PGHH_AR_2020

Notes to Financial Statements for the year ended June 30, 2020 Annual Report 2019-20 120 Procter & Gamble Hygiene and Health Care Limited The table below analyse financial liabilities of the Company into relevant maturity groupings based on the reporting period from the reporting date to the contractual maturity date: Less than 1 Year Between 1 to 5 Years Over 5 years Total Carrying Value ` in lakhs ` in lakhs ` in lakhs ` in lakhs ` in lakhs At June 30, 2020 Trade Payables 53 133 ---- ---- 53 133 53 133 Other financial liabilities 2 353 147 ---- 2 500 2 500 Provisions 500 7 402 ---- 7 902 7 902 Other Current Liabilities 2 180 ---- ---- 2 180 2 180 At June 30, 2019 Trade Payables 54 849 ---- ---- 54 849 54 849 Other financial liabilities 4 645 ---- ---- 4 645 4 645 Provisions 536 6 550 ---- 7 086 7 086 Other Current Liabilities 2 963 ---- ---- 2 963 2 963 30.9 Fair value measurements The carrying amount of financial assets and financial liabilities measured at amortised cost in the financial statements are a reasonable approximation of their fair values since the Company does not anticipate that the carrying amounts would be significantly different from the values that would eventually be received or settled. 31 Share-based payments a) International Stock Ownership Plan (Stocks of the Ultimate Holding Company) The Procter and Gamble Company, USA has an “International Stock Ownership Plan” (employee share purchase plan) whereby specified employees of its subsidiaries have been given a right to purchase shares of the Ultimate Holding Company i.e. The Procter and Gamble Company, USA. Every employee who opts for the scheme contributes by way of payroll deduction up to a specified percentage (upto 15%) of base salary towards purchase of shares on a monthly basis. The Company contributes 50% of employee’s contribution (restricted to 2.5% of his base salary). Such contribution is charged under employee benefits expense. The shares of The Procter & Gamble Company, USA are listed with New York Stock Exchange and are purchased on behalf of the employees at market price on the date of purchase. During the year ended June 30, 2020, 6 205.58 (June 30, 2019: 6 384.23) shares were purchased by employees at weighted average fair value of ` 7 936.70 (June 30, 2019: ` 6 490.09) per share. The Company’s contribution during the year on such purchase of shares amounting to ` 125 Lakhs (June 30, 2019: ` 109 Lakhs) has been charged under employee benefits expense under Note 23. b) Employees Stock Options Plan (Stocks of the Ultimate Holding Company) The Procter & Gamble Company, USA has an “Employee Stock Option Plan” whereby specified employees of its subsidiaries covered by the plan are granted an option to purchase shares of the Ultimate Holding Company i.e. The Procter & Gamble Company, USA at a fixed price (grant price) for a fixed year of time. The shares of The Procter & Gamble Company, USA are listed with New York Stock Exchange. The Options Exercise price equal to the market price of the underlying shares on the date of the grant. The Grants issued are vested after 3 years and have a 5/10 years life cycle.