MIRA INFORM REPORT

Report Date :

29.10.2011

IDENTIFICATION DETAILS

Name :	YES BANK LIMITED
Registered Office :	9^th Floor, Nehru Centre Discovery of India, Dr. Annie Besant Road, Worli, Mumbai – 400018, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	21.11.2003
Com. Reg. No.:	143249
Capital Investment / Paid-up Capital :	Rs.3471.471 Millions
CIN No.: [Company Identification No.]	L65190MH2003PLC143249
TAN No.: [Tax Deduction & Collection Account No.]	MUMY01286F
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchange.
Line of Business :	Banking Activities
No. of Employees :	3,929 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

A (63)

RATING		STATUS	PROPOSED CREDIT LINE
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large

Maximum Credit Limit :	Large
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established and reputed private sector bank having fine track. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments. The Bank can be considered good or normal business dealings at usual trade terms and conditions.

NOTES:

Any query related to this report can be made on e-mail: infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

LOCATIONS

Registered Office :	9^th Floor, Nehru Centre Discovery of India, Dr. Annie Besant Road, Worli, Mumbai- 400 018, Maharashtra, India
Tel. No.:	91-22-66699000
Fax No.:	91-22-24900314
E-Mail :	shareholders@yesbank.in yestouch@yesbank.in
Website :	www.yesbank.in
Northern Regional Corporate Office:	48, Nyaya Marg, Chanakya Puri, New Delhi- 110021, Delhi, India
Tel. No.:	91 -11- 6656 9000
Fax No.:	91 -11- 5168 0144
Email :	yestouch@yesbank.in

DIRECTORS

(AS ON 31.03.2011)

Name :	Mr. Rana Kapoor
Designation :	Managing Director and Chief Executive Officer
Name :	Mr. S L Kapur
Designation :	Non Executive and Non - Independent Chairman
Name :	Mr. Ajay Vohra
Designation :	Independent Director
Name :	Mr. Bharat Patel
Designation :	Independent Director
Name :	Ms. Radha Singh
Designation :	Independent Director
Name :	Mr. Wouter Kolff
Designation :	Independent Director
Name :	Mr. Arun K Mago
Designation :	Independent Director

KEY EXECUTIVES

Name :	Mr. Sanjeev Kapoor
Designation :	Company Secretary
Name :	Mr. Aditya Sanghi
Designation :	Group President and Senior Managing Director - Investment Banking
Name :	Mr. Ajay Desai
Designation :	Group Executive Vice President and chief Financial Inclusion Officer
Name :	Mr. Amit Kumar
Designation :	Senior President Corporate and Institutional Banking
Name :	Mr. Anindya Datta
Designation :	President and Chief Marketing Officer
Name :	Mr. ASPY Engineer
Designation :	President direct Banking
Name :	Mr. Deodutta Kurane
Designation :	Senior President - Human Capital Management
Name :	Mr. Devamalya Dey
Designation :	Group President - Audit and Compliance
Name :	Mr. Jaideep Iyer
Designation :	Senior President and Country Head Financial Management
Name :	Mr. Kapil Juneja
Designation :	Group Executive Vice President and Country Head Operations and Service Delivery
Name :	Ms. Kavita Venugopal
Designation :	Group President and Chief Risk Officer
Name :	Mr. Manavjeet Singh
Designation :	Senior Presented Retail Banking
Name :	Mr. Nikhil Sahni
Designation :	President - Branch Banking
Name :	Mr. R. Ravichander
Designation :	Group President and Head Business Development (South)
Name :	Mr. Rajat Monga
Designation :	Group President, Financial Markets and Chief Financial Officer
Name :	Mr. Sanjay Agrawal
Designation :	President - Business Banking
Name :	Mr. Sanjay Palve
Designation :	Group President and Senior Managing Director, Corporate Finance and Development Banking
Name :	Mr. Shubhada Rao
Designation :	President and Chief Economics
Name :	Mr. Sumit Gupta
Designation :	Senior President- Commercial Banking
Name :	Mr. Suresh Sethi
Designation :	Group President - Transaction Banking
Name :	Mr. Umesh Jain
Designation :	Senior President and Chief Information Officer
Name :	Mr. Varun Tuli
Designation :	Group President Government and Multinational Relationships Management
Name :	Mr. Vikram Kaushal
Designation :	President and Country Head Wealth Management
Name :	Mr. Rana Kapoor
Designation :	Founder / Managing Director and CEO
Name :	Mr. Viraal Balsari
Designation :	Chief Sustainability Strategist

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.09.2011)

Names of Shareholders	No. of Shares	Percentage of Holding
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	55,125,000	15.70
Bodies Corporate	37,117,450	10.57
Sub Total	92,242,450	26.28
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	92,242,450	26.28
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	12,983,990	3.70
Financial Institutions / Banks	543,939	0.15
Insurance Companies	20,540,716	5.85
Foreign Institutional Investors	158,785,558	45.23
Any Others (Specify)	16,700,000	4.76
Foreign Financial Institutions	16,700,000	4.76
Sub Total	209,554,203	59.69
(2) Non-Institutions
Bodies Corporate	6,302,400	1.80
Individuals
Individual shareholders holding nominal share capital up to Rs.0.100 Millions	24,994,119	7.12
Individual shareholders holding nominal share capital in excess of Rs.0.100 Millions	13,658,595	3.89
Any Others (Specify)	4,294,122	1.22
Clearing Members	1,073,493	0.31
Non Resident Indians	2,433,541	0.69
Trusts	93,453	0.03
Hindu Undivided Families	693,635	0.20
Sub Total	49,249,236	14.03
Total Public shareholding (B)	258,803,439	73.72
Total (A)+(B)	351,045,889	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued	-	-
(1) Promoter and Promoter Group	-	-
(2) Public	-	-
Sub Total	-	-
Total (A)+(B)+(C)	351,045,889	100.00

BUSINESS DETAILS

Line of Business :

Banking Activities

GENERAL INFORMATION

No. of Employees :	3,929 (Approximately)
Bankers :	Reserve Bank of India

Banking Relations :	--
Auditors :
Name :	BSR and Company Chartered Accountants

CAPITAL STRUCTURE

(AS ON 28.06.2011)

Authorised Capital : Rs.6000.000 Millions

Issued, Subscribed & Paid-up Capital : Rs.3510.459 Millions

(AS ON 31.03.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
400000000	Equity Shares	Rs.10/- Each	Rs.4000.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
347147124	Equity Shares	Rs.10/- Each	Rs.3471.471 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

CAPITAL AND LIABILITIES	31.03.2011	31.03.2010	31.03.2009
Capital	3471.471	3396.673	2969.789
Reserve and Surplus	34469.280	27498.830	13272.371
Deposits	459389.318	267985.666	161694.215
Borrowings	66909.092	47490.761	37016.770
Other Liabilities and Provision	25830.728	17453.177	14054.756
TOTAL	590069.889	363825.107	229007.901
Assets
Cash and balance with reserve bank of India	30760.155	19953.099	12777.184
Balance with banks money at call and short notice	4199.609	6779.384	6449.862
Investments	188288.378	102099.413	71170.194
Advances	343636.387	221931.232	124030.922
Fixed Assets	1324.296	1154.664	1311.148
Other Assets	21861.064	11907.315	13268.591
TOTAL	590069.889	363825.107	229007.901
Contingent Liabilities	1362253.799	1057879.299	657727.148
Bills for collection	1701.444	1534.293	1929.344

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
INCOME
	Interest Earned	40417.473	23697.097	20014.348
	Other Income	6232.709	5755.320	4369.009
	TOTAL	46650.182	29452.417	24383.357
EXPENSES
	Interest expended	27948.174	15817.570	14921.356
	Operating Expenses	6798.103	5001.531	4185.452
	Provision and Contingencies	4632.527	3855.923	2238.129
	TOTAL	39378.804	24675.024	21344.937
PROFIT
Net profit for the year		7271.378	4777.393	3038.420
Profit brought forward		6729.526	4057.754	2450.823
APPROPRIATIONS
	Transfer to Capital Reserve	19.924	315.182	671.672
	Transfer to statutory Reserve	1817.845	1194.348	759.605
	Transfer to Investment Reserve	0.137	0.000	0.212
	Dividend Paid for last year and tax Thereon	0.410	0.000	0.000
	Proposed Dividend	867.868	509.501	0.000
	Tax on Dividend	144.142	86.590	0.000
BALANCE CARRIED OVER TO BALACE SHEET		11150.578	6729.526	4057.754
Earnings Per Share (Rs.)
- Basic		21.12	15.65	10.24
- Diluted		20.25	14.87	10.14

QUARTERLY RESULTS

PARTICULARS	30.06.2011	30.09.2011
Type	1^st Quarter	2^nd Quarter
Interest Earned	13995.400	14386.500
Income On Investments	3647.700	3980.700
Interest On Balances With Rbi Other Inter Bank Funds	79.800	41.400
Interest / Discount On Advances / Bills	10262.000	10317.700
Others	5.900	46.700
Other Income	1652.900	2140.500
Total Income	15648.300	16527.000
Interest Expended	10453.500	10530.200
Operating Expenses	1943.800	2137.600
Total Expenditure	1943.800	2137.600
Operating Profit Before Provisions and Contingencies	3251.000	3859.200
Exceptional Items	0.000	0.000
Provisions and contingencies	15.100	378.700
Profit Before Tax	3235.900	3480.500
Tax	1075.100	1130.300
Profit After Tax	2160.800	2350.200

LOCAL AGENCY FURTHER INFORMATION

FINANCIAL PERFORMANCE

The Bank posted net revenues (Net Interest Income and Other Income) of Rs.1,8700.000 Millions and Net Profit of Rs.7270.000 Millions for the Financial Year 2010-11. Net Revenues and Net Profit for the Financial Year 2009-10 was Rs.1,3640.000 Millions and Rs.4780.000 Millions respectively. Appropriations from the Net Profit have been effected as per the table on the earlier page.

CAPITAL RAISING AND CAPITAL ADEQUACY RATIO (CAR)

The paid-up capital of the Bank increased to Rs.3471.500 Millions as at March 31, 2011 from Rs.3396.700 Millions as at March 31, 2010, post exercise of 74,79,855 employee stock options during the Financial Year 2010-11.

The Bank also raised a sum of Rs.2250.000 Millions by way of Tier I Perpetual Bonds, Rs.6400.000 Millions by way of Upper Tier II capital and Rs.3064.000 Millions by way of Lower Tier II Subordinated Bonds during the Financial Year 2010-11. The Bank has utilised the proceeds of the issue of Tier I Perpetual Bonds and Upper and Lower Tier II capital to augment the long-term capital resources and to enhance the CAR for successfully implementing its growth plans.

In line with the RBI circular on Capital Adequacy Framework, The Bank has computed capital charge for operational, market and credit risk and its CAR as per Basel II accord as at March 31, 2011.

The Bank is well capitalised with a CAR (as per Basel II) of 16.50 % as at March 31, 2011; of which Tier I Capital Ratio was 9.65% and Tier II Capital Ratio was 6.85%.

MANAGEMENT DISCUSSION AND ANALYSIS

MACROECONOMIC AND INDUSTRY OVERVIEW

The domestic economic growth after moderating to 6.8% in 2008-09 recovered to 8.0% in 2009-10 helped by fiscal stimulus and accommodative monetary policy. With an improvement in the global economic landscape in 2010, domestic economic growth is expected to consolidate further to 8.6% despite a partial withdrawal of fiscal stimulus and removal of monetary policy accommodation in 2010-11.

In terms of sectoral trends, growth turned broad-based in the year 2010-11. Agriculture GDP growth, which took a setback due to failure of South-West Monsoon in 2009, is expected to recover to 5.4% in 2010-11 on the back of normal monsoon in 2010. Industrial production remained buoyant in the first half with growth in the Index of Industrial Production averaging 11.9% in Q1 and 9.1% in Q2 of 2010-11. The momentum in industrial production has seen a moderation in Q3 with average growth coming at 5.9%. Despite the recent moderation in IIP growth on account of an unfavorable base and tight monetary policy by the RBI in 2010, overall Industry GDP is expected to grow at 8.1% in 2010-11 compared to 8.0% in the previous financial year. The Service Sector GDP remained buoyant in Q1 and Q2of 2010-11 with growth coming at 9.4% and 9.6% respectively. The momentum in Services GDP moderated to 8.7% in Q3 due to the partial withdrawal of fiscal stimulus. However, other sectors like Trade, Hotels, Transport, Communication, Financing, Insurance, etc. have remained extremely supportive of overall growth momentum within the services sector. For the year 2010-11 as a whole, Services GDP is expected to attain a growth of 9.6%, moderately down from 10.1% in the previous financial year.

The Central Government had projected a fiscal deficit to GDP ratio of 5.5% for 2010-11 at the start of the year. This was lower than the deficit of 6.4% in 2009-10 and in line with the government’s intent to gradually remove fiscal stimulus with the economy showing signs of sustaining the robust growth momentum. With recovery in domestic growth, inflationary concerns gained traction with WPI inflation starting the year in double digits. Average WPI inflation, which came at 3.6% in 2009-10, rose to 9.4% in 2010-11. Food and fuel were the key drivers of inflation during this period. A rise in structural part of the food inflation (especially protein based foods) along with firm global commodity prices led to a pickup in prices for some of the essential commodities. Deregulation of petrol prices along with a price hike in administered fuel items further enhanced the pass through. With food and fuel prices remaining elevated, core inflation has started showing signs of a pickup. As a result, the RBI in an effort to curb inflationary expectations continued with the policy rate hikes that were initiated in Q4 2009-10. The RBI hiked repo and reverse repo rates by a cumulative of 175 basis points and 225 basis points to 6.75% and 5.75% respectively between April-March 2010-11. The RBI also continued tightening money market liquidity conditions by hiking CRR by 25 basis points to 6.0% during the Annual Policy in April 2010. Additionally, the central bank in its Second Mid- Quarter Review in November 2010 took measures to prevent excessive leverage in the housing sector by providing a ceiling for Loan to Value ratio at 80%, and increasing risk weights and provisioning requirements by 2% for housing loans offered at ‘teaser rates’. Besides the above mentioned changes, banks introduced the Base Rate system in July 2010 that would replace lending based on the BPLR system.

With the RBI intentionally keeping money market liquidity tight, the average daily systemic liquidity moderated to Rs.245860.000 Millions in Q1 of 2010-11 from an average surplus of Rs.985740.000 Millions in Q4 2009-10. The quarterly surplus turned into a deficit in Q2 2010-11 during which daily borrowings from RBI averaged at Rs.302330.000 Millions. The deficit liquidity situation got aggravated in Q3, during which daily borrowings from RBI averaged at Rs.953500.000 Millions. While a deficit liquidity situation was desirable for effective transmission of monetary policy signals, the extent of deficit turned out to be much higher because of structural factors like greater than average increase in currency in circulation and government’s surplus cash balances with the RBI. Moreover, temporary frictional factors related to government disinvestments through IPOs and quarterly advance tax outflows exacerbated the problem. In order to maintain financial stability and bring down the liquidity deficit close to the sustainable level of -1% of Net Demand and Time Liabilities, the RBI took the following key measures in Q3: (1) started conducting second LAF (Liquidity Adjustment Facility) on a daily basis, (2) cut SLR by 1% to 24% and allowed an additional 1% temporary dip in SLR maintenance, (3) announced Rs.600000.000 Millions of bond repurchase through its Open Market Operation. As a result, the liquidity deficit has moderated with daily borrowing from RBI averaging at Rs.830850.000 Millions in Q4 2010-11. Pickup in government expenditure towards the fiscal year end moderated, the tightness in overall liquidity conditions.

In terms of monetary variables, aggregate deposits in the banking system increased by Rs.6524640.000 Millions in 2009-10 resulting in a growth of 17.0%. In 2010-11, deposits increased by Rs.7118770.000 Millions as of March 25, 2011 resulting in a year-on-year growth of 15.8%. Non-food credit disbursement by the banking system increased by Rs.4625710.000 Millions in 2009-10 resulting in a growth of 16.9%. In 2010-11, non-food credit disbursement increased by Rs.6780770.000 Millions as of March 25, 2011 resulting in a year-on-year growth of 21.2%.

From a macroeconomic stability point of view, the Third Quarter Monetary Policy Review noted the need for fiscal policy to move in tandem with the monetary tightening in order to address supply side inflationary concerns. According to the Union Budget 2011-12 unveiled in February 2011, the government is expected to move on the path of fiscal consolidation. The fiscal deficit to GDP ratio is expected to moderate to 4.6% in 2011-12 from a downwardly revised 5.1% deficit in 2010-11.

CORPORATE AND INSTITUTIONAL BANKING

In its drive to become the ‘Best Quality Bank of the World in India’, the Bank leverages its relationship capital within the Corporate and Institutional Banking segment to ensure sustained profits and long-term value for its clients.

The Bank’s Corporate and Institutional Banking (C&IB) division provides comprehensive financial and risk management solutions to clients generally with the turnover of a over Rs.20000.000 Millions. The Bank's professional relationship experts provide financial solutions to large Indian corporate groups.

The Bank provides a comprehensive range of client focused Corporate Banking Services, including Working Capital Finance, Term Loans, specialised Corporate Finance products, Trade, Cash Management and Transactional Services, Treasury Services, Investment Banking Solutions and Liquidity Management Solutions to name a few. All product offerings are suitably structured after in-depth research and assessment, taking into account the client's risk profile and specific needs, because at The Bank, maintaining high credit quality, is of utmost priority.

The Bank is committed to provide innovative financial solutions by leveraging on superior product delivery, Knowledge-based advisory, industry benchmark service levels and a strong client orientation. The Bank has made significant inroads into developing core relationships with a number of Indian companies.

The Bank provides industry specific financial solutions by creating tailor-made services through superior structuring to best suit client requirements, which helps lower entry barriers, strengthens business relationships, and ensures risk mitigation.

COMMERCIAL BANKING

Commercial Banking (CB) has continued to work with the objective of being relationship partners in Growth to serve this specialised segment of companies - generally with the turnover between Rs.2000.000 Millions and Rs.20000.000 Millions. Aligned with the 7 Strategic Objectives of Version 2.0 of the Bank, CB aims at delivering superior customer service, strengthening systems, controls and processes, building superior Human Capital and developing Core Relationships across geographies and industry segments. CB has its team members present in 12 locations across the country and will soon increase the presence to 17 locations.

Focused on cultivating and harnessing relationship capital, the aim has been to align their thought process and actions in line with the customer growth plans. The Bank has been successful in creating an effective partnership with most of its customers, to transact across various banking products. They aim to further build on the cross sell in FY12 and deepen the relationships, to eventually become a trusted Advisor to every client.

By continuously evolving innovative, sector-specific products and services, The Bank paves the path for a sustained future for companies in this "High Octane" middle market segment, operating across the key focus sectors like Food and Agribusiness, Life Sciences and Health Care, Media and Entertainment, Engineering, Information Technology, Auto Ancillary and Infrastructure thereby laying the foundation for long-term growth.

New customer acquisition is the key to sustainable growth of CB, as well as for other parts of the Bank. Utilization of CRM tools is maximized to ensure a scientific way of prospecting new customers and identifying specific bankable opportunities, in line with the regulatory guidelines. This helps them in delivering financial solutions tailor-made to the specific lifecycle needs of such identified customers. This "Lifecycle Banking" approach has been instrumental in the Bank understanding the aspirations of the customers, and demonstrating the capability to influence sustainable growth and transformation in a large number of the Bank's customers, resulting in strong customer retention and loyalty and a mutually enriching experience.

CB's Relationship Managers aim to deliver the highest standards in service to their customers by following a Money Doctor approach of diagnostic and prescriptive solutions, through a careful evaluation of client specific financial needs and providing tailo-made solutions to them. These include structured products based on the customer's risk profile and growth requirements as well as general banking products and services like Working Capital, Term Funding, Liabilities, Investments, Insurance, Trade Finance, Cash Management and Treasury amongst others. CB also offers a boutique of specialised services including Capital Markets, Corporate and M&A Advisory, Corporate Finance and

BRANCH BANKING

The Bank believes in providing an unparalleled banking experience embedded in the vision to become the ‘Best Quality Bank of the World in India’ to all its customers through its high quality, state of-the-art branch infrastructure backed by cuttingedge technology and a customer- centric approach.

The Bank's branches are not only strategically located at premium high-street locations but also benchmarked with world-class design standards to ensure smoother and convenient customer engagement. The Bank's branches are highly accessible and facilitate warmth, coherent communication and a consistent customer experience across all locations.

The focus is not merely on facilitating transactions, but also on engaging, informing and involving customers in a personalized manner thereby providing incremental value to the customer experience at the branch. In fact, The Bank has been successful in ensuring that its branches have transcended to the next level of serving as Community Centres facilitating Community engagement, rather than merely being touch points.

The Bank's customers are being served through an extensive branch network, comprising 214 branches spread over 164 locations across India as well as over 250 fully operational ATMs. The Bank will continue to expand its branch presence in line with its vision of enabling financially efficient inclusive Banking through its state-of-the-art technology platform. While the Bank's branches have been designed to cater to all segments of customers under the 'One-Bank Model', Branch Banking - Liabilities and Wealth Management, Business Banking and Retail Banking customers are the most frequent users of this world-class infrastructure. The three segments, as elaborated subsequently, together constitute the Branch Banking business. This relationship line is an area of high focus for the Bank and significant investments have been made to provide an exceptional experience to customers from each of these segments.

BUSINESS BANKING

The Bank supports Small and Emerging businesses which are the growth drivers of their growing economy. To ensure the same the Bank has established a dedicated Business Banking unit. Driven by Knowledge Banking and backed by a team of professionals, The Bank delivers a professional suite of products, services and resources to meet varied business requirements. The Business Banking unit caters to the unique banking requirements of Small and Medium Businesses in identified sectors generally with turnover between Rs.50.000 Millions and Rs.2000.000 Millions. The Business Banking unit provides complete banking and advisory services to these small and emerging businesses, who are the driving force behind innovation and sustainable development and growth of the economy. The Bank caters to all the service requirements of these SMEs across various product segments like Fund based lending (Working Capital and Term financing) , Cash Management (Collections and Payment Solutions, Direct Banking, Trade and Treasury services and Advisory through a strong branch network of 56 branches across significant SME clusters.

The Bank aims at fostering growth, competitiveness and employment creation that are key to achieving sustainable economic growth at the same time, greater focus on MSME has also contributed towards fulfilling the Priority Sector Lending requirements of the Bank. The Business Banking Group ensures high level of customization for high transaction volumes across sectors including Infrastructure / Infrastructure Services, Telecom, Food and Agri-Business, Pharma / Healthcare, Logistics, Education, Importers/Exporters, Service providers, Traders, Auto Ancillary, Electrical Goods Manufacturers and Lifestyle Products.

The Bank attracts SME customers by:

· Offering a customised service proposition, tailor-made for high transactional volumes in the key businesses of Infrastructure/ Infrastructure Services, Telecom, Food and Agri Business, Pharma / Healthcare, Logistics, Education, Traders, Auto Ancillary, Electrical Goods Manufacturers and Lifestyle Products.

· Offering holistic banking solutions to customers through services of Business Banking Relationship Managers and service manager for all their banking needs (Including business, wealth management and advisory) at the branch level.

· Offering liability products like Cash Management Services (CMS), Payment Solutions, Net Banking, Phone Banking and Trade Services

FINANCIAL AND OPERATING PERFORMANCE

The Balance Sheet of the Bank grew significantly by 62.2% as at March 31, 2011 compared to March 31, 2010. During this fiscal, the Bank recorded a growth of 54.8% in its loan book with advances increasing to Rs.343636. 000 Millions, while, deposits demonstrated a growth of 71.4% to reach Rs.4593890.000 Millions as on March 31, 2011.

The Bank’s net interest income grew at an impressive rate of 58.2% from Rs.7880.000 Millions in FY 2009-10 to Rs.124690.000 Millions in FY 2010-11 on the back of strong growth in advances and relatively stable margins. The Bank also displayed steady growth in non interest income, which grew from Rs.5755. 000 Millions in FY 2009-10 to Rs.6233.000 Millions in FY 2010-11, representing an increase of 8.3%.

The Bank’s total assets increased 62.2% to Rs.590070.000 Millions as at March 31, 2011 from Rs.363825.000 Millions as at March 31, 2010. Advances grew by 54.8% to Rs.343636.000 Millions, on the back of growth in lending to SMEs along with large and mid-sized corporates. Corporate and Institutional Banking (large corporations, government-owned corporations and institutions, multinational corporations and Indian financial institutions) and Commercial Banking (mid-market corporations, operating across various industries) constituted 88.0% of the Bank’s advances as at March 31, 2011. Branch Banking (SMEs and Retail) grew at an impressive rate over FY11 in line with of large, medium and small corporates to its customer base and intends to increase cross sell of products to its customers thereby increasing wallet share and improving granular no interest income streams. The Bank also consolidated these gains by increasing efficiencies and controlling growth in operating expenses to 35.9% in FY 2010-11 (Rs.6798.000 Millions) over FY 2009-10 (Rs.5002.000 Millions). Operating profit before tax consequently increased 37.9% to Rs.11904.000 Millions for FY 2010-11 compared to Rs.8633.000 Millions for FY 2009-10. Net Profit after tax was Rs.7271.000 Millions for FY 2010-11, an increase of 52.2% as compared to a net profit of Rs.4777.000 Millions for FY 2009-10. The effective tax rate in FY 2010-11 was 33.4%. The return on average assets was 1.5% while return on equity was 21.1% for the year ended March 31, 2011. The return on assets and return on equity have been in excess of 1.5% and 20% respectively for the past 3 years.

The Version 2.0 goals of the Bank to increase granularity. The Yield on Advances for the year decreased by 0.8% from 10.8% in FY 2009-10 to 10% in FY 2010-11 due to fall in interest rates in the first half of the year.

Total investments as at March 31, 2011 increased 84.4% to Rs.188288.000 Millions from Rs.102099.000 Millions as at March 31, 2010. This growth can be attributed to the increase in Government Securities of Rs.39607.000 Millions, Corporate bonds of Rs.31283.000 Millions, Other Investment of Rs.1,5990.000 Millions and a reduction in Equity Shares of Rs.692.000 Millions.

The Bank’s deposits increased by an impressive 71.4% to Rs.459389.000 Millions as at March 31, 2011 which comprised of Rs.39338.000 Millions of demand deposits, Rs.8170.000 Millions of savings deposits, Rs.411881.000 Millions of term deposits. Term Deposits increased by 71.8% during FY 2010-11 while Savings deposits increased by 109.0% and current deposits increased by 62.1% as at March 31, 2011 over March 31, 2010. The Bank has seen an increase in the composition of granular deposits which grew at 100.7% of on account of an increasing branch franchise and consequently the customer base of the Bank.

The rising interest rates in the economy in the second half of the fiscal year resulted in a marginal increase in cost of funds for The Bank. A more granular funding franchise accompanied with the ratings upgrade of Bank’s subordinate debt by

The increase in net interest income to Rs.12469.000 Millions in FY 2010-11 was driven by 74.0% increase in average interest bearing assets and relatively stable net interest margin. Increase in the average interest bearing assets was primarily due to strong growth in advances and investments portfolio during the Financial Year 2010-11.

OUTLOOK

The economy continues to be on a strong growth trajectory and the annual Economic Survey pegs the growth to be around 9% in FY12. Robust private consumption is likely to underpin the overall growth momentum. However, investments are likely to moderate as the effect of tight monetary policy plays out. Additionally, high global commodity prices have increased the downside risk for global growth. As a result they expect overall GDP growth to stay around 7.8% in FY12, indicating a moderation when compared with the government’s estimate of 8.6% growth in FY11.

Average WPI inflation in FY11 has come at 9.4%. With economic growth expected to stay close to potential, rising global commodity prices are likely to provide upside risk to inflation. As a result, although they expect inflation to start moderating on account of the ongoing monetary policy tightening, the correction is likely to be extremely gradual. They expect average WPI inflation to stay around 8.0% in FY12. On the fiscal front, the government has budgeted for a reduction in fiscal deficit to 4.6% of GDP in FY12 from 5.3% in FY11. They however expect upside risks to the fiscal deficit projections as the subsidy bill is likely to overshoot the budgeted estimates due to high global commodity prices, especially oil. As a result, the overall fiscal deficit in FY12 can be expected to come around 5% of GDP.

The impact of high global commodity prices would also be reflected in the external accounts as high crude oil prices result in higher oil import bill. They expect the current account deficit to GDP ratio to deteriorate marginally from -2.7% in FY11 to -2.9% in FY12. However, the ongoing recovery in the global economy and the close to potential domestic economic expansion would continue to support higher software exports. Additionally, capital flows are also expected to be marginally higher. As a result, they expect the overall Balance of Payment to come at USD 17 bn in FY12 compared to an estimated level of USD 16 bn in FY11.

UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED SEPTEMBER 30, 2011 AND AUDITED FINANCIAL RESULTS FOR THE HALF YEAR ENDED SEPTEMBER 30, 2011

(RS. IN MILLIONS)

Particulars	For the quarter Ended	For the half year ended
	30.09.2011 (Unaudited)	30.09.2011 (Audited)
1 Interest Earned (a)+(b)+(c)+(d)	14386.500	28381.900
(a) Interest/discount on advances/bills	10317.700	20579.700
(b) Income on investments	3980.700	7628.400
(c) Interest on balances with Reserve Bank of India and other inter-bank funds	41.400	121.200
(d) Others	46.700	52.600
2 Other Income	2140.500	3793.400
A. TOTAL INCOME (1+2)	16527.000	32175.300
3 Interest Expended	10530.200	20983.700
4 Operating Expenses (e)+(f)	2137.600	4081.400
(e) Payments to and provisions for employees	1099.500	2197.600
(f) Other operating expenses	1038.100	1883.800
B. TOTAL EXPENDITURE (3)+(4) (excluding Provisions and Contingencies)	12667.800	25065.100
C. OPERATING PROFIT (before Provisions and Contingencies)(A-B)	3859.00	7110.200
D. Provisions (other than Tax ) and Contingencies (Net)	378.700	393.800
E. Exceptional Items	--	--
F. Profit/(Loss)from ordinary activities before tax (C-D-E)	3480.500	6716.400
G. Tax Expense	1130.300	2205.400
H. Net profit/ (Loss) from Ordinary Activities after tax (F-G)	2350.200	4511.000
I. Extraordinary Items (Net of tax)	--	--
J. NET PROFIT (H-I)	2350.200	1762.600
5 Paid-up equity Share Capital (Face value of Rs.10 each)	3510.500	3510.500
6 Reserves and Surplus excluding revaluation reserves	39396.800	39396.800
7 Analytical ratios:
(i) Percentage of Shares held by Government of India	Nil	Nil
(ii) Capital Adequacy ratio (BASEL II)	15.98%	15.98%
(iii) Earning per share for the period / year (before and after extraordinary items)
- Basic (not annualized) Rs.	6.73	12.93
- Diluted (not annualized) Rs.	6.56	12.60
(iv) NPA ratios-
a Gross NPA	6,883	6,883
b Net NPA	1,364	1,364
c % of Gross NPA	0.20%	0.20%
d % of Net NPA	0.04%	0.04%
(v) Return on assets (average) (annualized)	1.57%	1.48%
8 Aggregate Public shareholding
- Number of shares	258,803,439	258,803,439
- Percentage of shareholding	73.72%	73.72%
9 Promoters and Promoter Group Shareholding
a Pledged / Encumbered
- Number of shares	3,335,000	3,335,000
- Percentage of Shares (as a % of the total shareholding of promoter and promoter group)	3.62%	3.62%
-Percentage of Shares (as a % of the total share capital)	0.95%	0.95%
b Non- encumbered
- Number of shares	88,907,450	88,907,450
- Percentage of Shares (as a % of the total shareholding of promoter and promoter group)	96.38%	96.38%
-Percentage of Shares (as a % of the total share capital)	25.33%	25.33%

SUMMARISED BALANCE SHEET

(RS. IN MILLIONS)

	30.09.2011
CAPITAL AND LIABILITIES
Capital	3510.500
Reserves and surplus	39396.800
Deposits	440759.200
Borrowings*	102198.200
Other liabilities and provisions	41653.600
Total	627518.300
ASSETS
Cash and balances with Reserve Bank of India	28007.200
Balances with banks and money at call and short notice	977.900
Investments	214368.900
Advances	341941.200
Fixed assets	1498.700
Other assets	40724.400
Total	627518.300

Notes:

1 The results have been taken on record by the Board of Directors of the Bank at its meeting held in Mumbai today.

2 During the quarter and the half year ended September 30, 2011, the Bank allotted 2903495 and 3898765 shares respectively pursuant to the exercise of stock options by certain employees.

3 During the quarter and the half year ended September 30, 2011, the Bank has raised Lower Tier II Bonds of Rs.3,215 million.

4 Other income includes non fund based income such as commission earned from guarantees/letters of credit, financial advisory fees, selling of third party products, earnings from foreign exchange transactions and profit/loss from sale of securities.

5 Number of Investors Complaints/Correspondence received and disposed of during the quarter ended September 30, 2011:

a Pending at the beginning of the quarter	-
b Received during the quarter	31
c Disposed off during the quarter	31
d Pending at the end of the quarter	-

6 Return on assets is computed using a simple average of total assets at the beginning and at the end of the relevant period.

7 The disclosures for NPA referred to in point 7(iv) above correspond to Non Performing Advances.

8 As the business of the Bank is concentrated in India; the segment disclosures made pertain to domestic segment for geographic segment purposes.

9 The results for the half year ended September 30, 2011 have been “Audited” and the results for the quarter ended September 30, 2011 have been subjected to a “Limited review” by the Statutory Auditors of the Bank.

10 Previous period figures have been regrouped / reclassified wherever necessary to confirm to current period classification.

SEGMENTAL RESULTS

Particulars	For the quarter Ended	For the half year ended
	30.09.2011 (Unaudited)	30.09.2011 (Audited)
1 Segment revenue
(a) Treasury	4966.100	9723.100
(b) Corporate Banking	11378.700	22651.600
(c) Retail Banking	734.300	1404.100
(d) Other Banking Operations	43.000	94.900
TOTAL	17122.100	33873.700
Less: Inter Segment Revenue	(595.100)	(1698.400)
Income from Operations	16527.000	32175.300
2 Segmental Results
(a) Treasury	2575.600	4822.200
(b) Corporate Banking	2717.000	5377.600
(c) Retail Banking	(174.000)	(252.300)
(d) Other Banking Operations	(7.700)	(6.600)
TOTAL	5110.900	9940.900
Unallocable costs	1630.400	3224.500
Profit Before Tax	3480.500	6716.400
Taxes	1130.300	2205.400
Profit after Tax	2350.200	4511.000
3 Capital Employed
(a) Treasury	129618.300	129618.300
(b) Corporate Banking	(1079.800)	(1079.800)
(c) Retail Banking	(48669.000)	(48669.000)
(d) Other Banking Operations	(1023.900)	(1023.900)
(e) Unallocated	(35938.300)	(35938.300)
Total	42907.300	42907.300

SEGMENT	PRINCIPAL ACTIVITIES
Treasury	Includes investments, all financial markets activities undertaken on behalf of the Bank's customers, proprietary trading, maintenance of reserve requirements and resource mobilisation from other banks and financial institutions.
Corporate Banking	Includes lending, deposit taking and other services offered to corporate customers.
Retail Banking	Includes lending, deposit taking and other services offered to retail customers.
Other Banking Operations	Includes para banking activities like third party product distribution, merchant banking etc.

WEBSITE DETAILS:

Subject, India's new age private sector Bank, is an outcome of the professional entrepreneurship of its Founder, Rana Kapoor and his highly competent top management team, to establish a high quality, customer centric, service driven, private Indian Bank catering to the "Future Businesses of India". Subject is the only Greenfield license awarded by the RBI in the last 15 years, associated with the finest pedigree investors. SUBJECT has fructified into a "full service" commercial Bank that has steadily built Corporate and Institutional Banking, Financial Markets, Investment Banking, Corporate Finance, Branch Banking, Business and Transaction Banking, and Wealth Management business lines across the country, and is well equipped to offer a range of products and services to corporate and retail customers.

The Bank has adopted international best practices, the highest standards of service quality and operational excellence, with innovative state-of-the-art technology, and offers comprehensive banking and financial solutions to all its valued customers. A key strength and differentiating feature of subject is its knowledge driven approach, which goes beyond the traditional realm of banking, and helps adoption of a diagnostic and prescriptive approach towards superior product structuring.

At Subject, they are committed to supporting the sustainable growth and development of sunrise sectors in the country, by facilitating overall growth through strategic knowledge initiatives. Subject has formed a specialized 'Development and Knowledge Banking Division' focusing on key growth sectors like Infrastructure, Food and Agribusiness, Telecommunications, Information Technology, Life sciences, Infrastructure, Renewable Energy, Media and Entertainment, Manufacturing and Textiles, among others. Subject’s unique knowledge driven sectoral approach provides industry specific financial solutions which facilitate superior structuring and tailored financial solutions. Based on efficient product delivery, industry benchmarked service levels, and strong client orientation, subject already services a number of leading companies in India.

Subject has a vision to champion 'Responsible Banking' in India where the concepts of Corporate Social Responsibility and Sustainability are embedded in the DNA of the organization and integrated in its Business Focus. Subject is committed to adding long term value to society, to differentiate itself in the marketplace based on a strong 'sustainability mandate' and to build in flexibility and openness as part of its core strategy. The Bank has engaged with global thought leadership forums like the Clinton Global Initiative (CGI), Triple Bottom Line Investing (TBLI) and Tallberg Forum. SUBJECT has recently become the first Indian Bank to become a signatory to the United Nations Global Compact. SUBJECT has also launched YES SAMPANN, a microfinance initiative of the Bank focused on developing a pioneering strategy of Direct Intervention for the microfinance domain in collaboration with ACCION International, USA.

Subject has invested in the best IT systems and practices in order to make its technology platform a strategic business tool for building a competitive advantage. The Bank has outsourced a significant part of its technology, infrastructure and hardware requirements, which has enabled the Bank to achieve high standards of customer service at comparatively lower cost structures. SUBJECT is committed to executing a concerted strategy by continuously launching innovative and secure banking channels to enhance customer satisfaction and increase focus on providing convenience and choice to their clients. The Bank has partnered Obopay USA, to launch secure mobile payment solutions for the first time in India.

Subject has been recognized amongst the Top and the Fastest Growing Bank in various Indian Banking League Tables by prestigious media houses and Global Advisory Firms, and has received national and international honours for their various Businesses including Corporate Finance, Investment Banking, Treasury, Transaction Banking, and Sustainable practices through Responsible Banking. The Bank has received several recognitions for their world-class IT infrastructure, and payments solutions, as well as excellence in Human Capital.

BUSINESS DESCRIPTION

Subject is a banking company. The Bank is engaged in providing a range of banking and financial services. The Bank operates in four segments: Treasury, Corporate / Wholesale Banking, Retail Banking and Other Banking Operations. The Treasury segment includes investments, all financial markets activities undertaken on behalf of the Bank’s customers, trading, maintenance of reserve requirements and resource mobilization from other Banks and financial institutions. The Corporate / Wholesale Banking segment includes lending, deposit taking and other services offered to corporate customers. The Retail Banking segment includes lending, deposit taking and other services offered to retail customers. The Other Banking Operations segment includes para banking activities, such as third-party product distribution and merchant banking. As of March 31, 2011, it operated 214 branches across 164 cities in India, and approximately 250 automated teller machines (ATMs). For the fiscal year ended 31 March 2011, Subject interest income increased 71% to RS40.42B. Net income increased 52% to RS7.27B. Net interest income reflects an increase in interest/discount on advance/bills, higher income from investment activities and lower provisions and contingencies. Net income was partially offset by higher interest expended. The company is a Indian based banking company.

BOARD OF DIRECTORS:

Mr. Surrinder Lal Kapur

Mr. Surrinder Lal Kapur is Non-Executive Non-Independent Chairman of the Board of Subject since April 27, 2010. He served as Independent Director of the Bank. He is M.A. (Maths) and a Law graduate. He has also completed his training in Public Administration, National Academy of Administration, Mussoorie. He retired as a member of the Board for industrial and financial Reconstruction (BIFR), a statutory body set up by the Government of India with a mandate to revive and liabilities the sick industrial enterprises. He had also worked as secretary to the Government of India, Department of small scale industries and agro and rural industries (Ministry of Industry) and Ministry of Food Processing Industries. He had also served as joint secretary in Ministry of Industrial Development (in charge of secretariat for Industrial Approvals and Industrial Policy) Earlier he had worked for 25 years with the Government if Punjab on various assignments including chief secretary to the government of Punjab. He does not hold any shares of the Bank. Presently he is the chairman of the board remuneration Committee and a member of audit & compliance committee and Fruad Monitoring Committee of the Bank.

Mr. Rana Kapoor

Mr. Rana Kapoor serves as Chief Executive Officer, Managing Director and Wholetime Director of Subject. He holds an MBA from Rutgers University in New Jersey, U.S.A. and a Bachelor's degree in Economics (Honors) from the University of Delhi. A professional entrepreneur, Mr. Kapoor has decades of banking experience to his credit. Prior to joining YES Bank, he was the Chief Executive Officer and Managing Director of Rabo India, responsible for all its business activities, including Corporate Finance and Investment Banking. He was also the Managing Partner in RIF, where he established a joint venture financial services organization with Rabobank in India. In the short span of five years, Mr. Kapoor developed RIF to be amongst the top five corporate and investment banking houses in India, and RIF has been recognized for exhibiting the country strategy within Rabobank's international operations. Under his leadership, RIF evolved into a robust financial services organization, with lasting value and an excellent future outlook. Under his leadership, ANZIB emerged as one of the strongest investment banks in India. It was awarded the International Finance Review (IFR)'s 'Loan House of the Year' for 1997 and 'Power Project Finance Team in India ' for 1997 by Global Finance. In the Merchant Banking area, its competitive position improved dramatically from 193rd to 6th under Mr. Kapoor's leadership. During his tenure, Bank of America emerged as the wholesale corporate bank in India. Mr. Kapoor was awarded the CEO's Award by the Chairman of Bank of America, the highest professional recognition for consistent, performance excellence. He has recently been appointed as the Chairman of CII's Banking Committee for the year 2005-06.

Dr. Wouter J. Kolff

Dr. Wouter J. Kolff serves as Independent Director of Subject. He is graduate in Economics from Erasmus University, Rotterdam. He started his career with ABN, Netherlands and had held several positions in the treasury, commercial and internal functions. He was elevated to the position of Chairman, Management Committee ABN, Belgium and was instrumental in starting currency option trading for ABN Group. He joined Rabobank Netherlands, as Dy. General Manager of International division. He also started Rabo Securities NV in Amsterdam and was the Chairman of its Board of Directors since 1995. He was the Vice- Chairman of the Managing Board of Rabobank International, Netherlands from 1996, where he was responsible for various portfolios over time viz. regional supervisor network, global responsibility for capital markets and treasury, starting of international retail activities in California, Australia, Ireland, Poland, China and Indonesia. Mr. Wouter Kolff does not hold any shares of the Bank. Presently he is the Chairman of Risk Monitoring Committee and a member of Audit and Compliance Committee, Nominations and Governance Committee, Board Remuneration Committee and Fraud Monitoring Committee of the Bank.

Mr. Arun Kumar Mago

Mr. Arun Kumar Mago serves as Independent Director of Yes Bank Limited. He is an lAS Officer, holds the degree of M.Sc. (Physics), M.PhiI. (Social Sciences) and has done Diploma in management, Public Administration (Paris and Delhi), Public Finance (Paris) and French and holds a Certificate in International Law and Diplomacy. He has also completed his training in Public Administration, National Academy of Administration, Mussoorie. He retired as the Chief Secretary of Government of Maharashtra. He had held various important posts like Chairman: Maharashtra State Electricity Board, Secretary (Energy): Government of Maharashtra, Joint Secretary: Ministry of Power, Government of India, Chairman: Mumbai Port Trust, Metropolitan Commissioner: Mumbai Metropolitan Region Development Authority, Additional Municipal Commissioner: Municipal Corporation of Greater Mumbai and Principal Secretary (Environment and Forest): Government of Maharashtra. Mr. Arun Mago does not hold any shares of the Bank. Presently he is a member of Risk Monitoring Committee, Nominations and Governance Committee and Service Excellence Committee of the Bank. He is a Director of Murli Agro Products Limited and Chairman of the Shareholders Grievances Committee of Murli Agro Products Limited.

Mr. Bharat V. Patel

Mr. Bharat V. Patel serves as Independent Director of Subject. He obtained an MBA in Marketing from the University of Michigan, Ann Arbor, Michigan, USA and an MA in Economics from the University of Notre Dame, South Bend, Indiana, USA. He joined Vicks International, New York as Marketing Trainee in 1969 and on its merger with Procter and Gamble, moved to Procter and Gamble and had a long and distinguished career there. He worked in various capacities for Procter and Gamble including as Operations Director, Associate General Manager, Category Manager, Country Manager and Executive Vice President. He was the Chairman and Managing Director, Procter and Gamble India Limited for six years. Mr. Bharat Patel does not hold any shares of the Bank. Presently he is the Chairman of Service Excellence Committee and Investor Relations Committee.

Mr. Umesh Jain

Mr. Umesh Jain is Senior President, Chief Information Officer of Subject. He spearheads the Information Technology initiatives and is responsible to further fortify the Bank’s technology edge and to continue its growth trajectory supported by Technology led innovations. He is also responsible for driving innovation projects, and developing strategic planning guidelines in accordance with the Business Strategy of the Bank leveraging and building upon Class Technology as a key pillar and differentiator of YES Bank. Umesh brings with him 14 years of national and international experience across USA, Europe, Middle East and Africa, and has managed highly visible, multi geography driven strategic projects and programs under various operating models including centralizing, outsourcing and off-shoring. Prior to joining YES Bank, Umesh was the Business Head - Corporate and Investment Banking Technologies at Citigroup IT Operations and Solutions (CITOS), providing IT services to global clients. He was instrumental in expanding the business and also played a key role in setting up operational processes in the organization. Earlier, in Citigroup, as the Vice President - Technology, EMEA (Europe/Middle East/Africa), Umesh has been a key influencer in program governance and strategy. He has played an active role in setting up the central offshore team for Flexcube rollouts in the EMEA region, and has implemented multiple installations of Flexcube. He is a B. Tech in Manufacturing Sciences and Engineering from the Indian Institute of Technology in Delhi.

Mr. Asit Oberoi

Mr. Asit Oberoi has been appointed as Senior President, Chief Operating Officer of Subject with effect from 5 September 2011. Mr. Oberoi will be responsible for overall operations and service delivery at the bank. Mr. Oberoi, a chartered accountant by profession, has 20 years of experience in the banking and finance arena and has worked with Fidelity International, Standard Chartered Bank, ANZ Grindlays Bank and Bank of America.

Dr. Shubhada Rao

Dr. Shubhada Rao is President and Chief Economist of Subject. She is responsible for the Economic Research Unit compiling forecasts through superior econometrics modelling techniques of all important macro-economic indicators, at the Bank. She is also responsible for providing interest rate/exchange rate and other inputs to the Asset and Liabilities Committee on an ongoing basis. Shubhada brings with her over 16 years of experience in academia and industry wherein she has pioneered research design geared to assist corporate investment decisions, economy forecasts, comprising growth and inflation projections, as well as interest and exchange rate forecasts, to enable formulation of business strategies. Prior to joining YES Bank, Shubhada set up an Economic Consulting firm and has been retained by the RBI to serve as an external on a project titled Bank Soundness and Macroeconomic Policy. Prior to this, she worked with Kotak Institutional Equities as Chief Economist, with Bank of Baroda as Economist and Head, Economic Advisory at CRISIL Advisory Services. Shubhada began her career in banking with ICICI Bank in their planning and treasury department after completing a PhD in Economics from the University of Mumbai.

Mr. Devamalya Dey

Mr. Devamalya Dey is Group President - Audit and Compliance of Subejct. He is responsible for planning, directing and controlling the auditing activities in all the functions of the Bank to ensure fullest compliance with regulatory norms and policy requirements. He is also responsible for ensuring the timely completion of all audit activities and also the preparation of requisite working papers and to liaison with the external auditors. Devamalya brings with him 16 years of experience across diverse business functions and geographical locations. Prior to joining YES Bank, he was working as Vice President - Audit and Risk Review with the Citigroup. In this capacity, Devamalya was a part of the Asia Audit team based in Mumbai. His primary responsibility included assessing key risks under 9 broad risk families (which include strategic/franchise, legal/compliance, financial reporting, staffing/organization, market, cross border, operational and systems/technology). At Citigroup, Devamalya led a team of 15-30 senior audit and line personnel coming from multi- ethnic and diverse functional backgrounds. His key achievements include the review of e-serve and India Cash Management, e- serve and India Trade Services, India Citi Financial, Bank Hand lowy (Poland) Trade amongst many others.

Mr. Sumit Gupta

Mr. Sumit Gupta is Senior President - Commercial Banking of Subject. As a part of the initial start up team, Sumit was instrumental in establishing YES Bank’s presence in this segment. He is also responsible for developing YES Bank’s Knowledge Management practice for some of the key ECB sectors like Gems and Jewellery, Textiles, Auto-components, Media and Entertainment and Logistics. Sumit is part of the Executive Management Team at YES Bank. Prior to joining YES Bank, Sumit was an Associate Director with Rabo India (100% subsidiary of Rabobank International, Netherlands, a AAA rated financial institution). He has over 12 years of experience in various capacities in organizations like Standard Chartered Bank, CRISIL (a subsidiary of Standard and Poors, USA) and Maruti Udyog Limited (Subsidiary of Suzuki Motor Company, Japan). He holds an MBA Degree in Finance from IIM Calcutta and is a B. Tech (Mechanical) from IIT Delhi.

Mr. Deodutta R. Kurane

Mr. Deodutta R. Kurane is Senior President - Human Capital at Subject. He will be spearheading the Human Resources function. He will be responsible for implementing innovative HR practices that will identify and nurture talent, evaluate employee contribution and establish action plans for empowering employees across the organisation. Prior to joining YES Bank, Deodutta was responsible for developing and executing the HR strategy at Bajaj Allianz as the Head - HR. He has been instrumental in developing a performance culture in the organisation along with an effective reward and recognition system. One of his key at Bajaj Allianz was in the area of learning and development with online and offline training programs and leadership development initiatives. Deodutta has conceptualised and implemented an HR IT system at Bajaj Allianz, prior to which, he was with Bharat Forge Limited, Pune. Deodutta is a Gold Medalist in Industrial Relations and Welfare from the Xavier Labour Relations Institute (XLRI), Jamshedpur and brings with him over 25 years of work experience in diverse facets of HR.

Mr. Aditya Sanghi

Mr. Aditya Sanghi is Group President and Senior Managing Director - Investment Banking of Subject. He is responsible for managing a full service Investment Bank offering a wide range of products in M&A, Private Equity Syndication, Equity Capital Markets, Research and Brokerage. Prior to joining YES Bank, he was Executive Director with Rabo India Finance where his responsibilities included M&A and Private Equity Syndication. He has to his credit some of the prominent transactions in India such as the Acquisition of Tetley Group by Tata Tea, the private sector cross-border acquisition and LBO by an Indian corporate. Some of the other landmark deals completed by him include, divestment of Pioneer ITI AMC to Franklin Templeton, divestment of the Madhya Pradesh Cellular Circle by Vodafone and RPG Group to Idea Cellular, Purchase of Empee Breweries by United Breweries, acquisition of Protinex Trademark from Pfizer by EAC Nutrition and acquisition of state owned Godavari Fertilizers by Coromandel Fertilizers. Among his recent private equity transactions are, placement of Suzlon Energy equity with CVC Intl. and of Coffee Day with AIG. Prior to joining Rabo India, Aditya worked with KPMG Corporate Finance and Lazard India. He is an MBA from IIM, Bangalore and graduate in Chemistry from St. Stephen’s College, Delhi University.

Mr. Suresh Sethi

Mr. Suresh Sethi is Group President - Transaction Banking of Subject. He is responsible for developing and implementing the business strategy for Cash Management Services, Capital Market Services, Trade Finance, Commodities and Food and Agri businesses. Suresh is also a part of the Executive Management Team at YES Bank and a member of the Bank’s ALCO (Asset Liability Committee). Suresh joined YES Bank from Citibank N.A., where he spent over 14 years - including 7 years in various senior management positions across Africa, Europe and the US. For the last 3 years of his Citibank assignment, he was based at Citibank Miami - firstly as the Global Transaction Services Head for the Caribbean and Central America Division covering 12 countries and later managing the Cash Management business for the entire Latin America region covering 22 countries. He brings with him experience across the gamut of Transaction Banking streams viz. Cash Management, Trade Services and Custodial Services. Prior to that, Suresh was instrumental in driving the Corporate Direct Banking strategy of Citibank N.A. for the Central and Eastern European, Middle East and South Asia region covering 33 countries from London, U.K An alumnus of FMS Delhi, Mr. Sethi also holds a Bachelor’s degree in Engineering (Electronics) from Punjab University.

Mr. Rajagopal Srivatsa

Mr. Rajagopal Srivatsa has been appointed as Group President - Liability Management and Transaction Banking of subject with effect from 18 July 2011. Mr. Srivatsa will be responsible for further developing liability offerings and executing segmented products and sales driven solutions, strengthening the product portfolio by pursuing and cross-selling trade finance, cash management services (CMS) and capital market solutions integrated with seamless product/sales management. He will further drive and provide knowledge-driven product management support, and will comprehensively consummate the liabilities management business requirements of all the corporate segments, as well as branch banking segments including retail and SME banking to ensure that all relationship and product functions across the bank optimise the manifold opportunities for growing the liability, cash management and trade finance businesses of the bank. He brings with him over 30 years of experience in branch and business banking, business process re-engineering, service quality and information technology, the release said. Prior to joining Yes Bank, he was the President Business Banking at Axis Bank and was responsible for the overall growth of liability business by leveraging branches and client relationships across the bank.

Mr. Varun Tuli

Mr. Varun Tuli is Group President - Government and Multinational Relationships Management of Subject. He is also responsible for product development, building Human Capital capabilities, effective delivery of services, and setting the service levels required for the Business Banking function. Varun has over 20 years of experience in Corporate and Investment Banking with international Banks and Financial Organisations across different geographical locations particularly India, Singapore and Hong Kong. Prior to joining YES Bank, Varun was the Executive Director and Country Head at Avigo Capital Partners, a Private Equity firm where he managed the end to end execution process for The Avigo SME Fund. Prior to joining Avigo, Varun was the Executive Director at Strategic Capital Corporation, a boutique investment bank in India. He was the Original Promoter Director and during his entrepreneurial tenure with the organization, Varun was instrumental in building several businesses and key relationships across the country. Previously, he was the Vice-President at Lehman Brothers Asia in Singapore and Vice-President and Regional Business Manager at Bank of America. At Bank of America, along with the Corporate Banking function, he was also the Global NRI business for the bank which had offices in the Far East, Europe, the U.S. and India. Varun has also worked with American Express Bank in India, prior to his Bank of America assignment. He holds a Bachelors Degree in Commerce (Hons.) from Shriram College of Commerce, Delhi University. He has also passed his Series VII - US Regulatory Exam in 1994.

Mr. Rajat Monga

Mr. Rajat Monga is Group President- Financial Markets and Chief Financial Officer of Subject. He is spearheading the Financial Markets, Financial Institutions Relationship Management and Investment Management practices in the Bank. He is responsible for building and developing the Financial Markets function in YES Bank focusing on trading and client distribution of FX, Fixed Income, Derivatives and Structured Products in addition to balance sheet management. Rajat is also responsible for institutionalizing practices in all aspects of financial accounting, taxation, technology based Management Information Systems and expense management. His role also includes ensuring the integrity of all aspects of Financial Management in fullest compliance with the Bank’s accounting standards and Corporate Governance policies. Rajat brings with him considerable and experience in the areas of Balance Sheet Management, Treasury Management, Financial Markets and Product Development. Prior to joining YES Bank, Rajat was working with Rabo India Finance as the Head, Financial Markets, India. He has also worked with the Unit Trust of India as a part of the Market Operations Department where he co-managed four equity mutual fund schemes, along with undertaking secondary market debt operations for all debt mutual fund schemes. He is an engineer from IIT Delhi and holds a postgraduate diploma in Management from IIM, Ahmedabad.

PRESS RELEASE

NON-INTEREST INCOME GROWTH BUOYS YES BANK

21 October 2011

New Delhi, Oct. 21 -- The concern about Yes Bank Limited has been that its low Casa (current and savings account) deposits and dependence on borrowings would eat into profitability. Well, the bank has so far managed the monetary tightening cycle rather well. For the September quarter, it posted a net profit of 2350.000 Millions 33.3% higher than the year-ago period. The bank has been nimble enough to meet the challenges. Loan growth in the quarter was a low 12.7%, much lower than the 26.1% year-on-year (y-o-y) rise in the June quarter.

Yes Bank prefers to use the growth in customer assets (loans and credit substitutes such as bonds and commercial paper) as a benchmark, and this grew 27.4% y-o-y. Note, though, that customer asset growth was 34.7% y-o-y in the June quarter.

Deposit growth was just 10.2% y-o-y in the September quarter, and the extra funds for lending were obtained by borrowing. Several factors were responsible for keeping the cost of borrowings low more foreign exchange borrowings, especially since August, when the cost of hedging fell; a tier-II capital bond issue with a yield lower than the yield on a comparable deposit; and taking advantage of low-cost refinance.

Yield on advances, on the other hand, was increased by re-pricing loans. The upshot was a slight increase in net interest margin to 2.9% from 2.8% in the June quarter.

Casa, as a percentage of total deposits, remained stable at 11% compared with 10.9% at end-June, but that was partly because, sequentially, deposits grew by a mere 1.1%. Sequentially, Casa growth was 1.6%, on a small base.

While net interest income grew 23.1% y-o-y, the big increase was in non-interest income, which went up a huge 63.4%, aided in part by a low base, but also because of very strong growth in the financial market (which includes FX sales, debt capital markets and trading income), transaction banking and financial advisory segments. Non-performing assets (NPAs) continue to be very low, with gross NPAs at a mere 0.2% of gross advances. However, restructured advances went up from 870.000 Millions at the end of June to 1755.000 Millions at the end of September. That is an increase from 0.26% of gross advances to 0.51% of gross advances, which, however, is still very low. Yes Bank's long-term goal is to raise Casa. It has added 50 branches in the September quarter and 91 branches in the last six months, taking the total to 305. The full benefits from branch expansion should kick in 18-24 months. In the interim, though, a rise in bond yields could be a risk.

NCMSL RAISES RS.2025.700 MILLIONS LOAN TO FUND WAREHOUSING PROJECT

21 October 2011

New Delhi, Oct. 21 -- National Collateral Management Services Limited (NCMSL), country s firm in private agri-warehousing space, today announced to raise a loan of Rs.2025.700 Millions from a consortium of four banks to finance its warehousing project. We plan to deploy these funds over the next two years to create our own network of warehouses in over 40 locations across the country, company MD-cum-CEO Sanjay Kaul told reporters here. The consortium of banks comprises Yes Bank, Corporation Bank, Karur Vysya Bank (KVB) and Development Credit Bank (DCB). Mr. Kaul said Yes Bank, which is the lead bank of the consortium, will provide Rs.750.000 Millions debt in the project, Corporation Bank Rs.620.000 Millions, KVB Rs.400.000 Millions and Rs.255.700 Millions by DCB. The debt will complement the equity of Rs.1017.500 Millions which was recently raised by the company from the International Finance Corporation (IFC), Rabo Equity and four existing shareholders-- IFFCO, KVB, HAFED, and NCDEX. Mr Kaul said the equity and the project debt will together finance the company s Rs.3043.200 Millions warehousing project. The project will help in enabling liquidity of warehouse receipt and strengthening of price risk management capabilities of various stakeholders across the value chain right from farmers to processors, Mr. Kaul said. The loan will carry a floating rate of interest, linked to the base rate, and is currently pegged at 11 per cent. The repayment of the debt will be done over 10 years with a moratorium period of 2 years, he said. SBI Capital Markets Limited is the merchant banker for this debt placement. Incorporated in 2004, NCMSL is present in 16 States across the country and its warehouses manage 42 agricultural commodities as well as storage services for non-agricultural commodities and inventories. UNI SBA SB AS1826 Published by HT Syndication with permission from United News of India.

NCMSL TO RAISE PROJECT DEBT OF RS.2025.700 MILLIONS

20 October 2011

Mumbai, October 21 2011 (PTI) -- Warehousing services and supply chain management solutions provider, National Collateral Management Services Limited (NCMSL) today said it is raising a project debt of Rs.2025.700 Millions from a consortium of four banks led by Yes Bank.

"We offer modern, scientific and IT enabled storage and preservation services with focus on agri commodities. We plan to deploy these funds over the next two years to create our own network of warehouses in over 40 locations across the country," NCMSL Managing Director and CEO Sanjay Kaul said.

The four banks in the consortium are: Yes Bank with a share of Rs.750.000 Millions in the project debt, Corporation Bank Rs.620.000 Millions, Karur Vysya Bank (KVB) Rs.400.000 Millions and Development Credit Bank (DCB) Rs.255.700 Millions, NCMSL said in a release issued here.

"Yes Bank has been in the forefront in financing agri- business ventures. The knowledge and inputs from Yes Bank will help in further growth of NCMSL's agri-warehousing and collateral management activities.

The project will help in enabling liquidity of warehouse receipts and strengthening of price risk management capabilities of the various stakeholders across the value chain right from farmers to processors," Yes Bank President and Managing Director, Development Banking, Saurabh Bhat said.

This debt will complement the equity of Rs.1017.500 Millions recently raised by the NCMSL from International Finance Corporation (IFC), Rabo Equity, and four existing shareholders -- IFFCO, KVB, Haryana State Co-operative Supply and Marketing Federation Limited (HAFED) and National Commodity and Derivatives Exchange Limited (NCDEX).

The equity and the project debt will together finance the company's Rs.3043.200 Millions warehousing project.

NCMSL RAISES RS.2020.000 MILLIONS DEBT TO SET UP AGRI-WAREHOUSES

20 October 2011

New Delhi, October 21 2011 (PTI) -- National Collateral Management Services (NCMSL) today said it has raised debt of Rs.2025.700 Millions from a consortium of four banks to build agri-warehouse capacity of seven lakh tonnes across the country.

NCMSL has a leased out warehousing capacity of 10 lakh tonnes, with focus on farm items. It has raised funds to cover the warehousing project cost of Rs.3043.200 Millions.

"For our warehousing project, we have already raised money through equity and now we have signed the agreement with a consortium of four banks for a debt of Rs.2025.700 Millions," NCMSL CEO Sanjay Kaul told reporters here.

It has borrowed Rs.750.000 Millions from the Yes Bank, Rs.620.000 Millions from the Corporation Bank, Rs.400.000 Millions from the Karur Vysya and Rs.255.700 Millions from Development Credit Bank (CDB).

The loan will carry floating interest rate and will be repaid over 10 years with a moratorium of two years, he said, adding that SBI Capital Markets has been engaged as the merchant banker for the debt placement.

The debt will complement the equity of Rs.1017.500 Millions raised recently from the International Finance Corporation, Rabo Equity and four existing shareholders including IFFCO and NCDEX, Kaul added.

He said that NCMSL will deploy funds to construct modern warehouses with a capacity of seven lakh tonne of farm items at 40 locations across 16 states.

The company plans to complete the proposed warehousing project by 2013. At present, it is in the process of acquiring 200 acres, he said, adding that 40 acres has been acquired.

The warehouses would be constructed scientifically with IT enabled storage and preservation services to store largely agricultural commodities, Kaul said. Three cold storages would also be set up in Andhra Pradesh and Maharashtra.

The country is facing storage problem and has the total capacity, with the government's FCI and state agencies, of about 62 million tonnes. It is facing storage capacity gap of 30-40 million tonnes, and is looking at greater private participation in this area.

Besides providing warehousing services, NCMSL also offers supply chain management solutions, weather intelligence, testing and certification services and collateral management for lenders among others in 16 states.

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.50.07
UK Pound	1	Rs.79.16
Euro	1	Rs.69.04

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	8
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	7
--RESERVES	1~10	7
--CREDIT LINES	1~10	6
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	YES
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		63

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
-	NB	New Business	-

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.