75th Founding Day Lecture Meeting on “India@2030” Know More

March 2012

Disclosure regarding support/comfort letters given for subsidiaries.

By Himanshu V. Kishnadwala
Chartered Accountant
Reading Time 1 mins
fiogf49gjkf0d
Tata Communications Ltd. (31-3-2011)

From Notes to Accounts

Note 4: As on 31 March 2011, the Comfort for the credit facility agreement in respect of various subsidiaries:

The Company has undertaken to the lenders of TCTSL and TCIPL that it shall retain full management control so long as amounts are due to the lenders.

Note 5: The Company has issued a support letter to Tata Communications International Pte. Limited (TCIPL), regarding providing financial support enabling, in turn, TCIPL to issue such support letter to certain subsidiaries having negative net worth as at 31 March 2011 aggregating Rs.1,245.71 crore (2010: Rs.1,508.41 crores) in various geographies in order that they may continue to be accounted for as going concern.

The letters of comfort/support mentioned in 4 and 5 above have been provided in the ordinary course of business and no liability on the Company is expected to materialise in these respect.

Download PDF

You May Also Like

A.P. (DIR Series) Circular No. 132, dated 8-6-2012 — Money Transfer Service Scheme.

Company Law Forms changing where new Schedule VI is applicable.