File_2012_Document1

182 Jindal Steel & Power LimitedBusiness Leadership Sustainable Operations Excellent Governance Robust FinancialsAnnual Report 2011-12183ConsolidatedNOTES 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, 20124 RESERVES AND SURPLUS (CONTD.)- Proposed dividend on equity shares (amount per share ` 1.60, previous year149.46 140.19` 1.50)- Corporate tax on proposed dividend 3.15 3.75- Interim Dividend on Equity Shares - By subsidiary 4.82 4.29- Corporate Tax on Interim Dividend - By subsidiary 21.88 19.69- Accumulated Profit/(Loss) on disposal of subsidiaries - (1.19)Net Surplus in the statement of Profit and Loss 15,169.05 11,959.00Total Reserves & Surplus 18,017.62 14,016.87The Company has made a provision of ` 3.15 crore (Previous year ` 3.75 crore) net of reversal of ` 0.02 crore (Previousyear ` 0.02 crore) for Corporate dividend tax on the amount of dividend proposed for the year ended 31st March, 2012after considering the set-off of interim dividend declared by a subsidiary company for the same financial year, as per theprovisions of section 115-O of the Income Tax Act, 1961.In the previous year, dividend proposed relating to the shares under ESOS was made on the basis of options vested butnot exercised till the end of the financial year. Provision made in respect of options lapsed and not exercised in the currentyear has been adjusted with the dividend proposed for the year ended on 31st March, 2012.5 LONG-TERM BORROWINGSa) Secured Long term borrowingsi) Debentures9.80% Secured Redeemable NonConvertible Debentures of` 1,000,000 each(Privately placed with SBI LifeInsurance Company Limited)9.80% Secured Redeemable NonConvertible Debentures of` 1,000,000 each(Privately placed with LifeInsurance Corporation of India)9.80% Secured Redeemable NonConvertible Debentures of` 1,000,000 each(Privately placed with LifeInsurance Corporation of India)8.50% Secured Redeemable NonConvertible Debentures of` 1,000,000 each(Privately placed with ICICILombard General InsuranceCompany Limited)Non-Current PortionAs at31st March, 2012(` in Crore)As at31st March, 2011Current Portion(` in Crore)31st March, 2012 31st March, 2011 31st March, 2012 31st March, 201162.00 62.00 - -1,000.00 1,000.00 - -500.00 500.00 - -25.00 25.00 - -(` in Crore)Non-Current PortionCurrent Portion31st March, 2012 31st March, 2011 31st March, 2012 31st March, 20115 LONG-TERM BORROWINGS (Contd.)8.50% Secured Redeemable Non55.00 75.00 - -Convertible Debentures of` 1,000,000 each(Privately placed with ICICIPrudential Life InsuranceCompany Limited)8.50% Secured Redeemable20.00 - - -Non Convertible Debentures of` 1,000,000 each(Privately placed with United IndiaInsurance Company Limited)6.75% Secured Redeemable- - - 100.00Non Convertible Debentures of` 1,000,000 each(Privately placed with LICMutual Fund Asset ManagementCompany Limited)1,662.00 1,662.00 - 100.00ii) Term LoansTerm Loans from Banks 7,126.62 2,828.65 316.97 342.16iii) Other Loans from Banks 41.77 194.26 - -7,168.39 3,022.91 316.97 342.16Secured Long term borrowings 8,830.39 4,684.91 316.97 442.16DEBENTURESi) Debentures placed with SBI Life Insurance CompanyLimited on private placement basis are redeemable atpar in 5 equal annual instalments commencing from theend of 8 years from the date of allotment i.e. 29.12.2009.The debentures are secured on pari passu basis by wayof mortgage of immovable properties and hypothecationof movable assets created/to be created on the 6x135MW Power Plant Project at Angul, Odisha in favour of theDebenture Trustees.ii)Debentures placed with Life Insurance Corporation ofIndia on private placement basis are redeemable atpar in 2 equal annual instalments at the end of 9.5 and10.5 years from the date of respective allotments i.e.` 100 crore (12.10.2009), ` 150 crore (22.10.2009),` 150 crore (24.11.2009), ` 150 crore (24.12.2009),` 150 crore (25.01.2010), ` 150 crore (19.02.2010) and` 150 crore (26.03.2010). The debentures are secured onpari-passu charge basis by way of mortgage of immovableproperties and hypothecation of movable fixed assetsiii)iv)created/to be created on the 6x135 MW Power PlantProject at Angul, Odisha in favour of the DebentureTrustees.Debentures placed with Life Insurance Corporation of Indiaon private placement basis are redeemable at par in 2 equalannual instalments at the end of 9.5 and 10.5 years from thedate of respective allotments i.e. ` 100 crore (24.08.2009),` 80 crore (08.09.2009), ` 80 crore (08.10.2009), ` 80crore (09.11.2009), ` 80 crore (08.12.2009) and ` 80 crore(08.01.2010). The debentures are secured on pari-passucharge basis by way of mortgage of immovable propertiesand hypothecation of movable fixed assets of the Companyin favour of the Debenture Trustees.Debentures placed with ICICI Lombard General InsuranceCompany Limited on private placement basis areredeemable at par at the end of 5 years from the dateof allotment i.e. 03.12.2009. The debentures are securedon pari-passu basis by way of mortgage of immovableproperties and hypothecation of movable fixed assets ofthe Company in favour of the Debenture Trustees.