Page 81 - UBF AR 2018 - E Version

NOTES TO THE FINANCIAL STATEMENTS
Year ended 31 March 2018

27 STATED CAPITAL

The Company maintains capital in order to cover risks inherent in the business and meet the capital adequacy

requirements of Central Bank of Sri Lanka. The adequacy of the Company's Capital is monitored based on the

measures, rules and ratios adopted by Central Bank of Sri Lanka.

Capital Management

The primary objective of Company's capital management policy is to ensure that the Company complies with
externally imposed capital requirements and healthy capital ratios in order to support its business and to maximize
shareholders' value.

2018 2017
Rs. Rs.

Issued and fully paid ordinary share capital 2,851,987,469 2,851,987,469
Additions during the year 300,060,130 -

3,152,047,599 2,851,987,469

Number of ordinary shares issued 2,295,283,145 1,695,162,885

28 STATUTORY RESERVE FUND

28.1 Five percent of the profits after tax is transferred to the Reserve Fund as required by the Section 3b (i)
of the Central Bank Direction No 01 of 2003.
2018 2017
Rs. Rs.

Balance as at 1 April 48,451,361 45,073,328
Transfer during the year 3,593,439 3,378,033
Balance as at 31 March
52,044,800 48,451,361

29 AVAILABLE FOR SALE RESERVE 2018 2017

Balance as at 1 April Rs. Rs.
Fair value loss recognised during the year
Accumulated fair value loss transferred to income statement (277,915) (427,194)
Balance as at 31 March - 149,279
-
277,915
- (277,915)

30 ACCUMULATED LOSS 2018 2017

Balance as at 1 April Rs. Rs.
Profit for the year
Other Comprehensive Income for the year (2,123,774,789) (2,188,255,707)
Transfer to Statutory Reserve Fund 71,868,790 67,560,652
Balance as at 31 March 3,872,298 298,299
(3,593,439) (3,378,033)

(2,051,627,141) (2,123,774,789)

Annual Report 2018 79