Reliance Industries (RIL) has incurred the capital expenditure of Rs 5,093 crore during 2004-05, mainly on exploration and production, retail marketing network and expansion of petrochemicals business, RIL said in its annual report.However, the fixed assets of the company stands reduced by Rs 2,240 crore, which included certain assets acquired by RIL for marketing of Infocomm services and as part of retail infrastructure, integral to the Infocomm business.These assets have been transferred to the respective Infocomm companies pursuant to these activities now being carried out by Infocomm companies themselves.RIL said it has discontinued the marketing of Infocomm services with effect from October 1, 2004.RIL's income from services has decreased by Rs 1,185 crore to Rs 347 crore in 2004-05 over the Rs 1,532 crore in the previous fiscal primarily due to discontinuance of the marketing of Infocomm services.The net operating margin has remained stable during the fiscal at 19.5% despite volatile raw material prices, offset by higher selling price and increased productivity.The company made provisions for payment to directors which include Rs 21.90 crore each to Mukesh and Anil Ambani, Rs 5.59 crore each to Nikhil and Hital Meswani.
