Annual Report 2010-11
Board of Directors
Board of DirectorsMr. Bharat Shah Chairman Mr. Rajan Raheja Director Mr. Akshay Raheja Director Mr. Viren Raheja Director Mr. K. Jayaraman Managing Director & CEO Mr. Vinayak Aggarwal Director Mr. Jagdishkumar G. Director Mr. Uday Shankar Director Mr. Brahmal Vasudevan Additional Director Mr. Sasha Mirchandani Director Mr. Sridhar Gorthi Director Mr. Devendra Shrotri Director
Company Secretary Mr. Milind Karnik President - Finance & Company Secretary
4eIistered 1fſce Contents Page Nos. “Raheja”, 4th Floor, Corner of Main Avenue & V. P. Road, Notice 2 Santacruz (W), Mumbai - 400 054. Directors Report 7
Statutory Auditors Management Discussion & Analysis 24 G. M. Kapadia & Co. Report on Corporate Governance 26 Chartered Accountants Standalone Auditors’ Report 36
Advocates & Solicitors Standalone Balance Sheet 40
AZB & Partners 5VCPFCNQPG2TQſV.QUU#EEQWPV 41 .CY1HſEGUQH+PFW/CNJQVTC#UUQEKCVGU Thakore Jariwala & Associates Standalone Cash Flow Statement 42 Schedules 44 Bankers Consolidated Auditors’ Report 83 Axis Bank Limited Consolidated Balance Sheet 84 +%+%+$CPM.KOKVGF Yes Bank Limited %QPUQNKFCVGF2TQſV.QUU#EEQWPV 85 Consolidated Cash Flow Statement 86 Registrar & Transfer Agent Schedules to Consolidated Financial 88 Statements .KPM+PVKOG+PFKC2TKXCVG.VF C-13, Pannalal Silk Mills Compound, Attendance Slip & Proxy Form LBS Marg, Bhandup (W), Mumbai - 400 078. Tel.: 25963838 Fax: 25946969
1 Hathway Cable & Datacom Limited Notice NOTICE is hereby given that the Fifty First Annual General and as recommended by the Remuneration Committee of the Meeting of the Company will be held on Tuesday, 27th day Board of Directors, approval of the members of the Company of September, 2011, at 3.00 p.m. at ISKONs Auditorium, Hare be and is hereby accorded to the re-appointment of Mr. K. Krishna Land, Next to Hare Krishna Temple, Juhu, Mumbai – Jayaraman as the Managing Director & CEO of the Company 400 049, to transact the following business: with effect from 27th September 2011 till 7th August, 2013, at a ORDINARY BUSINESS: remuneration as stated herein below, with liberty to the Board of Directors to alter and vary terms and conditions from time 1. To receive, consider and adopt the Audited Balance Sheet to time: CUCVUV/CTEJCPFVJG2TQſVCPF.QUU#EEQWPVHQT the year ended on that date together with the Reports of ¾ Salary: Directors’ and Auditors’ thereon. Proportionately for the period 27.09.2011 to 07.08.2012: 2. To appoint a Director in place of Mr. Viren Raheja, who retires at the rate of Rs.1.50 crores per annum (excluding by rotation at the ensuing Annual General Meeting and being gratuity & leave encashment at the end of the tenure) eligible, offers himself for re-appointment. but including salary, allowances, company’s contribution to provident fund, superannuation fund or annuity fund 3. To appoint a Director in place of Mr. Uday Shankar, who retires by rotation at the ensuing Annual General Meeting From 08.08.2012 to 07.08.2013: Rs.1.75 crores and being eligible, offers himself for re-appointment. per annum (excluding gratuity & leave encashment at the end of the tenure) but including salary, 4. To appoint a Director in place of Mr. Jagdish Kumar G, who allowances, company’s contribution to provident fund, retires by rotation at the ensuing Annual General Meeting superannuation fund or annuity fund and who has not offered himself for re-appointment: +P CFFKVKQP VQ VJG CDQXG UWDLGEV VQ CEJKGXGOGPV QH “RESOLVED THAT pursuant to the provisions of Section 256 and other applicable provisions of the Companies Act, 1956, targets such as ebidta, broadband revenue, organic if any, Mr. Jagdish Kumar G., who retires by rotation at the revenue growth and achievement of digital rollout ensuing Annual General Meeting and who has not offered targets, the Board of Directors may at their discretion himself for re-appointment, hereby ceases to be a director approve performance incentive, as may be decided, of the Company with immediate effect and that the vacancy however not exceeding 1.50 times the above mentioned ETGCVGFD[VJGEGUUCVKQPQHVJGUCKFFKTGEVQTDGPQVſNNGFWRŒ ſZGFUCNCT[ 6Q EQPUKFGT CPF KH VJQWIJV ſV VQ RCUU YKVJ QT YKVJQWV ¾ The Managing Director & CEO shall be provided with a OQFKſECVKQP U VJG HQNNQYKPI TGUQNWVKQP CU CP 1TFKPCT[ car and driver for Company’s business. The Company Resolution: shall reimburse actual entertainment and travelling expenses incurred by the Managing Director & CEO, in “RESOLVED THAT the retiring Statutory Auditors, M/s. G. connection with the Company’s business. M. Kapadia & Co, Chartered Accountants, (Registration No. 104767W) who being eligible, have offered themselves ¾ The Managing Director & CEO shall be entitled to sitting for re-appointment, be and are hereby re-appointed as the fees at the rate of Rs.20,000/ – per meeting for attending 5VCVWVQT[ #WFKVQTU QH VJG %QORCP[ VQ JQNF QHſEG HTQO VJG the meetings of the Board of Directors. conclusion of this meeting until the conclusion of next Annual RESOLVED FURTHER THAT in the event of absence General Meeting at a remuneration to be mutually agreed QTKPCFGSWCE[QHPGVRTQſVKPCP[ſPCPEKCN[GCTFWTKPIVJG between the Board of Directors and the Statutory Auditors.” tenure of the Managing Director & CEO, the aforesaid SPECIAL BUSINESS remuneration shall be payable to the Managing Director & CEO as minimum remuneration subject to approval of 6. 6Q EQPUKFGT CPF KH VJQWIJV ſV VQ RCUU YKVJ QT YKVJQWV Central Government, if required. OQFKſECVKQP U VJG HQNNQYKPI TGUQNWVKQP CU CP 1TFKPCT[ Resolution: RESOLVED FURTHER THAT the Board of Directors “RESOLVED THAT Mr. Brahmal Vasudevan, who was of the Company, be and is hereby authorised to do all appointed as an Additional Director of the Company with such acts, deeds, matters and things as in their absolute effect from 9th May, 2011 pursuant to the provisions of discretion they may consider necessary, expedient or Section 260 of the Companies Act, 1956 (the said Act) and in desirable to give effect to this resolution or otherwise accordance with the Article 32 of the Articles of Association of considered by them in the best interest of the Company.” VJG%QORCP[CPFVQJQNFQHſEGWRVQVJGFCVGQHVJGGPUWKPI 8. 6Q EQPUKFGT CPF KH VJQWIJV ſV VQ RCUU YKVJ QT YKVJQWV Annual General Meeting of the Company and for whose OQFKſECVKQP U VJG HQNNQYKPI TGUQNWVKQP CU C 5RGEKCN appointment, the Company has received a notice under Resolution: Section 257 of the said Act from a shareholder proposing VJGECPFKFCVWTGQH/T$TCJOCN8CUWFGXCPHQTVJGQHſEGQH “RESOLVED THAT subject to the provisions of Section a Director of the Company, be and is hereby appointed as 309 (5B) and all other applicable provisions if any, of the C&KTGEVQTQHVJG%QORCP[YJQUGRGTKQFQHQHſEGUJCNNDG Companies Act 1956, and subject to the approval of the subject to retirement by rotation.” Central Government, consent of the shareholders of the Company be and is hereby accorded for waiver of the excess 6Q EQPUKFGT CPF KH VJQWIJV ſV VQ RCUU YKVJ QT YKVJQWV remuneration of Rs. 23,62,405/ – paid to Mr. K. Jayaraman, OQFKſECVKQP U VJG HQNNQYKPI TGUQNWVKQP CU C 5RGEKCN Managing Director & CEO for the period from 26th August, Resolution: 2009 to 07th February, 2010 and the sitting fees of Rs. “RESOLVED THAT pursuant to the provisions of Section 1,20,000/ – from 26th November 2009 till 12th August 2011 198, 269, 309, 311 and other applicable provisions, if any, paid to Mr. K. Jayaraman, Managing Director & CEO of the QHVJG%QORCPKGU#EVTGCFYKVJ5EJGFWNG:+++VJGTGVQ Company. KPENWFKPICP[UVCVWVQT[OQFKſECVKQPQTGPCEVOGPVVJGTGQH CPF RESOLVED FURTHER THAT the shareholders of the subject to the Central Government approval and such other Company convey their irrevocable no objection for waiver of approval(s) of such other authorities as may be necessary
2 Annual Report 2010-11
the aforesaid excess payment of remuneration made to Mr. reports, documents and any other correspondence by K. Jayaraman, Managing Director & CEO of the Company. electronic mode are requested to register their email addresses and changes therein, from time to time, with RESOLVED FURTHER THAT VJG%QORCP[FQſNGPGEGUUCT[ Company’s Registrar and Transfer Agent in respect of application in eform No. 25A with Central Government/ shares held in physical form and with respective Depository Ministry of Corporate Affairs and the same be supported with Participants (DP) where the shares are held in dematerialized FGVCKNGF LWUVKſECVKQP YKVJ TGICTF VQ EKTEWOUVCPEGU KP YJKEJ form. Shareholders holding shares in physical form can the excess payment was made and such other information send their email address for registration to rnt.helpdesk@ as may be deemed prudent. linkintime.co.in quoting the Folio Number and Name of the RESOLVED FURTHER THAT any one of the Directors of Company. the Company or the Company Secretary be and is hereby EXPLANATORY STATEMENT PURSUANT TO SECTION authorized to sign the above application and to take all such 173(2) OF THE COMPANIES ACT, 1956: steps as may be necessary, proper or expedient to give effect to this resolution.” Item No. 6 BY ORDER OF THE BOARD Mr. Brahmal Vasudevan was appointed as an Additional Director of the Company with effect from 09th May, 2011. Pursuant to MILIND KARNIK the provisions of Section 260 of the Companies Act, 1956 and President – Finance & Company Secretary in accordance with the Article 32 of the Articles of Association QHVJG%QORCP[/T$TCJOCN8CUWFGXCPUJCNNJQNFQHſEGWRVQ the date of the ensuing Annual General Meeting of the Company. REGISTERED OFFICE: The Company has received notice under Section 257 of the said ‘Rahejas’, 4th Floor, Corner of Act from a shareholder proposing the candidature of Mr. Brahmal Main Avenue & V. P. Road, 8CUWFGXCPHQTVJGQHſEGQHC&KTGEVQTQHVJG%QORCP[ Santacruz (West), Mumbai - 400 054 None of the Directors, except Mr. Brahmal Vasudevan, is Place: Mumbai interested or concerned in the aforesaid Resolution. Your Directors th Date: 12 August, 2011 recommend the above resolution for your approval. NOTES: Item No. 7 # /'/$'4 '06+6.'& 61 #66'0& #0& 816' #6 6*' The Shareholders of the Company at the Annual General Meeting /''6+0) +5 #.51 '06+6.'& 61 #221+06 # 241:; held on 28th September 2010, approved the re-appointment and 61 #66'0& #0& 10 # 21.. 61 816' +056'#& 1( payment of remuneration to Mr. K. Jayaraman, Managing Director *+/5'.(*'45'.(#0&57%*241:;0''&016$'# & CEO for the period from 08th August, 2010 to 07th August, 2013. MEMBER OF THE COMPANY. The Company also made an application to the Central Government pursuant to the provisions of Section 269 read with Schedule 2. Proxies, if any, in order to be effective, must be received at :+++ QH VJG %QORCPKGU #EV HQT CRRTQXCN VQ TGCRRQKPVOGPV VJG %QORCP[ŏU 4GIKUVGTGF 1HſEG PQV NCVGT VJCP (QTV[ of Mr. K. Jayaraman as the Managing Director & CEO of the 'KIJV JQWTU DGHQTG VJG VKOG ſZGF HQT JQNFKPI VJG OGGVKPI Company on the terms and conditions approved by the members. Proxies submitted on behalf of the companies, etc, must be +P TGURQPUG VQ VJG UCKF CRRNKECVKQP OCFG D[ VJG %QORCP[ VJG supported by appropriate resolution/authority, as applicable. Central Government vide its letter No. B00153478/2/2011-CL %QTRQTCVG/GODGTUCTGTGSWGUVGFVQUGPFCFWN[EGTVKſGFVTWG 8++FCVGFth May 2011 directed the Company for submission of copy of the Board Resolution authorizing their representative certain requirements for granting approval to the said application. to attend and vote at the Meeting. The Company is in process of submission of the said requirements to the Central Government as per the aforesaid letter. 4. The Register of Directors’ Shareholding maintained under Section 307 of the Companies Act, 1956 will be available for Further, as per the above referred letter of the Central Government, inspection by the members at the Annual General Meeting. KV JCU URGEKſGF VJCV VJG CRRTQXCN VQ VJG CRRQKPVOGPV QH VJG Managing Directors & CEO is up to the date of ensuing Annual 5. The Register of the Members and the Share Transfer Books General Meeting. Hence, it is proposed to seek the approval of of the Company will remain closed from, Thursday, 22nd members for re-appointment of Mr. K. Jayaraman as the Managing September 2011 to Tuesday, 27th September 2011 (Both Director & CEO of the Company from the date of this Annual days inclusive). General Meeting till the residual period up to 07th August, 2013. 6. The Explanatory Statement pursuant to Section 173(2) of the Disclosures as prescribed under Schedule XIII – Part Companies Act, 1956, setting out all material facts and the II– Section II (B) statement of particulars of Directors seeking appointment/ I. General Information: re-appointment, as required under Clause 49 of the Listing Agreement are annexed hereto. a. Nature of Industry: Analog & Digital cable television UGTXKEGU $TQCFDCPF +PVGTPGV #EEGUU CPF CNNKGF 7. Members are requested to bring their copy of Annual Report services. and attendance slip to the meeting. b. Date of Incorporation: August 7, 1959. 8. Members who hold shares in dematerialized form are TGSWGUVGFVQYTKVGVJGKT%NKGPV+&CPF&2+&CPFVJQUGYJQ c. In case of new companies, expected date of hold in physical form are requested to write their folio number commencement of activities as per project in the attendance slip. approved by ſnancial institutions, appearing in the prospectus: Not Applicable Members who would like to receive notices, letters, annual
3 Hathway Cable & Datacom Limited
d. Financial performance based on the indicators: periodical budgets and business plans of the Company, to be placed before the Board of Directors. He shall (in lakhs) represent the Company before all judicial, quasi-judicial, Particulars 2010-11 2009-10 2008-09 regulatory, statutory and other bodies as a part of routine working. He shall periodically review the business 49,496.08 +PEQOG 40,676.20 40,438.33 operations of the Company and shall be in charge of the Expenditure 53,312.49 48,964.59 50,679.72 overall management and entrusted with the substantial Profit before Tax (3,816.41) (8,288.39) (10,241.39) power of the management subject to the supervision of Provision for current Tax - - 2.18 the Board of Directors of the Company. Provision for earlier Tax - - - 5. Period of Service Provision for Deferred Tax - - - The tenure as Managing Director & CEO is upto 7th Provision for Fringe - - 103.75 August, 2013. Benefit Tax 6. Remuneration Profit after Tax (3,816.41) (8,288.39) (10,347.31) Salary Structure for the period 27th September 2011 to 7th August, 2013 subject to approval of Central e. Export Performance and net foreign exchange Government collaborations: Nil ¾ Salary: f. Foreign investment or collaborations, if any: Nil Proportionately for the period 27.09.2011 to 07.08.2012: at the rate of Rs.1.50 crores per II. Information about the appointee: annum (excluding gratuity & leave encashment 1. Background details at the end of the tenure) but including salary, allowances, company’s contribution to provident Mr. K. Jayaraman, age 50 years, has been with the fund, super annuation fund or annuity fund. Company since 1998, initially appointed as CEO and Director and later appointed as Managing Director & From 08.08.2012 to 07.08.2013: Rs.1.75 crores CEO. He has a B. Com degree from the University of per annum (excluding gratuity & leave encashment /CFTCUCPFSWCNKſGFCUC%JCTVGTGF#EEQWPVCPV#HVGT at the end of the tenure) but including salary, EQORNGVKPIJKURTQHGUUKQPCNSWCNKſECVKQP/T,C[CTCOCP allowances, company’s contribution to provident YCUGORNQ[GFCUCP#WFKV1HſEGTCV.QXGNQEM.GYGU fund, super annuation fund or annuity fund. Chartered Accountants, in Mumbai. Subsequently he +PCFFKVKQP VQ VJG CDQXG UWDLGEV VQ CEJKGXGOGPV OQXGFQPVQYQTMCU2TQLGEV1HſEGTKP+%+%+CPFYQTMGF of targets such as ebdita, broadband revenue, YKVJ +%+%+ .KOKVGF HQT C RGTKQF QH [GCTU KP XCTKQWU organic revenue growth and achievement of digital HWPEVKQPUKPENWFKPICU2TQLGEV1HſEGT+PJGLQKPGF rollout targets, the Board of Directors may at their %KVKEQTR5GEWTKVKGU.KOKVGFCU*GCFQH%TGFKV+P discretion approve performance incentive, as may JG LQKPGF *CVJYC[ +PXGUVOGPVU 2TKXCVG .KOKVGF CU be decided, however not exceeding 1.50 times the General Manager. Between 1996 and 1998, he worked CDQXGOGPVKQPGFſZGFUCNCT[ CU *GCF QH (KPCPEG KP *4 ,QJPUQP +PFKC .KOKVGF He has 25 years of combined work experience in audit, ¾ The Managing Director & CEO shall be provided banking, manufacturing and media industries. with a car and driver for Company’s business. The Company shall reimburse actual entertainment 2. Past remuneration and travelling expenses incurred by the Managing Fiscal 2011: Rs.98.04 Lacs. Director & CEO, in connection with the Company’s business. 3. Recognition or awards ¾ The Managing Director & CEO shall be entitled During Mr. Jayaraman’s tenure as the Managing to sitting fees at the rate of Rs. 20,000/ – per Director & CEO, the Company has been voted as “Best meeting for attending the meetings of the Board of /51%CDNG 1RGTCVQT QH VJG ;GCTŒ KP +PFKC QWV QH Directors. [GCTUD[+PFKCP6GNN[#YCTFU 7. Comparative remuneration proſle with respect to 4. Job proſle and his competence industry, si\e of the company, proſle of the position The business of the Company shall be managed and person (in case of expatriates the relevant by the Managing Director & CEO subject to the details would be w.r.t. the country of his origin) superintendence, control and directions of the Board of Sl. Particulars Designation Financial Amount in Directors and he shall carry out such duties as stated No. Year Rs. Crores below and as may be entrusted to him by the Board from time to time. 1 Hinduja Ventures Limited +P VJG FKUEJCTIG QH UWEJ FWVKGU CPF KP GZGTEKUG QH A.P. Hinduja Executive Chairman 2010-11 1.49 such powers, Managing Director & CEO shall observe and comply with all lawful and proper resolutions, 2 Wire and Wireless regulations and directions from time-to-time made or Limited given by the Board of Directors. He shall review the Sudhir Agarwal CEO 2010-11 1.50
4 Annual Report 2010-11
8. Pecuniary relationship directly or indirectly with of remuneration to the Managing Director were not applicable. the company, or relationship with the managerial However, during the tenure of the Managing Director & CEO, personnel, if any. the Company was subsequently converted into Public Limited Company with effect from 26th August 2009. None At the time of conversion of the Company on 26th August 2009, III. Other Information the earlier term of Mr. K. Jayaraman as Managing Director & CEO YCUKPGZKUVGPEGCPFVJGTGYCUPQEJCPIGOQFKſECVKQPKPVGTOU Reasons for inadequate profits, steps taken for of the then existing appointment of Mr. K Jayaraman, and hence improvement & projected earnings: the Company continued to pay remuneration at the agreed terms The Company is making cash profit, however because till 7th February, 2010. of the depreciation and amortization, the profit after After the completion of the aforesaid tenure, the Company paid tax is negative. As the Company is in an expansion remuneration to the Managing Director & CEO as per the limits stage with implementation of Digital Addressable Cable RTGUETKDGFWPFGT5EJGFWNG:+++RCTV++5GEVKQP++ $ QHVJG#EVHQT TV system and broadband, the depreciation is on the the period 7th February, 2010 to 7th August, 2010. Hence, there higher side. was no payment of excess remuneration during the period from 7th The Company proposes to acquire the last mile from February, 2010 to 7th August, 2010. the cable operators and rapidly expand its Digital Further your Company is proposing to make an application to the Cable TV services and the broadband internet access Central Government for waiver of sitting fees paid for attending DWUKPGUU $QVJ VJGUG UGIOGPVU JCXG DGVVGT '$+6&# the meetings of Board of Directors held from the conversion of the margins. Company till the date of this notice. 6JG 6GNGEQO 4GIWNCVQT[ #WVJQTKV[ QH +PFKC 64#+ JCU +PXKGYQHVJGCDQXGCPFCUTGEQOOGPFGFD[VJG4GOWPGTCVKQP recently recommended a four phase digitization for the Committee of the Board of Directors, it is proposed to waive the KPFWUVT[ +V CPVKEKRCVGU FKIKVK\CVKQP VQ EQOOGPEG HTQO st excess remuneration paid to Mr. K. Jayaraman for the period 26th /CTEJ 2JCUG + EQXGTKPI (QWT OGVTQU QH &GNJK August, 2009 to 07th February, 2010 and sitting fees paid for the Mumbai, Kolkata and Chennai) and thereafter covering the aforesaid period. entire nation by 31st December 2014. Cable TV is expected VQTGCRVJGDGPGſVUQHOCPFCVQT[FKIKVK\CVKQP6JG%QORCP[ As per the provisions of Section 309(5B) of the Companies Act, is well positioned to support the Government’s policy for 1956, approval of the shareholders would be necessary for waiver Mandatory Cable Digitization and is expected to improve of excess remuneration paid to the Managing Director & CEO. margin in coming years. Hence the said resolution in placed for your approval. The Board of Directors recommends the aforesaid resolution as a The Company is expected to have growth in terms of its special resolution for the approval of members. business plans. None of the Directors of the Company, except Mr. K. Jayaraman, Your Directors seek your approval for appointment and is interested or concerned in this resolution. payment of the remuneration to Mr. K. Jayaraman for the period from 27th September 2011 to 7th August, 2013, BY ORDER OF THE BOARD CU C URGEKCN TGUQNWVKQP WPFGT +VGO CPF TGEQOOGPF VJG resolution for approval of the Members. MILIND KARNIK President – Finance & Company Secretary This may be treated as an abstract of terms and conditions of the contract of appointment of Mr. K. Jayaraman as Managing Director & CEO of the Company, pursuant to Section 302 and Section 192A of the Act. REGISTERED OFFICE: th Floor, Corner of None of the Directors of the Company except Mr. K. ‘Rahejas’, 4 Main Avenue & V. P. Road, Jayaraman is concerned or interested in the Resolution. Santacruz (West), Mumbai - 400 054 Item No. 8 Place: Mumbai The Company has made an application to the Central Government Date: 12th August, 2011 for the re-appointment and payment of remuneration to Mr. K. Jayaraman as Managing Director & CEO of the Company from 08th August, 2010 to 07th August, 2013. The Central Government XKFGKVUNGVVGT0Q$%.8++FCVGFth May 2011 approved the appointment of the Managing Director & CEO till the date of ensuing Annual General Meeting. The Central Government vide above referred letter also instructed the Company to either recover the excess remuneration paid to the Managing Director & CEO during the period from 26th August, 2009 to 07th August, 2010 or to make an application u/s 309(5B) for the waiver of recovery of the excess remuneration. The Board of Directors of the Company at their meeting held on 26th April 2007 approved the appointment of Mr. K. Jayaraman as the Managing Director & CEO for the period of three years from 8th February 2007 to 7th February 2010. However, at the time of appointment of the Managing Director & CEO, since the Company was a Private Limited Company, the relevant provisions of the Companies Act, 1956 related to appointment and payment
5 Hathway Cable & Datacom Limited Equity Shares Company held in the 23,910,600 Listing Agreement) 31/03/2011 ** Board of the other Chairman/member he is director as on Companies in which of Committees the Nil Nil Member of audit committee in Asianet Satellite Communications Limited /GODGTQH+PXGUVQT U Grievance Committee of Supreme Petrochem Ltd 31/03/2011 * in which he holds Directorships as on JMT Auto Limited Nil Nil Asianet Communications Limited Tata Sky Limited Supreme Petrochem Limited (Alternate Director) Asianet Satellite Communications Limited Sonata Software Limited +PPQXCUU[PVJ6GEJPQNQIKGU +PFKC .KOKVGF Experience List of other Companies He is a Managing Director at %JT[U%CRKVCN +PXGUVOGPV #FXKUQTU He was previously Director of Marketing at ASTRO, a leading DTH operator in Southeast Asia. Prior to that, Mr. Vasudevan was with British American Tobacco (“BAT”) where JG YCU CP +PVGTPCVKQPCNManager based in the Global Brand /CTMGVKPI Group in London. Before moving to the United Kingdom, he held various positions in BAT Malaysia Has vast experience in media industry. He was head of the news channel “Aaj Tak” . Subsequently he DTKGƀ[UGTXGFCUVJGEJKGHGZGEWVKXG QHſEGT QH VJGand as the Head of Sahara TV’s 5VCT 0GYU EJCPPGN news television channel business. *G LQKPGF 5VCT 68 +PFKC CU KVU %'1 in 2006 and oversees all Star TV’s DWUKPGUUXGPVWTGUKP+PFKC &KTGEVQT KPincluding Cable TV, Retailing, FKXGTUKſGFPetrochemicals, Real Estate and KPFWUVTKGU Software Development cation & ſ expertise uali 3 the Harvard Business School and graduated YKVJſTUVENCUU honours in aeronautical engineering from +ORGTKCN%QNNGIG in London economics from the University of Delhi & graduate in journalism from the Times QH+PFKC/GFKC School from London Business School, VVGGCTGEQPUKFGTGF Date of Appointment on the Board Birth Date of 13-06-1984 28-03-2008 B.Com, MBA 16-10-1968 09-05-2011 MBA from 16-09-1961 09-09-2009 M. Phil in Re- Re- Re- appointment appointment appointment appointment Name Nature of Vasudevan Raheja Shankar Details of Directors seeking Appointment/Re-appointment at the forthcoming Annual General Meeting (pursuant to Clause 49 3 Mr. Brahmal 1 Mr. Viren 2 Mr. Uday Sr. No. Note: *Private Companies and Foreign are not included #WFKV%QOOKVVGGCPF+PXGUVQTU)TKGXCPEG5JCTG6TCPUHGT%QOOK
6 Annual Report 2010-11
DIRECTORS’ REPORT
Dear Members, of March 31, 2011 in accordance with the objects set out in the Ŏ1DLGEVUQHVJG+UUWGŏUGEVKQPKPVJG2TQURGEVWUHQT+PKVKCN2WDNKE We hereby present the Fifty First Annual Report to the Members Offer of the Company. During the Financial Year 2010-11 the together with the Audited Statement of Accounts for the Financial 6GNGEQO4GIWNCVQT[#WVJQTKVKGUQH+PFKC 64#+ JCFTGEQOOGPFGF Year ended March 31, 2011. VQVJG/KPKUVT[QH+PHQTOCVKQP$TQCFECUVKPIVJGFKIKVCNK\CVKQPRNCP Financial Highlights VJCV KPXQNXGU KPVTQFWEVKQP QH FKIKVCN ECDNG UGTXKEGU CETQUU +PFKC Considering the change in business environment, it was thought (Rs. In Lacs) appropriate to pursue digitalization more aggressively than Consolidated Standalone JKVJGTVQRNCPPGFKPQWTQTKIKPCN1DLGEVUQHVJG+UUWGCPFVQTGFWEG Particulars 2010-11 2009-10 2010–11 2009–10 the debts by way of repayment of certain high cost debts. Operating & Other 90,667.94 73,998.18 49,496.08 40,676.20 +PXKGYQHVJGCDQXGVJGOGODGTUQHVJG%QORCP[JCFCRRTQXGF +PEQOG VJG XCTKCVKQP KP WVKNK\CVKQP QH HWPFU TCKUGF VJTQWIJ +PKVKCN 2WDNKE Gross Operating 17,384.57 13,224.62 11,104.73 7,421.62 Offer through postal ballot in terms of provisions of Section 192A of 2TQſVDGHQTGKPVGTGUV the Companies Act, 1956, read with provisions of the Companies depreciation, (Passing of the Resolution by Postal Ballot) Rules, 2001 on 21st amortization & taxes June, 2011. +PVGTGUV 4,498.23 5,562.02 3,863.77 5,090.97 Dividend Loss/(Gain) on (148.65) (59.72) (115.56) (51.96) +P XKGY QH NQUU KPEWTTGF FWTKPI VJG [GCT WPFGT TGXKGY CPF VJG Foreign Exchange accumulated losses, your directors express their inability to Fluctuations declare any dividend for the year under review. Several measures Depreciation & 12,488.40 11,112.36 9,463.74 8,861.53 are being taken towards increasing the revenue, cost control and Amortization VQKORTQXGVJGRTQſVCDKNKV[ +ORCKTOGPVQH 270.30 176.77 270.30 176.77 Fixed Deposits 6CPIKDNG+PVCPIKDNG Assets The Company has not accepted any deposits during the year, 'ZEGRVKQPCN+VGOU 1,434.80 1,488.61 1,438.89 1,632.70 within the meaning of Section 58A of the Companies Act 1956 and (Provision for the Rules made thereunder. doubtful advances/ Cable Distribution investments/ receivables from During the year under review the Telecom Regulatory Authorities entities under QH+PFKC 64#+ TGEQOOGPFGFCFKIKVCNK\CVKQPRNCPVQVJG/KPKUVT[ control or signiſcant QH+PHQTOCVKQP$TQCFECUVKPIVJCVKPXQNXGUKPVTQFWEVKQPQHFKIKVCN inƀuence/ impairment ECDNGUGTXKEGUCETQUU+PFKC6JGFKIKVCNRNCPKUOGCPVVQKORTQXG and write off of consumer viewing experience in terms of number of Channels, assets in respect of providing digital quality to the consumers as against current operations in Tamil analogue picture quality, to curb the revenue leakage at various Nadu/ depreciation level and ultimately to increase transparency in reporting numbers. written back) The Company is planning to implement additional services like *KIJ &GſPKVKQP *& 8KFGQQP&GOCPF 81& 2C[RGT8KGY Provision for Taxation 1,204.36 1,562.07 -- -- (PPV), Games-on-Demand, etc. to more effectively compete with – Current Tax & &KTGEVVQ*QOG &6* CPF+PVGTPGV2TQVQEQN6GNGXKUKQP +268 Deferred Tax Net Loss (2,362.88) (6,617.49) (3,816.42) (8,288.40) As per the report of Media Partners Associates (MPA) 2011, out QH OKNNKQP JQOGU KP +PFKC OKNNKQP JQOGU JCXG 68 UGV Cumulative Loss (49,353.17) (46,226.48) (49,945.24) (45,914.02) with 61% CATV penetration. According to MPA estimates, digital carried to Balance cable is expected to reach 34 million homes by 2020. Digital cable Sheet after share will reach about 33% which is about at 6% levels in 2011. adjustments Larger number of channels, better picture quality, choice of audio Operations and other value added services are expected to be key drivers of digital cable in the country. Digital cable will face challenge from During the year under review, the total income of your Company DTH players in coming years. MSO are better placed to counter was Rs. 49,496.08 Lacs on standalone basis and Rs. 90,667.94 DTH players, their key strengths like affordable pricing, prompt Lacs on consolidated basis as compared to the last year’s total EWUVQOGT UWRRQTV PKEJG NQECN EQPVGPV CPF NQECN CTGC QHſEGU HQT income of Rs. 40,676.20 Lacs on standalone basis and Rs. consumer interface will help them to grow faster on digital platform. 73,998.18 Lacs on Consolidated basis respectively. The Net Loss CHVGTVCZCVKQPCPF'ZEGRVKQPCN+VGOUJCUEQOGFQYPCPFUVQQFCV Hathway has a reach of approximately 8.4 million Cable TV homes Rs. 3,816.42 Lacs on standalone basis and Rs. 2,362.88 Lacs on for its analogue CATV services. We have over 15,000 kilometers consolidated basis. QHJ[DTKFſDGTQRVKEECDNGYJKEJKUURTGCFQXGT%KVKGU6QYPU Hathway has commenced a rapid digitalization process and at Variation in utilization of fund raised through Initial Public present we have deployed close to 1.5 million digital set top boxes Offer in CAS & Non – CAS areas. Hathway is the only MSO with focus 1WV QH VJG VQVCN COQWPV TCKUGF VJTQWIJ VJG +PKVKCN 2WDNKE 1HHGT QPFKIKVK\CVKQPQHPQPŌOGVTQOCTMGVU+VJCUGUVCDNKUJGFFKIKVCN +21 QHVJG%QORCP[4U.CEUJCXGDGGPWVKNK\GFCU head-ends in the country.
7 Hathway Cable & Datacom Limited
Internet Market Employees Stock Option Plan +PFKC JCU CTQWPF OKNNKQP DTQCFDCPF UWDUETKDGTU CU QP 6JG FKUENQUWTG TGSWKTGF VQ DG OCFG WPFGT 5'$+ 'ORNQ[GG 31st March 2011. Broadband has registered a quarterly growth Stock Option Scheme and Employee Stock Purchase Scheme) of 8.17% and year-on-year growth of 35.49%. Cable modem Guidelines, 1999 are given in the Annexure to subscribers’ accounts for only 4% that is only 0.801 million internet this Report. subscribers. Cable provides big potential for growth of broadband penetration in the country considering the cable universe of 95 The options outstanding under the Employees Stock Option Plan million CATV homes. 2007 (Revised 2010) at the end of the year stood at 7,69,999 after lapse/forfeiture of 1,09,500 options. Hathway is the largest MSO offering broadband services in EKVKGU *CVJYC[ KU %CVGIQT[ ő#Œ +PVGTPGV 5GTXKEG 2TQXKFGT Subsidiaries +52 RTQXKFKPI DTQCFDCPF UGTXKEGU VQ TGVCKN CPF EQTRQTCVG 6JGſPCPEKCNFCVCQHVJGUWDUKFKCTKGUJCUDGGPHWTPKUJGFCNQPIYKVJ segments in various states. Hathway has 14,32,937 homes ready the statement pursuant to section 212 of the Companies Act, 1956 for catering for internet services. As of 31st March 2011, Hathway forming part of the Annual Report. Further, pursuant to Accounting JCUKPVGTPGVUWDUETKDGTUYKVJCNN+PFKCTCPMQHth largest 5VCPFCTFU KUUWGF D[ VJG +PUVKVWVG QH %JCTVGTGF #EEQWPVCPVU QH +52RNC[GTKPVJGEQWPVT[*CVJYC[JCUOCTMGVNGCFGTUJKRKPVGTOU +PFKC VJG %QORCP[ JCU RTGUGPVGF VJG %QPUQNKFCVGF (KPCPEKCN of reach, revenues and subscribers. With high quality & high 5VCVGOGPVUYJKEJKPENWFGVJGſPCPEKCNKPHQTOCVKQPTGNCVKPIVQKVU capacity network, Hathway is well placed to garner large share subsidiaries and forms part of the Annual Report. of growing broadband market. Amongst private sector, Hathway KU+PFKCŏUnd largest wired broadband service provider. According The Company shall provide the copy of the Annual report and other VQVJGNCVGUV64#+TGRQTV*CVJYC[$TQCFDCPFYKPUVJGVQRURQV related information of its subsidiary companies as required under KP QXGTCNN SWCNKV[ QH UGTXKEG KP /WODCK *CVJYC[ KU VJG ſTUV +52 section 212 of the Companies Act, 1956 to the shareholders of the to introduce the Simply Unlimited plans for retail customers. Your Company and the subsidiaries upon their written request. These Company has started offering value added services like Web documents will also be available for inspection at the registered products (e.g. website builder, domain name registration etc), QHſEG QH VJG %QORCP[ CPF TGIKUVGTGF QHſEGU QH VJG TGURGEVKXG online tutorials with Topper learning to our customers and soon we subsidiary Companies during the working hours up to the date of will be adding more services like games on demand, movies on Annual General Meeting. demand and security solutions (anti virus). Conservation of Energy, Technology Absorption and Foreign Directors Exchange Earnings and Outgo #HVGT VJG GPF QH VJG ſPCPEKCN [GCT WPFGT TGXKGY /T $TCJOCN The requirement of disclosures in terms of Section 217(1) (e) of Vasudevan, Director, resigned from the Board of your Company. the Companies Act, 1956, pertaining to the conservation of energy Your Directors place on record their appreciation on the valuable and technology absorption is not applicable to the Company. services rendered by Mr. Brahmal Vasudevan and the guidance received from him during his tenure as a Director. Mr. Brahmal During the year under review, your Company has incurred a total Vasudevan was appointed as an additional independent director expenditure on foreign exchange amounting to Rs. 317.10 Lacs on the Board of Directors of your Company with effect from 9th as compared to the last year’s expenditure of Rs. 610.72 Lacs. May 2011. The Company has received the notice along with Like last year, your Company has not earned any Foreign requisite deposit, from the member pursuant to Section 257 of the 'ZEJCPIG+PEQOGFWTKPIVJG[GCTWPFGTTGXKGY %QORCPKGU#EVRTQRQUKPIJKUECPFKFCVWTGHQTVJGQHſEGQH Directors of the Company. Audit Committee Pursuant to the provisions of Section 255 read with Section 256 of A committee of the Board of Directors called ‘Audit Committee’ rd the Companies Act, 1956, Mr. Viren Raheja and Mr. Uday Shankar, was reconstituted on 23 October 2010 comprising of Mr. Bharat Directors would retire by rotation at the ensuing Annual General Shah, Mr. Viren Raheja, Mr. Sasha Mirchandani, Mr. Sridhar Gorthi Meeting and being eligible, offer themselves for reappointment. and Mr. Devendra Shrotri, Directors of the Company. The Audit Mr. Jagdish Kumar G., Director, who also retires by rotation at Committee reviews and lays down the basic Audit norms, rules the ensuing Annual General Meeting, has not offered himself for and regulations and Audit Policies which are made applicable to reappointment. the Company. The Audit Committee will function subject to the superintendence and direction of the Board of Directors and the As required, the requisite details of Directors seeking re- recommendations made by the Audit Committee are mandatory appointment are included in this Annual Report. in nature. Personnel Directors’ Responsibility Statement +P CEEQTFCPEG YKVJ VJG RTQXKUKQPU QH 5GEVKQP # QH VJG Your Directors in compliance of Section 217 (2AA) of the Companies Act, 1956, read with the Companies (Particulars of %QORCPKGU#EVEQPſTOVJCVKPVJGRTGRCTCVKQPQHVJGCPPWCN Employees) Rules, 1975, as amended, the particulars are given accounts for the year ended March 31, 2011: KPVJGUVCVGOGPVYJKEJHQTOURCTVQHVJKUTGRQTV+PVJGVGTOUQH provisions of Section 219(1) (b) (iv) of the Companies Act, 1956, a) the applicable accounting standards had been followed along the Directors’ Report is being sent to all the shareholders of the with proper explanation relating to material departures, if any; Company excluding the aforesaid statement. The statement is b) the Company has selected such accounting policies CXCKNCDNGHQTKPURGEVKQPCVVJG4GIKUVGTGF1HſEGQHVJG%QORCP[ and applied them consistently and made judgement and Any shareholder interested in obtaining a copy of the said estimates that are reasonable and prudent so as to give a statement may write to the Company Secretary at the Registered true and fair view of the state of affairs of the Company as on 1HſEGQHVJG%QORCP[ March 31, 2011 and the loss of the Company for the year;
8 Annual Report 2010-11
E RTQRGTCPFUWHſEKGPVECTGJCUDGGPVCMGPHQTVJGOCKPVGPCPEG Comments on Auditors’ Report of adequate accounting records in accordance with the Your Auditors have made some observations in the annexure (i) provisions of the Companies Act, 1956, for safeguarding D VQVJGKTTGRQTVQPXGTKſECVKQPQHFKUVTKDWVKQPGSWKROGPVU;QWT the assets of the Company and for preventing and detecting Directors state that the Company has reconciled the book stock fraud and other irregularities; QH%CDNG68CPF+PVGTPGV#EEGUU&GXKEGUYKVJRJ[UKECNUVQEMCPF d) the annual accounts of the Company has been prepared on VJGTGYCUPQUKIPKſECPVFKHHGTGPEGYJKEJVJQWIJPQVFGCNVYKVJKP a going concern basis. the books of accounts does not have any material impact. Corporate Governance & Management Discussion and Acknowledgements Analysis Report Your Directors take this opportunity to thank all the shareholders #TGRQTVQP%QTRQTCVG)QXGTPCPEGCNQPIYKVJCEGTVKſECVGHTQO/U and lenders for their continued support. Your Directors also wish Rathi & Associates, Practicing Company Secretaries, regarding to place on record, the sincere appreciation to all the employees, compliance of requirements of Corporate Governance pursuant franchisees, distributors and the vendors for their excellent to Clause 49 of the Listing Agreement with Stock Exchanges contribution towards the progress of the Company. along with the report of Corporate Governance is annexed hereto FOR AND ON BEHALF OF THE BOARD and forms part of this report. The Management Discussion and Analysis Report on the operations of the Company as required under the Listing Agreement with the Stock Exchanges is also Place: Mumbai CHAIRMAN annexed hereto and forms part of this report. Date: August 12, 2011 Auditors M/s. G. M. Kapadia & Co, Chartered Accountants, the Statutory Auditors, shall retire at the ensuing Annual General Meeting and being eligible, offer themselves for reappointment. Your Directors recommend their re-appointment.
9 Hathway Cable & Datacom Limited
Annexure to the Directors Report (ii) No employee has been granted options exceeding 5% of the total issued and paid up equity capital at the time &KUENQUWTGU RWTUWCPV VQ 5'$+ 'ORNQ[GG 5VQEM 1RVKQP 5EJGOG of grant of option and Employee Stock Purchase Scheme) Guidelines, 1999. (iii) None of the employees were granted option, during the Summary of Status of Options year, equal to or exceeding 1% of the issued capital. Hathway Employee Stock Option Plan 2007 (Revised 2010) (k) Diluted Earnings per share (EPS) pursuant to issue of shares a) Total number of options granted 10,45,500 on exercise options calculated in accordance with Accounting Standard 20. b) Pricing Formula exercise price would DG +04 CPF +04 Kindly refer note no. B (22) of Schedule N to the ſnancial 157.30 per share account c) Options vested during the year 4,56,999 (l) Where the company has calculated the employee d) Options Exercised during the Nil compensation cost using the intrinsic value of the stock year options, the difference between the employee compensation e) Total number of shares arising Nil cost so computed and the employee compensation cost that as result of exercise of options shall have been recognized if it had used the fair value of the during the year options, shall be disclosed. The impact of this difference on RTQſVUCPFQP'25QHVJGEQORCP[UJCNNCNUQDGFKUENQUGF f) Options lapsed during the year 1,09,500 g) Variations of terms of options As per special resolution The Company has calculated the employee compensation passed at the last Annual cost using the fair value of the stock options. Kindly refer General Meeting note no. B (15) of Schedule N to the ſnancial accounts h) Money realised by exercise of Nil (m) Weighted-average exercise prices and weighted-average fair options values of options shall be disclosed separately for options i) Total no of options in force 7,69,999 whose exercise price either equals or exceeds or is less than the market price of the stock. (j) Employee wise details of the options granted during the ſPCPEKCN[GCT 0QPG The options are exercisable at Rs. 110.20 to Rs. 157.30 including a premium of Rs 100.20 to Rs. 147.30 per equity (i) Senior Managerial Personnel: None of the Senior share Management Personnel were granted options during the year.
10 Annual Report 2010-11
STATEMENT PURSUANT TO SECTION 212 OF THE COMPANIES ACT, 1956 RELATING TO SUBSIDIARY COMPANIES
Sr. PARTICULARS Channels India Vision India Liberty Media Ideal Cables Hathway Bee Network & No. Network Network Vision Pvt. Ltd. Channel 5 Communication Pvt. Ltd. Pvt. Ltd. Pvt. Ltd. Cable & Pvt. Ltd. Datacom Pvt. Ltd. Note 2 1 +PHQTOCVKQP(WTKPKUJGFHQTVJG 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-09 31-Mar-11 Financial Year Ended 2 Date from which it becomes 20.04.1995 07.04.1998 07.04.1998 07.04.1998 07.04.1998 07.04.1998 subsidiary 3 Shares of the subsidiary held by the holding company i.e. Hathway Cable & Datacom Ltd. and its subsidiaries (HCDL) on 31st March 2010 a) Number of Shares held 87,500 87,700 10,000 76,020 249,000 99,989 b] Fully paid Shares Each of the 10 10 10 10 10 10 face value of Rs. c) Extent of Effective Holding 95.630% 100.000% 100.000% 100.000% 51.000% 100.000% 4 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU PQVFGCNV with in HCDL A/c a) For the Financial Year of the Nil Nil Nil Nil Nil Nil Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN[GCTU Nil Nil Nil Nil Nil Nil of the subsidiary since it becomes Subsidiary 5 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU FGCNVYKVJ in HCDL A/c a) For the Financial Year of the (36,722) (10,600) (52,677) (11,043,158) (7,335,239) (5,500) Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN[GCTU (20,857,640) (17,320,299) (16,030,148) (14,999,575) (8,842,299) (10,569,929) of the subsidiary since it becomes Subsidiary 6 Changes in the interest of HCDL in Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable the subsidiary company between the end of the Financial Year of the subsidiary Company and 31 st March 2010 7 Material Changes between end of the Financial Year of the subsidiary Company and 31 st March 2010 a) Fixed Asset Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable D +PXGUVOGPV Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable c) Monies Lent By Subsidiary Co. Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable d) Monies Borrowed by Subsidiary Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable for any purpose other than that of meeting Current Liability 1 Company under liquidation refer note no. B(24) of Schedule N of Financial Statements. Hence details given as per last audited accounts as on 31st Mar 2009 2 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2009 3 held through subsidiary Hathway Bhaskar Multinet Private Limited 4 held through subsidiary Gujarat Telelink Private Limited 5 partly held directly by Hathway and partly through its subsidiary Hathway Media Vision Private Limited. 6 held through subsidiary Hathway MCN Private Limited 7 subsidiary based on our Company’s right to appoint majority of directors on the board of Company. 8 held through subsidiary Hathway Bhawani Cabletel & Datacom Pvt. Ltd. 9 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2010
11 Hathway Cable & Datacom Limited
STATEMENT PURSUANT TO SECTION 212 OF THE COMPANIES ACT, 1956 RELATING TO SUBSIDIARY COMPANIES
Sr. PARTICULARS Elite Cable Binary Hathway UTN Cable ITV Interactive Chennai Cable No. Network Technology Media Communication Media Pvt.Ltd. Vision Pvt. Ltd. Transfers Vision Pvt. Pvt.Ltd. Network Pvt.Ltd. Ltd. Pvt. Ltd.
Note fka United Cable Network P.L. 1 +PHQTOCVKQP(WTKPKUJGFHQTVJG Financial Year Ended 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 2 Date from which it becomes 07.04.1998 07.04.1998 13.08.1998 31.05.1999 09.09.1999 30.09.1999 subsidiary 3 Shares of the subsidiary held by the holding company i.e. Hathway Cable & Datacom Ltd. and its subsidiaries (HCDL) on 31st March 2010 a) Number of Shares held 48,000 1,000 65,040 25,500 1,000 136,800 b] Fully paid Shares Each of the 10 100 10 10 100 10 face value of Rs. c) Extent of Effective Holding 80.000% 100.000% 100.000% 51.000% 100.000% 75.990% 4 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU PQVFGCNV with in HCDL A/c a) For the Financial Year of the Nil (22,836) (1,883,793) (1,410,214) Nil Nil Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN[GCTU Nil (274,385) (10,994,015) (14,384,219) Nil Nil of the subsidiary since it becomes Subsidiary 5 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU FGCNVYKVJ in HCDL A/c a) For the Financial Year of the (9,200) Nil Nil Nil (26,108) 52,614 Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN[GCTU (865,083) (16,009,137) Nil Nil (4,912,035) (16,526,044) of the subsidiary since it becomes Subsidiary 6 Changes in the interest of HCDL in Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable the subsidiary company between the end of the Financial Year of the subsidiary Company and 31 st March 2010 7 Material Changes between end of the Financial Year of the subsidiary Company and 31 st March 2010 a) Fixed Asset Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable D +PXGUVOGPV Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable c) Monies Lent By Subsidiary Co. Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable d) Monies Borrowed by Subsidiary Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable for any purpose other than that of meeting Current Liability 1 Company under liquidation refer note no. B(24) of Schedule N of Financial Statements. Hence details given as per last audited accounts as on 31st Mar 2009 2 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2009 3 held through subsidiary Hathway Bhaskar Multinet Private Limited 4 held through subsidiary Gujarat Telelink Private Limited 5 partly held directly by Hathway and partly through its subsidiary Hathway Media Vision Private Limited. 6 held through subsidiary Hathway MCN Private Limited 7 subsidiary based on our Company’s right to appoint majority of directors on the board of Company. 8 held through subsidiary Hathway Bhawani Cabletel & Datacom Pvt. Ltd. 9 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2010
12 Annual Report 2010-11
STATEMENT PURSUANT TO SECTION 212 OF THE COMPANIES ACT, 1956 RELATING TO SUBSIDIARY COMPANIES
Sr. PARTICULARS Hathway Win Cable Hathway Hathway Hathway Hathway Cnet No. Universal Data com Space Software Nashik Pvt. Ltd. Cabletel & Pvt. Ltd. Vision Developers Cable Network Data com Cabletel Pvt.Ltd. Pvt. Ltd. Pvt. Ltd. Pvt. Ltd. Note 1 +PHQTOCVKQP(WTKPKUJGFHQTVJG Financial Year Ended 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 2 Date from which it becomes 10.03.2000 15.03.2000 15.03.2000 21.03.2000 17.06.2000 27.07.2000 subsidiary 3 Shares of the subsidiary held by the holding company i.e. Hathway Cable & Datacom Ltd. and its subsidiaries (HCDL) on 31st March 2010 a) Number of Shares held 1,000 200,000 10,020 195,000 45,300 100,000 b] Fully paid Shares Each of the face 100 10 10 10 10 10 value of Rs. c) Extent of Effective Holding 100.000% 100.000% 100.000% 65.000% 90.060% 100.000% 4 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU PQVFGCNV with in HCDL A/c a) For the Financial Year of the Nil Nil Nil 643,148 Nil Nil Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN[GCTU Nil Nil Nil (10,386,908) Nil Nil of the subsidiary since it becomes Subsidiary 5 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU FGCNVYKVJ in HCDL A/c a) For the Financial Year of the (1,831) 355,291 (5,400) Nil (178,396) (9,026) Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN[GCTU (88,399) (185,028,755) (729,052) Nil (92,277,506) (7,767,651) of the subsidiary since it becomes Subsidiary 6 Changes in the interest of HCDL in Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable the subsidiary company between the end of the Financial Year of the subsidiary Company and 31 st March 2010 7 Material Changes between end of the Financial Year of the subsidiary Company and 31 st March 2010 a) Fixed Asset Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable D +PXGUVOGPV Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable c) Monies Lent By Subsidiary Co. Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable d) Monies Borrowed by Subsidiary Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable for any purpose other than that of meeting Current Liability 1 Company under liquidation refer note no. B(24) of Schedule N of Financial Statements. Hence details given as per last audited accounts as on 31st Mar 2009 2 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2009 3 held through subsidiary Hathway Bhaskar Multinet Private Limited 4 held through subsidiary Gujarat Telelink Private Limited 5 partly held directly by Hathway and partly through its subsidiary Hathway Media Vision Private Limited. 6 held through subsidiary Hathway MCN Private Limited 7 subsidiary based on our Company’s right to appoint majority of directors on the board of Company. 8 held through subsidiary Hathway Bhawani Cabletel & Datacom Pvt. Ltd. 9 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2010
13 Hathway Cable & Datacom Limited
STATEMENT PURSUANT TO SECTION 212 OF THE COMPANIES ACT, 1956 RELATING TO SUBSIDIARY COMPANIES
Sr. PARTICULARS Hathway Hathway Hathway Hathway Hathway Hathway No. United Internet Krishna Mysore Sukhamrit Prime Cables Pvt. Satellite Pvt. Cable Pvt. Ltd. Cable Network Cable & Cable & Ltd. Ltd. Pvt. Ltd. Datacom Datacom Pvt. Ltd. Pvt. Ltd. Note 9 fka Hathway fka : Hathway Vijaynagar Cable Cable Network Vision Pvt Ltd Pvt. Ltd. 1 +PHQTOCVKQP(WTKPKUJGFHQTVJG Financial Year Ended 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-10 31-Mar-11 2 Date from which it becomes 01.12.2000 01.01.2001 22.07.2002 29.11.2003 24.03.2004 03.02.2006 subsidiary 3 Shares of the subsidiary held by the holding company i.e. Hathway Cable & Datacom Ltd. and its subsidiaries (HCDL) on 31st March 2010 a) Number of Shares held 10,000 10,000 4,860,000 292,100 72,628 229,500 b] Fully paid Shares Each of the 10 10 10 10 10 10 face value of Rs. c) Extent of Effective Holding 100.000% 100.000% 97.200% 63.500% 50.000% 51.000% 4 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU PQVFGCNV with in HCDL A/c a) For the Financial Year of the Nil Nil (4,553,097) 1,563,190 1,945,486 (964,092) Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN[GCTU Nil Nil (48,747,370) (10,498,319) (12,520,862) (3,796,170) of the subsidiary since it becomes Subsidiary 5 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU FGCNVYKVJ in HCDL A/c a) For the Financial Year of the 190,293 (123,936) Nil Nil Nil Nil Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN[GCTU (1,189,110) (14,687,019) Nil Nil Nil Nil of the subsidiary since it becomes Subsidiary 6 Changes in the interest of HCDL in Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable the subsidiary company between the end of the Financial Year of the subsidiary Company and 31 st March 2010 7 Material Changes between end of the Financial Year of the subsidiary Company and 31 st March 2010 a) Fixed Asset Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable D +PXGUVOGPV Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable c) Monies Lent By Subsidiary Co. Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable d) Monies Borrowed by Subsidiary Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable for any purpose other than that of meeting Current Liability 1 Company under liquidation refer note no. B(24) of Schedule N of Financial Statements. Hence details given as per last audited accounts as on 31st Mar 2009 2 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2009 3 held through subsidiary Hathway Bhaskar Multinet Private Limited 4 held through subsidiary Gujarat Telelink Private Limited 5 partly held directly by Hathway and partly through its subsidiary Hathway Media Vision Private Limited. 6 held through subsidiary Hathway MCN Private Limited 7 subsidiary based on our Company’s right to appoint majority of directors on the board of Company. 8 held through subsidiary Hathway Bhawani Cabletel & Datacom Pvt. Ltd. 9 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2010
14 Annual Report 2010-11
STATEMENT PURSUANT TO SECTION 212 OF THE COMPANIES ACT, 1956 RELATING TO SUBSIDIARY COMPANIES
Sr. PARTICULARS Hathway Hathway Hathway Enjoy Hathway JMD Hathway Jai Hathway Latur No. Gwalior Digital Cable Network Farukhabad Mata MCN Cable & Sahranpur Pvt. Ltd. Cable Di Sherawali Cable & Datacom Cable and & Datacom Cable Datacom Pvt. Ltd. Datacom Pvt. Ltd. & Datacom Pvt. Ltd. Pvt. Ltd. Pvt. Ltd. Note 1 , 7 & 9 fka: Hathway fka-Chandigarh fka: Hathway +PHQPGV Convergence +PHQOGFKC Cable & Consortium Cable & Datacom Private Limited Datacom Pvt Ltd 1 +PHQTOCVKQP(WTKPKUJGFHQTVJG Financial Year Ended 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-10 31-Mar-11 2 Date from which it becomes 01.05.2007 01.03.2008 07.06.2007 01.05.2007 24.08.2006 15.01.2008 subsidiary 3 Shares of the subsidiary held by the holding company i.e. Hathway Cable & Datacom Ltd. and its subsidiaries (HCDL) on 31st March 2010 a) Number of Shares held 10,000 10,000 10,000 10,000 800,000 51,000 b] Fully paid Shares Each of the face 10 10 10 10 10 10 value of Rs. c) Extent of Effective Holding 100.000% 51.000% 100.000% 100.000% 50.000% 51.000% 4 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU PQVFGCNV with in HCDL A/c a) For the Financial Year of the (21,368) (556,372) (8,156) Nil Nil (2,497,482) Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN[GCTU (2,955,822) (8,410,755) (956,900) Nil Nil (785,356) of the subsidiary since it becomes Subsidiary 5 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU FGCNVYKVJ in HCDL A/c a) For the Financial Year of the Nil Nil Nil Nil (21,382,887) Nil Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN[GCTU Nil Nil Nil Nil 479,821 Nil of the subsidiary since it becomes Subsidiary 6 Changes in the interest of HCDL in Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable the subsidiary company between the end of the Financial Year of the subsidiary Company and 31 st March 2010 7 Material Changes between end of the Financial Year of the subsidiary Company and 31 st March 2010 a) Fixed Asset Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable D +PXGUVOGPV Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable c) Monies Lent By Subsidiary Co. Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable d) Monies Borrowed by Subsidiary Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable for any purpose other than that of meeting Current Liability 1 Company under liquidation refer note no. B(24) of Schedule N of Financial Statements. Hence details given as per last audited accounts as on 31st Mar 2009 2 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2009 3 held through subsidiary Hathway Bhaskar Multinet Private Limited 4 held through subsidiary Gujarat Telelink Private Limited 5 partly held directly by Hathway and partly through its subsidiary Hathway Media Vision Private Limited. 6 held through subsidiary Hathway MCN Private Limited 7 subsidiary based on our Company’s right to appoint majority of directors on the board of Company. 8 held through subsidiary Hathway Bhawani Cabletel & Datacom Pvt. Ltd. 9 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2010 15 Hathway Cable & Datacom Limited
STATEMENT PURSUANT TO SECTION 212 OF THE COMPANIES ACT, 1956 RELATING TO SUBSIDIARY COMPANIES
Sr. PARTICULARS Hathway MCN Hathway Hathway ICE Hathway Hathway Net 9 Online No. Pvt. Ltd. Sonali OM Television Pvt Bhaskar Rajesh Broadband Crystal Cable Ltd Multinet Multichannel Pvt Ltd Pvt Ltd Pvt. Ltd. Pvt. Ltd. Note 7 (fka : Marathwada Cable Network Pvt Ltd) 1 +PHQTOCVKQP(WTKPKUJGFHQTVJG Financial Year Ended 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 2 Date from which it becomes 01.06.2007 01.01.2008 15.10.2007 31.12.2007 01.10.2007 01.03.2008 subsidiary 3 Shares of the subsidiary held by the holding company i.e. Hathway Cable & Datacom Ltd. and its subsidiaries (HCDL) on 31st March 2010 a) Number of Shares held 510,000 51,000 102,000 598,944 122,354 5,000 b] Fully paid Shares Each of the 10 10 10 10 10 10 face value of Rs. c) Extent of Effective Holding 51.000% 51.000% 51.000% 51.000% 51.000% 50.000% 4 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU PQVFGCNV with in HCDL A/c a) For the Financial Year of the 453,437 7,231,453 (1,624,776) (9,013,671) (1,080,204) 517,185 Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN[GCTU 1,921,202 800,230,819 2,078,104 (5,321,717) 2,129,873 137,398 of the subsidiary since it becomes Subsidiary 5 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU FGCNVYKVJ in HCDL A/c a) For the Financial Year of the Nil Nil Nil Nil Nil Nil Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN[GCTU Nil Nil Nil Nil Nil Nil of the subsidiary since it becomes Subsidiary 6 Changes in the interest of HCDL in Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable the subsidiary company between the end of the Financial Year of the subsidiary Company and 31 st March 2010 7 Material Changes between end of the Financial Year of the subsidiary Company and 31 st March 2010 a) Fixed Asset Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable D +PXGUVOGPV Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable c) Monies Lent By Subsidiary Co. Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable d) Monies Borrowed by Subsidiary Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable for any purpose other than that of meeting Current Liability 1 Company under liquidation refer note no. B(24) of Schedule N of Financial Statements. Hence details given as per last audited accounts as on 31st Mar 2009 2 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2009 3 held through subsidiary Hathway Bhaskar Multinet Private Limited 4 held through subsidiary Gujarat Telelink Private Limited 5 partly held directly by Hathway and partly through its subsidiary Hathway Media Vision Private Limited. 6 held through subsidiary Hathway MCN Private Limited 7 subsidiary based on our Company’s right to appoint majority of directors on the board of Company. 8 held through subsidiary Hathway Bhawani Cabletel & Datacom Pvt. Ltd. 9 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2010
16 Annual Report 2010-11
STATEMENT PURSUANT TO SECTION 212 OF THE COMPANIES ACT, 1956 RELATING TO SUBSIDIARY COMPANIES
Sr. PARTICULARS Gujarat Hathway New Hathway Sai Hathway Cable Hathway Hathway No. Telelink Concept Star MCN Nanded Palampur Mantra Pvt. Ltd. Cable & Cable & Pvt. Ltd. Cable Network Cable Network Datacom Datacom Pvt. Ltd. Pvt. Ltd. Pvt. Ltd. Pvt. Ltd. Note 6 1 +PHQTOCVKQP(WTKPKUJGFHQTVJG Financial Year Ended 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 2 Date from which it becomes 12.10.2007 1-Sep-08 1-Sep-08 17-Jun-08 1-Apr-08 30-Aug-07 subsidiary 3 Shares of the subsidiary held by the holding company i.e. Hathway Cable & Datacom Ltd. and its subsidiaries (HCDL) on 31st March 2010 a) Number of Shares held 705,000 25,500 68,850 900,150 15,300 9,800 b] Fully paid Shares Each of the 10 10 10 10 10 10 face value of Rs. c) Extent of Effective Holding 50.0000% 51.000% 51.000% 39.670% 51.000% 98.0000% 4 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU PQVFGCNV with in HCDL A/c a) For the Financial Year of the 99,272,318 (7,335,112) 5,190,223 (1,472,985) (48,426) Nil Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN 198,674,917 (8,970,226) 5,360,895 (464,326) (915,185) Nil years of the subsidiary since it becomes Subsidiary 5 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU FGCNVYKVJ in HCDL A/c a) For the Financial Year of the Nil Nil Nil Nil Nil Nil Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN Nil Nil Nil Nil Nil Nil years of the subsidiary since it becomes Subsidiary 6 Changes in the interest of HCDL in Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable the subsidiary company between the end of the Financial Year of the subsidiary Company and 31 st March 2010 7 Material Changes between end of the Financial Year of the subsidiary Company and 31 st March 2010 a) Fixed Asset Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable D +PXGUVOGPV Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable c) Monies Lent By Subsidiary Co. Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable d) Monies Borrowed by Subsidiary Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable for any purpose other than that of meeting Current Liability 1 Company under liquidation refer note no. B(24) of Schedule N of Financial Statements. Hence details given as per last audited accounts as on 31st Mar 2009 2 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2009 3 held through subsidiary Hathway Bhaskar Multinet Private Limited 4 held through subsidiary Gujarat Telelink Private Limited 5 partly held directly by Hathway and partly through its subsidiary Hathway Media Vision Private Limited. 6 held through subsidiary Hathway MCN Private Limited 7 subsidiary based on our Company’s right to appoint majority of directors on the board of Company. 8 held through subsidiary Hathway Bhawani Cabletel & Datacom Pvt. Ltd. 9 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2010
17 Hathway Cable & Datacom Limited
STATEMENT PURSUANT TO SECTION 212 OF THE COMPANIES ACT, 1956 RELATING TO SUBSIDIARY COMPANIES
Sr. PARTICULARS Hathway Hathway Hathway CCN Hathway Hathway No. Dattatray Bhaskar Bhaskar Entertainment Bhawani Bhawani Cable Network CBN Multinet CCN Multinet (India) Pvt. Cabletel & NDS Network Pvt. Ltd. Pvt. Ltd. Pvt. Ltd. Ltd. Datacom Pvt. Ltd. Pvt. Ltd. Note 33358 (f.k.a. Hathway Bhaskar Pagaria Multinet Pvt. Ltd.) 1 +PHQTOCVKQP(WTKPKUJGFHQTVJG Financial Year Ended 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 2 Date from which it becomes 13-May-09 1-Jul-08 1-Jul-08 1-Jul-08 31-Aug-09 13-Oct-10 subsidiary 3 Shares of the subsidiary held by the holding company i.e. Hathway Cable & Datacom Ltd. and its subsidiaries (HCDL) on 31st March 2010 a) Number of Shares held 20,400 25,500 242,250 255,000 4,080,000 8,063 b] Fully paid Shares Each of the 10 10 10 10 10 500 face value of Rs. c) Extent of Effective Holding 51.0000% 26.010% 26.010% 26.010% 51.000% 26.010% 4 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU PQVFGCNV with in HCDL A/c a) For the Financial Year of the (5,120,346) 1,587,662 1,677,437 208,108 2,045,669 (90,304) Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN (2,417,585) 91,462 (3,148,349) (92,329) 440,619 Nil years of the subsidiary since it becomes Subsidiary 5 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU FGCNVYKVJ in HCDL A/c a) For the Financial Year of the Nil Nil Nil Nil Nil Nil Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN Nil Nil Nil Nil Nil Nil years of the subsidiary since it becomes Subsidiary 6 Changes in the interest of HCDL in Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable the subsidiary company between the end of the Financial Year of the subsidiary Company and 31 st March 2010 7 Material Changes between end of the Financial Year of the subsidiary Company and 31 st March 2010 a) Fixed Asset Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable D +PXGUVOGPV Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable c) Monies Lent By Subsidiary Co. Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable d) Monies Borrowed by Subsidiary Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable for any purpose other than that of meeting Current Liability 1 Company under liquidation refer note no. B(24) of Schedule N of Financial Statements. Hence details given as per last audited accounts as on 31st Mar 2009 2 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2009 3 held through subsidiary Hathway Bhaskar Multinet Private Limited 4 held through subsidiary Gujarat Telelink Private Limited 5 partly held directly by Hathway and partly through its subsidiary Hathway Media Vision Private Limited. 6 held through subsidiary Hathway MCN Private Limited 7 subsidiary based on our Company’s right to appoint majority of directors on the board of Company. 8 held through subsidiary Hathway Bhawani Cabletel & Datacom Pvt. Ltd. 9 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2010
18 Annual Report 2010-11
STATEMENT PURSUANT TO SECTION 212 OF THE COMPANIES ACT, 1956 RELATING TO SUBSIDIARY COMPANIES
Sr. PARTICULARS Hathway GTPL ANJALI GTPL GTPL ZIGMA GTPL SK GTPL VIDEO No. Kokan Crystal CABLE SOLANKI VISION PVT. NETWORK BADSHAH Network NETWORK CABLE LTD PVT. LTD PVT. LTD Private PVT. LTD NETWORK Limtied PVT. LTD Note 44444 1 +PHQTOCVKQP(WTKPKUJGFHQTVJG Financial Year Ended 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 2 Date from which it becomes 1-Nov-11 03.02.2009 02.07.2008 20.02.2009 01.12.2008 04.08.2008 subsidiary 3 Shares of the subsidiary held by the holding company i.e. Hathway Cable & Datacom Ltd. and its subsidiaries (HCDL) on 31st March 2010 a) Number of Shares held 27,990 10,410 33,150 24,514 10,200 5,100 b] Fully paid Shares Each of the 10 10 10 10 10 10 face value of Rs. c) Extent of Effective Holding 51.000% 25.50% 25.50% 35.30% 25.50% 25.50% 4 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU PQVFGCNV with in HCDL A/c a) For the Financial Year of the (261,522) 1,110,219 569,728 36,670 299,556 1,867,584 Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN Nil (422,730) 470,238 201,593 792,004 2,621,823 years of the subsidiary since it becomes Subsidiary 5 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU FGCNVYKVJ in HCDL A/c a) For the Financial Year of the Nil Nil Nil Nil Nil Nil Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN Nil Nil Nil Nil Nil Nil years of the subsidiary since it becomes Subsidiary 6 Changes in the interest of HCDL in Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable the subsidiary company between the end of the Financial Year of the subsidiary Company and 31 st March 2010 7 Material Changes between end of the Financial Year of the subsidiary Company and 31 st March 2010 a) Fixed Asset Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable D +PXGUVOGPV Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable c) Monies Lent By Subsidiary Co. Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable d) Monies Borrowed by Subsidiary Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable for any purpose other than that of meeting Current Liability 1 Company under liquidation refer note no. B(24) of Schedule N of Financial Statements. Hence details given as per last audited accounts as on 31st Mar 2009 2 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2009 3 held through subsidiary Hathway Bhaskar Multinet Private Limited 4 held through subsidiary Gujarat Telelink Private Limited 5 partly held directly by Hathway and partly through its subsidiary Hathway Media Vision Private Limited. 6 held through subsidiary Hathway MCN Private Limited 7 subsidiary based on our Company’s right to appoint majority of directors on the board of Company. 8 held through subsidiary Hathway Bhawani Cabletel & Datacom Pvt. Ltd. 9 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2010
19 Hathway Cable & Datacom Limited
STATEMENT PURSUANT TO SECTION 212 OF THE COMPANIES ACT, 1956 RELATING TO SUBSIDIARY COMPANIES
Sr. PARTICULARS GTPL KUTCH GTPL CITY GTPLSMC GTPL SURAT GTPL VISION GTPL JAY No. NETWORK CHANNEL PVT NETWORK TELELINK SERVICES MATAJI PVT LTD LTD PVT LTD PVT. LTD PVT LTD NETWORK (Formerly PVT. LTD INVISION SERVICES PVT LTD) Note 444444 1 +PHQTOCVKQP(WTKPKUJGFHQTVJG Financial Year Ended 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 2 Date from which it becomes 23.01.2009 31.07.2008 22.01.2009 23.01.2009 01.10.2009 01.08.2009 subsidiary 3 Shares of the subsidiary held by the holding company i.e. Hathway Cable & Datacom Ltd. and its subsidiaries (HCDL) on 31st March 2010 a) Number of Shares held 5,100 5,100 5,100 5,100 129,592 10,000 b] Fully paid Shares Each of the 10 10 10 10 10 10 face value of Rs. c) Extent of Effective Holding 25.50% 25.50% 25.50% 25.50% 31.75% 25.00% 4 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU PQVFGCNV with in HCDL A/c a) For the Financial Year of the 129,130 (4,287) 241,376 823,210 4,847,238 2,198,227 Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN 66,768 (35,683) 521,769 1,910,707 6,194,733 7,640 years of the subsidiary since it becomes Subsidiary 5 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU FGCNVYKVJ in HCDL A/c a) For the Financial Year of the Nil Nil Nil Nil Nil Nil Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN Nil Nil Nil Nil Nil Nil years of the subsidiary since it becomes Subsidiary 6 Changes in the interest of HCDL in Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable the subsidiary company between the end of the Financial Year of the subsidiary Company and 31 st March 2010 7 Material Changes between end of the Financial Year of the subsidiary Company and 31 st March 2010 a) Fixed Asset Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable D +PXGUVOGPV Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable c) Monies Lent By Subsidiary Co. Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable d) Monies Borrowed by Subsidiary Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable for any purpose other than that of meeting Current Liability 1 Company under liquidation refer note no. B(24) of Schedule N of Financial Statements. Hence details given as per last audited accounts as on 31st Mar 2009 2 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2009 3 held through subsidiary Hathway Bhaskar Multinet Private Limited 4 held through subsidiary Gujarat Telelink Private Limited 5 partly held directly by Hathway and partly through its subsidiary Hathway Media Vision Private Limited. 6 held through subsidiary Hathway MCN Private Limited 7 subsidiary based on our Company’s right to appoint majority of directors on the board of Company. 8 held through subsidiary Hathway Bhawani Cabletel & Datacom Pvt. Ltd. 9 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2010
20 Annual Report 2010-11
STATEMENT PURSUANT TO SECTION 212 OF THE COMPANIES ACT, 1956 RELATING TO SUBSIDIARY COMPANIES
Sr. PARTICULARS GTPL SPACE GTPL LINK GTPL VVC GTPL PARSHWA CABLE INSIGHT GTPL No. CITY PVT LTD NETWORK PVT NETWORK PVT NETWORK PVT LTD CHANNEL NET VIDARBHA LTD LTD (Formerly PARSHWA WORK PVT. LTD TELE LINK PVT. CABLE NETWORK PVT LTD LTD) Note 444444 1 +PHQTOCVKQP(WTKPKUJGFHQTVJG Financial Year Ended 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 2 Date from which it becomes 13.04.2009 15.04.2009 15.04.2009 01.10.2009 01.01.2010 01.09.2009 subsidiary 3 Shares of the subsidiary held by the holding company i.e. Hathway Cable & Datacom Ltd. and its subsidiaries (HCDL) on 31st March 2010 a) Number of Shares held 10,200 102,000 102,000 5,732 30,000 10,500 b] Fully paid Shares Each of the 10 10 10 10 10 10 face value of Rs. c) Extent of Effective Holding 25.50% 25.50% 25.50% 28.66% 37.23% 25.61% 4 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU PQV dealt with in HCDL A/c a) For the Financial Year of the 729,173 2,086,560 233,020 893,559 502,268 (6,493,863) Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN (763,269) (2,773,626) (1,034,555) 457,816 137,061 (6,182,728) years of the subsidiary since it becomes Subsidiary 5 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU FGCNV with in HCDL A/c a) For the Financial Year of the Nil Nil Nil Nil Nil Nil Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN Nil Nil Nil Nil Nil Nil years of the subsidiary since it becomes Subsidiary 6 Changes in the interest of HCDL Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable in the subsidiary company between the end of the Financial Year of the subsidiary Company and 31 st March 2010 7 Material Changes between end of the Financial Year of the subsidiary Company and 31 st March 2010 a) Fixed Asset Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable D +PXGUVOGPV Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable c) Monies Lent By Subsidiary Co. Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable d) Monies Borrowed by Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Subsidiary for any purpose other than that of meeting Current Liability
1 Company under liquidation refer note no. B(24) of Schedule N of Financial Statements. Hence details given as per last audited accounts as on 31st Mar 2009 2 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2009 3 held through subsidiary Hathway Bhaskar Multinet Private Limited 4 held through subsidiary Gujarat Telelink Private Limited 5 partly held directly by Hathway and partly through its subsidiary Hathway Media Vision Private Limited. 6 held through subsidiary Hathway MCN Private Limited 7 subsidiary based on our Company’s right to appoint majority of directors on the board of Company. 8 held through subsidiary Hathway Bhawani Cabletel & Datacom Pvt. Ltd. 9 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2010
21 Hathway Cable & Datacom Limited
STATEMENT PURSUANT TO SECTION 212 OF THE COMPANIES ACT, 1956 RELATING TO SUBSIDIARY COMPANIES Sr. PARTICULARS NARMADA GTPL BLUE BELL GTPL SHIV SHAKTI Kolkata Cable & GTPL Dahod No. CYBERZONE PVT NETWORK PVT. LTD NETWORK PVT. LTD Broadband Pariseva Television Network LTD Limited Private Limited Note 44444 1 +PHQTOCVKQP(WTKPKUJGFHQTVJG Financial Year Ended 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 2 Date from which it becomes 01.10.2009 01.10.2009 01.04.2009 30.06.2010 01.08.2010 subsidiary 3 Shares of the subsidiary held by the holding company i.e. Hathway Cable & Datacom Ltd. and its subsidiaries (HCDL) on 31st March 2010 a) Number of Shares held 679,870 9,200 5,100 290,700 10,200 b] Fully paid Shares Each of the 10 10 10 100 10 face value of Rs. c) Extent of Effective Holding 30.00% 46.00% 25.50% 25.50% 25.50% 4 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU PQV dealt with in HCDL A/c a) For the Financial Year of the 760,288 (2,889,084) (7,080) (1,550,775) (7,179) Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN (105,938) (1,444) (2,815) 0+. 0+. years of the subsidiary since it becomes Subsidiary 5 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU FGCNV with in HCDL A/c a) For the Financial Year of the Nil Nil Nil Nil Nil Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN Nil Nil Nil Nil Nil years of the subsidiary since it becomes Subsidiary 6 Changes in the interest of HCDL Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable in the subsidiary company between the end of the Financial Year of the subsidiary Company and 31 st March 2010 7 Material Changes between end of the Financial Year of the subsidiary Company and 31 st March 2010 a) Fixed Asset Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable D +PXGUVOGPV Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable c) Monies Lent By Subsidiary Co. Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable d) Monies Borrowed by Not Applicable Not Applicable Not Applicable Not Applicable Not Applicable Subsidiary for any purpose other than that of meeting Current Liability 1 Company under liquidation refer note no. B(24) of Schedule N of Financial Statements. Hence details given as per last audited accounts as on 31st Mar 2009 2 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2009 3 held through subsidiary Hathway Bhaskar Multinet Private Limited 4 held through subsidiary Gujarat Telelink Private Limited 5 partly held directly by Hathway and partly through its subsidiary Hathway Media Vision Private Limited. 6 held through subsidiary Hathway MCN Private Limited 7 subsidiary based on our Company’s right to appoint majority of directors on the board of Company. 8 held through subsidiary Hathway Bhawani Cabletel & Datacom Pvt. Ltd. 9 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2010
22 Annual Report 2010-11
STATEMENT PURSUANT TO SECTION 212 OF THE COMPANIES ACT, 1956 RELATING TO SUBSIDIARY COMPANIES
Sr. PARTICULARS GTPL Sorath Telelink GTPL Shiv Network Private GTPL Jay Shantoshima Gujarat Telelink East Africa No. Private Limited Limited Network Private Limited Limited
Note 4444 1 +PHQTOCVKQP(WTKPKUJGFHQTVJG Financial Year Ended 31-Mar-11 31-Mar-11 31-Mar-11 31-Mar-11 2 Date from which it becomes 01.04.2010 1.10.2010 31.3.2011 01.06.2010 subsidiary 3 Shares of the subsidiary held by the holding company i.e. Hathway Cable & Datacom Ltd. and its subsidiaries (HCDL) on 31st March 2010 a) Number of Shares held 51,000 10,200 51,000 510 b] Fully paid Shares Each of the 10 10 10 55.565 face value of Rs. c) Extent of Effective Holding 25.50% 25.50% 25.50% 25.50% 4 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU PQV dealt with in HCDL A/c a) For the Financial Year of the (337,667) 112,211 (3,773) (4,316) Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN 0+. 0+. 0+. 0+. years of the subsidiary since it becomes Subsidiary 5 Net Aggregate amount of the UWDUKFKCT[BU2TQſV .QUU FGCNV with in HCDL A/c a) For the Financial Year of the Nil Nil Nil Nil Subsidiary aforesaid D (QTVJG2TGXKQWUſPCPEKCN Nil Nil Nil Nil years of the subsidiary since it becomes Subsidiary 6 Changes in the interest of HCDL Not Applicable Not Applicable Not Applicable Not Applicable in the subsidiary company between the end of the Financial Year of the subsidiary Company and 31 st March 2010 7 Material Changes between end of the Financial Year of the subsidiary Company and 31 st March 2010 a) Fixed Asset Not Applicable Not Applicable Not Applicable Not Applicable D +PXGUVOGPV Not Applicable Not Applicable Not Applicable Not Applicable c) Monies Lent By Subsidiary Not Applicable Not Applicable Not Applicable Not Applicable Co. d) Monies Borrowed by Not Applicable Not Applicable Not Applicable Not Applicable Subsidiary for any purpose other than that of meeting Current Liability 1 Company under liquidation refer note no. B(24) of Schedule N of Financial Statements. Hence details given as per last audited accounts as on 31st Mar 2009 2 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2009 3 held through subsidiary Hathway Bhaskar Multinet Private Limited 4 held through subsidiary Gujarat Telelink Private Limited 5 partly held directly by Hathway and partly through its subsidiary Hathway Media Vision Private Limited. 6 held through subsidiary Hathway MCN Private Limited 7 subsidiary based on our Company’s right to appoint majority of directors on the board of Company. 8 held through subsidiary Hathway Bhawani Cabletel & Datacom Pvt. Ltd. 9 Since the annual accounts for F.Y. 2010-11 are un audited. Hence details given as per last audited accounts as on 31st Mar 2010
23 Hathway Cable & Datacom Limited MANAGEMENT DISCUSSION AND ANALYSIS MANAGEMENT DISCUSSION AND ANALYSIS Ŗ .CTIGst broadband enabled network 1.4 million homes INDUSTRY OVERVIEW Our cable network presence is across the top 140 cities and towns. Our Broadband services are available in the top 21 cities. Cable Television forms the backbone of Television Distribution This national footprint is the most dominant across the industry. KP+PFKC+VKUYGNNRGPGVTCVGFRCTVKEWNCTN[KPWTDCPTGIKQPU#UC consequence, it has established itself as a robust mass medium The Company is supported by 71 Analogue and 19 Digital Head- for entertainment and information and is available to more than ends and more than approximately 15,000 kilometers of HFC OKNNKQPEQPUWOGTJQWUGJQNFUCETQUU+PFKC6JKUCOQWPVUVQ network. Approximately 90% of subscribers are in our networks by almost 64 per cent of television-owning homes in the country. As our addressable platforms. UWEJ%CDNG68TGOCKPUVJGOQUVRTQNKſEOGCPUQHFKUVTKDWVKPI television content in the country. This universe is expected to We have earned several accolades: grow to over 100 million subscribers by FY 2014 and will remain Ŗ ő$GUVECDNGQRGTCVQTQHVJG[GCTŒD[VJG+PFKCP6GNN[#YCTFU VJGNCTIGUVFKUVTKDWVKQPRNCVHQTOTGNCVKXGVQ&6*CPF+268 seven times. Since the current medium of cable distribution is largely Ŗ 0WODGTKP3Q5HQT$TQCFDCPF5GTXKEGUKP/WODCKŌ64#+ analogue in nature, which is un – addressable, this leads to 3Q5 %WUVQOGT 5CVKUHCEVKQP 5WTXG[ 4GRQTV Ō leakage of revenue through the value chain. Digitization/ Mumbai Circle. addressability is the solution to this. On digitization, the opportunity in cable distribution revenue is expected to be Rs. BUSINESS STRATEGY 30,000 Crore annually. Our business strategy is to mine our Universe effectively. We %CDNG 68 KU GZRGEVGF VQ TGCR VJG DGPGſVU QH OCPFCVQT[ are focusing all our attention/ resources and management FKIKVK\CVKQP6JG6GNGEQO4GIWNCVQT[#WVJQTKV[QH+PFKC 64#+ capabilities preparatory to mandatory digitization. has recently recommended a four phase digitization for the KPFWUVT[ +V CPVKEKRCVGU FKIKVK\CVKQP VQ EQOOGPEG HTQO st Steps being taken are as follows: /CTEJ 2JCUG+ EQXGTKPI(QWTOGVTQUQH&GNJK/WODCK Ŗ +PXGUVKPIKPDCEMGPFKPHTCUVTWEVWTG Kolkata and Chennai) and thereafter covering the entire nation by 31st December 2014. There remain steps prior to achieving Ŗ 9QTMKPIYKVJXGPFQTUVQRTQXKFGQWTEWUVQOGTUVJGDGUVWUGT this scheduled roll-out. Most important being amendments to experience. the Cable Television Networks Regulation Act, 1995 which will Ŗ %NQUKPIQWVGPJCPEGFXGPFQTETGFKVNKOKVU DGVJTQWIJNGIKUNCVKXGCRRTQXCNU+VKUGZRGEVGFVJCVOCPFCVQT[ digitization of Cable TV networks will have far reaching Ŗ 'FWECVKPIVJGNQECNECDNGQRGTCVQTUCPFEWUVQOGTU EQPUGSWGPEGU HQT VJG GPVKTG OGFKC KPFWUVT[ +V YKNN DG OQUV important to improve the economics of Cable TV companies Ŗ +PXGUVKPIKPXCNWGCFFGFUGTXKEGU CPF DTQCFECUVGTU +V YKNN CNUQ UKIPKſECPVN[ GPJCPEG EWUVQOGT Ŗ +ORTQXKPI QWT HTQPV GPF KPHTCUVTWEVWTG Ō EWUVQOGT VQWEJ experience empowering him to pick and choose the content he/ points she chooses to watch. DTH platforms of which there are six in the fray have, resorted to predatory pricing to acquire market Ŗ %JCPIKPIVJGQTICPK\CVKQPGVJQUVQDGOQTGTGVCKNHQEWUGF share. These companies continue to bleed extensively. Cable Ŗ 'PJCPEKPIOCTMGVKPICPFUCNGUECRCDKNKVKGU TV enjoys several advantages over DTH such as Bundling with broadband services, lower Subscriber Acquisition Costs (SAC), We anticipate that market forces will drive cable TV players JKIJGTEJCPPGNECTT[KPIECRCEKV[+PVGTCEVKXKV[CPFDGVVGTSWCNKV[ towards subsidization of STB’s. The company already sources KPCNNYGCVJGTEQPFKVKQPU+PHCEVKPOCTMGVUYJGTGDQVJECDNG STB’s on highly competitive commercial terms that include TV and DTH compete the former retains a lion’s share of Pay CVVTCEVKXG ſPCPEKPI QH VJG UCOG PCOGN[ XGPFQT ETGFKV 9KVJ TV customers. increased volumes we feel these commercial terms could Broadband Services Ō 6JG 64#+ JCU CPPQWPEGF C 0CVKQPCN be further enhanced. We are well positioned to support the Broadband Plan (2010) with a target to reach 160 million of Government’s policy for Mandatory Cable Digitization. +PFKCŏUOKNNKQPJQWUGJQNFUD[GPF6JKURNCPGPXKUCIGU Pending mandatory digitization the focus is to invest in digitizing the use of several alternate technologies which includes Fiber- our customer base through “voluntary digitalisation”. VQVJG*QOG (66* CPF(KDGTVQVJG%WTD (66% *[DTKFſDGT coaxial infrastructure plays a key role in the implementation of 6JGDGPGſVUQHXQNWPVCT[FKIKVCNKUCVKQPCTGCUHQNNQYU last mile roll out. The infrastructure deployed by the cable TV Ŗ +VOCMGUWUTGCF[HQTVJGOCPFCVQT[GPXKTQPOGPVCPFJGNRU industry is therefore likely to play a key role in the success of the National Broadband Plan. us iron out any glitches BUSINESS OVERVIEW Ŗ +VKPETGCUGUVJGEWUVQOGTEQPPGEV We are a world class cable television services / broadband service Ŗ 'PCDNGUWUVQEJCTIGJKIJGT#427ŏU RTQXKFGTKP+PFKC9GCNQPIYKVJQWTUWDUKFKCTKGUCPFCUUQEKCVGU Ŗ )KXGU VJG EWUVQOGT C UWRGTKQT GZRGTKGPEG 2TGXGPVU EJWTP serve a customer universe of nearly 8.4 million subscribers. We within the cable industry and to alternative technologies. serve this universe directly and indirectly (through local cable operators). BROADBAND BUSINESS Some of our market leading statistics are listed below: 9GJCXGKPXGUVGFUKIPKſECPVN[KPVJKUDWUKPGUUKPVJGNCUVEQWRNG of years in the back end and front end to give the customer a Ŗ .CTIGUV PWODGT QH ECDNG FKIKVCN UWDUETKDGTU OQTG VJCP superior experience. We have also strengthened our management million team. We have already rolled out high bandwidth (2 Mbps and Ŗ .CTIGUVFKTGEVRQKPVUCRRTQZKOCVKPIVQ 5 Mbps) products at market leading rates. We believe that wire line distribution of broadband shall be the preferred medium of Ŗ .CTIGUVECDNGDTQCFDCPFUWDUETKDGTDCUGQHŌ distribution for higher bandwidth requirement. market share
24 Annual Report 2010-11
Mobile broadband which is being addressed by wireless is being alternatives to our cable television services and effectively countered by us with Wi-Fi. Our strategy will be to Competition Our cable television services business faces increase penetration of our services in the 1.4 million homes competition from national cable television service providers (Subscribers 3,75,329) already passed by us. Going forward as well as providers of television services through alternative however it is our intention to grow the numbers of homes passed VGEJPQNQI[RNCVHQTOUUWEJCU&6*UCVGNNKVGVGNGXKUKQPCPF+268 progressively in our universe. 1WT MG[ EQORGVKVKQP HQT DTQCFDCPF +PVGTPGV CEEGUU UGTXKEG KU REGULATION ADSL technology, provided by companies such as BSNL/MTNL, Airtel, Tata Communication and Reliance. Our business is subject to regulation by the Telecom Regulatory #WVJQTKV[ QH +PFKC ő64#+Œ VJG /KPKUVT[ QH +PHQTOCVKQP CPF INTEREST RATE RISK $TQCFECUVKPI ő/+$Œ CPF &GRCTVOGPV QH 6GNGEQOOWPKECVKQP As at March 31, 2011, all of our outstanding indebtedness, Rs. (“DOT”). OKNNKQPYCUUWDLGEVVQƀQCVKPIKPVGTGUVTCVGU#UCTGUWNVQWT PERFORMANCE REVIEW TGUWNVUQHQRGTCVKQPUOC[DGOCVGTKCNN[CHHGEVGFD[ƀWEVWCVKQPUKP interest rates. We have not entered into any hedging transactions Standalone Operating Revenue for the company for the year with respect to interest rates. ended 31st March 2011 stood at 473 crores which represents a ITQYVJQHQXGTVJGRTGXKQWU[GCT'$+6&#ITGYHTQO4U HUMAN RESOURCES Crore to Rs. 111.9 Crore (+50%). PAT for the year stood at a loss An Orientation has been given to the personnel policy with of Rs. 40 crore which compares with a loss of Rs. 83 Crore in the emphasis on performance. The Company believes that a previous year. motivated and empowered employee base is essential in RISKS AND CONCERNS maintaining its competitive advantage. Thus the management is dedicated to the development of the expertise and knowhow of MARKET RISK its employees and initiatives are taken to ascertain their levels of 9GFGTKXGCUKIPKſECPVRQTVKQPQHQWTUWDUETKRVKQPTGXGPWGHTQO satisfaction. ECTTKCIGCPFRNCEGOGPVHGGU+PVJGGXGPVQHCP[FGENKPGKPVJG CAUTIONARY STATEMENT ITQYVJQHVJGDTQCFECUVKPIDWUKPGUUKP+PFKCQTKHPGYEJCPPGNU are not introduced, our revenues may decrease. Further, revenues Statements in Management Discussion and Analysis describing from placement fees depend upon the availability of frequencies. the Company’s objectives, projections, estimates and expectation +H VJG HTGSWGPEKGU TGSWGUVGF D[ C DTQCFECUVGT JCXG CNTGCF[ may be “forward looking” within the meaning of applicable laws been provided to another, we may not be able to provide such and regulations. Actual results might differ materially from those broadcaster with the same frequency, thereby adversely affecting expressed or implied. our business and results of operations. Our relationships with existing LCOs To maintain our secondary subscriber based, it is critical to maintain a healthy relationship with our LCOs in order to avoid such LCOs from considering
25 Hathway Cable & Datacom Limited REPORT ON CORPORATE GOVERNANCE 1. Company’s Philosophy on Corporate Governance Corporate Governance is a synonym for sound management, transparency and disclosure, encompassing good corporate practices, procedures, standards and implicit rules which propel a Company to take sound decisions, thus maximizing long-term shareholders’ XCNWG%QTRQTCVG)QXGTPCPEGKUDG[QPFVJGTGCNOQHNCY+VUVGOUHTQOVJGOCPCIGOGPVŏUOKPFUGVCPFECPPQVDGTGIWNCVGFD[ legislation alone. 6JG%QORCP[EQPVKPWGUVQHQEWUQPIQQF%QTRQTCVG)QXGTPCPEGKPNKPGYKVJNQECNCPFINQDCNUVCPFCTFU+VURTKOCT[QDLGEVKXGKUVQ ETGCVGCPFCFJGTGVQCEQTRQTCVGEWNVWTGQHEQPUEKGPEGCPFEQPUEKQWUPGUUKPVGITKV[VTCPURCTGPE[CPFCEEQWPVCDKNKV[HQTGHſEKGPVCPF ethical conduct of business for meeting its obligations towards shareholders and other stakeholders. %QTRQTCVG)QXGTPCPEGKUCPKPVGITCNRCTVQHVJGRJKNQUQRJ[QHVJG%QORCP[KPKVURWTUWKVQHGZEGNNGPEGITQYVJCPFXCNWGETGCVKQP+P addition to complying with the statutory requirements, effective governance systems and practices towards improving transparency, disclosures, internal controls and promotion of ethics at work place have been institutionalized. The Company recognizes that good governance is a continuing exercise and reiterates its commitment to pursue highest standards of Corporate Governance in the overall interest of all its stakeholders. +P CEEQTFCPEG YKVJ %NCWUG QH VJG .KUVKPI #ITGGOGPV YKVJ VJG 5VQEM 'ZEJCPIGU KP +PFKC VJG TGRQTV EQPVCKPKPI VJG FGVCKNU QH governance systems and processes at Hathway Cable & Datacom Limited is as under: 2. Board of Directors a) Composition of the Board of Directors The Board of Directors (“Board”) of the Company has an optimum combination of executive, non-executive and independent directors, who have in-depth knowledge of business, in addition to the expertise in their areas of specialization. The Board provides leadership, strategic guidance and an independent view to the Company’s management. The Board comprises of 1PG'ZGEWVKXG&KTGEVQTCPF'NGXGP0QP'ZGEWVKXG&KTGEVQTU6JG%JCKTOCPQHVJG$QCTFKUCP+PFGRGPFGPV&KTGEVQTCPF(QWT Directors, of the total strength of the Board of Directors, are independent Directors. The composition of the Board and other TGNGXCPVFGVCKNUTGNCVKPIVQ&KTGEVQTUHQTVJGſPCPEKCN[GCTGPFGF/CTEJCTGCUWPFGT
Name of the Director Relationship with Designation Category of *No. of Other No. of Other other Directors Directorship Directorships Committee Memberships ** Chairman Member Mr. Bharat Shah None Chairman +PFGRGPFGPV 5-1
Mr. Rajan Raheja Father of Mr. Akshay Director Non – executive 4 Raheja & Mr. Viren & Non 7 Raheja +PFGRGPFGPV
Mr. Akshay Raheja Son of Mr. Rajan Director Non – executive - 2 Raheja & Brother of & Non 3 Mr. Viren Raheja +PFGRGPFGPV Mr. Viren Raheja Son of Mr. Rajan Director Non – executive - 1 Raheja & Brother of & Non 4 Mr. Akshay Raheja +PFGRGPFGPV Mr. K. Jayaraman None Managing Executive 1-- Director & CEO Mr. Vinayak Aggarwal None Director Non – executive 1-- & Non +PFGRGPFGPV Mr. Brahmal Vasudevan None Director Non – executive 1-- & Non +PFGRGPFGPV Mr. Jagdish Kumar G Pillai None Director Non – executive 1-- & Non +PFGRGPFGPV Mr. Uday Shankar None Director Non – executive 2-- & Non +PFGRGPFGPV Mr. Sasha Mirchandani None Director +PFGRGPFGPV 2-- Mr. Sridhar Gorthi None Director +PFGRGPFGPV 2-3 Mr. Devendra Shrotri None Director +PFGRGPFGPV --- * Directorships in Private, Foreign Companies and Companies under Section 25 of Companies Act, 1956 if any, are excluded.
26 Annual Report 2010-11
** Memberships of only Audit Committee and Shareholders’ Grievance Committee have been considered. b) Re-appointment of Directors: Pursuant to the provisions of Sections 255 & 256 of the Companies Act, 1956, Mr. Viren Raheja, Mr. Uday Shankar and Mr. Jagdish Kumar G. Pillai shall retire by rotation at the forthcoming Annual General Meeting. Mr. Jagdish Kumar G. has not offered JKOUGNHHQTTGCRRQKPVOGPVCPFKVKURTQRQUGFVQUGGMVJGCRRTQXCNQHVJGOGODGTUVJCVVJGUCKFXCECPE[DGPQVſNNGFWR The Board has recommended to the shareholders the re-appointment of Mr. Viren Raheja and Mr. Uday Shankar as Directors. The detailed resume of the aforesaid proposed appointees who have offered themselves for re-appointment are provided in the explanatory statement annexed to the notice of the Annual General Meeting. c) Board Meetings and Annual General Meeting: &WTKPIVJGſPCPEKCN[GCT(KXG $QCTF/GGVKPIUYGTGJGNFQPth April 2010, 12th August 2010, 19th August 2010, 9th November 2010 and 11th February 2011. The last Annual General Meeting of the Company was held on 28th September 2010. The details of attendance of Directors in Board Meetings and the last Annual General Meeting are as follows: Name of the Director No. of Board Meetings Attended Attendance at Last Annual General Meeting Mr. Bharat Shah 4 Yes Mr. Rajan Raheja 4 No Mr. Akshay Raheja 5 Yes Mr. Viren Raheja 5 Yes Mr. K. Jayaraman 5 Yes Mr. Vinayak Aggarwal 5 Yes Mr. Brahmal Vasudevan 4 Yes Mr. Jagdish Kumar G. Pillai 5 Yes Mr. Uday Shankar 2 No Mr. Sasha Mirchandani 4 Yes Mr. Sridhar Gorthi 4 Yes Mr. Devendra Shrotri 5 Yes d) Code of Conduct The Board has laid down a code of conduct for all Board members and senior management of the company. 6JG %QORCP[ JCU QDVCKPGF VJG EQPſTOCVKQP QH VJG %QORNKCPEG YKVJ VJG %QFG HTQO CNN KVU $QCTF OGODGTU CPF UGPKQT management personnel. As required by Clause 49 of the Listing Agreement, the declaration on compliance of the Company’s code of conduct signed by Managing Director forms a part of this Annual Report. 3. Audit Committee a) Constitution of Audit Committee: The Committee comprises Five Non-executive Directors out of which four are independent directors. All the members of the %QOOKVVGGCTGſPCPEKCNN[NKVGTCVG b) Composition of Audit Committee and Number of Meetings Attended: During the Financial year 2010-11, Four Audit Committee Meetings were held on 12th May 2010, 12th August 2010, 19th August 2010, 9th November 2010 and 11th February 2011. The composition of the Audit Committee and the number of meetings attended were as under: Committee Members Attending the Meeting Designation No. of Meetings Attended Mr. Bharat Shah Chairman 4 Mr. Viren Raheja Member 5 Mr. Devendra Shrotri Member 5 Mr. Sasha Mirchandani* Member 2 Mr. Sridhar Gorthi** Member 2 * Appointed as member w.e.f 12th August 2010. ** Appointed as member w.e.f 23rd October 2010. c) Attendees: The Audit Committee invites such of the Board Members, as it considers appropriate to be present at its meetings. Mr. Brahmal 8CUWFGXCPCPF/T,CIFKUJ-WOCT)2KNNCK+PFGRGPFGPV&KTGEVQTUYGTGKPXKVGGUVQOGGVKPIU6JG5VCVWVQT[#WFKVQTUCTGCNUQ invited to these meetings.
27 Hathway Cable & Datacom Limited
d) 6JGVGTOUQH4GHGTGPEGQHVJG#WFKV%QOOKVVGGCUFGſPGFD[VJG$QCTFCTGCUWPFGT i) Hold discussions with the auditors periodically about internal control systems, the scope of audit including the observations QHVJGCWFKVQTUCPFTGXKGYVJGSWCTVGTN[JCNH[GCTN[CPFCPPWCNſPCPEKCNUVCVGOGPVUDGHQTGUWDOKUUKQPVQVJG$QCTFCPF also ensure compliance of internal control systems. KK 1XGTUKIJVQHVJG%QORCP[ŏUſPCPEKCNTGRQTVKPIRTQEGUUCPFVJGFKUENQUWTGQHKVUſPCPEKCNKPHQTOCVKQPVQGPUWTGVJCVVJG ſPCPEKCNUVCVGOGPVKUEQTTGEVUWHſEKGPVCPFETGFKDNG iii) Recommending to the Board, the appointment, re-appointment and, if required, the replacement or removal of the statutory CWFKVQTCPFVJGſZCVKQPQHCWFKVHGGU iv) Approval of payment to statutory auditors for any other services rendered by the statutory auditors. X 4GXKGYKPI YKVJ VJG OCPCIGOGPV VJG CPPWCN ſPCPEKCN UVCVGOGPVU DGHQTG UWDOKUUKQP VQ VJG $QCTF HQT CRRTQXCN YKVJ particular reference to: (a) Matters required to be included in the Director’s Responsibility Statement to be included in the Board’s Report in terms of clause (2AA) of section 217 of the Companies Act, 1956. (b) Changes, if any, in accounting policies and practices and reasons for the same. (c) Major accounting entries involving estimates based on the exercise of judgement by management. F 5KIPKſECPVCFLWUVOGPVUOCFGKPVJGſPCPEKCNUVCVGOGPVUCTKUKPIQWVQHCWFKVſPFKPIU G %QORNKCPEGYKVJNKUVKPICPFQVJGTNGICNTGSWKTGOGPVUTGNCVKPIVQſPCPEKCNUVCVGOGPVU (f) Disclosure of any related party transactions. I 3WCNKſECVKQPUKPVJGFTCHVCWFKVTGRQTV XK 4GXKGYKPIYKVJVJGOCPCIGOGPVVJGSWCTVGTN[ſPCPEKCNUVCVGOGPVUDGHQTGUWDOKUUKQPVQVJGDQCTFHQTCRRTQXCN vii) Reviewing, with the management, performance of statutory and internal auditors, adequacy of the internal control systems. XKKK 4GXKGYKPIVJGCFGSWCE[QHKPVGTPCNCWFKVHWPEVKQPKHCP[KPENWFKPIVJGUVTWEVWTGQHVJGKPVGTPCNCWFKVFGRCTVOGPVUVCHſPICPF UGPKQTKV[QHVJGQHſEKCNJGCFKPIVJGFGRCTVOGPVTGRQTVKPIUVTWEVWTGEQXGTCIGCPFHTGSWGPE[QHKPVGTPCNCWFKV KZ &KUEWUUKQPYKVJKPVGTPCNCWFKVQTUQPCP[UKIPKſECPVſPFKPIUCPFHQNNQYWRVJGTGQP Z 4GXKGYKPIVJGſPFKPIUQHCP[KPVGTPCNKPXGUVKICVKQPUD[VJGKPVGTPCNCWFKVQTUKPVQOCVVGTUYJGTGVJGTGKUUWURGEVGFHTCWFQT irregularity or a failure of internal control systems of a material nature and reporting the matter to the board. xi) Discussion with statutory auditors about the nature and scope of audit as well as post-audit discussion to ascertain any area of concern. xii) To look into the reasons for substantial defaults in the payment to the depositors, debenture holders, shareholders (in case of non payment of declared dividends) and creditors. ZKKK 4GXKGYQHKPHQTOCVKQPCURTGUETKDGFWPFGT%NCWUG ++ ' QHVJGNKUVKPICITGGOGPV 4. Remuneration Committee a) Constitution of Remuneration Committee: The Remuneration Committee comprises of Seven Members. All the members are Non-Executive Directors of which four OGODGTUCTG+PFGRGPFGPV&KTGEVQTU b) Composition of Remuneration Committee and the number of meetings attended: During the Financial year 2010-11 One (1) Remuneration Committee Meeting was held on 12th August 2010.
Committee Members Attending the Meeting Designation No. of Meetings Attended Mr. Bharat Shah Chairman 1 Mr. Akshay Raheja Member 1 Mr. Viren Raheja Member 1 Mr. Sridhar Gorthi Member 1 Mr. Sasha Mirchandani Member 1 Mr. Jagdish Kumar G. Pillai Member 1 Mr. Brahmal Vasudevan Member 1 c) Terms of reference: The Committee has the mandate to review and recommend compensation payable to the executive directors and senior OCPCIGOGPVQHVJG%QORCP[+VUJCNNCNUQCFOKPKUVGTVJG%QORCP[ŏUUVQEMQRVKQPRNCPUKHCP[KPENWFKPIVJGTGXKGYCPFITCPV
28 Annual Report 2010-11
of the stock options to eligible employees under plans. The Committee may review the performance of the Executive Directors, if any and for the said purpose may lay down requisite parameters for each of the executive directors at the beginning of the year. d) Remuneration Policy: i) Management Staff: Remuneration of employees largely consists of basic remuneration and perquisites. The components of the total TGOWPGTCVKQP XCT[ DCUGF QP VJG ITCFGU CPF CTG IQXGTPGF D[ KPFWUVT[ RCVVGTPU SWCNKſECVKQPU CPF GZRGTKGPEG QH VJG employee, responsibilities handled by him, his individual performance, etc. ii) Non-Executive Directors: The Company pays sitting fees to all the Directors of the Company. The sitting fees paid is within the limits prescribed under the Companies Act, 1956. The Board at their Meeting held on 21st September 2009 had approved payment of sitting fees up to Rs.20,000/ – (Rupees Twenty Thousand only) for each meeting of Board of Directors and Rs. 15,000/ – (Rupees Fifteen Thousand only) for meeting of the Audit Committee. Details of the Sitting fees paid during the year 2010-11 are as under:
Name of the Non-Executive Director Sitting Fees Paid (Amt. in Rs.) Mr. Bharat Shah 1,40,000 Mr. Rajan Raheja 80,000 Mr. Akshay Raheja 1,00,000 Mr. Viren Raheja 1,75,000 Mr. K. Jayaraman 60,000 Mr. Vinayak Aggarwal 1,00,000 Mr. Brahmal Vasudevan 80,000 Mr. Jagdish Kumar G. Pillai* 1,00,000 Mr. Uday Shankar* 60,000 Mr. Sasha Mirchandani 1,10,000 Mr. Sridhar Gorthi** 1,10,000 Mr. Devendra Shrotri 1,75,000 Total 12,90,000 2C[OGPVUOCFGFKTGEVN[VQő5VCT+PFKC2XV.VFŒ ** Payments made directly to “Trilegal” iii) Executive Directors: Mr. K. Jayaraman, Managing Director & CEO, is the only Executive Director in the Company. Details of remuneration paid to Executive Directors during year ended March 31, 2011 are given below:
Name of the Executive Designation Salary & Commission Total Director Perquisites (Rs.) (Rs.) (Rs. ) Mr. K. Jayaraman Managing Director & CEO 98.04 Lakhs Nil 98.04 Lakhs Pursuant to the approval dated 18th May 2011 received from the Ministry of Corporate Affairs for appointment and payment of remuneration to Mr. K. Jayaraman, Managing Director & CEO, the Company has initiated the process for submission QHPGEGUUCT[FQEWOGPVUVQ%GPVTCN)QXGTPOGPVHQTVJGKTEQPUKFGTCVKQPCPFUGGMKPIſPCNCRRTQXCNVQVJGUCKFCRRNKECVKQP The Company is also making an application to the Central Government for waiver of excess remuneration paid to Mr. K. Jayaraman for the period from 26th August, 2009 to 07th February, 2010. Necessary resolution is included in the Agenda of the Notice of ensuing Annual General Meeting for seeking approval of members for the said waiver of excess remuneration. 5. Shareholders’/ Investors’ Grievance Committee a) Constitution and Composition of Shareholders’ Grievance Committee: 6JG 5JCTGJQNFGTUŏ+PXGUVQTUŏ )TKGXCPEG %QOOKVVGG JCU DGGP EQPUVKVWVGF VQ NQQM KPVQ KPXGUVQTŏU EQORNCKPVU NKMG VTCPUHGT QH shares, non-receipt of declared dividends, etc. and take necessary steps for redressal thereof. The Committee is a Board level EQOOKVVGGWPFGTVJG%JCKTOCPUJKRQH/T8KPC[CM#IICTYCNC0QP'ZGEWVKXG&KTGEVQT0Q5JCTGJQNFGTU+PXGUVQTU)TKGXCPEG %QOOKVVGG/GGVKPIUYCUJGNFFWTKPIVJGſPCPEKCN[GCTŌ6JGRTGUGPVEQORQUKVKQPQHVJG5JCTGJQNFGTU+PXGUVQTUŏ Grievance Committee is as under:
29 Hathway Cable & Datacom Limited
Name of Director Designation Mr. Vinayak Aggarwal Chairman Mr. Viren Raheja Member Mr. K. Jayaraman Member b) Mr. Milind Karnik, 2TGUKFGPV(KPCPEG%QORCP[5GETGVCT[KUVJG%QORNKCPEGQHſEGTQHVJG%QORCP[ c) During the year 2010 – 11, the Company has received 4 grievances. There were no complaints pending as at end of the year.
Received from Received During Redressed during Pending as on 2010-11 2010-11 31.03.2011 5'$+ 00 0 NSE 1 1 0 BSE 2 2 0 NSDL/CDSL 0 0 0 &KTGEVHTQO+PXGUVQTU 11 0 Total 4 4 0 d) Share Transfers in Physical Mode: Shares sent for physical transfer are generally registered and returned within a period of 15 days from the date of receipt, if the documents are clear in all respects. The Shareholders’ Committee of the Company meets as often as required. There were no physical transfers during the year under review. 6. General Body Meetings i) Location, time and date of holding of the last three Annual General Meetings (AGM) are given below:
Year Date Venue Time 2008 20.09.2008 Rahejas, 4th Floor, Corner of Main Avenue & V.P. Road, Santacruz West, Mumbai 400 054 11.00 am 2009 26.08.2009 Rahejas, 4th Floor, Corner of Main Avenue & V.P. Road, Santacruz West, Mumbai 400 054 11.00 am 2010 28.09.2010 +5-10U #WFKVQTKWO *CTG -TKUJPC .CPF 0GZV VQ *CTG -TKUJPC 6GORNG ,WJW 3.00 pm Mumbai – 400 049 ii) Special Resolutions during previous three Annual General Meetings:
Financial Year Particulars of Special Resolutions Passed 2007-08 Nil 2008-09 1. Consolidation of 10 (Ten) equity shares of Re.1/ – each into 1 (One) equity share of Rs. 10/ – each. #OGPFOGPVVQ/GOQTCPFWOQH#UUQEKCVKQPHQT+PETGCUGKP#WVJQTK\GF%CRKVCN #OGPFOGPVVQ#TVKENGUQH#UUQEKCVKQPHQT+PETGCUGKP#WVJQTK\GF%CRKVCN 4. Conversion of company from Private Limited to Public Limited. 2009-10 1. Re appointment of Mr. K. Jayaraman as the Managing Director & CEO of the Company. 2. Amendment to the Employee Stock Option Plan 2007. iii) During the year 2010 – 11, the Company has not passed any resolution by way of Postal Ballot. 7. Disclosures: (a) Related Party Transactions: 6JGTGCTGPQVTCPUCEVKQPUQHOCVGTKCNPCVWTGYKVJ&KTGEVQTU2TQOQVGTUQTCP[TGNCVGFGPVKV[YJKEJYKNNJCXGCP[RQVGPVKCNEQPƀKEV with the interests of the Company at large except the transactions mentioned under the Section of Notes to Accounts which forms a part of the Auditors’ Report for the year ended 31st March, 2011. (b) Compliance by the Company: 6JGTGYCUPQPQPEQORNKCPEGD[VJG%QORCP[QTCP[RGPCNVKGUUVTKEVWTGUKORQUGFD[VJG5VQEM'ZEJCPIG5'$+QTCP[QVJGT statutory authority on any matter related to capital markets, during the last three years. (c) Whistle Blower Policy and Access of personnel to the Audit Committee: The Company has not established the non-mandatory requirement of Whistle Blower Policy. However, the Company’s personnel have access to the Chairman of the Audit Committee in cases such as concerns about unethical behavior, frauds and other grievances. No personnel of the Company have been denied access to the Audit Committee.
30 Annual Report 2010-11
(d) %QORNKCPEGYKVJVJG/CPFCVQT[TGSWKTGOGPVUCPF+ORNGOGPVCVKQPQHVJG0QPOCPFCVQT[TGSWKTGOGPVU The Company has complied with the mandatory requirements of the Corporate Governance Clause of Listing Agreement. The Company has not implemented the non-mandatory requirements, except the constitution of Remuneration Committee, enlisted by way of annexure to Clause 49 of the listing agreement. i) All related Party Transactions are disclosed to the Board of Directors during the Board Meetings. During the year there YGTGPQVTCPUCEVKQPUQHOCVGTKCNPCVWTGYKVJVJG&KTGEVQTUQHVJG%QORCP[QTVJGTGNCVKXGUVJCVJCFRQVGPVKCNEQPƀKEVYKVJ the interest of the company. ii) The Company has complied with the requirements of regulatory authorities on capital markets and no penalty / strictures YCUKORQUGFQPVJG%QORCP[D[5'$+QT5VQEM'ZEJCPIGQTCP[5VCVWVQT[#WVJQTKV[FWTKPIVJGNCUVVJTGG[GCTU KKK 6JG%QORCP[CHſTOUVJCVPQGORNQ[GGJCUDGGPFGPKGFCEEGUUVQVJG#WFKV%QOOKVVGG iv) The Company has complied with all mandatory requirements as stipulated in Clause 49 of the Listing Agreement with the Stock Exchange. X 6JGUJCTGUJGNFD[RTQOQVGTUJCXGPQVDGGPRNGFIGFYKVJCP[$CPM(KPCPEKCN+PUVKVWVKQPUQTYKVJCP[6JKTFRCTV[ XK )WLCTCV6GNG.KPM2TKXCVG.KOKVGF )62. KUCOCVGTKCNPQPNKUVGF+PFKCPUWDUKFKCT[KPVGTOUQH%NCWUG +++ QHVJGNKUVKPI #ITGGOGPV#EEQTFKPIN[/T-,C[CTCOCP/CPCIKPI&KTGEVQT%'1CPF/T&GXGPFTC5JTQVTK+PFGRGPFGPV&KTGEVQTQH the Company, are Directors on the Board of GTPL. The Company also has 75 non-material subsidiaries and step down subsidiaries. 8. CEO/CFO Certiſcation: As required under Section V of the clause 49 of the Listing Agreement with the Stock Exchanges, the Managing/Whole Time &KTGEVQTUCPF%JKGH(KPCPEKCN1HſEGTQHVJG%QORCP[JCXGEGTVKſGFVQVJG$QCTFTGICTFKPIVJGKTTGXKGYQPVJG(KPCPEKCN5VCVGOGPVU Cash Flow Statements and other matters related to internal controls in the prescribed format for the year ended March 31, 2011. 9. Means of Communication : (i) The quarterly results of the Company are generally published in Aapla Mahanagar (Marathi Newspaper) and Business Standard (English Newspaper). The Company proposes that all quarterly, half-yearly and full year audited results be published at least in 2 newspapers. The quarterly results are further submitted to the National Stock Exchange and Bombay Stock Exchange immediately after the conclusion of the respective meetings. (ii) The Company has its own website www.hathway.comYJGTGKPVJGſPCPEKCNTGUWNVUCTGWRNQCFGF (iii) The Management Discussion and Analysis Report forms a part of this Annual Report. 10. General Shareholder Information :
a. Date, time and venue of Annual General Meeting of 27th September, 2011 at 3.00 p.m. at +5-10ŏs Auditorium, Shareholders Hare Krishna Land, Next to Hare Krishna Temple, Juhu, Mumbai – 400 049. b. Dates of book closures 22nd September, 2011 to 27th September, 2011 (Both days inclusive) c. Dividend Payment Not Applicable d. Financial Calendar 6JG %QORCP[ HQNNQYU #RTKN/CTEJ CU KVU ſPCPEKCN [GCT 6JG results for every quarter beginning from April are declared as per the listing agreement. e. Listing on stock exchanges 0CVKQPCN5VQEM'ZEJCPIGQH+PFKC.KOKVGF %QFG *CVJYC[ Bombay Stock Exchange Limited (Code : 533162) ISIN : INE 982F01028 f. Listing fees Paid for F.Y. 2011-12 to both the stock exchanges wherein the shares of the Company are listed. g. Registered ofſce “Rahejas”, 4th Floor, Corner of Main Avenue & V.P. Road, Santacruz (West), Mumbai – 400 054. Tel: (022) 26001306 Fax: (022) 26001307
31 Hathway Cable & Datacom Limited
h. Registrar and Share Transfer agents .KPM+PVKOG+PFKC2TKXCVG.VF C-13, Pannalal Silk Mills Compound, LBS Marg, Bhandup (West), Mumbai 400 078. Tel : (022) 25963838 Fax : (022) 25946969 i. Share Transfer System Shares sent for physical transfer are generally registered and returned within a period of 15-20 days from the date of receipt, KHVJGFQEWOGPVUCTGENGCTKPCNNTGURGEVU6JG5JCTGJQNFGTU+PXGUVQTU)TKGXCPEGEQOOKVVGGQHVJG%QORCP[OGGVUCUQHVGP as required. j. Plant Locations The Company does not have any manufacturing activities. k. Stock Market price data National Stock Exchange of India Limited /QPVJN[*KIJCPF.QYQH%NQUKPIRTKEGUQHVJG%QORCP[ŏU'SWKV[5JCTGUVTCFGFCV0CVKQPCN5VQEM'ZEJCPIGQH+PFKC.KOKVGFHQT VJGſPCPEKCN[GCTGPFGFUV/CTEJKUPQVGFDGNQY:
Month High Low NSE NSE Sensex (Rs.) (Rs.) (High) (Low) April 2010 229.80 204.00 3517.25 2965.70 May 2010 216.00 180.55 4509.40 3478.70 June 2010 215.00 175.00 4688.95 4143.25 July 2010 189.00 170.25 4669.75 3918.75 August 2010 234.25 175.05 4731.45 4353.45 September 2010 240.00 203.20 5087.60 4576.60 October 2010 216.80 180.15 4826.10 4687.50 November 2010 205.50 160.00 5138.00 4538.50 December 2010 179.75 149.05 5221.85 4943.95 January 2011 171.00 127.00 5310.85 4766.00 February 2011 157.00 114.10 4951.15 4675.40 March 2011 123.00 93.00 5329.55 4935.35 Performance in comparison to NSE Nifty:
Monthly High-Low Share Price / NSE NIFTY HCDL High HCDL Low NSE NIFTY High NSE NIFTYX Low 250 7000 6000 200 5000 150 4000 100 3000
NSE NIFTY NSE 2000 50 Price of Shares of Price 1000 0 0 Apr '10 May '10 Jun '10 '10 Jul Aug '10 '10 Sep Oct '10 '10 Nov '10 Dec '11 Jan Feb '11 Mar '11
Month
Bombay Stock Exchange Limited /QPVJN[*KIJCPF.QYQH%NQUKPIRTKEGUQHVJG%QORCP[ŏU'SWKV[5JCTGUVTCFGFCV$QODC[5VQEM'ZEJCPIG.KOKVGFHQTVJGſPCPEKCN year ended 31st March 2011 is noted below:
Month High Low BSE Sensex BSE Sensex (Rs.) (Rs.) (High) (Low)
April 2010 229.10 196.80 10,469.72 8,631.60 May 2010 216.00 181.00 9,724.87 8,619.22
32 Annual Report 2010-11
June 2010 198.25 175.00 10,127.09 8,047.17 July 2010 188.50 170.50 11,492.10 9,546.29 August 2010 233.70 175.05 14,930.54 11,621.30 September 2010 237.00 203.10 15,600.30 14,016.95 October 2010 215.00 180.05 15,732.81 13,219.99 November 2010 206.00 150.00 16,002.46 14,684.45 December 2010 180.00 148.00 17,142.52 15,356.72 January 2011 170.25 126.20 17,493.17 15,805.20 February 2011 156.95 114.00 17,290.48 15,330.56 March 2011 131.10 92.65 17,530.94 16,577.78 Performance in comparison to BSE Sensex:
Monthly High-Low Share Price / BSE SENSEX HCDL High HCDL Low BSE SENSEX High BSE SENSEX Low 250 25000
X 200 20000 150 15000 100 10000
BSE SENSE BSE 50 5000 Price of Shares 0 0 Apr '10 May '10 '10 Jun '10 Jul '10 Aug '10 Sep Oct '10 '10 Nov '10 Dec '11 Jan Feb '11 Mar '11
Month l. a) Distribution of Shareholding: Range (in Rs.) No. of % of Share No. of Shares % of Total Shares Share holders holders 1 - 5,000 12365 95.32 1,193,716 0.84 5,001 - 10,000 247 1.90 189,679 0.13 10,001 - 20,000 127 0.98 191,867 0.14 20,001 - 30,000 63 0.49 160,061 0.11 30,001 - 40,000 13 0.10 46,240 0.03 40,001 - 50,000 22 0.17 104,596 0.07 50,001 - 1,00,000 32 0.25 248,347 0.17 1,00,001 & above 103 0.79 140,722,594 98.51 Total 100.00 142,857,100 100.00 b) Category wise Distribution Schedule as on 31st March 2011
Sr. No. Category No. of Shares held % 1. Promoters 48,193,200 33.74 2. Corporate Bodies (Promoter Companies) 22,550,800 15.79 3. Clearing Members 309,260 0.22 4. Other Bodies Corporate 4,562,170 3.19 5. Foreign Company 10,961,788 7.67 6. (KPCPEKCN+PUVKVWVKQPU 600,000 0.42 7. (QTGKIP+PUVKVWVKQPCN+PXGUVQT 6,295,478 4.41 8. Foreign Promoter Company 24,715,500 17.30 9 Mutual Funds 18,256,469 12.78 10 Nationalised Banks 930,926 0.65 11 0QP4GUKFGPV+PFKCPU 2,251,188 1.58 12 0QP4GUKFGPV+PFKCPU 0QP4GRCVTKCDNG 6,631 0.00 13 1HſEG$GCTGTU 10.00
33 Hathway Cable & Datacom Limited
14 Public 3,223,213 2.25 15 Trust 476 0.00 Total 142,857,100 100.00 m. Address for correspondence
For general Correspondence “Rahejas”, 4th Floor, Corner of Main Avenue & V.P. Road, Santacruz (West), Mumbai – 400 054. Tel: (022) 26001306 Fax: (022) 26001307 [email protected]; [email protected] For matters related to Share transfers .KPM+PVKOG+PFKC2TKXCVG.VF Dematerialization, etc. C-13, Pannalal Silk Mills Compound, LBS Marg, Bhandup (West), Mumbai 400 078 Tel : (022) 25963838 Fax : (022) 25946969 Email id: rnt. [email protected] n. Dematerialization of Shares and liquidity: Your Company’s shares are traded compulsorily in electronics form. The Company has established connectivity with both the FGRQUKVQTKGUKG0CVKQPCN5GEWTKVKGU&GRQUKVQT[.KOKVGFCPF%GPVTCN&GRQUKVQT[5GTXKEGU +PFKC .KOKVGF As on 31st March 2011, 81.79 % of shares have been held in dematerialized form and balance shares are in physical form. o. The Company has no outstanding GDR’s/ADR’s/Warrants or any convertible instruments pending conversion or any other instrument likely to impact the Equity Share Capital of the Company. p. Details as per clause 5A of Listing Agreement Table (Clause 5A of the Listing Agreement) (Details Awaited) Unclaimed Shares as on Details of Shareholders Details of Shareholders Unclaimed Shares as on 1st April, 2010 approached during the to whom the shares 31st March, 2011 FY 2010-11 for the have been transferred claiming of shares during the FY 2010-11 No. of share No. of Shares No. of share No. of Shares No. of share No. of Shares No. of share No. of holders holders holders holders Shares 31 3125 18 1825 18 1825 13 1300 * Note: The Shareholders may please note that the voting rights on the said shares shall remain frozen till the rightful owner of such shares claims the same. Request to investors: C +PXGUVQTUCTGTGSWGUVGFVQEQOOWPKECVGEJCPIGQHCFFTGUUKHCP[FKTGEVN[VQVJGUJCTGVTCPUHGTCIGPVQHVJG%QORCP[CVVJGCDQXG address. D #UTGSWKTGFD[5'$+KPXGUVQTUUJCNNHWTPKUJFGVCKNUQHVJGKTDCPMCEEQWPVPWODGTCPFPCOGCPFCFFTGUUQHVJGDCPMHQTKPEQTRQTCVKPI the same in the warrants. This would avoid wrong credits being obtained by unauthorized persons. E 6JGUJCTGJQNFGTUCTGTGSWGUVGFVQFGOCVGTKCNK\GVJGKTRJ[UKECNUJCTGEGTVKſECVGUVJTQWIJCFGRQUKVQT[RCTVKEKRCPV5JCTGJQNFGTU TGSWKTKPICP[HWTVJGTENCTKſECVKQPCUUKUVCPEGQPVJGUWDLGEVOC[EQPVCEVVJG%QORCP[ŏUUJCTGVTCPUHGTCIGPV F +PXGUVQTUYJQJCXGPQVCXCKNGFPQOKPCVKQPHCEKNKV[CTGTGSWGUVGFVQCXCKNVJGUCOGD[UWDOKVVKPIVJGPQOKPCVKQPHQTO6JGHQTOYKNN be made available on request. G +PXGUVQTU JQNFKPI UJCTGU KP GNGEVTQPKE HQTO CTG TGSWGUVGF VQ FGCN QPN[ YKVJ VJGKT FGRQUKVQT[ RCTVKEKRCPV KP TGURGEV QH EJCPIG QH address, nomination facility and furnishing bank account number etc. H +PXGUVQTUCTGTGSWGUVGFVQMKPFN[PQVGVJCVCP[FKXKFGPFYJKEJTGOCKPUWPGPECUJGFHQTCRGTKQFQHUGXGP[GCTUYKNNIGVVTCPUHGTTGF VQő+PXGUVQTU'FWECVKQPCPF2TQVGEVKQP(WPFŒKPVGTOUQH5GEVKQP%QHVJG%QORCPKGU#EV g) Ministry of Corporate Affairs (MCA) vide Circular bearing Nos. 17/2011 and 18/2011 dated 21.04.2011 and 29.04.2011 respectively JCU VCMGP UVGRU VQYCTFU ő)TGGP +PKVKCVKXGŒ D[ CNNQYKPI RCRGTNGUU EQORNKCPEGU D[ UGTXKPI FQEWOGPVU VJTQWIJ GNGEVTQPKE OQFG (e-mail) by companies to its shareholders. As an enlightened corporate citizen, going forward we propose to send all future shareholders’ communications like Notices, Company’s Annual Report etc. through electronic mode. This will also ensure prompt receipt of communication; avoid loss in postal transit and saving of huge cost incurred in printing and postage. +PUWRRQTVVQVJGő)TGGP+PKVKCVKXGŒVCMGPD[/%#CPF[QWT%QORCP[ŏUFGUKTGVQRCTVKEKRCVGKPVJGUCOG9GVJGTGHQTGTGSWGUV[QWVQ MKPFN[RTQXKFG[QWTGOCKNCFFTGUUVQQWT4GIKUVTCT.KPM+PVKOG+PFKC2TKXCVG.KOKVGF
34 Annual Report 2010-11
As directed by MCA vide its above circulars, the Company would also make available these documents on the Company’s website viz. http://www.hathway.com for perusal and download by the shareholders. The Shareholders who still hold the shares in the physical mode are requested to convert their respective holding in Dematerialization form and get their e-mail registered with the Company / Registrar & Share Transfer Agent to enable your Company to actively RCTVKEKRCVGKPVJGUCKF)TGGP+PKVKCVKXG h) CODE OF CONDUCT DECLARATION 2WTUWCPVVQ%NCWUG+ & QHVJG.KUVKPI#ITGGOGPVGPVGTGFKPVQYKVJVJG5VQEM'ZEJCPIGU+JGTGD[FGENCTGVJCVVJG%QORCP[ JCUQDVCKPGFCHſTOCVKXGEQORNKCPEGYKVJVJGEQFGQHEQPFWEVHTQOCNNVJG$QCTFOGODGTUCPFUGPKQTOCPCIGOGPVRGTUQPPGNQHVJG Company. K. JAYARAMAN Managing Director & CEO Place: Mumbai Date: 12th August 2011
To The Members of HATHWAY CABLE AND DATACOM LIMITED Corporate Governance Certiſcate We have examined the compliance of conditions of Corporate Governance by HATHWAY CABLE AND DATACOM LIMITED (“Company”) HQTVJGſPCPEKCN[GCTGPFGFst March, 2011, as stipulated in Clause 49 of the Listing Agreement of the said Company with the Stock 'ZEJCPIGUKP+PFKC We have conducted our examination on the basis of the relevant records and documents maintained by the Company and furnished to us for the purpose of the review and the information and explanations given to us by the Company during the course of such review. The compliance of conditions of Corporate Governance is the responsibility of the management. Our examination was limited to procedures CPFKORNGOGPVCVKQPVJGTGQHCFQRVGFD[VJG%QORCP[HQTGPUWTKPIVJGEQORNKCPEGQHVJGEQPFKVKQPUQHVJG%QTRQTCVG)QXGTPCPEG+VKU PGKVJGTCPCWFKVPQTCPGZRTGUUKQPQHQRKPKQPQPVJGſPCPEKCNUVCVGOGPVUQHVJG%QORCP[ +PQWTQRKPKQPCPFVQVJGDGUVQHQWTKPHQTOCVKQPCPFCEEQTFKPIVQVJGGZRNCPCVKQPUIKXGPVQWUYGEGTVKH[VJCVVJG%QORCP[JCUKPCNN material respect complied with the conditions of Corporate Governance as stipulated in the above mentioned Listing Agreement. 9GHWTVJGTUVCVGVJCVUWEJEQORNKCPEGKUPGKVJGTCPCUUWTCPEGCUVQVJGHWVWTGXKCDKNKV[QHVJG%QORCP[PQTVJGGHſEKGPE[QTGHHGEVKXGPGUU with which the management has conducted the affairs of the Company. For RATHI & ASSOCIATES, COMPANY SECRETARIES
Date: 12th August, 2011 HIMANSHU KAMDAR Place: Mumbai Partner FCS No. 5171 C.P. No.3030
35 Hathway Cable & Datacom Limited
AUDITORS’ REPORT KKK 6JG $CNCPEG 5JGGV 2TQſV .QUU #EEQWPV CPF %CUJ 1. We have audited the attached Balance Sheet of HATHWAY Flow Statement dealt with by this report are in agreement CABLE & DATACOM LIMITED (‘the Company’) as at 31st with the books of account; /CTEJVJG2TQſV.QUU#EEQWPVCPFVJG%CUJ(NQY Statement for the year ended on that date annexed thereto. (iv) Without qualifying our report, we draw attention to Note These Financial Statements are the responsibility of the no. B (10) of Schedule N to the accounts in respect of management. Our responsibility is to express an opinion on operations of the Company in the State of Tamil Nadu; these Financial Statements based on our audit. X +P QWT QRKPKQP VJG $CNCPEG 5JGGV 2TQſV CPF .QUU 2. We conducted our audit in accordance with auditing standards Account and Cash Flow Statement dealt with by this IGPGTCNN[CEEGRVGFKP+PFKC6JQUGUVCPFCTFUTGSWKTGVJCVYG report comply with the Accounting Standards referred plan and perform the audit to obtain reasonable assurance to in sub-section (3C) of Section 211 of the Act to the CDQWVYJGVJGTVJGſPCPEKCNUVCVGOGPVUCTGHTGGQHOCVGTKCN extent applicable; misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the (vi) Based on representations made by the directors of the ſPCPEKCN UVCVGOGPVU #P CWFKV CNUQ KPENWFGU CUUGUUKPI VJG Company and taken on records by the board, none CEEQWPVKPIRTKPEKRNGUWUGFCPFUKIPKſECPVGUVKOCVGUOCFGD[ of the directors of the Company are, prima-facie, as st VJGOCPCIGOGPVCUYGNNCUGXCNWCVKPIVJGQXGTCNNſPCPEKCN at 31 /CTEJ FKUSWCNKſGF HTQO DGKPI CRRQKPVGF statement presentation. We believe that our audit provides a as directors of the Company under clause (g) of sub- reasonable basis for our opinion. section (1) of section 274 of the Act, on the said date; 3. As required by the Companies (Auditor’s Report) Order, XKK +P QWT QRKPKQP CPF VQ VJG DGUV QH QWT KPHQTOCVKQP CPF ŎVJG1TFGTŏ KUUWGFD[VJG%GPVTCN)QXGTPOGPVQH+PFKC according to the explanations given to us, the accounts in terms of sub-section (4A) of section 227 of the Companies read together with notes thereon give the information Act, 1956, (‘the Act’) and on the basis of such checks of required by the Act in the manner so required and give the books and records of the Company as we considered a true and fair view in conformity with the accounting appropriate and according to the information and explanation RTKPEKRNGUIGPGTCNN[CEEGRVGFKP+PFKC and information given to us, we enclose in the Annexure a UVCVGOGPVQPVJGOCVVGTUURGEKſGFKPRCTCITCRJUCPFQH C +PVJGECUGQHVJG$CNCPEG5JGGVQHVJGUVCVGQH the said Order. affairs of the Company as at 31st March, 2011, 4. Further to our comments in the Annexure referred to above, D +P VJG ECUG QH VJG 2TQſV .QUU #EEQWPV QH VJG we report that: losses of the Company for the year ended on that date, and (i) We have obtained all the information and explanations, which to the best of our knowledge and belief were E +P VJG ECUG QH VJG %CUJ (NQY 5VCVGOGPV QH VJG necessary for the purpose of the audit; ECUJƀQYUHQTVJG[GCTGPFGFQPVJCVFCVG KK +PQWTQRKPKQPRTQRGTDQQMUQHCEEQWPVCUTGSWKTGFD[ For G. M. KAPADIA & CO. law have been kept by the Company so far as it appears Chartered Accountants from our examination of the said books; (Firm Registration No. 104767W)
(ATUL SHAH) Mumbai Partner Dated: 12th August, 2011 (Membership No. 39569)
36 Annual Report 2010-11
ANNEXURE TO THE AUDITOR’S REPORT Rs. 174,995,459. (Referred to in paragraph 3 of our report of even date) D +P QWT QRKPKQP CPF CEEQTFKPI VQ VJG KPHQTOCVKQP CPF K C 6JG%QORCP[JCUOCKPVCKPGFTGEQTFUQHſZGFCUUGVU explanations given to us, the terms and conditions other than distribution equipments, showing particulars, of interest free loans given to the parties covered in including quantitative details and location. As explained the register maintained under section 301 of the Act to us, nature of some of the distribution equipments are not prima facie prejudicial to the interest of the (like cabling and other line equipments) and Cable Company. 68 +PVGTPGV #EEGUU &GXKEGU YKVJ VJG UWDUETKDGTU KP (c) According to the information and explanations given areas serviced through local cable operators is such VQWUPQTGRC[OGPVUEJGFWNGJCUDGGPURGEKſGFCPF that maintaining location-wise details is impractical. accordingly the question of regularity in repayment of The management has maintained maps to identify principal amount, wherever applicable, does not arise. approximate quantity and location of such distribution (d) As stated above, no repayment schedule has been equipments. Updation / preparation of maps relating to URGEKſGFCPFVJGTGCTGPQQXGTFWGCOQWPVUKPGZEGUU addition / replacement of assets is in progress. of Rs. One lakh. (b) Fixed assets, other than distribution equipments and (e) to (g) The Company has not taken any loans secured %CDNG68+PVGTPGV#EEGUU&GXKEGUYKVJVJGUWDUETKDGTU QT WPUGEWTGF HTQO EQORCPKGU ſTOU QT QVJGT RCTVKGU YGTG RJ[UKECNN[ XGTKſGF FWTKPI VJG [GCT CU RGT VJG covered in the register maintained under section 301 of RTQITCOOG QH XGTKſECVKQP /CLQT KVGOU QH FKUVTKDWVKQP VJG#EV+PXKGYQHVJGUCOGUWDŌENCWUGU H VQ I QH GSWKROGPVU QPN[ HQT QPG EKV[ YGTG RJ[UKECNN[ XGTKſGF the clause (iii) of the order are not applicable. In our opinion, freSuency and procedure for veriſcation of distribution equipments needs to be strengthened. KX +P QWT QRKPKQP CPF CEEQTFKPI VQ VJG KPHQTOCVKQP CPF &KUETGRCPEKGU CTKUKPI QP UWEJ RJ[UKECN XGTKſECVKQP explanations given to us, there is adequate internal control have been properly dealt within the books of accounts. U[UVGOYKVJTGICTFUVQRWTEJCUGUQHVJGKPXGPVQT[CPFſZGF *owever, in absence of physical veriſcation of balance assets and sale of goods and services. The management distribution equipments and Cable TV / Internet Access is in process of further strengthening the internal controls Devices with the subscribers, discrepancies in such over documentation in certain areas so as to make it assets have not been ascertained and not dealt within commensurate with the size of the Company and the nature the books of accounts. of its business. During the course of our audit, we have not observed any continuing failure to correct major weakness in (c) During the year, Company has not disposed off any internal controls. UWDUVCPVKCNRCTVQHſZGFCUUGVU v. (a) On perusal of the information available with the KK 6JG KPXGPVQTKGU JCXG DGGP RJ[UKECNN[ XGTKſGF D[ VJG Company and based on explanations given to us, OCPCIGOGPVFWTKPIVJG[GCT+PQWTQRKPKQPCPFCEEQTFKPIVQ we are of the opinion that the particulars of contracts the information and explanation given to us, the frequency of or arrangements referred to in section 301 of the Act XGTKſECVKQPCPFRTQEGFWTGUQHRJ[UKECNXGTKſECVKQPHQNNQYGF for the year that needs to be entered into the register by the management are reasonable and adequate in relation maintained under that section have been so entered. to the size of the Company and the nature of its business. The Company is maintaining proper records of such inventory. D +P QWT QRKPKQP CPF CEEQTFKPI VQ VJG KPHQTOCVKQP CPF We have been informed that no material discrepancies explanation given to us, the transactions made in YGTG PQVKEGF QP RJ[UKECN XGTKſECVKQP DGVYGGP VJG UVQEMU pursuance of contracts or arrangements entered in CPFVJGDQQMTGEQTFU%CDNG6GNGXKUKQPCPF+PVGTPGV#EEGUU the register maintained under section 301 of the Act Devices held for installation at the subscribers’ end are and exceeding Rs. Five lakhs have been made at a KPKVKCNN[ ENCUUKſGF WPFGT %CRKVCN 9QTM KP 2TQITGUU CPF prices which are reasonable having regard to prevailing On installation, such devices are capitalised or treated as market prices at the relevant time to the extent the same sale as the case may be. Accordingly, these items are not are available with the Company and / or in accordance considered as inventory. with the approvals granted by the Central Government, wherever applicable. iii. (a) The Company has granted interest free unsecured loans to two parties covered in the register maintained XK +P QWT QRKPKQP CPF CEEQTFKPI VQ VJG KPHQTOCVKQP CPF under section 301 of the Act. The maximum amount explanation given to us, the Company has not accepted involved in such transactions during the year was Rs. deposits from the public and therefore, the provisions of 270,709, 861 and the balance at the end of the year was Section 58A, 58AA or any other relevant provisions of the
37 Hathway Cable & Datacom Limited
Act and Rules framed there under are not applicable to the ſPCPEKCN [GCT EQXGTGF D[ QWT CWFKV PQT KP VJG KOOGFKCVGN[ Company. RTGEGFKPIſPCPEKCN[GCT XKK +P QWT QRKPKQP VJG %QORCP[ JCU CP KPVGTPCN CWFKV xi. Based on our audit procedures and according to the system commensurate with the size and the nature of its information and explanation given to us, we are of the opinion business. that the Company has not defaulted in repayment of dues to ſPCPEKCNKPUVKVWVKQPUQTDCPMU viii. The Central Government has prescribed maintenance of Cost Records under Section 209(1)(d) of the Act in respect ZKK +P QWT QRKPKQP CPF CEEQTFKPI VQ VJG KPHQTOCVKQP CPF of certain service activities of the Company. We have explanation given to us, no loans and advances have been broadly reviewed the accounts and records of the Company granted by the Company on the basis of security by way of in this connection and are of the opinion, that prima facie, pledge of shares, debentures and other securities. the prescribed accounts and records have been made ZKK 6JG %QORCP[ KU PQV C EJKV HWPF QT C PKFJK OWVWCN DGPGſV and maintained. We have not, however, made a detailed fund / society. Therefore, clause 4(xiii) of the Order is not examination of the same. applicable to the Company. ix. (a) Based on the records produced before us, the Company The Company has maintained proper records of transactions is generally regular in depositing with appropriate and contracts in respect of it’s dealing in securities, debentures authorities undisputed statutory dues such as Provident and other investments and timely entries have been made (WPF+PEQOG6CZ5GTXKEG6CZ%WUVQO&WV[CPFQVJGT therein. All shares, debentures and other investments have material statutory dues wherever applicable. According been held by the Company in its own name except certain to the information and explanations given to us, there government securities which are held in the name of the are no arrears of undisputed statutory dues outstanding QHſEKCNUQTex- ofſcials of the Company. for a period of more than six months from the date on xiv According to the information and explanations given to us, which they became payable. the Company has given guarantee for loans taken by its (b) The details of disputed statutory dues , that have not subsidiaries from a bank, the terms and conditions whereof been deposited by the Company are as under: in our opinion are not prima facie prejudicial to the interest of Sr. Name of the statue Nature of dues Forum where dispute is Amount the Company. No. pending xvi. Based on information and explanation given to us and based 1 Bombay Sales Tax Act, Sales Tax Assistant Comm. of Sales 70,987 1959 Tax, Appeals on overall review of the funds utilization, we are of the view 2 Bombay Entertainments Entertainment Tax & Commissioner, Konkan 77,920 that the Company has generally utilized funds for which they Duty Act, 1923 penalty thereon Division 157,800 were obtained. However, pending such utilization these 3 Hyderabad Entertainment Entertainment Tax Andhra Pradesh High 5,813,760 Duty Act, 1939 Court funds have been temporarily utilized to reduce the short term 4 Andhra Pradesh Value Value Added Tax & %QOOGTEKCN6CZ1HſEGT 528,521 credit limits. Added Tax Act, 2005 Penalty thereon Hyderguda 52,852 xvii. According to the information and explanations given to us 5 Karnataka Sales Tax Sales Tax and interest Dy. Commissioner of 54,406,240 Act, 1957 Commercial Tax, Ban- and overall examination of the Financial Statements of the galore Company, we are of the opinion that, the funds raised on 6 Karnataka Entertainment Entertainment Tax Karnataka High Court 2,876,586 short-term basis have generally not been used for long term Tax Act, 1958 investment. 7 Finance Act, 1994 Service Tax Commissioner of Ser- 6,186,012 vice Tax xviii. The Company has not made any preferential allotment of 8 +PEQOG6CZ#EV Tax deducted at source %QOOKUUKQPGTQH+PEQOG 39,896,065 shares to parties and companies covered in the Register & interest Tax (Appeals) maintained under Section 301 of the Act during the year As stated in note no. B(2)(f) of Schedule N to the accounts, the hence the question of whether the price at which shares have Company has challenged the levy of Entertainment Tax pursuant been issued is prejudicial to the interest of the Company to certain amendments to Karnataka Entertainment Tax Act, 1958 does not arise. and Hyderabad Entertainment Duty Act, 1939. As informed to us, xix. The Company has not issued any non convertible debentures GZEGRV CU FKUENQUGF CDQXG PQ FGOCPF JCU DGGP SWCPVKſGF KP hence the question of whether securities have been created relation to same by the concerned authorities. does not arise. Z 6JGCEEWOWNCVGFNQUUGUCVVJGGPFQHVJGſPCPEKCN[GCTCTG ZZ 9GJCXGXGTKſGFVJCVVJGGPFWUGQHOQPG[TCKUGFD[RWDNKE PQVKPGZEGUUQHſHV[RGTEGPVQH0GV9QTVJQHVJG%QORCP[ issue and the same is as disclosed in note no. B(32) of The Company has neither incurred cash losses during the Schedule N to the accounts.
38 Annual Report 2010-11
xxi. Based upon the audit procedures performed and the b) A fraud has been reported in respect of one of the information and explanations given by the management, subsidiaries involving the minority joint venture partner in we report that no fraud on or by the Company has been respect of that company. The fraud has been committed noticed or reported during the course of our audit except as D[ HCNUKſECVKQP QH CEEQWPVU HTCWFWNGPV FGUVTWEVKQP QH mentioned below : valuable securities etc. involving aggregate amount a) Cases of misappropriation of cash collection from the of Rs. 74,321,905. 6JG %QORCP[ JCU ſNGF RQNKEG complaint and the matter is pending. subscribers and fraudulent withdrawals of funds by employees aggregating to Rs.1,694,748, of which For G. M. KAPADIA & CO. Rs. 190,594 have been recovered by the Company, Chartered Accountants no fraud on or by the Company has been noticed or (Firm Registration No. 104767W) reported during the year and (ATUL SHAH) Mumbai Partner Dated: 12th August, 2011 (Membership No. 39569)
39 Hathway Cable & Datacom Limited Balance Sheet as at 31st March, 2011
31-03-2011 31-03-2010 Schedule Rupees Rupees Rupees SOURCES OF FUNDS Shareholders' Funds Share Capital A 1,429,051,000 1,429,051,000 Employee Stock Options Outstanding 24,157,165 19,354,283 Reserves and Surplus B 11,999,692,444 11,999,692,444 13,452,900,609 13,448,097,727 Loan Funds Secured Loans C 2,758,697,701 3,995,255,724 2,758,697,701 3,995,255,724 16,211,598,310 17,443,353,451 APPLICATION OF FUNDS Fixed Assets D Gross Block 9,622,901,551 8,702,375,244 Less: Accumulated Depreciation / Amortisation / Impairment 4,237,955,640 3,427,532,913 Net Block 5,384,945,911 5,274,842,331 Capital Work In Progress 441,474,605 240,365,525 5,826,420,516 5,515,207,856 Investments E 4,384,465,408 6,662,619,637 Net Current Assets Current Assets, Loans & Advances F Inventories 18,802,217 24,961,275 Sundry Debtors 1,611,946,224 1,214,567,640 Cash and Bank balances 253,760,061 745,307,899 Loans & Advances 1,272,674,342 1,039,080,018 3,157,182,844 3,023,916,832 Less: Current Liabilities & Provisions G Current Liabilities 2,104,561,761 2,310,718,026 Provisions 46,432,577 39,075,156 2,150,994,338 2,349,793,182 Net Current Assets 1,006,188,506 674,123,650 Proſt & Loss Account Debit Balance 4,994,523,880 4,591,402,308 16,211,598,310 17,443,353,451 Signiſcant Accounting Policies and Notes Forming Part of N Accounts
As per our report of even date For and on behalf of the Board For G. M. KAPADIA & CO. Chartered Accountants
(ATUL SHAH) (GANAPATHY SUBRAMANIAM) (K . JAYARAMAN) Partner Chief Financial Ofſcer Managing Director & C.E.O.
(MILIND KARNIK) (VINAYAK AGGARWAL) President- Finance & Company Secretary Director
Mumbai Mumbai Dated : 12th August 2011 Dated : 12th August 2011
40 Annual Report 2010-11
Proſt & Loss Account for the year ended 31st March, 2011
2010-2011 2009-2010 Schedule Rupees Rupees INCOME Income from Operations H 4,738,667,382 4,020,243,414 Other Income I 210,940,242 47,376,644 4,949,607,624 4,067,620,058 EXPENDITURE Operational Expenses J 2,220,857,588 1,931,745,270 Staff Cost K 416,461,712 327,863,558 Selling, Administration and General Expenses L 1,201,815,571 1,065,849,549 3,839,134,871 3,325,458,377 Proſt Before Interest, Depreciation, Amortisation And Taxation 1,110,472,753 742,161,681 Interest and Finance Charges M 386,376,900 509,097,386 Proſt Before Depreciation, Amortisation And Taxation 724,095,853 233,064,295 Loss / (Gain) on Foreign Exchange Fluctuation (Net) (11,555,592) (5,195,918) Depreciation 791,401,535 715,710,914 Amortisation 154,972,448 170,441,672 Impairment of Tangible / Intangible Assets 27,030,014 17,677,227 Loss before Taxation and Exceptional items (237,752,552) (665,569,601) Exceptional Items Provision for Doubtful Advances / Investments / Receivables from Entities Under %QPVTQN5KPIPKſECPV+PƀWGPEG 4GHGT0QVG0Q$ QH5EJGFWNG0 87,295,510 65,344,429 Impairment and write off of Assets in respect of operations in Tamil Nadu (Refer 0QVG0Q$ QH5EJGFWNG0 56,593,892 162,323,807 &GRTGEKCVKQP9TKVGDCEMHQT2TGXKQWU;GCT 4GHGT0QVG0Q$ QH5EJGFWNG0 - (64,398,315) Net Proſt / (Loss) before Taxation (381,641,954) (828,839,521) Less : Tax Expenses - Current Tax - - - Deferred Tax - - Net Loss for the year (381,641,954) (828,839,521) Balance b/f from Previous Year (4,591,402,308) (3,756,369,603) Prior Period Adjustments (Net) (21,479,618) (6,193,184) Balance carried to Balance Sheet (4,994,523,880) (4,591,402,308) Earning / (Loss) Per Share (In Rs.) - Basic & Diluted (2.82) (6.98) 4GHGT0QVG0Q$ QH5EJGFWNG0 Signiſcant Accounting Policies and Notes Forming the Part of Accounts N
As per our report of even date For and on behalf of the Board For G. M. KAPADIA & CO. Chartered Accountants
(ATUL SHAH) (GANAPATHY SUBRAMANIAM) (K . JAYARAMAN) Partner Chief Financial Ofſcer Managing Director & C.E.O.
(MILIND KARNIK) (VINAYAK AGGARWAL) President- Finance & Company Secretary Director
Mumbai Mumbai Dated : 12th August 2011 Dated : 12th August 2011
41 Hathway Cable & Datacom Limited
Cash Flow Statement for the year ended 31St March 2011
2010-2011 2009-2010 Rupees Rupees Rupees Rupees 1 CASH FLOW FROM OPERATING ACTIVITIES: NET PROFIT / (LOSS) BEFORE TAX & PRIOR PERIOD (403,121,572) (835,032,705) ADJUSTMENTS A Adjustment for : Depreciation & Amortisation 946,373,984 886,152,586 Impairment of Tangible / Intangible Assets 27,030,014 17,677,227 Loss on Shortages / Imairment of Tangible Assets 56,593,892 162,323,807 of Chennai 4GHGT0QVG0Q$ QH5EJGFWNG0 Depreciation taken to Prior Period 4,744,557 Provision for Bad & Doubtful Debts (Net) 291,698,241 258,904,317 Depreciation Write-back for Previous Year - (64,398,315) 4GHGT0QVG0Q$ QH5EJGFWNG0 Provision for Bad & Doubtful Advances 890,769 1,264,501 5JCTGQH2TQſV.QUUKP2CTVPGTUJKRſTO - 11,181 Provision for leave encashment and gratuity 7,404,486 (3,197,541) Employee Compensation Expense 4,802,882 7,469,869 Provision for Doubtful Advances / Investments / 87,295,510 65,344,429 Receivables from Subsidaries / Associates 2TQſV NQUUQPUCNGQH(KZGF#UUGVU 40,933,057 24,707,551 Interest and Finance Charges 386,376,900 509,097,386 Income from Investments (51,050,829) (6,302,227) 2TQſV NQUUQPUCNGQH+PXGUVOGPVU (142,923,434) (27,202,499) 1,655,425,472 1,836,596,829 1RGTCVKPI2TQſV$GHQTG9QTMKPI%CRKVCN 1,252,303,900 1,001,564,124 B Change in Working Capital (Increase) / Decrease in Inventories 6,159,060 18,793,597 (Increase) / Decrease in Sundry Debtors (689,076,825) (307,267,287) (Increase) / Decrease in Loans & Advance in (163,061,746) (34,237,894) Subsidiaries (Increase) / Decrease in Other Loans & Advance 5,715,168 169,826,954 Increase / (Decrease) in Current Liabilities & (115,001,647) 28,262,616 Provisions (955,265,990) (124,622,013) Cash Generated from Operations 297,037,910 876,942,111 Taxes paid (15,469,068) (38,638,048) Net Cash from Operation Activities 281,568,842 838,304,063 2 CASH FLOW FROM INVESTING ACTIVITIES: Income from Investments 51,050,829 6,302,227 Sale Proceeds of Fixed assets 5,972,083 8,590,049 Payment for Fixed Assets (1,578,543,208) (750,907,902) Investment in Subsidiaries (123,329,603) (112,108,345) Purchase of Other Investments (20,739,369,613) (18,009,882,895) Sale Proceeds of Other Investments 23,220,957,566 13,923,165,230 Net cash Realised from Investing Activities 836,738,054 (4,934,841,635)
42 Annual Report 2010-11
2010-2011 2009-2010 Rupees Rupees Rupees Rupees 3 CASH FLOW FROM FINANCING ACTIVITIES Interest and Finance Charges (373,296,711) (521,197,989) Issues of Share Capital (Including Premium) - 4,800,000,110 Share Issue Expenses/ Pre - IPO Expenses - (262,324,741) Net Loan Funds borrowed / (repaid) (1,234,467,678) 520,212,171 Net cash Realised from Financing Activities (1,607,764,389) 4,536,689,551 Net increase/(decrease) in Cash and Cash (489,457,493) 440,151,979 equivalent Cash and Cash equivalents at the beginning of year 743,217,554 303,065,575 Cash and Cash equivalents at the end of year 253,760,061 743,217,554 Note: #DQXG5VCVGOGPVJCUDGGPRTGRCTGFD[WUKPI+PFKTGEVOGVJQFCURGT#5QP%CUJ(NQY5VCVGOGPVU %CUJCPF%CUJGSWKXCNGPVUTGRTGUGPV%CUJ$CNCPEGKPJCPFCPF$CNCPEGUYKVJ5EJGFWNG$CPMU%CUJ%CUJGSWKXCNGPVU CVVJGDGIKPPKPIQHVJG[GCTCPFCVVJGGPFQHVJG[GCTCNUQKPENWFGU(KZGF&GRQUKVURNGFIGFCUUGEWTKVKGU4GHGT5EJGFWNG(HQT FGVCKNU &WTKPIVJG2TGXKQWU;GCTCPGORNQ[GGJCUGZEGTEKUGFVJGQRVKQPCVCP'ZGTEKUG2TKEGQH4UYJQUGHCKTOCTMGVXCNWGYCU 4U
As per our report of even date For and on behalf of the Board For G. M. KAPADIA & CO. Chartered Accountants
(ATUL SHAH) (GANAPATHY SUBRAMANIAM) (K . JAYARAMAN) Partner Chief Financial Ofſcer Managing Director & C.E.O.
(MILIND KARNIK) (VINAYAK AGGARWAL) President- Finance & Company Secretary Director
Mumbai Mumbai Dated : 12th August 2011 Dated : 12th August 2011
43 Hathway Cable & Datacom Limited
Schedules Annexed to and forming part of the Balance Sheet as at 31st March, 2011
31-03-2011 31-03-2010 Rupees Rupees SCHEDULE A SHARE CAPITAL Authorised Capital 199,800,000 (199,800,000) Equity Shares of Rupees 10 (10) Each 1,998,000,000 1,998,000,000 200,000 (200,000) Non- Cumulative Redeemable Preference Shares of Rupees 10 (10) Each 2,000,000 2,000,000 2,000,000,000 2,000,000,000 Issued,Subscribed and Paid up Capital 'SWKV[5JCTGUQH4U 'CEJ(WNN[2CKF7R 1,428,571,000 1,428,571,000 Of the above - 74,236,874 (74,236,874) shares are allotted as fully paid-up bonus shares out of Securities Premium Account - 1 (1) share has been allotted as fully paid-up under the Employee Stock Option Plan 'SWKV[5JCTGUQH4U'CEJYGTGKUUWGFQPEQPXGTUKQPQH Fully & Compulsorily Convertible Debentures (FCCD) 'SWKV[5JCTGUQH4U'CEJYGTGKUUWGFCUHWNN[RCKFWRUJCTGU VJTQWIJ+PKVKCN2WDNKE1HHGT 4GHGT0QVG0Q$ VQ5EJGFWNG0 0QPEWOWNCVKXG4GFGGOCDNG2TGHGTGPEG5JCTGUQH4UGCEJ(WNN[2CKF 480,000 480,000 Up issued HQTEQPUKFGTCVKQPQVJGTVJCPECUJRWTUWCPVVQUEJGOGQHFGOGTIGT - The Preference shares are redeemable on or before 12th December 2012 at the option of the Board of Directors 1,429,051,000 1,429,051,000
SCHEDULE B RESERVES & SURPLUS SECURITIES PREMIUM Balances per last Balance Sheet 11,999,692,444 5,304,634,913 Add: Additions during the year : - 6,957,382,272 11,999,692,444 12,262,017,185 Less: Share issue expenses (Refer Note B (33) of Schedule N) - 262,324,741 11,999,692,444 11,999,692,444
SCHEDULE C LOAN FUNDS SECURED LOANS From Banks Cash Credit with Banks - Refer Note (i) - 2,090,344 Vehicle Loans from Banks - Refer Note (ii) 1,166,946 2,809,830 Term Loan - Refer Note (iii) 787,249,998 1,092,916,672 Working Capital Demand Loan - Refer Note (iv) 110,000,000 250,000,000 External Commercial Borrowings from Banks- Refer Note (v) 60,196,500 87,535,500 Buyers Credit from Banks- Refer Note (vi) 664,519,971 778,355,753 From Others Term Loan - Refer Note (vii) 1,135,564,286 1,781,547,625 2,758,697,701 3,995,255,724
44 Annual Report 2010-11
NOTE: K 1WVQHVJGCDQXG4U0+. 2;4U0+. 5CPEVKQPCOQWPV4U 2;4U KUUGEWTGFD[KVGOPQ C CPF D IKXGPDGNQYCPF4U0+. 2;4U 5CPEVKQPCOQWPV4U 2;4U KUUGEWTGFD[KVGOPQ E CPF F IKXGPDGNQYCPF4U0+. 2;4U0+. 5CPEVKQPCOQWPV4U 2;4U KUUGEWTGFD[KVGO PQ C CPF D IKXGPDGNQY C RCTKRCUUWJ[RQVJGECVKQPQHRTGUGPVHWVWTGOQXCDNGCPFKOOQXCDNG(KZGF#UUGVUQHVJG%QORCP[ D RCTKRCUUWJ[RQVJGECVKQPQHRTGUGPVHWVWTG%WTTGPV#UUGVUQHVJG%QORCP[ (c) pari passu hypothecation of present & future inventory and Book Debts of the Company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b) Secured by hypothecation of Current Assets of the Company both present & future and extension of pari passu hypothecation of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d) undertaking given by certain shareholders of the Company for non- disposal of their shareholding in the Company so long as 6GTO.QCPKUQWVUVCPFKPIVQVJGVWPGQH4U 2;4U G RCTKRCUUWſTUVEJCTIGQPRTGUGPVHWVWTGDQQMFGDVUQRGTCVKPIECUJƀQYUTGEGKXCDNGUEQOOKUUKQPUTGXGPWGUQHYJCVUQGXGT PCVWTG H (KTUVEJCTIGQPVJGWPECNNGFECRKVCNQHVJGEQORCP[ I 2GTUQPCN)WCTCPVGGUIKXGPD[QPGQHVJGFKTGEVQTUQHVJG%QORCP[ 2;VQVJGVWPGQH4U J 2NGFIGQH 2; HWNN[RCKFGSWKV[UJCTGUQH)WLCTCV6GNGNKPM2TKXCVG.KOKVGF K .KGPQP 2; WPKVUQH+&(%(KZGF/CVWTKV[;GCTN[5GTKGU L .KGPQP(KZGF&GRQUKVUYKVJ$CPMQH4U 2;4U0+.
45 Hathway Cable & Datacom Limited
0,054 98,355 ,261,133 As at (In Rupees) 31-03-2010 4,532,992,277 r Total WDV As at 84,945,911 5,274,842,331 84,945,911 ,274,842,331 5,468,867,988 ,274,842,331 31-03-2011 ,687 4,678,132,865 ,687 4,425,073,685 ----> <------Net Block------> As at 31-03-2011 March, 2011 st year during the Deductions 5QHVYCTG4U 2TGXKQWU;GCT4U0KN 2NCPVCPF Additions during the year (Note 2) 3,259,634 4,098,991 9,658,639 153,497,430 337,523,985 121,465 26,539 503,939,687 - 4,246,995 15,344,701 18,801,958 0 - 34,146,659 28,920,144 32,950,733 ------28,920,144 32,950,733 As at 01-04-2010 As at 31-03-2011 GUKORCKTOGPVUQH)QQFYKNN4U0KN 2TGXKQWU;GCT4U year during the Deductions year Additions during the As at 15,765,522 2,006,584 - 17,772,106 10,919,179 927,985 - 11,847,164 5,924,942 4,846,343 17,605,382 395,551 206,893 17,794,040 9,487,573 1,418,263 125,883 10,779,953 7,014,087 8,117,809 719,970,433 20,003,996 2,080,000 737,894,429 198,477,870 35,728,442 251,570 233,954,742 503,939,687 521,492,563 01-04-2010 1,492,585,576 32,562,836 1,389,863,882 135,284,530 750,735,522 168,370,869 133,446,727 785,659,664 604,204,218 741,85 7,209,789,668 1,143,608,692 7,209,789,668 8,233,037,669 120,360,691 2,676,797,391 862,475,196 4,780,741,693 3,452,295,976 86,976,611 /CEJKPGT[4U 2TGXKQWU;GCT4U SCHEDULE D <------Gross Block ( at Cost ) ------> <------Depreciation/Amortisation/Impairment------Intangible Assets Goodwill 259,193,747 Tangible Assets Plant and Machinery - 1,119,172,798 6,874,609,726 7,892,724,552 101,057,972 9,373 259,184,374 2,449,536,041 838,221,778 3,214,591 73,166,132 206,037,437 19,000,278 - 225,037,715 34,146,659 53,156,310 1) Range of remaining period amortisation Intangible Assets is as below : to 5 Year 0 5 to 10 Year 10 to 15 Year 15 to 20 Yea Air Conditioners 26,164,607 2,412,353 103,540 28,473,420 15,073,342 1,851,491 76,605 16,848,228 11,625,192 11,091,265 Cable Television Franchisee Movie Rights Cable Television Franchisee Goodwill Softwares Bandwidth Rights Structural Fittings 23,459,304 2,049,352 - 25,508,656 6,337,389 931,142 - 7,268,531 18,240,125 17,121,915 Furniture & Fixtures 85,372,892 4,200,721 2,514,884 87,058,729 56,111,759 6,026,259 1,156,294 60,981,724 26,077,005 29 Movie Rights 22,095,181 - 3,602,302 18,492,879 13,566,116 4,282,070 3,602,302 14,245,884 4,246,995 8,529,065 Softwares 82,663,827 12,558,840 - 95,222,667 53,190,066 13,112,457 - 66,302,523 28,920,144 29,473,761 Mobile, Pagers & Telephones Bandwidth Rights 408,662,388 - 129,592,855 279,069,533 279,464,033 96,247,622 129,592,855 246,118,800 32,950,733 129,1 Computers 104,002,108 11,342,773 2,832,870 112,512,011 90,446,193 8,170,670 2,730,770 95,886,093 16,625,918 13,555,915 1HſEG'SWKROGPVU Electrical FittingsMotor Vehicles 23,941,749 1,317,648 37,067,613 708,284 4,500 13,640,032 25,254,897 24,135,865 13,270,449 23,949,783 1,761,496 3,145,136 9,716,427 4,500 17,378,492 15,027,445 6,757,373 10,227,452 13,117,830 10,671,300 Previous Year 8,211,793,163 826,847,495 8,702,375,244 336,265,414 2,742,925,175 878,665,360 5 3,427,532,913 194,057,622 Total Total 1,176,171,528 8,702,375,244 9,622,901,551 255,645,221 1,030,846,065 3,427,532,913 5,3 4,237,955,640 220,423,338 Movie Master Tapes 1,800,765 2,628 - 1,803,393 1,665,683 20,976 - 1,686,659 116,734 135,082 Schedules Annexed to and forming part of the Balance Sheet as at 31 FIXED ASSETS #FFKVKQPUVQ&GRTGEKCVKQP#OQTVKUCVKQP+ORCKTOGPV+PENWF Note :
46 Annual Report 2010-11
Schedules Annexed to and forming part of the Balance Sheet as at 31st March, 2011 FACE VALUE SCHEDULE E Rupees 31-03-2011 31-03-2010 Per Unit 3uantity Rupees 3uantity Rupees INVESTMENTS (Fully Paid)
Long Term Trade (Quoted) Equity Shares of Subsidiary Company *CVJYC[$JCYCPK%CDNGVGNCPF&CVCEQO.VF 10 1,920,000 22,800,000 1,920,000 22,800,000 22,800,000 22,800,000 /CTMGV8CNWGQH3WQVGF+PXGUVOGPVU 4GHGT0QVG0Q$ 17,952,000 16,224,000 (30) of Schedule N) Long Term Trade (Unquoted) Equity Shares of Subsidiary Companies )WLCTCV6GNGNKPM2XV.VF 10 705,000 1,250,721,167 705,000 1,250,721,167 *CVJYC[$JCUMCT/WNVKPGV2XV.VF 10 598,944 390,951,539 598,944 390,951,539 *CVJYC[5CK5VCT%CDNG&CVCEQO2XV.VF 10 68,850 270,914,254 51,000 200,914,254 *CVJYC[5QPCNK1O%T[UVCN%CDNG2XV.VF 10 51,000 163,608,000 51,000 163,608,000 *CVJYC[0GY%QPEGRV%CDNG&CVCEQO2XV.VF 10 25,500 71,400,002 25,500 71,400,002 *CVJYC[4CLGUJ/WNVK%JCPPGN2XV.VF 10 122,354 62,831,844 114,699 58,907,810 *CVJYC[%JCPPGN%CDNG&CVCEQO2XV.VF 10 249,000 62,819,311 249,000 62,819,311 *CVJYC[/GFKC8KUKQP2XV.VF 10 65,040 59,231,098 65,040 59,231,098 *CVJYC[-TKUJPC%CDNGU2XV.VF 10 4,860,000 48,600,000 4,860,000 48,600,000 *CVJYC[/%02XV.VF 10 510,000 40,800,000 510,000 40,800,000 *CVJYC[&CVVCVTC[%CDNG0GVYQTM2XV.VF 10 20,400 40,522,500 20,400 40,522,500 -QMCP%T[UVCN%CDNG0GVYQTM2XV.VF 10 27,990 22,950,000 - - +FGCN%CDNGU2XV.VF 10 76,020 22,210,200 26,020 2,210,200 0GV1PNKPG*CVJYC[2XV.VF 10 5,000 20,050,000 5,000 20,050,000 %JCPPGNU+PFKC0GVYQTM2XV.VF 10 87,500 10,855,000 87,500 10,855,000 *CVJYC[.CVWT/%0%CDNG&CVCEQO2XV.VF 10 51,000 9,180,560 51,000 9,180,560 *CVJYC[,CK/CVC&K5JGTCYCNK%CDNG&CVCEQO2XV.VF 10 800,000 8,000,000 800,000 8,000,000 8KUKQP+PFKC0GVYQTMU2XV.VF 10 87,700 7,439,500 87,700 7,439,500 *CVJYC[2CNCORWT%CDNG&CVCEQO2XV.VF 10 15,300 6,760,000 15,300 6,760,000 *CVJYC[&KIKVCN5CJCTCPRWT%CDNG&CVCEQO2XV.VF 10 10,200 6,555,569 10,000 100,000 *CVJYC[%0GV2XV.VF 10 100,000 5,985,000 100,000 5,985,000 %JGPPCK%CDNG8KUKQP0GVYQTM2XV.VF 10 136,800 5,634,482 136,800 5,634,482 Hathway Cable MCN Nanded Pvt Ltd 10 491,987 4,919,870 491,987 4,919,870 *CVJYC[0CUJKM%CDNG0GVYQTM2XV.VF 10 45,300 4,503,000 45,300 4,503,000 *CVJYC[+%'6GNGXKUKQP2XV.VF 10 102,000 4,080,000 102,000 4,080,000 $GG0GVYQTM%QOOWPKECVKQP2XV.VF 10 99,989 3,999,140 99,989 3,999,140 *CVJYC[/[UQTG%CDNG0GVYQTM2XV.VF 10 292,100 2,921,000 292,100 2,921,000 760%CDNG%QOOWPKECVKQPU2XV.VF 10 25,500 2,632,440 25,500 2,632,440 *CVJYC[2TKOG%CDNG&CVCEQO2XV.VF 10 229,500 2,295,000 229,500 2,295,000 9KP%CDNGCPF&CVCEQO2XV.VF 10 200,000 2,000,000 200,000 2,000,000 *CVJYC[5QHVYCTG&GXGNQRGTU2XV.VF 10 195,000 1,950,000 195,000 1,950,000 'NKVG%CDNG0GVYQTM2XV.VF 10 48,000 480,000 48,000 480,000 *CVJYC[5RCEG8KUKQPCPF%CDNGVGN2XV.VF 10 10,020 100,200 10,020 100,200 $KPCT[6GEJPQNQI[6TCPUHGTU2XV.VF 100 1,000 100,000 1,000 100,000 *CVJYC['PLQ[%CDNG0GVYQTM2XV.VF 10 10,000 100,000 10,000 100,000 *CVJYC[)YCNKQT%CDNG&CVCEQO2XV.VF 10 10,000 100,000 10,000 100,000 *CVJYC[+PVGTPGV5CVGNNKVG2XV.VF 10 10,000 100,000 10,000 100,000 *CVJYC[,/&(CTWMCDCF%CDNG&CVCEQO2XV.VF 10 10,000 100,000 10,000 100,000 *CVJYC[7PKVGF%CDNGU2XV.VF 10 10,000 100,000 10,000 100,000 *CVJYC[7PKXGTUCN%CDNGVGNCPF&CVCEQO2XV.VF 100 1,000 100,000 1,000 100,000 +68+PVGTCEVKXG/GFKC2XV.VF 100 1,000 100,000 1,000 100,000 .KDGTV[/GFKC8KUKQP2XV.VF 10 10,000 100,000 10,000 100,000 *CVJYC[/CPVTC%CDNG&CVCEQO2XV.VF 10 9,800 98,000 9,800 98,000
2,618,898,676 2,495,569,073 Less : Provision for diminution in value 114,625,833 51,806,522 2,504,272,843 2,443,762,551 2; 2NGFIGFYKVJC(KPCPEKCN +PUVKVWVKQP
47 Hathway Cable & Datacom Limited
Schedules Annexed to and forming part of the Balance Sheet as at 31st March, 2011 FACE VALUE SCHEDULE E Rupees 31-03-2011 31-03-2010 Per Unit Quantity Rupees Quantity Rupees Preference Shares of Subsidiary Company *CVJYC[$JCUMCT/WNVKPGV2XV.VF 10 26,020 260,200 26,020 260,200 260,200 260,200 Equity Shares of Other Companies
*CVJYC[5WMJCOTKV%CDNG&CVCEQO2XV.VF 10 72,628 41,021,784 72,628 41,021,784 *CVJYC[,JCPUK,/&54%CDNG&CVCEQO2XV.VF 10 60,000 2,206,295 60,000 2,206,295 *CVJYC[8%0%CDNGPGV2XV.VF 10 12,520 1,006,132 12,520 1,006,132 *CVJYC[%CDNG'PVGTVCKPOGPV2XV.VF 10 47,009 470,594 47,009 470,594 2CP%CDNG5GTXKEGU2XV.VF 10 10 100 10 100 44,704,905 44,704,905 Less : Provision for diminution in value 3,212,528 3,212,528 41,492,377 41,492,377 5WDUKFKCT[WRVQst September 2009 Government Securities 0CVKQPCN5CXKPIU%GTVKſECVGU 1,336,360 1,247,860 (Deposited with Government Authorities) 1,336,360 1,247,860 Investments in Partnership Firms Hathway Jai Mata Di Balaji Cable Network - 105,731 Mona Cable - 52,569 Mantra Enterprises - 22,000 - 180,300 Less: Provision for doubtful investments - 105,731 - 74,569 Current Non-trade (Quoted) Investment in Certiſcate of Deposits of Banks Vijaya Bank 100,000 5,000 497,141,850 - Yes Bank 100,000 2,500 248,902,685 - Canara Bank 100,000 2,500 249,369,298 - 995,413,833 - Current Non-trade (Unquoted) Units of Debt Market Mutual Funds HDFC Mutual Fund .KSWKF(WPF)TQYVJ 10 - - 106,000 1,322,202 - Cash Management Fund Savings Plan - Institutional- 10 - - 17,448,303 352,227,150 Growth ICICI Prudential Plan (/25GTKGU/106*52.#0% 10 3,500,000 37,406,600 3,500,000 35,000,000 - Interval Fund II- Quarterly Interval Plan F- Inst- 10 9,335,238 100,000,000 - - Growth IDFC Mutual Fund - Money Manager Fund- Treasury Plan-Super Inst Plan 10 8,723,053 101,626,189 46,002,556 502,274,305 C - Growth (/2;GCTN[5GTKGU 10 3,500,000 35,000,000 - - ING Mutual Fund - Treasury Advantage Fund - Institutional - Growth 10 - - 81,381,241 1,003,569,055 Templeton India Fund - Ultra Short Bond Fund- Super Institutional- Growth 10 - - 42,399,248 502,329,332 DSP Blackrock Fund - Floating Rate Fund- Institutional- Growth 10 - - 454,360 602,453,942 Kotak Mutual Fund - Flexidebt Fund- Institutional- Growth 10 - - 17,738,128 200,919,770 SBI Mutual Fund - Ultra short term- Institutional- Growth 10 - - 33,493,364 401,752,898 Axis Mutual Fund - Treasury Advantage- Growth 10 - - 98,328 100,416,962
48 Annual Report 2010-11
Schedules Annexed to and forming part of the Balance Sheet as at 31st March, 2011 FACE VALUE SCHEDULE E Rupees 31-03-2011 31-03-2010 Per Unit Quantity Rupees Quantity Rupees Reliance Money Manager Fund- Institutional- Growth - Money Manager Fund- Institutional- Growth 10 56,823 76,051,995 120,073 150,677,631 - Monthly Interval Fund- Series I - Institutional -Growth 10 - - 12,080,410 150,020,569 - Monthly Interval Fund- Series II - Institutional -Growth 10 7,518,175 100,000,000 - - Bharti Axa Mutual Fund - Treasury Advantage Fund -Institutional Plan- Growth 10 - - 134,717 150,018,264 Fidelity Mutual Fund - Ultra Short Term Debt Fund- Super Institutional- 10 28,976,564 368,805,011 - - Growth
818,889,795 4,152,982,080 (Note :Current Non - trade ( Unquoted ) Investments KPENWFGU+PXGUVOGPVUCOQWPVKPIVQ4U 2;4U TGRTGUGPVUWPWVKNKUGFOQPKGU TCKUGFD[KUUWGQHGSWKV[UJCTGU
Total Investments 4,384,465,408 6,662,619,637
Total of Quoted Investments 22,800,000 22,800,000 Total of Unquoted Investments 4,361,665,408 6,639,819,637 +PENWFGU0KNWPKVU 2;WPKVU YJGTGNKGPJCUDGGPOCTMGFKPHCXQWTQHC$CPM +PENWFGU0KNWPKVU 2;WPKVU YJGTGNKGPJCUDGGPOCTMGFKPHCXQWTQHC(KPCPEKCN+PUVKVWVKQP +PENWFGUWPKVU 2;0KNWPKVU YJGTGNKGPJCUDGGPOCTMGFKPHCXQWTQHC(KPCPEKCN+PUVKVWVKQP
49 Hathway Cable & Datacom Limited
Details of Non - Trade Unquoted Investments Purchased and Sold During the Year Name of the Mutual Fund / Shares Quantity Face Value (Rupees) Reliance Monthly Interval Fund- Series II - Institutional -Growth 12,080,410 10 HDFC Cash Management Treasury Advantage - Institutional- Growth 6,806,775 10 HDFC Cash Management Treasury Advantage - Institutional- Growth 6,585,513 10 HDFC Liquid Fund 106,000 10 Bharti Axa Treasury Advantage Fund -Institutional Plan- Growth 107,365 1,000 Bharti Axa Treasury Advantage Fund -Institutional Plan- Growth 27,352 1,000 HDFC Cash Management Treasury Advantage - Institutional- Growth 4,056,016 10 Reliance Money Manager Fund- Institutional- Growth 80,108 1,000 DSP Blackrock Floating Rate Fund- Institutional- Growth 149,618 1,000 ING Treasury Advantage Fund- Institutional- Growth 16,107,469 10 TI Ultra Short Bond Fund- Super Institutional- Growth 16,743,828 10 IDFC Money Manager Fund- Treasury Plan C- Growth 9,083,560 10 ING Liquid Fund- Super Institutional- Growth 51,357,302 10 TI Treasury Management Account- Super Institutional- Growth 222,420 10 IDFC Cash Fund- Super Institutional- Growth 36,032,648 10 DSP Blackrock Liquidity Fund- Institutional- Growth 307,050 1,000 Kotak Liquid- Institutional Premium- Growth 10,776,140 10 SBI Premier Liquid Fund- Institutional- Growth 10,567,424 10 Axis Liquid Fund- Institutional- Growth 98,583 1,000 Reliance Liquidity Fund- Growth 14,462,505 10 LICMF Liquid Fund- Growth 11,773,392 10 ICICI Prudential Liquid -Super Institutional- Growth 726,714 100 ING Treasury Advantage Fund- Institutional- Growth 8,042,917 10 SBI SNDF- Ultra short term- Institutional- Growth 12,367,972 10 SBI SNDF- Ultra short term- Institutional- Growth 8,242,732 10 ING Treasury Advantage Fund- Institutional- Growth 16,049,432 10 IDFC Money Manager Fund- Treasury Plan C- Growth 9,048,382 10 DSP Blackrock Floating Rate Fund- Institutional- Growth 149,042 1,000 ING Liquid Fund Super Institutional- Growth 14,395,014 10 IDFC Cash Fund - Super Inst- Plan C- Growth 8,827,138 10 DSP BlackRock Liquidity Fund - Institutional Plan - Growth 150,093 10 LICMF Savings Plus Fund Growth Plan 13,548,696 10 IDFC Money Manager Fund - Tresury Plan C 36,914,737 10 Kotak Flexidebt Scheme Institutional 17,738,129 10 SBI SHF Ultra Short Term Institutional 12,882,665 10 Axis Treasury Advantage- Institutional- Growth 98,329 1,000 Reliance Money Manager Fund- Institutional- Growth 159,647 1,000 ICICI Prudential Long Term Floating Rate Plan - Plan C- Growth 10,001,504 10 DSP Blackrock Floating Rate Fund- Institutional- Growth 155,699 1,000 DSP Blackrock Floating Rate Fund- Institutional- Growth 148,984 1,000 ING Treasury Advantage Fund- Institutional- Growth 17,598,311 10 Bharti AXA Short Term Income Fund - Institutional Plan - Growth 9,419,389 10 Bharti AXA Short Term Income Fund - Institutional Plan - Growth 9,579,895 10 Reliance Liquidity Fund- Growth 3,539,272 10 DSP Blackrock Liquidity Fund- Institutional- Growth 119,138 1,000 Axis Liquid Fund- Institutional- Growth 98,537 1,000 Reliance Liquidity Fund- Growth 10,920,843 10 Kotak Liquid- Institutional Premium- Growth 10,772,558 10 HDFC Cash Management Fund Savings Plan- Growth 5,092,376 10
50 Annual Report 2010-11
Details of Non - Trade Unquoted Investments Purchased and Sold During the Year Name of the Mutual Fund / Shares Quantity Face Value (Rupees) DSP Blackrock Liquidity Fund- Institutional- Growth 186,010 1,000 ICICI Prudential Liquid -Super Institutional- Growth 727,084 100 ICICI Prudential Liquid -Super Institutional- Growth 416,203 100 DSP Blackrock Liquidity Fund- Institutional- Growth 1,573 1,000 Reliance Money Manager Fund- Institutional- Growth 38,997 1,000 ING Liquid Fund- Super Institutional- Growth 7,174,013 10 ING Treasury Advantage Fund- Institutional- Growth 14,016,422 10 TI Ultra Short Bond Fund- Super Institutional- Growth 25,655,614 10 IDFC Cash Fund- Super Institutional- Plan C- Growth 36,019,801 10 LICMF Liquid Fund- Growth 4,071,448 10 SBI Premier Liquid Fund- Institutional- Growth 6,700,572 10 SBI Premier Liquid Fund- Institutional- Growth 3,867,946 10 DSP Blackrock Money Manager Fund- Institutional- Growth 74,559 1,000 Axis Treasury Advantage Fund- Institutional- Growth 98,334 1,000 Fidelity FMP Series 2 - Plan A- Growth (3 month FMP) 20,002,690 10 UTI Liquid Fund - Cash Plan - Institutional -Growth 161,528 10 DSP Blackrock Money Manager Fund- Institutional- Growth 47,909 1,000 DSP Blackrock Money Manager Fund- Institutional- Growth 1,617 1,000 Kotak Floater-Long Term- Growth 3,721,970 10 ING Treasury Advantage Fund- Institutional- Growth 278,826 10 ING Treasury Advantage Fund- Institutional- Growth 16,042,726 10 ING Liquid Fund Super Institutional - Growth 14,647,743 10 Kotak Liquid Institutional (Premium)- Growth 1,608,827 10 Reliance Monthly Interval Fund- Series II- Institutional- Growth (1 month FMP) 3,931,961 10 Kotak Floater-Long Term- Growth 10,034,989 10 Reliance Money Manager Fund- Institutional- Growth 81,588 1,000 ING Treasury Advantage Fund- Institutional- Growth 9,288,760 10 LICMF Liquid Fund- Growth 7,702,675 10 Kotak Liquid Institutional (Premium)- Growth 1,305,435 10 DSP Blackrock Liquidity Fund- Institutional- Growth 48,168 1,000 Fidelity FMP Series 2 - Plan E- Growth (3 month FMP) 15,002,012 10 HDFC FMP 35D August 2010 (2)- Series XIV 20,000,000 10 Kotak Floater-Long Term- Growth 2,054,706 10 Kotak Liquid (Institutional Premium) Growth 3,644,941 10 ICICI Prudential Liquid Super Institutional Plan - Growth 357,147 10 Reliance Monthly Interval Fund- Series I- Institutional Growth Plan (1 month FMP) 3,937,659 10 HDFC Cash Management Fund -Treasury Advantage - wholesale - Growth 5,774,978 10 ING Treasury Advantage Fund- Institutional- Growth 4,728,319 10 LIC Liquid Fund - Growth Plan 5,732,367 10 DSP Blackrock FMP -3M Series 19- Growth (maturity 25 Nov 10) 25,000,000 10 HDFC Cash Management Fund -Treasury Advantage - wholesale - Growth 3,927,490 10 Fidelity FMP Series III Plan C Option Growth 20,289,929 10 Fidelity Fixed Maturity Plan Series III - Plan D -Growth 15,000,000 10 LICMF Interval Fund – Monthly Plan Series 1 – Growth 8,363,154 10 ING Treasury Advantage Fund- Institutional- Growth 7,691,095 10 ING Liquid Fund Super Institutional Growth 6,901,326 10 Fidelity Ultra Short Term Debt Fund- Institutional- Growth 12,321,452 10 Fidelity Cash Fund (Super Institutional) Growth 11,719,016 10 ING Treasury Advantage Fund- Institutional- Growth 3,901,830 10
51 Hathway Cable & Datacom Limited
Details of Non - Trade Unquoted Investments Purchased and Sold During the Year Name of the Mutual Fund / Shares Quantity Face Value (Rupees) Reliance Money Manager Fund- Institutional- Growth 39,017 1,000 UTI Floating Rate- Institutional - Growth (1 month FMP) 235,725 1,000 ICICI Prudential Ultra Short Term Plan - Premium Plus 8,517,485 10 ICICI Prudential Ultra Short Term Plan - Premium Plus 2,838,624 10 ICICI Prudential Ultra Short Term Plan - Premium Plus 4,721,359 10 Reliance Floating Rate Fund - Short Term Plan - Growth 8,054,178 10 Reliance Floating Rate Fund - Short Term Plan - Growth 3,382,838 10 LIC MF Liquid Fund- Growth 5,737,243 10 UTI Liquid Cash Plan Institutional - Growth 31,607 10 UTI Liquid Cash Plan Institutional - Growth 85,247 10 Kotak Quarterly Interval Plan Series 10 - Growth 9,083,104 10 ICICI Prudential Interval Fund V – Monthly Interval Plan A –Institutional Plan – Growth 16,581,491 10 DSP Blackrock FMP – 3M- Series 24 - Growth 25,441,000 10 Fidelity FMP Series 4-Plan C - Growth 20,663,995 10 Reliance Monthly Interval Fund - Series I - Institutional Growth Plan 13,241,858 10 IDFC Money Manager Fund- Treasury Plan-Super Inst Plan C - Growth 4,378,092 10 IDFC Money Manager Fund- Treasury Plan-Super Inst Plan C - Growth 4,347,788 10 ICICI Prudential Floating Rate Plan D- Growth 687,804 10 ICICI Prudential Floating Rate Plan D- Growth 1,110,796 10 Fidelity Ultra Short Term Debt Fund- Super Institutional- Growth 12,318,451 10 Fidelity Ultra Short Term Debt Fund- Super Institutional- Growth 16,685,602 10 Reliance Money Manager Fund- Institutional- Growth 74,768 1,000 Reliance Money Manager Fund- Institutional- Growth 56,848 1,000 IDFC Cash Fund- Super Inst Plan C- Growth 8,523,041 10 Fidelity Cash Fund- Super Institutional- Growth 27,615,294 10 Reliance Liquidity Fund- Growth 5,151,457 10 ING Treasury Advantage Fund- Institutional- Growth 4,597,490 10 UTI Treasury Advantage Fund- Institutional- Growth 45,768 1,000 UTI Treasury Advantage Fund- Institutional- Growth 32,240 1,000 ING Treasury Advantage Fund- Institutional- Growth 3,091,916 10 ICICI Prudential FMP Series 51- 13MONTHS PLAN C 3,500,000 10 ICICI Prudential Long Term Floating Rate Plan - Plan C-Growth (6 months) 15,738,543 10 HDFC Cash Management Fund Savings Plan 726 10 ICICI Prudential Liquid- Super Institutional- Growth 1,114,233 10 HDFC Short Term Plan- Growth (6 months) 5,450,661 10
52 Annual Report 2010-11
Schedules Annexed to and forming part of the Balance Sheet as at 31st March, 2011
Rupees 31-03-2011 31-03-2010 Rupees Rupees SCHEDULE F CURRENT ASSETS, LOANS & ADVANCES CURRENT ASSETS Inventories : - Stock of Spares & Maintenance Items 18,802,217 24,961,275 Sundry Debtors (Unsecured but Considered Good, to the extent not provided for) - Outstanding for More than 6 Months 861,518,388 809,733,351 - Others 1,174,050,927 767,757,660 2,035,569,315 1,577,491,011 Less: Provision for Bad and Doubtful Debts 423,623,091 362,923,371 1,611,946,224 1,214,567,640 Cash and Bank Balances Cash in hand 4,539,954 3,904,335 Balance with Scheduled Banks - In Current Accounts 134,357,940 712,069,290 - In Fixed Deposits 114,862,167 29,334,274 4U 2;4U RNGFIGFCU5GEWTKVKGUCICKPUV6GTO 253,760,061 745,307,899 Loan and Non fund based facilities granted by Banks) $CNCPEGKP%WTTGPV#EEQWPVYKVJ5EJGFWNG$CPMKPENWFGU4U 2; TGRTGUGPVUWPWVKNKUGFOQPKGUTCKUGFD[KUUWGQHGSWKV[UJCTGU LOANS AND ADVANCES (Unsecured but considered good, to the extent not provided for) Sundry Deposits 175,830,153 136,738,027 Advances recoverable in cash or kind for value to be received Advances to Subsidiaries 676,784,376 672,178,413 #FXCPEGUVQſTOKPYJKEJ5WDUKFKCT[%QORCPKGUCTGRCTVPGT 165,015,779 148,533,161 Advances to other Cable Ventures 61,018,580 53,432,508 Advances for Network Acquisitions 9,507,614 13,292,226 Sundry Advances 184,223,871 96,488,334 Loans given 11,447,849 20,716,138 Share Application Money with Subsidiary Companies 117,732,490 1,126,294 Prepaid Expenses 150,943,066 117,601,881 Direct Taxes Paid (Net of Provision) 158,168,053 142,698,985 CENVAT Receivable 59,400,525 134,661,243 Service Tax Claimable 130,052,182 104,131,291 Staff Advances 3,428,589 3,101,407 Staff Loans 5,189,091 4,296,199 Other Receivables 5,252,989 6,037,808 1,738,165,055 1,518,295,888 Less: Provision for doubtful advances #ICKPUV#FXCPEGUVQ5WDUKFKCTKGUſTOKPYJKEJ5WDUKFKCT[%QORCPKGU 631,995,971 607,629,002 are partner / Other Cable Ventures - Against Advances to Others 9,324,895 8,324,895 1,096,844,189 902,341,991 Total Current Assets 3,157,182,844 3,023,916,832
53 Hathway Cable & Datacom Limited
Rupees 31-03-2011 31-03-2010 Rupees Rupees SCHEDULE G CURRENT LIABILITES & PROVISIONS CURRENT LIABILITIES 5WPFT[%TGFKVQTUHQT%CRKVCN)QQFU 638,693,140 679,170,294 5WPFT[%TGFKVQTUHQT'ZRGPUGUCPF6TCFG.KCDKNKVGU 532,360,212 667,648,186 Income received in Advance 405,289,684 448,139,962 Outstanding Liabilities for Expenses 140,853,380 120,058,071 Interest Payable 7,735,853 12,703,688 Service Tax accrued but not due 170,621,607 123,473,353 Other Liabilities 94,696,241 142,150,614 Security Deposits Received 114,311,644 117,373,858 2,104,561,761 2,310,718,026 PROVISIONS 2TQXKUKQPHQT'ORNQ[GG$GPGſVU 46,362,577 38,958,091 Provision for Wealth Tax 70,000 117,065 46,432,577 39,075,156 2,150,994,338 2,349,793,182 6JKUKPENWFG4U 2;4U FWGVQ5OCNN/KETQ'PVGTRTKUGU
54 Annual Report 2010-11 Schedules Annexed to and forming part of the Proſt & Loss Account for the year ended 31St March, 2011 2010-2011 2009-2010 Rupees Rupees SCHEDULE H INCOME FROM OPERATIONS Subscription Income 4,362,682,413 3,734,277,444 Consultancy Income 153,662,854 97,847,416 Rental Income on Equipments 109,615,485 108,917,614 Advertisement Income 35,471,912 39,473,352 +PVGTGUV%CDNG8GPVWTGU 6&54U 2;4U 577,800 2,233,054 Sale of Access Devices 5,165,672 2,300,042 Other Operational Income 71,491,246 35,194,496 4,738,667,382 4,020,243,414
SCHEDULE I OTHER INCOME 2TQſVQP5CNGQH%WTTGPV+PXGUVOGPVU 0GV 142,923,434 27,202,499 +PVGTGUVQP%GTVKſECVGQH&GRQUKVU 44,150,203 - Amount No Longer Payable Written Back 9,869,948 10,573,853 +PVGTGUVQP(KZGF&GRQUKVU 6&54U 2;4U 5,997,784 3,660,740 Interest on Income Tax Refund 4,438,978 - +PVGTGUVQP.QCPU 6&54U0KN 2;4U0KN 325,041 408,433 Discount Received 20,112 1,984,744 Dividend Income on Current non-trade Investments - 344,168 Miscellaneous Income 3,214,742 3,202,207 210,940,242 47,376,644
SCHEDULE J OPERATIONAL EXPENSES Pay Channel Cost 1,196,935,848 1,054,236,139 Distribution Cost 282,313,802 161,921,404 Commission 229,805,115 201,734,671 Repairs & Maintenance ( Plant & Machinery ) 134,330,533 144,111,075 Bandwidth & Lease Line Cost 118,353,277 126,755,258 Rent 91,375,531 75,023,367 Feed charges 44,604,293 42,500,141 Consultancy & Technical Fees 34,339,752 33,456,866 Other Sundry Operational Cost 24,953,664 22,576,826 Freight & Octroi Charges 19,869,180 14,566,573 Software & Programming Cost 18,035,722 25,032,084 Cost of Access Devices sold 14,038,568 6,243,217 Hire Charges 11,902,303 23,587,649 2,220,857,588 1,931,745,270
55 Hathway Cable & Datacom Limited
2010-2011 2009-2010 Rupees Rupees SCHEDULE K STAFF COST Salaries & Bonus 317,757,400 247,503,181 Contribution to Funds 25,369,332 13,954,895 Other Staff Cost 47,358,917 41,437,265 Employee Compensation Expense 4,802,882 7,469,869 Staff Welfare 21,173,181 17,498,348 416,461,712 327,863,558
SCHEDULE L SELLING, ADMINSTRATION AND GENERAL EXPENSES Service Charges 324,583,523 301,480,570 Bad Debts 230,998,520 383,358,525 Less: Transferred from Provision for Bad and Doubtful Debts 230,998,520 383,358,525 - - Provision for Bad and Doubtful debts 291,698,241 258,904,317 Electricity Expenses 84,139,488 74,883,797 Rates & taxes 70,428,726 69,835,253 1HſEG'ZRGPUGU 61,565,921 56,536,689 Rent 50,551,832 44,677,053 Conveyance 49,717,876 49,500,722 Legal & Professional Charges 53,525,937 47,160,859 Advertisement & Publicity Expenses 41,956,928 25,668,997 Loss on disposal / shortage of assets 40,933,057 24,707,551 Communication Charges 39,087,878 40,233,592 Repairs & Maintainance (Others) 23,323,782 22,375,569 Travelling 19,218,992 14,552,286 Miscellaneous Expenses 14,789,714 7,793,133 Printing & Stationery 14,619,463 12,714,198 Business Promotion Expenses 10,198,191 5,890,753 Sundry Advances Written Off 3,264,665 2,222,927 Insurance Charges 2,868,139 2,916,959 Interest on Taxes 1,541,600 1,183,421 Directors' Sitting Fees 1,290,000 430,000 Brokerage 1,115,600 457,150 Provision for Bad & Doubtful Advances 890,769 1,264,501 Hire Charges 250,319 118,756 Donation 184,930 219,315 Wealth Tax 70,000 110,000 5JCTGQH.QUUKP2CTVPGTUJKRſTO - 11,181 1,201,815,571 1,065,849,549
SCHEDULE M Interest and Finance Charges Interest and Finance Charges 316,221,150 465,362,995 Bank Charges 70,155,750 43,734,391 386,376,900 509,097,386
56 Annual Report 2010-11
Signiſcant Accounting Policies and Notes Forming Part of Accounts for the year ended 31st March 2011. SCHEDULE N BACKGROUND The Company is Multi System Operator (MSO) and engaged in distribution of television channels through analog and digital cable distribution network and internet services through cable. A. SIGNIFICANT ACCOUNTING POLICIES 1) METHOD OF ACCOUNTING: 6JGUGſPCPEKCNUVCVGOGPVUCTGRTGRCTGFQPCEETWCNDCUKUQHCEEQWPVKPIHQNNQYKPIJKUVQTKECNEQUVEQPXGPVKQPKPCEEQTFCPEGYKVJVJG RTQXKUKQPUQHVJG%QORCPKGU#EV ŎVJG#EVŏ CEEQWPVKPIRTKPEKRNGUIGPGTCNN[CEEGRVGFKP+PFKCCPFEQORN[YKVJVJGCEEQWPVKPI UVCPFCTFURTGUETKDGFKPVJG%QORCPKGU #EEQWPVKPI5VCPFCTFU 4WNGUKUUWGFD[VJG%GPVTCN)QXGTPOGPVKPEQPUWNVCVKQPYKVJ VJG0CVKQPCN#FXKUQT[%QOOKVVGGQP#EEQWPVKPI5VCPFCTFUVQVJGGZVGPVCRRNKECDNG6JGCEEQWPVKPIRQNKEKGUJCXGDGGPEQPUKUVGPVN[ applied by the Company and are consistent with those used in the previous year. 2) USE OF ESTIMATES: 6JGRTGRCTCVKQPQHVJGſPCPEKCNUVCVGOGPVUKPEQPHQTOKV[YKVJ+PFKCP)##2TGSWKTGUOCPCIGOGPVVQOCMGGUVKOCVGUCPFCUUWORVKQPU VJCVCHHGEVVJGTGRQTVGFCOQWPVUQHCUUGVUCPFNKCDKNKVKGUFKUENQUWTGQHEQPVKPIGPVNKCDKNKVKGUCUCVVJGFCVGQHſPCPEKCNUVCVGOGPVU CPFTGRQTVGFCOQWPVUQHTGXGPWGCPFGZRGPUGUFWTKPIVJGTGRQTVGFRGTKQF5WEJGUVKOCVGUCTGQPCTGCUQPCDNGCPFRTWFGPVDCUKU taking into account all available information; actual results could differ from estimates. Differences on account of revision of estimates CEVWCNQWVEQOGCPFGZKUVKPIGUVKOCVGUCTGTGEQIPKUGFRTQURGEVKXGN[QPEGUWEJTGUWNVUCTGMPQYPOCVGTKCNK\GFKPCEEQTFCPEGYKVJ VJGTGSWKTGOGPVUQHVJGTGURGEVKXGCEEQWPVKPIUVCPFCTFCUOC[DGCRRNKECDNG 3) FIXED ASSETS: a) Intangible Assets (i) +PVCPIKDNG CUUGVU EQORTKUGU QH %CDNG 6GNGXKUKQP (TCPEJKUG /QXKG 5GTKCN 4KIJVU $CPFYKFVJ 4KIJVU )QQFYKNN CPF Softwares. KK +PVCPIKDNG CUUGVU CTG TGEQIPK\GF QPN[ KH VJG[ CTG UGRCTCVGN[ KFGPVKſCDNG CPF VJG %QORCP[ GZRGEVU VQ TGEGKXG HWVWTG GEQPQOKEDGPGſVUCTKUKPIQWVQHVJGO5WEJCUUGVUCTGUVCVGFCVEQUVNGUUCEEWOWNCVGFCOQTVKUCVKQPCPFKORCKTOGPV NQUUGUKHCP[+PVGTPCNN[IGPGTCVGFKPVCPIKDNGCUUGVUCTGPQVTGEQIPKUGFKPVJGDQQMUQHCEEQWPVU b) Tangible Assets K 6JG ſZGF CUUGVU CTG UVCVGF CV EQUV NGUU CEEWOWNCVGF FGRTGEKCVKQP CPF KORCKTOGPV NQUUGU KH CP[ %QUV EQORTKUGU QH RWTEJCUGRTKEGPQPTGHWPFCDNGVCZGUCPFCNNGZRGPUGUKPEWTTGFKPDTKPIKPIVJGCUUGVUVQKVURTGUGPVNQECVKQPCPFEQPFKVKQP HQTKVUKPVGPFGFWUGCPFKPENWFGUKPUVCNNCVKQPCPFEQOOKUUKQPKPIGZRGPUGU6JGKPFKTGEVGZRGPFKVWTGKPEWTTGFFWTKPIVJG pre-commencement period is allocated proportionately over the cost of the relevant assets. KK 5GV 6QR $QZGU CPF +PVGTPGV #EEGUU FGXKEGU QP JCPF CV VJG [GCTGPF CTG KPENWFGF KP %CRKVCN 9QTM KP 2TQITGUU 1P KPUVCNNCVKQPUWEJFGXKEGUCTGECRKVCNKUGFQTVTGCVGFCUUCNGCUVJGECUGOC[DG 4) DEPRECIATION / AMORTISATION: C 6JGKPVCPIKDNGCUUGVUCTGCOQTVKUGFQPCUVTCKIJVNKPGDCUKUQXGTVJGKTGZRGEVGFWUGHWNNKXGUCUHQNNQYU K %CDNG6GNGXKUKQP(TCPEJKUGKUCOQTVKUGFQXGTCRGTKQFQHVYGPV[[GCTU KK 0QP%QORGVG(GGUENCUUKſGFKP)QQFYKNNKUCOQTVKUGFQXGTVJGPQPEQORGVGRGTKQFUVCVGFKPVJGWPFGTNKPGCITGGOGPVCPF KPCDUGPEGQHVJGUCOGQXGTVGP[GCTU (iii) Goodwill arising on transfer of business of subsidiaries is fully amortised in the same year. KX )QQFYKNNQVJGTVJCPOGPVKQPGFCDQXGKUCOQTVKUGFQXGTVJGURGEKſEVGPQTQHVJGTGNGXCPVCITGGOGPVCPFKPCDUGPEGQH UWEJVGPQTQXGTVGP[GCTU X 5QHVYCTGUCTGCOQTVKUGFQXGTVJGNKEGPUGRGTKQFCPFKPCDUGPEGQHUWEJVGPQTQXGTſXG[GCTU XK /QXKG4KIJVUCTGCOQTVKUGFQPGZRNQKVCVKQPQXGTVJGDCNCPEGNKEGPUGRGTKQFKPGSWCNKPUVCNOGPVU (vii) Bandwidth Rights are amortised over the period of the underlying agreements. D &GRTGEKCVKQPQPVCPIKDNGſ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ſGFCTGCU#PFUWEJ56$ŏUCTGFGRTGEKCVGFQXGTCRGTKQF QHſXG[GCTU=4GHGT0QVG$ ?
57 *CVJYC[%CDNG&CVCEQO.KOKVGF
5) INVESTMENTS: a) Long-Term Investments: .QPIVGTOKPXGUVOGPVUKPUJCTGUCTGUVCVGFCVEQUV6JGRTQXKUKQPHQTFKOKPWVKQPKPXCNWGQHUWEJKPXGUVOGPVUKUOCFGKHUWEJ diminution is considered other than temporary. b) Current Investments: %GTVKſECVGQH&GRQUKVUCTGXCNWGFCVNQYGTQHCOQWPVQHEQUVCPFRTQRQTVKQPCVGKPEQOGVJGTGQPQTTCVGURWDNKUJGFD[(+//&# Other current investments are recorded at lower of cost or fair value. INVENTORIES +PXGPVQTKGUEQORTKUGQHURCTGUCPFOCKPVGPCPEGKVGOUYJKEJCTGXCNWGFCVNQYGTQHEQUV PGVQHVCZGUTGEQXGTCDNG CPFPGVTGCNK\CDNG value. 7) BORROWING COSTS: $QTTQYKPI%QUVUVJCVCTGCVVTKDWVCDNGVQVJGCESWKUKVKQPEQPUVTWEVKQPQTRTQFWEVKQPQHSWCNKH[KPICUUGVUCTGECRKVCNKUGFCURCTVQHUWEJ CUUGVU#SWCNKH[KPICUUGVKUCPCUUGVVJCVPGEGUUCTKN[TGSWKTGUCUWDUVCPVKCNRGTKQFQHVKOGVQIGVTGCF[HQTKVUKPVGPFGFWUGQTUCNG #NNQVJGT$QTTQYKPIEQUVUCTGTGEQIPK\GFCUCPGZRGPUGKPVJGRGTKQFKPYJKEJVJG[CTGKPEWTTGF 8) PROVISIONS, CONTINGENT LIABILITIES AND CONTINGENT ASSETS: C #2TQXKUKQPKUTGEQIPK\GFYJGPVJG%QORCP[JCUCRTGUGPVQDNKICVKQPCUCTGUWNVQHRCUVGXGPVCPFKVKURTQDCDNGVJCVCPQWVƀQY QHTGUQWTEGUYQWNFDGTGSWKTGFVQUGVVNGVJGQDNKICVKQPCPFKPTGURGEVQHYJKEJCTGNKCDNGGUVKOCVGECPDGOCFG2TQXKUKQPUCTG reviewed on each balance sheet date and are adjusted to effect the current best estimation. D %QPVKPIGPVNKCDKNKVKGUCTGFKUENQUGFUGRCTCVGN[D[YC[QHPQVGVQſPCPEKCNUVCVGOGPVUCHVGTECTGHWNGXCNWCVKQPD[VJGOCPCIGOGPV of the facts and legal aspects of the matter involved in case of K CRTGUGPVQDNKICVKQPCTKUKPIHTQOVJGRCUVGXGPVYJGPKVKUPQVRTQDCDNGVJCVCPQWVƀQYQHTGUQWTEGUYKNNDGTGSWKTGFVQ settle the obligation. KK CRQUUKDNGQDNKICVKQPWPNGUUVJGRTQDCDKNKV[QHQWVƀQYQHTGUQWTEGUKUTGOQVG E %QPVKPIGPV#UUGVUCTGPGKVJGTTGEQIPKUGFPQTFKUENQUGF EMPLOYEE BENEFITS: C 5JQTVVGTOGORNQ[GGDGPGſVUCTGTGEQIPK\GFCUCPGZRGPUGCVVJGWPFKUEQWPVGFCOQWPVKPVJGRTQſVCPFNQUUCEEQWPVQHVJG year in which the related service is rendered. D 2QUVGORNQ[OGPVCPFQVJGTNQPIVGTOGORNQ[GGDGPGſVUCTGTGEQIPK\GFCUCPGZRGPUGKPVJGRTQſVCPFNQUUCEEQWPVHQTVJG [GCTKPYJKEJVJGGORNQ[GGJCUTGPFGTGFUGTXKEGU6JGGZRGPUGKUTGEQIPK\GFCVVJGRTGUGPVXCNWGQHVJGCOQWPVRC[CDNG FGVGTOKPGFWUKPICEVWCTKCNXCNWCVKQPVGEJPKSWGU#EVWCTKCNICKPUCPFNQUUGUKPTGURGEVQHRQUVGORNQ[OGPVCPFQVJGTNQPIVGTO DGPGſVUCTGEJCTIGFVQVJGRTQſVCPFNQUUCEEQWPV E +PTGURGEVQHGORNQ[GGUŏUVQEMQRVKQPUVJGGZEGUUQHHCKTRTKEGQPVJGFCVGQHITCPVQXGTVJGGZGTEKUGRTKEGKUTGEQIPK\GF uniformly over vesting period of the option. 10) ACCOUNTING FOR LEASES: a) As Lessee – Operating Lease .GCUGTGPVCNUKPTGURGEVQHCUUGVUVCMGPQPŎ1RGTCVKPI.GCUGŏCTGEJCTIGFVQ2TQſVCPF.QUU#EEQWPVQXGTVJGNGCUGVGTOQP U[UVGOCVKEDCUKUYJKEJKUOQTGTGRTGUGPVCVKXGQHVJGVKOGRCVVGTPQHVJG%QORCP[ŏUDGPGſV b) As Lessor – Operating Lease #UUGVUUWDLGEVVQ1RGTCVKPI.GCUGUCTGKPENWFGFKP(KZGF#UUGVU.GCUGKPEQOGKUTGEQIPK\GFKPVJG2TQſVCPF.QUU#EEQWPV QXGTVJGNGCUGVGTOQPU[UVGOCVKEDCUKUYJKEJKUOQTGTGRTGUGPVCVKXGQHVJGVKOGRCVVGTPQHVJG%QORCP[ŏUDGPGſV%QUVU KPENWFKPIFGRTGEKCVKQPCTGTGEQIPK\GFCUCPGZRGPUGKPVJG2TQſV.QUU#EEQWPV c) As Lessee – Finance Lease (KPCPEG.GCUGUYJKEJGHHGEVKXGN[VTCPUHGTVQVJGNGUUGGUWDUVCPVKCNN[CNNVJGTKUMUCPFDGPGſVUKPEKFGPVCNVQQYPGTUJKRQHVJG NGCUGFKVGOCTGECRKVCNK\GFCVVJGNQYGTQHVJGHCKTXCNWGCPFRTGUGPVXCNWGQHVJGOKPKOWONGCUGRC[OGPVUCVVJGKPEGRVKQPQH the lease term and disclosed as leased assets and depreciated as per the applicable policy. .GCUGTGPVCNURC[CDNGKUCRRQTVKQPGFDGVYGGPRTKPEKRCNCPFſPCPEGEJCTIGWUKPIVJGKPVGTPCNTCVGQHTGVWTPOGVJQF6JGſPCPEG charge is allocated over the lease term so as to produce a constant periodic rate of interest on the remaining balance of liability. F +PKVKCNFKTGEVEQUVKUEJCTIGFQHHVQ2TQſV.QUUCEEQWPVKPVJG[GCTQHNGCUG 11) REVENUE RECOGNITION: 4GXGPWGKUTGEQIPK\GFQPCEETWCNDCUKUVQVJGGZVGPVKVKURTQDCDNGVJCVVJGGEQPQOKEDGPGſVUYKNNƀQYVQVJG%QORCP[CPFVJG revenue can be reliably measured.
58 Annual Report 2010-11
4GXGPWGHTQOUCNGQHRTGRCKF+PVGTPGV5GTXKEGRNCPUYJKEJCTGCEVKXGCVVJG[GCTGPFKUTGEQIPK\GFQPVKOGRTQRQTVKQPDCUKU+P QVJGTECUGUQHUCNGQHRTGRCKF+PVGTPGV5GTXKEGRNCPUGPVKTGTGXGPWGKUTGEQIPK\GFKPVJG[GCTQHUCNG 6JG TGXGPWG TGNCVKPI VQ %QPFKVKQPCN #EEGUU 5[UVGO %#5 PQVKſGF CTGCU KU IQXGTPGF D[ 64#+ CPF VJG UCOG KU TGEQIPKUGF KP accordance with prescribed regulations. 5WDUETKRVKQP+PEQOGHTQO%CDNG681RGTCVQTUKUCEETWGFOQPVJN[DCUGFQPPWODGTQHEQPPGEVKQPUFGENCTGFD[VJGUCKFQRGTCVQTUVQ VJG%QORCP[+PECUGUYJGTGTGXKUKQPQHPWODGTQHEQPPGEVKQPUCPFTCVGKUWPFGTPGIQVKCVKQPUCVVJGVKOGQHTGEQIPKVKQPQHTGXGPWG VJG%QORCP[TGEQIPKUGUTGXGPWGCURGTKPXQKEGTCKUGF#FLWUVOGPVUHQTVJG[GCTKHCP[CTKUKPIQPUGVVNGOGPVKUCFLWUVGFCICKPUV the Revenue. Other cases are reviewed by the management periodically and provision for doubtful debts is made wherever ultimate TGCNK\CVKQPKUEQPUKFGTGFWPEGTVCKP Other Revenue from Operations is recognised on accrual basis based on underlying subscription plan or agreements with the EQPEGTPGFUWDUETKDGTURCTVKGU .GCUGTGPVCNUCTGTGEQIPK\GFQPCEETWCNDCUKUQXGTVJGVGTOUQHTGNCVGFCITGGOGPVU 1VJGTQRGTCVKPIKPEQOGCNUQEQORTKUGUHGGUHQTTGPFGTKPIOCPCIGOGPVVGEJPKECNCPFEQPUWNVCPE[UGTXKEGU+PEQOGHTQOUWEJ services is recognised upon achieving milestones as per the terms of underlying agreements. Advertisement revenue is accrued on release of the advertisement for public viewing. +PVGTGUVKPEQOGKUTGEQIPK\GFQPCEETWCNDCUKU 12) TAXATION: C 2TQXKUKQPHQT%WTTGPV6CZKUOCFGQPVJGDCUKUQHVCZCDNGRTQſ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covered under (c) below. b) Monetary assets and liabilities related to foreign currency transactions remaining unsettled at the end of the year are restated CVVJG[GCTGPFTCVGCPFFKHHGTGPEGKPVTCPUNCVKQPUCPFTGCNK\GFICKPU NQUUGU QPHQTGKIPEWTTGPE[VTCPUCEVKQPUCTGTGEQIPK\GF KPVJGRTQſVNQUUCEEQWPVGZEGRVHQTVTCPUCEVKQPUEQXGTGFWPFGT E DGNQY E 'ZEJCPIGFKHHGTGPEGUQPUGVVNGOGPVEQPXGTUKQPQVJGTVJCPKPTGURGEVQHNQPIVGTOOQPGVCT[KVGOUKPTGURGEVQHCEEQWPVKPI period commencing on or after 07th&GEGODGTCTGTGEQIPKUGFKPVJGRTQſVCPFNQUUCEEQWPV6JGGZEJCPIGFKHHGTGPEGKP respect of long-term monetary items arising in respect of accounting period commencing on or after 07th&GEGODGTVQVJG GZVGPVVJG[TGNCVGVQVJGCESWKUKVKQPQHFGRTGEKCDNGECRKVCNCUUGVUCTGCFFGFVQQTFGFWEVGFHTQOVJGEQUVQHVJGCUUGVUCPFCTG depreciated over the balance life of the assets. F 6JGRTGOKWOQTFKUEQWPVCTKUKPICVVJGKPEGRVKQPQHHQTYCTFGZEJCPIGEQPVTCEVUKUCOQTVKUGFCUGZRGPUGQTKPEQOGQXGTVJGNKHG QHVJGEQPVTCEV'ZEJCPIGFKHHGTGPEGUQPUWEJEQPVTCEVUCTGTGEQIPKUGFKPVJGUVCVGOGPVQHRTQſVCPFNQUUKPVJG[GCTKPYJKEJ VJGGZEJCPIGTCVGUEJCPIG#P[RTQſVQTNQUUCTKUKPIQPECPEGNNCVKQPQTTGPGYCNQHHQTYCTFGZEJCPIGEQPVTCEVKUTGEQIPKUGFCU KPEQOGQTCUGZRGPUGHQTVJG[GCT 14) IMPAIRMENT 6JG%QORCP[CUUGUUGUCVGCEJDCNCPEGUJGGVYJGVJGTVJGTGKUCP[KPFKECVKQPVJCVCUUGVUOC[DGKORCKTGF+HCP[UWEJKPFKECVKQPU GZKUVVJG%QORCP[GUVKOCVGUVJGTGEQXGTCDNGCOQWPVQHVJGCUUGVUQTVJGECUJIGPGTCVKPIWPKVCPFKHVJGUCOGKUNGUUVJCPKVU ECTT[KPICOQWPVVJGECTT[KPICOQWPVKUTGFWEGFVQKVUTGEQXGTCDNGCOQWPV6JGTGFWEVKQPKUVTGCVGFCUCPKORCKTOGPVNQUUCPFKU TGEQIPKUGFKPVJGRTQſVCPFNQUUCEEQWPV+HCVVJGDCNCPEGUJGGVFCVGVJGTGKUCPKPFKECVKQPVJCVKHCRTGXKQWUN[CUUGUUGFKORCKTOGPV NQUUPQNQPIGTGZKUVUVJGTGEQXGTCDNGCOQWPVKUTGCUUGUUGFCPFVJGCUUGVUCTGTGƀGEVGFCVVJGTGEQXGTCDNGCOQWPV B. NOTES ON ACCOUNTS: 6JG'SWKV[5JCTGUQHVJG%QORCP[YGTGEQPUQNKFCVGFKPVQUJCTGUYKVJCHCEGXCNWGQH4UGCEJHTQO4GGCEJRWTUWCPVVQ TGUQNWVKQPFCVGFVJ#WIWUV %106+0)'06.+#$+.+6+'5 C 6JG %QORCP[ JCU IKXGP C EQWPVGT KPFGOPKV[ HCXQWTKPI VJG DCPMGTU VQ VJG GZVGPV QH 4U 2TGXKQWU ;GCT 4U HQTKUUWGQH$CPM)WCTCPVGGU D 6JG%QORCP[JCUIKXGP%QTRQTCVG)WCTCPVGGQH4U 2TGXKQWU;GCTŌ4U VQC$CPMVQYCTFUXCTKQWU credit facilities given by the Bank to its Subsidiary Companies.
*CVJYC[%CDNG&CVCEQO.KOKVGF
E 1WVUVCPFKPI.GVVGTUQH%TGFKV4U 2TGXKQWU;GCT4U UGEWTGFCICKPUVCUUGVUCESWKTGFWPFGT.% HCEKNKV[ J[RQVJGECVKQP QH RTGUGPV CPF HWVWTG EWTTGPV CUUGVU QH VJG %QORCP[ CPF GZVGPUKQP QH RCTK RCUUW J[RQVJGECVKQP QH RTGUGPVCPFHWVWTGOQXCDNGſZGFCUUGVUQHVJG%QORCP[6JKUKPENWFGU4U0+. 2;4U WVKNKUGFHQTQPGQHVJG UWDUKFKCT[)WLCTCV6GNGNKPM2TKXCVG.KOKVGF F 2GPFKPIſPCNK\CVKQPQHPGIQVKCVKQPUYKVJQPGQHVJGDTQCFECUVGTUVJG%QORCP[JCUCEEQWPVGFRC[EJCPPGNEQUVPGVQHFKUEQWPVU GZRGEVGFHTQOUWEJDTQCFECUVGT6JG%QORCP[CUYGNNCUHGYDTQCFECUVGTUJCXGENCKOUCPFEQWPVGTENCKOUCICKPUVGCEJ QVJGTYJKEJCTG[GVVQDGſPCNK\GFCPFUGVVNGF6JGEQPVKPIGPVNKCDKNKV[KPTGURGEVQHUWEJENCKOUYJGTGXGTCUEGTVCKPGFJCXG been considered under Claims against the Company not acknowledged as debts. G 6JGTGNGXCPV#WVJQTKV[WPFGTVJG-CTPCVCMC5CNGU6CZ8#6JCFKPKVKCVGFRTQEGGFKPIVQTGCUUGUUVJG%QORCP[ŏUNKCDKNKV[HQT VJGſPCPEKCN[GCTUVQQPVJGCTIWOGPVVJCVNKIJVGPGTI[ETGCVGFYJKNGWUKPI1(%PGVYQTMHQTVJGRWTRQUGUQH VTCPUOKUUKQPKUIQQFUCPFJGPEGNKCDNGVQVCZWPFGTTGNGXCPVUVCVGNGIKUNCVKQP 1P YTKV RGVKVKQP VJG -CTPCVCMC *KIJ %QWTV JCU JGNF CICKPUV VJG %QORCP[ 1P HWTVJGT CRRGCN VJG *QPQWTCDNG 5WRTGOG %QWTVTGOCPFGFVJGOCVVGTVQVJG6TKDWPCN*QYGXGT5CNGU6CZ6TKDWPCNFKFPQVGPVGTVCKPVJGCRRGCNQHVJG%QORCP[CUPQ assessment was made. 6JG#UUGUUKPI1HſEGTCEVKPIQP0KNTGVWTPUſNGFD[VJG%QORCP[JCURTQRQUGFVQEQORNGVGDGUVLWFIGOGPVTGCUUGUUOGPV VQVCZNKIJVGPGTI[CUIQQFU6JKUOC[TGUWNVKPCRRTQZKOCVGFGOCPFQH4U 2TGXKQWU;GCT4U 6JG %QORCP[JCUſNGFCFGVCKNGFTGRN[VQVJGUJQYECWUGPQVKEGKUUWGFD[VJGCUUGUUKPIQHſEGTCPFVJGOCVVGTKURGPFKPI H 2WTUWCPVVQXCTKQWUCOGPFOGPVUWPFGT-CTPCVCMC'PVGTVCKPOGPV6CZ#EVVQNGX[GPVGTVCKPOGPVVCZQP.%1ŏUCPF/51ŏU the Government of Karnataka has issued various notices for re-assessment for various periods. The Company has challenged VJGPQVKEGUCPFXCNKFKV[QHCOGPFOGPVUYKVJVJG*QPŏDNG*KIJ%QWTVQH-CTPCVCMC6JG*QPŏDNG*KIJ%QWTVQH-CTPCVCMCJCU KUUWGFUVC[QTFGTCICKPUVUWEJPQVKEGUQPRC[OGPVQH4UDGKPIQHVJG$CUKE'PVGTVCKPOGPV6CZNKCDKNKV[ 6JG%QORCP[JCUſNGFCRGVKVKQPDGHQTGVJG*QPQWTCDNG%QWTVQH#PFJTC2TCFGUJEJCNNGPIKPIVJGXKTWUQHVJGCOGPFOGPVVQ VJG#PFJTC2TCFGUJ'PVGTVCKPOGPV6CZ#EVYJKEJJCUTGUWNVGFKPVJGNGX[KPIQHVJG'PVGTVCKPOGPV6CZQP/51U6JG petition has been admitted and the levy and the action pursuant thereto have been ordered to be stayed. 6JGCDQXGOCVVGTUCTGRGPFKPICPFDCUGFQPVJGQWVEQOGQHVJGTGURGEVKXGRGVKVKQPUNKCDKNKV[OC[GZVGPFVQRGTKQFDG[QPF notice period. The contingent liability in respect of claims is considered as part of Claims against Company not acknowledged as debts below. g) Income Tax Matters
Particulars Current Year Previous Year (Rs.) (Rs.) +PEQOG6CZOCVVGTWPFGTCRRGCN Nil J 1VJGT%NCKOUCICKPUVVJG%QORCP[PQVCEMPQYNGFIGFCUFGDVUCTGCUWPFGT
Amount (in Rs.) Matters with 2010-2011 2009-2010 $TQCFECUVGTU%JCPPGNU Operators 'PVGTVCKPOGPV6CZ&GRCTVOGPV Other Statutory Departments Other miscellaneous matters Total 142,414,172 227,245,635 3) Matters relating to Subsidiaries: C 6YQYJQNN[QYPGFUWDUKFKCTKGUQHVJG%QORCP[XK\$KPCT[6GEJPQNQIKGU6TCPUHGTU2XV.VFQT*CVJYC[+PVGTPGV5CVGNNKVG2XV .VFCTGOCLQTKV[RCTVPGTUKPCRCTVPGTUJKRſTOPCOGN[/U*CVJYC[5RCEG8KUKQP6JGCHQTGUCKFOCLQTKV[RCTVPGTUQHVJGſTOJCF KPKVKCVGFNGICNCEVKQPCICKPUVVJGOKPQTKV[RCTVPGTUXK\5RCEG8KUKQP%CDNGVGN2XV.VFYKVJTGHGTGPEGVQUQOGOCPCIGOGPVCPF QRGTCVKQPCNKUUWGU6JGOCLQTKV[RCTVPGTUCPFVJG%QORCP[JCFNQFIGFEGTVCKPENCKOUCICKPUVVJGOKPQTKV[RCTVPGTU2WTUWCPV to Order passed by High Court dated 22nd/CTEJVJGOCVVGTYCUTGHGTTGFHQTVJGCTDKVTCVKQPDGHQTG,WUVKEG52$JCTWEJC 4GVF #PCYCTFJCUDGGPRCUUGFD[,WUVKEG52$JCTWEJC 4GVF QPth5GRVGODGTFKUOKUUKPICNNENCKOUCUYGNNCU EQWPVGTENCKOU2WTUWCPVVQFKUOKUUCNQHENCKOUWPFGTCTDKVTCVKQPQPth1EVQDGTVJGOCLQTKV[RCTVPGTUJCXGſNGFCRGVKVKQP DGHQTG$QODC[*KIJ%QWTVWPFGTUGEVKQPQH#TDKVTCVKQPCPF%QPEKNKCVKQP#EVUGGMKPIGZVGPUKQPQHTGUVTCKPKPI+PVGTKO1TFGTU dated 12th/C[CPFnd/CTEJRCUUGFD[VJG*QPŏDNG*KIJ%QWTVCICKPUVVJGOKPQTKV[RCTVPGTU6JG*QPŏDNG*KIJ %QWTVJCUDGGPRNGCUGFVQGZVGPFVJGUCKFTGUVTCKPKPI+PVGTKO1TFGT1Pth0QXGODGTVJGOCLQTKV[RCTVPGTUJCXGſNGFCP #RRGCNDGHQTGVJG$QODC[*KIJ%QWTVWPFGTUGEVKQPQH#TDKVTCVKQPCPF%QPEKNKCVKQP#EVEJCNNGPIKPIVJGCYCTFFCVGFth 5GRVGODGT6JGUCOGKURGPFKPIHQTJGCTKPI2GPFKPIVJG#TDKVTCVKQPQPnd/CTEJVJGOCLQTKV[RCTVPGTUJCXGCNUQ ſNGFC2GVKVKQPDGHQTGVJG$QODC[*KIJ%QWTVUGGMKPIVJGKPVGTKOTGNKGHHQTCRRQKPVOGPVQHEQWTVTGEGKXGTKPQTFGTVQECTT[QWV VJGCEVKXKV[QHEQNNGEVKQPQHUWDUETKRVKQPHTQOVJGEWUVQOGTUQRGTCVQTU6JGUCOGKUCNUQRGPFKPIHQTJGCTKPI
Annual Report 2010-11
6JG%QORCP[DCUGFQPNGICNCFXKEGJCUPQVOCFGCP[RTQXKUKQPVQYCTFUENCKOUTCKUGFD[VJGOKPQTKV[RCTVPGTQHVJGſTOCPF CTGEQPUKFGTGFCUENCKOUCICKPUVVJG%QORCP[PQVCEMPQYNGFIGFCUFGDV*GPEGVJKULQKPVXGPVWTGJCUDGGPGZENWFGFHTQO EQPUQNKFCVKQPCUKVQRGTCVGUWPFGTUGXGTGNQPIVGTOTGUVTKEVKQPUYJKEJUKIPKſECPVN[KORCKTKVUCDKNKV[VQVTCPUHGTHWPFUVQVJG Company. D 6JG %QORCP[ JCU ſNGF RGVKVKQP VQ YKPF WR *CVJYC[ ,CK /CVC &K 5JGTCYCNK %CDNG &CVCEQO 2TKXCVG .KOKVGF *,/& C 5WDUKFKCT[ %QORCP[ QP LWUV CPF GSWKVCDNG ITQWPF 6JG %QORCP[ JCU KPXGUVOGPV QH 4U CPF 4GEGKXCDNG QH 4UHTQO*,/&CPFVJGUCOGJCXGDGGPHWNN[RTQXKFGFHQT+PXKGYQHVJG/CPCIGOGPVFKURWVGUYKVJVJG1VJGT 5JCTGJQNFGTUVJG%QORCP[JCUFGEKFGFVQVCMGUWEJCPCEVKQP6JG&GNJK*KIJ%QWTVD[KVUQTFGTFCVGF/C[TGEQTFU QH*,/&JCUUWDOKVVGFVJGRGVKVKQPCPFJCUQRKPGFVJCVKVKULWUVCPFGSWKVCDNGVJCVVJG%QORCP[DGYQWPFWR6JG1HſEKCN .KSWKFCVQTQHVJG&GNJKJKIJ%QWTVJCUDGGPCRRQKPVGFCUVJGRTQXKUKQPCNNKSWKFCVQTQHVJG%QORCP[CPFJCUDGGPFKTGEVGFVQ take overall the assets and books of accounts and records of the Company. E &WTKPIVJG[GCT%QORCP[JCUKPTGURGEVQH*CVJYC[%JCPPGN%CDNG&CVCEQO2TKXCVG.KOKVGFC LQKPVXGPVWTGKP &GNJKſNGFCEQORNCKPVCICKPUVLQKPVXGPVWTGRCTVPGTHQTEQOOKVVKPIXCTKQWUETKOKPCNQHHGPEGUUWEJCUOKUCRRTQRTKCVKQPQHHWPFU HCNUKſECVKQPQHCEEQWPVUHTCWFWNGPVFGUVTWEVKQPQHUGEWTKV[GVECPFJCUOCFGENCKOQH4U6JGOCVVGTKURGPFKPI 6JGGZRQUWTGQHVJG%QORCP[KU4UCICKPUVYJKEJCRTQXKUKQPQH4UKUOCFG #FFKVKQPCN+PHQTOCVKQPCUTGSWKTGFWPFGT2CTV++QH5EJGFWNG8+VQVJG%QORCPKGU#EVJCXGDGGPIKXGPVQVJGGZVGPVCRRNKECDNG to the Company.
Current Year Previous Year Particulars (Rs.) (Rs.) A CIF Value of Imports: Capital Goods 5VQTGU5RCTGUCPF1VJGTU B Consumption Details of Stores, Spares & Others: 8CNWGQH+ORQTVGF5VQTGU5RCTGU1VJGTUEQPUWOGFFWTKPI[GCT 2GTEGPVCIGQHVQVCNEQPUWORVKQP 8CNWGQH+PFKIGPQWU5VQTGU5RCTGU1VJGTUEQPUWOGFFWTKPI[GCT 2GTEGPVCIGQHVQVCNEQPUWORVKQP C Expenditure in foreign currency +PVGTGUV 5JCTG+UUWG'ZRGPUG Nil - Repairs and Maintenance (QTGKIP6TCXGN - Others D 'CTPKPIKPHQTGKIPEWTTGPE[ Nil Nil E Details of Auditors’ Remuneration included in Legal & Professional Fees : 5VCVWVQT[#WFKV(GGU 6CZ#WFKV(GGU .KOKVGF4GXKGY%QPUQNKFCVKQP%GTVKſECVKQP(GGU - 6CZ4GRTGUGPVCVKQP(GGU - Other Consultancy Services 1WVQHRQEMGVGZRGPUGU 500 #WFKVQTŏU4GOWPGTCVKQPGZENWFGU4U0KN 4U DGKPICWFKVHGGUHQTEQPUQNKFCVKQPCPFEGTVKſECVKQPKPEQPPGEVKQP YKVJVJG2TQURGEVWUJCXGDGGPKPENWFGFKPVJG5JCTGKUUWGGZRGPUGU 5) 'UVKOCVGFCOQWPVQHEQPVTCEVU KPENWFKPI CESWKUKVKQPQHKPVCPIKDNG CUUGVUPGVQHCFXCPEGU TGOCKPKPIVQDGGZGEWVGFQPECRKVCN CEEQWPVCPFPQVRTQXKFGFHQTCIITGICVGVQ4U 2TGXKQWU[GCT4U 6) TURNOVER, CLOSING AND OPENING STOCKS: 3WCPVKVCVKXG&GVCKNUQH%CDNG6GNGXKUKQPCPF+PVGTPGV#EEGUU&GXKEGU
2010-2011 2009-2010 Particulars Units Amount Units Amount Opening Stock - - - - #FF 2WTEJCUGU 2134 .GUU 5CNGU 2134 Closing Stocks --
*CVJYC[%CDNG&CVCEQO.KOKVGF
(QT1RGPKPI5VQEMCPF%NQUKPI5VQEMTGHGTUKIPKſECPVCEEQWPVKPIRQNKE[PQ D KK 6JG%QORCP[JCUKPKVKCVGFEKTEWNCVKQPQHNGVVGTUVQKVUWRRNKGTUTGSWGUVKPIVJGOVQEQPſTOYJGVJGTVJG[CTGEQXGTGFWPFGTVJG/KETQ 5OCNNCPF/GFKWO'PVGTRTKUGU&GXGNQROGPV#EV Ŏ/5/'&ŏ (GYQHVJGGPVGTRTKUGUJCXGTGURQPFGFVKNNFCVGTGICTFKPIVJGKT UVCVWUWPFGTVJGUCKF#EVCPFVJGDCNCPEGEQPſTOCVKQPUCTGUVKNNCYCKVGF*QYGXGTKPXKGYQHVJGOCPCIGOGPVVJGKORCEVQH KPVGTGUVKHCP[VJCVOC[DGRC[CDNGKPCEEQTFCPEGYKVJVJGRTQXKUKQPUQHVJKU#EVKUPQVGZRGEVGFVQDGOCVGTKCN6JGFKUENQUWTGJCXG DGGPOCFGKPVJGCEEQWPVUVQVJGGZVGPVEQPſTOCVKQPUJCXGDGGPTGEGKXGF6JKUJCUDGGPTGNKGFWRQPD[VJG#WFKVQTU 6JGFGDVQTUKPENWFGUCOQWPVFWGHTQOFKUEQPPGEVGFKPCEVKXGEWUVQOGTUCPFQWVUVCPFKPIKPGZEGUUQHQPG[GCT6JG%QORCP[KU VCMKPICFGSWCVGUVGRUHQTTGEQXGT[QHQXGTFWGFGDVUCPFCFXCPEGUCPFYJGTGXGTPGEGUUCT[CFGSWCVGRTQXKUKQPUJCXGDGGPOCFG +PVJGQRKPKQPQHVJG$QCTFVJG&GDVQTUCPF.QCPU#FXCPEGUJCXGCTGCNK\CDNGXCNWGKPVJGQTFKPCT[EQWTUGQHDWUKPGUUPQVNGUU than the amount at which they are stated in the Balance Sheet. 6JG%QORCP[KPKVUQTFKPCT[EQWTUGQHDWUKPGUUJCURTQOQVGFCESWKTGFKPVGTGUVKPXCTKQWUGPVKVKGU6JG%QORCP[ŏUGZRQUWTGVQ VJGUGGPVKVKGUQPCEEQWPVQH+PXGUVOGPVUKPGSWKV[UJCTGUCPFRTGHGTGPEGUJCTGUQPCEEQWPVQHCOQWPVUCFXCPEGFCU.QCPU #FXCPEGUCPF5WPFT[&GDVQTUKU4U 2TGXKQWU;GCT4U 4U 2TGXKQWU;GCT4U CPF4U 2TGXKQWU;GCT4U TGURGEVKXGN[/QUVQHVJGGPVKVKGUJCXGCEEWOWNCVGFNQUUGU CPFPGICVKXGPGVYQTVJ6JG%QORCP[ŏUGZRQUWTGVQUWEJNQUUOCMKPIGPVKVKGUQPCEEQWPVQHKPXGUVOGPVUKPGSWKV[UJCTGUCPF RTGHGTGPEGUJCTGUQPCEEQWPVQHCOQWPVUCFXCPEGUCU.QCPU#FXCPEGUCPF5WPFT[&GDVQTUKU4U 2TGXKQWU;GCT 4U 4U 2TGXKQWU;GCT4U CPF4U 2TGXKQWU;GCT4U 6JG %QORCP[JCUOCFGRTQXKUKQPQPQXGTCNNDCUKUQH4U 2TGXKQWU;GCT4U 4U 2TGXKQWU;GCT 4U CPF4U 2TGXKQWU;GCT4U CICKPUVUWEJ+PXGUVOGPVU.QCPUCPF#FXCPEGUCPF5WPFT[ Debtors respectively. %QPUKFGTKPIVJGNQPIVGTOKPXQNXGOGPVQHVJG%QORCP[KPVJGUGGPVKVKGUCPFUVTCVGIKEKORCEVKVJCUQPVJGDWUKPGUUQHVJG%QORCP[ VJG%QORCP[JCUEQOOKVVGFVQRTQXKFGſPCPEKCNUWRRQTVVQVJGUGGPVKVKGU6JGRTQXKUKQPUOCFGFWTKPIVJG[GCTKPENWFGVJGCOQWPVU advanced during the year. 6JGRTQXKUKQPOCFGKPTGURGEVQHCDQXGFWTKPIVJG[GCTKUEQPUKFGTGFWPFGT'ZEGRVKQPCN+VGOKPVJG2TQſVCPF.QUU#EEQWPV &WTKPIVJG[GCTFWGVQEGTVCKPDWUKPGUUGZKIGPEKGUKPVJGUVCVGQH6COKN0CFWNQECNECDNGQRGTCVQTUCPFUWDUETKDGTUJCF OKITCVGFVQEQORGVKPI/WNVK5[UVGO1RGTCVQT /51 CPFQVJGTUGTXKEGRTQXKFGTU#UCEQPUGSWGPEGVJG%QORCP[TGNQECVGFRCTVQH KVUCUUGVUVQQVJGT5VCVGUUQCUVQOCZKOK\GVJGGEQPQOKETGVWTPUVQVJG%QORCP[$CUGFQPKPKVKCNGUVKOCVGKP(;RTQXKUKQP HQTNQUUQH&KUVTKDWVKQP'SWKROGPVU GZENWFKPI#EEGUU&GXKEGU CPFQVJGTCUUGVUCIITGICVKPIVQ4UYCUOCFGKPVJG DQQMUCUCP'ZEGRVKQPCN+VGO+PCFFKVKQPVJG%QORCP[JCFCNUQOCFGCRTQXKUKQPQH4UHQTVJGQWVUVCPFKPIFGDVQTU 6JG%QORCP[JCUDGGPEQPUKUVGPVN[KPVJGRTQEGUUQHTGEQXGTKPI#EEGUU&GXKEGUCPFQVJGTCUUGVU&WTKPIVJG[GCTVJG RTQEGUUQHTGEQXGTKPI#EEGUUFGXKEGUJCU[KGNFGFTGUWNVUCPFVJG%QORCP[GZRGEVUVQEQPVKPWGVJKURTQEGUUQHTGVTKGXCNKPVJG PGZVſPCPEKCN[GCTCUYGNN*QYGXGTCUCOCVVGTQHCDWPFCPVECWVKQPCPCFFKVKQPCNRTQXKUKQPVQVJGGZVGPVQH4UJCU DGGPOCFGCUCP'ZEGRVKQPCN+VGO6JGDCNCPEG9&8QHVJG&KUVTKDWVKQP'SWKROGPVU#EEGUU&GXKEGUCPF1VJGT#UUGVUNQECVGF in the State of Tamil Nadu as on 31st/CTEJKU4U4UCPF4UTGURGEVKXGN[+PXKGYQHVJG OCPCIGOGPVVJGRTQXKUKQPOCFGVKNNFCVGVQYCTFUKORCKTOGPVCPFNQUUQHCUUGVUKUCFGSWCVGCPFVJGXCNWGQHVJGDCNCPEGCUUGVU YQWNFDGCVNGCUVGSWKXCNGPVVQYTKVVGPFQYPXCNWGCPFJGPEGPQRTQXKUKQPKUEQPUKFGTGFPGEGUUCT[ &WTKPIVJGRTGXKQWU[GCTDCUGFQPVJGRCUVRGTHQTOCPEGQH5GV6QR$QZGUFGRNQ[GFD[VJG%QORCP[CPFHWTVJGTDCUGFQPVJG VGEJPKECNEGTVKſECVKQPVJG%QORCP[JCFFGEKFGFVQEJCPIGKVŏURQNKE[CPFTGEQORWVGVJGFGRTGEKCVKQPYKVJTGVTQURGEVKXGGHHGEVQP CUVTCKIJVNKPGDCUKUQXGTCRGTKQFQHGKIJV[GCTU6JGTGXGTUCNQHFGRTGEKCVKQPHQTGCTNKGT[GCTUCOQWPVKPIVQ4UYCU ETGFKVGFVQ2TQſVCPF.QUUCEEQWPVCPFUJQYPWPFGT'ZEGRVKQPCN+VGO .QCPU CPF #FXCPEGU KPENWFG 4U 2TGXKQWU ;GCT 4U FWG HTQO /CPCIKPI &KTGEVQT =/CZKOWO COQWPV QWVUVCPFKPIFWTKPIVJG[GCT4U 2TGXKQWU;GCT4U ? 13) Sundry Debtors include receivable from private companies in which director of the Company is a director or member as detailed DGNQY
Particulars Current Period (Rs.) Previous Year (Rs.) 6QUWDUKFKCT[EQORCPKGUECTT[KPI%CDNG68DWUKPGUU Other Companies Nil .QCPUCPF#FXCPEGUKPENWFGTGEGKXCDNGHTQORTKXCVGEQORCPKGUKPYJKEJFKTGEVQTQHVJG%QORCP[KUCFKTGEVQTQTOGODGTCUFGVCKNGF DGNQY
Particulars Current Period (Rs.) Previous Year (Rs.) 6QUWDUKFKCT[EQORCPKGUECTT[KPI%CDNG68DWUKPGUU 1VJGT%CDNG8GPVWTGU Nil Nil 15) EMPLOYEE STOCK OPTION PLAN 6JGUJCTGJQNFGTUQHVJG%QORCP[JCXGCRRTQXGF'ORNQ[GG5VQEM1RVKQP2NCPKG*#6*9#;'512 ő6JG2NCPŒ 6JG2NCP RTQXKFGUHQTKUUWGQHQRVKQPU WPFGTN[KPIGSWKV[UJCTGQH4GGCEJ VQVJGRGTUQPUURGEKſGFKPVJGUEJGOGCVVJGRTKEGFGVGTOKPGF
Annual Report 2010-11
D[VJGTGOWPGTCVKQPEQOOKVVGGCRRQKPVGFD[VJG$QCTFQH&KTGEVQTU2TKEGFGVGTOKPGFD[VJGTGOWPGTCVKQPEQOOKVVGGKUKPVJGTCPIG of Rs. 110.20 to Rs. 157.30. 6JG1RVKQPUITCPVGFWPFGTVJG2NCPUJCNNXGUVYKVJKPPQVNGUUVJCPQPG[GCTCPFPQVOQTGVJCPſXG[GCTUHTQOVJGFCVGQHITCPVQH QRVKQPU7PFGTVJGVGTOUQHVJG2NCPQHVJGQRVKQPUYKNNXGUVVQVJGGORNQ[GGUGXGT[[GCT1PEGVJGQRVKQPUXGUVCURGTVJG2NCP VJG[YQWNFDGGZGTEKUCDNGD[VJG1RVKQP)TCPVGGCVCP[VKOGYKVJKPCRGTKQFQHVJTGG[GCTUHTQOVJGFCVGQHXGUVKPICPFVJGUJCTGU TGEGKXGFQPGZGTEKUGQHUWEJQRVKQPUUJCNNPQVDGUWDLGEVVQCP[NQEMKPRGTKQF The value of the options granted is determined by the management based on the rates at which shares were allotted to the investors during the relevant year and the same has been considered as fair value of option. 'ORNQ[GG5VQEM1RVKQPU1WVUVCPFKPI 0GVQH&GHGTTGF'ORNQ[GG%QORGPUCVKQP'ZRGPUG KUCUHQNNQYU
Particulars 31st March 2011 31st March 2010 (Rs.) (Rs.) Total accounting value of Options Outstanding (A) &GHGTTGF'ORNQ[GG%QORGPUCVKQP'ZRGPUG .GUU #OQTVKUGF 0GV&GHGTTGF'ORNQ[GG%QORGPUCVKQP'ZRGPUG $ 'ORNQ[GG 5VQEM 1RVKQPU 1WVUVCPFKPI 0GV QH &GHGTTGF'ORNQ[GG%QORGPUCVKQP'ZRGPUG #Ō$ 6JGHQNNQYKPIVCDNGUWOOCTK\GUVJG%QORCP[ŏU5VQEM1RVKQPUCEVKXKV[ Shares Underlying Options Outstanding
31st March 2011 31st March 2010 Sr. (Rs.) (Rs.) No. 2CTVKEWNCTU No. of Shares 9GKIJVGF#XGTCIG No. of Shares# 9GKIJVGF#XGTCIG 'ZGTEKUG2TKEG 4U 'ZGTEKUG2TKEG 4U A a Outstanding at the beginning of the year b Granted during the year Nil Nil c (QTHGKVGF%CPEGNNGFFWTKPIVJG[GCT 110.20 110.20 d 'ZGTEKUGFFWTKPIVJG[GCT Nil Nil 1 110.00 e 'ZRKTGFFWTKPIVJG[GCT Nil Nil Nil Nil B Outstanding at the end of the year 117.33 C 'ZGTEKUCDNGCVVJGGPFQHVJG[GCT D Method of Settlement 'SWKV[ 'SWKV[ 'SWKV[ 'SWKV[ ' 9GKIJVGF CXGTCIG TGOCKPKPI 31.84 contractual life (in months) ( 9GKIJVGFCXGTCIG(CKT8CNWGQH1RVKQP Nil 110.02 granted during the year # # Number of shares and weighted average fair value of options granted during the year for previous year has been adjusted for EJCPIGKPHCEGXCNWGHTQO4GVQ4UYGH#WIWUV PRIOR PERIOD ITEMS &GVCKNQH2TKQT2GTKQF+PEQOGCPF'ZRGPUGUKUCUWPFGT
Particulars Current Year Previous Year +PEQOGQHGCTNKGT[GCTUETGFKVGFVQ2TQſVCPF.QUU#EEQWPV 'ZRGPUGUQHGCTNKGT[GCTUTGXGTUGFCPFETGFKVGFVQ2TQſVCPF.QUU#EEQWPV 616#.%4'&+6 # +PEQOGQHGCTNKGT[GCTUTGXGTUGFCPFFGDKVGFVQ2TQſVCPF.QUU#EEQWPV 'ZRGPUGUQHGCTNKGT[GCTUFGDKVGFVQ2TQſV.QUU#EEQWPV 616#.&'$+6 $ Net (Debit) / Credit to Proſt & Loss Account (A-B) (21,479,618) (6,193,184) 4GEVKſECVKQPTGNCVKPIVQGCTNKGT[GCTUJCUTGUWNVGFKPKPETGCUGKP5WPFT[&GDVQTU#PFFGETGCUGKP.QCPU#FXCPEGUD[4U CUQH/CTEJ
*CVJYC[%CDNG&CVCEQO.KOKVGF
17) EMPLOYEE BENEFITS C &GſPGF$GPGſV2NCPU 6JGRTGUGPVXCNWGQHVJGFGſPGFDGPGſVQDNKICVKQPUCPFVJGTGNCVGFEWTTGPVUGTXKEGEQUVYGTGOGCUWTGFWUKPIVJG2TQLGEVGF7PKV %TGFKV/GVJQFYKVJCEVWCTKCNXCNWCVKQPUDGKPIECTTKGFQWVCVGCEJDCNCPEGUJGGVFCVG The following table provides the disclosures in accordance with Revised AS 15. 4GEQPEKNKCVKQPQHQRGPKPICPFENQUKPIDCNCPEGQHVJGRTGUGPVXCNWGQHVJGFGſPGFDGPGſVQDNKICVKQPCPFRNCPCUUGVU
Category As at 31st March 2011 As at 31st March =Gratuity (Rs.)? 2010 =Gratuity (Rs.)? 1 Change in beneſt obligations: 2TQLGEVGFDGPGſVQDNKICVKQPUCVDGIKPPKPIQHVJG[GCT Current Service Cost +PVGTGUV%QUV $GPGſVU2CKF #EVWCTKCN)CKP .QUU 2TQLGEVGFDGPGſVQDNKICVKQPUCVGPFQHVJG[GCT 2 Change in plan assets: 2NCPCUUGVUCVVJGDGIKPPKPIQHVJG[GCT 'ZRGEVGFTGVWTPQPRNCPCUUGVU #EVWCTKCN)CKP .QUU Contributions $GPGſVU2CKF 2NCPCUUGVUCVVJGGPFQHVJG[GCT 21,918,913 3 Reconciliation of present value of the obligation and the fair value of plan assets (CKT8CNWGQHRNCPCUUGVUCVVJGGPFQHVJG[GCT 2TGUGPVXCNWGQHVJGFGſPGFDGPGſVQDNKICVKQPUCVVJGGPFQHVJG[GCT .KCDKNKV[ #UUGV TGEQIPKUGFKPVJG$CNCPEG5JGGV 4 Cost for the year Current Service Cost +PVGTGUV%QUV 'ZRGEVGFTGVWTPQPRNCPCUUGVU #EVWCTKCN)CKP .QUU 0GV%QUVTGEQIPKUGFKPVJG2TQſVCPF.QUU#EEQWPV 5 Assumptions +PVGTGUVTCVGHQTFKUEQWPV 'UVKOCVGFTCVGQHTGVWTPQPRNCPCUUGVU Mortality .+% /QTVCNKV[ .+% /QTVCNKV[ Table Table 5CNCT['UECNCVKQP (QT[GCTCPF thereafter D &GſPGF%QPVTKDWVKQP2NCPU ő%QPVTKDWVKQPVQRTQXKFGPVCPFQVJGTHWPFUŒKUTGEQIPKUGFCUCPGZRGPUGKP5EJGFWNG.QHVJG2TQſVCPF.QUU#EEQWPV 18) SEGMENTAL REPORTING 6JG%QORCP[KUC/WNVK5[UVGO1RGTCVQTRTQXKFKPI%CDNG6GNGXKUKQP0GVYQTM5GTXKEGU+PVGTPGV5GTXKEGUCPFCNNKGFUGTXKEGUYJKEJ KUEQPUKFGTGFCUVJGQPN[TGRQTVCDNGUGIOGPV6JG%QORCP[ŏUQRGTCVKQPUCTGDCUGFKP+PFKC
Annual Report 2010-11
RELATED PARTY DISCLOSURES
Particulars of Related Parties A Controlled by: (Upto 19th February 2010) Mr. Rajan Raheja Mr. Akshay Raheja /T8KTGP4CJGLC *CVJYC[+PXGUVOGPVU2XV.VF 5RWT%CDNG&CVCEQO2XV.VF #UKCP%CDNG5[UVGOU2XV.VF B Under Control of the Company 1 9JQNN[1YPGF5WDUKFKCTKGU $GG0GVYQTM%QOOWPKECVKQP2XV.VF $KPCT[6GEJPQNQI[6TCPUHGTU2XV.VF *CVJYC[%0GV2XV.VF *CVJYC['PLQ[%CDNG0GVYQTM2XV.VF *CVJYC[)YCNKQT%CDNG&CVCEQO2XV.VF *CVJYC[+PVGTPGV5CVGNNKVG2XV.VF *CVJYC[,/&(CTWMJCDCF%CDNG0GVYQTM2XV.VF *CVJYC[/GFKC8KUKQP2XV.VF *CVJYC[5RCEG8KUKQP%CDNGVGN2XV.VF *CVJYC[7PKVGF%CDNGU2XV.VF *CVJYC[7PKXGTUCN%CDNGVGN&CVCEQO2XV.VF +FGCN%CDNGU2XV.VF +68+PVGTCEVKXG/GFKC2XV.VF .KDGTV[/GFKC8KUKQP2XV.VF 8KUKQP+PFKC0GVYQTMU2XV.VF 9KP%CDNGCPF&CVCEQO2XV.VF 2 1VJGTŌ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
*CVJYC[%CDNG&CVCEQO.KOKVGF
0GV1PNKPG*CVJYC[2XV.VF *CVJYC[$JCYCPK%CDNGVGNCPF&CVCEQO.VF *CVJYC[&CVVCVTC[%CDNG0GVYQTM2XV.VF *CVJYC[$JCUMCT2CICTK[C/WNVKPGV2XV.VF %%0'PVGTVCKPOGPV+PFKC2XV.VF %JJCVVKUICTJ$TQCFDCPF0GVYQTM2XV.VF -QMCP%T[UVCN%CDNG0GVYQTM2XV.VF C Others #UUQEKCVG%QORCP[CPF,QKPV8GPVWTGU 2CP%CDNG5GTXKEGU2XV.VF *CVJYC[8%0%CDNGVGN2XV.VF *CVJYC[5WMJCOTKV%CDNG&CVCEQO2XV.VF *CVJYC[5RCEG8KUKQP *CVJYC[,JCPUK,/&54%CDNG&CVCEQO2XV.VF *CVJYC[,CK/CVC&K$CNCLK%CDNG0GVYQTM UKPEGFKUUQNXGF Mantra Cable (since dissolved) 1 Mona Cable Network (since dissolved) 2 %QORCPKGU(KTOUWPFGTVJG )NQDWU5VQTGU2XV.VF 5KIPKſECPV+PƀWGPEGQH2GTUQPUJCXKPIEQPVTQNQXGTVJG 45$WUKPGUU%GPVTG %QORCP[ WRVQth(GDTWCT[ 1WVNQQM2WDNKUJKPI +PFKC 2XV.VF 3 -G[/CPCIGTKCN2GTUQPPGN -,C[CTCOCP/CPCIKPI&KTGEVQT *CVJYC[$JCYCPK%CDNGVGNCPF&CVCEQO.VFYCUCLQKPVXGPVWTGWRVQst#WIWUV *CVJYC[5WMJCOTKV%CDNG&CVCEQO2XV.VFYCUCUWDUKFKCT[WRVQst5GRVGODGT 6JGVTCPUCEVKQPUYKVJTGNCVGFRCTVKGUCPFVJGENQUKPIDCNCPEGUFWGVQHTQORCTVKGUCTGCUHQNNQYU6JGRTGXKQWU[GCTſIWTGUCTG OGPVKQPGFKPDTCEMGVU
Annual Report 2010-11 Other Expenses Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Managerial Remuneration Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Feed charges Cost Distribution Nil (Nil) Other Income Operational Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Rental Income on Equipments Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Income Consultancy (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Income Income Expense 2010-11 Nil 2010-11 2010-11 2010-11 Nil Nil Nil Nil 2010-11 2010-11 Nil 2010-11 Nil Nil Nil Nil 2010-11 Nil Nil Nil Nil 2010-11 Nil 2010-11 2010-11 2010-11 2010-11 2010-11 Nil Nil Nil Nil 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 Related Party Year Subscription *CVJYC[2TKOG%CDNG&CVCEQO2XV.VF *CVJYC[2CNCORWT%CDNG0GVYQTM2XV.VF *CVJYC[0GY%QPEGRV%CDNG&CVCEQO 2XV.VF *CVJYC[/[UQTG%CDNG0GVYQTM2XV.VF *CVJYC[/GFKC8KUKQP2XV.VF *CVJYC[/%02XV.VF *CVJYC[.CVWT/%0%CDNG&CVCEQO2XV .VF *CVJYC[-TKUJPC%CDNG2XV.VF -QMCP%T[UVCN%CDNG0GVYQTM2XV.VF *CVJYC[+EG6GNGXKUKQP2XV.VF *CVJYC[)YCNKQT%CDNG&CVCEQO2XV .VF *CVJYC[&KIKVCN5CJCTCPRWT%CDNG &CVCEQO2XV.VF *CVJYC[%JCPPGN%CDNG&CVCEQO2XV .VF *CVJYC[%CDNG/%00CPFGF2XV.VF *CVJYC[$JCYCPK%CDNGVGN&CVCEQO.VF *CVJYC[$JCUMCT/WNVKPGV2XV.VF *CVJYC[$JCUMCT%%0/WNVKPGV2XV.VF *CVJYC[$JCUMCT%%0'PVGTVCKPOGPV +PFKC 2XV.VF )WLCTCV6GNGNKPM2XV.VF *CVJYC[4CLGUJ/WNVK%JCPPGN2XV.VF *CVJYC[$JCUMCT%$0/WNVKPGV2XV.VF
*CVJYC[%CDNG&CVCEQO.KOKVGF Nil (Nil) Other Expenses Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Managerial Remuneration Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Feed charges (Nil) (Nil) (Nil) Cost Distribution (Nil) (Nil) (Nil) (Nil) (Nil) Other Income Operational Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Rental Income on Equipments Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Income Consultancy (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Income Income Expense 2010-11 Nil Nil Nil Nil Nil Nil Nil Nil 2010-11 Nil Nil Nil Nil Nil Nil Nil Nil 2010-11 Nil Nil Nil Nil Nil Nil Nil Nil 2010-11 Nil Nil Nil Nil 2010-11 Nil Nil Nil Nil Nil Nil Nil Nil 2010-11 2010-11 2010-11 Nil Nil Nil Nil Nil Nil 2010-11 2010-11 2010-11 Nil 2010-11 Nil 2010-11 Nil Nil Nil Nil 2010-11 Nil 2010-11 Nil Related Party Year Subscription *CVJYC[0CUJKM%CDNG0GVYQTM2XV.VF 1WVNQQM2WDNKUJKPI +PFKC 2XV.VF Globus Stores 2010-11 Nil Nil Nil Nil Nil Nil Nil Nil *CVJYC[+EG6GNGXKUKQP2XV.VF 760%CDNG%QOOWPKECVKQP2.VF 45$WUKPGUU%GPVTG 0GV1PNKPG*CVJYC[2XV.VF .KDGTV[/GFKC8KUKQP2XV.VF -,C[CTCOCP +FGCN%CDNGU2XV.VF *CVJYC[8%0%CDNGPGV2XV.VF *CVJYC[7PKVGF%CDNGU0GVYQTM2XV.VF *CVJYC[5WMJCOTKV%CDNG&CVCEQO2XV .VF *CVJYC[5QHVYCTG&GXGNQRGTU2XV.VF *CVJYC[5QPCNK1O%T[UVCN%CDNG2XV.VF *CVJYC[5CK5VCT%CDNG&CVCEQO2XV .VF
Annual Report 2010-11
- -
Nil (Nil) - - - (Nil) - - - Purchase of Assets Sale of Assets ------(Nil) Nil - - - - - (Nil) - - - - - Expense Service Charges ------ Expense 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 Related Party Year Interest - Cable Ventures *CVJYC[5WMJCOTKV%CDNG&CVCEQO2XV .VF *CVJYC[0GY%QPEGRV%CDNG&CVCEQO 2XV.VF *CVJYC[)YCNKQT%CDNG&CVCEQO2XV.VF *CVJYC['PLQ[%CDNG0GVYQTM2XV.VF *CVJYC[$JCUMCT/WNVKPGV2XV.VF *CVJYC[/GFKC8KUKQP2XV.VF )WLCTCV6GNGNKPM2XV.VF *CVJYC[$JCYCPK%CDNGVGN&CVCEQO.VF *CVJYC[$JCUMCT%%0/WNVKPGV2XV.VF *CVJYC[5QHVYCTG&GXGNQRGTU2XV.VF
*CVJYC[%CDNG&CVCEQO.KOKVGF Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) liabilities Provision against current Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) Current Liabilities Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) against debtors Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Debtors Provision Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Provision against Loans and Advances Nil Nil Advances Loans and Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) on Investment (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (102) (Nil) (Nil) (Nil) 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 Nil Nil 2010-11 Nil Nil Nil Nil Nil Nil 2010-11 2010-11 2010-11 2010-11 Nil Nil 2010-11 2010-11 2010-11 Related Party Year Investments Provision *CVJYC[)YCNKQT%CDNG &CVCEQO2XV.VF *CVJYC['PLQ[%CDNG0GVYQTM 2XV.VF Hathway Digital Saharanpur %CDNG&CVCEQO2XV.VF Hathway Dattatray Cable 0GVYQTM2XV.VF *CVJYC[%JCPPGN%CDNG &CVCEQO2XV.VF *CVJYC[%0GV2XV.VF Hathway Cable MCN Nanded 2XV.VF *CVJYC[$JCYCPK%CDNGVGN &CVCEQO.VF *CVJYC[$JCUMCT/WNVKPGV2XV .VF Hathway Bhaskar CCN Multinet 2XV.VF Hathway Bhaskar CCN 'PVGTVCKPOGPV +PFKC 2XV.VF 'NKVG%CDNG0GVYQTM2XV.VF )WLCTCV6GNGNKPM2XV.VF %JGPPCK%CDNG8KUKQP0GVYQTM 2XV.VF Hathway Bhaskar CBN Multinet 2XV.VF %JCPPGNU+PFKC0GVYQTM2XV .VF Binary Technology Transfers 2XV.VF $GG0GVYQTM %QOOWPEKCVKQPU2XV.VF
70 Annual Report 2010-11 Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) liabilities Provision against current Nil Nil (Nil) (Nil) Current Liabilities Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) against debtors Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Debtors Provision Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Provision against Loans and Advances Advances Loans and Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) on Investment 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 Nil Nil Nil Nil Nil Nil Nil Nil 2010-11 2010-11 2010-11 2010-11 2010-11 Nil Nil 2010-11 2010-11 2010-11 Related Party Year Investments Provision *CVJYC[5CK5VCT%CDNG &CVCEQO2XV.VF Hathway Rajesh Multi Channel 2XV.VF *CVJYC[2TKOG%CDNG &CVCEQO2XV.VF *CVJYC[0GY%QPEGRV%CDNG &CVCEQO2XV.VF Hathway Nashik Cable Network 2XV.VF Hathway Mysore Cable 0GVYQTM2XV.VF *CVJYC[/GFKC8KUKQP2XV.VF *CVJYC[/%02XV.VF *CVJYC[/CPVTC 2CTVPGTUJKR (KTO *CVJYC[/CPVTC%CDNG &CVCEQO2XV.VF *CVJYC[.CVWT/%0%CDNG &CVCEQO2XV.VF *CVJYC[-TKUJPC%CDNG2XV .VF *CVJYC[,/&(CTWMCDCF %CDNG0GVYQTM2XV.VF *CVJYC[,JCPUK,/&54%CDNG &CVCEQO2XV.VF *CVJYC[,CK/CVC&K$CNCLK Cable Network *CVJYC[+PVGTPGV5CVGNKVG2XV .VF *CVJYC[,CK/CVC&K5JGTCYCNK %CDNG0GVYQTM2XV.VF *CVJYC[+EG6GNGXKUKQP2XV .VF
71 *CVJYC[%CDNG&CVCEQO.KOKVGF Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) liabilities Provision against current Nil Nil (Nil) (Nil) Current Liabilities Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) against debtors Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Debtors Provision Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Provision against Loans and Advances Nil (Nil) Advances Loans and Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) on Investment (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) 2010-11 2010-11 2010-11 2010-11 Nil Nil 2010-11 2010-11 2010-11 2010-11 2010-11 2010-11 Nil Nil 2010-11 2010-11 2010-11 2010-11 Related Party Year Investments Provision 0GV1PNKPG*CVJYC[2XV.VF Mona cable Network 2010-11 Nil Nil Nil Nil Nil Nil Nil Nil .KDGTV[/GFKC8KUKQP2XV.VF Kokan Crystal Cable Network 2XV.VF -,C[CTCOCP +68+PVGTCEVKXG/GFKC2XV.VF +FGCN%CDNGU2XV.VF *CVJYC[8%0%CDNGPGV2XV .VF *CVJYC[7PKXGTUCN%CDNGVGN &CVCEQO2XV.VF Hathway United Cables 0GVYQTM2XV.VF *CVJYC[5RCEG8KUKQP (KTO *CVJYC[5RCEG8KUKQP%CDNGVGN 2XV.VF *CVJYC[5WMJCOTKV%CDNG &CVCEQO2XV.VF Hathway Sonali Om Crystal %CDNG2XV.VF Hathway Software Developers 2XV.VF
72 Annual Report 2010-11 Nil the year Investment made during Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) year Share during the Application Money given Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) recovered Net advances during the year the year made during Net Advances (Nil) (Nil) (Nil) year during the Written off Investment Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) year against Provision advances during the written back (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (102) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Against during the year Advances made 2010-11 Nil Nil Nil Nil 2010-11 2010-112010-11 Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil 2010-11 Nil Nil Nil 2010-11 2010-11 Nil Nil Nil Nil Nil Nil Nil 2010-11 2010-11 2010-11 2010-11 2010-11 Nil Nil Nil Nil 2010-11 2010-11 Nil Nil Nil 2010-11 2010-11 Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil 2010-11 Nil Nil Nil Related Party Year Provision *CVJYC['PLQ[%CDNG0GVYQTM2XV .VF *CVJYC[%JCPPGN%CDNG &CVCEQO2XV.VF Hathway Dattatray Cable Network 2XV.VF Hathway Digital Saharanpur Cable &CVCEQO2XV.VF *CVJYC[%CDNG/%00CPFGF2XV .VF *CVJYC[$JCYCPK%CDNGVGN &CVCEQO.VF *CVJYC[%0GV2XV.VF $GG0GVYQTM%QOOWPEKCVKQPU 2XV.VF $KPCT[6GEJPQNQI[6TCPUHGTU2XV .VF %JCPPGNU+PFKC0GVYQTM2XV.VF %JGPPCK%CDNG8KUKQP0GVYQTM2XV .VF )WLCTCV6GNGNKPM2XV.VF 'NKVG%CDNG0GVYQTM2XV.VF *CVJYC[$JCUMCT/WNVKPGV2XV.VF Hathway Bhaskar CCN Multinet 2XV.VF 'PVGTVCKPOGPV +PFKC 2XV.VF Hathway Bhaskar CCN *CVJYC[$JCUMCT%$0/WNVKPGV2XV .VF
73 *CVJYC[%CDNG&CVCEQO.KOKVGF Nil the year Investment made during Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) year Share during the Application Money given Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) recovered Net advances during the year Nil Nil Nil Nil Nil Nil Nil Nil the year made during Net Advances (Nil) (Nil) year during the Written off Investment Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) year against Provision advances during the written back (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Against during the year Advances made 2010-11 Nil Nil Nil 2010-11 Nil Nil Nil 2010-11 2010-11 Nil Nil Nil 2010-112010-112010-11 Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil 2010-11 Nil Nil Nil Nil 2010-112010-11 Nil Nil Nil Nil Nil Nil 2010-11 Nil Nil Nil Nil Nil Nil Nil 2010-11 Nil Nil Nil 2010-112010-11 Nil Nil Nil Nil Nil Nil Nil Nil 2010-11 Nil Nil Nil 2010-11 2010-11 Nil Nil Nil 2010-11 Nil Nil Nil Related Party Year Provision *CVJYC[4CLGUJ/WNVK%JCPPGN2XV .VF *CVJYC[2TKOG%CDNG&CVCEQO 2XV.VF Hathway Nashik Cable Network 2XV.VF *CVJYC[0GY%QPEGRV%CDNG &CVCEQO2XV.VF *CVJYC[,JCPUK,/&54%CDNG &CVCEQO2XV.VF *CVJYC[,/&(CTWMCDCF%CDNG 0GVYQTM2XV.VF *CVJYC[-TKUJPC%CDNG2XV.VF *CVJYC[/CPVTC%CDNG&CVCEQO 2XV.VF *CVJYC[/CPVTC 2CTVPGTUJKR(KTO *CVJYC[/%02XV.VF *CVJYC[/GFKC8KUKQP2XV.VF Hathway Mysore Cable Network 2XV.VF *CVJYC[,CK/CVC&K$CNCLK%CDNG Network *CVJYC[,CK/CVC&K5JGTCYCNK %CDNG0GVYQTM2XV.VF *CVJYC[.CVWT/%0%CDNG &CVCEQO2XV.VF *CVJYC[+PVGTPGV5CVGNKVG2XV.VF *CVJYC[+EG6GNGXKUKQP2XV.VF *CVJYC[)YCNKQT%CDNG&CVCEQO 2XV.VF
74 Annual Report 2010-11 the year Investment made during Nil Nil Nil Nil Nil Nil (Nil) (Nil) year Share during the Application Money given Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) recovered Net advances during the year Nil Nil Nil Nil the year made during Net Advances Nil Nil year during the Written off Investment Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) year against Provision advances during the written back (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) (Nil) Against during the year Advances made 2010-11 2010-112010-11 2010-11 Nil Nil Nil Nil 2010-11 2010-11 Nil 2010-11 Nil 2010-11 Nil Nil Nil Nil 2010-11 Nil Nil 2010-11 Nil 2010-11 Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil 2010-11 2010-11 2010-11 Nil Nil Nil 2010-11 Nil 2010-11 2010-11 Nil Nil Nil Nil Nil Nil 2010-11 Nil Nil Nil 2010-11 Nil Nil Nil Nil Related Party Year Provision Hathway United Cables Network 2XV.VF *CVJYC[7PKXGTUCN%CDNGVGN &CVCEQO2XV.VF *CVJYC[8%0%CDNGPGV2XV.VF *CVJYC[5RCEG8KUKQP%CDNGVGN2XV .VF *CVJYC[5WMJCOTKV%CDNG &CVCEQO2XV.VF +FGCN%CDNGU2XV.VF -QMCP%T[UVCN%CDNG0GVYQTM2XV .VF 2CNCORWT%KV[%CDNG0GVYQTM2XV .VF 760%CDNG%QOOWPKECVKQPU2XV .VF 8KUKQP+PFKC0GVYQTM2XV.VF 9KP%CDNG&CVCEQO2XV.VF 2CP%CDNG5GTXKEGU2XV.VF +68+PVGTCEVKXG/GFKC2XV.VF 0GV1PNKPG*CVJYC[2XV.VF Mona cable Network 2010-11 Nil Nil .KDGTV[/GFKC8KUKQP2XV.VF *CVJYC[5RCEG8KUKQP (KTO *CVJYC[5CK5VCT%CDNG&CVCEQO 2XV.VF Hathway Sonali Om Crystal Cable 2XV.VF *CVJYC[5QHVYCTG&GXGNQRGTU2XV .VF
75 *CVJYC[%CDNG&CVCEQO.KOKVGF
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upplementary statutory information required to be given pursuant to Clause 32 of the listing agreement: Loans and advances in the nature of loans to subsidiaries and Associates: YEAR YEAR 31-Mar-11 31-Mar-10 MAXIMUM MAXIMUM NAME OF RELATED PARTY AMOUNT AMOUNT ASSOCIATE OUTSTANDING ASSOCIATE OUTSTANDING AND JOINT DURING THE AND JOINT DURING THE CONTROL VENTURES YEAR CONTROL VENTURES YEAR *CVJYC[%JCPPGN%CDNG&CVCEQO 2XV.VF - - - - - *CVJYC[/[UQTG%CDNG0GVYQTM2XV .VF - - *CVJYC[5QHVYCTG&GXGNQRGTU2XV.VF - - *CVJYC[5WMJCOTKV%CDNG&CVCEQO 2XV.VF - *CVJYC[/GFKC8KUKQP2XV.VF - - 760%CDNG%QOOWPKECVKQPU2XV.VF - - *CVJYC[+EG6GNGXKUKQP2XV.VF - - *CVJYC[/%02XV.VF - - )WLCTCV6GNGNKPM2XV.VF - - 0GV1PNKPG*CVJYC[2XV.VF - - *CVJYC[5QPCNK1O%T[UVCN%CDNG2XV .VF - - *CVJYC[)YCNKQT%CDNG&CVCEQO2XV .VF - - *CVJYC['PLQ[%CDNG0GVYQTM2XV.VF - - *CVJYC[.CVWT/%0%CDNG&CVCEQO 2XV.VF - - *CVJYC[&KIKVCN5CJCTCPRWT%CDNG &CVCEQO2XV.VF - - *CVJYC[%CDNG'PVGTVCKPOGPV2XV.VF - - *CVJYC[,CK/CVC&K5JGTCYCNK%CDNG 0GVYQTM2XV.VF - - *CVJYC[,/&(CTWMJCDCF%CDNG 0GVYQTM2XV.VF - - *CVJYC[%CDNG/%00CPFGF2XV.VF - - *CVJYC[&CVVCVTC[%CDNG0GVYQTM2XV .VF - - *CVJYC[/CPVTC%CDNG&CVCEQO2XV .VF - - *CVJYC[$JCYCPK%CDNGVGN&CVCEQO .VF - - - - - *CVJYC[$JCUMCT/WNVKPGV2XV.VF - - *CVJYC[$JCUMCT2CICTK[C/WNVKPGV2XV .VF - - *CVJYC[2TKOG%CDNG&CVCEQO2XV .VF - - *CVJYC[-TKUJPC%CDNG2XV.VF - -
Annual Report 2010-11
YEAR YEAR 31-Mar-11 31-Mar-10 MAXIMUM MAXIMUM NAME OF RELATED PARTY AMOUNT AMOUNT ASSOCIATE OUTSTANDING ASSOCIATE OUTSTANDING AND JOINT DURING THE AND JOINT DURING THE CONTROL VENTURES YEAR CONTROL VENTURES YEAR $GG0GVYQTM%QOOWPKECVKQPU2XV .VF - - $KPCT[6GEJPQNQI[6TCPUHGTU2XV.VF - - %JGPPCK%CDNG8KUKQP0GVYQTM2XV.VF - - %JCPPGNU+PFKC0GVYQTM2XV.VF - - 'NKVG%CDNG0GVYQTM2XV.VF - - *CVJYC[%0GV2XV.VF - - *CVJYC[+PVGTPGV5CVGNNKVG2XV.VF - - *CVJYC[0CUJKM%CDNG0GVYQTM2XV .VF - - *CVJYC[5RCEG8KUKQP%CDNGVGN2XV .VF - - *CVJYC[7PKVGF%CDNGU0GVYQTM2XV .VF - - *CVJYC[7PKXGTUCN%CDNGVGN&CVCEQO 2XV.VF - - +FGCN%CDNGU2XV.VF - - - - - +68+PVGTCEVKXG/GFKC2XV.VF - - *CVJYC[,JCPUK,/&54%CDNG &CVCEQO2XV.VF - - - .KDGTV[/GFKC8KUKQP2XV.VF - - 8KUKQP+PFKC0GVYQTM2XV.VF - - 9KP%CDNG&CVCEQO2XV.VF - - *CVJYC[5RCEG8KUKQP (KTO - - 2CP%CDNG5GTXKEGU2XV.VF - - *CVJYC[ ,CK /CVC &K $CNCLK %CDNG 0GVYQTM *CVJYC[8%0%CDNGPGV2XV.VF - - %JJCVVKUICTJ$TQCFDCPF0GVYQTM2XV .VF 102 - 102 102 - 102 0QPGQHVJGCDQXG.QCPUCTGUWDLGEVVQCP[TGRC[OGPVUEJGFWNGCPF+PVGTGUV2C[OGPVU 6JGUGNQCPUCPFCFXCPEGUKPVJGPCVWTGQHNQCPUVQſTOUEQORCPKGUKPYJKEJFKTGEVQTUCTGKPVGTGUVGF Loans and advances in the nature of loans where there is no repayment schedule and no interest payments: Name of the Party 31-MAR-2011 31-MAR-2010 Balance Outstanding Maximum Amount Balance Maximum Amount outstanding during Outstanding outstanding during the year the year Arun Singh $JCTCV2CPFKV Sanjay Ghagare A Sivaraman 5VCPNG[2CNCPPC Devidas Dahale -- Shankar Nair -- Hathway Cabletech Services 2TKXCVG.KOKVGF +PCFFKVKQPVQCDQXG4GHGT0QVG$ HQT.QCPUIKXGPVQ/CPCIKPI&KTGEVQT
77 *CVJYC[%CDNG&CVCEQO.KOKVGF
21) LEASES C (KPCPEG.GCUGU .GCUGTGPVCNUQWVUVCPFKPICUCVUV/CTEJKPTGURGEVQHſZGFCUUGVUVCMGPQPſPCPEGNGCUGCTGCUWPFGT
Due Total minimum lease Interest not due Present value of payments outstanding as at minimum lease payments 31st March 2011 as at 31st March 2011 0QV.CVGTVJCP[GCT .CVGTVJCP[GCTCPFPQVNCVGTVJCP[GCTU .CVGTVJCP[GCTU Nil Nil Nil (Nil) (Nil) (Nil) Total 9TKVVGP&QYP8CNWGQH(KZGF#UUGVUCESWKTGFWPFGT(KPCPEGNGCUGCUCVUV/CTEJKU4U 2TGXKQWU;GCT4U %WTTGPV.KCDKNKVKGU 0GVQH#FXCPEG KPENWFG4URC[CDNGVQNGUUQTWPFGTſPCPEGNGCUGCTTCPIGOGPV 2TGXKQWU;GCT4U D 1RGTCVKPI.GCUGU #U.GUUGG 6JG%QORCP[ŏUUKIPKſECPVNGCUKPICTTCPIGOGPVUKPVGTOUQH#EEQWPVKPI5VCPFCTFQP.GCUGU #5 CTGKPTGURGEVQH1RGTCVKPI.GCUGUHQT2TGOKUGUCPF'SWKROGPVU6JGRGTKQFQHVJGUGNGCUKPICTTCPIGOGPVUYJKEJCTG ECPEGNNCDNGKPPCVWTGTCPIGDGVYGGPGNGXGPOQPVJUVQUKZ[GCTUCPFCTGTGPGYCDNGD[OWVWCNEQPUGPV (c) &GVCKNUQH0QP%CPEGNNCDNG.GCUGUCTGCUWPFGT
2010-11 2009-10 Particulars (Rs.) (Rs.) 4GPVCN'ZRGPUGFGDKVGFVQ2TQſVCPF.QUU#EEQWPV 2C[CDNGKPVJGPGZVQPG[GCT 2C[CDNGCHVGTPGZVQPG[GCTDWV$GHQTGPGZVſXG[GCTU 2C[CDNGCHVGTſXG[GCTU Nil Nil F &GVCKNUQH%CPEGNNCDNG.GCUGUCTGCUWPFGT 6JGVTGCVOGPVQHVJGTGPVCND[VJG%QORCP[KUCUWPFGT 4GPVCN'ZRGPUGUFGDKVGFVQVJG2TQſVCPF.QUU#EEQWPV4U 2TGXKQWU;GCT4U G 1RGTCVKPI.GCUGU #U.GUUQT
2010-11 2009-10 Particulars (Rs.) (Rs.) )TQUU%CTT[KPI#OQWPVQH#UUGVUECRKVCNKUGFCU2NCPV/CEJKPGT[ and given on operating lease Depreciation for the year +PCFFKVKQPVQCDQXGUWDUVCPVKCNRQTVKQPQHVJG5GV6QR$QZGUJCXGDGGPIKXGPQPQRGTCVKPINGCUG6JGYTKVVGPFQYPXCNWGQH5GV 6QR$QZGUCUQPst/CTEJKU4U 2TGXKQWU;GCT 22) EARNINGS > (LOSS) PER SHARE
Particulars 2010-11 2009-10 (Rs.) (Rs.) 2TQſV> .QUU CHVGTVCZ DWVKPENWFKPIRTKQTRGTKQFCFLWUVOGPVU Ō 4U 9GKIJVGF#FLWUVGF0QQHQTFKPCT[UJCTGU 0QŏU Nominal value of ordinary shares (Rs.) 10.00 10.00 (CEG8CNWGTGUVCVGF $CUKECPF&KNWVGF'CTPKPIURGTUJCTG 4U (2.82) +PXKGYQHVJGNQUUGURQVGPVKCNKUUWGQHGSWKV[WPFGTEQPXGTUKQPQHVJG'ORNQ[GG5VQEM1RVKQP2NCPKUCPVKFKNWVKXGCPFCEEQTFKPIN[ has not been considered in calculation of diluted earnings per share. 23) JOINT VENTURES 6JG%QORCP[JCUVJGHQNNQYKPI,QKPV8GPVWTGCTTCPIGOGPVUKPVJGECRCEKV[QHC8GPVWTGTKPVJGHQNNQYKPICUQP/CTEJ
78 Annual Report 2010-11
C *CVJYC[5WMJCOTKV%CDNGCPF&CVCEQO2TKXCVG.KOKVGF D *CVJYC[,CK/CVC&K$CNCLK%CDNG0GVYQTM E /CPVTC'PVGTRTKUGU d. Mona Cable 9KVJTGURGEVVQCDQXGVJGEQWPVT[QHKPEQTRQTCVKQPRTQRQTVKQPQHQYPGTUJKREQPVTQNCPFVJGRTQRQTVKQPCVGUJCTGQHGCEJQH #UUGVU.KCDKNKVKGU+PEQOGCPF'ZRGPUGUCURGTVJG(KPCPEKCN5VCVGOGPVHQTVJGRGTKQFGPFGFQP/CTEJKUNKUVGFDGNQY +P4WRGGU Joint Venture Country of % Of Proportionate Proportionate Proportionate Proportionate Proportionate Incorporation Shareholding share of share of share of share of share of / Ownership Income Expense Assets Liabilities Contingent Control Liabilities and capital commitments Hathway Sukhamrit +PFKC Nil Cable and Datacom (Nil) 2TKXCVG.KOKVGF *CVJYC[,CK/CVC&K +PFKC 4GHGT0QVG$GNQY Balaji Cable Network /CPVTC'PVGTRTKUGU +PFKC 4GHGT0QVG$GNQY Mona Cable +PFKC 4GHGT0QVG$GNQY 5WDUKFKCT[WRVQst5GRVGODGT+PCDUGPEGQHVJGCWFKVGFſPCPEKCNUVCVGOGPVUſIWTGUHQTEWTTGPV[GCTCTGDCUGFQPRTQXKUKQPCN ſPCPEKCNUVCVGOGPVUEGTVKſGFD[&KTGEVQTUQHVJGUCKF%QORCP[ 6JG%QORCP[YCUCRCTVPGTKPVJGUGſTOU6JGUGſTOUYGTGFKUUQNXGFCUQPst/CTEJ+PCDUGPEGQHCP[ſPCPEKCN UVCVGOGPVUQHVJGUGſTOUUKPEGVJGſPCPEKCN[GCTWRVQVJGFCVGQHFKUUQNWVKQPPQNKCDKNKV[QPUWEJFKUUQNWVKQPJCUDGGP TGEQIPKUGFCPFKPQRKPKQPQHVJGOCPCIGOGPVUWEJNKCDKNKV[KHCP[YQWNFPQVDGOCVGTKCN6JGCOQWPVUQWVUVCPFKPIKPVJGDQQMUCU capital contribution have been fully written off. 24) DEFERRED TAX ASSETS (NET OF LIABILTIES): 6JG%QORCP[JCUUWDUVCPVKCNWPCDUQTDGFFGRTGEKCVKQPCPFECTT[HQTYCTFNQUUGUWPFGTVJG+PEQOG6CZ#EV6JGFGHGTTGFVCZ CUUGVUTGNCVKPIVQUWEJWPCDUQTDGFFGRTGEKCVKQPCPFQVJGTKVGOUKUUKIPKſECPVN[JKIJGTVJCPFGHGTTGFVCZNKCDKNKVKGUCTKUKPIQPCEEQWPV QHVKOKPIFKHHGTGPEGU1PEQPUGTXCVKXGCRRTQCEJVJG%QORCP[JCUTGEQIPK\GFFGHGTTGFVCZCUUGVUQPWPCDUQTDGFFGRTGEKCVKQPCPF QVJGTKVGOUQPN[VQVJGGZVGPVQHKVUFGHGTTGFVCZNKCDKNKVKGU&KUENQUWTGTGNCVKPIFGHGTTGFVCZNKCDKNKVKGUTGSWKTGFRWTUWCPVVQ#EEQWPVKPI 5VCPFCTFŌő#EEQWPVKPIHQT6CZGUQP+PEQOGŒKUCUWPFGT
Particulars Current Year (Rs.) Previous Year (Rs.) &GHGTTGF6CZ.KCDKNKVKGUQP a) &KHHGTGPEGDGVYGGPDQQMCPFVCZFGRTGEKCVKQP &GHGTTGF6CZ#UUGVUQP a) 7PCDUQTDGF&GRTGEKCVKQP.QUUGU NET ASSETS Nil Nil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ſHVGGP[GCTU#EEQTFKPIN[VJG UCOGJCUDGGPCOQTVKUGFWRVQCRGTKQFQHſHVGGP[GCTUHTQOVJGFCVGQHEQOOGPEGOGPVQHVJGCITGGOGPV 6JG%QORCP[JCUQRVGFHQTCEEQWPVKPIVJGGZEJCPIGFKHHGTGPEGCTKUKPIQPTGRQTVKPIQHNQPIVGTOHQTGKIPEWTTGPE[OQPGVCT[KVGOUKP NKPGYKVJ%QORCPKGU #EEQWPVKPI5VCPFCTFU #OGPFOGPV4WNGUQP#EEQWPVKPI5VCPFCTF #5 PQVKſGFD[VJG)QXGTPOGPV QH+PFKCQP/CTEJ#EEQTFKPIN[VJG%QORCP[JCUECRKVCNKUGFGZEJCPIG )CKP NQUUQH4U 2;4U YKVJVJGEQUVQHſZGFCUUGVU
*CVJYC[%CDNG&CVCEQO.KOKVGF
7PJGFIGF(QTGKIP%WTTGPE['ZRQUWTG
31-03-2011 31-03-2010 Amount Amount Exchange Amount in Indian Exchange Amount in Indian in Foreign in Foreign Rate Rupees Rate Rupees Currency Currency Currency Secured Loans USD Accounts Payables USD 28) Managerial Remuneration 0QEQOOKUUKQPKURCKFRC[CDNGVQCP[FKTGEVQTCPFJGPEGVJGEQORWVCVKQPQHRTQſVUWPFGT5GEVKQPQHVJG%QORCPKGU#EV KUPQVTGSWKTGF6JGDTGCMWRQHOCPCIGTKCNTGOWPGTCVKQPVQVJG/CPCIKPI&KTGEVQTKUCUWPFGT
Remuniration for Current Remuniration for Year Previous Year Amount Amount Expenses ( Rs.) ( Rs.) Salary Commission Nil Nil House Rent Allowance Nil Nil %QPVTKDWVKQPVQ)TCVWKV[(WPF Refer Note 2 below Refer Note 2 below %QPVTKDWVKQPVQ2TQXKFGPVCPF1VJGTHWPFU 2GTSWKUKVGU Total 0QVG 1) The Company had made an application to the Central Government for approval for payment of remuneration to the Managing &KTGEVQT%'1HTQO#WIWUVHQTCRGTKQFQHVJTGG[GCTUKPGZEGUUQHNKOKVURTGUETKDGFWPFGTUGEVKQPCPFTGCF YKVJ5EJGFWNG:+++VQVJG%QORCPKGU#EV+PTGURQPUGVQVJGCRRNKECVKQPVJG%GPVTCN)QXGTPOGPVJCUECNNGFHQTEGTVCKP additional information and the same are being furnished. *QYGXGTYJKNGTGURQPFKPIVQVJGCDQXGCRRNKECVKQPVJG%GPVTCN)QXGTPOGPVJCUFKTGEVGFVJG%QORCP[VQGKVJGTTGEQXGT QTCRRN[HQTYCKXGTQHVJGTGOWPGTCVKQPRCKFKPGZEGUUQHTGOWPGTCVKQPRTGUETKDGFWPFGTVJGUCKFUEJGFWNGFWTKPIVJGRGTKQF #WIWUV VJGFCVGQPYJKEJVJGUVCVWUQHVJG%QORCP[EJCPIGVQRWDNKENKOKVGFEQORCP[ VQ#WIWUV5KPEGVJG TGOWPGTCVKQPRCKFFWTKPIVJGRGTKQF(GDTWCT[VQ#WIWUVYCUCVOKPKOWOUECNGRTGUETKDGFWPFGT5EJGFWNG:+++ VQVJG#EVVJGTGKUPQSWGUVKQPQHJCXKPIRCKFGZEGUUTGOWPGTCVKQP6JGTGOWPGTCVKQPHQTVJGRGTKQFRTKQTVQVJCVYCUſPCNK\GF YJGPVJG%QORCP[YCUCRTKXCVGEQORCP[CPFCEEQTFKPIN[CUNGICNN[CFXKUGF VJG%QORCP[YCUPQVTGSWKTGFVQCRRN[VJG )QXGTPOGPVHQTVJGCRRTQXCN*QYGXGTCUTGSWKTGFD[VJG%GPVTCN)QXGTPOGPVVJG%QORCP[KUKPVJGRTQEGUUQHCRRN[KPIHQT VJGYCKXGTQHTGOWPGTCVKQPCPFUKVVKPIHGGUHQTVJGRGTKQF#WIWUVVQ(GDTWCT[ 6JGCDQXGſIWTGUFQPQVKPENWFG2TQXKUKQPHQT)TCVWKV[.GCXG'PECUJOGPVRC[CDNGVQ/CPCIKPI&KTGEVQTCUVJGUCOGKU determined based on actuarial valuation for the Company as a whole. &WTKPIVJG[GCTWPFGTTGXKGYVJG%QORCP[JCUPQVECRKVCNK\GFCP[DQTTQYKPIEQUVKPVJGCDUGPEGQHCP[SWCNKH[KPICUUGVU #NVJQWIJVJGOCTMGVXCNWGQHKPXGUVOGPVUKP*CVJYC[$JCYCPK%CDNG&CVCEQO.KOKVGFKUNQYGTVJCPEQUVEQPUKFGTKPIVJGNQPI VGTOCPFUVTCVGIKEPCVWTGQHVJGKPXGUVOGPVKPVJGQRKPKQPQHVJGOCPCIGOGPVUWEJFGENKPGKUVGORQTCT[KPPCVWTGCPFPQRTQXKUKQP is necessary for the same. &WTKPIVJGRTGXKQWU[GCTVJG%QORCP[JCFKUUWGFCPFCNNQVVGF'SWKV[UJCTGUQH4UGCEJCVCRTKEGQH4U KPENWFKPICRTGOKWOQH4URGTGSWKV[UJCTGCIITGICVKPIVQ4UVJTQWIJCP+PKVKCN2WDNKE1HHGT6JGGSWKV[UJCTGU of the Company are listed on NationaN5VQEM'ZEJCPIGCPF$QODC[5VQEM'ZEJCPIGYKVJGHHGEVHTQOVJ(GDTWCT[
80 Annual Report 2010-11
6JG+PKVKCN2WDNKE1HHGT +21 RTQEGGFUJCXGDGGPWVKNKUGFCURGTQDLGEVUCUUVCVGFKPVJGRTQURGEVWUFCVGF(GDTWCT[
Particulars Amount (Rs.) $PRXQWUHFHLYHGIURP,32 4,800,000,000 Utilisation of funds upto 31 March 2011 Amount Proposed Amount utilised upto 31 March 2011 #ESWKUKVKQPQH%WUVQOGTU +PXGUVOGPV KP VJG FGXGNQROGPV QH FKIKVCN ECRKVCN GZRGPFKVWTG UGTXKEGUCPFUGVVQRDQZGU +PXGUVOGPV KP VJG FGXGNQROGPV QH DTQCFDCPF KPHTCUVTWEVWTG ECRKVCNGZRGPFKVWTGCPFUGTXKEGU Repayment of loans +PVGTKOWUGQHHWPF RC[KPIFQYPUJQTVVGTOETGFKVNKOKV Total 5,797,000,000 3,006,048,340 .GUU 6QDGHWPFGFD[$QTTQYKPIU Total 4,800,000,000 2,876,048,340
Balance Unutilised 1,923,951,660 7PWVKNKUGF$CNCPEGJCUDGGPKPXGUVGFCUUVCVGFDGNQY
Amount (Rs.)
Mutual funds
%GTVKſECVGQH&GRQUKVUQH$CPM
Margin Money in Banks
Total 1,923,951,660 6JG%QORCP[ŏUUJCTGQH5JCTG+UUWGGZRGPUGUKPEWTTGFKPEQPPGEVKQPYKVJVJG+PKVKCN2WDNKE1HHGTQHVJG%QORCP[JCUDGGPCFLWUVGF CICKPUVVJG5GEWTKVKGU2TGOKWO#EEQWPVCUQPst/CTEJ6JGFGVCKNUQHVJGGZRGPUGU PGVQHVCZGUTGEQXGTCDNG CTGCU HQNNQYU
Nature of Expenses Amount (in Rupees) $4./HGGUCPF1WVQH2QEMGV'ZRGPUGU #FXGTVKUGOGPV'ZRGPUGU 2TQHGUUKQPCN(GGU 2TKPVKPICPF5VCVKQPGT['ZRGPUGU 'ORNQ[GG%QUV +21)TCFKPIGZRGPUGU Others Total 262,324,741 2TGXKQWU[GCTſIWTGUJCXGDGGPTGCTTCPIGFCPFTGITQWRGFYJGTGXGTPGEGUUCT[
As per our report of even date For and on behalf of the Board For G. M. KAPADIA & CO. Chartered Accountants
(ATUL SHAH) (GANAPATHY SUBRAMANIAM) (K . JAYARAMAN) Partner Chief Financial Ofſcer Managing Director & C.E.O.
(MILIND KARNIK) (VINAYAK AGGARWAL) President- Finance & Company Secretary Director
Mumbai Mumbai &CVGF VJ#WIWUV &CVGF VJ#WIWUV
81 *CVJYC[%CDNG&CVCEQO.KOKVGF
BALANCE SHEET ABSTRACT AND COMPANY’S GENERAL BUSINESS PROFILE (Rupees in Thousands) + REGISTRATION DETAILS: Registration No 11421 State Code 11 Balance Sheet Date 31.03.2010 ++ CAPITAL RAISED DURING THE YEAR: 2WDNKE+UUWG $QPWU+UUWG Nil 4KIJVU+UUWG Nil %QPXGTUKQPQH(WNN[%QORWNUQTKN[%QPXGTVKDNG&GDGPVWTGUVQ 'SWKV[5JCTGU 2TKXCVG2NCEGOGPV CV2TGOKWO Nil +++ POSITION OF MOBILISATION AND DEPLOYMENT OF FUNDS: 6QVCN.KCDKNKVKGU Total Assets SOURCES OF FUNDS: 2CKFWR%CRKVCN 'ORNQ[GG5VQEM1RVKQP1WVUVCPFKPI 4GUGTXGU5WTRNWU 5GEWTGF.QCPU 7PUGEWTGF.QCPU Nil APPLICATION OF FUNDS: 0GV(KZGF#UUGVU +PXGUVOGPVU &GHGTTGF6CZ#UUGV 0GV Nil Net Current Assets /KUEGNNCPGQWU'ZRGPFKVWTG Nil #EEWOWNCVGF.QUUGU
+8 PERFORMANCE OF COMPANY: )TQUU+PEQOG 6QVCN'ZRGPFKVWTG .QUU$GHQTG6CZ'ZEGRVKQPCN+VGOU .QUU#HVGT6CZ'ZEGRVKQPCN+VGOU 2TKQT2GTKQF#FLWUVOGPVU 0GV 'CTPKPIU> .QUU 2GT5JCTGŌ$CUKE&KNWVGF +P4U (2.82) &KXKFGPF Nil
8 GENERIC NAMES OF THREE PRINCIPAL PRODUCTS / SERVICES OF COMPANY (AS PER MONETARY TERMS): +VGO%QFG0Q +6%%QFG N.A 2TQFWEV5GTXKEG&GUETKRVKQP %CDNG6TCPUOKUUKQP+PVGTPGV5GTXKEG2TQXKFGT
For and on behalf of the Board (K. JAYARAMAN) Managing Director & CEO (Ganapathy Subramaniam) (MILIND KARNIK) (VINAYAK AGGARWAL) Chief Financial Ofſcer President - Finance & Company Director Secretary Mumbai &CVGF th August 2011
82 Annual Report 2010-11
Auditor’s Report to the Board of Directors of Hathway Cable & Datacom Limited on the Consolidated Financial Statements
1. We have audited the attached Consolidated Balance Sheet of HATHWAY CABLE & DATACOM LIMITED (the Company) and its subsidiaries and jointly controlled entities (the Company, its subsidiaries and jointly controlled entities constitute “the Group”) as at 31st0DUFKWKH&RQVROLGDWHG3UR¿W /RVV$FFRXQWDQGWKH&RQVROLGDWHG&DVK)ORZ6WDWHPHQWRIWKH*URXSIRUWKH\HDU HQGHGRQWKDWGDWHERWKDQQH[HGWKHUHWR7KH&RQVROLGDWHG)LQDQFLDO6WDWHPHQWVLQFOXGHLQYHVWPHQWVLQDVVRFLDWHVDFFRXQWHG RQWKHHTXLW\PHWKRGLQDFFRUGDQFHZLWKWKH$FFRXQWLQJ6WDQGDUG $FFRXQWLQJIRU,QYHVWPHQWVLQ$VVRFLDWHVLQ&RQVROLGDWHG )LQDQFLDO6WDWHPHQWV DQGWKHMRLQWO\FRQWUROOHGHQWLWLHVDFFRXQWHGLQDFFRUGDQFHZLWK$FFRXQWLQJ6WDQGDUG )LQDQFLDO5HSRUWLQJ RI,QWHUHVWVLQ-RLQW9HQWXUHV DVQRWL¿HGXQGHUWKH&RPSDQLHV $FFRXQWLQJ6WDQGDUGV 5XOHV7KHVH&RQVROLGDWHG)LQDQFLDO 6WDWHPHQWVDUHWKHUHVSRQVLELOLW\RIWKH&RPSDQ\¶VPDQDJHPHQWDQGKDYHEHHQSUHSDUHGE\WKHPDQDJHPHQWRQWKHEDVLVRI VHSDUDWH¿QDQFLDOVWDWHPHQWVDQGRWKHU¿QDQFLDOLQIRUPDWLRQRIHDFKRIWKHFRPSRQHQWV2XUUHVSRQVLELOLW\LVWRH[SUHVVDQRSLQLRQ RQWKHVH&RQVROLGDWHG)LQDQFLDO6WDWHPHQWVEDVHGRQRXUDXGLW :HFRQGXFWHGRXUDXGLWLQDFFRUGDQFHZLWKWKHDXGLWLQJVWDQGDUGVJHQHUDOO\DFFHSWHGLQ,QGLD7KRVH6WDQGDUGVUHTXLUHWKDWZHSODQ DQGSHUIRUPWKHDXGLWWRREWDLQUHDVRQDEOHDVVXUDQFHDERXWZKHWKHUWKH¿QDQFLDOVWDWHPHQWVDUHIUHHRIPDWHULDOPLVVWDWHPHQW$Q DXGLWLQFOXGHVH[DPLQLQJRQDWHVWEDVLVHYLGHQFHVXSSRUWLQJWKHDPRXQWVDQGGLVFORVXUHVLQWKHFRQVROLGDWHG¿QDQFLDOVWDWHPHQWV $Q DXGLW DOVR LQFOXGHV DVVHVVLQJ WKH DFFRXQWLQJ SULQFLSOHV XVHG DQG VLJQL¿FDQW HVWLPDWHV PDGH E\ PDQDJHPHQW DV ZHOO DV HYDOXDWLQJWKHRYHUDOOFRQVROLGDWHG¿QDQFLDOVWDWHPHQWSUHVHQWDWLRQ:HEHOLHYHWKDWRXUDXGLWSURYLGHVDUHDVRQDEOHEDVLVIRURXU opinion. :HKDYHQRWDXGLWHGWKH¿QDQFLDOVWDWHPHQWVFRQVROLGDWHG¿QDQFLDOVWDWHPHQWVRIFHUWDLQVXEVLGLDULHVZKRVHDXGLWHG¿QDQFLDO VWDWHPHQWVFRQVROLGDWHG¿QDQFLDOVWDWHPHQWVUHÀHFWWRWDODVVHWVRI5V DVRQst March, 2011 and total revenues of 5V DQGQHWFDVKLQÀRZVRI5V IRUWKH\HDUHQGHGst March, 2011; and 7KHVH ¿QDQFLDO VWDWHPHQWV KDYH EHHQ DXGLWHG E\ RWKHU DXGLWRUV ZKRVH UHSRUWV KDYH EHHQ IXUQLVKHG WR XV IRU WKH SXUSRVH RI consolidation and our opinion, in so far as it relates to the amounts included in respect of such subsidiaries and joint ventures is based solely on the report of other auditors. $SDUWIURPDERYHDVVWDWHGLQ1RWHQRRI6FKHGXOH2LQWKHFDVHRIDMRLQWYHQWXUHKDYLQJWRWDODVVHWVRI5V DVRQ 31st0DUFKDQGWRWDOUHYHQXHVRI5VDQGQHWFDVKLQÀRZRI5VIRUWKH\HDUHQGHGRQst March, 2011, WKH¿JXUHVXVHGIRUWKHFRQVROLGDWLRQDUHEDVHGRQWKHXQDXGLWHGSURYLVLRQDO¿QDQFLDOVWDWHPHQWVFHUWL¿HGE\QRPLQHHGLUHFWRUV RIRQHRIWKHYHQWXUHURIWKHVDLGMRLQWYHQWXUHDQGDUHQRWDXGLWHGE\WKHLUDXGLWRUV2XURSLQLRQVRIDUDVLWUHODWHVWRWKHDPRXQWV LQFOXGHGLQUHVSHFWRIWKHVHVXEVLGLDULHVLVEDVHGVROHO\RQVXFKPDQDJHPHQWFHUWL¿HG¿QDQFLDOVWDWHPHQWV :LWKRXWTXDOLI\LQJRXURSLQLRQZHGUDZDWWHQWLRQWR D 1RWHQR% RI6FKHGXOH2WRWKHDFFRXQWVLQUHVSHFWRIRSHUDWLRQVRIWKH&RPSDQ\LQWKHVWDWHRI7DPLO1DGX E 1RWH QR % $ % % % & RI 6FKHGXOH 2 WR &RQVROLGDWHG )LQDQFLDO 6WDWHPHQWV UHJDUGLQJ H[FOXVLRQ RI FHUWDLQ VXEVLGLDULHVDQGMRLQWYHQWXUHVE\WKHPDQDJHPHQWIURPFRQVROLGDWLRQRQDFFRXQWRIRXWVWDQGLQJGLVSXWHVDQGDOVRFRQVLGHULQJ the fact that the amount invested and advanced by the Company to these entities have been impaired; and F 1RWHQR% ( RI6FKHGXOH2WR&RQVROLGDWHG)LQDQFLDO6WDWHPHQWVUHJDUGLQJH[FOXVLRQRIFHUWDLQMRLQWYHQWXUHVSDUWQHUVKLS ¿UPVRIRQHRIWKHVXEVLGLDULHVRIWKH&RPSDQ\IURPFRQVROLGDWLRQVLQFHWKHGDWHIURPZKLFKVXFKVXEVLGLDU\EHFDPHSDUWQHU RQDFFRXQWRIFULWHULDRIHIIHFWLYHMRLQWFRQWUROFRXOGQRWEHIXO¿OOHG :HUHSRUWWKDWWKH&RQVROLGDWHG)LQDQFLDO6WDWHPHQWVKDYHEHHQSUHSDUHGE\WKH&RPSDQ\LQDFFRUGDQFHZLWKWKHUHTXLUHPHQWV RI$FFRXQWLQJ6WDQGDUGV $6 &RQVROLGDWHG)LQDQFLDO6WDWHPHQWV$FFRXQWLQJ6WDQGDUGV $6 $FFRXQWLQJIRU,QYHVWPHQWV LQ$VVRFLDWHV LQ &RQVROLGDWHG )LQDQFLDO 6WDWHPHQWV DQG$FFRXQWLQJ 6WDQGDUG $6 )LQDQFLDO 5HSRUWLQJ RI ,QWHUHVWV LQ -RLQW 9HQWXUHV %DVHGRQRXUDXGLWDVDIRUHVDLGDQGRQFRQVLGHUDWLRQRIVHSDUDWHDXGLWUHSRUWVRIRWKHUDXGLWRUVRQWKHVHSDUDWH¿QDQFLDOVWDWHPHQWV FRQVROLGDWHG¿QDQFLDOVWDWHPHQWVDQGRQWKHRWKHU¿QDQFLDOLQIRUPDWLRQRIWKHFRPSRQHQWVDQGWRWKHEHVWRIRXULQIRUPDWLRQDQG DFFRUGLQJWRWKHH[SODQDWLRQVJLYHQWRXVZHDUHRIWKHRSLQLRQWKDWWKHDWWDFKHG&RQVROLGDWHG)LQDQFLDO6WDWHPHQWVJLYHDWUXHDQG IDLUYLHZLQFRQIRUPLW\ZLWKWKHDFFRXQWLQJSULQFLSOHVJHQHUDOO\DFFHSWHGLQ,QGLD (a) in the case of the Consolidated Balance Sheet, of the state of affairs of the Group as at 31st March, 2011; E LQWKHFDVHRIWKH&RQVROLGDWHG3UR¿WDQG/RVV$FFRXQWRIWKHORVVof the Group for the year ended on that date; and (c) LQWKHFDVHRIWKH&RQVROLGDWHG&DVK)ORZ6WDWHPHQWRIWKHFDVKÀRZVof the Group for the year ended on that date. For G. M. KAPADIA & CO. &KDUWHUHG$FFRXQWDQWV )LUP5HJLVWUDWLRQ1R:
(ATUL SHAH) Mumbai Partner 'DWHG th$XJXVW 0HPEHUVKLS1R
83 Hathway Cable & Datacom Limited Consolidated Balance Sheet as at 31st March, 2011
31-03-2011 31-03-2010 Schedule Rupees Rupees Rupees SOURCES OF FUNDS Shareholders' Funds Share Capital A 1,428,571,000 (PSOR\HH6WRFN2SWLRQV2XWVWDQGLQJ 24,157,165 5HVHUYHVDQG6XUSOXV B 12,000,717,830 13,453,445,995 0LQRULW\,QWHUHVW 1,483,690,475 /RDQ)XQGV C 6HFXUHG/RDQV 3,285,458,168 8QVHFXUHG/RDQV 125,954,693 3,411,412,861 'HIHUUHG7D[/LDELOLWLHV 5HIHU1RWH1R% RI6FKHGXOH2 115,902,039 18,464,451,370 APPLICATION OF FUNDS )L[HG$VVHWV *URVV%ORFN D 15,389,783,489 /HVV $FFXPXODWHG'HSUHFLDWLRQ$PRUWLVDWLRQ,PSDLUPHQW 5,085,493,710 1HW%ORFN 10,304,289,779 &DSLWDO:RUN,Q3URJUHVV 512,489,061 10,816,778,840 ,QYHVWPHQWV E 1,858,728,080 'HIHUUHG7D[$VVHWV 5HIHU1RWH1R% RI6FKHGXOH2 26,146,763 1HW&XUUHQW$VVHWV &XUUHQW$VVHWV/RDQV $GYDQFHV F ,QYHQWRULHV 46,912,618 Sundry Debtors 2,563,730,035 &DVKDQG%DQNEDODQFHV 521,371,604 /RDQV $GYDQFHV 1,719,561,135 4,851,575,392 /HVV &XUUHQW/LDELOLWLHV 3URYLVLRQV G &XUUHQW/LDELOLWLHV 3,903,496,303 Provisions 121,132,700 4,024,629,003 1HW&XUUHQW$VVHWV 826,946,389 0LVFHOODQHRXV([SHQGLWXUH H 533,946 7RWKHH[WHQWQRWZULWWHQRIIRUDGMXVWHG 3UR¿W /RVV$FFRXQW'HELW%DODQFH 4,935,317,352 18,464,451,370 6LJQLJLFDQW$FFRXQWLQJ3ROLFLHVDQG1RWHV)RUPLQJ3DUWRI O - - $FFRXQWV As Per Our Report Of Even Date For and on behalf of the Board For G. M. KAPADIA & CO. Chartered Accountants ( ATUL SHAH ) (GANAPATHY SUBRAMANIAM) ( K . JAYARAMAN ) Partner %JKGH(KPCPEKCN1HſEGT Managing Director & C.E.O. (MILIND KARNIK ) (VINAYAK AGGARWAL ) President- Finance & Company Secretary Director Mumbai Mumbai Dated : 12th August 2011 Dated : 12th August 2011
84 Annual Report 2010-11
Consolidated Proſt & Loss Account for the year ended 31st March, 2011
Schedule 2010-11 2009-10 Rupees Rupees INCOME ,QFRPHIURP2SHUDWLRQV I 8,826,078,462 2WKHU,QFRPH J 240,715,164 9,066,793,626 EXPENDITURE 2SHUDWLRQDO([SHQVHV K 4,903,700,334 Staff Cost L 907,346,028 6HOOLQJ$GPLQLVWUDWLRQDQG*HQHUDO([SHQVHV M 1,517,290,587 7,328,336,949 PROFIT BEFORE INTEREST, DEPRECIATION, AMORTISATION AND 1,738,456,677 TAXATION ,QWHUHVW )LQDQFH&KDUJHV N 449,823,016 3UR¿W /RVV DIWHU2SHUDWLQJ([SHQVHV ,QWHUHVW 1,288,633,661 /RVV *DLQ RQ)RUHLJQ([FKDQJH)OXFWXDWLRQ 1HW (14,864,858) Depreciation 1,074,529,504 $PRUWLVDWLRQ 174,310,592 ,PSDLUPHQWRI,QWDQJLEOH$VVHWV 27,030,014 3UR¿W /RVV EHIRUH7D[DWLRQDQG([FHSWLRQDOLWHPV 27,628,409 ([FHSWLRQDO,WHPV 3URYLVLRQIRU'RXEWIXO$GYDQFHVWR6XEVLGDULHV $VVRFLDWHV 5HIHU1RWH1R% 86,886,367 RI6FKHGXOH2 ,PSDLUPHQWDQGZULWHRIIRI$VVHWVLQUHVSHFWRIRSHUDWLRQVLQ7DPLO1DGX 5HIHU 56,593,891 1RWH1R% RI6FKHGXOH2 'HSUHFLDWLRQ:ULWHEDFNIRU3UHYLRXV As Per Our Report Of Even Date For and on behalf of the Board For G. M. KAPADIA & CO. Chartered Accountants ( ATUL SHAH ) (GANAPATHY SUBRAMANIAM) ( K . JAYARAMAN ) Partner %JKGH(KPCPEKCN1HſEGT Managing Director & C.E.O. (MILIND KARNIK ) (VINAYAK AGGARWAL ) President- Finance & Company Secretary Director Mumbai Mumbai Dated : 12th August 2011 Dated : 12th August 2011 85 Hathway Cable & Datacom Limited Consolidated Cash Flow Statement for the Year Ended 31St March 2011 31-Mar-11 31-Mar-10 Rupees Rupees 1 CASH FLOW FROM OPERATING ACTIVITIES: 1(7352),7 /266 %()25(7$; 35,253(5,2'$'-8670(17 (192,233,480) (652,351,959) $ $GMXVWPHQWIRU 1 1RQ&DVK&KDUJHV 'HSUHFLDWLRQ$PRUWLVDWLRQ,PSDLUPHQW 1,275,870,111 3URYLVLRQIRU%DG 'RXEWIXO'HEWV 380,773,362 %DG'HEWV 1HW 26,571,536 3URYLVLRQIRU%DG 'RXEWIXO$GYDQFHV 892,769 $PRXQWQRORQJHUSD\DEOHZULWWHQEDFN (14,755,326) 6KDUHRI 3UR¿W /RVVLQ3DUWQHUVKLS¿UPVDVVRFLDWHV (625,410) 'LVFRXQW$OORZHG 5HFHLYHG (20,112) 3URYLVLRQ ([FHVV3URYLVLRQ5HYHUVHG IRUOHDYHHQFDVKPHQWDQGJUDWXLW\ 12,665,341 (PSOR\HH&RPSHQVDWLRQ([SHQVH 4,802,882 6XQGU\$GYDQFHV:ULWWHQRII 4,121,269 0LQRULW\,QWHUHVW (70,511,645) Exceptional Items 'HSUHFLDWLRQZULWHEDFNIRU3UHYLRXV\HDU 5HIHU1RWH1R% RI6FKHGXOH2 3URYLVLRQIRU'RXEWIXO$GYDQFHVWR6XEVLGLDULHV $VVRFLDWHV 64,044,351 3URYLVLRQIRU%DG 'RXEWIXO'HEWVIRU7DPLO1DGX - /RVV,PSDLUPHQWRI7DQJLEOH,QWDQJLEOH$VVHWVIRU7DPLO1DGX 56,593,891 2 ,WHP&RQVLGHUHG6HSDUDWHO\ 3UR¿W ORVVRQVDOHRI)L[HG$VVHWV 42,212,571 ,QWHUHVWDQG)LQDQFH&KDUJHV 449,823,016 ,QFRPHIURP,QYHVWPHQWV (54,346,186) 3UR¿W ORVVRQVDOHRI,QYHVWPHQWV (150,229,462) 2,027,882,958 2,108,813,381 2SHUDWLQJ3UR¿W%HIRUH:RUNLQJ&DSLWDO 1,835,649,478 B &KDQJHLQ:RUNLQJ&DSLWDO ,QFUHDVH 'HFUHDVHLQ,QYHQWRULHV 5,132,811 ,QFUHDVH 'HFUHDVHLQ6XQGU\'HEWRUV (986,297,180) ,QFUHDVH 'HFUHDVHLQ/RDQV $GYDQFH 196,663,458 ,QFUHDVH 'HFUHDVH LQ&XUUHQW/LDELOLWLHV 3URYLVLRQV 284,358,552 (500,142,359) &DVK*HQHUDWHGIURP2SHUDWLRQV 1,335,507,119 Taxes Paid (264,691,569) 1HW&DVKIURP2SHUDWLRQ$FWLYLWLHV 1,070,815,550 1,368,004,446 86 Annual Report 2010-11 31-Mar-11 31-Mar-10 Rupees Rupees 2 CASH FLOW FROM INVESTING ACTIVITIES: ,QFRPHIURP,QYHVWPHQWV 54,346,186 6DOH3URFHHGVRI)L[HGDVVHWV 6,061,907 3D\PHQWIRU)L[HG$VVHWV (2,580,110,029) 3XUFKDVHRI,QYHVWPHQWV (20,747,714,495) 6DOH3URFHHGVRI,QYHVWPHQW 23,223,211,253 1HWFDVK5HDOLVHGIURP,QYHVWLQJ$FWLYLWLHV (44,205,178) (5,643,926,087) 3 CASH FLOW FROM FINANCING ACTIVITIES ,QWHUHVWDQG)LQDQFH&KDUJHV (436,742,827) ,VVXHVRI6KDUH&DSLWDO ,QFOXGLQJ3UHPLXP - ,VVXHVRI6KDUH&DSLWDO ,QFOXGLQJ3UHPLXP IURP0LQRULW\3DUWQHUV - 6KDUH,VVXH([SHQVHV - 1HW/RDQ)XQGVERUURZHG? UHSDLG (1,195,950,851) 1HWFDVK5HDOLVHGIURP)LQDQFLQJ$FWLYLWLHV (1,632,693,678) 4,827,509,129 1HWLQFUHDVHLQ&DVKDQG&DVKHTXLYDOHQW (606,083,306) 551,587,488 &DVK &DVKHTXLYDOHQWV 1HWRI%RRN2YHUGUDIW DWWKHEHJLQQLQJRI\HDU 985,176,063 &DVK &DVKHTXLYDOHQWV 1HWRI%RRN2YHUGUDIW DWWKHHQGRI\HDU 379,092,757 985,176,063 Notes: $ERYH6WDWHPHQWKDVEHHQSUHSDUHGE\XVLQJ,QGLUHFWPHWKRGDVSHU$6RQ&DVK)ORZ6WDWHPHQWV &DVKDQG&DVKHTXLYDOHQWVUHSUHVHQW&DVK%DODQFHLQKDQGDQG%DODQFHVZLWK6FKHGXOH%DQNV 1HWRI%RRN2YHUGUDIW &DVK &DVKHTXLYDOHQWVDWWKHEHJLQQLQJRIWKH\HDUDQGDWWKHHQGRIWKH\HDUDOVRLQFOXGHV)L[HG'HSRVLWVSOHGJHGDVVHFXULWLHV5HIHU 6FKHGXOH)IRUGHWDLOV 'XULQJWKHSUHYLRXV\HDUDQHPSOR\HHKDGH[FHUFLVHGWKHRSWLRQDWDQ([HUFLVH3ULFHRI5VZKRVHIDLUPDUNHWYDOXHZDV5V As Per Our Report Of Even Date For and on behalf of the Board For G. M. KAPADIA & CO. Chartered Accountants ( ATUL SHAH ) (GANAPATHY SUBRAMANIAM) ( K . JAYARAMAN ) Partner %JKGH(KPCPEKCN1HſEGT Managing Director & C.E.O. (MILIND KARNIK ) (VINAYAK AGGARWAL ) President- Finance & Company Secretary Director Mumbai Mumbai Dated : 12th August 2011 Dated : 12th August 2011 87 Hathway Cable & Datacom Limited Schedules Annexed to and Forming Part of the Consolidated Balance Sheet as at 31st March, 2011 31-03-2011 31-03-2010 Rupees Rupees SCHEDULE A SHARE CAPITAL $XWKRULVHG&DSLWDO (TXLW\6KDUHVRI5V (DFK 1,998,000,000 1RQ&XPXODWLYH5HGHHPDEOH3UHIHUHQFH6KDUHVRI5XSHHV (DFK 2,000,000 2,000,000 2,000,000,000 2,000,000,000 Issued,Subscribed and Paid up Capital (TXLW\6KDUHVRI5V (DFK)XOO\3DLG8S 1,428,571,000 2IWKHDERYH (TXLW\VKDUHVRI5V DUHDOORWWHGDVIXOO\SDLGXS ERQXVVKDUHVRXWRI6HFXULWLHV3UHPLXP$FFRXQW 2IWKHDERYH VKDUHKDVEHHQDOORWWHGDVIXOO\SDLGXSXQGHUWKH(PSOR\HH6WRFN2SWLRQ Plan 'XULQJWKH\HDU1,/ (TXLW\6KDUHVRI5V(DFKZHUHLVVXHGRQFRQYHUVLRQRI )XOO\ &RPSXOVRULO\&RQYHUWLEOH'HEHQWXUHV )&&' 5HIHU1RWH1R% WR6FKHGXOH2 'XULQJWKH\HDU1,/ (TXLW\6KDUHVRI5V(DFKZHUHLVVXHGDVIXOO\SDLGXS VKDUHVWKURXJK,QLWLDO3XEOLF2IIHU 5HIHU1RWH1R% WR6FKHGXOH2 1,428,571,000 1,428,571,000 SCHEDULE B RESERVES & SURPLUS &DSLWDO5HVHUYH (Balance as per last balance sheet) 1,025,387 Securities Premium Balances per last Balance Sheet 11,999,692,443 $GG $GGLWLRQVGXULQJWKH\HDU - /HVV 6KDUH'HEHQWXUHLVVXHH[SHQVHV - 11,999,692,443 12,000,717,830 12,000,717,830 SCHEDULE C LOAN FUNDS SECURED LOANS )URP%DQNV &DVK&UHGLW5HIHU1RWH L LL LLL LY DQG Y 219,877,368 9HKLFOH/RDQV5HIHU1RWH YL 14,477,109 /RDQV5HIHU1RWH YLL YLLL L[ DQG [ 969,202,001 :RUNLQJ&DSLWDO'HPDQG/RDQ5HIHU1RWH [L 110,000,000 ([WHUQDO&RPPHUFLDO%RUURZLQJV5HIHU1RWH [LL 60,196,500 %X\HUV&UHGLW5HIHU1RWH [LLL 670,939,732 From Others /RDQVIURP2WKHUV5HIHU1RWH [LY DQG [Y 1,240,765,458 3,285,458,168 4,482,497,253 UNSECURED LOANS SHORT TERM LOAN FROM OTHERS ,QWHU&RUSRUDWH'HSRVLWIURP2WKHUV 109,614,075 2WKHUV 16,340,618 125,954,693 124,866,459 3,411,412,861 4,607,363,712 Note: L 5V1,/ 3<5V1,/ 6DQFWLRQDPRXQW5V 3<5V LVVHFXUHGE\K\SRWKHFDWLRQRI&XUUHQW$VVHWVRI WKH&RPSDQ\ERWKSUHVHQW IXWXUHDQGH[WHQVLRQRISDULSDVVXK\SRWKHFDWLRQRIPRYDEOH)L[HG$VVHWVRIWKH&RPSDQ\ERWKSUHVHQW IXWXUH 88 Annual Report 2010-11 LL 5V1,/ 3<5V 6DQFWLRQDPRXQW5V 3<5V LVVHFXUHGE\K\SRWKHFDWLRQRILQYHQWRU\DQG %RRNGHEWVRIWKH&RPSDQ\ERWKSUHVHQW IXWXUHDQGSHUVRQDOJXDUDQWHHRIRQHRIWKHGLUHFWRUV LLL 5V 3<5V VHFXUHGDJDLQVW+\SRWKHFDWLRQRI%RRN'HEWV+HDGHQG(TXLSPHQWVDQG)L[HG'HSRVLW5HFHLSW RI5V 3<5V RIRQHRIWKH6XEVLGLDU\&RPSDQ\ LY 5V 3< VHFXUHGE\)LUVW&KDUJHRQWKHHQWLUHFXUUHQWDVVHWVEHORQJLQJWRRQHRIWKH6XEVLGLDU\&RPSDQ\ 6HFRQG&KDUJHRQWKHHQWLUHPRYHDEOH¿[HG$VVHWV 3UHVHQW )XWXUH DQGVSHFL¿F,PPRYDEOH3URSHUWLHVSURYLGHGIRU7HUP/RDQ and Personal Guarantee of one of the Directors of the Subsidiary Company and Corporate Guarantee of the Company to the tune RI5V Y 5V 3<5V VHFXUHGE\K\SRWKHFDWLRQRIDOOSUHVHQWDQGIXWXUH¿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e). D +\SRWKHFDWLRQRI$VVHWVDFTXLUHGXQGHU/&IDFLOLW\ E 6HFXUHGE\K\SRWKHFDWLRQRI&XUUHQW$VVHWVRIWKH&RPSDQ\ERWKSUHVHQW IXWXUHDQGH[WHQVLRQRISDULSDVVXK\SRWKHFDWLRQ RIPRYDEOH)L[HG$VVHWVRIWKH&RPSDQ\ERWKSUHVHQW IXWXUH F &DVK0DUJLQRIE\)L[HGGHSRVLWZLWK%DQN G 3HUVRQDO*XDUDQWHHJLYHQE\RQHRIWKHGLUHFWRUVRIWKH&RPSDQ\ (e) Corporate Guarantee of the Company. [LY 2XWRIWKHDERYH5V 3<5V VHFXUHGE\LWHPQR D E DQG K 5V 3<5V VHFXUHGE\LWHPQR D E F H I DQG L 5V 3<5V VHFXUHGE\LWHPQR D E H I DQG M DQG 5V 3<5V VHFXUHGE\LWHPQR D G J D SDULSDVVXK\SRWKHFDWLRQRIWKHSUHVHQW IXWXUHPRYDEOH LPPRYDEOH)L[HG$VVHWVRIWKH&RPSDQ\ E SDULSDVVXK\SRWKHFDWLRQRIWKHSUHVHQW IXWXUH&XUUHQW$VVHWVRIWKH&RPSDQ\ F 3HUVRQDO*XDUDQWHHVJLYHQE\RQHRIWKHGLUHFWRUVRIWKH&RPSDQ\ G XQGHUWDNLQJJLYHQE\FHUWDLQVKDUHKROGHUVRIWKH&RPSDQ\IRUQRQGLVSRVDORIWKHLUVKDUHKROGLQJLQWKH&RPSDQ\VRORQJDV 7HUP/RDQLVRXWVWDQGLQJWRWKHWXQHRI5V 3<5V H SDULSDVVX¿UVWFKDUJHRQSUHVHQW IXWXUHERRNGHEWVRSHUDWLQJFDVKÀRZVUHFHLYDEOHVFRPPLVVLRQVUHYHQXHVRIZKDWVR ever nature. I )LUVWFKDUJHRQWKHXQFDOOHGFDSLWDORIWKHFRPSDQ\ J 3HUVRQDO*XDUDQWHHVJLYHQE\RQHRIWKHGLUHFWRUVRIWKH&RPSDQ\ 3<WRWKHWXQHRI5V5V K 3OHGJHRIIXOO\SDLGHTXLW\VKDUHVRI*XMDUDW7HOHOLQN3ULYDWH/LPLWHG L /LHQRQXQLWVRI,')&)L[HG0DWXULW\ 89 Hathway Cable & Datacom Limited As at 31-03-2010 (In Rupees) As at 32,950,733 Total WDV 31-03-2011 38,043,608 7,489,013 18,439,391 1,712,999 125,834 9,589,863 107,865,844 As at 14,675,611 4,629,268 32,574,611 31,005,915 18,700,673 15,037,514 89,830,006 65,376,113 39,679,314 1,892,263,207 12,661,263 6,861,674 17,248,385 13,083,064 17,130,893 23,552,473 72,986,898 38,043,608 119,727,289 34,085,665 246,118,800 32,950,733 331,370,420 749,816,487 367,509,694 1,319,793,496 31-03-2011 3,686,487,979 5,951,359,492 ! 1HW%ORFN! for old Deduction Subsidiaries ,754 19,278,005 1,072,340,737 4,037,496,799 3,907,306,556 15 to 20 Year policy. The effect has been given to bring the ) , Software Rs.59,507 (Previous Year Rs. Nil), period GXULQJWKH Deductions - ,817 91,592,715 1,855,819 4,013,152,974 6,266,792,979 5,589,276,258 ,382 195,949,396 14,137,787 3,990,828,500 9,496,582,814 9,031,169,957 1,304,900,776 225,734,469 21,133,824 5,085,493,711 10,304,289,778 9,496,582,814 the period $GGLWLRQVGXULQJ 10 to 15 Year Adjustment Refer Note (3) $FFXPXODWHG'HSUHFLDWLRQ$PRUWLVDWLRQ,PSDLUPHQW - Subsidiaries Addition for New As at 01-04-2010 5 to 10 Year 1,838,833 33,738,187 25,928,404 19,522,937 19,304,879 30,331,449 40,683,366 63,580,526 As at 111,030,506 155,206,119 117,455,707 153,812,954 279,069,533 1,081,186,907 9,637,847,471 1,931,942,521 1,687,303,190 31-03-2011 Deduction for old Subsidiaries 0 to 5 Year period GXULQJWKH Deductions the period $GGLWLRQVGXULQJ *URVV%ORFN DW&RVW ! Subsidiaries Addition for New As at 4,862,667,583 69,256,081 441,105,632 136,397,495 126,794,265 5,109,837,536 955,361,027 200,048 (1,646,538) 271,845,959 134,141 01-04-2010 12,057,198,625 134,225,947 1,671,174,847 341,647,145 33,540,960 13,487,411,314 3,026,028,668 47,884,167 (43,413,534) 1,170,416 policy in line with the Group. Plant and Machinery Rs. 87,504,276 (Previous Year 17,677,227) Bandwidth Rights 32,950,733 Movie RightsSoftwares 4,413,664 38,043,608 189,065 26,539 - 4,629,268 Range of remaining period amortisation of Intangible Assets is as below : GoodwillCable Television Franchisee 243,013,712 245,216,255 370,385,628 276,848,725 461,177,902 218,939,589 1,319,793,496 119,981,174 134,046,999 749,816,487 Schedules Annexed to and Forming Part of the Consolidated Balance Sheet as at 31st March, 2011 7DQJLEOH$VVHWV Plant and Machinery ,QWDQJLEOH$VVHWV *RRGZLOO $LU&RQGLWLRQHUV )XUQLWXUHDQG)L[WXUHV 6WUXFWXUDO)LWWLQJV *RRGZLOORQ&RQVROLGDWLRQ 0RELOH3DJHUV 7HOHSKRQHV &DEOH7HOHYLVLRQ)UDQFKLVHH Computers 0RYLH5LJKWV 2I¿FH(TXLSPHQWV 6RIWZDUHV 0RWRU9HKLFOHV /DQGDQG%XLOGLQJ (OHFWULFDO)LWWLQJV %DQGZLGWK5LJKWV Movie Master Tapes Movie Master Total 8,624,743,731 28,667,622 1,760,869,207 131,517,813 2,816,794 10,279,945,953 3,035,467,473 4,074,046 34,005,172 1,033,054 Grand Total 13,487,411,314 97,923,703 2,201,974,839 267,915,308 129,611,059 15,389,783,489 3,990,828,500 4,274,094 32,358,634 3UHYLRXV 90 Annual Report 2010-11 Schedules Annexed to and Forming Part of the Consolidated Balance Sheet as at 31St March, 2011 FACE CONSOLIDATED CONSOLIDATED VALUE 31-03-2011 31-03-2010 Rupees Quantity Rupees Rupees Per Unit Quantity SCHEDULE E INVESTMENTS (Fully Paid) Equity Shares of Subsidiary Companies +DWKZD\-DL0DWD'L6KHUDZDOL&DEOH 'DWDFRP3YW/WG 10 800,000 8,000,000 +DWKZD\&KDQQHO&DEOH 'DWDFRP3YW/WG 5HIHU1RWH 10 249,000 62,819,311 - % % RI6FKHGXOH2 70,819,311 /HVV 3URYLVLRQIRUGLPLQXWLRQLQYDOXH 70,819,311 - - Equity Shares of Other Company *73/5DMZDGL1HWZRUN3YW/LPLWHG 10 5,000 2,051,856 3DQ&DEOHV6HUYLFHV3YW/WG 10 10 100 10 100 +DWKZD\&DEOH(QWHUWDLQPHQW3YW/WG 10 47,009 470,594 +DWKZD\-KDQVL-0'65&DEOH 'DWDFRP3YW/WG 10 60,000 2,206,295 +DWKZD\9&1&DEOHQHW3YW/WG 10 12,520 1,006,132 5,734,977 4,048,547 /HVV 3URYLVLRQIRUGLPLQXWLRQLQYDOXH 3,212,528 3,212,528 2,522,449 836,019 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$VWDNHQYDOXHGDQGFHUWL¿HGE\WKHPDQDJHPHQW - 6WRFNRI6SDUHV 0DLQWHQDQFH,WHPV 46,912,618 46,912,618 Sundry Debtors (Unsecured but Considered Good, to the extent not provided for) 2XWVWDQGLQJIRU0RUHWKDQ0RQWKV 1,037,890,682 2WKHUV 2,083,460,669 3,121,351,351 /HVV 3URYLVLRQIRU%DGDQG'RXEWIXO'HEWV 557,621,316 2,563,730,035 &DVKDQG%DQN%DODQFHV Cash in hand 57,846,891 Cheques in hand 50,873,823 %DODQFHZLWK6FKHGXOHG%DQNV ,Q&XUUHQW$FFRXQWV 267,001,735 ,Q)L[HG'HSRVLWV 145,649,155 521,371,604 LOANS AND ADVANCES 8QVHFXUHGEXWFRQVLGHUHGJRRGWRWKHH[WHQWQRWSURYLGHGIRU Sundry Deposits 196,270,623 $GYDQFHVUHFRYHUDEOHLQFDVKRU NLQGIRUYDOXHWREHUHFHLYHG 6XQGU\$GYDQFHV 389,612,646 $GYDQFHVIRU1HWZRUN$FTXLVLWLRQV 305,644,508 $GYDQFHVWR¿UPLQZKLFK&RPSDQ\ V6XEGLDULHVDUHSDUWQHU 165,187,574 $GYDQFHVIRURWKHU&DEOH9HQWXUHV 61,441,501 $GYDQFHVWR'LUHFWRUVRI6XEVLGLDULHV 62,250,000 $GYDQFHVWR-RLQW9HQWXUHV 7,762,232 &(19$75HFHLYDEOH 140,118,312 Service Tax Claimable 130,052,182 Taxes Paid 228,880,274 3UHSDLG([SHQVHV 160,918,139 /RDQVJLYHQ 11,675,504 6WDII/RDQV 7,327,094 6WDII$GYDQFHV 4,812,918 2WKHU&XUUHQW$VVHWV 105,456,699 1,781,139,583 1,565,838,936 1,977,410,206 /HVV 3URYLVLRQIRUGRXEWIXODGYDQFHV $JDLQVW$GYDQFHVWR6XEVLGLDULHV¿UPLQZKLFK6XEVLGDU\ 235,318,490 FRPSDQLHVDUHSDUWQHUV2WKHU&DEOH9HQWXUHV $JDLQVW$GYDQFHVWR2WKHUV 22,530,581 1,719,561,135 4,851,575,392 4,485,008,768 96 Annual Report 2010-11 Schedules Annexed to and Forming Part of the Consolidated Balance Sheet as at 31St March, 2011 Rupees 31-03-2011 31-03-2010 Rupees Rupees SCHEDULE G CURRENT LIABILITES & PROVISIONS CURRENT LIABILITIES Sundry Creditors 2,191,573,279 ,QFRPH5HFHLYHGLQ$GYDQFH 680,554,851 Service Tax Payable 258,963,653 2XWVWDQGLQJ/LDELOLWLHVIRU([SHQVHV 189,740,165 2WKHU/LDELOLWLHV 187,563,075 &UHGLW%DODQFHLQ&XUUHQW$FFRXQWZLWK%DQNV 142,278,845 6HFXULW\'HSRVLWV5HFHLYHG 125,942,294 Statutory Payable 117,186,314 ,QWHUHVW3D\DEOH 7,735,853 2YHUGUDZQEDODQFHZLWK3DUWQHUVKLS)LUP 1,707,974 Preference Share Capital 250,000 3,903,496,303 PROVISIONS 3URYLVLRQIRU(PSOR\HH%HQH¿WV 68,592,503 3URYLVLRQIRU7D[DWLRQ 1HW 52,540,197 121,132,700 4,024,629,003 3,643,391,296 SCHEDULE H MISCELLANEOUS EXPENDITURE 7RWKHH[WHQWQRWZULWWHQRIIRUDGMXVWHG Balance as per last year 282,537 $GG $GGLWLRQGXULQJWKH\HDU 353,254 /HVV :ULWWHQRIIGXULQJWKH\HDU 101,845 533,946 533,946 282,537 97 Hathway Cable & Datacom Limited Schedules Annexed to and Forming Part of the Consolidated Proſt & Loss Account for the year ended 31st March, 2011 2010-11 2009-10 Rupees Rupees SCHEDULE I INCOME FROM OPERATIONS 6XEVFULSWLRQ,QFRPH 8,505,822,071 $GYHUWLVHPHQW,QFRPH 118,714,417 5HQWDO,QFRPHIURP&DEOH7HOHYLVLRQDQG,QWHUQHW$FFHVV'HYLFHV 104,506,232 6HUYLFH&KDUJHV(DUQHG 669,046 2WKHU2SHUDWLRQDO,QFRPH 86,052,428 6DOHRI$FFHVV'HYLFHV 10,314,268 8,826,078,462 7,331,819,679 SCHEDULE J OTHER INCOME ,QWHUHVWRQ)L[HG'HSRVLWV 9,870,942 ,QWHUHVWRQ/RDQV 325,041 ,QWHUHVWRQ,QFRPH7D[5HIXQG 4,514,289 3UR¿WRQ6DOHRIQRQWUDGH,QYHVWPHQWV 1HW 150,229,462 ,QWHUHVWRQ&RPPHUFLDO'HSRVLWV 44,150,203 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Network Pvt. Vision Pvt. Pvt. Ltd. Channel & Communi- Network Pvt. Ltd. Ltd. Ltd. 5 Cable & cation Pvt. Ltd. Datacom Pvt. Ltd. Ltd. Financial Year ending on 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2009 31.03.2011 31.03.2011 Note 2 Currency INR INR INR INR INR INR INR 1 Share Capital 915,000 877,000 100,000 760,200 4,882,350 999,890 600,000 2 Reserves 9,980,000 6,562,500 - 21,450,000 114,441,000 2,999,250 - 3 Total Liabilities 10,953,805 9,616,070 12,870,023 22,210,200 122,558,746 7,689,198 785,228 4 Total Assets 10,953,805 9,616,070 12,870,023 22,210,200 122,558,746 7,689,198 785,228 5 Investments ------6 Turnover - - 1,075,795 24,485,895 24,550,685 - - 7 2TQſV .QUU $GHQTG6CZCVKQP (38,400) (10,600) (36,082) (11,051,381) (7,425,224) (5,500) (11,500) 8 2TQſV .QUU #HVGT6CZCVKQP (38,400) (10,600) (64,082) (11,043,158) (7,433,494) (5,500) (11,500) 9 2TQXKUKQPHQT6CZCVKQP - - 28,000 (8,223) 8,270 - - Sr. Particulars Binary Hathway UTN Cable ITV Interactive Chennai Hathway Win Cable & No. Technology Media Vision Communi- Media Pvt. Ltd Cable Vision Universal Data com Pvt. Transfers Pvt. Pvt. Ltd. cation Pvt.Ltd. Network Pvt. Cabletel & Ltd. Ltd. Ltd. Data com Pvt. Ltd. Financial Year ending on 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 Note Currency INR INR INR INR INR INR INR 1 Share Capital 100,000 670,400 500,000 100,000 1,800,200 100,000 2,050,000 107 Hathway Cable & Datacom Limited Sr. Particulars Binary Hathway UTN Cable ITV Interactive Chennai Hathway Win Cable & No. Technology Media Vision Communi- Media Pvt. Ltd Cable Vision Universal Data com Pvt. Transfers Pvt. Pvt. Ltd. cation Pvt.Ltd. Network Pvt. Cabletel & Ltd. Ltd. Ltd. Data com Pvt. Ltd. 2 Reserves - 26,000,000 4,643,640 - - - - 3 Total Liabilities 16,009,135 47,788,220 16,466,196 5,303,933 21,482,427 323,553 203,936,666 4 Total Assets 16,009,135 47,788,220 16,466,196 5,303,833 21,482,427 323,553 203,936,666 5 Investments 15,750,832 ------6 Turnover - 146,362,953 31,632,159 - 89,523 6,360 389,138 7 2TQſV .QUU $GHQTG (16,336) (2,297,700) (653,075) (26,108) 69,238 (1,831) 355,291 6CZCVKQP 8 2TQſV .QUU #HVGT (16,336) (1,883,793) (594,124) (26,108) 69,238 (1,831) 355,291 6CZCVKQP 9 2TQXKUKQPHQT6CZCVKQP - (413,909) (58,951) - - - - Sr. Particulars Hathway Hathway Hathway Hathway Cnet Hathway Hathway Hathway No. Space Vision Software Nashik Cable Pvt. Ltd. United Cables Internet Krishna Cable Cabletel Pvt. Developers Network Pvt. Pvt. Ltd. Satellite Pvt. Pvt. Ltd. Ltd. Pvt.Ltd. Ltd. Ltd. Financial Year ending on 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 Note Currency INR INR INR INR INR INR INR 1 Share Capital 100,200 3,000,000 503,000 1,000,000 100,000 100,000 50,000,000 2 Reserves - - 4,500,000 4,985,000 - - - 3 Total Liabilities 10,501,084 3,859,100 108,995,277 10,435,848 3,457,236 15,893,221 83,765,357 4 Total Assets 10,501,084 3,859,100 108,995,277 10,435,848 3,457,236 15,893,221 83,765,357 5 Investments - - - - 6,000 15,750,832 15,000 6 Turnover - 30,685,036 - 6,408 18,154,156 - 43,990,868 7 2TQſV .QUU $GHQTG (5,400) 1,003,506 (198,086) (9,026) 240,293 (123,936) (6,033,149) 6CZCVKQP 8 2TQſV .QUU #HVGT (5,400) 1,052,079 (198,086) (9,026) 190,293 (123,936) (5,831,303) 6CZCVKQP 9 2TQXKUKQPHQT6CZCVKQP - (48,573) - - 50,000 - (201,846) Sr. Particulars Hathway Hathway Hathway Hathway Hathway Enjoy Hathway JMD Hathway No. Mysore Cable Prime Cable & Gwalior Cable Digital Cable Network Farukhabad Jai Mata Di Network Pvt. Datacom Pvt. & Datacom Sahranpur Pvt. Ltd. Cable & Sherewali Ltd. Ltd. Pvt. Ltd. Cable and Datacom Pvt. Cable & Datacom Pvt. Ltd. Datacom Pvt. Ltd. Ltd. Financial Year ending on 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2009 Note 1 & 7 Currency INR INR INR INR INR INR INR 1 Share Capital 4,600,000 4,500,000 100,000 200,000 100,000 100,000 16,000,000 2 Reserves - - - 10,413,744 1,025,387 - - 3 Total Liabilities 10,371,456 4,500,000 100,000 10,613,744 1,125,387 100,000 16,000,000 4 Total Assets 10,371,456 4,500,000 100,000 10,613,744 1,125,387 100,000 16,000,000 5 Investments 10,000 ------6 Turnover 24,451,217 1,200,192 20,043,969 23,800,674 - - 15,507,759 7 2TQſV .QUU $GHQTG 4,471,679 (1,893,184) (20,587) (1,951,902) (8,633) - (42,818,098) 6CZCVKQP 8 2TQſV .QUU #HVGT 4,505,298 (1,893,184) (20,587) (1,951,902) (8,633) - (42,814,274) 6CZCVKQP 9 2TQXKUKQPHQT6CZCVKQP (33,618) - - - - - (3,824) 108 Annual Report 2010-11 Sr. Particulars Hathway Hathway Latur Hathway MCN Hathway Hathway ICE Hathway Hathway No. Kokan Crystal MCN Cable & Pvt. Ltd. Sonali OM Television Pvt Bhaskar Rajesh Cable Network Datacom Pvt. Crystal Cable Ltd Multinet Pvt. Multichannel Pvt. Ltd. Ltd. Pvt Ltd Ltd. Pvt. Ltd. Financial Year ending on 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 Note Currency INR INR INR INR INR INR INR 1 Share Capital 548,820 1,000,000 10,000,000 1,000,000 2,000,000 12,254,200 2,399,090 2 Reserves 37,958,306 17,279,714 35,700,000 14,179,320 3,060,000 140,722,396 - 3 Total Liabilities 38,991,866 29,341,511 69,263,941 15,633,392 5,084,000 194,752,929 18,478,461 4 Total Assets 38,991,866 29,341,511 69,263,941 15,633,392 5,084,000 194,752,929 18,478,462 5 Investments - 2,100 31,300 - - - 2,095,701 6 Turnover 18,433,600 5,570,590 128,860,704 161,787,836 25,786,676 420,210,260 111,460,758 7 2TQſV .QUU $GHQTG (1,214,230) (6,848,160) 2,391,927 6,097,087 (3,368,334) (17,673,864) (67,834) 6CZCVKQP 8 2TQſV .QUU #HVGT (1,239,512) (4,897,024) 1,484,223 4,207,816 (3,368,334) (17,673,864) (2,118,047) 6CZCVKQP 9 2TQXKUKQPHQT6CZCVKQP 25,282 (1,951,136) 907,704 1,889,271 - - 2,050,213 Sr. Particulars Net 9 Online Hathway New Hathway Sai Hathway Cable Hathway Hathway Hathway No. Hathway Pvt Concept Cable Star Cable & MCN Nanded Palampur Mantra Cable Dattatray Ltd & Datacom Datacom Pvt. Pvt. Ltd. Cable Network & Datacom Cable Network Pvt. Ltd. Ltd. Pvt. Ltd. Pvt. Ltd. Pvt. Ltd. Financial Year ending on 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 Note 76 Currency INR INR INR INR INR INR INR 1 Share Capital 100,000 500,000 1,350,000 17,650,000 300,000 100,000 400,000 2 Reserves 2,404,342 139,600,000 548,926,907 - 10,897,467 - 80,645,170 3 Total Liabilities 4,684,342 140,240,771 555,197,792 21,808,997 11,258,692 100,000 81,045,170 4 Total Assets 4,684,342 140,240,771 555,197,792 21,808,997 11,258,692 100,000 81,045,170 5 Investments ------6 Turnover - 57,538,029 184,844,248 14,128,830 11,156,859 - 19,469,239 7 2TQſV .QUU $GHQTG - (14,873,799) 5,338,726 (5,488,143) (133,089) - (14,529,514) 6CZCVKQP 8 2TQſV .QUU #HVGT - (15,125,021) 4,338,726 (3,713,095) (147,467) (10,039,894) 6CZCVKQP 9 2TQXKUKQPHQT6CZCVKQP - 251,222 1,000,000 (1,775,048) 14,378 - (4,489,620) Sr. Particulars Hathway Hathway Hathway Hathway Hathway Gujarat GTPL Anjali No. Bhaskar CBN Bhaskar CCN Bhaskar CCN Bhawani Bhawani NDS Telelink Pvt. Cable Network Multinet Pvt. Multinet Pvt. Entertainment Cabletel & Network Pvt. Ltd. Private Ltd. Ltd. (India) Pvt. Datacom Ltd. Ltd. Limited Ltd. Fka : Hathway Bhaskar Pagariya Multi- net Pvt Ltd. Financial Year ending on 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 Note 3335374 Currency INR INR INR INR INR INR INR 1 Share Capital 500,000 4,750,000 5,000,000 80,000,000 15,500,000 14,100,000 204,100 2 Reserves 8,252,187 13,950,000 698,545 15,000,000 - 1,438,059,576 26,777,404 3 Total Liabilities 14,202,304 27,298,526 14,968,065 109,288,673 15,500,000 2,369,458,396 28,146,411 109 Hathway Cable & Datacom Limited Sr. Particulars Hathway Hathway Hathway Hathway Hathway Gujarat GTPL Anjali No. Bhaskar CBN Bhaskar CCN Bhaskar CCN Bhawani Bhawani NDS Telelink Pvt. Cable Network Multinet Pvt. Multinet Pvt. Entertainment Cabletel & Network Pvt. Ltd. Private Ltd. Ltd. (India) Pvt. Datacom Ltd. Ltd. Limited Ltd. 4 Total Assets 14,202,304 27,298,526 14,968,065 109,288,673 15,500,000 2,369,458,397 28,146,411 5 Investments - - - 118,000 - 178,487,690 - 6 Turnover 54,850,981 52,448,750 26,439,308 142,307,069 5,721,501 2,338,802,133 20,387,900 7 2TQſV .QUU $GHQTG 8,870,512 3,747,096 1,009,893 3,849,437 (347,189) 307,429,857 65,121 6CZCVKQP 8 2TQſV .QUU #HVGT 6,104,045 3,052,384 800,109 4,665,344 (347,189) 199,241,206 2,220,437 6CZCVKQP 9 2TQXKUKQPHQT6CZCVKQP 2,766,467 694,712 209,784 (815,907) - 108,188,651 15,000 Sr. Particulars GTPL Solanki GTPL Zigma GTPL SK GTPL Video GTPL Kutch GTPL City GTPL SMC No. Cable Network Vision Private Network Badshah Network Channel Network Private Limited Private Private Private Private Private Limited Limited Limited Limited Limited Limited Financial Year ending on 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 Note 4444444 Currency INR INR INR INR INR INR INR 1 Share Capital 650,000 347,200 200,000 100,000 100,000 100,000 100,000 2 Reserves 3,525,119 3,509,726 13,563,652 9,594,552 35,374 (81,554) 1,522,447 3 Total Liabilities 15,564,251 5,495,039 15,990,014 19,048,782 8,060,631 127,752 5,075,493 4 Total Assets 15,564,251 5,495,039 15,990,014 19,048,782 8,060,631 127,752 5,075,493 5 Investments - 2,000 2,000 - 2,000 - 2,000 6 Turnover 21,803,446 9,025,897 18,914,832 22,730,837 14,372,356 - 6,495,535 7 2TQſV .QUU $GHQTG 1,657,308 151,889 1,111,708 5,558,406 342,266 (8,573) 733,247 6CZCVKQP 8 2TQſV .QUU #HVGT 1,139,455 73,340 599,111 3,735,167 258,259 (8,573) 482,752 6CZCVKQP 9 2TQXKUKQPHQT6CZCVKQP 603,190 39,010 205,000 1,774,000 62,500 - 238,000 Sr. Particulars GTPL Surat GTPL GTPL Space GTPL Vision GTPL Jai Narmada GTPL No. Telelink Vidarbha City Private Services Mataji Network Cyberzone Shivshakti Private Telelink Limited Private Private Private Network Limited Private Limited Limited Limited Private Limited Limited Financial Year ending on 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 Note 4444444 Currency INR INR INR INR INR INR INR 1 Share Capital 100,000 205,000 200,000 2,040,820 200,000 11,331,170 100,000 2 Reserves 7,091,343 (26,195,956) 18,647,427 197,055,307 15,477,610 9,838,950 (24,023) 3 Total Liabilities 61,161,069 27,496,037 21,905,318 218,592,288 33,888,827 30,171,968 106,260 4 Total Assets 61,161,069 27,496,037 21,905,318 218,592,288 33,888,827 30,171,968 106,260 5 Investments ------6 Turnover 100,575,086 28,637,431 5,364,356 82,440,303 28,605,375 34,545,109 - 7 2TQſV .QUU $GHQTG 2,436,590 (13,055,585) 310,240 14,864,820 6,588,864 2,041,071 (14,160) 6CZCVKQP 8 2TQſV .QUU #HVGT 1,646,419 (12,987,725) 1,458,346 9,694,476 4,396,454 1,520,576 (14,160) 6CZCVKQP 9 2TQXKUKQPHQT6CZCVKQP 744,330 - - 2,756,000 2,100,000 790,200 - 110 Annual Report 2010-11 Sr. Particulars GTPL Link GTPL VVC GTPL Blue GTPL Parshwa Insight Kolkata Cable GTPL Dahod No. Network Network Bell Network Cable Network Channel & Broadband Television Private Private Private Private Network Pariseva Network Limited Limited Limited Limited Private Limited Private Limited Limited Financial Year ending on 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 31.03.2011 Note 4444444 Currency INR INR INR INR INR INR INR 1 Share Capital 2,000,000 2,000,000 100,000 100,000 402,900 56,539,000 200,000 2 Reserves 40,634,536 21,195,325 (5,781,055) 2,556,828 7,184,309 8,364,452 7,582,653 3 Total Liabilities 46,636,560 27,081,619 2,634,921 13,450,628 11,353,031 143,034,247 10,593,316 4 Total Assets 46,636,560 27,081,619 2,634,921 13,450,629 11,353,032 143,034,245 10,593,316 5 Investments ------6 Turnover 18,981,019 12,732,178 1,153,222 22,895,750 7,685,947 94,526,596 9,251,732 7 2TQſV .QUU $GHQTG (1,580,705) 693,920 (5,778,168) 2,651,905 1,464,208 (2,476,451) 481,192 6CZCVKQP 8 2TQſV .QUU #HVGT 4,173,119 466,040 (5,778,168) 1,787,118 1,004,536 (3,101,549) (14,358) 6CZCVKQP 9 2TQXKUKQPHQT6CZCVKQP - 311,000 - 772,020 464,000 - - Sr. Particulars GTPL Jay GTPL Sorath Gujarat GTPL Shiv No. Santoshima Telelink Telelink East Network Network Pvt. Private Africa Ltd. Private Ltd Limited Limited Financial Year ending on 31.03.2011 31.03.2011 31.03.2011 31.03.2011 Note 4444 Currency INR INR INR INR 1 Share Capital 1,000,000 1,000,000 55,562 200,000 2 Reserves 20,351,769 15,248,666 (8,632) 2,325,080 3 Total Liabilities 23,344,507 25,352,401 4,153,372 2,995,066 4 Total Assets 23,344,507 25,352,401 4,153,372 2,995,067 5 Investments - 2,000 - - 6 Turnover - 7,934,291 - 1,045,552 7 2TQſV .QUU $GHQTG (7,545) 45,479 (8,632) 313,077 6CZCVKQP 8 2TQſV .QUU #HVGT (7,545) (675,334) (8,632) 224,422 6CZCVKQP 9 2TQXKUKQPHQT6CZCVKQP - - - 57,113 5HDVRQVIRUQRQFRQVROLGDWLRQRIFHUWDLQVXEVLGLDULHVMRLQWYHQWXUHV $ 0V+DWKZD\6SDFH9LVLRQ 7KH&RPSDQ\DQGWZRZKROO\RZQHGVXEVLGLDULHVRIWKH&RPSDQ\YL]%LQDU\7HFKQRORJLHV7UDQVIHUV3YW/WGDQG+DWKZD\,QWHUQHW 6DWHOOLWH3YW/WGZKLFKDUHPDMRULW\SDUWQHUVLQDSDUWQHUVKLS¿UPQDPHO\0V+DWKZD\6SDFH9LVLRQKDYHLQWKH\HDUORGJHG FHUWDLQFODLPVDJDLQVWPLQRULW\SDUWQHURIWKH¿UPZKLFKKDGDULVHQGXHWRPDQDJHPHQWDQGRSHUDWLRQDOLVVXHV7KHPLQRULW\SDUWQHUV have also raised counter claims. 7KHSDUWLHVKDYHWDNHQOHJDOVWHSVDJDLQVWHDFKRWKHUWRUHVROYHWKHLVVXHV6XEVHTXHQWWRWKHGDWHRIWKH%DODQFH6KHHWRQUHFHLSW RIFRQVHQWIURPERWKWKHSDUWLHVWKH+LJK&RXUWKDVGLVVROYHGWKH¿UPZLWKHIIHFWIURPth-XO\,QDGGLWLRQWKH&RXUWKDVDS SRLQWHG&RXUW5HFHLYHUDVD5HFHLYHURIWKHEXVLQHVVDQGDVVHWVRIWKH¿UP2QHRIWKHZKROO\RZQHGVXEVLGLDU\KDVEHHQDSSRLQWHG DVDQDJHQWRIWKH5HFHLYHU)XUWKHUPRUHWKHFRXUWKDVDSSRLQWHGDUHWLUHGMXGJHDVDQ$UELWUDWRUWRDUELWUDWHWKHGLVSXWHVDQGWR facilitate the process of dissolution. 7KH&RPSDQ\EDVHGRQOHJDODGYLFHKDVQRWPDGHDQ\SURYLVLRQWRZDUGVFODLPVUDLVHGE\WKHPLQRULW\SDUWQHURIWKH¿UPDQGDUH FRQVLGHUHGDVFODLPVDJDLQVWWKH&RPSDQ\QRWDFNQRZOHGJHGDVGHEWEHORZ 111 Hathway Cable & Datacom Limited B. +DWKZD\&KDQQHO&DEOH 'DWDFRP3ULYDWH/LPLWHG 'XULQJWKH\HDUWKH&RPSDQ\LQUHVSHFWRI+DWKZD\&KDQQHO&DEOH 'DWDFRP3ULYDWH/LPLWHGD MRLQWYHQWXUHLQ'HOKLKDV ¿OHGDFRPSODLQWDJDLQVWMRLQWYHQWXUHSDUWQHUIRUFRPPLWWLQJYDULRXVFULPLQDORIIHQFHVVXFKDVPLVDSSURSULDWLRQRIIXQGVIDOVL¿FDWLRQ RIDFFRXQWVIUDXGXOHQWGHVWUXFWLRQRIVHFXULW\HWFDQGKDVPDGHFODLPRI5V 7KHPDWWHULVSHQGLQJ7KHWRWDOH[SRVXUH RIWKH&RPSDQ\LV5V DJDLQVWZKLFKDSURYLVLRQRI5V LVPDGH7KHLPSDFWRIWKHSURYLVLRQDQGUHYHUVDORQ QRQFRQVROLGDWLRQLVWUHDWHGDV([FHSWLRQDOLWHP )RUWKH\HDU WKH&RPSDQ\KDGFRQVLGHUHGSURYLVLRQDODFFRXQWDVXQDXGLWHG¿QDQFLDOVWDWHPHQWVZHUHQRWDYDLODEOH,Q YLHZRIWKHDERYHGHYHORSPHQWQR¿QDQFLDOVWDWHPHQWVKDYHEHHQGUDZQXSIRUWKH¿QDQFLDO\HDU,QYLHZRIWKHDERYH development, the Company has not considered this entity for consolidation. 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D. 7KH&RPSDQ\KDVLQYHVWPHQWLQ+DWKZD\-DL0DWDGL%DODML&DEOH1HWZRUNDQG0DQWUD(QWHUSULVHVDQG0RQD&DEOH SDUWQHUVKLS ¿UPV 7KH¿QDQFLDOVWDWHPHQWVRIWKHVHIRU¿QDQFLDO\HDU DQGDUHXQGHUSUHSDUDWLRQ7KHVH ¿UPVZHUHGLVVROYHGDVRQst0DUFK,QDEVHQFHRIDQ\¿QDQFLDOVWDWHPHQWVRIWKHVH¿UPVVLQFHWKH¿QDQFLDO\HDU XSWRWKHGDWHRIGLVVROXWLRQQROLDELOLW\RQVXFKGLVVROXWLRQKDVEHHQUHFRJQLVHGDQGLQRSLQLRQRIWKHPDQDJHPHQWVXFKOLDELOLW\LI DQ\ZRXOGQRWEHPDWHULDO7KHDPRXQWVRXWVWDQGLQJLQWKHERRNVDVFDSLWDOFRQWULEXWLRQKDYHEHHQIXOO\ZULWWHQRII,QYLHZRIWKH VDPHWKH&RPSDQ\KDVQRWFRQVLGHUHGWKHVHSDUWQHUVKLS¿UPVIRUFRQVROLGDWLRQ ( *XMDUDW7HOHOLQNV3YW/WG *73/ RQHRIWKHVXEVLGLDU\RIWKH&RPSDQ\KDVLQYHVWPHQWLQWKHIROORZLQJMRLQWYHQWXUHVZKLFKKDYH QRWEHHQFRQVROLGDWHGE\*73/DVWKHFULWHULDRIHIIHFWLYHMRLQWFRQWUROFRXOGQRWEHIXO¿OOHGGXULQJWKHUHSRUWLQJSHULRGDVOLVWHGEHORZ +HQFHWKHVDPHKDYHEHHQVKRZQDVLQYHVWPHQWVDQGKDYHEHHQFDUULHGDWFRVW Name of the Entity (IIHFWLYH2ZQHUVKLSLQ-RLQW9HQWXUH 31st March 2011 31st March 2010 0V*73/*DQHVK&RPPXQLFDWLRQ 0V*73/.LP&DEOH(QWHUWDLQPHQW 0V*73//XFN\:RUOG9LVLRQ 0V*73/1DZD]1HWZRUN 0V*73/6DE1HWZRUN 0V*73/8QLYHUVDO&DEOH1HWZRUN 0V*73/ 112 Annual Report 2010-11 7KH&RPSDQ\KDVDKROGLQJRILQRQHRILWV-RLQWYHQWXUHVQDPHO\+DWKZD\6XNKDPULW&DEOH 'DWDFRP3ULYDWH/LPLWHG,Q DEVHQFHRIDYDLODELOLW\RIWKHDXGLWHG¿QDQFLDOVIRUWKHSXUSRVHVRIWKLVFRQVROLGDWHG¿QDQFLDOVWDWHPHQWSURYLVLRQDO)LQDQFLDO6WDWH PHQWVKDYHEHHQFRQVLGHUHGGXO\FHUWL¿HGE\WKHQRPLQHH'LUHFWRUVRIRQHRIWKH-RLQW9HQWXUH3DUWQHU 7KH&RPSDQ\LQLWVRUGLQDU\FRXUVHRIEXVLQHVVKDVSURPRWHGDFTXLUHGLQWHUHVWLQYDULRXVHQWLWLHV7KHVHHQWLWLHVKDYHDFFXPXODW HGORVVHVDQGQHJDWLYHQHWZRUWK7KH&RPSDQ\¶VH[SRVXUHWRVXFKORVVPDNLQJHQWLWLHVRQDFFRXQWRILQYHVWPHQWVLQHTXLW\VKDUHV RQ DFFRXQW RI DPRXQWV DGYDQFHV DV /RDQV $GYDQFHV DQG 6XQGU\ 'HEWRUV LV 5V 3UHYLRXV 113 Hathway Cable & Datacom Limited (PSOR\HH6WRFN2SWLRQV2XWVWDQGLQJ 1HWRI'HIHUUHG(PSOR\HH&RPSHQVDWLRQ([SHQVH LVDVIROORZV Particulars 31st March 2011 31st March 2010 (Rs.) (Rs.) 7RWDODFFRXQWLQJYDOXHRI2SWLRQV2XWVWDQGLQJ $ 'HIHUUHG(PSOR\HH&RPSHQVDWLRQ([SHQVH /HVV $PRUWLVHG 1HW'HIHUUHG(PSOR\HH&RPSHQVDWLRQ([SHQVH % (PSOR\HH6WRFN2SWLRQV2XWVWDQGLQJ 1HWRI'HIHUUHG(PSOR\HH&RPSHQVDWLRQ ([SHQVH $±% 7KHIROORZLQJWDEOHVXPPDUL]HVWKH&RPSDQ\¶V6WRFN2SWLRQVDFWLYLW\ 6KDUHV8QGHUO\LQJ2SWLRQV2XWVWDQGLQJ 31st March 2011 31st March 2010 Sr. Particulars (Rs.) (Rs.) 1R 1RRI6KDUHV :HLJKWHG 1RRI6KDUHV :HLJKWHG $YHUDJH([HUFLVH $YHUDJH([HUFLVH 3ULFH 5V 3ULFH 5V $ a 2XWVWDQGLQJDWWKHEHJLQQLQJRIWKH\HDU b *UDQWHGGXULQJWKH\HDU 1LO 1LO c )RUIHLWHG&DQFHOOHGGXULQJWKH\HDU 110.20 110.20 d ([HUFLVHGGXULQJWKH\HDU 1LO 1LO 1 110.30 e ([SLUHGGXULQJWKH\HDU 1LO 1LO 1LO 1LO B 2XWVWDQGLQJDWWKHHQGRIWKH\HDU C ([HUFLVDEOHDWWKHHQGRIWKH\HDU D Method of Settlement (TXLW\ (TXLW\ (TXLW\ (TXLW\ ( :HLJKWHGDYHUDJHUHPDLQLQJFRQWUDFWXDO life (in months) ) :HLJKWHGDYHUDJH)DLU9DOXHRI2SWLRQ 1LO 110.02 JUDQWHGGXULQJWKH\HDU 1XPEHURIVKDUHVDQGZHLJKWHGDYHUDJHIDLUYDOXHRIRSWLRQVJUDQWHGGXULQJWKH\HDUIRUSUHYLRXV\HDUKDVEHHQDGMXVWHGIRU FKDQJHLQIDFHYDOXHIURP5HWR5VZHI$XJXVW 15) LEASES D )LQDQFH/HDVHV /HDVHUHQWDOVRXWVWDQGLQJDVDWVW0DUFKLQUHVSHFWRI¿[HGDVVHWVWDNHQRQ¿QDQFHOHDVHDUHDVXQGHU Due Total minimum lease Interest not due 3UHVHQWYDOXHRI SD\PHQWVRXWVWDQGLQJ minimum lease as at 31st March 2011 payments as at 31st March 2011 1RW/DWHUWKDQ\HDU /DWHU WKDQ \HDU DQG QRW ODWHU WKDQ years /DWHUWKDQ\HDUV 1LO 1LO 1LO Total :ULWWHQ'RZQ9DOXHRI)L[HG$VVHWVDFTXLUHGXQGHU)LQDQFHOHDVHDVDWVW0DUFKLV5V 3UHYLRXV 114 Annual Report 2010-11 F 2QHRIWKH6XEVLGLDU\RIWKHFRPSDQ\QDPHO\*XMDUDW7HOHOLQN3ULYDWH/LPLWHGKDVWDNHQ'DUN)LEHUVRQ2SWLFDO)LEHU&DEOH DQGFHUWDLQRWKHUHTXLSPHQWVXQGHUDFDQFHOODEOHRSHUDWLQJOHDVH7KHWRWDOUHQWDOH[SHQVHXQGHUFDQFHOODEOHRSHUDWLQJOHDVHV GXULQJWKHSHULRGZDV5V/DFV 5V/DFV G 'HWDLOVRI1RQ&DQFHOODEOH/HDVHVDUHDVXQGHU Particulars 2010-11 2009-10 (Rs.) (Rs.) 5HQWDO([SHQVHGHELWHGWR3UR¿WDQG/RVV$FFRXQW Payable in the next one year 3D\DEOHDIWHUQH[WRQH\HDUEXW%HIRUHQH[W¿YH\HDUV 3D\DEOHDIWHU¿YH\HDUV 1LO 1LO G 'HWDLOVRI&DQFHOODEOH/HDVHVDUHDVXQGHU 7KHWUHDWPHQWRIWKHUHQWDOE\WKH&RPSDQ\LVDVXQGHU 5HQWDO([SHQVHVGHELWHGWRWKH3UR¿WDQG/RVV$FFRXQW5V 3UHYLRXV 2010-11 2009-10 Particulars (Rs.) (Rs.) *URVV&DUU\LQJ$PRXQWRI$VVHWVFDSLWDOLVHGDV3ODQW 0DFKLQHU\DQGJLYHQRQ RSHUDWLQJOHDVH Depreciation for the year ,QDGGLWLRQWRDERYHVXEVWDQWLDOSRUWLRQRIWKH6HW7RS%R[HVKDYHEHHQJLYHQRQRSHUDWLQJOHDVH7KHZULWWHQGRZQYDOXHRI 6HW7RS%R[HVDVRQVW0DUFKLV5V 3UHYLRXV &DWHJRU\ As at 31st March 2011 As at 31st March 2010 [Gratuity (Rs.)] [Gratuity (Rs.)] 1 &KDQJHLQEHQH¿WREOLJDWLRQV 3URMHFWHGEHQH¿WREOLJDWLRQVDWEHJLQQLQJRIWKH\HDU Current Service Cost ,QWHUHVW&RVW %HQH¿WV3DLG $FWXDULDO*DLQ /RVV 3URMHFWHGEHQH¿WREOLJDWLRQVDWHQGRIWKH\HDU 2 &KDQJHLQSODQDVVHWV 3ODQDVVHWVDWWKHEHJLQQLQJRIWKH\HDU ([SHFWHGUHWXUQRQSODQDVVHWV $FWXDULDO*DLQ /RVV Contributions %HQH¿WV3DLG Plan assets at the end of the year 31,006,628 3 5HFRQFLOLDWLRQRISUHVHQWYDOXHRIWKHREOLJDWLRQDQGWKHIDLU YDOXHRISODQDVVHWV )DLU9DOXHRISODQDVVHWVDWWKHHQGRIWKH\HDU 3UHVHQWYDOXHRIWKHGH¿QHGEHQH¿WREOLJDWLRQVDWWKHHQGRIWKH year 115 Hathway Cable & Datacom Limited &DWHJRU\ As at 31st March 2011 As at 31st March 2010 [Gratuity (Rs.)] [Gratuity (Rs.)] /LDELOLW\ $VVHW UHFRJQLVHGLQWKH%DODQFH6KHHW 4 Cost for the year Current Service Cost ,QWHUHVW&RVW ([SHFWHGUHWXUQRQSODQDVVHWV $FWXDULDO*DLQ /RVV 1HW&RVWUHFRJQLVHGLQWKH3UR¿WDQG/RVV$FFRXQW 5 Assumptions ,QWHUHVWUDWHIRUGLVFRXQW (VWLPDWHGUDWHRIUHWXUQRQSODQDVVHWV Mortality /,& 0RUWDOLW\ /,& 0RUWDOLW\7DEOH Table 6DODU\(VFDODWLRQ $ERYHGDWDSHUWDLQVWR+DWKZD\&DEOH 'DWDFRP/LPLWHG +ROGLQJ&RPSDQ\ +DWKZD\0HGLD9LVLRQ3ULYDWH/LPLWHG ZKROO\ RZQHGVXEVLGLDU\ *XMDUDW7HOHOLQN3ULYDWH/LPLWHG VXEVLGLDU\GXHWRFRQWURORYHULWV%RDUGRI'LUHFWRUV DQG+DWKZD\%KDZDQL &DEOHWHO 'DWDFRP/LPLWHG VXEVLGLDU\ RQO\,QDEVHQFHRIGHWDLOVIURPRWKHUHQWLWLHVGLVFORVXUHXQGHU$FFRXQWLQJ6WDQGDUG LVUHVWULFWHGWRKROGLQJFRPSDQ\DQGWKUHHRILWVVXEVLGLDULHV E 'H¿QHG&RQWULEXWLRQ3ODQV ³&RQWULEXWLRQWRSURYLGHQWDQGRWKHUIXQGV´LVUHFRJQLVHGDVDQH[SHQVHLQ6FKHGXOH/RIWKH3UR¿WDQG/RVV$FFRXQW 17) Details of the Company’s share in Joint Ventures included in the Consolidated Financial statements(before inter Company eliminations) Rupees Particulars 31st March 2011 31st March 2010 Assets )L[HGDVVHWV ,QYHVWPHQWV ,QYHQWRULHV &DVKDQGEDQNEDODQFHV Sundry debtors 2WKHU&XUUHQW$VVHWV /RDQVDQGDGYDQFHV Liabilities Secured loans Unsecured loans 'HIHUUHG7D[/LDELOLWLHV Current liabilities Particulars 2010-11 2009-10 Sales 2WKHULQFRPH Total income 171,241,744 116,458,272 2SHUDWLQJDQGRWKHUH[SHQVHV 6HOOLQJ $GPLQLVWUDWLYH([SHQVHV (PSOR\HH¶VUHPXQHUDWLRQDQGEHQH¿WV )LQDQFLDOFKDUJHV 'HSUHFLDWLRQDPRUWL]DWLRQ 7RWDOH[SHQGLWXUH 141,507,482 109,652,458 116 Annual Report 2010-11 18) CONTINGENT LIABILITIES 5XSHHV Particulars 31st March 2011 31st March 2010 D &RXQWHULQGHPQLW\JLYHQE\WKH&RPSDQ\IDYRULQJWKHEDQNHUVIRUKDYLQJ JLYHQEDQNJXDUDQWHHV b) Corporate Guarantee F 2XWVWDQGLQJ/HWWHURI&UHGLW Total (a to c) 1,033,279,861 257,701,370 G 3HQGLQJ¿QDOL]DWLRQRIQHJRWLDWLRQVZLWKRQHRIWKHEURDGFDVWHUVWKH&RPSDQ\KDVDFFRXQWHGSD\FKDQQHOFRVWQHWRIGLVFRXQWV H[SHFWHGIURPVXFKEURDGFDVWHU7KH&RPSDQ\DVZHOODVIHZEURDGFDVWHUVKDYHFODLPVDQGFRXQWHUFODLPVDJDLQVWHDFKRWKHU 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'LVFORVXUHUHODWLQJGHIHUUHGWD[OLDELOLWLHVUHTXLUHGSXUVXDQWWR$FFRXQWLQJ6WDQGDUG±³$FFRXQWLQJIRU7D[HVRQ,QFRPH´LVDV XQGHU 'HIHUUHG7D[$VVHWV 5XSHHV Particulars 31st March 2011 31st March 2010 'HIHUUHG7D[$VVHWV $ 'LVDOORZDQFHV8QGHU,QFRPH7D[$FW /HDYH(QFDVKPHQW3D\DEOH &DUULHG)RUZDUG/RVVHV 2Q$FFRXQWRI%RQXV Provision for Doubtful Debts 2WKHUV 7RWDO $ 'HIHUUHG7D[/LDELOLW\ % 'LIIHUHQFHEHWZHHQERRNDQGWD[GHSUHFLDWLRQ 2WKHUV Total (B) 'HIHUUHG7D[$VVHWV /LDELOLW\ $% 'HIHUUHG7D[/LDELOLW\ 5XSHHV Particulars 31st March 2011 31st March 2010 'HIHUUHG7D[$VVHWV $ Unabsorbed Depreciation 'LVDOORZDQFHV8QGHU,QFRPH7D[$FW &DUULHG)RUZDUG/RVVHV Provision for Doubtful Debts 2WKHUV 7RWDO $ 'HIHUUHG7D[/LDELOLW\ % 'LIIHUHQFHEHWZHHQERRNDQGWD[GHSUHFLDWLRQ Total (B) 'HIHUUHG7D[$VVHWV /LDELOLW\ $% 20) RELATED PARTY DISCLOSURES Particulars of Related Parties A Controlled by: (Upto 19th February 2010) 0U5DMDQ5DKHMD 0U$NVKD\5DKHMD 0U9LUHQ5DKHMD +DWKZD\,QYHVWPHQWV3YW/WG 6SXU&DEOH 'DWDFRP3YW/WG $VLDQ&DEOH6\VWHPV3YW/WG B Entities under control not considered for Consolidation 2WKHUV +DWKZD\6SDFH9LVLRQ 5HIHUQRWH% $ RI6FKHGXOH2 +DWKZD\-DL0DWD'L6KHUDZDOL&DEOH1HWZRUN3YW/WG 5HIHUQRWH% & RI6FKHGXOH2 +DWKZD\-KDQVL-0'65&DEOH 'DWDFRP3YW/WG +DWKZD\ &KDQQHO &DEOH 'DWDFRP 3YW /WG 5HIHU QRWH % % RI 6FKHGXOH2 118 Annual Report 2010-11 C Others $VVRFLDWH&RPSDQ\ +DWKZD\9&1&DEOHWQHW3YW/WG 3DQ&DEOH6HUYLFHV3YW/WG &RPSDQLHV)LUPVXQGHUWKH6LJQL¿FDQW *OREXV6WRUHV3YW/WG 6LJQL¿FDQW,QÀXHQFHRI3HUVRQVKDYLQJFRQWURO 5 6%XVLQHVV&HQWUH RYHUWKH&RPSDQ\ XSWR th)HEUXDU\ 2XWORRN3XEOLVKLQJ ,QGLD 3YW/WG -RLQW9HQWXUH +DWKZD\6XNKDPULW&DEOH 'DWDFRP3YW/WG 5HIHU QRWH% RI6FKHGXOH2 +DWKZD\-DL0DWD'L%DODML&DEOH1HWZRUN VLQFHGLVVROYHG Mantra Cable (since dissolved) 0RQD&DEOH1HWZRUN VLQFHGLVVROYHG .H\0DQDJHULDO3HUVRQQHO .-D\DUDPDQ0DQDJLQJ'LUHFWRU 7KHWUDQVDFWLRQVZLWKUHODWHGSDUWLHVDQGWKHFORVLQJEDODQFHVGXHWRIURPSDUWLHVDUHDVIROORZV7KHSUHYLRXV\HDU¿JXUHVDUH PHQWLRQHGLQEUDFNHWV 'LVFORVXUHDVSHUSDUDJUDSKWR$FFRXQWLQJ6WDQGDUGRQ³5HODWHG3DUW\'LVFORVXUH´ 5HIHU1RWHQR% WR6FKHGXOH1 Type of Transation Name of the Party 31st March 31st March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the year +DWKZD\0DQWUD 3DUWQHUVKLS)LUP (22,000) 0RQDFDEOH1HWZRUN ,QYHVWPHQWV +DWKZD\6XNKDPULW&DEOH 'DWDFRP3YW/WG +DWKZD\0DQWUD 3DUWQHUVKLS)LUP 22,000 Debtors +DWKZD\&KDQQHO&DEOH 'DWDFRP3YW/WG 2XWORRN3XEOLVKLQJ ,QGLD 3YW/WG +DWKZD\6XNKDPULW&DEOH 'DWDFRP3YW/WG /RDQV $GYDQFHV +DWKZD\6XNKDPULW&DEOH 'DWDFRP3YW/WG +DWKZD\-DL0DWD'L6KHUDZDOL&DEOH1HWZRUN3YW/WG 5 6%XVLQHVV&HQWUH 200,000 .-D\DUDPDQ &XUUHQW/LDELOLWLHV +DWKZD\6XNKDPULW&DEOH 'DWDFRP3YW/WG +DWKZD\&KDQQHO&DEOH 'DWDFRP3YW/WG 5 6%XVLQHVV&HQWUH 119 Hathway Cable & Datacom Limited 21) PRIOR PERIOD ITEMS: 5XSHHV Prior Period Items 31st March 2011 31st March 2010 ,QFRPHRI(DUOLHU Currency 31-03-2011 31-03-2010 $PRXQWLQ)RUHLJQ ([FKDQJH Amount in Amount in ([FKDQJH Amount in Indian Currency Rate Indian Rupees )RUHLJQ&XUUHQF\ Rate Rupees Secured Loans USD Accounts Payables USD $ERYHGDWDSHUWDLQVWR+DWKZD\&DEOH 'DWDFRP/LPLWHG +ROGLQJ&RPSDQ\ +DWKZD\0&13ULYDWH/LPLWHG VXEVLGLDU\ DQG *XMDUDW7HOHOLQN3ULYDWH/LPLWHG VXEVLGLDU\ ,QDEVHQFHRIGHWDLOVIURPRWKHUHQWLWLHVWKLVGLVFORVXUHXQGHU$FFRXQWLQJ6WDQGDUG LVUHVWULFWHGWRKROGLQJFRPSDQ\DQGWZRRILWVVXEVLGLDULHV 7KH*URXSKDVRSWHGIRUDFFRXQWLQJWKHH[FKDQJHGLIIHUHQFHDULVLQJRQUHSRUWLQJRIORQJWHUPIRUHLJQFXUUHQF\PRQHWDU\LWHPVLQOLQH ZLWK&RPSDQLHV $FFRXQWLQJ6WDQGDUGV $PHQGPHQW5XOHV RQ$FFRXQWLQJ6WDQGDUG $6 QRWL¿HGE\WKH*RYHUQPHQWRI ,QGLDRQ0DUFK $FFRUGLQJO\WKH&RPSDQ\KDVFDSLWDOLVHGH[FKDQJH *DLQ ORVVRI5V 3<5V ZLWK WKHFRVWRI¿[HGDVVHWV 25) EARNINGS \ (LOSS) PER SHARE Particulars 2010-11 2009-10 3UR¿W? /RVV DIWHUWD[ EXWLQFOXGLQJSULRUSHULRGDGMXVWPHQW$GMXVWPHQW IRUVXEVLGLDU\GHVXEVLGLDU\DGMXVWPHQWIRUFKDQJHLQSROLF\E\DVXEVLGLDU\ SUR¿WVKDUHRIDVVRFLDWHVDQG0LQRULW\,QWHUHVW :HLJKWHG$GMXVWHG1RRIRUGLQDU\VKDUHV 1R¶V 1RPLQDOYDOXHRIRUGLQDU\VKDUHV 5V 10 10 %DVLF(DUQLQJVSHUVKDUH 5V 3UHYLRXV\HDU¿JXUHVKDYHEHHQUHDUUDQJHGDQGUHJURXSHGZKHUHYHUQHFHVVDU\ As Per Our Report Of Even Date For and on behalf of the Board For G. M. KAPADIA & CO. Chartered Accountants (ATUL SHAH) (GANAPATHY SUBRAMANIAM) ( K . JAYARAMAN ) Partner %JKGH(KPCPEKCN1HſEGT Managing Director & C.E.O. (MILIND KARNIK ) (VINAYAK AGGARWAL ) President- Finance & Company Secretary Director Mumbai Mumbai Dated : 12th August 2011 Dated : 12th August 2011 120 Annual Report 2010-11 Notes ______ 121 Hathway Cable & Datacom Limited Notes ______ 122 Hathway Cable & Datacom Limited 4GIF1HſEG ő4CJGLCUŒVJ(NQQT%QTPGTQH/CKP#XGPWG824QCF5CPVCETW\ 9GUV /WODCK Attendance Slip To be handed over at the entrance of the meeting place. Name of the Attending Member (In Block Letters): ______Folio No/ Client ID no.*: ______No. of Shares held: ______DP ID No.*: ______0COGQHVJG2TQZ[ +P$NQEM.GVVGTU ______6QDGſNNGFKPKHVJG2TQZ[CVVGPFUKPUVGCFQHVJG/GODGT I hereby record my presence at the 51st Annual General Meeting of the Company at ISKONs Auditorium, Hare Krishna Land, Next to Hare Krishna Temple, Juhu, Mumbai – 400 049, at 3.00 p.m. on Tuesday, 27th September 2011. ______ /GODGTŏU2TQZ[ŏU5KIPCVWTG (To be signed at the time of handling over this slip) Note : Shareholder/Proxy holder wishing to attend the meeting must bring the Attendance Slip to the meeting and hand over at the entrance duly signed. Applicable if the shares are held in dematerialised form. ------Please cut here ------ Hathway Cable & Datacom Limited 4GIF1HſEG ő4CJGLCUŒVJ(NQQT%QTPGTQH/CKP#XGPWG824QCF5CPVCETW\ 9GUV /WODCK Proxy Form +9GAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAQHAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAADGKPIC/GODGT Members of the above named Company, hereby appoint ______or failing him AAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAACUO[QWT2TQZ[VQCVVGPFCPFXQVGHQTOGWUCPFQPO[QWTDGJCNHCV the 51st Annual General Meeting of the Company to be held on Tuesday, 27th September, 2011 at 3.00 p.m. and at any CFLQWTPOGPVVJGTGQH7PNGUUQVJGTYKUGKPUVTWEVGFVJGRTQZ[YKNNCEVCUJGVJKPMUſV CHſZ Signed this ______day of ______2011. Rupee Folio No/ Client ID no*.: ______Signature Revenue Stamp DP ID No.*: ______ No. of Shares:______ Note: Proxy form must reach the Companyŏs Registered Ofſce not less then 8 *ours before the Meeting #RRNKECDNGKHVJGUJCTGUCTGJGNFKPFGOCVGTKCNK\GFHQTO