance and on annual operating and capex budget.
professionals drawn from diverse fields, who bring with them Organization, Brussels. He held various senior positions in the Executive Director of the National Population Stabilisation Presentations relating to major projects for which Board’s
a wide range of skill and experience to the Board, which Central Government. He was a Member of Finance at the Fund, Ministry of Health & Family Welfare, Government of approval are sought are also made. Post meetings, important
enhances the quality of the Board’s decision making process. National Highways Authority of India. He undertook India. She continues to be on the Boards and Management decisions taken by the Board are communicated to the
The brief profile of the Company’s Board of Directors is as consultancy projects for the Harvard Institute for International Committees of listed Indian companies and Apex level NGOs concerned officials and departments. The Board is also kept
under: Development, UNODC and Asian Development Bank. working for women’s and children’s welfare. updated about the developments on various functional areas.

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The composition and category of the Board of Directors, their Committee Memberships/Chairmanships in other Companies, List of core skills/expertise/ competencies identified by adheres to high standards of ethics, transparency and
relationship with other Directors, their attendance at the Board name of other listed companies in which the Director is a Director the Board of Directors as required in the context of its disclosure.
Meetings held during the financial year 2019-2020 as well as at the and number of shares held by them as on 31st March, 2020 are as business(es) and sector(s) for it to function effectively and
The brief profile of Directors forming part of this Report gives
last Annual General Meeting, number of Directorships and follows: those actually available with the Board:
an insight into the education, expertise, skills and experience
Name of the Director Category No. of Board Attendance No. of shares No. of other Details of other List of Directorship The Board comprises of persons of repute with strength of of the Directors, thus bringing in diversity to the Board’s
Meetings at last AGM held Directorship$ Board Committee / held in Other Listed perspectives.
character and professional eminence who bring a wide range
attended held on Membership# Companies and
13.08.2019 Category of Directorship of experience and expertise by providing leadership, strategic The Board of Directors have identified the following core skills/
Member Chairman guidance, an objective and independent view to the expertise/competencies fundamental for the effective
Company’s management while discharging its fiduciary functioning of the Company, which are currently available
Shri Harsh V. Lodha Non-Independent
(Chairman) Non- Executive 5 P 1260* 7 - - 1. Alfred Herbert (India) Ltd, (NED) responsibilities, thereby ensuring that the management with the Board:
2. Birla Cable Ltd., (NED)
Skills and its description Shri Harsh V. Shri Pracheta Shri Vikram Shri Anand Shri Brij Dr. Deepak Shri Dhruba Smt. Shailaja Shri Dilip
3. Universal Cables Ltd., (NED) Lodha Majumdar Swarup Bordia Behari Nayyar Narayan Chandra Ganesh
4. Vindhya Telelinks Ltd., (NED) Tandon Ghosh Karnik

Shri Pracheta Majumdar Executive 5 P 500* 1 1 - 1. Vindhya Telelinks Ltd., (NED) Understanding the business and 3 3 3 3 3 3 3 3 3
(Whole time Director & domain knowledge of Industry
Chief Executive Officer)** Strategic Planning and 3 3 3 3 3 3 3 3 -
Shri Vikram Swarup Independent 5 P 500* 6 1 - None Development
Non-Executive Financial expertise 3 3 3 3 3 3 3 3 -
Shri Anand Bordia Independent 5 A 500* 1 1 - 1. Roto Pumps Ltd., (ID) Risk Management 3 3 3 3 3 - 3 3 3
Non-Executive
Industrial Relationship 3 3 3 - - - - 3 -
Shri Brij Behari Tandon Independent 2 A 500* 4 4 - 1. Oriental Carbon & Chemicals Management including Labour
Non-Executive Ltd., (ID) and Environment, Health and
2. Filatex India Ltd., (ID) Safety

3. Duncan Engineering Ltd., (ID) Legal knowledge & expertise 3 3 3 - 3 3 - 3 3

Shri Dhruba Narayan Independent 4 A 500* 1 - - None Governance, Statutory and other 3 3 3 3 3 3 - 3 3
Ghosh Non-Executive Compliances

Dr. Deepak Nayyar Independent 4 A 500* 1 1 - None Project Management- Adopting 3 3 3 3 - - - - -

Non-Executive best practices

Ms. Shailaja Chandra Independent 4 A 500* 1 - - 1. Kerala Ayurveda Limited, (ID) General Administration 3 3 3 - 3 3 - 3 3
Non-Executive Human Resource Development 3 3 3 3 3 3 - 3 -
Shri Dilip Ganesh Karnik Non-Independent 4 A 500 5 3 - 1. ICICI Prudential Life Insurance Social sciences of health, - - - - - - - 3 -
Non-Executive Co. Ltd., (ID) Demographics and Education
2. Universal Cables Ltd., (NED) Economic Analysis and Evaluation - - - - 3 3 - 3 -
3. Vindhya Telelinks Ltd., (NED)
Shri Bachh Raj Nahar *** Non-Executive 3 A 500* 1 - - 1. Universal Cables Ltd., (NED) Independent Directors confirmation by the Board: Video Conferencing:
All Independent Directors have given declarations that The Companies Act, 2013 read with the relevant rules
P= Present, A= Absent, NED= Non-Independent Non-Executive Director, ID= Independent Non-Executive Director they meet the criteria of independence as laid down under made thereunder, facilitates the participation of a
* Shares held jointly with other shareholder. Section 149(6) of the Companies Act, 2013 and Regulation Director in Board/Committee Meetings through video
16(1)(b) of the Listing Regulations. Further, in terms of conferencing or other audio visual mode. Accordingly, the
$ Excludes Alternate Directorships, Directorships held in Private Limited Companies, Foreign Companies and Section 8 Companies.
Regulation 25(8) of the Listing Regulations, they have option to participate in the Meeting through video
# Only covers Membership/Chairmanship of Audit Committee and Stakeholders Relationship Committee of other Public Limited Companies. conferencing was made available for the Directors. During the
confirmed that they are not aware of any circumstances or
** Re-designated as Wholetime Director & Chief Executive Officer w.e.f. 2nd August, 2019. situation which exists or may be reasonably anticipated that year 2019-2020, Shri Dilip Ganesh Karnik attended the Board
could impair or impact their ability to discharge their duties Meeting held on 3rd May, 2019 through video conferencing
*** Ceased to be the Managing Director w.e.f. 3rd August, 2019 and Director w.e.f. 13th August, 2019.
with an objective independent judgement and without any from Pune.
None of the Directors are related to any other Director on the Board. external influence. In the opinion of the Board, the
Information Placed before Board of Directors:
The requisite quorum was present at all the Board and Committee Meetings. Independent Directors fulfill the criteria of independence
specified in Section 149(6) of the Companies Act, 2013 and The Company has complied with Part A of Schedule II of the
Regulation 16(1)(b) of the Listing Regulations. Listing Regulations read with Regulation 17(7) of the said

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Regulations with regard to information to be placed before b. Changes, if any, in accounting policies and practices 16. Reviewing the utilization of loans and/or advances The Chairman of the Audit Committee was present at the last
the Board of Directors. and reasons for the same, from/investment by the holding company in the Annual General Meeting of the Company held on 13th August,
Code of Conduct: subsidiary exceeding rupees 100 crore or 10% of the asset 2019.
c. Major accounting entries involving estimates based
size of the subsidiary, whichever is lower;
The Board of Directors has laid down a Code of Conduct for all on the exercise of judgment by management, 4. NOMINATION AND REMUNERATION COMMITTEE:
Board members and all employees in management grade of 17. Review compliance with the provisions of SEBI
d. Significant adjustments made in the financial (Prohibition of Insider Trading) Regulations, 2015 as 4.1 The Nomination and Remuneration Committee acts in
the Company. The Code of Conduct is posted on the website of accordance with the prescribed provisions of Section 178 of
statements arising out of audit findings, amended from time to time, at least once in a financial
the Company. the Companies Act, 2013 and the Listing Regulations.
e. Compliance with listing and other legal requirements year;
All Board members and senior management personnel have
relating to financial statements, 18. To perform such other functions as may be delegated by The terms of reference of the Committee are as follows:
affirmed their adherence to the provisions of the said Code of
Conduct during the year 2019-2020. f. Disclosure of any related party transactions, the Board and/or mandated by any regulatory provisions i) formulate the criteria for determining qualifications,
from time to time. positive attributes and independence of a director and
A declaration to this effect signed by the Wholetime Director & g. Modified opinion(s) in the draft audit report;
Chief Executive Officer in terms of the Listing Regulations is 3.3 During the financial year 2019-2020, 4 (Four) meetings of the recommend to the Board a policy, relating to the
attached and forms part of the Annual Report of the Company. 5. Reviewing, with the management, the quarterly financial Audit Committee of the Company were held on 2nd May, remuneration for the directors, key management
statements before submission to the board for approval; 2019, 1st August, 2019, 4th November, 2019 and 28th January, personnel and other employees;
Code of Conduct of Independent Directors:
2020. The maximum time gap between any two consecutive ii) formulation of criteria for evaluation of performance of
As per the provisions of Section 149(8) of the Companies Act, 6. Review and monitor the auditor’s independence and
meetings was not more than one hundred and twenty days. Independent Directors and the Board;
2013, the Company and Independent Directors shall abide by performance, and effectiveness of audit process;
The composition of the Committee and the attendance of
the provisions specified in Schedule IV of the Companies Act, 7. Approval or any subsequent modification of transactions members of the Committee during the year 2019-2020 is as iii) devising a policy on Board’s diversity;
2013. Further, Schedule IV lays down a Code for Independent of the company with related parties; under:
Directors of the Company. Pursuant to the said provisions of iv) identifying persons who are qualified to become
the Companies Act, 2013, the Company has formulated a Code Provided that the Committee may grant omnibus No. of directors and who may be appointed in senior
for Independent Directors of the Company and the same has approval for Related Party Transactions proposed to be Name of the Member Category meetings management in accordance with the criteria laid down,
attended recommend to the Board their appointment and removal
also been placed on the website of the Company. entered into by the Company subject to the conditions
prescribed under the Act and the Listing Regulations. Shri Vikram Swarup Independent Non-Executive Director 4 and carry out evaluation of every director’s performance;
3. AUDIT COMMITTEE: (Chairman)
8. Scrutiny of inter-corporate loans and investments; v) whether to extend or continue the term of appointment
3.1 The Company has a qualified and independent Audit Shri Anand Bordia Independent Non-Executive Director 4
of the independent director, on the basis of the report of
Committee in place. The role and terms of reference of the Shri Brij Behari Tandon Independent Non-Executive Director 1
9. Evaluation of internal financial controls and risk performance evaluation of independent directors;
Committee are in conformity with the provisions of Section Dr. Deepak Nayyar Independent Non-Executive Director 4
management systems;
177 of the Companies Act, 2013 and Regulation 18 of the vi) recommendations to board on all the payments made, in
Listing Regulations. The Committee acts as a link between the 10. Reviewing, with the management, performance of As on 31st March, 2020 all the Members of the Audit Committee whatsoever form, to the senior management;
statutory and internal auditors and the Board of Directors. statutory and internal auditors, adequacy of the internal are Non-Executive Directors and all of them, including the
Chairman are Independent Directors. As per the requirements vii) assess the list who shall make disclosures to the board of
3.2 The terms of reference of the Audit Committee inter alia control systems;
of Regulation 18 of the Listing Regulations and Section 177 of directors relating to all material, financial and commercial
includes the following: 11. Reviewing the findings of any internal investigations by transactions, where they have personal interest that may
the Companies Act, 2013, all Members of the Audit Committee
1. Oversight of the company’s financial reporting process the internal auditors into matters where there is including the Chairman are financially literate and have have a potential conflict with the interest of the listed
and the disclosure of its financial information to ensure suspected fraud or irregularity or a failure of internal expertise in accounting or related financial management. entity at large.
that the financial statement is correct, sufficient and control systems of a material nature and reporting the
The Wholetime Director & Chief Executive Officer, Chief 4.2 During the year 2019-2020, 2 (Two) meetings of the Nomination
credible; matter to the board;
Financial Officer, Executive Presidents, President, Head of and Remuneration Committee of the Company were held on
2. Recommendation for appointment, remuneration and 12. Discussion with statutory auditors before the audit Management Audit Department and representatives of the 2nd May, 2019 and 2nd August, 2019. The composition of the
terms of appointment of auditors of the company; commences, about the nature and scope of audit as well Statutory Auditors are invitees to the Audit Committee Committee and the attendance of members of the Committee
3. Approval of payment to statutory auditors for any other as post-audit discussion to ascertain any area of concern; Meetings. Internal Auditors are also invited for discussion with during the year 2019-2020 is as under:
services rendered by the statutory auditors; the Audit Committee members. The Cost Auditors appointed
13. To review the functioning of the Whistle Blower/Vigil Name of the Member Category No. of
4. Reviewing, with the management, the annual financial by the Company under Section 148 of the Companies Act, meetings
mechanism;
statements and auditor’s report thereon before 2013 attend the Audit Committee Meeting, where cost audit attended

submission to the board for approval, with particular 14. To review the system for storage, retrieval, display or reports are discussed. Shri Vikram Swarup Independent Non-Executive Director 2
printout of the electronic records, if the Books of Accounts (Chairman)
reference to: The Company Secretary acts as the Secretary to the
are kept in electronic mode; Committee. Shri Harsh V. Lodha Non-Independent Non-Executive Director 2
a. Matters required to be included in the Director’s
15. To review the Financial Statements in particular the Shri Anand Bordia Independent Non-Executive Director 2
Responsibility Statement to be included in the All recommendations made by the Audit Committee were
Board’s Report in terms of clause (c) of sub-section 3 investments made by the Unlisted Subsidiary of the accepted by the Board of Directors of the Company during the Shri Brij Behari Tandon Independent Non-Executive Director 1

of section 134 of the Companies Act, 2013, Company; financial year 2019-2020. Dr. Deepak Nayyar Independent Non-Executive Director 2

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As on 31st March, 2020, the Nomination and Remuneration (c) Non-Executive Directors: b. Review of measures taken for effective exercise of voting 6.2 During the year 2019-2020, no meeting of the Committee of
Committee consisted of five directors, all of whom are Non- (In `) rights by the shareholders. Directors of the Company was held. The composition of the
Executive Directors. All recommendations made by the Committee is as under:
Name Commission* Sitting Fees
Nomination and Remuneration Committee were accepted by c. Review of adherence to the service standards adopted in
(Relating to 2019-2020)
the Board of Directors of the Company during the financial respect of various services being rendered by the Name of the Member Category
Shri Harsh V. Lodha 1 700000 Registrar & Share Transfer Agent.
year 2019-2020. Shri Harsh V. Lodha Non-Independent Non-Executive Director
Shri Vikram Swarup 1 1250000
The Chairman of the Nomination and Remuneration d. Review of the various measures and initiatives for Shri Pracheta Majumdar Executive Director
Committee was present at the last Annual General Meeting of Shri Anand Bordia 1 1100000 reducing the quantum of unclaimed dividends and
the Company held on 13th August, 2019. Shri Vikram Swarup Independent Non-Executive Director
Shri Brij Behari Tandon 1 375000 ensuring timely receipt of dividend warrants, Annual
4.3 Nomination and Remuneration Policy: Shri Dhruba Narayan Ghosh 1 550000 Reports and statutory Notices etc. Shri Bachh Raj Nahar* Executive Director

Pursuant to the provisions of Section 178 of the Companies Dr. Deepak Nayyar 1 1000000 5.3 During the year 2019-2020, 4 (Four) meetings of the * Ceased to be a Director w.e.f. 13th August, 2019.
Act, 2013 and the Listing Regulations, the Board of Directors of Ms. Shailaja Chandra 1 550000 Stakeholders Relationship Committee of the Company were
the Company, based on the recommendation of the held on 3rd May, 2019, 2nd August, 2019, 5th November, 2019 7. CORPORATE SOCIAL RESPONSIBILITY (CSR) COMMITTEE:
Shri Dilip Ganesh Karnik 1 450000
Nomination and Remuneration Committee, has formulated a and 29th January, 2020. The composition of the Committee
7.1 The Corporate Social Responsibility (CSR) Committee has been
Nomination and Remuneration Policy for Directors and Senior * In view of extraordinary circumstances, adverse and uncertain business and the attendance of members of the Committee during the
environment prevailing in the country due to COVID-19 pandemic, the constituted by the Board of Directors of the Company as per
Management, the details of which forms part of the Directors’ year 2019-2020 is as under:
Report. Non-Executive Directors were paid a token amount of ` 1/- each as the provisions of Section 135 of the Companies Act, 2013 read
commission for the financial year 2019-2020. Name of the Member Category No. of with Corporate Social Responsibility (CSR) Rules, 2014.
4.4 Performance Evaluation criteria: meetings
No remuneration other than the sitting fees for attending attended 7.2 The terms of reference of the Corporate Social Responsibility
The Nomination and Remuneration Committee of the Board Board and Committee Meetings and Commission thereof was Committee of the Company are as under:
approved the criteria for determining qualifications, positive Shri Harsh V. Lodha Non-Independent Non-Executive Director 4
paid to the Non-Executive Directors. There is no other
(Chairman)
attributes and independence of Directors in terms of the pecuniary relationship or transactions with the Non-Executive (a) to formulate and recommend to the Board, a Corporate
Companies Act, 2013 and the Rules made thereunder and Directors vis-à-vis the Company. Shri Pracheta Majumdar Executive Director 4 Social Responsibility Policy which shall indicate the
Listing Regulations, both in respect of Independent Directors Shri Vikram Swarup Independent Non-Executive Director 4 activities to be undertaken by the company as specified
and other Directors as applicable. The details in this regard are The Company has no stock option plans and hence such in Schedule VII of the Companies Act, 2013;
instruments do not form a part of the remuneration package Shri Bachh Raj Nahar* Executive Director 2
covered in the Directors’ Report.
payable to any Executive and/or Non-Executive Director. (b) to recommend the amount of expenditure to be incurred
4.5 Details of remuneration paid to the Executive / Non- * Ceased to be a Director w.e.f. 13th August, 2019.
on the activities referred to in clause (a) in a Financial Year;
Executive Directors during the financial year ended 5. STAKEHOLDERS RELATIONSHIP COMMITTEE: 5.4 In addition, the Stakeholders Relationship Committee
31st March, 2020: (c) to monitor the Corporate Social Responsibility Policy of
5.1 Stakeholders Relationship Committee acts in accordance with approved 16 Resolutions by Circulation for effecting
the company from time to time; and
(a) Shri Bachh Raj Nahar, Managing Director*: the prescribed provisions of Section 178 of the Companies Act, registration of transmission of shares and other issues
(` in Lakhs) 2013 and the Listing Regulations and inter alia approves concerning investor services during the year. (d) any other matter/thing as may be considered expedient
Name Salary Perquisites Sitting Performance Total amount Period of transfer and transmission of shares, issue of duplicate share by the members in furtherance of and to comply with the
and Fees Linked Bonus paid in Service The Company has received 7 (Seven) complaints from the
Allowances** 2019-2020 Contract
certificates/re-materialization of shares, consolidation and CSR Policy of the Company.
shareholders during the year 2019-2020 and the same has
Shri Bachh 51.47 316.94 - 20.40 388.82 5 Years
sub-division of share certificates.
been processed in time and replied/resolved to the 7.3 During the year 2019-2020, 2 (Two) meetings of the CSR
Raj Nahar w.e.f.
03.08.2014 5.2 Stakeholders Relationship Committee has been empowered satisfaction of the shareholders. Committee were held on 3rd May, 2019 and 5th November,
* Ceased to be the Managing Director w.e.f. 3rd August, 2019 and Director w.e.f.
to deal with and dispose of the instruments of transfer of 2019. The composition of the Committee and the attendance
13th August, 2019. shares in the Company including the power to reject transfer As on 31st March, 2020, no grievances of the Shareholders
of members of the Committee during the year 2019-2020 is as
** Including Retirement benefits. of shares in terms of the provisions of the Companies Act, remained unaddressed/ pending.
under:
(b) Shri Pracheta Majumdar, Wholetime Director & Chief 2013, Securities Contract (Regulations) Act, Listing
Shri Girish Sharma, Company Secretary is the Compliance Name of the Member Category No. of
Regulations and the Company’s Articles of Association and
Executive Officer*: Officer of the Company. meetings
(` in Lakhs) take necessary actions for all of the matters effecting the
attended
interest of the shareholders such as:-
Name Salary Perquisites Sitting Performance Total amount Period of 6. COMMITTEE OF DIRECTORS: Shri Harsh V. Lodha Non-Independent Non-Executive Director 2
and Fees Linked Bonus paid/ payable Service
a. Resolving the grievances of the security holders including (Chairman)
Allowances in 2019-2020 Contract
complaints related to transfer/transmission of shares, 6.1 The Committee of Directors has been constituted by the Board Shri Vikram Swarup Independent Non-Executive Director 2
Shri Pracheta 124.25 0.86 - - 125.11 3 Years
Majumdar w.e.f. non-receipt of annual reports, non-receipt of declared of Directors of the Company with necessary powers delegated
Shri Brij Behari Tandon Independent Non-Executive Director 1
20.05.2018 dividends, issue of new/duplicate certificates, general to it with a view to conduct the affairs of the Company
* Re-designated as Wholetime Director & Chief Executive Officer w.e.f. 2nd August, 2019. meetings, etc. smoothly. Shri Dhruba Narayan Ghosh Independent Non-Executive Director 2

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8. RISK MANAGEMENT COMMITTEE: 9.3 Evaluation of the quality, content and timelines of flow of 11. GENERAL BODY MEETINGS: The Postal Ballot was conducted in accordance with the
information between the Management and the Board that is provisions of Listing Regulations and the Companies Act,
8.1 Pursuant to the provisions of Regulation 21 of the Listing 11.1 The details of Annual General Meetings held during the last
necessary for the Board to effectively and reasonably perform 2013. The Company had provided e-voting facility through
Regulations the Risk Management Committee has been three years are as under:
its duties. National Securities Depository Limited, to enable the
constituted by the Board of Directors of the Company w.e.f. 1st AGM Financial Venue Date Time shareholders to cast their votes electronically.
April, 2019. The attendance of Directors at the meeting held during the Year
Risk Management Committee acts in accordance with the year 2019-2020 is as under: 99th 2018-19 Kalpataru Uttam Mancha 13.08.2019 10.30 A.M The Board had appointed Shri Anil Murarka (Membership
provisions of Section 134 of the Companies Act, 2013 read 10/1/1, Monohar Pukur Road, No. F3150, C.P No. 1857), LL.B., Company Secretary in Whole-
Name of the Director No. of meetings Attended
with the provisions of the Listing Regulations, 2015 and the Kolkata - 700 026 time Practice as the Scrutinizer to conduct the Postal Ballot &
Shri Dhruba Narayan Ghosh * 1 98th 2017-18 Kalpataru Uttam Mancha 20.07.2018 10.30 A.M. E-voting process in a fair and transparent manner.
roles and responsibilities of the Risk Management Committee
shall include the following: Shri Vikram Swarup 1 10/1/1, Monohar Pukur Road,
Kolkata - 700 026 Details of Voting Pattern
i. To develop the Risk Management Policy of the Company; Shri Anand Bordia 1 97th 2016-17 Kalpataru Uttam Mancha 31.07.2017 10.30 A.M. Date of Votes in favour of Votes against
10/1/1, Monohar Pukur Road, passing of Purpose the Resolution the Resolution
ii. To monitor and review the Risk Management Policy of the Shri Brij Behari Tandon -
Resolution Number % Number %
Kolkata - 700 026
Company as may be approved by the Board; Dr. Deepak Nayyar 1 11.06.2019 Continuation of Directorship of 60736476 99.9965 2136 0.0035
11.2 The details of the Special Resolutions passed in the last three Ms. Shailaja Chandra
iii. To review the Cyber Security systems of the Company; Ms. Shailaja Chandra 1 (DIN: 03320688) as a
Annual General Meetings are as follows:
Non-Executive Independent
iv. To perform such other functions as may be delegated by * Shri Dhruba Narayan Ghosh was unanimously elected as the Chairman of Director
AGM Financial Details of Special Resolution passed
the Board and/or mandated by any regulatory provisions the Meeting.
Year
from time to time. At present there is no proposal for passing any Special
The Independent Directors expressed satisfaction on the 99th 2018-19 1. Re-appointment of Ms. Shailaja Chandra (DIN:
Resolution through Postal Ballot.
8.2 During the year 2019-2020, 1 (One) meeting of the Risk performance of Non-Independent Directors, the Board as a 03320688) as an Independent Director for a second
Management Committee was held on 28th January, 2020. The term of 5 (Five) consecutive years w.e.f. 5th February,
whole and the Chairman of the Company. The Independent 2020. 12. DISCLOSURES:
composition of the Committee and the attendance of Directors were also satisfied with the quality, quantity and
2. Payment of Commission to Shri Harsh V. Lodha (DIN: i) Disclosure on materially significant related party
members of the Committee during the year 2019-2020 is as timeliness of flow of information between the Company, 00394094), Non-Executive Chairman of the Company
under: Management and the Board. for the financial year 2019-20.
transactions:
Name of the Member Category No. of 98th 2017-18 1. Re-appointment of Shri Pracheta Majumdar (DIN: All transactions entered into with Related Parties as defined
meetings 10. SUBSIDIARY COMPANIES: 00179118) as Whole-time Director designated as the
attended
under the Companies Act, 2013 and the Listing Regulations
Chief Management Advisor for a period of 3 years
In terms of Regulation 24(1) of the Listing Regulations the during the financial year 2019-2020 were in the ordinary
Shri Brij Behari Tandon w.e.f. 20th May, 2018.
Independent Non-Executive Director - Company has a material unlisted Subsidiary namely RCCPL
(Chairman) 2. Re-appointment of Shri Vikram Swarup (DIN:
course of business and on an arms length basis and do not
Ms. Shailaja Chandra Independent Non-Executive Director 1 Private Limited (formerly known as Reliance Cement Company 00163543) as an Independent Director for a second attract the provisions of Section 188 of the Companies Act,
Shri Dilip Ganesh Karnik Non-Executive Director 1 Private Limited). The requirements relating to composition of term of 5 (Five) consecutive years w.e.f. 1st April, 2019. 2013. There were no materially significant transactions with
Shri Sandip Ranjan Ghose, Member 1 Board of Directors of unlisted material subsidiary has been 3. Re-appointment of Shri Anand Bordia (DIN: 00679165) related parties during the financial year 2019-2020 which were
Chief Operating Officer complied with. as an Independent Director for a second term of 5 in conflict with the interest of the Company.
Shri Aditya Saraogi, Member 1 (Five) consecutive years w.e.f. 1st April, 2019.
Chief Financial Officer The Company monitors performance of the subsidiary Suitable disclosure as required by the Indian Accounting
4. Re-appointment of Shri Brij Behari Tandon (DIN:
companies, inter alia, by the following means: 00740511) as an Independent Director for a second Standard (IND-AS 24) has been made in the Note No. 58 of the
9. INDEPENDENT DIRECTORS’ MEETING: term of 5 (Five) consecutive years w.e.f. 1st April, 2019.
a) Financial statements, in particular the investments made Financial Statements.
Section 149(8) read with Schedule IV of the Companies Act, by the unlisted subsidiary companies are reviewed 5. Re-appointment of Shri Dhruba Narayan Ghosh (DIN:
00012608) as an Independent Director for a second The Policy on Related Party Transaction can be accessed at the
2013 and the Rules thereunder and Regulation 25(3) of the quarterly by the Audit Committee of the Company.
Listing Regulations mandate that the Independent Directors
term of 5 (Five) consecutive years w.e.f. 1st April, 2019. link [Link]
of the Company shall hold at least one meeting in a year, b) Minutes of the Meetings of the Board of Directors of all 6. Re-appointment of Dr. Deepak Nayyar (DIN: [Link]
subsidiary companies are placed before the Company’s 00348529) as an Independent Director for a second
without the attendance of Non-Independent Directors and term of 5 (Five) consecutive years w.e.f. 1st April, 2019. ii) Disclosure on Accounting Treatment :
members of the Management. Board regularly.
97th 2016-17 None
In the preparation of the financial statements, the Company
During the year under review, 1 (One) meeting of the c) A statement containing all the significant transactions
11.3 During the Financial Year 2019-2020, the Company sought the has followed and adopted all relevant Accounting Standards
Independent Directors of the Company was held on 29th and arrangements entered into by the unlisted subsidiary
approval of the shareholders by way of a Special Resolution notified by the Companies (Indian Accounting Standards)
January, 2020, inter alia, to discuss: companies are placed before the Company’s Board/Audit
through Postal Ballot dated 3rd May, 2019 for continuation of Rules, 2015 (IND AS) prescribed under section 133 of the
9.1 Evaluation of the performance of Non-Independent Directors Committee.
Directorship of Ms. Shailaja Chandra (DIN: 03320688) on Companies Act, 2013 and other recognized accounting
and the Board of Directors as a whole. d) Reviewing the utilization of loans and/or advances attaining the age 75 (seventy five) years on 16th June, 2019, as policies and practices. The significant accounting policies
9.2 Evaluation of the performance of the Chairman of the from/investment by the holding company in the a Non-Executive Independent Director till the expiration of her which are consistently applied and followed by the Company
Company, taking into account the views of the Executive and subsidiary exceeding rupees 100 crore or 10% of the asset existing term i.e. upto 4th February, 2020, the results of which to the extent applicable have been set out in the Notes to the
Non-Executive Directors. size of the subsidiary, whichever is lower. were announced on 11th June, 2019. Financial Statements.

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iii) Details of non-compliance by the Company, penalties, ii) Modified Opinion in Auditors Report: The Company’s xii) Disclosures in relation to the Sexual Harassment of Pursuant to the above, the Company has put in place
strictures imposed on the Company by the Stock financial statements for the year 2019-2020 do not Women at Workplace (Prevention, Prohibition and adequate and effective system of internal controls to ensure
Exchanges, SEBI or any Statutory Authority on any matter contain any modified audit opinion. Redressal) Act, 2013: compliance with the requirements of the Prohibition of Insider
related to Capital Markets : Trading Regulations.
iii) Separate posts of Chairman and CEO: The Chairman of The Company has adopted zero tolerance for sexual
The Company has complied with all the requirements of the the Board is a Non-Executive Director and his position is harassment at workplace and has formulated a policy on The Board has framed a policy for determination of Legitimate
Listing Regulations as well as regulations and guidelines of separate from that of the Managing Director and CEO. prevention, prohibition and redressal of sexual harassment at Purposes as a part of Code of Practices and Procedures for Fair
SEBI. There has been no non-compliance by the Company on iv) Reporting of Internal Auditors: The Internal Auditors workplace in line with the provisions of the Sexual Harassment Disclosure of Unpublished Price Sensitive Information as per
any matter related to Capital Markets during the last three reports to the Audit Committee and he participates in the of Women at Workplace (Prevention, Prohibition and the requirements of the Prohibition of Insider Trading
years. No penalties or strictures have been imposed on the meetings of the Audit Committee and presents his Redressal) Act, 2013 and the rules framed thereunder for Regulations.
Company by SEBI, Stock Exchanges or any statutory authority internal audit observations to the Audit Committee. prevention and redressal of complaints of sexual harassment
during last three years except for the nominal fine of `8260/- at workplace. The Code expressly lays down the guidelines and the
(including GST), in terms of circular no. SEBI/HO/CFD/CMD/ vii) Policy for determining ‘Material’ Subsidiaries: procedures to be followed and disclosures to be made, while
The disclosures in relation to the Sexual Harassment of dealing with the Shares of the Company.
CIR/P/2018/77 dated 7th May, 2018 with respect to The Company’s Policy on “Material Subsidiary” is placed on the Women at Workplace (Prevention, Prohibition and Redressal)
submission of Statement of Investors Complaints for the Company’s website and can be accessed through link: Act, 2013 are as follows: The Company follows closure of trading window from the end
quarter ended June, 2019 on account of some technical
[Link] of every quarter till 48 hours after the declaration of financial
reasons. The Company had contested the levy of fine and had a) Number of complaints filed during the financial year
[Link] results. The Company has been advising the Designated
deposited the amount under protest. 2019-2020 – None.
Persons covered by the Code not to trade in Company’s
viii) Details of utilization of funds raised through preferential
iv) Risk Management : b) Number of complaints disposed of during the financial securities during the closure of trading window period.
allotment or qualified institutions placement as specified
year - Not Applicable.
The Company has laid a comprehensive Risk Management under Regulation 32 (7A) : The Board of Directors and the Designated Persons have
Policy which is reviewed by the Risk Management Committee c) Number of complaints pending as on end of the financial affirmed their adherence to the provisions of the said Code.
The Company did not raise any funds through preferential
and the Audit Committee and approved by the Board from year - Not Applicable.
allotment or qualified institutions placement during the year As required under Regulation 9A of the Prohibition of Insider
time to time. These procedures are reviewed and updated to
under review. xiii) There have been no instances of non-compliance of any Trading Regulations (as amended), the Audit Committee and
ensure that executive management controls risk through
ix) A certificate from a Company Secretary in practice that requirement of Corporate Governance Report as mentioned in Board of the Company has reviewed the Compliances with the
means of a properly defined framework and the risks are
sub-paras (2) to (10) of para C of Schedule V to the Listing provisions of these regulations and has also verified the
properly dealt with and mitigated. none of the directors on the board of the company have
Regulations. internal control systems in this respect and the same are
been debarred or disqualified from being appointed or
v) Vigil Mechanism/Whistle Blower Policy: adequate and operating effectively.
continuing as directors of companies by the Board/ xiv) The Company has duly complied with the applicable
In compliance with the provisions of Section 177(9) of the Ministry of Corporate Affairs or any such statutory requirement specified in Regulation 17 to 27 and clauses (b) to 14. CEO & CFO CERTIFICATION:
Companies Act, 2013 and Regulation 22 of the Listing authority : (i) of sub-regulation (2) of Regulation 46 of the Listing
Regulations, the Company has framed a Vigil Mechanism/ Regulations. The Wholetime Director & Chief Executive Officer and Chief
The Certificate received from M/s. Mamta Binani & Associates,
Whistle Blower Policy and the same has also been placed Financial Officer of the Company have issued a certificate
Company Secretary in practice, certifying that none of the 13. PREVENTION OF INSIDER TRADING:
on the website of the Company. None of the employees pursuant to the provisions of Regulation 17(8) of the Listing
Directors of the Company have been debarred or disqualified
of the Company has been denied access to the Audit As per SEBI (Prohibition of Insider Trading) Regulations, 2015 Regulations certifying that the financial statements do not
from being appointed or continuing as Director of Company, is
Committee. (‘Prohibition of Insider Trading Regulations’), the Company contain any materially untrue statement and these statements
attached and forms part of the Report.
has formulated and adopted the revised Internal Code of represent a true and fair view of the Company’s affairs. The
vi) Details of compliance with mandatory requirements and x) Where the board had not accepted any recommendation Conduct to Regulate, Monitor and Report Trading by Insiders said Certificate is attached and forms part of the Annual
adoption of non-mandatory requirements: of any committee of the board which is mandatorily and Code of Practices and Procedures for Fair Disclosures of Report.
The Company has complied with all the applicable mandatory required, in the relevant financial year : Unpublished Price Sensitive Information (‘Code’) in the
requirements of Regulation 34(3) read with Schedule V of the financial year 2019-2020. The Wholetime Director & Chief Executive Officer and Chief
All the recommendations of the various Committees were
Listing Regulations. Financial Officer also give quarterly certification on financial
accepted by the Board. The said Code was amended and approved by the Board of results to the Board in terms of Regulation 33(2) of the Listing
The following non-mandatory requirements under Part E of xi) Total fees for all services paid by the listed entity and its Directors at its meeting held on 1st April, 2019. Regulations.
Schedule II of the Listing Regulations to the extent they have subsidiaries, on a consolidated basis, to the statutory The said Code is applicable to all Designated Persons, their 15. COMPLIANCE CERTIFICATE OF THE AUDITORS:
been adopted are mentioned below: auditor and all entities in the network firm/network entity immediate relatives, and subsidiaries of the Company, inter
i) Shareholders’ Rights: The quarterly and half yearly of which the statutory auditor is a part: alia, prohibits trading in securities of the Company while in Certificate from the Company’s Statutory Auditors M/s. V.
financial performance along with significant events are The Company has paid a total sum of `0.93 Crores, on a possession of unpublished price sensitive information in Sankar Aiyar & Co., Chartered Accountants, confirming
published in the newspapers and are also posted on the consolidated basis, to M/s. V. Sankar Aiyar & Co., Statutory relation to the Company. The Code is also placed on the compliance with conditions of Corporate Governance as
Company’s website and the same are not being sent to Auditors of the Company for all the services provided to the Company’s website and can be accessed through link: stipulated under the Listing Regulations is attached and forms
the shareholders. Company and its subsidiaries. [Link] part of the Annual Report.

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REPORT ON CORPORATE GOVERNANCE (Contd.) REPORT ON CORPORATE GOVERNANCE (Contd.)

16. MEANS OF COMMUNICATION: Physical warrants shall be dispatched to the shareholders, who 17.10 Market Price Data during financial year 2019-2020: 17.13 Share Transfer System:
have not registered their ECS mandates, upon normalisation
The quarterly, half-yearly and the annual financial results of Month BSE (in `) NSE (in `) Share transfers in physical form are generally registered
of postal services.
the Company are published in leading newspapers in English High Low High Low within 15 days from the date of receipt provided that the
and vernacular newspapers. The results are also displayed on 17.6 Listing of Shares and Debentures: documents are found to be in order. Stakeholders
April, 2019 539.00 491.05 541.00 491.10
the Company’s website [Link]. The Relationship Committee considers and approves the transfer
A. Ordinary Shares May, 2019 682.95 499.00 684.00 496.15 proposals.
Company issues Press Releases on the quarterly, half-yearly
and the annual financial results which are also displayed on June, 2019 676.20 537.05 678.80 560.05
The Ordinary shares are at present listed at the following All requests for dematerialisation of shares, which are found
the Company’s website. As per the requirements of the Listing Stock Exchanges. July, 2019 655.60 528.10 655.10 525.00 to be in order, are generally processed within 15 days and the
Regulations, the financial results, Statutory Notices and Press August, 2019 605.00 516.55 609.95 515.00 confirmation is given to the respective depositories i.e.,
Releases are furnished to the Stock Exchanges where the Name of the Stock Exchanges Stock Code/Symbol
September, 2019 640.90 523.00 642.00 522.95 National Securities Depository Limited (NSDL) and Central
securities of the Company are listed. The Management 1. National Stock Exchange of India Ltd. (NSE) BIRLACORPN – EQ Depository Services (India) Limited (CDSL).
Discussion and Analysis, forms part of the Directors’ Report October, 2019 599.05 511.00 599.90 510.05
Exchange Plaza, C - 1, Block - G,
and is covered in the Annual Report. November, 2019 669.80 570.95 669.90 568.80 As per SEBI Notification No. SEBI/LAD-NRO/GN/2018/24
Bandra-Kurla Complex, Bandra (East),
dated June 8, 2018 and further amendment vide Notification
Mumbai- 400 051. December, 2019 677.10 573.45 678.00 574.50
SEBI Complaints Redressal System (SCORES): The investors No. SEBI/LAD-NRO/GN/2018/49 dated November 30, 2018,
2. BSE Ltd.(BSE) 500335 January, 2020 804.60 600.20 804.95 597.20 requests for effecting transfer of securities (except in case of
complaints are also being processed through the centralized
web based to complaint redressal system. The salient features Phiroze Jeejeebhoy Towers, Dalal Street, February, 2020 807.60 671.00 807.00 685.00 transmission or transposition of securities) shall not be
Fort, Mumbai-400 001. processed from 1st April, 2019 unless the securities are held in
of SCORES are availability of centralized data base of the March, 2020 736.10 391.55 736.20 389.95
complaints, uploading online action taken reports by the the dematerialised form with the depositories. Therefore, for
B. Debentures 17.11 Stock Performance in comparison to broad-based
Company. Through the SCORES website, the investors can effecting any transfer, the securities shall mandatorily be
indices: required to be in demat form. Hence, Members holding
view online, the action taken and the current status of the The Privately placed Secured Redeemable Non-Convertible
complaints. Debentures are listed on the Wholesale Debt Market shares in physical form are requested to dematerialize their
16000 850
Segment of BSE Limited. 15500
holdings immediately.
800
17. GENERAL SHAREHOLDERS’ INFORMATION: 15000

BCL - Share Price in BSE

14500 750 17.14 Outstanding GDRs/ADRs/warrants or any convertible
17.1 Annual General Meeting C. Debenture Trustees 14000 700 instruments, conversion date and likely impact on

BSE-500
13500 650
Date and Time : 25th August, 2020 at 10.30 a.m. IDBI Trusteeship Services Limited 13000 equity:
12500 600
Asian Bldg., Ground Floor, 12000 550 Nil.
Venue : To be held through Video
17, R. Kamani Marg, Ballard Estate, 11500 500
Conference (“VC”) or Other 11000 17.15 Commodity price risk or foreign exchange risk and
Mumbai- 400001 10500 450
Audio Visual Means (“OAVM”) 10000 400 hedging activities:
(Deemed Venue for the Meeting: 17.7 ISIN Code for the Company’s Ordinary Shares: -19 9 9 9 9 9 9 9 0 0
y-1 n-1 l-19 ug-1 ep-1 ct-1 ov-1 ec-1 n-2 eb-2 ar-2
0
Apr Ma Ju Ju A S O N D Ja F M The Company does not have material exposure of any
The place from where the Chairman of
INE340A01012 commodity and accordingly, no hedging activities for the
the Company shall attend and conduct BSE-500 BCL Share Price
same are carried out. Therefore, there is no disclosure to offer
the Meeting)
17.8 ISIN Code for various series of Debentures is as under: in terms of SEBI circular no. SEBI/HO/CFD/CMD1/CIR/P/2018/
Note – Indicates monthly closing positions
17.2 Financial Year: 1st April to 31st March 0000000141 dated 15th November, 2018.
Secured Redeemable Non-Convertible Debentures Series –3 INE340A07050*
17.3 Financial Calendar (tentative and subject to change) 17.12 Registrar & Share Transfer Agent:
Secured Redeemable Non-Convertible Debentures Series –4 INE340A07068 During the year 2019-2020, the Company had managed the

}
1st Quarterly Results MCS Share Transfer Agent Limited. foreign exchange risk and hedged to the extent considered
Secured Redeemable Non-Convertible Debentures Series –5 INE340A07076
2nd Quarterly/Half yearly Results : Within 45 days of the 383, Lake Gardens, 1st Floor, necessary. The Company enters into forward contracts for
3rd Quarterly Results end of the quarter Secured Redeemable Non-Convertible Debentures Series –6 INE340A07084 Kolkata -700 045 hedging foreign exchange exposures against exports and
Secured Redeemable Non-Convertible Debentures Series –7 INE340A07092 Phone: (033) 4072 4051 to 4052 imports. The details of foreign currency exposure are
Audited yearly Results (for the : Within 60 days of the
Fax : (033) 4072 4050 disclosed in Note No.54 to the Annual Standalone Financial
year ending 31st March, 2021) end of the Financial *Redeemed during the financial year 2019-2020.
E-mail : mcssta@[Link] Statement.
Year
Annual Listing fees for the financial year 2019-2020 and 2020-
17.4 Date of Book closure : 19th August, 2020 to 2021 have been paid by the Company to the above Stock
25th August, 2020 Exchanges.
(both days inclusive)
17.5 Dividend Payment date : 17.9 Corporate Identity Number (CIN):

Within 30 days from the date of Annual General Meeting. L01132WB1919PLC003334

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REPORT ON CORPORATE GOVERNANCE (Contd.) REPORT ON CORPORATE GOVERNANCE (Contd.)

17.16 Details of Credit Ratings obtained by the Company during been transferred to IEPF for a consecutive period of seven Demat Physical 17.22 Shareholding Pattern:
financial year 2019-2020: years): Particulars Number Number of Number Number of The shareholding of different categories of the shareholders
of Share- Ordinary of Share- Ordinary
Instrument details Amount Rating In terms of Section 124 and 125 of the Companies Act, 2013 holders shares holders shares as on 31st March, 2020 is given below:-
(` in Crore) read with Investor Education & Protection Fund (IEPF) Number of shareholders and 0 0 0 0
9.25% Non-Convertible 200.00 ICRA AA (Stable); CARE AA Authority (Accounting, Audit, Transfer and Refund) Rules, aggregate number of shares SHAREHOLDING PATTERN AS ON 31ST MARCH 2020
Debentures (Stable) transferred to the unclaimed
2016, during the financial year 2019-2020, the Company has 62.90%
9.25% Non-Convertible 50.00 ICRA AA (Stable); CARE AA Suspense Account during the year
transferred 9,024 equity shares to the demat account of IEPF
Debentures (Stable) Aggregate Number of shareholders 98 6943 0 0
Authority in respect of which dividend had remained unpaid and the outstanding shares in the
9.15% Non-Convertible 150.00 ICRA AA (Stable); CARE AA
Debentures (Stable) or unclaimed for seven consecutive years or more as on the unclaimed suspense account lying
due date of transfer, i.e. 3rd August, 2019 and 15th December, at the end of the year
9.10% Non-Convertible 150.00* CRISIL AA (Stable); CARE AA 31st March, 2020
Debentures (Stable) 2019.
9.05% Non-Convertible 130.00 CRISIL AA (Stable); CARE AA The voting, dividend and other rights on the shares in the
All Shares in respect of which dividends has remained 3.65%
Debentures (Stable) suspense account as on 31st March, 2020 shall remain frozen
unpaid/unclaimed for a consecutive period of seven years or
Commercial Paper 300.00 CRISIL A1+ till the rightful owners of such shares claim the shares. 4.16%
more since 2012-2013 will also be transferred to the IEPF
Long Term Bank facilities 1322.16 CARE AA (Stable) 13.28%
Authority. As required under the said Rules, the Company has
Short Term Bank facilities 873.00 CARE A1+ 17.21 (a) Distribution of shareholding as on 31st March, 2020:
already published Notices in the newspapers inviting the
Long / Short Term Bank facilities 50.00 CARE AA (Stable)/ CARE A1+ 11.52%
Members attention to the aforesaid Rules. The Company will No. of Ordinary No. of % of No. of Ordinary % of
*Redeemed during the financial year 2019-2020. also send out individual communication to the concerned shares held shareholders Shareholders shares shareholding
0.60% 3.75%
Members whose shares are liable to be transferred to IEPF Upto 500 43700 94.02 4563623 5.93 0.14%
17.17 Dividend history for the last 5 years is as under:
Account, pursuant to the said Rules to take immediate action 501 to 1000 1542 3.32 1114212 1.44 Promoter & Promoters Group - 62.90% Insurance Companies - 3.65%
Financial Year Date of Dividend per in the matter. 1001 to 2000 583 1.25 828310 1.07 Foreign Portfolio Investors - 4.16% Mutual Funds - 11.52%
Declaration Share (`) Further, it may also be noted that in terms of Section 124(6) 2001 to 3000 208 0.45 521302 0.68
Bodies Corporate (others) - 3.75% Financial Institutions/Banks - 0.14%
Non-resident Individual - 0.06% Indian Public - 13.28%
2019 – 2020 25.08.2020 7.50* and 125(3) of the Companies Act, 2013 read with Rule 7 of the 3001 to 4000 81 0.17 284471 0.37

2018 – 2019 13.08.2019** 7.50 IEPF Rules, shares and dividends which have been transferred 4001 to 5000 68 0.15 313401 0.41
to the IEPF Authority may be claimed by making an online 17.23 Dematerialisation of Shares and liquidity:
2017 – 2018 20.07.2018 6.50 application in Form No. IEPF-5, which is available at
5001 to 10000 113 0.24 829411 1.08
As on 31st March, 2020, 99.58% of the Company’s total
2016 – 2017 31.07.2017 6.50 10001 and above 185 0.40 68550617 89.02
[Link]. ordinary shares representing 76678343 shares were held in
2015 – 2016 08.07.2016 6.00 TOTAL 46480 100.00 77005347 100.00
17.20 Details of outstanding shares in the Unclaimed Suspense dematerialised form and 327004 shares representing 0.42%
2014 – 2015 02.07.2015 6.00 Account:
Physical Mode 3434 7.39 327004 0.42 of paid-up share capital were held in physical form.
Electronic Mode 43046 92.61 76678343 99.58
* subject to approval of shareholders. In terms of Regulation 39(4) read with Schedule VI of the The shares are actively traded at BSE and NSE and have
** The Hon’ble High Court at Calcutta vide its Order dated 9th August, Listing Regulations, the details in respect of ordinary shares adequate liquidity.
(b) Category of Shareholders as on 31st March, 2020:
2019 had imposed restriction on the Company for publishing the lying in the suspense account which was issued in demat form 17.24 Reconciliation of Share Capital Audit:
voting results of the business transacted at the Annual General and physical form, respectively as on 31st March, 2020, are as Category No. of % of No. of Ordinary % of
Meeting held on 13th August, 2019. Consequent upon the lifting of under:
shareholders Shareholders shares shareholding As stipulated by the Securities and Exchange Board of India
the above restriction by the Division Bench of Hon’ble High Court Promoter & 32 0.07 48434191 62.90 (SEBI), a practicing Chartered Accountant or a practicing
Demat Physical
vide its Order dated 4th May, 2020 the Company is in the process of Promoters Group Company Secretary carries out the Share Capital Audit to
remitting the dividend to the Shareholders. Particulars Number Number of Number Number of
Insurance 6 0.01 2815069 3.65 reconcile the total admitted Capital with National Securities
of Share- Ordinary of Share- Ordinary
Companies Depository Limited (NSDL) and Central Depository Services
17.18 Unclaimed Dividends: holders shares holders shares
Aggregate Number of shareholders 98 6943 0 0 Foreign Portfolio 105 0.23 3207799 4.16 (India) Limited (CDSL) and the total issued and listed capital.
The Company is required to transfer dividends which have and outstanding shares in the Investors
This audit is carried out every quarter and the report thereon
remained unpaid/unclaimed for a period of seven years to the unclaimed suspense account lying Mutual Funds 53 0.11 8870752 11.52 is submitted to the Stock Exchanges, and is also placed before
at the beginning of the year
Investor Education & Protection Fund established by the 1st April, 2019 Bodies Corporate 913 1.96 2888962 3.75 the Board of Directors.
Government. During financial year 2020-2021, final dividend (others)
Number of shareholders who 0 0 0 0 17.25 Plant Locations:
for the financial year 2012-2013 declared at the Annual approached the Company for Financial 18 0.04 104851 0.14
General Meeting of the Company held on 10th July, 2013 transfer of shares and shares Institutions/Banks Birla Corporation Limited:
transferred from unclaimed
which remains unpaid/unclaimed on due date i.e. 15th suspense account during the year Non-resident 1505 3.24 460448 0.60
August, 2020, will be transferred to the IEPF Authority. Individual
The Company’s plants are located at Satna (Madhya Pradesh),
Number of shareholders and shares 0 0 0 0 Chanderia (Rajasthan), Kolkata, Birlapur and Durgapur (West
transferred to the IEPF Authority Indian Public 43848 94.34 10223275 13.28
17.19 Transfer of ‘Shares’ to Investor Education and Protection from the unclaimed suspense
Bengal), Raebareli (Uttar Pradesh), Chakan (Maharashtra) and
Fund (IEPF) (in cases where unclaimed dividends have account TOTAL 46480 100.00 77005347 100.00 Gurgaon (Haryana).

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REPORT ON CORPORATE GOVERNANCE (Contd.) REPORT ON CORPORATE GOVERNANCE (Contd.)

RCCPL Private Limited (wholly owned subsidiary of the 17.27 Exclusive e-mail id for Investors’ Grievances: DECLARATION ON CODE OF CONDUCT
Company):
Pursuant to Regulation 85 of the Listing Regulations, the
The plants of RCCPL Private Limited are located at Maihar following e-mail id has been designated for communicating This is to confirm that the Board of Directors of the Company has laid down a Code of Conduct for its members and senior management
(Madhya Pradesh), Kundanganj (Uttar Pradesh) and Butibori investors’ grievances: personnel of the Company. The same has also been posted on the Company’s website. It is further confirmed that all the Directors and senior
(Maharashtra).
investorsgrievance@[Link] management personnel of the Company have affirmed compliance with the Code of Conduct of the Company for the Financial Year ended
17.26 Address for Correspondence: 31st March, 2020 as envisaged under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
17.28 E-mail id pursuant to Green Initiative in the Corporate
The shareholders may address their communications/ Governance:
suggestions/grievances/queries to:
As a part of Green Initiative, the Members who wants to
The Company Secretary, receive the notices/documents including Annual Reports of For BIRLA CORPORATION LIMITED
Birla Corporation Limited, the Company electronically, may kindly intimate their
Birla Building, e-mail id to the Company at its designated e-mail id i.e.,
9/1, R.N. Mukherjee Road, greeninitiative@[Link]. (PRACHETA MAJUMDAR)
Kolkata-700 001 Wholetime Director &
Tel. No.: (033) 66166729, 66166738, 66166737 Dated: the 22nd May, 2020 Chief Executive Officer
Fax: (033) 2248-7988/2872
Email: investorsgrievance@[Link]

CERTIFICATE
(Pursuant to Regulation 34(3) and Schedule V Para C clause (10)(i) of the SEBI
(Listing Obligations and Disclosure Requirements) Regulations, 2015)

We have examined the relevant registers, records, forms, returns and disclosures received from the Directors of Birla Corporation Limited
and having registered office at Birla Building, 9/1, R N Mukherjee Road, Kolkata 700001, West Bengal, India (hereinafter referred to as ‘the
Company’), produced before us by the Company for the purpose of issuing this Certificate, in accordance with Regulation 34(3) read with
Schedule V Para-C Sub clause 10(i) of the Securities Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations,
2015.
In our opinion and to the best of our information and according to the verifications (including Directors Identification Number (DIN) status at
the portal ([Link]) as considered necessary and explanations furnished to us by the Company & its officers, we hereby certify that
none of the Directors on the Board of the Company for the Financial Year ending on 31st March, 2020 have been debarred or disqualified
from being appointed or continuing as Directors of companies by the Securities and Exchange Board of India, Ministry of Corporate Affairs,
or any such other Statutory Authority.

For Mamta Binani & Associates

CS Madhuri Pandey
Partner
CP No. : 20723
Place: Kolkata Membership No: A55836
Date: 22.05.2020 UDIN: A055836B000358908

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LIMITED

REPORT ON CORPORATE GOVERNANCE (Contd.) REPORT ON CORPORATE GOVERNANCE (Contd.)

22nd May, 2020 INDEPENDENT AUDITORS’ CERTIFICATE ON CORPORATE GOVERNANCE

The Board of Directors TO THE MEMBERS OF BIRLA CORPORATION LIMITED

Birla Corporation Limited
1. We have examined the compliance of regulations of Corporate Governance by Birla Corporation Limited (‘the Company’) for the year
9/1, R.N. Mukherjee Road,
Kolkata – 700 001 ended 31st March, 2020, as stipulated in Regulations 17 to 27, clauses (b) to (i) of Regulation 46(2), and paragraphs C, D and E of
Schedule V of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (the
‘Listing Regulations’).
Management’s Responsibility
Certification by Chief Executive Officer & Chief Financial Officer (CFO)
2. The compliance of conditions of corporate governance is the responsibility of the management. This responsibility includes the
We, Pracheta Majumdar, Wholetime Director & Chief Executive Officer and Aditya Saraogi, Chief Financial Officer of Birla Corporation Limited designing, implementing and maintaining operating effectiveness of internal control to ensure compliance with the conditions of
certify that: corporate governance as stipulated in the Listing Regulations.

a) We have reviewed the Financial Statements and the Cash Flow Statement for the financial year ended 31st March, 2020 and that to the Auditors’ Responsibility
best of our knowledge and belief, we state that: 3. Pursuant to the requirements of the Listing Regulations, our responsibility is to express a reasonable assurance in the form of an
i) these statements do not contain any materially untrue statement, or omit any material fact or contain any statements that might opinion as to whether the Company has complied with the conditions of corporate governance as stated in paragraph 2 above. Our
be misleading; responsibility is limited to examining the procedures and implementation thereof, adopted by the Company for ensuring the
compliance with the conditions of corporate governance. It is neither an audit nor an expression of opinion on the financial statements
ii) these statements together present a true and fair view of the Company’s affairs and are in compliance with the existing of the Company.
accounting standards, applicable laws and regulations.
4. We have examined the relevant records of the Company in accordance with the applicable Generally Accepted Auditing Standards in
b) There are, to the best of our knowledge and belief, no transactions entered into by the Company during the year, which are fraudulent, India, the Guidance Note on Certification of Corporate Governance issued by the Institute of Chartered Accountants of India (the ‘ICAI’),
illegal or violative of the Company’s Code of Conduct. and the Guidance Note on Reports or Certificates for Special Purposes issued by the ICAI which requires that we comply with the ethical
c) We accept the responsibility for establishing and maintaining internal controls for financial reporting and that we have evaluated the requirements of the Code of Ethics issued by the ICAI.
effectiveness of the internal control systems of the Company pertaining to financial reporting and we have disclosed to the Auditors 5. We have complied with the relevant applicable requirements of the Standard on Quality Control (SQC) 1, Quality Control for Firms that
and Audit Committee, deficiencies in the design or operation of such internal controls, if any, of which we are aware and the steps we Perform Audits and Reviews of Historical Financial Information, and Other Assurance and Related Services Engagements.
have taken or propose to take to rectify these deficiencies.
Opinion
d) We have indicated to the Auditors and Audit Committee:
6. Based on the procedures performed by us and to the best of our information and according to the explanations provided to us, in our
i) significant changes, if any, in the internal controls over financial reporting during the year; opinion, the Company has complied, in all material respects, with the conditions of corporate governance as stipulated in the Listing
ii) significant changes, if any, in accounting policies during the year and that the same have been disclosed in the notes to the Regulations during the year ended 31st March, 2020. We state that such compliance is neither an assurance as to the future viability of
financial statements; and the Company nor the efficiency or effectiveness with which the management has conducted the affairs of the Company.
iii) instances of significant fraud of which we have become aware and the involvement therein, if any, of the management or an Restriction on use
employee having a significant role in the Company’s internal control system over financial reporting.
7. This certificate is issued solely for the purpose of complying with the aforesaid regulations and may not be suitable for any other
purpose.

For BIRLA CORPORATION LIMITED For BIRLA CORPORATION LIMITED For V. Sankar Aiyar & Co.
Chartered Accountants
(Firm Regn. No.: 109208W)
(PRACHETA MAJUMDAR) (ADITYA SARAOGI)
Wholetime Director & Chief Executive Officer Chief Financial Officer
(M.S. BALACHANDRAN)
Place: New Delhi Partner (M. No:024282)
Dated: 22nd May, 2020 UDIN: 20024282AAAABN6636

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CORPORATION
LIMITED

INDEPENDENT AUDITOR’S REPORT In connection with our audit of the standalone financial assurance is a high level of assurance, but is not a guarantee that
statements, our responsibility is to read the other information and, an audit conducted in accordance with SAs will always detect a
TO THE MEMBERS OF BIRLA CORPORATION LIMITED
in doing so, consider whether the other information is materially material misstatement when it exists. Misstatements can arise
Report on the Audit of the Standalone Financial Statements statements as a whole, and in forming our opinion thereon, and inconsistent with the standalone financial statements or our from fraud or error and are considered material if, individually or
we do not provide a separate opinion on these matters. We have knowledge obtained during the course of our audit or otherwise in the aggregate, they could reasonably be expected to influence
Opinion
determined the matters described below to be the key audit appears to be materially misstated. the economic decisions of users taken on the basis of these
We have audited the accompanying standalone financial matters to be communicated in our report. standalone financial statements.
statements of BIRLA CORPORATION LIMITED (“the Company”), If, based on the work we have performed, we conclude that there is
which comprise the Balance Sheet as at 31st March 2020, the Key Audit Matter Auditor’s Response a material misstatement of this other information, we are required As part of an audit in accordance with SAs, we exercise professional
Statement of Profit & Loss (including Other Comprehensive Recoverability of MAT Credit to report that fact. We have nothing to report in this regard. judgment and maintain professional skepticism throughout the
Income), the Statement of Changes in Equity and the Entitlement in future: audit. We also:
Responsibilities of Management and Those Charged with
Statement of Cash Flows for the year then ended, and notes The Company has recognised Audit procedures included, Governance for the Standalone Financial Statements • Identify and assess the risks of material misstatement of the
to the standalone financial statements, including a summary deferred tax assets mainly on among others, review of:
standalone financial statements, whether due to fraud or
account of tax credit available The Company’s Board of Directors is responsible for the matters
of significant accounting policies and other explanatory for set off (Minimum Alternate • The appropriateness of the error, design and perform audit procedures responsive to
methodology applied by the stated in Section 134(5) of the Act with respect to the preparation
information (hereinafter referred to as “the standalone financial Tax) under the Income Tax those risks, and obtain audit evidence that is sufficient and
Act, 1961. Under Ind AS 12 Company with applicable of these standalone financial statements that give a true and fair
statements”). appropriate to provide a basis for our opinion. The risk of not
– Income Taxes, deferred tax Indian accounting standards view of the financial position, financial performance including
and applicable taxation detecting a material misstatement resulting from fraud is
In our opinion and to the best of our information and according assets shall be recognised to other comprehensive income, changes in equity and cash flows
the extent that it is probable laws along with the future higher than for one resulting from error, as fraud may involve
to the explanations given to us, the aforesaid standalone business forecast of taxable of the Company in accordance with the accounting principles
that future taxable profit will collusion, forgery, intentional omissions, misrepresentations,
financial statements give the information required by the profits. generally accepted in India, including the Indian Accounting
be available against which or the override of internal control.
Companies Act, 2013, as amended (“the Act”) in the manner the unused tax credit can Standards (Ind AS) specified under Section 133 of the Act.
• The likelihood of the
so required and give a true and fair view in conformity with be utilised. The assessment Company to utilize the This responsibility also includes maintenance of adequate • Obtain an understanding of internal control relevant to the
accounting principles generally accepted in India, of the state of of valuation of deferred tax available MAT credit accounting records in accordance with the provisions of the Act audit in order to design audit procedures that are appropriate
affairs (financial position) of the Company as at 31st March 2020, assets requires significant entitlements in the future in the circumstances. Under section 143(3)(i) of the Companies
for safeguarding the assets of the Company and for preventing
management judgement with underlying projections
its profit (financial performance including other comprehensive and detecting frauds and other irregularities; selection and Act, 2013, we are also responsible for expressing our opinion
and estimation. This include, and assumptions relating
income), its cash flows and changes in equity for the year ended amongst others, estimation to future estimated profits, application of appropriate accounting policies; making on whether the company has adequate internal financial
on that date. long-term future profitability, future capitalisations and judgments and estimates that are reasonable and prudent; and controls system in place and the operating effectiveness of
future revenue from proposed depreciation allowance such controls.
Basis for Opinion design, implementation and maintenance of adequate internal
projects and tax regulations thereon and future estimates
and developments. of taxable income financial controls, that were operating effectively for ensuring the • Evaluate the appropriateness of accounting policies used
We conducted our audit of the standalone financial statements accuracy and completeness of the accounting records, relevant
As a result, the recognition • The adequacy of the and the reasonableness of accounting estimates and related
in accordance with the Standards on Auditing (SAs) specified to the preparation and presentation of the standalone financial
of the deferred tax asset on Company’s disclosures in disclosures made by management.
under section 143(10) of the Act. Our responsibilities under those above is significant to our statements that give a true and fair view and are free from material
the financials on deferred
Standards are further described in the “Auditor’s Responsibilities audit. tax assets and assumptions misstatement, whether due to fraud or error. • Conclude on the appropriateness of management’s use of
for the Audit of the Standalone Financial Statements” section of our used. the going concern basis of accounting and, based on the
The disclosures relating to the In preparing the standalone financial statements, the Board of
report. We are independent of the Company in accordance with above are included in Note no audit evidence obtained, whether a material uncertainty
the Code of Ethics issued by the Institute of Chartered Accountants 25 of the standalone financial Directors is responsible for assessing the Company’s ability to exists related to events or conditions that may cast significant
of India (“ICAI”) together with the ethical requirements that are statements. continue as a going concern, disclosing, as applicable, matters doubt on the Company’s ability to continue as a going
relevant to our audit of the standalone financial statements under related to going concern and using the going concern basis concern. If we conclude that a material uncertainty exists,
Information Other than the Standalone Financial Statements
the provisions of the Act and the Rules made thereunder, and we of accounting unless the Board of Directors either intends to we are required to draw attention in our auditor’s report to
and Auditor’s Report Thereon
have fulfilled our other ethical responsibilities in accordance with liquidate the Company or to cease operations, or has no realistic the related disclosures in the standalone financial statements
The Company’s Board of Directors is responsible for the alternative but to do so. or, if such disclosures are inadequate, to modify our opinion.
these requirements and the ICAI’s Code of Ethics. We believe that
preparation of the other information. The other information Our conclusions are based on the audit evidence obtained up
the audit evidence we have obtained is sufficient and appropriate The Board of Directors are also responsible for overseeing the
comprises the information included in the Directors’ Report and to the date of our auditor’s report. However, future events or
to provide a basis for our opinion on the standalone financial Company’s financial reporting process.
Management Discussion and Analyses, Business Responsibility conditions may cause the Company to cease to continue as a
statements.
Report and the Report on Corporate Governance but does not Auditor’s Responsibilities for the Audit of the Standalone going concern.
Key Audit Matters include the standalone financial statements and our auditor’s Financial Statements
• Evaluate the overall presentation, structure and content of the
Key audit matters are those matters that, in our professional report thereon.
Our objectives are to obtain reasonable assurance about whether standalone financial statements, including the disclosures,
judgment, were of most significance in our audit of the standalone Our opinion on the standalone financial statements does not the standalone financial statements as a whole are free from and whether the standalone financial statements represent
financial statements of the current period. These matters were cover the other information and we do not express any form of material misstatement, whether due to fraud or error, and to the underlying transactions and events in a manner that
addressed in the context of our audit of the standalone financial assurance conclusion thereon. issue an auditor’s report that includes our opinion. Reasonable achieves fair presentation.

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We communicate with those charged with governance statements comply with the Indian Accounting Annexure-A referred to in the Independent Auditors’ Report to the Members of Birla Corporation
regarding, among other matters, the planned scope and Standards (Ind AS) specified under section 133 of the Limited on the standalone accounts for the year ended 31st March, 2020.
timing of the audit and significant audit findings, including any Act, read with relevant rules issued thereunder;
significant deficiencies in internal control that we identify during
e) On the basis of written representations received from the (i) (a) The Company is maintaining proper records showing full provisions of section 186 of the Companies Act, 2013.
our audit.
directors as on 31st March, 2020 taken on record by the particulars, including quantitative details and situation (v) The Company has not accepted deposits during the year
We also provide those charged with governance with a statement Board of Directors, none of the directors is disqualified as of fixed assets. from the public within the provisions of section 73 to 76 or
that we have complied with relevant ethical requirements on 31st March, 2020 from being appointed as a director any other provisions of the Companies Act, 2013 and the
(b) The fixed assets have been physically verified by the
regarding independence, and to communicate with them all in terms of section 164(2) of the Act; Rules framed thereunder.
management/ outside agencies in a phased manner
relationships and other matters that may reasonably be thought f) With respect to the adequacy of the internal financial and reconciled with books of account, except in case (vi) We have broadly reviewed the books of accounts maintained
to bear on our independence, and where applicable, related controls over financial reporting of the Company and of Soorah Jute Mills (due to suspension of work) with by the Company, pursuant to rules made under sub-
safeguards. the operating effectiveness of such controls, refer to our carrying value other than land and building, at Rs. 0.30 section (1) of section 148 of the Act and are of the opinion
From the matters communicated with those charged with separate report in “Annexure B”; Crore and Auto Trim Division at Gurgaon & Chakan with that prima facie, the prescribed accounts and records have
governance, we determine those matters that were of most g) With respect to the other matters to be included in the carrying value, other than land and building, at Rs.1.61 been maintained. We have not, however, made a detailed
significance in the audit of the standalone financial statements Auditor’s Report in accordance with the requirements of Crores, where verification could not be done. We are examination of the records with a view to determine whether
of the current period and are therefore the key audit matters. section 197(16) of the Act, as amended: informed that no major discrepancies were noticed on they are accurate and complete.
We describe these matters in our auditor’s report unless law or such verification. Minor discrepancies stands adjusted in (vii) (a) According to the records of the Company, the Company
In our opinion and to the best of our information
regulation precludes public disclosure about the matter or when, the accounts. In our opinion, the frequency of verification has been generally regular in depositing undisputed
and according to the explanations given to us, the
in extremely rare circumstances, we determine that a matter is reasonable in relation to the size of the Company. statutory dues including provident fund, employees’
remuneration paid by the Company to its directors
should not be communicated in our report because the adverse state insurance, income-tax, service tax, sales-tax, goods
during the year is in accordance with the provisions of (c) According to the information and explanations given
consequences of doing so would reasonably be expected to and services tax (GST), duty of excise, duty of custom,
section 197 of the Act. to us and the records examined by us and based on the
outweigh the public interest benefits of such communication. value added tax, cess and any other statutory dues with
examination of the registered sale deed/ transfer deed/
h) With respect to the other matters to be included in the appropriate authorities. There were no arrears of
Report on Other Legal and Regulatory Requirements conveyance deed etc., provided to us, we report that
the Auditor’s Report in accordance with Rule 11 of the undisputed statutory dues as at 31st March 2020, which
1 As required by the Companies (Auditor’s Report) Order, 2016 Companies (Audit and Auditors) Rules, 2014, as amended, the title deeds of immovable properties are held in the
were outstanding for a period of more than six months
(“the Order”) issued by the Government of India in terms of in our opinion and to the best of our information and name of the Company. The title deeds relating to certain
from the date they became payable.
sub-section (11) of section 143 of the Act, and on the basis of according to the explanations given to us: immovable properties have been pledged as security
with banks and financial institution for loans, guarantees (b) The disputed dues of different years, relating to income-
such checks of the books and records of the Company as we
i. The Company has disclosed the impact of pending etc., are held in the name of the Company based on the tax, service-tax, sales-tax, duty of customs, duty of excise,
considered appropriate and according to the information and
litigations on its financial position in its standalone confirmations from the Security Trustees. value added tax or goods and services tax (GST) which
explanations given to us, we give in “Annexure A” a statement financial statements – Refer Note 40.1 to 40.4 to the have remained unpaid as on 31st March, 2020 for which
on the matters specified in the paragraphs 3 and 4 of the said standalone financial statements; (ii) The stock of finished goods, stores, spare parts and raw appeals are pending as under:
Order. materials have been physically verified by the management/
ii. The Company has made provision, as required Name of the Nature of Amount Period Forum where the
2 As required by section 143(3) of the Act, we report that: outside agencies at reasonable intervals during the year,
under the applicable law or accounting standards, Statute Dues (Rs. in to which dispute is pending
except for Soorah Jute Mills (due to suspension of work) Crore) amount
a) We have sought and obtained all the information and for material foreseeable losses, if any, on long-term
and Auto Trim Division at Gurgaon and Chakan, where relates
explanations which to the best of our knowledge and contracts including derivative contracts;
physical verification could not be done. We are informed Sales Tax & VAT Sales Tax 15.58 FY 1993-94 to Department/ 1st
belief were necessary for the purposes of our audit of the iii. There has been no delay in transferring amounts, that inventory held at these locations were insignificant. No Laws and VAT 2017-18 Appellate Authority
aforesaid standalone financial statements; required to be transferred, to the Investor Education material discrepancies were noticed on physical verification 3.53 FY 1989-90 to Appellate Tribunals
b) In our opinion, proper books of account as required by and Protection Fund by the Company in accordance and minor discrepancies stands adjusted in the accounts. 2013-14
law have been kept by the Company so far as it appears with the relevant provisions of the Act and Rules 3.11 FY 1989-90 to High Court
made there under. (iii) The Company has not granted any loans, secured or unsecured
from our examination of those books; 2010-11
to companies, firms, limited liability partnerships or other
For V. Sankar Aiyar & Co. IGST, SGST and IGST and 0.16 FY 2017-18 to Department/ 1st
c) The Balance Sheet, the Statement of Profit and Loss parties covered in the register maintained under section CGST Act SGST 2018-19 Appellate Authority
(including other comprehensive income), the Cash flow Chartered Accountants 189 of the Companies Act, 2013. Therefore, the provisions of
(Firm Regn. No.: 109208W) Central Excise Excise Duty 42.80 FY 1980-81 to Department/ 1st
statement and the statement of Changes in Equity dealt clause 3(iii)(a),(b)&(c) of the Order are not applicable. Act, 1944 2017-18 Appellate Authority
with by this report are in agreement with the books of 38.84 FY 2001-02 to Appellate Tribunals
(M.S. BALACHANDRAN) (iv) The Company has not given any loan or provided any
account; 2017-18
Place : New Delhi Partner (M. No: 024282) guarantees or security to parties covered under section 185
d) In our opinion, the aforesaid standalone financial Date : 22nd May, 2020 UDIN: 20024282AAAABL7992 of the Companies Act, 2013. In respect of loans, investments, 2.12 FY 2003-04 to High Court
2017-18
guarantees and security, the Company has complied with the

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(xii) The Company is not a Nidhi Company. Therefore, the Annexure-B referred to in the Independent Auditors’ Report to the Members of Birla Corporation
Name of the Nature of Amount Period Forum where the
Statute Dues (Rs. in to which dispute is pending provisions of clause 3(xii) of the Order are not applicable.
Limited on the standalone accounts for the year ended 31st March, 2020.
Crore) amount
(xiii) In our opinion and according to the information and
relates
explanations given to us, all the transactions with the We have audited the internal financial controls over financial Meaning of Internal Financial Controls over Financial
Finance Act, Service Tax 5.74 FY 2013-14 to Department/ 1st
related parties are in compliance with section 177 and 188 reporting of the Company as of 31st March, 2020 in conjunction Reporting
1994 2016-17 Appellate Authority
of the Companies Act, 2013 to the extent applicable and with our audit of the standalone financial statements of the
1.19 FY 2005-06 to Appellate Tribunals A Company’s internal financial control over financial reporting is a
the details have been disclosed in the financial statements Company for the year ended on that date.
2010-11 process designed to provide reasonable assurance regarding the
as required by the applicable Indian Accounting Standards Management’s Responsibility for Internal Financial Controls reliability of financial reporting and the preparation of financial
1.62 FY 2012-13 to High Court (Ind AS).
2013-14 statements for external purposes in accordance with generally
The Company’s management is responsible for establishing
accepted accounting principles. A Company’s internal financial
Customs Act, Custom 1.99 FY 2012-13 Appellate Tribunals (xiv) During the year, the Company has not made any preferential and maintaining internal financial controls based on the
control over financial reporting includes those policies and
1962 Duty allotment or private placement of shares or fully or partly internal control over financial reporting criteria established
procedures that (1) pertain to the maintenance of records that,
convertible debentures. Therefore, the provisions of clause by the Company considering the essential components of
Income Tax Act, Income Tax 1.18 AY 2016-17 Department/ 1st in reasonable detail, accurately and fairly reflect the transactions
3(xiv) of the Order are not applicable. internal control stated in the Guidance Note on Audit of Internal
1961 Appellate Authority and dispositions of the assets of the Company; (2) provide
Financial Controls over Financial Reporting(the “Guidance Note”)
reasonable assurance that transactions are recorded as necessary
(viii) On the basis of the verification of records and information (xv) According to the information and explanations given to us issued by the Institute of Chartered Accountants of India (ICAI).
to permit preparation of financial statements in accordance
and explanations given to us, the Company has not and the representation obtained from the management, These responsibilities include the design, implementation and
with generally accepted accounting principles, and that receipts
defaulted in repayment of loans or borrowings to financial the Company has not entered into any non-cash maintenance of adequate internal financial controls that were
and expenditures of the Company are being made only in
transactions with directors or persons connected with operating effectively for ensuring the orderly and efficient
institutions or banks and dues to debenture holders. accordance with authorisations of management and directors of
conduct of its business, including adherence to Company’s
them. Therefore, the provisions of clause 3(xv) of the Order the Company; and (3) provide reasonable assurance regarding
(ix) In our opinion and according to the information and policies, the safeguarding of its assets, the prevention and
are not applicable. prevention or timely detection of unauthorised acquisition, use,
explanations given to us, term loans taken during the year detection of frauds and errors, the accuracy and completeness
or disposition of the Company’s assets that could have a material
(xvi) In our opinion and according to the information and of the accounting records, and the timely preparation of reliable
were applied for the purpose for which the loans were effect on the financial statements.
financial information, as required under the Act.
obtained. The Company has not raised moneys by way of explanations given to us, the Company is not required to be
Inherent Limitations of Internal Financial Controls over
public offer (including debt instruments). registered under section 45-IA of the Reserve Bank of India Auditors’ Responsibility
Financial Reporting
Act, 1934. Our responsibility is to express an opinion on the Company’s
(x) Based on the audit procedures performed and Because of the inherent limitations of internal financial controls
internal financial controls over financial reporting based on our
representation obtained from the management, we report over financial reporting, including the possibility of collusion
audit. We conducted our audit in accordance with the Guidance
that no case of material fraud by the Company or on the or improper management override of controls, material
For V. Sankar Aiyar & Co. Note and the Standards on Auditing, issued by ICAI and deemed
Company by its officers or employees has been noticed or misstatements due to error or fraud may occur and not be
Chartered Accountants to be prescribed under section 143(10) of the Act, to the extent
reported during the year. detected. Also, projections of any evaluation of the internal
applicable to an audit of internal financial controls, both applicable
(Firm Regn. No.: 109208W) financial controls over financial reporting to future periods are
to an audit of Internal Financial Controls and issued by ICAI. Those
(xi) The managerial remuneration has been paid or provided subject to the risk that the internal financial control over financial
Standards and the Guidance Note require that we comply with
in accordance with the requisite approvals mandated by (M.S. BALACHANDRAN) reporting may become inadequate because of changes in
ethical requirements and plan and perform the audit to obtain
the provisions of section 197 read with Schedule V to the Place : New Delhi Partner (M. No: 024282) conditions, or that the degree of compliance with the policies or
reasonable assurance about whether adequate internal financial
Date : 22nd May, 2020 UDIN: 20024282AAAABL7992 procedures may deteriorate.
Companies Act, 2013. controls over financial reporting was established and maintained
and if such controls operated effectively in all material respects. Opinion
Our audit involves performing procedures to obtain audit In our opinion, the Company has, in all material respects, an
evidence about the adequacy of the internal financial controls adequate internal financial controls system over financial
system over financial reporting and their operating effectiveness. reporting and such internal financial controls over financial
Our audit of internal financial controls over financial reporting reporting were operating effectively as at 31st March, 2020 based
included obtaining an understanding of internal financial on the internal control over financial reporting criteria established
controls over financial reporting, assessing the risk that a material by the Company considering the essential components of internal
weakness exists, and testing and evaluating the design and control stated in the Guidance Note issued by the ICAI.
operating effectiveness of internal control based on the assessed
risk. The procedures selected depend on the auditor’s judgement,
including the assessment of the risks of material misstatement For V. Sankar Aiyar & Co.
of the standalone financial statements, whether due to fraud or Chartered Accountants
error. (Firm Regn. No.: 109208W)
We believe that the audit evidence we have obtained is sufficient
and appropriate to provide a basis for our audit opinion on the (M.S. BALACHANDRAN)
Company’s internal financial controls system over financial Place : New Delhi Partner (M. No: 024282)
reporting. Date : 22nd May, 2020 UDIN: 20024282AAAABL7992

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STANDALONE BALANCE SHEET AS AT 31ST MARCH, 2020 STANDALONE STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores)
(` in Crores)
Note No. As at 31st March, 2020 As at 31st March, 2019
ASSETS For the year ended For the year ended
NON-CURRENT ASSETS Note No. 31st March, 2020 31st March, 2019
Property, Plant and Equipment 5 3,043.99 3,074.37 INCOME
Capital Work-In-Progress 5 146.99 54.99
Investment Property 6 0.16 0.17 Revenue from Operations 29 4,746.60 4,423.58
Intangible Assets 7 21.06 11.87 Other Income 30 82.48 81.08
Intangible Assets under Development 7 1.92 2.11 Total Income 4,829.08 4,504.66
Biological Assets other than Bearer Plants 8 0.82 0.87
Investment in Subsidiaries 9 2,281.25 2,281.25
Financial Assets EXPENSES
Investments 10 282.50 393.89 Cost of Materials Consumed 31 1,019.55 948.33
Loans 11 0.46 1.73
Other Financial Assets 12 30.50 30.74 Purchases of Stock -in- Trade 32 16.05 1.45
Non-Current Tax Asset (Net) 12.98 74.13 Changes in Inventories of Finished Goods, Stock-In-Trade and Work-in-Progress 33 (46.11) 16.82
Other Non-Current Assets 13 97.05 5,919.68 84.34 6,010.46 Employee Benefits Expense 34 298.16 273.27
CURRENT ASSETS
Inventories 14 583.64 588.16 Finance Costs 35 185.23 178.06
Financial Assets Depreciation and Amortisation Expense 36 151.18 148.53
Investments 15 582.45 497.78 Other Expenses 37 2,783.90 2,778.19
Trade Receivables 16 179.32 190.09
Cash and Cash Equivalents 17 37.89 65.93 Total Expenses 4,407.96 4,344.65
Bank Balances other than Note 17 18 171.75 41.53
Loans 11 1.11 1.24 Profit before Exceptional Items and Tax 421.12 160.01
Other Financial Assets 12 214.77 198.05 Exceptional Items – –
Other Current Assets 13 164.06 206.58 Profit before Tax 421.12 160.01
Non-Current Assets classified as Held for Sale 19 1.49 1,936.48 0.63 1,789.99
Tax Expense : 38
Total Assets 7,856.16 7,800.45
EQUITY AND LIABILITIES Current Tax 75.25 40.26
EQUITY Deferred Tax 48.30 2.52
Equity Share Capital 20 77.01 77.01
Other Equity 21 4,271.40 4,348.41 4,148.96 4,225.97 Income Tax for earlier years (18.27) (20.55)
LIABILITIES 105.28 22.23
NON-CURRENT LIABILITIES
Financial Liabilities Profit for the year 315.84 137.78
Borrowings 22 1,256.42 1,594.07 Other Comprehensive Income :
Other Financial Liabilities 23 386.42 355.07
Provisions 24 36.43 31.07 A. Items that will not be reclassified to profit or loss 39.1 (128.13) 20.01
Deferred Tax Liabilities (Net) 25 380.31 336.49 Income tax relating to these items 4.59 0.47
Non-Current Tax Liabilities (Net) 1.35 3.30 (123.54) 20.48
Other Non-Current Liabilities 26 144.89 2,205.82 151.71 2,471.71
CURRENT LIABILITIES B. Items that will be reclassified to profit or loss 39.2 0.44 (0.24)
Financial Liabilities Income tax relating to these items (0.16) (0.16)
Borrowings 27 63.17 25.22 0.28 (0.40)
Trade Payables 28
– Total outstanding dues of 2.86 4.09 Other Comprehensive Income for the Year (Net of Tax) (123.26) 20.08
micro enterprises and small enterprises
– Total outstanding dues of creditors other 352.59 420.29 Total Comprehensive Income for the year 192.58 157.86
than micro enterprises and small enterprises
Other Financial Liabilities 23 735.78 485.90 Earnings Per Share (Face Value of ` 10/- each)
Other Current Liabilities 26 131.39 149.87
Provisions 24 16.14 11.20 Basic & Diluted (`) 46 41.02 17.89
Current Tax Liabilities (Net) – 1,301.93 6.20 1,102.77
Basis of Preparation 2
Total Equity and Liabilities 7,856.16 7,800.45
Basis of Preparation 2 Significant Accounting Policies 3
Significant Accounting Policies 3 Significant Judgements and Key Estimates 4
Significant Judgements and Key Estimates 4
The Notes are an integral part of the Standalone Financial Statements
The Notes are an integral part of the Standalone Financial Statements
As per our annexed Report of even date For and on behalf of the Board of Directors As per our annexed Report of even date For and on behalf of the Board of Directors
For V. SANKAR AIYAR & CO. For V. SANKAR AIYAR & CO.
Chartered Accountants ADITYA SARAOGI HARSH V. LODHA Chartered Accountants ADITYA SARAOGI HARSH V. LODHA
Firm Registration No. 109208W Chief Financial Officer Chairman Firm Registration No. 109208W Chief Financial Officer Chairman
(DIN : 00394094) (DIN : 00394094)
M. S. BALACHANDRAN M. S. BALACHANDRAN
Partner GIRISH SHARMA PRACHETA MAJUMDAR Partner GIRISH SHARMA PRACHETA MAJUMDAR
Membership No. 024282 Joint President (Indirect Taxes) Wholetime Director Membership No. 024282 Joint President (Indirect Taxes) Wholetime Director
& Company Secretary & Chief Executive Officer & Company Secretary & Chief Executive Officer
(DIN : 00179118) (DIN : 00179118)
New Delhi Kolkata New Delhi Kolkata
Date: 22nd May, 2020 Date: 22nd May, 2020 Date: 22nd May, 2020 Date: 22nd May, 2020

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STANDALONE STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31ST MARCH, 2020 STANDALONE STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
For the year ended For the year ended For the year ended For the year ended
31st March, 2020 31st March, 2019 31st March, 2020 31st March, 2019
Cash Flow from Operating Activities: Cash Flow from Financing Activities:
Profit after Exceptional Items & before Tax 421.12 160.01 Proceeds from Long Term Borrowings 115.00 6.67
Adjustments for : Repayments of Long Term Borrowings (362.68) (59.97)

Depreciation & Amortisation 151.18 148.53 (Repayments) / Proceeds from Short Term Borrowings (Net) 36.60 (7.21)
Payment of Lease Liabilities (0.50) –
Investing Activities (Net) (62.16) (58.86)
Interest paid (167.76) (160.76)
Provision for doubtful debts 0.03 1.99
Dividend paid – (50.05)
Bad debts 0.06 0.13
Dividend Distribution Tax paid – (10.29)
Inter Corporate Loan written off 2.75 –
Net Cash used in Financing Activities (379.34) (281.61)
(Profit)/Loss on sale / discard of Property, Plant and Equipment (Net) (0.40) (2.05)
Net Increase / (Decrease) in Cash and Cash Equivalents (29.21) (18.85)
Profit on sale of Non-Current Assets classified as Held for Sale (2.70) (5.80)
Cash and Cash Equivalents (Opening Balance) 65.93 84.78
Fair Valuation for Biological Assets other than Bearer Plants 0.04 0.10
Cash and Cash Equivalents (Closing Balance) 36.72 65.93
Amortisation of Deferred Revenue (1.33) (1.60)
Cash and Cash Equivalents as per balance sheet (Closing Balance) 37.89 65.93
Excess liabilities, unclaimed balances and provisions written back (Net) (9.73) (5.50) (Refer Note No. 17)
Excess Depreciation written back – (0.01) Overdraft Balance in Current Account shown under Short Term Borrowings (1.17) –
Effect of Foreign Exchange Fluctuations 1.73 21.68 Cash and Cash Equivalents (Closing Balance) after adjusting
36.72 65.93
Finance Costs 185.23 178.06 Overdraft balance
Operating Profit before Working Capital changes 685.82 436.68 Note :

Adjustments for : a) Reconciliation of Liabilities arising from financing activities

Particulars Balance as on Proceeds Repayments Forex Fair Value Balance as on
(Increase) / Decrease in Trade Receivables 11.31 (31.00)
1st April, 2019 Adjustments Changes/ 31st March, 2020
(Increase) / Decrease in Inventories 4.52 (59.75) Other
(Increase) / Decrease in Loans, Other Financial Assets & Other Assets 37.70 (38.33) Adjustments
Long Term Borrowings (Including 1,828.92 115.00 362.68 21.52 3.85 1,606.61
Increase / (Decrease) in Trade Payables & Other Liability (4.39) 130.87
current maturity)
Increase / (Decrease) in Provisions 0.21 4.50 Short Term Borrowings (Excluding 25.22 119.25 82.65 0.18 – 62.00
Cash generated from operations 735.17 442.97 Overdraft Balance in Current Account)

Direct Taxes (Paid) / Refund Received (Net) 2.24 (3.11) b) The above Statement of Cash Flows has been prepared under the ‘Indirect Method’ as set out in Ind AS 7, ‘Statement of Cash Flows’.
Net Cash from Operating Activities 737.41 439.86 c) The composition of Cash & Cash Equivalent has been determined based on the Accounting Policy No. 3.2.

Cash Flow from Investing Activities: d) Figures for the previous year have been re-grouped wherever considered necessary.
e) Direct Taxes paid are treated as arising from operating activities and are not bifurcated between investing and financing activities.
Purchase of Tangible & Intangible Assets including CWIP / Capital Advances (221.06) (154.71)
f) The Notes are an integral part of Standalone Financial Statements.
Sale of Tangible Assets 4.70 16.71
(Purchase) / Sale of Liquid Investments (Net) 233.09 (86.64) As per our annexed Report of even date For and on behalf of the Board of Directors
For V. SANKAR AIYAR & CO.
Purchase of other Current Investments (372.33) (415.15) Chartered Accountants ADITYA SARAOGI HARSH V. LODHA
Firm Registration No. 109208W Chief Financial Officer Chairman
Sale of other Current Investments 92.35 446.43 (DIN : 00394094)
M. S. BALACHANDRAN
Purchase of Non-Current Investments (3.45) – Partner GIRISH SHARMA PRACHETA MAJUMDAR
Membership No. 024282 Joint President (Indirect Taxes) Wholetime Director
Sale of Non-Current Investments – 0.03 & Company Secretary & Chief Executive Officer
(DIN : 00179118)
Payment towards Investment in Subsidiary – (74.96)
New Delhi Kolkata
(Increase) / Decrease in Other Bank Balances (129.99) 69.45 Date: 22nd May, 2020 Date: 22nd May, 2020
Loan (given) / taken back from Related Parties (0.04) (0.05)
Interest received 6.84 19.93
Dividend received 2.61 1.86
Net Cash used in Investing Activities (387.28) (177.10)

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STANDALONE STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 31ST MARCH, 2020 STANDALONE STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
a) Equity Share Capital (Refer Note No. 20) Reserves & Surplus Items of Other Comprehensive Income Total
Balance as at 1st April, 2018 77.01 Capital Debenture General Retained Debt Equity Revaluation
Add/(Less) : Changes in Equity Share Capital during the year – Particulars Reserve Redemption Reserve Earnings Instrument Instrument Surplus
Reserve through Other through Other
Balance as at 31st March, 2019 77.01 Comprehensive Comprehensive
Add/(Less) : Changes in Equity Share Capital during the year – Income Income
Balance as at 1st April, 2018 1.05 83.00 2,580.05 346.96 (0.55) 220.54 820.39 4,051.44
Balance as at 31st March, 2020 77.01
Profit for the Year – – – 137.78 – – – 137.78
Remeasurement Gain/(Loss) – – – 0.77 – – – 0.77
b) Other Equity (Refer Note No. 21)
Mark to Market Gain/(Loss) – – – – (0.24) 19.24 – 19.00
Reserves & Surplus Items of Other Comprehensive Income Total
Impact of Tax – – – (0.27) (0.16) – 0.74 0.31
Capital Debenture General Retained Debt Equity Revaluation
Reserve Redemption Reserve Earnings Instrument Instrument Surplus Total Comprehensive Income – – – 138.28 (0.40) 19.24 0.74 157.86
Particulars
Reserve through Other through Other Final Dividends Paid (` 6.50 per share) – – – (50.05) – – – (50.05)
Comprehensive Comprehensive
Income Income Dividend Distribution Tax on Final – – – (10.29) – – – (10.29)
Dividend
Balance as at 1st April, 2019 1.05 104.42 2,630.05 353.48 (0.95) 239.78 821.13 4,148.96
Transfer to Debenture Redemption – 21.42 – (21.42) – – – –
Profit for the Year – – – 315.84 – – – 315.84 Reserve
Remeasurement Gain/(Loss) – – – (10.09) – – – (10.09) Transfer to General Reserve – – 50.00 (50.00) – – – –
Mark to Market Gain/(Loss) – – – – 0.44 (118.04) – (117.60) Total Appropriations/Adjustments - 21.42 50.00 (131.76) – – – (60.34)
Balance as at 31st March, 2019 1.05 104.42 2,630.05 353.48 (0.95) 239.78 821.13 4,148.96
Impact of Tax – – – 3.53 (0.16) – 1.06 4.43
Transition Impact of Ind AS 116 - – – – (0.57) – – – (0.57)
Leases (Refer Note No. 45) The Notes are an integral part of the Standalone Financial Statements.
Impact of Tax there on – – – 0.05 – – – 0.05 As per our annexed Report of even date For and on behalf of the Board of Directors
For V. SANKAR AIYAR & CO.
Total Comprehensive Income - - - 308.76 0.28 (118.04) 1.06 192.06 Chartered Accountants ADITYA SARAOGI HARSH V. LODHA
Firm Registration No. 109208W Chief Financial Officer Chairman
Final Dividends Paid (` 7.50 per share) – – – (57.75) – – – (57.75) (DIN : 00394094)
(Refer Note No. 41.2) M. S. BALACHANDRAN
Dividend Distribution Tax on Final – – – (11.87) – – – (11.87) Partner GIRISH SHARMA PRACHETA MAJUMDAR
Membership No. 024282 Joint President (Indirect Taxes) Wholetime Director
Dividend (Refer Note No. 41.2) & Company Secretary & Chief Executive Officer
Transfer to Debenture Redemption – 17.67 – (17.67) – – – – (DIN : 00179118)
Reserve New Delhi Kolkata
Transfer to General Reserve – (37.50) 37.50 – – – – – Date: 22nd May, 2020 Date: 22nd May, 2020
Total Appropriations/Adjustments – (19.83) 37.50 (87.29) – – – (69.62)
Balance as at 31st March, 2020 1.05 84.59 2,667.55 574.95 (0.67) 121.74 822.19 4,271.40

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NOTES TO STANDALONE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2020
1 CORPORATE AND GENERAL INFORMATION 3 SIGNIFICANT ACCOUNTING POLICIES
Birla Corporation Limited is the flagship company of the M. P. Birla Group. The Company is a Public Limited Listed Company domiciled and A summary of the significant accounting policies applied in the preparation of the standalone financial statements are as given below. These
incorporated in India having its registered office at Kolkata, West Bengal, India. It was incorporated as per the provisions of the Companies Act as accounting policies have been applied consistently to all the periods presented in the financial statements.
Birla Jute Manufacturing Company Limited in the year 1919. The Company is primarily engaged in the manufacturing of cement as its core business 3.1 Inventories
activity. It has significant presence in the jute industry as well.
Inventories are valued at Cost or Net Realizable Value, whichever is lower. Cost comprise of all costs of purchase (Net of Input Tax Credit), costs of
2 BASIS OF PREPARATION conversion and other costs incurred in bringing the inventories to their present location and condition. Cost is determined on weighted average
2.1 Statement of Compliance basis. Net Realizable Value is the estimated selling price in the ordinary course of business less estimated cost of completion and the estimated cost
necessary to make the sale. However, materials and other items held for use in the production of inventories are not written down below cost if the
These standalone financial statements (“the financial statements”) have been prepared in accordance with the Indian Accounting Standards (“Ind
finished products in which they will be incorporated are expected to be sold at or above cost.
AS”) as prescribed under Section 133 of the Companies Act, 2013 (“the Act”), read with the Companies (Indian Accounting Standards) Rules, 2015
(as amended), other relevant provisions of the Act and other accounting principles generally accepted in India. 3.2 Cash and Cash Equivalents

The financial statements of the Company for the year ended 31st March, 2020 have been approved by the Board of Directors in their meeting held Cash and cash equivalents in the Balance Sheet comprise cash in hand, balance with Banksand short term deposits with an original maturity of three
on 22nd May, 2020. months or less, which are subject to an insignificant risk of change in value. However, for the purpose of the Cash Flow Statement the same is net of
outstanding bank overdrafts.
2.2 Basis of Measurement
3.3 Income Tax
The financial statements have been prepared on historical cost basis, except for following:
Income Tax comprises current and deferred tax. It is recognized in the Statement of Profit and Loss except to the extent that it relates to an item
Financial Assets and Liabilities (including Derivative Instruments) that is measured at fair value / amortised cost;
recognized directly in equity or in other comprehensive income.
Non-Current Assets classified as Held for Sale - measured at the lower of the carrying amounts and fair value less cost to sell;
3.3.1 Current Tax
Defined Benefit Plans - plan assets measured at fair value;
Current tax liabilities (or assets) for the current and prior periods are measured at the amount expected to be paid to (recovered from) the taxation
Biological Assets - At fair value less cost to sell; and
authorities using the tax rates (and tax laws) that have been enacted or substantively enacted, at the end of the reporting period.
Freehold Land falling under Property, Plant & Equipment that is measured at fair value.
3.3.2 Deferred Tax
2.3 Functional and Presentation Currency
Deferred tax assets and liabilities shall be measured at the tax rates that are expected to apply to the period when the asset is realized or the
The financial statements have been presented in Indian Rupees (INR or `), which is also the Company’s functional currency. All financial information
liability is settled based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period.
presented in INR has been rounded off to the nearest Crores, unless otherwise stated. Wherever the amount represented ` “0.00” (Zero) construes
value less than Rupees fifty thousand. Deferred tax is recognized in respect of temporary differences between the carrying amounts of assets and liabilities for financial reporting
purposes and the corresponding amounts used for taxation purposes (i.e., tax base). Deferred tax is also recognized for carry forward of
2.4 Use of Estimates and Judgements unused tax losses and unused tax credits.
The preparation of financial statements require judgements, estimates and assumptions to be made that affect the reported amount of assets Deferred tax assets are recognized to the extent that it is probable that taxable profit will be available against which the deductible temporary
and liabilities including contingent liabilities on the date of the financial statements and the reported amount of revenues and expenses during differences, and the carry forward of unused tax credits and unused tax losses can be utilized.
the reporting period. Difference between actual results and estimates are recognized in the period prospectively in which the results are known/
The carrying amount of deferred tax assets is reviewed at the end of each reporting period. The Company reduces the carrying amount of a
materialized.
deferred tax asset to the extent that it is no longer probable that sufficient taxable profit will be available to allow the benefit of part or that
2.5 Current versus Non-Current classification entire deferred tax asset to be utilized. Any such reduction is reversed to the extent that it becomes probable that sufficient taxable profit will
The Company presents assets and liabilities in the Balance Sheet based on current/ non-current classification. An asset is classified as current when it is: be available.

Expected to be realized or intended to be sold or consumed in normal operating cycle; Deferred tax relating to items recognized outside the Statement of Profit and Loss is recognized either in other comprehensive income or
in equity. Deferred tax items are recognized in correlation to the underlying transaction either in other comprehensive income or directly in
Held primarily for the purpose of trading;
equity.
Expected to be realized within twelve months after the reporting period; or Deferred tax assets and liabilities are offset when there is a legally enforceable right to set off current tax assets against current tax liabilities
Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months after the reporting and when they relate to income taxes levied by the same taxation authority and the Company intends to settle its current tax assets and
period. liabilities on a net basis.
All the other assets are classified as non-current. 3.4 Property, Plant and Equipment
A liability is current when: 3.4.1 Recognition and Measurement
It is expected to be settled in normal operating cycle; Property, plant and equipment held for use in the production or/and supply of goods or services, or for administrative purposes, are stated
It is held primarily for the purpose of trading; in the Balance Sheet at cost, less accumulated depreciation and accumulated impairment losses (if any) except freehold land where the
It is due to be settled within twelve months after the reporting period; or Company had opted revaluation model, (Refer Note No.5.2).

There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period. Cost of an item of property, plant and equipment acquired comprises its purchase price including import duties and non-refundable
purchase taxes, directly attributable borrowing costs,any other directly attributable costs of bringing the assets to its working condition and
The Company classifies all other liabilities as non-current. Deferred Tax Assets and Liabilities are classified as non-current assets and liabilities
location for its intended use, present value of any estimated cost of dismantling and removing the item and restoring the site on which it is
respectively.
located.

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NOTES TO STANDALONE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2020
In case of self-constructed assets, cost includes the costs of all materials used in construction, direct labour, allocation of directly attributable It is probable that the future economic benefits (improved access to an ore body) associated with the stripping activity will flow to the entity;
overheads, directly attributable borrowing costs incurred in bringing the item to working condition for its intended use, and estimated cost The entity can identify the component of an ore body for which access has been improved; and
of dismantling and removing the item and restoring the site on which it is located. The costs of testing whether the asset is functioning
The costs relating to the improved access to that component can be measured reliably.
properly, after deducting the net proceeds from selling items produced while bringing the asset to that location and condition are also added
to the cost of self-constructed assets. The stripping activity asset is subsequently depreciated on a unit of production basis over the life of the identified component of the ore body
that became more accessible as a result of the stripping activity and is then stated at cost less accumulated depreciation and any accumulated
The Company had opted for accounting the exchange differences arising on reporting of long term foreign currency monetary items in line
impairment loss, if any. The expenditure which cannot be specifically identified to have been incurred to access ore is charged to revenue based on
with Companies (Accounting Standards) Amendment Rules 2009 relating to Accounting Standard-11 notified by Government of India on
stripping ratio as per the mining plan.
31st March, 2009 (as amended on 29th December, 2011), which will be continued in accordance with Ind AS 101 for all pre-existing long term
foreign currency monetary items as at 31st March, 2016. Accordingly, exchange differences relating to long term monetary items, arising 3.5 Leases
during the year, in so far as they relate to the acquisition of fixed assets, are adjusted in the carrying amount of such assets. 3.5.1 Determining whether an arrangement contains a lease
If significant parts of an item of property, plant and equipment have different useful lives, then they are accounted for as separate items The determination of whether an arrangement is (or contains) a lease is based on the substance of the arrangement at the inception of the lease.
(major components) of property, plant and equipment. The arrangement is, or contains, a lease if fulfillment of the arrangement is dependent on the use of a specific asset or assets and the arrangement
Profit or loss arising on the disposal of property, plant and equipment are recognized in the Statement of Profit and Loss. conveys a right to use the asset or assets, even if that right is not explicitly specified in an arrangement.

3.4.2 Subsequent Expenditure 3.5.2 Company as lessor

Subsequent costs are included in the asset’s carrying amount, only when it is probable that future economic benefits associated with the cost Finance Lease
incurred will flow to the Company and the cost of the item can be measured reliably. The carrying amount of any component accounted for Leases which effectively transfer to the lessee substantially all the risks and benefits incidental to ownership of the leased item are classified
as a separate asset is derecognized when replaced. and accounted for as finance lease. Lease rental receipts are apportioned between the finance income and capital repayment based on the
Major Inspection/ Repairs/ Overhauling expenses are recognized in the carrying amount of the item of property, plant and equipment implicit rate of return. Contingent rents are recognized as revenue in the period in which they are earned.
as a replacement if the recognition criteria are satisfied. Any unamortized part of the previously recognized expenses of similar nature is Operating Lease
derecognized.
Leases in which the Company does not transfer substantially all the risks and rewards of ownership of an asset are classified as operating
3.4.3 Depreciation and Amortization leases. Rental income from operating leases is recognized on a straight-line basis over the term of the relevant lease except where scheduled
Depreciation on tangible assets is provided on straight line method at the rates determined based on the useful lives of respective assets as increase in rent compensates the Company with expected inflationary costs.
prescribed in the Schedule II of the Act. 3.5.3 Company as Lessee
In case the cost of part of tangible asset is significant to the total cost of the assets and useful life of that part is different from the remaining The Company’s lease asset classes primarily comprise of lease for land and building. The Company assesses whether a contract contains a lease,
useful life of the asset, depreciation has been provided on straight line method based on internal assessment and independent technical at inception of a contract. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of
evaluation carried out by external valuers, which the management believes that the useful lives of the component best represent the period time in exchange for consideration. To assess whether a contract conveys the right to control the use of an identified asset, the Company assesses
over which it expects to use those components. In case of certain components of plant and machineries depreciation has been provided whether: (i) the contract involves the use of an identified asset (ii) the Company has substantially all of the economic benefits from use of the asset
based on the useful life considered at 2-15 years. through the period of the lease and (iii) the Company has the right to direct the use of the asset.
Depreciation and amortization on right of use assets (leasehold land) is provided on straight line method over the period of lease.
The Company applies a single recognition and measurement approach for all leases, except for short-term leases and leases of low-value assets. For
Depreciation on additions (disposals) during the year is provided on a pro-rata basis i.e. from (up to) the date on which asset is ready for use these short-term and low value leases, the Company recognizes the lease payments as an operating expense on a straight-line basis over the term
(disposed off ). of the lease. The Company recognises lease liabilities to make lease payments and right-of-use assets representing the right to use the underlying
Depreciation method, useful lives and residual values are reviewed at each financial year-end and adjusted, if appropriate. assets as below:
3.4.4 Disposal of Assets Right of Use Assets
An item of property, plant and equipment is derecognized upon disposal or when no future economic benefits are expected to arise from the The Company recognises right of use assets at the commencement date of the lease (i.e., the date the underlying asset is available for use).
continued use of the asset. Any gain or loss arising on the disposal or retirement of an item of property, plant and equipment is determined as the Right of use assets are measured at cost, less any accumulated depreciation and impairment loss, if any, and adjusted for any remeasurement
difference between net disposal proceeds and the carrying amount of the asset and is recognized in the Statement of Profit and loss. of lease liabilities. The cost of right of use assets includes the amount of lease liabilities recognised, initial direct costs incurred, and lease
3.4.5 Reclassification to Investment Property payments made at or before the commencement date less any lease incentives received. Right of use assets are depreciated on a straight-line
basis over the shorter of the lease term and the estimated useful lives of the underlying assets.
When the use of a property changes from owner-occupied to investment property, the property is reclassified as investment property at its carrying
amount on the date of reclassification. If ownership of the leased asset transfers to the Company at the end of the lease term or the cost reflects the exercise of a purchase option,
depreciation is calculated using the estimated useful life of the asset. The right of use assets are also subject to impairment. Refer to the
3.4.6 Capital Work-in-Progress
accounting policies in section ‘Impairment of Non-Financial Assets’.
Capital work-in-progress is stated at cost less accumulated impairment loss, if any, which includes expenses incurred during construction period,
Lease Liabilities
interest on amount borrowed for acquisition of qualifying assets and other expenses incurred in connection with project implementation in so far
as such expenses relate to the period prior to the commencement of commercial production. At the commencement date of the lease, the Company recognises lease liabilities measured at the present value of lease payments to be
made over the lease term. The lease payments include fixed payments (including in substance fixed payments) less any lease incentives
3.4.7 Stripping Cost
receivable, variable lease payments that depend on an index or a rate, and amounts expected to be paid under residual value guarantees.
The stripping cost incurred during the production phase of a surface mine is recognized as an asset if such cost provides a benefit in terms of The lease payments also include the exercise price of a purchase option reasonably certain to be exercised by the Company and payments of
improved access to ore in future periods and following criteria are met. penalties for terminating the lease, If any.

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CORPORATION
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NOTES TO STANDALONE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2020
In calculating the present value of lease payments, the Company uses its incremental borrowing rate at the lease commencement date. After 3.7 Employee Benefits
the commencement date, the amount of lease liabilities is increased to reflect the accretion of interest and reduced for the lease payments
3.7.1 Short Term Benefits
made. In addition, the carrying amount of lease liabilities is re-measured if there is a modification, a change in the lease term, a change in the
lease payments (e.g., changes to future payments resulting from a change in an index or rate used to determine such lease payments) or a Short term employee benefit obligations are measured on an undiscounted basis and are expensed as the related services are provided. Liabilities
change in the assessment of an option to purchase the underlying asset. for wages and salaries, including non-monetary benefits that are expected to be settled wholly within twelve months after the end of the period in
which the employees render the related service are recognized in respect of employee’s services up to the end of the reporting period.
The Company’s lease liabilities are included in other current and non-current financial liabilities.
3.7.2 Other Long Term Employee Benefits
Short-term leases and leases of low-value assets
The liabilities for earned leaves and sick leaves that are not expected to be settled wholly within twelve months are measured as the present value
The Company applies the short-term lease recognition exemption to its short-term leases (i.e., those leases that have a lease term of 12
of the expected future payments to be made in respect of services provided by employees up to the end of the reporting period using the projected
months or less from the commencement date and do not contain a purchase option). It also applies the lease of low-value assets recognition
unit credit method. The benefits are discounted using the government securities (G-Sec) rates at the end of the reporting period that have terms
exemption to leases that are considered to be low value. Lease payments on short-term leases and leases of low-value assets are recognised
approximating to the terms of related obligation. Remeasurements as the result of experience adjustment and changes in actuarial assumptions are
as expense on a straight-line basis over the lease term.
recognized in the Statement of Profit and Loss.
“Lease liability” and “Right of Use Asset” have been separately presented in the Balance Sheet and lease payments have been classified as
3.7.3 Post Employment Benefits
financing cash flows.
The Company operates the following post employment schemes:
3.6 Revenue Recognition
Defined Benefit Plans
Effective 1st April, 2018, the Company has adopted Ind AS 115 “Revenue from Contracts with Customers” in respect of recognition of revenue from
contracts with customers which provides a control-based revenue recognition model and a five step application approach for revenue recognition The liability or asset recognized in the Balance Sheet in respect of defined benefit plans is the present value of the defined benefit obligation
as under: at the end of the reporting period less the fair value of plan assets. The Company’s net obligation in respect of defined benefit plans is
calculated separately for each plan by estimating the amount of future benefit that employees have earned in the current and prior periods.
Identification of the contract(s) with customers;
The defined benefit obligation is calculated annually by Actuaries using the projected unit credit method.
Identification of the performance obligations; The liability recognized for defined benefit plans is the present value of the defined benefit obligation at the reporting date less the fair
Determination of the transaction price; value of plan assets, together with adjustments for unrecognized actuarial gains or losses and past service costs. The net interest cost is
Allocation of the transaction price to the performance obligations; calculated by applying the discount rate to the net balance of the defined benefit obligation and the fair value of plan assets. The benefits are
discounted using the government securities (G-Sec) rates at the end of the reporting period that have terms approximating to the terms of
Recognition of the revenue when or as the Company satisfies performance obligation.
related obligation.
Revenue from contracts with customers is recognised when control of the goods or services are transferred to the customer at an amount that
Remeasurements of the net defined benefit obligation, which comprise actuarial gains and losses, the return on plan assets (excluding interest)
reflects the consideration to which the Company expects to be entitled in exchange for those goods or services. Revenue excludes amounts
and the effect of the asset ceiling, are recognized in other comprehensive income. Remeasurement recognized in other comprehensive
collected on behalf of third parties.
income is reflected immediately in retained earnings and will not be reclassified to the Statement of Profit and Loss.
3.6.1 Sale of Goods Defined Contribution Plan
Revenue from the sale of goods is recognized when the Company satisfies a performance obligation at a point in time by transferring the goods to Contributions to defined contribution plans such as provident fund contribution to government administered fund in respect of certain
customers, i.e., when customers obtain control of the goods. Revenue from the sale of goods is measured at fair value of the consideration received employees are charged to the Statement of Profit and Loss as and when incurred. Such benefits are classified as defined contribution plans
or receivable, net of returns and variable considerations i.e. discounts, rebates, sales claim etc. as the Company does not carry any further obligations, apart from the contributions made on monthly basis.
3.6.2 Variable Consideration Further in respect of other employees, provident fund contributions are made to various non government administered trusts. The interest
If the consideration in a contract includes a variable amount, the Company estimates the amount of consideration to which it will be entitled in rates payable to the members of the trust cannot not be lower than the statutory rate of interest notified by the government. The Company
exchange for transferring the goods to customer. The variable consideration is estimated at contract inception and constrained untilit is highly has an obligation to make good the shortfall in the interest amount, if any. In view of the Company’s obligation to meet the shortfall, the same
probable that a significant revenue reversal in the amount of cumulative revenue recognized will not occur when the associated uncertainty with has been considered as the defined benefit plan. The expenses on account of provident fund maintained by the trusts are based on actuarial
the variable consideration is subsequently resolved. valuation using projected unit credit method.

The Company provides volume rebates to certain customers once the quantity of products purchased during the period exceeds a threshold 3.7.4 Termination Benefit
specified in the contract. Rebates are offset against amounts payable by the customer. The volume rebates / cash discount give rise to variable Expenditure incurred on Voluntary Retirement Scheme is charged to the Statement of Profit and Loss immediately.
consideration. To estimate the variable consideration for the expected future rebates / cash discount, the Company applies the most likely amount 3.8 Government Grants
method for contracts with a single volume threshold and the expected value method for contracts with more than one volume threshold that best
Government grants are recognized at their fair values when there is reasonable assurance that the grants will be received and the Company will
predicts the amount of variable consideration.
comply with all the attached conditions. When the grant relates to an expense item, it is recognized as income on a systematic basis over the
3.6.3 Interest Income periods that the related costs, for which it is intended to compensate, are expensed. Grants related to purchase of property, plant and equipment
For all debt instruments measured either at amortized cost or at fair value through other comprehensive income (FVTOCI), interest income is record- are included in non-current liabilities as deferred income and are credited to the Statement of Profit and Loss on a straight line basis over the
ed using the effective interest rate (EIR). EIR is the rate that exactly discounts the estimated future cash receipts over the expected life of the financial expected useful life of the related asset and presented within other operating revenue or netted off against the related expenses.
instrument or a shorter period, where appropriate, to the gross carrying amount of the financial asset. 3.9 Foreign Currency Transactions
3.6.4 Dividend Income Foreign currency transactions are translated into the functional currency using the spot rates of exchanges at the dates of the transactions.
Dividend Income from investments is recognized when the Company’s right to receive payment has been established. Monetary assets and liabilities denominated in foreign currencies are translated at the functional currency spot rate of exchanges at the
reporting date.

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CORPORATION
LIMITED

NOTES TO STANDALONE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2020
Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation of monetary assets and Measured at FVTOCI : A debt instrument is measured at the FVTOCI if both the following conditions are met:
liabilities are generally recognized in the Statement of Profit and Loss in the year in which they arise except for exchange differences on foreign
The objective of the business model is achieved by both collecting contractual cash flows and selling the financial assets; and
currency borrowings relating to assets under construction for future productive use, which are included in the cost of those qualifying assets
when they are regarded as an adjustment to interest costs on those foreign currency borrowings, the balance is presented in the Statement The asset’s contractual cash flows represent SPPI.
of Profit and Loss within finance costs. Debt instruments meeting these criteria are measured initially at fair value plus transaction costs. They are subsequently measured at
Non monetary items are not retranslated at period end and are measured at historical cost (translated using the exchange rate at the fair value with any gains or losses arising on remeasurement recognized in other comprehensive income, except for impairment gains
transaction date). or losses and foreign exchange gains or losses. Interest calculated using the effective interest method is recognized in the Statement of
The Company had opted for accounting the exchange differences arising on reporting of long term foreign currency monetary items in line Profit and Loss in investment income.
with Companies (Accounting Standards) Amendment Rules 2009 relating to Accounting Standard-11 notified by Government of India on Measured at FVTPL : FVTPL is a residual category for debt instruments. Any debt instrument, which does not meet the criteria for
31st March, 2009 (as amended on 29th December, 2011), which will be continued in accordance with Ind AS 101 for all pre-existing long term categorization as at amortized cost or as FVTOCI, is classified as FVTPL. In addition, the Company may elect to designate a debt
foreign currency monetary items as at 31st March, 2016. Accordingly, exchange differences relating to long term monetary items, arising instrument, which otherwise meets amortized cost or FVTOCI criteria, as at FVTPL. Debt instruments included within the FVTPL category
during the year, in so far as they relate to the acquisition of fixed assets, are adjusted in the carrying amount of such assets. are measured at fair value with all changes recognized in the Statement of Profit and Loss.
3.10 Borrowing Cost Equity Instruments measured at FVTOCI : All equity investments in scope of Ind AS 109 are measured at fair value. Equity instruments
Borrowing Costs consists of interest and other costs that an entity incurs in connection with the borrowings of funds. Borrowing costs also which are, held for trading are classified as at FVTPL. For all other equity instruments, the Company may make an irrevocable election to
includes exchange difference to the extent regarded as an adjustment to the borrowing costs. present in other comprehensive income subsequent changes in the fair value. The Company makes such election on an instrument-by-
Borrowing costs directly attributable to the acquisition or construction of a qualifying asset are capitalized as a part of the cost of that asset instrument basis. The classification is made on initial recognition and is irrevocable. In case the Company decides to classify an equity
that necessarily takes a substantial period of time to complete and prepare the asset for its intended use or sale. The Company considers a instrument as at FVTOCI, then all fair value changes on the instrument, excluding dividends, are recognized in the other comprehensive
period of twelve months or more as a substantial period of time. income. There is no recycling of the amounts from other comprehensive income to the Statement of Profit and Loss, even on sale of
investment.
Transaction costs in respect of long term borrowing are amortized over the tenure of respective loans using Effective Interest Rate (EIR)
method. All other borrowing costs are recognized in the Statement of Profit and Loss in the period in which they are incurred. Derecognition
3.11 Interest in Subsidiaries and Associates The Company derecognizes a financial asset on trade date only when the contractual rights to the cash flows from the asset expire, or when
Investments in subsidiaries and associates are carried at cost less accumulated impairment losses, if any. Where an indication of impairment exists, it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another entity.
the carrying amount of the investment is assessed and written down immediately to its recoverable amount. On disposal of investments in sub- Impairment of Financial Assets
sidiaries or the loss of significant influence over associates, the difference between net disposal proceeds and the carrying amounts are recognized
in the Statement of Profit and Loss. The Company assesses at each date of Balance Sheet whether a financial asset or a group of financial assets is impaired. Ind AS 109 requires
expected credit losses to be measured through a loss allowance. The Company recognizes lifetime expected credit losses for all contract
3.12 Financial Instruments
assets and/ or all trade receivables that do not constitute a financing transaction. For all other financial assets, expected credit losses are
A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity.. measured at an amount equal to the 12 month expected credit losses or at an amount equal to the life time expected credit losses if the credit
3.12.1 Financial Assets risk on the financial asset has increased significantly since initial recognition.

Recognition and Initial Measurement: 3.12.2 Financial Liabilities

All financial assets are initially recognized when the Company becomes a party to the contractual provisions of the instruments. A financial Recognition and Initial Measurement :
asset is initially measured at fair value plus, in the case of financial assets not recorded at fair value through profit or loss, transaction costs
Financial liabilities are classified, at initial recognition, as at fair value through profit or loss, loans and borrowings, payables or as derivatives,
that are attributable to the acquisition of the financial asset.
as appropriate. All financial liabilities are recognized initially at fair value and, in the case of loans and borrowings and payables, net of directly
Classification and Subsequent Measurement: attributable transaction costs.
For purposes of subsequent measurement, financial assets are classified in four categories: Subsequent Measurement :
Measured at Amortized Cost;
Financial liabilities are measured subsequently at amortized cost or FVTPL. A financial liability is classified as FVTPL if it is classified as held-
Measured at Fair Value Through Other Comprehensive Income (FVTOCI); for-trading, or it is a derivative or it is designated as such on initial recognition. Financial liabilities at FVTPL are measured at fair value and
Measured at Fair Value Through Profit or Loss (FVTPL); and net gains and losses, including any interest expense, are recognized in the Statement of Profit and Loss. Other financial liabilities including
Equity Instruments measured at Fair Value Through Other Comprehensive Income (FVTOCI). borrowings and payables are subsequently measured at amortized cost using the effective interest rate method. Interest expense and
foreign exchange gains and losses are recognized in the Statement of Profit and Loss. Any gain or loss on derecognition is also recognized in
Financial assets are not reclassified subsequent to their initial recognition, except if and in the period the Company changes its business
the Statement of Profit and Loss.
model for managing financial assets.
Measured at Amortized Cost : A debt instrument is measured at the amortized cost if both the following conditions are met: Financial Guarantee Contracts :

The asset is held within a business model whose objective is achieved by both collecting contractual cash flows; and Financial guarantee contracts issued by the Company are those contracts that require a payment to be made to reimburse the holder
for a loss it incurs because the specified debtor fails to make a payment when due in accordance with the terms of a debt instrument.
The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and
Financial guarantee contracts are recognized initially as a liability at fair value, adjusted for transaction costs that are directly attributable
interest (SPPI) on the principal amount outstanding.
to the issuance of the guarantee. Subsequently, the liability is measured at the higher of the amount of loss allowance determined as per
After initial measurement, such financial assets are subsequently measured at amortized cost using the effective interest rate (EIR)
impairment requirement of Ind AS 109 and the amount recognized less cumulative amortization.
method.

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NOTES TO STANDALONE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2020
Derecognition : 3.15 Intangible Assets
A financial liability is derecognized when the obligation under the liability is discharged or cancelled or expires. 3.15.1 Recognition and Measurement

Offsetting financial instruments : [Link] Mining Rights

Financial assets and liabilities are offset and the net amount reported in the Balance Sheet when there is a legally enforceable right to offset Mining Rights are initially recognized at cost and subsequently at cost less accumulated amortization and accumulated impairment loss, if any.
the recognized amounts and there is an intention to settle on a net basis or realize the asset and settle the liability simultaneously. The legally Acquisition Cost i.e., cost associated with acquisition of licenses, and rights to explore including related professional fees, payment towards
enforceable right must not be contingent on future events and must be enforceable in the normal course of business and in the event of statutory forestry clearances, as and when incurred, are treated as addition to the Mining Right.
default, insolvency or bankruptcy of the counterparty.
[Link] Other Intangible Assets
3.12.3 Derivative financial instruments
Software which is not an integral part of related hardware, is treated as intangible asset and stated at cost on initial recognition and subsequently
The Company enters into derivative financial instruments viz. foreign exchange forward contracts, interest rate swaps and cross currency swaps to measured at cost less accumulated amortization and accumulated impairment loss, if any.
manage its exposure to interest rate and foreign exchange rate risks. The Company does not hold derivative financial instruments for speculative
3.15.2 Subsequent Expenditure
purposes.
Subsequent costs are included in the asset’s carrying amount, only when it is probable that future economic benefits associated with the cost
Derivatives are initially recognized at fair value at the date the derivative contracts are entered into and are subsequently remeasured to their fair
incurred will flow to the Company and the cost of the item can be measured reliably. All other expenditure is recognized in the Statement of Profit
value at the end of each reporting period. The resulting gain or loss is recognized in profit or loss immediately.
and Loss.
3.13 Impairment of Non-Financial Assets
3.15.3 Amortization
The Company assesses, at each reporting date, whether there is an indication that an asset may be impaired. An asset is treated as impaired
when the carrying cost of the asset exceeds its recoverable value being higher of value in use and net selling price. Value in use is computed Mining Rights are amortized on the basis of annual production to the total estimated mineable reserves. In case the mining rights are not
at net present value of cash flow expected over the balance useful lives of the assets. For the purpose of assessing impairment, assets are renewed, the balance related cost will be charged to revenue in the year of decision of non-renewal.
grouped at the lowest levels for which there are separately identifiable cash inflows which are largely independent of the cash inflows from Other Intangible assets are amortized over a period of three years.
other assets or group of assets (Cash Generating Units - CGU).
The amortization period and the amortization method are reviewed at least at the end of each financial year. If the expected useful life of the
An impairment loss is recognized as an expense in the Statement of Profit and Loss in the year in which an asset is identified as impaired. The assets is significantly different from previous estimates, the amortization period is changed accordingly.
impairment loss recognized in earlier accounting period is reversed if there has been an improvement in recoverable amount.
3.15.4 Intangible Assets under Development
3.14 Provisions, Contingent Liabilities and Contingent Assets
Intangible Assets under development is stated at cost less accumulated impairment losses (if any). Cost includes expenses incurred in connection
3.14.1 Provisions with development of Intangible Assets in so far as such expenses relate to the period prior to the getting the assets ready for use.
Provisions are recognized when there is a present obligation (legal or constructive) as a result of a past event and it is probable that an outflow of 3.16 Investment properties
resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obli-
gation. Provisions are determined by discounting the expected future cash flows (representing the best estimate of the expenditure required to Investment Property is property (comprising land or building or both) held to earn rental income or for capital appreciation or both, but not
settle the present obligation at the Balance Sheet date) at a pre-tax rate that reflects current market assessments of the time value of money and for sale in ordinary course of business, use in the production or supply of goods or services or for administrative purposes.
the risks specific to the liability. The unwinding of the discount is recognized as finance cost. Upon initial recognition, an investment property is measured at cost. Subsequently they are stated in the Balance Sheet at cost, less accumu-
Restoration (including Mine closure), rehabilitation and decommissioning : lated depreciation and accumulated impairment losses, if any.

It includes the dismantling and demolition of infrastructure, the removal of residual materials and the remediation of disturbed areas for Any gain or loss on disposal of investment property is determined as the difference between net disposal proceeds and the carrying amount
mines. This provision is based on all regulatory requirements and related estimated cost based on best available information. Restoration/ of the property and is recognized in the Statement of Profit and Loss.
Rehabilitation / Decommissioning costs are provided for in the accounting period when the obligation arises based on the net present value The depreciable investment property i.e., buildings, are depreciated on a straight line method at a rate determined based on the useful life
of the estimated future costs of restoration to be incurredand are reviewed at each Balance Sheet date. as provided under Schedule II of the Act.
Onerous Contracts : Investment properties are derecognized either when they have been disposed of or when they are permanently withdrawn from the use and
Present obligations arising under onerous contracts are recognized and measured as provisions. An onerous contract is considered to exist when no future economic benefit is expected from their disposal. The net difference between the net disposal proceeds and the carrying amount
a contract under which the unavoidable costs of meeting the obligations exceed the economic benefits expected to be received from it. of the asset is recognized in the Statement of Profit and Loss in the period of derecognition.

3.14.2 Contingent Liabilities 3.17 Biological Assets other than Bearer Plants

Contingent liability is a possible obligation arising from past events and the existence of which will be confirmed only by the occurrence or non- Biological Assets other than Bearer Plants are recognized when the Company controls the asset as a result of past events and it is probable
occurrence of one or more uncertain future events not wholly within the control of the Company or a present obligation that arises from past that future economic benefits associated with the asset will flow to the entity and the fair value or cost of the asset can be measured reliably. A
events but is not recognized because it is not possible that an outflow of resources embodying economic benefit will be required to settle the Biological Asset other than Bearer Plants is measured on initial recognition and at the end of each reporting period at its fair value less cost to sell.
obligations or reliable estimate of the amount of the obligations cannot be made. The Company discloses the existence of contingent liabilities in 3.18 Non-current assets (or disposal groups) held for sale and discontinued operations
Other Notes to financial statements.
Non-current assets (or disposal groups) are classified as held for sale if their carrying amount will be recovered principally through a sale
3.14.3 Contingent Assets
transaction rather than through continuing use and a sale is considered highly probable. They are measured at the lower of the carrying
Contingent assets are not recognised in Financial Statements since this may result in the recognition of income that may never be realised. amount and the fair value less cost to sell.
However, when the realisation of income is virtually certain, then the related asset is not a contingent asset and is recognised.

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NOTES TO STANDALONE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2020
An impairment loss is recognized for any initial or subsequent write-down of the asset (or disposal group) to fair value less costs to sell. A gain Useful lives of depreciable/ amortisable assets (tangible and intangible): Management reviews its estimate of the useful lives of
is recognized for any subsequent increases in fair value less costs to sell of an asset (or disposal group), but not in excess of any cumulative depreciable/ amortisable assets at each reporting date, based on the expected utility of the assets. Uncertainties in these estimates relate to
impairment loss previously recognized. A gain or loss not previously recognized by the date of the sale of the non-current asset (or disposal actual normal wear and tear that may change the utility of plant and equipment.
group) is recognized at the date of de-recognition.
Leases: The Company determines the lease term as the non-cancellable term of the lease, together with any periods covered by an option
Non-current assets (including those that are part of a disposal group) are not depreciated or amortized while they are classified as held for to extend the lease if it is reasonably certain to be exercised, or any periods covered by an option to terminate the lease, if it is reasonably
sale. Non-current assets (or disposal group) classified as held for sale are presented separately in the Balance Sheet. Any profit or loss arising certain not to be exercised. The Company has several lease contracts that include extension and termination options. The Company applies
from the sale or remeasurement of discontinued operations is presented as part of a single line item in Statement of Profit and Loss judgement in evaluating whether it is reasonably certain whether or not to exercise the option to renew or terminate the lease. That is, it
considers all relevant factors that create an economic incentive for it to exercise either the renewal or termination. After the commencement
3.19 Operating Segment
date, the Company reassesses the lease term if there is a significant event or change in circumstances that is within its control and affects
The identification of operating segment is consistent with performance assessment and resource allocation by the chief operating decision maker. its ability to exercise or not to exercise the option to renew or to terminate (e.g., construction of significant leasehold improvements or
An operating segment is a component of the Company that engages in business activities from which it may earn revenues and incur expenses significant customisation to the leased asset).
including revenues and expenses that relate to transactions with any of the other components of the Company and for which discrete financial
Defined Benefit Obligation (DBO): Employee benefit obligations are measured on the basis of actuarial assumptions which include
information is available. Operating segments of the Company comprises three segments Cement, Jute and Others. All operating segments’
mortality and withdrawal rates as well as assumptions concerning future developments in discount rates, medical cost trends, anticipation of
operating results are reviewed regularly by the chief operating decision maker to make decisions about resources to be allocated to the segments
future salary increases and the inflation rate. The Company considers that the assumptions used to measure its obligations are appropriate.
and assess their performance.
However, any changes in these assumptions may have a material impact on the resulting calculations.
3.20 Measurement of Fair Values
Restoration (including Mine closure), rehabilitation and decommissioning: Estimation of restoration / rehabilitation / decommissioning
A number of the Company’s accounting policies and disclosures require the measurement of fair values, for both financial and non-financial assets costs requires interpretation of scientific and legal data, in addition to assumptions about probability of future costs.
and liabilities.
Provisions and Contingencies: The assessments undertaken in recognising provisions and contingencies have been made in accordance
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at with Indian Accounting Standards (Ind AS) 37, ‘Provisions, Contingent Liabilities and Contingent Assets’. The evaluation of the likelihood of
the measurement date. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes the contingent events is applied best judgement by management regarding the probability of exposure to potential loss.
place either:
Impairment of Financial Assets: The Company reviews its carrying value of investments carried at amortized cost annually, or more
In the principal market for the asset or liability, or frequently when there is indication of impairment. If recoverable amount is less than its carrying amount, the impairment loss is accounted
In the absence of a principal market, in the most advantageous market for the asset or liability. for.

The principal or the most advantageous market must be accessible by the Company. The fair value of an asset or a liability is measured using the Allowances for Doubtful Debts: The Company makes allowances for doubtful debts through appropriate estimations of irrecoverable
assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best amount. The identification of doubtful debts requires use of judgment and estimates. Where the expectation is different from the original
interest. A fair value measurement of a non-financial asset takes into account a market participant’s ability to generate economic benefits by using estimate, such difference will impact the carrying value of the trade and other receivables and doubtful debts expenses in the period in which
the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use. such estimate has been changed.

The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, Fair value measurement of financial Instruments: When the fair values of financial assets and financial liabilities recorded in the Balance
maximising the use of relevant observable inputs and minimising the use of unobservable inputs. Sheet cannot be measured based on quoted prices in active markets, their fair value is measured using valuation techniques including the
Discounted Cash Flow model. The input to these models are taken from observable markets where possible, but where this not feasible, a
All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorised within the fair value hierarchy,
degree of judgement is required in establishing fair values. Judgements include considerations of inputs such as liquidity risk, credit risk and
described as follows, based on the input that is significant to the fair value measurement as a whole:
volatility.
Level 1 - Quoted (unadjusted) market prices in active markets for identical assets or liabilities;
Revenue Recognition: The Company’s contracts with customers include promises to transfer goods to the customers. Judgement is
Level 2 - Inputs other than quoted prices included within Level 1, that are observable for the asset or liability, either directly or indirectly; and required to determine the transaction price for the contract. The transaction price could be either a fixed amount of customer consideration
Level 3 - Inputs which are unobservable inputs for the asset or liability. or variable consideration with elements such as discounts, rebates, etc. The estimated amount of variable consideration is adjusted in the
transaction price only to the extent that it is highly probable that a significant reversal in the amount of cumulative revenue recognised will
External valuers are involved for valuation of significant assets and liabilities. Involvement of external valuers is decided by the management of
not occur and is reassessed at the end of each reporting period. Estimates of discounts and rebates are sensitive to changes in circumstances
the company considering the requirements of Ind AS and selection criteria include market knowledge, reputation, independence and whether
and the Company’s past experience regarding returns, discount and rebate entitlements and may not be representative of customers’ actual
professional standards are maintained.
returns, discount and rebate entitlements in the future.
3.21 Standard Issued/amended but not yet effective
There is no standard that is issued but not yet effective on March 31, 2020.
4. Significant Judgements and Key sources of Estimation in applying Accounting Policies
Information about Significant judgements and Key sources of estimation made in applying accounting policies that have the most significant
effects on the amounts recognized in the financial statements is included in the following notes:
Recognition of Deferred Tax Assets: The extent to which deferred tax assets can be recognized is based on an assessment of the probability
of the Company’s future taxable income against which the deferred tax assets can be utilized. In addition, significant judgement is required
in assessing the impact of any legal or economic limits.

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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020

5 PROPERTY, PLANT AND EQUIPMENT (` in Crores) 5.4 Other Adjustments also include finance costs capitalized during the year on the qualifying assets as required by Ind AS 23 Borrowing Costs amounting
to ₹ 0.07 Crore (Previous Year ₹ 1.67 Crores), (Refer Note No. 35).
Year Ended 31st March, 2020
Gross Carrying Amount Accumulated Depreciation Net 5.5 Other Adjustments related to Plant & Machinery represents Gross carrying Amount of ₹ 2.09 Crores (Previous Year ₹ Nil) and Accumulated Depreciation
Carrying thereon of ₹ 0.61 Crore (Previous Year ₹ Nil) related to the assets transfer to "Non-Current Assets classified as Held for Sale", (Refer Note No. 19).
Amount
Particulars As at Reclassified Transition Additions Transfer Disposals Re- Other As at As at Reclassified Charged Transfer Deductions Other As at As at 5.6 The net block of Leasehold Land of ₹ 0.53 Crore (Gross Block of ₹ 0.57 Crore and Accumulated Depreciation of ₹ 0.04 Crore) has been reclassified to
1st April, on adoption impact on valuation Adjust- 31st 1st April, on adoption during the Adjust- 31st 31st March,
2019 of Ind AS adoption of ments March, 2019 of Ind AS year ments March, 2020
"Right of Use Assets" on account of adoption of Ind AS 116 "Leases".
116 "leases" Ind AS 116 2020 116 "leases" 2020 5.7 Right of Use Assets includes "Leasehold Land" represents land obtained on long term lease from various Government and other authorities.
"Leases"
Leasehold Land 5.8 Refer Note No. 42 for disclosure of contractual commitments for the acquisition of Property, Plant and Equipment.
(Refer Note No. 5.6) 0.57 (0.57) - - - - - - - 0.04 (0.04) - - - - - -
Freehold Land (Refer Note 5.9 Refer Note No. 43 for information on Property, Plant and Equipment pledged as securities by the Company.
No. 5.1 to 5.2) 1,156.05 - - 5.28 - - - - 1,161.33 - - - - - - - 1,161.33
Sub-Total 1,156.62 (0.57) - 5.28 - - - - 1,161.33 0.04 (0.04) - - - - - 1,161.33 6 INVESTMENT PROPERTY
Buildings
(Refer Note No. 5.1) 223.93 - - 7.06 - - - - 230.99 31.44 - 8.67 - - - 40.11 190.88 (` in Crores)
Plant and Machinery
(Refer Note No. 5.5) 2,208.62 - - 88.90 - 4.24 - (2.09) 2,291.19 522.17 - 127.54 - 3.34 (0.61) 645.76 1,645.43
Year ended Year ended
Particulars 31st March, 2020 31st March, 2019
Furniture and Fittings 7.58 - - 0.56 - 0.01 - - 8.13 3.10 - 0.84 - 0.01 - 3.93 4.20
Vehicles 21.39 - - 2.70 - 0.64 - - 23.45 8.51 - 2.49 - 0.58 - 10.42 13.03 Gross Carrying Amount
Office Equipments 22.88 - - 3.13 - 0.13 - - 25.88 12.39 - 3.31 - 0.11 - 15.59 10.29
Railway Sidings 14.90 - - - - - - - 14.90 3.90 - 1.19 - - - 5.09 9.81 Opening Gross Carrying Amount 0.19 0.19
Right of Use Assets
(Refer Note No. 45) Additions – –
- Leasehold Land - 0.53 8.80 - - - - - 9.33 - - 0.31 - - - 0.31 9.02
Disposals – –
Total 3,655.92 (0.04) 8.80 107.63 - 5.02 - (2.09) 3,765.20 581.55 (0.04) 144.35 - 4.04 (0.61) 721.21 3,043.99
Capital Work-In-Progress 54.99 - - 137.99 46.06 - - 0.07 146.99 - - - - - - - 146.99 Other Adjustments – –
Closing Gross Carrying Amount 0.19 0.19
Year Ended 31st March, 2019
Gross Carrying Amount Accumulated Depreciation Net Accumulated Depreciation
Carrying
Particulars Amount
Opening Accumulated Depreciation 0.02 0.01
As at Additions Transfer Disposals Revaluation Other As at As at Charged Transfer Deductions Other As at 31st As at 31st Depreciation charged during the year 0.01 0.01
1st April, Adjust- 31st March, 1st April, during the Adjust- March, March, 2019
2018 ments 2019 2018 year ments 2019 Closing Accumulated Depreciation 0.03 0.02
Leasehold Land 0.57 – – – – – 0.57 0.03 0.01 – – – 0.04 0.53 Net Carrying Amount 0.16 0.17
Freehold Land (Refer Note 1,152.12 3.93 – – – – 1,156.05 – – – – – – 1,156.05
5.1 to 5.2)
6.1 The fair value of the Company’s investment properties as at 31st March, 2020 and 31st March, 2019 are ₹ 25.09 Crores and ₹ 24.19 Crores respectively.
Sub-Total 1,152.69 3.93 – – – – 1,156.62 0.03 0.01 – – – 0.04 1,156.58
The fair value has been arrived on the basis of valuation performed by independent valuers, who are specialist in valuing these types of investment
Buildings (Refer note 5.1) 205.26 19.15 – 0.71 – 0.23 223.93 22.94 8.62 – 0.12 – 31.44 192.49
Plant and Machinery 2,064.99 146.28 – 8.56 – 5.91 2,208.62 393.52 129.63 – 0.98 – 522.17 1,686.45
properties, having appropriate qualifications and recent experience in the valuation of properties in relevant locations.
Furniture and Fittings 7.18 0.42 – 0.02 – – 7.58 2.29 0.82 – 0.01 – 3.10 4.48 6.2 The fair valuation is based on current prices in the active market for similar properties and rental income of similar type of property in the same
Vehicles 18.50 3.47 – 0.60 – 0.02 21.39 6.60 2.29 – 0.38 – 8.51 12.88 locality. The main inputs used are quantum, area, location, demand, restrictive entry to the land and building, age of the building and trend of fair
Office Equipments 17.32 5.68 – 0.12 – – 22.88 9.07 3.39 – 0.07 – 12.39 10.49
market rent in the locality. This valuation is based on valuations performed by accredited independent valuers. Fair valuation is based on depreciated
Railway Sidings 13.02 1.83 – – – 0.05 14.90 2.76 1.14 – – – 3.90 11.00
open market price method and rental method. The fair value measurement is categorized in level 3 fair value hierarchy.
Total 3,478.96 180.76 – 10.01 – 6.21 3,655.92 437.21 145.90 – 1.56 – 581.55 3,074.37
Capital Work-In-Progress 94.85 30.50 70.45 – – 0.09 54.99 – – – – – – 54.99 6.3 The amounts recognized in Statement of Profit and Loss in relation to the investment properties:
Notes : For the Year ended For the Year ended
Particulars 31st March, 2020 31st March, 2019
5.1 Gross Carrying Amount includes ₹ 1.59 Crores (Previous Year ₹ 1.59 Crores) in Land and ₹ 7.00 Crores (Previous Year ₹ 7.00 Crores) in Building under
Co-ownership basis and also ₹ 0.00 Crore (Previous Year ₹ 0.00 Crore) being value of investments in Shares of a Private Limited Company. Rental Income 0.11 0.14
5.2 In the financial year 2017-18, the Company had adopted revaluation model for one class of assets i.e. Freehold Land and accordingly freehold land Direct Operating Expenses in relation to
was revalued (as on 1st April, 2017) on the basis of valuation report made by independent valuers. Carrying amount as on 1st Apri, 2019 includes – Properties generating rental income 0.32 0.28
revaluation surplus of ₹ 1,054.56 Crores. In the opinion of the management, as there is no significant change in the fair value indicators, no fair
valuation is done as on 31st March, 2020. 6.4 The Company has no restriction on the realisability of it’s investment properties or the remittance of income and proceeds of disposal. There is no
The fair valuation was based on current prices in the active market for similar properties. The main inputs used were quantum, area, location, demand, contractual obligations to purchase, construct or develop investment property or for repairs, maintenance or enhancements.
restrictive entry to the land. This valuation was based on valuations performed by accredited independent valuers. Fair valuation was based on
depreciated open market price method. The fair value measurement was categorized in level 2 fair value hierarchy.
5.3 Other Adjustments include adjustment on account of foreign exchange differences pursuant to using the optional exemption available under Para
D13AA of Ind AS 101 "First Time Adoption" for continuing with the policy adopted for accounting for exchange difference on the Long Term Foreign
Exchange Monetary Items recognized under previous GAAP as described in Note No. 37.2 to the financial statement. Accordingly, the amount
capitalized during the year with the Property, Plant and Equipment amounts to ₹ Nil (Previous Year capitalized ₹ 3.78 Crores).

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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
7 INTANGIBLE ASSETS (` in Crores) 9 INVESTMENT IN SUBSIDIARIES (` in Crores)
Year Ended 31st March, 2020 Refer Note Face Value of As at 31st March, 2020 As at 31st March, 2019
Gross Carrying Amount Accumulated Amortisation Net Particulars No. ` 10 each unless
Qty. Amount Qty. Amount
Carrying otherwise stated
Particulars Amount EQUITY INVESTMENTS VALUED AT COST
As at Additions Disposals / Other As at As at Charged Deductions Other As at As at UNQUOTED (FULLY PAID UP)
1st April, Transfer Adjustments 31st March, 1st April, during the Adjustments 31st March, 31st March, Investment In Subsidiaries
2019 2020 2019 year 2020 2020 Birla Corporation Cement Mfg PLC 1,000 Birr 1,699 0.45 1,699 0.45
Computer Software 6.49 0.59 – – 7.08 2.96 1.50 – – 4.46 2.62 Less: Impairment 0.45 0.45
Net – –
Mining Rights (includes site 11.92 15.42 – – 27.34 3.58 5.32 – – 8.90 18.44
RCCPL Private Ltd. 10 31,28,22,900 2,272.26 31,28,22,900 2,272.26
preparation)
Talavadi Cements Ltd. 10 58,80,400 5.88 58,80,400 5.88
Total 18.41 16.01 – – 34.42 6.54 6.82 – – 13.36 21.06
Budge Budge Floor Coverings Ltd. 10 40,00,000 2.00 40,00,000 2.00
Intangible Assets under 2.11 15.82 16.01 – 1.92 – – – – – 1.92 Lok Cements Ltd. 10 10,00,700 1.01 10,00,700 1.01
Development Birla Cement (Assam) Ltd. 10 50,000 0.05 50,000 0.05
Birla Jute Supply Co. Ltd. 10 6,000 0.03 6,000 0.03
MP Birla Group Services Pvt. Ltd. 10 20,000 0.02 20,000 0.02
Year Ended 31st March, 2019
TOTAL 2,281.25 2,281.25
Gross Carrying Amount Accumulated Amortisation Net
Aggregate amount of Unquoted Investments 2,281.70 2,281.70
Carrying Aggregate amount of Impairment in value of Investments 0.45 0.45
Particulars Amount
As at Additions Disposals / Other As at As at Charged Deductions Other As at As at 10 NON–CURRENT INVESTMENTS (` in Crores)
1st April, Transfer Adjustments 31st March, 1st April, during the Adjustments 31st March, 31st March,
2018 2019 2018 year 2019 2019 Refer As at 31st March, 2020 As at 31st March, 2019
Face
Computer Software 3.35 3.14 – – 6.49 2.17 0.79 – – 2.96 3.53 Particulars Note Qty. Amount Qty. Amount
Value
No.
Mining Rights (includes site 9.70 2.22 – – 11.92 1.75 1.83 – – 3.58 8.34
preparation) A. DEBT INSTRUMENTS AT AMORTISED COST
Total 13.05 5.36 – – 18.41 3.92 2.62 – – 6.54 11.87 UNQUOTED
Intangible Assets under 2.36 5.11 5.36 – 2.11 – – – – – 2.11 National Savings Certificate 10.1 7,500 1 0.00 1 0.00
Development Sub Total 0.00 0.00

7.1 Refer Note No. 42 for disclosure of contractual commitments for the acquisition of Intangible Assets. TOTAL (A) 0.00 0.00
7.2 Refer Note No. 43 for information on Intangible Assets pledged as securities by the Company. B. INVESTMENTS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME
EQUITY INSTRUMENTS (FULLY PAID UP)
8 BIOLOGICAL ASSETS OTHER THAN BEARER PLANTS QUOTED
Year ended Year ended Century Textiles & Industries Ltd. 10 18,07,660 53.52 18,07,660 168.67
Particulars
31st March, 2020 31st March, 2019 Birla Cables Ltd. 10 53,88,515 17.51 53,88,515 82.79
Opening Balance 0.87 0.92 Universal Cables Ltd. 10 8,00,157 6.73 8,00,157 17.62
Additions/Acquisitions – 0.05 Hindustan Media Ventures Ltd. 10 4,440 0.02 4,440 0.05
Disposals 0.01 – Rameshwara Jute Mills Ltd. 10.2 10 19,133 0.01 19,133 0.01
Fair Value Adjustments (0.04) (0.10) Vindhya Telelinks Ltd. 10 100 0.00 100 0.01
Closing Balance 0.82 0.87 Birla Precision Technologies Ltd. 2 2,121 0.00 2,121 0.00
Zenith Birla (I) Ltd. 10 6,362 0.00 6,362 0.00
8.1 The Company owns bearer biological assets i.e., livestock from which milk is produced. The livestock is maintained by the Company at Satna and
Birlapur. The milk produced from the live stock are internally consumed and not sold commercially. UltraTech Cement Ltd. 10.3 10 2,25,957 73.32 – –
Sub Total 151.11 269.15

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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) 11 LOANS (` in Crores)

Refer As at 31st March, 2020 As at 31st March, 2019 Non Current Current
Face Refer Note
Particulars Note Qty. Amount Qty. Amount Particulars
Value No. As at 31st As at 31st As at 31st As at 31st
No.
March, 2020 March, 2019 March, 2020 March, 2019
UNQUOTED 10.2 Loans & Advances to Related Parties 11.1, 11.2 & 11.3
Birla Buildings Ltd. 10 24,000 0.02 24,000 0.02 Loan Receivables – 2.71 0.07 0.07
Neosym Industry Limited 10 52,000 0.01 52,000 0.01 Less: Provision for Doubtful Receivables – 1.36 0.07 0.07
Lotus Court Ltd. 10 1 0.01 1 0.01 – 1.35 – –
Industry House Ltd. 10 600 0.01 600 0.01 Loans & Advances to Others 11.1, 11.2 & 11.3
Eastern Economist Ltd. 10 400 0.01 400 0.01 Loan Receivables 0.46 0.38 1.11 1.24
Woodlands Multispeciality Hospital Ltd. 10 520 0.00 520 0.00 Less: Provision for Doubtful Receivables – – 0.00 0.00
Twin Star Venus Co–Operative Society Housing Society Ltd. 10 10 0.00 10 0.00 0.46 0.38 1.11 1.24
Elgin Mills Co. Ltd. 10 2,250 0.00 2,250 0.00 Total 0.46 1.73 1.11 1.24
Bally Jute Mills Employees Consumers' Co–operative Stores Limited 10 250 0.00 250 0.00
Gangangiri Park Co–Operative Society Housing Society Ltd. 10 15 0.00 15 0.00 11.1 Break Up of Loans
Craig Jute Mills Ltd. 3 50 0.00 50 0.00 Loan Receivables considered good - Secured – – – –
Sub Total 0.06 0.06 Loan Receivables considered good - Unsecured 0.46 1.73 1.11 1.24
Loan Receivables which have significant increase in Credit Risk – 1.36 0.07 0.07
Investment in Quoted Government Securities Loan Receivables - Credit Impaired – – – –
8.97% GOI 2030 10.4 1,00,00,000 1 1.19 – – 0.46 3.09 1.18 1.31
Sub Total 1.19 – Less: Provision for Doubtful Receivables – 1.36 0.07 0.07
Investments In Quoted Bonds 0.46 1.73 1.11 1.24
9.70% IFCI Ltd. 2030 10,00,000 63 6.25 63 5.95
11.2 No Loans are due from directors or other officers of the Company either severally or jointly with any other person. Nor any Loan due from firms or
9.55% IFCI Ltd. 2025 10,00,000 13 1.39 13 1.25
private companies respectively in which any director is a partner, a director or a member except as disclosed in Note No. 11.3 given below.
Sub Total 7.64 7.20
11.3 Details of loans and advances to related parties as required by Sec. 186 of the Companies Act, 2013 read with SEBI (Listing Obligations Disclosure
TOTAL (B) 160.00 276.41 Requirements) Regulations, 2015:
C. INVESTMENTS AT FAIR VALUE THROUGH PROFIT AND LOSS Balance Outstanding Maximum amount Outstanding
Investment In Preference Shares – Unquoted (Fully paid up) Refer Note As at For the year ended
Particulars
RCCPL Private Ltd. – 10% Redemable Cumulative Preference Shares 100 1,00,00,000 122.50 1,00,00,000 117.48 No. 31st March, 31st March, 31st March, 31st March,
Elgin Mills Co. Ltd. – 5% Preference Shares 10.2 10 100 0.00 100 0.00 2020 2019 2020 2019
Sub Total 122.50 117.48 i. Subsidiary Companies
Lok Cements Ltd. (ii)(a), (c) & (d) – 1.35 2.75 2.71
TOTAL (C) 122.50 117.48 Birla Corporation Cement Manufacturing PLC (ii)(a) & (c) – – 0.07 0.07
TOTAL NON–CURRENT INVESTMENTS 282.50 393.89 Talavadi Cements Ltd. (ii)(b) – – 0.20 0.07
Birla Jute Supply Co. Ltd. (ii)(b) – – 0.00 0.00
Aggregate Book Vaue of Quoted Investments 159.94 276.35 Budge Budge Floorcoverings Ltd. (ii)(b) – – 0.00 0.00
Aggregate Fair Value of Quoted Investments 159.94 276.35 Birla Cement (Assam) Ltd. (ii)(b) – – 0.00 0.00
M. P. Birla Group Services Pvt. Ltd. (ii)(b) – – 0.00 0.00
Aggregate amount of Unquoted Investments 122.56 117.54
ii. Purpose for which the advance was provided
Aggregate amount of Impairment in value of Investments – –
a. Advance given for implementation of Project
Notes : b. Advance given for working capital needs
c. Net of Provision for Doubtful Receivables
10.1 Deposited with Government Department as Security.
d. Company has written off Loan Balance outstanding
10.2 Fair valuation not carried out as amount are not significant. as on 31st March, 2020 of ₹ 2.75 Crores.
10.3 In terms of the Scheme of Demerger of the Cement Divison of Century Textiles & Industries Ltd and acquisition by UltraTech Cement Limited, the iii. For Guarantee refer Note No. 40.3 and for Investments
Company has received 2,25,957 equity shares of ₹ 10/- each of Ultratech Cement Limited without any consideration in ratio of 1:8 for holding in refer Note No. 9, 10, 15 & 59.
Century Textiles & Industries Ltd. The value as on 31st March, 2020 represents Fair Market Value of the Shares.
10.4 Lien marked to the Clearing Corporation of India Limited.

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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
12 OTHERS FINANCIAL ASSETS
14 INVENTORIES
Refer Non Current Current
Particulars Note Refer Note As at 31st As at 31st
As at 31st As at 31st As at 31st As at 31st Particulars
No. No. March, 2020 March, 2019
March, 2020 March, 2019 March, 2020 March, 2019
Security Deposits
(As valued and certified by the Management) 3.1
Unsecured, considered good 59 26.46 26.11 8.61 8.62
26.46 26.11 8.61 8.62 Raw Materials 14.1 100.63 121.01
Incentive and Subsidy Receivable – – 190.94 184.80 Work-In-Progress 14.1 60.74 74.23
Less : Provision for Doubtful Receivables – – 1.44 1.44
Finished Goods 14.1 145.04 86.22
– – 189.50 183.36
Other Deposits and Advances Stock-In-Trade 14.1 0.93 0.15
Unsecured, considered good 12.1 1.64 1.64 5.59 4.30 Stores and Spares 14.1 164.41 154.17
Unsecured, considered doubtful – – 2.01 2.01
1.64 1.64 7.60 6.31 Fuels 105.61 145.22
Less: Provision for Doubtful Advances – – 2.01 2.01 Packing Materials 6.28 7.16
1.64 1.64 5.59 4.30 Total 583.64 588.16
Deposits with Bank having maturity of more than one year from the 12.2
balance sheet date 0.03 0.48 – –
Interest Accrued on Deposits 0.00 0.14 5.57 1.77 14.1 The above includes goods-in-transit as under:
Derivative Contracts (Net) – – 5.49 –
Raw Materials 0.12 7.53
Amount Paid Under Protest 2.37 2.37 – –
Others – – 0.01 – Work-In-Progress 0.55 0.42
2.40 2.99 11.07 1.77 Finished Goods 6.26 10.27
Total 30.50 30.74 214.77 198.05
Stock-In-Trade – 0.15
12.1 No other receivables are due from directors or other officers of the Company either severally or jointly with any other person. Nor any other receivables Stores and Spares 0.30 0.99
are due from firms or private companies respectively in which any director is a partner, a director or a member, except ` Nil (Previous year ` 0.01
Crore) are receivables from a private company in which directors of the Company are directors. Total 7.23 19.36
12.2 Represents deposits marked lien in favour of Govt. Authorities. 14.2 Amount of write down of inventories carried at net realisable value and recognised as expense: ` 0.23 Crore (Previous Year ` 1.15 Crores).
13 OTHER ASSETS 14.3 Refer Note No. 43 for information on amount of inventories pledged as securities by the Company.

Refer Non Current Current

Particulars Note As at 31st As at 31st As at 31st As at 31st
No. March, 2020 March, 2019 March, 2020 March, 2019
Advance against supply of Goods and Services – – 137.34 171.18
Less : Provision for Doubtful Advances – – 0.04 0.04
– – 137.30 171.14
Capital Advances 59 28.28 12.56 – –
Prepaid Expenses 2.27 5.30 2.51 4.60
Amount Paid Under Protest 63.79 59.88 – –
Balances with Government & Statutory Authorities 0.29 0.42 21.16 19.42
Security Deposits
Unsecured considered good 1.85 1.89 0.45 0.41
Other Advances (Including Balance with Gratuity Fund) 0.57 4.29 2.64 11.01
Total 97.05 84.34 164.06 206.58

No other receivables are due from directors or other officers of the Company either severally or jointly with any other person. No other receivables are due
from firms or private companies respectively in which any director is a partner, a director or a member except ` 0.01 Crore (Previous year ` 1.81 Crores) are
receivables from private companies in which directors of the Company are directors.

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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
15 CURRENT INVESTMENTS (` in Crores) (` in Crores)
As at 31st March, 2020 As at 31st March, 2019 16 TRADE RECEIVABLES
Refer
Face
Particulars Note Qty. Amount Qty. Amount Refer Note As at 31st As at 31st
Value Particulars
No. No. March, 2020 March, 2019
A. INVESTMENTS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME Trade Receivables 16.1 & 16.2 190.22 201.59
Investment in Quoted Government Securities Less: Provision for Doubtful Receivables 10.90 11.50
6.90% GOI 2019 100 – – 1,00,000 1.00 Total 179.32 190.09
TOTAL (A) – 1.00
Break Up of Trade Receivables
B. INVESTMENT AT FAIR VALUE THROUGH PROFIT OR LOSS
Trade Receivables considered good - Secured 103.24 91.65
Investments in Mutual Funds
Trade Receivables considered good - Unsecured 76.08 98.44
QUOTED
Trade Receivables which have significant increase in Credit Risk 10.90 11.50
Kotak Monthly Interval Plan Series 4 - Direct Plan Growth – – 1,00,00,000 10.03
Trade Receivables - Credit Impaired – –
Sub Total – 10.03 190.22 201.59
Total
UNQUOTED 10.90 11.50
Less: Provision for Doubtful Receivables
Axis Liquid Fund - Direct Growth 58,262 12.84 1,10,986 23.02 Total 179.32 190.09
Axis Treasury Advantage Fund - Direct Growth 1,67,736 39.00 – –
Axis Short Term Fund- Direct Plan -Growth 21,50,898 5.03 – – 16.1 Trade receivables are non-interest bearing and are generally on terms of 0 to 90 days.
Baroda Liquid Fund Plan B- Growth 43,869 10.04 2,05,290 44.17 16.2 No trade receivables are due from directors or other officers of the Company either severally or jointly with any other person. Nor any trade receivables
DSP Liquidity Fund - Direct Plan- Growth 66,768 18.97 49,008 13.11 are due from firms or private companies respectively in which any director is a partner, a director or a member, except ₹ 7.64 Crores (Previous year
DSP Low Duration Fund- Direct Plan -Growth 1,83,17,379 27.30 – – ₹ 12.91 Crores) are receivables from a private company in which directors of the Company are directors.
Invesco India Liquid Fund -Direct Plan Growth – – 1,45,011 37.30
Invesco India Treasury Advantage Fund- Direct Plan Growth 60,004 17.17 – – 17 CASH AND CASH EQUIVALENTS
HSBC Ultra Short Duration Fund Direct Growth 50,000 5.05 – –
Refer Note As at 31st As at 31st
HDFC Short Term Debt Fund -Direct Plan-Growth Option 43,84,273 10.04 – – Particulars
No. March, 2020 March, 2019
HDFC Floating Rate Debt Fund- Direct Plan- Growth Option 60,96,981 21.57 – –
Balances with Banks :
HDFC Ultra Short Term Fund Direct Growth 7,61,60,143 85.75 7,61,60,143 79.77
In Current/ Cash Credit Account 37.66 34.26
IDFC Ultra Short Term Fund Direct Plan Growth 6,58,69,212 75.13 3,40,20,340 36.08 – 20.00
In Deposit Accounts with Original Maturity of less than three months
IDFC Low Duration Fund - Direct Plan- Growth 66,66,760 19.26 – – 0.09 11.50
Cheques/ Drafts on Hand
IDFC Corporate Bond Fund - Direct Plan -Growth 1,50,37,795 21.00 – – Cash on Hand 0.14 0.17
ICICI Prudential Savings Fund - Direct Plan- Growth 4,60,284 17.97 – – Total 37.89 65.93
ICICI Prudential Liquid Fund - Direct Plan -Growth – – 8,23,638 22.77
Kotak Savings Fund - Direct Plan - Growth 1,05,62,382 34.70 74,93,231 22.89 18 BANK BALANCES (OTHER THAN NOTE: 17)
Kotak Liquid Fund Direct Plan - Growth – – 52,186 19.75 Balance in Unpaid Dividend Account 1.26 1.48
LIC MF Liquid Fund -Direct Plan- Growth 15,185 5.47 – – Other Fixed Deposit with Banks 18.1 170.49 40.05
L & T Liquid Fund - Direct Plan -Growth – – 70,553 18.08 Total 171.75 41.53
L & T Short Term Bond Fund - Direct Plan- Growth 61,29,465 12.34 – –
L & T Ultra Short Term Fund - Direct Plan Growth 1,15,26,884 38.53 1,15,26,884 35.89 18.1 Includes deposits marked lien in favour of Govt. Authorities and Banks. 0.49 2.15
Nippon India Liquid Fund - Direct Plan - Growth Plan -Growth Option (Previously
– – 76,277 34.80
known as Reliance Liquid Fund Direct Plan Growth) 19 NON-CURRENT ASSETS CLASSIFIED AS HELD FOR SALE
Nippon India Money Market Fund Direct Growth Plan Growth Option 1,09,710 33.49 – –
Plant & Machinery 19.1 1.49 0.63
SBI Magnum Low Duration Fund Direct - Growth 15.1 1,03,038 27.10 53,270 12.95
Sundaram Money Fund -Direct Growth 38,80,150 16.25 – – Total 1.49 0.63
SBI Liquid Fund Direct Growth 58,943 18.33 51,584 15.11
Tata Money Market Fund - Direct Plan Growth 29,207 10.12 – – 19.1 Plant & Machinery related to:
Tata Liquid Fund - Direct Plan - Growth – – 1,13,598 33.45 Unit Birla Carbide & Gases: Suspension of operations was declared of the Company’s unit Birla Carbide & Gases, Birlapur, West Bengal w.e.f. 29th
UTI Liquid Cash Plan - Institutional Plan - Direct Plan Growth – – 57,278 17.53 October, 2001. Subsequently, closure of the Unit was declared w.e.f. 31st January, 2005. A resolution was passed by Board of Directors of the Company
Yes Liquid Fund - Direct Plan -Growth Option – – 1,97,852 20.08 on 4th November, 2015 for disposal of assets of the Unit. All Plant & Machineries, except some insignificant portion thereof, were disposed off till
Sub Total 582.45 486.75 March, 2020 and it is expected that the sale for the remaining portion will be completed by March, 2021. The assets of the unit comprising remaining
Plant & Machineries are presented within total assets of the “Unallocated Corporate Assets” under Segment Reporting.
TOTAL (B) 582.45 496.78 Unit Chanderia: During the previous year 2018-19, the Company decided to dispose of the old Thermal Power Plants and DG Sets at Chanderia
unit being not in use for more than ten years. An online auction process was initiated in December, 2018 based on which the buyer was finalised.
TOTAL CURRENT INVESTMENTS 582.45 497.78 Dismantling and sale of Plant & Machineries started in January, 2019 but could not completed by March, 2019. Now the sale has been completed in
current financial year and no such assets remain unsold on 31st March, 2020.
Aggregate Book value of Quoted Investments – 11.03 Unit Auto Trim Division: Suspension of operations was declared of the Company’s unit Auto Trim Division at Birlapur, West Bengal w.e.f. 18th
Aggregate Fair Value of Quoted Investments – 11.03 February, 2014. There have been no operations at Gurgaon plant, Haryana and at Chakan plant, Maharastra since November, 2007 and August, 2007
Aggregate amount of Unquoted Investments 582.45 486.75 respectively. All Plant & Machineries, except some Machineries were transferred to other units of the Company till April, 2019. A resolution was passed
Aggregate amount of impariment in value of investments – – by Board of Directors of the Company on 3rd May, 2019 for disposal of remaining assets of the Unit. It is expected that the sale of the assets will be
completed by March, 2021. The assets of the unit comprising remaining Plant & Machineries are presented within total assets of the “Others Segment
15.1 Out of the same 45,930 units (Previous Year: 45,930 units) are held as margin in favour of State Bank of India against bank guarantee.
Assets” under Segment Reporting.

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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
Non recurring fair value measurements 21 OTHER EQUITY (Refer Statement of Change in Equity)
The fair value of the Plant & Machineries, classified as held for sale, was determined using the sales comparison approach. This is level 2 measurement
The Description of the nature and purpose of each reserve within equity is as follows:
as per the fair value hierarchy set out in accounting policies related to fair value measurement. The key inputs under this approach are price of the
similar Plant & Machineries at the same location, condition and age. a) Capital Reserve: Capital Reserves are mainly the reserves created during business combination for the gain on bargain purchase.
20 EQUITY SHARE CAPITAL b) Debenture Redemption Reserve (DRR): The Company has issued redeemable non-convertible debentures. Accordingly, the Companies (Share
As at 31st March, 2020 As at 31st March, 2019 Capital and Debentures) Rules, 2014 (as amended), requires the company to create DRR out of profits of the company available for payment of
Particulars dividend. DRR is required to be created for an amount which is equal to 25% of the value of debentures issued.
No. of Shares Amount No. of Shares Amount

20.1 Authorised Share Capital c) General Reserve: The general reserve is created out of retained earnings and being used for appropriation purposes.

Ordinary Shares of `10/- each 9,00,00,000 90.00 9,00,00,000 90.00 d) Retained Earnings: Retained earnings represents the undistributed profit of the Company.
Preference Shares of `100/- each 10,00,000 10.00 10,00,000 10.00 e) Debt Instrument through Other Comprehensive Income: This reserve is created on account of fair valuation of selected debt instrument and will
Total 9,10,00,000 100.00 9,10,00,000 100.00 be transferred to statement of profit and loss on liquidation of respective instruments.
20.2 Issued Share Capital f) Equity Instrument through Other Comprehensive Income: This reserve is created on account of fair valuation of equity instruments other than
Ordinary Shares of `10/- each 7,70,13,416 77.01 7,70,13,416 77.01 investments in subsidiaries and associates. This will be directly transferred to retained earnings on disposal of respective equity instruments.
Total 7,70,13,416 77.01 7,70,13,416 77.01 g) Revaluation Surplus: Revaluation surplus arises on account of fair valuation of freehold land. This will be directly transferred to retained earnings
20.3 Subscribed and Paid-up Share Capital at the time of sale / disposal / transfer (if any) of the respective portion of freehold land.
Ordinary Shares of `10/- each fully paid-up 7,70,05,347 77.01 7,70,05,347 77.01 22 LONG TERM BORROWINGS
Add : Forfeited Ordinary Shares (Amount originally paid-up) - 0.00 - 0.00
Non-Current Portion Current Maturities
Total 7,70,05,347 77.01 7,70,05,347 77.01 Refer Note
Particulars As at 31st As at 31st As at 31st As at 31st
No.
20.4 Reconciliation of the number of shares at the beginning and at the end of the year March, 2020 March, 2019 March, 2020 March, 2019
There has been no change/ movements in number of shares outstanding at the beginning and at the end of the year. Non-Convertible Debentures (NCD) 22.1(a)
(Face Value of ` 10,00,000/- each)
20.5 Terms/ Rights attached to Equity Shares :
2,500 (Previous Year - 2,500) 9.25% NCD 2026 250.00 250.00 – –
The Company has only one class of issued shares i.e., Ordinary Shares having par value of `10 per share. Each holder of the Ordinary Shares is entitled
1,500 (Previous Year - 1,500) 9.15% NCD 2021 150.00 150.00 – –
to one vote per share and equal right for dividend. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in
1,300 (Previous Year - 1,300) 9.05% NCD 2020 – 130.00 130.00 –
the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the ordinary shareholders are eligible to receive
Nil (Previous Year -1,500) 9.10% NCD 2020 – – – 150.00
the remaining assets of the Company after payment of all preferential amounts, in proportion to their shareholding.
400.00 530.00 130.00 150.00
20.6 Shareholding Pattern in respect of Holding or Ultimate Holding Company Term Loans
The Company does not have any Holding Company or Ultimate Holding Company. From Banks:
20.7 Details of Equity Shareholders holding more than 5% shares in the Company Rupee Loans 22.1(b) 848.69 851.05 69.31 15.68
Foreign Currency Loan 22.1 (c) – 205.83 150.88 69.16
As at 31st March, 2020 As at 31st March, 2019
Particulars From Other:
No. of Shares % Holding No. of Shares % Holding
Rupee Loan 22.1(d) 7.73 7.07 – –
Ordinary Shares of ` 10/- each fully paid 856.42 1,063.95 220.19 84.84
Hindustan Medical Institution 71,59,460 9.30 71,59,460 9.30
Vindhya Telelinks Limited 63,80,243 8.29 63,80,243 8.29 Finance lease obligations 22.2 – 0.12 – 0.01
August Agents Limited 60,15,912 7.81 60,15,912 7.81 Total 1,256.42 1,594.07 350.19 234.85
Insilco Agents Limited 60,04,080 7.80 60,04,080 7.80 Amount disclosed under the head "Other Financial Liabilities" 23 – – (350.19) (234.85)
Laneseda Agents Limited 59,94,680 7.78 59,94,680 7.78
Total 1,256.42 1,594.07 – –
The Punjab Produce & Trading Co. (P) Ltd. 45,20,572 5.87 45,20,572 5.87
Break Up of Security Details
Reliance Capital Trustee Company Limited 41,04,723 5.33 54,15,705 7.03
Secured 1,186.42 1,593.95 350.19 234.84
(Shares held in their various Schemes)
Unsecured 70.00 0.12 – 0.01
20.8 No ordinary shares have been reserved for issue under options and contracts/ commitments for the sale of shares/ disinvestment as at the Balance
Total 1,256.42 1,594.07 350.19 234.85
Sheet date.
20.9 The Company has neither allotted any equity shares against consideration other than cash nor has issued any bonus shares nor has bought back any
shares during the period of five years preceding the date at which the Balance Sheet is prepared.
20.10 No securities convertible into Equity/ Preference shares have been issued by the Company during the year.
20.11 No calls are unpaid by any Director or Officer of the Company during the year.

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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
22.1 Terms and Conditions of Long Term Borrowings : j) Rupee Loan from Banks is repayable as under:-
Refer Note As at As at Term Loan ` 70 Crores, (Rate of Interest Repo rate Plus spread of 2.55% )
Particulars
No. 31st March, 2020 31st March, 2019 ` 35 Crores payable in April 2021.
a) Non–Convertible Debentures ` 35 Crores payable in March 2022.
i) 9.25% NCD 2026 22.1 (e) (i) 250.00 250.00 The above loan is unsecured loan.
ii) 9.15% NCD 2021 22.1 (e) (ii) 150.00 150.00 k) Rupee Loan from Other is repayable as under:-
iii) 9.05% NCD 2020 22.1 (e) (iii) 130.00 130.00 Interest free Term Loan ` 11.91 Crores from Pradeshiya Industrial & Investment Corporation of U.P. Ltd.
iv) 9.10% NCD 2020 – 150.00 i) ` 11.91 Crores includes, ` 2.82 Crores repayable in January 2025, ` 2.42 Crores repayable in March 2025 and ` 6.67 Crores repayable in May
22.1 (f ), (h), 921.48 872.16 2025.
b) Rupee Term Loan - From Banks - in Indian Rupees
(i) and (j) The above loan is secured by Bank Guarantees.
c) Foreign Currency Loan - From Bank - in Foreign Currency 22.1 (g) 151.16 276.64
d) Rupee Term Loan - From Other - in Indian Rupees 22.1 (k) 11.91 11.91 22.2 Finance Lease Obligation
e) Non-Convertible Debentures are redeemable fully at par as under:- The Company has entered into various finance lease arrangements mainly for land for terms ranging up to 99 years. The legal title to these items
i) 9.25% NCD 2026 of ` 250.00 Crores, includes ` 60.00 Crores repayable in August 2024, ` 15.00 Crores repayable in September 2024, ` 60.00 vests with the respective lessors. There are no significant restrictions imposed by lease arrangements. There are no sub-lease arrangements entered
Crores repayable in August 2025, ` 15.00 Crores repayable in September 2025, ` 80.00 Crores repayable in August 2026, ` 20.00 Crores in to by the Company for these leases.
repayable in September 2026. The Company has finance lease contracts and the obligation under finance lease are secured by the lessor’s title to the leased assets. Future mini-
ii) 9.15% NCD 2021 repayable in August 2021. mum lease payments under finance lease contracts together with the present value of the net minimum lease payments are disclosed as below:
iii) 9.05% NCD 2020 repayable in October 2020.
As at 31st March, 2020 As at 31st March, 2019
f) Rupee Loan from Bank are repayable as under:- Particulars Minimum lease Present value Minimum lease Present value
Term Loan ` 271.60 Crores, (Rate of Interest MCLR 6M Plus spread of 0.15%) payments of MLP payments of MLP
` 8.40 Crores payable in 4 equal quarterly installments from June 2020 to March 2021. Within one year 0.51 0.06 0.01 0.01
` 11.20 Crores payable in 4 equal quarterly installments from June 2021 to March 2022. After one year but not more than five years 2.03 0.30 0.05 0.04
` 56.00 Crores payable in 8 equal quarterly installments from June 2022 to March 2024. More than five years 11.67 5.06 0.43 0.08
` 70.00 Crores payable in 8 equal quarterly installments from June 2024 to March 2026. Total minimum lease payments 14.21 5.42 0.49 0.13
` 84.00 Crores payable in 8 equal quarterly installments from June 2026 to March 2028. Less: Amounts representing Finance Charges 8.79 – 0.36 –
` 42.00 Crores payable in 2 equal quarterly installments from June 2028 to September 2028. Present value of minimum lease payments 5.42 5.42 0.13 0.13
g) Foreign Currency Loans from Bank is repayable as under:- As on 1st April 2019, the Finance Lease obligation is reclassified to Lease liabilities under “Other Financial Liabilities” on account of
Term Loan ` 151.16 Crores (Rate of Interest LIBOR 1M Plus spread of 175 bps) adoption of Ind AS 116 “Leases”.
i) ` 151.16 Crores repayable in 4 equal quarterly installments starting from April 2020 to January 2021.
23 OTHER FINANCIAL LIABILITIES
h) Rupee Loan from Bank are repayable as under:-
Term Loan ₹ 45 Crores, (Rate of Interest Repo rate Plus spread of 2.85%) Non Current Current
Refer Note
` 11.28 Crores payable in 8 equal quarterly installments from February 2021 to November 2022. Particulars As at 31st As at 31st As at 31st As at 31st
No.
March, 2020 March, 2019 March, 2020 March, 2019
` 32.11 Crores payable in 19 equal quarterly installments from February 2023 to August 2027.
Current Maturities of Long Term Debt 22 – – 350.19 234.84
` 1.61 Crores payable in November 2027.
Current Maturities of Finance Lease Obligations 22 – – – 0.01
The above loans (e), (f ), (g) and (h) are secured by first charge on the movable and immovable Property, Plant and Equipment & Intangible Assets 5.36 – 0.06 –
Lease Liabilities 22.2 & 45
of the Company's Cement Division, ranking pari-passu with debenture holders and other lender banks. 373.50 347.21 – 0.10
Trade & Security Deposits (Unsecured)
i) Rupee Loans from Banks are repayable as under:- Interest Accrued but not due on Borrowings – – 28.11 28.16
Term Loan ` 534.88 Crores, (Rate of Interest MCLR 6M/12M Plus spread upto 0.15% and Repo rate Plus spread of 2.85%) Interest accrued and due on Borrowings – – 2.64 –
` 27.45 Crores payable in 2 equal quarterly installments from May/June 2020 to August/September 2020. Unpaid and Unclaimed Dividends 41.2 – – 59.01 1.48
` 32.05 Crores payable in 2 equal quarterly installments from November/December 2020 to February/March 2021. Employees Related Liabilities – – 25.33 21.87
` 36.56 Crores payable in 2 equal quarterly installments from May/June 2021 to August/September 2021. Amount Payable for Capital Goods – – 19.80 11.60
` 164.68 Crores payable in 8 equal quarterly installments from November/December 2021 to August/September 2023. Derivative Contracts (Net) – – – 6.17
Other Payables (including rebates and discounts) – – 250.64 181.67
` 137.28 Crores payable in 6 equal quarterly installments from November/December 2023 to February/March 2025.
378.86 347.21 735.78 485.90
` 114.45 Crores payable in 5 equal quarterly installments from May/June 2025 to May/June 2026.
Liabilities Under Litigation 30.12 28.69 – –
` 22.41 Crores payable in August/September 2026.
Less : Paid Under Protest 22.56 20.83 – –
The Rupee Term Loans are secured by first ranking pari-passu charge on the movable and immovable Property, Plant and Equipment & Intangible 7.56 7.86 – –
Assets of the Company's Jute Division and land situated at Birlapur & Narkeldanga. 386.42 355.07 735.78 485.90
Total

142 143
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CORPORATION
LIMITED

NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
24 PROVISIONS
As at Recognised in Recognised in Other Recognised in As at
Non Current Current Particulars 1st April, Statement of Comprehensive Retained Earnings 31st March,
Refer Note
Particulars As at 31st As at 31st As at 31st As at 31st 2018 Profit and Loss Income (Directly) 2019
No.
March, 2020 March, 2019 March, 2020 March, 2019 Deferred Tax Liabilities
Provision for Employee Benefits 36.43 31.07 9.55 4.60 Depreciation 364.48 13.69 – – 378.17
Provision for Mines Restoration 24.1 – – 6.59 6.60 Revaluation Surplus 234.17 – (0.74) – 233.43
Total 36.43 31.07 16.14 11.20 Mark to Market Gain on Investments 4.19 1.19 0.16 – 5.54
Remeasurement of the Defined Benefit Plans – (0.27) 0.27 – –
24.1 Movement of Provision : Others 0.28 (0.01) – – 0.27
Provision for Mines Restoration 603.12 14.60 (0.31) – 617.41
Particulars Deferred Tax Assets
31st March, 2020 31st March, 2019
Mat Credit Entitlement 188.77 27.17 – – 215.94
Balance as at year beginning 6.60 5.35 Items u/s 43B of Income Tax Act, 1961 64.76 (7.82) – – 56.94
Provision made during the year – 1.25 Others 15.31 (7.27) – – 8.04
Provision utilised/written back during the year 0.01 – 268.84 12.08 – – 280.92
Balance as at year end 6.59 6.60
Deferred Tax Liabilities (Net) 334.28 2.52 (0.31) – 336.49
The Company has an obligation to restore the mines after extracting of reserves. Therefore provision has been recognised for the estimated
decommissioning and restoration cost in accordance with the mines closure plan. 25.2 Deferred tax assets and Deferred tax liabilities have been offset wherever the Company has a legally enforceable right to set off current tax assets
25 DEFERRED TAX LIABILITIES (NET) against current tax liabilities and where the deferred tax assets and deferred tax liabilities relate to income tax levied by the same taxation authority.

As at As at 25.3 The Company has not recognised deferred tax assets on unused tax credits (MAT credit entitlements) of ` 46.88 Crores (Previous year ` 46.88
Particulars
31st March, 2020 31st March, 2019 Crores) related to F.Y. 2010-11 and 2011-12 on account of prudence.
Deferred Tax Liabilities
Arising on account of : 26 OTHER LIABILITIES
Depreciation 381.39 378.17
Non Current Current
Revaluation Surplus 232.37 233.43 Refer Note
11.49 5.54 Particulars As at As at As at As at
Mark to Market Gain on Investments No.
Others 0.26 0.27 31st March, 2020 31st March, 2019 31st March, 2020 31st March, 2019
625.51 617.41 Liabilities Under Litigation 289.92 299.76 – –
Less: Deferred Tax Assets Less : Paid Under Protest 154.21 158.23 – –
Arising on account of :
135.71 141.53 – –
Mat Credit Entitlement 181.90 215.94
Items u/s 43B of Income Tax Act, 1961 55.92 56.94 Advances Received from Customers – – 61.54 50.73
Others 7.38 8.04 Statutory Dues – – 59.32 87.89
245.20 280.92
Bonus Liability – – 9.20 9.59

Deferred Tax Liabilities (Net) 380.31 336.49 Deferred Revenue 26.1 4.29 5.29 1.33 1.66
Others 4.89 4.89 0.00 0.00
25.1 Movement in deferred tax assets and liabilities during the year ended 31st March, 2019 and 31st March, 2020 144.89 151.71 131.39 149.87
Total
As at Recognised in Recognised in Other Recognised in As at
Particulars 1st April, Statement of Comprehensive Retained Earnings 31st March,
26.1 Movement of Deferred Revenue
2019 Profit and Loss Income (Directly) 2020
Particulars 2019-20 2018-19
Deferred Tax Liabilities
Depreciation 378.17 3.27 – (0.05) 381.39 Opening Balance 6.95 5.27
Revaluation Surplus 233.43 – (1.06) – 232.37 Grants Received during the year – 3.28
Mark to Market Gain on Investments 5.54 5.79 0.16 – 11.49 Less: Released to Statement of Profit & Loss 1.33 1.60
Remeasurement of the Defined Benefit Plans – 3.53 (3.53) – – Closing Balance 5.62 6.95
Others 0.27 (0.01) – – 0.26 Current portion 1.33 1.66
617.41 12.58 (4.43) (0.05) 625.51 Non Current portion 4.29 5.29
Deferred Tax Assets
Mat Credit Entitlement 215.94 (34.04) – – 181.90
Items u/s 43B of Income Tax Act, 1961 56.94 (1.02) – – 55.92
Others 8.04 (0.66) – – 7.38
280.92 (35.72) – – 245.20

Deferred Tax Liabilities (Net) 336.49 48.30 (4.43) (0.05) 380.31

144 145
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CORPORATION
LIMITED

NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
27 SHORT TERM BORROWINGS 29.1 Disaggregated Revenue Information
Refer Note As at As at a) Disaggregation of the Company's Revenue from Contracts with Customers:
Particulars 31st March, 2020 31st March, 2019
No.
Particulars For the year ended 31st March, 2020 For the year ended 31st March, 2019
Loans Repayable on Demand
Cement Jute Others Total Cement Jute Others Total
From Banks
Sale of Products
Rupee Loans 27.1 63.17 15.96 Manufactured Goods 4,340.50 328.20 0.99 4,669.69 4,031.99 326.57 1.45 4,360.01
Other Loans Traded Goods 18.48 1.55 – 20.03 1.61 0.33 – 1.94
From Banks Total Revenue from Contracts with Customers 4,358.98 329.75 0.99 4,689.72 4,033.60 326.90 1.45 4,361.95
Rupee Loan – 0.91 Other Operating Revenues
Packing Credit in Indian Currency – 8.35 Incentives & Subsidies 18.56 0.52 – 19.08 17.80 0.85 – 18.65
63.17 25.22 Export Benefits – 2.29 – 2.29 – 2.34 – 2.34
Total
Income from Royalty 28.84 – – 28.84 25.56 – – 25.56
The above amount includes
Insurance and Other Claims (Net) 1.43 – – 1.43 1.91 – – 1.91
Secured Borrowings 63.17 16.87
Miscellaneous Sale 4.49 0.70 0.05 5.24 12.03 1.10 0.04 13.17
Unsecured Borrowings – 8.35 53.32 3.51 0.05 56.88 57.30 4.29 0.04 61.63
Total 63.17 25.22 Total Revenue from Operations 4,412.30 333.26 1.04 4,746.60 4,090.90 331.19 1.49 4,423.58
Within India 4,411.80 294.18 1.04 4,707.02 4,086.96 301.75 1.49 4,390.20
27.1 The above short term borrowings are Working Capital Loans from Banks which are secured by way of first charge on hypothecation of Company's
Current Assets viz. Raw Materials, Stock-in-Trade, Consumable Stores and Books Debts, both present & future and further secured by way of second Outside India 0.50 39.08 – 39.58 3.94 29.44 – 33.38
charge on pari-passu basis on Movable and Immovable Property, Plant and Equipment and Intangible Assets of the Company's Cement Division. Total Revenue from Operations 4,412.30 333.26 1.04 4,746.60 4,090.90 331.19 1.49 4,423.58
Timing of Revenue Recognition
28 TRADE PAYABLES Goods or Services transferred at a point in time 4,412.30 333.26 1.04 4,746.60 4,090.90 331.19 1.49 4,423.58
Refer Note As at As at Total Revenue from Operations 4,412.30 333.26 1.04 4,746.60 4,090.90 331.19 1.49 4,423.58
Particulars
No. 31st March, 2020 31st March, 2019
b) Reconciliation of the Revenue from Contracts with Customers with the amounts disclosed in the segment information :
Trade Payables for goods and services
- Total outstanding dues of micro enterprises and small enterprises 44 2.86 4.09 Particulars For the year ended 31st March, 2020 For the year ended 31st March, 2019
- Total outstanding dues of creditors other than micro enterprises and small 352.59 420.29 Cement Jute Others Total Cement Jute Others Total
enterprises Revenue
Total 355.45 424.38 External Sales 4,412.30 333.26 1.04 4,746.60 4,090.90 331.19 1.49 4,423.58
Inter Segment Revenue 1.04 0.01 7.17 8.22 0.75 0.01 5.24 6.00
29 REVENUE FROM OPERATIONS Total 4,413.34 333.27 8.21 4,754.82 4,091.65 331.20 6.73 4,429.58
Less : Inter Segment Revenue 1.04 0.01 7.17 8.22 0.75 0.01 5.24 6.00
Refer Note For the year ended For the year ended
Particulars Revenue from Operations 4,412.30 333.26 1.04 4,746.60 4,090.90 331.19 1.49 4,423.58
No. 31st March, 2020 31st March, 2019
Sale of Products 29.1 to 4,689.72 4,361.95 29.2 Information about Receivables, Contract Assets and Contract Liabilities from Contracts with Customers :
29.4
4,689.72 4,361.95 Refer Note For the year ended For the year ended
Particulars
No. 31st March, 2020 31st March, 2019
Other Operating Revenues
Trade Receivables 16 179.32 190.09
Incentives & Subsidies 19.08 18.65
Contract Liabilities
Export Benefits 2.29 2.34
Advances from Customers 26 61.54 50.73
Income from Royalty 28.84 25.56
Insurance and Other Claims (Net) 1.43 1.91 29.3 Reconciling the amount of Revenue recognised in the Statement of Profit and Loss with the Contracted Price :
Miscellaneous Sale 5.24 13.17
Refer Note For the year ended For the year ended
56.88 61.63 Particulars
No. 31st March, 2020 31st March, 2019
Revenue as per contracted price 5,036.21 4,656.49
Total 4,746.60 4,423.58
Less: Sales Claims 0.45 0.44
Less: Rebate & Discounts 346.04 294.10
Total Revenue from Contracts with Customers 4,689.72 4,361.95
Other Operating Revenues 56.88 61.63
Revenue from Operations 4,746.60 4,423.58

146 147
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CORPORATION
LIMITED

NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
29.4 The transaction price allocated to the remaining performance obligation (unsatisfied or partially unsatisfied) as at Balance Sheet date are, 34 EMPLOYEE BENEFITS EXPENSE
as follows :
Refer Note For the year ended For the year ended
Refer Note For the year ended For the year ended Particulars
Particulars No. 31st March, 2020 31st March, 2019
No. 31st March, 2020 31st March, 2019
Advances from Customers 26 61.54 50.73 Salaries & Wages 254.89 238.90
Contribution to Provident and Other Funds 26.84 25.88
Management expects that the entire transaction price allotted to the unsatisfied contract as at the end of the reporting period will be recognised
as revenue during the next financial year. Staff Welfare Expenses 16.48 8.51
30 OTHER INCOME 298.21 273.29

Refer Note For the year ended For the year ended Less: Amount Capitalized 0.05 0.02
Particulars
No. 31st March, 2020 31st March, 2019 Total 298.16 273.27
Interest Income
On Investments 0.77 0.80 35 FINANCE COST
On Banks Deposits 9.73 5.67 Interest Expenses
On Income Tax Refund 6.22 12.78
To Debenture Holders 62.32 62.27
On Other Deposits, etc. 1.34 1.99
To Banks on Term Loans, etc. 89.25 80.04
Dividend Income 2.61 1.86
16.76 21.77 To Banks On Working Capital Loans 2.04 0.91
Net Gain/ (Loss) on sale of Investments measured at fair value through Profit & Loss
Net Gain/ (Loss) on restatement of Investments (Mark to Market) measured at fair 26.04 15.99 On Deposits and Others 20.76 17.75
value through Profit & Loss Exchange Differences regarded as an adjustment to Borrowing Costs 10.45 17.45
Transfer of Profit from Other Comprehensive Income related to G-Sec Matured during 39.2 0.01 –
Other Borrowing Costs
the year
Other Non Operating Income Other Financial Charges 0.48 1.31
Profit on sale/discard of Property, Plant and Equipment (Net) 0.40 2.05 185.30 179.73
Profit on sale of Non Current Assets classified as Held for Sale 2.70 5.80 Less : Amount Capitalised 35.1 0.07 1.67
Excess Liabilities and Unclaimed Balances written back (Net) 7.74 4.59 185.23 178.06
Total
Excess Provision written back (Net) 1.99 0.91
Excess Depreciation written back – 0.01 35.1 The capitalization rate for the general borrowing is 7.62% p.a. (Previous year 7.82% p.a.)
Insurance and Other Claims (Net) 2.98 0.01
Miscellaneous Income 3.19 6.85 36 DEPRECIATION AND AMORTISATION EXPENSE
Total 82.48 81.08 On Tangible Assets 5 144.04 145.90
On Intangible Assets 7 6.82 2.62
31 COST OF MATERIALS CONSUMED
On Investment Property 6 0.01 0.01
Raw Material Consumed 1,019.55 948.33
On Right of Use Assets 5 0.31 –
Total 1,019.55 948.33 151.18 148.53
Total

32 PURCHASE OF STOCK IN TRADE

37 OTHER EXPENSES
Traded Goods 16.05 1.45
Manufacturing Expenses
Total 16.05 1.45
Stores & Spare Parts Consumed 192.83 174.78
33 CHANGES IN INVENTORIES OF FINISHED GOODS, STOCK-IN-TRADE AND WORK-IN-PROGRESS Packing Materials Consumed 154.55 162.77
Inventories at the beginning of the year Power & Fuel 962.34 980.25
Finished Goods 86.22 98.26 Royalty & Cess 68.33 67.00
Stock-In-Trade 0.15 – Repairs to Buildings 16.46 13.37
Work-In-Progress 74.23 79.16 Repairs to Machinery 64.75 53.37
160.60 177.42 Freight & Material Handling on Inter Unit Transfer 77.74 121.38
Inventories at the end of the year Other Manufacturing Expenses 69.90 57.86
Finished Goods 145.04 86.22 1,606.90 1,630.78
Stock-In-Trade 0.93 0.15
Work-In-Progress 60.74 74.23
206.71 160.60
Changes in Inventories (46.11) 16.82

148 149
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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
38 TAX EXPENSE
Refer Note For the year ended For the year ended
Particulars
No. 31st March, 2020 31st March, 2019 Refer Note For the year ended For the year ended
Selling and Administration Expenses No. 31st March, 2020 31st March, 2019
36.60 32.92 Current Tax 38.1 75.25 40.26
Brokerage & Commission on Sales
954.99 945.28 Deferred Tax
Transport & Forwarding Expenses
On Other Items 14.26 29.69
Insurance 6.47 5.36
Less : MAT Credit Entitlement – 27.17
Rent 16.91 15.86 34.04 –
Add : MAT Credit Utilised
Repairs to Other Assets 4.18 3.07 48.30 2.52
Rates & Taxes 15.89 8.22
Income Tax for earlier years (18.27) (20.55)
Advertisement 38.66 29.62
Total 105.28 22.23
Inter Corporate Loan written off 2.75 –
Corporate Social Responsibility Expenses 48 3.48 3.47 38.1 Reconciliation of Estimated Income Tax Expense at Indian Statutory Income Tax Rate to Income Tax Expense reported in Statement of
Auditors' Remuneration 37.1 0.69 0.69 Comprehensive Income
Loss on Revaluation of Live Stock (Net) 0.04 0.10 Income before Income Taxes 421.12 160.01
1.73 14.27 Indian Statutory Income Tax Rate 38.2 34.944% 34.944%
Net (Gain)/ Loss on Foreign currency transaction and translation 37.2
Estimated Income Tax Expenses 147.16 55.91
Investment in Associates written off – 0.01
Tax Effect of adjustments to reconcile expected Income Tax Expense to reported
Net Provision for doubtful debts/ advances 0.03 1.99
Income Tax Expense:
Bad Debts 0.06 0.13 (33.61) (28.40)
Deduction under Chapter VIA
Directors' Fees and Commission 0.60 0.77 Tax payable at different rate / Capital Gain (2.56) 1.85
Other Expenses 37.3 93.92 85.65 Deferred Tax Adjustment 0.09 6.48
1,177.00 1,147.41 Permanent Difference 7.40 7.20
Others 5.07 (0.26)
Total 2,783.90 2,778.19 Income Tax for earlier years (18.27) (20.55)
(41.88) (33.68)
37.1 Auditors' Remuneration
Income Tax Expense in the Statement of Profit and Loss 105.28 22.23
a. Statutory Auditors
Audit Fees 0.27 0.27 38.2 The Government of India has inserted section 115BAA in the Income Tax Act, 1961, which provides domestic companies an option to pay Corporate
0.07 0.07 Tax at reduced rate effective 1st April 2019, subject to certain conditions. The Company has decided to continue under the existing provisions of
Tax Audit Fees
the Income Tax Act, 1961.
Limited Review 0.17 0.17
Applicable Indian Statutory Income Tax Rate for both the Fiscal Years 2020 and 2019 is 34.944%. However, the Company has paid tax u/s 115JB of
Travelling Expenses 0.03 0.02 Income Tax Act, 1961 for fiscal year 2019.
Issue of Certificates 0.11 0.11
39 OTHER COMPREHENSIVE INCOME
0.65 0.64
39.1 Items that will not be reclassified to profit or loss
b. Cost Auditors
0.04 0.05 Remeasurement of the Defined Benefit Plans (10.09) 0.77
Audit Fees
Less: Tax expense on the above (3.53) 0.27
Travelling Expenses 0.00 0.00
(6.56) 0.50
0.04 0.05
Revaluation Surplus 5.2 – –
Total 0.69 0.69
Less: Tax expense on the above (1.06) (0.74)
37.2 Net (Gain)/ Loss on Foreign Currency Transaction and Translation 1.06 0.74
Equity Instruments through Other Comprehensive Income (118.04) 19.24
Net (Gain)/ Loss on foreign currency transaction and translation 1.73 18.05
Less: Tax expense on the above – –
Less: Amount Capitalized/ (Decapitalized) – 3.78
(118.04) 19.24
Total 1.73 14.27
39.2 Items that will be reclassified to profit or loss
37.3 Other expenses includes ` 3.02 Crores (Previous year ` Nil) contributed to Electoral Trust Company. Debt Instruments through Other Comprehensive Income 0.45 (0.24)
Less: Amount reclassified to Statement of Profit and Loss 0.01 –
0.44 (0.24)
Less: Tax expense on the above 0.16 0.16
0.28 (0.40)

Total Other Comprehensive Income for the year (Net of tax) (123.26) 20.08

150 151
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CORPORATION
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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
40 CONTINGENT LIABILITIES AND CONTINGENT ASSETS : 43 Assets pledged as security
40.1 Claims/Disputes/Demands against the Company not acknowledged as debt : The carrying amounts of Assets Pledged as Security for Current and Non-Current Borrowings are :

Sl. As at As at Refer As at As at
Particulars Particulars
No. 31st March, 2020 31st March, 2019 Note No. 31st March, 2020 31st March, 2019
a Sales Tax, VAT, CST and Entry Tax matters 163.63 163.84 Current
b Excise Duty, Service Tax, Goods & Service Tax and Custom Duty matters 100.09 96.57 Financial Assets
c Income Tax matters 4.56 10.53 Trade Receivables 16 179.32 190.09
d Electricity Duty and Renewable Energy Surcharge matters 21.52 21.52 179.32 190.09
e Royalty on Limestone 67.91 67.91 Non-Financial Assets

f Others (Primarily related to demand for Alleged Impermissible Mining, Water Supply Charges, 37.47 37.15 Inventories 14 583.64 588.16
Stamp Duty, House Tax, Education Cess, etc.) Others 13 0.03 0.17
583.67 588.33
40.2 In respect of the matters in Note No. 40.1, future cash outflows are determinable only on receipt of judgements/decisions pending at various forums/
Total Current Assets Pledged as Security 762.99 778.42
authorities. Furthermore, there is no possibility of any reimbursements to be made to the Company from any third party.
Non-Current
40.3 The Company has provided corporate guarantee in the nature of financial guarantee to the lenders of one of its wholly owned subsidiary amounting
Land 5 1,072.55 1,062.57
to ` 378.12 Crores (Previous Year ` 393.19 Crores) against the long term loans availed by the Subsidiary. As on the Balance Sheet date, the balance of
Buildings 5 174.84 175.80
such loans outstanding of ` 378.12 Crores (Previous Year ` 393.19 Crores).
Plant & Machinery 5 1,641.47 1,680.42
40.4 Other Contingent Liabilities Others Tangible Assets 5 178.19 87.69
Sl. As at As at Other Non Current Assets 7 & 13 18.69 18.10
Particulars
No. 31st March, 2020 31st March, 2019 Total Non-Current Assets Pledged as Security 3,085.74 3,024.58
a. Bills discounted with Banks remaining outstanding 2.91 4.31 Total Assets Pledged as Security 3,848.73 3,803.00
b. Customs Duty including interest thereon, which may have to be paid on account of non- 0.15 1.49
fulfillment of Export Obligation under EPCG and Advance License Scheme 44 Disclosure as required under the Micro, Small and Medium Enterprises Development Act, 2006, to the extent ascertained and as per notification
number GSR 679 (E) dated 4th September, 2015 :
41 The Board of Directors at its meeting held on 22nd May, 2020 have recommended a payment of final dividend of ` 7.50 per equity share of face value
of ` 10 each for the financial year ended 31st March, 2020. The same amounts to ` 57.75 Crores. Sl. As at As at
Particulars
No. 31st March, 2020 31st March, 2019
The above is subject to approval at the ensuing Annual General Meeting of the Company and hence is not recognized as a Liability.
i. The principal amount and the interest due thereon remaining unpaid to any supplier at the end
41.1 The Company has proposed final dividend for the financial year 2018-19 aggregating of ₹ 57.75 Crores (₹ 7.50 per equity share of face value of ₹ 10 of each financial year:
each), at its Annual General Meeting (AGM) held on 13th August, 2019. However the Company could not publish the voting results of the business Trade Payable
transacted at the AGM and make payment of Dividend due to the restriction by the Hon’ble High Court of Calcutta which has since been lifted on Principal 2.86 4.09
4th May, 2020. As per the voting results published thereafter, the resolution for payment of dividend has been passed by the share holders. As the Interest – –
Dividend was payable in financial year 2019-20, the same has been provided in the current year's accounts. Other Financial Liability
Principal 1.61 0.30
42 Commitments Interest – –
Capital Commitments ii. The amount of interest paid by the buyer in terms of section 16 of the Micro, Small and Medium
As at As at Enterprises Development Act, 2006, along with the amount of the payment made to the supplier
Particulars
31st March, 2020 31st March, 2019 beyond the appointed day during each accounting year.
Estimated amount of contracts remaining to be executed on Capital Account (Net of Advances) and not 78.61 56.67 Principal 0.23 –
provided for Interest 0.01 –
iii. The amount of interest due and payable for the period of delay in making payment but without – –
adding the interest specified under the Micro, Small and Medium Enterprises Development Act,
2006.
– –
iv. The amount of interest accrued and remaining unpaid at the end of each accounting year.

v. The amount of further interest remaining due and payable even in the succeeding years, until – –
such date when the interest dues above are actually paid to the small enterprise, for the purpose
of disallowance of a deductible expenditure under section 23 of the Micro, Small and Medium
Enterprises Development Act, 2006.

152 153
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CORPORATION
LIMITED

NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
45 Leases 45.1.5 The adoption of the new standard has also resulted in decrease in profit before tax and profit for the year by ₹ 0.13 Crore (Increase in Depreciation
expense and finance cost by ₹ 0.31 Crore and ₹ 0.44 Crore respectively with corresponding decreases in other expenses by ₹ 0.62 Crore). The effect
45.1 As Lessee
of this adoption is insignificant on earnings per share. Ind AS 116 has also resulted in an increase in cash inflows from operating activities and an
45.1.1 The Company’s significant leasing arrangements are in respect of leases for premises (residential, manufacturing facilities, office, stores, godown, increase in cash outflows from financial activities on account of lease payments by ₹ 0.50 Crore each. Total Deferred tax expense and deferred tax
etc.) These leasing arrangements which are cancellable ranging between 11 months and 99 years generally, or longer, and are usually renewable liabilities are decreased by ₹ 0.05 Crore.
by mutual consent on mutually agreeable terms. Effective 1st April 2019, the Company adopted Ind AS 116 “Leases” and applied the standard to
45.1.6 The maturity analysis of lease liabilities are disclosed in Note No. 22.2.
all lease contracts existing on 1st April 2019 using the modified retrospective method. Consequently, the Company recorded the lease liability at
the present value of the remaining lease payments discounted at the incremental borrowing rate as on the date of transition and has measured 45.1.7 The weighted average incremental borrowing rate applied to lease liabilities as at 1st April, 2019 is 8.00%.
right of use asset at an amount equal to lease liability adjusted for any prepaid and accrued lease payments previously recognised.
45.1.8 Rental expense recorded for short-term leases was ₹ 16.91 Crores (Previous Year ₹ 15.86 Crores).
45.1.2 The following is the summary of practical expedients elected on initial application:
45.1.9 The Company does not face a significant liquidity risk with regards to its lease liabilities as the current assets are sufficient to meet the obligations
(a) Applied a single discount rate to a portfolio of leases of similar assets in similar economic environment with a similar end date. related to lease liabilities as and when the fall due.
(b) Applied the exemption not to recognised right of use assets and liabilities for leases with less than 12 months of lease term and low value of 45.2 As Lessor
assets on the date of initial application.
45.2.1 The Company leased out its investment property on operating lease basis on cancellable basis. Rental income earned and direct operating
(c) Applied the practical expedient by not reassessing whether a contract is, or contains a lease at the date of initial application. Instead applied expenses incurred on property letting on lease has been disclosed in Note No 6.
the standards only to the contract that were previously identified as leases under Ind AS 17.
46 Earnings Per Share
(d) Used hindsight in determining the lease term whether the contract contained options to extend or terminate the lease.
As at As at
45.1.3 Following is carrying value of right of use assets recognized on date of transition and the movements thereof during the year ended Particulars
31st March, 2020 31st March, 2019
31st March, 2020: Profit for the year attributable to the owner of the Company 315.84 137.78

Right of Use Assets Weighted average number of equity shares 7,70,05,347 7,70,05,347
Particulars Earnings per share basic and diluted (`) 41.02 17.89
Leasehold Land Total
(Face value of ` 10/- per share)
Balance as at 1st April, 2019 – –
Transition impact on account of adoption of Ind AS 116 "Leases" (Refer Note No. 5) 5.35 5.35 47 Disclosure pursuant to Indian Accounting Standard - 19 ‘Employee Benefits’ as notified u/s 133 of the Companies Act, 2013:

Reclassified from Property, Plant and Equipment on account of adoption of Ind AS 116 "Leases" 0.53 0.53 47.1 Defined Contribution Plan :
(Refer Note No. 5) The amount recognized as an expense for the Defined Contribution Plans are as under:
Adjustment to Prepaid and accrued lease payments 4.02 4.02
Adjustment to Retained Earnings on account of Ind AS 116 "Leases" (0.57) (0.57) Sl. For the year ended For the year ended
Particulars
No. 31st March, 2020 31st March, 2019
Total Right of Use Assets on the date of transition 9.33 9.33
a. Provident Fund 1.04 1.00
Additions during the year – –
b. Superannuation Fund 2.94 3.30
Deletion during the year – –
c. Pension Fund 6.61 6.88
Depreciation of Right of Use Assets (Refer Note No. 36) (0.31) (0.31)
Balance as at 31st March, 2020 9.02 9.02 47.2 Defined Benefit Plan
45.1.4 The following is the carrying value of lease liability on the date of transition and movement thereof during the year ended 31st March, The following are the types of defined benefit plans:
2020 : 47.2.1 Gratuity Plan
As at Every employee who has completed five years or more of service is entitled to gratuity on terms not less favourable than the provisions of the
Particulars
31st March, 2020 Payment of Gratuity Act, 1972. The present value of defined obligation and related current cost are measured using the Projected Unit Credit
Balance as at 1st April, 2019 0.13 Method with actuarial valuation being carried out at Balance Sheet date.
Transition impact on account of adoption of Ind AS 116 "Leases" 5.35 47.2.2 Pension Plan
Additions during the year – Pension is payable to certain categories of employees who are eligible under the Company’s Pension Scheme.
Finance cost accrued during the year 0.44
47.2.3 Provident Fund
Deletions –
Payment of lease liabilities (0.50) Provident Fund (other than government administered) as per the provisions of the Employees Provident Funds and Miscellaneous Provisions Act,
1952.
Banalce as at 31st March, 2020 5.42
47.2.4 Risk Exposure
Current maturities of Lease liability (Refer Note No. 23) 0.06 Defined Benefit Plans
Non-Current Lease Liability (Refer Note No. 23) 5.36 Defined benefit plans expose the Company to actuarial risks such as Interest Rate Risk, Salary Risk and Demographic Risk.

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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
a) Interest rate risk : The defined benefit obligation calculated uses a discount rate based on government bonds. If the bond yield falls, the 47.2.9 Remeasurements (gain)/ loss recognised in Other Comprehensive Income
defined benefit obligation will tend to increase. Gratuity (Funded) Pension (Unfunded)
b) Salary risk : Higher than expected increases in salary will increase the defined benefit obligation. Particulars
2019-20 2018-19 2019-20 2018-19
c) Demographic risk : This is the risk of variability of results due to unsystematic nature of decrements that includes mortality, withdrawal,
Actuarial (gain)/ loss on Defined Benefit Obligation 10.09 (0.78) 0.06 0.09
disability and retirement. The effect of these decrements on the defined benefits obligations is not straight forward and depends on the
Return on Plan Assets (greater)/ lesser than discount rate (0.06) (0.08) – –
combination of salary increase, discount rate and vesting criteria. It is important not to overstate withdrawals because in the financial analysis
the retirement benefit of the short career employee typically costs less per year as compared to a long service employee. Total remeasurements (gain)/loss recognised in Other 10.03 (0.86) 0.06 0.09
Comprehensive Income
47.2.5 Reconciliation of the Net Defined Benefit Obligation
The following table shows a reconciliation from the opening balances to the closing balances for the net Defined Benefit Obligation and its 47.2.10 Major Categories of Plan Assets
components: Gratuity (Funded) Pension (Unfunded)
Particulars
Gratuity (Funded) Pension (Unfunded) 2019-20 2018-19 2019-20 2018-19
Particulars
2019-20 2018-19 2019-20 2018-19 Qualified Insurance Policy 100% 100% – –
Balance at the beginning of the year 122.24 122.80 0.66 0.65
The Gratuity Scheme is invested in a Group Gratuity-cum-Life Assurance Cash accumulation policy offered by Life Insurance Corporation (LIC) of
Current Service Cost 7.24 6.75 – –
India, Cap Assure Group Gratuity Scheme offered by SBI Life Insurance Co. Limited, HDFC Life Group variable employee benefit plan offered by
Interest Cost on Defined Benefit Obligation 8.42 8.64 0.04 0.04 HDFC Standard LIfe Insurance Company Limited, IndiaFirst New Corporate Benefit plan for gratuity offered by IndiaFirst Life Insurance Company
Actuarial Gain and Losses arising from Limited and Bajaj Allianz Group Employee Care plan offered by Bajaj Allianz Life Insurance Company Ltd. The information on the allocation of the
Changes in Demographic Assumptions – – – – fund into major asset classes and expected return on each major class are not readily available.
Changes in Financial Assumptions 7.40 1.60 0.02 0.01
Experience Adjustment 2.69 (2.38) 0.04 0.08 47.2.11 Asset-Liability Matching Strategy
Benefits Paid (13.93) (15.17) (0.12) (0.12) The Company’s investment is in Cash Accumulation Plan/Traditional Plan of various Insurance Companies, the investments are being managed by
Balance at the end of the year 134.06 122.24 0.64 0.66 these Insurance Companies and at the year end interest is being credited to the fund value. The Company has not changed the process used to
manage its risk from previous periods. The Company’s investments are fully secured and would be sufficient to cover its obligations.
47.2.6 Reconciliation of the Plan Assets
The following table shows a reconciliation from the opening balances to the closing balances for the Plan Assets and its Components: 47.2.12 Actuarials Assumptions

Gratuity (Funded) Pension (Unfunded) Gratuity (Funded) Pension (Unfunded)

Particulars Particulars
2019-20 2018-19 2019-20 2018-19 2019-20 2018-19 2019-20 2018-19
Balance at the beginning of the year 128.09 125.42 – – Financial Assumptions
Interest Income on Plan Assets 9.02 9.16 – – Discount Rate 6.50% to 6.70% 7.30% 6.50% 7.30%
Remeasurement of Defined Benefit Obligation: Salary Escalation Rate 5% to 8% 5% to 8% – –
Return on Plan Assets greater/ (lesser) than discount rate 0.06 0.08 – –
Demographic Assumptions
Employer Contributions to the Plan 5.00 8.60 – –
Mortality Rate IAL (2006–08) IAL (2006–08) LIC (1996–1998) LIC (1996–1998)
Benefits Paid (13.93) (15.17) – –
Modified Ultimate Modified Ultimate Ultimate Ultimate
Balance at the end of the year 128.24 128.09 – –
Withdrawal Rate 2.00% 2.00% – –
47.2.7 The amount recognised in the Balance Sheet
Gratuity (Funded) Pension (Unfunded) 47.2.13 The estimates of future salary increases, considered in actuarial valuation, take account of inflation, seniority, promotion and other relevant factors,
Particulars such as supply and demand in the employment market.
2019-20 2018-19 2019-20 2018-19
Present value of Defined Benefit Obligation 134.06 122.24 0.64 0.66 47.2.14 As on 31st March 2020, the weighted average duration of the Defined Benefit Obligation is 2 to 10 years (previous year 3 to 10 years). The
Fair Value of Plan Assets 128.24 128.09 – – distribution of the timing of benefits payment i.e., the maturity analysis of the benefit payments is as follows:
Net Asset/(Liability) recognised in the Balance Sheet (5.82) 5.85 (0.64) (0.66)
Expected benefits payment for the year ending on (undiscounted) Gratuity (Funded) Pension (Unfunded)
47.2.8 Expenses recognised in Profit and Loss 2019-20 2018-19 2019-20 2018-19
Gratuity (Funded) Pension (Unfunded) Within 1 Year 15.64 16.81 0.10 0.10
Particulars
2019-20 2018-19 2019-20 2018-19 1 to 2 Year 12.66 11.42 0.10 0.10
Current Service Cost 7.24 6.75 – – 2 to 3 Year 13.38 12.37 0.10 0.10
Interest Cost 8.42 8.64 0.04 0.04 3 to 4 Year 14.69 13.30 0.10 0.10
Interest Income on Plan Assets (9.02) (9.16) – – 4 to 5 Year 15.32 14.32 0.10 0.10
Total Expenses recognised in Profit and Loss 6.64 6.23 0.04 0.04 More than 5 Years 77.60 77.42 0.41 0.41

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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
47.2.15 The Company expects to contribute ` 10.00 Crores (previous year ` 2.00 Crores) to its gratuity fund in 2020-21. 48 In accordance with the Guidance Note on Accounting for Expenditure on Corporate Social Responsibility Activities, issued by The Institute of
Chartered Accountants of India the requisite disclosure are as follows:
47.2.16 The following payments are expected contributions to the defined benefit plan in future years:
For the year ended on
Gratuity (Funded) Pension (Unfunded) 48.1 Particulars
31st March, 2020 31st March, 2019
Expected contributions 2019-20 2018-19 2019-20 2018-19
Gross Amount required to be spent by the Company during the year 3.12 3.41
Within next 12 months (next annual reporting period) 10.00 2.00 – – Related Party transactions as per Ind AS 24 in relation to CSR Expenditure NIL NIL
Between 2 and 5 years 8.00 5.00 – – Provision made in relation to CSR Expenditure NIL NIL
Between 5 and 10 years 8.00 7.00 – –
48.2 Amount spent during the year on :
Beyond 10 years 10.00 10.00 – –
For the year ended on 31st March, 2020 For the year ended on 31st March, 2019
47.2.17 Sensitivity Analysis Sl. ParƟculars In Cash Yet to be Total In Cash Yet to be Total
The sensitivity analysis below have been determined based on a method that extrapolates the impact on defined benefit obligation (DBO) as a No. paid in Cash paid in Cash
result of reasonable changes in key assumptions occuring at the end of the reporting period. Reasonably possible changes at the reporting date i Construction/ Acquisition of any asset – – – – – –
to one of the relevant actuarial assumptions, holding other assumptions constant, would have affected the defined benefit obligation by the ii On purposes other than (i) above 3.48 – 3.48 3.45 0.02 3.47
amounts shown below:
49 The Board of Directors of the Company at its meeting held on 25th July, 2013 had approved the Scheme of Amalgamation to amalgamate Talavadi
Gratuity (Funded) Pension (Unfunded)
Particulars Cements Limited, a 98% subsidiary, with the Company with an appointed date of 1st April, 2013. The Scheme is pending for approval of the
2019-20 2018-19 2019-20 2018-19 National Company Law Tribunal, Kolkata.
Effect on DBO due to 1% increase in Discount Rate (8.70) (7.59) (0.03) (0.03) 50 The Bikram Coal Block, the allocation of which was cancelled in view of the decision of the Hon’ble Supreme Court on 24th September, 2014 has
Effect on DBO due to 1% decrease in Discount Rate 10.03 8.70 0.03 0.03 been allocated by the Ministry of Coal through E-Auction process vide CMDPA (Coal Mine Development and Production Agreement) dated 18th
Effect on DBO due to 1% increase in Salary Escalation Rate 5.66 8.63 – – December, 2019 and Vesting Order dated 10th February, 2020. The amount carried forward in the books of the Company amounting to ₹ 3.71
Effect on DBO due to 1% decrease in Salary Escalation Rate (12.31) (7.62) – – Crores (towards geological and other studies), being claimed as compensation from the Government of India, has been transferred to capital work
in progress, related to the development of said Block.
Sensitivity due to mortality and withdrawl rate are being insignificant, hence ignored.
51 As a policy, the Company annually assesses the impairment of property plant and equipment (PPE) and other non-current assets by comparing
Although the analysis does not take account of the full distribution of cash flows expected under the plan, it does provide an approximation of the
the carrying value of PPE and other non-current assets with its fair value. In case the fair value is less than the carrying value an impairment charge
sensitivity of the assumptions shown.
is created. Management has concluded that there is no impairment of PPE and other assets during the year.
47.2.18 Provident Fund
51.1 Certain Trade Receivables, Loans & Advances and Trade Payables are subject to confirmation. In the opinion of the management, the value of Trade
Provident fund for certain eligible employees is managed by the Company through the various Provident Fund Trusts, namely “M P Birla Group
Receivables and Loans & Advances on realisation in the ordinary course of business, will not be less than the value at which these are stated in the
Provident Fund Institution”, “Satna Cement Works Employees’ Provident Fund Trust”, “Birla Cement Works Staff Provident Fund Trust”, “Birla Jute Mills
Balance Sheet.
Workers’ Provident Fund Trust”, “Soorah Jute Mills Employees’ Provident Fund Trust”, “Durgapur Cement Works Employees’ Provident Fund Trust”
and ”Birla Industries Provident Fund”, in line with the Provident Fund and Miscellaneous Provisions Act, 1952. The plan guarantees interest at the 52 The Company’s Unit Soorah Jute Mills is under Suspension of Operations since 29th March, 2004.
rate notified by the Provident Fund Authorities. The contribution by the employer and employee together with the interest accumulated thereon 52.1 The Company’s Unit Birla Vinoleum and Auto Trim Division at Birlapur, are under Suspension of Operations since 18th February, 2014.
are payable to employees at the time of their separation from the Company or retirement, whichever is earlier. The benefits vest immediately on
52.2 In respect of mining matter of Chanderia before the Hon’ble Supreme Court, a comprehensive report has been submitted by Central Building
rendering of the services by the employee.
Research Institute (CBRI) on full scale mining. The matter is in the final stage of hearing. Further, Principal Bench of National Green Tribunal on 8th
The Company has an obligation to fund any shortfall on the yield of the trust’s investments over the administered interest rates on an annual March, 2019 has ordered to stop all mining activities which are being carried on within the municipal limites of Chittorgarh City and within 10 km
basis. These administered rates are determined annually predominantly considering the social rather than economic factors and in most cases the of Bassi Wild Life Sanctuary or within Eco-Sensitive Zone of Bassi Wild Life Sanctuary, if finally notified. In the opinion of the management, there is
actual return earned by the Trust has been higher in the past years. The actuary has provided a valuation for provident fund liabilities on the basis no material impact of such order on the current mining operations of the Company.
of guidance issued by Actuarial Society of India and based on the below provided assumptions there is no shortfall, except in one particular Trust,
there is shortfall of ` 0.59 Crore & ` 0.76 Crore as at 31st March, 2020 and as at 31st March, 2019 respectively. 53 Fair Value Measurment:

The details of fund and plan asset position are given below: The fair value of the financial assets and liabilities are included at the amount that would be received to sell an asset or paid to transfer a liability
Particulars Present value of obligation Fair value of plan assets Net amount in an orderly transaction between market participants at the measurement date.

As at 31 March, 2020 333.03 343.58 10.55 53.1 The following methods and assumptions were used to estimate the fair values:
As at 31 March, 2019 312.14 318.29 6.15 53.1.1 The bonds and government securities being listed, the fair value has been taken at the market rates of the same as on the reporting dates. They
The plan assets have been primarily invested in government securities. are classified as Level 1 fair values in fair value hierarchy.

Assumptions used in determining the present value obligation of the interest rate guarantee under the Deterministic Approach: 53.1.2 The fair values of non-current borrowings are based on the discounted cash flows using a current borrowing rate. Debentures are classified as
Level 3 fair values in the fair value hierarchy due to the inclusion of unobservable inputs including own credit risks, which was assessed as on the
Particulars 31st March, 2020 31st March, 2019
balance sheet date to be insignificant.
Discount Rate (per annum) 6.50% 7.30%
53.1.3 The management has assessed that the fair values of cash and cash equivalents, trade receivables, trade payables, short term borrowings, and other
Expected Rate of Return on Plan Assets (per annum) 8.25% 9.13% current financial liabilities approximates their carrying amounts largely due to the short-term maturities of these instruments. The management
The Company contributed ` 6.70 Crores and ` 6.13 Crores during the year ended 31st March, 2020 and 31st March, 2019 respectively. has assessed that the fair value of floating rate instruments approximates their carrying value.

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CORPORATION
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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
53.2 Fair Value Hierarchy Fair Value heirarchy
The following are the judgements and estimates made in determining the fair values of the financial instruments that are (a) recognized and Particulars Carrying Value
Fair Value Level 1 Level 2 Level 3
measured at fair value and (b) measured at amortized cost and for which fair value are disclosed in the Standalone Financial Statements. To provide (2) Financial Liabilities
an indication about the reliability of the inputs used in determining fair value, the Company has classified its financial instruments into the three
Financial Liabilities at amortised cost
levels of fair value measurement as prescribed under the Ind AS 113 “Fair Value Measurement”. An explanation of each level follows underneath
Long Term Borrowings
the tables.
Fixed Rate
53.3 The following table provides classification of financial instruments and the fair value hierarchy of the Company’s assets and liabilities:
- Debentures 530.00 538.70 – – 538.70
53.3.1 Disclosure for the year ended 31st March, 2020 Floating Rate
Fair Value heirarchy - Rupee Term Loan 918.00 918.00 – – –
Particulars Carrying Value - Foreign Currency Term Loan 150.88 150.88 – – –
Fair Value Level 1 Level 2 Level 3
- Finance Lease Obligation – – – – –
(1) Financial Assets
Others - Rupee Term Loan 7.73 7.73 – – –
Financial Assets at amortised cost
Short Term Borrowings 63.17 63.17 – – –
Investment
Lease Liabilities 5.42 5.42 – – –
- Government Securities 0.00 0.00 – – –
Trade Payables 355.45 355.45 – – –
Trade Receivables 179.32 179.32 – – –
Trade & Security Deposits 373.50 373.50 – – –
Loan Receivables 1.57 1.57 – – –
Amount Payable for Capital Goods 19.80 19.80 – – –
Cash and Cash Equivalents 37.89 37.89 – – –
Interest accrued but not due on Borrowings 28.11 28.11 – – –
Other Bank Balances 171.75 171.75 – – –
Interest accrued and due on Borrowings 2.64 2.64 – – –
Security Deposits 35.07 35.07 – – –
Employees Related Liabilities 25.33 25.33 – – –
Other Deposits and Advances 7.23 7.23 – –
Interest Accrued on Deposits 5.57 5.57 – – – Other Financial Liabilities 317.21 317.21 – – –
Fixed Deposits maturing after 12 months from Balance Sheet date 0.03 0.03 – – – Sub Total 2,797.24 2,805.94 – – 538.70
Other Financial Assets 2.38 2.38 – – – Financial Liabilities at fair value through Profit & Loss
Incentive and Subsidy Receivable 189.50 189.50 – – – Derivative Instrument – – – – –
Sub Total 630.31 630.31 – – – Sub Total – – – – –
Financial Assets at fair value through Profit & Loss Total Financial Liabilities 2,797.24 2,805.94 – – 538.70
Investments
53.3.2 Disclosure for the year ended 31st March, 2019
- Unlisted Preference Shares 122.50 122.50 – – 122.50
- Mutual Funds 582.45 582.45 582.45 – – Fair Value heirarchy
Particulars Carrying Value
Derivative Instrument 5.49 5.49 – 5.49 – Fair Value Level 1 Level 2 Level 3
Sub Total 710.44 710.44 582.45 5.49 122.50
(1) Financial Assets
Financial Assets at fair value through Other Comprehensive
Income Financial Assets at amortised cost
Investments Investment
- Listed Equity Instrument 151.11 151.11 151.11 – – - Government Securities 0.00 0.00 – – –
- Unlisted Equity Instrument 0.06 0.06 – – 0.06 Trade Receivables 190.09 190.09 – – –
- Bonds 7.64 7.64 7.64 – – Loan Receivables 2.97 2.97 – – –
- Government Securities 1.19 1.19 1.19 – – Cash and Cash Equivalents 65.93 65.93 – – –
Sub Total 160.00 160.00 159.94 – 0.06 Other Bank Balances 41.53 41.53 – – –
Total Financial Assets 1,500.75 1,500.75 742.39 5.49 122.56 Security Deposits 34.73 34.73 – – –
Other Deposits and Advances 5.94 5.94 – – –
Interest accrued on Deposits 1.91 1.91 – – –
Fixed Deposits maturing after 12 months from Balance Sheet date 0.48 0.48 – – –
Other Financial Assets 2.37 2.37 – – –
Incentive and Subsidy Receivable 183.36 183.36 – – –
Sub Total 529.31 529.31 – – –

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CORPORATION
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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
Fair Value heirarchy 53.5 During the year ended 31st March, 2020 and 31st March, 2019, there were no transfers between Level 1 and Level 2 fair value measurements, and
Particulars Carrying Value no transfer into and out of Level 3 fair value measurements.
Fair Value Level 1 Level 2 Level 3
Financial Assets at fair value through Profit & Loss 54 Financial Risk Management
Investments
The Company has a Risk Management Policy which covers risk associated with the financial assets and liabilities. The Risk Management Policy is
- Unlisted Preference Shares 117.48 117.48 – – 117.48
approved by the Board of Directors. The different types of risk impacting the fair value of financial instruments are as below:
- Mutual Funds 496.78 496.78 496.78 – –
Derivative Instrument – – – – – 54.1 Credit Risk
Sub Total 614.26 614.26 496.78 – 117.48
The credit risk is the risk of financial loss arising from counter party failing to discharge an obligation. The credit risk is controlled by analysing
Financial Assets at fair value through Other Comprehensive
credit limits and credit worthiness of customers on continuous basis to whom the credit has been granted, obtaining necessary approvals for
Income
Investments credit and taking security deposits from trade channels.
- Listed Equity Instrument 269.15 269.15 269.15 – –
a) Trade Receivables
- Unlisted Equity Instrument 0.06 0.06 – – 0.06
- Bonds 7.20 7.20 7.20 – – As at 31st March, 2020
- Government Securities 1.00 1.00 1.00 – – Not due 0-30 days 31-60 days 61-90 days Above 90
Ageing schedule
Sub Total 277.41 277.41 277.35 – 0.06 past due past due past due days
Gross carrying amount 4.24 89.03 52.26 13.99 30.70
Total Financial Assets 1,420.98 1,420.98 774.13 – 117.54 Expected loss rate 0.00% 0.00% 0.00% 0.00% 35.50%
Expected credit losses (Loss allowance provision) – – – – 10.90
(2) Financial Liabilities Carrying amount of trade receivables (net of impairment) 4.24 89.03 52.26 13.99 19.80
Financial Liabilities at amortised cost
Long Term Borrowings
As at 31st March, 2019
Fixed Rate
Not due 0-30 days 31-60 days 61-90 days Above 90
- Debentures 680.00 689.53 – – 689.53 Ageing schedule
past due past due past due days
Floating Rate
Gross carrying amount 32.67 119.25 12.41 6.08 31.18
- Rupee Term Loan 866.73 866.73 – – –
- Foreign Currency Term Loan 274.99 274.99 – – – Expected loss rate 0.00% 0.00% 0.00% 0.00% 36.88%
- Finance Lease Obligation 0.13 0.13 – – – Expected credit losses (Loss allowance provision) – – – – 11.50
Others - Rupee Term Loan 7.07 7.07 – – – Carrying amount of trade receivables (net of impairment) 32.67 119.25 12.41 6.08 19.68
Short Term Borrowings 25.22 25.22 – – –
Trade Payables 424.38 424.38 – – – Reconciliation of loss allowance provision for Trade Receivable:
Trade & Security Deposits 347.31 347.31 – – – Particulars 2019-20 2018-19
Amount Payable for Capital Goods 11.60 11.60 – – – Loss allowance as at beginning 11.50 12.05
Interest accrued but not due on Borrowings 28.16 28.16 – – – Changes in loss allowance (Net) (0.60) (0.55)
Employees Related Liabilities 21.87 21.87 – – –
Loss allowance as at Year end 10.90 11.50
Other Financial Liabilities 191.01 191.01 – – –
Sub Total 2,878.47 2,888.00 – – 689.53 There is no customer (Previous Year Nil) who represents more than 10% of the total balance of trade receivables.
Financial Liabilities at fair value through Profit & Loss
54.2 Liquidity Risk
Derivative Instrument 6.17 6.17 – 6.17 –
Sub Total 6.17 6.17 – 6.17 – The Company determines its liquidity requirement in the short, medium and long term. This is done by drawings up cash forecast for short term
Total Financial Liabilities 2,884.64 2,894.17 – 6.17 689.53 and long term needs.
The Company manage its liquidity risk in a manner so as to meet its normal financial obligations without any significant delay or stress. Such
53.4 Description of significant unobservable inputs to Valuation
risk is managed through ensuring operational cash flow while at the same time maintaining adequate cash and cash equivalent position. The
Significant Fair value as at Sensitivity of the management has arranged for diversified funding sources and adopted a policy of managing assets with liquidity monitoring future cash flow
Particulars
Unobservable Inputs 31st March, 2020 31st March, 2019 Input to Fair Value and liquidity on a regular basis. Surplus funds not immediately required are invested in certain mutual funds and fixed deposit which provide
Unquoted Preference Shares Risk Adjusted 122.50 117.48 Increase in Risk adjusted discount rate by flexibility to liquidate. Besides, it generally has certain undrawn credit facilities which can be assessed as and when required; such credit facilities
Discount Rate (8.88%, 50 bps would lead to a decrease in fair are reviewed at regular basis.
Previous Year: 11.61%) value by ` 1.32 Crores (Previous Year: ` 1.14
Crores) whereas a decline by 50 bps would
increase the fair value by `1.34 Crores
(Previous Year: ` 1.16 Crores).

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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
54.2.1 Maturity Analysis for financial liabilities 0 to 6 More than 6 More than More than 5
a) The following are the remaining contractual maturities of financial liabilities as at 31st March, 2020 : Particulars On Demand Months months to 1 1 year to 5 years Total
year years
0 to 6 More than 6 More than More than 5
Particulars On Demand Months months to 1 1 year to 5 years Total Finance lease obligations – 0.00 0.01 0.04 0.08 0.13
year years (Refer Note No. 22.2)
Short Term Borrowings 15.96 9.26 – – – 25.22
Non-derivative
Trade payables – 355.45 – – – 355.45 Other financial liabilities
Borrowings Trade & Security Deposits* 0.10 – – – 347.21 347.31
Redeemable Debentures (Refer Note Amount Payable for Capital Goods – 11.60 – – – 11.60
No. 22.1 (a)) Interest accrued but not due on Borrowings – 22.57 5.59 – – 28.16
2500 9.25% NCD 2026 – – – 75.00 175.00 250.00
Employees Related Liabilities – 21.87 – – – 21.87
1500 9.15% NCD 2021 – – – 150.00 – 150.00
1300 9.05% NCD 2020 – – 130.00 – – 130.00 Others Financial Liabilities 1.48 181.68 – 7.86 – 191.02
Rupee Term Loan from bank – 31.65 37.66 535.80 316.37 921.48 Total 17.54 679.20 232.60 906.00 1,055.06 2,890.40
(Refer Note No. 22.1 (b)) Derivative
Foreign Currency Term Loan – 75.58 75.58 – – 151.16 Foreign Exchange forwards contracts – 3.53 2.64 – – 6.17
(Refer Note no. 22.1 (c))
Rupee Term Loan from other – – 5.24 6.67 11.91 * Based on management assumption.
–
(Refer Note No. 22.1 (d)) c) The amounts are gross and undiscounted, and include contractual interest payments and exclude the impact of netting agreements (if any).
Finance lease obligations – – – – – –
The interest payments on variable interest rate loans in the tables above reflect market forward interest rates at the respective reporting dates
(Refer Note No. 22.2)
and these amounts may change as market interest rates change. The future cash flows on derivative instruments may be different from the
Short Term Borrowings 63.17 – – – – 63.17
amount in the above tables as exchange rates change. Except for these financial liabilities, it is not expected that cash flows included in the
Other financial liabilities maturity analysis could occur significantly earlier, or at significantly different amounts. When the amount payable is not fixed, the amount
Lease Liabilities – – 0.06 0.30 5.06 5.42 disclosed has been determined with reference to conditions existing at the reporting date.
Trade & Security Deposits* – – – – 373.50 373.50
Amount Payable for Capital Goods – 19.80 – – – 19.80 54.3 Market Risk
Interest accrued but not due on – 22.60 5.51 – – 28.11 Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk
Borrowings
comprises four type of risks: Commodity Price Risk, Foreign Currency Risk, Interest Rate Risk and Other Price Risk.
Interest accrued and due on Borrowings – 2.64 – – – 2.64
Employees Related Liabilities – 25.33 – – – 25.33 54.3.1 Commodity Price Risk
Others Financial Liabilities 59.01 250.64 – 7.56 – 317.21 The Company primarily imports coal, pet coke, gypsum and raw jute. It is exposed to commodity price risk arising out of movement in prices of
Total 122.18 783.69 248.81 773.90 876.60 2,805.18
such commodities. Such risks are monitored by tracking of the prices and are managed by entering into fixed price contracts, where considered
Derivative
necessary.
Foreign Exchange forwards contracts – – – – – –
* Based on management assumption. 54.3.2 Foreign Currency Risk
The Company has Foreign Currency Exchange Risk on imports of input materials, capital equipments and also borrows funds in foreign currency
b) The following are the remaining contractual maturities of financial liabilities as at 31st March, 2019:
for its business. The Company evaluates the impact of foreign exchange rate fluctuations by assessing its exposure to exchange rate risks. Certain
0 to 6 More than 6 More than More than 5 transactions of the Company act as a natural hedge as a portion of both assets and liabilities are denominated in similar foreign currencies. For
Particulars On Demand Months months to 1 1 year to 5 years Total the remaining exposure to foreign exchange risk, the Company adopts a policy of selective hedging based on risk perception of the management
year years using derivative, wherever required, to mitigate or eliminate the risk.
Non-derivative
Trade payables – 424.38 – – – 424.38 a) Exposure to currency risk
Borrowings The Company's exposure to foreign currency risk at the end of the reporting period are as follows:
Redeemable Debentures i) Unhegde Foreign Currency Exposure (Amount in Crores)
(Refer Note No. 22.1 (a))
2500 9.25% NCD 2026 – – – – 250.00 250.00 As at 31st March, 2020
Particulars
1500 9.15% NCD 2021 – – – 150.00 – 150.00 USD INR EUR INR
1300 9.05% NCD 2020 – – – 130.00 – 130.00 Financial Assets
1500 9.10% NCD 2020 – – 150.00 – – 150.00 Trade Receivables – – – –
Rupee Term Loan from bank – 7.84 7.84 410.62 445.86 872.16 Financial Liabilities
(Refer Note No. 22.1 (b))
Foreign Currency Term Loan 1.00 75.58 – –
Foreign Currency Term Loan – – 69.16 207.48 – 276.64
(Refer Note no. 22.1 (c)) Trade Payables & Others (*) 0.00 0.12 0.01 0.51
Rupee Term Loan from other – – – – 11.91 11.91 Net Exposure (Liability) 1.00 75.70 0.01 0.51
(Refer Note No. 22.1 (d))
(*) Does not includes CHF 3,060 and GBP 4,900 equivalent to ` 0.02 Crore and ` 0.05 Crore respectively.

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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(Amount in Crores) (` in Crores)
As at 31st March, 2019 54.3.3 Interest Rate Risk
Particulars The Company is exposed to risk due to interest rate fluctuation on long term borrowings. Such borrowings are based on fixed as well as floating
USD INR EUR INR
interest rate. Interest rate risk is determined by current market interest rates, projected debt servicing capability and view on future interest rate.
Financial Assets
Such interest rate risk is actively evaluated and is managed through portfolio diversification and exercise of prepayment/refinancing options
Trade Receivables – – – –
where considered necessary.
Financial Liabilities
The Company is also exposed to interest rate risk on surplus funds parked in fixed deposits and lnvestments viz. mutual funds, bonds. To manage
Foreign Currency Term Loan 2.40 165.98 – –
such risks, such investments are done mainly for short durations, in line with the expected business requirements for such funds.
Trade Payables & Others (*) 0.03 2.28 0.01 0.54
Net Exposure (Liability) 2.43 168.26 0.01 0.54 a) Exposure to Interest Rate Risk

(*) Does not includes CHF 3,060 and GBP 4,900 equivalent to ` 0.02 Crore and ` 0.04 Crore respectively. Particulars 31st March, 2020 31st March, 2019
Fixed Rate Instruments
ii) Hegde Foreign Currency Exposure (Amount in Crores) Financial Assets – –
As at 31st March, 2020 Financial Liabilities 530.00 680.00
Particulars
USD INR EUR INR GBP INR 530.00 680.00
Derivative Assets Variable Rate Instruments
Forward Contract against Trade Receivable 0.06 4.32 – – – – Financial Assets - -
Financial Liabilities 1,072.64 1,148.80
Forward Contract against Firm Commitments 0.08 6.33 – – – –
1,072.64 1,148.80
Derivative Liabilities
Forward Contract - Against Payable 1.09 82.43 0.00 0.40 – – b) Interest Rate Sensitivity
Forward Contract - Against Firm Commitments 0.84 63.14 – – 0.01 0.61 A Change in 50 bps in interest rate would have following impact on Profit Before Tax and Other Equity:
Net Exposure (Liability) 1.79 134.92 0.00 0.40 0.01 0.61 31st March, 2020 31st March, 2019
Sensitivity Impact On Sensitivity Impact On
(Amount in Crores) Particulars
Analysis Profit Before Other Equity Analysis Profit Before Other Equity
As at 31st March, 2019 Tax Tax
Particulars
USD INR EUR INR JPY INR Interest Rate Increase by 0.50% (5.36) (3.49) 0.50% (5.74) (3.74)
Derivative Assets Interest Rate Decrease by 0.50% 5.36 3.49 0.50% 5.74 3.74
Forward Contract against Trade Receivable 0.05 3.46 – – – –
Forward Contract against Firm Commitments 0.02 1.66 – – – – 54.3.4 Other Price Risk
Derivative Liabilities The Company's exposure to equity securities price risk arises from investments held by the Company and classified in the balance Sheet either at
Forward Contract - Against Payable 2.32 160.38 0.02 1.24 – – fair value through OCI or at fair value through profit and loss. Having regard to the nature of securities, intrinsic worth, intent and long term nature
Forward Contract - Against Firm Commitments 1.33 91.84 0.03 2.25 – – of securities held by the Company, fluctuation in their prices are considered acceptable and do not warrant any management.
Net Exposure (Liability) 3.58 247.10 0.05 3.49 – – a) Exposure to other market price risk

b) The Company uses interest rate swaps to hedge the Interest rate of External Commercial Borrowings of Nil (Previous Year USD 10 Mn). Particulars 31st March, 2020 31st March, 2019
c) Sensitivity Analysis Investment in Equity Instruments - quoted 151.11 269.15
Investment in Mutual Funds 582.45 496.78
The Analysis is based on assumption that the increase/decrease in foreign currency by 5% with all other variables held constant, on the
unhedged foreign currency exposure. The following table demonstrates the sensitivity in the USD, EUR, CHF and GBP to the Indian Rupee Investment In Bonds 7.64 7.20
with all other variables held constant. Investment in Government Securities 1.19 1.00
742.39 774.13
31st March, 2020 31st March, 2019
Sensitivity Impact On Sensitivity Impact On b) Sensitivity Analysis
Particulars
Analysis Profit Before Other Equity Analysis Profit Before Other Equity The Analysis is based on assumption that the increase/decrease by 5% with all other variables held constant.
Tax Tax
31st March, 2020 31st March, 2019
USD Sensitivity Increase 5% (3.79) (2.46) 5% (8.41) (5.47)
Sensitivity Impact On Sensitivity Impact On
USD Sensitivity Decrease 5% 3.79 2.46 5% 8.41 5.47 Particulars
Analysis Profit Before Other Equity Analysis Profit Before Other Equity
EUR Sensitivity Increase 5% (0.03) (0.02) 5% (0.03) (0.02)
Tax Tax
EUR Sensitivity Decrease 5% 0.03 0.02 5% 0.03 0.02
Market rate Increase 5% 37.12 24.15 5% 38.71 25.18
Sensitivity analysis for CHF and GBP are insignificant, hence ignored. Market rate Decrease 5% (37.12) (24.15) 5% (38.71) (25.18)

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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
55 Capital Management 2019-20 2018-19
Particulars
The Company's objective to manage its capital is to ensure continuity of business while at the same time provide reasonable returns to its various Cement Jute Others Total Cement Jute Others Total
stakeholders but keep associated costs under control. In order to achieve this, requirement of capital is reviewed periodically with reference to Other Information
operating and business plans that take into account capital expenditure and strategic Investments. Sourcing of capital is done through judicious Segment Assets 3,309.30 946.48 145.82 4,401.60 3,314.25 939.74 146.59 4,400.58
combination of equity/internal accruals and borrowings, both short term and long term. Net debt (total borrowings less current investments, cash Unallocated assets 3,454.56 3,399.87
and cash equivalents and other bank balances) to equity ratio is used to monitor capital. Total Assets 7,856.16 7,800.45
Segment Liabilities 919.07 26.41 1.49 946.97 936.46 25.80 1.55 963.81
Particulars 31st March, 2020 31st March, 2019
Unallocated liabilities 2,560.78 2,610.67
Debt Equity Ratio 0.21 0.30 Total Liabilities 3,507.75 3,574.48
Segment Capital Expenditure 210.14 8.34 0.19 218.67 138.89 7.53 0.06 146.48
56 Government grants during the year comprising Incentive and Subsidies include: Common Capital Expenditure 5.57 5.79
56.1 Tax incentive for capital investments under various State Investment Promotion Schemes of ` 17.48 Crores (Previous Year ` 16.79 Crores). Total Capital Expenditure 224.24 152.27
Segment Depreciation 139.06 7.80 0.89 147.75 135.99 8.62 1.06 145.67
56.2 Amortisation of the deferred revenue of ` 0.75 Crore (Previous Year ` 0.69 Crore) arising due to difference between the fair value & nominal value Common Depreciation 3.43 2.86
of interest free loan granted under State Investment Promotion Scheme. Total Depreciation 151.18 148.53

56.3 Amortisation of the deferred revenue of ` 0.58 Crore (Previous Year ` 0.91 Crore) on account of investment in plant & machineries under various B) Secondary (Geographical) Segment Information
State Investment Promotion Schemes. Geographical segment is identified as the secondary segment and details are given below:
Particulars 2019-20 2018-19
56.4 Renewable energy certificates for generation of power from solar power plant under Central Electricity Regulatory Commission (Terms and
1. Revenue from external customers
Conditions for Recognition and Issuance of Renewable Energy Certificate for Renewable Energy Generation) Regulations, 2010 of ` 0.27 Crore
– Within India 4,707.02 4,390.20
(Previous Year ` 0.26 Crore).
– Outside India 39.58 33.38
57 Segment Reporting Total 4,746.60 4,423.58
A) Primary Segment Information 2. The company does not have any tangible, intangible assets and non current operating assets located outside India.
2019-20 2018-19 3. During the year as well as previous year, No customer contributed 10% or more to the company’s revenue from operations.
Particulars
Cement Jute Others Total Cement Jute Others Total
C) Other Disclosures
Business Segment
The Company’s operations predominantly relate to Cement and other products are Jute Goods, Auto Trims and Steel Castings. Accordingly,
Segment Revenue
these business segments comprise the primary basis of segmental information set out in the standalone financial statements.
(a) External Sales 4,412.30 333.26 1.04 4,746.60 4,090.90 331.19 1.49 4,423.58
(b) Inter Segment Revenue 1.04 0.01 7.17 8.22 0.75 0.01 5.24 6.00 Inter-segment transfers are based on prevailing market prices except for Iron & Steel Castings which is based on cost plus profit.
Total 4,413.34 333.27 8.21 4,754.82 4,091.65 331.20 6.73 4,429.58 The accounting policies adopted for segment reporting are in line with the accounting policy of the company.
Less : Inter Segment Revenue 1.04 0.01 7.17 8.22 0.75 0.01 5.24 6.00
Revenue from Operations 4,412.30 333.26 1.04 4,746.60 4,090.90 331.19 1.49 4,423.58
58 Related Party Disclosures
Segment Result 573.12 13.52 (2.54) 584.10 314.88 10.50 (2.88) 322.50
Add: 58.1 As defined in Indian Accounting Standard (Ind AS)-24, the Company has a related party relationship in the nature of control over its
(i) Interest Income 18.06 21.24 subsidiaries namely :
(ii) Unallocated Income net of 4.19 (5.67)
Name of the Entity Place of Ownership Interest held by the Company
unallocated Expense
Incorporation 31st March, 2020 31st March, 2019
Less :
(i) Interest Expense 185.23 178.06 Birla Corporation Cement Manufacturing PLC Ethiopia 100% 100%
Profit before Tax 421.12 160.01 (Under Voluntary Winding-up)
Tax Expenses Birla Jute Supply Company Limited India 100% 100%
Current Tax 75.25 40.26
Talavadi Cements Limited India 98.01% 98.01%
Deferred Tax 48.30 2.52
Lok Cement Limited India 100% 100%
Income Tax for earlier years (18.27) (20.55)
Budge Budge Floorcoverings Ltd. India 100% 100%
Profit after tax 315.84 137.78
Birla Cement (Assam) Ltd. India 100% 100%
M. P. Birla Group Services Pvt. Ltd. India 100% 100%
RCCPL Private Ltd. India 100% 100%

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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
58.2 Other related parties with whom transactions have taken place during the year and previous year are: 58.3 Transactions during the year
Nature Name of the Company Particulars 2019-20 2018-19
Entities exercising significant Vindhya Telelinks Ltd. Subsidiaries Associates Entities Key Post Employment Subsidiaries Associates Entities Key Post Employment
influence over the Company August Agents Ltd. exercising Management Benefit Plan Trust exercising Manage- Benefit Plan Trust
significant Personnel significant ment Personnel
Insilco Agents Ltd.
influence over influence over
Laneseda Agents Ltd. the Company the Company
Sales of goods/services provided 265.60 – – – – 193.83 – 0.04 – –
Nature Name of the Company Purchase of goods/ services 298.39 – 1.53 – – 288.37 – 1.09 – –
Birla Readymix Private Limited (Dissolved w.e.f. 7th February, 2019 ) received
Associates Gain on restatement of investment 5.02 – – – – 9.09 – – – –
Birla Odessa Industries Private Limited (Dissolved w.e.f. 18th January, 2019)
in Preference Shares ( Mark to
Nature Name Designation Market )
Key Management Personnels Mr. Harsh V. Lodha Chairman Payment of rent 0.09 – – – – 0.09 – – – –
Mr. Bachh Raj Nahar Managing Director (ceased to be Managing Director w.e.f. Receipt of rent 0.00 – 0.06 – – 0.00 – 0.06 – –
3rd August, 2019) Advances given 0.34 – – – 2.00 0.42 – – – –
Mr. Pracheta Majumdar Wholetime Director and Chief Executive Officer Advances recovered 0.33 – – – 2.00 0.41 – – – –
Advances written off 2.75 – – – – – – – – –
Mr. Vikram Swarup
Interest income 0.04 – – – – 0.04 – – – –
Mr. Bachh Raj Nahar (ceased to be Provision for doubtful advances – – – – – 1.36 – – – –
the Director w.e.f. 13th August, 2019 Provision for doubtful advances 1.36 –
due to retirement by rotation) written back
Mr. Anand Bordia Paid to Trust-Employees Provident – – – – 6.70 – – – – 6.13
Mr. Brij Behari Tandon Directors Fund Contribution
Mr. Dhruba Narayan Ghosh Paid to Trust-Employees Gratuity – – – – 5.00 – – – – 8.60
Fund Contribution
Mr. Deepak Nayyar
Paid to Trust-Employees – – – – 2.94 – – – – 3.23
Ms. Shailaja Chandra Superannuation Fund Contribution
Mr. Dilip Ganesh Karnik Remuneration, Perquisites & Others – – – 5.74 – – – – 6.99 –
(Refer Note No. 58.3.1)
Nature Name of the Company
Change in the Corporate Guarantee (15.07) – – – – (13.52) – – – –
Post Employment Benefit Plan Trust Satna Cement Works Employees' Provident Fund (to the extent of changes in loan
Soorah Jute Mills Employees' Provident Fund Trust outstanding)
M P Birla Group Provident Fund Institution Dividend Paid – – – – – – – 15.86 – –
Dividend Received – – 0.00 – – – – 0.00 – –
Birla Cement Works Staff Provident Fund
Birla Jute Mills Workers' Provident Fund Trust 58.3.1 Key Management Personnel compensation
Durgapur Cement Works Employees' Provident Fund For the year ended For the year ended
Particulars
Birla Corporation Limited, Employees Gratuity Fund 31st March, 2020 31st March, 2019
Birla DLW Ltd. Employees Gratuity Fund Short-Term Employee Benefits 2.65 5.58
Birla Corporation Superannuation Fund Post-Employment Benefits 1.38 0.52
Long-Term Employee Benefits 1.11 0.12
Director's sitting fees 0.60 0.77
Director's Commission 0.00 –
Total Compensation 5.74 6.99

* Amount related to current year includes earlier year's accumulated amount of Gratuity and Leave encashment, paid at the time of retirement.

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NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO STANDALONE FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores)
58.4 Balance Outstanding as at the balance sheet date 60 During the year, lockdown was declared across the country by the Central/ State Government(s) in response to COVID-19 pandemic on various
As at As at dates between 22nd March, 2020 and 25th March, 2020. Consequently, Company's manufacturing and sales operations at all the locations were
Particulars
31st March, 2020 31st March, 2019 impacted due to such lockdown during the period from 22nd March, 2020 to 31st March, 2020. The operations have since commenced in a phased
Trade Payables manner since April/ May, 2020 conforming to the guidelines of regulatory authorities. While Company's sales and profitability for the period were
Subsidiaries 0.02 – adversely impacted due to lockdown, it is not possible to ascertain the impact thereof. As per the current assessment of the Company, no material
Entities exercising significant influence over the Company 0.04 0.02 impact is expected due to COVID-19 on the carrying values of assets and liabilities at the year ended 31st March, 2020. The Company has taken into
Provision for Employees benefit consideration external and internal information for developing various assumption for assessing the fair value of assets and liabilities, the impact
3.45 0.52 whereof may differ from the estimates taken as on the date of approval of financial statements. Any changes due to the changes in situation and
Post employment benefit plan Trust
circumstances will be taken into consideration if necessary as and when it materialises.
Trade Receivables
Subsidiaries 7.64 12.91 61 Previous year figures have been regrouped/ rearranged/ reclassified wherever necessary. Further, there are no material regroupings/
Other Receivables reclassifications during the year.
Entities exercising significant influence over the Company 0.01 –
Advances Given
As per our annexed Report of even date For and on behalf of the Board of Directors
Subsidiaries 0.07 2.78 For V. SANKAR AIYAR & CO.
Corporate Guarantee Outstanding (to the extent of loan outstanding) Chartered Accountants ADITYA SARAOGI HARSH V. LODHA
Firm Registration No. 109208W Chief Financial Officer Chairman
Subsidiaries 378.12 393.19
(DIN : 00394094)
Provision for Doubtful Advances M. S. BALACHANDRAN
0.07 1.43 Partner GIRISH SHARMA PRACHETA MAJUMDAR
Subsidiaries
Membership No. 024282 Joint President (Indirect Taxes) Wholetime Director
Short-term employee benefits & Company Secretary & Chief Executive Officer
Key Management Personnel 0.00 0.80 (DIN : 00179118)

New Delhi Kolkata

58.5 Terms and Conditions of transactions with Related Parties:
Date: 22nd May, 2020 Date: 22nd May, 2020
All Related Party Transactions are net off taxes and duties. The sales to and purchases from related party are made in the normal course of business
and on terms equivalent to those that prevail in arm's length transactions. The Loans and Advances as well as Corporate Guarantee issued to
related parties are on terms equivalent to those that prevail in arm's length transactions. Outstanding balances at the year end are unsecured and
settlement occurs in cash, the Company has recorded the receivable relating to amount due from related parties net of impairment (if any). This
assessment is undertaken each financial year through examining the financial position of the related parties and the market in which the related
party operates.

59 During the year, the Company has made an investment in AMP Solar Clean Power Private Limited ('AMP') by way of purchase of 2,27,040 fully
paid up equity shares having face value of ₹ 10 each, amounting of ₹ 0.23 Crore (7.80% holding in AMP) and in 20,433 compulsorily convertible
debentures having face value of ₹ 1000 each, amounting of ₹ 2.04 Crores under Share Purchase, Subscription and Shareholders Agreement.
Further, the Company has entered into a long term power purchase agreement (‘PPA’) with the AMP which is engaged in setting up a solar power
plant. The PPA has a lock-in period of 15 years wherein the Company (alongwith the subsidiary company) is required to purchase the entire
contracted power capacity from the said plant.

Taking into consideration the terms and conditions of PPA, it is considered that the arrangement in respect of long term power purchase agreement
satisfies all the conditions of the lease as per Ind AS 116. However, the plant is under construction as on 31st March, 2020. Consequently, Right of
Use Assets and Lease Liabilities will be recognized on the Commencement date of Solar Power Plant.

The investment in equity shares in AMP together with the Subsidiary Company is 26%. Considering the substance of the transactions, in the opinion
of the management, it is not considered as a related party under Ind AS 24/28. Accordingly, the investment in equity shares and compulsorily
convertible debentures is recognized at amortised cost under “Deposits” as per the provision of Ind AS 109 and the difference between amortised
cost and investment value on initial recognition is recognized under “Capital Advance”.

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Form AOC-1
Statement containing salient features of the financial statement of subsidiaries/associate companies/joint ventures
(Pursuant to first proviso to sub-section (3) of section 129 of the Companies Act, 2013 read with Rule 5 of Companies (Accounts) Rules, 2014)

Part “A”: Subsidiaries

(` in Crores)
Birla Jute Budge M.P. Birla
Sl. Name of the RCCPL Pvt. Talavadi Lok Cement Birla Cement
Supply Co. Budge Floor- Group Services
No. Subsidiary Ltd. Cements Ltd. Ltd. (Assam) Ltd.
Ltd. coverings Ltd. Pvt. Ltd.
1. Share Capital 312.82 0.06 6.00 1.00 4.00 0.05 0.02
2. Reserve & Surplus 2,404.43 1.30 3.24 (0.69) (2.19) (0.02) (0.02)
3. Total Assets 6,718.89 1.44 9.40 0.32 1.96 0.03 0.00
4. Total Liabilities 4,001.64 0.08 0.16 0.01 0.16 0.00 0.00
5. Investments 92.91 – 0.68 – 0.13 – –
6. Turnover 2,477.69 – – – – – –
7. Profit before Taxation 251.06 0.06 0.25 2.71 (0.02) (0.00) (0.00)
8. Provision for Taxation 71.07 0.02 0.00 – (0.02) – –
9. Profit After Taxation 179.99 0.05 0.25 2.71 (0.00) (0.00) (0.00)
10. Proposed Dividend – – – – – – –
11. % of Shareholding 100% 100% 98.01% 100% 100% 100% 100%
Note : 1. None of the subsidiaries have reporting period different from the holding Company.
2. None of the above mentioned subsidiaries are foreign subsidiaries. CONSOLIDATED FINANCIAL STATEMENTS
3. a) Subsidiaries which are yet to commence operations:
i) Lok Cement Ltd.
ii) Birla Cement (Assam) Ltd.
iii) M. P. Birla Group Services Pvt. Ltd.
3. b) Subsidiaries which have been liquidated or sold during the year: Nil
4. PART B of the Form AOC-1 is not applicable as there are no associate companies/ joint ventures of the Company as on 31st March, 2020.

For and on behalf of the Board of Directors

ADITYA SARAOGI HARSH V. LODHA

Chief Financial Officer Chairman
(DIN : 00394094)

GIRISH SHARMA PRACHETA MAJUMDAR

Joint President (Indirect Taxes) Wholetime Director
& Company Secretary & Chief Executive Officer
Date: 22nd May, 2020 (DIN : 00179118)

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LIMITED

INDEPENDENT AUDITOR’S REPORT Information Other than the Consolidated Financial from material misstatement, whether due to fraud or error, which
TO THE MEMBERS OF BIRLA CORPORATION LIMITED Statements and Auditor’s Report Thereon have been used for the purpose of preparation of consolidated
financial statements by the Directors of the Holding Company, as
The Holding Company’s Board of Directors is responsible for
Report on the Audit of the Consolidated Financial Statements the audit evidence we have obtained is sufficient and appropriate aforesaid.
the preparation of the other information. The other information
to provide a basis for our opinion on the consolidated financial comprises the information included in the Directors’ Report and In preparing the consolidated financial statements, the respective
Opinion
statements. Management Discussion and Analysis, Business Responsibility Board of Directors of the Companies included in the Group are
We have audited the accompanying consolidated financial responsible for assessing the Group’s ability to continue as a
Key Audit Matters Report and the Report on Corporate Governance, but does not
statements of BIRLA CORPORATION LIMITED (hereinafter going concern, disclosing, as applicable, matters related to going
include the consolidated financial statements and our auditor’s
referred to as “the Holding Company”) and its subsidiaries (Holding Key audit matters are those matters that, in our professional
report thereon. concern and using the going concern basis of accounting unless
Company and its subsidiaries together referred to as “the Group”), judgment, were of most significance in our audit of the
the Board of Directors either intends to liquidate the Group or to
which comprise the consolidated Balance Sheet as at 31st March, consolidated financial statements of the current period. These Our opinion on the consolidated financial statements does not
cease operations, or has no realistic alternative but to do so.
2020 and the consolidated Statement of Profit & Loss (including matters were addressed in the context of our audit of the cover the other information and we do not express any form of
Other Comprehensive Income), the consolidated Statement of consolidated financial statements as a whole, and in forming our assurance conclusion thereon. The respective Board of Directors of the Companies included
Changes in Equity and the consolidated Cash Flow Statement opinion thereon, and we do not provide a separate opinion on in the Group are also responsible for overseeing the financial
In connection with our audit of the consolidated financial
for the year then ended, and notes to the consolidated Financial these matters. We have determined the matters described below reporting process of the Group.
statements, our responsibility is to read the other information and,
statements, including a summary of significant accounting to be the key audit matters to be communicated in our report.
in doing so, consider whether the other information is materially Auditor’s Responsibilities for the Audit of Consolidated
policies and other explanatory information (hereinafter referred
Key Audit Matter Auditor’s Response inconsistent with the consolidated financial statements or our Financial Statements
to as “the consolidated financial statements”).
Recoverability of MAT Credit knowledge obtained during the course of our audit or otherwise Our objectives are to obtain reasonable assurance about whether
In our opinion and to the best of our information and according Entitlement in future - appears to be materially misstated. the consolidated financial statements as a whole are free from
to the explanations given to us, and based on the consideration Relating to Group:
If, based on the work we have performed, we conclude that there is material misstatement, whether due to fraud or error, and to
of reports of other auditors on separate financial statements The Group has recognised Audit procedures included,
a material misstatement of this other information, we are required issue an auditor’s report that includes our opinion. Reasonable
and on the other financial information of the subsidiaries, the deferred tax assets mainly on among others, review of:
account of tax credit available to report that fact. We have nothing to report in this regard. assurance is a high level of assurance, but is not a guarantee that
aforesaid consolidated financial statements give the information for set off (Minimum Alternate • The appropriateness of the
an audit conducted in accordance with SAs will always detect a
required by the Companies Act, 2013, as amended, (“the Act”) in Tax) under the Income Tax methodology applied by Responsibilities of Management and Those Charged with
the Group with applicable material misstatement when it exists. Misstatements can arise
the manner so required and give a true and fair view in conformity Act, 1961. Under Ind AS 12 Governance for the Consolidated Financial Statements
– Income Taxes, deferred tax Indian accounting standards from fraud or error and are considered material if, individually or
with accounting principles generally accepted in India, of the and applicable taxation
assets shall be recognised to The Holding Company’s Board of Directors is responsible for in the aggregate, they could reasonably be expected to influence
consolidated state of affairs (financial position) of the Group as at the extent that it is probable laws along with the future
business forecast of taxable the matters stated in Section 134(5) of the Act with respect the economic decisions of users taken on the basis of these
31st March, 2020, its consolidated profit (financial performance that future taxable profit will
be available against which profits. to the preparation of these consolidated financial statements consolidated financial statements.
including other comprehensive income), its consolidated cash
flows and consolidated changes in equity for the year ended on the unused tax credit can • The likelihood of the Group that give a true and fair view of the consolidated financial As part of an audit in accordance with SAs, we exercise professional
be utilised. The assessment to utilize the available MAT position, consolidated financial performance including other
that date. of valuation of deferred tax judgment and maintain professional skepticism throughout the
credit entitlements in the
assets requires significant future with underlying comprehensive income, consolidated changes in equity and audit. We also:
Basis for Opinion management judgement projections and assumptions consolidated cash flows of the Group in accordance with the
and estimation. This include, relating to future estimated accounting principles generally accepted in India, including the • Identify and assess the risks of material misstatement of the
We conducted our audit of the consolidated financial statements amongst others, estimation profits, future capitalizations consolidated financial statements, whether due to fraud or
in accordance with the Standards on Auditing (SAs) specified long-term future profitability, Indian Accounting Standards (Ind AS) specified under Section
and depreciation allowance error, design and perform audit procedures responsive to
under section 143(10) of the Act. Our responsibilities under those future revenue from proposed thereon and future estimates 133 of the Act. The respective board of the Companies included
projects and tax regulations of taxable income. those risks, and obtain audit evidence that is sufficient and
Standards are further described in the “Auditor’s Responsibilities in the Group are responsible for maintenance of the adequate
and developments. appropriate to provide a basis for our opinion. The risk of not
for the Audit of the Consolidated Financial Statements” section of • The adequacy of the Group’s accounting records in accordance with the provisions of the
As a result, the recognition disclosures in the financials detecting a material misstatement resulting from fraud is
our report. We are independent of the Group in accordance with Act for safeguarding the assets of the Group and for preventing
of the deferred tax asset on on deferred tax assets and higher than for one resulting from error, as fraud may involve
the Code of Ethics issued by the Institute of Chartered Accountants above was significant to our and detecting frauds and other irregularities; selection and
assumptions used. collusion, forgery, intentional omissions, misrepresentations,
of India (“ICAI”) together with the ethical requirements that are audit. application of appropriate accounting policies; making
relevant to our audit of the consolidated financial statements under or the override of internal control.
The disclosures relating to the judgments and estimates that are reasonable and prudent; and
the provisions of the Act and the Rules made thereunder, and we above are included in Note design, implementation and maintenance of adequate internal • Obtain an understanding of internal control relevant to
have fulfilled our other ethical responsibilities in accordance with No. 25 of the consolidated financial controls, that were operating effectively for ensuring the audit in order to design audit procedures that are
these requirements and the ICAI’s Code of Ethics. We believe that financial statements.
the accuracy and completeness of the accounting records, appropriate in the circumstances. Under section 143(3)
relevant to the preparation and presentation of the consolidated (i) of the Companies Act, 2013, we are also responsible for
financial statements that give a true and fair view and are free expressing our opinion on whether the Holding Company

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CORPORATION
LIMITED

and its subsidiary companies has adequate internal financial We also provide those charged with governance with a statement financial statements have been kept so for as it appears In our opinion and to the best of our information
controls system in place and the operating effectiveness of that we have complied with relevant ethical requirements from our examination of those books and the reports of and according to the explanations given to us, the
such controls. regarding independence, and to communicate with them all the other auditors; remuneration paid by the Group to its directors during
relationships and other matters that may reasonably be thought the year is in accordance with the provisions of section
• Evaluate the appropriateness of accounting policies used c) The Consolidated Balance Sheet, the Consolidated
to bear on our independence, and where applicable, related Statement of Profit and Loss (including other 197 of the Act.
and the reasonableness of accounting estimates and related
safeguards. comprehensive income), Consolidated Cash Flow
disclosures made by management. h) With respect to the other matters to be included in
From the matters communicated with those charged with Statement and the Consolidated Statement of Changes the Auditor’s Report in accordance with Rule 11 of the
• Conclude on the appropriateness of management’s use of
governance, we determine those matters that were of most in Equity dealt with by this report are in agreement Companies (Audit and Auditors) Rules, 2014, as amended,
the going concern basis of accounting and, based on the
significance in the audit of the consolidated financial statements with the relevant books of account maintained for the in our opinion and to the best of our information and
audit evidence obtained, whether a material uncertainty
of the current period and are therefore the key audit matters. purpose of preparation of the consolidated financial according to the explanations given to us and based on
exists related to events or conditions that may cast significant
We describe these matters in our auditor’s report unless law or statements; the consideration of the report of the other auditors on
doubt on the ability of the Group to continue as a going
regulation precludes public disclosure about the matter or when, d) In our opinion, the aforesaid consolidated financial financial statements of the subsidiaries:
concern. If we conclude that a material uncertainty exists, we
in extremely rare circumstances, we determine that a matter statements comply with the Indian Accounting
are required to draw attention in our auditor’s report to the i. The consolidated financial statements disclose the
should not be communicated in our report because the adverse Standards specified under section 133 of the Act, read
related disclosures in the consolidated financial statements impact of pending litigations on the consolidated
consequences of doing so would reasonably be expected to with relevant rules made thereunder;
or, if such disclosures are inadequate, to modify our opinion. financial position of the Group – Refer Note 40.1 to
outweigh the public interest benefits of such communication.
Our conclusions are based on the audit evidence obtained e) On the basis of the written representations received from 40.4 to the consolidated financial statements;
up to the date of our auditor’s report. However, future events Other Matters the Directors of the Holding Company as on 31st March, ii. Provision has been made in the consolidated
or conditions may cause the Group to cease to continue as a 2020 and taken on record by the Board of Directors of the
We did not audit the financial statements of six subsidiaries whose financial statements, as required under the
going concern. Holding Company and the reports of Statutory Auditors
financial statements reflect the total assets of Rs. 13.16 Crores as applicable law or accounting standards, for material
• Evaluate the overall presentation, structure and content of the at 31st March, 2020, total revenues of Rs. 3.87 Crores and net cash of its subsidiary companies, none of the Directors of the foreseeable losses, if any, on long-term contracts
consolidated financial statements, including the disclosures, flow amounting of Rs. 0.36 Crore for the year ended on that date, Group Companies, is disqualified as on 31st March, 2020 including derivative contracts;
and whether the consolidated financial statements represent as considered in the consolidated financial statements. These from being appointed as a director in terms of section
iii. There has been no delay in transferring amounts,
the underlying transactions and events in a manner that financial statements have been audited by other auditors whose 164(2) of the Act.
required to be transferred, to the Investor Education
achieves fair presentation reports have been furnished to us by the management and our f) With respect to the adequacy of the internal financial and Protection Fund by the holding Company and
opinion on the consolidated financial statements, in so far as it controls over financial reporting of the Holding Company
• Obtain sufficient appropriate audit evidence regarding the its subsidiary Companies.
relates to the amounts and disclosures included in respect of these and its subsidiary companies and the operating
financial information of the entities or business activities
subsidiaries and our report in terms of sub-section (3) of Section effectiveness of such controls, refer to our separate report
within the Group to express an opinion on the consolidated For V. Sankar Aiyar & Co.
143 of the Act, in so far as it relates to the aforesaid subsidiaries is in “Annexure A”, which is based on the auditor’s report of Chartered Accountants
financial statements, of which we are the independent
based solely on the reports of the other auditors. the Holding Company and a Subsidiary Companies. (Firm Regn. No.: 109208W)
auditors. We are responsible for the direction, supervision and
performance of the audit of the financial statements of such Our opinion on the consolidated financial statements, and our g) With respect to the other matters to be included in the (M.S. BALACHANDRAN)
entities included in the consolidated financial statements of report on Other Legal and Regulatory Requirements below, is not Auditor’s Report in accordance with the requirements of Place : New Delhi Partner (M. No: 024282)
which we are the independent auditors. For the other entities modified in respect of the above matters with respect to the our section 197(16) of the Act, as amended: Date : 22nd May, 2020 UDIN: 20024282AAAABM7418
included in the consolidated financial statements, which have reliance on the work done and the reports of the other auditors
been audited by other auditors, such other auditors remain and explanation provided by the Management.
responsible for the direction, supervision and performance of
Report on Other Legal and Regulatory Requirements
the audits carried out by them. We remain solely responsible
for our audit opinion. 1 As required by section 143(3) of the Act, we report to the
extent applicable that:
We communicate with those charged with governance of
a) We have sought and obtained all the information and
the Holding Company and such other entities included in the
explanations which to the best of our knowledge and
consolidated financial statements of which we are the independent
belief were necessary for the purposes of our audit of the
auditors regarding, among other matters, the planned scope and
aforesaid consolidated financial statements;
timing of the audit and significant audit findings, including any
significant deficiencies in internal control that we identify during b) In our opinion, proper books of account as required by
our audit. law relating to preparation of the aforesaid consolidated

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CORPORATION
LIMITED

Annexure-A referred to in the Independent Auditors’ report to the Members of Birla Corporation conditions, or that the degree of compliance with the policies or Other Matter
Limited on the consolidated accounts for the year ended 31st March, 2020. procedures may deteriorate. Our aforesaid reports under section 143(3)(i) of the Act on the
Opinion adequacy and operating effectiveness of the Internal finance
We have audited the internal financial controls over financial included obtaining an understanding of internal financial controls over financial reporting in so far as it relates to six
reporting of BIRLA CORPORATION LIMITED (hereinafter referred controls over financial reporting, assessing the risk that a material In our opinion, to the best of our information and according to the
explanation given to us and based on the reports of other auditors, subsidiary companies is based on the corresponding reports of
to as “the Holding Company”) and its subsidiaries (collectively weakness exists, and testing and evaluating the design and the other auditors of the subsidiary companies. Our opinion is not
referred to as “the Group”), as of 31st March, 2020 in conjunction operating effectiveness of internal control based on the assessed the Holding Company and its subsidiary companies have, in all
material respects, an adequate internal financial controls system qualified in respect of this matter.
with our audit of the consolidated financial statements of the risk. The procedures selected depend on the auditor’s judgement,
over financial reporting and such internal financial controls over For V. Sankar Aiyar & Co.
Company for the year ended on that date. including the assessment of the risks of material misstatement of
financial reporting were operating effectively as at 31st March Chartered Accountants
Management’s Responsibility for Internal Financial Controls the consolidated financial statements, whether due to fraud or
2020, based on the internal control over financial reporting (Firm Regn. No.: 109208W)
error.
The respective Board of Directors of the Holding Company and criteria established by the Company considering the essential (M.S. BALACHANDRAN)
its subsidiary companies are responsible for establishing and We believe that the audit evidence we have obtained is sufficient components of internal control stated in the Guidance Note Place : New Delhi Partner (M. No: 024282)
maintaining internal financial controls based on the internal and appropriate to provide a basis for our audit opinion on the issued by the ICAI. Date : 22nd May, 2020 UDIN: 20024282AAAABM7418
control over financial reporting criteria established by the Holding Company’s internal financial controls system over financial
Company and its subsidiary companies considering the essential reporting.
components of internal control stated in the Guidance Note on Meaning of Internal Financial Controls over Financial
Audit of Internal Financial Controls over Financial Reporting (the Reporting
“Guidance Note”) issued by the Institute of Chartered Accountants A Company's internal financial control over financial reporting is a
of India (ICAI). These responsibilities include the design, process designed to provide reasonable assurance regarding the
implementation and maintenance of adequate internal financial reliability of financial reporting and the preparation of financial
controls that were operating effectively for ensuring the orderly statements for external purposes in accordance with generally
and efficient conduct of its business, including adherence to accepted accounting principles. A Company's internal financial
Company’s policies, the safeguarding of its assets, the prevention control over financial reporting includes those policies and
and detection of frauds and errors, the accuracy and completeness procedures that (1) pertain to the maintenance of records that,
of the accounting records, and the timely preparation of reliable in reasonable detail, accurately and fairly reflect the transactions
financial information, as required under the Act. and dispositions of the assets of the Company; (2) provide
Auditors’ Responsibility reasonable assurance that transactions are recorded as necessary
Our responsibility is to express an opinion on the Company's to permit preparation of financial statements in accordance
internal financial controls over financial reporting based on our with generally accepted accounting principles, and that receipts
audit and those conducted by other auditors. We and other and expenditures of the Company are being made only in
auditors conducted our audit in accordance with the Guidance accordance with authorisations of management and directors of
Note and the Standards on Auditing, issued by ICAI and deemed the Company; and (3) provide reasonable assurance regarding
to be prescribed under section 143(10) of the Act, to the extent prevention or timely detection of unauthorised acquisition, use,
applicable to an audit of internal financial controls, both applicable or disposition of the Company's assets that could have a material
to an audit of Internal Financial Controls and issued by ICAI. Those effect on the financial statements.
Standards and the Guidance Note require that ourselves and other Inherent Limitations of Internal Financial Controls over
auditors (We) comply with ethical requirements and plan and Financial Reporting
perform the audit to obtain reasonable assurance about whether Because of the inherent limitations of internal financial controls
adequate internal financial controls over financial reporting over financial reporting, including the possibility of collusion
was established and maintained and if such controls operated or improper management override of controls, material
effectively in all material respects. misstatements due to error or fraud may occur and not be
The audit involves performing procedures to obtain audit detected. Also, projections of any evaluation of the internal
evidence about the adequacy of the internal financial controls financial controls over financial reporting to future periods are
system over financial reporting and their operating effectiveness. subject to the risk that the internal financial control over financial
The audit of internal financial controls over financial reporting reporting may become inadequate because of changes in

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CORPORATION
LIMITED

CONSOLIDATED BALANCE SHEET AS AT 31ST MARCH, 2020 (` in Crores) CONSOLIDATED STATEMENT OF PROFIT & LOSS FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores)
Note No. As at 31st March, 2020 As at 31st March, 2019
ASSETS For the year ended For the year ended
NON-CURRENT ASSETS Note No. 31st March, 2020 31st March, 2019
Property, Plant and Equipment 6 6,373.25 6,293.10 INCOME
Capital Work-In-Progress 6 1,601.98 911.94 Revenue from Operations 29 6,915.69 6,548.73
Investment Property 7 0.16 0.17 Other Income 30 85.13 78.47
Goodwill on Consolidation 0.03 0.03 Total Income 7,000.82 6,627.20
Intangible Assets 8 951.29 970.13
Intangible Assets under Development 8 1.92 2.11 EXPENSES
Biological Assets other than Bearer Plants 9 0.82 0.87 Cost of Materials Consumed 31 958.12 961.25
Financial Assets Purchases of Stock-in-Trade 32 16.05 1.45
Investments 10 160.00 276.41
Changes in Inventories of Finished Goods, Stock-In-Trade and Work-in-Progress 33 (54.91) (20.91)
Loans 11 0.46 0.38
Other Financial Assets 12 124.32 108.35 Employee Benefits Expense 34 407.88 370.63
Non-Current Tax Asset (Net) 60.53 78.24 Finance Costs 35 387.67 370.52
Other Non-Current Assets 13 206.77 9,481.53 185.37 8,827.10 Depreciation and Amortisation Expense 36 351.91 339.12
CURRENT ASSETS Other Expenses 37 4,252.58 4,287.70
Inventories 14 787.63 783.02 Total Expenses 6,319.30 6,309.76
Financial Assets
Investments 15 676.17 600.32 Profit before Exceptional Items and Tax 681.52 317.44
Trade Receivables 16 250.38 262.20 Exceptional Items – –
Cash and Cash Equivalents 17 46.66 89.43 Profit before Tax 681.52 317.44
Bank Balances other than Note 17 18 209.15 49.53 Tax Expense : 38
Loans 11 1.10 1.24 Current Tax 75.29 84.56
Other Financial Assets 12 410.19 461.35 Deferred Tax 119.35 (2.26)
Other Current Assets 13 311.17 256.79 Income Tax for earlier years (18.30) (20.56)
Non-Current Assets classified as Held for Sale 19 1.49 2,693.94 0.63 2,504.51 176.34 61.74
Total Assets 12,175.47 11,331.61 Profit for the year before share in Profit of Associates and Non-Controlling Interest 505.18 255.70
EQUITY AND LIABILITIES Less: Share of Profit/(Loss) of Associates (Net of Tax Expense) – –
EQUITY Profit for the year 505.18 255.70
Equity Share Capital 20 77.01 77.01 Profit attributable to:
Other Equity 21 4,729.12 4,806.13 4,418.21 4,495.22 Owners of the Parent 505.18 255.69
Non-Controlling Interest 0.04 0.04 Non-Controlling Interest 0.00 0.01
LIABILITIES Other Comprehensive Income
NON-CURRENT LIABILITIES A Items that will not be reclassified to profit or loss 39.1 (128.70) 19.93
Financial Liabilities Income tax relating to these Items 4.74 0.52
Borrowings 22 3,668.95 3,623.21 (123.96) 20.45
Other Financial Liabilities 23 547.22 488.63 B. Items that will be reclassified to profit or loss 39.2 0.44 (0.24)
Provisions 24 50.02 42.13 Income tax relating to these items (0.16) (0.16)
Deferred Tax Liabilities (Net) 25 856.79 742.22 0.28 (0.40)
Non-Current Tax Liabilities (Net) 1.35 3.30
Other Non-Current Liabilities 26 144.89 5,269.22 151.71 5,051.20 Other Comprehensive Income for the year (Net of Tax) (123.68) 20.05
CURRENT LIABILITIES Other Comprehensive Income attributable to:
Financial Liabilities Owners of the Parent (123.68) 20.05
Borrowings 27 83.67 25.22 Non-Controlling Interest – –
Trade Payables 28
- Total outstanding dues of micro enterprises and small enterprises 3.83 7.30 Total Comprehensive Income for the year 381.50 275.75
- Total outstanding dues of creditors other than micro enterprises 518.92 620.01 Total Comprehensive Income attributable to:
and small enterprises Owners of the Parent 381.50 275.74
Other Financial Liabilities 23 1,282.16 876.88
Non-Controlling Interest 0.00 0.01
Other Current Liabilities 26 194.59 237.31
Earnings Per Share (Face value of ` 10/- each)
Provisions 24 16.89 11.69
Current Tax Liabilities (Net) 0.02 2,100.08 6.74 1,785.15 Basic & Diluted ( ` ) 46 65.60 33.21
Total Equity and Liabilities 12,175.47 11,331.61 Basis of Preparation 2
Basis of Preparation 2 Basis of Consolidation 3
Basis of Consolidation 3 Significant Accounting Policies 4
Significant Accounting Policies 4 Significant Judgements and Key Estimates 5
Significant Judgements and Key Estimates 5
The Notes are an integral part of the Consolidated Financial Statements.
The Notes are an integral part of the Consolidated Financial Statements.
As per our annexed Report of even date For and on behalf of the Board of Directors As per our annexed Report of even date For and on behalf of the Board of Directors
For V. SANKAR AIYAR & CO. For V. SANKAR AIYAR & CO.
Chartered Accountants ADITYA SARAOGI HARSH V. LODHA Chartered Accountants ADITYA SARAOGI HARSH V. LODHA
Firm Registration No. 109208W Chief Financial Officer Chairman Firm Registration No. 109208W Chief Financial Officer Chairman
(DIN : 00394094) (DIN : 00394094)
M. S. BALACHANDRAN M. S. BALACHANDRAN
Partner GIRISH SHARMA PRACHETA MAJUMDAR Partner GIRISH SHARMA PRACHETA MAJUMDAR
Membership No. 024282 Joint President (Indirect Taxes) Wholetime Director Membership No. 024282 Joint President (Indirect Taxes) Wholetime Director
& Company Secretary & Chief Executive Officer & Company Secretary & Chief Executive Officer
(DIN : 00179118) (DIN : 00179118)
New Delhi Kolkata New Delhi Kolkata
Date: 22nd May, 2020 Date: 22nd May, 2020 Date: 22nd May, 2020 Date: 22nd May, 2020

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LIMITED

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31ST MARCH, 2020 CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
For the year ended For the year ended For the year ended For the year ended
31st March, 2020 31st March, 2019 31st March, 2020 31st March, 2019
Cash Flow from Operating Activities: Cash Flow from Financing Activities
Profit after Exceptional Items & before Tax 681.52 317.44 Proceeds from Long Term Borrowings 662.92 73.79
Adjustments for : Repayments of Long Term Borrowings (531.37) (167.64)
Depreciation & Amortisation 351.91 339.12 (Repayments) / Proceeds from Short Term Borrowings (Net) 56.12 (35.89)
Investing Activities (Net) (60.24) (57.05) Payment of Lease Liabilities (1.68) –
Provision for doubtful debts 0.03 0.63 Interest paid (387.16) (344.80)
Bad debts 0.06 0.13 Dividend paid – (50.05)
(Profit) / Loss on sale/ discard of Property, Plant and Equipment (Net) 10.98 (2.05)
Dividend Distribution Tax paid – (10.29)
Profit on sale of Non Current Assets classified as Held for Sale (2.70) (5.80)
Net Cash used in Financing Activities (201.17) (534.88)
Fair Valuation for Biological Assets other than Bearer Plants 0.04 0.10
Amortisation of Deferred Revenue (1.33) (1.60)
Net Increase / (Decrease) in Cash and Cash Equivalents (43.94) (14.13)
Goodwill on Consolidation written off – 0.12
Cash and Cash Equivalents (Opening Balance) 89.43 103.56
Excess Liabilities, unclaimed balances and provisions written back (Net) (13.81) (5.50)
Cash and Cash Equivalents (Closing Balance) 45.49 89.43
Excess Depreciation written back – (0.01)
Effect of Foreign Exchange Fluctuations 7.18 24.07
Cash and Cash Equivalents as per balance sheet (Closing Balance)
Unwinding of interest on Loan 1.04 – 46.66 89.43
(Refer Note No. 17)
Finance Costs 387.67 370.52 Overdraft Balance in Current Account shown under Short Term Borrowings (1.17) –
Operating Profit before Working Capital changes 1,362.35 980.12 Cash and Cash Equivalents (Closing Balance) after adjusting Overdraft
45.49 89.43
balance
Adjustments for :
(Increase) / Decrease in Trade Receivables 13.04 (70.61)
(Increase) / Decrease in Inventories (4.61) (96.06) Note :
(Increase) / Decrease in Loans, Other Financial Assets & Other Assets 0.35 117.24 a) Reconciliation of Liabilities arising from financing activities
Increase / (Decrease) in Trade Payables & Other Liability 9.81 175.31
Financial Liability Opening Proceeds Repayments Forex Fair Value Closing
Increase / (Decrease) in Provisions 2.10 5.00 Adjustments Changes/other
Cash generated from operations 1,383.04 1,111.00 adjustments
Direct Taxes (Paid) / Refund Received (Net) (41.83) (46.87) Long Term Borrowings (Including current 4,023.98 662.92 531.37 39.08 3.67 4,198.28
maturity)
Net Cash from Operating Activities 1,341.21 1,064.13
Short Term Borrowings (Excluding 25.22 643.39 587.27 1.16 – 82.50
Cash Flow from Investing Activities: Overdraft Balance in Current Account)

Purchase of Tangible & Intangible Assets including CWIP / Capital Advances (990.68) (419.71) b) The above Statement of Cash Flows has been prepared under the ‘Indirect Method’ as set out in Ind AS 7, ‘Statement of Cash Flows’.
Sale of Tangible Assets 4.70 16.71 c) The composition of Cash & Cash Equivalent has been determined based on the Accounting Policy No. 4.2.
(Purchase) / Sale of Liquid Investments (Net) 266.60 (183.41) d) Figures for the previous year have been re-grouped wherever considered necessary.
Purchase of other Current Investments (438.39) (415.15) e) Direct Taxes paid are treated as arising from operating activities and are not bifurcated between investing and financing activities.
Sale of other Current Investments 135.92 446.43 f) The Notes are an integral part of Consolidated Financial Statements.

Purchase of Non current Investments (8.75) – As per our annexed Report of even date For and on behalf of the Board of Directors
For V. SANKAR AIYAR & CO.
Sale of Non-Current Investments – 0.03 Chartered Accountants ADITYA SARAOGI HARSH V. LODHA
Firm Registration No. 109208W Chief Financial Officer Chairman
Payment towards Investment in Subsidiary – (74.96) (DIN : 00394094)
M. S. BALACHANDRAN
(Increase)/ Decrease in Other Bank Balances (163.70) 62.41 Partner GIRISH SHARMA PRACHETA MAJUMDAR
Membership No. 024282 Joint President (Indirect Taxes) Wholetime Director
Interest received 7.71 22.41 & Company Secretary & Chief Executive Officer
Dividend received 2.61 1.86 (DIN : 00179118)
New Delhi Kolkata
Net Cash used in Investing Activities (1,183.98) (543.38)
Date: 22nd May, 2020 Date: 22nd May, 2020

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CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 31ST MARCH, 2020
a) Equity Share Capital ( Refer Note No. 20) (` in Crores)
Balance as at 1st April, 2018 77.01
Add/(Less): Changes in Equity Share Capital during the year -
Balance as at 31st March, 2019 77.01
Add/(Less): Changes in Equity Share Capital during the year -
Balance as at 31st March, 2020 77.01

b) Other Equity (Refer Note No. 21)

Reserve & Surplus Items of Other Comprehensive Income
Particulars Capital Capital Debenture General Retained Debt Instrument Equity Revaluation Total
Attributable
Reserve Reserve on Redemption Reserve Earnings through Other Instrument Surplus Attributable
Consolidation Reserve Comprehensive through Other to Non
to the Total
Income Comprehensive Controlling
Owners of the
Income Interest
Company

Balance as at 1st April, 2019 1.05 108.21 104.42 2,630.40 513.89 (0.95) 239.78 821.41 4,418.21 0.04 4,418.25
Profit for the Year – – – – 505.18 – – – 505.18 0.00 505.18
Remeasurement Gain/(Loss) – – – – (10.66) – – – (10.66) – (10.66)
Mark to Market Gain/(Loss) – – – – – 0.44 (118.04) – (117.60) – (117.60)
Impact of Tax – – – – 3.68 (0.16) – 1.06 4.58 – 4.58
Transition Impact of Ind AS – – – – (1.17) – – – (1.17) – (1.17)
116 - Leases (Refer Note No.
45)
Impact of Tax thereon – – – – 0.20 – – – 0.20 – 0.20
Total Comprehensive – – – – 497.23 0.28 (118.04) 1.06 380.53 0.00 380.53
Income
Final Dividend – – – – (57.75) – – – (57.75) – (57.75)
(` 7.50 per share) (Refer Note
No. 41.2)
Dividend Distribution Tax on – – – – (11.87) – – – (11.87) – (11.87)
Final Dividend (Refer Note
No. 41.2)
Transfer to Debenture – – 17.67 – (17.67) – – – – – –
Redemption Reserve
Transfer to General Reserve – – (37.50) 37.50 – – – – – – –
Total Appropriations / – – (19.83) 37.50 (87.29) – – – (69.62) – (69.62)
Adjustments
Balance as at 31st March, 2020 1.05 108.21 84.59 2,667.90 923.83 (0.67) 121.74 822.47 4,729.12 0.04 4,729.16

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 31ST MARCH, 2020 (Contd.)
b) Other Equity (` in Crores)

Reserve & Surplus Items of Other Comprehensive Income

Particulars Capital Capital Debenture General Retained Debt Instrument Equity Revaluation Total
Attributable
Reserve Reserve on Redemption Reserve Earnings through Other Instrument Surplus Attributable
Consolidation Reserve Comprehensive through Other to Non
to the Total
Income Comprehensive Controlling
Owners of the
Income Interest
Company

Balance as at 1st April, 2018 1.05 108.21 83.00 2,580.40 389.49 (0.55) 220.54 820.67 4,202.81 0.03 4,202.84
Profit for the Year – – – – 255.69 – – – 255.69 0.01 255.70
Remeasurement Gain/(Loss) – – – – 0.69 – – – 0.69 – 0.69
Mark to Market Gain/(Loss) – – – – – (0.24) 19.24 – 19.00 – 19.00
Impact of Tax – – – – (0.22) (0.16) – 0.74 0.36 – 0.36
Total Comprehensive – – – – 256.16 (0.40) 19.24 0.74 275.74 0.01 275.75
Income
Final Dividends Paid – – – – (50.05) – – – (50.05) – (50.05)
(` 6.50 per share)
Dividend Distribution Tax on – – – – (10.29) – – – (10.29) – (10.29)
Final Dividend
Transfer to General Reserve – – – 50.00 (50.00) – – – – – –
Transfer to Debenture – – 21.42 – (21.42) – – – – – –
Redemption Reserve
Total Appropriations / – – 21.42 50.00 (131.76) – – – (60.34) – (60.34)
Adjustments
Balance as at 31st March, 2019 1.05 108.21 104.42 2,630.40 513.89 (0.95) 239.78 821.41 4,418.21 0.04 4,418.25

The Notes are an integral part of the Consolidated Financial Statements.

As per our annexed Report of even date For and on behalf of the Board of Directors
For V. SANKAR AIYAR & CO.
Chartered Accountants ADITYA SARAOGI HARSH V. LODHA
Firm Registration No. 109208W Chief Financial Officer Chairman
(DIN : 00394094)
M. S. BALACHANDRAN
Partner GIRISH SHARMA PRACHETA MAJUMDAR
Membership No. 024282 Joint President (Indirect Taxes) Wholetime Director
& Company Secretary & Chief Executive Officer
(DIN : 00179118)
New Delhi Kolkata
Date: 22nd May, 2020 Date: 22nd May, 2020
BIRLA

LIMITED

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2020

1 CORPORATE AND GENERAL INFORMATION A liability is current when:

Birla Corporation Limited (the Parent Company) is the flagship company of the M. P. Birla Group. The Parent Company is a Public Limited Listed It is expected to be settled in normal operating cycle;
Company domiciled and incorporated in India having its Registered Office at Kolkata, West Bengal, India. It was incorporated as per the provisions
It is held primarily for the purpose of trading;
of Companies Act as Birla Jute Manufacturing Company Limited in the year 1919. The Parent Company and its subsidiaries together referred as “the
Group”. The Group is primarily engaged in the manufacturing of cement as its core business activity. It has significant presence in the jute industry It is due to be settled within twelve months after the reporting period; or
as well.
There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period.
2 BASIS OF PREPARATION
The Group classifies all other liabilities as non-current. Deferred Tax Assets and Liabilities are classified as non-current assets and liabilities
2.1 Statement of Compliance respectively.

These consolidated financial statements (“the financial statements”) have been prepared in accordance with the Indian Accounting Standards (“Ind 3 BASIS OF CONSOLIDATION
AS”) as prescribed under Section 133 of the Companies Act, 2013 (“the Act”), read with the Companies (Indian Accounting Standards) Rules, 2015
Subsidiaries
(as amended), other relevant provisions of the Act and other accounting principles generally accepted in India.
Subsidiaries are all entities over which the Group has control. The Group controls an entity when the Group is exposed to, or has rights to, variable
The financial statements of the Groupfor the year ended 31st March, 2020 have been approved by the Board of Directors in their meeting held on
returns from its involvement with the entity and has the ability to affect those returns through its power to direct the relevant activities of the
22nd May, 2020.
entity. Subsidiaries are fully consolidated from the date on which control is transferred to the Group. They are deconsolidated from the date when
2.2 Basis of Measurement control ceases. Profit/(loss) and Other Comprehensive Income (‘OCI’) of subsidiaries acquired or disposed of during the period are recognised from
the effective date of acquisition, or up to the effective date of disposal, as applicable. All the consolidated subsidiaries have a consistent reporting
The financial statements have been prepared on historical cost basis, except for following:
date of 31st March, 2020. The Group consolidates the financial statements of the parent and its subsidiaries on line by line basis adding together
Financial Assets and Liabilities (including Derivative Instruments) that is measured at fair value / amortised cost; the items of assets, liabilities, equity, income and expenses. Intercompany transactions, balances and unrealised gains on transactions between
group companies are eliminated. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the transferred
Non-Current Assets classified as Held for Sale - measured at the lower of the carrying amounts and fair value less cost to sell;
asset. Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the Group.
Defined Benefit Plans – plan assets measured at fair value; Non-controlling interests, presented as part of equity, represent the portion of a subsidiary’s Statement of Profit and Loss and net assets that is not
held by the Group. Profit/(loss) and each component of OCI are attributed to the equity holders of the Parent Company and to the non-controlling
Biological assets – At fair value less cost to sell; and
interests, even if this results in the non-controlling interests having a deficit balance. The Group attributes total comprehensive income or loss of the
Freehold Land falling under Property, Plant & Equipment that is measured at fair value. subsidiaries between the owners of the parent and the non-controlling interests based on their respective ownership interests.

2.3 Functional and Presentation Currency The Group treats transactions with non-controlling interests that do not result in a loss of control, as transactions with equity owners of the Group.
Such a change in ownership interest results in an adjustment between the carrying amounts of the controlling and non-controlling interests
The financial statements have been presented in Indian Rupees (INR or `), which is also the Group’s functional currency. All financial information
to reflect their relative interests in the Subsidiary. Any difference between the amount of the adjustment to non-controlling interests and any
presented in INR has been rounded off to the nearest Crores, unless otherwise stated. Wherever the amount represented ` “0.00” (Zero) construes
consideration paid or received is recognised within equity.
value less than Rupees fifty thousand.
Associates
2.4 Use of Estimates and Judgements
Investment in entities in which there exists significant influence but not a controlling interest are accounted for under the equity method i.e. the
The preparation of financial statements require judgements, estimates and assumptions to be made that affect the reported amount of assets
investment is initially recorded at cost, identifying any goodwill/capital reserve arising at the time of acquisition, as the case may be, which will be
and liabilities including contingent liabilities on the date of the financial statements and the reported amount of revenues and expenses during
inherent in investment. The carrying amount of the investment is adjusted thereafter for the post acquisition change in the share of net assets of the
the reporting period. Difference between actual results and estimates are recognized in the period prospectively in which the results are known/
investee, adjusted where necessary to ensure consistency with the accounting policies of the Group. The consolidated Statement of Profit and Loss
materialized.
includes the Group’s share of the results of the operations of the investee. Dividends received or receivable from associate ventures are recognised
2.5 Current Versus Non-Current classification as a reduction in the carrying amount of the investment. Unrealised gains on transactions between the Group and associates are eliminated to the
The Group presents assets and liabilities in the Balance Sheet based on current / non-current classification. An asset is classified as current when it extent of the Group’s interest in these entities.
is: Business combinations
Expected to be realized or intended to be sold or consumed in normal operating cycle; The Group applies the acquisition method in accounting for business combinations. The consideration transferred by the Group to obtain control of
Held primarily for the purpose of trading; a subsidiary is calculated as the sum of the fair values of assets transferred on acquisition-date, liabilities incurred and the equity interests issued by
the Group, which includes the fair value of any asset or liability arising from a contingent consideration arrangement. Acquisition costs are expensed
Expected to be realized within twelve months after the reporting period; or as incurred.
Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values on
All the other assets are classified as non-current. acquisition-date.

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Goodwill is initially measured at cost, being the excess of the aggregate of the consideration transferred and the amount recognised for non- Deferred tax assets and liabilities are offset when there is a legally enforceable right to set off current tax assets against current tax liabilities
controlling interests, and any previous interest held, over the net identifiable assets acquired and liabilities assumed. If the fair value of the net assets and when they relate to income taxes levied by the same taxation authority and the Group intends to settle its current tax assets and
acquired is in excess of the aggregate consideration transferred, the excess is recognised capital reserve. liabilities on a net basis.

Contingent consideration is classified either as equity or financial liability. Amount classified as financial liability are subsequently re-measured to 4.4 Property, Plant and Equipment
fair value with changes in fair value recognised in Statement of Profit and Loss.
4.4.1 Recognition and Measurement :
Business combinations involving entities or businesses under common control have been accounted for using the pooling of interest method. The
Property, plant and equipment held for use in the production or/and supply of goods or services, or for administrative purposes, are stated in
assets and liabilities of the combining entities are reflected at their carrying amounts. No adjustments have been made to reflect fair values, or to
the Balance Sheet at cost, less accumulated depreciation and accumulated impairment losses (if any)except freehold land where the Group
recognise any new assets or liabilities except changes made to harmonise the accounting policies.
had opted revaluation model, (Refer Note No.6.2).
4 SIGNIFICANT ACCOUNTING POLICIES
Cost of an item of property, plant and equipment acquired comprises its purchase price, including import duties and non-refundable
A summary of the significant accounting policies applied in the preparation of the consolidated financial statements are as given below. These purchase taxes, directly attributable borrowing costs, any other directly attributable costs of bringing the assets to its working condition and
accounting policies have been applied consistently to all the periods presented in the financial statements. location for its intended use, present value of any estimated cost of dismantling and removing the item and restoring the site on which it is
located.
4.1 Inventories
In case of self-constructed assets, cost includes the costs of all materials used in construction, direct labour, allocation of directly attributable
Inventories are valued at Cost or Net Realizable Value, whichever is lower. Cost comprise of all costs of purchase (Net of Input Tax Credit), costs of
overheads, directly attributable borrowing costs incurred in bringing the item to working condition for its intended use, and estimated cost
conversion and other costs incurred in bringing the inventories to their present location and condition. Cost is determined on weighted average
of dismantling and removing the item and restoring the site on which it is located. The costs of testing whether the asset is functioning
basis. Net Realizable Value is the estimated selling price in the ordinary course of business less estimated cost of completion and the estimated cost
properly, after deducting the net proceeds from selling items produced while bringing the asset to that location and condition are also added
necessary to make the sale. However, materials and other items held for use in the production of inventories are not written down below cost if the
to the cost of self-constructed assets.
finished products in which they will be incorporated are expected to be sold at or above cost.
The Group had opted for accounting the exchange differences arising on reporting of long term foreign currency monetary items in line
4.2 Cash and Cash Equivalents
with Companies (Accounting Standards) Amendment Rules 2009 relating to Accounting Standard-11 notified by Government of India on
Cash and cash equivalents in the Balance Sheet comprise cash in hand, balance with Banks and short term deposits with an original maturity of 31st March, 2009 (as amended on 29th December, 2011), which will be continued in accordance with Ind-AS 101 for all pre-existing long
three months or less, which are subject to an insignificant risk of change in value. However, for the purpose of the Cash Flow Statement the same is term foreign currency monetary items as at 31stMarch, 2016. Accordingly, exchange differences relating to long term monetary items, arising
net of outstanding bank overdrafts. during the year, in so far as they relate to the acquisition of fixed assets, are adjusted in the carrying amount of such assets.
4.3 Income Tax If significant parts of an item of property, plant and equipment have different useful lives, then they are accounted for as separate items
Income Tax comprises current and deferred tax. It is recognized in the Statement of Profit and Loss except to the extent that it relates to an item (major components) of property, plant and equipment.
recognized directly in equity or in other comprehensive income. Profit or Loss arising on the disposal of property, plant and equipment are recognized in the Statement of Profit and Loss.
4.3.1 Current Tax 4.4.2 Subsequent Expenditure
Current tax liabilities (or assets) for the current and prior periods are measured at the amount expected to be paid to (recovered from) the taxation Subsequent costs are included in the asset’s carrying amount, only when it is probable that future economic benefits associated with the cost
authorities using the tax rates (and tax laws) that have been enacted or substantively enacted, at the end of the reporting period. incurred will flow to the Group and the cost of the item can be measured reliably. The carrying amount of any component accounted for as a
4.3.2 Deferred Tax separate asset is derecognized when replaced.

Deferred tax assets and liabilities shall be measured at the tax rates that are expected to apply to the period when the asset is realized or the Major Inspection / Repairs / Overhauling expenses are recognized in the carrying amount of the item of property, plant and equipment
liability is settled based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. as a replacement if the recognition criteria are satisfied. Any unamortized part of the previously recognized expenses of similar nature is
derecognized.
Deferred tax is recognized in respect of temporary differences between the carrying amounts of assets and liabilities for financial reporting
purposes and the corresponding amounts used for taxation purposes (i.e., tax base). Deferred tax is also recognized for carry forward of 4.4.3 Depreciation and Amortization
unused tax losses and unused tax credits.
Depreciation on tangible assets is provided on straight line method at the rates determined based on the useful lives of respective assets as
Deferred tax assets are recognized to the extent that it is probable that taxable profit will be available against which the deductible temporary prescribed in the Schedule II of the Act.
differences, and the carry forward of unused tax credits and unused tax losses can be utilized.
In case the cost of part of tangible asset is significant to the total cost of the assets and useful life of that part is different from the remaining
The carrying amount of deferred tax assets is reviewed at the end of each reporting period. The Group reduces the carrying amount of a useful life of the asset, depreciation has been provided on straight line method based on internal assessment and independent technical
deferred tax asset to the extent that it is no longer probable that sufficient taxable profit will be available to allow the benefit of part or that evaluation carried out by external valuers, which the management believes that the useful lives of the component best represent the period
entire deferred tax asset to be utilized. Any such reduction is reversed to the extent that it becomes probable that sufficient taxable profit will over which it expects to use those components. In case of certain components of plant and machineries depreciation has been provided
be available. based on the useful life considered at 2-15 years.

Deferred tax relating to items recognized outside the Statement of Profit and Loss is recognized either in other comprehensive income or Depreciation and amortization on right of use assets (Lease hold land, Building and Plant & Machinery) is provided on straight line method
in equity. Deferred tax items are recognized in correlation to the underlying transaction either in other comprehensive income or directly in over the period of lease.
equity.

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Depreciation on additions (disposals) during the year is provided on a pro-rata basis i.e. from (up to) the date on which asset is ready for use 4.5.3 Group as Lessee
(disposed off ).
The Group’s lease asset classes primarily comprise of lease for land and building. The Group assesses whether a contract contains a lease, at
Depreciation method, useful lives and residual values are reviewed at each financial year-end and adjusted if appropriate. inception of a contract. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time
in exchange for consideration. To assess whether a contract conveys the right to control the use of an identified asset, the Group assesses whether:
4.4.4 Disposal of Assets
(i) the contract involves the use of an identified asset (ii) the Group has substantially all of the economic benefits from use of the asset through the
An item of property, plant and equipment is derecognized upon disposal or when no future economic benefits are expected to arise from the period of the lease and (iii) the Group has the right to direct the use of the asset.
continued use of the asset. Any gain or loss arising on the disposal or retirement of an item of property, plant and equipment is determined as the
The Group applies a single recognition and measurement approach for all leases, except for short-term leases and leases of low-value assets. For
difference between net disposal proceeds and the carrying amount of the asset and is recognized in the Statement of Profit and Loss.
these short-term and low value leases, the Group recognizes the lease payments as an operating expense on a straight-line basis over the term of
4.4.5 Reclassification to Investment Property the lease. The Group recognises lease liabilities to make lease payments and right-of-use assets representing the right to use the underlying assets
as below:
When the use of a property changes from owner-occupied to investment property, the property is reclassified as investment property at its carrying
amount on the date of reclassification. Right of Use Assets

4.4.6 Capital Work in Progress The Group recognises right of use assets at the commencement date of the lease (i.e., the date the underlying asset is available for use). Right
of use assets are measured at cost, less any accumulated depreciation and impairment loss, if any, and adjusted for any re-measurement
Capital work-in-progress is stated at cost less accumulated impairment loss, if any, which includes expenses incurred during construction period,
of lease liabilities. The cost of right of use assets includes the amount of lease liabilities recognised, initial direct costs incurred, and lease
interest on amount borrowed for acquisition of qualifying assets and other expenses incurred in connection with project implementation in so far
payments made at or before the commencement date less any lease incentives received. Right of use assets are depreciated on a straight-line
as such expenses relate to the period prior to the commencement of commercial production.
basis over the shorter of the lease term and the estimated useful lives of the underlying assets.
4.4.7 Stripping Cost
If ownership of the leased asset transfers to the Company at the end of the lease term or the cost reflects the exercise of a purchase option,
The stripping cost incurred during the production phase of a surface mine is recognized as an asset if such cost provides a benefit in terms of depreciation is calculated using the estimated useful life of the asset. The right of use assets are also subject to impairment. Refer to the
improved access to ore in future periods and following criteria are met. accounting policies in section ‘Impairment of Non-Financial Assets’.
It is probable that the future economic benefits (improved access to an ore body) associated with the stripping activity will flow to the entity; Lease Liabilities
The entity can identify the component of an ore body for which access has been improved; and At the commencement date of the lease, the Group recognises lease liabilities measured at the present value of lease payments to be made
The costs relating to the improved access to that component can be measured reliably. over the lease term. The lease payments include fixed payments (including in substance fixed payments) less any lease incentives receivable,
variable lease payments that depend on an index or a rate, and amounts expected to be paid under residual value guarantees. The lease
The stripping activity asset is subsequently depreciated on a unit of production basis over the life of the identified component of the ore body payments also include the exercise price of a purchase option reasonably certain to be exercised by the Company and payments of penalties
that became more accessible as a result of the stripping activity and is then stated at cost less accumulated depreciation and any accumulated for terminating the lease, If any.
impairment loss, if any. The expenditure which cannot be specifically identified to have been incurred to access ore is charged to revenue based on
stripping ratio as per the mining plan. In calculating the present value of lease payments, the Group uses its incremental borrowing rate at the lease commencement date. After the
commencement date, the amount of lease liabilities is increased to reflect the accretion of interest and reduced for the lease payments made.
4.5 Leases In addition, the carrying amount of lease liabilities is re-measured if there is a modification, a change in the lease term, a change in the lease
4.5.1 Determining whether an arrangement contains a lease payments (e.g., changes to future payments resulting from a change in an index or rate used to determine such lease payments) or a change
in the assessment of an option to purchase the underlying asset.
The determination of whether an arrangement is (or contains) a lease is based on the substance of the arrangement at the inception of the lease.
The arrangement is, or contains, a lease if fulfillment of the arrangement is dependent on the use of a specific asset or assets and the arrangement The Group’s lease liabilities are included in other current and non-current financial liabilities.
conveys a right to use the asset or assets, even if that right is not explicitly specified in an arrangement. Short-term leases and leases of low-value assets
4.5.2 Group as lessor The Group applies the short-term lease recognition exemption to its short-term leases (i.e., those leases that have a lease term of 12 months or
Finance Lease less from the commencement date and do not contain a purchase option). It also applies the lease of low-value assets recognition exemption
to leases that are considered to be low value. Lease payments on short-term leases and leases of low-value assets are recognised as expense
Leases which effectively transfer to the lessee substantially all the risks and benefits incidental to ownership of the leased item are classified on a straight-line basis over the lease term.
and accounted for as finance lease. Lease rental receipts are apportioned between the finance income and capital repayment based on the
implicit rate of return. Contingent rents are recognized as revenue in the period in which they are earned. “Lease liability” and “Right of Use” asset have been separately presented in the Balance Sheet and lease payments have been classified as
financing cash flows.
Operating Lease
4.6 Revenue Recognition
Leases in which the Group does not transfer substantially all the risks and rewards of ownership of an asset are classified as operating leases.
Rental income from operating leases is recognized on a straight-line basis over the term of the relevant lease except where scheduled Effective 1st April, 2018, the Group has adopted Ind AS 115 “Revenue from Contracts with Customers” in respect of recognition of revenue from
increase in rent compensates the Group with expected inflationary costs. contracts with customers which provides a control-based revenue recognition model and a five step application approach for revenue recognition

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as under: 4.7.3 Post Employment Benefits

Identification of the contract(s) with customers; The Group operates the following post-employment schemes:

Identification of the performance obligations; Defined Benefit Plans

Determination of the transaction price; The liability or asset recognized in the Balance Sheet in respect of defined benefit plans is the present value of the defined benefit obligation
Allocation of the transaction price to the performance obligations; at the end of the reporting period less the fair value of plan assets. The Group’s net obligation in respect of defined benefit plans is calculated
separately for each plan by estimating the amount of future benefit that employees have earned in the current and prior periods. The defined
Recognition of the revenue when or as the Company satisfies performance obligation. benefit obligation is calculated annually by Actuaries using the projected unit credit method.
Revenue from contracts with customers is recognized when control of the goods or services are transferred to the customer at an amount that
The liability recognized for defined benefit plans is the present value of the defined benefit obligation at the reporting date less the fair
reflects the consideration to which the Group expects to be entitled in exchange for those goods or services. Revenue excludes amounts collected
value of plan assets, together with adjustments for unrecognized actuarial gains or losses and past service costs. The net interest cost is
on behalf of third parties.
calculated by applying the discount rate to the net balance of the defined benefit obligation and the fair value of plan assets. The benefits are
4.6.1 Sale of Goods discounted using the government securities (G-Sec) at the end of the reporting period that have terms approximating to the terms of related
obligation.
Revenue from the sale of goods is recognized when the Group satisfies a performance obligation at a point in time by transferring the goods to
customers, i.e., when customers obtain control of the goods. Revenue from the sale of goods is measured at fair value of the consideration received Re-measurements of the net defined benefit obligation, which comprise actuarial gains and losses, the return on plan assets (excluding
or receivable, net of returns and variable considerations i.e. discounts, rebates, sales claim etc. interest) and the effect of the asset ceiling, are recognized in other comprehensive income. Re-measurement recognized in other
comprehensive income is reflected immediately in retained earnings and will not be reclassified to the Statement of Profit and Loss.
4.6.2 Variable Consideration
Defined Contribution Plan
If the consideration in a contract includes a variable amount, the Group estimates the amount of consideration to which it will be entitled in
exchange for transferring the goods to customer. The variable consideration is estimated at contract inception and constrained until it is highly Contributions to defined contribution plans such as provident fund contribution to government administered fund in respect of certain
probable that a significant revenue reversal in the amount of cumulative revenue recognised will not occur when the associated uncertainty with employees are charged to the Statement of Profit and Loss as and when incurred. Such benefits are classified as defined contribution plans
the variable consideration is subsequently resolved. as the Group does not carry any further obligations, apart from the contributions made on monthly basis.

The Group provides volume rebates to certain customers once the quantity of products purchased during the period exceeds a threshold specified Further in respect of other employees, provident fund contributions are made to various non government administered trusts. The interest
in the contract. Rebates are offset against amounts payable by the customer. The volume rebates / cash discount give rise to variable consideration. rates payable to the members of the trust cannot not be lower than the statutory rate of interest notified by the government. The Group has
To estimate the variable consideration for the expected future rebates / cash discount, the Group applies the most likely amount method for an obligation to make good the shortfall in the interest amount, if any. In view of the Group’s obligation to meet the shortfall, the same has
contracts with a single volume threshold and the expected value method for contracts with more than one volume threshold that best predicts the been considered as the defined benefit plan. The expenses on account of provident fund maintained by the trusts are based on actuarial
amount of variable consideration. valuation using projected unit credit method.
4.6.3 Interest Income 4.7.4 Termination Benefit
For all debt instruments measured either at amortized cost or at fair value through other comprehensive income (FVTOCI), interest income is Expenditure incurred on Voluntary Retirement Scheme is charged to the Statement of Profit and Loss immediately.
recorded using the effective interest rate (EIR). EIR is the rate that exactly discounts the estimated future cash receipts over the expected life of the
financial instrument or a shorter period, where appropriate, to the gross carrying amount of the financial asset. 4.8 Government Grants

4.6.4 Dividend Income Government grants are recognized at their fair values when there is reasonable assurance that the grants will be received and the Group will comply
with all the attached conditions. When the grant relates to an expense item, it is recognized as income on a systematic basis over the periods that
Dividend Income from investments is recognized when the Group’s right to receive payment has been established. the related costs, for which it is intended to compensate, are expensed. Grants related to purchase of property, plant and equipment are included
4.7 Employee Benefits in non-current liabilities as deferred income and are credited to the Statement of Profit and Loss on a straight line basis over the expected useful life
of the related asset and presented within other operating revenue or netted off against the related expenses.
4.7.1 Short Term Benefits
4.9 Foreign Currency Transactions
Short term employee benefit obligations are measured on an undiscounted basis and are expensed as the related services are provided. Liabilities
for wages and salaries, including non-monetary benefits that are expected to be settled wholly within twelve months after the end of the period in Foreign currency transactions are translated into the functional currency using the spot rates of exchanges at the dates of the transactions.
which the employees render the related service are recognized in respect of employees’ services up to the end of the reporting period. Monetary assets and liabilities denominated in foreign currencies are translated at the functional currency spot rates of exchange at the
reporting date.
4.7.2 Other Long Term Employee Benefits
Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation of monetary assets and
The liabilities for earned leaves and sick leaves that are not expected to be settled wholly within twelve months are measured as the present value
liabilities are generally recognized in the Statement of Profit and Loss in the year in which they arise except for exchange differences on foreign
of the expected future payments to be made in respect of services provided by employees up to the end of the reporting period using the projected
currency borrowings relating to assets under construction for future productive use, which are included in the cost of those qualifying assets
unit credit method. The benefits are discounted using the government securities (G-Sec) rates at the end of the reporting period that have terms
when they are regarded as an adjustment to interest costs on those foreign currency borrowings, the balance is presented in the Statement
approximating to the terms of related obligation. Re-measurements as the result of experience adjustment and changes in actuarial assumptions
of Profit and Loss within finance costs.
are recognized in the Statement of Profit and Loss.

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Non-monetary items are not retranslated at period end and are measured at historical cost (translated using the exchange rate at the for impairment gains or losses and foreign exchange gains or losses. Interest calculated using the effective interest method is
transaction date). recognized in the Statement of Profit and Loss in investment income.

The Group had opted for accounting the exchange differences arising on reporting of long term foreign currency monetary items in line with Measured at FVTPL: FVTPL is a residual category for debt instruments. Any debt instrument, which does not meet the criteria for
Companies (Accounting Standards) Amendment Rules 2009 relating to Accounting Standard-11 notified by Government of India on 31st categorization as at amortized cost or as FVTOCI, is classified as FVTPL. In addition, the Group may elect to designate a debt instrument,
March, 2009 (as amended on 29th December, 2011), which is continued in accordance with Ind-AS 101 for all pre-existing long term foreign which otherwise meets amortized cost or FVTOCI criteria, as at FVTPL. Debt instruments included within the FVTPL category are
currency monetary items as at 31st March, 2016. Accordingly, exchange differences relating to long term monetary items, in so far as they measured at fair value with all changes recognized in the Statement of Profit and Loss.
relate to the acquisition of fixed assets, are adjusted in the carrying amount of such assets. Equity Instruments measured at FVTOCI: All equity investments in scope of Ind AS – 109 are measured at fair value. Equity instruments
4.10 Borrowing Cost which are, held for trading are classified as at FVTPL. For all other equity instruments, the Group may make an irrevocable election to
present in other comprehensive income subsequent changes in the fair value. The Group makes such election on an instrument-by-
Borrowing Costs consists of interest and other costs that an entity incurs in connection with the borrowings of funds. Borrowing costs also instrument basis. The classification is made on initial recognition and is irrevocable. In case the Group decides to classify an equity
includes exchange difference to the extent regarded as an adjustment to the borrowing costs. instrument as at FVTOCI, then all fair value changes on the instrument, excluding dividends, are recognized in the other comprehensive
Borrowing costs directly attributable to the acquisition or construction of a qualifying asset are capitalized as a part of the cost of that asset income. There is no recycling of the amounts from other comprehensive income to the Statement of Profit and Loss, even on sale of
that necessarily takes a substantial period of time to complete and prepare the asset for its intended use or sale. The Group considers a period investment.
of twelve months or more as a substantial period of time. Derecognition
Transaction costs in respect of long term borrowing are amortized over the tenure of respective loans using Effective Interest Rate (EIR) The Group derecognizes a financial asset on trade date only when the contractual rights to the cash flows from the asset expire, or when it
method. All other borrowing costs are recognized in the Statement of Profit and Loss in the period in which they are incurred. transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another entity.
4.11 Financial Instruments Impairment of Financial Assets

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity. The Group assesses at each date of Balance Sheet whether a financial asset or a group of financial assets is impaired. Ind AS – 109 requires
expected credit losses to be measured through a loss allowance. The Group recognizes lifetime expected losses for all contract assets and/
4.11.1 Financial Assets
or all trade receivables that do not constitute a financing transaction. For all other financial assets, expected credit losses are measured at an
Recognition and Initial Measurement: amount equal to the 12 month expected credit losses or at an amount equal to the life time expected credit losses if the credit risk on the
financial asset has increased significantly since initial recognition.
All financial assets are initially recognized when the Group becomes a party to the contractual provisions of the instruments. A financial asset
is initially measured at fair value plus, in the case of financial assets not recorded at fair value through Profit or Loss, transaction costs that are 4.11.2 Financial Liabilities
attributable to the acquisition of the financial asset.
Recognition and Initial Measurement:
Classification and Subsequent Measurement: Financial liabilities are classified, at initial recognition, as at fair value through Profit or Loss, loans and borrowings, payables or as derivatives,
For purposes of subsequent measurement, financial assets are classified in four categories: as appropriate. All financial liabilities are recognized initially at fair value and, in the case of loans and borrowings and payables, net of directly
attributable transaction costs.
Measured at Amortized Cost;
Measured at Fair Value Through Other Comprehensive Income (FVTOCI); Subsequent Measurement:

Measured at Fair Value Throughof Profit or Loss (FVTPL); and Financial liabilities are measured subsequently at amortized cost or FVTPL. A financial liability is classified as FVTPL if it is classified as held-
Equity Instruments measured at Fair Value Through Other Comprehensive Income (FVTOCI). for-trading, or it is a derivative or it is designated as such on initial recognition. Financial liabilities at FVTPL are measured at fair value and
net gains and losses, including any interest expense, are recognized in the Statement of Profit and Loss. Other financial liabilities including
Financial assets are not reclassified subsequent to their initial recognition, except if and in the period the Group changes its business model borrowings and payables are subsequently measured at amortized cost using the effective interest rate method. Interest expense and
for managing financial assets. foreign exchange gains and losses are recognized in the Statement of Profit and Loss. Any gain or loss on derecognition is also recognized in
Measured at Amortized Cost: A debt instrument is measured at the amortized cost if both the following conditions are met: the Statement of Profit and Loss.
ƒ The asset is held within a business model whose objective is achieved by both collecting contractual cash flows; and Financial Guarantee Contracts
ƒ The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and Financial guarantee contracts issued by the Group are those contracts that require a payment to be made to reimburse the holder for a loss it
interest (SPPI) on the principal amount outstanding. incurs because the specified debtor fails to make a payment when due in accordance with the terms of a debt instrument. Financial guarantee
After initial measurement, such financial assets are subsequently measured at amortized cost using the effective interest rate (EIR) contracts are recognized initially as a liability at fair value, adjusted for transaction costs that are directly attributable to the issuance of the
method. guarantee. Subsequently, the liability is measured at the higher of the amount of loss allowance determined as per impairment requirement
of Ind AS 109 and the amount recognized less cumulative amortization.
Measured at FVTOCI: A debt instrument is measured at the FVTOCI if both the following conditions are met:
Derecognition
ƒ The objective of the business model is achieved by both collecting contractual cash flows and selling the financial assets; and
A financial liability is derecognized when the obligation under the liability is discharged or cancelled or expires.
ƒ The asset’s contractual cash flows represent SPPI.
Offsetting financial instruments
Debt instruments meeting these criteria are measured initially at fair value plus transaction costs. They are subsequently
measured at fair value with any gains or losses arising on re-measurement recognized in other comprehensive income, except Financial assets and liabilities are offset and the net amount reported in the Balance Sheet when there is a legally enforceable right to offset
the recognized amounts and there is an intention to settle on a net basis or realize the asset and settle the liability simultaneously. The legally

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enforceable right must not be contingent on future events and must be enforceable in the normal course of business and in the event of [Link] Mining Rights
default, insolvency or bankruptcy of the counterparty.
Mining Rights are initially recognized at cost and subsequently at cost less accumulated amortization and accumulated impairment loss, if any.
4.11.3 Derivative financial instruments:
Acquisition Cost i.e., cost associated with acquisition of licenses, and rights to explore including related professional fees, payment towards
The Group enters into derivative financial instruments viz. foreign exchange forward contracts, interest rate swaps and cross currency swaps to statutory forestry clearances, as and when incurred, are treated as addition to the Mining Right.
manage its exposure to interest rate and foreign exchange rate risks. The Group does not hold derivative financial instruments for speculative
[Link] Other Intangible Assets
purposes.
Software which is not an integral part of related hardware is treated as intangible asset and stated at cost on initial recognition and subsequently
Derivatives are initially recognized at fair value at the date the derivative contracts are entered into and are subsequently remeasured to their fair
measured at cost less accumulated amortization and accumulated impairment loss, if any.
value at the end of each reporting period. The resulting gain or loss is recognised in Profit or Loss immediately.
[Link] Intangible Assets acquired through Business Combination
4.12 Impairment of Non-Financial Assets
Intangible assets acquired in a business combination are recognized at fair value at the acquisition date. Subsequently, intangible assets are
The Group assesses, at each reporting date, whether there is an indication that an asset may be impaired. An asset is treated as impaired
carried at cost less any accumulated amortisation and accumulated impairment losses, if any.
when the carrying cost of the asset exceeds its recoverable value being higher of value in use and net selling price. Value in use is computed
at net present value of cash flow expected over the balance useful lives of the assets. For the purpose of assessing impairment, assets are 4.14.2 Subsequent Expenditure
grouped at the lowest levels for which there are separately identifiable cash inflows which are largely independent of the cash inflows from
Subsequent costs are included in the asset’s carrying amount, only when it is probable that future economic benefits associated with the cost
other assets or group of assets (Cash Generating Units – CGU).
incurred will flow to the Group and the cost of the item can be measured reliably. All other expenditure is recognized in the Statement of Profit
An impairment loss is recognized as an expense in the Statement of Profit and Loss in the year in which an asset is identified as impaired. The and Loss.
impairment loss recognized in earlier accounting period is reversed if there has been an improvement in recoverable amount.
4.14.3 Amortization
4.13 Provisions, Contingent Liabilities and Contingent Assets
Mining Rights are amortized on the basis of annual production to the total estimated mineable reserves. In case the mining rights are not
4.13.1 Provisions renewed, the balance related cost will be charged to revenue in the year of decision of non-renewal.

Provisions are recognized when there is a present obligation (legal or constructive) as a result of a past event and it is probable that an outflow Supplier’s Agreements are amortized over the period of five to twenty years.
of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the
Useful life of Trade Mark is taken as indefinite.
obligation. Provisions are determined by discounting the expected future cash flows (representing the best estimate of the expenditure required
to settle the present obligation at the Balance Sheet date) at a pre-tax rate that reflects current market assessments of the time value of money Other Intangible assets are amortized over a period of three years.
and the risks specific to the liability. The unwinding of the discount is recognized as finance cost.
The amortization period and the amortization method are reviewed at least at the end of each financial year. If the expected useful life of the
Restoration (including Mine closure), rehabilitation and decommissioning assets is significantly different from previous estimates, the amortization period is changed accordingly.
It includes the dismantling and demolition of infrastructure, the removal of residual materials and the remediation of disturbed areas for 4.14.4 Intangible Assets under Development
mines. This provision is based on all regulatory requirements and related estimated cost based on best available information. Restoration/
Intangible Assets under development is stated at cost less accumulated impairment losses (if any). Cost includes expenses incurred in connection
Rehabilitation/ Decommissioning costs are provided for in the accounting period when the obligation arises based on the net present value
with development of Intangible Assets in so far as such expenses relate to the period prior to the getting the assets ready for use.
of the estimated future costs of restoration to be incurred and are reviewed at each Balance Sheet date.
4.15 Investment properties
Onerous Contracts:
Investment Property is property (comprising land or building or both) held to earn rental income or for capital appreciation or both, but not
Present obligations arising under onerous contracts are recognized and measured as provisions. An onerous contract is considered to exist
for sale in ordinary course of business, use in the production or supply of goods or services or for administrative purposes.
when a contract under which the unavoidable costs of meeting the obligations exceed the economic benefits expected to be received from
it. Upon initial recognition, an investment property is measured at cost. Subsequently they are stated in the Balance Sheet at cost, less
accumulated depreciation and accumulated impairment losses, if any.
4.13.2 Contingent Liabilities
Any gain or loss on disposal of investment property is determined as the difference between net disposal proceeds and the carrying amount
Contingent liability is a possible obligation arising from past events and the existence of which will be confirmed only by the occurrence or non-
of the property and is recognized in the Statement of Profit and Loss.
occurrence of one or more uncertain future events not wholly within the control of the Group or a present obligation that arises from past events
but is not recognized because it is not possible that an outflow of resources embodying economic benefit will be required to settle the obligations The depreciable investment property i.e., buildings, are depreciated on a straight line method at a rate determined based on the useful life
or reliable estimate of the amount of the obligations cannot be made. The Group discloses the existence of contingent liabilities in Other Notes to as provided under Schedule II of the Act.
financial statements.
Investment properties are derecognized either when they have been disposed of or when they are permanently withdrawn from the use and
4.13.3 Contingent Assets no future economic benefit is expected from their disposal. The net difference between the net disposal proceeds and the carrying amount
of the asset is recognized in the Statement of Profit and Loss in the period of de-recognition.
Contingent assets are not recognised in Financial Statements since this may result in the recognition of income that may never be realised.
However, when the realisation of income is virtually certain, then the related asset is not a contingent asset and is recognised. 4.16 Biological Assets other than Bearer Plants
4.14 Intangible Assets Biological Assets other than Bearer Plants are recognized when the Group controls the asset as a result of past events and it is probable that future
economic benefits associated with the asset will flow to the entity and the fair value or cost of the asset can be measured reliably. A Biological Asset
4.14.1 Recognition and Measurement
other than Bearer Plants is measured on initial recognition and at the end of each reporting period at its fair value less cost to sell.

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4.17 Non-current assets (or disposal groups) held for sale and discontinued operations 5 Significant Judgements and Key sources of Estimation in applying Accounting Policies

Non-current assets (or disposal groups) are classified as held for sale if their carrying amount will be recovered principally through a sale Information about Significant judgements and Key sources of estimation made in applying accounting policies that have the most significant
transaction rather than through continuing use and a sale is considered highly probable. They are measured at the lower of the carrying effects on the amounts recognized in the financial statements is included in the following notes:
amount and the fair value less cost to sell.
Recognition of Deferred Tax Assets: The extent to which deferred tax assets can be recognized is based on an assessment of the probability
An impairment loss is recognized for any initial or subsequent write-down of the asset (or disposal group) to fair value less costs to sell. A gain of the Group’s future taxable income against which the deferred tax assets can be utilized. In addition, significant judgement is required in
is recognized for any subsequent increases in fair value less costs to sell of an asset (or disposal group), but not in excess of any cumulative assessing the impact of any legal or economic limits.
impairment loss previously recognized. A gain or loss not previously recognized by the date of the sale of the non-current asset (or disposal Useful lives of depreciable/ amortisable assets (tangible and intangible): Management reviews its estimate of the useful lives of
group) is recognized at the date of de-recognition. depreciable/ amortisable assets at each reporting date, based on the expected utility of the assets. Uncertainties in these estimates relate to
Non-current assets (including those that are part of a disposal group) are not depreciated or amortized while they are classified as held for actual normal wear and tear that may change the utility of plant and equipment.
sale. Non-current assets (or disposal group) classified as held for sale are presented separately in the Balance Sheet. Any profit or loss arising Leases: The Group determines the lease term as the non-cancellable term of the lease, together with any periods covered by an option to
from the sale or remeasurement of discontinued operations is presented as part of a single line item in Statement of Profit and Loss. extend the lease if it is reasonably certain to be exercised, or any periods covered by an option to terminate the lease, if it is reasonably certain
4.18 Operating Segment not to be exercised. The Group has several lease contracts that include extension and termination options. The Group applies judgement
in evaluating whether it is reasonably certain whether or not to exercise the option to renew or terminate the lease. That is, it considers
The identification of operating segment is consistent with performance assessment and resource allocation by the chief operating decision maker. all relevant factors that create an economic incentive for it to exercise either the renewal or termination. After the commencement date,
An operating segment is a component of the Group that engages in business activities from which it may earn revenues and incur expenses the Group reassesses the lease term if there is a significant event or change in circumstances that is within its control and affects its ability
including revenues and expenses that relate to transactions with any of the other components of the Group and for which discrete financial to exercise or not to exercise the option to renew or to terminate (e.g., construction of significant leasehold improvements or significant
information is available. Operating segments of the Group comprises three segments Cement, Jute and Others. All operating segments’ operating customisation to the leased asset).
results are reviewed regularly by the chief operating decision maker to make decisions about resources to be allocated to the segments and assess
their performance. Defined Benefit Obligation (DBO): Employee benefit obligations are measured on the basis of actuarial assumptions which include
mortality and withdrawal rates as well as assumptions concerning future developments in discount rates, medical cost trends, anticipation
4.19 Measurement of Fair Values of future salary increases and the inflation rate. The Group considers that the assumptions used to measure its obligations are appropriate.
A number of the Group’s accounting policies and disclosures require the measurement of fair values, for both financial and non-financial assets However, any changes in these assumptions may have a material impact on the resulting calculations.
and liabilities. Restoration (including Mine closure), rehabilitation and decommissioning: Estimation of restoration/ rehabilitation/ decommissioning
costs requires interpretation of scientific and legal data, in addition to assumptions about probability of future costs.
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at
the measurement date. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes Provisions and Contingencies: The assessments undertaken in recognising provisions and contingencies have been made in accordance
place either: with Indian Accounting Standards (Ind AS) 37, ‘Provisions, Contingent Liabilities and Contingent Assets’. The evaluation of the likelihood of
the contingent events is applied best judgement by management regarding the probability of exposure to potential loss.
In the principal market for the asset or liability, or
Impairment of Financial Assets: The Group reviews its carrying value of investments carried at amortized cost annually, or more frequently
In the absence of a principal market, in the most advantageous market for the asset or liability.
when there is indication of impairment. If recoverable amount is less than its carrying amount, the impairment loss is accounted for.
The principal or the most advantageous market must be accessible by the Group. The fair value of an asset or a liability is measured using the Allowances for Doubtful Debts: The Group makes allowances for doubtful debts through appropriate estimations of irrecoverable amount.
assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best The identification of doubtful debts requires use of judgment and estimates. Where the expectation is different from the original estimate,
interest. A fair value measurement of a non-financial asset takes into account a market participant’s ability to generate economic benefits by using such difference will impact the carrying value of the trade and other receivables and doubtful debts expenses in the period in which such
the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use. estimate has been changed.
The Group uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, Fair value measurement of financial Instruments: When the fair values of financial assets and financial liabilities recorded in the Balance
maximising the use of relevant observable inputs and minimising the use of unobservable inputs. Sheet cannot be measured based on quoted prices in active markets, their fair value is measured using valuation techniques including the
All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorised within the fair value hierarchy, Discounted Cash Flow model. The input to these models are taken from observable markets where possible, but where this not feasible, a
described as follows, based on the input that is significant to the fair value measurement as a whole: degree of judgement is required in establishing fair values. Judgements include considerations of inputs such as liquidity risk, credit risk and
volatility.
Level 1 — Quoted (unadjusted) market prices in active markets for identical assets or liabilities;
Revenue Recognition: The Group’s contracts with customers include promises to transfer goods to the customers. Judgement is required to
Level 2 — Inputs other than quoted prices included within Level 1, that are observable for the asset or liability, either directly or indirectly; determine the transaction price for the contract. The transaction price could be either a fixed amount of customer consideration or variable
and consideration with elements such as discounts rebates etc. The estimated amount of variable consideration is adjusted in the transaction
Level 3 — Inputs which are unobservable inputs for the asset or liability. price only to the extent that it is highly probable that a significant reversal in the amount of cumulative revenue recognised will not occur
and is reassessed at the end of each reporting period. Estimates of discounts and rebates are sensitive to changes in circumstances and the
External valuers are involved for valuation of significant assets and liabilities. Involvement of external valuers is decided by the management Group’s past experience regarding returns, discount and rebate entitlements and may not be representative of customers’ actual returns,
of the Group considering the requirements of Ind As and selection criteria include market knowledge, reputation, independence and discount and rebate entitlements in the future.
whether professional standards are maintained.

4.20 Standards Issued/amended but not yet effective

There is no standards that is issued but not yet effective on March 31, 2020.

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6 PROPERTY, PLANT AND EQUIPMENT (` in Crores) D13AA of Ind AS 101 "First Time Adoption" for continuing with the policy adopted for accounting for exchange difference on the Long Term Foreign
Exchange Monetary Items recognized under previous GAAP as described in note no. 37.2 to the consolidated financial statement. Accordingly, the
Year Ended 31st March, 2020
Gross Carrying Amount Accumulated Depreciation Net
amount capitalized during the year with the Property, Plant and Equipment amounts to ₹ 9.41 Crores (Previous Year capitalized ₹ 16.87 Crores).
Carrying 6.4 Other Adjustments also include finance costs capitalized during the year on the qualifying assets as required by Ind AS 23 Borrowing Costs amounting
Amount
Particulars to ₹ 17.15 Crores (Previous Year ₹ 14.71 Crores), (Refer Note No. 35).
As at Reclassified Transition Additions Transfer Disposals Re- Other As at As at Reclassified Charged Transfer Deductions Other As at As at
1st April, on adoption impact on valuation Adjust- 31st 1st April, on adoption during the Adjust- 31st 31st March, 6.5 Other Adjustments related to Plant & Machinery represents Gross carrying Amount of ₹ 2.09 Crores (Previous Year ₹ Nil) and Accumulated Depreciation
2019 of Ind AS adoption of ments March, 2019 of Ind AS year ments March, 2020
116 "leases"
Ind AS 116 2020 116 "leases" 2020 thereon of ₹ 0.61 Crore (Previous Year ₹ Nil) related to the assets transfer to "Non-Current Assets classified as Held for Sale", (Refer Note No. 19).
"Leases"
6.6 The net block of Leasehold Land of ₹ 146.94 Crores (Gross Block of ₹ 152.35 Crores and Accumulated Depreciation of ₹ 5.41 Crores) and Plant and
Leasehold Land 152.35 (152.35) – – – – – – – 5.41 (5.41) – – – – – –
(Refer Note No. 6.6) Machinery of ₹ 2.97 Crores (Gross Block of ₹ 3.02 Crores and Accumulated Depreciation of ₹ 0.05 Crore) has been reclassified to "Right of Use Assets"
Freehold Land (Refer Note 2,004.33 – – 9.94 – – – – 2,014.27 18.39 – 7.35 – – – 25.74 1,988.53 on account of adoption of Ind AS 116 "Leases".
No. 6.1 to 6.2)
Sub-Total 2,156.68 (152.35) – 9.94 – – – – 2,014.27 23.80 (5.41) 7.35 – – – 25.74 1,988.53 6.7 Right of Use Assets includes "Leasehold Land" represents land obtained on long term lease from various Government and other authorities.
Buildings 639.20 – – 24.60 – – – 1.46 665.26 74.30 25.49 – – – 99.79 565.47 6.8 Refer Note No. 42 for disclosure of contractual commitments for the acquisition of Property, Plant and Equipment .
(Refer Note No. 6.1)
Plant and Machinery (Refer 4,340.90 (3.02) – 328.17 – 4.24 – 5.86 4,667.67 855.06 (0.05) 265.39 – 3.34 (0.61) 1,116.45 3,551.22 6.9 Refer Note No. 43 for information on Property, Plant and Equipment pledged as securities by the Group.
Note No. 6.5 and 6.6)
Furniture and Fittings 10.67 – – 1.12 – 0.01 – – 11.78 3.98 – 1.21 – 0.01 – 5.18 6.60
Vehicles 23.21 – – 3.92 – 0.64 – – 26.49 9.14 – 2.86 – 0.58 – 11.42 15.07
7 INVESTMENT PROPERTY
Office Equipments 30.29 – – 6.47 – 0.13 – – 36.63 15.59 – 4.95 – 0.11 – 20.43 16.20 (` in Crores)
Railway Sidings 91.62 – – 2.51 – – – – 94.13 17.60 – 6.60 – – – 24.20 69.93
Right of Use Assets
Year ended Year ended
Particulars 31st March, 2020 31st March, 2019
(Refer Note No. 45)
- Leasehold Land – 146.94 8.80 – – – – – 155.74 – – 2.38 – – – 2.38 153.36
Gross Carrying Amount
- Buildings – – 4.70 – – – – – 4.70 – – 0.68 – – – 0.68 4.02
- Plant and Machinery – 2.97 – – – – – – 2.97 – – 0.12 – – – 0.12 2.85 Opening Gross Carrying Amount 0.19 0.19
Total 7,292.57 (5.46) 13.50 376.73 – 5.02 – 7.32 7,679.64 999.47 (5.46) 317.03 – 4.04 (0.61) 1,306.39 6,373.25
Additions - -
Capital Work-In-Progress 911.94 – – 760.29 76.02 11.38 – 17.15 1,601.98 – – – – – – – 1,601.98
Disposals - -
Year Ended 31st March, 2019 Other Adjustments - -
Gross Carrying Amount Accumulated Depreciation Net Closing Gross Carrying Amount 0.19 0.19
Carrying
Particulars Amount Accumulated Depreciation
As at Additions Transfer Disposals Revaluation Other As at As at Charged Transfer Deductions Other As at 31st As at 31st Opening Accumulated Depreciation 0.02 0.01
1st April, Adjust- 31st March, 1st April, during the Adjust- March, March, 2019
2018 ments 2019 2018 year ments 2019 Depreciation charged during the year 0.01 0.01
Leasehold Land 152.35 – – – – – 152.35 3.34 2.07 – – – 5.41 146.94 Closing Accumulated Depreciation 0.03 0.02
Freehold Land (Refer Note 1,996.91 7.42 – – – – 2,004.33 10.73 7.66 – – – 18.39 1,985.94 Net Carrying Amount 0.16 0.17
No. 6.1 to 6.2)
Sub-Total 2,149.26 7.42 – – – – 2,156.68 14.07 9.73 – – – 23.80 2,132.88
7.1 The fair value of the Group’s investment properties as at 31st March, 2020 and 31st March, 2019 are ` 25.09 Crores and ` 24.19 Crores respectively.
Buildings (Refer note 6.1) 616.63 23.05 – 0.71 – 0.23 639.20 49.04 25.38 – 0.12 – 74.30 564.90
The fair value has been arrived on the basis of valuation performed by independent valuers, who are specialist in valuing these types of investment
Plant and Machinery (Refer 4,155.27 188.28 – 8.56 – 5.91 4,340.90 597.01 259.03 – 0.98 – 855.06 3,485.84
Note No. 6.5 and 6.6) properties, having appropriate qualifications and recent experience in the valuation of properties in relevant locations.
Furniture and Fittings 10.01 0.68 – 0.02 – – 10.67 2.81 1.18 – 0.01 – 3.98 6.69
7.2 The fair valuation is based on current prices in the active market for similar properties and rental income of similar type of property in the same
Vehicles 20.31 3.48 – 0.60 – 0.02 23.21 6.92 2.60 – 0.38 – 9.14 14.07
locality. The main inputs used are quantum, area, location, demand, restrictive entry to the land and building, age of the building and trend of fair
Office Equipments 23.30 7.11 – 0.12 – – 30.29 10.95 4.71 – 0.07 – 15.59 14.70
market rent in the locality. This valuation is based on valuations performed by accredited independent valuers. Fair valuation is based on depreciated
Railway Sidings 89.74 1.83 – – – 0.05 91.62 11.10 6.50 – – – 17.60 74.02
Total 7,064.52 231.85 – 10.01 – 6.21 7,292.57 691.90 309.13 – 1.56 – 999.47 6,293.10
open market price method and rental method. The fair value measurement is categorized in level 3 fair value hierarchy.
Capital Work-In-Progress 759.94 224.64 72.73 – – 0.09 911.94 – – – – – – 911.94 7.3 The amounts recognized in the Statement of Profit and Loss in relation to the investment properties:
Notes : For the year ended For the year ended
Particulars 31st March, 2020 31st March, 2019
6.1 Gross Carrying Amount includes ₹ 1.59 Crores (Previous Year ₹ 1.59 Crores) in Land and ₹ 7.00 Crores (Previous Year ₹ 7.00 Crores) in Building under
Co-ownership basis and also ₹ 0.00 Crore (Previous Year ₹ 0.00 Crore) being value of investments in Shares of a Private Limited Company.
Rental Income 0.11 0.14
6.2 In the financial year 2017-18, the Group had adopted revaluation model for one class of assets i.e. Freehold Land and accordingly freehold land
was revalued (as on 1st April, 2017) on the basis of valuation report made by independent valuers. Carrying amount as on 1st April, 2019 includes Direct Operating Expenses in relation to
revaluation surplus of ₹ 1,054.92 Crores. In the opinion of the management, as there is no significant change in the fair value indicators, no fair – Properties generating rental income 0.32 0.28
valuation is done as on 31st March, 2020.
The fair valuation was based on current prices in the active market for similar properties. The main inputs used were quantum, area, location, demand, 7.4 The Group has no restriction on the realisability of it’s investment properties or the remittance of income and proceeds of disposal. There is no
restrictive entry to the land. This valuation was based on valuations performed by accredited independent valuers. Fair valuation was based on contractual obligations to purchase, construct or develop investment property or for repairs, maintenance or enhancements.
depreciated open market price method. The fair value measurement was categorized in level 2 fair value hierarchy.
6.3 Other Adjustments include adjustment on account of foreign exchange differences pursuant to using the optional exemption available under Para

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
8 INTANGIBLE ASSETS (` in Crores) 10 NON-CURRENT INVESTMENTS (` in Crores)
Year Ended 31st March, 2020 Refer As at 31st March, 2020 As at 31st March, 2019
Gross Carrying Amount Accumulated Amortisation Net Particulars Note Face Value
Carrying No. Qty Amount Qty Amount
Particulars Amount
A DEBT INSTRUMENTS AT AMORTISED COST
As at Additions Disposals/ Other As at As at Charged Deductions Other As at As at
1st April, Transfer Adjustments 31st March, 1st April, during Adjustments 31st March, 31st March, Unquoted
2019 2020 2019 the year 2020 2020 National Savings Certificate 10.1 7,500 1 0.00 1 0.00
National Savings Certificate 10.1 10,000 1 0.00 1 0.00
Computer Software 9.75 0.78 – – 10.53 4.79 2.10 – – 6.89 3.64
Subtotal 0.00 0.00
Supplier Agreement-Flyash 19.61 – – – 19.61 5.02 1.10 – – 6.12 13.49 TOTAL (A) 0.00 0.00

Trademark 198.27 – – – 198.27 – – – – – 198.27 B INVESTMENTS AT FAIR VALUE THROUGH OTHER

COMPREHENSIVE INCOME
Mining Rights (includes site preparation) 816.83 15.42 – – 832.25 64.52 31.84 – – 96.36 735.89
EQUITY INSTRUMENTS (FULLY PAID UP)
Total 1,044.46 16.20 – – 1,060.66 74.33 35.04 – – 109.37 951.29 QUOTED
Intangible Assets under Development 2.11 16.01 16.20 – 1.92 – – – – – 1.92 Century Textiles & Industries Ltd. 10 18,07,660 53.52 18,07,660 168.67
Birla Cables Ltd. 10 53,88,515 17.51 53,88,515 82.79
Year Ended 31st March, 2019 Universal Cables Ltd. 10 8,00,157 6.73 8,00,157 17.62
Gross Carrying Amount Accumulated Amortisation Net Hindustan Media Ventures Ltd. 10 4,440 0.02 4,440 0.05
Carrying Rameshwara Jute Mills Ltd. 10.2 10 19,133 0.01 19,133 0.01
Particulars Amount
Vindhya Telelinks Ltd. 10 100 0.00 100 0.01
As at Additions Disposals/ Other As at As at Charged Deductions Other As at As at
1st April, Transfer Adjustments 31st March, 1st April, during Adjustments 31st March, 31st March, Birla Precision Technologies Ltd. 2 2,121 0.00 2,121 0.00
2018 2019 2018 the year 2019 2019 Zenith Birla (I) Ltd. 10 6,362 0.00 6,362 0.00
UltraTech Cement Limited 10.3 10 2,25,957 73.32 – –
Computer Software 6.61 3.14 – – 9.75 3.23 1.56 – – 4.79 4.96
Subtotal 151.11 269.15
Supplier Agreement-Flyash 19.61 – – – 19.61 3.92 1.10 – – 5.02 14.59
UNQUOTED 10.2
Trademark 198.27 – – – 198.27 – – – – – 198.27
Birla Buildings Ltd. 10 24,000 0.02 24,000 0.02
Mining Rights (includes site preparation) 814.61 2.22 – – 816.83 37.05 27.47 – – 64.52 752.31 Neosym Industry Limited 10 52,000 0.01 52,000 0.01
Lotus Court Ltd. 10 1 0.01 1 0.01
Total 1,039.10 5.36 – – 1,044.46 44.20 30.13 – – 74.33 970.13
Industry House Ltd. 10 600 0.01 600 0.01
Intangible Assets under Development 2.36 5.11 5.36 – 2.11 – – – – – 2.11 Eastern Economist Ltd. 10 400 0.01 400 0.01
Woodlands Multispeciality Hospital Ltd. 10 520 0.00 520 0.00
Twin Star Venus Co-Operative Society Housing Society Ltd. 10 10 0.00 10 0.00
8.1 Refer Note No. 42 for disclosure of contractual commitments for the acquisition of Intangible Assets. Elgin Mills Co. Ltd. 10 2,250 0.00 2,250 0.00
8.2 Refer Note No. 43 for information on Intangible Assets pledged as securities by the Group. Bally Jute Mills Employees Consumers' Co-operative Stores Limited 10 250 0.00 250 0.00
Gangangiri Park Co-Operative Society Housing Society Ltd. 10 15 0.00 15 0.00
9 BIOLOGICAL ASSETS OTHER THAN BEARER PLANTS Craig Jute Mills Ltd. 3 50 0.00 50 0.00
Subtotal 0.06 0.06
Year ended Year ended
Particulars 31st March, 2020 31st March, 2019 Investment in Quoted Government Securities
Opening Balance 0.87 0.92 8.97% GOI 2030 10.4 1,00,00,000 1 1.19 – –
Subtotal 1.19 –
Additions/Acquisitions – 0.05

Disposals 0.01 – Investments In Quoted Bonds

9.70% IFCI Ltd. 2030 10,00,000 63 6.25 63 5.95
Fair Value Adjustments (0.04) (0.10) 9.55% IFCI Ltd. 2025 10,00,000 13 1.39 13 1.25
Closing Balance 0.82 0.87 Subtotal 7.64 7.20

9.1 The Group owns bearer biological assets i.e., livestock from which milk is produced. The livestock is maintained by the Parent Company at Satna and TOTAL (B) 160.00 276.41
Birlapur. The milk produced from the live stock are internally consumed and not sold commercially.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
Refer As at 31st March, 2020 As at 31st March, 2019 11.1 Break Up of Loans
Particulars Note Face Value
No. Qty Amount Qty Amount Refer Non Current Current
C INVESTMENTS AT FAIR VALUE THROUGH PROFIT OR LOSS Particulars Note As at 31st As at 31st As at 31st As at 31st
No. March, 2020 March, 2019 March, 2020 March, 2019
Investment In Preference Shares - Unquoted (Fully paid up)
Elgin Mills Co. Ltd. - 5% Preference Shares 10.2 10 100 0.00 100 0.00 Loan Receivables considered good - Secured – – – –
Loan Receivables considered good - Unsecured 0.46 0.38 1.10 1.24
Subtotal 0.00 0.00
Loan Receivables which have significant increase in Credit Risk – – 0.07 0.07

TOTAL (C) 0.00 0.00 Loan Receivables-credit impaired – – – –

0.46 0.38 1.17 1.31
TOTAL NON-CURRENT INVESTMENTS 160.00 276.41 – – 0.07 0.07
Less: Provision for Doubtful Receivables
Aggregate Book Vaue of Quoted Investments 159.94 276.35
Aggregate Fair Value of Quoted Investments 159.94 276.35 0.46 0.38 1.10 1.24
Aggregate amount of Unquoted Investments 0.06 0.06
11.2 No Loans are due from directors or other officers of the Group either severally or jointly with any other person. Nor any Loan due from firms or
Aggregate amount of Impairment in value of Investments – –
private companies respectively in which any director of Group is a partner, a director or a member except as disclosed in Note No. 11.3 given
Notes : below.

10.1 Deposited with Government Department as Security. 11.3 Details of loans and advances to related parties as required by Sec. 186 of the Companies Act, 2013 read with SEBI (Listing Obligations Disclosure
Requirements ) Regulations, 2015:
10.2 Fair valuation not carried out as amount are not significant.
10.3 In terms of the Scheme of Demerger of the Cement Divison of Century Textiles & Industries Ltd and acquisition by UltaTech Cement Limited, the Balance Outstanding Maximum Amount Outstanding
Group has received 2,25,957 equity shares of ₹ 10/- each of Ultratech Cement Limited without any consideration in ratio of 1:8 for holding in Century Refer
As at For the year ended
Textiles & Industries Ltd.. The value as on 31st March, 2020 represents Fair Market Value of the Shares. Particulars Note
No. 31st March, 31st March, 31st March, 31st March,
10.4 Lien marked to The Clearing Corporation of India Limited. 2020 2019 2020 2019

11 LOANS i. Subsidiary Company (not consolidated)

Birla Corporation Cement Manufacturing PLC (ii) (a) & – – 0.07 0.07
Refer Non Current Current (b)
Particulars Note As at 31st As at 31st As at 31st As at 31st
No. ii. Purpose for which the advance was provided
March, 2020 March, 2019 March, 2020 March, 2019
a. Advance given for working capital needs – – – –
11.1,
Loan & Advances to Related Parties 11.2 & b. Net of Provision for Doubtful Advances – – – –
11.3
iii. Group has not given any Guarantee and for Investments Refer
Loan Receivables – – 0.07 0.07 Note No. 10, 15 & 60.
Less: Provision for Doubtful Receivables – – 0.07 0.07
– – – –
11.1,
Loans and Advances to Others 11.2 &
11.3
Loan Receivables 0.46 0.38 1.10 1.24
Less: Provision for Doubtful Receivables – – 0.00 0.00
0.46 0.38 1.10 1.24
Total 0.46 0.38 1.10 1.24

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
12 OTHER FINANCIAL ASSETS (` in Crores) (` in Crores)
14 INVENTORIES
Refer Non Current Current
Refer Note As at As at
Particulars Note Particulars
As at 31st As at 31st As at 31st As at 31st No. 31st March, 2020 31st March, 2019
No. March, 2020 March, 2019 March, 2020 March, 2019
(As valued and certified by the Management) 4.1
Security Deposits
Raw Materials 14.1 114.06 123.68
Unsecured, considered good 60 50.83 48.89 8.61 8.62
Work-In-Progress 14.1 107.02 133.78
50.83 48.89 8.61 8.62
Finished Goods 14.1 199.99 119.11
Incentive and Subsidy Receivable 64.56 52.93 382.71 448.10
Stock-In-Trade 14.1 0.93 0.15
Less : Provision for Doubtful Receivables – – 1.44 1.44
Stores and Spares 14.1 236.03 219.32
64.56 52.93 381.27 446.66
Fuels 14.1 119.81 172.40
Other Deposits and Advances
Packing Materials 9.79 14.58
Unsecured, considered good 12.1 1.64 1.64 5.59 4.30
Total 787.63 783.02
Unsecured, considered doubtful – – 2.01 2.01
1.64 1.64 7.60 6.31 14.1 The above includes goods-in-transit as under:
Less: Provision for Doubtful Advances – – 2.01 2.01 Raw Materials 1.22 13.92
1.64 1.64 5.59 4.30 Work-in-Progress 0.55 0.42
Deposits with Bank having maturity of more than one year from the balance Finished Goods 6.26 10.27
sheet date 12.2 4.92 2.38 1.32 –
Stock-in-Trade – 0.15
Interest accrued on Deposits 0.00 0.14 5.57 1.77
Stores and Spares 0.40 1.98
Derivatives Contracts (Net) – – 7.82 –
Fuels 0.70 0.20
Amount paid under Protest 2.37 2.37 – –
Total 9.13 26.94
Others – – 0.01 –
7.29 4.89 14.72 1.77 14.2 Amount of write down of inventories carried at net realisable value and recognised as expenses : ` 0.23 Crore (Previous Year ` 1.15 Crores).

Total 124.32 108.35 410.19 461.35 14.3 Refer Note No. 43 for information on amount of inventories pledged as securities by the Group.

12.1 No other receivables are due from directors or other officers of the Group either severally or jointly with any other person. Nor any other receivables
15 CURRENT INVESTMENTS
are due from firms or private companies respectively in which any director of Group is a partner, a director or a member, except ` Nil (Previous year
` 0.01 Crore) are receivable from a private company in which directors of the Group are directors. Refer Face As at 31st March, 2020 As at 31st March, 2019
Particulars Note Value
12.2 Represents deposits marked lein in favour of Govt. Authorities / Banks. Qty Amount Qty Amount
No.
13 OTHER ASSETS A INVESTMENTS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME
Non Current Current Investment in Quoted Government Securities
Refer
Particulars Note 6.90% GOI 2019 100 – – 1,00,000 1.00
As at 31st As at 31st As at 31st As at 31st
No. March, 2020 March, 2019 March, 2020 March, 2019 TOTAL (A) – 1.00
Advance against supply of Goods and Services – – 172.57 206.94 B INVESTMENT AT FAIR VALUE THROUGH PROFIT AND LOSS
Investments in Mutual Funds
Less : Provision for Doubtful Advances – – 0.04 0.04
QUOTED
– – 172.53 206.90
Kotak Monthly Interval Plan Series 4 - Direct Plan Growth – – 1,00,00,000 10.03
Capital Advances 60 119.95 95.21 – –
Subtotal – 10.03
Prepaid Expenses 4.44 7.87 8.65 9.05
Amount Paid Under Protest 78.59 74.68 – –
Balances with Government & Statutory Authorities 0.60 0.73 126.28 28.60
Security Deposits
Unsecured considered good 1.85 1.89 0.45 0.41
Other Advances (Including Balance with Gratuity Fund) 1.34 4.99 3.26 11.83
Total 206.77 185.37 311.17 256.79
No other receivables are due from directors or other officers of the Group either severally or jointly with any other person. Nor other receivables are due
from firms or private companies respectively in which any director of Group is a partner, a director or a member except ` 0.01 Crore (Previous year ` 1.81
Crores) are receivable from private companies in which directors of the Group are directors.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
Refer Face As at 31st March, 2020 As at 31st March, 2019 16 TRADE RECEIVABLES
Particulars Note Value
Qty Amount Qty Amount
No. Refer Note As at As at
Particulars 31st March, 2020 31st March, 2019
UNQUOTED No.
Axis Liquid Fund - Direct Growth 58,262 12.84 2,39,442 49.66 Trade Receivables 16.1 & 16.2 265.36 278.45
Axis Treasury Advantage Fund - Direct Growth 1,67,736 39.00 – –
Axis Short Term Fund- Direct Plan -Growth 21,50,898 5.03 – – Less: Provision for Doubtful Receivables 14.98 16.25
Baroda Liquid Fund Plan B - Growth 65,719 15.04 2,05,290 44.17 250.38 262.20
Total
DSP Liquidity Fund - Direct Plan- Growth 66,768 18.97 49,008 13.11
DSP Low Duration Fund- Direct Plan -Growth 1,83,17,379 27.30 – – Break Up of Trade Receivables
Invesco India Liquid Fund -Direct Plan Growth – – 1,45,011 37.30
Trade Receivables considered good - Secured 133.55 142.56
Invesco India Treasury Advantage Fund- Direct Plan Growth 60,004 17.17 – –
Invesco India Money Market Fund- Direct Plan Growth 15,173 3.51 – – Trade Receivables considered good - Unsecured 116.83 119.64
HSBC Ultra Short Duration Fund Direct Growth 50,000 5.05 – –
Trade Receivables which have significant increase in Credit Risk 14.98 16.25
HDFC Short Term Debt Fund -Direct Plan-Growth Option 43,84,273 10.04 – –
HDFC Floating Rate Debt Fund- Direct Plan- Growth Option 60,96,981 21.57 – – Trade Receivables-Credit Impaired – –
HDFC Ultra Short Term Fund - Direct Plan - Growth Option 7,67,60,143 86.43 7,67,60,143 80.40
HDFC Liquid Fund -Direct Plan- Growth Option 20,562 8.03 – – Total 265.36 278.45
HDFC Overnight Fund-Direct Plan -Growth Option 3,368 1.00 – – 14.98 16.25
Less: Provision for Doubtful Receivables
IDFC Ultra Short Term Fund Direct Plan Growth 6,58,69,212 75.13 3,87,76,130 41.12
IDFC Low Duration Fund -Growth- (Direct Plan) 66,66,760 19.26 – – Total 250.38 262.20
IDFC Corporate Bond Fund Direct Plan -Growth 1,50,37,795 21.00 – –
ICICI Prudential Savings Fund - Direct Plan- Growth 9,75,574 38.09 – – 16.1 Trade receivables are non-interest bearing and are generally on terms of 0 to 90 days.
ICICI Prudential Liquid Fund - Direct Plan -Growth 3,40,582 10.01 17,20,202 47.55
16.2 No trade receivables are due from directors or other officers of the Group either severally or jointly with any other person. Nor any trade receivables
ICICI Prudential Money Market Fund- Direct Plan Growth – – 9,654 0.26
are due from firms or private companies respectively in which any director of Group is a partner, a director or a member.
ICICI Prudential Corporate Bond Fund Direct Plan Growth – – 1,53,685 0.30
Kotak Savings Fund - Direct Plan -Growth 1,67,08,622 54.89 74,93,231 22.89 17 CASH AND CASH EQUIVALENTS
Kotak Liquid Fund Direct Plan- Growth – – 52,186 19.75
LIC MF Liquid Fund -Direct Plan- Growth 15,185 5.47 – – Refer Note As at As at
Particulars 31st March, 2020 31st March, 2019
L & T Liquid Fund Direct Plan - Growth 36,758 10.00 70,553 18.08 No.
L & T Short Term Bond Fund Direct Plan- Growth 61,29,465 12.34 – –
Balances With Banks :
L & T Ultra Short Term Fund Direct Plan Growth 1,15,26,884 38.53 1,15,26,884 35.89
L & T Money Market Fund Direct Plan Growth 24,64,135 5.04 – – In Current/ Cash Credit Account 46.37 57.22
Nippon India Liquid Fund - Direct Plan - Growth Plan -Growth Option (Previously
18 0.01 76,360 34.83 In Deposit Accounts with Original Maturity of less than three months – 20.00
known as Reliance Liquid Fund Direct Plan Growth)
Nippon India Money Market Fund - Direct Growth Plan Growth Option 1,09,710 33.49 – – 0.09 11.97
Cheques/ Drafts on Hand
Nippon India Low Duration Fund- Direct Growth Plan Growth Option (Previously
– – 1,258 0.33
known as Reliance Low Duration Fund- Direct Plan Growth ) Cash on Hand 0.20 0.24
Nippon India Low Duration Fund- Retail Option Growth Plan (Previously kown as
476 0.13 476 0.12 46.66 89.43
Reliance Low Duration Fund- Retail Option Growth Plan) Total
SBI Magnum Low Duration Fund Direct Plan Growth 15.1 1,03,038 27.10 53,270 12.95
Sundaram Money Fund Direct Growth 38,80,150 16.25 – – 18 BANK BALANCES (OTHER THAN NOTE : 17)
SBI Liquid Fund Direct Growth 58,943 18.33 72,098 21.11
Tata Money Market Fund Direct Plan- Growth 29,207 10.12 – – Balance in Unpaid Dividend Account 1.26 1.48
Tata Liquid Fund Direct Plan- Growth 31,941 10.00 1,93,036 56.84
Other Fixed Deposit with Banks 18.1 207.89 48.05
UTI Liquid Cash Plan - Institutional Plan - Direct Plan Growth – – 1,06,345 32.55
Yes Liquid Fund Direct-Growth – – 1,97,852 20.08 Total 209.15 49.53
Sub total 676.17 589.29
TOTAL (B) 676.17 599.32
TOTAL CURRENT INVESTMENTS 676.17 600.32 18.1 Includes deposits marked lien in favour of Govt. Authorities and Banks. 0.49 2.15
Aggregate Book value of Quoted Investments – 11.03
Aggregate Fair Value of Quoted Investments – 11.03
Aggregate amount of Unquoted Investments 676.17 589.29
Aggregate amount of impariment in value of investments – –
15.1 Out of the same 45,930 units (Previous year: 45930 units) are held as margin in favour of State Bank of India against bank guarantee.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
19 NON-CURRENT ASSETS CLASSIFIED AS HELD FOR SALE 20.5 Terms/ Rights attached to Equity Shares :

Refer As at As at The Parent Company has only one class of issued shares i.e., Ordinary Shares having par value of ` 10 per share. Each holder of the Ordinary Shares
Particulars Note 31st March, 2020 31st March, 2019 is entitled to one vote per share and equal right for dividend. The dividend proposed by the Board of Directors is subject to the approval of the
No. shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the ordinary shareholders are
Plant & Machinery 19.1 1.49 0.63 eligible to receive the remaining assets of the Group after payment of all preferential amounts, in proportion to their shareholding.
20.6 Shareholding Pattern in respect of Holding or Ultimate Holding Company
Total 1.49 0.63 The Parent Company does not have any Holding Company or Ultimate Holding Company.

19.1 Plant & Machinery related to: 20.7 Details of Equity Shareholders holding more than 5% shares in the Group

Unit Birla Carbide & Gases: Suspension of operations was declared of the Parent Company’s unit Birla Carbide & Gases, Birlapur, West Bengal w.e.f. As at 31st March, 2020 As at 31st March, 2019
29th October, 2001. Subsequently, closure of the Unit was declared w.e.f. 31st January, 2005. A resolution was passed by Board of Directors of the Particulars
Parent Company on 4th November, 2015 for disposal of assets of the Unit. All Plant & Machineries, except some insignificant portion thereof, were No. of Shares % Holding No. of Shares % Holding
disposed off till March, 2020 and it is expected that the sale for the remaining portion will be completed by March, 2021. The assets of the unit com- Ordinary Shares of ` 10/- each fully paid
prising remaining Plant & Machineries are presented within total assets of the “Unallocated Corporate Assets” under Segment Reporting. Hindustan Medical Institution 71,59,460 9.30 71,59,460 9.30
Unit Chanderia: During the previous year 2018-19, the Parent Company decided to dispose of the old Thermal Power Plants and DG Sets at Chan- Vindhya Telelinks Limited 63,80,243 8.29 63,80,243 8.29
deria unit being not in use for more than ten years. An online auction process was initiated in December, 2018 based on which the buyer finalised. August Agents Limited 60,15,912 7.81 60,15,912 7.81
Dismentling and sale of Plant & Machineries started in January, 2019 but could not completed by March, 2019. Now the sale has been completed in
current financial year and no such assets remain unsold on 31st March, 2020. Insilco Agents Limited 60,04,080 7.80 60,04,080 7.80
Laneseda Agents Limited 59,94,680 7.78 59,94,680 7.78
Unit Auto Trim Division: Suspension of operations was declared of the Parent Company’s unit Auto Trim Division at Birlapur, West Bengal w.e.f. 18th
The Punjab Produce & Trading Co. (P) Ltd. 45,20,572 5.87 45,20,572 5.87
February, 2014. There have been no operations at Gurgaon plant, Haryana and at Chakan plant, Maharastra since November, 2007 and August, 2007
respectively. All Plant & Machineries, except some Machineries were transferred to other units of the Parent Company till April, 2019. A resolution Reliance Capital Trustee Company Limited 41,04,723 5.33 54,15,705 7.03
was passed by Board of Directors of the Parent Company on 3rd May, 2019 for disposal of remaining assets of the Unit. It is expected that the sale of (Shares held in their various scheme)
the assets will be completed by March, 2021. The assets of the unit comprising remaining Plant & Machineries are presented within total assets of
the “Others Segment Assets” under Segment Reporting. 20.8 No ordinary shares have been reserved for issue under options and contracts/ commitments for the sale of shares/ disinvestment as at the Balance
Sheet date.
Non recurring fair value measurements
The fair value value of the Plant & Machineries, classified as Held for Sale, was determined using the sales comparison approach. This is level 2 mea- 20.9 The Parent Company has neither allotted any equity shares against consideration other than cash nor has issued any bonus shares nor has bought
surement as per the fair value hierarchy set out in accounting policies related to fair value measurement. The key inputs under this approach are back any shares during the period of five years immediately preceding the date at which the Balance Sheet is prepared.
price of the similar Plant & Machineries at the same location, condition and age.
20.10 No securities convertible into Equity/ Preference shares have been issued by the Parent Company during the year.
20 EQUITY SHARE CAPITAL
20.11 No calls are unpaid by any Director or Officer of the Group during the year.
Refer As at 31st March, 2020 As at 31st March, 2019
Particulars Note 21 OTHER EQUITY (Refer Statement of Change in Equity)
No. No. of Shares Amount No. of Shares Amount
The Description of the nature and purpose of each reserve within equity is as follows:
20.1 Authorised Share Capital
a) Capital Reserve: Capital Reserves are mainly the reserves created during business combination for the gain on bargain purchase.
Ordinary Shares of `10/- each 9,00,00,000 90.00 9,00,00,000 90.00
Preference Shares of `100/- each 10,00,000 10.00 10,00,000 10.00 b) Capital Reserve on Consolidation: This reserve arises on account of consolidation of the financials of subsidiaries.

Total 9,10,00,000 100.00 9,10,00,000 100.00 c) Debenture Redemption Reserve (DRR): The Parent Company has issued redeemable non-convertible debentures. Accordingly, the
Companies (Share Capital and Debentures) Rules, 2014 (as amended), requires the company to create DRR out of profits of the Parent
20.2 Issued Share Capital Company available for payment of dividend. DRR is required to be created for an amount which is equal to 25% of the value of debentures
Ordinary Shares of `10/- each 7,70,13,416 77.01 7,70,13,416 77.01 issued.
Total 7,70,13,416 77.01 7,70,13,416 77.01 d) General Reserve: The general reserve is created out of retained earnings and use for appropriation purposes.

e) Retained Earnings: Retained earnings represents the undistributed profit of the Group.
20.3 Subscribed and Paid-up Share Capital
Ordinary Shares of `10/- each fully paid-up 7,70,05,347 77.01 7,70,05,347 77.01 f) Debt Instrument through Other Comprehensive Income: This reserve is created on account of fair valuation of selected debt instrument
and will be transferred to statement of profit and loss on liquidation of respective instruments.
Add: Forfeited Ordinary Shares - 0.00 - 0.00
(Amount originally paid-up) g) Equity Instruments through Other Comprehensive Income : This reserve is created on account of fair valuation of equity instruments.
Total 7,70,05,347 77.01 7,70,05,347 77.01 This will be directly transferred to retained earnings on disposal of respective equity instruments.

20.4 Reconciliation of the number of shares at the beginning and at the end of the year h) Revaluation Surplus: Revaluation surplus arises on account of fair valuation of freehold land. This will be directly transferred to retained
earnings at the time of sale/disposal/transfer (if any) of the respective portion of freehold land.
There has been no change/ movements in number of shares outstanding at the beginning and at the end of the year.

212 213
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CORPORATION
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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
22 LONG TERM BORROWINGS f) Rupee Loan from Banks :
Term Loan ` 3359.71 Crores, (Rate of Interest MCLR 6M/12M Plus spread upto 0.50% and Repo rate Plus spread of 2.85%)
Non-Current Portion Current Maturities
Particulars
Refer Note i) ` 534.88 Crores are repayable as under:
No. As at 31st As at 31st As at 31st As at 31st
March, 2020 March, 2019 March, 2020 March, 2019 ₹ 27.45 Crores payable in 2 equal quarterly installments from May/June 2020 to August/September 2020.
Non-Convertible Debentures (NCD) 22.1 (a) ₹ 32.05 Crores payable in 2 equal quarterly installments from November/December 2020 to February/March 2021.
(Face Value of ` 10,00,000/- each) ₹ 36.56 Crores payable in 2 equal quarterly installments from May/June 2021 to August/September 2021.
2500 (Previous Year -2500) 9.25% NCD 2026 250.00 250.00 – – ₹ 164.68 Crores payable in 8 equal quarterly installments from November/December 2021 to August/September 2023.
1500 (Previous Year -1500) 9.15% NCD 2021 150.00 150.00 – –
₹ 137.28 Crores payable in 6 equal quarterly installments from November/December 2023 to February/March 2025.
1300 (Previous Year -1300) 9.05% NCD 2020 – 130.00 130.00 –
– – 150.00 ₹ 114.45 Crores payable in 5 equal quarterly installments from May/June 2025 to May/June 2026.
Nil (Previous Year - 1500) 9.10% NCD 2020
400.00 530.00 130.00 150.00 ₹ 22.41 Crores payable in August/September 2026.
Term Loans These Rupee Term Loans are secured by first ranking pari-passu charge on movable and immovable Property, Plant and Equipment &
From Banks: Intangible Assets of the Parent Company's Jute Division and land situated at Birlapur and Narkeldanga.
Rupee Loans 22.1(b) 3,168.00 2,719.74 169.37 105.58 ii) ` 271.60 Crores are repayable as under:
Foreign Currency Loans 22.1(c) 93.22 363.29 229.96 145.15 ` 8.40 Crores payable in 4 equal quarterly installments from June 2020 to March 2021.
From Others: ` 11.20 Crores payable in 4 equal quarterly installments from June 2021 to March 2022.
Rupee Loans 7.73 7.07 – –
` 56.00 Crores payable in 8 equal quarterly installments from June 2022 to March 2024.
3,268.95 3,090.10 399.33 250.73
– 3.11 – 0.04 ` 70.00 Crores payable in 8 equal quarterly installments from June 2024 to March 2026.
Finance lease obligations 22.2
Total 3,668.95 3,623.21 529.33 400.77 ` 84.00 Crores payable in 8 equal quarterly installments from June 2026 to March 2028.
Amount disclosed under the head "Other Financial Liabilities" 23 – – (529.33) (400.77) ` 42.00 Crores payable in 2 equal quarterly installments from June 2028 to September 2028.
Total 3,668.95 3,623.21 – – The Rupee Term Loan are secured by first charge on the movable and immovable Property, Plant and Equipment & Intangible Assets of the
Break Up of Security Details Parent Company's Cement Division, ranking pari-passu with other term lenders.
Secured 3,531.28 3,537.55 506.78 380.10 iii) ` 45 Crores are repayable as under:
Unsecured 137.67 85.66 22.55 20.67 ` 11.28 Crores payable in 8 equal quarterly installments from Feb 2021 to November 2022.
Total 3,668.95 3,623.21 529.33 400.77
` 32.11 Crores payable in 19 equal quarterly installments from February 2023 to August 2027
22.1 Terms and Conditions of Long Term Borrowings : ` 1.61 Crores payable in November 2027.
The Rupee Term Loan are secured by first charge on the movable and immovable Property, Plant and Equipment & Intangible Assets of the
Refer Note As at 31st As at 31st Parent Company's Cement Division, ranking pari-passu with other term lenders.
No. March, 2020 March, 2019
iv) ` 70 Crores are repayable as under:
a) Non-Convertible Debentures
i) 9.25% NCD 2026 22.1 (e) (i) 250.00 250.00 ` 35 Crores payable in April 2021.
ii) 9.15% NCD 2021 22.1 (e) (ii) 150.00 150.00 ` 35 Crores payable in March 2022.
iii) 9.05% NCD 2020 22.1 (e) (iii) 130.00 130.00
The above loan is unsecured loan
iv) 9.10% NCD 2020 – 150.00
3,359.71 2,846.07 v) ` 1,534.63 crores are repayable as under:
b) Rupee Term Loan- From Banks- in Indian Rupees 22.1 (f )
c) Foreign Currency Loan - From Banks - in Foreign Currency 22.1 (g) 323.82 510.62 ` 79.87 Crores repayable in 4 equal quarterly installments from June, 2020 to March, 2021.
d) Rupee Term Loan - From Others - in Indian Rupees 22.1 (h) 11.91 11.91 ` 127.79 Crores repayable in 4 equal quarterly installments from June, 2021 to March, 2022.

e) Non-Convertible Debentures are redeemable fully at par as under :- ` 159.74 Crores repayable in 4 equal quarterly installments from June, 2022 to March, 2023.
i) 9.25% NCD 2026 of ` 250.00 Crores, includes ` 60.00 Crores repayable in August 2024, ` 15.00 Crores repayable in September 2024, ` 60.00 ` 351.42 Crores repayable in 8 equal quarterly installments from June 2023 to March 2025.
Crores repayable in August 2025, ` 15.00 Crores repayable in September 2025, ` 80.00 Crores repayable in August 2026, ` 20.00 Crores
` 670.92 Crores repayable in 14 equal quarterly installments from June 2025 to September 2028.
repayable in September 2026.
` 144.89 Crores repayable in December 2028.
ii) 9.15% NCD 2021 repayable in August 2021.
The Rupee Term Loans are secured by way of first charge on all present and future movable and immovable Property, Plant and Equipment
iii) 9.05% NCD 2020 repayable in October 2020.
and Intangible Assets pertaining to Maihar, Madhya Pradesh and Kundanganj, Uttar Pradesh and Coal mines located at Sial Ghogri, Madhya
The Debentures are secured by first charge on the movable and immovable Property, Plant and Equipment & Intangible Assets of the Parent Pradesh, ranking pari passu with other lender banks and second charge on entire current assets of the subsidiary Company ranking pari
Company's Cement Division, ranking pari-passu with other term lenders. passu with other lender banks.

214 215
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CORPORATION
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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores))
vi) ` 287.90 Crores are repayable as under: iii) ` 30.61 Crores is repayable in 3 equal quarterly installments from June 2020 to December 2020.
` 4.06 Crores repayable in 2 equal quarterly installments from May 2020 to August 2020. The above loan is secured by way of of first charge on all present and future movable and immovable Property, Plant and Equipment and
` 8.12 Crores repayable in 2 equal quarterly installments from November 2020 to February 2021. Intangible Assets pertaining to Maihar and Gondavali in Madhya Pradesh and Kundanganj in Uttar Pradesh ranking pari passu with other
lender banks and second charge on entire current assets of the Maihar and Kundanganj ranking pari passu with other lender banks.
` 24.36 Crores repayable in 4 equal quarterly installments from May 2021 to February 2022.
iv) ` 90.22 Crores repayable in remaining 8 semi-annual installments from September 2020 to March 2024.
` 48.72 Crores repayable in 6 equal quarterly installments from May 2022 to August 2023.
` 20.01 Crores repayable in 2 equal quarterly installments from November 2023 to February 2024. h) Rupee Loan from Other is repayable as under:
` 172.55 Crores repayable in 17 equal quarterly installments from May 2024 to May 2028. Interest Free Term Loan of ` 11.91 Crores from Pradeshiya Industrial & Investment Corporation of U.P. Ltd.
` 10.08 Crores repayable in August 2028. i) ` 11.91 Crores includes, ` 2.82 Crores repayable in January 2025, ` 2.42 Crores repayable in March 2025 and ` 6.67 Crores repayable in May
The Rupee Term Loans is secured by way of subservient charge on all present and future movable and immovable Property, Plant and 2025.
Equipment and Intangible Assets of the Subsidiary Company except assets relating to Maihar, Madhya Pradesh and Kundanganj, Uttar The above loan is secured by Bank Guarantees.
Pradesh.
vii) ` 542.70 Crores outstanding as on 31st March, 2020 against sanctioned amount of ` 1,625 Crores, balance amount to be drawn in 22.2 Finance lease obligations
future. Sanction amount of ` 1,625 Crores are repayable as under:
The Group has entered into various finance lease arrangements mainly for land, Building and Plant and Equipments for terms ranging up to 99
` 4.06 Crores repayable in 1 quarterly installment in September, 2022 years. The legal title to these items vests with the respective lessors . There are no significant restrictions imposed by lease arrangements. There
` 12.26 Crores repayable in 3 equal quarterly installments from December, 2022 to June, 2023 are no sub-lease arrangements entered in to by the Group for these leases..

` 20.26 Crores repayable in 1 quarterly installment in September, 2023 The Group has finance lease contracts and the obligation under finance lease are secured by the lessor's title to the leased assets. Future minimum
lease payments under finance lease contracts together with the present value of the net minimum lease payments are disclosed as below:
` 61.19 Crores repayable in 3 equal quarterly installments from December, 2023 to June, 2024
` 32.40 Crores repayable in 1 quarterly installment in September, 2024 31st March, 2020 31st March, 2019
` 97.89 Crores repayable in 3 equal quarterly installments from December, 2024 to June, 2025 Particulars Minimum lease Present value of Minimum lease Present value
payments MLP payments of MLP
` 161.98 Crores repayable in 4 equal quarterly installments from September, 2025 to June, 2026
Within one year 1.80 0.70 0.34 0.03
` 163.14 Crores repayable in 4 equal quarterly installments from September, 2026 to June, 2027 After one year but not more than five years 7.52 3.73 1.38 0.17
` 105.30 Crores repayable in 2 equal quarterly installments from September, 2027 to December, 2027 More than five years 19.09 8.85 7.17 2.95
` 53.03 Crores repayable in 1 quarterly installment in March, 2028 Total minimum lease payments 28.41 13.28 8.89 3.15
Less: Amounts representing finance charges 15.13 – 5.74 –
` 53.23 Crores repayable in 1 quarterly installment in June, 2028
Present value of minimum lease payments 13.28 13.28 3.15 3.15
` 311.71 Crores repayable in 4 equal quarterly installments from September, 2028 to June, 2029
As on 1st April 2019, the Finance Lease obligation is reclassified to Lease liabilities under "Other Financial Liabilities" on account of
` 326.28 Crores repayable in 4 equal quarterly installments from September, 2029 to June, 2030 adoption of Ind AS 116 "Leases".
` 111.15 Crores repayable in 1 quarterly installment in September, 2030
23 OTHER FINANCIAL LIABILITIES
` 111.12 Crores repayable in 1 quarterly installment in December, 2030 Non Current Current
Refer
The Rupee Term Loan is secured by way of first pari-passu charge on fixed assets of the cement plant (present & future) at Mukutban, Particulars Note As at 31st As at 31st As at 31st As at 31st
Maharashtra and first pari passu charge on movable fixed assets of Butibori Plant of the subsidiary Company. 2nd pari-passu charge on entire No. March, 2020 March, 2019 March, 2020 March, 2019
current assets (both present & future) of the subsidiary company. Current Maturities of Long Term Debt 22 – – 529.33 400.73
viii) ` 73.00 Crores are repayable as under: Current Maturities of Finance Lease Obligations 22 – – – 0.04
Lease Liabilities 22.2 & 45 12.58 – 0.70 –
The loan will be repayable in 35 equal quarterly installments of ` 2.00 Crores each from June, 2020 to December, 2028 and balance ` 3.00 527.08 480.77 – 0.10
Trade & Security Deposits (Unsecured)
Crores repayable on March, 2029. The Rupee Term Loan is secured by way of first charge on all present and future movable and immovable – – 28.48 34.47
Interest Accrued but not due on Borrowings
Property, Plant and Equipment and Intangible Assets pertaining to Maihar in Madhya Pradesh, ranking pari passu with other lenders.
Interest accrued and due on Borrowings – – 2.64 –
g) Foreign Currency Loans from Banks are repayable as under:- Unpaid and Unclaimed dividends 41.2 – – 59.01 1.48
Employees Related Liabilities – – 45.51 37.73
Term Loan ` 323.82 Crores (Rate of Interest LIBOR 1M/6M Plus spread of 130 bps to 175 bps). – – 160.99 54.73
Amount Payable for Capital Goods
i) ` 151.16 Crores repayable in 4 equal quarterly installments starting from April 2020 to January 2021. Derivative Contracts (Net) – – – 6.35
Other Payables (Including rebates and discounts) – – 455.50 341.25
The above loans are secured by first charge on the movable and immovable Property, Plant and Equipment and Intangible Assets of the
Parent Company's Cement Division, ranking pari-passu with Debenture holders and other term lenders. 539.66 480.77 1,282.16 876.88
Liability Under Litigation 30.12 28.69 – –
ii) ` 51.83 Crores repayable in remaining 8 equal quartely installments from June 2020 to March 2022. Less: Paid Under Protest 22.56 20.83 – –
The above loan is secured by way of first charge on all present and future movable and immovable Property, Plant and Equipment and 7.56 7.86 – –
Intangible Assets pertaining to Maihar and Gondavali in Madhya Pradesh, Kundanganj in Uttar Pradesh, ranking pari passu with other lender Total 547.22 488.63 1,282.16 876.88
banks and second charge on entire current assets of the Maihar and Kundanganj ranking pari passu with other lender banks.

216 217
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CORPORATION
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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
24 PROVISIONS 25.1 Movement in deferred tax assets and liabilities during the year ended 31st March, 2019 and 31st March, 2020
Refer Non Current Current
As at Recognized Recognized Recognized As at
Particulars Note As at 31st As at 31st As at 31st As at 31st 1st April, in Statement in Other in Retained 31st March,
No. March, 2020 March, 2019 March, 2020 March, 2019
Particulars 2019 of Profit and Compre- Earnings 2020
Provision for Employee Benefits 45.27 37.79 10.30 5.09
Loss hensive (Directly)
Provision for Mines Restoration 24.1 4.75 4.34 6.59 6.60 Income
Total 50.02 42.13 16.89 11.69 Deferred Tax Liabilities
Depreciation 1,177.92 (178.37) – (0.20) 999.35
24.1 Movement of Provision :
Revaluation Surplus 233.50 – (1.06) 232.44
Non Current Current
Remeasurement of the Defined Benefit Plans 0.02 3.66 (3.68) – –
Provision for Mines Restoration Provision for Mines Restoration
Particulars Mark to Market Gain on Investments 5.61 5.76 0.16 – 11.53
As at 31st As at 31st As at 31st As at 31st Others 2.08 (0.72) – – 1.36
March, 2020 March, 2019 March, 2020 March, 2019
1,419.13 (169.67) (4.58) (0.20) 1,244.68
Balance as at year beginning 4.34 3.98 6.60 5.35
Deferred Tax Assets
Provision made during the year 0.41 0.36 – 1.25
Mat Credit Entitlement 277.24 (94.99) – – 182.25
Provision utilised / written back during the year – – 0.01 –
Items u/s 43B of Income Tax Act, 1961 70.49 (11.61) – – 58.88
Balance as at the year end 4.75 4.34 6.59 6.60 Unused Tax Credit 318.26 (181.12) – – 137.14
The Group has an obligation to restore the mines after extracting of reserves. Therefore provision has been recognised for the estimated Others 10.92 (1.30) – – 9.62
decomissioning and restoration cost in accordance with the mines closure plan. 676.91 (289.02) – – 387.89
Deferred Tax Liabilities (Net) 742.22 119.35 (4.58) (0.20) 856.79
25 DEFERRED TAX LIABILITIES (NET)
As at As at
Particulars
31st March, 2020 31st March, 2019 As at Recognized Recognized Recognized As at
Deferred Tax Liabilities 1st April, in Statement in Other in Retained 31st March,
Arising on account of : Particulars 2018 of Profit and Compre- Earnings 2019
Depreciation 999.35 1,177.92 Loss hensive (Directly)
232.44 233.50 Income
Revaluation Surplus
– 0.02 Deferred Income Tax Liabilities
Remeasurement of the Defined Benefit Plans
11.53 5.61 Depreciation 1,152.36 25.56 – – 1,177.92
Mark to Market Gain on Investments
1.36 2.08 Revaluation Surplus 234.25 – (0.75) – 233.50
Others
1,244.68 1,419.13 Remeasurement of the Defined Benefit Plans 0.08 (0.28) 0.22 – 0.02
Mark to Market Gain on Investments 4.23 1.22 0.16 – 5.61
Less: Deferred Tax Assets
Others 2.26 (0.18) – – 2.08
Arising on account of :
1,393.18 26.32 (0.37) – 1,419.13
Mat Credit Entitlement 182.25 277.24
Deferred Income Tax Assets
Items u/s 43B of Income Tax Act, 1961 58.88 70.49
Mat Credit Entitlement 189.14 88.10 – – 277.24
Unused Tax Credit 137.14 318.26
Items u/s 43B of Income Tax Act, 1961 76.51 (6.02) – – 70.49
Others 9.62 10.92
Unused Tax Credit 364.57 (46.31) – – 318.26
387.89 676.91
Others 18.11 (7.19) – – 10.92
Deferred Tax Liabilities (Net) 856.79 742.22 648.33 28.58 – – 676.91
Deferred Tax Liabilities (Net) 744.85 (2.26) (0.37) – 742.22

25.2 Deferred tax assets and Deferred tax liabilities have been offset wherever the Group has a legally enforceable right to set off current tax assets
against current tax liabilities and where the deferred tax assets and deferred tax liabilities relate to income tax levied by the same taxation
authority.

25.3 The Group has not recognized deferred tax assets on unused tax credits (MAT credit entitlements) of ` 46.88 Crores (Previous year ` 46.88 Crores)
related to F.Y. 2010-11 and 2011-12 on account of prudence.

218 219
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CORPORATION
LIMITED

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
26 OTHER LIABILITIES 28 TRADE PAYABLES
Refer Note As at As at
Non Current Current Particulars
Refer Note No. 31st March, 2020 31st March, 2019
Particulars As at 31st As at 31st As at 31st As at 31st
No. Trade Payables for goods and services
March, 2020 March, 2019 March, 2020 March, 2019
- Total outstanding dues of micro enterprises and small enterprises 44 3.83 7.30
Liabilities Under Litigation 289.92 299.76 – –
- Total outstanding dues of creditors other than micro enterprises and 518.92 620.01
Less : Paid Under Protest 154.21 158.23 – – small enterprises
135.71 141.53 – – Total 522.75 627.31
Advance Received from Customers – – 93.59 82.59
29 REVENUE FROM OPERATIONS
Statutory Dues – – 90.47 143.47
Refer Note For the year ended For the year ended
Bonus Liability – – 9.20 9.59 Particulars
No. 31st March, 2020 31st March, 2019
Deferred Revenue 26.1 4.29 5.29 1.33 1.66 Sale of Products 29.1 to
6,724.12 6,360.50
Others 4.89 4.89 0.00 0.00 29.4
6,724.12 6,360.50
Total 144.89 151.71 194.59 237.31
Other Operating Revenues
Incentives & Subsidies 179.38 168.09
26.1 Movement of Deferred Revenue
Export Benefits 2.29 2.34
Particulars 2019-20 2018-19
Insurance and Other Claims (Net) 1.44 1.91
Opening Balace 6.95 5.27 Miscellaneous Sale 8.46 15.89
Grants Received during the year – 3.28 191.57 188.23
Less: Released to the Statement of Profit & Loss 1.33 1.60
Total 6,915.69 6,548.73
Closing Balance 5.62 6.95
Current portion 1.33 1.66 29.1 Disaggregated Revenue Information
Non Current portion 4.29 5.29 a) Disaggregation of the Group's Revenue from Contracts with Customers:

27 SHORT TERM BORROWINGS For the year ended 31st March, 2020 For the year ended 31st March, 2019
Particulars
Refer Note As at As at Cement Jute Others Total Cement Jute Others Total
Particulars 31st March, 2020 31st March, 2019
No.
Sale of Products
Loans Repayable on Demand
Manufactured Goods 6,374.90 328.20 0.99 6,704.09 6,030.55 326.57 1.45 6,358.57
From Banks
Traded Goods 18.48 1.55 – 20.03 1.60 0.33 – 1.93
Rupee Loans 27.1 63.17 15.96 Total Revenue from Contracts with Customers 6,393.38 329.75 0.99 6,724.12 6,032.15 326.90 1.45 6,360.50
Other Loans Other Operating Revenues
From Banks Incentives & Subsidies 178.86 0.52 – 179.38 167.24 0.85 – 168.09
Suppliers' Credit in Foreign Currency 27.2 20.50 – Export Benefits – 2.29 – 2.29 – 2.34 – 2.34
Rupee Loan – 0.91 Insurance and Other Claims (Net) 1.44 – – 1.44 1.91 – – 1.91
Packing Credit in Indian Currency – 8.35 Miscellaneous Sale 7.71 0.70 0.05 8.46 14.75 1.10 0.04 15.89
Total 83.67 25.22 188.01 3.51 0.05 191.57 183.90 4.29 0.04 188.23
Total Revenue from Operations 6,581.39 333.26 1.04 6,915.69 6,216.05 331.19 1.49 6,548.73
The above amount includes
Within India 6,580.89 294.18 1.04 6,876.11 6,212.11 301.75 1.49 6,515.35
Secured Borrowings 83.67 16.87
Outside India 0.50 39.08 – 39.58 3.94 29.44 – 33.38
Unsecured Borrowings – 8.35
Total Revenue from Operations 6,581.39 333.26 1.04 6,915.69 6,216.05 331.19 1.49 6,548.73
83.67 25.22
Timing of Revenue Recognition
27.1 The above short term borrowings are Working Capital Loans from Banks of ` 63.17 Crores which are secured by way of first charge on hypothecation Goods or Services transferred at a point in time 6,581.39 333.26 1.04 6,915.69 6,216.05 331.19 1.49 6,548.73
of Parent Company's Current Assets viz. Raw Materials, Stock-in-Trade, Consumable Stores and Books Debts, both present & future and further Total Revenue from Operations 6,581.39 333.26 1.04 6,915.69 6,216.05 331.19 1.49 6,548.73
secured by way of second charge on pari-passu basis on Movable and Immovable Property, Plant and Equipment and Intangible Assets of the
Parent Company's Cement Division.
27.2 The abve short term borrowings are Working Capital Loans of ` 20.50 Crores from banks which are secured by ranking pari passu hyphothecation
of Subsidiary Company's Current Assets viz. Raw Material, Stock in trade, Consumable Stores and Books Debts, both Present & Future and further
by way of second charge on movable and immovable fixed assets pertaining to Maihar / Madhya Pradesh, Kundanganj / Uttar Pradesh and Coal
mines located at Sial Ghogri, Madhya Pradesh, ranking pari passu with other lender banks.

220 221
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CORPORATION
LIMITED

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
b) Reconciliation of the Revenue from Contracts with Customers with the amounts disclosed in the segment information: 30 OTHER INCOME

For the year ended 31st March, 2020 For the year ended 31st March, 2019 Refer Note For the year ended For the year ended
Particulars
Particulars No. 31st March, 2020 31st March, 2019
Cement Jute Others Total Cement Jute Others Total Interest Income
On Investments 0.77 0.80
Revenue
On Banks Deposits 10.60 8.14
External Sales 6,581.39 333.26 1.04 6,915.69 6,216.05 331.19 1.49 6,548.73 On Income Tax Refund 6.22 12.78
On Other Deposits, etc. 2.88 3.06
Inter Segment Revenue 1.04 0.01 7.17 8.22 0.75 0.01 5.24 6.00
Dividend Income 2.61 1.86
Total 6,582.43 333.27 8.21 6,923.91 6,216.80 331.20 6.73 6,554.73 Net Gain/ (Loss) on sale of Investments measured at fair value through Profit & Loss 18.90 26.48
Net Gain/ (Loss) on restatement of Investments (Mark to Market) measured at fair value 21.08 7.00
Less : Inter Segment Revenue 1.04 0.01 7.17 8.22 0.75 0.01 5.24 6.00
through Profit & Loss
Revenue from Operations 6,581.39 333.26 1.04 6,915.69 6,216.05 331.19 1.49 6,548.73 Transfer of Profit from Other Comprehensive Income related to G-Sec Matured during the year 39.2 0.01 –
Other Non Operating Income
Profit on sale/discard of Property, Plant and Equipment (Net) – 2.05
29.2 Information about Receivables, Contract Assets and Contract Liabilities from Contracts with Customers:
Profit on sale of Non Current Assets classified as Held for Sale 2.70 5.80
Refer Note For the year ended For the year ended Excess Liabilities and Unclaimed Balances written back (Net) 12.50 4.59
Particulars
No. 31st March, 2020 31st March, 2019 Excess Provision written back (Net) 1.31 0.91
Trade Receivables 16 250.38 262.20 Excess Depreciation written back – 0.01
Insurance and Other Claims (Net) 3.29 1.93
Contract Liabilities Miscellaneous Income 2.26 3.06
Advances from Customers 26 93.59 82.59 Total 85.13 78.47

31 COST OF MATERIALS CONSUMED

29.3 Reconciling the amount of Revenue recognised in the Statement of Profit and Loss with the Contracted Price:
Refer Note For the year ended For the year ended
Particulars No. 31st March, 2020 31st March, 2019
Refer Note For the year ended For the year ended
Particulars Raw Materials Consumed 958.12 961.25
No. 31st March, 2020 31st March, 2019
Revenue as per contracted price 7,237.20 6,786.05
Total 958.12 961.25
Less: Sales Claims 0.45 0.44
32 PURCHASES OF STOCK IN TRADE
Less: Rebate & Discounts 512.63 425.11
Traded Goods 16.05 1.45
Total Revenue from Contracts with Customers 6,724.12 6,360.50
Total 16.05 1.45
Other Operating Revenues 191.57 188.23

Revenue from Operations 6,915.69 6,548.73 33 CHANGE IN INVENTORIES OF FINISHED GOODS, STOCK IN TRADE AND WORK-IN-PROGRESS
Inventories at the beginning of the year
29.4 The transaction price allocated to the remaining performance obligation (unsatisfied or partially unsatisfied) as at Balance Sheet date are, Finished Goods 119.11 124.47
as follows: Stock-In-Trade 0.15 –
Work-In-Progress 133.77 107.66
Refer Note For the year ended For the year ended
Particulars 253.03 232.13
No. 31st March, 2020 31st March, 2019
Advances from Customers 26 93.59 82.59 Inventories at the end of the year
Finished Goods 199.99 119.11
Management expects that the entire transaction price allotted to the unsatisfied contract as at the end of the reporting period will be recognised Stock-In-Trade 0.93 0.15
as revenue during the next financial year. Work-In-Progress 107.02 133.78
307.94 253.04
Changes in Inventories (54.91) (20.91)

222 223
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CORPORATION
LIMITED

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
34 EMPLOYEE BENEFITS EXPENSE 37 OTHER EXPENSES

Refer Note For the year ended For the year ended Refer Note For the year ended For the year ended
Particulars Particulars
No. 31st March, 2020 31st March, 2019 No. 31st March, 2020 31st March, 2019
Salaries & Wages 356.81 328.77
Manufacturing Expenses
Contribution to Provident and Other Funds 31.92 30.52 260.45 238.04
Stores & Spare Parts Consumed
Staff Welfare Expenses 19.20 11.36
Packing Materials Consumed 244.96 253.94
407.93 370.65
Power & Fuel 1,380.92 1,485.00
Less : Amount Capitalized 0.05 0.02
Royalty & Cess 142.54 124.47
Total 407.88 370.63
Repairs to Buildings 19.76 16.34
35 FINANCE COST 84.85 68.97
Repairs to Machinery
Interest Expenses Freight & Material Handling on Inter Unit Transfer 250.35 297.08
To Debenture Holders 62.32 62.27 111.16 86.67
Other Manufacturing Expenses
To Banks on Term Loans, etc. 288.39 271.13
2,494.99 2,570.51
To Banks On Working Capital Loans 6.50 0.99
Selling and Administration Expenses
On Deposits and Others 29.14 24.50
Brokerage & Commission on Sales 36.60 48.67
Exchange Differences regarded as an adjustment to Borrowing Costs 15.19 20.90
Transport & Forwarding Expenses 1374.46 1355.84
Other Borrowing Costs
3.28 5.44 Insurance 9.53 7.95
Other Financial Charges
404.82 385.23 Rent 25.29 24.63
Less : Amount Capitalized 35.1 17.15 14.71 Repairs to Other Assets 19.79 16.73
Total 387.67 370.52 19.33 11.66
Rates & Taxes
35.1 The borrowing cost on specific borrowings has been capitalised at the rate applicable for respective borrowings. Advertisement 60.20 49.46

Corporate Social Responsibility Expenses 48 5.75 3.47

36 DEPRECIATION AND AMORTISATION EXPENSE
Auditors' Remuneration 37.1 0.98 0.92
On Tangible Assets 6 313.85 309.13
Loss on Revaluation of Live Stock (Net) 0.04 0.10
On Intangible Assets 8 35.04 30.13
Loss on sale/discard of Property, Plant and Equipment(Net) 10.98 –
On Investment Property 7 0.01 0.01
3.18 – Net (Gain)/Loss on Foreign currency transaction and translation 37.2 3.40 19.08
On Right of use assets 6
352.08 339.27 Investment in Associates written off – 0.01

Less: Transferred to Capital Work-in-Progress 0.17 0.15 Goodwill on Consolidation written off 0.12
Total 351.91 339.12 Net Provision for doubtful debts/advances 0.03 0.63

Bad Debts 0.06 0.13

Directors' Fees and Commission 1.00 1.16

Other Expenses 37.3 190.15 176.63

1,757.59 1,717.19

Less: Amount Capitalised

Total 4,252.58 4,287.70

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
37.1 Auditors' Remuneration 39 OTHER COMPREHENSIVE INCOME
Refer Note For the year ended For the year ended 39.1 Items that will not be reclassified to profit or loss
Particulars 31st March, 2019
No. 31st March, 2020
a) Statutory Auditors Refer Note For the year ended For the year ended
Particulars 31st March, 2020 31st March, 2019
Audit Fees 0.46 0.43 No.
Tax Audit Fees 0.07 0.07 Changes in revaluation surplus
Limited Review 0.17 0.17 Remeasurement of the Defined Benefit Plans (10.66) 0.69
Travelling Expenses 0.04 0.03 Less: Tax expense on the above (3.68) 0.22
Issue of Certificates 0.20 0.17 (6.98) 0.47
0.94 0.87
Revaluation Surplus 6.2 – –
b) Cost Auditors
Audit Fees 0.04 0.05 Less: Tax expense on the above (1.06) (0.74)
Travelling Expenses 0.00 0.00 1.06 0.74
0.04 0.05 Equity Instruments through Other Comprehensive Income (118.04) 19.24
Total 0.98 0.92 Less: Tax expense on the above – –
37.2 Net (Gain)/Loss on Foreign Currency Transaction and Translation (118.04) 19.24
Net (Gain)/Loss on foreign currency transaction and translation 12.81 35.95 39.2 Items that will be reclassified to profit or loss
Less: Amount Capitalised/(Decapitalized) 9.41 16.87
Debt Instruments through Other Comprehensive Income 0.45 (0.24)
Total 3.40 19.08
Less: Amount reclassified to statement of Profit & Loss 0.01 –
37.3 Other expenses includes ` 3.02 Crores (Previous year ` Nil) contributed to Electoral Trust Company. 0.44 (0.24)
38 TAX EXPENSE Less: Tax expense on the above 0.16 0.16
Current Tax 75.29 84.56 0.28 (0.40)
Deferred Tax Total Other Comprehensive Income for the year (Net of Tax) (123.68) 20.05
On Other Items 24.36 85.84
Less : MAT Credit Entitlement 0.01 88.10 40 Contingent Liabilities :
Add : MAT Credit Utilized / written off 95.00 –
40.1 Claims/Disputes/Demands against the Group not acknowledged as debt :
119.35 (2.26)
Income Tax for earlier years (18.30) (20.56) Sl. As at As at
Particulars
Total 176.34 61.74 No. 31st March, 2020 31st March, 2019
a Sales Tax, VAT, CST and Entry Tax matters 165.54 165.75
38.1 Reconciliation of Estimated Income Tax Expense at Indian Statutory Income Tax Rate to Income Tax Expense reported in Statement of
Comprehensive Income b Excise Duty, Service Tax, Goods & Service Tax and Custom Duty matters 100.82 100.47
Income before Income Taxes 681.52 317.44 c Income Tax matters 4.56 10.53
Indian Statutory Income Tax Rate 38.2 34.944% 34.944% d Electricity Duty and Renewable Energy Surcharge matters 21.52 21.52
Estimated Income Tax Expenses 238.15 110.93
e Royalty on Limestone 67.91 67.91
Tax Effect of adjustments to reconcile expected Income Tax Expense to reported
Income Tax Expense: f Others (Primarily related to demand for Alleged Impermissible Mining, Water Supply Charges, 60.71 52.08
Deduction under Chapter VIA (33.61) (28.40) Stamp Duty, House Tax, Education Cess etc.)
Tax payable at different rate / Capital Gain (30.20) (5.40)
40.2 An Appeal has been filed by Budge Budge Floorcoverings Ltd, a subsidiary, before the Division Bench of the Hon'ble Calcutta High Court, for award
Deferred Tax Adjustment (2.11) 6.65
against the subsidiary in respect of Suspension of Work and settlement of charter of demand made by the workers. The Division Bench of the Hon'ble
Permanent Difference 9.71 11.11
Calcutta High Court has stayed the operation of award till further order. The contingent liability could not be ascertained at this stage.
MAT Credit Entitlement (0.04) (16.70)
Impact on account of opting new tax regime 38.2 8.40 – 40.3 In respect of the matters in Note No. 40.1 to 40.2, future cash outflows are determinable only on receipt of judgements/decisions pending at various
IT Order Impact and Others 4.34 4.11 forums/ authorities. Furthermore, there is no possibility of any reimbursements to be made to the Group from any third party.
Income Tax for earlier years (18.30) (20.56)
40.4 Other Contingent Liabilities
(61.81) (49.19)
Income Tax expense in the Statement of Profit and Loss 176.34 61.74 Sl. As at As at
Particulars
38.2 The Government of India has inserted section 115BAA in the Income Tax Act, 1961, which provides domestic companies an option to pay Corporate No. 31st March, 2020 31st March, 2019
Tax at reduced rate effective 1st April 2019, subject to certain conditions. The Parent Company has decided to continue under the existing provisions a Bills discounted with Banks remaining outstanding 2.91 4.31
of the Income Tax Act, 1961. However out of seven subsidiaries, three subsidiaries of the Group namely RCCPL Private Limited, Birla Jute Supply b Customs Duty including interest thereon, which may have to be paid on account of non- 0.15 1.49
Company Limited and Lok Cements Limited have adopted the option of reduced rate and accordingly have recognized Tax Expenses for the year fulfillment of Export Obligation under EPCG and Advance Licence Scheme
ended 31st March, 2020 and remeasured its deferred tax assets/liabilities at the reduced rate prescribed in the said section.
Applicable Indian Statutory Income Tax Rate for Fiscal Year 2020 is 34.944% (existing provision) and 25.168% (New Tax regime) and for Fiscal Year
2019 is 34.944% .

226 227
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CORPORATION
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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
41 The Board of Directors of the Parent Company at its meeting held on 22nd May, 2020 have recommended a payment of final dividend of ` 7.50 per
Sl. As at As at
equity share of face value of ` 10 each for the financial year ended 31st March, 2020. The same amounts to ` 57.75 Crores. Particulars
No. 31st March, 2020 31st March, 2019
The above is subject to approval at the ensuing Annual General Meeting of the Parent Company and hence is not recognized as a Liability. ii The amount of interest paid by the buyer in terms of section 16 of the Micro, Small and Medium – –
Enterprises Development Act, 2006, along with the amount of the payment made to the
41.1 The Parent Company has proposed final dividend for the financial year 2018-19 aggregating of ₹ 57.75 Crores (₹ 7.50 per equity share of face value supplier beyond the appointed day during each accounting year.
of ₹ 10 each), at its Annual General Meeting (AGM) held on 13th August, 2019. However the Parent Company could not publish the voting results Principal 0.23 –
of the business transacted at the AGM and make payment of Dividend due to the restriction by the Hon’ble High Court of Calcutta which has since Interest 0.01 –
been lifted on 4th May, 2020. As per the voting results published thereafter, the resolution for payment of dividend has been passed by the share iii The amount of interest due and payable for the period of delay in making payment but without adding – –
holders. As the Dividend was payable in financial year 2019-20, the same has been provided in the current year's accounts. the interest specified under the Micro, Small and Medium Enterprises Development Act, 2006
iv The amount of interest accrued and remaining unpaid at the end of each accounting year – –
42 Commitments
v The amount of further interest remaining due and payable even in the succeeding years, – –
Capital Commitments until such date when the interest dues above are actually paid to the small enterprise, for the
purpose of disallowance of a deductible expenditure under section 23 of the Micro, Small and
As at As at
Particulars Medium Enterprises Development Act, 2006
31st March, 2020 31st March, 2019
Estimated amount of contracts remaining to be executed on Capital Account (Net of Advances) and 767.71 871.97 45 Leases
not provided for 45.1 As Lessee
43 Assets Pledged as Security 45.1.1 The Group’s significant leasing arrangements are in respect of leases for premises (residential, manufacturing-facilities, office, stores, godown,
The carrying amounts of Assets Pledged as Security for Current and Non-Current Borrowings are: etc.). These leasing arrangements which are cancellable ranging between 11 months and 99 years generally, or longer, and are usually renewable
by mutual consent on mutually agreeable terms. Effective 1st April 2019, the Group adopted Ind AS 116 “Leases” and applied the standard to all
Refer As at As at lease contracts existing on 1st April 2019 using the modified retrospective method. Consequently, the Group recorded the lease liability at the
Particulars
Note No. 31st March, 2020 31st March, 2019 present value of the remaining lease payments discounted at the incremental borrowing rate as on the date of transition and has measured right
Current of use asset at an amount equal to lease liability adjusted for any prepaid and accrued lease payments previously recognised.
Financial Assets
45.1.2 The following is the summary of practical expedients elected on initial application:
Trade Receivables 16 250.38 262.20
250.38 262.20 (a) Applied a single discount rate to a portfolio of leases of similar assets in similar economic environment with a similar end date.
Non-Financial Assets (b) Applied the exemption not to recognised right of use assets and liabilities for leases with less than 12 months of lease term and low value of
Inventories 14 787.38 782.71 assets on the date of initial application.
Others 13 0.03 0.17
(c) Applied the practical expedient by not reassessing whether a contract is, or contains a lease at the date of initial application. Instead applied
787.41 782.88
the standards only to the contract that were previously identified as leases under Ind AS 17.
Total Current Assets Pledged as Security 1,037.79 1,045.08
Non-Current (d) Used hindsight in determining the lease term whether the contract contained options to extend or terminate the lease.
Land 6 2,043.72 2,038.50
45.1.3 Following is carrying value of right of use assets recognized on date of transition and the movements thereof during the year ended 31st
Buildings 6 548.94 547.65
March, 2020 :
Plant & Machinery 6 3,372.09 3,296.86
Others Tangible Assets 6 1,875.46 1,194.66 Right of Use Assets
Other Non Current Assets 8 & 13 18.69 18.10 Particulars
Leasehold Land Building Plant & Machinery Total
Total Non-Current Assets Pledged as Security 7,858.90 7,095.77
Total Assets Pledged as Security 8,896.69 8,140.85 Balance as at 1st April, 2019 - - - -
Transition impact on account of adoption of Ind AS 116 5.35 5.30 - 10.65
44 Disclosure as required under the Micro, Small and Medium Enterprises Development Act, 2006, to the extent ascertained, and as per notification
"Leases" (Refer Note No. 6)
number GSR 679 (E) dated 4th September, 2015.
Reclassified from Property, Plant and Equipment on 146.94 - 2.97 149.91
Sl. As at As at account of adoption of Ind AS 116 "Leases" (Refer Note
Particulars No. 6)
No. 31st March, 2020 31st March, 2019
i The principal amount and the interest due thereon remaining unpaid to any supplier at the end Adjustment to Prepaid and accrued lease payments 4.02 - - 4.02
of each financial year: Adjustment to Retained Earnings on account of Ind AS 116 (0.57) (0.60) - (1.17)
Trade Payable "Leases"
Principal 3.83 7.30 Total Right of Use Assets on the date of transition 155.74 4.70 2.97 163.41
Interest – – Additions during the year - - - -
Other Financial Liability Deletion during the year - - - -
Principal 1.61 0.30
Depreciation of Right of Use Assets (Refer Note No. 36) (2.38) (0.68) (0.12) (3.18)
Interest – –
Balance as at 31st March, 2020 153.36 4.02 2.85 160.23

228 229
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CORPORATION
LIMITED

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
45.1.4 The following is the carrying value of lease liability on the date of transition and movement thereof during the year ended 31st March, 47.2 Defined Benefit Plan:
2020 : The following are the types of defined benefit plans:

As at 47.2.1 Gratuity Plan

Particulars
31st March, 2020 Every employee who has completed five years or more of service is entitled to gratuity on terms not less favourable than the provisions of the
Balance as at 1st April, 2019 3.15 Payment of Gratuity Act, 1972. The present value of defined obligation and related current cost are measured using the Projected Unit Credit
Transition impact on account of adoption of Ind AS 116 "Leases" 10.65 Method with actuarial valuation being carried out at Balance Sheet date.
Additions during the year – 47.2.2 Pension Plan
Finance cost accrued during the year 1.16 Pension is payable to certain categories of employees who are eligible under the Group’s Pension Scheme.
Deletions – 47.2.3 Provident Fund
Payment of Lease Liabilities (1.68) Provident Fund (other than government administered) as per the provisions of the Employees Provident Funds and Miscellaneous Provisions Act,
Balance as at 31st March, 2020 13.28 1952.

Current maturities of Lease Liability (Refer Note No. 23) 0.70 47.2.4 Risk Exposure
Non-Current Lease Liability (Refer Note No. 23) 12.58 Defined Benefit Plans

45.1.5 The adoption of the new standard has also resulted in decrease in profit before tax and profit for the year by ₹ 2.87 Crores (Increase in Depreciation Defined benefit plans expose the Group to actuarial risks such as: Interest Rate Risk, Salary Risk and Demographic Risk.
expense and finance cost by ₹ 3.18 Crores and ₹ 1.16 Crores respectively with corresponding decreases in other expenses by ₹ 1.47 Crores). The a) Interest rate risk: The defined benefit obligation calculated uses a discount rate based on government bonds. If the bond yield falls, the
effect of this adoption is insignificant on earnings per share. Ind AS 116 has also resulted in an increase in cash inflows from operating activities and defined benefit obligation will tend to increase.
an increase in cash outflows from financial activities on account of lease payments by ₹ 1.68 Crores each. Total Deferred tax expense and deferred b) Salary risk: Higher than expected increases in salary will increase the defined benefit obligation.
tax liabilities are decreased by ₹ 0.13 Crore. c) Demographic risk: This is the risk of variability of results due to unsystematic nature of decrements that includes mortality, withdrawal,
disability and retirement. The effect of these decrements on the defined benefits obligations is not straight forward and depends on the
45.1.6 The maturity analysis of lease liabilities are disclosed in Note No. 22.2.
combination of salary increase, discount rate and vesting criteria. It is important not to overstate withdrawals because in the financial analysis
45.1.7 The weighted average incremental borrowing rate applied to lease liabilities w.r.t. Land, Building and Plant and Equipments as at 1st April, 2019 is the retirement benefit of the short career employee typically costs less per year as compared to a long service employee.
8.00%, 10.17% and 7.79% respectively. 47.2.5 Reconciliation of the Net Defined Benefit Obligation
45.1.8 Rental expense recorded for short-term leases amounting to ₹ 25.29 Crores (Previous Year ₹ 24.63 Crores). The following table shows a reconciliation from the opening balances to the closing balances for the net Defined Benefit Obligation and its
components:
45.1.9 The Group does not face a significant liquidity risk with regards to its lease liabilities as the current assets are sufficient to meet the obligations
related to lease liabilities as and when the fall due. Particulars Gratuity (Funded) Pension (Unfunded)

45.2 As Lessor 2019-20 2018-19 2019-20 2018-19

The Group leased out its investment property on operating lease basis on cancellable basis. Rental income earned and direct operating expenses Balance at the beginning of the year 129.63 128.95 0.66 0.65
incurred on property letting on lease has been disclosed in Note No 7. Current Service Cost 8.87 8.13 – –
Interest Cost on Defined Benefit Obligation 8.95 9.08 0.04 0.04
46 Earnings Per Share Actuarial Gain and Losses arising from
As at As at Changes in Demographic Assumptions – – – –
Particulars Changes in Financial Assumptions 7.91 1.73 0.02 0.01
31st March, 2020 31st March, 2019
Profit for the year attributable to owners of the Parent Company 505.18 255.69 Experience Adjustment 2.86 (2.54) 0.04 0.08
Weighted average number of equity shares 7,70,05,347 7,70,05,347 Benefits Paid (14.30) (15.72) (0.12) (0.12)
Earnings per share basic and diluted (`) 65.60 33.21 Balance at the end of the year 143.92 129.63 0.64 0.66
(Face value of ` 10/- per share) 47.2.6 Reconciliation of the Plan Assets

47 Disclosure pursuant to Indian Accounting Standard - 19 ‘Employee Benefits’ as notified u/s 133 of the Companies Act, 2013: The following table shows a reconciliation from the opening balances to the closing balances for the Plan Assets and its Components:

47.1 Defined Contribution Plan : Gratuity (Funded) Pension (Unfunded)

Particulars
The amount recognized as an expense for the Defined Contribution Plans are as under: 2019-20 2018-19 2019-20 2018-19
Balance at the beginning of the year 135.92 131.36 – –
Sl. For the year ended For the year ended
Particulars Interest Income on Plan Assets 9.63 9.66 – –
No. 31st March, 2020 31st March, 2019
Remeasurement of Defined Benefit Obligation:
a Provident Fund 3.58 2.96 Return on Plan Assets greater/ (lesser) than discount rate 0.17 (0.03) – –
b Superannuation Fund 2.98 3.36 Employer Contributions to the Plan 6.01 10.10 – –
Benefits Paid (13.93) (15.17) – –
c Pension Fund 7.45 7.58
Balance at the end of the year 137.80 135.92 – –

230 231
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CORPORATION
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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
47.2.7 The amount recognised in the Balance Sheet 47.2.13 The estimates of future salary increases, considered in actuarial valuation, take account of inflation, seniority, promotion and other relevant factors,
Gratuity (Funded) Pension (Unfunded) such as supply and demand in the employment market.
Particulars
2019-20 2018-19 2019-20 2018-19 47.2.14 At 31st March 2020, the weighted average duration of the defined benefit obligation is 2 to 10 years (previous year 3 to 10 years). The distribution
Present value of Defined Benefit Obligation 143.92 129.63 0.64 0.66 of the timing of benefits payment i.e., the maturity analysis of the benefit payments is as follows:
Fair Value of Plan Assets 137.80 135.92 – – Gratuity (Funded) Pension (Unfunded)
Net Asset/(Liability) recognised in the Balance Sheet (6.12) 6.29 (0.64) (0.66) Expected benefits payment for the year ending on (undiscounted)
2019-20 2018-19 2019-20 2018-19
47.2.8 Expenses recognised in Profit and Loss Within 1 Year 16.47 17.32 0.10 0.10
Gratuity (Funded) Pension (Unfunded) 1 to 2 Year 13.34 11.99 0.10 0.10
Particulars
2019-20 2018-19 2019-20 2018-19 2 to 3 Year 13.95 13.03 0.10 0.10
Current Service Cost 8.87 8.13 – – 3 to 4 Year 15.40 13.97 0.10 0.10
Interest Cost 8.95 9.08 0.04 0.04
4 to 5 Year 16.55 15.02 0.10 0.10
Interest Income on Plan Assets (9.63) (9.66) – –
Total Expenses recognised in Profit and Loss 8.19 7.55 0.04 0.04 More than 5 Years 88.76 86.52 0.41 0.41

47.2.9 Remeasurements (gain)/ loss recognised in Other Comprehensive Income 47.2.15 The Group expects to contribute ` 11 Crores (previous year ` 2.25 Crores) to its gratuity fund in 2020-21.
Gratuity (Funded) Pension (Unfunded) 47.2.16 The following payments are expected contributions to the defined benefit plan in future years:
Particulars
2019-20 2018-19 2019-20 2018-19 Gratuity (Funded) Pension (Unfunded)
Actuarial (gain)/ Loss on Defined Benefit Obligation 10.77 (0.81) 0.06 0.09 Expected contributions
2019-20 2018-19 2019-20 2018-19
Return on Plan Assets (greater)/ lesser than discount rate (0.17) 0.03 – –
Total remeasurements (gain)/loss recognised in Other 10.60 (0.78) 0.06 0.09 Within next 12 months (next annual reporting period) 11.00 2.25 – –
Comprehensive Income Between 2 and 5 years 9.00 5.55 – –
47.2.10 Major Categories of Plan Assets Between 5 and 10 years 9.00 7.65 – –
Gratuity (Funded) Pension (Unfunded) Beyond 10 years 11.00 11.00 – –
Particulars
2019-20 2018-19 2019-20 2018-19 47.2.17 Sensitivity Analysis
Qualified Insurance Policy 100% 100% – – The sensitivity analysis below have been determined based on a method that extrapolates the impact on defined benefit obligation (DBO) as a
Insurer Managed Funds 100% 100% – – result of reasonable changes in key assumptions occuring at the end of the reporting period. Reasonably possible changes at the reporting date
The Gratuity Scheme is invested in a Group Gratuity-cum-Life Assurance Cash accumulation policy offered by Life Insurance Corporation (LIC) of to one of the relevant actuarial assumptions, holding other assumptions constant, would have affected the defined benefit obligation by the
India, Cap Assure Group Gratuity Scheme offered by SBI Life Insurance Co. Limited, HDFC Life Group variable employee benefit plan offered by amounts shown below:
HDFC Standard Life Insurance Company Limited, IndiaFirst New Corporate Benefit plan for gratuity offered by IndiaFirst Life Insurance Company Gratuity (Funded) Pension (Unfunded)
Limited, Bajaj Allianz Group Employee Care plan offered by Bajaj Allianz Life Insurance Company Ltd and Rel Group Gratuity Plus Plan offered by Particulars
2019-20 2018-19 2019-20 2018-19
Reliance Nippon Life Insurance Co. Ltd. The information on the allocation of the fund into major asset classes and expected return on each major
class are not readily available. Effect on DBO due to 1% increase in Discount Rate (9.53) (8.21) (0.03) (0.03)
Effect on DBO due to 1% decrease in Discount Rate 10.98 9.42 0.03 0.03
47.2.11 Asset-Liability Matching Strategy
Effect on DBO due to 1% increase in Salary Escalation Rate 6.59 9.33 – –
The Group’s investment is in Cash Accumulation Plan/ Traditional Plan of various Insurance Companies, the investments are being managed by
Effect on DBO due to 1% decrease in Salary Escalation Rate (13.13) (8.24) – –
these Insurance Companies and at the year end interest is being credited to the fund value. The Group has not changed the process used to
manage its risk from previous periods . The Group’s investments are fully secured and would be sufficient to cover its obligations. Sensitivity due to mortality and withdrawl rate are being insignificant, hence ignored.
47.2.12 Actuarials Assumptions Although the analysis does not take account of the full distribution of cash flows expected under the plan, it does provide an approximation of the
Gratuity (Funded) Pension (Unfunded) sensitivity of the assumptions shown.
Particulars
2019-20 2018-19 2019-20 2018-19 47.2.18 Provident fund for certain eligible employees is managed by the Parent Company through the various Provident Fund Trusts, namely “M P Birla
Financial Assumptions Group Provident Fund Institution”, “Satna Cement Works Employees’ Provident Fund Trust”, “Birla Cement Works Staff Provident Fund Trust”, “Birla
Discount Rate 6.50% to 6.70% 7.30% 6.50% 7.30% Jute Mills Workers’ Provident Fund Trust”, “Soorah Jute Mills Employees’ Provident Fund Trust”, “Durgapur Cement Works Employees’ Provident Fund
Trust” and ”Birla Industries Provident Fund”, in line with the Provident Fund and Miscellaneous Provisions Act, 1952. The plan guarantees interest
Salary Escalation Rate 5% to 8% 5% to 8% - -
at the rate notified by the Provident Fund Authorities. The contribution by the employer and employee together with the interest accumulated
Demographic Assumptions
thereon are payable to employees at the time of their separation from the Parent Company or retirement, whichever is earlier. The benefits vest
Mortality Rate IAL (2006-08) IAL (2006-08) LIC (1996-1998) LIC (1996-1998)
immediately on rendering of the services by the employee.
Modified Ultimate Modified Ultimate Ultimate Ultimate
Withdrawal Rate 2% to 4% 2% to 4% - -

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CORPORATION
LIMITED

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
The Parent Company has an obligation to fund any shortfall on the yield of the trust’s investments over the administered interest rates on an 50 Talavadi Cements Ltd, one of the subsidiary, has been granted Mining Lease for 2130 Hectors in Satna District in the State of Madhya Pradesh. An
annual basis. These administered rates are determined annually predominantly considering the social rather than economic factors and in most appeal against the above grant has been filed. Pursuant to order of the Hon’ble Supreme Court, the subsidiary had filed Review Petition before
cases the actual return earned by the Trust has been higher in the past years. The actuary has provided a valuation for provident fund liabilities the Hon’ble High Court at Jabalpur. The Hon’ble High Court vide its order dated 23rd October, 2018 dismissed the Review Petition and further
on the basis of guidance issued by Actuarial Society of India and based on the below provided assumptions there is no shortfall, except in one directed the subsidiary to raise all questions of Law and facts before the State Government. Aggrieved by the above order the subsidiary again
particular Trust, there is shortfall of ` 0.59 Crore & ` 0.76 Crore as at 31st March, 2020 and as at 31st March, 2019 respectively. filed a SLP before the Hon’ble Supreme Court. By an order and judgment dated 15th April, 2019 the Hon’ble Supreme Court dismissed the SLP
with a direction to the State Government to decide the matter in accordance with Law in terms of the order of the Hon’ble High Court of Jabalpur.
The details of fund and plan asset position are given below:
Matter is pending before the State Government for adjudication as per direction of Hon’ble Supreme Court as well as Hon’ble High Court, Jabalpur.
Particulars Present value of obligation Fair value of plan assets Net amount
51 The Bikram Coal Block, the allocation of which was cancelled in view of the decision of the Hon’ble Supreme Court on 24th September, 2014 has
As at 31 March, 2020 333.03 343.58 10.55
been allocated by the Ministry of Coal through E-Auction process vide CMDPA (Coal Mine Development and Production Agreement) dated 18th
As at 31 March, 2019 312.14 318.29 6.15
December, 2019 and Vesting Order dated 10th February, 2020. The amount carried forward in the books of the Parent Company amounting to
The plan assets have been primarily invested in government securities. ₹ 3.71 Crores (towards geological and other studies), being claimed as compensation from the Government of India, has been transferred to
Assumptions used in determining the present value obligation of the interest rate guarantee under the Deterministic Approach: capital work in progress, related to the development of said Block.

Particulars 31st March, 2020 31st March, 2019 52 As a policy, the Group annually assesses the impairment of property plant and equipment (PPE) and other non-current assets by comparing the
Discount Rate (per annum) 6.50% 7.30% carrying value of PPE and other non-current assets with its fair value. In case the fair value is less than the carrying value an impairment charge is
Expected Rate of Return on Plan Assets (per annum) 8.25% 9.13% created. Management has concluded that there is no impairment of PPE and other assets during the year.

The Parent Company contributed ` 6.70 Crores and ` 6.13 Crores during the year ended 31st March, 2020 and 31st March, 2019 respectively. 52.1 Certain Trade Receivables, Loans & Advances and Trade Payables are subject to confirmation. In the opinion of the management, the value of Trade
Receivables and Loans & Advances on realisation in the ordinary course of business, will not be less than the value at which these are stated in the
48 In accordance with the Guidance Note on Accounting for Expenditure on Corporate Social Responsibility Activities, issued by The Institute of
Balance Sheet.
Chartered Accountants of India the requisite disclosure are as follows:
52.2 The Parent Company’s unit Soorah Jute mill is under Suspension of Operations since 29th March, 2004.
48.1 Particulars For the year ended on
31st March, 2020 31st March, 2019 52.3 The Parent Company’s unit Birla Vinoleum and Auto Trim Division at Birlapur, are under Suspension of Operations since 18th February, 2014.
Gross amount required to be spent by the Group Company during the year 5.28 3.41
52.4 Budge Budge Floorcoverings Ltd, one of the subsidiaries considered for consolidation, is under Suspension of Operations since 29th October,
Related Party transactions as per Ind AS 24 in relation to CSR Expenditure NIL NIL
2003.
Provision made in relation to CSR expenditure NIL NIL
52.5 In respect of mining matter of Parent Company’s unit Chanderia before the Hon’ble Supreme Court, a comprehensive report has been submitted
48.2 Amount spent during the year on :
by Central Building Research Institute (CBRI) on full scale mining. The matter is in the final stage of hearing. Further, Principal Bench of National
For the year ended on 31st March, 2020 For the year ended on 31st March, 2019 Green Tribunal on 8th March, 2019 has ordered to stop all mining activities which are being carried on within the municipal limites of Chittorgarh
Sl. ParƟculars In Cash Yet to be Total In Cash Yet to be Total City and within 10 km of Bassi Wild Life Sanctuary or within Eco-Sensitive Zone of Bassi Wild Life Sanctuary, if finally notified. In the opinion of the
No. paid in cash paid in cash management, there is no material impact of such order on the current operations of the Parent Company.
i Construction/ Acquisition of any asset – – – – – –
52.6 Following Subsidiary Company has not been consolidated during the year as these are under voluntarily winding up:
ii On purposes other than (i) above 5.75 – 5.75 3.45 0.02 3.47
Name of the Company Accumulated loss
49 Companies included/not included in Consolidation : As at 31st March, 2020 As at 31st March, 2019
2019-20 2018-19 Birla Corporation Cement Manufacturing PLC (Under voluntarily winding up) 0.45 0.45
Particulars Extent of Extent of
Shareholding Relationship Shareholding Relationship 53 Fair Value Measurement
A Companies included in Consolidation The fair value of the financial assets and liabilities are included at the amount that would be received to sell an asset or paid to transfer a liability
Companies incorporated in India in an orderly transaction between market participants at the measurement date.
i RCCPL Pvt. Ltd. 100.00% Subsidiary 100.00% Subsidiary
53.1 The following methods and assumptions were used to estimate the fair values:
ii Birla Jute Supply Company Ltd. 100.00% Subsidiary 100.00% Subsidiary
iii Talavadi Cements Ltd. 98. 01% Subsidiary 98. 01% Subsidiary 53.1.1 The bonds and government securities being listed, the fair value has been taken at the market rates of the same as on the reporting dates. They
iv Lok Cements Ltd. 100.00% Subsidiary 100.00% Subsidiary are classified as Level 1 fair values in fair value hierarchy.
v Budge Budge Floorcoverings Ltd. 100.00% Subsidiary 100.00% Subsidiary
53.1.2 The fair values of non-current borrowings are based on the discounted cash flows using a current borrowing rate. Debentures are classified as
vi Birla Cement (Assam) Ltd. 100.00% Subsidiary 100.00% Subsidiary
Level 3 fair values in the fair value hierarchy due to the inclusion of unobservable inputs including own credit risks, which was assessed as on the
vii M.P. Birla Group Services Pvt. Ltd. 100.00% Subsidiary 100.00% Subsidiary
balance sheet date to be insignificant.
B Companies not included in Consolidation
Company incorporated Outside India, Ethiopia 53.1.3 The management has assessed that the fair values of cash and cash equivalents, trade receivables, trade payables, short term borrowings, and other
Name of the Company current financial liabilities approximates their carrying amounts largely due to the short-term maturities of these instruments. The management
i Birla Corporation Cement Manufacturing PLC (Under 100.00% Subsidiary 100.00% Subsidiary has assessed that the fair value of floating rate instruments approximates their carrying value.
voluntarily winding up)

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
53.2 Fair Value Hierarchy Fair Value heirarchy
Carrying
The following are the judgements and estimates made in determining the fair values of the financial instruments that are (a) recognized and Particulars
Value Fair Value Level 1 Level 2 Level 3
measured at fair value and (b) measured at amortized cost and for which fair value are disclosed in the Consolidated Financial Statements. To (2) Financial Liabilities
provide an indication about the reliability of the inputs used in determining fair value, the Group has classified its financial instruments into
Financial Liabilities at amortised cost 530.00 538.70 – – 538.70
the three levels of fair value measurement as prescribed under the Ind AS 113 “Fair Value Measurement”. An explanation of each level follows
underneath the tables. Long Term Borrowings
Fixed Rate 3,337.37 3,337.37 – – –
53.3 The following table provides classification of financial instruments and the fair value hierarchy of the Group’s assets and liabilities:
- Debentures 323.18 323.18 – – –
53.3.1 Disclosure for the year ended 31st March, 2020 Floating Rate 7.73 7.73 – – –
Fair Value heirarchy - Rupee Term Loan 13.28 13.28 – – –
Carrying
Particulars - Foreign Currency Term Loan 83.67 83.67 – – –
Value Fair Value Level 1 Level 2 Level 3
(1) Financial Assets Others - Rupee Term Loan 522.75 522.75 – – –
Financial Assets at amortised cost Lease Liabilities 527.08 527.08 – – –
Investment Short Term Borrowings 160.99 160.99 – – –
- Government Securities 0.00 0.00 – – – Trade Payables 28.48 28.48 – – –
Trade Receivables 250.38 250.38 – – – Trade & Security Deposits 2.64 2.64
Loan Receivables 1.56 1.56 – – – Amount Payable for Capital Goods 45.51 45.51 – – –
Cash and Cash Equivalents 46.66 46.66 – – – Interest accrued but not due on Borrowings 522.07 522.07 – – –
Other Bank Balances 209.15 209.15 – – –
Interest accrued and due on Borrowings 6,104.75 6,113.45 – – 538.70
Security Deposits 59.44 59.44 – – –
Employees Related Liabilities
Other Deposits and Advances 7.23 7.23 – – –
Other Financial Liabilities – – – – –
Interest Accrued on Deposits 5.57 5.57 – – –
Sub Total – – – – –
Fixed Deposits maturing after 12 months from Balance 6.24 6.24 – – –
Financial Liabilities at fair value through Profit & Loss
Sheet date
Derivatve Instrument 6.35 –
Other Financial Assets 2.38 2.38 – – –
Sub Total 6.35 –
Incentive and Subsidy Receivable 445.83 445.83 – – –
Total Financial Liabilities 6,104.75 6,113.45 – – 538.70
Sub Total 1,034.44 1,034.44 – – –
Financial Assets at fair value through Profit & Loss
53.3.2 Disclosure for the year ended 31st March, 2019
Investments
- Unlisted Preference Shares 0.00 0.00 – – 0.00 Carrying Fair Value heirarchy
Particulars
Value Fair Value Level 1 Level 2 Level 3
- Mutual Funds 676.17 676.17 676.17 – –
(1) Financial Assets
Derivative Instrument 7.82 7.82 – 7.82 –
Financial Assets at amortised cost
Sub Total 683.99 683.99 676.17 7.82 0.00
Investment
Financial Assets at fair value through Other - Government Securities 0.00 0.00 – – –
Comprehensive Income
Trade Receivables 262.20 262.20 – – –
Investments
Loan Receivables 1.62 1.62 – – –
- Listed Equity Instrument 151.11 151.11 151.11 – – Cash and Cash Equivalents 89.43 89.43 – – –
- Unlisted Equity Instrument 0.06 0.06 – – 0.06 Other Bank Balances 49.53 49.53 – – –
- Bonds 7.64 7.64 7.64 – – Security Deposits 57.51 57.51 – – –
- Government Securities 1.19 1.19 1.19 – – Other Deposits and Advances 5.94 5.94 – – –
Sub Total 160.00 160.00 159.94 – 0.06 Interest Accrued on Deposits 1.91 1.91 – – –
Fixed Deposits maturing after 12 months from Balance 2.38 2.38 – – –
Total Financial Assets 1,878.43 1,878.43 836.11 7.82 0.06
sheet date
Other Financial Assets 2.37 2.37 – – –
Incentive and Subsidy Receivable 499.59 499.59 – – –
Sub Total 972.48 972.48 – – –

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
Fair Value heirarchy 54.1 Credit Risk
Carrying
Particulars The credit risk is the risk of financial loss arising from counter party failing to discharge an obligation. The credit risk is controlled by analysing
Value Fair Value Level 1 Level 2 Level 3
Financial Assets at fair value through Profit & Loss credit limits and credit worthiness of customers on continuous basis to whom the credit has been granted, obtaining necessary approvals for
credit and taking security deposits from trade channels.
Investments
- Unlisted Preference Shares 0.00 0.00 – – 0.00 a) Trade Receivables
- Mutual Funds 599.32 599.32 599.32 – –
As at 31st March, 2020
- Derivative Instrument – – – – –
Not due 0-30 days 31-60 days 61-90 days Above 90
Sub Total 599.32 599.32 599.32 – 0.00 Ageing schedule
past due past due past due days
Financial Assets at fair value through Other Gross carrying amount 46.35 104.63 57.02 17.98 39.38
Comprehensive Income
Expected loss rate 0% 0% 0% 0% 38.04%
Investments
- Listed Equity Instrument 269.15 269.15 269.15 – – Expected credit losses (Loss allowance provision) – – – – 14.98

- Unlisted Equity Instrument 0.06 0.06 – – 0.06 Carrying amount of trade receivables (net of impairment) 46.35 104.63 57.02 17.98 24.40

- Bonds 7.20 7.20 7.20 – –

- Government Securities 1.00 1.00 1.00 – – As at 31st March, 2019
Sub Total 277.41 277.41 277.35 – 0.06 Not due 0-30 days 31-60 days 61-90 days Above 90
Ageing schedule
past due past due past due days
Total Financial Assets 1,849.21 1,849.21 876.67 - 0.06
Gross carrying amount 92.49 122.04 18.28 7.96 37.68
(2) Financial Liabilities
Expected loss rate 0% 0% 0% 0% 43.14%
Financial Liabilities at amortised cost
Expected credit losses (Loss allowance provision) – – – – 16.25
Long Term Borrowings
Carrying amount of trade receivables (net of impairment) 92.49 122.04 18.28 7.96 21.43
Fixed Rate
- Debentures 680.00 689.53 – – 689.53 Reconciliation of loss allowance provision for Trade Receivable:
Floating Rate
Particulars 2019-20 2018-19
- Rupee Term Loan 2,825.32 2,825.32 – – –
Loss allowance as at beginning 16.25 16.81
- Foreign Currency Term Loan 508.44 508.44 – – –
Changes in loss allowance (Net) (1.27) (0.56)
- Finance Lease Obligation 3.15 3.15 – – –
Loss allowance as at Year end 14.98 16.25
Others - Rupee Term Loan 7.07 7.07 – – –
Short Term Borrowings 25.22 25.22 – – – There is no customer (Previous Year Nil) who represents more than 10% of the total balance of trade receivables.
Trade Payables 627.31 627.31 – – –
54.2 Liquidity Risk
Trade & Security Deposits 480.87 480.87 – – –
Amount Payable for Capital Goods 54.73 54.73 – – – The Group determines its liquidity requirement in the short, medium and long term. This is done by drawings up cash forecast for short term and
long term needs.
Interest accrued but not due on Borrowings 34.47 34.47 – – –
Employees Related Liabilities 37.73 37.73 – – – The Group manage its liquidity risk in a manner so as to meet its normal financial obligations without any significant delay or stress. Such risk
Other Financial Liabilities 350.59 350.59 – – – is managed through ensuring operational cash flow while at the same time maintaining adequate cash and cash equivalent position. The
management has arranged for diversified funding sources and adopted a policy of managing assets with liquidity monitoring future cash flow
Sub Total 5,634.90 5,644.43 – – 689.53
and liquidity on a regular basis. Surplus funds not immediately required are invested in certain mutual funds and fixed deposit which provide
Financial Liabilities at fair value through Profit & Loss flexibility to liquidate. Besides, it generally has certain undrawn credit facilities which can be assessed as and when required; such credit facilities
Derivative Instrument 6.35 6.35 – 6.35 – are reviewed at regular basis.
Sub Total 6.35 6.35 – 6.35 –
Total Financial Liabilities 5,641.25 5,650.78 – 6.35 689.53

53.4 During the year ended 31st March, 2020 and 31st March, 2019, there were no transfers between Level 1 and Level 2 fair value measurements, and
no transfer into and out of Level 3 fair value measurements.

54 Financial Risk Management

The Group has a Risk Management Policy which covers risk associated with the financial assets and liabilities. The Risk Management Policy is
approved by the Board of Directors. The different types of risk impacting the fair value of financial instruments are as below:

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
54.2.1 Maturity Analysis for financial liabilities b) The following are the remaining contractual maturities of financial liabilities as at 31st March, 2019:
The following are the remaining contractual maturities of financial liabilities as at 31st March, 2020 : Particulars On Demand 0 to 6 More than 6 More than More than 5 Total
Months months to 1 1 years to 5 years
a) Particulars On Demand 0 to 6 More than 6 More than More than 5 Total year years
Months months to 1 1 years to 5 years
year years Non-derivative

Non-derivative Trade payables – 627.31 – – – 627.31

Borrowings
Trade payables – 522.75 – – – 522.75
Redeemable Debentures (Refer Note No. 22.1 (a))
Borrowings
2500 9.25% NCD 2026 – – – – 250.00 250.00
Redeemable Debentures ( Refer Note No. 1500 9.15% NCD 2021 – – – 150.00 – 150.00
22.1 (a))
1300 9.05% NCD 2020 – – – 130.00 – 130.00
2500 9.25% NCD 2026 – – – 75.00 175.00 250.00
1500 9.10% NCD 2020 – – 150.00 – – 150.00
1500 9.15% NCD 2021 – – – 150.00 – 150.00
Rupee Term Loan from bank ( Refer Note – 51.78 53.80 1,091.01 1,649.48 2,846.07
1300 9.05% NCD 2020 – – 130.00 – – 130.00 No. 22.1 (b))
Foreign Currency Term Loan (Refer Note – 36.18 108.97 365.47 – 510.62
Rupee Term Loan (Refer Note No 22.1(b)) – 79.65 89.71 1,405.71 1,784.64 3,359.71 No. 22.1 ( c))
Foreign Currency Term Loan (Refer Note – 120.22 110.02 93.58 – 323.82 Rupee Term Loan - Other (Refer Note No 22.1(d)) – – – – 11.91 11.91
No 22.1(c)) Finance lease obligations (Refer Note No. 22.2) – 0.01 0.02 0.17 2.95 3.15
Rupee Term Loan - Other (Refer Note No – – – 5.24 6.67 11.91 Short Term Borrowings 15.96 9.26 – – – 25.22
22.1(d))
Other financial liabilities –
Finance lease obligations (Refer Note No. – – – – – –
22.2) Trade & Security Deposits* 0.10 – – 7.62 473.15 480.87
Short Term Borrowings 63.17 20.50 – – – 83.67 Amount Payable for Capital Goods – 11.60 43.13 – – 54.73
Other financial liabilities Interest accrued but not due on Borrowings – 28.88 5.59 – – 34.47
Trade & Security Deposits* – – – 11.01 516.07 527.08 Employees related Liabilities – 37.73 – – – 37.73

Amount Payable for Capital Goods – 19.80 141.19 – – 160.99 Others Financial Liabilities 1.48 341.25 – 7.86 – 350.59

Lease Liabilities – – 0.69 3.72 8.87 13.28 Total 17.54 1,144.00 361.51 1,752.13 2,387.49 5,662.67

Interest accrued but not due on – 22.97 5.51 – – 28.48 Derivative

Borrowings Derivative Instrument – 3.64 2.71 – – 6.35
Interest accrued and due on Borrowings – 2.64 – – – 2.64
* Based on management assumption
Employees related Liabilities – 45.51 – – – 45.51
c) The amounts are gross and undiscounted, and include contractual interest payments and exclude the impact of netting agreements (if any). The
Others Financial Liabilities 59.01 455.50 – 7.56 – 522.07 interest payments on variable interest rate loans in the tables above reflect market forward interest rates at the respective reporting dates and
these amounts may change as market interest rates change. The future cash flows on derivative instruments may be different from the amount in
Total 122.18 1,289.54 477.11 1,751.82 2,491.25 6,131.90
the above tables as exchange rates change. Except for these financial liabilities, it is not expected that cash flows included in the maturity analysis
* Based on management assumption could occur significantly earlier, or at significantly different amounts. When the amount payable is not fixed, the amount disclosed has been
determined with reference to conditions existing at the reporting date.

54.3 Market Risk

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk
comprises four type of risks: Commodity Price Risk, Foreign Currency Risk, Interest Rate Risk and Other Price Risk.

54.3.1 Commodity Price Risk

The Group primarily imports coal, pet coke, gypsum and raw jute. It is exposed to commodity price risk arising out of movement in prices of
such commodities. Such risks are monitored by tracking of the prices and are managed by entering into fixed price contracts, where considered
necessary.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
54.3.2 Foreign Currency Risk Particulars 31st March, 2019
The Group has Foreign Currency Exchange Risk on imports of input materials, capital equipments and also borrows funds in foreign currency USD INR EUR INR JPY INR
for its business. The Group evaluates the impact of foreign exchange rate fluctuations by assessing its exposure to exchange rate risks. Certain
Derivative Assets
transactions of the Group act as a natural hedge as a portion of both assets and liabilities are denominated in similar foreign currencies. For the
remaining exposure to foreign exchange risk, the Group adopts a policy of selective hedging based on risk perception of the management using Forward Contract against Trade Receivable 0.05 3.46 – – – –
derivative, wherever required, to mitigate or eliminate the risk. Forward Contract against Firm Commitments 0.02 1.66 – – – –
a) Exposure to currency risk Derivative Liabilities
The Group's exposure to foreign currency risk at the end of the reporting period are as follows: Forward Contract - Against Payable 2.32 160.38 0.02 1.24 – –

I) Unhedge Foreign Currency Exposure Forward Contract - Against Firm Commitments 2.10 145.31 0.05 4.14 – –
(Amount in Crores)
Net Exposure (Liability) 4.35 300.57 0.07 5.38 – –
Particulars 31st March, 2020
b) The Group uses interest rate swaps to hedge the Interest rate of External Commercial Borrowings of Nil (Previous Year USD 10 Mn).
USD INR EUR INR
Financial Assets c) Sensitivity Analysis

Trade Receivables – – – – The Analysis is based on assumption that the increase/decrease in foreign currency by 5% with all other variables held constant, on the unhedged
foreign currency exposure. The following table demonstrates the sensitivity in the USD, EUR, CHF and GBP to the Indian Rupee with all other
Financial Liabilities
variables held constant.
Foreign Currency Term Loan 3.14 238.30 – –
31st March, 2020 31st March, 2019
Trade Payables & Others (*) 0.01 1.10 0.03 2.20
Sensitivity Impact on Sensitivity Impact on
Net Exposure (Liability) 3.15 239.40 0.03 2.20 Particulars
Analysis Profit before Other Equity Analysis Profit before Other Equity
(*) Does not includes CHF 3,060 and GBP 7,350 equivalent to ` 0.02 Crore and ` 0.08 Crore respectively. tax tax
USD Sensitivity Increase 5% (11.97) (7.79) 5% (20.20) (13.14)
Particulars 31st March, 2019 USD Sensitivity Decrease 5% 11.97 7.79 5% 20.20 13.14
USD INR EUR INR EUR Sensitivity Increase 5% (0.11) (0.07) 5% (0.16) (0.10)
Financial Assets EUR Sensitivity Decrease 5% 0.11 0.07 5% 0.16 0.10
Trade Receivables – – – – Sensitivity analysis for CHF and GBP are being insignificant, hence ignored.
Financial Liabilities
54.3.3 Interest Rate Risk
Foreign Currency Term Loan 5.78 399.96 – –
The Group is exposed to risk due to interest rate fluctuation on long term borrowings. Such borrowings are based on fixed as well as floating
Trade Payables & Others (*) 0.06 4.13 0.04 3.17 interest rate. Interest rate risk is determined by current market interest rates, projected debt servicing capability and view on future interest rate.
Net Exposure (Liability) 5.84 404.09 0.04 3.17 Such interest rate risk is actively evaluated and is managed through portfolio diversification and exercise of prepayment/refinancing options
where considered necessary.
(*) Does not includes CHF 3,060 and GBP 7,350 equivalent to ` 0.02 Crore and ` 0.06 Crore respectively.
The Group is also exposed to interest rate risk on surplus funds parked in fixed deposits and lnvestments viz. mutual funds, bonds. To manage such
II) Hedged Foreign Currency Exposure risks, such investments are done mainly for short durations, in line with the expected business requirements for such funds.
(Amount in Crores)
a) Exposure to interest rate risk
Particulars 31st March, 2020
USD INR EUR INR JPY INR Particulars 31st March, 2020 31st March, 2019
Fixed Rate Instruments
Derivative Assets
Financial Assets – -
Forward Contract against Trade Receivable 0.06 4.32 – – – –
Financial Liabilities 530.00 680.00
Forward Contract against Firm Commitments 0.08 6.33 – – – –
530.00 680.00
Derivative Liabilities
Variable Rate Instruments
Forward Contract - Against Payable 1.50 113.18 0.00 0.40 – – Financial Assets – -
Forward Contract - Against Firm Commitments 1.33 100.62 0.02 1.42 0.01 0.61 Financial Liabilities 3,683.52 3,356.69
Net Exposure (Liability) 2.69 203.15 0.02 1.82 0.01 0.61 3,683.52 3,356.69

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
b) Interest rate Sensitivity 57 Segment Reporting
A Change in 50 bps in interest rate would have following impact on Profit Before Tax and Other Equity: A) Primary Segment Information

31st March, 2020 31st March, 2019 2019-20 2018-19

Particulars
Sensitivity Impact on Sensitivity Impact on Cement Jute Others Total Cement Jute Others Total
Particulars Business Segment
Analysis Profit before Other Equity Analysis Profit before Other Equity
Segment Revenue
tax tax
(a) External Sales 6,581.39 333.26 1.04 6,915.69 6,216.05 331.19 1.49 6,548.73
Interest Rate Increase by 0.50% (18.42) (11.98) 0.50% (16.78) (10.92)
(b) Inter Segment Revenue 1.04 0.01 7.17 8.22 0.75 0.01 5.24 6.00
Interest Rate Decrease by 0.50% 18.42 11.98 0.50% 16.78 10.92 Total 6,582.43 333.27 8.21 6,923.91 6,216.80 331.20 6.73 6,554.73
Less : Inter Segment Revenue 1.04 0.01 7.17 8.22 0.75 0.01 5.24 6.00
54.3.4 Other Price Risk
Revenue from Operations 6,581.39 333.26 1.04 6,915.69 6,216.05 331.19 1.49 6,548.73
The Group's exposure to equity securities price risk arises from investments held by the Group and classified in the balance Sheet either at fair
Segment Result 1,046.04 13.59 (2.69) 1,056.94 671.07 10.57 (3.19) 678.45
value through OCI or at fair value through profit and loss. Having regard to the nature of securities, intrinsic worth, intent and long term nature of
securities held by the Group, fluctuation in their prices are considered acceptable and do not warrant any management. Add:
(i) Interest Income 20.47 24.78
a) Exposure to other market price risk (ii) Unallocated Income net of unallocated
(8.22) (15.27)
Expense
Particulars 31st March, 2020 31st March, 2019 Less:
Investment in Equity Instruments 151.11 269.15 (i) Interest Expense 387.67 370.52
Investment in Mutual Funds 676.17 599.32 Profit before Tax 681.52 317.44
Investment In Bonds 7.64 7.20 Tax Expense
Current Tax 75.29 84.56
Investment in Government Securities 1.19 1.00
Deferred Tax 119.35 (2.26)
836.11 876.67 Income Tax for earlier years (18.30) (20.56)
Profit after tax 505.18 255.70
b) Sensitivity Analysis
Other Information
The Analysis is based on assumption that the increase/decrease by 5% with all other variables held constant. Segment Assets 9,850.61 946.88 147.63 10,945.12 9,139.70 940.13 148.38 10,228.21
31st March, 2020 31st March, 2019 Unallocated assets 1,230.35 1,103.40
Total Assets 12,175.47 11,331.61
Sensitivity Impact on Sensitivity Impact on
Particulars Segment Liabilities 1,530.16 26.41 1.51 1,558.08 1,456.92 25.80 1.58 1,484.30
Analysis Profit after Other Equity Analysis Profit after Other Equity Unallocated liabilities 5,811.22 5,352.05
tax tax
Total Liabilities 7,369.30 6,836.35
Market rate Increase 5% 41.81 27.20 5% 43.83 28.52 Segment Capital Expenditure 1,092.99 8.34 0.19 1,101.52 381.84 7.53 0.06 389.43
Market rate Decrease 5% (41.81) (27.20) 5% (43.83) (28.52) Common Capital Expenditure 5.57 5.79
Total Capital Expenditure 1,107.09 395.22
55 Capital Management Segment Depreciation 339.73 7.80 0.95 348.48 326.49 8.62 1.15 336.26
The Group's objective to manage its capital is to ensure continuity of business while at the same time provide reasonable returns to its various Common Depreciation 3.43 2.86
stakeholders but keep associated costs under control. In order to achieve this, requirement of capital is reviewed periodically with reference to Total Depreciation 351.91 339.12
operating and business plans that take into account capital expenditure and strategic Investments. Sourcing of capital is done through judicious B) Secondary (Geographical) Segment Information
combination of equity/internal accruals and borrowings, both short term and long term. Net debt (total borrowings less current investments, cash
Geographical segment is identified as the secondary segment and details are given below:
and cash equivalents and other bank balances) to equity ratio is used to monitor capital.
Particulars 2019-20 2018-19
Particulars 31st March, 2020 31st March, 2019 1. Revenue from external customers
Debt Equity Ratio 0.70 0.74 – Within India 6,876.11 6,515.35
– Outside India 39.58 33.38
56 Government grants during the year comprising Incentive and Subsidies include:
Total 6,915.69 6,548.73
56.1 Tax incentive for Capital investments under various State Investment Promotion Schemes of ` 177.78 Crores (Previous Year ` 166.23 Crores).
2. The Group does not have any tangible, intangible assets and non current operating assets located outside India.
56.2 Amortisation of the deferred revenue of ` 0.75 Crore (Previous Year ` 0.69 Crore) arising due to difference between the fair value & nominal value
3. During the year as well as previous year, no customer contributed 10% or more to the Group's revenue from operations.
of interest free loan granted under State Investment Promotion Scheme.
C) Other Disclosures
56.3 Amortisation of the deferred revenue of ` 0.58 Crore (Previous Year ` 0.91 Crore) on account of Investment in Plant & Machineries under various
State Investment Promotion Schemes. The Group's operations predominantly relate to Cement and other products are Jute Goods, Auto Trims and Steel Castings. Accordingly, these
business segments comprise the primary basis of segmental information set out in these financial statements.
56.4 Renewable Energy Certificates for generation of power from solar power plant under Central Electricity Regulatory Commission (Terms and
Conditions for Recognition and Issuance of Renewable Energy Certificate for Renewable Energy Generation) Regulations, 2010 of ` 0.27 Crore Inter-segment transfers are based on prevailing market prices except for Iron & Steel Castings which is based on cost plus profit.
(Previous Year ` 0.26 Crore). The accounting policies adopted for segment reporting are in line with the accounting policy of the Group.

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
58 Related Party Disclosures 58.2 Transactions during the year

58.1 Other related parties with whom transactions have taken place during the year and previous year are: 2019-20 2018-19
Nature Name of the Company Associates Entities Key Post Associates Entities Key Post
Particulars exercising Management employment exercising Management employment
Entities exercising significant Vindhya Telelinks Ltd. significant Personnel benefit plan significant Personnel benefit plan
influence over the Group
August Agents Ltd. influence over Trust influence over Trust
the Group the Group
Insilco Agents Ltd.
Sales of goods/ services
Laneseda Agents Ltd. – 0.06 – – – 0.75 – –
provided
Purchase of goods/ services
– 1.82 – – – 1.87 – –
received
Nature Name of the Company
Receipt of rent – 0.06 – – – 0.06 – –
Associates Birla Readymix Private Limited (Dissolved w.e.f. 7th February, 2019 )
Advances given – – – 2.00 – – – –
Birla Odessa Industries Private Limited (Dissolved w.e.f. 18th January, 2019)
Advances recovered – – – 2.00 – – – –
Paid to Trust-Employees
– – – 6.70 – – – 6.13
Nature Name Designation Provident Fund Contribution
Key Management Personnels Paid to Trust-Employees
Mr. Harsh V. Lodha Chairman – – – 5.00 – – – 8.60
Gratuity Fund Contribution
Managing Director (ceased to be Managing Director w.e.f. 3rd
Mr. Bachh Raj Nahar Paid to Trust-Employees
August, 2019)
Superannuation Fund – – – 2.94 – – – 3.23
Mr. Pracheta Majumdar Wholetime Director and Chief Executive Officer Contribution
Mr. Vikram Swarup Remuneration, Perquisites &
– – 5.89 – – – 7.15 –
Mr. Bachh Raj Nahar (ceased Others (Refer Note No. 58.2.1)
to be the Director w.e.f. Dividend Paid – – – – – 15.86 – –
13th August, 2019 due to
retirement by rotation) Dividend Received – 0.00 – – – 0.00 – –
Mr. Anand Bordia 58.2.1 Key Management Personnel compensation
Director
Mr. Brij Behari Tandon
For the year ended For the year ended
Mr. Dhruba Narayan Ghosh Particulars
31st March, 2020 31st March, 2019
Mr. Deepak Nayyar Short-Term Employee Benefits 2.65 5.58
Ms. Shailaja Chandra Post-Employment Benefits 1.38 0.52
Mr. Dilip Ganesh Karnik Long-Term Employee Benefits 1.11 0.12
Director's Sitting Fees 0.75 0.93
Nature Name of the Company
Director's Commission 0.00 -
Post employment benefit plan Trust Satna Cement Works Employees' Provident Fund
Total Compensation 5.89 7.15
Soorah Jute Mills Employees' Provident Fund Trust
* Amount related to current year includes earlier year accumulated amount of Gratuity and Leave encashment, paid at the time of retirement.
M P Birla Group Provident Fund Institution
Birla Cement Works Staff Provident Fund 58.3 Balance Outstanding as at the balance sheet date

Birla Jute Mills Workers' Provident Fund Trust As at As at

Particulars
31st March, 2020 31st March, 2019
Durgapur Cement Works Employees' Provident Fund
Trade Payables
Birla Corporation Limited, Employees Gratuity Fund
Entities exercising significant influence over the Group 0.09 0.14
Birla DLW Ltd. Employees Gratuity Fund Provision for Employees benefit
Birla Corporation Superannuation Fund Post employment benefit plan Trust 3.45 0.52
Other Receivables
Entities exercising significant influence over the Group 0.01 -
Short-term employee benefits
Key Management Personnel 0.00 0.80

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31ST MARCH, 2020
(` in Crores) (` in Crores)
58.4 Terms and Conditions of transactions with Related Parties:
The investment in equity shares in AMP is 26%. Considering the substance of the transactions, in the opinion of the management, it is not
All Related Party Transactions are net off taxes and duties. The sales to and purchases from related party are made in the normal course of business considered as a related party under Ind AS 24/28. Accordingly, the investment in equity shares and compulsorily convertible debentures is
and on terms equivalent to those that prevail in arm's length transactions. The Loans and Advances as well as Corporate Guarantee issued to
recognized at amortised cost under “Deposits” as per the provision of Ind AS 109 and the difference between amortised cost and investment value
related parties are on terms equivalent to those that prevail in arm's length transactions. Outstanding balances at the year end are unsecured
and settlement occurs in cash, the Group has recorded the receivable relating to amount due from related parties net of impairment (if any). This on initial recognition is recognized under “Capital Advance”.
assessment is undertaken each financial year through examining the financial position of the related parties and the market in which the related 61 During the year, lockdown was declared across the country by the Central/ State Government(s) in response to COVID-19 pandemic on various
party operates.
dates between 22nd March, 2020 and 25th March, 2020. Consequently, Group's manufacturing and sales operations at all the locations were
59 Additional Information, as required under Schedule III to the Companies Act, 2013, of enterprises consolidated as Subsidiary/ impacted due to such lockdown during the period from 22nd March, 2020 to 31st March, 2020. The operations have since commenced in a phased
Associates: manner since April/ May, 2020 conforming to the guidelines of regulatory authorities. While Group's sales and profitability for the period were
adversely impacted due to lockdown, it is not possible to ascertain the impact thereof. As per the current assessment of the Group, no material
Net Assets i.e. Total Share of Profit or Loss Share in other Share in total impact is expected due to COVID-19 on the carrying values of assets and liabilities at the year ended 31st March, 2020. The Group has taken into
Assets minus Total comprehensive income comprehensive income consideration external and internal information for developing various assumption for assessing the fair value of assets and liabilities, the impact
Liabilities whereof may differ from the estimates taken as on the date of approval of financial statements. Any changes due to the changes in situation and
Name of the Entity As % of (` in As % of (` in As % of (` in As % of (` in circumstances will be taken into consideration if necessary as and when it materialises.
Consoli– Crores) Consoli– Crores) Consoli– Crores) Total Crores)
dated Net dated Profit dated Other Compre– 62 Previous year figures have been regrouped/rearranged/reclassified wherever necessary. Further, there are no material regroupings/
Assets or Loss Compre– hensive reclassifications during the year.
hensive Income
Income
As per our annexed Report of even date For and on behalf of the Board of Directors
Parent For V. SANKAR AIYAR & CO.
Birla Corporation Limited 90.48 4,348.41 62.52 315.84 99.66 (123.26) 50.48 192.58 Chartered Accountants ADITYA SARAOGI HARSH V. LODHA
Firm Registration No. 109208W Chief Financial Officer Chairman
Subsidiaries (DIN : 00394094)
Indian M. S. BALACHANDRAN
Partner GIRISH SHARMA PRACHETA MAJUMDAR
1. Birla Jute Supply Co. Ltd. 0.03 1.36 0.01 0.05 0.00 (0.00) 0.01 0.05 Membership No. 024282 Joint President (Indirect Taxes) Wholetime Director
2. Talavadi Cements Ltd. 0.19 9.24 0.05 0.25 – – 0.07 0.25 & Company Secretary & Chief Executive Officer
(DIN : 00179118)
3. Lok Cements Ltd. 0.01 0.31 0.54 2.71 – – 0.71 2.71
New Delhi Kolkata
4. Budge Budge Floor Coverings Ltd. 0.04 1.81 0.00 0.00 (0.02) 0.03 0.01 0.03
Date: 22nd May, 2020 Date: 22nd May, 2020
5. M.P. Birla Group Services Pvt. Ltd. 0.00 0.00 (0.00) (0.00) – – (0.00) (0.00)
6. Birla Cement (Assam) Ltd. 0.00 0.03 (0.00) (0.00) – – (0.00) (0.00)
7. RCCPL Pvt. Ltd. 56.53 2717.25 35.62 179.99 0.36 (0.45) 47.06 179.54
Minority Interest in all subsidiaries 0.00 0.04 0.00 0.00 – – 0.00 0.00
Consolidation adjustments (47.28) (2,272.32) 1.26 6.34 – – 1.66 6.34
Total 100.00 4,806.13 100.00 505.18 100.00 (123.68) 100.00 381.50

60 During the year, the Group has made an investment in AMP Solar Clean Power Private Limited (‘AMP’) by way of purchase of 7,56,800 fully paid up
equity shares having face value of ₹ 10 each, amounting of ₹ 0.76 Crore (26% holding in AMP) and in 68,112 compulsorily convertible debentures
having face value of ₹ 1000 each, amounting of ₹ 6.81 Crores under Share Purchase, Subscription and Shareholders Agreement. Further, the Group
has entered into a long term power purchase agreement (‘PPA’) with the AMP which is engaged in setting up a solar power plant. The PPA has a
lock-in period of 15 years wherein the Group is required to purchase the entire contracted power capacity from the said plant.

Taking into consideration the terms and conditions of PPA, it is considered that the arrangement in respect of long term power purchase agreement
satisfies all the conditions of the lease as per Ind AS 116. However, the plant is under construction as on 31st March, 2020. Consequently, Right of
Use Assets and Lease Liabilities will be recognized on the Commencement date of Solar Power Plant.

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