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Notes to Accounts of Century Plyboards (I) Ltd.

Mar 31, 2016

A) There is no change in number of shares in current year and last year.

b) Terms/Rights attached to the Equity Shares

The company has only one class of equity shares having par value of Rs.1/- per share. Each holder of equity shares is entitled to one vote per share.

The company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of shareholders in the Annual General Meeting, except in case of interim dividend.

In the event of liquidation of the company, the holders of equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts in proportion to their shareholdings.

c) The Company does not have any Holding/ Ultimate Holding Company. As such, no shares are held by them or their Subsidiaries/ Associates

e) There are NIL (Previous year NIL) shares reserved for issue under option and contracts/commitment for the sale of shares/ disinvestment including the terms and amounts.

f) During the period of five years immediately preceding the reporting date:

i. No shares were issued for consideration other than cash

ii. No bonus shares were issued

iii. No shares were bought back

g) There are NIL (Previous year NIL) securities convertible into Equity/ Preference Shares.

h) There are NIL (Previous year NIL) calls unpaid including calls unpaid by Directors and Officers as on the balance sheet date.

i) No shares were forfeited during the year or during the previous year.138000 equity shares of Rs.10/-each(post split 1380000 equity shares of Rs.1 each) on which Rs.3.54 lac had been paid up, were forfeited in the year 2001-2002

Notes:-

(a) Term Loan of Rs.3934.50 lac (Rs.6184.50 lac) from a bank carries interest @ base rate plus 0.50 % p.a., presently @ 9.80% (10.50%) p.a. The loan is repayable in 7 equal quarterly installments of Rs.562.50 Lac each by 31st December, 2017 and is secured by first charge over All fixed assets of plywood units at Mirza, Assam ; Bishnupur, West Bengal;Taraori, Haryana; and Chinnappolapuram, Gummidipoondi, Tamilnadu ; and by way of a second charge on entire current assets (both present and future) of the Plywood Divisions of the company. The above loan is further secured by personal guarantees of three directors of the company.

(b) Foreign currency term loan of Rs.1591.92 lac (Rs.3004.32 lac) carries interest @ 4.07% (4.07%) p.a. The loan is repayable in one installment by 21st August,2016 and is secured/to be secured by hypothecation/ equitable mortgage of all the moveable and immovable fixed assets pertaining to the Container Freight Stations of the Company. Further, three promoters have pledged in aggregate 110 lac shares of the Company as security against the loan.

(c) Foreign currency term loan of Rs.2188.89 lac (Rs.2581.84 lac) carries interest @6 months LIBOR 2.00%(3.50%) p.a. The loan is repayable in 16 equal quarterly installments by 31st March, 2020 and is secured /to be secured by first charge on all the fixed assets pertaining to the Plywood Unit at Bachau,Gujarat and second charge on all the current assets of the Plywood Divisions of the company on pari passu basis with other term lenders.

(d) Foreign currency term loan of Rs.2321.55 lac (Rs. NIL) carries interest @ 6 months LIBOR 2.00% p.a. The loan is repayable in 25 equal quarterly installments commencing from 31st March,2017 and ending on 31st March,2023 and is secured/to be secured by first charge on all the fixed assets pertaining to the Particle Board Unit at village Chinnaobulapuram, Gummidipoondi, Tamil Nadu and by second charge on all the current assets of the Plywood Divisions of the company on pari passu basis with other term lenders.

(e) Finance lease obligations are secured by hypothecation of the assets purchased there against and carrying interest between 9.64% to 11.25% p.a (9.64% to 11.25% p.a).

Notes:-

a) Cash Credit, Short Term Loan and Buyer''s Credit from banks amounting to Rs.34096.50 lac (Rs.37439.94 lac) are secured / to be secured by way of first charge on current assets (both present and future) of the company and by way of second charge on the fixed assets of the plywood units at Mirza,Assam; Bishnupur,West Bengal; Taraori,Haryana; Chinnapploapuram, Gummidipoondi,Tamilnadu and Bacchau,Gujarat. The cash credits, short term loan and buyer''s credits are also secured by personal guarantees of three directors of the Company.

b) The cash credit is repayable on demand and carries interest @ 9.85% to 10.95% (11% to 11.50%) p.a.

c) The Short Term Loan is repayable within April''15 and carries interest @ 9.60%

d) Buyers credit carries interest @ Libor plus 0.34% (0.34%) to 1.20% (1.25%) and is repayable in 90-180 days.

1. Capital & Other Commitments

a) Estimated amount of contracts remaining to be executed on Capital Account (net of advances) and not provided for Rs.14890.85 lac (Rs.7023.38 lac)

b) For commitment relating to lease arrangements, please refer note no 29.

c) Letters of credit issued by the banks for purchase of raw materials Rs.4141.64 lac (Rs.3876.08 lac)

d) Export Commitment - Rs.1168.55 lac (Rs.1717.68 lac)

2. The Company''s segment information as at and for the Year ended 31st March, 2016 are as below: (contd.)

Notes:

(a) Business Segments: The business segments have been identified on the basis of the products of the Company. Accordingly, the Company has identified following business segments:

Plywood - Plywood, Block-Board, Veneer & Timber Laminate - Decorative Laminates & Pre-laminated Boards CFS Services - Container Freight Stations services

Others - Mainly Trading of Chemicals, Minerals, Readymade Furniture and Equipments

(b) Geographical Segments: The Company primarily operates in India and therefore the analysis of geographical segments is demarcated into India and overseas operations.

(c) Company''s fixed assets are located in India and no fixed assets is located outside India, hence separate figures for fixed assets/ additions to fixed assets have not been furnished.

3. The Company has paid anti dumping duty amounting to Rs.176.77 lac (Rs.176.77 lac) on import of phenol which in opinion of the management and based on a legal opinion, is in excess of actual margin of dumping of said materials and accordingly refundable in terms of Section 9AA of Custom Tariff Act, 1975 and hence the same is considered as receivable and included under the head Short Term Loans & Advances.

4. The Company enjoys tax holiday benefit in respect of its certain units under section 80IA and 80IE of the Income Tax Act, 1961 (Act) and accordingly at present is paying Minimum Alternative Tax (MAT) under Section 115JB of the Act. Utilisation of such MAT credit would commence immediately upon completion of the Tax holiday period and the management is certain that there will be sufficient taxable profit to utilise the MAT credit recognised in the books of accounts.

5. Previous year''s figures including those given in brackets have been re-grouped and re-arranged wherever necessary.


Mar 31, 2015



1. corporate information

Century Plyboards (India) Ltd. (the Company) is a public Company domiciled in India and incorporated under the provisions of the Companies Act, 1956. Its shares are listed on National Stock Exchange of India Ltd. and BSE Ltd. The Company is primarily engaged in manufacturing and sale of Plywood, Laminates, Decorative Veneers, Pre-laminated boards and Flush Doors and providing Container Freight Station services. The Company presently has manufacturing facilities at Kolkata, Karnal, Guwahati, Bacchau and near Chennai. Container Freight station is located at Kolkata.

2. CAPITAL & OTHER COMMITMENTS

a) Estimated amount of contracts remaining to be executed on Capital Account (net of advances) and not provided for Rs. 7023.38 Lacs (Rs. 298.77 Lacs)

b) For commitment relating to lease arrangements, please refer note 28.

c) Letters of credit issued by the banks for purchase of raw materials H3876.08 Lacs (H5634.78 Lacs).

3. CONTINGENT LIABILITIES

As at As at 31st March, 31st March, 2015 2014 Rs. in Lacs Rs. in Lacs

Contingent Liabilities not provided for in respect of :-

(a) Demands / Claims by various Government Authorities and others not acknowledged as debt:

(i) Excise Duty/Service Tax 861.70 816.88

(ii) Sales Tax / VAT 764.71 582.81

(iii) Income Tax 109.65 1203.83

Total 1736.06 2603.52

(b) Guarantees in favour of a bank against facilities granted to

* a Subsidiary Company - 1000.00

* Others (outstanding amount at the year end) 421.69 239.76

(c) Un-redeemed bank guarantees 819.54 1317.74

(d) Bills discounted with banks 40.07 62.02

(e) Custom Duty on import under EPCG Scheme against which Export obligation 316.16 128.42 is to be fulfilled

Note; Based on discussion with the solicitors/favourable decisions in similar cases/legal opinion taken by the company, the management believes that the outflow of resources is not probable and hence, no provision there against is considered necessary.

4. A CSR committee has been formed by the company as per provisions of Section 135 of the Companies Act, 2013. The areas for CSR activities are promoting education, healthcare, animal welfare and projects ensuring environment sustainability .

5. The Company has charged depreciation based on the revised remaining useful life of the assets as per the requirement of Schedule II of the Companies Act, 2013 effective from April 1, 2014. Due to above, depreciation charge for the year ended 31st March,2015 is higher by Rs.819.35 lacs. Further, based on transitional provision provided in note 7(b) of Schedule II, an amount of Rs.152.02 lacs (net of Deferred Tax) has been adjusted with retained earnings.

6. RELATED PARTY DISCLOSURES

a) Name of the related parties and related party relationship;

Related parties where control exists

Subsidiary Companies Auro Sundram Ply and Door Pvt. Ltd.

Ara Suppliers Pvt. Ltd. (w.e.f. 28-07-2014)

Arham Sales Pvt. Ltd. (w.e.f. 28-07-2014)

Adonis Vyaper Pvt. Ltd. (w.e.f. 28-07-2014)

Apnapan Viniyog Pvt. Ltd. (w.e.f. 28-07-2014)

Aegis Business Ltd. (Up to 22-08-2014)

Aegis Overseas Ltd. (Up to 22-08-2014)

Centuryply Myanmar Pvt. Ltd.

Century MDF Ltd.

Century Ply (Singapore) Pte Ltd. (w.e.f 02-12-2014)

Related parties with whom transactions have taken place during the year

Associates Century Infotech Ltd.

Ara Suppliers Pvt. Ltd. (Up to 27-07-2014)

Arham Sales Pvt. Ltd. (Up to 27-07-2014)

Adonis Vyaper Pvt. Ltd. (Up to 27-07-2014)

Apnapan Viniyog Pvt. Ltd. (Up to 27-07-2014)

Aegis Siam Resources Co.Ltd. (Up to 22-08-2014)

Aegis Siam Ltd. (Up to 22-08-2014

Related parties with whom transactions have taken place during the year

Key Management Personnel Sri Sajjan Bhajanka (Chairman & Managing Director)

Sri Sanjay Agarwal (Managing Director)

Sri Prem Kumar Bhajanka (Managing Director)

Sri Vishnu Khemani (Managing Director)

Sri Hari Prasad Agarwal (Vice Chairman)

Sri Ajay Baldawa (Executive Director)

Sri Arun Kumar Julasaria (Chief Financial Officer)

Sri Sundeep Jhunjhunwala (Company Secretary)

Enterprises Owned/ Influenced Brijdham Merchants Pvt. Ltd. by Key Management Personnel Cement Manufacturing Company Ltd. or their relatives. Sri Ram Merchants Pvt. Ltd.

Sri Ram Vanijya Pvt. Ltd.

Sumangal Business Pvt. Ltd.

Sumangal International Pvt. Ltd.

Star Cement Meghalaya Ltd.

Meghalaya Power Ltd.

Auroville Investements Pvt. Ltd.

Aegis Business Ltd. (w.e.f. 07-01-2015)

Relatives of Key Management Smt. Santosh Bhajanka (Wife of Personnel Sri Sajjan Bhajanka)

Smt. Divya Agarwal (Wife of Sri Sanjay Agarwal)

Smt. Sumitra Devi Agarwal (Wife of Sri Hari Prasad Agarwal)

Smt. Yash Bhajanka (Wife of Sri Prem Kumar Bhajanka)

Smt. Sudha Khemani (Wife of Sri Vishnu Khemani)

Smt.Shraddha Agarwal (Daughter of Sri Sajjan Bhajanka)

Smt. Payal Agrawal (Daughter of Sri Sajjan Bhajanka)

Smt. Sonu Kajaria (Daughter of Sri Sajjan Bhajanka)

Smt. Bhawna Agarwal (Daughter-in-law of Sri Hari Prasad Agarwal)

Sri Rajesh Kumar Agarwal (Son of Sri Hari Prasad Agarwal)

Smt. Nancy Chowdhury (Daughter of Sri Prem Kumar Bhajanka)

Sri Keshav Bhajanka (Son of Sri Sajjan Bhajanka)

Sri Abhishek Rathi (Son in Law of Sri Ajay Baldawa)

Sri Surender Kumar Gupta (Brother of Sri Prem Kumar Bhajanka)

Smt. Nikita Bansal (Daughter of Sri Sanjay Agarwal)

7. The Company's segment information as at and for the Year ended 31st March, 2015 are as below:

Notes:

(a) Business Segments; The business segments have been identified on the basis of the products of the Company, Accordingly, the Company has identified following business segments;

Plywood - Plywood, Block-Board, Veneer & Timber

Laminate - Decorative Laminates & Pre-laminated Boards

CFS Services - Container Freight Stations services

Others - Mainly Trading of Chemicals, Minerals, Readymade Furniture and Equipments

(b) Geographical Segments; The Company primarily operates in India and therefore the analysis of geographical segments is demarcated into India and overseas operations,

(c) Company's fixed assets are located in India and no fixed assets is located outside India, hence separate figures for fixed assets/ additions to fixed assets have not been furnished,

8. The Company has paid anti dumping duty amounting to Rs.176.77 (Rs. 176,77) lacs on import of phenol which in opinion of the management and based on a legal opinion, is in excess of actual margin of dumping of said materials and accordingly refundable in terms of Section 9AA of Custom Tariff Act, 1975 and hence the same is considered as receivable and included under the head Short Term Loans & Advances,

9. The Company enjoys tax holiday benefit in respect of its certain units under section 80IA and 80IE of the Income Tax Act, 1961 (Act) and accordingly at present is paying Minimum Alternative Tax (MAT) under Section 115JB of the Act. Utilisation of such MAT credit would commence immediately upon completion of the Tax holiday period and the management is certain that there will be sufficient taxable profit to utilise the MAT credit recognised in the books of accounts.

10. Previous year's figures including those given in brackets have been re-grouped and re-arranged wherever necessary.


Mar 31, 2014

1.0 CORPORATE INFORMATION

Century Plyboards (India) Ltd. (the Company) is a public Company domiciled in India and incorporated under the provisions of the Companies Act, 1956. Its shares are listed on National Stock Exchange of India Ltd. and BSE Ltd. The Company is primarily engaged in manufacturing and sale of Plywood, Laminates, Decorative Veneers, Pre-laminated boards and Flush Doors and providing Container Freight Station services. The Company presently has manufacturing facilities at Kolkata, Karnal, Guwahati, Bacchau and near Chennai. Container Freight station is located at Kolkata.

1.1 Basis of Preparation

The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in India (Indian GAAP). The Company has prepared these financial statements to comply in all material respects with the Accounting Standards notified by the Companies (Accounting Standards) Rules, 2006 (as amended) and the relevant provisions of the Companies Act, 1956 read with General Circular No 8/2014 dated 4th April, 2014, issued by Ministry of Corporate Affairs. The financial statements have been prepared under the historical cost convention on an accrual basis. The accounting policies applied by the Company are consistent with those used in the previous year.

2. CAPITAL & OTHER COMMITMENTS

a) Estimated amount of contracts remaining to be executed on Capital Account (net of advances) and not provided for Rs.298.77 Lacs (Rs.491.53 Lacs)

b) For commitment relating to lease arrangements, please refer Note 30.

3. CONTINGENT LIABILITIES As at As at 31st March, 2014 31st March, 2013 Rs. in Lacs in Lacs

Contingent Liabilities not provided for in respect of :-

(a) Demands / Claims by various Government Authorities and others not acknowledged as debt:

(i) Excise Duty/Service Tax 816.88 817.44

(ii) Sales Tax / VAT 582.81 528.64

(iii) Income Tax 1203.83 216.03

Total 2603.52 1562.11

(b) Guarantees in favour of a bank against facilities granted to

- a Subsidiary Company 1000.00 1000.00

- Others 239.76 93.07

(c) Un-redeemed bank guarantees 1317.74 814.76

(d) Bills discounted with banks 62.02 -

(e) Letters of credit issued by the banks 5634.78 5919.05

(f) Custom Duty on import under EPCG Scheme against which

Export obligation is to be fulfilled 128.42 106.97

Note: Based on discussion with the solicitors/favourable decisions in similar cases/legal opinion taken by the Company the management believes that the outflow of resources in not probable and hence, no provision there against is considered necessary.

4. (a) operating Lease:

Certain office premises, depots etc. are obtained on operating lease. The lease terms are for 1-3 years and are renewable for further period either mutually or at the option of the Company. There is no escalation clause in the lease agreement. There are no restrictions imposed by lease arrangements. There are no subleases. The leases are cancellable.

5. The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of service is entitled to Gratuity as per provisions of The Payment of Gratuity Act, 1972. The scheme is funded with an insurance company.

The following tables summarize the components of net benefit expenses recognised in the Statement of Profit & Loss and the funded status and amounts recognised in the balance sheet for the Gratuity.

(i) Amount incurred as expense for defined contribution to Provident Fund is Rs.491.59 Lacs (Rs.393.06 lacs).

(ii) The estimates of future salary increases considered in actuarial valuation, take account of inflation, seniority, promotion and other relevant factors, such as supply and demand in the employment market.

(iii) The Company expects to contribute Rs.100 lacs (Rs.100 Lacs) to Gratuity fund in 2014-15.

5. Derivative Instruments And unhedged Foreign Currency Exposure.

a) Derivative instrument not for trading or speculation but as hedge of underlying transaction, outstanding as on the balance sheet date, are as follows:-

Interest Rate Swap

Notional amount USD 72 Lacs (USD 96 Lacs). [Rs.4,327.20 Lacs (Rs.5,221.44 Lacs)]

Hedge against exposure to variable interest outflow on loans. Swap to pay fixed interest @ 1.62% p.a. (in USD) and receive a variable interest @ 3 month LIBOR on the notional amount

6. Charity and Donations includes Rs.14.00 Lacs (T7.00 lacs) paid to the Bhartiya Janata Party.

7. Related Party Disclosures

a) Name of the related parties and related party relationship: Related parties where control exists

Subsidiary Companies

Auro Sundram Ply & Door Pvt. Ltd. Aegis Business Ltd. Aegis Overseas Ltd. Centuryply Myanmar Pvt. Ltd. Century MDF Ltd.

Related parties with whom transactions have taken place during the year

Associates Century Infotech Ltd. (with effect from 14th March, 2014)

Key Management Personnel

Sri Sajjan Bhajanka (Chairman) Sri Sanjay Agarwal (Managing Director) Sri Prem Kumar Bhajanka (Managing Director) Sri Vishnu Khemani (Managing Director) Sri Hari Prasad Agarwal (Vice Chairman) Sri Ajay Baldawa (Executive Director) Sri Arun Kumar Julasaria (Chief Financial Officer)

Enterprises Owned/ Influenced by Key Management Personnel or their relatives.

Brijdham Merchants Pvt. Ltd. Cement Manufacturing Company Ltd. Sri Ram Merchants Pvt. Ltd. Sri Ram Vanijya Pvt. Ltd. Sumangal Business Pvt. Ltd. Sumangal International Pvt. Ltd. Star Cement Meghalaya Ltd. Meghalaya Power Ltd. Auroville Investements Pvt. Ltd.

Relatives of Key Management Personnel

Smt. Santosh Bhajanka (Wife of Sri Sajjan Bhajanka) Smt. Divya Agarwal (Wife of Sri Sanjay Agarwal) Smt. Sumitra Devi Agarwal (Wife of Sri Hari Prasad Agarwal) Smt. Yash Bhajanka (Wife of Sri Prem Kumar Bhajanka) Smt. Sudha Khemani (Wife of Sri Vishnu Khemani) Smt. Shraddha Agarwal (Daughter of Sri Sajjan Bhajanka) Smt. Payal Agrawal (Daughter of Sri Sajjan Bhajanka) Smt. Sonu Kajaria (Daughter of Sri Sajjan Bhajanka) Sri Rajesh Kumar Agarwal (Son of Sri Hari Prasad Agarwal) Smt. Bhawna Agarwal (Daughter-in-law of Sri Hari Prasad Agarwal) Smt. Nancy Chowdhury (Daughter of Sri Prem Kumar Bhajanka) Sri Keshav Bhajanka (Son of Sri Sajjan Bhajanka) Smt. Nikita Bansal (Daughter of Sri Sanjay Agarwal)

(c) The Company purchases goods from Auro Sundram Ply & Door Pvt. Ltd., a subsidiary company on certain special terms and conditions which include commitment of supply of its entire production to the Company timely availability and delivery as required by the Company commitment of consistent quality as per the Company norms and free of cost delivery of goods, besides other terms and conditions

8. The Company has paid anti dumping duty amounting to Rs.176.66 lacs on import of phenol which in opinion of the management and based on a legal opinion, is in excess of actual margin of dumping of said materials and accordingly refundable in terms of Section 9AA of Custom Tariff Act, 1975 and hence the same is considered as receivable and included under the head Loans & Advances.

9. The Company enjoys tax holiday benefit in respect of its certain units under section 80IA and 80IE of the Income Tax Act, 1961 (Act) and accordingly at present is paying Minimum Alternative Tax (MAT) under Section 115JB of the Act. Utilisation of such MAT credit would commence immediately upon completion of the Tax holiday period and the management is certain that there will be sufficient taxable profit to utilise the MAT credit recognised in the books of accounts.

10. Previous year''s figures including those given in brackets have been re-grouped and re-arranged wherever necessary.


Mar 31, 2013

1. CORPORATE INFORMATION

Century Plyboards (India) Ltd. (the Company) is a public Company domiciled in India and incorporated under the provisions of the Companies Act, 1956. Its shares are listed on National Stock Exchange and Bombay Stock Exchange in India. The Company is primarily engaged in manufacturing and sale of Plywood, Laminates, Decorative Veneers, Pre- laminated boards and Flush Doors. The Company presently has manufacturing facilities at Kolkata, Karnal, Guwahati, Bacchau and Chennai.

1.1 Basis of Preparation

The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in India (Indian GAAP). The Company has prepared these financial statements to comply in all material respects with the Accounting Standards notified by the Companies (Accounting Standards) Rules, 2006 (as amended) and the relevant provisions of the Companies Act, 1956. The financial statements have been prepared under the historical cost convention on an accrual basis. The accounting policies applied by the Company are consistent with those used in the previous year.

2. Capital & Other Commitments

a) Estimated amount of contracts remaining to be executed on Capital Account (net of advances) and not provided for f 491.53 Lacs (f 1,395.35 Lacs)

b) For commitment relating to lease arrangements, please Refer Note No. - 33.

3. There is a diminution of f 360.60 Lacs (f 185.70 Lacs) in the value of a quoted investment based on the last quoted price. The above investment being long term and strategic in nature, the said diminution, in the opinion ofthe management, istemporary in nature and hence no provision is considered necessary.

4. Excise Duty debited to Statement of Profit & Loss is Net of Subsidy f 679.52 Lacs (f 687.93 Lacs).

5. (a) Operating Lease :

Certain office premises, depots etc are obtained on operating lease. The lease terms are for 1-3 years and are renewable for further period either mutually or at the option of the Company. There is no escalation clause in the lease agreements. There are no restrictions imposed by lease arrangements. There are no sub-leases. The leases are cancellable.

6. The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of service is entitled to Gratuity on terms not less favorable than the provisions of The Payment of Gratuity Act, 1972. The scheme is funded with an insurance company.

7. Scheme ofArrangement:

a) Pursuant to the Scheme of Arrangement ("The Scheme") approved by the Hon''ble High Court of Kolkata vide its order dated 17th May, 2013, all the assets and liabilities of the Ferro Alloys and Cement division (i.e., business and interests ofthe Company in manufacture of ferro alloys and cement, including captive power plants attached thereto) have been transferred to and vested in Star Ferro and Cement Limited (Resulting Company) at their respective book values on a going concern basis with effect from 1st April, 2012 being the appointed date. Accordingly, the Scheme ofArrangement has been given effect to in these accounts.

8. The Company has paid anti dumping duty amounting to Rs. 204.16 Lacs (including Rs. 47.43 Lacs during the year) on import of phenol which in opinion of the management and based on a legal opinion, is in excess of actual margin of dumping of said materials and accordingly refundable in terms of Section 9AA of Custom Tariff Act, 1975 and hence the same is considered as receivable and included under the head Loans & Advances.

9. In view of the new plywood unit being installed at Gandhidham, Gujarat and expansion of the existing Laminate unit, the management is certain that there will be sufficient taxable profit during the specified period to adjust the MAT credit recognised in the books of accounts.

10. Previous year''s figures including those given in brackets have been regrouped and rearranged wherever necessary. Further, previous year figures being inclusive of the figures of ferro alloys and cement divisions of the Company which have been demerged w.e.f. 1st April, 2012 (pursuant to a Scheme of Arrangement, Refer Note No. - 35), are not comparable with the current year''s figures.


Mar 31, 2012

1. BASIS OF PREPARATION

The financial statements have been prepared to comply in all material respects with the Accounting Standards notified by the Companies (Accounting Standards) Rules, 2006 (as amended) and the relevant provisions of the Companies Act, 1956. The financial statements have been prepared under the historical cost convention on an accrual basis except in respect of insurance and other claims, which on the grounds of prudence or uncertainty in realization, are accounted for as and when accepted/received. The accounting policies applied by the Company are consistent with those used in the previous year, except for the change in accounting policy explained in l.l(i) below.

2. Capital & Other Commitments

a) Estimated amount of contracts remaining to be executed on Capital Account (net of advances) and not provided forRs. 1,395.35 Lacs (Rs. 271.89 Lacs).

b) For commitment relating to lease arrangements, please refer note no. 31.

3. Contingent Liabilities (Rs. in Lacs)

As at As at 31st March,2012 31st March, 2011

Contingent Liabilities not provided for in respect of:-

(a) Demands/Claims by various Government Authorities and others not acknowledged as debt:

(i) Excise Duty/Service Tax 392.54 537.40

(ii) Sales Tax/VAT 327.14 316.20

(iii) Income Tax 313.38 285.52

(iv) Others - 34.32

Total 1,033.06 1,173.44

(b) Guarantees in favour of a bank against facilities 641.00 641.00 granted to a Subsidiary Company

(c) Un-redeemed bank guarantees 557.29 507.11

(d) Bills discounted with banks 9.29 751.31

(e) Letters of credit issued by the banks 3,102.55 2,086.46

(f) Custom Duty on import under EPCG Scheme against which Export obligation is to be fulfilled 68.12 24.39

Note:

Based on discussion with the solicitors/favourable decisions in similar cases/legal opinion taken by the Company, the management believes that the Company has a good chance of success in above mentioned cases and hence, no provision there against is considered necessary.

4. There is a diminution of Rs. 185.70 lacs (Rs. 66.30 Lacs) in the value of a quoted investment based on the last quoted price. The above investment being long term and strategic in nature, the said diminution, in the opinion of the management, is temporary in nature and hence no provision is considered necessary.

5. Excise Duty debited to Statement of Profit & Loss is Net of Subsidy Rs. 687.93 Lacs (Rs. 436.67 Lacs).

6. (a) Operating Lease :

Certain office premises, depots etc are obtained on operating lease. The lease terms are for 1-3 years and are renewable for further period either mutually or at the option of the Company. There is no escalation clause in the lease agreement. There are no restrictions imposed by lease arrangements. There are no sub-leases. The leases are cancellable.

7. The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of service is entitled to Gratuity on terms not less favorable than the provisions of The Payment of Gratuity Act, 1972. The scheme is funded with an insurance Company.

8. Charity and Donations includes Rs. 4.00 Lacs (Rs. 10.00 Lacs) paid to the Bhartiya Janata Party and Rs NIL (Rs. 5.00 Lacs) paid to West Bengal Pradesh Congress Committee for political purposes.

9. Related Party Disclosures

a) Name of the related parties: Subsidiary Companies

Cement Manufacturing Company Ltd.

AuroSundram Ply & Door Pvt. Ltd.

Megha Technical & Engineers Pvt. Ltd.

Meghalaya Power Ltd.

Star Cement Meghalaya Ltd.

NE Hills Hydro Ltd. (with effect from 3rd February, 2011)

Star Ferro & Cement Ltd. (with effect from 10th March, 2011)

Aegis Business Ltd.

Aegis Overseas Ltd.

Associates

Adonis Vyaper Pvt. Ltd. (with effect from 31st March, 2012) Apnapan Viniyog Pvt. Ltd. (with effect from 31st March, 2012) Ara Suppliers Pvt. Ltd. (with effect from 31st March, 2012) Arham Sales Pvt. Ltd. (with effect from 31st March, 2012)

Key Management Personnel

Sri Satya Brata Ganguly (Chairman) (Resigned on 12th March, 2012)

Sri Sajjan Bhajanka (Chairman)

Sri SanjayAgarwal (Managing Director)

Sri Prem Kumar Bhajanka (Managing Director)

Sri Vishnu Khemani (Managing Director)

Sri Hari Prasad Agarwal (Vice Chairman)

Sri AjayBaldawa (Executive Director)

Sri Brij Bhushan Agarwal (Director) (Resigned on 10th May, 2011)

Sri Arun Kumar Julasaria (Chief Financial Officer cum Company

Secretary)

Enterprises Owned/Influenced by Key Management Personnel or their relatives

Adonis Vyaper Pvt. Ltd. (upto 30th March, 2012)

Apnapan Viniyog Pvt. Ltd. (upto 30th March, 2012)

Ara Suppliers Pvt. Ltd. (upto 30th March, 2012)

Arham Sales Pvt. Ltd. (upto 30th March, 2012)

Brijdham Merchants Pvt. Ltd.

Pacific Plywoods Pvt. Ltd.

Shyam Century Cement Industries Ltd.

Sriram Merchants Pvt. Ltd.

SriramVanijyaPvt.Ltd.

Sumangal Business Pvt. Ltd.

Sumangal International Pvt. Ltd._

Relatives of Key Management Personnel

Smt. Santosh Bhajanka (Wife of Sri Sajjan Bhajanka)

Smt. Divya Agarwal (Wife of Sri Sanjay Agarwal)

Smt. Sumitra Devi Agarwal (Wife of Sri Hari Prasad Agarwal)

Smt. Yash Bhajanka (Wife of Sri Prem Kumar Bhajanka)

Smt. Sudha Khemani (Wife of Sri Vishnu Khemani)

Sri Keshav Bhajanka (Son of Sri Sajjan Bhajanka)

Miss Nikita Agarwal (Daughter of Sri Sanjay Agarwal)

10. Foreign Exchange Loss Rs. 921.78 Lacs (Rs. 11.73 Lacs) (Net) towards creditors/debtors pertaining to specific segments has been included as unallocable income/expenses instead of the relevant segments results as the amount of such exchange gain/loss for different segments is not ascertainable.

11. The Company has paid anti dumping duty amounting to Rs. 156.73 Lacs (including Rs. 81.85 Lacs during the year) on import of phenol which in opinion of the management and based on a legal opinion, is in excess of actual margin of dumping of said materials and accordingly refundable in terms of Section 9AA of Custom Tariff Act, 1975 and hence the same is considered as receivable and included under the head Loans & Advances.

12. Previous year's figures including those given in brackets have been re-arranged where necessary to conform to the current year's classifications under Revised Schedule VI as stated in note l.l(i) above.


Mar 31, 2011

(Rs. in Lacs)

As at As at 31.03.2011 31.03.2010

1. Estimated amount of contracts remaining to be executed on Capital Account (net of advances) and not provided for 271.89 893.23

2. Contingent Liabilities not provided for in respect of :-

a) Demands /Claims by various Government Authorities and others not acknowledged as debts:

i) Excise Duty/Service Tax 537.40 153.06

ii) Sales Tax/VAT 316.20 364.05

iii) Income Tax 285.52 175.19

iv) Others 34.32 -

Total 1,173.44 692.30

b) Un-redeemed bank guarantees 507.11 122.21

c) Bills discounted with banks 751.31 809.64

d) Letters of credit issued by the banks 2,086.46 947.91

e) Custom Duty on import under EPCG Scheme against which Export obligation is to be fulfilled 24.39 61.35

3. There is a diminution of Rs. 66.30 lacs (Rs. Nil) in the value of a quoted investment based on the last quoted price. The above investment being long term and strategic in nature, the said diminution, in the opinion of the management, is temporary in nature and hence no provision is considered necessary

4. Excise Duty on sales has been reduced from sales in Profit & Loss Account and excise duty on increase/decrease in stocks has been considered as income/Expenses in Profit & Loss Account.

5. In terms of Section 115-O of the Income Tax Act,1961, dividend on Equity shares is not subject to tax on dividend to the extent of dividend received from a subsidiary company during the year.

8. Sales Tax /VAT and Excise duty debited to Profit and loss account are Net of Subsidy Rs 152.02 lacs (Rs.104.50 lacs) and Rs. 436.67 lacs (Rs.108.52) respectively.

10. (a) Operating Lease

Certain office premises, depots, etc. are obtained on operating lease. The lease terms are for 1-3 years and are renewable for further period either mutually or at the option of the Company. There is no escalation clause in the lease agreement. There are no restrictions imposed by lease arrangements. There are no subleases. The leases are cancellable.

11. The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of service is entitled to Gratuity on terms not less favorable than the provisions of The Payment of Gratuity Act, 1972. The scheme is funded with an insurance company.

viii) Amount incurred as expense for defined contribution to Provident Fund is Rs. 243.13 lacs (Rs. 214.21 lacs).

ix) The estimates of future salary increases considered in actuarial valuation, take account of inflation, seniority, promotion and other relevant factors, such as supply and demand in the employment market..

x) The Company expects to contribute Rs. 125 lacs (Rs. 85 lacs) to Gratuity fund in 2011-2012.

15. Charity and Donations includes Rs. 10.00 lacs (Rs. 5.00 lacs) paid to the Bhartiya Janata Party and Rs. 5.00 lacs (Rs. Nil) paid to West Bengal Pradesh Congress Committee for political purposes.

16. Related Party Disclosures

a) Name of the related parties:

Subsidiary Companies

Cement Manufacturing Company Ltd.

Auro Sundram Ply & Door Pvt. Ltd.

Megha Technical & Engineers Pvt. Ltd.

Meghalaya Power Ltd.

Star Cement Meghalaya Ltd.

Star Ferro & Cement Ltd. (with effect from 10th March, 2011)

Aegis Business Ltd.

Aegis Overseas Ltd.

NE Hills Hydro Ltd. (with effect from 3rd February, 2011)

Key Management Personnel

Sri Satya Brata Ganguly (Chairman)

Sri Sajjan Bhajanka (Managing Director)

Sri Sanjay Agarwal (Joint Managing Director)

Sri Prem Kumar Bhajanka (Joint Managing Director)

Sri Vishnu Khemani (Joint Managing Director)

Sri Hari Prasad Agarwal (Vice Chairman)

Sri Ajay Baldawa (Executive Director)

Sri Brij Bhushan Agarwal (Director)

Sri Arun Kumar Julasaria (Chief Financial Officer cum Company Secretary)

Enterprises Owned/ Influenced by Key Management Personnel or their relatives.

Adonis Vyaper Pvt. Ltd.

Amul Boards Pvt. Ltd.

Apnapan Viniyog Pvt. Ltd.

Ara Suppliers Pvt. Ltd.

Arham Sales Pvt. Ltd.

Brijdham Merchants Pvt. Ltd.

Namchic Tea Estate Pvt. Ltd.

Pacific Plywoods Pvt. Ltd.

Riangdo Veneers Pvt. Ltd.

Shyam Century Cement Industries Ltd.

Sriram Merchants Pvt. Ltd.

Sriram Vanijya Pvt. Ltd.

Sumangal Business Pvt. Ltd.

Sumangal International Pvt. Ltd.

Relatives of Key Management Personnel

Smt. Santosh Bhajanka (Wife of Sri Sajjan Bhajanka)

Smt. Divya Agarwal (Wife of Sri Sanjay Agarwal)

Smt. Sumitra Devi Agarwal (Wife of Sri Hari Prasad Agarwal)

Smt. Yash Bhajanka (Wife of Sri Prem Kumar Bhajanka)

Smt. Mittu Agarwal (Wife of Sri Brij Bhushan Agarwal)

Smt. Sudha Khemani (Wife of Sri Vishnu Khemani)

18. Foreign Exchange Loss of Rs. 142.05 lacs (Previous Year Gain of Rs. 1,895.79 lacs) (Net) towards creditors/debtors pertaining to specific segments has been included as unallocable income/expenses instead of the relevant segments results as the amount of such exchange gain/loss for different segments is not ascertainable.

19. The Company has paid anti dumping duty amounting to Rs. 74.88 lacs on import of phenol which in opinion of the management is in excess of actual margin of dumping of said materials and accordingly refundable in terms of Section 9AA of Custom Tariff Act, 1975 and hence the same is considered as receivable and included under the head Loans & Advances.

20. Previous year figures including those given in brackets, have been regrouped and / or rearranged, wherever necessary.


Mar 31, 2010

1. a) Pursuant to the Scheme of Amalgamation ("the scheme") as approved by the Honble High Court at Guwahati, by an order dated 17th May, 2010, under section 394 of the Companies Act, 1956, Cent Ply Private Limited ("CPPL"), a wholly owned subsidiary of the Company, has been amalgamated with the Company with effect from 1st April, 2009.

b) The Amalgamating Company (CPPL) is engaged in manufacturing of plywood and allied products at its factory at Mirza, Palasbari, Assam.

c) The amalgamation has been accounted for under the "pooling of interests" method as prescribed by Accounting Standard (AS-14), "Accounting for Amalgamations". Pursuant to the Scheme, all the assets, liabilities and reserves of CPPL as at 1st April, 2009 have been transferred at their book values as given below. Though, the Scheme has become effective after the balance sheet date, it is operative from the appointed date i.e. 1st April, 2009 and accordingly, it has been given effect to in these accounts.

d) The Investments of Rs. 800 lacs in CPPL as appearing in the books of the Company and the paid up capital of Rs. 800 lacs appearing in books of CPPL stands cancelled.

e) The title deeds for freehold/leasehold land, buildings, licenses, agreements, loan documents etc. of the amalgamating company are in the process of being transferred in the name of the company.

2. Excise Duty on sales has been reduced from sales in Profit & Loss Account and excise duty on increase/decrease in stocks has been considered as income/expense in Profit & Loss Account.

3. In terms of Section 115-0 of the Income Tax Act, 1961, interim and final dividend on Equity shares is not subject to tax on dividend to the extent of interim dividend received from a subsidiary company during the year.

4. (a) Operating Lease

Certain office premises, depots, etc. are obtained on operating lease. The lease term are for 1-3 years and renewable for further period either mutually or at the option of the Company. There is no escalation clause in the lease agreement. There are no restrictions imposed by lease arrangements. There are no subleases. The leases are cancellable.

(b) Fixed Assets include certain Vehicles obtained on finance lease. The year-wise break-up and future obligation towards minimum lease payments of Rs. 880.29 lacs (Rs. 695.02 Lacs) consisting of present value of lease payments of Rs. 724.77 lacs (Rs. 551.02 Lacs) and financial charges Rs. 155.52 lacs (Rs. 143.99 Lacs) under 155.52 the respective agreements as on 31st March, 2010, is given below:

5. The Company has a defined benefit gratuity plan. 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 Payment of Gratuity Act, 1972. The scheme is funded with an insurance company.

The following tables summarise the components of net benefit expenses recognised in the Profit & Loss Account and the funded status and amounts recognised in the balance sheet for the Gratuity.

Notes:

a) Business Segments: The business segments have been identified on the basis of the products of the Company. Accordingly, the Company has identified following business segments:

Plywood - Plywood, Block-Board, Veneer & Timber

Laminate - Decorative Laminates & Pre-laminated Boards

Ferro-Alloys - Ferro Silicon

Power - Generation of Power

Logistic - Container Freight Station (CFS) and Jetty

Others - Mainly Trading of Chemicals and Minerals

b) Geographical Segments: The Company primarily operates in India and therefore the analysis of geographical segments is demarcated into India and overseas operations.

c) The company has common fixed assets for producing goods for domestic and overseas market. Hence separate figures for fixed assets/additions to fixed assets have not been furnished .

6. Foreign Exchange gain of Rs. 1895.79 lacs (Previous Year loss of Rs. 2724.86 lacs) (Net) towards creditors/debtors pertaining to specific segments has been included as unallocable income/expenses instead of the relevant segments results as the amount of such exchange gain/loss for different segments is not ascertainable.

7. Figures given in brackets are for the previous year and the same have been regrouped and/or rearranged, wherever necessary. Further, the current year figures being inclusive of the figures of Cent Ply Private Limited amalgamated with the company w.e.f. 1st April, 2009 (Pursuant to a scheme of amalgamation), are not comparable with the previous years figures.


Mar 31, 2000

1. No provision for gratuity has been made in the accounts, which as per actuarial valuation as on 31.03.2000 comes to Rs.35,64,168/- (previous year Rs.27,99,081/-).

2. No provision for diminution in the value of Long-Term investments has been made in the accounts as the fluctuations in the market value of such investments are temporary in nature, in the opinion of the management.

3. Fixed Deposits of the company have been given to Bank as Margin Money.

4. Insurance Claim is accounted for as and when received.

5. Advance Income Tax and T.D.S. receivable are shown as net of provision of Income Tax.

6. Method of valuation of inventory other than finished goods has been changed from at Cost to lower of cost or net realisable value to comply with AS-2 issued by ICAI, however there is no impact on profit for the year due to such change and also on the value of inventory.

7. The Company has invested in Century International, a partnership firm with a total capital of Rs4,44,189 comprising of the following partners each entitled to share the percentage of profit as appearing against their name below :

(a) Sanjay Agarwal - l%,(b) Sajjan Bhajanka - l%,(c) Rajesh Agarwal - l%,(d) Divya Agarwal - 3.5% e) Santosh Bhajanka - 3.5%,(f) Century Plyboards (I) Ltd. - 90%.

8. Contingent Liabilities :

a) Unegotiated Irrecoverable Letter of Credit Rs.3,50,54,870/- (Previous Year Rs.1,77,63,716/-)

b) Estimated amount of Capital contracts remaining to be executed and not provided is Rs. 1056490/-(Previous Year Rs.9,96,210/-) against which Rs.357647/- (Previous Year Rs.4,13,000/-) has been given as Advance.

c) The Company has paid Rs 5,40,738/- as advance under protest to WBSEB against their final surcharge bill, however the matter is yet to be settled.

d) Income - Tax Demand for the assessment Year 1996-97, amounting to Rs 4.82 Lacs under dispute.

9. The company has no Small Scale - industrial undertaking to whom the company owes Rs 100000/- or more for a period exceeding 30 days as on 31.3.2000

10. Depreciation on revaluation of fixed assets has not been provided. The impact of such non provi sion on fixed assets and reserves & surplus at the year end has not been ascertained

11. Managerial remuneration is within limits prescribed in Section 198 & 309 of the Companies Act 1956 read with Schedule XIII Part II Section I.

12. Previous years figures have been regrouped and re-arranged wherever necessary.

13. Figures have been rounded off to nearest rupee.

14. Previous years Figures have been given in brackets.

15. Balance Sheet Abstract and Companys General Business Profile.

 
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