Notes on the consolidated financial statements
(
`
in crores)
As at
31 March 2016
As at
31 March 2015
a) Estimated amount of contracts remaining to be executed on Capital Account and not
provided for (Net of advances)
0.88
12.05
b) Letters of Credit opened in favour of inland/overseas suppliers (Net)
78.00
82.87
29. COMMITMENTS
30.
Balances of certain debtors, creditors, loans and advances are subject to confirmation.
31.
In the opinion of the Management current assets, loans and advances have a value on realisation in the ordinary course of business at
least equal to the amount at which they are stated except where indicated otherwise.
32. EMPLOYEE BENEFITS
A. Defined Contribution Plans
The company makes monthly contribution to Provident fund for employees. Company’s contribution to Provident Fund for the
year is
`
10.99 crores (Previous year
`
10.30 crores) is charged to Statement of Profit and Loss.
B. Defined Benefit Plans
Gratuity:
The Company has a defined benefit gratuity plan. Gratuity (being administered by a Trust) is computed as 15 days salary, for
every completed year of service or part thereof in excess of 6 months and is payable on retirement / termination / resignation. The
benefit vests on the employee completing 5 years of service. The Gratuity plan for the Company is a defined benefit scheme where
annual contributions are deposited to a Gratuity Trust Fund established to provide gratuity benefits. The Trust Fund has taken a
Scheme of Insurance, whereby these contributions are transferred to the insurer. The Company makes provision of such gratuity
asset/liability in the books of accounts on the basis of actuarial valuation as per the projected unit credit method. Plan assets also
include investments and bank balances used to deposit premiums until due to the insurance company.
The following tables summarize the components of net benefit expense recognized in the profit and loss account and the funded
status and amounts recognized in the balance sheet for the plan:
(
`
in crores)
Particulars
31 March 2016
31 March 2015
Current Service cost
2.07
1.85
Interest cost on benefit obligation
1.37
1.09
Net actuarial loss recognized in the year
1.02
1.38
Past service cost
0
0
Expected Return on Plan Assets
-0.69
-0.46
Net benefit expense
3.76
3.86
Statement of Profit and Loss
Net employee benefit expense (recognized in employee cost)
(
`
in crores)
Particulars
31 March 2016
31 March 2015
Fair Value of Plan Assets at the end of the year
10.33
6.99
Liability at the end of the year
20.56
17.07
Difference
10.23
10.08
Less: Unrecognised past service cost
NIL
NIL
Amount recognized in the Balance Sheet
Non – Current portion
9.56
9.73
Current portion
0.67
0.36
Total
10.23
10.09
Balance Sheet
Details of provision for Gratuity
150
Kajaria Ceramics Limited
