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28 | Annual Report 2010-11 flagship hair oil brand Dabur Amla Hair Oil ended the year with strong double digit growth. Dabur Amla continued to withstand competition and has truly established itself as the largest and most preferred perfumed hair oil brand in the country with a consumer base of over 35 million users. A new pricing strategy has now been put in place as the Company is offering an enhanced value proposition for Vatika shampoo bottles. besides increasing focus on rural markets with a slew of consumer contact activities. This helped the brand gain ground towards the end of the year and win back volume market share. the brand continued to establish its superiority over plain coconut oil and performed well during the year. increasing disruptive competitive intensity in the form of price cuts and higher promotions by rivals and on the other hand from rising input costs. . In southern markets. helping the brand convert a larger number of loose mustard oil users to Dabur Amla Hair Oil. The year also marked the achievement of another big milestone with Dabur Amla Nelli Hair Oil entering the Limca Book of Records 2011 for organizing the longest ever non-stop hair massage marathon in Chennai. These cost pressures were negated by a judicious mix of intelligent buying and calibrated price hikes. Even though competition introduced mega price cuts and rolled out lower priced products aimed at the bottom end of the pyramid.000 villages. Dabur organized a series of seminars across key markets to educate consumers and parlour professionals regarding the benefits of Dabur Amla Hair Oil. Besides. besides increasing consumer promotions to offer the largest shampoo quantity in a sachet. its mega rural beauty pageant initiative continued for the fourth year in running. Dabur was quick to respond to the increased competitive intensity and re-launched the brand during the second half of the year with a new proposition. christened Dabur Amla ‘Banke Dikhao Rani’. It was a tough year for the Vatika shampoo Besides. this consumer initiative. Dabur’s Coconut Hair Oil brand Vatika Enriched Coconut Hair Oil also experienced sharp spike in raw material prices. Dabur also shared the results of an independent consumer research initiated to evaluate the superiority of Dabur Amla Hair Oil in comparison to ordinary coconut hair oil. Your Company expanded range as it faced pressure from both ends on the one hand from entry of new players. the product has been christened as Dabur Amla Nelli Hair Oil to help the consumers relate in a better way to the product and understand the ingredient benefit story. As part of a strategy to attack the coconut oil stronghold in South India. Dabur has introduced focused marketing initiatives specifically targeted at the south India consumers. Dabur took calibrated price hikes on some select SKUs of its hair oil brands to negate the input cost pressures. At these seminars. The Vatika Enriched Almond Hair Oil brand too expanded its presence in the market and has been performing well in key geographies like East and West India. Black Hair”. it was proven that Dabur Amla Hair Oil makes hair visibly blacker v/s ordinary coconut hair oil. which recognizes and rewards young girls for their beauty and talent. As per this the consumer study in an expert discussion session titled “Discover The Mystique of Amla for Giving Women Rich. Madhya Pradesh & Bihar covering 2. The contest was held across 52 districts in three states Uttar Pradesh.

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Pineapple ONE IN EVERY 2 HOUSEHOLDS USING HAIR OILS IN KINGDOM OF SAUDI ARABIA IS A DABUR HAIR OIL USER. The new beverage range contains soluble dietary fiber that helps manage weight.being introduced for the culinary range of products under the Hommade brand. growing by 17. & Mandarine. In spite of that. your International Business Division (IBD) Our International Business Division (including Hobi and Namaste acquisitions) recorded an impressive sales growth of 46. which was relaunched last year in an all-new packaging. A sustained media campaign coupled with the sharp surge in prices of raw garlic and ginger in the market pushed demand for the Hommade culinary pastes range. The year gone by saw mega initiatives from in-store sampling to higher 360° visibility . the business continued to grow and is expected to return to normalcy in the coming months. pioneering the concept of packaged fruit juices in India and was being the first to introduce 100% fruit juices and fruitvegetable juices. However.6%. and Orange Citrus Punch. in the second half of the year.Réal Activ Fiber+. which helped this portfolio report impressive growth of more than 50%. The 2010-11 fiscal also marked the launch of India’s first fiber-enriched fruit beverage range . Your Company will now be extending this portfolio with the launch of single-use Hommade sachets and Hommade pastes in glass bottles. Tangarine. The operating margins of the business improved significantly during the first half of the year. Orange & Apple. ONE IN EVERY 3 HOUSEHOLDS USING HAIR CREAMS IN SAUDI ARABIA IS A VATIKA HAIR CREAM USER Lemon. to `892 crores in 2010-11 fiscal. leading to demand contraction coupled with inflationary pressures due to commodity cost inflation. Made from 100% fruit juice with no added sugar and no preservatives. contributing to 22% of consolidated sales. A new ‘Snack Healthy’ campaign was launched for the brand. Réal has always been at the forefront of innovation. Guava. which is a blend of exotic fruits like Passion Fruit. the external conditions became challenging due to political turmoil and instability in key countries of Middle East and North Africa region. Apricot. In the international markets.Dabur India Limited | 33 Dabur’s range of 100% juices with no added sugar under the Réal Activ brand also maintained the growth momentum during the fiscal. Réal Activ Fiber+ is available in two exciting tasty variants . reflecting the strength of the brands. This range was test marketed in Mumbai and Bangalore in December 2010 and will be rolled out nationally this summer. riding on the growing health consciousness among Indians. The launch of Réal Activ Fiber+ marks a step forward in this direction.3% from `610 crores in 2009-10 fiscal . Special TVCs are also being introduced to promote various products under the Hommade culinary range. keeps digestive system healthy and maintains heart health. One glass (200 ml) of Réal Activ Fiber+ is equivalent to fiber present in one whole Apple or Orange.Multi Fruit. Excluding the acquisitions. the International Business Division recorded sales of `717 crores in 2010-11. which is a blend of tropical citrus fruits like Orange.

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This business. Today. Rajasthan and Madhya Pradesh the business has also established seeding presence in South India with outlets in Hyderabad and Bangalore. This business is operated under the wholly-owned subsidiary H&B Stores Ltd. The Company has also ventured into establishing Express Stores. by issuing an advertisement in leading dailies seeking applications. New U has entered into shop-in-shop tieups with three big retailers across India to operate and manage the beauty products portfolio at these mega stores. Homar. Some of the highly successful brand activations undertaken include ‘Makeover Marathons’. While a bulk of these stores are centered in North India .at New U stores.36 | Annual Report 2010-11 Retail Business .covering Delhi-NCR. operates a chain of focused beauty retail outlets under the brand name New U. The first of the franchisee outlets . Divo etc . Punjab. The Company is planning to build a pool of 810 international brands exclusive to the New U cache. offering a one-stop solution for all beauty needs. by a team of retail experts who have experience in beauty/lifestyle retail and realty intricacies. body lotions. which have emerged as a big consumer hook all through the year. The merchandise in these New U Express location. which underwent a strategy and format tweak in the previous fiscal. The end of the 2010-11 fiscal saw Dabur take initial steps to venture into the franchise route for New U stores.New U Dabur India Ltd. which would be highly focused tiny format stores that would stock only fast-selling items. is now being expanded in a calibrated manner with special focus on North India. The network today has 36 retail outlets and 15 more are in various stages of development and set to be launched by the end of the second quarter of 2011-12 fiscal. The profile of New U stores has undergone a revamp and the outlets are now positioned as a lifestyle beauty store.like QVS. Uttar Pradesh.focussed on high-streets as against company-owned outlets in malls . The formulations for all the New U private label products have been developed by our experts at New U. The New U stores offer consumers a host of promotions and activations. the New U private label brands and exclusive brands together account for about 12-15% of total volumes at New U and this is expected to grow going ahead with the expansion of the New U private label portfolio. ‘Festival of Beauty’ and the ‘Gals In The City’ campaign with Maybelline. This tie-up also marked New U’s entry into the Pune market through the shop-in-shop route and your Company is confident that it will prove to be a well-established retail destination.is expected to be operational by July 2011. nail enamels and nail enamel removers. This portfolio would be rapidly expanded with the launch of New U body showers. lip balms and other personal care items in July this year. theme-based campaigns and Stores would be localized according to consumer preference in each . New U also has a consolidated annual promotions and marketing calendar targeted at seasonal promotions. New U has rolled out a host of consumer promotions and activations at its stores in association with vendors like Maybelline. This beauty connect has been further strengthened by the presence of exclusive international beauty brands . L’Oreal Paris and Dabur Uveda. The year saw New U expand its private label business at the stores with the introduction of New U branded cotton balls.

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fair and transparent processes and reporting systems. 2011. 2011. It’s initiatives towards this end include: professionalization of the Board. It envisages attainment of the highest level of transparency. who is a Non-Executive Promoter Director. July 26. professionalism and accountability. CORPORATE GOVERNANCE PHILOSOPHY As Dabur aspires to achieve its vision its Corporate Governance standards must be globally benchmarked. in line with emerging local and global standards. . BOARD OF DIRECTORS Composition of the Board As on March 31. voluntary adherence to ethical standards and mindset of an organisation. fostering a healthy all round growth and development to take the company forward. The Board of Directors met six times during the year: on April 28. In case of any exigency/ emergency resolutions are passed by circulation. integrity. etc. Additional meetings are held by giving appropriate notice to address specific needs of the Company. converting opportunities into achievements through proper empowerment and motivation. with not less than 50 per cent of the Board comprising of NonExecutive Directors. at least onehalf of the Board should comprise of Independent Directors. two Non-Executive Promoter Directors and six Non-Executive Independent Directors. The Company’s philosophy is to constantly improve and create sustainable value through ethical business conduct. employees. 2011 is in confirmity with Clause 49 of the listing agreement. Besides adhering to the prescribed corporate practices as per clause 49 of the Listing Agreement. as stipulated under Clause 49. Directors’ Attendance Record and Directorships held As mandated by Clause 49. The global financial crisis during the recent past along with incidences of some of the large scale corporate failures and frauds have convincingly revealed the importance of good governance in more emphatic context. Strong governance standards focusing on fairness. accountability and equity in all facets of its operations and all its interactions with shareholders. the Board comprises of three Executive Directors (of whom one is Promoter Director). October 27. Number of Board Meetings Minimum four prescheduled Board meetings are held every year. lenders and regulatory bodies. This chapter. 2010. reports Dabur’s compliance with Clause 49 of Listing Agreement and highlights the additional initiatives taken in line with international best practices. Besides the Chairman. and going beyond the mandated Corporate Governance Code requirements of SEBI. The composition of the Board as on 31st March. none of the Directors are members of more than 10 Board level committees. nor are they Chairman of more than five committees in which they are members. 2010. November 17. The Company has held at least one Board meeting in every three months. Dabur continues to focus on good Corporate Governance. employees. traditions.Dabur India Limited | 45 Report on Corporate Governance Corporate Governance is commitment to values and ethics in business conduct which stems from the culture. Dabur’s Board consists of 12 members. which stipulates that a Company shall have an optimum combination of Executive and Non-Executive Directors. 2010. practices. it voluntarily governs itself as per highest standards of ethical and responsible conduct of business which not only strengthens its bond of trust with the stakeholders but also creates value for the society at large. Strong Governance has indeed helped Dabur to deliver wealth to its shareholders in the form of uninterrupted dividends and also bonus issues in the year 2006. 2010. At the highest level the company continuously endeavours to improve upon these aspects on an ongoing basis and adopts innovative approaches for leveraging resources. 2007 & 2010. the senior management. The corporate governance structure in the Company assigns responsibilities and entrusts authority among different participants in the organisation viz. The maximum gap between any two meetings was less than four months. policies. along with the chapters on Management Discussion and Analysis and Additional Shareholders Information. transparency. The company‘s focus revolves around values based on transparency. accountability and responsibility are vital not only for the healthy and vibrant corporate sector but also inclusive growth of the economy. the board of directors. It understands and respects its fiduciary role in the corporate world. and where the Chairman being a NonExecutive director is also a promoter of the Company. 2010 and January 31. June 18.

) Chairman /PD / NED Vice Chairman/ PD / NED PD / ED PD/NED ED ED ID ID ID ID ID ID 6 6 6 6 6 6 6 6 6 6 6 6 Attended 6 5 6 5 6 5 6 5 4 2 0 5 Yes Yes Yes Yes Yes Yes Yes Yes No No No Yes 9 5 3 7 4 1 3 6 10 0 14 6 1 1 1 3 0 1 0 1 4 0 0 5 0 0 0 0 1 0 0 0 4 0 0 3 Last AGM No. its senior Management. • Quarterly results for the Company and its operating divisions and business segments. or is tabled in the course of the Board meeting. 1956. 1 paid up) 222000 0 0 0 0 0 0 0 0 executives during the preceding three years of any of the following: Statutory audit firm or the internal audit firm that is associated with the Company. Table 1: Composition of the Board of Directors of Dabur India Limited Name of the Directors Category # Attendance Particulars Number of Board Meetings Held Anand Burman (Dr. Narayan (Dr) Albert Wiseman Paterson Analjit Singh Ajay Dua (Dr) Category PD / NED PD / NED PD / NED ID ID ID ID ID ID No of shares held (Re. . All Board meetings are governed by a structured agenda which is backed by comprehensive background information. and Legal firm(s) and consulting firm(s) that have a material association with the Company. • Have not been an executive of the Company in the immediately preceding three financial years. • Are not related to promoters or persons occupying Management positions at the Board level or at one level below the Board. or were not partners or Information Supplied to the Board The Board has complete access to all information with the Company. ID – Independent Non-Executive Director. Inter-alia. Narayan (Dr. Excluding private limited companies. do not have any material pecuniary relationships or transactions with the Company. its promoters. owning two per cent or more of the block of voting shares. • Capital budgets and any updates thereof.) Amit Burman Pradip Burman Mohit Burman P D Narang Sunil Duggal P N Vijay S. the following information is regularly provided to the Board. of other Directorships and Committee memberships /chairmanships* Other Directorships Committee Committee Memberships Chairmanships # PD – Promoter Director. NED – Non-Executive Director. 2. • • • As mandated by Clause 49. foreign companies and companies under section 25 of the Companies Act. Are not less than 21 years of age. 2011. * 1. the Audit Committee and the Shareholders / Investors Grievance Committee are considered. Are not material suppliers. its Directors. which may affect independence of the Director. • Annual operating plans and budgets and any update thereof. service providers or customers or lessors or lessees of the Company. Only two Committees viz.e. its subsidiaries and associates. • Are not partners or executives. the Independent Directors on Dabur’s Board: • Apart from receiving Director’s remuneration. • Detailed Business Review. ED – Executive Director. which may affect independence of the Director. Details of Other Board Directorships are separately mentioned in Annexure 1 Shareholding of Non-Executive Directors Name of Director Anand Burman (Dr) Amit Burman Mohit Burman R C Bhargava P N Vijay S.46 | Annual Report 2010-11 Table 1 gives the details of the Board as on March 31. as part of the agenda papers well in advance of the Board meetings. Are not substantial shareholders of the Company i.) R C Bhargava Albert Wiseman Paterson Analjit Singh Ajay Dua (Dr.

Details of commercial dealings by firms/ companies in which members of the board/ senior management or their relatives hold shares with the company. Sale of material nature. including Independent Director. play a critical role in imparting balance to the Board processes by providing an independent judgement on various issues raised in the Board meetings. Action taken report on the decisions taken in a meeting are placed at the immediately succeeding meeting for information of the Board. demand. and other Management matters which are approved by the Board. The policy of the Company is to have a Non-Executive Chairman – Dr Anand Burman. The Board has established procedures to enable the Board to periodically review compliance reports of all laws applicable to the Company. including any judgement or order which may have passed strictures on the conduct of the Company or taken an adverse view regarding another enterprise that can have negative implications on the Company. of investments. They are also responsible for achieving the annual business plan. Also. not only within India but across the globe. next generation organization that is dedicated to the well-being of each and every household. implementation of voluntary retirement scheme. There is clear demarcation of responsibility and authority amongst them. Transactions that involve substantial payment towards goodwill. including the appointment or removal of Chief Financial Officer and Company Secretary. Non-compliance of any regulatory. Fees and compensation. Details of any joint venture or collaboration agreement. Any issue.Dabur India Limited | 47 Report on Corporate Governance • • • • • • • • • • • • • • • • • • • • Minutes of the meetings of the Audit Committee and other committees of the Board. paid to any Non-Executive Director. • The Chairman: His primary role is to provide leadership to the Board in achieving goals of the Company in accordance with the charter approved by the Board. external contacts. Minutes of the Board Meetings of the subsidiary companies. Non-Executive Directors. The CEO and Executive Directors are responsible for implementation of corporate strategy. brand equity planning. Any material default in financial obligations to and by the Company. like signing of wage agreement. one Executive Promoter Director and six Non-Executive independent Directors. dangerous occurrences. He is responsible for transforming the Company into a world-class. The Board has an effective post meeting follow up procedure. prepared by the Company. if material. Detailed status on the Business Risks being faced by the Company and their mitigation plan. statutory nature or listing requirements and shareholders’ service. Role of Board Members Dabur India Limited has laid down a clear policy defining the structure and role of Board members. for the working of the Board and for ensuring that all relevant issues are placed before the Board and that all Directors are encouraged to provide their expert guidance on the relevant issues raised in the meetings of the Board. Materially important show cause. prosecution notices and penalty notices. Details of investment of surplus funds available with the Company. Details of transactions with Related Parties. Fatal or serious accidents. Investments and Guarantees made/ given by the Company. brand equity or intellectual property and any other acquisition. business strategies etc. etc. inter-alia. Information on recruitment and remuneration of senior officers just below the level of Board. Statement showing significant transactions and arrangements entered into by the subsidiary companies. which is not in the normal course of business. two Non-Executive Promoter Directors. Any significant development on Human Resources / Industrial Relations front. and a Chief Executive Officer (CEO) – Mr Sunil Duggal. He is also responsible for formulating the corporate strategy along with the Board of Directors. • • Changes in Shareholding Pattern of the Company. any material effluent or pollution problems. as well as steps taken by the Company to rectify instances of non-compliance. Details of dealings in company‘s share by members of board/ senior management. which involves possible public or product liability claims of substantial nature. such as non-payment of dividend. • • . Details of Inter Corporate Loans. is fixed by the Board of Directors and is previously approved by the shareholders at the General Body Meeting. He is responsible. including Independent Directors. as the Chairman of the Board he is responsible for all the Board matters. Quarterly details of foreign exchange exposures and steps taken by the Management to limit the risks of adverse exchange rate movement. if any. assets. delay in share transfer. etc. or substantial non-payment for goods sold by the Company. a Corporate Affairs Director. Significant labour problems and their proposed solutions. like performance. Details of any merger or demerger actions. subsidiaries.

2-3 years as head of sales or marketing. skills and experience for the Board as a whole.) Amit Burman P D Narang Sunil Duggal Mohit Burman P N Vijay S Narayan (Dr) R C Bhargava Analjit Singh Albert Wiseman Paterson Ajay Dua (Dr) Total Sitting Fees 0 150000 135000 0 0 75000 345000 195000 165000 0 30000 225000 1320000 Salary and Perquisites 12 0 0 39636416 39725974 0 0 0 0 0 0 0 79362402 Superannuation Fund 0 0 0 2154211 2013381 0 0 0 0 0 0 0 4167592 Stock Option 0 0 0 67847707 67847707 0 0 0 0 0 0 0 28712379 Commission 0 0 0 0 0 0 0 0 0 0 0 0 0 Total 12 150000 135000 109638334 109587062 75000 345000 195000 165000 0 30000 225000 220545408 . which are broadly based on: Independent Corporate Governance Guiding Strategy and Enhancing Shareholders’ Value Monitoring Performance. Desirable FMCG experience Basic understanding of Finance Experience with FMCG or other consumer products Experience in trade/ consumer related laws FMCG experience FMCG Experience Basic understanding of finance and business Basic understanding of finance and business Corporate law Finance Trade Policy & Economics Administration & Government Relations Ayurvedic specialist 2-3 years experience as a CEO.48 | Annual Report 2010-11 Board Membership Criteria The Nomination Committee works with the entire Board to determine the appropriate characteristics. preferably of an MNC in India Consultant/Academician with experience in FMCG Industry and business strategy. At least 10 years experience in sales and marketing. Management Development & Key Skill Area Strategy/Business Leadership Corporate Strategy Consultant Sales and Marketing experience Essential Compensation Control & Compliance The constitution of the board will be as follows: A Promoter Non Executive Chairman Three Promoter‘s Family members Two executive members Six non executive independent Directors constituting 50% of the board The matrix below highlights the skills and expertise required from established members for the office of independent Directors of the Company. . Expert knowledge of Corporate Law At least 5 years as a CFO or as head of a merchant banking operation Expert Knowledge of Trade & Economic Policies Retired bureaucrat Ayurvedic doctor with a minimum of 20 years experience as a practitioner/researcher Other directors could be based on the Company’s priority at a particular time viz: . The skill profile of Independent Board members are driven by the key tasks defined by the Board. as well as its individual members.Expertise in commodity procurement. Good understanding of commercial processes.Knowledge of export markets that Dabur is focusing on. Remuneration paid to Directors Table 2 gives details of remuneration paid to Directors for the year 2010-11 Name of the Director Pradip Burman Anand Burman (Dr. The selection of Board members is based on recommendations of the Nomination Committee.

The notice period for the three Executive Directors. Sunil Duggal. 2010. with the Management. of Meetings Held Attended 7 7 7 7 7 6 5 6 The Director responsible for the finance function. • Reviewing. The Chairman of the Audit Committee attended the Annual General Meeting (AGM) held on August 31. Mr P. All members of the Audit Committee have accounting and financial management expertise. sufficient and credible. The functions of the Audit Committee include the following: • Oversight of the Company’s financial reporting process and disclosure of its financial information to ensure that the financial statement is correct. They are Mr. on cessation of their employment and directorship with the Company. Dr. Changes. All Board members and senior Management personnel affirm compliance with the Code of Conduct annually. June 18. CODE OF CONDUCT Commitment to ethical professional conduct is a must for every employee. as contained in the resolution passed in the aforesaid meeting. S Narayan (ID) Dr. certain Directors are entitled to post separation fee. S. the Audit Committee comprises of four Independent Directors. The Board is responsible for constituting. Significant adjustments made in the financial statements arising out of audit findings. and be upright in his conduct and observe corporate discipline. R C Bhargava (ID) Dr. 2011. 2010. Major accounting entries involving estimates based on the exercise of judgment by the Management. and Nomination Committee. July 26. Details on the role and composition of these committees. P N Vijay (ID) Mr. Ajay Dua (ID) Status Chairman Member Member Member No. The Code of Conduct is available on the website of the company www. The Options are exercisable at par. internal auditors and cost auditors are permanent invitees to the Audit Committee. P N Vijay (Chairman). Qualifications in the draft audit report. • Recommending to the Board the appointment. if any. is the Secretary to the Committee. the Company did not advance any loans to any of its Directors. 2010. January 31. Disclosure of any related party transactions. namely Mr. 1998 and subsequently on September 5. The Code is intended to serve as a basis for ethical decisionmaking in conduct of professional work. General Manager (Finance) & Company Secretary. in accounting policies and practices and reasons for the same. assigning. Narang and Mr. including Board members and senior Management of Dabur. Pursuant to the approval of shareholders in the Annual General Meeting held on September 9. A K Jain. Mr. Mr. COMMITTEES OF THE BOARD Dabur has four Board level committees: Audit Committee. co-opting and fixing the terms of reference for members of various committees.D. C. are provided below: Meetings The Audit Committee held seven meetings during 2010-11: on April 28. October 27. A declaration signed by the Chief Executive Officer (CEO) to this effect is enclosed at the end of this report. Pradip Burman.D. including the number of meetings held during the financial year and the related attendance. Remuneration cum Compensation Committee. The Code of Conduct enjoins that each individual in the organization must know and respect existing laws.com. P. if required. 2011. The time gap between any two meetings was less than four months. 2010. September 22.dabur. 2010. 2007 and August 31. 1956. re-appointment and. Compliance with listing and other legal requirements relating to financial statements. the head of internal audit and the representative of the statutory auditors. Mr. having vesting period spread from 1 to 4 years and exercisable over a period of three years after vesting. with particular reference to: 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. the replacement or removal of the statutory auditor and the fixation of audit fees. R. Bhargava. Narang and Mr Sunil Duggal were issued 2001697 and 2001697 Stock Options respectively during the year. July 13. 2011 and March 11. the annual financial statements before submission to the Board for approval.Dabur India Limited | 49 Report on Corporate Governance During 2010-11. accept and provide appropriate professional views. a) Audit Committee Composition As on March 31. Narayan and Dr Ajay Dua. Shareholders/Investors Grievance and Share Transfer Committee. Attendance Record The details of attendance of the Audit Committee meetings are given in Table 3: Table 3: Attendance record of Audit Committee Name of Members (Category) Mr. 2010 in addition to the above remuneration. • Approval of payment to statutory auditors for any other services rendered by the statutory auditors. is three months. 2002. 2010 to answer shareholders‘ queries. .

rights issues. Reviewing the findings of any internal investigations by the internal auditors into matters where there is suspected fraud or irregularity or a failure of internal control systems of a material nature and reporting the matter to the Board. performance of statutory and internal auditors. the The Audit Committee is empowered. Reviewing. the Committee discussed with the Company’s internal auditors and independent auditors the overall scope and plan for their respective audits. the whole time Finance Director or any other person heading the finance function or discharging that function) after assessing the qualifications. 2011 To the Board of Directors of Dabur India Limited. their evaluation of the Company’s internal controls and the overall quality of financial reporting. .). • • • • Internal audit reports relating to internal control weaknesses. with the Management. staffing and seniority of the official heading the department. according to the definition laid down in Clause 49 of the Listing Agreement with the relevant stock exchanges. sales and marketing. as part of the quarterly declaration of financial results (whenever applicable). The Management also presented to the Committee the Company’s financial statements and also represented that the Company’s financial statements had been drawn in accordance with the Indian GAAP and IFRS. the statement of funds utilized for purposes other than those stated in the offer document/ prospectus/notice and the report submitted by the monitoring agency monitoring the utilization of the proceeds of a public or rights issue. In conducting such reviews. removal and terms of remuneration of the Chief Internal Auditor. wherever considered necessary. pursuant to its terms of reference to: • Investigate any activity within its terms of reference and to seek any information it requires from any employee. Based on its review and discussions conducted with the Management and the independent auditors. • Obtain legal or other independent professional advice and to secure the attendance of outsiders with relevant experience and expertise. • Details of material individual transactions with related parties. etc. rights issue. the Audit Committee believes that the Company’s financial statements are fairly presented in conformity with Indian GAAP and IFRS in all material aspects. preferential issues by major category (capital expenditure. preferential issues for purposes other than those stated in the offer document/prospectus/notice (whenever applicable).50 | Annual Report 2010-11 • • • • • • • • • • • • Reviewing. In this regard. To look into the reasons for substantial defaults in payment to the depositors. the statement of uses/ application of funds raised through an issue (public issue. in case the same is existing. Approval of appointment of CFO (i. detailing the use of funds raised through public issues. Each member of the Audit Committee is an Independent Director. etc. preferential issue. experience and background. Discussion with internal auditors any significant findings and follow-ups there on. On an annual basis. The Committee is responsible for overseeing the processes related to financial reporting and information dissemination. • Details of material individual transactions with related parties or others. Discussion with statutory auditors before the audit commences. debenture holders. Reviewing. The Management is responsible for the Company’s internal controls and financial reporting process. submitted by Management. about the nature and scope of audit as well as post-audit discussion to ascertain any area of concern. with the Management. adequacy of the internal control systems. of the candidate. The Committee also discussed the results of their examinations. which are not in the normal course of business. Reviewing with the Management. The Committee has also reviewed the internal controls put in place to ensure that the accounts of the Company are properly maintained and that the accounting transactions are in accordance with prevailing laws and regulations. rights issues. Audit Committee Report for the year ended March 31. To review the functioning of the Whistle-Blower mechanism. with the Management. the quarterly financial statements before submission to the Board for approval. etc). shareholders (in case of nonpayment of declared dividends) and creditors. of transactions with related parties in the ordinary course of business. Appointment. the financial statements of subsidiaries and in particular the investments made by each of them. Dabur has systems and procedures in place to ensure that the Audit Committee mandatorily reviews: • Management Discussion and Analysis of financial conditions and results of operations. in summary form. along with the Management’s justification for the same. including the structure of the internal audit department.e. • Management letters / letters of internal control weaknesses issued by the statutory auditors. if any. and making appropriate recommendations to the Board to take up steps in this matter. The independent auditors are responsible for performing an independent audit of the Company’s financial statements in accordance with the Indian GAAP and IFRS and for issuing a report thereon. Reviewing the adequacy of internal audit function. • Statement of significant related party transactions (as defined by the Audit Committee). The Audit Committee is also presented with the following information on related party transactions (whenever applicable): • A statement. working capital. statement certified by the statutory auditors. which are not on an arm’s length basis. Carrying out any other function as is mentioned in the terms of reference of the Audit Committee. The uses/applications of funds raised through public issues. reporting structure coverage and frequency of internal audit.

Directors’ Responsibility Statement. to carry out audit of the accounts of the Company for the financial year 2011-12. 2010. Procedure for making a fair and reasonable adjustment to the number of options and to the exercise price in case of rights issues. Deciding the terms and conditions of Employees Share Purchase Scheme (ESPS) and Employees Stock Option Scheme (ESOS) which. Meetings The Remuneration cum Compensation Committee held four meetings during 2010-11: on April 28. All other issues incidental to the implementation of ESOS. Vijay (Chairman) and Dr. being independent Directors and Dr Anand Burman. To allot shares upon exercise of vested options. As per the shareholders’ The Remuneration cum Compensation Committee of the Company. including ESOP. as statutory auditors of the Company. May 20. 2010. The strategy is in consonance with the existing industry practice and is directed towards rewarding performance. on behalf of the Board and on behalf of the shareholders. Bringing about objectivity in determining the remuneration package. • Considering. Narayan (ID) Member Dr Anand Burman (PD/NED) Member Remuneration Policy The remuneration paid to the Directors of the Company is approved by the Board of Directors on the recommendations of the Remuneration cum Compensation Committee. • • • • • b) Remuneration cum Compensation Committee Composition As of March 31. based on review of achievements. 2010. Conditions under which option vested in employees may lapse in case of termination of employment for misconduct. Chartered Accountants. Narayan. the Remuneration cum Compensation Committee comprises of Mr. compliance relating to financial statements and draft auditors’ report. inter-alia. of Meetings Held Attended 4 4 4 4 3 4 • • Mr P N Vijay (ID) Chairman Dr S. S. Suggesting to Board/shareholders changes in the ESPS/ESOS. The Company’s remuneration strategy is market-driven and aims at attracting and retaining high calibre talent. a Non-Executive Promoter Director. bonus issues and other corporate actions. recommends to the Board and approves the Executive Directors compensation plans. In conclusion. inter-alia. policies and programmes of the Company. Audit Committee on remuneration of Executive Directors. July 26. Management Discussion and Analysis. evaluates. The Committee has also reviewed Statement of contingent liabilities. a credible and transparent policy . the Committee is sufficiently satisfied that it has complied with the responsibilities as outlined in the Audit Committee’s responsibility statement. Specified time period within which the employee shall exercise the vested options in the event of termination or resignation of an employee. Grant. vest and exercise of option in case of employees who are on long leave. Forfeiture/cancellation of options granted. on a periodical basis. The Committee also affirms that in compliance with the Whistle-Blower Policy no personnel had been denied access to the Audit Committee. Right of an employee to exercise all the options vested in him at one time or at various points of time within the exercise period. N. 2011. New Delhi 27th April 2011 Signed P N Vijay Chairman. Exercise period within which the employee should exercise the option and that option would lapse on failure to exercise the option within the exercise period. Procedure for cashless exercise of options. financial statements of subsidiary companies. include the following: Quantum of options to be granted under the Scheme per employee and in aggregate. To issue grant/award letters. This Committee also has the responsibility for administering Employee Stock Option Scheme of the Company. The Committee is recommending to the Board the re-appointment of M/s G Basu & Co. approving and recommending to the Board changes in designation and increase in salary of the Executive Directors. Ensuring that the remuneration policy is good enough to attract.Dabur India Limited | 51 Report on Corporate Governance Committee found no material discrepancy or weakness in the Internal Control Systems of the Company.. retain and motivate the Directors. 2010 and October 27. Framing the ESPS/ESOS and recommending the same to the Board/shareholders for their approval and implementing the Scheme approved by the shareholders. P. The responsibilities of the Committee include: • Framing and implementing. Vesting Period. pension rights and any compensation payment. Attendance Record The details of attendance of the Committee Meetings are given in Table 4 below: Table 4: Attendance details of Remuneration cum Compensation Committee Name of Members (Category) Status No. Statement of Significant Related Party Transactions. while striking a balance between the interests of the Company and the shareholders.

The Committee reviewed and approved the stock options payable to all Executive Directors. Remuneration cum Compensation Committee c) Nomination Committee Composition Dabur’s Nomination Committee consists of Dr Anand Burman. 1956. 3. is the Compliance Officer. New Delhi 27th April. within the parameters approved by the shareholders. within the overall limits approved by shareholders. P D Narang (ED) Mr. Ajay Dua (ID) Status Chairman Member Member Member No. Independent Director as Chairman. 2. P. on April 28. P N Vijay (ID) Mr. During the year the Committee framed & implemented the Vision III and Top Up Plan for grant of stock options to employees of the Company. • To decide the remuneration of consultants engaged by the Committee. The primary role of this Committee is to make recommendations on appointments to the Board. The main responsibility of the Remuneration cum Compensation Committee is to incentivize and reward executive performance that will lead to long-term enhancement of shareholder performance. P. and recommends the compensation payable to them. 2007. July 26. D. Mr. Dr Ajay Dua. A. The Committee also reviewed and approved the stock options of all members of the Management team for the year 201011. In addition. Mr. the Committee reviewed the grant of sign-on and regular stock options to various other employees of the Company during the year. The year 2009-10 being the 125th Anniversary year of the Company. P. Sunil Duggal. Pradip Burman. D. 1956. 2011. The Committee was also provided information on appraisal systems. The Remuneration cum Compensation Committee makes annual appraisal of the performance of the Executive Directors based on a detailed performance evaluation. K. Independent Directors Non-Executive Independent Directors are entitled to sitting fees for attending meetings of the Board of Directors and committees thereof within the prescribed limits. d) Shareholders/Investor Grievance and Share Transfer Committee Composition As on March 31. General Manager (Finance) and Company Secretary. 2010 and January 31. Independent Director. Mr.52 | Annual Report 2010-11 approval obtained at the Annual General Meeting of the Company held on July 13. Amit Burman (PD/NED) Dr. Narang. 2010. The Committee also reviewed and approved the revision in remuneration of Mr. compensation policies for employees and the information to decide on grant of options to various employees. Attendance Record The details of attendance of the Committee meetings are given in Table 5 below: Table 5: Attendance Details of Shareholders/Investor Grievance and Share Transfer Committee Name of Members Mr. October 27. Non-Executive Chairman Besides sitting fees. calculated in accordance with the provisions of Sections 198. 1. Non Executive Promoter Director and Mr. N Vijay. of Meetings Held Attended 4 4 4 4 4 4 4 4 Mr. Executive Directors Remuneration of the Executive Directors consists of a fixed component and a variable performance incentive. • To engage the services of consultants and seek their help in the process of identifying candidates for appointments to the Board. The functions of the Nomination Committee include: • To identify and recommend suitable candidates to the Board of Directors for appointment as members of the Board. the Non-Executive Chairman is also entitled to commission out of the profits of the Company. 2011. Jain. commission is paid at a rate not exceeding one per cent of the net profits per annum of the Company. The Remuneration cum Compensation Committee comprises of two Independent Directors and one Non Executive Promoter Director. 2010. Executive Director. 349 and 350 of the Companies Act. the Committee consists of four members. Meetings The Committee met four times in the year under review. Executive Promoter Director and Mr Amit Burman. Amit Burman. Non-Executive Promoter Director. Executive Directors. to the Board for their approval. . as approved by the Board and within the overall limits prescribed by the Companies Act. Meetings The Nomination Committee did not meet during the year. 2011 Signed P N Vijay Chairman. NonExecutive Promoter Director. the outcome of performance assessment programmes. Remuneration cum Compensation Committee Report for the year ended March 31. as Chairman. Narang and Mr. the Committee approved the grant of 125 Stock options to each employee of the Company. 2011 To the Board of Directors of Dabur India Limited.

The Charter of each Management Committee has been clearly defined. Dematerialization/ Rematerialization of Shares. 40 cases of rematerialisation.Dabur India Limited | 53 Report on Corporate Governance The Committee ensures cordial investor relations and oversees the mechanism for redressal of investors’ grievances. Registration of Power of Attorneys. New Delhi 27th April.2011 there were no pending complaints against the company.) 5. Transfer / Transmission / Duplicate Non-receipt of Dividend Dematerialization /Rematerialization of shares Others (Non receipt of bonus shares/ POA/ change of signatures/ address etc. Sarita Agrawal .Registrar of Companies/Ministry of Corporate Affairs Total Pending as on 1st Apr’10 Nil Nil Nil Nil Received during the year 1 7 0 2 Disposed during the year 1 7 0 2 Pending as on 31st March. Mr. 3. Probate. issue of new certificates on re-materialization. allotment and call monies.Stock Exchanges . As per these certificates as on 31. Praveen Mudgal – Joint Company Secretary and Mrs. The Committee reviewed the status of investors’ grievances on quarterly basis. non-receipt of declared dividends etc. The company has obtained certificate from BSE & NSE on quarterly basis about pending complaints against the Company. authorize operation of such account(s) and issue instructions to the Bank from time to time in this regard. non-receipt of declared dividends etc. per case and for dematerialization upto a maximum of 20000 shares per case. It performs the functions of Transfer/ Transmission/ Remat/ Demat/ Split-up/Sub-division and Consolidation of shares. To open/close bank account(s) of the Company for depositing share/debenture applications. The Shareholders’/Investors’ Grievance and Share Transfer Committee comprises of four members. issue of new and duplicate share certificates and allied matter(s). 2011. Nature of Complaint 1. A K Jain. like transfer of shares.03. subject to a maximum of 5000 shares there were no complaints pending for redressal. 2011 To the Board of Directors of Dabur India Limited.Securities and Exchange Board of India . Shareholders/Investor Grievance and Share Transfer Committee MANAGEMENT COMMITTEES The Company has constituted separate Management Committees to look after the operations of each of its Divisions. The Committee also approved allotment of equity shares pursuant to amalgamation of Femcare Pharma Limited with the Company and also the allotment of Bonus Shares. non-receipt of balance sheet. In order to provide efficient services to investors. Complaints received from: . Issue of new and duplicate share certificates. Shareholders’/Investors’ Grievance and Share Transfer Committee Report for the year ended March 31. The Committee specifically looks into redressing shareholders’ and investors’ complaints/ grievances pertaining to share transfers. non-receipt of annual reports. Table 6: Nature of complaints received and attended to during 2010-2011. To look into redressal of shareholders’ and investors’ complaints. and consolidation of shares. 1 case of consolidation and 9 cases of issue of duplicate share certificates. and incidental to. the Board of Directors has delegated the power of approving transfer and transmission of shares and other matters like split up / sub-division. these functions and not herein above specifically provided for. The Committee approved 2276 cases of transfer. As at the close of the Financial Year • • Details of queries and grievances received and attended by the Company during the year 2010-11 are given in Table 6. non-receipt of dividend and other allied complaints. 4. sub-division. Letters of Transmission or similar other documents. 3 case of sub-division. Split-up/Sub-division and Consolidation of shares. consolidation and exchange. 2011 Signed P N Vijay Chairman. non-receipt of balance sheet. jointly to any two of Mr. Any allied matter(s) out of. 2011 0 0 0 0 Nil Nil Nil Nil 15 5 1 31 15 5 1 31 0 0 0 0 There were no complaints which were pending as on March 31. The Committees are broadly responsible for implementing the overall . The main responsibility of the Committee is to ensure cordial investor relations and supervise the mechanism for redressal of investor grievances pertaining to transfer of shares. The Committee performs the following functions: • • • • • • Transfer/Transmission of shares. General Manager (Finance) and Company Secretary. 2.Manager (Secretarial). and for speedy redressal of the complaints.

Fellow Subsidiaries (subsidiary of a subsidiary): Goods worth Rs. Goods worth Rs. Limited. DISCLOSURES Related Party Transactions Disclosures on materially significant related party transactions i.e. with its promoters.54 | Annual Report 2010-11 business strategy approved by the Board.89 crore have been granted to employees of Dabur International Limited. Collateral and guarantees amounting to Rs. if any. Collateral and guarantees amounting to Rs. .3. had no potential conflict with the interests of the Company at large.00 crore & above) are summarised herein below:- 1.2. which was reported to the Board of Directors.8. where they have personal interest. Subsidiaries: Equity contribution of Rs. The Senior Management personnel make disclosures to the Board periodically regarding their dealings in the Company‘s share. a “material non-listed Indian subsidiary” shall mean an unlisted subsidiary. MANAGEMENT Management Discussion and Analysis The Annual Report has a detailed Chapter on Management Discussion and Analysis.2.450. 2.14. Key Management Personnel & their Relatives: For transactions with Key Management Personnel being Mr. Goods worth Rs. transactions of the Company of material nature. if any. stating that the said dealings and transactions. financial and commercial transactions where Key Management Personnel have personal interest forms part of the disclosure on related parties referred to in Note in Schedule P to Annual Accounts.2. Equity contribution of Rs. of the subsidiary companies.1.92 crore have been given on behalf of Dabur Egypt Limited.50 crore has been given by the company to H & B stores Limited.52 crore have been paid to Forum I Aviation Limited Goods worth Rs. Interest amount of Rs.6.93 crores were sold to Dabur Egypt Ltd.MONITORING FRAMEWORK The Company monitors performance of its subsidiary companies.64 crores were purchased from Sanat Products Ltd. along with investments made by them.10. SUBSIDIARY COMPANIES .69 crores were sold to Naturelle LLc. kindly refer to Table 2 of this report. ii) The Board of Directors reviews the Board meeting minutes and statements of all significant transactions and arrangements. Ltd. their subsidiaries or relatives. the Directors or the Management. Goods worth Rs.87 crores were sold to Asian Consumer Care Private Limited.1. by the following means: i) The Audit Committee reviews Financial Statements of the subsidiary companies. The material. Loan of Rs.51 crores were sold to Dabur International Limited. Goods worth Rs.e. Goods worth Rs.217. Loan of Rs.4. Sunil Duggal and Mr. Repayment of Loan of Rs. Dabur does not have a material non-listed Indian subsidiary.61 crores were sold to African Consumer Care Limited.3. Pradip Burman. Stock options worth Rs.4. Goods worth Rs.36 crores have been given on behalf of Dabur International Limited.19 crores were purchased from Dabur Nepal Pvt. which forms a part of this report. Significant related party transactions (having value of Rs. that may have potential conflict with the interests of the Company at large.2. identifying areas of further value creation.21 crores were sold to Weikfield International (UAE) LLC.2. new initiatives for enhancing business competitiveness and implementing the business plans as approved by the Board of Directors. on a quarterly basis. Joint Ventures & Associates General expenses amounting to Rs.90 crore (earlier given by amalgamated Company Fem Care Pharma Limited) has been received from Dermoviva Skin Essentials Inc. 3. and all material financial and commercial transaction with the Company.37 crores were sold to Dabur Nepal Pvt Ltd. Goods worth Rs.452. etc.1. incorporated in India.6.59 crores have been given on behalf of Dermoviva Skin Essentials Inc. P D Narang.84 crores were sold to Asian Consumer Care (Pakistan) Pvt. Collateral and guarantees amounting to Rs. Goods worth Rs.00 crore has been given by the Company to H & B Stores Ltd.268. of the listed holding company and its subsidiaries in the immediately preceding accounting year. Goods worth Rs. 4. Mr.1. inter alia. Under Clause 49 of the Listing Agreement. whose turnover or net worth (i. paid up capital and free reserves) exceeds 20% of the consolidated turnover or net worth respectively.41 crore were purchased from Dabur International Limited.54 crore has been given by the company to Dabur International Limited which has been repaid during the year.46 crore on Loan given to Dabur International Limited has been received by the Company.26 crore has been given by the Company to Dermoviva Skin Essentials Inc.1.

Mr.Dabur India Limited | 55 Report on Corporate Governance - There were no relatives of key Management personnel who were paid remuneration / pension of Rs. The Audit Committee periodically reviews the existence and functioning of the mechanism. for its Management and staff. which consists of various functional heads. The Chief Risk Officer (CRO) is responsible for the overall risk governance in the Company and reports directly to the Management Committee (MANCOM).com. The Code lays down guidelines advising them on procedures to be followed and disclosures to be made while dealing with the shares of Dabur. • Ensure timely and consistent organizational response. and to better protect the interests of investors. put in place and enforced through the process owner. the Company has formulated a comprehensive Code of Conduct for Prevention of Insider Trading. affirmed that no personnel have been denied access to the Audit committee. Dabur has established a system through which employees and business associates may report unethical business practices at work place without fear of reprisal. wrongful conduct. with fixation of accountability and reporting of steps taken for rectification of non-compliance. Mr. At every Board meeting. if eligible. which drills down from the CEO to the executive-level person (who is primarily responsible for compliance) within the Company. under which all employees / business associates have direct access to the Chairman of the Audit Committee. Risk Management Dabur has established comprehensive risk assessment and minimization procedures. being eligible. • Provide protection against victimization. in its Report. and also to a three-member direct touch team established for this purpose. The General Manager (Finance) and Company Secretary has been appointed as Compliance Officer. The Company has developed a very comprehensive Legal Compliance Manual. the same are then assessed. The Board provides oversight and reviews the Risk Management Policy on a quarterly basis. with provision for escalation to the higher-ups in the hierarchy. Under this framework.1 crore or more during the year. and control systems instituted to ensure that the risks in each business process are mitigated. malpractice. Dabur has adopted a Dividend Policy which has been displayed on the Company’s website. P N Vijay would retire this year and. new risks are identified.dabur. Sunil Duggal. Details of non-compliance by the Company Dabur has complied with all the requirements of regulatory authorities. The Company has adopted COSO framework for internal control. we have a structure in place to identify and mitigate the various risks faced by the Company from time to time. offer themselves for re-election at every Annual General Meeting. www. Consequently. Mohit Burman. Whistle-Blower Policy The Company promotes ethical behaviour in all its business activities and in line with the best international governance practices. offer themselves for reappointment in accordance with the provisions of the Companies The detailed related party transactions can be referred to in Notes in Schedule P to Annual Accounts. • Build and strengthen a culture of transparency and trust. and cautioning them of the consequences of violations. The Whistle-Blower Protection Policy aims to: • Allow and encourage employees and business associates to bring to the Management notice concerns about unethical behavior. Any non-compliance is seriously taken up by the Board. Disclosure of accounting treatment in preparation of financial statements Dabur has followed the guidelines of accounting standards laid down by the Institute of Chartered Accountants of India (ICAI) in preparation of its financial statements. At Dabur. Code for prevention of insider-trading practices In compliance with the SEBI regulation on prevention of insider trading. No penalties/strictures were imposed on the Company by stock exchanges or SEBI or any statutory authority on any matter related to capital market during the last three years. The direct touch team comprises one senior woman member so that women employees of the Company feel free and secure while lodging their complaints under the policy. the reports of compliance to all applicable laws and regulations. System-based alerts are generated until the user submits the monthly Compliance Report. actual or suspected fraud or violation of policies. and a fixed timeline is set for achieving the same. one-third of its Directors retire every year and. Legal Compliance Reporting: The Board of Directors reviews in detail. risks are identified as per each process flow.dabur. R C Bhargava and Mr. The above mechanism has been appropriately communicated within the Company across all levels and has been displayed on the Company’s intranet as well as on the Company’s website www. Mr. which are reviewed by the Board periodically. controls are designed. The process of Compliance Reporting is fully automated. using the e-nforce Compliance Tool. The Company has set up a direct touch initiative.com CEO/ CFO certification The CEO and CFO certification of the financial statements and the cash flow statement for the year is enclosed at the end of the report. on a quarterly basis. SHAREHOLDERS Reappointment/Appointment of Directors As per the Articles of Association of Dabur. the risk register is reviewed by the Board. It reviews the status . Dividend Policy To bring transparency in the matter of declaration of dividend. of complaints received under this policy on a quarterly basis. The Committee has.

Mohit Burman: Graduate from Richmond College.Quarterly: The quarterly financial results are normally published in The Economic Times/ Times of India /Mumbai Mirror/Mint and Navbharat Times newspapers. Consolidated Financial Statements. Currently he has no shareholding in the Company. None of the Directors of the Company are related inter-se. He is actively involved in educating investors through various channels. 1956. institutional investors. 2010 Unaudited Financial Results for the Financial year ended on March 31.Half-Yearly Report: Audited half-yearly financial statements. presentations made to the media. Kolkata) He served as General Manager . which ultimately contributes to a company’s securities achieving fair valuation. Directors’ Report. we continually strive towards improving quality of our financial information and dialogue with investors.co. half yearly and annual financial results. the role of IR (Investor Relations) is becoming increasingly critical in helping companies to manage the flow of information and to communicate more effectively with the investment community.Annual Report: Annual Report of the Company containing. The IR programme at Dabur aims at achieving best in class standards in terms of disclosures. marketing and compliance to enable the most effective two-way communication between a company.56 | Annual Report 2010-11 Act. for the halfyear ended September 30. The key objective of IR is to develop and implement a financial communication program that effectively communicates a company’s long-term strategic vision and aids in shaping perceptions that accurately reflect the company’s performance. He is a regular columnist in leading newspaper and financial journals. 2011 April 29. transparency and corporate governance continue to grow and become more and more challenging.com Webcasting: Dabur’s quarterly results presentations are webcast. Investor Relations (IR) is a strategic management responsibility that integrates finance. are displayed on the Company’s website www. and the same is prominently displayed on the Company’s website www.Sales & Marketing in Wimco Ltd. 2010 Audited Financial Results for the half year ended on September 30. INVESTOR RELATIONS At Dabur. These are available on the website www. . etc. Mr. His current holding in the Company is 29. IIT Chennai. Annual Report of subsidiary companies is also posted on the website. in terms of section 2(41) and section 6 read with schedule IA of the Companies Act. 11 Nine months ended December 31.Sc. efficient and relevant communication to all external constituencies. Mr. Website: The Company‘s website www. Their brief CVs are given below: Mr. interalia. Quarterly Corporate Governance Report and Shareholding Pattern are also available on the website. was born in 1934 and joined the Board in 2005.corpfiling. 2010 Unaudited Financial Results for the quarter / Date July 28. 10 October 29. Corporate filing and dissemination system: The Company has been complying with SEBI regulations for filing of its financial results under the Corp filing system. and other constituencies. The IR function plays a pivotal role by acting as the ‘bridge’ between the Company and its stakeholders. Annual/ Half-Yearly Reports. The IR team . While IR enables the financial community to appraise a company effectively it also enables the Company to understand the perspective and concerns of the investors and factor them into its strategy and risk mapping. was born in 1968 and joined the Board in 2007. MEANS OF COMMUNICATION WITH SHAREHOLDERS Financial Results: Dabur recognizes communication as a key element of the overall Corporate Governance framework.in.com. including summary of significant events and MD&A.com contains a separate section ‘Investors Relations’ for use of investors.000 shares. London and MBA from Babson Graduate School of Business Wellesley. He is a leading expert in stock market. 2010 was sent to the households of all shareholders. Currently.dabur. analysts. As the requirements of disclosure. P N Vijay: M. Mr. communication. official news releases and presentations made to institutional investors and to analysts are promptly and prominently displayed on the website. he has no shareholding in the Company. Webcasts are left on corporate website for upto 1 month. Table 7: Publications of the financial results during 2010-2011 Description Unaudited Financial Results for the quarter ended June 30.dabur. 11 News Releases/ Presentations: Official press releases. . the financial community. Report on Corporate Governance. Table 7 below gives details of the publication of the financial results in the year under review. Exclusive email ID for investors: The Company has designated the email id investors@dabur. The quarterly.dabur. making them more efficient.10. 1956. and therefore emphasizes on prompt.com exclusively for investor servicing. R C Bhargava: MA in Development Economics. IAS Retd. before joining Dabur in1995. He played a key role in redefining Sales and Marketing functions at Dabur. goals and strategies. The Management Discussion and Analysis Report forms part of the Annual Report. 10 February 02. Sunil Duggal: MBA (IIM. Currently he has no shareholding in the Company. He is Non-Executive independent Director of the Company. corporate reputation. . then moved to Pepsi Foods Ltd in 1994 as General Manager Sales & Marketing. MS in Mathematics. Auditors Report and other important information is circulated to the members and others entitled thereto for each financial year. continuous. Audited Accounts. transparency and consistency.

00 AM 11. IR at Dabur is not just a one way communication but the company welcomes feedback. 2006 July 13.00 AM 12. relevance and quality of the information distributed to the market through a periodic. Develop and implement investor materials and events including presentations. The corner stone of Dabur’s IR policy is to disclose all relevant information to the investors which provides a fair and correct assessment of the company’s business situation at any given time.00 AM 11. and other relevant information. the Reference Document and Letters to Shareholders were regularly improved by enriching their content and extending their circulation. the IR department at Dabur. Subroto Park. Some of the responsibilities held by the Investor Relations team at Dabur are as under: 1. Same as above Same as above Same as above Same as above FICCI Auditorium.Extraordinary General Meeting . 9. In order to achieve this Dabur holds the following activities: 1. the management had the opportunity to share their strategy with a number of institutional investors . 2009 February 1. structured and consistent presentation of the information. Develop and distribute analyst materials including data. Manage Shareholder queries. Track and analyze analyst’s reports.00 AM *AGM . Tansen Marg. New Delhi-110 010. and projections. In FY 2010-11. 3. Location of the meeting Air Force Auditorium.00 AM 11. 8. we have various avenues to ensure that investors get a good understanding of the company and its strategies. releases. investor events. economic environment. 2010 Time 9. criticism and suggestions from investors. Subroto Park. Building Investor Confidence through regular. conferences hosted by Goldman Sachs. and web events.Dabur India Limited | 57 Report on Corporate Governance works very closely with top management to implement programs that are consistent with its corporate objectives. Archived copy of the webcast and transcript is provided on the Company’s website. to name a few. Provide inputs on the FMCG market. Date July 8. 4. 10. One-on-one meetings are held with investors to brief them about the Company and answer their queries. 4. Such events provide an effective forum for investors to meet the Company and understand its strategy and operations and enable the Company to imbibe the perspective and views of its financial stakeholders. 2007 July 10. conferences.00 noon 11. Federation House. The Annual Report. particularly with the increase in the number of shareholders holding shares. 2. Deutsche Bank and HSBC. New Delhi-110 010. DSP Merrill Lynch. models. fact sheets. 5. Communicate important corporate developments such as mergers and acquisitions with appropriate details in order to give a complete perspective to investors. press clippings. took care to reinforce and enhance the information provided to shareholders and multiplied the opportunities for meetings and exchanges with the financial community. 3. fact sheets. Table 8: Location and time of the last 5 General Body Meetings. Financial Year 2005-2006 2006-2007 2006-2007 2007-2008 2008-2009 2009-2010 2009-2010 Category * AGM EGM (Court Convened Meeting) AGM AGM AGM EGM (Court Convened Meeting) AGM 6. The IR function provides support and transparency to retail and institutional shareholders in order to enable them to take informed decisions. IR preserves the veracity. 2008 July 15. Analysing and understanding the company’s changing shareholder profile and underlying trends. EGM . The company participates in investor conferences organized by leading institutional brokerage houses. structured and accurate communications. a webcast and conference call is arranged to discuss highlights of the company’s performance with the management. CLSA. GENERAL BODY MEETINGS Table 8 gives the details of the last five General Body Meetings. During 2010-11 we attended. latest developments in industry and economy and general market intelligence.30 AM 11. 2006 July 8. Disseminate authentic and correct information to the stakeholders and potential investors. New Delhi-110001 Air Force Auditorium. At Dabur. All members of the financial community are invited for the same and an opportunity is provided to each one to participate in the Q&A. UBS.both Domestic and Foreign. 7. Therefore the investor meetings and interactions act as a channel of two way communication and the investors’ feedback is given due consideration by the management of the company. 2. During these conferences. The company holds Analyst Meetings from time to time to share our vision and plans at a strategic level with the analysts and fund managers.Annual General Meeting. Track shareholder ownership and contacts with major/ important shareholders. feedback and opinions and inform the management regarding the same. Post the quarterly and annual results. performance of other players. 2010 August 31.

Appointment of Mr. Sidharth Burman as Whole-Time Director of Dabur International Ltd. WholeTime Director of the Company. Compliance 49 (VII) Yes August 31.00. a subsidiary of the Company. Increasing of Authorised Share Capital of the Company from Rs.out of general reserves of the Company for allotment of fully paid up bonus shares to shareholders of the Company in the ratio of 1:1.1. Amit Burman. preference issues etc 49 (IV D) Not Applicable (E) Remuneration of Directors 49 (IV E) Yes (F) Management 49 (IV F) Yes (G) Shareholders 49 (IV G) Yes V. as whole time Director in Dabur Nepal Pvt. Ltd. P D Narang. 2008 • • • • Appointment of Mr. Ltd.00.00. Gaurav Burman as Whole-Time Director of Dabur International Ltd. Variation in the terms and conditions of remuneration of Mr. • • .each to Rs. Payment of remuneration to Mr.00.20. Mohit Burman as Director of the Company. a subsidiary of the Company.00.00. rights. Keeping of Register of members and other statutory records of the Company at a place other than the registered office.000/-. Variation in the term and condition of remuneration of Mr. Variation in the terms and conditions of remuneration of Mr. CEO/CFO Certification 49 (V) Yes VI.00.000/.00.01. Whole-Time Director of the Company. Table 9: Compliance Report Particulars Clause of listing agreement Compliance status July 15. Report on Corporate Governance 49 (VI) Yes VII.1. Sunil Duggal as Whole-Time Director. Ltd. Authority to the Board to mortgage and/or create charge over assets of the company for an aggregate amount of upto Rs. July 10. for an aggregate amount of upto Rs. Ajay Dua as Director of the Company. Revision in terms of remuneration of Mr. as WholeTime Director in Dabur International Ltd.20. Variation in the term and condition of remuneration of Mr. Ltd.00.45. a subsidiary of the Company and further variation in terms and conditions of his remuneration.00. Chetan Burman. Revision in terms of remuneration and reappointment of Mr.000/-.Gaurav Burman as Whole-Time Director in Dabur International Ltd. Variation in the term and condition of remuneration of Mr.00. Alteration of object clause of Memorandum of Association of the Company.to Rs.00. Variation in the terms and conditions of remuneration of Mr. a subsidiary of the Company.834/.divided into 2000000000 Equity shares of Re.00.58 | Annual Report 2010-11 The following Special Resolutions were taken up in the last three AGMs.2.2. Approval for Commencing and carrying on of new business as specified under clause 7 of the other objects clause of Memorandum of Association of the company. Mohit Burman as Whole-Time Director of Dabur International Ltd. Amit Burman as Whole-Time Director in Dabur Nepal Pvt. Appointment of Mr. b) Tenure of Independent Directors No specific tenure has been specified for the Independent Directors.87.000/-. • • • • • • Authority to the Board to borrow money for the business purposes of the company.each Alteration in the Article 4 of the Articles of Association of the Company regarding the increase in Authorised Share Capital from Rs. Postal Ballot During the year under review. Audit Committee 49 (II) Yes (A) Qualified & Independent Audit Committee 49 (IIA) Yes (B) Meeting of Audit Committee 49 (IIB) Yes (C) Powers of Audit Committee 49 (IIC) Yes (D) Role of Audit Committee 49 (IID) Yes (E) Review of Information by Audit Committee 49 (IIE) Yes III. Approval for Increase in number of shares to be issued to employees of the company under Employee Stock Option scheme of the company.divided into 1450000000 Equity shares of Re. a subsidiary of the Company. a subsidiary of the Company. a subsidiary of the Company. ADOPTION OF NON-MANDATORY REQUIREMENTS a) Maintenance of the Chairman’s office The Company maintains the office of the Non-Executive Chairman and provides for reimbursement of expenses incurred in performance of his duties. a subsidiary of the Company.000/. no resolutions were passed through postal ballot. COMPLIANCE Mandatory requirements Compliance Report of Dabur with the applicable mandatory requirements of Clause 49 is as under.000/.00. Disclosures 49 (IV) Yes (A) Basis of related party transactions 49 (IV A) Yes (B) Disclosure of Accounting Treatment 49 (IV B) Yes (C) Board Disclosures 49 (IV C) Yes (D) Proceeds from public. 2010 • • Appointment of Dr. and were passed with requisite majority.1/. Sidharth Burman. Board of Directors 49 I Yes (A) Composition of Board 49(IA) Yes (B) Non-executive Directors Compensation & Disclosures 49 (IB) Yes (C) Other provisions as to Board and Committees 49 (IC) Yes (D) Code of Conduct 49 (ID) Yes II.00.00. as Executive Director in Dabur Nepal Pvt.29.45. 2009 • • • • • • • • • I. Appointment of Mr. a subsidiary of the Company.1/. Subsidiary Companies 49 (III) Yes IV. Capitalization of a sum of Rs. Aditya Burman as Whole-Time Director in Dabur Nepal Pvt. designated as Chief Executive Officer of the Company. Pradip Burman.

Dabur India Limited | 59
Report on Corporate Governance

c)

Remuneration Committee Dabur has Remuneration cum Compensation Committee that comprises three members, two members being Independent Directors and one being Non-Executive Director. The Chairman of the Committee is an Independent Director.

Venue: Air Force Auditorium, Subroto Park, New Delhi - 110010 Financial Calendar Financial year: April 1 to March 31 For the year ended March 31, 2011, results were announced on: • July 26, 2010: First Quarter • October 27, 2010: Half Yearly • January 31, 2011: Third Quarter • April 27, 2011: Fourth Quarter and Annual For the year ending March 31, 2012, results will be announced by: • July 27, 2011 (tentative): First Quarter • October 31, 2011 (tentative): Half Yearly • January 31, 2012: (tentative): Third Quarter • April 30, 2012 (tentative): Fourth Quarter and Annual Book Closure The dates of Book Closure are from the 1st day of July, 2011 to the 8th day of July, 2011, inclusive of both days. Dividend Payment Interim dividend of Re.0.50 per equity share was paid on November 10, 2010 for the financial year 2010-11. Dates of Transfer of Unclaimed Dividend Pursuant to section 205A of the Companies Act, 1956, unclaimed dividend for Financial Year(s) upto 2002-03 (Final) and 2003-04 (interim) have been transferred to the General Revenue Account of the Central Government/ Investor Education and Protection Fund (IEPF) established by the Central Government. The dividends for following years, which remain unclaimed for seven years, will be transferred to IEPF in accordance with the schedule given below. Shareholders who have not enchased their dividend warrants relating to the dividends specified in Table below are requested to immediately send their request for issue of duplicate warrants. Once unclaimed dividend is transferred to IEPF, no claim shall lie in respect thereof either with the Company or IEPF.

d)

Half-Yearly Declaration Dabur has a practice of preparing audited half-yearly report of financial statements, including a section on Management Discussion and Analysis, since last seven years, which is sent to all shareholders. The half-yearly report for the year 2010-11 was sent to all shareholders on November 25, 2010.

e)

Audit Qualifications The Auditors have raised no qualification on the Financial Statements of the Company.

f)

Mechanism for evaluation of Non-Executive Directors The performance evaluation of Non-Executive Directors is done through a peer-to-peer performance evaluation of the Board of Directors. The Directors are marked on a scale of 1 to 5, with respect to three broad parameters namely — guiding strategy, monitoring Management performance and development /compensation and statutory compliance & Corporate Governance.

g)

Whistle-Blower Policy Dabur has a Whistle-Blower policy in place. The details with regard to the functioning of this policy have been mentioned earlier in this report.

ADDITIONAL SHAREHOLDER INFORMATION Annual General Meeting Date: July 15, 2011 Time: 11:00 am Table 10: Dividends declared in the past Financial Year 2003-2004 2004-2005 2004-2005 2005-2006 2005-2006 2006-2007 2006-2007 2007-2008 2007-2008 2008-2009 2008-2009 2009-2010 2009-2010 2010-2011 Type of Dividend Final Interim Final Interim Final Interim Interim Interim Final Interim Final Interim Final Interim

Dividend rate % 140 100 150 150 100 100 75 75 75 75 100 75 125 50

Date of Declaration 06/07/2004 27/10/2004 15/07/2005 24/10/2005 08/07/2006 31/10/2006 13/03/2007 24/10/2007 10/07/2008 28/01/2009 15/07/2009 26/10/2009 31/08/2010 27/10/2010

Due Date for transfer to IEPF 12/08/2011 03/12/2011 20/08/2012 30/11/2012 08/08/2013 04/12/2013 16/04/2014 30/11/2014 16/08/2015 05/03/2016 21/08/2016 02/12/2016 05/10/2017 02/12/2017

60 | Annual Report 2010-11

Listing At present, the equity shares of the Company are listed on Mumbai Stock Exchange (BSE), and the National Stock Exchange (NSE). The annual listing fees for the financial year 2011-2012 to NSE and BSE has been paid. Table 11: Dabur’s Stock Exchange codes ISIN No: Mumbai Stock Code: National Stock Code: Bloomberg Code: Reuters Code: Equity Evolution during the year As on March 31, 2010 the paid up Equity Share Capital of the Company was Rs. 867,585,830/- consisting of 867,585,830 equity shares of Re.1/- each. The table below gives details of equity evolution of the Company during the year under review: Table 12: Shares allotted during 2010-11 Date April 22, 2010 May 20, 2010 July 22, 2010 August 23, 2010 September 14, 2010 Stock Market Data Table 13 and Chart A & B give details of stock market data. Table 13: High, Low and Volume of Dabur’s shares for 2010-11 at BSE and NSE. BOMBAY STOCK EXCHANGE LTD. Month April 2010 May 2010 June 2010 July 2010 August 2010 September 2010 October 2010 November 2010 December 2010 January 2011 February 2011 March 2011 High (Rs.) 90.38 94.30 104.88 106.68 105.18 111.30 110.25 102.15 101.95 103.05 100.05 172.80 Low (Rs.) 79.13 88.70 91.78 98.18 97.95 104.10 99.60 92.45 95.30 91.10 90.50 158.60 Volume (No. of shares) 2405098 1229710 1696784 5023056 3069199 4249397 2934226 5709830 5239459 3502839 3649600 2297274 NATIONAL STOCK EXCHANGE OF INDIA LTD. High (Rs.) 90.68 94.33 105.30 107.05 104.93 111.30 110.25 102.00 101.90 103.15 100.15 173.00 Low (Rs.) 79.38 88.58 92.05 98.23 98.03 103.95 99.30 92.60 95.25 90.80 90.75 158.80 Volume (No. of shares) 22947466 20094380 22507302 59956394 39385372 39393799 30671920 40504425 35161214 46582406 30523644 15976589 Particulars Allotment pursuant to exercise of Stock Options Allotment pursuant to exercise of Stock Options Allotment of shares pursuant to merger of Fem Care Pharma Limited with the company. Allotment pursuant to exercise of Stock Options Allotment of Bonus Shares in the ratio of 1:1 Issued No. of equity shares of Re.1 each during the year 955240 204144 1384620 232065 870361899 Cumulative 868541070 868745214 870129834 870361899 1740723798 INE016A01026 500096 DABUR DABUR IB DABU.BO

Note: The value of Dabur’s share has been adjusted to ½ of its market price from April, 2010 to September, 2010 to give effect to Bonus issue of 1:1 allotted on 14.09.2010.

Dabur India Limited | 61
Report on Corporate Governance

Chart A: Dabur’s Share Performance versus BSE Sensex

Chart B: Dabur’s Share Performance versus Nifty

Note: The charts have share prices and indices indexed to 100 as on the first working day of 2010-11. Distribution of Shareholding Tables 14 and 15 list the distribution of the shareholding of the equity shares of the Company by size and by ownership class, as on March 31, 2010. Table 16 lists the top 10 shareholders of the Company. Table 14: Shareholding pattern by size Number of equity shares held PHYSICAL FORM No. of share holders up to 5000 5001 – 10000 10001 and above Total 7914 1735 107 9756 No. of shares 2548769 10445462 1746012 14740243 DEMATERIALISATION FORM No. of No. of share shares holders 114855 43881784 3199 20214303 1068 1661887468 119122 1725983555 Total number of share holders 122769 4934 1175 128878 % of share holders Total number of shares % of share holding

95.26 46430553 3.83 30659765 0.91 1663633480 100.00 1740723798

2.67 1.76 95.57 100

Table 15: Shareholding Pattern by ownership Particulars No. of share Holders Directors, promoters 27 and family members FIIs 203 Mutual Funds 33 Financial Institutions/ 21 Banks/ Insurance companies NRIs 3343 Corporates 1582 Individuals 123669 Total 128878 As on 31st March 2011 % of share Holders No. of shares held % of share Holding 68.74% 17.22% 1.10% 5.95% 0.48% 0.78% 5.73% 100.00% No. of share Holders 27 187 35 21 2597 1268 85312 89447 As on 31st March 2010 % of share Holders 0.03% 0.21% 0.04% 0.02% 2.90% 1.42% 95.38% 100% No. of shares held 598347925 124052133 16368256 70255377 3998040 8835174 45728925 867585830 % of share Holding 68.97 14.30 1.89 8.10 0.46 1.02 5.27 100.00

0.02% 1196638850 0.16% 0.03% 0.02% 299725779 19234087 103512996

2.59% 8394755 1.23% 13505855 95.96% 99711476 100.00% 1740723798

to its members in electronic form at the email address provided by them and/or made available to the Company by their Depositories. • • As on March 31. RTA will process the DRF and confirm or reject the request to DP/ Depositories.09 3. e) f) Consolidation of folios and avoidance of multiple mailing: In order to enable the company to reduce costs and duplicity of efforts for providing services to investors. Shareholders can open their accounts with any of the Depository Participant registered with these depositories. the unclaimed shares lying in the possession of the company are required to be dematerialized and transferred into a special demat Account held by the Company. which is Karvy Computershare Pvt. to their DP. there are two depositories i. Members may write to the Registrars indicating the folio numbers to be consolidated along with the original shares certificates to be consolidated. auditors' report or any other document.51 11. the shareholder will get credit of the equivalent number of shares in his Demat Account maintained with the DP. Puran Associates Private Limited Ratna Commercial Enterprises Pvt.05 2.76 than one folio in the same order of names. Unclaimed/ Undelivered share Certificates As per the provisions of clause 5A of the Listing Agreement (SEBI circular dated 16/12/2010). 2011. Upon confirmation of request.e.15% shares of the Company were held in dematerialized form. of shares held 217934000 217734000 202237980 189212000 154960930 106040970 53012986 40666346 30654126 % of shareholding 12. directors' report. No. also will be credited to the said special demat account and the voting rights on these shares shall remain frozen until the rightful owner has claimed the shares. Milky Investment and Trading Company Burmans Finvest Pvt. Ltd.2011 allowed the service of documents on members by a company through electronic mode. in India. National Securities Depository Limited (NSDL) and Central Depository Services (India) Limited (CDSL).87 8. It may also be noted that all the corporate benefits accruing on these shares like bonus. and National Stock Exchange of India Ltd. DP will submit the DRF and original share certificates to the Registrar and Transfer Agents (RTA). audited financial statements.52 12. members who have more .34 1. 21.62 | Annual Report 2010-11 Table 16: Top ten shareholders as on 31/03/2011 Name Chowdry Associates Vic Enterprises Private Limited Gyan Enterprises Pvt. Accordingly the company proposes to send documents like Shareholders Meeting Notice/ other notices. To facilitate trading in demat form. Ltd. The equity shares of the Company are frequently traded at Bombay Stock Exchange Ltd.General Sub Fund LIC of India Money Plus Dematerlization of Shares and Liquidity Trading in equity shares of the Company in dematerialized form became mandatory from May 31.17/ 2011 dt. Ltd. Ltd. are requested to consolidate their holdings under one folio. Genesis Indian Investment Company Limited . Members who have not yet registered their email id (including those who wish to change their already registered email id) may get the same registered/ updated either with their Depositories or by writing to the company (by filling & sending the prepaid inland letter attached with the Annual Report). Shareholders who have not yet claimed their shares are requested to immediately approach the Registrar & Transfer Agents of the company by forwarding a request letter duly signed by all the shareholders furnishing their complete postal address along with PIN code and a copy of PAN card & proof of address to enable the company to despatch the said share certificate(s) to the rightful owner. the process of getting the shares dematerialized is given hereunder: a) b) c) d) Demat Account should be opened with a Depository Participant (DP).62 10. Shareholders should submit the Dematerialization Request Form (DRF) along with share certificates in original. split etc. Dematerialization of Shares: For convenience of shareholders.4. 1999. DP will process the DRF and will generate a Dematerialization Request Number (DRN). 99. Dabur has entered into agreement with both these depositories.90 6. Service of documents through Email Ministry of Corporate Affairs ("MCA") has vide Circular No.

with vesting period from 1 to 5 years from the date of grant.P. Fax No.500081 Phone No. Plot No. Hyderabad. Industrial Area.0120. . Tel: 01795-244385. 040-23420814 Email id: einward. and files a copy of the same with the Stock Exchanges. has issued Secretarial Standards on various aspects of corporate law and practices. an independent firm of practicing Chartered Accountants. Baddi.173 205 Tel: 01795-244385. Fax : 01795-244090 Honitus/Nature Care Unit. Karvy Computershare Private Limited Unit: Dabur India Limited 305. Phone No.P. 220-221. Ph 0120. This audit is carried out on quarterly basis and the report thereof is submitted to the Stock Exchanges. : 011-43681710 Website: www. through its circular No.173 205. H. Fax : 01795-244090 Toothpaste Unit. Tel: 01795-244385. change of address.44655000.karvy. Village Billanwali Lavana.com.Dabur India Limited | 63 Report on Corporate Governance Outstanding GDRs/ADRs/Warrants/Options The Company has 19627230 outstanding Options as on March 31. 109. New Delhi-110002 Ph: 011-23253488. The Company obtains from a Company Secretary in practice half yearly certificate . HPSIDC Industrial Area.: 040. Compliance with Secretarial Standards The Institute of Company Secretaries of India. H. A summary of all the transfers/ transmissions etc. Ghaziabad-(U. Tel: 01795-244385. Dabur had appointed MCS Limited as its registrar and transfer agent in 1994 for both segments. carries out the Reconciliation of Share Capital Audit as mandated by SEBI. to be handled either wholly ‘in-house’ by companies or wholly by a SEBI-registered external registrar and transfer agent. 2011. 22. H. 109. PLANT LOCATIONS • Sahibabad Unit I & II. Distt Solan. dividends. Village Billanwali Lavana.com Karvy Computershare Private Limited Unit: Dabur India Limited Plot No. 17-24.ris@karvy. Barakhamba Road. Tel: 01795-244385.P. Distt Solan. so approved by officers of the Company is placed at every Committee meeting.173 205 Tel: 01795-244385.173 205. Baddi.43681700. Share Transfer System All share transfer and other communications regarding share certificates.) 201010. much before this was mandated by SEBI. 27. Shareholders/Investor Grievance and Share Transfer Committee is authorized to approve transfer of shares in the physical segment. Baddi. Distt Solan. Fax : 01795-244090 Amla/Honey Unit. . Email id: delhi@karvy. . HPSIDC Industrial Area. Distt Solan. Vithalrao Nagar Madhapur. provided the documents meet the stipulated requirement of statutory provisions in all respects. Though these standards are recommendatory in nature.P. Plot No.com of compliance with the share transfer formalities as required under clause 47© of the listing agreement. . Fax No. where the Company‘s shares are listed and is also placed before the Shareholders and Investors Grievances Committee of the Board.P. HPSIDC Industrial Area.173 205. Fax : 01795-244090 Glucose Unit. Details of Public Funding Obtained in the last three years Dabur has not obtained any public funding in the last three years. Distt Solan.3008700 (30 Lines). . Distt Solan. Sahibabad. Details of the Registrar and Transfer Agent are given below1. Baddi. H. 2002. the Company has voluntarily complied with each one of them.: 011. . Baddi. the Company appointed Karvy Computershare Private Limited as its Registrar.P. All share transfers are completed within statutory time limit from the date of receipt. Asaf Ali Road. The Shareholders/ Investor Grievance and Share Transfer Committee has delegated the authority for approving transfer and transmission of shares and other related matters to the officers of the Company. New Delhi-110001. etc should be addressed to Registrar and Transfer Agents. Fax : 01795-244090 2. Distt Solan. Such transfers take place on fortnightly basis. Baddi. Registrar and Transfer Agent Securities and Exchange Board of India (SEBI).DandCC/FITTC/CIR-5/2002 dated December 27. H. Fax : 01795-244090 Shampoo Unit. and reports on the reconciliation of total issued and listed Capital with that of total share capital admitted / held in dematerialized form with NSDL and CDSL and those held in physical form. 12. Company’s Registered Office Address: 8/3. both in physical and electronic form. H.P. New Delhi House. Reconciliation of Share Capital Audit Aggarwal & Ahluwalia. Site IV. has made it mandatory for all work related to share registry. H.173 205 Tel: 01795-244385. . Village Billanwali Lavana. a statutory body.173 205. During the year 2007-08.P. Fax . Baddi.2779914 / 4376924 • Baddi Hajmola Unit. Fax : 01795-244090 Chyawanprash Unit.

2477 2620. Punjabi Bhawan. Bari Brahmna. Pithampur . M . Baddi. Fax : 0144 .Green Field Unit. Tehsil Baddi. P. H.O. Dabur India Limited. H.P.).) . Udham Singh Nagar Uttarakhand .173 205.221970 • Katni 10. 222859. HPSIDC Industrial Area. Jalpaiguri (West Bengal) Pin 735135. Village Billanwali Lavana. Fax: 05944 . Tel: 09800008457. New Delhi – 110002. 223783. Fax : 01795-244090 Skin Care Unit.2881302 / 2881341 • Pithampur 86-A.221970. Fax: 01923 .P. Village Manakpur. Netaji Subhash Chandra Bose Road. Distt Solan. Complex.250064 • Jammu Unit I. . 2477 2740 (033)32919827/28. Fax: 011-43681710 For queries of Analysts. Survey No. General Manager (Finance) & Company Secretary.262317. Tonk (Rajasthan) – 304020. Village Billanwali Lavana. A K Jain. Fax : 0253.P.64 | Annual Report 2010-11 Food Supplement Unit. Ambad.(0)9331048165. Baddi. New Delhi – 110002. Fax: 07622 . 27. Lane No.3.262297 • Alwar SP-C 162. . NH -7. MIDC.) India Tel. Village Saily. Distt Solan.S. 10 Rouse Avenue.304020 Distt. 9800008456. IID Centre. Tel: 05944-398500. 305. Village Manakpur.P.0260 . Distt Solan. Plot No. . Rouse Avenue. Distt Solan. 222341.2477 2621 Silvassa Unit . P.400046 to 51.S.P. Baddi. 2477 2738. West Bengal Tel: 0332477 2324 . Tel: 01795-244385. Banks and others : Mrs Gagan Ahluwalia. Fax .2881319 / 2881217 / 2881542. Malku Majra. H. II & III. Rajasthan Tel: 0144 .483442 Tel: 07622 . Nos. Barakhamba Road.Dhar (M. Phase II. Baddi. 2383577 ADDRESS FOR CORRESPONDENCE • For share transfer / dematerialisation of shares.01438. Sector-2. Fax : 01795244090 Oral Care Unit.4 Mile Stone. : 0253. 601. Village Padua KATNI.700103. 223893. Tel: 011-42786000. Fax : 01795-244090 Toothpowder Unit. Fax : 400112 • Narendrapur 9. .P.454774 Distt.26.174 101. Silvassa – 396230.P.4.2681075 Newai G 50-59. Mahanvita.2383146. Dadra & Nagar Haveli (UT of India) Tel – 02602681071/72/73/74 .P.I & II. Dabur India Limited. H. Tel: 01923 . Fax No. 10. Integrated Industrial Estate Pantnagar. Tehsil Baddi. 225/4/1. Fax: 011-23222051 For investors assistance : Mr. Tel : 07292 .O. H. SIDCO Indl.301 030. Nashik – 422 010 (M.1. 221. Nalagarh Road. Alwar .6623222.173 205 Tel: 01795-244385. . Fax: 011 – 23222051 . 992.263146. Tel: 01438 -223342. NH-12 Road No. Tel: 011 – 42786000.173 205. Distt Solan. Kheda Industrial Area Sector-3. Jammu. Distt Solan. Institutions. New Delhi House. FIIs.174 101 Tel : 01795-244385 • Pantnagar Unit I and Unit II. 9760013990. Rajganj Distt. 09933399800 • Nashik D-55.223783 Jalpaiguri Kartowa. Matsya Industrial Area. payment of dividend and any other query relating to the shares : Karvy Computershare Private Limited. Tel : 01795-244385 Air Freshener Unit. 991. 262297. Tel : 01795-246363 Dabur India Limited . Punjabi Bhawan. P. Fax : 033. New Delhi 110001 Phone: 011-43681700.220123. Distt. Newai . (M. • • • • • NARENDRAPUR Kolkata . Mutual Funds.173 205 Tel: 01795-244385. . . H.

All significant deficiencies in the design or operation of internal controls. These statements do not contain any materially untrue statement or omit to state a material fact or contains statement that might be misleading.Dabur India Limited | 65 Report on Corporate Governance Certification by Chief Executive Officer and Chief Financial Officer of the Company We. 11 and its entire schedule and notes on accounts. The Company’s other certifying officers and we have disclosed. wherever applicable. Significant changes in accounting policies during the year and that the same have been disclosed in the notes to the financial statements. to the best of our knowledge and belief certify that: 1. To the best of our knowledge and information: a. as well as the Cash Flow Statement. which we are aware and have taken steps to rectify these deficiencies. which we have become aware of and that involves Management or other employees who have a significant role in the Company’s internal control systems over financial reporting. Sunil Duggal. New Delhi 27th April. Any fraud. 3. based on our most recent evaluation. illegal or violate the company’s code of conduct. Chief Executive Officer and S Raghunathan. These statements together present a true and fair view of the Company’s affairs and are in compliance with existing accounting standards. b. 4. The company’s other certifying officers and we are responsible for establishing and maintaining internal controls for financial reporting and procedures for the Company. Chief Financial Officer of Dabur India Limited. We also certify. that based on our knowledge and the information provided to us. New Delhi 27th April. 2. We have reviewed the Balance Sheet and Profit and Loss Account of the Company for the year ended 31st March. d. b. c. to the Company’s auditors and through them to the Audit Committee of the Company’s Board of Directors: a. Sd/Sunil Duggal CEO. Significant changes in internal control over financial reporting during the year. 2011 Sunil Duggal CEO. applicable laws and regulations. Dabur India Limited 5. Dabur India Limited Sd/S Raghunathan CFO. there are no transactions entered into by the company. Dabur India Limited . 2011 Certification by Chief Executive Officer of the Company I declare that all board members and senior management have affirmed compliance with the code of conduct for the current year. and we have evaluated the effectiveness of the Company’s internal controls and procedures pertaining to financial reporting. which are fraudulent.

Dabur Ayurvedic Specialities Limited India Co Ventures Limited Mahindra Forgings Limited H & B Stores Limited. S Narayan ED ID ID R C Bhargava ID Audit Committee Audit Committee Audit Committee Audit Committee Shareholders Grievance Committee Shareholders Grievance Committee Audit Committee Audit committee Dr Ajay Dua ID .66 | Annual Report 2010-11 Annexure 1 . India Ltd. Lakshmi Vilas Bank Ltd. Dabur Pharmaceuticals Ltd. Hero Honda Motors Ltd Dabur Research Foundation. Reed Relay & Electronics India Limited India Mart Intermesh Ltd.. ILFS Limited Polaris Software Lab Ltd. UltraTech Cement Co... Ltd. One97 Communications Limited Godrej Properties Limited Apollo Tyres Ltd.Details of other Directorships held Name of the Director Dr Anand Burman Status CHAIRMAN/ PD/NED Directorships Aviva Life Insurance Co. Aviva Life Insurance Company India Ltd. Aviva Life Insurance Company India Ltd. Limited H& B Stores Ltd. Hindustan Motors Limited Althea Lifesciences Ltd. Universal Sompo General Insurance Co. Audit Committee Audit Committee Audit Committee Shareholders Grievance Committee Audit Committee Audit committee Audit Committee Committee Membership Shareholders & Investors Grievance Committee Committee Chairmanship Pradip Burman PD/ED Audit Committee Audit Committee Audit Committee Audit Committee Audit Committee Mohit Burman PD/NED P D Narang ED Sunil Duggal P N Vijay Dr. HSBC Invest Direct Ltd. HSBC Invest Direct Finance Ltd. Dabur Pharmaceuticals Limited H & B Stores Ltd.. Aditya Birla Sunlife Asset Management Co. Ayurvet Limited Sanat Products Limited Dabur Research Foundation Aviva Life Insurance Co. HSBC Invest Direct Securities Ltd. Limited Taj Asia Limited Albert Wiseman Paterson ID Analjit Singh ID Nil Nil Nil Max India Limited. Teesta Urja Limited Idea Cellular Ltd. Malsi Holdings Limited Malsi Estates Limited. Micromax Informatics Ltd. India Ltd. Talbros Automative Components Ltd. Grasim Industries Limited Optimus Global Services Ltd.. Audit Committee Shareholders Grievance Committee Audit Committee Shareholders Grievance Comm. Ltd Max Healthcare Institute Limited Indus Towers Limited. Jetage Infrastructure Ltd. Jetage Infrastructure Ltd. Ester Industries Limited Amit Burman PD/NED H & B Stores Limited Q H Talbros Limited.India Ltd. Aviva Life Insurance Co. Tata Tea Limited Max New York Life Insurance Co. Maruti Suzuki India Limited Thomson Press (India) Ltd. Max Neeman Medical International Ltd Max Bupa Health Insurance Limited Max Speciality Products Limited Areva T&D India Ltd. Vodafone Essar Limited Malsi Hotels Limited. IDBI Limited Hero Honda Motors Ltd. Fresenius Kabi Oncology Ltd. Seshasayee Paper and Board Ltd. Dabur Research Foundation H& B Stores Ltd. J K Lakshmi Cement Ltd.

41 526.08 Total DIVIDEND The Company has paid an interim dividend of 50% (Re. if approved by the members. AMALGAMATION OF FEM CARE PHARMA LTD WITH THE COMPANY During the year. FINANCIAL RESULTS Financial results are presented in Table 1.19 471. 2011.00 1. The final dividend.15 0. 1956.91 862.03 0.00 29. We are pleased to recommend a final dividend of 65% (Rs. Table1: Financial Results (Rs.66 4.02 527.15 32.and Rs.04 0. declared last year. The dividend payout ratio for the current year.2. which form part of this Report.07 64. Your Directors have pleasure in presenting the 36th Annual Report on the business and operations of the Company.32 50.98 108. amalgamation of Fem Care Pharma Limited (FEM) with the Company was completed on 18th June. 2010 (being effective date) upon filing of the Order of Hon’ble Delhi and Mumbai High Courts with the respective offices of Registrar of Companies. will be paid to members within the period stipulated by the Companies Act. amounting to Rs.1.00 per share of Rupee one each) on pre bonus capital.50 per share of Rupee one each) on November 10.21 433. is at 49.94 862. 1956. OPERATIONS AND BUSINESS PERFORMANCE Kindly refer to Management Discussion & Analysis and Corporate Governance. inclusive of corporate tax on dividend distribution. The appointed date of merger was 1st April. The aggregate dividend for the year will amount to 115% (Rs.45 0.647640/respectively has been transferred by the Company to the Investors Education and Protection Fund.65 per share of Rupee one each) for the financial year 2010-11. 2009.43%.62 0.15 per share of Rupee one each) as against 200% (Rs.32 2009-10 2897.50 0. .60 527.Dabur India Limited | 67 Directors’ Report To. final dividend for the year 2002-03 and interim dividend for the year 2003-04 which remained unpaid or unclaimed for a period of 7 years.82 (0. in crore) 2010-11 Turnover (including other income) Profits before Tax Add: Provisions of earlier years written back Less – Provision for Taxation – Current – Provision for Taxation – Deferred – Provision for taxation for earlier year Profit after Tax Add: – Balance in Profit & Loss Account brought forward from the previous year Profit available for appropriation Appropriation to: General Reserve Capital Reserve Interim Dividend – Paid Final Dividend – Proposed Final Dividend (for earlier year) Corporate tax on Dividend Excess Corporate Dividend tax provided in earlier year written back Balance carried over to Balance Sheet 3313.08 130.05 89.0.34 87.04 113.0.924423/.83 596.26 0. together with the Audited Accounts for the financial year ended March 31.00 2.40) 714.40 5. Pursuant to the provisions of Section 205A (5) of the Companies Act. The due dates for transfer of unpaid dividend for subsequent years is given in Table 12 under Corporate Governance Report.14 428.45 119.19 596.00 526.22 998. The Members. 2010.91 998.

Hobi Kosmetic Group comprises of three companies namely. are furnished in the explanatory statement to the notice of the ensuing Annual General Meeting. Healing Hair Lab International LLc. US and Urban Lab International LLc. so as to give true and fair view of the state of affairs of the Company at the end of the financial year.Hobi Kozmetik Imalat Sanayi Ve Ticaret Anonim Sirketi. ii) iii) That they had taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act. Your Directors recommend their appointment/ re-appointment at the ensuing Annual General Meeting. Mr Mohit Burman. the following shares were allotted and admitted for trading in NSE and BSE:Equity shares allotted against the options exercised by employees pursuant to Employees Stock Option Scheme of the Company. CREDIT RATING During the year under review the Company has sustained its long term credit rating of AAA. Ra Pazarlama Limited Sirketi and Zeki Plastik Imalat Sanayi Ve Ticaret Limited Sirketi. This indicates a very strong degree of safety with regard to timely payment of interest & principal. The Company’s short term credit was rated P1+ by CRISIL. names of companies in which they have held directorships. Equity shares allotted pursuant to merger of Fem Care Pharma Limited with the company • 1384620 equity shares allotted on July 22. Mr Sunil Duggal. The highest credit rating of AAA awarded by CRISIL reflects the Company’s financial discipline and prudence. 2010. In the year under review. it voluntarily governs itself as per the highest national and international standards of corporate governance. a wholly owned subsidiary of the Company. The brief resumes of the Directors who are to be appointed/reappointed. adequacy of the Internal Control measures and reporting of matters to the Audit Committee in terms of Clause 49 of the Listing Agreement with the Stock Exchanges. Equity shares allotted pursuant to Bonus issue in the ratio of 1:1.Hair Rejuvenation & Revitalization Nigeria Ltd. and of the profit of the Company for that period. confirming the correctness of the financial statements. their shareholding etc. 2010.68 | Annual Report 2010-11 OVERSEAS ACQUISITION –HOBI GROUP (TURKEY) & NAMASTE GROUP (US) During the year the Company has acquired Turkey‘s leading personal care products maker Hobi Kosmetik Group through Dabur International Limited. compliance with Company‘s Code of Conduct. CORPORATE GOVERNANCE Dabur is committed to focus on good corporate governance in line with emerging local and global standards. a leading ethnic hair care group based in Chicago with operations in US. inter alia. with respect to Directors’ Responsibility Statement. iv) That they had prepared the annual accounts on a going concern basis. 2010. The compliance Report on Corporate Governance and a certificate from Auditors of the Company regarding compliance of the conditions of Corporate Governance. offer themselves for re-appointment in terms of the provisions of Article 106 of the Articles of Association of the Company. DIRECTORS In terms of Article 103 and 104 of the Articles of Association of the Company. Certificate of the CEO/CFO. the Directors confirm: i) That in the preparation of the annual accounts. Strong governance practices at Dabur has earned for it recognition and has strengthened its bond of trust not only with the stakeholders but with the society at large. US and its three subsidiaries namely . committee memberships/ chairmanships. Europe and Africa. DIRECTORS’ RESPONSIBILITY STATEMENT Pursuant to the requirement under Section 217(2AA) of the Companies Act. the applicable accounting standards have been followed and no material departures have been made from the same. The second overseas acquisition of the year was of Namaste Group of US. That they had selected such accounting policies and applied them consistently. Mr P N Vijay and Mr R C Bhargava will retire by rotation at the ensuing Annual General Meeting. and made judgements and estimates that are reasonable and prudent. through Dermoviva Skin Essentials Inc. is attached in the corporate governance Report and forms part of this report. and being eligible. Dabur understands and respects its fiduciary role in the corporate world and besides adhering to the prescribed corporate practices. CHANGE IN CAPITAL STRUCTURE AND LISTING OF SHARES The Company’s shares are listed on the National Stock Exchange of India Limited (NSE) and Bombay Stock Exchange Limited (BSE) and are actively traded. as stipulated under Clause 49 of the Listing Agreement with the Stock Exchanges. Namaste Group of US comprises of Namaste Laboratories LLc. • 870361899 equity shares allotted on September 14. 2010. • 232065 equity shares allotted on August 23. for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities. 1956. is attached as ‘Annexure 1‘ and forms part of this report. 2010.. the nature of their expertise in specific functional areas. 1956. a wholly owned subsidiary of the Company. - . • 955240 equity shares allotted on April 22. • 204144 equity shares allotted on May 20.

The Financial Statements of the subsidiary companies are also available for inspection by the shareholders at the Registered Office of the Company and also that of its respective subsidiaries. EMPLOYEES STOCK OPTION PLAN During the year.dabur. Ra Pazarlama Limited Sirketi. 2010. will retire at the conclusion of the ensuing Annual General Meeting and. 19300617 options in 4 tranches were granted to eligible employees of the Company in terms of Employees Stock Option Plan (Dabur ESOP 2000).60 crore as compared to Rs. the Company has not accepted any fixed deposits from the public. FIXED DEPOSITS During the year under review. being eligible. 1391449 options were exercised by the employees after vesting. COST AUDITORS M/s Ramanath Iyer & Company. would be within the limit prescribed under section 224(1B) of the Companies Act. SUBSIDIARIES During the year Fem Care Pharma Ltd. 501.47% to Rs. NATURE OF BUSINESS There has been no change in the nature of business of the Company and any of its subsidiary companies during the year. Chartered Accountants. The Auditors have vide their letter dated 21. 204144 equity . Healing Hair Lab International LLc.568. Further Hobi Kozmetik Imalat Sanayi Ve Ticaret Anonim Sirketi. this Annual Report also includes Consolidated Financial Statements for the financial year 2010-11. proper and adequate internal control system. which ensures that all assets are safeguarded and protected and that the transactions are authorised. Consolidated Turnover grew by 20. has ceased to be subsidiary of the Company due to its amalgamation with the Company. The observations of the Auditors. The Internal Auditors independently evaluate the adequacy of internal controls and concurrently audit the majority of the transactions in value terms. the Company made the allotment of 955240 equity shares on April 22. Urban Lab International LLc. Basu & Company.2011 also confirmed that they have subjected themselves to the peer review process of Institute of Chartered Accountants of India (ICAI) and holds a valid certificate issued by the peer Review Board of the ICAI. Independence of the audit and compliance is ensured by direct reporting of Internal Audit Division and Internal Auditors to the Audit Committee of the Board. During the year. the Company has developed a very comprehensive legal compliance manual called ‘e-nforce‘. 1956. Hair Rejuvenation & Revitalization Nigeria Ltd. 2011 the Company had no unclaimed deposits or interest thereon due to any depositor. 3438. CONSOLIDATED FINANCIAL STATEMENTS In compliance with the Accounting Standard 21 on Consolidated Financial Statements. pursuant to Accounting Standard AS-21 issued by the Institute of Chartered Accountants of India. together with the notes to Accounts referred to in the Auditors‘ Report. copies of Balance Sheet. INTERNAL CONTROL SYSTEM The Company has a well placed. recorded and reported correctly.30 crore as compared to Rs. in respect of the Formulations and Cosmetics & Toiletries products for the financial year 2011-12. were re-appointed as Cost Auditors to conduct cost audit of the accounts maintained by the Company. The Company has received a letter dated April 11. The following information in aggregate for each subsidiary has been disclosed in the consolidated balance sheet (a) capital (b) reserves (c) total assets (d) total liabilities (e) details of investment (except in case of investment in subsidiaries) (f) turnover (g) profit before taxation (h) provision for taxation (i) profit after taxation (j) proposed dividend. US and Dabur Egypt Trading Limited have become step down subsidiaries of the Companies. In terms of general approval granted by the Central Government under Section 212(8) of the Companies Act. net profit after tax and after minority interest for the year at Rs. The Company will make available these documents and related detailed information upon request by any shareholder of the Company or subsidiary interested in obtaining the same. US. Similarly. Namaste Laboratories LLc.Dabur India Limited | 69 Directors’ Report AUDITORS AND THEIR REPORT M/s G.27 crore in the previous year. and as on March 31.4142. 1956. Statutory Auditors of the Company. This process is fully automated and generate alerts for proper and timely compliance. A statement of the holding company’s interest in the subsidiary companies is attached as ‘Annexure 2’ and form part of this report. if made. Consolidated Financial Statements presented by the Company include the financial statements of its Subsidiaries. Cost Accountants. supplemented by internal audit checks from Price Waterhouse Coopers Private Limited. However.57 crore is higher by Rs.67. Report of the Board of Directors and the Report of the Auditors of the subsidiary companies have not been attached with the Balance Sheet of the Company. US. which drills down from the CEO to the executive level person who is responsible for compliance. 1956. Accordingly. 2011 from them to the effect that their re-appointment. Profit and Loss Account. The Company’s internal control system comprises audit and compliance by in-house Internal Audit Division. To further strengthen the internal control process. offer themselves for re-appointment as statutory auditors for the financial year 2011-12. The Financial Statements of each subsidiary shall also be available on Company’s website www. are self-explanatory and do not call for any further explanation from the Directors. the Internal Auditors and various transaction auditors.69 crore in the previous year. Zeki Plastik Imalat Sanayi Ve Ticaret Limited Sirketi.com.04. and that they are not disqualified for such re-appointment within the meaning of Section 226 of the Companies Act.

Herbal Extractor have been ordered in place of Boiling pans in major units at Baddi. International business: The Company’s International Business Division (including recently acquired Hobi and Namaste group companies) recorded an impressive sales growth of 43. • Installation of Herbal Extractors across units by replacing boiling pans resulted in low consumption of steam and man days. • Replacing energy inefficient equipments with new technologies which are energy efficient. etc. 2010 and 232065 equity shares on August 23.8 crores in 201011 fiscal. by adapting to green manufacturing and concept of “Reduce. viz. against the options exercised by the employees. The operating margins of the business improved significantly during the year reflecting the strength of the brands even though the external conditions were tough and the environment was plagued by political turmoil and instability in key countries of Middle East and North Africa region leading to demand contraction coupled with . . 1956 read with Companies (Particulars of Employees) Rules. • Replacement of Old Air Compressors with new Screw Type efficient Compressors. Energy was used more efficiently (2. reduced maintenance time and cost. • Installation & Commissioning of Briquette/Herbal waste fired boiler.Replacement of power capacitor in units at Sahibabad. along with Guar gum exports. These measures have also lead to better pollution control. 1956 the Annual Report excluding the aforesaid information is being sent to all the members of the company and others entitled thereto. contributing to 22% of consolidated sales.Herbal waste used as a fuel in boiler in major units eg: Conversion of herbal waste into dry bio briquettes. Foreign Exchange earnings and outgo: i) Activities and initiatives relating to exports: The Company’s key markets for international business are the Middle East. 631. the names and other particulars of employees are set out in the Annexure to the Directors Report. if any. d) Total energy consumption and energy consumption per unit of production as per Form A Attached herewith as Annexure 4 B. FOREIGN EXCHANGE EARNINGS AND OUTGO A. • Efficient Maintenance of Capacitor Bank for improvement of Power Factor. Some new initiatives taken.33 GigaJoules compared to LY). c) Impact of measures at (a) and (b) above for reduction of energy consumption and consequent impact on the cost of production of goods:• The energy conservation measures taken during the year have resulted into yearly saving of approximately Rs 180 Lacs and thereby lowered the cost of production by the equivalent amount. CONSERVATION OF ENERGY. Conservation of energy: a) Energy conservation measures taken:Various energy conservation techniques were initiated at large scale and successfully implemented. However having regard to the provisions of Section 219(1)(b)(iv) of the companies Act. where the projects are under implementation. This was despite increase in tariff rates of Power & Fuel and absorbing cost of owned generated power for 5 new manufacturing facilities at Baddi. Technology Absorption: Efforts made in technology absorption as per Form B is attached herewith as Annexure 5. with manufacturing plants located across regions.96 GigaJoules to 2. • Use of thermic fluid heating system in place of boiler in Fluid Bed Evaporator (FBE) of Hajmola manufacturing. 1975. Reuse and Recycle”. The Company also has a private label business in USA and UK. Pantnagar and Jammu commissioned in 2010 – 11. Crushing herbal waste and using the same in the USAB reactor in ETP (Effluent Treatment Plant) to generate more methane ( Bio gas) which in turn is used as boiler fuel and using directly herbal waste as a fuel in the boiler b) Additional investments and proposals. Excluding the acquisitions. 904. better quality of extract in terms of TSS. Any member interested in obtaining a copy of such particulars may write to the Company Secretary at the Registered office of the Company. PARTICULARS OF EMPLOYEES In terms of the provisions of section 217(2A) of the Companies Act. which takes place from its Indian plants.3% from Rs. . C. fast process.9%. Some of the key initiatives were as followsIn the existing manufacturing units various initiatives were undertaken to conserve/ reduce environmental impact. to improve power factor. 2010.4 crores in 2009-10 fiscal to Rs. 731. 1999 are appended as ‘Annexure 3’ and forms part of this report. UK and South Asian geographies. growing by 15. the International Business Division recorded sales of Rs. being implemented for reduction of consumption of energy:. for saving energy and manpower.70 | Annual Report 2010-11 shares on May 20. TECHNOLOGY ABSORPTION. The particulars of options issued under the said Plan as required by SEBI (Employee Stock Option Scheme and Employee Stock Purchase Scheme) Guidelines. improved hygienic condition and consistency in quality and improved productivity. Africa.6 crores in 2010-11.

The Sales & Distribution infrastructure has been augmented by appointing new distributors in Malaysia. Dabur Honey and Meswak. aided by strong growth of Dabur Herbal Toothpaste and Dabur Herbal Gel in the Oral Care category.Aggressive new product launches and brand extensions . Vatika Dermoviva was extended into Hand Wash category during the year. Hair Cream manufacturing capacity was doubled and new Toothpaste mixer was commissioned while new Lines for Hair Oil & Hair Cream packing are under installation. Exports from India The company also exports guar gum and private label oral care products from India. Egypt and South East Asia to strengthen the S&D structure. The key contributing markets to the International Business growth have been GCC. Bangladesh. Morocco. Nigeria has grown by 34%. with Hajmola and Dabur Amla emerging as the two strong brands for the region.Dabur India Limited | 71 Directors’ Report inflationary pressures due to commodity cost inflation. . Algeria. GCC.Strong manufacturing backbone and expansion of own manufacturing in key geographies .Strong Sales and Distribution network . ISO certificates were received for Green Gel and Promise Red Toothpaste. New product categories of Mouthwash and Denture Adhesives were started. Dabur Amla is the largest brand in the hair oil segment there. key new markets were opened. Dabur Branded Ethnic grew with the launch of new products such as Sesame Oil. Vatika has also maintained its growth trajectory with Vatika Hair Creams emerging as the biggest brand based on Nielsen Retail Audits in Saudi Arabia and Egypt.52. Dabur Herbal Toothpaste posted a strong performance in Nigeria where it has become the no.Geographical expansion into new markets . Mainstream Retail penetration of Dabur Ethnic products took place in both USA (Stop n Shop) and in Canada (Loblaws network). Pakistan has grown by 17%. For the first time we could enter European Retail chains. the largest region in the International Business Division and despite being a mature market. Dabur Egypt Limited has witnessed another spectacular performance with 34% growth in sales in spite of disturbances in the region and temporary shut down during the fourth quarter of fiscal 2010-11. Sales in USA (Dabur Branded and Private label) grew impressively from Rs. Syria and Kenya. Nigeria. Jordan. Egypt.Strong Brand portfolio positioned on herbal and natural platform .Localised and efficient supply chain. Robust sales growth in international markets was possible due to: . Mozambique and Ethiopia. Uganda. Personal Wash and Oral Care segments. Nigeria. Levant and Yemen have seen an impressive performance with 39% growth over previous year. Canada and France. In Egypt. Local resources have been deployed in key markets of Middle East & North Africa. such as Denmark. In Private label.43. ii) Development of new markets for Products & Services: New avenues for growth were opened up with expansion into the new markets of Congo.3 crore in 2009-10 fiscal. has performed well with a growth of 47% during the fiscal 2010-11. As per Nielsen Retail Audit in Saudi Arabia. 38 crores to Rs 45 crores. Efficient operations of the manufacturing plant in Ras Al Khaimah ensured 22 new SKU launches in 2010-11 fiscal and augmentation in capacity with new warehouse and new manufacturing lines for Hamam Zaith and other hair care products. In Nigeria. 2 player in terms of market share basis Nielsen Retail Audit. The brand has been re-launched in MENA during the year and it has seen fast growth. During 2010-11 the company recorded Guar gum exports to the tune of Rs. Vatika Hair Oil and shampoos.7 crores as compared to Rs. Sales have grown aided by recovery in global environment. Dabur Amla franchise has been extended into Hair Creams and variants have been launched in hair oils and hair serums. This was inspite of stiff competition from established brands through aggressive consumer promotions and price cuts. Dabur Nepal Pvt Limited which manufactures fruit juices and also caters to local consumer market in Nepal recorded growth of 4% in 2010-11 in its sales to the domestic market of Nepal. Juices and a host of products from both the IBD platform as well as the India Domestic platform. Vatika Dermoviva – the new brand launched for the Personal Wash and Skin Care segment has grown in strong double digits in Soaps and has managed to create consumer equity in a category dominated by strong MNC players. Markets of North Africa. Asian Consumer Care. Asian Consumer Care. Switzerland. The growth has been led by focus on five key brands – Amla Hair Oil. Armenia. Kazakhstan and Burkina Faso. The plants in Egypt have however become operational as the political situation has improved. African Consumer Care. The company has built strong and robust brand architecture with brands like Dabur Amla and Vatika across geographies. has grown by 21% over last year fuelled by innovations and new product launches in the Hair Care.

has always been aware of its responsibilities as a good citizen action. 1969) for the purpose of availing exemption from applicability of the provisions of Regulation 10 to 12 of aforesaid SEBI Regulations. is in the process of further strengthening its current resources. 2460 lac. • Dabur stock ranked 14 th in Value 100 list. 1997 persons constituting Group (within the meaning as defined in the Monopolies and Restrictive Trade Practices Act. • Ranked as 7th Most Respected Company in the Fast Moving Consumer Goods space in India. Safety and Environment Management Systems in all manufacturing units conform to the requirements of the International Standards based on OHSAS and ISO. The Company will continue to invest in brand building. This standard is the foundation of the overall health. • Health Check up for all employees carried out at unit level. safety and environment framework of Dabur. Technology and Facilities. GROUP FOR INTER SE TRANSFER OF SHARES Pursuant to an intimation received from the Promoters.t to Safety and Environment Act and Rules. Health. The Health. Safety and Environment. Total Foreign Exchange earned during 2010-11: Rs. • Awarded the Best Run award in Supply Chain by SAP.72 | Annual Report 2010-11 iii) Export Plans: The focus. With its health. Total Foreign Exchange used during 2010-11: Rs. presented by the Bombay Stock Exchange. rainwater harvesting and solid waste recycling. manufacturing and human capital in order to maintain and improve the existing robust growth path. are given in the Annexure 6 attached herewith and forms part of this report. • Ranked 62 in Business Today’s BT 500 list of India’s Most Valuable Companies.r. The environmental agenda was marked by a shift towards reducing environmental impact of Company’s operations. During the year Dabur bagged various Awards and Recognitions in different categories and for different Brands. • Environmental Monitoring was carried out at unit level to check the impact on the environment. • Listed as a Top Green Company in Greenpeace Safe Food Guide . Safety and Environment through its Policy. safety and environment management. 13416 lac. • Different Guidelines and Standard were rolled out for implementation at unit level and Focus on the training – on job and off job to minimize the TRFR. in health. AWARDS & RECOGNITIONS: Dabur has received many Awards and Accolades in recognition of its achievements at various levels. supported by Management Commitment as the prime driver. • Different test has been carried out at unit level to check the efficiency of PPE’s used at work place. which focuses on People. Safety and Environment is integrated with the business processes. Dabur India Ltd. resulting in significant environmental benefits by reducing the Sox emission in environment. HEALTH SAFETY AND ENVIRONMENTAL REVIEW Dabur India Ltd. • Ranked 63 in the list of Top 100 Beauty Companies in the world. Dabur has the aim to certify all its operational locations with the Integrated Management system OHSAS (Occupational Health & Safety Advisory Services) 18001 and ISO 14001 — Occupational Health. Some sites modified their boilers to use bio-fuels. which forms part of this Annual Report. 2010. These include: For The Company• Ranked as the organisation that offers best return to investors by the 6th Social & Corporate Governance Awards. OPERATIONS REVIEW For detailed operational review kindly refer to Management Discussion and Analysis and the Report on Corporate Governance. • Risk assessment of all manufacturing location done with a system of planned inspection product wise. Key Initiatives taken during the year. • Ranked 200 in the Fortune India 500 list that ranks India’s 500 largest corporations. under Clause 3 (1) (e) of Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations. Dabur has got certified its three (3) manufacturing location by TUV NORD. With this aim. • In a process of preparing 5 more manufacturing location for the certification of OHSAS 18001 and ISO 14001 integrated management system. • Got certified its 3 manufacturing location with OHSAS 18001 and ISO 14001 integrated management system. • Listed among the enterprises that are ‘Doing India Proud’ in Limca Book of Records. • Emergency Preparedness plan is in place and executed the plan through mock drill. Safety and Environment management system Dabur aims to effectively control risks and prevent people from being injured or harmed during the course of their work. a ranking of attractively-priced stocks of firms with ‘real’ earnings. is to continue expanding the Company’s presence across geographies and to exploit the opportunities that exist in existing and potential segments. • Ranked 182 in the ET-500 list of India Inc’s Heroes. resulted in the reduction of all injury rate (AIR) and Total Recordable Frequency rate (TRFR) • Legally Complied at unit level w. • Installation of Fire Hydrant and Detector System as per the latest technologies available. This was achieved by environment management program through a combination of energy & water conservation. going forward. has reaffirmed its commitment towards Health.

301174E) New Delhi 27th April. 2011 (Anil Kumar) Partner Membership No. 41 in the list. ranked 20th in Forbes ‘The 100 Richest Indians’ list. cordial and harmonious industrial relations at all levels. Sunil Duggal ranked amongst India’s most valuable CEOs. We have examined the compliance of conditions of Corporate Governance by Dabur India Limited. Its Chief Executive Officer • Mr. We further state that such compliance is neither an assurance as to the future viability of the Company. INDUSTRIAL RELATIONS The Company maintained healthy. Babool and Real are also amongst the trusted brands. • Dabur ranked 27 in India’s Most Valuable Brands 2010 list by Brand Finance. • Moved up to take the 78th spot in the Super-100 list. Your Directors also wish to place on record their sincere thanks and appreciation for the continuing support and unstinting efforts of Investors. Vendors. • Ranked as India’s Most Customer Responsive FMCG Company. Our examination is limited to procedures. for the year ended March 31. State Governments and Company’s Bankers for the assistance. Business Associates and Employees in ensuring an excellent all around operational performance. The compliance of conditions of Corporate Governance is the responsibility of the Management. 2011. The enthusiasm and unstinting efforts of employees have enabled the Company to remain at the leadership position in the industry. chairman ranked amongst India’s Most Powerful CEO’S. • Ranked among Top 10 Best Companies To Work For in the Consumer Goods and Durables Sector. ACKNOWLEDGEMENTS Your Directors place on record their gratitude to the Central Government. according to Brand Trust Report. • The Burman family. • Meswak. We state that no investor grievance is pending for a period exceeding one month against the Company. For G. we certify that the Company has complied with the conditions of Corporate Governance as stipulated in the above mentioned Listing Agreement. as per the records maintained by the Shareholders/ Investors Grievance Committee. as stipulated in Clause 49 of the Listing Agreement of the said Company with the stock exchanges. 2011 (DR ANAND BURMAN) CHAIRMAN Annexure ‘1’ Auditors’ Report on Corporate Governance To. Vatika Almond Hair Oil. Dabur Amla Flower Magic Hair Oil and Dabur Uveda bagged National Awards for Excellence in Packaging. • Chyawanprash. adopted by the Company for ensuring the compliance of the conditions of Corporate Governance. • Dabur Amla Hair Oil & Real voted as Most Loved FMCG Brands with highest top-of-the-mind recall. and to the best of our information and according to the explanations given to us. and implementation thereof. promoters of Dabur. Dealers. Its Brands • Real fruit juices & Vatika Hair Oil bagged Reader’s Digest Trusted Brand Gold Award 2010. In our opinion. 2011. It is neither an audit nor an expression of opinion on the financial statements of the Company. It has taken various steps to improve productivity across organization. • Dabur Amla Hair Oil entered Limca Book of Records for hosting longest–ever non-stop hair massage marathon. released by Business India. • Dr.0 for its responsibility towards the GM food issue. Anand Burman. • Dabur Amla Hair Oil bagged India’s Top 50 Marketers Award for successfully tapping the bottom of the pyramid. • Dabur Chyawanprash Immune India Campaign and Dabur Glucose-D Ace of Pace bagged international Promotion Marketing Award of Asia 2010. 9390 . Have been placed at No. nor the efficiency or effectiveness with which the Management has conducted the affairs of the Company. The Members of Dabur India Limited. • Ranked 45 among Most Trusted Brands in India. Hajmola. BASU & CO. Chartered Accountants (FRN. Hajmola have been listed in 100 Most trusted Brands 2010 list. • Dabur Amla.Dabur India Limited | 73 Directors’ Report version 2. Real chosen by Indian consumers as ‘Power Brands 2010-11’. co-operation and encouragement they extended to the Company. • Dabur awarded bronze in respective categories of Glucose-D Ace of Pace and Vatika Kesh Sundari contest. For and on behalf of the Board New Delhi 27th April. India Study.

2011 31.03.03. Dabur Egypt Ltd* Asian Weikfield Consumer International Care Pvt.21% 31.2011 31.2011 31.19.03.03.2011 1 AED=Rs.03.2011 31.2011 4 Subsidiary Financial Year ended on 31.03. Rs 35. Ltd.96. – * Subsidiary Undersection 4(1)(c) Exchange Rate as on 31.359 AED 9.05.03.03.05.03.01.64. 12.432 (Rs.2011 – – – – – – 31.* 74 | Annual Report 2010-11 2 Holding Company’s Interest - .690 – – – – – – (Rs. 15.2011 31.155) (USD 15.03. 1956 RELATING TO SUBSIDIARY COMPANIES Dabur (UK) Ltd.340) 1.99.371) – – – – – – – – (i) For the financial Year of the subsidiaries - (ii) For the previous financial year of the subsidiaries since they become the holding company’s subsidiaries.077) – – – – – – – – (Rs.2011 31.Annexure ‘2’ STATEMENT PURSUANT TO SECTION 212 OF THE COMPANIES ACT.75.2011 5 Net aggregate amount of subsidiaries Profit/(Loss) not dealt within the holding company’s accounts : (Rs.365 AED 4. - - – – – – – – 6 Net aggregate amount of subsidiaries Profit/(Loss) dealt within the holding company’s accounts : – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – – (i) For the financial Year of the subsidiaries – (ii) For the previous financial year of the subsidiaries since they become the holding company’s subsidiaries.03.47.000 Equity Shares Equity Shares of Re 1 of Pens Each fully Sterling 1 Paid Up Each fully Paid Up – 31.14.2011 100% 100% – – – – – – – – – – – – 3 Extent of Holding – – 31.2011 31.2011 31.26.2011 – 31.14 1 US $ = Rs. Ltd* (UAE) LLC* African Asian Consumer Consumercare Care Ltd* Pakistan P Ltd* Naturelle LLC* Dermoviva Hobi Zeki Plastik Skin Kozmetik Imalat Sanayi Essentials Imalat Sanayi Ve Ticaret Inc* Ve Ticaret Limited Anonim Sirketi* Sirketi* 5. 7.21.03.03.00.2011 – – – – – – – – Ra Pazarlama Limited Sirketi* Namaste Hair Healing Urban Lab Dabur Egypt Laboratories Rejuvenation Hair Lab International Trading Ltd* LLC* & International LLC* Revitalization LLC* Nigeria Ltd* 1 Name of the Subsidiary Dabur Nepal Pvt.03.03. 44.50.2011 31.000 16.40.000 Equity Shares of US Dollar 1 each fully Paid Up 2. International Ltd.2011 31.03.59 .03.65. Rs 988.00.00.* H&B Dabur Stores Ltd.03.06.2011 31.527) 56.03.03.2011 31.2011 31.000) (USD 35.48.58.

As reported . Devendra Garg Mr. 3.As adjusted . in lacs) Net profit after tax.Expected Dividend yield 1. the Company’s stock option scheme.Operations ii.) . For the Year 1.80 .Expected volatility 28. Employees who received the options amounting to 5% or more of options granted during that year : iii. 7. Sunil Duggal Mr. Weighted average exercise price (per option) Weighted average fair value of per option: (per intrinsic value method) (per black scholes model) 14.00 Rs.71 2. S Raghunathan Mr. Employees who received the options during the year equal to or exceeding 1% of the issued capital of the Company at the time of grant: : 11. to account for stock options issued under Dabur ESOS 2000. Sunil Duggal Mr.65 Net profit after tax. 4. 9. The Company had been using intrinsic value method of accounting ESOP expenses as prescribed by SEBI (Employees Stock Option Scheme and Employees Stock Purchase Scheme) Guidelines 1999. 2. as reported in audited accounts Add: Stock Option compensation expenses charged in above reported profit Deduct: Stock option compensation expenses determined under fair value method (black scholes model) 47141 3017 3147 : Rs. As allowed by the above referred SEBI Guidelines the company has decided to continue to apply the intrinsic value method of accounting and accordingly the disclosure required as per para 12 (l) of the Guidelines are given herein below:(Rs. Under this method.69 47011 130 Basic 2. P D Narang Mr.Impact on EPS 13. A Sudhakar Mr. 10. compensation expenses is recorded on the basis of excess of the market price of share at the date of grant of option over exercise price of the option. 6.69 0. 8.78 Rs.9970920/19627230 4003394 4003394 1578728 310386 1307312 456110 4003394 4003394 1307312 1578728 Group Director – Corp.51.07 Rs. 1999 and forming part of the Directors’ Report for the year ended 31st March. Affairs Chief Executive Officer Executive Director–CHD Executive Director.Operations.404959/19627230 Mr.66% . Affairs Chief Executive Officer Executive Director. Senior managerial personnel : 9527061 9500411 10002170 3061376 None Rs.70 0. 5.01 Diluted 2. Devendra Garg Mr. P D Narang Mr.e.83 . Diluted earning per share (EPS) pursuant to issuance of options under ESOP 12. profit would have been lower by) Earning per share (Rs. Jude Magima None Cumulative 32189017 Options vested : Options exercised : Total number of shares arising as a result of exercise of option : Options lapsed/Cancelled : Variation in terms of options : Money realized by exercise of options : Total number of options in force : Employee-wise details of options granted during the year to : i. 2.Price of underlying shares in the market at the time of option grant Rs.Expected life 1 to 5 years .69 2. The fair value of each option is estimated using the Black Scholes model after applying the following weighted average assumptions:. Number of Options granted Pricing formula : 19300617 Each option carries the right to the holder to apply for one equity share of the Company at par/discount to market value.Risk free interest rate 6. as adjusted Impact on profit (i. Jude Magima Mr. Executive Director– HR Executive Director–CHD Chief Financial Officer Group Director – Corp.47 .124.Dabur India Limited | 75 Directors’ Report Annexure ‘3’ Disclosure regarding Employees Stock Option Plan pursuant to the SEBI (Employees Stock Option Scheme and Employees Stock Purchase Scheme) Guidelines.117.163. 312455 436209 436209 27903 None Rs. 2011.

86 9460.) Average Rate per Kilo Ltr – (Rs. hence the figures of consumption per unit of production are not ascertainable.) Average Rate per Kilo Ltr – (Rs.00 3.22 37481.19 8746957.22 9.Boiler) Quantity (Tonnes) Total Cost – (Rs.) 193.34 5057.(Rs.) Rate per Unit .02 3882620.50 30299.56 7629860.26 301.80 6445.00 45276.45 203.25 2828.00 173942164. .94 28303923.) Average Rate per Tonne – (Rs.00 4.(Rs.A (See Rule 2) FORM OF DISCLOSURE OF PARTICULARS WITH RESPECT TO CONSERVATION OF ENERGY 2010-11 2009-10 A.02 11.52 B.) Average Rate per Tonne – (Rs. Consumption per unit of production The Company is engaged in production of variety of products.(Rs.) 2 Coal (Specify Quality and where used) (Bio Briquettes/ Pet Coke for steam generation.88 93817349.00 3.) ii) Through Steam Turbine / Generator Units Unit per Litre of Fuel Oil Cost per Unit .15 32436767.) Total Cost – (Rs.76 | Annual Report 2010-11 Annexure ‘4’ FORM .) 4 Others / Internal generation HSD Quantity (Kilo Ltr) Total Cost – (Rs.) b) Own Generation i) Through Diesel generator Units Unit per Litre of Diesel Oil Cost per Unit .29 46847951.86 90798391.00 32097.05 35417.) LDO Quantity (Kilo Ltr) Total Cost – (Rs.41 36523995.71 35191645.07 27400.85 Nil Nil 4149799.) 3 Furnace Oil Quantity (Tonnes / KL) Total Cost – (Rs.57 60976480.61 18084373.18 3423. Power & Fuel Consumption 1 Electricity a) Purchased Units Total Amount – (Rs.68 9140797.33 6413.00 127836950.75 510.00 4.

Hajmola. Hard surface cleaners & Fabric Care.Dabur India Limited | 77 Directors’ Report Annexure ‘5’ FORM . Glucose Powder Litchi and Rose. • Redevelopment of Ketchup and sauces which are ready for launch in packaging format. c) Development of quality standards of raw materials and finished products: R&D centre was closely associated with Pharmacopoeia Commission of Indian Medicines and Indian Pharmacopoeia Commission for developing quality standards of classical Ayurvedic formulations as well as raw materials of herbal origin. Activ juices and nectars and other products through alternative RM development. Personal repellents. OTC products span across Proprietary Ayurvedic products. health supplements and Pharmaceutical products. d) Bio Resources Development: Bio Resources Development (BRD) group has been involved in designing. Clinical studies for both regulatory and marketing purposes were also conducted. Hommade. Vitamin fortified beverages in Real. This is a dynamic process. quality and cost of existing products. Skin care and Oral care in Indian and many overseas markets. Oils. Burrst. The key areas taken up for development during the year were: • Two new fruit variants for Activ juices. Home Care: R&D was carried out in categories of Air Care. development and implementation of strategic initiatives to ensure material security for future business needs. Activ. Ayurvedic: Key areas of R&D were: a) Formulation development including new product development and process validation: Development of both OTC and classical Ayurvedic new products were carried out.This group is involved in development of agronomy protocols besides the promotion of contract farming. This group is actively associated with National Medicinal Plants Board and National Mission of the Medicinal Plants. and Fizz Apple Drink in Burrst. Personal Care: R&D was carried out for enhancing the existing product range and introduction of new products in Hair Care. • Development of two variants of culinary pastes. • Development of New products like mouth fresheners and masala Mixes.B (See Rule 2) FORM OF DISCLOSURE OF PARTICULARS WITH RESPECT TO TECHNOLOGY ABSORPTION Research & Development 1. Latest technologies like plant tissue culture are also used for the purpose. Pasta sauces and other sauces. ayurvedic products are normally perceived to be safe. • New formulations for still lemon Drink. Food: Focus of R&D efforts was on development of new products and cost reduction of existing products for the brands Real. b) Efficacy and safety evaluation of the products: Latest scientific tools like in-vitro studies.Chyawan Junior. Specific area in which R & D carried out by the Company The R&D efforts are dedicated to development of new products and continuous improvement in process. These programmes are essentially centred on medicinal plant speciesfacing variable degrees of supply constraints. Foods. Although. The combined efforts ensured a strong product portfolio in all categories including Ayurvedic. Fizz Lemon Drink. • Cost reduction in Burrst. cell based assays and in-vivo studies to generate claim support data were applied on both existing and new products. yet data was generated on safety using reliable scientific procedures in the larger interest of discerning consumers. • New formulations for drinking yogurt. • Development of six variants of Bar syrups. Home Care and Personal Care products. Glucose. . • Development of new flavor variants in Hajmola candy Mint Masti and Pudina Chutney. Real. • New fruit variants with Apricot and five fruit blends for Real. Honey and other health foods. Health Care. Besides the above. • Development & commercialization of Fiber fortified beverages in active. Lemoneez and Dabur . research was also carried out in process validation and technology transfer of Ayurvedic products. Upgrading the quality standards on continuous basis to ensure batch to batch consistency was also undertaken. in general.

Chirayata (Swertia chirata). Contract farming projects in Himachal Pradesh and other states have been commissioned. self sufficiency have been achieved for three endangered. minerals. OTC Pharma products • Honitus Day & Night .comprising vitamins. bone. Benefits derived as a result of the above R & D Ayurvedic: a) Company has been able to launch several new products. b) Efficacy and safety evaluation of the products : The R&D centre conducts required safety studies as well as proof-of-efficacy studies for products.containing vitamins. temperate medicinal plants -viz. • Nature Care Orange – A tasty formulation containing Isabgol and orange flavour for constipation. new fruit juice and beverages. a unique concept launched first time in India. Mandura Bhasma. Kantalauha Bhasma. The complex shall be provided with latest environmental control systems. Indian Pharmacopoeia Edition 2010 has included several monographs of medicinal plants out of which significant contribution on the Neem and Lavang monographs have been made by R&D Division and same has been acknowledged in Indian Pharmacopoeia. proteins and carbohydrates. Two of these projects put wastelands into use. Kuth (Saussurea lappa) and Pushkarmool (Inula racemosa). Pastes. The study on Dabur Mensta syrup indicated its estrogen stimulation activity governed by functional ovaries and its use for the management of dysmenorrhoea. A few studies conducted using modern scientific tools are: In-vitro assessment of Dabur Chyawanprash suggested that it possesses immuno-modulatory and antiallergic activities. d) Bio Resources Development : As a result of well-conceived programmes of backward integration. Metrorrhagia and mennorrhagia and also mechanism of action for the same was established. Bio Resources development group has also been commissioned by National Medicinal Plants Board for development of plant parts substitution. herbal supplements to cater the specialty needs of women like all day stamina. Swarna Makshika Bhasma and Tamra Bhasma. Foods: Broadly the benefits derived are as follows: • Development of new products in beverage and Culinary category. Development of quality standards of raw materials and finished products : R&D centre has been co-ordinating with Ayurvedic pharmacopoeia committee to develop quality standards of five Bhasmas viz. . Nutraceutical products • Dabur Nutrigo Total . Thus it was established scientifically that Dabur Hajmola is not just a tasty chew tablet. This is an ongoing process and the standards thus developed would become part of Ayurvedic Pharmacopoeia of India in a due course of time. Bar syrups variants will increase the product folio and sales. other than its preventive potential.for Skin ailments Apart from the above improved Honitus lozenges through enrichment of herbal extracts. Dabur Hajmola tablet demonstrated digestive stimulant properties by increasing activities of enzymes which plays crucial role in digestion of fats. The In vitro assessment of Tuvarak (Chaulmogra) Tail suggested its melanogenesis stimulatory activity. viz.an aphrodisiac • Gandhak Rasayan . • Pudin Hara Lemon Fizz. Classical Ayurvedic products • Saptavinshati Guggulu . skin and hair health with a healthy heart. Abhraka Bhasma.for cultivation of Bhumi amalaki (Phyllanthus amarus) and Nagarmotha (Cyperus scariosus) deploying novel-agro technologies. fistula and wound healing • Pushpadhanwa Ras .for Piles.a tasty effervescent formulation for gas and acidity.a combo pack containing two distinct tablets for day and night use to treat cold. c) .. The study proved scientifically the mechanism of action of Dabur Tuvarak Tail in vitiligo.has also been developed. emotional well-being. minerals and herbal supplements that provides all day energy with stamina & strength for active men • Dabur Nutrigo Women . but also has digestive properties. Both these results suggested that Dabur Mensta syrup is useful in the treatment of Dysmennorrhoea. Proprietary Ayurvedic products • Dabur Chyawanprash in two new flavors Orange & Mango. Bio Resources group has embarked upon an ambitious project to develop and commission Green House and seed production complex which would provide us about five millions saplings in future. Such projects have also been expanded to three more species during the year.78 | Annual Report 2010-11 2. A project has been initiated to replace the use of barks with renewal of plant parts in case of five species. These studies also proved that Dabur Chyawanprash has potent curative anti-allergic action also.

chewing gums etc. Gravy mixes and Bhuna masalas under Hommade. Concept of Toilet protection technology shall be taken up further to prototyping from the drawing board. Real & Activ. Smoothies. In the Odonil blocks segment. Commercialization of different variants in candy. Bio Resources Development programme would continue to receive adequate thrust in times to come. This will help to introduce new Fizz products in PET bottle formate. blowers. a technology to stabilize fragrance in Acid has been developed which will add value to the toilet cleaner. .Dabur India Limited | 79 Directors’ Report • • • Fizz variants under Burrst brand will be lauched in Q1 2011. Research has also been carried out on various long lasting fragrances in aerosol and the products have been launched successfully. Liquid Hand wash). In personal application. Home Care: Upgradation of current Aerosols into Malodor & Antibacterial solutions shall be worked out. Sugar cane juice. Denture Adhesive Cream has been developed for US Pvt Label market. development of a more trendy & convenient aerosol product is on cards.Gold Bleach Uveda Face Mask . Glucose powder and Dabur Honey. Tomato paste for institutional market. Fruit Ice teas. The programme shall be extended to other species while expanding the areas under cultivation and ensuring sustained deliveries from the existing projects.Vatika Coconut Enriched Hair oil for Egypt market GCC & Egypt market . varianting of odomos with different fragrances such as rose and jasmine have been developed. Development of Coconut water. Develop digestive Hajmola jellies. In the personal repellents category. Rationalization of formulation has been carried out in the Fem range of products (Bleaches. New & novel methods of room freshening through Air conditioners. In the Fabric care category light duty detergents & post wash applications shall be also explored. In Sanifresh. Foods: Future plans in this category are: Commercialization of new fruit beverages and milk based under Burrst.Launch of Mouthwash (Auromere. Personal Care: New technologies and products shall continue to be focused in all the major categories of Personal care for Indian and Overseas business. Personal Care: The R&D efforts have lead to the development and launch of following products: Oxy Facial Kit . 3. Promise) in US & European market. Hair oils etc. technology has been worked out to double the fragrance levels & build aesthetic shapes. Introduction of post meal mouth freshener as a product extension in Hajmola will help to enter “Hajmola” brand in new category of products in near future. Vatika Shampoos.Fem Hand Sanitizer Hamam zeit conditioner for GCC & Egypt market . etc shall be explored.Uveda Complete Repair 5 Cream Uveda Complete Repair 5 Mask .Amla Anti Dandruff hair Cream for GCC market Extension of Vatika Hair Oil and Shampoo range for .Launch of Dermoviva range of Hand Wash & Lotion Establishment of Toothpaste and Personal Care in GCC market manufacturing facility in Egypt. Optimisation of the active level in Oil has been successfully carried out to enhance the duration of efficacy. Milk and fruit beverages. . Future plan of action: Ayurvedic: To continue to provide the benefits of Ayurvedic healthcare system to masses by continuing R & D efforts. Fabric Softener improvements with respect to viscocity & fragrance lasting has been carried out. New product variants in Hajmola candies and Glucose is expected to be launched by Q2 2011 which will help in increasing the sales volume by introduction of differential variants. The developmental endeavor shall be designed to address the consumer needs in the specific context of lifestyle ailments and such other niche areas. A few value engineering projects have been initiated in the leading brands. Home care: In Air Care segment the Company has entered the room freshener electrical segment by giving various fragrance options on continuous basis.

701 lacs 0. product development. 104083/.received from State Electricity Board. Adoption and Innovation 1. Efforts. Recycling of Vacuum pump cooling water for environment savings. adoption and innovation Energy Conservation and Efficiency improvement Use of energy efficient CFL lamps in all plants. Installation of herbal extractors by replacing old boiling pans. Use of ETP (Effluent Treatment Plant) treated water in cooling tower for makeup purpose and for gardening. . Power Factor incentive of Rs. 368 lacs Rs. Pneumatic conveying & shrink wrap machine implemented in the Hajmola project at Jammu. process engineering and all other key areas of product development to improve the Net contribution of brands. cost reduction.g. Increased productivity Reduction in power usage and thereby reducing cost of production. Improved efficiencies and productivity. Better waste disposal. 333 lacs Rs. Four number of tilting kettles provided for making amla pishti resulting in energy saving (steam consumption) and safer operation at Katni.80 | Annual Report 2010-11 Cost effectiveness will be pursued vigorously in vendor development. Upgradation in manufacturing Use of Ambiator system instead of Air conditioning for comfort conditions. conventional sleeving machine for Dabur Chywanprash replaced with rotary pucks for better and even sleeving quality and increased productivity. Bio briquettes are environment friendly and involves low cost. ETP process modified – Gravimetric dosing of lime in place of power driven dosing at Sahibabad. Successful installation of FFS (Form Fill Seal) machines of 4 ml & 70 ml Dabur Anmol Coconut Oil Pack at Pithampur Installation and commissioning of Vacuum Booster in concentration plant in order to improve the productivity & quality at Jalpaiguri Honey processing through Centi Therm (CT-6) machine installed. Cleaner environment. Saving of substantial amount in Fuel cost due to change in Boiler fuel. Improved hygiene conditions. Usage of Earthen Pot in place of Crucibles in Bhasma manufacturing process at Sahibabad.212 % Technology Absorption. Benefits derived as a result of the above efforts e. Installation of Bio Briquette fired boiler by replacing the Furnace oil fired boiler. FBE (Fluid Bed Evaporator) 1300 with Thermic fluid heater. 4. Expenditure on R&D (2010-11) a) Capital b) Recurring c) Total d) Total R&D expenditure as a percentage of Total Turnover Rs. Reduction in consumption of fuel Product improvement Resulted in cost saving Reduced Steam consumption Safe Working Condition Improved quality 2. import substitution etc. Waste Management In-house manufacturing of Bio Briquettes started from the Herbal Waste generated from Boiling Section at Sahibabad. made towards technology absorption. in brief. product improvement. Saving of LPG in canteen by using bio gas from ETP.

Ltd. areas where this has not taken place. Dabur Securities Pvt Ltd Eastern Enterprises Elephant India Advisors Pvt. Ltd.B. Propmart Pvt. Ltd. Dabur Ayurvedic Specialities Ltd. Karima Burman Ms Sujata Burman V C Burman HUF Mrs Asha Burman Mr Amit Burman Mrs Divya Burman Master Adhiraj Burman Ms Diya Burman Mrs Gauri Tandon Mr Sandeep Tandon G C Burman HUF Mr Pradip Burman Mrs Meera Burman Mr Chetan Burman Mrs Pooja Burman Master Kamran Burman Ms Eishana Burman Ms Devika Burman Pradip Burman HUF Mr Sidharth Burman Mrs Indira Burman 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 Mr Saket Burman Sidharth Burman (HUF) A. Burmans Finvest Pvt.V.B. Ltd. Acee Enterprises Althea Lifesciences Limited Angel Softech Pvt. Newage Capital Services Pvt Ltd. Vansh Holdings Pvt. In case of imported technology (imported during the last 5 years reckoned from the beginning of this financial year) following information may be furnished: a) Technology imported i. Ltd. Excellent (India) Private Limited Green Valley Products Pvt Ltd Gyan Enterprises Private Limited IMB Infrastructures Pvt ltd. Finance Pvt.Limited Chowdry Associates CNS Infotech (I) Pvt Ltd.Ltd. Jetage Infrastructure Limited.Dabur India Limited | 81 Directors’ Report 3. M. Ltd. Northern Herbal Farms Pvt Ltd Puran Associates Private Limited Ratna Commercial Enterprises Pvt. 2006-07 2007-08 c) d) Yes N/A Annexure ‘6’ Group for interse transfer of shares under clause 3(1) (e) of Securities & Exchange Board of India (Substantial Acquisition of Shares and T akeovers) Regulations.Ltd.A. Ltd Vertex Broadcasting Co. Milky Investment Windy Investment M. Western Enterprises Windy Investments Pvt Ltd Wrapster Foods Pvt. B R Bee Products Pvt Ltd.B. 1997 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 Mr Ashok Chand Burman A C Burman HUF Dr Anand Burman Mrs Minnie Burman Mr Aditya Burman Mrs. Holdings Pvt Ltd Burman Resorts Pvt Ltd. Ltd. Investment M. Interx Laboratories Private Limited KBC India Private Limited 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 Lite Bite Foods Pvt Ltd. Odomos Coil manufacturing Technology from Malaysia ii. Elephant India Finance Pvt Ltd. Semi automatic Tablet Counting & Filling Machine Labeling and cartooning machines Tetrapak straw applicator Has technology been fully absorbed If not absorbed. Finmart Pvt Limited Malhotras Trading Company Pvt. ii. Burman Investment Burman Brothers . B. Milky Investment & Trading Company Moonlight Ranch Private Ltd. Sahiwal Investment & Trading Company Sanat Products Limited Shree Investments Private Limited Southern Enterprises Sunshine India Pvt Ltd Upvan Farms & Services Pvt. A. Shivani Burman Ms Anisha Burman Mr Vivek Chand Burman Mrs Monica Burman Mr Mohit Burman Mr Gaurav Burman Mrs. reason therefore and future plan of action b) Year of import i. Consortium Consumercare Pvt. Dabur GI Invest Corp Dabur Invest Corp Dabur Investment Corporation Dabur Pharmaceuticals Ltd. Pvt Ltd VIC Enterprise Private Limited Welltime Gold & Inv Pvt. Ltd.B.

and c) In the case of cash flow statement. Based on audit procedures applied by us and according to the information and explanations provided by the b. In our opinion and according to the information and explanations given to us. and on the basis of such checks of the books and records of ‘the company’ as we considered appropriate and according to the information and explanations given to us. we enclose herewith in the annexure a statement of the matter specified therein. We have audited the attached Balance Sheet of Dabur India Limited (‘the Company’) as at 31st March. During the course of our audit no major weakness has been noticed in the internal controls. 4. We have not observed any failure on the part of the company to correct major weakness in internal control system. b. we are of the opinion that ‘the company’ is maintaining proper records of inventory. ‘The company’ has neither granted nor taken any loans. proper books of account. a. The inventories have been physically verified at reasonable intervals during the year by the management. as well as. 1956. As informed. vi. On the basis of our examination of the records of inventory. In our opinion. the said accounts read in conjunction with Schedules A to O and read with other notes appearing in Schedule “P” give the information required by the Companies Act. . as required by law have been kept by the Company so far as appears from our examination of books of account. iv. The fixed assets have been physically verified by the management at reasonable intervals. 1956. The Balance Sheet and Profit and Loss Account dealt with by this report are in agreement with the books of account. 2011. c. ‘The Company’ has maintained proper records showing full particulars including quantitative details and situation of fixed assets. We believe that our audit provides a reasonable basis for our opinion. i. vii. we report that none of the directors of ‘the company’ is disqualified for the office of the director within the meaning of section 274 (1) (g) of the Companies Act. evaluating the overall financial statement presentation. Our responsibility is to express an opinion on these financial statements based on our audit. or other parties covered in the register maintained under section 301 of the Companies Act. On the basis of written representations received from the directors as on 31st March. An audit includes. a. firms. of the State of Affairs of ‘the company’ as at 31st March. in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India. 1956. a) In the case of Balance Sheet. evidence supporting the amounts and disclosures in the financial statement. 2. 2011 and taken on record by the Board of Directors. Basu & Co.9390 Annexure to the Auditors’ Report as referred to in Para I of the said Report of even date. We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purpose of audit. b) In the case of Profit and Loss Account. 1956. a. and. 2011 and its Profit & Loss Account and the Cash Flow Statement for the year ended on that date annexed thereto. As required by the Companies (Auditors’ Report) Order 2003. v. secured or unsecured to/from companies. of the cash flows for the year ended on that date. 3. Chartered Accountants Firm Registration No. Balance Sheet and Profit & Loss Account have been prepared in due compliances of Accounting Standards referred to in sub section (3C) of section 211 of Companies Act.301174E New Delhi Date 27th April 2011 ANIL KUMAR Partner Membership No. no material discrepancies between book records and the physical inventories have been noticed on such verification. For G. issued by the Central Government in terms of section 227 (4A) of the Companies Act. 1. These financial statements are the responsibility of the company’s management. of the Profit for the year ended on that date. The discrepancies noticed on verification between the physical stocks and book records were not material and have been properly dealt with in the books of accounts. We conducted our audit in accordance with auditing standards generally accepted in India. as amended. Fixed assets disposed of during the year were not material enough to affect the going concern identity of the company. 1956. examining on a test basis. An audit also includes assessing the accounting principles used and significant estimates made by management. These standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement.82 | Annual Report 2010-11 Auditors’ Report To the Members of Dabur India Limited. The procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the company and the nature of its business. 5. c. In our opinion and according to the information and explanations given to us there is an adequate internal control system commensurate with the size of ‘the company’ and the nature of its business for purchase of inventory and fixed assets and on the sale of goods. iii. ii.

33 6.M. Writt pettion filed with before High Court.49 0. Writt pettion filed with before High Court. Commisioner-Appeal Pending before Dy.44 10.D.12 27. b.77 7.61 9. on turnover tax & surcharge Intt. income tax. Commissioner Pending before Kolkata High Court ST. Classification of L. 1956 in respect of products of ‘the company’ covered under the rules under said section have been maintained.02 0. appellate and Revisional Board Pending before High Court.M. Classification of L.15 2.28 2. cess and other statutory dues to the extent applicable to it. In our opinion and according to the information and explanations given to us. appellate and Revisional Board ST. Commissioner-Appeal Pending before Dy.31 18. appellate and Revisional Board Pending before Dy. According to information and explanations given to us. detailed examination of such accounts and records.03 7. vis-à-vis forums where such disputes are pending are mentioned below: Forum where the dispute is pending ST.70 30. sales tax. appellate and Revisional Board Pending before Dy. b. wealth tax.07 25. However we are neither required to carry out nor have carried out any Nature of the dues Classification of Hajmola Candy Classification of Hajmola Candy Classification of Hajmola Candy Sales tax on stock transfer Short collection of export certificates Dispute on Tax Rate Intt. we are of the opinion that contracts or arrangements referred to in section 301 of the Act have been entered in the register maintained under that section. Commissioner-Appeal Name of Statute Sales Tax -do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do- Period to which the amount relates 1997-98 2000-01 2001-02 1991-02 2003-04 1999-00 2001-02 2002-03 2000-01 1996-97 2004-05 1999-00 2003-04 2004-05 2003-04 1999-00 2004-05 2004-05 2005-06 2006-07 2006-07 1990-91 1991-92 1992-93 1993-94 1994-95 1997-98 1998-99 2006-07 2006-07 .35 7. There is no disputed due on account of wealth tax and cess. the transactions made in pursuance of such contracts or arrangements have been made at prices which appear reasonable as per information available with ‘ the company’.32 13. on turnover tax & surcharge Dispute on Tax Rate Tax Imposed on Hajmola Candy Classification of Hajmola Candy Classification of gulabari Entry tax matter Entry tax matter Turnover tax on CSD Form 18A dispute Dispute on Tax Rate of Juice Not filling of Form F Classification of Hajmola Candy Non submission of Form F Non submission of custom certificate Classification of L. On the basis of records produced we are of the opinion that prima facie cost records and accounts prescribed by the Central Government under section 209 (1) (d) of the Companies Act. investor education and protection fund.34 0. ‘The Company’ has not accepted any deposits from the public.72 25. Commisioner-Appeal Pending before asstt.17 24.47 0.66 26.25 7. appellate and Revisional Board Pending before High court Pending before High court Pending before High court Writt pettion filed with before High Court. Commisioner-Appeal Pending before Tribunal Pending before Dy. excise duty.79 15. Writt pettion filed with before High Court.20 7.M. In our opinion ‘the company’ has an internal audit system commensurate with it’s size and nature of its business. 7. a. no undisputed amounts payable in respect of the aforesaid dues were outstanding as at 31st March. appellate and Revisional Board ST.Dabur India Limited | 83 Financials 6.84 3.82 2. Pending before Dy.45 96.47 0. 8. 2011 for a period of more than six months from the date of becoming payable. management.88 0. ‘the company’ is regular in depositing with appropriate authorities undisputed statutory dues including provident fund.D. employees state insurance. Commissioner-Appeal Pending before asstt.58 11. service tax. Commissioner Pending before Tribunal Pending before Tribunal Pending before Dy. Dues on account of Sales Tax/ Income Tax/ Excise Duty /Service tax disputed by the company and not being paid. Commisioner-Appeal Pending before Dy. Patna ST. According to the information and explanations given to us. Commisioner-Appeal ST. appellate and Revisional Board ST. custom duty. Classification of Hajmola Candy Classification of Hajmola Candy Classification of Hajmola Candy Classification of Hajmola Candy Non submission of Form C Non submission of Form F Amount (Rs in lacs) 62. appellate and Revisional Board ST.D.39 9.

Commissioner Pending before Dy. of form C Fem products Dispute on entry tax Dispute on Vat Non submission of Form F Dispute on Tax Invoices Dispute on coconut oil Dispute on taxability on Chyawanprash Dispute on entry Tax on purchases Dispute on @1% Vat on Glucose Dispute on taxability on odonil Dispute on taxability on odonil Dispute on taxability on odonil Damage distruction disallowed & brand issue Dispute on stock transfer Dispute on stock transfer Dispute on taxability on odonil Demand u/s 158 BFA Penalty u/s 271 (1) (C) Demand u/s 143 (3) Demand u/s 201(1A) -do-doModvat on Capital goods Amount (Rs in lacs) 27. Commissioner Appeal pending before asstt.Bengal Appeal pending before sales tax appellate authority Appeal pending before sales tax appellate authority Appeal pending before asstt.85 198. Delhi -doCIT (A). Commisioner-Appeal Pending before Dy.97 0.97 2.90 75.11 49.97 35. Commissioner-Appeal Pending before Dy.68 7. Commisioner-Appeal Pending before Dy.72 115.60 0. Commissioner Appeal pending before asstt. Commisioner-Appeal Pending before Dy. Commisioner-Appeal Pending before Dy. Commisioner-Appeal Pending before Dy.27 1.47 455. Commissioner-Appeal Pending before Dy.83 26.11 6.22 11.27 2.Bengal Pending before Tribunal. Commisioner-Appeal Pending before Dy. Commisioner-Appeal Pending before Dy.46 2. Commissioner Appeal pending before asstt.53 0. Commissioner-Appeal ST.89 39.W. Commissioner Appeal pending before asstt.87 0. Commissioner-Appeal Pending before Dy. Commisioner-Appeal Pending before Addl. Commissioner Appeal pending before asstt.78 1. Transporter related issue.94 10. Commisioner-Appeal Pending before Dy.91 0. Commissioner-Appeal Pending before Dy. Commisioner-Appeal CIT (A). of form C Fem products Short Recd.Commissioner Appeals Dy.92 14.89 2.21 3. Truck detained at check post.95 0. Classification of Hajmola Candy Non submission of form C Classification of Hajmola Candy Classification of Hajmola Candy Disallowed of Export sales DIL Disallowed of Export sales food Demand of Fem products Disallowance of Form C Fem Disallowance of export certificate Fem Sales enhance of Fem products Rejection due to not filing statement of Fem Short Recd.48 13. Commissioner-Appeal Pending before Dy.15 12. appellate and Revisional Board ST.Commissioner Income Tax Demand u/s 143(3) 1996-97 to 2002-03 CIT (A).10 5.58 0.84 0. Commissioner Appeal pending before asstt.08 514. Commisioner-Appeal Pending before Dy.97 55. Commissioner Appeal Pending before Dy.84 | Annual Report 2010-11 Name of Statute Sales Tax -do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do-do- Nature of the dues Dispute on coconut oil Dispute on coconut oil & Hajmola candy Dispute on coconut oil & Hajmola candy Dispute on coconut oil.82 Period to which the amount relates 2008-09 2005-06 2005-06 1998-99 2006-07 2004-05 2003-04 2003-04 1998-99 1999-00 2007-08 2007-08 2005-06 2005-06 2006-07 2007-08 2007-08 2002-03 2003-04 2004-05 2007-08 2007-08 2007-08 2008-09 2006-07 2006-07 2010-11 2006-11 2001-02 2000-01 2001-02 2001-02 2001-02 2002-03 2002-03 2004-05 2003-04 2006-07 2007-08 2008-09 2007-08 1993-2001 1996 Forum where the dispute is pending Pending before Dy. Commisioner-Appeal Pending before Dy.76 11. appellate and Revisional Board Pending before Tribunal.W.79 7.63 34. of form C Fem products Short Recd.02 6. Commisioner-Appeal Pending before High court Pending before Dy.99 3.85 28.90 0.70 81.60 0. Mumbai Excise Duty Classification of Anmol Coconut Oil .83 173. Commissioner Appeal pending before asstt. Delhi -do-do-doDy.

In our opinion and according to the information and explanations given to us. ‘The company’ has made preferential allotment of shares under their ESOP Scheme to the parties covered in the register maintained under section 301 of the Companies Act. Based on our examination of the records and evaluations of the related internal controls. paragraph 4 (xiii) of the order is not applicable.34 0. 17. 15. ‘the Company’ is not a Chit Fund/ Nidhi/ Mutual Benefit Fund/ Society.301174E New Delhi 27th April. 2011 ANIL KUMAR Partner Membership No 9390 . 14. ‘The company’ has not granted any loan or advance on the basis of security by way of pledge of shares. debentures and other securities. 19. BASU & CO. ‘The Company’ has not raised any fund through public issue during the year.77 73. we are of the opinion that proper records have been maintained of the transactions and contracts relating to shares.60 29. 13. there were no frauds on or by ‘the company’ noticed or reported during the year. For G. securities.22 498. debentures and other investments dealt in by ‘the company’ and timely entries have been made in the records. ‘The Company’ has not issued any secured debentures during the year. 1956 during the year.91 4.75 0.34 8. 18.07 174. 11.17 176.33 Period to which the amount relates 1998 2004-05 1994-2003 2004-05 1994-2000 01/00-02/02 04/01-03/05 05/05-06/06 04/04-12/08 2004-05 2001-02 2002 2005-06 1997-2003 08/01-10/02 04/03-03/08 10/96-09/00 2006 1988-2010 2006 2006 1996 Forum where the dispute is pending Tribunal Commissioner Appeals/High Court Commissioner-Appeals Commissioner Commissioner Tribunal Tribunal Tribunal Commissioner Appeals Tribunal Commissioner-Appeals Commissioner Appeals Tribunal Tribunal Commissioner Commissioner Appeals Commissioner Appeals Tribunal Tribunal Tribunal Commissioner (Appeal) -do- Excise Duty Modvat on inputs (57H) Hajmola Candy Classification on Animal Feed supplement Post manufacturing expenses Classification of Janma Ghunti Kewra Water S Tax on Royalty Service tax on ISD Service tax on FO Classification of Processed Tamarind Kewra Water Post Manufacturing Expenses Capital Goods Removal Valuation of Docetaxel/Paclitaxel Freight on Wt average MOT Charges PME Exemption in Backward Area Chyawanprash Classification Gulabari/Keora Water/Shilajit PME Modvat on Capital Goods 10.42 113.91 259.00 124. bank or debenture holder.35 2463. We also report that ‘the company’ has held the shares. 20. Accordingly. 16.00 442.60 0.95 3. The price at which these shares were issued are not prima-facie prejudicial to the interest of the company.86 3. The term loans taken by ‘the company’ have been applied for the purpose for which they were raised. ‘The company’ has given guarantees for loans taken by others from banks or financial institutions.34 1. securities. Chartered Accountants Firm Registration No.38 79. 12.47 58.96 30. ‘The Company’ has not incurred cash losses in the financial year and in the immediately preceding financial year. No short term fund has been applied for long term purpose. Based on information and explanations furnished by the management. ‘The Company’ does not have accumulated losses at the end of the financial year.Dabur India Limited | 85 Financials Name of Statute -do-do-do-do-do-do-do-doExcise -do-do-do-do-do-do-do-do-do-do-do-do- Nature of the dues Amount (Rs in lacs) 2. Based on our audit procedures and as per the information and explanations given by the management. debentures and other investments in its own name except for those pending transfer in Company’s name. 21. The terms and conditions there-of are not prima facie prejudicial to the interest of the company. we are of the opinion that ‘the company’ has not defaulted in repayment of dues to any financial institution. which have been relied upon by us.

053 129. Dr.688 26.246 19.427 8.932 49.86 | Annual Report 2010-11 Balance Sheet as at March 31.426 34.923 68.Whole time Director Sunil Duggal .095 2.536 103.195 87.598 EA 49.GM (Finance) & Company Secretary .600 87.295 4.Whole time Director A.844 13.241 44.997 1.512 91.600 10.130 76.757 23. Loans and Advances : Inventories Sundry Debtors Cash & Bank Balances Loans & Advances Less: Current Liabilities and Provisions : Liabilities Provisions Net Current Assets : Miscellaneous Expenditure : (To the extent not written off or adjusted) Notes to Accounts Total IA P F A B C D EB As at March 31. Jain .938 25. 2011 (All amounts in Indian Rupees in lacs except share data) Schedule SOURCES OF FUNDS : Shareholders’ Funds : Capital Reserves & Surplus Loan Funds : Secured Loans Unsecured Loans Deferred Tax Liability (Net) : Total APPLICATION OF FUNDS : Fixed Assets : Gross Block Less : Depreciation Net Block Capital work in Progress (including capital advances) Investments : Current Assets.192 50.D.331 47.851 G H 46.744 1.K.740 137.407 92.987 110.795 43. 2010 17.579 274 137.248 2. 2011 As at March 31.628 53.130 As per our report of even date attached For G.048 16. Narang . Anand Burman .216 26.709 1.164 29.010 87.628 45.206 44.723 23.690 66. Chartered Accountants Anil Kumar Partner Membership Number: 9390 Place: New Delhi Dated: 27th April.948 51.391 32.Chairman P. 2011 For Dabur India Ltd.116 8.434 8. BASU & CO.058 20.570 74.756 1.

891 23.846 0 207 13. 2011 (All amounts in Indian Rupees in lacs except share data) Schedule INCOME : Sales Less Returns Less: Excise Duty Net Sales Other Income Total Income EXPENDITURE : Cost of Materials Manufacturing Expenses Payments to and provisions for Employees Selling and Administrative expenses Financial Expenses Miscellaneous Expenditure Written off Depreciation Total Expenditure Balance being Operating Net Profit before Taxation Provision for Taxation Current Deferred Net Profit After Taxation Balance Brought Forward Provision for Taxation of earlier years written back Provision for Taxation of earlier years APPROPRIATIONS : Interim Dividend Proposed Final Dividend Final Dividend (for earlier year) Corporate Tax on Interim Dividend Corporate Tax on Proposed Dividend Excess Corporate Tax on dividend of earlier year provided written back Transferred to Capital Reserve Transferred to General Reserve Balance carried over to Balance sheet EARNING PER SHARE (in Rs) after consideration of extraordinary items Basic Diluted EARNING PER SHARE (in Rs) without consideration of extraordinary items Basic Diluted NOTES TO ACCOUNTS P As per our report of even date attached For G.946 331.099 326.234 65.69 Dr.GM (Finance) & Company Secretary .Whole time Director Sunil Duggal .293 1. 2010 287.191 237.208 6.K.50 2.49 2.832 8.393 7.940 545 47.D. 2011 For Dabur India Ltd.065 8.446 1.49 J K L M N O IB 165.966 404 43.141 52.349 566 3. For the year ended March 31.836 -40 134 5. Jain .773 271.71 2.69 2. 2011 329.618 21.991 1.164 289.954 2.626 11.498 10.057 52.000 52.358 285.757 59.596 4.383 For the year ended March 31.706 1.Chairman P.000 71.704 11.760 137.703 8.691 (19) 19 99.084 67.832 2. BASU & CO.437 4.Dabur India Limited | 87 Financials Profit & Loss Account for the year ended March 31. Anand Burman .660 3. Narang .50 2.71 2.104 1.315 15 1.536 3.422 99.691 86208 2.894 -2 21 86.862 0 1.333 42.Whole time Director A. Chartered Accountants Anil Kumar Partner Membership Number: 9390 Place: New Delhi Dated: 27th April.

207 15. 2010 52.Whole time Director Sunil Duggal .196) (2.633 6 2.836) 1.88 | Annual Report 2010-11 Statement of Cash Flow (Pursuant to AS-3) Indirect Method (All amounts in Indian Rupees in lacs except share data) Particulars A.685 (525) (6.823 560 9. Cash Flow from Investing Activities Purchase of Fixed Assets Sale of Fixed Assets Purchases of Investment including Investment in Subsidiaries Interest Received Sale of Investments Cash Used(-)/(+)Generated For Investing Activities (B) C.754 33. Chartered Accountants Anil Kumar Partner Membership Number: 9390 Place: New Delhi Dated: 27th April.Whole time Director A.574) (22.241 27 2.522) (3. BASU & CO.252) (8. Cash Flow from Operating Activities Net Profit Before Tax and Extraordinary Items Add: Depreciation Loss on Sale of Fixed Assets Fixed Assets Discarded Miscellaneous Exp.214 8.959 (12.837) 789 517.268 244 8.145 (25.461 12.861 (7.703 3.738 (6.493 951 172 For the year ended March 31.304 9.293 11.456) 310 (476.K.191 43 159 594 353 560 (15) 789 1.836 46.017 1.536) 59.179 (22.044 460.222) 14 (510) (276) (660) 15. Written off Miscellaneous Exp.774 (532. Narang . 2011 For the year ended March 31.850 16.787) 1.588 2.885 57.965) 25 (822) 591 (4.D.417 (19. Anand Burman .789) 2.067 2.575 16. Cash Flow from Financing Activities Proceeds from Share Capital & Premium Repayment(-)/Proceeds (+) of Long Term Secured Liabilities Repayment(-)/Proceeds(+) from Short Term Loans Repayment (-)/Proceeds(+) from Loan to Subsidiaries Repayment(-)/Proceeds(+) from other Unsecured Loans Payment of Dividend Corporate Tax on Dividend Cash Used(-)/+(Generated) in Financing Activities (C) Net Increase(+)/Decrease (-) in Cash and Cash Equivalents (A+B+C) Cash and Cash Equivalents Opening Balance Cash and Cash Equivalents Closing Balance Cash and Cash Equivalents (Year End) Cash in Hand Cash at Bank : Current Accounts Fixed Deposits Remittance in Transit As per our report of even date attached For G.287 16.293 72 1.864 49.626 3. 2011 59.773 22 2 262 3.696) (4.391 19.391 13 4. Written off (Included in Director Remuneration) Interest Unrealised Loss / (Gain) in Foreign Exchange Less: Interest Received Profit on Sale of Investment Profit on Sale of Assets Operating Profit Before Working Capital Changes Working Capital Changes Increase/(Decrease) in Inventories Increase/(Decrease) in Debtors Decrease/(Increase) in Trade Payables Increase/(Decrease) in Working Capital Cash generated from operating activities Interest Paid Tax Paid Cash Used(-)/(+)Generated For Operating Activities (A) B.GM (Finance) & Company Secretary .451 4.Chairman P.299) 1.820 11.441 68.511 47 For Dabur India Ltd.616 65.301 55.184 16.116) 18.811) (15.615 1. Dr. Jain .

000 20. 1 each) 20.000 Issued and Subscribed: 1740723798 Equity Shares of Re. 11 under Employees Stock Option Scheme.455 66.5500.000 14.422 9.558 52.407 17.000 28. 4.407 As at March 31. 1 each) Share Capital Suspense Account 17.337 207 1. 10002170 (previous year 8610721) shares have been allotted upto 31st March.422 1. 5. 1 each (Previous Year 1450000000 Equity Shares of Re.074 1.228 52. on account of consideration of their merger in previous year.500 8. During the year the authorized capital of the company has been increased by Rs.Dabur India Limited | 89 Financials Schedule Annexed to and forming part of the Balance Sheet as at March 31.392 1.759 484 3.455 11.511 12.660 128 2.074 211 2.786 19. Of the above shares.690 NOTES : 1.052 (3. Of the above shares.854 71. 3.966 1. shares have been allotted as fully paid bonus shares without consideration money being received in cash.1 each in favour of minority shareholders of erstwhile Fem care Pharma Ltd.052) 15.500 14. Of the above shares 1391449 (previous year 2509581). which includes issue of Rs 870361899 (previous year NIL) shares during the year against capitalization of free reserve.558 5. issued & subscribed. SCHEDULE-B Reserves and Surplus Capital Reserve : As per last account Add : Transferred from Profit & Loss A/c Share Premium Account : Add: Premium on issue of Shares Less: Adjustment for merger General Reserve : As per last account Add: Transferred from Profit & Loss A/c Less : Adjustment for merger Less : Issue of bonus shares Profit and Loss Account : Employee Stock Option Scheme Outstanding : As per last account Add: Addition during the year Less: Allotted during the year Less: Deletion during the year Total 2. 46927956 shares have been allotted as fully paid up pursuant to scheme of amalgamation/merger without payment being received in cash which includes issue during the year 138462 number of shares of Re. 2.243 1. Of the above 1626079642 (previous year 755717743).1 each fully called up (Previous Year-867585830 Equity Shares of Re.660 3.709 1.558 8.786 13.676 14 8.678 2.681 92. 2010 14.248 .691 11. shares have been allotted during the year and 19627230 (previous year 1745965) shares are outstanding under Employees Stock Option Scheme.544 134 1.704 71.544 1.074 - 5. 2011 (All amounts in Indian Rupees in lacs except share data) As at March 31.074 9. 2011 SCHEDULE-A Share Capital Authorised : 2000000000 Equity Shares of Re.691 2.

Term Loans : I) Foreign Currency Loan (from Banks) Secured by: First charge on Land.757 2.000) . Citi Bank NA and HDFC Bank Ltd. Plant and Machinery and Movable fixed assets of Nashik Unit and Fixed Assets of Research and Development Division II) Deferred Payment Credit (other than Banks) Secured By : Hypothecation of Machines acquired under DPC B..from Banks : Secured by: Hypothecation of inventories and book debts ranking pari-passu among Punjab National Bank. Royal Bank of Scotland.987 8. Standard Chartered Bank Ltd. 702 As at March 31. 20. IDBI Bank Ltd. repayable within one year: Rs. 47. Short Term Loans . 2011 (All amounts in Indian Rupees in lacs except share data) As at March 31. Building.890 390 290 23.000 (previous year Rs.570 NOTES: Maximum amount of commercial papers outstanding during the year Rs. 2010 1039 133 190 922 1198 1. 31) Commercial Papers TOTAL 23. previous year Rs.319 409 259 7. 1988.90 | Annual Report 2010-11 Schedule Annexed to and forming part of the Balance Sheet as at March 31. Hongkong & Shanghai Banking Corporation Ltd.427 SCHEDULE-D Unsecured Loans Short Term Loan from Bank Security Deposit from Dealers and Others Sales Tax Deferred (Under Package Scheme of Incentives. 4. 2011 SCHEDULE-C Secured Loans A.

740 545 545 2. 2011 SCHEDULE-EA Current Liabilities and Provisions A.124 15.233 25.226 23.206 3.634 373 1 364 11. Small & Medium Enterprises Development Act.577 57 60 1.619 27 375 3. 2006.350 31.010 87.628 As at March 31.846 176 1.087 654 9.840 19 406 2. to the extent disclosed by such enterprises in their invoices.557 25.878 Note : SME units as above means small and micro enterprises registered under Micro. Provisions : For Dividend (Proposed) .Dabur India Limited | 91 Financials Schedule Annexed to and forming part of the Balance Sheet as at March 31.940 35.868 53.195 500 96 404 .164 49. 2011 (All amounts in Indian Rupees in lacs except share data) As at March 31.862 1. Current Liabilities : Acceptance Creditors for Goods SME Units (Principal) Others Creditors for Expenses and other Liabilities Advance from Customers Interest Accrued but not due Investor Education and Protection fund to be credited by : Unpaid Dividend B.836 176 906 199 7.905 172 19.216 43. SCHEDULE-EB Deferred Tax Liabilities (Net) Deferred Tax Liability : Depreciation Less: Deferred Tax Assets Other disallowances under section 43B of Income Tax Act.Final For Corporate Tax on Proposed Dividend-Final For Liabilities Disputed For Gratuity For Leave Salary For Others For Taxation : Brought forward Inherited from Merged Company Provision for the year Adjusted during the year 5.588 2.884 1.179 23.382 1. 1961 Provision for Disputed Liabilities Provision for Service Benefits Provision for Doubtful Advances Provision for Doubtful Debts Net Deferred Tax Liability (Decrease)/Accretion in Deferred Tax Liability Less: Deferred Tax Liability inherited from Merged Entity Deferred Tax Liability provided during the year 53 54 1.536 103.228 3.015 1.300 23.147 8.912 1 304 10.288 11.325 389 6.315 1.128 1.288 44. 2010 6.

2010 Name of the Asset A) Tangibles 970 25.204 3.192 3.176 68.948 47.957 806 649 1.172 2.SCHEDULE-F Fixed Assets (All amounts in Indian Rupees in lacs except share data) Opening Tfr From Merged Entity Gross Block Addition Deletion Closing Opening Tfr From Merged Entity Deletion Depreciation Addition Net Block Closing 31.439 998 1.688 23.713 22.002 727 16 5.161 3.755 (Previous Year Rs.999 170 16 2.628 3.350 4 994 620 199 258 3.407 275 5 2.262 71.697 819 848 26.054 21.880 23.940 77.677 5.331 47.483 2.439 378 406 45.203 3.905 12.03.331 71.273 388 33.766 2.426 2. 2011 Note : Capital work in progress includes advance against capital goods Rs.287 29.559 25 27.756 1.191 8.118 317 13.932 26.307 3.773 1.932 23.252 18.020 3.095 2.328 598 196 115 679 166 6 3.03.594 629 76.016 8.147 2.192 50.628 132 21 3.311 1.723 2. Roads & Culverts Plant & Machinery Computer Vehicles Furniture & Fixture Freehold Land B) Intangibles Computer Software Trade Marks & Patent Total Capital Work In Progress Total Assets Previous Year Schedule Annexed to and forming part of the Balance Sheet as at March 31.697 175 328 49.176 770 78 469 469 1.048 4.153 206 185 1.773 3.314 1.1390) .045 742 9.323 1.2011 31.873 916 709 1.628 1.108 970 85 10 95 875 885 20.426 Leasehold Land 92 | Annual Report 2010-11 Buildings.948 19.821 5.054 57.285 16.

00 (-) (35.937 (Sold during the year) Units 94560546.000 .6 (Sold during the year) Units 119447557.25 6 Taurus Mutual Fund (Purchase during the year) Units 1653134.266.000.000.68 14 Kotak Mahindra Mutual Fund (Purchase during the year) Units 137832710.91 7 Birla Mutual Fund (Purchase during the year) Units 87630277.000.61 (Sold during the year) Units 10114965.05 (Sold during the year) Units 91938653.03.68 (Sold during the year) Units 230718475.6 11 ABN Amro Mutual Fund (Purchase during the year) Units 141304710.Institutional Plus-Growth (Purchase during the year) Units 42818479.190. 2011 (All amounts in Indian Rupees in lacs except share data) Numbers ( As on 31.26 4 DWS Mutual Fund (Purchase during the year) Units 103827311.18 (Sold during the year) Units 141304710.47 10 IDBI (Purchase during the year) Units 119447557.808.2011) SCHEDULE-G Investments A Current Investments (Other than trade) I) Mutual Funds (Quoted) 1 Axis Mutual fund (Purchase during the year) Units 10114965.25) (432.34) (15.47 (Sold during the year) Units 452456.00) (-) (-) (-) (-) 10.18 12 Lotus Liquid Fund (Purchase during the year) Units 19243323.308.00 (-) (3.262.376.75 (Sold during the year) Units 173640972. 2011 As at March 31.90 As at March 31.61 2 LIC Mutual Fund (Purchase during the year) Units 2031199.63) (4.500 - - - - - - - - 1.39 8 CHOLA Liquid Fund .031.657 - 500 - 1.98 9 DSP Mutual Fund (Purchase during the year) Units 452456.83) 9.21 3 LIC Mutual Fund (Purchase during the year) Units 98658823.26 (Sold during the year) Units 19243323.98 (Sold during the year) Units 57818479.000 - - 4.646. 2010 (-) (-) (4.43 (Sold during the year) Units 103467237.000.937 5 DWS Mutual Fund (Purchase during the year) Units Nil (Sold during the year) Units 3646031.28 (Sold during the year) Units 2085324.15) - - - - - 734 964 - - 400 - 4.26 13 JPM Mutual Fund (Purchase during the year) Units 240718475.21 (Sold during the year) Units 2031199.413.808.Dabur India Limited | 93 Financials Schedule Annexed to and forming part of the Balance Sheet as at March 31.765.

06 (Sold during the year) Units 146673659.53) (-) 2.666.426.375 1.71 26 Templeton Mutual Fund (Purchase during the year) Units Nil (Sold during the year) Units 10906784.993.) 15 Principal Mutual Fund (Purchase during the year) Units 53205597.52 18 HSBC Mutual Fund (Purchase during the year) Units 42071769.24 25 Templeton Mutual Fund (Purchase during the year) Units 78104134.000 - 1.34 (Sold during the year) Units 54725601.500 - 5.07 (-) (10.345.000.77 20 Sundram Mutual Fund (Purchase during the year) Units 10777270.278.00 (-) (14.000.54 21 TATA Mutual Fund (Purchase during the year) Units 11896908.000. 2011 (All amounts in Indian Rupees in lacs except share data) Numbers ( As on 31.82 28 FIDELITY MUTUAL FUND (Purchase during the year) Units 151673659.99 (Sold during the year) Units 233089650.788.71 (Sold during the year) Units 78104134.41 23 HDFC Mutual Fund (Purchase during the year) Units 15130456.15 (Sold during the year) Units 129317414.947.500 - 500 250 - - - 1.92 22 UTI Mutual Fund (Purchase during the year) Units 52907027.50 16 Prudential Mutual Fund (Purchase during the year) Units 44725601.06) 500 - - 1.001.34 17 Reliance Liquid Fund (Purchase during the year) Units 225037990.33 As at March 31.22) (14.99) 10.16) (5.000.43 (Sold during the year) Units 66945401.000.225.501 - 1.491 - - - 2.03.906.96) (2.24) (-) (10.051.34) (-) (24.54 (Sold during the year) Units 10777270.85 24 HDFC Mutual Fund (Purchase during the year) Units Nil (Sold during the year) Units 2499225.50 (Sold during the year) Units 53205597.00) (8. 2010 - - 1.000.00 (20.499.70 (Sold during the year) Units 36890253.25 (Sold during the year) Units 67013453.06 29 CANARA Mutual Fund (Purchase during the year) Units 38182087.509.89 (Sold during the year) Units 20132404.784.583.500 .99 27 JM Mutual Fund (Purchase during the year) Units 140128693.94 | Annual Report 2010-11 Schedule Annexed to and forming part of the Balance Sheet as at March 31.01 (Sold during the year) Units 52765875.2011) SCHEDULE-G (Contd.811.000 - - 202 2. 2011 - As at March 31.659.106.4 19 SCB Mutual Fund (Purchase during the year) Units 48435735.4 (Sold during the year) Units 42071769.

00 (-) 2.Dabur India Limited | 95 Financials Schedule Annexed to and forming part of the Balance Sheet as at March 31.33 31 Peerless (Purchase during the year) Units 543913694.00 (-) 2. 2010 1.54 (Sold during the year) Units 539102560.00 (-) 400.00 (-) 200.416 2.00 (-) 500.874 2.500.500.000.00 (-) 1.413 2.00 (-) 4.00 (-) 500.706 As at March 31.000.03.00 (-) 1. (Purchased during the year) Units 500 4 Reliance Capital Limited (Purchased during the year) Units 500 5 Reliance Capital Limited (Purchased during the year) Units 400 6 Religare Finvest (Purchased during the year) Units 200 330.500.811.49 (Sold during the year) Units 121948289.318.02) 4.359 1.366 1.00 (-) 2.00 (-) 1.128.884 1. Ltd.00 (-) 500.00 (-) 100.85 (Sold during the year) Units 44719625.000 960 914 905 - 2. 2011 (All amounts in Indian Rupees in lacs except share data) Numbers ( As on 31.63 32 PRAMERICA (Purchase during the year) Units 44719625.18 (10.) 30 Bank of Baroda (Purchase during the year) Units 111959866.000.000.91 (-) (-) As at March 31.371 2.00 (-) 2.551. 2011 3.133.00 (-) 1.2011) SCHEDULE-G (Contd.872 972 - .00 (-) 500.500.85 II) Certificate of Deposits (Quoted) 1 ING Vyasa Bank (Purchased during the year) Units 5000 2 ICICI Bank (Purchased during the year) Units 2500 3 Punjab National Bank (Purchased during the year) Units 2500 4 AXIS Bank (Purchased during the year) Units 2500 5 Dena Bank (Purchased during the year) Units 2500 6 Dhanlaxmi Bank Limited (Purchased during the year) Units 1500 7 Reliance Capital Limited (Purchased during the year) Units 100 8 Corporation Bank (Purchased during the year) Units 1000 9 State Bank of Patiala (Purchased during the year) Units 1000 10 Dhanlaxmi Bank Limited (Purchased during the year) Units 1000 III)Commercial Papers (Quoted) 1 Religare Finvest (Purchased during the year) Units 500 2 JM Financial Products Limited (Purchased during the year) Units 500 3 JM Financial Services Pvt.337 1.000.397 2.431 2.078 500 - - - 5.

00 (-) 200.500) (400) (600) 10. (25000000 shares allotted during the year) Dermoviva Skin Essentials Inc (Inherited from merged entity) 4. Dabon International Pvt Limited Forum 1 Aviation Ltd.600 28 . (Sold during the year) 225 Shares Hindustan Unilever Ltd. The NKGSB Co-Op Bank Ltd.600.000 (10.96 | Annual Report 2010-11 Schedule Annexed to and forming part of the Balance Sheet as at March 31.550. Long Term Investment: I) Unquoted -Equity Shares .466 4.000 (460. 2010 - B.000) 105 27 456 105 27 456 II) Quoted -Equity Shares .03.000) (100) (1. (Sold during the year) 100 Shares Indusind Bank Ltd.000) 565. 0 0 0 0 0 0 0 1 0 0 1 1 1 2 0 0 0 1 0 10 Rupee Co-Op Bank III)Unquoted Equity Shares -in Subsidiaries 1 2 3 Dabur International Limited H & B Stores Ltd.000. 50. (Sold during the year) 1600 Shares Trent Limited (Sold during the year) 200 Shares Proctor & Gamble (I) Ltd.466 4. 2011 969 926 As at March 31.600.000 (65. 2011 (All amounts in Indian Rupees in lacs except share data) Numbers ( As on 31.(Trade Investments) 1 2 3 Sanat Products Ltd.550.) 7 Religare Finvest (Purchased during the year) Units 200 8 Religare Finvest (Purchased during the year) Units 200 200.000 (4.600) (200) (225) (2.700) 4. (Sold during the year) 400 Shares Godrej Industries Ltd.850 254 4.000) 2. (Sold during the year) 600 Shares Saraswat Co-Op Bank Ltd.000 (50.000) 485.000) 10.000 (1.000) 100 (100) 1.00 (-) As at March 31.2011) SCHEDULE-G (Contd. (Sold during the year) 2500 Shares Godrej Consumer Products Ltd.000.700 (2.000 (10.Other than Trade Investments 1 2 3 4 5 6 7 8 9 Colgate Palmolive India Ltd.

3 Share Application Money pending allotment pertains to H & B Stores Ltd.052 VI) Government Bonds/Securities (other than Trade) C.) IV) Unquoted Equity Shares . 4 No. Share Application money in subsidiary Pending Allotment (paid during the last year) Total Less Provision for diminution in value of long term trade investment Total NOTES : Aggregate Book Value of Quoted Investments Aggregate Book Value of Other Investments Aggregate Market Value of Quoted Investments (Based on 31. 5 Disclosure of shareholding in subsidiaries held directly by the company : Name of Subsidiaries Dabur International Ltd H & B Stores Ltd Dermoviva Skin Essentials Inc % Stake 100% held by Dabur India Limited 100% held by Dabur India Limited 2.923 8. of units/bonds of previous year given in brackets.000) 18. Ltd. 2011 As at March 31. 2 Provision for dimunition in long term trade investment pertains to investment in Dabon International Pvt.878 27 34.53) Kisan Vikas Patra 49 2 0 51.860 25. Co-operative Stores Limited.851 24.2011) SCHEDULE-G (Contd.950 27 51.102 49 2 0 150 34.21% held by Dabur India Limited (Balance stake held by Dabur International Limited) . Shivalik Solid Waste Management Ltd 15 (15) 3 (3) 250 (250) 650 (650) 500 (500) 1.000 (1.000 (18.373 43.Other than Trade 1 2 3 4 5 6 7 Commerce Centre Cooperative Housing Society Limited Capexil (Agencies) Limited Dabur Employees Consumers Co-op Stores Limited Dabur Employees Cooperative Credit Society Ltd.991 9.Dabur India Limited | 97 Financials Schedule Annexed to and forming part of the Balance Sheet as at March 31.000) As at March 31. 2011 (All amounts in Indian Rupees in lacs except share data) Numbers ( As on 31.2011) - NOTES : 1 All Equity shares are fully paid up.03. Super Bazar Saraswat Co-op Bank Ltd.03.550 42. 2010 0 0 0 0 0 0 2 0 0 0 0 0 0 2 V) Investment in Capital of Partnership Firm (trade) 1 1 2 Balsara International National Saving Certificates (inherited from merged entity Rs 0.

778 4. 20) Balance with Excise Authorities Other Advances Recoverable in Cash or in kind or for value to be received Total (A+B) NOTES : As at March 31. Current Assets : Inventories Raw material Packing Material. 304) In Fixed Deposits Accounts (pledged with Government authorities Rs.361 4.095 201 2.512 91.863 6.443 1.241 85. previous year Rs.136 27 2.250 2. Stores and Spares Stock in Process Finished Goods Sundry Debtors (Unsecured) : Debts Outstanding for a period exceeding six months : Considered Good Considered Doubtful Less : Provision for Doubtful Debts Other Debts (Considered Good) Cash and Bank balances Cash in Hand Balances with Scheduled Banks : In Current accounts (includes Rs. 900 Previous year Rs.820 11. Considered Good) Loans & Advances to Subsidiaries Security Deposit with various authorities(including Deposit with Govt. 2. 2011 SCHEDULE-H Current Assets. previous year Rs.246 674 1.618 29.467) Advance Payment of Tax Advances to Suppliers (Net of provision for doubtfuls Rs.215 110 20.98 | Annual Report 2010-11 Schedule Annexed to and forming part of the Balance Sheet as at March 31.844 110 1. Loans and Advances (Unsecured.374 13 4.194 1.058 8.545 47 16.157 11.187 24.291 5.391 59.459 390 2.795 1.325 1.194 674 12.053 129.633 6 20.444 32.598 32. 10) Remittance in transit & Cheques in hand B.006 223 2.283 1.20.050 2.589 7. Additional Disclosure as per Clause 32 of Listing Agreement . Loans and Advances have realizable value at least equal to the amount at which they are stated.206 44. Previous Year Rs.215 1.250 1.435 18.048 19. 364 in Unpaid Dividend Account.575 16.511 13.171 46. In the opinion of Board of Directors. 2011 (All amounts in Indian Rupees in lacs except share data) As at March 31.868 1. 2010 13. Loans and Advances A. 86. Authorities Rs. 82) Advance to Employees (Net of provision for doubtfuls Rs. the Current Assets. 10. previous Year Rs.

Maximum amount Outstanding during the year b) Loans and Advances to Foreign Subsidiaries (i) Dermoviva Skin Essentials Inc (USA) . .Amount outstanding .295 274 274 . 2011 (All amounts in Indian Rupees in lacs except share data) As at March 31. 2010 1050 1050 0 0 0 390 3% p.50% p.295 8. plus libor 390 838 0 0 SCHEDULE-IA Miscellaneous Expenditure Deferred Employee Compensation under ESOP Opening balance Addition during the year Less : Cancelled during the year Less: Amortisation related to Subsidiary Less: Amortised during the year Total 274 11.a.a.Maximum amount Outstanding during the year .Amount outstanding .Dabur India Limited | 99 Financials Schedule Annexed to and forming part of the Balance Sheet as at March 31.Rate of interest As at March 31.Maximum amount Outstanding during the year .Rate of interest (ii) Dabur International Ltd.220 27 919 8.574 262 3.511 211 11.017 864 484 128 1.Amount outstanding .) a) Loans and Advances to Domestic Subsidiary (interest free and without stipulation of repayment) H & B Stores Ltd . 2011 SCHEDULE-H (Contd. plus libor 0 26854 2.

207 14. 2011 (All amounts in Indian Rupees in lacs except share data) For the year ended March 31.268 244 4.901 10 39.065 5.334 7.936 68.889 7. 64) Export Subsidy Rent Realised Sale of Scrap Miscellaneous Receipts Profit on Sale of current investments other than trade Profit on Sale of long term investments other than trade Profit on Sale of Fixed Assets (Including Capital Profit of Rs.171 24.393 . 2011 SCHEDULE .311 9.954 789 533 142 522 666 1.071 45.IB Miscellaneous Expenditure Written Off Deferred Employee Compensation under ESOP Less : Transferred to Director remuneration Total SCHEDULE .403 4.K Cost of Materials Raw Materials Consumed : Opening Stock Add : Inherited through merger Add : Purchases Less : Closing Stock Packing Material Consumed : Opening Stock Add : Inherited through merger Add : Purchases Less : Closing Stock Purchase of Finished Products Adjustment of Stocks in Process and Finished Goods Opening Stock : Stock in Process Finished Products Stock in Process inherited through merger Finished Goods inherited through merger Closing Stock : Stock in Process Finished Products Increase/(Decrease) in Stock in Process and Finished Goods 8.551 5.660 1.448 8.157 11. 2010 919 353 1.670 50.017 1.134.263 59. Sales : Domestic Sales Less Returns Export Sales B.164 SCHEDULE .618 16.493 431 595 575 729 934 17 172 4.100 | Annual Report 2010-11 Schedule Annexed to and forming part of Profit & Loss Account for the year ended March 31.618 16.127 385 60.536 1.626 57. Previous Year Rs.145 90.820 70 606 15.807 5.606 (7.778 3.652 287.923 13.775 6.157 11. Other Income : Interest Received (Tax Deducted at Source thereon Rs 84.831) 165.140 39.492 43.778 82.J Sales and Other Income A.302 12.329 329. Previous Year Rs 207) 3.818 77.263 53.491 39.775 (968) 137.660 566 566 315.589 4.435 18.357 For the year ended March 31.946 275.

Fax Expenses Security Expenses General Expenses Directors’ Fees Auditors’ Remuneration : Audit Fee Reimbursement of Expenses Provident Fund and certificates Donation Contribution to Scientific Research Expenses Provision for Doubtful Debts Provision for Doubtful Advances Loss on Sale of Fixed Assets Fixed Assets written down 2.900 7.1357 .472 21.642 1.543 1.706 SCHEDULE .098 8. 2010 3.007 2.172 281 423 678 2.287 3.N Selling and Administrative Expenses Rent Rates and Taxes Insurance Sales Tax Freight & Forwarding Charges Commission.293 1.036 221 374 544 1.891 For the year ended March 31.807 366 377 9.Dabur India Limited | 101 Financials Schedule Annexed to and forming part of Profit & Loss Account for the year ended March 31.201 13 43 16 17 47 17 19 1.M Payment to and Provisions for Employees Salaries.O Financial Expenses Interest paid on : Fixed Period Loan Others Bank Charges 215 852 1. 353 under ESOP) 18.L Manufacturing and Operating Expenses Power and Fuel Stores and Spares Consumed Repairs & Maintenance Building Plant & Machinery Others Processing Charges 4.019 3.000 1.166 39.234 SCHEDULE .627 14 76 715 368 96 4 22 2 67.003 2.724 1. previous year Rs.021 39.001 1.132 348 286 289 6. 2011 (All amounts in Indian Rupees in lacs except share data) For the year ended March 31.618 SCHEDULE .028 321 1.192 23.991 83 613 50 96 0 43 159 65.250 2.084 17. Wages and Bonus Contribution to Provident and Other Funds Workmen and Staff Welfare Directors’ Remuneration (including perquisites Rs.349 .013 15 1.288 3. 2011 SCHEDULE .067 226 1.239 1.896 865 1.159 355 446 9.714 286 268 167 5. Discount and Rebate Advertising and Publicity Travel & Conveyance Legal & Professional Telephone.

Apart from test of impairment within the meaning of AS 28. taxes and other expenses incidental to acquisition and installation. Alwar unit and Narenderpur unit where depreciation has been provided for on written down value methods at the rates specified in the aforesaid Schedule.e. if any. 2011. Accounts and disclosures thereon comply with the Accounting Standards specified in Companies (Accounting Standard) Rules. being the difference between the book value and recoverable value of relevant assets. damage. the Company has provided liability accruing on account of deferred entitlement towards LTC in the year in which the employees concerned render their services. Impairment /discarding of assets :The company identifies impairable fixed assets based on cash generating unit concept for tangible fixed assets and asset specific concept for intangible fixed assets at the year-end in term of clause 5 to 13 of AS –28 and clause 83 of AS. liabilities. other pronouncements of ICAI. Patents and trademarks are being amortized over the period of ten years on straight line basis. subject to deduction of accumulated depreciation. . expenses and contingent liabilities pertaining to year. the financial statements relate to. Cost includes inward freight. Any revision in accounting estimate is recognized prospectively from current year and material revision. SCHEDULE – P Accounting Policies & Notes to Accounts A. Depreciation is charged on net fixed assets after deduction of subsidy amount. Softwares are being amortized over the period of five years on straight line basis. forming part of subsidy scheme granted. Indian GAAP enjoins management to make estimates and assumptions that affect reported amount of assets. by way of proportionate allocation of subsidy amount thereon. redundancy & un-usability at the year end. if any. ACCOUNTING POLICIES Significant accounting policies are summarized below: 1. Impairment loss. Accounting Convention: The accounts have been prepared in accordance with the historical cost convention under accrual basis of accounting as per Indian GAAP. 5. is charged against revenue of the year. all direct expenses and direct overheads (excluding services provided by employees in company’s regular payroll) are capitalized. provisions of the Companies Act. Investments : Current investments are held at lower of cost and NAV/Market value. Deferred Entitlement on LTC : In terms of the opinion of the Expert Advisory Committee of the ICAI.26 respectively for the purpose of arriving at impairment loss thereon. During sale of fixed assets. Loss. Long term investments are held at cost less diminution. when crystallizes. revenue. 4. is transferred from profit &loss account to capital reserve. individual tangible fixed assets of various CGU’s are identified for writing down on the ground of obsolescence. is reported in notes to accounts in the year of incorporation of revision. Depreciation on Fixed Assets has been provided on straight line method at rates specified in Schedule XIV of the Companies Act and as per the useful lives of the assets estimated by the management when useful life of the assets is deemed less except for part of 5/1 Unit Sahibabad. duties. • • • • • 3. Actual result could differ from such estimates. any profit earned towards excess of sale value over gross block of assets. sustained by any subsidiary is not recognized.102 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) Schedule Annexed to and forming part of the Accounts for the year ended March 31. 2. 1956 and guidelines issued by SEBI as applicable. including its impact on financial statement. For New Projects. in carrying cost of investments other than temporary in nature. Fixed Assets and Depreciation: • • • Fixed assets are stated at carrying amount i. if any. Capital Subsidy received against fixed capital outlay is deducted from gross value of individual fixed assets.

Gain / Loss arising on account of rise or fall in overseas currencies vis-a-vis reporting currency between the date of transaction and that of payment is charged to Profit & Loss Account. Receivables/payables (excluding for fixed assets) in foreign currencies are translated at the exchange rate ruling at the year end date and the resultant gain or loss. which is of the nature of long term benefit. 1961. if paid. B. Excise etc. Packing materials. on the basis of actuarial valuation as per AS 15 (revised). present obligation as a result of past event with possibility of outflow of resources. Defined Benefit Plans : • • • • • Leave Salary of employees on the basis of actuarial valuation as per AS 15 (revised). is accounted for in the Profit & Loss Account. Retirement Benefits: Liabilities in respect of retirement benefits to employees are provided for as follows :A. is charged to revenue in the year of payment. 7. Post separation benefits of directors. All items of incomes and expenses have been accounted for on accrual basis except for those income stipulated for recognition on realization basis on the ground of uncertainty under AS–9.Dabur India Limited | 103 Financials (All amounts in Indian Rupees in lacs except share data) 6.g. VRS. Contingent Liabilities: Disputed liabilities and claims against the company including claims raised by fiscal authorities (e. 11. Inventories: Stocks are valued at lower of cost or net realizable value. pending in appeal/court for which no reliable estimate can be made of the amount of the obligation or which are remotely poised for crystallization are not provided for in accounts but disclosed in notes to accounts. subject to the consideration of prudence. Recognition of Income and expenses: • • • Sales and purchases are accounted for on the basis of passing of title to the goods. is recognized in accounts. 10. Basis of determination of cost remain as follows: • • • Raw materials. 9. 8. Research and Development Expenses: Contributions towards scientific research expenses are charged to the Profit & Loss Account in the year in which the contribution is made. stores & Spares Work-in-process Finished goods : : : Weighted Average Basis Cost of input plus overhead upto the stage of completion. Provident fund & ESI on the basis of actual liability accrued and paid to trust / authority. Sales comprise of sale price of goods including excise duty but exclude trade discount and sales tax / VAT. Foreign Currency Translation: • Transactions in foreign currencies are recognized at rate of overseas currency ruling on the date of transactions. Deferred tax is recognized.). Income Tax. Sales Tax . when reliably estimable. Gratuity Liability on the basis of actuarial valuation as per AS 15 (revised) Liability for superannuation fund on the basis of the premium paid to insurance company in respect of employees covered under Superannuation Fund Policy. However. Income Tax & Deferred Taxation The liability of company on account of income tax is estimated considering the provisions of the Income Tax Act. on timing differences being the difference between taxable income and accounting income that originate in one year and capable of reversal in one or more subsequent years. 12. Defined Contribution Plans : C. Cost of input plus appropriate Overheads. • .

104 | Annual Report 2010-11

(All amounts in Indian Rupees in lacs except share data)

• •

Increase / decrease in foreign currency loan on account of exchange fluctuation are debited / credited to profit and loss account. Impact of exchange fluctuation is separately disclosed in notes to accounts.

13 Employee Stock Option Purchase (ESOP): Aggregate of quantum of option granted under the scheme in monetary term (net of consideration of issue to be paid in cash) in terms of intrinsic value has been shown as Employees Stock Option Scheme outstanding in Reserve and Surplus head of the Balance Sheet by way of debiting deferred Employee Compensation under ESOP as per guidelines to the effect issued by SEBI. • • With the exercise of option and consequent issue of equity share, corresponding ESOP outstanding is transferred to share premium account. Employees’ contribution for the nominal value of share in respect to option granted to employees of subsidiary company is being reimbursed by subsidiary companies to holding company.

14. Derivative Trading : The company enters into derivative transaction of the nature of currency future or forward contract with the object of hedging against adverse currency fluctuation only (not being for trading or speculation) in respect of import / export commitment and exposure in foreign currency. The contracts are by and large mark to market and loss, if any, sustained on open contract is recognized in accounts. However gain, if any, in this connection is not recognized as a measure of prudence. 15. Merger / Amalgamation: Merger / Amalgamation (of the nature of merger) of other company / body corporate with the company are accounted for on the basis of purchase method, the assets / liabilities being incorporated in terms of values of assets and liabilities appearing in the books of transferor entity on the date of such merger / amalgamation for the purpose of arriving at the figure of goodwill or amalgamation reserve. 16. Miscellaneous Expenditure: • • Deferred Employees Compensation under ESOP is amortized on straight line basis over vesting period. Share issue expenses and research fee paid to technical collaborators are charged to revenue in the year of its occurrence

B. NOTES TO ACCOUNTS 1. Building constructed on leasehold land included in the value of building shown in Fixed Assets Schedule: Cost/Revalued Written Down 2. As at 31st March 2011 17832 14220 As at 31st March 2010 17229 14007

Loans and Advances include Rs. 49 (Previous year Rs. 49 ) paid by the Company to Excise authorities on behalf of Sharda Boiron Laboratories Limited, now known as SBL Limited, in respect of excise duty demand of Rs. 68 raised by the District Excise Officer, Ghaziabad, against the Company and Sharda Boiron Laboratories Limited. The Hon’ble Supreme Court of India had concurred with the order of the District Excise Officer, Ghaziabad. The Company had filed the review petition before Division Bench of the Hon’ble Supreme Court of India, which was also decided against the Company. Pursuant to the indemnity bond executed by M/s Sharda Boiron Laboratories Limited in favour of the Company and as per the terms and conditions of the contract executed with them, the recovery proceedings have been initiated by the Company against Sharda Boiron Laboratories Limited for Rs. 49 by invoking the arbitration clause. The matter is pending before Hon’ble High Court of Delhi for the appointment of an arbitrator. The balance amount of Rs. 21 along with interest demanded by the Excise Authorities has been paid directly by Sharda Boiron Laboratories Limited to Excise Authorities. During the year 1991-92 the company had received a refund of Rs. 6, pursuant to the decision of Hon’ble Supreme Court in this regard. Necessary adjustments in respect of recovery/refund will be made as per the arbitration proceedings.

3.

a.

Further to para A (3) above, company has assessed recoverable value of each cash generating units (CGUs) and each intangible assets based on value-in-use method. Such assessment indicated the value in use of corresponding assets higher than corresponding carrying cost of assets thereby ruling out the cause of further arriving at their net-selling-price and exigency of provision against impairment loss.

Dabur India Limited | 105
Financials

(All amounts in Indian Rupees in lacs except share data)

b. c. 4.

CGUs include Narenderpur Plant, Sahibabad Plant, each of plants situated at Nashik /Baddi/Jammu, Rudrapur Plant, Silvasa Plants, Pitampur Plant, Kanpur Plant, Alwar Plant, Newai Plant and Jalpaiguri Plant. Annual discount rate considered for arriving at value-in-use of assets of each CGUs is 7.50% i.e the average interest rate of external borrowing plus risk factor @ 2.00 % per annum.

Contingent Liabilities /Capital Contracts : a. Claims against the company not acknowledged as debts: i. ii. In respect of civil suits filed against the company Rs. 772 (previous year Rs. 755) In respect of claims by employees Rs. 30 (previous year Rs. 17)

iii. In respect of letters of credit Rs. 179 (previous year Rs. 53) iv. In respect of Bank Guarantees executed Rs. 671 (previous year Rs. 673) v. In respect of Sales Tax under appeal Rs. 1202 (previous year Rs. 1167) vi. In respect of excise duty disputes pending with various judicial authorities Rs. 5035 (previous year Rs. 2321). vii. In respect of Corporate Guarantees given by the Company Rs. 92501 (previous year Rs. 5311) viii. In respect of Income tax under appeal Rs. 940 (previous year Rs. 77) b. c. d. Bills discounted Rs. 4384 (previous year Rs. 3416). Estimated Amount of contract remaining to be executed on capital Account Rs. 2725 (previous year Rs. 2462) – Net of advance Rs 755 (previous year Rs. 1390) Information pursuant to AS 29: Brief particulars of provisions on disputed liabilities :Nature of Liability Particulars of dispute Opening Liability Provision made during the year 0 0 0 0 0 0 0 0 0 Provision adjusted during the year 0 0 0 0 0 0 0 0 0 Closing Forum where the dispute Provision is pending

VATS Sales Tax Sales Tax Entry Tax Sales Tax Sales Tax Sales Tax Excise

Short payment of VAT Classification of Laldant Manjan Classification of Gulabari Entry tax on car Classification of hajmola Candy Tax Paid purchase Capital Goods removal

42 36 1 1 28 29 10 30 177

42 36 1 1 28 29 10 30 177

IInd appeal filed Filed review application with High Court Appeal filed before the D.C.Appeal Appeal pending before D.C. Appeal pending before S T Appellate Pending before High Court DC appeal

i) ii)

Resulting outflows against above liabilities, pending before Sales Tax DC/Tribunal/CCT’s, if mature, are expected to be in succeeding financial year. Provisions are made herein for medium risk oriented issues as a measure of abundant precaution.

iii) Company presumes remote risk possibility of further cash outflow pertaining to contingent liabilities listed in para 4 (a) and 4 (b) above. 5a. Expenditure in Foreign Currency - Professional, Consultation Fees & Others - Others (Travelling, Conveyance & Administration) 31-03-2011 403 58 461 31-03-2010 1321 12 1333

106 | Annual Report 2010-11

(All amounts in Indian Rupees in lacs except share data)

5b. CIF Value of Imports: - Raw Materials - Stores & Spares (Including packing material) - Capital Goods 5c. Earning in Foreign Exchange: - Export sales at FOB - Interest Income 5d. Value of raw materials, stores and spare parts consumed :Raw Material 31.03.2011 Value % 724 0.94% 76610 99.06% 77334 100.00% 31.03.2010 Value % 730 1.22% 58940 98.78% 59670 100.00%

31-03-2011 1340 28 631 1999 13169 247

31-03-2010 1882 18 413 2313 12373 -

Imported Indigenious

Packing Material, Stores & Spares 31.03.2011 31.03.2010 Value % Value % 38 0.07% 79 0.20% 51205 99.93% 40097 99.80% 51243 100.00% 40176 100.00% 2010-11 3 2 5 2009-10 2 2 4

5e. Net Dividend remitted in foreign currency 2008-09 Final Dividend 2009-10 Interim Dividend 2009-10 Final Dividend 2010-11 Interim Dividend 6a. Particulars of consumption of important raw materials Class of Goods Sugar And Molases Vegetables Oils Herbs, Jari Booti & Raw Madhu Chemicals & Perfumery Compounds Others Raw Materials Total Raw Materials 6b. Particulars of consumption of important packing materials Glass Containers Plastic Containers/Caps/Jar Printed Packing Materials Laminates & Lamitubes Other Packing Materials Total Packing Materials Unit Tonnes Tonnes Tonnes Tonnes Assorted

Quantity 23895 (20045) 21572 (20078) 30067 (32504) 31724 (24177)

Value 6882 (5968) 13748 (11200) 18899 (16437) 20079 (14992) 17726 (11073) 77334 (59670) 3496 (3182) 13610 (11252) 11787 (7265) 11735 (8918) 9443 (8523) 50071 (39140)

Pcs.in Lacs. Pcs.in Lacs. Assorted Assorted Assorted

1103 (1068) 8439 (7010)

Dabur India Limited | 107
Financials

(All amounts in Indian Rupees in lacs except share data)

6c. Particulars in respect of goods manufactured
Class of Goods Hair Oils Chyawanprash Honey Tooth Powder & Paste Hajmola Asava - Arishta Fruits,Nector & Drinks Vegetable Pastes Others Unit Kilo-ltrs Tonnes Tonnes Tonnes Tonnes Kilo-ltrs Kilo-ltrs Mt Licenced Capacity Installed Production Capacity Qty 108419 (84644) 59927 (32700) 9341 (7121) 52882 (56320) 12239 (6154) 11403 (14444) 35700 (35700) 4800 (4080) 31075 (28220) 17804 (14898) 6479 (5789) 28276 (23934) 5496 (4557) 8100 (7910) 22470 (18143) 1258 (1023) Opening Stock Qty Value 1527 (1066) 373 (674) 190 (197) 1017 (1234) 290 (229) 810 (572) 1629 (1043) 142 (122) 1524 (1008) 332 (443) 268 (225) 922 (1080) 425 (263) 448 (287) 564 (365) 148 (122) 3981 (3491) 8614 (7284) Closing Stock Qty Value 1625 (1527) 889 (373) 333 (190) 1889 (1017) 421 (290) 1030 (810) 1292 (1629) 53 (142) 1983 (1524) 758 (332) 406 (268) 2286 (922) 650 (425) 655 (448) 448 (564) 36 (148) 7126 (3981) 14347 (8614) Sale Qty Value 30977 (27759) 17288 (15199) 6335 (5796) 27405 (24150) 5365 (4497) 7880 (7672) 22807 (17558) 1347 (1003) 65103 (56719) 26379 (22058) 15072 (13650) 46260 (39700) 12271 (10266) 7138 (6477) 12767 (9008) 1445 (916) 89190 (79979) 275626 (238772)

Total

6d. Particulars in respect of traded goods
Class of Goods Hair Oils Tooth Powder & Paste Hajmola Fruits,Nector & Drinks Vegetable Pastes Others Total Unit Kilo-ltrs Tonnes Tonnes Kilo-ltrs MT Purchases Qty Value 341 (33) 2226 (3553) 2545 (3489) 43721 (36861) 825 (871) 277 (502) 4057 (5395) 2543 (3570) 16170 (13162) 366 (316) 22077 (16606) 45491 (39551) Opening Stock Qty Value 10 (28) 306 (192) 339 (308) 3361 (5858) 124 (105) 12 (32) 300 (182) 388 (250) 1342 (1958) 50 (41) 912 (679) 3004 (3142) Closing Stock Qty Value 154 (10) 94 (306) 359 (339) 3280 (3361) 79 (124) 186 (12) 100 (300) 303 (388) 1516 (1342) 39 (50) 1679 (912) 3824 (3004) Sale Qty 197 (51) 2438 (3439) 2525 (3457) 43802 (39358) 870 (852) Value 420 (119) 4483 (5601) 3573 (4395) 26613 (22107) 508 (471) 18313 (16581) 53910 (49273)

Note : (a) Production/purchase are net of stock written down, write down of inventory in monetory terms aggregate Rs. 1274 (previous year Rs. 1288) (b) Figures in bracket relate to previous year.

03. to the Directors: For the year ended on 31.72 acres of land on lease to the Company in lieu of acquired land. 10.03.03.108 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) 7. 353 under stock option Scheme) 1671 1022 2192 1472 Computation of net profit in accordance with Section 198 and section 309 (5) of the Companies Act. Particulars of Balances with Non-Scheduled Banks: Balance as on 31. Ghaziabad against the land so acquired. Defined Benefit Plan Expenses recognized during the period: A. Government under Land Acquisition Act and the State Government had allotted and given possession of about 4.P. Employee related Dues : Particulars Gratuity (funded) A. The company has filed a claim for compensation of Rs. The company’s freehold land situated at Sahibabad measuring about 7. 1357 Previous year Rs. Managerial Remuneration under section 198 of the Companies Act. Accumulated Loss/Gain Total expenses recognized during the year (A+B+C+D+E) Leave Salary (funded) Post Separation benefits of director (funded) Total 0 273 (292) 208 (177) -130 (-8) -210 (-97) 141 (364) 0 185 (190) 68 (56) -47 (-26) -70 (46) 137 (266) 0 122 (115) 278 (271) 0 (0) 217 (-173) 616 (213) 0 580 (597) 553 (504) -177 (-34) -63 (-224) 893 (843) . 572 before the Office of Special Land Acquisition Officer. keeping in view the generally accepted accounting practice.2010 Salary 278 239 Contribution to Provident Fund 33 29 Residential Accommodation 166 144 Medical & Leave Travel Benefit 2 2 Contribution to Superannuation Fund 42 36 Others (Including Rs. Current Service Cost C. However. F.58 acres was acquired by U. 1956 Profit for the year before tax as per Profit & Loss Account 59626 52703 Add: Managerial remuneration 2192 1472 Directors’ fees 13 14 Provision for doubtful debts 96 96 Provision for doubtful advances 4 Less : Excess provision of debts written back 37 45 Capital Profit 134 207 Bad Debts adjusted against provision 19 153 Adjusted net profit 61741 53880 Maximum permissible remuneration 6792 5927 8. Past Service Cost B. the said claim has not been considered in the books of accounts.00 Current Year Previous Year 9. Expected return on Plan Assets E. 1956 paid or payable during the year.2011 Nil Nil Maximum Balance during the year Nil 1000.2011 31. Interest Cost D.

Past service cost III.2010 2767 (2528) 0 (0) 273 (292) 208 (177) -315 (-97) -157 (-133) 2776 (2767) 910 (794) 0 (0) 185 (191) 68 (56) -61 (19) -145 (-150) 957 (910) 3700 (3617) 0 (0) 122 (114) 278 (271) 217 (-173) -182 (-129) 4133 (3700) 7377 (6939) 0 (0) 580 (597) 553 (504) -160 (-251) -484 (-412) 7866 (7377) II. Obligation as on 31. Actuarial Assumption : Discount rate (%) Estimated rate of return on plan assets (%) Salary escalation ratio inflation (%) Method 100% in reimbursement Insurance Company for fund managed by it 7. Settlement VII.03. Employer Contribution V. Fair value of Plan Assets as on 31.2011 C. Reconciliation of opening & closing balances of obligations : I.00% Project unit credit method. Obligation as on 01.03. Current service cost IV. Actuarial Gain/ (Loss) IV.03.00% 10.Dabur India Limited | 109 Financials (All amounts in Indian Rupees in lacs except share data) Particulars Gratuity (funded) Leave Salary (funded) Post Separation benefits of director (funded) Total B.04. Fair Value of Plan Assets as on 01.2010 II.2011 1442 (1068) 130 (86) -105 (-78) 560 (498) -157 (-132) 1870 (1442) 2776 (2767) 1870 (1442) 906 (1325) 522 (335) 47 (26) 8 (-26) 326 (312) -145 (-124) 758 (523) 957 (910) 758 (523) 199 (387) 0 0 0 0 0 0 0 0 0 0 0 0 4133 (3700) (-) 4133 (3700) 1964 (1403) 177 (112) -97 (-104) 886 (810) -302 (-256) 2628 (1965) 7866 (7377) 2628 (1965) 5238 (5412) E. Change in Plan Assets : (Reconciliation of opening and closing balances) I. Closing obligation vis-à-vis planned assets (i) Obligation as on 31. Actuarial Gain/ (Loss) VI.03. Interest cost V. The basis used for determination of expected rate of return is average return on long term investment in Government bonds .2011 (ii) Fair value of planned assets as on 31.2011 D. Investment detail of plan assets as on 31.03. G.04.2011: F. Settlement VI.50% 9. Expected Return on Plan Assets III.

(Foreign Wholly Owned Subsidiary) . Demographics assumptions take in to account mortality factor as per LIC (1994-96) ultimate criteria. USA Urban Lab International LLC.(Foreign wholly Owned Subsidiary) . promotional increases and Inflationary consequence over price index. employees and normal retirement age at 58...(Foreign Wholly Owned Subsidiary) .. Particulars on planned assets have been ascertained on the basis of last confirmation from Insurance Company. Nepal Dabur Egypt Ltd.(Foreign Wholly Owned Subsidiary) . Ltd. Healing Hair Lab International LLC. Balsara International (ii) Key management personnel (whole time directors) 1 Pradip Burman 2 P. UAE Dabur Egypt Trading Ltd.(Foreign Wholly Owned Subsidiary) .(Foreign Wholly Owned Subsidiary) .(Foreign Subsidiary) . Dhaka Dabur Nepal Pvt. Defined Contribution Plan :Company’s contribution to different defined contribution plans :Particulars Provident Fund Employees State Insurance Employees Superannuation Fund 11. Figures in bracket relate to previous year. UK Dabur International Ltd. L.(Foreign Wholly Owned Subsidiary) ..(Foreign Wholly Owned Subsidiary) .(Foreign Subsidiary) .(Foreign Wholly Owned Subsidiary) . Pakistan Naturelle LLC.(Foreign Wholly Owned Subsidiary) . D. Egypt Dabur (UK) Ltd.. Asian Consumercare Pvt Ltd. Narang 3 Sunil Duggal (iii) Relative of key management personnel 1 Asha Burman 2010-11 753 116 355 2009-10 712 60 318 .(Foreign Subsidiary) . Related party Disclosures Related party disclosures as required under AS 18 : (a) Related parties where control exists :H & B Stores Limited Dermoviva Skin Essentials Inc. K. A. I.(Foreign Wholly Owned Subsidiary) .(Foreign Subsidiary) .. UAE Weikfield International (UAE) LLC African Consumercare Limited.(Foreign Wholly Owned Subsidiary) . Egypt Hobi Kozmetik Zeki Plastik Ra Pazarlama Namaste Laboratories Hair Rejuvenation & Revitalization Nigeria Ltd. USA b) Other related parties in transaction with the company: (i) Joint venture /Partnership Forum 1 Aviation Limited..(Domestic Wholly Owned Subsidiary) .110 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) H. Ltd. J.(Foreign Wholly Owned Subsidiary) . Nigeria Asian Consumercare Pakistan Pvt. The estimate of future salary increase take in-to account regular increment.(Foreign Wholly Owned Subsidiary) .

Purchase of Goods Sale of Goods Royalty Expense General Expenses Processing Charges Rent Received Interest Received on Loan Interest Received on Security Rent Paid 21960 (16797) 3610 (2549) 9 (-) 0 (-) 0 (-) (-) 247 (-) 0 (-) 0 (-) 0 (-) 262 (27) 27904 (838) 27244 (453) (-) 326 (500) (-) 87199 (4588) 0 (-) 0 (-) (-) 452 (394) 11 (8) 2 (2) (-) 0 (2) 0 (-) 0 (-) 0 (-) (-) (-) (49) 0 (-) (-) 0 (714) (-) (-) (-) (-) 0 (-) (-) (-) 0 (-) 0 (-) 0 (-) 0 (-) (-) (-) (-) 0 (-) (-) 0 (-) 0 (-) 0 (-) (-) (-) 0 (-) (-) (-) 0 (-) 60 (68) 746 (1050) 1357 (353) (-) (-) (-) (-) (-) 0 (-) 264 (202) (4) (-) (-) (-) (-) (-) 0 (-) 0 (-) 0 (-) 0 (-) (-) (-) (-) (-) (-) 0 (-) 22224 (16999) 3610 (2553) 9 0 452 (394) 11 (8) 2 (2) 247 (-) 0 (2) 60 (68) 746 (1050) 1619 (380) 27904 (838) 27244 (453) (49) 326 (500) (-) 87199 (5302) 46 (33) 1147 (256) 9 (-) 37 (17) 3 (-) 2 (-) 0 (-) 0 (-) 0 (-) 0 (-) 1619 (381) 1050 (390) 0 (-) 49 (49) 9570 (9243) 38 (38) 92501 (5302) 10. Item reffered to in 2 above includes Sales to Dabur International Ltd. Rs. 402.93 respectively).. Asian Consumer Care Pakistan Pvt. Weikfieid International (UAE) LLC. B. Rs. .Dabur India Limited | 111 Financials (All amounts in Indian Rupees in lacs except share data) (iv) Entities over which Key Management Personnel are able to exercise significant influence: 1 Sanat Products Ltd 11. 7. Item referred to in 1 above includes Purchases from Dabur Nepal Pvt. Repayment of Loans given 14. Guarantees & Collaterals Notes: A.03. 16797 & Nil) respectively. Employee Stock Option Scheme (B) Balance Sheet 12./Pension 11. Rs. African Consumer Care Ltd.2011 (A) Profit & Loss A/c 1. 518. and Rs. Related Party Transactions as on 31. Loan Given 13. 4. Capital Contribution 15.. 8.2011 Subsidiary J V/ Partnership Associates Key Management Personnel Entity Under Significant Influence Total Outstanding as on 31. 752. Naturelle LLC.869. Ltd.661. Ltd. Security Deposit (C) Off Balance Sheet Items 17. Rs. B.384 respectively (Rs.651.210 & Rs. 2. Rs. Rs.421. Rs. 3.03. Remuneration/Exg. 6. Rs.21719 and Rs. and Dabur International Ltd.241 (Rs. 9. Investment 16. 5.

16. Nil. 1367) . outside liability. 399) and Rs. Exchange gain works out to Rs. Perquisites of retired director Rs. Asian Consumer Care Pakistan Pvt. 1 and Rs.398. 303) respectively in respect of year under audit as per un-audited accounts of the JCE. 246 respectively (Nil & Nil) E.Nil (Rs.net of exchange loss Rs. 13. 509) which has been credited to Profit & Loss Account under the head “Miscellaneous Receipts”. Rs.49) H. 357 (Previous year Rs. G.Nil.26854 (Nil) and H & B Stores Ltd. Rs.453) Items reffered to in 14 above includes Capital Contribution to Balsara International Rs. 2027 (Previous year Rs.45036 & Rs. and Forum I Aviation Ltd. Rs.112 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) C. iv) Figures in bracket relate to previous year. Dabur International Ltd. 1240). 173 (Previous year Rs.. F. Due to subsidiaries forming part of current liabilities:Included in:Sundry creditors for goods Sundry creditor for expenses and other liabilities Advance from customers 15.1738. Variable component of cost of maintenance is borne by user of the aircraft in proportion to their actual usage and fixed component is shared by all the venturers in proportion to their capital contribution..1492. Ltd. 2010-11 46 9 Nil 2009-10 33 105 1429 .45259. Figures in bracket relate to Previous year.2 (Rs. net worth.Rs. 12. The contributions of venturers are towards capital build up of the JCE and periodic contribution towards cost of maintenance of aircraft.390 (Rs.763. Rs. Rs. Rs. Nil.28%. a domestic jointly controlled corporate entity (JCE) with part of its operation akin to jointly controlled operation . (c) Stake of the company in terms of percentage of total subscribed and paid up capital of JCE is 14. Ltd. Rs.Rs. Items reffered to in 6 above includes Rent received from Balsara International Rs. Naturelle LLC.. 13) paid during the year. 553 (Previous year Rs. (I) Investment in Joint Venture Information (pursuant to AS-27) :(a) The company is a party to joint venture agreement controlling the management of Forum 1 Aviation Limited. Information pursuant to AS 19 issued by ICAI relating to operating lease: i) The future minimum lease payment under non-cancelable operating lease :Building & Machine Cars ii) Not Later than 1 year 39 (36) 46 (44) Later than 1 year not later than 5 year 30 (58) 66 (69) Later than 5 year 0 (0) 0 (0) Lease rent debited to Profit & Loss account of the year Rs.1050 (Nil) Item reffered to in 13 above relates to loan repaid by Dabur International Ltd. 593). and Dabur International Limited. (b) Share of the company in assets.714 respectively (Rs. Rs. lease period not exceeding five years in respect of any arrangement.714) I. Item reffered to in 12 above relates to loan given to Dabur International Ltd.26854 (Nil) and Dermoviva Skin Essentials Inc. Nil.1690.Rs. 58 (Previous year Rs. Rs 422 (Previous year Rs.2) D.456) appears under investment head in balance sheet of the company. Rs. Items reffered to in 7 above includes Interest received on loan given to Dermoviva Skin Essentials Inc. Nil. 154). the main object of the JCE being maintenance of aircraft for use of venturers or otherwise. 29 (previous year Rs. The participation of the venturers in the affairs of the management of the JCE is through representation in the composition of Board of Directors as agreed in shareholder’s agreement. 38) iii) Irrevocable lease agreement relates of flat & vehicle. Said amount (Rs. 14. 93 (Previous Year Rs. Asian Consumer Care Pvt. Items reffered to in 16 above includes Gaurantees & Collaterals to Dabur Egypt Ltd.Rs. Rs. income and expenses not being accounted for herein works out to Rs. 1219 (Previous year Rs. . Dermoviva Skin Essentials Inc.

80 (previous year Rs. . Debtors includes Rs. unless realized in cash.394) has been charged to profit and loss account under the head general charges.452 (Previous year Rs.2011 1194 96 1290 56 19 1215 200 0 200 0 200 For the year ended on 31. however. is recognized in this stand alone account. (II) Investment in partnership firm: (a) The company has invested Rs. Export receivable : EUR 4 (EUR 2) GBP 1 (GBP 1) USD 62 (USD 17) UAE Dhiram 23 (UAE Dhiram 98) AUD 1 (AUD 1) Swiss Franc Nil (Swiss Franc 1) EUR Nil (EUR 1) USD 3 (USD Nil) JPY 1299 (JPY 2165) 2.2010 1235 61 96 1392 45 153 1194 213 0 213 13 200 (c) Outstanding overseas exposure hedged by forward /option contract against adverse currency fluctuation (i) Packing Credit USD 52 (USD 100) (ii) Outstanding overseas exposure not being hedged against adverse currency fluctuation :1. 17. has immaterial impact on profitability of the company. (f) No income from said investment. 1147 (Previous year Rs.3.3.Dabur India Limited | 113 Financials (All amounts in Indian Rupees in lacs except share data) (d) Company’s commitment towards revenue expenditure of the JEC amounting to Rs. Foreign Currency Loan Figures in bracket relates to previous year. 1 on accounts of his capital. Overseas Creditors : 3. (e) The company has furnished guarantee bond for Rs. (d) Assets and liabilities pertaining to interest of the company in the partnership firm as on 31. 9 (previous year Rs. Nil (previous year Rs. 714 (previous year Rs. (c) Pending finalization of account of the firm. 81) & Rs.3. 9) respectively.2011 amount to Rs. 18. (a) Movement of provision for doubtful debts Particulars Opening Provision Inherited from Merger Provision made during the year Excess provision withdrawn (Credited to Miscellaneous receipts) Charged to Bad Debts (of the Balance Sheet) Closing Provision (b) Movement of provision against inventories (netted with the value of inventories) Opening provision Provision made during the year Deletion during the year Closing Provision For the year ended on 31. income and expenses of the said firm have not been accounted for the year which. 714) in respect of borrowing availed by the JCE for acquisition of aircraft which forms part of para B 4 (a) (vii) of this schedule. (b) Mr Abhay Agarwal is another 1% partner in said firm who has invested Re. 49) against capital contribution during the year (Previous year Nil) towards its 99% stake in a partnership firm namely Balsara International. 256) being due from subsidiaries.

2011 For Dabur India Ltd. Dr. Narang . Figures for the previous year have been rearranged/regrouped as and where necessary in terms of current year’s grouping. 190) (Previous Year Rs. Chartered Accountants Anil Kumar Partner Membership Number: 9390 Place: New Delhi Dated: 27th April.K. Profit before consideration of Extraordinary items Weighted average no. unlike earlier years.U at Nashik Loss on sale of specific chemical Nil Nil (Previous year Rs. Earnings per Share : A. Nil (previous year Rs.71 2.O.71 2. BASU & CO.17 issued by ICAI . 3) 2010-11 47141 0 0 0 47141 1740375960 1749664278 2. Information pursuant to AS .Chairman P.49 2. 61) on account of miscellaneous expenditure written off in consequence of preponment of the date of exercise of option right under ESOP with corresponding decline in vesting period for a part of options.49 43314 1734495558 1741295067 2. of shares outstanding Basic Diluted Earnings per share (of face value of Re 1/-) Basic Diluted C. Jain .GM (Finance) & Company Secretary .Whole time Director A. Profit after Tax (after adjustment of tax for earlier years) Less/Add : Extraordinary Expenses / Income Profit on sale of EOU Loss on sale of SPC Chemicals Miscellaneous Expenditure for preponement of date of exercise right under ESOP B. of shares outstanding Basic Diluted Earnings per share (of face value of Re 1/-) Basic Diluted 20. As per our report of even date attached For G. 115) 22. Extra Ordinary Item Includes:a) b) c) Profit on sale of E. Anand Burman .48 Rs.Whole time Director Sunil Duggal . (refer page no.114 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) 19.50 2.D.69 47141 1740375960 1749664278 2.69 2009-10 43314 -190 3 61 43188 1734495558 1741295067 2. Signatures to the Schedules “A” to “P” Annexed to and forming part of the Accounts. 21. After consideration of Extraordinary items Profit after tax (after adjustment of tax for earlier years) Weighted average no.

108 957 566 Segment assets Unallocated corporate assets Total Assets Segment liabilities Unallocated corporate liabilities Total Liabilities Capiltal Expenditure Depreciation Non-cash expenses other than depreciation SECONDARY SEGMENT As the company also exports.552 2.485 -38.902 7.813 7. Information Pursuant to AS .274 329.393 24.601 117.908 1.293 12.485 60.235 As on 31/03/11 57.601 232.955 43.020 117.815 50.395 69. Out of the total sales of Rs.020 89.808 -23. the export sales is of Rs 14329 (12652) and Domestic Sale is Rs.808 35.535 Previous Year Current Year Previous Year Current Year Previous Year Current Year Previous Year Current Year Previous Year Current Year Previous Year 287.953 6.132 1.587 11.370 43.263 23.456 3.438 9. 329535 (287955).521 27.349 9.267 3.527 216.494 31.811 8.836 3.931 1.469 13.484 99.235 69.773 1.484 89.485 1.438 2.362 As on 31/03/10 9.245 471 471 440 440 63.267 64 64 257 209 -38.245 As on 31/03/10 11.515 7.052 99.868 148.811 8.235 63. the secondary segment for the company is based on the location of customers.484 4.648 7.532 11.893 3.521 27.535 85.489 84 84 149 247 440 As on 31/03/10 3.902 6.785 7.235 69.020 99.785 7.130 As on 31/03/11 83.893 11.494 31.349 9.274 329.953 6.362 7.232 7.293 12. 315206 (275303) Dabur India Limited | 115 Financials .660 -34.628 117. 2011 (All amounts in Indian Rupees in lacs except share data) Consumer Care Business Current Year 246.924 89.370 -34.527 As on 31/03/10 99.386 1.349 224 214 7.408 12.813 63.130 47.121 4.17 issued By ICAI .628 2.362 7.191 566 Consumer Health Business Foods Others Unallocated Total REVENUE External Sales Inter-segment sales Total Revenue RESULT Segment result Unallocated corporate expenses Operating Profit Interest expense Income Tax(Current + Deferred) Profit from Ordinary Activities Exceptional item Net Profit OTHER INFORMATION 69.485 -24.899 9.628 130.485 47.785 7.902 As on 31/03/11 11.552 385 181 7.072 9.955 287.808 54.660 216.813 As on 31/03/10 50.395 246.815 6.587 466 466 671 389 6.245 6.601 148.263 As on 31/03/11 148.955 77.362 7.349 3.155 329 471 As on 31/03/11 2.020 174.121 9.026 1.21.333 43.052 1.808 35.532 355 355 1.808 1.955 43.785 As on 31/03/11 11.791 63.902 6.333 As on 31/03/10 75. For the year ended March 31.245 471 440 24.899 57.860 23.232 7.813 7.489 2.

GM (Finance) & Company Secretary . Anand Burman . Thousand) Public Issue Right Issue Nil Nil Bonus Issue Private Placement 870362 Nil Employee Stock Option Share Capital Suspense 1391 Nil III Position of Mobilisation of Deployment of Funds (Amount in Rs. Additional information as required under Part IV of Schedule VI of the Companies Act. Jain .Whole time Director Sunil Duggal . Dividend Rate % 2. Dr.71 115% V Generic names of three Principal Products/Services of company (as per monetary terms) Item Code No.K.Whole time Director A. (ITC Code) Item Code No. 2011 For Dabur India Ltd. BASU & CO.(ITC Code) 30049001 33059001 33061000 Product Description Product Description Product Description Ayurvedic Medicines Hair Oils Dentifrices Signatures to the Schedules “A” to “P” Annexed to and forming part of the Accounts.Chairman P. Chartered Accountants Anil Kumar Partner Membership Number: 9390 Place: New Delhi Dated: 27th April. Thousand) Reserve & Surplus 9270861 Unsecured Loans 2398741 Total Assets 13760066 Investments 5192299 Misc Expenditure 829499 Turnover Total Expenditure 33138310 27175741 Profit/(Loss) Before Tax Profit/(Loss) After Tax 5962569 4714140 Earning per share in Rs.D.116 | Annual Report 2010-11 23. Thousand) Total Liabilities 13760066 Sources of Funds Paid up capital 1740724 Secured Loans 175723 Deferred Tax Liaiblity (Net) 174018 Application of Funds Net Fixed Assets 5094831 Net Current Assets 2643437 IV Performance of Company (Amount in Rs.(ITC Code) Item Code No. As per our report of even date attached For G. 1956: I Registration Details Registration No Balance Sheet Date: L24230DL1975PLC07908 31 Date 03 Month State Code : 2011 Year 55 II Capital raised during the year (Amount in Rs. Narang .

the parent company being one of the joint venturers therein. BASU & CO. 2011 and also the consolidated profit and loss account and the consolidated cash flow statement for the year ended on that date annexed thereto. group as at 31st March. as well as. 2011. of the state of affairs of Dabur India Ltd. on a test basis. Dabur India Limited. Rs.24 lacs respectively of the jointly controlled corporate entity have been consolidated with this financial statement on the basis of accounts of said entity as certified by it’s management which has not been audited by us. evidence supporting the amounts and disclosures in the financial statements. we are of the opinion that the attached consolidated financial statements give a true and fair view in conformity with the accounting principles generally accepted in India:a) b) In the case of the consolidated balance sheet. in all material aspects. Chartered Accountants Firm Registration No. Our responsibility is to express an opinion on these financial statements based on our audit. An audit also includes assessing the accounting principles used and significant estimates made by the management. a domestic jointly controlled corporate entity. of the cash flows of Dabur India Ltd.301174E ANIL KUMAR Partner Membership No. of the profit of Dabur India Limited group for the year ended on that date. Based on our audit and to the best of our information and according to the explanations given to us. as at 31st March.65 lacs and Rs. We have audited the attached consolidated balance sheet of Dabur India Limited group. An audit includes examining. in accordance with an identified financial reporting frame work and are free of material misstatement. Proportionate total net assets.’s management in accordance with the requirements of AS-21 on consolidated financial statement issued by the Institute of Chartered Accountants of India.9390 Place: New Delhi Date : 27th April 2011 . We report that the consolidated financial statements have been prepared by the Dabur India Ltd. In the case of the consolidated profit and loss account. profit and net cash inflow amounting to Rs. We believe that our audit provides a reasonable basis for our opinion. We conducted our audit in accordance with the auditing standards generally accepted in India. Also consolidated herein on proportionate basis in application of AS-27 is the unaudited accounts of Forum I Aviation Limited. These standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are prepared.Dabur India Limited | 117 Consolidated Financial Statements Auditor’s Report The Board of Directors.666 lacs.’s management and have been prepared by the management on the basis of separate financial statements and other financial information regarding components. and In the case of the consolidated cash flow statement. These financial statements are the responsibility of the Dabur India Ltd. c) For G. group for the year ended on that date. evaluating the overall financial statement presentation.

102 18.505 149. Chartered Accountants Anil Kumar Partner Membership Number: 9390 Place: New Delhi Dated: 27th April. 2011 For Dabur India Ltd. 2011 As at March 31.673 26.D.757 42.622 11.411 G H 70.513 7.930 1.031 98.907 64.Whole time Director Sunil Duggal .100 1.870 4.744 98.984 19. 2011 SCHEDULE SOURCES OF FUNDS : Shareholders’ Funds : Capital Reserves & Surplus Minority Interest Loan Funds: Secured Loans Unsecured Loans Deferred Tax Liability (Net) Total APPLICATION OF FUNDS : Fixed Assets : Gross Block Less : Depreciation Net Block Capital work in Progess (including capital advances) Investments : Current Assets.554 274 246. BASU & CO. Dr.912 193.069 105. Jain .693 45.571 33.Whole time Director A.849 93.407 121.497 10.894 246. Narang .009 67.171 42.K.118 | Annual Report 2010-11 Balance Sheet as at March 31.514 112.664 3.547 27.GM (Finance) & Company Secretary .329 92.907 17.853 35.252 EA 71.111 408 8.242 51. 2010 17.067 112.610 185.023 10.375 43. Loans and Advances: Inventories Sundry Debtors Cash & Bank Balances Loans & Advances Less: Current Liabilities and Provisions Liabilities Provisions Net Current Assets : Miscellaneous Expenditure : (To the extent not written off or adjusted) Notes to Accounts Total IA P F A B B2 C D EB (All amounts in Indian Rupees in lacs except share data) As at March 31.407 74.539 376 7.350 145.576 46.231 36.739 110.690 84. Anand Burman .912 As per our report of even date attached For G.022 39.704 139.301 154.Chairman P.

520 106.027 283.242 407.89 2.88 J K L M N O IB Dr.D.) without consideration of extraordinary items Basic Diluted Notes to Accounts P As per our report of even date attached For G.000 72.K.704 15 1. 2011 410.473 70. Chartered Accountants Anil Kumar Partner Membership Number: 9390 Place: New Delhi Dated: 27th April.000 100.260 190.527 15.Dabur India Limited | 119 Consolidated Financials Profit & Loss Account for the year ended March 31.846 6.787 13.25 3.713 (216) (2) 21 106.89 2.037 2.377 3.Chairman P.530 339.869 155. Anand Burman . Narang .093 9.021 594 5. Jain .366 28.047 4.862 1.074 10.25 For the year ended March 31.922 6.27 3.776 60.056 3.27 3.556 491 50.046 -81 50.822 343.222 94.985 3.241 343.743 6.GM (Finance) & Company Secretary .) after consideration of extraordinary items Basic Diluted EARNING PER SHARE (in Rs.037 10.297 601 56.377 11.Whole time Director Sunil Duggal .836 8.474 82.104 0 207 13.127 55.315 1.577 2.857 72.Whole time Director A.889 32 56. 2011 (All amounts in Indian Rupees in lacs except share data) SCHEDULE INCOME : Sales Less Returns Less: Excise Duty Net Sales Other Income Total Income EXPENDITURE : Cost of Materials Manufacturing Expenses Payments to and provisions for Employees Selling and Administrative expenses Financial Expenses Miscellaneous Expenditure Written off Depreciation Total Expenditure Balance being Operating Net Profit before Taxation Provision for Taxation Current Deferred Net Profit After Taxation Minority Interest Net Profit After Minority Interest Balance Brought Forward Deferred Tax Liabilties for Earlier Years Provision for Taxation of Earlier Years Written Back Provision for Taxation of Earlier Years APPROPRIATIONS Proposed Final Dividend Corporate Tax on Proposed Dividend Interim Dividend Final Dividend (for earlier year) Corporate Tax on Interim Dividend Excess Corporate Dividend Tax Provided in Earlier Year Written Back Transferred to Capital Reserve Transferred to General Reserve Balance carried over to Balance sheet EARNING PER SHARE (in Rs.517 414.88 2.220 2.446 (40) 134 5.498 0 1. For the year ended March 31.967 129.520 0 (19) 19 129.471 32.034 1. BASU & CO. 2010 341. 2011 For Dabur India Ltd.

033 953 229 3.Indirect Method Particulars (All amounts in Indian Rupees in lacs except share data) For the year ended March 31.243 10.462 65.284 7.395) 11.018) .922 1.841 3.232 154 60. Cash Flow from Investing Activities Purchase of Fixed Assets Sale of Fixed Assets Purchases of Investment including Investment in Subsidiaries Interest Received Sale of Investments Dividend Received Cash Used(-)/(+)Generated For Investing Activities (B) 70.215 79.093 11.580 1.268 240 2. Written off Miscellaneous Exp.112 (93.999 12.890 (16.823) 1.297 65.638 (527.127) 528 (475.231 22. 2010 A.497 82.087 (4.607 2.989) 4.496 4.241 88 2 1. Written off (Included in Director Remun.816 2.444 (106.027 204 159 594 353 1.939 61.145 (23.357 3.069 789 1.) Interest Unrealised Loss / (Gain) in Foreign Exchange Less: Interest Received Profit on Sale of Investment Profit on Sale of Assets Operating Profit Before Working Capital Changes Working Capital Changes Increase/(Decrease) in Inventories Increase/(Decrease) in Debtors Decrease/(Increase) in Trade Payables Increase/(Decrease) in Working Capital Cash Generated from Operating Activities Interest Paid Tax Paid Cash Used(-)/(+)Generated For Operating Activities (A) B. 2011 For the year ended March 31.787 6.040) 13. Cash Flow from Operating Activities Net Profit Before Tax and Extraordinary Items Add: Depreciation Loss on Sale of Fixed Assets Fixed Assets Discared Miscellaneous Exp.038) 2.552) 789 517.271 (37.447 15.519 28.583 460.120 | Annual Report 2010-11 Statement of Cash Flow (Pursuant to AS-3) .147) 5.495 50.690 49.034 (1.723 67.

011 19.522) (3.802) (2. Narang . Jain .231 25 5.K.D.Whole time Director A. Anand Burman .252) 64.Whole time Director Sunil Duggal .294 8.) Particulars (All amounts in Indian Rupees in lacs except share data) For the year ended March 31.242 50 10. 2011 For the year ended March 31.574) (23.162 (19.196) (2. 2011 For Dabur India Ltd. 2010 C.598) (15. BASU & CO.Chairman P.Dabur India Limited | 121 Consolidated Financials Statement of Cash Flow (contd.176 16.GM (Finance) & Company Secretary . Chartered Accountants Anil Kumar Partner Membership Number: 9390 Place: New Delhi Dated: 27th April.668 19.867 149 25 836 (3.231 27.309) 3. Dr.791 57 As per our report of even date attached For G. Cash Flow from Financing Activities Proceeds from Share Capital & Premium Repayment(-)/Proceeds (+) of Long Term Secured Liabilities Repayment(-)/Proceeds(+) from Short Term Loans Repayment(-)/Proceeds(+) from other Unsecured Loans Payment of Dividend Corporate Tax on Dividend Cash Used(-)/+(Generated) In Financing Activities (C) Net Increase(+)/Decrease (-) In Cash and Cash Equivalents (A+B+C) Cash and Cash Equivalents Opening Balance Cash and Cash Equivalents Closing Balance Cash and Cash Equivalents Year end Cash in Hand Cash at Bank : Current Accounts : Fixed Deposits Remittance in Transit 14 (323) 215 87.358 13.563 15.

187) 683 4.253 72.009 7.794 7.457 25.907 SCHEDULE-D Unsecured Loans Term Loan from Banks Short Term Loan from Bank Security Deposit from Dealers and Others Sales Tax Deferred Total 71. 1 each (Previous Year 1450000000 Equity Shares of Re. 2011 SCHEDULE-A Share Capital Authorised : 2000000000 Equity Shares of Re. 2011 (All amounts in Indian Rupees in lacs except share data) As at March 31.from Banks As at March 31. 2010 20.455 84.407 2.540 100.500 14.074 1.690 1.122 | Annual Report 2010-11 Schedule Annexed to and forming part of the Balance Sheet as at March 31.558 314 11. 1 each) Share Capital Suspense Account SCHEDULE-B Reserves and Surplus Capital Reserve Share Premium Account Exchange Fluctuation Reserve Employees Housing Reserve Fund General Reserve Profit and Loss Account Legal Reserve Special Fund Employee Stock Option Scheme Outstanding Total Note : Rs 1493 out of legal reserve and entire special reserve represents statutory reserve inherited from three subsidiaries (incorporated in Turkey) having joined the group during the year which have been retained as above against corresponding debit in Amalgamation Adjustment account SCHEDULE-B2 Minority Interest Share Capital Share Premium Capital Reserve General Reserve Profit & Loss Total SCHEDULE-C Secured Loans I) Term Loans : from Banks II) Deferred Payment Credit (other than Banks) III) Short Term Loans .023 10.074 (1.407 17.031 1.704 14.681 121. 1 each) Issued and Subscribed: 1740723798 Equity Shares of Re.158 459 290 10.676 14 8.520 65 1.834 519 259 98.000 20.938 32 586 8.849 203 9 127 11 58 408 203 9 127 11 26 376 889 133 6.039 190 5.1 each fully called up (Previous Year 867585830 Equity Shares of Re.967 1.069 .500 8.000 17.

Current Liabilities : Acceptance Creditors for Goods Creditors for Expenses and other Liabilities Advance from Customers Interest Accrued but not due Investor Education and Protection fund to be credited by : Unpaid Dividend B.022 SCHEDULE-EB Deferred Tax Liabilities (Net) Deferred Tax Liability : Depreciation Less: Deferred Tax Assets Other disallowances under section 43B of Income Tax Act 1961 Provision for Contingent Liabilty Provision for Service Benefits Provision for Doubtful Advances Provision for Doubtful Debts Net Deferred Tax Liability (Decrease)/Accretion in Deferred Tax Liability Less: Deferred Tax Liabiity inherited from new entrant Deferred Tax Liability provided during year Add Deferred Tax Liabilty of earlier year written back Less : Deferred Tax Assets Trf to General Reserve Deferred Tax Liability Provided during the Year 4.622 1.757 10.836 229 932 308 25. 2011 SCHEDULE-EA Current Liabilities and Provisions A.080 6. 2010 6.693 11.863 35.862 1.042 27.350 145.067 372 96 275 216 0 491 . 2011 (All amounts in Indian Rupees in lacs except share data) As at March 31.921 33.614 34.846 176 1.700 2.329 92.022 53 54 1.456 60 364 71.190 45.Dabur India Limited | 123 Consolidated Financials Schedule Annexed to and forming part of the Balance Sheet as at March 31.128 1.116 74.619 27 375 57 60 2.091 19 406 3.407 As at March 31. Provisions : For Dividend (Proposed) .Final For Corporate Tax on Proposed Dividend Final For Liabilities Disputed For Gratuity For Leave Salary For Others For Taxation 6.633 1.894 827 226 601 0 0 601 2.199 164 25 304 46.315 1.124 24.561 570 6.

889 2.889 2.2010 Depreciation Net Block Name of Asset 124 | Annual Report 2010-11 Opening 01.907 0 1.740 99.171 67.490 536 149.409 12.073 1.091 2.(All amounts in Indian Rupees in lacs except share data) SCHEDULE-F Fixed Assets Gross Block Additions during the year 527 5.03.673 54 554 1.074 7.199 961 1.996 19.571 3. 1063 (previous year Rs.269 1.770 5 897 333 4 5 1.261 351 266 282 15 163 27 3.580 90.907 10.740 3.03.480 24.301 936 193.04.870 4.2011 As on 31.009 67.553 770 82 852 27 262 35 4.030 5.063 26.03.802 4 78.120 88 6.375 33.03.949 4.234 43.495 1.384 197.111 939 2.580 30.313 770 64.2011 Opening 01.705 4.2011 As on 31.108 Leasehold Land Buildings Plant & Machinery Computer Vehicles Furniture & Fixture Trade Marks & Patent Live Stock Freehold Land Goodwill Computer Software Schedule Annexed to and forming part of the Balance Sheet as at Capital Work In Progress Total Fixed Assets Previous Year March 31.176 3.04.981 406 3.151 333.737 988 2.678 39.568 1.664 3.667 98.242 1.184 2.936 1.177 107 95.165 15 1.682 5.434 3.130 2.448 4.676 33. 2187) .809 44.027 3.553 78.813 25.631 27.614 853 4.505 33. 2011 Capital work in progess includes advance against capital goods Rs.552 1.710 54.2010 1.673 Sale/Transfer/ Adjustment Closing 31.301 154.318 1.505 43.907 10.079 26.937 101.742 9 355 103 8.240 275 343 923 529 664 76.009 101.595 10.575 31.516 1.145 547 547 1.2010 For the year Sale/Transfer/ Adjustment Closing 31.145 2.

61 2 LIC Mutual Fund (Purchase during the year) Units 2031199.000.68 14 Kotak Mahindra Mutual Fund (Purchase during the year) Units 137832710.500 - - - - - - - - 1.937 5 DWS Mutual Fund (Purchase during the year) Units Nil (Sold during the year) Units 3646031.190.25 6 Taurus Mutual Fund (Purchase during the year) Units 1653134.00 (-) (35.47 10 IDBI (Purchase during the year) Units 119447557.937 (Sold during the year) Units 94560546.43 (Sold during the year) Units 103467237.657 - 500 - 1. 2011 March 31. 2010 (-) (-) (4.47 (Sold during the year) Units 452456.63) (4.68 (Sold during the year) Units 230718475.6 11 ABN Amro Mutual Fund (Purchase during the year) Units 141304710.26 (Sold during the year) Units 19243323.646.83) 9.91 7 Birla Mutual Fund (Purchase during the year) Units 87630277.262.376.26 13 JPM Mutual Fund (Purchase during the year) Units 240718475.308.18 (Sold during the year) Units 141304710.266.Institutional Plus-Growth (Purchase during the year) Units 42818479.765.34) (15.2011) SCHEDULE-G Investments A Current Investments I) Quoted-Other than trade 1 Axis Mutual fund (Purchase during the year) Units 10114965.413.00) (-) (-) (-) (-) 10.000.75 (Sold during the year) Units 173640972.808.Dabur India Limited | 125 Consolidated Financials Schedule Annexed to and forming part of the Balance Sheet as at March 31.000.6 (Sold during the year) Units 119447557.28 (Sold during the year) Units 2085324.808.21 (Sold during the year) Units 2031199.00 (-) (3. 2011 (All amounts in Indian Rupees in lacs except share data) Numbers ( As on 31.03.15) - - - - - 734 964 - - 400 - 4.21 3 LIC Mutual Fund (Purchase during the year) Units 98658823.98 9 DSP Mutual Fund (Purchase during the year) Units 452456.39 8 CHOLA Liquid Fund .031.25) (432.000 .05 (Sold during the year) Units 91938653.90 As at As at March 31.000 - - 4.26 4 DWS Mutual Fund (Purchase during the year) Units 103827311.000.18 12 Lotus Liquid Fund (Purchase during the year) Units 19243323.61 (Sold during the year) Units 10114965.98 (Sold during the year) Units 57818479.

051. 2011 March 31.96) (2.000.426.811.85 25 HDFC Mutual Fund (Purchase during the year) Units Nil (Sold during the year) Units 2499225.06 (-) (10.509.000 - 202 2.53) (-) 2.375 1.00 (-) 500 - .33 43 - 79 1. 2011 (All amounts in Indian Rupees in lacs except share data) Numbers ( As on 31.43 (Sold during the year) Units 66945401.500 - 5.89 (Sold during the year) Units 20132404.92 23 UTI Mutual Fund (Purchase during the year) Units 52907027.000.70 (Sold during the year) Units 36890253.784.77 21 Sundram Mutual Fund (Purchase during the year) Units 10777270.000.50 (Sold during the year) Units 53205597.34 (Sold during the year) Units 54725601.00 (20.99 28 JM Mutual Fund (Purchase during the year) Units 140128693.4 20 SCB Mutual Fund (Purchase during the year) Units 48435735.225.22) (14.947.71 (Sold during the year) Units 78104134.82 29 Fidelity Mutual Fund (Purchase during the year) Units 151673659.000.52 19 HSBC Mutual Fund (Purchase during the year) Units 42071769.34 17 Prudential Mutual Fund(forum) (Purchase during the year by JCE) (Sold during the year by JCE) 18 Reliance Liquid Fund (Purchase during the year) Units 225037990.666.499.906.25 (Sold during the year) Units 67013453.41 24 HDFC Mutual Fund (Purchase during the year) Units 15130456.54 (Sold during the year) Units 10777270.2011) SCHEDULE-G (Contd.99 (Sold during the year) Units 233089650.659.993.50 16 Prudential Mutual Fund (Purchase during the year) Units 44725601.001.03.000 (310.69) (8.99) 10.850.000.345.491 - - 2. 2010 - - - 1.54 22 TATA Mutual Fund (Purchase during the year) Units 11896908.501 - 1.24 26 Templeton Mutual Fund (Purchase during the year) Units 78104134.500 - 500 250 - - - 1.24) (-) (10.71 27 Templeton Mutual Fund (Purchase during the year) Units Nil (Sold during the year) Units 10906784.15 (Sold during the year) Units 129317414.000.126 | Annual Report 2010-11 Schedule Annexed to and forming part of the Balance Sheet as at March 31.16) (5.34) (-) (24.) 15 Principal Mutual Fund (Purchase during the year) Units 53205597.106.00) As at As at March 31.4 (Sold during the year) Units 42071769.06 (Sold during the year) Units 146673659.278.

884 1.07 31 Bank of Baroda (Purchase during the year) Units 111959866.500 3.03.00 (-) 1.000.02) 4.416 2.000.788.91 (-) (-) As at As at March 31. (Purchased during the year) Units 500 2 (14.00 (-) 500.413 2.359 1.500. 2011 (All amounts in Indian Rupees in lacs except share data) Numbers ( As on 31.133.000 960 914 905 - 2.000.128.00 (-) 1.000.551.63 33 PRAMERICA (Purchase during the year) Units 44719625.431 2.500.500.397 2.500.00 (-) 1.811. 2010 1.49 (Sold during the year) Units 121948289.00 (-) 500.000.078 500 - - - 5.00 (-) 100.00 (-) 4.) 30 CANARA Mutual Fund (Purchase during the year) Units 38182087.318.01 (Sold during the year) Units 52765875. Ltd.583.706 1.00 (-) 2.Dabur India Limited | 127 Consolidated Financials Schedule Annexed to and forming part of the Balance Sheet as at March 31.06) 330.00 (-) 2.54 (Sold during the year) Units 539102560.00 (-) 2.337 1.33 32 Peerless (Purchase during the year) Units 543913694.00 (-) 1.2011) SCHEDULE-G (Contd.00 (-) 500.85 II) Certificate of Deposits & Commercial Papers (Purchased during the year) a) Certificate of Deposits 1 ING Vyasa Bank (Purchased during the year) Units 5000 ICICI Bank (Purchased during the year) Units 2500 3 Punjab National Bank (Purchased during the year) Units 2500 4 AXIS Bank (Purchased during the year) Units 2500 5 Dena Bank (Purchased during the year) Units 2500 6 Dhanlaxmi Bank Limited (Purchased during the year) Units 1500 7 Reliance Capital Limited (Purchased during the year) Units 100 8 Corporation Bank (Purchased during the year) Units 1000 9 State Bank of Patiala (Purchased during the year) Units 1000 10 Dhanlaxmi Bank Limited (Purchased during the year) Units 1000 b) Commercial Papers 11 Religare Finvest (Purchased during the year) Units 500 12 JM Financial Products Limited (Purchased during the year) Units 500 13 JM Financial Services Pvt.18 (10. 2011 March 31.00 (-) 2.371 - .874 2.85 (Sold during the year) Units 44719625.

00 (-) As at As at March 31. 2011 (All amounts in Indian Rupees in lacs except share data) Numbers ( As on 31.128 | Annual Report 2010-11 Schedule Annexed to and forming part of the Balance Sheet as at March 31.366 1.) 14 Reliance Capital Limited (Purchased during the year) Units 500 15 Reliance Capital Limited (Purchased during the year) Units 400 16 Religare Finvest (Purchased during the year) Units 200 17 Religare Finvest (Purchased during the year) Units 200 18 Religare Finvest (Purchased during the year) Units 200 B.000) 100 (100) 15 (15) 3 (3) 250 (250) 500.700 (2.00 (-) 400.(Other than Trade Investments) 1 2 Sanat Products Ltd Dabon International Pvt Limited 50.00 (-) 200.700) (100) (1.000) 10.000 (10.00 (-) 200.500) (400) (600) 10.2011) SCHEDULE-G (Contd.872 972 969 926 - 105 27 105 27 II) Quoted -Equity Shares . 2010 2.00 (-) 200.Other than Trade 1 2 3 Commerce Centre Cooperative Housing Society Limited Capexil (Agencies) Limited Dabur Employees Consumers Co-op Stores Limited 0 0 0 0 0 0 . Long Term Investment: I) Unquoted -Equity Shares .000) 2.600) (200) (225) (2.Other than Trade Investments 1 2 3 4 5 6 7 8 9 Colgate Palmolive India Ltd (Sold during the year) 100 Shares Indusind Bank Ltd (Sold during the year) 1600 Shares Trent Limited (Sold during the year) 200 Shares Proctor & Gamble (I) Ltd (Sold during the year) 225 Shares Hindustan Unilever Ltd (Sold during the year) 2500 Shares Godrej Consumer Products Ltd (Sold during the year) 400 Shares Godrej Industries Ltd (Sold during the year) 600 Shares Saraswat Co-Op Bank Ltd The NKGSB Co-Op Bank Ltd 0 1 0 0 1 1 1 2 0 0 0 1 0 10 Rupee Co-Op Bank III) Unquoted Equity Shares .000 (10.03. 2011 March 31.000 (50.

467 674 11.) 4 5 6 7 Dabur Employees Cooperative Credit Society Ltd Co-operative Stores Limited.616 42.984 . Current Assets : Inventories Raw material Packing Material.772 1.811 27.622 110 1.667 15.744 26.437 35.771 27 42. 2011 March 31.547 674 1. 2 Provision for dimunition in long term trade investment pertains to investment in Dabon International Pvt Ltd.000) 18.Dabur India Limited | 129 Consolidated Financials Schedule Annexed to and forming part of the Balance Sheet as at March 31.662 110 35. Treasury Bill 49 2 0 804 42. 2011 (All amounts in Indian Rupees in lacs except share data) Numbers ( As on 31. 2010 0 0 0 2 0 0 0 2 IV) Investment in Capital of Parnership Firm 1 1 2 3 Balsara International National Saving Certificates (inherited from merged entity Rs 0.438 27 26.181 V) Government Bonds/Securities other than Trade C. Super Bazar Saraswat Co-op Bank Ltd Shivalik Solid Waste Management Ltd 650 (650) 500 (500) 1.2011) SCHEDULE-G (Contd.467 2.000 (18.000 (1. 2011 SCHEDULE-H Current Assets.883 12.53) Kisan Vikas Patra Egyptian Govt.845 5. Share Application money in subsidiary Pending Allotment (paid during the last year) Total Less Provision for diminution in value of long term trade investment Total NOTES : 1 All Equity shares are fully paid up. Loans and Advances A.411 49 2 0 1.000) As at As at March 31.970 70.494 6. Stores and Spares Stock in Process Finished Goods Sundry Debtors (Unsecured) : Debts Outstanding for a period exceeding six months : Considered Good Considered Doubtful Less : Provision for Doubtful Debts Other Debts (Considered Good) As at March 31.189 7.853 14.662 1. As at March 31.03.141 1.310 11. 2010 22.

Previous Year Rs.176 16. Authorities Rs.242 133. 82) Advance to Employees (Net of provision for doubtfuls Rs.900 Previous year Rs. 2011 (All amounts in Indian Rupees in lacs except share data) As at March 31. 20) Balance with Excise Authorities Other Advances Recoverable in Cash or in kind or for value to be received Total (A+B) As at March 31.078 51.295 1.516 470 2. 2010 50 10. Previous Year Rs.358 13.443 2.250 2.102 864 484 127 1.867 0 149 25 5.807 10. 86.737 33.888 602 2.574 3.252 36.130 | Annual Report 2010-11 Schedule Annexed to and forming part of the Balance Sheet as at March 31.511 211 11.739 110. 467) Advance Payment of Tax Advances to Suppliers (Net of provision for doubtfuls Rs. 304) In Fixed Deposits Accounts (pledged with Government authoroties Rs.837 4.642 57 19.949 3.576 SCHEDULE-IA Miscellaneous Expenditure (To the extent not written off or adjusted) Deferred Employee Compensation under ESOP Opening balance Addition during the year Less : Cancelled during the year Less: Amortised during the year Amalgamation Adjustment Account Total 274 11. 364 in Unpaid Dividend Account. Considered Good) Security Deposit with various authorities(including Deposit with Govt.845 3.580 24. 10. .991 6. 10) Balances with Non Scheduled Banks Remittance in transit & Cheques in hand B.791 27. 2011 SCHEDULE-H (Contd. previous year Rs.231 73. Loans and Advances (Unsecured.) Cash and Bank balances Cash in Hand Balances with Banks : In Current accounts (includes Rs. 20. previous year Rs.279 8.610 185.221 947 274 274 Note : Amalgamation adjustment account refer to adjustment necessitated on account of retention of statutory/compulsory reserve of entities merged in the group under purchase method subsequent to their take over by the group.

Other Income : Interest Received Export Subsidy Rent Realised Sale of Scrap Miscellaneous Receipts Profit on Sale of current investments other than trade Profit on Sale of long term investments other than trade Profit on Sale of Fixed Assets 370.283 (1.745 22. 2011 SCHEDULE-IB Miscellaneous Expenditure Written Off Deferred Employee Compensation under ESOP Less : Transferred to Director remuneration Total SCHEDULE-J Sales and Other Income A.182 14.442 23.616 21.033 431 595 846 1.831 6.467 33.357 1.750 136.506 489 121.977 5.775 58.430 936 17 229 6.862 6.824 12.161 78.811 27.922 1.667 15.268 0 240 4.105 1.781 (12.027 22.028) 155.073 20.577 789 533 142 745 1. 2010 (All amounts in Indian Rupees in lacs except share data) For the year ended March 31.156) 190. 2011 For the year ended March 31. Sales : Domestic Sales Less Returns Export Sales B.822 SCHEDULE-K Cost of Materials Raw Materials Consumed : Opening Stock Inherited from new Entrants Add : Purchases Less : Closing Stock Packing Material Consumed : Opening Stock Add : Inherited through merger Add : Purchases Less : Closing Stock Purchase of Finished Products Adjustment of Stocks in Process and Finished Goods Opening Stock : Stock in Process Inherited from new Entrants Finished Products Inherited from new Entrants Closing Stock : Stock in Process Finished Products Increase/(Decrease) in Stock in Process and Finished Goods 14.255 5.940 40.056 52.098 6.804 52.517 3.171 83.279 1.625 7.999 12.002 66.822 21.604 14.985 2.110 341.045 410.074 .883 113.527 6.922 947 353 594 594 308.970 35.Dabur India Limited | 131 Consolidated Financials Schedule Annexed to and forming part of the Profit & Loss Account for the year ended March 31.506 81.804 859 71.433 95.616 1.667 900 15.

286 1.594 2.363 32.031 2. 2010 4.228 3.905 14 152 613 50 92 0 204 159 82.567 53.471 SCHEDULE-M Payment to and Provisions for Employees Salaries.681 1.172 5.456 4.348 3.034 1. Discount and Rebate Advertising and Publicity Travel & Conveyance Legal & Professional Telephone.220 SCHEDULE-O Financial Expenses Interest paid on : Fixed Period Loan Others Bank Charges 697 1. Wages and Bonus Contribution to Provident and Other Funds Workmen and Staff Welfare Directors’ Remuneration 25.506 1.675 49.366 (All amounts in Indian Rupees in lacs except share data) For the year ended March 31.239 2.470 564 3. 2011 For the year ended March 31.367 10.451 566 531 308 6.002 2.677 1.591 486 689 1.514 2.106 2.056 2.992 612 640 11.856 15.022 .132 | Annual Report 2010-11 Schedule Annexed to and forming part of the Profit & Loss Account for the year ended March 31.026 2. Fax Expenses Security Expenses General Expenses Directors’ Fees Auditors’ Remuneration Donation Contribution to Scientific Research Expenses Provision for Doubtful Debts Provision for Doubtful Advances Loss on Sale of Fixed Assets Fixed Assets written down 3.206 13 146 718 368 170 4 88 2 94.277 586 547 10.804 4.222 23.474 SCHEDULE-N Selling and Administrative Expenses Rent Rates and Taxes Insurance Sales Tax Freight & Forwarding Charges Commission.369 331 655 963 2.220 560 658 830 9.451 571 2.773 345 1. 2011 SCHEDULE-L Manufacturing and Operating Expenses Power and Fuel Stores and Spares Consumed Repairs & Maintenance Building Plant & Machinery Others Processing Charges 5.651 28.

expenses and contingent liability pertaining to year. their assets were due for capitalization) on account of exchange fluctuation has been credited to capital reserve.(a body corporate incorporated in Nigeria. (a subsidiary body corporate incorporated in Nepal.5% stake wherein is held by Dabur International Ltd. & 97. (a wholly owned subsidiary body corporate. 2011 The accounts have been prepared in accordance with the historical cost convention. and Dabur Egypt Ltd. 90% stake wherein is held by Dabur International Ltd & 10% stake held by Dabur (UK) Ltd ). Actual result could differ from such estimates. UAE). which has control of composition of Board of Directors of the former being raison d’etre of subsidiary status). Principles of consolidation: The Consolidated Financial Statement relates to Dabur India Limited (the parent company) and H&B Stores Limited (a wholly owned subsidiary company incorporated in India). Naturelle LLC (a wholly owned subsidiary body corporate incorporated in Emirate of Ras Al Khaimah. African Consumer Care Ltd (a wholly owned subsidiary body corporate incorporated in Nigeria. 2. (a wholly owned subsidiary body corporate incorporated in British Virgin Island. Dermoviva Skin Essentials Inc (a wholly owned subsidiary body corporate incorporated in USA. (a wholly owned subsidiary body corporate incorporated in Isle of MAN).).21% stake wherein is held by Dabur India Ltd. under accrual basis of accounting as per Indian GAAP.). 38. 97. is reported in notes to accounts in the year of incorporation of revision. 1956 and guidelines issued by SEBI as applicable. Accounting Convention: March 31. 100% stake wherein is held by Urban Laboratories International LLC) and three wholly owned overseas body corporates incorporated in Turkey named Hobi Kozmetik. Weikfield International (UAE) LLc (a subsidiary body corporate incorporated in UAE. including its impact on financial statement. Hair Rejuvenation and Revitalization Nigeria Ltd. Dabur Egypt Trading Ltd. liabilities. 100% stake wherein is held by Dabur International Ltd). respectively) Namaste Laboratories LLC (a wholly owned subsidiary body corporate. (a subsidiary body corporate incorporated in Bangladesh.. The financial statements of the parent company and its subsidiary companies have been combined on a line-by-line basis by adding together the book values of like items of assets. Dabur Nepal Pvt. Investments of parent company in subsidiaries are eliminated against respective proportionate stake of parent company therein on the respective dates when such investments were made by way of debiting/crediting the difference of the two in goodwill/ capital reserve except for DNPL where the same is adjusted against share premium account. 76% & 24% of stake wherein are held by Dabur (UK) Ltd. revenue. and Dabur International Ltd. Ltd. (a subsidiary body corporate incorporated in Pakistan. rise in the value of stake of parent company in terms of reporting currency upto the date of commercial production (i. under pooling of interest method read with the following basic assumptions: I. Healing Hair Laboratories International LLC (a body corporate incorporated in USA. 99. 99% and 1% of stake wherein are held by Dabur International Ltd. incorporated in USA. Asian Consumer care Pvt. the financial statements relate to. provisions of the Companies Act. 100% right shares wherein is exercised by Dermoviva Skin Essentials Inc). incorporated in Egypt. Ltd. 2. after fully eliminating intra-group balances and intra-group transactions and resulting in unrealized profits or losses. Dabur Egypt Ltd. Ltd. 100% right shares wherein is exercised by Namaste Laboratories LLc). Dabur International Ltd. 100% rights shares wherein is exercised by Namaste Laboratories LLC).41% stake wherein is held by Dabur International Ltd. Indian GAAP enjoins management to make estimates and assumptions that affect reported amount of assets. Any revision in accounting estimate is recognized prospectively from current year and material revision. Subsequent generation of reserve other than that of the nature of capital reserve including gain/ loss arising on account of translating the transactions of the year. Zeki Plastik and Ra Pazarlama (100% stake in each is held by Dabur International Ltd.e. In respect of foreign subsidiaries.79% stake wherein is held by Dabur International Ltd.). Accounts and disclosure thereon comply with the Accounting Standards specified in Companies (Accounting Standard) Rules.Dabur India Limited | 133 Consolidated Financials (All amounts in Indian Rupees in lacs except share data) Schedule Annexed to and forming part of the Accounts for the year ended SCHEDULE-P Accounting Policies & Notes To Accounts A. (a wholly owned subsidiary body corporate incorporated in Egypt. ACCOUNTING POLICIES Significant accounting policies are summarized below: 1. liabilities. The consolidated financial statements have been prepared on the basis of AS-21.. 76% stake wherein is held by Dabur International Ltd. Dabur (UK) Ltd. Urban Laboratories International LLC (a wholly owned subsidiary. the date.. year-end assets and liabilities of the foreign subsidiaries for the .99% stake where in is held by Dabur International Ltd). respectively). other pronouncements of ICAI. income and expenses. Asian Consumer Care Pakistan Pvt.). 100% stake wherein is held by Dabur International Ltd.

• Patent and trade marks are amortized equally over a period of ten years. when crystallizes. Ltd. • Stores and fixtures in H & B Stores Limited are amortized over a period of eight years. . • Softwares are amortized over the period of five years on straight line basis. written down value of their assets are subjected to depreciation charge under straight line method at rate which enables respective assets to be amortized within their respective life span assessed under Schedule XIV of the Companies Act. 4. by way of proportionate allocation of subsidy amount thereon.134 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) purpose of consolidating with parent company’s assets at exchange rates ruling on year-end-date has been recognized as reserve specifically earmarked for the purpose. has been disclosed in the consolidated financial statement separately from liability and equity of shareholders of parent company. Fixed assets of the overseas subsidiaries have been accounted for in terms of the exchange rate ruling at the point of capitalization of such assets or takeover of the subsidiary whichever is later. Minority interest. • In respect of part of 5/1 Sahibabad. prior to the date of their takeover. direct expenses and overheads (except for those relating to existing employees of company deputed for project implementation) are capitalized only. Apart from test of impairment within the meaning of AS 28 issued by ICAI. if any.. taxes and expenses incidental to acquisition and installation. II. where lying. individual tangible fixed assets of various CGU’s are identified for written down on the ground of obsolescence.Dhaka. Impairment loss. of permanent nature as required under AS-13 issued by ICAI. in the net income of consolidated subsidiaries have been adjusted against the income of the group so as to arrive at net income attributable to the parent company. depreciations have been provided on straight line method at the rates prescribed under schedule XIV. • Depreciation has been provided at rates provided in schedule XIV of Companies Act. Investments: Long term investments are held at cost. duties. • Fixed assets inherited from entry of new entity in business combination pursuant to its acquisition by the group are carried at price corresponding assets were held in the books of newly acquired entity at the point of its acquisition. Provision is made against diminution in carrying cost of investment. • Cost includes inward freight. depreciation on fixed assets have been provided on written down value method at rates prescribed under schedule XIV for remaining fixed assets. damage. 5. Depreciation is charged on net fixed assets is subject to deduction of subsidy amount. Narenderpur and Alwar Unit of the parent company and Asian Consumer care Pvt. • In respect of fixed assets of new entrants in the group having followed different basis of charging depreciation. consisting of equity attributable to them on the date such investments were made by the parent company and movement in their equity since the date of parent subsidiary relationship. in the same manner as the parent company’s separate financial statements unless stated otherwise. (a) Fixed Assets and Depreciation: • Fixed assets are stated at cost subject to deduction of accumulated depreciation. forming part of subsidy scheme granted. Translation of overseas subsidiaries from foreign currencies to reporting currency: Current assets/ outside liabilities and income/ expenses of overseas subsidiaries have been translated in reporting currency in terms of exchange rates prevailing on year-end date and average rate respectively on the basis of non-integral operation approach as per revised AS-11 there by accounting for the aggregate net impact of exchange fluctuation in this regards as exchange reserve shown under the head of Reserve and Surplus. (b) Impairment of Fixed Assets: Tangible fixed assets under cash generating unit concept and intangible fixed assets under assets specific context are identified at the year-end in terms of AS 28 and AS 26 respectively for the purpose of arriving at impairment loss thereon. is charged against revenue of the year. if any. • Capital Subsidy received against fixed capital outlay is deducted from gross value of individual fixed assets. Minority interest. III. • For Green field project. redundancies & un-usability at the year end. being the difference between the book value and recoverable value of relevant assets. 1956. The consolidated financial statements are prepared by adopting uniform accounting policies for like transactions and other events in similar circumstances and are presented to the extent possible. 3.

match. • Other employee’s benefits as per actual liability accrued. 13. 10. Contingent Liabilities: Disputed liabilities and claims including claims raised by fiscal authorities. • Sales comprise of sale price of goods including excise duty and exclude sales tax and discount. 11. 8. • All items of incomes and expenses have been accounted for on accrual basis except for those income recognized on realization basis on the ground of uncertainty as laid down under AS-9 issued by ICAI. Income Tax & Deferred Tax: Income Tax is estimated considering the provisions of the Statute. • Post separation benefits of directors. when reliably estimable. ii.Dabur India Limited | 135 Consolidated Financials (All amounts in Indian Rupees in lacs except share data) Current investments are held at lower of cost and NAV/Market value. Deferred tax is recognized for entities where the same is mandatory applicable subject to the consideration of prudence. 7. • Gratuity Liability on the basis of actuarial valuation as per AS 15 (revised). on the basis of actuarial valuation as per AS 15 (revised). Research and Development Expenses: Contributions towards scientific research expenses are charged to the Profit & Loss Account in the year in which the contribution is made. 12. payroll taxes and 40IK. Fixed assets have been converted at the rates prevailing on dates of purchase. Recognition of Income and Expenses: • Sales and purchases are accounted for on the basis of passing of title to the goods. . on the basis of actual liability accrued and paid to trust / authority. the parent company has provided liability accruing on account of deferred entitlement towards LTC in the year in which the employees concerned render their services. which is of the nature of long term employees benefit. 9. Foreign Currency Translation: (a) In respect of foreign branches/offices integral foreign operation approach has been adopted as per revised AS11 and accordingly revenue items have been converted at average of month end exchange rates during the year. present obligation as a result of past event with possibility of outflow of resources. is recognized in accounts. Basis of determination of cost remain as follows: • Raw materials. Defined Benefit Plans: • Leave Salary of employees on the basis of actuarial valuation as per AS 15 (revised). Retirement Benefits: Liabilities in respect of retirement benefits to employees are provided for as follows :i. Inventories: Stocks are valued at lower of cost or net realizable value. ESI. on time differences being the difference between taxable income and accounting income that originate in one period and capable of reversal in one or more subsequent periods. Packing materials. Deferred Entitlement on LTC: In terms of the opinion of the Expert Advisory Committee of the ICAI. • Provident fund. Defined Contribution Plan: • Liability for superannuating fund on the basis of the premium paid to the Life Insurance Corporation of India in respect of employees covered under Superannuating Fund Policy. • Finished goods:At cost of input plus appropriate Overhead. Assets & Liabilities other than fixed assets are converted at the year-end exchange rate. Exchange gain or loss arising out of above is accounted for in Profit & Loss Account. 6. However. pending in appeal/court. for which no reliable estimate can be made of the amount of obligation or which are remotely poised for crystallization are not provided in accounts but disclosed in notes on accounts. Stores & Spares :On Weighted Average Basis • Work-in-process:At cost of input plus overhead upto the stage of completion.

Derivative Trading: The company enters into derivative transaction of the nature of currency future or forward contract with the object of hedging against adverse currency fluctuation only (not being for trading or speculation) in respect of import / export commitment and exposure in foreign currency. 15. • Statutory/compulsory reserves inherited from merger/amalgamation/acquisition of new entities are shown under this head as “Amalgamation Adjustment Account” for the purpose of their retention under “Reserve and Surpluses” head in liability side. 16. liabilities appearing in transferor entity on the date of such merger / amalgamation for the purpose of arriving at the figure of goodwill or amalgamation reserve. 17.136 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) (b) Transactions of parent and domestic subsidiaries with overseas parties are recognized at currency rate ruling on the date of transaction. • Employee’s contribution for the nominal value of share in respect to option granted to employees of subsidiary company is being reimbursed by subsidiary companies to holding company. the assets / liabilities being accounted for in terms of book values of assets. (c) During the course of merger/amalgamation/acquisition under purchase method excess/shortfall of consideration money over visà-vis net assets (gross assets less outside liabilities) inherited under such deal is accounted for as goodwill/amalgamation or capital reserve. If balance sheet of transferor/acquired entity has any compulsory/statutory reserve at point of its transfer/acquisition. (b) Acquisition: Any new entity joining business combination consequent upon acquisition of its shares/rights by any of the entities in group is accounted for under purchase method. Amalgamation Adjustment Account is reversed only after withdrawal of relevant statutory/compulsory reserve following expiry of fulfillment of statutory period/objective. Employees Stock Option Purchase (ESOP): • Aggregate of quantum of option granted under the scheme in monetary term (net of consideration of issue to be paid in cash) in terms of intrinsic value has been shown as Employees Stock Option Scheme outstanding in Reserve and Surplus head of the Balance Sheet by way of debiting deferred Employee Compensation under ESOP as per Guidelines to the effect issued by SEBI. Employee compensation in respect to option granted to subsidiary company employees is being reimbursed by subsidiary companies to holding company. liabilities appearing in books of new entrant on the date of its take over for the purpose of arising at the figure of goodwill/capital reserve. • Share issue and preliminary expenses are charged to revenue in the year of incurrence. 2010 17229 14007 . 14. NOTES TO ACCOUNTS Building constructed on leasehold land included in the value of building shown in Fixed Assets Schedule: As at March 31. Gain or loss arising towards rise/fall of overseas currency vis a vis reporting currency is accounted for in profit and loss account. said reserves are retained subsequently under the Reserve & Surpluses against creation of new head called “Amalgamation Adjustment Account” accounted for under the head of Miscellaneous Expenditure in assets side of the balance sheet. corresponding ESOP outstanding is transferred to share premium account. assets and liabilities of the new entrant been accounted for as per book value of assets. • With the exercise of option and consequent issue of equity share. B: 1. 2011 Cost/Revalued Written Down 17832 14220 As at March 31. (c) Impact of exchange fluctuation on integral operation charged to profit and loss accounted is separately disclosed in notes to accounts. Business Combination: (a) Merger/Amalgamation: Merger / Amalgamation (of the nature of merger) of other company / body corporate with the group is accounted for on the basis of purchase method. Miscellaneous Expenditure: • Deferred Employees Compensation under ESOP is amortized on straight-line basis over vesting period. The contracts are by and large mark to market and loss sustained/earned on open contract is recognized in accounts.

Contingent Liabilities / Capital Contracts: a. 3. 1073 (previous year Rs. in respect of excise duty demand of Rs. c. c. In respect of excise duty disputes pending with various judicial authorities Rs. 757 (previous year Rs.00% per annum. 2744) iii.C.6 pursuant to the decision of Hon’ble Supreme Court in this regard. 4384 (previous year Rs. are expected to be in succeeding financial year. Loan and Advances includes Rs. 30 (previous year Rs. i. 4.C. 17) c) In respect of letters of credit Rs.Dabur India Limited | 137 Consolidated Financials (All amounts in Indian Rupees in lacs except share data) 2. The matter is pending before Hon’ble High Court of Delhi for the appointment of an arbitrator. recoverable value of cash generating units (CGUs] have been assessed based on value-in-use method. d.Appeal Appeal pending before D. The Hon’ble Supreme Court of India had concurred with the order of the District Excise Officer.49 (Previous year Rs. . which for each CGUs worked out to be much higher than corresponding book value of net assets thereby not warranting further exercise of arriving at their net-selling-price. In respect of Corporate Guarantees given by the Company Rs. 3416) Estimated Amount of contract remaining to be executed on Capital Account Rs. the recovery proceedings have been initiated by the parent company against Sharda Boiron Laboratories Limited for Rs. Claims not acknowledged as debts: a) In respect of civil suits filed by third parties Rs. 2321) v. Ghaziabad. 9) vi. 826 (previous year Rs. 982 (previous year Rs. This further confirmed absence of exigency of making any provision against impairment loss. Ghaziabad. 2187) Information pursuant to AS 29: (i) Brief particulars of provisions on disputed liabilities:Particulars of dispute Opening Liability Provision made during the year 0 0 0 0 0 0 0 0 0 0 Inherited from new entrant 0 0 0 0 0 0 0 0 33 20 Provision adjusted during the year 0 0 0 0 0 0 0 0 0 0 Closing Provision Forum where the dispute is pending Nature of Liability VATS Sales Tax Sales Tax Entry Tax Sales Tax Sales Tax Sales Tax Excise General Expense Income Tax Total Short payment of VAT Classification of Laldant Manjan Classification of Gulabari Entry tax on car Classification of hajmola Candy Tax Paid purchase Capital Goods removal Product claim lodged by third party Ex promoter USA Liability 42 36 1 1 28 29 10 30 0 0 42 36 1 1 28 29 10 30 33 20 229 IInd appeal filed Filed review application with High Court Appeal filed before the D. 718 (previous year Rs. In respect of Sales Tax under appeal Rs. 3192) net of advance Rs. 1202 (previous year Rs.49) paid to Excise Authorities on behalf of Sharda Laboratories Limited. 2206) ii. In respect of Bill Discounting Rs.49 by invoking the arbitration clause. if mature.68 raised by the District Excise Officer. now known as SBL Limited.21 along with interest demanded by the Excise Authorities. Necessary adjustments in respect to recovery/refund will be made as per arbitration proceeding. In respect of Income tax under appeal Rs. which was also decided against the parent company. Annual discount rate considered for arriving at value-in-use of assets pertaining to each CGU are as per normal rate of borrowing plus risk factor at a rate of 2. 1336) iv. The parent company had filed the review petition before Division Bench of the Hon’ble Supreme Court of India. In respect of Bank Guarantees executed Rs.NIL (previous year Rs. Appeal pending before S T Appellate Pending before High Court DC appeal Management Management ii) Resulting outflows against above liabilities pending before Sales Tax DC/Tribunal/CCT’s. During the year 1991-92 the parent company had received a refund of Rs. Beside those referred to in parent company financial statements. Further to para A(4)(b) above. b. each plant of each subsidiary constitutes independent CGU. 755) b) In respect of claims by employees Rs. 118) b. Pursuant to the indemnity bond executed by Sharda Laboratories Limited in favour of the company and as per terms and conditions of the contract executed with them. a. against the parent company and Sharda Bioron Laboratories Limited. The balance amount of Rs. 7011 (previous year Rs. 5035 (previous year Rs.

2011 1658 (1120) 153 (92) -112 (-78) 588 (498) -173 (-65) 2113 (1567) 539 (355) 48 (28) 8 (-28) 326 (312) -147 (-149) 775 (518) 0 (0) 0 (0) 0 (0) 0 (0) 0 (0) 0 (0) 2197 (1475) 201 (120) -104 (-106) 914 (810) -320 (-214) 2888 (2085) . Acturial Gain/ (Loss) VI.03. d. Settlement VII. Past service cost III. Employer Contribution V. Particulars A.2010 II. Reconciliation of opening & closing balances of obligations : I. Employee related Dues: I) Defined Benefit Plan Pursuant to adoption of AS 15 (revised) treatment of defined benefits obligations have been changed in terms of standard with the following adjustments incorporated in accounts. Acturial Gain/ (Loss) IV.04. II.2011 C. Remote risk possibility of further cash outflow is presumed pertaining to contingent liabilities listed in para 4 (a) and 4 (b) above. Fair Value of Plan Assets as on 01. b. e.04.2010 34 350 (394) 227 (180) -153 (-14) -193 (-70) 265 (490) 3032 (2799) 34 (0) 350 (536) 227 (180) -306 (-71) -292 (-316) 3045 (3128) 0 228 (252) 79 (57) -48 (-28) -59 (72) 199 (353) 1047 (922) 0 (0) 228 (318) 79 (57) -51 (44) -220 (-253) 1083 (1088) 0 122 (115) 278 (271) 0 (0) 217 (-173) 616 (213) 3700 (3617) 0 (0) 122 (114) 278 (271) 217 (-173) -182 (-129) 4133 (3700) 34 699 (761) 583 (508) -201 (-42) -36 (-171) 1080 (1056) 7779 (7338) 34 (0) 699 (968) 583 (508) -140 (-200) -695 (-698) 8261 (7916) Gratuity (funded) Leave Salary (funded) Post Separation benefits of director (funded) Total B. Expected Return on Plan Assets III.138 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) iii) Provisions are made herein for medium risk oriented issues as a measure of abundant precaution. f. c. Obligation as on 31. Settlement VI. Current service cost IV. Change in Plan Assets : (Reconciliation of opening and closing balances) I.03. Past Service Cost Current Service Cost Interest Cost Expected return on Plan Assets Accumulated Loss/Gain Total expenses recognized during the year (a+b+c+d+e) Obligation as on 01. e. Expenses recognized during the period: a. Interest cost V. Fair value of Plan Assets as on 31. 5.

employees turnover at FS 20%. promotional increases and inflationary consequence over price index. APP .000) 2888.3.00% 10.008 (7916.000 (2085.50% 9. F. I.000) 5373.Dabur India Limited | 139 Consolidated Financials (All amounts in Indian Rupees in lacs except share data) Particulars D. MS.2011 Actuarial Assumption : Discount rate (%) Estimated rate of return on plan assets (%) Salary escalation ratio inflation (%) Method 100% in reimbursement right from insurance company for fund managed by it 7. The estimate of future salary increase take in-to account regular increment. Demographics assumptions take in to account mortality factor as per LIC (1994-96) ultimate criteria.6% and normal retirement age at 58.3.2011 Planned Assets as on 31. The basis used for determination of expected rate of return is average return on long term investment in government bonds. Investment detail of plan assets as on 31.000) (Figures in bracket relate to previous year) E. OS – 12% and SM. H.03.2011 Gratuity (funded) 3045 (3128) 2113 (1567) 932 (1561) Leave Salary (funded) 1083 (1088) 775 (518) 308 (570) Post Separation benefits of director (funded) 4133 (3700) 0 (0) 4133 (3700) Total 8261.008 (5831. Obligation vis-a-vis Planned Assets : Obligation as on 31. Related party Disclosures (Pursuant to AS 18) (a) Related party where control exists: None (b) Other related parties in transaction with the group: (i) Joint Venture / Partnership Balsara International Forum I Aviation Ltd (ii) Key management personnel (KMP) (Whole time directors) Anup Sharma Mohit Burman P D Narang Sunil Duggal Rukma Rana Sikandar T Tiwana Mete Buyurgan (Effective from 14th February 2011) Gary Gardner Clyde Burks (iii) Entity under significant influence (owned by a KMP): Sanat Products Ltd Relatives of Key Management Personnel V C Burman 2010-11 768 119 355 56 22 2009-10 712 60 318 0 0 Kyle Gardner . II) Defined Contribution Plan :Company’s contribution to different defined contribution plans :Particulars Provident Fund Employees State Insurance Employees Superannuation Fund Payroll Taxes 401K Match 6A.00% Projected unit credit method G. GS 20% Director.

2. Guarantees & Collaterals Notes 1 2 3 4 Item no. 3 refers to Joint Venture Expenses to JCE (Forum I Aviation Ltd).2011 (A) Profit & Loss a/c 1. 4.58 acres was acquired by U. 4 refers to Processing Charges to Balsara International.P.140 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) 6B. 14 refers to JCE (Forum I Aviation Ltd).03. 5 refers to Rent received from Balsara International. Item no.72 acres of land on lease to the company in . The parent company’s freehold land situated at Sahibabad measuring about 7. Capital Contribution 13.03.2011 Joint Ventures/ Partnership Associates Key Relatives Management of Key Personnel Management Personnel Entity Under Significant Influence Total Outstanding as on 31. Security Deposit (C) Off Balance Sheet Item 14. 7. 6. Related Parties Transactions as on 31. Staff Welfare (B) Balance Sheet 12. Employee Stock Option Scheme 11. Item no. Figures in brackets are of previous year. 7. 8. Item no./Pension (-) (-) 452 (394) 11 (8) 2 (2) (2) (-) (-) 0 (-) 0 (-) 0 (-) (49) (-) 0 (714) (-) (-) (-) (-) (-) (-) (-) 6 (7) 0 (-) 0 (-) 0 (-) (-) (-) 0 (-) (-) (-) (-) (-) (-) (-) (3) 60 (68) 972 (1323) 1357 (353) 0 (-) (-) (-) 0 (-) (-) (-) (-) (-) (-) (-) (-) (-) 0 0 0 0 2 (1) 0 0 (-) 0 0 264 (202) (4) (-) (-) (-) (-) (-) (-) 0 (-) 0 (-) 0 (-) (-) (-) 0 (-) 264 (202) (4) 452 (394) 11 (8) 2 (2) (2) (3) 66 (75) 972 (1323) 1357 (353) 2 (1) (49) (-) 0 (714) 46 (33) (3) 37 (17) 3 (-) 2 (-) (-) (-) (-) 0 (-) 1357 (353) 0 (-) 49 (49) 38 (38) 714 (714) 10. 3. 5. Purchases of Goods Sale of Goods General Expenses Processing Charges Rent Received Interest Received on Security Interest Paid Rent Paid Remuneration/Exg. Government under Land Acquisition Act and the State Government had allotted and given possession of about 4. 9.

142 (Previous Year Rs.572 before the Officer of Special Land Acquisition Officer.2011 as incorporated herein:Particulars Secured Loan Creditors Fixed Assets Investment Advance to employee Cash & Bank Debtors Other Advances 31.03. The participation of the venturers in the affairs of the management of the JCE is through representation in the composition of Board of Directors as agreed in share holder’s agreement. (c) Incorporated in CFS on proportionate basis are the assets and liabilities as on 31. Variable component of cost of maintenance is borne by user of the aircraft in proportion to their actual usage and fixed component is shared by all the venturers in proportion to their capital contribution. (I) Investment in Joint Venture: (a) The parent company is a party to joint venture agreement controlling the management of Forum 1 Aviation Limited.2011 467 27 823 30 20 36 291 872 79 1 13 16 260 31.03. iii) Irrevocable lease agreement relates of flat & vehicle. 1876) which has been debited to Profit & Loss Account. The contributions of venturers are towards capital build up of the JCE and periodic contribution towards cost of maintenance of air craft. lease period not exceeding five years in respect of any arrangement.03. the main object of the JCE being maintenance of aircraft for use of venturers or otherwise. Assets & Liability of JCE as on 31. the same claim has not been considered in the books of accounts.394) has been charged to profit and loss account under the head general charges. 278).net of exchange loss Rs.28%.Dabur India Limited | 141 Consolidated Financials (All amounts in Indian Rupees in lacs except share data) lieu of acquired land. However. The company has filed a claim for compensation of Rs.2011 and income and expenses for the year ended on that date. Information (to the extent applicable) pursuant to AS 19 issued by ICAI Operating Lease :i) The future minimum lease payment under non-cancelable operating lease :Not Later than 1 year Building & Machine Cars 914 (261) 46 (45) Later than 1 year not later than 5 year 1992 (499) 66 (69) Later than 5 year 400 (59) 0 0 ii) Lease rent debited to Profit & Loss account of the year Rs.03. 10.452 (Previous year Rs. 595 (previous year Rs. being the proportionate share of parent company estimated from unaudited financial statements of the JCE. 9. Ghaziabad against the land so acquired.2048 (Previous year Rs.1367) . (b) Parent company’s commitment towards revenue expenditure of the JEC amounting to Rs. 8.2010 577 16 . The stake of the company in the joint venture arrangement is 14. Exchange Gain works out to Rs. iv) Figures in bracket relate to previous year. a domestic jointly controlled corporate entity (JCE) with part of its operation akin to jointly controlled operation . keeping in view the generally accepted accounting practice.

3. 9 (Previous year Rs.2011 422 422 97 41 159 60 357 65 For the 8 months ended 31.. Namaste Laboratories LLC.. 422) Total EXPENSES Operation Expenses Payment to and provision for employees Administrative Expenses Financial Expenses Total Profit (Forms part of profit in consolidated Profit & Loss A/c) For the year ended 31. Nil (Previous year Rs. 190) (Previous Year Rs. 2011 incorporated herein : Particulars INCOME Misc Receipt (include revenue from flying Rs.U at Nashik Loss on sale of specific chemical Rs.2011. joined the group on 01. No deferred tax has been accounted for in respect of subsidiaries at Bangladesh and Pakistan due to continuing absence of taxable income and absence of virtual certainty of future taxable profits to adjust deferred tax asset. incorporated in Nigeria. one of the subsidiaries under consideration. 49) against capital contribution during the year (Previous year Rs.80 & Rs. (II) Investment in partnership firm: (a) The parent company has invested Rs. Abhay Agarwal is another 1% partner in said firm who has invested Rs. 13. respective last two being wholly owned subsidiaries of respective first two. 12. Rs. (d) Assets and liabilities pertaining to interest of the company in the partnership firm as on 31. 714 to banks of the JCE against its share of Commitment against loan obtained by the JCE for acquisition of aircraft which forms part of para B (4) (a) (ii) of this schedule. has immaterial impact on profitability of the company.10. Nil Rs. (b) Mr. 49) towards its 99% stake in a partnership firm Balsara International. income and expenses of the said firm have not been accounted for the year which. Healing Hair Laboratories International LLC. Urban Laboratories International LLC.O.01. Extra-ordinary items : a) b) c) Profit on sale of E. three body corporate incorporated in Turkey named Hobi Kozmetik.2010.142 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) Income and Expenses for the year ended as on 31st March. unlike earlier years.03. one of the subsidiaries under consolidation. Nil (previous year Rs. 81. 9) respectively. if provided thereon. Zeki Plastik Ra Pazarlama joined the group on 07.2011 amount to Rs. 3) Rs. .2010 399 399 80 50 113 60 303 96 (d) Parent company has furnished guarantee bond for Rs. 11. all incorporated in USA and Hair Rejuvenation and Revitalization Nigeria. (II) Pursuant to takeover by Dabur International Ltd.03. (c) Pending finalization of account of the firm. 61) on account of miscellaneous expenditure written off in consequence of preponment of the date of exercise of option right under ESOP with corresponding decline in vesting period for a part of options. The last two entities have no asset or liability. however.1 on accounts of his capital. (a) During the year (I) pursuant to take over by Dermoviva Skin Essentials Inc. Nil (previous year Rs.

502 66. 1.2/2011 dated 8th February 2011 issued by MCA.961 1.640 0 425 41 (105) 1.054 215 809 8.186 3.738 59 0 0 2.431 4.481) 9. As such entire assets of relevant entities have been reckoned against the equity of the group leaving nothing against minority interest. Except for Dermoviva Skin Essential INC remaining three body corporates incorporated in USA have zero capital base.257 (4) (988) 285 5.378 Dabur Egypt Ltd.008 3. 1.054 215 809 8.210 14.431 4.281 0 0 Provision for Taxation Profit after Tax Proposed Dividend Domestic: H & B Stores Ltd. 100% right there in accruing in favour of their immediate holding company as per law of country of their incorporation.881 4 13.950 62.033 (34) (513) (169) (1. 15.210 14.310 3. 0 Healing Hair Laboratories International LLC 0 .993 0 9 14.710 36. towards acquisition of USA based entities.230 804 1.429 5.494 10.801 119 0 0 0 216 0 0 8 112 450 0 0 0 0 0 100 10 (12) 0 29 0 0 (988) 1. Name of Subsidiaries Capital Reserves Total Total Investment Turnover Profit Assets Liabilities (excl.075 1. 244 Asian Consumer Care Pakistan Pvt. 540 Naturelle LLC 393 Dermovia Skin Essentials INC 11.592 7.502 66.946 11. Loans & Advances Sub Total A B Liabilities Secured Loan Unsecured Loan Current Liabilties & Provisions Sub Total B C D E Net Assets (A-B) Consideration Money Paid Goodwill (D-C) (c) Consideration money.950 62..213 5.058 0 4. 499 Dabur International Ltd. Ltd. Overseas: 4. Considering confidence of the group on the ability of erstwhile promoters to achieve targets laid down in reasonable terms.075 1.050 32.720 Zeki Plastic 171 RA Pazarlama 248 Namaste Laboratories LLC 0 Urban Laboratories International LLC 0 Hair Rejuvenation & Revitalzation Nigeria Ltd.467) (1) 6.230 804 1. 665 African Consumer Care Ltd. 4 Hobi Kozmetik 3.592 7.807 (4) (988) 285 5.209 28. Ltd.801 96 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Dabur Nepal Pvt Ltd. include Rs 18011 may be payable by the group over a period of four years to the erstwhile promoters subject to achievement of year-wise target as per earn-out agreement.881 4 13. before investment Taxation in subsidiary) 2.555 607 4.058 2. Information on Subsidiaries pursuant to Clause (iv) of General Circular No.779 36.198 174 (545) 589 4. 253 Dabur (UK) Ltd.961 1.008 3.411 499 0 (988) 1.217 Weikfied International (UAE) LLC 200 Asian Conumer Care Pvt.262 758 264 8. consideration money paid vis-à-vis goodwill generated thereon are given below: 1 Namaste Lab 348 0 10237 10585 0 618 3805 4423 6161 61479 2 Urban Lab 0 0 886 886 0 0 122 121 765 0 3 (1+2) Total 348 0 11123 11471 0 618 3927 4545 6926 61479 54553 4 Hobi 4572 0 6750 11322 0 686 2455 3141 8181 29205 21024 5 Zeki 601 0 627 1228 0 171 219 390 838 1017 179 6 Ra Pazarlama 5 0 5025 5030 0 101 4340 4441 589 1011 422 7 (3+4+5+6) Total 5526 0 23526 29052 0 1576 10941 12517 16535 92712 76177 Particulars A Assets Fixed Assets Investment Current Assets.209 28.640 0 525 51 (117) 1.489 Dabur Egypt Trading Ltd.640 (44) 12 387 2.352 21.640 (44) 4 274 1. provisioning against said liability becomes imperative within the meaning of AS-29.281 0 0 0 0 0 0 0 0 804 0 0 0 0 0 0 0 0 0 0 0 0 2. (d) To above extent figures of previous year are not comparable with those of current financial year.Dabur India Limited | 143 Consolidated Financials (All amounts in Indian Rupees in lacs except share data) (b) Assets and Liabilities inherited under the deal of acquisition. 14.850 (4.

Profit before consideration of Extraordinary items Weighted average no.D. 18. of shares outstanding Basic Diluted Earnings per share (of face value of Re 1/-) Basic Diluted C. Anand Burman .27 3. figures for previous year have been rearranged/ regrouped as and when necessary in terms of current year’s grouping.89 A. Dr. BASU & CO. Chartered Accountants Anil Kumar Partner Membership Number: 9390 Place: New Delhi Dated: 27th April. Grouping and heads of accounts of the subsidiaries have been rearranged in terms of presentation of those of parent company as and when necessary.25 56858 1740375960 1749664278 3.Whole time Director Sunil Duggal . As per our report of even date attached For G.91 2.144 | Annual Report 2010-11 16. 145) Signatures to the Schedules “A” to “P” Annexed to and forming part of the Accounts.K. Profit after tax (after adjustment of tax for earlier years) Less/ Add : Extraordinary Expenses / Income Profit on sale of EOU Loss on sale of SPC Chemicals Miscellaneous Expenditure for preponement of date of exercise right under ESOP B.Whole time Director A. of shares outstanding Basic Diluted Earnings per share (of face value of Re 1/-) Basic Diluted 17. Narang .17 issued by ICAI (refer page no.25 2009-10 50320 -190 3 61 50194 1734495558 1741295067 2. 2011 For Dabur India Ltd.27 3. Besides. Information pursuant to AS. Jain . After consideration of Extraordinary items Profit after tax (after adjustment of tax for earlier years) Weighted average no.GM (Finance) & Company Secretary . Earnings per Share : Particulars (All amounts in Indian Rupees in lacs except share data) 2010-11 56858 0 0 0 56858 1740375960 1749664278 3.89 2.88 50320 1734495558 1741295067 2.Chairman P.

694 5.655 2.552 642 15.171 138 138 955 371 - As on As on As on As on As on As on As on As on As on As on As on As on As on As on 31/03/11 31/03/10 31/03/11 31/03/10 31/03/11 31/03/10 31/03/11 31/03/10 31/03/11 31/03/10 31/03/11 31/03/10 31/03/11 31/03/10 3.817 3.240 1.651 23.802 648 2.817 6.669 137.080 172.169 1.700 14.764 84.669 58.032 172.764 75.890 84.252 1.252 1.235 995 25.651 23. INFORMATION PURSUANT TO AS .238 6.139 278 224 1.850 1.171 3.960 883 81.225 1.266 63 63 946 299 193.392 58.089 193.270 883 324 155 25.654 35.552 15.122 172.546 1.080 193.038 5.438 32.346 9.636 3.922 119.738 111.738 75.266 3.246 594 189.122 253.960 1.636 387 387 321 125 81.392 6.154 16.694 8.17 ISSUED BY ICAI (All amounts in Indian Rupees in lacs except share data) Consumer Care Business Current Previous Year Year Current Previous Year Year Current Previous Year Year Current Previous Year Year Current Previous Year Year Current Previous Year Year Current Previous Year Year Consumer Health Business Foods Retail Others Unallocated Total Consolidated REVENUE External Sales Inter-segment sales 319696 319696 81947 81947 81947 81947 71950 7785 7362 9178 7252 (914) (935) 596 597 71950 7785 7362 9178 7252 (914) (935) 596 597 (41717) 32 (41685) 3034 13897 71950 7785 7362 9178 7252 (914) (935) 596 597 (24786) (24900) 1232 10047 (36180) (81) (36261) 71950 7785 7362 9178 7252 -914 -935 596 597 24786 24900 262542 31521 27955 49487 41580 2050 918 8231 8672 410985 98592 24786 73806 3034 13897 56875 32 56843 262542 31521 27955 49487 41580 2050 918 8231 8672 410985 341667 341667 86226 24900 61325 1232 10047 50046 (81) 50127 Total Revenue RESULT Segment result Unallocated corporate expenses Operating profit Interest expense Income Tax(Current + Deferred) Profit from ordinary activities Exceptional item Minority Interest Net profit OTHER INFORMATION 137.922 84.700 14.394 16.690 5.656 75.738 4.028 594 Segment assets Unallocated corporate assets Total assets Segment liabilities Unallocated corporate liabilities Total liabilities Capiltal Expenditure Depreciation Non-cash expenses other than depreciation Dabur India Limited | 145 Consolidated Financials .080 382.346 9.802 2.122 4.18.438 32.764 204.850 1.189 6.799 2.169 81.

We conducted our audit in accordance with auditing standard generally accepted in European Union. We believe that audit provides a reasonable basis for our opinion. restated stock holders Equity. An audit also includes assessing the accounting principle used and significant estimates made by management as well as evaluating the overall financial statement presentation. Our responsibility is to express an opinion on this financial statement based on our audit. Reserves and Other comprehensive income and related notes. BASU & COMPANY Chartered Accountants (Manoj Kumar Das) Partner M. Dabur India Limited We have audited the accounts of Dabur India Ltd. For G. No.146 | Annual Report 2010-11 Consolidated Financial Statements As perIFRS applicable to European Union Auditor’s Report To the Board of Directors. 2011 and the results and cash flow for the year ended 31st March. These standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. 2011. 2011 in accordance with the International Accounting Standards and complying with the financial reporting requirements incorporated in the said standards and IFRS pronouncements. consolidated statement of income for the year ended 31st March. 2011. The said group accounts comprised of the consolidated Balance Sheet as on 31st March. 013783 Place: New Delhi Dated: 27th April 2011 . group compiled as per requirement of International Financial and Reporting Standards applicable to European Union. barring deviation mentioned. evidence supporting the amounts and disclosures in the financial statements. An audit includes examination on a test basis. Statement of Cash Flow for the year ended on 31st March. In our opinion the Company’s accounts read with the Notes and schedules attached thereto. therein give a true and fair view of the financial position of the said group as at 31st March. 2011. These financial statements are the responsibilities of the Company’s management.

906 1.021 (2) 110.690 3. Chartered Accountants Manoj Kumar Das Partner Membership Number: 013783 Place: New Delhi Dated: 27th April.651 226.360 38.559 58 132.480 401. Dr. 2010 61.257 33.347 12.580 2.147 35.192 179. Narang . As at March 31. 2011 (All amounts in Indian Rupees in lacs except share data) Note No.GM (Finance) & Company Secretary . BASU & CO.774 226.413 355 162.247 21. 2011 72.404 27.578 128.318 11.506 2.901 8.694 5.248 17.768 66.946 89. As per our report of even date attached For G.127 19.881 61 158 3.883 16.986 42.901 ASSETS Property.407 4.911 (1. excluding current portion B14 Other non-current liabilities B17 Deferred Tax Liability (non current) B13 Total Non-Current Liability Short term debt and current portion of long term debt B14 Trade accounts payable B15 Current Liability under disposal group Accrued expenses and other current liabilities B16 Deferred Tax Liability (current) B13 Total Current Liabilities Total Liabilities Total Equity and Liabilities The accompanying notes and Schedules are an integral part of these consolidated financial statements.844 401.809 4.094 0 958 4.248 As at March 31.K.925 323 124. Anand Burman . Plant and Equipment B8 Goodwill B10 Intangibles B11 Assets held for sale Investments (not readily marketable equities) B9 Other non-current assets B12 Deferred Tax Asset (non current) B13 Total Non-Current Assets Cash and Cash equivalents B4 Other Investment (readily marketable securities) B9 Accounts Receivable.964 23.577 94.242 42.249 828 32.182 238.157 (850) 123.Dabur India Limited | 147 Consolidated Financials as per IFRS Consolidated Statement of Financial Position as at March 31. net of allowances B5 Inventories B6 Other current assets B7 Deferred Tax Asset (current) B13 Total Current Assets Total Assets Equity Share Capital B21 Share Premium Other Reserve Stock Option Reserve Retained Earnings Other Comprehensive Income Total Equity attributable to Equity Holders Non Controlling interest B18 Total Equity LIABILITIES Long term debt.996 4 34.298 38.547 70.316 105 63. Jain .Whole time Director A.266 115.D.Whole time Director Sunil Duggal .970 85 221.622 32.Chairman P.227) 162.399 2.737 2.809 1.768 102.906 0 38.173 21.853 45.232 26. 2011 For Dabur India Ltd.024 97.214 59.

Chartered Accountants Manoj Kumar Das Partner Membership Number: 013783 Place: New Delhi Dated: 27th April. Narang .950 -81 49.Whole time Director A.950 2.296 421 13.103 67.377 2.680 59.338 116.480 89.217 69.21 For the year ended March 31.261 48.092 57.682 79.82 As per our report of even date attached For G.031 49.D.209 15. Anand Burman .250 101. BASU & CO. General and Administrative expenses Personnel expenses Depreciation and Amortisation Total operating expenses Results from Operating Activities Financial Cost Other income. Dr.83 2.148 | Annual Report 2010-11 Consolidated Income Statement for the year ended March 31.059 2.717 56. 2010 338.031 -81 48. Jain . 2011 405.738 5.004 221.107 56. net Profit before Income Tax Income Tax expenses Current Income tax Deferred Income tax Profit after Income Tax Minority Interest Retained Profit Profit attributable to : Owners of the Company Non Controlling Interest Earning per Equity share Basic Diluted The accompanying notes are an integral part of these consolidated financial statements B30 B13 B29 B24 B26 B27 B28 B23 B25 For the year ended March 31.211 9.359 902 10.856 13.632 20.139 3. 2011 For Dabur India Ltd.Chairman P.GM (Finance) & Company Secretary .K. Revenue Cost of revenues Gross profit Operating expenses Selling.133 6.859 180.139 32 56.524 183.590 1.107 32 56.177 158.22 3.633 6. 2011 (All amounts in Indian Rupees in lacs except share data) Particulars Note No.Whole time Director Sunil Duggal .

GM (Finance) & Company Secretary .296 422 (142) (913) 3.000) Payment of dividend (19.242 19.359 902 (60) (1.483 (4. Anand Burman .386 (1.089) (587) (7.412 (23.976 Dividend Tax Income tax paid Interest paid Net cash provided by operating activities Cash flow from Investing activities Expenditure on property.224 3.675 Net cash issued in investing activities (108.816) (29.049) 628 10.910 (6. 2011 CASH FLOWS FROM OPERATING ACTIVITIES Net Income Adjustments to reconcile net income to net cash and cash equivalents provided by operating activities Depreciation and amortization Provision for Taxation Deferred tax benefits Loss / (gain) on disposal of property. 2.129) (22.232 15.411) 21.Chairman P.514 (2.721) (3.738) 49.Dabur India Limited | 149 Consolidated Financials as per IFRS Consolidated Statement of Cash Flow for the year ended March 31.738 1.728 (22. land and equipment 529 2. Cash Flow from discontinued operation is negligible and hence has been ignored.447) (1.231) (1.512 6.338 13.252) (12.659 Cash and cash equivalent at the end of the year 27. 2011 For Dabur India Ltd. As per our report of even date attached For G.518 Purchase of intangibles (74.715) 6.148) Net cash provided by financing activities 67.059 (169) 16.561) (28.Whole time Director Sunil Duggal . plant and equipment Loss / (gain) on disposal of investment Amortization of employees stock option plan expenses Minority interest Interest expenses Unrealised Gain / Loss on Currency Fluctuation Changes in operating assets and liabilities (Increase) / decrease in accounts Receivable (Increase) / decrease in Inventories Decrease / (increase) in other non current assets Decrease / (increase) in other current assets Increase / (decrease) in account payable Increase / (decrease) in other Current Liabilities Increase / ( decrease) in other non current liabilities 56. plant and equipment (19. 2011 (All amounts in Indian Rupees in lacs except share data) For the year ended March 31.031 6.496) (2.574) (10.250 9.312 For the year ended March 31.Whole time Director A.277) Net increase in cash and cash equivalent during the year 8.059) 54.154) Repayment of long term debts (net) 65.456) Purchase/Sale of Securities (Net) (15.K. Narang .268) 520 (81) 1.247 26. The total Purchase consideration in discharging the obligation for acquisition of business (Hobi Group of Companies) include Rs 30502 in cash / cash equivalent.381 3.811 (14.861) Proceeds from sale of property.501) (15.573 Translation adjustment (214) Cash and cash equivalent at the beginning of the year 19.125) Cash flows from financing activities Proceeds from exercise of stock option 13 25 Repayment/Proceeds of short term debts (net) 21.107 6.D.232 Note : 1.705 26.255) (2.123 3. 2010 49.394 32 2. Dr. Jain .581) (15. BASU & CO. Chartered Accountants Manoj Kumar Das Partner Membership Number: 013783 Place: New Delhi Dated: 27th April.157) (13. The Purchase consideration for discharging acquisition obligation of business (Namaste Group of Companies) include Rs 59525 in cash / cash equivalent.

247 0 0 0 0 0 0 0 0 21809 0 -1.(All amounts in Indian Rupees in lacs except share data) Statement of Stock Holders’ Equity as at March 31.04.2010 Issue of Share against exercise of stock option Premium amount against exercise of stock option Bonus Shares Stock option amortisation Payment of Dividend Unrealised Profit on Inter Group Transaction.074 0 3.394 0 0 0 0 4. 2011 Note B36 B9 B9 B9 B9(b)(6b) B13 2010-11 -850 -1.03.450 8.911 0 0 0 0 0 0 0 32 355 Consolidated Statement of other Comprehensive Income for the year ended March 31.704 0 -22.03.002 -1227 2009-10 -229 169 65 -27 122.247 -8 -27 0 -97 1.5 0 -950 -850 Opening balance as on 01.173 21.407 0 1.449 0 870.266 0 0 -8.391.723.809 1.740.798 13 0 8.899 0 0 0 0 0 1.157 323 150 | Annual Report 2010-11 Closing Balance 31.184 56. 2011 Note B21 B22 B22 868.03.107 115.946 89.2011 .361.704 0 0 0 0 0 17.2010 Translation adjustment Unrealised gain on Readily Marketable Securities Unrealised Loss on Not Readily Marketable Securities Unrealised gain on Short term Liability restatement Unrealised loss on Derivative Instruments (net of deferred tax of Rs 31) Deferred Tax Closing balance as on 31.690 3.970. Deferred Tax Net Income Closing Balance 31.833 0 2.074 0 0 0 0 0 0 4.2011 B13 1.

493 3.847 8.341 66.681 1.107 88.138 0 2.059 10.252 6.513 4.264 2.680 410.767 41.380 137 66.573 5.269 1.275 118 118 53 0 0 126 0 126 52 177 177 399 5.795 6338 Depreciation & Amortisation 22.744 -851 -861 555 539 76.213 240.286 4.380 4.767 41.744 -851 -861 555 539 260.266 43.888 88.593 2.704 40.446 40.890 2.378 56.059 10.901 2.835 1.304 160.252 6.261 48.709 2.062 27.944 160.550 6.232 28.254 2.446 106.761 776 16.471 72.221 97.630 -22.111 8.681 7.944 137.283 5 24768 2.020 910 8.106 81 49.857 2.064 -24.653 15.780 4.044 260.378 88. .217 338.300 1.847 8.850 94.740 5.729 1.949 Current Previous Year Year Current Previous Year Year Current Previous Year Year Current Previous Year Year 315.945 9531 1632 0 1.381 31.717 -35.378 224.681 7.717 56.537 82.361 60.341 66.107 56.738 13.447 3.261 -31.742 81 -31.493 7.847 8.611 73.761 16.601 76.145 11.239 2.373 137.680 405.704 15.107 357 137 59 137.252 6.681 7.213 99.550 6.020 910 8.217 5.726 48.653 5.001 2.217 -24.004 5.744 -851 -861 555 539 76.381 31.250 Dabur India Limited | 151 Consolidated Financials as per IFRS Geographical Revenue : India Outside India Dubai Egypt Others Note : Sales of the Group reflected in the Operational Segment are effected through distributors globally numbering more than 8500 and hence Customer information not furnished.847 8.062 27.341 66.185 8.248 101.477 59 32 -35.726 Consumer Health Business Current Previous Year Year Foods Retail Others Unallocated Total Consolidated 315.550 6.637 56.471 -19.377 96.252 6.638 0 132 503 0 635 281 0 0 880 0 880 1.566 9 38.480 135.361 -19.543 4.601 0 5.232 776 334 829 REVENUE External Sales Other Income Inter-segment sales Total Revenue RESULT Segment result Unallocated Corporate expenses Operating profit Interest expense (Net) Income Tax (Current + Deferred) Profit from ordinary activities Minority Interest Net profit OTHER INFORMATION Segment assets Unallocated corporate assets Total assets Segment liabilities Unallocated corporate liabilities Total liabilities Capital Expenditure Business Combination Addition to Property Plant & Equipment Intangible Assets 73.(All amounts in Indian Rupees in lacs except share data) Operative Segment report and related information March.744 -851 -861 555 539 2.044 76.111 8.312 6.740 8.680 341. 2011 in Conformity with IFRS 8 Consumer Care Business Current Previous Year Year Current Previous Year Year 48.185 2.681 7.729 829 1.587 4 6104 1.290 12.477 2.213 238.264 334 2.082 32 56.239 2.612 0 188 0 5800 393 3.901 28.944 401.550 6.341 188.738 13.645 6.694 94.029 160.217 5.694 188.680 -22.543 357 106.432 85388 2676 286 471 825 825 1293 757 285 2010-11 316366 49448 9723 29467 405004 42821 8420 14114 338857 273502 2009-10 16.

2003. Asian Consumer Care Pvt. Ayurvedic & Pharmaceutical products. 100% stake by Dabur India Ltd. 100% stake by Dabur International Ltd. Dubai. Dabur Egypt Ltd. 100% right is exercised by Dermoviva Skin Essentials Inc. through other subsidiary undertakings. Egypt. An entity in which DIL has directly or indirectly. 100% stake by Dabur International Ltd. Bangladesh. Consolidated herein are the group companies (all engaged in FMCG business) whose particulars are furnished below : Name of Subsidiary : Dabur Nepal Pvt. Ltd.4. 2. The growth of the company has been phenomenal since early ninety rarely shared by any other FMCG company in this subcontinent. namely India. Hobi Kozmetik Imalat Sanayi Ve Zeki Plaztik Imalat Sanayi Ve Ra Pazarlama Ltd. the .2006 and the practice of preparation of consolidated financial statement (CFS) under pooling method has been in vogue since much longer period under Indian GAAP. ** Above two companies have no assets or liabilities. * H&B Stores Ltd. 100% stake by Dabur International Ltd.152 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) Accounting Policies & Notes of consolidated financial statement compiled under IFRS applicable to European Union for the year ended 31. Ltd. ACCOUNTING POLICIES 1. African Consumer Care Ltd. Bangladesh 99. (a) Since the date of transition from Indian GAAP to IFRS meant for EU is 1. Turkey and USA. The company was incorporated on 16th September 1975 with the object of manufacturing and marketing FMCG. 38.4. 90% stake by Dabur International Ltd. Weikfield International (UAE) LLc.2011 A. Ltd.21% stake is held by Dabur India Ltd. has taken a controlling interest or is in a position to control composition of directors is classified as a subsidiary. Dabur International Ltd. Middle East. All material inter-company accounts and transactions have been eliminated on consolidation. 100% right is exercised by Namaste Laboratories LLc 100% stake is held by Urban Lab International LLc 100% right is exercised by Namaste Laboratories LLc USA * Control on composition of Board of Directors by parent company is raison di etre of subsidiary status. 76% stake by Dabur International Ltd. 100% stake by Dabur International Ltd. Ras-Al-Khaima. Nepal. Nepal. The pharmaceutical division of the company was demerged from the existing entity on 1. Bangladesh.79% stake is held by Dabur International Ltd.41% stake by Dabur International Ltd. 24% stake by ACI Ltd. 99% stake by Dabur International Ltd. Asian Consumer Care Pakistan Pvt.5% stake by Dabur International Ltd. Naturelle LLc Dabur Egypt Trading Ltd. Sharjah. & 10% stake by Dabur (UK) Ltd. 76% stake by Dabur (UK) Ltd. DIL has manufacturing facilities in eight States of India. & 24% stake by Dabur International Ltd.** Healing Hair Lab International LLc** Country of incorporation Nepal British Virgin Island Isle of MAN United Arab Emirate India Egypt Nigeria Bangladesh Pakistan Emirates of Ras Al Khaimah Egypt Turkey Turkey Turkey USA Ownership 97. and 97. Dabur (UK) Ltd. Sirket Dermoviva Skin Essentials Inc. The consolidated financial statements include the financial statements of DIL and its subsidiaries.99% stake by Dabur International Ltd. & 1% by Dabur Egypt Ltd. 100% stake by Dabur India Ltd. Business combination : Dabur India Limited (DIL) along with it’s subsidiaries (collectively known as Group) situated in India and abroad constitutes a FMCG Conglomerate. The group entities presently have manufacturing facilities in ten countries. Namaste Laboratories LLc Urban Lab International LLc Hair Rejuvenation & Revitalization Nigeria Ltd. 100% stake by Dabur International Ltd.3. Major markets of the group include India. Nigeria. USA and UK.

The preparation of consolidated financial statement in conformity with IFRS requires management to make estimates and assumption. Hair Oil. Exports are predominantly destined to West Asia. realization of deferred assets present restatement of deferred and long term liabilities in particular warranting sensitive estimates. 7th Oct. In the Consolidated Financial Statements that include Foreign Operation exchange transactions in OCI (Other Comprehensive Income) is recognized in the Profit & Loss on disposal of net investment as required in IAS – 21. Concentration of Customer: The products of the groups meant for indigenous usage predominantly find outlet through dealers’ networks widely spread across the length and breadth of the country. treatment of goodwill and intangibles with estimable lifespan. Shampoo. Hajmola. have been accounted for in terms of exchange rate ruling on the date of transaction. Toothpaste and other Cosmetics. 2.f. These estimates and assumptions affect the reported amount of assets and liabilities. 5. Actual result could differ from these estimates. International Accounting Standards and IFRIC interpretations.e. (b) Pursuant to take over of seven body corporate. being the amount used for taxation purposes in conformity with IAS 12. except where the . Products constituting lion’s share of the total revenue include Chyawanprash. Fixed Assets. revenues and expenses and disclosure of contingent assets and estimation of contingent liabilities. equities and non monetary items are carried at fair value. None of the dealers control significant percentage of total indigenous sale. 6. (c) To the extent of (a) and (b) above and non-identification of major components for separate accounting and determination of useful lives as they are in case of fixed assets remain deviated from IFRS – 3 and IAS – 16 with consequent impact on statement of shareholders equity & value of property. 2011 respectively. 1st January. Taxation : Taxation is that chargeable on the profits for the current period as Foreign and domestic taxes together with deferred taxation. all these body corporates have become part of the group. Monetary assets and liabilities of Overseas group Companies are translated in INR at the appropriate year end exchange rates. 2010 and w. The accompanying financial statements are reported in INR accounted for under re-measurement method. The gains or loss as a result of translation adjustment are recorded as component of other comprehensive income. Consequently.Dabur India Limited | 153 Consolidated Financials as per IFRS (All amounts in Indian Rupees in lacs except share data) stipulation of IFRS-3 laying down purchase method of incorporating consolidated accounts had to be done away with for business combination lasting since before transition date. Fruit Juice. 2006 and has been complying with the IFRS standards to make the group fairly compliant with the IFRS except the deviations dealt separately elsewhere in the Notes and Financial Statements. plant and equipment. South Asia and South East Asian Countries. Deferred taxation is provided in full using the liability method for temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the Tax base. Income and expenses are translated using monthly average exchange rate in effect during the year under report.e. the various heads of accounts including stockholder’s equity under Indian GAAP had been duly recast so as to conform to exigencies of IFRS-1 since transition date. Adoption of International Financial Reporting Standards (IFRS) The group had adopted IFRS as applicable to European Union (EU) with effect from 1st April 2007 with a transition date with effect from 1st April. 4. rebates. returns and the useful life of tangible. discount. Honey. Basis of presentation and use of estimates : The accompanying CFS include Dabur India Limited and its subsidiaries and are prepared in accordance with accounting principles generally accepted in IFRS read with IASB pronouncements. Foreign currency translation : Reporting currency of DIL is Indian rupee (INR) in which the group accounts have been presented. impairability of fixed assets. The takeover of Assets and Liabilities has been made under Purchase method at their book values as against Fair values laid down under IFRS – 3. three in Turkey under Hobi group and three in USA & one in Nigeria under Namaste group by two existing body corporates w. Deferred tax is provided on temporary differences arising on investments in Group undertakings.f. The management’s estimates of charge back. 3.

154 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) timing of the reversal of the temporary difference is controlled by the Group and it is probable that it will not reverse in the foreseeable future. Research expenditure is charged to income statement in the year in which it is incurred. Net realizable value is the estimated selling price less costs to completion for sale. deferred tax is recognized in respect to the following: (a) Revaluation of Non-monetary assets. (b) Fair Value adjustments in Business Combination where Carrying values are adjusted but tax base remain unaffected. Development Costs are capitalized only after technical and commercial feasibility of the asset for sale or use have been established meaning where the asset will start generating future economic benefits in conformity to the Standard. The recognition of deferred tax liabilities on undistributed profits of Foreign body corporate in the group has been done away with considering the fact that no dividend is distributed on the distributable profits held by the body corporate. which is subject to periodic test of impairment. any goodwill generated is allocated to the relevant cash generating unit expected to benefit from the acquisition. Inventories : Inventories are stated at the lower of cost and net realizable value in conformity with IAS . Investments include: Assets Held For Trading (AFT) Assets available for Sale (AFS) Held to Maturity (HTM) The unrealized gain/losses for the first two cases – recognized at Fair Value are accounted in the Equity under Other Comprehensive Income. A cash generating unit is the smallest identifiable group of assets that generates cash flows which are largely independent of the cash flows from other assets or groups of assets. In addition. the Investments. assets those have indefinite useful lives like Goodwill / (Intangible Assets) are tested periodically for impairment. in the Group presentation. As envisaged under IAS 12. 10. deferred tax assets and liabilities are not discounted. The impairment losses of the securities are recognized in the Profit and Loss for the period irrespective of categories of the Financial Instruments. Research and Development : Research and Development is dealt by the conditions prescribed under IAS – 38 when the recognition criteria are met. Impairment of Assets : Assets are reviewed for impairment whenever events indicate that the carrying amount of a cash-generating unit may not be recoverable. Temporary differences include timing differences. A deferred tax asset is recognized only to the extent that it is probable that future taxable profits will be available against which the asset can be utilized. (f) Impairment Loss. In conformity with IAS – 12. Any write-down to NRV (Net Realisable Value) and any inventory losses are also recognized as an expense when they occur in conformity to the standard. . 7. Deferred tax is determined using the tax rates that have been enacted or substantively enacted by the balance sheet date. Loans and Advances. An impairment loss is recognized to the extent that the carrying value exceeds the higher of the asset’s fair value less costs to sell and its value in use. At the acquisition date. (e) Hedging Loss/Gain. 9. Cost is based on the weighted average cost incurred in acquiring inventories and bringing them to their existing location and condition. which will include raw materials. where appropriate. (d) Recognized Surplus / Deficit in a (Funded) Defined benefit plan. 8.2. direct labour and overheads. (c) Eliminated unrealized profit on intra group transactions. To that extent of change in accounting policy has been given effect retrospectively through Equity Statement (Other Comprehensive Income). Financial Instruments : (a) In accordance with IAS-39. all other Monetary Assets and Liabilities including Derivative Instruments are classified as Financial Instruments.

for disposal. (not for trading or speculation) in respect to IMPORT / EXPORT commitment and exposure in foreign currency. the changes in Fair Value and the interest cost / income are taken in the Income Statement. The cost and the accumulated depreciation for assets sold. Advances paid for the acquisition of property. Such assets are removed from the Balance Sheet on disposal or when it is withdrawn from use and no future economic benefits are expected from its disposal. plant and equipment not put to use before such date are disclosed as “capital work-in-progress”. The interest income. Depreciation is calculated on the straightline method over the estimated useful life of the respective assets in terms of IAS-16. while costs for repairs and maintenance are charged to operations as incurred. No further depreciation is provided after the asset become idle whether on the ground of temporary suspension of use or poised for sale. retired or otherwise disposed of are removed from the amounts disclosed in the balance sheet and the resulting gain or loss is included in the Income Statement. Loss or profit sustained / earned on open contract is recognized in OCI (Other Comprehensive Income) having regard to the fair value of the Instrument. Compensation from third parties which are of the nature of gain contingencies are recognized as Profit in the Income Statement when actually realisable (in conformity with IAS 16). to the extent of the amortised cost or less for such assets. plant and equipment outstanding at the balance sheet date and the cost of property. Disposal (of damaged or otherwise impaired assets) are accounted for consistently as per provisions of IAS 16. The HTM (Held to Maturity) assets are measured at amortised cost. .Dabur India Limited | 155 Consolidated Financials as per IFRS (All amounts in Indian Rupees in lacs except share data) On Sale of the securities. (e) Accounts receivable – The carrying amount proximates fair value due to their short term nature and historical collectability. are reversed before maturity. The Group Companies have determined the estimated useful lives of assets for depreciation purposes. The impairment loss. Debt Securities are Financial Instruments which are recorded at cost initially and valued on the Balance Sheet date at Amortised Cost. Property. (c) Long Term Liabilities. foreign currency gains / losses for Investments held in foreign currency are accounted in the Income Statement. (f) Accounts payable – The carrying value of accounts payable proximates fair value due to the short term nature of obligations. (g) Derivative Instruments The Company enters into Derivative transaction of the nature of Currency FUTURES or FORWARD Contracts with the object of Hedging against adverse currency fluctuation only. Deferred Credits are valued at amortised cost and the difference is adjusted in the Income Statement in the year of determining the amortised cost of the Financial Instrument concerned. The contracts are by and large mark to market basis. When a property is damaged or lost. claims for reimbursement is accounted for separately. (d) Cash. The gain or loss on disposal is the difference between the proceeds and the carrying amount and are recognized in the Income Statement. Expenditure for additions and improvements are capitalized. subject to adjustment of unrealized gain/ losses earlier accounted for in the Other Comprehensive Income in respect of said security. if any. For the financial instruments – Liabilities / Assets measured at Fair Value. Amortisation is done on the effective rate of the yield (YTM) different from the nominal rate of interest. charge is taken to Income Statement. Assets classified as Held for Sale are carried at the lower of carrying amount and Fair value less costs to sell and classified separately as “Non Current Assets held for Sale” and shown in the Statement of financial position accordingly. impaired. Plant and Equipment : Property. (b) The Long Term Loans and Receivables are valued at Amortised Cost in the Balance Sheet date. Estimated cost of sale is reduced from carrying amounts of assets when the same is held. cash equivalent and restricted cash – The carrying amount proximates fair value because of the short term maturity (upto months) of such instruments. 11. the realized gain/losses are taken in the income statement. plant and equipment are stated at historical cost less accumulated depreciation. Subsequently to unwound the discounted cost.

“Earning per Share” (EPS). if works out to negative. Goodwill : Goodwill arises out of consolidation of subsidiaries or merger of body corporate with group companies being the excess of value of investment over proportionate stake in net assets of subsidiaries/merged entities which are indicated in the consolidated balance sheet. Plant and Equipment) with the group and duly charged of as the asset concerned is insignificant in existence and value. Software is amortized over the useful lifetime of the asset on straight-line method subject to periodic review of utility. Diluted earning per share is computed using the weighted average number of .11 : Type of Assets : Leasehold Land Buildings Plant and Machinery Furniture and Fixtures Office Equipment Vehicles Estimated useful life for charging depreciation : 20 years 10-15 years 6-15 years 10-15 years 15 years 5 years Depreciation for the asset of the Group is charged on Straight Line basis on useful life adjusted by residual value. Biological Asset: The biological asset held by the company in the Consolidated Financial Statement is of insignificant value (Rs. 18. are periodically subjected to impairment test. The fair value determined at the grant date of the equity settled share based payments is expensed over the vesting period. Goodwill assessment of business combination. is recognized as income. Share-based payments : The Group has equity-settled share-based compensation plans. Advertising Cost : Expenditure on advertising is expensed when incurred. the finance lease payments should be apportioned between finance charge and reduction of outstanding liability. The useful life considered is 5 years. Classification of a lease (either Finance Lease or Operating Lease) is made at the inception of lease. whereas in earning per share vesting conditions are reflected in the calculation of awards that will eventually vest over the vesting period. The rental expenses in Operating Lease are expensed in Profit & Loss account over the lease term on a straight line basis.11) which forms part of Fixed Assets (Property. 12. Earnings per share : In accordance with IAS-33. 17. The land element is classified as operating lease unless title passes to the lessee at the end of the lease term. based on the group’s estimate of awards that will eventually vest. Other Intangibles (Patent and Software) : Patents and Trademarks being indefinite Lived intangible assets. 16.156 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) Assets held & used 31. Fair value is measured by the use of the Black Scholes option pricing model. 15. Goodwill is not amortized but subjected to periodic impairment test. Land and Building element are normally treated separately. 13. the fair value on date of grant reflects these conditions. For plans where vesting conditions are based on total shareholder returns. At the commencement of lease term. Equity settled share-based payments are measured at fair value at the date of grant. 0.03. the substance of transaction of the Lease are reviewed to assess the extent to which risk and rewards of ownership and substance transferred to lesser to qualify to being a Finance Lease. 14. Lease and Hire purchase Contract : In accordance with IAS – 17 Lease contract. basic earnings per share is computed using the weighted average number of common shares outstanding during the period. In classifying a lease of Land and Building.

2 Customers of the Group Companies consist primarily of large wholesalers and dealers network who sell directly into the retail channel. finance charges on finance lease and exchange differences on foreign currency borrowings where they are regarded as an adjustment to interest costs. Proportionate assets. damaged product returns. 20. . When the borrowing costs are directly attributable to the acquisition. The Group has 14. the resultant exchange loss on account of Foreign Exchange is added to the borrowing cost and the same is capitalized if the loan is taken for acquisition of the qualifying assets. consumer health business. Interest is accounted for on time proportion basis. 19. Besides taxes/duties incidental to sale are recognized as a reduction from product sale revenue. 19. food business. Revenue from product sales is recognized when the merchandise is sold or shipped to customers and all four of the following criteria are met : (i) persuasive evidence that an arrangement exists (ii) delivery of the products has occurred. The group recognizes the definitions of PRIOR PERIOD ADJUSTMENTS as material adjustments applicable to prior periods arising from changes in Accounting Policy and correction of fundamental errors. Recognition for sales discounts. Information on Geographical Segment is provided on the basis of country wise breakup of group turnover. Royalty is provided on accrual basis based on agreement of receipt option as per IAS 18. Major industrial segment include consumer care business. (b) Joint Venture / Associate The group has only one Associate with insignificant assets. 21.28% stake in a Jointly Controlled Entity (JCE) namely Forum I Aviation Ltd. formed for the maintenance of aircrafts for use of venturers and otherwise under a Joint Venture arrangement. changes in Accounting Estimates and Errors The Group follows Bench Mark Treatment in conformity with IAS – 8 to effect amount of correction of a fundamental error that relates to prior period by adjusting the opening balance of Retained Earnings (STOCKHOLDERS’ EQUITY). income and expenses which has not been consolidated pending finalization of accounts of the Associate Stake of company in the said Associate (Balsara International) is 99%. The borrowing costs as per IAS-23 on the bench mark treatment that borrowing costs could be recognized as expenses in period in which they are incurred. The capitalization rate is the weighted average of the borrowing costs applicable to the general pool. Retail business and others. amortization of discounts or premiums on borrowings. When the funds are part of a general pool.1 Revenue encompasses only the gross inflow of economic benefits received or receivable on its own account. The comprehensive information is restated unless impracticable to do so. construction or production of qualifying assets. The operating segment report is furnished on the basis of reportable industries segment. The change in accounting estimate are reflected in the Income Statement of the current year as per requirement of the Standard. The effect of change in accounting policy and fundamental errors adjustable retrospectively is given effect to EPS in both Basic and Diluted computations. Borrowing Costs : The borrowing costs include interest on bank overdrafts and borrowings. Accounting Policies. (iv)Risk and Reward of the ownership have been transferred. 22. Revenue Recognition : 19. income and expenses in said JCE have been consolidated herein in terms of IAS – 31. Where the interest rate of the borrowing is less than the commercial interest rate prevailing in the local currency borrowing. (iii) the selling price is both fixed and determinable and collectibility is reasonably assured. Dividend – Dividend is recognized at the point of declaration of Dividend by investee entity.Dabur India Limited | 157 Consolidated Financials as per IFRS (All amounts in Indian Rupees in lacs except share data) common and diluted common equivalent shares outstanding during the period.3 Interest. the eligible amount is determined by applying as capitalization rate to the expenditure on that asset. exchange for expired product are established as a reduction of product sales revenues at the time such revenues are considered. Reportable Segments are operating segments having separate financial information evaluated regularly by chief decision makers from the standpoint of management for identification of operating segments. Royalty. 19. liabilities. (a) Operating Segment and related information : Segment Report is drawn in application of IFRS-8. such costs are capitalized in terms of the criteria in Revised IAS 23. liabilities. Certain charge backs and rebate programmes extended to customers pursuant to industry standards are recognized as a reduction from product sales revenues.

495.per share for financial year ended 31.734.734.295.278 NIL NIL 1. NOTES FOR INFORMATION – 1.067 Negligible Negligible . Loss from Reported Discontinuing operation Loss from Discontinuing Operation Number of Shares i) Basic ii) Diluted i) EPS (Basic) ii) EPS (Diluted) 1. 2011 56.495.375. 1740375960 1749664278 9288318 3. 10150 (including Rs 1446 on account of tax thereon) during & for financial year 2010-11 which has been duly recognized as distribution of profit and adjusted in Retained Income.295.034 Profit after Tax (After adjustment of tax for earlier years) Less / Add: Profit (-) / Loss (+) of Minority Interest Loss of Discontinued operations A.158 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) 23.960 1.960 1. 2010 48.740. Further DIL has paid interim dividend of Rs. Profit from Continuing operation attributable to Ordinary equity shareholders of the parent company Number of Shares i) Basic ii) Diluted i) EPS (Basic) ii) EPS (Diluted) * The number of Shares outstanding is adjusted due to bonus issue during the year B.83 2. B. 2.82 3 1.21 1. Contingent liabilities where amount and timing of possible future outflow of resources are not readily ascertainable are not recognized but disclosed in the financial statement.749. 13151 (including dividend tax Rs. provision is made therefor in terms of its discounted present value of obligation. However when past event occurred with resulting possible obligation for which it is likely that there will be a transfer of benefit and reliable estimate can be made for the amount of the obligation.2011 not being recognizable under IFRS as laid down in IAS 10 as such maintained as part of the Retained Earnings.950 81 3 49.067 2.664. 12683 paid during the year including excess provision of Rs 40 of earlier year written back (including tax of Rs.22 3. The Dividend.139 -32 56.741. 1836) being INR 1/.740. Post Balance Sheet Event: The directors of the parent company have recommended dividend amounting to Rs.664. Status of weighted average equity (basic vis-à-vis diluted) i) ii) Weighted average number of basic shares Weighted average diluted equity share outstanding Right on equity share arising under grant of option under ESOP exercisable on future dates added to diluted holding.749. 1846) paid during the year has been charged in the retained income.278 3.3.741. Contingent Liabilities.106 For the year ended March 31. Contingent Assets future economic benefits of which are reliably estimable is recognized in Income Statement in terms of Discounted Present Value. The final dividend of 2009-10 of Rs.558 1.375.558 1. Earnings per Share : Particulars For the year ended March 31. Contingent Assets and Contingent Provision : Contingent liabilities as per IAS-37 is possible obligation that arises from past event and whose existence will be confirmed on occurrence or non-occurrence of one or more certain future events not wholly within the control of the entity or present obligation that arises from past events that is not recognized because it is not possible that an outflow of resources embodying economic benefits will be required to settle the obligation or the obligation amount cannot be measured with sufficient reliability. A contingent asset as per IAS-37 is a possible asset that arises from past event and whose existence will be confirmed only by occurrence or non-occurrence of one or more uncertain future event not wholly within the control of the entity.

853 14.303 115.845 5. 86.025 .Dabur India Limited | 159 Consolidated Financials as per IFRS (All amounts in Indian Rupees in lacs except share data) 4.970 70.189 7.845 3. Inventories : Inventories are comprised of the following: Raw Materials Packing materials.046 45.616 42. 20) Balances with excise authority Other advances recoverble in cash or in kind or value to be received Total Property.250 1.176 16.494 6.030 5. 2011 50 149 10.395 62.667 15.970 24. 86) Advance to employees (net of allowance for doubtful account Rs.443 2.867 27.130 4. Other Current Assets : Other current assets comprise of the following: Advance payment of Tax Advances to suppliers (net of allowance for doubtful account Rs. Plant & Equipment comprise of the following: Freehold Land Leasehold Land Building.883 12.991 6.242 2010 25 57 5.559 8.622 The company has a policy of regularly identifying and charging off the non usable Finished Goods and as such the relevant cost represents NRV (Net Realisable Value). Cash & Cash Equivalents (Financial Instruments) : Cash & cash equivalent comprises following – Cash in hand Remittance in transit Balance with Schedule Bank Fixed deposit account (maturing within one year) Total Cash equivalent represent deposits placed with Banks in the normal course of business operation.120 2.811 27.232 5. Plant & Equipment : Property.Roads & Culvert Plant & Machinery Vehicles Furniture & Off Equipment Computers Capital Work In Progress Total Gross Block Less: Accumulated Depreciation Net Block 33.358 13.888 602 2.010 96. based on present and prospective financial condition of the customer after considering historical experience and the current economic environment on case-to-case basis.434 1. 2011. 4.516 470 2.420 -34.889 1.950 4. 22.682) 72. 20.183 4.242 3.678 39. Total account receivable as at March 31.709 54.808 44. net of allowance for doubtful account of INR 1662 (INR 1467 previous year) amounts to INR 35547 (INR 11986 previous year).024 3. 6. The group companies maintain an allowance for doubtful debts on accounts receivable. Accounts Receivable (Financial Instruments) : The Accounts receivable is stated net of allowance for doubtful debts for Fair Value recognition.553 1.706 (43. previous year Rs. 7.478 32. stores & spares Stock in process Finished goods Total Inventories are hypothecated to banks and Financial Institution as part of securities.151 33. previous year Rs.936 3.791 19.

06. Other Investments available for sale : i) Readily marketable equity securities : Carrying Cost Gross unrealized holding gain is accounted in Other comprehensive income Fair Value ii) Not readily marketable equity securities: Carrying Cost Gross unrealized holding loss accounted in other comprehensive income Fair Value (b) Long Term Liabilities include: (i) Deferred Payment credit for acquiring machines from Tetra Pack. INR 554. The depreciation expenses relating to Property. Financial Instruments: Other than Trade Receivables and Payables (a) Investments (i) Available for Sale (AFS) Readily marketable securities 2011 Mutual Fund Carrying Cost Gross unrealised holding gain / loss accounted in other comprehensive income Fair Value Other Short term Readily marketable securities Carrying Cost Gross unrealised holding gain / loss accounted in other comprehensive income Fair Value Total Fair Value 8. INR 35 & INR 27 were sold / transferred.147 2010 25. 2011 resulting in charge of only Rs 6338 (including amortization of intangibles of Rs 471) during the year. 9. The site restoration / dismantling cost on expiry of lease period is not ascertainable to consider any liability on upfront basis and not dealt with in the accounts.071 65 25. (ii) Term Loan from SCB (Standard Chartered Bank ) (iii) Term loan from Bank of America. (ii). Plant and Equipment for the year is INR 5867 (previous year INR 5759).318 The gain of Rs.415 28 8. Roads & Culverts.160 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) During the year Building. (iii) and (iv) above have been valued at amortised cost applying the fair interest rates. Vehicle. Furniture & Fixture and Computer costing INR 54. INR 262. The net gain of discarded/sold assets amounting to INR 141 (previous year loss INR 30) are taken to Income Statement. (i) Deferred Payment Credit Date of Investment 20.2007 Less: Down Payment (Net) 342 57 285 985 (27) 958 185 (27) 158 NIL NIL NIL NIL NIL NIL .182 26.702 42. 92 on sale of Mutual Funds. Financial Instruments have been adjusted in the Income Statement. Plant & Machinery.136 1. (iv) Term loan from ANZ Ltd. Accumulated depreciation thereon aggregated INR 552.673 29 33. The charged amount of Depreciation in the Depreciation computation schedule of Rs 10255 include Rs 3917 being the depreciation upto the date of respective acquisition of M/s Hobby Group and M/s Namaste Group namely upto 7th Oct. 2010 and 1st Jan.443 33. The detailed calculations are given below: The respective liabilities of (i).182 1.

2.2010 Less: Down Payments (Net) rd 11.38 each effective from June. (ii) Term Loan from SCB (Standard Chartered Bank) The differential amount out of restated value Rs 10 has been adjusted partly (Rs 7) during the year and balance Rs 3 is adjustable during 2011-12 commencing from 1.2011.12.2% Restated Value as of 31st Mar.15% The restated value of the loan on 31. The difference amount being Rs. 2011 Rs 11.3 effective from December. (iii) Term loan from Bank of America Date of Contract: 27. payable half yearly is Rs. .2010 Less: Down Payments (Net) th 22.2011 at fair rate of return annually.03.12. 2013.2010 Less: Down Payments (Net) Payable in 8 half yearly payments. 101.148 11.295 11.137 Differential amount of Rs 10 is adjustable in sixteen installments through interest account in the income statement.01% The restated value of the loan on 31.265.295 22.147 11.147 11. Fair rate of return 2. Fair rate of return 1.2011 (iv) Term loan from ANZ Limited Date of Contract: 27. commencing from June.39 exclusive of interest.147 Payable in 16 quarterly installments effective from 13 Mar. 2012.147 Payable in 8 Half yearly installments effective from 23 June.125 Differential amount of Rs 22 is adjustable through interest account in the income statement in next eight installments.12. 2012 and Jan. 2011.Dabur India Limited | 161 Consolidated Financials as per IFRS (All amounts in Indian Rupees in lacs except share data) Payable in next 4 yearly payments Fair Rate of Return on domestic loan 12% The liability of the deferred credit standing at 31st March.2010 Less: Down Payments (Net) Payable in 9 half yearly payments commencing from December. (v) CITI Bank Loan account Dabur International – Subsidiaries Date of contract: 14. 22. 2011 is Rs 133.2011 at the fair rate of return annually. 2012.148 11. The differential amount being Rs 19 is recognized in the interest account which is adjustable in 8 half yearly installments @ Rs.8% Restated Value as of 31st Mar. 2012 Fair rate of return 2.12. 2011 Rs 11. payable half yearly is Rs.03.4. Fair rate of return is 2.292. The same is to be liquidated in two yearly installments due in Mar. (vi) ANZ Bank Loan account Dabur International – Subsidiaries Date of contract: 24. 30 is recognized in the interest account which is adjustable in 9 half yearly payments @ Rs 3. 2012.

155 23. 100% and 100% stakes in respective entities at aggregate of consideration of Rs.906 Rs 13. (c) Hedging Instruments The company enters into derivative transactions of the nature of Currency Futures or Forward Contracts with the object of hedging against adverse currency fluctuation in respect of import / export commitment and exposures in foreign currency. liability / asset on open contracts are identified on the reporting date and profit and loss if any thereon are recognized under Other Comprehensive Income (OCI). has been merged with the group since 01-04-2009.30 of goodwill inherited from Balance Sheet of subsidiaries were impaired subject to due test of impairment during reinstatement of account in IFRS. were merged with DIL. three entities. 2003. The merger. 2003.52%. 2005.20.35.23 in CFS which has beern carried in balance sheet and is subjected to due test of impairment.2006.345. joined the group after DIL acquired directly or indirectly 99. (c) On April 01. Balsara Hygiene Products Ltd. Rs. 2011 Rs 13.554 16. Balsara Home Products Ltd.162 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) vii) ANZ Bank Loan Account Dabur international – Subsidiaries Date of contract Down Payment Net Fair rate of return 2.287.35 has been accounted for as Goodwill. Excess of consideration money over the net asset value of the investee entity amount to INR 562.. 1 each of the company as per the scheme. with the company retrospectively since 01-04-2009 and submission of certified copy of judgement of Hon’ble Court to ROC..04. 16. These companies accounts were consolidated herein upto previous financial year on the basis of three separate financial satatements as subsidiaries of DIL. Balsara Hygiene Products Ltd. 2012.2% Restated Value as on 31st Mar. Femcare Pharma Ltd.582. Balsara Home Prtoducts Ltd and Besta Cosmetics Ltd. the parent company acquired 38. 10. Excess of consideration money over the net asset value of the investee entity amounting to INR 825. Based on contracts which are by and large marked to market.377 .377 NIL Rs 13.89. and Besta Cosmetics Ltd. contributed to additional goodwill of INR 632. with corresponding debit / credit thereon appearing under Other advances recoverable in cash or in kind or for value to be received / Creditors for expenses and other liabilities account. Loss sustained during the year in derivative transaction amounts to Rs.155 97. Goodwill : 2011 Gross Goodwill Cumulative impairment provision Net Goodwill Components of Goodwill include the followings : (a) On September 14.399 2010 40. Said Goodwill was impaired subject to due loss of impairment during course of reinstatement of account to IFRS as on 01. The said amount is inclusive of Rs 97 in the open contracts being unrealized and adjusted in the OCI. (ii) The Minority Interest in the said erstwhile subsidiary has been satisfied through equity settled share based payment by issue of 1384620 number of equity shares of Re.50. the excess of consideration money over proportionate net asset of these entities were treated as goodwill. (e) (i) Pursuant to implementation of the scheme of merger of subsidiary M/s.061 16.41% stake in Weikfield International Limited by way of acquiring 615 number of shares amounting to INR 356. Remaining Rs 117 is set off against misc receipt in the income statement. (b) On September 14.352 Differential amount of Rs 25 is adjustable through interest account in the income statement in next eight installments effective from 14th Aug. 2006. 10. 113.40 has been accounted for as Goodwill. 214. (d) As on April 01. 15. Entire goodwill on consolidation discussed in ‘b’ & ‘c’ above along with Rs. erstwhile Fem Care Pharma Ltd. the parent company acquired 100% stake in Dabur International Limited by way of acquiring 100000 numbers of shares therein at a consideration of INR 2.

293 425 179 41 422 -105 4 Hobi 4.750 11.576 10.599 1.694) 59. the last two body corporates being wholly owned subsidiaries of respective first two body corporates.e.455 3.) a body corporate incorporated in USA and whole time Subsidiary of the former has joined the group as whole time Subsidiary of Parent Company w.017 6 Ra Pazarlama 5 0 5. which gives rise to Goodwill amount Rs.Dabur India Limited | 163 Consolidated Financials as per IFRS (All amounts in Indian Rupees in lacs except share data) (iii) The excess of consideration of acquisition over proportionate net assets taken over under the deal has been accounted for as ‘Goodwill’ which works out to Rs.030 0 101 4.525 52.280. Healing Hair Laboratories incorporated in USA and Hair Rejuvenation and Revitalisation. (f) New Acquisition (i) Pursuant to takeover by Dermoviva Skin Essentials Inc.572 0 6.694) 90.2009.517 16. (iii) The assets and liabilities inherited under the deal of acquisition. (iv) Following the merger of erstwhile Fem Care Pharma Ltd w. Zeki Plastik Imalat Sanayi Ve and Ra Pazarlama Ltd Sirket joined the group on 07.441 589 1.01. Loans & Advances Sub Total A B Liabilities Secured Loan Unsecured Loan Current Liabilties & Provisions Sub Total B C D E F G H Net Assets (A-B) Consideration Money Paid Adjustment for discounting of Contingent Consideration As on date consideration money Goodwill (D-C) Profit added during the year through the sources of newly acquired entities 1.027 73.052 0 1.927 4.854.926 61. the Dermoviva Skin Essentials Inc.340 4.f 01.2009.228 0 171 219 390 838 1.219 (1.941 12. 100% right there in accruing in favour of their immediate holding company as per law of country of their incorporation.04.526 0 23. 22.2010. Nigeria incorporated in Nigeria joined the group on 01.2011.805 4.161 61.237 10. Urban Laboratories International LLC.181 28.10.585 0 618 3.471 0 618 3. one of the subsidiaries under consolidation Namaste Laboratories LLC.423 6.535 91.721 (1.322 0 686 2.801 96 Namaste Lab 348 0 10.219 2 Urban Lab 0 0 886 886 0 0 122 121 765 0 3 (1+2) Total 348 0 11.545 6.141 8. (Formerly known as Jaquline Inc. liability and capital base. (ii) Pursuant to takeover by Dabur International Ltd one of the subsidiaries under consolidation. 52. The last two entities are still defunct with no asset. (v) The acquisition of all the new companies have been dealt under Purchase Method.258 (figures of previous year are not comparable with those of current year.526 29.025 5.f 01. three body corporate incorporated in Turkey named Hobi Kozmetik Imalat Sanayi Ve.e.897 20. As such entire assets of relevant entity have been reckoned against the country of the group leaving nothing for the Minority Interest.123 11.474 5 Zeki 601 0 627 1. consideration money paid vis-a-vis Goodwill generated thereon are given below:1 Particulars A Assets Fixed Assets Investment Current Assets.011 7 (3+4+5+6) Total 5.04.) (iv) Except Dermoviva Skin Essentials Inc remaining three body corporate incorporated in USA has zero capital base.492 2. (vi) Contingent Liability of the acquired entities- .

Group management more or less is confident of ability of the said erstwhile promoters to achieve the targets thereby entailing provisioning exigency against contingent consideration amount (payable after 4 years) in terms of discounted value and adjustable in the future year.382) 2. possible outflow against contingent liability arising as a present obligation from the past events can not be measured reliably. 16316 being the discounted value at fair rate of return (2.667 (911) 1. consultation fees and their related cost Rs. 20 for income tax liability arising out of obligation and not measurable reliably and not recognized in the books of account. the latter being entrusted with day to day charge of existing management to achieve specified year wise targets set for four years for the purpose of being eligible to relevant consideration amount. 33 for general expenses which has been duly accounted for envisaging probable cash outflow in this regard. (b) During the acquisition of three companies in Turkey. (viii) Contingent liability of parent company includes the following being brought forward from previous year: Nature of Liability VATS Sales Tax Sales Tax Entry Tax Sales Tax Sales Tax Sales Tax Excise Particular of dispute Short payment of VAT Classification of Laldant Manjan Classification of Gulabari Entry tax on car Classification of Hajmola Candy Tax Paid purchase Capital Goods removal Closing Provision 42 36 1 1 28 29 10 30 177 In apprehension of crystallization of above liabilities within a year. having regard to liability accruing within one year.164 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) The group recognizes on the date of acquisition Contingent Liability as follows: (a) In respect of acquisition by Dermoviva Skin Essentials Inc: Rs.094 2010 1. figures thereon have not been discounted further.881 Forum where the dispute is pending IInd appeal filed Filed review application with High Court Appeal filed before the D.Appeal Appeal pending before D. being the contingent consideration money by which the group is liable to erstwhile promoters of Namaste Group. Appeal pending before S T Appellate Pending before High Court DC appeal . (vii) The acquisition related cost being in legal fees.125 1.771 (1. (ix) Contingent Consideration: Consideration money include Rs. Details of intangible assets (Patent & Software) : 2011 Patents Software Less: Amortisation Total Intangibles 1.C. However any future reduction of liability on account of failure to achieve the targets will be recognized as revenue income. Hence the contingent liability disclosed in the books of Hobi Kozmetik Rs. Rs. 18011. 11. 33 has not been provided for being not measurable at its fair value and treated in terms of IAS – 37.C. 260 has been expensed in terms of IFRS – 3.705 1.5%) against the original goodwill of Rs.

737 4.015 -391 3 4 -384 -62 -41 -4 -107 31 -4 27 134 -2. Other non-current assets : Other non-current assets include and those segments of current assets. Guarantee by Dabur International Ltd.03.2011 Retained Earnings Total 2010 3.605 9 0 -36 2. Naturelle LLC Dermoviva Skin Essentials Inc Dabur Nepal Pvt.151 59 5.184 -2. SBI.700 63 429 2. SCB.192 -20 0 18 -2 31 54 85 87 299 0 0 14. Guarantee by Dabur India Ltd.Packing Credit Reinstatement of Readily Marketable Securities Deferred tax liability (current) Deferred Tax assets (Current) Hedging loss on Derivative Instruments Disallowance Total Deferred tax Assets (Current) Deferred Tax Asset (D-C) Total Deferred tax liability 2. 2011 Schedule H other non-current assets Security deposits with various authorities Total 13.7% 10% 11. HDFC HSBC SCB ABN AMRO Bank of America Barclays Bank Plc. Ltd.142 9 3. Guarantee by Dabur International Ltd. Mauritius Bank Bank Stock.03.151 -95 -3.25% 1.Dabur India Limited | 165 Consolidated Financials as per IFRS (All amounts in Indian Rupees in lacs except share data) 12.movable properties & Guarantee by Dabur India Ltd Stock. transaction Hedging Gain .580 3.580 4.578 1.184 31.002 0 0 -2. Guarantee by Dabur International Ltd.76% Nature of Security Name of Entity Dabur Nepal Pvt Ltd Dabur India Ltd Dabur Egypt African Consumer Care Ltd.737 A B C D E F Deferred tax liability (NonCurrent) Depreciation of Plant & equipment Reinstatement of Long term investment Undistributed Profit of Subsidiaries Reinstatement of Loans Deferred Tax liability (NonCurrent) Deferred Tax assets (Non Current) Service benefits Contingent Liability Doubtful Debts/Advances Deferred Tax assets (Non Current) Deferred tax liability (current) Unrealised Profit of Intra Co.091 60 425 2. Deferred Tax: 31.765 2. which are not due for realization within a period of one year. Building & Plant & Machinery Building & Plant & Machinery .152 922 166 216 267 981 3. Hobi Kozmetik Zeki Plastik Standard Chartered Bank Nepal Ltd.576 42 41 22 105 0 58 58 -47 2.184 0 -967 -2. Borrowing : a) Short Term Debt (including current portion of long term debt) working capital and short term loan from banks comprises following : Name of Bank Amount in INR 1.361 2.752 389 94 Rate of Interest per annum Libor +0.2010 Inherited Adjustment Income Other Statement Comprehensive income 231 -967 232 -95 136 -391 3 4 -384 -62 -41 0 -103 -4 -4 31 0 232 -4 -4 99 421 31 35 -1. Consortium of IDBI.5% Libor+1.832 232 231 0 -3.book debts Guarantee by Dabur India Ltd.70% Libor+1.

17.694 203 9 138 (27) 323 The share of gain of Minority Stake holders of financial year 2010-11 amounting to INR 33 has been credited to Minority Interest account.257 (b).500 2.021 2010 457 33.129 10.765 34. Other non-current liabilities : Leave salary Housing.21% Unsecured Unsecured Unsecured Unsecured Unsecured Unsecured Point no.263 0 32. .069 Security Mortgage of factory at Nashik Charge on specific machinery Unsecured Unsecured Unsecured Unsecured Unsecured Unsecured The agreement with dealers are renewed from time to time and the dealers security deposit is treated as current liabilities due to unpredictable contractual termination period. 35(b) Dabur India Limited Dabur International Add: 38. Accrued expenses & other current liabilities : Security deposits from dealers & others Creditor for expenses & other liabilities Advance from customer Interest accrued but not due on loans Investor education and protection fund Total 2011 519 35.622 1.166 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) Dabur India Limited AXIS Bank AXIS Bank YES Bank YES Bank Packing Credit Loan Short term Loan Current portion of long term debt Total 10.25% 9.75% 8.00% 8.116 16.125 13.319 2. Trade Accounts payable : Trade accounts payable of INR 33906 (PY INR 13000) comprise trade creditors for goods & services which include notes payable of INR 6042 (PY.25% 2.317 59.214 Payable within a year 463 70 31 2.930 4. Long Term Borrowing (including loans at Restated Value) Particulars Standard Chartered Bank Deferred Payment Credit Sales Tax Loan Scheme (interest free) Bank of America ANZ Ltd.365 164 25 304 34.069 8. INR 6080).861 24.352 66.394 11.000 1.506 203 9 138 5 355 570 7.028 Rs 66.502 11. Gratuity & Others Taxation Contingent consideration Total 18. CITI A/C Dabur International ANZ A/C Dabur International ANZ A/C Dabur International Others insignificant loans at current value Rs 186 Total Long term loan 15. Minority Interest : Stock holder’s equity Share Premium Other Reserve Retained earnings Total 308 8.456 60 364 38.763 0 742 4.500 4. 16.000 5.316 Payable after one year 235 63 228 19.

798 (Previous Year 8.740.743) shares have been allotted as fully paid up bonus shares from Share Premium account Nil (286.e. Common Stock has been enhanced during the year by INR 25 towards exercise of stock option by minority.2010 20. Equity Share of INR 1/.361.610.03. Contingent Asset The company’s freehold land at Sahibabad measuring about 7. (b) Employees Stock options: The position of Equity Capital as on 31.361.449 Allotted against pending issue of previous year 1.723.740.690 Note : a) Of the above shares issued and subscribed 1.899 1.651.351) shares.404 17. under land Acquisition Act and the State Govt. 595 (Previous Year Rs. 1 each) Share Suspense A/c As at 31. 572 before the officer of special acquisition officer. Govt.each.2011 Authorised: Equity Shares of Re.72 acres of land on lease to the company from the acquired land. 1 each fully called up.361. Stockholders’ Equity : (a) Common Stock : DIL has only one class of common stock i.723.585.066.38 acres was acquired by the U.740.721) shares have been allotted upto 31. The economic benefits of the claim.500 17.620 Bonus issue 870. c) Movement of Equity : Particulars Number of shares Opening number of shares 867.798 number of shares (previous year 867. b) Of the above shares 870.03.03. Leasing Contract (excluding Land) : (i) The future minimum lease payment under non-cancellable operating lease Not later than 1 year Building Cars 914 (261) 46 (45) Later than 1 year but not later than 5 years 1992 (499) 66 (69) Later than 5 years 400 (59) Nil (Nil) (ii) Lease Rent charged to Income Statement for the year Rs. has allotted and given possession of about 4. 278) (iii) Contingent rent recognized as income – NIL (iv) The non cancellable lease agreement related to Flat & Vehicle. lacks virtual certainty and hence not considered as contingent asset in confirmity to IAS – 37.899 (previous year 755.407 8.000 14. 1.830 number of shares at Re.676 14 8.P.585.384. 20.717.899 (469. Shareholders enjoy voting power in accordance to the number of Equity Shares held by it.1 each 2000000000 number of shares Issued and Subscribed: Equity Shares of Re. Ghaziabad against the land so acquired.2011 is as furnished below: As at 31. the period of lease not exceeding 5 years in each case.03.723.Dabur India Limited | 167 Consolidated Financials as per IFRS (All amounts in Indian Rupees in lacs except share data) 19.392) and capitalization of Free reserves 870. The company has filed a claim of compensation of Rs.798 . 21.2011 under ESOP scheme.830 Issuance against exercise of options in ESOP 1. however.391.

820 25. 8.644 1.541 3.236 Weighted average exercise price (per option) weighted average fair value of per option : (per intrinsic value method) (per black scholes model) 11.beginning of the year Granted Exercised Cancelled Outstanding at the end of the year Particulars of disclosure regarding share based payments : For the year: 1.509. 3394 on Profit & Loss account with corresponding rise in Stock Option Reserve account in balance sheet a) b) 9. Share based payment led to charge of Rs. In lacs) 59.627.745.221. Employees Stock Option : The parent company has an Employees Stock Option Scheme (ESOP).995. 9.965 19.058.236 2010 3.05% Fair Value of Grant of Stock option under Black Schole Pricing Option model amortised during the year 10-11 works out to Rs. The criteria for granting options are essentially on the basis of the management grade of the employee.820 25.610. which provides for grant of stock options in DIL to eligible management employees of group companies.745.436 9.47 65. aggregate Rs.965 3. The fair value of each option is estimated using the Black Scholes model after applying the following weighted average assumptions : -Risk free interest rate -Expected life -Expected Volatility -Expected Dividend yield -Price of underlying shares in the Market at the time of option grant 12. 5. Of the above shares issued 1610820 (Previous Year 2509581) shares have been allotted during the year and 19627236 (Previous Year 1745965) shares are outstanding under Employees Stock Option Scheme.610.719.820 1.610. 4.627.394. 2011 Outstanding.703 1.236 (Rs.721 19. The ESOP is administered by the Management Committee of the Board (‘The Committee’).626 None 8.746.581 153.610.168 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) 22.244 1.153 None Cumulative: 32. Exercise price of option is the fair value of shares on grant date.50 1 to 5 years 15.610.842 2. Consequent to making share base payment.92% 2.820 1. c) . Options vested Options exercised Total number of shares arising as a result of exercise of option Options lapsed/cancelled Variation in terms of options Money realized by exercise of options INR Total number of options in force 19.517. 1074 has been charged off to stock option reserve with corresponding credit to Share Premium account. fair value of Premium Component of equity shares issued on exercise of option by the beneficiaries during the year determined on BLACK SCHOLES METHOD. 2. 6.782 10.627. 10.83 6.407 413. 7. Number of Options granted Pricing formula Black Scholes Pricing Option 19517244 Each option carries the right to the holder to apply for equity shares of the company at par 1. 3.153 19.405.

821 23.268 255 2. Cost of Revenue : Raw Material consumed Packing Materials consumed Purchase of Finished goods Increase(-) / Decrease in stock in process & finished goods Mfg.127 39.471 33.524 3. Other Income : Rent Realised Misc Receipt Profit on sale of investment Profit / loss on sale of fixed assets Restated Interest Adjustment / received Total 25.177 2.002 612 3.126 221.277 547 10.847 5.248 304. 2011 370. 1610820 (Previous Year 9565961) shares have been allotted upto 31st March.451 566 531 4.922 66. 2011 under Employees Stock Option Scheme. Expenses Workmen & staff welfare Total 26.514 586 2.827 53. Revenue : Domestic Sale Less: Sales Tax Less: Excise duty Less: Commission & Discounts Domestic sales less returns Export sales Subsidy Sale of scrap Total 24.527 1. General & Administrative Expenses : Rent Rates & Taxes Insurance Freight & forwarding charges Commission .456 4. Discount Advertisement & Publicity Travel & Conveyance Telephone Legal & Professional Security expenses General expenses Directors fees Auditors’ remuneration Donation Contribution to scientific research expenses Bad debts Fixed Assets written down Loss on sale of fixed assets Total .600 431 846 405.450 180.940 830 3.940 2.983 640 11.471 14.217 113.220 560 658 7.632 2010 308.019 229 1.959 1.110 533 745 338.348 3.530 1.264 -1.680 81.427 49.242 2.557 308 2.028 10.015 1.Dabur India Limited | 169 Consolidated Financials as per IFRS (All amounts in Indian Rupees in lacs except share data) d) Of the above shares issued and subscribed.209 23.340 -12.905 14 152 613 50 92 0 195 79.098 52. Selling.156 15.366 13.203 13 149 718 368 174 2 88 89.004 595 1.859 142 1.027 24.741 364.

Bangladesh and INR NIL (previous year INR 12) for Dabur International Ltd and INR 11(previous year INR 3) for African Consumer Care Ltd. 117 (credit) and Rs. change in accounting policy or otherwise.250 .133 2010 1. and INR 76 (previous year INR 48) for Asian Consumer Care Pakistan Pvt. 697 1.818 420 100 6.037 20. 29. Sirket. and INR 23 (previous year INR Nil) for Namaste Laboratories LLC. Financial Expenses : 2011 Interest paid on Fixed period loan Others Bank charges Total 30. Ltd and INR 431 (previous year INR 288) for Dabur Egypt Ltd and INR 8 (previous year INR NIL) for Asian Consumer Care Pvt.03.733 2. (i) Depreciation & amortization : 2011 Depreciation on Property. Plant & Equipment Amortisation of Software Assets discarded/impaired Total (ii) Prior period adjustment: Under circumstances of any prior period effect calls for being accounted for profit / (loss) of the year.059 5. In view of this Other comprehensive Income and Retained Earnings in CFS of 31.738 2010 171 317 571 1. and INR 100 (previous year INR Nil) for Hobi Kozmetik Imalat Sanayi Ve and INR 10 (previous year INR Nil) for Zeki Plastik Imalat Sanyai Ve and INR (12) (previous year INR Nil) for Ra Pazarlama Ltd. 91341 (credit) respectively. the adjustment relates to is reinstated after consideration of impact of the said adjustment with due disclosure on the reason of such adjustment whether arising out of error. Income Taxes : Income tax provision of INR 13296 (previous year INR 9359) includes foreign income tax provision of INR 286 (previous year INR 239) for Dabur Nepal Pvt. Ltd.357 15.. Nil (previous year Rs 61) has been added to Personnel expenses during the year.740 13. INR 424 (previous year INR Nil) for Dermoviva Skin Essentials Inc.338 2010 5. Ltd.373 520 15.633 Consequent upon preponing the date of exercise of option right under Employees Stock Option with corresponding decline in vesting period for a part of option Rs. Personnel Expenses : 2011 Directors’ remuneration ESOP Directors Salaries & benefits ESOP Employees Total 1.760 331 159 6.006 1.477 564 2. 28.2010 restated during the year works out to Rs. deferred tax created into 2009-10 or undistributed profit of the subsidiaries of the group has been reversed. In view of continuing practice of the group not to distribute profits of its subsidiaries.170 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) 27.

Mr.622 2. Mr. Remuneration to key management personnel INR 972 (previous year INR 1323). Mohit Burman.11 INR 8261) (previous year 7916). The dues being the dues to Govt Dept and crystallisable within a year amounts are not restated to Present Value. d. 30 (Previous Year Rs. Mr. Mr. e. Sikandar Tiwana. 17) for which reliable outflow of the liabilities are not measureable. Mr Sunil Duggal. Note : i) Key Management personnel include Mr.102 7. Mr Mete Buyurgan. Mr. Mohd khan. 826 (Previous Year Rs.752 5. Mr.Narang. Mr. as a result of guarantees or counter guarantees/ Indemnification bonds furnished. Amit Burman. Share based payment to key management personnel (ESOP) INR 1357 (previous year INR 353). Sunder Krishnan. Bangladesh..056) (Balance as on 31.C. There are other disputed claims not accounted for include: i) ii) Civil Suits filed by third parties Rs. 755). Pradip Burman. Mr Gary Gardner and Mr Clyde Burks all directors of group companies. and Mr.03. f. Mr. The group has given in the normal course of business the guarantees as stated.68 which result into outflows on the basis of outcome of the decisions of Sales Tax / Tribunal / CCT’s in the succeeding year. Interest paid on loan taken from director amounting to INR Nil (previous year INR 3).Rana.D.255 7. Gaurav Burman. Group assesses in most of cases no extra liabilities. Rent paid INR 6 (previous year INR 7) to ACI Ltd. c. Anup Sharma. A C Burman. a joint venture partner and INR 60 (previous year INR 68) to Key management personnel.Dabur India Limited | 171 Consolidated Financials as per IFRS (All amounts in Indian Rupees in lacs except share data) 31. c) iii) Rs. Mr. Mr R.192 The closing provisions of various tax liabilities pending in the forums of taxing authorities amounting to Rs. Siddharth Burman. Mr.Burman. Sarabjeet Singh. Related party transaction in conformity with IAS – 24 : a. Guarantee Bond furnished to Bank on behalf of JCE INR 714 (previous year INR 714). . 32.S. Payment to post employment defined benefit plan INR 1080 (previous year INR 1. Other contingency & capital commitment : a) The group company is involved in certain claims. The penal interest in the above cases are not readily ascertainable. 20 for income tax liability arising out of obligation and not measurable reliably and not recognized in the books of account. List of contingencies are as follows : 2011 Claims not acknowledged as debts In respect of Guarantees furnished Current Bills purchased/discounted under letter of credit Demand for taxes pending disposal of appeal(s) In respect of capital Commitment for unexpected contract b) 856 1. b. Mr. None of the liabilities are measurable to the extent of recognition of any liability. 175.073 5. Claims by employees Rs. Mr . iii) Forum I Aviation Ltd – a Jointly Controlled Entity. fiscal assessments and litigation arising in the ordinary course of business. Peter Baker. ii) Relatives of key management personnel include Mr V. Mr P.011 2010 772 2. Kyle Gardner.764 3. Director Fees INR 13 (previous year INR 14). Saket Burman.

20 None of the parties favoring whom guarantees have been furnished is related party. the recovery proceedings have been initiated by the company against Sharda Boiron Laboratories Limited for INR 48.226. Dermoviva Skin Essentials Inc Dermoviva Skin Essentials Inc Dermoviva Skin Essentials Inc Carrying Amount As on 31/03/2011 714.90 11.New Delhi Citi Bank National Societe Generale ANZ Bank ANZ Bank Bank of America Bank of America ANZ Bank Name of party on whose behalf guarantee issued Forum I Aviation Ltd.50 4. Dabur International Ltd.13 raised by the District Excise Officer.485.35 12. The Company had filed the review petition before Division Bench of the Hon’ble Supreme Court of India. During the year 1991-92 the company has received a refund of INR 5. no adjustment or recognition of income or expenses have been made concurring the issue.714. The balance amount of INR 24. Pursuant to the indemnity bond executed by M/s Sharda Boiron Laboratories Limited in favour of the company and as per the terms and conditions of the contract executed with them. Expenses recognized during the period: A. Current Service Cost C.00 265. Fate of the arbitration proceedings not being readily ascertainable.23 12. Ghaziabad.30 2.90 11.875. which was also decided against the company.714. now known as SBL Limited. Non-current Loans and Advances includes INR 48.229. Ghaziabad. pursuant to the decision of Hon’ble Supreme Court in this regard. in respect of excise duty demand of INR 68.20 14. Past Service Cost B. Employees post retirement benefit : A) Defined Benefit Plan Pursuant to adoption of IAS-19 treatment of defined benefits obligations have been changed in terms of standard with the following adjustments incorporated in accounts.229.30 2.226.485. against the company and Sharda Boiron Laboratories Limited. Dabur International Ltd.147.898.459.898.70 29.70 29.64 by invoking the arbitration clause. Dabur Egypt Limited Dabur International Ltd.00 265. Dabur International Ltd.50 1. Dabur Egypt Limited Dabur International Ltd.875.485.50 1.485.50 4. Interest Cost 34 350 -394 227 -180 0 228 -252 79 -57 0 122 -115 278 -271 34 699 -761 583 -508 Leave Salary Post Separation benefits of director (funded) (funded) Total .95.46 along with interest demanded by the Excise Authorities has been paid directly by Sharda Boiron Laboratories Limited to Excise Authorities.20 14.29 2.64 paid by the company to Excise authorities on behalf of Sharda Boiron Laboratories Limited.29 2.20 Fair Value As on 31/03/2011 714. Expenses recognized during the period Particulars Gratuity (funded) A.459. 33. The matter is pending before Hon’ble High Court of Delhi for the appointment of an arbitrator. The Hon’ble Supreme Court of India had concurred with the order of the District Excise Officer.172 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) d) Break up of current guarantees furnished along with other particulars : Guaranteed Party HDFC Limited Credit Agricole Corporate Citi Bank HSBC.35 12.23 12.147.

047 -922 0 0 228 -318 79 -57 -51 -44 -220 (-253) 1.261 -7.088 0 0 217 (-173) 616 -213 3.261 -7.2011 3. Expected Return on Plan Assets 153 -92 III.2010 539 -355 48 -28 8 (-28) 326 -312 -147 (-149) 775 -518 1.113 -1.085 8. Accumulated Loss/Gain Total expenses recognized during the year (A+B+C+D+E) -153 (-14) -193 (-70) 265 -490 -201 (-42) -36 (-171) 1.113 -1.133 -3.658 -1. Actuarial Gain/ (Loss) -306 (-71) VI.3.700 -3.799 II. Current service cost 350 -536 IV.056 7.2011 . Fair Value of Plan Assets as on 01. Obligation as on 31.831 II.045 -3.120 II. Expected return on Plan Assets E.3.04.700 0 0 4. Change in Plan Assets : (Reconciliation of opening and closing balances) 1. Settlement -292 (-316) VII.700 Total D.2011 2.888 -2.085 5.2010 3.032 -2.338 34 0 699 -968 583 -508 -140 (-200) -695 (-698) 8.561 I.133 -3.128 C.567 D. Past service cost 34 0 III.03.475 201 -120 -104 (-106) 914 -810 -320 (-214) 2.045 -3.04.128 2.888 -2.03.916 B.2011 3.133 -3.083 -1. Interest cost 227 -180 V. Reconciliation of opening & closing balances of obligations : I. Planned Assets as on 31. F.197 -1. Employer Contribution 588 -498 V.700 2. Fair value of Plan Assets as on 31.779 -7.916 2.373 -5. Obligation as on 01.080 -1.617 0 0 122 -114 278 -271 217 (-173) -182 (-129) 4.088 775 -518 308 -570 0 0 0 0 0 0 0 0 0 0 0 0 4.083 -1. Obligation vis-a-vis Planned Assets I.567 932 -1. Obligation as on 31. Settlement -173 (-65) VI.Dabur India Limited | 173 Consolidated Financials as per IFRS (All amounts in Indian Rupees in lacs except share data) Particulars Gratuity (funded) Leave Salary Post Separation benefits of director (funded) (funded) -48 (-28) -59 -72 199 -353 1. Actuarial Gain/ (Loss) -112 (-78) IV.

Total Assets includes INR Nil (previous year INR 61) held for Sales with reference to IFRS 5. Life span of the CGU’s has been assessed on the basis of technical evaluation. UAE and Balsara Group. Discount factor has been assumed on the basis of market borrowing rate (6%) plus 2% against risk factor. Impairment of Goodwill : Gross goodwill amounting to INR 16155 has arisen against consolidation / merger of Weikfield International LLc. B) Defined Contribution Plan :Company’s contribution to different defined contribution plans :Particulars Provident Fund Employee State Insurance Employees Superannuation Fund Payroll Taxes 401K Match 2010-11 768 119 355 56 22 2009-10 712 60 318 - In view of the uncertainty on the date of outflow of fund towards other employee benefits. Goodwill has been accounted for in appropriate cash generating units (CGU’s) being represented by each of independent manufacturing units. MS.03. goodwill of Weikfield International and Balsara Group of Industries have been impaired by INR 562 and INR 15593 respectively being the short fall in recoverable value of CGU’s vis-àvis corresponding carrying amount of assets.2011 100% in reimbursement right from insurance company for fund managed by it. has not been discounted as on date.174 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) III. Recoverable value of assets of referred CGU’s have been arrived at on the basis of value in use method. The basis used for determination of expected rate of return is average return on long term investment in government bonds. forming part of defined contribution plan. Total Liabilities includes INR Nil (previous year 4) held for sales in disposal with reference to IFRS 5. the liability accruing thereon. Director. for the purpose of impairment. Based on assumption of life span of CGU’S and discount factor (applied for determination of as on date discounted value of future cash inflow of CGU’s) at five years and 8% respectively. VI. employees turnover at FS 20%. No impairment is called for against any other assets of CGU’s forming part of the group.00% Projected unit credit method. APP 6% normal retirement age at 58. and has been impaired. GS 20%. 7. 34. Demographics assumptions take in to account mortality factor as per LIC (1994-96) ultimate criteria. IV.50% 9.00% 10. Investment detail of plan assets as on 31. promotional increases and inflationary consequence over price index. 35. VII. . The estimate of future salary increase take in-to account regular increment. OS-12% and SM. Actuarial Assumption : Discount rate (%) Estimated rate of return on plan assets Salary escalation ratio inflation (%) Method V.

(c) The Company’s Share of revenue expenditure of JCE amounting to Rs. For the year ended 31.03.2010 incorporated herein: Particulars INCOME Misc Receipt (include revenue from flying Rs.IAS-28 : (a) The Company has invested Rs.03.Securities) in the separate financial statements. Assets and Liabilities of JCE as on 31.03. Exchange Gain works out to INR 142 (previous year INR 52) which has been recognized in income statement and included in General Charges. 49) against Capital Contribution during the year (Previous Year NIL) towards 99% interest (balance 1% is represented by one individual as partner investing Rs.2011 as incorporated herein : Particulars Secured Loan Creditors Fixed Assets Investment Advance to employee Cash & Bank Debtors Other Advances Income and Expenses for 8 months period ended 31. Variable Component of cost of maintenance is borne by user of the aircraft in proportion to their actual usage and fixed component is shared by all the venturers in proportion to their capital contribution. a domestic Jointly Controlled Corporate Entity (JCE) with part of its operation like Jointly Controlled Operation.03. 452 is expensed in General Charges in the Income Statement. The main objective of the JCE being maintenance of aircraft for use of venturers or otherwise.03. (b) The stake of the company in total Subscribed and Paid Up Capital of the JCE is 14.Associates.2011 467 27 823 30 20 36 291 31.2010 399 399 80 50 113 60 303 96 31.28% (amount Rs 456) is accounted for in Investment (Financial Instruments . 37.Available for Sales.50 on account of his capital).Nil (Previous Year Rs. The participation of the venturers in the management of the JCE is through representation in the composition of Board of Directors as stipulated in the Joint Venture Agreement.03.2011 422 422 97 41 159 60 357 65 For the 8 months ended 31. All resulting exchange differences of foreign operations amounting to INR 1247 (previous year INR 169) has been adjusted to Comprehensive total income statement.2010 577 16 872 79 1 13 16 260 . 422) Total EXPENSES Operation Expenses Payment to and provision for employees Administrative Expenses Financial Expenses Total Profit (Forms part of profit in consolidated Profit & Loss A/c) 39. 38. The contributions of venturers are towards capital building of the JCE and periodic contribution towards cost of maintenance of aircraft.Dabur India Limited | 175 Consolidated Financials as per IFRS (All amounts in Indian Rupees in lacs except share data) 36. Interest in Partnership Firm. 0. Interest in Joint Venture IAS-31 : (a) The company is a party to the joint venture agreement controlling the management of Forum I Aviation Limited.

494 (Previous Year Rs. Note (a) The brackets indicate Previous Year (b) The above informations relate to parent body only.D. hence no discontinued operation (assets held for sale) is reportable. Dr. BASU & CO. 81) & Rs.176 | Annual Report 2010-11 (All amounts in Indian Rupees in lacs except share data) (b) Pending finalization of the accounts of the firm.240). Anand Burman . (c) Assets and Liabilities pertaining to interest of the Group in The partnership firm as on 31. income and expenses of the said partnership firm have not been accounted for during the year. 9. 303) respectively in respect of year under audit and as per unaudited accounts of JCE. As per our report of even date attached For G. Discontinued Operation : The assets present in the discontinued operation has been transferred for operation. 1. 593). Chartered Accountants Manoj Kumar Das Partner Membership Number: 013783 Place: New Delhi Dated: 27th April. 9 (previous year Rs. 40. Rs. 2011 For Dabur India Ltd.Whole time Director Sunil Duggal . income and expenses not being allocated herein worked out to Rs 1200 (previous year Rs.Whole time Director A. Narang .03.22) respectively.Chairman P. Rs. Jain . No deferred tax has been recognized in respect to subsidiaries at Bangladesh and Pakistan due to Continuing absence of taxable income and absence of virtual certainity of future profits to adjust said unprovided deferred tax assets against accumulated loss.K. 80 (previous year Rs. outside liabilities. 422 (Previous Year Rs.GM (Finance) & Company Secretary . Share of the Company in assets. and Rs. 41.2011 amount to be Rs. having however not material impact on the profitability of the Company. 399). 357 (Previous Year Rs.

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