EXHIBIT 99.12

AUDITORS’ REPORT TO THE MEMBERS OF INFOSYS TECHNOLOGIES LIMITED

We have audited the attached Balance Sheet of Infosys Technologies Limited (the Company) as at 31 December 2005, the profit and loss account for the quarter and nine months ended on that date and the cash flow statement for the nine months ended on that date, annexed thereto. These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on these financial statements based on our audit.

We conducted our audit in accordance with auditing standards generally accepted in India. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

We report that:

(a)	we have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit;
(b)	in our opinion, proper books of account have been kept by the Company so far as appears from our examination of those books;
(c)	the Balance Sheet, the Profit and Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books of account;
(d)	in our opinion, the Balance Sheet, the Profit and Loss Account and the Cash Flow Statement dealt with by this report comply with the Accounting Standards issued by the Institute of Chartered Accountants of India, to the extent applicable; and
(e)	in our opinion and to the best of our information and according to the explanations given to us, the said accounts give a true and fair view in conformity with the accounting principles generally accepted in India:

(i)	in the case of the Balance Sheet, of the state of affairs of the Company as at 31 December 2005;
(ii)	in the case of the Profit and Loss Account, of the profit of the Company for the quarter and nine months ended on that date; and
(iii)	in the case of the Cash Flow Statement, of the cash flows of the Company for the nine months ended on that date.

for BSR & Co
Chartered Accountants

Subramanian Suresh
Partner
Membership No. 83673

Bangalore
11 January 2006

INFOSYS TECHNOLOGIES LIMITED

in Rs. crore
Balance Sheet as at	Schedule	December 31, 2005		March 31, 2005
SOURCES OF FUNDS
SHAREHOLDERS’ FUNDS
Share capital	1		137		135
Reserves and surplus	2		7,113		5,107
			7,250		5,242
APPLICATION OF FUNDS
FIXED ASSETS	3
Original cost			2,825		2,183
Less: Depreciation and amortization			1,265		1,006
Net book value			1,560		1,177
Add: Capital work-in-progress			444		318
			2,004		1,495
INVESTMENTS	4		2,309		1,329
DEFERRED TAX ASSETS	5		46		34
CURRENT ASSETS, LOANS AND ADVANCES
Sundry debtors	6		1,314		1,253
Cash and bank balances	7		1,570		1,481
Loans and advances	8		1,451		995
			4,335		3,729
LESS: CURRENT LIABILITIES AND PROVISIONS
Current liabilities	9		727		577
Provisions	10		717		768
NET CURRENT ASSETS			2,891		2,384
			7,250		5,242
SIGNIFICANT ACCOUNTING POLICIES AND NOTES ON ACCOUNTS	22

The schedules referred to above are an integral part of the balance sheet.

As per our report attached

for BSR & Co.
Chartered Accountants

Subramanian Suresh	N. R. Narayana Murthy	Nandan M. Nilekani	S. Gopalakrishnan	Deepak M. Satwalekar
Partner	Chairman	Chief Executive Officer,	Chief Operating Officer	Director
Membership No. 83673	and Chief Mentor	President and Managing	and Deputy Managing
		Director	Director
	Marti G. Subrahmanyam	Omkar Goswami	Larry Pressler	Rama Bijapurkar
	Director	Director	Director	Director
	Claude Smadja	Sridar A. Iyengar	David L. Boyles	K. Dinesh
	Director	Director	Director	Director
	S. D. Shibulal	T. V. Mohandas Pai	Srinath Batni	V. Balakrishnan
Bangalore	Director	Director and	Director	Company Secretary and
January 11, 2006		Chief Financial Officer		Senior Vice President – Finance

1

INFOSYS TECHNOLOGIES LIMITED

in Rs. crore, except per share data
			Quarter ended					Nine months ended
	Schedule		December 31,					December 31,
Profit and Loss Account for the		2005			2004		2005		2004
Income from software services and products			2,398			1,798		6,535		4,960
Software development expenses	11		1,276			960		3,508		2,662
GROSS PROFIT			1,122			838		3,027		2,298
Selling and marketing expenses	12		129			101		374		292
General and administration expenses	13		160			126		469		344
			289			227		843		636
OPERATING PROFIT BEFORE INTEREST, DEPRECIATION AND AMORTIZATION			833			611		2,184		1,662
Interest			—			—		—		—
Depreciation and amortization			109			69		274		175
OPERATING PROFIT AFTER INTEREST, DEPRECIATION AND AMORTIZATION			724			542		1,910		1,487
Other income, net	14		(2	)		47		73		95
Provision for investments			—			—		—		—
NET PROFIT BEFORE TAX			722			589		1,983		1,582
Provision for taxation	15		80			93		226		237
NET PROFIT AFTER TAX			642			496		1,757		1,345
Balance Brought Forward			2,341			764		1,428		71
Less: Residual dividend paid			—			—		—		3
Additional dividend tax			—			—		—		2
			2,341			764		1,428		66
AMOUNT AVAILABLE FOR APPROPRIATION			2,983			1,260		3,185		1,411
Dividend
Interim			—			—		177		134
Final			—			—		—		—
Total dividend			—			—		177		134
Dividend tax			—			—		25		17
Balance in profit and loss account			2,983			1,260		2,983		1,260
			2,983			1,260		3,185		1,411
EARNINGS PER SHARE *
Equity shares of par value Rs. 5/- each
Basic			23.43			18.45		64.53		50.22
Diluted			22.78			17.90		62.70		49.14
Number of shares used in computing earnings per share
Basic			27,37,71,476			26,87,73,742		27,22,89,379		26,78,62,078
Diluted			28,16,04,953			27,71,10,460		28,02,43,496		27,37,70,692
SIGNIFICANT ACCOUNTING POLICIES AND NOTES ON ACCOUNTS	22

* refer to note 22.2.20

The schedules referred to above are an integral part of the profit and loss account.

As per our report attached

for BSR & Co.
Chartered Accountants

Subramanian Suresh	N. R. Narayana Murthy	Nandan M. Nilekani	S. Gopalakrishnan	Deepak M. Satwalekar
Partner	Chairman	Chief Executive Officer,	Chief Operating Officer	Director
Membership No. 83673	and Chief Mentor	President and Managing	and Deputy Managing
		Director	Director
	Marti G. Subrahmanyam	Omkar Goswami	Larry Pressler	Rama Bijapurkar
	Director	Director	Director	Director
	Claude Smadja	Sridar A. Iyengar	David L. Boyles	K. Dinesh
	Director	Director	Director	Director
	S. D. Shibulal	T. V. Mohandas Pai	Srinath Batni	V. Balakrishnan
Bangalore	Director	Director and	Director	Company Secretary and
January 11, 2006		Chief Financial Officer		Senior Vice President – Finance

2

INFOSYS TECHNOLOGIES LIMITED

in Rs. crore
		Nine months ended
		December 31,
Cash Flow Statement for the	Schedule	2005			2004
CASH FLOWS FROM OPERATING ACTIVITIES
Net profit before tax			1,983			1,582
Adjustments to reconcile net profit before tax to cash provided by operating activities
(Profit)/ loss on sale of fixed assets			—			—
Depreciation and amortization			274			175
Interest and dividend income			(127	)		(75	)
Provision for investments			—			—
Effect of exchange differences on translation of foreign currency cash and cash equivalents			1			(8	)
Changes in current assets and liabilities
Sundry debtors			(61	)		(350	)
Loans and advances	16		(56	)		(96	)
Current liabilities and provisions	17		139			30
Income taxes paid during the period	18		(253	)		(185	)
NET CASH GENERATED BY OPERATING ACTIVITIES			1,900			1,073
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of fixed assets and change in capital work-in-progress	19		(783	)		(559	)
Proceeds on disposal of fixed assets			—			—
Investment in subsidiaries (refer to note 22.2.16)			(22	)		—
Investments in securities	20		(958	)		(151	)
Interest and dividend income			127			75
NET CASH USED IN INVESTING ACTIVITIES			(1,636	)		(635	)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issuance of share capital on exercise of stock options			453			301
Dividends paid during the period			(353	)		(1,020	)
Dividend Tax paid during the period			(50	)		—
NET CASH USED IN FINANCING ACTIVITIES			50			(719	)
Effect of exchange differences on translation of foreign currency cash and cash equivalents			(1	)		8
NET (DECREASE)/INCREASE IN CASH AND CASH EQUIVALENTS			313			(273	)
CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE PERIOD			1,683			1,839
CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD	21		1,996			1,566
SIGNIFICANT ACCOUNTING POLICIES AND NOTES ON ACCOUNTS	22

The schedules referred to above are an integral part of the cash flow statement.

As per our report attached

for BSR & Co.
Chartered Accountants

Subramanian Suresh	N. R. Narayana Murthy	Nandan M. Nilekani	S. Gopalakrishnan	Deepak M. Satwalekar
Partner	Chairman	Chief Executive Officer,	Chief Operating Officer	Director
Membership No. 83673	and Chief Mentor	President and Managing	and Deputy Managing
		Director	Director
	Marti G. Subrahmanyam	Omkar Goswami	Larry Pressler	Rama Bijapurkar
	Director	Director	Director	Director
	Claude Smadja	Sridar A. Iyengar	David L. Boyles	K. Dinesh
	Director	Director	Director	Director
	S. D. Shibulal	T. V. Mohandas Pai	Srinath Batni	V. Balakrishnan
Bangalore	Director	Director and	Director	Company Secretary and
January 11, 2006		Chief Financial Officer		Senior Vice President – Finance

3

INFOSYS TECHNOLOGIES LIMITED

in Rs. crore, except as otherwise stated
Schedules to the Balance Sheet as at	December 31, 2005		March 31, 2005
1 SHARE CAPITAL
Authorized
Equity shares, Rs. 5/- par value
30,00,00,000 (30,00,00,000) equity shares		150		150
Issued, Subscribed and Paid Up
Equity shares, Rs. 5/- par value*
27,45,25,163 ( 27,05,70,549) equity shares fully paid up		137		135
[Of the above, 25,84,92,302 ( 25,84,92,302) equity shares, fully paid up have been issued as bonus shares by capitalization of the general reserve]
		137		135
Forfeited shares amounted to Rs. 1,500/- (Rs. 1,500/-)
* For details of options in respect of equity shares, refer to note 22.2.11
* also refer to note 22.2.20 for details of basic and diluted shares
2 RESERVES AND SURPLUS
Capital reserve		6		6
Share premium account — As at April 1,		900		461
Add: Receipts on exercise of stock options issued to employees		451		439
		1,351		900
General reserve — As at April 1,		2,773		2,683
Less: Capitalized for issue of bonus shares		—		100
Add: Transferred from the Profit and Loss Account		—		190
		2,773		2,773
Balance in Profit and Loss Account		2,983		1,428
		7,113		5,107

4

INFOSYS TECHNOLOGIES LIMITED

Schedules to the Balance Sheet

3 FIXED ASSETS in Rs. crore except as otherwise stated

Particulars	Original cost								Depreciation and amortization								Net book value
							As at								As at		As at
	As at				Deductions/		December 31,		As at		For the		Deductions/		December 31,		December 31,		As at
	April 1, 2005		Additions		Retirement		2005		April 1, 2005		period		Retirement		2005		2005		March 31, 2005
Land : free-hold		30		—		—		30		—		—		—		—		30		30
leasehold		90		11		—		101		—		—		—		—		101		90
Buildings*		731		264		—		995		119		44		—		163		832		612
Plant and machinery*		389		154		—		543		216		65		—		281		262		173
Computer equipment*		574		149		7		716		427		113		7		533		183		147
Furniture and fixtures*		326		79		8		397		202		52		8		246		151		124
Vehicles		1		—		—		1		—		—		—		—		1		1
Intangible assets Intellectual property rights		42		—		—		42		42		—		—		42		—		—
		2,183		657		15		2,825		1,006		274		15		1,265		1,560		1,177
Previous year		1,570		687		74		2,183		804		268		66		1,006		1,177

Note: Buildings include Rs. 250/- being the value of 5 shares of Rs. 50/- each in Mittal Towers Premises Co-operative Society Limited.

* includes certain assets provided on operating lease to Progeon Limited, a subsidiary company. Please refer to note 22.2.6 for details

5

INFOSYS TECHNOLOGIES LIMITED

			in Rs. crore
Schedules to the Balance Sheet as at	December 31, 2005		March 31, 2005
4 INVESTMENTS
Trade (unquoted) – at cost
Long- term investments
In subsidiaries
Progeon Limited, India. 2,44,99,993 (2,44,99,993) equity shares of Rs. 10/- each, fully paid		25		25
Infosys Technologies (Shanghai) Co. Limited, China		23		23
Infosys Technologies (Australia) Pty Limited, Australia 1,01,08,869 (1,01,08,869) equity shares of A $0.11 par value, fully paid		66		66
Infosys Consulting, Inc. USA 1,50,00,000 (1,00,00,000) common stock of US $1.00 par value, fully paid		67		45
		181		159
In other investments*		16		16
Less: Provision for investments		14		14
		2		2
Non-trade (unquoted), current investments, at the lower of cost and fair value
Liquid mutual funds *		2,126		1,168
		2,309		1,329
Aggregate amount of unquoted investments		2,309		1,329

* refer to note 22.2.16 for details of investments

5 DEFERRED TAX ASSETS
Fixed assets	45	31
Sundry debtors	1	3
	46	34
6 SUNDRY DEBTORS
Debts outstanding for a period exceeding six months
Unsecured
considered doubtful	10	11
Other debts
Unsecured
considered good (including dues from subsidiary companies)*	1,314	1,253
considered doubtful	1	8
	1,325	1,272
Less: Provision for doubtful debts	11	19
	1,314	1,253

* For details of dues from subsidiary companies, refer to note 22.2.7	—	—
Includes dues from companies where directors are interested	—	—
7 CASH AND BANK BALANCES
Cash on hand	—	—
Balances with scheduled banks in Indian Rupees
In current accounts *	80	78
In deposit accounts	1,234	1,213
Balances with non-scheduled banks in foreign currency **
In current accounts	256	190
	1,570	1,481
*includes balance in unclaimed dividend account	4	3
**refer to note 22.2.13 for details of balances in non-scheduled banks

6

INFOSYS TECHNOLOGIES LIMITED

			in Rs. crore
Schedules to the Balance Sheet as at	December 31, 2005		March 31, 2005
8 LOANS AND ADVANCES
Unsecured, considered good
Loans to subsidiary (refer to note 22.2.7)		9		—
Advances
prepaid expenses		16		33
for supply of goods and rendering of services		10		2
advance to gratuity trust		27		—
others *		5		11
		67		46
Unbilled revenues		150		139
Advance income tax		579		403
Loans and advances to employees **
housing and other loans		49		58
salary advances		49		41
Electricity and other deposits		16		16
Rental deposits		12		14
Deposits with financial institutions and body corporate		529		268
Mark to Market on options/ due on forward contracts		—		10
		1,451		995
Unsecured, considered doubtful
Loans and advances to employees		—		—
		1,451		995
Less: Provision for doubtful loans and advances to employees		—		—
		1,451		995
* includes advances to subsidiary company, refer to note 22.2.7		5		2
** includes dues by non-director officers of the company		—		—
Maximum amounts due by non-director officers at any time during the period/year		—		—
9 CURRENT LIABILITIES
Sundry creditors
goods and services *		—		1
accrued salaries and benefits
salaries		4		11
bonus and incentives		155		182
unavailed leave		65		61
for other liabilities
provision for expenses		163		118
retention monies		13		15
withholding and other taxes payable		90		51
for purchase of intellectual property rights		20		19
others		3		4
		513		462
Advances received from clients		12		29
Unearned revenue		187		83
Mark to Market on options/ due on forward contracts		11		—
Unclaimed dividend		4		3
		727		577
* Of which, dues to subsidiary companies, refer to note 22.2.7		—		1
10 PROVISIONS
Proposed dividend		—		176
Provision for
tax on dividend		—		25
income taxes *		707		546
post-sales client support and warranties		10		21
		717		768
* refer to note 22.2.12

7

INFOSYS TECHNOLOGIES LIMITED

										in Rs. crore
	Quarter ended						Nine months ended
	December 31,						December 31,
Schedules to Profit and Loss Account for the	2005			2004			2005			2004
11 SOFTWARE DEVELOPMENT EXPENSES
Salaries and bonus including overseas staff expenses		987			733			2,632			1,990
Overseas group health insurance		12			9			36			24
Contribution to provident and other funds		22			20			62			55
Staff welfare		9			7			20			14
Technical sub-contractors — subsidiaries		92			64			266			186
Technical sub-contractors — others		29			30			83			68
Overseas travel expenses		60			44			172			142
Visa charges and others		7			5			53			25
Software packages
for own use		34			31			98			78
for service delivery to clients		6			4			25			13
Communication expenses		10			10			35			29
Computer maintenance		7			4			14			11
Consumables		4			3			12			9
Rent		3			2			9			5
Provision for post-sales client support and warranties		(6	)		(6	)		(9	)		13
		1,276			960			3,508			2,662
12 SELLING AND MARKETING EXPENSES
Salaries and bonus including overseas staff expenses		74			58			210			169
Overseas group health insurance		1			1			3			2
Contribution to provident and other funds		—			1			1			1
Staff welfare		—			—			1			—
Overseas travel expenses		14			11			42			33
Visa charges and others		2			1			7			4
Traveling and conveyance		1			4			2			8
Commission charges		10			7			27			15
Brand building		14			8			36			25
Professional charges		5			5			19			13
Rent		3			3			10			8
Marketing expenses		3			1			9			8
Telephone charges		2			1			4			3
Communication expenses		—			—			—			—
Printing and stationery		—			—			1			1
Advertisements		—			—			1			1
Office maintenance		—			—			—			—
Sales promotion expenses		—			—			1			1
Consumables		—			—			—			—
Software packages
for own use		—			—			—			—
Insurance charges		—			—			—			—
Rates and taxes		—			—			—			—
		129			101			374			292

8

INFOSYS TECHNOLOGIES LIMITED

									in Rs. crore
	Quarter ended					Nine months ended
	December 31,					December 31,
Schedules to Profit and Loss Account for the	2005			2004		2005			2004
13 GENERAL AND ADMINISTRATION EXPENSES
Salaries and bonus including overseas staff expenses		33			26		90			66
Overseas group health insurance		—			—		1			1
Contribution to provident and other funds		2			2		5			5
Professional charges		25			17		65			41
Telephone charges		18			10		54			30
Power and fuel		16			10		45			29
Traveling and conveyance		17			8		45			25
Overseas travel expenses		3			2		9			5
Visa charges and others		1			—		3			1
Office maintenance		19			10		47			28
Guest house maintenance*		—			—		1			1
Insurance charges		5			7		16			21
Printing and stationery		2			2		7			5
Donations		4			8		13			17
Rent		2			3		7			12
Advertisements		3			3		10			7
Repairs to building		3			4		11			8
Repairs to plant and machinery		3			2		8			5
Rates and taxes		3			2		7			6
Professional membership and seminar participation fees		2			1		6			4
Postage and courier		1			1		4			4
Books and periodicals		1			1		3			2
Provision for bad and doubtful debts		(4	)		6		6			17
Provision for doubtful loans and advances		—			—		—			—
Commission to non-whole time directors		—			—		1			1
Freight charges		—			—		1			1
Bank charges and commission		—			—		1			1
Research grants		—			—		1			—
Auditor’s remuneration
statutory audit fees		—			—		—			—
certification charges		—			—		—			—
others		—			—		—			—
out-of-pocket expenses		—			—		—			—
Miscellaneous expenses (refer to note 22.2.15)		1			1		2			1
		160			126		469			344
*for non-training purposes
14 OTHER INCOME
Interest received on deposits with banks and others*		25			16		73			49
Dividend received on investment in liquid mutual funds (non- trade unquoted)		24			9		54			26
Miscellaneous income (refer to note 22.2.15)		4			2		10			6
Exchange differences		(55	)		20		(64	)		14
		(2	)		47		73			95
*Tax deducted at source		4			2		14			9
15 PROVISION FOR TAXATION
Income taxes*		86			93		238			237
Deferred taxes		(6	)		—		(12	)		—
		80			93		226			237
* refer to note 22.2.12

9

INFOSYS TECHNOLOGIES LIMITED

				in Rs. crore
	Nine months ended
	December 31,
Schedules to Cash Flow Statements for the	2005			2004
16 CHANGE IN LOANS AND ADVANCES
As per the Balance Sheet *		1,451			920
Less: Deposits with financial institutions and body corporate, included in cash and cash equivalents		(426	)		(201	)
Advance income taxes separately considered		(579	)		(341	)
		446			378
Less: Opening balance considered		(390	)		(282	)
		56			96
* includes loans to subsidiary
17 CHANGE IN CURRENT LIABILITIES AND PROVISIONS
As per the Balance Sheet		1,444			1,091
Add/ (Less): Provisions separately considered in the cash flow statement Income taxes		(707	)		(496	)
Dividends		—			—
Dividend tax		—			—
		737			595
Less: Opening balance considered		(598	)		(565	)
		139			30
18 INCOME TAXES PAID
Charge as per the Profit and Loss Account		226			237
Add: Increase in advance income taxes		176			131
Increase/(Decrease) in deferred taxes		12			—
Less: (Increase)/Decrease in income tax provision		(161	)		(183	)
		253			185
19 PURCHASE OF FIXED ASSETS AND CHANGE IN CAPITAL WORK-IN-PROGRESS
As per Balance Sheet		657			550
Less: Opening Capital work-in-progress		(318	)		(203	)
Add: Closing Capital work-in-progress		444			212
		783			559
20 INVESTMENTS IN SECURITIES *
As per the Balance Sheet		2,309			1,178
Add: Provisions made on investments		—			—
		2,309			1,178
Less: Investment made in subsidiaries		(22	)		—
Opening balance considered		(1,329	)		(1,027	)
		958			151
* refer to note 22.2.16 for investment and redemptions
21 CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD
As per the Balance Sheet		1,570			1,365
Add: Deposits with financial institutions, included herein		426			201
		1,996			1,566

10

INFOSYS TECHNOLOGIES LIMITED

Schedules to the Financial Statements for the quarter and nine months ended December 31, 2005

22 Significant accounting policies and notes on accounts

Company overview

Infosys Technologies Limited (“Infosys” or “the company”) along with its majority owned and controlled subsidiary, Progeon Limited, India (“Progeon”), and wholly owned subsidiaries, Infosys Technologies (Australia) Pty. Limited (“Infosys Australia”), Infosys Technologies (Shanghai) Co. Limited (“Infosys China”) and Infosys Consulting, Inc., USA (“Infosys Consulting”), is a leading global technology services organisation. The Company provides end-to-end business solutions that leverage technology thus enabling its clients to enhance business performance. The Company provides solutions that span the entire software life cycle encompassing technical consulting, design, development, re-engineering, maintenance, systems integration and package evaluation and implementation. In addition, the Company offers software products for the banking industry.

22. 1 Significant accounting policies

22.1.1 Basis of preparation of financial statements

The financial statements are prepared in accordance with Indian Generally Accepted Accounting Principles (“GAAP”) under the historical cost convention on the accruals basis. GAAP comprises mandatory accounting standards issued by the Institute of Chartered Accountants of India (“ICAI”), the provisions of the Companies Act, 1956 and guidelines issued by the Securities and Exchange Board of India. The interim financial statements are prepared to conform to the accounting standard on “Interim Financial Reporting”. Accounting policies have been consistently applied except where a newly issued accounting standard is initially adopted or a revision to an existing accounting standard requires a change in the accounting policy hitherto in use.

Management evaluates all recently issued or revised accounting standards on an on-going basis.

22.1.2 Use of estimates

The preparation of the financial statements in conformity with GAAP requires Management to make estimates and assumptions that affect the reported balances of assets and liabilities and disclosures relating to contingent assets and liabilities as at the date of the financial statements and reported amounts of income and expenses during the period. Examples of such estimates include provisions for doubtful debts, future obligations under employee retirement benefit plans, income taxes, post-sales customer support and the useful lives of fixed assets and intangible assets.

Management periodically assesses using, external and internal sources, whether there is an indication that an asset may be impaired. An impairment occurs where the carrying value exceeds the present value of future cash flows expected to arise from the continuing use of the asset and its eventual disposal. The impairment loss to be expensed is determined as the excess of the carrying amount over the higher of the asset’s net sales price or present value as determined above. Contingencies are recorded when it is probable that a liability will be incurred, and the amount can be reasonably estimated. Where no reliable estimate can be made, a disclosure is made as contingent liability. Actual results could differ from those estimates.

22.1.3 Revenue recognition

Revenue from software development on fixed-price, fixed-time frame contracts where there is no uncertainty as to measurement or collectability of consideration is recognized as per the percentage of completion method. On time-and-materials contracts, revenue is recognized as the related services are rendered. Cost and earnings in excess of billings are classified as unbilled revenue while billing in excess of cost and earnings is classified as unearned revenue. Provision for estimated losses, if any, on uncompleted contracts are recorded in the period in which such losses become probable based on the current estimates. Annual Technical Services revenue and revenue from fixed-price maintenance contracts are recognized proportionately over the period in which services are rendered. Revenue from the sale of user licenses for software applications is recognized on transfer of the title in the user license, except in multiple element contracts, where revenue is recognized as per the percentage of completion method.

Profit on sale of investments is recorded on transfer of title from the company and is determined as the difference between the sales price and the then carrying value of the investment. Lease rentals are recognized ratably on a straight line basis over the lease term. Interest is recognized using the time-proportion method, based on rates implicit in the transaction. Dividend income is recognized when the company’s right to receive dividend is established.

22.1.4 Expenditure

The cost of software purchased for use in software development and services is charged to cost of revenues in the year of acquisition. Charges relating to non-cancelable, long-term operating leases are computed primarily on the basis of the lease rentals, payable as per the relevant lease agreements. Post-sales customer support costs are estimated by management, determined on the basis of past experience. The costs provided for are carried until expiry of the related warranty period. Provisions are made for all known losses and liabilities. Leave encashment liability is determined on the basis of an actuarial valuation.

22.1.5 Fixed assets, intangible assets and capital work-in-progress

Fixed assets are stated at cost, less accumulated depreciation. Direct costs are capitalized until fixed assets are ready for use. Capital work-in-progress comprises outstanding advances paid to acquire fixed assets, and the cost of fixed assets that are not yet ready for their intended use at the balance sheet date. Intangible assets are recorded at the consideration paid for acquisition.

22.1.6 Depreciation and amortization

Depreciation on fixed assets is applied on the straight-line basis over the useful lives of assets estimated by the Management. Depreciation for assets purchased / sold during a period is proportionately charged. Individual low cost assets (acquired for less than Rs. 5,000/-) are entirely depreciated in the year of acquisition. Intangible assets are amortized over their respective individual estimated useful lives on a straight-line basis, commencing from the date the asset is available to the company for its use. The management estimates the useful lives for the various fixed assets as follows:-

Buildings	15 years
Plant and machinery	5 years
Computer equipment	2-5 years
Furniture and fixtures	5 years
Vehicles	5 years
Intellectual property rights	1-2 years

11

22.1.7 Retirement benefits to employees

22.1.7.a Gratuity

Infosys provides for gratuity, a defined benefit retirement plan (the “Gratuity Plan”) covering eligible employees. In accordance with the Payment of Gratuity Act, 1972, the Gratuity Plan provides a lump sum payment to vested employees at retirement, death, incapacitation or termination of employment, of an amount based on the respective employee’s salary and the tenure of employment. Liabilities with regard to the Gratuity Plan are determined by actuarial valuation as of the balance sheet date, based upon which, the company contributes all the ascertained liabilities to the Infosys Technologies Limited Employees’ Gratuity Fund Trust (the “Trust”). Trustees administer contributions made to the Trust and contributions are invested in specific investments as permitted by law.

22.1.7.b Superannuation

Certain employees of Infosys are also participants in a defined contribution plan. Untill March 2005, the company made monthly contributions under the superannuation plan (the Plan) to the Infosys Technologies Limited Employees’ Superannuation Fund Trust based on a specified percentage of each covered employee’s salary. The company had no further obligations to the Plan beyond its monthly contributions. From April 1, 2005, a substantial portion of the monthly contribution amount is paid directly to the employees as an allowance and a nominal amount is contributed to the trust.

22.1.7.c Provident fund

Eligible employees receive benefits from a provident fund, which is a defined contribution plan. Aggregate contributions along with interest thereon is paid at retirement, death, incapacitation or termination of employment. Both the employee and the company make monthly contributions to the Infosys Technologies Limited Employee’s Provident Fund Trust equal to a specified percentage of the covered employee’s salary. Infosys also contributes to a government administered pension fund on behalf of its employees. The interest rate payable by the trust to the beneficiaries every year is being notified by the government. The company has an obligation to make good the shortfall, if any, between the return from the investments of the trust and the notified interest rate.

22.1.8 Research and development

Revenue expenditure incurred on research and development is expensed as incurred. Capital expenditure incurred on research and development is depreciated over the estimated useful lives of the related assets.

22.1.9 Foreign currency transactions

Revenue from overseas clients and collections deposited in foreign currency bank accounts are recorded at the exchange rate as of the date of the respective transactions. Expenditure in foreign currency is accounted at the exchange rate prevalent when such expenditure is incurred. Disbursements made out of foreign currency bank accounts are reported at the daily rates. Exchange differences are recorded when the amount actually received on sales or actually paid when expenditure is incurred, is converted into Indian Rupees. The exchange differences arising on foreign currency transactions are recognized as income or expense in the period in which they arise.

Fixed assets purchased at overseas offices are recorded at cost, based on the exchange rate as of the date of purchase. The charge for depreciation is determined as per the company’s accounting policy.

Monetary current assets and monetary current liabilities that are denominated in foreign currency are translated at the exchange rate prevalent at the date of the balance sheet. The resulting difference is also recorded in the profit and loss account.

22.1.10 Forward contracts in foreign currencies

The company uses foreign exchange forward contracts and options to hedge its exposure to movements in foreign exchange rates. The use of these foreign exchange forward contracts and options reduces the risk or cost to the company and the company does not use the foreign exchange forward contracts or options for trading or speculation purposes.

The company records the gain or loss on effective hedges in the foreign currency fluctuation reserve until the transactions are complete. On completion, the gain or loss is transferred to the profit and loss account of that period. To designate a forward contract or option as an effective hedge, Management objectively evaluates and evidences with appropriate supporting documents at the inception of each contract whether the contract is effective in achieving offsetting cash flows attributable to the hedged risk. In the absence of a designation as effective hedge, a gain or loss is recognized in the profit and loss account.

22.1.11 Income tax

Income taxes are computed using the tax effect accounting method, where taxes are accrued in the same period the related revenue and expenses arise. A provision is made for income tax annually based on the tax liability computed, after considering tax allowances and exemptions. Provisions are recorded when it is estimated that a liability due to disallowances or other matters is probable.

The differences that result between the profit considered for income taxes and the profit as per the financial statements are identified, and thereafter a deferred tax asset or deferred tax liability is recorded for timing differences, namely the differences that originate in one accounting period and reverse in another, based on the tax effect of the aggregate amount being considered. The tax effect is calculated on the accumulated timing differences at the end of an accounting period based on prevailing enacted or substantially enacted regulations. Deferred tax assets are recognized only if there is reasonable certainty that they will be realized and are reviewed for the appropriateness of their respective carrying values at each balance sheet date. The income tax provision for the interim period is made based on the best estimate of the annual average tax rate expected to be applicable for the full fiscal year.

22.1.12 Earnings per share

In determining earnings per share, the company considers the net profit after tax and includes the post tax effect of any extra-ordinary/exceptional item. The number of shares used in computing basic earnings per share is the weighted average number of shares outstanding during the period. The number of shares used in computing diluted earnings per share comprises the weighted average shares considered for deriving basic earnings per share, and also the weighted average number of equity shares that could have been issued on the conversion of all dilutive potential equity shares. The diluted potential equity shares are adjusted for the proceeds receivable, had the shares been actually issued at fair value (i.e. the average market value of the outstanding shares). Dilutive potential equity shares are deemed converted as of the beginning of the period, unless issued at a later date. The number of shares and potentially dilutive equity shares are adjusted for any stock splits and bonus shares issues effected prior to the approval of the financial statements by the board of directors.

22.1.13 Investments

Trade investments are the investments made to enhance the company’s business interests. Investments are either classified as current or long-term based on the Management’s intention at the time of purchase. Current investments are carried at the lower of cost and fair value. Cost for overseas investments comprises the Indian Rupee value of the consideration paid for the investment. Long-term investments are carried at cost and provisions recorded to recognize any decline, other than temporary, in the carrying value of each investment.

22.1.14 Cash flow statement

Cash flows are reported using the indirect method, whereby net profit before tax is adjusted for the effects of transactions of a non-cash nature and any deferrals or accruals of past or future cash receipts or payments. The cash flows from regular revenue generating, investing and financing activities of the company are segregated.

12

22.2 Notes on accounts

Amounts in the financial statements are presented in Rupees crore, except for per share data and as otherwise stated. Certain amounts do not appear due to rounding off, and are detailed in Note 22.3. All exact amounts are stated with the suffix “/-”. One crore equals 10 million.

The previous period/ year figures have been regrouped / reclassified, wherever necessary to conform to the current presentation.

22.2.1 Aggregate expenses

The aggregate amounts incurred on certain specific expenses that are required to be disclosed under Schedule VI to the Companies Act, 1956

							in Rs. crore
	Quarter ended						Nine Months ended
	December 31,						December 31,
	2005			2004			2005			2004
Salaries and bonus including overseas staff expenses		1,094			817			2,932			2,225
Contribution to provident and other funds		24			23			68			61
Staff welfare
Staff welfare		9			7			21			14
Group health insurance and others		—			—			—			—
Overseas group health insurance		13			10			40			27
Overseas travel expenses		77			57			223			180
Visa charges and others		10			6			63			30
Traveling and conveyance		18			12			47			33
Technical sub-contractors — subsidiaries		92			64			266			186
Technical sub-contractors — others		29			30			83			68
Software packages
for own use		34			31			98			78
for service delivery to clients		6			4			25			13
Professional charges		30			22			84			54
Telephone charges		20			11			58			33
Communication expenses		10			10			35			29
Power and fuel		16			10			45			29
Office maintenance		19			10			47			28
Guest house maintenance*		—			—			1			1
Commission charges		10			7			27			15
Brand building		14			8			36			25
Rent		8			8			26			25
Insurance charges		5			7			16			21
Computer maintenance		7			4			14			11
Printing and stationery		2			2			8			6
Consumables		4			3			12			9
Donations		4			8			13			17
Advertisements		3			3			11			8
Marketing expenses		3			1			9			8
Other miscellaneous expenses		—			—			—			—
Repairs to building		3			4			11			8
Repairs to plant and machinery		3			2			8			5
Rates and taxes		3			2			7			6
Professional membership and seminar participation fees		2			1			6			4
Postage and courier		1			1			4			4
Provision for post-sales client support and warranties		(6	)		(6	)		(9	)		13
Books and periodicals		1			1			3			2
Provision for bad and doubtful debts		(4	)		6			6			17
Provision for doubtful loans and advances		—			—			—			—
Commission to non-whole time directors		—			—			1			1
Sales promotion expenses		—			—			1			1
Freight charges		—			—			1			1
Bank charges and commission		—			—			1			1
Auditor’s remuneration
statutory audit fees		—			—			—			—
certification charges		—			—			—			—
others		—			—			—			—
out-of-pocket expenses		—			—			—			—
Research grants		—			—			1			—
Miscellaneous expenses (refer to note 22.2.15)		1			1			2			1
		1,565			1,187			4,351			3,298

* for non-training purposes

The above expenses for the quarter and nine months ended December 31, 2005 include Fringe Benefit Tax (FBT) in India amounting to Rs. 3 crore and Rs. 9 crore, wherever applicable.

13

22.2.2 Capital commitments and contingent liabilities

				in Rs. crore
	As at
	December 31, 2005				March 31, 2005
Estimated amount of unexecuted capital contracts (net of advances and deposits)		217				273
Outstanding guarantees and counter guarantees to various banks, in respect of the guarantees given by those banks in favor of various government authorities and others		26				13
Claims against the company, not acknowledged as debts		74	*			16
(Amount paid to statutory authorities totals Rs. 57 crore on account of claims not acknowledged as debts)
Forward contracts and Options outstanding
In US$		—			US$	349,000,000
(Equivalent approximate in Rs. crore)		—				1,539
Range barrier options in USD	$	237,500,000
(Equivalent approximate in Rs. crore)		1,068
Range barrier options in Euro	€	6,000,000				—
(Equivalent approximate in Rs. crore)		32				—
Range barrier options in GBP	£	6,000,000				—
(Equivalent approximate in Rs. crore)		47				—

* Claims against the Company not acknowledged as debts include a demand (received on April 15, 2005) from the Indian tax authorities for payment of additional tax of Rs. 53 crore, including interest of Rs. 16 crore, upon completion of their tax review for fiscal 2002. The tax demand is mainly on account of disallowance of a portion of the deduction to its taxable income under Indian law claimed by the company under Section 10A of the Income-tax Act. Deduction under Section 10A of the Income-tax Act is determined by the ratio of “Export Turnover” to “Total Turnover”. The disallowance arose from certain expenses incurred in foreign currency being reduced from Export Turnover but not also reduced from Total Turnover.

The company is contesting the demand and management, including its tax advisers, believe that its position will likely be upheld in the appellate process. No tax expense has been accrued in the financial statements for the tax demand raised. Management believes that the ultimate outcome of this proceeding will not have a material adverse effect on the company’s financial position and results of operations.

22.2.3 Quantitative details

The company is primarily engaged in the development and maintenance of computer software. The production and sale of such software cannot be expressed in any generic unit. Hence, it is not possible to give the quantitative details of sales and certain information as required under paragraphs 3, 4C and 4D of part II of Schedule VI to the Companies Act, 1956.

22.2.4 Imports (valued on the cost, insurance and freight basis)

							in Rs. crore
		Quarter ended				Nine months ended
		December 31,				December 31,
	2005		2004		2005			2004
Capital goods		40		32		156			94
Software packages		4		1		8			4
		44		33		164			98

22.2.5 Activity in foreign currency

							in Rs. crore
		Quarter ended				Nine months ended
		December 31,				December 31,
	2005		2004		2005			2004
Earnings in foreign currency (on receipts basis)
Income from software services and products		2,323		1,690		6,448			4,539
Interest received on deposits with banks		2		—		4			1
Expenditure in foreign currency (on payments basis)
Travel expenses		61		40		216			149
Professional charges		13		9		31			23
Technical Sub-Contractors - Subsidiaries		91		91		248			206
Other expenditure incurred overseas for software development		652		604		1,895			1,739
Net earnings in foreign currency (on the receipts and payments basis)
Net earnings in foreign exchange		1,508		946		4,062			2,423

22.2.6 Obligations on long-term, non-cancelable operating leases

The lease rentals charged during the year and maximum obligations on long-term non-cancelable operating leases payable as per the rentals stated in the respective agreements:-

							in Rs. crore
		Quarter ended				Nine months ended
		December 31,				December 31,
	2005		2004		2005			2004
Lease rentals recognized during the period/ year		8		9		26			26

		As at
Lease obligations	December 31, 2005		March 31, 2005
Within one year of the balance sheet date		22		20
Due in a period between one year and five years		76		65
Due after five years		20		24
		118		109

The operating lease arrangements extend upto a maximum of ten years from their respective dates of inception and relates to rented overseas premises and car rentals.

14

Fixed assets provided on operating lease to Progeon, a subsidiary company, as at December 31, 2005 and March 31, 2005 :-

					in Rs. crore
			Accumulated			Net book
Particulars	Cost		depreciation			value
Building		28		5			23
		13		3			10
Plant and machinery		13		5			8
		6		4			2
Computers		1		1			—
		1		1			—
Furniture & fixtures		11		8			3
		9		7			2
Total		53		19			34
		29		15			14

The aggregate depreciation charged on the above for the quarter and nine months ended December 31, 2005 amounted to Rs. 2 crore and Rs. 3 crore respectively (for the quarter and nine months ended December 31, 2004 was Rs. 1 crore and Rs. 3 crore respectively).

The company has non-cancelable operating leases on equipped premises leased to Progeon. The leases extend for periods between 36 months and 70 months from the date of inception. The lease rentals received are included as a component of other Income. The lease rental commitments from Progeon are as given below:-

			in Rs. crore
		As at
Lease rentals	December 31, 2005			March 31, 2005
Within one year of the balance sheet date		8			7
Due in a period between one year and five years		12			9
Due after five years		—			—
		20			16

The rental income from Progeon for the quarter and nine months ended December 31, 2005 amounted to Rs. 3 crore and Rs. 8 crore respectively (for the quarter and nine months ended December 31, 2004 was Rs. 2 crore and Rs. 6 crore respectively).

22.2.7 Related party transactions

List of related parties:
					Holding, as at
Name of the related party	Country	December 31, 2005				March 31, 2005
Progeon Limited	India		72.05	%			99.54	%
Infosys Technologies (Australia), Pty Limited	Australia		100	%			100	%
Infosys Technologies (Shanghai) Co. Limited	China		100	%			100	%
Infosys Consulting, Inc.	USA		100	%			100	%
Progeon s. r. o *	Czech Republic		72.05	%			99.54	%

* Progeon s.r.o is a wholly owned subsidiary of Progeon Limited.

The details of the related party transactions entered into by the company, in addition to the lease commitments described in note 22.2.6, for the quarter and nine months ended December 31, 2005 and 2004 are as follows:-

							in Rs. crore
	Quarter ended				Nine months ended
	December 31,				December 31,
Particulars	2005		2004		2005			2004
Capital transactions:
Financing transactions
Progeon (Including Progeon s.r.o)		—		—		—			—
Infosys Australia		—		—		—			—
Infosys China		9		—		9			19
Infosys Consulting		—		23		22			45
Rental deposit repaid
Progeon		—		—		2			—
Revenue transactions:
Purchase of services
Progeon (Including Progeon s.r.o)		1		—		2			1
Infosys Australia		58		59		177			181
Infosys China		3		2		6			2
Infosys Consulting		30		3		81			3
Purchase of shared services including facilities and personnel
Progeon (Including Progeon s.r.o)		—		—		1			—
Infosys Australia		—		—		—			—
Infosys China		—		—		—			—
Infosys Consulting		—		—		—			—
Sale of services
Progeon (Including Progeon s.r.o)		—		—		—			—
Infosys Australia		1		—		4			—
Infosys China		—		—		1			—
Infosys Consulting		1		1		2			1
Sale of shared services including facilities and personnel
Progeon (Including Progeon s.r.o)		2		4		11			11
Infosys Australia		—		—		—			—
Infosys China		—		—		—			—
Infosys Consulting		2		—		4			—

15

Details of amounts due to or due from and maximum dues from subsidiaries for the quarter and nine months ended December 31, 2005 and year ended March 31, 2005:

			in Rs. crore
	As at
Particulars	December 31, 2005			March 31, 2005
Sundry Debtors
Progeon (Including Progeon s.r.o)		—			—
Infosys Australia		—			—
Infosys China		—			—
Infosys Consulting		—			—
Sundry Creditors
Progeon (Including Progeon s.r.o)		—			—
Infosys Australia		—			—
Infosys China		—			1
Infosys Consulting		—			—
Loans and advances
Progeon (Including Progeon s.r.o)		—			—
Infosys Australia		—			—
Infosys China		14			2
Infosys Consulting		—			—
Maximum balances of loans and advances
Progeon (Including Progeon s.r.o)		2			—
Infosys Australia		—			—
Infosys China		14			3
Infosys Consulting		5			1

During the quarter and nine months ended December 31, 2005, an amount of Rs. 2 crore and Rs. 9 crore respectively (for the quarter and nine months ended December 31, 2004 Rs.3 crore and Rs.11 crore respectively) has been donated to Infosys Foundation, a not-for-profit foundation, in which certain directors of the company are trustees.

22.2.8 Transactions with key management personnel

Particulars of remuneration and other benefits paid to key management personnel during the quarter and nine months ended December 31, 2005 and December 31, 2004 have been detailed in Schedule 22 since the amounts are less than a crore.

16

22.2.9 Research and development expenditure

					in Rs. crore
	Quarter ended				Nine months ended
	December 31,				December 31,
	2005		2004		2005		2004
Capital		—		—		—		—
Revenue		25		19		77		49
		25		19		77		49

22.2.10 Dues to small-scale industrial undertakings

As at December 31, 2005 and March 31, 2005, the company has no outstanding dues to small-scale industrial undertaking.

22.2.11 Stock option plans

The company has two stock option plans that are currently operational.

1998 Stock Option Plan (“the 1998 Plan”)

The 1998 Plan was approved by the board of directors in December 1997 and by the shareholders in January 1998, and is for issue of 58,80,000 ADSs representing 58,80,000 equity shares. The 1998 Plan automatically expires in January 2008, unless terminated earlier. All options under the 1998 Plan are exercisable for ADSs representing equity shares. A compensation committee comprising independent members of the board of directors administers the 1998 Plan. All options have been granted at 100% of fair market value.

	Quarter ended						Nine months ended
	December 31,						December 31,
Number of options granted, exercised and forfeited during	2005			2004			2005			2004
Options outstanding, beginning of period		27,46,732			37,02,050			30,54,290			38,71,010
Granted		—			—			—			—
Less: exercised		(273,648	)		(287,879	)		(547,378	)		(371,647	)
forfeited		(25,420	)		(93,724	)		(59,248	)		(178,916	)
Options outstanding, end of period		24,47,664			33,20,447			24,47,664			33,20,447

1999 Stock Option Plan (“the 1999 Plan”)

In fiscal 2000, the company instituted the 1999 Plan. The shareholders and the board of directors approved the plan in June 1999, which provides for the issue of 2,64,00,000 equity shares to the employees. The compensation committee administers the 1999 Plan. Options were issued to employees at an exercise price that is not less than the fair market value.

	Quarter ended						Nine months ended
	December 31,						December 31,
Number of options granted, exercised and forfeited during	2005			2004			2005			2004
Options outstanding, beginning of period		1,21,24,188			1,65,78,897			1,40,54,937			1,83,62,120
Granted		—			—			—			—
Less: exercised		(1,592,003	)		(1,307,755	)		(3,407,236	)		(2,520,433	)
forfeited		(31,590	)		(209,672	)		(147,106	)		(780,217	)
Options outstanding, end of period		1,05,00,595			1,50,61,470			1,05,00,595			1,50,61,470

The aggregate options considered for dilution are set out in note 22.2.20

17

22.2.12 Income taxes

The provision for taxation includes tax liabilities in India on the company’s global income as reduced by exempt incomes and any tax liabilities arising overseas on income sourced from those countries.

Most of Infosys’ operations are conducted through Software Technology Parks (“STPs”). Income from STPs are tax exempt for the earlier of 10 years commencing from the fiscal year in which the unit commences software development, or March 31, 2009.

Infosys now also has operations in Special Economic Zones (“SEZs”). Income from SEZs are fully tax exempt for the first 5 years, 50% exempt for the next 5 years and 50% exempt for another 5 years subject to fulfilling certain conditions.

During the nine months ended December 31, 2005, the tax authorities in an overseas tax jurisdiction completed the assessment of income upto fiscal year 2004. Based on the assessment order, management has re-estimated its tax liabilities and written back an amount of Rs. 20 crore. The tax provision for the nine months is net of the write-back.

22.2.13 Cash and bank balances

Details of balances as on balance sheet dates and the maximum balances during the period/ year with non-scheduled banks:-

				in Rs. crore
			As at
Balances with non-scheduled banks	December 31, 2005			March 31, 2005
In current accounts
ABN Amro Bank , Taipei, Taiwan		2			—
Bank of America, Palo Alto, USA		186			126
Bank of China, Beijing, China		—			—
Citibank NA, Melbourne, Australia		5			3
Citibank NA, Hong Kong		—			—
Citibank NA, Singapore		—			—
Citibank NA, Tokyo, Japan		2			2
Citibank NA, Sharjah, UAE		—			—
Deutsche Bank, Brussels, Belgium		3			1
Deutsche Bank, Frankfurt, Germany		23			6
Deutsche Bank, Amsterdam, Netherlands		1			—
Deutsche Bank, Paris, France		2			1
Deutsche Bank, Zurich, Switzerland		8			4
HSBC Bank PLC, Croydon, UK		13			5
ICICI Bank UK Ltd., London, UK		2			30
ICICI Bank — Toronto, Canada		—			2
Nordbanken, Stockholm, Sweden		—			—
Nova Scotia Bank, Toronto, Canada		—			—
Royal Bank of Canada, Toronto, Canada		9			10
UFJ Bank, Tokyo, Japan		—			—
Svenska Handels Bank, Stockholm, Sweden		—			—
		256			190

					in Rs. crore
	Quarter ended				Nine months ended
	December 31,				December 31,
Maximum balance with non-scheduled banks during the	2005		2004		2005		2004
In current accounts
ABN Amro Bank, Taipei, Taiwan		2		—		2		1
Bank of America, Palo Alto, USA		391		247		391		265
Bank of China, Beijing China		—		—		—		—
Bank of Melbourne, Melbourne, Australia		—		—		—		—
Citibank NA, Melbourne, Australia		36		75		54		75
Citibank NA, Hong Kong		—		—		—		—
Citibank NA, Singapore		—		—		—		—
Citibank NA, Tokyo, Japan		9		8		36		8
Citibank NA, Sharjah, UAE		—		—		—		—
Deutsche Bank, Brussels, Belgium		18		33		31		33
Deutsche Bank, Frankfurt, Germany		35		39		38		39
Deutsche Bank, Amsterdam, Netherlands		2		1		2		1
Deutsche Bank, Paris, France		5		4		5		4
Deutsche Bank, Zurich, Switzerland		11		5		13		8
HSBC Bank PLC, Croydon, UK		78		33		78		47
ICICI Bank UK Ltd., London, UK		17		26		35		31
ICICI Bank — Toronto, Canada		8		—		11		—
Merrill Lynch Esop A/C — Fremont, USA		—		29		—		29
Nordbanken, Stockholm, Sweden		—		—		—		—
Nova Scotia Bank, Toronto, Canada		—		1		—		6
Royal Bank of Canada, Toronto, Canada		13		15		13		13
Sanva Bank, Tokyo, Japan		—		—		—		—
Svenska Handels Bank, Stockholm, Sweden		2		2		2		3
UFJ Bank, Tokyo, Japan		—		—		28		1

The cash and bank balances include interest accrued but not due on fixed deposits amounting to Rs. 9 crore for the quarter ended December 31, 2005 (for the year ended March 31, 2004 Rs. 10 crore).

18

22.2.14 Loans and advances

“Advances” mainly comprises prepaid travel and per-diem expenses and advances to vendors.

Deposits with financial institutions:-

				in Rs. crore
			As at
	December 31, 2005			March 31, 2005
Deposits with financial institutions and body corporate:
Housing Development Finance Corporation Limited (“HDFC”)		201			202
GE Capital Services India Limited		225			—
Life Insurance Corporation of India		103			66
		529			268
Interest accrued but not due (included above)		2			1

Maximum balance held as deposits with financial institutions and body corporate:

					in Rs. crore
	Quarter ended				Nine months ended
	December 31,				December 31,
	2005		2004		2005		2004
Deposits with financial institutions and body corporate:
Housing Development Finance Corporation Limited (“HDFC”)		201		202		202		202
GE Capital Services India Limited		225		—		225		—
Life Insurance Corporation of India (“LIC”)		103		49		105		49

Mr. Deepak M. Satwalekar, Director, is also a Director of HDFC. Except as director in this financial institution, he has no direct interest in any transactions.

Deposit with LIC represents amount deposited to settle employee benefit/ leave obligations as and when they arise during the normal course of business.

22.2.15 Fixed assets

Profit / (loss) on disposal of fixed assets

					in Rs. crore
	Quarter ended				Nine months ended
	December 31,				December 31,
	2005		2004		2005		2004
Profit on disposal of fixed assets, included in miscellaneous income		—		—		—		—
(Loss) on disposal of fixed assets, included in miscellaneous expenses		—		—		—		—
Profit / (loss) on disposal of fixed assets, net		—		—		—		—

Depreciation charged to the profit and loss account relating to assets costing less than Rs. 5,000/- each

					in Rs. crore
	Quarter ended				Nine months ended
	December 31,				December 31,
	2005		2004		2005		2004
Charged during the period		17		11		27		15

The company has entered into lease-cum-sale agreements to acquire certain properties. In accordance with the terms of these agreements, the company has the option to purchase the properties on expiry of the lease period. The company has already paid 100% of the value of the properties at the time of entering into the lease-cum-sale agreements. These amounts are disclosed as “Land — leasehold” under “Fixed assets” in the financial statements. Additionally, certain land has been purchased for which the company has possession certificate for which sale deeds are yet to be executed as at December 31, 2005.

19

22.2.16 Details of Investments

	in Rs. crore
	As at
	December 31, 2005		March 31, 2005
Long — term investments
CiDRA Corporation, USA
14,124 (12,752) Series D convertible preferred stock at US$ 90 each, fully paid, par value US$ 0.01 each		5		5	*
72,539 (72,539) Class A common stock, par value US$ 0.001 each		—		—
2,139 (2,139) Non voting redeemable preferred stock, par value US$ 0.01 each		—		—
CyVera Corporation, USA
Nil (25,641) , Series A preferred stock par value US$ 0.001		—		—
OnMobile Systems Inc., (formerly Onscan Inc.) USA
1,00,000 (1,00,000) common stock at US$ 0.4348 each, fully paid, par value US$ 0.001 each		—		—	*
1,00,000 (1,00,000) Series A voting convertible preferred stock at US$ 0.4348 each, fully paid, par value US$ 0.001 each		—		—	*
44,00,000 (44,00,000) Series A non-voting convertible preferred stock at US$ 0.4348 each, fully paid, par value US$ 0.001 each		9		9	*
M-Commerce Ventures Pte Ltd, Singapore
100 (100) ordinary shares of Singapore $ 1 each, fully paid, par value Singapore $ 1 each		—		—
684 (684) redeemable preference shares of Singapore $ 1, fully paid, at a premium of Singapore $ 1,110 per redeemable preferred stock		2		2
216 (216) redeemable preference shares of Singapore $ 1, fully paid, par value Singapore $ 1 each		—		—
Software Services Support Education Center Limited
Nil (1) equity share of Rs. 10 each, fully paid, par value Rs. 10 Illumina Inc.		—		—
758 (nil) common stock at USD 0.01 per share		—		—
The Saraswat Co-operative Bank Limited, India
Nil (1,035) equity shares of Rs. 10 each, fully paid, par value Rs. 10		—		—
Less: Provision for investment		16		16
		14		14
		2		2

* Investments that are provided for in whole

Current investments — Liquid Mutual

					in Rs. crore
	Number of units as at				Amount As at
	December 31, 2005		March 31, 2005		December 31, 2005		March 31, 2005
ABN Amro Cash Fund		74,929,549		—		75		—
Birla Cash Plus Institutional Premium Fund		99,477,727		9,24,76,122		100		100
CanLiquid Institutional Fund		59,728,831		—		60		—
Chola Liquid Fund Institutional Plus		46,308,937		—		54		—
Deutsche Bank Insta-Cash Plus Fund		63,903,437		4,99,57,408		64		50
DSP Merrill Lynch Liquidity Fund		50,041,448		6,05,17,461		62		75
Grindlays Cash Fund — Super Institutional Plan C		149,905,772		7,07,47,373		150		75
HDFC Liquid Fund — Premium Plus		100,017,948		8,36,11,057		120		100
HSBC Cash Fund — Institutional Plus		99,631,222		7,48,98,088		100		75
ING Vysya Liquid Fund — Super Institutional		78,874,225		—		79		—
JM High Liquidity Fund		95,896,031		7,69,31,305		96		77
Kotak Liquid — Institutional Premium		149,536,869		8,97,41,740		150		90
Principal Cash Management Fund		134,907,037		5,49,75,911		135		55
Prudential ICICI Liquid Plan — Institutional Plus		83,710,163		8,37,14,699		100		100
Reliance Liquid Fund Treasury Plan — Institutional Option		93,770,153		5,30,22,669		96		86
SBI Magnum Institutional Income — Savings		118,938,888		2,38,20,119		125		25
Sundaram Money Fund — Institutional		29,683,288		—		30		—
Templeton India Treasury Management Account		1,200,444		9,49,782		120		95
UTI Liquid Cash Plan — Institutional		1,477,424		4,94,901		150		50
TLSM Tata Liquid Super High Inv Fund		1,331,587		6,24,358		150		70
LICMF Liquid Fund — Dividend Plan		101,119,288		4,15,28,325		110		45
						2,126		1,168
At cost						1,626		733
At fair value						500		435
						2,126		1,168

20

Details of investments in and disposal of securities during the quarter and nine Months ended December 31, 2005 and 2004:-

						in Rs. crore
	Quarter ended					Nine months ended
	December 31,					December 31,
	2005			2004		2005		2004
Investment in securities
Subsidiaries		—			23		22		63
Long-term investments		—			—		—		—
Liquid Mutual funds		191			90		1,749		205
		191			113		1,771		268
Redemption / Disposal of Investment in securities
Subsidiaries		—			—		—		—
Long-term investments		—			—		—		—
Liquid Mutual funds		321			—		791		117
		321			—		791		117
Net movement in investments		(130	)		113		980		151

Investment purchased and sold during the nine Months ended December 31, 2005:-

					in Rs. crore
Name of the fund	Face value Rs /-		Units			Cost
Birla Cash Plus Institutional Premium Fund		10		49,680,060			50
Templeton India Treasury Management Account		1000		1,198,981			120
HSBC Cash Fund — Institutional Plus		10		49,782,946			50
Prudential ICICI Liquid Plan — Institutional Plus		10		41,766,209			50
ING Vysya Liquid Fund — Super Institutional		10		34,862,988			35

Particulars of investments made during the quarter and nine Months ended December 31, 2005 and 2004:-

					in Rs. crore
	Quarter ended				Nine months
	December 31,				December 31,
Particulars of investee companies	2005		2004		2005		2004
Progeon, India		—		—		—		—
Infosys China		—		—		—		18
Infosys Australia		—		—		—		—
Infosys Consulting		—		23		22		45
M-Commerce Ventures Pte. Limited, Singapore		—		—		—		—
		—		23		22		63

Conversion of Cumulative Preference shares in Progeon

Progeon had issued an aggregate of 87,50,000 0.005% Cumulative Convertible Preference shares of par value Rs. 100 each to Citicorp International Finance Corporation(“CIFC”) for an aggregate consideration of Rs. 94 crore as per the shareholder’s agreement as of March 31, 2005. Each preference share was convertible to one equity share of par value Rs. 10/-. On June 30, 2005 CIFC exercised its rights under the shareholder’s agreement and converted the preference shares to equity shares. Pursuant to the conversion, the equity share capital of Progeon increased by Rs 9 crore to Rs 33 crore and the share premium increased by Rs. 79 crore to Rs. 85 crore. As of December 31, 2005, Infosys’ equity holding in Progeon was 72.05%.

21

22.2.17 Segment reporting

The company’s operations predominantly relate to providing IT services, delivered to customers globally operating in various industry segments. Accordingly, IT service revenues represented along industry classes comprise the primary basis of segmental information set out in these financial statements. Secondary segmental reporting is performed on the basis of the geographical location of customers.

The accounting principles consistently used in the preparation of the financial statements are also consistently applied to record income and expenditure in individual segments. These are as set out in the note on significant accounting policies.

Industry segments at the company are primarily financial services comprising customers providing banking, finance and insurance services; manufacturing companies; companies in the telecommunications and the retail industries; and others such as utilities, transportation and logistics companies.

Income and direct expenses in relation to segments is categorized based on items that are individually identifiable to that segment, while the remainder of the costs are categorized in relation to the associated turnover of the segment. Certain expenses such as depreciation, which form a significant component of total expenses, are not specifically allocable to specific segments as the underlying services are used interchangeably. The company believes that it is not practical to provide segment disclosures relating to those costs and expenses, and accordingly these expenses are separately disclosed as “unallocated” and directly charged against total income.

Fixed assets used in the company’s business or liabilities contracted have not been identified to any of the reportable segments, as the fixed assets and services are used interchangeably between segments. Accordingly, no disclosure relating to total segment assets and liabilities are made.

Customer relationships are driven based on the location of the respective client. North America comprises the United States of America, Canada and Mexico; Europe includes continental Europe (both the east and the west), Ireland and the United Kingdom; and the Rest of the World comprising all other places except, those mentioned above and India.

Geographical revenues are segregated based on the location of the customer who is invoiced or in relation to which the revenue is otherwise recognized.

Industry segments

Quarter ended December 31, 2005 and 2004 :-

											in Rs. crore
	Financial
	services		Manufacturing		Telecom		Retail		Others			Total
Revenues		848		349		362		257		582			2,398
		626		265		318		176		413			1,798
Identifiable operating expenses		362		154		144		103		235			998
		253		115		147		71		166			752
Allocated expenses		201		82		85		61		138			567
		151		64		77		43		100			435
Segmental operating income		285		113		133		93		209			833
		222		86		94		62		147			611
Unallocable expenses													109
													69
Operating income													724
													542
Other income (expense), net													(2	)
													47
Net profit before taxes													722
													589
Income taxes													80
													93
Net profit after taxes													642
													496

Nine months ended December 31, 2005 and 2004:-

											in Rs. crore
	Financial
	services		Manufacturing		Telecom		Retail		Others			Total
Revenues		2,313		924		1,028		692		1,578			6,535
		1,700		751		878		515		1,115			4,959
Identifiable operating expenses		979		414		421		285		666			2,765
		710		328		424		199		461			2,122
Allocated expenses		563		223		248		168		384			1,586
		403		178		208		122		264			1,175
Segmental operating income		771		287		359		239		528			2,184
		587		245		246		194		390			1,662
Unallocable expenses													274
													175
Operating income													1,910
													1,487
Other income (expense), net													73
													95
Net profit before taxes													1,983
													1,582
Income taxes													226
													237
Net profit after taxes													1,757
													1,345

22

Geographic segments
Quarter ended December 31, 2005 and 2004 :-

in Rs. crore
							Rest of the
	North America		Europe		India		World		Total
Revenues		1,577		590		35		196		2,398
		1,206		399		40		153		1,798
Identifiable operating expenses		663		223		18		94		998
		486		157		11		98		752
Allocated expenses		373		140		8		46		567
		292		96		10		37		435
Segmental operating income		541		227		9		56		833
		428		146		19		18		611
Unallocable expenses										109
										69
Operating income										724
										542
Other income (expense), net										(2	)
										47
Net profit before taxes										722
										589
Income taxes										80
										93
Net profit after taxes										642
										496

Nine months ended December 31, 2005 and 2004:-

in Rs. crore
							Rest of the
	North America		Europe		India		World		Total
Revenues		4,280		1,565		117		573		6,535
		3,285		1,085		94		495		4,959
Identifiable operating expenses		1,818		612		56		279		2,765
		1,365		432		26		299		2,122
Allocated expenses		1,039		380		28		139		1,586
		779		257		22		117		1,175
Segmental operating income		1,423		573		33		155		2,184
		1,141		396		46		79		1,662
Unallocable expenses										274
										175
Operating income										1,910
										1,487
Other income (expense), net										73
										95
Net profit before taxes										1,983
										1,582
Income taxes										226
										237
Net profit after taxes										1,757
										1,345

23

22.2.18 Provision for doubtful debts

Periodically, the company evaluates all customer dues to the company for collectibility. The need for provisions is assessed based on various factors including collectibility of specific dues, risk perceptions of the industry in which the customer operates, general economic factors, which could affect the customer’s ability to settle. The company normally provides for debtor dues outstanding for 180 days or longer as at the balance sheet date. As at December 31, 2005 the company has provided for doubtful debts of Rs. 1 crore (as at March 31, 2005 Rs 8 crore) on dues from certain customers although the outstanding amounts were less than 180 days old, since the amounts were considered doubtful of recovery. The company pursues the recovery of the dues, in part or full.

22.2.19 Dividends remitted in foreign currencies

Infosys does not make any direct remittances of dividends in foreign currency. The company remits the equivalent of the dividends payable to the holders of ADS (“ADS holders”) in Indian Rupees to the depository bank, which is the registered shareholder on record for all owners of the company’s ADSs. The depositary bank purchases the foreign currencies and remits dividends to the ADS holders.

Particulars of dividends remitted:-

in Rs. crore
	Number of shares		Quarter ended				Nine months ended
	to which the		December 31,				December 31,
Particulars	dividends relate		2005		2004		2005		2004
Final and one-time special dividend for Fiscal 2004		52,92,612		—		—		—		61
Interim dividend for fiscal 2006		3,80,51,211		25		—		—		—
Final dividend for fiscal 2005		3,77,66,327		—		—		25		—

22.2.20 Reconciliation of basic and diluted shares used in computing earnings per share

At the annual general meeting held on June 12, 2004, the shareholders approved the issue of bonus shares in the ratio of three bonus shares for every share held. The record date for the bonus issue was July 2, 2004 and shares were allotted on July 3, 2004. All basic and diluted shares used in determining earnings per share are after considering the effect of bonus issue.

		Quarter ended				Nine months ended
		December 31,				December 31,
	2005		2004		2005		2004
Number of shares considered as basic weighted average shares outstanding		27,37,71,476		26,87,73,742		27,22,89,379		26,78,62,078
Add: Effect of dilutive issues of shares/stock options		78,33,477		83,36,718		79,54,117		59,08,614
Number of shares considered as weighted average shares and potential shares outstanding		28,16,04,953		27,71,10,460		28,02,43,496		27,37,70,692

22.2.21 Cash flow statement

The balance of cash and cash equivalents includes Rs. 4 crore as at December 31, 2005 (Rs.3 crore for the year ended March 31, 2005), set aside for payment of dividends.

24

22.3 Details of rounded off amounts

The financial statements are represented in Rs. crore as per the approval received from Department of Company Affairs “DCA” earlier. Those items which were not represented in the financial statement due to rounding off to the nearest Rs. crore are given below.

          Balance Sheet Items

in Rs. crore
Schedule		Description	December 31, 2005		As at	March 31, 2005
	3	Fixed assets
		Additions
		Vehicles		0.52			—
		Land: free-hold		0.01			—
		Deductions/retirements
		Plant and machinery		0.14			—
		Depreciation & Amortization
		Vehicles		0.13			0.28
	8	Unsecured, Considered doubtful
		Loans and advances to employees		0.40			0.23
	8	Provision for doubtful loans and advances to employees		0.40			0.23
	22.2.6	Computers
		- Net Book Value		—			0.05
	22.2.7	Maximum balances of loans and advances
	22.2.7	- Progeon		2.36			0.45
		Balances with non-scheduled banks
	22.2.13	- ABN Amro Bank , Taipei, Taiwan		1.61			0.02
		- Bank of China, Beijing, China		0.03			0.02
		- Citibank NA, Hong Kong		0.26			—
		- Citibank NA, Singapore		0.22			0.35
		- Citibank NA, Sharjah, UAE		0.04			0.03
		- Deutsche Bank, Amsterdam, Netherlands		1.30			0.15
		- Nordbanken, Stockholm, Sweden		0.02			0.12
		- UFJ Bank, Tokyo, Japan		0.05			0.32
		- Svenska Handels Bank, Stockholm, Sweden		0.42			0.35
	22.2.16	Long- term investments
		- OnMobile Systems Inc., (formerly Onscan Inc.) USA
		1,00,000 (1,00,000) common stock at US$ 0.4348 each, fully paid, par value US$ 0.001 each		0.20			0.20
		1,00,000 (1,00,000) Series A voting convertible preferred stock at US$ 0.4348 each, fully paid par value US$ 0.001 each		0.20			0.20

                         Profit & Loss Items

in Rs. crore
			Quarter ended						Nine months ended
			December 31,						December 31,
Schedule		Description	2005			2004			2005			2004
Profit & Loss account
		Provision for investments		(0.27	)		(0.39	)		0.30			(0.33	)
		Residual Dividend Paid		—			—			0.25			2.32
		Additional Dividend Tax		—			—			0.03			2.27
	12	Selling & Marketing expenses
		Contribution to Provident and other funds		0.32			0.53			0.79			1.24
		Staff welfare		0.49			0.08			0.90			0.28
		Consumables		0.06			0.03			0.19			0.15
		Software packages for own use		—			—			0.06			0.01
		Communication expenses		0.20			0.02			0.46			0.04
		Printing and stationery		0.28			0.27			1.20			0.80
		Advertisements		0.30			0.45			1.10			0.76
		Office maintenance		0.03			0.05			0.32			0.18
		Insurance charges		0.02			0.11			0.02			0.16
		Rates and taxes		—			—			—			0.03
		Sales promotion expenses		0.32			0.27			0.77			0.67
	13	General and Administration expenses
		Provision for doubtful loans and advances		0.26			0.04			0.37			0.15
		Commission to non-whole time directors		0.33			0.38			0.96			1.16
		Freight charges		0.15			0.20			0.56			0.57
		Bank charges and commission		0.28			0.28			0.84			0.85
		Research grants		0.35			0.24			0.56			0.43
		Auditor’s remuneration — statutory audit fees		0.15			0.09			0.33			0.27
		Others		—			0.07			—			0.07
		Out of Pocket Expenses		0.01			0.01			0.02			0.02
	14	Provision for taxation
		Deferred taxes		(5.96	)		0.49			(11.79	)		0.35

25

in Rs. crore
			Quarter ended						Nine months ended
			December 31,						December 31,
Schedule		Description	2005			2004			2005			2004
	22.2.1	Aggregate expenses
		Provision for doubtful loans and advances		0.26			0.04			0.37			0.15
		Commission to non-whole time directors		0.33			0.38			0.96			1.16
		Sales promotion expenses		0.32			0.27			0.77			0.67
		Freight charges		0.15			0.20			0.56			0.57
		Bank charges and commission		0.28			0.28			0.84			0.85
		Auditor’s remuneration — audit fees		0.15			0.09			0.33			0.27
		— Others		—			0.07			—			0.07
		— out-of-pocket expenses		0.01			0.01			0.02			0.02
		Research grants		0.35			0.24			0.56			0.43
	22.2.5	Activity in foreign currency
		Interest received on deposits with banks		2.00			0.27			4.00			1.00
	22.2.7	Related party transactions
		Revenue transactions:
		Progeon (Including Progeon s.r.o)
		Purchase of services		0.69			0.33			1.66			0.63
		Purchase of shared services including facilities and personnel		0.47			0.18			1.23			0.28
		Sale of services		—			0.04			—			0.12
	22.2.9	Research and development expenditure
		Capital Expenditure		0.16			—			0.16			—
	22.2.13	Maximum balance with non-scheduled banks during the period/ year
		- ABN Amro Bank, Taipei, Taiwan		1.61			0.04			1.61			0.96
		- Bank of China, Beijing China		0.04			0.07			0.07			0.08
		- Bank of Melbourne, Melbourne, Australia		—			—			—			0.23
		- Citibank NA, Hong Kong		0.47			0.18			0.47			0.18
		- Citibank NA, Singapore		0.25			0.43			0.37			0.48
		- Citibank NA, Sharjah, UAE		0.16			0.09			0.16			0.16
		- Deutsche Bank, Amsterdam, Netherlands		2.09			1.00			2.09			1.00
		- Nordbanken, Stockholm, Sweden		0.12			—			0.12			—
		- UFJ Bank, Tokyo, Japan		0.72			—			28.15			1.00
		- Sanwa Bank, Tokyo, Japan		—			0.02			—			—
	22.2.15	Profit / (loss) on disposal of fixed assets
		- Profit on disposal of fixed assets, included in miscellaneous income		0.11			0.01			0.34			0.17
		- (Loss) on disposal of fixed assets		(0.25	)		(0.01	)		(0.28	)		(0.05	)
		- Profit/(Loss) on disposal of fixed assets, net		(0.14	)		—			0.06			0.12

                            Cash Flow Statement Items

in Rs. crore
				For the Period Ended
Schedule		Description	December 31, 2005				December 31, 2004
Cash flow statement		(Profit)/ loss on sale of fixed assets			(0.14	)		(0.12	)
		Proceeds on disposal of fixed assets			(0.14	)		0.34
	18	Increase/(Decrease) in deferred taxes			(11.79	)		(0.35	)
	20	Provision for investments			0.30			(0.33	)

26

Transactions with key management personnel

Key management personnel comprise our directors and statutory officers.

Particulars of remuneration and other benefits paid to key management personnel during the quarter and nine Months ended December 31, 2005 and December 31,2004

						in Rs. crore
		Contributions
		to provident		Perquisites		Total
Name	Salary	and other funds		and incentives		Remuneration
Chairman and Chief Mentor
N R Narayana Murthy	0.03		0.01		0.06		0.10
	0.03		0.01		0.06		0.10
	0.09		0.03		0.17		0.29
	0.09		0.03		0.13		0.25
Chief Executive Officer, President and Managing Director
Nandan M Nilekani	0.03		0.01		0.06		0.10
	0.03		0.01		0.06		0.10
	0.09		0.03		0.16		0.28
	0.09		0.03		0.13		0.25
Chief Operating Officer and Deputy Managing Director
S Gopalakrishnan	0.03		0.01		0.06		0.10
	0.03		0.01		0.06		0.10
	0.09		0.03		0.17		0.29
	0.09		0.04		0.12		0.25
Whole-time Directors
K Dinesh	0.03		0.01		0.06		0.10
	0.03		0.01		0.06		0.10
	0.09		0.03		0.15		0.27
	0.09		0.03		0.12		0.24
S D Shibulal	0.23		—		0.07		0.30
	0.21		—		0.14		0.35
	0.68		—		0.21		0.89
	0.62		—		0.25		0.87
T V Mohandas Pai	0.05		0.02		0.11		0.18
	0.04		0.01		0.14		0.19
	0.15		0.06		0.34		0.55
	0.13		0.04		0.28		0.45
Srinath Batni	0.04		0.02		0.11		0.17
	0.04		0.01		0.13		0.18
	0.13		0.05		0.30		0.48
	0.12		0.04		0.25		0.41
Other Senior Management Personnel
V Balakrishnan	0.03		0.01		0.09		0.13
	0.03		0.01		0.13		0.17
	0.09		0.03		0.31		0.43
	0.09		0.03		0.31		0.43

					Reimbursement		Total
Name	Commission		Sitting fees		of expenses		remuneration
Non-Whole time Directors
Deepak M Satwalekar		0.05		—		—		0.05
		0.05		—		—		0.05
		0.14		0.01		—		0.15
		0.14		—		0.01		0.15
Marti G Subrahmanyam		0.04		—		0.02		0.06
		0.05		0.01		0.01		0.07
		0.12		—		0.09		0.21
		0.15		—		0.05		0.20
Philip Yeo		—		—		—		—
		0.05		—		—		0.05
		0.03		—		—		0.03
		0.15		—		—		0.15
Omkar Goswami		0.04		—		—		0.04
		0.05		—		—		0.05
		0.13		0.02		0.02		0.17
		0.15		—		0.01		0.16
Larry Pressler		0.04		—		—		0.04
		0.05		—		—		0.05
		0.12		—		—		0.12
		0.15		—		—		0.15
Rama Bijapurkar		0.04		—		—		0.04
		0.05		—		—		0.05
		0.12		—		—		0.12
		0.14		0.01		—		0.15
Claude Smadja		0.04		—		—		0.04
		0.05		—		0.03		0.08
		0.12		—		0.08		0.20
		0.15		0.01		0.10		0.26
Sridar A Iyengar		0.04		—		—		0.04
		0.05		—		0.02		0.07
		0.12		—		0.11		0.23
		0.15		—		0.06		0.21
David Boyles		0.03		—		—		0.03
		0.06		—		—		0.06

27