singapore telecommunications limited
TRANSCRIPT
7/30/2020 General Announcement::Bharti Airtel Limited - Exceptional items
https://links.sgx.com/1.0.0/corporate-announcements/G1PVGQ8HLT3DW22W/bd260669012f15adcc143d6d3ce866c7e4c00a7bf3d07cc70a5e06… 1/1
Issuer & Securities
Issuer/ Manager
SINGAPORE TELECOMMUNICATIONS LIMITED
Securities
SINGTEL - SG1T75931496 - Z74
Stapled Security
No
Announcement Details
Announcement Title
General Announcement
Date &Time of Broadcast
30-Jul-2020 07:31:56
Status
New
Announcement Sub Title
Bharti Airtel Limited - Exceptional items
Announcement Reference
SG200730OTHR8OJ4
Submitted By (Co./ Ind. Name)
Lim Li Ching (Ms)
Designation
Assistant Company Secretary
Description (Please provide a detailed description of the event in the box below)
Please see attachment.
Attachments
Total size =2138K MB
GENERAL ANNOUNCEMENT::BHARTI AIRTEL LIMITED - EXCEPTIONAL ITEMS
BAL-20200730.pdf
Singapore Telecommunications Limited Company registration number: 199201624D 31 Exeter Road, Comcentre Singapore 239732 Tel: +65 6838 3388 Fax: +65 6732 8428 www.singtel.com
SINGAPORE TELECOMMUNICATIONS LIMITED (Incorporated in the Republic of Singapore) Company
Registration Number: 199201624D
ANNOUNCEMENT
BHARTI AIRTEL LIMITED (“Airtel”) – EXCEPTIONAL ITEMS
Airtel announced its results for the quarter ended 30 June 2020 on 29 July 2020 as attached. During the quarter, Airtel recorded exceptional charges which have adversely impacted its reported results. Singtel refers to Notes 3, 4 and 6 of the audited consolidated financial statements of Airtel which are prepared based on Indian Accounting Standards.1 Airtel has recorded additional provisions for license fee and spectrum usage charges and related interests, amounting to Rs. 107.4 billion (Singtel’s equity share: S$631 million) on account of Hon’ble Supreme Court of India’s decision on the Adjusted Gross Revenue matter on 20 July 2020. Airtel has also recognised Rs. 67.1 billion (Singtel’s equity share: S$394 million) as exceptional tax charge arising from reassessment of the carrying amounts of deferred tax balances (including minimum alternate tax credits) as well as adjustments from resolution of certain tax disputes. Including the above, total exceptional charges by Airtel amounted to Rs. 155.0 billion (post tax and minority interest). Singtel’s equity share of this was S$911 million. In May 2020, Bharti Telecom Limited completed the sale of 2.75% stake in Airtel for a consideration of approximately S$1.6 billion. Consequently, Singtel’s effective shareholding in Airtel was reduced from 33.3% to 31.9%. Singtel’s gain from this dilution of S$550 million has been recorded as an exceptional item in the Group. Singtel will disclose its share of the regional associates’ results in its business updates for the first quarter ended 30 June 2020 in August 2020. Issued by Singapore Telecommunications Limited on 30 July 2020
1 Airtel’s results are equity accounted by Singtel based on International Financial Reporting Standard (IFRS). The differences between Indian Accounting Standards and IFRS are not expected to be material.