DRIVIN G ROWTH - Dr. Reddy's

notes to the financial statements
note 9
LOAN PAYABLE – RELATED PARTY
Interest is payable semi-annually on the unpaid principal balance at LIBOR, plus .7%. Principal payments shall be made in six (6) equal
annual instalments commencing twenty-four (24) months from the first draw down.
Maturities of long-term debt over the next five (5) years are as follows:
US $
March 31, 2004 506,599
March 31, 2005 506,599
March 31, 2006 506,599
March 31, 2007 506,599
note 10
EMPLOYMENT BENEFIT PLAN
The Company’s employees participate in the Dr. Reddy‘s Laboratories, Inc., 401(k) defined contribution retirement plan. The
Company‘s contribution is discretionary and is determined by its Board of Directors on an annual basis. Company contributions for
the year ended March 31, 2002 were US$ 59,041. The Company did not make a contribution for the year ended March 31, 2001.
note 11
PROFIT SHARING AGREEMENTS
The Company has entered into profit sharing agreements to market certain products. Under the profit sharing agreements, the
Company will share in the net profit or loss, as defined in the agreements.
note 12
CUMULATIVE EFFECT OF A CHANGE IN ACCOUNTING POLICY
Effective April 1, 2000, the Company changed its policy of capitalising deferred costs in connection with obtaining Food and Drug
Administration (FDA) approvals and contractual agreements. As a result of this change, the Company expenses the remaining deferred
costs, net of accumulated amortisation.
DR. REDDY’S LABORATORIES, INC. | FINANCIALS | ANNUAL REPORT 2001-2002
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