Mandatory Accounting Standards (Ind AS)-2

|455| Chap. 19 – Ind AS 37 — Provisions, Contingent Liabilities and Contingent Assets Contingent Assets are not recognised in the financial statements. Disclosure CONTINGENT LIABILITIES AND COMMITMENTS (TO THE EXTENT NOT PROVIDED FOR) ` in Million As at March 31, 2017 As at March 31, 2016 As at April 01, 2015 i Contingent liabilities a Claims against the Company not acknowledged as debts 355.0 149.4 127.1 b Liabilities disputed - appeals filed with respect to : Income tax on account of disallowances/additions 45,998.3 19,026.8 11,087.7 Sales tax on account of rebate/classification 45.7 38.8 37.9 Excise duty on account of valuation/CENVAT credit 1,102.2 1,016.1 164.5 ESIC contribution on account of applicability 132.8 0.2 0.2 Service tax on certain services performed outside India under reverse charge basis - - 156.0 Drug Price Equalisation Account [DPEA] on account of demand towards unintended benefit, enjoyed by the Company 3,488.2 3,326.4 3,248.0 Demand by JDGFT for import duty with respect to import alleged to be in excess of entitlement as per the advanced license scheme 16.7 15.4 15.4 Fine imposed for anti-competitive settlement agreement by European Commission 715.4 773.0 689.1 Octroi demand on account of rate difference 171.0 171.0 171.0 Other matters - state electricity board, Punjab Land Preservation Act related matters etc. 67.5 88.3 136.3 Legal Proceedings The Company and/or its subsidiaries are involved in various legal proceedings including product liability, contracts, employment claims, anti-trust and other regulatory matters relating to conduct of its business. The Company records a provision in the financial statements to the extent that it concludes that a liability is probable and estimable based on the status of these cases, advice of the counsel, management assessment of the likely damages etc. The Company carries product liability insurance/is contractually indemnified by the manufacturer, for an amount it believes is sufficient for its needs. In respect of other claims, the Company believes, these claims do not constitute material litigation matters and with its meritorious defences the ultimate disposition of these matters are not expected to have material adverse effect on its Financial Statements. c Others : Trade commitments - - 530.6 Letter of comfort on behalf of subsidiaries, to the extent of limits - - 2873.1 Footnote: Future cash outflows in respect of the above matters are determinable only on receipt of judgements/decisions pending at various forums/authorities. ii Commitments a Estimated amount of contracts remaining to be executed on capital account [net of advances]. 4,235.4 3,098.8 2,535.8 b Uncalled liability on partly paid investments 0.5 0.5 0.5

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |456| ` in Million As at March 31, 2017 As at March 31, 2016 As at April 01, 2015 c For derivatives related commitments refer Note 45 d For non-cancellable lease related commitments refer Note 49 e Letters of credit for imports 2,312.0 740.2 1,020.5 iii Guarantees given by the bankers on behalf of the Company 1,961.3 502.1 435.9 14. TATA COMMUNICATIONS LIMITED ACCOUNTING POLICIES Provisions and contingent liabilities A provision is recognised when the Company has a present obligation as a result of past events and it is probable that an outflow of resources will be required to settle the obligation in respect of which a reliable estimate can be made. Contingent liabilities are disclosed when there is a possible obligation arising from past events, the existence of which will be confirmed only by occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company or a present obligation that arises from past events where it is either not probable that an outflow of resources will be required to settle or a reliable estimate of the amount cannot be made. Contingent liabilities are disclosed in the notes. Contingent assets are not recognised in the financial statements. If the effect of the time value of money is material, provisions are discounted using a current pre-tax rate that reflects, when appropriate, the risks specific to the liability. When discounting is used, the increase in the provision due to the passage of time is recognised as a finance cost. Provisions and contingent liabilities are reviewed at each balance sheet date. Disclosure 42. Contingent Liabilities and Commitments: A. Contingent Liabilities: (` in crores) As at 31 March 2017 As at 31 March 2016 As at 1 April 2015 i. Guarantees excluding financial guarantee (Refer 1 below) 6.80 84.80 92.08 ii. Claims for taxes on income (Refer 2 below) - Income tax disputes where department is in appeal against the Company 595.25 588.21 626.15 - Other disputes related to income tax 1,947.23 2,051.42 2,067.82 iii. Claims for other taxes 1.95 1.34 1.45 iv. Other claims (Refer 3 below) 1,284.75 1,263.75 967.71 1. As on 31 March 2017, the Company has issued Corporate guarantees for the loans and credit facility arrangements in respect of various subsidiaries and associates: (` in crores) As at 31 March 2017 As at 31 March 2016 As at 1 April 2015 Tata Communications Payment Solutions Limited 4.70 40.70 47.98 STT Global Data Centres India Private Limited 2.10 22.10 22.10 Tata Communications Transformation Services Limited @ 22.00 22.00 Total 6.80 84.80 92.08 @ represents transaction of amounts less than ` 50,000

|457| Chap. 19 – Ind AS 37 — Provisions, Contingent Liabilities and Contingent Assets 2. Claims for taxes on income Significant claims by the revenue authorities in respect of income tax matters relate to disallowance of deductions claimed under section 80 IA of the Income-tax Act, 1961 from assessment years 1996- 97 onwards and transfer pricing adjustments carried out by revenue authorities. The Company has contested the disallowances/adjustments and has preferred appeals which are pending. 3. Other claims: i. Telecom Regulatory Authority of India (“TRAI”) reduced the Access Deficit Charge (“ADC”) rates effective 1 April 2007. All telecom services providers including National Long Distance (“NLD”) and International Long Distance (“ILD”) operators in India are bound by the TRAI regulations; accordingly the Company has recorded the cost relating to ADC at revised rates as directed by TRAI. However, BSNL continued to bill at the ADC rate applicable prior to 1 April 2007. BSNL had filed an appeal against the TRAI Interconnect Usage Charges (“IUC”) regulation of reduction in ADC and currently this matter is pending with the Supreme Court. The possible liability on the Company is ` 311.84 crores (2016: ` 311.84 crores, 2015: ` 311.84 crores). ii. On 19 February 2013, DoT issued a licence fee demand amounting to ` 193.05 crores, (being ` 92.86 crores for financial year 2006-07 and ` 100.19 crores for financial year 2007-08, including ` 102.06 crores, being interest as on 28 February 2013) for financial years 2006-07 and 2007-08, based on special audit reports of auditors appointed by DoT. The total demand including interest is for ` 331.43 crores (2016: ` 290.30 crores, 2015: ` 254.30 crores). The Company has challenged the said demand notice in the Madras High Court which has vide its orders dated 1 March 2013, granted a stay-order against the said demand. Further, the Company is also contesting a licence fee claim of ` 198.89 crores (2016: ` 169.85 crores, 2015: ` 144.14 crores) (including interest and penalty) for financial year 2005-06. However, the said demand notice includes the items which are already the subject-matter of petitions/appeals, pending for hearing in the Supreme Court of India, for the previous years. iii. TRAI in December, 2012 issued International Telecommunication Access to Essential Facilities at Cable Landing Stations (Amendment) 2012 (“Regulation”) dated 21 December 2012 seeking to regulate access facilitation charges, colocation charges, restoration charges and cancellation charges, wherein TRAI fixed the charges for access facilitation and colocation at cable landing stations, effective 1 January 2013. Since, prescribing such charges, adversely affected the Company, being aggrieved by the Regulation, the Company filed writ petition in the High Court, Chennai to set aside the impugned Regulation. On 24 January 2013, the High Court granted an ex parte, ad-interim stay on applicability of the impugned Regulation. On 11 November 2016, the Company has filed an appeal in the division bench of Madras High Court against the above court order and the same is pending with division bench for hearing. However, given the uncertainty on the timing of resolution, during the current year, the Company has recorded a provision towards reversal of revenue for ` 46.26 crores and other expense include a reversal towards operating and maintenance recovery of ` 98.78 crores. In 2016, ` 154.54 crores was included under contingent liabilities. iv. Upon expiry of the Company’s ISP license on 24 January 2014, DoT vide letter dated 20 February 2014 extended the validity of the said license for 3 months with condition that entire ISP revenue will be subject to license fees. This conditional extension by DoT, was challenged by the Company in TDSAT, which granted a stay subject to submission of undertaking that if petition fails then applicable licence fees would be payable along with interest. Considering the above facts, the Company has disclosed an amount of ` 303.56 crores (2016: ` 176.31 crores, 2015: ` 80.08 crores) under contingent liabilities. v. Other claims of ` 139.03 crores (2016: ` 160.91 crores, 2015: ` 177.35 crores) mainly pertain to routine suits for collection, commercial disputes, claims from customers and/or suppliers and claims from Employee State Insurance Corporation (ESIC).

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |458| 4. The Company has taken appropriate professional advice in respect of the claims/appeals and has taken all necessary steps to protect its interest. Based on expert opinion, no provision is required in respect of these claims/appeals. 5. Future cash flows in respect of the above matters are determinable only on receipt of judgements/ decisions pending at various forums/authorities. b. commitments: i. Capital commitments: Estimated amount of contracts remaining to be executed on capital account, not provided for amount to ` 173.01 crores (2016: ` 184.30 crores, 2015: ` 208.24 crores) (net of capital advances). ii. Other commitments: 1. As on 31 March 2017, the Company has issued Letters of Comfort for the credit facility agreements in respect of various subsidiaries: (` in crores) Name of the Subsidiary As at 31 March 2017 As at 31 March 2016 As at 1 April 2015 Tata Communications Transformation Services Ltd 87.00 39.75 37.53 STT Global Data Centres India Private Limited - 56.00 56.00 VSNL SNOSPV Pte. Ltd - 336.01 384.03 Tata Communications (Netherlands) B.V. 1,252.86 1,278.53 2,064.15 Tata Communications (Bermuda) Ltd 649.15 662.45 1,157.18 Tata Communications Payment Solutions Limited (TCPSL)* 560.00 510.00 160.00 *The Company has undertaken to the lenders of TCPSL that it shall not reduce its ownership holdings below 51% without the consent of TCPSL’s lenders. 2. The Company has issued a support letter to Tata Communications International Pte. Limited (TCIPL), aggregating ` 5,034.82 crores (2016: ` 7,344.35 crores, 2015: ` 6,095.73 crores) for providing financial support enabling, in turn, TCIPL to issue such support letters to certain subsidiaries with negative net worth as at 31 March 2017 in various geographies in order that they may continue as going concerns. ll

|459| Chap. 20 – Ind AS 38 — Intangible Assets Chapter 20 Ind AS 38 — Intangible Assets 1. ALL CARGO LOGISTICS LIMITED CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies Intangible assets Intangible assets acquired separately are measured on initial recognition at cost. Following initial recognition, intangible assets are carried at cost less any accumulated amortisation and accumulated impairment losses. Intangible assets with finite lives are amortised over the useful economic life and assessed for impairment whenever there is an indication that the intangible asset may be impaired. Computer software is amortised on a straight line basis over a period of 6 years basis the life estimated by the management. The amortisation period and the amortisation method for an intangible asset with a finite useful life are reviewed at least at the end of each reporting period. Changes in the expected useful life or the expected pattern of consumption of future economic benefits embodied in the asset are considered to modify the amortisation period or method, as appropriate, and are treated as changes in accounting estimates. The amortisation expense on intangible assets with finite lives is recognised in the statement of profit and loss unless such expenditure forms part of carrying value of another asset. Gains or losses arising from derecognition of an intangible asset are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognised in the statement of profit and loss when the asset is derecognised. CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies Amortisation Intangible assets with finite lives are amortised over the useful economic life and assessed for impairment whenever there is an indication that the intangible asset may be impaired. The amortisation period and the amortisation method for an intangible asset with a finite useful life are reviewed at least at the end of each reporting period. Changes in the expected useful life or the expected pattern of consumption of future economic benefits embodied in the asset are considered to modify the amortisation period or method, as appropriate, and are treated as changes in accounting estimates. The amortisation expense on intangible assets with finite lives is recognised in the statement of profit and loss unless such expenditure forms part of carrying value of another asset. Estimated economic useful lives of the intangible assets as follows: Category Useful lives (in years) Computer softwares 3 to 6 Marketing rights 5 to 10 Brand 3 to 7 Non-compete fees 5 years

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |460| Category Useful lives (in years) Agent relationships 2 years Customer relationships 4 to 10 years Gains or losses arising from derecognition of an intangible asset are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognised in the Statement of Profit and Loss when the asset is derecognised. Notes to Accounts Notes below notes to accounts Impairment testing of goodwill The Group performs impairment testing annually at every reporting date. Goodwill as at the year ended 31 March 2017 pertains to Multimodal Transport Operations (“MTO”) business operated across multiple geographies and entities as part of global service delivery. Accordingly, goodwill is tested at aggregate MTO business level, treating it as one cash generating unit. The recoverable amount of the MTO business has been determined to be the lower of: (a) fair value calculation using the multiples method (b) value in use determined by using the discounted cash flow (DCF method) based on projections from financial budgets approved by senior management covering a fiveyear period. The post tax discount rate applied to cash flow projections for impairment testing is 10.1% (31 March 2016: 10.1% p.a., 01 April 2015: 10.1% p.a.) and cash flows beyond the five-year period are extrapolated using a 1% growth rate (31 March 2016: 1% p.a., 01 April 2015: 1% p.a.). Key assumptions used for value in use calculations included EBITDA margins, discount rates, growth rates, capex for the period. The key assumptions in relation to calculation of fair value using the multiples method was the EV/EBITDA multiple. The above assumptions were based on the observed industry trends, projections made by Group’s senior management and past performance of the Group. It was concluded that the fair value less costs of disposal and value in use were both significantly higher than the carrying value of the MTO business and any reasonably possible change would not cause the CGU’s carrying value to exceed its recoverable amount. Considering this, the Group has not recognised any charge for impairment of the goodwill. 2. ASIAN PAINTS LIMITED SIGNIFICANT ACCOUNTING POLICIES Intangible Assets Measurement at recognition Intangible assets acquired separately are measured on initial recognition at cost. Intangible assets arising on acquisition of business are measured at fair value as at date of acquisition. Internally generated intangibles including research cost are not capitalized and the related expenditure is recognized in the Statement of Profit and Loss in the period in which the expenditure is incurred. Following initial recognition, intangible assets are carried at cost less accumulated amortization and accumulated impairment loss, if any. Amortization Intangible Assets with finite lives are amortized on a Straight Line basis over the estimated useful economic life. The amortization expense on intangible assets with finite lives is recognized in the Statement of Profit and Loss. The estimated useful life of intangible assets is mentioned below:

|461| Chap. 20 – Ind AS 38 — Intangible Assets Years Purchase cost, user licence fees and consultancy fees for Computer Software (including those used for scientific research) 4 Acquired Trademark 5 Acquired Brand (Bath fitting brand - Ess Ess) 2 The amortization period and the amortization method for an intangible asset with finite useful life is reviewed at the end of each financial year. If any of these expectations differ from previous estimates, such change is accounted for as a change in an accounting estimate. Derecognition The carrying amount of an intangible asset is derecognized on disposal or when no future economic benefits are expected from its use or disposal. The gain or loss arising from the Derecognition of an intangible asset is measured as the difference between the net disposal proceeds and the carrying amount of the intangible asset and is recognized in the Statement of Profit and Loss when the asset is derecognized. Research and Development Expenditure on research is recognized as an expense when it is incurred. Expenditure on development which does not meet the criteria for recognition as an intangible asset is recognized as an expense when it is incurred. Items of property, plant and equipment and acquired Intangible Assets utilized for Research and Development are capitalized and depreciated in accordance with the policies stated for Property, Plant and Equipment and Intangible Assets. Disclosures Allocation of Goodwill to cash generating units Goodwill is allocated to the following cash generating unit (“CGU”) for impairment testing purpose- (` in Crores) As at 31.03.2017 As at 31.03.2016 As at 01.04.2015 Goodwill will relating to Bath Fittings Business 35.36 35.36 35.36 The recoverable amount of this CGU for impairment testing is determined based on value-in-use calculations which uses cash flow projections based on financial budgets approved by management covering a seven-year period, as the Company believes this to be the most appropriate timescale for reviewing and considering annual performance before applying a fixed terminal value multiple to the final cash flows. Cash flows beyond the seven-year period were extrapolated using estimate rates stated below. As at 31st March, 2017, 31st March, 2016 and 1st April, 2015, goodwill in respect of Bath Fittings Business was not impaired. Note 33 : Expenditure on Research and Development (` in Crores) Year 2016-17 Year 2015-16 b) Capital Expenditure - For Turbhe Research and Development facility 30.95 7.11 - For Coch in Research and Development facility (Land & civil work) - 0.01 TOTAL 30.95 7.12

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |462| In Consolidation NOTE 3A: Goodwill 2. Goodwill acquired in business combination is allocated, at acquisition, to the cash generating units (CGUs) that are expected to benefit from that business combination. The carrying amount of goodwill had been allocated as follows: (` in Crores) As at 31.03.2017 As at 31.03.2016 As at 01.04.2015 Goodwill on Consolidation Berger Paints Emirates LLC 2.34 2.48 2.30 Kadisco Paint and Adhesive Industry S.C. 54.59 59.63 58.81 Asian Paints (Vanuatu) Limited 0.83 0.85 0.80 Asian Paints (South Pacific) Limited 1.69 1.73 1.63 SCIB Chemicals, S.A.E. 10.86 11.13 10.46 Asian Paints (Lanka) Limited 0.07 0.07 0.07 Berger International Private Limited 74.24 75.83 71.54 Sleek International Private Limited - - 52.45 Goodwill acquired separately Asian Paints Limited (Bath Fittings Business)* 35.36 35.36 35.36 Sleek International Private Limited * 11.91 11.91 11.91 TOTAL 191.89 198.99 245.33 The Group’s goodwill on consolidation and ‘goodwill acquired separately’ are tested for impairment annually or more frequently if there are indications that goodwill might be impaired. The recoverable amounts of the CGUs are determined from value-in-use calculations. The key assumptions for the value-in-use calculations are those regarding the discount rates, growth rates and expected changes to selling prices and direct costs during the year. Management estimates discount rates using pre-tax rates that reflect current market assessments of the time value of money and the risks specific to the CGUs. The growth rates are based on industry growth forecasts. Changes in selling prices and direct costs are based on past practices and expectations of future changes in the market. The Group prepares its cash flow forecasts based on the most recent financial budgets approved by management with projected revenue growth rates ranging from 4% to 65%. Growth rate used for extrapolation of cash flows beyond the period covered by the forecast is 4%. The rates used to discount the forecasted cash flows is 8% to 18%. Management believes that any reasonable possible change in any of these assumptions would not cause the carrying amount to exceed its recoverable amount. The Group made an assessment of recoverable amount of the CGU - Sleek International Private Limited (‘Sleek’) based on value- in-use, taking into account the past business performance, prevailing business conditions and revised expectations of the future performance given the understanding built up since acquisition. The recoverable amount was calculated at ` 54.2 Crore for value of investment of ` 119.5 Crore resulting in impairment of investment value by ` 52.5 Crore and hence the goodwill on consolidation related to Sleek was fully impaired. * The Group made an assessment of recoverable amount of the CGUs based on value-in-use calculations which uses cash flow projections based on financial budgets approved by management covering a sevenyear period. Cash flows beyond the seven-year period were extrapolated using estimate rates stated above.

|463| Chap. 20 – Ind AS 38 — Intangible Assets Discount rates – Management estimates discount rates using pre-tax rates that reflect current market assessments of the risks specific to the CGU, taking into consideration the time value of money and individual risks of the underlying assets that have not been incorporated in the cash flow estimates. The discount rate calculation is based on the specific circumstances of the Company and its operating segments and is derived from its weighted average cost of capital (WACC). Growth rates – The growth rates are based on industry growth forecasts. Management determines the budgeted growth rates based on past performance and its expectations of market development. The weighted average growth rates used were consistent with industry reports. 3. ATUL LIMITED SIGNIFICANT ACCOUNTING POLICES Intangible assets Computer software includes enterprise resource planning project an do their cost relating to such software which provides significant future economic benefits. These costs comprise of license fees and cost of system integration services. Development expenditure qualifying as an intangible asset, if any, is capitalised, to be amortised over the economic life of the product |patent. Computer software cost is amortised over a period of 3 years using straight-line method. Transition to Ind AS: On transition to Ind-AS, the Company has elected to continue with the carrying value of intangible assets recognised as at April 01, 2015 measured as per IGAAP as the deemed cost of intangible assets. Research and Development expenditure Research and Development expenditure is charged to revenue under the natural heads of account in the year in which it is incurred. Research and Development expenditure on property, plant and equipment is treated in the same way as expenditure on other property, plant and equipment. Disclosures Details of expenditure incurred on approved in-house Research and Development facilities: (` Crores) Particulars 2016-17 2015-16 Capital expenditure on building 6.07 – Other capital expenditure 12.86 1.32 Recurring expenditure 19.00 18.16 37.93 19.48 4. BAJAJ AUTO LIMITED CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies Intangible assets A. Technical know-how acquired Technical know-how acquired is stated at acquisition cost (including income-tax and R&D cess) less accumulated amortisation and impairment losses, if any. Technical know-how is amortised equally over a period of estimated useful life i.e. six years.

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |464| B. Technical know-how developed by the Company i) Expenditure incurred by the Company on development of know-how researched, is recognised as an intangible asset, if and only if the future economic benefits attributable to the use of such know-how are probable to flow to the Company and the costs/expenditure can be measured reliably. ii) The cost of technical know-how developed is amortised equally over its estimated useful life i.e. generally three years from the date of commencement of commercial production. C. Transition to Ind AS On Transition to Ind AS, the Company has elected to continue with the carrying value of all of intangible assets recognised as at 1 April 2015 measured as per previous GAAP which in case of the Company, corresponds with carrying costs measured in accordance with Ind AS 38 Intangible assets. Research & Development expenditure Research & Development expenditure is charged to revenue under the natural heads of account in the year in which it is incurred. Payments for R&D work by contracted agency are being expensed out up to the stage of completion. However, expenditure incurred at development phase, where it is reasonably certain that outcome of research will be commercially exploited to yield economic benefits to the Company, is considered as an Intangible asset and accounted in the manner specified in clause 4 above. Disclosures 41 Expenditure incurred on Research and Development (` In Crore) Particulars For the year ended 31 March 2017 31 March 2016 Revenue expenditure - charged to Statement of Profit and Loss 332.38 282.34 Revenue expenditure - capitalised 6.18 6.06 Capital expenditure - excluding building 27.37 46.76 Capital expenditure - building 1.71 – 367.64 335.16 42 Considering the Company has been extended credit period up to 45 days by its vendors and payments being released on a timely basis, there is no liability towards interest on delayed payments under ‘The Micro, Small and Medium Enterprises Development Act 2006’ during the year. There is also no amount of outstanding interest in this regard, brought forward from previous years. Information in this regard is on basis of intimation received, on requests made by the Company, with regards to registration of vendors under the said Act. 43 The Company had entered into an arrangement with a consortium of banks on 26 July 2008. Accordingly, first charge was created on all current assets of the Company to the extent of H 430 crore. Current assets include stocks of raw materials, semi-finished goods, stores and spares not relating to plant and machinery (consumable stores and spares), book debts not older than 90 days pertaining to Company’s plants located anywhere in India. During the year, Company has passed the resolution dated 27 July 2016 for dismantling of consortium. Accordingly, discharge letters for clearance are filed with all banks and clearance is awaited as on date. 44 The consolidated financial statements of the Company along with its subsidiaries are attached to these standalone financial statements. The details of the group regarding the nature of relationship and the basis of consolidation can be referred to in note 1 to the said consolidated financial statements.

|465| Chap. 20 – Ind AS 38 — Intangible Assets 5. BHARTI AIRTEL LIMITED SIGNIFICANT ACCOUNTING POLICIES Intangible assets Identifiable intangible assets are recognised when the Company controls the asset, it is probable that future economic benefits attributed to the asset will flow to the Company and the cost of the asset can be measured reliably. The intangible assets are initially recognised at cost. These assets having finite useful life are carried at cost less accumulated amortisation and any impairment losses. Amortisation is computed using the straightline method over the expected useful life of intangible assets. The Company has established the estimated useful lives of different categories of intangible assets as follows: a. Softwares Softwares are amortised over the period of license, generally not exceeding three years. b. Bandwidth Bandwidth is amortised on straight-line basis over the period of the agreement c. Licences (including spectrum) Acquired licences and spectrum are amortised commencing from the date when the related network is available for intended use in the relevant jurisdiction. The useful lives range from two to twenty years. The revenue-share based fee on licences/spectrum is charged to the statement of profit and loss in the period such cost is incurred. Other acquired intangible assets Other acquired intangible assets include the following: Rights acquired for unlimited license access: Over the period of the agreement which ranges up to five years. Customer base: Over the estimated life of such relationships Non-compete fee: Over the period of the agreement which ranges up to five years The useful lives and amortisation method are reviewed, and adjusted appropriately, at least at each financial year end so as to ensure that the method and period of amortisation are consistent with the expected pattern of economic benefits from these assets. The effect of any change in the estimated useful lives and/ or amortisation method is accounted prospectively, and accordingly the amortisation is calculated over the remaining revised useful life. Further, the cost of Intangible Assets under Development (‘IUD’) includes the amount of spectrum allotted to the Company and related costs (including borrowing costs that are directly attributable to the acquisition or construction of qualifying assets (refer note 7)), if any, for which services are yet to be roll out and are presented separately in the balance sheet. Disclosures Intangible assets The following table presents the reconciliation of changes in the carrying value of intangible assets and intangible assets under development for the year ended March 31, 2017 and 2016:

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |466| Particulars Intangible assets Intangible assets under development Software Bandwidth Licences (including spectrum) Other acquired intangible assets Total Gross carrying value Balance as of April 1, 2015 14,964 24,167 307,231 2,172 348,534 64,108 Additions 3,086 1,644 - - 4,730 298,643 Disposals / adjustment @ (4,236) - (9,403) - (13,639) - Capitalisation / reclassification - - 353,036 - 353,036 (353,036) Balance as of March 31, 2016 13,814 25,811 650,864 2,172 692,661 9,715 Additions 2,657 2,687 - 5,366 10,710 234,815 Acquisition through Business - - 899 Combinations^ - 899 - Disposals / adjustment (138) (85) (8) - (231) - Capitalisation / reclassification - - 160,346 - 160,346 (160,346) Balance as of March 31, 2017 16,333 28,413 812,101 7,538 864,385 84,184 Accumulated amortisation Balance as of April 1, 2015 11,972 9,015 49,222 433 70,642 - Charge 2,396 1,652 24,594 434 29,076 - Disposals / adjustment @ (4,236) - (9,403) - (13,639) - Balance as of March 31, 2016 10,132 10,667 64,413 867 86,079 - Charge 2,502 1,863 38,249 1,757 44,371 - Disposals / adjustment (138) 28 (7) - (117) - Balance as of March 31, 2017 12,496 12,558 102,655 2,624 130,333 - Net Carrying Amount As of April 1, 2015 2,992 15,152 258,009 1,739 277,892 64,108 As of March 31, 2016 3,682 15,144 586,451 1,305 606,582 9,715 As of March 31, 2017 3,837 15,855 709,446 4,914 734,052 84,184 @ Mainly pertains to gross block and accumulated amortisation of license (including spectrum) and software whose useful life has expired. Weighted average remaining amortisation period of license as of March 31, 2017, March 31, 2016 and April 1, 2015 is 16.85, 17.53 and 17.37 years, respectively. During the year ended March 31, 2017 and 2016 the Company has capitalised borrowing cost of ` 2,748 and ` 1,937 respectively. Addition in intangible assets under development mainly pertains to Spectrum. Intangible assets Identifiable intangible assets are recognised when the Group controls the asset, it is probable that future economic benefits attributed to the asset will flow to the Group and the cost of the asset can be measured reliably. Goodwill represents the cost of the acquired businesses in excess of the fair value of identifiable net assets purchased (refer Note 2.5). Goodwill is not amortised; however it is tested annually for impairment (refer Note 2.10) and carried at cost less any accumulated impairment losses. The gains/(losses) on the disposal of an entity include the carrying amount of goodwill relating to the entity sold. The intangible assets that are acquired in a business combination are recognised at its fair value thereat. Other intangible assets are recognised at cost. These assets having finite useful life are carried at cost less accumulated amortisation and any impairment losses. Amortisation is computed using the straightline method over the expected useful life of intangible assets.

|467| Chap. 20 – Ind AS 38 — Intangible Assets 6. BIOCON LIMITED SIGNIFICANT ACCOUNTING POLICIES Intangible assets Internally generated: Research and development Expenditure on research activities is recognised in statement of profit and loss as incurred. Development expenditure is capitalised as part of the cost of the resulting intangible asset only if the expenditure can be measured reliably, the product or process is technically and commercially feasible, future economic benefits are probable, and the Company intends to and has sufficient resources to complete development and to use or sell the asset. Otherwise, it is recognised in statement of profit and loss as incurred. Subsequent to initial recognition, the asset is measured at cost less accumulated amortization and any accumulated impairment losses Others Other intangible assets are initially measured at cost. Subsequently, such intangible assets are measured at cost less accumulated amortization and any accumulated impairment losses. Subsequent expenditure Subsequent expenditure is capitalised only when it increases the future economic benefits embodied in the specific asset to which it relates. All other expenditure, including expenditure on internally generated goodwill and brands, is recognised in statement of profit and loss as incurred. ii. Amortisation Goodwill is not amortised and is tested for impairment annually. Other intangible assets are amortised on a straight line basis over the estimated useful life as follows: — Computer software 3-5 years — Marketing and Manufacturing rights 5-10 years — Customer related intangibles 5 years Amortisation method, useful lives and residual values are reviewed at the end of each financial year and adjusted if appropriate. Consolidated Financial Statement Goodwill For measurement of goodwill that arises on a business combination refer Note 37. Subsequent measurement is at cost less any accumulated impairment losses. 7. CIPLA LIMITED CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies Intangible assets Intangible assets such as marketing intangibles, trademarks, technical know-how, brands and computer software acquired separately are measured on initial recognition at cost. Intangible assets arising on acquisition of business are measured at fair value as at date of acquisition. Internally generated intangibles including research cost are not capitalised and the related expenditure is recognized in the Statement of Profit and Loss in the period in which the expenditure is incurred. Following initial recognition, intangible assets are carried at cost less accumulated amortisation and accumulated impairment loss, if any.

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |468| Judgements and estimates Research and Developments Costs Management monitors progress of internal research and development projects by using a project management system. Significant judgement is required in distinguishing research from the development phase. Development costs are recognised as an asset when all the criteria are met, whereas research costs are expensed as incurred. Management also monitors whether the recognition requirements for development costs continue to be met. This is necessary due to inherent uncertainty in the economic success of any product development. Disclosures Note 38: Research and Development Expenditure ` in Crore Particulars For the year ended 31st March, 2017 For the year ended 31st March, 2016 The amount of expenditure as shown in the respective heads of account is as under: R&D Capital Expenditure (Gross) Building 8.64 141.96 Assets Other than Building 110.70 100.92 119.34 242.88 Less: Realisation on Sale of R&D Assets Building - - Assets Other than Building 0.20 0.14 0.20 0.14 119.14 242.74 R&D Revenue Expenditure Charged to the Statement of Profit and Loss Materials Consumed 261.51 222.22 Employee Benefits Expenses 183.08 170.39 Power and Fuel 24.77 16.60 Repairs and Maintenance 25.46 21.37 Manufacturing Expenses 17.75 18.47 Professional Fees 48.59 45.98 Depreciation 50.76 44.24 Research - Clinical Trials, Samples and Grants 96.08 123.23 Printing and Stationery 0.55 0.46 Travelling Expenses 12.68 12.75 Other Research and Development Expenses 151.50 77.66 Allocated Manufacturing Expenses for R&D 38.70 39.23 911.43 792.60 1030.57 1035.34 ` in Crore Particulars For the year ended 31st March, 2017 For the year ended 31st March, 2016 Amount Eligible for weighted deduction under Section 35(2AB) of the Income-tax Act, 1961 R&D Capital Expenditure (Gross) 110.70 100.92 R&D Revenue Expenditure 749.21 640.54 859.91 741.46 Less: Realisation on Sale of R&D Assets 0.20 0.14 859.71 741.32

|469| Chap. 20 – Ind AS 38 — Intangible Assets ` in Crore Particulars For the year ended 31st March, 2017 For the year ended 31st March, 2016 Sales for the year 10974.58 12117.72 Total R&D Expenditure / Sales 9.39% 8.54% Total Eligible R&D Expenditure / Sales 7.83% 6.12% CONSOLIDATED FINANCIAL STATEMENTS Notes to Accounts Note 4: Goodwill ` in Crore Particulars For the year ended 31st March, 2017 For the year ended 31st March, 2016 Opening Balance 2705.57 1129.38 Acquisition of subsidiaries - 1682.05 De-recognised of disposal of subsidiaries (0.26) - Foreign currency translation adjustments (26.88) (105.86) Closing Balance 2678.43 2705.57 Goodwill acquired in Business Combination is allocated to the Cash Generating Units (CGUs) that are expected to benefit from that business combination as follows: ` in Crore CGUs (Goodwill) As at 31st March, 2017 As at 31st March, 2016 As at 1st April, 2015 United States of America 1569.13 1653.24 - South Africa 887.06 823.04 935.98 Yemen 112.42 114.85 108.34 India 57.22 57.48 57.48 Uganda 47.35 51.86 25.28 Others 5.25 5.10 2.30 TOTAL 2678.43 2705.5 1129.38 For impairment testing, goodwill is allocated to the CGUs which represents the lowest level within the Group at which goodwill is monitored for internal management purposes, which is not higher than the Group Segments. The Group’s goodwill on consolidation is tested for impairment annually or more frequently, if there are indications that goodwill might be impaired. During the year, the testing did not result in any impairment in the carrying amount of goodwill. The recoverable amount of each CGUs are determined based on value in use calculated using, estimated discounted cash flows. The Group prepares its cash flow forecasts based on the most recent financial budgets approved by management Growth Rates The growth rates are based on industry growth forecasts. Management determines the budgeted growth rates based on past performance and its expectations of market development. The weighted average growth rates used were consistent with industry reports ranging from 3% to 45%. Discount Rates Management estimates discount rates that reflect current market assessments of the risks specific to the CGU, taking into consideration the time value of money and individual risks of the underlying assets that have not been incorporated in the cash flow estimates. The discount rate calculation is based on the specific

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |470| circumstances of the Company and its operating segments and is derived from its weighted average cost of capital (WACC) ranging from 13.75% to 17.8%. (USA- 13.75%,South Africa-16%, Yemen- 17.8%). EBITDA Based on past performance and management’s expectations for the future EBITDA margin considered for: CGU Range United States of America 20.80% to 35.50% South Africa 15.70% to 22.40% Yemen 23.90% to 34.50% Sensitivity United States of America If the budgeted EBITDA margin used in the value-in-use calculation for this CGU had been 2% lower than management’s estimates as at 31st March, 2017 the Group would have had to recognise an impairment of goodwill of ` 363.92 crore. If the discount rate applied to the cash flow projections of this CGU had been 1% higher than management’s estimates, the Group would have had to recognise impairment of goodwill of ` 247.27 crore. 8. DR. REDDY’S LABORATORIES LIMITED CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies Goodwill and other intangible assets Goodwill Goodwill represents the excess of consideration transferred, together with the amount of non-controlling interest in the acquiree, over the fair value of the Company’s share of identifiable net assets acquired. Goodwill is measured at cost less accumulated impairment losses. Other intangible assets Other intangible assets that are acquired by the Company and that have finite useful lives are measured at cost less accumulated amortisation and accumulated impairment losses. Subsequent expenditures are capitalised only when they increase the future economic benefits embodied in the specific asset to which they relate. Research and development Expenditures on research activities undertaken with the prospect of gaining new scientific or technical knowledge and understanding are recognised in the statement of profits and loss when incurred. Development activities involve a plan or design for the production of new or substantially improved products and processes. Development expenditures are capitalised only if: • development costs can be measured reliably; • the product or process is technically and commercially feasible; • future economic benefits are probable; and • the Company intends to and has sufficient resources to complete development and to use or sell the asset.

|471| Chap. 20 – Ind AS 38 — Intangible Assets The expenditures to be capitalised include the cost of materials and other costs directly attributable to preparing the asset for its intended use. Other development expenditures are recognised as expense in the statement of profit and loss as incurred. Payments to third parties that generally take the form of up-front payments and milestones for in-licensed products, compounds and intellectual property are capitalised. The Company’s criteria for capitalisation of such assets are consistent with the guidance given in paragraph 25 of Ind AS 38 (i.e., receipt of economic benefits out of the separately purchased transaction is considered to be probable). Acquired research and development intangible assets that are under development are recognised as Intangible assets under development. Theses assets are not amortised, but evaluated for potential impairment on an annual basis or when there are indications that the carrying value may not be recoverable. Any impairment charge on such assets is recorded as an expense in the statement of profit and loss. Subsequent expenditure on an in-process research or development project acquired separately or in a business combination and recognised as an intangible asset is: • recognised as an expense when incurred, if it is research expenditure; • recognised as an expense when incurred, if it is development expenditure that does not satisfy the criteria for recognition as an intangible asset; and • added to the carrying amount of the acquired in-process research or development project, if it is development expenditure that satisfies the recognition criteria. Intangible assets relating to products in development, other intangible assets not available for use and intangible assets having indefinite useful life are subject to impairment testing at each reporting date. All other intangible assets are tested for impairment when there are indications that the carrying value may not be recoverable. All impairment losses are recognised immediately in the statement of profit and loss. Amortisation Amortisation is recognised in the statement of profit and loss on a straight-line basis over the estimated useful lives of intangible assets or on any other basis that reflects the pattern in which the asset’s future economic benefits are expected to be consumed by the entity. Intangible assets that are not available for use are amortised from the date they are available for use. The estimated useful lives are as follows: Years Customer contracts 2 to 5 Technical know-how 10 Product related intangibles 5 to 15 Copyrights and Patents (including marketing/distribution rights) 3 to 15 Others 3 to 5 The amortisation period and the amortisation method for intangible assets with a finite useful life are reviewed at each reporting date. De-recognition of intangible assets Intangible assets are de-recognised either on their disposal or where no future economic benefits are expected from their use. Losses arising on such de-recognition are recorded in the statement of profit and loss, and are measured as the difference between the net disposal proceeds, if any, and the carrying amount of respective intangible assets as on the date of de-recognition.

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |472| Determination of fair values Intangible assets The fair value of brands, technology related intangibles, and patents and trademarks acquired in a business combination is based on the discounted estimated royalty payments that have been avoided as a result of these brands, technology related intangibles, patents or trademarks being owned (the “relief of royalty method”). The fair value of customer related, product related and other intangibles acquired in a business combination has been determined using the multi-period excess earnings method after deduction of a fair return on other assets that are part of creating the related cash flows. Disclosures Additional Information (i) Product and patent related matters Matters relating to National Pharmaceutical Pricing Authority Norfloxacin, India litigation The Company manufactures and distributes Norfl oxacin, a formulations product, and in limited quantities, the active pharmaceutical ingredient norfl oxacin. Under the Drugs Prices Control Order (the “DPCO”), the National Pharmaceutical Pricing Authority (the “NPPA”) established by the Government of India had the authority to designate a pharmaceutical product as a “specified product” and fix the maximum selling price for such product. In 1995, the NPPA issued a notification and designated Norfl oxacin as a “specified product” and fixed the maximum selling price. In 1996, the Company filed a statutory Form III before the NPPA for the upward revision of the maximum selling price and a writ petition in the Andhra Pradesh High Court (the “High Court”) challenging the validity of the designation on the grounds that the applicable rules of the DPCO were not complied with while fixing the maximum selling price. The High Court had previously granted an interim order in favor of the Company; however it subsequently dismissed the case in April 2004. The Company filed a review petition in the High Court in April 2004 which was also dismissed by the High Court in October 2004. Subsequently, the Company appealed to the Supreme Court of India, New Delhi (the “Supreme Court”) by filing a Special Leave Petition. During the year ended 31 March 2006, the Company received a notice from the NPPA demanding the recovery of the price charged by the Company for sales of Norfl oxacin in excess of the maximum selling price fixed by the NPPA, which was ` 285 including interest. The Company filed a writ petition in the High Court challenging this demand order. The High Court admitted the writ petition and granted an interim order, directing the Company to deposit 50% of the principal amount claimed by the NPPA, which was ` 77. The Company deposited this amount with the NPPA in November 2005. In February 2008, the High Court directed the Company to deposit an additional amount of ` 30, which was deposited by the Company in March 2008. In November 2010, the High Court allowed the Company’s application to include additional legal grounds that the Company believed strengthened its defence against the demand. For example, the Company added as grounds that trade margins should not be included in the computation of amounts overcharged, and that it was necessary for the NPPA to set the active pharmaceutical ingredient price before the process of determining the ceiling on the formulation price. In October 2013, the Company filed an additional writ petition before the Supreme Court challenging the inclusion of Norfl oxacin as a “specified product” under the DPCO. In January 2015, the NPPA filed a counter affi davit stating that the inclusion of Norfl oxacin was based upon the recommendation of a committee consisting of experts in the field. On 20 July 2016, the Supreme Court remanded the matters concerning the inclusion of Norfl oxacin as a “specified product” under the DPCO back to the High Court for further proceedings. During the three months ended 30 September 2016, the Supreme Court dismissed the Special Leave Petition pertaining to the fixing of prices for Norfl oxacin formulations.

|473| Chap. 20 – Ind AS 38 — Intangible Assets During the three months ended 31 December 2016, a writ petition pertaining to Norfl oxacin was filed by the Company with the Delhi High Court. Such writ petition is pending for admission. Based on its best estimate, the Company has recorded a provision for potential liability for sale proceeds in excess of the notified selling prices, including the interest thereon, and believes that the likelihood of any further liability that may arise on account of penalties pursuant to this litigation is not probable. AGREEMENT WITH GLAND PHARMA LIMITED On 29 November 2016, the Company entered into an agreement with Gland Pharma Limited (“Gland”) to license, market and distribute eight injectable ANDAs. Pursuant to the arrangement, the Company will pay Gland U.S.$ 6.8 million as consideration for in-licensing the aforesaid eight ANDAs upon completion of certain milestones by Gland. The carrying value of the intangible as on 31 March 2017 was ` 212. CONSOLIDATED FINANCIAL STATEMENTS Disclosures Additional information 2.40 Asset Purchase Agreement with Hatchtech Pty Limited On 7 September 2015, the Company entered into an asset purchase agreement with Hatchtech Pty Limited (“Hatchtech”) for the purchase of intellectual property rights to an innovative prescription head lice product, Xeglyze™ Lotion. The exclusive rights for this product are applicable for the territories of the United States, Canada, India, Russia and other countries of the former Soviet Union, Australia, New Zealand and Venezuela. As partial consideration for the purchase of these assets, the Company paid Hatchtech an upfront amount of ` 606. In addition to the foregoing payments, the Company is also required to pay certain development and commercial milestone related payments to Hatchtech for purchase of these assets. As of 31 March 2017, the Company has paid Hatchtech development milestone payments of ` 390. The acquisition of asset was classified as “intangible assets under development”. As the intangible asset is not yet available for use, it is not subject to amortisation. The carrying amount of the intangible asset as on 31 March 2017 was ` 993. 2.41 Asset Purchase Agreement with Alchemia In November 2015, the Company entered into an asset purchase agreement with Alchemia Limited (“Alchemia”) for the purchase of worldwide, exclusive intellectual property rights to fondaparinux sodium. The closing conditions for the transaction included the approval of Alchemia’s shareholders which was obtained on 10 November 2015. As per the terms of the agreement, the Company paid net consideration of ` 1,158 upon the closing of the transaction in exchange for the acquired intellectual property rights. Prior to this asset purchase agreement, the Company had worldwide, exclusive rights from Alchemia to market fondaparinux sodium in all territories in exchange for Alchemia’s right to an agreed share of the net profits generated from sales in those territories. As a result of the closing of the asset purchase agreement, Alchemia is not entitled to receive any further profit share revenues from fondaparinux sales on or after 1 July 2015. The transaction was recorded as an acquisition of technology related intangible asset with an estimated useful life of 4 years. The carrying amount of the intangible asset as on 31 March 2017 was ` 727.

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |474| 2.42 Agreement with Novartis Consumer Health Inc. On 18 October 2014, the Company, through its wholly owned subsidiary Dr. Reddy’s Laboratories SA, entered into an asset purchase agreement with Novartis Consumer Health Inc. to acquire the title and rights to its Habitrol® brand (an over-the-counter nicotine replacement therapy transdermal patch) and to market the product in the United States. After obtaining the necessary approvals from the U.S. Federal Trade Commission, the Company completed the acquisition of Habitrol® on 17 December 2014. The total purchase consideration was ` 5,097. The transaction has been recorded as an acquisition of a product related intangible asset with a useful life of 8 years. The carrying amount of the asset as at 31 March 2017 was ` 3,470. 2.45 License Agreement with Xenoport On 28 March 2016, the Company and XenoPort, Inc. (“XenoPort”) entered into a license agreement pursuant to which the Company was granted exclusive U.S. rights for the development and commercialization of XenoPort’s clinical stage oral new chemical entity. The Company plans to develop the in-licensed compound as a potential treatment for moderate-to-severe chronic plaque psoriasis and for relapsing forms of multiple sclerosis. The transaction was subject to satisfaction of certain customary closing conditions, including among other things the expiration or early termination of the applicable waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended (the “HSR Act”), following the Company’s pre-merger notification filing under the HSR Act with the applicable governmental authorities regarding its intention to acquire these rights. Upon the completion of all closing conditions, in May 2016, the Company paid ` 3,159 as an up-front payment and an additional ` 169 for the transfer of certain clinical trial materials as per the terms of the agreement. In addition to the up-front payment, XenoPort will also be eligible to receive up to US$ 190 million upon the achievement by the Company of certain regulatory milestones, which could be achieved over a period of several years. Further, XenoPort will be eligible to receive up to US$ 250 million upon the achievement by the Company of certain commercial milestones, and up to mid-teens percentage rate royalty payments based on the Company’s net sales of the product in the United States. The upfront consideration has been classified as an acquisition of “intangible assets under development”. As the intangible asset is not yet available for use, it is not subject to amortisation. Consideration paid for the purchase of clinical trial materials is recognised as an expense in these financial statements for the year ended 31 March 2017. The carrying amount of the intangible asset as on 31 March 2017 was ` 3,108. 2.46 Asset Purchase Agreement With Ducere Pharma LLC On 23 May 2016, the Company entered into and consummated an asset purchase agreement with Ducere Pharma LLC for the purchase of certain pharmaceutical brands for a total consideration of ` 1,148. The acquisition is expected to strengthen the Company’s presence in the dermatology, cough-and-cold and pain therapeutic areas forming part of the Company’s over-the-counter (“OTC”) business in the United States. The Company recorded the acquisition of these brands as trademarks. The Company estimated that the useful life of these brands is 15 years. The carrying value of these intangibles as on 31 March 2017 was ` 1,052. 2.47 Asset Purchase Agreement with Teva Pharmaceutical Industries Limited On 10 June 2016, the Company entered into a definitive purchase agreement with Teva Pharmaceutical Industries Limited (“Teva”) and an affiliate of Allergan plc (“Allergan”) to acquire eight Abbreviated New

|475| Chap. 20 – Ind AS 38 — Intangible Assets Drug Applications (“ANDAs”) in the United States for US$ 350 million in cash at closing. The acquired products were divested by Teva as a precondition to the closing of its acquisition of Allergan’s generics business. The acquisition of these ANDAs was also contingent on the closing of the Teva/Allergan generics purchase transaction and approval by the U.S. Federal Trade Commission The acquisition was consummated on 3 August 2016 upon the completion of all closing conditions, and the Company paid US$ 350 million as the consideration for the acquired ANDAs. Tabulated below are the details of products acquired and the respective purchase prices: PARTICULARS OF THE ANDA US$ MILLION AMOUNT IN ` Ethinyl estradiol/Ethonogestrel Vaginal Ring (a generic equivalent to NuvaRing®) 185 12,351 Buprenorphine HCl/Naloxone HCl Sublingual Film (a generic equivalent to Suboxone® sublingual film) 70 4,673 Ramelteon Tablets (a generic equivalent to Rozerem®) 34 2,270 Others 61 4,072 Total 350 23,366 The Company recorded the aforesaid acquisition of these ANDAs as “intangible assets under development”. As these ANDAs are not available for use yet, they are not subject to amortisation. The aforesaid acquisition forms part of Company’s Global Generics segment. The carrying value of these intangibles as on 31 March 2017 was ` 22,870. 9. HINDUSTAN UNILEVER LIMITED SIGNIFICANT ACCOUNTING POLICIES Intangible Assets Separately purchased intangible assets are initially measured at cost. Intangible assets acquired in a business combination are recognised at fair value at the acquisition date. Subsequently, intangible assets are carried at cost less any accumulated amortisation and accumulated impairment losses, if any. The useful lives of intangible assets are assessed as either finite or indefinite. Finite-life intangible assets are amortised on a straight-line basis over the period of their expected useful lives. Estimated useful lives by major class of finite - life intangible assets are as follows: Design - 10 years Know-how - 10 years Computer software - 5 years The amortisation period and the amortisation method for finite-life intangible assets is reviewed at each financial year end and adjusted prospectively, if appropriate. Indefinite life intangibles mainly consist of brands/trademarks. The assessment of indefinite life is reviewed annually to determine whether the indefinite life continues, if not, it is impaired or changed prospectively basis revised estimates. Upon first-time adoption of Ind AS, the Company has elected to measure its in tangible assets at the Previous GAAP carrying amount as its deemed cost on the date of transition to Ind AS i.e.,1st April,2015. Disclosures The Company has elected to measure all its intangibles at the previous GAAP carrying amount i.e 31st March 2015 as its deemed cost (Gross Block Value) on the date of transition to Ind AS i.e 1st April 2015. The movement in carrying value of intangible asset as per IGAAP is mentioned below:

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |476| Other intangible assets Goodwill Brands/ Trademarks Know how and Design Computer Software Total Gross Block Balance as at 1st April, 2015 (IgAAP) 12 160 - 141 301 Additions - - - 1 1 Disposals - - - (0) (0) Balance as at 31st March, 2016 12 160 - 142 302 Additions - - - 0 0 Disposals - - - (0) (0) Acquisitions through business combination (Refer note 43) 0 311 59 - 370 Balance as at 31st March, 2017 12 471 59 142 672 Accumulated Amortisation and Impairment Balance as at 1st April, 2015 12 156 - 123 279 Additions - 4 - 7 11 Disposals - - - (0) (0) Balance as at 31st March, 2016 12 160 130 290 Additions - - 6 6 12 Disposals - - - (0) (0) Balance as at 31st March, 2017 12 160 6 136 302 Net Block Balance as at 1st April, 2015 - 4 - 18 22 Balance as at 31st March, 2016 - - - 12 12 Balance as at 31st March, 2017 0 311 53 6 370 Significant Cash generating UNITS (CgUs) The Company has identified its reportable segments, i.e. Home care, Personal Care, Foods, Refreshments and Others as the CGUs. The goodwill and brand (with indefinite life) acquired through business combination has been entirely allocated to CGU ‘Personal Care’ segment of the Company. The carrying amount of goodwill and brand as at March 31, 2017 is ` 0 crores and ` 311 crores respectively. Following key assumptions were considered while performing Impairment testing Long term sustainable growth rates 7% Weighted Average Cost of Capital % (WACC) befor tax (Discountrate) 13% Average segmental margins 24% The projections cover a period of five years, as we believe this to be the most appropriate time scale over which to review and consider annual performances before applying a fixed terminal value multiple to the final year cash flows. The growth rates used to estimate future performance are based on the conservative estimates from past performance. Segmental margins are based on FY 2016-17 performance. Weighted Average Cost of Capital % (WACC) = Risk free return + (Market risk premium x Beta variant for the Company). We have performed sensitivity analysis around the base assumptions and have concluded that no reasonable changes in key assumptions would cause the recoverable amount of the CGU to be less than the carrying value. (b) Total revenue expenditure (net of recoveries) on Research and Development (R&D) eligible for weighted deduction under section 35(2AB) of the Income Tax Act, 1961 aggregates to ` 28 crores (2015-16:` 37 crores). The details are as below:

|477| Chap. 20 – Ind AS 38 — Intangible Assets Location of the R&D facility Year ended 31st March, 2017 Year ended 31st March, 2016 Bengaluru Mumbai Bengaluru Mumbai Revenue expenditure eligible u/s 35(2AB) Salaries & wages 9 11 10 14 Materials, consumables and spares 1 2 1 5 Utilities - 0 - 0 Other expenditure directly related to R&D 2 3 3 4 12 16 14 23 Consolidated financial statements Disclosures Goodwill on consolidation Pursuant to the merger of Aquagel Chemicals Private Limited (ACPL) with Lakme Lever Private Limited in the FY 14-15, the excess of cost to the Group of its investment in ACPL over the group’s portion of equity in ACPL, amounting to ` 81 crores has been treated as ‘Goodwill on consolidation’. The goodwill on consolidation is tested for impairment and accordingly no impairments charges were identified for FY 2016-17 (Nil for FY 2015-16) 10. INFOSYS LIMITED SIGNIFICANT ACCOUNTING POLICIES Intangible assets Intangible assets are stated at cost less accumulated amortization and impairment. Intangible assets are amortized over their respective individual estimated useful lives on a straight-line basis, from the date that they are available for use. The estimated useful life of an identifiable intangible asset is based on a number off actors including the effects of obsolescence, demand, competition, and other economic factors (such as the stability of the industry, and known technological advances), and the level of maintenance expenditures required to obtain the expected future cash flows from the asset. Amortization methods and useful lives are reviewed periodically including at each financial year end. Research costs are expensed as incurred. Software product development costs are expensed as incurred unless technical and commercial feasibility of the project is demonstrated, future economic benefits are probable, the Company has an intention and ability to complete and use or sell the software and the cost scan be measured reliably. The costs which can be capitalized include the cost of material, direct labor, over head costs that are directly attributable to preparing the asset for its intended use. Research and development costs and software development costs incurred under contractual arrangements with customers are accounted as expenses in the Statement of Profit and Loss. CONSOLIDATED FINANCIALS Significant Accounting Polices Goodwill Goodwill represents the cost of business acquisition in excess of the Group’s interest in the net fair value of identifiable assets, liabilities and contingent liabilities of the acquiree. When the net fair value of the identifiable assets, liabilities and contingent liabilities acquired exceeds the cost of business acquisition, again is recognized immediately in net profit in the Statement of Profit and Loss. Goodwill is measured at cost less accumulated impairment losses.

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |478| Critical Accounting Estimates Impairment of goodwill Goodwill is tested for impairment on an annual basis and whenever there is an indication that the recoverable amount of a cash-generating unit (CGU) is less than its carrying amount, based on a number off actors including operating results, business plans, future cash flows and economic conditions. The recoverable amount of CGUs is determined based on the higher of value-in-use and fair value less cost to sell. The goodwill impairment test is performed at the level of the CGU or groups of CGUs which are benefiting from the synergies of the acquisition and which represent the lowest level at which goodwill is monitored for internal management purposes. Market-related information and estimates are used to determine the recoverable amount. Key assumptions on which the Management has based its determination of recoverable amount include estimated long-term growth rates, weighted average cost of capital and estimated operating margins. Cash flow projection stake into account past experience and represent the Management’s best estimate about future developments. Disclosures 2.5 Goodwill and other intangible assets A summary of changes in the carrying amount of goodwill is as follows : The break-up of allocation of goodwill to operating segments as at April 1, 2015 is as follows : ` in crore Particulars As of March 31, 2017 2016 Carrying value at the beginning 3,764 3,091 Goodwill on Kallidus d.b.a Skava acquisition (Refer to Note 2.3) – 452 Goodwill on Noah acquisition (Refer to Note 2.3) – 30 Translation differences (112) 191 Carrying value at the end 3,652 3,764 For the purpose of impairment testing, goodwill acquired in a business combination is allocated to the CGUs or groups of CGUs, which benefit from the synergies of the acquisition. The chief operating decision maker reviews the goodwill for any impairment at the operating segment level, which is represented through groups of CGUs. Accordingly, the goodwill has been allocated to the new operating segments as at March 31, 2016 and March 31, 2017. ` in crore Segment As of March 31, 2017 2016 Financial services 826 851 Manufacturing 409 423 Retail, Consumer packaged goods and Logistics 556 573 Life Sciences, Healthcare and Insurance 638 656 Energy & Utilities, Communication and Services 765 789 3,194 3,292 Operating segments without significant goodwill 458 472 Total 3,652 3,764 The entire goodwill relating to Infosys BPO’s acquisition of McCamish has been allocated to the groups of CGUs which are represented by the Life Sciences, Healthcare and Insurance segment. The goodwill relating to Infosys BPO, Infosys Lodestone, Portland, Panaya and Kallidus (d.b.a Skava) has been allocated to the groups of CGUs which are represented by a majority of the entity’s operating segment.

|479| Chap. 20 – Ind AS 38 — Intangible Assets The entire goodwill relating to Noah acquisition has been allocated to the group of CGUs which is represented by the Energy & utilities, Communication and Services segment. The recoverable amount of a CGU is the higher of its fair value less cost to sell and its value-in-use. The fair value of a CGU is determined based on the market capitalization. The value-in-use is determined based on specific calculations. These calculations use pre-tax cash flow projections for a CGU / groups of CGUs over a period of five years. An average of the range of each assumption used is mentioned below. As of March 31, 2017, March 31, 2016 and April 1, 2015, the estimated recoverable amount of the CGU exceeded its carrying amount. The recoverable amount was computed based on the fair value less cost to sell being higher than value-in-use. The carrying amount of the CGU was computed by allocating the net assets to operating segments for the purpose of impairment testing. The key assumptions used for the calculations are as follows : in % Particulars As of March 31, As at April 1, 2017 2016 2015 Long-term growth rate 8-10 8-10 8-10 Operating margins 17-20 17-20 17-20 Discount rate 14.4 14.2 13.9 The above discount rate is based on the Weighted Average Cost of Capital (WACC) of the Company. These estimates are likely to differ from future actual results of operations and cash flows. Research and development expenditure Research and development expense recognized in net profit in the consolidated Statement of Profit and Loss for the years ended March 31, 2017 and March 31, 2016 is ` 789 crore and ` 712 crore, respectively. ` in crore Particulars Year ended March 31, 2017 2016 Expenditure at the Department of Scientific and Industrial Research (DSIR) approved R&D centres (eligible for weighted deduction) (1) Capital expenditure – – Revenue expenditure 163 174 Other R&D expenditure Capital expenditure – 31 Revenue expenditure 626 538 Total R&D expenditure Capital expenditure – 31 Revenue expenditure 789 712 (1) During the year ended March 31, 2017, the Group has claimed weighted tax deduction on eligible research and development expenditure based on the approval received from Department of Scientific and Industrial Research (DSIR) which is valid up to March 31, 2017. An application has been filed for renewal of the R&D recognition with DSIR. The weighted tax deduction is equal to 200% of such expenditure incurred. During year ended March 31, 2016, Infosys had claimed weighted tax deduction on eligible research and development till July 31, 2015 based on the approval received from DSIR on November 23, 2011 which was renewed effective April 2014. With effect from August 1, 2015 the business of Finacle, including the R&D activities, was transferred to its wholly-owned subsidiary Edge Verve Systems Limited. The approval for Edge Vervew as effective April 2016. The eligible R&D revenue and capital expenditure are ` 163 crore and nil for the year ended March 31, 2017 and ` 174 crore and nil for the year ended March 31, 2016.

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |480| 11. JSW ENERGY LIMITED Other Intangible assets i) Intangible assets with finite useful lives that are acquired separately are carried at cost less accumulated amortisation and accumulated impairment losses. Intangible assets with indefinite useful lives are carried at cost less accumulated impairment losses. ii) Certain computer software costs are capitalized and recognised as intangible assets based on materiality, accounting prudence and significant benefits expected to flow therefrom for a period longer than one year. Impairment of tangible and intangible assets other than goodwill i) At the end of each reporting period, the Company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). When it is not possible to estimate the recoverable amount of an individual asset, the Company estimates the recoverable amount of the cashgenerating unit to which the asset belongs. When a reasonable and consistent basis of allocation can be identified, corporate assets are also allocated to individual cash-generating units, or otherwise they are allocated to the smallest Company of cash-generating units for which a reasonable and consistent allocation basis can be identified. ii) Intangible assets with indefinite useful lives and intangible assets not yet available for use are tested for impairment at least annually, and whenever there is an indication that the asset may be impaired. iii) Recoverable amount is the higher of fair value less costs of disposal and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted. iv) If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in Statement of Profit and Loss. v) When an impairment loss subsequently reverses, the carrying amount of the asset (or a cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in Statement of Profit and Loss. Note No. 5 - Other intangible assets ` in crore Particulars Computer Software Total I. Gross Carrying Value Balance as at 1st April, 2016 8.44 8.44 Additions 1.99 1.99 Disposals - - Balance as at 31st March, 2017 10.43 10.43 II. Accumulated Amortisation Balance as at 1st April, 2016 3.25 3.25 Amortisation expense for the year 3.58 3.58 Eliminated on disposal of assets - - Balance as at 31st March, 2017 6.83 6.83 III. Net carrying value as at 31st March, 2017 (I-II) 3.60 3.60

|481| Chap. 20 – Ind AS 38 — Intangible Assets ` crore Particulars Computer Software Total I. Deemed Cost Balance as at 1st April, 2015 7.80 7.80 Additions 0.64 0.64 Disposals - - Balance as at 31st March, 2016 8.44 8.44 II. Accumulated amortisation Balance as at 1st April, 2015 - - Amortisation expense for the year 3.25 3.25 Eliminated on disposal of assets - - Balance as at 31st March, 2016 3.25 3.25 III. Net carrying value as at 31st March, 2016 (I-II) 5.19 5.19 The Company has availed the deemed cost exemption in relation to the other intangible assets on the date of transition and hence the net block carrying amount has been considered as the gross block carrying amount on that date. Refer Note below for the gross block value and the accumulated depreciation on 1st April, 2015 under the previous GAAP. Deemed cost as on 1st April, 2015 ` in crore Particulars Computer Software Total Gross block as on 1st April, 2015 16.65 16.65 Accumulated amortisation till 1st April, 2015 8.85 8.85 Net block treated as deemed cost upon transition 7.80 7.80 Intangible assets: Intangible assets with finite useful lives that are acquired separately are carried at cost less accumulated amortisation and accumulated impairment losses. Intangible assets with indefinite useful lives are carried at cost less accumulated impairment losses. Certain computer software costs are capitalized and recognized as Intangible assets based on materiality, accounting prudence and significant benefits expected to flow therefrom for a period longer than one year. Intangible assets acquired in a business combination Intangible assets acquired in a business combination and recognised separately from goodwill are initially recognised at their fair value at the acquisition date (which is regarded as their cost). Subsequent to initial recognition, intangible assets acquired in a business combination are reported at cost less accumulated amortisation and accumulated impairment losses, on the same basis as intangible assets that are acquired separately. 12. LARSEN & TOUBRO LIMITED Intangible assets Intangible assets are recognised when it is probable that the future economic benefits that are attributable to the asset will flow to the enterprise and the cost of the asset can be measured reliably. Intangible assets are stated at original cost net of tax/duty credits availed, if any, less accumulated amortisation and cumulative impairment. Administrative and other general overhead expenses that are specifically attributable to acquisition of intangible assets are allocated and capitalised as a part of the cost of the intangible assets.

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |482| Research and development expenditure on new products: (i) Expenditure on research is expensed under respective heads of account in the period in which it is incurred. (ii) Development expenditure on new products is capitalised as intangible asset, if all of the following can be demonstrated: A. the technical feasibility of completing the intangible asset so that it will be available for use or sale; B. the company has intention to complete the intangible asset and use or sell it; C. the company has ability to use or sell the intangible asset; D. the manner in which the probable future economic benefits will be generated including the existence of a market for output of the intangible asset or intangible asset itself or if it is to be used internally, the usefulness of intangible assets; E. the availability of adequate technical, financial and other resources to complete the development and to use or sell the intangible asset; and F. the company has ability to reliably measure the expenditure attributable to the intangible asset during its development. Development expenditure that does not meet the above criteria is expensed in the period in which it is incurred. Intangible assets not ready for the intended use on the date of the Balance Sheet are disclosed as “intangible assets under development”. Intangible assets are amortised on straight line basis over the estimated useful life. The method of amortisation and useful life is are reviewed at the end of each accounting year with the effect of any changes in the estimate being accounted for on a prospective basis. Amortisation on impaired assets is provided by adjusting the amortisation charge in the remaining periods so as to allocate the asset’s revised carrying amount over its remaining useful life. 13. MAHINDRA LIFESPACE DEVELOPERS LIMITED CONSOLIDATED FINANCIAL STATEMENTS Notes to accounts Notes below notes to accounts 6) Goodwill As at 31st March, 2017 As at 31st March, 2016 As at 1st April, 2015 Cost Balance at beginning of year 6,604.47 6,604.47 6,604.47 Additional amounts recognised from business combinations occurring during the year - - - Balance at end of year 6,604.47 6,604.47 6,604.47 Accumulated impairment losses Balance at beginning of year - - - Impairment losses recognised in the year - - - Balance at end of year - - -

|483| Chap. 20 – Ind AS 38 — Intangible Assets This Goodwill relates to acquisition of Shares of Mahindra Residential Developers Limited from Velands Investments Limited. 14. PVR LIMITED CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies Goodwill Goodwill is initially measured at cost, being the excess of the aggregate of the consideration transferred and the amount recognised for non-controlling interests, and any previous interest held, over the net identifiable assets acquired and liabilities assumed. If the fair value of the net assets acquired is in excess of the aggregate consideration transferred, the Company re-assesses whether it has correctly identified all of the assets acquired and all of the liabilities assumed and reviews the procedures used to measure the amounts to be recognised at the acquisition date. If the reassessment still results in an excess of the fair value of net assets acquired over the aggregate consideration transferred, then the gain is recognised in OCI and accumulated in equity as capital reserve. However, if there is no clear evidence of bargain purchase, the entity recognises the gain directly in equity as capital reserve, without routing the same through Other comprehensive income. After initial recognition, goodwill is measured at cost less any accumulated impairment losses. For the purpose of impairment testing, goodwill acquired in a business combination is, from the acquisition date, allocated to each of the Company’s cash-generating units that are expected to benefit from the combination, irrespective of whether other assets or liabilities of the acquiree are assigned to those units. Goodwill arising from business combination is tested for impairment, considering the integrated business of PVR (The atrical Exhibition Unit), as practically it is impossible to allocate it to specific cinema location, considering various synergies in term of pricing of ticket, advertisement income, purchasing power and other commercial aspects. A cash generating unit to which goodwill has been allocated is tested for impairment annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash generating unit is less than its carrying amount, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro rata based on the carrying amount of each asset in the unit. Any impairment loss for goodwill is recognised in profit and loss. An impairment loss recognised for goodwill is not reversed in subsequent periods. Where goodwill has been allocated to a cash generating unit and part of the operation within that unit is disposed of, the goodwill associated with the disposed operation is included in the carrying amount of the operation when determining the gain or loss on disposal. Goodwill disposed in these circumstances is measured based on the relative values of the disposed operation and the portion of the cash-generating unit retained. If the initial accounting for a business combination is incomplete by the end of the reporting period in which the combination occurs, the Company reports provisional amounts for the items for which the accounting is incomplete. Those provisional amounts are adjusted through goodwill during the measurement period, or additional assets or liabilities are recognised, to reflect new information obtained about facts and circumstances that existed at the acquisition date that, if known, would have affected the amounts recognized at that date. These adjustments are called as measurement period adjustments. The measurement period does not exceed one year from the acquisition date.

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |484| Intangible assets Intangible assets acquired separately are measured on initial recognition at cost. The cost of intangible assets acquired in a business combination is their fair value at the date of acquisition. Following initial recognition, intangible assets are carried at cost less any accumulated amortization and accumulated impairment losses. The useful life and the basis of amortization and impairment losses is as under: (i) Software Cost relating to purchased software and software licenses are capitalized and amortized on a straight-line basis over their estimated useful lives of 6 years. (ii) Goodwill Goodwill recognized as part of business combination has indefinite useful lives and is not amortized, but is tested for impairment on annual basis. (iii) Film Rights The intellectual property rights acquired/created in relation to films are capitalized as film rights. The amortization policy is as below: i In respect of films which have been co-produced/co owned/acquired and in which the Company holds rights for a period of 5 years and above as below: – 60% to 80% of the cost of film rights on first domestic theatrical release of the film based on the management estimates. The said amortization relates to domestic theatrical rights, international theatrical rights, television rights, music rights and video rights etc. – In case these rights are not exploited along with or prior to their first domestic theatrical release, proportionate cost of such right is carried forward to be written off as and when such right is commercially exploited or at the end of 1 year from the date of first domestic theatrical release,whichever occurs earlier. – Balance 40% to 20% is amortized over the remaining license period based on an estimate of future revenue potential subject to a maximum period of 10 years. ii. In respect of films, where the Company holds rights for a limited period of 1 to 5 years, entire cost of movies rights acquired or produced by the Company is amortized on first theatrical release of the movie. The said amortization relates to domestic theatrical rights, international theatrical rights, television rights, music rights and video rights and others. In case these rights are not exploited along with or prior to the first domestic theatrical release, proportionate cost of such right is carried forward to be written off as and when such right is commercially exploited or at the end of 1 year from the date of first theatrical release, whichever occurs earlier. Gains or losses arising from derecognition of an intangible asset are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognized in the statement of profit and loss when the asset is derecognised. Judgements and Estimates Intangible asset under development The Company capitalises intangible asset under development for a project in accordance with the accounting policy. Initial capitalisation of costs is based on management’s judgement that technological and economic feasibility is confirmed, usually when a product development project has reached a defined milestone according to an established project management model. In determining the amounts to be capitalised,

|485| Chap. 20 – Ind AS 38 — Intangible Assets management makes assumptions regarding the expected future cash generation of the project, discount rates to be applied and the expected period of benefits. CONSOLIDATED FINANCIAL STATEMENTS Disclosures Computation of Goodwill on consolidation (` In lakhs) Particulars March 31, 2017 March 31, 2016 Investment in equity shares of PVR Pictures Limited 6,000 6,000 Less: PVR Limited’s share in the net assets of its subsidiary PVR Pictures Limited 4,433 4,433 Less: amount pertaining to the production business undertaking of PVR Pictures Limited merged with PVR Limited pursuant to the scheme of arrangement approved by the Court 1,254 1,254 Balance (A) 313 313 Investment in equity shares of Zea Maize Pvt. Ltd. 500 500 Less: PVR Limited share in the net assets of its subsidiary Zea Maize Private Limited 294 294 Balance (B) 206 206 Investment in compulsory convertible preference share capital of Zea Maize Pvt. Ltd. 350 - Less: PVR Limited share in the net assets of its subsidiary Zea Maize Private Limited 164 - Balance (C) 186 - Goodwill (A+B+C) 705 519 Computation of Capital Reserve (` In lakhs) Particulars March 31, 2017 March 31, 2016 Investment in Equity share capital of PVR Leisure Limited 2,324 2,324 Less: PVR Limited’s share in net assets of its subsidiary 2,081 2,081 Goodwill (A) 243 243 Investment in compulsory convertible preference share capital of PVR Leisure Limited 1,376 1,376 Less: Preference share value in PVR Subsidiary PVR Limited’s share in net assets of its subsidiary 2,004 2,004 Capital Reverse (B) (628) (628) Reversal of Capital Reserve due to merger of PVR Leisure Limited in the Parent Company. 385 - Capital Reverse (C) 385 - Net Capital Reserve (A+B+C) - (385) SIGNIFICANT ACCOUNTING POLICIES Intangibles assets Intangible assets acquired separately are measured on initial recognition at cost. The cost of intangible assets acquired in a business combination is their fair value at the date of acquisition. Following initial recognition, intangible assets are carried at cost less any accumulated amortization and accumulated impairment losses. The useful life and the basis of amortization and impairment losses is as under:

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |486| i Software Cost relating to purchased software and software licenses are capitalized and amortized on a straight-line basis over their estimated useful lives of 6 years. ii Goodwill Goodwill recognized as part of business combination has indefinite useful lives and is not amortized, but is tested for impairment on annual basis. iii Trademarks, Copyrights and Liquor Licenses Trademark and copyrights for the brand name acquired and registered by the Group are capitalised and are amortised over an estimated life of five years. License for liquor sale acquired for are capitalised and are amortised over an estimated useful life of ten years. iv Movie Right’s The intellectual property rights acquired/ created in relation to films are capitalised as film rights. The amortisation policy is as below: (i) In respect of films which have been co produced/co owned/acquired and in which the Company holds rights for a period of 5 years and above as below: - 60% to 80% of the cost of film rights on first domestic theatrical release of the film based on the management estimates. The said amortisation relates to domestic theatrical rights, international theatrical rights, television rights, music rights and video rights etc. In case these rights are not exploited along with or prior to the first domestic theatrical release, proportionate cost of such right is carried forward to be written off as and when such right is commercially exploited or at the end of 1 year from the date of first domestic theatrical release, whichever occurs earlier. - Balance 40% to 20% is amortised over the remaining license period based on an estimate of future revenue potential subject to a maximum period of 10 years. (ii) In respect of films, where the Company holds rights for a limited period of 1 to 5 years, entire cost of movies rights acquired or produced by the Company is amortized on first theatrical release of the movie. The said amortization relates to domestic theatrical rights, international theatrical rights, television rights, music rights and video rights and others. In case these rights are not exploited along with or prior to the first domestic theatrical release, proportionate cost of such right is carried forward to be written off as and when such right is commercially exploited or at the end of 1 year from the date of first theatrical release, whichever occurs earlier. (iii) In case of one of the subsidiary company, PVR Pictures Limited, the film right cost (primarily for foreign films) is amortised over the period of useful lives, writing off more in year one which recognizes initial income flows and then the balance over a period of nine years, or the remaining life of the content rights, whichever is less. The amortisation policy followed by the subsidiary company, PVR Pictures Limited is as below: - 25% to 75% of the cost of film rights on first domestic theatrical release of the film based on the management estimates if the agreement is silent on allocation of rights. The said amortisation relates to Theatrical rights. - In case these theatrical rights are not exploited proportionate cost of such right is written off as and when the management decides to commercially not exploit such right.

|487| Chap. 20 – Ind AS 38 — Intangible Assets - Balance 75% to 25% is amortised over the remaining license period based on an estimate of future revenue potential if the agreement is silent on allocation of rights subject to a maximum period of 10 years. v Movie on Demand (MOD) Platform (Vkaao) Investment in MOD Platform (Vkaao) is recorded at its production costs less accumulated amortization. Cost includes acquisition and production cost, direct overhead cost and borrowing costs. The same is amortised over the period of useful life which recognizes income flows. Gains or losses arising from derecognition of an intangible asset are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognized in the statement of profit and loss when the asset is derecognized. 15. RELIANCE INDUSTRIES LIMITED (RIL) SIGNIFICANT ACCOUNTING POLICIES Intangible assets Intangible Assets are stated at cost of acquisition net of recoverable taxes, trade discount and rebates less accumulated amortisation/depletion and impairment loss, if any. Such cost includes purchase price, borrowing costs, and any cost directly attributable to bringing the asset to its working condition for the intended use, net charges on foreign exchange contracts and adjustments arising from exchange rate variations attributable to the intangible assets. Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the entity and the cost can be measured reliably. Gains or losses arising from derecognition of an intangible asset are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognised in the Statement of Profit and Loss when the asset is derecognised. A summary of amortisation policies applied to the Company’s intangible assets to the extent of depreciable amount is, as follows: Particular Depreciation Technical know – how Over the useful life of the underlying assets Computer Software Over a period of 5 years Development Rights Depleted using the unit of production method. The cost of producing wells along with its related facilities including decommissioning costs are depleted in proportion of oil and gas production achieved vis-à-vis Proved Developed Reserves. The cost for common facilities including its de commissioning costs are depleted using Proved Reserves. Others Over the period of agreement of right to use, provided that in case of jetty, the aggregate amount amortised to date is not less than the aggregate rebate availed by the Company Research and Development Expenditure Revenue expenditure pertaining to research is charged to the Statement of Profit and Loss. Development costs of products are charged to the Statement of Profit and Loss unless a product’s technological and commercial feasibility has been established, in which case such expenditure is capitalised

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |488| 16. TATA COMMUNICATIONS LIMITED CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies Intangible Assets Intangible assets are recognised when it is probable that the future economic benefits that are attributable to the assets will flow to the Company and the cost of the asset can be measured reliably. Indefeasible Right to Use (“IRU”) taken for optical fibres are capitalised as intangible assets at the amounts paid for acquiring such rights. These are amortised on straight line basis, over the period of agreement. The amortisation period and the amortisation method for an intangible asset with a finite useful life are reviewed at the end of financial year. Changes in the expected useful life or the expected pattern of consumption of future economic benefits embodied in the asset are considered to modify the amortisation period or method, as appropriate, and are treated as changes in accounting estimates. Intangible assets with finite lives are amortised over the useful economic life and assessed for impairment whenever there is an indication that the intangible asset may be impaired. Intangible assets are amortised as follows: Intangible asset Useful lives Software and Application 3 to 6 years IRU Over the contract period An intangible assets is de-recognised on disposal, or when no future economic benefits are expected from use or disposal. Gains or losses arising from de-recognition of an intangible asset are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognised in the Statement of Profit and Loss when the asset is de-recognised. Consolidated Financial Statements Disclosure Allocation of goodwill to cash generating units: (` in crores) Cash generating units As at 31 March 2017 As at 31 March 2016 As at 1 April 2015 Voice Solutions - 58.96 55.67 Data and Managed Services - 108.66 102.60 South Africa Operations (discontinued operations – Refer Note 34) - 156.95 282.24 - 324.57 440.51 i. Voice solutions On performing annual impairment test as at 31 March 2017, the Group estimated future cash flows after considering current economic conditions and trends, estimated future operating results and growth rates and current technology and network infrastructure. Accordingly, considering the declining voice revenue and expected negative growth in the voice business, the Group has recognised an impairment loss of ` 59.70 crores for goodwill pertaining to voice solutions. ii. Data and Managed services In the year ended 2017, the Group has carried out its annual portfolio review to assess all the products for their strategic and financial fit into the Group’s focus area and to exit non-strategic and services with low returns on investments. As part of exiting non-performing services, the Management has

|489| Chap. 20 – Ind AS 38 — Intangible Assets decided not to focus in marketing the Content Delivery Network (CDN) offering and not to make additional investment for upgradation of CDN services and enhance its offerings in enterprise segment space of data and managed services. Accordingly, Management assessed that, CDN offerings will not yield much return going forward not being part of future offering in the enterprise segment of data business. In pursuant to this, Management has recognised impairment loss of ` 109.89 crores of CDN goodwill forming part of data and managed services segment. iii. South Africa operations In the year ended 2015, South Africa operations were classified as discontinued operations, as a result Goodwill pertaining to South Africa operations was classified under assets held for sale (Refer note 15). During the year the shareholders of Neotel and Liquid Telecom entered into an agreement to acquire Neotel for ZAR 6.55 billion subject to certain closing adjustments and conditions. This transaction was completed in February 2017. Accordingly, goodwill of ` 163.32 crores has been derecognised from financial statements. (Refer note 34 of Discontinued Operations). 17. VEDANTA LIMITED Significant Accounting Policies Intangible assets Intangible assets acquired separately are measured on initial recognition at cost. Following initial recognition, intangible assets are carried at cost less accumulated amortization and accumulated impairment losses, if any. Intangible assets are amortised over their estimated useful life on a straight line basis. Software is amortised over the estimated useful life of software license of 5 years. Amounts paid for securing mining rights are amortised over the period of the mining lease of 20 years. The amortization period and the amortization method are reviewed at least at each financial year end. If the expected useful life of the asset is different from previous estimates, the change is accounted for prospectively as a change in accounting estimate. Exploration and evaluation intangible assets Exploration and evaluation expenditure incurred after obtaining the mining right or the legal right to explore are capitalised as exploration and evaluation assets (intangible assets) and stated at cost less impairment. Exploration and evaluation assets are transferred to property, plant and equipment when the technical feasibility and commercial viability has been determined. Exploration and evaluation assets are assessed for impairment indicators at least annually. Exploration and evaluation expenditure incurred prior to obtaining the mining right or the legal right to explore are expensed as incurred. Exploration expenditure includes all direct and allocated indirect expenditure associated with finding specific mineral resources which includes depreciation and applicable operating costs of related support equipments and facilities and other costs of exploration activities: Acquisition costs - costs associated with acquisition of licenses and rights to explore, including related professional fees. General exploration costs - costs of surveys and studies, rights of access to properties to conduct those studies (e.g., costs incurred for environment clearance, defense clearance, etc.), and salaries and other expenses of geologists, geophysical crews and other personnel conducting those studies. Costs of exploration drilling and equipping exploration and appraisal wells - Expenditure incurred on the acquisition of a license interest is initially capitalised on a license-by-license basis. Costs are held, undepleted, within exploration and evaluation assets until such time as the exploration phase on the license area is complete or commercial reserves have been discovered. Exploration expenditure incurred in the process of determining oil and gas exploration targets is capitalized within ”Exploration and evaluation assets” (intangible assets) and subsequently allocated to drilling activities. Exploration drilling costs are initially capitalised on a well-by-well basis until the success or otherwise of the well has been established. The success or failure of each exploration effort is judged on a well-by-well basis. Following appraisal of

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |490| successful exploration wells, if commercial reserves are established and technical feasibility for extraction demonstrated, then the related capitalised exploration costs are transferred into a single field cost center within property, plant and equipment - development/producing assets after testing for impairment. Where results of exploration drilling indicate the presence of hydrocarbons which are ultimately not considered commercially viable, all related costs are written off to profit or loss. Net proceeds from any disposal of an exploration asset are initially credited against the previously capitalized costs. Any surplus proceeds are credited to the statement of profit and loss. CONSOLIDATED FINANCIAL STATEMENTS ACCOUNTING POLICIES Port concession rights The Group recognises port concession rights as “Intangible Assets” arising from a service concession arrangement, in which the grantor controls or regulates the services provided and the prices charged, and also controls any significant residual interest in the infrastructure such as property, plant and equipment,irrespective whether the infrastructure is existing infrastructure of the grantor or the infrastructure is constructed or purchased by the Group as part of the service concession arrangement. Such an intangible asset is recognised by the Group initially at cost determined as the fair value of the consideration received or receivable for the construction service delivered and is capitalised when the project is complete in all respects. Port concession rights also include certain property, plant and equipment in accordance with Appendix A of Ind AS 11 ‘Service Concession Arrangements’. Port concession rights are amortised on a straight line a basis based on the lower of their useful lives or the concession period (presently 30 years). Any addition to the port concession rights or property,plant and equipment are measured at fair value on recognition. Gains or losses arising from de-recognition of port concession rights are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognised in the consolidated statement of profit or loss when the asset is de-recognised. ll

|491| Chap. 21 – Ind AS 40 — Investment Property Chapter 21 Ind AS 40 — Investment Property 1. ALL CARGO LOGISTICS LIMITED CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies The Company has elected to continue with the carrying value for all of its investment property as recognised in its Indian GAAP financial statements as deemed cost at the transition date i.e. 01 April, 2015. An investment in land or building, which is not intended to be occupied substantially for use by, or in the operations of the Company, is classified as investment property. Investment properties are stated at cost, net of accumulated depreciation and accumulated impairment losses, if any. The cost includes the cost of replacing parts and borrowing costs for long-term construction projects if the recognition criteria are met. When significant parts of the investment property are required to be replaced at intervals, the Company depreciates them separately based on their specific useful lives. All other repair and maintenance costs are recognized in statement of profit and loss as incurred. Depreciation on building component of investment property is calculated on a straight-line basis using the rate arrived at based on the useful life estimated by the management which is 60 years. Though the Company measures investment property using cost based measurement, the fair value of investment property is disclosed in the notes. Fair values are determined based on an annual evaluation performed by an accredited external independent valuer applying a valuation model recommended by the International Valuation Standards Committee or on the basis of appropriate ready reckoner value based on recent market transactions. Investment properties are derecognised either when they have been disposed of or when they are permanently withdrawn from use and no future economic benefit is expected from their disposal. The difference between the net disposal proceeds and the carrying amount of the asset is recognized in statement of profit and loss in the period of derecognition. Notes to Accounts 31 March 2017 31 March 2016 Rental income arising from investment properties before depreciation 383 167 Less: Depreciation (76) (31) Rental income arising from investment properties 307 136 Investment properties consist of two commercial properties in India. As at 31 March 2017 the fair values of the properties are ` 3,795 lakhs (31 March 2016: ` 2,450 lakhs; 01 April 2015: ` 2,450 lakhs). These valuations are based on valuations performed by Best Mulyankan Consultants Ltd., an accredited independent valuer. Best Mulyankan Consultants Ltd. is a specialist in valuing these types of investment properties. A valuation model in accordance with that recommended by the International Valuation Standards Committee has been applied. The Company has no restrictions on the realisability of its investment properties and no contractual obligations to purchase, construct or develop investment properties or for repairs, maintenance and enhancements. Reconciliation of fair value Consultants Ltd. is a specialist in valuing these types of investment properties. A valuation model in accordance with that recommended by the International Valuation Standards Committee has been applied.

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |492| The Company has no restrictions on the realisability of its investment properties and no contractual obligations to purchase, construct or develop investment properties or for repairs, maintenance and enhancements. Particulars ` in lakhs Opening balance as at 01 April 2015 2,450 Fair value difference - Additions - Closing balance as at 31 March 2016 2,450 Additions (Transfer from property, plant and equipment) 3,795 Deletions (classified as asset held for sale) (2,450) Fair value difference - Closing balance as at 31 March 2017 3,795 The objective of using a valuation technique is to estimate the price at which an orderly transaction to sell the asset or to transfer the liability would take place between market participants at the measurement date under current market conditions. The methodology followed for estimating Fair Value is Land and Building Approach. In this method the underlying land plot is valued independently based on the sales comparison/ market survey of plots listed on the market for sale and improvements on the plot are valued for their depreciated construction cost. In order to maximise use of relevant observable inputs and minimising use of unobservable inputs, Fair Value of the building is considered to be best reflected as a summation of the land value estimated using sales comparison approach and depreciated cost of improvements using the cost approach. 2. ATUL LIMITED CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies Property that is held for long-term rental yields or for capital appreciation or both, and that is not in use by the Company, is classified as investment property. Land held for a currently undetermined future use is also classified as an investment property. Investment property is measured initially at its acquisition cost, including related transaction costs and where applicable borrowing costs. Transition to Ind AS On transition to Ind AS, the Company has elected to continue with the carrying value of all of its investment properties recognised as at April 01, 2015 measured as per IGAAP as the deemed cost of investment properties. Notes to accounts – Notes Below notes to accounts Estimation of fair value The Company obtains independent valuations for its investment properties at least annually. The best evidence of fair value is current prices in an active market for similar properties. Where such information is not available, the Company considers information from a variety of sources including: a) Current prices in an active market for investment properties of different nature or recent prices of similar investment properties in less active markets, adjusted to reflect those differences. b) Discounted cash flow projections based on reliable estimates of future cash flows. c) Capitalised income projections based upon a estimated net market income from investment properties and a capitalisation rate derived from an analysis of market evidence.

|493| Chap. 21 – Ind AS 40 — Investment Property The fair values of investment properties have been determined by reputed third party and independent valuers. The main inputs used are the rental growth rates, expected vacancy rates, terminal yields and discount rates based on comparable transactions and industry data. All resulting fair value estimates for investment properties are included in level 3. 3. BAJAJ AUTO LIMITED CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies Property that is held for long-term rental yields or for capital appreciation or both, and that is not occupied by the Company, is classified as investment property. Investment property is measured initially at its cost, including related transaction costs. Subsequent expenditure is capitalised to the asset’s carrying amount only when it is probable that future economic benefits associated with the expenditure will flow to the Company and the cost of the item can be measured reliably. All other repairs and maintenance costs are expensed when incurred. Depreciation on investment property is provided on a pro rata basis on straight line method over the estimated useful lives. Useful life of assets, as assessed by the Management, corresponds to those prescribed by Schedule II - Part ‘C’. Transition to Ind AS On Transition to Ind AS, the Company has elected to continue with the carrying value of investment property recognized as at 1 April 2015 which in case of the Company, corresponds with carrying costs measured in accordance with Ind AS 40 Investment Properties. Notes to Accounts i) Amounts recognised in profit or loss for investment properties (` in Crore) Particulars For the year ended 31 March 2017 31 March 2016 Rental income 11.42 10.95 Direct operating expenses from property that generated rental income (1.27) (1.28) Direct operating expenses from property that did not generate rental income – – Profit from investment properties before depreciation 10.15 9.67 Depreciation (1.90) (2.57) Profit from investment property 8.25 7.10 ii) Contractual obligations There are no contractual obligations to purchase, construct or develop investment property. iii) Leasing arrangements Certain investment properties are leased out to tenants under operating leases. Disclosure on future rent receivable is included in Note 38. iv) Fair value (` in Crore) Particulars As at 31 March 2017 31 March 2016 1 April 2015 Investment property 195.17 185.81 176.44

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |494| Estimation of fair value The best evidence of fair value is current prices in an active market for similar properties. Since investment properties leased out by the Company are cancellable and non-cancellable leases, the market rate for sale/ purchase of such premises are representative of fair values. Company’s investment properties are at a location where active market is available for similar kind of properties. Hence fair value is ascertained on the basis of market rates prevailing for similar properties in those location determined by an independent registered valuer and consequently classified as a level 2 valuation. 4. BIOCON LIMITED CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies Investment property is property held either to earn rental income or for capital appreciation or for both, but not for sale in the ordinary course of business, use in the production or supply of goods or services or for administrative purposes. Upon initial recognition, an investment property is measured at cost. Subsequent to initial recognition, investment property is measured at cost less accumulated depreciation and accumulated impairment losses, if any. Based on technical evaluation and consequent advice, the management believes a period of 25 years as representing the best estimate of the period over which investment properties (which are quite similar) are expected to be used. Accordingly, the Company depreciates investment properties over a period of 25 years on a straight-line basis. The useful life estimate of 25 years is different from the indicative useful life of relevant type of buildings mentioned in Part C of Schedule II to the Act i.e. 30 years. Any gain or loss on disposal of an investment property is recognised in statement of profit and loss. Disclosure 4. Investment property Gross carrying amount At April 01, 2015 At March 31, 2016 At March 31, 2017 Accumulated depreciation At April 01, 2015 Depreciation for the year At March 31, 2016 Depreciation for the year At March 31, 2017 Net carrying amount At April 01, 2015 At March 31, 2016 At March 31, 2017 During the year, the Company has recognised rental income of ` 20 (March 31, 2016 - ` 20) and depreciation charge of ` 1 (March 31, 2016 - ` 2) in the statement of profit and loss for investment property. The fair value of investment property as at March 31, 2017 is ` 8 (March 31, 2016 - ` 9; April 1, 2015 - ` 11).

|495| Chap. 21 – Ind AS 40 — Investment Property 5. CIPLA LIMITED CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies Property that is held for non-current rental yields or for capital appreciation or both, and that is not occupied by the Company, is classified as investment property. Investment property is measured initially at its cost, including related transaction costs and borrowing costs where applicable. Subsequent expenditure is capitalised to the asset’s carrying amount only when it is probable that future economic benefits associated with the expenditure will flow to the Company and the cost of the item can be measured reliably. All other repairs and maintenance costs are expensed when incurred. When part of an investment property is replaced, the carrying amount of the replaced part is de-recognised. Investment properties are depreciated using the straight-line method over their estimted useful lives. Investment properties generally have a useful life of 25-40 years. The useful life has been determined based on technical evaluation performed by management’s expert. Notes to Accounts – Notes below notes to accounts Estimation of Fair Value The fair valuation of the assets is based on the perception about the macro and micro economic factors presently governing the construction industry, location of property, existing market conditions, degree of development of infrastructure in the area, demand supply conditions, internal amenities, common amenities etc. This value is based on valuations performed by an accredited independent valuer using replacement cost method. The fair value measurement is categorised in level 2 fair value hierarchy. 6. DABUR INDIA LIMITED CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies Properties held to earn rentals or/and for capital appreciation but not for sale in the ordinary course of business, use in the production or supply of goods or services or for administrative purposes are categorized as investment properties. These are measured initially at cost, including transaction costs. Subsequent to initial recognition, investment properties are stated at cost less accumulated depreciation and accumulated impairment loss, if any. The cost shall also include borrowing cost if the recognition criteria are met. Said assets are depreciated on straight line basis based on expected life span of assets which is in accordance with Schedule II of Companies Act, 2013. Significant parts of the property are depreciated separately based on their specific useful lives. Any gain or loss on disposal of investment properties is recognised in profit or loss account. Fair value of investments properties under each category are disclosed in the notes. Fair values are determined based on the evaluation performed by an accredited external independent valuer applying a recognized and accepted valuation model or estimation based on available sources of information from market. Transfers to or from the investment property is made only when there is a change in use and the same is made at the carrying amount of Investment Property. Notes to accounts – Notes Below notes to accounts As at March 31, 2017, the fair values of investment properties are ` 157.24 cr. These valuations are based on valuations performed by accredited independent valuer. Fair Value is based on Market Value approach. The fair value measurement is categoried in level 2 of fair value hierarchy.

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |496| 7. HAVELLS INDIA LIMITED CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies Property that is held for long term rental yields or for capital appreciation or for both, and that is not occupied by the Company, is classified as investment property. Investment property is measured initially at its cost, including related transaction cost and where applicable borrowing costs. Subsequent expenditure is capitalised to assets carrying amount only when it is probable that future economic benefits associated with the expenditure will flow to the Company and the cost of the item can be measured reliably. All other repair and maintenance cost are expensed when incurred. When part of an investment property is replaced, the carrying amount of the replaced part is derecognised. Investment property consist of leasehold land which is amortised on a straight line basis over the unexpired period of their respective lease over 99 years and building which is depreciated using the straight line method over their estimated useful life of 30 years. Notes to accounts – Notes below Notes to Accounts Notes: a) During the year, land and building being a warehouse in Greater Noida, Uttar Pradesh has been given on lease w.e.f May 12, 2016 on long term basis and accordingly gross block and accumulated depreciation has been transferred from the “Property, Plant and Equipment” to “Investment Property”. In the earlier years, the same was recognised as part of “Property Plant and Equipments”. b) The Company has obtained independent valuation for its investment property as at March 31, 2017 and has reviewed the fair valuation based on best evidence of fair value determined using replacement cost of an asset of equivalent utility, depreciation and obsolescence. Fair market value is the amount expressed in terms of money that may reasonably be expected to be exchanged between a willing buyer and a willing seller, with equity or both. The valuation by the valuer assumes that Company shall continue to operate and run the assets to have economic utility. The fair value is on ‘as is where’ basis. All resulting fair value estimates for investment property are included in Level 3. Refer Note 32 (10). c) There are no contractual obligations to purchase,construct or develop investment properties or for repairs, maintenance and enhancements thereof and there are no restriction on remittance of income and proceeds of disposal. d) The investment Property is a leasehold property and realisability of Investment property is subject to terms and conditions as mentioned under the lease deed entered on November 20, 2009 with Greater Noida Industrial Development Authority, District-Gautam Budha Nagar. Disclosures Fair value measurements Set out below, is a comparison by class of the carrying amounts and fair value of the Company’s financial instruments, other than those with carrying amounts that are reasonable approximations of fair values: Investment property valued at cost Carrying Value Fair Value As at March 31, 2017 As at March 31, 2016 As at April 1, 2015 As at March 31, 2017 As at March 31, 2016 As at April 1, 2015 Investment property 55.92 - - 87.13 -

|497| Chap. 21 – Ind AS 40 — Investment Property 8. LARSEN & TOUBRO LIMITED CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies Properties, including those under construction, held to earn rentals and/or capital appreciation are classified as investment property and measured and reported at cost, including transaction costs. For transition to Ind AS, the company has elected to adopt as deemed cost, the carrying value of investment property as per I-GAAP less accumulated depreciation and cumulative impairment as on the transition date of April 1, 2015. In respect of revalued assets, the value as determined by valuers as reduced by accumulated depreciation and cumulative impairment, is taken as cost on transition date. Depreciation is recognised using straight line method so as to write off the cost of the investment property less their residual values over their useful lives specified in Schedule II to the Companies Act, 2013 or in case of assets where the useful life was determined by technical evaluation, over the useful life so determined. Depreciation method is reviewed at each financial year end to reflect the expected pattern of consumption of the future benefits embodied in the investment property. The estimated useful life and residual values are also reviewed at each financial year end and the effect of any change in the estimates of useful life/ residual value is accounted on prospective basis. Freehold land and properties under construction are not depreciated. An investment property is derecognised upon disposal or when the investment property is permanently withdrawn from use and no future economic benefits are expected from the disposal. Any gain or loss arising on derecognision of property is recognised in the Statement of Profit and Loss in the same period. 9. MAHINDRA LIFESPACE DEVELOPERS LIMITED CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies Investment properties are properties held to earn rentals and/or for capital appreciation (including property under construction for such purposes). Investment properties are measured initially at cost, including transaction costs. Subsequent to initial recognition, investment properties are measured in accordance with Ind AS 16’s requirements for cost model. An investment property is derecognised upon disposal or when the investment property is permanently withdrawn from use and no future economic benefits are expected from the disposal. Any gain or loss arising on derecognition of the property (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is included in profit or loss in the period in which the property is derecognised. Notes to accounts – Notes below notes to accounts Fair value disclosure on Company’s investment properties The Company’s investment properties consist of two commercial properties in India, Mahindra Towers at Gurgaon and GE Plaza at Pune. Management determined that the investment properties consist of two classes of assets − office and retail − based on the nature, characteristics and risks of each property. As at 31st March 2017 and 31st March 2016, the fair values of the Mahindra Tower, Delhi have been arrived at on the basis of a valuation carried out as on the respective dates by Gandhi & Associates, independent valuer not related to the Group. Gandhi & Associates are registered with the authority which governs the valuers in India and they have appropriate qualifications and experience in the valuation of properties in the relevant locations. The Fair value was determined using the market comparable approach based on recent market prices without any significant adjustments being made to the market observable data. As at 31st March 2017 and 31st March 2016, the fair values of the GE Plaza, Pune have been arrived at on the basis of a valuation carried out as on the respective dates by Dixit Valuers & Engineers, independent

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |498| valuer not related to the Group. Dixit Valuers & Engineers are registered with the authority which governs the valuers in India and they have appropriate qualifications and experience in the valuation of properties in the relevant locations. The Fair value was determined using the market comparable approach based on recent market prices without any significant adjustments being made to the market observable data. Details of the Company investment’s properties and information about the fair value hierarchy as at 31st March 2017, 31st March 2016 and 1st April 2015 are as follows: Particulars Mahindra Towers, Delhi GE Plaza, Pune Land Buildings Total Land Buildings Total Opening balance as at 1st April, 2015 12,220.88 1,464.76 13,685.63 92.19 195.14 287.32 Fair value difference 271.58 (109.86) 161.72 13.83 (9.46) 4.38 Opening balance as at 1st April, 2016 12,492.45 1,354.90 13,847.35 106.02 185.68 291.70 Fair value difference 543.15 (101.62) 441.53 - 4.44 4.44 Closing balance as at 31st March, 2017 13,035.60 1,253.28 14,288.88 106.02 190.12 296.14 Information regarding income and expenditure of Investment property For the year ended 31st March, 2017 For the year ended 31st March, 2016 Rental income derived from investment properties (included in ‘Revenue from Operations’) 2,018.71 2,018.95 Direct operating expenses (including repairs and maintenance) that generate rental income 16.94 47.12 Direct operating expenses (including repairs and maintenance) that did not generate rental income - 0.79 10. TATA COMMUNICATIONS LIMITED CONSOLIDATED FINANCIAL STATEMENTS Significant Accounting Policies Investment properties comprise of land and buildings that are held for long term lease rental yields and/ or for capital appreciation. Investment properties are initially recognised at cost including transaction costs. Subsequently investment property comprising of building is carried at cost less accumulated depreciation and accumulated impairment losses, if any. Depreciation on building is provided over the estimated useful lives as specified in Schedule II to the Companies Act, 2013. The residual values, estimated useful lives and depreciation method of investment properties are reviewed, and adjusted on prospective basis as appropriate, at each financial year end. The effects of any revision are included in the Statement of Profit and Loss when the changes arise. Though the Company measures investment property using cost based measurement, the fair value of investment property is disclosed in the notes. Investment properties are de-recognised when either they have been disposed of or doesn’t meet the criteria of investment property when the investment property is permanently withdrawn from use and no future economic benefit is expected from its disposal. The difference between the net disposal proceeds and the carrying amount of the asset is recognised in the Statement of Profit and Loss in the period of de-recognition.

|499| Chap. 21 – Ind AS 40 — Investment Property Disclosures Fair value of investment property (` in crores) Particulars 31 March 17 31 March 16 1 April 15 Investment Property 1,051.12 883.84 761.44 Estimation of Fair value The fair value of investment property has been determined by external, independent property valuers, having appropriate recognised professional qualifications and recent experience in the location and category of the property being valued. The best evidence of fair value is current price in an active market for similar properties. Where such information is not available, the Company considers information from a variety of sources including: • Current prices in an active market for properties of different nature or recent prices of similar properties in less active markets, adjusted to reflect those differences. • Capitalised income projections based upon a property’s estimated net market income, and a capitalisation rate derived from an analysis of market evidence ll

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |500| Chapter 22 Ind AS 101 — First-time Adoption of Indian Accounting Standards 1. ATUL LIMITED ACCOUNTING POLICY In preparing these Ind AS Financial Statements, the Group has availed certain exemptions and exceptions in accordance with Ind AS 101 First-time Adoption of Indian Accounting Standards, as explained below. The resulting difference between the carrying values of the assets and liabilities in the Financial Statements as at the transition date under Ind AS and IGAAP have been recognised directly in equity (retained earnings or another appropriate category of equity). This Note explains the adjustments made by the Group in restating its IGAAP Financial Statements, including the Balance Sheet as at April 01, 2015 and the Financial Statements as at and for the year ended March 31, 2016. A) Exemptions and exceptions availed In preparing these Ind AS Financial Statements, the Group has availed certain exemptions and exceptions in accordance with Ind AS 101, as explained below. The resulting difference between the carrying values of the assets and liabilities in the Consolidated Financial Statements as at the transition date under Ind AS and IGAAP have been recognised directly in equity (retained earnings or another appropriate category of equity). This Note explains the adjustments made by the Group in restating its IGAAP Consolidated Financial Statements, including the Balance Sheet as at April 01, 2015 and the Consolidated Financial Statements as at and for the year ended March 31, 2016. a) Ind AS optional exemptions Set out below are the applicable Ind AS 101 optional exemptions and mandatory exceptions applied in the transition from previous IGAAP to Ind AS. i) Business combinations Ind AS 103 ‘Business Combinations’ has not been applied to acquisitions of subsidiary companies or of interests in associate company and joint venture company that occurred before April 01, 2015. The carrying amounts of assets and liabilities in accordance with IGAAP is considered as their deemed cost at the date of acquisition. After the date of the acquisition, measurement is in accordance with Ind AS. The carrying amount of Goodwill in the opening Ind AS Balance Sheet is its carrying amount in accordance with the IGAAP. ii) Cumulative translation differences Ind AS 101 permits cumulative translation gains and losses to be reset to zero at the transition date. This provides relief from determining cumulative currency translation differences in accordance with Ind AS 21 from the date a subsidiary or equity method investee was formed or acquired. The Group elected to reset all cumulative translation gains and losses to zero by transferring it to opening retained earnings at its transition date. iii) Deemed cost Ind AS 101 permits a first-time adopter to elect to continue with the carrying value for all of its property, plant and equipment as recognised in the Financial Statements as at the date of transition to Ind AS, measured under IGAAP and use that as its deemed cost as at the date of transition after making necessary adjustments for de-commissioning liabilities. This exemption can also be used for intangible assets covered

|501| Chap. 22 – Ind AS 101 — First-time Adoption of Indian Accounting Standards by Ind AS 38 ‘Intangible assets’ and Investment properties covered by Ind AS 40 ‘Investment properties’. Accordingly, the Group has elected to measure all of its property, plant and equipment, intangible assets and investment properties under IGAAP carrying value. iv) Designation of previously recognised financial instruments Ind AS 101 allows an entity to designate investments in equity instruments at FVOCI on the basis of the facts and circumstances at the date of transition to Ind AS. The Group has elected to apply this exemption for its investment in Equity shares of companies other than those stated in (v) below. v) Long-term foreign currency monetary items Ind AS 101 provides an exemption to continue the Accounting Policy option of recognising the exchange difference on translation of such long-term foreign currency items under IGAAP, para 46A of AS 11 ‘The Effects of Changes in Foreign Exchange Rates’, provided an alternative accounting treatment to companies with respect to exchange differences arising on restatement of long-term foreign currency monetary items. Exchange differences on account of depreciable assets can be added/deducted from the cost of the depreciable asset, which will be depreciated over the balance life of the asset, can be continued under Ind AS for items outstanding as on March 31, 2016. The Group has opted to apply this exemption. vi) Joint ventures Ind AS 101 provides an exemption for changing from proportionate consolidation to the equity method. As per the exemption, when changing from proportionate consolidation to the equity method, an entity shall recognise its investment in the joint venture company at transition date to Ind AS. That initial investment shall be measured as the aggregate of the carrying amounts of the assets and liabilities that the entity had previously proportionately consolidated, including any goodwill arising from acquisition. The balance of the investment in joint venture company at the date of transition to Ind AS, determined in accordance with the above, is regarded as the deemed cost of the investment at initial recognition. The Group has elected to apply this exemption for its joint venture company. b) Ind AS mandatory exceptions The Group has applied the following exceptions from full retrospective application of Ind AS as mandatorily required under Ind AS 101: i) Hedge accounting Hedge accounting can only be applied prospectively from the transition date to transactions that satisfy the hedge accounting criteria in Ind AS 109 at that date. Hedging relationships cannot be designated retrospectively, and the supporting documentation cannot be created retrospectively. As a result, only hedging relationships that satisfied the hedge accounting criteria as of April 01, 2015 are reflected as hedges in the results of the Group under Ind AS. The Group had designated various hedging relationships as cash flows hedges under IGAAP. On date of transition to Ind AS, the entity had assessed that all the designated hedging relationships for hedge accounting as per Ind AS 109. Consequently, the Group continues to apply hedge accounting on and after the date of transition to Ind AS. ii) Estimates Estimates in accordance with Ind AS at the transition date will be consistent with estimates made for the same date in accordance with IGAAP (after adjustments to reflect any difference in Accounting Policies) unless there is objective evidence that those estimates were in error. Ind AS estimates as at April 01, 2015 are consistent with the estimates as at the same date made in conformity with IGAAP. The Group made estimates for following items in accordance with Ind AS at the date of transition as these were not required under IGAAP: 1) Investment in equity instruments carried at FVPL or FVOCI; 2) Impairment of financial assets based on expected credit loss model.

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |502| iii) Non-controlling interests Ind AS 110 requires entities to attribute the profit or loss and each component of Other Comprehensive Income to the owners of the parent and to the non-controlling interests. This requirement needs to be followed even if this results in the non-controlling interests having a deficit balance. Ind AS 101 requires the above requirement to be applied prospectively from the date of transition. Consequently, the Group has applied the above requirement prospectively. iv) Classification and measurement of financial assets Ind AS 101 requires an entity to assess classification and measurement of financial assets on the basis of the facts and circumstances that exist at the date of transition to Ind AS. (` in crore) Particulars Note to first time adoption As at March 31, 2016 As at April 01, 2015 Regrouped IGAAP* Adjustments Ind AS Regrouped IGAAP* Adjustments Ind AS ASSETS Non-current assets Property, plant and equipment a, g, p, q 750.44 (0.96) 749.48 514.21 (3.03) 511.18 Capital work-in-progress q 180.68 (0.24) 180.44 112.05 (0.11) 111.94 Investment properties a – 3.22 3.22 – 3.22 3.22 Other intangible assets 0.12 – 0.12 0.22 – 0.22 Biological assets other than bearer plants n – 8.20 8.20 – 7.24 7.24 Investments accounted for using the equity method I, q – 32.43 32.43 – 28.67 28.67 Financial assets i) Investments b, p 60.79 283.43 344.22 62.60 320.13 382.73 ii) Loans l 14.92 (5.52) 9.40 14.88 (7.00) 7.88 iii) Other financial assets 3.14 – 3.14 6.12 – 6.12 Income tax assets (net) p 4.29 0.07 4.36 1.51 0.06 1.57 Deferred tax assets d, p, q – 13.54 13.54 – 12.83 12.83 Other non-current assets p 71.74 0.01 71.75 71.57 0.01 71.58 Total non-current assets 1,086.12 334.18 1,420.30 783.16 362.02 1,145.18 Current assets Inventories n, p, q 434.87 (7.09) 427.78 415.30 (3.79) 411.51 Biological assets n – 0.29 0.29 – – – Financial assets i) Investments p 1.87 0.18 2.05 2.66 – 2.66 ii) Trade receivables p, q 446.39 (5.00) 441.39 444.42 (5.26) 439.16 iii) Cash and cash equivalents p, q 19.34 (1.27) 18.07 33.73 (2.74) 30.99 iv) Bank balances other than cash and cash equivalents above p 3.93 0.01 3.94 3.27 0.35 3.62 vi) Other financial assets p, q 18.94 (4.98) 13.96 14.41 0.67 15.08 Other current assets m, p, q 130.34 20.89 151.23 126.12 5.48 131.60 Total current assets 1,055.68 3.03 1,058.71 1,039.91 (5.29) 1,034.62 Total assets 2,141.80 337.21 2,479.01 1,823.07 356.73 2,179.80 EQUITY AND LIABILITIES Equity Equity share capital 29.68 – 29.68 29.68 – 29.68 Other equity b, c, d, f, l, n, o, p, q 1,245.04 340.07 1,585.11 1,009.31 360.29 1,369.60

|503| Chap. 22 – Ind AS 101 — First-time Adoption of Indian Accounting Standards (` in crore) Particulars Note to first time adoption As at March 31, 2016 As at April 01, 2015 Regrouped IGAAP* Adjustments Ind AS Regrouped IGAAP* Adjustments Ind AS Equity attributable to owners of the Company 1,274.72 340.07 1,614.79 1,038.99 360.29 1,399.28 Non-controlling interests n 5.62 (3.17) 2.45 5.68 (3.16) 2.52 Total equity 1,280.34 336.90 1,617.24 1,044.67 357.13 1,401.80 ` in crore) Particulars Note to first time adoption As at March 31, 2016 As at April 01, 2015 Regrouped IGAAP* Adjustments Ind AS Regrouped IGAAP* Adjustments Ind AS LIABILITIES Non-current liabilities Financial liabilities i) Borrowings 23.35 – 23.35 57.46 – 57.46 ii) Other financial liabilities 24.51 – 24.51 20.14 – 20.14 Provisions 17.31 – 17.31 15.91 – 15.91 Deferred tax liabilities d 68.60 10.75 79.35 46.09 10.66 56.75 Other non-current liabilities f – 11.05 11.05 – 12.46 12.46 Total non-current liabilities 133.77 21.80 155.57 139.60 23.12 162.72 Current liabilities Financial liabilities i) Borrowings m, q 252.92 3.45 256.37 174.93 – 174.93 ii) Trade payables p, q 318.73 (3.61) 315.12 281.05 (2.84) 278.21 iii) Other financial liabilities q 65.37 0.51 65.88 86.96 0.38 87.34 Other current liabilities p, q 78.44 (17.73) 60.71 81.65 (20.65) 61.00 Provisions p, q 11.64 (4.11) 7.53 8.27 (0.41) 7.86 Current tax liabilities (net) 0.59 – 0.59 5.94 – 5.94 Total current liabilities 727.69 (21.49) 706.20 638.80 (23.52) 615.28 Total liabilities 861.46 0.31 861.77 778.40 (0.40) 778.00 Total equity and liabilities 2,141.80 337.21 2,479.01 1,823.07 356.73 2,179.80 * The IGAAP figures have been reclassified to conform to Ind AS presentation requirements for the purposes of this note. b) Reconciliation of Total Comprehensive Income for the year ended March 31, 2016 ` in crore) Particulars Note to firsttime adoption Regrouped IGAAP* Adjustments Ind AS Revenue from operations e, i, p ,q 2,608.13 146.88 2,755.01 Revenue from operations e, i, p ,q 2,608.13 146.88 2,755.01 Other income g,l,n,p,q 24.02 10.38 34.40 Total income 2,632.15 157.26 2,789.41 Expenses Cost of materials consumed n, o, q 1,324.95 (1.01) 1,323.94 Purchase of stock-in-trade p 24.89 (1.44) 23.45 Changes in inventories of finished goods, stock-in-trade and workin-progress n, p, q (23.79) 3.09 (20.70) Excise duty e, o, q (1.22) 161.64 160.42 Employee benefit expenses h, p 184.66 6.25 190.91

Mandatory Accounting Standards (Ind AS) — Extracts from Published Accounts |504| ` in crore) Particulars Note to firsttime adoption Regrouped IGAAP* Adjustments Ind AS Finance costs q 27.22 0.31 27.53 Depreciation and amortisation expenses g, o, q 65.79 0.28 66.07 Other expenses i, o, p, q 628.75 (10.99) 617.76 Tax expense Current tax h, p, q 109.11 1.08 108.03 Deferred tax d, p, q 22.51 0.32 22.19 Total tax expense 131.62 1.40 130.22 Profit for the year 269.32 (2.27) 274.27 Other Comprehensive Income b, h, k – 31.53 (31.53) Total Comprehensive Income for the year 269.32 29.26 242.74 C) Notes to the reconciliations a) Investment property Under IGAAP, there was no requirement to present investment property separately, and the same was included under non-current investment and measured at cost less provision for diminution other than temporary. Under Ind AS, investment property is required to be presented separately on the face of the Balance Sheet. Accordingly, the carrying value of investment property under IGAAP has been reclassified to a separate line item on the face of the Balance Sheet. b) Fair valuation of investments Under IGAAP, investments in equity instruments and mutual funds were classified as long-term investments or current investments based on the intended holding period and realisability. Long-term investments were carried at cost less provision for other than temporary decline in the value of such investments. Current investments were carried at lower of cost and fair value. Under Ind AS, Fair value changes with respect to investments in equity instruments designated as at FVOCI have been recognised in FVOCI – Equity investments reserve as at the date of transition and subsequently in the Other Comprehensive Income. This increased other reserves by ` 287.52 crore as at March 31, 2016 (April 01, 2015: ` 325.89 crore). c) Proposed dividend Under IGAAP, dividends proposed by the Board of Directors after the Balance Sheet date, but before the approval of the Financial Statements were considered as adjusting events. Accordingly, provision for proposed dividend was recognised as a liability. Under Ind AS, such dividends are recognised when the same is approved by the Shareholders in the General Meeting. Accordingly, the liability for proposed dividend (including dividend distribution tax) of ` 35.70 cr as at March 31, 2016 (April 01, 2015: ` 30.35 crore) included under provisions has been reversed with corresponding adjustment to retained earnings. Consequently, the total equity increased by an equivalent amount. d) Deferred tax Under IGAAP, deferred tax accounting was done using the income statement approach which focuses on differences between taxable profit and accounting profit for the period. Ind AS requires entities to account for deferred taxes using the Balance Sheet approach which focuses on temporary differences between the carrying amount of an asset or liability in the Balance Sheet and its tax base. The application of Ind AS 12 approach has resulted in recognition of deferred taxes on temporary differences which were not required to be recorded under IGAAP. In addition, the various transitional adjustments have led to consequential deferred tax implication which the Group has accounted for. Deferred tax adjustments are recognised in correlation to the underlying transaction either in retained earnings or Other Comprehensive Income on the date of transition.