ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ Indian Overseas Bank ‡ãòŠ³ãè¾ã ‡ãŠã¾ããÃÊã¾ã,763,‚㥥ãã ÔããÊãõ,Þãñ¸ãõ- 600 002 Central Office : 763, Anna Salai, Chennai - 600 002

ÌãããäÓãÇ㊠ãäÀ¹ããñ›Ã Annual Report 2009-2010

31.03.2010 ¦ã‡ãŠ ãä¶ãªñÍã‡ãŠ ½ãâ¡Êã BOARD OF DIRECTORS AS ON 31.03.2010

Ñããè †Ôã.†.¼ã› Shri S A Bhat ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ Chairman and Managing Director Ñããè ÌããƒÃ †Êã ½ãªã¶ã Shri Y L Madan ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ Executive Director Ñããè½ã¦ããè ¶ãî¹ãìÀ ãä½ã¨ãã Smt Nupur Mitra ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ (ã䪶ããâ‡ãŠ 07.12.2009 Ôãñ) Executive Director (from 7.12.2009) ¡ãù.ãäÌã¶ããè¦ã㠇ã슽ããÀ Dr. Vinita Kumar ¼ããÀ¦ã ÔãÀ‡ãŠãÀ ‡ãñŠ ¶ãããä½ã¦ããè ãä¶ãªñÍã‡ãŠ GOI Nominee Director Ñããè½ã¦ããè ãäÞã¨ãã Þãâ³½ããõÊããèÍÌãÀ¶ã Smt.Chitra Chandramouliswaran ¼ãã ãäÀ ºãö‡ãŠ ‡ãñŠ ¶ãããä½ã¦ããè ãä¶ãªñÍã‡ãŠ RBI Nominee Director Ñããè ¶ã›ñÔã¶ã Ñããè£ãÀ¶ã Shri Natesan Sridaran ‡ãŠ½ãÇãŠãÀ ‡ãŠ½ãÃÞããÀãè ãä¶ãªñÍã‡ãŠ Workmen Employee Director Ñããè ‡ãñŠ ‚ãã¶ã¶ª ‡ã슽ããÀ Shri K Ananda Kumar ‚ããä£ã‡ãŠãÀãè ‡ãŠ½ãÃÞããÀãè ãä¶ãªñÍã‡ãŠ (ã䪶ããâ‡ãŠ 26.03.2010 Ôãñ) Officer Employee Director (from 26.3.2010) Ñããè ºããè. Ìããè. ‚ã¹¹ãã ÀãÌã Shri B V Appa Rao ¼ããÀ¦ã ÔãÀ‡ãŠãÀ ´ãÀã ¶ãããä½ã¦ã Nominated by the GOI Ñããè ÔãîÀ•ã Œã¨ããè Shri Sooraj Khatri ¼ããÀ¦ã ÔãÀ‡ãŠãÀ ´ãÀã ¶ãããä½ã¦ã Nominated by the GOI Ñããè ‚ãÍããñ‡ãŠ ‡ã슽ããÀ ¼ããØãÃÌã Shri Ashok Kumar Bhargava Íãñ¾ãÀ£ããÀ‡ãŠ ãä¶ãªñÍã‡ãŠ Shareholder Director Ñããè ãäÞãÀâ•ããèºã Ôãñ¶ã Shri Chiranjib Sen Íãñ¾ãÀ£ããÀ‡ãŠ ãä¶ãªñÍã‡ãŠ Shareholder Director Ñããè †. ÌãñÊÊã¾ã¶ã Shri A Vellayan Íãñ¾ãÀ£ããÀ‡ãŠ ãä¶ãªñÍã‡ãŠ Shareholder Director

Ñããè ‡ãñŠ. Ôã춪À Àã•ã¶ã Shri K Sundar Rajan „¹ã ½ãÖã ¹ãƺãâ£ã‡ãŠ †Ìãâ ½ãâ¡Êã ÔããäÞãÌã Deputy General Manager & Board Secretary

ÊãñŒãã ¹ãÀãèàã‡ãŠØã¥ã AUDITORS Àãäû•ãԛÈãÀ †Ìãâ Íãñ¾ãÀ ‚ãâ¦ãÀ¥ã †•ãò› Registrar & Share Transfer Agent 1. ‚ããñ½ã ‚ãØãÆÌããÊ㠆ñ¥¡ ‡ãŠâ. 1. Om Agarwal & Co. ½ãñÔãÔãà ‡ãõŠãä½ã¾ããñ ‡ãŠã¹ããóÀñ› ÔããäÌãÃÔãñÔã ãäÊã. M/s. Cameo Corporate Services Ltd. (¾ãîãä¶ã› - ‚ãム‚ããñ ºããè) 2. Ìã½ããà †ñ¥¡ Ìã½ããà 2. Varma & Varma (Unit-IOB) Subramanian Building, Ôãìºãƽããä¥ã¾ã¶ã ãäºããäÊ¡âØã, ¹ãÖÊããè ½ãâãäû•ãÊã 3. ¹ããè‡ãñŠ†¹ãŠ Ñããè£ãÀ †ñ¥¡ Ô㶦ãã¶ã½ã 3. PKF Sridhar & Santhanam I Floor, No.1, Club House Road, ¶ã.1, ‡ã‹Êãºã Öã„Ôã Àãñ¡ Chennai - 600 002 4. ¼ããԇãŠÀ¶ã †ñ¥¡ À½ãñÍã 4. Bhaskaran & Ramesh Þãñ¸ãõ - 600 002 5. †½ã. ¼ããԇãŠÀ ÀãÌ㠆ñ¥¡ ‡ãâŠ. 5. M Bhaskara Rao & Co. ›ñãäÊã¹ãŠãñ¶ã - 044-28460390 (œÖ Êãヶãò), Tel : 044 - 28460390 (Six Lines) 6. ãä½ã¦¦ãÊã Øã칦ã㠆ñ¥¡ ‡ãâŠ. 6. Mittal Gupta & Co. 28460084, 28460395 28460084, 28460395 ¹ãõŠ‡ã‹Ôã- 044-28460129 Fax: 044 - 28460129 ƒÃ-½ãñÊã :[email protected] e- mail : [email protected]

1 ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ Indian Overseas Bank ‡ãòŠ³ãè¾ã ‡ãŠã¾ããÃÊã¾ã,763,‚㥥ãã ÔããÊãõ,Þãñ¸ãõ- 600 002 Central Office : 763, Anna Salai, Chennai - 600 002

ÌãããäÓãÇ㊠ãäÀ¹ããñ›Ã Annual Report 2009-2010

ãäÌãÓã¾ã-ÌãÔ¦ãì CONTENTS ãäÌãÓã¾ã-ÌãÔ¦ãì Contents ¹ãðӟ Ôãâ Page No. ãäÌãÓã¾ã-ÌãÔ¦ãì Contents ¹ãðӟ Ôãâ Page No. ‚㣾ãà㠇ãŠãè ¡ñԇ㊠Ôãñ ‡ãŠã¹ããóÀñ› ØãÌã¶ãó¶Ôã ¹ãÀ ÊãñŒãã-¹ãÀãèàã‡ãŠãò ‡ãŠã ¹ãƽãã¥ã-¹ã¨ã From the Chairman’s desk 4 Auditors’ Certificate on Corporate Governance 69 Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãñ ÔãîÞã¶ãã ÌãããäÓãÇ㊠ÊãñŒãñ Notice to Shareholders 9 Annual Accounts 70

¹ããäÀ¥ãã½ã - †‡ãŠ ¢ãÊã‡ãŠ ½ãò ¶ã‡ãŠª ¹ãÆÌããÖ ãäÌãÌãÀ¥ã †Ìãâ ÊãñŒãã-¹ãÀãèàã‡ãŠãò ‡ãŠã ¹ãƽãã¥ã-¹ã¨ã 115 Results at a Glance 13 Cash Flow Statement & Auditors’ Certificate 117 ãä¶ãªñÍã‡ãŠãò ‡ãŠãè ãäÀ¹ããñ›Ã ÊãñŒãã-¹ãÀãèàã‡ãŠãò ‡ãŠãè ãäÀ¹ããñ›Ã Directors’ Report 14 Auditors’ Report 142

¹ãƺãâ£ã¶ã ãäÌãÞããÀ - ãäÌã½ãÍãà ‚ããõÀ ãäÌãÍÊãñÓã¥ã ¹ãÆãù‡ã‹Ôããè ¹ãŠã½ãà 145 Management Discussion and Analysis 20 Proxy Form 146 ÌãÓãà 2009-10 ‡ãñŠ ãäÊㆠ‡ãŠã¹ããóÀñ› ØãÌã¶ãó¶Ôã ¹ãÀ „¹ããäÔ©ããä¦ã ¹ãÞããê ãä¶ãªñÍã‡ãŠ ½ãâ¡Ê㠇ãŠãè ãäÀ¹ããñ›Ã Attendance Slip Report of the Board of Directors on ƒÃÔããè†Ô㠂ããä£ãªñÍã ¹ãŠã½ãà 149 Corporate Governance for the Year 2009-10 37 ECS Mandate Form 150

(In this Annual Report in case of any discrepancy found in Hindi Version, English Version will prevail)

ãäÌ㦦ããè¾ã ‡ãõŠÊãñ¥¡À Financial Calendar ãäÌ㦦ããè¾ã ÌãÓãà 1 ‚ã¹ãÆõÊã 2009 Ôãñ 31 ½ããÞãà 2010 ‡ãñŠ ãäÊㆠFor the Financial Year 1st April 2009 to 31st March 2010 ÊãñŒãã ºãâªãè ‡ãŠãè ¦ããÀãèŒãò 29. 05.2010 (Íããä¶ãÌããÀ) Ôãñ Book Closure Dates 29.05.2010 (Saturday) to 04.06.2010 (Íãì‰ãŠÌããÀ) 04.06.2010 (Friday) (ªãñ¶ããñâ ã䪶ã Íãããä½ãÊã Öö) (both days inclusive) ÌãããäÓãÇ㊠ãäÀ¹ããñ›Ã ‡ãŠã ¹ãÆñÓã¥ã 15.06.2010 Ôãñ 23.06.2010 Posting of Annual Report 15.06.2010 to 23.06.2010 Last date for Receipt of ¹ãÆãù‡ã‹Ôããè ¹ãŠã½ãà ‡ãŠãè ¹ãÆãã书㠇ãñŠ Proxy forms 15.07.2010 ãäÊㆠ‚ãâãä¦ã½ã ãä¦ããä©ã 15.07.2010 (ØãìÁÌããÀ) 17.00 ºã•ãñ (Thursday) 17:00 Hrs ÌãããäÓãÇ㊠Ôãã½ã㶾㠺ãõŸ‡ãŠ ‡ãŠãè ¦ããÀãèŒã 20.07.2010 (½ãâØãÊãÌããÀ) ÔãìºãÖ Date of AGM 20.07.2010 (Tuesday) 10.00 ºã•ãñ 10.00 A.M. Êãã¼ããâÍ㠇ãŠãè ÜããñÓã¥ãã 20.07.2010 (½ãâØãÊãÌããÀ) Declaration of dividend 20.07.2010 (Tuesday) Êãã¼ããâÍ㠂ãªã¾ãØããè ¦ããÀãèŒã ‡ãŠãñ ¾ã㠄¹ãÀ㶦ã 30.07.2010 Dividend Payment date on or after 30.07.2010 Êãã¼ããâÍ㠂ããä£ã¹ã¨ã ¹ãÆñÓã¥ã ‡ãŠãè Ôãâ¼ãã̾㠦ããÀãèŒã 30.07.2010 Ôãñ 04.08.2010 Probable Date of Despatch of Dividend Warrants 30.07.2010 to 04.08.2010

2 ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ Indian Overseas Bank ‡ãòŠ³ãè¾ã ‡ãŠã¾ããÃÊã¾ã,763,‚㥥ãã ÔããÊãõ,Þãñ¸ãõ- 600 002 Central Office : 763, Anna Salai, Chennai - 600 002

Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãñ ‚ã¶ãìªñÍã : ‚ããä¦ã ‚ããÌã;ã‡ãŠ Ì㠦㦇ãŠãÊã 1. ºãö‡ãŠ‡ãŠãÀãè ‡ãŠâ¹ã¶ããè („¹ã‰ãŠ½ããò ‡ãŠã ‚ããä£ãØãÆ֥㠆Ìã⠂ãâ¦ãÀ¥ã) ‚ããõÀ ãäÌ㦦ããè¾ã ÔãâÔ©ãã†ú ãäÌããä£ã (ÔãâÍããñ£ã¶ã) ‚ããä£ããä¶ã¾ã½ã 2006 •ããñ 16 10 2006 Ôãñ ¹ãƼããÌããè Öõ, ¶ãñ ºãö‡ãŠ‡ãŠãÀãè ‡ãŠâ¹ã¶ããè („¹ã‰ãŠ½ããò ‡ãŠã ‚ããä£ãØãÆ֥㠆Ìã⠂ãâ¦ãÀ¥ã) ‚ããä£ããä¶ã¾ã½ã 1970 ½ãò ãä¶ã½¶ããäÊããäŒã¦ãã¶ãìÔããÀ †‡ãŠ ¶ãƒÃ £ããÀã 10 (ºããè) •ããñ¡ ªãè Öõ : ¾ããäª ãä‡ãŠÔããè Íãñ¾ãÀ£ããÀ‡ãŠ ¶ãñ Êãã¼ããâÍ㠇ãŠãè ÜããñÓã¥ã㠇ãŠãè ¦ããÀãèŒã Ôãñ 30 ã䪶ããò ‡ãŠãè Ôã½ããã书ã Ôãñ 7 ã䪶ããò ‡ãñŠ ‚ãâªÀ Êãã¼ããâÍ㠇ãŠã ¶ã‡ãŠªãè‡ãŠÀ¥ã / ªãÌãã ¶ãÖãé ãä‡ãŠ¾ãã Öõ ¦ããñ ºãö‡ãŠ ‡ãñŠ Ëã¼ããâÍã ÞããÊãî Œãã¦ãñ ½ãò •ã½ã㠆ñÔããè À‡ãŠ½ã ‡ãŠãñ ‚ãÊãØã Ôãñ “ÌãÓãà ————‡ãñŠ ãäÊㆠ‚ãヂããñºããè ‡ãŠã ‚㪦¦ã Êãã¼ããâÍ㠌ãã¦ã㔠ÍããèÓãÇ㊠¹ããè †‡ãŠ ‚ãÊãØ㠌ãã¦ãñ ½ãò ‚ãâ¦ããäÀ¦ã ‡ãŠÀ ã䪾ã㠕ãã†úý ‚㪦¦ã Êãã¼ããâÍ㠌ãã¦ãñ ½ãò ‚ãâ¦ããäÀ¦ã ‡ãŠãè Øã¾ããè ‡ãŠãñƒÃ ¼ããè À‡ãŠ½ã ‚ãâ¦ãÀ¥ã ‡ãŠãè ¦ããÀãèŒã Ôãñ Ôãã¦ã ÌãÓããô ‡ãŠãè ‚ãÌããä£ã ‡ãñŠ ãäÊㆠ‚㪦¦ã ¾ã㠂ãªãÌãã‡ãðŠ¦ã ÀÖ¦ããè Öõ ¦ããñ „Ôãñ ‡ã⊹ã¶ããè ‚ããä£ããä¶ã¾ã½ã 1956 ‡ãŠãè £ããÀã 205 (1) (Ôããè) ‡ãñŠ ¦ãÖ¦ã Ô©ãããä¹ã¦ã ãä¶ãÌãñÍã‡ãŠ ãäÍãàã㠆Ìãâ ÔãìÀàãã ãä¶ããä£ã (‚ãッ¹ãã膹ãŠ) ‡ãŠãñ ‚ãâ¦ããäÀ¦ã ãä‡ãŠ¾ã㠕ãã¶ãã Öõ ý ‚ã¦ã: ãäÌ㦦ããè¾ã ÌãÓãà 2000-01, 2001-02, 2002-03 ‡ãñŠ ãäÊㆠÊãã¼ããâÍã, ãäÌ㦦ããè¾ã ÌãÓãà 2003-04 ‡ãñŠ ãäÊㆠ‚ãâ¦ããäÀ½ã/‚ãâãä¦ã½ã Êãã¼ããâÍ㠂ããõÀ ÌãÓãà 2004-05, 2005-06, 2006- 07, 2007-08 ‚ããõÀ 2008-09 ‡ãñŠ ãäÊㆠ‚ãâ¦ããäÀ½ã ‚ãâãä¦ã½ã Êãã¼ããâÍã ¶ãÖãé ãä½ãÊãã Öõ / ãä•ã¶Öãò¶ãñ Êãã¼ããâÍ㠇ãŠã ¶ã‡ãŠªãè‡ãŠÀ¥ã ¶ãÖãé ãä‡ãŠ¾ãã Öõ, „¶ãÔãñ ‚ã¶ãìÀãñ£ã Öõ ãä‡ãŠ Ìãñ ‚ã¹ã¶ãñ ªãÌãñ, ¹ãŠãñãäÊã¾ããò Ôã⌾ãã (‚ããò) •ãõÔãñ º¾ããñÀãò ÔããäÖ¦ã ãä¶ãÌãñÍã‡ãŠ Ôãâºãâ£ã ‡ãŠàã, ƒã䥡¾ã¶ã ‚ããñÌãÀÔããè•ã ºãö‡ãŠ, ‡ãòŠ³ãè¾ã ‡ãŠã¾ããÃÊã¾ã,‚㥥ãã ÔããÊãõ, Þãñ¸ãõ - 600 002 ‡ãŠãñ ¼ãñ•ã ªò ý 2. ¹ããäºÊã‡ãŠ ƒÍ¾ãî 2000 ‚ããõÀ ‚ã¶ãìÌã¦ããèà †Ìãâ ¹ããäºÊã‡ãŠ ƒÍ¾ãî 2003 ‡ãñŠ Ìãã¹ãÔããè ‚ããªñÍã ¹ãÆ㹦㠶ã Öãñ¶ãñ Ôãâºãâ£ããè ½ãã½ãÊããò ‡ãñŠ ºããÀñ ½ãò ¼ããè Íãñ¾ãÀ£ããÀ‡ãŠãò Ôãñ ‚ã¶ãìÀãñ£ã Öõ ãä‡ãŠ Ìãñ ‚ã¹ã¶ãñ ªãÌãñ, ¾ããäª ‡ãŠãñƒÃ Öãñ, ¦ããñ ‚ããÌãñª¶ã Ôã⌾ãã ÔããäÖ¦ã ãä¶ãÌãñÍã‡ãŠ Ôãâºãâ£ã ‡ãŠàã, ƒã䥡¾ã¶ã ‚ããñÌãÀÔããè•ã ºãö‡ãŠ, ‡ãòŠ³ãè¾ã ‡ãŠã¾ããÃÊã¾ã,‚㥥ãã ÔããÊãõ, Þãñ¸ãõ - 600 002 ‡ãŠãñ ¼ãñ•ã ªòý 3. ƒÊãñ‡ã‹›Èããä¶ã‡ãŠ ¹㠽ãò Íãñ¾ãÀ £ããÀ¥ã ‡ãŠÀ¶ãñÌããÊãñ Íãñ¾ãÀ£ããÀ‡ãŠãò ´ãÀã ¹ã¦ãñ, ºãö‡ãŠ Œãã¦ãñ ½ãò ¹ããäÀÌã¦ãö㠃¦¾ãããäª •ãõÔãñ ‚ããä£ãªñãäÍã¦ã ãäÌãÌãÀ¥ããò ½ãò ¹ããäÀÌã¦ãö㠇ãñŠ ãäÊㆠÔãâºãâãä£ã¦ã ¡ãè ¹ããè ‡ãŠãñ Ôãâ¹ã‡ãÊ ‡ãŠÀ¶ãã Öõ, ¶ã ãä‡ãŠ Àãä•ãԛÈãÀ Ôãñý ‡ãðŠ¹ã¾ãã ¶ããñ› ‡ãŠÀ Êãò ãä‡ãŠ Àãä•ãԛÈãÀ, ¡ãè ¹ããè ´ãÀã 28.05.2010 ¦ã‡ãŠ „¶Öò ã䪆 Öì† ãäÌãÌãÀ¥ã ‡ãñŠ ‚ãã£ããÀ ¹ãÀ Êãã¼ããâÍ㠂ããä£ã¹ã¨ã (¾ãã ¾ããäª Íãñ¾ãÀ£ããÀ‡ãŠ ¶ãñ ƒÃÔããè†Ô㠕ã½ã㠇ãŠã ãäÌã‡ãŠÊ¹ã ã䪾ãã Öãñ ¦ããñ „Ô㠂ããä£ãªñãäÍã¦ã Œãã¦ãñ ½ãò •ã½ã㠇ãŠÀñØãã) ¼ãñ•ãñØãã ý 4. ¹ãŠãñãäÊã¾ããñ ‡ãŠã Ôã½ãñ‡ãŠ¶ã : ¾ãÖ ¹ãã¾ãã Øã¾ãã ãä‡ãŠ ‡ãŠƒÃ Íãñ¾ãÀ£ããÀ‡ãŠãò ´ãÀ㠆‡ãŠ Ôãñ ‚ããä£ã‡ãŠ ‚ã©ããæ㠺ãÖìÔã⌾ãã ½ãò ¹ãŠãñãäÊã¾ããñ ÀŒãñ Ööý Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãñ „¦¦ã½ã ÔãñÌãã ¹ãƪã¶ã ‡ãŠÀ¶ãñ Öñ¦ãì Ö½ã Íãñ¾ãÀ£ããÀ‡ãŠãò Ôãñ ‚ã¶ãìÀãñ£ã ‡ãŠÀ¦ãñ Öö ãä‡ãŠ Ìãñ ¹ãŠãñãäÊã¾ããñ ‡ãñŠ Ôã½ãñ‡ãŠ¶ã Öñ¦ãì ‚ã¹ã¶ãñ Íãñ¾ãÀ ¹ãƽãã¥ã-¹ã¨ããò ‡ãŠãñ Ö½ããÀñ Àãä•ãԛÈãÀ ‡ãŠãñ †Ìãâ Íãñ¾ãÀ ‚ãâ¦ãÀ¥ã †•ãñ¥›Ô㠇ãŠãñ „¶ã‡ãñŠ ãäÀ‡ãŠã¡Ã ½ãò ‚ããÌã;ã‡ãŠ Ôãì£ããÀ Öñ¦ãì ¼ãñ•ã ªòý

Instructions to Shareholders : Most Urgent and Immediate

1. The Banking Companies (Acquisition and Transfer of Undertakings) and Financial Institutions Laws (Amendment) Act, 2006, which has come into force on 16 10 2006 has inserted a new section 10(B) in the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 which provides as under : Within 7 days from the expiry of 30 days from the date of declaration, if any shareholder has not encashed/claimed the dividend, such amounts lying in the bank Dividend current account, shall be transferred to a separate account styled “Unpaid Dividend Account of IOB for the year _____” Any money transferred to the Unpaid Dividend account which remains unpaid or unclaimed for a period of seven years from the date of such transfer, shall be transferred to the Investor Education and Protection Fund (IEPF)established under section 205(1)(C) of the Companies Act, 1956. Hence the Shareholders who have not received/encashed the dividend for financial years 2000-01, 2001-02, 2002-03 Interim/Final Dividend 2003-04, Interim / Final Dividend 2004-05, 2005-06, 2006-07, 2007-08 and for the year 2008-09 are requested to send their claim along with details of Folio No.(s) to Investor Relations Cell, Indian Overseas Bank, Central Office, 763 Anna Salai, Chennai 600 002. 2. Shareholders are also requested to send their claims, if any, in case of non receipt of refund orders in respect of our Public Issue 2000 and Follow on Public Issue 2003 along with Application Number to Investor Relations Cell, Indian Overseas Bank, Central Office,763, Anna Salai, Chennai-600 002. 3. The shareholders, who are holding shares in electronic form have to approach only the DP concerned and not the Registrar for any change in the mandated particulars like change of address, Bank Account, etc., Please note that the Registrar would send the dividend warrant (or credit to the mandated account in the case of shareholders who have opted for ECS credit) based on the particulars furnished by DP to the Registrar as on 28.05.2010. 4. Consolidation of Folios : It has been found that many shareholders maintain more than one folio (ie.) multiple folios. In order to provide efficient service to shareholders, we request the shareholders to consolidate the folios by forwarding their share certificates to our Registrar and Share Transfer Agent for necessary corrections in their records.

3 ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ ‡ãŠã ¹ã¨ã LETTER FROM THE CHAIRMAN AND MANAGING DIRECTOR

Ñããè †Ôã. †. ¼ã› ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ Shri S.A. BHAT Chairman & Managing Director ãä¹ãƾã Íãñ¾ãÀ£ããÀ‡ãŠãñ, Dear Shareholders, ÌãÓãà 2009-10 ‡ãñŠ ãäÊㆠ‚ãã¹ã‡ãñŠ ºãö‡ãŠ ‡ãŠãè ÌãããäÓãÇ㊠ãäÀ¹ããñ›Ã ‚ããõÀ ãäÌ㦦ããè¾ã I present your Bank’s Annual Report and financial statements for the year 2009-10. I would like to ãäÌãÌãÀ¥ã ¹ãÆÔ¦ãì¦ã ‡ãŠÀ ÀÖã Öúîý ½ãö ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ‡ãñŠ ‡ã슜 ½ãÖ¦Ìã¹ãî¥ãà briefly highlight some key issues and performance ºãã¦ããò ‚ããõÀ ãä¶ãÓ¹ã㪇㊠ÔãîÞã‡ãŠãò ¹ãÀ Ôãâàãñ¹ã ½ãò ¹ãƇãŠãÍã ¡ãÊã¶ãã ÞããÖîúØããý indicators of the Bank during the year. ÌãÓãà 2008-09 ‡ãñŠ ªãõÀã¶ã ¼ããÀ¦ããè¾ã ‚ã©ãÃ̾ãÌãÔ©ãã ½ãò ÖìƒÃ 6.7% Ìãðãä® The Indian economy is estimated to have ‡ãŠãè ¦ãìÊã¶ãã ½ãò ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã 7.2% - 7.5% ‡ãŠãè Ìãðãä® recorded a growth in the range of 7.2%-7.5% during the year 2009-10 as against 6.7% recorded ÖìƒÃ Öõ ý ‚ã¹ãÆõÊã 10, 2009 ¦ã‡ãŠ ãäÌãªñÍããè ãäÌããä¶ã½ã¾ã ‚ããÀãäàããä¦ã¾ããú ¾ãî during 2008-09. As on April 10, 2009, Foreign †Ôã ¡ãè 279 ãäºããäÊã¾ã¶ã ÀÖãé, •ããñ ãä‡ãŠ Øã¦ã ÌãÓãà „Ôããè ‚ãÌããä£ã ‡ãñŠ ãäÊㆠExchange Reserves stood at USD 279 billion 20 ¾ãî†Ôã¡ãè ãäºããäÊã¾ã¶ã ‡ãŠãè ‡ãŠ½ããè ‡ãŠãè ¦ãìÊã¶ãã ½ãâñ 11 ¾ãî†Ôã¡ãè ãäºããäÊã¾ã¶ã showing an increase of USD 11 billion as against ‡ãŠãè ºãü¤ãñ¦ãÀãè Öõ ý ªñÍããè ½ããâØã ½ãñâ ÌãÔãîÊããè ‡ãñŠ ½ãÿñ¶ã•ãÀ ‚ãã¾ãã¦ã ½ãñâ Ôãì£ããÀ a decline of USD 20 billion during the corresponding period a year ago. Imports have Öì‚ãã Öõ, ‚ã‡ã‹¦ãîºãÀ 2009 Ôãñ ãä¶ã¾ããæããò ½ãâñ ºãü¤ãñ¦ãÀãè ÖìƒÃ Öõ •ããñ ºããÖÀãè improved evidencing recovery in domestic ½ããâØã ½ãâñ ¦ãñ•ããè ‡ãŠãñ ªÍããæãã Öõ ‚ããõÀ ‡ãìŠÊã ãä½ãÊãã‡ãŠÀ ‚ãããä©ãÇ㊠„ØããÖãè ½ãò demand, exports have turned around since ¦ãñ•ããè ÖìƒÃ •ããñ 2009-10 ‡ãŠãè ªîÔãÀãè ãä¦ã½ããÖãè ½ãò Íãì Öì‚ãã ý ÌãÓãà October 2009 reflecting revival of external demand 2009-10 ‡ãñŠ ªãõÀã¶ã ƒÃãä‡ã‹Ìã›ãè ºãã•ããÀ ÌãõãäÍÌã‡ãŠ ‚ããä¼ã¾ãã¶ã ‡ãñŠ ÞãÊã¦ãñ and on the whole, economic recovery which began in the second quarter of 2009-10 is gaining ‚ã㶦ãÀããä¾ã‡ãŠ Ôãì£ããÀãò ‡ãñŠ Ôãã©ã ãäÔ©ãÀ ÀÖã ý ºããè †Ô㠃à ÔãòÔãñ‡ã‹Ôã momentum. During 2009-10, equity markets 1.04.2009 ‡ãñŠ 9902 ‡ãŠãè ¦ãìÊã¶ãã ½ãò 31.03.2010 ‡ãŠãñ 17528 generally remained firm with intermittent ÀÖ㠕ããñ ÌãÓãà ‡ãñŠ ªãõÀã¶ã 77.01% ‡ãŠãè ºãü¤ãñ¦ãÀãè Öõ ý corrections in line with the global movement. The BSE Sensex improved by 77.01% during the year Ôã½ããèàãã£ããè¶ã ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ‡ãñŠ ‡ãŠã¾ãÃãä¶ãÓ¹ã㪶㠇ãŠãè ãä¶ã½¶ããäÊããäŒã¦ã from 9902 on 1.04.2009 to 17528 on 31.03.2010. ãäÌããäÍãӛ¦ãã†ú ÀÖãè Öö : The performance of the Bank during the year under review : è 31 ½ããÞãà 2010 ¦ã‡ãŠ ‚ãã¹ã‡ãñŠ ºãö‡ãŠ ‡ãŠã ÌãõãäÍÌã‡ãŠ ‡ãŠãÀãñºããÀ Á.1,91,577 ‡ãŠÀãñü¡ ¦ã‡ãŠ ¹ãÖìúÞã Øã¾ã㠕ããñ ãä‡ãŠ ãä¹ãœÊãñ ÌãÓãà ‡ãñŠ è Your Bank’s global business reached Rs Á.1,75,925 ‡ãŠÀãñü¡ ‡ãŠãè ¦ãìÊã¶ãã ½ãò 8.90 % ‚ããä£ã‡ãŠ Öõ ý 1,91,577 crore as at 31st March 2010 resulting in an increase of 8.90% over last year’s figure ie. Rs. 1,75,925 crore

4 è ÌãÓãà 2009 - 2010 ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ‡ãŠãè •ã½ãã‚ããò ¶ãñ ÌãÓãà ªÀ ÌãÓãà è Deposits of the Bank registered a year-on- ‚ãã£ããÀ ¹ãÀ Á.10679 ‡ãŠÀãñü¡ (10.67 %) ‡ãŠãè Ìãðãä® ‡ãŠãñ ª•ãà year (y-o-y) growth of Rs. 10679 crore (10.67%) during the year 2009-10 and ãä‡ãŠ¾ãã Öõý ÌãÓãà 2008-09 ‡ãñŠ Á.1,00,116 ‡ãŠÀãñü¡ ‡ãŠãè •ã½ãã‚ããò increased from Rs. 1,00,116 crore for the ‡ãŠãè ¦ãìÊã¶ãã ½ãò ¾ãÖ ºã¤‡ãŠÀ Á.1,10,795 ‡ãŠÀñãü¡ ÀÖãè ý year 2008-09 to Rs. 1,10,795 crore. è ÌãÓãà 2009 - 2010 ‡ãñŠ ªãõÀã¶ã Ôã‡ãŠÊ㠂ããäØãƽããò ¶ãñ ÌãÓãà ªÀ ÌãÓãà è Gross Advances registered a y-o-y growth ‚ãã£ããÀ ¹ãÀ Á.4,972 ‡ãŠÀãñü¡ ‡ãŠãè (6.56%) Ìãðãä® ª•ãà ãä‡ãŠ¾ãã Öõ of Rs.4972 crore (6.56%) and stood at Rs.80,782 crore for the year 2009-10, as ‚ããõÀ ¾ãÖ Á.80,782 ‡ãŠÀãñü¡ ÀÖãèý ÌãÓãà 2008-09 ‡ãñŠ ªãõÀã¶ã against Rs.75,810 crore for the year 2008-09. ¾ãÖ Á.75,810 ‡ãŠÀãñü¡ ©ããý è Operating Profit for the Bank was Rs. 1,845 è 31.03.2009 ¦ã‡ãŠ ‡ãñŠ Á. 2,524 ‡ãŠÀãñü¡ ‡ãñŠ ºãö‡ãŠ ‡ãñŠ ¹ããäÀÞããÊã¶ãØã¦ã crore as on 31.03.2010 as against Rs. 2,524 Êãã¼ã ‡ãŠãè ¦ãìÊã¶ãã ½ãò ¾ãÖ 31.03.2010 ¦ã‡ãŠ Á.1845 ‡ãŠÀãñü¡ crore as on 31.03.2009. ÀÖãý è Net Profit stood at Rs 707 crore at the end of the year as against Rs. 1,326 crore for è ãä¶ãÌãÊã Êãã¼ã Øã¦ã ÌãÓãà ‡ãñŠ Á.1326‡ãŠÀãñü¡ ‡ãŠãè ¦ãìÊã¶ãã ½ãñ ÌãÓããĦã the previous year. ¦ã‡ãŠ Á.707 ‡ãŠÀãñü¡ ÀÖã ý è Net investments of the Bank increased to è ÌãÓãà 2008-09 ‡ãñŠ Á.31,215 ‡ãŠÀãñü¡ ‡ãŠãè ¦ãìÊã¶ãã ½ãò ºãö‡ãŠ ‡ãŠã Rs. 37,651 crore from Rs. 31,215 crore in 2008-09. ãä¶ãÌãÊã ãä¶ãÌãñÍã Á.37,651 ‡ãŠÀãñü¡ ¦ã‡ãŠ ºã¤û Øã¾ããý è The percentage of priority sector advances è ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ 40% ½ãã¶ã⪡ãò ‡ãñŠ ¹ãÆãä¦ã Ôã½ãã¾ããñãä•ã¦ã to Adjusted Net Bank Credit was at 40.59% ãä¶ãÌãÊã ºãö‡ãŠ „£ããÀ ‡ãŠãè ¦ãìÊã¶ãã ½ãò ¹ãÆã©ããä½ã‡ãŠ¦ãã àãñ¨ã ‚ããäØãƽããò ‡ãŠã as against RBI norms of 40%. ¹ãÆãä¦ãÍã¦ã 40.59 % ÀÖãý è The agricultural credit portfolio of the Bank registered a growth of Rs. 1,780 crore from è Ôã½ããèàãã£ããè¶ã ÌãÓãà ½ãò ºãö‡ãŠ ‡ãñŠ ‡ãðŠãäÓ㠄£ããÀ ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ ¶ãñ Á.1,780 Rs. 10,817 crore to Rs. 12,597 crore in the ‡ãŠÀãñü¡ ‡ãŠãè Ìãðãä® ª•ãà ‡ãŠãè Öõ ãä•ãÔãÔãñ ¾ãÖ Á.10,817 ‡ãŠÀãñü¡ Ôãñ year under review. The Bank’s ratio of ºãü¤ ‡ãŠÀ Á.12,597 ‡ãŠÀãñü¡ Öãñ Øã¾ããý Ôã½ãã¾ããñãä•ã¦ã ãä¶ãÌãÊã ºãö‡ãŠ agricultural advances to Adjusted Net Bank „£ããÀ ‡ãŠãè ¦ãìÊã¶ãã ½ãò ºãö‡ãŠ ‡ãñŠ ‡ãðŠãäÓ㠂ããäØãƽ㠇ãŠã ¹ãÆãä¦ãÍã¦ã 18.77% Credit at 18.77% exceeded the 18% norm. The Bank took a number of initiatives to ÀÖ㠕ããñ ãä‡ãŠ ãä¶ã£ããÃãäÀ¦ã 18% ½ãã¶ãªâ¡ ‡ãŠã ‚ããä£ãØã½ã¶ã Öõý ºãö‡ãŠ ¶ãñ increase the flow of credit to this sector. ƒÔã àãñ¨ã ½ãò „£ããÀ ¹ãÆÌããÖ ‡ãŠãñ ºãü¤ã¶ãñ ‡ãñŠ ãäÊㆠ‡ãŠƒÃ ¹ãÖÊã ãä‡ãŠ† ý è The total exposure of the Bank as on March è 31 ½ããÞãà 2010 ¦ã‡ãŠ †ÔㆽãƒÃ àãñ¨ã ½ãò ºãö‡ãŠ ‡ãŠã ‡ãìŠÊ㠄£ããÀ 31, 2010 to SME sector stood at Rs. 11,660 Á.11,660 ‡ãŠÀãñü¡ ÀÖãý ºãö‡ãŠ ¶ãñ ‚ããù›ãñ ãäÀ‡ã‹Íãã ,̾ããÌãÔãããä¾ã‡ãŠ crore. The Bank has executed MOUs with the private sector for financing of auto ãä¦ã¹ããäÖ¾ãã ÌããÖ¶ã ,›È‡ãŠ ‚ããõÀ ̾ããÌãÔãããä¾ã‡ãŠ ¹ããäÀÌãÖ¶ã Ìããֶ㠇ãñŠ rickshaws, commercial three wheelers, trucks ãäÌ㦦ã¹ããñÓã¥ã ‡ãñŠ ãäÊㆠãä¶ã•ããè àãñ¨ã ‡ãñŠ Ôãã©ã Ôã½ã¢ããõ¦ã㠗ãã¹ã¶ã ‡ãŠã and commercial transport vehicles. ãä¶ãÓ¹ã㪶ã ãä‡ãŠ¾ãã Öõý è The CD Ratio registered a level of 72.91% è ãäÀ¹ããñãä›ÄØ㠂ãÌããä£ã ‡ãñŠ ‚ãâ¦ã ¦ã‡ãŠ „£ããÀ •ã½ã㠂ã¶ãì¹ãã¦ã ¶ãñ 72.91% as at the end of the reporting period. ‡ãñŠ Ô¦ãÀ ‡ãŠãñ ÖããäÔãÊ㠇ãŠÀ ãäÊã¾ããý è The Bank’s Net Profit as a percentage of Average Networth as of 31.03.2010 stood at è 31.03.2010 ¦ã‡ãŠ ‡ãñŠ ãäÊㆠ‚ããõÔã¦ã ãä¶ãÌãÊã ½ãîʾ㠇ãŠãè ¦ãìÊã¶ãã ½ãò 11.97%. ºãö‡ãŠ ‡ãŠã ãä¶ãÌãÊã Êãã¼ã 11.97% ÀÖãý è Total Net Interest Income improved to Rs. è ãä¹ãœÊãñ ÌãÓãà ‡ãñŠ Á.2,870 ‡ãŠÀãñü¡ ‡ãŠãè ¦ãìÊã¶ãã ½ãò ƒÔ㠂ãÌããä£ã ‡ãñŠ 3,168 crore when compared to Rs. 2,870 crore last year, registering a growth of ªãõÀã¶ã ‡ãìŠÊã ãä¶ãÌãÊã º¾ãã•ã ‚ãã¾ã ºãü¤‡ãŠÀ Á. 3,168 ‡ãŠÀãñü¡ ¦ã‡ãŠ 10.39%. ¹ãÖìúÞã Øã¾ããè, •ããñ ãä‡ãŠ 10.39% ‡ãŠãè Ìãðãä® Öõý

5 è ÌãÓãà ‡ãñŠ ãäÊㆠãä¶ãÌãÊã º¾ãã•ã ½ãããä•ãöã 2.74% ÀÖã ý è Net Interest Margin stood at 2.74% for the year. è ºãö‡ãŠ ‡ãŠãè ‡ãìŠÊ㠂ãã¾ã Øã¦ã ÌãÓãà ‡ãñŠ Á. 11,237 ‡ãŠÀãñü¡ ‡ãŠãè ¦ãìÊã¶ãã è The Bank’s total income stood at Rs. 11,389 ½ãñ ƒÔã ÌãÓãà ‡ãñŠ ‚ãâ¦ã ½ãñâ Á.11,389 ‡ãŠÀãñü¡ ÀÖãè ý crore as against Rs. 11,237 crore for the previous year. è ¹ãÆãä¦ã ‡ãŠ½ãÃÞããÀãè ̾ãã¹ããÀ •ãÖãú Á.6.89 ‡ãŠÀãñü¡ Ôãñ ºãü¤‡ãŠÀ Á.7.12 ‡ãŠÀãñü¡ Öãñ Øã¾ãã, ÌãÖãé ¹ãÆãä¦ã ‡ãŠ½ãÃÞããÀãè Êãã¼ã Øã¦ã ÌãÓãà ‡ãñŠ Á. 5.20 è While the business per employee has improved from Rs 6.89 crore to Rs. 7.12 ÊããŒã ‡ãŠãè ¦ãìÊã¶ãã ½ãò 2.63 ÊããŒã ÀÖã ý crore, the profit per employee stood at Rs 2.63 Lacs as against Rs 5.20 Lacs for the è ½ããÞãà 2010 ¦ã‡ãŠ Ôã‡ãŠÊ㠂ã¶ã•ãÇ㊠‚ãããäÔ¦ã Á.3,611 ‡ãŠÀãñü¡ ÀÖãèý previous year. ¹ãÆãä¦ãÍã¦ã ‡ãñŠ Ôã⪼ãà ½ãò 31.03.2009 ‡ãñŠ 2.54% ‡ãñŠ ¹ãÆãä¦ã Ôã‡ãŠÊ㠂ã¶ã•ãÇ㊠‚ãããäԦ㠂ã¶ãì¹ãã¦ã 4.47% ÀÖãý ÌãÓãà ‡ãñŠ ªãõÀã¶ã ãä¶ãÌãÊã è Gross NPA stood at Rs. 3,611 crore in March 2010. In percentage terms, the Gross NPA ‚ã¶ã•ãÇ㊠‚ãããäԦ㠂ã¶ãì¹ãã¦ã 31.03.2009 ‡ãñŠ 1.33% ‡ãŠãè ¦ãìÊã¶ãã ratio was 4.47% as at 31.03.2010 as against ½ãñ 2.52 % ÀÖã ý 2.54% as at 31.03.2009. Net NPA ratio stood at 2.52% for the year under review as against è ÌãÓãà 2009-10 ‡ãñŠ ãäÊㆠãä¶ãªñÍã‡ãŠ ½ãâ¡Êã ¶ãñ 35% Êãã¼ããâÍ㠇ãŠãè 1.33% as at 31.03.2009. ãäÔã¹ãŠããäÀÍ㠇ãŠãè Öõý è A dividend of 35% has been recommended by the Board of Directors for the year 2009-10. 31.03.2010 ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ‡ãñŠ ãäÊㆠ‚ãã¹ã‡ãñŠ ºãö‡ãŠ ‡ãŠã ¹ããäÀÞããÊã¶ãØã¦ã Êãã¼ã 26.91% Ôãñ ãäØãÀ‡ãŠÀ Á. 1845 ‡ãŠÀñãü¡ Öãñ Øã¾ã㠂ããõÀ ãä¶ãÌãÊã Your Bank’s Operating Profit fell by 26.91% to Êãã¼ã 46.68 % Ôãñ ãäØãÀ‡ãŠÀ Á. 707 ‡ãŠÀãñü¡ ÀÖãý ¾ãÖ ãäØãÀãÌ㛠‚㶾ã Rs. 1845 crore and Net Profit fell by 46.68% to Rs. 707 crore for the year ended 31.03.2010 due ‚ãã¾ã •ãõÔãñ ›Èñ•ãÀãè ‚ãã¾ã, ‚ããäØãƽããò ½ãâñ ‡ãŠ½ã Ìãðãä® ‚ããõÀ ‚ãÍããñ£¾ã ¨ãÉ¥ã to fall in other income including treasury income, ‚ããõÀ Ìãñ¦ã¶ã ÔãâÍããñ£ã¶ã ‡ãñŠ ãäÊㆠ„ÞÞã ¹ãÆãÌã£ãã¶ã ‡ãñŠ ‡ãŠãÀ¥ã ‚ãã¾ããè ý 2009 lower growth in advances and higher provisioning ½ãâñ ÌãõãäÍÌã‡ãŠ ½ãâªãè ‡ãñŠ ‡ãŠãÀ¥ã Ö½ããÀñ „£ããÀ‡ãŠ¦ããÂããò ‡ãŠãè Þãì‡ãŠ¦ãã¶ã àã½ã¦ãã for bad debts and for wage revision. The downturn ¹ãƼãããäÌã¦ã ÖìƒÃ ‚ããõÀ ‚ãÍããñ£¾ã ¨ãɥ㠹ãƽãìŒã¦ã: ºãìãä¶ã¾ããªãè ¤ãâÞãñ , ¹ãÆã©ããä½ã‡ãŠ¦ãã in the global economy that was witnessed in 2009 has impacted the repayment capacity of our àãñ¨ã , ‡ãŠãÀãñºããÀãè ãäÌ㦦¹ããñÓã¥ã ‚ããõÀ ¼ãîÔãâ¹ãªã àãñ¨ããò ½ãñâ Öì‚ãã ý ‚ã¶ã•ãÇ㊠borrowers and bad debts were added mainly in ‚ãããäÔ¦ã¾ããò ½ãñâ ºãü¤ãñ¦ãÀãè ‡ãñŠ ‡ãŠãÀ¥ã ‚ã¶ã•ãÇ㊠Œãã¦ããò ¹ãÀ º¾ãã•ã ‡ãŠãè Øã¥ã¶ãã the infrastructure, priority sector, trade finance ¶ãÖãé Öãñ Ôã‡ãŠãè ãä•ãÔã‡ãñŠ ‡ãŠãÀ¥ã º¾ãã•ãØã¦ã ‚ãã¾ã ¹ãÀ ªìÓ¹ãƼããÌã ¹ãü¡ã ý and real estate sectors. Increase in NPAs also results in non reckoning of interest on NPA ‚ãã¹ã‡ãñŠ ºãö‡ãŠ ½ãñ⠂ãÍããñ£¾ã ¨ãɥ㠇ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã 48% Ôãñ ºãü¤ã‡ãŠÀ 54 accounts, adversely affecting interest income. % ‡ãŠÀ ã䪾ãã Øã¾ãã Öõ ‚ããõÀ ãäÔã¦ãâºãÀ 2010 ¦ã‡ãŠ ¾ãÖ 70% ¦ã‡ãŠ ¹ãÖìúÞã¶ãñ Your Bank has increased its provisioning for bad ‡ãŠãè Ôãâ¼ããÌã¶ãã Öõ ¾ãã ºã㪠½ãñâ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ •ãõÔã㠂ããä£ãªñÍã ªñ¦ãã debts to 54% from 48% and expects to reach Öãñ ÌãõÔãã Öãññ¶ãñ ‡ãŠãè Ôãâ¼ããÌã¶ãã Öõý the 70% provisioning norm by September 2010 or later as mandated by Reserve Bank of India.

‚ãâ¦ãÀãÃӛÈãè¾ã Ô¦ãÀ ‡ãñŠ ºãö‡ãŠ Öãñ¶ãñ ‡ãñŠ ¶ãã¦ãñ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ As a Bank with international presence, we have ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ 31 ½ããÞãà 2008 Ôãñ ÔãâÍããñãä£ã¦ã ¶ã¾ããè ¹ãîú•ããèØã¦ã already moved to the revised New Capital ¹ã¾ããù¦ã¦ãã ¹ãÆ¥ããÊããè -(ºãñÔãÊã ýý) ‡ãŠãñ ֽ㠂ã¹ã¶ãã Þãì‡ãñŠ Öõý ºãñÔãÊã ýý Adequacy Framework (BASEL II) from 31st March ¤ãúÞãñ ‡ãñŠ ‚ã¶ãìÔããÀ 31.03.2010 ¦ã‡ãŠ ‡ãñŠ ãäÊㆠÔããè‚ããÀ†‚ããÀ 14.78% 2008 in line with RBI guidelines. CRAR as per BASEL-II framework as on 31.3.2010 works out Öõ •ããñ ãä‡ãŠ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀã ãä¶ã£ããÃãäÀ¦ã 9% ‡ãŠãè ‚ã¹ãñàãã Ôãñ to 14.78% which is above the requirement of 9% ‚ããä£ã‡ãŠ Öõý prescribed by RBI.

ÔãÖ ºãöãä‡ãâŠØã àãñ¨ã ½ãâñ ºãö‡ãŠ ‡ãŠã ½ã쌾㠣¾ãã¶ã Ö½ããÀñ ºããè½ã㠄¦¹ããªãò , ÔÌã¥ãà In the area of para-banking, focus was directed on marketing of insurance products, sale of gold ãäÔã‡ã‹‡ãŠãò ‡ãŠãè ãäºã‰ãŠãè ‚ããõÀ ÔãîÞã¶ãã ¹ãÆãõ²ããñãäØã‡ãŠãè ¾ãì‡ã‹¦ã „¦¹ããªãò ‡ãñŠ ãäÌã¹ã¥ã¶ã coins and IT enabled products. Periodic ¹ãÀ ‡ãñŠã䶳¦ã ÀÖ㠂ããõÀ Ö½ããÀãè Íãìʇ㊠‚ãã£ãããäÀ¦ã ‚ãã¾ã ½ãñâ Ôãì£ããÀ ‡ãŠÀ¶ãñ ‡ãñŠ campaigns were conducted at our branches to ãäÊㆠÍããŒãã‚ããñâ ½ãò ãä¶ã¾ããä½ã¦ã ¹ã Ôãñ ‚ããä¼ã¾ãã¶ã ÞãÊãㆠØㆠý Íãìʇ㊠improve our fee based income. The fee based

6 ‚ãã£ãããäÀ¦ã ‚ãã¾ã 31.03.2009 ‡ãñŠ Á. 15.27 ‡ãŠÀãñü¡ Ôãñ ºãü¤‡ãŠÀ ã䪶ããâ‡ãŠ income which was Rs.15.27 crores as on 31/3/ 31.3.2010 ‡ãŠãñ 23.47 ‡ãŠÀãñü¡ Öãñ Øã¾ããý ØãõÀ •ããèÌã¶ã ºããè½ã㠄¦¹ããªãò ‡ãñŠ 2009 has gone up to Rs.23.47crores as on 31/ 3/2010. The Bank continues with its Corporate ãäÌã¦ãÀ¥ã Öñ¦ãì 20.12.2008 Ôãñ ‚ãã¹ã‡ãñŠ ºãö‡ãŠ ¶ãñ ¾ãîãä¶ãÌãÔãÃÊã Ôããò¹ããñ •ã¶ãÀÊã Agency arrangement entered into, with effect from ƒâ;ãîÀòÔ㠇ã⊹ã¶ããè (ƒÊããÖãºã㪠ºãö‡ãŠ, ‡ãŠ¥ããۇ㊠ºãö‡ãŠ, ¡ãºãÀ ƒ¶Ìãñԛ½ãò› 20.12.2008, with Universal Sompo General ‡ãŠã¹ããóÀñÍã¶ã ‚ããõÀ Ôããò¹ããñ •ãã¹ãã¶ã ƒâ;ããñÀòÔ㠃â‡ãŠ. ÔããäÖ¦ã ØãõÀ •ããèÌã¶ã ºããè½ãã Insurance Company Limited (the Non-Life Ôãâ¾ãì‡ã‹¦ã „²ã½ã ‡ã⊹ã¶ããè) ‡ãñŠ Ôãã©ã ‡ãŠã¹ããóÀñ› ‚ããä¼ã‡ãŠÀ¥ã ̾ãÌãÔ©ãã ãä¶ã¾ã¦ã ‡ãŠãè Insurance Joint Venture Company of your Bank with Allahabad Bank, Karnataka Bank, Dabur Öõ ý Investment Corporation and Sompo Japan Insurance Inc.) for distribution of non-life insurance •ãÖãú ¦ã‡ãŠ ãäÌãªñÍããè ¹ããäÀÞããÊã¶ããò ‡ãŠã ½ãã½ãÊãã Öõ,ÌãÖãâ ¦ããñ ºãö‡ãŠ ‡ãŠãè products. ãäÌãªñÍã ½ãò œ: ¹ãî¥ãùãñ¥ã ÍããŒãã†ú Öö - ªãñ ÖãúØã‡ãŠãúØã ½ãò ‚ããõÀ †‡ãŠ - †‡ãŠ ãäÔãâØãã¹ãìÀ, ªãäàã¥ã ‡ãŠãñãäÀ¾ãã, ÑããèÊãâ‡ãŠã ‚ããõÀ ©ããƒÃÊãö¡ ½ãò ãäÔ©ã¦ã As regards our overseas operations, we have six full-fledged overseas branches – two in Hong Ööý ºãî¶ãÊãñ ‚ããõÀ ÔãñÀâØãî¶ã, ãäÔãâØãã¹ãîÀ ½ãò ¹ãÆñÓã¥ã ‡ãòŠ³ ‡ãŠã¾ãÃÀ¦ã Öö ‚ããõÀ Kong and one each in Singapore, South Korea, ÑããèÊãâ‡ãŠã ½ãò †‡ãŠ „¹ã ÍããŒãã ¼ããè ‡ãŠã¾ãÃÀ¦ã Öõý Sri Lanka and Thailand. Remittance Centres function in Boon Lay and Serangoon, Singapore ƒÔã‡ãñŠ ‚ãÊããÌãã Øãì‚ããâØã¢ãã , Þããè¶ã Ì㠇ã슂ããÊããÊãâ¹ãîÀ, ½ãÊãñãäÍã¾ãã while an Extension Counter is located in Sri Lanka. ¦ã©ãã Öãñ ãäÞã ãä½ãââÖ ãäÔã›ãè,ãäÌã¾ã¦ã¶ãã½ã, ‚ãÊ㠇ãŠÀã½ãã,ªìºãƒÃ ½ãò The Bank’s Representative Offices are located in ºãö‡ãŠ ‡ãñŠ ¹ãÆãä¦ããä¶ããä£ã ‡ãŠã¾ããÃÊã¾ã ½ããõ•ãîª Ööý ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ Guangzhou, China and Kuala Lumpur, Malaysia, ¶ãñ ªìºãƒÃ ½ãò ¹ãÆãä¦ããä¶ã£ã ‡ãŠã¾ããÃÊã¾ã ‡ãŠãè Íãì‚ãã¦ã ‡ãŠãè Öõ ‚ããõÀ Ho Chi Minh City, Vietnam and Al Karama, Dubai. ¹ãŠÀÌãÀãè 2010 Ôãñ ‡ãŠã¾ããÃÊã¾ã ¹ãî¥ãà ¹ã Ôãñ ‡ãŠã¾ãÃÀ¦ã Öõ ý During the year, the Bank has opened Representative Office at Dubai and the office has ½ãÊãñãäÍã¾ãã ½ãñ ºãöãä‡ãâŠØ㠂ã¶ãìÓãâØããè ŒããñÊã¶ãñ ‡ãñŠ ãäÊㆠºãö‡ãŠ ¶ãñ become fully operational since February 2010. ºãö‡ãŠ ‚ããù¹ãŠ ºãü¡ãõªã ‚ããõÀ ‚ã㶣ãÆã ºãö‡ãŠ ‡ãñŠ Ôãã©ã Ôãâ¾ãì‡ã‹¦ã „¹ã‰ãŠ½ã The Bank has signed a joint venture agreement ‡ãŠÀãÀ ¹ãÀ ÖÔ¦ããàãÀ ãä‡ãŠ¾ãã Öõ ý ‚ã¶ãìÓãâØããè ¶ãñ ½ãÊãñãäÍã¾ã㠇ãñŠ with Bank of Baroda and Andhra Bank to open ‡ãñŠ¶³ãè¾ã ºãö‡ãŠ, ºãö‡ãŠ ¶ãñØããÀã Ôãñ ÊããƒÔãòÔ㠇ãñŠ ãäÊㆠ‚ããÌãñª¶ã a Banking subsidiary in Malaysia. The subsidiary has applied for license from Bank Negara, the ãä‡ãŠ¾ãã Öõ ý Central Bank of Malaysia. ºãñÖ¦ãÀ ‚ããõ²ããñãäØã‡ãŠ Ôãâºãâ£ã ‡ãŠã ÔãâÌã®Ã¶ã Ö½ããÀñ ºãö‡ãŠ ‡ãŠã ½ã쌾ã Promotion of good industrial relations continues Êãà¾ã Öõ ý to be an objective of our Bank. During the year under review, globally, recovery Ôã½ããèàãã£ããè¶ã ‚ãÌããä£ã ‡ãñŠ ªãõÀã¶ã ‚ã¹ãƦ¾ãããäÍã¦ã ‚ãããä©ãÇ㊠½ãâªãè in the advanced economies from the ‡ãñŠ ‡ãŠãÀ¥ã ‚ãã£ãìãä¶ã‡ãŠ ‚ã©ãÃ̾ãÌãÔ©ãã ½ãâñ ÌãÔãîÊããè £ããè½ããè ÀÖãè Öõý unprecedented economic crisis is slow. In this ƒÔã ¹ãðӟ¼ãîãä½ã ½ãñ⠄¼ãÀ¦ããè ºãã•ããÀ ‚ã©ãÃ̾ãÌãÔ©ãã‚ããò ¹ãÀ background Emerging Market Economies ½ãì³ãÔ¹ãŠãèãä¦ã‡ãŠãÀãè( ƒÃ †½ã ƒÃ ) ªºããÌã ÀÖ¶ãñ ‡ãñŠ ºããÌã•ãîª ¼ããÀ¦ã (EMEs)(of which India is one), although facing inflationary pressures, are showing significant signs ½ãñâ ÌãÔãîÊããè ‡ãñŠ ‚ãޜñ Ôãâ‡ãñŠ¦ã ã䪌ããƒÃ ªñ ÀÖñ Öö ý ªñÍããè Ô¦ãÀ ¹ãÀ of recovery. In the domestic front, the economic ‚ãããä©ãÇ㊠¹ãì¶ãÃÊãã¼ã ½ãò ÊãØãã¦ããÀ Ôãì£ããÀ ¼ããÀ¦ããè¾ã ‚ã©ãÃ̾ãÌãÔ©ãã recovery, which shows evidence of sustained ‚ããõÀ ƒÔã‡ãñŠ ãäÌ㦦ããè¾ã àãñ¨ã ‡ãñŠ ÊãÞããèÊãñ Öãñ¶ãñ ‡ãŠã ¹ããäÀÞãã¾ã‡ãŠ Öõý improvement, stands testimony to the resilience ¼ããÀ¦ã ½ãò ÌãõãäÍÌã‡ãŠ ½ãâªãè ‡ãŠñ ªìÓ¹ãƼããÌ㠇ãŠãñ ‡ãŠ½ã ‡ãŠÀ¶ãñ ½ãâñ ¼ããÀ¦ããè¾ã of the Indian economy and its financial sector. RBI’s intervention and regulation was largely ãäÀ•ãÌãà ºãö‡ãŠ ‡ãŠã ÖÔ¦ãàãñ¹ã ‚ããõÀ ãäÌããä¶ã¾ã½ã¶ã ̾ãã¹ã‡ãŠ ¹ã Ôãñ responsible for mitigating the adverse impact of ãä•ã½½ãñªãÀ Öö ý ¼ããÀ¦ã ‡ãŠã Ìãðãä® ØãÆã¹ãŠ ÌãõãäÍÌã‡ãŠ ¹ããäÀÒ;ã Ôãñ the global crisis in India. India’s growth curve is „Ê›ã Öõ ý ãä¹ãŠÀ ¼ããè ÔããÌã£ãã¶ããè ‡ãñŠ ¦ããõÀ ¹ãÀ ¾ãÖ ¶ããñ› ãä‡ãŠ¾ãã in sharp contrast to the overall global scenario. •ãã¶ãã Þãããäֆ ãä‡ãŠ ¾ã²ããä¹ã ¼ããÀ¦ã ½ãâñ ÌãÔãîÊããè ÜãÀñÊãî ½ããâØã ´ãÀã However on a note of caution, it is imperative to note that while recovery in India is largely ÔãâÞãããäÊã¦ã Öãñ¶ãñ ‡ãŠãè ‚ã¹ãñàãã ÀŒã¦ãã Öõ ãä¹ãŠÀ ¼ããè ÌãõãäÍÌã‡ãŠ ¦ãã‡ãŠ¦ãñ expected to be driven by domestic demand, the Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ Ôã‡ãŠ¦ããè Öö ãä‡ãŠ ÌãõãäÍÌã‡ãŠ Ìãã¦ããÌãÀ¥ã ½ãñâ forces of globalization could ensure that negative ¶ã‡ãŠãÀ㦽ã‡ãŠ ãäÌã‡ãŠãÔ㠇ãñŠ ‡ãŠãÀ¥ã ¼ããÀ¦ããè¾ã ‚ã©ãÃ̾ãÌãÔ©ãã ¹ãÀ ‚ãÔãÀ developments in the global environment would

7 ¹ãü¡ñý ¡ºÊã¾ãî ¹ããè ‚ãム(©ããñ‡ãŠ ½ãîʾã ÔãîÞã‡ãŠãâ‡ãŠ ) ãäÔã¦ãâºãÀ 2009 impact the Indian economy. Further, inflation has ½ãò 0.5% ‡ãŠãè ¦ãìÊã¶ãã ½ãâñ ½ããÞãà 2010 ½ãò 9.9% ÀÖã ãä•ãÔãÔãñ accentuated in the last quarter of 2009-10 with the Whole Sale Price Index accelerating from ÌãÓãà 2009-10 ‡ãŠãè ‚ãããäŒãÀãè ãä¦ã½ããÖãè ½ãò ½ãì³ã ãäÔ¹ãŠãèãä¦ã ¹ãƺãÊã 0.5% in September 2009 to 9.9% in March 2010, ÀÖãè Öõý ¹ããäÀ¥ãã½ãÔÌã¹㠶ããèãä¦ãØã¦ã ‚ãã£ããÀ ¹ãÀ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà resulting in RBI’s policy focus shifting to the ºãö‡ãŠ ‡ãŠã £¾ãã¶ã ½ãì³ã Ô¹ãŠãèãä¦ã ‡ãŠãñ ‡ãŠ½ã ‡ãŠÀ¶ãñ ‡ãŠãè ‚ããñÀ Öãñ containing of inflation. Øã¾ããý Looking forward, your Bank faces exciting business opportunities in future. Our inherent ¼ããäÌãӾ㠽ãò ‚ãã¹ã‡ãŠñ ºãö‡ãŠ ‡ãñŠ ¹ããÔ㠄¦Ôãã֕ã¶ã‡ãŠ ‚ãÌãÔãÀ ¼ããè Öö ý Ö½ããÀãè strengths are our potential, our wide network of ‚㶦ãÃãä¶ããäÖ¦ã Íããä‡ã‹¦ã Öõ Ö½ããÀãè àã½ã¦ãã, Ö½ããÀã ãäÌãÔ¦ãð¦ã ÍããŒãã ¶ãñ›Ìã‡ãÊ branches and our long term vision. These will ‚ããõÀ Ö½ããÀãè ªãèÜãÇãŠããäÊã‡ãŠ Òãäӛý ƒ¶ã‡ãñŠ ‡ãŠãÀ¥ã ֽ㠃¶ã ‚ãÌãÔãÀãò ‡ãŠã enable us to capitalize on the opportunities and Êãã¼ã „Ÿã Ôã‡ãŠ¦ãñ Öö ‚ããõÀ „²ããñØã ½ãâñ ½ããõ•ãîª Þãì¶ããõãä¦ã¾ããò ‡ãŠã Ôãã½ã¶ã㠇ãŠÀ face the challenges in the Industry so as to consolidate our market position and deliver our Ôã‡ãŠ¦ãñ Öö ¦ãããä‡ãŠ ‚ã¹ã¶ãñ ºãã•ããÀ ãäÔ©ããä¦ã ‡ãŠã Ôã½ãñ‡ãŠ¶ã ‡ãŠÀ Ôã‡ãñŠ ‚ããõÀ Ö½ããÀñ commitment to generate value and returns for ԛñ‡ãŠ £ããÀ‡ãŠãñâ ¾ã©ãã ØãÆãևãŠãò, Íãñ¾ãÀ£ããÀ‡ãŠãò ‚ããõÀ ‡ãŠ½ãÃÞãããäÀ¾ããò ‡ãñŠ ãäÊㆠour customers, shareholders and employees. ½ãîʾ㠂ããõÀ Êãã¼ã ‡ãŠã Ôãð•ã¶ã ãä‡ãŠ¾ã㠕ãã Ôã‡ãñŠ ý As always, your Bank relies on the continuing trust and support of our shareholders and we •ãõÔãã ãä‡ãŠ ‚ãã¹ã‡ãŠã ºãö‡ãŠ ÔãªõÌ㠂ã¹ã¶ãñ Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãñŠ ãäÌãÍÌããÔ㠂ããõÀ take this opportunity to thank the shareholders ÔãÖ¾ããñØ㠇ãŠãñ ºã¶ãㆠÀŒã¦ãã Öõ,ƒÔ㠂ãÌãÔãÀ ¹ãÀ ºãö‡ãŠ ‡ãŠñ ªÍãö㠇ãñŠ ¹ãÆãä¦ã for their commitment to the Bank’s vision over ‚ã¹ã¶ããè ¹ãÆãä¦ãºã®¦ã㠇ãñŠ ãäÊㆠÍãñ¾ãÀ £ããÀ‡ãŠãâñ ‡ãñŠ ¹ãÆãä¦ã Íãì‰ãŠØãìû•ããÀ Ööý the years. ‚ãã¹ã‡ãŠã , Yours sincerely,

†Ô㠆 ¼ã› S A BHAT ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ Chairman and Managing Director

8 Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãñ ÔãîÞã¶ãã NOTICE TO SHAREHOLDERS †¦ãªá´ãÀã ÔãîÞã¶ãã ªãè •ãã¦ããè Öõ ãä‡ãŠ ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ ‡ãñŠ Íãñ¾ãÀ£ããÀ‡ãŠãò Notice is hereby given that the TENTH Annual ‡ãŠãè ªÔãÌããé ÌãããäÓãÇ㊠Ôãã½ã㶾㠺ãõŸ‡ãŠ ½ãâØãÊãÌããÀ 20 •ãìÊããƒÃ, 2010 ‡ãŠãñ General Meeting of the shareholders of INDIAN OVERSEAS BANK will be held on Tuesday, the 20th ¹ãîÌããÃÖ¶ã 10.00 ºã•ãñ ¶ããÀª Øãã¶ã Ôã¼ãã, (ÔãªáØãìÁ —ãã¶ãã¶ã⪠ÖãÊã), 314, July 2010 at 10.00 A.M. at Narada Gana Sabha, ›ãè›ãè‡ãñŠ Àãñ¡, Þãñ¸ãõ - 600 018 ½ãò ãä¶ã½¶ããäÊããäŒã¦ã ‡ãŠã¾ããô Öñ¦ãì ‚ãã¾ããñãä•ã¦ã (Sathguru Gnananda Hall) 314 TTK Road, Chennai ‡ãŠãè •ãã†Øããè ý ½ã 600 018, to transact the following business : 1. To discuss, approve and adopt the Audited 1. 31 ½ããÞãÃ, 2010 ‡ãŠãè ãäÔ©ããä¦ã ‚ã¶ãìÔããÀ ºãö‡ãŠ ‡ãñŠ ¦ãìÊã¶ã-¹ã¨ã, 31 Balance Sheet of the Bank as at 31st March ½ããÞãÃ, 2010 ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ‡ãñŠ ãäÊㆠÊãã¼ã-Öããä¶ã Œãã¦ãñ, ÊãñŒãã 2010, Profit and Loss Account of the Bank st ‚ãÌããä£ã ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ‡ãñŠ ãä‰ãŠ¾ãã‡ãŠÊãã¹ããò ‚ããõÀ ‡ãŠã¾ãÃ-̾ãÌãÖãÀ ¹ãÀ for the year ended 31 March 2010, the report of the Board of Directors on the ãä¶ãªñÍã‡ãŠ ½ãâ¡Ê㠇ãŠãè ãäÀ¹ããñ›Ã ‚ããõÀ ¦ãìÊã¶ã ¹ã¨ã ¦ã©ãã ÊãñŒããò ¹ãÀ ÊãñŒãã working and activities of the Bank for the ¹ãÀãèàã‡ãŠãò ‡ãŠãè ãäÀ¹ããñ›Ã ¹ãÀ ÞãÞããà ‡ãŠÀ¶ãã, ‚ã¶ãì½ããñª¶ã ‚ããõÀ ÔÌããè‡ãŠãÀ period covered by the accounts and the ‡ãŠÀ¶ãã ý Auditors’ report on the Balance Sheet and Accounts. 2 ãäÌ㦦ããè¾ã ÌãÓãà 2009-10 ‡ãñŠ ãäÊㆠÊãã¼ããâÍã ÜããñãäÓã¦ã ‡ãŠÀ¶ãã ý 2. To declare dividend for the financial year 2009-10. ãä¶ãªñÍã‡ãŠ ½ãâ¡Ê㠇ãñŠ ‚ããªñÍãã¶ãìÔããÀ BY ORDER OF BOARD OF DIRECTORS

Þãñ¶¶ãõ (†Ôãû †û ¼ã›) Chennai (S A BHAT) 29-05-2010 ‚㣾ãà㠆Ìãâ ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ 29.05.2010 Chairman and Managing Director ¶ããñ› NOTES 1. ¹ãÆãù‡ã‹Ôããè ‡ãŠãè ãä¶ã¾ãìãä§ãŠ 1. APPOINTMENT OF PROXY : ºãõŸ‡ãŠ ½ãò „¹ããäÔ©ã¦ã Öãñ¶ãñ ‚ããõÀ Ìããñ› ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ¹ãã¨ã Íãñ¾ãÀ£ããÀ‡ãŠ A SHAREHOLDER ELIGIBLE TO ATTEND AND VOTE, ÔÌã¾ã⠂ã¹ã¶ãñ Ô©ãã¶ã ¹ãÀ „¹ããäÔ©ã¦ã Öãñ¶ãñ ‚ããõÀ Ìããñ› ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠIS ENTITLED TO APPOINT A PROXY TO ATTEND ãä‡ãŠÔããè ¹ãÆã‡ã‹Ôããè ‡ãŠãñ ãä¶ã¾ãì‡ã‹¦ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ¹ãã¨ã Öõ ‚ããõÀ ¹ãÆã‡ã‹Ôããè AND VOTE INSTEAD OF HIMSELF / HERSELF AND SUCH PROXY NEED NOT BE A SHAREHOLDER ºãö‡ãŠ ‡ãŠã Íãñ¾ãÀ£ããÀ‡ãŠ Öãñ, ¾ãÖ û•ãÂÀãè ¶ãÖãé Öõý OF THE BANK. ºãÖÀÖãÊã ¹ãÆãä¦ããä¶ããä£ã ‡ãŠãè ãä¶ã¾ãìãä§ãŠ ‡ãñŠ Ôãâºãâ£ã ½ãò ¹ã¨ã, ºãö‡ãŠ ‡ãñŠ ‡ãñŠ¶³ãè¾ã The instrument appointing proxy should, however be deposited at the Central Office ‡ãŠã¾ããÃÊã¾ã (ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ, ãä¶ãÌãñÍã‡ãŠ Ôãâ¹ã‡ãÊ ‡ãŠàã, of the Bank (Indian Overseas Bank, Investor ÊãñŒãã ãäÌã¼ããØã, ‡ãòŠ³ãè¾ã ‡ãŠã¾ããÃÊã¾ã, 763 ‚㥥ãã ÔããÊãõ, Þãñ¸ãõ 600 Relations Cell, Accounts Department, Central 002) ½ãò ºãõŸ‡ãŠ ¹ãÆãÀâ¼ã Öãñ¶ãñ ‡ãñŠ ÞããÀ ã䪶㠹ãÖÊãñ ‚ã©ããæãá ØãìÁÌããÀ, Office, 763, Anna Salai, Chennai 600002) not 15 •ãìÊããƒÃ 2010 ‡ãŠãñ ‚ã¹ãÀãÙ¶ã 25.00 ºã•ãñ ¦ã‡ãŠ ¾ãã less than four days before the date fixed for the meeting i.e. on or before 5.00 p.m. on ¹ãÖÊãñ •ã½ã㠇ãŠÀ ªñ¶ãã Þãããäֆý Thursday, 15th July 2010. 2. ¹ãÆããä£ã‡ãðŠ¦ã ¹ãÆãä¦ããä¶ããä£ã ‡ãŠãè ãä¶ã¾ãìãä§ãŠ : 2. APPOINTMENT OF AN AUTHORISED REPRESENTATIVE : ‡ãŠãñƒÃ ¼ããè ̾ããä§ãŠ ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ ‡ãñŠ Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãè No person shall be entitled to attend or vote ãä‡ãŠÔããè ¼ããè ºãõŸ‡ãŠ ½ãò ¦ãºã ¦ã‡ãŠ ¼ããØã Êãñ¶ãñ ‡ãñŠ ãäÊㆠ¹ãã¨ã ¶ãÖãé Öãñ at any meeting of the shareholders of Indian Ôã‡ãŠ¦ãã ¾ãã Ìããñ› ¶ãÖãé ªñ Ôã‡ãŠ¦ã㠕ãºã ¦ã‡ãŠ ãä‡ãŠ „Ôãñ ãä‡ãŠÔããè ‡ãŠâ¹ã¶ããè ‡ãñŠ Overseas Bank as the duly authorized representative of a company unless a copy ãäÌããä£ãÌã¦ãá ¹ãÆããä£ã‡ãðŠ¦ã ¹ãÆãä¦ããä¶ããä£ã ‡ãñŠ ¹㠽ãò ãä¶ã¾ãì§ãŠ ‡ãŠÀ¦ãñ Öí† of the resolution appointing him as a duly ¹ãããäÀ¦ã Ôãâ‡ãŠÊ¹ã ‡ãŠãè Ô㦾㠹ãÆãä¦ã, •ããñ ãä‡ãŠ „Ôã ºãõŸ‡ãŠ ‡ãñŠ ‚㣾ãàã ´ãÀã authorized representative, certified to be a ¹ãƽãããä¥ã¦ã ‡ãŠãè Öãñ,ãä•ãÔã½ãò ¹ãÆãä¦ããä¶ããä£ã ‡ãŠãè ãä¶ã¾ãìãä§ãŠ ‡ãŠã Ôãâ‡ãŠÊ¹ã ¹ãããäÀ¦ã true copy by the chairman of the meeting Öõ, ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ ‡ãñŠ ‡ãòŠ³ãè¾ã ‡ãŠã¾ããÃÊã¾ã (ƒã䥡¾ã¶ã at which it was passed, has been deposited at the Central Office of the Bank (Indian

9 ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ, ãä¶ãÌãñÍã‡ãŠ Ôãâ¹ã‡ãÊ ‡ãŠàã, ÊãñŒãã ãäÌã¼ããØã, ‡ãòŠ³ãè¾ã Overseas Bank, Investor Relations Cell, ‡ãŠã¾ããÃÊã¾ã, 763 ‚㥥ãã ÔããÊãõ, Þãñ¸ãõ 600 002) ½ãò ºãõŸ‡ãŠ ‡ãŠãè Accounts Department, Central Office, 763, Anna Salai, Chennai 600002) not less than ãä¶ã¾ã¦ã ¦ããÀãèŒã Ôãñ ÞããÀ ã䪶㠹ãÖÊãñ ‚ã©ããæã ØãìÁÌããÀ ã䪶ããâ‡ãŠ 15 four days before the date fixed for the •ãìÊããƒÃ 2010 ‡ãŠãñ ‚ã¹ãÀãÙ¶ã 5.00 ºã•ãñ ¦ã‡ãŠ ¾ãã ¹ãÖÊãñ meeting i.e., on or before 5.00 pm on •ã½ãã ¶ãÖãé ‡ãŠãè •ãã¦ããè Öõý Thursday, 15th July 2010. 3. No officer or employee of the Bank shall 3. ºãö‡ãŠ ‡ãñŠ ãä‡ãŠÔããè ¼ããè ‚ããä£ã‡ãŠãÀãè ‚ã©ãÌã㠇㊽ãÃÞããÀãè ‡ãŠãñ ãä‡ãŠÔããè ¼ããè be appointed as Authorised Representative Íãñ¾ãÀ£ããÀ‡ãŠ ‡ãñŠ ¹ãÆããä£ã‡ãðŠ¦ã ¹ãÆãä¦ããä¶ããä£ã ‚ã©ãÌãã ¹ãÆãù‡ã‹Ôããè ‡ãñŠ ¹㠽ãò or proxy of a shareholder. ãä¶ã¾ãì§ãŠ ¶ãÖãé ãä‡ãŠ¾ã㠕ãã†Øãã ý 4. ATTENDANCE SLIP-CUM-ENTRY PASS : 4. „¹ããäÔ©ããä¦ã ¹ãÞããê ÔãÖ ¹ãÆÌãñÍã ¹ãÞããê For the convenience of the shareholders, attendance slip-cum-entry pass is annexed Íãñ¾ãÀ £ããÀ‡ãŠãò ‡ãŠãè ÔãìãäÌã£ãã Öñ¦ãì „¹ããäÔ©ããä¦ã ¹ãÞããèÃÔãÖ ¹ãÆÌãñÍã ¹ããÔ㠃Ôã to this notice. Shareholders/proxy holders/ representatives are requested to affix their ÔãîÞã¶ã㠇ãñŠ Ôãã©ã ÔãâÊãضã Öõý Íãñ¾ãÀ £ããÀ‡ãŠãò/¹ãÆãù‡ã‹Ôããè £ããÀ‡ãŠãò/ signature at the space provided therein and ¹ãÆãä¦ããä¶ããä£ã¾ããò Ôãñ ‚ã¶ãìÀãñ£ã Öõ ãä‡ãŠ Ìãñ ¹ãÞããê ½ãò ¹ãƪ§ã •ãØãÖ ½ãò ‚ã¹ã¶ãñ surrender the same at the venue. Proxy ÖÔ¦ããàãÀ ‡ãŠÀò ‚ããõÀ ºãõŸ‡ãŠ ‡ãñŠ Ô©ãã¶ã ½ãò ‚ã¼¾ããä¹ãæ㠇ãŠÀò ý ¹ãÆãù‡ã‹Ôããè / holders / representatives should state on the ¹ãÆãä¦ããä¶ããä£ã £ããÀ‡ãŠãò ‡ãŠãñ „¹ããäÔ©ããä¦ã ÔãÖ ¹ãÆÌãñÍã ¹ãÞããê ½ãò “¹ãÆãù‡ã‹Ôããè/ attendance slip-cum-entry pass as “proxy or representative” as the case may be and ¹ãÆãä¦ããä¶ããä£ã £ããÀ‡ãŠ”, •ããñ ¼ããè ÊããØãî Öãñ, ‚ãâãä‡ãŠ¦ã ‡ãŠÀ ªñ¶ãã Öõ ‚ããõÀ should have proof of their identity by getting „¶ã‡ãñŠ ¹ããÔ㠂ã¹ã¶ããè ¹ãÖÞãã¶ã ‡ãñŠ ¹ãƽãã¥ã ÔÌã¹ã Íãñ¾ãÀ£ããÀ‡ãŠ ´ãÀã their signature attested by the shareholder. „¶ã‡ãñŠ ÖÔ¦ããàãÀ ‚ããä¼ã¹ãƽãããä¥ã¦ã Öãñ¶ãñ Þãããäֆ ý 5. CLOSURE OF REGISTER OF SHAREHOLDERS : 5. Íãñ¾ãÀ £ããÀ‡ãŠãò ‡ãŠãè Àãä•ãԛÀ ‡ãŠãñ ºã⪠‡ãŠÀ¶ãã The Register of Shareholders and Share Transfer Books of the Bank will remain closed Êãã¼ããâÍ㠇ãñŠ „ÿñ;㠇ãñŠ ãäÊㆠ¹ãã¨ã¦ãã ãä¶ã£ããÃãäÀ¦ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠfrom 29.05.2010 (Saturday) to 4.6.2010 (Friday) (both days inclusive) with cut off date Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãè Àãä•ãԛÀ ‚ããõÀ ºãö‡ãŠ ‡ãŠãè Íãñ¾ãÀ ‚ãâ¦ãÀ¥ã ºããäÖ¾ããú as 28.05.2010 for determining eligibility of 28.05.2010 ¦ã‡ãŠ ‡ãŠãè ‡ãŠ› ‚ããù¹ãŠ ¦ããÀãèŒã ÔããäÖ¦ã, 29.05.2010 shareholders for the purpose of dividend. (Íããä¶ãÌããÀ) Ôãñ 04.06.2010 (Íãì‰ãŠÌããÀ) ¦ã‡ãŠ ºã⪠ÀÖòØããè (ªãñ¶ããò Dividend shall be mailed within one month ã䪶ã Ôããä½½ããäÊã¦ã )ý Êãã¼ããâÍã ÌãããäÓãÇ㊠Ôãã½ã㶾㠺ãõŸ‡ãŠ ‡ãŠãè ¦ããÀãèŒã from the date of Annual General Meeting. Ôãñ †‡ãŠ ½ãÖãè¶ãñ ‡ãñŠ ‚ãâªÀ ¼ãñ•ã ã䪾ã㠕ãã†Øããý 6. BANK MANDATE FOR DIVIDEND OR ELECTRONIC CLEARING SERVICE (ECS) : 6. Êãã¼ããâÍ㠇ãñŠ ãäÊㆠºãö‡ãŠ-‚ããä£ãªñÍã ¾ã㠃Êãñ‡ã‹›Èãùãä¶ã‡ãŠ Ôã½ããÍããñ£ã¶ã a) In order to get protection from fraudulent ÔããäÌãÃÔã (ƒÔããè†Ôã) encashment of warrants, shareholders are requested to furnish their bank account ‚ã) Êãã¼ããâÍã ÌããÀâ›ãò ‡ãñŠ £ããñŒãã£ãü¡ãè¹ãî¥ãà ¶ã‡ãŠªãè‡ãŠÀ¥ã Ôãñ ºãÞã¶ãñ number, the name of the bank and the ‡ãñŠ ãäÊㆠÍãñ¾ãÀ£ããÀ‡ãŠãò Ôãñ ‚ã¶ãìÀãñ£ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ãä‡ãŠ Ìãñ branch where they would like to deposit the dividend warrants for encashment. ¶ã‡ãŠªãè‡ãŠÀ¥ã ‡ãñŠ ãäÊㆠÊãã¼ããâÍã ÌããÀâ›ãò ‡ãŠãñ ãä•ãÔã ºãö‡ãŠ ÍããŒãã These particulars along with the name ½ãò •ã½ã㠇ãŠÀÌãã¶ãã ÞããÖ¦ãñ Öö, „Ôã ºãö‡ãŠ ‡ãŠã ¶ãã½ã ‚ããõÀ ‚ã¹ã¶ãñ of the shareholder will be printed on the Œãã¦ãñ ‡ãŠãè Ôã⌾ã㠇ãŠã „ÊÊãñŒã ‡ãŠÀòý ¾ãñ º¾ããñÀñ, Íãñ¾ãÀ£ããÀ‡ãŠ cheque portion of the dividend warrants, so that these warrants cannot be ‡ãñŠ ¶ãã½ã ‡ãñŠ ‚ãÊããÌãã, Êãã¼ããâÍã ÌããÀ⛠‡ãñŠ Þãñ‡ãŠ ÌããÊãñ ãäÖÔÔãñ encashed by anyone else. The above ½ãò ½ãìã䳦ã ãä‡ãŠ† •ãã†úØãñ ¦ãããä‡ãŠ ãä‡ãŠÔããè ‚ã¶¾ã ̾ããä§ãŠ ´ãÀ㠃¶ã mentioned details should be furnished by ÌããÀâ›ãò ‡ãŠã ¶ã‡ãŠªãè‡ãŠÀ¥ã ¶ã ãä‡ãŠ¾ã㠕ãã Ôã‡ãñŠý ¾ããäª Íãñ¾ãÀ£ããÀ‡ãŠ the first / sole shareholder in case of ‡ãñŠ ¹ããÔã ¼ããñãä¦ã‡ãŠ Á¹ã ½ãò Íãñ¾ãÀ Öãñ ¦ããñ „¹ã¾ãìç㊠º¾ããñÀñ ¹ãÆ©ã½ã/ shareholders holding shares in physical form, directly to the share transfer agent †‡ãŠÊã Íãñ¾ãÀ£ããÀ‡ãŠ ´ãÀã Ôããè£ãñ Íãñ¾ãÀ ‚㶦ãÀ¥ã †•ãò› ‡ãŠãñ quoting the Folio No. and the number ã䪆 •ãã¶ãñ Þãããäֆ ãä•ãÔã½ãò ãä‡ãŠ ¹ãŠãñãäÊã¾ããñ Ôã⌾ã㠂ã©ãÌãã ¡ãè¹ããè of shares held on or before 05.07.2010. ‚ãメãè Ôã⌾ã㠆Ìã⠇ã‹Êããƒâ› ‚ãメãè Ôã⌾ã㠂ããõÀ £ãããäÀ¦ã If shareholders choose not to submit any modification, the warrants will be printed Íãñ¾ãÀãò ‡ãŠãè Ôã⌾ãã 05.07.2010 ¦ã‡ãŠ ¾ãã ¹ãÖÊãñ ªãè •ãã¶ããè based on bank mandate earlier received

10 Þãããäֆý ¾ããäª Íãñ¾ãÀ £ããÀ‡ãŠ ‡ãŠãñƒÃ ‚ããÍããñ£ã¶ã ¹ãÆÔ¦ãì¦ã ‡ãŠÀ¶ãñ by the Registrar or data downloaded from ‡ãŠã Þã¾ã¶ã ¶ãÖãé ‡ãŠÀ¦ãã, †ñÔããè ãäÔ©ããä¦ã ½ãò ¡ãè½ãõ› Íãñ¾ãÀ £ããÀ‡ãŠãò NSDL / CDSL as on 28.05.2010 for demat shareholders. This is applicable ‡ãñŠ ãäÊㆠ28.05.2010 ‡ãŠãñ Àãä•ãԛÈãÀ ´ãÀã ¹ãÆ㹦㠹ãîÌãà ½ãò for all shareholders who have not ºãö‡ãŠ ‡ãñŠ ½ãñ¶ã¡ñ› ‚ã©ãÌã㠆¶ã†Ôã¡ãè†Êã / Ôããè¡ãè†Ôã†Êã Ôãñ submitted ECS mandate(s). ¡ã„¶ãÊããñ¡ ãä‡ãŠ† Øㆠ‚ãã‡ãŠ¡ãò ¹ãÀ ‚ãã£ãããäÀ¦ã ÌããÀ⛠½ãìã䳦ã b) The Bank is also offering the facility of ãä‡ãŠ¾ã㠕ãã†Øããý ¾ãÖ Ôã¼ããè Íãñ¾ãÀ £ããÀ‡ãŠãò ¹ãÀ ÊããØãî ÖãñØãã ECS Direct Credit for those shareholders ãä•ã¶Öãò¶ãñ ƒÔããè†Ô㠂ããä£ãªñÍã ¹ãÆÔ¦ãì¦ã ¶ãÖãé ãä‡ãŠ¾ãã Öõ ý who maintain accounts with IOB branches residing in specified cities. This facility ‚ãã) ºãö‡ãŠ ãä¶ããäªÃӛ ÍãÖÀãò ½ãò ÀÖ¶ãñ ÌããÊãñ Íãñ¾ãÀ£ããÀ‡ãŠãò •ããñ ‚ãヂããñºããè could be used by the shareholder instead of the Bank Mandate system for receiving ‡ãñŠ ÍããŒãã‚ããò ½ãò Œãã¦ãã ÀŒã¦ãñ Öö, ‡ãñŠ ãäÊㆠƒÃÔããè†Ôã ¹ãƦ¾ãàã the credit of dividend. The ECS Option •ã½ãã ÔãìãäÌã£ãã ¹ãƪã¶ã ‡ãŠÀ ÀÖã Öõý Êãã¼ããâÍ㠕ã½ã㠇ãñŠ ãäÊㆠForm is annexed to this report. ºãö‡ãŠ ‚ããä£ãªñÍã ¹ãÆ¥ããÊããè ‡ãñŠ ºã•ãㆠÍãñ¾ãÀ£ããÀ‡ãŠãò ´ãÀ㠃Ôã Shareholders are required to give details ÔãìãäÌã£ã㠇ãŠã ¹ãƾããñØã ãä‡ãŠ¾ã㠕ãã Ôã‡ãŠ¦ãã Öõý ƒÔã ãäÀ¹ããñ›Ã ‡ãñŠ of their Account numbers (15 digit) and IFS Code No. of their bank branch in Ôãã©ã ƒÃÔããè†Ôã ãäÌã‡ãŠÊ¹ã ¹ãÆã¹ã ÔãâÊãضã Öõý Íãñ¾ãÀ£ããÀ‡ãŠ their ECS Mandate to facilitate the ‚ã¹ã¶ãñ ãä¶ããäªÃӛ Œãã¦ãñ ½ãò Êãã¼ããâÍ㠂㶦ãÀ¥ã ‡ãŠãè ÔãìãäÌã£ã㠇ãñŠ transfer of dividend to their designated ãäÊㆠ‚ã¹ã¶ãñ ƒÃ Ôããè †Ô㠂ããä£ãªñÍã ½ãò ‚ã¹ã¶ã㠌ãã¦ãã Ôãâ. (15 account. For selected Centres, payment through NEFT/NECS will be effected ‚ãâ‡ãŠ) ‚ããõÀ ‚ã¹ã¶ããè ºãö‡ãŠ ÍããŒã㠇ãŠãè ‚ããƒÃ †¹ãŠ †Ô㠇ãŠãñ¡ wherever such facility is available. Ôã⌾ã㠇ãŠã ãäÌãÌãÀ¥ã ªòý ãä¶ããäªÃӛ ‡ãòŠ³ãò ‡ãñŠ ãäÊㆠ•ãÖãú 7. UNCLAIMED DIVIDEND, IF ANY †¶ãƒÃ†¹ãŠ›ãè / †¶ãƒÃÔããè†Ôã ÔãìãäÌã£ã㠕ãÖãù ‡ãŠÖãé ¼ããè „¹ãÊ㺣ã Öãñ, ¼ãìØã¦ãã¶ã ƒ¶ã‡ãñŠ û•ããäÀ† ãä‡ãŠ¾ã㠕ãã†Øããý The shareholders who have not encashed their Dividend Warrants / received dividend from previous years viz. 2000-2001 onwards 7. ‚ãªãÌããè Êãã¼ããâÍã, ¾ããäª ‡ãŠãñƒÃ are requested to contact the Registrar and Share Transfer Agent of the Bank for issue ãä¹ãœÊãñ ÌãÓããô •ãõÔãñ 2000-2001 Ôãñ ãä•ã¶ã Íãñ¾ãÀ£ããÀ‡ãŠãò ¶ãñ ‚ã¹ã¶ãñ of duplicate. Êãã¼ããâÍã ÌããùÀ¥› ‡ãŠãñ ¶ãÖãé ¼ãì¶ãã¾ãã/ Êãã¼ããâÍã ¶ãÖãé ¹ãÆ㹦ã ãä‡ãŠ¾ãã Öõ, Pursuant to the amendment of The Banking „¶ãÔãñ ‚ã¶ãìÀãñ£ã Öõ ãä‡ãŠ Ìãñ ‚ã¶ãìãäÊããä¹ã •ããÀãè ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠÀãä•ãԛÈãÀ Companies (Acquisition and Transfer of †Ìãâ Íãñ¾ãÀ ‚㶦ãÀ¥ã †•ãñ¥› Ôãñ Ôãâ¹ã‡ãÊ ‡ãŠÀòý Undertakings) Act, 1970, Section 10 B provides that the amount of dividend ºãö‡ãŠ‡ãŠãÀãè ‡ãŠ½¹ã¶ããè („¹ã‰ãŠ½ããò ‡ãŠã ‚ããä£ãØãÆ֥㠆Ìã⠂㶦ãÀ¥ã) remaining unpaid or unclaimed for a period ‚ããä£ããä¶ã¾ã½ã, 1970 ‡ãŠãè £ããÀã 10 ºããè ½ãò Öì† ÔãâÍããñ£ã¶ã ‡ãñŠ ‚ã¶ãìÔããÀ of seven years from the date of transfer to ‚ãªãÌããè Êãã¼ããâÍ㠌ãã¦ãñ ½ãò ‚㶦ãÀ¥ã ‡ãŠãè ¦ããÀãèŒã Ôãñ 7 ÌãÓããô ‡ãŠãè the Unpaid Dividend Account is required to be transferred to the Investor Education and ‚ãÌããä£ã ‡ãñŠ ãäÊㆠ¼ãìØã¦ãã¶ã ¶ã ãä‡ãŠ† Øㆠ¾ã㠂ãªãÌããè ÍãñÓã Êãã¼ããâÍã Protection Fund (IEPF) established by the ‡ãŠãè À‡ãŠ½ã ‡ã⊹ã¶ããè ‚ããä£ããä¶ã¾ã½ã 1956 ‡ãŠãè £ããÀã 205 Ôããè ‡ãñŠ ‚ã£ããè¶ã Central Govt. under Section 205C of The ‡ãñŠ¶³ ÔãÀ‡ãŠãÀ ´ãÀã Ô©ãããä¹ã¦ã ãä¶ãÌãñÍã‡ãŠ ãäÍãàã㠆Ìãâ ÔãâÀàã¥ã ãä¶ããä£ã Companies Act, 1956 and thereafter no claim for payment shall lie in respect (‚ããƒÃ ƒÃ ¹ããè †¹ãŠ) ½ãò ‚㶦ããäÀ¦ã ‡ãŠÀ¶ããè Öõ †Ìã⠄‡ã‹¦ã Ôã⪼ãà ½ãò thereof either to the Bank or to the IEPF. „Ôã‡ãñŠ ºã㪠¶ã ¦ããñ ºãö‡ãŠ ‚ããõÀ ¶ã Öãè ‚ããƒÃ ƒÃ ¹ããè †¹ãŠ ‡ãŠãñ For details of date of transfer to unpaid ¼ãìØã¦ãã¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ‡ãŠãñƒÃ ªãÌãã ºã¶ã¦ãã Öõý ‚㪦¦ã ¼ãìØã¦ãã¶ã Dividend A/c year-wise, please refer the Œãã¦ãñ ‡ãŠñ ÌãÓãÃÌããÀ ¦ããÀãèŒã ‚㶦ãÀ¥ã ‡ãŠñ ãäÊㆠƒÔã ÌãããäÓãÇ㊠ãäÀ¹ããñ›Ã Report of the Board of Directors on Corporate Governance for the year 2009-10 ‡ãŠñ ¼ããØ㠇ãŠã (½ãª 9ƒÃ Ôãã½ã㶾ã Íãñ¾ãÀ£ããÀ‡ãŠ ÔãîÞã¶ãã - ‚㪦¦ã Êãã¼ããâÍã) (Pt. 9e - General Shareholder information - ÌãÓãà 2009-10 ‡ãŠñ ãäÊㆠ‡ãŠã¹ããóÀñ› ØãÌã¶ãóâÔã ¹ãÀ ãä¶ãªñÍã‡ãŠ ½ãâ¡Êã Unpaid Dividend), forming part of this Annual ‡ãŠãè ãäÀ¹ããñ›Ã ‡ãŠã Ôã⪼ãà Êòãý Report. 8. CHANGE OF ADDRESS AND DIVIDEND 8. ¹ã¦ãñ ½ãò ¹ããäÀÌã¦ãö㠂ããõÀ Êãã¼ããâÍ㠂ããä£ãªñÍã MANDATE : ãä•ã¶ã Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãñŠ Íãñ¾ãÀ ¼ããõãä¦ã‡ãŠ ¹㠽ãò Öö, „¶ã ½ãã½ãÊããñâ ½ãò, In case of shareholders holding shares in physical form, they are requested to intimate „¶ãÔãñ ‚ã¶ãìÀãñ£ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ãä‡ãŠ Ìãñ ‚ã¹ã¶ãñ ¹ã¦ãñ ½ãò ¹ããäÀÌã¦ãöã, to the Registrar and Share Transfer Agent of

11 Êãã¼ããâÍ㠂ããä£ãªñÍ㠂ããõÀ ºãö‡ãŠ, ÍããŒã㠂ããõÀ ºãö‡ãŠ Œãã¦ãã Ôã⌾ã㠇ãñŠ the Bank any change in their address, ãäÌãÌãÀ¥ã, ãä•ãÔãñ Íãñ¾ãÀ£ããÀ‡ãŠ Êãã¼ããâÍã ÌããÀ⛠¹ãÀ „ãäÊÊããäŒã¦ã ‡ãŠÀ¶ãã dividend mandate and the particulars of the bank, branch and bank account number ÞããÖ¦ãñ Öö, „¶ã Ôãºã ‡ãŠãè •ãã¶ã‡ãŠãÀãè ã䪶ããâ‡ãŠ 05.07.2010 ¦ã‡ãŠ ¾ãã which the shareholder desires to incorporate ¹ãÖÊãñ ãä¶ã½¶ããäÊããäŒã¦ã ¹ã¦ãñ ¹ãÀ, Àãä•ãԛÈãÀ-Ìã-Íãñ¾ãÀ-‚ãâ¦ãÀ¥ã †•ãò› on the dividend warrant, on or before ‡ãŠãñ ¼ãñ•ã ªò: 05.07.2010 at the following address: Cameo Corporate Services Ltd. ‡ãõŠãä½ã¾ããñ ‡ãŠãù¹ããóÀñ› ÔããäÌãÃÔãñÔã ãäÊã. (IOB – unit) (‚ãヂããñºããè-¾ãîãä¶ã› ) 1st floor, Subramanian Building, ¹ãÖÊãã ¦ãÊã, Ôãìºãƽããä¥ã¾ã¶ã ãäºããäÊ¡âØã, No. 1, Club House Road, Chennai 600 002 ¶ãâ.1 - ‡ã‹Êãºã Öã„Ôã Àãñ¡, Þãñ¶¶ãõ - 600 002 In case of shareholders holding shares in Electronic form ie. through Demat account, Íãñ¾ãÀ ƒÊãñ‡ã‹›Èããä¶ã‡ãŠ ¹ãŠã½ãà ‚ã©ããæ㠡ãè½ãõ› Œãã¦ãñ ‡ãñŠ ½ã㣾ã½ã Ôãñ they are requested to intimate to their ÀŒã¶ãñ ÌããÊãñ •ããñ Íãñ¾ãÀ£ããÀ‡ãŠ, ‚ã¹ã¶ãñ Êãã¼ããâÍã ÌããÀ⛠ƒ¦¾ãããäª ¹ãÀ depository participant any change in their ‚ã¹ã¶ãñ ¹ã¦ãñ ½ãò Öí† ¹ããäÀÌã¦ãöã, Êãã¼ããâÍ㠂ããä£ãªñÍã, ºãö‡ãŠ ÍããŒã㠇ãñŠ address, dividend mandate and the particulars of the bank, branch and bank º¾ããñÀãò ‚ããõÀ ºãö‡ãŠ Œãã¦ãã Ôã⌾ãã ½ãò ‡ãŠãñƒÃ ¹ããäÀÌã¦ãö㠇ãŠÀÌãã¶ãã ÞããÖ¦ãñ account number which the shareholder Öö, Ìãñ ƒÔã‡ãŠãè ÔãîÞã¶ã㠂ã¹ã¶ãñ ã䡹ãããäû•ã›Àãè ¹ãÆãä¦ã¼ããØããè ‡ãŠãñ ªñ ªò desires to incorporate on the dividend ‡ã‹¾ããòãä‡ãŠ Êãã¼ããâÍ㠇ãŠã ãäÌã¦ãÀ¥ã ‚ããõÀ ƒÔã‡ãñŠ ¼ãìØã¦ãã¶ã ‡ãñŠ ãäÊㆠã䪶ããâ‡ãŠ warrant etc., as the aforesaid information provided by the Depository as on 28.05.2010 28.05.2010 ‡ãŠãñ ã䡹ãããäû•ã›Àãè ´ãÀ㠄¹ãÊ㺣㠇ãŠÀÌããƒÃ ØãƒÃ „¹ã¾ãÃì§ãŠ would only be considered for the purpose •ãã¶ã‡ãŠãÀãè ¹ãÀ Öãè ãäÌãÞããÀ ãä‡ãŠ¾ã㠕ãã†Øãã ý of payment and distribution of dividend. 9. ¹ãŠãñãäÊã¾ããñ ‡ãŠã Ôã½ãñ‡ãŠ¶ã 9. CONSOLIDATION OF FOLIOS : ¾ãÖ ¹ãã¾ãã Øã¾ãã Öõ ãä‡ãŠ ‡ãŠƒÃ Íãñ¾ãÀ£ããÀ‡ãŠ †‡ãŠ Ôãñ ‚ããä£ã‡ãŠ ¹ãŠãñãäÊã¾ããñ It has been found that many shareholders maintain more than one folio (ie.) multiple ¾ãã¶ããè ãäÌããäÌã£ã ¹ãŠãñãäÊã¾ããñ ÀŒã¦ãñ Öö ý Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãñ ‡ãìŠÍãÊã ÔãñÌãã folios. In order to provide efficient service, ¹ãƪã¶ã ‡ãŠÀ¶ãñ ¦ã©ã㠆ñÔãñ ¹ãŠãñãäÊã¾ããñ ‡ãŠã Ôã½ãñ‡ãŠ¶ã ‡ãŠÀ¶ãñ Öñ¦ãì, Ö½ã we request the shareholders to consolidate Íãñ¾ãÀ£ããÀ‡ãŠãò Ôãñ ‚ã¶ãìÀãñ£ã ‡ãŠÀ¦ãñ Öö ãä‡ãŠ Ìãñ ¹ãŠãñãäÊã¾ããñ ‡ãŠã Ôã½ãñ‡ãŠ¶ã the folios by forwarding their share certificates to Registrar and Share Transfer Agents for ‡ãŠÀò ‚ããõÀ Íãñ¾ãÀ ¹ãƽãã¥ã-¹ã¨ã ‡ãŠãñ ¹ãâ•ããè¾ã‡ãŠ ‚ããõÀ Íãñ¾ãÀ ‚ãâ¦ãÀ¥ã necessary corrections in their records. †•ãñ¥› ‡ãŠãñ ¹ãâ•ããè¾ã‡ãŠ ‡ãñŠ ãäÀ‡ãŠã¡ãô ½ãò ‚ããÌã;ã‡ãŠ Ôãì£ããÀ Öñ¦ãì ¼ãñ•ãò ý 10. BRIEF PROFILE OF DIRECTORS : 10. ãä¶ãªñÍã‡ãŠãò ‡ãñŠ Ôãâãäà㹦ã ãäÌãÌãÀ¥ã As required under the revised Clause 49 IV ԛãù‡ãŠ †‡ã‹ÔãÞãò•ããò ‡ãñŠ Ôãã©ã ãä¶ãÓ¹ããã䪦ã ãäÊããäԛâØ㠇ãŠÀãÀ ‡ãñŠ ¹ããäÀÍããñãä£ã¦ã G of the Listing Agreement executed with the Stock Exchanges, brief profile of Directors Œã¥¡ 49 IV •ããè ‡ãñŠ ¦ã֦㠂ã¹ãñãäàã¦ãã¶ãìÔããÀ ‡ãŠã¹ããóÀñ› ØãÌã¶ã÷¶Ôã ¹ãÀ are given in the Report on Corporate ãäÀ¹ããñ›Ã ½ãò ãä¶ãªñÍã‡ãŠãò ‡ãñŠ Ôãâãäà㹦ã ãäÌãÌãÀ¥ã ã䪆 ØㆠÖö ý Governance. 11. Íãñ¾ãÀ£ããÀ‡ãŠãò Ôãñ ‚ã¶ãìÀãñ£ã 11. REQUEST TO SHAREHOLDERS : (a) Shareholders are requested to bring their (‡ãŠ) Íãñ¾ãÀ£ããÀ‡ãŠãò Ôãñ ‚ã¶ãìÀãñ£ã Öõ ãä‡ãŠ Ìãñ ÔãâÊãضã ÌãããäÓãÇ㊠ãäÀ¹ããñ›Ã copies of the Annual Report enclosed ‡ãŠãè ‚ã¹ã¶ããè ¹ãÆãä¦ã¾ããú Ôãã©ã Êãñ¦ãñ ‚ãã†úý herewith. (Œã) Íãñ¾ãÀ£ããÀ‡ãŠ ‡ãðŠ¹ã¾ãã ¶ããñ› ‡ãŠÀò ãä‡ãŠ ºãõŸ‡ãŠ-Ô©ãÊã ½ãò ãä‡ãŠÔããè (b) Shareholders may kindly note that no ¦ãÀÖ ‡ãñŠ „¹ãÖãÀ/‡ãã¶ã ãäÌã¦ããäÀ¦ã ¶ãÖãé ãä‡ãŠ† •ãã†úØãñý gifts / coupons will be distributed at the venue of the meeting. ãä¶ãªñÍã‡ãŠ ½ãâ¡Ê㠇ãñŠ ‚ããªñÍãã¶ãìÔããÀ BY ORDER OF BOARD OF DIRECTORS

Þãñ¶¶ãõ (†Ôãû †û ¼ã›) Chennai (S A BHAT) 29.05.2010 ‚㣾ãà㠆Ìãâ ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ 29.05.2010 Chairman and Managing Director

12 †‡ãŠ ¶ãû•ãÀ ½ãò AT A GLANCE

Á. ‡ãŠÀãñü¡ãò ½ãò Rs.in crore

½ããÞãà 2010 ½ããÞãà 2009 March 2010 March 2009

ÔããÌãüããõãä½ã‡ãŠ •ã½ãã-ÀããäÍã¾ããú Global Deposits 1,10,795 1,00,116

ªñÍããè¾ã •ã½ãã-ÀããäÍã¾ããú Domestic Deposits 1,05,434 95,434

ÔããÌãüããõãä½ã‡ãŠ Ôã‡ãŠÊ㠂ããäØãƽã Global Gross Advances 80,782 75,810

ªñÍããè¾ã Ôã‡ãŠÊ㠂ããäØãƽã Domestic Gross Advances 73,026 68,479 ¹ãÆã©ããä½ã‡ãŠ¦ãã àãñ¨ã ‚ããäØãƽã Priority Sector Advances 27,237 24,294 ‡ãðŠãäÓ㠄£ããÀ Agricultural Credit 12,597 10,817

Ôã‡ãŠÊã Êãã¼ã Gross Profit 1,845 2,524

ãä¶ãÌãÊã Êãã¼ã Net Profit 707 1,326

13 ãä¶ãªñÍã‡ãŠãò ‡ãŠãè ãäÀ¹ããñ›Ã 2009-10 DIRECTORS’ REPORT 2009-10 31 ½ããÞãà 2010 ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ‡ãñŠ ãäÊㆠÊãñŒãã ¹ãÀãèãäàã¦ã ¦ãìÊã¶ã-¹ã¨ã The Board of Directors have great pleasure in presenting the Annual Report together with audited ‚ããõÀ Êãã¼ã Ìã Öããä¶ã Œãã¦ãñ ‡ãñŠ Ôãã©ã Ôãã©ã ºãö‡ãŠ ‡ãŠãè ÌãããäÓãÇ㊠ãäÀ¹ããñ›Ã ¹ãÆÔ¦ãì¦ã Balance Sheet and Profit and Loss Account of the ‡ãŠÀ¦ãñ Öì† ãä¶ãªñÍã‡ãŠ ½ã¥¡Ê㠇ãŠãñ ÖÓãà ‡ãŠã ‚ã¶ãì¼ãÌã Öãñ ÀÖã Öõý Bank for the year ended March 31, 2010. ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ‡ãñŠ ãä¶ãÓ¹ã㪶㠇ãŠãñ ‚ãããä©ãÇ㊠½ãâªãè ‡ãñŠ During 2009-10, the Bank’s performance is to be ¹ããäÀ¹ãÆñà¾ã ½ãò ªñŒã㠕ãã¶ãã Öõý ºãö‡ãŠ ‡ãŠãè ¹ãÆØããä¦ã Ôãâ¦ãìãäÊã¦ã ÀÖãè ‚ããõÀ ‡ãŠãÀãñºããÀ viewed in the backdrop of economic slow down. The Bank has grown in a balanced manner and crossed Á.1,90,000 ‡ãŠÀãñü¡ ‡ãŠãñ ¹ããÀ ‡ãŠÀ Øã¾ããý ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ the business level of Rs.1,90,000 crore mark. The ‚ããä£ã‡ãŠ ÊããØã¦ã ‡ãŠãè •ã½ãã‚ããò ‡ãŠãñ —ãã¶ã¹ãîÌãÇ㊠¦ã•ã¶ãñ, Ôã•ãØ㠄£ããÀ ãäÌãÔ¦ããÀ¥ã Bank has focused its attention in consciously ‚ããõÀ †¶ã¹ããè† ‡ãŠãè ÌãÔãîÊããè ¹ãÀ £¾ãã¶ã ‡ãòŠã䳦ã ãä‡ãŠ¾ããý shedding high cost deposits, cautious credit expansion and NPA Recovery during the year. ÌãõãäÍÌã‡ãŠ ̾ãÌãÔãã¾ã ãä¶ãÓ¹ã㪶ã Global Business Performance ºãö‡ãŠ ‡ãŠãè ÔããÌãüããõãä½ã‡ãŠ •ã½ãã†ú •ããñ ½ããÞãà 2008-09 ½ãò Á. 1,00,116 The Bank’s global deposits went up from ‡ãŠÀãñü¡ ©ããè, ÌãÖ ½ããÞãà 2009-10 ½ãò 10.67 ¹ãÆãä¦ãÍã¦ã ºãü¤‡ãŠÀ Á. Rs. 1,00,116 crore in 2008-09 to Rs.1,10,795 crore 1,10,795 ‡ãŠÀãñü¡ ¦ã‡ãŠ Öãñ ØãƒÄý ÔããÌãüããõãä½ã‡ãŠ Ôã‡ãŠÊ㠂ããäØãƽã Á. 75,810 in 2009-10 by 10.67 %. Global gross advances ‡ãŠÀãñü¡ Ôãñ 6.56 ¹ãÆãä¦ãÍã¦ã ºãü¤‡ãŠÀ Á.80,782 ‡ãŠÀãñü¡ ¦ã‡ãŠ Öãñ Øã†ý ‡ãìŠÊã expanded from Rs. 75,810 crore to Rs. 80,782 crore ‡ãŠãÀãñºããÀ Á.1,91,577 ‡ãŠÀãñü¡ ¦ã‡ãŠ ºãü¤ã (8.90 ¹ãÆãä¦ãÍã¦ã ‡ãŠãè Ìãðãä® )ý at 6.56 %. Total business reached Rs. 1,91,577 crore (growth at 8.90 %). ãäÌãªñÍããè ÍããŒãã†ú Overseas Branches ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ ªìºãƒÃ ½ãò ¹ãÆãä¦ããä¶ããä£ã ‡ãŠã¾ããÃÊã¾ã ŒããñÊã㠕ããñ ¹ãŠÀÌãÀãè During the year the Bank has opened Representative 2010 Ôãñ ¹ãî¥ãæã: ¹ããäÀÞããÊã¶ããè¾ã Öãñ Øã¾ãã Öõý ½ãÊãñãäÍã¾ãã ½ãò ºãöãä‡ãâŠØã Office at Dubai and the Office has become fully ‚ã¶ãìÓãâØããè ‡ãŠã¾ããÃÊã¾ã ŒããñÊã¶ãñ Öñ¦ãì ºãö‡ãŠ ‚ãã¹ãŠ ºã¡ãõªã Ì㠂ããâ£ãÆã ºãö‡ãŠ ‡ãñŠ operational from February 2010. The Bank signed Ôãã©ã ºãö‡ãŠ ¶ãñ Ôãâ¾ãì‡ã‹¦ã „²ã½ã ¹ãÀ ÖÔ¦ããàãÀ ãä‡ãŠ†ý ‚ã¶ãìÓãâØããè ‡ãŠã¾ããÃÊã¾ã ¶ãñ the joint venture with Bank of Baroda and Andhra ½ãÊãñãäÍã¾ã㠇ãñŠ ‡ãòŠ³ãè¾ã ºãö‡ãŠ, ºãö‡ãŠ ¶ãñØããÀã Ôãñ ÊããƒÔãòÔ㠇ãñŠ ãäÊㆠ‚ããÌãñã䪦ã Bank to open a Banking subsidiary in Malaysia. The subsidiary has applied for license from Bank Negara, ãä‡ãŠ¾ãã Öõý the central bank of Malaysia. ½ããÞãà 2010 ‡ãŠãè Ôã½ããã书㠦ã‡ãŠ ºãö‡ãŠ ‡ãñŠ ãäÌãªñÍã ½ãò 13 ÔãâÔ©ãã¹ã¶ã ÀÖñ, As at the end of March 2010, the Bank had 13 ãä•ã¶ã½ãò Ôãñ œÖ ¹ãî¥ãà ÍããŒãã†ú, ( ÖãâØ㠇ãŠãâØã ½ãò ªãñ ‚ããõÀ ãäÔãâØãã¹ãìÀ, ªãäàã¥ã establishments abroad, comprising 6 full-fledged ‡ãŠãñãäÀ¾ãã, ÑããèÊãâ‡ãŠã ‚ããõÀ ºãö‡ãŠãù‡ãŠ ½ãò †‡ãŠ - †‡ãŠ ÍããŒãã) ÞããÀ ¹ãÆãä¦ããä¶ããä£ã branches (two branches in Hongkong and one each ‡ãŠã¾ããÃÊã¾ã Öö (Øãì‚ããâØãû•ãã„-Þããè¶ã, ‡ã슂ããÊããÊãâ¹ãìÀ-½ãÊãñãäÍã¾ãã,Öãñ Þããè ãä½ã¶ã at Singapore, South Korea, Sri Lanka and Bangkok) 4 Representative offices (Guangzhou-China, Kuala ãäÔã›ãè-ãäÌã¾ã¦ã¶ãã½ã ‚ããõÀ ‚ãÊ㠇ãŠÀ½ãã-ªìºãƒÃ), ªãñ ãäÌã¹ãÆñÓã¥ã ‡ãòŠ³ Öö (ºãî¶ã Êãñ Lumpur-Malaysia, Ho Chi Minh City-Vietnam and Al ‚ããõÀ ÔãñÀòØãî¶ã, ãäÔãâØãã¹ãìÀ ) ‚ããõÀ ÑããèÊãâ‡ãŠã ½ãò †‡ãŠ „¹ãÍããŒãã Öõý karama-Dubai), 2 Remittance Centres (Boonlay and Serangoon, Singapore) and 1 Extension counter in ãäÌ㦦ããè¾ã ãä¶ãÓ¹ã㪶ã Sri Lanka. ºãã•ããÀ ½ãò ½ãâªãè ‡ãñŠ ÞãÊã¦ãñ ‡ãŠ½ã ›Èñ•ãÀãè Êãã¼ããò ‚ããõÀ ¹ãòÍã¶ã, ØãÆõÞ¾ãì›ãè ‚ããõÀ Financial Performance Ìã¦ãýãã¶ã Ìãñ¦ã¶ã ãä¶ã¹ã›ã¶ã Ôã½ã¢ããõ¦ãã ¹ãÆãä‰ãŠ¾ã㠇ãñŠ ¹ããÍÌãà ½ãò ºãö‡ãŠ ‡ãñŠ ‡ãŠ½ãÃÞãããäÀ¾ããò Global operating profit of the Bank was at Ôãñ Ôãâºãâãä£ã¦ã Ìãñ¦ã¶ã ¹ããäÀÍããñ£ã¶ã ‡ãñŠ ãäÊㆠºãü¤ãè ÖìƒÃ ªñ¾ã¦ã㠇ãñŠ ‡ãŠãÀ¥ã ÌãÓãà Rs.1,845 crore in 2009-10 as against Rs.2,524 crore 2009-10 ½ãò ºãö‡ãŠ ¶ãñ ÔããÌãüããõãä½ã‡ãŠ ¹ããäÀÞããÊã¶ã Êãã¼ã ½ãò Á. 2,524 mainly due to lower treasury gains in the subdued ‡ãŠÀãñü¡ ‡ãñŠ ½ãì‡ãŠãºãÊãñ Á.1,845 ‡ãŠÀãñü¡ Êãã¼ã ‚ããä•ãæã ãä‡ãŠ¾ãã Öõý market condition and increased liability for Pension, Gratuity and wage revision relating to employees of ¹ãÆãÌã£ãã¶ã the Bank in the backdrop of ongoing wage settlement ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀ㠕ããÀãè ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ºãö‡ãŠ ¶ãñ Á.1,138 negotiation process. ‡ãŠÀãñü¡ ‡ãŠã ‡ãìŠÊã ¹ãÆãÌã£ãã¶ã ãä‡ãŠ¾ãã Ööý Provisions ãä¶ãÌãÊã Êãã¼ã / Êãã¼ããâÍã The Bank has made a total provision of Rs.1,138 crore in keeping with the guidelines issued ¼ããÀ¦ããè¾ã ãäÀ•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ¹ãìÀã¶ããè ‚ã¶ã•ãÇ㊠‚ãããäÔ¦ã¾ããò by the RBI. ‡ãñŠ ãäÊㆠÌãðã䮦㠹ãÆãÌã£ãã¶ããò ‚ããõÀ ‡ãŠ½ã ¹ããäÀÞããÊã¶ãØã¦ã Êãã¼ã ‡ãñŠ ‡ãŠãÀ¥ã ÌãÓãà Net Profit \ Dividend 2008-09 ½ãò Á.1,326 ‡ãŠÀãñü¡ ‡ãŠãè ¦ãìÊã¶ãã ½ãò ÌãÓãà 2009-10 ‡ãñŠ ãäÊㆠNet profit of the Bank was at Rs.707 crore for ºãö‡ãŠ ‡ãŠã ãä¶ãÌãÊã Êãã¼ã Áû 707 ‡ãŠÀãñü¡ ÀÖãý ãä¹ãœÊãñ ÌãÓãà ¹ãƪ¦¦ã 45 2009-10 as against Rs.1,326 crore in 2008-09 due ¹ãÆãä¦ãÍã¦ã ‡ãñŠ Êãã¼ããâÍ㠇ãŠãè ¦ãìÊã¶ãã ½ãò ÌãÓãà 2009-10 ‡ãñŠ ãäÊㆠ35% ‡ãŠã to lower operating profit and increased provision for Êãã¼ããâÍã ¹ãÆÔ¦ãããäÌã¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõý ageing Non Performing Assets as per RBI guidelines. Dividend for the year 2009-10 is proposed at 35 % as against 45% paid last year.

14 ‚ãã¾ã Ìã ̾ã¾ã ãäÌãÍÊãñÓã¥ã Income and Expenditure Analysis ºãö‡ãŠ ‡ãŠãè ‡ãìŠÊ㠂ãã¾ã ÌãÓãà 2008-09 ½ãò Á. 11,237 ‡ãŠÀãñü¡ Ôãñ ÌãÓãà The total income increased to Rs. 11,389 crore in 2009-10 ½ãò 1.35% ‡ãŠãè ¶¾ãî¶ã¦ã½ã Ìãðãä® ‡ãñŠ Ôãã©ã ¾ãÖ ºãü¤‡ãŠÀ 2009-10 compared to Rs.11,237 crore in 2008-09, with a marginal growth of 1.35% on account of Á.11,389 ‡ãŠÀãñü¡ ÖìƒÃý ƒÔã‡ãŠã ¹ãƽãìŒã ‡ãŠãÀ¥ã ÀÖ㠛Èñ•ãÀãè ‚ãã¾ã ½ãò reduction in treasury income by Rs.345 crore over ãä¹ãœÊãñ ÌãÓãà ‡ãŠãè ¦ãìÊã¶ãã ½ãò Á.345 ‡ãŠÀãñü¡ ‡ãŠãè ‡ãŠ½ããè ‚ããõÀ ÔããÌãüããõãä½ã‡ãŠ last year and lower growth in credit due to global ‚ãããä©ãÇ㊠½ãâªãè ‡ãñŠ ‡ãŠãÀ¥ã „£ããÀ ½ãò ‡ãŠ½ã ¹ãÆØããä¦ãý ‡ãìŠÊã º¾ãã•ã ‚ãã¾ã ½ãò economic recession. The total interest income 6.28 ¹ãÆãä¦ãÍã¦ã ºã¤ãñ¦¦ãÀãè ÖìƒÃ •ããñ ÌãÓãà 2008-09 ½ãò Á. 9,641 ‡ãŠÀãñü¡ increased to Rs. 10,246 crore in 2009-10 from ÀÖãè, ÌãÖ ºãü¤‡ãŠÀ ÌãÓãà 2009-10 ½ãò Á.10,246 ‡ãŠÀãñü¡ Öãñ ØãƒÃý Rs.9,641 crore in 2008-09 at 6.28%. Interest income on Advances increased to Rs. 7660 crore compared ‚ããäØãƽããò ¹ãÀ ¹ãÆ㹦㠺¾ãã•ã ãä¹ãœÊãñ ÌãÓãà ‡ãñŠ Á.7,660 ‡ãŠÀãñü¡ ‡ãŠãè ¦ãìÊã¶ãã ½ãò to Rs.7,290 crore in the last year. Interest received Á.7422 ‡ãŠÀãñü¡ ¦ã‡ãŠ ºã¤ãý 1 •ãìÊããƒÃ 2009 Ôãñ ¹ãƼããÌããè 50 ‚ãã£ããÀ on advances impacted by decline in domestic yield ‚ãâ‡ãŠãò ¹ãÀ ºãòÞã ½ãã‡ãÊ ½ãîÊ㠄£ããÀ ªÀ ½ãò ‚ã£ããñ½ãìŒããè ¹ããäÀÍããñ£ã¶ã ‡ãñŠ ‡ãŠãÀ¥ã on advances to 10.44 % in 2009-10 from 11.13% in ‚ããäØãƽããò ¹ãÀ ªñÍããè ¹ãÆãä¦ãÊãã¼ã ÌãÓãà 2008-09 ‡ãñŠ 11.13 ¹ãÆãä¦ãÍã¦ã ‡ãŠãè 2008-09 on account of downward revision in Bench ¦ãìÊã¶ãã ½ãò Ü㛇ãŠÀ ÌãÓãà 2009-10 ½ãò 10.44 ¹ãÆãä¦ãÍã¦ã Öãñ Øã¾ãã, ãä•ãÔã‡ãñŠ Mark Prime Lending Rate by 50 basis points effective from July 1, 2009. ‡ãŠãÀ¥ã ƒÔã‡ãŠã ¹ãƼããÌ㠂ããäØãƽããò ¹ãÀ ¹ãÆ㹦㠺¾ãã•ã ¹ãÀ ‚ã£ããñ½ãìŒããè ¹ãƼããÌã ¹ãü¡ãý The commission and exchange earnings stood at Rs. 578 crore against Rs.594 crore last year. Profit ‡ãŠ½ããèÍã¶ã †Ìãâ ãäÌããä¶ã½ã¾ã ‚ã•ãöã ãä¹ãœÊãñ ÌãÓãà ‡ãñŠ Á. 594 ‡ãŠÀãñü¡ ‡ãŠãè on exchange was at Rs. 127crore as compared to ¦ãìÊã¶ãã ½ãò ƒÔã ÌãÓãà Á.578 ‡ãŠÀãñü¡ ÀÖãý ½ãì³ã ºãã•ããÀ ½ãò „¦ããÀ-Þãü¤ãÌ㠇ãñŠ Rs.157 crore due to volatility in the currency market. ‡ãŠãÀ¥ã ãäÌããä¶ã½ã¾ã ¹ãÀ Êãã¼ã Á. 157 ‡ãŠÀãñü¡ ‡ãŠãè ¦ãìÊã¶ãã ½ãò Á.127 ‡ãŠÀãñü¡ The profit on sale of investments was lower at Rs. 292 crore against Rs. 637 crore last year in the ÀÖãý ½ã⪠ºãã•ããÀ ½ãò ãä¹ãœÊãñ ÌãÓãà ãä¶ãÌãñÍããò ‡ãŠãè ãäºã‰ãŠãè ¹ãÀ Êãã¼ã ‡ãñŠ Á. 637 subdued market. ‡ãŠÀãñü¡ ‡ãñŠ ½ãì‡ãŠãºãÊãñ ƒÔã ÌãÓãà Á.292 ‡ãŠÀãñü¡ ÀÖãý The increase in interest expenditure was significantly ÌãÓãà ‡ãñŠ ªãõÀã¶ã ªñÍããè ÔããÌããä£ã •ã½ãã‚ããò ¹ãÀ ÊãØãã¦ããÀ º¾ãã•ã ªÀ ¹ãì¶ããä¶ãþã¦ã¶ã brought down to 4.52 % in 2009-10 from 28.04 % in Ì㠇ãŠã¡Ã-¹ÊãÔ㠕ã½ãã‚ããò ½ãò ‡ãŠ½ããè Êãã¶ãñ Ôãñ ÌãÓãà 2008-09 ½ãò ºã¤¦ãñ º¾ãã•ã 2008-09, due to conscious shedding of card-plus deposits and successive interest rate realignment on ̾ã¾ã ‡ãŠãñ 28.04 ¹ãÆãä¦ãÍã¦ã Ôãñ ÌãÓãà 2009-10 ½ãò 4.52 ¹ãÆãä¦ãÍã¦ã ¦ã‡ãŠ domestic term deposits during the year. Card- plus ‡ãŠ½ã ‡ãŠÀ ã䪾ãã Øã¾ããý ‡ãìŠÊã ªñÍããè •ã½ãã‚ããò ‡ãŠãè ¹ãÆãä¦ãÍã¦ã¦ã㠇ãŠãè ¦ãìÊã¶ãã ½ãò deposits as percentage to total domestic deposits ‡ãŠã¡Ã ‚ãã£ãããäÀ¦ã •ã½ãã‚ããò ‡ãŠãñ ½ããÞãà 2009 ‡ãñŠ 14.10 ¹ãÆãä¦ãÍã¦ã ‡ãŠãè significantly came down to 3.82 % at the end of ¦ãìÊã¶ãã ½ãò ½ããÞãà 2010 ‡ãŠãè Ôã½ããã书㠦ã‡ãŠ 3.82 ¹ãÆãä¦ãÍã¦ã ¦ã‡ãŠ ‡ãŠ½ã ãä‡ãŠ¾ãã March 2010 compared to 14.10% in March 2009. Øã¾ããý ¹ããäÀ¥ãã½ãÔÌã¹㠪ñÍããè •ã½ãã‚ããò ‡ãŠãè ÊããØã¦ã ½ãò ÌãÓãà 2008-09 ‡ãñŠ As a result, the domestic cost of deposits declined by 51 basis points from 6.87% in 2008-09 to 6.36% 6.87 ¹ãÆãä¦ãÍã¦ã Ôãñ 50 ‚ãã£ããÀ ‚ãâ‡ãŠ ¹ãÀ ‡ãŠ½ããè ª•ãà ‡ãŠÀ¦ãñ Öì† ÌãÓãà 2009- in 2009-10. 10 ½ãò 6.36 ¹ãÆãä¦ãÍã¦ã ¦ã‡ãŠ Êãã ãäÊã¾ãã Øã¾ããý Total operating expenses increased to Rs.2,466 crore „²ããñØã Ô¦ãÀ ¹ãÀ ¹ãòÍã¶ã, ØãÆõÞ¾ãì›ãè ‚ããõÀ Ìã¦ãýãã¶ã Ìãñ¦ã¶ã ãä¶ã¹ã›ã¶ã Ôã½ã¢ããõ¦ãã compared to Rs.1,942 crore last year due to increased ¹ãÆãä‰ãŠ¾ã㠇ãñŠ ÞãÊã¦ãñ Ìãñ¦ã¶ã ¹ããäÀÍããñ£ã¶ã ‡ãñŠ ãäÊㆠºãü¤ñ ¹ãÆãÌã£ãã¶ããò ‡ãñŠ ‡ãŠãÀ¥ã provision for pension, gratuity and wage revision ‡ãìŠÊã ¹ããäÀÞããÊã¶ãØã¦ã ̾ã¾ã ãä¹ãœÊãñ ÌãÓãà ‡ãñŠ Á.1,942 ‡ãŠÀãñü¡ ‡ãŠãè ¦ãìÊã¶ãã which is under negotiation at the industry level. The non-staff expenditure increased to Rs.731 crore from ½ãò Á.2,466 ‡ãŠÀãñü¡ ¦ã‡ãŠ ºãü¤ Øㆠý ÌãÓãà ‡ãñŠ ªãõÀã¶ã ‚ããä£ã‡ãŠ ½ãîʾãÖÆãÔã, Rs. 670 crore mainly due to higher depreciation, rent ãä‡ãŠÀã¾ã㠂ããõÀ ‡ãŠÀãò ‡ãñŠ ‡ãŠãÀ¥ã ØãõÀ-ԛã¹ãŠ ̾ã¾ã Á.670 ‡ãŠÀãñü¡ Ôãñ Á.731 and taxes during the year. Net Interest Income ‡ãŠÀãñü¡ ¦ã‡ãŠ ºã¤ Øã¾ããý ÌãÓãà 2009-10 ½ãò ãä¶ãÌãÊã º¾ãã•ã ‚ãã¾ã Á.3,168 increased to Rs. 3,168 crore in 2009-10 with a growth ‡ãŠÀãñü¡ ¦ã‡ãŠ ºã¤ ØãƒÃ •ããñ 10.39 ¹ãÆãä¦ãÍã¦ã ‡ãŠãè Ìãðãä® Öõý ºãã•ããÀ ‡ãñŠ ÁŒã of 10.39 %. Consequently Net Interest Margin was ‡ãñŠ ‚ã¶ãìÔããÀ ºãòÞã ½ãã‡ãÊ ½ãîÊ㠄£ããÀ ªÀ ½ãò ‚ã£ããñ½ãìŒããè ¹ããäÀÍããñ£ã¶ã ‡ãñŠ lower at 2.74% as against 2.84% in last year mainly due to downward revision in Bench Mark Prime ‡ãŠãÀ¥ã ãä¶ãÌãÊã º¾ãã•ã ½ãããä•ãöã ãä¹ãœÊãñ ÌãÓãà 2.84 ¹ãÆãä¦ãÍã¦ã ‡ãŠãè ¦ãìÊã¶ãã ½ãò Lending rate in line with the market. Hence the Bank’s 2.74 ¹ãÆãä¦ãÍã¦ã ‡ãŠ½ã ÀÖã ý ‚ã¦ã: ºãö‡ãŠ ‡ãŠã ¹ããäÀÞããÊã¶ãØã¦ã Êãã¼ã ÌãÓãà operating profit stood at Rs.1,845 crore for 2009-10 2008-09 ‡ãñŠ Á.2,524 ‡ãŠÀãñü¡ ‡ãŠãè ¦ãìÊã¶ãã ½ãò Á.1,845 ‡ãŠÀãñü¡ ÀÖãý as against Rs.2,524 crore in 2008-09. ¹ãîú•ããè ¹ã¾ããù¦ã¦ã㠂ã¶ãì¹ãã¦ã Capital Adequacy Ratio ºãõÔãÊã II ½ãã¶ãªâ¡ãò ‡ãñŠ ‚ã¶ãìÔããÀ ºãö‡ãŠ ‡ãŠã ¹ãîâ•ããè ¹ã¾ããù¦ã¦ã㠂ã¶ãì¹ãã¦ã ½ããÞãà The capital adequacy ratio of the Bank improved from 13.20% as at the end of March 2009 to 14.78% 2009 ‡ãñŠ ‚ãâ¦ã ¦ã‡ãŠ ‡ãñŠ 13.20% Ôãñ ºãü¤‡ãŠÀ ½ããÞãà 2010 ‡ãñŠ ‚ãâ¦ã ¦ã‡ãŠ as at the end of March 2010 as per the Basel II 14.78% Öãñ Øã¾ããý norms. ÍããŒãã ¶ãñ›Ìã‡ãÊ Branch Network ½ããÞãà 2010 ‡ãñŠ ‚ãâ¦ã ¦ã‡ãŠ ºãö‡ãŠ ¶ãñ 65 ¶ãƒÃ ÍããŒãã†ú ŒããñÊããé ¦ã©ãã 20 The Bank opened 65 new branches and upgraded „¹ãÍããŒãã‚ããò ‡ãŠã ¹ãî¥ãà ÍããŒãã‚ããò ½ãò „¸ã¾ã¶ã ãä‡ãŠ¾ããý ãäÀ¹ããñãä›ÄØ㠂ãÌããä£ã ‡ãŠãè 20 extension counters into full-fledged branches in the year ended March 2010. Total domestic branch Ôã½ããã书㠦ã‡ãŠ ªñÍããè ÍããŒãã‚ããò ‡ãŠã ¶ãñ›Ìã‡ãÊ 2,002 ¦ã‡ãŠ ¹ãÖìúÞã Øã¾ããý network reached 2,002 as at the end of the reporting •ã¶ãÔã⌾ãã Ôã½ãîÖ-ÌããÀ ºãÆñ‡ãŠ‚ã¹ã ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ‡ãìŠÊã ÍããŒãã‚ããò ½ãò Ôãñ 589 year. As regards population group wise break-up,

15 ØãÆã½ããè¥ã ÍããŒãã†ú, •ããñ ‡ãŠìÊã ÍããŒãã‚ããò ‡ãŠã 29.4% Öõ, 520 ‚ã£ãÃ- rural branches numbered 589 accounting for 29.4% ÍãÖÀãè (26%)è, 492 ÍãÖÀãè (24.6%) ‚ããõÀ 401 ½ãÖã¶ãØãÀãè¾ã ÍããŒãã†ú of the total branches, semi-urban 520(26%), urban (20%) Ööý 492(24.6%) and metropolitan 401(20%). Customer Service ØãÆãև㊠ÔãñÌãã The Bank has adopted the Code of Commitment to ºãö‡ãŠ ¶ãñ ‚ã¹ã¶ãñ ØãÆãևãŠãò ‡ãŠñ ãäÊㆠºãöãä‡ãâŠØ㠇ãŠãñ¡ Ìã ½ãã¶ã‡ãŠ ºããñ¡Ã ‚ããù¹ãŠ Bank’s Customers as drafted by Banking Codes and ƒã䥡¾ãã (ºããèÔããè†Ôãºããè‚ããƒ) ´ãÀã ¡Èã¹ã‹› ãä‡ãŠ† Øㆠ‡ãŠãñ¡ ‡ãŠãñ ‚ã¹ã¶ãã¾ãã Standards Board of India (BCSBI). The Code has Öõý ‚ãØãÔ¦ã 2009 ‡ãñŠ ªãõÀã¶ã ‡ãŠãñ¡ ‡ãŠã ¹ããäÀÍããñ£ã¶ã ãä‡ãŠ¾ãã Øã¾ããý ØãÆãև㊠been revised during August 2009. As part of customer ãäÍãàã㠇ãñŠ ¼ããØ㠇ãñŠ ¹㠽ãò “ØãÆãևãŠãò ‡ãŠãñ •ãã¶ã‡ãŠãÀãè” ¹ãìãäÔ¦ã‡ãŠã Ôã¼ããè ÍããŒãã‚ããò education “Information to Customers” Booklet is made available at all branches. Customer Fortnight was ½ãò „¹ãÊ㺣㠇ãŠÀÌãã¾ããè Øã¾ããèý ½ãƒÃ 2009 ½ãò Þã¾ããä¶ã¦ã ÍããŒãã‚ããò ½ãò ‚ããõÀ observed in select branches in May 2009 and in all ¶ãÌãâºãÀ 2009 ‡ãñŠ ªãõÀã¶ã Ôã¼ããè ÍããŒãã‚ããò ½ãò ØãÆãև㊠¹ãŒãÌãã¡ã ½ã¶ãã¾ãã branches during November 2009. Øã¾ããý During the year, incorporating certain provisions of ƒÔã ÌãÓãà ‡ãñŠ ªãõÀã¶ã ¾ãî†Ôã¡ãè Þãñ‡ãŠ ÌãÔãîÊããè ¶ããèãä¦ã, ØãÆãև㊠ÔãñÌãã Ôãñ Ôãâºãâãä£ã¦ã USD Cheque Collection Policy, the Compensation Policy document related to customer service was Àã֦㠶ããèãä¦ã ªÔ¦ããÌãñû•ã ‡ãñŠ ‡ã슜 ¹ãÆãÌã£ãã¶ããò ½ãò ÔãâÍããñ£ã¶ã ãä‡ãŠ¾ãã Øã¾ããý amended. ¹ãÆ㹦ã ØãÆãև㊠ãäÍã‡ãŠã¾ã¦ããò ‚ããõÀ ãä‡ãŠ† Øㆠãä¶ãÌããÀ¥ããò ‡ãñŠ ãäÌãÌãÀ¥ã ãä¶ã½¶ããâãä‡ãŠ¦ã The details of customer complaints received and Öö : redressed are given below. ‡ãŠ ÌãÓãà ‡ãñŠ ¹ãÆãÀâ¼ã ½ãò Êãâãäºã¦ã ãäÍã‡ãŠã¾ã¦ããò ‡ãŠãè Ôã⌾ãã - 47 a. Pending at the beginning of the year - 47 Œã ÌãÓãà ‡ãñŠ ªãõÀã¶ã ¹ãÆ㹦ã ãäÍã‡ãŠã¾ã¦ããò ‡ãŠãè Ôã⌾ãã - 1,291 b. Received during the year - 1291 Øã ÌãÓãà ‡ãñŠ ªãõÀã¶ã ãä•ã¶ã ãäÍã‡ãŠã¾ã¦ããò ‡ãŠã ãä¶ãÌããÀ¥ã c. Redressed during the year - 1280 ãä‡ãŠ¾ãã Øã¾ã㠄¶ã‡ãŠãè Ôã⌾ãã - 1,280 d. Pending at the end of the year - 58

Üã ÌãÓãà ‡ãñŠ ‚ãâ¦ã ½ãò Êãâãäºã¦ã ãäÍã‡ãŠã¾ã¦ããò ‡ãŠãè Ôã⌾ãã - 58 During the year 2009-10, 1338 complaints were ºãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã, 1338 ãäÍã‡ãŠã¾ã¦ãñâ Ôãâ¼ããÊããè ØãƒÃ (ãä¹ãœÊãñ ÌãÓãà handled (including the complaints carried over from the earlier year) of which 1280 complaints were ‡ãŠãè ãäÍã‡ãŠã¾ã¦ãñâ ¼ããè Íããä½ãÊã Öõñâ) ãä•ãÔã½ãò 1280 ãäÍã‡ãŠã¾ã¦ããò ‡ãŠã ãä¶ã¹ã›ã¶ã resolved. The redressal rate was 95.67 % . ãä‡ãŠ¾ãã Øã¾ããý ãä¶ã¹ã›ã¶ã ªÀ 95.67%ý Number of awards passed by the Banking ºãöãä‡ãâŠØã Êããñ‡ãŠ¹ããÊã ´ãÀã ã䪆 Øㆠãä¶ã¥ãþããò ‡ãŠãè Ôã⌾ã㠂ããõÀ ºãö‡ãŠ ´ãÀã Ombudsman and implemented by the Bank are as ‡ãŠã¾ããÃãä¶Ìã¦ã ãä‡ãŠ† Øㆠãä¶ã¥ãþããò ‡ãŠãè Ôã⌾ã㠇ãñŠ ãäÌãÌãÀ¥ã ãä¶ã½¶ãÌã¦ã Öõ : follows. a. Unimplemented awards at the beginning of the year - 2 ‡ãŠ ÌãÓãà ‡ãñŠ ¹ãÆãÀâ¼ã ½ãò ‡ãŠã¾ããÃãä¶Ìã¦ã ¶ã ãä‡ãŠ† Øㆠãä¶ã¥ãþããò ‡ãŠãè Ôã⌾ãã - 2 Œã ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãöãä‡ãâŠØã Êããñ‡ãŠ¹ããÊã ´ãÀã ¹ãããäÀ¦ã ãä¶ã¥ãþããò ‡ãŠãè Ôã⌾ãã - 1 b. Awards passed by Banking Ombudsman during the year - 1 Øã ÌãÓãà ‡ãñŠ ªãõÀã¶ã ‡ãŠã¾ããÃãä¶Ìã¦ã ãä¶ã¥ãþããò ‡ãŠãè Ôã⌾ãã - 1 c. Awards implemented during the year - 1 Ü㠄ÞÞã ¶¾ãã¾ããÊã¾ã ½ãò ‚ã¶ãì½ã¦ã ãä¶ã¥ãþããò ‡ãñŠ ¹ãÆãä¦ã ‡ãŠãè Øã¾ããè ‚ã¹ããèÊããò ‡ãŠãè Ôã⌾ãã - 1 d. Appeal against the awards allowed in the High Court - 1 Þã ÌãÓãà ‡ãñŠ ‚ãâ¦ã ½ãò ‡ãŠã¾ããÃãä¶Ìã¦ã ¶ã ãä‡ãŠ† Øㆠãä¶ã¥ãþããò ‡ãŠãè Ôã⌾ãã - 1 e. Unimplemented awards at the end of the year - 1 ÌãÓãà ‡ãñŠ ªãõÀã¶ã ØãÆãև㊠ÔãñÌã㠇ãòŠ³, Þãñ¸ãõ ¶ãØãÀ ãä•ãÔã‡ãñŠ ãäÊㆠºãö‡ãŠ Þãñ¸ãõ ¶ãØãÀ Customer Service Centre, Chennai City, for which ½ãò Ôãâ¾ããñ•ã‡ãŠ Öõ, ¶ãñ Ôã¼ããè ãäÍã‡ãŠã¾ã¦ããò ‡ãŠã Ôã½ãã£ãã¶ã ãä‡ãŠ¾ãã Öõý ãäÍã‡ãŠã¾ã¦ãñâ the Bank is the Convener, had resolved all the complaints during the year. Customers are provided ¹ãÆ㹦㠇ãŠÀ¶ãñ Öñ¦ãì ºããÖÀãè †•ãòÔããè ‡ãŠãè ÔãñÌãã†ú Êãñ‡ãŠÀ ØããÆևãŠãò ‡ãŠãñ ›ãñÊã ¹ãƊãè with the facility of Toll Free Tele-services (No.1800- ›ñÊããè ÔããäÌãÃÔãñ•ã (1800-425-4445) „¹ãÊ㺣㠇ãŠÀÌãã¾ããè Øã¾ããè Öõý ƒ¶ã 425-4445) by engaging an outside agency for ãäÍã‡ãŠã¾ã¦ããò ‡ãŠã ãä¶ã¹ã›ã¶ã 48 Üãâ›ãò ‡ãñŠ ¼ããè¦ãÀ ãä‡ãŠ¾ã㠕ãã¦ãã Öõý ƒÔã receiving complaints. These complaints are resolved ÔãìãäÌã£ã㠇ãŠã „¸ã¾ã¶ã 24x7 ½ãã¡ñÊ㠇ãñŠ ¹㠽ãò ãä‡ãŠ¾ã㠕ãã ÀÖã Öõý within 48 hours. This facility is being upgraded for 24x7 model. ãäÀ›ñÊã ºãöãä‡ãâŠØ㠂ããõÀ ãäÌã¹ã¥ã¶ã Retail Banking and Marketing •ããèÌã¶ã Ìã Ôãã£ããÀ¥ã ºããè½ã㠄¦¹ããªãò ¦ã©ãã ºããè½ãã Ôãâºã® „¦¹ããªãò ÔããäÖ¦ã Income from fee-based products including Life and Íãìʇ㊠‚ãã£ãããäÀ¦ã „¦¹ããªãò Ôãñ ¹ãÆ㹦㠂ãã¾ã ½ãò ãä¹ãœÊãñ ÌãÓãà ‡ãŠãè ¦ãìÊã¶ãã ½ãò General Insurance Products and Insurance Linked 53.69 ¹ãÆãä¦ãÍã¦ã ºãü¤ ØãƒÃý •ããèÌã¶ã ºããè½ãã Ôãñ Ôãâºã® „¦¹ã㪠•ãõÔãñ ‚ãヂããñºããè Products, grew by 53.69 % over the previous year. •ããèÌã¶ã, ‚ãヂããñºããè Öñʩ㠇ãñŠ¾ãÀ ¹ÊãÔã, ÔãìÀàãã ÔããäÖ¦ã ãäÌã²ã㠕¾ããñãä¦ã ‡ãŠãñ Life Insurance Linked Products, IOB Jeevan, IOB Healthcare Plus, Vidya Jyothi with Suraksha performed well with wider coverage and improved income.

16 ‚ãޜ㠺ã¤ãÌãã ãä½ãÊã㠂ããõÀ ‚ãã¾ã ½ãò ºãü¤ãñ¦¦ãÀãè ÖìƒÃý Distribution of life policies, as a Corporate Agent of Life Insurance Corporation of India, witnessed growth ¼ããÀ¦ããè¾ã •ããèÌã¶ã ºããè½ã㠇ãñŠ ‡ãŠã¹ããóÀñ› †•ãò› ‡ãñŠ ¹㠽ãò •ããèÌã¶ã ¹ãããäÊããäÔã¾ããò ‡ãñŠ both in premium as well as commission. So also ãäÌã¦ãÀ¥ã ‡ãñŠ ¦ã֦㠹ãÆãèãä½ã¾ã½ã ¦ã©ã㠇㊽ããèÍã¶ã ªãñ¶ããò ½ãò ‚ãޜãè Ìãðãä® ÖìƒÃý were the non-life insurance products of Universal ƒÔããè ¹ãƇãŠãÀ Ôãñ ¾ãîãä¶ãÌãÔãÃÊã Ôããñ½¹ããñ •ã¶ãÀÊ㠃¶Í¾ããñÀñ¶Ô㠇ãñŠ ØãõÀ •ããèÌã¶ã Sompo General Insurance. ºããè½ã㠄¦¹ããªãò ½ãò ¼ããè Ìãðãä® ÖìƒÃý The income from marketing of life policies, life insurance linked policies, non-life policies including •ããèÌã¶ã ¹ãããäÊããäÔã¾ããò, •ããèÌã¶ã ºããè½ãã Ôãñ Ôãâºã® ¹ãããäÊããäÔã¾ããò, ØãõÀ-•ããèÌã¶ã health care was Rs.14.28 crore. Income from sale ¹ãããäÊããäÔã¾ããò ‡ãñŠ ãäÌã¹ã¥ã¶ã Ôãñ Á.14.28 ‡ãŠÀãñü¡ ‡ãŠãè ‚ãã¾ã ÖìƒÃý ÔÌã¥ãà of retail gold coins clocked Rs.8.64 crore. Retail ½ãì³ã‚ããò ‡ãŠãè ãäÀ›ñÊã ãäºã‰ãŠãè Ôãñ Á.8.64 ‡ãŠÀãñü¡ ‡ãŠãè ‚ãã¾ã ÖìƒÃý ‚ããÌããÔã Loans grew at 15.5 % over the previous year with ¨ãÉ¥ããò ‡ãñŠ ¹ãƽãìŒã ¾ããñØãªã¶ã Ôãñ ãäÀ›ñÊã ¨ãÉ¥ã ãä¹ãœÊãñ ÌãÓãà ‡ãñŠ ½ãì‡ãŠãºãÊãñ major contribution from Housing Loans. 15.5 ¹ãÆãä¦ãÍã¦ã ºãü¤ñý The following campaigns were conducted during the year 2009-10. ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã ãä¶ã½¶ããäÊããäŒã¦ã ‚ããä¼ã¾ãã¶ã ÞãÊãㆠØㆠ: 1. CASA campaign 1 ‡ãŠãÔãã (Ôãã膆Ôã†) ‚ããä¼ã¾ãã¶ã 2. Retail Sale of Gold Coins. 2 ÔÌã¥ãà ½ãì³ã‚ããò ‡ãŠãè ãäÀ›ñÊã ãäºã‰ãŠãè 3. Marketing of Healthcare Plus Policies. 3 Öñʩ㠇ãñŠ¾ãÀ ¹ÊãÔã ¹ãããäÊããäÔã¾ããò ‡ãŠã ãäÌã¹ã¥ã¶ã 4. Campaign for Asset Insurance Cover. 5. Marketing of Debit Cards. 4 ‚ãããäԦ㠺ããè½ã㠇ãŠÌãÀ ‡ãñŠ ãäÊㆠ‚ããä¼ã¾ãã¶ã 6. Special Tax Saver Campaign 5 ¡ñãäºã› ‡ãŠã¡Ã ‡ãŠã ãäÌã¹ã¥ã¶ã There was all round improvement in volume and 6 ãäÌãÍãñÓ㠛õ‡ã‹Ôã ºãÞã¦ã ‚ããä¼ã¾ãã¶ã increase in income in the retail-banking segment. ãäÀ›ñÊã ºãöãä‡ãâŠØã àãñ¨ã ½ãò Ôã½ãØãÆ Ìãðãä® ÖìƒÃ ‚ããõÀ ‚ãã¾ã ½ãñâ ¼ããè ºãü¤ãñ¦¦ãÀãè Official Language Policy ÖìƒÃý During the year 2009-10, the Bank has taken all efforts to implement the Official Language Policy of Government Àã•ã¼ããÓãã ¶ããèãä¦ã of India. During the year, 248 Staff members, who did ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ Àã•ã¼ããÓãã ¶ããèãä¦ã ‡ãñŠ ‡ãŠã¾ããöÌã¾ã¶ã ‡ãñŠ not possess working knowledge of Hindi, were trained ãäÊㆠ¹ãîÀñ ¹ãƾããÔã ãä‡ãŠ†ý ÌãÓãà ‡ãñŠ ªãõÀã¶ã 248 ԛã¹ãŠ ÔãªÔ¾ããò ‡ãŠãñ, ãä•ã¶Öò in IOB Praveen and Banking Pragya Courses. 2,809 Staff ãäÖ¶ªãè ‡ãŠã ‡ãŠã¾ãÃÔãã£ã‡ãŠ —ãã¶ã ¹ãÆ㹦㠶ãÖãé Öõ, ‚ãヂããñºããè ¹ãÆÌããè¥ã ¦ã©ãã members, possessing working knowledge of Hindi, were trained in General Hindi Workshops held during the year. ºãöãä‡ãâŠØã ¹ãÆã—ã ¹ã㟿ã‰ãŠ½ã ‡ãŠã ¹ãÆãäÍãàã¥ã ã䪾ãã Øã¾ããý ãäÖ¶ªãè ‡ãŠã ‡ãŠã¾ãÃÔãã£ã‡ãŠ Rajbhasha Sangoshti was held on September 12, 2009 —ãã¶ã ¹ãÆ㹦ã 2809 ԛã¹ãŠ ÔãªÔ¾ããò ‡ãŠãñ Ôãã½ã㶾ã ãäÖ¶ªãè ‡ãŠã¾ãÃÍããÊãã‚ããò ½ãò for heads of Central Office departments to strengthen ¹ãÆãäÍãäãàã¦ã ãä‡ãŠ¾ãã Øã¾ããý ‡ãòŠ³ãè¾ã ‡ãŠã¾ããÃÊã¾ã ½ãò Àã•ã¼ããÓã㠇ãŠã¾ããöÌã¾ã¶ã ‡ãŠãñ the Official Language Implementation in Central Office. ÔãìÒ¤ ºã¶ãã¶ãñ Öñ¦ãì Ôã¼ããè ãäÌã¼ããØã ¹ãƽãìŒããò ‡ãñŠ ãäÊㆠãäÔã¦ã½ºãÀ 12, 2009 Minutes of meetings of all board level committees ‡ãŠãñ Àã•ã¼ããÓãã ÔãâØããñӟãè ‡ãŠã ‚ãã¾ããñ•ã¶ã ãä‡ãŠ¾ãã Øã¾ããý were translated in Hindi. As per the directives of Govt. of India, the Bank has enabled Hindi Unicode ºããñ¡Ã Ô¦ãÀãè¾ã Ôã¼ããè ºãõŸ‡ãŠãò ‡ãñŠ ‡ãŠã¾ãÃÌãð¦¦ã ‡ãŠã ãäÖ¶ªãè ½ãò ‚ã¶ãìÌã㪠ãä‡ãŠ¾ãã font in all Regional Offices and has provided the Øã¾ããý ¼ããÀ¦ã ÔãÀ‡ãŠãÀ ‡ãñŠ ãä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ºãö‡ãŠ ¶ãñ Ôã¼ããè àãñ¨ããè¾ã ‡ãŠã¾ããÃÊã¾ããò facility of Hindi font Shusha on IOB ONLINE for ½ãò ãäÖ¶ªãè ¾ãîãä¶ã‡ãŠãñ¡ ¹ãŠãù¥› ¹ãÆãä¦ãӟããä¹ã¦ã ãä‡ãŠ¾ã㠂ããõÀ Ôã¼ããè ÍããŒãã‚ããò ½ãò downloading purpose in branches. Bank has also ¡ã„¶ãÊããñãä¡âØ㠇ãñŠ ¹ãƾããñ•ã¶ã ‡ãŠãè Òãäӛ Ôãñ ‚ãム‚ããñ ºããè ‚ããù¶ãÊãヶ㠽ãò provided the Banking terminology on IOB ONLINE for the benefit of staff members. Bank has given ãäÖ¶ªãè “ÍãìÔÖ㔠¹ãŠãù¥› ‡ãŠãè ÔãìãäÌã£ãã ¼ããè „¹ãÊ㺣㠇ãŠÀã¾ããè Øã¾ããè Öõý ԛã¹ãŠ necessary training to 2,445 staff members for the ‡ãñŠ ¹ãƾããñØãã©ãà ºãö‡ãŠ ¶ãñ ‚ããù¶ãÊãヶ㠹ãÀ ºãöãä‡ãâŠØã Í㺪ãÌãÊããè ¼ããè „¹ãÊ㺣ã use of Hindi in computers. Bank has published all ‡ãŠÀÌããƒÃ Öõý ºãö‡ãŠ ¶ãñ 2445 ԛã¹ãŠ ÔãªÔ¾ããò ‡ãŠãñ ‡ã⊹¾ãî›Àãò ¹ãÀ ãäÖ¶ªãè ½ãò the four issues of quarterly Hindi Magazine “VANI” ‡ãŠã¾ãà ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ‚ããÌã;ã‡ãŠ ¹ãÆãäÍãàã¥ã ã䪾ããý ºãö‡ãŠ ¶ãñ ¨ãõ½ãããäÔã‡ãŠ ãäÖ¶ªãè in print as well as in digital form. Bank’s website ¹ããä¨ã‡ãŠã “Ìãã¥ããè” ‡ãñŠ ÞããÀ ‚ãâ‡ãŠãò ‡ãŠã Ôã½ã¾ã ¹ãÀ ¹ãƇãŠãÍã¶ã ãä¡ãä•ã›Êã Ìã has been made available in Hindi also. ½ã쳥㠇ãñŠ ¹㠽ãò ãä‡ãŠ¾ããý ºãö‡ãŠ ‡ãŠãè ÌãñºãÔãホ ãäÖ¶ªãè ½ãò ¼ããè „¹ãÊ㺣㠇ãŠÀÌãã Bank won the First Prize under Indira Gandhi ªãè ØãƒÃ Öõý Rajbhasha Shield for the year 2008-09 for commendable work in the area of Official Language ÌãÓãà 2008-09 ‡ãñŠ ªãõÀã¶ã Àã•ã¼ãããÓã㠇ãŠã¾ããöÌã¾ã¶ã ½ãò ÔãÀãÖ¶ããè¾ã ‡ãŠã¾ãà Implementation. Shri S A Bhat, Chairman & Managing ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠƒâãäªÀã Øããú£ããè Àã•ã¼ããÓãã ÍããèÊ¡ ‡ãñŠ ¦ã֦㠺ãö‡ãŠ ‡ãŠãñ ¹ãÆ©ã½ã Director of the Bank, received this Award from Her ¹ãìÀԇãŠãÀ ¹ãÆ㹦ã Öì‚ããý 14 ãäÔã¦ãâºãÀ 2009 ‡ãŠãñ ¼ããÀ¦ã ‡ãñŠ ½ãÖã½ããäÖ½ã Àãӛȹããä¦ã Excellency President of India Smt. Pratibha Devi Singh Patil on September 14, 2009. ½ãÖãñª¾ãã Ñããè½ã¦ããè ¹ãÆãä¦ã¼ãã ªñÌããè ãäÔãâÖ ¹ãã›ãèÊã Ôãñ ºãö‡ãŠ ‡ãñŠ ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ Ñããè †Ôã. †. ¼ã› ¶ãñ ¾ãÖ ¹ãìÀԇãŠãÀ ¹ãÆ㹦ã ãä‡ãŠ¾ããý Reserve Bank of India awarded Second Prize to the Bank for Hindi house magazine “VANI” for the year ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀã ºãö‡ãŠãò ¦ã©ãã ãäÌ㦦ããè¾ã ÔãâÔ©ãã‚ããò ‡ãŠãè ØãðÖ- 2008-09 in the Inter-Bank & Financial Institutions ¹ããä¨ã‡ãŠã‚ããò ‡ãñŠ ãäÊㆠ‚ãã¾ããñãä•ã¦ã ¹ãÆãä¦ã¾ããñãäØã¦ãã ½ãò ÌãÓãà 2008-09 Öñ¦ãì Hindi in-house Magazine Competition.

17 ºãö‡ãŠ ‡ãŠãè ØãðÖ-¹ããä¨ã‡ãŠã “Ìãã¥ããè” ‡ãŠãñ ãä´¦ããè¾ã ¹ãìÀԇãŠãÀ ¹ãÆ㹦ã Öì‚ããý Regional Offices were inspected on Official Language implementation by Official Language Department, ‡ãòŠ³ãè¾ã ‡ãŠã¾ããÃÊã¾ã ‡ãñŠ Àã•ã¼ããÓãã ãäÌã¼ããØã ´ãÀã àãñ¨ããè¾ã ‡ãŠã¾ããÃÊã¾ããò ½ãò Àã•ã¼ããÓãã Central Office and Rajbhasha Shields were awarded ‡ãŠã¾ããöÌã¾ã¶ã ‡ãŠãè ãäÔ©ããä¦ã Ôãñ Ôãâºãâãä£ã¦ã ãä¶ãÀãèàã¥ã ãä‡ãŠ¾ãã Øã¾ã㠂ããõÀ Àã•ã¼ããÓãã to Regional Offices and branches doing good work ‡ãŠã¾ããöÌã¾ã¶ã ‡ãñŠ àãñ¨ã ½ãò ‚ãޜ㠇ãŠã¾ãà ‡ãŠÀ¶ãñ ÌããÊãñ àãñ¨ããè¾ã ‡ãŠã¾ããÃÊã¾ããò ¦ã©ãã in official language implementation. ÍããŒãã‚ããò ‡ãŠãñ Àã•ã¼ããÓãã ÍããèÊ¡ ¹ãƪã¶ã ãä‡ãŠ† Øã†ý The drafting and evidence Sub -Committee of Parliamentary Committee on Official Language had ÌãÓãà ‡ãñŠ ªãõÀã¶ã ÔãâÔãªãè¾ã Àã•ã¼ããÓãã Ôããä½ããä¦ã ‡ãŠãè ‚ããÊãñŒã Ìã Ôããà¾ã „¹ã- discussions with the Chairmen and heads of Banks Ôããä½ããä¦ã ¶ãñ Àã¾ã¹ãìÀ ¶ãØãÀ ‡ãŠãè ¶ãØãÀ Àã•ã¼ããÓã㠇ãŠã¾ããöÌã¾ã¶ã Ôããä½ããä¦ã ‡ãñŠ of Town Official Language Committees at Raipur. The ‚㣾ãà㠆Ìãâ ÔãªÔ¾ã ºãö‡ãŠãò ‡ãñŠ ¹ãƽãìŒããò ‡ãñŠ Ôãã©ã ÞãÞããà ‡ãŠãèý Ö½ããÀñ ºãö‡ãŠ ‡ãŠãè Bank was also invited for discussion and the ÍããŒã㠇ãŠãñ ¼ããè ÞãÞããà Öñ¦ãì Íãããä½ãÊã ãä‡ãŠ¾ãã Øã¾ã㠂ããõÀ Ôããä½ããä¦ã ¶ãñ Ö½ããÀñ ºãö‡ãŠ committee expressed satisfaction over the performance of the Bank at this centre. ‡ãñŠ ‡ãŠã¾ãÃãä¶ãÓ¹ã㪶㠹ãÀ Ôãâ¦ãìãäӛ •ã¦ããƒÃ ý As convener of Chennai Town Official Language Àã•ã¼ããÓãã ãäÌã¼ããØã, ØãðÖ ½ãâ¨ããÊã¾ã, ¼ããÀ¦ã ÔãÀ‡ãŠãÀ Ôãñ Àã•ã¼ããÓãã ¶ããèãä¦ã ‡ãñŠ Implementation Committee, the Bank has received Ôã¹ãŠÊ㠇ãŠã¾ããöÌã¾ã¶ã ‡ãñŠ ãäÊㆠÌãÓãà 2008-09 Öñ¦ãì Þãñ¸ãõ ¶ãØãÀ Àã•ã¼ããÓãã the Second Prize for its efforts in implementation of ‡ãŠã¾ããöãÌã¾ã¶ã Ôããä½ããä¦ã ‡ãñŠ Ôãâ¾ããñ•ã‡ãŠ ‡ãñŠ ¹㠽ãò ºãö‡ãŠ ¶ãñ ¹ãìªìÞÞãñãäÀ ½ãò ‚ã‡ã‹¦ãîºãÀ Official Language Policy during the year 2008-09 from Official Language Department, Ministry of Home 9, 2009 ‡ãŠãñ ‚ãã¾ããñãä•ã¦ã àãñ¨ããè¾ã Àã•ã¼ããÓãã Ôã½½ãñÊã¶ã ½ãò ½ãã¶ã¶ããè¾ã ØãðÖ Affairs, Government of India. The Prize was given À㕾㠽ãâ¨ããè Ñããè ‚ã•ã¾ã ½ãã‡ãŠ¶ã Ôãñ ãä´¦ããè¾ã ¹ãìÀԇãŠãÀ ¹ãÆ㹦ã ãä‡ãŠ¾ããý Ôããä½ããä¦ã by Shri Ajay Makan, Minister of State for Home Affairs, ‡ãŠãè ‚ããñÀ Ôãñ ºãö‡ãŠ ´ãÀã ÔãªÔ¾ã ºãö‡ãŠãò / ãäÌ㦦ããè¾ã ÔãâÔ©ãã‚ããò ‡ãñŠ ԛã¹ãŠ New Delhi on October 9, 2009. On behalf of the ÔãªÔ¾ããò ‡ãñŠ ãäÊㆠªãñ Ôãã½ã㶾ã ãäÖ¶ªãè ‡ãŠã¾ãÃÍããÊãã‚ããò, 12 ‚ãâ¦ãÀ-ºãö‡ãŠ committee, the Bank conducted two General Hindi ãäÖ¶ªãè ¹ãÆãä¦ã¾ããñãäØã¦ãã‚ããò, Ôãâ¾ãì‡ã‹¦ã ãäÖ¶ªãè ½ããÖ Ôã½ããÀãñÖ †Ìãâ ãäÖ¶ªãè ¾ãîãä¶ã‡ãŠãñ¡ Workshops, 12 Inter-Bank Hindi competitions, Joint Hindi Month Celebration function and Hindi Unicode ¹ãÆãäÍãàã¥ã ‡ãŠã¾ãÉ㊽㠇ãŠã ‚ãã¾ããñ•ã¶ã ãä‡ãŠ¾ãã Øã¾ããý ã䪶ããâ‡ãŠ •ã¶ãÌãÀãè 8, training programme for the staff members of member 2010 ‡ãŠãñ Ìãñ¦ã¶ã½ãã¶ã IV Ñãñ¥ããè ‡ãñŠ ¹ãƺãâ£ã‡ãŠãò ‡ãñŠ ãäÊㆠØãÆãև㊠ÔãñÌãã ¹ãÀ banks / Financial Institutions. A special Seminar in ãäÖ¶ªãè ½ãò ãäÌãÍãñÓã ÔãâØããñӟãè ‚ãã¾ããñãä•ã¦ã ‡ãŠãè ØãƒÃý ƒÔã‡ãñŠ ‚ãÊããÌãã ªãñ ‚ã£ãà Hindi on Customer Service for Managers of Scale ÌãããäÓãÇ㊠ºãõŸ‡ãŠò ¼ããè ‚ãã¾ããñãä•ã¦ã ‡ãŠãè ØãƒÄý IV was held on January 8 ,2010. In addition to this two half yearly meetings were also conducted. àãñ¨ããè¾ã ØãÆã½ããè¥ã ºãö‡ãŠ Regional Rural Banks ºãö‡ãŠ ´ãÀã ¹ãÆã¾ããñãä•ã¦ã àãñ¨ããè¾ã ØãÆã½ããè¥ã ºãö‡ãŠãò (‚ããÀ‚ããÀºããè) ¾ã©ãã ¹ããâã䡾ã¶ã The Regional Rural Banks (RRBs) sponsored by the ØãÆã½ã ºãö‡ãŠ ‚ããõÀ ¶ããèÊããâÞãÊã ØãÆ㽾㠺ãö‡ãŠ ¶ãñ ÌãÓãà ‡ãñŠ ªãõÀã¶ã ‚ãޜã ãä¶ãÓ¹ã㪶ã Bank, viz Pandyan Grama Bank and Neelachal ãä‡ãŠ¾ããý ªãñ¶ããò àãñ¨ããè¾ã ØãÆã½ããè¥ã ºãö‡ãŠãò ¶ãñ ÌãÓãà ‡ãñŠ ªãõÀã¶ã ãä¶ãÌãÊã Êãã¼ã ª•ãà Gramya Bank performed well during the year. Both ãä‡ãŠ¾ããý the RRBs recorded net profit during the year. ‡ãŠã¹ããóÀñ› ØãÌã¶ãó¶Ôã Corporate Governance The Bank prides itself on its diligence in ensuring ãä¶ã¾ãã½ã‡ãŠ ¹ãÆããä£ã‡ãŠããäÀ¾ããò ´ãÀã ãä¶ã£ããÃãäÀ¦ã ½ãã¶ãªâü¡ãò ‡ãñŠ ‚ã¶ãì¹ããÊã¶ã ‡ãŠãñ ºãö‡ãŠ compliance with norms laid down by regulatory ÔããÌã£ãã¶ããè Ôãñ Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ ÀÖã Öõý ºãö‡ãŠ ƒÔã ºãã¦ã ‡ãŠãè ‚ããÌã;ã‡ãŠ¦ãã ¹ãÀ authorities. The Bank lays emphasis on the need ºãÊã ªñ ÀÖã Öõ ãä‡ãŠ ÔãâÀÞã¶ãã‚ããò ‚ããõÀ ¹ãÆãä‰ãŠ¾ãã‚ããò ‡ãŠãñ ̾ãÌããäÔ©ã¦ã ÀŒã¶ãã for ensuring that structures and processes are put Ôãìãä¶ããäÍÞã¦ã ãä‡ãŠ¾ã㠕ãㆠ¦ãããä‡ãŠ ºãö‡ãŠ ‚ã¹ã¶ããè ¹ãÆÍããÔã‡ãŠãè¾ã ãä•ã½½ãñªããäÀ¾ããò ‡ãŠãñ in place to help in fulfilling its governance ¹ãîÀ㠇ãŠÀ Ôã‡ãòŠý ‚ãޜñ ¹ãÆÍããÔã¶ã ‡ãŠãñ ¹ãÆÌããä¦ãæ㠇ãŠÀ¶ãñ ‚ããõÀ „¦¦ã½ã ̾ãÌãÖãÀãò, responsibilities. The Board recognizes its role in promoting good governance and in creating a ¹ãÆãä‰ãŠ¾ãã‚ããò †Ìãâ ¶ãõãä¦ã‡ãŠ¦ãã‚ããò ‡ãŠãè ¹ãÀñŒãã Ôãðãä•ã¦ã ‡ãŠÀ¶ãñ ½ãò ºãö‡ãŠ ‚ã¹ã¶ããè framework of best practices, processes and ethics ¼ãîãä½ã‡ãŠã ‡ãŠãñ ¼ãÊããè-¼ããúãä¦ã Ôã½ã¢ã¦ãã Öõ, ãä•ãÔãÔãñ ãä‡ãŠ ¶ãõãä¦ã‡ãŠ ½ãã¶ã‡ãŠ¦ã㠇ãŠã to observe and foster high ethical standards. ¹ããÊã¶ã Ìã ¹ããñÓã¥ã ãä‡ãŠ¾ã㠕ãã Ôã‡ãòŠý The Bank has laid down a well-defined Code of ºãö‡ãŠ ¶ãñ Ôãì¹ããäÀ¼ãããäÓã¦ã ‚ããÞãÀ¥ã ÔãâãäÖ¦ãã ºã¶ããƒÃ Öõ ãä•ãÔã½ãò ƒÃ½ãã¶ãªãÀãè, ºãö‡ãŠ Conduct, which address issues of integrity, conflict ãäÖ¦ããò ‡ãŠãè Ààã㠂ããõÀ Øããñ¹ã¶ããè¾ã¦ã㠇ãñŠ ºããÀñ ½ãò „ÊÊãñŒã Öõý Ôãã©ã Öãè ºãö‡ãŠ of interest and confidentiality and stress the need for ethical conduct, which is the basis of good ‚ãޜñ ‚ããÞãÀ¥ã ‡ãŠãè ‚ããÌã;ã‡ãŠ¦ãã ¹ãÀ ºãÊã ªñ¦ãã Öõ •ããñ ‚ãޜñ ØãÌã¶ãôÔ㠇ãŠã governance. This Code of Conduct is applicable to ‚ãã£ããÀ Öõý ¾ãÖ ‚ããÞãÀ¥ã ÔãâãäÖ¦ãã ½ãâ¡Ê㠇ãñŠ Ôã¼ããè ÔãªÔ¾ããò ‚ããõÀ ºãö‡ãŠ ‡ãñŠ all the members of the Board and Senior Management ÌããäÀӟ ¹ãƺãâ£ã¶ã (¾ãã¶ããè ½ãÖã ¹ãƺãâ£ã‡ãŠãò) ¹ãÀ ÊããØãî Öãñ¦ããè Öõý (i.e. General Managers) of the Bank. ãä‡ãŠÔããè ¼ããè ƒ‡ãŠãƒÃ ¦ã©ã㠄Ôã‡ãñŠ ãä¶ãÌãñÍã‡ãŠãò/ԛñ‡ãŠ£ããÀ‡ãŠãò ‡ãñŠ ºããèÞ㠄ãäÞã¦ã High standards of reporting and disclosure are •ãÌããºãªñÖãè ‡ãñŠ ãäÊㆠ„ÞÞã ãäÀ¹ããñãä›ÄØ㠂ããõÀ ¹ãƇ㊛ãè‡ãŠÀ¥ã ‚ã¹ãñãäàã¦ã Öãñ¦ãã Öõý essential for proper accountability between an entity and its investors/stakeholders. Thus, the Bank ¹ãƇ㊛ãè‡ãŠÀ¥ã ‚ããõÀ ãäÌ㦦ããè¾ã ãäÀ¹ããñãä›ÄØ㠇ãŠãè Ô㦾ããä¶ãӟ㠂ããõÀ Ôã½ã¾ãºã®¦ãã facilitates and adopts good Corporate Governance ‡ãŠãñ Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¶ãñ Ôãâºãâ£ããè ‚ã¹ã¶ããè ¹ãÆãä¦ãºã®¦ã㠇ãñŠ ´ãÀã ºãö‡ãŠ ‚ãޜñ by its commitment to ensuring timeliness and integrity ‡ãŠã¹ããóÀñ› ØãÌã¶ãôÔ㠇ãŠãñ ‚ã¹ã¶ãã¦ãã Öõ ‚ããõÀ „Ôãñ ºãã£ãã ½ã쌦ã ÀŒã¦ãã Öõ, ¦ãããä‡ãŠ of disclosures and financial reporting so as to keep ¹ããÀªãäÍãæãã Ìã Ôãàã½ã¦ã㠇ãŠãñ Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ‚ã¹ã¶ãñ ãä¶ãÌãñÍã‡ãŠãò Ìã investors and stakeholders adequately informed to ensure transparency and efficiency.

18 ԛñ‡ãŠ£ããÀ‡ãŠãò ‡ãŠãñ ¹ã¾ããù¦ã •ãã¶ã‡ãŠãÀãè Ôãñ ÊãõÔã ÀŒã Ôã‡ãòŠý Pursuant to Clause 49 of the Listing Agreement, ÔãîÞããèºã® ‡ãŠÀãÀ ‡ãñŠ Œã¥¡ 49 ‡ãñŠ ‚ã¶ãìÔããÀ ¹ãƺãâ£ã¶ã ÞãÞããà ‚ããõÀ ãäÌãÍÊãñÓã¥ã Management Discussion & Analysis Report, Report on ãäÀ¹ããñ›Ã, ‡ãŠã¹ããóÀñ› ØãÌã¶ãó¶Ôã ¹ãÀ ãäÀ¹ããñ›Ã ‡ãñŠ Ôãã©ã-Ôãã©ã ‡ãŠã¹ããóÀñ› ØãÌã¶ãó¶Ôã Corporate Governance as well as Certificate by the auditors regarding compliance of the conditions of ‡ãñŠ ‚ã£ããè¶ã ‚ãã¶ãñÌããÊããè Íã¦ããô ‡ãñŠ ‚ã¶ãì¹ããÊã¶ã ‡ãñŠ Ôãâºãâ£ã ½ãò ÊãñŒãã ¹ãÀãèàã‡ãŠãò Corporate Governance, form part of this Annual Report. ‡ãŠã ¹ãƽãã¥ã ¹ã¨ã ¼ããè ƒÔã ÌãããäÓãÇ㊠ãäÀ¹ããñ›Ã ‡ãŠã †‡ãŠ ¼ããØã Öõý Board of Directors ãä¶ãªñÍã‡ãŠ ½ãâ¡Êã Shri G. Narayanan, Executive Director, demitted office Ñããè •ããè. ¶ããÀã¾ã¥ã¶ã, ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ 31 ‚ã‡ã‹¦ãîºãÀ 2009 ‡ãŠãñ ‚ã¹ã¶ãñ on October 31, 2009. Smt. Nupur Mitra assumed charge as one more Executive Director on December ¹ãª Ôãñ ÔãñÌãã-ãä¶ãÌãð¦¦ã Öì†ý Ñããè½ã¦ããè ¶ãî¹ãìÀ ãä½ã¨ãã ¶ãñ 7 ãäªÔãâºãÀ 2009 ‡ãŠãñ 7, 2009 . Shri M. Ravindra Vikram, Director under ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ ‡ãñŠ ¹㠽ãò ‡ãŠã¾ãüããÀ Ôãâ¼ããÊãã Öõý ºãö‡ãŠ‡ãŠãÀãè ‡ã⊹ã¶ããè•ã section 9 (3) (g) of the Banking Companies („¹ã‰ãŠ½ããò ‡ãŠã ‚ããä£ãØãÆ֥㠆Ìã⠂ãâ¦ãÀ¥ã) ‚ããä£ããä¶ã¾ã½ã 1970 - Ôã¶ãªãè (Acquisition and Transfer of Undertakings) Act 1970 ÊãñŒãã‡ãŠãÀ ÌãØãà ‡ãŠãè £ããÀã 9 (3) (•ããè) ‡ãñŠ ¦ãÖ¦ã Ñããè ÀÌãã足 ãäÌã‰ãŠ½ã, - Chartered Accountant Category, demitted office as director on October 10, 2009 on completion of his ãä¶ãªñÍã‡ãŠ ¶ãñ ¦ããè¶ã ÌãÓãà ‡ãñŠ ‡ãŠã¾ãÇãŠãÊ㠇ãŠãè Ôã½ããã书㠇ãñŠ ºã㪠‚ã‡ã‹¦ãîºãÀ, 10, tenure of three years. 2009 ‡ãŠãñ ãä¶ãªñÍã‡ãŠ ‡ãñŠ ¹㠽ãò ‚ã¹ã¶ã㠹㪠¦¾ããØã ã䪾ããý The Government of India nominated Shri Sooraj ¼ããÀ¦ã ÔãÀ‡ãŠãÀ ¶ãñ Ñããè ÔãîÀ•ã Œã¨ããè ‡ãŠãñ ‚ãâÍã‡ãŠããäÊã‡ãŠ ØãõÀ- ÔãÀ‡ãŠãÀãè ãä¶ãªñÍã‡ãŠ Khatri as a part-time non-official Director for a second ‡ãñŠ ¹㠽ãò ã䪶ããâ‡ãŠ 26 ‚ã‡ã‹¦ãîºãÀ 2009 Ôãñ ¦ããè¶ã ÌãÓãà ‡ãñŠ ‡ãŠã¾ãÇãŠãÊ㠇ãñŠ term of three years with effect from October 26, 2009. ãäÊㆠªîÔãÀãè ºããÀ ¶ãããä½ã¦ã ãä‡ãŠ¾ãã Öõý Shri J. D. Sharma, presently President of the Indian Overseas Bank Officers’ Association (IOBOA) Ñããè •ãñ.¡ãè.Íã½ããà ¶ãñ, •ããñ Ìã¦ãýãã¶ã ½ãò ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ ‚ããä£ã‡ãŠãÀãè demitted office as Officer Employee Director on ÔãâÜã (‚ãヂããñºããè‚ããñ†) ‡ãñŠ ‚㣾ãàã Öö, 30 ¶ãÌãâºãÀ 2009 ‡ãŠãñ ‚ããä£ã‡ãŠãÀãè November 30, 2009 . The Government of India ‡ãŠ½ãÃÞããÀãè ãä¶ãªñÍã‡ãŠ ‡ãñŠ ¹㠽ãò ‚ã¹ã¶ã㠇ãŠã¾ããÃÊã¾ã ¦¾ããØã ã䪾ããý ÔãÀ‡ãŠãÀ ¶ãñ nominated Shri K. Ananda Kumar, presently General Secretary of IOBOA, as Officer Employee Ñããè ‡ãñŠ. ‚ãã¶ã⪠‡ã슽ããÀ ‡ãŠãñ •ããñ Ìã¦ãýãã¶ã ‡ãòŠ ‚ãヂããñºããè‚ããñ† ½ãò ½ãÖã ÔããäÞãÌã Director for a period of three years with effect from Öö, ‚ããä£ã‡ãŠãÀãè ‡ãŠ½ãÃÞããÀãè ãä¶ãªñÍã‡ãŠ ‡ãñŠ ¹㠽ãò ½ããÞãà 26, 2010 Ôãñ ¦ããè¶ã March 26, 2010. ÌãÓãà ‡ãŠãè ‚ãÌããä£ã ‡ãñŠ ãäÊㆠ¶ãããä½ã¦ã ãä‡ãŠ¾ããý The Board of Directors place on record the valuable contributions made by the erstwhile Directors and ãä¶ãªñÍã‡ãŠ ½ãâ¡Êã ¼ãî¦ã¹ãîÌãà ãä¶ãªñÍã‡ãŠãò ‡ãñŠ ºãÖì½ãîʾ㠾ããñØãªã¶ã ‡ãŠãñ ãäÀ‡ãŠã¡Ã extend a warm welcome to the new Directors. ‡ãŠÀ¦ãã Öõ ‚ããõÀ ¶ã† ãä¶ãªñÍã‡ãŠãò ‡ãŠã ÖããäªÃ‡ãŠ ÔÌããØã¦ã ‡ãŠÀ¦ãã Öõý Acknowledgements ‚ãã¼ããÀãñãä‡ã‹¦ã The Board of Directors place on record their gratitude ãä¶ãªñÍã‡ãŠ ½ãâ¡Ê㠂ã¹ã¶ãñ ºãÖì½ãîʾã ØãÆãևãŠãò, Íãñ¾ãÀ£ããÀ‡ãŠãò, ‚㶾ã ԛñ‡ãŠ£ããÀ‡ãŠãò to the valued customers, shareholders, other ‚ããõÀ ¼ããÀ¦ã ½ãò ‚ããõÀ ãäÌãªñÍã ½ãò ãäÔ©ã¦ã ºãö‡ãŠ ‡ãñŠ Ôãâ¹ã‡ãŠÃ‡ãŠ¦ããÂããò ‡ãŠãñ, „¶ã‡ãñŠ stakeholders and correspondents of the Bank in India Ôãì¶ãã½ã, ÔãâÀàã¥ã ‚ããõÀ Ôã½ã©ãö㠇ãñŠ ãäÊㆠ‚ã¹ã¶ã㠂ãã¼ããÀ ¹ãƇ㊛ ‡ãŠÀ¦ãã Öõý and abroad, for their goodwill, patronage and support. The Board of Directors acknowledge with gratitude ãä¶ãªñÍã‡ãŠ ½ãâ¡Êã, ¼ããÀ¦ã ÔãÀ‡ãŠãÀ, ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ, ¼ããÀ¦ããè¾ã ¹ãÆãä¦ã¼ãîãä¦ã the valuable guidance and cooperation received from †Ìãâ ãäÌããä¶ã½ã¾ã ºããñ¡Ã, ԛãù‡ãŠ †‡ã‹ÔÞãò•ã, ãäÌããä¼ã¸ã À㕾ã ÔãÀ‡ãŠãÀãò †Ìãâ ãäÌ㦦ããè¾ã the Government of India, Reserve Bank of India, ÔãâÔ©ãã‚ããò ´ãÀã ¹ãƪ¦¦ã ½ãîʾãÌãã¶ã ÔãÖ¾ããñØ㠇ãŠãñ ãäÀ‡ãŠãù¡Ã ‡ãŠÀ¦ãã Öõý ãä¶ãªñÍã‡ãŠ Securities and Exchange Board of India, Stock Exchanges, various State Governments and Financial ½ãâ¡Êã ÖãâØã‡ãŠãâØã ½ããõã䳇㊠¹ãÆããä£ã‡ãŠãÀãè, ãäÔãâØãã¹ãìÀ ½ããõã䳇㊠¹ãÆããä£ã‡ãŠãÀãè, ãäÌ㦦ããè¾ã Institutions. The Board is also thankful to the Hong ¹ã¾ãÃÌãñàããè ÔãñÌãã†ú, ‡ãŠãñãäÀ¾ãã, ÑããèÊãâ‡ãŠã ‡ãñŠ ‡ãòŠ³ãè¾ã ºãö‡ãŠ, Þããè¶ã ºãöãä‡ãâŠØã Kong Monetary Authority, Monetary Authority of ÀñؾãîÊãñ›Àãè ‡ãŠ½ããèÍã¶ã, ºãö‡ãŠ ¶ãñØããÀã, ½ãÊãñãäÍã¾ãã, ºãö‡ãŠ ‚ããù¹ãŠ ©ããƒÊãö¡ ‚ããõÀ Singapore, Financial Supervisory Services - Korea, ԛñ› ºãö‡ãŠ ‚ããù¹ãŠ ãäÌã¾ã¦ã¶ãã½ã ‚ããõÀ Ôãñ¶›ÈÊã ºãö‡ãŠ ‚ããù¹ãŠ ¾ãà ‡ãñŠ ¹ãÆãä¦ã ¼ããè Central Bank of Sri Lanka, China Banking Regulatory Commission, Bank Negara - Malaysia, Bank of „¶ã‡ãñŠ ÔãÖ¾ããñØ㠇ãñŠ ãäÊㆠ‚ãã¼ããÀãè Öõý Thailand, State Bank of Vietnam and Central Bank ãä¶ãªñÍã‡ãŠØã¥ã ºãÖì¦ã ŒãìÍã Öö ãä‡ãŠ ‡ãŠ½ãÃÞããÀãè ÔãâÜ㠆Ìã⠂ããä£ã‡ãŠãÀãè ÔãâÜ㠇ãñŠ of UAE for their support. Ôã‡ãŠãÀ㦽ã‡ãŠ Òãäӛ‡ãŠãñ¥ã ‡ãñŠ ‡ãŠãÀ¥ã ‚ããõ²ããñãäØã‡ãŠ Ôãâºãâ£ã ºãÖì¦ã ÔããõÖãªÃ¹ãî¥ãà Industrial relations in the Bank have been cordial Ööý ãä¶ãªñÍã‡ãŠ ½ãâ¡Êã ԛã¹ãŠ ÔãªÔ¾ããò ‡ãñŠ ¹ãÆãä¦ã „¶ã‡ãñŠ ¾ããñØãªã¶ã ‡ãñŠ ãäÊㆠdue to the positive attitude of the Employees’ Union and Officers’ Association. The Board of Directors ÔãÀãÖ¶ãã ̾ã‡ã‹¦ã ‡ãŠÀ¦ãã Öõý expresses their appreciation of the contribution made ãä¶ãªñÍã‡ãŠ ½ãâ¡Ê㠇ãñŠ ãäÊㆠ¦ã©ã㠄Ôã‡ãŠãè ‚ããñÀ Ôãñ by the members of the staff. For and on behalf of the Board of Directors

Þãñ¸ãõ †Ôã. †. ¼ã› Chennai S. A. BHAT 29 ‚ã¹ãÆõÊã 2010 ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ April 29, 2010 Chairman and Managing Director

19 ¹ãƺãâ£ã¶ã ÞãÞããà †Ìãâ ãäÌãÍÊãñÓã¥ã MANAGEMENT DISCUSSION AND ANALYSIS ‚ãããä©ãÇ㊠¹ããäÀÌãñÍã Economic Environment ¼ããÀ¦ããè¾ã ‚ã©ãÃ̾ãÌãÔ©ãã ½ãò ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã 7.2% ‡ãŠãè Ìãðãä® Indian economy recorded 7.2% growth during ª•ãà ‡ãŠãè ØãƒÃý ŒãÀãºã ½ãã¶ãÔãî¶ã ‡ãŠã ¹ãƼããÌ㠇ãðŠãäÓã ¹ãÀ ¹ãü¡ãý ¹ãÀâ¦ãì Àºããè ‡ãŠãè 2009-10. Agriculture was impacted by the poor monsoon but the impact could be muted by better ¹ãŠÔãÊããò ½ãò ‚ãޜñ „¦¹ã㪶ã Ôãñ ƒÔã ¹ãƼããÌã Ôãñ „ºãÀ㠕ãã Ôã‡ãŠãý ÌãÓãà ‡ãñŠ performance in the Rabi season. Industrial growth ¹ãÆ©ã½ã 9 ½ãÖãè¶ããò ½ãò „²ããñØ㠇ãŠãè Ìãðãä® 8.6% ÀÖãèý ‚ãã¾ãã¦ã Ìã ãä¶ã¾ããæ㠇ãñŠ in the first nine months of the financial year was àãñ¨ã ½ãò „Ôããè ‚ãÌããä£ã ½ãò ÌãõãäÍÌã‡ãŠ Ôãâ‡ãŠ› ‡ãñŠ ‡ãŠãÀ¥ã ‚ããƒÃ ½ãâªãè Ôãñ ‚ãޜãè 8.6%. During the same period, exports and imports „ØããÖãè ‡ãñŠ Ôãâ‡ãñŠ¦ã Ööý showed signs of recovery from the slowdown caused by the global crisis. ºãöãä‡ãâŠØã ¹ããäÀÌãñÍã Banking Environment ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ¶ãñ ‚ã¹ã¶ããè ÌããäÓãÇ㊠¶ããèãä¦ã ½ãò Àñ¹ããñ ªÀ ½ãò †Ê㠆 †¹ãŠ The Reserve Bank of India, in its Annual Policy, ‡ãñŠ ‚ã£ããè¶ã 5.0 % Ôãñ 4.75% ¾ãã¶ããè 25 ºãñãäÔãÔã ¹Ìããƒâ› ‡ãŠãè ‡ãŠ½ããè reduced Repo Rate under the LAF by 25 basis points ÜããñÓã¥ã㠇ãŠãèý ãäÀÌãÔãà Àñ¹ããñ ªÀ ½ãò ¼ããè 3.5% Ôãñ 3.25% ¾ãã¶ããè 25 from 5.0% to 4.75%. Reverse Repo Rate was also ºãñãäÔãÔã ¹Ìããƒâ› ‡ãŠãè ‡ãŠ½ããè ‡ãŠãè ÜããñÓã¥ã㠇ãŠãè ØãƒÃý ¶ãÌãâºãÀ 7 ,2009 ‡ãñŠ brought down by 25 basis points from 3.5% to 3.25%. ¹ãŒãÌããü¡ñ Ôãñ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ¶ãñ †Ô㠆Ê㠂ããÀ ‡ãŠãñ 25 % ¾ãã¶ããè From the fortnight beginning November 7, 2009, the RBI raised SLR to the pre-crisis level of 25%. CRR Ôãâ‡ãŠ› ¹ãîÌãà ԦãÀ ¹ãÀ ÀŒã¶ãñ ‡ãŠãè ÜããñÓã¥ã㠇ãŠãèý ¹ãŠÀÌãÀãè 2010 ½ãñâ Ôããè ‚ããÀ was increased from 5.0% to 5.75% in two stages in ‚ããÀ ‡ãŠãñ ªãñ ÞãÀ¥ããò ½ãñ 5.0% Ôãñ 5.75 % ¦ã‡ãŠ ºãü¤ã¾ãã Øã¾ããý ½ãì³ã February 2010. As an anti-inflation measure, the RBI Ô¹ãŠãèãä¦ã Ôãñ ãä¶ã¹ã›ã¶ãñ ‡ãñŠ „¹ãã¾ã ‡ãñŠ ¦ããõÀ ¹ãÀ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ¶ãñ 19 hiked the repo rate from 4.75% to 5.0% and reverse ½ããÞãà 2010 ‡ãŠãñ Àñ¹ããñ Àñ› 4.75%Ôãñ 5.0 % ‚ããõÀ ãäÀÌãÔãà Àñ¹ããñ ªÀ ‡ãŠãñ repo from 3.25% to 3.50% on March 19, 2010. 3.25% Ôãñ ºãü¤ã‡ãŠÀ 3.50% ‡ãŠÀ ã䪾ããý The year traversed from easy money policy to tight –policy regime in the second half of the year and it ÌãÓãà ‡ãŠãè ªîÔãÀãè œ½ããÖãé ‡ãñŠ ªãõÀã¶ã ‚ããÔãã¶ã ½ããõã䳇㊠¶ããèãä¦ã Ôãñ ‡ãŠã䟶㠽ããõã䳇㊠is likely to continue in 2010-11 as could be inferred ¶ããèãä¦ã ½ãò ‚ãã¶ãñ ‡ãŠã ªãõÀ ÀÖ㠂ããõÀ 2010-11 ‡ãñŠ ªãõÀã¶ã ¼ããè ƒÔã‡ãñŠ ºã¶ãñ from the Annual Policy 2010-11 wherein the RBI has ÀÖ¶ãñ ‡ãŠãè Ôãâ¼ããÌã¶ãã Öõ ‡ã‹¾ããòãä‡ãŠ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ¶ãñ ‚ã¹ã¶ãñ ÌãããäÓãÇ㊠raised Repo Rate and Reverse Repo Rate by further ¶ããèãä¦ã 2010-11 ½ãò Àñ¹ããñ ªÀ ‚ããõÀ ãäÀÌãÔãà Àñ¹ããñ ªÀ ‡ãŠãñ ‚ããõÀ 25 ºãñãäÔãÔã 25 basis points to 5.25% and 3.75% respectively. ¹Ìããƒâ› ºãü¤ã‡ãŠÀ ‰ãŠ½ãÍã: 5.25% ‚ããõÀ 3.75% ‡ãŠÀ¶ãñ ‡ãŠãè ÜãñãÓã¥ã㠇ãŠãèý CRR was also hiked by 25 basis points to 6.0%. Ôããè ‚ããÀ ‚ããÀ ‡ãŠãñ ¼ããè 25 ºãñãäÔãÔã ¹ÌããƒÃ⛠ºãü¤ã‡ãŠÀ 6.0% ‡ãŠÀ ã䪾ãã THE BANK’S OPERATIONS Øã¾ããý Deposits Aggregate domestic deposits of the Bank increased ºãö‡ãŠ ‡ãñŠ ¹ããäÀÞããÊã¶ã from Rs.95,434 crore in March 2009 to Rs.1,05,434 •ã½ãã ÀããäÍã¾ããú crore in March 2010 at a growth rate of 10.48%. ºãö‡ãŠ ‡ãŠãè ÜãÀñÊãî •ã½ãã†â 10.48% ‡ãŠãè Ìãðãä® ªÀ Ôãñ ½ããÞãà 2009 ‡ãñŠ Á. Domestic core deposits of the Bank registered a significant growth of 24.89% over March 2009 due 95,434 ‡ãŠÀãñü¡ Ôãñ ºãü¤‡ãŠÀ ½ããÞãà 2010 ½ãò Á.1,05,434 ‡ãŠÀãñü¡ Öãñ to conscious shedding of high cost term deposits. ØãƒÃý „ÞÞã ÊããØã¦ã ÔããÌããä£ã •ã½ãã‚ããò ‡ãñŠ ¹ãÆãä¦ã ÔãÞãñ¦ã ÀÖ¶ãñ ‡ãñŠ ‡ãŠãÀ¥ã ºãö‡ãŠ ‡ãŠãè ‡ãŠãñÀ •ã½ãã ½ãò ½ããÞãà 2009 Ôãñ 24.89% ‡ãŠãè „ÊÊãñŒã¶ããè¾ã Ìãðãä® Credit ÖìƒÃý Domestic Gross advances rose from the level of Rs.68,480 crore in March 2009 to Rs.73,026 crore „£ããÀ in March 2010 despite adverse market condition on ÌãõãäÍÌã‡ãŠ ‚ãããä©ãÇ㊠½ãâªãè ‡ãñŠ ‡ãŠãÀ¥ã ¹ãÆãä¦ã‡ãîŠÊã ºãã•ããÀ ãäÔ©ããä¦ã¾ããò ‡ãñŠ ºããÌã•ãîª account of global economic slow down. ºãö‡ãŠ ‡ãŠãè Ôã‡ãŠÊã ÜãÀñÊãî •ã½ãã†â ½ããÞãà 2009 ‡ãñŠ Á. 68,480 ‡ãŠÀãñü¡ Ôãñ Priority Sector Credit ºãü¤‡ãŠÀ ½ããÞãà 2010 ½ãò Á. 73,026 ‡ãŠÀãñü¡ Öãñ ØãƒÃý As per the guidelines of RBI, achievement under Priority Sector for the year 2009-2010 is computed ¹ãÆã©ããä½ã‡ãŠ¦ãã àãñ¨ã „£ããÀ taking the Adjusted Net Bank Credit (ANBC) of ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãã-ãä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ¹ãÆã©ããä½ã‡ãŠ¦ãã àãñ¨ã ‡ãñŠ March 2009 as the base. For the year ended March 2010, the percentage of Priority Sector advances to ‚㶦ãØãæã ÌãÓãà 2009-10 ‡ãñŠ ãäÊㆠ„¹ãÊãã亣ã¾ããò ‡ãŠãè Øã¥ã¶ãã ½ããÞãà 2009 Adjusted Net Bank Credit was at 40.59 %, the ‡ãŠãñ ‚ãã£ããÀ ½ãã¶ã‡ãŠÀ Ôã½ãã¾ããñãä•ã¦ã ÊãñŒãã ¹ãÀãèãäàã¦ã ãä¶ãÌãÊã ºãö‡ãŠ „£ããÀ quantum being Rs. 27,237 crore. Thus the Bank (††¶ãºããèÔããè) ‡ãŠãñ Êãñ‡ãŠÀ ‡ãŠãè •ãã¦ããè Öõý ½ããÞãà 2010 ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ‡ãñŠ fulfilled the stipulated norm of 40% under Priority ãäÊㆠ¹ãÆã©ããä½ã‡ãŠ¦ãã àãñ¨ã „£ããÀ ‡ãŠãè ¹ãÆãä¦ãÍã¦ã¦ã㠂ããõÀ Ôã½ãã¾ããñãä•ã¦ã ãä¶ãÌãÊã Sector credit. „£ããÀ ‡ãŠã ‚ã¶ãì¹ãã¦ã 40.59% ÀÖãèý ¹ãƽãã¨ãã Á.27,237 ÀÖãèý ‚ã¦ã: SME ºãö‡ãŠ ¶ãñ ¹ãÆã©ããä½ã‡ãŠ¦ãã ÔãñÌã㠄£ããÀ ‡ãñŠ ãä¶ããäªÃӛ Êãà¾ã 40% ‡ãŠãñ ¹ãîÀã ãä‡ãŠ¾ããý The Bank extended credit of Rs.11,660 crore to SME ÊãÜãì ½ã£¾ã½ã „²ã½ã Sector as at the end of March 2010. This includes advances to Micro and Small enterprises to the tune ½ããÞãà 2010 ‡ãñŠ ‚ãâ¦ã ¦ã‡ãŠ ºãö‡ãŠ ¶ãñ †Ô㠆½ã ƒÃ àãñ¨ã ½ãò Á. 11,660 ‡ãŠÀãñû¡ of Rs.9,659 crore which forms part of Priority Sector

20 ‡ãŠã ¨ãÉ¥ã ãäÌã¦ããäÀ¦ã ãä‡ãŠ¾ããý ƒÔã½ãò Ôãîà½ã Ìã ÊãÜãì „²ã½ããò ‡ãŠãñ ã䪾ãã Øã¾ãã Credit. The Bank increased its advance to SME Sector Á. 9,659 ‡ãŠÀãñü¡ ‡ãŠã ¨ãɥ㠼ããè Íãããä½ãÊã Öõ •ããñ ¹ãÆã©ããä½ã‡ãŠ¦ã㠄£ããÀ ‡ãŠã by 24.10% surpassing the mandatory requirement ãäÖÔÔãã Öõý ºãö‡ãŠ ¶ãñ 20% ‡ãñŠ ‚ããä¶ãÌãã¾ãà ‚ããÌã;ã‡ãŠ¦ãã‚ããò ‡ãŠãñ ¹ããÀ ‡ãŠÀ¦ãñ of 20%. Öì† 24.10% ‡ãŠã ‚ããäØãƽ㠆Ô㠆½ã ƒÃ àãñ¨ã ½ãò ã䪾ããý The Bank was awarded Chief Minister’s trophy for good performance in lending to Micro Enterprises ¦ããä½ãÊã ¶ãã¡ì ½ãò Ôãîà½ã „²ã½ããò ‡ãŠãñ „£ããÀ ªñ¶ãñ ‡ãñŠ ºãñÖ¦ãÀ ãä¶ãÓ¹ã㪶㠇ãñŠ ãäÊㆠin Tamil Nadu. The Bank was in second position ºãö‡ãŠ ‡ãŠãñ ½ã쌾㠽ãâ¨ããè ‡ãŠãè ›Èã¹ãŠãè ¹ãÆ㹦ã ÖìƒÃý ¦ããä½ãÊã ¶ãã¡ì À㕾㠽ãò ¹ããè †½ã among all banks in implementation of PMEGP ƒÃ •ããè ¹ããè ‡ãŠã¾ãÉ㊽㠇ãñŠ ‡ãŠã¾ããöÌã¾ã¶ã ½ãò ºãö‡ãŠ Ôã¼ããè ºãö‡ãŠãò ½ãò ªîÔãÀñ Ô©ãã¶ã ¹ãÀ Programme in Tamil Nadu State. The Bank sanctioned more than 700 projects in the state of ÀÖãý 2009-10 ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ ¦ããä½ãÊã ¶ãã¡ì À㕾㠽ãò 700 Ôãñ Tamil Nadu during 2009-10, which resulted in creation ‚ããä£ã‡ãŠ ¹ããäÀ¾ããñ•ã¶ãã‚ããñ⠇ãŠãñ ½ãâ•ãîÀãè ªãè ãä•ãÔã‡ãñŠ ‡ãŠãÀ¥ã ¦ã‡ãŠÀãèºã¶ã 9,900 of over 9,900 jobs. Àãñ•ãØããÀãò ‡ãŠã Ôãð•ã¶ã Öì‚ããý To help speedy revival of potentially viable sick SME Ôãâ¼ãã̾ã ¹ã Ôãñ Ôãàã½ã Áإ㠆Ô㠆½ã ƒÃ ƒ‡ãŠãƒ¾ããò ‡ãñŠ ¦ããèÌãÆ ¹ãì¶ãÁ••ããèÌã¶ã units, Nursing and Rehabilitation Policy for SME Sector was formulated and implemented. The policy ‡ãñŠ ãäÊã†, †Ô㠆½ã ƒÃ àãñ¨ã ‡ãñŠ ãäÊㆠ¶ããäÔãÄØ㠂ããõÀ ¹ãì¶ãÌããÃÔã ¶ããèãä¦ã ºã¶ããƒÃ ØãƒÃ is more liberal and various concessions are available ‚ããõÀ ‡ãŠã¾ããÃãä¶Ìã¦ã ‡ãŠãè ØãƒÃý ¾ãÖ ¶ããèãä¦ã ‚ããä£ã‡ãŠ „ªãÀ Öõ ‚ããõÀ Ôãàã½ã ƒ‡ãŠãƒ¾ããò under the policy for viable units for restarting their ‡ãŠãñ ¹ããäÀÞãããäÊã¦ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ¶ããèãä¦ã ‡ãñŠ ¦ãÖ¦ã ãäÌããä¼ã¸ã ãäÀ¾ãã¾ã¦ãò „¹ãÊ㺣ã operations. To facilitate smooth and hassle free flow Ööý Ôãîà½ã Ìã ÊãÜãì „²ã½ããò, •ããñ ½ã£¾ã½ã Ìã ºãü¡ñ „²ã½ããò ‡ãŠãè ¦ãìÊã¶ãã ½ãñ of credit to Micro and Small Enterprises, who face ‚ããä£ã‡ãŠ ‚ãÔãìãäÌã£ã㠇ãŠã Ôãã½ã¶ã㠇ãŠÀ¦ãñ Öö, ‡ãŠãñ ãä¶ãºããã㠂ããõÀ ¢ãâ¢ã› ½ãì‡ã‹¦ã many disadvantages as compared to Medium and Large Enterprises, Separate Loan Policy for MSE ¨ãɥ㠹ãÆÌããÖ ÔãìÊã¼ã ºã¶ãã¶ãñ ‡ãñŠ ãäÊã†, †½ã †Ô㠃à àãñ¨ã ‡ãñŠ ãäÊㆠ¹ãð©ã‡ãŠ ¨ãÉ¥ã Sector was formulated and implemented. The policy ¶ããèãä¦ã ºã¶ããƒÃ ‚ããõÀ ÊããØãî ‡ãŠãè ØãƒÃý ¶ããèãä¦ã ‡ãŠã •ããñÀ †½ã†ÔãƒÃ ‡ãŠãñ ¨ãÉ¥ããò ‡ãŠã emphasises sanction of timely and adequate amount ¹ã¾ããù¦ã ‚ããõÀ Ôã½ã¾ã Ôãñ ½ãâ•ãîÀãè ªñ¶ãñ ¹ãÀ Öõý ƒÔã‡ãñŠ ‚ãÊããÌã㠃Ôã½ãò Ôã¼ããè of credit to MSEs. Thrust is given to sanction ¹ãã¨ã ½ãã½ãÊããò ‡ãñŠ ãäÊㆠÁ. 1 ‡ãŠÀãñü¡ ¦ã‡ãŠ ‡ãñŠ Ôãâ¹ãããäÍÌãÇ㊠Àãä֦㠨ãÉ¥ããò ‡ãŠãè collateral-free loans up to Rs.1 Crore, in all eligible ½ãâ•ãîÀãè ¹ãÀ ¼ããè •ããñÀ ã䪾ãã Øã¾ãã Öõý cases. The Bank continued the implementation of relief ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã ¼ããè ºãö‡ãŠ ¶ãñ †Ô㠆½ã ƒÃ àãñ¨ã ‡ãñŠ ãäÊㆠ‰ãñŠã䡛 package for SME sector during 2009-10 also. Various ¹ãõ‡ãñŠ•ã ‡ãñŠ ‡ãŠã¾ããöÌã¾ã¶ã ‡ãŠãñ •ããÀãè ÀŒããý Üã›ãè ÖìƒÃ º¾ãã•ã ªÀ ‡ãŠãñ Íãããä½ãÊã concessions including reduced rates of interest were ‡ãŠÀ¦ãñ Öí† ãäÌããä¼ã¸ã ãäÀ¾ãã¾ã¦ãò •ããÀãè ÀŒããè ØãƒÃý Ôã¼ããè àãñ¨ããè¾ã ‡ãŠã¾ããÃÊã¾ããò ¹ãÀ continued. SME Facilitation centres were activated at all Regional Offices. Large number of SME borrowal †Ô㠆½ã ƒÃ ÔãìãäÌã£ã㠇ãñŠ¶³ ºã¶ãㆠØã†ý ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãü¡ãè Ôã⌾ãã ½ãò †Ôã accounts was restructured during the year. †½ã ƒÆà „£ããÀ Œãã¦ããò ‡ãŠãè ¹ãì¶ãÔãÄÀÞã¶ã㠇ãŠãè ØãƒÃý All lending to MSME were exempted from Minimum †½ã †Ô㠆½ã ƒÃ ‡ãŠãñ ã䪆 ØㆠÔã¼ããè „£ããÀ ¶¾ãî¶ã¦ã½ã º¾ãã•ã ªÀ ‡ã‹Êãã•ã Ôãñ Interest Rate clause to enable them to get the benefit ½ãì‡ã‹¦ã ÀŒãã Øã¾ãã ¦ãããä‡ãŠ ºãö‡ãŠ ‡ãñŠ ºããè ¹ããè †Ê㠂ããÀ Ü㛶ãñ ¹ãÀ Ìãñ º¾ãã•ã ªÀ ½ãò of interest rate reduction whenever bank’s BPLR is ‡ãŠ½ããè ‡ãŠã Êãã¼ã ¹ãã Ôã‡ãòŠý reduced. The Bank signed MOU with Bajaj Auto Ltd., on ‚ãã›ãñ ãäÀ‡ã‹Íã㠂ããõÀ ‡ãŠ½ããäÍãþãÊã ãä¦ã¹ããäÖ¾ãã Ìããֶ㠇ãñŠ ãäÊㆠãäºã¶ãã Ôãâ¹ãããäÍÃÌã‡ãŠ April 9, 2009 and TVS Motor Company Limited, on ¹ãÆãä¦ã¼ãîãä¦ã / ¦ãð¦ããè¾ã ¹ãàã ØããÀâ›ãè ‡ãñŠ ¦ãñ•ããè Ôãñ ãäÌ㦦ã¹ããñÓã¥ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠJune 3, 2009 for financing auto rickshaws and ºãö‡ãŠ ¶ãñ ºã•ãã•ã ‚ãã›ãñ ãäÊããä½ã›ñ¡ Ôãñ ‚ã¹ãÆõÊã 9, 2009 ‡ãŠãñ ‚ããõÀ ›ãè Ìããè commercial three wheelers in a speedy manner, †Ôã ½ããñ›Ôãà ‡ã⊹ã¶ããè ãäÊããä½ã›ñ¡ Ôãñ ã䪶ããâ‡ãŠ 3 •ãî¶ã , 2009 ‡ãŠãñ ÔãÖ½ããä¦ã without requirement of collateral security/third party guarantee. More than 3,500 loans were sanctioned —ãã¹ã¶ã ¹ãÀ ÖÔ¦ããàãÀ ãä‡ãŠ¾ããý ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã ƒÔã Ø㟕ããñü¡ under this tie-up arrangements during 2009-10, ̾ãÌãÔ©ã㠇ãñŠ ‚㶦ãØãæã 3500 Ôãñ ‚ããä£ã‡ãŠ ¨ãɥ㠽ãâ•ãîÀ ãä‡ãŠ† Øㆠý ƒÔã enhancing flow of credit to transport operators in ‡ãŠãÀ¥ã Ôãîà½ã „²ã½ã àãñ¨ããò ½ãò ¹ããäÀÌãֶ㠇ãŠãñ ¨ãÉ¥ããò ‡ãŠã ¹ãÆÌããÖ ºãü¤ãý ºãö‡ãŠ ¶ãñ Micro Enterprises Sector. On November 5, 2009, the ã䪶ããâ‡ãŠ 5 ¶ãÌãâºãÀ, 2009 ‡ãŠãñ †ãäÍã¾ãã ½ããñ›À Ìã‡ã‹Ôãà ãäÊããä½ã›ñ¡ Ôãñ ›È‡ãŠ Bank signed MoU with Asia Motor Works Ltd., for financing trucks and commercial transport vehicles ‚ããõÀ ̾ããÌãÔãããä¾ã‡ãŠ ÌããÖ¶ããò ‡ãñŠ ãäÌ㦦ã¹ããñÓã¥ã ‡ãñŠ ãäÊㆠ‚ããõÀ ã䪶ããâ‡ãŠ 22 and on March 22, 2010 with TATA Motors Limited ½ããÞãà 2010 ‡ãŠãñ ›ã›ã ½ããñ›Ôãà ãäÊããä½ã›ñ¡ ‡ãñŠ Ôãã©ã ‚ããÔãã¶ã Íã¦ããô ‚ããõÀ for financing commercial transport vehicles on easy ãä¶ãºãâ£ã¶ããò ¹ãÀ ̾ããÌãÔãããä¾ã‡ãŠ ÌããÖ¶ããò ‡ãñŠ ãäÌ㦦ã¹ããñÓã¥ã ‡ãñŠ ãäÊㆠÔãÖ½ããä¦ã terms and conditions. —ãã¹ã¶ã ¹ãÀ ÖÔ¦ããàãÀ ãä‡ãŠ¾ããý Agriculture ‡ãðŠãäÓã Agricultural credit registered a growth of Rs. 1,780 crore from Rs.10,817 crore in March 2009 ‡ãðŠãäÓã ¨ãÉ¥ããñâ ½ãò ½ããÞãà 2009 ‡ãñŠ Á. 10,817 ‡ãŠÀãñü¡ ½ãò Á. 1,780 and reached Rs. 12,597 crore in March 2010. The ‡ãŠÀãñü¡ ‡ãŠãè ºãü¤¦ã ª•ãà ‡ãŠãè ØãƒÃ ‚ããõÀ ¾ãÖ Á. 12,597 ‡ãŠÀãñü¡ ¹ãÀ ¹ãÖìúÞã Bank’s ratio of agricultural advances to Adjusted Net Øã¾ããý ºãö‡ãŠ ‡ãŠã ‡ãðŠãäÓ㠂ããäØãƽ㠂ããõÀ Ôã½ãã¾ããñãä•ã¦ã ãä¶ãÌãÊã ºãö‡ãŠ „£ããÀ ‡ãŠã Bank Credit stood at 18.77% exceeding the required ‚ã¶ãì¹ãã¦ã 18.77% ÀÖ㠕ããñ 18%‡ãñŠ ‚ã¹ãñãäàã¦ã ½ãã¶ãª¥¡ Ôãñ ‚ããä£ã‡ãŠ norm of 18%. Öõý The Bank disbursed Rs. 13,327 crore under Special Agricultural Credit Plan (SACP) as against the target ºãö‡ãŠ ¶ãñ ãäÌãÍãñÓ㠇ãðŠãäÓ㠄£ããÀ ¾ããñ•ã¶ãã (†Ô㠆 Ôããè ¹ããè) ‡ãñŠ ¦ãÖ¦ã Á. 12,780 of Rs. 12,780 crore during the year. The increase in

21 ‡ãŠÀãñü¡ ‡ãñŠ Êãà¾ã ‡ãñŠ ¹ãÆãä¦ã Á. 13,327 ‡ãŠÀãñü¡ ‡ãŠã ÔãâãäÌã¦ãÀ¥ã ãä‡ãŠ¾ããý disbursement of credit to agricultural sector over the ¼ããÀ¦ã ÔãÀ‡ãŠãÀ ´ãÀã ãä¶ã£ããÃãäÀ¦ã ãäÌãÍãñÓã ¹ãŠã½ãà „£ããÀ ¹ãõ‡ãñŠ•ã ‡ãñŠ ¦ãÖ¦ã 30% last year’s disbursement was 30.35%, as against 30% ‡ãñŠ ¹ãÆãä¦ã ‡ãðŠãäÓã àãñ¨ã ‡ãñŠ ãäÊㆠÔãâãäÌã¦ããäÀ¦ã ¨ãÉ¥ã 30.35% ÀÖãý mandated by the Govt. of India under Special Farm Credit Package. ãä‡ãŠÔãã¶ã ‰ãñŠã䡛 ‡ãŠã¡Ã ¾ããñ•ã¶ãã ( ‡ãñŠ Ôããè Ôããè ) Kisan Credit Card Scheme( KCC ) ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ ‡ãìŠÊã 2,03,757 ‡ãñŠ Ôããè Ôããè •ããÀãè ãä‡ãŠ¾ããý ½ããÞãà The Bank issued 2,03,757 KCCs during the year. The total number of cards cumulatively issued by 2010 ‡ãŠãñ ºãö‡ãŠ ´ãÀ㠕ããÀãè ‡ãìŠÊ㠇ãŠã¡Ã ‡ãŠãè Ôã⌾ãã 19,19,155 ÀÖãèý the Bank as at the end of March 2010 stood at 19,19,155. Ôãîà½ã ãäÌ㦦ã¹ããñÓã¥ã Micro Finance ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ Á.706.92 ‡ãŠÀñãü¡ ‡ãñŠ ‰ãñŠã䡛 ‚ãㄛ Êãñ ‡ãñŠ Ôãã©ã During the year, the Bank credit-linked 68,112 Self 68,112 ÔÌã¾ãâ ÔãÖ¾ã¦ãã ªÊããò ‡ãŠã Ôãâ¾ããñ•ã¶ã ãä‡ãŠ¾ããý ½ããÞãà 2010 ‡ãŠãè Help Groups (SHGs )with a credit outlay of Rs.706.92 Ôã½ããã书㠦ã‡ãŠ ºãö‡ãŠ ´ãÀ㠄£ããÀ ¹ãƪ¦¦ã ÔÌã¾ãâ ÔãÖã¾ã¦ãã ªÊããò ‡ãŠãè ‡ãìŠÊã Ôã⌾ãã crore. The cumulative number of SHGs credit-linked ½ããÞãà 2009 ¦ã‡ãŠ ‡ãñŠ 292507 Ôãñ (ãäÌã¦ããäÀ¦ã À‡ãŠ½ã Á. 2162.68 by the Bank increased from 2,92,507 (amount ‡ãŠÀãñü¡) Ôãñ ºãü¤‡ãŠÀ 360619 (ãäÌã¦ããäÀ¦ã À‡ãŠ½ã Á. 2869.60 ‡ãŠÀãñü¡) disbursed Rs.2,162.68 crore) as at the end of March 2009 to 3,60,619 SHGs (amount disbursed Öãñ ØãƒÃý Rs.2,869.60 crore) as of March 2010. ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ ¶ããºãã¡Ã ‡ãñŠ Ôãîà½ã ãäÌ㦦ã ãäÌã‡ãŠãÔ㠆Ìã⠃ãä‡ã‹Ìã›ãè ãä¶ããä£ã During the year, the Bank contributed Rs.1.16 crore towards NABARD’s Micro Finance Development & ‡ãñŠ ãäÊㆠÁ. 1.16 ‡ãŠÀãñü¡ ‡ãŠã ¾ããñØãªã¶ã ãä‡ãŠ¾ãã Öõý Equity Fund. •ã¶ãÑããè ºããè½ãã ¾ããñ•ã¶ãã (•ãñ ºããè ÌããƒÃ) Janashree Bima Yojana (JBY) •ãñ ºããè ÌããƒÃ †‡ãŠ Ôãã½ãããä•ã‡ãŠ ÔãìÀàãã ¾ããñ•ã¶ãã Öõ •ããñ ØããúÌããò Ìã ÍãÖÀãò ½ãò JBY is a Social Security Scheme to provide life ØãÀãèºããè ÀñŒã㠇ãñŠ ¶ããèÞãñ ÀÖ ÀÖñ ØãÀãèºããñ⠇ãñŠ ãäÊㆠ•ããèÌã¶ã ºããè½ã㠄¹ãÊ㺣ã insurance cover to the rural and urban poor living below the poverty line. The Bank, in association with ‡ãŠÀã¦ãã Öõý ºãö‡ãŠ ¶ãñ ¼ããÀ¦ããè¾ã •ããèÌã¶ã ºããè½ãã ãä¶ãØã½ã ‡ãñŠ Ôãã©ã ãä½ãÊã‡ãŠÀ LIC of India, launched the scheme to cover women ½ããäÖÊãã ÔÌã¾ãâ ÔãÖã¾ã¦ãã Ôã½ãîÖ ‡ãñŠ ÔãªÔ¾ããò ‡ãŠãñ Íãããä½ãÊ㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠSelf Help Group members. During 2009-10, the Bank ¾ããñ•ã¶ãã ¹ãÆãÀâ¼ã ‡ãŠãè Öõý ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ ƒÔã ¾ããñ•ã¶ã㠇ãñŠ covered 42,791 women members belonging to 3,854 ¦ãÖ¦ã 3,854 ÔÌã¾ãâ ÔãÖã¾ã¦ãã Ôã½ãîÖãò ‡ãñŠ 42,791 ½ããäÖÊãã ÔãªÔ¾ããò ‡ãŠãñ SHGs under the scheme. ºããè½ãã ãäªÊãã¾ãã Öõý Credit flow to Women ½ããäÖÊãã‚ããò ‡ãŠãñ ¨ãɥ㠹ãÆÌããÖ As on March 31, 2010, Bank’s credit to women amounted to Rs.3,529.69 crore constituting 5.26% 31 ½ããÞãà 2010 ¦ã‡ãŠ ½ããäÖÊãã‚ããò ‡ãŠãñ ªãè ØãƒÃ ºãö‡ãŠ ‡ãŠãè „£ããÀ ÀããäÍã of the Bank’s Adjusted Net Bank Credit, as against Á. 3,529.69 ‡ãŠÀãñü¡ Öãñ ØãƒÃ, •ããñ 5 ¹ãÆãä¦ãÍã¦ã ‡ãñŠ ãä¶ã£ããÃãäÀ¦ã ½ãã¶ãª¥¡ the norm of 5%. ‡ãŠãè ¦ãìÊã¶ãã ½ãñâ ºãö‡ãŠ ‡ãñŠ Ôã½ãã¾ããñãä•ã¦ã ãä¶ãÌãÊ㠄£ããÀ ‡ãŠã 5.26 ¹ãÆãä¦ãÍã¦ã ÀÖã Lead Bank Scheme Öõý The Bank has Lead Bank responsibility in twelve districts in Tamil Nadu and one district in Kerala. ‚ãØãÆ¥ããè ºãö‡ãŠ ¾ããñ•ã¶ãã The Bank is also the Convenor of State Level Banker’s ¦ããä½ãÊã ¶ãã¡ì ‡ãñŠ ºããÀÖ ãä•ãÊããò ‚ããõÀ ‡ãñŠÀÊ㠇ãñŠ †‡ãŠ ãä•ãÊãñ ½ãò ‚ãØãÆ¥ããè ºãö‡ãŠ Committee of Tamil Nadu. During the year under review, as Convenor of State Level Bankers ‡ãŠã „¦¦ãÀªããä¾ã¦Ìã ºãö‡ãŠ ¹ãÀ Öõý ºãö‡ãŠ ¦ããä½ãÊã¶ãã¡ì À㕾ã Ô¦ãÀãè¾ã ºãö‡ãŠÀ Ôããä½ããä¦ã Committee, Tamil Nadu, the Bank conducted three ‡ãŠã Ôãâ¾ããñ•ã‡ãŠ ¼ããè Öõý ÌãÓãà ‡ãñŠ ªãõÀã¶ã ¦ããä½ãÊã ¶ãã¡ì ‡ãñŠ Ôãâ¾ããñ•ã‡ãŠ ‡ãñŠ ¹㠽ãò SLBC Meetings and one State Level Review Meeting. ºãö‡ãŠ ¶ãñ ¦ããè¶ã †Ô㠆Êã ºããè Ôããè ºãõŸ‡ãŠãò ‚ããõÀ †‡ãŠ À㕾ã Ô¦ãÀãè¾ã †Ô㠆Êã ºããè In addition, the Bank convened Special SLBC Meetings on Special Package for MSME, Auto & Ôããè ‡ãŠãè ºãõŸ‡ãŠ ‡ãŠã ‚ãã¾ããñ•ã¶ã ãä‡ãŠ¾ããý ƒÔã‡ãñŠ ‚ãÊããÌãã ºãö‡ãŠ ¶ãñ †½ã †Ô㠆½ã Housing Sectors. Special Bankers’ Meeting was ƒÃ , ‚ãã›ãñ ‚ããõÀ ‚ããÌããÔã àãñ¨ã ‡ãñŠ ãäÊㆠãäÌãÍãñÓ㠆Ô㠆Êã ºããè Ôããè ºãõŸ‡ãŠãò ‡ãŠã convened on Credit Linking of Panchayat Level ‚ãã¾ããñ•ã¶ã ãä‡ãŠ¾ããý ãä¦ãÁ¹ãìÀ ‡ãñŠ ÀâØãÀñ•ã ‡ãñŠ ÔãâÜ㠇ãŠãñ Àã֦㠹ãõ‡ãñŠ•ã , Öã©ã Ôãñ Federations, Scheme for Rehabilitation of Manual ½ãõÊãã ¤ãñ¶ãñ ÌããÊããñâ (†Ô㠂ããÀ †½ã †Ôã ) ‡ãñŠ ¹ãì¶ãÌããÃÔã ¾ããñ•ã¶ãã, ¹ãâÞãã¾ã¦ã Scavengers (SRMS) and on the Relief Package for Tiruppur Dyers’ Association. Senior level officials from Ô¦ãÀãè¾ã ÔãâÜããò ‡ãŠãñ „£ããÀ Ôãñ •ããñü¡¶ãñ ‡ãñŠ ãäÊㆠãäÌãÍãñÓã ºãö‡ãŠÀ ºãõŸ‡ãŠ ‡ãŠã member Banks and Government of Tamil Nadu ‚ãã¾ããñ•ã¶ã ãä‡ãŠ¾ãã Øã¾ããý ÔãªÔ¾ã ºãö‡ãŠ Ôãñ ‚ããõÀ ¦ããä½ãÊã ¶ãã¡ì À㕾ã ÔãÀ‡ãŠãÀ participated in the above meetings. ‡ãñŠ ÌããäÀӟ Ô¦ãÀ ‡ãñŠ ‚ããä£ã‡ãŠããäÀ¾ããò ¶ãñ „¹ã¾ãìÇ㋦㠺ãõŸ‡ãŠãò ½ãò ¼ããØã ãäÊã¾ããý Corporate Social Responsibility ‡ãŠã¹ããóÀñ› Ôãã½ãããä•ã‡ãŠ ªããä¾ã¦Ìã The Bank has, always, supported worthy social causes and endeavours. During the year, the ºãö‡ãŠ ÔãªõÌã ½ãîʾãÌãã¶ã Ôãã½ãããä•ã‡ãŠ ãäÖ¦ããò ‚ããõÀ ¹ãƾããÔããò ‡ãŠãñ Ôã½ã©ãö㠪ñ¦ãã ÀÖã Bank contributed Rs. one crore each to two Öõý ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ ½ãã¶ã¶ããè¾ã ½ã쌾㠽ãâ¨ããè Àã֦㠇ãŠãñÓã ½ãò ªãñ À㕾ããò states, viz., Andhra Pradesh and Karnataka, ‚ã㶣ãÆ ¹ãƪñÍ㠂ããõÀ ‡ãŠ¶ããۇ㊠‡ãñŠ ºããü¤ ¹ããèãäü¡¦ããò ‡ãŠãè Àã֦㠇ãñŠ ãäÊㆠ¹ãƦ¾ãñ‡ãŠ towards the respective Chief Minister’s Relief Funds to give relief to the flood affected people

22 À㕾㠇ãŠãñ †‡ãŠ †‡ãŠ ‡ãŠÀãñü¡ ‡ãŠã ¾ããñØãªã¶ã ã䪾ããý ƒÔã‡ãñŠ ‚ãÊããÌãã ºãö‡ãŠ ¶ãñ ºãü¡ñ in these two states. Apart from these, the Bank ¹ãõ½ãã¶ãñ ¹ãÀ Ôã½ãã•ãÔãñÌããè ÔãâÔ©ãã‚ããò ‡ãŠãñ ¼ããè ªã¶ã ã䪾ããý also made donations to other organizations serving the community at large. Íããä‡ã‹¦ã ƒã䥡¾ã¶ã ‚ããñÌãÀÔããè•ã ºãö‡ãŠ ãäÞ㪽ºãÀ½ã Þãñãä›á›¾ããÀ ½ãñ½ããñãäÀ¾ãÊã Sakthi Indian Overseas Bank Chidambaram Chettiar ›Èԛ Memorial Trust Ñããè †½ã Ôããè ›ãè †½ã ãäÞãªâºãÀ½ã Þãñãä›á›¾ããÀ - ºãö‡ãŠ ‡ãñŠ ÔãâÔ©ãã¹ã‡ãŠ ‡ãñŠ Ô½ãÀ¥ã The Trust, set up jointly by the Management of the ½ãò ºãö‡ãŠ ‡ãñŠ ¹ãƺãâ£ã¶ã , ƒã䥡¾ã¶ã ‚ããñÌãÀÔããè•ã ºãö‡ãŠ ‚ããä£ã‡ãŠãÀãè ÔãâÜ㠂ããõÀ Bank, Indian Overseas Bank Officers’ Association and ‚ããäŒãÊã ¼ããÀ¦ããè¾ã ‚ããñÌãÀÔããè•ã ºãö‡ãŠ ‡ãŠ½ãÃÞããÀãè ÔãâÜã ´ãÀ㠛Èԛ ‡ãŠãè Ô©ãã¹ã¶ãã All India Overseas Bank Employees’ Union, to perpetuate the memory of Bank’s Founder Shri Ôãâ¾ãì‡ã‹¦ã ¹ã Ôãñ ‡ãŠãè ØãƒÃ •ããñ ½ããäÖÊãã‚ããò ‡ãŠãñ Ôãã½ãããä•ã‡ãŠ Ì㠂ãããä©ãÇ㊠‚ããä£ã‡ãŠãÀ M.Ct.M. Chidambaram Chettiar, continued to provide ¹ãƪã¶ã ‡ãŠÀ¶ãñ Öñ¦ãì „¶ã‡ãŠãè ̾ããÌãÖããäÀ‡ãŠ ‡ãìŠÍãÊã¦ãã ½ãò Ôãì£ããÀ ‡ãŠÀ¶ãñ Öñ¦ãì „¶Öò entrepreneurial development training to women „²ã½ããè ãäÌã‡ãŠãÔã ¹ãÆãäÍãàã¥ã ªñ ÀÖã Öõý thereby empowering them socially and financially. ›Èԛ ¶ãñ ãäÌãÍãñÓã‡ãŠÀ ½ããäÖÊãã‚ããò ‡ãñŠ ãäÊㆠãäÌããä¼ã¸ã ‡ãñŠ¶³ãò ¹ãÀ 44 „²ã½ããè The Trust has so far conducted 44 Entrepreneurial ãäÌã‡ãŠãÔ㠇ãŠã¾ãÉ㊽ã (ƒÃ ¡ãè ¹ããè) ‚ãã¾ããñãä•ã¦ã ãä‡ãŠ† Öö, ãä•ãÔã½ãò 1601 ½ããäÖÊãã†â Development Programmes (EDPs) exclusively for women at various centres, benefiting 1,601 women. Êãã¼ãããä¶Ìã¦ã ÖìƒÃ Ööý ƒ¶ã ½ããäÖÊã㠄²ããä½ã¾ããò ‚ããõÀ ÔÌã¾ãâ ÔãÖã¾ã¦ãã Ôã½ãîÖãñ⠇ãñŠ For the women entrepreneurs and Self Help Groups, „¦¹ããªãò ‡ãŠãè ¹ãƪÍãöããè ÔãÖ ãäºã‰ãŠãè ‡ãñŠ ãäÊㆠ‡ã슜 ÍããŒãã‚ããò ½ãò “‚ãム‚ããñ ‘IOB Sakthi Bazaars’ were organized at many ºããè Íããä‡ã‹¦ã ºãã•ããÀ” ‚ãã¾ããñãä•ã¦ã ãä‡ãŠ† Øã†ý branches, for exhibition cum sale of their products. ‚ãム‚ããñ ºããè Ôã½¹ãî¥ãà ¹ããäÀ¾ããñ•ã¶ãã - Ôãâ¹ãî¥ãà ØãÆã½ã ãäÌã‡ãŠãÔã ¹ããäÀ¾ããñ•ã¶ãã IOB-Sampoorna Project – A Total Village Development Project ºãö‡ãŠ ¶ãñ ¹ãî¥ãà ØãÆã½ããè¥ã ãäÌã‡ãŠãÔ㠇ãñŠ „ÿñ;ã Ôãñ ¦ããä½ãÊã ¶ãã¡ì ‡ãñŠ ãä¦ãÁÌãÊÊãîÀ The Bank launched an innovative rural development ãä•ãÊãñ ‡ãñŠ ‡ã슦¦ã½ºãã‡ãŠ½ã †Ìãâ ¹ã¡îÀ ØãÆã½ã ½ãò, ¶ããØã¹ããä›á›¥ã½ã ãä•ãÊãñ ‡ãñŠ project aiming at Total Village Development called ‡ãŠã½ãñÍÌãÀ½ã ØãÆã½ã ½ãò ¦ã©ã㠇ãŠãñ¾ã½ºã¦¦ãîÀ ãä•ãÊãñ ‡ãñŠ ªããäÊã¾ãîÀ ØãÆã½ã ½ãò ‚ãム‚ããñ IOB-Sampoorna in Kuthambakkam and Padur ºããè Ôãâ¹ãî¥ãà ¶ãã½ã‡ãŠ ØãÆã½ããè¥ã ãäÌã‡ãŠãÔã ¹ããäÀ¾ããñ•ã¶ãã ¹ãÆãÀâ¼ã ‡ãŠãèý ‚ãヂããñºããè- Villages in Tiruvallur District, Kameshwaram village Ôãâ¹ãî¥ãà †‡ãŠ ãäÌããäÍãӛ ¹ããäÀ¾ããñ•ã¶ãã Öõ ãä•ãÔã½ãò ØãÆã½ããè¥ã •ã¶ãÔã⌾ã㠇ãñŠ Ôã½ãØãÆ in Nagapattinam District, Dhaliyur Village in ãäÌã‡ãŠãÔ㠇ãŠãñ Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¶ãñ Öñ¦ãì ØããúÌããò ½ãò ‚ã¶ãñ‡ãŠ •ããèãäÌã‡ãŠã‚ããò ‡ãñŠ ãäÊㆠCoimbatore District and Innambur village in Thanjavur District of Tamil Nadu. IOB-Sampoorna is an unique ÍãìÁ‚ãã¦ããè ¹ãƾããÔããò ‡ãŠãñ Íãããä½ãÊã ãä‡ãŠ¾ãã Øã¾ãã Öõý Project encompassing several livelihood initiatives ƒÔã½ãò „£ããÀ ¦ã©ãã ØãõÀ „£ããÀ ÔãâÜ㛇㊠•ãõÔãñ ãäÌ㦦ããè¾ã Ôã½ããÌãñÍã¶ã, ‡ãŠãÀãñºããÀ in the villages to ensure all-inclusive growth of rural population. ‡ãŠÀñÔ¹ãâã¡ñ¶› ½ããù¡Ê㠇ãñŠ ¦ã֦㠺ãã¾ããñ½ãñãä›È‡ãŠ Ô½ãã›Ã ‡ãŠã¡Ã Ôããä֦㠂ãム›ãè ‚ãã£ãããäÀ¦ã ºãöãä‡ãâŠØã ¹ããäÀÞããÊã¶ã, ÌãðàããÀãñ¹ã¥ã ¦ã©ãã Ôãã½ãããä•ã‡ãŠ Ìã¶ãÀãñ¹ã¥ã, It comprises credit and non-credit components such •ãÊããÍã¾ããò ‡ãŠãè Ôã¹ãŠãƒÃ, Öñʩ㠇ãñŠ¾ãÀ, ‡ã⊹¾ãî›À ‚ããõÀ ºããè¹ããè ‚ããñ ½ãò ¾ãìÌã‡ãŠãò ‡ãñŠ as Financial Inclusion, I.T. enabled banking operations with Bio-metric Smart Cards under Business ‡ãŠãõÍãÊã ¹ãÆãäÍãàã¥ã, ØãÆã½ããè¥ã ‡ãŠãÀãñºããÀãè ÔãâÔãã£ã¶ã ‚ãㄛÔããñãäÔãÄØã, ØãõÀ Correspondent model, Tree Planting and Social ¹ããÀâ¹ããäÀ‡ãŠ „•ããà ÔãâÌã£ãö㠆Ìãâ ØãÆã½ããè¥ã ¹ã¾ãÛ¶ã Íãããä½ãÊã Ööý Forestry, Cleaning Water Bodies, Health Care, Skill Training for youth in computer, Rural Business ØãÆã½ããè¥ã ÔÌã Àãñ•ãØããÀ ¹ãÆãäÍãàã¥ã ÔãâÔ©ãã¶ã (‚ããÀ †Ô㠃à ›ãè ‚ããƒÃ ) Process Outsourcing, Promotion of non-conventional ØãÆã½ããè¥ã ãäÌã‡ãŠãÔã ½ãâ¨ããÊã¾ã ,¼ããÀ¦ã ÔãÀ‡ãŠãÀ ´ãÀ㠕ããÀãè ãäªÍãããä¶ãªóÍããò ‡ãñŠ energy and Rural Tourism. ‚ã¶ãìÔããÀ ºãö‡ãŠ ¶ãñ ãä‡ãŠÔãã¶ããò , †Ô㠆Þ㠕ããè ‡ãñŠ ÔãªÔ¾ããò , †Ô㠕ããè †Ôã ÌããƒÃ Rural Self Employment Training Institutes (RSETIs) ‡ãñŠ ¦ãÖ¦ã Êãã¼ã¼ããñãäØã¾ããò , ãäÍããäàã¦ã ºãñÀãñ•ãØããÀ ¾ãìÌã‡ãŠãò , ‡ãŠãÀãèØãÀãò ‚ããõÀ In line with the guidelines issued by Ministry of Rural ØãÀãèºã ÌãØãà ‡ãñŠ Êãã¼ã¼ããñãäØã¾ããò ‡ãŠãñ ¹ãÆãäÍãàã¥ã ªñ¶ãñ ‡ãñŠ ãäÊㆠãä¦ãÁ‚ã¶ãâ¦ã¹ãìÀ½ã Development, Govt of India, Bank had set up RSETIs (‡ãñŠÀÊã À㕾ã ) , ãä¦ãÁ¶ãñÊãÌãñãäÊã , ¦ãâ•ãã À ‚ããõÀ ãä¦ãÁãäÞÞã (¦ããä½ãÊã ¶ãã¡ì at Thiruvananthapuram (Kerala State), Tirunelveli, À㕾ã) ½ãò ‚ããÀ †Ô㠃à ›ãè ‚ãム‡ãŠãè Ô©ãã¹ã¶ã㠇ãŠãè Öõý Thanjavur and Trichy (Tamilnadu State) to provide training to farmers, members of SHGs, beneficiaries ºãö‡ãŠ ´ãÀã (¶ããºãã¡Ã ¦ã©ã㠃ã䥡¾ã¶ã ºãö‡ãŠ ‡ãñŠ Ôãã©ã Ôãâ¾ãì‡ã‹¦ã ¹ã Ôãñ) ‡ãŠãÀõ‡ãìŠü¡ãè under SGSY, Educated Unemployed Youths, Artisans (ãäÍãÌãØãâØãã ãä•ãÊãã, ¦ããä½ãÊã¶ãã¡ì) ½ãò †‡ãŠ ØãÆã½ããè¥ã ‡ãñŠ¶³ ‡ãŠãè Ô©ãã¹ã¶ã㠇ãŠãè and Beneficiaries belonging to weaker sections. ØãƒÃ ©ããèý ƒ¶ã ãä•ãÊããò ½ãò ºãö‡ãŠ ‚ãØãÆ¥ããè ºãö‡ãŠ ‡ãŠã ªããä¾ã¦Ìã ãä¶ã¼ãã ÀÖã Öõý One Rural Training Centre was set up by the Bank Ôã½ããèàãã£ããè¶ã ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ ƒ¶ã ¹ãÆãäÍãàã¥ã ÔãâÔ©ãã¶ããñ⠇ãñŠ ½ã㣾ã½ã Ôãñ (jointly with NABARD and Indian Bank) at Karaikudi 142 ¹ãÆãäÍãàã¥ã ‡ãŠã¾ãÉ㊽ã ÞãÊãã‡ãŠÀ ‡ãìŠÊã 3,322 ¹ãÆãäÍãàãì‚ããñ⠇ãŠãñ ¹ãÆãäÍãàã¥ã (Sivaganga District, Tamil Nadu). The Bank has Lead Bank responsibility in these Districts. During the year ¹ãƪã¶ã ãä‡ãŠ¾ããý under review, through these Training Institutes, the ãäÌ㦦ããè¾ã ÔããàãÀ¦ã㠂ããõÀ „£ããÀ ‡ãŠã„âãäÔããäÊãâØ㠇ãñŠ¶³ ( †¹ãŠ †Êã Ôããè Ôããè Bank conducted 142 training programmes benefiting Ôããè) •ãõÔãñ Ô¶ãñÖã 3,322 trainees. Ôã½ããèàãã£ããè¶ã ÌãÓãà ‡ãñŠ ªãõÀã¶ã ‚ãã½ã •ã¶ã¦ãã ½ãò ãäÌ㦦ããè¾ã ãäÍãàã㠂ããõÀ •ããØã‡㊦ãã Financial Literacy and Credit Counselling Centres (FLCCC) viz., SNEHA Êãã¶ãñ ‡ãñŠ „ÿñ;ã Ôãñ ºãö‡ãŠ ¶ãñ ¶ããØãÀ‡ãŠãñãäÌãÊ㠂ããõÀ ãä¦ãÁãäÞÞã ½ãñ ªãñ †¹ãŠ †Êã With a view to promoting financial education and Ôããè Ôããè Ôããè ‡ãŠãè Ô©ãã¹ã¶ã㠇ãŠãèý ƒ¶ã ‡ãñŠ¶³ãò ½ãñ ØãÆã½ããè¥ã ‚ããõÀ ÍãÖÀãè ÊããñØããò ‡ãŠãñ awareness among general public the Bank set up two FLCCCs at Nagercoil and Trichy during the year

23 ãäÌããä¼ã¸ã ãäÌ㦦ããè¾ã „¦¹ããªãò/ ‚ããõ¹ãÞãããäÀ‡ãŠ ãäÌ㦦ããè¾ã àãñ¨ã Ôãñ „¹ãÊ㺣ã ÔãñÌãã‚ããò under review. These centres will educate the people ‡ãŠãè •ãã¶ã‡ãŠãÀãè ªãè •ãã†Øããè, ̾ããä‡ã‹¦ãØã¦ã ¹ã Ôãñ •ãã‡ãŠÀ ãäÌ㦦ããè¾ã ‡ãŠã„âãäÔããäÊãâØã in rural and urban areas with regard to various financial products / services available from formal ÔãñÌãã ªãè •ãã†Øããè ‚ããõÀ ‡ãŠ•ãêãÀãò ‡ãŠãñ ‡ãŠ•ãà ‡ãŠã„âãäÔããäÊãâØã ÔãñÌãã ªãè •ãã†Øããèý financial sector, provide face-to-face financial counselling services and offer debt counselling to ãäÌ㦦ããè¾ã Ôã½ããÌãñÍã¶ã indebted individuals. ¹ãîÌãà ½ãò ºãöãä‡ãâŠØ㠇ãŠãè ̾ãÌãÔ©ãã Ôãñ ¶ã •ãìü¡ñ ÊããñØããñ⠇ãŠãñ ºãöãä‡ãâŠØã ̾ãÌãÔ©ãã Ôãñ Financial Inclusion •ããñü¡¶ãñ Öñ¦ãì ºãö‡ãŠ ¶ãñ 2,06,162 ¶ããñ ãä¹ãƊÊã ºãÞã¦ã ºãö‡ãŠ Œãã¦ãñ ŒããñÊãñ ‚ããõÀ In order to bring hitherto excluded people under Ôãã£ããÀ¥ã ¹ãƾããñ•ã¶ã Öñ¦ã 16,930 ‰ãñŠã䡛 ‡ãŠã¡Ã ãäÌã¦ããäÀ¦ã ãä‡ãŠ†ý banking fold during the year under review, Bank has opened 2,06,162 No-frills SB accounts and granted ÊããñØããò ¦ã‡ãŠ ºãö‡ãŠ ‡ãŠãè ÔãìãäÌã£ãã†â ¹ãÖìúÞãã¶ãñ ‡ãñŠ ãäÊㆠºãö‡ãŠ ¶ãñ 6 À㕾ããò Ì㠆‡ãŠ 16,930 General Purpose Credit Cards. ÔãâÜã ÍãããäÔã¦ã ¹ãƪñÍã ½ãò ‡ãìŠÊã 33 ÍããŒãã‚ããò ( 18 àãñ¨ããè¾ã ‡ãŠã¾ããÃÊã¾ããò ) ½ãò To increase the outreach of banking services the Ô½ãã›Ã ‡ãŠã¡Ã ºãöãä‡ãâŠØã ¹ãÆãÀâ¼ã ãä‡ãŠ¾ããý ØãÆã½ããè¥ã ÊããñØã ºãã¾ããñ ½ãñãä›È‡ãŠ ‡ãŠã¡Ã ‡ãŠã Bank introduced Smart Card Banking in 33 Branches ¹ãƾããñØ㠇ãŠÀ‡ãñŠ ÖÔ¦ãÞãããäÊã¦ã ãä¡ÌããƒÔã Ôãñ ØããúÌã ½ãò Öãè ºãöãä‡ãâŠØ㠇ãŠãÀãñºããÀ ‡ãŠã (18 Regions) across 6 States and one Union Territory. Êãñ¶ã ªñ¶ã ‡ãŠÀ Ôã‡ãŠ¦ãñ Ööý ‡ãŠÀñÔã¹ããâ¡ò› ´ãÀã ØãÆãևãŠãò ‡ãñŠ ÜãÀ ¹ãÀ Öãè ÔãñÌãã‚ããò Rural people can transact banking business at the village itself with the use of bio-metric smart cards ‡ãŠãè Ôãì¹ãìªÃØããè ‡ãŠãè •ãã¦ããè Öõý Ô©ãã¶ããè¾ã ¼ããÓãã ½ãò ¹ãƾãì‡ã‹¦ã ¾ãñ ãä¡ÌããƒÔãñÔã through Hand Held Devices. Business ‚ããäÍããäàã¦ããò ‡ãñŠ ãäÊㆠ¾ãî•ãÀ ¹ãÆòŠ¡Êããè Öõý Ôã½ããèàãã£ããè¶ã ÌãÓãà ‡ãñŠ ªãõÀã¶ã 3,504 Correspondents deliver the services at the door step ºãã¾ããñ½ãñãä›È‡ãŠ ‡ãŠã¡Ã •ããÀãè ãä‡ãŠ† Øã†ý of the customers. The devices are voice - enabled in vernacular language and user friendly for illiterates. ‡ãðŠãäÓ㠄£ããÀ ½ãã¹ãŠãè ‚ããõÀ ¨ãÉ¥ã Àã֦㠾ããñ•ã¶ãã 2008 3,504 biometric smart cards were issued during the year under review. ¼ããÀ¦ã ÔãÀ‡ãŠãÀ ‡ãñŠ ½ãã¶ã¶ããè¾ã ãäÌ㦦㠽ãâ¨ããè ‡ãŠãè ‡ãðŠãäÓã ½ãã¹ãŠãè ‚ããõÀ ¨ãÉ¥ã Àã֦㠾ããñ•ã¶ãã 2008 ‡ãñŠ ¦ã֦㠺ãö‡ãŠ ¶ãñ 3.07 ÊããŒã œãñ›ñ Ìã Ôããè½ããâ¦ã ‡ãðŠÓã‡ãŠãñò ‡ãñŠ Agricultural Debt Waiver and Debt Relief Scheme 2008 Á. 580.89 ‡ãŠÀãñü¡ ‡ãñŠ Ôãã©ã-Ôãã©ã 68,000 ‚㶾㠹ãã¨ã ‡ãðŠÓã‡ãŠãò ‡ãŠãñ Á. Agricultural Debt Waiver and Debt Relief Scheme 133.00 ‡ãŠÀãñü¡ ‡ãŠãè ¨ãɥ㠽ãã¹ãŠãè ‡ãñŠ ãäÊㆠ¹ãÖÞãã¶ãã Öõ •ããñ ‡ãìŠÊã ãä½ãÊãã‡ãŠÀ 2008 was announced by the Hon’ble Union Finance ‰ãŠ½ãÍã: 3.75 ÊããŒã ‡ãðŠÓã‡ãŠ Ìã Á. 713.89 ‡ãŠÀãñü¡ ©ããèý Minister, Govt. of India. Under the scheme, the Bank has identified 3.07 lac Small and Marginal Farmers ºãö‡ãŠ ¶ãñ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ Ôãñ ½ãã¹ãŠãè ªãÌãã À‡ãŠ½ã ‡ãñŠ ¹㠽ãò Á.371.98 eligible for waiver to the tune of Rs.580.89 crores ‡ãŠÀãñü¡ ‡ãŠãè ¹ãÆãä¦ã¹ãîãä¦ãà ¹ãÆ㹦㠇ãŠãèý ‚㶾ã 68,000 ‡ãðŠÓã‡ãŠãò (‚ããñ†¹ãŠ) ½ãò Ôãñ and 68,000 other farmers eligible for Relief of 46,000 ‚㶾㠇ãðŠÓã‡ãŠãò ¶ãñ ‚ã¹ã¶ãñ ãäÖÔÔãñ ‡ãŠã ¼ãìØã¦ãã¶ã ãä‡ãŠ¾ã㠂ããõÀ ºãö‡ãŠ ¶ãñ Rs.133.00 crores totaling 3.75 lac farmers and Rs.713.89 crores respectively. ¹ãÆãÀâãä¼ã‡ãŠ ¹㠽ãò Á. 83.16 ‡ãŠÀãñü¡ ‡ãŠã ªãÌãã ãä‡ãŠ¾ããý ‚㶾㠇ãðŠÓã‡ãŠãò ‡ãñŠ ãäÖÔÔãñ ‡ãñŠ ¼ãìØã¦ãã¶ã ‡ãŠãè ‚ãâãä¦ã½ã ãä¦ããä©ã ºãü¤ã‡ãŠÀ 30.06.2010 ‡ãŠÀ ªãè ØãƒÃ Bank received an amount of Rs.371.98 crores from Reserve Bank of India , as the reimbursement of Öõý waiver claim amount. Out of 68,000 Other Farmers (OF) 46,000 other farmers, paid their share and Bank •ããñãäŒã½ã ¹ãƺãâ£ã¶ã has made a preliminary claim of Rs.83.16 crore. The ã䪶ããâ‡ãŠ 31 ½ããÞãà 2008 Ôãñ ºãö‡ãŠ ¶ãñ ¶ãƒÃ ¹ãîú•ããè ¹ã¾ããù¦ã¦ãã ¹ãÆñŠ½ãÌã‡ãÊ (ºãñÔãÊã last date for payment of other farmers share is II) ‡ãŠãñ ‚ã¹ã¶ãã ãäÊã¾ãã Öõý ¼ããÀ¦ããè¾ã ãäÀ•ãÌãà ºãö‡ãŠ ´ãÀã Ôã¼ããè Ìãããä¥ãã䕾ã‡ãŠ extended upto June 30,2010. ºãö‡ãŠãò ‡ãŠãñ ã䪆 Øㆠ‚ã¶ãìªñÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ºãö‡ãŠ „£ããÀ •ããñãäŒã½ã ¹ãîú•ããè ‡ãñŠ Risk Management ¹ããäÀ‡ãŠÊã¶ã ‡ãñŠ ãäÊㆠ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã (†Ô㠆) ‚ããõÀ ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ The Bank has adopted the New Capital Adequacy •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ‚ãã£ããÀ¼ãî¦ã Ôãâ‡ãñŠ¦ã‡ãŠ Òãäӛ‡ãŠãñ¥ã (ºããè‚ãテ) ‚ããõÀ ºãã•ããÀ Framework (Basel-II) with effect from March 31, 2008. In line with Reserve Bank of India’s instructions to •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ¹ãúî•ããèØã¦ã ‚ã¹ãñàãã‚ããò ‡ãñŠ ãäÊㆠ½ãã¶ã‡ãŠãè‡ãðŠ¦ã ‚ãÌããä£ã Òãäӛ‡ãŠãñ¥ã all commercial banks, the Bank is adopting (†Ôã¡ãè†) ‡ãŠãñ ‚ã¹ã¶ãã ÀÖã Öõý ƒÔã Ôãâºãâ£ã ½ãò ºãö‡ãŠ ãäÌããä¶ã¾ãã½ã‡ãŠ ‚ã¹ãñàãã‚ããò Standardised Approach (SA) for computation of Credit ‡ãŠã ¹ãî¥ãà ‚ã¶ãì¹ããÊã¶ã ‡ãŠÀ ÀÖã Öõý Risk Capital, Basic Indicator Approach (BIA) for calculating the capital for Operational Risk and the ‚ããØãñ, ºãö‡ãŠ ºãñÔãÊã-II ¹ãÆñŠ½ãÌã‡ãÊ ‡ãñŠ ¦ã֦㠄ãäÊÊããäŒã¦ã ‚ã¹ã¶ããè •ããñãäŒã½ã Standardised Duration Approach (SDA) for computing capital requirement for market risks. The Bank is in ¹ãƺãâ£ã¶ã ¹ãÆ¥ããÊããè „¸ã¦ã ‡ãŠÀ¶ãñ †Ìã⠂ã¹ã¶ããè ‡ãŠã¾ãùãÆ¥ãããäÊã¾ããò ‡ãŠãñ „¸ã¦ã ÔÌã¹ã compliance with the regulatory requirement in this ½ãò ºãªÊã¶ãñ ‡ãŠãè ¹ãÆãä‰ãŠ¾ãã ½ãò Öõý regard. Further, the Bank is in the process of upgrading its risk management systems and practices for migrating to the advanced approaches envisaged under the Basel-II Framework.

24 ‚ã¶ãì¹ããÊã¶ã ‡ãŠã¾ãà Compliance Function ãä¦ã½ããÖãè ‚ãã£ããÀ ¹ãÀ ØãõÀ-‚ã¶ãì¹ããÊã¶ã ‡ãñŠ Ôãâ‡ãñŠ¶³¥ã ‡ãñŠ ãä¶ã£ããÃÀ¥ã ´ãÀã In order to arrive at the Compliance Risk by ‚ã¶ãì¹ããÊã¶ã •ããñãäŒã½ã ¦ã‡ãŠ ¹ãÖìúÞã¶ãñ ‡ãñŠ ãäÊㆠÍããŒãã‚ããò ½ãò ‚ã¶ãì¹ããÊã¶ã ‡ãñŠ ascertaining the concentration of non-compliance, the system of verification of level of compliance in Ô¦ãÀ ‡ãñŠ Ô㦾ãã¹ã¶ã ‡ãŠãè ¹ãÆ¥ããÊããè ‡ãŠãñ †‡ãŠ ¦ãâ¨ã ‡ãŠãè ¦ãÀÖ „¹ã¾ããñØã ãä‡ãŠ¾ã㠕ãã¦ãã branches is used as a tool. An official of a branch Öõý ÍããŒã㠇ãŠã †‡ãŠ ‚ããä£ã‡ãŠãÀãè ªîÔãÀãè ÍããŒãã ½ãò ½ãîÊã ½ãã½ãÊãñ, •ããñ “„ÞÞ㔠would verify the level of compliance in core issues †Ìã⠓½ã£¾ã½ã” •ããñãäŒã½ã ‡ãñŠ ¦ã֦㠂ãã¦ãñ Öö, ‡ãñŠ ‚ã¶ãì¹ããÊã¶ã Ô¦ãÀ ‡ãŠãè ãä¦ã½ããÖãè in another branch which are of “High” and “Medium” ‚ãã£ããÀ ¹ãÀ •ããúÞ㠇ãŠÀñØããý ÍããŒãã‚ããò ½ãò ‡ãìŠÊ㠂ã¶ãì¹ããÊã¶ã •ããñãäŒã½ã, •ããñ risk on quarterly basis. The overall Compliance Risk in branches, which was at 4.69 % as on December 31 ãäªÔ㽺ãÀ, 2008 ‡ãŠãñ 4.69% ©ãã, ã䪶ããâ‡ãŠ 31-12-2009 ‡ãŠãñ 31, 2008 has been brought down to 3.95 % as on Ü㛇ãŠÀ 3.95% Öãñ Øã¾ããý ãäÌãªñÍããè ÍããŒãã‚ããò †Ìãâ ¹ãÆãä¦ããä¶ããä£ã ‡ãŠã¾ããÃÊã¾ããò December 31, 2009. The Self Assessment procedure ‡ãñŠ ãäÊㆠÍã젇ãŠãè Øã¾ããè ÔÌã-ãä¶ã£ããÃÀ¥ã ¹ãÆãä‰ãŠ¾ãã ¼ããè ãäÌããä¶ã¾ãã½ã‡ãŠ ‚ã¶ãì¹ããÊã¶ã introduced for overseas branches and Representative Þãñ‡ãŠ ãäÊãԛ ‡ãñŠ ãäÊㆠ†‡ãŠ ¹ãƼããÌããè ¦ãâ¨ã ‡ãŠãè ¦ãÀÖ ‡ãŠã½ã ‡ãŠÀ¦ãã Öõý ½ãì³ã Offices also serves as an effective tool for Regulatory Compliance Check List. The compliance self ãä¦ã•ããñÀãè, ‡ãñŠ¶³ãè¾ã Ôã½ããÍããñ£ã¶ã ØãðÖ †Ìãâ ã䡹ããùãäû•ã›Àãè ÔãñÌãã ÍããŒã㠇ãñŠ assessment procedure introduced for Currency ãäÊㆠÍã젇ãŠãè Øã¾ããè ‚ã¶ãì¹ããÊã¶ã †Ìãâãä¶ã£ããÃÀ¥ã ¹ãÆãä‰ãŠ¾ãã Ôãñ ƒ¶ã ‡ãŠã¾ããÃÊã¾ããò Chests, Central Clearing Offices and Depository ½ãò ‚ã¶ãì¹ããÊã¶ã ‡ãñŠ Ô¦ãÀ ½ãò Ôãì£ããÀ Öì‚ãã Öõý Service branch has improved the level of compliance in these offices. ÌãÔãîÊããè ¹ãƺãâ£ã¶ã Recovery Management 1) •ãã¶ã‡ãŠãÀãè ºããú›¶ãã, 2) ‚ããä¼ã¹ãÆñÀ¥ã / ÔãÖ¾ããñØã, 3) ¶ãƒÃ ‚ããõÀ ¶ãÌããñ¶½ãñÓããè Many pro-active efforts were initiated such as 1) ¾ããñ•ã¶ãã‚ããò ‡ãñŠ •ããäÀ† ‚ããä£ã‡ãŠãÀ Ôããö¹ã¶ãñ ‚ããõÀ ¹ãÆØããä¦ã ‡ãŠã ¹ãƺããñ£ã¶ã ‡ãŠÀ¶ãñ dissemination of information 2) motivation/support 3) •ãõÔãñ ‡ãŠƒÃ Ôããä‰ãŠ¾ã „¹ãã¾ã Íãì ãä‡ãŠ†ý ƒ¶ã „¹ãã¾ããò Ôãñ ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ Ô¦ãÀ empowerment through new and innovative schemes ¹ãÀ Ôã‡ãŠãÀ㦽ã‡ãŠ ¹ãƼããÌã ¹ãü¡ã †Ìã⠆¶ã¹ããè† ¹ãƺãâ£ã¶ã ‡ãñŠ ¦ã֦㠇ãŠã¹ãŠãè Ôãì£ããÀ and 4) monitoring of progress. These measures infused positive outlook at the operational level and Öì‚ããý ƒ¶ã „¹ãã¾ããò ½ãò Ôããä½½ããäÊã¦ã Öö - there was a perceptible improvement under NPA Management. The measures include ‡ãŠ. Ôã¼ããè ¹ãã¨ã ½ãã½ãÊããò ½ãò ÔãÀ¹ãŠãÔããè ‡ãñŠ ¦ãÖ¦ã 100% ‡ãŠãÀÃÌããƒÃ ¹ãÀ •ããñÀý a) Emphasis on 100% action under SARFAESI in all eligible cases Œã. Œãã¦ããò ‡ãŠãñ ‚ã²ã¦ã¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ“ãä¶ã¾ã¦ã À‡ãŠ½ã” ‡ãŠãè ÌãÔãîÊããè ¹ãÀ b) Emphasis on recovery of “critical amount” towards •ããñÀý upgrading the accounts Øã. œãñ›ñ ½ãîʾ㠇ãñŠ Œãã¦ããò (‚ããñ›ãè†Ôã-†ÔãÌããè†) ‡ãñŠ ãäÊㆠ†‡ãŠ ºããÀØããè c) Launching of One Time Settlement Scheme for ãä¶ã¹ã›ã¶ã ¾ããñ•ã¶ã㠇ãŠãè Íãì‚ãã¦ã, ãä•ãÔã¶ãñ ÍããŒãã ¹ãƽãìŒããò ‡ãŠãñ Small Value Accounts (OTS-SVA), which delegated Discretionary powers to Branch Heads. ãäÌãÌãñ‡ãŠããä£ã‡ãŠãÀ ‡ãŠãè Íããä‡ã‹¦ã ¹ãƪã¶ã ‡ãŠãè Öõý ¾ãÖ ¾ããñ•ã¶ãã The Scheme was in force from 19.10.2009 to ã䪶ããâ‡ãŠ 19-10-2009 Ôãñ 31-03-2010 ¦ã‡ãŠ ÊããØãî ©ããèý 31.03.2010. Üã. ã䪶ããâ‡ãŠ 01-02-2010 Ôãñ 31-07-2010 ¦ã‡ãŠ ԛã¹ãŠ ‡ãñŠ ãäÊㆠd) Launching of recovery contest to staff from 01.02.2010 to 31.07.2010, which provided ÌãÔãîÊããè ¹ãÆãä¦ã¾ããñãäØã¦ã㠇ãŠãè Íãì‚ãã¦ã, ãä•ãÔã½ãò Ôã¹ãŠÊã ãä¶ãÓ¹ã㪇ãŠãò ‡ãŠãñ payment of Cash incentive to successful ¶ã‡ãŠª ¹ãÆãñ¦Ôããֶ㠇ãñŠ ¼ãìØã¦ãã¶ã ‡ãŠã ¹ãÆãÌã£ãã¶ã ©ããý performers. ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ Á.787 ‡ãŠÀãñü¡ ‡ãŠãè ÌãÔãîÊããè ‡ãŠãè ãä•ãÔã½ãò ºã›á›ñ Œãã¦ãñ During the year, the Bank made substantial recovery ½ãò ¡ãÊãñ ØㆠŒãã¦ãñ ¼ããè Íãããä½ãÊã Ööý ÌãÓãà ‡ãñŠ ªãõÀã¶ã Á.435 ‡ãŠÀãñü¡ ‡ãñŠ of Rs.787 crore including recovery from written-off accounts. NPAs to the extent of Rs. 435 crore were ‚ã¶ã•ãÇ㊠Œãã¦ããò ‡ãŠã ¼ããè „¸ã¾ã¶ã ãä‡ãŠ¾ãã Øã¾ããý also upgraded during the year. ÔãîÞã¶ã㠇ãñŠ ‚ããä£ã‡ãŠãÀ ‚ããä£ããä¶ã¾ã½ã ‡ãñŠ ¦ã֦㠾ãããäÞã‡ãŠã‚ããò ‡ãŠã ãä¶ã¹ã›ãÀã Disposal of petitions received under RTI Act ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã ÔãîÞã¶ã㠇ãñŠ ‚ããä£ã‡ãŠãÀ ‚ããä£ããä¶ã¾ã½ã ‡ãñŠ ¦ãÖ¦ã The Bank received 1,421 petitions seeking information •ãã¶ã‡ãŠãÀãè ½ããúØã¦ãñ Öì† ºãö‡ãŠ ‡ãŠãñ 1,421 ¾ãããäÞã‡ãŠã†ú ¹ãÆ㹦ã ÖìƒÃý Ôã¼ããè under RTI Act during the year 2009-10. All the requests were duly replied within the specified period ‚ã¶ãìÀãñ£ããò ‡ãŠã •ãÌããºã ãä¶ã£ããÃãäÀ¦ã Ôã½ã¾ã Ôããè½ã㠂ã©ããæãÁ.30 ã䪶ããò ‡ãñŠ ¼ããè¦ãÀ of 30 days. Eligible petitions (85%) were positively ã䪾ãã Øã¾ããý ¹ãã¨ã ¾ãããäÞã‡ãŠã‚ããò (85%) ¹ãÀ Ôã‡ãŠãÀ㦽ã‡ãŠ •ãÌããºã ã䪾ãã Øã¾ãã replied and the balance applications were found ‚ããõÀ ÍãñÓ㠂ããÌãñª¶ã ½ããâØãñ ØㆠãäÌãÌãÀ¥ã ‡ãñŠ ãäÊㆠ‚ã¹ãã¨ã ¹ãㆠØã†ý ineligible for the requested details. First Appellate Authority received 122 first appeals, ¹ãÆ©ã½ã ‚ã¹ããèÊããè¾ã ¹ãÆããä£ã‡ãŠãÀãè ´ãÀã 122 ¹ãÆ©ã½ã ‚ã¹ããèÊã ¹ãÆ㹦ã ãä‡ãŠ† Øã†, •ããñ which were not satisfied with the reply of Central ‡ãñŠ¶³ãè¾ã •ã¶ã ÔãîÞã¶ã㠂ããä£ã‡ãŠãÀãè ‡ãñŠ „¦¦ãÀ Ôãñ Ôãâ¦ãìӛ ¶ãÖãé ©ãñý ƒ¶ã Public Information Officer. These appeals were duly ‚ã¹ããèÊããò ‡ãŠã ãä¶ã¹ã›ã¶ã ‚ããä£ããä¶ã¾ã½ããò ‡ãñŠ ¹ãÆãÌã£ãã¶ããò ‡ãñŠ ‚ã¶ãìÔããÀ ãä‡ãŠ¾ãã Øã¾ããý disposed as per the due provisions of the Act. ½ãã¶ã¶ããè¾ã ‡ãñŠ¶³ãè¾ã ÔãîÞã¶ã㠂ãã¾ããñØ㠇ãñŠ Ôã½ãàã 19 ‚ã¹ããèÊã ¾ãããäÞã‡ãŠã‚ããò ‡ãŠãñ 19 Appeal petitions were escalated as Second Appeal before the Hon’ble Central Information ãä´¦ããè¾ã ‚ã¹ããèÊ㠇ãñŠ ¹㠽ãò ÀŒãã Øã¾ããý ½ãã¶ã¶ããè¾ã ‡ãñŠ¶³ãè¾ã ÔãîÞã¶ã㠂ãã¾ããñØã Commission. All 19 Appeals were disposed by the

25 ‡ãñŠ ´ãÀã Ôã¼ããè 19 ‚ã¹ããèÊããò ‡ãŠã ãä¶ã¹ã›ãÀã ãä‡ãŠ¾ãã Øã¾ããý ‚ãã•ã ‡ãŠãè ¦ããÀãèŒã Hon’ble CIC. Bank had maintained favourable ¦ã‡ãŠ ‡ãŠãè Ôã¼ããè 54 ãä´¦ããè¾ã ‚ã¹ããèÊããò ¹ãÀ ºãö‡ãŠ ‡ãŠãñ ‚ã¶ãì‡ãîŠÊã ãä¶ã¥ãþ㠹ãÆ㹦ã decisions in all the 54 Second Appeals decided till Öì†ý date. Industrial Rehabilitation ‚ããõ²ããñãäØã‡ãŠ ¹ãì¶ãÌããÃÔã Number of cases under BIFR/AAIFR as at March 31, 31 ½ããÞãà 2010 ¦ã‡ãŠ ºããè‚ããƒÃ†¹ãŠ‚ããÀ / ††‚ããƒÃ†¹ãŠ‚ããÀ ‡ãñŠ ¦ãÖ¦ã 27 2010 were 27 with an exposure of Rs. 153.36 crore. ½ãã½ãÊãñ ©ãñ ãä•ãÔã½ãò Á.153.36 ‡ãŠÀãñü¡ ‡ãñŠ „£ããÀ ©ãñý ƒ¶ã½ãò Ôãñ ‡ãìŠÊã Of this 7 accounts for Rs. 74.78 crore were standard and performing. Out of NPA accounts, recovery in 6 Á.74.78 ‡ãŠÀãñü¡ ‡ãñŠ 7 Œãã¦ãñ ½ãã¶ã‡ãŠ †Ìã⠂ã•ãÇ㊠©ãñý ‚ã¶ã•ãÇ㊠Œãã¦ããò ½ãò cases amounting to Rs. 4.53 crore was made and Ôãñ 6 ½ãã½ãÊããò ½ãò Á.4.53 ‡ãŠÀãñü¡ ‡ãŠãè ÌãÔãîÊããè ‡ãŠãè Øã¾ããè †Ìãâ ºããè‚ããƒÃ†¹ãŠ‚ããÀ one standard account under BIFR reference with an Ôã⪼ãà ‡ãñŠ ¦ãÖ¦ã Á.3.23 ‡ãŠÀãñü¡ ‡ãñŠ •ããñãäŒã½ã ÌããÊãñ †‡ãŠ ½ãã¶ã‡ãŠ Œãã¦ãñ ‡ãŠãñ exposure of Rs. 3.23 crore was also closed. During ºã⪠‡ãŠÀ ã䪾ãã Øã¾ããý ÌãÓãà ‡ãñŠ ªãõÀã¶ã, Á.11.38 ‡ãŠÀãñü¡ ‡ãñŠ 3 Œãã¦ãñ ‡ãŠãñ the year, 3 accounts with an aggregate exposure of Rs. 11.38 crore were brought out of SICA purview, †Ôã‚ããƒÃÔããè† ‡ãñŠ ªã¾ãÀñ Ôãñ ºããÖÀ ãä¶ã‡ãŠãÊãã Øã¾ãã, ªãñ Œãã¦ããò ‡ãŠãñ ÔãÀ¹ãŠãÔããè two accounts through SARFAESI action and one ‡ãŠãÀÃÌããƒÃ ‡ãñŠ ´ãÀ㠆Ìã⠆‡ãŠ Œãã¦ã㠇ãŠãñ ºããè‚ããƒÃ†¹ãŠ‚ããÀ ‡ãñŠ ´ãÀã ãä¶ãØãæã account by winding up order passed by BIFR. ‚ããªñÍ㠇ãñŠ •ããäÀ† ºã¶ª ãä‡ãŠ¾ãã Øã¾ããý Corporate Debt Restructuring ‡ãŠãù¹ããñÃÀñ› ¨ãɥ㠹ãì¶ã: ÔãâÀÞã¶ãã As on March 31, 2010, the number of restructured borrowal accounts under CDR mechanism was 12 31-03-2010 ¦ã‡ãŠ Ôããè¡ãè‚ããÀ ¦ãâ¨ã ‡ãñŠ ¦ã֦㠹ãì¶ã: ÔãâÀãäÞã¦ã „£ããÀ Œãã¦ããò and the total outstanding was Rs. 335.60 crore (9 ‡ãŠãè Ôã⌾ãã 12 ©ããè †Ìã⠇ãìŠÊã ºã‡ãŠã¾ãã Á.335.60 ‡ãŠÀãñü¡ (31-03- cases with an outstanding of Rs. 176.05 crore 2009 ¦ã‡ãŠ Á.176.05 ‡ãŠÀãñü¡ ºã‡ãŠã¾ã㠇ãñŠ 9 ½ãã½ãÊãñ) ©ãã, ãä•ãÔã½ãò outstanding as on 31.3. 2009) of which 10 accounts Á.285.66 ‡ãŠÀãñü¡ ‡ãñŠ 10 Œãã¦ãñ ½ãã¶ã‡ãŠ Ñãñ¥ããè †Ìãâ Á.49.94 ‡ãŠÀãñü¡ ‡ãñŠ for Rs. 285.66 crore are under standard category and 2 accounts for Rs. 49.94 crore are sub-standard. 2 Œãã¦ãñ ‚ãÌã½ãã¶ã‡ãŠ Ñãñ¥ããè ‡ãñŠ Ööý ÌãÓãà ‡ãñŠ ªãõÀã¶ã Á.173.88 ‡ãŠÀãñü¡ ‡ãñŠ During the year, 3 new standard accounts entered ‡ãìŠÊ㠄£ããÀ ÔããäÖ¦ã 3 ¶ã† ½ãã¶ã‡ãŠ Œãã¦ãñ Ôããè¡ãè‚ããÀ ¹ãÆ¥ããÊããè ½ãò Íãããä½ãÊã CDR mechanism with total exposure of Rs. 173.88 Öì†ý ‚ãÌã½ãã¶ã‡ãŠ Œãã¦ããò ‡ãŠãè ÌãÔãîÊããè Öñ¦ãì ¹ãƾããÔ㠕ããÀãè Öõý crore . Efforts are on for recovery of sub-standard accounts. ãä¶ãÌãñÍã Investments ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã ãä¶ãÌãñÍã ½ãò Ìãðãä® ¹ãÆÔ¦ãì¦ã: ÔããâãäÌããä£ã‡ãŠ ¦ãÀÊã¦ãã The growth in investments during the year 2009-10 ‚ã¹ãñàãã‚ããò ½ãò Ìãðãä® ‡ãñŠ ‡ãŠãÀ¥ã ‡ãŠãè •ããñ ãä‡ãŠ, ¹ãƽãìŒã¦ã: ºãö‡ãŠ ‡ãŠãè •ã½ãã‚ããò ½ãò was mainly driven by the increase in Statutory Ìãðãä® ‡ãñŠ ¹ããäÀ¥ãã½ã ÔÌã¹㠩ããèý ãä¹ãœÊãñ ÌãÓãà ‡ãŠãè ¦ãìÊã¶ãã ½ãò 20.65% ‡ãŠãè Liquidity requirements resulting mainly out of Deposit Ìãðãä® ª•ãà ‡ãŠÀ¦ãñ Öì† ã䪶ããâ‡ãŠ 31-03-2009 ¦ã‡ãŠ Á.30,497.19 ‡ãŠÀãñü¡ growth of the bank. Gross Domestic Investments as of March 31, 2010 stood at Rs. 36,795.09 crore as ‡ãñŠ ½ãì‡ãŠãºãÊãñ ã䪶ããâ‡ãŠ 31-03-2010 ¦ã‡ãŠ Ôã‡ãŠÊã ÜãÀñÊãî ãä¶ãÌãñÍã Â. against Rs. 30,497.19 crore as on 31.03.2009 36795.09 ‡ãŠÀãñ¡ ÀÖãèý ÌãÓãà ‡ãñŠ ªãõÀã¶ã †Ôã†Êã‚ããÀ ¹ãÆãä¦ã¼ãîãä¦ã ½ãò registering a growth of 20.65% over the previous Á.5,516.11 ‡ãŠÀãñü¡ ¾ãã 20.67% ‡ãŠãè Ìãðãä® ª•ãà ‡ãŠãè Øã¾ããè •ãºã ãä‡ãŠ year. Investments in SLR securities registered a ØãõÀ-†Ôã†Êã‚ããÀ ãä¶ãÌãñÍã ½ãò Á.709.21 ‡ãŠÀãñü¡ ¾ãã 18.62% ‡ãŠãè Ìãðãä® growth of Rs.5,516.11 crore or 20.67% during the year while Non SLR Investments increased by ÖìƒÃý Rs.709.21 crore or 18.62%. ÌãÓãà 2009-2010 ‡ãñŠ ªãõÀã¶ã, Á.1,001.46 ‡ãŠÀãñü¡ ‡ãŠãè ¹ãÆãä¦ã¼ãîãä¦ã¾ããú, During the year 2009-10, securities for Rs.1,001.46 ãäºã‰ãŠãè ‡ãñŠ ãäÊㆠ„¹ãÊ㺣ã (††¹ãŠ†Ôã) Ôãñ ¹ããäÀ¹ãã‡ãŠ ½ãò ÀŒããè (†Þã›ã膽ã) crore were transferred from Available for Sale (AFS) to Held to Maturity (HTM) segment, Rs.2,216.70 crore ÔãñØã½ãò› ½ãò ‚ãâ¦ããäÀ¦ã ‡ãŠãè ØãƒÃ Á.2,216.70 ‡ãŠÀãñü¡ ‡ãŠãñ ¹ããäÀ¹ãã‡ãŠ ½ãò ÀŒããè from Held to Maturity (HTM) to Available for Sale (†Þã›ã膽ã) Ôãñ ãäºã‰ãŠãè ‡ãñŠ ãäÊㆠ„¹ãÊ㺣㠽ãò (††¹ãŠ†Ôã) ½ãò ‚ãâ¦ããäÀ¦ã ‡ãŠãè (AFS). As on 31.03.2010, the SLR securities held in Øã¾ããèý 31-03-2010 ¦ã‡ãŠ, †Þã›ã膽㠽ãò £ãããäÀ¦ã †Ôã†Êã‚ããÀ ¹ãÆãä¦ã¼ãîãä¦ã¾ããú HTM stood at 22.39% of DTL against the limit of ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀã ãä¶ã£ããÃãäÀ¦ã 25% Ôããè½ã㠇ãñŠ ¹ãÆãä¦ã 31-03- 25% prescribed by Reserve Bank of India, compared to 22.62% as on 31.03.2009. 2009 ¦ã‡ãŠ 22.62% ‡ãŠãè ¦ãìÊã¶ãã ½ãò 22.39% ÀÖãèý The market was volatile and the Bank continued to ºãã•ããÀ ‚ããäÔ©ãÀ ©ã㠂ããõÀ ºãö‡ãŠ ¶ãñ ¹ãîÀñ ÌãÓãà ½ãò ãä¶ã¾ã¦ã ‚ãã¾ã ¹ãÆãä¦ã¼ãîãä¦ã¾ããò trade both in Fixed Income Securities and Equities ‚ããõÀ ƒÃãä‡ã‹Ìã›ãè Íãñ¾ãÀãò ½ãò ‚ã¹ã¶ãã ̾ãã¹ããÀ ºã¶ãㆠÀŒããý ÌãÓãà 2008-09 throughout the year. Total turnover (Book Value) in the secondary market reached Rs.65,790 crore during ‡ãñŠ ªãõÀã¶ã Á.83,581 ‡ãŠÀãñü¡ ‡ãŠãè ¦ãìÊã¶ãã ½ãò ÌãÓãà 2009-10 ½ãò ãä´¦ããè¾ã‡ãŠ the year 2009-10 as against Rs.83,581 crore during ºãã•ããÀ ½ãò ‡ãŠãÀãñºããÀ ãä‡ãŠ† ØㆠÍãñ¾ãÀãò ‡ãìŠÊ㠹㥾ããÌã¦ãà (ºãÖãè ½ãîʾã) the year 2008-09. Total profit on sale of securities Á.65,790 ‡ãŠÀãñü¡ ÀÖãý ÌãÓãà 2009-10 ½ãò ¹ãÆãä¦ã¼ãîãä¦ã¾ããò ‡ãŠãè ãäºã‰ãŠãè Ôãñ amounted to Rs. 291.86 crore during the year ¹ãÆ㹦㠇ãìŠÊã Êãã¼ã Á.291.86 ‡ãŠÀãñü¡ ©ã㠕ãºã ãä‡ãŠ ÌãÓãà 2008-09 ½ãò ¾ãÖ 2009-10 as against Rs. 636.83 crores during the year 2008-09. Return on total investments (excluding 636.83 ‡ãŠÀãñü¡ ©ããý ‡ãìŠÊã ãä¶ãÌãñÍããò ¹ãÀ ¹ãÆãä¦ãÊãã¼ã (¹ãÆãä¦ã¼ãîãä¦ã¾ããò Ìã Profit on Sale of Securities & including amortisation) ¹ããäÀÍããñ£ã¶ã ‡ãŠãè ãäºã‰ãŠãè ¹ãÀ Êãã¼ã ‡ãŠãñ œãñü¡‡ãŠÀ) ÌãÓãà 2008-09 ‡ãñŠ 7.37% decreased from 7.37% in 2008-09 to 6.85% in ‡ãŠãè ¦ãìÊã¶ãã ½ãò ÌãÓãà 2009-10 ½ãò Ü㛇ãŠÀ 6.85% Öãñ Øã¾ããý 2009-10.

26 ºãö‡ãŠ ¶ãñ Á¹ã¾ãã ºãã•ããÀ ªÀ ÔÌãõ¹ã ½ãò ̾ãã¹ããÀ Íãì ãä‡ãŠ¾ã㠂ããõÀ 31-03- The Bank started trading in Rupee interest rate swap 2010 ‡ãŠãñ ºã‡ãŠã¾ãã Á.25 ‡ãŠÀãñü¡ ©ããý ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ and the outstanding as on 31.03.2010 was ‚ã¹ã¶ããè ‚ãããäÔ¦ã¾ããò ‚ããõÀ ªñ¾ã¦ãã‚ããò ‡ãñŠ Öñãä•ãâØ㠇ãñŠ ¹ãÆãä¦ã ‡ãŠãñƒÃ ¶ã¾ãã Á¹ã¾ãã Rs. 25 crore. During the year 2009-10, the Bank has not entered into any fresh rupee interest rate º¾ãã•ã ªÀ ÔÌãõ¹ã ¶ãÖãé ãä‡ãŠ¾ãã Öõ Êãñãä‡ãŠ¶ã ¹ãÖÊãñ Ôãñ ãäÊㆠØㆠÔÌãõ¹ã Á.750 swaps towards hedging its assets and liabilities but ‡ãŠÀãñü¡ ‡ãŠãè À‡ãŠ½ã ‡ãñŠ ãäÊㆠ¹ããäÀ¹ã‡ã‹Ìã Öãñ ØㆠÖöý 31-03-2009 ‡ãŠãñ swaps already taken matured for a sum of Rs.750 Á.1,800 ‡ãŠÀãñü¡ ‡ãñŠ ¹ãÆãä¦ã ºãö‡ãŠ ´ãÀã £ãããäÀ¦ã ‡ãìŠÊã Á¹ã¾ãñ º¾ãã•ã ªÀ ÔÌãõ¹ã crore during the year. The total Rupee interest rate 31-03-2010 ‡ãŠãñ Á.1,075 ‡ãŠÀãñü¡ ÀÖãý swaps held by the Bank as on 31.03.2010 is Rs. 1075 crore as against Rs 1800 crore as on ¹ãŠãùÀñ‡ã‹Ôã ¹ããäÀÞããÊã¶ã 31.03.2009. ÌãõãäÍÌã‡ãŠ ½ãâªãè ‡ãñŠ ‡ãŠãÀ¥ã ¾ã²ããä¹ã ¼ããÀ¦ããè¾ã ãä¶ã¾ããæããò ¹ãÀ ºãìÀã ¹ãü¡ã ãä¹ãŠÀ ¼ããè Forex Operations ºãö‡ãŠ ¶ãñ ÌãÓãà 2008-09 ‡ãñŠ ªãõÀã¶ã Á.3,02,696.52 ‡ãŠÀãñü¡ ‡ãŠãè Despite the global recession that badly hit the Indian ¦ãìÊã¶ãã ½ãò 2009-10 ½ãò Á.3,11,619.04 ‡ãŠÀãñü¡ ¦ã‡ãŠ ‚ã¹ã¶ãñ ¹ãŠãùÀñ‡ã‹Ôã exports, the Bank managed to increase its forex turn ‡ãìŠÊã ãäºã‰ãŠãè (̾ãã¹ããÀãè †Ìã⠂ãâ¦ãÀ ºãö‡ãŠ) ‡ãŠãñ ºãü¤ã¾ããý ƒÔããè ‚ãÌããä£ã ‡ãñŠ over (merchant and interbank) from Rs.3,02,696.52 ªãõÀã¶ã ÔÌã¥ãà ãäÔã‡ã‹‡ãñŠ ‡ãŠãè ŒãìªÀã ãäºã‰ãŠãè 614.252 ãä‡ãŠ.ØãÆã. Ôãñ ºãü¤‡ãŠÀ crore during 2008-09 to Rs.3,11,619.04 crore during 2009-10. The retail sales of gold coins rose from 928.440 ãä‡ãŠ.ØãÆã. Öãñ Øã¾ããèý 614.252 Kgs to 928.440 Kgs during the same period. ºãö‡ãŠ ¶ãñ ‡ãŠãñÀ ºãöãä‡ãâŠØã ¹Êãñ›¹ãŠãù½ãà ‡ãŠãè ÔãìãäÌã£ãã ¹ãƪã¶ã ‡ãŠÀ¦ãñ Öì† ãäÌããä¼ã¸ã The Bank has started centralization of submission ãäÌããä¶ã¾ãã½ã‡ãŠ ãäÀ›¶ãÃÔ㠇ãŠãè ¹ãÆÔ¦ãìãä¦ã ‡ãñŠ Ôãâ‡ãñŠ¶³ãè‡ãŠÀ¥ã ‡ãŠãè ÍãìÁ‚ãã¦ã ‡ãŠãè, of various regulatory returns leveraging the core- ãä•ãÔãÔãñ ‚ããú‡ãŠü¡ãò ‡ãŠãè †‡ãŠÂ¹ã¦ãã ½ãò Ôãì£ããÀ Öì‚ããý ‡ãŠãñÀ ºãöãä‡ãâŠØã ¹Êãñ›¹ãŠã½ãà banking platform thus improving the data integrity. The connectivity established between the core banking †Ìã⠂ããñÌãÀÔããèû•ã ÍããŒãã‚ããò ½ãò Ôãâ¹ã‡ãÊ Ô©ãããä¹ã¦ã Öãñ¶ãñ Ôãñ ¼ããÀ¦ã ½ãò ºãö‡ãŠ ‡ãñŠ platform and the overseas branches has eliminated Œãã¦ãã £ããÀ‡ãŠãò ‡ãŠãñ ‚ã¹ã¶ãñ ãäÌãªñÍããè ‡ãŠã¾ããÃÊã¾ããò Ôãñ ¼ãñ•ãñ Øã¾ãñ £ã¶ã ¹ãÆñÓã¥ããò ½ãò the delivery time in respect of overseas remittances ‚ãâ¦ãÀ¥ã Ôã½ã¾ã ½ãò ‡ãŠ½ããè ‚ãã¾ããèý ƒÔã‡ãñŠ ¹ããäÀ¥ãã½ãÔÌã¹ã, Êãã¼ãããä©ãþããò ‡ãñŠ emanating from its overseas offices to Bank’s Œãã¦ãñ ½ãò ¹ãÆñãäÓã¦ã ÀããäÍ㠦㦇ãŠãÊ㠕ã½ãã Öãñ •ãã¦ããè Öõý account holders in India. As a result, beneficiaries get instantaneous credit of the remitted amount. ãäÌãªñÍããè ‡ãŠã¾ããÃÊã¾ããò ‡ãŠãñ ¹ãƪã¶ã ãä‡ãŠ¾ãñ Øã¾ãñ ‡ãŠãñÀ ºãöãä‡ãâŠØã ¹Êãñ›¹ãŠãù½ãà ½ãò ‚ããä¼ãØã½ã The access to the core-banking platform provided ‡ãñŠ ‡ãŠãÀ¥ã ‚ããä¶ãÌããÔããè ØãÆãևãŠãò ‡ãŠãñ ºãö‡ãŠ ‡ãŠãè Ôã¼ããè ãäÌãªñÍããè ÍããŒãã‚ããò ½ãò to the overseas office has improved the service ¦ã¦‡ãŠãÊã ÍãñÓã ¹ãã㜠†Ìã⠌ãã¦ããò ‡ãñŠ ãäÌãÌãÀ¥ã ¹ãÆ㹦㠇ãŠÀ¶ãñ Ôãâºãâ£ããè ÔãñÌã㠇ãñŠ standards to the NRI clients with instantaneous ½ãã¶ã‡ãŠãò ½ãò Ôãì£ããÀ Öì‚ãã Öõý balance enquiries and generation of statement of accounts at all the overseas offices of the bank. ‚ããä¶ãÌããÔããè Œãã¦ã㠌ããñÊã¶ãñ ‡ãŠãñ ›Èñ•ãÀãè (ãäÌãªñÍããè) ½ãò †¶ã‚ããÀƒÃ ¹ãƇãŠãñӟ ½ãò Opening of NRI account has been centralized at the Ôãâ‡ãñŠã䶳¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõý ãäÌããä¼ã¸ã ãäÌãªñÍããè ‡ãŠã¾ããÃÊã¾ããò Ôãñ Œãã¦ã㠌ããñÊã¶ãñ NRI cell at Treasury (Foreign). The account opening ‡ãñŠ ¹ãƹã¨ã ‡ãŠãñ †¶ã‚ããÀ‚ããƒÃ ¹ãƇãŠãñӟ ½ãò †‡ãŠãä¨ã¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ †Ìãâ ØãÆãև㊠forms from various overseas offices are pooled at ‡ãñŠ ¹ãÔãâªãèªã ÍããŒã㠇ãŠãè ºããäÖ¾ããò ½ãò Œãã¦ãñ ŒããñÊãñ •ãã¦ãñ Öö †Ìãâ ãäºã¶ãã ãäÌãÊ㽺ã the NRI cell and accounts opened in the books of ‡ãñŠ „¶Öò †¶ã‚ããÀ‚ããƒÃ ãä‡ãŠ›, ãä•ãÔã½ãò ¹ããÔã ºãì‡ãŠ, Þãñ‡ãŠ ºãì‡ãŠ, †›ã膽㠇ãŠã¡Ã the branch of the client’s choice and an NRI kit †Ìãâ ãä¹ã¶ã ½ãñƒÊãÀ ÀŒãñ Øã¾ãñ Öö, ¹ãƪã¶ã ãä‡ãŠ¾ãñ •ãã¦ãñ Ööý comprising of the pass book, cheque book, ATM card and the Pin mailer is issued without loss of time. Ôãâ¹ã‡ãÊ ‡ãŠ¦ããà ºãö‡ãŠ, ãä•ã¶ã‡ãŠã ºãö‡ãŠ ‡ãñŠ Ôãã©ã Á¹ã¾ã㠌ãã¦ãã Öõ, ‡ãŠãñ ‚ã¹ã¶ãñ Œãã¦ããò The correspondent banks maintaining rupee account ¦ã‡ãŠ ¹ãÖìúÞã¶ãñ ‡ãñŠ ãäÊㆠ†Ìã⠂ã¹ã¶ãñ ¼ãìØã¦ãã¶ã Ôãâºãâ£ããè ãä¶ãªóÍããò †Ìã⠂ã¹ã¶ãñ with the bank have been provided a web-based ¡Èã¹ã‹›ãò ‡ãŠãè ¹ããäÀãäÔ©ããä¦ã Ôããä֦㠕ããúÞã Öñ¦ãì Ìãñºã ‚ãã£ãããäÀ¦ã ÔãìãäÌã£ãã ¹ãƪã¶ã facility to access their account and check the status ‡ãŠãè Øã¾ããè Öõý of their payment instructions including payment of their drafts. †¹ãŠƒÃ¡ã膂ããƒÃ ‡ãñŠ ªãäàã¥ã ¹ãƼããØ㠇ãñŠ ‚㣾ãà㠇ãñŠ ¹㠽ãò ºãö‡ãŠ ¶ãñ ÔãªÔ¾ã As Chairman of the southern chapter of FEDAI, the ºãö‡ãŠãò ‡ãŠãè ãä¦ã½ããÖãè ºãõŸ‡ãŠ ‡ãŠã ‚ãã¾ããñ•ã¶ã ãä‡ãŠ¾ãã, •ãÖãú ¹ãŠãùÀñ‡ã‹Ô㠇ãŠãÀãñºããÀ Ôãñ Bank conducted the quarterly meetings of the member Ôãâºãâãä£ã¦ã ½ãã½ãÊããò ¹ãÀ ÞãÞããà ‡ãŠãè ØãƒÃý banks where issues pertaining to the forex business were deliberated. ºãö‡ãŠ ¶ãñ ‚ãØãÔ¦ã 2009 †Ìãâ ¹ãŠÀÌãÀãè 2010 ‡ãñŠ ªãõÀã¶ã ãäÌããä¼ã¸ã ãä¶ã¾ããæããñ¶½ãìŒããè ÔãâØ㟶ããò, •ãõÔãñ ƒÃÔããè•ããèÔããè, ‡ãŠã„âãäÔãÊã ¹ãŠãùÀ ÊãñªÀ †‡ã‹Ôã¹ããñ›ÃÔã, The Bank conducted the meetings of the sub- committee of the State Level Bankers Committee for †¹ãŠ‚ããƒÃƒÃ‚ããñ, ƒÃƒÃ¹ããèÔããè ‚ãããäª ‡ãŠãè Ôããä‰ãŠ¾ã ÔãÖ¼ãããäØã¦ãã Ôãñ ãä¶ã¾ããæããò ‡ãñŠ Exports during August 2009 and February 2010 with ãäÊㆠÀ㕾ã Ô¦ãÀãè¾ã ºãö‡ãŠÔãà Ôããä½ããä¦ã ‡ãŠãè „¹ã-Ôããä½ããä¦ã ‡ãŠãè ºãõŸ‡ãŠãò ‡ãŠã ‚ã¾ããñ•ã¶ã active participation from various export-oriented ãä‡ãŠ¾ããý ºãö‡ãŠ ¶ãñ †¹ãŠ‚ããƒÃƒÃ‚ããñ ‡ãñŠ Ôãã©ã ãä½ãÊã‡ãŠÀ ½ãªìÀõ ½ãò †‡ãŠ ãä¶ã¾ããæã organizations such as ECGC, Council for Leather •ããØã‡㊦ã㠇ãŠã¾ãÉ㊽㠂ãã¾ããñãä•ã¦ã ãä‡ãŠ¾ããý Exports, FIEO, EEPC, etc. The Bank in association with FIEO organized an export awareness programme ¹ãŠãùÀñ‡ã‹Ôã ãä‰ãŠ¾ãã-‡ãŠÊãã¹ããò Ôãñ „¦¹ã¸ã Öãñ¶ãñ ÌããÊãñ Ôã¼ããè •ããñãäŒã½ããò ‡ãŠãñ Ôããè½ãã at Madurai. ÔããäÖ¦ã Ôããä½½ããäÊã¦ã ‡ãŠÀ¦ãñ Öì† ºããñ¡Ã ‡ãñŠ ´ãÀã Ôã½ãìãäÞã¦ã ¦ãÀãè‡ãñŠ Ôãñ ‚ã¶ãì½ããñã䪦ã A comprehensive Risk Management Policy, with limits †‡ãŠ Ôã½ãØãÆ •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¶ããèãä¦ã ÊããØãî Öõý ºããñ¡Ã ‡ãñŠ ´ãÀã Ôã½ãìãäÞã¦ã duly approved by the Board, covering all risks arising ¦ãÀãè‡ãñŠ Ôãñ ‚ã¶ãì½ããñã䪦㠽ãì³ãÌããÀ ã䪶㠇ãñŠ / Àããä¨ã ‡ãñŠ •ããñãäŒã½ããò ‡ãŠã ªõãä¶ã‡ãŠ out of forex activities, is in place. Currency-wise Day-

27 ‚ãã£ããÀ ¹ãÀ ¹ãƺããñ£ã¶ã ãä‡ãŠ¾ã㠕ãã ÀÖã Öõý „£ããÀ •ããñãäŒã½ã, †‡ãŠÊã-Ôããõªã Light/Overnight exposures, duly approved by the Ôããè½ã㠆Ìãâ Öããä¶ã-Àãñ£ã Ôããè½ãã‚ããò (¹ãÆãä¦ã Ôããõªã / ¹ãÆãä¦ã ̾ãã¹ããÀãè ¹ãÆãä¦ã ã䪶ã) Board, are being monitored on daily basis. Counter- ‡ãŠãñ ‡ãŠÌãÀ ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ¹ãÆãä¦ã-¹ãã›ãê Ôããè½ãã‚ããò ‡ãŠã ¹ãƼããÌããè ¹ã Ôãñ ¹ãƺããñ£ã¶ã party limits to cover the credit exposure, single-deal limit and stop-loss limits (per deal /per dealer per ãä‡ãŠ¾ã㠕ãã ÀÖã Öõý day) are being monitored effectively. ‰ãñŠã䡛 ‡ãŠã¡Ã Credit Card ºãö‡ãŠ ‡ãŠã ‚ã¹ã¶ãã ÌããèÔãã ¾ãì‡ã‹¦ã ‰ãñŠã䡛 ‡ãŠã¡Ã ‚ã¹ã¶ãñ ØãÆãևãŠãò ‡ãŠãè ‚ããÌã;ã‡ãŠ¦ãã‚ããò The Bank’s own Visa enabled Credit Card is catering ‡ãŠãñ ¹ãîÀ㠇ãŠÀ ÀÖã Öõ †Ìã⠇ãìŠÊ㠹㥾ããÌã¦ãà ½ãò ãä¹ãœÊãñ ÌãÓãà ‡ãŠãè ¦ãìÊã¶ãã ½ãò to the requirements of its clientele and the turnover 26.23% ‡ãŠãè Ìãðãä® ÖìƒÃ †Ìãâ ãä¶ãÌãÊ㠂ãã½ãª¶ããè Á.291.70 ÊããŒã Öõ has increased by 26.23% over last year and the net earnings is Rs. 291.70 lakhs - an increase of 14%. †Ìã⠃Ôã½ãò 14% ‡ãŠãè Ìãðãä® ª•ãà ‡ãŠãè ØãƒÃý ÌãÓãà ‡ãñŠ ªãõÀã¶ã, Àã•ãÔÌã During the year, on a revenue sharing model, a tie ãäÖÔÔãñªãÀãè ¹ãÆãä¦ãªÍãà ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ØãÆãևãŠãò ‡ãñŠ ̾ãã¹ãããäÀ‡ãŠ ¹ãÆãä¦ãӟã¶ããò ½ãò up was made to venture into Card Acquiring ãäºã‰ãŠãè ›ãä½ãöãÊÔ㠇ãñŠ¶³ Ô©ãããä¹ã¦ã ‡ãŠÀ ‡ãŠã¡Ã ¹ãÆ㹦㠇ãŠÀ¶ãñ ‡ãñŠ ̾ãã¹ããÀ Ôãâºãâ£ããè business by deploying Point of Sale terminals at „²ã½ã ‡ãñŠ ãäÊㆠ†‡ãŠ Ôã½ã¢ããõ¦ãã ãä‡ãŠ¾ãã Øã¾ããý ‡ãŠãÔã㠕ã½ãã‚ããò ‡ãŠãñ ÔãìÒü¤ clients’ merchant establishments. This would serve ‡ãŠÀ¶ãñ ½ãò ƒÔã‡ãŠãè ½ãÖ¦Ìã¹ãî¥ãà ¼ãîãä½ã‡ãŠã ÖãñØããè †Ìãâ 500 ›ãä½ãöãÊÔã ¹ãÖÊãñ Öãè as a tool to build up CASA deposits and 500 terminals have already been installed. The Internet Ô©ãããä¹ã¦ã ãä‡ãŠ¾ã㠕ãã Þãì‡ãŠã Öõý ƒâ›À¶ãñ› ¼ãìØã¦ãã¶ã Øãñ› Ìãñ (‚ããƒÃ¹ããè•ããè), Payment Gateway (IPG), which was also launched ãä•ãÔãñ ƒÃ-‡ãŠãù½ãÔãà ¼ãìØã¦ãã¶ã ‡ãŠãñ Êããñ‡ãŠãä¹ãƾ㠺ã¶ãã¶ãñ ‡ãñŠ ãäÊㆠÍãì ãä‡ãŠ¾ãã Øã¾ãã to popularize E-commerce payment, is gaining ©ãã, ÌãÖ ‚ãºã Øããä¦ã ‚ããƒÃ Öõý momentum. ̾ãã¹ããÀãè ºãöãä‡ãâŠØã Merchant Banking ºãö‡ãŠ ¶ãñ ã䡺ãòÞãÀ ¶¾ããÔããè, ãä¶ãØãýããò ‡ãñŠ ãäÊㆠÌãÔãîÊããè ‡ãŠ¦ããà ºãö‡ãŠÀ ‚ããõÀ The Bank continues to act as Debenture Trustee, Collecting Bankers to Issues and Dividend/Interest Êãã¼ããâÍã / º¾ãã•ã ‚ãªã‡ãŠ¦ããà ºãö‡ãŠÀ ‡ãñŠ ¹㠽ãò ‚ã¹ã¶ããè ¼ãîãä½ã‡ãŠã ‡ãŠãñ •ããÀãè Paying Banker. During the year, the Bank decided ÀŒããý ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ ãä¶ã¥ãþã ãäÊã¾ãã ãä‡ãŠ to i) ¶ã¾ãñ ¦ããõÀ ¹ãÀ Íãì ãä‡ãŠ† Øㆠ‚ããƒÃ¹ããè‚ããñ ¹ãÆãä‰ãŠ¾ã㠆†Ôãºããè† (‚ãÌãÁ® i) act as Collecting Bankers for the newly ÀããäÍã¾ããò ‡ãñŠ ´ãÀã Ôã½ããä©ãæ㠂ã¶ãì¹ãƾããñØã) ‡ãñŠ ãäÊㆠÌãÔãîÊããè‡ãŠ¦ããà ºãö‡ãŠ introduced IPO process ASBA (Applications ‡ãñŠ ¹㠽ãò ‡ãŠã½ã ‡ãŠÀ¶ããý Supported by Blocked Amounts). ii) ¼ãìØã¦ãã¶ã ‡ãŠÀ¶ãñ ÌããÊãñ ºãö‡ãŠÔãà ‡ãñŠ ¹㠽ãò Êãã¼ããâÍã / º¾ãã•ã ÌããÀ⛠‡ãñŠ ii) change the procedure for handling Dividend/ ¹ãƺãâ£ã¶ã Öñ¦ãì ¹ãÆãä‰ãŠ¾ã㠇ãŠãñ ºãªÊãòý ƒÔã‡ãñŠ ãäÊㆠ‚ããÌã;ã‡ãŠ Interest Warrants as Paying Bankers. Necessary computer programme for this has been ‡ã⊹¾ãî›À ¹ãÆãñØãÆã½ã ãäÌã‡ãŠãäÔã¦ã ãä‡ãŠ† ØㆠÖö †Ìã⠃Ôã‡ãŠã Ôã¹ãŠÊã¦ãã¹ãîÌãÇ㊠developed and successfully tested. ¹ãÀãèàã¥ã ãä‡ãŠ¾ãã Øã¾ãã Öõý Depository Operations ãä¶ãàãñ¹ããØããÀ ¹ããäÀÞããÊã¶ã The Bank is a Depository Participant of NSDL and ºãö‡ãŠ †¶ã†Ôã¡ãè†Ê㠇ãŠã ãä¶ãàãñ¹ããØããÀ ¹ãÆãä¦ã¼ããØããè Öõ †Ìãâ 56 ÔãñÌã㠇ãñŠ¶³ is extending depository related services through 56 ÍããŒãã‚ããò (Þãñ¸ãõ ãäÔ©ã¦ã ãä¶ã¾ãâ¨ã¥ã‡ãŠ¦ããà ãä¶ãàãñ¹ããØããÀ ÍããŒãã ÔããäÖ¦ã) ‡ãñŠ •ããäÀ† service centre branches (including the controlling Chennai Depository branch), of which 14 branches ãä¶ãàãñ¹ã Ôãâºãâ£ããè ÔãñÌãã†ú ¹ãƪã¶ã ‡ãŠÀ ÀÖã Öõ, ãä•ãÔã½ãò 14 ÍããŒãã†ú Þãñ¸ãõ ½ãò, are in Chennai, 25 in Mumbai and the remaining in 25 ÍããŒãã†ú ½ã콺ãƒÃ ½ãò †Ìãâ ÍãñÓ㠂㶾㠶ãØãÀãò ½ãò Ööý other cities. ¨ãÉ¥ã Ôã½ãîֶ㠇ãŠã¾ãÇãŠÊãã¹ã Loan Syndication Activities: ºãö‡ãŠ ‡ãñŠ ̾ãã¹ããÀãè ºãöãä‡ãâŠØã ¹ãƼããØ㠇ãñŠ ¨ãÉ¥ã Ôã½ãîֶ㠡ñԇ㊠¶ãñ ¨ãÉ¥ã Ôã½ãîÖ¶ã Loan Syndication Desk of the Merchant Banking ãä‰ãŠ¾ãã-‡ãŠÊãã¹ã Ôãñ ¹ãÆ㹦ã Êãã¼ã ‡ãŠã ¹ãîÀ㠄¹ã¾ããñØã ãä‡ãŠ¾ãã Öõý ºãö‡ãŠ ¶ãñ ¼ããÀ¦ã ½ãò Division of the Bank took advantage of the benefits arising out of syndication activity. The Bank has acted ¦ã©ãã ãäÌãªñÍã ½ãò ªñÍããè¾ã †Ìãâ ãäÌãªñÍããè ½ãì³ã ½ãò ‡ã⊹ããä¶ã¾ããò ‡ãŠãñ ‰ãŠ½ãÍã: ¼ããÀ¦ããè¾ã as Lead Arranger/Co-Lead Arranger for loans to Á¹ã¾ãñ †Ìãâ ¾ãî†Ôã ¡ãùÊãÀ ½ãò ¨ãɥ㠄¹ãÊ㺣㠇ãŠÀã¶ãñ ½ãò ‚ãØãÆ¥ããè ̾ãÌãÔ©ãã¹ã‡ãŠ Companies in India and abroad both in INR and / ÔãÖ ‚ãØãÆ¥ããè ̾ãÌã¾ãÔ©ãã¹ã‡ãŠ ‡ãŠãè ¼ãîãä½ã‡ãŠã ãä¶ã¼ããƒÃ Öõý ÌãÓãà ‡ãñŠ ªãõÀã¶ã, USD respectively. During the year, the Bank achieved ºãöâ‡ãŠ ¶ãñ Á.645 ‡ãŠÀãñü¡ ‡ãñŠ ãä½ã¾ããªãè ¨ãÉ¥ã Ü㛇㊠Ôããä֦㠺ãü¡ñ Ôã½ãîÖ¶ã Öñ¦ãì financial closure for a large syndication proposal with ãäÌ㦦ããè¾ã ‡ã‹Êããñ•ãÀ ¹ãÆ㹦ã ãä‡ãŠ¾ãã Öõý Á.1,475 ‡ãŠÀãñü¡ ‡ãñŠ ¨ãÉ¥ã Ü㛇㊠‡ãñŠ a term loan component of Rs.645 crores. Tie-up with other banks in respect of another syndication ãäÊㆠ†‡ãŠ ‚ããõÀ Ôã½ãîֶ㠹ãÆÔ¦ããÌ㠇ãñŠ Ôãâºãâ£ã ½ãò ‚㶾㠺ãö‡ãŠãò ‡ãñŠ Ôãã©ã Ø㟺ãâ£ã¶ã proposal for a debt component of Rs.1,475 crores is ‡ãŠãè ¹ãÆãä‰ãŠ¾ãã ¹ãÆØããä¦ã ¹ãÀ Öõý under progress. ÔãÀ‡ãŠãÀãè ÊãñŒãã Government Accounts ¹ãƦ¾ãà㠇ãŠÀ ÌãÔãîãäÊã¾ããú Direct Tax Collections ºãö‡ãŠ 354 ÍããŒãã‚ããò ‡ãñŠ •ããäÀ† ‚ããù¶ã Êãヶ㠛õ‡ã‹Ô㠂ã‡ãŠã„ã䶛âØã ãäÔãԛ½ã The Bank is authorised to collect Income Tax and (‚ããñ†Êã›ã膆Ôã)Ôãñ ¼ããõãä¦ã‡ãŠ ÞããÊãã¶ããò ‡ãŠãè ÔÌããè‡ãðŠãä¦ã ´ãÀ㠂ãã¾ã‡ãŠÀ ‚ããõÀ other Direct Taxes through On Line Tax Accounting ‚㶾㠹ãƦ¾ãà㠇ãŠÀ ‡ãŠãè ÌãÔãîÊããè ‡ãñŠ ãäÊㆠ¹ãÆããä£ã‡ãðŠ¦ã Öõý ºãö‡ãŠ ‡ãŠãñ ¹ãƦ¾ãà㠇ãŠÀ System (OLTAS) in 354 branches. The Bank is given All India Authorisation to receive e-Payment of Direct ‡ãŠã ÔãâØãÆ֥㠃Ã-¼ãìØã¦ãã¶ã ‡ãñŠ •ããäÀ† ÔÌããè‡ãŠãÀ ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ‚ããäŒãÊã ¼ããÀ¦ããè¾ã Taxes and it has been implemented since 2007.

28 Ô¦ãÀ ¹ãÀ ¹ãÆããä£ã‡ãðŠ¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõ ‚ããõÀ ÌãÓãà 2007 Ôãñ ƒÔãñ ‡ãŠã¾ããÃãä¶Ìã¦ã Gemini Circle Branch, Chennai is functioning as e- ãä‡ãŠ¾ãã Øã¾ãã Öõý •ãñãä½ã¶ããè Ôããä‡ãÊÊã ÍããŒãã, Þãñ¸ãõ, ¹ãƦ¾ãà㠇ãŠÀ ÔãâØãÆ֥㠇ãñŠ Focal Point Branch for Direct Tax collections. TAN ãäÊㆠƒÃ-¹ãŠãñ‡ãŠÊã ¹ããƒâ› ÍããŒã㠇ãñŠ ¦ããõÀ ¹ãÀ ‡ãŠã¾ãà ‡ãŠÀ ÀÖãè Öõý ›õ¶ã ¡ã›ã data quality is 99.41% and PAN data quality is 98.35%. ‡ã‹ÌãããäÊã›ãè 99.41% †Ìãâ ¹ãõ¶ã ¡ã›ã ‡ã‹ÌãããäÊã›ãè 98.35% Öõý Indirect Tax Collections ‚ã¹ãƦ¾ãà㠇ãŠÀ ÔãâØãÆÖ¥ã The Bank is authorised to receive Indirect Taxes ºãö‡ãŠ ‡ãŠãñ 217 ÍããŒãã‚ããò ¹ãÀ ƒÊãñ‡ã‹›Èãùãä¶ã‡ãŠ ÊãñŒããâ‡ãŠ¶ã ¹ãÆ¥ããÊããè ‡ãñŠ •ããäÀ† through Electronic Accounting System in Excise and „¦¹ã㪠Íãìʇ㊠‚ããõÀ ÔãñÌã㠇ãŠÀ (ƒÃ††Ôã‚ããƒÃƒÃ†Ôã›ãè) •ãõÔãñ ‚ã¹ãƦ¾ãà㠇ãŠÀ Service Tax (EASIEST) in 217 branches. The Bank ¹ãÆ㹦㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ¹ãÆããä£ã‡ãðŠ¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõý ºãö‡ãŠ ‡ãŠãñ „¦¹ã㪠Íãìʇ㊠is given all-India authorization to receive e-payment ‚ããõÀ ÔãñÌã㠇ãŠÀ ‡ãŠãè ƒÃ-¹ãñ½ãñ¶› ¹ãÆ㹦㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ‚ããäŒãÊã ¼ããÀ¦ããè¾ã of Excise and Service Taxes which has been implemented since December 2006. Haddows Road ¹ãÆããä£ã‡ãŠÀ¥ã ¹ãÆ㹦ã Öì‚ãã Öõ ãä•ãÔã‡ãŠã ‡ãŠã¾ããöÌã¾ã¶ã ãäªÔ㽺ãÀ 2006 Ôãñ Öãñ Branch, Chennai is functioning as e-Focal Point ÀÖã Öõý Öõ¡ãñ•ã Àãñ¡ ÍããŒãã, Þãñ¸ãõ, ‡ãñŠ¶³ãè¾ã „¦¹ã㪠Íãìʇ㊠ÔãâØãÆ֥㠇ãŠã Branch for collection of Central Excise and Nariman ƒÃ-¹ãŠãñ‡ãŠÊã ¹ãã⛠ÍããŒã㠇ãñŠ ¹㠽ãò †Ìãâ ¶ãÀãè½ã¶ã ¹Ìããƒâ› ÍããŒãã, ½ã콺ãƒÃ ‡ãŠãñ Point Branch, Mumbai is functioning as e-Focal Point ÔãñÌã㠇ãŠÀ •ãõÔãñ ‚ã¹ãƦ¾ãà㠇ãŠÀ ÔãâØãÆ֥㠇ãñŠ ãäÊㆠƒÃ-¹ãŠãñ‡ãŠÊã ¹Ìããƒâ› ÍããŒãã Branch for Service Tax. ‡ãñŠ ¦ããõÀ ¹ãÀ ‡ãŠã¾ãà ãä‡ãŠ¾ãã Øã¾ãã Öõý Payment of Pension ¹ãòÍã¶ã ‡ãŠã ¼ãìØã¦ãã¶ã The Bank handles payment of Pension in respect of Central Civil, Defence, Railways, Telecom, State ºãö‡ãŠ ‡ãñŠ¶³ãè¾ã ãäÔããäÌãÊã, Ààãã, ÀñÊãÌãñ, ›ñÊã‡ãŠãù½ã ‚ããõÀ À㕾ã ÔãÀ‡ãŠãÀãò, Governments, TNEB, Chennai Port Trust, Employees’ ›ã膶ãƒÃºããè, Þãñ¸ãõ ¹ããñ›Ã ›Èԛ, ‡ãŠ½ãÃÞããÀãè ¼ããäÌãÓ¾ã ãä¶ããä£ã ÔãâØ㟶㠹ãòÍã¶ã Provident Fund Organisation Pension, Malaysian ‚ããõÀ ½ãÊãñãäÍã¾ã¶ã ÔãÀ‡ãŠãÀ ¹ãòÍã¶ã ‚ããõÀ ‡ãŠãñ¾ãÊã㠌ã¶ã¶ã ¼ããäÌãÓ¾ã ãä¶ããä£ã ¹ãòÍã¶ãÀãò Government Pension and Coal Mines Provident Ôãñ Ôãâºãâãä£ã¦ã ¹ãòÍã¶ã ¼ãìØã¦ãã¶ããò ‡ãŠãñ Ôãâ¼ããÊã¦ãã Öõý Fund Pensioners. ºãö‡ãŠ ‡ãñŠ ‡ãñŠ¶³ãè¾ã ¹ãòÍã¶ã ÔãâÔãã£ã¶ã ‡ãñŠ¶³ (Ôããè¹ããè¹ããèÔããè) ‡ãŠãè Ô©ãã¹ã¶ã㠇ãŠãè Öõ The Bank has established Centralised Pension †Ìã⠕ã¶ãÌãÀãè 2009 Ôãñ Ôããè¹ããè¹ããèÔããè ´ãÀ㠇ãñŠ¶³ãè¾ã ãäÔããäÌãÊã ¹ãòÍã¶ã ‡ãŠã Processing Centre (CPPC) and Central Civil Pension is being paid by CPPC since January 2009. During ¼ãìØã¦ãã¶ã ãä‡ãŠ¾ã㠕ãã ÀÖã Öõý ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ œŸò Ìãñ¦ã¶ã ‚ãã¾ããñØ㠇ãñŠ the year, the Bank completed disbursement of pension ‚㶦ãØãæã ÔãÀ‡ãŠãÀ ‡ãñŠ ãäªÍãã-ãä¶ãªóÍããò ‡ãñŠ ¦ã֦㠹ãòÍã¶ã ºã‡ãŠã¾ãñ ‡ãñŠ ÔãâãäÌã¦ãÀ¥ã arrears under 6th Pay Commission for Civil and ¦ã©ãã Ààãã ¹ãòÍã¶ãÀãò ‡ãŠã ÔãâãäÌã¦ãÀ¥ã ‡ãŠã¾ãà ¹ãîÀã ãä‡ãŠ¾ããý Defence Pensioners, as per Government directives. ›Èñ•ãÀãè Treasury ¦ããä½ãÊã ¶ãã¡ì ÔãÀ‡ãŠãÀ ‡ãŠã ›Èñ•ãÀãè ̾ãã¹ããÀ 9 ÍããŒãã‚ããò ½ãò †Ìã⠄ü¡ãèÔãã Treasury Business of the Government of Tamil Nadu ÔãÀ‡ãŠãÀ ‡ãŠã ›Èñ•ãÀãè ̾ãã¹ããÀ 1 ÍããŒãã ½ãò ÞãÊã ÀÖã Öõý ÖãÊã ½ãò, ¦ããä½ãÊã¶ãã¡ì is conducted in 9 branches and Government of Orissa in 1 branch. Recently, Valliyoor Branch (Tirunelveli ‡ãŠãè ÌããäÊÊã¾ãîÀ ÍããŒãã (ãä¦ãÁ¶ãñÊãÌãñÊããè àãñ¨ã) †Ìã⠆¹¹ããñªì½ã Ìãñ¶¡Èã¶ã Region) and Eppodum Vendran Branch (Tuticorin (¦ãî¦ããè‡ãŠãñÀãè¶ã àãñ¨ã) ÍããŒã㠇ãŠãñ ›Èñ•ãÀãè ̾ãã¹ããÀ ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ¹ãÆããä£ã‡ãðŠ¦ã Region) in Tamil Nadu have also been authorised ãä‡ãŠ¾ãã Øã¾ãã Öõý by the RBI to conduct treasury business. ‚㶾ã ÔãÀ‡ãŠãÀãè ̾ãã¹ããÀ Other Government Business ºãö‡ãŠ ¼ããÀ¦ã ÔãÀ‡ãŠãÀ ‡ãŠãè ºãÞã¦ã ¾ããñ•ã¶ãã‚ããò, •ãõÔãñ ÌããäÀӟ ¶ããØããäÀ‡ãŠ ºãÞã¦ã The Bank actively participates in the Government of ¾ããñ•ã¶ãã 2004, ãäÀãäÊã¹ãŠ ºããù¥¡, ãäÌãÍãñÓ㠕ã½ãã ¾ããñ•ã¶ã㠆Ìãâ Êããñ‡ãŠ ¼ããäÌãÓ¾ã India Savings Schemes like Senior Citizens Savings Scheme 2004, Relief Bond, Special Deposit Scheme, ãä¶ããä£ã ½ãò Ôããä‰ãŠ¾ã¦ãã¹ãîÌãÇ㊠¼ããØã Êãñ¦ãã Öõý ¦ããä½ãÊã¶ãã¡ì ½ãò 42 ÍããŒãã‚ããñâ and Public Provident Fund. Post Office collection ¹ãÀ ¡ã‡ãŠ ÜãÀ ÔãâØãÆ֥㠌ãã¦ã㠇ãŠã ‚ã¶ãìÀàã¥ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý Account is maintained in 42 branches in Tamil Nadu. ½ãì³ã ãä¦ã•ããñÀãè Currency Chest ºãö‡ãŠ ‡ãŠãè ‡ãìŠÊã 34 ½ãì³ã ãä¦ã•ããñãäÀ¾ããú Ööý ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã ‚ããõÀ The Bank has 34 Currency Chests; which includes ªãñ ½ãì³ã ãä¦ã•ããñÀãè ƒÃÀãñ¡ (ƒÃÀãñ¡ àãñ¨ã) †Ìãâ Øã•ã¹ããä¦ã¶ãØãÀ (ºãÆÚã¹ãìÀ àãñ¨ã) ½ãò Two Currency Chests opened at Erode (Erode ŒããñÊãñ Øã¾ãñý Region) and Gajapathinagar (Berhampur Region) during 2009-10. ‚ãâ¦ãÀ ÍããŒãã Ôã½ãã£ãã¶ã Inter Branch Reconciliation ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãä¶ãªóÔãã¶ãìÔããÀ ‚ãヺããè‚ããÀ Œãã¦ããò ‡ãñŠ Ôã¼ããè ¶ãã½ãñ The Reserve Bank of India directive stipulates that ‚ããõÀ •ã½ãã ¹ãÆãäÌããäӛ¾ããò ‡ãŠã 6 ½ããÖ ‡ãŠãè ‚ãÌããä£ã ½ãò Ôã½ãã£ãã¶ã/ãä¶ãÀÔã¶ã ãä‡ãŠ¾ãã all debit and credit entries in the IBR accounts are •ãã¶ã㠂ã¹ãñãäàã¦ã Öõý ºãö‡ãŠ Ôã½ãã£ãã¶ã Þã‰ãŠ ‡ãŠãñ ‡ãŠ½ã ‡ãŠÀ¶ãñ, ‡ãŠ½¹ããÔ㠂ããõÀ ½ããâØã required to be reconciled / eliminated within a period ¡Èã¹ã‹›ãò ‡ãŠãè ¶ãã½ãñ ¹ãÆãäÌããäӛ¾ããò ‡ãŠãñ 15 ã䪶ããò ½ãò ãä¶ãÀÔã¶ã ‡ãŠÀ¶ãñ ½ãò Ôã¹ãŠÊã of 6 months. The Bank has significantly reduced the ÀÖãý ºãö‡ãŠ ¾ãÖ ¼ããè Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¦ãã Öõ ãä‡ãŠ ‡ãŠãñƒÃ ¼ããè ãä¶ããä£ã ‚ãâ¦ãÀ¥ã ‚ããõÀ reconciliation cycle, elimination of the COMPASS and ¦ããÀ ‚ãâ¦ãÀ¥ã ¹ãÆãäÌããäӛ †‡ãŠ ½ãÖãè¶ãñ Ôãñ ‚ããä£ã‡ãŠ ‚ãÌããä£ã ‡ãñŠ ãäÊㆠºã‡ãŠã¾ãã Demand Draft debit entries to 15 days. Besides, the Bank ensures that no funds transfer and telegraphic ¶ãÖãé Öõý transfer entry is outstanding for more than one month.

29 ãä¶ãÀãèàã¥ã Inspection ãä¶ãÀãèàã¥ã ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã ‡ãñŠ¶³ãè¾ã ‡ãŠã¾ããÃÊã¾ã ‡ãŠã ãä¶ãÀãèàã¥ã, Central Office Inspection, along with EDP Audit and ƒÃ¡ãè¹ããè ÊãñŒãã-¹ãÀãèàãã ¦ã©ãã ãä¶ã¹ãÔãã ÔããäÖ¦ã 1,633 ÍããŒãã‚ããò ½ãò ãä‡ãŠ¾ãã NIPSA, was carried out in 1,633 branches during the year 2009-10. Since all branches were converted Øã¾ããý Þãîúãä‡ãŠ Ôã¼ããè ÍããŒãã†ú Ôããèºããè†Ôã Öãñ ØãƒÃ Öö, ‚ã¦ã: Ôã¼ããè ÍããŒãã‚ããò to CBS, inspection was conducted in all the ‡ãŠã ‚ããù¶ãÊãヶã ãä¶ãÀãèàã¥ã ãä‡ãŠ¾ãã Øã¾ããý ãä¶ãÀãèàã¥ã ‡ãŠãè Øã¾ããè ÍããŒãã‚ããò ½ãò Ôãñ branches on-line. Out of the branches inspected, 451 451 ÍããŒãã‚ããò ‡ãŠã Ñãñ¥ããè-ãä¶ã£ããÃÀ¥ã “‚ãޜ㔠ã䪾ãã Øã¾ããý branches were rated as “Good”. ƒÔ㠂ãÌããä£ã ‡ãñŠ ªãõÀã¶ã ¹ãÆãä¦ããä¶ããä£ã ‡ãŠã¾ããÃÊã¾ããò ‡ãŠãñ Íãããä½ãÊã‡ãŠÀ ÖãâØ㠇ãŠãâØã, Inspection of Hong Kong, Singapore, Seoul, Bangkok ãäÔãâØãã¹ãìÀ, ÔããñÊã, ºãö‡ãŠãù‡ãŠ Ì㠇ãŠãñÊãâºããñ ÍããŒãã‚ããò ‡ãŠã ¼ããè ãä¶ãÀãèàã¥ã ãä‡ãŠ¾ããý and Colombo branches including Representative Offices were also conducted during the period. àãñ¨ããè¾ã ‡ãŠã¾ããÃÊã¾ããò ´ãÀã ÍããŒãã‚ããò ½ãò ‚ãʹã‡ãŠãÊããè¶ã ãä¶ãÀãèàã¥ã ãä‡ãŠ¾ãã Øã¾ããý Regional Offices carried out periodical Short ƒÔ㠂ãÌããä£ã ‡ãñŠ ªãõÀã¶ã 41 àãñ¨ããè¾ã ‡ãŠã¾ããÃÊã¾ããò ‚ããõÀ ‡ãòŠ³ãè¾ã ‡ãŠã¾ããÃÊã¾ã ‡ãñŠ Inspection of Branches. Management Audit of all 41 34 ãäÌã¼ããØããò ½ãò ¹ãƺãâ£ã¶ã ÊãñŒãã ¹ãÀãèàãã ¼ããè ¹ãîÀãè ‡ãŠãè ØãƒÃý ºãö‡ãŠ ‡ãñŠ ‡ãŠãÀãñºããÀ Regional Offices and 34 Central Office Departments ‡ãñŠ ‡ãŠ½ã Ôãñ ‡ãŠ½ã 50% ‡ãŠãñ ¹ãîÀ㠇ãŠÀ¶ãñ ‡ãñŠ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªÃñÍããò was also conducted during this period. Total of 336 branches were brought under Concurrent Audit ‡ãŠãñ ¹ããÀ ‡ãŠÀ¦ãñ Öì† 58.23% ‡ãñŠ •ã½ã㠇ãŠãÀãñºããÀ ‚ããõÀ 74.78% ‡ãñŠ covering 58.23% of Deposits and 74.78% of ‚ããäØãƽããò ÌããÊããè ‡ãìŠÊã 336 ÍããŒãã‚ããò ‡ãŠãñ Ôã½ãÌã¦ããê ÊãñŒãã-¹ãÀãèàã㠇ãñŠ ¦ãÖ¦ã Advances, thereby exceeding RBI guidelines of Êãã¾ãã Øã¾ããý 1,419 ÍããŒãã‚ããò ½ãò Àã•ãÔÌã ÊãñŒãã-¹ãÀãèàã㠂ããõÀ 334 covering at-least 50% of Bank’s Business. Revenue ÍããŒãã‚ããò ½ãò ¶ã½ãî¶ã㠕ããúÞã ÊãñŒãã-¹ãÀãèàã㠇ãŠãè ØãƒÃý Þãìãä¶ãâªã ‚ãã£ããÀ ¹ãÀ Audit was carried out in 1,419 branches and Test 754 Œãã¦ããò ‡ãŠãè ԛãù‡ãŠ ÊãñŒãã-¹ãÀãèàã㠇ãŠãè ØãƒÃý Check Audit in 334 branches. Stock Audit was conducted for 754 accounts on selective basis. Ôã¼ããè 1633 ÍããŒãã‚ããò ½ãò •ããñãäŒã½ã ‚ãã£ãããäÀ¦ã ‚ããâ¦ããäÀ‡ãŠ ÊãñŒãã-¹ãÀãèàãã Risk Based Internal Audit (RBIA) was conducted in (‚ããÀºããè‚ãテ) ‡ãŠãè ØãƒÃ, •ãÖãú ‡ãòŠ³ãè¾ã ‡ãŠã¾ããÃÊã¾ã ´ãÀã ãä¶ãÀãèàã¥ã ãä‡ãŠ¾ãã the 1633 branches, where CO Inspection was carried Øã¾ãã ©ããý àãñ¨ã ‡ãŠãè •ããñãäŒã½ã ‚ãã£ãããäÀ¦ã ¹ãÀñŒãã ºã¶ãã‡ãŠÀ ‚ããÀºããè‚ãテ ‡ãñŠ out. Management Audit of Regional Offices was also ¦ãÖ¦ã àãñ¨ããè¾ã ‡ãŠã¾ããÃÊã¾ããò ½ãò ¹ãƺãâ£ã¶ã ÊãñŒãã-¹ãÀãèàãã ¼ããè ‡ãŠãè ØãƒÃý conducted under RBIA by preparing Risk Profile of the Regions. Ôã¼ããè 41 àãñ¨ããè¾ã ‡ãŠ½¹¾ãî›À ‡ãñŠ¶³ãò, †‡ãŠ ãä¶ãàãñ¹ããØããÀ ÍããŒã㠆Ìãâ 321 Information Systems (IS) Audit was conducted in all ÍããŒãã‚ããò, ãä•ãÔã½ãò 4 ‚ã¹ãÌããªÔÌã¹㠺ãðÖ¦ã ÍããŒãã†ú †Ìãâ 96 ‚ã¹ãÌããªÔÌã¹ã the 41 Regional Computer Centres, one Depository ºãü¡ãè ÍããŒãã†ú ‚ããõÀ 221 ºãÖì¦ã ºãü¡ãè ÍããŒãã†ú Ôããä½½ããäÊã¦ã Öö, ÔãîÞã¶ãã branch and 321 branches, consisting of 4 ¹ãÆ¥ããÊããè (‚ãテÔã) ÊãñŒãã ¹ãÀãèàã㠇ãŠãè ØãƒÃý ¾ããñؾ㠺ããÖÀãè ÊãñŒãã-¹ãÀãèàã‡ãŠãò Exceptionally Extra Large, 96 Exceptionally Large and ´ãÀã ÔãîÞã¶ãã ¹ãÆ¥ããÊããè ‡ãŠãè Ôã½ããèàãã / ‡ãñŠ¶³ãè¾ã ‡ãŠã¾ããÃÊã¾ã ‡ãñŠ ãäÌã¼ããØããò ‡ãŠãè 221 Very Large branches. Information Systems Review / Audit of CO-Departments, viz. Data Centres and ÊãñŒãã ¹ãÀãèàãã ¾ãã¶ããè ¡ã›ã ‡ãñŠ¶³ Ìã ¡ãè‚ããÀ Ôãホ, ¶ãñ›Ìã‡ãÊ, ºãöãä‡ãâŠØã DR Site, Network, Core Banking Solution, ATM / Debit ÔãùʾãîÍã¶ã, †›ã膽ã/¡ñãäºã› ‡ãŠã¡Ã ¹ããäÀÞããÊã¶ã, ‚ããÀ›ãè•ããè†Ôã/†¶ãƒ†¹ãŠ›ãè Card operations, RTGS/NEFT Operations, Internet ¹ããäÀÞããÊã¶ã, ‚ãホãè ãäÌã¼ããØã ´ãÀã Ôãâ¼ããÊããè ØãƒÃ ƒ¶›À¶ãñ› ºãöãä‡ãâŠØã Ìã ½ããñºããƒÊã Banking and Mobile Banking handled by Information ºãöãä‡ãâŠØã, ‰ãñŠã䡛 ‡ãŠã¡Ã ¹ããäÀÞããÊã¶ã, ›Èñû•ãÀãè [ªñÍããè] Ìã [ãäÌãªñÍããè] ¹ããäÀÞããÊã¶ããò Technology Department, Credit Card operations, ‡ãŠãè ÊãñŒãã-¹ãÀãèàã㠇ãŠÀãƒÃ ØãƒÃý Treasury (Domestic) and Treasury (Foreign) operations were conducted by engaging Qualified External ÊãñŒãã-¹ãÀãèàã㠄¹ã Ôããä½ããä¦ã (††ÔãÔããè) Auditors. ã䪶ããâ‡ãŠ 26 ‚ãØãÔ¦ã 2008 ‡ãŠãñ Ôãâ¹ã¸ã ½ãâ¡Ê㠇ãŠãè ºãõŸ‡ãŠ ½ãò ÊãñŒãã-¹ãÀãèàãã Audit Sub Committee (ASC): „¹ã Ôããä½ããä¦ã (††ÔãÔããè) ‡ãñŠ Ø㟶㠇ãŠã ‚ã¶ãì½ããñª¶ã ãä‡ãŠ¾ãã Øã¾ããý ãäÌ㦦ããè¾ã ÌãÓãà Board of Directors in the meeting held on 2009-10 ‡ãñŠ ªãõÀã¶ã 8 ††ÔãÔããè ºãõŸ‡ãòŠ ‚ãã¾ããñãä•ã¦ã ‡ãŠãè ØãƒÃý ƒ†Êãºããè August 26, 2008 approved the formation of Audit ‡ãŠãè Ôããè‚ããñ‚ãヂããÀ ãäÀ¹ããñ›Ã, ƒÃƒÃ†Êãºããè/ãäÌãÍãñÓã—ã¦ãã¹ãÆ㹦ã ÍããŒãã†ú/ãäÌãªñÍããè Sub Committee (ASC). During the financial year 2009-10, 8 ASC Meetings were held. The Review of ÍããŒãã†ú ãä•ãÔã½ãò àãñ¨ããè¾ã ‡ãŠã¾ããÃÊã¾ã ‡ãñŠ ¹ãƺãâ£ã¶ã ÊãñŒãã-¹ãÀãèàãã, ԛãù‡ãŠ ÊãñŒãã- COIR reports of ELB, EELB/ Specialized Branches/ ¹ãÀãèàã㠇ãŠãè Ôã½ããèàãã/Ôã½ãÌã¦ããê ÊãñŒãã-¹ãÀãèàãã/›ñԛ Þãñ‡ãŠ ÊãñŒãã-¹ãÀãèàãã/Àã•ãÔÌã Overseas Branches including Management Audit of ÊãñŒãã-¹ãÀãèàãã‚ããò ‡ãŠãñ Íãããä½ãÊ㠇ãŠÀ Ôã½ããèàãã ¹ãÀ ††ÔãÔããè ºãõŸ‡ãŠ ½ãò ÞãÞããà Regional Offices, Review of Stock Audit / Concurrent ‡ãŠãè ØãƒÃý ‡ãŠãè ØãƒÃ ‡ãŠãÀÃÌããƒÃ ãäÀ¹ããñ›Ã Ôããä֦㠆†ÔãÔããè ‡ãñŠ ¹ãƽãìŒã ãä¶ãӇãŠÓããô ‡ãŠãñ Audit / Test Check Audit / Revenue Audits were taken ãä¦ã½ããÖãè ½ãò †‡ãŠ ºããÀ †Ôããèºããè ‡ãŠãñ ¹ãÆÔ¦ãì¦ã ãä‡ãŠ¾ãã Øã¾ããý up for discussion in the ASC Meetings. The major findings of ASC with Action Taken Report was placed Ôã¦ã‡ãʦãã to ACB once in a quarter. ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ´ãÀã Êãâãäºã¦ã Ôã¦ã‡ãʦã㠂ã¶ãìÍããÔããä¶ã‡ãŠ Vigilance ½ãã½ãÊããò ‡ãŠãñ ‡ãñŠ¶³ãè¾ã Ôã¦ãÇ㊦ãã ãäÌã¼ããØã ´ãÀã ãä¶ã£ããÃãäÀ¦ã Ôã½ã¾ã-Ôããè½ã㠇ãñŠ During the year 2009-10, the Bank has taken effective ‚ãâªÀ ãä¶ã¹ã›ã¶ãñ ‡ãñŠ ãäÊㆠ‡ãŠãÀØãÀ ‡ãŠª½ã „Ÿã† Øã†ý ÌãÓãà ‡ãñŠ ªãõÀã¶ã 133 steps for disposal of pending Vigilance Disciplinary Ôã¦ã‡ãʦã㠂ã¶ãìÍããÔããä¶ã‡ãŠ ½ãã½ãÊããò ‡ãŠãñ ãä¶ã¹ã›ã¾ãã Øã¾ããý ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ cases within the time frame fixed by Central Vigilance Commission. During the year 133 vigilance •ããñãäŒã½ã ¹ãƺãâ£ã¶ã Ôããä½ããä¦ã †Ìãâ ºãð֦㠽ãîʾ㠇ãŠãè £ããñŒãã£ãü¡ãè ‡ãŠãñ ¹ãƺããñãä£ã¦ã disciplinary cases were disposed. The operational Risk Management Committee and the Committee of

30 ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠºããñ¡Ã ‡ãŠãè ãäÌãÍãñÓã Ôããä½ããä¦ã ¶ãñ ‚ããÌããä£ã‡ãŠ ¦ããõÀ ¹ãÀ ãäÀ¹ããñ›Ã ‡ãŠãè the Board monitoring Large Value Frauds analysed Øã¾ããè £ããñŒãã£ããäü¡¾ããò ‡ãŠã ãäÌãÍÊãñÓã¥ã ãä‡ãŠ¾ã㠂ããõÀ Ôããä½ããä¦ã ´ãÀã Ôãì¢ãㆠ/ the frauds reported periodically and observations/ ºã¦ãㆠØㆠ¹ãÆñàã¥ããò / Ôãì£ããÀ㦽ã‡ãŠ „¹ãã¾ããò ‡ãŠãñ ºãö‡ãŠ ´ãÀ㠇ãŠã¾ããÃãä¶Ìã¦ã ãä‡ãŠ¾ãã remedial measures made/suggested by the Committee have been implemented by the Bank. Øã¾ããý ºãö‡ãŠ ¶ãñ ãä¶ãÌããÀ‡ãŠ Ôã¦ã‡ãʦã㠇ãñŠ ¦ãÖ¦ã Ôããè Ìããè ‚ããñ ‡ãñŠ ãäÌãÍãñÓã ¹ããäÀ¹ã¨ã During the year, the Bank issued 12 circulars ‰ãŠ½ã ‡ãñŠ ‚ã£ããè¶ã ãäÌã¼ããØã ´ãÀã Ôãâ¼ããÊãñ ØㆠÔã¦ã‡ãʦã㠂ã¶ãìÍããÔããä¶ã‡ãŠ ½ãã½ãÊããò (internal) captioned Preventive Vigilance – CVO’s ‡ãŠã ãäÌãÔ¦ãð¦ã ãäÌãÌãÀ¥ã ªñ¦ãñ Öì† 12 ¹ããäÀ¹ã¨ã (‚ããâ¦ããäÀ‡ãŠ) •ããÀãè ãä‡ãŠ†ý ªâü¡ special circular elaborating the vigilance disciplinary Ôãâºãâ£ããè ãäÌãÔ¦ãð¦ã º¾ããõÀñ Ôããä֦㠂ããõÀ ԛãû¹ãŠ ÔãªÔ¾ããò ´ãÀã ãäÊㆠ•ãã¶ãñ ¾ããñؾã cases handled by the Department. Besides ãä¶ãÌããÀ‡ãŠ Ôã¦ã‡ãʦã㠄¹ãã¾ããò ‡ãŠãè ÔãîÞã¶ãã ¼ããè ƒ¶ã ¹ããäÀ¹ã¨ããò ½ãñ ªãè ØãƒÃý ƒÔã‡ãñŠ incorporating the details of punishments awarded, the important preventive measures to be taken by ‚ãÊããÌãã ½ã쌾ã Ôã¦ã‡ãʦã㠂ããä£ã‡ãŠãÀãè ‚ããõÀ Þã¾ããä¶ã¦ã àãñ¨ããè¾ã ‡ãŠã¾ããÃÊã¾ããò ½ãò the staff members are also included in these circulars. ãäÔ©ã¦ã Ôã¦ã‡ãʦã㠂ããä£ã‡ãŠããäÀ¾ããò ´ãÀ㠂ããÌããä£ã‡ãŠ ãä¶ãÀãèàã¥ã ´ãÀã ºãö‡ãŠ ¶ãñ Further emphasis has been given by the Bank ãä¶ãÌããÀ‡ãŠ Ôã¦ã‡ãʦã㠄¹ãã¾ããò ¹ãÀ •ããñÀ ã䪾ããý ½ã쌾ã Ôã¦ã‡ãʦã㠂ããä£ã‡ãŠãÀãè towards Preventive Vigilance measures through ´ãÀã àãñ¨ããè¾ã ‡ãŠã¾ããÃÊã¾ããò †Ìãâ ÍããŒãã‚ããò ‡ãñŠ ‚ããÌããä£ã‡ãŠ ªãõÀñ ‡ãñŠ ªãõÀã¶ã periodical Branch inspection by the Chief Vigilance ¹ãÆ¥ãããäÊã¾ããò †Ìã⠇ãŠã¾ãùã®ãä¦ã¾ããò ‡ãñŠ ‚ã¶ãì¹ããÊã¶ã ½ãò Ôã¼ããè Ô¦ãÀãò ¹ãÀ ԛãû¹ãŠ- Officer and also by Vigilance Officers attached to Vigilance Cell at select Regional Offices. The role of ÔãªÔ¾ããò ‡ãŠãè ¼ãîãä½ã‡ãŠã ‡ãñŠ ºããÀñ ½ãò ŒããÔã‡ãŠÀ ‡ãñŠÌããƒÔããè ½ãã¶ãªâü¡ãò, ††½ã†Êã staff at all levels in adherence to Systems and ãäªÍãããä¶ãªóÍããò, £ããñŒãã£ãü¡ãè „¶½ãìŒã àãñ¨ããò ‚ãããäª ¹ãÀ •ããñÀ ã䪾ãã Øã¾ããý Procedures especially compliance to KYC norms, ¶ãÌãâºãÀ 2009 ½ãò Ôã¦ã‡ãʦã㠕ããØã‡㊦ãã Ô㹦ããÖ ‡ãŠã ¹ããÊã¶ã ãä‡ãŠ¾ãã Øã¾ããý AML guidelines, fraud prone areas etc., has been emphasized during periodical visits to Regional ÔãîÞã¶ãã ¹ãÆãõ²ããñãäØã‡ãŠãè Offices and Branches by Chief Vigilance Officer. ÍããŒã㠇㊽¹¾ãî›ãè‡ãŠÀ¥ã Vigilance Awareness Week was observed in November 2009. ºãö‡ãŠ ¶ãñ 100% ¶ãñ›Ìããä‡ãĊØ㠇ãŠãè ÖõãäÔã¾ã¦ã ¹ãÆ㹦㠇ãŠãè Öõ ¦ã©ãã 100% Ôããèºããè†Ô㠇ãŠãè ãäÔ©ããä¦ã ¹ãÆ㹦㠇ãŠãè Öõ ãä•ãÔãÔãñ Ôããèºããè†Ô㠇ãŠãè ‡ãìŠÊã ÍããŒãã†ú Information Technology ‚ããõÀ „¹ãÍããŒãã†ú 2018 Öãñ ØãƒÃý Branch Computerisation The Bank has achieved 100% networking status as well ã䪶ããâ‡ãŠ 31.03.2010 ¦ã‡ãŠ 17 ‡ãñŠ¶³ãè¾ã Ôã½ããÍããñ£ã¶ã ‡ãŠã¾ããÃÊã¾ã, 41 as 100% CBS status of branches with a total number of àãñ¨ããè¾ã ‡ãŠã¾ããÃÊã¾ããò †Ìãâ 4 ‡ãñŠ¶³ãè¾ã ‡ãŠã¾ããÃÊã¾ã ‡ãñŠ ãäÌã¼ããØ㠂ããõÀ 6 2018 CBS branches and Extension Counters. ãä¶ãÀãèàã¥ããÊã¾ããò ‡ãŠãñ Ôããèºããè†Ô㠇ãñŠ ¦ãÖ¦ã Êãã¾ãã Øã¾ãã Öõý ã䪶ããâ‡ãŠ As on March 31, 2010, 17 Central Clearing Offices, 02.04.2010 Ôãñ ‡ãñŠ¶³ãè¾ã ‡ãŠã¾ããÃÊã¾ã ‡ãñŠ ªãñ ‚ããõÀ ãäÌã¼ããØããò ‡ãŠãñ Ôããèºããè†Ôã 41 Regional Offices and 4 Central Office Departments ‡ãñŠ ¦ãÖ¦ã Êãã¾ãã Øã¾ãã Öõý and 6 Inspectorates have been brought under CBS. 2 more Central Office Departments have been ã䪶ããâ‡ãŠ 31.03.2009 ¦ã‡ãŠ † ›ãè †½ã ‡ãŠãè ‡ãìŠÊã Ôã⌾ãã 576 (445 brought under CBS, with effect from April 2, 2010. ‚ããù¶ãÔãホ, 115 ‚ããù¹ãŠÔãホ Ìã 16 ÀñÊãÌãñ †›ã膽ã) Ööý ÌãÓãà ‡ãñŠ ªãõÀã¶ã The total number of ATMs as on 31.03.2009 stood 195 ‚㶾㠆›ã膽ããò ‡ãŠãñ ¶ãñ›Ìã‡ãÊ ‡ãñŠ ¦ãÖ¦ã Êãã¾ãã Øã¾ãã, ãä•ãÔãÔãñ ¾ãÖ at 576 (445 Onsite, 115 Offsite and 16 Railway Ôã⌾ãã ºãü¤‡ãŠÀ 771 (590 ‚ããù¶ãÔãホ, 146 ‚ããù¹ãŠÔãホ Ìã 35 ÀñÊãÌãñ ATMs). During the year, 195 ATMs were brought into †›ã膽ã) Öãñ ØãƒÃý the network taking the total to 771 (590 Onsite, 146 Offsite and 35 Railway ATMs). ºãö‡ãŠ ‡ãñŠ ‡ãìŠÊã 17,67,050 ¡ñãäºã› ‡ãŠã¡Ã Öö, ãä•ãÔã½ãò 1,75,456 ƒ¶Ô›ã Bank has a total debit card base of 17,67,050 cards ‡ãŠã¡Ã Íãããä½ãÊã Ööý ½ããÞãà 2010 ½ããÖ ‡ãñŠ ªãõÀã¶ã Ö½ããÀñ †›ã膽ããò ‡ãñŠ •ããäÀ† which includes 1,75,456 Insta Cards. The volume of Á.545.52 ‡ãŠÀãñü¡ ‡ãŠã Êãñ¶ãªñ¶ã ãä‡ãŠ¾ãã Øã¾ããý transactions put through our ATMs amounted to Rs.545.52 crores during the month of March 2010. 31½ããÞãà 2010 ¦ã‡ãŠ 771 †›ã膽ããò ½ãñ Ôãñ 731 †›ã膽ããò ½ãò ãäÌãã䡾ããñ ãä¶ãØãÀã¶ããè ¹ãÆ¥ããÊããè ‡ãŠãè ÔãìãäÌã£ãã Öõý As on March 31, 2010, 731 ATMs out of 771 have been provided with Video Surveillance Systems. ‚ããÀ›ãè•ããè†Ôã/†¶ãƒ†¹ãŠ›ãè Ôãñ •ãìü¡ãè ÍããŒãã‚ããò ‡ãŠãñ ‚ããÀ›ãè•ããè†Ôã Ìã RTGS / NEFT – Networked branches are covered †¶ãƒ†¹ãŠ›ãè ¼ãìØã¦ãã¶ã ¹ãÆ¥ããÊããè ‡ãñŠ ¦ã֦㠇ãŠÀ ã䪾ãã Øã¾ãã Öõý ÌãÓãà ‡ãñŠ ªãõÀã¶ã under RTGS and NEFT payment systems. During the ºãö‡ãŠ ´ãÀã ¼ãìØã¦ãã¶ã ãä‡ãŠ¾ãã Øã¾ãã Êãã¼ããâÍ㠆¶ãƒ†¹ãŠ›ãè ‡ãñŠ •ããäÀ† ¹ãã¨ã year, the dividend paid by the Bank was credited to Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãñŠ Œãã¦ããò ½ãò •ã½ãã ãä‡ãŠ¾ãã Øã¾ããý the eligible shareholders through NEFT. ƒâ›À¶ãñ› ºãöãä‡ãâŠØã Internet Banking Gamut of services have been provided under Internet ƒâ›À¶ãñ› ºãõãä‡ãŠâØ㠇ãŠñ ¦ã֦㠂ã¶ãñ‡ãŠ ÔãìãäÌã£ãã†â „¹ãÊ㺣㠇ãŠÀãƒÃ Øã¾ããè Öõý banking facility. The number of customers who are ¹ãâ•ããè‡ãðŠ¦ã ØãÆãևãŠãò ‡ãŠãè Ôã⌾ã㠂ããõÀ „¶ã‡ãñŠ ´ãÀ㠃¶›À¶ãñ› ‡ãñŠ •ããäÀ† Êãñ¶ãªñ¶ããò registered as well as the volume of transactions put ‡ãŠãè ½ãã¨ãã ½ãò Ôã¦ã¦ã ºãü¤ãñ¦ãÀãè Öãñ ÀÖãè Öõý ¹ãƪã¶ã ‡ãŠãè ØãƒÃ ½ãã¶ã‡ãŠ ÔãñÌãã‚ããò ‡ãñŠ through using the Internet is increasing steadily. Apart ‚ããä¦ããäÀ‡ã‹¦ã ºãö‡ãŠ ¶ãñ Ôãâ¹ã‡ãŠãê ´ãÀã ÌããùԛÈãñ Œãã¦ããò ‡ãŠãñ ªñŒã¶ãñ ‡ãŠãè ÔãìãäÌã£ãã from the standard services offered, Bank has ¹ãÆãÀâ¼ã ‡ãŠãè Öõý ‚ãºã ¹ãâ•ããè‡ãðŠ¦ã ƒ¶›À¶ãñ› ºãöãä‡ãâŠØã ØãÆãև㊠´ãÀ㠂ã¹ã¶ãñ ¹ãõ¶ã ‡ãŠã introduced facility for viewing VOSTRO accounts by the Correspondents. Viewing of income tax particulars „¹ã¾ããñØ㠇ãŠÀ‡ãñŠ †¶ã†Ôã¡ãè†Êã Ôãホ Ôãñ ‚ãã¾ã‡ãŠÀ ãäÌãÌãÀ¥ã ¾ãã¶ããè ¹ãŠã½ãà 26 from NSDL site by the registered Internet Banking ††Ô㠇ãŠãñ ªñŒã¶ãñ ‡ãŠãè ÔãìãäÌã£ãã ¹ãƪã¶ã ‡ãŠãè ØãƒÃ Öõý Customers, i.e., Form 26 AS view, using their PAN is now enabled.

31 ½ããñºããƒÊã ºãöãä‡ãâŠØã Mobile Banking ºãö‡ãŠ ¶ãñ ½ããñºããƒÊã ºãöãä‡ãâŠØã ¹ãÆãÀâ¼ã ‡ãŠãè Öõ, ãä•ãÔã‡ãñŠ ¦ã֦㠺ãö‡ãŠ Ôã¼ããè ¹ãƇãŠãÀ ‡ãŠãè The Bank has introduced Mobile Banking, offering ÔãñÌãã†ú ¹ãƪã¶ã ‡ãŠÀ ÀÖã Öõý ÌãÓãà ‡ãñŠ ªãõÀã¶ã ãäÌããä¼ã¸ã ÔãñÌãã†ú ªãñ ÞãÀ¥ããò ½ãò entire range of services. Various services have been ¹ãƪã¶ã ‡ãŠãè ØãƒÃ Ööý ¹ãÆ©ã½ã ÞãÀ¥ã ½ãò ¹ãã㜠ÔãñÌãã†ú, ãä¶ããä£ã ‚ãâ¦ãÀ¥ã offered in two phases during the year. Phase I (‚ãâ¦ãÀ †Ìã⠂ãâ¦ã: ºãö‡ãŠ) Œãã¦ãã ãäÌãÌãÀ¥ã ‡ãŠãè ÔãìãäÌã£ãã‚ããò ‡ãŠãñ Íãããä½ãÊã includes query services, funds transfer (inter and intra banks), statement of accounts. Services like air / ãä‡ãŠ¾ãã Øã¾ãã Öõý ÖÌããƒÃ •ãÖã•ã/ ½ãîÌããè ã䛇ãŠãä›âØã, ã䡽ãõ› ÔãñÌãã†ú, †›ã膽ã/ movie ticketing, de-mat services, facility to suspend ¡ñãäºã› ‡ãŠã¡ãô ‡ãŠãñ ãä¶ãÀԦ㠇ãŠÀ¶ãñ ƒ¦¾ãããäª •ãõÔããè ÔãñÌãã‚ããò ‡ãŠãñ ¹ãÀŒãã Øã¾ãã ATM/Debit Cards, ATM/Branch locator are tested and ‚ããõÀ ‡ãŠã¾ããÃãä¶Ìã¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõý implemented. ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ Þãñ‡ãŠ ›Èâ‡ãñŠÍã¶ã ¹ãÆ¥ããÊããè Cheque Truncation System (CTS) has been launched (Ôããè›ãè†Ôã) †¶ãÔããè‚ããÀ, ãäªÊÊããè ‡ãŠãè 85 ÍããŒãã‚ããò ½ãò ¹ãÆãÀâ¼ã ‡ãŠãè ØãƒÃ Öõý in 85 Branches in NCR, Delhi as per RBI directives. ¹ãñ½ãò› Øãñ›Ìãñ Payment Gateway ††Ôã¹ããè ‡ãŠãè ¦ãû•ãà ¹ãÀ ºãö‡ãŠ ¶ãñ ‚ã¹ã¶ãã ¹ãñ½ãò› Øãñ›Ìãñ ¹ãÆãÀâ¼ã ãä‡ãŠ¾ãã Öõý ºãö‡ãŠ Bank has launched own Payment Gateway on ASP ¶ãñ ØãÆãևãŠãò ´ãÀ㠂ã¹ã¶ãñ ¡ñãäºã› ‡ãŠã¡Ã ‡ãŠã ¹ãƾããñØ㠇ãŠÀ¦ãñ Öì† ãä‡ãŠ† •ãã¶ãñ ÌããÊãñ Model. Bank has integrated payment of TNEB bills by Bank’s customers, using their Debit Cards. ›ã膶ヺããè ãäºãÊããò ‡ãŠñ ¼ãìØã¦ãã¶ã ‡ãŠãñ †‡ãŠãè‡ãðŠ¦ã ãä‡ãŠ¾ãã Öõý ¡ñãäºã› ‡ãŠã¡Ã ‡ãŠã Integration of Payment of utility bills, like mobile ¹ãƾããñØ㠇ãŠÀ‡ãñŠ ½ããñºããƒÊã ¼ãìØã¦ãã¶ã, ºããè½ãã ãä‡ãŠÔ¦ã ¼ãìØã¦ãã¶ã ƒ¦¾ãããäª •ãõÔãñ payment, insurance premium payment etc., using the „¹ã¾ããñØããè ãäºãÊããò ‡ãñŠ ¼ãìØã¦ãã¶ã ‡ãŠãñ †‡ãŠãè‡ãðŠ¦ã ‡ãŠÀ¶ãñ ‡ãŠãè ¹ãÆãä‰ãŠ¾ãã ¹ãÀ ‡ãŠã¾ãà Öãñ debit cards is in process. ÀÖã Öõý 12 branches of erstwhile Swarna Sahakari Bank Ltd, ¦ã¦‡ãŠãÊããè¶ã ÔãìÌã¥ãà ÔãևãŠãÀãè ºãö‡ãŠ ãäÊã. ¹ãì¥ãñ ‡ãŠãè 12 ÍããŒãã‚ããò ‡ãŠãñ ¹ãÖÊãñ Pune have been brought under CBS from day one. ã䪶ã Ôãñ Öãè Ôããèºããè†Ô㠇ãñŠ ¦ãÖ¦ã Êãã ãäÊã¾ãã Øã¾ããý 3-way Data-centre has been established to ensure ºããèÔããè¹ããè ‡ãŠãñ Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ3-Ìãñ ¡ã›ã-Ôãñ¶›À Ô©ãããä¹ã¦ã ãä‡ãŠ¾ãã BCP. Primary Data Centre at Chennai, and Command Øã¾ãã Öõý Þãñ¸ãõ ½ãò ¹ãÆヽãÀãè ¡ã›ã Ôãñ¶›À ‚ããõÀ Þãñ¸ãõ ½ãò Öãè ‡ãŠ½ã㥡 Ôãñ¶›À Centre at Chennai and DR Site at Hyderabad have been set up. CBS and critical applications are †Ìãâ ÖõªÀãºã㪠½ãò ¡ãè‚ããÀ Ôãホ Ô©ãããä¹ã¦ã ãä‡ãŠ† ØㆠÖöý Ôããèºããè†Ô㠆Ìãâ functioning from Data Centre. Primary DC and CC •ããä›Ê㠂ã¶ãì¹ãƾããñØã Ìããè†Ôㆶã†Êã ¡ã›ã Ôãñ¶›À ‡ãñŠ û•ããäÀ† ‡ãŠã¾ãÃÀ¦ã Ööý are connected by 1 Giga Dark Fiber Connection, ¹ãÆã©ããä½ã‡ãŠ ¡ãèÔããè †Ìãâ ÔããèÔããè1 ãäØãØãã ¡ã‡ãÊ ¹ãŠãƒºãÀ ‡ãŠ¶ãñ‡ã‹Íã¶ã Ôãñ •ãìü¡ñ Öö, which ensures synchronous replication. DR Site and •ããñ †‡ãŠ‡ãŠããäÊã‡ãŠ ¹ãÆãä¦ã‡ãðŠãä¦ã ‡ãŠãñ Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¦ãã Öõý ¡ãè‚ããÀ Ôãホ †Ìãâ DC are on asynchronous replication. Automation Tool Ìããè†Ôㆶã†Êã ¡ãèÔããè ‚ã‡ãŠããäÊã‡ãŠ ¹ãÆãä¦ã‡ãðŠãä¦ã ¹ãƪã¶ã ‡ãŠÀ¦ãñ Ööý ‚ãã›ãñ½ãñã䛇㊠is used for automatic fail-over. The network ¹ãñŠÊã-‚ããñÌãÀ ‡ãñŠ ãäÊㆠ‚ãã›ãñ½ãñÍã¶ã ›îÊ㠇ãŠã ¹ãƾããñØã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý equipments and hardware used are provided with ¹ãƾããñØã ãä‡ãŠ¾ãñ •ãã¶ãñ ÌããÊãñ ¶ãñ›Ìã‡ãÊ Ìã Öã¡ÃÌãñ¾ãÀ „¹ã‡ãŠÀ¥ããò ½ãò „ÞÞ㠄¹ãÊ㺣ã¦ãã high availability and complete redundancy (at service †Ìãâ Ôãâ¹ãî¥ãà ¹ã¾ããù¦ã¦ãã (ÔãñÌãã ¹ãƪã¦ãã Ô¦ãÀ ¹ãÀ, ½ããèã䡾ãã Ô¦ãÀ ¹ãÀ †Ìãâ provider level, media level and at hardware level). Öã¡ÃÌãñ¾ãÀ Ô¦ãÀ ¹ãÀ) ‡ãŠã ¹ãÆãÌã£ãã¶ã Öõý IP Telephones have been provided to all Regional Offices / Central Office Executives and to Singapore ‚ãヹããè ›ñÊããè¹ãŠãñ¶ã Ôã¼ããè àãñ¨ããè¾ã ‡ãŠã¾ããÃÊã¾ããò / ‡ãñŠ¶³ãè¾ã ‡ãŠã¾ããÃÊã¾ã ‡ãñŠ Branch. On-line tracking of loan applications has been ‡ãŠã¾ãùããÊã‡ãŠãò †Ìãâ ãäÔãâØãã¹ãìÀ ÍããŒã㠇ãŠãñ „¹ãÊ㺣㠇ãŠÀㆠØㆠÖöý ¨ãÉ¥ã enabled. Borrower / Applicant can track and know ‚ããÌãñª¶ã ‡ãñŠ ãäÊㆠ‚ããù¶ã Êãヶ㠛Èõãä‡ãâŠØã ÔãìãäÌã£ãã ¹ãƪã¶ã ‡ãŠãè ØãƒÃ Öõý „£ããÀ‡ãŠ¦ããà the status of their loan application. / ‚ããÌãñª‡ãŠ ›Èõ‡ãŠ ÀŒã Ôã‡ãŠ¦ãã Öõ ‚ããõÀ ‚ã¹ã¶ãñ ¨ãɥ㠂ããÌãñª¶ã ‡ãŠãè ãäÔ©ããä¦ã ‡ãŠãè •ãã¶ã Ôã‡ãŠ¦ãã Öõý Overseas Branches Computerisation To ensure uniformity of solutions used by Overseas ãäÌãªñÍããè ÍããŒãã‚ããò ‡ãŠã ‡ãŠ½¹¾ãî›Àãè‡ãŠÀ¥ã Branches, centralised CBS software is now being ãäÌãªñÍããè ÍããŒãã‚ããò ´ãÀã ¹ãƾããññØã ãä‡ãŠ† •ãã ÀÖñ ÔãùʾãîÍã¶Ôã ½ãò †‡ãŠÂ¹ã¦ãã used in Singapore, Bangkok and Colombo. The Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠãäÔãâØãã¹ãìÀ, ºãö‡ãŠãù‡ãŠ †Ìã⠇ãŠãñÊãâºããñ ½ãò ‚ãºã ‡ãñŠ¶³ãè‡ãðŠ¦ã system for overseas branches has been established Ôããèºããè†Ôã Ôãã¹ã‹›Ìãñ‚ãÀ ¹ãƾããñØã ãä‡ãŠ¾ã㠕ãã ÀÖã Öõý ãäÌãªñÍããè ÍããŒãã‚ããò ‡ãñŠ on hub and spoke model with the hub set up at Singapore with DR Site at Bangkok. Bangkok Branch ãäÊㆠãäÔãԛ½ã ‡ãŠãñ ֺ㠹ãÀ Ô©ãããä¹ã¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõ Ìã ãäÔãâØãã¹ãìÀ ½ãò Öºã Ôãホ is running parallel and would go online by June ÔããäÖ¦ã Ìã ºãö‡ãŠãù‡ãŠ ½ãò ¡ãè‚ããÀ Ôãホ ÔããäÖ¦ã Ô¹ããñ‡ãŠ ½ããù¡Êã Ô©ãããä¹ã¦ã ãä‡ãŠ¾ãã 2010. In Colombo, parallel run has been completed Øã¾ããý ºãö‡ãŠã‡ãŠ ÍããŒãã Ôã½ã㶦ãÀ ‡ãŠã¾ãà ‡ãŠÀ ÀÖãè Öõ ‚ããõÀ •ãî¶ã 2010 ¦ã‡ãŠ and Branch is online with effect from April 1, 2010. ‚ããù¶ãÊãヶã Öãñ •ãã†Øããèý ‡ãŠãñÊãâºããñ ½ãò Ôã½ã㶦ãÀ ‡ãŠã¾ãà (À¶ã) ¹ãîÀ㠇ãŠÀ ãäÊã¾ãã Reporting and NOSTRO modules are under process Øã¾ãã Öõ ‚ããõÀ ã䪶ããâ‡ãŠ 01.04.2010 Ôãñ ÍããŒã㠂ããù¶ãÊãヶã Öõý ãäÀ¹ããñãä›ÄØã of being implemented. †Ìãâ ¶ããԛÈãñ ½ãã¡¿ãîÊÔ㠇ãŠã¾ããÃãä¶Ìã¦ã Öãñ¶ãñ ‡ãñŠ ãäÊㆠ¹ãÆãä‰ãŠ¾ãã£ããè¶ã Öõý Direct online remittance through our Singapore ãäÔãâØãã¹ãìÀ ÍããŒãã Ôãñ Ö½ããÀãè ¼ããÀ¦ããè¾ã ÍããŒãã‚ããò ½ãò ‚ã¶ãìÀãäàã¦ã Êãã¼ãããä©ãþããò Branch to the beneficiary’s account maintained ‡ãñŠ Œãã¦ããò ½ãò Ôããè£ãñ ‚ããù¶ãÊãヶã ãäÌã¹ãÆñÓã¥ã ‡ãŠãè ÔãìãäÌã£ãã ¹ãƪã¶ã ‡ãŠÀ ªãè ØãƒÃ in our Indian Branches has been enabled. This Öõý ƒÔã ÔãìãäÌã£ã㠇ãŠãñ ãäÌã¹ãÆñÓã‡ãŠãò †Ìãâ Êãã¼ã¼ããñãäØã¾ããò Ôãñ ‚ãޜãè ¹ãÆãä¦ããä‰ãŠ¾ãã facility has been well received by remitters as well as the beneficiaries. This has also brought the ãä½ãÊããè Öõý ƒÔã Ôãñ àãñ¨ã ‡ãŠã ãäÌã¹ãÆñÓã¥ã ‡ãŠãÀãñºããÀ ÔãâØãã䟦ã Þãõ¶ãÊ㠇ãñŠ ¦ã֦㠂ãã Remittance Business of the area under organised Øã¾ãã Öõý channel.

32 ¶ãñ›Ìã‡ãÊ ƒ¶¹ãƊãԛȇã‹ÞãÀ ‡ãñŠ Ìã¦ãýãã¶ã Ôãñ› ‚ã¹ã ½ãò ¶ããñ¡ Ô¦ãÀ ¹ãÀ ‚ããä¦ããäÀ‡ã‹¦ã¦ãã In the present set up of Network Infrastructure, ‡ãŠãñ ¹ãî¥ãæã: ¹ãÆ㹦㠇ãŠÀ ãäÊã¾ãã Øã¾ãã Öõý redundancy has been achieved at node level in full. From the existing BSNL point-to-point leased line ÍããŒã㠂ããõÀ àãñ¨ããè¾ã ¶ãñ›Ìã‡ãÊ ¶ããñ¡áÔ㠇ãñŠ ºããèÞã ½ããõ•ãîªã ºããè†Ôㆶã†Êã ¹ããƒâ› connections between the branches and the regional ›î ¹ããƒâ› Êããè•û¡ Êãヶ㠇㊶ãñ‡ã‹Íã¶ã Ôãñ ºãö‡ãŠ ¶ãñ ºããè†Ôㆶã†Ê㠆½ã¹ããè†Êã†Ôã- network nodes, the Bank has entered into an MoU with BSNL under Platinum partner status at Ìããè¹ãã膶㠇ã‹Êããõ¡ ‡ãŠ¶ãñãä‡ã‹›ãäÌã›ãè, •ããñ ¡ã›ã Ôãñ¶›À Ôãñ ÍããŒãã‚ããò ‡ãŠãñ Ôããè£ãñ competitive rates for migrating the leased line links •ããñü¡ñØããè, ‡ãñŠ ¦ãÖ¦ã Êãã蕡 Êãヶã ãäÊãâ‡ã‹Ôã ½ãò ºãªÊã¶ãñ ‡ãñŠ ãäÊㆠ¹ãÆãä¦ãÔ¹ã£ããê under BSNL MPLS-VPN cloud connectivity, which ªÀãò ¹ãÀ ¹Êãñã䛶ã½ã ¹ãã›Ã¶ãÀ ԛñ›Ô㠇ãñŠ ¦ã֦㠺ããè†Ôㆶã†Ê㠇ãñŠ Ôãã©ã Ôã½ã¢ããõ¦ãã would connect the branches directly to the data —ãã¹ã¶ã ãä‡ãŠ¾ãã Öõý ‚ã¼ããè ºãªÊããÌ㠇ãŠãè ¹ãÆãä‰ãŠ¾ã㠕ããÀãè Öõý centres. Migration process is in progress now. ATMs are now outsourced under ATM Managed †›ã膽㠹ãƺãâãä£ã¦ã ÔãñÌãã‚ããò ‡ãñŠ ¦ã֦㠽ãñÔãÔãà ›ãèÔããèºããè‚ãテÊ㠇ãñŠ Ôãã©ã services with M/s TCBIL. Vendor is in the process of †›ã膽㠇ãŠãñ ‚ãºã ‚ãㄛÔããñÔãà ‡ãŠÀ ã䪾ãã Øã¾ãã Öõý ¹ãƺãâãä£ã¦ã ÔãñÌãã‚ããñ⠇ãñŠ taking over the ATMs under the managed services. As on March 31, 2010, 129 ATMs in 12 regions ¦ãÖ¦ã Ìãñ¶¡À †›ã膽ããò ‡ãŠãñ ‚ããä£ãØãÆãä֦㠇ãŠÀ¶ãñ ‡ãŠãè ¹ãÆãä‰ãŠ¾ãã ½ãò Öõý ã䪶ããâ‡ãŠ have been brought under the managed services. All 31.03.2010 ¦ã‡ãŠ 12 àãñ¨ããò ‡ãñŠ 129 †›ã膽ããò ‡ãŠãñ ¹ãƺãâãä£ã¦ã ÔãñÌãã‚ããò the ATMs of the Bank will be handed over during ‡ãñŠ ¦ãÖ¦ã Êãã¾ãã Øã¾ãã Öõý ºãö‡ãŠ ¶ãñ ‚ã¹ã¶ãã ¹ãÖÊãã ½ããñºããƒÊ㠆›ã膽ã Þãñ¸ãõ àãñ¨ã the next three months. ½ãò ¹ãÆãÀâ¼ã ãä‡ãŠ¾ãã Öõý •ããè¹ããè‚ããÀ†Ô㠇㊶ãñ‡ã‹›ãèãäÌã›ãè ‡ãŠã „¹ã¾ããñØ㠇ãŠÀ †›ã膽ã The Bank has launched its first Mobile ATM in ‡ãŠã¾ãà ‡ãŠÀ ÀÖã Öõ ‚ããõÀ ¹ãÆãä¦ãã䪶㠂ããõÔã¦ã¶ã 200 Êãñ¶ãªñ¶ã ‡ãŠÀ ÀÖã Öõý Chennai Region. The ATM is functioning using GPRS Connectivity and has been functioning successfully ‚ãºã ‚ãホãè ¹ãƾããÔããò ½ãò ãäÌ㦦ããè¾ã Ôã½ããÌãñÍã¶ã ¾ããñ•ã¶ãã Ôãֺ㮠‡ãŠã¾ããöÌã¾ã¶ã with an average 200 transactions daily. ¦ã‡ãŠ¶ããè‡ãŠ, Þãñ‡ãŠ •ã½ãã ¹ãÆ¥ããÊããè (Ôããè¡ãè†Ôã)/Þãñ‡ãŠ ›Èâ‡ãñŠÍã¶ã ¹ãÆ¥ããÊããè New IT initiatives include projects on implementation Technology aided Financial Inclusion Plan, setting (Ôããè›ãè†Ôã) ‚ããõÀ ƒÃ-ã䛇ãŠãä›âØ㠕ãõÔããè ãäÌãÍãñÓã¦ãã‚ããò Ôãñ ¾ãì‡ã‹¦ã ãä‡ãŠ¾ããñԇ㊠up of Kiosks with features like Cheque Deposit Ô©ãããä¹ã¦ã ‡ãŠÀ¶ãñ ‡ãŠãè ¹ããäÀ¾ããñ•ã¶ãã†ú Íãããä½ãÊ㠇ãŠãè ØãƒÃ Ööý ‚ããØãñ ƒÃ‚ããÀ¹ããè- System (CDS)/Cheque Truncation System (CTS) and †Ôㆹããè ÔãùʾãîÍã¶ã ‡ãŠã ‡ãŠã¾ããöÌã¾ã¶ã ¹ãÆãä‰ãŠ¾ãã£ããè¶ã Öõ, ãä•ãÔãÔãñ ‡ãŠã¹ããóÀñ› e-ticketing. Further, implementation of ERP-SAP ØãÆãև㊠ãäºãÊã ¼ãìØã¦ãã¶ã, †Êã•ããè/†ÊãÔããè ‚ã¶ãìÀãñ£ã, „¹ã¾ããñãäØã¦ãã ¼ãìØã¦ãã¶ã solution, which will enable corporate customers to connect to the bank’s network directly for straight •ãõÔãñ Êãñ¶ãªñ¶ããò ‡ãŠãñ Ôããè£ãñ ÔãâÔãããä£ã¦ã ‡ãŠÀ ¹ãã†úØãñý through processing of transactions like bill payments, LG/LC requests, utility payments etc., is in the process. ‚ããñÀñ‡ãŠÊã ãäºã•ã¶ãñÔ㠃¶›ñãäÊã•ãñ¶Ôã Ôãî› ‡ãŠã¾ããÃãä¶Ìã¦ã ãä‡ãŠ¾ã㠕ãã ÀÖã Öõý ¾ãÖ Oracle Business Intelligence Suite is being ÔãùʾãîÍã¶ã ¡õÍãºããñ¡Ã †Ìã⠛îÊÔ㠄¹ãÊ㺣㠇ãŠÀã†Øãã, ãä•ãÔãÔãñ ãäÌããä¼ã¸ã ¹ãƇãŠãÀ implemented. This solution will provide dashboards ‡ãŠãè ãäÀ¹ããñ›ô ¦ãõ¾ããÀ ‡ãŠãè •ãã Ôã‡ãòŠØããèý ƒÔãÔãñ ‡ãñŠ¶³ãè¾ã ‡ãŠã¾ããÃÊã¾ã, àãñ¨ããè¾ã and tools, which will enable generation of various ‡ãŠã¾ããÃÊã¾ã ‡ãñŠ ‡ãŠã¾ãùããÊã‡ãŠãò ‚ããõÀ ÍããŒãã ¹ãƺãâ£ã‡ãŠãò ‡ãŠãñ ƒ¶ã ›îÊããò ‡ãŠã „¹ã¾ããñØã reports. This will help the Executives at Central Office, Regional Office and Branch Managers to use the ‡ãŠÀ¦ãñ Öì† ãäÀ¹ããñ›Ã ¦ãõ¾ããÀ ‡ãŠÀ¶ãñ ½ãò ½ãªª ãä½ãÊãñØããè, ãä•ã¶ãÔãñ „¶Öò ãäÌãÍÊãñÓã¥ã tools to generate reports that will help them to do ‡ãŠÀ¶ãñ ‚ããõÀ ‡ãŠãÀãñºããÀ Ôãñ •ãìü¡ñ ãä¶ã¥ãþã Êãñ¶ãñ ½ãò ½ãªª ãä½ãÊãñØããèý trend analysis and assist in taking business decisions. ‚ã¹ã¶ãñ ´ãÀã ¹ãÆã¾ããñãä•ã¦ã àãñ¨ããè¾ã ØãÆã½ããè¥ã ºãö‡ãŠ (¹ããã䥡¾ã¶ã ØãÆã½ã ºãö‡ãŠ †Ìãâ The Bank played the major role in assisting the ¶ããèÊããâÞãÊã ØãÆ㽾㠺ãö‡ãŠ) ‡ãñŠ ãäÊㆠãäÔãÁÔãñÀãè, Þãñ¸ãõ ½ãò ¡ã›ã Ôãñ¶›À †Ìãâ Regional Rural Banks sponsored by our Bank ÖõªÀãºã㪠½ãò ãä¡û•ããԛÀ ãäÀ‡ãŠÌãÀãè Ôãñ¶›À Ô©ãããä¹ã¦ã ‡ãŠÀ¶ãñ ½ãò ½ãªª ‡ãŠÀ‡ãñŠ ºãö‡ãŠ (Pandyan Grama Bank and Neelachal Gramya Bank) ¶ãñ ‚ãֽ㠼ãîãä½ã‡ãŠã ãä¶ã¼ããƒÃ Öõý Öã¡ÃÌãñ¾ãÀ, ¶ãñ›Ìã‡ãÊ, „¹ã‡ãŠÀ¥ããò ‡ãñŠ ¹ãÆã¹ã¥ã to establish their Data Centre at Siruseri, Chennai and Disaster Recovery Centre at Hyderabad. They ‚ããõÀ ¶ãñ›Ìã‡ãÊ ‡ãŠ¶ãñ‡ã‹›ãèãäÌã›ãè Ô©ãããä¹ã¦ã ‡ãŠÀ¶ãñ ‡ãŠãè ¹ãÆãä‰ãŠ¾ã㠇ãŠãñ ‚ãâãä¦ã½ã ¹ã have been assisted in finalizing the procurement of ªñ¶ãñ ½ãò „¶ã‡ãŠãè ½ãªª ‡ãŠãè ØãƒÃ Öõý ªãñ¶ããò ºãö‡ãŠ ‚ããù¶ãÊãヶã Öãñ ØㆠÖö ‚ããõÀ hardware, network equipments and in establishing „¶Öãò¶ãñ ‚ã¹ã¶ããè ‡ã슜 ÍããŒãã‚ããò ‡ãŠãñ ¼ããè Ôããèºããè†Ô㠇ãŠÀ ã䪾ãã Öõý network connectivity. Both the Banks have gone on line and brought some of their branches under their ¦ã‡ãŠ¶ããè‡ãŠ Ôãֺ㮠ãäÌ㦦ããè¾ã Ôã½ããÌãñÍã¶ã ¾ããñ•ã¶ãã CBS. ºãö‡ãŠ ¶ãñ ¹ãÆãä¦ã ÍããŒã㠇ãñŠ ÊãØã¼ãØã 1500 Ô½ãã›Ã ‡ãŠã¡ãô ‡ãñŠ ‡ãŠÌãÀñ•ã ÔããäÖ¦ã Technology Aided Financial Inclusion Plan ¹ãÆãÀâãä¼ã‡ãŠ ¹ã Ôãñ ÊãØã¼ãØã 300 ÍããŒãã‚ããò ‡ãŠãñ Íãããä½ãÊ㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠThe Bank has launched a technology assisted ¦ã‡ãŠ¶ããè‡ãŠ Ôãֺ㮠Խãã›Ã ‡ãŠã¡Ã ‚ãã£ãããäÀ¦ã ãäÌ㦦ããè¾ã Ôã½ããÌãñÍã¶ã ‡ãŠãè †‡ãŠ smartcard based Financial Inclusion Project to initially cover about 300 branches with a coverage of about ¹ããäÀ¾ããñ•ã¶ãã ¹ãÆãÀâ¼ã ‡ãŠãè Öõý ‡ãŠãÀãñºããÀ Ôãâ¹ããä‡ãʾããò / ÔãâÌããã䪾ããò ‡ãŠãè ãä¶ã¾ãìãä‡ã‹¦ã 1,500 smart cards per branch. Appointment of †Ìãâ Ô½ãã›Ã ‡ãŠã¡Ã •ããÀãè ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ½ãñÔãÔãà ›ãèÔããè†Ôã ãäÊã. ‡ãŠãñ ‚ãㄛÔããñÔãà Business correspondents and issuance of smartcards ãä‡ãŠ¾ãã Øã¾ãã Öõý ÌãÓãà ‡ãñŠ ªãõÀã¶ã ‡ãŠãÀãñºããÀ ãä¶ãÀâ¦ãÀ¦ãã ¾ããñ•ã¶ã㠂ããõÀ ‚ãã¹ãªã Ôãñ is outsourced to M/s TCS Ltd. „ºãÀ¶ãñ (ºããèÔããè¹ããè/¡ãè‚ããÀ) ‡ãñŠ ãäÊㆠ¶ããèãä¦ã, ‚ãホãè ¹ãÆã¹ã¥ã ¶ããèãä¦ã, ‚ãホãè During the year, various policies like the Business Continuity Plan and Disaster Recovery (BCP / DR)

33 ‚ãㄛÔããñãäÔãÃâØã ¶ããèãä¦ã ‚ããõÀ ÔãîÞã¶ãã ¹ãÆ¥ããÊããè ÔãìÀàãã ¶ããèãä¦ã •ãõÔããè ãäÌããä¼ã¸ã Policy, IT Procurement Policy, IT Outsourcing Policy ¶ããèãä¦ã¾ããò ‡ãŠãñ ÊããØãî ãä‡ãŠ¾ãã Øã¾ãã Öõý and Information System Security Policy have been put in place. ¹ããäÀÞããÊã¶ããò ‡ãŠãè ÊããØã¦ã Costing of Operations ÊããØã¦ã ‡ãŠàã ºãö‡ãŠ ‡ãñŠ ãäÊㆠÊãã¼ã ºã•ã› ¦ãõ¾ããÀ ‡ãŠÀ¦ãã Öõ ‚ããõÀ ÍããŒãã‚ããò ‡ãŠãñ The Costing Cell prepares the profit budget for the ÔãâãäÌã¦ããäÀ¦ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ¹ãƦ¾ãñ‡ãŠ àãñ¨ã ‡ãŠãñ Êãã¼ã ºã•ã› ‡ãŠã ‚ããºã⛶㠇ãŠÀ¦ãã Bank and allocation of profit budgets to individual Öõý ºã•ã› ‡ãñŠ ¹ãÆãä¦ã ºãö‡ãŠ ‡ãŠãè Êãã¼ã¹ãƪ¦ãã ¹ãÀ ‚ããÌããä£ã‡ãŠ Ôã½ããèàãã ¶ããñ› „ÞÞã Regions for onward distribution to branches. ¹ãƺãâ£ã¶ã ‡ãŠãñ ¹ãÆÔ¦ãì¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý ƒÔã ¹ãÆãä‰ãŠ¾ãã ½ãò ¹ããäÀÞããÊã¶ããò ‡ãŠãè Periodical review note on profitability of the bank vis-à-vis budget are placed to Top Management. In ÊããØã¦ã Ì㠂ãã¾ã ãä¶ã½ããå㠇ãŠã ãä¶ãÀâ¦ãÀ ‚ãã£ããÀ ¹ãÀ ¹ãƺããñ£ã¶ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ this process, cost of operations and income ‚ããõÀ •ãÖãú ‡ãŠÖãé ‚ããÌã;ã‡ãŠ Öãñ, ÌãÖãú Ôãì£ããÀ㦽ã‡ãŠ ‡ãŠãÀÃÌããƒÃ ¹ãÆãÀâ¼ã ‡ãŠãè generation are monitored on a continuous basis and •ãã¦ããè Öõý ÊããØã¦ã Ìã Êãã¼ã ‡ãŠãÀ‡ãŠãò ‡ãŠãñ ‚ããÌããä£ã‡ãŠ ¹ã Ôãñ ãäÌãÍÊãñãäÓã¦ã ãä‡ãŠ¾ãã corrective actions are initiated wherever necessary. •ãã¦ãã Öõ ‚ããõÀ ¾ããäª ãäÌããäÌã£ã¦ãã ¹ããƒÃ •ãã¦ããè Öõ, ¦ããñ „ÞÞã ¹ãƺãâ£ã¶ã ‡ãŠãñ Cost and yield factors are analylsed periodically and ‚ãÌãØã¦ã ‡ãŠÀã¾ã㠕ãã¦ãã Öõ ‚ããõÀ ‚ããØãñ ‡ãŠãè ‡ãŠãÀÃÌããƒÃ ‡ãñŠ ãäÊㆠ¦ãìÀâ¦ã Ôãâºãâãä£ã¦ã any major variations are reported to Top Management besides taking up with concerned regions àãñ¨ã ‡ãñŠ Ôãã©ã ãä½ãÊã‡ãŠÀ ‡ãŠãÀÃÌããƒÃ ‡ãŠãè •ãã¦ããè Öõý ãäÌ㦦㠽ãâ¨ããÊã¾ã ‡ãŠãñ Ôããö¹ãñ immediately for further action. Statement of Intent Øã¾ãñ ‚ããÍã¾ãØã¦ã ãäÌãÌãÀ¥ã ½ãò ¹ãîÌãà ‡ãŠã¾ãÃãä¶ãÓ¹ã㪶ã, Ìã¦ãýãã¶ã ºãã•ããÀ Á¢ãã¶ã submitted to Finance Ministry involves projecting †Ìãâ ¼ããäÌãӾ㠇ãŠãè Ôãâ¼ãã̾ã¦ãã‚ããò ¹ãÀ ‚ãã£ãããäÀ¦ã ¹ãƽãìŒã ¹ãÆãÞãÊããò ‡ãŠã ãäÌã‡ãŠãÔã growth of key parameters based on past ¹ãÆàãñ¹ã¥ã Íãããä½ãÊã ÀÖ¦ãã Öõý performance, present market trends and future potentials. ÔãìÀàãã Security ÍããŒãã‚ããò ¦ã©ãã ¹ãÆÍããÔããä¶ã‡ãŠ ‡ãŠã¾ããÃÊã¾ããò ½ãò ÔãìÀàã㠄¹ãã¾ããò ‡ãñŠ ‡ãŠãÀØãÀ The effective implementation of security measures ‡ãŠã¾ããöÌã¾ã¶ã Ôãñ ØãÆãևãŠãò ¦ã©ãã ԛãû¹ãŠ-ÔãªÔ¾ããò ‡ãñŠ ãäÊㆠ‡ãŠãÀãñºããÀ ‡ãŠã ÔãìÀãäàã¦ã at branches and administrative offices ensured a safe Ìãã¦ããÌãÀ¥ã Ôãìãä¶ããäÍÞã¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõý Ô©ãã¶ããè¾ã ‡ãŠã¶ãî¶ã Ìã ̾ãÌãÔ©ã㠇ãŠãè environment for business for customers and staff. ãäÔ©ããä¦ã ‡ãŠãñ £¾ãã¶ã ½ãò ÀŒã‡ãŠÀ ‚ããÌããä£ã‡ãŠ ¦ããõÀ ¹ãÀ ÔãìÀàã㠄¹ãã¾ããò ‡ãŠã ¹ãì¶ãÀãèàã¥ã The security measures were reviewed periodically ãä‡ãŠ¾ãã Øã¾ã㠂ããõÀ ÍããŒãã‚ããò ‡ãŠãè ÔãìÀàã㠇ãŠãñ ÔãìÒü¤ ºã¶ãã¶ãñ ‡ãñŠ ãäÊㆠkeeping in view the local law and order situation and additional steps as necessary were taken to ‚ããÌã;ã‡ãŠ¦ãã¶ãìÔããÀ ‚ããä¦ããäÀ‡ã‹¦ã ‡ãŠª½ã „Ÿã† Øã†ý ºãö‡ãŠ •ãã¶ã Ìã ½ããÊ㠇ãŠãè strengthen the security measures. The Bank ÔãìÀàãã Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¶ãñ ‡ãñŠ „ÿñ;ã Ôãñ ԛãû¹ãŠ ‡ãñŠ ºããèÞã ÔãìÀàãã Ôãâºãâ£ããè continued to stress on preventive measures for •ããØã‡㊦ãã ¹ãõªã ‡ãŠÀ¶ãñ ‚ããõÀ ‚ããØã Ôãñ ºãÞããÌã Ôãâºãâ£ããè ̾ãÌãÔ©ãã ¦ã©ãã ÔãìÀàãã security and fire fighting arrangements and ‡ãñŠ ãäÊㆠãä¶ãÌããÀ¥ã㦽ã‡ãŠ „¹ã¾ããò ¹ãÀ •ããñÀ ªñ¦ãã ÀÖãý inculcation of security consciousness among staff to ensure safety to life and property. ½ãã¶ãÌã ÔãâÔãã£ã¶ã ãäÌã‡ãŠãÔã Human Resources Development ‡ãŠ½ãÃÞãããäÀ¾ããò ‡ãŠãè Ôã⌾ãã Staff Strength 31 ½ããÞãà 2010 ¦ã‡ãŠ ¼ããÀ¦ã ½ãò 10,252 ‚ããä£ã‡ãŠããäÀ¾ããò, 11,997 The Bank’s staff strength in India stood at 26,732 ãäÊããä¹ã‡ãŠãò Ìã 4,483 ‚ã£ããè¶ãԩ㠇㊽ãÃÞãããäÀ¾ããò ‡ãŠãñ ãä½ãÊãã‡ãŠÀ ºãö‡ãŠ ‡ãñŠ ‡ãŠ½ãÃÞãããäÀ¾ããò comprising 10,252 Officers, 11,997 Clerks and 4,483 ‡ãŠãè Ôã⌾ãã 26,732 Öõý Sub-staff as of March 31, 2010. ‡ãìŠÊ㠇㊽ãÃÞãããäÀ¾ããò ½ãò Ôãñ ‚ã•ã㠇ãñŠ 6,421, ‚ã•ã•ã㠇ãñŠ 1,473 Ìã Of the total staff strength, 6,421 members belonged to SC category, 1,473 to ST Category, and 2,282 to ‚ããä¹ãÌ㠇ãñŠ 2,282 ‡ãŠ½ãÃÞããÀãè Ööý ‡ãŠ½ãÃÞãããäÀ¾ããò ½ãò 5,543 ½ããäÖÊãã†ú, OBC Category. Staff Strength includes 5,543 Women 1,847 £ãããä½ãÇ㊠‚ãʹãÔã⌾ã‡ãŠ Ôã½ãìªã¾ã, 769 ¼ãî¦ã¹ãîÌãà Ôãõãä¶ã‡ãŠ †Ìãâ 556 employees, 1,847 employees from Religious minority ÍããÀãèãäÀ‡ãŠ ¹ã Ôãñ ãäÌã‡ãŠÊããâØã ÔãªÔ¾ã Íãããä½ãÊã Ööý community, 769 ex-servicemen and 556 physically challenged members. ½ãã¶ãÌã ÔãâÔãã£ã¶ã ¹ãÖÊã HR Initiative ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã, ºãö‡ãŠ ¶ãñ 769 ¹ããäÀÌããèàã㠂ããä£ã‡ãŠããäÀ¾ããò ¦ã©ãã During the year 2009-10, the Bank recruited 98 1040 ãäÊããä¹ã‡ãŠãò ‡ãñŠ ‚ãÊããÌãã 98 ãäÌãÍãñÓã—ã ‚ããä£ã‡ãŠããäÀ¾ããò ‡ãŠãè [ 52 Specialist Officers (52 Financial Analysts, 41 ãäÌ㦦ããè¾ã ãäÌãÍÊãñÍã‡ãŠ, 41 ãäÌã¹ã¥ã¶ã ¹ãƺ㶣ã‡ãŠ ‚ããõÀ 5 †Þã‚ããÀ/‚ãヂããÀ Marketing Managers and 5 HR/IR Officers), besides ‚ããä£ã‡ãŠãÀãè] ¼ã¦ããê ‡ãŠãèý 769 Probationary Officers and 1040 Clerks. ‚ããä¼ã¹ãÆñÀ¥ãã Motivation ԛã¹ãŠ ‡ãŠãè ‚ããä¼ã¹ãÆñÀ¥ã㠇ãñŠ ¹㠽ãò ‚ããä£ã‡ãŠããäÀ¾ããò ¦ã©ãã ¹ãâÞã㛠‡ãŠ½ãÃÞããÀãè As a part of staff motivation, Quiz Programme was conducted by Bank both for Officers and Award Staff ÔãªÔ¾ããò ‡ãñŠ ãäÊㆠ¹ãÆͶ㠽ãâÞ㠇ãŠã¾ãÉ㊽㠂ãã¾ããñãä•ã¦ã ãä‡ãŠ¾ãã Øã¾ããý ԛã¹ãŠ ‡ãŠãè members. Towards staff motivation and self- ‚ããä¼ã¹ãÆñÀ¥ã㠂ããõÀ ÔÌã-ãäÌã‡ãŠãÔ㠇ãŠãñ Òãäӛ ½ãò ÀŒã ‡ãŠÀ ½ãã¶ãÌã ÔãâÔãã£ã¶ã ‡ãŠãè development, HR Motivation series on various Human ‚ããä¼ã¹ãÆñÀ¥ãã ÏãðâŒãÊã㠇ãñŠ ¦ãÖ¦ã ãäÌããä¼ã¸ã ½ãã¶ãÌã ãäÌã‡ãŠãÔããè¾ã ¹ãÖÊãì‚ããò ‡ãŠãñ Developmental aspects is circulated to all Staff Ôã¼ããè ԛã¹ãŠ ÔãªÔ¾ããò ½ãò ¹ããäÀÞãããäÊã¦ã ãä‡ãŠ¾ãã Øã¾ããý Members.

34 ¹ãÆãäÍãàã¥ã Training ½ãã¶ãÌã ¹ãîú•ããè ‡ãŠãñ ºãÖì½ãìŒããè ãäÌã‡ãŠãÔ㠇ãŠãè Òãäӛ Ôãñ Ôã½ãð® ºã¶ãã‡ãŠÀ „¦‡ãðŠÓ› Keeping in view the mission of the bank “to enrich ØãÆãև㊠ÔãñÌã㠂ããõÀ Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãñ ½ãîʾã Ìããä®Ã¦ã ÔãñÌãã ½ãìÖõ¾ã㠇ãŠÀã¶ãñ ‡ãñŠ Human Capital through all-round development aiming at providing excellent customer service & value „ÿñ;ã Ôãñ ºãöãä‡ãâŠØ㠇ãñŠ ½ãîÊã¼ãî¦ã àãñ¨ããò ‡ãñŠ ‚ãÊããÌãã ºãöãä‡ãâŠØ㠇ãñŠ Ôã½ã‡ãŠãÊããè¶ã appreciation to shareholders” training is imparted on ½ãìÿãò ¹ãÀ ‚ããâ¦ããäÀ‡ãŠ ‚ããõÀ ºããÛã ¹ãÆãäÍãàã¥ã ‡ãñŠ ´ãÀã ¹ãÆãäÍãàã¥ã ¹ãƪã¶ã ãä‡ãŠ¾ãã contemporary issues of banking apart from basic •ãã¦ãã Öõý ¹ãÆãäÍãàã¥ã ‡ãñŠ ½ãÖ¦¹ãî¥ãà àãñ¨ããò ½ãò •ããñãäŒã½ã ¹ãƺãâ£ã¶ã, ¦ã‡ãŠ¶ããè‡ãŠãò areas of banking through the internal and external ¦ã©ã㠇ã⊹¾ãî›À •ããØã‡㊦ã㠇ãñŠ ‚ãÊããÌã㠄£ããÀ ½ãîʾããâ‡ãŠ¶ã / „£ããÀ ¹ãƺããñ£ã¶ã mode. The focus continued to be on Credit Appraisal/ Ìã ¹ã¾ãÃÌãñàã¥ã, ‚ã¶ã•ãÇ㊠‚ãããäÔ¦ã¾ããò ‡ãŠã ¹ãƺãâ£ã¶ã ‚ããõÀ ÌãÔãîÊããè ¹ãÀ ¼ããè •ããñÀ Credit Monitoring, NPA Management & Recovery in addition to Risk Management and Computer ã䪾ã㠕ãã¶ã㠕ããÀãè ÀŒãã Øã¾ããý ƒÔã‡ãñŠ ‚ãÊããÌãã ãäÌãªñÍããè ãäÌããä¶ã½ã¾ã, ¹ãÆã©ããä½ã‡ãŠ¦ãã awareness. Apart from the above, training was also „£ããÀ, ‡ãñŠÌããƒÃÔããè / † †½ã †Êã, ºããè Ôããè †Ôã ºããè ‚ããƒÃ, †ÔㆽãƒÃ/Ôãîà½ã given in Foreign Exchange, Priority Credit, KYC/ AML, ãäÌ㦦ããè¾ã ‚ããõÀ ØãÆã½ããè¥ã „£ããÀ , ÔãîÞã¶ãã ¹ãÆãõ²ããñãäØã‡ãŠãè „¦¹ã㪠¹ãÀ ¹ãÆãäÍãàã¥ã BCSBI, SME /Micro Finance & Rural Credit, IT ã䪾ãã Øã¾ããý ãä¶ãÀãèàã‡ãŠãò ‡ãñŠ ãäÊㆠ‡ãŠã¾ãÉ㊽ã ,ãä¶ãÌããÀ‡ãŠ Ôã¦ã‡ãʦãã , ÔãÖã¾ã‡ãŠ Products. Programme for Inspectors, Preventive ½ãÖã ¹ãƺãâ£ã‡ãŠãò ‚ããõÀ ½ã쌾㠹ãƺãâ£ã‡ãŠãò ‡ãñŠ ãäÊㆠ¹ãƺãâ£ã¶ã ãäÌã‡ãŠãÔ㠇ãŠã¾ãÉ㊽ã Vigilance, Management Development programme for AGMs & Chief Managers were also conducted. ¼ããè ÞãÊãã¾ãã Øã¾ããý Induction programme for newly recruited probationary ¶ã† ¦ããõÀ ¹ãÀ ¼ã¦ããê ãä‡ãŠ† Øㆠ¹ããäÀÌããèàãã£ããè¶ã ‚ããä£ã‡ãŠããäÀ¾ããò ‡ãñŠ ãäÊㆠofficers were conducted apart from Orientation ‚ããñãäÀ¾ãâ›ñÍã¶ã ‡ãŠã¾ãÉ㊽㠂ããõÀ ¹ãÆãè ‡ãŠ¶ã¹ãŠÀ½ãñÍã¶ã ‡ãŠã¾ãÉ㊽㠇ãñŠ ‚ãÊããÌã㠶ㆠprogramme & Pre Confirmation Programme for ¹ããäÀÌããèàãã£ããè¶ã ‚ããä£ã‡ãŠããäÀ¾ããò ‡ãñŠ ãäÊㆠƒâ¡‡ã‹Íã¶ã ‡ãŠã¾ãÉ㊽㠼ããè ÞãÊãㆠØã†ý Probationary Officers. Pre Promotion Training for SC/ST members who are ãäÌããä¼ã¸ã ԛã¹ãŠ ¹ãÆãäÍãàã¥ã ‡ãñŠ¶³ãò ¹ãÀ ¹ãâÞã㛠ԛã¹ãŠ Ôãñ ãäÊããä¹ã‡ãŠ ÔãâÌãØãà ½ãò eligible for promotion from Sub Staff to Clerical cadre ¹ãªãñ¸ããä¦ã Öñ¦ãì ¹ãã¨ã ‚ã •ãã / ‚ã •ã •ãã ÔãªÔ¾ããò ‡ãñŠ ãäÊㆠ¹ãªãñ¸ããä¦ã ¹ãîÌãà was conducted at various Staff Training Centres. ‡ãŠã¾ãÉ㊽ã ÞãÊãㆠØã†ý Special emphasis was given on programmes like Marketing of the bank’s products, SME Finance, ÍããŒãã‚ããò ‡ãñŠ ÔãìÞãã ÔãâÞããÊã¶ã ‡ãñŠ ãäÊㆠàãñ¨ã ãäÌãÍãñÓ㠇ãŠã¾ãÉ㊽㠂ããõÀ Ô©ãã¶ã Marketing of CASA & Ancillary Services, apart from ¹ãÀ ‡ãŠã¾ãÉ㊽㠇ãñŠ ‚ãÊããÌãã Ö½ããÀñ ºãö‡ãŠ ‡ãñŠ „¦¹ããªãò ‡ãŠã ãäÌã¹ã¥ã¶ã , †Ô㠆½ã ƒÃ Region specific programmes & on location programme ãäÌ㦦ã¹ããñÓã¥ã , ‡ãŠãÔã㠂ããõÀ ‚ã¶ãìÓãâØããè ÔãñÌãã‚ããò ‡ãñŠ ãäÌã¹ã¥ã¶ã •ãõÔãñ ‡ãŠã¾ãÉ㊽ããò for efficient handling of branches. Session on ¹ãÀ ãäÌãÍãñÓ㠕ããñÀ ã䪾ãã Øã¾ããý ԛã¹ãŠ ¹ãÆãäÍãàã¥ã ½ãÖããäÌã²ããÊã¾ã ‚ããõÀ ԛã¹ãŠ Compliance Policies, Official Language ¹ãÆãäÍãàã¥ã ‡ãñŠ¶³ ¹ãÀ ÞãÊãㆠ•ãã ÀÖñ Ôãã½ã㶾㠹ãÆãäÍãàã¥ã ‡ãŠã¾ãÉ㊽ããò ½ãñ Implementation and Preventive Vigilance were included in the general training programmes ‚ã¶ãì¹ããÊã¶ã ¶ããèãä¦ã¾ããò , Àã•ã¼ããÓã㠇ãŠã¾ããöÌã¾ã¶ã ‚ããõÀ ãä¶ãÌããÀ‡ãŠ Ôã¦ã‡ãʦãã ¹ãÀ conducted at Staff Training College and Staff Training Ôã¨ã Íãããä½ãÊã ãä‡ãŠ† Øã†ý ¶ã† „¼ãÀ¦ãñ àãñ¨ããò ¹ãÀ ÍããŒãã‚ããò / àãñ¨ããè¾ã Centres. Training slots were allotted to different Central ‡ãŠã¾ããÃÊã¾ããò ¹ãÀ ½ã쌾㠇ãŠã¾ãÇ㊦ããÂããò ‡ãŠãñ ¹ãÆãäÍãàã¥ã ‡ãñŠ •ããäÀ† Ôãàã½ã ºã¶ãã¶ãñ Office Departments for organising ad-hoc ‡ãñŠ ãäÊㆠ¦ãª©ãà ‡ãŠã¾ãÉ㊽ã ÞãÊãã¶ãñ ‡ãñŠ ãäÊㆠ‡ãñŠ¶³ãè¾ã ‡ãŠã¾ããÃÊã¾ã ‡ãñŠ ãäÌã¼ããØããò programmes to enable them to train key functionaries ‡ãŠãñ ¹ãÆãäÍãàã¥ã ÔÊããù› ‚ããºãâã䛦ã ãä‡ãŠ† Øã†ý at Branches/ Regional Offices on new emerging areas. ÌãÓãà ‡ãñŠ ªãõÀã¶ã ÔãñÌãããä¶ãÌãð¦¦ã Öãñ¶ãñ ÌããÊãñ ‚ããä£ã‡ãŠããäÀ¾ããò Ìã ¹ãâÞã㛠ԛã¹ãŠ The Pre Retirement counseling programme was ÔãªÔ¾ããò ‡ãñŠ ãäÊㆠ¹ãÆãè ãäÀ›ã¾ãÀ½ãò› ‡ãŠã„âãäÔããäÊãâØ㠇ãŠã¾ãÉ㊽ã ÞãÊãㆠØã†ý conducted for Officers and Award Staff Members who ºãö‡ãŠ ¶ãñ ÔãñÌãããä¶ãÌãð¦¦ã ‡ãŠã¾ãùããÊã‡ãŠãâññ ‡ãŠãè ÔãñÌãã†â ÔãâãäÌãªã ¹ãÀ Êããé ãä•ãÔãÔãñ retired during the year. Bank has engaged the „¶ã‡ãñŠ ‚ã¶ãì¼ãÌããò, —ãã¶ã ‚ããõÀ ºãöãä‡ãâŠØ㠇ãñŠ ãäÌããäÌã£ã ‚ãã¾ãã½ããò ‡ãŠãè ãäÌãÍãñÓã—ã¦ãã services of retired executives on contract basis in ‡ãŠã Êãã¼ã „Ÿã¾ã㠕ãã Ôã‡ãñŠý training system to derive the benefit of their experience, knowledge and expertise in various ‡ãŠã¾ãùããÊã‡ãŠãò ‡ãŠãñ ãäÌãªñÍããè ¹ãÆãäÍãàã¥ã ‡ãñŠ ãäÊㆠ¶ãããä½ã¦ã ãä‡ãŠ¾ãã Øã¾ãã ãä•ãÔãÔãñ facets of banking. ºãöãä‡ãâŠØ㠂ããõÀ ¹ãÆãõ²ããñãäØã‡ãŠãè ¹ãÀ ‚㶦ãÀÀãӛÈãè¾ã ¹ããäÀ¹ãÆñà¾ããò ‡ãŠãñ ¹ãÆ㹦ã ãä‡ãŠ¾ã㠕ãã Executives were nominated for overseas training to Ôã‡ãñŠ ‚ããõÀ ‚㶾㠹ãÆãä¦ã¼ãããäØã¾ããò ½ãò „¶ã‡ãñŠ ‚ã¶ãì¼ãÌã Ìã ãäÌãÍãñÓã—ã¦ã㠇ãŠãñ ºããâ›ã acquire international perspective on banking & •ãã Ôã‡ãñŠý technology and share their expertise and experience with other participants. ƒÃ Êããä¶ãÄØ㠇ãñŠ †‡ãŠ ¼ããØ㠇ãñŠ ¹ã ԛã¹ãŠ ‡ãŠãÊãñ•ã ´ãÀã ¹ããñ›ÃÊã ÊããâÞã ãä‡ãŠ¾ãã As a part of E-Learning ,a portal was launched by Øã¾ãã ¦ãããä‡ãŠ ºãöãä‡ãâŠØã ¹ããäÀÞããÊã¶ã ‡ãñŠ ãäÌããä¼ã¸ã àãñ¨ããñâ ½ãñ⠃Ã-Ôã¨ã ¹ãƪã¶ã ãä‡ãŠ¾ãã Staff College , to serve as a vehicle for providing •ãã Ôã‡ãñŠý e-lessons on different areas of banking operations. ‚ããâ¦ããäÀ‡ãŠ ¹ãÆãäÍãàã¥ã Internal Training The internal training system comprises of a Staff ‚ããâ¦ããäÀ‡ãŠ ¹ãÆãäÍãàã¥ã ¹ãÆ¥ããÊããè ½ãò †‡ãŠ ԛãû¹ãŠ ½ãÖããäÌã²ããÊã¾ã, 9 ԛãû¹ãŠ ¹ãÆãäÍãà¥ã College, 9 Staff Training Centres and one Rural ‡ãòŠ³ ¦ã©ã㠆‡ãŠ ØãÆã½ããè¥ã ºãöãä‡ãâŠØã ¹ãÆãäÍãàã¥ã ‡ãòŠ³ Íãããä½ãÊã Ööý 995 ‡ãŠã¾ãÉ㊽ããò Banking Training Centre. Internal training was ‡ãŠã ‚ãã¾ããñ•ã¶ã ‡ãŠÀ‡ãñŠ ‡ãìŠÊã 15,613 ԛãû¹ãŠ ‡ãŠãñ ‚ããâ¦ããäÀ‡ãŠ ¹ãÆãäÍãàã¥ã ã䪾ãã imparted to 15,613 staff comprising of 8,548 Officers, Øã¾ãã ãä•ãÔã½ãò 8548 ‚ããä£ã‡ãŠãÀãè, 5915 ãäÊããä¹ã‡ãŠ ‚ããõÀ 1150 ‚ã£ããè¶ãÔ©ã 5,915 Clerical and 1,150 Sub-staff by conducting 995 programmes. Of the total staff trained 3,205 belonged ԛãû¹ãŠ Íãããä½ãÊã ©ãñ ý ¹ãÆãäÍããäàã¦ã ‡ãìŠÊã ԛãû¹ãŠ ½ãò 3,205 ‚ã •ã㠇ãñŠ ‚ããõÀ to SC, and 1,104 belonged to ST. 1,104 ‚ã •ã •ã㠇ãñŠ ©ãñ ý

35 ºããÖÀãè ¹ãÆãäÍãàã¥ã Ìã ãäÌãªñÍã ½ãò ¹ãÆãäÍãàã¥ã External Training and Overseas Training ºãö‡ãŠ ¶ãñ ¹ãÆãä¦ãӟ㦽ã‡ãŠ ºããÛã ÔãâÔ©ãã‚ããò ´ãÀ㠂ãã¾ããñãä•ã¦ã ¹ãÆãäÍãàã¥ã ‡ãŠã¾ãÉ㊽ããò The Bank had also deputed 48 Executives and ½ãò 48 ‡ãŠã¾ãùããÊã‡ãŠãò ‚ããõÀ 270 ‚ããä£ã‡ãŠããäÀ¾ããò ‡ãŠãñ ¹ãÆãä¦ããä¶ã¾ãì‡ã‹¦ã ãä‡ãŠ¾ããý 270 Officers for training programmes conducted by reputed external institutes. Apart from these 8 ƒ¶ã‡ãñŠ ‚ãÊããÌãã 8 ‡ãŠã¾ãùããÊã‡ãŠãò †Ìãâ 6 ‚ããä£ã‡ãŠããäÀ¾ããò ‡ãŠãñ ãäÌãªñÍã ½ãò ¹ãÆãäÍãàã¥ã executives and 6 officers were deputed for training ‡ãñŠ ãäÊㆠ¹ãÆãä¦ããä¶ã¾ãì‡ã‹¦ã ãä‡ãŠ¾ãã Øã¾ããý abroad. àãñ û ØãÆãû ºãö‡ãŠ ‡ãñŠ ԛãû¹ãŠ-ÔãªÔ¾ããò ‡ãŠãñ ¹ãÆãäÍãàã¥ã Training for Staff of RRB’s ºãö‡ãŠ ¶ãñ ¶ããèÊããÞãÊã ØãÆ㽾㠺ãö‡ãŠ ¦ã©ãã ¹ããâã䡾ã¶ã ØãÆã½ãã ºãö‡ãŠ ‡ãñŠ 508 ԛãû¹ãŠ- The Bank had also trained 508 staff members of ÔãªÔ¾ããò ‡ãŠãñ 33 ¹ãÆãäÍãàã¥ã ‡ãŠã¾ãÉ㊽ããò ½ãò ¹ãÆãäÍããäàã¦ã ãä‡ãŠ¾ããý ‡ãìŠÊã ¹ãÆãäÍããäàã¦ã Neelachal Gramya Bank and Pandyan Grama Bank through 33 Training Programmes. Of the total staff ԛãû¹ãŠ-ÔãªÔ¾ããò ½ãò ‚ã¶ãìÔãîãäÞã¦ã •ãããä¦ã ‡ãñŠ 88 ¦ã©ã㠂ã¶ãìÔãîãäÞã¦ã •ã¶ã•ãããä¦ã trained 88 belonged to SC and 3 belonged to ST . ‡ãñŠ 3 ÔãªÔ¾ã ©ãñý Prospects Ôãâ¼ããÌã¶ãã†â The year 2010-11 is expected to witness improved ÌãÓãà 2010-11 ½ãò ‚ãããä©ãÇ㊠ãä¶ãÓ¹ã㪶㠇ãñŠ ºãü¤¶ãñ, ãä¶ã¾ããæ㠽ããâØã ½ãò Ìãðãä® economic performance, revival of export demand and Öãñ¶ãñ ‚ããõÀ ÌãõãäÍÌã‡ãŠ ‚ãããä©ãÇ㊠¹ããäÀÌãñÍã ½ãò ‚ããõÀ ‚ããä£ã‡ãŠ Ôã½ãã¶ãì‡ãîŠÊã Ìãã¦ããÌãÀ¥ã more conducive global economic environment. All these positive features are expected to strengthen „¦¹ã¸ã Öãñ¶ãñ ‡ãŠãè ‚ã¹ãñàã㠇ãŠãè •ãã¦ããè Öõý ƒ¶ã Ôã¼ããè Ôã‡ãŠãÀ㦽ã‡ãŠ ¹ãÖÊãì‚ããò Ôãñ the economy and launch it on a higher growth path „½½ããèª ‡ãŠãè •ãã¦ããè Öõ ãä‡ãŠ Ìãñ ‚ã©ãÃ̾ãÌãÔ©ã㠇ãŠãñ Ôãìªðü¤ ‡ãŠÀòØãñ ‚ããõÀ ‚ããØãã½ããè in the subsequent years. ÌãÓããô ½ãò ƒÔãñ ‚ããä£ã‡ãŠ ãäÌã‡ãŠãÔ㠇ãŠãè ‚ããñÀ ‚ãØãÆÔãÀ ‡ãŠÀòØãñý

36 ÌãÓãà 2009-10 ‡ãñŠ ãäÊㆠ‡ãŠã¹ããóÀñ› ØãÌã¶ãôÔã ¹ãÀ ãä¶ãªñÍã‡ãŠ REPORT OF THE BOARD OF DIRECTORS ON CORPORATE GOVERNANCE ½ãâ¡Ê㠇ãŠãè ãäÀ¹ããñ›Ã FOR THE YEAR 2009-10 ‡ãŠ. ‚ããä£ãªñÍã㦽ã‡ãŠ ‚ããÌã;ã‡ãŠ¦ãã†ú A. MANDATORY REQUIREMENTS: 1. BANK’S PHILOSOPHY ON CODE OF 1. ØãÌã¶ãó¶Ô㠇ãŠãñ¡ ¹ãÀ ºãö‡ãŠ ‡ãŠã ªÍãöã GOVERNANCE: ‡ãŠãù¹ããóÀñ› ØãÌã¶ãó¶Ôã ÔãÌãÃ-½ãÖ¦Ìã¹ãî¥ãà ÔãâÀÞã¶ã㦽ã‡ãŠ ¤ãúÞãã ¹ãƪã¶ã ‡ãŠÀ¦ãã Öõ, Corporate Governance provides the all-important ãä•ãÔãÔãñ ãä‡ãŠÔããè ¼ããè ÔãâØ㟶㠇ãñŠ „ÿñ;ããò ‡ãŠãñ ãä¶ããäÍÞã¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ‚ããõÀ structure through which the objectives of an „Ôãñ ¹ãÆ㹦㠇ãŠÀ¶ãñ Ì㠄Ôã‡ãñŠ ‡ãŠã¾ãÃ-ãä¶ãÓ¹ã㪶㠹ãÀ ãä¶ãØãÀã¶ããè ÀŒã¶ãñ ‡ãŠã ½ããØãà organization are set as well as determines the means of attaining those objectives and monitoring ãä¶ããäÍÞã¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý ÔÌãÔ©¾ã ‡ãŠãù¹ããóÀñ› ØãÌã¶ãó¶Ô㠇ãŠã „ÿñ;㠇ãŠãù¹ããóÀñ› performance. The primary objective of sound corporate ‡ãŠã¾ãÃ-ãä¶ãÓ¹ã㪶㠇ãŠãñ ºãñÖ¦ãÀ ºã¶ãã¶ãñ ‚ããõÀ ªãèÜããÃÌããä£ã Íãñ¾ãÀ£ããÀ‡ãŠ ½ãîʾã governance is to contribute to improved corporate „¦¹ã¶¶ã ‡ãŠÀ¶ãñ ‡ãŠãè ãä•ã½½ãñªãÀãè ½ãò ‚ã¹ã¶ã㠄§ãÀªããä¾ã¦Ìã ¹ãƪã¶ã ‡ãŠÀ¶ãã Öãñ¦ãã performance and accountability in creating long term Öõý shareholder value. The Bank has been scrupulously ensuring ºãö‡ãŠ Ôã¼ããè àãñ¨ããò ½ãò ãäÌããä¶ã¾ãã½ã‡ãŠ ¹ãÆããä£ã‡ãŠããäÀ¾ããò ´ãÀã ãä¶ã£ããÃãäÀ¦ã ½ãã¶ãª¥¡ãò compliances with norms laid down by regulatory ‡ãñŠ ‚ã¶ãì¹ããÊã¶ã ‡ãŠãñ ãäºã¶ãã Þãî‡ãŠ Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ ÀÖã Öõý ºãö‡ãŠ Ö½ãñÍãã Öãè authorities in all areas. The Bank has always been ‚ãޜñ ‡ãŠãù¹ããóÀñ› ØãÌã¶ãó¶Ô㠇ãŠãñ ‚ã¹ã¶ãã¶ãñ ‚ããõÀ ¹ããÊã¶ã ‡ãŠÀ¶ãñ ½ãò Ôããä‰ãŠ¾ã ÀÖã proactive in adopting as well as practicing good Öõý ºããñ¡Ã £ã¶ã †Ìãâ Õããñ¦ããò ‡ãñŠ Ôãð•ã¶ã, ÔãâÀàã¥ã †Ìã⠄¶Öò ºãü¤ã¶ãñ ‡ãñŠ ãäÊㆠCorporate Governance. The Board recognizes its accountability to all stakeholders of the Bank ºãöâ‡ãŠ ‡ãñŠ Ôã¼ããè ãäÖ¦ã£ããÀ‡ãŠãò ‡ãñŠ ¹ãÆãä¦ã ‚ã¹ã¶ããè ãä•ã½½ãñªããäÀ¾ããò ‡ãŠãñ ¹ãÖÞãã¶ã¦ãã for creating, protecting and enhancing wealth and Öõ ‚ããõÀ „¶Öò Ôã½ã¾ã-Ôã½ã¾ã ¹ãÀ †Ìãâ ¹ããÀªÍããê ¦ãÀÖ Ôãñ ‚ã¹ã¶ãñ ‡ãŠã¾ãÃ-ãä¶ãÓ¹ã㪶ã resources for the Bank and reporting to them ‡ãŠãè ãäÀ¹ããñ›Ã ªñ¦ãã Öõý ºãö‡ãŠ ‡ãŠãñ ¾ãÖ ¹ãƾããÔ㠇ãŠÀ¶ãã Þãããäֆ ãä‡ãŠ ‡ãŠãù¹ããóÀñ› on its performance in a timely and transparent ØãÌã¶ãó¶Ô㠇ãŠãñ ºãü¤ã¶ãñ ‡ãñŠ ãäÊㆠ„¦‡ãðŠÓ› ÔãªãÞããÀ ‡ãŠã ‡ãŠã¾ããöÌã¾ã¶ã Ôãìãä¶ããäÍÞã¦ã manner. It is the Bank’s endeavour to ensure the implementation of best practices for the purpose ‡ãŠÀò, ãä•ãÔãÔãñ Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãñ ¼ããè Êãã¼ã ¹ãÖìúÞãñý of enhancing corporate governance and in turn ºãö‡ãŠ Ôã½ãØãÆ ØãÌã¶ãó¶Ôã ¹ãÆãä‰ãŠ¾ã㠇ãŠãè ¹ãƼããÌã‡ãŠããäÀ¦ã㠇ãŠãñ Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¶ãñ, benefiting shareholder interests. ¹ãƼããÌã‡ãŠãÀãè ãäÌã§ããè¾ã ãäÀ¹ããñãä›ÄØã Ìã ¹ãƇ㊛¶ã ½ãã¶ãª¥¡ ‡ãñŠ ÀŒãÀŒããÌ㠇ãŠãñ The Bank appreciates its fiduciary duty and Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¶ãñ ‚ããõÀ „ÞÞã ¶ããèãä¦ã ½ãã¶ã‡ãŠãò ‡ãŠã ¹ããÊã¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ‚ã¹ã¶ãñ responsibility for ensuring the effectiveness of its overall governance process, for ensuring the maintenance ¶¾ããÔããè¾ã ‡ãŠ¦ãÃ̾㠂ããõÀ ãä•ã½½ãñªããäÀ¾ããò ‡ãŠãè ÔãÀãÖ¶ã㠇ãŠÀ¦ãã Öõý of effective financial reporting and disclosure norms Ö½ããÀãè ‡ãŠã¹ããóÀñ› ØãÌã¶ãó¶Ôã ¶ããèãä¦ã¾ããú ãä¶ã½¶ããäÊããäŒã¦ã ãäÔã®ãâ¦ããò ¹ãÀ ‚ãã£ãããäÀ¦ã and adherence to high ethical standards. Öõý The Bank’s Corporate Governance policies are based on the following principles: ⇒ ‡ãŠã¶ãî¶ã ‡ãŠã ‚ãàãÀÍã: ‚ã¶ãì¹ããÊã¶ã Öãñ ý ⇒ Satisfy the law both in letter and in spirit ⇒ ¹ããÀªÍããê ÀÖ¶ã㠂ããõÀ „ÞÞã ¹ãƇ㊛ãè‡ãŠÀ¥ã Ô¦ãÀ ºã¶ãㆠÀŒã¶ãã ý ⇒ Be transparent and maintain a high degree of disclosure levels. ⇒ ºãö‡ãŠ ‡ãŠã ‚ããâ¦ããäÀ‡ãŠ ‡ãŠã½ã‡ãŠã•ã ‡ãõŠÔãñ ÞãÊã¦ãã Öõ „Ôã‡ãñŠ ºããÀñ ½ãò ºããÖÀ ⇒ Communicate externally in a truthful manner ÔãÖãè •ãã¶ã‡ãŠãÀãè ªñ¶ãã ý about how the bank is run internally ⇒ ãä•ã¶ã ªñÍããò ½ãò ºãö‡ãŠ ‡ãŠã½ã ‡ãŠÀ ÀÖã Öõ „¶ã Ôã¼ããè ªñÍããò ‡ãñŠ ‡ãŠã¶ãî¶ã ‡ãŠã ⇒ Comply with laws of all the countries in which the Bank operates ‚ã¶ãì¹ããÊã¶ã ‡ãŠÀ¶ããý ⇒ Realise that management is only the trustee ⇒ ¾ãÖ Ôã½ã¢ã¶ãã ãä‡ãŠ ¹ãƺãâ£ã¶ã •ã¶ã¦ã㠇ãŠãè ãä¶ããä£ã¾ããò ‡ãŠã ‡ãñŠÌãÊã ¶¾ããÔããè and custodian of the public funds and not ‚ããõÀ ÔãâÀàã‡ãŠ Öõ ¶ã ãä‡ãŠ „Ôã‡ãŠã ÔÌãã½ããè ý the owner The Bank’s existing corporate vision: To be a ºãö‡ãŠ ‡ãŠãè Ìã¦ãýãã¶ã ‡ãŠã¹ããóÀñ› Òãäӛ: Êãã¼ã Ìã Ìãðãä® ‡ãñŠ àãñ¨ã ½ãò ÔãºãÔãñ ‚ããØãñ Leader in terms of Profit and Growth and also ÀևãŠÀ ØãÆãևãŠãò ‡ãŠãñ ÔãìÀãäàã¦ã ¦ã©ãã ¶ãõãä¦ã‡ãŠ ºãöãä‡ãâŠØã ÔãñÌãã†ú ¹ãƪã¶ã ‡ãŠÀ¶ããý providing Safe & Ethical Banking Services to ºãö‡ãŠ ‚ã¹ã¶ãñ ÔãâÔãã£ã¶ããò Ìã ¹ãƺãÊã¦ã㠂ããõÀ À¥ã¶ããèãä¦ã¾ããò Ôãñ ƒÔã Òãäӛ ‡ãŠãñ Customers. The Bank will continue to focus its ¹ãÆ㹦㠇ãŠÀ¶ã㠕ããÀãè ÀŒãñØãã ý resources, strengths and strategies to achieve this vision.

37 2. ãä¶ãªñÍã‡ãŠ ½ãâ¡Êã 2. BOARD OF DIRECTORS: ‡ãŠ. ÔãâÀÞã¶ãã a. Composition: ºãö‡ãŠ ‡ãñŠ ‡ãŠãÀãñºããÀ ‡ãŠã ‡ãŠã¾ãüããÀ ãä¶ãªñÍã‡ãŠ ½ãâ¡Êã ¹ãÀ Öõý ‚㣾ãàã Ìã ¹ãƺãâ£ã The business of the Bank is vested with the Board ãä¶ãªñÍã‡ãŠ ¦ã©ãã ªãñ ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ ½ãâ¡Ê㠇ãñŠ ¹ã¾ãÃÌãñàã¥ã, ãä¶ãªñÃÍã¶ã of Directors. The CMD and two EDs function ‚ããõÀ ãä¶ã¾ãâ¨ã¥ã ½ãò ‡ãŠã½ã ‡ãŠÀ¦ãñ Ööý ãä¶ãªñÍã‡ãŠ ½ãâ¡Êã ½ãò 31.03.2010 under the superintendence, direction and control of the Board. The strength as on 31.03.2010 is ¦ã‡ãŠ ºããÀÖ ÔãªÔ¾ã ÀÖñ, ãä•ã¶ã½ãò ¦ããè¶ã ‡ãŠã¾ãùããÊã‡ãŠ ¹ãî¥ãà ‡ãŠããäÊã‡ãŠ ãä¶ãªñÍã‡ãŠ twelve directors comprising three whole time Öö Ìã ¶ããõ ØãõÀ ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ Öö ãä•ãÔã½ãò ¦ããè¶ã ãä¶ãªñÍã‡ãŠ Íãñ¾ãÀ Directors and nine non-executive Directors, which £ããÀ‡ãŠãò ´ãÀ㠄¶ã‡ãñŠ ãäÖ¦ããò ‡ãñŠ ãäÌããä£ãÌã¦ã ¹ãÆãä¦ããä¶ããä£ã¦Ì㠇ãñŠ ãäÊㆠÞãì¶ãñ Øㆠincludes three directors elected by the Ööý shareholders to duly represent their interest. Œã. ãäÌã§ããè¾ã ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã ‡ãŠã¾ãÃÀ¦ã ãä¶ãªñÍã‡ãŠãò b. Particulars of directors who held office ‡ãñŠ ãäÌãÌãÀ¥ã during the financial year 2009-2010: ‰ãŠ.Ôãâ. ãä¶ãªñÍã‡ãŠ ‡ãŠã ¶ãã½ã ¹ãª¶ãã½ã ãä¶ãªñÍã‡ãŠ¦ã㠇ãŠã ãä¶ã¾ãìãä‡ã‹¦ã ‡ãŠãè ÌãÓãà ‡ãñŠ ªãõÀã¶ã Sl Name of the Director Designation Nature of Date of Retirement/ ÔÌã¹㠦ããÀãèŒã ÔãñÌãã ãä¶ãÌãð¦¦ã / No Directorship Appointment demission of ‡ãŠã¾ãÇãŠãÊ㠇ãŠãè office during Ôããä½ããä¦ã the year 1Ñããè †Ô㠆 ¼ã› ‚㣾ãàãÌã ¹ãƺãâ£ã ‡ãŠã¾ãùããÊã‡ãŠ / 04.06.2007 - 01 Shri S A Bhat Chairman & Executive / 04.06.2007 — ãä¶ãªñÍã‡ãŠ ¹ãî¥ãÇãŠããäÊã‡ãŠ Managing Whole Time Director 2 Ñããè •ããè ¶ããÀã¾ã¥ã¶ã ‡ãŠã¾ãùããÊã‡ãŠ ‡ãŠã¾ãùããÊã‡ãŠ / 07.11.2007 31.10.2009 02 Shri G Narayanan Executive Executive / 07.11.2007 31.10.2009 - ãä¶ãªñÍã‡ãŠ ¹ãî¥ãÇãŠããäÊã‡ãŠ ‡ãŠãñ ÔãñÌãããä¶ãÌãð§ã Director Whole Time Retired 3 Ñããè ÌããƒÃ †Êã ½ãªã¶ã ‡ãŠã¾ãùããÊã‡ãŠ ‡ãŠã¾ãùããÊã‡ãŠ / 16.05.2008 - 03 Shri Y L Madan Executive Executive / 16.05.2008 — ãä¶ãªñÍã‡ãŠ ¹ãî¥ãÇãŠããäÊã‡ãŠ Director Whole Time 4 Ñããè½ã¦ããè ¶ãî¹ãìÀ ãä½ã¨ã㠇ãŠã¾ãùããÊã‡ãŠ ‡ãŠã¾ãùããÊã‡ãŠ / 07.12.2009 - 04 Smt.NupurMitra Executive Executive / ãä¶ãªñÍã‡ãŠ ¹ãî¥ãÇãŠããäÊã‡ãŠ Director Whole Time 07.12.2009 — 5 ¡ãù.ãäÌã¶ããè¦ã㠇ã슽ããÀ ÔãÀ‡ãŠãÀãè ¶ãããä½ã¦ããè ÔãÀ‡ãŠãÀãè 10.06.2008 - 05 Dr. Vinita Kumar Govt. Nominee Official – ãä¶ãªñÍã‡ãŠ ØãõÀ-‡ãŠã¾ãùããÊã‡ãŠ Director Non Executive 10.06.2008 — 6 Ñããè½ã¦ããè ãäÞã¨ãã Þãâ³½ããõÊããèÍÌãÀ¶ã ¼ãã ãäÀ ºãö‡ãŠ ‡ãñŠ ØãõÀ ‡ãŠã¾ãùããÊã‡ãŠ 27.02.2007 - 06 Smt. Chitra Chandramouliswaran RBI Nominee Non Executive 27.02.2007 — ¶ãããä½ã¦ããè ãä¶ãªñÍã‡ãŠ Director 07 Shri N Sridaran Workmen Non Executive 20.04.2007 — 7 Ñããè †¶ã Ñããè£ãÀ¶ã ‡ãŠ½ãÇãŠãÀ ‡ãŠ½ãÃÞããÀãè ØãõÀ ‡ãŠã¾ãùããÊã‡ãŠ 20.04.2007 - Employee ãä¶ãªñÍã‡ãŠ Director 8 Ñããè •ãñ ¡ãè Íã½ããà ‚ããä£ã‡ãŠãÀãè ‡ãŠ½ãÃÞããÀãè ØãõÀ ‡ãŠã¾ãùããÊã‡ãŠ 09.03.2006 30.11.2009 08 Shri J D Sharma Officer Non Executive 09.03.2006 30.11.2009 – ãä¶ãªñÍã‡ãŠ ‡ãŠãñ ‡ãŠã¾ããÃÊã¾ã Employee demitted office ¦¾ããØã ã䪾ãã Director 9 Ñããè. ‡ãñŠ ‚ãã¶ã⪠‡ã슽ããÀ ‚ããä£ã‡ãŠãÀãè ØãõÀ ‡ãŠã¾ãùããÊã‡ãŠ 26.03.2010 - 09 Shri K. Ananda Kumar Officer ‡ãŠ½ãÃÞããÀãè ãä¶ãªñÍã‡ãŠ Employee Director Non Executive 26.03.2010 - 10 Ñããè †½ã ÀÌããé³ ãäÌã‰ãŠ½ã Ôã¶ãªãè ÊãñŒãã‡ãŠÀ ØãõÀ‡ãŠã¾ãùããÊã‡ãŠ 11.10.2006 10.10.2009 10 Shri M. Ravindra Vikram Chartered Non Executive 11.10.2006 10.10.2009 – ãä¶ãªñÍã‡ãŠ / ‡ãŠãñ ‡ãŠã¾ããÃÊã¾ã Accountant demitted office ‚ãâÍã‡ãŠããäÊã‡ãŠ ¦¾ããØã ã䪾ãã Director ØãõÀ ÔãÀ‡ãŠãÀãè Part time – 11 Ñããè ºããè Ìããè ‚ã¹¹ãã ÀãÌã ãä¶ãªñÍã‡ãŠ / ØãõÀ ‡ãŠã¾ãùããÊã‡ãŠ 29.08.2008 - Non official ‚ãâÍã‡ãŠããäÊã‡ãŠ 11 Shri B V Appa Rao Director/ Non Executive 29.08.2008 — ØãõÀ ÔãÀ‡ãŠãÀãè Part-time Non – Official 12 Ñããè ÔãîÀ•ã Œã¨ããè ãä¶ãªñÍã‡ãŠ / ØãõÀ ‡ãŠã¾ãùããÊã‡ãŠ 26.10.2009 - 12 Shri Sooraj Khatri Director / Non Executive 26.10.2009 - ‚ãâÍã‡ãŠããäÊã‡ãŠ Part-time ØãõÀ ÔãÀ‡ãŠãÀãè Non – Official 13 Ñããè † ‡ãñŠ ¼ããØãÃÌã Íãñ¾ãÀ£ããÀ‡ãŠ ØãõÀ ‡ãŠã¾ãùããÊã‡ãŠ 08.12.2008 - 13 Shri A.K. Bhargava Shareholder ãä¶ãªñÍã‡ãŠ Director Non Executive 08.12.2008 — 14 ¡ãù. ãäÞãÀâ•ããèºã Ôãñ¶ã Íãñ¾ãÀ£ããÀ‡ãŠ ØãõÀ ‡ãŠã¾ãùããÊã‡ãŠ 08.12.2008 - 14 Dr. Chiranjib Sen Shareholder ãä¶ãªñÍã‡ãŠ Director Non Executive 08.12.2008 — 15 Ñããè † ÌãñÊÊãõ¾ã¶ã Íñã¾ãÀ£ããÀ‡ãŠ ØãõÀ ‡ãŠã¾ãùããÊã‡ãŠ 08.12.2008 - 15 Shri A Vellayan Shareholder ãä¶ãªñÍã‡ãŠ Director Non Executive 08.12.2008 —

38 ºãö‡ãŠ ‡ãñŠ ãä¶ãªñÍã‡ãŠãò ‡ãŠã ¹ãÆãñ¹ãŠãƒÊ㠂ã¶ãìºãâ£ã ½ãò ã䪾ãã Profile of Directors of the Bank is enclosed Øã¾ãã Öõ ý as an Annexure. It is declared that none of the directors are related ¾ãÖ ÜããñãäÓã¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ãä‡ãŠ ‡ãŠãñƒÃ ¼ããè ãä¶ãªñÍã‡ãŠ †‡ãŠ ªîÔãÀñ to each other or related to any of the employees ‡ãñŠ ãäÀͦãñªãÀ ¶ãÖãé Öö ¾ãã ºãö‡ãŠ ‡ãñŠ ãä‡ãŠÔããè ‡ãŠ½ãÃÞããÀãè ‡ãñŠ ãäÀͦãñªãÀ of the bank. ¶ãÖãé Öö ý The Board has adopted a Code of Conduct for ½ãâ¡Êã ¶ãñ ãä¶ãªñÍã‡ãŠãò ‚ããõÀ Ôã¼ããè ½ãÖã¹ãƺãâ£ã‡ãŠãò ‡ãñŠ ãäÊㆠ‚ããÞãÀ¥ã ÔãâãäÖ¦ãã Directors and all the General Managers and a ‚ã¹ã¶ããƒÃ Öõ ‚ããõÀ ‚ã.Ìã.¹ãÆ.ãä¶ã Ôãñ ƒÔ㠂ããÍã¾ã ‡ãŠãè ÜããñÓã¥ãã ¹ãÆ㹦㠇ãŠãè ØãƒÃ Öõ declaration has been obtained from the CMD confirming their compliance with the Code of ãä•ãÔã½ãò ÔãâãäÖ¦ã㠂ã¶ãì¹ããÊã¶ã ‡ãŠãè ¹ãìãäӛ ‡ãŠãè ØãƒÃ Öõ ‚ããõÀ ƒÔã ãäÀ¹ããñ›Ã ‡ãñŠ Ôãã©ã Conduct and is attached to this report. ÔãâÊãضã Öõý Shri K Sundar Rajan, Deputy General Manager, ºããñ¡Ã ÔãñÌãã ãäÌã¼ããØã Ôãñ •ãìü¡ñ Ñããè ‡ãñŠ ÔãìâªÀ Àã•ã¶ã, „¹ã ½ãÖã ¹ãƺãâ£ã‡ãŠ ‚ãÖæãã a qualified Company Secretary, attached to Board ¹ãÆ㹦㠇ã⊹ã¶ããè ÔããäÞãÌã Öõ⠂ããõÀ ¡ãù ØããâØãìÊããè Ôããä½ããä¦ã ‡ãŠãè ãäÔã¹ãŠããäÀÍããò ‡ãñŠ Services Department, is also the Secretary to the ‚ã¶ãìÔããÀ Ìãñ ºããñ¡Ã ‡ãñŠ ¼ããè ÔããäÞãÌã Öõâ ý Board, in accordance with the recommendations of the Dr. Ganguly Committee. Øã. ãä¶ãªñÍã‡ãŠ ½ãâ¡Ê㠇ãŠãè ºãõŸ‡ãòŠ c. Meetings of the Board: ºãõŸ‡ãŠ ‡ãŠãè ¦ããÀãèŒã Ìã Ô©ãã¶ã ‚ããõÀ ‡ãŠã¾ãÃÔãîÞããè Ôã¼ããè ãä¶ãªñÍã‡ãŠãò ‡ãŠãñ Ôã½ã¾ã The date and place of the meeting as well as ÀÖ¦ãñ ÔãîãäÞã¦ã ‡ãŠãè •ãã¦ããè Öõý ãä¶ãªñÍã‡ãŠãò ‡ãŠãñ ‡ãŠã¾ãÃÔãîÞããè ‡ãñŠ Ôã¼ããè ½ãªãò ¹ãÀ the agenda papers are advised to all Directors ‚ããä¦ããäÀ‡ã‹¦ã ÔãîÞã¶ãã ¹ãÆ㹦㠇ãŠÀ¶ãñ ‡ãŠãè ÔãìãäÌã£ã㠄¹ãÊ㺣ã Öõý ºãö‡ãŠ ‡ãñŠ well in advance. The Directors have access to all additional information on the agenda. ‡ãŠã¾ãùããÊã‡ãŠãò ‡ãŠãñ ¼ããè ãä¶ãªñÍã‡ãŠ ½ãâ¡Ê㠇ãŠãè ºãõŸ‡ãŠãò ½ãò ‚ãã½ãâãä¨ã¦ã ãä‡ãŠ¾ãã Executives of the Bank are also invited to attend •ãã¦ãã Öõ ¦ãããä‡ãŠ Ìãñ ‚ããÌã;ã‡ãŠ Ô¹ãӛãè‡ãŠÀ¥ã ¹ãƪã¶ã ‡ãŠÀ Ôã‡ãòŠý Ôã½ããèàãã ÌãÓãà the Board meetings to provide necessary ‡ãñŠ ªãõÀã¶ã ãä¶ãªñÍã‡ãŠ ½ãâ¡Ê㠇ãŠãè ‡ãŠ½ã-Ôãñ-‡ãŠ½ã ãä¦ã½ããÖãè ½ãò †‡ãŠ ºãõŸ‡ãŠ ‡ãñŠ clarifications. During the year under review, the ãäÖÔããºã Ôãñ, ÌãÓãà ½ãò ¶¾ãî¦ã½ã œ: ºããÀ ‚ãã¾ããñãä•ã¦ã ãä‡ãŠ† •ãã¶ãñ ‡ãŠãè ¦ãìÊã¶ãã ½ãò, meetings of the Board were held 12 times as 12 ºãõŸ‡ãòŠ ÖìƒÃ ý against the requirement of holding meetings at least once a quarter with a minimum of six times a year. l ãäÌã§ããè¾ã ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã ãä¶ã½¶ããäÊããäŒã¦ã ¦ããÀãèŒããò †Ìãâ

Ô©ãã¶ããò ½ãò 12 ºããÀ ½ãâ¡Ê㠇ãŠãè ºãõŸ‡ãòŠ ‚ãã¾ããñãä•ã¦ã ‡ãŠãè ØãƒÃââ : l During the financial year 2009-10, the Board meetings were held 12 times on the following ‰ãŠ.Ôãâ. ºãõŸ‡ãŠ ‡ãŠãè ¦ããÀãèŒã Ô©ãã¶ã dates and places : 1 04.05.2009 Þãñ¸ãõ SL NO. DATE OF MEETING PLACE HELD 2 13.06.2009 Þãñ¸ãõ 01 04.05.2009 Chennai 3 05.07.2009 Þãñ¸ãõ 02 13.06.2009 Chennai 4 29.07..2009 ãäªÊÊããè 03 05.07.2009 Chennai 5 18.08.2009 Þãñ¸ãõ 04 29.07.2009 Delhi 6 22.09.2009 Þãñ¸ãõ 05 18.08.2009 Chennai 7 29.10.2009 Þãñ¸ãõ 06 22.09.2009 Chennai 8 29.11.2009 ‡ãŠãñÊã‡ãŠã¦ãã 07 29.10.2009 Chennai 9 04.01.2010 Þãñ¸ãõ 08 29.11.2009 Kolkata 10 28.01.2010 Þãñ¸ãõ 09 04.01.2010 Chennai 11 24.02.2010 ãäªÊÊããè 10 28.01.2010 Chennai 11 24.02.2010 Delhi 12 30.03.2010 ½ã콺ãƒÃ 12 30.03.2010 Mumbai l Ôã¼ããè ºãõŸ‡ãòŠ „ãäÞã¦ã ‡ãŠãñÀ½ã ‡ãñŠ Ôãã©ã Ô©ããäØã¦ã ãä‡ãŠ† ãäºã¶ã㠂ãã¾ããñãä•ã¦ã · All the meetings were conducted with proper ‡ãŠãè ØãƒÄý quorum and without any adjournments.

l ½ãâ¡Ê㠇ãŠãè „§ãŠ ºãõŸ‡ãŠãò ‚ããõÀ ã䪶ããâ‡ãŠ 04.07.2009 ‡ãŠãñ ‚ãã¾ããñãä•ã¦ã · Attendance of the directors at the above ãä¹ãœÊããè †•ãã膽㠽ãò ãä¶ãªñÍã‡ãŠãò ‡ãŠãè „¹ããäÔ©ããä¦ã ¶ããèÞãñ ªãè Øã¾ããè Öõ : Board meetings and last AGM held on 04.07.2009 are furnished below:

39 ‰ãŠ.Ôãâ. ãä¶ãªñÍã‡ãŠãò ‡ãñŠ ¶ãã½ã ¼ããØã Êããè ãä¹ãœÊããè †•ãã膽㠽ãò Sl. Name of Director Number of Attendance in ØãƒÃ ºãõŸ‡ãŠãò „¹ããäÔ©ããä¦ã No. Board Meetings the last AGM ‡ãŠãè Ôã⌾ãã attended/Held 1 Ñããè †Ôã. †. ¼ã›, ‚ã Ìã ¹ãÆ ãä¶ã 12/12 Öãâù 01 Shri. S A Bhat, CMD 12 / 12 Yes 2 Ñããè •ããè. ¶ããÀã¾ã¥ã¶ã 07/07 Öãú 02 Shri G Narayanan 07 / 07 Yes 03 Shri Y L Madan 10 / 12 No 3 Ñããè ÌããƒÃ. †Êã. ½ãªã¶ã 10/12 ¶ãÖãé 04 Smt. Nupur Mitra 04/04 Appointed after 4 Ñããè½ã¦ããè ¶ãî¹ãìÀ ãä½ã¨ãã 04/04 †•ãã膽㠇ãŠãè ¦ããÀãèŒã ‡ãñŠ ºã㪠ãä¶ã¾ãì‡ã‹¦ã the date of AGM 5 ¡ãù. ãäÌã¶ããè¦ã㠇ã슽ããÀ 07/12 ¶ãÖãé 05 Dr. Vinita Kumar 07/12 No 6 Ñããè½ã¦ããè ãäÞã¨ãã Þãâ³½ããõÊããèÍÌãÀ¶ã 11/12 ¶ãÖãé 06 Smt. Chitra Chandramouliswaran 11/12 No 7 Ñããè †¶ã. Ñããè£ãÀ¶ã 12/12 Öãú 07 Shri N Sridaran 12/12 Yes 08 Shri J D Sharma 07/07 Yes 8 Ñããè •ãñ. ¡ãè. Íã½ããà 07/07 Öãú 09 Shri.K.Ananda Kumar 01/01 Appointed after 9 Ñããè.‡ãñŠ ‚ãã¶ã⪠‡ã슽ããÀ 01/01 †•ãã膽㠇ãŠãè ¦ããÀãèŒã ‡ãñŠ ºã㪠ãä¶ã¾ãì‡ã‹¦ã the date of AGM 10 Ñããè †½ã. ÀÌããé³ ãäÌã‰ãŠ½ã 06/06 Öãú 10 Shri M. Ravindra Vikram 06/06 Yes 11 Ñããè ÔãîÀ•ã Œã¨ããè 06/06 †•ãã膽㠇ãŠãè ¦ããÀãèŒã ‡ãñŠ ºã㪠ãä¶ã¾ãì‡ã‹¦ã 11 Shri Sooraj Khatri 06/06 Appointed after 12 Ñããè ºããè. Ìããè. ‚ã¹¹ãã ÀãÌã 11/12 Öãú the date of AGM 12 Shri B V Appa Rao 11/12 Yes 13 Ñããè †. ‡ãñŠ. ¼ããØãÃÌã 11/12 Öãú 13 Shri A K Bhargava 11/12 Yes 14 ¡ãù. ãäÞãÀâ•ããèºã Ôãñ¶ã 09/12 ¶ãÖãé 14 Dr. Chiranjib Sen 09/12 No 15 Ñããè †. ÌãñÊÊãõ¾ã¶ã 03/12 Öãú 15 Shri A Vellayan 03/12 Yes Üã. ‚㶾㠽㥡Êã ¾ã㠽㥡Êã Ôããä½ããä¦ã¾ããò ‡ãŠãè Ôã⌾ãã ãä•ã¶ã½ãò d. Number of other Boards or Board ãä¶ãªñÍã‡ãŠ †‡ãŠ ÔãªÔ¾ã ‚㣾ãàã Öö : committees in which the Director is a member / Chairperson: ãä¶ãªñÍã‡ãŠ ‡ãŠã ¶ãã½ã ‚㶾㠇ã⊹ããä¶ã¾ããò ‡ãŠãè Ôã⌾ãã Ôããä½ããä¦ã¾ããò ‡ãŠãè Ôã⌾ãã (ãä¶ã•ããè ‡ã⊹ããä¶ã¾ããò ‡ãŠãñ œãñ¡‡ãŠÀ) ãä•ãÔã½ãò Ìãñ ÔãªÔ¾ã Öö Name of the Director Number of other companies Number of (excluding private companies) Committees ãä•ã¶ã½ãò Ìãñ ÔãªÔ¾ã /‚㣾ãàã Öö (‚ãム‚ããñ ºããè ‡ãŠãñ œãñ¡‡ãŠÀ) in which he/she (other than IOB) (Ìãõ‡ãŠãäʹã‡ãŠ / ¶ãããä½ã¦ã is a member/Chairperson in which ãä¶ãªñÍã‡ãŠ ‡ãŠãñ œãñ¡‡ãŠÀ ºããñ¡ of the Board (excluding a member alternate/ nominee director) Ñããè † ‡ãñŠ ¼ããØãÃÌã 03 - ÔãªÔ¾ã 01- ‚㣾ãàã 02 - ÔãªÔ¾ã Shri A.K. Bhargava 03 – Member 01 - Chairman Ñããè † ÌãñÊÊãõ¾ã¶ã 02 - ‚㣾ãàã 06 - ÔãªÔ¾ã 02 - Member Shri A Vellayan 02 - Chairman 06 - Member 01 - ÔãªÔ¾ã 01 - Member ¡ãù.ãäÞãÀâ•ããèºã Ôãñ¶ã 01 - ÔãªÔ¾ã Íãã Dr. Chiranjib Sen 01 - Member Nil

¡. Ôããä½ããä¦ã¾ããò ½ãò ÔãªÔ¾ã¦ãã: e. Membership in Committees: None of the directors on the Board is a member in ½ãâ¡Ê㠇ãñŠ ãä¶ãªñÍã‡ãŠãò ½ãò Ôãñ ‡ãŠãñƒÃ ¼ããè 10 Ôããä½ããä¦ã¾ããò Ôãñ ‚ããä£ã‡ãŠ ½ãò ÔãªÔ¾ã more than 10 committees or acts as a Chairman of ¶ãÖãé Öõâ ¾ãã Ôã¼ããè ‡ã⊹ããä¶ã¾ããò ½ãò, ãä•ãÔã½ãò Ìãñ ãä¶ãªñÍã‡ãŠ Öö ¹ããúÞã Ôããä½ããä¦ã¾ããò Ôãñ more than five committees across all companies in ‚ããä£ã‡ãŠ ½ãò ‚㣾ãà㠇ãñŠ ¹㠽ãò ¹ãªÔ©ã ¶ãÖãé Öö ý (ÔãîÞããèºã® ‡ãŠÀãÀ ‡ãñŠ which he is a director. (For the purpose of reckoning Œã¥¡ 49(1) (Ôããè ) ‡ãŠãè Íã¦ããô ‡ãñŠ ‚ã¶ãìÔããÀ Ôããè½ã㠇ãŠãè Øã¥ã¶ã㠇ãñŠ „ÿñ;ã the limit in terms of clause 49(1)(C) of the listing agreement, the chairmanship/membership of the Audit Ôãñ, ÊãñŒãã-¹ãÀãèàãã ¦ã©ãã Íãñ¾ãÀ £ããÀ‡ãŠ ãäÍã‡ãŠã¾ã¦ã Ôããä½ããä¦ã ‡ãŠãè ‚ã£¾ãàã¦ãã/ Committee and the Shareholders’ Grievance ÔãªÔ¾ã¦ãã ¹ãÀ Öãè ãäÌãÞããÀ ãä‡ãŠ¾ãã Øã¾ãã Öõ ý Committee alone have been considered). 3. ½ãâ¡Ê㠇ãŠãè Ôããä½ããä¦ã¾ããú: 3. COMMITTEES OF THE BOARD: ãä¶ã¥ãþ㠹ãÆãä‰ãŠ¾ãã ½ãò ÔãìãäÌã£ãã ¦ãñ•ããè Êãã¶ãñ ‡ãñŠ ãäÊㆠ½ãâ¡Êã ¶ãñ ãä¶ã½¶ããäÊããäŒã¦ã In order to facilitate the decision-making process, Ôããä½ããä¦ã¾ããâ Øãã䟦㠇ãŠãè Öö ‚ããõÀ „¶Öò ãäÌãÍãñÓ㠂ããä£ã‡ãŠãÀ ¼ããè ã䪆 Öö ý ÖÀ Board has constituted the following committees and delegated specific powers to them. The ºãõŸ‡ãŠ ‡ãñŠ ‡ãŠã¾ãÃÌãð§ã Ôããä½ããä¦ã ‡ãŠãè ‚ãØãÊããè ºãõŸ‡ãŠ ‡ãñŠ Ôã½ãàã ¹ãìãäӛ Öñ¦ãì minutes of each meeting are subsequently placed ¹ãÆÔ¦ãì¦ã ãä‡ãŠ† •ãã¦ãñ Öö ¦ã©ã㠂ã¶ãì½ããñª¶ã ãä‡ãŠ† Øã¾ãñ ‡ãŠã¾ãÃÌãð§ã ‡ãŠãñ ãä¶ãªñÍã‡ãŠ before the next meeting of the committee for ½ãâ¡Ê㠇ãñŠ Ôã½ãàã ÔãîÞã¶ãã©ãà ½ãâ¡Êã ºãõŸ‡ãŠ ½ãò ¹ãÆÔ¦ãì¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ý confirmation and the minutes thus approved, are placed before the Board Meeting for their information.

40 l 3.1 ½ãâ¡Ê㠇ãŠãè ¹ãƺãâ£ã¶ã Ôããä½ããä¦ã (†½ã Ôããè ºããè) l 3.1 Management Committee of the Board (MCB): ½ãâ¡Ê㠇ãŠãè ¹ãƺãâ£ã¶ã Ôããä½ããä¦ã ‡ãŠã Ø㟶ã ÀãӛÈãè¾ã‡ãðŠ¦ã ºãö‡ãŠ (¹ãƺ㶣ã¶ã Ìã ãäÌããäÌã£ã ¹ãÆãÌã£ãã¶ã) ¾ããñ•ã¶ãã 1970 ‡ãñŠ „¹ãºãâ£ããò ‡ãñŠ ‚ã¶ãìÔããÀ ãä‡ãŠ¾ãã Øã¾ãã MCB is constituted as per the provisions of the Nationalized Banks (Management and Öõý †½ãÔããèºããè ‡ãñŠ ãä¶ã½¶ãã¶ãìÔããÀ ‡ãŠã¾ãà †Ìã⠇㊦ãÃ̾ã Öö : Miscellaneous Provisions) Scheme, 1970. The ‡ãŠ. „£ããÀ ¹ãÆÔ¦ããÌããò ‡ãŠãñ ÔÌããè‡ãðŠ¦ã ‡ãŠÀ¶ãã (ãä¶ããä£ã ‚ãã£ãããäÀ¦ã ‚ããõÀ ØãõÀ functions and duties of the MCB are as under: ãä¶ããä£ã ‚ãã£ãããäÀ¦ã) a. Sanctioning of credit proposals (funded and non funded) Œã. ¨ãɥ㠂ããõÀ º¾ãã•ã Ôã½ã¢ããõ¦ãã/ºã›á›ñ Œãã¦ãñ ½ãò ¡ãÊã¶ãñ ‡ãñŠ ¹ãÆÔ¦ããÌã b. Loan and Interest Compromise / Write off Øã. ¹ãîâ•ããè †Ìãâ Àã•ãÔÌã ̾ã¾ã ‡ãñŠ ‚ã¶ãì½ããñª¶ã ‡ãñŠ ãäÊㆠ¹ãÆÔ¦ããÌã proposals c. Proposals for approval of capital and revenue Üã. ¹ããäÀÔãÀ ãä‡ãŠÀㆠ¹ãÀ Êãñ¶ãñ ‚ããõÀ ‚ããä£ãØãÆ֥㠇ãñŠ Ôãâºãâ£ã ½ãò ¹ãÆÔ¦ããÌã, expenditure ¹ããäÀÔãÀ ‡ãñŠ ãä‡ãŠÀã¾ãñ ‡ãñŠ ãäÊㆠÌ㠂ããä£ãØãÆ֥㠇ãñŠ ãäÊㆠ½ãã¶ãª¥¡ãò ‡ãñŠ d. Proposals relating to acquisition and hiring ̾ããä¦ã‰ãŠ½ã ÔããäÖ¦ã of premises, including deviation from norms for acquisition and hiring of premises. Þã. Ìããª/‚ã¹ããèÊã ªã¾ãÀ ‡ãŠÀ¶ãã, „¶ã¹ãÀ ¹ãÆãä¦ãÌã㪠‡ãŠÀ¶ã㠃¦¾ãããäª e. Filing of suits / appeals, defending them etc. œ. ÔãÀ‡ãŠãÀãè ‚ããõÀ ‚㶾㠂ã¶ãì½ããñã䪦㠹ãÆãä¦ã¼ãîãä¦ã¾ããò, ‡ãŠâ¹ããä¶ã¾ããò ‡ãñŠ Íãñ¾ãÀãò f. Investments in Government and other ‚ããõÀ ã䡺ãñâÞãÀãò ½ãò Öã½ããèªãÀãè ÔããäÖ¦ã ãä¶ãÌãñÍ㠇ãŠÀ¶ãã approved securities, shares and debentures of companies, including underwriting. •ã. ªã¶ã g. Donations ¢ã. ‚㶾㠇ãŠãñƒÃ ãäÌãÓã¾ã •ããñ ºããñ¡Ã ´ãÀã ¹ãƺãâ£ã¶ã Ôããä½ããä¦ã ‡ãŠãñ Ôããö¹ãã Øã¾ãã h. Any other matter referred to the Management Öãñ Committee by the Board. Items (a) to (g) will be in respect of proposals ½ãª (‡ãŠ) Ôãñ (•ã), ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ ‡ãñŠ ãäÌãÌãñ‡ãŠããä£ã‡ãŠãÀ beyond the discretionary powers of CMD. ‡ãñŠ ¹ãÀñ ¹ãÆÔ¦ããÌããò ‡ãñŠ Ôãâºãâ£ã ½ãò Öõý The committee met 23 times during the year. Ôããä½ããä¦ã ÌãÓãà ‡ãñŠ ªãõÀã¶ã 23 ºããÀ ãä½ãÊããèý Ôã¼ããè ºãõŸ‡ãòŠ „ãäÞã¦ã ¹ãŠãñÀ½ã ‡ãñŠ All the meetings were conducted with proper Ôãã©ã Ô©ããäØã¦ã ãä‡ãŠ† ºãØãõÀ ‚ãã¾ããñãä•ã¦ã ‡ãŠãè ØãƒÃâý quorum and without any adjournments. ã䪶ããâ‡ãŠ 01.04.2009 Ôãñ 31.03.2010 ¦ã‡ãŠ ‡ãŠãè ‚ãÌããä£ã ‡ãñŠ ªãõÀã¶ã The Members who held office during the period Ôããä½ããä¦ã ‡ãŠãè ºãõŸ‡ãŠãò ‡ãñŠ º¾ããõÀñ ‚ããõÀ ¹ãƦ¾ãñ‡ãŠ ÔãªÔ¾ã ´ãÀ㠄Ôã‡ãñŠ ‡ãŠã¾ãÇãŠãÊã 01.04.2009 to 31.03.2010 and the details of number of meetings attended during their tenure ‡ãñŠ ªãõÀã¶ã ºãõŸ‡ãŠãò ½ãò „¹ããäÔ©ããä¦ã ‡ãŠãè Ôã⌾ãã ãä¶ã½¶ããäÊããäŒã¦ã Öõ : by each committee member are as under:

‰ãŠ. Ôãâ. ãä¶ãªñÍã‡ãŠ ‡ãŠã ¶ãã½ã ¹ãª ÔãªÔ¾ã¦ã㠇ãŠãè ‚ãÌããä£ã ºãõŸ‡ãŠãò ½ãò Sl. Name of Director Position Tenure of membership Number of No. From To Meetings Ôãñ ¦ã‡ãŠ „¹ããäÔ©ããä¦ã attended 1Ñããè †Ô㠆 Ìã¼ã› ¹ãÆ ãä¶ã ‚㣾ãàã‚ã 04.06.2007 23/23 1. Shri S.A. Bhat, CMD Chairman 04.06.2007 23/ 23 2 Ñããè •ããè ¶ããÀã¾ã¥ã¶ã ÔãªÔ¾ã 07.11.2007 31.10.2009 14/14 2. Shri G. Narayanan Member 07.11.2007 31.10.2009 14/14 3 Ñããè ÌããƒÃ.†Êã.½ãªã¶ã ÔãªÔ¾ã 16.05.2008 21/23 3. Shri Y L Madan Member 16.05.2008 21/23 4 Ñããè½ã¦ããè ¶ãî¹ãìÀ ãä½ã¨ãã ÔãªÔ¾ã 07.12.2009 06/07 4. Smt. Nupur Mitra Member 07.12.2009 06/07 5 Ñããè½ã¦ããè ãäÞã¨ãã Þãâ³½ããõÊããèÍÌãÀ¶ã ÔãªÔ¾ã 12.07.2007 21/23 5. Smt. Chitra Chandramouliswaran Member 12.07.2007 21/23 6 Ñããè †½ã ÀÌãã足 ãäÌã‰ãŠ½ã ÔãªÔ¾ã 11.10.2006 10.10.2009 11/12 6. Shri M. Ravindra Vikram Member 11.10.2006 10.10.2009 11/12 7 Ñããè †.‡ãñŠ.¼ããØãÃÌã ÔãªÔ¾ã 01.12.2008 31.05.2009 7. Shri A.K. Bhargava Member 01.12.2008 31.05.2009 01.12.2009 31.05.2010 10/11 01.12.2009 31.05.2010 10/11 8 ¡ãù ãäÞãÀâ•ããèºã Ôãñ¶ã ÔãªÔ¾ã 08.12.2008 07.06.2009 7. Dr. Chiranjib Sen Member 08.12.2008 07.06.2009 08.12.2009 07.06.2010 08/11 08.12.2009 07.06.2010 08/11 9 Ñããè †¶ã.Ñããè£ãÀ¶ã ÔãªÔ¾ã 22.03.2009 21.09.2009 10/11 8. Shri N. Sridaran Member 22.03.2009 21.09.2009 10/11 10 Ñããè ºããè.Ìããè.‚ã¹¹ãã ÀãÌã ÔãªÔ¾ã 01.06.2009 30.11.2009 10/12 9. Shri B.V. Appa Rao Member 01.06.2009 30.11.2009 10/12 11 Ñããè † ÌãñÊÊã¾ã¶ã ÔãªÔ¾ã 08.06.2009 07.12.2009 00/12 10. Shri A. Vellayan Member 08.06.2009 07.12.2009 00/12 11. Shri Sooraj Khatri Member 29.10.2009 28.04.2010 09/10 12 Ñããè ÔãîÀ•ã Œã¨ããè ÔãªÔ¾ã 29.10.2009 28.04.2010 09/10

41 l 3.2 ½ãâ¡Ê㠇ãŠãè ÊãñŒãã ¹ãÀãèàãã Ôããä½ããä¦ã (†Ôããèºããè) l 3.2 Audit Committee of the Board (ACB): ½ãâ¡Ê㠇ãŠãè ÊãñŒãã ¹ãÀãèàãã Ôããä½ããä¦ã ¼ããÀ¦ããè¾ã ãäÀûü•ãÌãà ºãö‡ãŠ /¼ããÀ¦ã ÔãÀ‡ãŠãÀ ‡ãñŠ The Audit committee of the Board has been constituted by the Board of Directors as per ‚ã¶ãìªñÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ãä¶ãªñÍã‡ãŠ ½ãâ¡Êã ¯ãÀã Øãã䟦㠇ãŠãè Øã¾ããè Öõý Ôããä½ããä¦ã instructions of the Reserve Bank of India/GOI and ½ãò œ: ÔãªÔ¾ã Öö- ªãñ ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ, ÔãÀ‡ãŠãÀãè ãä¶ãªñÍã‡ãŠ, ¼ããÀ¦ããè¾ã consists of six members comprising of two EDs, ãäÀû•ãÌãà ºãö‡ãŠ ãä¶ãªñÍã‡ãŠ, ªãñ ØãõÀ ÔãÀ‡ãŠãÀãè ãä¶ãªñÍã‡ãŠ ãä•ã¶ã½ãò Ôãñ †‡ãŠ Ôã¶ãªãè Government director, RBI director, two non-official ÊãñŒãã‡ãŠãÀ Öõ ‚ããõÀ ¼ããÀ¦ã ÔãÀ‡ãŠãÀ ‡ãñŠ ¹ããäÀ¹ã¨ã, ã䪶ããâ‡ãŠ 18.02.2008 directors of which one is a Chartered Accountant and non-official Chartered Accountant director ‡ãŠãè Íã¦ããô ‡ãñŠ ‚ã¶ãìÔããÀ ºãö‡ãŠ‡ãŠãÀãè ‡ã⊹ã¶ããèû(„¹ã‰ãŠ½ããò ‡ãŠã ‚ã•ãö㠂ããõÀ ‚ãâ¦ãÀ¥ã) nominated under section 9(3)(g) of the Banking ‚ããä£ããä¶ã¾ã½ã 1970/1980 ‡ãŠãè £ããÀã 9(3) (•ããè) ‡ãñŠ ¦ã֦㠶ãããä½ã¦ã ÔãÀ‡ãŠãÀãè Companies (Acquisition and Transfer of àãñ¨ã ‡ãñŠ ºãö‡ãŠãò ‡ãŠãñ ½ãâ¡Ê㠇ãŠãè ÊãñŒãã ¹ãÀãèàãã Ôããä½ããä¦ã ½ãò ØãõÀ-ÔãÀ‡ãŠãÀãè Undertakings) Act, 1970/1980 in terms of GOI Circular dated 18.02.2008 advising Public Sector Ôã¶ãªãè ÊãñŒãã‡ãŠãÀ ‡ãŠãñ Íãããä½ãÊ㠇ãŠÀ¶ãñ Öñ¦ãì ÔãîãäÞã¦ãã¶ãìÔããÀ †‡ãŠ ØãõÀ Banks to include such Director in the Audit ‚ãããä£ã‡ãŠããäÀ‡ãŠ Ôã¶ãªãè ÊãñŒãã‡ãŠãÀ Öõý Committee of the Board. ½ãâ¡Êã ÊãñŒãã ¹ãÀãèàãã Ôããä½ããä¦ã ‡ãñŠ ‡ãŠã¾ãà Ì㠇㊧ãÃ̾ã ãä¶ã½¶ãã¶ãìÔããÀ Öõâ The delegated functions and duties of the ACB are as under: l ºãö‡ãŠ ½ãò Ôã½ãØãÆ ÊãñŒãã ¹ãÀãèàã㠇ãŠã¾ãà ‡ãñŠ ¹ããäÀÞããÊã¶ã ‡ãŠãè ªñŒã-ÀñŒã ⇒ To provide direction as also oversee the ‡ãŠÀ¶ã㠂ããõÀ ½ããØãêÍãö㠪ñ¶ããý Ôã½ãØãÆ ÊãñŒãã ¹ãÀãèàãã ãä‰ãŠ¾ãã‡ãŠÊãã¹ããò ½ãò operation of the total audit ºãö‡ãŠ ‡ãŠã ‚ããâ¦ããäÀ‡ãŠ ãä¶ãÀãèàã¥ã Ìã ÊãñŒãã ¹ãÀãèàã㠇ãŠã ÔãâØ㟶ã, Øãì¥ãÌã§ãã function in the Bank. Total audit function will ãä¶ã¾ãâ¨ã¥ã Ìã ¹ããäÀÞããÊã¶ã ‡ãŠÀ¶ã㠂ããõÀ ºãö‡ãŠ ¦ã©ãã ¼ããÀ¦ããè¾ã ãäÀ•ãÌãà ºãö‡ãŠ imply the organization, operationalisation and quality control of the internal audit and ‡ãñŠ ãä¶ãÀãèàã¥ã ‡ãñŠ ÔããâãäÌããä£ã‡ãŠ /ºããÖÀãè ÊãñŒãã¹ãÀãèàã㠇ãŠã ‚ã¶ãìÌã¦ãöã inspection within the Bank and follow up on ‡ãŠÀ¶ãã the statutory / external audit of the Bank and inspections of RBI. l ºãö‡ãŠ ½ãò Öãñ¶ãñÌããÊãñ ‚ããâ¦ããäÀ‡ãŠ ãä¶ãÀãèàã¥ã/ÊãñŒãã¹ãÀãèàã㠇ãŠãè Ôã½ããèàãã ⇒ To review the internal inspection / audit ‡ãŠÀ¶ã㠂ã¶ãìÌã¦ãö㠇ãñŠ Ôã⪼ãà ½ãò ¹ãÆ¥ããÊããè, „Ôã‡ãŠãè Øãì¥ãÌã§ãã ¦ã©ãã function in the Bank – the system, its quality ¹ãƼããÌã㦽ã‡ãŠ¦ã㠇ãŠãè Ôã½ããèàã㠇ãŠÀ¶ã㠂ããõÀ ãäÌããäÍãӛ ¦ã©ãã ºãÖì¦ã ºã¡ãè and effectiveness in terms of follow-up and ÍããŒãã‚ããò ‚ããõÀ ‚ãÔãâ¦ããñÓã•ã¶ã‡ãŠ Àñãå›ØãÌããÊããè Ôã¼ããè ÍããŒãã‚ããò ‡ãŠãè also the inspection reports of specialized and Ôã½ããèàã㠇ãŠÀ¶ãã extra large branches and all branches with unsatisfactory ratings l ‡ãŠã¾ãÇãŠãÀãè àãñ¨ããò ‡ãñŠ ‚ã¶ãì¹ããÊã¶ã ‚ããä£ã‡ãŠããäÀ¾ããò Ôãñ ‚ã£ãà ÌãããäÓãÇ㊠⇒ To obtain and review half – yearly reports ãäÀ¹ããñ›ô ¹ãÆ㹦㠇ãŠÀ¶ãã Öõ ‚ããõÀ „Ôã‡ãŠãè Ôã½ããèàã㠇ãŠÀ¶ãã from the Compliance Officers of the functional areas l ÔããâãäÌããä£ã‡ãŠ ÊãñŒãã ¹ãÀãèàã㠇ãŠãè ãäÀ¹ããñ›Ã ¦ã©ãã ÊããúØã ¹ãŠã½ãà ÊãñŒãã-¹ãÀãèàãã ⇒ To review and follow up on the report of ãäÀ¹ããñ›Ã (†Êã†û¹ãŠ†‚ããÀ) ½ãò „Ÿã† ØㆠÔã¼ããè ½ãªãò ¹ãÀ ‚ã¶ãìÌã¦ãöã the statutory audits, and all the issues raised ¦ã©ãã Ôã½ããèàã㠇ãŠÀ¶ã㠂ããõÀ ÌãããäÓãÇãŠ/ãäÌã§ããè¾ã ãäÌãÌãÀ¥ããò ¦ã©ãã ãäÀ¹ããñ›ãô in the Long Form Audit Report (LFAR) and ‡ãŠãñ ‚ãâãä¦ã½ã ¹㠪ñ¶ãñ Ôãñ ¹ãÖÊãñ ºããÖÀãè ÊãñŒãã ¹ãÀãèàã‡ãŠãò ‡ãñŠ Ôãã©ã interact with the external auditors before the ãäÌãÞããÀ ãäÌã½ãÍãà ‡ãŠÀ¶ãã finalization of the annual / quarterly financial statements and reports. l ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãŠãè ãä¶ãÀãèàã¥ã ãäÀ¹ããñ›ãô ½ãò „Ÿã† ØㆠÔã¼ããè ⇒ To review and follow up all the issues / ½ãã½ãÊããò /ãäÞãâ¦ãã•ã¶ã‡ãŠ ãäÌãÓã¾ããò ‡ãŠãè Ôã½ããèàã㠆Ìã⠂ã¶ãìÌã¦ãö㠇ãŠÀ¶ãã concerns raised in the Inspection reports of RBI. ¾ãÖ Ôããä½ããä¦ã ãäÌãÍãñÓã‡ãŠÀ ãä¶ã½¶ããäÊããäŒã¦ã ºãã¦ããò ¹ãÀ ¼ããè £¾ãã¶ã ªñ¦ããè Öõ This committee specially focuses on the follow- ⇒ ‚㶦ãÀ - ÍããŒãã Ôã½ãâ•ã¶ã Œãã¦ãñ up of: ⇒ Inter – Branch Adjustment Accounts ⇒ ‚㶦ãÀ-ºãö‡ãŠ ¦ã©ãã ¶ããñԛÈãñ Œãã¦ããò ½ãò Êãâºããè ‚ãÌããä£ã Ôãñ ‚ãÔã½ãâãä•ã¦ã Êãâãäºã¦ã ¹ãÆãäÌããäӛ¾ããú ⇒ Unreconciled long outstanding entries in Inter – Bank Accounts and Nostro Accounts

42 ⇒ ãäÌããä¼ã¸ã ÍããŒãã‚ããò ½ãò ºããäÖ¾ããò ‡ãñŠ ãä½ãÊãã¶ã ½ãò ºã‡ãŠã¾ãñ ‡ãŠã Ôã½ãâ•ã¶ã ⇒ Arrears in balancing of books at various branches ⇒ £ããñŒãã£ãã䡾ããò †Ìãâ ̾ãÌãÔ©ãã Ôãâºãâ£ããè ‚ã¶¾ã Ôã¼ããè ¹ãƽãìŒã àãñ¨ã ⇒ Frauds and all other major areas of house ԛãù‡ãŠ †‡ã‹ÔãÞãò•ã ½ãò ÔãîÞããèºã® ¼ããÀ¦ããè¾ã Ìãããä¥ãã䕾ã‡ãŠ ºãö‡ãŠãò ‡ãŠãñ ¼ããÀ¦ããè¾ã – keeping, ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀ㠕ããÀãè Ôãñºããè Ôããä½ããä¦ã ‡ãŠãè Íã¦ããô ‡ãñŠ ‚ã¶ãìÔããÀ ‡ãŠã¹ããóÀñ› The following additional role functions/powers have ØãÌã¶ãôÔã ãääªÍãããä¶ãªóÍããò ¹ãÀ ½ãâ¡Ê㠇ãŠãè ÊãñŒãã-¹ãÀãèàãã Ôããä½ããä¦ã ‡ãŠãñ ãä¶ã½¶ããäÊããäŒã¦ã been entrusted to ACB in terms of SEBI Committee on Corporate Governance guidelines ‚ããä¦ããäÀ§ãŠ ‡ãŠã¾ãà /Íããä‡ã‹¦ã¾ããú Ôããö¹ãñ Øㆠ: issued by RBI to Indian Commercial Banks listed on stock exchanges: l Ôããä½ããä¦ã ‡ãñŠ ‚ã£ããè¶ã ãä‡ãŠÔããè ¼ããè Øããä¦ããäÌããä£ã ‡ãŠãè •ããúÞã ¹ãü¡¦ããÊ㠇ãŠÀ¶ããý l To investigate any activity within its terms l ãä‡ãŠÔããè ¼ããè ‡ãŠ½ãÃÞããÀãè Ôãñ •ãã¶ã‡ãŠãÀãè ¹ãÆ㹦㠇ãŠÀ¶ãã ý of reference.

l To seek information from any employee. l ºããÖÀ Ôãñ ãäÌããä£ã‡ãŠ ¾ã㠂㶾ã ̾ããÌãÔãããä¾ã‡ãŠ ÔãÊããÖ ¹ãÆ㹦㠇ãŠÀ¶ãã ý l To obtain outside legal or other professional l •ãÁÀ¦ã ¹ãü¡¶ãñ ¹ãÀ Ôãâºãâãä£ã¦ã ãäÌãÓã¾ã ½ãò ãäÌãÍãñÓã—ã¦ãã ÌããÊãñ ºããÖÀãè advice. ̾ããä‡ã‹¦ã¾ããò ‡ãŠãñ ‚ãã½ãâãä¨ã¦ã ‡ãŠÀ¶ããý l To secure attendance of outsiders with ÊãñŒãã-¹ãÀãèàãã Ôããä½ããä¦ã ‡ãñŠ ‡ãŠã¾ããñÄ ½ãò ¼ããè ãäÌã²ã½ãã¶ã ‡ãŠã¾ããô ‡ãñŠ ‚ããä¦ããäÀ§ãŠ relevant expertise, if it considers necessary. ãä¶ã½¶ããäÊããäŒã¦ã ‡ãŠã¾ãà ¼ããè Íãããä½ãÊã Öâõ: The role of the Audit Committee shall also include the following in addition to the existing role l ‡ãŠâ¹ã¶ããè ‡ãŠãè ãäÌã§ããè¾ã ãäÀ¹ããñãä›ÄØã ¹ãÆ¥ããÊããè ¹ãÀ Òãäӛ ÀŒã¶ãã ¦ã©ã㠄Ôã‡ãŠãè function:

ãäÌã§ããè¾ã •ãã¶ã‡ãŠãÀãè ‡ãŠã ¹ãƇ㊛ãè‡ãŠÀ¥ã ‡ãŠÀ¶ãã ¦ãããä‡ãŠ ¾ãÖ Ôãìãä¶ããäÍÞã¦ã l Overseeing of the company’s financial ãä‡ãŠ¾ã㠕ãã Ôã‡ãñŠ ãä‡ãŠ ãäÌã§ããè¾ã ãäÌãÌãÀ¥ã ÔãÖãè, ¹ãƾããù¦ã ¦ã©ãã ãäÌãÍÌãÔã¶ããè¾ã reporting process and the disclosure of its Öõ ý financial information to ensure that the financial statements are correct, sufficient and credible. l ÊãñŒãã‡ãŠÀ¥ã ¶ããèãä¦ã¾ããò Ì㠂ããÞãÀ¥ããò ¹ãÀ •ããñÀ ªñ¦ãñ Öí†, ÊãñŒãã‡ãŠÀ¥ã

½ãã¶ã‡ãŠãò ‡ãŠã ‚ã¶ãì¹ããÊã¶ã ‚ããõÀ ‚㶾㠇ãŠã¶ãî¶ããè •ãÂÀ¦ããò ‡ãŠãñ ¹ãîÀã l Reviewing with the Management the financial ‡ãŠÀ¦ãñ Öí† ãäÌã§ããè¾ã ãäÌãÌãÀ¥ããò ‡ãŠã ¹ãì¶ãÀãèàã¥ã ‡ãŠÀ¶ãñ ‡ãñŠ Ôãã©ã ãäÌ㦦ããè¾ã statements with special emphasis on ãäÌãÌãÀ¥ããò ‡ãñŠ ¹ãƺãâ£ã¶ã ‡ãŠãè Ôã½ããèàãã ý accounting policies and practices, compliance of accounting standards and ‚ã㶦ããäÀ‡ãŠ ãä¶ã¾ãâ¨ã¥ã ¹ãÆ¥ããÊããè ‡ãŠãè ¹ã¾ããù¦ã¦ã㠇ãŠãè Ôã½ããèàãã ¹ãƺãâ£ã¶ã, other legal requirements concerning the l financial statements. ºããÖÀãè †Ìã⠂ããâ¦ããäÀ‡ãŠ ÊãñŒãã ¹ãÀãèàã‡ãŠãò ‡ãñŠ Ôãã©ã ‡ãŠÀ¶ãã ý l Reviewing with the Management, external and l ½ãÖ¦Ìã¹ãî¥ãà ÔÌã¹㠇ãñŠ ‚ããâ¦ããäÀ‡ãŠ ãä¶ã¾ãâ¨ã¥ã ¹ãÆ¥ããÊããè ‡ãŠãè ãäÌã¹ãŠÊã¦ãã internal auditors, the adequacy of internal ¾ã㠂ããä¶ã¾ããä½ã¦ã¦ãã ¾ãã £ããñŒãã£ãü¡ãè Ôãâºãâ£ããè ÔãâªñÖ㦽ã‡ãŠ ½ãã½ãÊããò ½ãò control systems.

‚ããâ¦ããäÀ‡ãŠ ÊãñŒãã¹ãÀãèàã‡ãŠãò ´ãÀ㠇ãŠãè ØãƒÃ ‚ããâ¦ããäÀ‡ãŠ •ããúÞ㠇ãñŠ ¹ããäÀ¥ãã½ããò l Reviewing the findings of any internal ‡ãŠã ¹ãì¶ãÀãèàã¥ã ‡ãŠÀ ½ãã½ãÊãñ ‡ãŠãñ ºããñ¡Ã ‡ãŠãñ ãäÀ¹ããñ›Ã ‡ãŠÀ¶ããý investigations by the internal auditors into matters where there is suspected fraud or irregularity or a failure of internal control l ÊãñŒãã-¹ãÀãèàãã ÍãìÁ Öãñ¶ãñ Ôãñ ¹ãÖÊãñ ÊãñŒãã-¹ãÀãèàã㠇ãŠã ÔÌã¹㠂ããõÀ ãäÌãÔ¦ããÀ ‡ãñŠ ºããÀñ ½ãò ºããÖÀãè ÊãñŒãã ¹ãÀãèàã‡ãŠãò ‡ãñŠ Ôãã©ã ÞãÞããà ‡ãŠÀ¶ãñ ‡ãñŠ systems of a material nature and reporting the matter to the Board. Ôãã©ã-Ôãã©ã ÊãñŒãã-¹ãÀãèàã㠇ãñŠ ºã㪠ãä‡ãŠÔããè ãäÞãâ¦ãã•ã¶ã‡ãŠ àãñ¨ã ‡ãŠã ¹ã¦ãã ÊãØãã¶ãñ ‡ãñŠ ãäÊㆠÞãÞããà ‡ãŠÀ¶ãã ý l Discussing with external auditors before the commencement of audit the nature and scope ‡ã⊹ã¶ããè ‡ãŠãè ãäÌã§ããè¾ã ¦ã©ã㠕ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¶ããèãä¦ã¾ããò ‡ãŠãè Ôã½ããèàãã of audit as well as having post audit l discussion to ascertain any area of concern. ‡ãŠÀ¶ãã ý l Reviewing the company’s Financial and Risk Management Policies.

43 ÌãÓãà ‡ãñŠ ªãõÀã¶ã Ôããä½ããä¦ã ã䪶ããâ‡ãŠ 06.04.2009, 04.05.2009, The committee met 10 times during the year on 29.07.2009, 26.08.2009, 19.09.2009, 29.10.2009, 06.04.2009, 04.05.2009, 29.07.2009, 26.08.2009, 19.09.2009, 29.10.2009, 05.12.2009, 15.12.2009, 05.12.2009, 15.12.2009, 28.01.2010 †Ìãâ 24.02.2010 28.01.2010 and 24.02.2010. ‡ãŠãñ 10 ºããÀ ãä½ãÊããèý All the meetings were conducted with proper Ôã¼ããè ºãõŸ‡ãòŠ „ãäÞã¦ã ¹ãŠãñÀ½ã ‡ãñŠ Ôãã©ã Ô©ããäØã¦ã ãä‡ãŠ† ºãØãõÀ ‚ãã¾ããñãä•ã¦ã ‡ãŠãè quorum and without any adjournments. ØãƒÃâý The members who held office during the period ã䪶ããâ‡ãŠ 01.04.2009 Ôãñ 31.03.2010 ¦ã‡ãŠ ‡ãŠãè ‚ãÌããä£ã ‡ãñŠ ªãõÀã¶ã 01.04.2009 to 31.03.2010 and the particulars of the number of meetings attended by them during Ôããä½ããä¦ã ‡ãŠãè ºãõŸ‡ãŠãò ‡ãñŠ º¾ããõÀñ ‚ããõÀ ¹ãƦ¾ãñ‡ãŠ ÔãªÔ¾ã ´ãÀ㠄Ôã‡ãñŠ ‡ãŠã¾ãÇãŠãÊã the year are as under: ‡ãñŠ ªãõÀã¶ã ºãõŸ‡ãŠãò ½ãò „¹ããäÔ©ããä¦ã ‡ãŠãè Ôã⌾ãã ãä¶ã½¶ããäÊããäŒã¦ã Öõý Sl. Name of Director Position Tenure of membership Number of ‰ãŠ. Ôãâ. ãä¶ãªñÍã‡ãŠ ‡ãŠã ¶ãã½ã ¹ãª ÔãªÔ¾ã¦ã㠇ãŠãè ‚ãÌããä£ã ºãõŸ‡ãŠãò ½ãò No. From To Meetings attended Ôãñ ¦ã‡ãŠ „¹ããäÔ©ããä¦ã 1Ñããè †½ã.ÀÌããé³ ãäÌã‰ãŠ½ã ‚㣾ãàã 08.12.2007 10.10.2009 04/05 1. Shri M. Ravindra Vikram Chairman 08.12.2007 10.10.2009 04/05 2 Shri G. Narayanan Member 07.11.2007 31.10.2009 06/06 2 Ñããè •ããè ¶ããÀã¾ã¥ã¶ã ÔãªÔ¾ã 07.11.2007 31.10.2009 06/06 3 Shri Y L Madan Member 16.05.2008 09/10 3 Ñããè ÌããƒÃ †Êã ½ãªã¶ã ÔãªÔ¾ã 16.05.2008 09/10 4 Smt. Nupur Mitra Member 07.12.2009 03/03 4 Ñããè½ã¦ããè ¶ãì¹ãîÀ ãä½ã¨ãã ÔãªÔ¾ã 07.12.2009 03/03 5. Dr. Vinita Kumar Member 10.06.2008 09/10 5 ¡ãù.ãäÌã¶ããè¦ã㠇ã슽ããÀ ÔãªÔ¾ã 10.06.2008 09/10 6. Smt. Chitra Chandramouliswaran Member 27.02.2007 09/10 6 Ñããè½ã¦ããè ãäÞã¨ãã Þãâ³½ããõÊããèÍÌãÀ¶ã ÔãªÔ¾ã 27.02.2007 09/10 7. Shri A Vellayan Member 09.12.2008 08.12.2010 02/10 7 Ñããè † . ÌãñÊÊãõ¾ã¶ã ÔãªÔ¾ã 09.12.2008 08.12.2010 02/10 8. Shri B.V. Appa Rao Member/ 11.10.2009 28.08.2011 05/05 8 Ñããè ºããè. Ìããè. ‚ã¹¹ãã ÀãÌ㠆Ôããèºããè ‡ãŠãè 11.10.2009 28.08.201105/05 Chairman ¹ãƦ¾ãñ‡ãŠ ºãõŸ‡ãŠ elect at each ½ãò ãä¶ãÌããÃãäÞã¦ã meeting of ACB ÔãªÔ¾ã/ ‚㣾ãàã

l 3.3 Risk Management Committee: 3.3 •ããñãäŒã½ã ¹ãƺãâ£ã¶ã Ôããä½ããä¦ã l The Chairman of the committee is the CMD of ƒÔã Ôããä½ããä¦ã ‡ãñŠ ‚㣾ãàã ºãö‡ãŠ ‡ãñŠ ‚ã.Ìã.¹ãÆ.ãä¶ã Ööý Ôããä½ããä¦ã 1.4.2009 the Bank. The committee met 6 times during Ôãñ 31.3.2010 ‡ãñŠ ºããèÞã 6 ºããÀ ãä½ãÊããèý ¹ãƦ¾ãñ‡ãŠ ÔãªÔ¾ã ´ãÀã ºãõŸ‡ãŠãò ½ãò the period 01.04.2009 to 31.03.2010. Number of Meetings attended by each Committee Member „¹ããäÔ©ããä¦ã ‡ãñŠ º¾ããõÀñ ãä¶ã½¶ãÌã¦ã Öö: during the year:

‰ãŠ.Ôãâ. ãä¶ãªñÍã‡ãŠãò ‡ãñŠ ¶ãã½ã ÔãªÔ¾ã¦ã㠇ãŠãè ‚ãÌããä£ã ºãõŸ‡ãŠãò ½ãò Sl. Name of Director Tenure of membership Number of Ôãñ ¦ã‡ãŠ „¹ããäÔ©ããä¦ã No. From To Meetings attended 1Ñããè †Ôã. †. ¼ã› 04.06.2007 6/6 1. Shri S. A. Bhat 04.06.2007 6 / 6 2 Ñããè •ããè. ¶ããÀã¾ã¥ã¶ã 01.12.2007 31.10.2009 3/3 2. Shri G. Narayanan 01.12.2007 31.10.2009 3 / 3 3 Ñããè ÌããƒÃ.†Êã.½ãªã¶ã 16.05.2008 4/6 3. Shri Y L Madan 16.05.2008 4 / 6 4 Ñããè½ã¦ããè ¶ãì¹ãîÀ ãä½ã¨ãã 07.12.2009 3/3 4. Smt. Nupur Mitra 07.12.2009 3 / 3 5 Ñããè½ã¦ããè ãäÞã¨ãã Þãâ³½ããõÊããèÍÌãÀ¶ã 27.02.2007 6/6 5. Smt. Chitra Chandramouliswaran 27.02.2007 6 / 6 6 Ñããè ºããè. Ìããè. ‚ã¹¹ãã ÀãÌã 08.12.2008 6/6 6. Shri B V Appa Rao 08.12.2008 6 / 6

l 3.4 Committee For Monitoring Large Value l 3.4 ºãü¡ãè ½ãîʾãÌããÊããè £ããñŒãã£ãã䡾ããò ‡ãñŠ ãäÊㆠ¹ãƺããñ£ã¶ã Ôãâºãâ£ããè Ôããä½ããä¦ã Frauds: The Chairman of the committee is the CMD of Ôããä½ããä¦ã ‡ãñŠ ‚㣾ãàã ºãö‡ãŠ ‡ãñŠ ‚ã.Ìã.¹ãÆ.ãä¶ã. Ööý Ôããä½ããä¦ã 01.04.2009 the Bank. The committee met once during the Ôãñ 31.03.2010 ‡ãŠãè ‚ãÌããä£ã ‡ãñŠ ªãõÀã¶ã †‡ãŠ ºããÀ ãä½ãÊããèý ÌãÓãà ‡ãñŠ period 01.04.2009 to 31.03.2010. Number of ªãõÀã¶ã Ôããä½ããä¦ã ‡ãñŠ ¹ãƦ¾ãñ‡ãŠ ÔãªÔ¾ã ´ãÀã ¼ããØã ãäÊㆠºãõŸ‡ãŠãò ‡ãŠãè Ôã⌾ãã ý meetings attended by each member of the committee during the year:

44 ‰ãŠ.Ôãâ. ãä¶ãªñÍã‡ãŠãò ‡ãñŠ ¶ãã½ã ÔãªÔ¾ã¦ã㠇ãŠãè ‚ãÌããä£ã ºãõŸ‡ãŠãò ½ãò Sl. Name of Director Tenure of membership Number of Ôãñ ¦ã‡ãŠ „¹ããäÔ©ããä¦ã No. From To Meetings attended 1Ñããè †Ôã.†. ¼ã› 04.06.2007 1/1 1. Shri S. A . Bhat 04.06.2007 1 / 1 2 Ñããè ÌããƒÃ.†Êã.½ãªã¶ã 29.11.2008 1/1 2. Shri Y L Madan 29.11.2008 1 / 1 3 Ñããè½ã¦ããè ¶ãì¹ãîÀ ãä½ã¨ãã 07.12.2009 1/1 3. Smt. Nupur Mitra 07.12.2009 1 / 1 4 ¡ãù.ãäÌã¶ããè¦ã㠇ã슽ããÀ 10.06.2008 1/1 4. Dr. Vinita Kumar 10.06.2008 1 / 1 5 Ñããè. †.‡ãñŠ. ¼ããØãÃÌã 29.11.2009 1/1 5. Shri A.K. Bhargava 29.11.2009 1 / 1

6 Ñããè † . ÌãñÊÊãõ¾ã¶ã 29.11.2009 0/1 6 Shri A Vellayan 29.11.2009 0 / 1

3.5 ØãÆãև㊠ÔãñÌãã Ôããä½ããä¦ã l 3.5 Customer Service Committee: Ôããä½ããä¦ã ‡ãñŠ ‚㣾ãàã ºãö‡ãŠ ‡ãñŠ ‚ã.Ìã.¹ãÆ.ãä¶ã. Ööý 01.04.2009 Ôãñ The Chairman of the committee is the CMD of the Bank. The committee met 3 times during 31.03.210 ‡ãŠãè ‚ãÌããä£ã ‡ãñŠ ªãõÀã¶ã Ôããä½ããä¦ã 3 ºããÀ ãä½ãÊããè ý ÌãÓãà ‡ãñŠ the period 01.04.2009 to 31.03.2010. Number of ªãõÀã¶ã Ôããä½ããä¦ã ‡ãñŠ ¹ãƦ¾ãñ‡ãŠ ÔãªÔ¾ã ´ãÀã ¼ããØã ãäÊㆠºãõŸ‡ãŠãò ‡ãŠãè Ôã⌾ãã : meetings attended by each member of the committee during the year: ‰ãŠ.Ôãâ. ãä¶ãªñÍã‡ãŠãò ‡ãñŠ ¶ãã½ã ÔãªÔ¾ã¦ã㠇ãŠãè ‚ãÌããä£ã ºãõŸ‡ãŠãò ½ãò Ôãñ ¦ã‡ãŠ „¹ããäÔ©ããä¦ã Sl. Name of Director Tenure of membership Number of No. From To Meetings 1Ñããè †Ôã. †. ¼ã› 04.06.2007 3/3 attended 2 Ñããè •ããè. ¶ããÀã¾ã¥ã¶ã 02.01.2008 31.10.2009 2/2 1. Shri S. A. Bhat 04.06.2007 3 / 3 3 Ñããè ÌããƒÃ. †Êã. ½ãªã¶ã 16.05.2008 3/3 2. Shri G. Narayanan 02.01.2008 31.10.2009 2 / 2 4 Ñããè½ã¦ããè ¶ãì¹ãîÀ ãä½ã¨ãã 07.12.2009 1/1 3. Shri Y L Madan 16.05.2008 3/ 3 5 ¡ãù. ãäÌããä¶ã¦ã㠇ã슽ããÀ 10.06.2008 2/3 4. Smt. Nupur Mitra 07.12.2009 1 / 1 5. Dr. Vinita Kumar 10.06.2008 2/ 3 6 Ñããè½ã¦ããè ãäÞã¨ãã Þãâ³½ããõÊããèÍÌãÀ¶ã 27.02.2007 3/3 6. Smt. Chitra Chandramouliswaran 27.02.2007 3 / 3 7 Ñããè †¶ã. Ñããè£ãÀ¶ã 20.04.2007 3/3 7. Shri N. Sridaran 20.04.2007 3 / 3 8 Ñããè •ãñ. ¡ãè. Íã½ããà 09.03.2006 25.09.2009 2/2 8. Shri J.D. Sharma 09.03.2006 25.09.2009 2 / 2 9 Ñããè ºããè. Ìããè. ‚ã¹¹ãã ÀãÌã 30.01.2009 3/3 9. Shri B V Appa Rao 30.01.2009 3/ 3 3.6 Committee For Review Of Disciplinary l 3.6 ‚ã¶ãìÍããÔããä¶ã‡ãŠ ½ãã½ãÊããò ‡ãŠãè Ôã½ããèàãã Öñ¦ãì l Ôããä½ããä¦ã Cases: The Chairman of the committee is the CMD of Ôããä½ããä¦ã ‡ãñŠ ‚㣾ãàã ºãö‡ãŠ ‡ãñŠ ‚ã.Ìã.¹ãÆ.ãä¶ã. Ööý 01.04.2009 the Bank. The committee met 4 times during Ôãñ 31.03.2010 ‡ãŠãè ‚ãÌããä£ã ‡ãñŠ ªãõÀã¶ã Ôããä½ããä¦ã 4 ºããÀ ãä½ãÊããè the period 01.04.2009 to 31.03.2010. Number ý ÌãÓãà ‡ãñŠ ªãõÀã¶ã Ôããä½ããä¦ã ‡ãñŠ ¹ãƦ¾ãñ‡ãŠ ÔãªÔ¾ã ´ãÀã ¼ããØã ãäÊㆠof meetings attended by each member of the ºãõŸ‡ãŠãò ‡ãŠãè Ôã⌾ãã : committee during the year: ‰ãŠ.Ôãâ. ãä¶ãªñÍã‡ãŠãò ‡ãñŠ ¶ãã½ã ÔãªÔ¾ã¦ã㠇ãŠãè ‚ãÌããä£ã ºãõŸ‡ãŠãò ½ãò Sl. Name of Director Tenure of membership Number of Ôãñ ¦ã‡ãŠ „¹ããäÔ©ããä¦ã No. From To Meetings attended 1Ñããè †Ôã. †. ¼ã› 04.06.2007 4/4 1. Shri S. A. Bhat 04.06.2007 4 / 4

2 Ñããè •ããè. ¶ããÀã¾ã¥ã¶ã 01.12.2007 31.10.2009 2/2 2. Shri G. Narayanan 01.12.2007 31.10.2009 2 / 2

3 Ñããè ÌããƒÃ. †Êã. ½ãªã¶ã 16.05.2008 4/4 3. Shri Y L Madan 16.05.2008 4 / 4

4 Ñããè½ã¦ããè ¶ãì¹ãîÀ ãä½ã¨ãã 07.12.2009 2/2 4. Smt. Nupur Mitra 07.12.2009 2 / 2

5 ¡ãù. ãäÌããä¶ã¦ã㠇ã슽ããÀ 10.06.2008 3/4 5. Dr. Vinita Kumar 10.06.2008 3/ 4

6 Ñããè½ã¦ããè ãäÞã¨ãã Þãâ³½ããõÊããèÍÌãÀ¶ã 27.02.2007 4/4 6. Smt. Chitra Chandramouliswaran 27.02.2007 4 / 4

45 l 3.7 Ôãâ¹ã‡ãʇ㊦ããà Œãã¦ããò ‡ãŠãè Ô©ãã¹ã¶ã㠇ãñŠ ãäÊㆠl 3.7 Committee For Establishment Of Ôããä½ããä¦ã Correspondent Accounts: Ôããä½ããä¦ã ‡ãñŠ ‚㣾ãàã ºãö‡ãŠ ‡ãñŠ ‚ã.Ìã.¹ãÆ.ãä¶ã. Ööý 01.04.2009 Ôãñ The Chairman of the committee is the CMD of the Bank. The committee met 2 times during 31.03.2010 ‡ãŠãè ‚ãÌããä£ã ‡ãñŠ ªãõÀã¶ã Ôããä½ããä¦ã 2 ºããÀ ãä½ãÊããè ý ÌãÓãà ‡ãñŠ the period 01.04.2009 to 31.03.2010. Number of ªãõÀã¶ã Ôããä½ããä¦ã ‡ãñŠ ¹ãƦ¾ãñ‡ãŠ ÔãªÔ¾ã ´ãÀã ¼ããØã ãäÊㆠºãõŸ‡ãŠãò ‡ãŠãè Ôã⌾ãã : meetings attended by each member of the committee during the year: ‰ãŠ.Ôãâ.ãù ãä¶ãªñÍã‡ãŠãò ‡ãñŠ ¶ãã½ã ÔãªÔ¾ã¦ã㠇ãŠãè ‚ãÌããä£ã ºãõŸ‡ãŠãò ½ãò Ôãñ ¦ã‡ãŠ „¹ããäÔ©ããä¦ã Sl. Name of Director Tenure of membership Number of No. From To Meetings 1. Ñããè †Ôã. †. ¼ã› 04.06.2007 2/2 attended 2. Ñããè •ããè. ¶ããÀã¾ã¥ã¶ã 01.12.2007 31.10.2009 1/1 1. Shri S. A Bhat 04.06.2007 2 / 2 3. Ñããè ÌããƒÃ. †Êã. ½ãªã¶ã 30.05.2008 2/2 2. Shri G. Narayanan 01.12.2007 31.10.2009 1 /1 4. Ñããè †. ‡ãñŠ. ¼ããØãÃÌã 09.12.2008 2/2 3. Shri Y L Madan 30.05.2008 2 / 2 5. Ñããè ºããè. Ìããè. ‚ã¹¹ãã ÀãÌã 09.12.2008 2/2 4. Shri A.K. Bhargava 09.12.2008 2 / 2 5. Shri B V Appa Rao 09.12.2008 2 / 2 l 3.8 ¹ãããäÀÑããä½ã‡ãŠ Ôããä½ããä¦ã l 3.8 REMUNERATION COMMITTEE: ºãö‡ãŠ ‡ãñŠ ¹ãî¥ãÇãŠããäÊã‡ãŠ ãä¶ãªñÍã‡ãŠãò ‡ãŠãñ ªñ¾ã ¹ãããäÀÑããä½ã‡ãŠ (‡ãŠã¾ãÃ-ãä¶ãÓ¹ã㪶ã Ôãñ Remuneration (excluding performance linked •ãüì¡ñ ¹ãÆãñ¦Ôããֶ㠇ãŠãñ œãñü¡‡ãŠÀ) ‡ãñŠ ºããÀñ ½ãò ‡ãòŠ³ ÔãÀ‡ãŠãÀ ´ãÀã ãä¶ã¥ãþã incentive) payable to the whole time directors is ãäÊã¾ã㠕ãã¦ãã Öõý ºãö‡ãŠ ‡ãñŠ ‚㶾ã ãä¶ãªñÍã‡ãŠãò ‡ãŠãñ ‡ãòŠ³ ÔãÀ‡ãŠãÀ ‡ãñŠ ãä¶ãªóÍããò ‡ãñŠ decided by the Central Government. The Bank ½ãì¦ãããäºã‡ãŠ ºãöŸ‡ãŠ ‡ãñŠ Íãìʇ㊠‡ãñŠ ‚ãÊããÌãã ºãö‡ãŠ ´ãÀ㠇ãŠãñƒÃ ‚㶾㠹ãããäÀÑããä½ã‡ãŠ does not pay any remuneration to other directors ¶ãÖãé ã䪾ã㠕ãã¦ãã Öõý except sitting fees as per directives of Central Government. ¼ããÀ¦ã ÔãÀ‡ãŠãÀ, ãäÌ㦦㠽ãâ¨ããÊã¾ã (ºãöãä‡ãâŠØã ¹ãƼããØã) ¹ã¨ã †¹ãŠ.Ôãâ.20/01/ A Remuneration Committee, a Sub-Committee of the 2005-ºããè‚ããñ-1, ã䪶ããâ‡ãŠ 09.03.2007 ‡ãñŠ ‚ã¶ãìÔããÀ ¼ããÀ¦ã ÔãÀ‡ãŠãÀ Board of Directors, has been constituted for evaluating ‡ãñŠ ãäªÍãã-ãä¶ãªóÍãã¶ãìÔããÀ ºãö‡ãŠ ‡ãñŠ ¹ãî¥ãà ‡ãŠããäÊã‡ãŠ ãä¶ãªñÍã‡ãŠãñ⠇ãŠãñ ÔãÀ‡ãŠãÀãè the performance in terms of government guidelines ãäªÍãã-ãä¶ãªóÍããò ‡ãñŠ ‚ã¶ãì¹ã ãä¶ãÓ¹ã㪶㠇ãŠã ½ãîʾããâ‡ãŠ¶ã †Ìã⠇ãŠã¾ãÃ-ãä¶ãÓ¹ã㪶ã and to recommend payment of performance-linked incentives to the whole time directors of the Bank, ¹ãÆãñ¦Ôããֶ㠇ãŠã ¼ãìØã¦ãã¶ã ‡ãŠÀ¶ãñ ‡ãŠãè ãäÔã¹ãŠããäÀÍ㠇ãŠÀ¶ãñ Öñ¦ãì ãä¶ãªñÍã‡ãŠ ½ãâ¡Êã in terms of Government of India, Ministry of Finance ‡ãŠãè „¹ã Ôããä½ããä¦ã “¹ãããäÀÑããä½ã‡ãŠ Ôããä½ããä¦ã” Øãã䟦㠇ãŠãè ØãƒÃ Öõý (Banking Division) letter F. No. 20 / 1 / 2005 – BO- I dated 09.03.2007. Ôããä½ããä¦ã ‡ãñŠ ÔãªÔ¾ã ãä¶ã½¶ã ¹ãƇãŠãÀ Öö : The members of the Committee are :- 1. Ñããè †½ã.ÀÌãã足 ãäÌã‰ãŠ½ã - ‚㣾ãàã 1. Shri M Ravindra Vikram – Chairman 2. ¡ãù. ãäÌã¶ããè¦ã㠇ã슽ããÀ 2. Dr. Vinita Kumar 3. Ñããè½ã¦ããè. ãäÞã¨ãã Þ㶳½ããõÊããèÍÌãÀ¶ã 3. Smt. Chitra Chandramouliswaran 4. Ñããè †. ‡ãñŠ. ¼ããØãÃÌã 4. Shri A.K. Bhargava Ôããä½ããä¦ã ã䪶ããâ‡ãŠ 04.05.2009 ‡ãŠãñ †‡ãŠ ºããÀ ãä½ãÊããè ‚ããõÀ Ôããä½ããä¦ã ‡ãñŠ The Committee met once on 04.05.2009 and all Ôã¼ããè ÔãªÔ¾ããò ¶ãñ ºãõŸ‡ãŠ ½ãò ¼ããØã ãäÊã¾ãã ý members of the Committee have attended the meeting. l 3.9 ¶ãã½ããâ‡ãŠ¶ã Ôããä½ããä¦ã l 3.9 NOMINATION COMMITTEE : ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ¶ãñ ‚ã¹ã¶ãñ ¹ããäÀ¹ã¨ã Ôã⪼ãà ¡ãèºããè‚ããñ¡ãè Ôãâ. ºããè Ôããè RBI, vide circular ref: DBOD. No. BC. No.47 / Ôãâ.47 / 29.39.001 / 2007-08 ã䪶ããâ‡ãŠ 01.11.2007 ½ãò ã䪶ããâ‡ãŠ 29.39.001 / 2007-08 dated 01 11 2007, pursuant 16.10.2006 Ôãñ ¹ãƼããÌããè ºãö‡ãŠ‡ãŠãÀãè ‡ã⊹ã¶ããè („¹ã‰ãŠ½ããò ‡ãñŠ ‚ããä£ãØãÆÖ¥ã to the amendment in The Banking Companies ¦ã©ã㠂ãâ¦ãÀ¥ã) ‚ããä£ããä¶ã¾ã½ã 1970 ½ãò Öì† ÔãâÍããñ£ã¶ã ‡ãñŠ ‚ã¶ãìÔããÀ ãä¶ãªñÍã‡ãŠãò (Acquisition and Transfer of Undertakings) Act, 1970 effective 16.10.2006, has issued necessary ‡ãŠãè ãä¶ã¾ãìãä‡ã‹¦ã ‡ãŠÀ¦ãñ Ôã½ã¾ã ‘¾ããñؾ㠦ã©ã㠄ãäÞã¦ã’ ÖõãäÔã¾ã¦ã ‚ãããäª ãä¶ã¥ãþã guidelines for determining the authority, manner/ Êãñ¶ãñ ‡ãñŠ ¹ãÆããä£ã‡ãŠãÀ, ¹ã®ãä¦ã / ‡ãŠã¾ãÃãäÌããä£ã ¦ã©ãã ½ããâ¶ãª¥¡-‡ãñŠ ãä¶ã£ããÃÀ¥ã ‡ãñŠ procedure and criteria for deciding the ‘Fit and ãäÊㆠ‚ããÌã;ã‡ãŠ ãäªÍããä¶ãªóÍã ã䪆 Ööý Proper’ status etc., while appointing the Directors.

46 ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãõâ‡ãŠ ¶ãñ ‚ãºã ãä¶ãªñÍã ã䪾ãã Öõ ãä‡ãŠ “¾ããñؾ㠦ã©ã㠄ãäÞã¦ã” RBI has directed that the “Fit and Proper” criteria, ½ãã¶ãª¥¡ ‡ãŠãñ ‚ãºã Ôãñ Þãì¶ãñ Øㆠãä¶ãªñÍã‡ãŠãò (Íãñ¾ãÀ£ããÀ‡ãŠ ãä¶ãªñÍã‡ãŠ) - as of now, be made applicable to the elected directors (Shareholder directors) – both present ªãñ¶ããò Ìã¦ãýãã¶ã ¦ã©ãã ¼ããäÌãӾ㠽ãò ¼ããè ÊããØãî ãä‡ãŠ¾ã㠕ãã†ý and future. Ôããä½ããä¦ã „ãäÞã¦ã Ôã½ã¾ã ¹ãÀ Øãã䟦㠇ãŠãè •ãã†Øããèý The committee would be constituted at an appropriate time. 4. Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãè Ôããä½ããä¦ã¾ããú 4. SHAREHOLDERS’ COMMITTEES: ‡ãŠ. Íãñ¾ãÀ£ããÀ‡ãŠ ãäÍã‡ãŠã¾ã¦ã Ôããä½ããä¦ã a. Shareholders Grievance Committee: ã䪶ããâ‡ãŠ 25.11.2008 ‡ãŠãñ ‚ãã¾ããñãä•ã¦ã ƒÆÕãã膽㠽ãò Íãñ¾ãÀ£ããÀ‡ãŠ ãä¶ãªñÍã‡ãŠãò The Shareholders Grievance Committee, ‡ãñŠ Þãì¶ããÌ㠇ãñŠ ºã㪠‚ã¹ãÆõÊã 2001 ‡ãŠãñ Øãã䟦ã Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãè ãäÍã‡ãŠã¾ã¦ã constituted in April 2001, was last reconstituted Ôããä½ããä¦ã ‡ãŠã ‚ãâãä¦ã½ã ºããÀ ¹ãì¶ãØã߶ã ãä¶ãªñÍã‡ãŠ ½ãâ¡Êã ¶ãñ Ôã½ããèàãã£ããè¶ã ÌãÓãà by the Board on 29.12.2008, consequent to the ‡ãñŠ ªãõÀã¶ã ã䪶ããâ‡ãŠ 29.12.2008 ‡ãŠãñ ãä‡ãŠ¾ããý election of Shareholder Directors at the EGM held on 25.11.2008. ‚ã¼ããè Ôããä½ããä¦ã ‡ãñŠ ‚㣾ãàã Ñããè †.ÌãñÊÊã¾ã¶ã Öö ‚ããõÀ ‚㶾ã ÔãªÔ¾ã ãä¶ãªñÍã‡ãŠ ½ãâ¡Êã ´ãÀã ¶ãããä½ã¦ã ªãñ ãä¶ãªñÍã‡ãŠ Öö ý 01.04.2009 Ôãñ 31.03.2010 At present, the Chairman of the Committee is Shri A Vellayan and the other members are two ¦ã‡ãŠ ‡ãŠãè ‚ãÌããä£ã ‡ãñŠ ªãõÀã¶ã Ôããä½ããä¦ã 4 ºããÀ ãä½ãÊããèý Ôã¼ããè ºãõŸ‡ãòŠ „ãäÞã¦ã directors nominated by the Board. The committee ‡ãŠãñÀ½ã ‡ãñŠ Ôãã©ã Ô©ããäØã¦ã ãä‡ãŠ† ºãØãõÀ ‚ãã¾ããñãä•ã¦ã ‡ãŠãè ØãƒÄý Ôããä½ããä¦ã ‡ãñŠ met 4 times during the period 01.04.2009 to ¹ãƦ¾ãñ‡ãŠ ÔãªÔ¾ã ´ãÀã ºãõŸ‡ãŠãò ½ãò „¹ããäÔ©ããä¦ã ‡ãñŠ º¾ããõÀñ ãä¶ã½¶ãÌã¦ã Öö- 31.03.2010. All the meetings were conducted with proper quorum and without any adjournments. ‰ãŠ.Ôãâ. ãä¶ãªñÍã‡ãŠãò ‡ãñŠ ¶ãã½ã ÔãªÔ¾ã¦ã㠇ãŠãè ‚ãÌããä£ã ºãõŸ‡ãŠãò ½ãò The number of meetings attended by each Ôãñ ¦ã‡ãŠ „¹ããäÔ©ããä¦ã committee member during the year is as follows: 1. Ñããè †.ÌãñÊÊã¾ã¶ã 08.12.2008 2/4 Sl. Name of Director Tenure of membership Number of 2. Ñããè •ããè.¶ããÀã¾ã¥ã¶ã 01.04.2008 31.10.2009 2/2 No. From To Meetings attended 3. Ñããè ÌããƒÃ.†Êã.½ãªã¶ã* 29.05.2008 1/1 1. Shri A.Vellayan 08.12.2008 2/4 4. Ñããè½ã¦ããè ¶ãì¹ãîÀ ãä½ã¨ãã** 07.12.2009 1/1 2. Shri G Narayanan 01.04.2008 31.10.2009 2/2 5. ¡ãù.ãäÞãÀâ•ããèºã Ôãñ¶ã 08.12.2008 3/4 3. Shri Y L Madan* 29.05.2008 1/1 4. Smt. Nupur Mitra** 07.12.2009 1/1 * Ñããè •ããè. ¶ããÀã¾ã¥ã¶ã, ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ ´ãÀã Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãè 5. Dr. Chiranjib Sen 08.12.2008 3/4 ãäÍã‡ãŠã¾ã¦ã Ôããä½ããä¦ã ‡ãŠãè ºãõŸ‡ãŠ ½ãò ‚ã¶ãì¹ããäÔ©ã¦ã ÀÖ¶ãñ ¾ãã ¼ããØã Êãñ¶ãñ ½ãò ‚ãÔã½ã©ãà Öãñ¶ãñ ¹ãÀ Ôããä½ããä¦ã ‡ãñŠ ÔãªÔ¾ã ‡ãñŠ ¹㠽ãò ¼ããØã Êãñ¶ãñ Öñ¦ãì ãä¶ã¾ãì‡ã‹¦ã * Appointed to attend meetings as a member of the Shareholders Grievance Committee In the ãä‡ãŠ¾ãã Øã¾ããý absence or inability of Shri G Narayanan, ED to ** Ñããè ÌããƒÃ.†Êã.½ãªã¶ã, ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ ´ãÀã Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãè attend meetings. ãäÍã‡ãŠã¾ã¦ã Ôããä½ããä¦ã ‡ãŠãè ºãõŸ‡ãŠ ½ãò ‚ã¶ãì¹ããäÔ©ã¦ã ÀÖ¶ãñ ¾ãã ¼ããØã Êãñ¶ãñ ½ãò ** Appointed to attend meetings as a member ‚ãÔã½ã©ãà Öãñ¶ãñ ¹ãÀ Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãè ãäÍã‡ãŠã¾ã¦ã Ôããä½ããä¦ã ‡ãñŠ ÔãªÔ¾ã ‡ãñŠ ¹ã of the Shareholders Grievance Committee in the absence or inability of Shri Y.L.Madan, ED to ½ãò ¼ããØã Êãñ¶ãñ Öñ¦ãì ãä¶ã¾ãì‡ã‹¦ã ãä‡ãŠ¾ãã Øã¾ããý attend meetings. Íãñ¾ãÀ£ããÀ‡ãŠ ãäÍã‡ãŠã¾ã¦ã Ì㠄¶ã‡ãñŠ ãä¶ãÌããÀ¥ã Ôãâºãâ£ããè ¹ãÆ¥ããÊããè ‚ãããäª ½ãò The Shareholders’ Grievance Committee Àãä•ãԛÈãÀ ‡ãñŠ ‡ãŠã¾ããÃÊã¾ã ½ãò ‚ã¹ã¶ããƒÃ •ãã¶ãñÌããÊããè ¹ã®ãä¦ã ‡ãŠã ‚ããÌããä£ã‡ãŠ appointed a Practicing Company Secretary, Shri ‚ãâ¦ãÀãÊããò ½ãò •ããúÞ㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠÔãããäÞããäÌã‡ãŠ ÊãñŒãã ¹ãÀãèàã㠇ãŠÀ¶ãñ ‡ãñŠ V Suresh, to undertake the Secretarial Audit in ãäÊㆠÍãñ¾ãÀ£ããÀ‡ãŠ ãäÍã‡ãŠã¾ã¦ã Ôããä½ããä¦ã ¶ãñ Ñããè Ìããè. ÔãìÀñÍã, ‡ãŠã¾ãÃÀ¦ã ‡ãŠâ¹ã¶ããè the office of the Registrar, at periodical intervals to verify the methodology followed by them ÔããäÞãÌ㠇ãŠãè ãä¶ã¾ãìãä§ãŠ ‡ãŠãèý Ôããä½ããä¦ã ‡ãŠãè ¹ãƦ¾ãñ‡ãŠ ºãõŸ‡ãŠ ½ãò „¶ã‡ãŠãè ãä¦ã½ããÖãè involving Shareholders Grievances & Redressal ãäÀ¹ããñ›ãô ¹ãÀ ãäÌãÞããÀ ãä‡ãŠ¾ãã Øã¾ãã Öõý system etc. The committee considers his quarterly reports at every meeting. Œã. Íãñ¾ãÀ ‚ãâ¦ãÀ¥ã Ôããä½ããä¦ã b. Share Transfer Committee: Íãñ¾ãÀ ‚ãâ¦ãÀ¥ã Ôããä½ããä¦ã ½ãò ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ ¾ã㠄¶ã‡ãŠãè ‚ã¶ãì¹ããäÔ©ããä¦ã ½ãò ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ, Íãñ¾ãÀ£ããÀ‡ãŠ ãä¶ãªñÍã‡ãŠ ‚ããõÀ ½ãâ¡Êã Share Transfer Committee consists of the Chairman and Managing Director or in his absence the

47 ´ãÀã ¶ãããä½ã¦ã †‡ãŠ ãä¶ãªñÍã‡ãŠ Ööý Ôããä½ããä¦ã Íãñ¾ãÀ ‚ãâ¦ãÀ¥ã, ›ÈãâÔããä½ãÍã¶ã, Executive Director, one shareholder Director and ¡îãä¹Êã‡ãñŠ› Íãñ¾ãÀ ¹ãƽãã¥ã ¹ã¨ããò ‡ãŠãñ ãä¶ãØãæ㠇ãŠÀ¶ãñ, ›ÈãâÔã¹ããñãäÔãÍã¶ã, ¡ãè one Director nominated by the Board. The committee deals with all matters connected with ½ãñ›/ Àãè½ãñ› ‚ãããäª ‡ãŠãñ Ôãâ¼ããÊã¦ããè Öõý Ôããä½ããä¦ã ÌãÓãà ‡ãñŠ ªãõÀã¶ã 23 ºããÀ share transfers, transmission, issue of duplicate ãä½ãÊããè ‚ããõÀ ºãõŸ‡ãòŠ „ãäÞã¦ã ‡ãŠãñÀ½ã ‡ãñŠ Ôãã©ã Ô©ããäØã¦ã ãä‡ãŠ† ºãØãõÀ ‚ãã¾ããñãä•ã¦ã share certificates, transposition, demat / remat ‡ãŠãè ØãƒÃý etc., The committee met 23 times during the year and all the meetings were conducted with proper ÌãÓãà ‡ãñŠ ªãõÀã¶ã Ôããä½ããä¦ã ‡ãñŠ ¹ãƦ¾ãñ‡ãŠ ÔãªÔ¾ã ´ãÀã ºãõŸ‡ãŠãò ½ãò „¹ããäÔ©ããä¦ã ‡ãñŠ quorum and without any adjournments. º¾ããõÀñ ãä¶ã½¶ãÌã¦ã Öö- The number of meetings attended by each ‰ãŠ.Ôãâ. ãä¶ãªñÍã‡ãŠãò ‡ãñŠ ¶ãã½ã ÔãªÔ¾ã¦ã㠇ãŠãè ‚ãÌããä£ã ¼ããØã ãäÊㆠcommittee member during the year is as under: Ôãñ ¦ã‡ãŠ ºãõŸ‡ãŠãò ‡ãŠãè Ôãâ. Sl. Name of Director Tenure of membership Number of 1. Ñããè •ããè.¶ããÀã¾ã¥ã¶ã 01.04.2008 31.10.2009 11/11 No. From To Meetings attended 2. Ñããè ÌããƒÃ.†Êã.½ãªã¶ã* 29.05.2008 11/11 1 Shri G Narayanan 01.04.2008 31.10.2009 11 / 11 3. Ñããè½ã¦ããè ¶ãì¹ãîÀ ãä½ã¨ãã** 07.12.2009 01/01 2 Shri Y L Madan * 29.05.2008 11/ 11 4. Ñããè½ã¦ããè ãäÞã¨ãã Þãâ³½ããõÊããèÍÌãÀ¶ã 29.10.2009 29.03.2010 10/10 3 Smt. Nupur Mitra** 07.12.2009 01/ 01 5. Ñããè †.ÌãñÊÊã¾ã¶ã 08.12.2008 04.05.2009 02/02 4 Smt Chitra Chandramouliswaran 29.10.2009 29.03.2010 10 / 10 6. Ñããè •ãñ.¡ãè.Íã½ããà 09.03.2006 25.09.2009 09/10 5 Shri A Vellayan 08.12.2008 04.05.2009 02 / 02 7 ¡ãù.ãäÞãÀâ•ããèºã Ôãñ¶ã 04.05.2009 16/21 6 Shri J. D. Sharma 09.03.2006 25.09.2009 09 / 10 8 Ñããè ‡ãñŠ. ‚ãã¶ã¶ª ‡ã슽ããÀ 30.03.2010 01/01 7 Dr. Chiranjib Sen 04.05.2009 16 / 21 8 Shri K. Ananda Kumar 30.03.2010 01 / 01 * ‚ã. Ìã. ¹ãÆ. ãä¶ã. ¾ãã Ñããè •ããè. ¶ããÀã¾ã¥ã¶ã, ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ *Appointed to act as Chairman of the Share ´ãÀã ºãõŸ‡ãŠ ½ãò ‚ã¶ãì¹ããäÔ©ã¦ã ÀÖ¶ãñ ¾ãã ¼ããØã Êãñ¶ãñ ½ãò ‚ãÔã½ã©ãà Öãñ¶ãñ ¹ãÀ Transfer Committee In the absence or inability Íãñ¾ãÀ ‚ãâ¦ãÀ¥ã Ôããä½ããä¦ã ‡ãŠãè ‚ã£¾ãàã¦ã㠇ãŠÀ¶ãñ Öñ¦ãì ãä¶ã¾ãì‡ã‹¦ã ãä‡ãŠ¾ãã of CMD or Shri G Narayanan, ED to attend Øã¾ããý meetings. **‚ã. Ìã. ¹ãÆ. ãä¶ã. ¾ãã Ñããè ÌããƒÃ.†Êã.½ãªã¶ã, ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ **Appointed to act as Chairman of the Share ´ãÀã ºãõŸ‡ãŠ ½ãò ‚ã¶ãì¹ããäÔ©ã¦ã ÀÖ¶ãñ ¾ãã ¼ããØã Êãñ¶ãñ ½ãò ‚ãÔã½ã©ãà Öãñ¶ãñ ¹ãÀ Transfer Committee In the absence or inability of Shri.Y.L.Madan, ED to attend meetings. Íãñ¾ãÀ ‚ãâ¦ãÀ¥ã Ôããä½ããä¦ã ‡ãŠãè ‚ã£¾ãàã¦ã㠇ãŠÀ¶ãñ Öñ¦ãì ãä¶ã¾ãì‡ã‹¦ã ãä‡ãŠ¾ãã Øã¾ããý The Share Transfer Committee appointed a Practicing Company Secretary, Shri V. Suresh, Íãñ¾ãÀ ‚ãâ¦ãÀ¥ã Ôããä½ããä¦ã ¶ãñ Íãñ¾ãÀ ‚ãâ¦ãÀ¥ã, ›ÈãâÔããä½ãÍã¶ã, Ôã½ãñ‡ãŠ¶ã, to undertake the Secretarial Audit in the office ãäÔ¹Êã›, ¡îãä¹Êã‡ãñŠ› ¹ãƽãã¥ã¹ã¨ã •ããÀãè ‡ãŠÀ¶ã㠂ãããäª ‡ãñŠ Ôãâºãâ£ã ½ãò of the Registrar, to verify the methodology ‚ã¹ã¶ããƒÃ ØãƒÃ ¹ã®ãä¦ã ‡ãŠãè •ããúÞ㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠÀãä•ãԛÈãÀ ‡ãñŠ ‡ãŠã¾ããÃÊã¾ã followed by them involving share transfer, transmission, consolidation, split, issue of ½ãò ÔãããäÞããäÌã‡ãŠ ÊãñŒãã¹ãÀãèàã㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ‡ãŠã¾ãÃÀ¦ã ‡ãŠâ¹ã¶ããè ÔããäÞãÌã duplicate certificates etc., His assignment Ñããè Ìããè. ÔãìÀñÍ㠇ãŠãñ ãä¶ã¾ãì§ãŠ ãä‡ãŠ¾ããý „¶ã‡ãŠã ‡ãŠã¾ãà 01.01.2005 Ôãñ commenced on 01.01.2005 and his fortnightly ‚ããÀâ¼ã Öì‚ã㠂ããõÀ „¶ã‡ãŠãè ¹ãããäàã‡ãŠ ãäÀ¹ããñ›Ã ¹ãÀ Ôããä½ããä¦ã ‡ãŠãè ÖÀ ºãõŸ‡ãŠ reports are considered at every meeting of the ½ãò ãäÌãÞããÀ ãä‡ãŠ¾ãã Øã¾ãã ý ‚ãâ¦ãÀ¥ã ‡ãŠã ‡ãŠãñƒÃ ¼ããè ‚ã¶ãìÀãñ£ã †‡ãŠ ½ããÖ Committee. No request for transfer is pending for more than one month. Ôãñ ‚ããä£ã‡ãŠ Êãâãäºã¦ã ¶ãÖãé Öõý c. Compliance Officer : Øã. ‚ã¶ãì¹ããÊã¶ã ‚ããä£ã‡ãŠãÀãè : In terms of clause 47 of the listing agreement, ÔãîÞããèºã® ‚ã¶ãìºãâ£ã ‡ãñŠ Œã¥¡ 47 ‡ãñŠ ‚ã¶ãìÔããÀ Ñããè ‡ãñŠ. Ôã춪À Àã•ã¶ã, „¹ã Shri K Sundar Rajan, Deputy General Manager ½ãÖã ¹ãƺãâ£ã‡ãŠ ¦ã©ã㠇ã⊹ã¶ããè ÔããäÞãÌã, ¼ããÀ¦ããè¾ã ¹ãÆãä¦ã¼ãîãä¦ã †Ìãâ ãäÌããä¶ã½ã¾ã and Company Secretary is the Compliance Officer ºããñ¡Ã, ԛãù‡ãŠ †‡ãŠÔÞãò•ã ‚ãããäª ‡ãñŠ ãäÌããä¼ã¸ã ¹ãÆãÌã£ãã¶ããò ‡ãŠã ¹ããÊã¶ã ‡ãŠÀ¶ãñ ‡ãñŠ for the purpose of complying with the various provisions of SEBI, Stock Exchanges etc. „ÿñ;ã Ôãñ ‚ã¶ãì¹ããÊã¶ã ‚ããä£ã‡ãŠãÀãè Öö ý

48 Üã. Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãè ãäÍã‡ãŠã¾ã¦ãò d. Shareholders Complaints : ÌãÓãà ‡ãñŠ ªãõÀã¶ã ¹ãÆ㹦ã Ìã ªîÀ ‡ãŠãè ØãƒÃ ¦ã©ãã ãäÌãÞããÀã£ããè¶ã ãäÍã‡ãŠã¾ã¦ããò ‡ãŠãè Number of complaints received, resolved and Ôã⌾ãã pending during the year: SL NATURE OF COMPLAINT PENDING RECEIVED REDRESSED PENDING ‰ãŠ.Ôãâ. ãäÍã‡ãŠã¾ã¦ã ‡ãŠãè ¹ãƇãðŠãä¦ã 01.04.2009 ¹ãÆ㹦ã ãä¶ã¹ã›ãƒÃ Øã¾ããè ã䪶ããâ‡ãŠ No. AS ON AS ON ¦ã‡ãŠ Êãâãäºã¦ã ãäÍã‡ãŠã¾ã¦ããò ãäÍã‡ãŠã¾ã¦ããò 31.03.2010 01.04.2009 31.03.2010 ‡ãŠãè Ôã⌾ã㠇ãŠãè Ôã⌾ãã ¦ã‡ãŠ Êãâãäºã¦ã ãäÍã‡ãŠã¾ã¦ããò 01 Non receipt of refund ‡ãŠãè Ôã⌾ãã order and Share certificates Nil 25 25 Nil 1. Ìãã¹ãÔããè ‚ããªñÍ㠂ããõÀ Íãñ¾ãÀ 02 Non receipt of Dividend Nil 1104 1104 Nil ¹ãƽãã¥ã ¹ã¨ã ¹ãÆ㹦㠶ã Öãñ¶ãã Íãã 25 25 Íãã 03 Complaints to SEBI / Stock Exchanges and 2. Êãã¼ããâÍã ¹ãÆ㹦㠶ã Öãñ¶ãã Íãã 1104 1104 Íãã Consumer Redressal Forum 01 30 31 Nil 3. Ôãñºããè / ԛãù‡ãŠ †‡ã‹ÔãÞãò•ããò ‚ããõÀ 04 Miscellaneous (complaints ØãÆãև㊠ãäÍã‡ãŠã¾ã¦ã ãä¶ãÌããÀ¥ã ¹ãŠãñÀ½ã reg. change of address, ‡ãŠãè ãäÍã‡ãŠã¾ã¦ãò 0130 31 Íãã bank mandate, demat requests etc.) Nil 57 57 Nil 4. ãäÌããäÌã£ã (¹ã¦ãñ ½ãò ¹ããäÀÌã¦ãöã , Total 01 1216 1217 Nil ºãö‡ãŠ ‚ããä£ãªñÍã , ¡ãè½ãõ› ‚ã¶ãìÀãñ£ã ‚ãããäª Ôãñ Ôãâºãâãä£ã¦ã ãäÍã‡ãŠã¾ã¦ãò ) Íãã 57 57 Íãã e. In terms of clause 47(f) of the listing agreement ‡ãìŠÊã 01 1216 1217 Íãã we have advised the shareholders that an exclusive e-mail ID - [email protected] has been ü¡ ÔãîÞããèºã® ‡ãŠÀãÀ ‡ãñŠ Œã¥¡ 47( †¹ãŠ ) ‡ãñŠ ‚ã¶ãìÔããÀ Ö½ã¶ãñ Íãñ¾ãÀ£ããÀ‡ãŠãñò allotted and our Deputy General Manager and ‡ãŠãñ ÔãîãäÞã¦ã ãä‡ãŠ¾ãã Öõ ãä‡ãŠ ‚㶾㠃à ½ãñÊ㠂ãム¡ãè Company Secretary Shri K Sundar Rajan, is also the Compliance Officer for the purpose of registering and [email protected] ªãè ØãƒÃ Öõ ‚ããõÀ Ö½ããÀñ „¹ã redressal of complaints by investors. We have ½ãÖã¹ãƺãâ£ã‡ãŠ ‚ããõÀ ‡ã⊹ã¶ããè ÔããäÞãÌã Ñããè ‡ãñŠ Ôã춪À Àã•ã¶ã ‡ãŠãñ ãä¶ãÌãñÍã‡ãŠãò ´ãÀã displayed this email ID and other relevant details ãäÍã‡ãŠã¾ã¦ããò ‡ãŠãñ ª•ãà ‡ãŠÀ¶ãñ ‚ããõÀ ãä¶ãÌããÀ¥ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠãäÌãÍãñÓã ¹ã Ôãñ prominently on our website. The Investor Relations ‚ã¶ãì¹ããÊã¶ã ‚ããä£ã‡ãŠãÀãè ‡ãñŠ ¹㠽ãñ ¼ããè ¶ãããä½ã¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõ ý Ö½ã¶ãñ ¾ãÖ Cell headed by an Assistant General Manager handles ƒÃ ½ãñÊ㠂ããƒÃ ¡ãè ‚ããõÀ ‚㶾ã Ôãâºãâãä£ã¦ã º¾ããõÀñ ¹ãƽãìŒã¦ãã Ôãñ ‚ã¹ã¶ããè ÌãñºãÔãホ the redressal of investor complaints. ¹ãÀ ¹ãƪãäÍãæã ãä‡ãŠ† Öõâý ÔãÖã¾ã‡ãŠ ½ãÖã ¹ãƺãâ£ã‡ãŠ •ããñ ãä¶ãÌãñÍã‡ãŠ Ôãâ¹ã‡ãÊ ‡ãŠàã 5. Other Committees: ‡ãñŠ ¹ãƽãìŒã Öö ãä¶ãÌãñÍã‡ãŠ Ôãâºãâ£ããè ãäÍã‡ãŠã¾ã¦ããò ‡ãŠã ãä¶ãÌããÀ¥ã ‡ãŠÀ¦ãñ Ööý There are various other committees such as Asset Liability Management Committee, Investment 5. ‚㶾ã Ôããä½ããä¦ã¾ããâ Review Committee, Top Management Committee comprising CMD, ED and GMs along with ãäÌããä¼ã¸ã ‚㶾ã Ôããä½ããä¦ã¾ãã⠕ãõÔãñ ‚ãããäԦ㠪ñ¾ã¦ãã ¹ãÆâºãâ£ã¶ã Ôããä½ããä¦ã , ãä¶ãÌãñÍã Department executives, which have been ¹ãì¶ãÀãèàã¥ã Ôããä½ããä¦ã , „ÞÞã ¹ãƺãâ£ã¶ã Ôããä½ããä¦ã ½ãò ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ constituted for the day to day functioning, review ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ ½ãÖã¹ãƺãâ£ã‡ãŠãò ‡ãñŠ Ôãã©ã ãäÌã¼ããØ㠇ãŠã¾ãùããÊã‡ãŠ Íãããä½ãÊã and monitoring of various aspects of business. Öö , ãä•ãÔãñ ªõãä¶ã‡ãŠ ‡ãŠã¾ããô ¦ã©ã㠇ãŠãÀãñºããÀ ‡ãñŠ ãäÌããä¼ã¸ã ¹ãÖÊãì‚ããò ‡ãŠãè Ôã½ããèàãã 6. GENERAL BODY MEETING: ãä¶ãØãÀã¶ããè ¦ã©ãã ¹ãƺããñ£ã¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠØãã䟦ã ãä‡ãŠ¾ãã Øã¾ãã Öõâý a. Location and time where last three General 6. Ôãã½ã㶾ã Ôã¼ã㠇ãŠãè ºãõŸ‡ãòŠ Body Meetings were held: Sl. Nature of Date, Day and Venue ‡ãŠ. Ô©ãã¶ã Ìã Ôã½ã¾ã •ãÖãùâ ãä¹ãœÊããè ¦ããè¶ã ºãõŸ‡ãñŠâ ‚ãã¾ããñãä•ã¦ã ‡ãŠãè ØãƒÃ : No. Meeting time of Meeting

‰ãŠ.Ôãâ. ºãõŸ‡ãŠ ‡ãŠã ºãõŸ‡ãŠ ‡ãŠãè ¦ããÀãèŒã, Ô©ãã¶ã 17th AGM 12 06 2007 Tuesday Narada Gana Sabha ¹ãƇãŠãÀ ã䪶ã Ìã Ôã½ã¾ã 10.00 A.M. 314 TTK Road, 17 Ìããé † •ããè †½ã 12.06.2007, ½ãâØãÊãÌããÀ, ¶ããÀª Øãã¶ã Ôã¼ãã Chennai 600 018 10.00 ºã•ãñ 314 ›ãè ›ãè ‡ãñŠ Àãñ¡ , Þãñ¸ãõ 600018 28th AGM 14 06 2008 Saturday Narada Gana Sabha 2 8 Ìããèñ † •ããè †½ã 14.06.2008, Íããä¶ãÌããÀ, ¶ããÀª Øãã¶ã Ôã¼ãã 11.00 A.M. 314 TTK Road, 11.00 ºã•ãñ 314 ›ãè ›ãè ‡ãñŠ Àãñ¡ , Þãñ¸ãõ 600018 Chennai 600 018 3 9 Ìããé † •ããè †½ã 04.07.2009 Íããä¶ãÌããÀ , ¶ããÀª Øãã¶ã Ôã¼ãã 39th AGM 04 07 2009 Saturday Narada Gana Sabha 11.00 ºã•ãñ 314 ›ãè ›ãè ‡ãñŠ Àãñ¡ , Þãñ¸ãõ 600018 11.00 A.M. 314 TTK Road, Chennai 600 018

49 Œã. ãä¹ãœÊãñ ¦ããè¶ã † •ããè †½ã ½ãñ ‡ãŠãñƒÃ ãäÌãÍãñÓã Ôãâ‡ãŠÊ¹ã ¹ãããäÀ¦ã ¶ãÖãé ãä‡ãŠ† b. No special resolutions were put through in Øㆠý the last three AGMs Øã. ‡ãŠãñƒÃ ¡ã‡ãŠ ½ã¦ãªã¶ã ¶ãÖãé ©ãã ý c. There was no postal ballot exercise. d. Location and time where Extra Ordinary Üã. Ô©ãã¶ã Ìã Ôã½ã¾ã •ãÖãú ‚ãÔãã£ããÀ¥ã Ôãã½ã㶾㠺ãõŸ‡ãòŠ ‚ãã¾ããñãä•ã¦ã ÖìƒÄ : General Body Meetings were held:

‰ãŠ.Ôãâ. ºãõŸ‡ãŠ ‡ãŠã ºãõŸ‡ãŠ ‡ãŠãè ¦ããÀãèŒã, Ô©ãã¶ã Sl. Nature of Date, Day and Venue ¹ãƇãŠãÀ ã䪶ã Ìã Ôã½ã¾ã No. Meeting time of Meeting 1¹ãÖÊããè ƒÃ •ããè †½ã 07.12.2002Íããä¶ãÌããÀ , Àã¶ããè Ôããè¦ãõ ÖãÊã 11st EGM 07.12.2002 Saturday Rani Seethai Hall 11.00 A.M. 603, Anna Salai, ÔãìºãÖ 11.00 ºã•ãñ 603 ‚㥥ãã ÔããÊãõ , Þãñ¸ãõ 600 006 Chennai – 600 006 2 ªîÔãÀãè ƒÃ † •ããè †½ã 30.11.2005, ºãì£ãÌããÀ , Àã¶ããè Ôããè¦ãõ ÖãÊã 22nd EGM 30.11.2005 Wednesday Rani Seethai Hall ÔãìºãÖ 11.00 ºã•ãñ 603 ‚㥥ãã ÔããÊãõ , Þãñ¸ãõ 600 006 11.00 A.M. 603, Anna Salai, Chennai – 600 006 3 ¦ããèÔãÀãè ƒÃ •ããè †½ã 25.11.2008 ½ãâØãÊãÌããÀ, ¶ããÀª Øãã¶ã Ôã¼ãã 33rd EGM 25.11.2008 Tuesday Narada Gana Sabha ÔãìºãÖ 11.00 ºã•ãñ 314 ›ãè ›ãè ‡ãñŠ Àãñ¡ , Þãñ¸ãõ 600 018 11.00 A.M. 314 TTK Road, Chennai 600 018 7. ¹ãƇ㊛ãè‡ãŠÀ¥ã 7. DISCLOSURES: ‡ãŠ. ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ Ì㠇ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠãò ‡ãŠã ¹ãããäÀÑããä½ã‡ãŠ a. The remuneration of the Chairman & ‡ãñŠ¶³ ÔãÀ‡ãŠãÀ ´ãÀã ãä¶ã¾ã¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý ÌãÓãà 2009-10 ‡ãñŠ Managing Director and the Executive ãäÊㆠ¹ãî¥ãÇãŠããäÊã‡ãŠ ãä¶ãªñÍã‡ãŠãò ‡ãŠãñ ¹ãƪ¦¦ã ¹ãããäÀÑããä½ã‡ãŠ ‡ãñŠ ãäÌãÌãÀ¥ã Directors is fixed by the Central Government. Details of remuneration paid to Whole Time ãä¶ã½¶ãÌã¦ã Öö : Directors during the year 2009-10 are as follows : ‰ãŠ. Ôãâ . ¶ãã½ã ¹ãª¶ãã½ã ¹ãããäÀÑããä½ã‡ãŠ ‡ãŠã À‡ãŠ½ã ãäÌãÌãÀ¥ã (Á.) Sl. Name Designation Details of Amount No. Remuneration (Rs.) 1 Ñããè †Ôã. †. ¼ã› ‚ã Ìã ¹ãÆ ãä¶ã Ìãñ¦ã¶ã Ì㠼㦦ãñ , 16,41,058.00 ºã‡ãŠã¾ãñ ÔããäÖ¦ã 1. Shri S A Bhat CMD Salary & 16,41,058.00 Allowances ãä¶ãÓ¹ã㪶㠹ãÆãñ¦ÔããÖ¶ã 7,00,000.00 including arrears

2 Ñããè ÌããƒÃ. †Êã .½ãªã¶ã ‡ãŠã¾ãùããÊã‡ãŠ Ìãñ¦ã¶ã Ì㠼㦦ãñ, 12,00,254.09 Performance ãä¶ãªñÍã‡ãŠ ºã‡ãŠã¾ãñ ÔããäÖ¦ã Incentive 7,00,000.00

ãä¶ãÓ¹ã㪶㠹ãÆãñ¦ÔããÖ¶ã 4,82,192.00 2. Shri Y L Madan ED Salary & 12,00,254.09 Allowances Including Arrears 3 Ñããè½ã¦ããè ¶ãî¹ãìÀ ãä½ã¨ã㠇ãŠã¾ãùããÊã‡ãŠ Ìãñ¦ã¶ã Ì㠼㦦ãñ, 3,14,222.57 ãä¶ãªñÍã‡ãŠ Performance Incentive 4,82,192.00 4 Ñããè •ããè. ¶ããÀã¾ã¥ã ‡ãŠã¾ãùããÊã‡ãŠ Ìãñ¦ã¶ã Ì㠼㦦ãñ, 8,54,028.00 3. Smt. Nupur Mitra ED Salary & ãä¶ãªñÍã‡ãŠ ºã‡ãŠã¾ãñ ÔããäÖ¦ã Allowances 3,14,222.57 (ÔãñÌãã ãä¶ãÌãð¦¦ã) ãä¶ãÓ¹ã㪶㠹ãÆãñ¦ÔããÖ¶ã 5,50,000.00 4. Shri G Narayanan ED (Retired) Salary & 8,54,028.00 5 Ñããè †. Ìããè . ªìØããü¡ñ ‡ãŠã¾ãùããÊã‡ãŠ Ìãñ¦ã¶ã ºã‡ãŠã¾ãã 8,00,720.99 Allowances ãä¶ãªñÍã‡ãŠ including arrears

(ÔãñÌãã ãä¶ãÌãð¦¦ã) Performance Incentive 5,50,000.00 6 Ñããè † ‚ããÀ ¶ããØã¹¹ã¶ã ‡ãŠã¾ãùããÊã‡ãŠ Ìãñ¦ã¶ã ºã‡ãŠã¾ãã 72,302.63 ãä¶ãªñÍã‡ãŠ 5. Shri A V Dugade ED (Retired) Salary Arrears 8,00,720.99

(ÔãñÌãã ãä¶ãÌãð¦¦ã ) 6. Shri A R Nagappan ED (Retired) Salary Arrears 72,302.63

50 ºãö‡ãŠ ÔÌã¦ãâ¨ã ãä¶ãªñÍã‡ãŠãò ‡ãŠãñ ‡ãŠãñƒÃ ¹ãããäÀÑããä½ã‡ãŠ ¶ãÖãé ªñ¦ãã , ¼ããÀ¦ã ÔãÀ‡ãŠãÀ The Bank does not pay any remuneration to the ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ‡ãñŠÌãÊã ¹ãÆãä¦ã¼ãããäØã¦ãã Íãìʇ㊠ã䪾ã㠕ãã¦ãã Öõ Independent Directors excepting sitting fees as per the Govt. of India guidelines, for Board ¾ã©ãã ºããñ¡Ã ‡ãŠãè ºãöŸ‡ãŠãò ‡ãñŠ ãäÊㆠ¹ãÆãä¦ã ºãõŸ‡ãŠ Á. 5000/- ‚ããõÀ Ôããä½ããä¦ã Meetings – Rs. 5000/- per meeting and for ‡ãŠãè ºãõŸ‡ãŠãò ‡ãñŠ ãäÊㆠ¹ãÆãä¦ã ºãõŸ‡ãŠ Á. 2500/- ã䪾ã㠕ãã¦ãã Öõ ý Committee meetings – Rs. 2500/- per meeting. b. Disclosures as to Related Party Transactions Œã. ¹ãƺãâ£ã¶ã ‡ãñŠ ¹ãƽãìŒã ̾ããä‡ã‹¦ã¾ããò ¾ãã¶ããè ¹ãî¥ãÇãŠããäÊã‡ãŠ ãä¶ãªñÍã‡ãŠ Ôãñ of Key Managerial Personnel ie. Whole Time Ôãâºãâãä£ã¦ã ¹ãã›ãê Êãñ¶ãªñ¶ã ‡ãŠñ ¹ãƇ㊛¶ã ‡ãŠãè ‚ã®ÃÌãããäÓãÇ㊠‚ãã£ããÀ ¹ãÀ Directors are being reviewed on a half yearly Ôã½ããèàãã ½ãââ¡Ê㠇ãŠãè ÊãñŒãã ¹ãÀãèàãã Ôããä½ããä¦ã ´ãÀ㠇ãŠãè •ãã¦ããè Öõ ý basis by the Audit Committee of the Board. c. There are no significant related party Øã. ºãö‡ãŠ ‡ãñŠ ãä¶ãªñÍã‡ãŠãò , ¹ãƺãâ£ã¶ã „¶ã‡ãŠãè ‚ã¶ãìÓãâØããè ƒ‡ãŠãƒ¾ããò ¾ãã Ôãâºãâãä£ã¾ããò transactions of the Bank with its subsidiaries, ‚ãããäª ‡ãñŠ Ôãã©ã ºãö‡ãŠ ‡ãñŠ †ñÔãñ ‡ãŠãñƒÃ ½ãÖ¦Ìã¹ãî¥ãà ¹ãã›ãê Êãñ¶ãªñ¶ã ¶ãÖãé directors, management or their relatives etc Öõâ ãä•ã¶ãÔãñ ºãö‡ãŠ ‡ãñŠ ãäÖ¦ããò ¹ãÀ ¹ãÆãä¦ã‡ãîŠÊã ¹ãƼããÌã ¹ãü¡¦ãã Öãñ ý that would have potential conflict with the interests of the Bank at large. Üã. ԛã‡ãŠ †‡ã‹ÔãÞãò•ããò /Ôãñºããè / ãä‡ãŠÔããè ‚ã¶¾ã ÔããâãäÌããä£ã‡ãŠ ¹ãÆããä£ã‡ãŠãÀãè d. No penalties were imposed or strictures ´ãÀã 31.03.2010 ‡ãŠãñ Ôã½ã㹦ã ãä¹ãœÊãñ ¦ããè¶ã ÌãÓããó ‡ãñŠ ªãõÀã¶ã passed on us by Stock Exchanges/SEBI /any statutory authority on any matter related ¹ãîâ•ããè ºãã•ããÀ Ôãâºãâ£ããè ãä‡ãŠÔããè ¼ããè ãäÌãÓã¾ã ¹ãÀ ºãö‡ãŠ ¹ãÀ ¶ã ¦ããñ ª¥¡ to capital markets during the last three years ÊãØãã¾ãã Øã¾ã㠂ããõÀ ¶ã Öãè ‚ããÊãñãÞã¶ã㠇ãŠãè ØãƒÃ Öõ ý ended 31 03 2010. Þã. ãä¹ãŠÊãÖãÊã ºãö‡ãŠ ‡ãŠãè Þãñ¦ããÌã¶ããè ¶ããèãä¦ã ¶ãÖãé Öõ ý ãä¹ãŠÀ ¼ããè ÊãñŒãã e. Presently the Bank does not have a Whistle Blower policy. However no persons have been ¹ãÀãèàãã Ôããä½ããä¦ã Ôãñ ãä½ãÊã¶ãñ Ôãñ ãä‡ãŠÔããè ‡ãŠãñ ½ã¶ãã ¶ãÖãé ãä‡ãŠ¾ãã Øã¾ããý denied access to the Audit Committee. œ. ºãö‡ãŠ ¶ãñ ÀãӛÈãè¾ã‡ãðŠ¦ã ºãö‡ãŠãò ‡ãñŠ ãäÊㆠ¼ããÀ¦ããè¾ã ãäÀ•ãÌãà ºãö‡ãŠ/ ¼ããÀ¦ã f. The Bank has complied with all the mandatory requirements to the extent ÔãÀ‡ãŠãÀ ´ãÀã Ôã½ã¾ã Ôã½ã¾ã ¹ãÀ •ããÀãè ÔããâãäÌããä£ã‡ãŠ / ãäªÍãããä¶ãªóÍããò / provided for in the statutes/guidelines/ ãä¶ãªñÍããò ½ãò ªãè ØãƒÃ Ôã¼ããè ‚ããä£ãªñÍã㦽ã‡ãŠ ‚ã¹ãñàãã‚ããò ‡ãŠã ¹ããÊã¶ã directives issued from time to time by the ãä‡ãŠ¾ãã Öõ ý RBI/Government of India to the nationalized banks. •ã. ØãõÀ-‚ããä£ãªñÍã㦽ã‡ãŠ ‚ã¹ãñàãã‚ããò ‡ãŠãñ Ôãâºãâãä£ã¦ã ½ãªãò ‡ãñŠ Ôãã½ã¶ãñ ãäÀ¹ããñ›Ã g The Non Mandatory requirements have ½ãò ã䪆 ‚ã¶ãìÔããÀ ‚ã¹ã¶ãã¾ãã Øã¾ãã Öõý been adopted as stated in this report against the relevant items. ¢ã. ºãö‡ãŠ ‡ãñŠ ãä¶ãªñÍã‡ãŠ ½ãâ¡Ê㠇ãŠãñ ÔãîÞããèºã® ‡ãŠÀãÀ ‡ãñŠ Œã¥¡ 49 ‡ãñŠ h. The Certificate of CEO and CFO under clause ¦ãÖ¦ã Ôãã胂ããñ ¦ã©ãã Ôãã膹㊂ããñ ‡ãŠã ¹ãƽãã¥ã-¹ã¨ã ¹ãÆÔ¦ãì¦ã ‡ãŠÀ ã䪾ãã 49 of the listing agreement has been Øã¾ãã Öõ ‚ããõÀ ƒÔã ãäÀ¹ããñ›Ã ½ãò †‡ãŠ ¹ãÆãä¦ã ÔãâÊãضã Öõý submitted to the Board of Directors of the Bank and a copy is attached to this report. ›. ÔãîÞããèºã® ‡ãŠÀãÀ ‡ãñŠ Œã¥¡ 49 ‡ãñŠ ‚ã¶ãìÔããÀ ÌãÓãà 2009-10 ‡ãñŠ i. In terms of clause 49 of the listing ãäÊㆠºãö‡ãŠ ½ãò ‡ãŠãÀ¹ããñÀñ› ØãÌã¶ãôÔã ¹ãÀ ÔããâãäÌããä£ã‡ãŠ ‡ãòŠ³ãè¾ã ÊãñŒãã¹ãÀãèàã‡ãŠãò agreement, a certificate has been obtained Ôãñ ¹ãƽãã¥ã-¹ã¨ã ¹ãÆ㹦ã ãä‡ãŠ¾ãã Øã¾ãã Öõ ‚ããõÀ ƒÔã ãäÀ¹ããñ›Ã ‡ãñŠ Ôãã©ã from the statutory central auditors on corporate governance in the Bank for the ÔãâÊãضã ãä‡ãŠ¾ãã Øã¾ãã Öõý year 2009-10 and the same is annexed to this report. 8. Ôãâ¹ãñÆÓã¥ã ‡ãñŠ ½ã㣾ã½ã 8. MEANS OF COMMUNICATION: ‡ãŠ. ºãö‡ãŠ ‡ãñŠ ãä¦ã½ããÖãè ‚ãÊãñŒãã ãäÌã§ããè¾ã ¹ããäÀ¥ãã½ã ãä¶ãªñÍã‡ãŠ ½ãâ¡Êã ´ãÀã a. The quarterly un-audited financial results of ‚ã¶ãì½ããñã䪦ã ãä‡ãŠ† •ãã¦ãñ Öö ‚ããõÀ ƒÔãñ ãä¶ã¾ã¦ã Ôã½ã¾ã ‡ãñŠ ‚㶪À „¶ã the Bank are approved by the Board of Ôã¼ããè ԛãù‡ãŠ †‡ã‹ÔãÞãò•ããò ‡ãŠãñ ¹ãÆÔ¦ãì¦ã ‡ãŠÀ ã䪾ã㠕ãã¦ãã Öõ •ãÖãâ ºãö‡ãŠ Directors and the same are submitted within the stipulated period to all the stock ‡ãñŠ Íãñ¾ãÀ ÔãîÞããèºã® Öö ý ºãö‡ãŠ Ôã¼ããè Íãñ¾ãÀ £ããÀ‡ãŠãò ‡ãŠãñ œ½ããÖãè exchanges where the Bank’s shares are listed. ¹ããäÀ¥ãã½ã ¼ãñ•ã¦ãã ÀÖã Öõ ý The Bank has been sending half yearly results to all the shareholders.

51 Œã. ÔãîãäÞãºã® ‡ãŠÀãÀ ‡ãñŠ Œã¥¡ 41 ‡ãñŠ ½ãì¦ãããäºã‡ãŠ ãä¦ã½ããÖãè ãäÌã§ããè¾ã ¹ããäÀ¥ãã½ã b. The quarterly financial results are published ÀãӛÈãè¾ã ªõãä¶ã‡ãŠ Ôã½ããÞããÀ ¹ã¨ã ‚ããõÀ àãñ¨ããè¾ã Ô©ãã¶ããè¾ã ªõãä¶ã‡ãŠ Ôã½ããÞããÀ in a national daily and a regional vernacular daily in terms of Clause 41 of the listing ¹ã¨ã ½ãò ¹ãƇãŠããäÍã¦ã ãä‡ãŠ† Øã¾ãñ Öö ¦ã©ãã ¹ãƇãŠãÍã¶ã ‡ãŠÀ¶ãñ ‡ãŠãè ¦ããÀãèŒã Ìã agreement. The details and dates of ãäÌãÌãÀ¥ã ãä¶ã½¶ãã¶ãìÔããÀ Öö : publication are as under: Ôã½ã㹦㠂ãâØãÆñ•ããè àãñ¨ããè¾ã ¹ãƇãŠãÍã¶ã Quarter English Regional Date of ãä¦ã½ããÖãè ªõãä¶ã‡ãŠ ªõãä¶ã‡ãŠ ‡ãŠãè ãä¦ããä©ã ended Daily Daily publication

31.03.2009 ª ãåÖªì - ã䪶ã‡ãŠÀ¶ã 05.05.2009 31.03.2009 The Hindu - Dinakaran (Tamil) 05 05 2009 ãäºãû•ã¶ãñÔã Êãヶã (¦ããä½ãÊã) Business Line

30.06.2009 ª ¹ãŠƒ¶ãã¶ããäÍã¾ãÊã ã䪶ã½ãÊãÀ 30.07.2009 30.06.2009 The Financial Dinamalar (Tamil) 30 07 2009 †‡ã‹Ô¹ãÆñÔã (¦ããä½ãÊã) Express

30.09.2009 ª ãåÖªì - ã䪶㠦ãâªãè 30.10.2009 30.09.2009 The Hindu - Dinathanthi (Tamil) 30 10 2009 ãäºãû•ã¶ãñÔã Êãヶã (¦ããä½ãÊã) Business Line

31.12.2009 ª ãåÖªì - ã䪶ã‡ãŠÀ¶ã 29.01.2010 31.12. 2009 The Hindu - Dinakaran (Tamil) 29 01 2010 ãäºãû•ã¶ãñÔã Êãヶã (¦ããä½ãÊã) Business Line c. The quarterly results are also being displayed Øã. ãä¦ã½ããÖãè ¹ããäÀ¥ãã½ã ºãö‡ãŠ ‡ãñŠ ÌãñºãÔãホ www.iob.com ½ãò ¼ããè on the Bank’s web-site www.iob.com. ¹ãƪãäÍãæã ãä‡ãŠ† •ãã ÀÖñ Ööý 9. GENERAL SHAREHOLDER INFORMATION: 9. Ôãã½ã㶾ã Íãñ¾ãÀ£ããÀ‡ãŠ ÔãîÞã¶ãã a. AGM: Date, Time and Venue: ‡ãŠ. †•ãã膽ã: ¦ããÀãèŒã, Ôã½ã¾ã ‚ããõÀ Ô©ãã¶ã: Date 20.07.2010 ã䪶ããâ‡ãŠ 20.07.2010 Time 10.00 A.M. Ôã½ã¾ã ÔãìºãÖ 10.00 ºã•ãñ Venue Narada Gana Sabha Ô©ãã¶ã ¶ããÀª Øãã¶ã Ôã¼ãã (Sathguru Gnanananda Hall) (ÔãªáØãìÁ —ãã¶ãã¶ã⪠ÖãùÊã) 314 TTK Road,Chennai 600 018 314 ›ãè›ãè‡ãñŠ Àãñ¡, Þãñ¸ãõ 600 018 b. Financial Year: Œã. ãäÌ㦦ããè¾ã ÌãÓãÃ: 01st April 2009 to 31st March 2010 1 ‚ã¹ãÆõÊã 2009 Ôãñ 31 ½ããÞãà 2010 c. Date of Book Closure: Øã. ºãÖãè ºã⪠‡ãŠÀ¶ãñ ‡ãŠãè ¦ããÀãèŒã: 29.05.2010 to 04.06.2010 (Both days inclusive) for determining eligibility for the Êãã¼ããâÍ㠇ãñŠ ¹ãƾããñ•ã¶ã Öñ¦ãì ¹ãã¨ã¦ãã ãä¶ã£ããÃãäÀ¦ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠpurpose of dividend. 29.05. 2010 Ôãñ 04.06.2010(ªãñ¶ããò ã䪶ã Íãããä½ãÊã Öö) d. Dividend Payment Date: Üã. Êãã¼ããâÍã ¼ãìØã¦ãã¶ã ¦ããÀãèŒã: On or after 30.07.2010 subject to declaration 30.07.2010 ‡ãŠãñ ¾ã㠄Ôã‡ãñŠ ºã㪠Íãñ¾ãÀ£ããÀ‡ãŠãò ´ãÀã Êãã¼ããâÍã of dividend by shareholders. ‡ãŠãè ÜããñÓã¥ã㠇ãŠãè Íã¦ãà ¹ãÀ e. Unpaid Dividend: Ý ‚㪧ã Êãã¼ããâÍã : The Banking Companies (Acquisition and Transfer of Undertakings) and Financial 16 10 2006 Ôãñ ¹ãƼããÌããè ºãö‡ãŠ‡ãŠãÀãè ‡ã⊹ã¶ããè („¹ã‰ãŠ½ããò ‡ãŠã Institutions Laws (Amendment) Act, 2006 ‚ããä£ãØãÆ֥㠦ã©ã㠂ãâ¦ãÀ¥ã) ¦ã©ãã ãäÌ㦦ããè¾ã ÔãâÔ©ãã†ú ãäÌããä£ã (ÔãâÍããñ£ã¶ã) which has come into force on 16 10 2006, ‚ããä£ããä¶ã¾ã½ã 2006 ½ãò ºãö‡ãŠ‡ãŠãÀãè ‡ã⊹ã¶ããè („¹ã‰ãŠ½ããò ‡ãñŠ ‚ããä£ãØãÆÖ¥ã has inserted a new section 10(B) in the ¦ã©ã㠂ãâ¦ãÀ¥ã) ‚ããä£ããä¶ã¾ã½ã 1970 ½ãò 10 (ºããè) ¶ãã½ã‡ãŠ †‡ãŠ ¶ãƒÃ Banking Companies (Acquisition and Transfer of Undertakings) Act 1970 which provides £ããÀ㠕ããñü¡ ªãè ØãƒÃ Öõ ãä•ãÔã½ãò ãä¶ã½¶ããäÊããäŒã¦ã ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã Öõ: as under:

52 ⇒ ÜããñÓã¥ã㠇ãŠãè ¦ããÀãèŒã Ôãñ 30 ã䪶ããò ‡ãñŠ ºã㪠7 ã䪶ããò ‡ãñŠ ‚ãâªÀ, ¾ããäª ⇒ Within 7 days from the expiry of 30 days ãä‡ãŠÔããè Íãñ¾ãÀ£ããÀ‡ãŠ ¶ãñ Êãã¼ããâÍ㠇ãŠã ¶ã‡ãŠªãè‡ãŠÀ¥ã / ªãÌãã ¶ãÖãé ãä‡ãŠ¾ãã from the date of declaration, if any shareholder has not encashed /claimed the Öãñ, †ñÔããè À‡ãŠ½ã •ããñ ºãö‡ãŠ ‡ãñŠ ÞããÊãî Œãã¦ãñ ½ãò ¹ãü¡ãè Öõ, „Ôãñ “...... ÌãÓãà dividend, such amounts lying in the bank ‡ãñŠ ãäÊㆠ‚ãム‚ããñ ºããè ‡ãñŠ ‚㪦¦ã Êãã¼ããâÍ㠌ãã¦ãñ” ¶ãã½ã‡ãŠ ‚ãÊãØã current account, have to be transferred to a Œãã¦ãñ ½ãò ‚ãâ¦ããäÀ¦ã ãä‡ãŠ¾ã㠕ãã¶ãã Öõý separate account styled “Unpaid Dividend Account of IOB for the year _____” ⇒ ‚㪦¦ã Êãã¼ããâÍ㠌ãã¦ãñ ‡ãŠãñ ‚ãâ¦ããäÀ¦ã ‡ãŠãñƒÃ ¼ããè À‡ãŠ½ã •ããñ ƒÔã ¹ãƇãŠãÀ ⇒ Any money transferred to the Unpaid Dividend ‡ãñŠ ‚ãâ¦ãÀ¥ã ‡ãŠãè ¦ããÀãèŒã Ôãñ Ôãã¦ã ÌãÓãà ‡ãŠãè ‚ãÌããä£ã ‡ãñŠ ãäÊㆠ‚㪦¦ã account which remains unpaid or unclaimed ¾ã㠂ãªãÌããè ¹ãü¡ãè Öö, ¦ããñ „Ôãñ ‡ã⊹ã¶ããè ‚ããä£ããä¶ã¾ã½ã 1956 ‡ãñŠ 205(1) for a period of seven years from the date of such transfer, shall be transferred to the (Ôããè) ‡ãñŠ ¦ãÖ¦ã Ô©ãããä¹ã¦ã ãä¶ãÌãñÍã‡ãŠ ãäÍãàãã ¦ã©ãã ÔãâÀàã¥ã ãä¶ããä£ã ‡ãŠãñ Investor Education and Protection Fund ‚ãâ¦ããäÀ¦ã ‡ãŠÀ ªñ¶ãã Öõý established under Sec 205(1)(C) of the Companies Act 1956. ¦ãªá¶ãìÔããÀ ãä¹ãœÊãñ ÌãÓããô ‡ãŠñ ‚㪦¦ã Êãã¼ããâÍããò ‡ãŠãñ ‚ãヂããñºããè ‡ãñŠ ‚㪦¦ã Êãã¼ããâÍ㠌ãã¦ããò ‡ãŠãñ ‚ãâ¦ããäÀ¦ã ‡ãŠÀ ã䪾ãã Øã¾ãã Öö ‚ããõÀ ‚ã¦ã: ƒÔã ¹ãƇãŠãÀ ‡ãŠãè Accordingly, the unpaid dividend of previous years has been transferred to Unpaid Dividend ‚ãâ¦ãÀ¥ã ÀããäÍ㠇ãŠãñ •ããñ ‚ãâ¦ãÀ¥ã ‡ãŠãè ¦ããÀãèŒã Ôãñ Ôãã¦ã ÔããÊ㠇ãŠãè ‚ãÌããä£ã Account/s of IOB as follows and hence such ¦ã‡ãŠ ‚㪦¦ã ¾ã㠂ãªããäÌã¦ã Öö, ãä¶ãÌãñÍã‡ãŠ ãäÍãàãã ¦ã©ãã ÔãâÀàã¥ã ãä¶ããä£ã ½ãò monies which remain unpaid or unclaimed for a ‚ãâ¦ããäÀ¦ã ‡ãŠÀ ã䪾ã㠕ãã†Øãã : period of seven years from the date of such transfer shall be transferred to the Investor Êãã¼ããâÍ㠂㪦¦ã Êãã¼ããâÍ㠌ãã¦ãñ Education and Protection Fund : ‡ãŠãñ ‚ãâ¦ããäÀ¦ã ‡ãŠÀ¶ãñ ‡ãŠãè ¦ããÀãèŒã Dividend for Date of Transfer 2000-01 08.12.2006 to Unpaid Dividend A/c 2001-02 05.12.2006 2000-01 08.12.2006 2002-03 05.12.2006 2001-02 05.12.2006 2002-03 05.12.2006 2003-04(‚ããƒ) 04.12.2006 2003-04 (I) 04.12.2006 2003-04(†¹ãŠ) 04.12.2006 2003-04 (F) 04.12.2006 2004-05(‚ããƒ) 09.12.2006 2004-05 (I) 09.12.2006 2004-05(†¹ãŠ) 05.12.2006 2004-05 (F) 05.12.2006 2005-06 04.12.2006 2005-06 04.12.2006 2006-07 13.07.2007 2006-07 13.07.2007 2007-08 19.07.2008 2007-08 19.07.2008 2008-09 11.08.2009 2008-09 11.08.2009 Þã. ºãö‡ãŠ ‡ãñŠ Íãñ¾ãÀ ãä¶ã½¶ããäÊããäŒã¦ã ԛãù‡ãŠ †‡ã‹ÔãÞãò•ããò ½ãò ÔãîÞããè f. The Bank’s shares are listed on the ºã® ãä‡ãŠ† ØㆠÖö: following stock exchanges: ԛã‡ãŠ †‡ã‹ÔãÞãò•ã ‡ãŠã ¶ãã½ã ԛãù‡ãŠ ‡ãŠãñ¡ Name of the Stock Exchange Stock Code ½ã³ãÔã ԛãù‡ãŠ †‡ã‹ÔãÞãò•ã** ‚ãヂããñºããè Madras Stock Exchange Ltd.** I O B ½ãìâºãƒÃ ԛãù‡ãŠ †‡ã‹ÔãÞãò•ã 532388 Bombay Stock Exchange Ltd. 532388 ¶ãñÍã¶ãÊã ԛãù‡ãŠ †‡ã‹ÔãÞãò•ã ‚ãヂããñºããè ƒÃ‡ã‹¾ãî †ƒÃ ºããèƒÃ ºããè›ãè National Stock Exchange ‚ãã¹ãŠ ƒâã䡾ãã ãäÊããä½ã›ñ¡ of India Ltd. IOB EQ AE BE BT

53 ** ã䪶ããâ‡ãŠ 14 •ãî¶ã 2008 ‡ãŠãñ ‚ãã¾ããñãä•ã¦ã 8Ìããé ÌãããäÓãÇ㊠Ôãã½ã㶾ã ** The shareholders of our Bank at the 8th Annual ºãõŸ‡ãŠ ½ãò ºãö‡ãŠ ‡ãñŠ Íãñ¾ãÀ£ããÀ‡ãŠãò ¶ãñ ºãö‡ãŠ ‡ãñŠ Íãñ¾ãÀãò ‡ãŠãñ ½ã³ãÔã ԛãù‡ãŠ General Meeting held on 14th June, 2008 had unanimously passed a resolution approving the †‡ãŠÔÞãò•ã ãäÊããä½ã›ñ¡ ‡ãŠãè ÔãîÞããèºã®¦ãã Ôãñ ֛ã Êãñ¶ãñ ‡ãñŠ Ôãâºãâ£ã ½ãò ÔãÌãÃÔã½½ã¦ã delisting of the Bank’s shares from Madras Stock Ôãâ‡ãŠÊ¹ã ¹ãããäÀ¦ã ãä‡ãŠ¾ããý ¦ãª¶ãìÔããÀ ºãõâ‡ãŠ Íãñ¾ãÀãñ⠇ãŠãñ ֛㠪ñ¶ãñ ‡ãŠñ ãäÊㆠExchange Limited. An application for delisting †½ã†ÔãƒÃ ‡ãŠãñ 2008 ½ãò ‚ããÌãñª¶ã ã䪾ãã Øã¾ãã Öõ ‚ããõÀ Ìãñ „Ôã‡ãŠã ÔãâÔãã£ã¶ã of the Bank’s shares has accordingly been ‡ãŠÀ ÀÖñ Öõâý submitted to MSE in 2008 and the same is being processed by MSE. ½ã³ãÔã ԛãù‡ãŠ †‡ã‹ÔãÞãò•ã ‡ãñŠ ‚ãÊããÌãã ԛã‡ãŠ †‡ã‹ÔãÞãò•ããò ‡ãŠãñ ÌãÓãà 2009- Annual listing fee for the year 2009-10 has been 10 ‡ãñŠ ãäÊㆠÔãîÞããèºã® ‡ãŠÀ¶ãñ Öñ¦ãì ÌãããäÓãÇ㊠Íãìʇ㊠ãä¶ã£ããÃãäÀ¦ã ªñ¾ã ¦ããÀãèŒããò paid to the stock exchanges except Madras ‡ãñŠ ‚ãâªÀ ã䪾ãã Øã¾ãã ÖõýÞãîúãä‡ãŠ ½ã³ãÔã ԛãù‡ãŠ †‡ã‹ÔãÞãò•ã , Þãñ¸ãõ ‡ãñŠ ¹ããÔã Stock Exchange within the prescribed due dates. Ö½ããÀã ÔãîÞããè Ôãñ ֛ã¶ãñ Ôãâºãâ£ããè ‚ããÌãñª¶ã ‚ã¼ããè ¼ããè Êãâãäºã¦ã Öõ , ÌãÓãà As our delisting application is still pending with 2009- 10 ‡ãñŠ ãäÊㆠÔãîÞããèºã® ‡ãŠÀ¶ãñ Öñ¦ãì ÌãããäÓãÇ㊠Íãìʇ㊠‡ãŠã ¼ãìØã¦ãã¶ã Madras Stock Exchange, Chennai, Annual Listing ã䪶ããâ‡ãŠ 31.03.2010 ‡ãŠãñ ‡ãŠÀ ã䪾ãã Øã¾ãã Öõ ý Fee for the year 2009-10 has been paid on 31.03.2010. ¹ãÆããä£ã‡ãðŠ¦ã ¹ãîú•ããè ½ãò ºãü¤ãñ¦ãÀãè Increase in Authorised Capital: ºãö‡ãŠ‡ãŠãÀãè ‡ã⊹ã¶ããè („¹ã‰ãŠ½ããò ‡ãŠã ‚ããä£ãØãÆ֥㠦ã©ã㠂ãâ¦ãÀ¥ã ) ‚ããä£ããä¶ã¾ã½ã Pursuant to Section 3 (2-A) of the Banking 1970/1980 ‡ãŠãè £ããÀã 3(2†) ‡ãñŠ ‚ã¶ãì¹ããÊã¶ã ½ãò ¼ããÀ¦ã ÔãÀ‡ãŠãÀ ¶ãñ Companies (Acquisition and Transfer of ‚ã¹ã¶ããè ‚ããä£ãÔãîÞã¶ã㠆Ô㠂ããñ Ôãâ 3123 ‚ããõÀ †Ô㠂ããñ Ôãâ 3124 ã䪶ããâãä‡ãŠ¦ã Undertakings) Act, 1970/1980, the Government of India has, vide GOI Notification S.O. No. 3123 10 ¶ãÌãâºãÀ 2009 ‡ãñŠ ´ãÀã ÀãӛÈãè¾ã‡ãðŠ¦ã ºãö‡ãŠãò ½ãñ ¹ãÆããä£ã‡ãðŠ¦ã ¹ãîú•ããè ‡ãŠãñ Á. and S.O. No. 3124 dated November 10, 2009, 1500 ‡ãŠÀãñü¡ Ôãñ ºãü¤‡ãŠÀ Á. 3000 ‡ãŠÀñãü¡ ‡ãŠÀ ã䪾ãã Øã¾ãã Öõ ý ‚ã¦ã: increased the Authorised Capital of Nationalised 10 ¶ãÌãâºãÀ 2009 Ôãñ Ö½ããÀñ ºãö‡ãŠ ‡ãŠãè ¹ãÆããä£ã‡ãðŠ¦ã ¹ãîú•ããè Á. 1500 ‡ãŠÀãñü¡ Banks from Rs. 1500 crores to Rs. 3000 crores. Ôãñ ºãü¤‡ãŠÀ Á. 3000 ‡ãŠÀñãü¡ Öãñ Øã¾ããè ý Thus with effect from November 10, 2009, our Bank’s Authorised Capital of Rs. 1500 crores œ. ºãã•ããÀ ½ãîʾããò ‡ãñŠ ‚ããú‡ãŠ¡ñ stands increased to Rs. 3000 crores. ‚ãÌããä£ã ½ããÖ ¶ãñÍã¶ãÊã ԛãù‡ãŠ †‡ã‹ÔãÞãò•ã ºããâºãñ ԛãù‡ãŠ †‡ã‹ÔãÞãò•ã g. Market price data: „ÞÞã(Á) ãä¶ã½¶ã (Á) „ÞÞã (Á) ãä¶ã½¶ã (Á) Period - National Stock Exchange Bombay Stock Exchange ‚ã¹ãÆõÊã 2009 72.00 45.00 72.00 45.15 Month High (Rs) Low (Rs) High (Rs) Low (Rs) ½ãƒÃ 2009 92.95 59.30 92.90 59.75 Apr 2009 72.00 45.00 72.00 45.15 •ãî¶ã 2009 97.30 78.25 98.00 78.50 May 2009 92.95 59.30 92.90 59.75 •ãìÊããƒÃ 2009 92.00 75.30 91.70 75.10 Jun 2009 97.30 78.25 98.00 78.50 Jul 2009 92.00 75.30 91.70 75.10 ‚ãØãÔ¦ã 2009 91.35 77.95 91.75 78.00 Aug 2009 91.35 77.95 91.75 78.00 ãäÔã¦ã½ºãÀ 2009 129.15 83.20 128.80 84.00 Sep 2009 129.15 83.20 128.80 84.00 ‚ã‡ã‹¦ãîºãÀ 2009 140.90 100.00 141.00 100.00 Oct 2009 140.90 100.00 141.00 100.00 ¶ãÌ㽺ãÀ 2009 122.90 97.00 123.15 97.05 Nov 2009 122.90 97.00 123.15 97.05 ãäªÔ㽺ãÀ 2009 121.00 105.25 121.00 105.00 Dec 2009 121.00 105.25 121.00 105.00 •ã¶ãÌãÀãè 2010 116.40 88.20 116.50 88.70 Jan 2010 116.40 88.20 116.50 88.70 ¹ãŠÀÌãÀãè 2010 94.80 81.35 95.10 84.80 Feb 2010 94.80 81.35 95.10 84.80 ½ããÞãà 2010 96.30 84.00 96.50 86.95 Mar 2010 96.30 84.00 96.50 86.95 2009-10 ‡ãñŠ ªãõÀã¶ã Ôãâºãâãä£ã¦ã ԛãù‡ãŠ †‡ã‹ÔÞãñ•ããñâ ½ãò ºãö‡ãŠ ‡ãñŠ Íãñ¾ãÀãò ‡ãŠã Figures in bold represent the high / low price of „ÞÞã / ãä¶ã½¶ã ‡ãŠãè½ã¦ããò ‡ãñŠ ‚ããú‡ãŠ¡ñ Ô¹ãӛ ‚ãàãÀãò ½ãò ã䪆 ØㆠÖö ý the Bank’s shares during the year 2009-10 on the respective Stock Exchanges.

54 01-04-2009 Ôãñ 31-03-2010 ‡ãñŠ ªãõÀã¶ã ºããè†ÔãƒÃ ÔãòÔãñ‡ãŠÔã Equity performance in comparison to BSE ‡ãŠãè ¦ãìÊã¶ãã ½ãò ƒÃãä‡ã‹Ìã›ãè ãä¶ãÓ¹ã㪶ã SENSEX during 01.04.2009 to 31.03.2010

01-04-2009 Ôãñ 31-03-2010 ‡ãñŠ ªãõÀã¶ã †¶ã†ÔãƒÃ ãä¶ãü¹ã‹›ãè ‡ãŠãè Equity performance in comparison to NSE Nifty ¦ãìÊã¶ãã ½ãò ƒÃãä‡ã‹Ìã›ãè ãä¶ãÓ¹ã㪶ã during 01.04.2009 to 31.03.2010

55 ¢ã. Àãä•ãԛÈãÀ ‚ããõÀ ‚ãâ¦ãÀ¥ã †•ãñ¥›: i. Registrar & Transfer agent: ½ãñÔãÔãà ‡ãñŠãä½ã¾ããñ ‡ãŠã¹ããóÀñ› ÔããäÌãÃÔãñû•ã ãäÊã. M/s. Cameo Corporate Services Ltd. (¾ãîãä¶ã› - ‚ãム‚ããñ ºããè) Ôãìºãƽããä¥ã¾ã¶ã ãäºããäÊ¡âØã, ¹ãÖÊããè ½ãâãäû•ãÊã (Unit-IOB) Subramanian Building, I Floor No.1 Club House Road ¶ã.1, ‡ã‹Êãºã Öã„Ôã Àãñü¡ Þãñ¸ãƒ - 600 002 Chennai-600 002 ›ñãäÊã¹ãŠãñ¶ã - 28460395, 28460084, ¹ãõŠ‡ã‹Ôã- 28460129 Tel: 044-28460395; 28460084 Fax: 28460129 ƒÃ.½ãñÊã : [email protected] e-mail:[email protected] šã. Íãñ¾ãÀ ‚ãâ¦ãÀ¥ã ¹ãÆ¥ããÊããè: j. Share Transfer System: ‚ãâ¦ãÀ¥ã, ¹ãÆñÓã¥ã, Ô©ãã¶ããâ¦ãÀ¥ã, ¡îãä¹Êã‡ãñŠ› Íãñ¾ãÀ ¹ãƽãã¥ã ¹ã¨ã •ããÀãè Our bank has a Sub-Committee of the Board ‡ãŠÀ¶ãã, ãäÌã¼ãã•ã¶ã, Ôã½ãñ‡ãŠ¶ã, Àãè½ãñ›, ¶ãã½ã ¹ããäÀÌã¦ãö㠂ãããäª ‡ãñŠ ãäÊㆠfor considering the requests received from shareholders for transfer, transmission, Íãñ¾ãÀ£ããÀ‡ãŠãò Ôãñ ¹ãÆ㹦㠂ã¶ãìÀãñ£ããò ¹ãÀ ãäÌãÞããÀ ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠֽããÀñ transposition, issuance of duplicate share ºãö‡ãŠ ½ãâñ ºããñ¡Ã ‡ãŠãè †‡ãŠ „¹ã Ôããä½ããä¦ã Öõý ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ certificates, splitting, consolidation, remat, name ¾ã㠄¶ã‡ãŠãè ØãõÀ Öããäû•ãÀãè ½ãò ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ Ôããä½ããä¦ã ‡ãñŠ ‚㣾ãàã change etc. The Chairman and Managing Director ÖãòØãñý Íãñ¾ãÀ£ããÀ‡ãŠ ãä¶ãªñÍã‡ãŠ (¡ãù . ãäÞãÀâ•ããèºã Ôãñ¶ã) ‚ããõÀ ºããñ¡Ã or in his absence the Executive Director is ´ãÀã ¶ãããä½ã¦ã ãä¶ãªñÍã‡ãŠ (Ñããè † ‚ãã¶ã⪠‡ã슽ããÀ) Ôããä½ããä¦ã ‡ãñŠ ‚㶾ã Chairman of the Committee. The other members of the committee are: a Shareholder Director (Dr. ÔãªÔ¾ã Ööý Chiranjib Sen) and a Director nominated by the ›. 31.03.2010 ¦ã‡ãŠ Íãñ¾ãÀ£ããÀ¥ã ‡ãŠã ãäÌã¦ãÀ¥ã: Board (Shri K Ananda Kumar). k. Distribution of shareholding as on 31.03.2010: ‰ãŠ. Ôãâ. Ñãñ¥ããè Íãñ¾ãÀãò ‡ãŠãè Ôã⌾ãã Íãñ¾ãÀ£ããÀ¥ã ‡ãŠã % Sl. Category No. of Shares % of share No holding

¹ãÆÌãæã‡ãŠ ‡ãŠã £ããÀ¥ã PROMOTERS HOLDING

1. ¼ããÀ¦ã ÔãÀ‡ãŠãÀ 333600000 61.23 1 Government of India 333600000 61.23

„¹ã ¾ããñØã 333600000 61.23 Sub-Total 333600000 61.23 ØãõÀ-¹ãÆÌã¦ãÇ㊠‡ãŠã £ããÀ¥ã NON-PROMOTERS HOLDING 2. ÔãâÔ©ããØã¦ã ãä¶ãÌãñÍã‡ãŠ 2 Institutional Investors ‡ãŠ. ½¾ãîÞãì‚ãÊ㠹㊥¡áÔã, 3085335 0.57 A Mutual funds and UTI 3085335 0.57 †Ìãâ ¾ãîãä¶ã› ›Èԛ ‚ããù¹ãŠ ƒã䥡¾ãã B Banks, Financial Institutions 27123191 4.98 Œã. ºãö‡ãŠ Ìã ãäÌã§ããè¾ã ÔãâÔ©ãã†ú 27123191 4.98 C Insurance Companies 43398235 7.97 Øã. ºããè½ã㠇ã⊹ããä¶ã¾ããú 43398235 7.97 D Foreign Institutional Investors 46099394 8.46 Üã. ãäÌãªñÍããè ÔãâÔ©ããØã¦ã ãä¶ãÌãñÍã‡ãŠ 46099394 8.46 Sub-Total 119706155 21.98 „¹ã ¾ããñØã 119706155 21.98 3 OTHERS 3. ‚㶾ã A Private Corporate Bodies 11264365 2.07 ‡ãŠ. ãä¶ã•ããè ¶ãõØã½ã ãä¶ã‡ãŠã¾ã 11264365 2.07 B Individuals 74612990 13.70 Œã. Ìãõ¾ããä‡ã‹¦ã‡ãŠ 74612990 13.70 C Others 5616490 1.02 Øã. ‚㶾ã 5616490 1.02 Sub-total 91493845 16.79 „¹ã ¾ããñØã 91493845 16.79 GRAND TOTAL 544800000 100.00 ‡ãìŠÊã ¾ããñØã 544800000 100.00

56 Ÿ. 31.03.2010 ¦ã‡ãŠ ãäÌã¦ãÀ¥ã ‚ã¶ãìÔãîÞããè : l. Distribution schedule as on 31.03.2010

Íãñ¾ãÀ Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãè ¹ãƦ¾ãñ‡ãŠ Á.10 ‡ãñŠ Íãñ¾ãÀ ½ãîʾ㠇ãìŠÊã Ôãâ No. of % to total no. Shareholding in Share % to total £ããÀ‡ãŠãò ‡ãŠãè ‡ãìŠÊã Ôãâ.‡ãŠã % ‚ãâãä‡ãŠ¦ã ½ãîʾ㠇ãñŠ (‚ãâãä‡ãŠ¦ã ½ãîʾã) ‡ãŠã % share of share terms of nominal Amount Ôã⌾ãã Íãñ¾ãÀãò ‡ãŠãè ‡ãìŠÊã holders holders value of Rs.10/- (Face Value) Íãñ¾ãÀ£ãããäÀ¦ãã 204593 87.17 Upto 5000 363251070 6.67 204593 87.17 Upto 5000 363251070 6.67 21073 8.98 5001 – 10000 177231840 3.25 21073 8.98 5001 – 10000 177231840 3.25 5861 2.50 10001 – 20000 83602520 1.53 5861 2.50 10001 – 20000 83602520 1.53 1174 0.50 20001 – 30000 29452770 0.54 1174 0.50 20001 – 30000 29452770 0.54 542 0.23 30001 – 40000 19442150 0.36 542 0.23 30001 – 40000 19442150 0.36 342 0.15 40001 – 50000 16126110 0.30 342 0.15 40001 – 50000 16126110 0.30 526 0.22 50001 – 100000 38506560 0.71 526 0.22 50001 – 100000 38506560 0.71 586 0.25 100001 and above 4720386980 86.64 586 0.25 100001 and above 4720386980 86.64

234697 100.00 TOTAL 5448000000 100.00 234697 100.00 TOTAL 5448000000 100.00 ¡. 31.03.2010 ¦ã‡ãŠ ãäÌãªñÍããè Íãñ¾ãÀ £ããÀ¥ã m. Foreign Shareholding as on 31.03.2010 ‰ãŠ½ã ÔãâÌãØãà 31 03 2009 ¦ã‡ãŠ 31 03 2010 ¦ã‡ãŠ Sl Category As on 31 03 2009 As on 31 03 2010 Ôãâ. Íãñ¾ãÀãò ‡ãŠãè Ôã⠇ãìŠÊã ¹ãîú•ããè Íãñ¾ãÀãò ‡ãŠãè Ôã⠇ãìŠÊã ¹ãîú•ããè No No of shares % To No of shares % To ‡ãŠãè ¦ãìÊã¶ã㠇ãŠãè ¦ãìÊã¶ãã total total ½ãò % ½ãò % capital capital 01 ãäÌãªñÍããè ÔãâÔ©ããØã¦ã ãä¶ãÌãñÍã‡ãŠ 1 Foreign Institutional (†¹ãŠ ‚ãム‚ããƒ) 42710024 7.84 46099394 8.46 Investors (FIIs) 42710024 7.84 46099394 8.46 02 ‚ããñ Ôããè ºããè 48000 0.01 48000 0.01 2 OCBs 48000 0.01 48000 0.01 03 ‚ããä¶ãÌããÔããè 3645120 0.67 4433117 0.81 3 NRIs 3645120 0.67 4433117 0.81 ‡ãìŠÊã 46403144 8.51 50580511 9.28 Total 46403144 8.52 50580511 9.28 As detailed in the above table, the total foreign „‡ã‹¦ã ÔããÀ¥ããè ½ãñâ Ìããä¥ãæãã¶ãìÔããÀ 31.03.2010 ¦ã‡ãŠ ‡ãìŠÊã ãäÌãªñÍããè Íãñ¾ãÀ£ããÀ¥ã (‚ããä¶ãÌããÔããè, shareholding (FIIs, OCBs, NRIs) as at 31.03.2010 ‚ããñ Ôããè ºããè, ãäÌãªñÍããè ÔãâÔ©ããØã¦ã ãä¶ãÌãñÍã‡ãŠ) 9.28% ©ã㠕ããñ ãä‡ãŠ ºãö‡ãŠ ‡ãŠãè ‡ãìŠÊã ¹ãƪ¦¦ã ¹ãîú•ããè was 9.28% which is within the stipulated level of ‡ãñŠ 20% ‡ãñŠ ãä¶ã£ããÃãäÀ¦ã Ô¦ãÀ ‡ãñŠ ‚ãâªÀ Öõý 20% of the total paid up capital of the Bank.\ ¤. 31.03.2010 ¦ã‡ãŠ ºãö‡ãŠ ‡ãñŠ ¹ããúÞã ÔãÌããóÞÞã Íãñ¾ãÀ£ããÀ‡ãŠ n. Top five shareholders of the bank as on 31.03.2010: ‰ãŠ½ã Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠã ¶ãã½ã £ãããäÀ¦ã Íãñ¾ãÀãò ‡ãìŠÊã £ããÀ¥ã Ôã⠇ãŠãè Ôã⠇ãŠã % Sl Name of the Shareholders No of % of total No shares held holding 1 ¼ããÀ¦ã ‡ãñŠ ½ãÖã½ããäÖ½ã Àãӛȹããä¦ã - ¼ããÀ¦ã ÔãÀ‡ãŠãÀ 333600000 61.23 1 HE The President of India - The Government of India 333600000 61.23 2 ¼ããÀ¦ããè¾ã •ããèÌã¶ã ºããè½ãã ãä¶ãØã½ã 39648523 7.28 2 Life Insurance Corporation of India 39648523 7.28 3 ¼ããÀ¦ããè¾ã •ããèÌã¶ã ºããè½ãã ãä¶ãØã½ã - ½ãã‡ãóŠ› ¹ÊãÔã 10632813 1.95 3 LIC of India – Market Plus 10632813 1.95 4 ãäÔã›ãè ØãÆî¹ã ØÊããñºãÊã ½ãã‡ãóŠ›áÔã 4 Citigroup Global Markets Mauritius Private Limited 7734840 1.42 ½ãããäÀãäÍã¾ãÔã ¹ãÆãƒÌãñ› ãäÊããä½ã›ñ¡ 7734840 1.42 5 Life Insurance Corporation of India – 5 ¼ããÀ¦ããè¾ã •ããèÌã¶ã ºããè½ãã ãä¶ãØã½ã - Profitplus 6515555 1.20 ¹ãÆãùãä¹ãŠ› ¹ÊãÔã 6515555 1.20 o. Dematerialization of shares: ¥ã. Íãñ¾ãÀ ¹ãƽãã¥ã-¹ã¨ããò ‡ãŠã ‚ã½ãîãä¦ãÇãŠÀ¥ã : The shares of the Bank are under compulsory ºãö‡ãŠ ‡ãñŠ Íãñ¾ãÀ ‚ããä¶ãÌãã¾ãà ‚ã½ãîãä¦ãÇãŠÀ¥ã ‡ãñŠ ‚ã£ããè¶ã Öö ý ºãö‡ãŠ Íãñ¾ãÀãò ‡ãñŠ demat trading. The Bank has joined as a member ‚ã½ãîãä¦ãÇãŠÀ¥ã ‡ãñŠ ãäÊㆠ•ããÀãè‡ãŠ¦ããà ‡ãŠâ¹ã¶ããè ‡ãñŠ ¹㠽ãò ºãö‡ãŠ ÀãӛÈãè¾ã ¹ãÆãä¦ã¼ãîãä¦ã of the depository services with National Securities

57 ã䡹ããùãä•ã›Àãè. ãäÊã. (†¶ã †Ôã ¡ãè †Êã) ‚ããõÀ ‡ãñŠ¶³ãè¾ã ã䡹ããùãä•ã›Àãè ÔãñÌãã†âùâ Depository Limited (NSDL) and Central Depository (¼ããÀ¦ã) ãäÊã. (Ôããè ¡ãè †Ô㠆Êã) ½ãòñ ÔãªÔ¾ã ‡ãñŠ ¹㠽ãò Íãããä½ãÊã Öõý Íãñ¾ãÀ Services (India) Limited (CDSL) as an issuer company for dematerialization of the Bank’s £ããÀ‡ãŠ †¶ã†Ôã¡ãè†Êã ¾ãã Ôããè¡ãè†Ôã†Êã ãä‡ãŠÔããè ‡ãñŠ ¼ããè Ôãã©ã ‚ã¹ã¶ãñ Íãñ¾ãÀãò shares. Shareholders can get their shares ‡ãŠã ‚ã½ãîãä¦ãÇãŠÀ¥ã ‡ãŠÀã Ôã‡ãŠ¦ãñ Öõý ã䡹ããùãä•ã›Àãè ÔãñÌãã ¶ãñ ºãö‡ãŠ ‡ãŠãñ dematerialized with either NSDL or CDSL. The ãä¶ã½¶ããäÊããäŒã¦ã ‚ãム†Ô㠂ãム†¶ã ‡ãŠãñ¡ ‚ããºãâã䛦ã ãä‡ãŠ¾ãã Öõ-‚ãテ¶ãƒÃ depository services have allotted the following 565† 01014ý ISIN code to the Bank: INE565A01014. 31.03.2010 ¦ã‡ãŠ 54.48 ‡ãŠÀãñü¡ ƒÃãä‡ã‹Ìã›ãè Íãñ¾ãÀãò ½ãñâ Ôãñ, 50.80 As on 31.3.2010, out of 54.48 crore equity shares, ‡ãŠÀãñü¡ Íãñ¾ãÀ ¾ãã 93.25% Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãñŠ ¹ããÔã ¡ãè½ãñ› ¹㠽ãò Öõ ‚ããõÀ 50.80 crore shares or 93.25% are held by the shareholders in Demat form (of which Government 3.68 ‡ãŠÀãñü¡ Íãñ¾ãÀ ¾ãã 6.75% ¼ããõãä¦ã‡ãŠ ¹㠽ãò Öö (ãä•ãÔã½ãò Ôãñ ¼ããÀ¦ã of India holds 33.36 crore shares aggregating ÔãÀ‡ãŠãÀ 33.36 ‡ãŠÀãñü¡ Íãñ¾ãÀ £ãããäÀ¦ã ‡ãŠÀ¦ãã Öõ •ããñ ãä‡ãŠ ‚ããõÔã¦ã¶ã 61.23% to 61.23% - GOI’s shareholding was dematerialized Öõý ¼ããÀ¦ã ÔãÀ‡ãŠãÀ ‡ãŠãè Íãñ¾ãÀ£ãããäÀ¦ãã ½ããÞãà 2008 ½ãò ‚ã½ãîãä¦ãÇãðŠ¦ã ‡ãŠãè in March 2008) and 3.68 crore shares or 6.75% ØãƒÃý) are in physical form. ¦ã. ºã‡ãŠã¾ã㠕ããè¡ãè‚ããÀ/†¡ãè‚ããÀ/ÌããÀ¥› ¾ã㠂㶾㠇ãŠãñƒÃ p. Outstanding GDRs/ADRs/Warrants or any convertible instruments, conversion date ¹ããäÀÌã¦ãöããè¾ã ãäÊãŒã¦ã, ¹ããäÀÌã¦ãö㠇ãŠãè ¦ããÀãèŒã Ì㠃Ããä‡ã‹Ìã›ãè and likely impact on equity: ¹ãÀ ƒÔã‡ãŠã Ôãâ¼ãã̾㠹ãƼããÌã: The bank has not issued any GDRs /ADRs / ºãö‡ãŠ ¶ãñ ‡ãŠãñƒÃ •ããè¡ãè‚ããÀ/†¡ãè‚ããÀ/ÌããÀ¥› ¾ã㠇ãŠãñƒÃ ¹ããäÀÌã¦ãöããè¾ã ãäÊãŒã¦ãò Warrants or any convertible instruments. •ããÀãè ¶ãÖãé ‡ãŠãè Öõý q. The bank has raised non-convertible bonds ©ã. ºãö‡ãŠ ¶ãñ Ôã½ã¾ã Ôã½ã¾ã ¹ãÀ ÌãÞã¶ã-¹ã¨ããò ‡ãñŠ ¹㠽ãò in the nature of promissory notes from time ‚ã¹ãƦ¾ããÌã¦ãöããè¾ã ºããù¥¡ †‡ãŠ¨ã ãä‡ãŠ† Öõ:31-03-2010 ¦ã‡ãŠ to time. The details of such bonds †ñÔãñ ºã‡ãŠã¾ãã ºããù¥¡ãò ‡ãñŠ ãäÌãÌãÀ¥ã ãä¶ã½¶ãã¶ãìÔããÀ Öâõ: outstanding as on 31.03.2010 are as follows: Series Date of Size Tenor Coupon Redemption ‰ãŠ½ã ‚ããºã⛶㠇ãŠãè ‚ãã‡ãŠãÀ ‚ãÌããä£ã ‡ãã¶ã ¹ãƦ¾ããÌã¦ãöã Allotment(Rs in crores)(In Months) (%) Date ¦ããÀãèŒã (Á.‡ãŠÀãñ¡ãò ½ãò)(½ãÖãè¶ããò ½ãò)(%) ‡ãŠãè ¦ããÀãèŒã Tier II ›ã¾ãÀ ýý v 01.03.2004 200.00 120 06.00 01 03.2014 v 01.03.2004 200.00 120 06.00 01 03.2014 vi 26.07.2004 200.00 120 06.40 26.07.2014 vi 26.07.2004 200.00 120 06.40 26.07.2014 vii 08.01.2005 150.00 123 07.25 08.04.2015 vii 08.01.2005 150.00 123 07.25 08.04.2015 viii 16.09.2005 200.00 123 07.40 16.12.2015 viii 16.09.2005 200.00 123 07.40 16.12.2015 ix 09.01.2006 250.00 123 07.70 09.04.2016 ix 09.01.2006 250.00 123 07.70 09.04.2016 x 13.03.2006 300.00 120 08.00 13.03.2016 x 13.03.2006 300.00 120 08.00 13.03.2016 xi 26.07.2006 500.00 120 09.10 26.07.2016 xi 26.07.2006 500.00 120 09.10 26.07.2016 xii 22.08.2008 300.00 120 10.85 22.08.2018 xii 22.08.2008 300.00 120 10.85 22.08.2018 xiii 24.08.2009 290.00 120 8.48 24.08.2019 xiii 24.08.2009 290.00 120 8.48 24.08.2019 BhoB ** 20.03.2004 36.00 87 07.00 20.06.2011 ºããè†Þã‚ããñºããè **20.03.2004 36.00 87 07.00 20.06.2011 Upper Tier II Call Option date „ÞÞ㠛ã¾ãÀ II ½ããúØã ãäÌã‡ãŠÊ¹ã ¦ããÀãèŒã i 05.09.2006 500.00 @180 9.24 @05.09.2016 i 05.09.2006 500.00 @180 9.24 @05.09.2016 ii 17.09.2008 655.30 @180 11.05 @17.09.2018 ii 17.09.2008 655.30 @180 11.05 @17.09.2018 iii 01.09.2009 510.00 @180 8.80 @01.09.2019 iii 01.09.2009 510.00 @180 8.80 @01.09.2019 Tier I (Perpetual) Call Option date ›ã¾ãÀ 1 (ºãñãä½ã¾ããªãè) ½ããúØã ãäÌã‡ãŠÊ¹ã ¦ããÀãèŒã i 31.03.2006 200.00 @Perpetual 09.30 @31.03.2016 i 31.03.2006 200.00 @ ºãñãä½ã¾ããªãè 09.30 @31.03.2016 ii 18.05.2006 200.00 @Perpetual 09.15 @18.05.2016 ii 18.05.2006 200.00 @ ºãñãä½ã¾ããªãè 09.15 @18.05.2016 iii 30.09.2006 80.00 @Perpetual 09.20 @30.09.2016 iii 30.09.2006 80.00 @ ºãñãä½ã¾ããªãè 09.20 @30.09.2016 iv 29.09.2009 300.00 @Perpetual 09.30 @29.09.2019 iv 29.09.2009 300.00 @ ºãñãä½ã¾ããªãè 09.30 @29.09.2019 TOTAL 4871.30 ‡ãŠìÊã 4871.30 @Call option available at the end of 10 years (with the @ 10 ÌãÓãà ‡ãñŠ ‚ãâ¦ã ½ãò ½ããúØã ãäÌã‡ãŠÊ¹ã „¹ãÊ㺣ã Öõ (¼ããÀ¦ããè¾ã ãäÀ•ãÌãà ºãö‡ãŠ ‡ãñŠ ¹ãîÌããöãì½ããñª¶ã ‡ãñŠ prior approval of RBI). If the call option is not exercised, Ôãã©ã)ý ¾ããäª ½ããúØã ãäÌã‡ãŠÊ¹ã ‡ãŠã ¹ãƾããñØã ¶ãÖãé ãä‡ãŠ¾ã㠕ãã ÀÖã Öõ ¦ããñ ‡ãã¶ã ªÀ ‡ãŠãñ 50 ºããè¹ããè†Ôã the coupon rate will be stepped up by 50 bps. ¦ã‡ãŠ ºãü¤ã¾ã㠕ãã†Øãã ý

58 **ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ ‡ãñŠ Ôãã©ã ¼ããÀ¦ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ ‡ãñŠ ãäÌãÊã¾ã¶ã ** Being Tier II Bonds issued by Bharat Overseas ‡ãñŠ ¹ãŠÊãÔÌã¹㠼ããÀ¦ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ ãäÊããä½ã›ñ¡ (ºããè†Þã‚ããñºããè) ´ãÀã Bank Ltd.(Bhob) , since taken over by IOB consequent to merger of Bhob with IOB. The •ããÀãè ãä‡ãŠ† Øㆠ›ã¾ãÀ II ºããù¥¡ ‚ãヂããñºããè ´ãÀ㠂ããä£ãØãðÖãè¦ã ãä‡ãŠ† present outstanding as on 31.03.2010, is after Øã†ý 31-03-2010 ¦ã‡ãŠ Ìã¦ãýãã¶ã ºã‡ãŠã¾ã㠄‡ã‹¦ã ãä¶ãØãý㠽ãò ãäÌãÊã¾ã¶ã ‡ãñŠ setting off our investment of Rs. 4 cr in the Ôã½ã¾ã Á.4 ‡ãŠÀãñü¡ ‡ãñŠ Ö½ããÀñ ãä¶ãÌãñÍ㠇ãŠã Ôã½ãâ•ã¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ºã㪠Öõý said issue, at the time of the merger. ª. ¹ã¨ããÞããÀ ‡ãŠÀ¶ãñ ‡ãŠã ¹ã¦ãã: r. Address for Correspondence: Íãñ¾ãÀãò ‡ãñŠ ‚㶦ãÀ¥ã, Êãã¼ããâÍã ¼ãìØã¦ãã¶ã ‚ããõÀ ãä¶ãÌãñÍã‡ãŠãò Ôãñ Ôãâºãâãä£ã¦ã Share transfers, dividend payment and all other investor related activities are attended to and ‚㶾ã Ôã¼ããè ãä‰ãŠ¾ãã‡ãŠÊãã¹ã Àãä•ãԛÈãÀ Ìã Íãñ¾ãÀ ‚㶦ãÀ¥ã †•ãñ¶› ½ãñÔãÔãà processed at the office of M/s. Cameo Corporate ‡ãñŠãä½ã¾ããñ ‡ãŠãù¹ããóÀñ› ÔãñÌãã†â ãäÊã. ‡ãñŠ ‡ãŠã¾ããÃÊã¾ã ½ãò ãä‡ãŠ† •ãã¦ãñ Öö ý Íãñ¾ãÀ£ããÀ‡ãŠ Services Ltd., Registrars & Share Transfer agents. ‚ã¹ã¶ãñ ‚㶦ãÀ¥ã ãäÌãÊãñŒã ‚ããõÀ ‚㶾㠇ãŠãñƒÃ ¼ããè ªÔ¦ããÌãñ•ã, ãäÍã‡ãŠã¾ã¦ãò Shareholders may lodge the transfer deeds and ãä¶ã½¶ããäÊããäŒã¦ã ¹ã¦ãñ ¹ãÀ ª•ãà ‡ãŠÀ Ôã‡ãŠ¦ãñ Öö ý any other documents, grievances and complaints at their address: ½ãñÔãÔãà ‡ãñŠãä½ã¾ããñ ‡ãŠã¹ããóÀñ› ÔããäÌãÃÔãñÔã ãäÊã. M/s. Cameo Corporate Services Ltd. (¾ãîãä¶ã› - ‚ãム‚ããñ ºããè) Ôãìºãƽããä¥ã¾ã¶ã ãäºããäÊ¡âØã, I ½ãâãäû•ãÊã (Unit-IOB) Subramanian Building, I Floor ¶ã.1, ‡ã‹Êãºã Öã„Ôã Àãñü¡, Þãñ¸ãõ- 600 002 No.1 Club House Road, Chennai-600 002 ›ñãäÊã¹ãŠãñ¶ã - 044 - 28460395, 28460084, ¹ãõŠ‡ã‹Ôã- 28460129 Tel: 044-28460395; 28460084 Fax: 28460129 ƒÃ.½ãñÊã : : [email protected] email:[email protected] The Bank has an Investor Relations Cell at its ºãö‡ãŠ ‡ãñŠ ãä¶ã½¶ããäÊããäŒã¦ã ¹ã¦ãñ ¹ãÀ Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãè ãäÍã‡ãŠã¾ã¦ããò ‡ãñŠ Central Office, to deal with the services and ãä¶ã¹ã›ã¶ã ‡ãñŠ ãäÊㆠ‚ããõÀ „¶ã‡ãŠãè ÔãñÌã㠇ãñŠ ãäÊㆠºãö‡ãŠ ½ãò ãä¶ãÌãñÍã‡ãŠ complaints of the shareholders at the following Ôãâºãâ£ã ‡ãŠàã Öõý address: ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ Indian Overseas Bank ãä¶ãÌãñÍã‡ãŠ Ôãâºãâ£ã ‡ãŠàã Investor Relations Cell ‡ãñŠ¶³ãè¾ã ‡ãŠã¾ããÃÊã¾ã, 763 ‚㥥ãã ÔããÊãƒ, Þãñ¸ãõ -600 002 Central Office, 763, Anna Salai ›ñãäÊã¹ãŠãñ¶ã : 044 - 28519491, 28415702, 28889392 Chennai-600 002 Tel: 044-28519491, 28415702, 28889392 ¹ãõŠ‡ã‹Ôã : 044 - 28585675 Fax : 044-28585675 ƒÃ.½ãñÊã : [email protected] email: [email protected] [email protected] [email protected] B. NON MANDATORY REQUIREMENTS: ºããè. ØãõÀ-‚ããä£ãªñÍã㦽ã‡ãŠ ‚ã¹ãñàãã†ú Non Mandatory Requirements Our Adoption ØãõÀ-‚ããä£ãªñÍã㦽ã‡ãŠ ‚ã¹ãñàãã†ú ºãö‡ãŠ ´ãÀ㠂ã¹ã¶ããƒÃ ØãƒÃ

ºããñ¡Ã ‡ã⊹ã¶ããè ‡ãñŠ ŒãÞãó ¹ãÀ ØãõÀ- Þãîúãä‡ãŠ Ö½ããÀñ ºãö‡ãŠ ‡ãñŠ ‚㣾ãàã ¦ã©ãã The Board – Since the Chairman and ‡ãŠã¾ãùããÊã‡ãŠ ‚㣾ãàã ´ãÀ㠆‡ãŠ ¹ãƺãâ£ã‡ãŠ ãä¶ãªñÍã‡ãŠ Ö½ããÀñ ºãö‡ãŠ ‡ãñŠ Maintenance of an office Managing Director in our ‡ãŠã¾ããÃÊã¾ã ‡ãŠã ÀŒãÀŒããÌ㠇ãŠã¾ãùããÊã‡ãŠ ‚㣾ãàã Öãñ¦ãñ Öö, ‚ã¦ã: by a non executive Bank is an Executive Chairman at the Chairman, this clause is ¾ãÖ Œã¥¡ Ö½ããÀñ ãäÊㆠÊããØãî ¶ãÖãé ÖãñØããý company’s expense not applicable to us ¹ãããäÀÑããä½ã‡ãŠ Ôããä½ããä¦ã ¹ãî¥ãÇãŠããäÊã‡ãŠ ãä¶ãªñÍã‡ãŠãò ‡ãŠãñ ªñ¾ã Remuneration Remuneration payable to ¹ãããäÀÑããä½ã‡ãŠ ‡ãŠã ãä¶ã¥ãþ㠇ãòŠ³ ÔãÀ‡ãŠãÀ Committee the whole time directors ‡ãñŠ ´ãÀã ãäÊã¾ã㠕ãã¦ãã Öõ ‚ããõÀ ºãö‡ãŠ ØãõÀ- is decided by the Central Government and the ãä¶ãªñÍã‡ãŠãò ‡ãŠãñ ãäÔããä›âØã ¹ãŠãèÔ㠇ãñŠ ‚ãÊããÌãã Bank does not pay any ‡ãŠãñƒÃ ¹ãããäÀÑããä½ã‡ãŠ ¶ãÖãé ªñ¦ãã Öõý ºããñ¡Ã remuneration to other ‡ãŠãè ã䪶ããâ‡ãŠ 22-03-2007 ‡ãŠãñ Ôãâ¹ã¸ã directors except sitting fees as per guidelines of Central Govt.

59 ÖìƒÃ ºãõŸ‡ãŠ ½ãò ã䪆 ØㆠãäÌãÌãÀ¥ããò ‡ãñŠ The Board in its meeting ‚ã¶ãìÔããÀ (¹ãõÀã 3.8 ªñŒãò) ãä¶ãªñÍã‡ãŠ held on 22.03.2007, has set up a “Remuneration ½ãâ¡Ê㠇ãŠãè †‡ãŠ „¹ã Ôããä½ããä¦ã Committee” as per details “¹ãããäÀÑããä½ã‡ãŠ Ôããä½ããä¦ã” Øãã䟦㠇ãŠãè ØãƒÃ furnished hereinbefore Öõý (refer para 3.8). Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãñŠ ‚ããä£ã‡ãŠãÀ Ôã¼ããè Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãñ œ½ããÖãè Shareholders Rights All the shareholders are ¹ããäÀ¥ãã½ããò ‚ããõÀ ÌãããäÓãÇ㊠ãäÀ¹ããñ›Ã ‡ãŠãè provided with the Half Yearly results and Annual ÔãîÞã¶ã㠄¹ãÊ㺣㠇ãŠÀãƒÃ •ãã¦ããè Öõ ý Report. ‚ããùã䡛 ‚ãÖæã㠂ã¹ãÆãä¦ãºãâãä£ã¦ã ãäÌ㦦ããè¾ã ãäÌãÌãÀ¥ããò ‡ãŠãè Audit Qualification Constant efforts are being ¹ãÆ¥ããÊããè ‡ãŠãè ‚ããñÀ ºãü¤¶ãñ ‡ãñŠ ãäÊㆠmade to move towards a ãä¶ãÀ¶¦ãÀ ¹ãƾããÔã ãä‡ãŠ† •ãã ÀÖñ Ööý regime of unqualified financial statements. ºããñ¡Ã ‡ãñŠ ÔãªÔ¾ããò ‡ãŠãñ ¹ãÆãäÍãàã¥ã ãä¶ãªñÍã‡ãŠãò ‡ãŠãñ ¹ãÆãä¦ããäӟ¦ã ¹ãÆãäÍãàã¥ã Training of Board The Board members are ÔãâÔ©ãã‚ããò ½ãò ¹ãÆãäÍãàã¥ã ‡ãŠã¾ãÉ㊽ã Öñ¦ãì Members imparted training by ¶ãããä½ã¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ý ¹ãƦ¾ãñ‡ãŠ nominating them for ãä¶ãªñÍã‡ãŠ ‡ãŠãñ „¶ã‡ãñŠ / „¶ã‡ãŠãè ¼ãîãä½ã‡ãŠã training programmes at ¦ã©ãã ãä•ã½½ãñªããäÀ¾ããò ‚ããõÀ ½ãÖ¦Ìã¹ãî¥ãà reputed training institutes. Each director is provided ½ãã½ãÊããò ¹ãÀ Ôãâ¹ãî¥ãà ãäÌãÌãÀ¥ã ªñ¦ãñ Öì† with a reference manual Ôã⪼ãà ½ãõ¶ãì‚ãÊã ã䪾ãã Øã¾ãã Öõ ý detailing his or her roles ØãõÀ-‡ãŠã¾ãùããÊã‡ãŠ ºããñ¡Ã ‡ãñŠ ÔãªÔ¾ããò and responsibilities and Ö½ããÀñ ºãö‡ãŠ ½ãò ØãõÀ-‡ãŠã¾ãùããÊã‡ãŠ ºããñ¡Ã matters of importance. ‡ãñŠ ½ãîʾããâ‡ãŠ¶ã ‡ãŠãè ‡ãŠã¾ãÃãäÌããä£ã ‡ãñŠ ÔãªÔ¾ããò ‡ãñŠ ½ãîʾããâ‡ãŠ¶ã ‡ãŠãè ‡ãŠãñƒÃ ‡ãŠã¾ãÃãäÌããä£ã „¹ãÊ㺣㠶ãÖãé Öõ Þãîúãä‡ãŠ Mechanism for The Bank does not have evaluating non such mechanism, as Ìã¦ãýãã¶ã ½ãò ¾ãÖ Ö½ã ¹ãÀ ÊããØãî ¶ãÖãé Öõý executive Board presently it is not Members applicable to us. ãäÌããäÔãÊã ºÊããñ‚ãÀ ¹ããùãäÊãÔããè Ìã¦ãýãã¶ã ½ãò ºãö‡ãŠ ‡ãñŠ ¹ããÔ㠇ãŠãñƒÃ Þãñ¦ããÌã¶ããè Whistle Blower Policy Presently the Bank does (Þãñ¦ããÌã¶ããè ¶ããèãä¦ã) ¶ããèãä¦ã (ãäÌããäÔãÊã ºÊããñ‚ãÀ ¹ããùãäÊãÔããè) ¶ãÖãé not have a Whistle Blower policy. However no Öõý ‚ããùã䡛 Ôããä½ããä¦ã Ôãñ Ôãâ¹ã‡ãÊ ‡ãŠÀ¶ãñ persons have been Ôãñ ãä‡ãŠÔããè ¼ããè ̾ããä‡ã‹¦ã ‡ãŠãñ ½ã¶ãã ¶ãÖãé denied access to the ãä‡ãŠ¾ãã Øã¾ãã Öõ ý Audit Committee.

ãä¶ãªñÍã‡ãŠ ½ãâ¡Ê㠇ãñŠ ãäÊㆠ†Ìã⠄¶ã‡ãŠãè ‚ããñÀ Ôãñ For and on behalf of the Board of Directors

Þãñ¶¶ãõ (†Ôãû †û ¼ã›) Chennai (S A BHAT) 29 ‚ã¹ãÆõÊã 2010 ‚㣾ãà㠆Ìãâ ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ 29th April 2010 Chairman and Managing Director

60 ÌãÓãà 2009-10 ‡ãñŠ ãäÊㆠ‡ãŠã¹ããóÀñ› ØãÌã¶ãó¶Ôã ¹ãÀ ãä¶ãªñÍã‡ãŠ ANNEXURE TO REPORT OF ½ãâ¡Ê㠇ãŠãè ãäÀ¹ããñ›Ã ‡ãñŠ ãäÊㆠ‚ã¶ãìºãâ£ã THE BOARD OF DIRECTORS ON CORPORATE GOVERNANCE FOR THE YEAR 2009-10 ãä¶ãªñÍã‡ãŠãò ‡ãŠã •ããèÌã¶ã ¹ããäÀÞã¾ã DIRECTORS PROFILE 01 ¶ãã½ã Ñããè †Ôã.†.¼ã› 01 Name Shri S. A. Bhat ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ Chairman and Managing Director ‚ãã¾ãì ‚ããõÀ •ã¶½ã-ãä¦ããä©ã 59 ÌãÓãà - 20.10.1950 Age and Date of Birth 59 years - 20.10.1950 ¾ããñؾã¦ãã ºããè.†ÔãÔããè (‚ãã¶ãÔãÃ), Ôãã膂ãヂãヺããè ¼ããØã 1 Qualification B.Sc (Hons.) CAIIB Part I ãä¶ã¾ãìãä‡ã‹¦ã ‡ãŠãè ¦ããÀãèŒã 04.06.2007 Date of Appointment 04.06.2007 Ìã¦ãýãã¶ã ‡ãŠã¾ããÃÌããä£ã ‡ãŠãè Date of expiry of the Ôã½ããã书㠇ãŠãè ¦ããÀãèŒã 31.10.2010 Current term 31.10.2010 ‚ã¶ãì¼ãÌã ºãöãä‡ãâŠØã ½ãò 38 ÌãÓããô ‡ãŠã ‚ã¶ãì¼ãÌã Öõý ÌãÓãà 1972 ½ãò Experience Having 38 years of banking experience. Joined Bank of India as Probationary ¹ããäÀÌããèàãã£ããè¶ã ‚ããä£ã‡ãŠãÀãè ‡ãñŠ ¹㠽ãò ºãö‡ãŠ ‚ããù¹ãŠ ƒã䥡¾ãã Officer in 1972. He took over as ½ãò ¼ã¦ããê Öì†ý 2 ¹ãŠÀÌãÀãè 2006 ‡ãŠãñ ¾ãî‡ãŠãñ ºãö‡ãŠ ‡ãñŠ Executive Director of UCO Bank on 2nd ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ ‡ãñŠ ¹㠽ãò ‡ãŠã¾ãüããÀ ØãÆÖ¥ã ãä‡ãŠ¾ãã February 2006 and held this position ‚ããõÀ ‚ãヂããñºããè ½ãò Ìã¦ãýãã¶ã ‡ãŠã¾ãüããÀ ØãÆ֥㠇ãŠÀ¶ãñ ¦ã‡ãŠ till his present assignment at IOB. He ƒÔ㠹㪠¹ãÀ ÀÖñý ºãöãä‡ãâŠØ㠇ãñŠ Ôã¼ããè àãñ¨ããò ½ãò ªñÍããè ‚ããõÀ has vast experience across the entire ãäÌãªñÍããè ¹ããäÀÞããÊã¶ããò ½ãò ãäÌããä¼ã¸ã ¹ãªãò ¹ãÀ ‚ãã¹ã‡ãŠãñ ̾ãã¹ã‡ãŠ gamut of banking in various capacities ‚ã¶ãì¼ãÌã Öõý ãäÌããä¼ã¸ã Ôããä½ããä¦ã¾ããò, •ãõÔãñ ¦ã‡ãŠ¶ããè‡ãŠãè in domestic and overseas operations. ÔãÊããևãŠãÀ Ôããä½ããä¦ã, ºãñÔãÊã II ‡ãñŠ ãäÊㆠãäԛ¾ããäÀâØã He has made many contributions to ØãÆì¹ã, ãä¶ã¾ããæã‡ãŠãò ‡ãñŠ ãäÊㆠ¨ãÉ¥ã ÔãÊããևãŠãÀ ¹ãÆ¥ããÊããè ¹ãÀ the Banking Industry, as a member of several committees such as the Ôããä½ããä¦ã ‚ããõÀ ††Êㆽ㠇ãñŠ ¹ããäÀÍããñ£ã¶ã ‡ãñŠ ãäÊㆠ‡ãŠã¾ãà Technical Advisory Committee, ªÊ㠇ãñŠ ÔãªÔ¾ã ‡ãñŠ ¹㠽ãò ‚ãã¹ã¶ãñ ºãöãä‡ãâŠØ㠄²ããñØ㠇ãŠãñ Steering Group for Basel II, Committee ‡ãŠƒÃ ¾ããñØãªã¶ã ã䪆 Ööý ¾ãñ Ôã¼ããè Ôããä½ããä¦ã¾ããâ ¼ããÀ¦ããè¾ã on Credit Advisory System for ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀã Øãã䟦㠇ãŠãè ØãƒÃ ©ããéý ºãñÔãÊã II ‡ãñŠ Exporters, and Working Group for ‡ãŠã¾ããöÌã¾ã¶ã ‡ãñŠ ãäÊㆠ‡ãŠã¾ãùã®ãä¦ã ¦ãõ¾ããÀ ‡ãŠÀ¶ãñ ‡ãñŠ revision of ALM, all of which were ãäÊㆠ¼ããÀ¦ããè¾ã ºãö‡ãŠ ÔãâÜ㠇ãŠãè Ôããä½ããä¦ã ½ãò ¼ããè ‚ãã¹ã Íãããä½ãÊã constituted by Reserve Bank of India. ©ãñý ºãö‡ãŠ ‚ããù¹ãŠ ƒã䥡¾ãã ½ãò ‚ã¹ã¶ããè ‡ãŠã¾ããÃÌããä£ã ‡ãñŠ He was also on the Indian Banks’ ªãõÀã¶ã ‚ãã¹ã †Ôã›ãèÔããè‚ããƒ, ‚ãテÊ㠆¥¡ †¹ãŠ†Ôã Association’s Committee for drawing ¦ã©ã㠃¥¡ãñ •ããã佺ã¾ãã ºãö‡ãŠ ‡ãñŠ ãäÊㆠ¶ãããä½ã¦ããè ãä¶ãªñÍã‡ãŠ Road Map for implementation of Basel II. During his tenure in Bank of India, ©ãñý he was nominee director for STCI, IL ‚ãヂããñºããè ½ãò Íãñ¾ãÀ£ãããäÀ¦ãã Íãã & FS and Indo Zambia Bank. Shareholding in IOB ‚㶾ã ãä¶ãªñÍã‡ãŠ¦ãã ¾ãîãä¶ãÌãÔãÃÊã Ôããñ½¹ããñ •ã¶ãÀÊ㠃â;ããñÀñ¶Ô㠇ãâŠ.ãäÊã. ½ãò Nil ‚ãヂããñºããè ‡ãñŠ ¶ãããä½ã¦ããè ãä¶ãªñÍã‡ãŠ Other Directorships Nominee Director of IOB in Universal Sompo General Insurance Co. Ltd.

02 ¶ãã½ã Ñããè ÌããƒÃ †Êã ½ãªã¶ã 02 Name Shri Y L Madan ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ Executive Director ‚ãã¾ãì ‚ããõÀ •ã¶½ã-ãä¦ããä©ã 59 ÌãÓãà - 24.08.1950 Age and Date of Birth 59 years - 24.08.1950 ¾ããñؾã¦ã㠆½ã.†ÔãÔããè.,†½ã ºããè †, Ôãã膂ãヂãヺããè Qualification M.Sc.,MBA, CAIIB ãä¶ã¾ãìãä‡ã‹¦ã ‡ãŠãè ¦ããÀãèŒã 16.05.2008 Date of Appointment 16.05.2008 Ìã¦ãýãã¶ã ‡ãŠã¾ããÃÌããä£ã ‡ãŠãè Date of expiry of the Ôã½ããã书㠇ãŠãè ¦ããÀãèŒã 31.08.2010 Current term 31.08.2010 ‚ã¶ãì¼ãÌã ºãöãä‡ãâŠØã ½ãò 37 ÌãÓããô ‡ãŠã ‚ã¶ãì¼ãÌã Öõý ‚ãã¹ã¶ãñ 1973 ½ãò Experience Having 37 years of banking experience. ‡ãñŠ¶ãÀã ºãö‡ãŠ ½ãò ¹ãÆãäÍãàãì ‚ããä£ã‡ãŠãÀãè ‡ãñŠ ¹㠽ãòñ ‡ãŠã¾ãà He joined Canara Bank in 1973 as ¹ãÆãÀâ¼ã ãä‡ãŠ¾ã㠂ããõÀ 35 ÌãÓããô ‡ãŠã ‚ã¶ãì¼ãÌã Öõ ý ‚ãã¹ã¶ãñ Officer Trainee and has 35 years of ‚ããä£ã‡ãŠ¦ãÀ ¹ãâ•ããºã ‡ãñŠ „¦¦ãÀãè àãñ¨ããò, ÖãäÀ¾ãã¥ãã, Þ㥡ãèØã¤, experience there. He served mostly in northern areas of Punjab, Haryana,

61 ãäºãÖãÀ, ãäªÊÊããè ½ãò ‡ãŠã¾ãà ãä‡ãŠ¾ããý ‚ãã¹ã¶ãñ ªãñÖã, ‡ãŠ¦ããÀ Chandigarh, Bihar, Delhi and had a ½ãò ‡ãñŠ¶ãÀã ºãö‡ãŠ ‡ãñŠ ¹ãƺ㶣ã¶ãã£ããè¶ã ãäÌãªñÍããè ãäÌããä¶ã½ã¾ã posting at Overseas Exchange ‡ã⊹ã¶ããè ½ãò ‡ãŠã¾ãà ãä‡ãŠ¾ããý ‚ãã¹ã¶ãñ ‡ãñŠ¶ãÀã ºãö‡ãŠ ¹ãÆãäÍãàã¥ã Company in Doha, Qatar, managed by ‡ãñŠ¶³, ½ãìâºãƒÃ ½ãò †‡ãŠ ÌãÓãÃà ¦ã‡ãŠ Ôãâ‡ãŠã¾ã ÔãªÔ¾ã ‡ãñŠ ¹ã Canara Bank. He had a one year stint as Faculty in Canara Bank Training Centre, ½ãò ‡ãŠã¾ãà ãä‡ãŠ¾ããý ‚ãã¹ã ‡ãñŠ¶ãÀã ºãö‡ãŠ ½ãò ‚ã‡ã‹¦ãîºãÀ 2003 Mumbai. He was General Manager in Ôãñ ‚ãム‚ããñ ºããè ½ãò ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ ‡ãŠãè ãä¶ã¾ãìãä‡ã‹¦ã Canara Bank from October 2003 until ¦ã‡ãŠ ½ãÖã ¹ãƺ㶣ã‡ãŠ ‡ãñŠ ¹㠽ãò ‡ãŠã¾ãÃÀ¦ã ÀÖñý his appointment in IOB as its Executive ‚ãヂããñºããè ½ãò Íãñ¾ãÀ£ãããäÀ¦ãã Íãã Director. Shareholding in IOB Nil ‚㶾ã ãä¶ãªñÍã‡ãŠ¦ãã Íãã Other Directorships Nil

03 ¶ãã½ã Ñããè½ã¦ããè ¶ãî¹ãìÀ ãä½ã¨ãã 03 Name Smt. Nupur Mitra ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ Executive Director ‚ãã¾ãì ‚ããõÀ •ã¶½ã-ãä¦ããä©ã 57 ÌãÓãà - 08.12.1952 Age and Date of Birth 57 years - 08.12.1952 ¾ããñؾã¦ãã ºããè†ÔãÔããè, †Êã†Êãºããè Qualification B.Sc., L.L.B. ãä¶ã¾ãìãä‡ã‹¦ã ‡ãŠãè ¦ããÀãèŒã 07.12.2009 Date of Appointment 07.12.2009 Ìã¦ãýãã¶ã ‡ãŠã¾ããÃÌããä£ã ‡ãŠãè Date of expiry of the Ôã½ããã书㠇ãŠãè ¦ããÀãèŒã 31.12.2012 Current term 31.12.2012 ‚ã¶ãì¼ãÌã ºãöãä‡ãâŠØã ½ãò 34 ÌãÓããô ‡ãŠã ‚ã¶ãì¼ãÌã Öõý ‚ãã¹ã¶ãñ ÌãÓãà 1975 Experience Having 34 years of experience in ½ãò ºãö‡ãŠ ‚ããù¹ãŠ ƒã䥡¾ãã ½ãò Ôããè£ããè ¼ã¦ããê ‚ããä£ã‡ãŠãÀãè ‡ãñŠ banking field. She joined Bank of India in 1975 as Direct Recruit Officer. She ¹㠽ãò ‡ãŠã¾ãüããÀ Ôãâ¼ããÊããý ‚ãã¹ã¶ãñ ÍããŒãã‚ããò ‚ããõÀ served in various capacities at Branches ‚ãâÞãÊ㠇ãŠã¾ããÃÊã¾ã ½ãò ãäÌããä¼ã¸ã ¹ãªãò ¹ãÀ ‡ãŠã¾ãà ãä‡ãŠ¾ãã Öõý and Zonal Offices. She moved over to ÌãÓãà 2001 ‡ãñŠ ½ã£¾ã ½ãò ‚ãã¹ã Êã⪶ã ÍããŒã㠇ãñŠ ¹ãƽãìŒã head London Branch in mid 2001 and ‡ãñŠ ¹㠽ãò ãäÌãªñÍã ØãƒÄ ‚ããõÀ ºã㪠½ãò ¾ãîÀãñ¹ã ‡ãñŠ ¹ããäÀÞããÊã¶ããò thereafter she was Chief Executive of ‡ãñŠ ãäÊㆠ½ã쌾㠇ãŠã¾ãùããÊã‡ãŠ ‡ãñŠ ¹㠽ãò ÀÖãéý Ìãã¹ãÔã Europe Operations. Back in India, she ¼ããÀ¦ã ‚ãã‡ãŠÀ ‚ãã¹ã ºãö‡ãŠ ‡ãñŠ ½ãâìºãƒÃ ‚ããõÀ Þãâ¡ãèØãü¤ ‚ãâÞãÊããò headed the Mumbai and Chandigarh ‡ãŠãè ¹ãƽãìŒã ÀÖãéý ºãö‡ãŠ ‚ããù¹ãŠ ƒâã䡾ã㠇ãñŠ ‡ãŠã¹ããóÀñ› Zones of the Bank. She was General ‡ãŠã¾ããÃÊã¾ã ½ãò ‚ãã¹ã ½ãÖã ¹ãƺãâ£ã‡ãŠ ‡ãñŠ ¹㠽ãò ÀÖãé, •ãÖãú Manager at the Corporate Office of Bank ‚ãã¹ã¶ãñ ‚ãム‚ããñ ºããè ½ãò ‡ãŠã¾ãùããÊã‡ãŠ ‡ãñŠ ¹㠽ãò ãä¶ã¾ãì‡ã‹¦ã of India, in charge of Credit, SME, Retail Banking (Deposit & Advances), Card Öãñ¶ãñ ¦ã‡ãŠ „£ããÀ, †ÔㆽãƒÃ, ãäÀ›ñÊã ºãöãä‡ãâŠØã (•ã½ãã Ìã Products, Public Relations, Depository ‚ããäØãƽã), ‡ãŠã¡Ã „¦¹ããªãò, •ã¶ã Ôãâ¹ã‡ãÊ, ã䡹ããùãäû•ã›Àãè Services etc. until her appointment in ÔãñÌãã‚ããò ‚ãããäª ‡ãŠã ‡ãŠã¾ãüããÀ Ôãâ¼ããÊããý IOB as its Executive Director. ‚ãヂããñºããè ½ãò Íãñ¾ãÀ£ãããäÀ¦ãã Íãã Shareholding in IOB Nil ‚㶾ã ãä¶ãªñÍã‡ãŠ¦ãã Íãã Other Directorships Nil

04 ¶ãã½ã ¡ãù. ãäÌã¶ããè¦ã㠇ã슽ããÀ 04 Name Dr. Vinita Kumar ¼ããÀ¦ã ÔãÀ‡ãŠãÀ ‡ãŠãè ¶ãããä½ã¦ããè GoI Nominee Age and Date of Birth 55 years - 25.12.1954 ‚ãã¾ãì ‚ããõÀ •ã¶½ã-ãä¦ããä©ã 55 ÌãÓãà - 25.12.1954 Qualification Ph.D, M.A.(Eco), Indian Economic ¾ããñؾã¦ãã ¹ããè†Þã.¡ãè, †½ã.†. (‚ã©ãÃÍããÔ¨ã), ¼ããÀ¦ããè¾ã ‚ãããä©ãÇ㊠Service (1977) ÔãñÌãã†ú (1977) Date of Appointment 10.06.2008 ãä¶ã¾ãìãä‡ã‹¦ã ‡ãŠãè ¦ããÀãèŒã 10.06.2008 Date of expiry of the Ìã¦ãýãã¶ã ‡ãŠã¾ããÃÌããä£ã ‡ãŠãè Current term Until further orders from Govt. Ôã½ããã书㠇ãŠãè ¦ããÀãèŒã ÔãÀ‡ãŠãÀ Ôãñ ‚ããØãñ ‚ããªñÍã ãä½ãÊã¶ãñ ¦ã‡ãŠ Experience She is presently Economic Advisor, Department of Financial Services, ‚ã¶ãì¼ãÌã Ôã½¹ãÆãä¦ã ‚ãã¹ã ¼ããÀ¦ã ÔãÀ‡ãŠãÀ , ãäÌ㦦㠽ãâ¨ããÊã¾ã ‡ãñŠ ‚ãããä©ãÇ㊠Ministry of Finance, GOI. She held the ÔãñÌãã†ú ãäÌã¼ããØã ½ãò ‚ãããä©ãÇ㊠ÔãÊããևãŠãÀ Ööý ‚ãã¹ã Ìãããä¥ã•¾ã position of Additional Economic ãäÌã¼ããØã ½ãò ‚ã¹ãÀ ‚ãããä©ãÇ㊠ÔãÊããևãŠãÀ ÀÖ Þãì‡ãŠãè Öõý Advisor, Dept. of Commerce. She has

62 ‚ãã¹ã ªãñ ¹ãìÔ¦ã‡ãŠãòñ ‡ãŠãè ÊãñãäŒã‡ãŠã Öö - (1) ƒ‡ãŠãñ¶ããùãä½ã‡ãŠ authored two books – (1) “Economic ØãÆãñ©ã †¥¡ ÂÀÊã ¹ããùÌã›ãê : ª ƒã䥡¾ã¶ã †‡ã‹Ôã¹ããèãäÀ¾ãâÔã Growth and Rural Poverty:The Indian (1960-65) (2) Êããä¶ãÄØ㠛î Íãñ¾ãÀ : †‡ã‹Ôã¹ããèãäÀ¾ãâÔãñÔã Experience (1960-65)” and (2) †¥¡ ãäÀ¹ãŠÊãñ‡ã‹ÍãâÔ㠂ããù¶ã ¹ããè‚ããÀ† †¥¡ ‡ãŠ½¾ãîãä¶ã›ãè “Learning to Share: Experiences and Reflections on PRA and Community ¹ãããä›ÃãäÔã¹ãñÍã¶ãý Participation” ‚ãヂããñºããè ½ãò Íãñ¾ãÀ£ãããäÀ¦ãã Íãã Shareholding in IOB Nil ‚㶾ã ãä¶ãªñÍã‡ãŠ¦ãã Íãã Other Directorships Nil

05 ¶ãã½ã Ñããè½ã¦ããè ãäÞã¨ãã Þãâ³½ããõÊããèÍÌãÀ¶ã 05 Name Smt. Chitra Chandramouliswaran ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ¶ãããä½ã¦ããè RBI Nominee ‚ãã¾ãì ‚ããõÀ •ã¶½ã-ãä¦ããä©ã 65 ÌãÓãà - 26.07.1944 Age and Date of Birth 65 years - 26.07.1944 ¾ããñؾã¦ã㠆½ã .†ÔãÔããè, Ôãã膂ãヂãヺããè Qualification M.Sc., CAIIB., ãä¶ã¾ãìãä‡ã‹¦ã ‡ãŠãè ¦ããÀãèŒã 27.02.2007 Date of Appointment 27.02.2007 Ìã¦ãýãã¶ã ‡ãŠã¾ããÃÌããä£ã ‡ãŠãè Date of expiry of the Current term Until further orders from Govt., Ôã½ããã书㠇ãŠãè ¦ããÀãèŒã ÔãÀ‡ãŠãÀ Ôãñ ‚ããØãñ ‚ããªñÍ㠂ãã¶ãñ ¦ã‡ãŠ Experience Joined RBI in 1967 and has worked in ‚ã¶ãì¼ãÌ㠂ãã¹ã ÌãÓãà 1967 ½ãò ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ½ãò ¼ã¦ããê ÖìƒÄ various capacities in IECD, DBOD and ‚ããõÀ ‚ãã¹ã¶ãñ ‡ãòŠ³ãè¾ã ‡ãŠã¾ããÃÊã¾ã, ½ãìâºãƒÃ ½ãò ‚ãッÔããè¡ãè, Foreign Exchange (Exchange Control) ¡ãèºããè‚ããñ¡ãè ‚ããõÀ ãäÌãªñÍããè ãäÌããä¶ã½ã¾ã (ãäÌããä¶ã½ã¾ã ãä¶ã¾ãâ¨ã¥ã) Departments and RBI’s Central Office ãäÌã¼ããØããò ½ãò ãäÌããä¼ã¸ã ¹ãªãò ¹ãÀ ‡ãŠã½ã ãä‡ãŠ¾ãã Öõý ‚ãã¹ã ÌãÓãà in Mumbai. She retired as Chief General 2004 ½ãò ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ½ã쌾㠽ãÖã ¹ãƺãâ£ã‡ãŠ Manager of Reserve Bank of India in ‡ãñŠ ¹㠽ãò ÔãñÌãããä¶ãÌãð¦¦ã ÖìƒÃ Öö ý 2004. ‚ãヂããñºããè ½ãò Íãñ¾ãÀ£ãããäÀ¦ãã Íãã Shareholding in IOB Nil ‚㶾ã ãä¶ãªñÍã‡ãŠ¦ãã Íãã Other Directorships Nil

06 ¶ãã½ã Ñããè †¶ã.Ñããè£ãÀ¶ã 06 Name Shri N. Sridaran ‡ãŠ½ãÇãŠãÀ ãä¶ãªñÍã‡ãŠ Workmen Director ‚ãã¾ãì ‚ããõÀ •ã¶½ã-ãä¦ããä©ã 59 ÌãÓãà - 10.12.1950 Age and Date of Birth 59 years - 10.12.1950 ¾ããñؾã¦ã㠆Ôã†Ôã†ÊãÔããè Qualification SSLC ãä¶ã¾ãìãä‡ã‹¦ã ‡ãŠãè ¦ããÀãèŒã 20-04-2007 Date of Appointment 20.04.2007 Ìã¦ãýãã¶ã ‡ãŠã¾ããÃÌããä£ã ‡ãŠãè Date of expiry of the Ôã½ããã书㠇ãŠãè ¦ããÀãèŒã 19-04-2010 Current term 19.04.2010 ‚ã¶ãì¼ãÌã 02-05-1972 ½ãò ºãö‡ãŠ ½ãò ¼ã¦ããê Öì†ý ‚ãヂããñºããè ½ãò Experience Joined the Bank on 02.05.1972. Having 37 ÌãÓããô Ôãñ ‚ããä£ã‡ãŠ ‚ã¶ãì¼ãÌã Öõý ‚ãã¹ã ‚ãヂããñºããè ½ãò 37 years experience in IOB, he is at ãä¹ãŠÊãÖãÊã ãäÌãÍãñÓã ÔãÖã¾ã‡ãŠ ¹ãÆÌãØãà ½ãò Ööý present a special cadre assistant in IOB. Shareholding in IOB 100 shares ‚ãヂããñºããè ½ãò Íãñ¾ãÀ£ãããäÀ¦ãã 100 Íãñ¾ãÀ Other Directorships Nil ‚㶾ã ãä¶ãªñÍã‡ãŠ¦ãã Íãã

07 ¶ãã½ã Ñããè ‡ãñŠ. ‚ãã¶ã⪠‡ã슽ããÀ 07 Name Shri K. Ananda Kumar ‚ããä£ã‡ãŠãÀãè ‡ãŠ½ãÃÞããÀãè ãä¶ãªñÍã‡ãŠ Officer Employee Director ‚ãã¾ãì ‚ããõÀ •ã¶½ã-ãä¦ããä©ã 54 ÌãÓãà - 30.08.1955 Age and Date of Birth 54 years - 30.08.1955 ¾ããñؾã¦ãã ºããè.‡ãŠãù½ã, †.Ôããè.†., Ôãã膂ãヂãヺããè Qualification B Com., A.C.A., CAIIB ãä¶ã¾ãìãä‡ã‹¦ã ‡ãŠãè ¦ããÀãèŒã 26.03.2010 Date of Appointment 26.03. 2010 Date of expiry of the Ìã¦ãýãã¶ã ‡ãŠã¾ããÃÌããä£ã ‡ãŠãè 25.03.2013 ¦ã‡ãŠ ¾ã㠂ããƒ.‚ããñ.ºããè ‡ãñŠ ‚ããä£ã‡ãŠãÀãèè ‡ãñŠ ¹㠽ãò 25.03.2013 or until he ceases to be an Current term officer of IOB or until further orders. Ôã½ããã书㠇ãŠãè ¦ããÀãèŒã „¶ã‡ãñŠ ‡ãŠã¾ãÇãŠãÊ㠇ãŠãè Ôã½ããã书㠦ã‡ãŠ ¾ã㠂ãØãÊãñ ‚ããªñÍã ¦ã‡ãŠ Experience Joined the Bank on 14.12.1981. ‚ã¶ãì¼ãÌã ºãö‡ãŠ ½ãò 14.12.1981 ‡ãŠãñ ¼ã¦ããê Öì†ý ‚ããƒ.‚ããñ.ºããè Possesses 28 years experience. At ½ãò 28 ÌãÓããô ‡ãŠã ‚ã¶ãì¼ãÌã Öõý ‚ãã¹ã ‚ããƒ.‚ããñ.ºããè ½ãò

63 ÌããäÀӟ ¹ãƺãâ£ã‡ãŠ ‡ãñŠ ¹ãª ¹ãÀ Ööý present a Senior Manager in IOB. ‚ãヂããñºããè ½ãò Íãñ¾ãÀ£ãããäÀ¦ãã 2400 Shareholding in IOB 2400 shares ‚㶾ã ãä¶ãªñÍã‡ãŠ¦ãã Íãã Other Directorships Nil

08 ¶ãã½ã Ñããè ºããè Ìããè ‚ã¹¹ãã ÀãÌã 08 Name Shri B V Appa Rao ‚ãâÍã‡ãŠããäÊã‡ãŠ ØãõÀ ÔãÀ‡ãŠãÀãè Part Time Non Official ‚ãã¾ãì ‚ããõÀ •ã¶½ã-ãä¦ããä©ã 59 ÌãÓãà - 06.06.1950 Age and Date of Birth 59 years - 06.06.1950 ¾ããñؾã¦ãã ºããè.‡ãŠã½ã, †¹ãŠÔããè† Qualification B.Com., FCA ãä¶ã¾ãìãä‡ã‹¦ã ‡ãŠãè ¦ããÀãèŒã 29 08 2008 Date of Appointment 29 08 2008 Ìã¦ãýãã¶ã ‡ãŠã¾ããÃÌããä£ã ‡ãŠãè Date of expiry of the Ôã½ããã书㠇ãŠãè ¦ããÀãèŒã 28 08 2011 Current term 28 08 2011 ‚ã¶ãì¼ãÌã 1980 ½ãò Ôã¶ãªãè ÊãñŒãã‡ãŠãÀ ‡ãŠãè ¾ããñؾã¦ãã ¹ãÆ㹦㠇ãŠÀ Ñããè Experience A qualified Chartered Accountant in ºããè Ìããè ‚ã¹¹ãã ÀãÌã ¶ãñ ¦ã¦‡ãŠãÊ㠂ã㶣ãÆã ºãö‡ãŠ ½ãò †‡ãŠ 1980, Shri B V Appa Rao, joined Andhra ‚ããä£ã‡ãŠãÀãè ‡ãñŠ ¹㠽ãò ÔãñÌãã ¹ãÆãÀâ¼ã ‡ãŠÀ‡ãñŠ 6 ÌãÓãà ‡ãŠã¾ãà Bank as Officer and served for 6 years. Leaving Andhra Bank, he joined M/s ãä‡ãŠ¾ããý ƒÔã‡ãñŠ ¹ãÍÞãã¦ã ‚ãã¹ã¶ãñ ‚ã㶣ãÆ ¹ãƪñÍ㠇ãñŠ ½ãñÔãÔãà The Andhra Sugars Limited of Andhra ª ‚ã㶣ãÆã ÍãìØãÔãà ãäÊããä½ã›ñ¡ ‚ããù¹ãŠ ‚ã㶣㠹ãƪñÍã ½ãò Pradesh in the Senior Management and ÌããäÀӟ ¹ãƺ㶣ã¶ã ½ãò 7 ÌãÓããô ¦ã‡ãŠ ÔãñÌã㠇ãŠãèý Ìã¦ãýãã¶ã ½ãò served for 7 years. He is presently a ‚ãã¹ã ÌãÓãà 1994 ½ãò Øãìâ›îÀ ½ãò ¹ãÆãÀâ¼ã ½ãñÔãÔãà ºããè Ìããè Senior Partner in M/s. B V Rao ÀãÌ㠂ãÔããñãäÍã¾ãñ›áÔã, Þãã›Ã¡Ã †‡ãŠã„â›ò›Ôãá ½ãò ÌããäÀӟ Associates, Chartered Accountants, Ôãã¢ãñªãÀ Öõý Guntur started in the year 1994. ‚ãヂããñºããè ½ãò Íãñ¾ãÀ£ãããäÀ¦ãã Íãã Shareholding in IOB Nil ‚㶾ã ãä¶ãªñÍã‡ãŠ¦ãã Íãã Other Directorships Nil

09 ¶ãã½ã Ñããè ÔãîÀ•ã Œã¨ããè 09 Name Shri Sooraj Khatri ‚ãâÍã‡ãŠããäÊã‡ãŠ, ØãõÀ ÔãÀ‡ãŠãÀãè Part Time Non Official ‚ãã¾ãì ‚ããõÀ •ã¶½ã-ãä¦ããä©ã 54 ÌãÓãà - 06.08.1955 Age and Date of Birth 54 years – 06.08.1955 ¾ããñؾã¦ãã ºããè†ÔãÔããè, †Êã†Êãºããè, Ñã½ã ãäÌããä£ã ½ãò ã䡹Êããñ½ãã Qualification B.Sc., L.L.B., Dip. In Labour Law ãä¶ã¾ãìãä‡ã‹¦ã ‡ãŠãè ¦ããÀãèŒã 26.10.2009 Date of Appointment 26.10.2009 Ìã¦ãýãã¶ã ‡ãŠã¾ããÃÌããä£ã ‡ãŠãè Date of expiry of the Ôã½ããã书㠇ãŠãè ¦ããÀãèŒã 25.10.2012 Current term 25.10.2012 ‚ã¶ãì¼ãÌã Àã•ãÔ©ãã¶ã „ÞÞã ¶¾ãã¾ããÊã¾ã ½ãò ãäÌããä£ã Ôãñ Ôãâºãâãä£ã¦ã †¡Ìã‡ãñŠ› Experience Practicing legal profession as an Advocate in Rajasthan High Court. He Ööý ‚ãã¹ã †‡ãŠ ¹ã¨ã‡ãŠãÀ, Ôãâ¹ã㪇㊠‚ããõÀ ¹ãƇãŠãÍã‡ãŠ ¼ããè is also a Journalist, Editor and Publisher. Ööý Shareholding in IOB Nil ‚ãヂããñºããè ½ãò Íãñ¾ãÀ£ãããäÀ¦ãã Íãã Other Directorships Nil ‚㶾ã ãä¶ãªñãäÍã‡ãŠ¦ãã Íãã

10 ¶ãã½ã Ñããè ‚ãÍããñ‡ãŠ ‡ã슽ããÀ ¼ããØãÃÌã 10 Name Shri Ashok Kumar Bhargava Íãñ¾ãÀ£ããÀ‡ãŠ ãä¶ãªñÍã‡ãŠ Shareholder Director ‚ãã¾ãì ‚ããõÀ •ã¶½ã-ãä¦ããä©ã 66 ÌãÓãà - 10-5-1943 Age and Date of Birth 66 years - 10.05.1943 ¾ããñؾã¦ãã ºããè .‡ãŠãù½ã, †Êã†Êãºããè, Ôãã膂ãヂãヺããè Qualification B.Com, L L B., CAIIB ãä¶ã¾ãìãä‡ã‹¦ã ‡ãŠãè ¦ããÀãèŒã 08 12 2008 Date of Appointment 08.12.2008 Ìã¦ãýãã¶ã ‡ãŠã¾ããÃÌããä£ã ‡ãŠãè Date of expiry of the Ôã½ããã书㠇ãŠãè ¦ããÀãèŒã 07 12 2011 Current term 07.12.2011 Experience ‚ã¶ãì¼ãÌã ¹ãâ•ããºã ¶ãñÍã¶ãÊã ºãö‡ãŠ ‡ãñŠ ½ãÖã ¹ãƺãâ£ã‡ãŠ ‡ãñŠ ¹㠽ãò Retired as General Manager of Punjab ÔãñÌãããä¶ãÌãð¦¦ã Öì†ý 40 ÌãÓããô ‡ãŠã ‚ã¶ãì¼ãÌã ÀŒã¶ãñ ÌããÊãñ National Bank. A professional banker with 40 years of experience. He is at

64 ̾ããÌãÔãããä¾ã‡ãŠ ºãö‡ãŠÀý Ìã¦ãýãã¶ã ½ãò ¹ãƺãâ£ã¶ã ‚ããõÀ ãäÌ㦦ããè¾ã present a Management and Financial ÔãÊããևãŠãÀ Ööý Consultant. ‚ãヂããñºããè ½ãò Íãñ¾ãÀ£ãããäÀ¦ãã 500 Íãñ¾ãÀ Shareholding in IOB 500 shares Other Directorships SMS Power Generation Limited ‚㶾ã ãä¶ãªñÍã‡ãŠ¦ã㠆Ôㆽã†Ôã ¹ããÌãÀ •ã¶ãÀñÍã¶ã ãäÊããä½ã›ñ¡ Delhi Assam Roadways Corporation ãäªÊÊããè ‚ãÔã½ã Àãñ¡Ìãñû•ã ‡ãŠã¹ããóÀñÍã¶ã ãäÊããä½ã›ñ¡ Limited ›ÈãâÔãÀõÊã Êãããä•ããäԛ‡ã‹Ôã ãäÊããä½ã›ñ¡ Transrail Logistics Limited

11 ¶ãã½ã ¡ãù. ãäÞãÀâ•ããèºã Ôãñ¶ã 11 Name Dr. Chiranjib Sen Íãñ¾ãÀ£ããÀ‡ãŠ ãä¶ãªñÍã‡ãŠ Shareholder Director ‚ãã¾ãì ‚ããõÀ •ã¶½ã-ãä¦ããä©ã 63 ÌãÓãà - 29 09 1946 Age and Date of Birth 63 years - 29.09.1946 ¾ããñؾã¦ã㠆½ã † (‚ã©ãÃÍããÔ¨ã), ¹ããè†Þã.¡ãè Qualification M.A(Econ), Ph D ãä¶ã¾ãìãä‡ã‹¦ã ‡ãŠãè ¦ããÀãèŒã 08 12 2008 Date of Appointment 08.12.2008 Ìã¦ãýãã¶ã ‡ãŠã¾ããÃÌããä£ã ‡ãŠãè Date of expiry of the Ôã½ããã书㠇ãŠãè ¦ããÀãèŒã 07 12 2011 Current term 07.12.2011 ‚ã¶ãì¼ãÌ㠃ã䥡¾ã¶ã ƒâԛã蛿ãî› ‚ããù¹ãŠ ½ãñ¶ãñ•ã½ãñ¥›, ºãöØãÊãîÀ ½ãò Experience Professor of Economics in the Indian ƒ‡ãŠãñ¶ããñãä½ã‡ã‹Ô㠇ãñŠ ¹ãÆãñ¹ãñŠÔãÀ Öö ‚ããõÀ ¼ããÀ¦ã ‚ããõÀ ãäÌãªñÍã Institute of Management, Bangalore and ½ãò ÊãØã¼ãØã 13 ãäÌãÍÌããäÌã²ããÊã¾ããò ½ãò ‚ããä¦ããä©ã ¹ãÆãñ¹ãñŠÔãÀ a visiting Professor of about 13 Öö ý universities in India and abroad. ‚ãヂããñºããè ½ãò Íãñ¾ãÀ£ãããäÀ¦ãã 150 Shareholding in IOB 150 shares ‚㶾ã ãä¶ãªñÍã‡ãŠ¦ã㠇ã슳ñ½ãìŒã ‚ãã¾ã¥ãà ‚ããñÀ ‡ã⊹ã¶ããè ãäÊã. Other Directorships Kudremukh Iron Ore Company Limited

12 ¶ãã½ã Ñããè † ÌãñÊÊã¾ã¶ã 12 Name SHRI A VELLAYAN Íãñ¾ãÀ£ããÀ‡ãŠ ãä¶ãªñÍã‡ãŠ Shareholder Director ‚ãã¾ãì ‚ããõÀ •ã¶½ã-ãä¦ããä©ã 56 ÌãÓãà - 09 01 1953 Age and Date of Birth 56 years - 09.01.1953 ¾ããñؾã¦ãã ºããè .‡ãŠãù½ã, ¾ãî.‡ãñŠ ‡ãñŠ ÌãããäÌãÇ㊠ãäºã•ã¶ãñÔã ԇãîŠÊã Qualification B.Com, Masters in Business Studies, ãäÌãÍÌããäÌã²ããÊã¾ã Ôãññ ãäºã•ã¶ãñÔã ԛ¡ãèÔã ½ãò Ô¶ãã¦ã‡ãŠãñ¦¦ãÀ University of Warwick Business School, ãä‡ãŠ¾ããý UK ãä¶ã¾ãìãä‡ã‹¦ã ‡ãŠãè ¦ããÀãèŒã 08 12 2008 Date of Appointment 08.12.2008 Date of expiry of the Ìã¦ãýãã¶ã ‡ãŠã¾ããÃÌããä£ã ‡ãŠãè Current term Ôã½ããã书㠇ãŠãè ¦ããÀãèŒã 07 12 2011 07.12.2011 Experience A Management graduate from the ‚ã¶ãì¼ãÌã ¾ãî.‡ãñŠ ½ãò ÌãããäÌãÇ㊠ãäºã•ã¶ãñÔã ԇãîŠÊã ãäÌãÍÌããäÌã²ããÊã¾ã University of Warwick Business School Ôãñ ¹ãƺ㶣ã¶ã Ô¶ãã¦ã‡ãŠ ‚ããõÀ ºããä½ãÄØãÖã½ã, ¾ãî.‡ãñŠ ‡ãñŠ in UK and a diploma holder in Industrial †Ô›¶ã ãäÌãÍÌããäÌã²ããÊã¾ã Ôãñ ‚ããõ²ããñãäØã‡ãŠ ¹ãÆÍããÔã¶ã Administration from the University of ½ãò ã䡹Êããñ½ãã ¹ãã¾ããèý ‚ãã¹ã ½ãìÁØã¹¹ãã ØãÆì¹ã Ôãñ •ãì¡ñ Aston, Birmingham, UK. He is Öö •ããñ †‡ãŠ ãäºã•ã¶ãñÔã ÔãâØ㟶ã Öõ ¦ã©ã㠃Ôã‡ãŠã ¹ãÆ£ãã¶ã associated with the Murugappa group, ‡ãŠã¾ããÃÊã¾ã Þãñ¸ãõ ½ãò Öõý ƒÔã Ôã½ãîÖ ‡ãŠã ¹ãƽãìŒã a business conglomerate ‡ãŠã¾ãÃàãñ¨ã ‡ãŠãÀãñºããÀ ‡ãñŠ ãäÌããä¼ã¸ã àãñ¨ã •ãõÔãñ headquartered in Chennai, with ƒâ•ããèãä¶ã¾ããäÀâØã, ‚ãºãÆñãäÔãÌÔã, ãäÌ㦦ã, Ôãã½ã㶾㠺ããè½ãã, interests in diverse areas of business including Engineering, Abrasives, Ôããƒãä‡ãŠÊÔã, ÍãìØãÀ, ¹ãŠã½ãà ƒ¶¹ãì›áÔã, „ÌãÃÀ‡ãŠ, Finance, General Insurance, Cycles, ÌãðàããÀãñ¹ã¥ã, •ãõÌ㠄¦¹ã㪠‚ããõÀ ¶¾ãî›ÈãÔ¾ãîã䛇ãŠÊÔã Sugar, Farm Inputs, Fertilizers, Öõý Ñããè ÌãñÊÊã¾ã¶ã ƒÃ‚ããƒÃ¡ãè ¹ãõÀãè (ƒã䥡¾ãã) Plantations, Bio-products and ãäÊããä½ã›ñ¡ ‚ããõÀ ‡ãŠãñÀ½ãâ¡Êã ¹ãŠãä›ÃÊãフãÔãà Nutraceuticals. Shri Vellayan is the ãäÊããä½ã›ñ¡ ¶ãã½ã‡ãŠ ªãñ ÔããÌãÕããä¶ã‡ãŠ àãñ¨ã ‡ãŠãè ‡ã⊹ããä¶ã¾ããò Chairman of two Public Limited ‡ãñŠ ‚㣾ãàã Öö ý ƒÔã‡ãñŠ ‚ãÊããÌã㠂ãã¹ã ‚ã¶ãñ‡ãŠ Companies viz. EID Parry (India) ¹ãÆãä¦ããäӟ¦ã ÔããÌãÕããä¶ã‡ãŠ ãäÊããä½ã›ñ¡ ‡ã⊹ããä¶ã¾ããò ‡ãñŠ Limited and Coromandel International ½ãâ¡Êã ½ãò ¼ããè ‡ãŠã¾ãÃÀ¦ã Ööý Limited and is also on the Board of several reputed Public Limited companies.

65 Ñããè ÌãñÊÊã¾ã¶ã ªãäàã¥ã ¼ããÀ¦ããè¾ã Þãõ½ºãÀ ‚ããù¹ãŠ ‡ãŠã½ãÔãà Shri Vellayan is the President for ‚ããõÀ ƒâ¡Ô›Èãè ‡ãñŠ ‚㣾ãàã Öö ý ‚ãã¹ã ãä¹ãŠ‡ã‹‡ãŠãè, Southern Indian Chamber of ãäªÊÊããè †Ìã⠹㊛ãêÊããƒû•ãÀ †ÔããñãäÔã†Íã¶ã ‚ããù¹ãŠ Commerce & Industry and a member ƒâã䡾ã㠇ãñŠ ‡ãŠã¾ãùããÊã‡ãŠ Ôããä½ããä¦ã ‡ãñŠ ÔãªÔ¾ã Öõâý of the Executive Committee of FICCI, Delhi and The Fertiliser Association of India. ‚ãヂããñºããè ½ãò Íãñ¾ãÀ£ãããäÀ¦ãã 100 Íãñ¾ãÀ Shareholding in IOB 100 shares ‚㶾ã ãä¶ãªñÍã‡ãŠ¦ã㠃ÂããƒÃ¡ãè ¹ãõÀãè (ƒã䥡¾ãã) ãäÊããä½ã›ñ¡ Other Directorships EID Parry (India) Limited ‡ãŠãñÀ½ãâ¡Ê㠃â›À¶ãñÍãÊã¶ã ãäÊã. Coromandel International Limited ÞããñÊã½ãâ¡Êã½ã †½ã †Ô㠕ã¶ãÀÊ㠃â;ãîÀòÔ㠇ã⊹ã¶ããè ãäÊããä½ã›ñ¡ Cholamandalam MS General Insurance Co. Ltd. ‡ãŠ¶ããñãäÀ¾ã㠇ãõŠãä½ã‡ãŠÊÔ㠆¥¡ ƒâ¡Ô›Èãè•ã ãäÊããä½ã›ñ¡ Kanoria Chemicals & Industries Limited ƒã䥡¾ã¶ã ¹ããññ›ãÍã ãäÊããä½ã›ñ¡ Indian Potash Limited Àãñ‡ãŠã ºãã©ã½㠹ãÆãñ¡ñ‡ã‹›áÔã ¹ãÆãƒÌãñ› ãäÊã. Roca Bathroom Products Private Limited ãäÔãʇãŠÀãñ¡ ÍãìØãÀ ¹ãÆãƒÌãñ› ãäÊããä½ã›ñ¡ Silkroad Sugar Private Limited ¹ãõÀãè ƒ¶¹ãƊãԛȇã‹ÞãÀ ‡ã⊹ã¶ããè ¹ãÆãƒÌãñ› ãäÊããä½ã›ñ¡ Parry Infrastructure Company Private ãä¶ããä½ã¦ãã ÔããñʾãîÍã¶Ôã ¹ãÆãƒÌãñ› ãäÊããä½ã›ñ¡ Limited Nimita Solutions Private Limited ¹ãŠãñԇãŠÀ ¹ãÆãƒÌãñ› ãäÊããä½ã›ñ¡, •ããñÖ¸ãñÔãºãØãÃ, ªãäàã¥ã ‚ããä¹ãƊ‡ãŠã Foskor Private Limited, Johannesburg, South Africa Ôãã膹㊆Êã ½ããõãäÀÍãÔã ãäÊããä½ã›ñ¡ CFL Mauritius Limited ¹ãõÀãè ‚ã½ãñãäÀ‡ãŠã ƒâ‡ãŠ., ¾ãî†ÔㆠParry America Inc. USA

66 ¦ããÀ /Telegram : INDOSEAS ›ñÊããè¹ãŠãñ¶ã/Telephone : 28519491, 28415702 ƒÃ-½ãñÊã/E-Mail : [email protected] ¹ãõŠ‡ã‹Ôã/Fax : 044-28523372/28585675

ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ Indian Overseas Bank ‡ãñŠ¶³ãè¾ã ‡ãŠã¾ããÃÊã¾ã, ¹ããñ.ºããù. ¶ãâ.3765, 763, ‚㥥ãã ÔããÊãõ, Þãñ¶¶ãõ 600 002 Central Office: P.B.No.: 3765, 763, Anna Salai, Chennai 600 002

ÜããñÓã¥ãã DECLARATION ƒÔã ºãã¦ã ‡ãŠãè ¹ãìãäӛ ‡ãŠãè •ãã¦ããè Öõ ãä‡ãŠ ºãö‡ãŠ ¶ãñ ½ãâ¡Ê㠇ãñŠ This is to confirm that the Bank has laid down Ôã¼ããè ÔãªÔ¾ããò ‚ããõÀ ºãö‡ãŠ ‡ãñŠ ÌããäÀӟ ¹ãƺãâ£ã¶ã (¾ãã¶ããè ½ãÖã a Code of Conduct for all the Board Members and Senior Management (ie. General ¹ãƺãâ£ã‡ãŠãò) ‡ãñŠ ãäÊㆠ‚ããÞããÀ ÔãâãäÖ¦ãã ãä¶ã£ããÃãäÀ¦ã ‡ãŠãè Öõ ‚ããõÀ Managers) of the Bank and the said code is ƒÔãñ ºãö‡ãŠ ‡ãñŠ ÌãñºãÔãホ ¹ãÀ ¡ãÊã ã䪾ãã Øã¾ãã Öõ ý ½ãâ¡Êã posted on the website of the Bank. The Board ‡ãñŠ ÔãªÔ¾ããò ‚ããõÀ ÌããäÀӟ ¹ãƺãâ£ã¶ã ¶ãñ ‚ããÞããÀ ÔãâãäÖ¦ã㠇ãŠã Members and Senior Management have ‚ã¶ãì¹ããÊã¶ã ‡ãŠÀ¶ãñ ‡ãŠãè ¹ãìãäӛ ‡ãŠãè Öõ ý affirmed compliance with the Code of Conduct.

‡ãðŠ¦ãñ ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ For Indian Overseas Bank

(†Ôã.†. ¼ã›) (S. A. Bhat) ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ Chairman and Managing Director

67 ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ Indian Overseas Bank ‡ãòŠ³ãè¾ã ‡ãŠã¾ããÃÊã¾ã,763,‚㥥ãã ÔããÊãõ,Þãñ¸ãõ- 600 002 Central Office : 763, Anna Salai, Chennai - 600 002

29 ‚ã¹ãÆõÊã 2010 29th April 2010 ãä¶ãªñÍã‡ãŠ ½ãâ¡Êã THE BOARD OF DIRECTORS ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ INDIAN OVERSEAS BANK 31 03 2010 ‡ãŠãñ Ôã½ã㹦ã 12 ½ãÖãè¶ããò ‡ãñŠ ãäÊㆠºãö‡ãŠ ‡ãñŠ ãäÌ㦦ããè¾ã ãäÌãÌãÀ¥ã Financial Statements of the Bank for the 12 months ended 31.03.2010-Clause 49-V of the Listing Agreement with ԛãù‡ãŠ †‡ã‹ÔÞãò•ããò ‡ãñŠ Ôãã©ã ÔãîÞããèºã® ‡ãŠÀãÀ ‡ãŠã Œã¥¡ 49-V ÔããèƒÃ‚ããñ the Stock Exchanges - CEO/CFO Certification Ôãã膹㊂ããñ ‡ãŠã ¹ãƽãã¥ããè‡ãŠÀ¥ã In terms of Clause 49 of the Listing Agreement, we certify ÔãîÞããèºã® ‡ãŠÀãÀ ‡ãñŠ Œã¥¡ 49 ‡ãñŠ ‚ã¶ãìÔããÀ ֽ㠹ãƽãããä¥ã¦ã ‡ãŠÀ¦ãñ Öö ãä‡ãŠ: that: ‡ãŠ Ö½ããÀãè •ãã¶ã‡ãŠãÀãè ‚ããõÀ ãäÌãÍÌããÔ㠇ãñŠ ‚ã¶ãìÔããÀ Ö½ã¶ãñ „‡ã‹¦ã ÌãÓãà ‡ãñŠ a. We have reviewed financial statements and the cash ãäÊㆠãäÌ㦦ããè¾ã ãäÌãÌãÀ¥ããò ‚ããõÀ ¶ã‡ãŠª ¹ãÆÌããÖ ãäÌãÌãÀ¥ã ‡ãŠãè Ôã½ããèàãã flow statement for the year and to the best of our ‡ãŠãè Öõ : knowledge and belief : i. These statements do not contain any materially i. ƒ¶ã ãäÌãÌãÀ¥ããò ½ãò ‡ãŠãñƒÃ ¼ããè ãäÌãÌãÀ¥ã ãäÌãÓã¾ã ‡ãŠãè Òãäӛ Ôãñ ØãÊã¦ã untrue statement or omit any material fact or ¶ãÖãé Öõ ¾ã㠃¶ã½ãò ‡ãŠãñƒÃ ¼ããè ¦ã©¾ã œãñü¡ã ¶ãÖãé Øã¾ãã Öõ ¾ãã ¼ãƽã contain statements that might be misleading; ¹ãõªã ‡ãŠÀ¶ãñÌããÊãñ º¾ããñÀñ Íãããä½ãÊã ¶ãÖãé Öö ; ii. These statements together present a true and ii. ¾ãñ Ôã¼ããè ãäÌãÌãÀ¥ã ºãö‡ãŠ ‡ãñŠ ãä‰ãŠ¾ãã‡ãŠÊãã¹ããò ¹ãÀ Ô㦾㠂ããõÀ ÔãÖãè fair view of the Bank’s affairs and are in ãäÔ©ããä¦ã ¹ãÆÔ¦ãì¦ã ‡ãŠÀ¦ãñ Öö ‚ããõÀ ¾ãñ Ìã¦ãýãã¶ã ÊãñŒãã‡ãŠÀ¥ã ½ãã¶ã‡ãŠãò, compliance with existing accounting standards, ¹ãƼããÌããè ‡ãŠã¶ãî¶ããò ‚ããõÀ ãäÌããä¶ã¾ã½ããò ‡ãñŠ ‚ã¶ãìÔããÀ Öö ý applicable laws and regulations. Œã Ö½ããÀãè •ãã¶ã‡ãŠãÀãè †Ìãâ ãäÌãÍÌããÔ㠇ãñŠ ‚ã¶ãìÔããÀ ºãö‡ãŠ ¶ãñ ÌãÓãà ‡ãñŠ ªãõÀã¶ã b. There are, to the best of our knowledge and belief, no transactions entered into by the Bank during †ñÔãñ ‡ãŠãñƒÃ Êãñ¶ãªñ¶ã ¶ãÖãé ãä‡ãŠ† Öö •ããñ £ããñŒãã¹ãî¥ãÃ, ØãõÀ‡ãŠã¶ãî¶ããè Öãò ¾ãã the year which are fraudulent, illegal or violative of ºãö‡ãŠ ‡ãŠãè ‚ããÞããÀ ÔãâãäÖ¦ã㠇ãŠã „ÊÊãâÜã¶ã ‡ãŠÀ¦ãñ Öãò ý the Bank’s Code of Conduct. Øã Ö½ã ãäÌ㦦ããè¾ã ãäÀ¹ããñãä›ÄØ㠇ãñŠ ãäÊㆠ‚ããâ¦ããäÀ‡ãŠ ãä¶ã¾ãâ¨ã¥ã Ô©ãããä¹ã¦ã ‡ãŠÀ¶ãñ c. We accept responsibility for establishing and ‚ããõÀ ºã¶ãㆠÀŒã¶ãñ ‡ãŠãè ãä•ã½½ãñªãÀãè Êãñ¦ãñ Öö ¦ã©ãã Ö½ã¶ãñ ãäÌ㦦ããè¾ã maintaining internal controls for financial reporting ãäÀ¹ããñãä›ÄØã Ôãñ Ôãâºãâãä£ã¦ã ºãö‡ãŠ ‡ãŠãè ‚ããâ¦ããäÀ‡ãŠ ãä¶ã¾ãâ¨ã¥ã ¹ãÆ¥ããÊããè ‡ãŠãè and that we have evaluated the effectiveness of ¹ãƼããÌã‡ãŠããäÀ¦ã㠇ãŠã ½ãîʾããâ‡ãŠ¶ã ãä‡ãŠ¾ãã Öõ ‚ããõÀ ƒ¶ã ‚ããâ¦ããäÀ‡ãŠ ãä¶ã¾ãâ¨ã¥ããò internal control systems of the Bank pertaining to ‡ãŠãè ÀÞã¶ãã ¾ãã ¹ããäÀÞããÊã¶ã ½ãò ¾ããäª ‡ãŠãñƒÃ ‡ãŠãä½ã¾ããâ Öãò, ãä•ãÔã‡ãŠãè financial reporting and we have disclosed to the auditors and the Audit Committee, deficiencies in •ãã¶ã‡ãŠãÀãè Ö½ãò Öõ ‚ããõÀ „¶Öò Ôãì£ããÀ¶ãñ ‡ãñŠ Ôãâºãâ£ã ½ãò Ö½ããÀñ ´ãÀã ãä‡ãŠ† the design or operation of such internal controls, if Øㆠ„¹ãã¾ããò ¾ãã ¹ãÆÔ¦ãããäÌã¦ã „¹ãã¾ããò ‡ãŠãè •ãã¶ã‡ãŠãÀãè Ö½ã¶ãñ ÊãñŒãã¹ãÀãèàã‡ãŠãò any, of which we are aware and the steps we have ‚ããõÀ ÊãñŒãã¹ãÀãèàãã Ôããä½ããä¦ã ‡ãŠãñ ªãè Öõ ý taken or propose to take to rectify these deficiencies. Üã Ö½ã¶ãñ ÊãñŒãã¹ãÀãèàã‡ãŠãò ‚ããõÀ ÊãñŒãã¹ãÀãèàãã Ôããä½ããä¦ã ‡ãŠãñ ãä¶ã½¶ããäÊããäŒã¦ã d. We have indicated to the auditors and the Audit •ãã¶ã‡ãŠãÀãè ªãè Öõ : Committee i ÌãÓãà ‡ãñŠ ªãõÀã¶ã ãäÌ㦦ããè¾ã ãäÀ¹ããñãä›ÄØã ¹ãÀ ‚ããâ¦ããäÀ‡ãŠ ãä¶ã¾ãâ¨ã¥ã ½ãò i. Significant changes in internal control over ½ãÖ¦Ìã¹ãî¥ãà ¹ããäÀÌã¦ãöã ãä‡ãŠ¾ã㠕ãã¶ãã, financial reporting during the year; ii. Significant changes in accounting policies during ii ÌãÓãà ‡ãñŠ ªãõÀã¶ã ÊãñŒãã‡ãŠÀ¥ã ¶ããèãä¦ã¾ããò ½ãò Öì† ½ãÖ¦Ìã¹ãî¥ãà ¹ããäÀÌã¦ãöã the year and the same have been disclosed in ‚ããõÀ „¶Öò ãäÌ㦦ããè¾ã ãäÌãÌãÀ¥ã ‡ãñŠ ¶ããñ›áÔã ½ãò ¹ãƇ㊛ ãä‡ãŠ¾ãã Øã¾ãã the notes to the financial statements; and ‚ããõÀ iii. Instances of significant fraud of which we have iii ½ãÖ¦Ìã¹ãî¥ãà £ããñŒãã£ããäü¡¾ããò ‡ãŠãè †ñÔããè Ü㛶ãã†â ãä•ã¶ã‡ãŠãè Ö½ãò become aware and the involvement therein, if •ãã¶ã‡ãŠãÀãè Öõ ‚ããõÀ ãä•ã¶ã½ãò ¹ãƺãâ£ã¶ã ¾ã㠇㊽ãÃÞããÀãè ¾ããäª ‡ãŠãñƒÃ any, of the management or an employee having Íãããä½ãÊã Öõ •ããñ ãäÌ㦦ããè¾ã ãäÀ¹ããñãä›ÄØã ¹ãÀ ºãö‡ãŠ ‡ãŠãè ‚ã㶦ããäÀ‡ãŠ a significant role in the Bank’s internal control ãä¶ã¾ãâ¨ã¥ã ¹ãÆ¥ããÊããè ½ãò ½ãÖ¦Ìã¹ãî¥ãà ¼ãîãä½ã‡ãŠã ãä¶ã¼ãã¦ãã Öõý system over financial reporting.

(ºããè.†Ôã.‡ãñŠÍãÌã½ãîãä¦ãà ) (†Ôã.† .¼ã›) (B.S. KESHAVA MURTHY) (S.A. BHAT) ½ãÖã ¹ãƺãâ£ã‡ãŠ †Ìãâ Ôãã膹㊂ããñ ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ General Manager & CFO Chairman & Managing Director

68 ‡ãŠã¹ããóÀñ› ØãÌã¶ãó¶Ôã ¹ãÀ ÊãñŒãã AUDITORS’ CERTIFICATE ¹ãÀãèàã‡ãŠãò ‡ãŠã ¹ãƽãã¥ã-¹ã¨ã ON CORPORATE GOVERNANCE To the Shareholders of ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ Indian Overseas Bank Þãñ¸ãõ ‡ãñŠ Íãñ¾ãÀ£ããÀ‡ãŠãñ⠇ãŠãñ Chennai We have examined the compliance of conditions Ö½ã¶ãñ 31.03.2010 ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ‡ãñŠ ãäÊㆠƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã of Corporate Governance by Indian Overseas ºãö‡ãŠ, Þãñ¸ãõ ´ãÀ㠇ãŠã¹ããóÀñ› ØããÌã¶ãó¶Ô㠇ãŠãè Íã¦ããô ‡ãñŠ ‚ã¶ãì¹ããÊã¶ã ‡ãŠã ¹ãÀãèàã¥ã Bank, Chennai for the year ended 31.03.2010, ãä‡ãŠ¾ã㠕ãõÔãã ãä‡ãŠ ԛãù‡ãŠ †‡ã‹ÔãÞãò•ã / †‡ã‹ÔãÞãò•ããò ‡ãñŠ Ôãã©ã ƒã䥡¾ã¶ã ‚ããÌãñÀÔããèû•ã as stipulated in clause 49 of the Listing Agreement of Indian Overseas Bank with stock exchange(s). ºãö‡ãŠ ‡ãñŠ ÔãîÞããèºã® ‡ãŠÀãÀ ‡ãñŠ Œã¥¡ 49 ½ãò ãä¶ã£ããÃãäÀ¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõý The compliance of conditions of Corporate ‡ãŠã¹ããóÀñ› ØãÌã¶ãó¶Ô㠇ãŠãè Íã¦ããô ‡ãŠã ‚ã¶ãì¹ããÊã¶ã ¹ãƺãâ£ã¶ã ‡ãŠãè ãä•ã½½ãñªãÀãè Öõý Governance is the responsibility of the management. Our examination was limited to Ö½ããÀã ¹ãÀãèàã¥ã ‡ãŠã¹ããóÀñ› ¹ãƺãâ£ã¶ã ‡ãŠãè Íã¦ããô ‡ãñŠ ‚ã¶ãì¹ããÊã¶ã ‡ãŠãñ Ôãìãä¶ããäÍÞã¦ã procedures and implementation thereof, adopted ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ ´ãÀ㠂ã¹ã¶ããƒÃ ØãƒÃ ¹ãÆãä‰ãŠ¾ãã‚ããò by Indian Overseas Bank for ensuring the ‚ããõÀ „¶ã‡ãñŠ ‡ãŠã¾ããöÌã¾ã¶ã ¦ã‡ãŠ Ôããèãä½ã¦ã ©ããý ¾ãÖ ¶ã ¦ããñ ÊãñŒãã ¹ãÀãèàãã Öõ ¶ã compliance of the conditions of Corporate Öãè ¾ãÖ ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ ‡ãñŠ ãäÌ㦦ããè¾ã ãäÌãÌãÀ¥ããò ¹ãÀ ‚ããä¼ã½ã¦ã Governance. It is neither an audit nor an expression of opinion on the financial statements ̾ã‡ã‹¦ã ‡ãŠÀ¦ãã Öõý of Indian Overseas Bank.

ºãö‡ãŠ ´ãÀã ÀŒãò ØㆠãäÀ‡ãŠã¡ãô ‚ããõÀ ªÔ¦ããÌãñ•ããò †Ìãâ Ö½ãò ªãè ØãƒÃ ÔãîÞã¶ãã On the basis of records and documents maintained by the Bank, the information provided ‚ããõÀ ã䪆 ØㆠԹãӛãè‡ãŠÀ¥ã ‡ãñŠ ‚ãã£ããÀ ¹ãÀ, ֽ㠹ãƽãããä¥ã¦ã ‡ãŠÀ¦ãñ Öö ãä‡ãŠ to us and according to the explanations given ºãö‡ãŠ ´ãÀ㠄‡ã‹¦ã ÔãîÞããèºã® ‡ãŠÀãÀ ½ãò ãä¶ã£ããÃãäÀ¦ã ‡ãŠã¹ããóÀñ› ØããÌã¶ãó¶Ôã Ôãâºãâ£ããè to us, we certify that the Bank has complied Íã¦ããô ‡ãŠã ‚ã¶ãì¹ããÊã¶ã ãä‡ãŠ¾ãã Øã¾ãã Öõý with the conditions of Corporate Governance as stipulated in the above mentioned Listing Agreement. Ö½ã ÔãîãäÞã¦ã ‡ãŠÀ¦ãñ Öö ãä‡ãŠ Àãä•ãԛÈãÀ ‚ããõÀ Íãñ¾ãÀ ‚ãâ¦ãÀ¥ã †•ãñ¶›ãò ´ãÀã ÀŒãñ ØㆠãäÀ‡ãŠã¡ãô ‡ãñŠ ‚ã¶ãìÔããÀ ºãö‡ãŠ ‡ãñŠ ãäÌãÁ® ãä‡ãŠÔããè ¼ããè ãä¶ãÌãñÍã‡ãŠ ‡ãŠãè ‡ãŠãñƒÃ We state that no investor grievance is pending for a period exceeding one month against the ¼ããè ãäÍã‡ãŠã¾ã¦ã †‡ãŠ ½ãÖãè¶ãñ Ôãñ •¾ããªã ‚ãÌããä£ã ‡ãñŠ ãäÊㆠÊãâãäºã¦ã ¶ãÖãé Öõý Bank as per the records maintained by the Registrar and Share Transfer Agent. ‚ããØãñ Ö½ã ÔãîãäÞã¦ã ‡ãŠÀ¶ãã ÞããÖ¦ãñ Öö ãä‡ãŠ †ñÔã㠂ã¶ãì¹ããÊã¶ã ¶ã ¦ããñ ºãö‡ãŠ ‡ãŠãè We further state that such compliance is neither ¼ããÌããè ̾ãÌãÖã¾ãæã㠇ãŠã ‚ããÍÌããÔã¶ã Öõ ¶ã Öãè ¹ãƺãâ£ã¶ã ‡ãŠãè ªàã¦ãã ¾ãã an assurance as to the future viability of the Bank ¹ãƼããÌã㦽ã‡ãŠ¦ã㠇ãŠã, ãä•ãÔãÔãñ ãä‡ãŠ ¹ãƺãâ£ã¶ã ¶ãñ ºãö‡ãŠ ‡ãñŠ ‡ãŠã¾ãÇãŠÊãã¹ã Ôãâ¹ã¸ã nor the efficiency or effectiveness with which the ãä‡ãŠ† Ööý management has conducted the affairs of the Bank.

‡ãðŠ¦ãñ ‚ããñ½ã ‚ãØãÆÌããÊ㠆ñ¥¡ ‡ãŠâ. ‡ãðŠ¦ãñ Ìã½ããà †ñ¥¡ Ìã½ããà ‡ãðŠ¦ãñ ¹ããè‡ãñŠ†¹ãŠ Ñããè£ãÀ †ñ¥¡ Ôãâ¦ãã¶ã½ã For Om Agarwal & Co For Varma & Varma For PKF Sridhar & Santhanam Ôã¶ãªãè ÊãñŒãã‡ãŠãÀØã¥ã Ôã¶ãªãè ÊãñŒãã‡ãŠãÀØã¥ã Ôã¶ãªãè ÊãñŒãã‡ãŠãÀØã¥ã Chartered Accountants Chartered Accountants Chartered Accountants (‡ãñŠ.Ôããè.Øã칦ãã) (‡ãñŠ.†½ã.Ôãì‡ã슽ããÀ¶ã) (›ãè.Ìããè.ºããÊãÔãìºãƽããä¥ã¾ã¶ã) (K. C. Gupta) (K. M. Sukumaran)(T.V.Balasubramanian) Ôãã¢ãñªãÀ Ôãã¢ãñªãÀ Ôãã¢ãñªãÀ Partner Partner Partner Ôã.Ôãâ.072936 Ôã.Ôãâ.015707 Ôã.Ôãâ.027251 M.No. 072936 M.No. 015707 M.No. 027251 †¹ãŠ‚ããÀ†¶ã Ôãâ.000971Ôããè †¹ãŠ‚ããÀ†¶ã Ôãâ. 004532†Ô㠆¹ãŠ‚ããÀ†¶ã 003990†Ôã FRN 000971C FRN 004532S FRN 003990S

‡ãðŠ¦ãñ ¼ããԇãŠÀ¶ã †ñ¥¡ À½ãñÍ㠇ãðŠ¦ãñ †½ã. ¼ããԇãŠÀ ÀãÌ㠆ñ¥¡ ‡ãâŠ. †Ô㠇ãðŠ¦ãñ ãä½ã¦¦ãÊã Øã칦ã㠆ñ¥¡ ‡ãâŠ. For Bhaskaran & Ramesh For M. Bhaskara Rao & Co For Mittal Gupta & Co Ôã¶ãªãè ÊãñŒãã‡ãŠãÀØã¥ã Ôã¶ãªãè ÊãñŒãã‡ãŠãÀØã¥ã Ôã¶ãªãè ÊãñŒãã‡ãŠãÀØã¥ã Chartered Accountants Chartered Accountants Chartered Accountants (•ãñ.ÀâØãÀã•ã¶ã) (‡ãñŠ.‚ããÀ.À¦¶ã½ã) (ºããè.†Êã.Øã칦ãã) (J. Rangharajan) (K. R. Ratnam)(B. L. Gupta) Ôãã¢ãñªãÀ Ôãã¢ãñªãÀ Ôãã¢ãñªãÀ Partner Partner Partner Ôã.Ôãâ.024327 Ôã.Ôãâ.002316 Ôã.Ôãâ.073794 M.No. 24327 M.No. 002316 M.No. 073794 †¹ãŠ‚ããÀ†¶ã 000462†Ô㠆¹ãŠ‚ããÀ†¶ã 000459†Ô㠆¹ãŠ‚ããÀ†¶ã 001874Ôããè FRN 000462S FRN 000459S FRN 001874C

Ô©ãã¶ã : Þãñ¸ãõ Place: Chennai ã䪶ããâ‡ãŠ: 29.04.2010 Date: 29.04.2010

69 31.3.2010 ‡ãŠãè ãäÔ©ããä¦ã ‡ãñŠ ‚ã¶ãìÔããÀ ¦ãìÊã¶ã-¹ã¨ã BALANCE SHEET AS AT 31.03.2010 (Á.‘000 ½ãò) (Rs. in ‘000s) ‚ã¶ãìÔãîãäÞã¾ããú 31.03.2010 31.03.2009 SCHEDULES 31.03.2010 31.03.2009

ªñ¾ã¦ãã†ú LIABILITIES ¹ãîú•ããè Capital 01 544 80 00 544 80 00 ‚ããÀãäàããä¦ã¾ããú ‚ããõÀ ‚ããä£ãÍãñÓã Reserves and Surplus 02 6979 78 31 6606 16 33 •ã½ãã ÀããäÍã¾ããú Deposits 03 110794 71 10 100115 88 96 „£ããÀ Borrowings 04 8982 20 19 10494 58 24 ‚㶾㠪ñ¾ã¦ãã†úú Ìã ¹ãÆãÌã£ãã¶ã Other Liabilities & Provisions 05 3794 89 98 3311 96 34 •ããñü¡ TOTAL 131096 39 58 121073 39 87

‚ãããäÔ¦ã¾ããú ASSETS ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ¾ãÖãú ¶ã‡ãŠªãè Cash & Balances with ‚ããõÀ ‚ããä¦ãÍãñÓã Reserve Bank of India 06 7666 44 72 5940 44 42 ºãö‡ãŠãò ½ãò ‚ããä¦ãÍãñÓ㠂ããõÀ ½ããúØã ¹ãÀ ¦ã©ãã Balances with Banks ‚ãʹã ÔãîÞã¶ãã ¹ãÀ ¹ãÆ㹦㠣ã¶ã and Money at Call and Short Notice 07 2158 19 35 4981 45 75 ãäÌããä¶ã£ãã¶ã Investments 08 37650 56 27 31215 43 87 ‚ããäØãƽã Advances 09 79003 92 57 74885 27 26 ãäÔ©ãÀ ‚ãããäÔ¦ã¾ããú Fixed Assets 10 1699 56 55 1709 85 96 ‚㶾㠂ãããäÔ¦ã¾ããú Other Assets 11 2917 70 12 2340 92 61 •ããñü¡ TOTAL 131096 39 58 121073 39 87

Ôã½ãããäÑã¦ã ªñ¾ã¦ãã†ú Contingent Liabilities 12 39340 50 50 38379 26 22 ÔãâØãÆ֥㠇ãñŠ ãäÊㆠãäºãÊã Bills for Collection 3205 14 84 3505 07 48 ½ãîÊã ÊãñŒãã‡ãŠÀ¥ã ¶ããèãä¦ã¾ããú Significant Accounting Policies 17 ÊãñŒããò ¹ãÀ ã䛹¹ããä¥ã¾ããú Notes on Accounts 18

‚ã¶ãìÔãîãäÞã¾ããú ¦ãìÊã¶ã-¹ã¨ã ‡ãŠã †‡ãŠ ‚ããä¼ã¸ã ‚ãâØã Öõ ý Schedules Form Part of the Balance Sheet

†Ôã.†.¼ã› S. A. BHAT ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ Chairman & Managing Director ¶ãî¹ãìÀ ãä½ã¨ãã NUPUR MITRA ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ Executive Director Ôã½ã ãä¦ããä©ã ‡ãŠãè Ö½ããÀãè ãäÀ¹ããñ›Ã ‡ãñŠ û•ããäÀ† VIDE OUR REPORT OF EVEN DATE

ãäÞã¨ãã Þãâ³½ããõÊããèÍÌãÀ¶ã Chitra Chandramouliswaran ‚ããñ½ã ‚ãØãÆÌããÊ㠆ñ¥¡ ‡ãâŠ. OM AGARWAL & CO ¼ããԇãŠÀ¶ã †ñ¥¡ À½ãñÍã BHASKARAN & RAMESH ‡ãñŠ. ‚ãã¶ã⪠‡ã슽ããÀ K. Ananda Kumar ‡ãñŠ.Ôããè. Øã칦ãã K.C. GUPTA •ãñ ÀâØãÀã•ã¶ã J.RANGHARAJAN ºããè.Ìããè.‚ã¹¹ãã ÀãÌã B.V. Appa Rao Ôãã¢ãñªãÀ Partner Ôãã¢ãñªãÀ Partner ÔãîÀ•ã Œã¨ããè Sooraj Khatri Ôã.Ôãâ.072936 M.No. 072936 Ôã.Ôãâ.024327 M.No. 024327 †¹ãŠ‚ããÀ†¶ã 000971Ôããè †¹ãŠ‚ããÀ†¶ã 000462†Ô㠆.‡ãñŠ.¼ããØãÃÌã A.K. Bhargava FRN 000971C FRN 000462S †.ÌãñÊÊã¾ã¶ã A. Vellayan Ìã½ããà †ñ¥¡ Ìã½ããà VARMA & VARMA †½ã. ¼ããԇãŠÀ ÀãÌ㠆ñ¥¡ ‡ãâŠ. M. BHASKARA RAO & CO ‡ãñŠ.†½ã.Ôãì‡ã슽ããÀ¶ã KM SUKUMARAN ‡ãñŠ.‚ããÀ.À¦¶ã½ã K.R. RATNAM Ôãã¢ãñªãÀ Partner Ôãã¢ãñªãÀ Partner Ôã.Ôãâ.015707 M.No. 015707 Ôã.Ôãâ.002316 M.No. 002316 †¹ãŠ‚ããÀ†¶ã 004532†Ôã FRN 004532S †¹ãŠ‚ããÀ†¶ã 000459†Ôã FRN 000459S ãä¶ãªñÍã‡ãŠØã¥ã DIRECTORS ¹ããè‡ãñŠ†¹ãŠ Ñããè£ãÀ †ñ¥¡ Ô㶦ãã¶ã½ã PKF SRIDHAR & SANTHANAM ãä½ã¦¦ãÊã Øã칦ã㠆ñ¥¡ ‡ãâŠ. MITTAL GUPTA & CO ›ãè.Ìããè.ºããÊãÔãìºãƽããä¥ã¾ã¶ã T.V. BALASUBRAMANIAN ºããè.†Êã.Øã칦ãã B.L. GUPTA Ôãã¢ãñªãÀ Partner Ôãã¢ãñªãÀ Partner Ôã.Ôãâ.027251 M.No. 027251 Ôã.Ôãâ.073794 M.No. 073794 Þãñ¸ãõ Chennai †¹ãŠ‚ããÀ†¶ã 003990†Ôã FRN 003990S †¹ãŠ‚ããÀ†¶ã 001874Ôããè FRN 001874C 29.04.2010 29.04.2010 Ôã¶ãªãè ÊãñŒãã‡ãŠãÀØã¥ã CHARTERED ACCOUNTANTS

70 31.3.2010 ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ‡ãñŠ ãäÊㆠÊãã¼ã Ìã Öããä¶ã Œãã¦ãã PROFIT & LOSS ACCOUNT FOR THE YEAR ENDED 31.03.2010 (Á.‘000 ½ãò) (Rs. in ‘000s) ‚ã¶ãìÔãîãäÞã¾ããú 31.03.2010 31.03.2009 ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà YEAR ENDED YEAR ENDED SCHEDULES 31.03.2010 31.03.2009 ‚ãã¾ã INCOME ‚ããä•ãæ㠺¾ãã•ã Interest earned 13 10245 77 35 9641 40 33 ‚㶾㠂ãã¾ã Other income 14 1143 25 37 1595 83 08 •ããñü¡ TOTAL 11389 02 72 11237 23 41

̾ã¾ã EXPENDITURE ̾ã¾ã ãä‡ãŠ¾ãã Øã¾ãã º¾ãã•ã Interest expended 15 7077 90 95 6771 81 35 ¹ããäÀÞããÊã¶ã ̾ã¾ã Operating expenses 16 2466 49 71 1941 69 43 ¹ãÆãÌã£ãã¶ã ‚ããõÀ ‚ãã‡ãŠãäÔ½ã‡ãŠ ̾ã¾ã ( ãä¶ãÌãÊã ) Provisions & Contingencies (Net) 1137 65 91 1197 93 47 •ããñü¡ TOTAL 10682 06 57 9911 44 25

Êãã¼ã / Öããä¶ã PROFIT / LOSS ÌãÓãà ‡ãñŠ ãäÊㆠãä¶ãÌãÊã Êãã¼ã Net Profit for the year 706 96 15 1325 79 16 ‚ãØãƶããè¦ã Êãã¼ã/Öããä¶ã Profit /Loss brought forward 0 0 •ããñü¡ TOTAL 706 96 15 1325 79 16 ãäÌããä¶ã¾ããñ•ã¶ã APPROPRIATIONS ÔããâãäÌããä£ã‡ãŠ ‚ããÀãäàã¦ã ãä¶ããä£ã ½ãò ‚ãâ¦ãÀ¥ã Transfer to Statutory Reserve 212 10 00 398 00 00 Àã•ãÔÌ㠆Ìã⠂㶾㠂ããÀãäàã¦ã ãä¶ããä£ã¾ããò ½ãò ‚ãâ¦ãÀ¥ã Transfer to Revenue and Other Reserves 127 59 03 9 66 34 ¹ãîú•ããè ‚ããÀãäàã¦ã ãä¶ããä£ã ½ãò ‚ãâ¦ãÀ¥ã Transfer to Capital Reserve 144 18 51 606 30 33 ãäÌãÍãñÓ㠂ããÀãäàã¦ã ãä¶ããä£ã ½ãò ‚ãâ¦ãÀ¥ã Transfer to Special Reserve 0 25 00 00 ¹ãÆÔ¦ãããäÌã¦ã ‚ãâãä¦ã½ã Êãã¼ããâÍã (Êãã¼ããâÍ㠇ãŠÀ ÔããäÖ¦ã) Proposed Final Dividend (including Dividend Tax) 223 08 61 286 82 49 ¦ãìÊã¶ã-¹ã¨ã ½ãò ‚ãØãÆñãäÓã¦ã Balance amount of profit carried over to Êãã¼ã ‡ãŠãè ÍãñÓã ÀããäÍã Balance Sheet 0 0 •ããñü¡ TOTAL 706 96 15 1325 79 16 ¹ãÆãä¦ã Íãñ¾ãÀ ‚ã•ãöã (Á.) Earning per share (Rs.) 12.98 24.34

‚ã¶ãìÔãîãäÞã¾ããú Êãã¼ã-Öããä¶ã Œãã¦ãñ ‡ãñŠ ‚ããä¼ã¸ã ‚ãâØã Öõâý Schedules Form Part of the Profit & Loss Account

†Ôã.†.¼ã› S. A. BHAT ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ Chairman & Managing Director ¶ãî¹ãìÀ ãä½ã¨ãã NUPUR MITRA Ôã½ã ãä¦ããä©ã ‡ãŠãè Ö½ããÀãè ãäÀ¹ããñ›Ã ‡ãñŠ û•ããäÀ† Executive Director ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ VIDE OUR REPORT OF EVEN DATE

ãäÞã¨ãã Þãâ³½ããõÊããèÍÌãÀ¶ã Chitra Chandramouliswaran ‚ããñ½ã ‚ãØãÆÌããÊ㠆ñ¥¡ ‡ãâŠ. OM AGARWAL & CO ¼ããԇãŠÀ¶ã †ñ¥¡ À½ãñÍã BHASKARAN & RAMESH ‡ãñŠ. ‚ãã¶ã⪠‡ã슽ããÀ K. Ananda Kumar ‡ãñŠ.Ôããè. Øã칦ãã K.C. GUPTA •ãñ ÀâØãÀã•ã¶ã J.RANGHARAJAN ºããè.Ìããè.‚ã¹¹ãã ÀãÌã B.V. Appa Rao Ôãã¢ãñªãÀ Partner Ôãã¢ãñªãÀ Partner ÔãîÀ•ã Œã¨ããè Sooraj Khatri Ôã.Ôãâ.072936 M.No. 072936 Ôã.Ôãâ.024327 M.No. 024327 †¹ãŠ‚ããÀ†¶ã 000971Ôããè †¹ãŠ‚ããÀ†¶ã 000462†Ô㠆.‡ãñŠ.¼ããØãÃÌã A.K. Bhargava FRN 000971C FRN 000462S †.ÌãñÊÊã¾ã¶ã A. Vellayan Ìã½ããà †ñ¥¡ Ìã½ããà VARMA & VARMA †½ã. ¼ããԇãŠÀ ÀãÌ㠆ñ¥¡ ‡ãâŠ. M. BHASKARA RAO & CO ‡ãñŠ.†½ã.Ôãì‡ã슽ããÀ¶ã KM SUKUMARAN ‡ãñŠ.‚ããÀ.À¦ã¶ã½ã K.R. RATNAM Ôãã¢ãñªãÀ Partner Ôãã¢ãñªãÀ Partner Ôã.Ôãâ.015707 M.No. 015707 Ôã.Ôãâ.002316 M.No. 002316 †¹ãŠ‚ããÀ†¶ã 004532†Ôã FRN 004532S †¹ãŠ‚ããÀ†¶ã 000459†Ôã FRN 000459S ãä¶ãªñÍã‡ãŠØã¥ã DIRECTORS ¹ããè‡ãñŠ†¹ãŠ Ñããè£ãÀ †ñ¥¡ Ô㶦ãã¶ã½ã PKF SRIDHAR & SANTHANAM ãä½ã¦¦ãÊã Øã칦ã㠆ñ¥¡ ‡ãâŠ. MITTAL GUPTA & CO ›ãè.Ìããè.ºããÊãÔãìºãƽããä¥ã¾ã¶ã T.V. BALASUBRAMANIAN ºããè.†Êã.Øã칦ãã B.L. GUPTA Ôãã¢ãñªãÀ Partner Ôãã¢ãñªãÀ Partner Ôã.Ôãâ.027251 M.No. 027251 Ôã.Ôãâ.073794 M.No. 073794 Þãñ¸ãõ Chennai †¹ãŠ‚ããÀ†¶ã 003990†Ôã FRN 003990S †¹ãŠ‚ããÀ†¶ã 001874Ôããè FRN 001874C 29.04.2010 29.04.2010 Ôã¶ãªãè ÊãñŒãã‡ãŠãÀØã¥ã CHARTERED ACCOUNTANTS

71 ‚ã¶ãìÔãîãäÞã¾ããú SCHEDULES (Á.‘000 ½ãò) (Rs. in ‘000s) ‚ã¶ãìÔãîÞããè-1 SCHEDULE - 1 31.03.2010 ¦ã‡ãŠ 31.03.2009 ¦ã‡ãŠ ¹ãîú•ããè CAPITAL As at 31.03.2010 As at 31.03.2009 ¹ãÆããä£ã‡ãðŠ¦ã ¹ãîú•ããè AUTHORISED CAPITAL ¹ãƦ¾ãñ‡ãŠ Á.10/- ‡ãñŠ 300,00,00,000 ƒÃãä‡ã‹Ìã›ãè Íãñ¾ãÀ 300,00,00,000 Equity (Øã¦ã ÌãÓãà ¹ãƦ¾ãñ‡ãŠ Á.10/- ‡ãñŠ 150,00,00,000 ƒÃãä‡ã‹Ìã›ãè Shares of Rs.10/- each Íãñ¾ãÀ) (Previous year 150,00,00,000 equity shares of Rs.10/-each) 3000 00 00 1500 00 00 ãä¶ãØãÃãä½ã¦ã, ‚ããä¼ãª§ã Ìã ¹ãƪ¦¦ã ¹ãîú•ããè ISSUED, SUBSCRIBED & PAID UP CAPITAL ¹ãƦ¾ãñ‡ãŠ Á.10/- ‡ãñŠ 54,48,00,000 ƒÃãä‡ã‹Ìã›ãè Íãñ¾ãÀ 54,48,00,000 Equity Shares of Rs.10/- each (ƒÔã½ãò ¼ããÀ¦ã ÔãÀ‡ãŠãÀ ´ãÀã £ãããäÀ¦ã ¹ãƦ¾ãñ‡ãŠ Á.10/- ‡ãñŠ (Includes 33,36,00,000 shares of Rs.10/- each 33,36,00,000 Íãñ¾ãÀ Íãããä½ãÊã Öõâ) held by Government of India) 544 80 00 544 80 00 ‚ã¶ãìÔãîÞããè-2 SCHEDULE - 2 31.03.2010 ¦ã‡ãŠ 31.03.2009 ¦ã‡ãŠ ‚ããÀãäàããä¦ã¾ããú Ì㠂ããä£ãÍãñÓã RESERVES & SURPLUS As at 31.03.2010 As at 31.03.2009 I. Íãñ¾ãÀ ¹ãÆãèãä½ã¾ã½ã I . SHARE PREMIUM 140 00 00 140 00 00 II. ÔããâãäÌããä£ã‡ãŠ ‚ããÀãäàããä¦ã¾ããú II. STATUTORY RESERVE ‚ã©ãÍãñÓã Opening balance 1919 85 57 1521 85 57 •ããñ¡ò : ¹ããäÀÌã£ãöã Add: Additions 212 10 00 398 00 00 ¾ããñØã -II TOTAL -II 2131 95 57 1919 85 57 III.¹ãîú•ããè ‚ããÀãäàããä¦ã¾ããú III. CAPITAL RESERVE ‚ã. ¹ãì¶ã½ãîÃʾããâ‡ãŠ¶ã ‚ããÀãäàããä¦ã¾ããú A. Revaluation Reserve ‚ã©ãÍãñÓã Opening Balance 1209 56 88 113 97 06 •ããñ¡ò : ¹ããäÀÌã£ãöã Add : Additions 1123 55 41 Üã›ã†ú: ‡ãŠ›ãõãä¦ã¾ããú / ½ãîʾã-ÖÆãÔã* Less: Deductions / Depreciation * 33 96 48 27 95 59 ¾ããñØã-‚ã TOTAL - A 1175 60 40 1209 56 88 ‚ãã. ãä¶ãÌãñÍããò ‡ãŠãè ãäºã‰ãŠãè ¹ãÀ B. On sale of Investments ‚ã©ãÍãñÓã Opening Balance 702 70 67 164 90 74 •ããñü¡ò : ¹ããäÀÌã£ãöã Add: Additions 142 57 77 537 79 93 ¾ããñØã-‚ãã TOTAL - B 845 28 44 702 70 67 ƒ. ‚㶾ã C. Others ‚ã©ãÍãñÓã Opening Balance 146 92 32 78 41 92 •ããñü¡ò : ¹ããäÀÌã£ãöã Add: Additions 1 60 74 68 50 40 ¾ããñØã - ƒ TOTAL - C 148 53 06 146 92 32 ¾ããñØã -III(‚ã,‚ãã,ƒ) TOTAL - III (A,B,C) 2169 41 90 2059 19 87 IV. Àã•ãÔÌã Ì㠂㶾㠂ããÀãäàããä¦ã¾ããú IV. REVENUE & OTHER RESERVES (i) ‚㶾ã Àã•ãÔÌ㠂ããÀãäàããä¦ã¾ããú (i) Other Revenue Reserves ‚ã©ãÍãñÓã Opening Balance 2193 53 55 2171 99 56 •ããñü¡ò : ¹ããäÀÌã£ãöã Add: Additions 129 49 04 21 54 53 Üã›ã†ú: ‡ãŠ›ãõ¦ããè Less: Deduction 2 97 54 ¾ããñØã -(i) TOTAL - (i) 2322 99 62 2193 53 55 (ii) ãäÌãÍãñÓ㠂ããÀãäàããä¦ã¾ããú (ii) Special Reserve ‚ã©ãÍãñÓã Opening balance 126 60 00 101 60 00 •ããñü¡ò : ¹ããäÀÌã£ãöã Add: Additions 0 25 00 00 ¾ããñØã -(ii) TOTAL - (ii) 126 60 00 126 60 00 (iii) ãäÌãªñÍããè ½ãì³ã ¹ããâ¦ãÀ¥ã ‚ããÀãäàããä¦ã ãä¶ããä£ã (iii) Foreign Currency Translation Reserve ‚ã©ãÍãñÓã Opening balance 166 97 34 28 50 06 •ããñü¡ò : ¹ããäÀÌã£ãöã Add : Additions 0 138 47 28 Üã›ã†ú: ‡ãŠ›ãõ¦ããè Less : Deducation 78 16 12 0 ¾ããñØã-(iii) Total - (iii) 88 81 22 166 97 34 ¾ããñØã - IV (i,ii Ìã iii) TOTAL - IV (i, ii & iii) 2538 40 84 2487 10 89 ¾ããñØã (I,II, III Ìã IV ) TOTAL ( I, II , III & IV) 6979 78 31 6606 16 33

* 31.3.2010 ¦ã‡ãŠ ãäÌãªñÍããè ÍããŒãã‚ããò Ôãñ Ôãâºãâãä£ã¦ã ‚ããú‡ãŠ¡ãò ½ãò ¦ã¦‡ãŠãÊããè¶ã ½ãì³ã- ãäÌããä¶ã½ã¾ã ªÀ Ôãñ ãä‡ãŠ† Øㆠ¹ããäÀÌã¦ãöããò ‡ãñŠ ‡ãŠãÀ¥ã Öí† Ôã½ãã¾ããñ•ã¶ã Íãããä½ãÊã Öõ ý * Includes adjustment on account of conversion of figures relating to foreign branches at the rate of exchange as at 31.03.2010

72 ‚ã¶ãìÔãîãäÞã¾ããú (•ããÀãè) SCHEDULES (Contd.) (Á.‘000 ½ãò) (Rs. in ‘000s)

‚ã¶ãìÔãîÞããè-3 SCHEDULE - 3 31.03.2010 ¦ã‡ãŠ 31.03.2009 ¦ã‡ãŠ ãä¶ãàãñ¹ã DEPOSITS As at 31.03.2010 As at 31.03.2009

‚ã. I. ½ããúØã ãä¶ãàãñ¹ã A. I. DEMAND DEPOSITS i) ºãö‡ãŠãò Ôãñ i) From Banks 362 10 77 66 00 66 ii) ‚㶾ããò Ôãñ ii) From Others 9249 20 20 8064 66 94 ¾ããñØã -I TOTAL - I 9611 30 97 8130 67 60 II.ºãÞã¦ã ºãö‡ãŠ ãä¶ãàãñ¹ã II. SAVINGS BANK DEPOSITS 26450 89 07 22156 44 41 III. ‡ãŠããäÊã‡ãŠ ãä¶ãàãñ¹ã III. TERM DEPOSITS i) ºãö‡ãŠãò Ôãñ i) From Banks 1980 71 00 1559 68 08 ii) ‚㶾ããò Ôãñ ii) From Others 72751 80 06 68269 08 87 ¾ããñØã - III TOTAL - III 74732 51 06 69828 76 95 ¾ããñØã - ‚ã (I,II & III) TOTAL - A ( I,II & III ) 110794 71 10 100115 88 96 ‚ãã. I) ¼ããÀ¦ã ‡ãŠãè ÍããŒãã‚ããò ½ãò ãä¶ãàãñ¹ã B. I) Deposits of branches in India 105434 42 70 95433 72 84 II) ¼ããÀ¦ã ‡ãñŠ ºããÖÀ ‡ãŠãè ÍããŒãã‚ããò ½ãò ãä¶ãàãñ¹ã II) Deposits of branches outside India 5360 28 40 4682 16 12 ¾ããñØã - ‚ãã TOTAL - B 110794 71 10 100115 88 96

‚ã¶ãìÔãîÞããè-4 SCHEDULE - 4 31.03.2010 ¦ã‡ãŠ 31.03.2009 ¦ã‡ãŠ ãäÊã¾ãñ Øã¾ãñ „£ããÀ BORROWINGS As at 31.03.2010 As at 31.03.2009

I. ¼ããÀ¦ã ½ãò ãäÊㆠØㆠ„£ããÀ I. BORROWINGS IN INDIA ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ Ôãñ Reserve Bank of India 0 0 ºãö‡ãŠãò Ôãñ Banks 4 15 ‚㶾ã ÔãâÔ©ãã†ú ‚ããõÀ ‚ããä¼ã‡ãŠÀ¥ã Other Institutions & Agencies 1268 45 57 3086 47 37 ¶ãÌããñ¶½ãñÓã‡ãŠãÀãè Ôã¦ã¦ã ¨ãÉ¥ã ãäÊãŒã¦ã (‚ããƒÃ¹ããè¡ãè‚ããƒÃ) Innovative Perpetual Debt Instruments (IPDI) 780 00 00 480 00 00 ºã㥡 ‡ãñŠ ¹㠽ãò û•ããÀãè ãä½ãÑã ¨ãɥ㠹ãîú•ããè ãäÊãŒã¦ãò Hybrid Debt Capital Instruments issued as Bonds 1665 30 00 1155 30 00 Øããõ¥ã ¨ãÉ¥ã Subordinated Debt 2426 00 00 2311 00 00 ¾ããñØã - I TOTAL - I 6139 75 61 7032 77 52 II. ¼ããÀ¦ã ‡ãñŠ ºããÖÀ Ôãñ ãäÊㆠØㆠ„£ããÀ II. BORROWINGS OUTSIDE INDIA 2842 44 58 3461 80 72 ¾ããñØã (I Ìã II) TOTAL ( I & II) 8982 20 19 10494 58 24 III. ¹ãÀ I Ìã II ½ãò Ôããä½½ããäÊã¦ã ¹ãÆãä¦ã¼ãî¦ã „£ããÀ III. Secured borrowings included in I & II above 500 00 38 925 01 67

‚ã¶ãìÔãîÞããè-5 SCHEDULE - 5 31.03.2010 ¦ã‡ãŠ 31.03.2009 ¦ã‡ãŠ ‚㶾㠪ñ¾ã¦ãã¾ãò Ìã ¹ãÆãÌã£ãã¶ã OTHER LIABILITIES & PROVISIONS As at 31.03.2010 As at 31.03.2009

I. Ôãâªñ¾ã ãäºãÊã I. Bills Payable 665 65 01 692 66 64 II. ‚ãâ¦ãÀ-‡ãŠã¾ããÃÊã¾ã Ôã½ãã¾ããñ•ã¶ã (ãä¶ãÌãÊã) II. Inter Office Adjustments ( Net) 0 0 III.¹ãÆãñªá¼ãî¦ã º¾ãã•ã III. Interest Accrued 219 41 85200 06 67 IV. ‚㶾ã (ƒÔã½ãò ¹ãÆãÌã£ãã¶ã Ôããä½½ããäÊã¦ã Öõ) IV. Others ( including provisions) 2909 83 12 2419 23 03 ¾ããñØã TOTAL 3794 89 98 3311 96 34

73 ‚ã¶ãìÔãîãäÞã¾ããú (•ããÀãè) SCHEDULES (Contd.) (Á.‘000 ½ãò) (Rs. in ‘000s)

‚ã¶ãìÔãîÞããè-6 SCHEDULE - 6 31.03.2010 ¦ã‡ãŠ 31.03.2009 ¦ã‡ãŠ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ¾ãÖãú ¶ã‡ãŠªãè CASH AND BALANCES WITH As at 31.03.2010 As at 31.03.2009 ‚ããõÀ ÍãñÓã RESERVE BANK OF INDIA

I. Öã©ã ½ãò ¶ã‡ãŠªãè (ƒÔã½ãò ãäÌãªñÍããè ½ãì³ã ¶ããñ› ‚ããõÀ I. Cash on hand ( including Foreign †›ã膽㠶ã‡ãŠª Ôããä½½ããäÊã¦ã Öõ) currency notes & ATM cash) 640 32 73 679 96 93 II. ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ Ôãã©ã II. Balances with Reserve Bank of India i) ÞããÊãî Œãã¦ãñ ½ãò ƒãä¦ãÍãñÓã i) in Current Account 6996 11 99 5260 47 49 ii) ‚㶾㠌ãã¦ããò ½ãò ƒãä¦ãÍãñÓã ii) in Other Accounts

¾ããñØã TOTAL 7666 44 72 5940 44 42

‚ã¶ãìÔãîÞããè-7 SCHEDULE - 7 31.03.2010 ¦ã‡ãŠ 31.03.2009 ¦ã‡ãŠ ºãö‡ãŠãò ½ãò ÍãñÓ㠂ããõÀ ½ããúØã ¹ãÀ ¦ã©ãã BALANCES WITH BANKS AND As at 31.03.2010 As at 31.03.2009 ‚ãʹã ÔãîÞã¶ãã ¹ãÀ ¹ãÆ㹾㠣ã¶ã MONEY AT CALL AND SHORT NOTICE

I. ¼ããÀ¦ã ½ãò I. In India i) ºãö‡ãŠãò ½ãò ÍãñÓã i) Balances with banks ‡ãŠ. ÞããÊãî Œãã¦ãñ ½ãò a) In Current Accounts 168 25 34 212 07 03 Œã. ‚㶾㠕ã½ã㠌ãã¦ããò ½ãò b) In Other Deposit Accounts 731 88 04 2778 79 42 ii) ½ããúØã ¹ãÀ ¦ã©ã㠂ãʹã ÔãîÞã¶ãã ¹ãÀ ¹ãÆ㹾㠣ã¶ã ii) Money at Call and Short Notice ‡ãŠ. ºãö‡ãŠãò ‡ãñŠ Ôãã©ã a) With banks 539 00 00 1145 00 00 Œã. ‚㶾ã ÔãâÔ©ãã‚ããò ‡ãñŠ Ôãã©ã b) With other institutions 0 0

¾ããñØã -I TOTAL - I1439 13 38 4135 86 45

II. ¼ããÀ¦ã ‡ãñŠ ºããÖÀ II. Outside India ‡ãŠ . ÞããÊãî Œãã¦ãñ ½ãò a) In Current Accounts 351 17 98 199 67 86 Œã. ‚㶾㠕ã½ã㠌ãã¦ããò ½ãò b) In Other Deposit Accounts 194 11 19 440 77 58 Øã. ½ããúØã ¹ãÀ ¦ã©ã㠂ãʹã ÔãîÞã¶ãã ¹ãÀ ¹ãÆ㹾㠣ã¶ã c) Money at Call and Short Notice 173 76 80 205 13 86

¾ããñØã -II TOTAL - II 719 05 97 845 59 30

¾ããñØã (I Ìã II) TOTAL ( I & II) 2158 19 35 4981 45 75

74 ‚ã¶ãìÔãîãäÞã¾ããú (•ããÀãè) SCHEDULES (Contd.) (Á.‘000 ½ãò) (Rs. in ‘000s)

‚ã¶ãìÔãîÞããè- 8 SCHEDULE - 8 31.03.2010 ¦ã‡ãŠ 31.03.2009 ¦ã‡ãŠ ãäÌããä¶ã£ãã¶ã INVESTMENTS As at 31.03.2010 As at 31.03.2009

I . ¼ããÀ¦ã ½ãò ãäÌããä¶ã£ãã¶ã I. INVESTMENTS IN INDIA i) ÔãÀ‡ãŠãÀãè ¹ãÆãä¦ã¼ãîãä¦ã¾ããú i) Government Securities 32052 77 66 26455 58 11 ii) ‚㶾㠂ã¶ãì½ããñã䪦㠹ãÆãä¦ã¼ãîãä¦ã¾ããú ii) Other Approved Securities 105 73 10 176 43 58 iii) Íãñ¾ãÀ iii) Shares 407 39 96 321 64 13 iv) ã䡺ãòÞãÀ ‚ããõÀ ºãâ£ã-¹ã¨ã iv) Debentures and Bonds 1973 22 84 1647 97 36 v) Ôãâ¾ãì‡ã‹¦ã „²ã½ã v) Joint Ventures 28 50 00 28 50 00 vi) ‚㶾ã - ¼ããÀ¦ããè¾ã ¾ãîãä¶ã› ›Èԛ vi) Others - Units of Unit Trust of India, ‡ãñŠ ¾ãîãä¶ã› †Ìã⠂㶾㠽¾ãîÞãì‚ãÊã ¹ãŠâ¡ ‚ããõÀ Investments in other Mutual Funds 2053 44 99 1611 84 59 Ìãããä¥ãã䕾ã‡ãŠ ¹ã¨ã ½ãò ãäÌããä¶ã£ãã¶ã & Commercial Paper

¾ããñØã - I TOTAL - I36621 08 55 30241 97 77

II. ¼ããÀ¦ã ‡ãñŠ ºããÖÀ ãäÌããä¶ã£ãã¶ã* II. INVESTMENTS OUTSIDE INDIA* i) ÔãÀ‡ãŠãÀãè ¹ãÆãä¦ã¼ãîãä¦ã¾ããú i) Government Securities 860 96 24 801 84 45 (ƒÔã½ãò Ô©ãã¶ããè¾ã ¹ãÆããä£ã‡ãŠÀ¥ã Ôããä½½ãÊã¦ã Öõâ ) (including Local Authorities) ii) ‚㶾ã ii) Others ‡ãŠ) Íãñ¾ãÀ a. Shares 8 36 29 11 11 68 Œã) ã䡺ãòÞãÀ ‚ããõÀ ºãâ£ã-¹ã¨ã b. Debentures & Bonds 115 34 15 160 49 97 Øã) ‚㶾ã c. Others 44 81 04 0

¾ããñØã - II TOTAL - II 1029 47 72 973 46 10

¾ããñØã (I Ìã II) TOTAL ( I & II ) 37650 56 27 31215 43 87

¼ããÀ¦ã ½ãò Ôã‡ãŠÊã ãäÌããä¶ã£ãã¶ã Gross Investments in India 36795 09 39 30497 19 25 Üã›ã†ú : ½ãîʾãÖÆãÔã Less: Depreciation 174 00 84 255 21 48

ãä¶ãÌãÊã ãäÌããä¶ã£ãã¶ã Net Investments 36621 08 55 30241 97 77 ¼ããÀ¦ã ‡ãñŠ ºããÖÀ Ôã‡ãŠÊã ãäÌããä¶ã£ãã¶ã* Gross Investments Outside India* 1086 15 98 1056 45 92 Üã›ã†ú : ½ãîʾãÖÆãÔã Less: Depreciation 56 68 26 82 99 82 ãä¶ãÌãÊã ãäÌããä¶ã£ãã¶ã Net Investments 1029 47 72 973 46 10

‡ãìŠÊã ãä¶ãÌãÊã ãäÌããä¶ã£ãã¶ã Total Net Investments 37650 56 27 31215 43 87

* 31.3.2010 ¦ã‡ãŠ ãäÌãªñÍããè ÍããŒãã‚ããò Ôãñ Ôãâºãâãä£ã¦ã ‚ããú‡ãŠü¡ãò ‡ãŠã ½ãì³ã-ãäÌããä¶ã½ã¾ã ªÀ ¹ãÀ ¹ããäÀÌã¦ãöããò ‡ãñŠ ‡ãŠãÀ¥ã Ôã½ãã¾ããñ•ã¶ã ÔããäÖ¦ã ý * Including adjustment on account of conversion of figures relating to foreign branches at the rate of exchange as at 31.3.2010

75 ‚ã¶ãìÔãîãäÞã¾ããú (•ããÀãè) SCHEDULES (Contd.) (Á.‘000 ½ãò) (Rs. in ‘000s)

‚ã¶ãìÔãîÞããè-9 SCHEDULE - 9 31.03.2010 ¦ã‡ãŠ 31.03.2009 ¦ã‡ãŠ ‚ããäØãƽã ADVANCES As at 31.03.2010 As at 31.03.2009

‚ã. i) ‰ãŠ¾ã ãä‡ãŠ† ØㆠÌã ãä½ã§ããè‡ãŠã›ñ ØㆠãäºãÊã A. i) Bills Purchased & Discounted 4792 86 96 4490 94 59 ii) ¶ã‡ãŠªãè „£ããÀ, ‚ããñÌãÀ¡Èã¹ã‹› ‚ããõÀ ½ããúØã ii) Cash Credits, Overdrafts and ¹ãÀ ¹ãÆãä¦ãÔãâªñ¾ã „£ããÀ Loans repayable on demand 34294 97 99 30862 66 93 iii) ÔããÌããä£ã „£ããÀ iii) Term Loans 39916 07 62 39531 65 74

¾ããñØã TOTAL 79003 92 57 74885 27 26

‚ãã. i) ½ãî¦ãà ‚ãããäÔ¦ã¾ããò ´ãÀã ¹ãÆãä¦ã¼ãî¦ã* B. i) Secured by Tangible Assets* 63258 46 98 63200 22 58 *ºãÖãèØã¦ã ¨ãÉ¥ããò ‡ãñŠ ¹ãÆãä¦ã ‚ããäØãƽããò ÔããäÖ¦ã * includes advances against Book Debts ii) ºãö‡ãŠ / ÔãÀ‡ãŠãÀãè ØããÀâã䛾ããò ´ãÀã ÔãâÀãäàã¦ã ii) Covered by Bank/Government Guarantees 4210 36 57 3889 69 19 iii) ‚ã¹ãÆãä¦ã¼ãî¦ã iii) Unsecured 11535 09 02 7795 35 49

¾ããñØã TOTAL 79003 92 57 74885 27 26

ƒ. I) ¼ããÀ¦ã ½ãò ‚ããäØãƽã C. I) Advances in India i) ¹ãÆã©ããä½ã‡ãŠ¦ãã àãñ¨ã i) Priority Sector 27237 22 48 24294 08 00 ii) ÔããÌãÕããä¶ã‡ãŠ àãñ¨ã ii) Public Sector 5778 46 12 5905 78 75 iii) ºãö‡ãŠ iii) Banks 547 36 15 210 55 00 iv) ‚㶾ã iv) Others 37764 17 72 37205 08 17

¾ããñØã TOTAL 71327 22 47 67615 49 92

II) ¼ããÀ¦ã ‡ãñŠ ºããÖÀ ‚ããäØãƽã II) Advances Outside India i) ºãö‡ãŠãò Ôãñ Íããñ£¾ã i) Due from Banks 108 17 90 398 29 75 ii) ‚㶾ããò Ôãñ Íããñ£¾ã ii) Due from Others ‡ãŠ) ‰ãŠ¾ã ãä‡ãŠ† ØㆠÌã ãä½ã§ããè‡ãŠã›ñ ØㆠãäºãÊã a) Bills Purchased & Discounted 3412 79 90 2908 23 77 Œã) ÔãâÜãºã® „£ããÀ b) Syndicated Loans 2024 82 11 1782 11 17 Øã) ‚㶾ã c) Others 2130 90 19 2181 12 65

¾ããñØã TOTAL 7676 70 10 7269 77 34

¾ããñØã (Øã - I Ìã II ) TOTAL (C-I & II) 79003 92 57 74885 27 26

76 ‚ã¶ãìÔãîãäÞã¾ããú (•ããÀãè) SCHEDULES (Contd.) (Á.‘000 ½ãò) (Rs. in ‘000s)

‚ã¶ãìÔãîÞããè-10 SCHEDULE - 10 31.03.2010 ¦ã‡ãŠ 31.03.2009 ¦ã‡ãŠ ãäÔ©ãÀ ‚ãããäÔ¦ã¾ããú FIXED ASSETS As at 31.03.2010 As at 31.03.2009

I. ¹ããäÀÔãÀ I. Premises 1.4.2009 ¦ã‡ãŠ ÊããØã¦ã /¹ãì¶ã : At cost / revalued amount as on 1.4.2009 1611 66 27 464 26 03 ½ãîʾããâãä‡ãŠ¦ã À‡ãŠ½ã ¹ãÀ

ÌãÓãà ‡ãñŠ ªãõÀã¶ã ¹ããäÀÌã£ãöã* Additions during the year * 35 74 22 1173 85 13 1647 40 49 1638 11 16 ÌãÓãà ‡ãñŠ ªãõÀã¶ã ‡ãŠ›ãõãä¦ã¾ããú* Deductions during the year* 9 02 00 26 44 89 1638 38 49 1611 66 27 ‚ãªá¾ã¦ã¶ã ½ãîʾãÖÆãÔã Depreciation to date 159 71 98 117 12 43 ¾ããñØã -I TOTAL - I1478 66 51 1494 53 84

II. ¹ãîú•ããèØã¦ã ÞããÊãî ‡ãŠã¾ãà II. Capital work in progress 7 67 28 13 07 04

¾ããñØã - II TOTAL - II 7 67 28 13 07 04

III.‚㶾ã ãäÔ©ãÀ ‚ãããäÔ¦ã¾ããú III. Other Fixed Assets (ƒÔã½ãò ¹ãŠ¶ããêÞãÀ ‚ããõÀ ãä¹ãŠ‡ã‹ÞãÀ Ôããä½½ããäÊã¦ã Öõ) (including Furniture & Fixtures) 1.4.2009 ‡ãŠãè ãäÔ©ããä¦ã ‡ãñŠ ‚ã¶ãìÔããÀ ÊããØã¦ã ¹ãÀ At cost as on 1.4.2009 741 07 99 638 53 95 ÌãÓãà ‡ãñŠ ªãõÀã¶ã ¹ããäÀÌã£ãöã * Additions during the year * 122 65 90 193 67 09 863 73 89 832 21 04 ÌãÓãà ‡ãñŠ ªãõÀã¶ã ‡ãŠ›ãõãä¦ã¾ããú* Deductions during the year* 41 59 80 91 13 05 822 14 09 741 07 99 ‚ãªá¾ã¦ã¶ã ½ãîʾãÖÆãÔã Depreciation to date 608 91 33 538 82 91 ¾ããñØã- III TOTAL - III 213 22 76 202 25 08

¾ããñØã (I, II & III) Total ( I, II & III ) 1699 56 55 1709 85 96

* 31.3.2010 ¦ã‡ãŠ ãäÌãªñÍããè ÍããŒãã‚ããò Ôãñ Ôãâºãâãä£ã¦ã ‚ããú‡ãŠü¡ãò ‡ãŠã ½ãì³ã-ãäÌããä¶ã½ã¾ã ªÀ ¹ãÀ ¹ããäÀÌã¦ãöããò ‡ãñŠ ‡ãŠãÀ¥ã Ôã½ãã¾ããñ•ã¶ã ÔããäÖ¦ã ý * including adjustment on account of conversion of figures relating to foreign branches at the rate of exchange as at 31.3.2010

77 ‚ã¶ãìÔãîãäÞã¾ããú (•ããÀãè) SCHEDULES (Contd.) (Á.‘000 ½ãò) (Rs. in ‘000s)

‚ã¶ãìÔãîÞããè- 11 SCHEDULE - 11 31.03.2010 ¦ã‡ãŠ 31.03.2009 ¦ã‡ãŠ ‚㶾㠂ãããäÔ¦ã¾ããú OTHER ASSETS As at 31.03.2010 As at 31.03.2009 i) ‚ãâ¦ãÀ ‡ãŠã¾ããÃÊã¾ã Ôã½ãã¾ããñ•ã¶ã (ãä¶ãÌãÊã) i) Inter Office Adjustments ( Net) 128 00 34 197 88 86 ii) „¹ããäÞã¦ã º¾ãã•ã ii) Interest Accrued 1040 32 16 891 19 54 iii) ‚ããäØãƽã ¹ã Ôãñ Ôã⪧㠇ãŠÀ / iii) Tax paid in advance / Ô¨ããñ¦ã ¹ãÀ ‡ãŠã›ã Øã¾ã㠇ãŠÀ Tax deducted at source 962 40 54 761 29 24 iv) ÊãñŒã¶ã - Ôãã½ãØãÆãè ‚ããõÀ ԛõ½¹ã iv) Stationery & Stamps 6 74 15 6 88 99 v) ªãÌããò ‡ãŠãè Ôãâ¦ãìãäӛ ½ãò ¹ãÆ㹦㠇ãŠãè ØãƒÃ v) Non Banking Assets acquired in ØãõÀ-ºãö‡ãŠ‡ãŠãÀãè ‚ãããäÔ¦ã¾ããú satisfaction of claims 1 55 07 1 54 84 vi ‚㶾ã vi) Others 778 67 86 482 11 14

¾ããñØã TOTAL 2917 70 12 2340 92 61

‚ã¶ãìÔãîÞããè 12 SCHEDULE - 12 31.03.2010 ¦ã‡ãŠ 31.03.2009 ¦ã‡ãŠ Ôã½ãããäÑã¦ã ªããä¾ã¦Ìã CONTINGENT LIABILITIES As at 31.03.2010 As at 31.03.2009 i) ºãö‡ãŠ ‡ãñŠ ãäÌãÁ® ªãÌãñ ãä•ã¶Öò ¨ãɥ㠇ãñŠ ¹㠽ãò i) Claims against the Bank not ÔÌããè‡ãŠãÀ ¶ãÖãé ãä‡ãŠ¾ãã Øã¾ãã Öõ acknowledged as debts 78 22 30 74 51 29 ii) ‚ãâÍã¦ã: Ôã⪧ã ãäÌããä¶ã£ãã¶ããò ‡ãñŠ ãäÊㆠªããä¾ã¦Ìã ii) Liability for partly paid investments 11 60 28 24 50 iii) ºã‡ãŠã¾ãã Ìãã¾ãªã ãäÌããä¶ã½ã¾ã ÔãâãäÌãªã‚ããò ‡ãñŠ iii) Liability on account of outstanding ºããºã¦ã ªããä¾ã¦Ìã forward exchange contracts 15631 41 67 15442 01 76 iv) ÔãâÜ㛇ãŠãò ‡ãŠãè ‚ããñÀ Ôãñ ªãè Øã¾ããè ØããÀâã䛾ããú iv) Guarantees given on behalf of constituents ‡ãŠ. ¼ããÀ¦ã ½ãò a) In India 8445 29 69 8044 63 48 Œã. ¼ããÀ¦ã ‡ãñŠ ºããÖÀ b) Outside India 247 02 75 271 90 26 v) Ôã‡ãŠãÀ, ¹ãðӟãâ‡ãŠ¶ã ‚ããõÀ ‚㶾㠺ã㣾ã¦ãã†ú v) Acceptances, Endorsements & Other obligations 8047 64 96 7334 74 75 vi) ‚㶾㠽ãªò ãä•ã¶ã‡ãñŠ ãäÊㆠºãö‡ãŠ vi) Other items for which the bank is Ôã½ãããäÑã¦ã ¹ã Ôãñ ªã¾ããè Öõ contingently liable ‡ãŠ. ãäÌãÌããªØãÆԦ㠂ãã¾ã-‡ãŠÀ ªãÌãñ/ a. Disputed IT demand / ‚ã¹ããèÊ㠇ãñŠ ‚ã£ããè¶ã ½ãã½ãÊãñ cases under appeal 406 92 42 639 15 47 Œã. ‚㶾ã b. Others i. ¹ãîú•ããè ÊãñŒããò ¹ãÀ ãä¶ãÓ¹ããã䪦ã ãä‡ãŠ† •ãã¶ãñ ÌããÊãñ i) Estimated amount of contracts remaining ÍãñÓã ÔãâãäÌãªã‚ããò ‡ãŠãè ‚ã¶ãì½ãããä¶ã¦ã ÀããäÍã to be executed on capital accounts 30 77 63 37 57 94 ii. ‡ãŠÀñâÔããè ÔÌãõ¹ã ‡ãñŠ ¦ã֦㠺ãö‡ãŠ ‡ãŠãè ªñ¾ã¦ãã†ú ii) Banks liability under currency swaps 2776 81 65 2240 33 05 iii ãä‡ãŠ† Øㆠº¾ãã•ã ªÀ ÔÌãõ¹ã (¾ãî†Ôã¡ãè) iii) Interest rate swaps under taken (USD) 1932 60 37 1756 41 88 iv. º¾ãã•ã ªÀ ÔÌãõ¹ã (¼ãã.Á.) iv) Interest rate swaps ( INR ) 1075 00 00 1800 00 00 v. ½ãì³ã ãäÌã‡ãŠÊ¹ã ‡ãñŠ ¦ã֦㠺ãö‡ãŠ ‡ãŠãè ªñ¾ã¦ãã v) Bank’s Liability under Currency Options 78 19 20 0 vi. ‰ãñŠã䡛 ã䡹ãŠãʛ ÔÌãõ¹ã vi) Credit Default Swaps 551 97 30 675 12 64 vii. ‚ãâ¦ãÀ ºãö‡ãŠ ÔãÖ¼ãããäØã¦ãã ¹ãƽãã¥ã-¹ã¨ã vii) Inter bank Participation Certificate 0 0 viii. ÔÌã¥ãà ‡ãñŠ ¦ã֦㠺ãö‡ãŠ ‡ãŠãè ªñ¾ã¦ãã viii) Banks Liability under Gold 34 48 96 34 59 20

¾ããñØã TOTAL 39340 50 50 38379 26 22

78 ‚ã¶ãìÔãîãäÞã¾ããú (•ããÀãè) SCHEDULES (Contd.) (Á.‘000 ½ãò) (Rs. in ‘000s)

‚ã¶ãìÔãîÞããè- 13 SCHEDULE - 13 31.03.2010 31.03.2009 ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ‚ããä•ãæ㠺¾ãã•ã INTEREST EARNED Year Ended Year Ended 31.03.2010 31.03.2009 i) ‚ããäØãƽããò / ãäºãÊããò ¹ãÀ ¹ãÆ㹦㠺¾ãã•ã / ºã›á›ã i) Interest / discount on advances / bills 7659 48 17 7289 55 32 ii) ãäÌããä¶ã£ãã¶ããò ¹ãÀ ‚ãã¾ã ii) Income on investments 2381 60 10 2156 31 60 iii) ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ƒãä¦ãÍãñÓããò iii) Interest on Balances with ‚ããõÀ ‚㶾㠂ãâ¦ãÀ-ºãö‡ãŠ ãä¶ããä£ã¾ããò ¹ãÀ º¾ãã•ã Reserve Bank of India and Other Inter-Bank Funds 192 60 64 168 19 83 iv) ‚㶾ã iv) Others 12 08 44 27 33 58 ¾ããñØã TOTAL 10245 77 35 9641 40 33

‚ã¶ãìÔãîÞããè 14 SCHEDULE - 14 31.03.2010 31.03.2009 ‚㶾㠂ãã¾ã ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà OTHER INCOME Year Ended Year Ended 31.03.2010 31.03.2009 i) ‡ãŠ½ããèÍã¶ã, ãäÌããä¶ã½ã¾ã ‚ããõÀ ªÊããÊããè i) Commission, Exchange and Brokerage 577 70 31 593 78 01 ii) ãäÌããä¶ã£ãã¶ããò ‡ãñŠ ãäÌã‰ãŠ¾ã ¹ãÀ Êãã¼ã (ãä¶ãÌãÊã) ii) Profit on Sale of Investments (Net) 291 85 67 636 64 80 iii) ãäÌããä¶ã£ãã¶ããò ‡ãñŠ ¹ãì¶ã½ãÃîʾããâ‡ãŠ¶ã ¹ãÀ Êãã¼ã (ãä¶ãÌãÊã) iii) Profit on Revaluation of Investments (Net) -53 33 17 -117 23 89 iv) ¼ãîãä½ã, ¼ãÌã¶ããò ‚ããõÀ ‚㶾㠂ãããäÔ¦ã¾ããò ‡ãñŠ iv) Profit on sale of land,buildings ãäÌã‰ãŠ¾ã ¹ãÀ Êãã¼ã (ãä¶ãÌãÊã) and other assets (Net) 1 60 74 68 50 40 v) ãäÌããä¶ã½ã¾ã Ôãâ̾ãÌãÖãÀãñâ ¹ãÀ Êãã¼ã (ãä¶ãÌãÊã) v) Profit on exchange transactions (Net) 127 04 26 157 34 36 vi) ãäÌããäÌã£ã ‚ãã¾ã vi) Miscellaneous Income 198 37 56 256 79 40

¾ããñØã TOTAL 1143 25 37 1595 83 08

79 ‚ã¶ãìÔãîãäÞã¾ããú (•ããÀãè) SCHEDULES (Contd.) (Á.‘000 ½ãò) (Rs. in ‘000s) 31.03.2010 31.03.2009 ‚ã¶ãìÔãîÞããè- 15 SCHEDULE - 15 ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ŒãÞãà ãä‡ãŠ¾ãã Øã¾ãã º¾ãã•ã INTEREST EXPENDED Year Ended Year Ended 31.03.2010 31.03.2009 i) •ã½ãã‚ããò ¹ãÀ º¾ãã•ã i) Interest on Deposits 6271 78 76 5955 83 04 ii) ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ / ‚ãâ¦ãÀ- ºãö‡ãŠ ii) Interest on Reserve Bank of India / „£ããÀãò ¹ãÀ º¾ãã•ã Inter-Bank Borrowings 412 74 25 502 88 96 iii) ‚㶾ã iii) Others 393 37 94 313 09 35 ¾ããñØã TOTAL 7077 90 95 6771 81 35

‚ã¶ãìÔãîÞããè 16 SCHEDULE - 16 31.03.2010 31.03.2009 ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ¹ããäÀÞããÊã¶ã ̾ã¾ã OPERATING EXPENSES Year Ended Year Ended 31.03.2010 31.03.2009

i) ‡ãŠ½ãÃÞãããäÀ¾ããò ‡ãŠãñ ¼ãìØã¦ãã¶ã ‚ããõÀ i) Payments to and provisions for employees 1734 74 90 1271 84 21 „¶ã‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã ii) ¼ããü¡ã, ‡ãŠÀ ‚ããõÀ ÀãñÍã¶ããè ii) Rent, Taxes and Lighting 204 47 48 206 41 47 iii) ½ã쳥㠂ããõÀ ÊãñŒã¶ã-Ôãã½ãØãÆãè iii) Printing and Stationery 15 46 19 15 58 38 iv) ãäÌã—ãã¹ã¶ã ‚ããõÀ ¹ãÆÞããÀ iv) Advertisement and Publicity 35 82 57 26 94 74 v) ºãö‡ãŠ ‡ãŠãè Ôãâ¹ããä§ã ¹ãÀ ½ãîʾãÖÆãÔã v) Depreciation on Bank’s property (¹ãîú•ããè ‚ããÀãäàããä¦ã¾ããò Ôãñ ‚ãâ¦ããäÀ¦ã (Net of depn. transferred ‚ãÌãàã¾ã¥ã ‡ãŠãè ãä¶ãÌãÊã ÀããäÍã) from Capital Reserve) 111 75 94 100 94 20 vi) ãä¶ãªñÍã‡ãŠãò ‡ãŠãè ¹ãŠãèÔã, ¼ã§ãñ ‚ããõÀ ŒãÞãà vi) Directors’ fees, allowances and expenses 73 47 89 72 vii) ÊãñŒãã-¹ãÀãèàã‡ãŠãò ‡ãŠãñ ¹ãƪ§ã Íãìʇ㊠¦ã©ãã ̾ã¾ã vii) Auditors’ fees and expenses 17 83 31 19 81 57 (ÍããŒãã ÊãñŒãã - ¹ãÀãèàã‡ãŠãò ÔããäÖ¦ã) (including Branch auditors) viii) ãäÌããä£ã ¹ãƼããÀ viii) Law charges 5 42 91 6 53 68 ix) ¡ã‡ãŠ ½ãÖÔãîÊã, ¦ããÀ, ›ñÊããèû¹ãŠãñ¶ã ‚ãããäª ix) Postages, telegrams, telephones, etc. 15 87 59 14 83 87 x) ½ãÀ½½ã¦ã ‚ããõÀ ‚ã¶ãìÀàã¥ã x) Repairs and Maintenance 8 55 83 7 85 79 xi) ºããè½ãã xi) Insurance 113 94 11 89 33 06 xii) ‚㶾㠂ãã¾ã xii) Other Expenditure 201 85 41 180 68 74 ¾ããñØã TOTAL 2466 49 71 1941 69 43

80 ‚ã¶ãìÔãîÞããè -17 SCHEDULE 17 ¹ãƽãìŒã ÊãñŒããâ‡ãŠ¶ã ¶ããèãä¦ã¾ããú SIGNIFICANT ACCOUNTING POLICIES 1. Ôãã½ã㶾ã 1. General ¾ãÖãú ƒÔã Ôãñ ‚ããØãñ •ãºã ¦ã‡ãŠ ãä‡ãŠ ‚㶾ã©ã㠶㠺ã¦ãã¾ãã Øã¾ãã Öãñ, ãäÌã§ããè¾ã ãäÌãÌãÀ¥ã The financial statements have been prepared on historical cost basis unless otherwise †ñãä¦ãÖããäÔã‡ãŠ ÊããØã¦ã ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ‚ããõÀ ‚ããØãñ Øããä¦ã½ãã¶ã ¹ãÆãä¦ãӟã¶ã ‚ãÌã£ããÀ¥ã㠇ãñŠ stated and further on the assumption of going ‚ã¶ãì½ãã¶ã ¹ãÀ ¦ãõ¾ããÀ ãä‡ãŠ† ØㆠÖö ý concern concept. 2. ‚ãã¾ã ‡ãŠã ‚ããä¼ã—ãã¶ã 2. Revenue Recognition 2.1 ¼ããÀ¦ããè¾ã ãäÀ•ãÌãà ºãö‡ãŠ ´ãÀã ãä¶ã£ããÃãäÀ¦ã ãäÌãÌãñ‡ãŠ¹ãî¥ãà ½ãã¶ãª¥¡ãò ‡ãñŠ 2.1 Income is recognized on accrual basis on ½ãì¦ãããäºã‡ãŠ ‚ã•ãÇ㊠‚ãããäÔ¦ã¾ããò ¹ãÀ „¹ããäÞã¦ã ‚ãã£ããÀ ¹ãÀ ‚ããõÀ ‚ã¶ã•ãÇ㊠performing assets and on realization basis in respect of non-performing assets as per ‚ãããäÔ¦ã¾ããò ‡ãñŠ ½ãã½ãÊãñ ½ãò „ØããÖãè ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ‚ãã¾ã ‡ãŠã ‚ããä¼ã—ãã¶ã the prudential norms prescribed by Reserve ãä‡ãŠ¾ãã Øã¾ãã Öõ ý ‚ã¶ã•ãÇ㊠‚ãããäÔ¦ã¾ããò ½ãò ÌãÔãîÊããè ‡ãŠã Ôã½ãâ•ã¶ã, Ìã㪠Bank of India. Recovery in Non Performing ªã¾ãÀ Œãã¦ããò †Ìã⠆‡ãŠ ºããÀØããè ãä¶ã¹ã›ã¶ã Œãã¦ããò ‡ãŠãñ œãñü¡‡ãŠÀ ºãã‡ãŠãè Assets is first appropriated towards interest ½ãã½ãÊããò ½ãò ¹ãÖÊãñ º¾ãã•ã ‡ãñŠ ãäÊㆠ‚ããõÀ ÍãñÓ㠂ãØãÀ Öãñ, ¦ããñ ½ãîÊã and the balance, if any, towards principal, except in the case of Suit Filed Accounts Àû‡ãŠ½ã ‡ãñŠ ãäÊㆠãä‡ãŠ¾ãã Øã¾ãã Öõ ý and accounts under One Time Settlement. 2.2 ŒãÀãèªñ ØㆠãäºãÊããò/ºãâ£ã‡ãŠ-Ôã½ããä©ãæ㠹ãÆãä¦ã¼ãîãä¦ã¾ããò ¹ãÀ º¾ãã•ã, ‡ãŠ½ããèÍã¶ã 2.2 Interest on bills purchased/Mortgage Backed (ÔããŒã ¹ã¨ã / ØããÀâ›ãè¹ã¨ã/ÔãÀ‡ãŠãÀãè ‡ãŠãÀãñºããÀ ‡ãŠãñ œãñ¡‡ãŠÀ), ãäÌããä¶ã½ã¾ã, Securities, commission (except on Letter of Credit/Letter of Guarantee/Government Êããù‡ãŠÀ ãä‡ãŠÀã¾ã㠂ããõÀ Êãã¼ããâÍ㠇ãŠãñ „¶ã‡ãŠãè „ØããÖãè ‡ãñŠ ‚ãã£ããÀ ¹ãÀ Business), Exchange, Locker Rent and ãäÖÔããºã ½ãò ãäÊã¾ãã Øã¾ãã Öõý Dividend are accounted for on realization basis. 2.3 ºãÖí½ãîʾ㠣ãã¦ãì‚ããò ‡ãŠãè ¹ãÀñÓã¥ã ãäºã‰ãŠãè Ôãñ ÖíƒÃ ‚ãã¾ã ‡ãŠãñ ãäºã‰ãŠãè ¹ãîÀãè Öãñ¶ãñ ‡ãñŠ ºã㪠‚㶾㠂ãã¾ã ‡ãñŠ ¹㠽ãò ãäÖÔããºã ½ãò ãäÊã¾ãã Øã¾ãã Öõ ý 2.3 Income from consignment sale of precious metals is accounted for as Other Income 2.4 ŒãÞããó⠇ãŠãñ „¹ãÞã¾ã ‚ãã£ããÀ ¹ãÀ ãäÖÔããºã ½ãò ãäÊã¾ãã Øã¾ãã Öõ, ãäÔãÌãã¾ã after the sale is complete. ¦ãºã •ãºã „Ôãñ ‚㶾ã©ã㠄ãäÊÊããäŒã¦ã ãä‡ãŠ¾ãã Øã¾ãã Öãñ ý 2.4 Expenditure is accounted for on accrual basis, except otherwise stated. 2.5 ¹ããäÀ¹ã‡ã‹Ìã ÔããÌããä£ã •ã½ãã‚ããò ‡ãñŠ ½ãã½ãÊãñ ½ãò, •ã½ãã‚ããò ‡ãŠã ¶ãÌããè‡ãŠÀ¥ã 2.5 In case of matured Term Deposits, interest ‡ãŠÀ¦ãñ Ôã½ã¾ã º¾ãã•ã ‡ãŠã ¹ããäÀ‡ãŠÊã¶ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý ãä¶ããäӉ㊾㠺ãÞã¦ã is accounted for as and when deposits are ºãö‡ãŠ Œãã¦ãñ, ‚ãªãÌããè ºãÞã¦ã ºãö‡ãŠ Œãã¦ãñ †Ìã⠂ãªãÌããè ½ããè¾ããªãè •ã½ãã‚ããò renewed. In respect of Inoperative Savings ‡ãñŠ ½ãã½ãÊããò ½ãò º¾ãã•ã ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ Bank Accounts, unclaimed Savings Bank accounts and unclaimed Term Deposits, ‚ãã£ããÀ ¹ãÀ „¹ããäÞã¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý interest is accrued as per RBI guidelines. 2.6 Ìã㪠ªã¾ãÀ Œãã¦ããò ½ãò ‡ãŠã¶ãî¶ããè ŒãÞããô ‡ãŠãñ Êãã¼ã-Öããä¶ã Œãã¦ãñ ½ãò ãäÊãŒãã 2.6 Legal expenses in respect of Suit Filed •ãã¦ãã Öõ ý †ñÔãñ Œãã¦ããò ½ãò ÌãÔãîÊããè Öãñ •ãã¶ãñ ¹ãÀ „Ôãñ ‚ãã¾ã ½ãò ãäÊã¾ãã Accounts are charged to Profit and Loss •ãã¦ãã Öõ ý Account. Such amount when recovered is treated as income. 2.7 ãäÌãªñÍããè ÍããŒãã‚ããò ‡ãñŠ ½ãã½ãÊããò ½ãò, ‚ãã¾ã ‚ããõÀ ̾ã¾ã ‡ãŠã ‚ããä¼ã—ãã¶ã/ 2.7 In respect of foreign branches, Income & ãäÖÔããºã Ôãâºãâãä£ã¦ã ªñÍããò ½ãò ÊããØãî Ô©ãã¶ããè¾ã ‡ãŠã¶ãî¶ã ‡ãñŠ ‚ã¶ãìÔããÀ ãä‡ãŠ¾ãã Expenditure are recognized / accounted for Øã¾ãã Öõ ý as per local laws of the respective countries. 3. Foreign exchange Transactions of Indian 3. ¼ããÀ¦ããè¾ã ¹ããäÀÞããÊã¶ããò ‡ãñŠ ãäÌãªñÍããè ãäÌããä¶ã½ã¾ã Êãñ¶ãªñ¶ã Operations 3.1 ¶ããùԛÈãñ †Ìã⠆Ôããè¾ãî ¡ãùÊãÀ Œãã¦ããò ‡ãñŠ ÍãñÓã, ‚ãâãä¦ã½ã ªÀãò ¹ãÀ ã䪌ãㆠ3.1 Balances in NOSTRO and ACU Dollar Øã¾ãñ Öö ý †û¹ãŠÔãã膶ã‚ããÀ/ƒÃƒÃ†û¹ãŠÔããè / ‚ããÀ†û¹ãŠÔããè/ †û¹ãŠÔããè† (Ôã¼ããè accounts are stated at closing rates. FCNR/ ãäÌãªñÍããè ½ãì³ã •ã½ãã†ú ¦ã©ã㠄¶ã¹ãÀ „¹ããäÞã¦ã º¾ãã•ã) ‚ããõÀ ¹ããèÔããè†û¹ãŠÔããè EEFC/RFC/FCA (all foreign currency deposits

81 / ¡ºãʾãîÔããè†û¹ãŠÔããè /›ãè†Êã†û¹ãŠÔããè / †û¹ãŠÔããè†Êã (Ôã¼ããè ãäÌãªñÍããè including interest accrued thereon) and ½ãì³ã „£ããÀ ) ‡ãŠãñ ãä¦ã½ããÖãè ‡ãñŠ ‚ãâãä¦ã½ã Ô㹦ããÖ ‡ãñŠ ãäÊㆠÊããØãî ¹ãñŠ¡ãƒÃ PCFC/WCFC/TLFC/FCL (all foreign currency lendings) are stated at the FEDAI weekly ‡ãŠãè Ôã㹦ãããäև㊠‚ããõÔã¦ã¶ã ªÀ ‡ãñŠ ‚ã¶ãìÔããÀ ã䪌ãã¾ãã Øã¾ãã Öõ ý ‚㶾ã average rate applicable for the last week of ‚ãããäÔ¦ã¾ããò, ªñ¾ã¦ãã‚ããò ‚ããõÀ ãäÌãªñÍããè ½ãì³ã‚ããò ½ãò ½ãîʾã-ÌãØããê‡ãðŠ¦ã the quarter. Other Assets, Liabilities and ºã‡ãŠã¾ãã Ìãã¾ãªã ÔãâãäÌãªã‚ããò ‡ãŠãñ Êãñ¶ãªñ¶ã ‡ãŠãè ¦ããÀãèŒã ‡ãŠãè ¹ãÆÞããäÊã¦ã Outstanding Forward Contracts denominated ªÀãò ¹ãÀ ã䪌ãã¾ãã Øã¾ãã Öõý in foreign currencies are stated at the rates on the date of transaction. Ôã¼ããè ‚ãããäÔ¦ã¾ããò, ªñ¾ã¦ãã‚ããò ¦ã©ãã û¹ãŠñ¡ãƒÃ ´ãÀã ÔãîãäÞã¦ã ÌãÓããĦ㠇ãŠãè Profit/Loss on valuation of all assets, liabilities ãäÌããä¶ã½ã¾ã-ªÀãò ‡ãñŠ ‚ã¶ãìÔããÀ ºã‡ãŠã¾ãã Ìãã¾ãªã ãäÌããä¶ã½ã¾ã ÔãâãäÌãªã‚ããò ‡ãñŠ and outstanding forward exchange contracts ½ãîʾããâ‡ãŠ¶ã ¹ãÀ Êãã¼ã-Öããä¶ã ‡ãŠãñ Àã•ãÔÌ㠇ãñŠ ‚ãâ¦ãØãæã Êãñ ãäÊã¾ãã Øã¾ãã at year-end exchange rates advised by FEDAI is taken to revenue with corresponding net Öõ, ãä•ãÔã ½ãò Ôã½ã¶ãì¹ã ãä¶ãÌãÊã Ôã½ãã¾ããñ•ã¶ããò ‡ãŠãñ, ¶ããùԛÈãñ ,†Ìãâ adjustments retained in “Other Liabilities and †Ôããè¾ãî ¡ãùÊãÀ Œãã¦ããñ⠇ãñŠ ½ãã½ãÊããò ‡ãŠãñ œãñü¡ ‡ãŠÀ •ãÖãú ¾ãñ Œãã¦ãñ Provisions”/ “Other Assets Account” except ‚ãã䶦ã½ã ªÀãñâ ¹ãÀ Ôã½ãã¾ããñãä•ã¦ã Öãñ •ãã¦ãñ Öö, ‘‚㶾㠪ñ¾ã¦ãã†ú ¦ã©ãã in case of NOSTRO and ACU Dollar accounts ¹ãÆãÌã£ãã¶ã’/ ‘‚㶾㠂ãããäÔ¦ã¾ããò ‡ãñŠ Œãã¦ãñ’ ½ãò ºã¶ãㆠÀŒãã Øã¾ãã Öõ ý where the accounts stand adjusted at the closing rates. 3.2. ãäÌãªñÍããè ½ãì³ã‚ããò ½ãò ½ãîʾãÌãØããèÇãðŠ¦ã ¼ããÀ¦ããè¾ã ¹ããäÀÞããÊã¶ããò ‡ãŠãè ØããÀâã䛾ããò 3.2 Acceptances, Endorsements and other ÔããäÖ¦ã ÔÌããè‡ãðŠãä¦ã, ¹ãðӟãâ‡ãŠ¶ã ¦ã©ã㠂㶾㠺ã㣾ã¦ãã‚ããò ‡ãŠãñ ãä¦ã½ããÖãè ‡ãñŠ obligations including guarantees of Indian ‚ãâãä¦ã½ã Ô㹦ããÖ ‡ãñŠ ãäÊㆠÊããØãî ¹ãñŠ¡ãƒÃ ‡ãŠãè Ôã㹦ãããäև㊠‚ããõÔã¦ã¶ã ªÀ operations denominated in foreign currencies are stated at the FEDAI weekly average rate ‡ãñŠ ‚ã¶ãìÔããÀ ã䪌ãã¾ãã Øã¾ãã Öõ ý applicable for the last week of the quarter. 3.3. ‚ãã¾ã ‚ããõÀ ̾ã¾ã Ôãâºãâ£ããè ½ãªãò ‡ãŠãñ, ÊãñŒãã-ºããäÖ¾ããò ½ãò, „¶ã‡ãñŠ Êãñ¶ãªñ¶ã 3.3 Income and Expenditure items are translated ãä‡ãŠ† •ãã¶ãñ ‡ãŠãè ¦ããÀãèŒã ‡ãŠãñ ÊããØãî ãäÌããä¶ã½ã¾ã ªÀ ¹ãÀ ã䪌ãã¾ãã Øã¾ãã at the exchange rate ruling on the date of Öõý incorporating the transaction in the books of account. 4. ãäÌãªñÍããè ÍããŒãã‚ããò ‡ãñŠ ãäÌã§ããè¾ã ãäÌãÌãÀ¥ããò ‡ãŠã 4. Translation of the Financial Statements of ¹ããâ¦ãÀ¥ã Foreign Branches ãäÌãªñÍããè ÍããŒãã‚ããò ‡ãŠãè ‚ãããäÔ¦ã¾ããò †Ìãâ ªñ¾ã¦ãã‚ããò ‡ãŠã ¹ããâ¦ãÀ¥ã ‡ãŠãñ Assets and Liabilities of Foreign branches ÌãÓããĦ㠂ãã䶦ã½ã ªÀ ÊãñŒãã‡ãŠÀ¥ã ½ãòñ ½ãã¶ãª¥¡ 11 ‡ãŠã ‚ã¶ãì¹ããÊã¶ã are translated at the year-end closing rate ‡ãŠÀ¦ãñ Öí† ãä‡ãŠ¾ãã Øã¾ã㠂ããõÀ ƒÔãÔãñ ¹ãÆ㹦㠇ãìŠÊã Êãã¼ã / Öããä¶ã ‡ãŠãñ •ãºã in compliance with Accounting Standard 11 and the net gain/ loss arising out of this is ¦ã‡ãŠ ãä¶ãÌãÊã ãä¶ãÌãñÍ㠇ãŠã ãä¶ã¹ã›ã¶ã ¶ãÖãé Öãñ¦ãã ¦ãºã ¦ã‡ãŠ ãäÌãªñÍããè ½ãì³ã kept under Foreign Currency Translation ¹ã㶦ãÀ¥ã ãäÀû•ãÌãà ‡ãñŠ ¦ãÖ¦ã ÀŒã㠕ãã†Øãã ý Reserve until the disposal of the net investment. 5. ãä¶ãÌãñÍã 5. Investments 5.1 ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀ㠕ããÀãè ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ¼ããÀ¦ã ½ãò 5.1 Investments in India are classified into “Held ãä‡ãŠ¾ãñ Øㆠãä¶ãÌãñÍ㠇ãŠãñ ‘̾ãã¹ããÀ ‡ãñŠ ãäÊㆠ£ãããäÀ¦ã’, ‘ãäºã‰ãŠãè ‡ãñŠ for Trading”, “Available for Sale” and “Held ãäÊㆠ„¹ãÊ㺣㒠‚ããõÀ ‘¹ããäÀ¹ã‡ã‹Ìã¦ãã ¦ã‡ãŠ £ãããäÀ¦ã’ ¹ãÆÌãØããô ½ãò ÌãØããê‡ãðŠ¦ã to Maturity” categories in line with the ãä‡ãŠ¾ãã Øã¾ãã Öõ ý ƒ¶ã ãä¶ãÌãñÍããò ‡ãñŠ ½ãîʾããâ‡ãŠ¶ã ‚ããõÀ ¹ãƇ㊛ãè‡ãŠÀ¥ã ‡ãŠãñ guidelines from Reserve Bank of India. ãä¶ã½¶ã ãäÊããäŒã¦ã 6 ÌãØããóâ ½ãò ã䪌ãã¾ãã Øã¾ãã Öõ : Valuation and disclosures of Investments are made under six classifications viz., ‡ãŠ) ÔãÀ‡ãŠãÀãè ¹ãÆãä¦ã¼ãîãä¦ã¾ããú (À㕾ã ÔãÀ‡ãŠãÀ ‡ãŠãèñ ¹ãÆãä¦ã¼ãîãä¦ã¾ããò ÔããäÖ¦ã) a) Government securities (including State Œã) ‚㶾㠂ã¶ãì½ããñã䪦㠹ãÆãä¦ã¼ãîãä¦ã¾ããú Government securities), Øã) Íãñ¾ãÀ b) Other Approved securities, Üã) ºããù¥¡áÔ㠆Ìãâ ã䡺ãòÞãÀ c) Shares, d) Bonds & Debentures, ¡.) ÔãÖã¾ã‡ãŠ/Ôãâ¾ãì§ãŠ „¹ã‰ãŠ½ã e) Subsidiaries / Joint ventures, Þã) ½¾ãîÞãì‚ãÊã ¹ãŠâ¡ ¾ãîãä¶ã› Ì㠂㶾ã f) Units of Mutual Funds and Others.

82 5.2. ½¾ãîÞãì‚ãÊ㠹㊥¡ ‡ãñŠ ¾ãîãä¶ã›ãò Ôãñ ‚ãã¾ã ‚ããõÀ •ãÖãú º¾ãã•ã/½ãîÊã£ã¶ã 5.2 Interest on Investments, where interest / 90 ã䪶ã Ôãñ ¼ããè ‚ããä£ã‡ãŠ ã䪶ããò Ôãñ ºã‡ãŠã¾ãã Öõ, ÌãÖãú ãä¶ãÌãñÍããò ¹ãÀ principal is in arrears for more than 90 days and income from units of Mutual Funds is º¾ãã•ã ‡ãŠãè ¹ãÖÞãã¶ã ãäÌãÌãñ‡ãŠ¹ãî¥ãà ½ãã¶ãª¥¡ãò ‡ãñŠ ‚ã¶ãìÔããÀ ¶ã‡ãŠªãè ‚ãã£ããÀ recognised on cash basis as per prudential ¹ãÀ ‡ãŠãè ØãƒÃ Öõý norms. 5.3 ãä¶ãÌãñÍããò ‡ãŠã ½ãîʾããâ‡ãŠ¶ã ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀ㠕ããÀãè ãä¶ã½¶ããäÊããäŒã¦ã 5.3 Valuation of Investments is done in ãäªÍãã-ãä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ãä‡ãŠ¾ãã Øã¾ãã Öõ: accordance with the guidelines issued by Reserve Bank of India as under:- 5.3.1 ‘̾ãã¹ããÀ ‡ãñŠ ãäÊㆠ£ãããäÀ¦ã’ :- ̾ããä‡ã‹¦ãØã¦ã Íãñ¾ãÀãò ‡ãŠãñ ƒÔã ÌãØãà 5.3.1. “Held for Trading”:- Individual scrips under (ªãèÜãà †Ìãâ ÊãÜãì ªãñ¶ããò - Ôã½ãâ•ã¶ã ãä‡ãŠ† ãäºã¶ãã) ‡ãñŠ ¦ã֦㠽ãîÊã ÊããØã¦ã this category (both long and short-not to ¹ãÀ £ãããäÀ¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ý „¶ã‡ãŠã ½ãîʾããâ‡ãŠ¶ã, •ãÖãú ‡ãŠÖãé ¼ããè be netted off) are held at original cost. The ÊããØãî Öãñ, ºããû•ããÀ ªÀãò ¹ãÀ ªõãä¶ã‡ãŠ ‚㶦ãÀãÊããò ½ãò ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ; ¾ãã same is valued at daily basis at market rate, †¹ãŠ ‚ãム†½ã †½ã ¡ãè † ´ãÀã ÜããñãäÓã¦ã ‡ãŠãè½ã¦ããò ¹ãÀ ‚ããõÀ ƒÔã ÌãØãà wherever available, or as per the prices ‡ãñŠ ‚㶦ãØãæ㠹ãƦ¾ãñ‡ãŠ ÌãØãà ½ãò ãä¶ãÌãÊã ½ãîʾã ÖãÆÔã, ¾ããäª ‡ãŠãñƒÃ Öõ, ‡ãŠãñ declared by FIMMDA and in respect of each classification under this category, net ‚ãã¾ã ½ãò ¹ãƼãããäÀ¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ‚ããõÀ ãä¶ãÌãÊã Ìãðãä®, ¾ããäª ‡ãŠãñƒÃ depreciation, if any, is charged to revenue Öõ, ‡ãŠãñ ¶ãû•ãÀâªã•ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ý and net appreciation, if any, is ignored. 5.3.2 ‘ãäºã‰ãŠãè ‡ãñŠ ãäÊㆠ„¹ãÊ㺣㒠:- ƒÔã ÌãØãà ½ãò ̾ããä‡ã‹¦ãØã¦ã ¹ãÆãä¦ã¼ãîãä¦ã¾ããò 5.3.2. “Available for Sale”:- Individual securities ‡ãŠãñ ãä¦ã½ããÖãè ‚ãâ¦ãÀãÊã ¹ãÀ ºãã•ããÀ ½ãîʾ㠇ãŠãñ ºãÖãè ½ãò ‚ãâãä‡ãŠ¦ã ãä‡ãŠ¾ãã under this category are marked to market •ãã¦ãã Öõý ‡ãñŠ¶³ ÔãÀ‡ãŠãÀ ‡ãŠãè ¹ãÆãä¦ã¼ãîãä¦ã¾ããò ‡ãŠãñ, at quarterly intervals. Central Government securities are valued at market rates declared †¹ãŠ.‚ããƒ.†½ã.†½ã.¡ãè.†. ´ãÀã ÜããñãäÓã¦ã ½ãã‡ãóŠ› ªÀ ¹ãÀ ½ãîʾããâãä‡ãŠ¦ã by FIMMDA. State Government, other ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ý À㕾ã ÔãÀ‡ãŠãÀ, ‚㶾㠂ã¶ãì½ããñã䪦㠹ãÆãä¦ã¼ãîãä¦ã¾ããò Approved securities and Debentures / bonds ‚ããõÀ ã䡺ãòÞãÀãò / ºããù¥¡ãò ‡ãŠã ½ãîʾããâ‡ãŠ¶ã ¹ãÆãä¦ã¹ãŠÊã ÀñŒãã, „£ããÀ are valued as per the yield curve, credit ‰ãŠ¾ã-ãäÌã‰ãŠ¾ã ªÀãò ÌããÀ ¦ã©ã㠆¹ãŠ.‚ããƒ.†½ã.†½ã.¡ãè.† ´ãÀã ¹ãÆÔ¦ãããäÌã¦ã spread rating-wise and other methodologies ‚㶾㠦ãÀãèû‡ãŠãò ‡ãñŠ ‚ã¶ãìÔããÀ Öãñ¦ãã Öõ ý ‡ãŠãñ›ñ¡ ƒãä‡ã‹Ìã›ãè Íãñ¾ãÀãò ‡ãŠãñ suggested by FIMMDA. Quoted equity shares are valued at market rates, Unquoted ºããû•ããÀ ªÀ ¹ãÀ ½ãîʾããâãä‡ãŠ¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ, ‚ã¶ã‡ãŠãñ›ñ¡ ƒãä‡ã‹Ìã›ãè equity shares and Units of Venture Capital Íãñ¾ãÀãò ‡ãŠãñ „¹ãÊ㺣㠶ãÌããè¶ã¦ã½ã ¦ãìÊã¶ã-¹ã¨ã Ôãñ ¹ãÆ㹦㠕ãã¶ã‡ãŠãÀãè ‡ãñŠ Funds are valued at book value/NAV ‚ãã£ããÀ ¹ãÀ ‘ºãì‡ãŠ Ìãõʾãî’ / †¶ã†Ìããè ¹ãÀ ½ãîʾããâãä‡ãŠ¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ascertained from the latest available balance ‚㶾ã©ãã Á.1/- ¹ãÆãä¦ã ‡ãŠ½¹ã¶ããè /¹ãŠ¥¡ ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ½ãîʾããâãä‡ãŠ¦ã sheet, otherwise the same is valued at Re.1/ - per Company/Fund. ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ý Treasury Bills and Commercial Papers and ›Èñû•ãÀãè ãäºãÊããò ‚ããõÀ Ìãããä¥ãã䕾ã‡ãŠ ¹ã¨ã ‚ããõÀ •ã½ãã‚ããò ‡ãñŠ ¹ãƽãã¥ã ¹ã¨ã Certificate of Deposits are valued at carrying ‡ãŠãñ ÀŒããÌã ÊããØã¦ã ¹ãÀ ½ãîʾããâãä‡ãŠ¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý ½¾ãìÞãìÌãÊ㠹㊥¡ cost. Units held in Mutual fund schemes ¾ããñ•ã¶ãã ½ãò £ãããäÀ¦ã ¾ãîãä¶ã›ãò ‡ãŠãñ „¹ãÊ㺣㠺ããû•ããÀ ½ãîʾ㠾ãã ãäÀ¹ãÞãóû•ã are valued at Market Price or Repurchase ½ãîʾ㠾ãã ¶ãñ› †Ôãñ› Ìãõʾãî ¹ãÀ ½ãîʾããâãä‡ãŠ¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý price or Net Asset Value in that order depending on availability. ¹ããè¡ã膂ãム/ †¹ãŠ‚ãテ½ã†½ã¡ãè† ´ãÀ㠇ãñŠ¶³ãè¾ã ÔãÀ‡ãŠãÀ ‡ãŠãè Valuation of Preference shares is made on ¹ãÆãä¦ã¼ãîãä¦ã¾ããò ‡ãñŠ ãäÊㆠÌãホã膽㠪À ‡ãñŠ ¹ãÀ „¹ã¾ãì‡ã‹¦ã ½ãîʾ㠺ã¤ãõ¦ãÀãè YTM basis with appropriate mark up over ‡ãñŠ Ôãã©ã ‚ããä£ã½ãã¶ã¦ãã Íãñ¾ãÀãò ‡ãŠã ½ãîʾããâ‡ãŠ¶ã Ìãホã膽㠇ãñŠ ‚ãã£ããÀ the YTM rates for Central Govt. Securities ¹ãÀ ‚ããÌããä£ã‡ãŠ ¹ã Ôãñ ãä‡ãŠ¾ãã Øã¾ãã Öõý put out by the PDAI / FIMMDA periodically. „¹ã¾ãìÇ㋦㠽ãîʾããâ‡ãŠ¶ã ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ¹ãƦ¾ãñ‡ãŠ ÌãØããê‡ãŠÀ¥ã ‡ãñŠ ¦ãÖ¦ã Based on the above valuations under each classification, net depreciation, if any, is ãä¶ãÌãÊã ½ãîʾã ÖÆãÔã, ¾ããäª ‡ãŠãñƒÃ Öõ, ‡ãŠãñ ã䪾ã㠕ãã†Øã㠂ããõÀ ãä¶ãÌãÊã provided for and net appreciation, if any is Ìãðãä® ¾ããäª ‡ãŠãñƒÃ Öõ, ‡ãŠãñ ¶ã•ãÀâªã•ã ãä‡ãŠ¾ã㠕ãã†Øããý ½ãìʾããâ‡ãŠ¶ã ‡ãñŠ ignored. The book value of the individual ‡ãŠãÀ¥ã Ôãñ ̾ããä‡ã‹¦ãØã¦ã ¹ãÆãä¦ã¼ãîãä¦ã¾ããò ‡ãñŠ ºãÖãè ½ãîʾ㠽ãò ‡ãŠãñƒÃ ºãªÊããÌã securities would not undergo any change ¶ãÖãé ÖãñØããý due to valuation. 5.3.3 ‘¹ããäÀ¹ã‡ã‹Ìã¦ã㠇ãñŠ ãäÊㆠ£ãããäÀ¦ã’ :-†ñÔãñ ãä¶ãÌãñÍããò ‡ãŠãñ ‚ããä£ãØãÆÖ¥ã 5.3.3. “Held to Maturity”:- Such investments are carried at acquisition cost/ amortized cost. ÊããØã¦ã / ¹ããäÀÍããñ£ã¶ã ÊããØã¦ã ¹ãÀ ãäÊã¾ã㠕ãã¦ãã Öõ ý ¹ãƦ¾ãñ‡ãŠ ¹ãÆãä¦ã¼ãîãä¦ã

83 ‡ãñŠ ‚ãâãä‡ãŠ¦ã ½ãîʾ㠇ãñŠ ¹ãÀ ‚ããä£ãØãÆÖ¥ã ÊããØã¦ã ½ãò ¾ããäª ‚ããä£ã‡ãŠ¦ãã The excess, if any, of acquisition cost over Öãñ, „Ôãñ ¹ããäÀ¹ã‡ã‹Ìã¦ã㠇ãñŠ ÍãñÓ㠂ãÌããä£ã ¹ãÀ ¹ããäÀÍããñãä£ã¦ã ãä‡ãŠ¾ã㠕ãã¦ãã the face value of each security is amortized over the remaining period of maturity. Öõý ‚ã¶ãìÓãâØããè, ÔãÖ¾ããñØããè ‚ããõÀ ¹ãÆã¾ããñãä•ã¦ã ÔãâÔ©ãã‚ããò ‚ããõÀ •ããñãäŒã½ã Investments in subsidiaries, associates and ¹ãîú•ããè ãä¶ããä£ã ‡ãñŠ ¾ãîãä¶ã›ãò ½ãò ãä¶ãÌãñÍããò ‡ãŠãñ ÀŒããÌã ÊããØã¦ã ¹ãÀ ½ãîʾããâãä‡ãŠ¦ã sponsored Institutions and Units of Venture ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ý Capital Funds are valued at carrying cost. 5.4 Investments are subject to appropriate 5.4 †¶ã.¹ããè.† ÌãØããê‡ãŠÀ¥ã ‡ãñŠ ãäÊㆠ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀã ºã¶ãㆠprovisioning / de-recognition of income, in ØㆠãäÌãÌãñ‡ãŠ¹ãî¥ãà ½ãã¶ãª¥¡ãò ‡ãñŠ ‚ã¶ãìÔããÀ ãä¶ãÌãñÍ㠄ãäÞã¦ã ¹ãÆãÌã£ãã¶ã / line with the prudential norms prescribed by ‚ãã¾ã ‡ãŠãè ‚ã¶ããä¼ã—ãã¶ã ‡ãñŠ ‚ã£ããè¶ã Öõ ý ‚ããäØãƽããò ‡ãñŠ ¹㠽ãò ã䡺ãòÞãÀãò Reserve Bank of India for NPA classification. / ºããù¥¡ãò ‡ãŠãñ ÌãØããê‡ãŠÀ¥ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ„¶Öãé Ôãã½ã㶾ã ãäÌãÌãñ‡ãŠ¹ãî¥ãà Debentures / bonds in the nature of advances are also subject to usual prudential norms ½ãã¶ãª¥¡ãò ‡ãŠãñ ÊããØãî ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ‚ããõÀ ¦ãª¶ãìÔããÀ ¹ãÆãÌã£ãã¶ã ãä‡ãŠ¾ãã and accordingly provided for, wherever •ãã¦ãã Öõ ý appropriate. 5.5 ãä‡ãŠÔããè ¼ããè ÌãØãà ½ãò ãä¶ãÌãñÍããò ‡ãñŠ ãäÌã‰ãŠ¾ã Ôãñ Öãñ¶ãñ ÌããÊãñ Êãã¼ã / Öããä¶ã 5.5 Profit / Loss on sale of Investments in any ‡ãŠãñ Êãã¼ã / Öããä¶ã Œãã¦ãñ ½ãò ãäÊãŒã㠕ãã¦ãã Öõý ¹ããäÀ¹ã‡ã‹Ìã¦ã㠇ãñŠ ãäÊㆠcategory is taken to Profit and Loss account. “ In case of profit on sale of investments in £ãããäÀ¦ã” ÌãØãà ½ãò ãä¶ãÌãñÍããò ‡ãñŠ ãäÌã‰ãŠ¾ã ‡ãŠãè ‚ãã¾ã ‡ãñŠ ½ãã½ãÊãñ ½ãò, †‡ãŠ “Held to Maturity” category, an equivalent Ôã½ãã¶ã ÀããäÍ㠓¹ãîú•ããè ‚ããÀãäàã¦ã Œãã¦ãñ” ½ãò ãäÌããä¶ã¾ããñãä•ã¦ã ‡ãŠãè •ãã¦ããè amount is appropriated to “Capital Reserve Öõý Account”. 5.6 Incentive / Front-end fees, etc. received on 5.6 ¹ãÆãä¦ã¼ãîãä¦ã¾ããò ‡ãñŠ ãäÊㆠ‚ãâÍãªã¶ã ¹㠽ãò ¹ãÆ㹦㠹ãÆãñ¦ÔããÖ¶ã / ¹ãƊ¥›- subscription to securities are taken to Profit †¥¡-¹ãŠãèÔ㠂ãããäª ‡ãŠãñ Êãã¼ã-Öããä¶ã Œãã¦ãñ ½ãò ãäÊãŒã㠕ãã¦ãã Öõý and Loss account. 5.7 ãäÌãªñÍããè ÍããŒãã‚ããò ´ãÀã £ãããäÀ¦ã ãä¶ãÌãñÍããò ‡ãŠã ÌãØããê‡ãŠÀ¥ã †Ìãâ ½ãîʾããâ‡ãŠ¶ã 5.7 Investments held by Overseas Branches are classified and valued as per guidelines issued Ôãâºãâãä£ã¦ã ãäÌããä¶ã¾ãã½ã‡ãŠ ¹ãÆããä£ã‡ãŠããäÀ¾ããò ´ãÀ㠕ããÀãè ãäªÍãããä¶ãªóÍããò ‡ãñŠ by the respective regulatory authorities. ‚ã¶ãìÔããÀ ãä‡ãŠ¾ã㠕ãã¦ãã Öõý 6. Advances 6. ‚ããäØãƽã 6.1 Advances have been classified as ‘Standard’, 6.1 ‚ããäØãƽããò ‡ãŠãñ ‘½ãã¶ã‡ãŠ’, ‘‚ãÌã-½ãã¶ã‡ãŠ’, ‘ÔãâªñÖãԹ㪒 ‚ããõÀ ‘Öããä¶ã- ‘Sub-standard’, ‘Doubtful’ and ‘Loss assets’ •ã¶ã‡ãŠ ‚ãããäÔ¦ã¾ããú’ ½ãò ÌãØããê‡ãðŠ¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõ ‚ããõÀ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà and provisions for possible losses on such ºãö‡ãŠ ´ãÀ㠕ããÀãè ãäÌãÌãñ‡ãŠ¹ãî¥ãà ½ãã¶ãª¥¡ãò ‡ãñŠ ‚ã¶ãìÔããÀ ‚ããõÀ Ôã½ã¾ã- advances are made as per prudential norms issued by Reserve Bank of India and also Ôã½ã¾ã ¹ãÀ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãä¶ãªñÍããò ‡ãñŠ ‚ã¶ãìÔããÀ †ñÔãñ ‚ããäØãƽããò as per the directives of Reserve Bank of India ¹ãÀ Ôãâ¼ãã̾ã Öããä¶ã¾ããò ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã ãä‡ãŠ¾ãã Øã¾ãã Öõý ãäÌãªñÍããè from time to time. In case of overseas ÍããŒãã‚ããò ‡ãñŠ Ôãâºãâ£ã ½ãò, Ôãâºãâãä£ã¦ã ªñÍããò ‡ãñŠ ãäÌããä¶ã¾ã½ããò ‡ãñŠ ‚ãã£ããÀ branches, the provision is made on the respective country’s regulations or as per ¹ãÀ ¹ãÆãÌã£ãã¶ã ºã¶ãã¾ã㠕ãã¦ãã Öõ ¾ãã ãä¹ãŠÀ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ norms of Reserve Bank of India whichever ½ãã¶ãªâ¡ ¹ãÀ, •ããñ ¼ããè „ÞÞã¦ãÀ Öãñý is higher. 6.2 ûØãõÀ-ãä¶ãÓ¹ã㪇㊠‚ãããäÔ¦ã¾ããò ‡ãñŠ ãäÊㆠºãö‡ãŠ ¶ãñ ãäÌãÌãñ‡ãŠ ¹ãî¥ãà ½ãã¶ãª¥¡ãò 6.2 The Bank holds floating provision for non- Ôãñ ‚ããä£ã‡ãŠ ‚ããõÀ ¹ãÀ ‚ãÔ©ããƒÃ ¹ãÆãÌã£ãã¶ã ‡ãŠÀ ÀŒãã Öõý ãäÌããä¼ã¸ã performing advances over and above the prudential norms. Such floating provisions ‚ãÌããä£ã¾ããò ¹ãÀ ºã¶ãㆠØㆠ‚ãÔ©ããƒÃ ¹ãÆãÌã£ãã¶ããò ‡ãŠãñ ÊãñŒãã-‚ãÌããä£ã ‡ãñŠ built over different periods would not be used ªãõÀã¶ã ãä‡ãŠÔããè Êãã¼ã ¾ãã Ôã½ã‡ãŠãÀãè Êãã¼ããâÍ㠇ãñŠ ãäÊㆠ¹ãƾããñØã ½ãò ¶ãÖãé for any profit or dividend equalisation across Êãã¾ã㠕ãã†Øããý accounting periods.

84 6.3. ½ãã¶ã‡ãŠ ‚ãããäÔ¦ã¾ããò ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã : 6.3 Provisions on Standard Assets: ‚ããäØãƽ㠇ãŠã ¹ãƇãŠãÀ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ Type of Advance Provision made as per ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ¹ãÆãÌã£ãã¶ã RBI Guidelines ‚ã) ‡ãðŠãäÓ㠆Ìã⠆ÔㆽãƒÃ àãñ¨ã ‡ãñŠ ¹ãƦ¾ãà㠂ããäØãƽã 0.25% a) Direct Advances to Agriculture & SME Sector 0.25% ‚ãã) Ìãããä¥ã•¾ã‡ãŠ Ô©ããÌãÀ Ôãâ¹ãªã àãñ¨ã ‡ãñŠ ‚ããäØãƽã 1% b) Advances to Commercial Real Estate Sector 1% (‚ã) †Ìãâ (‚ãã) ½ãò ¶ãÖãé •ããñü¡ñ ØㆠÔã¼ããè All other advances not included in ‚㶾㠂ããäØãƽã 0.40% (a) & (b) 0.40% ¹ãÀ ªãè ØãƒÃ ‚ã¹ãñàãã‚ããò Ôãñ ‚ããä£ã‡ãŠ ¾ãã ¹ãÀ ¾ããäª ½ãã¶ã‡ãŠ ‚ããäØãƽããò Provision held, if any for Standard Advances, ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã ã䪆 ØㆠÖö ¦ããñ Ìãñ ¼ããäÌãӾ㠽ãò ½ãã¶ã‡ãŠ ‚ããäØãƽããò ‡ãñŠ over and above the requirements stated above would continue to be held for future ¹ãÆãÌã£ãã¶ã ‚ã¹ãñàãã‚ããò ‡ãñŠ ãäÊㆠÀãñ‡ãŠ ãäÊã¾ã㠕ãã†Øã㠂ããõÀ „¶Öò Êãã¼ã- requirements of Provision towards Standard Öããä¶ã Œãã¦ãñ ½ãò ¶ãÖãé ¡ãÊã㠕ãã†Øããý Advances and shall not bereversed to Profit & Loss a/c. 6.4. ½ãã¶ã‡ãŠ ‚ããäØãƽããò ‡ãñŠ ãäÊㆠãä‡ãŠ† ØㆠÔãã½ã㶾㠹ãÆãÌã£ãã¶ããò ‡ãŠãñ œãñü¡‡ãŠÀ 6.4 Advances are stated net of provisions except ‚ããäØãƽããò ‡ãŠãñ ¹ãÆãÌã£ãã¶ããò ‡ãñŠ ãä¶ãÌãÊ㠇ãñŠ ¹㠽ãò ã䪌ãã¾ãã Øã¾ãã Öõý general provisions for standard advances. 7. ÔÌã¥ãÃ-‡ãŠãÀãñºããÀ 7. Gold Business ÔÌã¥ãà ‡ãñŠ ‰ãŠ¾ã-ãäÌã‰ãŠ¾ã ‡ãñŠ ‚ããä¦ããäÀ‡ã‹¦ã ‚㶾ã Êãñ¶ã-ªñ¶ããò ‡ãŠãè Øã¥ã¶ãã Transactions in Gold other than purchase and ¹ãÆÞããäÊã¦ã ‡ãŠãʹããä¶ã‡ãŠ ªÀ ¹ãÀ ‡ãŠãè •ãã¦ããè Öõý sale are accounted for at prevalent notional rates. 8. ¡ñãäÀÌãñãä›ÌÔã 8. Derivatives 8.1. º¾ãã•ã Ôããä֦㠂ãããäÔ¦ã¾ããò / ªñ¾ã¦ãã‚ããò ‡ãŠãè ¹ãÆãä¦ãÀàã㠂ããõÀ ̾ãã¹ããÀ 8.1 The Bank enters into Interest Rate Swaps in „ÿñ;㠇ãñŠ ãäÊㆠºãö‡ãŠ ¶ãñ º¾ãã•ã ªÀ ãäÌããä¶ã¾ã½ã¶ã ‚ããÀâ¼ã ãä‡ãŠ¾ãã Öõý order to hedge interest bearing assets / liabilities, and for trading purposes. 8.2. º¾ãã•ã ªÀ ãäÌããä¶ã¾ã½ã •ããñ ¹ãÆãä¦ãÀàã㠄ÿñ;ã Ôãñ Ôãâ‡ãìŠãäÞã¦ã ãä‡ãŠ† ØㆠÖâõ 8.2 In respect of Interest Rate Swaps which are ‡ãñŠ Ôãâºãâ£ã ½ãò ¹ãÆã¹¾ã / ªñ¾ã ãä¶ãÌãÊã À‡ãŠ½ã ‡ãŠãè ¹ãÖÞãã¶ã „¹ããäÞã¦ã ‚ãã£ãÀ contracted for hedging purposes, the net ¹ãÀ ‡ãŠãè ØãƒÃ Öõý ƒÔã ãäÌããä¶ã¾ã½ã ‡ãñŠ Ôã½ãã¹ã¶ã ¹ãÀ Öì† Êãã¼ã ‚ã©ãÌãã amount receivable / payable is recognized Öããä¶ã ‡ãŠãñ ‚ããÔ©ããäØã¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõ ‚ããõÀ ƒÔã‡ãŠãè ¹ãÖÞãã¶ã ãäÌããä¶ã¾ã½ã¶ã on accrual basis. Gains or losses on ‡ãŠãè ºãÞããè ÖìƒÃ ÔãâãäÌãªã¦½ã‡ãŠ ‚ãÌããä£ã Ôãñ ¹ãÀ ‚ã©ãÌã㠂ãããäÔ¦ã / termination on swaps are deferred and recognized over the remaining contractual ªñ¾ã¦ã㠇ãŠãè ºãÞããè ÖìƒÃ ‚ãÌããä£ã, ƒÔã½ãò Ôãñ •ããñ ¼ããè ¹ãÖÊãñ Öãñ, ‡ãñŠ life of the swaps or the remaining life of the ‚ãã£ããÀ ¹ãÀ ‡ãŠãè ØãƒÃ Öõý †ñÔãñ º¾ãã•ã ªÀ ãäÌããä¶ã¾ã½ã¶ã ‡ãŠãñ ºãÖãè ½ãîʾã assets/ liabilities, whichever is earlier. Such ½ãò ‚ãâãä‡ãŠ¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõ, ¹ãÀâ¦ãì ƒÔã‡ãñŠ ¹ãŠÊãÔÌã¹㠹ãÆ㹦ã Êãã¼ã ¾ãã Interest rate swaps are marked to market, Öããä¶ã ‡ãŠãñ ½ã㶾ã¦ãã ¶ãÖãé ªãè •ãã¦ããè, ‚ã¹ãÌã㪠Ìãñ ½ãã½ãÊãñ Öö, •ãÖãú but the resultant gain or loss is not recognized, except where the swap is ãäÌããä¶ã¾ã½ã †ñÔããè ‚ãããäÔ¦ã / ªñ¾ã¦ã㠇ãñŠ Ôãã©ã ¶ãããä½ã¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ •ããñ designated with an asset/ liability which is „Ôããè ¦ãÀÖ ºãÖãè ½ãîʾ㠽ãò ‚ãâãä‡ãŠ¦ã ãä‡ãŠ¾ãã Øã¾ãã Öãñ, ãä•ãÔã‡ãñŠ ¹ãŠÊãÔÌã¹ã also marked to market, in which case, the ¹ãÆ㹦ã Öãñ¶ãñ ÌããÊãñ Êãã¼ã ¾ãã Öããä¶ã ‡ãŠãñ ‚ã£ããñØã¦ã ‚ãããäÔ¦ã / ªñ¾ã¦ã㠇ãñŠ resulting gain or loss is recorded as an ºããû•ããÀ ½ãîʾ㠇ãŠãè Öª ¦ã‡ãŠ Ôã½ãã¾ããñãä•ã¦ã ‡ãŠÀ¶ãñ ‡ãñŠ ¹㠽ãò ª•ãà ãä‡ãŠ¾ãã adjustment to the market value of the Øã¾ãã Öãñý underlying asset / liability. 8.3 Trading Swaps outstanding at the year end 8.3. „²ããñØã ½ãò ¹ãÆÞããäÊã¦ã ½ãâû•ãîãäÀ¦ã Ôãã½ã㶾㠹ã®ãä¦ã ‡ãñŠ ‚ã¶ãìÔããÀ ÌãÓããĦã are marked to market as per the generally ¹ãÀ ÍãñÓã ̾ãã¹ããÀ ãäÌããä¶ã¾ã½ã¶ã ‡ãñŠ ½ãîʾ㠇ãŠã ºãÖãè ½ãò ‚ãâãä‡ãŠ¦ã ãä‡ãŠ¾ãã accepted practices prevailing in the industry Øã¾ã㠂ããõÀ ºããû•ããÀ ªÀ ¹ãÀ ÖìƒÃ ¹ããäÀÌã¦ãö㠇ãŠãñ Êãã¼ã - Öããä¶ã Œãã¦ãã ½ãò and the changes in the market value are ãäÊãŒãã Øã¾ããý ƒ¶ã ãäÌããä¶ã¾ã½ããò Ôãñ Ôãâºãâãä£ã¦ã ‚ãã¾ã †Ìãâ ̾ã¾ã ‡ãŠãñ recognized in the Profit & Loss Account. Income and expenses relating to these swaps ãä¶ã¹ã›ã¶ã ¦ããÀãèŒã ¹ãÀ ¹ãÖÞãã¶ãã Øã¾ããý ̾ãã¹ããÀ ãäÌããä¶ã¾ã½ã¶ã ‡ãñŠ Ôã½ãã¹ã¶ã are recognized on the settlement date.

85 ¹ãÀ Öì† Êãã¼ã - Öããä¶ã ‡ãŠãñ ‚ãã¾ã ¾ãã ̾ã¾ã ‡ãñŠ ¹㠽ãò ª•ãà ãä‡ãŠ¾ãã Gains or losses on termination of the trading Øã¾ããý swaps are recorded as income or expenses. 9. ‚ãÞãÊ㠂ãããäÔ¦ã¾ããú 9. Fixed Assets 9.1 ¹ãì¶ã½ãÃîʾããâãä‡ãŠ¦ã ¹ããäÀÔãÀãò ‡ãŠãñ œãñü¡‡ãŠÀ Ô©ããƒÃ ‚ãããäÔ¦ã¾ããò ‡ãŠãñ †ñãä¦ãÖããäÔã‡ãŠ 9.1 Fixed Assets except revalued premises are ÊããØã¦ã ¹ãÀ ã䪌ãã¾ãã Øã¾ãã Öõ ‚ããõÀ ãä¶ã½¶ããäÊããäŒã¦ã ÍããèÓããô ‡ãñŠ ¦ãÖ¦ã stated at historical cost and are broadly classified/ grouped under the following heads: ºãð֦㠹ã Ôãñ ÌãØããê‡ãðŠ¦ã / Ôã½ãîֺ㮠ãä‡ãŠ¾ãã Øã¾ãã Öõ: i) Premises. i. ¹ããäÀÔãÀ ii. ¹ãÆãä‰ãŠ¾ãã£ããè¶ã ¹ãîâ•ããè ii) Capital Work-in-progress. iii. ‚㶾㠂ãÞãÊ㠂ãããäÔ¦ã¾ããú ãä•ãÔã½ãò iii) Other Fixed Assets including a) £ãã¦ãì ¹ãŠ¶ããêÞãÀ a) Metal Furniture. b) Êã‡ãŠü¡ãè ‡ãñŠ ¹ãŠ¶ããêÞãÀ b) Wooden Furniture. c) ƒÊãñãä‡ã‹›È‡ãŠÊ㠄¹ã‡ãŠÀ¥ã d) ÌããÖ¶ã c) Electrical Installation. e) ‡ãŠ½¹¾ãî›À* Íãããä½ãÊã Öö d) Vehicles. e) Computers.* * ¹ã›á›ñÌããÊãñ ‚ããõÀ ¹ãî¥ãà ÔÌãããä½ã¦Ìã ÌããÊãñ Ô©ãã¶ã ‡ãñŠ ãäÌã‡ãŠãÔ㠇ãŠãè ÊããØã¦ã * ATMs along with cost of development of the Ôããä֦㠆›ã膽ã, ‡ãŠ½¹¾ãî›À ÔãÖã¾ã‡ãŠ „¹ã‡ãŠÀ¥ã •ãõÔãñ ¾ãî¹ããè†Ôã, ºãõ›Àãè leasehold and freehold sites, computer ‚ãããäª ‚ããõÀ „¶ã‡ãŠãè ¹ãÆãä¦ãÔ©ãã¹ã¶ã ‡ãŠãè ÊããØã¦ã ‡ãŠãñ ‡ãŠ½¹¾ãî›À ÍããèÓãà ‡ãñŠ peripherals like UPS, Batteries, etc and their ¦ã֦㠹ãîú•ããè‡ãðŠ¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõý replacement costs are capitalized under the head computers. 9.2 ½ãîʾãÖÆãÔ㠇ãŠã ¹ããäÀ‡ãŠÊã¶ã ¹ãƺãâ£ã¶ã ´ãÀ㠄¹ã¾ãì§ãŠ Ôã½ã¢ããè ØãƒÃ 9.2 Depreciation is provided on straight-line ãä¶ã½¶ããäÊããäŒã¦ã ªÀãò ¹ãÀ Ôããè£ããè ÀñŒãã ¹ãªá£ããä¦ã ‡ãñŠ ‚ã¶ãìÔããÀ ãä‡ãŠ¾ãã method at the rates considered appropriate Øã¾ãã Öõ : by the Management as under: ¹ããäÀÔãÀ 2.5 % Premises 2.50 % û¹ãŠ¶ããêÞãÀ 10 % Furniture 10 % ƒÊãñãä‡ã‹›È‡ãŠÊ㠄¹ã‡ãŠÀ¥ã, ÌããÖ¶ã Ì㠇ãŠã¾ããÃÊã¾ããè¶ã Ôãã•ã-Ôãã½ãã¶ã 20% Electrical Installations, Vehicles & Office Equipments 20 % ‡ãŠ½¹¾ãî›À 33 1/3 % Computers 33 1/3 % ‚ããäضãÍãã½ã‡ãŠ ¾ãâ¨ã 100 % Fire Extinguishers 100 % Ô©ããƒÃ ‚ãããäÔ¦ã¾ããò ‡ãñŠ ¹ãì¶ã½ãÃîʾããâãä‡ãŠ¦ã ¼ããØã ¹ãÀ ½ãîʾãÖÆãÔ㠇ãŠãñ ¹ãì¶ã½ãîÃʾããâ‡ãŠ¶ã ‚ããÀãäàã¦ã ãä¶ããä£ã Œãã¦ãñ Ôãñ ãä¶ã‡ãŠãÊã‡ãŠÀ Êãã¼ã-Öããä¶ã Depreciation on revalued portion of the fixed assets is withdrawn from revaluation reserve Œãã¦ãñ ½ãò •ã½ã㠇ãŠÀ ã䪾ãã Øã¾ãã Öõ ý and credited to profit and loss account. 9.3 ‚ããä£ãØãÆÖ¥ã / ¹ãì¶ã½ãÃîʾããâ‡ãŠ¶ã ‡ãŠãè ¦ããÀãèŒã ‡ãŠã ãäÊãÖãû•ã ãä‡ãŠ† ãäºã¶ãã 9.3 Depreciation is provided for the full year ½ãîʾãÖÆãÔ㠇ãŠã ¹ãÆãÌã£ãã¶ã ¹ãîÀñ ÔããÊ㠇ãñŠ ãäÊㆠãä‡ãŠ¾ãã Øã¾ãã Öõ ý irrespective of the date of acquisition / revaluation. 9.4 •ãÖãú ‚ãÊãØã-‚ãÊãØã ÊããØã¦ããò ‡ãŠã ‚ã¶ãì½ãã¶ã ¶ãÖãé ÊãØãã¾ã㠕ãã Ôã‡ãŠ¦ãã 9.4 Depreciation is provided on Land and ©ãã, ÌãÖãú ¼ãîãä½ã ‚ããõÀ ¼ãÌã¶ã ¹ãÀ ½ãîʾãÖÆãÔ㠇ãŠã ¹ãÆãÌã£ãã¶ã Ôã½ãØãÆ Â¹ã Building as a whole where separate costs ½ãò ãä‡ãŠ¾ãã Øã¾ãã Öõ ý are not ascertainable. 9.5 ¹ã›á›ñ ÌããÊããè Ôãâ¹ããä§ã¾ããò ‡ãñŠ ½ãã½ãÊãñ ½ãò ¹ã›á›ñ ‡ãŠãè ‚ãÌããä£ã ‡ãñŠ ªãõÀã¶ã 9.5 In respect of leasehold properties, premium ¹ãÆãèãä½ã¾ã½ã ‡ãŠã ¹ããäÀÍããñ£ã¶ã ãä‡ãŠ¾ãã Øã¾ãã Öõ ý is amortised over the period of lease. 9.6 ãäÌãªñÍããè ÍããŒãã‚ããò ‡ãŠãè Ô©ãã¾ããè ‚ãããäÔ¦ã¾ããò ¹ãÀ ½ãîʾãÖÆãÔ㠇ãñŠ ãäÊㆠ9.6 Depreciation on Fixed Assets of foreign branches is provided as per the applicable Ôãâºãâãä£ã¦ã ªñÍã ½ãò ÊããØãî ‡ãŠã¶ãî¶ã ‡ãñŠ ‚ã¶ãìÔããÀ ¹ãÆãÌã£ãã¶ã ãä‡ãŠ¾ãã Øã¾ãã laws of the respective countries. Öõý

86 10. ԛãû¹ãŠ-ÔãìãäÌã£ãã†ú 10. Staff Benefits 10.1. „¹ãªã¶ã Ìã ¹ãòÍã¶ã ªñ¾ã¦ãã‚ããò ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã ÌããÔ¦ããäÌã‡ãŠ ‚ãã£ããÀ 10.1 Provision for gratuity and pension liability is ¹ãÀ ãä‡ãŠ¾ãã Øã¾ãã Öõ ‚ããõÀ „Ôãñ ‚ã¶ãì½ããñã䪦㠄¹ãªã¶ã †Ìãâ ¹ãòÍã¶ã ãä¶ããä£ã made on actuarial basis and contributed to ½ãò ‚ãâÍãªããä¶ã¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõ ý ÊãñŒãã‡ãŠÀ¥ã ½ãã¶ã‡ãŠ 15 ‡ãŠã approved Gratuity and Pension Fund. Provision for encashment of accumulated ‚ã¶ãì¹ããÊã¶ã ‡ãŠÀ¦ãñ Öí† ÔãñÌãããä¶ãÌãðãä§ã ¾ã㠂㶾ã©ãã ¹ãÀ Ôãâªñ¾ã œì›á›ãè leave payable on retirement or otherwise is ¶ã‡ãŠªãè‡ãŠÀ¥ã ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã ÌãÓãà ‡ãñŠ ‚ãâ¦ã ½ãò ÌããÔ¦ããäÌã‡ãŠ ½ãîʾã made on actuarial valuation at the year-end, ¹ãÀ ãä‡ãŠ¾ãã Øã¾ãã Öõ ý in compliance with Accounting Standard 15. 10.2 In respect of overseas branches gratuity is 10.2. ãäÌãªñÍããè ÍããŒãã‚ããò ‡ãñŠ ½ãã½ãÊãñ ½ãò „¹ãªã¶ã ‡ãŠã ãäÖÔããºã Ôãâºãâãä£ã¦ã accounted for as per laws prevailing in the ªñÍã ½ãò ÊããØãî ‡ãŠã¶ãî¶ã ‡ãñŠ ‚ã¶ãìÔããÀ ãä‡ãŠ¾ãã Øã¾ãã Öõ ý respective countries. 11. ãä¶ãÌãÊã Êãã¼ã / Öããä¶ã 11. Net Profit / Loss Êãã¼ã Ìã Öããä¶ã Œãã¦ãñ ½ãò ¹ãƇ㊛ ãä¶ãÌãÊã Êãã¼ã / Öããä¶ã ãä¶ã½¶ããäÊããäŒã¦ã Net Profit / Loss disclosed in the Profit and ‡ãñŠ ºã㪠Öõ û: Loss Account is after: i. ‚ãã¾ã ‚ããõÀ £ã¶ã ¹ãÀ ‡ãŠÀãò ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã i) Provision for taxes on income and wealth ii. ½ãã¶ã‡ãŠ ‚ããäØãƽããò ‡ãñŠ ãäÊㆠÔãã½ã㶾㠹ãÆãÌã£ãã¶ã ‚ããõÀ ‚ã¶ã•ãÇ㊠ii) Provision for non-performing advance and ‚ãããäÔ¦ã¾ããò ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã general provision for Standard Advances iii. ãä¶ãÌãñÍããò ¹ãÀ ½ãîʾãÖÆãÔã / ¹ããäÀÍããñ£ã¶ã / ¹ãÆãÌã£ãã¶ã iii) Depreciation/Amortisation/ provision on investments iv. ‚㶾ã ãäÀÌããû•ããè ‚ããõÀ ‚ããÌã;ã‡ãŠ ¹ãÆãÌã£ãã¶ã iv) Other usual and necessary provisions 12. ‡ãŠÀã£ãã¶ã ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã 12. Provision for Taxation i. ‡ãŠÀãò ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã ‚ã¶ãì½ãããä¶ã¦ã ‡ãŠÀ ªñ¾ã¦ã㠇ãñŠ ‚ãã£ããÀ I) Provision for Taxes has been made on ¹ãÀ ãä‡ãŠ¾ãã Øã¾ãã Öõ ãä•ãÔã½ãò ÊãñŒãã‡ãŠÀ¥ã ½ãã¶ãª¥¡ 22 ‡ãñŠ the basis of estimated tax liability which ‚ã¶ãì¹ããÊã¶ã ½ãò, ‚ããÔ©ããäØã¦ã ‡ãŠÀ ‡ãñŠ ãäÊㆠãä‡ãŠ† ØㆠÔã½ãã¾ããñ•ã¶ã includes adjustments for Deferred Tax in Íãããä½ãÊã Öö ý compliance with Accounting Standard 22. ii) Securities Transactions Tax is charged to ii. ¹ãÆãä¦ã¼ãîãä¦ã Êãñ¶ãªñ¶ã ‡ãŠÀ ‡ãŠãñ Êãã¼ã-Öããä¶ã Œãã¦ãñ ‡ãñŠ ãäÊㆠ¹ãƼãããäÀ¦ã Profit & Loss Account. ãä‡ãŠ¾ã㠕ãã¦ãã Öõý

87 ‚ã¶ãìÔãîÞããè 18 Schedule 18 ÊãñŒããò ¹ãÀ ã䛹¹ããä¥ã¾ããú NOTES ON ACCOUNTS 1. Ôã½ãã¾ããñ•ã¶ã 1. Reconciliation ‚ãâ¦ãÀ-ºãö‡ãŠ ‚ããõÀ ‚ãâ¦ãÀ-ÍããŒãã Êãñ¶ãªñ¶ããò ‡ãŠã Ôã½ãã¾ããñ•ã¶ã 31 ½ããÞãÃ, Reconciliation of inter-bank and inter-branch st 2010 ¦ã‡ãŠ ¹ãîÀ㠇ãŠÀ ãäÊã¾ãã Øã¾ãã Öõ ý ºã‡ãŠã¾ãã ¹ãÆãäÌããäӛ¾ããò ‡ãñŠ transactions has been completed up to 31 March 2010. Steps for elimination of ãäÌãÊããñ¹ã¶ã ‡ãŠã ‡ãŠã¾ãà •ããÀãè Öõ ý Þãîâãä‡ãŠ ãäÌãÊããñãä¹ã¦ã ‡ãŠãè •ãã¶ãñ ÌããÊããè ºã‡ãŠã¾ãã outstanding entries are in progress. Since ¹ãÆãäÌããäӛ¾ããú „¦ã¶ããè ½ãÖ¦Ìã¹ãî¥ãà ¶ã Öãñ¶ãñ ‡ãñŠ ‡ãŠãÀ¥ã ãä‡ãŠÔããè ¹ãƇãŠãÀ ‡ãñŠ ¹ãÆãä¦ãØãã½ããè the outstanding entries to be eliminated are ¹ãƼããÌ㠇ãŠãè ‚ã¹ãñàãã ¶ãÖãé ‡ãŠãè •ãã¦ããèý insignificant, no material consequential effect is anticipated. 2. ãä¶ãÌãñÍã 2. Investments:- 2.1 ¼ããÀ¦ããè¾ã ãäÀ•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ºãö‡ãŠ ‡ãñŠ ãä¶ãÌãñÍã 2.1 In accordance with RBI guidelines, the ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ (ªñÍããè)‡ãŠãñ ¦ããè¶ã ¹ãÆÌãØããô ½ãò ÌãØããê‡ãðŠ¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõ, Investments Portfolio of the bank (domestic) •ããñ ƒÔã ¹ãƇãŠãÀ Öõ : has been classified into three categories, as given below: -

¹ãÆÌãØãà Ôã‡ãŠÊã ºãÖãè ½ãîʾ㠇ãìŠÊã ãä¶ãÌãñÍããò Category Gross Book Value Percentage to (Á. ‡ãŠÀãñü¡ãò ½ãò ) ‡ãŠã ¹ãÆãä¦ãÍã¦ã (Rs. in crore) Total Investments 31.03.2010 31.03.2009 31.03.2010 31.03.2009 31.03.2010 31.03.2009 31.03.2010 31.03.2009 ¹ããäÀ¹ã‡ã‹Ìã¦ã㠇ãñŠ ãäÊㆠ£ãããäÀ¦ã 25520.35 22901.12 69.36 75.09 Held to Maturity 25520.35 22901.12 69.36 75.09 ãäºã‰ãŠãè ‡ãñŠ ãäÊㆠ„¹ãÊ㺣ã 11263.35 7596.07 30.61 24.91 Available for Sale 11263.35 7596.07 30.61 24.91 ›Èñãä¡âØ㠇ãñŠ ãäÊㆠ£ãããäÀ¦ã 11.39 Íãã 0.03 Íãã Held for Trading 11.39 Nil 0.03 Nil 2.2 SLR Securities under “Held to Maturity” 2.2 “ ¹ããäÀ¹ã‡ã‹Ìã¦ã㠇ãñŠ ãäÊㆠ£ãããäÀ¦ã” ‡ãñŠ ¦ã֦㠆Ôã†Êã‚ããÀ ¹ãÆãä¦ã¼ãîãä¦ã¾ããú accounted for 22.39% of bank’s Demand and ¼ããÀ¦ããè¾ã ãäÀ•ãÌãà ºãö‡ãŠ ´ãÀã ãä¶ã£ããÃãäÀ¦ã 25 % ‡ãŠãè Ôããè½ã㠇ãñŠ ‚ãâªÀ Time liabilities as at the end of March 2010, Öõ⠕ããñ ½ããÞãà 2010 ‡ãŠãè Ôã½ããã书㠦ã‡ãŠ ºãö‡ãŠ ‡ãŠãè ½ããâØã Ìã ÔããÌããä£ã which is within the ceiling of 25% stipulated by RBI. ªñ¾ã¦ãã‚ããò ‡ãŠã 22.39% ÀÖãèâ ý 2.3 In respect of Held to Maturity category of 2.3 ‘¹ããäÀ¹ã‡ã‹Ìã¦ã㠇ãñŠ ãäÊㆠ£ãããäÀ¦ã’ ¹ãÆÌãØãà ‡ãñŠ ãä¶ãÌãñÍããò ‡ãñŠ Ôãâºãâ£ã ½ãò Investments, premium of Rs.114.47 crores was Á.114.47 ‡ãŠÀãñü¡ ‡ãñŠ ¹ãÆãèãä½ã¾ã½ã (ãä¹ãœÊãñ ÌãÓãà Á.222.61 ‡ãŠÀãñü¡) amortised during the year (Previous year Rs.222.61 crores). ‡ãŠã ƒÔã ÌãÓãà ‡ãñŠ ªãõÀã¶ã ¹ããäÀÍããñ£ã¶ã ‡ãŠÀ ã䪾ãã Øã¾ãã Öõ ! 2.4 Securities of face value of Rs.100 crores 2.4 Ôã½ã¢ããõ¦ãã ØããÀâ›ãè ãä¶ããä£ã ‡ãñŠ ¹ãÆãä¦ã Á.100 ‡ãŠÀãñü¡ (ãä¹ãœÊãñ ÌãÓãà (previous year Rs.100 crores) towards Á.100 ‡ãŠÀãñü¡) ‡ãñŠ ‚ãâãä‡ãŠ¦ã ½ãîʾ㠇ãŠãè ¹ãÆãä¦ã¼ãîãä¦ã¾ããò ‚ããõÀ Settlement Guarantee Fund and securities for Rs. 4855 crores (previous year Rs.2200 crores) Ôãâ¹ãããäÍÌãÇãŠãè‡ãðŠ¦ã „£ããÀ ‚ããõÀ ¨ãɥ㠺ã㣾ã¦ãã‚ããò ‡ãñŠ ¦ã֦㠄£ããÀ ‡ãñŠ towards collateral for borrowing under ãäÊㆠÔãâ¹ãããäÍÌãÇ㊠‡ãñŠ ¹ãÆãä¦ã Á.4855 ‡ãŠÀãñü¡ (ãä¹ãœÊãñ ÌãÓãà Á.2200 Collateralised Borrowing and Lending ‡ãŠÀãñü¡) ‡ãñŠ ‚ãâãä‡ãŠ¦ã ½ãîʾ㠇ãŠãè ¹ãÆãä¦ã¼ãîãä¦ã¾ããò ‡ãŠãñ ãä‡ã‹Êã¾ããäÀâØ㠇ãŠã¹ããóÀñÍã¶ã Obligations have been kept with Clearing Corporation of India Ltd. ‚ãã¹ãŠ ƒâã䡾ãã ãäÊã. ½ãò ÀŒãã Øã¾ãã Öõý 2.5 Shares under Investments in Schedule 8 2.5 ‚ã¶ãìÔãîÞããè 8 ½ãò ãä¶ãÌãñÍããò ‡ãñŠ ¦ãÖ¦ã Íãñ¾ãÀãò ½ãò Á. 21,89,07,080/- (ãä¹ãœÊãñ includes Rs.21,89,07,080/- (Previous year ÌãÓãà Á 21,89,07,080/-) ‡ãñŠ Íãñ¾ãÀ Íãããä½ãÊã Öö, •ããñ ‚ããºã⛶ã Rs.21,89,07,080/-) being advance towards share capital in Regional Rural Banks pending ‡ãñŠ Êãâãäºã¦ã ÀÖ¦ãñ àãñ¨ããè¾ã ØãÆã½ããè¥ã ºãö‡ãŠãò ½ãò Íãñ¾ãÀ ¹ãîú•ããè ‡ãñŠ ¹ãÆãä¦ã allotment of shares. ‚ããäØãƽã ¹㠽ãò Ööý

88 3. ‚ããäØãƽã 3. Advances 3.1 ‚ããäØãƽããò ‡ãŠã ÌãØããê‡ãŠÀ¥ã †Ìãâ Ôãâ¼ãããäÌã¦ã Öããä¶ã ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã 3.1 The Classification for advances and provisions for possible Loss has been made as per ¼ããÀ¦ããè¾ã ãäÀ•ãÌãà ºãö‡ãŠ ´ãÀ㠕ããÀãè ¹ãÆãÌã£ãã¶ããè‡ãŠÀ¥ã Ôãâºãâ£ããè ½ãã¶ãªâ¡ãò prudential norms issued by Reserve Bank ‡ãñŠ ‚ã¶ãìÔããÀ ãä‡ãŠ¾ãã Øã¾ãã ý of India. 3.2 ØããÀâ›ãè ÔãâÔ©ãã‚ããò ‡ãñŠ ¾ãÖãú ãä¶ã¹ã›ãÀñ ‡ãñŠ ãäÊㆠÊãâãäºã¦ã Ìã ªã¾ãÀ ãä‡ãŠ† 3.2 Claims pending settlement and claims yet to be lodged with Guarantee Institutions •ãã¶ãñ ÌããÊãñ †ñÔãñ ªãÌããò, ãä•ã¶ã‡ãŠãè ÍããŒãã‚ããò ¶ãñ ¹ãÖÞãã¶ã ‡ãŠãè Öõ, ¹ãÀ identified by the branches have been ¹ãÆãÌã£ãããä¶ã‡ãŠ ‚ã¹ãñàãã‚ããò ‡ãñŠ ãäÊㆠãäÌãÞããÀ ãä‡ãŠ¾ãã Øã¾ãã Öõ ƒÔ㠂ãã£ããÀ considered for provisioning requirements on ¹ãÀ ãä‡ãŠ †ñÔãñ ªãÌãñ Ìãõ£ã Ìã ÌãÔãîÊããè¾ããñؾã Ööý the basis that such claims are valid and recoverable. 3.3 ‚ãããäÔ¦ã ÌãØããê‡ãŠÀ¥ã ‚ããõÀ ‚ãã¾ã ‡ãŠãè ¹ãÖÞãã¶ã ‡ãñŠ „ªáªñ;ã Ôãñ 3.3 In assessing the realisability of certain ‡ã슜 ‚ããäØãƽããò ‡ãŠãè „ØããÖãè ‡ãŠãè ãäÔ©ããä¦ã ‡ãŠã ãä¶ã£ããÃÀ¥ã ‡ãŠÀ¶ãñ ‡ãñŠ advances, the estimated value of security, ãäÊㆠ¹ãÆãä¦ã¼ãîãä¦ã ‡ãñŠ ‚ã¶ãì½ãããä¶ã¦ã ½ãîʾã, ‡ãòŠ³ ÔãÀ‡ãŠãÀ ‡ãŠãè Central Government guarantees and subsequent conduct/ recoveries have been ØããÀâã䛾ããò ‚ããõÀ ºã㪠‡ãñŠ ‚ããÞãÀ¥ã/ÌãÔãîãäÊã¾ããò ‡ãŠãñ £¾ãã¶ã ½ãò considered for the purpose of asset ÀŒãã Øã¾ãã Öõ ý classification and income recognition. 3.4 ‚ãÊãñŒãã-¹ãÀãèãäàã¦ã ÍããŒãã‚ããò ‡ãñŠ Ôãâºãâ£ã ½ãò ‚ããäØãƽããò ‡ãŠã ÌãØããê‡ãŠÀ¥ã 3.4 The classification of advances, as certified by the Branch Managers have been ÍããŒãã ¹ãƺãâ£ã‡ãŠãò ´ãÀã ãä‡ãŠ† Øㆠ¹ãƽãã¥ã¶ã ‡ãñŠ ‚ã¶ãìÔããÀ Öãè ãä‡ãŠ¾ãã incorporated, in respect of unaudited Øã¾ãã Öõ ý branches. 3.5 ºãö‡ãŠ ‡ãŠãè ãäÌ㦦ããè¾ã ãäÔ©ãÀ¦ã㠇ãŠãñ ½ã•ãºãî¦ã ‡ãŠÀ¶ãñ ‡ãŠãè Òãäӛ Ôãñ 3.5 The Bank has a floating provision of Rs. 171.36 Crores (Previous Year Rs.171.36 ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀã ãä¶ã£ããÃãäÀ¦ã ¶¾ãî¶ã¦ã½ã ¹ãÆãÌã£ãã¶ã Ôãñ Crores) in respect of Gross Non-performing ¹ãÀ Ôã‡ãŠÊ㠂ã¶ã•ãÇ㊠‚ããäØãƽããò ‡ãñŠ Ôãºãâ£ã ½ãò ºãö‡ãŠ ‡ãñŠ ¹ããÔã Á. Advances over and above the minimum 171.36 ‡ãŠÀãñü¡ (ãä¹ãœÊãñ ÌãÓãà 171.36 ‡ãŠÀãñ¡ ) ‡ãŠã ‚ããäÔ©ãÀ provision prescribed by RBI with a view to strengthening the financial stability of the ¹ãÆãÌã£ãã¶ã Öõý Bank. 4 ‚ãÞãÊ㠂ãããäÔ¦ã¾ããú 4. Fixed Assets 4.1 ÌãÓãà 2008-09 ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ ‚ã¹ã¶ããè ãäÌãªñÍããè ÍããŒãã‚ããò Ôãñ 4.1 During the year 2008-09, the bank has ƒ¦ãÀ ‚ã¹ã¶ãñ ¹ããäÀÔãÀãò (¼ãîãä½ã ‚ããõÀ ¼ãÌã¶ã ) ‡ãŠã ¹ãì¶ã½ãîÃʾããâ‡ãŠ¶ã ãä‡ãŠ¾ãã revalued its premises (land and buildings) other than those at overseas branches and ‚ããõÀ ‚ãããäÔ¦ã¾ããò ‡ãñŠ ãäÌã²ã½ãã¶ã ÀŒããÌã ½ãîʾ㠽ãò Á.1123.55 ‡ãŠÀãñü¡ added an amount of Rs. 1123.55 crores to •ããñü¡ ã䪾ãã Öõý ‚ãããäÔ¦ã¾ããò ‡ãŠã ¹ãì¶ã½ãîÃʾããâ‡ãŠ¶ã ¹ãÆããä£ã‡ãðŠ¦ã the existing carrying value of assets. The ½ãîʾããâ‡ãŠ¶ã‡ãŠ¦ããÂããòñ ´ãÀã ãä‡ãŠ¾ãã Øã¾ãã Öõý revaluation has been done by approved valuers. 4.2 ‡ã슜 ‡ãŠã¶ãî¶ããè ‚ããõÀ ‚㶾㠂ããõ¹ãÞãããäÀ‡ãŠ¦ãã†ú Êãâãäºã¦ã ÀÖ¦ãñ †‡ãŠ 4.2 Pending completion of certain legal and ¹ããäÀÔãÀ ‡ãñŠ Ôãâºãâ£ã ½ãò ÔÌã¦Ìã ãäÌãÊãñŒããò ‡ãŠã ãä¶ãÓ¹ã㪶ã/¹ãâ•ããè‡ãŠÀ¥ã ºãö‡ãŠ other formalities, title deeds have not been ‡ãñŠ ¹ãàã ½ãò ¶ãÖãé Öãñ ¹ãã¾ãã Öõ, ãä•ãÔã‡ãŠãè À‡ãŠ½ã Á.4.16 ‡ãŠÀãñü¡ executed / registered in favour of the Bank in respect of one premises amounting to Rs. (ãä¹ãœÊãñ ÌãÓãà œ: Ôã½¹ããä¦ã¾ããú - Â. 8.35 ‡ãŠÀãñü¡) Öõ ý 4.16 crores (previous year six properties – Rs.8.35 crores). 4.3 ÌãÓãà ‡ãñŠ ªãõÀã¶ã ‚ãÞãÊ㠂ãããäԦ㠇ãŠãè ãäºã‰ãŠãè ¹ãÀ Êãã¼ã ‡ãñŠ Á.1.61 ‡ãŠÀãñü¡ ‡ãŠãè À‡ãŠ½ã ‡ãŠãñ 31.03.2010 ¦ã‡ãŠ ¹ãîâ•ããè ‚ããÀãäàã¦ããè ½ãò 4.3 A sum of Rs.1.61 crores being profit on sale of Fixed Assets during the year has been ãäÌããä¶ã¾ããñãä•ã¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõý appropriated to Capital Reserve as on 31.03.2010.

89 5. Á¹ã¾ãã º¾ãã•ã ªÀ ÔÌãõ¹ã 5. Rupee Interest Rate Swap: An amount of Rs.4.69crores (previous year ¹ãÆãä¦ãÀàãã Öñ¦ãì ãäÊㆠØㆠÁ¹ã¾ãã º¾ãã•ã ÔÌãõ¹ã ‡ãñŠ ãä¶ãÀÔã¶ã ¹ãÀ Á.4.69 Rs.8.83 crores) is kept in deferred income ‡ãŠÀãñü¡ (ãä¹ãœÊãñ ÌãÓãà 8.83 ‡ãŠÀãñü¡) ‡ãŠãè À‡ãŠ½ã ‡ãŠãñ Êãã¼ããò ‡ãñŠ ‡ãŠãÀ¥ã on account of gains on termination of Rupee ‚ãããäÔ©ãØã¦ã ‚ãã¾ã ½ãò ÀŒãã Øã¾ãã Öõ ‚ããõÀ ƒÔãñ ÔÌãõ¹ã ‡ãŠãè ÔãâãäÌãªãØã¦ã interest Rate swaps taken for hedging and would be recognized over the remaining ÍãñÓ㠂ãÌããä£ã ¾ã㠂ãããäÔ¦ã¾ããò / ªñ¾ã¦ãã‚ããò ‡ãŠãè ‚ãÌããä£ã, •ããñ ¼ããè ¹ãÖÊãñ contractual life of swap or life of the assets/ Öãñ, ‡ãñŠ ãäÊㆠ½ã㶾ã¦ãã ªãè •ãã†Øããèý liabilities, whichever is earlier. 6. ¹ãîâ•ããè †Ìã⠂ããÀãäàããä¦ã¾ããú 6. Capital and Reserves: 6.1 During the year, the Bank has raised Tier II 6.1 ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ ãä¶ã½¶ã / „ÞÞ㠛ã¾ãÀ II ºããù¥¡ •ããÀãè ‡ãŠÀ‡ãñŠ Capital amounting to Rs.800.00 Crores Á.800.00 ‡ãŠÀãñü¡ À‡ãŠ½ã (ãä¹ãœÊãñ ÌãÓãà Á 955.30‡ãŠÀãñü¡ ) ‡ãŠãè (previous year Rs.955.30 Crores) by issue ›ã¾ãÀ II ¹ãîâ•ããè †‡ãŠ¨ã ‡ãŠãèý of Lower / Upper Tier II Bonds. 6.2 The Bank also raised Rs.300 Crores (Previous 6.2 ºãö‡ãŠ ¶ãñ ›ã¾ãÀ 1 ‡ãñŠ ¹㠽ãò Íãããä½ãÊ㠇ãŠÀ¶ãñ Öñ¦ãì ¹ãã¨ã Ô©ããƒÃ ºããù¥¡ Year Nil) by way of Perpetual Bonds eligible ‡ãñŠ ¹㠽ãò Á 300.00 ‡ãŠÀãñü¡ (ãä¹ãœÊãñ ÌãÓãà - Íãã ) †‡ãŠ¨ã for inclusion as Tier I Capital. ãä‡ãŠ†ý 7. Taxes Taking into consideration the decisions of 7. ‡ãŠÀ Appellate Authorities, judicial pronouncements ‚ã¹ããèÊã‡ãŠ¦ããà ¹ãÆããä£ã‡ãŠããäÀ¾ããò ‡ãñŠ ãä¶ã¥ãþããò, ¶¾ãããä¾ã‡ãŠ ÔãâÜããñÓã¥ãã‚ããò ‚ããõÀ and the opinion of tax experts, no provision has been considered necessary in respect ‡ãŠÀ-ãäÌãÍãñÓã—ããò ‡ãŠãè Àã¾ã ¹ãÀ ‡ãŠã¹ãŠãè ãäÌãÞããÀ ‡ãŠÀ¶ãñ ‡ãñŠ ºããª, ‚ãã¾ã ‡ãŠÀ of disputed and other demands of income Ôãñ Ôãâºãâãä£ã¦ã Á.406.92 ‡ãŠÀãñü¡ (ãä¹ãœÊãñ ÌãÓãà Á.639.15 ‡ãŠÀãñü¡) tax amounting to Rs.406.92 crores (previous ‡ãŠãè ãäÌãÌããã䪦ã À‡ãŠ½ã ‚ããõÀ ‚㶾㠽ããúØããò ‡ãñŠ Ôãâºãâ£ã ½ãò ãä‡ãŠÔããè ¹ãƇãŠãÀ year Rs.639.15 crores) ‡ãŠã ¹ãÆãÌã£ãã¶ããè‡ãŠÀ¥ã ‡ãŠÀ¶ã㠂ããÌã;ã‡ãŠ ¶ãÖãé Ôã½ã¢ãã Øã¾ãã ý 8. Salaries The bank holds a provision of Rs.406 Crores 8. Ìãñ¦ã¶ã as at 31.03.2010 towards arrears of salaries 31 03 2010 ¦ã‡ãŠ ºãö‡ãŠ ‡ãñŠ ¹ããÔã ¶ãÌ㽺ãÀ 2007 Ôãñ ½ããÞãà 2010 for the period from November 2007 to March 2010 on an estimated basis. Provision made ¦ã‡ãŠ ‡ãŠãè ‚ãÌããä£ã ‡ãñŠ ãäÊㆠ‚ã¶ãì½ãããä¶ã¦ã ‚ãã£ããÀ ¹ãÀ Ìãñ¦ã¶ã ‡ãñŠ ºã‡ãŠã¾ããò during the year on this account is Rs.202 ‡ãñŠ ãäÊㆠÁ.406 ‡ãŠÀãñü¡ ‡ãŠã ¹ãÆãÌã£ãã¶ã £ãããäÀ¦ã Öõ ý ƒÔã ÌãÓãà ‡ãñŠ crores (including Rs.34 Crores relating to ªãõÀã¶ã ƒÔ㠌ãã¦ãñ ½ãò Á 202 ‡ãŠÀãñü¡ ‡ãŠã ¹ãÆãÌã£ãã¶ã (ãä¹ãœÊãñ ÌãÓãà ‡ãñŠ previous year). Á.34 ‡ãŠÀãñü¡ ‡ãŠãñ ãä½ãÊã㠇ãŠÀ) ãä‡ãŠ¾ãã Øã¾ãã Öõý 9. Profit and Loss Account 9. Êãã¼ã Ìã Öããä¶ã Œãã¦ãã The profit for the year includes an amount of Rs 4.89 Crores, representing amount ƒÔã ÌãÓãà ‡ãñŠ ãäÊㆠÊãã¼ã ½ãò ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãä¶ãªñÍããò ‡ãñŠ transferred from Blocked Nostro Accounts as per RBI directives. The amount has been ‚ã¶ãìÔããÀ ºÊããù‡ãŠ ãä‡ãŠ† Øㆠ¶ããԛÈãñ Œãã¦ããò Ôãñ Á. 4.89 ‡ãŠÀãñü¡ appropriated to Other Revenue Reserves. Íãããä½ãÊã Öõ ý ƒÔã À‡ãŠ½ã ‡ãŠã ãäÌããä¶ã¾ããñ•ã¶ã ‚㶾ã Àã•ãÔÌ㠂ããÀãäàããä¦ã¾ããò 10. Agricultural Debt Waiver and Debt Relief ½ãò ãä‡ãŠ¾ãã Øã¾ãã ý Scheme 2008 10 ‡ãðŠãäÓã ¨ãɥ㠽ãã¹ãŠãè ‚ããõÀ ¨ãÉ¥ã Àã֦㠾ããñ•ã¶ãã 2008 10.1 In terms of Agricultural Debt Waiver and Debt Relief Scheme 2008, framed by the 10.1¼ããÀ¦ã ÔãÀ‡ãŠãÀ ´ãÀã ¦ãõ¾ããÀ ‡ãðŠãäÓã ¨ãɥ㠽ãã¹ãŠãè ‚ããõÀ ¨ãÉ¥ã ÀãÖ¦ã Government of India, the Bank has received ¾ããñ•ã¶ãã 2008 ‡ãŠãè Íã¦ããô ‡ãñŠ ‚ã¶ãìÔããÀ Á.580.88 ‡ãŠÀãñü¡ ‡ãŠãè Rs. 371.97 crores towards 1st and 2nd ¨ãÉ¥ã Àã֦㠇ãŠãè ¹ãã¨ã À‡ãŠ½ã ½ãò Ôãñ ºãö‡ãŠ ‡ãŠãñ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ Ôãñ installment from Reserve Bank of India on account of loans to small and marginal ÊãÜãì †Ìãâ Ôããè½ã㶦㠇ãðŠÓã‡ãŠãò ‡ãŠãñ ¨ãÉ¥ããò ‡ãñŠ ãäÊㆠ¹ãÖÊããè Ìã ªîÔãÀãè farmers, out of the amount eligible for debt ãä‡ãŠÔ¦ã ‡ãñŠ ãäÊㆠÁ.371.97 ‡ãŠÀãñü¡ ‡ãŠãè À‡ãŠ½ã ¹ãÆ㹦ã ÖìƒÃ Öõý waiver of Rs.580.88 crores.

90 10.2„‡ã‹¦ã ¾ããñ•ã¶ã㠇ãñŠ ¦ã֦㠼ããÀ¦ã ÔãÀ‡ãŠãÀ Ôãñ ºã‡ãŠã¾ãã Á.208.91 10.2 The balance amount due from the ‡ãŠÀãñü¡ ‡ãŠãè ÍãñÓã À‡ãŠ½ã “†¡ã衺ʾãî ‚ããõÀ ¡ãè‚ããÀ†Ôã 2008 ‡ãñŠ Government of India under the above scheme amounting to Rs.208.91 crores is ãäÊㆠ¼ããÀ¦ã ÔãÀ‡ãŠãÀ Ôãñ ¹ãÆ㹾㠪ãÌãñ” ‡ãñŠ ¹㠽ãò ªÍããÃà ØãƒÃ Öõ ‚ããõÀ shown as ‘Claim Receivable from Government ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ¹ããäÀ¹ã¨ã ‡ãŠãè ‚ã¶ãìÔãîÞããè 9 ½ãò ‚ããäØãƽããò ‡ãñŠ of India for ADW&DRS 2008’ and included ¦ãÖ¦ã Íãããä½ãÊ㠇ãŠãè ØãƒÃ Öõý under advances in Schedule 9 as per Reserve Bank of India circular. 11 Ñããè ÔãìÌã¥ãà ÔãևãŠãÀãè ºãö‡ãŠ ãäÊããä½ã›ñ¡ 11 Shree Suvarna Sahakari Bank Ltd ÞããÊãî ãäÌ㦦ããè¾ã ÌãÓãà ½ãò ºãö‡ãŠ ¶ãñ ¼ããÀ¦ããè¾ã ãäÀ•ãÌãà ºãö‡ãŠ ¦ã©ã㠂㶾ã During the current financial year, the Bank has taken over specific assets and liabilities ¹ãÆããä£ã‡ãŠããäÀ¾ããò ‡ãñŠ ‚ã¶ãì½ããñª¶ã Ôãñ 19.05.2009 ‡ãŠãñ ‡ãŠãÀãñºããÀ Ôã½ããã书ã of M/s. Shree Suvarna Sahakari Bank Ltd., ‡ãñŠ Ôã½ã¾ã Ôãñ ½ãñÔãÔãà Ñããè ÔãìÌã¥ãà ÔãևãŠãÀãè ºãö‡ãŠ ãäÊããä½ã›ñ¡, ¹ãì¥ãñ Pune (which was under moratorium), with (•ããñ ¹ãÖÊãñ ‚ããä£ãÔ©ãØã¶ã ½ãò ©ãã )‡ãŠãè ãäÌããäÍãӛ ‚ãããäÔ¦ã¾ããò Ìã ªñ¾ã¦ãã‚ããò effect from the close of business on 19.05.2009 ‡ãŠãñ Êãñ ãäÊã¾ãã Öõ ý ‡ãŠãä©ã¦ã ¦ããÀãèŒã ¦ã‡ãŠ Êããè Øã¾ããè ‚ãããäÔ¦ã¾ããò Ôãñ with the approval of RBI and other authorities. The deficit representing excess ‚ããä£ã‡ãŠ ªñ¾ã¦ãã‚ããò ‡ãŠãè Á 246.52 ‡ãŠÀãñü¡ ‡ãŠãè Üãã›ã À‡ãŠ½ã ‡ãŠãñ of liabilities over assets taken over as on ¼ããÀ¦ããè¾ã ãäÀ•ãÌãà ºãö‡ãŠ ´ãÀ㠂ã¶ãì½ã¦ã ‚ã¶ãìÔããÀ ¦ããè¶ã ÌãÓããô ½ãò ‚ãã½ãñãäÊã¦ã the said date amounting to Rs.246.52 crore ãä‡ãŠ¾ã㠕ãã¶ãã Öõ ý ºãö‡ãŠ ¶ãñ Üãã›ñ ‡ãŠãè †‡ãŠ ãä¦ãÖãƒÃ À‡ãŠ½ã •ããñ Á has to be absorbed over a period of three years, as permitted by Reserve Bank of India. 82.17 ‡ãŠÀãñü¡ Öõ, ‡ãŠãññ Ìã¦ãýãã¶ã ÌãÓãà ‡ãñŠ ªãõÀã¶ã ‚ãã½ãñãäÊã¦ã ãä‡ãŠ¾ãã ý The Bank has absorbed one-third of the Üãã›ñ ‡ãŠãè ÍãñÓã Á 164.35 ‡ãŠÀãñü¡ À‡ãŠ½ã 31. 03. 2012 Ôãñ deficit, amounting to Rs.82.17 crores during ¹ãÖÊãñ ‚ãã½ãñãäÊã¦ã ‡ãŠÀ Êããè •ãã†Øããè ý the current year. The balance of deficit amounting to Rs.164.35 crore will be ‚ããä¦ããäÀ‡ã‹¦ã ¹ãƇ㊛ãè‡ãŠÀ¥ã absorbed before 31.03.2012. ADDITIONAL DISCLOSURES ¼ããÀ¦ããè¾ã ãäÀ•ãÌãà ºãö‡ãŠ ‡ãñŠ ½ããԛÀ ¹ããäÀ¹ã¨ã ã䪶ããâ‡ãŠ 01 07 2009 ½ãò ã䪆 ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ãä¶ã½¶ããäÊããäŒã¦ã ‚ããä¦ããäÀ‡ã‹¦ã In accordance with the guidelines issued by Reserve Bank of India vide Master Circular ¹ãƇ㊛ãè‡ãŠÀ¥ã ãä‡ãŠ† •ãã¦ãñ Öö: dated 1.07.2009, the following additional disclosures are made :- 1. ¹ãîâ•ããè 1. Capital: (Á.‡ãŠÀãñü¡ ½ãò) (Rs. In Crore)

‰ãŠ Ôãâ ãäÌãÌãÀ¥ã 2009-10 2008-09 S.No. Particulars 2009-10 2008-09 i Ôããè‚ããÀ†‚ããÀ(%) (ºãñÔãÊã I) 14.26% 12.70% i) CRAR (%) (Basel I) 14.26% 12.70% ii Ôããè‚ããÀ†‚ããÀ ›ã¾ãÀ I ¹ãîâ•ããè (%) 8.36% 7.58% ii) CRAR - Tier I Capital (%) 8.36% 7.58% iii Ôããè‚ããÀ†‚ããÀ ›ã¾ãÀ II ¹ãîâ•ããè (%) 5.90% 5.12% iii) CRAR - Tier II Capital (%) 5.90% 5.12% iv ¼ããÀ¦ã ÔãÀ‡ãŠãÀ ‡ãŠãè Íãñ¾ãÀ£ãããäÀ¦ãã iv) Percentage of shareholding of ‡ãŠãè ¹ãÆãä¦ãÍã¦ã¦ãã 61.23% 61.23% Government of India 61.23% 61.23% v ‚ãヹããè¡ãè‚ãム‡ãñŠ ãä¶ãØãýã¶ã Ôãñ †‡ãŠãä¨ã¦ã À‡ãŠ½ã 300.00 Íãã v) Amount raised by issue of IPDI 300.00 Nil Vi ¹ãÆÌãÀ ›ã¾ãÀ II ãäÊãŒã¦ããò ‡ãñŠ ãä¶ãØãýã¶ã Ôãñ vi) Amount raised by issue of Upper Tier II instruments 800.00 955.30 †‡ãŠãä¨ã¦ã À‡ãŠ½ã 800.00 955.30

91 2. ãä¶ãÌãñÍã : 2. Investments: 2.1 ãä¶ãÌãñÍããò ‡ãŠã ½ãîʾã 2.1 Value of Investments ( Á ‡ãŠÀãñ¡ ½ãò ) (Rs. in Crore)

31.03.2010 31.03.2009 31.03.2010 31.03.2009 I. ãä¶ãÌãñÍããò ‡ãŠã Ôã‡ãŠÊã ½ãîʾã (i) Gross Value of Investments i) ¼ããÀ¦ã ½ãò 36795.09 30497.19 (a) In India 36795.09 30497.19 ii) ¼ããÀ¦ã ‡ãñŠ ºããÖÀ 1086.16 1056.46 (b) Outside India 1086.16 1056.46 II. ½ãîʾãÖÆãÔ㠇ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã (ii) Provision for Depreciation i) ¼ããÀ¦ã ½ãò 174.01 255.21 (a) In India 174.01 255.21 ii) ¼ããÀ¦ã ‡ãñŠ ºããÖÀ 56.68 83.00 (b) Outside India 56.68 83.00 III. ãä¶ãÌãñÍããò ‡ãŠã ãä¶ãÌãÊã ½ãîʾã (iii) Net value of Investments i) ¼ããÀ¦ã ½ãò 36621.08 30241.98 (a) In India 36621.08 30241.98 ii) ¼ããÀ¦ã ‡ãñŠ ºããÖÀ 1029.48 973.46 (b) Outside India 1029.48 973.46 2.2 - ¼ãìØã¦ãã¶ã Öñ¦ãì ¹ããäÀ¹ã‡ã‹Ìã ÖìƒÃ ¹ãÆãä¦ã¼ãîãä¦ã¾ããò ÔããäÖ¦ã ãä¶ãÌãñÍããò ¹ãÀ ½ãîʾãÖÆãÔã 2.2 Movement of Provision held towards depreciation on Investments including securities ‡ãñŠ ¹ãÆãä¦ã £ãããäÀ¦ã ¹ãÆãÌã£ãã¶ããò ‡ãŠã ¹ãÆÞãÊã¶ã matured for payment (Á. ‡ãŠÀãñü¡ ½ãò) (Rs. In Crore)

2009-10 2008-09 2009-10 2008-09 i. ‚ããÀâãä¼ã‡ãŠ ÍãñÓã 342.82 314.41 (i) Opening Balance 342.82 314.41 ii. •ããñ¡ò :ÌãÓãà ‡ãñŠ ªãõÀã¶ã ãä‡ãŠ† Øㆠ¹ãÆãÌã£ãã¶ã 141.08 253.23 (ii) ADD Provisions made during the year 141.08 253.23 iii. Üã›ã†ú : ÌãÓãà ‡ãñŠ ªãõÀã¶ã ãä‡ãŠ† Øㆠ249.33 224.82 (iii) LESS Write off/Write Back of excess ‚ããä£ã‡ãŠ ¹ãÆãÌã£ãã¶ããò ‡ãŠã provisions during the year 249.33 224.82 ºã›á›ñ Œãã¦ãñ ¡ãÊã¶ãã / ¹ãì¶ãÀãâ‡ãŠ¶ã ‡ãŠÀ¶ãã (iv) Closing Balance 234.57 342.82 iv. Ôã½ãã¹ã¶ã ÍãñÓã 234.57 342.82 2.3 Repo transactions: 2.3 ãäÀ¹ããñ Êãñ¶ãªñ¶ããò (Rs in Crore) (Á ‡ãŠÀãñü¡ ½ãò) Particulars Minimum Maximum Daily Average As on outstanding outstanding outstanding March 31 during the year during the year during the year ãäÌãÌãÀ¥ã ÌãÓãà ‡ãñŠ ªãõÀã¶ã ÌãÓãà ‡ãñŠ ªãõÀã¶ã ÌãÓãà ‡ãñŠ ªãõÀã¶ã 31 ½ããÞãà ¦ã‡ãŠ 09-10 08-09 09-10 08-09 09-10 08-09 2010 2009 ¶¾ãî¶ã¦ã½ã ºã‡ãŠã¾ã㠂ããä£ã‡ãŠ¦ã½ã ºã‡ãŠã¾ãã ªõãä¶ã‡ãŠ ‚ããõÔã¦ã ‡ãñŠ ãäÊㆠºã‡ãŠã¾ãã Securities sold 09-10 08-09 09-10 08-09 09-10 08-09 2010 2009 under Repos (LAF) 120.00 245.00 595.00 3500.00 222.40 575.68 Nil 245.00

ãäÀ¹ããñ ‡ãñŠ ¦ã֦㠺ãñÞããè Securities sold Øã¾ããè ¹ãÆãä¦ã¼ãîãä¦ã¾ããú under Repos (†Êㆆ¹ãŠ) 120.00 245.00 595.00 3500.00 222.40 575.68 Íãã 245.00 (Inter Bank) 4.93 5.51 159.23 375.08 15.64 40.89 Nil Nil ãäÀ¹ããñ ‡ãñŠ ¦ã֦㠺ãñÞããè Øã¾ããè ¹ãÆãä¦ã¼ãîãä¦ã¾ããú Securities (‚ãâ¦ãÀ-ºãö‡ãŠ) 4.93 5.51 159.23 375.08 15.64 40.89 Íãã Íãã Purchased under reverse repo (LAF) 300.00 50.00 7800.00 4700.00 2927.33 307.12 Nil Nil ãäÀÌãÔãà ãäÀ¹ããñ ‡ãñŠ ¦ã֦㠌ãÀãèªãè Øã¾ããè ¹ãÆãä¦ã¼ãîãä¦ã¾ããú Securities (†Êㆆ¹ãŠ) 300.00 50.00 7800.00 4700.00 2927.33 307.12 Íãã Íãã Purchased under ãäÀÌãÔãà ãäÀ¹ããñ ‡ãñŠ ¦ãÖ¦ã reverse repo ŒãÀãèªãè Øã¾ããè ¹ãÆãä¦ã¼ãîãä¦ã¾ããú (Inter Bank) Nil 189.98 Nil 698.74 Nil 38.86 Nil Nil (‚ãâ¦ãÀ-ºãö‡ãŠ) Íãã 189.98 Íãã 698.74 Íãã 38.36 Íãã Íãã

92 2.4 ØãõÀ - †Ôã†Êã‚ããÀ ãä¶ãÌãñÍã ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ 2.4 Non-SLR Investment Portfolio ØãõÀ-†Ôã†Êã‚ããÀ ãä¶ãÌãñÍããò ‡ãŠãè •ããÀãè‡ãŠ¦ããÃ-ÌããÀ ÔãâÀÞã¶ãã Issuer Composition Of Non-SLR Investments (Á ‡ãŠÀãñü¡ ½ãò) (Rs. in crore) No Issuer Amount Extent of Extent of Extent of Extent of Ôãâ û •ããÀãè‡ãŠ¦ããà À‡ãŠ½ã ãä¶ã•ããè ãä¶ãÌãñÍ㠇ãñŠ ØãõÀ ‚ãÔãîãäÞã¦ã Private below Unrated Unlisted Placement Investment Securities Securities ¹ÊãñÔã½ãò› ‡ãŠã ‡ãŠ½ã Ñãñ¥ããè ‡ãŠãè ªÍãâãä‡ãŠ¦ã ¹ãÆãä¦ã¼ãîãä¦ã¾ããú grade ãäÌãÔ¦ããÀ ¹ãÆãä¦ã¼ãîãä¦ã¾ããú ¹ãÆãä¦ã¼ãîãä¦ã¾ããú ‡ãŠã ãäÌãÔ¦ããÀ Securities (1) (2) (3) (4) (5) (6) (7) (1) (2) (3) (4) (5) (6) (7) 1 ÔããÌãÕããä¶ã‡ãŠ àãñ¨ã ‡ãñŠ „¹ã‰ãŠ½ã 623.51 595.33 0.00 9.00 15.29 1 PSUs 623.51 595.33 0.00 9.00 15.29 2 ãäÌ㦦ããè¾ã ÔãâÔ©ãã†ú 253.48 233.00 0.00 18.21 18.21 2 FIs 253.48 233.00 0.00 18.21 18.21 3 Banks 2578.73 2569.25 0.00 0.00 0.00 3 ºãö‡ãŠ 2578.73 2569.25 0.00 0.00 0.00 4 Private Corporates 783.19 650.01 0.00 84.76 114.55 4 ãä¶ã•ããè ‡ãŠã¹ããóÀñ› 783.19 650.01 0.00 84.76 114.55 5 Subsidiaries / 5 ‚ã¶ãìÓãâØããè / Ôãâ¾ãì‡ã‹¦ã „²ã½ã 28.50 28.50 0.00 0.00 0.00 Joint Ventures 28.50 28.50 0.00 0.00 0.00 6 ‚㶾ã 196.39 182.60 0.00 45.26 0.00 6 Others 196.39 182.60 0.00 45.26 0.00 7 ½ãîʾãÖÆãÔã Öñ¦ãì £ãããäÀ¦ã ¹ãÆãÌã£ãã¶ã *127.33 xxx xxx xxx xxx 7 Provision held ‡ãìŠÊã 4591.13 4258.69 0.00 157.23 148.05 towards depreciation*127.33 XXX XXX XXX XXX Total 4591.13 4258.69 0.00 157.23 148.05 * ‚ã¶ã•ãÇ㊠ãä¶ãÌãñÍããò ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã Ìã ¹ãì¶ãÔãÄÀãäÞã¦ã ãä¶ãÌãñÍããò ¹ãÀ * Exclusive of provision for non-performing investments º¾ãã•ã ‡ãñŠ ¦¾ããØ㠇ãŠãñ œãñü¡‡ãŠÀ and interest sacrifice on restructured investments. 2.5 ‚ã¶ã•ãÇ㊠ØãõÀ †Ôã†Êã‚ããÀ ãä¶ãÌãñÍã 2.5 Non Performing Non SLR Investments (Á ‡ãŠÀãñü¡ ½ãò) (Rs. In Crore) ãäÌãÌãÀ¥ã À‡ãŠ½ã Particulars Amount

1 ‚ã¹ãÆõÊã 2009 ¦ã‡ãŠ ‡ãŠã ‚ããÀâãä¼ã‡ãŠ ÍãñÓã 16.83 Opening Balance as on 1st April 2009 16.83 1 ‚ã¹ãÆõÊã Ôãñ ÌãÓãà ‡ãñŠ ªãõÀã¶ã •ããñ¡ 0.00 Additions during the year since 1st April 0.00 „¹ã¾ãÃì‡ã‹¦ã ÌãÓãà ‡ãñŠ ªãõÀã¶ã ‡ãŠ›ãõãä¦ã¾ããú 12.72 Reductions during the above period 12.72 31 03 2010 ¦ã‡ãŠ ‡ãŠã ‚ãâãä¦ã½ã ÍãñÓã 4.11 Closing Balance as on 31st March 2010 4.11 ‡ãìŠÊã £ãããäÀ¦ã ¹ãÆãÌã£ãã¶ã 4.11 Total Provisions held 4.11 3. ¡ñãäÀÌãñãä›ÌÔã : 3. DERIVATIVES: 3.1 Forward Rate Agreement / Interest Rate Swap 3.1 Ìãã¾ãªã ªÀ ‡ãŠÀãÀ / º¾ãã•ã ªÀ ÔÌãõ¹ã (Rs. in Crore) (Á.‡ãŠÀãñ¡ ½ãò) PARTICULARS 2009-10 2008-09 ãäÌãÌãÀ¥ã 2009-10 2008-09 Rupee FX Total Rupee FX Total Exposure Exposure Exposure Exposure Á¹ã¾ã㠆¹ãŠ †‡ã‹Ô㠇ãìŠÊã Á¹ã¾ã㠆¹ãŠ†‡ã‹Ô㠇ãìŠÊ㠕ããñãäŒã½ã •ããñãäŒã½ã •ããñãäŒã½ã •ããñãäŒã½ã i) The notional principal of swap i)ÔÌãõ¹ã ‡ãŠÀãÀãò ‡ãŠãè agreements 1075.00 1932.60 3007.60 1800.00 1756.42 3556.42 ‡ãŠãʹããä¶ã‡ãŠ ½ãîÊã À‡ãŠ½ã 1075.001932.603007.60 1800.001756.423556.42 ii) Losses which would be incurred ii)‡ãŠÀãÀãò ‡ãñŠ ¦ã֦㠾ããäª if counter-parties ‡ãŠã„â›À ¹ãã›ãê ‚ã¹ã¶ããè failed to fulfil their ºã㣾ã¦ã㠇ãŠãñ ¹ãîÀ㠇ãŠÀ¶ãñ ½ãò obligations under ‚ãÔã¹ãŠÊã Öãñ¦ããè Öõ ¦ããñ „ÔãÔãñ the agreements 23.92 9.16 33.08 54.33 66.58 120.91 Öãñ¶ãñ ÌããÊããè Öããä¶ã 23.92 9.16 33.08 54.33 66.58 120.91 iii) Collateral required iii) ÔÌãõ¹ã ‡ãŠÀ¶ãñ ¹ãÀ ºãö‡ãŠ ´ãÀã by the bank upon entering into swaps Nil Nil Nil Nil Nil Nil ‚ã¹ãñãäàã¦ã Ôãâ¹ãããäÍÌãÇ㊠¹ãÆãä¦ã¼ãîãä¦ã Íãã Íãã Íãã Íãã Íãã Íãã iv) Concentration of iv)ÔÌãõ¹ã Ôãñ „¦¹ã¸ã ¨ãÉ¥ã credit risk arising •ããñãäŒã½ã ¹ãÀ ‡ãòŠ³ãè‡ãŠÀ¥ã Íãã Íãã Íãã Íãã Íãã Íãã from the swap Nil Nil Nil Nil Nil Nil v)ÔÌãõ¹ã ºãÖãè ‡ãŠã „ãäÞã¦ã ½ãîʾã13.88 -7.94 5.94 26.07 -9.98 16.09 v) The fair value of the swap book 13.88 -7.94 5.94 26.07 -9.98 16.09

93 3.2 ãäÌããä¶ã½ã¾ã ̾ãã¹ããÀ º¾ãã•ã ªÀ ¡ñãäÀÌãñãä›ÌÔã 3.2 Exchange Traded Interest Rate Derivatives (Á.‡ãŠÀãñ¡ ½ãò) (Rs. In crore) ‰ãŠ½ã Ôãâ ãäÌãÌãÀ¥ã À‡ãŠ½ã S. No. Particulars Amount i) ÌãÓãà ‡ãñŠ ªãõÀã¶ã ãäÌããä¶ã½ã¾ã ̾ãã¹ããÀ º¾ãã•ã ªÀ ¡ñãäÀÌãñãä›ÌÔã (i) Notional principal amount of exchange ‡ãŠãè ‡ãŠãʹããä¶ã‡ãŠ ½ãîÊã À‡ãŠ½ã (ãäÊãŒã¦ãÌããÀ) Íãã traded interest rate derivatives undertaken during the year (instrument wise) Nil ii) 31 ½ããÞãà 2010 ¦ã‡ãŠ ºã‡ãŠã¾ãã ãäÌããä¶ã½ã¾ã ̾ãã¹ããÀ º¾ãã•ã ªÀ ¡ñãäÀÌãñãä›ÌÔ㠇ãŠãè ‡ãŠãʹããä¶ã‡ãŠ ½ãîÊã À‡ãŠ½ã (ãäÊãŒã¦ãÌããÀ) Íãã (ii) Notional principal amount of exchange traded interest rate derivatives outstanding iii) ºã‡ãŠã¾ãã ãäÌããä¶ã½ã¾ã ̾ãã¹ããÀ º¾ãã•ã ªÀ ¡ñãäÀÌãñãä›ÌÔ㠇ãŠãè as on 31st March 2010 (instrument wise) Nil ‡ãŠãʹããä¶ã‡ãŠ ½ãîÊã À‡ãŠ½ã ‚ããõÀ •ããñ “„ÞÞã ¹ãƼããÌããè” (iii) Notional principal amount of exchange ¶ãÖãé Öõ (ãäÊãŒã¦ãÌããÀ) Íãã traded interest rate derivatives outstanding and not “highly effective” (instrument wise) Nil iv) ãäÌããä¶ã½ã¾ã ̾ãã¹ããÀ ãä‡ãŠ† Øㆠº¾ãã•ã ªÀ ¡ñãäÀÌãñãä›ÌÔã (iv) Mark-to-market value of exchange traded ºã‡ãŠã¾ã㠇ãñŠ ºãã•ããÀ ½ãîʾ㠇ãŠãñ ºãÖãèØã¦ã ½ãîʾ㠽ãò ‚ãâãä‡ãŠ¦ã interest rate derivatives outstanding and not ‡ãŠÀ¶ã㠂ããõÀ •ããñ “„ÞÞã ¹ãƼããÌããè” ¶ãÖãé Öõ (ãäÊãŒã¦ãÌããÀ) Íã㠓highly effective” (instrument wise) Nil 3.3 ¡ñãäÀÌãñãä›ÌÔã ½ãò •ããñãäŒã½ã †‡ã‹Ôã¹ããñû•ãÀ ¹ãÀ ¹ãƇ㊛ãè‡ãŠÀ¥ã 3.3 DISCLOSURES ON RISK EXPOSURE IN DERIVATIVES 3.3.1 Øãì¥ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã 3.3.1 Qualitative Disclosure ›Èñ•ãÀãè (ãäÌãªñÍããè) Treasury (Foreign) The Bank uses Interest Rate Swaps (IRS), ºãö‡ãŠ, ºãöãä‡ãâŠØã ºãÖãè ½ãò º¾ãã•ã ªÀ •ããñãäŒã½ã ‚ããõÀ ½ãì³ã •ããñãäŒã½ã ‡ãŠãñ Currency Swaps and Options for hedging ‡ãŠ½ã ‡ãŠÀ¶ãñ ‡ãñŠ „ÿñ;ã Ôãñ ¹ãÆãä¦ãÀàã㠇ãñŠ ãäÊㆠº¾ãã•ã ªÀ ÔÌãõ¹ã (‚ãムpurpose to mitigate interest rate risk and ‚ããÀ †Ôã), ½ãì³ã ÔÌãõ¹ã Ì㠌ãìÊãñ ºããû•ããÀ ‡ãŠã ¹ãƾããñØ㠇ãŠÀ¦ãã Öõý ºãö‡ãŠ currency risk in banking book. The Bank also offers these products to corporate clients to ‡ãŠã¹ããóÀñ› ØãÆãևãŠãò ‡ãŠãñ ¾ãñ „¦¹ã㪠¼ããè „¹ãÊ㺣㠇ãŠÀã¦ãã Öõ ¦ãããä‡ãŠ Ìãñ enable them to manage their own currency ‚ã¹ã¶ããè Öãè ½ãì³ã ‚ããõÀ º¾ãã•ã ªÀ •ããñãäŒã½ã ‡ãŠã ¹ãƺãâ£ã¶ã ‡ãŠÀ Ôã‡ãñŠý and interest rate risk. Such transactions are ƒÔã ¦ãÀÖ ‡ãñŠ Êãñ¶ãªñ¶ã ØãÆãևãŠãò Ìã ºãö‡ãŠãò ‡ãñŠ Ôãã©ã Öãè ÀŒãñ •ãã¦ãñ Öõâ entered only with Clients and Banks having ãä•ã¶ã‡ãñŠ ‡ãŠÀãÀ ãäÌã²ã½ãã¶ã Öö ý agreements in place. a) The Risk Management Policies of the Bank ‚ã) ãäÌãªñÍããè „£ããÀ / †û¹ãŠ Ôããè †¶ã ‚ããÀ [ºããè] ¹ããñ›Ãû¹ãŠãñãäÊã¾ããñ / ‚ãããäÔ¦ã allows using of derivative products to hedge ªñ¾ã¦ã㠇ãñŠ ‚ãÔãâ¦ãìÊã¶ã ‡ãñŠ ‡ãŠãÀ¥ã º¾ãã•ã / ãäÌã¶ã½ã¾ã ªÀãò ½ãò „¦¹ã¸ã the risk in Interest / Exchange rates that arise Öãñ¶ãñ ÌããÊããè •ããñãäŒã½ã ‡ãŠãè ¹ãÆãä¦ãÀàã㠇ãñŠ ãäÊㆠ¡ñãäÀÌãñãä›ÌÔ㠄¦¹ããªãò on account of overseas borrowing / FCNR (B) portfolio / the asset liability mis-match, ‡ãŠã ¹ãƾããñØ㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠãäÌãªñÍããè ÍããŒãã‚ããò ‚ãããäª ‡ãñŠ ãä¶ããä£ã¾ã¶ã for funding overseas branches etc., and also Öñ¦ãì ºãö‡ãŠ ‡ãŠãè •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¶ããèãä¦ã¾ããú ‚ã¶ãì½ããä¦ã ªñ¦ããè Öö ‚ããõÀ to offer derivative products on back-to-back Ôãã©ã Öãè ¾ãñ ¡ñãäÀÌãñãä›Ì㠄¦¹ã㪠ªì¦ãÀ¹ãŠã ‚ãã£ããÀ ¹ãÀ ØãÆãևãŠãò ‡ãŠãñ basis to customers. „¹ãÊ㺣㠇ãŠÀã¶ãñ ‡ãŠãè ‚ã¶ãì½ããä¦ã ªñ¦ããè Öõâý b) The Bank has a system of evaluating the derivatives exposures separately and placing ‚ãã) ¡ñãäÀÌãñãä›ÌÔ㠆‡ã‹Ô¹ãü¹ããñ•ãÀ ‡ãŠã ½ãîʾããâ‡ãŠ¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠºãö‡ãŠ ‡ãñŠ appropriate credit lines for execution of ¹ããÔ㠆‡ãŠ ‚ãÊãØã ¹ãÆ¥ããÊããè Öõ ‚ããõÀ ̾ããä‡ã‹¦ãØã¦ã ØãÆãևãŠãò ‡ãŠãè ãä¶ãÌãÊã derivative transactions duly reckoning the Net ÔããŒã †Ìãâ ¹ãÆãä¦ã¼ãîãä¦ã Ôã½ã©ãö㠇ãŠãñ ¹ãî¥ãà ¹ã Ôãñ Øã¥ã¶ãã ½ãò Êãñ¦ãñ Öì† Worth and security backing of individual ¡ñãäÀÌãñãä›Ìã Êãñ¶ã-ªñ¶ã ‡ãñŠ ãä¶ãÓ¹ã㪶㠇ãñŠ ãäÊㆠÔã½ãìãäÞã¦ã „£ããÀ Ñãñãä¥ã¾ããú clients. ¹ãÆÔ¦ãì¦ã ‡ãŠÀ¶ãñ ‡ãŠãè ¼ããè ¹ãÆ¥ããÊããè Öõý c) The Bank has set in place appropriate control systems to assess the risks associated in ƒ) ºãö‡ãŠ ¶ãñ ¹ãÆãä¦ãÀàãã ãäÊãŒã¦ããò ‡ãñŠ ¹㠽ãò ¡ñãäÀÌãñãä›ÌÔ㠇ãñŠ „¹ã¾ããñØã Ôãñ using derivatives as hedge instruments and •ãì¡ñ •ããñãäŒã½ã ‡ãŠãñ ãä¶ã£ããÃãäÀ¦ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ„ãäÞã¦ã ãä¶ã¾ãâ¨ã¥ã proper risk reporting systems are in place

94 ¹ãÆ¥ãããäÊã¾ããò ‡ãŠã Ø㟶ã ãä‡ãŠ¾ãã Öõ ‚ããõÀ ¡ñãäÀÌãñãä›Ìã Êãñ¶ãªñ¶ã Ôãñ Ôãâºãâãä£ã¦ã to monitor all aspects relating to derivative Ôã¼ããè ¹ãàããò ‡ãñŠ ¹ãƺããñ£ã¶ã ‡ãñŠ ãäÊㆠ„ãäÞã¦ã •ããñãäŒã½ã ãäÀ¹ããñãä›ÄØã ¹ãÆ¥ãããäÊã¾ããú transactions. The Derivative transactions were undertaken only with counterparties well „¹ãÊ㺣㠇ãŠÀÌããƒÃ Öö ý ¹ãƦ¾ãñ‡ãŠ ¹ãÆãä¦ã¹ãàããè ¹ãã›ãê ‡ãñŠ ãäÊㆠ„¹ã¾ãì‡ã‹¦ã within the exposure limit approved by „£ããÀ ½ãâ•ãîÀãè‡ãŠ¦ããà ¹ãÆããä£ã‡ãŠããäÀ¾ããò ´ãÀ㠂ã¶ãì½ããñã䪦㠕ããñãäŒã½ã Ôããè½ãã appropriate credit sanctioning authorities for ‡ãñŠ ‚ãâªÀ ¡ñãäÀÌãñãä›Ìã Êãñ¶ã-ªñ¶ã Öãè ãäÔã¹ãÊ ¹ãÆãä¦ã¹ãàããè ¹ãã›ãê ‡ãñŠ Ôãã©ã each counter party. ãä‡ãŠ† Øã†ý d) The Bank has set necessary limits in place for using derivatives and its position is ƒÃ) ºãö‡ãŠ ¶ãñ ¡ñãäÀÌãñãä›ÌÔ㠇ãñŠ ¹ãƾããñØ㠇ãñŠ ãäÊㆠ‚ããÌã;ã‡ãŠ Ôããè½ãã†ú ¦ã¾ã continuously monitored. ‡ãŠãè Öö ‚ããõÀ ƒ¶ã‡ãŠãè ãäÔ©ããä¦ã ‡ãŠã ãä¶ãÀâ¦ãÀ ¹ãƺããñ£ã¶ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ý e) The Bank has a system of continuous „) ºãö‡ãŠ ‡ãñŠ ¹ããÔ㠂ããÌã;ã‡ãŠ ‚ã¶ãìÌã¦ããê ‡ãŠãÀÃÌããƒÃ Íã젇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠmonitoring and appraisal of resultant exposures across the administrative hierarchy ¹ãÆÍããÔããä¶ã‡ãŠ ¹ãªã¶ãì‰ãŠ½ã ½ãò ¹ããäÀ¥ãã½ããè †‡ã‹Ôã¹ããñû•ãÀ ‡ãñŠ ½ãîʾããâ‡ãŠ¶ã Ìã for initiation of necessary follow up actions. ãä¶ãÀâ¦ãÀ ¹ãƺããñ£ã¶ã ‡ãŠÀ¶ãñ ‡ãŠãè ¼ããè ¹ãÆ¥ããÊããè Öõ ý f) Derivatives are used by the Bank to hedge ) ºãö‡ãŠ ‡ãñŠ ¦ãìÊã¶ã ¹ã¨ã ‡ãŠãè ¹ãÆãä¦ãÀàã㠇ãŠÀ¶ãñ ‚ããõÀ ‡ãŠã¹ããóÀñ› ØãÆãևãŠãò ‡ãŠã the Bank’s Balance Sheet and offered to select corporate clients on back-to-back ¹ããÀÔ¹ããäÀ‡ãŠ ‚ãã£ããÀ ¹ãÀ Þã¾ã¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠºãö‡ãŠ ´ãÀã ¡ñãäÀÌãñãä›ÌÔã basis. In respect of hedge transactions the ‡ãŠã ¹ãƾããñØã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ý ¹ãÆãä¦ãÀàãã Êãñ¶ãªñ¶ããò ‡ãñŠ Ôãâºãâ£ã ½ãò value and maturity of hedges has not ¹ãÆãä¦ãÀàã㠇ãñŠ ½ãîʾã Ìã ¹ããäÀ¹ãã‡ãŠ ¶ãñ ½ãîÊãã£ããÀ ‡ãŠãñ ¹ããÀ ¶ãÖãé ãä‡ãŠ¾ããý exceeded that of the underlying exposure. In respect of back-to-back transactions the ¹ããÀÔ¹ããäÀ‡ãŠ Êãñ¶ãªñ¶ããò ‡ãñŠ Ôãâºãâ£ã ½ãò ØãÆãևãŠãò ‡ãñŠ Ôãã©ã ‡ãñŠ Êãñ¶ãªñ¶ã, transactions with clients are fully matched ºãö‡ãŠ ‡ãñŠ ‡ãŠã„â›À ¹ãã›ãê Êãñ¶ãªñ¶ããò Ôãñ ¹ãî¥ãæã: ½ãñÊã ãä‡ãŠ† ØㆠÖö ‚ããõÀ with counter party bank transactions and there ‚ã¶ããÀãäàã¦ã †‡ã‹Ôã¹ããñû•ãÀ ¶ãÖãé Öö ý is no uncovered exposure. g) The income from such derivatives are ¨ãÉ) ƒÔã ¹ãƇãŠãÀ ‡ãñŠ ¡ñãäÀÌãñãä›ÌÔã Ôãñ Öãñ¶ãñ ÌããÊããè ‚ãã¾ã ‡ãŠãñ ¹ããäÀÍããñãä£ã¦ã amortised and taken to Profit and Loss ãä‡ãŠ¾ãã Øã¾ãã Öõ ‚ããõÀ „Ôãñ ÔãâãäÌãªã ‡ãŠãè ‚ãÌããä£ã ‡ãñŠ ªãõÀã¶ã „¹ããäÞã¦ã ‡ãñŠ Account on accrual basis over the life of the ‚ãã£ããÀ ¹ãÀ Êãã¼ã Ìã Öããä¶ã Œãã¦ãñ ½ãò ãäÊã¾ãã Øã¾ãã Öõ ý ¦ãìÊã¶ã ¹ã¨ã Öñ¦ãì contract. In case of early termination of swaps undertaken for Balance Sheet ãä‡ãŠ† ØㆠÔÌãõ¹ã ‡ãñŠ ÍããèÜãÆ ãä¶ãÀÔã¶ã ‡ãñŠ ½ãã½ãÊãñ ½ãò †ñÔãñ Êãã¼ã ‡ãñŠ management, income on account of such ‡ãŠãÀ¥ã ¹ãÆ㹦㠂ãã¾ã ‡ãŠãè ¹ãÖÞãã¶ã ÔÌãõ¹ã ‡ãŠãè ÍãñÓã ÔãâãäÌãªã¦½ã‡ãŠ ‚ãÌããä£ã gains would be recognised over the remaining ¾ã㠂ãããäÔ¦ã¾ããò / ªñ¾ã¦ãã‚ããò ‡ãŠãè ‚ãÌããä£ã, •ããñ ¼ããè ‡ãŠ½ã Öãñ, ‡ãñŠ contractual life of the swap or life of the ‚ãã£ããÀ ¹ãÀ ‡ãŠãè •ãã†Øããè ý ØãÆãևãŠãò ‡ãñŠ ãäÊㆠªì¦ãÀ¹ãŠã ‚ãã£ããÀ ¹ãÀ assets / liabilities whichever is lower. In case of early termination of derivatives undertaken ãäÊㆠØㆠ¡ñãäÀÌãñãä›ÌÔ㠇ãñŠ ÍããèÜãÆ ãä¶ãÀÔã¶ã ‡ãñŠ Ôãâºãâ£ã ½ãò ¹ãÆ㹦ã Öãñ¶ãñÌããÊããè for customers on a back-to-back basis, ‚ãã¾ã ‡ãŠãè ¹ãÖÞãã¶ã ãä¶ãÀÔã¶ã ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ‡ãŠãè •ãã†Øããè ý income on account of such things will be recognised on termination. †) Ôã¼ããè ¹ãÆãä¦ãÀàãã Êãñ¶ãªñ¶ã „¹ãÞã¾ã¶ã ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ¹ããäÀ‡ãŠãäÊã¦ã ãä‡ãŠ† h) All the hedge transactions have been ØㆠÖö ý ºã‡ãŠã¾ãã ÔãâãäÌãªã‚ããò ‡ãŠã ½ãîʾããâ‡ãŠ¶ã ºããû•ããÀ ½ãîʾ㠇ãŠãñ ºãÖãè accounted on accrual basis. Valuations of ½ãò ‚ãâãä‡ãŠ¦ã ‡ãŠÀ¶ãñ ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ãä‡ãŠ¾ãã Øã¾ãã ý ¡ñãäÀÌãñãä›ÌÔã ½ãò the outstanding contracts are done on Mark Êãñ¶ãªñ¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠºãö‡ãŠ ‡ãñŠ ¹ããÔã ãäÌããä£ãÌã¦ã ‚ã¶ãì½ããñã䪦㠕ããñãäŒã½ã to Market basis. The Bank has duly approved Risk Management and Accounting procedures ¹ãƺãâ£ã¶ã ‚ããõÀ ÊãñŒããâ‡ãŠ¶ã ¶ããèãä¦ã „¹ãÊ㺣ã Öõ ý for dealing in Derivatives. †ñ) ¡ñãäÀÌãñãä›ÌÔã Êãñ¶ãªñ¶ã ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ i) The derivative transactions are conducted in ‚ã¶ãìÔããÀ ãä‡ãŠ† •ãã¦ãñ Ööý accordance with the guidelines of Reserve Bank of India. ›Èñû•ãÀãè - (ªñÍããè¾ã) Treasury (Domestic) ºãö‡ãŠ, ÔãÀ‡ãŠãÀãè ¹ãÆãä¦ã¼ãîãä¦ã¾ããò ½ãò º¾ãã•ã ªÀ •ããñãäŒã½ã ‡ãŠãñ ‡ãŠ½ã ‡ãŠÀ¶ãñ The Bank uses the Rupee Interest Rate Swaps (IRS) for hedging purpose to mitigate ‡ãñŠ „ÿñ;ã Ôãñ ¹ãÆãä¦ãÀàãã Öñ¦ãì ‚ããõÀ Øããõ¥ã ¨ãÉ¥ããò Ìã ÔããÌããä£ã •ã½ãã‚ããò interest rate risk in Govt. Securities and to ‡ãŠãè ÊããØã¦ã ‡ãŠ½ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠÁ¹ã¾ãã º¾ãã•ã ªÀ ÔÌãõ¹ã (‚ãヂããÀ†Ôã) reduce the cost of Subordinated Debt and

95 ‡ãŠã ¹ãƾããñØ㠇ãŠÀ¦ãã Öõý ƒÔã‡ãñŠ ‚ããä¦ããäÀ‡ã‹¦ã ºããñ¡Ã ´ãÀ㠂ã¶ãì½ããñã䪦ã term deposits. In addition, the bank also ¶ããèãä¦ã ‡ãñŠ ‚ã¶ãìÔããÀ ›Èñãä¡âØ㠇ãñŠ ãäÊㆠºãö‡ãŠ Á¹ã¾ãã º¾ãã•ãªÀ ÔÌãõ¹ã ‡ãŠãñ enters into rupee interest rate swaps for trading purposes as per the policy duly ‚ã¹ã¶ãã¦ãã Öõ ý ÔÌãõ¹ã Êãñ¶ãªñ¶ã ‡ãñŠÌãÊ㠄¶Öãé ºãö‡ãŠãò ‡ãñŠ Ôãã©ã ãä‡ãŠ† approved by the Board. Swap transactions •ãã¦ãñ Öõ ãä•ã¶ã‡ãñŠ ¹ããÔ㠂ãテÔã¡ãè† ‡ãŠÀãÀ ãäÌã²ã½ãã¶ã Öõý are entered only with Banks having ISDA agreements in place. ‡ãŠ. ºãö‡ãŠ ½ãò •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ‡ãñŠ ãäÊㆠ„¹ã¾ãì‡ã‹¦ã ¤ãúÞã㠂ããõÀ ÔãâØ㟶ã a) The Bank has put in place an appropriate „¹ãÊ㺣ã Öõ ãä•ãÔã½ãò ›Èñû•ãÀãè ãäÌã¼ããØã, ºããñ¡Ã ‡ãŠãè ‚ãããäԦ㠪ñ¾ã¦ãã ¹ãƺãâ£ã¶ã structure and organization for management Ôããä½ããä¦ã ‚ããõÀ •ããñãäŒã½ã ¹ãƺãâ£ã¶ã Ôããä½ããä¦ã Íãããä½ãÊã Öõ ý of risk which includes Treasury Department, Asset Liability Management Committee and Œã. ¡ñãäÀÌãñãä›Ìã Êãñ¶ãªñ¶ããò ½ãò ºãã•ããÀ •ããñãäŒã½ã (º¾ãã•ã ªÀãò ½ãò ¹ãÆãä¦ã‡ãîŠÊã Risk Management Committee of the Board. ÔãâÞãÊã¶ã ‡ãñŠ ‡ãŠãÀ¥ã „¦¹ã¸ã ), „£ããÀ •ããñãäŒã½ã (Ôãâ¼ãããäÌã¦ã ‡ãŠã„â›À b) Derivative transactions carry Market Risk ¹ãã›ãê Þãî‡ãŠ¶ãñ Ôãñ „¦¹ã¸ã ), ¦ãÀÊã¦ã㠕ããñãäŒã½ã ( Ôãã½ã㶾㠽ãîʾ㠹ãÀ (arising from adverse movement in interest Êãñ¶ãªñ¶ã ãä¶ãÓ¹ããã䪦㠇ãŠÀ¶ãñ Öñ¦ãì ¾ãã ãä¶ããä£ã¾ã¶ã ‡ãŠãè •ãÂÀ¦ããò ‡ãŠãè ¹ãîãä¦ãà rates), credit risk (arising from probable counter party failure), liquidity risk (arising ‡ãŠÀ¶ãñ Ôãñ Þãî‡ãŠ¶ãñ ¹ãÀ „¦¹ã¸ã), ¹ããäÀÞããÊã¶ãØã¦ã •ããñãäŒã½ã, ãäÌããä¶ã¾ã㦽ã‡ãŠ from failure to meet funding requirements or •ããñãäŒã½ã ‚ããõÀ ¹ãÆãä¦ãӟ㠕ããñãäŒã½ã Íãããä½ãÊã ÀÖ¦ãã Öõ ý ºãö‡ãŠ ¶ãñ execute the transaction at a reasonable ¡ñãäÀÌãñãä›ÌÔ㠇ãŠã ¹ãƾããñØ㠇ãŠÀ¶ãñ ½ãò ãä¶ããä֦㠕ããñãäŒã½ã ‡ãŠã ½ãîʾããâ‡ãŠ¶ã price), operational risk, regulatory risk and reputation risk. The Bank has laid down ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ„¹ã¾ãì‡ã‹¦ã ãä¶ã¾ãâ¨ã¥ã ¹ãÆ¥ãããäÊã¾ããú Ô©ãããä¹ã¦ã ‡ãŠÀ ÀŒããè Öõâ policies, set in place appropriate control ‚ããõÀ ¡ñãäÀÌãñãä›Ìã Êãñ¶ãªñ¶ããò Ôãñ Ôãâºãâãä£ã¦ã Ôã¼ããè ¹ãàããò ‡ãŠã ¹ãƺããñ£ã¶ã systems to assess the risks associated in ‡ãŠÀ¶ãñ Öñ¦ãì „ãäÞã¦ã •ããñãäŒã½ã ÔãîÞã¶ãã ¹ãÆ¥ããÊããè ‚ããõÀ „Ôãñ ‡ãŠ½ã ‡ãŠÀ¶ãñ using derivatives and proper risk reporting and mitigation systems are in place to ‡ãŠãè ¹ãÆ¥ããÊããè „¹ãÊ㺣㠇ãŠÀÌããƒÃ Öõý ‚ãヂããÀ†Ôã Êãñ¶ãªñ¶ã ‡ãñŠÌãÊã monitor all risks relating to derivative ºãö‡ãŠãò ‡ãñŠ Ôãã©ã ¹ãÆãä¦ã ¹ãã›ãê ‡ãñŠ ¹㠽ãò ãä‡ãŠ† •ãã¦ãñ Öö ‚ããõÀ ¾ãñ ÖÀ ¹ãÆãä¦ã transactions. The IRS transactions were ¹ãã›ãê ‡ãñŠ ãäÊㆠºãö‡ãŠ ‡ãñŠ ºããñ¡Ã ´ãÀ㠂ã¶ãì½ããñã䪦㠄£ããÀ Ôããè½ã㠇ãñŠ undertaken with only Banks as counter party ‚㶪À Öãñ¦ãñ Ööý and well within the exposure limit approved by the Board of the Bank for each counter Øã. ºãö‡ãŠ ¡ñãäÀÌãñãä›ÌÔ㠇ãŠã ¹ãƾããñØã ¹ãÆãä¦ãÀàã㠆Ìã⠛Èñãä¡âØ㠇ãñŠ ãäÊㆠ‡ãŠÀ¦ãã party. Öõ ý ºãö‡ãŠ ½ãò ¡ñãäÀÌãñãä›ÌÔ㠇ãñŠ ãäÊㆠ‚ã¶ãì½ããñã䪦㠶ããèãä¦ã „¹ãÊ㺣ã Öõ c) Derivatives are used by the Bank for trading ‚ããõÀ ºãö‡ãŠ ¶ãñ ¡ñãäÀÌãñãä›ÌÔ㠇ãŠã ¹ãƾããñØ㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ‚ããÌã;ã‡ãŠ and hedging. The bank has an approved policy in force for derivatives and has set Ôããè½ãã†â ãä¶ã¾ã¦ã ‡ãŠãè Öõ⠂ããõÀ ƒÔã‡ãŠãè ãäÔ©ããä¦ã ‡ãŠã ãä¶ã¾ããä½ã¦ã ¹ã Ôãñ necessary limits for the use of derivatives and ¹ãƺããñ£ã¶ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý ‡ãñŠÌãÊã ªì¦ãÀ¹ãŠã ‚ãã£ããÀ ¹ãÀ ¹ãƾãì‡ã‹¦ã the position is continuously monitored. The ¹ãÆãä¦ãÀàãã‚ããò ‚ã©ãÌãã ºãö‡ãŠ ‡ãñŠ ¦ãìÊã¶ã-¹ã¨ã ‡ãŠãè ¹ãÆãä¦ãÀàã㠇ãŠã ½ãîʾã Ìã value and maturity of the hedges which are used only as back to back or to hedge ¹ããäÀ¹ãã‡ãŠ ¶ãñ †‡ã‹Ô¹ãüãñ•ãÀ ‡ãñŠ ½ãîÊãã£ããÀ ‡ãŠã ‚ããä£ãØã½ã¶ã ¶ãÖãè ãä‡ãŠ¾ãã Öõý bank’s Balance Sheet has not exceeded that of the underlying exposure. Ý. ¡ñãäÀÌãñãä›ÌÔ㠇ãñŠ ãäÊㆠÊãñŒãã‡ãŠÀ¥ã ¶ããèãä¦ã ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ‚ã¶ãìÔãîÞããè 17 - ½ãÖ¦Ìã¹ãî¥ãà ÊãñŒãã‡ãŠÀ¥ã d) The Accounting Policy for derivatives has been drawn up in accordance with RBI ¶ããèãä¦ã¾ããú (¶ããèãä¦ã Ôãâ 8) ½ãò ¹ãƇ㊛ ãä‡ãŠ† ‚ã¶ãìÔããÀ ¦ãõ¾ããÀ ‡ãŠãè ØãƒÃ Öõâý guidelines, as disclosed in Schedule 17 – Significant Accounting Policies (Policy No.8).

96 3.3.2 ½ãã¨ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã (Á.‡ãŠÀãñü¡ ½ãò) 3.3.2 Quantitative Disclosures (Rs. in Crore) S. PARTICULARS CURRENCY INTEREST RATE ‰ãŠûÔãâû ãäÌãÌãÀ¥ã ½ãì³ã ¡ñãäÀÌãñãä›ÌÔã º¾ãã•ã ªÀ NO. DERIVATIVES DERIVATIVES ¡ñãäÀÌãñãä›ÌÔ (i) Derivatives (Notional i. ¡ñãäÀÌãñãä›ÌÔã Principal Amount) (‡ãŠãʹããä¶ã‡ãŠ ½ãîÊã À‡ãŠ½ã) a) For Hedging 2620.98 1998.85 ‡ãŠ. ¹ãÆãä¦ãÀàã㠇ãñŠ ãäÊㆠ2620.98 1998.85 b) For Trading 155.84 1008.75 Œã. ̾ãã¹ããÀ ‡ãñŠ ãäÊㆠ155.84 1008.75 ii. ºãã•ããÀ ½ãîʾ㠇ãŠãñ ºãÖãè ½ãò (ii) Marked to Market Positions ‚ãâãä‡ãŠ¦ã ‡ãŠÀ¶ãñ ‡ãŠãè ãäÔ©ããä¦ã a) Asset (+) 245.79 0.47 ‡ãŠ. ‚ãããäÔ¦ã¾ããú (+) 245.79 0.47 b) Liability (-) 47.19 39.69 Œã. ªñ¾ã¦ãã†ú(-) 47.19 39.69 (iii) Credit Exposure 506.99 99.16 iii. „£ããÀ †‡ã‹Ô¹ããñ•ãÀ 506.99 99.16 (iv) Likely impact of one iv. º¾ãã•ã ªÀ ½ãò Ôãâ¼ãããäÌã¦ã †‡ãŠ percentage change in ¹ãÆãä¦ãÍã¦ã ‡ãñŠ ¹ããäÀÌã¦ãö㠇ãŠã ¹ãƼããÌã interest rate (100*PV01) (100*¹ããèÌããè01) a) on hedging derivatives 75.64 42.31 ‡ãŠ. ¹ãÆãä¦ãÀàãã ¡ñãäÀÌãñãä›ÌÔã ¹ãÀ 75.64 42.31 b) on trading derivatives 12.05 69.43 Œã. ̾ãã¹ããÀ ¡ñãäÀÌãñãä›ÌÔã ¹ãÀ 12.05 69.43 v) Maximum and Minimum of v. ÌãÓãà ‡ãñŠ ªãõÀã¶ã ¹ãã†ñ Øㆠ100*¹ããèÌããè01 100*PV01 observed during the year ‡ãŠã ¶¾ãî¶ã¦ã½ã ‚ããõÀ ‚ããä£ã‡ãŠ¦ã½ã a) on hedging Maximum 75.64 Maximum 29.78 ‡ãŠ. ¹ãÆãä¦ãÀàãã ¹ãÀ ‚ããä£ã‡ãŠ¦ã½ã 75.64 ‚ããä£ã‡ãŠ¦ã½ã 29.78 Minimum 23.24 Minimum 0.00 ¶¾ãî¶ã¦ã½ã 23.24 ¶¾ãî¶ã¦ã½ã 0.00 Œã. ̾ãã¹ããÀ ¹ãÀ ‚ããä£ã‡ãŠ¦ã½ã 12.05 ‚ããä£ã‡ãŠ¦ã½ã 41.81 b) on trading Maximum 12.05 Maximum 41.81 ¶¾ãî¶ã¦ã½ã 8.04 ¶¾ãî¶ã¦ã½ã 0.00 Minimum 8.04 Minimum 0.00 4. ‚ãããäÔ¦ã Øãì¥ãÌ㦦ãã 4. ASSET QUALITY: 4.1.1 Non-Performing Assets (NPAs) 4.1.1 ‚ã¶ã•ãÇ㊠‚ãããäÔ¦ã¾ããú (†¶ã¹ããè†) (Rs. In Crore) (Á.‡ãŠÀãñü¡ ½ãò) 2009-10 2008-09 2009-10 2008-09 i) Net NPA to Net Advances(%) 2.52 1.33 i. ãä¶ãÌãÊ㠆¶ã¹ããè† ‡ãŠãè ¦ãìÊã¶ãã ½ãò ii) Movement of NPAs (Gross) ãä¶ãÌãÊ㠂ããäØãƽã (%) 2.52 1.33 a) Opening Balance 1923.41 996.95 ii. †¶ã¹ããè† ‡ãŠãè ¹ãÆÞãÊã¶ã (Ôã‡ãŠÊã) b) Additions during the year 3126.83 2261.85 ‡ãŠ. ¹ãÆãÀâãä¼ã‡ãŠ ÍãñÓã 1923.41 996.95 c) Reductions during the year 1439.16 1335.39 Œã. ÌãÓãà ‡ãñŠ ªãõÀã¶ã ¹ããäÀÌã£ãöã 3126.83 2261.85 d) Closing Balance 3611.08 1923.41 Øã. ÌãÓãà ‡ãñŠ ªãõÀã¶ã ‡ãŠ›ãõãä¦ã¾ããú 1439.16 1335.39 Üã. Ôã½ãã¹ã¶ã ÍãñÓã 3611.08 1923.41 iii) Movement of Net NPAs a) Opening Balance 999.14 363.20 iii. †¶ã¹ããè† ‡ãŠãè ¹ãÆÞãÊã¶ã b) Additions during the year 2097.21 1971.33 ‡ãŠ ¹ãÆãÀâãä¼ã‡ãŠ ÍãñÓã 999.14 363.20 Œã ÌãÓãà ‡ãñŠ ªãõÀã¶ã ¹ããäÀÌã£ãöã 2097.21 1971.33 c) Reductions during the year 1101.38 1335.39 Øã ÌãÓãà ‡ãñŠ ªãõÀã¶ã ‡ãŠ›ãõãä¦ã¾ããú 1101.38 1335.39 d) Closing Balance 1994.97 999.14 Üã Ôã½ãã¹ã¶ã ÍãñÓã 1994.97 999.14 iv) Movement of Provisions for NPAs iv. †¶ã¹ããè† ‡ãŠãè ¹ãÆÞãÊã¶ã ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã (excluding provisions on standard assets) (½ãã¶ã‡ãŠ ‚ãããäÔ¦ã¾ããò ¹ãÀ ¹ãÆãÌã£ãã¶ããò ‡ãŠãñ œãñ¡‡ãŠÀ ) a) Opening balance 752.04 569.94 ‡ãŠ. ¹ãÆãÀâãä¼ã‡ãŠ ÍãñÓã 752.04 569.94 b) Provisions made during the year 1183.66 365.50 Œã. ÌãÓãà ‡ãñŠ ªãõÀã¶ã ãä‡ãŠ† Øㆠ¹ãÆãÌã£ãã¶ã 1183.66 365.50 c) Write-off/Write-back of Øã. ºã›á›ñ Œãã¦ãñ ½ãò ¡ãÊãñ Øㆠ/ excess provisions 571.91 183.40 ¹ãì¶ãÀãâãä‡ãŠ¦ã ‚ããä¦ããäÀ‡ã‹¦ã ¹ãÆãÌã£ãã¶ã 571.91 183.40 d) Closing balance 1363.79 752.04 Üã. Ôã½ãã¹ã¶ã ÍãñÓã 1363.79 752.04

97 4.1.2 ¹ãÆãÌã£ãã¶ã ‡ãŠÌãÀñû•ã ‚ã¶ãì¹ãã¦ã: 4.1.2 Provision Coverage Ratio ¼ããÀ¦ããè¾ã ãäÀ•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ 31.03.2010 The Provision Coverage Ratio (PCR) ¦ã‡ãŠ ¹ããäÀ‡ãŠãäÊã¦ã ¹ãÆãÌã£ãã¶ã ‡ãŠÌãÀñ•ã ‡ãŠã ‚ã¶ãì¹ãã¦ã (¹ããèÔããè‚ããÀ) computed as per the RBI guidelines stood 53.97 % ÀÖãý at 53.97% as on 31.03.2010. 4.2. ¹ãì¶ãÔãÄÀãäÞã¦ã Œãã¦ããò ‡ãñŠ ãäÌãÌãÀ¥ã 4.2 Particulars of Accounts Restructured (Á.‡ãŠÀãñü¡ ½ãòâ) (Rs. In Crore) Ôããè¡ãè‚ããÀ†ÔㆽãƒÃ/¨ãɥ㠂㶾ã CDR SME/Debt ¹ãÆ¥ããÊããè ¹ãì¶ãÔãÄÀÞã¶ãã Mechanism Restructuring Others ¹ãì¶ãÔãÄÀãäÞã¦ã ½ãã¶ã‡ãŠ „£ããÀ‡ãŠ¦ããÂããò ‡ãŠãè Ôãâ. 10 1401 6626 Standard No. of Borrowers 10 1401 6626 ‚ããäØãƽ㠺ã‡ãŠã¾ãã À‡ãŠ½ã 285.66 791.38 5745.00 advances Amount outstanding 285.66 791.38 5745.00 ¦¾ããØã restructured Sacrifice („ãäÞã¦ã ½ãîʾ㠽ãò ‡ãŠ½ããè) 11.47 9.00 50.71 (diminution in the fair value) 11.47 9.00 50.71 ¹ãì¶ãÔãÄÀãäÞã¦ã „£ããÀ‡ãŠ¦ããÂããò ‡ãŠãè Ôãâ. 2 96 290 Sub standard No. of Borrowers 2 96 290 ‚ãÌã½ãã¶ã‡ãŠ ‚ããäØãƽ㠺ã‡ãŠã¾ãã À‡ãŠ½ã 49.94 14.41 32.80 advances Amount outstanding 49.94 14.41 32.80 ¦¾ããØã restructured Sacrifice (diminution („ãäÞã¦ã ½ãîʾ㠽ãò ‡ãŠ½ããè) 0.30 - - in the fair value) 0.30 —- —- ¹ãì¶ãÔãÄÀãäÞã¦ã „£ããÀ‡ãŠ¦ããÂããò ‡ãŠãè Ôãâ. - 16 67 Doubtful No. of Borrowers —- 16 67 ÔãâãäªØ£ã ‚ããäØãƽ㠺ã‡ãŠã¾ãã À‡ãŠ½ã - 9.96 64.18 advances Amount outstanding —- 9.96 64.18 ¦¾ããØã restructured Sacrifice (diminution („ãäÞã¦ã ½ãîʾ㠽ãò ‡ãŠ½ããè) - - - in the fair value) —- —- —- ‡ãìŠÊ㠄£ããÀ‡ãŠ¦ããÂããò ‡ãŠãè Ôãâ. 12 1513 6983 TOTAL No. of Borrowers 12 1513 6983 ºã‡ãŠã¾ãã À‡ãŠ½ã 335.60 815.75 5841.98 Amount outstanding 335.60 815.75 5841.98 ¦¾ããØã Sacrifice (diminution („ãäÞã¦ã ½ãîʾ㠽ãò ‡ãŠ½ããè) 11.77 9.00 50.71 in the fair value) 11.77 9.00 50.71

4.3 ¹ããäÀÔãâ¹ãã䦦㠹ãì¶ããä¶ãýããå㠇ãñŠ ãäÊㆠ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã/ 4.3 Details of Financial Assets sold to ¹ãì¶ã:ÔãâÀÞã¶ã㠇ã⊹ã¶ããè ‡ãŠãñ ºãñÞããè ØãƒÃ ãäÌ㦦ããè¾ã ‚ãããäÔ¦ã¾ããò Securitisation / Reconstruction Company, ‡ãñŠ ãäÌãÌãÀ¥ã for Asset reconstruction (Á. ‡ãŠÀãñü¡ ½ãò) (Rs. in crore) Particulars 2009-10 2008-09 ãäÌãÌãÀ¥ã 2009-10 2008-09 (i) No. of accounts Nil 1 (i) Œãã¦ããò ‡ãŠãè Ôã⌾ãã Íãã 1 (ii) Aggregate value (net of provisions) (ii) †Ôã Ôããè / ‚ããÀ Ôããè ‡ãŠãñ ãäÌã‰ãŠ¾ã ãä‡ãŠ† of accounts sold to SC/RC Nil Nil ØㆠŒãã¦ããò ‡ãŠã Ôã½ãñãä‡ãŠ¦ã ½ãîʾã [ ¹ãÆãÌã£ãã¶ããò ‡ãŠã ãä¶ãÌãÊã ] Íãã Íãã (iii) Aggregate consideration Nil 1.94 (iii) Ôã½ãñãä‡ãŠ¦ã ¹ãÆãä¦ã¹ãŠÊã Íãã 1.94 (iv) Additional consideration realized in respect of accounts transferred (iv) Øã¦ã ÌãÓããô ½ãò ‚ãâ¦ããäÀ¦ã Œãã¦ããò ‡ãñŠ Ôãâºãâ£ã in earlier years Nil Nil ½ãò „ØããÖãè ãä‡ãŠ† Øㆠ‚ããä¦ããäÀ‡ã‹¦ã ¹ãÆãä¦ã¹ãŠÊã Íãã Íãã (v) Aggregate gain/loss over net (v) ãä¶ãÌãÊã ºãÖãè-½ãîʾ㠹ãÀ ‡ãìŠÊã ¾ããñØã Êãã¼ã/Öããä¶ã Íãã 1.94 book value Nil 1.94

98 4.4 ‚㶾㠺ãö‡ãŠãò Ôãñ ‰ãŠ¾ã / ãäÌã‰ãŠ¾ã ‡ãŠãè ØãƒÃ ‚ã¶ã•ãÇ㊠ãäÌ㦦ããè¾ã 4.4 Details of non-performing financial assets ‚ãããäÔ¦ã¾ããò ‡ãŠã ãäÌãÌãÀ¥ã purchased/sold from other banks 4.4.1 Details of non-performing financial assets 4.4.1 ‰ãŠ¾ã ‡ãŠãè ØãƒÃ ‚ã¶ã•ãÇ㊠ãäÌ㦦ããè¾ã ‚ãããäÔ¦ã¾ããò ‡ãŠã ãäÌãÌãÀ¥ã purchased: (Á. ‡ãŠÀãñü¡ ½ãò) (Rs. in crore) ãäÌãÌãÀ¥ã 2009-10 2008-09 Particulars 2009-10 2008-09 1û [‡ãŠ] ÌãÓãà ‡ãñŠ ªãõÀã¶ã ‰ãŠ¾ã ãä‡ãŠ† Øㆠ1 (a) No. of accounts purchased Œãã¦ããò ‡ãŠãè Ôã⌾ãã Íãã Íãã during the year Nil Nil

[Œã] Ôã½ãñãä‡ãŠ¦ã ºã‡ãŠã¾ãã Íãã Íãã (b) Aggregate outstanding Nil Nil

2û [‡ãŠ] ÌãÓãà ‡ãñŠ ªãõÀã¶ã ƒ¶ã½ãò Ôãñ ¹ãì¶ã: 2 (a) Of these, number of accounts ÔãâÀãäÞã¦ã Œãã¦ããò ‡ãŠãè Ôã⌾ãã Íãã Íãã restructured during the year Nil Nil

[Œã] Ôã½ãñãä‡ãŠ¦ã ºã‡ãŠã¾ãã Íãã Íãã (b) Aggregate outstanding Nil Nil 4.4.2. ãäÌã‰ãŠ¾ã ‡ãŠãè ØãƒÃ ‚ã¶ã•ãÇ㊠ãäÌ㦦ããè¾ã ‚ãããäÔ¦ã¾ããò ‡ãŠã ãäÌãÌãÀ¥ã 4.4.2 Details of non-performing financial assets sold: (Á. ‡ãŠÀãñü¡ ½ãò) (Rs. in crore)

ãäÌãÌãÀ¥ã 2009-10 2008-09 Particulars 2009-10 2008-09

1 û ãäÌã‰ãŠ¾ã ãä‡ãŠ† ØㆠŒãã¦ãñ Íãã Íãã 1. No. of accounts sold Nil Nil

2 û Ôã½ãñãä‡ãŠ¦ã ºã‡ãŠã¾ãã Íãã Íãã 2. Aggregate outstanding Nil Nil

3 û ¹ãÆ㹦ã Ôã½ãñãä‡ãŠ¦ã ¹ãÆãä¦ã¹ãŠÊã Íãã Íãã 3. Aggregate consideration received Nil Nil 4.5 ½ãã¶ã‡ãŠ ‚ãããäÔ¦ã¾ããò ¹ãÀ ¹ãÆãÌã£ãã¶ã 4.5 Provisions on Standard Asset (Á. ‡ãŠÀãñü¡ ½ãò) (Rs. in crore)

ãäÌãÌãÀ¥ã 2009-10 2008-09 Particulars 2009-10 2008-09

½ãã¶ã‡ãŠ ‚ãããäÔ¦ã¾ããò ‡ãñŠ ¹ãÆãä¦ã ¹ãÆãÌã£ãã¶ã 440.24 359.95 Provisions towards Standard Assets 440.24 359.95 5. ‡ãŠãÀãñºããÀ ‚ã¶ãì¹ãã¦ã 5 BUSINESS RATIOS ãäÌãÌãÀ¥ã 2009-10 2008-09 Particulars 2009-10 2008-09 (i) ‚ããõÔã¦ã ‡ãŠã¾ãÇãŠãÀãè ãä¶ããä£ã¾ããò ‡ãñŠ (i) Interest Income as a percentage ¹ãÆãä¦ã ¹ãÆãä¦ãÍã¦ã ‡ãñŠ ¹㠽ãò º¾ãã•ã ‚ãã¾ã 8.85% 9.67% to Average Working Funds 8.85% 9.67% (ii) ‡ãŠã¾ãÇãŠãÀãè ãä¶ããä£ã¾ããò ‡ãñŠ ¹ãÆãä¦ã ¹ãÆãä¦ãÍã¦ã (ii) Non Interest Income as ‡ãñŠ ¹㠽ãò º¾ãã•ãñ¦ãÀ ‚ãã¾ã 0.99% 1.60% a percentage to Working Funds 0.99% 1.60% (iii) ‡ãŠã¾ãÇãŠãÀãè ãä¶ããä£ã¾ããò ‡ãñŠ ¹ãÆãä¦ã ¹ãÆãä¦ãÍã¦ã (iii) Operating Profit as a percentage ‡ãñŠ ¹㠽ãò ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ Êãã¼ã 1.59% 2.53% to Working Funds 1.59% 2.53% (iv) ‚ããõÔã¦ã ‚ãããäÔ¦ã¾ããò Ôãñ Êãã¼ã 0.53% 1.17% (iv) Return on Avg. Assets 0.53% 1.17% (v) ¹ãÆãä¦ã ‡ãŠ½ãÃÞããÀãè ‡ãŠãÀãñºããÀ (v) Business (Deposits plus advances) (•ã½ãã†ú + ‚ããäØãƽã ) (Á. ‡ãŠÀãñü¡ ½ãò) 7.120 6.895 per Employee (Rs. in crore) 7.120 6.895 (vi) ¹ãÆãä¦ã ‡ãŠ½ãÃÞããÀãè Êãã¼ã (Á. ‡ãŠÀãñü¡ ½ãò) 0.0263 0.0520 (vi) Profit per employee (Rs. in crore) 0.0263 0.0520

99 6 ASSET LIABILITY MANAGEMENT: Maturity pattern of certain items of assets and liabilities as on March 31, 2010

(Rs. in crore) Day 2 to 7 8 to 14 15 to 28 29 days >3m to >6m to > 1yr to >3 yrs to > 5 yrs TOTAL 1 days days days to 3mnth 6 mnth 1 yr 3 yrs 5 yrs

Deposits 1600.03 2340.35 3461.44 1606.05 9617.84 19815.50 20943.86 44648.08 1882.16 4879.40 110794.71

Advances (Gross) 2847.29 4202.46 7445.38 1690.45 4984.56 3808.50 5674.82 29147.41 9488.39 11493.22 80782.48

Investments (Gross) 334.22 1719.42 1616.22 1221.05 2135.58 4111.75 6339.30 11438.16 1103.89 7861.67 37881.26

Borrowings 57.56 330.10 384.23 46.43 138.36 162.28 991.62 2036.33 400.00 4435.29 8982.20

Foreign Currency Assets 789.47 193.27 647.36 510.95 2652.75 1244.03 2056.90 1347.90 611.18 1067.13 11120.94

Foreign Currency Liabilities 465.37 217.98 518.79 441.89 2067.25 1861.85 2771.81 1370.30 253.55 1395.12 11363.91

6. ‚ãããäԦ㠪ñ¾ã¦ãã ¹ãƺãâ£ã¶ã ½ããÞãà 31, 2010 ¦ã‡ãŠ ‡ãñŠ ãäÊㆠ‚ãããäÔ¦ã¾ããò Ìã ªñ¾ã¦ãã‚ããò ‡ãŠãè ‡ã슜 ½ãªãò ‡ãŠãè ¹ããäÀ¹ã‡ã‹Ìã¦ã㠇ãŠã ¹ãÆãä¦ã½ãã¶ã (Á. ‡ãŠÀãñü¡ ½ãò)

1 ã䪶ã 2 Ôãñ 7 8 Ôãñ 14 15 Ôãñ 28 29 ã䪶ããò Ôãñ 3 ½ããÖ Ôãñ 6 ½ããÖ Ôãñ 1 ÌãÓãà Ôãñ 3 ÌãÓãà Ôãñ 5 ÌãÓãà Ôãñ ‡ãìŠÊã ã䪶ã ã䪶ã ã䪶ã 3 ½ããÖ ‚ããä£ã‡ãŠ Ì㠂ããä£ã‡ãŠ Ì㠂ããä£ã‡ãŠ Ì㠂ããä£ã‡ãŠ Ì㠂ããä£ã‡ãŠ 6 ½ããÖ ¦ã‡ãŠ 1 ÌãÓãà ¦ã‡ãŠ 3 ÌãÓãà ¦ã‡ãŠ 5 ÌãÓãà ¦ã‡ãŠ

•ã½ãã†ú 1600.03 2340.35 3461.44 1606.05 9617.84 19815.50 20943.86 44648.08 1882.16 4879.40110794.71 ‚ããäØãƽã (Ôã‡ãŠÊã) 2847.29 4202.46 7445.38 1690.45 4984.56 3808.50 5674.82 29147.41 9488.39 11493.22 80782.48 ãä¶ãÌãñÍã (Ôã‡ãŠÊã) 334.22 1719.42 1616.22 1221.05 2135.58 4111.75 6339.30 11438.16 1103.89 7861.67 37881.26 „£ããÀ57.56 330.10 384.23 46.43 138.36 162.28 991.62 2036.33 400.00 4435.29 8982.20 ãäÌãªñÍããè ½ãì³ã ‚ãããäÔ¦ã¾ããú 789.47 193.27 647.36 510.95 2652.75 1244.03 2056.90 1347.90 611.18 1067.13 11120.94 ãäÌãªñÍããè ½ãì³ã ªñ¾ã¦ãã†ú 465.37 217.98 518.79 441.89 2067.25 1861.85 2771.81 1370.30 253.55 1395.12 11363.91

100 7. ÔãâÌãñª¶ãÍããèÊã àãñ¨ããò ‡ãŠãñ „£ããÀ [ºãö‡ãŠ ´ãÀã ¹ãƽãããä¥ã¦ãã¶ãìÔããÀ] 7 LENDING TO SENSITIVE SECTOR (As certified by the Bank) 7.1 Ô©ããÌãÀ Ôãâ¹ãªã àãñ¨ã ‡ãŠãñ ¨ãÉ¥ã 7.1 Exposure to Real Estate Sector (Á. ‡ãŠÀãñü¡ ½ãò) ¹ãÆÌãØãà 2009-10 2008-09 (Rs in crore) ‚ã) ¹ãƦ¾ãàã ¨ãÉ¥ã û•ããñãäŒã½ã Category 2009-10 2008-09 i) ãäÀÖãƒÍããè ºãâ£ã‡ãŠ (a) Direct Exposure „£ããÀ‡ãŠ¦ããà ‡ãŠãè „Ôã ãäÀÖãƒÍããè i) Residential Mortgages - Ôãâ¹ãã䦦㠹ãÀ ºãâ£ã‡ãŠ ´ãÀã ¹ãî¥ãæã: Lending fully secured by ¹ãÆãä¦ã¼ãî¦ã „£ããÀ ãä•ãÔã½ãò „£ããÀ‡ãŠ¦ããà mortgages on residential Œãìª ÀÖ¦ãã Öõ ¾ãã ÀÖ¶ãñ ÌããÊãã Öõ property that is or will be ¾ãã ãä•ãÔãñ ãä‡ãŠÀㆠ¹ãÀ ã䪾ã㠕ãã†Øãã 3162.22 3900.36 occupied by the borrower or that is rented; 3162.22 3900.36 ãä•ã¶ã½ãò Ôãñ ¹ãÆã©ããä½ã‡ãŠ¦ãã àãñ¨ã ‡ãñŠ Out of which, Individual housing ¦ãÖ¦ã ÌãØããê‡ãŠÀ¥ã ‡ãñŠ ãäÊㆠ¹ãã¨ã loans eligible to be classified Ìãõ¾ããä‡ã‹¦ã‡ãŠ ‚ããÌããÔã ¨ãÉ¥ã 2240.13 3027.34 under Priority Sector 2240.13 3027.34

ii) Ìãããä¥ãã䕾ã‡ãŠ Ô©ããÌãÀ-Ôãâ¹ãªã Ìãããä¥ãã䕾ã‡ãŠ ii) Commercial Real Estate - Ô©ããÌãÀ Ôãâ¹ãªã‚ããò ¹ãÀ ºãâ£ã‡ãŠ ´ãÀã ¹ãÆãä¦ã¼ãî¦ã Lending secured by mortgages „£ããÀ (‡ãŠã¾ããÃÊã¾ã ¼ãÌã¶ã, œãñ›ãè-½ããñ›ãè •ãØãÖ, on commercial real estates ºãÖì-„ÿñÍããè¾ã Ìãããä¥ãã䕾ã‡ãŠ ¹ããäÀÔãÀ, (office buildings, retail space, ºãÖìãäÌã£ã-¹ããäÀÌããÀ ãäÀÖãƒÍããè ¼ãÌã¶ã, ºãÖìãäÌã£ã multi purpose commercial ãä‡ãŠÀㆠ¹ãÀ ã䪾ãã Öì‚ãã Ìãããä¥ãã䕾ã‡ãŠ ¹ããäÀÔãÀ, premises, multi-family residential ‚ããõ²ããñãäØã‡ãŠ ¾ãã Ìãñ¾ãÀÖã„Ô㠕ãØãÖ, Öãñ›Êã, buildings, multi-tenanted commercial ¼ãîãä½ã ‚ããä£ãØãÆÖ¥ã, ãäÌã‡ãŠãÔã Ìã ãä¶ã½ããå㠂ãããäª) premises, industrial or warehouse space, hotels, land acquisition, „£ããÀ û•ããñãäŒã½ã ½ãò ØãõÀ-ãä¶ããä£ã ‚ãã£ãããäÀ¦ã development and construction etc.) (†¶ã†¹ãŠºããè) Ôããè½ãã†ú Ôããä½½ãäÊã¦ã Öö ý 7100.57 5819.07 Exposure includes non-fund iii) ºãâ£ã‡ãŠ ´ãÀã Ôã½ããä©ãæ㠹ãÆãä¦ã¼ãîãä¦ã¾ããò ½ãò based (NFB) limits; 7100.57 5819.07 ãä¶ãÌãñÍ㠂ããõÀ ‚㶾㠹ãƦ¾ãã¼ãî¦ã „£ããÀ û•ããñãäŒã½ã - iii) Investments in Mortgage Backed ‡ãŠ. ãäÀÖãƒÍããè 0.32 0.63 Securities and other securitised exposures - Œã. Ìãããä¥ãã䕾ã‡ãŠ Ô©ããÌãÀ Ôãâ¹ãªã a. Residential 0.32 0.63 Øã. ‚㶾ã 15.00 -- b. Commercial Real estate c. Others 15.00 -- ‚ãã) ‚ã¹ãƦ¾ãàã ¨ãÉ¥ã û•ããñãäŒã½ã: ÀãӛÈãè¾ã ‚ããÌããÔã ºãö‡ãŠ (†¶ã†Þãºããè) ‚ããõÀ ‚ããÌããÔã ãäÌ㦦ã (b) Indirect Exposure: Fund based and ‡ã⊹ããä¶ã¾ããò (†ÞㆹãŠÔããè) ¹ãÀ ãä¶ããä£ã ‚ãã£ãããäÀ¦ã non-fund based exposures on ‚ããõÀ ØãõÀ-ãä¶ããä£ã ‚ãã£ãããäÀ¦ã „£ããÀ û•ããñãäŒã½ã 949.10 751.71 National Housing Bank (NHB) and Housing Finance Companies (HFCs) 949.10 751.71

Ô©ããÌãÀ Ôãâ¹ãªã ¹ãÆÌãØãà ‡ãŠãñ ‡ãìŠÊã ¨ãÉ¥ã û•ããñãäŒã½ã 11227.21 12219.17 Total Exposure to Real Estate Sector 11227.21 12219.17 7.2 ¹ãîú•ããè ºããû•ããÀ ‡ãŠãñ ¨ãÉ¥ã û•ããñãäŒã½ã 7.2 Exposure to Capital Market: (Á. ‡ãŠÀãñü¡ ½ãò ) (Rs in crore) ãäÌãÌãÀ¥ã 2009-10 2008-09 Category 2009-10 2008-09 i) „¶ã ƒÃãä‡ã‹Ìã›ãè Íãñ¾ãÀãò, ¹ããäÀÌã¦ãöãÍããèÊã ºããú¡ãò, (i) direct investment made in equity shares, convertible bonds, convertible ¹ããäÀÌã¦ãöãÍããèÊã ã䡺ãòÞãÀãò ‚ããõÀ ƒÃãä‡ã‹Ìã›ãè „¶½ãìŒã debentures and units of equity – ½¾ãîÞãì‚ãÊã ¹ã⊡ãò ‡ãŠãè ƒ‡ãŠãƒ¾ããò ½ãò ãä‡ãŠ¾ãã Øã¾ãã oriented mutual funds the corpus of which is not exclusively invested in ¹ãƦ¾ãàã ãä¶ãÌãñÍã, ãä•ã¶ã‡ãŠãè ãä¶ããä£ã ‡ãŠã ãä¶ãÌãñÍã ãäÌããäÍãӛ¦ã: corporate debt; 348.80 396.82 ‡ãŠã¹ããóÀñ› ¨ãɥ㠽ãò ¶ãÖãé ãä‡ãŠ¾ãã Øã¾ãã Öõ; 348.00 396.82

101 (Á. ‡ãŠÀãñü¡ ½ãò ) (Rs in crore) ãäÌãÌãÀ¥ã 2009-10 2008-09 Category 2009-10 2008-09 ii) Íãñ¾ãÀãò (‚ãヹããè‚ããñ / ƒÃ†Ôã‚ããñ¹ããè ÔããäÖ¦ã), (ii) advances against shares/bonds/ ¹ããäÀÌã¦ãöãÍããèÊã ºããú¡ãò ‚ããõÀ ¹ããäÀÌã¦ãöãÍããèÊã debentures or other securities or ã䡺ãòÞãÀãò ‚ããõÀ ƒÃãä‡ã‹Ìã›ãè „¶½ãìŒã ½¾ãîÞãì‚ãÊã on clean basis to individuals for investment in shares ¹ã⊡ãò ‡ãŠãè ¾ãîãä¶ã›ãò ½ãò ãä¶ãÌãñÍ㠇ãñŠ ãäÊㆠ(including IPOs/ESOPs), ̾ããä‡ã‹¦ã¾ããò ‡ãŠãñ Íãñ¾ãÀãò / ºããú¡ãò / ã䡺ãòÞãÀãò ¾ã㠂㶾ã convertible bonds, convertible ¹ãÆãä¦ã¼ãîãä¦ã¾ããò ‡ãñŠ ¹ãÆãä¦ã ¾ãã ãä¶ãºãģ㠂ãã£ããÀ ¹ãÀ ‚ããäØãƽã; 10.81 18.94 debentures and units of equity-oriented mutual funds. 10.81 18.94 iii) ãä‡ãŠÔããè ‚ã¶¾ã ¹ãƾããñ•ã¶ã Öñ¦ãì ã䪆 ØㆠÌãñ ‚ããäØãƽã, •ãÖãù Íãñ¾ãÀãò ¾ãã ¹ããäÀÌã¦ãöãÍããèÊã ºããú¡ãò ¾ãã (iii) advances for any other purposes where shares or convertible bonds or ¹ããäÀÌã¦ãöãÍããèÊã ã䡺ãòÞãÀãò ¾ã㠃Ããä‡ã‹Ìã›ãè „¶½ãìŒã convertible debentures or units of ½¾ãîÞãì‚ãÊã ¹ã⊡ãñ ‡ãŠãè ¾ãîãä¶ã›ãò ‡ãŠãñ equity oriented mutual funds are ¹ãÆ£ãã¶ã ¹ãÆãä¦ã¼ãîãä¦ã ‡ãñŠ ¹㠽ãò ãäÊã¾ã㠕ãã¦ãã Öõ; 896.26 812.72 taken as primary security; 896.26 812.72 iv) •ãÖãú Íãñ¾ãÀãò / ¹ããäÀÌã¦ãöãÍããèÊã ºããú¡ãò / (iv) advances for any other purposes to the ¹ããäÀÌã¦ãöãÍããèÊã ã䡺ãòÞãÀãò / ƒÃãä‡ã‹Ìã›ãè „¶½ãìŒã ½¾ãîÞãì‚ãÊã extent secured by the collateral security of shares or convertible ¹ã⊡ ‡ãŠãè ¾ãîãä¶ã›ãò Ôãñ ƒ¦ãÀ ¹ãÆ£ãã¶ã ¹ãÆãä¦ã¼ãîãä¦ã bonds or convertible debentures or units ‚ããäØãƽããò ‡ãŠãñ ¹ãîÀãè ¦ãÀÖ Ôãñ ‡ãŠÌãÀ ¶ãÖãè ‡ãŠÀ¦ããè, of equity oriented mutual funds ie. ÌãÖãú Íãñ¾ãÀãò ¾ãã ¹ããäÀÌã¦ãöãÍããèÊã ºããú¡ãò ¾ãã ¹ããäÀÌã¦ãöãÍããèÊã where the primary security other than ã䡺ãòÞãÀãò ¾ã㠃Ããä‡ã‹Ìã›ãè „¶½ãìŒã ½¾ãîÞãì‚ãÊã ¹ã⊡ ‡ãŠãè shares/convertible bonds/ convertible ¾ãîãä¶ã›ãò ‡ãŠãñ Ôãâ¹ãããäÍÌãÇ㊠¹ãÆãä¦ã¼ãîãä¦ã ´ãÀã ¹ãƦ¾ãã¼ãî¦ã debentures/ units of equity oriented mutual funds does not fully cover ‡ãŠÀ ãä‡ãŠ¶Öãè ‚ã¶¾ã „ÿñ;ããò ãä‡ãŠ ãäÊㆠ¹ãƪ¦¦ã ‚ããäØãƽã; Íãã Íã춾ã the advances; Nil Nil v) ԛãù‡ãŠ ºãÆãñ‡ãŠÀ ‡ãŠãñ ã䪆 Øㆠ¹ãÆãä¦ã¼ãî¦ã Ì㠂ã¹ãÆãä¦ã¼ãî¦ã (v) secured and unsecured advances ‚ããäØãƽ㠂ããõÀ ԛãù‡ãŠ ºãÆãñ‡ãŠÀ ‚ããõÀ ½ãã‡ãóŠ› ½ãñ‡ãŠÔãà to stockbrokers and guarantees ‡ãŠãè ‚ããñÀ Ôãñ •ããÀãè ‡ãŠãè ØãƒÃ ØããÀâã䛾ããú; 141.89 175.43 issued on behalf of stockbrokers and market makers; 141.89 175.43 vi) ÔãâÔãã£ã¶ããò ‡ãŠãñ •ãì›ã¶ãñ ‡ãŠãè ‚ã¹ãñàãã Ôãñ ¶ãƒÃ ‡ã⊹ããä¶ã¾ããò ‡ãŠãè ƒÃãä‡ã‹Ìã›ãè ½ãò ¹ãÆÌã¦ãÇ㊠‡ãñŠ ‚ãâÍãªã¶ã ‡ãŠãñ ¹ãîÀ㠇ãŠÀ¶ãñ (vi) loans sanctioned to corporates against the security of shares/bonds/debentures ‡ãñŠ ãäÊㆠÍãñ¾ãÀãò / ºããú¡ãò / ã䡺ãòÞãÀãò ¾ã㠂㶾㠹ãÆãä¦ã¼ãîãä¦ã¾ããò or other securities or on clean basis for ‡ãŠãè ¹ãÆãä¦ã¼ãîãä¦ã ‡ãñŠ ¹ãÆãä¦ã ¾ãã ãä¶ãºãö£ã ‚ãã£ããÀ ¹ãÀ meeting promoter’s contribution to the ‡ãŠã¹ããóÀñ›áÔ㠇ãŠãñ ½ãâ•ãîÀ ¨ãÉ¥ã; Íãã 250.00 equity of new companies in anticipation of raising resources; Nil 250.00 vii) ¹ãƦ¾ãããäÍã¦ã ƒÃãä‡ã‹Ìã›ãè ¹ãÆÌããÖ / ãä¶ãØãýããò ¹ãÀ ‡ã⊹ããä¶ã¾ããò ‡ãŠãñ ¹ãîÀ‡ãŠ ¨ãÉ¥ã; Íãã Íãã (vii) bridge loans to companies against expected equity flows / issues; Nil Nil viii) Íãñ¾ãÀãò ¾ãã ¹ããäÀÌã¦ãöãÍããèÊã ºããú¡ãò ¾ãã ¹ããäÀÌã¦ãöãÍããèÊã (viii) underwriting commitments taken up by ã䡺ãòÞãÀãò ¾ã㠃Ããä‡ã‹Ìã›ãè „¶½ãìŒã ½¾ãìÞ¾ãì‚ãÊã ¹ã⊡ ‡ãŠãè the banks in respect of primary issue of ¾ãîãä¶ã›ãò ‡ãñŠ Ôãâºãâ£ã ½ãò ºãö‡ãŠãò ´ãÀ㠇ãŠãè Øã¾ããè shares or convertible bonds or convertible ‚ã£ããñãäÊããäŒã¦ã ¹ãÆãä¦ãºã®¦ãã†ú; Íãã Íãã debentures or units of equity oriented mutual funds; Nil Nil ix) ½ãããä•ãö㠛Èñãä¡âØ㠇ãñŠ ãäÊㆠԛãù‡ãŠ ºãÆãñ‡ãŠÀãò ‡ãŠãñ ãäÌ㦦㠹ãƪã¶ã ‡ãŠÀ¶ãã; 0.42 Íãã (ix) financing to stockbrokers for margin trading; 0.42 Nil x) „²ã½ã ¹ãîâ•ããèØã¦ã ãä¶ããä£ã¾ããò (¹ãâ•ããè‡ãðŠ¦ã Ì㠂ã¹ãâ•ããè‡ãðŠ¦ã ªãñ¶ããò Öãè) (x) all exposures to Venture Capital Funds ‡ãñŠ ¹ãÆãä¦ã Ôã¼ããè ¨ãÉ¥ã û•ããñãäŒã½ã; 314.71 116.96 (both registered and unregistered) 314.71 116.96

¹ãîâ•ããè ºãã•ããÀ ‡ãŠãñ ‡ãìŠÊ㠄£ããÀ û•ããñãäŒã½ã 1712.89 1770.87 Total Exposure to Capital market 1712.89 1770.87

102 7.3 •ããñãäŒã½ã ¹ãÆÌãØãÃ-ÌããÀ ªñÍãØã¦ã ¨ãÉ¥ã û•ããñãäŒã½ã 7.3 Risk Category-wise Country Exposure: (Á. ‡ãŠÀãñü¡ ½ãò) (Rs in crore) •ããñãäŒã½ã ÌãØãà 31.3.2010 31.3.2010 31.3.2009 31.3.2009 Risk Category Exposure Provision Exposure Provision ¦ã‡ãŠ ¦ã‡ãŠ ¦ã‡ãŠ ¦ã‡ãŠ ãä¶ãÌãÊ㠂ããäØãƽ㠣ãããäÀ¦ã ¹ãÆãÌã£ãã¶ã ãä¶ãÌãÊ㠂ããäØãƽ㠣ãããäÀ¦ã ¹ãÆãÌã£ãã¶ã (net) as at held as at (net) as at held as at (ãä¶ãÌãÊã) 31.3.2010 31.3.2010 31.3.2009 31.3.2009 Insignificant 6196.37 3.43 7219.74 2.93 ‚ã½ãÖ¦Ìã¹ãî¥ãà 6196.37 3.43 7219.74 2.93 Low 1988.30 Nil 2012.35 Nil ‡ãŠ½ã 1988.30 Íãã 2012.35 Íãã Ôãã½ã㶾ã 1545.76 Íãã 1305.87 Íãã Moderate 1545.76 Nil 1305.87 Nil „ÞÞã 5.92 Íãã 17.39 Íãã High 5.92 Nil 17.39 Nil „ÞÞã¦ãÀ 0.80 Íãã 5.78 Íãã Very High 0.80 Nil 5.78 Nil ¹ãÆãä¦ãºãâãä£ã¦ã 0.00 Íãã 1.27 Íãã Restricted 0.00 Nil 1.27 Nil „£ããÀ-ƒ¦ãÀ 0.00 Íãã 0.00 Íãã Off-credit 0.00 Nil 0.00 Nil ‡ãìŠÊã 9737.15 3.43 10562.40 2.93 Total 9737.15 3.43 10562.40 2.93 7.4 ºãö‡ãŠ ´ãÀ㠂ããä£ãØããä½ã¦ã †‡ãŠÊ㠄£ããÀ‡ãŠ¦ããà Ôããè½ãã (†Ôã•ããè†Êã), 7.4 Details of Single Borrower Limit (SGL), Group Borrower Limit (GBL) exceeded by Ôã½ãîÖ „£ããÀ‡ãŠ¦ããà Ôããè½ãã (•ããèºããè†Êã) ‡ãñŠ ãäÌãÌãÀ¥ã the bank: ¼ããÀ¦ããè¾ã ãäÀ•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªôÍããò ‚ããõÀ 2010 ‡ãñŠ ãäÊㆠֽããÀñ As per RBI guidelines and terms of Loan Policy Document of our Bank for 2010, the ºãö‡ãŠ ‡ãñŠ ¨ãɥ㠶ããèãä¦ã ªÔ¦ããÌãñ•ã ‡ãŠãè Íã¦ããô ‡ãñŠ ‚ã¶ãìÔããÀ †‡ãŠÊ㠄£ããÀ‡ãŠ¦ããà permissible level of Single Borrower exposure ¨ãÉ¥ã û•ããñãäŒã½ã Ôããè½ã㠇ãŠã ‚ã¶ãì½ãñ¾ã Ô¦ãÀ Á.1557.04 ‡ãŠÀãñü¡ ceiling is Rs. 1557.04 crores (15% of Capital (¹ãîâ•ããèØã¦ã ãä¶ããä£ã¾ããò ‡ãŠã 15%)Öõ ‚ããõÀ Ôã½ãîÖ „£ããÀ‡ãŠ¦ããà Ôããè½ã㠇ãñŠ funds) and Rs. 4152.11 crores for Group ãäÊㆠÁ.4152.11 ‡ãŠÀãñü¡ (¹ãîâ•ããèØã¦ã ãä¶ããä£ã¾ããò ‡ãŠã 40%) Öõý Borrower limit (40% of Capital funds) (Rs. In crore) (Á. ‡ãŠÀãñü¡ ½ãò) Sl. Name of Exposure Limit Period Amount Board Position ‰ãŠ. „£ããÀ‡ãŠ¦ããà ¨ãɥ㠽ãâ•ãîÀ ÌãÖ ‚ãÌããä£ã „Ô㠂ãÌããä£ã ºããñ¡Ã ‡ãŠãè 31.03.2010 No. the Ceiling Sanctioned during Outstanding sanction as on Ôãâ. ‡ãŠã ¶ãã½ã •ããñãäŒã½ã ‡ãŠãè ãä•ãÔã ªãõÀã¶ã ‡ãŠãè ºã‡ãŠã¾ãã ½ãâ•ãîÀãè ‡ãñŠ ¦ã‡ãŠ ‡ãñŠ ãäÊㆠBorrower which during the details 31.03.2010 Ôããè½ãã ØãƒÃ Ôããè½ã㠇ãŠã À‡ãŠ½ã ãä•ãÔã ãäÌãÌãÀ¥ã ºã‡ãŠã¾ãñ ‡ãŠãè limit period limit outstanding Ôããè½ã㠂ããä£ãØã½ã¶ã ªãõÀã¶ã Ôããè½ãã ãäÔ©ããä¦ã exceeded exceeded Öì‚ã㠇ãŠã ‚ããä£ãØã½ã¶ã Öì‚ãã 1. Indian 1557.04 FB 1650.00 Not Not Permitted FB: Credit Balance Farmers & NFB 350.00 exceeded applicaple to consider NFB: 123.52 1. ¼ããÀ¦ããè¾ã 1 557.04 †¹ãŠºããè ‚ããä£ãØã½ã¶ã ¶ãÖãé ÊããØãî ¶ãÖãé Á.2076.05 †¹ãŠºããè : Fertilisers Credit ‡ãðŠÓã‡ãŠ Ìã 1650.00 ‡ãŠÀãñü¡ ¦ã‡ãŠ ‡ãñŠ •ã½ãã ÍãñÓã Company facilities „ÌãÃÀ‡ãŠ †¶ã†¹ãŠºããè ãäÊㆠ„£ããÀ †¶ã†¹ãŠºããè : Ltd. upto Rs. ‡ã⊹ã¶ããè 350.00 ÔãìãäÌã£ãã‚ããò 123.52 ãäÊããä½ã›ñ¡ ¹ãÀ ãäÌãÞããÀ (IFFCO) 2076.05 (ƒû¹ãŠ‡ãŠãñ) ‡ãŠÀ¶ãññ ‡ãñŠ Crores ãäÊㆠ‚ã¶ãì½ããä¦ã 2. Emmar 89.80 224.50 Amount NA 22.09.09 NIL 2. †½½ããÀ 89.80 224.50 À‡ãŠ½ã ‚ã¼ããè ÊããØãî ¶ãÖãé 22-09-09 Íãã Properties (USD 20 (USD 50 yet to be ¹ãÆãù¹ã›ãêÔã (¾ãî†Ôã¡ãè (¾ãî†Ôã¡ãè ÔãâãäÌã¦ããäÀ¦ã PJSC, mio) mio) disbursed ¹ããè•ãñ†ÔãÔããè, 20 ãä½ã¾ããñ) 50 ãä½ã¾ããñ) ‡ãŠãè •ãã¶ããè Öõ Singapore ãäÔãâØãã¹ãìÀ 3 . ÑããèÊãâ‡ãŠã 89.80 157.15 2009-10 157.15 22-09-09 157.15 3. Government 89.80 157.15 2009-10 157.15 22.09.09 157.15 ÔãÀ‡ãŠãÀ - (¾ãî†Ôã¡ãè (¾ãî†Ôã¡ãè (¾ãî†Ôã¡ãè (¾ãî†Ôã¡ãè of Sri Lanka (USD 20 (USD 35 (USD 35 (USD 35 ÑããèÊãâ‡ãŠ¶ã 20 ãä½ã¾ããñ) 35 ãä½ã¾ããñ) 35 ãä½ã¾ããñ) 35 ãä½ã¾ããñ) investment mio) mio) mio) mio) ¡ñÌãñÊã¹ã½ãò› in Sri Lankan ºããù¶¡áÔã, Development ‡ãŠãñÊ㽺ããñ ½ãò Bonds, Colombo ãä¶ãÌãñÍã 4. Olam 89.80 179.60 2009-10 179.60 29.10.09 180.81 4 . ‚ããñÊã½ã 89.80 179.60 2009-10 179.60 29-10-09 180.81 International (USD 20 (USD 40 (USD 40 (USD 40.27 ƒ¶›À¶ãñÍã¶ãÊã(¾ãî†Ôã¡ãè (¾ãî†Ôã¡ãè (¾ãî†Ôã¡ãè (¾ãî†Ôã¡ãè ¹ãÆãƒÌãñ› 20 ãä½ã¾ããñ) 40 ãä½ã¾ããñ) 40 ãä½ã¾ããñ) 40.27 ãä½ã¾ããñ) Pte Ltd., mio) mio) mio) mio) ãäÊããä½ã›ñ¡, Singapore ãäÔãâØãã¹ãìÀ

103 8. ãäÌããäÌã£ã 8. MISCELLANEOUS 8.1 ÌãÓãà ‡ãñŠ ªãõÀã¶ã ‚ãã¾ã ‡ãŠÀ ‡ãñŠ ãäÊㆠãä‡ãŠ† Øㆠ¹ãÆãÌã£ãã¶ããò ‡ãŠãè 8.1 Amount of provisions made for Income Tax during the year: À‡ãŠ½ã (Á. ‡ãŠÀãñü¡ ½ãò) (Rs. in crore) 2009-10 2008-09 2009-10 2008-09 ‚ãã¾ã ‡ãŠÀ ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã (ãä¶ãÌãÊã) 45.94 698.20 Provision for Income Tax (net) 45.94 698.20 ãä¶ã½¶ã¦ã½ã Ìãõ‡ãŠãäʹã‡ãŠ ‡ãŠÀ (½ãõ›) Provision for Minimum ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã 250.74 --- Alternate Tax (MAT) 250.74 — ½ãõ› „£ããÀ ¹ãã¨ã¦ãã (250.74) --- MAT Credit Entitlement (250.74) — ‚ã¶ãìÓãâØããè Êãã¼ã ‡ãŠÀ ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã --- 12.94 Provision for Fringe Benefit Tax —- 12.94 8.2 ¼ããÀ¦ããè¾ã ãäÀ•ãÌãà ºãö‡ãŠ ´ãÀã ÊãØãㆠØㆠ•ãì½ããöãñ ‡ãŠã 8.2 Disclosure of Penalties imposed by RBI: NIL ¹ãƇ㊛ãè‡ãŠÀ¥ã : Íãã 8.3 Provisions and Contingencies – Break-up 8.3 ¹ãÆãÌã£ãã¶ã †Ìã⠂ãã‡ãŠãäÔ½ã‡ãŠ¦ãã†ú - ºãÆñ‡ãŠ ‚ã¹ã (Rs. in crore) (Á. ‡ãŠÀãñü¡ ½ãò) Êãã¼ã Ìã Öããä¶ã Œãã¦ãñ ½ãò ̾ã¾ã 2009-10 2008-09 Break up of ‘Provisions and 2009-10 2008-09 Contingencies’ shown under ÍããèÓãà ‡ãñŠ ¦ã֦㠪ÍããÆ Øㆠthe head Expenditure in “¹ãÆãÌã£ãã¶ã Ì㠂ãã‡ãŠãäÔ½ã‡ãŠ¦ãã‚ããò” Profit and Loss Account ‡ãŠã ºãñƇ㊂ã¹ã Provisions for depreciation ãä¶ãÌãñÍã ¹ãÀ ½ãîʾãÖÆãÔ㠇ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã -120.02 1.07 on Investment -120.02 1.07 ‚ã¶ã•ãÇ㊠‚ãããäÔ¦ã¾ããò ‡ãñŠ ¹ãÆãä¦ã ¹ãÆãÌã£ãã¶ã 919.46 365.50 Provision towards NPA 919.46 365.50 ½ãã¶ã‡ãŠ ‚ãããäÔ¦ã¾ããò ‡ãñŠ ¹ãÆãä¦ã ¹ãÆãÌã£ãã¶ã 6.01 47.40 Provision towards Standard Assets 6.01 47.40 ‚ãã¾ã‡ãŠÀ (†¹ãŠºããè›ãè, ‚ããÔ©ããäØã¦ã ‡ãŠÀ Ìã Ôãâ¹ãã䦦㠇ãŠÀ ÔããäÖ¦ã) Provision made towards Income Tax ‡ãñŠ ¹ãÆãä¦ã ãä‡ãŠ¾ãã Øã¾ãã ¹ãÆãÌã£ãã¶ã 271.99 628.51 (incl FBT, Deferred Tax & Wealth Tax) 271.99 628.51 ‚㶾㠹ãÆãÌã£ãã¶ã Ì㠂ãã‡ãŠãäԇ㊦ãã†ú 60.22 155.45 Other Provision and Contingencies 60.22 155.45 ‡ãìŠÊã 1137.66 1197.93 TOTAL 1137.66 1197.93 8.4 ‚ãÔ©ãã¾ããè ¹ãÆãÌã£ãã¶ã 8.4 Floating Provisions (Á. ‡ãŠÀãñü¡ ½ãò) (Rs. in crore) ãäÌãÌãÀ¥ã 2009-10 2008-09 Particulars 2009-10 2008-09 ‡ãŠ) ‚ãÔ©ãã¾ããè ¹ãÆãÌã£ãã¶ããò ‡ãñŠ Œãã¦ãñ (a) Opening balance in the ½ãò ‚ããÀâãä¼ã‡ãŠ ÍãñÓã 171.36 259.92 floating provisions account 171.36 259.92 Œã) ÊãñŒããâ‡ãŠ¶ã ÌãÓãà ½ãò ãä‡ãŠ† Øㆠ‚ãÔ©ãã¾ããè (b) The quantum of floating ¹ãÆãÌã£ãã¶ããò ‡ãŠãè ¹ãƽãã¨ãã Íãã Íãã provisions made in the accounting year Nil Nil Øã) ÊãñŒããâ‡ãŠ¶ã ÌãÓãà ‡ãñŠ ªãõÀã¶ã ‡ãŠãè ØãƒÃ ãä¶ã‡ãŠããäÔã¾ããò ‡ãŠãè À‡ãŠ½ã Íãã 88.56 (c) Amount of draw down made during the accounting year Nil 88.56 Üã) ‚ãÔ©ãã¾ããè ¹ãÆãÌã£ãã¶ããò ‡ãñŠ Œãã¦ãñ (d) Closing balance in the floating ½ãò ‚ãâãä¦ã½ã ÍãñÓã 171.36 171.36 provisions account 171.36 171.36

104 8.5 ãäÍã‡ãŠã¾ã¦ããò ‡ãŠã ¹ãƇ㊛ãè‡ãŠÀ¥ã 8.5 Disclosure of complaints 8.5.1 Customer Complaints 8.5.1 ØãÆãևãŠãò ‡ãŠãè ãäÍã‡ãŠã¾ã¦ãò (a) No. of complaints pending at the (‡ãŠ) ÌãÓãà ‡ãñŠ ¹ãÆãÀâ¼ã ½ãò Êãâãäºã¦ã ãäÍã‡ãŠã¾ã¦ããò ‡ãŠãè Ôã⌾ãã 47 beginning of the year 47 (Œã) ÌãÓãà ‡ãñŠ ªãõÀã¶ã ¹ãÆ㹦ã ãäÍã‡ãŠã¾ã¦ããò ‡ãŠãè Ôã⌾ãã 1291 (b) No. of complaints received during the year 1291 (Øã) ÌãÓãà ‡ãñŠ ªãõÀã¶ã ãä¶ãÌãããäÀ¦ã ãäÍã‡ãŠã¾ã¦ããò ‡ãŠãè Ôã⌾ãã 1280 (c) No. of complaints redressed during the year 1280 (Üã) ÌãÓãà ‡ãñŠ ‚ãâ¦ã ½ãò Êãâãäºã¦ã ãäÍã‡ãŠã¾ã¦ããò ‡ãŠãè Ôã⌾ãã 58 (d) No. of complaints pending at the 8.5.2 ºãöãä‡ãâŠØã Êããñ‡ãŠ¹ããÊã ´ãÀã ¹ãããäÀ¦ã ‚ããä£ããä¶ã¥ãþã end of the year 58 8.5.2 Awards passed by the Banking (‡ãŠ) ÌãÓãà ‡ãñŠ ¹ãÆãÀâ¼ã ½ãò ‚ã-‡ãŠã¾ããÃãä¶Ìã¦ã ‚ããä£ããä¶ã¥ãþããò Ombudsman ‡ãŠãè Ôã⌾ãã 2 (a) No. of unimplemented Awards at the (Œã) ÌãÓãà ‡ãñŠ ªãõÀã¶ã ºãöãä‡ãâŠØã Êããñ‡ãŠ¹ããÊã ´ãÀã ¹ãããäÀ¦ã beginning of the year 2 ‚ããä£ããä¶ã¥ãþããò ‡ãŠãè Ôã⌾ãã 1 (b) No. of Awards passed by the Banking (Øã) ÌãÓãà ‡ãñŠ ªãõÀã¶ã ‡ãŠã¾ããÃãä¶Ìã¦ã ‚ããä£ããä¶ã¥ãþããò ‡ãŠãè Ôã⌾ãã 1 Ombudsmen during the year 1 (Üã) „ÞÞã ¶¾ãã¾ããÊã¾ã ½ãò ‚ããä£ããä¶ã¥ãþããò ‡ãñŠ ãäÌãÁ® (c) No. of Awards implemented during the year 1 ‚ã¶ãì½ã¦ã ‚ã¹ããèÊããò ‡ãŠãè Ôã⌾ãã 1 (d) Appeal against the awards allowed in the High Court 1 (Þã) ÌãÓãà ‡ãñŠ ‚ãâ¦ã ½ãò ‚ã-‡ãŠã¾ããÃãä¶Ìã¦ã ‚ããä£ããä¶ã¥ãþããò ‡ãŠãè Ôã⌾ãã 1 (e) No. of unimplemented Awards at the end of the year 1 8.6 Þãì‡ãŠãõ¦ããè ‚ããÍÌããÔã¶ã-¹ã¨ã (†Êã‚ããñÔããè) 8.6 Letters of Comfort (LoC) ÌãÓãà ‡ãñŠ ªãõÀã¶ã •ããÀãè ãä‡ãŠ† ØㆠÞãì‡ãŠãõ¦ããè ‚ããÍÌããÔã¶ã-¹ã¨ã 1 Letters of Comfort issued during the year One ½ãîʾããâãä‡ãŠ¦ã ãäÌ㦦ããè¾ã ¹ãƼããÌã Íãã Assessed Financial Impact Nil ÔãâÞã¾ããè ½ãîʾããâãä‡ãŠ¦ã ãäÌ㦦ããè¾ã ºã㣾ã¦ãã†â Íãã Cumulative Assessed Financial Obligations Nil ÌãÓãà 2009-10 ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ¶ãñ †‡ãŠ Þãì‡ãŠãõ¦ããè ‚ããÍÌããÔã¶ã ¹ã¨ã During the year 2009-10, the Bank has issued (†Êã‚ããñÔããè) ƒÔã ÌãÞã¶ã ‡ãñŠ Ôãã©ã •ããÀãè ãä‡ãŠ¾ãã Öõ ãä‡ãŠ ÌãÖ ‚ã¹ã¶ããè a Letter of Comfort (LoC) undertaking to ºãö‡ãŠã‡ãŠ ÍããŒã㠇ãñŠ Ô㽺㶣㠽ãò 12% ‡ãñŠ ¶¾ãî¶ã¦ã½ã Ôããè‚ããÀ†‚ããÀ maintain a minimum CRAR of 12% in respect ‡ãŠãñ ºã¶ãㆠÀŒãñØããý of Bangkok branch. There is no other LoC issued by the Bank „ãäÊÊããäŒã¦ã ‡ãñŠ ‚ãÊããÌã㠂ããõÀ ‡ãŠãñƒÃ †Êã‚ããñÔããè ¶ãÖãé Öõ ãä•ãÔãñ ºãö‡ãŠ other than the one mentioned above ¶ãñ •ããÀãè ãä‡ãŠ¾ãã Öõ ‚ããõÀ ½ãîʾããâ‡ãŠ¶ã ‡ãñŠ ‚ã¶ãìÔããÀ 31-03-2010 ¦ã‡ãŠ and as assessed there is no financial impact ‡ãñŠ ãäÊㆠƒÔ㠆Êã‚ããñÔããè ‡ãñŠ ‡ãŠãÀ¥ã ‡ãŠãñƒÃ ãäÌ㦦ããè¾ã ¹ãƼããÌã ¶ãÖãé Öõý on account of this LoC as on 31.03.2010 8.7 ‚ã¹ãƦ¾ãã¼ãî¦ã ‚ããäØãƽã (ºãö‡ãŠ ´ãÀã ¹ãƽãããä¥ã¦ã ‚ã¶ãìÔããÀ) 8.7 Unsecured Advances (As certified by the Bank) (Á.‡ãŠÀãñü¡ ½ãò) (Rs. In crore) ‡ãìŠÊã À‡ãŠ½ã ãä•ãÔã‡ãñŠ ãäÊㆠ‚ããä£ã‡ãŠãÀãò ¹ãÀ ¹ãƼããÀ, Total amount for which intangible ÊããƒÔãòÔã ¹ãÆããä£ã‡ãŠÀ¥ã ‚ãããäª •ãõÔããè ‚ã½ãî¦ãà securities such as charge over ¹ãÆãä¦ã¼ãîãä¦ã¾ããú Êããè Øã¾ããè Öö 1292.01 the rights, licences authority, etc., has been taken 1292.01 ƒÔã ¹ãƇãŠãÀ ‡ãŠãè ‚ã½ãî¦ãà Ôãâ¹ãããäÍÌãÇ㊠¹ãÆãä¦ã¼ãîãä¦ã¾ããò Estimated value of such ‡ãŠã ‚ã¶ãì½ãããä¶ã¦ã ½ãîʾã 7218.87 intangible collateral 7218.87

105 8.8 ºãö‡ãŠ†Í¾ãîÀ¶Ô㠇ãŠãÀãñºããÀ (Á.‡ãŠÀãñü¡ ½ãò) 8.8 Bancassurance Business (Rs. In crore) ¹ãÆ㹦ã ÍãìʇãŠ/¹ãããäÀÑããä½ã‡ãŠ 14.38 Fees / Remuneration Received 14.38 9. DISCLOSURES IN TERMS OF 9 ÊãñŒããâ‡ãŠ¶ã ½ãã¶ã‡ãŠãò ‡ãñŠ ãä¶ãºãâ£ã¶ããò ‡ãñŠ ‚ã¶ãìÔããÀ ACCOUNTING STANDARDS ¹ãƇ㊛ãè‡ãŠÀ¥ã: 9.1 Accounting Standard 15 – Employee 9.1 ÊãñŒããâ‡ãŠ¶ã ½ãã¶ã‡ãŠ 15 - ‡ãŠ½ãÃÞããÀãè Êãã¼ã Benefits i) The Bank had adopted Accounting i) ºãö‡ãŠ ¶ãñ 01 ‚ã¹ãÆõÊã 2007 Ôãñ ¼ããÀ¦ããè¾ã Ôã¶ãªãè ÊãñŒãã‡ãŠãÀ Standard 15 (Revised) “Employees ÔãâÔ©ãã¶ã ´ãÀ㠕ããÀãè “‡ãŠ½ãÃÞããÀãè Êãã¼ã” Ôãâºãâ£ããè ÊãñŒããâ‡ãŠ¶ã Benefits” issued by the Institute of ½ãã¶ã‡ãŠ 15 (¹ããäÀÍããñãä£ã¦ã ) ‡ãŠãñ ‚ã¹ã¶ãã¾ãã ©ããý Chartered Accountants of India, with effect from 1st April 2007. ii) ƒÔã ÌãÓãà ‡ãñŠ ÍãìÁ‚ãã¦ã ½ãò ‡ãŠ½ãÃÞããÀãè ¹ãòÍã¶ã ‡ãñŠ ãäÊㆠ‚ã¶ããä¼ã—ã ii) The balance of unrecognised Transitional Ôãâ‰ãŠ½ã¥ã‡ãŠãÊããè¶ã ªñ¾ã¦ã㠇ãŠã ÍãñÓã Á.267 ‡ãŠÀãñü¡ (ãä¹ãœÊãñ Liability on account of Employee Pension amounted to Rs.267 Crores (previous year ÌãÓãà ‡ãñŠ ãäÊㆠÁ.356 ‡ãŠÀãñü¡) Öõý 31-03-2010 ‡ãŠãñ Rs.356 Crores) at the beginning of this Ôã½ã㹦ã ÞããÊãî ÌãÓãà ‡ãñŠ ãäÊㆠÁ.89 ‡ãŠÀãñü¡ ‡ãŠãè ÀããäÍã year. A sum of Rs. 89 Crores (previous (ãä¹ãœÊãñ ÌãÓãà Á.89 ‡ãŠÀãñü¡) Êãã¼ã Ìã Öããä¶ã Œãã¦ãñ ‡ãŠãñ year Rs. 89 Crores) has been charged ¹ãƼãããäÀ¦ã ‡ãŠãè Øã¾ããè Öõý Á.178 ‡ãŠÀãñü¡ (ãä¹ãœÊãñ ÌãÓãà to Profit & Loss Account of the current year ended 31.03.2010. The balance Á.267 ‡ãŠÀãñü¡) ‡ãŠãè ÍãñÓ㠂ã¶ããä¼ã—ã ªñ¾ã¦ã㠇ãŠãñ ‚ããØãñ Êãñ Unrecognized Liability of Rs.178 crores •ãã¾ã㠕ãã ÀÖã Öõ ¦ãããä‡ãŠ ƒÔãñ ‚ãØãÊãñ ªãñ ÌãÓããô ½ãò ¹ãƼãããäÀ¦ã (previous year Rs.267 crores) is being ãä‡ãŠ¾ã㠕ãã Ôã‡ãñŠý carried forward to be charged off in the next two years iii.ÊãñŒããâ‡ãŠ¶ã ½ãã¶ã‡ãŠ -15(¹ããäÀÍããñãä£ã¦ã) ‡ãñŠ ‚ã¶ãìÔããÀ iii) The summarized position of Post- ‚ã¹ãñãäàã¦ã Êãã¼ã Ìã Öããä¶ã Œãã¦ãñ ‚ããõÀ ¦ãìÊã¶ã ¹ã¨ã ½ãò ¹ãÖÞãã¶ãñ employment benefits and long term Øㆠãä¶ã¾ããñ•ã¶ã-„¦¦ãÀ Êãã¼ããò Ìã ªãèÜãÇãŠãÊããè¶ã ‡ãŠ½ãÃÞããÀãè Êãã¼ããò employee benefits recognized in the Profit & Loss Account and Balance Sheet as ‡ãŠãè ÔããÀãâÍãØã¦ã ãäÔ©ããä¦ã ãä¶ã½¶ãÌã¦ã Öõ: required in accordance with Accounting Standard–15 (Revised) are as under: (‡ãŠ) ¹ããäÀ¼ãããäÓã¦ã Êãã¼ã ¾ããñ•ã¶ãã†ú (a) Defined Benefit Schemes: ºã㣾ã¦ãã‚ããò ‡ãñŠ Ìã¦ãýãã¶ã ½ãîʾããò ½ãò ¹ããäÀÌã¦ãöã Changes in the present value of the obligations (Á. ‡ãŠÀãñü¡ ½ãò ) (Rs. in crore) ¹ãòÍã¶ã ØãõÞ¾ãì›ãè ‚ãÌã‡ãŠãÍã PENSION GRATUITY LEAVE (ãä¶ããä£ã‡ãŠ) (ãä¶ããä£ã‡ãŠ) ¶ã‡ãŠªãè‡ãŠÀ¥ã ENCASHMENT (ØãõÀ ãä¶ããä£ã‡ãŠ) (Funded) (Funded) (Un Funded) 2010 2009 2010 2009 2010 2009 2010 2009 2010 2009 2010 2009 ÌãÓãà ‡ãñŠ ‚ããÀâ¼ã ½ãò Present Value of obligation as at ºã㣾ã¦ãã‚ããò ‡ãŠã the beginning of Ìã¦ãýãã¶ã ½ãîʾã 1709.90 1572.27 507.34 466.18 254.00 247.83 the year 1709.90 1572.27 507.34 466.18 254.00 247.83 º¾ãã•ã ÊããØã¦ã 136.79 117.92 39.26 36.37 18.48 18.96 Interest Cost 136.79 117.92 39.26 36.37 18.48 18.96 Ìã¦ãýãã¶ã ÔãñÌãã ÊããØã¦ã 31.10 28.57 26.91 25.83 15.22 14.96 Current Service Cost 31.10 28.57 26.91 25.83 15.22 14.96 Benefits Paid (104.43) (73.60) (33.20) (23.21) (15.13) (21.63) ¹ãƪ¦¦ã Êãã¼ã (104.43) (73.60) (33.20) (23.21) (15.13) (21.63) Actuarial loss/ ºã㣾ã¦ãã‚ããò ¹ãÀ ÌããÔ¦ããäÌã‡ãŠ (gain) on ¶ãì‡ãŠÔãã¶ã / (Êãã¼ã) 276.11 64.74 (17.03) 2.17 (8.22) (6.12) Obligations 276.11 64.74 (17.03) 2.17 (8.22) (6.12) Present Value of ÌãÓãà ‡ãñŠ ‚ãâ¦ã ½ãò ºã㣾ã¦ãã‚ããò Obligation at ‡ãŠã Ìã¦ãýãã¶ã ½ãîʾã 2049.47 1709.90 523.28 507.34 264.35 254.00 year end 2049.47 1709.90 523.28 507.34 264.35 254.00

106 ¾ããñ•ã¶ã㠂ãããäԦ㠇ãŠñ „ãäÞã¦ã ½ãîʾ㠽ãò ¹ããäÀÌã¦ãöã Change in Fair Value of Plan Asset (Á. ‡ãŠÀãñü¡ ½ãò ) (Rs. in crores) ¹ãòÍã¶ã ØãõÞ¾ãì›ãè ‚ãÌã‡ãŠãÍã PENSION GRATUITY LEAVE (ãä¶ããä£ã‡ãŠ) (ãä¶ããä£ã‡ãŠ) ¶ã‡ãŠªãè‡ãŠÀ¥ã ENCASHMENT (ØãõÀ ãä¶ããä£ã‡ãŠ) (Funded) (Funded) (Un Funded) 2010 2009 2010 2009 2010 2009 2010 2009 2010 2009 2010 2009 ÌãÓãà ‡ãñŠ ‚ããÀâ¼ã ½ãò Fair Value of Plan ¾ããñ•ã¶ã㠂ãããäÔ¦ã Assets at the ‡ãŠã „ãäÞã¦ã ½ãîʾã @ 1709.90 1572.27 507.34 466.18 0.00 0.00 beginning of the year @ 1709.90 1572.27 507.34 466.18 0.00 0.00 ¾ããñ•ã¶ã㠂ãããäԦ㠹ãÀ ¹ãƦ¾ãããäÍã¦ã Êãã¼ã 115.43 91.22 55.58 43.02 0.00 0.00 Expected return on Plan Assets 115.43 91.22 55.58 43.02 0.00 0.00 ãä¶ã¾ããñ‡ã‹¦ã㠇ãŠã Employer’s ‚ãâÍãªã¶ã 366.12 192.91 180.00 11.00 15.13 21.63 contribution 366.12 192.91 180.00 11.00 15.13 21.63

¹ãƪ¦¦ã Êãã¼ã (104.43) (73.60) (33.20) (23.21) (15.13) (21.63) Benefit Paid (104.43) (73.60) (33.20) (23.21) (15.13) (21.63)

ºã㣾ã¦ãã‚ããò ¹ãÀ Actuarial loss/ ÌããÔ¦ããäÌã‡ãŠ (gain) on ¶ãì‡ãŠÔãã¶ã / (Êãã¼ã) (92.05) (72.90) (33.66) 10.35 0.00 0.00 Obligations (92.05) (72.90) (33.66) 10.35 0.00 0.00 ÌãÓãà ‡ãñŠ ‚ãâ¦ã ½ãò Fair Value of ¾ããñ•ã¶ã㠂ãããäԦ㠇ãŠã Plan Asset at the end of „ãäÞã¦ã ½ãîʾã @ 1994.97 1709.90 676.06 507.34 0.00 0.00 the year @ 1994.97 1709.90 676.06 507.34 0.00 0.00

@ Ôãâ‰ãŠ½ã¥ã‡ãŠãÊããè¶ã ªñ¾ã¦ãã ÔããäÖ¦ã - „‡ã‹¦ã ¶ããñ› Ôãâ-9.1(ii) ªñŒãò @ including transitional liability – See Note 9.1(ii) above ¦ãìÊã¶ã - ¹ã¨ã ½ãò ¹ãÖÞãã¶ããè Øã¾ããè À‡ãŠ½ã Amount recognised in Balance Sheet (Á. ‡ãŠÀãñü¡ ½ãò ) (Rs. in crores) ¹ãòÍã¶ã ØãõÞ¾ãì›ãè ‚ãÌã‡ãŠãÍã PENSION GRATUITY LEAVE (ãä¶ããä£ã‡ãŠ) (ãä¶ããä£ã‡ãŠ) ¶ã‡ãŠªãè‡ãŠÀ¥ã ENCASHMENT (ØãõÀ ãä¶ããä£ã‡ãŠ) (Funded) (Funded) (Un Funded) 2010 2009 2010 2009 2010 2009 2010 2009 2010 2009 2010 2009 ÌãÓãà ‡ãŠñ ‚ãâ¦ã ¦ã‡ãŠ Estimated Present ºã㣾ã¦ãã‚ããò ‡ãŠã value of obligations ‚ã¶ãì½ãããä¶ã¦ã as at the end Ìã¦ãýãã¶ã ½ãîʾã 2049.97 1709.90 523.28 507.34 264.35 254.00 of the year 2049.97 1709.90 523.28 507.34 264.35 254.00 ÌãÓãà ‡ãŠñ ‚ãâ¦ã ¦ã‡ãŠ Actual Fair value ¾ããñ•ã¶ã㠂ãããäÔ¦ã of Plan Assets ‡ãŠã ÌããÔ¦ããäÌã‡ãŠ as at the end „ãäÞã¦ã ½ãîʾã 1816.97 1442.90 676.06 507.34 0.00 0.00 of the year 1816.97 1442.90 676.06 507.34 0.00 0.00 ‚ããä¶ããä£ã‡ãŠ ãä¶ãÌãÊã Un-funded ªñ¾ã¦ãã 232.50* 267.00(141.46)** - 264.35 254.00 Net Liability 232.50* 267.00(141.46)** - 264.35 254.00 * Á¹ã¾ãñ 178 ‡ãŠÀãñü¡ ‡ãŠãè ‚ã¶ããä¼ã—ã Ôãâ‰ãŠ½ã¥ã‡ãŠãÊããè¶ã ªñ¾ã¦ãã Íãããä½ãÊã * Includes unrecognized transitional liability carried forward Rs.178 crores. Öõ, ãä•ãÔãñ ‚ããØãñ Êãñ •ãã¾ãã Øã¾ãã Öõý ** This represent the Present Value of future ** ¾ãÖ ††Ôã 15 ‚ããÀ ‡ãŠñ ¹ãõÀã 59(ºããè) ‡ãŠñ ¦ãÖ¦ã Á.152.78 ‡ãŠÀãñü¡ reduction of Rs.152.78 crores under Para ‡ãŠãè ¼ããäÌãÓ¾ãØã¦ã ‡ãŠ½ããè ‡ãñŠ Ìã¦ãýãã¶ã ½ãîʾ㠇ãŠãñ ªÍããæãã Öõý 59(b) of AS15R.

107 Êãã¼ã Ìã Öããä¶ã ½ãò ¹ãÖÞãã¶ãã Øã¾ãã ̾ã¾ã Expenses Recognised in Profit & Loss (Á. ‡ãŠÀãñü¡ ½ãò ) (Rs. in crores) ¹ãòÍã¶ã ØãõÞ¾ãì›ãè ‚ãÌã‡ãŠãÍã PENSION GRATUITY LEAVE (ãä¶ããä£ã‡ãŠ) (ãä¶ããä£ã‡ãŠ) ¶ã‡ãŠªãè‡ãŠÀ¥ã ENCASHMENT (ØãõÀ ãä¶ããä£ã‡ãŠ) (Funded) (Funded) (Un Funded) 2010 2009 2010 2009 2010 2009 2010 2009 2010 2009 2010 2009 Ìã¦ãýãã¶ã ÔãñÌãã ÊããØã¦ã 31.10 28.57 26.91 25.83 15.22 14.96 Current Service Cost 31.10 28.57 26.91 25.83 15.22 14.96 º¾ãã•ã ÊããØã¦ã 136.79 117.92 39.26 36.37 18.48 18.96 Interest Cost 136.79 117.92 39.26 36.37 18.48 18.96 ¾ããñ•ã¶ã㠂ãããäԦ㠹ãÀ Expected return on Plan Asset (115.43) (91.22) (55.58) (43.02) 0.00 0.00 ¹ãƦ¾ãããäÍã¦ã Êãã¼ã (115.43) (91.22) (55.58) (43.02) 0.00 0.00 Net Actuarial ÌãÓãà ½ãò ¹ãÖÞãã¶ãã Øã¾ãã (Gain)/Loss ãä¶ãÌãÊã ÌããÔ¦ããäÌã‡ãŠ recognised in (Êãã¼ã) / Öããä¶ã 368.16 137.64 16.63 (8.18) (8.22) (6.12) the year 368.16 137.64 16.63 (8.18) (8.22) (6.12) Effect of limit ††Ôã15‚ããÀ ‡ãñŠ as per AS15R — — 11.32 — — — ‚ã¶ãìÔããÀ Ôããè½ã㠇ãŠã ¹ãƼããÌã ------11.32 ------Total expenses recognised in Êãã¼ã Ìã Öããä¶ã Œãã¦ãñ ½ãò Profit & Loss ¹ãÖÞãã¶ãã Øã¾ã㠇ãìŠÊã ̾ã¾ã 420.62 192.91 38.54 11.00 25.48 27.80 Account 420.62 192.91 38.54 11.00 25.48 27.80 ¹ãòÍã¶ã Ìã ØãÆõÞ¾ãì›ãè ¶¾ããÔã ´ãÀ㠂ã¶ãìÀãäàã¦ã ãä¶ãÌãñÍã ¹ãÆãä¦ãÍã¦ã¦ãã : Investment percentage maintained by Pension & Gratuity Trust

¹ãòÍã¶ã ¶¾ããÔã (%) ØãÆõÞ¾ãì›ãè ¶¾ããÔã (%) Pension Trust (%) Gratuity Trust (%) 2010 2009 2010 2009 2010 2009 2010 2009 ‡ãŠ. ¨ãÉ¥ã ãäÊãŒã¦ãò a) Debt Instruments ‡ãñŠ¶³ ÔãÀ‡ãŠãÀ ‡ãŠãè ¹ãÆãä¦ã¼ãîãä¦ã¾ããú 18.67 25.53 18.89 27.32 Central Government Securities 18.67 25.53 18.89 27.32 À㕾ã ÔãÀ‡ãŠãÀ ‡ãŠãè ¹ãÆãä¦ã¼ãîãä¦ã¾ããú 31.25 16.17 29.51 18.17 State Government ¹ããè†Ôã¾ãì ½ãò ãä¶ãÌãñÍã * 40.92 50.41 38.51 43.97 Securities 31.25 16.17 29.51 18.17 ‚㶾ã ãä¶ãÌãñÍã 9.15 7.89 13.10 10.54 Investment in PSU* 40.92 50.41 38.51 43.97 Other Investments 9.15 7.89 13.10 10.54 Œã. ƒÃãä‡ã‹Ìã›ãè ãäÊãŒã¦ã Íãã Íãã Íãã Íãã b) Equity Instruments Nil Nil Nil Nil

* ÔããÌãÕããä¶ã‡ãŠ àãñ¨ã ‡ãñŠ „¹ã‰ãŠ½ããò ½ãò ãä¶ãÌãñÍ㠇ãñŠ ‚ãâ¦ãØãæ㠃Ôã ºãö‡ãŠ ‡ãŠãè ¹ãòÍã¶ã ãä¶ããä£ã ½ãò Á.99.50 * Investments in PSU includes own Fixed Deposits ‡ãŠÀãñü¡ (17.36%) ‚ããõÀ ØãÆñÞ¾ãì›ãè ãä¶ããä£ã ½ãò Á.0.05 ‡ãŠÀãñü¡ (0.02%) ‡ãŠãè Œãìª ‡ãŠãè of this Bank Rs.99.50 Crores (17.36%) in Pension ãä½ã¾ããªãè •ã½ãã†â Íãããä½ãÊã Ööý Fund and Rs.0.05 Crores (0.02%) in Gratuity Fund. ¦ãìÊã¶ã-¹ã¨ã ‡ãŠãè ¦ããÀãèŒã ¦ã‡ãŠ ½ãîÊã ÌããÔ¦ããäÌã‡ãŠ ‚ã¶ãì½ãã¶ã (¼ãããäÀ¦ã Principal actuarial assumptions at the Balance ‚ããõÔã¦ã ‡ãñŠ ¹㠽ãò ‚ããä¼ã̾ã‡ã‹¦ã) Sheet Date (expressed as weighted average) ¹ãòÍã¶ã ØãõÞ¾ãì›ãè ‚ãÌã‡ãŠãÍã PENSION GRATUITY LEAVE ENCASHMENT (ãä¶ããä£ã‡ãŠ) (ãä¶ããä£ã‡ãŠ) ¶ã‡ãŠªãè‡ãŠÀ¥ã (Funded) (Funded) (Un Funded) (ØãõÀ ãä¶ããä£ã‡ãŠ) 2010 2009 2010 2009 2010 2009 2010 2009 2010 2009 2010 2009 Discount Rate 8.00% 7.50% 8.00% 7.50% 8.00% 7.50% ºã›á›ã ªÀ 8.00% 7.50% 8.00% 7.50% 8.00% 7.50% Expected rate ¾ããñ•ã¶ã㠂ãããäÔ¦ã¾ããò of return on ¹ãÀ ¹ãƦ¾ãããäÍã¦ã Êãã¼ã ªÀ 8.00% 9.23% 9.57% 9.57% 0% 0% Plan Assets 8.00% 9.23% 9.57% 9.57% 0% 0% Expected Rate of Ìãñ¦ã¶ã Ìãðãä® ‡ãŠãè ¹ãƦ¾ãããäÍã¦ã ªÀ 4% 5% 4% 5% 4% 5% Salary increase 4% 5% 4% 5% 4% 5% ‚ã¹ã¶ãã¾ããè Øã¾ããè ¹ãÆãä‰ãŠ¾ãã ¹ãÆàãñãä¹ã¦ã ƒ‡ãŠãƒÃ ¹ãÆàãñãä¹ã¦ã ƒ‡ãŠãƒÃ ¹ãÆàãñãä¹ã¦ã ƒ‡ãŠãƒÃ Method used Projected Projected Projected „£ããÀ „£ããÀ „£ããÀ unit credit unit credit unit credit Actual return on Plan Assets: Gratuity Rs. 21.92 Crores (Previous ¾ããñ•ã¶ã㠂ãããäÔ¦ã¾ããò ¹ãÀ ÌããÔ¦ããäÌã‡ãŠ Êãã¼ã: ØãÆõÞ¾ãì›ãè Á.21.92 ‡ãŠÀãñü¡ (ãä¹ãœÊãñ ÌãÓãà Á.53.37 ‡ãŠÀãñü¡) Year Rs.53.37Crores)

108 ‚ã¶ãì¼ãÌãØã¦ã Ôã½ãâ•ã¶ã Experience Adjustments ãäÌãÌãÀ¥ã ØãÆõÞ¾ãì›ãè ‚ãÌã‡ãŠãÍã ¶ã‡ãŠªãè‡ãŠÀ¥ã Particulars Gratuity (Funded) Leave Encashment (ãä¶ããä£ã‡ãŠ) (ØãõÀ ãä¶ããä£ã‡ãŠ) (Un funded) 2010 2009 2010 2009 2010 2009 2010 2009 ¾ããñ•ã¶ã㠂ãããäÔ¦ã¾ããò ¹ãÀ Experience adjustment ‚ã¶ãì¼ãÌãØã¦ã Ôã½ãâ•ã¶ã on Plan assets (Öããä¶ã) / Êãã¼ã (33.66) 10.35 Íãã Íãã (Loss)/Gain (33.66) 10.35 Nil Nil Experience adjustment ¾ããñ•ã¶ãã ªñ¾ã¦ãã‚ããò ¹ãÀ on Plan Liabilities ‚ã¶ãì¼ãÌãØã¦ã Ôã½ãâ•ã¶ã (Loss)/Gain (21.67) 10.52 (9.30) 8.87 (Öããä¶ã) / Êãã¼ã (21.67) 10.52 (9.30) 8.87 The estimates of future salary increases, ÌããÔ¦ããäÌã‡ãŠ ½ãîʾããâ‡ãŠ¶ã ‡ãñŠ ¦ã֦㠼ããÌããè Ìãñ¦ã¶ã Ìãðãä® ‡ãñŠ ‚ã¶ãì½ãã¶ããò ½ãò, considered in actuarial valuation, take into ¾ããñ•ã¶ã㠂ãããäÔ¦ã¾ããò ¹ãÀ ÌããÔ¦ããäÌã‡ãŠ Êãã¼ã, ½ãì³ãÔ¹ãŠãèãä¦ã, ÌãÀãè¾ã¦ãã, ¹ãªãñ¸ããä¦ã account actual return on plan assets, inflation, seniority, promotion and other relevant factors, ‚ããõÀ ‚㶾ã Ôãâºãâãä£ã¦ã ‡ãŠãÀ‡ãŠãò ¾ã©ã㠇㊽ãÃÞããÀãè ºããû•ããÀ ½ãò ½ããúØã Ì㠂ãã¹ãîãä¦ãà such as supply and demand in employee market. ‡ãŠãñ ãäÖÔããºã ½ãò ãäÊã¾ãã Øã¾ãã Öõý The provision made on account of expected increase in salary levels of employees for the 31-03-2010 ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ‡ãñŠ ãäÊㆠ‡ãŠ½ãÃÞãããäÀ¾ããò ‡ãñŠ Ìãñ¦ã¶ã Ô¦ãÀãò ½ãò year ended 31.03.2010 is Rs.168 crores, forming ¹ãƦ¾ãããäÍã¦ã Ìãðãä® ‡ãñŠ ‡ãŠãÀ¥ã ãä‡ãŠ† Øㆠ¹ãÆãÌã£ãã¶ã ‡ãŠãè À‡ãŠ½ã Á.168 ‡ãŠÀãñü¡ an aggregate provision of Rs.406 crores, which Öõ, ãä•ãÔãÔãñ Á.406 ‡ãŠÀãñü¡ ‡ãŠã Ôã½ãñãä‡ãŠ¦ã ¹ãÆãÌã£ãã¶ã ºã¶ã¦ãã Öõ, ãä•ãÔãñ is considered adequate for meeting the Ìãðãä®ÍããèÊã ªñ¾ã¦ã㠇ãŠãñ ¹ãîÀ㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ¹ã¾ããù¦ã ½ãã¶ãã Øã¾ãã Öõý incremental liability. In respect of overseas branches, disclosures if ãäÌãªñÍããè ÍããŒãã‚ããò ‡ãñŠ Ôãâºãâ£ã ½ãò ‡ãŠ½ãÃÞããÀãè Êãã¼ã ¾ããñ•ã¶ã㠇ãñŠ ãäÊㆠ¾ããäª any, required for Employee Benefit Schemes are ‡ãŠãñƒÃ ¹ãƇ㊛ãè‡ãŠÀ¥ã ‚ã¹ãñãäàã¦ã Öõ ¦ããñ ÔãîÞã¶ã㠇ãñŠ ‚ã¼ããÌã ½ãò ¾ãÖ ¶ãÖãé Öõý not made in the absence of information. (b) The financial assumptions considered for the (Œã) ¹ããäÀ‡ãŠÊã¶ããò ‡ãñŠ ãäÊㆠãä‡ãŠ† ØㆠãäÌ㦦ããè¾ã ‚ã¶ãì½ãã¶ã ãä¶ã½¶ãÌã¦ã Öõ calculations are as under:- ºã›á›ã ªÀ : ºã›á›ã ªÀ ‡ãŠãñ ½ãîʾããâ‡ãŠ¶ã ‡ãŠãè ¦ããÀãèŒã (¦ãìÊã¶ã - ¹ã¨ã Discount Rate: - The discount rate has been ã䪶ããâãä‡ãŠ¦ã 31.03.2010) ÔãÀ‡ãŠãÀãè ºããú¡ãò ¹ãÀ ºãã•ããÀ Êãã¼ã ‡ãñŠ chosen by reference to market yield on government bonds as on the date of Ôã⪼ãà ½ãò ¦ã¾ã ãä‡ãŠ¾ãã Øã¾ãã Öõ ý valuation. (Balance sheet date 31.03.2010) ¹ãƦ¾ãããäÍã¦ã Êãã¼ã ªÀ: ¹ãòÍã¶ã Ì㠜ì›á›ãè ‡ãñŠ ¶ã‡ãŠªãè‡ãŠÀ¥ã ‡ãñŠ Ôãâºãâ£ã ½ãò Expected Rate of Return: In case of Pension ¹ãƦ¾ãããäÍã¦ã Êãã¼ã ªÀ ‡ãŠãñ ÔãÀ‡ãŠãÀãè ºããú¡ ¹ãÀ Êãã¼ã ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ¦ã¾ã and Leave Encashment, the expected rate of return is taken on the basis of yield on ãä‡ãŠ¾ãã Øã¾ãã Öõý ØãÆõÞ¾ãì›ãè ‡ãñŠ Ôãâºãâ£ã ½ãò ÌããÔ¦ããäÌã‡ãŠ Êãã¼ã ‡ãŠãñ ãäÊã¾ãã government bonds. In case of gratuity, the Øã¾ãã Öõ ý actual return has been taken. Ìãñ¦ã¶ã Ìãðãä® : Øã¦ã ¡ã›ã ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ý Salary Increase: On the basis of past data. (c) Bank’s best estimate expected to be paid (Øã) ‚ãØãÊãñ ãäÌ㦦ããè¾ã ÌãÓãà ½ãò ‚ã¹ãñãäàã¦ã ‚ãªã¾ãØããè ÌããÊãñ ØãÆõÞ¾ãì›ãè ‡ãñŠ ãäÊㆠin next Financial Year for Gratuity is Nil. ºãö‡ãŠ ‡ãŠã ÔãÌããó¦¦ã½ã ‚ãã‡ãŠÊã¶ã Íãã Öõý (d) The contribution on account of Defined Contribution Scheme – Provident Fund (Üã) ¹ããäÀ¼ãããäÓã¦ã ‚ãâÍãªã¶ã ¾ããñ•ã¶ãã - ¼ããäÌãÓ¾ã ãä¶ããä£ã ‡ãñŠ ‡ãŠãÀ¥ã Öãñ¶ãñÌããÊãñ Rs.716.16 Crores (previous year Rs. 620.25 ‚ãâÍãªã¶ã ‡ãŠãè ÀããäÍã Öõ Á.716.16 ‡ãŠÀãñü¡ (ãä¹ãœÊãñ ÌãÓãà - Crores). Á.620.25 ‡ãŠÀãñü¡)ý

109 9.2 Accounting Standard 17 – Segment Reporting The bank has adopted Reserve Bank of India’s revised guidelines issued in April 2007 on Segment Reporting in terms of which the reportable segments have been divided into Treasury, Corporate/ Wholesale Banking, Retail Banking and Other Banking Operations. Part A: Business Segments

Business Segments Treasury Corporate/Wholesale Retail Banking Other Banking TOTAL Banking Operations Particulars 2009-10 2008-09 2009-10 2008-09 2009-10 2008-09 2009-10 2008-09 2009-10 2008-09 Revenue 2892.04 2917.86 4862.74 4487.28 3269.72 3288.83 350.84 447.42 11375.34 11141.39 Result 33.29 310.44 901.06 1145.66 975.14 766.74 -78.36 205.22 1831.13 2428.06 Unallocated Income ------13.68 95.84 Unallocated Expenses 0.19 0.18 Operating Profit/Loss 1844.62 2523.72 Income Taxes 271.99 628.51 Provisions & Contingencies 783.50 569.42 Extraordinary profit / loss ------(82.17) - Net Profit 706.96 1325.79 OTHER INFORMATION Segment Assets 41385.24 35306.77 52492.03 39708.52 33759.65 43396.01 2076.97 1835.54 129713.89 120246.84 Unallocated Assets 1382.50 826.56 Total assets 131096.39 121073.40 Segment Liabilities 36982.33 29271.97 51131.13 39280.99 33523.92 30689.07 1526.60 14378.49 123163.98 113620.52 Unallocated Liabilities 407.83 301.88 Total Liabilities 123571.81 113922.40

9.2 ÊãññŒããâ‡ãŠ¶ã ½ãã¶ã‡ãŠ 17 - Œã¥¡ ãäÀ¹ããñãä›ÄØ㠌㥡 ãäÀ¹ããñãä›ÄØ㠇ãñŠ ãäÊㆠºãö‡ãŠ ¶ãñ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀ㠂ã¹ãÆõÊã 2007 ½ãò •ããÀãè ÔãâÍããñãä£ã¦ã ãäªÍãããä¶ãªóÍããò ‡ãŠãñ ‚ã¹ã¶ãã¾ãã Öõ, ãä•ãÔã‡ãñŠ ‚ã¶ãìÔããÀ ãäÀ¹ããñ›Ã ãä‡ãŠ† •ãã¶ãñ ÌããÊãñ Œã¥¡ãò ‡ãŠãñ ›Èñû•ãÀãè, ‡ãŠãù¹ããóÀñ› / ©ããñ‡ãŠ ºãöãä‡ãâŠØã, ãäÀ›ñÊã ºãöãä‡ãâŠØã Ì㠂㶾㠺ãöãä‡ãâŠØã ¹ããäÀÞããÊã¶ããò ½ãò ÌãØããê‡ãðŠ¦ã ãä‡ãŠ¾ãã Öõý ¼ããØ㠆 : ‡ãŠãÀãñºããÀ Œã¥¡ (Á. ‡ãŠÀãñü¡ ½ãò) ‡ãŠãÀãñºããÀ Œã¥¡ ›Èñû•ãÀãè ‡ãŠã¹ããóÀñ› / ©ããñ‡ãŠ ºãöãä‡ãâŠØã ãäÀ›ñÊã ºãöãä‡ãâŠØ㠂㶾㠺ãöãä‡ãâŠØã ¹ããäÀÞããÊã¶ã ‡ãìŠÊã ãäÌãÌãÀ¥ã 2009-10 2008-09 2009-10 2008-09 2009-10 2008-09 2009-10 2008-09 2009-10 2008-09 Àã•ãÔÌã 2892.04 2917.86 4862.74 4487.28 3269.72 3288.83 350.84 447.42 11375.34 11141.39 ¹ããäÀ¥ãã½ã 33.29 310.44 901.06 1145.66 975.14 766.74 -78.36 205.22 1831.13 2428.06 ‚ã¶ããºãâã䛦㠂ãã¾ã ------13.68 95.84 ‚ã¶ããºãâã䛦ã ̾ã¾ã 0.19 0.18 ¹ããäÀÞããÊã¶ãØã¦ã Êãã¼ã/Öããä¶ã 1844.62 2523.72 ‚ãã¾ã ‡ãŠÀ 271.99 628.51 ¹ãÆãÌã£ãã¶ã Ì㠂ãã‡ãŠãäÔ½ã‡ãŠ¦ãã†ú 783.50 569.42 ‚ãÔãã£ããÀ¥ã Êãã¼ã / Öããä¶ã ------(82.17) - ãä¶ãÌãÊã Êãã¼ã 706.96 1325.79 ‚㶾ã ÔãîÞã¶ã㠌㥡ÌããÀ ‚ãããäÔ¦ã¾ããú 41385.24 35306.77 52492.03 39708.52 33759.65 43396.01 2076.97 1835.54 129713.89 120246.84 ‚ã¶ããºãâã䛦㠂ãããäÔ¦ã¾ããú 1382.50 826.56 ‡ãìŠÊ㠂ãããäÔ¦ã¾ããú 131096.39 121073.40 Œã¥¡ÌããÀ ªñ¾ã¦ãã†ú 36982.33 29271.97 51131.13 39280.99 33523.92 30689.07 1526.60 14378.49 123163.98 113620.52 ‚ã¶ããºãâã䛦㠪ñ¾ã¦ãã†â 407.83 301.88 ‡ãìŠÊã ªñ¾ã¦ãã†â 123571.81 113922.40

110 ¼ããØ㠌ã - ¼ããõØããñãäÊã‡ãŠ Œã¥¡ Part B - Geographic segments

ªñÍããè ‚ã¶¦ãÀÀãӛÈãè¾ã ‡ãìŠÊã Domestic International Total 2009-10 2008-09 2009-10 2008-09 2009-10 2008-09 2009-10 2008-09 2009-10 2008-09 2009-10 2008-09 Àã•ãÔÌã 10928.21 10655.40 460.81 513.33 11389.02 11168.73* Revenue 10928.21 10655.40 460.81 513.33 11389.02 11168.73* ‚ãããäÔ¦ã¾ããú 121744.12 113595.78 9352.27 7477.62 131096.39 121073.40 Assets 121744.12 113595.78 9352.27 7477.62 131096.39 121073.40

*ƒÔã½ãò Á.68.50 ‡ãŠÀãñü¡ ‡ãŠãè ‚ã¹ãÌããªÔÌã¹㠽ãªò Íãããä½ãÊã ¶ãÖãé Öõý * Does not include exceptional items of Rs. 68.50 crores. 9.3 ÊãñŒããâ‡ãŠ¶ã ½ãã¶ã‡ãŠ 18 - Ôãâºãâãä£ã¦ã ¹ãã›ãê ¹ãƇ㊛ãè‡ãŠÀ¥ã 9.3 Accounting Standard 18- Related Party Disclosures Ôãâºãâãä£ã¦ã ¹ãããä›Ã¾ããò ‡ãñŠ ¶ãã½ã Ìã ºãö‡ãŠ ‡ãñŠ Ôãã©ã „¶ã‡ãŠã Ôãâºãâ£ã Names of the related parties and their 1 ½ãîÊã ÔãâÔ©ã㠃ã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ relationship with the bank 1 Parent Indian Overseas Bank 2 ÔãÖ¾ããñØããè ÔãâÔ©ãã†ú ¹ããã䥡¾ã¶ã ØãÆã½ãã ºãö‡ãŠ 2 Associates Pandyan Grama Bank ¶ããèÊããÞãÊã ØãÆ㽾㠺ãö‡ãŠ Neelachal Gramya Bank 3 ‚ã¶ãìÓãâãäØã¾ããú ‡ãŠãñƒÃ ¶ãÖãé 3. Subsidiaries None 4 Ôãâ¾ãì‡ã‹¦ã¦ã: ãä¶ã¾ãâãä¨ã¦ã ¾ãìãä¶ãÌãÔãÃÊã Ôããñ½¹ããñ •ã¶ãÀÊã 4 Jointly controlled Universal Sompo General ƒ‡ãŠãƒÃ ƒ¶Í¾ãìÀñ¶Ô㠇ã⊹ã¶ããè ãäÊããä½ã›ñ¡ entity Insurance Co. Ltd. 5 ¹ãƽãìŒã ¹ãƺ㶣ã¶ã ¹ãªããä£ã‡ãŠãÀãè 5 Key Management Personnel ‰ãŠ½ã ¶ãã½ã ¹ãª¶ãã½ã ¹ãããäÀÑããä½ã‡ãŠ* Sl. Name Designation Remuneration* Ôãâ. À‡ãŠ½ã (Á.) No. Amount (Rs.) 1 Ñããè †Ôã.†. ¼ã› ‚㣾ãàã Ìã ¹ãƺãâ£ã ãä¶ãªñÍã‡ãŠ 23,41,058 1. Shri S.A. Bhat Chairman & Managing Director 23,41,058 2 Ñããè ÌããƒÃ.†Êã.½ãªã¶ã ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ 16,82,445 2. Shri Y.L. Madan Executive Director 16,82,445 3 Ñããè½ã¦ããè ¶ãî¹ãìÀ ãä½ã¨ã㠇ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ 3,14,223 3. Smt. Nupur Mitra Executive Director 3,14,223 4 Ñããè •ããè.¶ããÀã¾ã¥ã¶ã ¹ãîÌãà ‡ãŠã¾ãùããÊã‡ãŠ ãä¶ãªñÍã‡ãŠ 14,04,027 4. Shri G. Narayanan Ex-ED 14,04,027

* ¹ãããäÀÑããä½ã‡ãŠ ½ãò Ìãñ¦ã¶ã Ì㠼㦦ãñ, Ìãñ¦ã¶ã ºã‡ãŠã¾ãã, ãä¶ãÓ¹ã㪶ãØã¦ã ¹ãÆãñ¦ÔããÖ¶ã ÀããäÍã, * Remuneration Includes salary & allowances, salary arrears, œì›á›ãè ¼ãì¶ããƒÃ ºã‡ãŠã¾ã㠂ããõÀ ØãÆõÞ¾ãì›ãè ºã‡ãŠã¾ãã Íãããä½ãÊã Ööý performance incentives, leave encashment arrears and gratuity arrears.

¶ããñ›: ÊãñŒããâ‡ãŠ¶ã ½ãã¶ã‡ãŠ-18 ½ãò “Ôãâºãâãä£ã¦ã ¹ãã›ãê ¹ãƇ㊛ãè‡ãŠÀ¥ã” ‡ãñŠ ¹ãõÀã 9 ‡ãñŠ Note: The transactions with associates / joint ventures have not ½ãÿñ¶ã•ãÀ ÔãÖ¾ããñØããè ÔãâÔ©ãã‚ããò / Ôãâ¾ãì‡ã‹¦ã „²ã½ããò ‡ãñŠ Ôãã©ã Êãñ¶ã-ªñ¶ããò ‡ãŠãñ ¹ãƇ㊛ been disclosed in view of Para 9 of Accounting Standard – 18 ¶ãÖãé ãä‡ãŠ¾ãã Øã¾ãã Öõ, •ããñ À㕾㠴ãÀã ãä¶ã¾ãâãä¨ã¦ã „²ã½ããò ‡ãŠãñ, „¶ã ‚㶾ã Ôãâºãâãä£ã¦ã “Related Party Disclosures”, which exempts state controlled ¹ãããä›Ã¾ããò ‡ãñŠ Ôãã©ã ‚ã¹ã¶ãñ Êãñ¶ã-ªñ¶ããò Ôãñ •ãì¡ñ ¹ãƇ㊛ãè‡ãŠÀ¥ã ‡ãŠÀ¶ãñ Ôãñ œî› ªñ¦ãã Öõ, enterprises from making any disclosure pertaining to their transactions •ããñ À㕾㠴ãÀã Öãè ãä¶ã¾ãâãä¨ã¦ã „²ã½ã Öõ ‚ããõÀ „Ôããè ÊãñŒããâ‡ãŠ¶ã ½ãã¶ã‡ãŠ ‡ãñŠ ¹ãõÀã 5 ½ãò with other related parties which are also state controlled enterprises „ãäÊÊããäŒã¦ã Öõ ãä‡ãŠ ¾ããäª Ôãâºãâãä£ã¦ã ¹ãã›ãê ‡ãñŠ ãä‡ãŠÔããè ¹ãÆÌãØãà ½ãò ‡ãñŠÌãÊ㠆‡ãŠ Öãè ƒ‡ãŠãƒÃ and Para 5 of the same Accounting Standard states that no Öõ ¦ããñ ¹ãƇ㊛ãè‡ãŠÀ¥ã ‡ãŠãè ‚ããÌã;ã‡ãŠ¦ãã ¶ãÖãé Öõý disclosure is required if there is only one entity in any category of related party. 9.4 ÊãñŒããâ‡ãŠ¶ã ½ãã¶ã‡ãŠ 20 - ¹ãÆãä¦ã Íãñ¾ãÀ ‚ã•ãöã 9.4 Accounting Standard 20 – Earning Per Share

ãäÌãÌãÀ¥ã 2009-10 2008-09 Particulars 2009-10 2008-09

ƒÃãä‡ã‹Ìã›ãè Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãñŠ ãäÊㆠ‡ãŠÀ ‡ãñŠ ºã㪠Net Profit after Tax available for „¹ãÊ㺣ã ãä¶ãÌãÊã Êãã¼ã (Á. ‡ãŠÀãñü¡ ½ãò) 706.96 1325.79 Equity Shareholders (Rs. In Crore) 706.96 1325.79 ¼ãããäÀ¦ã ‚ããõÔã¦ã Weighted Average Number of ƒÃãä‡ã‹Ìã›ãè Íãñ¾ãÀãò ‡ãŠãè Ôã⌾ãã 54,48,00,000 54,48,00,000 Equity Shares 54,48,00,000 54,48,00,000

½ãîÊã ¦ã©ã㠇㊽㠇ãŠãè ÖìƒÃ ¹ãÆãä¦ã Íãñ¾ãÀ ‚ã•ãöã 12.98 24.34 Basic & Diluted Earnings Per Share Rs. 12.98 Rs. 24.34

¹ãÆãä¦ã Íãñ¾ãÀ ‡ãŠã ¶ãã½ã ½ãã¨ã ½ãîʾã 10.00 10.00 Nominal value per Equity Share Rs. 10.00 Rs. 10.00

111 9.5 ÊãñŒããâ‡ãŠ¶ã ½ãã¶ã‡ãŠ 21 - Ôã½ãñãä‡ãŠ¦ã ãäÌ㦦ããè¾ã ãäÌãÌãÀ¥ã 9.5 Accounting Standard 21 - Consolidated (Ôãã膹㊆Ôã) Financial Statements (CFS) Þãîúãä‡ãŠ ‡ãŠãñƒÃ ‚ã¶ãìÓãâØããè ÔãâÔ©ãã ¶ãÖãé Öõ, ƒÔããäÊㆠãä‡ãŠÔããè Ôã½ãñãä‡ãŠ¦ã As there is no subsidiary, no consolidated ãäÌ㦦ããè¾ã ãäÌãÌãÀ¥ã ‡ãŠãè ¹ãÆÔ¦ãìãä¦ã ‚ããÌã;ã‡ãŠ ¶ãÖãé Ôã½ã¢ããè ØãƒÃý financial statement is considered necessary. 9.6 Accounting Standard 22: Accounting for 9.6 ÊãñŒããâ‡ãŠ¶ã ½ãã¶ã‡ãŠ 22 : ‚ãã¾ã ¹ãÀ ‡ãŠÀãò ‡ãñŠ ãäÊㆠÊãñŒãã Taxes on Income ÌãÓãà ‡ãñŠ ªãõÀã¶ã, ºãö‡ãŠ ¶ãñ Á.226.21 ‡ãŠÀãñü¡ ‡ãŠãè ‚ããÔ©ããäØã¦ã ‡ãŠÀ The Bank has accounted for Deferred Tax ªñ¾ã¦ãã (ãä¹ãœÊãñ ÌãÓãà ‡ãŠãè ‚ããÔ©ãäØã¦ã ‡ãŠÀ ‚ãããäÔ¦ã ÀÖãè Á.82.74 Liability of Rs.226.21 crores during the year ‡ãŠÀãñü¡) ‡ãŠãñ ãäÖÔããºã ½ãò ãäÊã¾ãã Öõý ºãö‡ãŠ ‡ãñŠ ¹ããÔã Á.169.12 (Previous year Deferred Tax Asset of Rs.82.74 crores). The Bank has outstanding net ‡ãŠÀãñü¡ ‡ãŠãè ºã‡ãŠã¾ãã ãä¶ãÌãÊ㠂ããÔ©ããäØã¦ã ‡ãŠÀ ªñ¾ã¦ãã Öõ (ãä¹ãœÊãñ ÌãÓãà deferred tax liability of Rs.169.12 crores ‡ãŠãè ‚ããÔ©ããäØã¦ã ‡ãŠÀ ªñ¾ã¦ãã Á.57.09 ‡ãŠÀãñü¡ ÀÖãè)ý ‚ããÔ©ããäØã¦ã (Previous year Deferred Tax Asset of Rs.57.09 ‡ãŠÀ ‚ãããäÔ¦ã¾ããò ‚ããõÀ ªñ¾ã¦ãã‚ããò ‡ãŠã ¹ãƽãìŒã ½ãªãò ½ãò ºãÆñ‡ãŠ‚ã¹ã ãä¶ã½¶ãÌã¦ã crores). The breakup of deferred tax assets ã䪾ãã Øã¾ãã Öõ: and liabilities into major items is given below: (Á.‡ãŠÀãñü¡ ½ãò) Rs. in crore 31-03-2010 31-03-2009 31.03.2010 31.03.2009 ¡ãè›ãè† ¡ãè›ãè†Êã ¡ãè›ãè† ¡ãè›ãè†Êã DTA DTL DTA DTL ãä¶ãÌãñÍããò ¹ãÀ ½ãîʾãÖÆãÔã 388.74 67.43 Depreciation on Investments 388.74 67.43 ‚ãÞãÊ㠂ãããäÔ¦ã¾ããò ¹ãÀ ½ãîʾãÖãÔã 7.46 15.66 Depreciation on Fixed Assets 7.46 15.66 ‡ãŠ½ãÃÞããÀãè Êãã¼ã ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã 138.41 129.07 Provision for Employee Benefits 138.41 129.07 £ããñŒãã£ãã䡾ããò ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã 9.23 8.63 Provision for Frauds 9.23 8.63 ‚㶾ã 64.52 2.48 Others 64.52 2.48 ‡ãìŠÊã 219.62 388.74 140.18 83.09 Total 219.62 388.74 140.18 83.09

ãä¶ãÌãÊã ¡ãè›ãè†/¡ãè›ãè†Êã 169.12 57.09 Net DTA / DTL 169.12 57.09 9.7 ÊãñŒããâ‡ãŠ¶ã ½ãã¶ã‡ãŠ 26 - ‚ã½ãî¦ãà ‚ãããäÔ¦ã¾ããâ 9.7 Accounting Standard 26 – Intangible Assets ºãö‡ãŠ ½ãò ¹ãƾãì‡ã‹¦ã ‚ã¶ãì¹ãƾããñØã Ôããù¹ã‹›Ìãñ¾ãÀ ‡ãŠãñ ÔÌã¾ãâ Öãè ¦ãõ¾ããÀ ãä‡ãŠ¾ãã The application software in use in the bank Øã¾ãã Öõ ‚ããõÀ ¾ãÖ †‡ãŠ ÔãìªãèÜãà ‚ãÌããä£ã ½ãò ãäÌã‡ãŠãäÔã¦ã Öì‚ãã Öõý ‚ã¦ã: has been developed in-house and has evolved Ôããù¹ã‹›Ìãñ¾ãÀ ‡ãŠãè ÊããØã¦ã ºãö‡ãŠ ‡ãñŠ ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ ̾ã¾ã •ãõÔãñ Ìãñ¦ã¶ã over a period of time. Hence, the costs of software is essentially part of Bank’s ‚ãããäª ‡ãŠã ‚ããä¶ãÌãã¾ãà ‚ãâÍã Öõ ‚ããõÀ ƒÔãñ Êãã¼ã-Öããä¶ã Œãã¦ãññ ‡ãñŠ Ôãâºãâãä£ã¦ã operational expenses like wages etc. and as ̾ã¾ã ÍããèÓããô ½ãò ¹ãƼãããäÀ¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõý such are charged to the respective heads of expenditure in the Profit and Loss Account. 9.8 ÊãñŒããâ‡ãŠ¶ã ½ãã¶ã‡ãŠ 27 - Ôãâ¾ãì‡ã‹¦ã „²ã½ããò ½ãò ãäÖ¦ããò ‡ãŠãè ãäÌ㦦ããè¾ã 9.8 Accounting Standard 27 – Financial ãäÀ¹ããñãä›ÄØã Reporting of Interests in Joint Ventures ¾ãì¶ããèÌãÔãÃÊã Ôããñ½¹ããñ •ã¶ãÀÊ㠃â;ããñÀñ¶Ô㠇ãâŠ. ãäÊã. ‡ãñŠ Ôãã©ã Ôãâ¾ãì‡ã‹¦ã In the case of Joint Venture with Universal „²ã½ã ‡ãñŠ ½ãã½ãÊãñ ½ãò ºãö‡ãŠ ¶ãñ Á.28.50 ‡ãŠÀãñü¡ ‡ãŠã ãä¶ãÌãñÍã ãä‡ãŠ¾ãã Öõ Sompo General Insurance Company Ltd., the bank has made an investment of Rs.28.50 •ããñ ƒÃãä‡ã‹Ìã›ãè ½ãò 19% Íãñ¾ãÀ Öõý ††Ôã 27 ‡ãñŠ ‚ã¶ãìÔããÀ ¹ãƇ㊛ crores being 19% share in Equity. Information ‡ãŠãè •ãã¶ãñÌããÊããè ‚ã¹ãñãäàã¦ã ÔãîÞã¶ã㠃ÔããèãäÊㆠ¶ãÖãé ¹ãÆÔ¦ãì¦ã ‡ãŠãè ØãƒÃ Öõ required to be disclosed as per AS 27 has ãä‡ãŠ 31-03-2010 ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ‡ãñŠ ãäÊㆠ¾ãî¶ããèÌãÔãÃÊã Ôããñ½¹ããñ not been furnished since the financials for the year ended 31.03.2010 of Universal •ã¶ãÀÊ㠃â;ããñÀñ¶Ô㠇ãâŠ. ãäÊã. ‡ãñŠ ãäÌ㦦ããè¾ã ‚ããâ‡ãŠ¡ãò ‡ãŠãñ ‚ã¼ããè ‚ãâãä¦ã½ã Sompo General Insurance Company Ltd., is ¹ã ã䪾ã㠕ãã¶ãã Öõý yet to be finalised.

112 9.9 ÊãñŒããâ‡ãŠ¶ã ½ãã¶ã‡ãŠ 28 - ‚ãããäÔ¦ã¾ããò ‡ãŠã ‚ã¶ã•ãÇ㊠Öãñ¶ãã 9.9 Accounting Standard 28 – Impairment of Assets ºãö‡ãŠ ´ãÀã £ãããäÀ¦ã ‚ãÞãÊ㠂ãããäÔ¦ã¾ããò ‡ãŠãñ “‡ãŠã¹ããóÀñ› ‚ãããäÔ¦ã¾ããú” Fixed Assets owned by the Bank are treated ½ãã¶ãã Øã¾ãã Öõ ‚ããõÀ ¾ãñ ‚ããƒÔãã膂ãム´ãÀ㠕ããÀãè ††Ôã 28 ‡ãñŠ as ‘Corporate Assets’ and are not ‘Cash •ããäÀ† ¹ããäÀ¼ãããäÓã¦ã ‚ã¶ãìÔããÀ “¶ã‡ãŠªãè Ôãð•ã¶ã ƒ‡ãŠãƒ¾ããú” ¶ãÖãé Ööý Generating Units’ as defined by AS28 issued ¹ãƺãâ£ã¶ã ‡ãñŠ ½ã¦ãã¶ãìÔããÀ ºãö‡ãŠ ‡ãŠãè ãä‡ãŠÔããè ¼ããè ‚ãÞãÊ㠂ãããäԦ㠇ãŠã ‡ãŠãñƒÃ by ICAI. In the opinion of the Management, there is no impairment of any of the Fixed Öããä¶ã‡ãŠÀ¥ã ¶ãÖãé Öõ ý Assets of the Bank. 9.10ÊãñŒããâ‡ãŠ¶ã ½ãã¶ã‡ãŠ 29 - ‚ãã‡ãŠãäÔ½ã‡ãŠ ªñ¾ã¦ãã‚ããò ‚ããõÀ 9.10 Accounting Standard 29 - Provision for Contingent Liabilities and Contingent ‚ãããäÔ¦ã¾ããò ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã Assets ƒÔã Ôãâºãâ£ã ½ãò ¼ããÀ¦ããè¾ã Ôã¶ãªãè ÊãñŒãã‡ãŠãÀãò ‡ãŠãè ÔãâÔ©ãã ´ãÀ㠕ããÀãè The guidelines issued by the Institute of ãäªÍãããä¶ãªóÍããò ‡ãŠãñ „¹ã¾ãì‡ã‹¦ã Ô©ãã¶ããò ¹ãÀ Íãããä½ãÊã ãä‡ãŠ¾ãã Øã¾ãã Öõý Chartered Accountant of India in this respect have been incorporated at the appropriate 10 ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãõ‡ãŠ ‡ãñŠ ¹ããäÀ¹ã¨ã Ôãâ.‚ããÀºããè‚ããƒÃ/2009- places. 10/347 ¡ãèºããè‚ããñ¡ãè.ºããè¹ããè.ºããèÔããè.Ôãâ.79/21.04.018/ 10 ADDITIONAL DISCLOSURES PURSUANT 2009-10 ã䪶ããâãä‡ãŠ¦ã 15-03-2010 ‡ãñŠ ‚ã¶ãìÔããÀ ‚ããä¦ããäÀ‡ã‹¦ã TO RBI CIRCULAR No. RBI/2009-10/347 DBOD.BP.BC.No.79/21.04.018/2009-10 ¹ãƇ㊛ãè‡ãŠÀ¥ã DATED 15.03.2010 (Þãîúãä‡ãŠ ãä¶ã½¶ããäÊããäŒã¦ã ½ãªãò ‡ãñŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã ‡ãŠã ¾ãÖ ¹ãÖÊãã ÌãÓãà Öõ, (Previous year’s figures have not been ƒÔããèãäÊㆠãä¹ãœÊãñ ÔããÊ㠇ãñŠ ‚ããâ‡ãŠ¡ñ ¹ãÆÔ¦ãì¦ã ¶ãÖãé ãä‡ãŠ† ØㆠÖö) furnished since this is the first year of disclosure of the following items) I. •ã½ãã‚ããò, ‚ããäØãƽããò, ¨ãɥ㠕ããñãäûŒã½ããò Ì㠂ã¶ã•ãÇ㊠‚ãããäÃÔ¦ã¾ããò I. CONCENTRATION OF DEPOSITS, ‡ãŠã ‡ãñŠ¶³ãè‡ãŠÀ¥ã ADVANCES, EXPOSURES AND NPAS •ã½ãã‚ããò ‡ãŠã ‡ãñŠ¶³ãè‡ãŠÀ¥ã Concentration of Deposits (Á. ‡ãŠÀãñü¡ ½ãò) (Rs. in crore) ºããèÔã ºãû¡ñ •ã½ãã‡ãŠ¦ããÂããò ‡ãŠãè ‡ãìŠÊ㠕ã½ãã†ú 14125 Total Deposits of twenty largest depositors 14125 ºãö‡ãŠ ‡ãŠãè ‡ãìŠÊ㠕ã½ãã‚ããò ‡ãŠãè ¦ãìÊã¶ãã ½ãò ºããèÔã ºãû¡ñ Percentage of Deposits of twenty largest •ã½ãã‡ãŠ¦ããÂããò ‡ãŠãè •ã½ãã‚ããò ‡ãŠã ¹ãÆãä¦ãÍã¦ã 12.75 deposits to Total Deposits of the bank 12.75 ‚ããäØãƽããò ‡ãŠã ‡ãñŠ¶³ãè‡ãŠÀ¥ã Concentration of Advances (Á. ‡ãŠÀãñü¡ ½ãò) (Rs. in crore) ºããèÔã ºãû¡ñ „£ããÀ‡ãŠ¦ããÂããò ‡ãŠãñ ¹ãƪ¦¦ã ‡ãìŠÊ㠂ããäØãƽã 9057 Total Advances to twenty largest borrowers 9057 ºãö‡ãŠ ‡ãñŠ ‡ãìŠÊ㠂ããäØãƽããò ‡ãŠãè ¦ãìÊã¶ãã ½ãò ºããèÔã ºãû¡ñ Percentage of Advances of twenty largest „£ããÀ‡ãŠ¦ããÂããò ‡ãŠãñ ¹ãƪ¦¦ã ‚ããäØãƽããò ‡ãŠã ¹ãÆãä¦ãÍã¦ã 11.21 borrowers to Total Advances of the bank 11.21 ¨ãɥ㠕ããñãäŒã½ããò ‡ãŠã ‡ãñŠ¶³ãè‡ãŠÀ¥ã Concentration of Exposures (Á. ‡ãŠÀãñü¡ ½ãò) (Rs. in crore)

ºããèÔã ºãû¡ñ „£ããÀ‡ãŠ¦ããÂããò / ØãÆãևãŠãò ‡ãŠãñ ¹ãƪ¦¦ã Total Exposure to twenty largest ¨ãÉ¥ã Ô㽺㶣ããè ‡ãìŠÊ㠕ããñãäŒã½ã 16727 borrowers / customers 16727 ºãö‡ãŠ ´ãÀ㠄£ããÀ‡ãŠ¦ããÂããò / ØãÆãևãŠãò ‡ãŠãñ ¹ãƪ¦¦ã ¨ãÉ¥ããò Percentage of Exposures of ‡ãñŠ ‡ãìŠÊ㠕ããñãäŒã½ããò ‡ãŠãè ¦ãìÊã¶ãã ½ãò ºããèÔã ºãû¡ñ twenty largest borrowers/ „£ããÀ‡ãŠ¦ããÂããò / ØãÆãևãŠãò ‡ãŠãñ ¹ãƪ¦¦ã ¨ãÉ¥ã Ô㽺㶣ããè customers to Total Exposure •ããñãäŒã½ããò ‡ãŠã ¹ãÆãä¦ãÍã¦ã 14.08 of the bank on borrowers/ customers 14.08

113 ‚ã¶ã•ãÇ㊠‚ãããäÔ¦ã¾ããò ‡ãŠã ‡ãñŠ¶³ãè‡ãŠÀ¥ã (Á. ‡ãŠÀãñü¡ ½ãò) Concentration of NPAs Rs. in crore „ÞÞã ÞããÀ ‚ã¶ã•ãÇ㊠Œãã¦ããò Ôãñ Ô㽺ãã䶣ã¦ã ‡ãìŠÊã ¨ãɥ㠕ããñãäŒã½ã 660.48 Total Exposure to top four NPA accounts 660.48 II. ¹ãÆÌãØãÃ-ÌããÀ ‚ã¶ã•ãÇ㊠‚ãããäÔ¦ã¾ããú II SECTOR-WISE NPAs ‰ãŠ½ã Ôãâ. ¹ãÆÌãØãà Ô㽺ãã䶣ã¦ã ¹ãÆÌãØãà ½ãò Sl. No. Sector Percentage of ‡ãìŠÊ㠂ããäØãƽããò ‡ãŠãè NPAs to Total ¦ãìÊã¶ãã ½ãò ‚ã¶ã•ãÇ㊠Advances in ‚ãããäÔ¦ã¾ããò ‡ãŠã ¹ãÆãä¦ãÍã¦ã that Sector 1 ‡ãðŠãäÓã Ìã Ô㽺ãã䶣ã¦ã Øããä¦ã-ãäÌããä£ã¾ããú 1.33 1 Agriculture & allied activities 1.33 2 „²ããñØã (Ôãîà½ã, ÊãÜãì, ½ã£¾ã½ã Ìã ºã¡ñ) 5.99 2 Industry (Micro & small, Medium and Large) 5.99 3 ÔãñÌãã†ú 4.20 3 Services 4.20 4 Ìãõ¾ããä‡ã‹¦ã‡ãŠ ¨ãÉ¥ã 3.37 4 Personal Loans 3.37 III. ‚ã¶ã•ãÇ㊠‚ãããäÔ¦ã¾ããò ‡ãŠã ÔãâÞãÊã¶ã III MOVEMENT OF NPAs ãäÌãÌãÀ¥ã À‡ãŠ½ã Á.‡ãŠÀãñü¡ ½ãò Particulars Amount in Rs.Crores 01.04.2009 ¦ã‡ãŠ Ôã‡ãŠÊ㠂ã¶ã•ãÇ㊠Gross NPAs as on 01-04-2009 ‚ãããäÔ¦ã¾ããú (¹ãÆãÀâãä¼ã‡ãŠ ÍãñÓã) 1923.41 (Opening Balance) 1923.41 ÌãÓãà ‡ãñŠ ªãõÀã¶ã ÔãâÌã£ãöã (¶ãƒÃ ‚ã¶ã•ãÇ㊠‚ãããäÔ¦ã¾ããú) 3126.83 Additions (Fresh NPAs) during the year 3126.83 „¹ã-¾ããñØã (‚ã) 5050.24 Sub-total (A) 5050.24 Üã›ã†ú : Less:- i. „¸ã¾ã¶ã 547.82 (i) Up gradations 547.82 ii. ÌãÔãîãäÊã¾ããú („¸ã¾ã¶ã ãä‡ãŠ† ØㆠŒãã¦ããò ½ãò Ôãñ (ii) Recoveries (excluding recoveries ‡ãŠãè ØãƒÃ ÌãÔãîãäÊã¾ããò ‡ãŠãñ œãñ¡‡ãŠÀ) 502.78 made from upgraded accounts) 502.78 iii. ºã›á›ñ Œãã¦ãñ ½ãò ¡ãÊããè ØãƒÃ À‡ãŠ½ã 388.56 (iii) Write-offs 388.56 „¹ã-¾ããñØã (‚ãã) 1439.16 Sub-total (B) 1439.16 31-03-2010 ‡ãñŠ ãäÊㆠÔã‡ãŠÊ㠂ã¶ã•ãÇ㊠Gross NPAs as on 31.03.2010 ‚ãããäÔ¦ã¾ããú (Ôã½ãã¹ã¶ã ÍãñÓã) (‚ã-‚ãã) 3611.08 (closing balance) (A-B) 3611.08 IV. ãäÌãªñÍããè ‚ãããäÔ¦ã¾ããú, ‚ã¶ã•ãÇ㊠‚ãããäÔ¦ã¾ããú ‚ããõÀ Àã•ãÔÌã IV OVERSEAS ASSETS, NPAs AND REVENUE Particulars Amount in Rs.Crores ãäÌãÌãÀ¥ã À‡ãŠ½ã Á.‡ãŠÀãñ¡ãò Total Assets 9352.27 ‡ãìŠÊ㠂ãããäÔ¦ã¾ããú 9352.27 ‡ãìŠÊ㠂ã¶ã•ãÇ㊠‚ãããäÔ¦ã¾ããú 169.41 Total NPAs 169.41 ‡ãìŠÊã Àã•ãÔÌã 460.81 Total Revenue 460.81 V OFF-BALANCE SHEET SPVs SPONSORED (WHICH V. ¦ãìÊã¶ã ¹ã¨ã ƒ¦ãÀ ¹ãÆã¾ããñãä•ã¦ã †Ôã¹ããèÌããè (ãä•ã¶ã‡ãŠã ÊãñŒããâ‡ãŠ¶ã ARE REQUIRED TO BE CONSOLIDATED AS PER ½ãã¶ãª¥¡ãò ‡ãñŠ ‚ã¶ãìÔããÀ Ôã½ãñãä‡ãŠ¦ã ãä‡ãŠ¾ã㠕ãã¶ã㠂ã¹ãñãäàã¦ã Öõ) ACCOUNTING NORMS) ¹ãÆã¾ããñãä•ã¦ã †Ôã¹ããèÌããè ‡ãŠã ¶ãã½ã Name of the SPV sponsored ªñÍããè¾ã ãäÌãªñÍããè Domestic Overseas Íãã Íãã NIL NIL 11 ¦ãìÊã¶ã㦽ã‡ãŠ ‚ããâ‡ãŠü¡ñ 11 Comparative Figures ãä¹ãœÊãñ ÌãÓãà ‡ãñŠ ‚ããâ‡ãŠü¡ãò ‡ãŠãñ, •ãÖãú ‡ãŠÖãé ‚ããÌã;ã‡ãŠ Ôã½ã¢ãã Øã¾ãã, Previous year’s figures have been regrouped ¹ãì¶ã: Ôã½ãîãäÖ¦ã / ¹ãì¶ã̾ãÃÌããäÔ©ã¦ã ãä‡ãŠ¾ãã Øã¾ããý / rearranged wherever necessary.

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Ô©ãã¶ã : Þãñ¸ãõ ã䪶ããâ‡ãŠ : 29- 04. 2010

116 Indian Overseas Bank Cash Flow Statement Statement of Cash Flow for the year ended 31.03.2010

(Rs. in ‘000s)

Year ended 31.03.2010 Year ended 31.03.2009

Operating Activities Income Interest Earned 102 45 77 35 96 41 40 33 Other Income 11 66 27 67 114 12 05 02 15 27 32 68 111 68 73 01 Expenditure & Provisions Interest Paid 66 84 71 82 64 67 13 74 Operating Expenses & Provisions 23 54 73 77 90 39 45 59 18 40 75 23 83 07 88 97 Net Increase of cash on operating activities prior to the effect of changes in Operating Liabilities & Assets 23 72 59 43 28 60 84 04 Cash Profit generated from Operations 23 72 59 43 28 60 84 04 Cash Flow from operating Liabilities & Assets Net Increase / Decrease in Operating Liabilities i) Deposits from Customers 106 78 82 15 157 90 30 68 ii) Borrowings From Banks & Financial Institutions -24 37 38 05 1 94 63 61 iii) Other Operating Liabilities & Provisions -5 62 18 53 -10 98 85 45 76 79 25 57 148 86 08 84 Net increase / decrease in Operating Assets i) Investments 64 88 45 55 27 40 73 03 ii) Advances to customers 41 18 65 31 144 83 45 17 iii) Other Assets 6 54 93 62 112 62 04 48 2 79 63 80 175 03 82 00 Net Increase in Operating Liabilities over Operating Assets -35 82 78 91 -26 17 73 16 CASH FLOW FROM OPERATING ACTIVITIES (A) -12 10 19 48 2 43 10 88 Cash Flow from Investing Activities i) Sale / disposal of Fixed Assets 20 94 69 1 42 08 95 ii) Purchase of Fixed Assets -1 52 99 69 -2 32 15 56 NET CASH FLOW FROM INVESTING ACTIVITIES (B) -1 32 05 00 -90 06 61 CASH FLOW FROM FINANCING ACTIVITIES Inflow i) Proceeds of Tier I & Tier II Bonds 11 00 00 00 9 55 30 00 Outflow i) Redemption of Tier II Bonds 1 75 00 00 ii) Interest Paid on Tier II Capital 3 93 19 13 3 04 67 61 iii) Dividend Paid 2 86 82 49 2 23 08 61 8 55 01 62 5 27 76 22 NET CASH FLOW FROM FINANCING ACTIVITIES (C) 2 44 98 38 4 27 53 78 TOTAL CASH FLOW DURING THE YEAR (A) +(B) + (C) -10 97 26 10 5 80 58 05

117 Balances at the Beginning of the year Cash & Balances with RBI 59 40 44 42 91 24 23 28 Balances with Banks & Money at Call 49 81 45 75 109 21 90 17 12 17 08 84 103 41 32 12 Balances at the end of the year Cash & Balances with RBI 76 66 44 72 59 40 44 42 Balances with Banks & Money at Call 21 58 19 35 98 24 64 07 49 81 45 75 109 21 90 17 TOTAL CASH FLOW DURING THE YEAR -10 97 26 10 5 80 58 05

This Statement has been made prepared in accordance with Direct Method.

B.S. Keshavamurthy S.A.Bhat General Manager Chairman & Managing Director

AUDITORS’ CERTIFICATE We , the undersigned Statutory Central Auditors of Indian Overseas Bank have verified the above Cash Flow Statement of the Bank for the year ended 31.03.2010 . The Statement has been prepared in accordance with the requirement of Clause 32 , of the Listing agreement with the Stock Exchange and is based on and in agreement with the corresponding Profit and Loss Account and the Balance Sheet of the Bank, covered by our report of even date to The President of India .

Om Agarwal & Co Varma & Varma PKF Sridhar & Santhanam

Bhaskaran & Ramesh M Bhaskara Rao & Co Mittal Gupta & Co

Place : Chennai Date : 29.04.2010

118 ‚ããä¦ããäÀ‡ã‹¦ã ¹ãƇ㊛ãè‡ãŠÀ¥ã ADDITIONAL DISCLOSURES ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ, ½ã콺ãƒÃ ´ãÀ㠕ããÀãè ãä‡ãŠ† ØㆠãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ In accordance with the guidelines issued by Reserve Bank of India, Mumbai, under New Capital Adequacy Ԧ㽼ã III ‡ãŠãè ‚ã¹ãñàãã‚ããò ‡ãñŠ ¦ãÖ¦ã ã䪶ããâ‡ãŠ 27-04-2007 ‡ãŠãè ¶ãƒÃ ¹ãîâ•ããè Framework (Basel II) dated 27.04.2007 under Pillar ¹ã¾ããù¦ã¦ãã ¹ãÀñŒãã (ºãñÔãÊã II) ‡ãñŠ ¦ãÖ¦ã ãä¶ã£ããÃãäÀ¦ã ¹ãÆã¹㠇ãñŠ ‚ã¶ãìÔããÀ III requirement, the following disclosures are made ãä¶ã½¶ããäÊããäŒã¦ã ¹ãƇ㊛ãè‡ãŠÀ¥ã ãä‡ãŠ† •ãã¦ãñ Ööý as per the specified Formats: •ããñãäŒã½ã ¹ãƺãâ£ã¶ã RISK MANAGEMENT Banks assume various types of risks in its activities ãäÌããä¼ã¶¸ã ¹ãƇãŠãÀ ‡ãŠãè ÔãñÌãã†â ¹ãƪã¶ã ‡ãŠÀ¦ãñ Ôã½ã¾ã ‚ã¹ã¶ããè Øããä¦ããäÌããä£ã¾ããò ½ãò ºãö‡ãŠ while providing different kinds of services. As such, ‡ãŠƒÃ ¹ãƇãŠãÀ ‡ãñŠ •ããñãäŒã½ã Êãñ¦ãñ Ööý •ããñãäŒã½ã Êãñ¶ãã ºãöãä‡ãâŠØ㠇ãŠãÀãñºããÀ ‡ãŠã ‚ããä¼ã¸ã risk taking is an integral part of the banking business. In the normal course of business, a bank is exposed ‚ãâØã Öõý Ôãã½ã㶾㠇ãŠãÀãñºããÀ ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ‡ãŠãñ ƒÔã ¹ãƇãŠãÀ ‡ãñŠ „£ããÀ •ããñãäŒã½ã, to various risks including Credit Risk, Market Risk ºãã•ããÀ •ããñãäŒã½ã ‚ããõÀ ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ •ããñãäŒã½ã •ãõÔãñ •ããñãäŒã½ã „Ÿã¶ãã ¹ãü¡¦ãã and Operational Risk. With a view to managing such Öõý †ñÔããè •ããñãäŒã½ããò ‡ãŠã ¹ãƼããÌããè ¹ã Ôãñ ¹ãƺãâ£ã¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ‚ããõÀ ‚ã¹ã¶ããè risks efficiently and strengthening its risk management systems, the bank has put in place various risk •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¹ãÆ¥ãããäÊã¾ããò ‡ãŠãñ ÔãìÒ¤ ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠºãö‡ãŠ ¶ãñ ‡ãŠƒÃ •ããñãäŒã½ã management measures and practices which includes ¹ãƺ㶣ã¶ã „¹ãã¾ã ‚ããõÀ ¹ã®ãä¦ã¾ããú ¦ãõ¾ããÀ ‡ãŠãè Öö ãä•ã¶ã½ãò ¶ããèãä¦ã¾ããâ, Ôãã£ã¶ã, ¦ã‡ãŠ¶ããè‡ãŠ, policies, tools, techniques, monitoring mechanism and ¹ãƺããñ£ã¶ã ¦ãâ¨ã ‚ããõÀ ¹ãƺ㶣ã¶ã ÔãîÞã¶ãã ¹ãÆ¥ãããäÊã¾ããú (†½ã‚ãテÔã) Íãããä½ãÊã Ööý management information systems (MIS). The Bank, on a continuous basis, aims at enhancing ºãö‡ãŠ ãä¶ãÀâ¦ãÀ ‚ãã£ããÀ ¹ãÀ •ããñãäŒã½ã ‚ããõÀ ¹ãÆãä¦ãÊãã¼ã ‡ãñŠ ºããèÞ㠄¹ã¾ãì‡ã‹¦ã ¦ããÊã½ãñÊã and maximizing the shareholder values through ¹ãÆ㹦㠇ãŠÀ¶ãñ ‡ãñŠ •ããäÀ† Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãñŠ ½ãîʾããò ‡ãŠãñ ‚ããä£ã‡ãŠ¦ã½ã ‡ãŠÀ¶ãñ ‚ããõÀ achieving appropriate trade off between risks and returns. The Bank’s risk management objectives ºãü¤ã¶ãñ ‡ãŠã Êãà¾ã ÀŒã¦ãã Öõý ºãö‡ãŠ ‡ãñŠ •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ‡ãñŠ „ÿñ;ããò ½ãò •ããñãäŒã½ã broadly covers proper identification, measurement, ‡ãŠãè „ãäÞã¦ã ¹ãÖÞãã¶ã, „Ôãñ ½ãã¹ã¶ãã, ¹ãƺããñ£ã¶ã, ãä¶ã¾ãâ¨ã¥ã ‚ããõÀ ƒÔã‡ãŠã Íã½ã¶ã monitoring, control and mitigation of the risks with a ‡ãŠÀ¶ãã Íãããä½ãÊã Öõ ¦ãããä‡ãŠ ºãö‡ãŠ ‡ãŠãè Ôã½ãØãÆ •ããñãäŒã½ã ãä¹ãŠÊããùÔã¹ãŠãè ‡ãŠãñ ¹ãÆãä¦ã¹ããã䪦ã view to enunciate the bank’s overall risk philosophy. The risk management strategy adopted by the bank ãä‡ãŠ¾ã㠕ãã Ôã‡ãñŠý ºãö‡ãŠ ´ãÀ㠂ã¹ã¶ããƒÃ ØãƒÃ •ããñãäŒã½ã ¹ãƺãâ£ã¶ã À¥ã¶ããèãä¦ã •ããñãäŒã½ããò is based on an understanding of risks and the level ‡ãŠãè Ô¹ãӛ Ôã½ã¢ã ‚ããõÀ •ããñãäŒã½ã ‡ãŠãè ÌãÖ¶ã àã½ã¦ã㠇ãñŠ Ô¦ãÀ ¹ãÀ ‚ãã£ãããäÀ¦ã Öõý of risk appetite of the bank. Risk appetite parameters •ããñãäŒã½ã ÌãÖ¶ã àã½ã¦ã㠇ãñŠ ½ãã¶ãª¥¡ Ôãã½ã㶾ã¦ã: •ããñãäŒã½ã Ôããè½ã㠇ãñŠ ¹㠽ãò are normally expressed in terms of risk limits. Bank’s risk appetite is demonstrated through prescription of ̾ã‡ã‹¦ã ãä‡ãŠ† •ãã¦ãñ Ööý ºãö‡ãŠ ‡ãŠãè •ããñãäŒã½ã ÌãÖ¶ã àã½ã¦ã㠕ããñãäŒã½ã ¹ãƺãâ£ã¶ã Ôãñ risk limits in various policies relating to risk Ôãâºãâãä£ã¦ã ãäÌããä¼ã¸ã ¶ããèãä¦ã¾ããò ½ãò •ããñãäŒã½ã Ôããè½ãã‚ããò ‡ãñŠ „¹ãã¾ããò ‡ãñŠ •ããäÀ† ¹ãƪãäÍãæã management. Öãñ¦ãñ Ööý The bank has set up appropriate risk management organization structure in the bank. Risk Management ºãö‡ãŠ ¶ãñ „¹ã¾ãì‡ã‹¦ã •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ÔãâØ㟶ã ¹ãÀñŒãã ºãö‡ãŠ ½ãò Ô©ãããä¹ã¦ã ‡ãŠÀ Êããè Committee of the Board (RMCB), a sub-committee Öõý ãä¶ãªñÍã‡ãŠ ½ãâ¡Ê㠇ãŠãè †‡ãŠ „¹ã-Ôããä½ããä¦ã, •ããñãäŒã½ã ¹ãƺãâ£ã¶ã Ôããä½ããä¦ã Øãã䟦ã of the Board, is constituted which is responsible for management of credit risk, market risk, operational ‡ãŠãè ØãƒÃ Öõ •ããñ ºãö‡ãŠ ½ãò ¨ãɥ㠕ããñãäŒã½ã, ̾ãã¹ããÀ •ããñãäŒã½ã, ¹ããäÀÞããÊã¶ã •ããñãäŒã½ã risk and other risks in the Bank. The bank has also ‚ããõÀ ‚㶾㠕ããñãäŒã½ããò ‡ãñŠ ¹ãƺãâ£ã¶ã ‡ãñŠ ãäÊㆠ„¦¦ãÀªã¾ããè Öõý ºãö‡ãŠ ¶ãñ „£ããÀ constituted internal risk management committees •ããñãäŒã½ã ¹ãƺ㶣ã¶ã ‡ãñŠ ãäÊㆠ¨ãɥ㠶ããèãä¦ã Ôããä½ããä¦ã (Ôããè¹ããèÔããè), ºãã•ããÀ •ããñãäŒã½ã namely Credit Policy Committee (CPC) for managing credit risk, Asset Liability Management Committee ¹ãƺ㶣ã¶ã ‡ãñŠ ãäÊㆠ‚ãããäԦ㠪ñ¾ã¦ãã ¹ãƺãâ£ã¶ã Ôããä½ããä¦ã (††ÊãÔããè‚ããñ) ‚ããõÀ ¹ããäÀÞããÊã¶ã (ALCO) for managing market risk and Operational •ããñãäŒã½ã ¹ãƺ㶣ã¶ã ‡ãñŠ ãäÊㆠ¹ããäÀÞããÊã¶ã •ããñãäŒã½ã ¹ãƺãâ£ã¶ã Ôããä½ããä¦ã ‡ãñŠ ¶ãã½ã Ôãñ Risk Management Committee for managing ‚ããâ¦ããäÀ‡ãŠ •ããñãäŒã½ã ¹ãƺãâ£ã¶ã Ôããä½ããä¦ã¾ããú ¼ããè Øãã䟦㠇ãŠãè Ööý operational risk. A full fledged Risk Management department is ºãö‡ãŠ ½ãò „¦‡ãðŠÓ› •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¹ãÆ¥ããÊããè ‚ããõÀ ̾ãÌãÖãÀ ‡ãñŠ „§ã½ã ‡ãŠã¾ããöÌã¾ã¶ã functioning at the Bank’s Central Office, independent ‡ãñŠ ãäÊㆠºãö‡ãŠ ‡ãñŠ ‡ãñŠ¶³ãè¾ã ‡ãŠã¾ããÃÊã¾ã ½ãò †‡ãŠ ¹ãî¥ãùãñ¥ã •ããñãäŒã½ã ¹ãƺãâ£ã¶ã of the business departments for implementing best risk management systems and practices in the bank. ãäÌã¼ããØ㠇ãŠã¾ãÃÀ¦ã Öõ •ããñ ‡ãŠãÀãñºããÀ ãäÌã¼ããØããò Ôãñ ‚ãÊãØã Öõý ºãö‡ãŠ ‡ãñŠ ½ãÖã ¹ãƺãâ£ã‡ãŠ A Chief Risk Officer in the rank of General Manager ‡ãŠãè Ñãñ¥ããè ½ãò †‡ãŠ ½ã쌾㠕ããñãäŒã½ã ‚ããä£ã‡ãŠãÀãè ƒÔã ãäÌã¼ããØ㠇ãñŠ ¹ãƼããÀãè Öö •ããñ ºãö‡ãŠ of the bank is in charge of the department who is ½ãò •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¹ãÀ Ôã½ãØãÆ ¹ã¾ãÃÌãñàã¥ã ‡ãñŠ ãäÊㆠ„¦¦ãÀªã¾ããè Ööý ƒÔã‡ãñŠ responsible for overall supervision on risk management in the bank. In addition, the Mid-Office ‚ããä¦ããäÀ‡ã‹¦ã ›ÈñÍãÀãè (ªñÍããè¾ã) ‚ããõÀ ›ÈñÍãÀãè (ãäÌãªñÍããè) ‚ããõÀ „£ããÀ Ôã½ã©ãöã in Treasury (Domestic) and Treasury (Foreign) and ÔãñÌãã ãäÌã¼ããØã ¼ããè •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ‡ãŠã¾ãà ‡ãŠÀ¦ãñ Öö •ããñ ¶ããèãä¦ã¾ããò ‡ãñŠ ¹ããÊã¶ã / Credit Support Services Dept. also carry out the risk management functions and monitor the adherence/

119 ‚ã¶ãì¹ããÊã¶ã, •ããñãäŒã½ã Ôããè½ãã ¹ãÆñŠ½ãÌã‡ãÊ ‚ããõÀ ‚ã㶦ããäÀ‡ãŠ ‚ã¶ãì½ããñª¶ããò ‡ãñŠ ¹ãƺããñ£ã¶ã compliance to policies, risk limit framework and ‡ãñŠ ãäÊㆠãä•ã½½ãñªãÀ Ööý internal approvals. The bank has implemented the New Capital Adequacy ºãö‡ãŠ ¶ãñ 31.03.2008 Ôãñ ¶ãƒÃ ¹ãîâ•ããè ¹ã¾ããù¦ã¦ãã ¹ãÀñŒãã (ºãñÔãÊã II) ‡ãŠãñ Framework (Basel-II) with effect from 31.3.2008 and ‡ãŠã¾ããÃãä¶Ìã¦ã ‡ãŠãè Öõ ‚ããõÀ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀã Ôã½ã¾ã Ôã½ã¾ã ¹ãÀ •ããÀãè is in compliance with the framework, in line with the ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãì‰ãŠ½ã ½ãò ¦ãõ¾ããÀ ¹ãÀñŒã㠇ãñŠ ‚ã¶ãìÔããÀ ƒÔã‡ãŠã ‚ã¶ãì¹ããÊã¶ã guidelines issued by the RBI from time to time. The Basel-II Framework is based on three mutually ãä‡ãŠ¾ãã Øã¾ãã Öõý ºãñÔãÊã II ¹ãÆñŠ½ãÌã‡ãÊ ¦ããè¶ã ¹ãÀÔ¹ãÀ ¹ãì¶ãºãÃãäÊã¦ã Ԧ㽼ããò ¹ãÀ ‚ãã£ãããäÀ¦ã reinforcing pillars. While the first pillar of the revised Öõý ¹ããäÀÍããñãä£ã¦ã ¹ãÆñŠ½ãÌã‡ãÊ ‡ãŠã ¹ãÖÊãã Ԧ㽼㠄£ããÀ, ºããû•ããÀ ‚ããõÀ ¹ããäÀÞããÊã¶ã framework addresses the minimum capital •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ¶¾ãî¶ã¦ã½ã ¹ãîâ•ããè ‚ããÌã;ã‡ãŠ¦ã㠇ãŠã Ôã½ãã£ãã¶ã ‡ãŠÀ¦ãã Öõ ¦ããñ requirement for credit, market and operational risks, ¹ã¾ãÃÌãñàããè ¹ãì¶ãÀãèàã¥ã ¹ãÆãä‰ãŠ¾ã㠇ãŠã ªîÔãÀã Ԧ㽼ã Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¦ãã Öõ ãä‡ãŠ ‚ã¹ã¶ãñ the second pillar of supervisory review process •ããñãäŒã½ã ¹ãÆãñ¹ãŠãƒÊ㠂ããõÀ ãä¶ã¾ãâ¨ã¥ã ¹ããäÀÌãñÍ㠇ãñŠ ‚ã¶ãì¹㠂ã¹ã¶ãñ ‡ãŠãÀãñºããÀ Ôãñ ensures that the bank has adequate capital to address all the risks in their business commensurate •ãì¡ñ Ôã¼ããè ¹ãƇãŠãÀ ‡ãñŠ •ããñãäŒã½ããò ‡ãŠãñ Ôãâ¼ããÊã¶ãñ ‡ãñŠ ãäÊㆠºãö‡ãŠ ‡ãñŠ ¹ããÔã ¾ã©ãñӛ with bank’s risk profile and control environment. As ¹ãîâ•ããè Öõý ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãŠãè ‚ã¹ãñàã㠂ã¶ãìÔããÀ ºãö‡ãŠ ¶ãñ ‚ããâ¦ããäÀ‡ãŠ ¹ãîú•ããè per RBI’s requirement, the Bank has put in place a ¹ã¾ããù¦ã¦ã㠂ãã‡ãŠÊã¶ã ¹ããä‰ãŠ¾ãã (‚ããƒÔãã膆¹ããè) ¹ãÀ ºããñ¡Ã ´ãÀ㠂ã¶ãì½ããñã䪦㠶ããèãä¦ã Board approved Policy on Internal Capital Adequacy ‡ãŠãñ ¦ãõ¾ããÀ ãä‡ãŠ¾ãã Öõ ¦ãããä‡ãŠ ªîÔãÀñ Ô¦ãâ¼ã ‡ãŠãè ‚ããÌã;ã‡ãŠ¦ãã‚ããò ‡ãŠãñ ¹ãîÀã ãä‡ãŠ¾ã㠕ãã Assessment Process (ICAAP) to address second Ôã‡ãñŠý ƒÔã ¶ããèãä¦ã ‡ãŠã „ÿñ;㠹ãÆ©ã½ã Ô¦ãâ¼ã ‡ãñŠ •ããñãäŒã½ããò ¦ãÖ¦ã ãäÌããä¶ã¾ãã½ã‡ãŠ pillar requirements. This policy aims at assessing all material risks to which the bank is exposed over ãä¶ã£ããÃÀ¥ããò Ôãñ ‚ããä£ã‡ãŠ Ìã ¹ãÀ ‡ãñŠ „¶ã Ôã¼ããè ¼ããõãä¦ã‡ãŠ •ããñãäŒã½ããò ‡ãŠã ½ãîʾããâ‡ãŠ¶ã and above the regulatory prescriptions under the first ‡ãŠÀ¶ãã Öõ •ããñ ºãö‡ãŠ ‡ãŠãñ „Ÿã¶ãñ ¹ãü¡ Ôã‡ãŠ¦ãñ Öö ‚ããõÀ Ôã¦ã¦ã ‚ãã£ããÀ ¹ãÀ ‚ããÌã;ã‡ãŠ¦ãã‚ããò pillar risks, and ensuring adequate capital structure ‡ãŠãñ ¹ãîÀ㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ¹ã¾ããù¦ã ¹ãîâ•ããè ÔãâÀÞã¶ãã Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¶ãã Öõý to meet the requirements on an ongoing basis. ºãö‡ãŠ ¶ãñ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãì¹㠓¦ã¶ããÌ㠕ããâÞã The bank has formulated a “Stress Testing framework” Ôãâºãâ£ããè ¹ãÀñŒã㠓¦ãõ¾ããÀ ‡ãŠãè Öõ ãä•ãÔãÔãñ ‚ã¹ãÌããªÔÌã¹ã ãä‡ãŠ¶¦ãì Ôãâ¼ãã̾ã Ü㛶ãã‚ããò in line with the RBI guidelines to assess the potential vulnerability of the organization to exceptional but ‡ãñŠ ¹ãÆãä¦ã ÔãâØ㟶㠇ãŠãè Ôãâ¼ãã̾ã ÔãâÌãñª¶ãÍããèÊã ãäÔ©ããä¦ã ‡ãŠã ¹ã¦ãã ÊãØãã¾ã㠕ãã Ôã‡ãñŠý plausible events. Stress testing and scenario analysis, ¦ã¶ããÌã ¹ãÀãèàã¥ã ‚ããõÀ ¹ããäÀÒ;ã ãäÌãÍÊãñÓã¥ã, ãäÌãÍãñÓã¦ã: ºãö‡ãŠ ‡ãñŠ ¼ããõãä¦ã‡ãŠ •ããñãäŒã½ã particularly in respect of the bank’s material risk †‡ã‹Ôã¹ããñ•ãÀ ‡ãñŠ Ôãâºãâ£ã ½ãò, ‚ãããä©ãÇ㊠½ãâªãè ‡ãñŠ Ôã½ã¾ã ½ãò ãä‡ãŠÔããè ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ ½ãò exposure, enable identification of potential risks ãä¶ããäÖ¦ã Ôãâ¼ãããäÌã¦ã •ããñãäŒã½ã ‡ãŠãè ¹ãÖÞãã¶ã ‡ãŠÀ¶ãñ ‚ããõÀ ¦ãª¶ãìÔããÀ ƒÔã‡ãŠã ãä¶ãÀã‡ãŠÀ¥ã inherent in a portfolio at times of economic recession and accordingly take suitable steps to address the ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ„ãäÞã¦ã „¹ãã¾ã ‡ãŠÀ¶ãñ ½ãò ÔãÖã¾ã‡ãŠ Öãñ¦ãã Öõý ¶ããèãä¦ãØã¦ã „¹ãã¾ããò ‡ãñŠ same. In accordance with the policy prescriptions, ‚ã¶ãìÔããÀ ºãö‡ãŠ ‚ããÌããä£ã‡ãŠ ¹ã Ôãñ ºãö‡ãŠ ‡ãñŠ ¦ãìÊã¶ã-¹ã¨ã ¹ãÀ ãäÌããä¼ã¸ã ¦ã¶ããÌã ¹ãÀãèàã¥ã the bank carries out various stress tests on bank’s ‡ãŠÀ¦ãã Öõ ‚ããõÀ ‚ããʇãŠãñ / ‚ããÀ†½ãÔããèºããè / ºããñ¡Ã ‡ãŠãñ ãäÀ¹ããñ›ô ¹ãÆÔ¦ãì¦ã ‡ãŠÀ¦ãã Öõý balance sheet periodically and place the reports to ALCO / RMCB / Board. ºãñÔãÊã II ¹ãÆñŠ½ãÌã‡ãÊ ‡ãŠã ¦ããèÔãÀã Ԧ㽼㠺ãã•ããÀ ‚ã¶ãìÍããÔã¶ã Ôãñ Ôãâºãâãä£ã¦ã Öõý ºãã•ããÀ ‚ã¶ãìÍããÔã¶ã ‡ãŠã „ÿñ;ã, Ԧ㽼ã 1 ‡ãñŠ ¦ã֦㠄ãäÊÊããäŒã¦ã ¶¾ãî¶ã¦ã½ã ¹ãîâ•ããè The third pillar of Basel-II framework refers to market discipline. The purpose of market discipline is to ‚ããÌã;ã‡ãŠ¦ã㠂ããõÀ Ԧ㽼ã 2 ‡ãñŠ ¦ã֦㠄ãäÊÊããäŒã¦ã ¹ã¾ãÃÌãñàããè ¹ãì¶ãÀãèàã¥ã ¹ãÆãä‰ãŠ¾ãã complement the minimum capital requirements ‡ãŠãñ ¹ãîÀ㠇ãŠÀ¶ãã Öõý ƒÔã Ôã⪼ãà ½ãò, ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ detailed under Pillar 1 and the supervisory review ‚ã¶ãìÔããÀ ºãö‡ãŠ ½ãò •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ‡ãñŠ ºããÀñ ½ãò ¦ãããäÊã‡ãŠã ¡ã膹ãŠ1 Ôãñ 10 process detailed under Pillar 2. In this context and (ÔãâÊãضã) ½ãò ¹ãƇ㊛ãè‡ãŠÀ¥ã (½ãã¨ã㦽ã‡ãŠ Ìã Øãì¥ã㦽ã‡ãŠ ªãñ¶ããò) ‡ãŠã †‡ãŠ Ôãñ› as guided by RBI a set of disclosure (both qualitative ¹ãƇãŠããäÍã¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõ ãä•ãÔãÔãñ ºãã•ããÀ ‡ãñŠ ÔãÖ¼ããØããè ‚ã¶ãì¹ãƾããñØ㠇ãŠãè Øãìâ•ããƒÍã, and quantitative) are published in DF 1 to 10 (annexed) with regard to risk management in the ¹ãîâ•ããè •ããñãäŒã½ã †‡ã‹Ôã¹ããñ•ãÀ •ããñãäŒã½ã ½ãîʾããâ‡ãŠ¶ã ¹ãÆãä‰ãŠ¾ãã, ºãö‡ãŠ ‡ãŠãè •ããñãäŒã½ã bank, which will enable market participants to assess ¹ãÆãñ¹ãŠãƒÊ㠂ããõÀ ¹ãîâ•ããè‡ãŠÀ¥ã ‡ãñŠ Ô¦ãÀ ‚ãããäª ‡ãñŠ ºããÀñ ½ãò ½ãÖ¦Ìã¹ãî¥ãà ÔãîÞã¶ã㠇ãŠã key pieces of information on the (1) Scope of ‚ãã‡ãŠÊã¶ã ‡ãŠÀ Ôã‡ãòŠ; (1)‚ã¶ãì¹ãƾããñØ㠇ãŠãè Øãìâ•ããƒÍã (¡ã膹ãŠ-1), (2) ¹ãîâ•ããè application (DF-1), (2) Capital Structure (DF-2), (3) ÔãâÀÞã¶ãã (¡ã膹ãŠ-2), (3) ¹ãîâ•ããè ¹ã¾ããù¦ã¦ãã (¡ã膹ãŠ-3), (4) „£ããÀ •ããñãäŒã½ã Capital Adequacy (DF-3), (4) Credit Risk: General : Ôãã½ã㶾㠹ãƇ㊛ãè‡ãŠÀ¥ã (¡ã膹ãŠ-4), (5) „£ããÀ •ããñãäŒã½ã : ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ ‡ãñŠ Disclosures (DF-4), (5) Credit Risk: Disclosures for Portfolios subject to the Standardised Approach (DF- ãäÊㆠ¹ãƇ㊛ãè‡ãŠÀ¥ã ºãÍã¦ãó ãä‡ãŠ ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã (¡ã膹ãŠ-5) (6) „£ããÀ 5), (6) Credit Risk Mitigation: Disclosures for •ããñãäŒã½ã ‡ãŠ½ã ‡ãŠÀ¶ãã : ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã ‡ãñŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã (¡ã膹ãŠ-6) Standardised Approaches (DF-6), (7) Securitisation: (7) ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã: ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã ‡ãñŠ ãäÊㆠ¹ãƇ㊛ãè‡ãŠÀ¥ã (¡ã膹ãŠ- Disclosure for Standardised Approach (DF-7), (8) 7), (8) ›Èñãä¡âØã ºãì‡ãŠ ½ãò ºãã•ããÀ •ããñãäŒã½ã (¡ã膹ãŠ-8) (9) ¹ããäÀÞããÊã¶ã Market Risk in Trading Book (DF-8), (9) Operational Risk (DF-9), and (10) Interest Rate Risk in the •ããñãäŒã½ã (¡ã膹ãŠ-9) ‚ããõÀ (10) ºãöãä‡ãâŠØã ºãì‡ãŠ ½ãò º¾ãã•ã ªÀ •ããñãäŒã½ã (¡ã膹ãŠ- Banking Book (IRRBB) (DF-10) etc. This would also 10) ‚ãããäªý ƒÔãÔãñ ºãã•ããÀ ‡ãñŠ ÔãÖ¼ãããäØã¾ããò ‡ãŠãñ ãäÌããä¼ã¸ã ½ãã¶ãª¥¡ãò ½ãò ºãö‡ãŠ ‡ãñŠ provide necessary information to the market ãä¶ãÓ¹ã㪶㠇ãŠã ½ãîʾããâ‡ãŠ¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ‚ããÌã;ã‡ãŠ •ãã¶ã‡ãŠãÀãè ¹ãÆ㹦ã ÖãñØããèý participants to evaluate the performance of the bank in various parameters.

120 ¦ãããäÊã‡ãŠã ¡ã膹ãŠ-1 Table DF –1 ÊããØãî ‡ãŠÀ¶ãñ ‡ãŠãè Øãìâ•ããƒÍã Scope of application Øãì¥ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã Ö½ããÀñ ºãö‡ãŠ ¹ãÀ ¹ãƾããñ•¾ã¦ãã Qualitative Disclosures Applicability to Our Bank ‡ãŠ. ãä•ãÔã Ôã½ãîÖ ¹ãÀ ¹ãÆñŠ½ãÌã‡ãÊ ÊããØãî Öãñ¦ããè Öõ ºãö‡ãŠ ãä‡ãŠÔããè ¼ããè ÌãØãà ‡ãŠã a) The name of the top bank The Bank does not „Ôã ÌãØãà ‡ãñŠ ÔãÌããóÞÞã ºãö‡ãŠ ‡ãŠã ¶ãã½ã ÔãªÔ¾ã ¶ãÖãé Öõý in the group to which the belong to any Framework applies group. Œã. Ôã½ãîÖ ‡ãñŠ ‚㶪À ƒ‡ãŠãƒ¾ããò ‡ãñŠ Ôãâãäà㹦ã b) An outline of differences in ãäÌãÌãÀ¥ã ÔããäÖ¦ã, ÊãñŒãã‡ãŠÀ¥ã ‚ããõÀ the basis of consolidation for accounting and ãäÌããä¶ã¾ãã½ã‡ãŠ „ÿñ;ããò ‡ãñŠ ãäÊㆠÔã½ãñ‡ãŠ¶ã regulatory purposes, with a ‡ãñŠ ‚ãã£ããÀ ½ãò ‚㶦ãÀ ‡ãŠãè ¹ãÀñŒãã (i) ÊããØãî ¶ãÖãéý brief description of the •ããñ ¹ãîÀãè ¦ãÀÖ Ôã½ãñãä‡ãŠ¦ã Öö (ii) •ããñ entities within the group (i) that are fully consolidated Ôã½ãã¶ãì¹ãããä¦ã‡ãŠ ¹ã Ôãñ Ôã½ãñãä‡ãŠ¦ã Öö (iii) (ii) that are pro-rata Not Applicable ãä•ã¶ã½ãò ‡ãŠ›ãõ¦ããè ‡ãŠãè ØãƒÃ Öõ (iv) ãä•ã¶Öò consolidated (iii) that are Ôã½ãñãä‡ãŠ¦ã ¶ãÖãé ãä‡ãŠ¾ãã Øã¾ãã Öõ ¶ã Öãè given a deduction treatment; and (iv) that are neither ‡ãŠ›ãõ¦ããè ‡ãŠãè ØãƒÃ Öõ („ªã. •ãÖãú ãä¶ãÌãñÍã consolidated nor deducted •ããñãäŒã½ã ¼ãããäÀ¦ã Öõ) (e.g. where the investment is risk – weighted). ½ãã¨ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã Quantitative Disclosures Øã. Ôã¼ããè ‚ã¶ãìÓãâØããè ƒ‡ãŠãƒ¾ããò ½ãò ¹ãîâ•ããè ‡ãŠãè c) The aggregate amount of capital deficiencies in all ‡ãŠ½ããè ‡ãŠãè ‡ãìŠÊã À‡ãŠ½ã Ôã½ãñ‡ãŠ¶ã ½ãò Íãããä½ãÊã ÊããØãî ¶ãÖãé subsidiaries not included in ¶ãÖãé Öõ ¾ãã¶ããè ãä•ã¶ã‡ãŠãè ‡ãŠ›ãõ¦ããè ‡ãŠãè ØãƒÃ the consolidation i.e. that Not Applicable Öõ ‚ããõÀ †ñÔããè ‚ã¶ãìÓãâØããè ƒ‡ãŠãƒ¾ããò ‡ãñŠ ¶ãã½ã are deducted and the name(s) of such subsidiaries. Üã. ºããè½ã㠃‡ãŠãƒ¾ããò ½ãò ºãö‡ãŠ ‡ãñŠ ‡ãìŠÊã ãä֦㠇ãŠãè ¾ãîãä¶ãÌãÔãÃÊã Ôããñ½¹ããñ •ã¶ãÀÊã d) The aggregate amounts ‚ããõÔã¦ã À‡ãŠ½ã („ªãÖÀ¥ã - ÞããÊãî ºãÖãè ƒ¶Í¾ããñÀñ¶Ô㠇ãâŠ.ãäÊã. •ãõÔãñ (e.g. current book value) of Rs. 28.50 crores by the bank’s total interests in way of equity ½ãîʾã) •ããñ •ããñãäŒã½ã ¼ãããäÀ¦ã Öö ‚ããõÀ ºããè½ãã Ôãâ¾ãì‡ã‹¦ã „¹ã‰ãŠ½ã ½ãò insurance entities, which subscription in an „¶ã‡ãñŠ ¶ãã½ã, „¶ã‡ãñŠ Íãããä½ãÊã ãä‡ãŠ† •ãã¶ãñ ƒÃãä‡ã‹Ìã›ãè ‚ããä¼ãªã¶ã ‡ãñŠ are risk-weighted as well insurance JV ie. ‡ãŠã ªñÍã ¾ãã ãä¶ãÌããÔã, ÔÌãããä½ã¦Ìã ãä֦㠇ãŠã û•ããäÀ† Á.28.50 ‡ãŠÀãñü¡, as their name, their Universal Sompo •ããñ ‚ã¹ã¶ããè ‡ãìŠÊ㠕ããÀãè ‡ãŠãè country of incorporation or General Insurance ‚ãâÍ㠂ããõÀ ¾ããäª ‡ãŠãñƒÃ ãä¼ã¸ã Öõ ¦ããñ ƒ¶ã residence, the proportion Co. Ltd., ƒ‡ãŠãƒ¾ããò ½ãò ½ã¦ãããä£ã‡ãŠãÀ ‡ãŠã ãäÖÔÔããý ØãƒÃ ¹ãîâ•ããè ‡ãŠã 19% ãä¶ãÌãñÍã of ownership interest and, representing 19% ƒÔã‡ãñŠ ‚ããä¦ããäÀ‡ã‹¦ã, ƒÔã ¹ãÆãä‰ãŠ¾ã㠇ãñŠ ¹ãƾããñØã Öõý ƒÔãñ Ôããè‚ããÀ†‚ããÀ if different, the proportion of its total issued ºã¶ãã½ã ‡ãŠ›ãõ¦ããè ‡ãŠã ¹ãƾããñØ㠇ãŠÀ¶ãñ ‡ãŠã ¹ããäÀ‡ãŠÊã¶ã Ôãñ œî› Öõý of voting power in these capital. The same entities.In addition, indicate is excluded from ãäÌããä¶ã¾ãã½ã‡ãŠ ¹ãîâ•ããè ¹ãÀ ½ãã¨ã㦽ã‡ãŠ ¹ãƼããÌã the quantitative impact on CRAR computation. ªÍããÆâý regulatory capital of using this method versus using ¦ãããäÊã‡ãŠã ¡ã膹ãŠ-2 the deduction. ¹ãîâ•ããè ÔãâÀÞã¶ãã Table DF – 2 Øãì¥ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã Ö½ããÀñ ºãö‡ãŠ ¹ãÀ ¹ãƾããñ•¾ã¦ãã Capital structure Qualitative Disclosures Applicability to Our Bank

‡ãŠ. Ôã¼ããè ¹ãîâ•ããè ãäÊãŒã¦ããò ‡ãŠãè ãäÌãÍãñÓã¦ãã‚ããò ºãö‡ãŠ ¹ãÀ ÊããØãî Öõ Þãîâãä‡ãŠ Ö½ã¶ãñ a) Summary information on Applicable to the ‡ãŠãè Íã¦ããô ‚ããõÀ ãä¶ãºãâ£ã¶ããò ¹ãÀ ÔããÀ Ôã½ã¾ã-Ôã½ã¾ã ¹ãÀ ¹ãîâ•ããè the terms and conditions of Bank as we raise ÔãîÞã¶ãã, ãäÌãÍãñÓã¦ã: ›ã¾ãÀ 1 ¾ã㠄ÞÞã¦ãÀ ‚ããÌã;ã‡ãŠ¦ã㠇ãŠãñ ¹ãîÀ㠇ãŠÀ¶ãñ the main features of all both Tier I and Tier capital instruments, ›ã¾ãÀ 2 ½ãò Ôã½ããÌãñÍã¶ã ‡ãñŠ ãäÊㆠ¹ãã¨ã ‡ãñŠ ãäÊㆠºããû•ããÀ Ôãñ ›ã¾ãÀ 1 II capital from the especially in the case of market to meet ¹ãîâ•ããè ãäÊãŒã¦ããò ‡ãñŠ ½ãã½ãÊãñ ½ãò Ö½ããÀñ ‚ããõÀ ›ã¾ãÀ 2 ¹ãîâ•ããè „ŸãƒÃ capital instruments eligible increase in capital ºãö‡ãŠ ¹ãÀ ¹ãƾããñ•¾ã¦ãã Öõý for inclusion in Tier 1 or requirements from in Upper Tier 2 time to time

121 ½ãã¨ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã Quantitative Disclosures b) The amount of Tier 1 Œã. ãä¶ã½¶ããäÊããäŒã¦ã ‡ãñŠ ‚ãÊãØã Ôãñ ¹ãƇ㊛ãè‡ãŠÀ¥ã capital, with separate Ôããä֦㠛ã¾ãÀ 1 ¹ãîâ•ããè ‡ãŠãè À‡ãŠ½ã: disclosure of:

* ¹ãƪ¦¦ã Íãñ¾ãÀ ¹ãîâ•ããè Á.544.80 ‡ãŠÀãñü¡ * paid up share capital Rs. 544.80 crore

* ‚ããÀãäàããä¦ã¾ããâ Á.5715.37 ‡ãŠÀãñü¡ * reserves Rs. 5715.37 crore

* ¶ãÌããñ¶½ãñÓããè ãäÊãŒã¦ã (›ã¾ãÀ 1 ¹ãîâ•ããè Á.780.00 ‡ãŠÀãñü¡ * innovative instruments Rs. 780.00 crore ºãñãä½ã¾ããªãè ¨ãɥ㠇ãñŠ ¹㠽ãâñ) (ÌãÓãà ‡ãñŠ ªãõÀã¶ã „Ÿã† Øㆠ(Perpetual Debt Instrument (raised during the as Tier 1 capital) year – Rs.300Cr) - Á.300 ‡ãŠÀãñü¡) * other capital instruments Nil * ‚㶾㠹ãîâ•ããè ãäÊãŒã¦ãò Íãã * amounts deducted from Tier Rs. 165.24 crore * ›ã¾ãÀ 1 ¹ãîâ•ããè Ôãñ ‡ãŠã›ãè ØãƒÃ À‡ãŠ½ã, ÔããŒã Á.165.24 ‡ãŠÀãñü¡ 1 capital, including goodwill ‚ããõÀ ãä¶ãÌãñÍ㠇ãŠãñ ãä½ãÊã㠇ãŠÀ and investments c) The total amount of Tier 2 Rs. 4846.28 crore Øã. ›ã¾ãÀ 2 ¹ãîâ•ããè ‡ãŠãè ‡ãìŠÊã À‡ãŠ½ã (›ã¾ãÀ 2 Á.4846.28 ‡ãŠÀãñü¡ capital (net of deductions Rs. 3942.50 crore ¹ãîâ•ããè Ôãñ ‡ãŠ›ãõãä¦ã¾ããò ‡ãŠã ãä¶ãÌãÊã) Á.3942.50 ‡ãŠÀãñü¡ from Tier 2 capital) (at discount) (raised during the year (ãä¡Ôã‡ãŠã„â› ½ãò) (ÌãÓãà ‡ãñŠ d) Debt capital instruments Rs.800.00 crores) Üã. „ÞÞã¦ãÀ ›ã¾ãÀ 2 ¹ãîâ•ããè ½ãò Íãããä½ãÊ㠇ãŠÀ¶ãñ ªãõÀã¶ã „Ÿã† Øㆠ- eligible for inclusion in ‡ãñŠ ãäÊㆠ¹ãã¨ã ¨ãɥ㠹ãîâ•ããè ãäÊãŒã¦ãò Á.800.00 ‡ãŠÀãñü¡) Upper Tier 2 capital

* ‡ãìŠÊã ºã‡ãŠã¾ãã À‡ãŠ½ã Á.1665.30 ‡ãŠÀãñü¡ * Total amount outstanding Rs. 1665.30 crores

* ãä•ãÔã½ãò Ôãñ ÞããÊãî ÌãÓãà ‡ãñŠ ªãõÀã¶ã Êããè ØãƒÃ Á.510.00 ‡ãŠÀãñü¡ * Of which amount raised Rs. 510.00 crores À‡ãŠ½ã during the current year * Amount eligible to be * ¹ãîâ•ããèØã¦ã ãä¶ããä£ã¾ããò ‡ãñŠ ¹㠽ãò ¹ããäÀ‡ãŠÊã¶ã Á.1665.30 ‡ãŠÀãñü¡ Rs. 1665.30 crores reckoned as capital funds Öñ¦ãì ¹ãã¨ã À‡ãŠ½ã e) Subordinated debt eligible Þã. ãä¶ã½¶ã¦ãÀ ›ã¾ãÀ 2 ¹ãîâ•ããè ½ãò Íãããä½ãÊ㠇ãŠÀ¶ãñ for inclusion in Lower Tier ‡ãñŠ ãäÊㆠ¹ãã¨ã Øããõ¥ã ¨ãÉ¥ã 2 capital * Total amount outstanding Rs. 2426.00 crores * ‡ãìŠÊã ºã‡ãŠã¾ãã À‡ãŠ½ã Á.2426.00 ‡ãŠÀãñü¡ * Of which amount raised Rs. 290.00 crores * ƒÔã½ãò Ôãñ ÞããÊãî ÌãÓãà ‡ãñŠ ªãõÀã¶ã Êããè ØãƒÃ Á.290.00 ‡ãŠÀãñü¡ during the current year À‡ãŠ½ã * Amount eligible to be Rs 2277.20 crores * ¹ãîâ•ããèØã¦ã ãä¶ããä£ã¾ããò ‡ãñŠ ¹㠽ãò ¹ããäÀ‡ãŠÊã¶ã Á.2277.20 ‡ãŠÀãñü¡ reckoned as capital funds Öñ¦ãì ¹ãã¨ã À‡ãŠ½ã f) Other deductions from Nil œ. ¹ãîâ•ããè ½ãò Ôãñ ‚㶾㠇㊛ãõãä¦ã¾ããú, ¾ããäª Öãñ Íãã capital, if any g) Total eligible capital Rs.11721.20 crores •ã. ‡ãìŠÊã ¹ãã¨ã ¹ãîâ•ããè Á.11721.20 ‡ãŠÀãñü¡

122 ¦ãããäÊã‡ãŠã ¡ã膹ãŠ-3 Table DF – 3 ¹ãîâ•ããè ¹ã¾ããù¦ã¦ãã CAPITAL ADEQUACY Øãì¥ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã: Qualitative disclosures: A summary discussion of the bank’s approach to Ìã¦ãýãã¶ã ‚ããõÀ ¼ããäÌãÓ¾ãØã¦ã Øããä¦ããäÌããä£ã¾ããò ‡ãŠãñ ‚ãâ•ãã½ã ªñ¶ãñ ‡ãñŠ ãäÊㆠ‚ã¹ã¶ããè ¹ãîú•ããè assessing the adequacy of its capital to support ‡ãŠãè ¹ã¾ããù¦ã¦ã㠇ãŠã ‚ãã‡ãŠÊã¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠºãö‡ãŠ ‡ãñŠ ÁŒã ‡ãŠãè ÔããÀãâÍãØã¦ã ÞãÞããÃ: current and future activities: ºãöãä‡ãâŠØã ¹ã¾ãÃÌãñàã¥ã ¹ãÀ ºãñÔãÊã Ôããä½ããä¦ã ´ãÀ㠕ããÀãè ãä‡ãŠ† Øㆠ¹ãîâ•ããè ¹ã¾ããù¦ã¦ãã Banks in India implemented capital adequacy measures in April 1992 based on the capital ¹ãÆñŠ½ãÌã‡ãÊ (ºãñÔãÊã I) ‚ããõÀ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀã Ôã½ã¾ã-Ôã½ã¾ã ¹ãÀ •ããÀãè adequacy framework (Basel-I) issued by the Basel ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ‚ã¹ãÆõÊã 1992 ½ãò ¼ããÀ¦ã ‡ãñŠ ºãö‡ãŠãò ¶ãñ ¹ãîâ•ããè ¹ã¾ããù¦ã¦ãã Committee on Banking Supervision (BCBS) and the „¹ãã¾ã ‡ãŠã¾ããÃãä¶Ìã¦ã ãä‡ãŠ†ý ¾ãñ „¹ãã¾ã ºãö‡ãŠãò ‡ãñŠ ¹ãîâ•ããè ‚ãã£ããÀ ‡ãŠãñ ½ã•ãºãî¦ã ‡ãŠÀ¶ãñ guidelines issued by Reserve Bank of India (RBI) ‚ããõÀ Ôãã©ã Öãè ¹ãîâ•ããè ¹ã¾ããù¦ã¦ãã ºã¶ãㆠÀŒã¶ãñ ‡ãñŠ ½ãã½ãÊãñ ½ãò ‚㶦ãÀÀãӛÈãè¾ã Ñãñӟ from time to time. Such a measure was taken in order to strengthen the capital base of banks and at ̾ãÌãÖãÀãò ‡ãŠã ‚ã¶ãì¹ããÊã¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠãä‡ãŠ† ØㆠÖöý ‚ããÀâ¼ã ½ãò ºãñÔãÊã the same time to make it compliant with the ¹ãÆñŠ½ãÌã‡ãÊ „£ããÀ •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ¹ãîâ•ããè ‡ãŠãè Ôã½ãÔ¾ãã ªîÀ ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ©ãã international best practices in the matter maintaining ãä•ãÔã½ãò ºã㪠½ãò ºãã•ããÀ •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ¹ãîâ•ããè ‡ãŠãñ Íãããä½ãÊ㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠcapital adequacy. Initially the Basel framework ÔãâÍããñãä£ã¦ã ãä‡ãŠ¾ãã Øã¾ããý ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀ㠕ããÀãè ãä‡ãŠ† ãäªÍãããä¶ãªóÍããò addressed the capital for credit risk, which was subsequently amended to include capital for market ‡ãñŠ ‚ã¶ãì¹㠺ãö‡ãŠ ¶ãñ ÔãâØã¦ã ãäªÍãããä¶ãªóÍããò ‡ãŠã ‚ã¶ãì¹ããÊã¶ã ãä‡ãŠ¾ããý risk. In line with the guidelines issued by the RBI the bank was compliant with the relevant guidelines. ºã㪠½ãò ºããèÔããèºããè†Ôã ¶ãñ 26 •ãî¶ã 2004 ‡ãŠãñ “¹ãîâ•ããè ½ãã¶ã‡ãŠãò ‚ããõÀ ¹ãîâ•ããè ½ãã¹ã¶ã ‡ãñŠ ‚㶦ãÀÀãӛÈãè¾ã Ôã½¹ããäÀÌã¦ãöã, †‡ãŠ ¹ããäÀÍããñãä£ã¦ã ¹ãÆñŠ½ãÌã‡ãʔ •ããÀãè ãä‡ãŠ¾ããý Subsequently the BCBS released the “International Convergence of Capital Measurement and Capital ̾ãã¹ãããäÀ‡ãŠ Øããä¦ããäÌããä£ã¾ããò ‚ããõÀ ªìØãì¶ãñ Þãî‡ãŠ ¹ãƼããÌããò ‡ãñŠ ̾ãÌãÖãÀ ‡ãŠãñ Íãããä½ãÊã Standards: A Revised Framework” on June 26, 2004. ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ¶ãÌãâºãÀ 2005 ½ãò ¹ããäÀÍããñãä£ã¦ã ¹ãÆñŠ½ãÌã‡ãÊ ‡ãŠãñ ‚ã²ã¦ã¶ã ãä‡ãŠ¾ãã Öõ The Revised Framework was updated in November ‚ããõÀ ƒÔã ¹ãÆñŠ½ãÌã‡ãÊ ‡ãñŠ ̾ãã¹ã‡ãŠ ¹ããâ¦ãÀ ‡ãŠãñ •ãî¶ã 2006 ½ãò •ããÀãè ãä‡ãŠ¾ãã Øã¾ããý 2005 to include trading activities and the treatment of double default effects and a comprehensive ƒ¶ã ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ‚ããõÀ ‚㶦ãÀÀãӛÈãè¾ã ½ãã¶ã‡ãŠãò ‡ãñŠ Ôãã©ã ãä¶ãÀ¶¦ãÀ¦ãã version of the framework was issued in June 2006. ¦ã©ãã Ôãã½ãâ•ãԾ㠺ã¶ãㆠÀŒã¶ãñ ‡ãŠãè Òãäӛ Ôãñ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ¶ãñ 27 ‚ã¹ãÆõÊã Based on these guidelines and to have consistency 2007 ‡ãŠãñ ãäªÍãããä¶ãªóÍ㠕ããÀãè ãä‡ãŠ† ‚ããõÀ ºã㪠½ãò ¶ãƒÃ ¹ãîâ•ããè ¹ã¾ããù¦ã¦ãã (ºãñÔãÊã and be in harmony with international standards, the II) ¹ãÆñŠ½ãÌã‡ãÊ ‡ãñŠ ‡ãŠã¾ããöÌã¾ã¶ã ‡ãñŠ ãäÊㆠÔã½ã¾ã-Ôã½ã¾ã ¹ãÀ ÔãâÍããñ£ã¶ã ãä‡ãŠ† Øã†ý RBI has issued guidelines on 27th April 2007 and subsequent amendments on implementation of the ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãì¹㠺ãö‡ãŠ 31-03-2008 Ôãñ New Capital Adequacy (Basel-II) Framework from time to time. ¹ããäÀÍããñãä£ã¦ã (ºãñÔãÊã II) ¹ãÆñŠ½ãÌã‡ãÊ ½ãò ‚ãã Þãì‡ãŠã Öõ ‚ããõÀ ºãñÔãÊã II ¹ãÆñŠ½ãÌã‡ãÊ ‡ãŠãè ‚ã¹ãñàãã‚ããò ‡ãŠã ‚ã¶ãì¹ããÊã¶ã ãä‡ãŠ¾ãã Øã¾ãã Öõý ƒÔã‡ãñŠ ‚ããä¦ããäÀ‡ã‹¦ã ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà In line with the RBI guidelines, the Bank had migrated to the revised (Basel-II) framework from 31.3.2008 ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãì¹㠺ãö‡ãŠ ¶ãñ ãä¶ã£ããÃãäÀ¦ã ãäÀ¹ããñãä›ÄØã ¹ãÆã¹㠇ãñŠ and continues to be compliant with the requirements •ããäÀ† ºãñÔãÊã - I ¹ãÆñŠ½ãÌã‡ãÊ ‡ãŠã ¹ãƾããñØ㠕ããÀãè ÀŒãã Öõý ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ¶ãñ of Basel-II framework. In addition to this, the bank ‚ããõÀ ‚ããØãñ ÔãîÞã¶ãã ãä½ãÊã¶ãñ ¦ã‡ãŠ Ôã½ãã¶ããâ¦ãÀ ÞããÊã¶ã ‚ããõÀ ãäÌãÌãñ‡ãŠ¹ãî¥ãà ½ãã¶ã‡ãŠ continues the parallel run of Basel I framework in ‡ãŠãñ •ããÀãè ÀŒã¶ãñ Öñ¦ãì ã䪶ããâãä‡ãŠ¦ã 07 ‚ã¹ãÆõÊã 2010 ‡ãñŠ ¹ããäÀ¹ã¨ã ‡ãñŠ •ããäÀ† terms of the guidelines issued by the RBI through prescribed reporting formats. The RBI has issued ãäªÍãããä¶ãªóÍ㠕ããÀãè ãä‡ãŠ† Ööý ºãö‡ãŠ ¶ãñ ƒ¶ã ãäªÍãããä¶ãªóÍããò ‡ãŠã ¹ãî¥ãæã: ‚ã¶ãì¹ããÊã¶ã directions vide their circular dated 7th April 2010 ãä‡ãŠ¾ãã Öõý continuance of the parallel run and prudential floor until further advice. The Bank is in full compliance ºãñÔãÊã II ¹ãÆñŠ½ãÌã‡ãÊ „£ããÀ •ããñãäŒã½ã, ºãã•ããÀ •ããñãäŒã½ã ‚ããõÀ ¹ããäÀÞããÊã¶ã •ããñãäŒã½ã with these guidelines. ‡ãñŠ ãäÊㆠ¹ãîâ•ããè ‚ã¹ãñàãã‚ããò ‡ãŠã ãä¶ã£ããÃÀ¥ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ‡ãŠƒÃ ãäÌã‡ãŠÊ¹ã ¹ãƪã¶ã Basel-II Framework provides a range of options for ‡ãŠÀ¦ãã Öõý ¾ãÖ ¹ãÆñŠ½ãÌã‡ãÊ ºãö‡ãŠãò ‚ããõÀ ¹ã¾ãÃÌãñàã‡ãŠãò ‡ãŠãñ ‚ã¹ã¶ãñ ¹ããäÀÞããÊã¶ããò ‚ããõÀ determining the capital requirements for credit risk, ãäÌ㦦ããè¾ã ºãã•ããÀ ‡ãñŠ ãäÊㆠ„¹ã¾ãì‡ã‹¦ã Òãäӛ‡ãŠãñ¥ã Þãì¶ã¶ãñ ‡ãŠãè ‚ã¶ãì½ããä¦ã ¹ãƪã¶ã market risk and operational risk. The Framework ‡ãŠÀ¦ãã Öõý ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãŠãè ‚ã¹ãñàãã‚ããò ‡ãñŠ ‚ã¶ãìÔããÀ ºãö‡ãŠ ¶ãñ ¹ãîâ•ããè ‡ãŠã allows banks and supervisors to select approaches that are most appropriate for their operations and ¹ããäÀ‡ãŠÊã¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ„£ããÀ •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã financial markets. In accordance with the RBI’s (†Ôã†), ºãã•ããÀ •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ½ãã¶ã‡ãŠ ‚ãÌããä£ã †¹ãÆãñÞã (†Ôã¡ãè†) ‚ããõÀ requirements, the Bank has adopted Standardised ¹ããäÀÞããÊã¶ã •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ½ãîÊã¼ãî¦ã Ôãâ‡ãñŠ¦ã‡ãŠ Òãäӛ‡ãŠãñ¥ã (ºããè‚ãテ) ‚ã¹ã¶ãã¾ãã Approach (SA) for credit risk, Standardised Duration Approach (SDA) for market risks and Basic Indicator

123 Öõý ‚ã¦ã: ƒÔã Ôãâºãâ£ã ½ãò ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãì¹ã Approach (BIA) for Operational Risk to compute ºãö‡ãŠ ¶ãñ 31-03-2010 ¦ã‡ãŠ ‡ãñŠ ãäÊㆠ„£ããÀ, ºããû•ããÀ ‚ããõÀ ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ capital. As such, the Bank is maintaining capital for Credit, Market and Operational Risk as on 31.3.2010, •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ¹ãîâ•ããè ºã¶ãㆠÀŒããè Öõý in line with the RBI guidelines in this regard. ºãö‡ãŠ ¶ãñ Ôãâºãâãä£ã¦ã ¡ã›ã ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ‡ãñŠ¶³ãè¾ã ‡ãŠã¾ããÃÊã¾ã ½ãò ãä¶ã£ããÃãäÀ¦ã The Bank has computed capital for market risk and ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ºããû•ããÀ •ããñãäŒã½ã ‚ããõÀ ¹ããäÀÞããÊã¶ã •ããñãäŒã½ã ‡ãñŠ operational risk as per the prescribed guidelines at the bank’s Central Office, based on the relevant data. ãäÊㆠ¹ãîâ•ããè ‡ãŠã ¹ããäÀ‡ãŠÊã¶ã ãä‡ãŠ¾ãã Öõý ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã ‡ãñŠ ¦ã֦㠄£ããÀ In computation of capital for Credit risk under •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ¹ãîâ•ããè ‡ãŠã ¹ããäÀ‡ãŠÊã¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠºãö‡ãŠ ¶ãñ àãñ¨ããè¾ã ‡ãŠã¾ããÃÊã¾ããò Standardised Approach, the bank has relied upon ‚ããõÀ ‡ãñŠ¶³ãè¾ã ‡ãŠã¾ããÃÊã¾ã ½ãò £ãããäÀ¦ã ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ ‡ãñŠ ‚ãÊããÌãã ÖÀ ÍããŒãã Ôãñ the borrower-wise data captured from each individual ãäÊㆠØㆠ„£ããÀ‡ãŠ¦ããÃÌããÀ ¡ã›ã ‡ãŠãñ ãäÊã¾ãã Öõý ƒÔã‡ãñŠ ãäÊㆠºãö‡ãŠ ¶ãñ ÔÌããä¶ããä½ãæã branch besides portfolios held at Regional Office and Central Office of the bank. For this purpose, the Ôããù¹ã‹›Ìãñ¾ãÀ ¦ãõ¾ããÀ ãä‡ãŠ¾ãã Öõ •ããñ ÍããŒãã‚ããò ‡ãñŠ ‚ããäØãƽ㠹ããñ›Ã¹ãŠãñãäÊã¾ããñ ‡ãñŠ „£ããÀ Bank has developed in-house software, which •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ¹ãîâ•ããè ‡ãŠã ¹ããäÀ‡ãŠÊã¶ã ‡ãŠÀ¦ãã Öõ ‚ããõÀ ÍããŒãã‚ããò, àãñ¨ããè¾ã enables computation of capital for credit risk of the ‡ãŠã¾ããÃÊã¾ããò ¦ã©ã㠇ãñŠ¶³ãè¾ã ‡ãŠã¾ããÃÊã¾ã Ô¦ãÀ ¹ãÀ ‚ããÌã;ã‡ãŠ ãäÀ¹ããñ›Ã ‡ãŠã Ôãð•ã¶ã advances portfolio of the branches and generation of the requisite reports at the branches, Regional ‡ãŠÀ¦ãã Öõý Ôã›ãè‡ãŠ¦ã㠂ããõÀ ¹ã¾ããù¦ã¦ãã Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ¹ãîâ•ããè ¹ããäÀ‡ãŠÊã¶ã Offices and Central Office level. Necessary training ‡ãñŠ ãäÌããä¼ã¸ã ¹ãàããò ‡ãñŠ Ôãâºãâ£ã ½ãò ԛã¹ãŠ ‡ãŠãñ ‚ããÌã;ã‡ãŠ ¹ãÆãäÍãàã¥ã ã䪾ãã Øã¾ãã Öõý is imparted to the field staff periodically on various aspects of capital computation to ensure accuracy Ôãã½ã㶾ã¦ã: ºãö‡ãŠ „£ããÀ •ããñãäŒã½ããò ‡ãŠãñ ‡ãŠ½ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ‡ãŠƒÃ ¦ãÀÖ ‡ãñŠ „¹ãã¾ã and adequacy. ‡ãŠÀ¦ãñ Ööý ºãö‡ãŠ ¶ãñ ¹ãîâ•ããè Àã֦㠹ãÆ㹦㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ„£ããÀ •ããñãäŒã½ã ‡ãñŠ ãäÊㆠBanks generally use a number of techniques to ¹ãîâ•ããè ‡ãñŠ ¹ããäÀ‡ãŠÊã¶ã ½ãò „£ããÀ •ããñãäŒã½ã Üã›ã¶ãñ ‡ãŠã ¹ãƾããñØã ãä‡ãŠ¾ãã Öõý „£ããÀ mitigate the credit risk to which they are exposed. •ããñãäŒã½ã ‡ãŠ½ããè, •ããñãäŒã½ã ¼ãããäÀ¦ã ‚ãããäÔ¦ã¾ããò, ¹ãã¨ã ¹ãîâ•ããè ‚ããõÀ •ããñãäŒã½ã ¼ãããäÀ¦ã The Bank has also used the Credit Risk Mitigation ‚ãããäԦ㠂ã¶ãì¹ãã¦ã ‡ãñŠ ¹ãÆãä¦ã ¹ãîâ•ããè (Ôããè‚ããÀ†‚ããÀ) ¹ããäÀ‡ãŠãäÊã¦ã ‡ãŠÀ¶ãññ ‡ãñŠ ãäÊㆠin computation of capital for credit risk in order to get capital relief. The Bank has followed the RBI ºãö‡ãŠ ¶ãñ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ Ìã¦ãýãã¶ã ãäªÍãããä¶ãªóÍ㠇ãŠã ‚ã¶ãìÔãÀ¥ã ãä‡ãŠ¾ãã guidelines in force to arrive at the credit risk Öõý mitigation, risk weighted assets, eligible capital and capital to risk weighted assets ratio (CRAR). ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ, ºãñÔãÊã ªÔ¦ããÌãñ•ããò ½ãò ãä¶ã£ããÃãäÀ¦ã 8% ‡ãŠãè ¦ãìÊã¶ãã ½ãò Reserve Bank of India has prescribed that Banks ãä¶ãÀ¶¦ãÀ ¹ã Ôãñ 9% ‡ãñŠ •ããñãäŒã½ã ¼ãããäÀ¦ã ‚ãããäԦ㠂ã¶ãì¹ãã¦ã Ôããè‚ããÀ‚ããÀ ‡ãñŠ are required to maintain a minimum capital to risk ¹ãÆãä¦ã ¶¾ãî¶ã¦ã½ã ¹ãîâ•ããè ‚ã¶ãì¹ãã¦ã ÀŒã¶ãñ ‡ãñŠ ãäÊㆠãä¶ã¾ã¦ã ‡ãŠÀ¦ãã Öõý ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà weighted assets ratio (CRAR) of 9% on an ongoing ºãö‡ãŠ ¾ãÖ ¼ããè ãä¶ã£ããÃãäÀ¦ã ‡ãŠÀ¦ãã Öõ ãä‡ãŠ 31.03.2010 ¦ã‡ãŠ „£ããÀ ‚ããõÀ ºããû•ããÀ basis, as against 8% prescribed in the Basel •ããñãäŒã½ããò ‡ãñŠ ãäÊㆠºãñÔãÊã I ¹ãÆñŠ½ãÌã‡ãÊ ‡ãñŠ ½ãì¦ãããäºã‡ãŠ ¹ããäÀ‡ãŠãäÊã¦ã ¶¾ãî¶ã¦ã½ã ¹ãîú•ããè document. RBI has also prescribed Prudential Floor at 80% of minimum capital requirements computed ‚ã¹ãñàãã‚ããò ‡ãŠã 80% ¹ãÀ ãäÌãÌãñ‡ãŠ¹ãî¥ãà ԦãÀ Öãñý ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀã as per Basel-I Framework for Credit and Market risks •ããÀãè ãä‡ãŠ¾ãã Øã¾ãã ¹ãÆñŠ½ãÌã‡ãÊ ‚ããä¦ããäÀ‡ã‹¦ã ¹ã Ôãñ 31 ½ããÞãà 2010 ¦ã‡ãŠ ¾ã㠃Ôã‡ãñŠ as on 31.3.2010. The framework issued by RBI ¹ãÖÊãñ 6% ‡ãŠã ¶¾ãî¶ã¦ã½ã ›ã¾ãÀ-I Ôããè‚ããÀ†‚ããÀ ºã¶ãㆠÀŒã¶ãñ ‡ãñŠ ãäÊㆠãä¶ã£ããÃÀ¥ã additionally prescribes maintenance of a minimum Tier-1 CRAR of 6% on or before March 31, 2010. ‡ãŠÀ¦ãã Öõý ƒ¶ã ãä¶ã£ããÃÀ¥ããò ‡ãñŠ ¹ãÆãä¦ã ºãö‡ãŠ ‡ãŠã ‡ãìŠÊã Ôããè‚ããÀ†‚ããÀ ‚ããõÀ ›ã¾ãÀ-I Against this, the Bank’s total CRAR and Tier-1 CRAR Ôããè‚ããÀ†‚ããÀ ‰ãŠ½ãÍã: 14.78% ‚ããõÀ 8.67% ¹ãÀ Öõ •ããñ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà stand at 14.78% and 8.67% respectively, which are ºãö‡ãŠ ´ãÀã ãä¶ã£ããÃãäÀ¦ã ¶¾ãî¶ã¦ã½ã Ô¦ãÀ Ôãñ ‡ãŠã¹ãŠãè ¹ãÀ Öõý well above the minimum level prescribed by RBI. The Bank has put in place the policy on Internal ºãö‡ãŠ ‡ãŠãè Ôã½ãØãÆ •ããñãäŒã½ã ¹ãÆãñ¹ãŠãƒÊ㠇ãñŠ Ôã½ãã¶ã ¹ããäÀÍããñãä£ã¦ã ¹ãñŠ½ãÌã‡ãÊ ‡ãñŠ Ԧ㽼ã 2 Capital Adequacy Assessment Process (ICAAP) and ‚ããÌã;ã‡ãŠ¦ãã‚ããò ‡ãñŠ „¹ãã¾ã ‡ãñŠ ¹㠽ãò ºãö‡ãŠ ‡ãñŠ Ôãâºãâãä£ã¦ã •ããñãäŒã½ã ‡ãŠãÀ‡ãŠãò ‡ãŠãñ the framework in consideration of the relevant risk £¾ãã¶ã ½ãò ÀŒã¦ãñ Öì† ºãö‡ãŠ ¶ãñ ‚ã㶦ããäÀ‡ãŠ ¹ãîâ•ããè ¹ã¾ããù¦ã¦ãã ½ãîʾããâ‡ãŠ¶ã ¹ãÆãä‰ãŠ¾ãã ¹ãÀ factors of the bank as a measure towards Pillar 2 ¶ããèãä¦ã ‚ããõÀ ¹ãÆñŠ½ãÌã‡ãÊ ¦ãõ¾ããÀ ãä‡ãŠ¾ãã Öõý ¶ããèãä¦ã ¦ãõ¾ããÀ ‡ãŠÀ¦ãñ Ôã½ã¾ã ºãö‡ãŠ ¶ãñ ¼ããÀ¦ããè¾ã requirements of the revised framework commensurate with the bank’s overall risk profile. In framing the ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ½ãò ãä¶ã£ããÃãäÀ¦ã ‚ã¹ãñàãã‚ããò ‡ãŠãñ £¾ãã¶ã ½ãò ÀŒãã Öõý policy the bank has taken into consideration the requirements prescribed by RBI in their guidelines. •ãÖãú ¦ã‡ãŠ ¼ããäÌãÓ¾ãØã¦ã Øããä¦ããäÌããä£ã¾ããò ‡ãŠãñ ‚ã¶ã•ãã½ã ªñ¶ãñ ‡ãñŠ ãäÊㆠ¹ãîú•ããè ¹ã¾ããù¦ã¦ã㠇ãŠãè ºãã¦ã Öõ, ÌãÖãú ºãö‡ãŠ ‡ãŠãÀãñºããÀ ‡ãŠãè ¼ããäÌãÓ¾ãØã¦ã Ìãðãä® ‡ãŠãñ £¾ãã¶ã ½ãò Êãñ¦ãñ Öì† As regards the adequacy of capital to support the future activities, the bank draws assessment of ¹ãîú•ããèØã¦ã ‚ã¹ãñàãã‚ããò ‡ãŠã ‚ããÌããä£ã‡ãŠ ½ãîʾããâ‡ãŠ¶ã ‡ãŠÀ¦ãã Öõý ºãö‡ãŠ ´ãÀ㠂ã¶ãìÀãäàã¦ã capital requirements periodically taking into account ‚ããä¦ããäÀ‡ã‹¦ã Ôããè‚ããÀ†‚ããÀ ¼ããäÌãÓ¾ãØã¦ã Øããä¦ããäÌããä£ã¾ããò ‡ãŠãñ ¹ãîÀ㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠfuture growth of business. The surplus CRAR maintained by the bank acts as a buffer to support

124 ºã¹ãŠÀ ‡ãŠã ‡ãŠã½ã ‡ãŠÀ¦ãã Öõý Ôãã©ã Öãè ›ã¾ãÀ I ‚ããõÀ ›ã¾ãÀ II ¹ãîâ•ããè ÔãâÜ㛇ãŠãò ½ãò the future activities. Moreover, the headroom ºãö‡ãŠ ‡ãñŠ ¹ããÔ㠄¹ãÊãº£ã œî› ¼ããäÌãÓ¾ãØã¦ã ‚ã¹ãñàãã‚ããò ‡ãŠãñ ¹ãîÀ㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠavailable to the bank in the Tier-1 and Tier-2 capital components provides additional capital support to ‚ããä¦ããäÀ‡ã‹¦ã ¹ãîú•ããè Ôã½ã©ãö㠹ãƪã¶ã ‡ãŠÀ¦ãã Öõý ƒÔã ¹ãƇãŠãÀ ºãö‡ãŠ ‡ãñŠ ¹ãîâ•ããè •ããñãäŒã½ã meet the future needs. Thereby, the capital risk of ‡ãŠã ¾ã©ãñӛ £¾ãã¶ã ÀŒã㠕ãã¦ãã Öõý the bank is adequately addressed. ½ãã¨ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã Quantitative disclosures (Á.‡ãŠÀãñü¡ ½ãò) (Rs. In Crore) „£ããÀ •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ¹ãîâ•ããè ‚ããÌã;ã‡ãŠ¦ãã: Capital requirements for credit risk: Standardised Approach ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã Portfolios subject to standardised approach 6232.28 ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã ‡ãñŠ ‚ã¶ãìÔããÀ ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ 6232.28 Securitisation exposures 0.00 ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã †‡ã‹Ôã¹ããñû•ãÀ 0.00 ‡ãìŠÊã 6232.28 Total 6232.28 ºããû•ããÀ •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ¹ãîâ•ããè ‚ããÌã;ã‡ãŠ¦ãã: Capital requirements for market risk: Standardised Duration Approach ½ãã¶ã‡ãŠãè‡ãðŠ¦ã ‚ãÌããä£ã Òãäӛ‡ãŠãñ¥ã º¾ãã•ã ªÀ •ããñãäŒã½ã 236.02 Interest rate risk 236.02 ãäÌãªñÍããè ãäÌããä¶ã½ã¾ã •ããñãäŒã½ã (ÔÌã¥ãà ãä½ãÊãã‡ãŠÀ) 8.82 Foreign Exchange risk (including gold) 8.82 ƒÃãä‡ã‹Ìã›ãè •ããñãäŒã½ã 149.58 Equity risk 149.58 ‡ãìŠÊã 394.42 Total 394.42 ¹ããäÀÞããÊã¶ãØã¦ã •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ¹ãîâ•ããè ‚ããÌã;ã‡ãŠ¦ãã: Capital requirements for operational risk ½ãîÊã Ôãâ‡ãñŠ¦ã‡ãŠ Òãäӛ‡ãŠãñ¥ã Basic indicator approach ¹ããäÀÞããÊã¶ãØã¦ã •ããñãäŒã½ã 511.42 Operational Risk 511.42 ºãö‡ãŠ ‡ãñŠ ãäÊㆠ‡ãìŠÊã ¹ãîâ•ããè ‚ã¶ãì¹ãã¦ã Total Capital Ratio for the Bank ‡ãìŠÊã Ôããè‚ããÀ†‚ããÀ 14.78% Total CRAR 14.78% ‡ãìŠÊã Ôããè‚ããÀ†‚ããÀ (ãäÌãÌãñ‡ãŠ¹ãî¥ãà ¹ã‹ÊããñÀ ‡ãñŠ ‚ã¶ãì¹ãƾããñØ㠇ãñŠ ‚ã¶ãìÔããÀ) 14.78% Total CRAR (subject to application of Prudential Floor) 14.78% ›ã¾ãÀ 1 Ôããè‚ããÀ†‚ããÀ 8.67% Tier 1 CRAR 8.67% ¦ãããäÊã‡ãŠã ¡ã膹ãŠ-4 Table DF-4 „£ããÀ •ããñãäŒã½ã : Ôã¼ããè ºãö‡ãŠãò ‡ãñŠ ãäÊã¾ãñ Ôãã½ã㶾㠹ãƇ㊛ãè‡ãŠÀ¥ã CREDIT RISK : GENERAL DISCLOSURES FOR ALL BANKS Øãì¥ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã: Qualitative disclosures: „£ããÀ •ããñãäŒã½ã Credit Risk:

„£ããÀ •ããñãäŒã½ã ‡ãŠã ¦ã㦹ã¾ãà „£ããÀ‡ãŠ¦ããÂããò ¾ãã ¹ãÆãä¦ã¹ããäàã¾ããò ‡ãŠãè ¨ãÉ¥ã Øãì¥ãÌ㦦ãã Credit Risk is the possibility of losses associated ½ãâñ ÖÆãÔã ÔããäÖ¦ã Íãããä½ãÊã Öããä¶ã¾ããò ‡ãŠãè Ôãâ¼ããÌã¶ãã Ôãñ Öõý ºãö‡ãŠ ‡ãñŠ ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ with diminution in the credit quality of borrowers or ½ãò „£ããÀ •ããñãäŒã½ã ‚ããä£ã‡ãŠãâÍã¦ã: ºãö‡ãŠ ‡ãñŠ „£ããÀ ãä‰ãŠ¾ãã‡ãŠÊãã¹ããò Ôãñ „¦¹ã¸ã Öãñ¦ãã counter parties. In a Bank’s portfolio, Credit Risk Öõ, ‡ã‹¾ããòãä‡ãŠ „£ããÀ‡ãŠ¦ããà ¨ãÉ¥ãªã¦ã㠇ãñŠ ¹ãÆãä¦ã ‚ã¹ã¶ããè ãäÌ㦦ããè¾ã ºã㣾ã¦ãã‚ããò ‡ãŠãñ ¹ãîÀã arises mostly from lending activities of the Bank if a borrower is unable to meet its financial obligations ¶ãÖãé ‡ãŠÀ ¹ãã¦ããý ¾ãÖ „£ããÀ‡ãŠ¦ããà ¾ãã ¹ãÆãä¦ã¹ããäàã¾ããò ‡ãŠãè „£ããÀ Øãì¥ãÌ㦦ãã / ÔããŒã ½ãò to the lender. It emanates from changes in the credit Ôãâ¼ãã̾㠹ããäÀÌã¦ãöããò Ôãñ „¦¹ã¸ã Öãñ¦ãã Öõý „£ããÀ •ããñãäŒã½ã ½ãò ‡ãŠã â›À ¹ãã›ãê quality/worthiness of the borrowers or counter parties. •ããñãäŒã½ã ‚ããõÀ ªñÍ㠕ããñãäŒã½ã Íãããä½ãÊã Ööý Credit risk includes counterparty risk and country risk. „£ããÀ Àñãä›âØ㠂ããõÀ ½ãîʾããâ‡ãŠ¶ã ¹ãÆãä‰ãŠ¾ãã Credit rating and Appraisal Process: ºãö‡ãŠ ¹ãƦ¾ãñ‡ãŠ „£ããÀ‡ãŠ¦ããà ‚ããõÀ ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ Ô¦ãÀ ¹ãÀ •ããñãäŒã½ã ‡ãñŠ ãä¶ãÀ¶¦ãÀ The Bank manages its credit risk through continuous measuring and monitoring of risks at obligor ¹ãƺããñ£ã¶ã ‚ããõÀ „Ôã‡ãñŠ ½ãã¹ã¶ã Ôãñ ‚ã¹ã¶ãñ „£ããÀ •ããñãäŒã½ã ‡ãŠã ¹ãƺãâ£ã¶ã ‡ãŠÀ¦ãã Öõý (borrower) and portfolio level. The Bank has a robust ºãö‡ãŠ ½ãò ½ã•ãºãî¦ã ‚ããâ¦ããäÀ‡ãŠ „£ããÀ Àñãä›âØã ¹ãÆñŠ½ãÌã‡ãÊ ‚ããõÀ ÔãìÔ©ãããä¹ã¦ã ½ãã¶ã‡ãŠãè‡ãðŠ¦ã internal credit rating framework and well-established „£ããÀ ½ãîʾããâ‡ãŠ¶ã / ‚ã¶ãì½ããñª¶ã ¹ãÆãä‰ãŠ¾ãã Öõý „£ããÀ Àñãä›âØ㠆‡ãŠ „¦¹ãÆñÀ‡ãŠ ¹ãÆãä‰ãŠ¾ãã standardized credit appraisal / approval process. Öõ •ããñ ºãö‡ãŠ ‡ãŠñ ¹ãÆÔ¦ããÌã ½ãò ãä¶ããäÖ¦ã Øãì¥ããò ‚ããõÀ ‚ãÌãØãì¥ããò ‡ãŠã ½ãîʾããâ‡ãŠ¶ã ‡ãŠÀ¶ãñ ½ãò Credit rating is a facilitating process that enables the bank to assess the inherent merits and demerits ÔãÖã¾ã‡ãŠ Öãñ¦ããè Öõý ¾ãÖ ãä¶ã¥ãþã Êãñ¶ãñ ½ãò ÔãÖã¾ã‡ãŠ Ôãã£ã¶ã Öõ •ããñ ãä‡ãŠÔããè „£ããÀ of a proposal. It is a decision enabling tool that

125 ¹ãÆÔ¦ããÌ㠇ãŠãè ÔÌããè‡ãŠã¾ãæãã ¹ãÀ ãäÌãÞããÀ ‡ãŠÀ¶ãñ ½ãò ºãö‡ãŠ ‡ãŠãè ÔãÖã¾ã¦ã㠇ãŠÀ¦ããè Öõý ƒÔã helps the bank to take a view on acceptability or ¹ãÆãä‰ãŠ¾ã㠇ãŠãñ ‚ããõÀ ¼ããè ‚ããä£ã‡ãŠ ‡ãŠÌãÀñ•ã ªñ¶ãñ ‚ããõÀ ̾ãã¹ã‡ãŠ ºã¶ãã¶ãñ ‡ãñŠ „ÿñ;ã Ôãñ otherwise of any credit proposal. In order to widen ºãö‡ãŠ ¶ãñ ‚ããä¦ããäÀ‡ã‹¦ã Àñãä›âØã ¹ãÆãä¦ã½ãã¶ããò ‡ãŠã „¹ã¾ããñØã Íã젇ãŠÀ ã䪾ãã Öõ •ããñ the scope and coverage further, the bank has started using additional rating models, which were developed ÔÌããäÌã‡ãŠãäÔã¦ã Ööý ƒÔã½ãò Á.5 ÊããŒã ‚ããõÀ „ÔãÔãñ ‚ããä£ã‡ãŠ ‡ãñŠ „£ããÀ Œãã¦ãñ ‡ãŠÌãÀ in-house. This will cover borrower accounts of Rs. ãä‡ãŠ¾ãñ •ãã¾ãòØãñý 5 lacs and above. Àñãä›âØã ½ããù¡Êã ¹ãõŠ‡ã‹›À Øãì¥ã㦽ã‡ãŠ ‚ããõÀ ½ãã¨ã㦽ã‡ãŠ, „²ããñØ㠕ããñãäŒã½ã, ̾ãã¹ããÀ The rating models factor quantitative and qualitative •ããñãäŒã½ã, ¹ãƺãâ£ã¶ã •ããñãäŒã½ã, ãäÌ㦦ããè¾ã •ããñãäŒã½ã, ¹ããäÀ¾ããñ•ã¶ã㠕ããñãäŒã½ã (•ãÖãú attributes relating to Risk components such as Industry Risk, Business Risk, Management Risk, Financial ‡ãŠÖãé ÊããØãî Öãñ) ‚ããõÀ ÔãìãäÌã£ã㠕ããñãäŒã½ã ‚ãããäª Ôãñ Ôãâºãâãä£ã¦ã ‚ããâ¦ããäÀ‡ãŠ Àñãä›âØ㠇ãñŠ Risk, Project risk (where applicable) and Facility Risk ‡ãŠãÀ‡ãŠ Ööý „²ããñØ㠕ããñãäŒã½ã ãäÌãÓã¾ã‡ãŠ ¾ãÖ ‚ããú‡ãŠ¡ò ºãã•ããÀ ‡ãŠãè ¹ããäÀãäÔ©ããä¦ã¾ããò ‡ãñŠ etc. The data on industry risk is regularly updated ‚ãã£ããÀ ¹ãÀ ãä¶ã¾ã½ããä¦ã ¹ã Ôãñ ‚ã²ã¦ã¶ã ãä‡ãŠ¾ãñ •ãã¦ãñ Ööý based on market conditions. †‡ãŠ £ããÀ¥ã㠇ãñŠ ¹㠽ãò „£ããÀ Àñãä›âØã ºãö‡ãŠ ‡ãñŠ ‚㶪À ‚ãޜãè ¦ãÀÖ ‚㶦ããä¶ãÃãäÖ¦ã Credit rating as a concept has been well internalized within the bank. As a measure of robust credit risk Öãñ Øã¾ãã Öõý ½ã•ãºãî¦ã „£ããÀ •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¹ãÆãä‰ãŠ¾ã㠇ãñŠ „¹ãã¾ã ‡ãñŠ ¹㠽ãò ºãö‡ãŠ management process, the bank has implemented a ¶ãñ ¨ãÉ¥ã Àñãä›âØã ¹ãÆãä‰ãŠ¾ã㠇ãŠãè ›ã¾ãÀ ¹ãÆ¥ããÊããè ‡ãŠã¾ããÃãä¶Ìã¦ã ‡ãŠãè Öõ ãä•ãÔã½ãò ãä¶ã£ããÃãäÀ¦ã tiered system for validation of credit ratings at Ô¦ãÀãò ¹ãÀ „£ããÀ Àñãä›âØ㠇ãñŠ Ìãõ£ããè‡ãŠÀ¥ã ‡ãñŠ ãäÊㆠ•ããñ „ÞÞã¦ãÀ Òãäӛ‡ãŠãñ¥ããò ‡ãŠãñ specified levels which is independent of credit ‚ã¹ã¶ãã¶ãñ ‡ãñŠ ãäÊㆠ‚ããÌã;ã‡ãŠ „£ããÀ‡ãŠ¦ããÂããò ‡ãñŠ ãäÊㆠãäºã¶ãã ãä‡ãŠÔããè ¹ãàã¹ãã¦ã ‡ãñŠ departments, in order to draw unbiased rating for Àñãä›âØ㠇ãŠÀ¶ãñ ‡ãŠãè Òãäӛ Ôãñ „£ããÀ ãäÌã¼ããØã ´ãÀã ÔÌã¦ãâ¨ã ¹ã Ôãñ ãä‡ãŠ¾ã㠕ãã¦ãã Öõý borrowers necessary for moving to advanced approaches. In respect of proposals falling under ºãö‡ãŠ ‡ãñŠ ¹ãÆ£ãã¶ã ‡ãŠã¾ããÃÊã¾ã ‡ãñŠ ‚ããä£ã‡ãŠãÀ ‡ãñŠ ‚㶪À ‚ãã¶ãñÌããÊãñ ¹ãÆÔ¦ããÌããò ‡ãñŠ ãäÊㆠpowers of Bank’s central office, the validations of Àñãä›âØ㠇ãŠã Ìãõ£ããè‡ãŠÀ¥ã •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ãäÌã¼ããØã ´ãÀã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý ºãö‡ãŠ ratings are done at Risk Management Dept. The Bank „£ããÀ Œãã¦ããò ¹ãÀ º¾ãã•ã ªÀãò ‡ãŠã ãä¶ã¥ãþ㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ„£ããÀ Àñãä›âØ㠇ãŠã ¹ãƾããñØã uses credit rating for deciding interest rates on ‡ãŠÀ¦ãã Öõý „£ããÀ Àñãä›âØ㠇ãŠã Êãã¼ã ¾ãÖ Öõ ãä‡ãŠ ƒÔãÔãñ •ããñãäŒã½ã ‡ãñŠ ‚ãã£ããÀ ¹ãÀ borrowal accounts. The advantage of credit rating ãäÌããä¼ã¸ã ¹ãÆÔ¦ããÌããò ‡ãŠã ¹ãÆÌãØããê‡ãŠÀ¥ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ‚ããõÀ ‚ã©ãùãî¥ãà ¦ãìÊã¶ã㠇ãŠãè •ãã is that it enables to rank different proposals based on risk and do meaningful comparisons. Ôã‡ãŠ¦ããè Öõý The bank follows a well-defined multi layered ºãö‡ãŠ ¨ãÉ¥ããò ‚ããõÀ ‚ããäØãƽããò ‡ãŠãè ½ãâ•ãîÀãè ‡ãñŠ ãäÊㆠ†‡ãŠ ÔãìÔ¹ãӛ ¹ããäÀ¼ãããäÓã¦ã ºãÖì discretionary power structure for sanction of loans Ô¦ãÀãè¾ã ãäÌãÌãñ‡ãŠããä£ã‡ãŠãÀ ÔãâÀÞã¶ã㠇ãŠã ‚ã¶ãìÔãÀ¥ã ‡ãŠÀ¦ãã Öõý ¶ã† / ÔãâÌããä£ãæã and advances. Approval Grid has been constituted ¹ãÆÔ¦ããÌããò ¹ãÀ ãäÌãÞããÀ ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ‚ã¹ãÌã㪠ÔÌã¹㠺ãü¡ãè ÍããŒãã‚ããò / àãñ¨ããè¾ã at all levels covering Exceptionally Large branch / RO / CO for considering fresh/enhancement proposal. ‡ãŠã¾ããÃÊã¾ããò / ‡ãñŠ¶³ãè¾ã ‡ãŠã¾ããÃÊã¾ã ½ãò Ôã¼ããè Ô¦ãÀãò ¹ãÀ ‚ã¶ãì½ããñª¶ã ãäØãÆ¡ Øãã䟦ã The new products introduced by bank are examined ãä‡ãŠ¾ãã Øã¾ãã Öõý ºãö‡ãŠ ´ãÀ㠂ããÀâ¼ã ãä‡ãŠ† Øㆠ¶ã† „¦¹ããªãò ‡ãŠñ ‚ã¶ãì½ããñª¶ã ‡ãñŠ ãäÊㆠby the internal Operational Risk Management ºããñ¡Ã ‡ãŠãñ ¹ãÆÔ¦ãì¦ã ‡ãŠÀ¶ãñ ‡ãñŠ ¹ãÖÊãñ „¶ã½ãò ãä¶ããä֦㠹ãÆãä‰ãŠ¾ãã / •ããñãäŒã½ã ‡ãñŠ ‚ãã£ããÀ Committee (ORMC), Credit Policy Committee/ Asset ¹ãÀ ½ãîʾããâ‡ãŠ¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ‚ããâ¦ããäÀ‡ãŠ ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ •ããñãäŒã½ã ¹ãƺãÆâ£ã¶ã Liability Management Committee depending upon the Ôããä½ããä¦ã / „£ããÀ ¶ããèãä¦ã Ôããä½ããä¦ã / ‚ãããäԦ㠪ñ¾ã¦ãã ¹ãƺãâ£ã¶ã Ôããä½ããä¦ã ´ãÀ㠕ããâÞ㠇ãŠÀ type of risks involved in the new product / process before being placed to Board for approval. The Êããè •ãã¦ããè Ööý †ñÔãñ ¶ã† „¦¹ããªãò ‡ãñŠ ãäÊㆠ‚ã¶ãìÔãÀ¥ã ‡ãŠãè •ãã¶ãñ ÌããÊããè ¹ã®ãä¦ã Ìã system and procedure committee (SAPCO) lays down ¹ãÆãä‰ãŠ¾ã㠇ãŠã ãä¶ã£ããÃÀ¥ã ¹ã®ãä¦ã Ìã ¹ãÆãä‰ãŠ¾ãã Ôããä½ããä¦ã (†ÔㆹããèÔããè‚ããñ) ´ãÀã ãä‡ãŠ¾ãã the system and procedure to be followed for such •ãã¦ãã Öõý new products. „£ããÀ •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¶ããèãä¦ã¾ããú Credit Risk Management Policies ºãö‡ãŠ ¶ãñ ºããñ¡Ã ´ãÀ㠂ã¶ãì½ããñã䪦ã ÔãìÔãâÀãäÞã¦ã ¨ãɥ㠶ããèãä¦ã ‚ããõÀ „£ããÀ •ããñãäŒã½ã The bank has put in place a well-structured loan policy and credit risk management policy duly ¹ãƺãâ£ã¶ã ¶ããèãä¦ã ¦ãõ¾ããÀ ‡ãŠãè Öõý ƒÔã ¶ããèãä¦ã ½ãò ÔãâØ㟶㠇ãŠãè ÔãâÀÞã¶ãã, ¼ãîãä½ã‡ãŠã ‚ããõÀ approved by Board. The policy document defines „¦¦ãÀªããä¾ã¦Ì㠂ããõÀ „¶ã ¹ãÆãä‰ãŠ¾ãã‚ããò ‡ãŠã „ÊÊãñŒã Öõ •ãÖãú ºãö‡ãŠ ´ãÀã ÌãÖ¶ã ãä‡ãŠ† organization structure, role and responsibilities and •ãã¶ãñ ÌããÊãñ ¨ãɥ㠕ããñãäŒã½ã ‡ãŠãñ ¹ãÖÞãã¶ã㠕ãã Ôã‡ãŠ¦ãã Öõ, „Ôã‡ãŠãè ½ãã¨ã㠇ãŠã processes whereby the Credit Risk carried by the ‚ã¶ãì½ãã¶ã ÊãØãã¾ã㠕ãã Ôã‡ãŠ¦ãã Öõ ‚ããõÀ ¹ãÆñŠ½ãÌã‡ãÊ ‡ãñŠ ‚ãâªÀ ¹ãƺãâ£ã¶ã ãä‡ãŠ¾ã㠕ãã Bank can be identified, quantified and managed within the framework that the Bank considers consistent Ôã‡ãŠ¦ãã Öõ ãä•ãÔãñ ºãö‡ãŠ ‚ã¹ã¶ãñ ‚ããä£ãªñÍ㠂ããõÀ •ããñãäŒã½ã Ôãֶ㠇ãŠÀ¶ãñ ‡ãŠãè àã½ã¦ã㠇ãñŠ with its mandate and risk tolerance. Credit risk is Ôãã©ã ãä¶ãÀ¶¦ãÀ •ããñãäŒã½ã ½ãã¶ã¦ãã Öõý „£ããÀ •ããñãäŒã½ã ‡ãŠã ¹ãƺããñ£ã¶ã ºãö‡ãŠ ´ãÀã monitored by the bank on a bank-wide basis and ºãö‡ãŠÌããÀ ‚ãã£ããÀ ¹ãÀ ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ‚ããõÀ ºããñ¡Ã / ‚ããÀ†½ãÔããèºããè ´ãÀ㠕ããñãäŒã½ã compliance with the risk limits approved by Board / Ôããè½ãã‚ããò ‡ãŠã ‚ã¶ãì¹ããÊã¶ã Ôãìãä¶ããäÍÞã¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý Ôããè¹ããèÔããè ºãö‡ãŠ ‡ãŠãè RMCB is ensured. The CPC takes into account the •ããñãäŒã½ã ÌãÖ¶ã àã½ã¦ã㠇ãŠãñ £¾ãã¶ã ½ãò ÀŒã‡ãŠÀ ‚ããõÀ ¦ãª¶ãìÔããÀ ÔãìÀàãã, ¦ãÀÊã¦ãã, risk tolerance level of the Bank and accordingly handles the issues relating to Safety, Liquidity, ãäÌãÌãñ‡ãŠ¹ãî¥ãà ½ãã¶ãª¥¡ãò, †‡ã‹Ôã¹ããñû•ãÀ Ôããè½ãã‚ããò Ôãñ Ôãâºãâãä£ã¦ã ½ãã½ãÊããò ‡ãŠãñ Prudential Norms and Exposure limits. Ôãâ¼ããÊã¦ãã Öõý

126 ºãö‡ãŠ ½ãò „¦‡ãðŠÓ› „£ããÀ •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ̾ãÌãÖãÀ Ô©ãããä¹ã¦ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ„¹ãã¾ã The bank has taken earnest steps to put in place ãä‡ãŠ† Ööý „£ããÀ •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¶ããèãä¦ã ¨ãɥ㠇ãñŠ ‚ããä¦ããäÀ‡ã‹¦ã ãä¶ãÌãñÍã ¶ããèãä¦ã, best credit risk management practices in the bank. In addition to Loan Policy Credit Risk Management ¹ãÆãä¦ã¹ãàããè •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¶ããèãä¦ã ‚ããõÀ ªñÍããè¾ã •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¶ããèãä¦ã ‚ãããäª Policy the bank has also framed Investment Policy, ¦ãõ¾ããÀ ‡ãŠãè Öõ •ããñ ºãö‡ãŠ ½ãò „£ããÀ •ããñãäŒã½ã ‡ãñŠ ¹ãƺããñ£ã¶ã ‡ãŠã ‚ããâ¦ããäÀ‡ãŠ ¼ããØã Öõý Counter Party Risk Management Policy and Country ƒÔã‡ãñŠ ‚ããä¦ããäÀ‡ã‹¦ã ºãö‡ãŠ ¶ãñ Ôãâ¹ãããäÍÌãÇ㊠¹ãƺãâ£ã¶ã ‚ããõÀ „£ããÀ •ããñãäŒã½ã ‡ãŠ½ã ‡ãŠÀ¶ãñ Risk Management Policy etc., which forms integral ‡ãŠãè ¶ããèãä¦ã ¼ããè ‡ãŠã¾ããÃãä¶Ìã¦ã ‡ãŠãè ØãƒÃ Öõ •ããñ ºãö‡ãŠ ´ãÀã Ôãã½ã㶾ã¦ã: ÔÌããè‡ãŠãÀ ‡ãŠãè part of monitoring of credit risk in the bank. Besides, the bank has implemented a policy on collateral •ãã¶ãñ ÌããÊããè ¹ãÆãä¦ã¼ãîãä¦ã¾ããò (¹ãÆ£ãã¶ã ‚ããõÀ Ôãâ¹ãããäÍÌãÇãŠ) ‡ãñŠ ãäÌãÌãÀ¥ã ‚ããõÀ ºãö‡ãŠ ‡ãñŠ management and credit risk mitigation which lays ãä֦㠇ãŠãè Ààã㠇ãñŠ ãäÊㆠ†ñÔããè ¹ãÆãä¦ã¼ãîãä¦ã¾ããò ‡ãñŠ ¹ãÆÍããÔã¶ã ‡ãñŠ ãäÌãÌãÀ¥ã ãä¶ã£ããÃãäÀ¦ã down the details of securities (both prime and ‡ãŠÀ¦ããè Öõý ¾ãñ ¹ãÆãä¦ã¼ãîãä¦ã¾ãã⠄¶ã „£ããÀ •ããñãäŒã½ããò ‡ãŠãñ ‡ãŠ½ã ‡ãŠÀ¦ããè Öö •ããñ ºãö‡ãŠ ‡ãŠãñ collateral) normally accepted by the Bank and administration of such securities to protect the interest Ìãֶ㠇ãŠÀ¶ãã ¹ãü¡ Ôã‡ãŠ¦ãã Öõý of the bank. These securities act as mitigation against credit risk to which the bank is exposed. „£ããÀ ãä¶ãØãÀã¶ããè / ¨ãɥ㠹ãì¶ãÀãèàã¥ã / ¨ãÉ¥ã ÊãñŒãã ¹ãÀãèàã㠄£ããÀ ¹ãƺããñ£ã¶ã ãäÌã¼ããØã ¨ãɥ㠹ããñ›Ã¹ãŠãñãäÊã¾ããñ ‡ãŠãè Øãì¥ãÌ㦦ã㠇ãŠãè ãä¶ãØãÀã¶ããè ‡ãŠÀ¦ãã Credit Monitoring/Loan Review/Credit Audit The Credit Monitoring Department monitors the quality Öõ, Ôã½ãÔ¾ãã‚ããò ‡ãŠãè ¹ãÖÞãã¶ã ‡ãŠÀ¦ãã Öõ ‚ããõÀ ‡ãŠãä½ã¾ããò ‡ãŠãñ Ôãì£ããÀ¶ãñ ‡ãñŠ ãäÊㆠof loan portfolio, identifies problems and takes steps ‚ããÌã;ã‡ãŠ ‡ãŠª½ã „Ÿã¦ãã ÖõýãäÌã¼ããØ㠇ãŠã „ÿñ;ã Öõ ãä¹ãŠÔãÊã¶ã ½ãò ‡ãŠ½ããè ‡ãŠÀ¶ãã to correct deficiencies. The objective of the ¦ãããä‡ãŠ ãä¶ãÓ¹ã㪇㊠Œãã¦ããò ‡ãŠãñ ‚ã¶ã•ãÇ㊠Œãã¦ãñ ½ãò ºãªÊã¶ãñ Ôãñ Àãñ‡ãŠã •ãã Ôã‡ãñŠ ý department is to minimize slippage of performing ãäÌã¼ããØã ´ãÀã ÔãñØã½ãò›ñÍã¶ã ´ãÀ㠌ãã¦ããò ‡ãŠãè Ôãîà½ã ãä¶ãØãÀã¶ããè ‡ãŠãè •ãã¦ããè Öõ ‚ããõÀ accounts to NPA category. The department is also micro monitoring the accounts by segmentation and Œãã¦ããò ‡ãŠã ªõãä¶ã‡ãŠ ‚ãã£ããÀ ¹ãÀ ‚ã¶ãìÌã¦ãöã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ¦ãããä‡ãŠ ãä¹ãŠÔãÊã¶ã ‡ãŠãñ follow up the accounts on a daily basis to minimize ‡ãŠ½ã ãä‡ãŠ¾ã㠕ãã Ôã‡ãñŠ ý slippages. Á. 1 ‡ãŠÀãñü¡ ‚ããõÀ „ÔãÔãñ ‚ããä£ã‡ãŠ ‡ãñŠ ãä¶ããä£ã ‚ãã£ãããäÀ¦ã Ôããè½ãã‚ããò ÌããÊãñ Ôã¼ããè All the borrowal accounts with fund based limit of Rs. 1 crore and above are reviewed under Loan „£ããÀ Œãã¦ãñ ¨ãɥ㠹ãì¶ãÀãèàãã ¦ãâ¨ã ‡ãñŠ ¦ã֦㠹ãì¶ãÀãèãäàã¦ã ãä‡ãŠ† •ãã¦ãñ Öö •ããñ ‚ã¶ãÌãã¾ãæã: Review Mechanism, which is essentially an off-site †‡ãŠ ‚ããù¹ãŠ Ôãホ ÊãñŒãã ¹ãÀãèàãã ¦ãâ¨ã Öõ ý „£ããÀ ÊãñŒãã ¹ãÀãèàãã ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà audit mechanism. The credit audit is carried out in ºãö‡ãŠ ‚ããõÀ Ö½ããÀñ ºãö‡ãŠ ‡ãŠãè „£ããÀ •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¶ããèãä¦ã ´ãÀ㠕ããÀãè „£ããÀ terms of Guidance Note on Credit Risk issued by •ããñãäŒã½ã ¹ãÀ ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ý Reserve Bank of India and the Credit Risk Management Policy of the Bank. „£ããÀ ÊãñŒãã ¹ãÀãèàãã Ôãñ ºãö‡ãŠ ‡ãŠãñ „£ããÀ Œãã¦ããò ½ãò ÁØ¥ã¦ãã / ‡ãŠ½ã•ããñÀãè ‡ãñŠ The credit audit exercise has helped the bank to ¹ãÆãÀâãä¼ã‡ãŠ Þãñ¦ããÌã¶ããè -Ôãâ‡ãñŠ¦ã ‚ããõÀ „¶ã‡ãŠãè ‡ãŠãä½ã¾ããò ‡ãŠãè ¹ãÖÞãã¶ã ‡ãŠÀ¶ãñ ½ãò ½ãªª identify deficiencies and early warning signals of ‡ãŠÀ¦ãã Öõý ‚ããä¶ãÌãã¾ãæã: ¾ãÖ ‚ããäØãƽããò ‡ãŠãè Øãì¥ãÌ㦦ãã ½ãò ãäØãÀãÌ㛠‡ãŠãñ Àãñ‡ãŠ¶ãñ ¦ã©ãã sickness/weakness in borrowal accounts. Essentially this is an onsite audit mechanism to ƒÔã ¹ãƇãŠãÀ ºãö‡ãŠ ‡ãñŠ ãäÖ¦ããò ‡ãŠãè Ààã㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ†‡ãŠ ‚ããù¶ã Ôãホ ¹ãÆ¥ããÊããè Öõý prevent deterioration in the quality of advances thereby protecting the interest of the bank. ‚ã¶ã•ãÇ㊠Œãã¦ããò ‡ãŠã ÌãØããê‡ãŠÀ¥ã Classification of non-performing accounts: ºãö‡ãŠ ‚ã¶ã•ãÇ㊠‚ãããäÔ¦ã¾ããò ‡ãñŠ ÌãØããê‡ãŠÀ¥ã ‡ãñŠ ãäÊㆠÔã½ã¾ã Ôã½ã¾ã ¹ãÀ ¼ããÀ¦ããè¾ã The bank follows the prudential guidelines issued ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀ㠕ããÀãè ãä‡ãŠ† ØㆠãäÌãÌãñ‡ãŠ¹ãî¥ãà ãäªÍãããä¶ãªóÍããò ‡ãŠã ¹ããÊã¶ã ‡ãŠÀ¦ãã by RBI on classification of non-performing assets from Öõ ‚ããõÀ Ôã½ã¾ã Ôã½ã¾ã ¹ãÀ ‚ããÌã;ã‡ãŠ¦ãã¶ãìÔããÀ ¹ãÆãÌã£ãã¶ã ‡ãŠÀ¦ãã Öõ : time to time and makes provisions as required.

127 „£ããÀ Œãã¦ããò ‡ãŠãè ¹ãì¶ãÔãÄÀÞã¶ãã Restructuring of borrower accounts The bank has followed RBI guidelines in respect of ¹ãì¶ãÔãÄÀãäÞã¦ã Œãã¦ããò ‡ãñŠ ÌãØããê‡ãŠÀ¥ã ‡ãñŠ Ôãâºãâ£ã ½ãò ºãö‡ãŠ ¶ãñ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ classification of re-structured accounts and makes ãäªÍãããä¶ãªóÍããò ‡ãŠã ‚ã¶ãìÔãÀ¥ã ãä‡ãŠ¾ãã Öõ ‚ããõÀ ¹ãÆãÌã£ãã¶ã ãä‡ãŠ¾ãã Öõý provisions as required. ( Á. ‡ãŠÀãñü¡ãñò ½ãò ) Rs. in Crores ½ãã¨ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã Ö½ããÀñ ºãö‡ãŠ ¹ãÀ ¹ãƾããñ•¾ã¦ãã Quantitative Disclosures Applicability to our Bank ‡ãŠ) ‡ãìŠÊã Ôã‡ãŠÊ㠄£ããÀ •ããñãäŒã½ã †‡ã‹Ôã¹ããñû•ãÀ, ãä¶ããä£ã ãä¶ããä£ã ‚ãã£ãããäÀ¦ã 80782.48 a) Total gross credit risk exposures, Fund FB 80782.48 ‚ãã£ãããäÀ¦ã ‚ããõÀ ØãõÀ ãä¶ããä£ã ‚ãã£ãããäÀ¦ã ¹ãð©ã‡ãŠ-¹ãð©ã‡ãŠ ØãõÀ ãä¶ããä£ã ‚ãã£ãããäÀ¦ã 16739.97 based and Non fund based separately NFB 16739.97 Œã) ¹ãƇ㊛ãè‡ãŠÀ¥ã ‡ãŠã ¼ããõØããñãäÊã‡ãŠ ãäÌã¦ãÀ¥ã, ãä¶ããä£ã ‚ãã£ãããäÀ¦ã ãä¶ããä£ã ‚ãã£ãããäÀ¦ã ØãõÀ ãä¶ããä£ã ‚ãã£ãããäÀ¦ã b) Geographic distribution of exposures, Fund based and Non fund based FB NFB ‚ããõÀ ØãõÀ ãä¶ããä£ã ‚ãã£ãããäÀ¦ã ¹ãð©ã‡ãŠ-¹ãð©ã‡ãŠ separately 73025.81 15363.06 l ãäÌãªñÍããè l Domestic 73025.81 15363.06 7759.67 1376.91 7759.67 1376.91 l ªñÍããè¾ã l Overseas Øã) „£ããÀ •ããñãäŒã½ã ‡ãŠã ‚ããõ²ããñãäØã‡ãŠ ¹ãƇãŠãÀ ‡ãŠã ãäÌã¦ãÀ¥ã, ãä¶ããä£ã ‚ãã£ãããäÀ¦ã c) Industry type distribution of exposures, ‚ããõÀ ØãõÀ-ãä¶ããä£ã ‚ãã£ãããäÀ¦ã ‚ãÊãØã-‚ãÊãØ㠂ã¶ãìºãâãä£ã¦ã fund based and non fund based separately. Annexed Üã) ‚ãããäÔ¦ã¾ããò ‡ãŠã ‚ãÌããäÍãӛ ÔãâãäÌãªãØã¦ã ¹ããäÀ¹ã‡ã‹Ìã¦ãã ºãÆñ‡ãŠ¡ã„¶ã ‚ã¶ãìºãâãä£ã¦ã d) Residual contractual maturity breakdown of assets Annexed Þã) †¶ã¹ããè† (Ôã‡ãŠÊã) ‡ãŠãè ÀããäÍã e) Amount of NPAs (Gross) l ‚ãÌã½ãã¶ã‡ãŠ 1265.48 l Substandard 1265.48 2246.84 2246.84 l ÔãâãäªØ£ã (¡ãè1,¡ãè2,¡ãè3) l Doubtful (D1,D2,D3) 98.76 l Öããä¶ã 98.76 l Loss œ) ãä¶ãÌãÊ㠆¶ã¹ããè† 1994.97 f) Net NPAs 1994.97 •ã) †¶ã¹ããè† ‚ã¶ãì¹ãã¦ã g) NPA Ratios 4.47 % l Ôã‡ãŠÊ㠂ããäØãƽ㠇ãñŠ ¹ãÆãä¦ã Ôã‡ãŠÊ㠆¶ã¹ããè† 4.47% l Gross NPAs to gross advances 2.52 % l ãä¶ãÌãÊ㠂ããäØãƽ㠇ãñŠ ¹ãÆãä¦ã ãä¶ãÌãÊ㠆¶ã¹ããè† 2.52% l Net NPAs to net advances ƒã) †¶ã¹ããè† ‡ãŠã ¹ãÆÞãÊã¶ã (Ôã‡ãŠÊã) h) Movement of NPAs (Gross) 1923.41 l ¹ãÆãÀâãä¼ã‡ãŠ ÍãñÓã 1923.41 l Opening balance 3126.83 l •ããñü¡ 3126.83 l Additions 1439.16 l Üã›ãÌã 1439.16 l Reductions 3611.08 l ‚ãã䶦ã½ã ÍãñÓã 3611.08 l Closing balance ›) †¶ã¹ããè† ‡ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ããò ‡ãŠã ¹ãÆÞãÊã¶ã i) Movement of provisions for NPAs Opening balance 752.04 l ¹ãÆãÀâãä¼ã‡ãŠ ÍãñÓã 752.04 l Provisions made during the period 1183.66 l ‚ãÌããä£ã ‡ãñŠ ªãõÀã¶ã ãä‡ãŠ† Øㆠ¹ãÆãÌã£ãã¶ã 1183.66 l

l Write off 571.91 l ºã›á›ñ Œãã¦ãñ ½ãò ¡ãÊãã Øã¾ãã 571.91

l Write back of excess provisions - l ‚ããä¦ããäÀ‡ã‹¦ã ¹ãÆãÌã£ãã¶ããò ‡ãŠã ¹ãÆãä¦ãÊãñŒã¶ã -

l Closing balance 1363.79 l ‚ãã䶦ã½ã ÍãñÓã 1363.79 Ÿ) ‚ã¶ã•ãÇ㊠ãä¶ãÌãñÍããò ‡ãŠãè ÀããäÍã 4.11 j) Amount of Non-Performing Investments 4.11 ¡) ‚ã¶ã•ãÇ㊠ãä¶ãÌãñÍããò ‡ãñŠ ãäÊㆠãä‡ãŠ† Øㆠ¹ãÆãÌã£ãã¶ããò ‡ãŠãè k) Amount of provisions held for non- performing investments 4.11 ÀããäÍã 4.11 l) Movement of provisions for depreciation ü¤) ãä¶ãÌãñÍããò ¹ãÀ ½ãîʾã ÖÆãÔ㠇ãñŠ ãäÊㆠ¹ãÆãÌã£ãã¶ã ‡ãŠã „¦ããÀ- on investments Þãü¤ãÌã l Opening Balance 342.82 l ¹ãÆãÀâãä¼ã‡ãŠ ÍãñÓã 342.82 l Provisions made during the period 141.08 l ‚ãÌããä£ã ‡ãñŠ ªãõÀã¶ã ãä‡ãŠ† Øㆠ¹ãÆãÌã£ãã¶ã 141.08 l Write-off 0.00 l ºã›á›ñ Œãã¦ãñ ½ãò ¡ãÊãã Øã¾ãã 0.00 l Write-back of excess provisions 249.33 l ‚ããâ¦ããäÀ‡ãŠ ¹ãÆãÌã£ãã¶ããò ‡ãŠã ¹ãÆãä¦ãÊãñŒã¶ã 249.33 l Closing Balance 234.57 l ‚ãã䶦ã½ã ÍãñÓã 234.57

128 ‚ãããäÔ¦ã¾ããò ‡ãŠã ‚ãÌããäÍãӛ ÔãâãäÌãªãØã¦ã ¹ããäÀ¹ã‡ã‹Ìã¦ãã ºãÆñ‡ãŠ¡ã„¶ã Residual contractual Maturity break down of Assets (Á.‡ãŠÀãñü¡ãò ½ãò) (Rs. In crores) ã䪶ã 1 2-7 ãäª 8-14 ãäª 15-28 29ãäª - 3-6 ½ã 6½ã - 1 >1 Ôãñ > 3 Ôãñ > 5 ÌãÓãà Day 1 2-7 D 8-14 D 15-28D 29D-3M 3-6M 6M-1 >1 to 3 >3 to 5 >5 years ãäª 3 ½ã ÌãÓãà 3 ÌãÓãà 5 ÌãÓãà Year Years years

4224.27 6844.10 7324.65 2263.97 7795.39 9763.13 13317.47 42139.68 10376.94 77222.11 4224.27 6844.10 7324.65 2263.97 7795.39 9763.13 13317.47 42139.6810376.94 77222.11 ªñÍããè¾ã ¹ããäÀÞããÊã¶ã ‡ãñŠ ãäÊㆠÔã‡ãŠÊ㠂ãããäÔ¦ã¾ããò ‡ãŠãè ‡ãŠÌãÀñ•ã Covers Gross Assets for domestic operations „²ããñØãÌããÀ ¨ãɥ㠹ãƇ㊛ãè‡ãŠÀ¥ã INDUSTRY WISE EXPOSURES (Á.‡ãŠÀãñü¡ãò ½ãò) (Rs. In Crore) „²ããñØ㠇ãŠã ¶ãã½ã ºã‡ãŠã¾ãã Industry Name Outstanding ‡ãŠãñ¾ãÊãã 106.58 Coal 106.58 Œãã¶ã 469.19 Mining 469.19 Iron and Steel 4452.25 ÊããõÖ ‚ããõÀ ƒÔ¹ãã¦ã 4452.25 Other Metal and Metal Products 886.35 ‚㶾㠣ãã¦ãì Ìã £ãã¦ãì „¦¹ã㪠886.35 All Engineering 2295.28 Ôã¼ããè ƒ¶•ããèãä¶ã¾ããäÀâØã 2295.28 Of which Electronics 79.33 „Ôã½ãò Ôãñ ƒÊãñ‡ã‹›Èããä¶ã‡ã‹Ôã 79.33 Electricity 208.77 ƒÊãñãä‡ã‹›ÈãèãäÔã›ãè 208.77 Cotton Textiles 2915.07 Ôãî¦ããè ÌãԨ㠄²ããñØã 2915.07 Jute Textiles 19.91 •ãî› ÌãԨ㠄²ããñØã 19.91 Other Textiles 1302.20 ‚㶾ã ÌãԨ㠄²ããñØã 1302.20 Sugar 777.32 Þããè¶ããè 777.32 Tea 19.93 Þãã¾ã 19.93 Food Processing 331.04 Œãã²ã ÔãâÔãã£ã¶ã 331.04 Vegetable Oils and Vanaspati 139.03 Ìã¶ãÔ¹ããä¦ã ¦ãñÊ㠂ããõÀ Ìã¶ãÔ¹ããä¦ã 139.03 Tobacco and Tobacco Products 41.59 ¦ã½ºãã‡ãîŠ ‚ããõÀ ¦ã½ºãã‡ãîŠ „¦¹ã㪠41.59 Paper and Paper Products 1080.96 ‡ãŠãØã•ã ‚ããõÀ ‡ãŠãØã•ã „¦¹ã㪠1080.96 Rubber and Rubber Products 466.89 Àºãü¡ ‚ããõÀ Àºãü¡ „¦¹ã㪠466.89 Chemicals, Dyes, Paints, etc. 1658.14 ÀÔãã¾ã¶ã, ¡ãƒ, ¹ãñ¶›Ô㠂ãããäª 1658.14 Of which Fertilisers 24.94 „¶ã½ãò Ôãñ „ÌãÀÇ㊠24.94 Of which Petro-Chemicals 6.13 „¶ã½ãò Ôãñ ¹ãñ›Èãñ ÀÔãã¾ã¶ã 6.13 Of which Drugs and Pharmaceuticals 100.25 „¶ã½ãò Ôãñ ‚ããõÓããä£ã ‚ããõÀ ¹ãŠã½ããÃÔ¾ãìã䛇ãŠÊã 100.25 Cement 679.10 Ôããè½ãò› 679.10 Leather and Leather Products 209.92 Þã½ãü¡ã ‚ããõÀ Þã½ãü¡ã „²ããñØã 209.92 Gems and Jewellery 286.84 ºãÖì½ãîʾã À¦¶ã Ì㠂ãã¼ãîÓã¥ã 286.84 Construction 1963.44 ãä¶ã½ããÃ¥ã 1963.44 Petroleum 521.99 ¹ãñ›ÈãñãäÊã¾ã½ã 521.99 Automobiles including trucks 901.44 ‚ããù›ãñ½ããñºããƒÊã ãä•ãÔã½ãò ›È‡ãŠ ¼ããè Íãããä½ãÊã Öõ 901.44 Computer Software 162.19 ‡ãŠ½¹¾ãî›À Ôããùû¹ã‹›Ìãñ¾ãÀ 162.19 Infrastructure 9688.44 ƒ¶¹ãƊãԛȇã‹ÞãÀ 9688.44 Of which Power 1157.67 „¶ã½ãò Ôãñ Íããä‡ã‹¦ã 1157.67 Of which Telecommunications 1373.27 „¶ã½ãò Ôãñ ªîÀ ÔãâÞããÀ 1373.27 Of which Roads & Ports 1293.72 „¶ã½ãò Ôãñ Àãñ¡ ‚ããõÀ ¹ããñ¦ã 1293.72 Other Industries 4992.24 ‚㶾㠄²ããñØã 4992.24 NBFCs & Trading 1727.84 †¶ãºãã膹ãŠÔããè†Ô㠂ããõÀ ̾ãã¹ããÀ 1727.84 Residual Advances to ÍãñÓã Ôã‡ãŠÊ㠂ããäØãƽããò ‡ãñŠ ¹ãÆãä¦ã ‚ãÌããäÍãӛ ‚ããäØãƽããò 42478.53 Balance Gross Advances 42478.53 ‡ãìŠÊã 80782.48 TOTAL 80782.48

129 ¦ãããäÊã‡ãŠã ¡ãè †¹ãŠ-5 Table DF-5 „£ããÀ •ããñãäŒã½ã: ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã ‡ãŠãè Íã¦ãà ¹ãÀ ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ ‡ãñŠ CREDIT RISK: DISCLOSURES FOR PORTFOLIOS ãäÊㆠ¹ãƇ㊛ãè‡ãŠÀ¥ã SUBJECT TO THE STANDARDISED APPROACH Øãì¥ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã: Qualitative disclosures: „£ããÀ •ããñãäŒã½ã : ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã ‡ãŠãè Íã¦ãà ¹ãÀ ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ Credit Risk: Disclosures for portfolios subject ‡ãñŠ ãäÊㆠ¹ãƇ㊛ãè‡ãŠÀ¥ã to Standardised Approach: Ôãã½ã㶾ã ãäÔã®ã¶¦ã General Principle: ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ºãõâ‡ãŠ ¶ãñ „£ããÀ •ããñãäŒã½ã ‡ãñŠ In accordance with the RBI guidelines, the Bank has ãäÊㆠ¹ãîâ•ããè ‡ãñŠ ¹ããäÀ‡ãŠÊã¶ã Öñ¦ãì ¶ãƒÃ ¹ãîâ•ããè ¹ã¾ããù¦ã¦ãã ¹ãÆñŠ½ãÌã‡ãÊ (†¶ãÔãã膆¹ãŠ) ‡ãñŠ adopted Standardised Approach of the New Capital ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã ‡ãŠãñ ‚ã¹ã¶ãã ãäÊã¾ãã Öõý ¹ãîú•ããè ‡ãñŠ ¹ããäÀ‡ãŠÊã¶ã ½ãò ºãõâ‡ãŠ ¶ãñ Adequacy Framework (NCAF) for computation of capital for credit risk. In computation of capital the ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀã ãä¶ã£ããÃãäÀ¦ã ‚ã¶ãìÔããÀ •ããñãäŒã½ã ¼ããÀãò ‡ãŠãñ ãäÌããä¼ã¸ã bank has assigned risk weight to different asset ‚ãããäԦ㠹ãÆÌãØããô ½ãò ‚ããºãâã䛦㠇ãŠÀ ã䪾ãã Öõý classes as prescribed by the RBI. ºããÖÀãè „£ããÀ Àñãä›âØã External Credit Ratings: Ratings of borrowers by External Credit Rating Agencies ¶ãƒÃ ¹ãîâ•ããè ¹ã¾ããù¦ã¦ãã ¹ãÆñŠ½ãÌã‡ãÊ (ºãñÔãÊã II) ‡ãñŠ ‡ãŠã¾ããöÌã¾ã¶ã ‡ãñŠ ãäÊㆠãäªÍãããä¶ãªóÍããò (ECRA) assumes importance in the light of Guidelines ‡ãŠãñ ªñŒã¦ãñ Öì† ºããÖÀãè „£ããÀ Àñãä›âØ㠆•ãñãä¶Ôã¾ããò (ƒÃÔããè‚ããÀ†) ´ãÀ㠄£ããÀ‡ãŠ¦ããÂããò for implementation of the New Capital Adequacy ‡ãŠãè Àñãä›âØ㠇ãŠã ½ãÖ¦Ìã ºãü¤ Øã¾ãã Öõý ºããÖÀãè Àñãä›âØ㠇ãñŠ ‚ãã£ããÀ ¹ãÀ ‡ãŠã¹ããóÀñ› / Framework (Basel-II). Exposures on Corporates / PSEs/ ¹ããè†ÔãƒÃ / ¹ãÆヽãÀãè ¡ãèÊãÀãò ‡ãŠãñ †‡ã‹Ôã¹ããñû•ãÀ ‡ãŠãñ •ããñãäŒã½ã ¼ããÀ ‚ããºãâã䛦ã ãä‡ãŠ¾ãã Primary Dealers are assigned with risk weights based Øã¾ãã Öõý ƒÔã‡ãñŠ ãäÊㆠ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ¶ãñ ºãö‡ãŠãò ‡ãŠãñ ÞããÀ ªñÍããè¾ã ƒÃÔããè‚ããÀ† on external ratings. For this purpose, the Reserve Bank •ãõÔãñ „£ããÀ ãäÌãÍÊãñÓã¥ã †Ìãâ ãäÀÔãÞãà ãäÊã., ãä‰ãŠãäÔãÊã ãäÊã., ãä¹ãŠÞ㠃âã䡾ã㠂ããõÀ of India has permitted Banks to use the ratings of the four domestic ECRAs viz. Credit Analysis and Research ‚ããƒÔããè‚ããÀ† ãäÊã., ‡ãŠãè Àñãä›âØ㠇ãŠã ¹ãƾããñØ㠇ãŠÀ¶ãñ ‡ãŠãè ‚ã¶ãì½ããä¦ã ªãè Öõý Ltd, CRISIL Ltd, FITCH India and ICRA Ltd.

„¹ã¾ãìÇ㋦ã ãäªÍãããä¶ãªóÍããò ‡ãŠãñ £¾ãã¶ã ½ãò ÀŒã¦ãñ Öì† ºãö‡ãŠ ¶ãñ ƒ¶ã Ôã¼ããè ºããÖÀãè „£ããÀ In consideration of the above, the Bank has decided Àñãä›âØ㠆•ãñãä¶Ôã¾ããò (ƒÃ Ôããè ‚ããÀ † )´ãÀ㠂ããºãâã䛦ã Àñãä›âØ㠇ãŠãñ ÔÌããè‡ãŠãÀ ‡ãŠÀ¶ãñ to accept the ratings assigned by all these ECRAs. ‡ãŠã ãä¶ã¥ãþã ãä‡ãŠ¾ãã Öõý In order to facilitate the process of external rating ºããÖÀãè Àñãä›âØ㠇ãŠãè ¹ãÆãä‰ãŠ¾ãã ½ãò ¦ãñ•ããè Êãã¶ãñ ‚ããõÀ ØãÆãևãŠãò ‡ãŠãñ ‚ã¹ã¶ãñ †‡ã‹Ôã¹ããñû•ãÀ and enabling the customers to solicit external ratings for their exposure smoothly, the bank has taken the ‡ãñŠ ãäÊㆠÔãÀÊã¦ãã Ôãñ ºããÖÀãè Àñãä›âØã ¹ãÆ㹦㠇ãŠÀ¶ãñ ½ãò ÔãÖã¾ã¦ãã ¹ãƪã¶ã ‡ãŠÀ¶ãñ ‡ãŠãè initiative by entering into separate MOU with all these Òãäӛ Ôãñ ºãö‡ãŠ ¶ãñ ƒ¶ã ÞããÀãò „£ããÀ Àñãä›âØ㠆•ãñãä¶Ôã¾ããò ‡ãñŠ Ôãã©ã ‚ãÊãØã Ôã½ã¢ããõ¦ãã four credit rating agencies. The agreement provides —ãã¹ã¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ‡ãŠãÀÃÌããƒÃ ‡ãŠãè Öõý ƒÔ㠇ãŠÀãÀ Ôãñ ºããÖÀãè „£ããÀ Àñãä›âØã for extending concessional fees by the ECRAs for †•ãñãä¶Ôã¾ããò ´ãÀã ºãö‡ãŠ ‡ãñŠ ØãÆãևãŠãò ‡ãŠãè Àñãä›âØ㠇ãñŠ ãäÊㆠãäÀ¾ãã¾ã¦ããè Íãìʇ㊠¹ãƪã¶ã rating bank’s customers. The MOUs do not have ãä‡ãŠ¾ã㠕ãã¦ãã ÖõýºãÖÀÖãÊã Ôã½ã¢ããõ¦ã㠗ãã¹ã¶ã ½ãò †ñÔã㠇ãŠãñƒÃ ãäÌãÍãñÓããè‡ãŠÀ¥ã „¹ãºãâ£ã any exclusivity clause to deal with. Borrowers at ¶ãÖãé Öõý „£ããÀ‡ãŠ¦ããà ‚ã¹ã¶ãñ ãäÌãÞããÀ Ôãñ ƒ¶ã ÞããÀãò †•ãñãä¶Ôã¾ããò ½ãò Ôãñ ãä‡ãŠÔããè †‡ãŠ their option can approach any one or more of the ¾ã㠂ããä£ã‡ãŠ Ôãñ ‚ã¹ã¶ãñ †‡ã‹Ôã¹ããñû•ãÀ ‡ãŠãè Àñãä›âØ㠇ãñŠ ãäÊㆠ‡ãŠÖ Ôã‡ãŠ¦ãñ Ööý ºãö‡ãŠ ¶ãñ above ECRAs for their rating. The Bank has only used the solicited ratings assigned by any of the ºããÖÀãè „£ããÀ Àñãä›âØ㠆•ãñ¶Ôããè ´ãÀ㠂ããºãâã䛦ã ãä‡ãŠÔããè ¼ããè †•ãñ¶Ôããè ´ãÀã ãä¶ã£ããÃãäÀ¦ã ECRAs. External ratings assigned fresh or reviewed Àñãä›âØ㠇ãŠã ¹ãƾããñØã ãä‡ãŠ¾ãã Öõý ãä¹ãœÊãñ 15 ½ãÖãè¶ããò ‡ãñŠ ªãõÀã¶ã ªãè ØãƒÃ ¶ãƒÃ ¾ãã during the previous 15 months are reckoned for ¹ãì¶ãÀãèãäàã¦ã Àñãä›âØ㠇ãŠãñ Öãè ºãö‡ãŠ ´ãÀã ¹ãîâ•ããè ‡ãñŠ ‚ããä¼ã‡ãŠÊã¶ã ‡ãñŠ ãäÊㆠãäÖÔããºã ½ãò capital computation by the bank. Wherever a ãäÊã¾ã㠕ãã¦ãã Öõý •ãÖã⠇ãŠÖãé ãä‡ãŠÔããè „£ããÀ‡ãŠ¦ããà ‡ãŠãñ ºããÖÀãè „£ããÀ Àñãä›âØ㠆•ãñ¶Ôããè borrower possesses more than one rating from ECRAs Ôãñ †‡ãŠ ¾ã㠂ããä£ã‡ãŠ Àñãä›âØã ãä½ãÊããè Öõ, ÌãÖãâ ¹ãîâ•ããè ‡ãñŠ ‚ããä¼ã‡ãŠÊã¶ã ‡ãñŠ ãäÊㆠthe guidelines prescribed by the RBI are followed •ããñãäŒã½ã ¼ããÀ ‡ãñŠ ‚ããºã⛶㠇ãñŠ Ôãâºãâ£ã ½ãò ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãä¶ã£ããÃãäÀ¦ã as regards to assignment of risk weight for ãäªÍãããä¶ãªóÍããò ‡ãŠã ‚ã¶ãìÔãÀ¥ã ãä‡ãŠ¾ã㠕ãã¶ãã Öõý computation of capital. The bank has a well structured internal credit rating ãä‡ãŠÔããè „£ããÀ‡ãŠ¦ããà Ôãñ •ãìü¡ãè ÖìƒÃ „£ããÀ •ããñãäŒã½ã ‡ãŠã ½ãîʾããâ‡ãŠ¶ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠmechanism to evaluate the credit risk associated with ºãö‡ãŠ ½ãò ÔãìÔãâÀãäÞã¦ã ‚ã㶦ããäÀ‡ãŠ „£ããÀ Àñãä›âØã ¹ãÆ¥ããÊããè Öõ ‚ããõÀ ¦ãª¶ãìÔããÀ ¹ãÆÔ¦ããÌããò a borrower and accordingly the systems are in place for taking credit decision as regards the acceptability

130 ‡ãŠãè ÔÌããè‡ãŠã¾ãæã㠂ããõÀ †‡ã‹Ôã¹ããñû•ãÀ ‡ãŠã Ô¦ãÀ ¦ã©ã㠇ãŠãè½ã¦ã ãä¶ã£ããÃÀ¥ã ‡ãñŠ Ôãâºãâ£ã ½ãò of proposals and level of exposures and pricing. „£ããÀ ãä¶ã¥ãþã Êãñ¶ãñ ‡ãñŠ ãäÊㆠ¼ããè ¹ãÆ¥ããÊããè Öõý ºãÖÀÖãÊã, ¹ãîâ•ããè ¹ããäÀ‡ãŠÊã¶ã ‡ãñŠ However, such rating cannot be used for application ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã ‡ãñŠ ¦ã֦㠕ããñãäŒã½ã ¼ããÀ ‡ãñŠ ‚ã¶ãì¹ãƾããñØ㠇ãñŠ ãäÊㆠƒÔã of risk weight under Standardised Approach of capital ¹ãƇãŠãÀ ‡ãŠãè Àñãä›âØ㠇ãŠã ¹ãƾããñØã ¶ãÖãé ãä‡ãŠ¾ã㠕ãã Ôã‡ãŠ¦ããý ¦ãª¶ãìÔããÀ ºãö‡ãŠ ¶ãñ, 31- computation. Accordingly the bank has taken into consideration the borrower’s loan exposure credit 03-2010 ¦ã‡ãŠ „£ããÀ •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ¹ãîâ•ããè ‡ãŠã ¹ããäÀ‡ãŠÊã¶ã ‡ãŠÀ¦ãñ Ôã½ã¾ã, ratings assigned by the approved ECRAs while ºãö‡ãŠ ‡ãŠãè ‚ã¶ãì½ããñã䪦㠺ããÖÀãè „£ããÀ Àñãä›âØ㠆•ãñãä¶Ôã¾ããò ´ãÀ㠂ããºãâã䛦㠄£ããÀ‡ãŠ¦ããà computing the capital for credit risk as on 31.03.2010 ‡ãŠãè ¨ãɥ㠆‡ã‹Ôã¹ããñû•ãÀ Àñãä›âØ㠇ãŠãñ ‡ãŠã¹ããóÀñ› ‚ããõÀ ¹ããè†ÔãƒÃ ‡ãñŠ ¦ãÖ¦ã ãäÊã¾ãã Öõý under corporate and PSE segments ‡ãŠã¹ããóÀñ› / ¹ããè†ÔãƒÃ ‡ãñŠ ãäÌãÍãñÓã ãä¶ãØãýããò ½ãò ºãö‡ãŠ ‡ãñŠ ãä¶ãÌãñÍ㠇ãñŠ ½ãã½ãÊãñ ½ãò In case of bank’s investment in particular issues of ‚ã¶ãì½ããñã䪦㠺ããÖÀãè „£ããÀ Àñãä›âØ㠆•ãñ¶Ôããè ‡ãŠãè ãä‡ãŠÔããè ãä¶ãØãýã ãäÌãÍãñÓ㠇ãñŠ ãäÊㆠcorporates / PSEs the issue specific rating of the Àñãä›âØ㠇ãŠãñ ÔãâØããä¥ã¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ‚ããõÀ ¦ãª¶ãìÔããÀ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ approved ECRAs are reckoned and accordingly the risk weights have been applied after a corresponding ãäªÍãããä¶ãªóÍããò ½ãò ªãè ØãƒÃ Àñãä›âØã ԇãñŠÊ㠇ãŠãè Ôã½ãÌã¦ããê ãäÌ㦦ããè¾ã ãäÔ©ããä¦ã ‡ãñŠ ºã㪠mapping to rating scale provided in RBI guidelines. •ããñãäŒã½ã ¼ããÀ ‡ãŠã ‚ã¶ãì¹ãƾããñØã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý For the purpose of capital computation of overseas ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ãäÌãªñÍã ½ãò ã䪆 Øㆠ„£ããÀãò exposures, ratings assigned by the international ‡ãñŠ ¹ãîâ•ããè ¹ããäÀ‡ãŠÊã¶ã ‡ãñŠ „ÿñ;ã Ôãñ ãä¹ãŠÞã, ½ãî¡ãèÔ㠂ããõÀ ԛö¡¡Ã †¥¡ ¹ãîÀ rating agencies namely Fitch, Moodys and Standard ‚㶦ãÀÀãӛÈãè¾ã Àñãä›âØ㠆•ãñãä¶Ôã¾ããò, •ããñ ¼ããè „¹ãÊ㺣ã Öãñ, ´ãÀ㠂ããºãâã䛦ã Àñãä›âØã & Poor’s is used, whichever is available, as per RBI ‡ãŠã ¹ãƾããñØã ãä‡ãŠ¾ãã Øã¾ãã Öõý guidelines. As regards the coverage of exposures in India by ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã ‡ãñŠ ¦ã֦㠹ãîâ•ããè ‡ãñŠ ¹ããäÀ‡ãŠÊã¶ã ‡ãñŠ ‚ã¶ãì¹㠺ããÖÀãè Àñãä›âØã external ratings as relevant for capital computation ´ãÀã ¼ããÀ¦ã ½ãò †‡ã‹Ôã¹ããñû•ãÀ ‡ãñŠ ‡ãŠÌãÀñ•ã ‡ãñŠ Ôãâºãâ£ã ½ãò ¹ãÆãä‰ãŠ¾ã㠇ãŠãñ „£ããÀ‡ãŠ¦ããÂããò under Standardised Approach, the process needs ‡ãñŠ ºããèÞã ¹ãÆÞããäÊã¦ã ãä‡ãŠ¾ã㠕ãã¶ãã Öõ ¦ãããä‡ãŠ ‚ã¹ã¶ãñ ØãÆãևãŠãò ‡ãŠãè ºãñÖ¦ãÀ Àñãä›âØ㠇ãñŠ to be popularized among the borrowers so as to ãäÊㆠ„¹ãÊ㺣㠹ãîâ•ããè Àã֦㠇ãŠã Êãã¼ã „Ÿã¾ã㠕ãã Ôã‡ãñŠý „£ããÀ‡ãŠ¦ããÂããò ‡ãŠãñ ‚ã¹ã¶ãñ take the benefit of capital relief available for better- ‡ãŠÀãñºããÀ ãäÌãÔ¦ããÀ ‡ãñŠ ãäÊㆠ†‡ãŠ ‚ãÌãÔãÀ ‡ãñŠ ¹㠽ãñ ºããÛã Àñãä›âØã ¹ãÀ ãäÌãÞããÀ rated customers. The borrowers need to consider the external rating as an opportunity for their business ‡ãŠÀ¶ãñ ‡ãŠãè ‚ããÌã;ã‡ãŠ¦ãã Öö ãä•ãÔã½ãò ‡ã슜 Ôã½ã¾ã ÊãØã Ôã‡ãŠ¦ãã Öõý development, which would take some time. ¹ãƽãã¨ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã Quantitative Disclosures (Á. ‡ãŠÀãñü¡ ½ãò) (Rs. in crore) ÌãØããê‡ãŠÀ¥ã ‡ãŠ½ã ‡ãŠÀ¶ãñ ºããÖÀãè Àñãä›âØã Àñãä›âØã ¶ãÖãé Classification Exposure EAM covered Unrated ‡ãñŠ ¹ãÍÞãã¦ã ‡ãñŠ ‚ã£ããè¶ã ‡ãŠãè ØãƒÃ after Mitigation under External †‡ã‹Ôã¹ããñ•ãÀ ‚ããÌããäÀ¦ã (EAM) Rating (ƒ††½ã) ƒ††½ã ADVANCES/ INVESTMENT

‚ããäØãƽã / ãä¶ãÌãñÍã Below 100% risk weight 54409.69 10106.55 44303.13 100% •ããñãäŒã½ã ¼ããÀ Ôãñ ‡ãŠ½ã 54409.69 10106.55 44303.13 100% risk weight 41821.57 2541.89 39279.68 100% •ããñãäŒã½ã ¼ããÀ 41821.57 2541.89 39279.68 More than 100% risk weight 9763.98 423.63 9340.35 100% •ããñãäŒã½ã ¼ããÀ Ôãñ ‚ããä£ã‡ãŠ 9763.98 423.63 9340.35 Deducted 0.00 0.00 0.00 Üã›ã¾ãã Öì‚ãã 0.00 0.00 0.00 ‡ãìŠÊã 105995.24 13072.07 92923.16 Total 105995.24 13072.07 92923.16 ‚㶾㠂ãããäÔ¦ã¾ããú OTHER ASSETS 100% •ããñãäŒã½ã ¼ããÀ Ôãñ ‡ãŠ½ã 12236.96 0.00 12236.96 Below 100% risk weight 12236.96 0.00 12236.96 100% •ããñãäŒã½ã ¼ããÀ 2995.00 0.00 2995.00 At 100% risk weight 2995.00 0.00 2995.00 100% •ããñãäŒã½ã ¼ããÀ Ôãñ ‚ããä£ã‡ãŠ 40.00 0.00 40.00 More than 100% risk weight 40.00 0.00 40.00 Üã›ã¾ãã Öì‚ãã 0.00 0.00 0.00 Deducted 0.00 0.00 0.00 ‡ãìŠÊã 15271.96 0.00 15271.96 Total 15271.96 0.00 15271.96

131 ¦ãããäÊã‡ãŠã ¡ã膹㊠- 6 Table DF – 6 „£ããÀ •ããñãäŒã½ã ‡ãŠ½ã ‡ãŠÀ¶ãã : ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã ‡ãŠñ ãäÊㆠCREDIT RISK MITIGATION: DISCLOSURES ¹ãƇ㊛ãè‡ãŠÀ¥ã FOR STANDARDISED APPROACHES Øãì¥ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã Qualitative disclosures: „£ããÀ •ããñãäŒã½ã ‡ãŠ½ã ‡ãŠÀ¶ãã : ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã ‡ãŠñ ãäÊㆠCredit Risk Mitigation: Disclosures for ¹ãƇ㊛ãè‡ãŠÀ¥ã: Standardised Approaches: „£ããÀ •ããñãäŒã½ã ‡ãŠãñ ‡ãŠ½ã ‡ãŠÀ¶ãñ ¹ãÀ ¶ããèãä¦ã Policy on Credit Risk Mitigation: ãäÌããä¶ã¾ãã½ã‡ãŠ ‚ã¹ãñàãã‚ããò ‡ãñŠ ‚ã¶ãì¹ã Ôãâ¹ãããäÍÌãÇ㊠¹ãÆãä¦ã¼ãîãä¦ã ¹ãƺãâ£ã¶ã ¦ã©ã㠄£ããÀ In line with the regulatory requirements, the bank has put in place a well-articulated policy on collateral •ããñãäŒã½ã ‡ãŠãñ ‡ãŠ½ã ‡ãŠÀ¶ãñ ‡ãñŠ ¦ã‡ãŠ¶ããè‡ãŠ ¹ãÀ ºãÖì¦ã Öãè Ô¹ãӛ ¶ããèãä¦ã ºãö‡ãŠ ´ãÀã ºã¶ããƒÃ management and credit risk mitigation techniques ØãƒÃ Öõ •ããñ ºãö‡ãŠ ‡ãñŠ ½ãâ¡Êã ´ãÀã ãäÌããä£ãÌã¦ãá ‚ã¶ãì½ããñã䪦ã Öõý ¶ããèãä¦ã ½ãò ºãö‡ãŠ ´ãÀã duly approved by the bank’s Board. The Policy lays ¨ãɥ㠪ñ¦ãñ Ôã½ã¾ã Ôãã½ã㶾ã¦ã: ÔÌããè‡ãŠãÀ ‡ãŠãè ØãƒÃ ¹ãÆãä¦ã¼ãîãä¦ã¾ããò ‡ãñŠ ¹ãƇãŠãÀ ¦ã©ã㠃Ôã‡ãñŠ down the type of securities normally accepted by the bank for lending and administration/monitoring Ôãã©ã •ãìüü¡ñ Öì† •ããñãäŒã½ã ‡ãŠãñ ‡ãŠ½ã ‡ãŠÀ¶ãñ ‡ãñŠ ºããÀñ ½ãò „ÊÊãñŒã Öõ ¦ãããä‡ãŠ ºãö‡ãŠ ‡ãñŠ of such securities in order to safeguard/protect the ãä֦㠇ãŠãè ÔãìÀàãã / Ààãã Öãñ ¦ã©ã㠆ñÔããè ¹ãÆãä¦ã¼ãîãä¦ã¾ããò ‡ãŠã ¹ãÆÍããÔã¶ã / ¹ãƺããñ£ã¶ã ¼ããè interest of the bank so as to minimize the risk Öãñý associated with it. The main types of securities (both prime and ºãö‡ãŠ ´ãÀã ÔÌããè‡ãŠãÀ ‡ãŠãè ØãƒÃ ¹ãÆãä¦ã¼ãîãä¦ã¾ããò (½ãîÊã ¦ã©ãã Ôãâ¹ãããäÍÌãÇ㊠ªãñ¶ããò) ‡ãñŠ collateral) accepted by the Bank includes Bank’s own ¹ãƽãìŒã ¹ãƇãŠãÀ ½ãò ÔÌã¥ãà / ‚ãã¼ãîÓã¥ã, ƒâãäªÀã ãäÌã‡ãŠãÔã ¹ã¨ã, ãä‡ãŠÔãã¶ã ãäÌã‡ãŠãÔã ¹ã¨ã, deposits, Gold/Ornaments, Indira Vikas Patras, Kisan 10 ÌãÓããê¾ã Ôãã½ãããä•ã‡ãŠ ÔãìÀàãã ¹ãƽãã¥ã-¹ã¨ã, Íãñ¾ãÀ Ìã ã䡺ãòÞãÀ, ‡ãñŠâ³ ¦ã©ãã À㕾ã Vikas Patras, 10 year Social Security Certificates, ÔãÀ‡ãŠãÀ ‡ãŠãè ¹ãÆãä¦ã¼ãîãä¦ã¾ããú, •ããèÌã¶ã ºããè½ãã ¹ããùãäÊããäÔã¾ããú, ½¾ãîÞ¾ãì‚ãÊã ¹ã⊡ ¾ãîãä¶ã›ò, Shares and debentures, Central and State Govt. securities, Life Insurance Policies, Mutual Fund units, ‚ãÞãÊã Ôãâ¹ãã䦦ã¾ããú, Ôãâ¾ãâ¨ã Ìã ½ãÍããè¶ãÀãè, ½ããÊã ¦ã©ãã Ìãããä¥ã•¾ã ÌãÔ¦ãì†ú, ½ããÊ㠇ãñŠ Immovable Properties, Plant and Machinery, Goods ևãŠ-ãäÌãÊãñŒã, ºãÖãèØã¦ã ¨ãÉ¥ã, Ìããֶ㠦ã©ã㠂㶾ã ÞãÊã Ôãâ¹ãã䦦ã¾ããú Íãããä½ãÊã Öö and Merchandise, Documents of Title to Goods, Book ãä•ãÔã½ãò ºãö‡ãŠ ‡ãŠãè ‚ã¹ã¶ããè •ã½ãã†ú ¼ããè Öö ý ºãö‡ãŠ ¶ãñ ‚ãÞãÊã Ôãâ¹ãã䦦ã¾ããò ‚ããõÀ Ôãâ¾ãâ¨ã debts, Vehicles and other moveable assets. The ¦ã©ãã ½ãÍããè¶ããäÀ¾ããò ‡ãñŠ ½ãîʾããâ‡ãŠ¶ã ¹ãÀ ÔãìÔ¹ãӛ ¶ããèãä¦ã ºã¶ããƒÃ Öõ •ããñ ºãö‡ãŠ ‡ãñŠ ½ãâ¡Êã bank has also framed a well-defined policy on valuation of immovable properties and Plant and ´ãÀã ãäÌããä£ãÌã¦ãá ‚ã¶ãì½ããñã䪦ã Öõ ý Machineries duly approved by Board. ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã ‡ãñŠ ¦ã֦㠄£ããÀ •ããñãäŒã½ã ‡ãŠ½ã ‡ãŠÀ¶ãã Credit Risk Mitigation under Standardised Approach: ‡ãŠ) ¹ãã¨ã ãäÌ㦦ããè¾ã Ôãâ¹ãããäÍÌãÇãŠ: (a) Eligible Financial Collaterals:

¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀã ÔãîãäÞã¦ãã¶ãìÔããÀ ºãö‡ãŠ ¶ãñ ½ãã¶ã‡ãŠãè‡ãðŠ¦ã ¹ãÆ¥ããÊããè As advised by RBI, the Bank has adopted the ‡ãñŠ ¦ã֦㠄£ããÀ •ããñãäŒã½ã ‡ãŠ½ã ‡ãŠÀ¶ãñ Ôãñ Ôãâºãâãä£ã¦ã ̾ãã¹ã‡ãŠ ¹ãÆ¥ããÊããè ‚ã¹ã¶ãã¾ãã comprehensive approach relating to credit risk Öõ, ãä•ãÔãÔãñ ¹ãÆãä¦ã¼ãîãä¦ã¾ããò ¹ãÀ ãä¶ã¾ã¦ã ½ãîʾã Ôãñ ¨ãÉ¥ã ÀããäÍ㠇ãŠãñ ¹ãƼããÌããè mitigation under Standardised Approach, which allows fuller offset of securities (prime and ¤âØã Ôãñ ‡ãŠ½ã ‡ãŠÀã‡ãñŠ „£ããÀ •ããñãäŒã½ããò ‡ãñŠ ¹ãÆãä¦ã ¹ãÆãä¦ã¼ãîãä¦ã¾ããò (½ãîÊã ¦ã©ãã collateral) against exposures, by effectively Ôãâ¹ãããäÍÌãÇãŠ) ‡ãŠãñ Ôãâ¹ãî¥ãà ¹ã Ôãñ ‚ããù¹ãŠÔãñ› ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ‚ã¶ãì½ããä¦ã reducing the exposure amount by the value ¹ãÆ㹦ã Öãñ¦ããè Öõý ‚ã¦ã: ¹ãã¨ã ãäÌ㦦ããè¾ã Ôãâ¹ãããäÍÌãÇ㊠¹ãÆãä¦ã¼ãîãä¦ã¾ããò ‡ãŠãñ „£ããÀ ascribed to the securities. Thus the eligible •ããñãäŒã½ã ¹ãîú•ããè ‡ãñŠ ¹ããäÀ‡ãŠÊã¶ã ½ãò „£ããÀ ÀããäÍ㠇ãŠãñ ‡ãŠ½ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠfinancial collaterals are fully made use of to reduce the credit exposure in computation of ¹ãîÀã-¹ãîÀ㠄¹ã¾ããñØã ãä‡ãŠ¾ãã Øã¾ããý †ñÔã㠇ãŠÀ¦ãñ Ôã½ã¾ã ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ credit risk capital. In doing so, in line with RBI ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãì¹㠺ãö‡ãŠ ¶ãñ ãäÌããäÍãӛ ¹ãÆãä¦ã¼ãîãä¦ã¾ããò ‡ãŠãñ ½ã㶾ã¦ãã guidelines, the bank has recognized specific ã䪾ã㠕ãõÔãã ãä‡ãŠ ‡ãŠ) ºãö‡ãŠ •ã½ãã†ú Œã) ÔÌã¥ãà / ‚ãã¼ãîÓã¥ã Øã) •ããèÌã¶ã ºããè½ãã securities viz (a) bank deposits (b) gold/ ornaments (c) life insurance policies (d) kisan ¹ããùãäÊãÔããè Üã) ãä‡ãŠÔãã¶ã ãäÌã‡ãŠãÔã ¹ã¨ã (2 1/2 ÌãÓãà ‡ãŠãè Êããù‡ãŠ-ƒ¶ã ‚ãÌããä£ã vikas patras (after a lock in period of 2 ½ years). ‡ãñŠ ºããª)ý (b) On/Off Balance Sheet Nettings: Œã) ‚ããù¶ã / ‚ããù¹ãŠ ¦ãìÊã¶ã ¹ã¨ã ¶ãñãä›âØÔã: As per Bank’s policy on utilization of the credit risk mitigation techniques and collateral „£ããÀ •ããñãäŒã½ã ‡ãŠãñ ‡ãŠ½ã ‡ãŠÀ¶ãñ ‡ãŠãè ¦ã‡ãŠ¶ããè‡ãŠ ‚ããõÀ Ôãâ¹ãããäÍÌãÇ㊠¹ãƺãâ£ã¶ã management, on–balance sheet netting has been ‡ãñŠ Ôãªì¹ã¾ããñØã ¹ãÀ ºãö‡ãŠ ‡ãŠãè ¶ããèãä¦ã ‡ãñŠ ‚ã¶ãìÔããÀ „£ããÀ‡ãŠ¦ããà ‡ãñŠ ¨ãÉ¥ããò / reckoned to the extent of deposits available

132 ‚ããäØãƽããò ( ¨ãÉ¥ã Ôããè½ãã ¦ã‡ãŠ ‚ããä£ã‡ãŠ¦ã½ã ) ‡ãñŠ ¹ãÆãä¦ã ‚ããù¶ã ºãõñÊãòÔã Íããè› against loans/advances of the borrower ¶ãñãä›âØ㠇ãŠãè Øã¥ã¶ã㠇ãŠãè Øã¾ããè Öõ •ãÖãú ºãö‡ãŠ ‡ãñŠ ¹ããÔã ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ (maximum to the extent of exposure), where bank has legally enforceable netting arrangements ´ãÀã ãä¶ã£ããÃãäÀ¦ã ãäÌããä£ã‡ãŠ ¹ã Ôãñ ¹ãÆÌã¦ãöããè¾ã ¶ãñãä›âØã ̾ãÌãÔ©ãã Öõ ãä•ãÔã½ãò involving specific lien with proof of ªÔ¦ããÌãñ•ããè‡ãŠÀ¥ã ‡ãñŠ Ôããà¾ããò ‡ãñŠ Ôãã©ã ØãÆÖ¥ãããä£ã‡ãŠãÀ Íãããä½ãÊã Öõý †ñÔãñ documentation as prescribed by RBI. In such ½ãã½ãÊããò ½ãñâ ¹ãîú•ããè ‡ãŠãè Øã¥ã¶ãã ãä¶ãÌãÊ㠄£ããÀ ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ‡ãŠãè •ãã¦ããè Öõý cases the capital computation is done on the •ãÖãú ¦ã‡ãŠ ‚ããù¹ãŠ Ôãホ ºãöÊãâÔã Íããè› ¶ãñãä›âØ㠇ãŠã Ôãâºã£ã Öõ, ƒ¶ã¹ãÀ basis of net credit exposure. In so far as off- balance sheet netting is concerned, these are ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ Ôãñ ãäÌãÍãñÓã ¹ã Ôãñ ‚ã¶ãì½ããä¦ã ¹ãÆ㹦ã Öãñ¶ãñ ¹ãÀ, covered by guarantees/credit derivatives ØããÀâã䛾ããò / ‰ãñŠã䡛 ¡ñãäÀÌãñãä›ÌÔã Ôãñ ‡ãŠÌãÀ ¹ãÆ㹦ã Öõý Ìã¦ãýãã¶ã ½ãò ºãö‡ãŠ ½ãò whenever specifically permitted by RBI. ‡ãŠãñƒÃ ¼ããè ‚ããù¹ãŠ ÔããƒÃ› ºãõÊãâÔã Íããè› ¶ãñãä›âØã ¶ãÖãé Öõý Presently, the bank does not have any off- balance sheet netting. Øã ) ¹ãã¨ã ØããÀâã䛾ããú: (c) Eligible Guarantees: Ôãã©ã Öãè, „£ããÀ •ããñãäŒã½ã ‡ãŠ½ã ‡ãŠÀ¶ãñ ‡ãŠã ‚㶾㠂ã¶ãì½ããñã䪦ã ¹㠓¹ãã¨ã Besides, other approved form of credit risk ØããÀâã䛾ããâò” ‡ãŠãè „¹ãÊ㺣ã¦ãã Öõý „£ããÀ •ããñãäŒã½ã ¹ãîú•ããè ‡ãñŠ ¹ããäÀ‡ãŠÊã¶ã ½ãò mitigation is availability of “Eligible Guarantees”. ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãì¹㠕ããñãäŒã½ã ‡ãŠ½ã ‡ãŠÀ¶ãñ In computation of credit risk capital the types of guarantees recognized for taking mitigation, in ‡ãñŠ ãäÊㆠ½ã㶾ã ØããÀâã䛾ããò ‡ãñŠ ¹ãƇãŠãÀ ƒÔã ¹ãƇãŠãÀ Öö ‡ãŠ) ‡ãòŠ³ ÔãÀ‡ãŠãÀ line with RBI guidelines are (a) Central (0%) Œã) À㕾ã ÔãÀ‡ãŠãÀ (20%) Øã) Ôããè•ããè›ãè†Ôã‚ãム(0%) Government (0%) (b) State Government (20%), Üã) ƒÔããè•ããèÔããè (20%) Ý) ÔããŒã-¹ã¨ã ‡ãñŠ ‚ã£ããè¶ã ŒãÀãèªñ Øㆠ/ ¼ãì¶ãㆠ(c) CGTSI (0%) (d) ECGC (20%) (e) Banks in ØㆠãäºãÊããò ‡ãñŠ ¹㠽ãò ºãö‡ãŠ ØããÀâ›ãè (ªãñ¶ããò ªñÍããè †Ìãâ ãäÌãªñÍããè ºãö‡ãŠãò ‡ãñŠ the form of Bills Purchased/discounted under ãäªÍãã-ãä¶ãªóÍ㠇ãñŠ ‚ã¶ãìÔããÀ) Letters of Credit (both domestic and foreign banks as per guidelines). ºãö‡ãŠ ¶ãñ „£ããÀ •ããñãäŒã½ã ‡ãŠãñ ‡ãŠ½ã ‡ãŠÀ¶ãñ ‡ãñŠ ½ãã½ãÊãñ ½ãò ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà The bank has ensured compliance of legal ºãö‡ãŠ ´ãÀã ãä¶ã£ããÃãäÀ¦ã ãäÌããä£ã‡ãŠ ãä¶ããäÍÞã¦ã¦ã㠇ãñŠ ‚ã¶ãì¹ããÊã¶ã ‡ãŠãñ Ôãìãä¶ããäÍÞã¦ã certainty as prescribed by the RBI in the matter ãä‡ãŠ¾ãã Öõý of credit risk mitigation. Concentration risk in credit risk mitigation: „£ããÀ •ããñãäŒã½ã ‡ãŠãñ ‡ãŠ½ã ‡ãŠÀ¶ãñ ½ãò Ôãâ‡ãòŠ³ãè‡ãŠÀ¥ã •ããñãäŒã½ã Policies and process are in place indicating the type ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã ‡ãñŠ ¦ã֦㠹ãîú•ããè ‡ãŠãè Øã¥ã¶ã㠇ãñŠ ãäÊㆠºãö‡ãŠ ´ãÀã ¹ãƾããñØ㠇ãñŠ of mitigations the bank use for capital computation Êãㆠ•ãã ÀÖñ •ããñãäŒã½ã ‡ãñŠ ¹ãƇãŠãÀãò ‡ãŠãñ ªÍããæãñ Öì† ¶ããèãä¦ã¾ããú †Ìãâ ¹ãÆãä‰ãŠ¾ãã ¹ãÆÔ¦ãì¦ã under the Standardised approach. All types of Ööý „£ããÀ •ããñãäŒã½ã ‡ãŠãñ ‡ãŠ½ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ¹ãã¨ã Ôã¼ããè ¹ãƇãŠãÀ ‡ãŠãè ¹ãÆãä¦ã¼ãîãä¦ã¾ããú securities (financial collaterals) eligible for mitigation are easily realizable financial securities. As such, ‚ããÔãã¶ããè Ôãñ „ØããÖãè ¾ããñؾã ãäÌ㦦ããè¾ã ¹ãÆãä¦ã¼ãîãä¦ã¾ããú Ööý ÌãÔ¦ãì¦ã: ºãö‡ãŠ ½ãò „£ããÀ the bank doesn’t envisage any concentration risk in •ããñãäŒã½ã ‡ãŠ½ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ‡ãŠãñƒÃ Ôãâ‡ãñŠ¶³ãè¾ã‡ãŠÀ¥ã •ããñãäŒã½ã ¶ãÖãé Öõ ‚ããõÀ credit risk mitigation used and presently no limit/ Ìã¦ãýãã¶ã ½ãò „£ããÀ •ããñãäŒã½ã ‡ãŠ½ã ‡ãŠÀ¶ãñ ‡ãñŠ ¦ã֦㠹ãƦ¾ãñ‡ãŠ ¹ãƇãŠãÀ ‡ãŠãè Ôãâ¹ãããäÍÃÌã‡ãŠ ceiling has been prescribed for the quantum of each type of collateral under credit risk mitigation. ‡ãŠãè ¹ãƽãã¨ã㠇ãñŠ ãäÊㆠ‡ãŠãñƒÃ ¨ãÉ¥ã Ôããè½ãã/Ôããè½ãã ãä¶ã£ããÃãäÀ¦ã ¶ãÖãé ‡ãŠãè ØãƒÃ Öõý

133 (Á. ‡ãŠÀãñü¡ ½ãò) (Rs. In Crore) ¹ãƽãã¨ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã Quantitative Disclosures ‚ãÊãØã Ôãñ ¹ãƦ¾ãñ‡ãŠ ¹ãƇ㊛ãè‡ãðŠ¦ã „£ããÀ •ããñãäŒã½ã ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ For each separately disclosed credit risk portfolio, the exposure (after, where ‡ãñŠ ãäÊㆠÖñ¾ãÀ‡ãŠ› ‡ãñŠ ‚ã¶ãì¹ãƾããñØ㠇ãñŠ ºã㪠¹ãã¨ã ãäÌ㦦ããè¾ã applicable, on or off balance sheet netting) Ôãâ¹ãããäÌãÍÇ㊠´ãÀ㠇ãŠÌãÀ ãä‡ãŠ¾ãñ Øã¾ãñ ‡ãìŠÊ㠕ããñãäŒã½ã that is covered by Eligible Financial (•ãÖãú ÊããØãî Öãñ, ‚ããù¶ã ¾ã㠂ããù¹ãŠ ºãõÊãòÔã Íããè› ¶ãñãä›âØ㠇ãñŠ ºããª) 11413.33 Collateral after application of haircuts 11413.33 ÔããÌãÕããä¶ã‡ãŠ àãñ¨ã ‡ãñŠ ¹ãÆãä¦ãӟã¶ã 157.84 Public Sector Entities 157.84 ‡ãŠã¹ããóÀñ› 3137.33 Corporates 3137.33 ãäÌããä¶ã¾ãã½ã‡ãŠ ãäÀ›ñÊã ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ (‚ããÀ‚ããÀ¹ããè) 1018.62 Regulatory Retail Portfolio (RRP) 1018.62 ‚ããÌããÔããè¾ã ¹ããäÀÔãâ¹ã¦¦ããè ´ãÀã ÔãìÀãäàã¦ã ªãÌãã 12.29 Claims secured by Residential Property 12.29 Ìãããä¥ãã䕾ã‡ãŠ Ô©ããÌãÀ Ôãâ¹ãªã ´ãÀã ÔãìÀãäàã¦ã ªãÌãã 34.29 Claims secured by Commercial Real Estate 34.29 „¹ã¼ããñ‡ã‹¦ã㠄£ããÀ 6753.58 Consumer Credit 6753.58 ¹ãîú•ããèØã¦ã ãäÌã¹ã¥ã¶ã •ããñãäŒã½ã 38.86 Capital Market Exposure 38.86 †¶ãºãã膹ãŠÔããè 3.13 NBFC 3.13 ‚ã¶ãÕã‡ãŠ ‚ãããäÔ¦ã¾ããú - ‚ã) ‚ããÌããÔã ¨ãÉ¥ã 0.09 Non Performing Assets – a) Housing Loan 0.09 ‚ã¶ãÕã‡ãŠ ‚ãããäÔ¦ã¾ããú - ‚ãã) ‚㶾ã 28.02 Non Performing Assets – b) Others 28.02 ‚㶾㠂ãããäÔ¦ã¾ããú - ԛãù¹ãŠ ¨ãÉ¥ã 30.48 Other Assets – Staff Loans 30.48 ‚㶾㠂ãããäÔ¦ã¾ããú 37.92 Other Assets 37.92 ¹ãì¶ãÔãÄÀãäÞã¦ã Œãã¦ãã 160.58 Restructured Account 160.58

(Á. ‡ãŠÀãñü¡ ½ãò) (Rs. In Crore) ¹ãƽãã¨ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã Quantitative Disclosures ‚ãÊãØã Ôãñ ¹ãƦ¾ãñ‡ãŠ ¹ãƇ㊛ãè‡ãðŠ¦ã „£ããÀ •ããñãäŒã½ã For each separately disclosed credit risk ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ ‡ãñŠ ãäÊㆠØããÀâã䛾ããò/„£ããÀ ̾ã즹ã¸ããò portfolio, the total exposure (after, where applicable, on or off balance sheet netting) (•ãºã ‡ãŠ¼ããè ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀã ãäÌãÍãñÓã ¹ã Ôãñ that is covered by guarantees / Credit ‚ã¶ãì½ã¦ã Öãñ) ´ãÀ㠇ãŠÌãÀ ãä‡ãŠ¾ãñ Øã¾ãñ ‡ãìŠÊã ¨ãÉ¥ã Derivatives (whenever specifically (•ãÖãú ÊããØãî Öãñ,‚ããù¶ã ¾ã㠂ããù¹ãŠ ºãõÊãâÔã Íããè› ¶ãñãä›âØ㠇ãñŠ ºããª) 6470.36 permitted by RBI) 6470.36 ÔããÌãÕããä¶ã‡ãŠ àãñ¨ã ‡ãŠãè ‡ã⊹ã¶ããè 2490.24 Public Sector Entities 2490.24 ‡ãŠã¹ããóÀñ› 3641.12 Corporates 3641.12 ãäÌããä¶ã¾ãã½ã‡ãŠ ãäÀ›ñÊã ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ (‚ããÀ‚ããÀ¹ããè) 286.03 Regulatory Retail Portfolio (RRP) 286.03 ¹ãì¶ãÔãÄÀãäÞã¦ã Œãã¦ãã 52.97 Restructured Account 52.97

134 ¦ãããäÊã‡ãŠã ¡ã膹㊠7 Table DF 7 ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã : ½ãã¶ã‡ãŠãè‡ãðŠ¦ã Òãäӛ‡ãŠãñ¥ã ‡ãñŠ ãäÊㆠ¹ãƇ㊛ãè‡ãŠÀ¥ã SECURITISATION: DISCLOSURE FOR STANDARDISED APPROACH Øãì¥ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã Qualitative Disclosures

‡ãŠ) ãä¶ã½¶ããäÊããäŒã¦ã ÞãÞããà ‡ãŠãñ Íãããä½ãÊ㠇ãŠÀ¦ãñ 31.03.2009 ‡ãŠãñ Ôã½ã㹦ã a) The general qualitative No securitisation Öì† ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã ‡ãñŠ Ôãâºãâ£ã ½ãò Ôãã½ã㶾ã ÌãÓãà ‡ãñŠ ãäÊㆠ‡ãŠãñƒÃ disclosure requirement with for the year ended respect to securitisation, 31.03.2009 Øãì¥ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã ‚ã¹ãñàãã ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã ¶ãÖãé ãä‡ãŠ¾ãã including a discussion of: Øã¾ãã Öõý * ãäÌã²ã½ãã¶ã ¹ãÆãä¦ã¼ãî¦ã û•ããñãäŒã½ããò ‡ãñŠ „£ããÀ * The bank’s objectives in relation to securitisation û•ããñãäŒã½ã ‡ãŠãñ ¾ãñ Øããä¦ããäÌããä£ã¾ããú ãä•ãÔã Öª activity, including the extent ¦ã‡ãŠ ºãö‡ãŠ Ôãñ ¹ãÀñ ‚㶾㠃‡ãŠãƒ¾ããò ‡ãŠãñ to which these activities ‚ãâ¦ããäÀ¦ã ‡ãŠÀ¦ããè Öö „Ôã Öª ¦ã‡ãŠ ƒ¶Öò transfer credit risk of the Íãããä½ãÊ㠇ãŠÀ¦ãñ Öì½ãì ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã ‡ãŠãè underlying securitised exposures away from the Øããä¦ããäÌããä£ã ‡ãñŠ Ôãâºã£ã ½ãò ºãö‡ãŠ ‡ãŠã „ÿñ;ãý bank to other entities. * The roles played by the * ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã ¹ãÆãä‰ãŠ¾ãã ½ãò ºãö‡ãŠ ‡ãŠãè bank in securitisation ¼ãîãä½ã‡ãŠã ‚ããõÀ „ÔãÔãñ Ôãâºãâãä£ã¦ã ¹ãƦ¾ãñ‡ãŠ ‡ãŠã¾ãà process and an indication ½ãò ºãö‡ãŠ ‡ãñŠ Íãããä½ãÊã Öãñ¶ãñ ‡ãñŠ ºããÀñ ½ãò ÔãîÞã¶ãã of the extent of the bank’s ‚ããõÀ involvement in each of them, and * ‚ã¹ã¶ãñ ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã ‡ãŠã¾ãà ‡ãñŠ ãäÊㆠºãö‡ãŠ * The regulatory capital ´ãÀ㠂ã¹ã¶ãã¾ããè Øã¾ããè ãäÌããä¶ã¾ãã½ã‡ãŠ ¹ãîú•ããè approach that the bank Òãäӛ‡ãŠãñ¥ã follows for its securitisation activities. Œã) ãä¶ã½¶ããäÊããäŒã¦ã ‡ãŠãñ Íãããä½ãÊ㠇ãŠÀ¦ãñ Öì† b) Summary of the bank’s ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã ‡ãŠã¾ããô ‡ãñŠ ãäÊㆠºãö‡ãŠ ´ãÀã accounting policies for securitisation activities, ‚ã¹ã¶ãã¾ããè ØãƒÃ ÊãñŒããâ‡ãŠ¶ã ¶ããèãä¦ã¾ããò ‡ãŠã ÔããÀ including : * Recognition of gain on sale, * ãäºã‰ãŠãè ¹ãÀ Êãã¼ã ‡ãŠãè ¹ãÖÞãã¶ã ‚ããõÀ and

* ¹ãÆãä¦ã£ãããäÀ¦ã ãäÖ¦ããò ‡ãñŠ ½ãîʾããâ‡ãŠ¶ã ‡ãñŠ ãäÊㆠ* Key assumption for valuing ¹ãƽãìŒã ¹ãîÌããããÀ¥ãã†ú, ãä•ãÔã½ãò ãä¹ãœÊãñ retained interests, including any significant changes ãäÀ¹ããñãä›ÄØ㠂ãÌããä£ã ‡ãñŠ ºã㪠„ÊÊãñŒã¶ããè¾ã since the last reporting ¹ããäÀÌã¦ãö㠦ã©ã㠆ñÔãñ ¹ããäÀÌã¦ãöããò ‡ãŠã ¹ãƼããÌã period and the impact of Íãããä½ãÊã Öõ such changes. c) Names of ECAIs used for Øã) ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã ‡ãñŠ ãäÊㆠ¹ãƾããñØ㠇ãŠãè ØãƒÃ securitisations and the types ƒÔãã膂ãム‡ãñŠ ¶ãã½ã ‚ããõÀ ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã of securitisation exposure •ããñãäŒã½ããò ‡ãñŠ ¹ãƇãŠãÀ ãä•ãÔã‡ãñŠ ãäÊㆠ¹ãƦ¾ãñ‡ãŠ for which each agency is used. †ñ•ãòÔããè ‡ãŠã ¹ãƾããñØã ãä‡ãŠ¾ãã Øã¾ãã Öõ ý Quantitative Disclosures ¹ãƽãã¨ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã d) the total outstanding Nil Íãã exposures securitised by Üã) ºãö‡ãŠ ´ãÀã ¹ãÆãä¦ã¼ãîãä¦ã‡ãðŠ¦ã ‚ããõÀ •ããñãäŒã½ã the bank and subject to ¹ãƇãŠãÀãò ‡ãñŠ û•ããäÀ† ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã ¹ãÆñŠ½ãÌã‡ãÊ securitisation framework by ‡ãñŠ Íã¦ããô ‡ãñŠ ‚ã¶ãìÔããÀ ‡ãìŠÊã ºã‡ãŠã¾ãã exposure type.

135 •ããñãäŒã½ã e) For exposures securitised by the Bank and subject to thesecuritisation framework. Ý) ºãö‡ãŠ ´ãÀã ¹ãÆãä¦ã¼ãîãä¦ã‡ãðŠ¦ã †‡ã‹Ôã¹ããñ•ãÀ ‚ããõÀ ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã ¹ãÆñŠ½ãÌã‡ãÊ ‡ãñŠ ‚ã£ããè¶ã Êãã¾ãñ * Amount of impaired/past due assets securitised; and Øã¾ãñ •ããñããäŒã½ã * Losses recognised by the * ãäÌã¶ãӛ / ¹ãìÀã¶ãñ ªñ¾ã ‚ãããäÔ¦ã¾ããò ‡ãŠãè Bank during the current ¹ãÆãä¦ã¼ãîãä¦ã‡ãðŠ¦ã À‡ãŠ½ã ‚ããõÀ period broken down by exposure type * ÞããÊãî ‚ãÌããä£ã ‡ãñŠ ªãõÀã¶ã ºãö‡ãŠ ´ãÀã f) Aggregate amount of ¹ãÖÞãã¶ããè ØãƒÃ Öããä¶ã ãä•ãÔãñ †‡ã‹Ôã¹ããñ•ãÀ ‡ãñŠ securitisation exposures ¹ãƇãŠãÀ ‡ãñŠ ‚ã¶ãìÁ¹ã ºããú› ªãè ØãƒÃ Öãñ retained or purchased broken down by exposure Þã) ¹ãÆãä¦ã£ãããäÀ¦ã ¾ã㠌ãÀãèªñ Øㆠ¹ãÆãä¦ã¼ãîãä¦ã‡ãðŠ¦ã type †‡ã‹Ôã¹ããñ•ãÀ ‡ãŠãè ‚ããõÔã¦ã À‡ãŠ½ã ãä•ãÔãñ g) Aggregate amount of •ããñãäŒã½ã ‡ãñŠ ¹ãƇãŠãÀ ‡ãñŠ ‚ã¶ãìÁ¹ã ºããú› ªãè securitisation exposures ØãƒÃ Öãñ retained or purchased broken down into a meaningful number of risk œ) ¹ãÆãä¦ã£ãããäÀ¦ã ¾ã㠌ãÀãèªñ Øㆠ¹ãÆãä¦ã¼ãîãä¦ã‡ãðŠ¦ã weight bands. Exposures †‡ã‹Ôã¹ããñ•ãÀ ‡ãŠãè ‚ããõÔã¦ã À‡ãŠ½ã ãä•ãÔãñ that have been deducted •ããñãäŒã½ãÌããÊããè ºãö¡ ‡ãŠãè ‚ã©ãùãî¥ãà Ôã⌾ãã entirely from Tier 1 capital, ½ãò ‡ãŠã› ã䪾ãã Øã¾ãã Öãñ ý ›ã¾ãÀ-ý ¹ãîú•ããèè credit enhancing I/Os deducted from Total Capital, Ôãñ ¹ãîÀãè ¦ãÀÖ Ôãñ Üã›ã ã䪆 Øㆠand other exposures †‡ã‹Ôã¹ããñ•ãÀ, ‡ãìŠÊã ¹ãîú•ããè Ôãñ Üã›ã ã䪆 deducted from total capital Øㆠ„£ããÀ ºãü¤ã¶ãñ ÌããÊãñ ‚ããƒ/ ‚ããñ ‚ããõÀ should be disclosed ‡ãìŠÊã ¹ãîú•ããè Ôãñ Üã›ã† Øㆠ‚㶾㠕ããñãäŒã½ããò separately by type of underlying exposure type. ‡ãŠãñ ‚ãã£ããÀ¼ãî¦ã †‡ã‹Ôã¹ããñ•ãÀ ‡ãñŠ ¹ãƇãŠãÀ ‡ãñŠ ‚ãã£ããÀ ¹ãÀ ‚ãÊãØã Ôãñ ¹ãƇ㊛ ‡ãŠÀ¶ãã h) Summary of securitisation activity presenting a Þãããäֆý comparative position for two years, as a part of the Notes •ã) ¦ãìÊã¶ã-¹ã¨ã ‡ãñŠ Œãã¦ããò ¹ãÀ ã䛹¹ããä¥ã¾ããò ‡ãñŠ on Accounts to the balance †‡ãŠ ¼ããØ㠇ãñŠ ¹㠽ãò ªãñ ÌãÓããÃò ‡ãñŠ ãäÊㆠsheet ¦ãìÊã¶ã㦽ã‡ãŠ ãäÔ©ããä¦ã ¹ãÆÔ¦ãì¦ã ‡ãŠÀ¶ãñ ÌããÊãñ * Total number and book ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã ‡ãŠã ÔããÀ value of loan assets securitised – by type of * ¹ãÆãä¦ã¼ãîãä¦ã‡ãðŠ¦ã ¨ãɥ㠂ãããäÔ¦ã¾ããò ‡ãŠãè ‡ãìŠÊã underlying assets Ôã⌾ã㠂ããõÀ ºãÖãè ½ãîʾã - ‚ãã£ããÀ¼ãî¦ã * Sale consideration received ‚ãããäÔ¦ã¾ããò ‡ãñŠ ¹ãƇãŠãÀ ´ãÀã for the securitised assets and gain/loss on sale on * ¹ãÆãä¦ã¼ãîãä¦ã‡ãðŠ¦ã ‚ãããäÔ¦ã¾ããò ‡ãñŠ ãäÊㆠ¹ãÆ㹦ã account of securitisation; ãäºãƇãŠãè À‡ãŠ½ã ‚ããõÀ ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã ‡ãñŠ and ‡ãŠãÀ¥ã ãäºã‰ãŠãè ÖìƒÃ Öããä¶ã / Êãã¼ã : ‚ããõÀ * Form and quantum (outstanding value) of * „£ããÀ ÔãâÌã£ãöã, ¦ãÀÊã¦ãã Ôã½ã©ãöã, ¹ãÀ services provided by way of ¹ãÆãä¦ã¼ãîãä¦ã‡ãŠÀ¥ã ‚ããäÔ¦ã ÔãñÌãã†ú ‚ãããäª ‡ãñŠ credit enhancement, ´ãÀã ªãè ØãƒÃ ÔãñÌãã‚ããò ‡ãŠã ¹㠦ã©ãã ¹ãƽãã¨ãã liquidity support, post securitisation asset (ºã‡ãŠã¾ãã ½ãîʾã) servicing, etc

136 ¦ãããäÊã‡ãŠã ¡ã膹㊠- 8 Table DF – 8 ›Èñãä¡âØã ºãÖãè ½ãò ºãã•ããÀ •ããñãäŒã½ã Market Risk in Trading Book: Øãì¥ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã Qualitative disclosure: ºãã•ããÀ •ããñãäŒã½ã Market Risk: ºãã•ããÀ •ããñãäŒã½ã ÌãÖ Öãñ¦ãã Öõ ãä•ãÔãÔãñ ºãö‡ãŠ ‡ãŠãñ º¾ãã•ã ªÀò, ãäÌãªñÍããè ½ãì³ã Market Risk is defined as the possibility of loss to a bank in balance sheet position caused by changes/ ãäÌããä¶ã½ã¾ã ªÀò, ƒÃãä‡ã‹Ìã›ãè ‡ãŠãè½ã¦ãò ¦ã©ã㠹㥾㠇ãŠãè½ã¦ãò •ãõÔãñ ºãã•ããÀ ÌãñãäÀ¾ããäºãÊÔã movements in market variables such as interest rate, ´ãÀ㠄¦¹ã¸ã ¹ããäÀÌã¦ãöã / Øããä¦ã ‡ãñŠ ‡ãŠãÀ¥ã ºãõÊãòÔã Íããè› ‡ãŠãè ãäÔ©ããä¦ã ½ãò Öããä¶ã Öãñ¶ãñ foreign currency exchange rate, equity prices and ‡ãŠãè Ôãâ¼ããÌã¶ãã Öõý ºãã•ããÀ •ããñãäŒã½ã Ôãñ ºãö‡ãŠ ‡ãŠã †‡ã‹Ôã¹ããñ•ãÀ ›Èñãä¡âØã ºãì‡ãŠ commodity prices. Bank’s exposure to market risk (††¹ãŠ†Ôã ¦ã©ãã ÖñÞㆹ㊛ãè ÌãØããô ªãñ¶ããò ) ½ãò ªñÍããè ãä¶ãÌãñÍããò (º¾ãã•ã Ôãâºãâãä£ã¦ã arises from domestic investments (interest related instruments and equities) in trading book (Both AFS ãäÊãŒã¦ããò ¦ã©ã㠃Ããä‡ã‹Ìãã䛾ããò), ãäÌãªñÍããè ãäÌããä¶ã½ã¾ã ãäÔ©ããä¦ã¾ããò (ºãÖì½ãîʾ㠣ãã¦ãì‚ããò and HFT categories), the Foreign Exchange positions ½ãò ŒãìÊããè ãäÔ©ããä¦ã ¾ããäª ‡ãŠãñƒÃ Öãñ, ‡ãŠãñ Íãããä½ãÊ㠇ãŠÀ¦ãñ Öì†) ¦ã©ã㠛Èñãä¡âØã Ôãñ (including open position, if any, in precious metals) Ôãâºãâãä£ã¦ã ãä¡ÀñÌãñã䛺Ôã Ôãñ „¦¹ã¸ã Öãñ¦ãã Öõý ºãã•ããÀ •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ‡ãŠã „ÿñ;ã and trading related derivatives. The objective of the ‚ã•ãö㠹ãÀ Öããä¶ã ‚ããõÀ ºãã•ããÀ •ããñãäŒã½ã ½ãò „¦¹ã¸ã ƒÃãä‡ã‹Ìã›ãè ¹ãîâ•ããè ‡ãŠãñ ‡ãŠ½ã ‡ãŠÀ¶ãã market risk management is to minimize the impact of losses on earnings and equity capital arising from Öõ ý market risk. ºãã•ããÀ •ããñãäŒã½ã ‡ãñŠ ¹ãƺãâ£ã¶ã ‡ãñŠ ãäÊㆠ¶ããèãä¦ã¾ããú Policies for management of market risk: ºãö‡ãŠ ½ãò ºãã•ããÀ •ããñãäŒã½ã ‡ãŠã ¹ãƼããÌã¹ãî¥ãà ¹ãƺãâ£ã¶ã ãä‡ãŠ† •ãã¶ãñ ‡ãñŠ ãäÊㆠ¹ãƼããÌã The bank has put in place Board approved Market Risk Management Policy and Asset Liability ºãö‡ãŠ ¶ãñ ºããñ¡Ã ´ãÀ㠂ã¶ãì½ããñã䪦㠺ããû•ããÀ •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¶ããèãä¦ã ‚ããõÀ ‚ãããäÔ¦ã Management (ALM) policy for effective management ªñ¾ã¦ãã ¹ãƺãâ£ã¶ã (††Êㆽã) ‡ãŠãñ ÊããØãî ãä‡ãŠ¾ãã Öõý •ããñãäŒã½ã ¹ãƺãâ£ã¶ã Ôãñ ¼ããè of market risk in the bank. Other policies which Ôãâºãâãä£ã¦ã ‚㶾㠶ããèãä¦ã¾ããú, ãä¶ããä£ã ¹ãƺãâ£ã¶ã Ìã ãä¶ãÌãñÍã ¶ããèãä¦ã, ¡ñãäÀÌãñãä›Ìã ¶ããèãä¦ã, also deal with market risk management are Funds ãäÌãªñÍããè ¹ããäÀÞããÊã¶ããò ‡ãñŠ ãäÊㆠ•ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¶ããèãä¦ã ‚ããõÀ ԛÈñÔ㠛ñãäԛâØã Management and Investment Policy, Derivative Policy, Risk Management Policy for forex operations, and ¶ããèãä¦ã Ööý ºãã•ããÀ •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¶ããèãä¦ã, ºãã•ããÀ •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ‡ãŠã¾ããô Stress testing policy. The market risk management ‚ããõÀ ¹ãÆãä‰ãŠ¾ãã‚ããò ‡ãñŠ ãäÊㆠÔãìÔ¹ãӛ ÔãâØ㟶ã㦽ã‡ãŠ ¹ãÀñŒãã ãä¶ã£ããÃãäÀ¦ã ‡ãŠÀ¦ããè Öõ policy lays down well defined organization structure ãä•ãÔãÔãñ ºãö‡ãŠ ´ãÀã ÌãÖ¶ã ãä‡ãŠ† Øㆠ•ããñãäŒã½ã ‡ãñŠ ¦ã֦㠆†Êㆽ㠹ãÆñŠ½ãÌã‡ãÊ ‡ãñŠ for market risk management functions and processes ‚ã£ããè¶ã ºãö‡ãŠ ´ãÀã ãäÊㆠ•ãã ÀÖñ ºãã•ããÀ •ããñãäŒã½ã ‡ãŠã ¹ãÖÞãã¶ã, ½ãîʾããâ‡ãŠ¶ã, whereby the market risks carried by the bank are identified, measured, monitored and controlled within ãä¶ãØãÀã¶ããè Ìã ãä¶ã¾ãâ¨ã¥ã ãä‡ãŠ¾ãã Øã¾ããý ºãã•ããÀ •ããñãäŒã½ã ‡ãñŠ ¹ãƼããÌããè ¹ãƺãâ£ã¶ã Öñ¦ãì the ALM framework, consistent with the Bank’s risk ‚ããõÀ „ãäÞã¦ã ‚ãããäԦ㠪ñ¾ã¦ãã ¹ãƺãâ£ã¶ã ‡ãñŠ û•ããäÀ† ºããû•ããÀ •ããñãäŒã½ã Ôãñ ¹ãÆã¹¾ã Êãã¼ã tolerance. The policies set various risk limits for ¹ãÀ ºãö‡ãŠ ‡ãŠãè ‚ã¹ãñàãã‚ããò ‡ãñŠ ‚ã¶ãì¹㠹ããäÀÞããÊã¶ããò ‡ãŠãñ Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¶ãñ ‡ãñŠ effective management of market risk and ensuring ãäÊㆠƒÔã ¶ããèãä¦ã ½ãò ãäÌããä¼ã¸ã •ããñãäŒã½ã Ôããè½ãã†ú Øãã䟦ã Ööñý ¶ããèãä¦ã ½ãò ºãã•ããÀ that the operations are in line with Bank’s expectation of return to market risk through proper Asset Liability •ããñãäŒã½ã ‡ãñŠ ¹ãƼããÌããè ¹ãƺããñ£ã¶ã ‡ãñŠ ãäÊㆠãäÀ¹ããñãä›ÄØã ¹ãÆñŠ½ãÌã‡ãÊ ‡ãŠãñ ¼ããè Ôãâ¼ããÊãã Management. The policies also deal with the Øã¾ãã Öõý reporting framework for effective monitoring of market risk. ††Êㆽ㠶ããèãä¦ã ½ãò ãäÌãÍãñÓã ¹ã Ôãñ ¦ãÀÊã¦ã㠕ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¦ã©ãã º¾ãã•ã ªÀ The ALM policy specifically deals with liquidity risk •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¹ãÆñŠ½ãÌã‡ãÊ ‡ãŠã „ÊÊãñŒã Öõý ¶ããèãä¦ã ´ãÀ㠄ãäÊÊããäŒã¦ãã¶ãìÔããÀ management and interest rate risk management ¦ãÀÊã¦ã㠕ããñãäŒã½ã ‡ãŠã ¹ãƺãâ£ã¶ã, ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀã ãä¶ã£ããÃãäÀ¦ãã¶ãìÔããÀ framework. As envisaged in the policy, liquidity risk ÔãîÞã¶ãã ¡ãù›ã ‡ãŠÌãÀñ•ã ‡ãŠãè „¦¦ã½ã „¹ãÊ㺣ã¦ã㠇ãñŠ ‚ãã£ããÀ ¹ãÀ ªõãä¶ã‡ãŠ ‚ãã£ããÀ ¹ãÀ is managed through GAP analysis based on residual ‚ãããäԦ㠂ããõÀ ªñ¾ã¦ãã‚ããò ‡ãñŠ ‚ãÌããäÍãӛ ¹ããäÀ¹ã‡ã‹Ìã¦ãã / ¹ãÆÌãðã䦦ã•ã¶¾ã ¹ã®ãä¦ã ‡ãŠãñ maturity/behavioral pattern of assets and liabilities on daily basis based on best available information ‚ãã£ããÀ ºã¶ãã‡ãŠÀ •ãã膹ããè ãäÌãÍãÊãñÓã¥ã ‡ãñŠ •ããäÀ† ãä‡ãŠ¾ã㠕ãã¦ãã Öõý ºãö‡ãŠ ¶ãñ ‚ãʹããÌããä£ã data coverage as prescribed by RBI. The bank has Øããä¦ãÍããèÊã ¦ãÀÊã¦ãã ¹ãƺãâ£ã¶ã ¦ã©ã㠂ãã‡ãŠãäÔ½ã‡ãŠ ãä¶ããä£ã ¾ããñ•ã¶ã㠇ãŠã „¹ãã¾ã ºã¶ãã¾ãã put in place mechanism of short-term dynamic liquidity Öõý ‡ãìŠÍãÊ㠂ãããäԦ㠪ñ¾ã¦ãã ¹ãƺãâ£ã¶ã ‡ãñŠ ãäÊㆠãäÌããä¼ã¸ã ‚ãÌããäÍãӛ ¹ããäÀ¹ã‡ã‹Ìã¦ã㠇ãŠãñ management and contingent funding plan. Ôãâ¼ããÊã¶ãñ ‡ãñŠ ãäÊㆠãäÌãÌãñ‡ãŠ¹ãî¥ãà („ªãÀ¦ãã) Ôããè½ãã†ú ãä¶ã£ããÃãäÀ¦ã ‡ãŠãè ØãƒÃ Ööý ºãö‡ãŠ Prudential (tolerance) limits are prescribed for different residual maturity time buckets for efficient asset ‡ãŠãè ¦ãÀÊã¦ãã ¹ãÆãñ¹ãŠãƒÊ㠇ãŠãñ ãäÌããä¼ã¸ã ¦ãÀÊã¦ã㠂ã¶ãì¹ãã¦ããò ‡ãñŠ •ããäÀ† ½ãîʾããâãä‡ãŠ¦ã liability management. Liquidity profile of the bank is ãä‡ãŠ† •ãã¦ãñ Ööý ºãö‡ãŠ ¶ãñ ãäÌããä¼ã¸ã ‚ãã‡ãŠãäÔ½ã‡ãŠ „¹ãã¾ããò ‡ãŠã Ø㟶ã ãä‡ãŠ¾ãã Öõý ¦ãÀÊã¦ãã evaluated through various liquidity ratios. The bank ãäÔ©ããä¦ã ½ãò ãä‡ãŠÔããè ¹ãƇãŠãÀ ‡ãñŠ ¦ã¶ããÌ㠇ãŠãñ Ôãâ¼ããÊã¶ãñ ‡ãñŠ ãäÊㆠºãö‡ãŠ ªñÍããè ›Èñ•ãÀãè has also drawn various contingent measures to deal ´ãÀã ãä¶ããä£ã ‡ãñŠ ̾ãÌããäÔ©ã¦ã ¦ã©ãã ãäÔ©ãÀ ãä¶ã¾ããñ•ã¶ã ‡ãñŠ •ããäÀ† ¹ã¾ããù¦ã ¦ãÀÊã¦ã㠇ãŠãñ with any kind of stress on liquidity position. Bank Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¦ãã Öõý ensures adequate liquidity management by Domestic

137 º¾ãã•ã ªÀ •ããñãäŒã½ã ‡ãŠã ¹ãƺãâ£ã¶ã ªÀ ‚ããäÔ©ãÀ ‚ãããäÔ¦ã¾ããò †Ìãâ ªñ¾ã¦ãã‚ããò ‡ãñŠ Treasury through systematic and stable funds •ãã膹ããè ãäÌãÍÊãñÓã¥ã ‡ãñŠ ¹ãƾããñØ㠇ãñŠ û•ããäÀ† Öãñ¦ãã Öõ ‚ããõÀ „Ôã‡ãŠãè ãä¶ãØãÀã¶ããè planning. ãä¶ã£ããÃãäÀ¦ã ãäÌãÌãñ‡ãŠ¹ãî¥ãà („£ããÀ¦ãã) Ôããè½ãã‚ããò ‡ãñŠ û•ããäÀ† Öãñ¦ãã Öõý Íãñ¾ãÀ£ããÀ‡ãŠãò Interest rate risk is managed through use of GAP ‡ãñŠ ½ãîʾ㠇ãŠãñ ºãü¤ã¶ãñ ‡ãŠãè Òãäӛ Ôãñ ãä¶ãÌãÊã º¾ãã•ã ‚ãã¾ã ‚ããõÀ ƒÃãä‡ã‹Ìã›ãè ‡ãñŠ analysis of rate sensitive assets and liabilities and monitored through prudential (tolerance) limits ‚ãããä©ãÇ㊠½ãîʾ㠹ãÀ ¹ãƼããÌ㠇ãŠãñ ãä¶ã£ããÃãäÀ¦ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠºãö‡ãŠ •ããñãäŒã½ã ¹ãÀ prescribed. The bank estimates earnings at risk and ‚ã•ãö㠦ã©ãã ½ããã䡹ãõŠ¡ ¡¿ãîÀñÍã¶ã Øãõ¹ã ‡ãŠã ¹ãÆã‡ãŠÊã¶ã ‡ãŠÀ¦ãã Öõý modified duration gap periodically for assessing the impact on Net Interest Income and Economic Value ‚ãããäÔ¦ã-ªñ¾ã¦ãã ¹ãƺãâ£ã¶ã Ôããä½ããä¦ã (‚ããùÊã‡ãŠãñ) / ºããñ¡Ã, ºãö‡ãŠ ´ãÀã ãä¶ã¾ã¦ã ãäÌãÌãñ‡ãŠ¹ãî¥ãà of Equity with a view to optimize shareholder value. Ôããè½ãã‚ããò ‡ãñŠ ‚ã¶ãì¹ããÊã¶ã ‡ãŠã ¹ãƺããñ£ã¶ã ‡ãŠÀ¦ãã Öõ ‚ããõÀ ††Êㆽ㠶ããèãä¦ã ½ãò Ô¹ãӛ The Asset-Liability Management Committee (ALCO) ‚ã¶ãìÔããÀ ºãã•ããÀ ãäÔ©ããä¦ã¾ããò (Ìã¦ãýãã¶ã ¦ã©ãã ¹ãƦ¾ãããäÍã¦ã) ‡ãñŠ ‚ã¶ãì¹ã À¥ã¶ããèãä¦ã / Board monitors adherence of prudential limits fixed ãä¶ã£ããÃãäÀ¦ã ‡ãŠÀ¦ãã Öõý ›Èñû•ãÀãè ãäÌã¼ããØã ½ãò ‡ãŠã¾ãÃÀ¦ã ½ã£¾ã ‡ãŠã¾ããÃÊã¾ã Ôã½ãîÖ ¼ããè by the Bank and determines the strategy in the light ãäÌãÌãñ‡ãŠ¹ãî¥ãà Ôããè½ãã‚ããò ‡ãŠñ ‚ã¶ãì¹ããÊã¶ã ‡ãŠãñ ãä¶ãÀâ¦ãÀ ¹ã Ôãñ ¹ãƺããñ£ã¶ã ‡ãŠÀ¦ãã Öõý of the market conditions (current and expected) as articulated in the ALM policy. The mid-office of Treasury monitors adherence to the prudential limits ¹ãƽãã¨ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã on a continuous basis. Œã) ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãì¹㠹ãîú•ããè ‡ãñŠ ‚ã¶ãìÀàã¥ã ‡ãñŠ Quantitative Disclosures:

ãäÊㆠºãñÔãÊã-ýý ¹ãÆñŠ½ãÌã‡ãÊ ‡ãñŠ ½ãã¶ã‡ãŠãè‡ãðŠ¦ã ‚ãÌããä£ã Òãäӛ‡ãŠãñ¥ã ‡ãñŠ ‚ã¶ãìÔããÀ In line with the RBI’s guidelines, the Bank has ºãã•ããÀ •ããñãäŒã½ã ‡ãñŠ ãäÊㆠºãö‡ãŠ ¶ãñ ¹ãîú•ããè ¹ããäÀ‡ãŠãäÊã¦ã ãä‡ãŠ¾ãã Öõý 31.03.2010 computed capital for market risk as per Standardised ¦ã‡ãŠ ºãö‡ãŠ ‡ãñŠ ›Èñãä¡âØã ºãì‡ãŠ ½ãò ºãã•ããÀ •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ¹ãîú•ããè ‚ã¹ãñàãã†ú ãä¶ã½¶ã Duration Approach of Basel-II framework for ¹ãƇãŠãÀ Öö: maintaining capital. The capital requirement for market risk as on 31.3.2010 in trading book of the (Á.‡ãŠÀãñü¡ãò ½ãò) bank is as under: (Rs. In crores) ºãã•ããÀ •ããñãäŒã½ã ‡ãŠã ¹ãƇãŠãÀ •ããñãäŒã½ãÌããÊããè ¹ãîú•ããè ‚ãããäÔ¦ã (‡ãŠãäʹã¦ã) ‚ããÌã;ã‡ãŠ¦ãã Type of Risk Weighted Capital Market Risk Asset (Notional) requirement º¾ãã•ã ªÀ •ããñãäŒã½ã 2622.42 236.02 ƒÃãä‡ã‹Ìã›ãè ãäÔ©ããä¦ã •ããñãäŒã½ã 1662.01 149.58 Interest Rate Risk 2622.42 236.02 Equity Position Risk 1662.01 149.58 ãäÌãªñÍããè ãäÌããä¶ã½ã¾ã •ããñãäŒã½ã 98.04 8.82 Foreign Exchange Risk 98.04 8.82 ‡ãìŠÊã 4382.47 394.42 TOTAL 4382.47 394.42 ¦ãããäÊã‡ãŠã ¡ã膹㊠- 9 Table DF – 9 ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ •ããñãäŒã½ã: Operational Risk: Øãì¥ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã: Qualitative disclosures:

¹ããäÀÞããÊã¶ã㦽ã‡ãŠ •ããñãäŒã½ã ‡ãŠã ¦ã㦹ã¾ãà ‚ã¹ã¾ããù¦ã ¾ãã ãäÌã¹ãŠÊ㠂ããâ¦ããäÀ‡ãŠ ¹ãÆãä‡ãŠ¾ãã‚ããò, Operational Risk is the risk of loss resulting from ÊããñØããò ¦ã©ãã ¹ãÆ¥ãããäÊã¾ããò ¾ãã ºããÖÀãè Ü㛶ãã‚ããò ‡ãñŠ ¹ãŠÊãÔÌã¹ã Öãñ¶ãñ ÌããÊããè Öããä¶ã inadequate or failed internal processes, people and ‡ãŠã •ããñãäŒã½ã Öõý ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ •ããñãäŒã½ã ½ãò ãäÌããä£ã‡ãŠ •ããñãäŒã½ã Íãããä½ãÊã Öö systems or from external events. Operational risk ½ãØãÀ ¨ãÉ¥ã¶ããèãä¦ã †Ìãâ ¹ãÆãä¦ãӟã Ôãâºãâ£ããè •ããñãäŒã½ã Íãããä½ãÊã ¶ãÖãé Öõý includes legal risk but excludes strategic and reputation risk. ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ •ããñãäŒã½ã ‡ãñŠ ¹ãƺãâ£ã¶ã ¹ãÀ ¶ããèãä¦ã¾ããú: Policies on Management of Operational risk:

ºãö‡ãŠ ¶ãñ ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¶ããèãä¦ã ‡ãŠã Ø㟶ã ãä‡ãŠ¾ãã Öõ •ããñ ºãö‡ãŠ ‡ãñŠ The bank has framed operational risk management ºããñ¡Ã ´ãÀã ãäÌããä£ãÌã¦ãá ‚ã¶ãì½ããñã䪦ã Öõý ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ •ããñãäŒã½ã ‡ãñŠ ãäÊㆠºãö‡ãŠ policy duly approved by the Board. Other policies ‡ãñŠ ºããñ¡Ã ´ãÀ㠂ã¹ã¶ãã¾ããè Øã¾ããè ‚ã¶¾ã ¶ããèãä¦ã¾ããú: (‡ãŠ) ÔãîÞã¶ãã ¹ãÆ¥ããÊããè ÔãìÀàãã adopted by the Board which deal with management of operational risk are (a) information systems ¶ããèãä¦ã (Œã) ¹ãŠãñÀñ‡ã‹Ô㠕ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¶ããèãä¦ã (Øã) ‚ã¹ã¶ãñ ØãÆãև㊠‡ãŠãñ •ãã¶ãò security policy (b) forex risk management policy (c) (‡ãñŠÌããƒÔããè) ‚ããõÀ £ã¶ã Íããñ£ã¶ã ãä¶ãÌããÀ‡ãŠ (††½ã†Êã) ‡ãŠã¾ãÃãäÌããä£ã¾ããò ¹ãÀ ¶ããèãä¦ãØã¦ã Policy document on know your customer (KYC) and ªÔ¦ããÌãñ•ã (Üã) ‚ããäÌãÀã½ã ‚ãホãè ‡ãŠãÀãñºããÀ ¦ã©ãã Ôãâ‡ãŠ› ãä¶ãÌããÀ¥ã ¾ããñ•ã¶ãã Anti-Money Laundering (AML) procedures (d) IT (‚ãホãè-ºããèÔããè-¡ãè‚ããÀ¹ããè) Ý) ‚ã¶ãì¹ããÊã¶ã ¶ããèãä¦ã ‚ããõÀ Þã) ãäÌ㦦ããè¾ã ÔãñÌãã‚ããò Business continuity and disaster recovery plan (IT_BC- DRP) (e) compliance policy and (f) policy on ‡ãŠãè ‚ãㄛÔããóãäÔãâØã ¹ãÀ ¶ããèãä¦ãý outsourcing of Financial Services.

138 ºãö‡ãŠ ´ãÀ㠂ã¹ã¶ããƒÃ ØãƒÃ ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¶ããèãä¦ã, ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ The operational risk management policy adopted by •ããñãäŒã½ã ‡ãñŠ ¹ãƺãâ£ã¶ã ‡ãñŠ ãäÊㆠÔãâØ㟶ã㦽ã‡ãŠ ÔãâÀÞã¶ãã ¦ã©ãã ãäÌãÔ¦ãð¦ã ¹ãÆãä‡ãŠ¾ãã‚ããò the Bank outlines organization structure and detail processes for management of operational risk. The ‡ãŠãè ¹ãÀñŒãã ºã¦ãã¦ããè Öõý ¶ããèãä¦ã ‡ãŠã ½ãîÊ㠄ÿñ;㠺ãö‡ãŠ ‡ãŠãè •ããñãäŒã½ã ¹ãƺãâ£ã¶ã basic objective of the policy is to closely integrate ¹ãÆãä‰ãŠ¾ãã‚ããò ½ãò ¼ãîãä½ã‡ãŠã‚ããò ‡ãñŠ Ô¹ãӛ ãä¶ã¾ã¦ã¶ã ‡ãñŠ •ããäÀ† ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ •ããñãäŒã½ã operational risk management processes of the bank ‡ãŠãñ ¹ãƼããÌããè ¤âØã Ôãñ ¹ãÖÞãã¶ã¶ãñ, ãä¶ã£ããÃãäÀ¦ã ‡ãŠÀ¶ãñ, ¹ãƺããñãä£ã¦ã ‡ãŠÀ¶ãñ ¦ã©ãã ãä¶ã¾ãâãä¨ã¦ã by clearly assigning roles for effectively identifying ¾ã㠇㊽㠇ãŠÀ¶ãñ ‚ããõÀ ¼ããõãä¦ã‡ãŠ ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ Öããä¶ã¾ããò Ôããä֦㠹ããäÀÞããÊã¶ã㦽ã‡ãŠ assessing, monitoring and controlling or mitigating operational risk and by timely reporting of operational ¨ãɥ㠕ããñãäŒã½ããò ‡ãŠãè Ôã½ã¾ã ¹ãÀ ãäÀ¹ããñãä›ÄØ㠇ãñŠ ´ãÀã ºãö‡ãŠ ‡ãñŠ ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ risk exposures including material operational losses. •ããñãäŒã½ã ¹ãƺãâ£ã¶ã ¹ãÆ¥ããÊããè ‡ãŠãñ †‡ãŠãè‡ãðŠ¦ã ‡ãŠÀ¶ãã Öõý ºãö‡ãŠ ½ãò ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ Operational risk in the bank are managed through •ããñãäŒã½ã ‡ãŠãñ ̾ãã¹ã‡ãŠ ¦ã©ãã ÔãìÔ¹ãӛ ‚ããâ¦ããäÀ‡ãŠ ãä¶ã¾ãâ¨ã¥ã ¹ãÆñŠ½ãÌã‡ãÊ ‡ãñŠ ´ãÀã comprehensive and well-articulated internal control framework. Ôãâ¼ããÊã㠕ãã¦ãã Öõý The Bank has got embodied in its Book of Instructions ºãö‡ãŠ ¶ãñ ‚ã¹ã¶ããè ‚ã¶ãìªñÍã ¹ãìÔ¦ã‡ãŠ ½ãò ãäÌããä¼ã¸ã ¹ããäÀÞããÊã¶ããò ‡ãñŠ ãäÊㆠÔãìÔ¹ãӛ well-defined systems and procedures for various ¹ã®ãä¦ã¾ãã⠆Ìãâ ¹ãÆãä‰ãŠ¾ãã†â ºã¶ãã ÀŒããè Ööý ºãö‡ãŠ ¶ãñ ‡ãŠ½¹¾ãî›Àãè‡ãðŠ¦ã ¹ããäÀÞããÊã¶ããò ‡ãŠãñ operations. The bank has issued detailed guidelines for handling computerized operations and a system Ôãâ¼ããÊã¶ãñ ‡ãñŠ ãäÊㆠãäÌãÔ¦ãð¦ã ãäªÍãããä¶ãªóÍ㠕ããÀãè ‡ãŠãè Öõ ‚ããõÀ ãä¶ã£ããÃãäÀ¦ã ¹ã®ãä¦ã¾ããòñ of EDP audit is in place to ensure adherence to the ‚ããõÀ ¹ãÆãä‰ãŠ¾ãã‚ããò ‡ãŠã ¹ããÊã¶ã Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠƒÃ¡ãè¹ããè ÊãñŒãã ¹ãÀãèàãã laid down systems and procedures. The Bank has Ô©ãããä¹ã¦ã Öõý ºãö‡ãŠ ½ãò ‡ãŠ½ãÃÞãããäÀ¾ããò ‡ãñŠ ãäÌããä¼ã¸ã Ô¦ãÀãò ‡ãŠãè ¼ãîãä½ã‡ãŠã ‡ãñŠ ºããÀñ ½ãò clear guidelines as to the role functions of various levels of employees. A training system with provision for Ô¹ãӛ ãäªÍãããä¶ãªóÍã Ööý „£ããÀ, ¹ãŠãÀñ‡ã‹Ô㠂ããõÀ ‚㶾㠇ãŠã¾ãÃàãñ¨ããò ½ãò ãäÌãÍãñÓã giving specialized training in credit /forex and other ¹ãÆãäÍãàã¥ã ªñ¶ãñ ‡ãñŠ ãäÊㆠ¹ãÆãäÍãàã¥ã ¹ãÆ¥ããÊããè Öõý Ôã¼ããè ‡ãŠ½ãÃÞãããäÀ¾ããò ‡ãñŠ ãäÊㆠfunctional area is in place. Conduct rules and service ‚ããÞããÀ ãä¶ã¾ã½ã Ìã ÔãñÌãã ãäÌããä¶ã¾ã½ã ¼ããè „¹ãÊ㺣ã Ööý regulations for all the employees are also in place. Various internal and external audit systems are in ãä¶ã£ããÃãäÀ¦ã ¹ã®ãä¦ã¾ããò ‚ããõÀ ¹ãÆãä‰ãŠ¾ãã‚ããò ‡ãŠã ‚ã¶ãìÔãÀ¥ã Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀ¶ãñ ‡ãñŠ place to ensure that laid down systems and ãäÊㆠãäÌããä¼ã¸ã ‚ã㶦ããäÀ‡ãŠ ‚ããõÀ ºããÛã ÊãñŒãã ¹ãÀãèàãã ¹ãÆ¥ãããäÊã¾ããâ Öö ‚ããõÀ ‡ãŠãä½ã¾ããò procedures are followed and timely actions are ‡ãŠãñ Ôãì£ããÀ¶ãñ ‡ãñŠ ãäÊㆠÔã½ã¾ã ¹ãÀ ‡ãŠãÀÃÌããƒÃ ‡ãŠãè •ãã¦ããè Öõý initiated for rectifying the deficiencies. The Bank has put in place compliance policy duly ºãö‡ãŠ ¶ãñ ºããñ¡Ã ´ãÀ㠂ã¶ãì½ããñã䪦㠂ã¶ãì¹ããÊã¶ã ¶ããèãä¦ã ‡ãŠãñ ‚ã¹ã¶ãã¾ãã Öõý ºãö‡ãŠãò ½ãò approved by Board. In terms of the RBI guidelines ‚ã¶ãì¹ããÊã¶ã ‡ãŠã¾ããô ¹ãÀ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ‡ãñŠ ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ºãö‡ãŠ on compliance functions in banks the bank has ¶ãñ ‡ãñŠ¶³ãè¾ã ‡ãŠã¾ããÃÊã¾ã ½ãò ‡ãŠãÀãñºããÀ Ôã½ãîÖ Ôãñ ‚ãÊãØ㠓‚ã¶ãì¹ããÊã¶ã ãäÌã¼ããØ㔠established separate “Compliance Department” in C.O. independent of business group. Compliance Ô©ãããä¹ã¦ã ãä‡ãŠ¾ãã Öõý ¹ãƦ¾ãñ‡ãŠ ÍããŒãã / ãäÌã¼ããØã / ‡ãŠã¾ããÃÊã¾ã ½ãò ‚ã¶ãì¹ããÊã¶ã ‡ãñŠ Ô¦ãÀ officers are designated in each branch /department/ ‡ãŠãè ãä¶ãØãÀã¶ããè ‡ãñŠ ãäÊㆠ‚ã¶ãì¹ããÊã¶ã ‚ããä£ã‡ãŠãÀãè ¹ãª¶ãããä½ã¦ã ãä‡ãŠ† ØㆠÖöý office to monitor the level of compliance. The ‚ã¶ãì¹ããÊã¶ã Ô¦ãÀ ‡ãñŠ ½ãîʾããâ‡ãŠ¶ã ‡ãñŠ ãäÊㆠ¹ãÆãä‰ãŠ¾ãã Ìã ¹ãÆ¥ãããäÊã¾ããâ ¦ãõ¾ããÀ ‡ãŠãè ØãƒÃ methodologies and system have been devised and Ööý ‚ã¶ãì¹ããÊã¶ã ‡ãŠã¾ããô ‡ãñŠ ãäÊㆠãäÀ¹ããñãä›ÄØã ¹ãÆ¥ããÊããè ¼ããè ¦ãõ¾ããÀ ‡ãŠãè ØãƒÃ Öõ ‚ããõÀ put in place for assessment of level of compliance. Reporting systems on compliance function have been ¹ããÊã¶ã ‡ãŠãè •ãã ÀÖãè Öõý devised and put in place. ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀ㠕ããÀãè ãä‡ãŠ† Øㆠ‚ãâãä¦ã½ã ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ In line with the final guidelines issued by RBI our Ö½ããÀã ºãö‡ãŠ ºãñãäÔã‡ãŠ ƒã䥡‡ãñŠ›À Òãäӛ‡ãŠãñ¥ã ‚ã¹ã¶ãã ÀÖã Öõý ãäªÍãããä¶ãªóÍããò ‡ãñŠ bank is adopting the Basic Indicator Approach for computing capital for operational risk. As per the ‚ã¶ãìÔããÀ, ºãö‡ãŠ ‡ãñŠ ¹ããÔã ¹ããäÀÞããÊã¶ã •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ¹ãîâ•ããè ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà guidelines the banks must hold capital for operational ºãö‡ãŠ ´ãÀã ºã¦ããƒÃ ØãƒÃ Ôã‡ãŠãÀ㦽ã‡ãŠ ÌãããäÓãÇ㊠Ôã‡ãŠÊ㠂ãã¾ã ‡ãñŠ 15% ‡ãñŠ ãä¹ãœÊãñ risk equal to the average over the previous three ¦ããè¶ã ÌãÓããô ‡ãñŠ ‚ããõÔã¦ã ‡ãñŠ ºãÀãºãÀ ‡ãŠãè ¹ãîú•ããè Öãñ¶ããè Þãããäֆý years of 15% of positive annual gross income as defined by RBI. ¹ãƽãã¨ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã Quantitative disclosures ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀ㠕ããÀãè ‚ãâãä¦ã½ã ãäªÍãããä¶ãªôÍããò ‡ãñŠ ‚ã¶ãì¹ã Ö½ããÀñ ºãö‡ãŠ In line with final guidelines issued by RBI, our Bank has adopted the Basic Indicator Approach for ¶ãñ ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ¹ãîú•ããè ‡ãñŠ ¹ããäÀ‡ãŠÊã¶ã Öñ¦ãì ºãñãäÔã‡ãŠ ƒâã䡇ãñŠ›À computing capital for Operational Risk. As per the ¹ãÆ¥ããÊããè ‡ãŠãñ ‚ã¹ã¶ãã¾ãã Öõý ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãìÔããÀ ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ •ããñãäŒã½ã guidelines, the capital for Operational Risk is equal ‡ãñŠ ãäÊㆠ¹ãîú•ããè, ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀã ¹ããäÀ¼ãããäÓã¦ã Ôã‡ãŠãÀ㦽ã‡ãŠ ÌãããäÓãÇ㊠to the average over the previous three years of 15% Ôã‡ãŠÊ㠂ãã¾ã ‡ãñŠ 15% ‡ãñŠ ãä¹ãœÊãñ ¦ããè¶ã ÌãÓããô ‡ãñŠ ‚ããõÔã¦ã ‡ãñŠ Ôã½ãã¶ã Öõý ƒÔã of positive annual Gross Income as defined by RBI. As per such estimate, the capital requirement for ¹ãƇãŠãÀ ‡ãñŠ ¹ãÆã‡ã‹‡ãŠÊã¶ã ‡ãñŠ ‚ã¶ãìÔããÀ ã䪶ããâ‡ãŠ 31.03.2010 ¦ã‡ãŠ ¹ããäÀÞããÊã¶ã㦽ã‡ãŠ Operational Risk as on 31.03.2010 is Rs. 511.42 •ããñãäŒã½ã ‡ãñŠ ãäÊㆠ¹ãîú•ããè ‚ããÌã;ã‡ãŠ¦ãã Á.511.42 ‡ãŠÀãñü¡ Öõý crores.

139 ¦ãããäÊã‡ãŠã ¡ã膹㊠- 10 Table DF –10 ºãöãä‡ãâŠØã ºãÖãè ½ãò º¾ãã•ã ªÀ •ããñãäŒã½ã: Interest rate risk on the Banking Book: Øãì¥ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã: Qualitative disclosures: º¾ãã•ã ªÀ •ããñãäŒã½ã ÌãÖ •ããñãäŒã½ã Öãñ¦ãã Öõ •ãÖãú ºãã•ããÀ º¾ãã•ã ªÀ ½ãò ¹ããäÀÌã¦ãöã Interest rate risk is the risk where changes in the ºãö‡ãŠ ‡ãŠãè ãäÌ㦦ããè¾ã ãäÔ©ããä¦ã ‡ãŠãñ ¹ãƼãããäÌã¦ã ‡ãŠÀ Ôã‡ãŠ¦ãã Öõý º¾ãã•ã ªÀãò ½ãò Öãñ¶ãñÌããÊãñ market interest rates might affect a bank’s financial condition. Changes in interest rates may affect both ¹ããäÀÌã¦ãöã ÞããÊãî ‚ã•ãöã (¹ããäÀ¹ãÆñà¾ã ‚ã•ãöã) ¦ã©ãã ºãö‡ãŠ ‡ãñŠ ¶ãñ›Ìã©ãà (¹ããäÀ¹ãÆñà¾ã the current earnings (earnings perspective) as also ‚ãããä©ãÇ㊠½ãîʾã) ªãñ¶ããò ‡ãŠãñ ¹ãƼãããäÌã¦ã ‡ãŠÀ Ôã‡ãŠ¦ãã Öõý ¹ããäÀ¹ãÆñà¾ã ‚ã•ãö㠇ãŠñ the net worth of the Bank (economic value •ããñãäŒã½ã ‡ãŠãñ ãä¶ãÌãÊã º¾ãã•ã ‚ãã¾ã (†¶ã‚ãヂããƒ) ¾ãã ãä¶ãÌãÊã º¾ãã•ã ½ãããä•ãöã perspective). The risk from earnings perspective can (†¶ã‚ãテ½ã) ¹ãÀ ¹ãü¡¶ãñ ÌããÊãñ ¹ãƼããÌ㠇ãñŠ ‚ã¶ãìÔããÀ ½ãã¹ã㠕ãã Ôã‡ãŠ¦ãã Öõý ƒÔããè be measured as impact on the Net Interest Income ¹ãƇãŠãÀ ¹ããäÀ¹ãÆñà¾ã ‚ãããä©ãÇ㊠½ãîʾ㠇ãñŠ •ããñãäŒã½ã ‡ãŠãñ ƒÃãä‡ã‹Ìã›ãè ‡ãñŠ ‚ãããä©ãÇ㊠½ãîʾ㠽ãò (NII) or Net Interest Margin. Similarly the risk from economic value perspective can be measured as Öãñ¶ãñ ÌããÊãñ Üã›ãÌã Ôãñ ½ãã¹ã㠕ãã Ôã‡ãŠ¦ãã Öõý drop in Economic Value of Equity. ‚ãʹããÌããä£ã (‚ã•ãö㠹ããäÀ¹ãÆñà¾ã) ¦ã©ãã ªãèÜããÃÌããä£ã ‚ãããä©ãÇ㊠½ãîʾ㠹ããäÀ¹ãÆñà¾ã Ôãñ The bank identifies the risks associated with the ºãöãä‡ãâŠØã ºãì‡ãŠ ½ãò ‚ããù¶ã ºãõÊãòÔã Íããè› ¦ã©ã㠂ããù¹ãŠ ºãöÊãòÔã Íããè› •ããñãäŒã½ããò ¹ãÀ changing interest rates on its on-balance sheet and ¹ããäÀÌã¦ãöãÍããèÊã º¾ãã•ã ªÀãò ‡ãñŠ Ôãã©ã •ãìü¡ñ •ããñãäŒã½ããò ‡ãŠãñ ºãö‡ãŠ ¹ãÖÞãã¶ã¦ãã Öõý off-balance sheet exposures in the banking book from ‚ãã¾ã ¹ãÀ ¹ãƼããÌ㠇ãŠãñ ºãö‡ãŠ ‡ãŠãè ††Êㆽ㠶ããèãä¦ã ½ãò ãä¶ã£ããÃãäÀ¦ãã¶ãìÔããÀ 100 ºããè¹ããè†Ôã a short term (Earnings perspective) and long term ¹ãÀ ‡ãŠãäʹã¦ã ªÀ ¹ãÆÜãã¦ã (Íããù‡ãŠ) ‡ãŠãñ ÊããØãî ‡ãŠÀ‡ãñŠ •ãã膹ããè ãäÌãÍÊãñÓã¥ã ‡ãñŠ ¹ãƾããñØã Economic Value Perspective. The impact on income (Earnings Perspective) is measured through use of Ôãñ ½ãã¹ã¦ãã Öõý †ñÔãñ ¹ãƼããÌããò ‡ãñŠ ãäÊㆠºãö‡ãŠ ‡ãñŠ †¶ã‚ãヂãム‡ãŠãè ¹ãÆãä¦ãÍã¦ã¦ã㠇ãñŠ GAP analysis by applying notional rate shock upto ‚ã¶ãìÔããÀ ãäÌãÌãñ‡ãŠ¹ãî¥ãà Ôããè½ãã†ú ãä¶ã£ããÃãäÀ¦ã ‡ãŠãè ØãƒÃ Öö ‚ããõÀ „Ôã‡ãŠã ¹ãƺããñ£ã¶ã 100bps as prescribed in the bank’s ALM Policy. ‚ããÌããä£ã‡ãŠ ¹㠽ãò ãä‡ãŠ¾ã㠕ãã¦ãã Öõý ‚ã•ãö㠹ãÀ ¹ãƼããÌ㠇ãñŠ ¹ããäÀ‡ãŠÊã¶ã ‡ãñŠ ãäÊã†, Prudential limits have been prescribed for such ªÀ ÔãâÌãñã䪦ãã ãäÌãÌãÀ¥ã Ôãñ ¹ããÀâ¹ããäÀ‡ãŠ •ãã膹ããè ‡ãŠãñ ãäÊã¾ã㠕ãã¦ãã Öõ ‚ããõÀ ãäÌãÍãñÓã impacts as a percentage of NII of the bank and the ‚ãÌããä£ã ‡ãñŠ ½ã£¾ã Ôãñ ÍãñÓã Ôã½ã¾ããÌããä£ã ‡ãñŠ ‚ãã£ããÀ ¹ãÀ º¾ãã•ã ªÀ ½ãò 100 ºããè¹ããè†Ôã same is monitored periodically. For the calculation ¦ã‡ãŠ ‡ãñŠ ¹ããäÀÌã¦ãö㠇ãñŠ ¹ãƼããÌ㠇ãŠãñ ¹ããäÀ‡ãŠãäÊã¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý ªÀ ÔãâÌãñª¶ãÍããèÊã of impacts on earnings, the Traditional Gap is taken from the Rate sensitivity statement and based on ãäÌãÌãÀ¥ã Ôãñ ¹ããÀâ¹ããäÀ‡ãŠ •ãã膹ããè ‡ãŠãñ ãäÊã¾ã㠕ãã¦ãã Öõ ‚ããõÀ ãäÌãÍãñÓã Ôã½ã¾ããÌããä£ã ‡ãñŠ the remaining period from the mid point of a particular ºããèÞ㠇ãñŠ ¹ããƒâ› Ôãñ ºãÞããè ÖìƒÃ ‚ãÌããä£ã ‡ãñŠ ‚ãã£ããÀ ¹ãÀ 100 ºããè¹ããè†Ôã ¦ã‡ãŠ º¾ãã•ã bucket the impact for change in interest rate upto ªÀ ½ãò ¹ããäÀÌã¦ãö㠇ãñŠ ¹ãƼããÌ㠇ãŠãñ ¹ããäÀ‡ãŠãäÊã¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý ƒÔããè ‡ãŠãñ ‚ããùÊã‡ãŠãñ 100 bps is arrived at. The same is reported to Board ¦ã©ãã ºããñ¡Ã ‡ãŠãñ ‚ããÌããä£ã‡ãŠ ¦ããõÀ ¹ãÀ ªÀ ÔãâÌãñª¶ãÍããèÊã ãäÌãÌãÀ¥ã ÔããäÖ¦ã ãäÀ¹ããñ›Ã and ALCO periodically along with the rate sensitivity ãä‡ãŠ¾ã㠕ãã¦ãã Öõý ¨ãÉ¥ã Ôããè½ãã‚ããò ‡ãŠãñ ãä¹ãœÊãñ ÌãÓãà ‡ãñŠ †¶ã‚ãヂãム‡ãñŠ ‚ãã£ããÀ ¹ãÀ statement. The limits are fixed on the basis of ãä¶ã¾ã¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý previous year’s NII. The bank has adopted traditional gap analysis ºãö‡ãŠ ¶ãñ ƒÃãä‡ã‹Ìã›ãè ‡ãñŠ ‚ãããä©ãÇ㊠½ãîʾã (‚ãããä©ãÇ㊠½ãîʾ㠹ããäÀ¹ãÆñà¾ã) ¹ãÀ ¹ãƼããÌã combined with duration gap analysis for assessing (¹ãÆãä¦ãÍã¦ã¦ã㠇ãñŠ ¹㠽ãò) ‡ãñŠ ãä¶ã£ããÃÀ¥ã ‡ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠ200 ºããè¹ããè†Ôã ¹ãÀ the impact (as a percentage) on the Economic Value ‡ãŠãäʹã¦ã ªÀ ¹ãÆÜãã¦ã ‡ãŠãñ ÊããØãî ‡ãŠÀ‡ãñŠ ¹ããÀâ¹ããäÀ‡ãŠ •ãã膹ããè ãäÌãÍÊãñÓã¥ã ‡ãŠãñ ‚ãâ¦ãÀãÊã of Equity (Economic Value Perspective) by applying •ãã膹ããè ãäÌãÍãÊãñÓã¥ã ‡ãñŠ Ôãã©ã ãä½ãÊãã‡ãŠÀ ‚ã¹ã¶ãã¾ãã Öõý ƒÔã ¹ãƾããñ•ã¶ã ‡ãñŠ ãäÊㆠa notional interest rate shock of 200 bps. For the ºãö‡ãŠ ‡ãŠãè ††Êㆽ㠶ããèãä¦ã ½ãò ¦ãìÊã¶ã ¹ã¨ã ¹ãÀ ‚ããÍããñãä£ã¦ã ‚ãâ¦ãÀãÊ㠕ãã膹ããè ‡ãñŠ purpose a limit of (+/-) 1% for modified duration gap is prescribed in the Bank’s ALM policy and the ãäÊㆠ(+/-) 1.00% ‡ãŠãè Ôããè½ãã ãä¶ã£ããÃãäÀ¦ã Öõ ‚ããõÀ ƒÔã‡ãŠãè ãäÔ©ããä¦ã ‡ãŠãñ ‚ããÌããä£ã‡ãŠ position is monitored periodically. The bank ¹ã Ôãñ ¹ãƺããñãä£ã¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý ºãö‡ãŠ ‚ããÍããñãä£ã¦ã ¡¿ãîÀñÍã¶ã Øãõ¹ã ‚ããõÀ ƒÃãä‡ã‹Ìã›ãè calculates Modified Duration Gap and the impact on ¹ãÀ ‚ãããä©ãÇ㊠½ãîʾ㠹ãƼããÌ㠇ãŠã ¹ããäÀ‡ãŠÊã¶ã ‡ãŠÀ¦ãã Öõý ‚ãããäÔ¦ã¾ããò, ãä¶ãÌãñÍããò ‚ããõÀ Economic Value of Equity. Assets excluding ªñ¾ã¦ãã‚ããò ‡ãŠãñ œãñ¡‡ãŠÀ ªÀ ÔãâÌãñª¶ãÍããèÊã ãäÌãÌãÀ¥ã ‡ãñŠ ‚ã¶ãìÔããÀ Ôã½ãîֺ㮠Öö investment and liabilities are grouped as per rate ‚ããõÀ ƒ¶ã ‚ãããäÔ¦ã Ìã ªñ¾ã¦ãã Ôã½ãîÖãò ‡ãñŠ ãäÊㆠÔãã½ã㶾㠹ããäÀ¹ã‡ã‹Ìã¦ãã, ‡ãã¶ã Ìã sensitivity statement and bucket-wise modified ¹ãÆãä¦ã¹ãŠÊã ½ãã¶ãª¥¡ãò ‡ãŠã ¹ãƾããñØ㠇ãŠÀ‡ãñŠ Ôã½ã¾ãÌããÀ (ºã‡ãñŠ›) ‚ããÍããñãä£ã¦ã ‚ãâ¦ãÀãÊã duration is computed for these groups of Assets and Liabilities using common maturity, coupon and yield ‡ãŠã ¹ããäÀ‡ãŠÊã¶ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõý ãä¶ãÌãñÍã ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ ‡ãñŠ ãäÊㆠ¹ãƦ¾ãñ‡ãŠ ½ãª ‡ãñŠ parameters. For investment portfolio the modified ‚ããÍããñãä£ã¦ã ‚ãâ¦ãÀãÊ㠇ãŠãñ ¹ããäÀ‡ãŠãäÊã¦ã ‡ãŠÀ‡ãñŠ ãäÊã¾ã㠕ãã¦ãã Öõý ºãö‡ãŠ ½ãò ¡ãè•ãã膹ããè duration of individual items are computed and taken. ‡ãŠãñ ½ãÖãè¶ãñ ½ãò †‡ãŠ ºããÀ ¹ããäÀ‡ãŠãäÊã¦ã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ ‚ããõÀ ‚ããùʇãŠãñ ‡ãŠãñ ãäÀ¹ããñ›Ã The DGAP is calculated by the Bank once a month ãä‡ãŠ¾ã㠕ãã¦ãã Öõý and is reported to ALCO. ‚ãããäÔ¦ã-ªñ¾ã¦ãã ¹ãƺãâ£ã¶ã Ôããä½ããä¦ã (‚ããùʇãŠãñ) / ºããñ¡Ã ºãö‡ãŠ ´ãÀã ãä¶ã¾ã¦ã ãäÌãÌãñ‡ãŠ¹ãî¥ãà The Asset-Liability Management Committee (ALCO) / Board monitors adherence to the prudential limits Ôããè½ãã‚ããò ‡ãñŠ ‚ã¶ãì¹ããÊã¶ã ‡ãŠã ¹ãƺããñ£ã¶ã ‡ãŠÀ¦ãã Öõ ‚ããõÀ ºãã•ããÀ ãäÔ©ããä¦ã ( ÞããÊãî fixed by the bank and determines the strategy in ¦ã©ãã ¹ãƦ¾ãããäÍã¦ã) ‡ãŠãè Òãäӛ ½ãò À¥ã¶ããèãä¦ã ãä¶ã£ããÃãäÀ¦ã ‡ãŠÀ¦ãã Öõý the light of market conditions (current and expected)

140 ¹ãƽãã¨ã㦽ã‡ãŠ ¹ãƇ㊛ãè‡ãŠÀ¥ã Quantitative Disclosures Œã) ãä¶ãÌãÊã º¾ãã•ã ‚ãã¾ã (†¶ã ‚ãム‚ããƒ) ‚ããõÀ ƒÃãä‡ã‹Ìã›ãè ‡ãñŠ ‚ãããä©ãÇ㊠½ãîʾã The impact of changes of Net Interest Income (NII) (ƒÃÌããèƒÃ) ¹ãÀ ¹ããäÀÌã¦ãö㠇ãŠãñ ã䪶ããâ‡ãŠ 31.03.2010 ¦ã‡ãŠ „¹ã¾ãìÇ㋦ã ÞãÞããà ‡ãñŠ and Economic Value of Equity (EVE) calculated as on 31.03.2010 by applying notional interest rate ‚ã¶ãìÔããÀ ‡ãŠãäʹã¦ã º¾ãã•ã ªÀ ¹ãÆÜãã¦ããò ‡ãŠãñ ÊããØãî ‡ãŠÀ‡ãñŠ ¶ããèÞãñ ã䪾ãã Øã¾ãã Öõ : shocks as discussed above are as under (Á. ‡ãŠÀãñü¡ãò ½ãò) (Rs in crores)

º¾ãã•ã ªÀ ½ãò ƒ†‚ããÀ ‡ãñŠ ãäÊㆠ•ããñãäŒã½ã ¹ãÀ ‚ã•ãöã (ƒ†‚ããÀ) Change in ALM Policy Earning at Risk (EaR) ¹ããäÀÌã¦ãö㠆†Êㆽ㠶ããèãä¦ã Ôããè½ãã 26.03.2010 Interest Rate Limit for EaR 26/03/2010 1 ÌãÓãà ¦ã‡ãŠ 5 ÌãÓãà ¦ã‡ãŠ Up to Up to 1 year 5 years 0.25% ¹ããäÀÌã¦ãöã 135.30 0.25% change 135.30 (ãä¹ãœÊãñ ÌãÓãà ‡ãñŠ †¶ã (5% of NII of ‚ãム‚ãム‡ãŠã 5%) 4.91 13.50 previous year) 4.91 13.50 0.50% ¹ããäÀÌã¦ãöã 270.60 0.50% change 270.60 (ãä¹ãœÊãñ ÌãÓãà ‡ãñŠ †¶ã (10% of NII of ‚ãム‚ãム‡ãŠã 10%) 9.81 27.01 previous year) 9.81 27.01 0.75% ¹ããäÀÌã¦ãöã 405.90 0.75% change 405.90 ãä¹ãœÊãñ ÌãÓãà ‡ãñŠ †¶ã (15% of NII of ‚ãム‚ãム‡ãŠã 15%) 14.72 40.51 previous year) 14.72 40.51 1.00% ¹ããäÀÌã¦ãöã 405.90 1.00% change 405.90 (ãä¹ãœÊãñ ÌãÓãà ‡ãñŠ †¶ã (15% of NII of ‚ãム‚ãム‡ãŠã 15%) 19.62 54.02 previous year) 19.62 54.02 ƒÃãä‡ã‹Ìã›ãè ‡ãŠã ‚ãããä©ãÇ㊠½ãîʾã 26.03.2010 ECONOMIC VALUE OF EQUITY 26/3/2010 ‚ããÍããñãä£ã¦ã ¡¿ãîÀñÍã¶ã Øãõ¹ã (¡ãè•ãã膹ããè) 1.00% MODIFIED DURATION GAP (DGAP) 1.00% ƒãä‡ã‹Ìã›ãè ‡ãŠãè ‚ããÍããñãä£ã¦ã-‚ãÌããä£ã (†½ã¡ãèƒ) 9.63% MODIFIED DURATION OF EQUITY (MDE) 9.63% FOR A 200 BPS RATE SHOCK THE DROP 200 ºããè¹ããè†Ôã ªÀ ¹ãÆÜãã¦ã ‡ãñŠ ãäÊㆠƒÃãä‡ã‹Ìã›ãè ½ãîʾ㠽ãò Üã›ãÌã 19.26% IN EQUITY VALUE 19.26%

141 ÊãñŒãã ¹ãÀãèàã‡ãŠãò ‡ãŠãè ãäÀ¹ããñ›Ã AUDITORS’ REPORT ÔãñÌãã ½ãò To ¼ããÀ¦ã ‡ãñŠ Àãӛȹããä¦ã The President of India 1. We have audited the attached Balance Sheet 1. ֽ㠶ãñ ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ ‡ãñŠ 31 ½ããÞãà 2010 ¦ã‡ãŠ ‡ãñŠ of Indian Overseas Bank as at 31st March ÔãâÊãض㠦ãìÊã¶ã-¹ã¨ã, „Ôã‡ãñŠ ‚ã¶ãìºãâ£ã ½ãò ã䪆 Øㆠ31 ½ããÞãà 2010 2010, the Profit and Loss Account and Cash ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà ‡ãñŠ Êãã¼ã Ìã Öããä¶ã Œãã¦ãñ ‚ããõÀ ¶ãû‡ãŠªãè ¹ãÆÌããÖ ãäÌãÌãÀ¥ã Flows Statement of the Bank for the year ‡ãŠãè ÊãñŒãã-¹ãÀãèàã㠇ãŠãè Öõ, ãä•ãÔã½ãò Ö½ããÀñ ´ãÀã ÊãñŒãã-¹ãÀãèãäàã¦ã 20 ended 31st March 2010 annexed thereto in ÍããŒãã‚ããñ⠂ããõÀ 41 àãñ¨ããè¾ã ‡ãŠã¾ããÃÊã¾ããò ‡ãŠãè ãäÌãÌãÀãä¥ã¾ããâù ‚ããõÀ ‚㶾ã which are incorporated the returns of 20 branches and 41 Regional Offices audited ÊãñŒãã-¹ãÀãèàã‡ãŠãò ´ãÀã ÊãñŒãã-¹ãÀãèãäàã¦ã 6 ãäÌãªñÍããè ÍããŒãã‚ããò ÔããäÖ¦ã by us and 1705 branches including 6 1705 ÍããŒãã‚ããò ‡ãŠãè ãäÌãÌãÀãä¥ã¾ããú Íãããä½ãÊã Ööý Ö½ããÀñ ´ãÀã ¦ã©ãã Overseas Branches audited by other auditors. ‚㶾ã ÊãñŒãã-¹ãÀãèàã‡ãŠãò ´ãÀã ÊãñŒãã-¹ãÀãèãäàã¦ã ÍããŒãã‚ããò ‡ãŠã Þã¾ã¶ã The branches audited by us and those ºãö‡ãŠ ¶ãñ ¼ããÀ¦ããè¾ã ãäÀû•ãÌãà ºãö‡ãŠ ´ãÀã û•ããÀãè ãäªÍãããä¶ãªóÍããò ‡ãñŠ ‚ã¶ãì¹ã audited by other auditors have been selected by the Bank in accordance with the guidelines Öãè ãä‡ãŠ¾ãã Öõý ¦ãìÊã¶ã-¹ã¨ã ‚ããõÀ Êãã¼ã Ìã Öããä¶ã Œãã¦ããò ½ãò ‚ã-ÊãñŒãã issued by Reserve Bank of India. Also ¹ãÀãèãäàã¦ã 305 ÍããŒãã‚ããò / ‡ãñŠ¶³ãò Ôãñ ¹ãÆ㹦ã ãäÌãÌãÀ¥ã Ôããä½½ããäÊã¦ã incorporated in the Balance Sheet and Profit Ööý ƒ¶ã ‚ã-ÊãñŒãã ¹ãÀãèãäàã¦ã ÍããŒãã‚ããò ´ãÀ㠂ããäØãƽ㠇ãñŠ 1.35%, & Loss Account are the returns from 305 •ã½ãã‚ããò ‡ãñŠ 4.99%, º¾ãã•ã ‚ãã¾ã ‡ãñŠ 2.19% ‚ããõÀ º¾ãã•ã ̾ã¾ã branches / centres which have not been ‡ãñŠ 2.35% ‡ãŠã ‚ãâÍãªã¶ã Öõ ý ƒ¶ã ãäÌ㦦ããè¾ã ãäÌãÌãÀ¥ããò ‡ãŠãè subjected to audit. These unaudited branches account for 1.35 % of advances, 4.99 % of ãä•ã½½ãñªãÀãè ºãö‡ãŠ ¹ãƺãâ£ã¶ã ¹ãÀ Öõý ‚ã¹ã¶ãñ ÊãñŒãã ¹ãÀãèàã¥ã ‡ãñŠ ‚ãã£ããÀ deposits, 2.19% of interest income and 2.35% ¹ãÀ ãäÌ㦦ããè¾ã ãäÌãÌãÀ¥ããò ‡ãñŠ Ôãâºãâ£ã ½ãò ‚ã¹ã¶ããè Àã¾ã ªñ¶ãã Öãè Ö½ããÀãè of interest expenses. These financial ãä•ã½½ãñªãÀãè Öõý statements are the responsibility of the Bank’s Management. Our responsibility is to express 2. Ö½ã¶ãñ ‚ã¹ã¶ãã ÊãñŒãã ¹ãÀãèàã㠇ãŠã¾ãà ¼ããÀ¦ã ½ãò Ôãã½ã㶾ã¦ã: ÔÌããè‡ãðŠ¦ã an opinion based on our audit. ÊãñŒãã ¹ãÀãèàãã ½ãã¶ã‡ãŠãò ‡ãñŠ ‚ã¶ãìÔããÀ ãä‡ãŠ¾ãã Öõý ƒ¶ã ½ãã¶ã‡ãŠãò ‡ãñŠ ‚ãâ¦ãØãæã 2. We conducted our audit in accordance with ¾ãÖ ‚ã¹ãñàã㠇ãŠãè •ãã¦ããè Öõ ãä‡ãŠ ֽ㠂ã¹ã¶ããè ÊãñŒãã ¹ãÀãèàã㠇ãŠãè ¾ããñ•ã¶ãã the auditing standards generally accepted ƒÔã ¹ãƇãŠãÀ ºã¶ãã¾ãò ‚ããõÀ ãä¶ãÓ¹ããã䪦㠇ãŠÀò ãä‡ãŠ Ö½ã Ôã½ãìãäÞã¦ã ¹ã Ôãñ in India. Those standards require that we plan ƒÔã ºããÀñ ½ãò ‚ããÍÌãÔ¦ã Öãñ •ãã¾ãò ãä‡ãŠ ãäÌ㦦ããè¾ã ãäÌãÌãÀ¥ããò ½ãò ãäÌãÓã¾ã- and perform the audit to obtain reasonable assurance about whether the financial ÌãÔ¦ãì Ôãâºãâ£ããè ‡ãŠãñƒÃ ØãÊã¦ã •ãã¶ã‡ãŠãÀãè ¶ãÖãé ªãè ØãƒÃ Öõý ÊãñŒãã ¹ãÀãèàãã statements are free of material mis- ‡ãñŠ ‚ãâ¦ãØãæã ãäÌ㦦ããè¾ã ãäÌãÌãÀ¥ããò ½ãò ã䪌ããƒÃ ØãƒÃ ÀããäÍã¾ããò ‚ããõÀ ¹ãƇ㊛ statements. An audit includes examination on ‡ãŠãè ØãƒÃ ºãã¦ããò ‡ãñŠ Ôã½ã©ãö㠽ãò ã䪾ãñ Øã¾ãñ Ôããà¾ã ‡ãŠãè ¹ãÀãèàã¥ã ‡ãñŠ ¦ããõÀ a test basis, evidence supporting the amounts ¹ãÀ •ããâÞ㠇ãŠãè •ãã¦ããè Öõý ÊãñŒãã ¹ãÀãèàã㠇ãñŠ ‚ãâ¦ãØãæ㠹ãƺãâ£ã-¦ãâ¨ã ´ãÀã and disclosure in the financial statements. ¹ãƾãì§ãŠ ÊãñŒãã ãäÔã®ã¶¦ããò ¦ã©ãã ¹ãƽãìŒã ‚ãã‡ãŠÊã¶ããò ‡ãŠã ãä¶ã£ããÃÀ¥ã ¦ã©ãã An audit also includes assessing the accounting principles used and significant ¹ãÆÔ¦ãì¦ã ãä‡ãŠ¾ãñ Øã¾ãñ Ôã½ãØãÆ ãäÌ㦦ããè¾ã ãäÌãÌãÀ¥ã ‡ãŠã ½ãîʾããâ‡ãŠ¶ã ¼ããè ãä‡ãŠ¾ãã estimates made by the management, as well •ãã¦ãã Öõ ý Ö½ãò ãäÌãÍÌããÔã Öõ ãä‡ãŠ Ö½ããÀã ÊãñŒãã ¹ãÀãèàã㠇ãŠã¾ãà ֽããÀñ as evaluating the overall financial statements ‚ããä¼ã½ã¦ã ‡ãñŠ ãäÊㆠ„ãäÞã¦ã ‚ãã£ããÀ Öõý presentation. We believe that our audit provides a reasonable basis for our opinion. 3. ¦ãìÊã¶ã-¹ã¨ã ‚ããõÀ Êãã¼ã-Öããä¶ã Œãã¦ãñ ºãö‡ãŠ‡ãŠãÀãè ãäÌããä¶ã¾ã½ã¶ã ‚ããä£ããä¶ã¾ã½ã 3. The Balance Sheet and the Profit and Loss 1949 ‡ãŠãè ¦ãð¦ããè¾ã ‚ã¶ãìÔãîÞããè ‡ãñŠ ‰ãŠ½ãÍã: ¹ãŠã½ãà † ‚ããõÀ ¹ãŠã½ãà ºããè ½ãò Account have been drawn up in Forms “A” ¦ãõ¾ããÀ ãä‡ãŠ† ØㆠÖöý and “B” respectively of the Third Schedule to the Banking Regulation Act, 1949. 4. ãä¶ã½¶ããäÊããäŒã¦ã ‡ãŠãè ‚ããñÀ £¾ãã¶ã ‚ãã‡ãŠãäÓãæã ãä‡ãŠ¾ã㠕ãã¦ãã Öõ: 4. Reference is invited to i. Àã•ãÔÌ㠇ãñŠ ‚ããä¼ã—ãã¶ã ‡ãñŠ Ôãâºãâ£ã ½ãñ ƒâԛãè›á¾ãî› ‚ããù¹ãŠ Þãã›Ã¡Ã i) Significant Accounting Policy No.2.2 and ‚ã‡ãŠã„â›ò›áÔ㠂ããù¹ãŠ ƒâã䡾ãã ´ãÀ㠕ããÀãè ãä‡ãŠ† ØㆠÊãñŒãã‡ãŠÀ¥ã 2.5 (Schedule – 17) regarding revenue ½ãã¶ãª¥¡ - 9 ‡ãñŠ Ôãã©ã ½ãÖ¦Ìã¹ãî¥ãà ÊãñŒãã‡ãŠÀ¥ã ¶ããèãä¦ã Ôãâ.2.2, recognition which are not in conformity †Ìãâ 2.5 (‚ã¶ãìÔãîÞããè -17) ½ãñÊã ¶ãÖãé Œãã¦ãñ Ööý with Accounting Standard – 9 issued by

142 ii. Êãã佺ã¦ã ªãÌããò ‡ãŠãè ÌãÔãîÊããè ‚ããõÀ/‚ã©ãÌãã ØããÀâ›ãè ÔãâÔ©ãã‚ããò ½ãò the Institute of Chartered Accountants of ªãÌãñ ‚ã¼ããè ¹ãÆÔ¦ãì¦ã ãä‡ãŠ† •ãã¶ãñ ‡ãñŠ Ôãâºãâ£ã ½ãò ÊãñŒããò ¹ãÀ ¶ããñ›áÔã India. (‚ã¶ãìÔãîÞããè - 18) ‡ãŠãè ¶ããñ› Ôã⌾ãã 3.2ý ii) Note No.3.2 in Notes on Accounts (Schedule – 18) regarding recoverablility ÊãñŒããò ¹ãÀ ¶ããñ›áÔã (‚ã¶ãìÔãîÞããè -18) ½ãò Êãã¼ã Ìã Öããä¶ã Œãã¦ãã, of claims pending and / or yet to be lodged with Guarantee Institutions. ¦ãìÊã¶ã-¹ã¨ã, ¹ãîú•ããè ¹ã¾ããù¦ã¦ã㠂ã¶ãì¹ãã¦ã ‚ããõÀ ‡ãŠãÀãñºããÀ ‚ã¶ãì¹ãã¦ããò ¹ãÀ ¹ãÀ „ãäÊÊããäŒã¦ã ½ãªãò ‡ãñŠ ¹ãƼããÌ㠇ãŠã ¹ã¦ãã ¶ãÖãé ÊãØãã¾ãã The impact of the items stated herein above on the Profit & Loss Account, •ãã Ôã‡ãŠ¦ãã Öõý Balance Sheet, Capital Adequacy Ratio and business ratios as stated in Notes 5. ¹ãì¶ã: ÔãâÀãäÞã¦ã Œãã¦ããò, ‡ãŠãÀãñºããÀ ‚ã¶ãì¹ãã¦ã, ‚ãããäÔ¦ã¾ããò Ìã ªñ¾ã¦ãã‚ããò on Accounts (Schedule-18) is not ‡ãñŠ ¹ããäÀ¹ã‡ã‹Ìã¦ãã ¹ãõ›¶ãà , ÔãâÌãñª¶ãÍããèÊã ¹ãÆÌãØããô ‡ãŠãñ ¨ãɥ㠕ããñãäŒã½ã, ascertainable. ‚ã¹ãƦ¾ãã¼ãî¦ã ‚ããäØãƽã Ì㠕ã½ãã‚ããò ‡ãŠã ‡ãñŠ¶³ãè‡ãŠÀ¥ã, ‚ããäØãƽã, ¨ãÉ¥ã 5. The additional disclosures made in Note •ããñãäŒã½ã ‚ããõÀ ‚ã¶ã•ãÇ㊠‚ãããäԦ㠇ãñŠ Ôãâºã¶£ã ½ãò ÔãîÞã¶ã㠇ãñŠ ãäÔãÊããäÔãÊãñ No.4.2, 5, 6,7, 8.7 and 10.I to the Notes on ½ãò ÊãñŒããò ¹ãÀ ¶ããñ›áÔã (‚ã¶ãìÔãîÞããè 18) ‡ãñŠ ¶ããñ› Ôãâ- 4.2, 5, 6 ,7 Accounts (Schedule 18) with regard to information in respect of Restructured 8.7 ‚ããõÀ 10.1 ½ãò ã䪆 Øㆠ‚ããä¦ããäÀ§ãŠ ¹ãƇ㊛¶ã, ºãö‡ãŠ ´ãÀã ¹ãƽãããä¥ã¦ã Accounts, Business Ratios, Maturity Pattern ÔãîÞã¶ãã / ãäÀ‡ãŠãù¡Ã ¹ãÀ ‚ãã£ãããäÀ¦ã Öö ‚ããõÀ „¶ã ¹ãÀ ֽ㠶ãñ ãäÌãÍÌããÔã of Assets and Liabilities, Exposure to ãä‡ãŠ¾ãã Öõý Sensitive Sectors, Unsecured Advances and Concentration of Deposits, Advances, 6. ºãöãå‡ãŠØ㠇ãŠâ¹ã¶ããè („¹ã‰ãŠ½ããò ‡ãŠã ‚ããä£ãØãÆ֥㠂ããõÀ ‚ãâ¦ãÀ¥ã) ‚ããä£ããä¶ã¾ã½ã Exposures and NPAs respectively are based on the records / information as certified by 1970 ‡ãñŠ ‚ã¶ãìÔããÀ ‚ããõÀ ºãÍã¦ãó - the Bank and relied upon by us. i) „‡ã‹¦ã ¹ããäÀޜñª 1 ½ãò ªÍããþãñ Øã¾ãñ ÊãñŒãã¹ãÀãèàã㠇ãŠãè ¹ããäÀÔããè½ãã, 6. As required by the Banking Companies ‚ããõÀ ƒÔã½ãò ‚ããÌã;ã‡ãŠ ¹ãƇ㊛¶ã ‡ãŠãè Ôããè½ãã‚ããò ‡ãŠãñ £¾ãã¶ã ½ãò (Acquisition and Transfer of Undertakings) Act 1970 and subject to ÀŒã¦ãñ Öí† i) the limitation of the audit indicated in ii) „¹ã¾ãì‡ã‹¦ã ¹ãõÀã 4 †Ìãâ 5 ½ãò Ö½ããÀñ ‚ããä¼ã½ã¦ããò ‡ãŠãñ £¾ãã¶ã ½ãò Paragraph 1 above, and the limitation ÀŒã¦ãñ Öì† ‚ããõÀ of disclosure required therein ii) our observations in Paragraph 4 & 5 iii) Ôãã½ã㶾ã¦ã: ÔÌããè‡ãðŠ¦ã ÊãñŒããâ‡ãŠ¶ã ¹ãÆãä‰ãŠ¾ã㠇ãñŠ ‚ã¶ãìÔããÀ above, and Á.246.52 ‡ãŠÀãñ¡ ‡ãŠãè Ôãâ¹ãî¥ãà ‡ãŠ½ããè ‡ãŠãñ ºã›á›ñ Œãã¦ãñ ½ãò iii) Note No. 11 in Notes on Accounts ¡ãÊã¶ãñ ‡ãñŠ ºã•ãã¾ã ¼ããÀ¦ããè¾ã ãäÀ•ãÌãà ºãö‡ãŠ ´ãÀ㠂ã¶ãì½ã¦ã ‚ã¶ãìÔããÀ (Schedule 18) regarding the write off of †‡ãŠ ºãö‡ãŠ ‡ãŠãè ãäÌããäÍãӛ ‚ãããäÔ¦ã¾ããò ‚ããõÀ ªñ¾ã¦ãã‚ããò ‡ãñŠ a sum of Rs 82.17 Crores being one third of the deficit arising on the takeover ‚ããä£ãØãÆÖ¥ã Ôãñ „¦¹ã¸ã †‡ãŠ ãä¦ãÖãƒÃ ‡ãŠ½ããè, •ããñ ãä‡ãŠ Á.82.17 of the specific assets and liabilities of a ‡ãŠÀãñ¡ Öõ , ‡ãŠãñ ºã›á›ñ Œãã¦ãñ ½ãò ¡ãÊã㠕ãã†, ãä•ãÔã‡ãŠã Œãã¦ããò bank – as permitted by Reserve Bank of (‚ã¶ãìÔãîÞããè 18) Ôãñ •ãì¡ãè ã䛹¹ããä¥ã¾ããò ‡ãŠãè ã䛹¹ã¥ããè Ôãâ.11 India – as against writing off the entire deficit of Rs 246.52 Crores as is the ½ãò „ÊÊãñŒã Öõý Generally Accepted Accounting Practice. Ö½ã ãä¶ã½¶ã ¹ãƇãŠãÀ Ôãñ ãäÀ¹ããñ›Ã ‡ãŠÀ¦ãñ Öö: we report as under : a) In our opinion and to the best of our ‡ãŠ) Ö½ããÀãè Àã¾ã ‚ããõÀ Ö½ããÀãè ‚ããä£ã‡ãŠ¦ã½ã •ãã¶ã‡ãŠãÀãè ‡ãñŠ ‚ã¶ãìÔããÀ information and according to the ¦ã©ãã Ö½ãò ã䪾ãñ Øã¾ãñ Ô¹ãӛãè‡ãŠÀ¥ããò ‚ããõÀ ¼ããÀ¦ã ½ãò Ôãã½ã㶾ã¦ã: explanations given to us and as shown ÔÌããè‡ãðŠ¦ã ÊãñŒãã‡ãŠÀ¥ã ãäÔã®ãâ¦ããò ‡ãñŠ ‚ã¶ãì¹㠂ã¶ãìÀãäàã¦ã ºãö‡ãŠ by the books of the Bank maintained in ‡ãŠãè ÊãñŒãã ºããäÖ¾ããò ½ãò ªÍããþãñ Øã¾ãñ ‚ã¶ãìÔããÀ : accordance with generally accepted Accounting Principles in India.

143 i) ¾ãÖ ¦ãìÊã¶ã-¹ã¨ã ¹ãî¥ãà †Ìãâ ÔãÖãè Öõ ‚ããõÀ „Ôã½ãò ‚ããÌã;ã‡ãŠ i) The Balance Sheet is a full and fair •ãã¶ã‡ãŠãÀãè Íãããä½ãÊã Öõ ¦ã©ã㠃Ôã ¹ãƇãŠãÀ „ãäÞã¦ã ¹ã Ôãñ Balance Sheet containing the necessary particulars, and is properly ¦ãõ¾ããÀ ãä‡ãŠ¾ãã Øã¾ãã Öõ ãä‡ãŠ „Ôã½ãò ºãö‡ãŠ ‡ãñŠ 31 ½ããÞãà drawn up so as to exhibit a true and 2010 ‡ãŠãè ãäÔ©ããä¦ã ‡ãñŠ ‚ã¶ãìÔããÀ „Ôã‡ãñŠ ‡ãŠã½ã‡ãŠã•ã ‡ãŠã fair view of the affairs of the Bank as ÔãÖãè ‚ããõÀ ÌããÔ¦ããäÌã‡ãŠ ãäÞã¨ã ¹ãƪãäÍãæã Öãñ¦ãã Öõ ý at 31st March 2010. ii) The Profit and Loss Account shows ii. Êãã¼ã Ìã Öããä¶ã Œãã¦ãã 31 ½ããÞãà 2010 ‡ãŠãñ Ôã½ã㹦ã ÌãÓãà a true balance of Profit for the year ‡ãñŠ Êãã¼ã ‡ãŠã ÔãÖãè ÍãñÓã ªÍããæãã Öõ ‚ããõÀ ended 31st March 2010 and iii. ¶ã‡ãŠªãè ¹ãÆÌããÖ ãäÌãÌãÀ¥ããè, 31 ½ããÞãÃ, 2010‡ãŠãñ Ôã½ã㹦ã iii) The Cash Flows Statement gives a true and fair view of the cash flow for the ÌãÓãà ‡ãñŠ ãäÊㆠ¶ã‡ãŠªãè ¹ãÆÌããÖ ‡ãŠã ÔãÖãè †Ìã⠄ãäÞã¦ã ãäÞã¨ã year ended 31st March 2010. ªÍããæãã Öõý b) We have obtained all the information and Œã) Ö½ã¶ãñ ‚ã¹ã¶ããè ‚ããä£ã‡ãŠ¦ã½ã •ãã¶ã‡ãŠãÀãè ‚ããõÀ ãäÌãÍÌããÔ㠇ãñŠ ‚ã¶ãìÔããÀ explanations, which to the best of our ÊãñŒãã ¹ãÀãèàãã Öñ¦ãì Ôã¼ããè •ãã¶ã‡ãŠãÀãè ¦ã©ãã Ô¹ãӛãè‡ãŠÀ¥ã ¹ãÆ㹦ã knowledge and belief were necessary for the purpose of our audit and have found ãä‡ãŠ¾ãñ Öö ‚ããõÀ „¶Öò Ôãâ¦ããñÓã•ã¶ã‡ãŠ ¹ãã¾ãã Öõ ý the same to be satisfactory. Øã) ºãö‡ãŠ ‡ãñŠ •ããñ Êãñ¶ãªñ¶ã Ö½ããÀãè •ãã¶ã‡ãŠãÀãè ½ãò ‚ãã¾ãñ Öö, Ìãñ ºãö‡ãŠ c) The transactions of the Bank, which have ‡ãñŠ ‚ããä£ã‡ãŠãÀ àãñ¨ã ‡ãñŠ ‚ãâ¦ãØãæã Öãè Ööý come to our notice have been within the powers of the Bank. Üã) ºãö‡ãŠ ‡ãñŠ ‡ãŠã¾ããÃÊã¾ããò ‚ããõÀ ÍããŒãã‚ããò Ôãñ ¹ãÆ㹦ã ãäÌãÌãÀãä¥ã¾ããú, d) The returns received from the offices and Ö½ããÀãè ÊãñŒãã-¹ãÀãèàã㠇ãñŠ ¹ãƾããñ•ã¶ããò ‡ãñŠ ãäÊㆠ¹ã¾ããù¦ã ¹ãã¾ããè branches of the Bank have been found Øã¾ããè Ööý adequate for the purpose of our audit.

‡ãðŠ¦ãñ ‚ããñ½ã ‚ãØãÆÌããÊ㠆ñ¥¡ ‡ãŠâ. ‡ãðŠ¦ãñ Ìã½ããà †ñ¥¡ Ìã½ããà ‡ãðŠ¦ãñ ¹ããè‡ãñŠ†¹ãŠ Ñããè£ãÀ †ñ¥¡ Ôãâ¦ãã¶ã½ã For Om Agarwal & Co For Varma & Varma For PKF Sridhar & Ôã¶ãªãè ÊãñŒãã‡ãŠãÀØã¥ã Ôã¶ãªãè ÊãñŒãã‡ãŠãÀØã¥ã Ôã¶ãªãè ÊãñŒãã‡ãŠãÀØã¥ã Santhanam Chartered Accountants Chartered Accountants Chartered Accountants (‡ãñŠ.Ôããè.Øã칦ãã) (‡ãñŠ.†½ã.Ôãì‡ã슽ããÀ¶ã) (›ãè.Ìããè.ºããÊãÔãìºãƽããä¥ã¾ã¶ã) Ôãã¢ãñªãÀ Ôãã¢ãñªãÀ Ôãã¢ãñªãÀ (K.C.GUPTA) (K.M.SUKUMARAN) (T.V.BALASUBRAMANIAN) Partner Partner Partner Ôã.Ôãâ. 072936 Ôã.Ôãâ. 015707 Ôã.Ôãâ. 027251 M.No. 072936 M.No.015707 M.No.027251 †¹ãŠ‚ããÀ†¶ã Ôãâ.000971Ôããè †¹ãŠ‚ããÀ†¶ã Ôãâ. 004532†Ô㠆¹ãŠ‚ããÀ†¶ã 003990†Ôã FRN 000971C FRN 004532S FRN 003990S ‡ãðŠ¦ãñ ¼ããԇãŠÀ¶ã †ñ¥¡ À½ãñÍ㠇ãðŠ¦ãñ †½ã. ¼ããԇãŠÀ ÀãÌ㠆ñ¥¡ ‡ã⊠‡ãðŠ¦ãñ ãä½ã¦¦ãÊã Øã칦ã㠆ñ¥¡ ‡ã⊠For Bhaskaran & Ramesh For M Bhaskara Rao & Co For Mittal Gupta & Co Ôã¶ãªãè ÊãñŒãã‡ãŠãÀØã¥ã Ôã¶ãªãè ÊãñŒãã‡ãŠãÀØã¥ã Ôã¶ãªãè ÊãñŒãã‡ãŠãÀØã¥ã Chartered Accountants Chartered Accountants Chartered Accountants

(•ãñ.ÀâØãÀã•ã¶ã)(‡ãñŠ.‚ããÀ.À¦¶ã½ã) (ºããè.†Êã.Øã칦ãã) (J.RANGHARAJAN) (K.R.RATNAM) (B.L.GUPTA) Ôãã¢ãñªãÀ Ôãã¢ãñªãÀ Ôãã¢ãñªãÀ Partner Partner Partner Ôã.Ôãâ.024327 Ôã.Ôãâ.002316 Ôã.Ôãâ.073794 M.No.024327 M. No.002316 M.No.073794 †¹ãŠ‚ããÀ†¶ã 000462†Ô㠆¹ãŠ‚ããÀ†¶ã 000459†Ô㠆¹ãŠ‚ããÀ†¶ã 001874Ôããè FRN 000462S FRN 000459S FRN 001874C

Ô©ãã¶ã : Þãñ¸ãõ Place: Chennai ã䪶ããâ‡ãŠ: 29.04.2010 Date: 29.04.2010

144 ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ ‡ãòŠ³ãè¾ã ‡ãŠã¾ããÃÊã¾ã,763,‚㥥ãã ÔããÊãõ,Þãñ¸ãõ- 600 002 ¹ãŠã½ãà ‘ºããè’ ¹ãâ•ããè‡ãðŠ¦ã ¹ãŠãñãäÊã¾ããñ Ôãâ. ¹ãÆãù‡ã‹Ôããè ¹ãŠãù½ãà (¾ããäª ºãñ‡ãŠãØã•ããè‡ãðŠ¦ã ¶ã Öãñ)

(ãäÌããä¶ã¾ã½ã 70 ‡ãŠã „¹ã-ãäÌããä¶ã¾ã½ã¶ã (iii)) ªñŒãò ) ¡ãè¹ããè‚ãメãè Ôãââ: (Íãñ¾ãÀ£ããÀ‡ãŠ ´ãÀã ¼ãÀñ Ìã ÖÔ¦ããàããäÀ¦ã ãä‡ãŠ† •ãã¶ãñ ‡ãñŠ ãäÊã†) Ôããè†Êã‚ãメãè Ôãâ.: ½ãö/Ö½ã, ...... ãä¶ãÌããÔããè ...... ãä•ãÊãã ...... À㕾ã ...... ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ ‡ãñŠ Íãñ¾ãÀ£ããÀ‡ãŠ Öãñ¶ãñ ‡ãñŠ ¶ãã¦ãñ †¦ãªá´ãÀã Ñããè/Ñããè½ã¦ããè ...... ãä¶ãÌããÔããè ...... ãä•ãÊãã ...... À㕾ã ...... ‡ãŠãñ, ½ãâØãÊãÌããÀ ã䪶ããâ‡ãŠ 20 •ãìÊããƒÃ 2010 ‡ãŠãñ ¶ããÀª Øãã¶ã Ôã¼ãã, (ÔãªØãìÁ —ãã¶ãã¶ã¶ªã ÖãÊã) 314, ›ãè ›ãè ‡ãñŠ Àãñ¡, Þãñ¶¶ãõ - 600 018 ½ãò Öãñ¶ãñ ÌããÊããè ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ ‡ãñŠ Íãñ¾ãÀ£ããÀ‡ãŠãò ‡ãŠãè 10Ìããââé ÌãããäÓãÇ㊠Ôãã½ã㶾㠺ãõŸ‡ãŠ ‚ããõÀ ƒÔãÔãñ Ôãâºãâãä£ã¦ã ‡ãŠãñƒÃ ‚㶾ã Ô©ãØã¶ã Öãñ ¦ããñ „Ôã½ãò ½ãì¢ãñ/Ö½ããÀñ ãäÊㆠ‚ããõÀ ½ãñÀãè / Ö½ããÀãè ‚ããñÀ Ôãñ Ìããñ› ªñ¶ãñ ‡ãñŠ ãäÊㆠ¹ãÆãù‡ã‹Ôããè ‡ãñŠ ¹㠽ãò ãä¶ã¾ãì§ãŠ ‡ãŠÀ¦ãã/‡ãŠÀ¦ããè Öâúî/‡ãŠÀ¦ãñ Öö ý ÌãÓãà 2010 ‡ãñŠ ...... ½ããÖ ‡ãñŠ ...... ã䪶ã ÖÔ¦ããàããäÀ¦ã

...... ¹ã¶³Ö ¹ãõÔãñ ‡ãŠã Àã•ãÔÌã (¹ãÆãù‡ã‹Ôããèè ‡ãñŠ ÖÔ¦ããàãÀ) ã䛇㊛ ãäÞã¹ã‡ãŠã†ú ¶ãã½ã ...... ¹ã¦ãã ...... ¹ãÆ©ã½ã ¶ãããä½ã¦ã / †‡ãŠÊã Íãñ¾ãÀ£ããÀ‡ãŠ ‡ãñŠ ÖÔ¦ããàãÀ $ „¹ããäÔ©ããä¦ã ¹ãÞããê ÔãÖ ¹ãÆÌãñÍã ¹ããÔã ( ‡ãðŠ¹ã¾ã㠃Ô㠄¹ããäÔ©ããä¦ã ¹ãÞããê ‡ãŠãñ ¼ãÀ‡ãŠÀ ºãõŸ‡ãŠ ‡ãñŠ ¹ãÆÌãñÍã ´ãÀ ¹ãÀ Ôããõâ¹ã ªò) Íãñ¾ãÀ£ããÀ‡ãŠ ‡ãŠã ¶ãã½ã Ìã ¹ã¦ãã ...... £ãããäÀ¦ã Íãñ¾ãÀãò ‡ãŠãè Ôã⌾ãã : ...... ¹ãâ•ããè‡ãðŠ¦ã ¹ãŠãñãäÊã¾ããò Ôãâ ...... (¾ããäª ºãñ‡ãŠãØãû•ããè‡ãðŠ¦ã ¶ã Öãñ) ¡ãè¹ããè ‚ãメãè Ôãâ ...... ØãÆãև㊠‚ãメãè Ôãâ : ...... (¾ããäª ºãñ‡ãŠãØãû•ããè‡ãðŠ¦ã Öõ ¦ããñ) ½ãö 20 •ãìÊããƒÃ 2010 ‡ãŠãñ ÔãìºãÖ 10.00 ºã•ãñ, ¶ããÀª Øãã¶ã Ôã¼ãã, (ÔãªØãìÁ —ãã¶ãã¶ã¶ª ÖãÊã) 314, ›ãè›ãè‡ãñŠ Àãñ¡, Þãñ¶¶ãõ - 600 018 ½ãò ‚ãã¾ããñãä•ã¦ã ºãö‡ãŠ ‡ãŠãè 10Ìããé ÌãããäÓãÇ㊠Ôãã½ã㶾㠺ãõŸ‡ãŠ ½ãò ‚ã¹ã¶ããè „¹ããäÔ©ããä¦ã ª•ãà ‡ãŠÀ¦ã㠇ãŠÀ¦ããè Öîú ý

(Íãñ¾ãÀ£ããÀ‡ãŠ / ¹ãÆãù‡ã‹Ôããè £ããÀ‡ãŠ / ¹ãÆãä¦ããä¶ããä£ã ‡ãñŠ ÖÔ¦ããàãÀ) 145 Indian Overseas Bank Central Office : 763, Anna Salai, Chennai - 600 002 FORM ‘B’ FORM OF PROXY See Sub-Regulation (iii) of regulation 70 (TO BE FILLED IN AND SIGNED BY THE SHAREHOLDER)

Regd. Folio No. (If not Dematerialised) D P Id No. Cl. Id No. I/We ...... resident of ...... in the district of ...... in the State of ...... , being a shareholder / shareholders of Indian Overseas Bank, hereby appoint Shri/Smt ...... resident of ...... in the district of ...... in the State of ...... as my/our proxy to vote for me/us and on my / our behalf at the 10th Annual General Meeting of the shareholders of Indian Overseas Bank to be held on Tuesday, 20th July 2010 at Narada Gana Sabha, (Sathguru Gnanananda Hall) 314 TTk Road, Chennai - 600 018 and at any adjournment thereof. Signed this ...... day of ...... 2010...... (Signature of the Proxy) Please affix 15 paise Name ...... Revenue Address ...... Stamp ...... Signature of the first named/sole holder $ ATTENDANCE SLIP - CUM - ENTRY PASS (Please fill this attendance slip and hand it over at the entrance of the meeting hall) Name and address of the shareholder ...... No of shares held : ...... Regd Folio No : ...... If not dematerialised) DP ID No: ...... Client Id No: ...... (If dematerialised) I hereby record my presence at the 10th Annual General Meeting of the Bank held on 20th July 2010 at 10.00 A.M. at Narada Gana Sabha, (Sathguru Gnanananda Hall) 314, TTK Road, Chennai - 600 018

...... (Signature of the shareholder / proxy holder / representative)

146 ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ ã䡹ããùãäû•ã›Àãè ÔãñÌãã†ú ¶ãƒÃ Ôãââ. 47 (¹ãìÀã¶ããè Ôãâ. 22), ÖãùÊÔã Àãñü¡, †Øã½ããñÀ, Þãñ¸ãõ 600 008 ¹ãŠãñ¶ã : 044 - 28193617/3618, ¹ãõŠ‡ã‹Ôã : 044-28193619

‚ã¹ã¶ãñ Íãñ¾ãÀãò ‡ãŠãñ ‚ã½ãî¦ããê‡ãðŠ¦ã ¹㠽ãò (ƒÊãñ‡ã‹›Èããä¶ã‡ãŠ ¹ãŠãù½ãÃ) ÀŒãò ‚ã¹ã¶ãñ Íãñ¾ãÀãò ‡ãŠãñ ¡ãè½ãõ› ‡ã‹¾ããò ‡ãŠÀò?

v Þãîúãä‡ãŠ Íãñ¾ãÀ ƒÊãñ‡ã‹›Èãä¶ã‡ãŠ ¹ãŠãù½ãà ½ãò Öö, ‚ã¦ã: ‡ãŠãñƒÃ Öããä¶ã, ÞããñÀãè ¾ãã ¶ãì‡ãŠÔãã¶ã ¶ãÖãé v ãä‡ãŠÔããè ¹ãƇãŠãÀ ‡ãŠãè ªñÀãè †Ìãâ ԛ㽹ã Íãìʇ㊠‡ãñŠ ãäºã¶ãã Íãñ¾ãÀãò ‡ãŠã ‚ãâ¦ãÀ¥ã v Êãã¼ããâÍã/º¾ãã•ã ºãö‡ãŠ Œãã¦ãñ ½ãò Ôããè£ãñ •ã½ãã ãä‡ãŠ¾ã㠕ãã Ôã‡ãŠñØãã v ºããñ¶ãÔã/ÀホáÔã Íãñ¾ãÀ ‚ãã¹ã‡ãñŠ ¡ãè½ãñ› Œãã¦ãñ ½ãò Ôããè£ãñ •ã½ãã Öãñ •ãã†âØãñ v ¾ããäª ¡ãè½ãñ› Œãã¦ãñ ½ãò ¹ããäÀÌã¦ãöã ãä‡ãŠ¾ãã Øã¾ãã Öõ ¦ããñ Ôã¼ããè ‡ã⊹ããä¶ã¾ããò ‡ãŠãñ ¹ã¦ãñ †Ìãâ ºãö‡ãŠ ãäÌãÌãÀ¥ã ½ãò Öì† ¹ããäÀÌã¦ãö㠇ãŠãè ÔãîÞã¶ãã ÔÌã¦ã: ãä½ãÊ㠕ãã†Øããè v ¡ãè½ãñ› Œãã¦ãñ ½ãò Íãñ¾ãÀãò ‡ãñŠ ¹ãƦ¾ãñ‡ãŠ ¶ãã½ãñ/•ã½ã㠇ãŠãè ÔãîÞã¶ãã ¹ãã¶ãñ Öñ¦ãì †Ôㆽã†Ô㠆Êã›Ã ‡ãŠãè ÔãìãäÌã£ã㠄¹ãÊ㺣ã v Œãã¦ãã £ããÀ‡ãŠ ‡ãŠãè ½ãð¦¾ãì Öãñ¶ãñ ¹ãÀ, ¾ããäª ¶ãã½ããâ‡ãŠ¶ã ‡ãŠã ãäÌã‡ãŠÊ¹ã ãäÊã¾ãã Øã¾ãã Öãñ ¦ããñ ãäºã¶ãã ãä‡ãŠÔããè ¹ãƇãŠãÀ ‡ãŠãè ‚ãü¡Þã¶ã ‡ãñŠ ¶ãããä½ã¦ããè ‡ãñŠ ¡ãè½ãñ› Œãã¦ãñ ½ãò Íãñ¾ãÀãò ‡ãñŠ ‚ãâ¦ãÀ¥ã v ¹ããñ›Ã¹ãŠãñãäÊã¾ããñ ‡ãñŠ ½ãîʾ㠽ãò ‚ã¶ãì‡ãîŠÊã ¹ããäÀÌã¦ãöã Öãñ¶ãñ ¹ãÀ ¹ãÆãä¦ãã䪶㠆Ôㆽã†Ô㠂ãÊã›Ã ¹ãÆ㹦㠇ãŠÀ¶ãã v ‚ãã¹ã ãäºã¶ãã Íãìʇ㊠ƒ¶›À¶ãñ› (‚ããƒã䡾ãã•ã) ‡ãñŠ •ããäÀ† ‚ã¹ã¶ã㠌ãã¦ãã ªñŒã Ôã‡ãŠ¦ãñ Öö v Êãñ¶ãªñ¶ããò/£ãããäÀ¦ãã‚ããò ‡ãñŠ ½ãããäÔã‡ãŠ/ãä¦ã½ããÖãè ãäÌãÌãÀ¥ã ¹ãÆ㹦㠇ãŠÀ¶ãã

ãäÌã²ã½ãã¶ã ‚ã½ãîãä¦ãÇãðŠ¦ã Œãã¦ãã£ããÀ‡ãŠãò ´ãÀã ¶ããñ› ãä‡ãŠ† •ãã¶ãñ ÌããÊãñ ãäºã¶ªì

v ¾ããäª Œãã¦ãñ ‡ãŠãñ ‚ãÌãÁ®/Ô©ããäØã¦ã ãä‡ãŠ¾ãã Øã¾ãã Öõ ¦ããñ Ôã¼ããè Œãã¦ãã £ããÀ‡ãŠãò ‡ãñŠ ¹ãõ¶ã ãäÌãÌãÀ¥ã ‡ãŠãè ¹ãÆÔ¦ãìãä¦ã ‡ãŠãñ Ôãìãä¶ããäÍÞã¦ã ãä‡ãŠ¾ã㠕ãã†ý ‚ãÌãÁ® ãä‡ãŠ† Øㆠ†ñÔãñ Íãñ¾ãÀãò ‡ãŠãñ ‚ãã¾ã‡ãŠÀ ¹ãÆããä£ã‡ãŠããäÀ¾ããò ´ãÀ㠇ã슇ãÊ ãä‡ãŠ† •ãã¶ãñ ‡ãŠãè Ôãâ¼ããÌã¶ãã Öõý

v ¾ããäª ¹ãÖÊãñ ¶ãã½ããâ‡ãŠ¶ã ‡ãŠñ ãäÌã‡ãŠÊ¹ã ‡ãŠã ¹ãƾããñØã ¶ã ãä‡ãŠ¾ãã Øã¾ãã Öãñ, ¦ããñ ¶ãã½ããâ‡ãŠ¶ã ‡ãŠã ãäÌã‡ãŠÊ¹ã ¹ãƾããñØ㠇ãŠÀ Êãòý

v ½ãì¹ã‹¦ã ½ãò †Ôㆽã†Ôã ÔãìãäÌã£ã㠇ãŠã Êãã¼ã Êãñ¶ãñ ‡ãñŠ ãäÊㆠ‚ã¹ã¶ãã ½ããñºããƒÊ㠶㽺ãÀ „¹ãÊ㺣㠇ãŠÀã†úý

v ¹ãƦ¾ãñ‡ãŠ ØãÆãև㊠‡ãŠãñ Êãñ¶ãªñ¶ããò/£ãããäÀ¦ãã‚ããò ‡ãŠã ãäÌãÌãÀ¥ã ¹ãÆ㹦㠇ãŠÀ¶ãñ ‡ãŠã ‚ããä£ã‡ãŠãÀ Öõ: ½ãããäÔã‡ãŠ - ¾ããäª Ôãâºãâãä£ã¦ã ½ãÖãè¶ãñ ½ãò ‡ãŠ½ã-Ôãñ-‡ãŠ½ã †‡ãŠ Êãñ¶ãªñ¶ã ãä‡ãŠ¾ãã Øã¾ãã Öãñý ãä¦ã½ããÖãè - ¾ããäª ãä¦ã½ããÖãè ‡ãñŠ ªãõÀã¶ã †‡ãŠ ¼ããè Êãñ¶ãªñ¶ã ¶ã ãä‡ãŠ¾ãã Øã¾ãã Öãñý

v ¾ããäª Êãã¼ããâÍã/º¾ãã•ã/Ìãã¹ãÔããè ‚ããªñÍ㠃ÃÔããè†Ô㠇ãñŠ •ããäÀ† Ôããè£ãñ •ã½ãã ¶ã ãä‡ãŠ¾ãã Øã¾ãã Öãñ (•ãÖãú ÊããØãî Öãñ) , ¦ããñ ‡ãðŠ¹ã¾ãã ¾ãÖ Ôãìãä¶ããäÍÞã¦ã ‡ãŠÀò ãä‡ãŠ ¡ãè½ãñ› Œãã¦ãñ ½ãò ÍããŒã㠇ãŠã ÔãÖãè †½ã‚ããƒÔããè‚ããÀ ‡ãŠãñ¡ „¹ãÊ㺣ã Öõý

v ‚ãºã Ôãì¹ãìªÃØããè ‚ã¶ãìªñÍã ¹ãÞããê ãä‡ãŠÔããè ¼ããè ÔãñÌã㠇ãñŠ¶³ ¹ãÀ ¹ãñÍ㠇ãŠãè •ãã Ôã‡ãŠ¦ããè Öõý

147 INDIAN OVERSEAS BANK DEPOSITORY SERVICES New No.47 (Old No.22), Halls Road, Egmore, Chennai 600 008 Phone : 044-28193617/3618 Fax : 044-28193619

KEEP YOUR SHARES IN DEMATERIALISED FORM (ELECTRONIC FORM)

WHY TO DEMAT YOUR SHARES

v No loss, theft or damage to the shares as they are in electronic form v Transfer of Shares without any delay and stamp duty v Dividend/Interest can be credited to the bank account directly v Bonus/Rights shares get credited to your demat account directly v Change of Address/Bank particulars are communicated to all companies automatically if the change is effected in the demat account v Facility available to get SMS alert for each debit / credit of shares in the demat account v Opting for Nomination ensures hassle-free transfer of shares to the demat account of Nominee in the event of death of account holder v Receive daily SMS alert on favourable change in the value of portfolio v You can view your account through internet (IDeAS) free of charge v Receive Monthly / Quarterly statement of Transactions / Holdings

POINTS TO BE NOTED BY EXISTING DEMAT ACCOUNT HOLDERS :

v Ensure to submit PAN particulars of all account holders if the status of account is blocked / suspended. There is a possibility that the shares held in such blocked account are liable to be attached by Income-Tax Authorities v Opt for Nomination, if not already opted v Provide your Mobile number to get SMS alert facility FREE OF COST v Each client is entitled to receive statement of transactions / holdings: Monthly – If there is atleast one transaction in the respective month Quarterly – If there is no transaction in a quarter v If Dividends/Interests/Refund Orders are not credited directly through ECS (wherever applicable), please ensure that correct MICR code of the branch is available in the demat account v Delivery Instruction Slips can now be tendered at any of the Service Centres

148 ¹ãÆñÓã‡ãŠ : ã䪶ããâ‡ãŠ:

ÔãñÌãã ½ãò ½ãñÔãÔãà ‡ãõŠãä½ã¾ããñ ‡ãŠã¹ããóÀñ› ÔããäÌãÃÔãñÔã ãäÊããä½ã›ñ¡ ¾ãîãä¶ã›: ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ Ôãìºãƽããä¥ã¾ã¶ã ãäºããäÊâ¡Øã ¶ã.1 ‡ã‹Êãºã Öã„Ôã Àãñ¡ Þãñ¸ãõ-600002

ãä¹ãƾ㠽ãÖãñª¾ã, Ôã⪼ãà : ƒÊãñ‡ã‹›Èãùãä¶ã‡ãŠ Ôã½ããÍããñ£ã¶ã ÔãñÌãã (ƒÃÔããè†Ôã) ‡ãñŠ û•ããäÀ† Êãã¼ããâÍ㠇ãŠã ¼ãìØã¦ãã¶ã

¹ãÆ©ã½ã £ããÀ‡ãŠ ‡ãŠã ¶ãã½ã (Ô¹ãӛ ‚ãàãÀãò ½ãò) ¹ãŠãñãäÊã¾ããñ Ôãâ. Íãñ¾ãÀãò ‡ãŠãè Ôã⌾ãã ºãö‡ãŠ Œãã¦ãñ ‡ãŠã ¹ãƇãŠãÀ (‡ãðŠ¹ã¾ãã (a ) ‡ãŠã ãä¶ãÍãã¶ã ÊãØãã†) ºãÞã¦ã ÞããÊãî ¶ã‡ãŠªãè „£ããÀ Œãã¦ã㠌ãã¦ã㠌ãã¦ãã ºãö‡ãŠ Œãã¦ãã Ôãâ. ºãö‡ãŠ ‡ãŠã ¶ãã½ã ÍããŒã㠇ãŠã ¶ãã½ã ‚ãテ¹ãŠ†ÔãÔããè ‡ãŠãñ¡* ºãö‡ãŠ ‡ãŠã ¹ãîÀã ¹ã¦ãã

ºãö‡ãŠ ´ãÀ㠕ããÀãè †½ã‚ããƒÔããè‚ããÀ Þãñ‡ãŠ ¹ãÀ ã䪌ããƒÃ ªñ ÀÖñ ºãö‡ãŠ †Ìãâ ÍããŒã㠇ãŠãè 9 ‚ãâ‡ãŠ ‡ãŠãè ‡ãŠãñ¡ Ôã⌾ãã (‡ãðŠ¹ã¾ã㠇ãŠãñ¡ ‡ãŠãè ¾ã©ãã©ãæã㠇ãñŠ Ô㦾ãã¹ã¶ã ‡ãñŠ ãäÊㆠ‚ã¹ã¶ãñ „‡ã‹¦ã Œãã¦ãñ Ôãñ Ôãâºãâãä£ã¦ã ‚ã¹ã¶ãñ ºãö‡ãŠ ´ãÀ㠕ããÀãè ‡ãŠãñÀãè ãä¶ãÀÔ¦ã Þãñ‡ãŠ ¾ãã Þãñ‡ãŠ ‡ãŠãè œã¾ãã¹ãÆãä¦ã ÔãâÊãض㠇ãŠÀò) ½ãì¢ãñ Êãã¼ããâÍã ¼ãìØã¦ãã¶ã ‡ãñŠ ãäÊㆠƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ ´ãÀ㠕ãºã ¼ããè ƒÊãñ‡ã‹›Èããä¶ã‡ãŠ Ôã½ããÍããñ£ã¶ã ÔãñÌã㠇ãŠã¾ããÃãä¶Ìã¦ã ãä‡ãŠ¾ã㠕ãã†Øãã, ¦ãºã ½ãö „Ôã ÔãñÌã㠇ãŠã „¹ã¾ããñØ㠇ãŠÀ¶ãñ ‡ãñŠ ãäÊㆠÔãÖ½ã¦ã Öîúý ½ãö †¦ãªá´ãÀã ÜããñÓã¥ã㠇ãŠÀ¦ãã/‡ãŠÀ¦ããè Öîú ãä‡ãŠ „¹ãÀãñ‡ã‹¦ã ã䪾ãã Øã¾ãã ãäÌãÌãÀ¥ã ÔãÖãè †Ìãâ ¹ãî¥ãà Öõý ¾ããäª Êãñ¶ãªñ¶ã ½ãò ªñÀãè Öãñ¦ããè Öõ ¾ã㠂ã¹ãî¥ãà ¾ã㠂ãÔ㦾㠕ãã¶ã‡ãŠãÀãè ‡ãñŠ ‡ãŠãÀ¥ã ¹ãîÀã ¶ãÖãé Öãñ¦ãã Öõ, ¦ããñ ½ãö ƒÔã½ãò ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ/Àãä•ãԛÈãÀ ‡ãŠãñ ãä•ã½½ãñªãÀ ¶ãÖãé ŸÖÀã úØãã/ ŸÖÀã úØããèý ½ãö ‚ããØãñ ¼ããè ‚ã¹ã¶ãñ ºãö‡ãŠ, ÍããŒã㠆Ìã⠌ãã¦ãã Ôãâ. ½ãò ãä‡ãŠÔããè ¼ããè ¹ãƇãŠãÀ ‡ãñŠ ¹ããäÀÌã¦ãö㠇ãŠãè ÔãîÞã¶ãã Àãä•ãԛÈãÀ/ƒã䥡¾ã¶ã ‚ããñÌãÀÔããèû•ã ºãö‡ãŠ ‡ãŠãñ ªñ¶ãñ ‡ãŠã ÌãÞã¶ã ªñ¦ãã / ªñ¦ããè Öîúý

* ‚ã¹ã¶ããè ÍããŒãã Ôãñ ¹ãÆ㹦㠇ãŠÀñâ (¹ãÆ©ã½ã/†‡ãŠ½ãã¨ã Íãñ¾ãÀ£ããÀ‡ãŠ ‡ãŠñ ÖÔ¦ããàãÀ)

149 From: Date :

To: M/s. Cameo Corporate Services Limited Unit : INDIAN OVERSEAS BANK ‘Subramanian Building’ No.1 Club House Road, Chennai - 600 002.

Dear Sir(s), Ref: PAYMENT OF DIVIDEND THROUGH ELECTRONIC CLEARING SERVICES (ECS)

Name of First Holder (In Block Letters) Folio No. No. of shares Bank A/c Type Please tick (4) Savings Current Cash Credit A/c A/c A/c Bank Account Number Name of the Bank Branch Name IFSC Code* Full Address of the Bank

9-Digit Code number & Branch appearing on the MICR cheque issued by the Bank (Please attach Photocopy of a cheque or a blank cancelled cheque issued by your bank relating to your above account for verifying the accuracy of the code). I agree to avail of the Electronic Clearing Service, as and when implemented by Indian Overseas Bank for payment of dividend to me. I hereby declare that the particulars given above are correct and complete. If the transaction is delayed or not effected at all for reasons of incomplete or incorrect information, I would not hold Indian Overseas Bank / Registrar responsible. I further undertake to inform the Registrar / Indian Overseas Bank of any change in my Bank, Branch and Account no.

* Obtain from your Branch (Signature of the First / Sole Shareholder)

150