(c) Terms and rights attached to equity shares

The Company has issued only one class of equity shares having par value of ' 2 per share. Each holder of equity share is entitled to one vote per share. The Company declares and pays dividend in Indian Rupees. The dividend proposed by the board of directors is subject to the approval of the shareholders in the ensuing Annual General Meeting. In the event of liquidation of the Company, the holder of equity shares will be entitled to receive remaining assets of the Company, after settling of all liabilities. The distribution will be in proportion to the number of equity shares held by the shareholders.

(e) The Company has not issued any equity shares as bonus or for consideration other than cash during the period of five years immediately preceding 31 March 2023.

(f) The above figure of subscribed and paid up capital includes application and allotment money received on forfeited shares amounting to ' 0.04 lakh (Previous year ' 0.04 lakh).

(g) During the year 2020-21, pursuant to the Buyback Offer dated 21st September 2020, the Company, has bought back 75,99,014 Equity Shares. As a result, the Paid-up Capital of the Company stands reduced from ' 1,445.93 lakh to ' 1,293.95 lakh.

' 151.98 lakh from Securities Premium Account was transferred to Capital Redemption Reserve on buyback and cancellation of equity shares. The premium on buy back , buyback expenses and tax on distributable profit (as per section 115 QA of the income tax act 1961) of ' 7,688.00 lakh was utilised from Securities Premium Account.

Note:

1. Loans are secured by way of hypothecation of first pari-passu charge on movable fixed assets (both present and future) pertaining to the glass plants of the Company situated at Sanathnagar and Bhongir in Telangana. Further, this is secured by first pari-passu charge by way of mortgage of deposit of title deeds of immovable properties (both present and future) of glass plants of the Company situated at Sanathnagar and Bhongir in Telangana.

• Term Loans aggregating to ' 5919.62 lakh (previous year ' 9096.85 lakh) are repayable in 3 half yearly instalments from July 2023 to July 2024.

• Term Loans aggregating to ' 13154.70 lakh (previous year ' 14,403.35 lakh) are repayable in 7 half yearly instalments from June 2023 to June 2026.

• Term Loans aggregating to ' 8300.00 lakh (previous year ' 9,300 lakh) are repayable in total 20 quarterly instalments from June 2023 to March 2028.

• Term Loans aggregating to ' 16000.00 lakh (previous year ' 18,000.00) are repayable in total 24 quarterly instalments from Dec 2023 to Sept 2029.

• Term Loans aggregating to ' 7486.70 lakh (previous year ' 1,500.00) are repayable in total 27 quarterly instalments from Sept 2023 to March 2030.

• Term Loans aggregating to ' 7350.61 lakh (previous year ' 2,269.80) are repayable in total 14 half yearly instalments from Mar 2024 to Sept 2030.

2. Loan is secured by first pari-passu charge on fixed assets of the Company located at Sitarampur, Isnapur, PO Medak District, Hyderabad, Telangana.

• Term Loans aggregating to ' 7000.00 lakh (previous year '21,250.00 lakh) are repayable in total 8 half yearly instalments from June 2023 to December 2026.

3. Deferred payment liabilities from Telanagan State Government (unsecured) is in respect of value added tax and central sales tax liabilities pertaining to the years 1999-2000 to 2012-2013 and are repayable by the end of financial year 31 March 2030.

• Deferred payment liabilities aggregating to ' 2232.06 lakh (previous year ' 2249.57 lakh) are repayable in yearly instalments from June 2023 to March 2030.

Details of security and term of repayment of each type of borrowing:

Secured borrowings

a) Cash credit facilities :

Cash credit facilities from banks is repayable on demand and is secured by hypothecation of all current assets including stocks and book debts, present and future, and further secured by second pari-passu charge on all the movable fixed assets (both present and future) of the Company situated at Sanathnagar plant and Bhongir plant.

b) Working capital loan facilities :

Working capital demand loan from banks repayable within 30 days from disbursement and is secured by hypothecation of all current assets including stocks and book debts including advance to suppliers present and future, and further secured by second pari-passu charge on all the movable fixed assets excluding vehicles (both present and future) of the Company situated at Sanathnagar plant and Bhongir plant including speciality division.

c) The rate of interest for short term borrowings ranges from one month MCLR to one year MCLR 60 bps.

d) The company has been sanctioned a working capital limit in excess of ' 5 crore, in aggregate, at points of time during the year, from bank on the basis of security of current assets. The Company has filed quarterly returns or statements with the banks in lieu of the sanctioned working capital facilities, which are in agreement with the books of account other than those as set out below.

Note 42 - Current tax and deferred tax (Contd.)

(d) During the current year, the company has decided to exercise the option permitted under section 115BAA of the Income-tax Act, 1961. Accordingly, the provision for income tax and deferred tax balances have been recorded / remeasured using the new tax rate, and the resultant impact have been recognized.

Note 43 - Financial instruments and risk review Capital management

The Company manages its capital to be able to continue as a going concern while maximising the returns to shareholders through optimisation of the debt and equity balance. The capital structure consists of debt which includes the borrowings as disclosed in note 20 and 25 net of cash and cash equivalents as disclosed in note 13 and equity attributable to equity holders of the Company, comprising issued share capital, reserves and retained earnings as disclosed in the Statement of changes in equity. For the purpose of calculating gearing ratio, debt is defined as non current and current borrowings (excluding derivatives). Equity includes all capital and reserves of the Company attributable to equity holders of the Company. The Company is not subject to externally imposed capital requirements. The Board reviews the capital structure and cost of capital on an annual basis but has not set specific targets for gearing ratios. The risks associated with each class of capital are also considered as part of the risk reviews presented to the Audit Committee and the Board of Directors.

Financial risk management objective

The Company is exposed to various risks in relation to financial instruments. The main types of risks are market risk, credit risk and liquidity risk. The Company is not engaged in speculative treasury activities but seeks to manage risk and optimise interest and commodity pricing through proven financial instruments.

The use of any derivative is approved by the management, which provide guidelines on the acceptable levels of interest rate risk, credit risk, foreign exchange risk and liquidity risk and the range of hedging requirement against these risks.

Credit risk is the risk that a counter party will not meet its obligations under a financial instrument or customer contract, leading to financial loss. The Company is exposed to credit risk for receivables, cash and cash equivalents, short term investments, financial guarantee and derivative financial instruments.

Cash and cash equivalents and short term investments

The Company considers factors such as track record, size of institution, market reputation and service standard to select the banks with which deposits are maintained. Generally the balances are maintained with the institutions with which the Company has also availed borrowings. The Company does not maintain significant deposit balances other than those required for its day to day operations.

Trade receivables

The Company extends credits to customer in normal course of the business. The Company considers the factors such as credit track record in the market of each customer and past dealings for extension of credit to the customer. The Company monitors the payment track record of each customer and outstanding customer receivables are regularly monitored. The Company evaluates the concentration of risk with respect to trade receivables as low, as its customers are located at several jurisdiction and industries and operate in large independent markets. The Company also takes advances and security deposits from customers which mitigate the credit risk to an extent.

The average credit period taken on sales of goods is 30 to 90 days. Generally, no interest has been charged on the receivables. Allowances against doubtful debts are recognised against trade receivables based on estimated irrecoverable amounts determined by reference to past default experience of the counterparty and an analysis of the counterparty's current financial position.

Before accepting any new customer, the Company uses an internal credit system to assess the potential customer's credit quality and defines credit limits by customer. Limits attributed to customers are reviewed periodically. There are three customers who individually represents more than 10 per cent of total net revenue from operations during the year. The Company does not hold any collateral or other credit enhancements over any of its trade receivables nor does it have a legal right of offset against any amounts owed by the Company to the counterparty.

Expected credit loss :

The Company has used a practical expedient by computing the expected credit loss allowance for trade receivables based on a provision matrix. The provision matrix takes into account historical credit loss experience and adjusted for forwardlooking information. The expected credit loss allowance is based on the ageing of the days the receivables are due and the rates as given in the provision matrix. The provision matrix at the end of the reporting period is as follows:

Financial guarantee

The Company has not given any financial guarantee.

Liquidity risk:

Liquidity risk reflects the risk that the Company will have insufficient resources to meet its financial liabilities as they fall due.

The Company's objective is to maintain optimum levels of liquidity to meet its cash and collateral requirements. The Company relies on a mix of borrowings, capital infusion and excess operating cash flows to meet its needs for funds. The current committed lines of credit are sufficient to meet its short to medium term expansion needs. The Company monitors rolling forecasts of its liquidity requirements to ensure that it has sufficient cash to meet operational needs while maintaining sufficient headroom on its undrawn committed borrowing facilities so that it does not breach borrowing limits.

The table below provides undiscounted cash flows towards non-derivative financial liabilities into relevant maturity based on the remaining period at the balance sheet date to the contractual maturity date and, where applicable, their effective interest rates.

The Company's activities expose it primarily to the financial risks of changes in foreign currency exchange rates and interest rates. The Company enters into a variety of derivative financial instruments to manage its exposure to foreign currency risk, including :

Forward foreign exchange contract to hedge the exchange rate risk arising on the export and imports of its products. Forward foreign exchange derivative contract to contract to hedge the exchange rate risk arising on translation of payment of foreign currency loan.

Forward foreign exchange interest rate swap contract to hedge the exchange rate risk arising on translation of payment on interest.

Currency risk

The Company undertakes various transactions denominated in foreign currencies, consequently, exposure to exchange rate fluctuations arise. Exchange rate exposures are managed within approved policy parameters utilising forward foreign exchange contracts.

The Company transacts business primarily in Indian Rupee, USD, Euro and GBP. The Company has obtained foreign currency loans and has foreign currency trade payables and receivables and is therefore, exposed to foreign exchange risk. Certain transactions of the Company act as a natural hedge as a portion of both assets and liabilities are denominated in similar foreign currencies. For the remaining exposure to foreign exchange risk, the Company adopted a policy of selective hedging based on risk perception of the management. Foreign exchange hedging contracts are carried at fair value.

The carrying amounts of the Company's foreign currency denominated monetary assets and monetary liabilities at the end of the reporting period are as follows:

Commodity risk

The Company is exposed to the movement in the price of key raw material and other traded goods in the domestic and international markets. The Company has in place policies to manage exposure to fluctuation the prices of key raw materials used in operations. The Company enter into contracts for procurement of raw material and traded goods, most of the transactions are short term fixed price contract and a few transactions are long term fixed price contracts.

Other financial instruments

The carrying amount of the financial assets and liabilities carried at amortised cost is considered a reasonable approximation of fair value.

Note 45 - Segment reporting Identification of segment:

The company operating business are organised and managed separately according to the nature of the products and services provided, with each segment representing a strategic business unit that offers different products and serves different markets. Post Slump Sale of BPD undertaking, the Company has reassessed and identified business segment as per the applicable Ind AS- the same is as under:

a) Packaging Product Division: consisting of container and speciality glass business, PET bottles business and security caps and closure business.

b) Investment Property: consisting of land & buildings owned by the Company and given on lease.

c) Others: includes wind power generation and other activities.

Based on above and in accordance with applicable Ind AS , the performance/results of BPD Undertaking has been shown as under the head "Discontinued Operations".

The activities of the company are primarily limited with in the Indian Territories having no variation in risk and returns. Consequently, information in respect of geographical segment in not given.

Note 46 - Employee benefits

A. Defined contribution plan

The Company operates defined contribution retirement benefit plans for all eligible employees. The assets of the plans are held separately from those of the Companies in funds under the control of trustees. Where employees leave the plans prior to full vesting of the contributions, the contributions payable by the Company are reduced by the amount of forfeited contributions.

The Company's contribution to Provident Fund and Superannuation Fund aggregating to ' 489.14 lakh (net of amount capitalised and reimbursement received from government) (previous year ' 752.11 lakh) has been recognised in the Statement of Profit and Loss under the head Employee Benefits Expense.

B. Defined benefit plans Gratuity

The Company operates a gratuity plan covering qualifying employees. The benefit payable is the greater of the amount calculated as per the Payment of Gratuity Act, 1972 or the Company Scheme applicable to the employee. The benefit vests upon completion of five years of continuous service and once vested it is payable to employees on retirement or on termination of employment. In case of death while in service, the gratuity is payable irrespective of vesting. The Company makes annual contribution to the group gratuity Scheme administered by the Birla Sun Life Insurance Company Limited.

IV. The major categories of plan assets

The Company made annual contribution to the Birla Sun Life Insurance Company Limited ('BSL') of an amount advised by the BSL. The Company was informed by BSL that the planned assets are held in growth/fixed interest bonds.

The above sensitivity analysis is based on a change in an assumption while holding all other assumptions constant. In practice, this is unlikely to occur, and changes in some of the assumptions may be correlated. When calculating the sensitivity of the defined benefit obligation to significant actuarial assumptions the same method (projected unit credit method) has been applied as when calculating the defined benefit obligation recognised within the balance sheet.

The Company does not have any outstanding dilutive potential equity shares. Consequently, the basic and diluted earnings per share of the Company remain the same.

Note 48 - Ind AS 116 Leases

The company recorded the lease liability at the present value of the future lease payments discounted at the incremental borrowing rate and the right of use asset.

Leases for which the Company is a lessor is classified as a finance or operating lease. Whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee, the contract is classified as a finance lease. All other leases are classified as operating leases. For operating leases, rental income is recognized on a straight line basis over the term of the relevant lease.

Note 54 - Corporate social responsibility

In accordance with the provisions of section 135 of the Act, the Board of Directors of the Company had constituted a Corporate Social Responsibility (CSR) Committee. In terms of the provisions of the said Act, the Company had to spend a sum of ' 254.19 lakh (previous year ' 200.33 lakh) towards CSR activities during the year ended 31 March 2023. The CSR Committee has been examining and evaluating suitable proposals for deployment of funds towards CSR initiatives, however, the committee expects finalization of such proposals in due course. During the year ended 31 March 2023, the Company has contributed the following sums towards CSR initiatives.

(C in lakh)

As at As at

Note 58 - Discontinued operations and Assets held for sale

(i) Discontinued operations

The Board of Directors of the company in their meeting held on 31st October 2022 had approved the sale of certain assets. In accordance with applicable Accounting Standards, the performance/results of the same has been shown as under the head "Discontinued Operations".

The financial performance related to discontinued operations for the year is total income of ' 55.50 lakh (previous year ' 73.47 lakh) ; total expenses of ' 226.29 lakh (previous year ' 93.04 lakh); loss before tax of ' 170.79 lakh (previous year ' 19.57 lakh); loss adjusted with BRR ' 156.06 lakh (previous year Nil) and loss after tax ' 11.02 lakh (previous year ' 12.73 lakh).

(ii) Discontinued operations- Building Product Division

During the previous year, the Board of Directors of the Company in their meeting held on 15th January 2022, had approved sale of the Building Product Division (the "BPD Undertaking") to Hindware Limited (formerly known as Brilloca Limited) by way of slump sale for Sale Consideration of ' 63,000.00 lakh , which was subject to the customary closing date adjustments to give effect to the transaction.

a. The date of consummation of slump sale transaction was at close of business hours on 31st March 2022. Post giving effect of the closing date adjustments as on 31st March 2022, the slump sale consideration aggregated to ' 69,995.55 lakhs.

b. As part of slump sale transaction, one of the underlying parcel of land and building thereon situated in the state of Telangana was to be transferred and registered in favour of the buyer, subject to applicable approvals from concerned authorities. From the date of the Board meeting as mentioned above and the date on which approval was received (for registration of land), the valuation and the circle rate of the said land parcel increased, and accordingly closing date adjustment impact of '1,729.12 lakhs has been considered as slump sale gain under "Exceptional Items" during the year. The necessary tax impact has been provided accordingly.

(iii) Assets held for sale

The Board of Directors of the Company in their meeting held on 15th January 2022, had approved for sale/disposal of one of the Company's faucet manufacturing plant, situated at Plot No. G-470-471, RIICO Industrial Area, Bhiwadi, in the State of Rajasthan ("Bhiwadi Plant"), which had been shut down since the year 2014 and is presently not operational. Accordingly, the same has been shown under "Non-current Assets held for sale" in accordance with IND AS 105-"Non current assets held for sale and discontinued operations".

Note 61

The Board of Directors of the Company during period ended 31st March 2023 had approved the utilization of Business Reconstruction Reserve (BRR) by '156.06 Lakh, pertaining to impairment of certain assets. The aforesaid utilization against BRR is in line with the Scheme of Arrangement approved by the Hon'ble High court of Kolkata vide its order dated 26th March 2010. Based on the above and in accordance with the applicable IND AS performance of the business relating to these assets have been recognized as "Discontinued Operation".

Note 62

During the year, the Company had submitted Resolution Plan (the "Plan") for the acquisition of 100% stake in Hindusthan National Glass and Industries Limited (the "Corporate Debtor") in the Corporate Insolvency Resolution Process (the "CIRP") under the Insolvency and Bankruptcy Code 2016. The appointed Resolution Professional under CIRP had issued a Letter of Intent dated 28th October 2022 (the "LOI") declaring the Company as a successful resolution applicant under CIRP with due authorization of the committee of creditors of the Corporate Debtor. The company had given its acceptance of the LOI and issued underlying performance bank guarantees as per the requirement of the LOI. Post this, the Hon'ble Competition Commission of India had approved the above said transaction vide its order dated 15th March 2023 as published on their website. The closure of the aforesaid transaction is subject to obtaining necessary regulatory approvals from Hon'ble NCLT Kolkata and other customary approvals, filings, and processes.

Note 63

During the current year, the company has decided to exercise the option permitted under section 115BAA of the Income-tax Act, 1961. Accordingly, the provision for income tax and deferred tax balances have been recorded / re-measured using the new tax rate, and the resultant impact have been recognized in the current year.

Note 64 - Dividend

The Board of Directors have recommended a dividend of 250% i.e. ' 5/- (previous year ' 5/-) on equity share of ' 2/- each for the year ended 31st March 2023 subject to approval of shareholders in the ensuing Annual General Meeting.

Note 65 - GST

The annual return of GST for FY 2022-23 is under process of filing with statutory authorities. The management believes that there will not be any material impact over financial statements after financial submission/filing. The date of filing of GST returns are 31st December, 2023.

Note 66 - Other Disclosures

(a) The Company does not have any benami property held in its name. No proceedings have been initiated on or are pending against the Company for holding benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and Rules made thereunder

(b) The Company have not traded or invested in crypto currency or virtual currency during the financial year

(c) There are no loans or advances in the nature of loans granted to Promoters, Directors, KMPs and their related parties (as defined under Companies Act, 2013), either severally or jointly with any other person, that are: (a) repayable on demand; or (b) without specifying any terms or period of repayment

(d) The Company has complied with the requirements of the number of layers prescribed under clause (87) of section 2 of the Companies Act, 2013 read with Companies (Restriction on number of Layers) Rules, 2017

(e) The Company has not been declared wilful defaulter by any bank or financial institution or other lender or government or any government authority

(f) Utilisation of borrowed funds and share premium

(i) The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

(a) Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (Ultimate Beneficiaries) or

(b) Provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries

(ii) The Company has not received any fund from any person(s)or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

(a) Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or

(b) Provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries

(g) There is no income surrendered or disclosed as income during the year in tax assessments under the Income Tax Act, 1961 (such as search or survey), that has not been recorded in the books of account

Note 67 - Social security code

The Code on Social Security, 2020 ('Code') relating to employee benefits during employment and post-employment benefits received Indian Parliament's approval and Presidential assent in September 2020. The Code has been published in the Gazette of India and subsequently, on November 13, 2020, draft rules were published and stakeholders' suggestions were invited. However, the date on which the Code will come into effect has not been notified. The Company will assess the impact of the Code when it comes into effect and will record any related impact in the period the Code becomes effective.

Note 68 - Previous period figures have been regrouped /re-arranged wherever considered necessary to confirm to the current year's classification.