DF Impairment testing RD/14/02 cotton defoliator,RIL-033/F1(2.5%EC)

Question 1

What is the project name?

Answer 1

RD/14/02 cotton defoliator,RIL-033/F1(2.5%EC)

Question 2

What is the amount Involved?

Answer 2

75 Lacs.

90 lacs—total CEP

Question 3

What was the project start date?

Answer 3

2014

Question 4

what was the business revenue projection at the start of the project? what was GC%-41% so high?

Why it is coming so late for impairment testing?

Had we ever given any revenue projections for this project? to auditors?

Answer 4

Till now they were saying—Project will be viable///and we were also giving to audoitors and they were accepting it.

Year 1 Year 2 Year 3 Year 4 Year 5 Total Cumulative ( Cr.)
10 13 14 17 21 75

We had never given any revenue projections for this project?–Yes—Last ye3ar impairment testing was done in Q2—so 11th Jan-19—I have verified also with file path:
P:\FY 20\LTSP\LTSP Nov 2019\Final files for LTSP\Mail from Departments

file Name: LTSP prop 12th Nov 19 DF

Question 5

What exactly S malick said?–Why he agreed for Impairment?

What i asked Ekta to check?

what is your choice of words?

Answer 5

That this is not a project–This is a product

India is not ready for this technology

There is no revenue in LTSP as there is no visibility as of now/ /During accelerated growth projection—any ways all amounts were considered—which was wrong.

Even he said that registration we will get very soon—May be next year or so but we may not be able tp use it.
*********************

Ekta to check—what is the legal position?–can we still get registration?

How much money remaining to be spent?

Question 6

What do U think dinesh? is it a fit case for impairment?

How can u escape from Impairment–

Answer 6

I belive this is not a case for impairment because there is no deterioration in—-we will be able to use once we get the registration

We can say—any ways no dep because //Not in active use//Stop depriciation also.
$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$
There is no Impairment/deterioriation in the assets///the only thing is we will use after wards.–say after some years when this technology will be available in India

CEP block and do no future expenses.

Question 7

LTSP Dec-19–Taken

LTSP Dec-20-Not taken

what was vidya`s mail?

Answer 7

Ok…means—–> it should have been caught up in Oct-21—>
———- Forwarded message ———
From: Vidya Hegde
Date: Wed, Oct 13, 2021 at 12:28 PM
Subject: Re: Impairment Testing
To: Ekta J Sahitani
Cc: Subhra Gourisaria , Dinesh Jaithliya , Jagdish Homkalas , Vairamani Ramanathan

Dear Ekta,

The indicated projects still awaiting registrations (RIL-033/F1(Cotton defoliant)- Under registration & RIL- 237/CF- Dossier is not yet submitted; still data generation in progress).
We have given the sales projections for both the cases to you.
Though they are not appearing in S&M LTSP of last year; the S&M may later confirm the year of launch.
Please note: as discussed, these projects are not the cases of write -off. Only the year of launch to be decided.

Hope the explanation helps.

Regards,
Vidya