Depreciation Policy

Encompasses the need of replacement - attributable to one of the following reasons

• Dead on Arrival
• Repeated failure
• Part not available
• Beyond economical repair
• Technical problem – non repairable
• CDRF (consumer forum) Case/critical escalation

Exclude EOL cases

The replacement of the products shall be as per the below order of priority

• Same model
• Equivalent model in terms of features/capacity/star rating, etc.
• Upgraded model
• Refund to customer will be on depreciated purchase value as per below table

In case of EWP

• The set shall be replaced with a refurbished set only without depreciation.
• If it is replaced with new set, depreciation will be applicable as per the table mentioned & standard prevailing warranty shall be offered

Price difference in case of upgraded model

• Difference amount between MRP of both the models will be collected from customer.
• Difference amount up to 10% of MRP of new model can be waived off by BH.
• Above 10% waiver to be approved by COO/CFO

Depreciation in case of product beyond 1 year from DoP (Date of Purchase)

Customer will be charged depreciation amount on MRP of original model as per below table

Warranty on replaced product:

• Warranty/Extended warranty on replaced product will be for the balance period. If a product carrying a warranty for 12 months has been replaced after 8 months of purchase, the replaced product will be warranted for 04 months. ◦ If the product is replaced after expiry of warranty/extended warranty period as per the applicable depreciation rate, the prevailing standard warranty, extended warranty will be offered to the customer.

Others

• Customer’s defective product has to be taken back while giving replacement • Classification as seconds/defective/scrap to be done in Warehouse by service on receipt of defective • Classification to be recommended by Branch Service Manager & approved by Branch Accountant • The data has to be shared in the standardized format (Refer to the XL attachment)