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Sathavahana Ispat Ltd.

BSE: 526093 Sector: Metals & Mining
NSE: SATHAISPAT ISIN Code: INE176C01016
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HIGH

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OPEN 39.10
PREVIOUS CLOSE 39.35
VOLUME 5752
52-Week high 103.95
52-Week low 33.00
P/E
Mkt Cap.(Rs cr) 193
Buy Price 38.00
Buy Qty 46.00
Sell Price 0.00
Sell Qty 0.00
OPEN 39.10
CLOSE 39.35
VOLUME 5752
52-Week high 103.95
52-Week low 33.00
P/E
Mkt Cap.(Rs cr) 193
Buy Price 38.00
Buy Qty 46.00
Sell Price 0.00
Sell Qty 0.00

Sathavahana Ispat Ltd. (SATHAISPAT) - Director Report

Company director report

To

The Members

SATHAVAHANAISPAT LIMITED

Your Board of Directors has pleasure in presenting the 27h Annual Reporttogether with the Audited Accounts of the Company for the year ended 31stMarch 2016:

FINANCIAL RESULTS:

Your Board of Directors reports the following financial results for the year 2015-16:

(Amount in Rs.)
SI. No. Particulars Year ended 31-03-2016 Year ended 31-03-2015
1. Gross revenue from operations 12322446236 10558535415
2. Other income 90862164 70053077
3. Operating profit/(loss) before finance costs and depreciation 904712415 1019215721
4. Finance costs 1042964018 493381950
5. Depreciation and amortization 459808405 245078782
6. Profit / (loss) before tax (598060008) 280754989
7. Tax expense (254570388) 22441507
8. Net Profit / (loss) after tax (343489620) 258313482
9. Add: Profit/(loss) brought forward from last year (412478101) (654592443)
Less: Depreciation on fixed assets due to revision in estimated useful lives 0 (16199140)
10. Balance carried forward (755967721) (412478101)
11. Earning /(loss)per Equity Share-Basic (6.75) 5.07
12. Earning/(loss)per Equity Share-Diluted (6.75) 5.07

During the year under review the performance of the Company is satisfactory. Althoughthe sales have improved the Company ended with loss mainly due to lower capacityutilization of Ductile Iron Pipe manufacturing unit which in turn was on account of issuesin process stabilization which is normal in the initial stages of the industry; subduedmarket conditions; adverse foreign exchange fluctuations and falling commodity prices inparticular Iron and Steel prices.The performance during the year includes performance fromDuctile Iron Pipe Plant Sinter Plant and captive thermal Power Plant of integratedproject and accordingly is not comparable with the previous year's ended performance. Thegross revenue at-12322446236/- is higher as compared to previous year's revenue of-10558535415/-. The year ended with loss before tax of-598060008/- as against profitbefore tax of-280754989/- in the previous year. During the year in the absence of virtualcertainty deferred tax asset on account of unabsorbed depreciation and business loss hasbeen recognized to the extent it can be realised against reversal of deferred taxliability of-254570388/-. The year ended with net loss of-343489620/- as against netprofit of-258313482/- in the year before. Accordingly the loss per share accounted forat-6.75 as compared to earning per share of-5.07 in the previous year.

DIVIDEND AND GENERAL RESERVE:

The Board of Directors has not recommended any dividend for the year 2015-16 due toloss incurred during the year and carry forward loss from earlier years. Company cannotdeclare dividend until the carry forward loss is full set off against the profits asprovided in the Companies Act 2013. The Board of Directors also has not proposed totransfer any amount to General Reserve in view of the carry forward loss.

DIRECTORS'RESPONSIBILITY STATEMENT:

Pursuant to the requirement under Section 134(3)(c) of the Companies Act 2013 withrespect to Directors' Responsibility Statement your Directors hereby state and confirmthat:

i) In the preparation of Annual Accounts for the Financial Year 2015-16 the applicableAccounting Standards had been followed with proper explanation relating to materialdepartures;

ii) The Accounting Policies selected were applied consistently and the judgements andestimates made are reasonable and prudent so as to give a true and fair view of the stateof affairs of the Company as at 31st March 2016 and of the Loss of the Companyfor the year ended on that date;

iii) Proper and sufficient care has been taken for the maintenance of adequateaccounting records in accordance with the provisions of the Companies Act 2013 forsafeguarding the assets of the Company and for preventing and detecting fraud and otherirregularities;

iv) The Annual Accounts have been prepared on a going concern basis;

v) Internal Financial Controls to be followed by the Company have been laid down andthat such Internal Financial Controls are adequate and were operating effectively; and

vi) Proper systems had been devised to ensure compliance with the provisions of allapplicable laws and that such systems were adequate and operating effectively.

AUDIT COMMITTEE:

The Audit Committee comprises Chairman -Shri K.Thanu Pillai Independent Director andfour other Independent Director members -Shri Syed Anis Hussain Shri S.N.Rao SmtY.Prameela Rani and Shri M.S. Rama Mohan Rao.The Audit Committee at its meeting held on 30thMay 2016 has considered and approved the Audited Accounts of the Company for the financialyear ended 31st March 2016. The Audited Accounts for the financial year ended31st March 2016 as approved and recommended by the Audit Committee do notrequire any explanations from the Board.

CORPORATE GOVERNANCE:

Pursuant to Listing Regulations and the erstwhile Clause 49 of the Listing Agreementsentered into by the Company with the Stock Exchanges where the Shares of the Company arelisted Company is required to comply with the Code of Corporate Governance for thefinancial year under review. Accordingly the Reports on Corporate Governance andManagement Discussion and Analysis together with Auditors'Report on compliance of Code ofCorporate Governance are attached to this Report and forms part of the Annual Report.These Reports are to be read in conjunction with this Directors'Report.

DIRECTORS:

Shri A.S.Rao is liable for retirement of Directors by rotation at the end of theensuing 27h Annual General Meeting and being eligible offer himself forre-appointment at the said Annual General Meeting.

Shri A.S.Rao has been appointed as Executive Vice Chairman at 26?h AnnualGeneral Meeting for a period of three years effective from 27.07.2015 to 26.07.2018 andthe office of Executive Vice Chairman is liable for retirement of Directors by rotation.Shri A.S.Rao is eligible for re-appointment and approval of the Members for hisre-appointment is being sought in the ensuing Annual General Meeting.

In the opinion of the Board the proposed appointee fulfils the conditions specified inthe Companies Act 2013 and Rules made thereunder and keeps the Board strengthened.

Policy on selection and appointment of Directors Composition and category ofDirectors attendance of each Director at meetings Number of other Directorships held byeach Director Number of Board meetings held and dates on which held Board meetingsprocess familiarisatioin programme of each Independent Directors Board's evaluationprocess are discussed in the Report on Corporate Governance which forms part of thisReport.

The Board of Directors confirms that based on the declarations given by all theIndependent Directors in pursuance of provisions of Section 149(7) of the Companies Act2013 they meet the criteria of independence as provided in Section 149(6) of the CompaniesAct 2013.

AUDITORS AND AUDIT REPORT:

Pursuant to Section 139142 and other applicable provisions if any of the CompaniesAct 2013 and Rules made there under as amended from time to time and for the time being inforce the appointment of M/s. P.V.R.K. Nageswara Rao & Co. Chartered Accountants(Firm's Registration Number: 002283S) Hyderabad as Auditors of the Company to hold officefrom conclusion of this Annual General Meeting till the conclusion of Twenty Eighth AnnualGeneral Meeting is coming up for your ratification. The Auditors have confirmed that theyare eligible to continue to be the Auditors of the Company subject to ratification oftheir appointment by themembers at the ensuing Annual General Meeting.

The Independent Auditors' Report for the financial year ended 31st March2016 which forms part of the Annual Report do not require any explanations from the Boardas there are no qualifications or reservations or adverse remarks.

COST AUDITORS AND COST AUDIT REPORT:

Company appointed M/s. S. Mahadevan & Co Coimbatore Practicing Cost Accountants(Firm's Registration Number 00007) as Cost Auditors for the financial year 2014-15 and2015-16.The Cost Compliance Report as prepared by the Cost Auditors for the financial year2014-15 has been filed with the Central Government with in the due date. The CostCompliance Report for theyear 2015-16 prepared by the said Cost Auditors has been reviewedand adopted by the Board. The Board of Directors based on the recommendations of the AuditCommittee has appointed M/s S. Mahadevan & Co. Practicing Cost Accountants (Firm'sRegistration Number: 00007) as Cost Auditors for conducting Cost Audit of the Cost Recordsof the Company for the year 2016-17. In pursuance of the provisions of Section 148 andother applicable provisions if any of the Companies Act 2013 read with Companies (Auditand Auditors) Rules 2014 the remuneration payable for conducting the Cost Audit for theyear ending 31st March 2017 to M/s S. Mahadevan & Co. Practicing CostAccountants is being placed before the Members in the ensuing Annual General Meeting fortheir ratification.

SECRETARIAL AUDITOR AND SECRETARIAL AUDIT REPORT:

M/s D. Hanumanta Raju & Co. Practicing Company Secretaries Hyderabad who havebeen appointed as Secretarial Auditor for the financial year 2015-16 have conducted theAudit of the Secretarial Records and submitted their Report in MR-3 which is annexed tothis Report (Annexure-V). The Secretarial Audit Report for the financial year ended 31stMarch 2016 do not require any explanations from theBoard as there are no qualificationsor reservations or adverse remarks. The Board of Directors at its meeting held on 3(?hMay 2016 has re-appointed M/s.D.Hanumanta Raju & Co. Practicing Company SecretariesHyderabad as Secretarial Auditor for the financial year 2016-17.

TRANSFER OF UNCLAIMED DIVIDEND AMOUNTS TO IEPF:

Pursuant to the provisions of Section 205A(5) of the Companies Act 1956 and / orSection 124(5) of the Companies Act 2013 previously declared dividends which remainedunclaimed for a period of seven years have been transferred by the Company to theInvestor Education and Protection Fund (IEPF) established by the Central Governmentpursuant to Section 205C of the Companies Act 1956and / or Section 125 of the CompaniesAct 2013.

DIRECTORS EMPLOYEES AND THEIR REMUNERATION:

The particulars of employees required to be furnished pursuant to Section 197(12) ofthe Companies Act 2013 read with sub rule (2) to Rule 5 to the Companies (Appointment& Remuneration) Rules 2014 as amended are not required to be provided as there wereno employees drawing remuneration more than the stipulated limits. Details of RemunerationPolicy and payment of remuneration toall Directors / Key Managerial Personnel / othermanagerial employees is given in the Report on Corporate Governance under the headNomination and Remuneration Committee which forms part of this Report. Managing Directorand other WholeTime Directors have not received any remuneration or commission fromholding or subsidiary companies as the Company do not have such companies. In the opinionof the Board the level and composition of remuneration to Directors Key ManagerialPersonnel and other managerial employees is reasonable and sufficient to attract retainand motivate the people who could run the Company efficiently. The Board affirms that theremuneration paid is in accordance with Remuneration Policy of the Company.Therelationship between performance and remuneration is clear and meets appropriatebenchmarks and that the remuneration criteria succinctly balances between fixed andvariable pay wherever set reflecting short and long term performance objectivesappropriate to the working of the Company and its goals. Disclosures required to be madepursuant to Rule 5 to the Companies (Appointment & Remuneration) Rules 2014 areattached to this report (Annexure-ll).

DEMATERIALISATION OF EQUITY SHARES:

The Agreements entered into by the Company with the two Depositories viz. NationalSecurities Depository Limited (NSDL) and Central Depository Services (India) Limited(CDSL) for dematerialisation of Shares are in force and the Company's Shares are indematerialised mode under ISIN No. INE176C01016. As per the Securities and Exchange Boardof India(SEBI) directives the Equity Shares of the Company are to be compulsorily tradedin dematerialisation form with effect from 26th February 2001. In view of thesignificant benefits that accrue on dematerialisation of securities Members may avail thefacility.

LISTING OF SHARES ON STOCK EXCHANGES:

The Equity Shares of the Company are listed on BSE Ltd (formerly The Bombay StockExchange Limited) Stock Code:526093 and The National Stock Exchange of India Limited (NSE)Stock Code: SATHAISPAT and are regularly traded. The listing fee to these Stock Exchangeshas been paid upto date.

CONSERVATION OF ENERGY TECHNOLOGY ABSORPTION FOREIGN EXCHANGE EARNINGS AND OUTGO:

Information on conservation of energy technology absorption foreign exchange earningsand out go required to be disclosed under Section 134 of the Companies Act 2013 read withCompanies (Accounts) Rules 2014 is given in the Annexure forming part of this Report(Annexure-I).

FIXED DEPOSITS:

During the year the Company has not accepted fixed deposits within the meaning ofSection 2(31) read with Sections 73 and 74 of the Companies Act 2013. There are no overduedeposits or outstanding deposits as on the Balance Sheet date.

RISK MANAGEMENT:

The Board engaged itself with the task of Risk Management by preparing implementingand monitoring the risk management plan of the Company.The Board apart from ensuring theeffectiveness of risk management covering internal financial risks and controls alsoreviews the same on regular basis. Major risks identified are monitored on a regular basisby the Board.

INTERNAL FINANCIAL CONTROL AND SYSTEMS AND THEIR ADEQUACY:

The Company has put in place Internal Financial Controls that will ensure the policiesand procedures of the Company are followed regularly so that the business of the Companyis conducted in orderly and efficient manner. The Internal Financial Controls are appliedinter alia to test various aspects in the conduct of business including adherence toCompany's policies safeguarding Company's assets prevention and detection of frauds anderrors or irregularities the accuracy and completeness of the accounting records andtimely preparation of reliable financial information and the financial statements. In theopinion of the Board such Internal Financial Controls are adequate and were operatingeffectively. During the year such Internal financial Controls have been tested and noreportable weaknesses in the design and operations were observed.

RELATED PARTY TRANSACTIONS:

There are no material related party transactions entered into by the Company fallingwithin the meaning of Section 188(1) of the Companies Act 2013. Other related partytransactions contracts or arrangements entered into by the Company are in the ordinarycourse of business and at arm's length price. The details of these contracts orarrangements or transactions as required to be disclosed in terms of Section 134(3)(h)areprovided in Form AOC-2 which forms part of this Report (Annexure-lll) and accompanyingFinancial Statements.

PARTICULARS OF LOANSGUARANTEES AND INVESTMENTS:

The Company has not granted loans guarantees or made investments in or to companiesfirms or other parties covered in the Register maintained under Section 189 of theCompanies Act 2013. The Company has not extended any loans to the employees for purchaseof its shares. Other investments made by the Company are given in the accompanyingFinancial Statements which are in the ordinary course of business.

EXTRACTS OF ANNUAL RETURN:

Information on Extracts of Annual Return required to be disclosed under Section 92(3)of the Companies Act 2013 read with Rule 12 of Companies (Management and Administration)Rules 2014 is given in the prescribed Form MGT-9 forming part of this report(Annexure-IV).

CORPORATE SOCIAL RESPONSIBILITY:

The details with respect to Corporate Social Responsibility of the Company as requiredto be disclosed in terms of provisions of Section 135 read with Section 134(3)(o) and Rule9 of Companies (Accounts) Rules 2014 are given in the Report on Corporate Governanceattached to and forming part of this Report. During the year the Company in terms ofprovisions of sub section 5 to Section 135 of the Companies Act 2013 is not required toearmark any fund for Corporate Social Responsibility activities in view of the pastlosses.

MATERIAL CHANGES:

There are no material changes and commitments affecting the financial position of theCompany which have occurred between the end of the financial year to which the FinancialStatements relates and the date of this Report.

ORDERS PASSED BY THE REGULATORSCOURTS OR TRIBUNALS:

There are no significant and material orders passed by the Regulators or CourtsorTribunals impacting the going concern status and Company's operations in future. Howeverduring the year the Company along with some other buyers contested before the Hon'ble HighCourt of Karnataka (HC) the levy of Forest DevelopmentTax (FDT) by the miners on theirsale of Iron Ore. The Hon'ble HC vide its judgement dated 15.02.2016 has granted partialrelief to the Company and directed the Government of Karnataka (GOK) to refund the FDTcollected earlier. Following the Rs. 2325.73 lakhs towards

FDT collected in the earlier years. However Government of Karnataka and some miningcompanies have since gone on appeal before the Hon'ble Supreme Court against the abovejudgement. Pending disposal of the appeal the Company has not recognised the said refundclaim in its books of account in the Financial Year 2015-16.

SUBSIDIARY OR ASSOCIATE COMPANIES:

There are no subsidiary or associate companies to the Company as at the end of 31stMarch 2016. Accordingly no Consolidated Financial Statements is required to be reported.

CREDIT RATING:

During the year Brickwork Ratings India Private Limited. has assigned BWR BBB- ratingfor the company's long term bank borrowings and BWR A3 for working capital limits.

STANDALONE FINANCIAL STATEMENTS:

The accompanying Financial Statements and this Board's Report are prepared based onstandalone operations of the Company.

BOARD'S APPROVAL:

This Directors' Report has been considered approved and adopted by the Board ofDirectors at its meeting held on 12th August 2016. The accompanying FinancialStatements were approved and adopted by the Board of Directors at its meeting held on 30thMay 2016.

ACKNOWLEDGMENTS:

Your Directors take this opportunity to express their grateful thanks to Canara BankState Bank of Hyderabad Andhra Bank Shareholders Central and State Governments andvalued suppliers and customers for their cooperation and support. The Board also places onrecord its appreciation of the valuable services rendered by the employees at all levelsof the Company.

for and on behalf of the Board
Place: Hyderabad (K.Thanu Pillai)
Date: 12.08.2016 Chairman
(DIN:00115814)

ANNEXURE-I TO DIRECTORS' REPORT

Statutory information as required under Section 134(3)(m) read with Rule 8(3) of theCompanies (Accounts)

Rules 2014

a) Conservation of Energy:The Company has set-up Captive Power Generation Plants whichutilise surplus Blast Furnace gas and waste heat from exhaust gases of Coke Ovens forgenerating Power apart from thermal coal. The Power Plants have been functioningsatisfactorily. The power requirement of operations is met from these Power Plants.

b) Technology absorption: The technologies sourced in earlier years from SINO STEEL forthe Pig Iron plant and from Chinese Academy of Agriculture Mechanisation Sciences (CAAMS)for Ductile Iron Pipe manufacturing plant at Haresamudram works and Anshan Technology forMetallurgical Coke plant at Kudithini works all technologies sourced from P.R.Chinastand fully absorbed.

c) The Company is not engaged into any Research and Development activity and as suchthere is no expenditure incurred on Research and Development activity.

d) Foreign Exchange earnings and outgo:

1) Foreign Exchange Earnings : s
a) F.O.B value of export 3640537930
II) Foreign Exchange Outgo:
a) C.I.F. value of imports:
i. Raw materials : 5676060813
ii. Capital goods : 20585926
iii. Components and spare parts : 41927556
b) Travelling expenses : 760630
c) Usance interest : 45383406

 

for and on behalf of the Board
Place: Hyderabad (K.Thanu Pillai)
Date: 12.08.2016 Chairman
(DIN:00115814)

ANNEXURE-II TO DIRECTORS' REPORT DIRECTORS EMPLOYEES AND THEIR REMUNERATIONDISCLOSURES REQUIRED TO BE MADE PURSUANTTO SECTION 197 (12) READ WITH RULE 5 TO THECOMPANIES

(APPOINTMENT & REMUNERATION) RULES 2014

a) Details of Remuneration Policy and payment of remuneration to all Directors / KeyManagerial Personnel / other managerial employees is given in the Report on CorporateGovernance under the head Nomination and Remuneration Committee which forms part of thisReport.

b) The particulars of employees required to be furnished pursuant to Section 197(12) ofthe Companies Act 2013 read with sub rule (2) to Rule 5 to the Companies (Appointment& Remuneration) Rules 2014 as amended are not required to be provided as there wereno employees drawing remuneration more than the stipulated limits:

c) The ratio of the remuneration of each Director to the median remuneration of theemployees of the Company for the financial year:

S.No. Directors Ratio
Independent Directors:
1. Shri K.Thanu Pillai 0.99
2. Shri Syed Anis Hussain 1.77
3. Shri S.N.Rao 0.71
4. Smt Y.Prameela Rani 0.90
5. Shri M.S.Rama Mohan Rao 0.62
Whole Time Directors:
6. Shri A.Naresh Kumar 38.75
7. Shri A.S.Rao 31.49
8. Dr. Shailendra Dasari* 18.00

* Remuneration is from the date of appointment of the Director and accordingly is forpart of the year. This ratio is therefore not comparable and is based on partremuneration.

d) The percentage increase in remuneration of each Director Chief Financial OfficerChief Executive Officer Company Secretary or Manager if any in the financial year:

S.No. Directors % increase
Independent Directors:
1. Shri K.Thanu Pillai 1.79
2. Shri Syed Anis Hussain 12.09
3. Shri S.N.Rao -7.87
4. Smt Y.Prameela Rani 100.00
5. Shri M.S.Rama Mohan Rao 500.00
Whole Time Directors:
6. Shri A.Naresh Kumar 18.04
7. Shri A.S. Rao 46.63
8. Dr. Shailendra Dasari* NA
Key Managerial Personnel:
9. Shri K.V.Krishna Rao 0.41

* Remuneration is from the date of appointment of the Director and accordingly is forpart of the year. Percentage computation therefore not given as the same is not comparableand ratio is based on part remuneration.

e) The percentage increase in the median remuneration of employees in the financialyear:13.8%

f) The number of permanent employees on the rolls of Company:1651

g) The explanation on the relationship between average increase in remuneration andCompany performance:

The weighted average increase in remuneration of employees across including new joinersis 13.9%. The individual increments varied from 6% to 16% based on the performance of eachemployee.

h) Comparison of the remuneration of the Key Managerial Personnel against theperformance of the Company:

S.No. Description Rs. Comparative %
1. Aggregate remuneration of Key Managerial Personnel during financial year 2015-16 3006821
2. Revenue 12322446236
3. Loss before tax 598060008
4. Remuneration of Key Managerial Personnel as % of Revenue 0.02
5. Remuneration of Key Managerial Personnel as % of profit before tax negative

i) Variations in the market capitalisation of the Company price earnings ratio as atthe closing date of the current financial year and previous financial year and percentageincrease over decrease in the market quotations of the shares of the Company in comparisonto the rate at which the Company came out with the last public offer:

S.No. Particulars 31.03.2016 31.03.2015 % change
1. Market capitalisation 2453380000 1781500000 37.71
2. Price Earnings Ratio -7.14 6.90 -203.48
S.No. Particulars 31.03.2016 IPO price April 1994 % change
1. Market price-BSE 48.20 10.00 482.00
2. Market price-NSE 49.95 10.00 499.50

j) Average percentile increase already made in the salaries of employees other than themanagerial personnel in the last financial year and its comparison with the percentileincrease in the managerial remuneration and justification thereof and point out if thereare any exceptional circumstances for increase in the managerial remuneration:

The average increase in salaries of employees across including new joiners is 13.9%.Thepercentile increase in the remuneration of managerial personnel is within the normal rangeof increase of other employees.

k) Comparison of the each remuneration of the Key Managerial Personnel against theperformance of the Company:

The comparison is as provided in clause-h herein above.

l) The key parameters for any variable component of remuneration availed by theDirectors:

There is no variable component of remuneration to Independent Directors.

m) The ratio of the remuneration of the highest paid Director to that of the employeeswho are not directors but receive remuneration in excess of the highest paid directorduring the year:

None of the employees receiving remuneration higher than that of remuneration highestpaid to the Director.

n) Affirmation that the remuneration is as per the remuneration policy of the Company:

The Board affirms that the remuneration paid is in accordance with Remuneration Policyof the Company.

for and on behalf of the Board
Place: Hyderabad (K.Thanu Pillai)
Date: 12.08.2016 Chairman
(DIN:00115814)

ANNEXURE-III TO DIRECTORS' REPORT

FORM NO. AOC-2

(Pursuant to clause (h) of sub-section (3) of section 134 of the Companies Act 2013 andRule 8(2) of the

Companies (Accounts) Rules 2014)

Form for disclosure of particulars of contracts/arrangements entered into by theCompany with related parties referred to in sub-section (1) of section 188 of theCompanies Act 2013 including certain arms length transactions under third proviso thereto

1 Details of contracts or arrangements or transactions lot at arm's length basis
(a) Name(s) of the related party and nature of relationship
(b) Nature of contracts/arrangements/transactions
(c) Duration of the contracts / arrangements / transactions During the financial year 2015-16 Sathavahana Ispat Limited has not entered into any contracts or arrangements or transactions that are not at arm's length basis
(d) Salient terms of the contracts or arrangements or transactions including the value if any
(e) Justification for entering into such contracts or arrangements or transactions
(f) date(s) of approval by the Board
(g) Amount paid as advances if any:
(h) Date on which the special resolution was passed in general meeting as required under first proviso to section 188
2. Details of material contracts or arrangement or transactions at arm's length basis
(a) Name(s) of the related party and nature of relationship The details are provided in the Report on Corporate Governance and accompanying Financial Statements. Transactions contracts or arrangements entered into by the Company are in the ordinary course of business on an annual renewal basis and at arm's length price. These transactions were duly approved by the Audit Committee and the Board on 30th May 2015.
(b) Nature of contracts/arrangements/ transactions
(c) Duration of the contracts / arrangements /transactions
(d) Salient terms of the contracts or arrangements or transactions including the value if any:
(e) Date(s) of approval by the Board if any:
(f) Amount paid as advances if any:

 

for and on behalf of the Board
Place: Hyderabad (K.Thanu Pillai)
Date: 12.08.2016 Chairman
(DIN:00115814)