| Current investments | No. of units as at March 31, |
Amount as at March 31, |
||
| 2010 | 2009 | 2010 | 2009 | |
| Birla Sun Life AMC Ltd Liquid Plus | 2,56,07,020 | – | 25,62,44,320 | – |
| DWS Mutual fund -Liquid Plus | 1,89,66,884 | – | 19,00,08,350 | – |
| ICICI Prudential SIP Liquid Plus | 13,38,737 | – | 14,15,51,298 | – |
| IDFC Mutual Fund Liquid Plus | 2,53,03,413 | – | 25,30,72,094 | – |
| Kotak mutual fund-Liquid plus | 2,50,08,866 | – | 25,20,84,370 | – |
| Reliance Mutual Fund Liquid Plus | 1,02,27,161 | – | 17,48,38,407 | – |
| Religare mutual fund-Liquid plus | 2,51,38,547 | – | 25,17,80,149 | – |
| TATA Asset Management Ltd Liquid Plus | 2,55,96,059 | – | 25,68,71,808 | – |
| UTI mutual fund-Liquid plus | 2,31,677 | – | 23,17,26,991 | – |
| 15,74,18,364 | – | 200,81,77,787 | – | |
Movement of Investment during year ended March 31, 2010 |
Opening balance in units, Amount (Rs.) |
Purchased in units, Amount (Rs.) |
Redemption in units, Amount (Rs.) |
Closing balance in units, Amount (Rs.) |
| Birla Sun Life AMC Ltd Liquid Plus | – | 11,53,41,080 | 8,97,34,060 | 2,56,07,020 |
| – | 116,93,95,563 | 91,38,26,964 | 25,62,44,320 | |
| DWS Mutual fund -Liquid Plus | – | 8,41,38,984 | 6,51,72,100 | 1,89,66,884 |
| – | 84,28,95,935 | 65,28,87,585 | 19,00,08,350 | |
| Franklin Templeton Liquid Plus | – | 1,34,952 | 1,34,952 | – |
| – | 13,50,42,716 | 13,50,42,716 | – | |
| HDFC Mutual Fund Liquid Plus | – | 6,18,73,691 | 6,18,73,691 | – |
| – | 62,37,42,469 | 62,37,42,479 | – | |
| HSBC Mutual Fund Liquid Plus | – | 1,43,78,972 | 1,43,78,972 | – |
| – | 20,00,00,000 | 20,05,92,414 | – | |
| ICICI Prudential Liquid PLUS Institutional Dividend | – | 6,08,90,769 | 5,95,52,032 | 13,38,737 |
| – | 112,04,31,356 | 97,93,68,696 | 14,15,51,298 | |
| IDFC Mutual Fund Liquid Plus | – | 7,25,83,717 | 4,72,80,304 | 2,53,03,413 |
| – | 72,59,46,043 | 47,28,74,094 | 25,30,72,094 | |
| Kotak mutual fund-liquid plus | – | 4,99,57,800 | 2,49,48,933 | 2,50,08,866 |
| – | 50,35,64,630 | 25,14,80,260 | 25,20,84,370 | |
| Principal mutual fund - Liquid plus | – | 2,25,04,645 | 2,25,04,645 | – |
| – | 22,53,23,255 | 22,53,23,255 | – | |
| Reliance Mutual Fund Liquid Plus | – | 3,89,74,154 | 2,87,46,993 | 1,02,27,161 |
| – | 66,62,82,614 | 49,14,44,612 | 17,48,38,407 | |
| Religare mutual fund-liquid plus | – | 7,51,90,482 | 5,00,51,935 | 2,51,38,547 |
| – | 75,30,85,303 | 50,13,05,274 | 25,17,80,149 | |
| SBI mutual fund- liquid plus | – | 5,01,23,994 | 5,01,23,994 | – |
| – | 50,15,26,081 | 50,15,40,712 | – | |
| TATA Asset Management Ltd Liquid Plus | – | 4,46,65,303 | 1,90,69,243 | 2,55,96,059 |
| – | 48,18,71,808 | 22,54,72,733 | 25,68,71,808 | |
| UTI mutual fund-liquid plus | – | 9,06,915 | 6,75,238 | 2,31,677 |
| – | 90,71,09,989 | 67,53,83,001 | 23,17,26,991 |
The Board of Directors in their meeting held on October 6, 2008, approved, subject to the approval of the Honorable High Courts of Karnataka and Chennai, a Scheme of amalgamation (’the Scheme’) to amalgamate PAN Financial Services India Private Limited (’PAN Financial’), a wholly owned subsidiary of the Company engaged in providing business process management services, with the Company, with effect from April 1, 2008 (’effective date’). The approval of the High Court was received and filed with the respective Registrar of Companies of Karnataka and Tamil Nadu on April 6, 2009 and March 10, 2009 respectively. Accordingly, the financial statements of PAN Financial has been merged with the company with effect from April 1, 2008.
On December 4, 2009, Infosys BPO acquired 100% of the voting interests in McCamish Systems LLC (McCamish), a business process solutions provider based in Atlanta, Georgia, in the United States. The business acquisition was conducted by entering into Membership Interest Purchase Agreement for a cash consideration of Rs. 173 crore and a contingent consideration of Rs. 67 crore. In the current year, the company advanced a loan of Rs. 18 crores which was converted into membership interest of McCamish.
Revenue recognition has been deferred pending resolution of significant uncertainties regarding the amount of consideration that will be derived from rendering services. Deferred revenues amounted to Rs 7,67,31,141 and Rs.10,63,81,416 as at March 31, 2010 and March 31, 2009 respectively and have been disclosed under current liabilities.
The reconciliation between basic and dilutive shares is set out below:
Year ended March 31, |
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| 2010 | 2009 | |
| Weighted average shares used in computing basic earnings per share | 3,38,27,751 | 3,38,27,751 |
| Dilutive effect of stock options | – | – |
| Weighted average shares used in computing diluted earnings per share | 3,38,27,751 | 3,38,27,751 |
Gratuity is applicable to all permanent and full time employees of the company. Gratuity paid out is based on last drawn basic salary and dearness allowance at the time of termination or retirement. The scheme takes into account each completed year of service or part thereof in excess of six months. The normal age of retirement is 60 years and the entire contribution is borne by the company.
The company recognizes actuarial gains and losses as and when the same arise. The charge in respect of the same is taken to the Profit and Loss account.
As at March 31, |
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| 2010 | 2009 | 2008 | 2007 | |
| Obligations at period beginning | 10,83,54,625 | 5,97,96,919 | 3,65,75,416 | 2,62,50,439 |
| Liability as on April 1, 2008 assumed on the amalgamation of PAN Financial Shared Services India Private Limited (refer note 16.2.15) | – | 1,31,80,050 | – | – |
| Service cost | 6,73,44,267 | 4,07,80,299 | 2,57,48,242 | 1,14,79,588 |
| Interest cost | 46,65,510 | 42,52,594 | 28,21,347 | 19,97,287 |
| Benefits settled | (3,71,70,205) | (2,35,68,652) | (1,42,50,440) | (82,27,072) |
| Actuarial (gain)/loss | (6,58,346) | 13913,415) | 8902,354) | 5075,174) |
| Obligations at period end | 14,25,35,851 | 10,83,54,625 | 5,97,96,919 | 3,65,75,416 |
Defined benefit obligation liability as at the Balance Sheet is wholly funded by the company.
As at March 31, |
||||
| 2010 | 2009 | 2008 | 2007 | |
| Plans assets at beginning of the period, at fair value | 11,64,20,243 | 6,12,93,221 | 3,49,57,318 | 2,64,62,265 |
| Assets as on April 1, 2008 assumed on the amalgamation of PAN Financial Shared Services India Private Limited (refer note 16.2.14) | – | 1,59,21,701 | – | – |
| Expected return on plan assets | 1,14,83,981 | 64,94,791 | 33,91,458 | 21,14,335 |
| Actuarial gain/(loss) | 3,04,464 | 18,39,632 | 3,84,157 | 3,03,185 |
| Contributions | 6,34,78,680 | 5,44,39,550 | 3,68,10,728 | 1,59,22,703 |
| Benefits settled | (3,71,70,205) | (2,35,68,652) | (1,42,50,440) | (82,27,072) |
| Plans assets at end of the period, at fair value | 15,45,17,163 | 11,64,20,243 | 6,12,93,221 | 3,65,75,416 |
As at March 31, |
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| 2010 | 2009 | 2008 | 2007 | |
| Fair value of plan assets at the end of the period | 15,45,17,163 | 11,64,20,243 | 6,12,93,221 | 3,65,75,416 |
| Present value of the defined benefit obligations at the end of the period | 14,25,35,851 | 10,83,54,625 | 5,97,96,919 | 3,65,75,416 |
| Asset recognized in the Balance Sheet | 1,19,81,312 | 80,65,618 | 14,96,302 | – |
Year ended March 31, |
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| 2010 | 2009 | |
| Service cost | 6,73,44,267 | 4,07,80,299 |
| Interest cost | 46,65,510 | 42,52,594 |
| Expected return on plan assets | (1,14,83,981) | (64,94,791) |
| Actuarial (gain)/loss | (9,62,810) | 1,20,73,783 |
| Net gratuity cost | 5,95,62,986 | 5,06,11,885 |
| Actual return on plan assets | 1,17,88,445 | 83,34,423 |
100% of plan assets are maintained by Life Insurance Corporation of India.
As at March 31, |
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| 2010 | 2009 | 2008 | 2007 | |
| Interest rate | 7.82% | 7.01% | 7.92% | 7.99% |
| Discount rate | 7.82% | 7.01% | 7.92% | 7.99% |
| Estimated rate of return on plan assets | 9.00% | 7.01% | 7.92% | 7.99% |
| Retirement age | 60 | 58 | 58 | 58 |
The estimates of future salary increases, considered in actuarial valuation, take account of inflation, seniority, promotion and other relevant factors such as supply and demand factors in the employment market.