(b) The investment in the Associate Company represents a 40% shareholding (22,170,640 ordinary shares of Rs. 10 each) in a          cellular telephone company, Mobitel (Private) Limited at 31 December 1999. Of the investment in Mobitel (Private) Limited          15,170,640 ordinary shares were initially allotted, in consideration of SLTL signing a Joint Venture Agreement with Telstra          Holdings (Pty) Limited, Australia and discontinuing a Build Own Transfer (BOT) Agreement they had entered into in 1992.          For the purposes of preparing these financial statements this investment of 15,170,640 shares was valued at 40% of the Net          Assets of Mobitel (Private) Limited as at 30 June 1996 (the date on which Mobitel (Private) Limited effected such issue of          shares in its accounts), according to its audited accounts at that date. As at that date the 15,170,640 ordinary shares          represented 40% of the issued share capital of Mobitel (Private) Limited and its value was Rs. 188 million. Since SLTL did          not pay cash for the 15,170,640 ordinary shares, the consideration was credited to capital reserve (note 21).

        In 1996, Mobitel (Private) Limited increased its issued share capital and SLTL made a cash investment of Rs. 70 million in         another 7,000,000 ordinary shares of Rs. 10 each, so as to maintain a 40% shareholding in Mobitel (Private) Limited.

        The investment in others represent unlisted investments in Intelsat and Inmarsat, the international satellite consortia..