File_2012_Document1

180 Jindal Steel & Power LimitedBusiness Leadership Sustainable Operations Excellent Governance Robust FinancialsAnnual Report 2011-12181ConsolidatedNOTES to the consolidated financial statements as at and for the year ended 31st March, 2012 NOTES to the consolidated financial statements as at and for the year ended 31st March, 2012The Details of ESOS-2005 are as under:ESOS-2005Series-I Series-II Series-III1 Grant Price – Rupees 34 38 612 Grant Date 26.11.2005 02.09.2006 27.04.20073 Vesting commences on 26.11.2007 02.09.2008 27.04.20094 Vesting Schedule 50% of grant on 26.11.2007,subsequent 25% of granton 26.11.2008 and balance25% of grant on 26.11.20095 Option granted andoutstanding at the beginningof the year6 Option granted during theyear (due to bonus shares)7 Option lapsed and/orwithdrawn during the period8 Option exercised during theyear against which shareswere allotted9 Option granted andoutstanding at the end of theyear of which- Options vested- Options yet to vest50% of grant on 02.09.2008,subsequent 25% of granton 02.09.2009 and balance25% of grant on 02.09.201050% of grant on 27.04.2009,subsequent 25% of granton 27.04.2010 and balance25% of grant on 27.04.2011- 2,40,564 7,40,625- - -- - 4,16,402- 2,40,564 3,24,223- - -As at31st March, 2012(` in Crore)As at31st March, 20114 RESERVES AND SURPLUSa) Sales Tax Subsidy/Capital ReserveAs per last financial statements 299.15 183.35Add: During the year 38.92 115.80Closing Balance 338.07 299.15One of the Company’s expansion units at Raigarh (Chhattisgarh) is eligible for sales tax exemption owing to its investmentin capital assets under the State industrial policy which aims towards the objective of industrialisation of the State anddevelopment of backward areas. The period of exemption is linked to the quantum of investment. The Company has beenadvised that the element of sales tax included in the sales price of products sold out of this Unit is in the nature of salestax subsidy granted by the State Government. Accordingly, the same amounting to ` 38.92 crore (Previous year ` 32.23crore) has been credited during the year to Sales Tax Subsidy Reserve Account. The cumulative amount credited to SalesTax Subsidy Reserve account up to 31st March, 2012 is ` 236.11 crore (Previous year ` 197.19 crore).b) Capital Redemption ReserveAs per last financial statements 70.00 70.00Add: During the year - -Closing Balance 70.00 70.00c) Securities Premium ReserveAs per last financial statements 123.43 98.32(` in Crore)As at31st March, 2012As at31st March, 20114 RESERVES AND SURPLUS (CONTD.)Add: Additions during the year on account of Employees' stock option2.83 25.11schemesAdd: Transferred from Stock options Outstanding account 0.96 -Closing Balance 127.22 123.43Note no.-3 (f)d) Debenture Redemption ReserveAs per last financial statements 151.00 74.00Add: Transferred from statement of Profit and loss 353.00 77.00Closing Balance 504.00 151.00e) Share Option Outstanding AccountAs per last financial statements 1.79 1.80Less: Transferred to securities premium reserve (0.96) -Less: Deferred employee stock compensation (0.83) (0.01)Closing Balance - 1.79f) Other ReservesCapital Reserve on ConsolidationAs per last financial statements 433.62 433.62Add: During the year - -Closing Balance 433.62 433.62Revaluation ReserveAs per last financial statements (0.01) (0.01)Add: During the year - -Closing Balance (0.01) (0.01)Central/State Subsidy ReserveAs per last financial statements 0.12 0.24Less: Transfer to General reserve - (0.12)Closing Balance 0.12 0.12Foreign Currency Translation ReserveAs per last financial statements 16.72 31.02Add: During the year 174.24 (14.30)Closing Balance 190.96 16.72General ReserveAs per last financial statements 962.05 750.28Add: Transferred from statement of profit and loss 222.54 211.65Add: Transfer from Central/State Subsidy Reserve - 0.12Closing Balance 1,184.59 962.05g) Surplus in Statement of profit and lossAs per last financial statements 11,959.00 8,660.50Add: During the year 3,964.90 3,753.88Less: Appropriations- Transfer to Debenture Redemption Reserve 353.00 77.00- Transfer to General Reserve 222.54 211.65