MIRA INFORM REPORT

Report Date :

22.08.2012

IDENTIFICATION DETAILS

Name :	THE COSMOS CO-OPERATIVE BANK LIMITED
Registered Office :	“Cosmos Heights", 269/ 270 Shaniwar Peth, Pune-411030, Maharashtra
Country :	India
Financials (as on) :	31.03.2012
Date of Incorporation :	18.01.1906
Capital Investment / Paid-up Capital :	Rs.2909.426 Millions
Legal Form :	Co–Operative Bank
Line of Business :	Banking Business.
No. of Employees :	100 [Approximately]

RATING & COMMENTS

MIRA’s Rating :

A (69)

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 an old established and reputed bank. It is the second largest bank in the country. Cosmos Bank has carved a niche in the banking sector. The bank having a good track record. Financially bank performance appears to be good. Trade relations are reported to be fair. Business is active. Payments are reported to be regular and as per commitments. The bank can be considered normal for business dealings at usual trade terms and condition.

NOTES :

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

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

INFORMATION PARTED BY [GENERAL DETAILS]

Name :	Mrs. Deshmukh
Designation :	Accountant
Contact No.:	91-20-24409100
Date :	22.08.2012

LOCATIONS

Registered / Head Office :	“Cosmos Heights", 269/ 270 Shaniwar Peth, Pune-411030, Maharashtra, India
Tel. No.:	91-20-24409100
Fax No.:	91-20-24453816
E-Mail :	customercare@cosmosbank.in hrd@cosmosbank.in info@cosmosbank.in mro@cosmosbank.in
Website :	www.cosmosbank.com
Mumbai Regional Office:	36 A, Maru Niketan D.L. Vaidya Road Dadar (West) Mumbai-400028, Maharashtra India
Tel. No.:	91-22-43606000 to 43606099
Fax No.:	91-22-24331167
E-Mail :	mro@cosmosbank.in
Gujarat Regional Office:	Cosmos Bank Bhavan, Opposite Sales India, Income Tax, Ashram Road, Ahmedabad-380009, Gujarat, India
Tel. No.:	91-79-27542174/ 75
Fax No.:	91-79-27544568
E-Mail :	ahmedabad@cosmosbank.in

DIRECTORS

AS ON 31.03.2012

Name :	Mr. Dilip Dehadaraya
Designation :	Managing Director
Name :	Mr. Macchindranath Ureskar
Designation :	Managing Director
Name :	Mr. Shashikant Vishnupant Bugde
Designation :	Chairman
Name :	Mr. Krishnakumar Kishorilal Coyal
Designation :	Vice Chairman
Name :	Mr. Madhukar Waman Atre
Designation :	Director
Name :	Dr. Mukund Laxman Abhyankar
Designation :	Director
Name :	Mr. Arvind Bhagwat Deshpande
Designation :	Director
Name :	Mr. Pramod Dattatraya Parkhi
Designation :	Director
Name :	Mr. Shaligram Jayant B
Designation :	Director
Name :	Dr. Smita Jog
Designation :	Director
Name :	Mr. Milind Anant Kale
Designation :	Director
Name :	Mr. Prasad Bhimrao Kokare
Designation :	Director
Name :	Mr. Govind Raghunath Kshirsagar
Designation :	Director
Name :	Mr. Sunil Arvind Sabnis
Designation :	Director

KEY EXECUTIVES

Name :	Mrs. Himani Gokhale
Designation :	Chief General Manager
Name :	Mr. Suhas Gokhale
Designation :	Chief General Manager
Name :	Mr. Ratnakar Nadkarni
Designation :	Chief General Manager (joined w.e.f 25.05.2012)
Name :	Mr. Vidyadhar Pethkar
Designation :	General Managers
Name :	Mrs. Nayan Lagad
Designation :	General Managers
Name :	Mr. Suhas Chikode
Designation :	General Managers
Name :	Mr. Rajendra Pandit
Designation :	General Managers
Name :	Mr. Sharashchandra Suryavanshi
Designation :	General Managers
Name :	Mr. Avinash Rana
Designation :	General Managers
Name :	Mrs. Archana Jaywant
Designation :	General Managers
Name :	Mr. Sunil Panse
Designation :	General Managers
Name :	Mr. Vijay Vaidya
Designation :	General Managers
Name :	Mrs. Sulekha Deuskar
Designation :	General Managers
Name :	Mrs. Madhuri Marathe
Designation :	General Managers
Name :	Mr. Anil Barve
Designation :	General Managers
Name :	Mr. Vikrant Ponkshe
Designation :	General Managers (joined w.e.f 02.01.2012)

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

NOT AVAILABLE

BUSINESS DETAILS

Line of Business :

Banking Business.

GENERAL INFORMATION

No. of Employees :	100 [Approximately]
Bankers :	Reserve Bank of India

Banking Relations :	--
Statutory Auditors :
Name :	Kirtane and Pandit Chartered Accountants
Address:	Pune, Maharashtra, India
Name :	Yardi Prabhu and Associates Chartered Accountants
Address:	Mumbai, Maharashtra, India
Internal Auditors :
Name :	P.G. Bhagwat Chartered Accountants
Address:	Pune, Maharashtra, India
Wholly Owned Subsidiaries :	Cosmos E-Solutions and Services Private Limited

CAPITAL STRUCTURE

AS ON 31.03.2012

Authorised Capital :

No. of Shares	Type	Value	Amount
30000000	Equity Shares	Rs.100/- each	Rs.3000.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
25656391	Equity Shares	Rs.100/- each	Rs.2565.639 Millions
3437866	Others Equity Shares	Rs.100/- each	Rs.343.787 Millions
	Total		Rs.2909.426 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

CAPITAL AND LIABILITIES	31.03.2012	31.03.2011	31.03.2010	PROPERTY AND ASSETS	31.03.2012	31.03.2011	31.03.2010
Share Capital	2909.426	1211.147	919.249	Cash And Bank Balances	7271.607	6664.645	4875.276
Reserve Fund And Other Reserves	10400.835	9310.925	7868.476	Balances With Other Banks	1097.608	1266.294	3333.334
Principal And Subsidiary State Partnership Fund Account	0.000	0.000	0.000	Money At Call And Short Notice	2756.594	1971.400	0.000
				Investments	36462.692	27591.948	26218.011
Deposits And Other Accounts	120596.811	91366.831	72129.564	Advances	85101.419	63842.678	46216.583
Borrowings	1690.957	1296.378	549.184	Interest Receivable	0	0
Bills For Collection Being Bills Receivable (As Per Contra)	969.961	594.259	317.971	Interest On Deposits & Securities	789.376	572.963	674.295
				Overdue Interest On Loans & Advances	5023.227	4117.421	3355.423
Branch Adjustments	0.296	1.054	3.072	Bills Receivable Being Bills For Collection (As Per Contra)	969.961	594.259	317.971
Overdue Interest Reserve
On Non-Performing Advances	5023.227	4117.421	3355.422	Branch Adjustments (Net)	0.000	0.000	0.000
On Investments	25.493	23.045	20.597	Fixed Assets (Net Block At Cost Less Dep.)	2847.349	1739.823	797.780
Interest Payable	87.490	73.046	47.703
Other Liabilities	2676.866	2441.700	2207.278	Other Assets	2722.237	2523.412	1913.890
Merged Banks Collection Account Payable	35.247	68.926	55.002	Non Banking Assets Acquired In Satisfaction Of Claims	0.000	0.000	0.000
Profit & Loss Account	1376.108	1111.888	555.245	Merged Banks Collection A\C Receivable	505.411	449.618	199.797
				Goodwill A/C - Merged Banks	245.236	282.159	126.405
TOTAL	145792.717	111616.620	88028.765	TOTAL	145792.717	111616.620	88028.765
CONTINGENT LIABILITIES :
BANK GUARANTEES	2872.017	2143.038	1933.904
LETTERS OF CREDIT ISSUED	5128.439	3482.915	1533.906
FORWARD EXCHANGE CONTRACTS PURCHASE/SALE	2312.348	1426.597	2580.401

PROFIT & LOSS ACCOUNT

EXPENDITURE	31.03.2012	31.03.2011	31.03.2010	INCOME	31.03.2012	31.03.2011	31.03.2010
Interest On Deposits Borrowings Etc.	8602.372	5402.330	5385.720	Interest & Discount	11814.273	8187.131	-
Salaries, Allowances, Pf, Contribution & Gratuity Etc.	948.364	821.364	680.720	Profit On Sale Of Securities	103.905	51.813	262.483
Director's Fees & Allowances	1.247	1.266	0.460	Commission, Exchange & Brokerage (Net)	622.866	488.802	298.567
Rent, Taxes, Insurance, Light Etc.	331.548	280.738	230.726	Interest Recovery On Npas Written Off	4.805	6.749	1.109
Legal Charges	0.347	2.373	0.372	Other Receipts	0	0
Postage, Telegram & Telephone	23.203	25.298	19.112	Rent	0.070	0.066	0.072
Auditors Fee	15.899	11.879	9.759	Share Transfer Fee , Form Fee Etc.	1.337	0.811	0.644
Depreciation, Repairs, Maintenance To Bank's Property	144.187	161.104	144.494	Locker Rent	31.173	23.786	19.892
				Interest on Income Tax Refund	60.794	5.112	0.000
Stationery, Printing, Advt. Sadil Etc.	97.276	101.408	45.313	Other Income	2.282	68.963	56.622
Amortization Of Premium On Securities	105.151	113.674	109.312	Depository Income	12.917	15.258	16.575
Other Expenditure	182.335	130.606	0.000	Principal Recovery In Npas W/Off.	28.574	59.421	37.611
				Excess Provision for Merged Bank Losses Written Back	41.418	9.096	0.000
Goodwill W/Off - Merged Banks	56.277	39.589	32.084	Credit From General Reserve	0.000	0.000	82.071
Provision of Assets	654.114	215.249	0.000
Bad & Doubtful Debts Reserve (In Pursuance Of Sec.36(1)(Vii)(A) Of I.T. Act	0.000	0.000	85.791
Reserve For Infrastructure & Housing Development	13.840	13.600	4.582
Investment Depreciation Reserve	0.000	0.000	399.485
Provision For Merged Bank Losses	0.000	7.157	26.574
Profit Before Tax	1548.255	1589.376	(6398.859)
Less: Income Tax	468.629	480.050	203.281
(Add) / Less: Deferred Tax	(55.793)	(1.986)	2.044
Profit After Tax Carried To Balance Sheet	1135.419	1111.312	(6604.185)
Reversal of Excess Investment Fluctuation Reserve	(234.859)	0.000	0.000
Net Profit Carried to Balance Sheet	1370.278	1111.312	0.000
TOTAL	12724.413	8917.009	775.646	TOTAL	12724.413	8917.009	775.646

LOCAL AGENCY FURTHER INFORMATION

DETAILS OF SUNDRY CREDITORS: NOT AVAILABEL

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of Establishment	Yes
2]	Locality of the firm	Yes
3]	Constitutions of the firm	Yes
4]	Premises details	No
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	No
8]	No. of employees	Yes
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	--
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	No
21]	Market information	--
22]	Litigations that the firm / promoter involved in	--
23]	Banking Details	Yes
24]	Banking facility details	No
25]	Conduct of the banking account	--
26]	Buyer visit details	--
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	Yes
29]	Last accounts filed at ROC	Yes
30]	Major Shareholders, if available	Yes
31]	PAN of Proprietor/Partner/Director, if available	No
32]	Date of Birth of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

FINANCIAL YEAR 2011-12:

Financial year 2011-12 has been a challenging year for the economy as a whole and the banking sector in particular. The continuing uncertainties in US, European Union, UK and the international financial markets had an impact on emerging economies, including India. The Indian economy saw moderation in economic activities following domestic macroeconomic conditions of high interest rates and slowdown in investments etc. This year witnessed significant challenges like liquidity pressures lower financial savings, high inflation, high interest rates, volatile capital flows and currency markets. The Index of Industrial Production (IIP) actually fell from 8.1% to 3.5% whereas inflation reached a high of 9% in 2011.

Banks had the challenge of chalking out a distinctive growth strategies against such odds. The Reserve Bank of India took several measure to improve the situation, like reduction of the CRR (Cash Reserve Ratio), bringing Open Market Operations to the forefront and reduction in Repo and Reverse Repo rates. The overall banking deposits grew at 13.4% and Advances grew at 17% as against the projected growth of 17% for deposits and 20 % for advances by the RBI.

The Reserve Bank of India implemented few important policies specifically in relation to co-operative banks, such as deregulation of interest rates on Savings Account and NRE/NRO deposits; increase in credit lending limits for priority sector and implementing a Supervisory Action Framework for working of the cooperative banks.

On one side, the financial condition was not very encouraging and on the other hand the bank had to face increasing regulations of the Reserve bank on KYC, Anti-money laundering, CRAR, CD ratio, Net NPA etc. In addition, the bank had to face severe competition; meet the customers’ expectations of providing facilities at reasonable rates. In- spite of all this, the bank through the network of 119 branches, has showcased a performance of a set-up of Rs. 205700.000 Millions, owned funds of Rs. 13310.000 Millions, share-capital of Rs. 2910.000 Millions and net profit of Rs. 1370.000 Millions.

Their bank also had to adjust the rates of interest from time to time to cater to the needs and expectations of the customers. The bank has emerged successfully in shouldering the herculean tasks of managing the Credit-Deposit ratio, the Capital Adequacy ratio and also increase the Net Profit.

The statistics below highlights the splendid growth in deposits and credit off- take registered by the bank, in comparison with the industry average.

The business growth of their bank has been exemplary even in comparison with their peer competitor banks, and is truly emerging as the fastest growing bank. Their bank has not been able to show the expected growth in CASA deposits due to the prevailing attractive interest rates on savings and current account and small deposits, various other investment opportunities besides bank deposits etc. The strategy this year therefore is to renew the focus on increasing the percentage of CASA in the overall deposits of the bank. We welcome their members to actively participate in this effort of theirs.

Changing import-export policies and depression in the global economy are some of the factors for the unexpected rise in NPA. However these accounts are under close scrutiny of the bank and we are sure that due to the constant monitoring these accounts will soon overcome NPA status. Amravati People’s Co-op bank has been merged with their bank on 18 May 2011. This merger has helped in increasing the number of their branches.

The bank set its footprint in the state of Tamil Nadu by opening their first branch in Chennai, which has started functioning from 1st march 2012. This branch has received a good customer response from the very onset. Their action plan submitted to the Reserve Bank for the year 2011-12 has been approved. According to this Action plan, we were supposed to receive licenses for 18 new branches and 9 extension counters but is still pending with the RBI. Their bank has sent an Action plan for opening 103 new branches in the year 2012-13 to the Reserve bank. We are expecting to get the licenses from the Reserve bank with respect to both these plans.

BANKS’ OWN SUBSIDIARY:

Cosmos e-Solutions and Services Private Limited established in the year 2007 is a wholly owned subsidiary of their bank. 2011-12 was the first year of its independent operations. A MOU was signed On 31st October 2011 between Cosmos Bank and Cosmos e-Solutions and Services Private Limited Accordly the company provides all software-related services to their bank. Besides, the company also provides software, software advisory and implementation services, and trainings etc. to other financial organizations and banks.

NEWLY LANUCHED IT-RELATED SERVICES:

• Their customers can now use ATMs of other banks in the National Payments Corporation of India (NPCI) network to change their PIN code and obtain mini-statement. Their bank is the first in the co-operative sector to make this service available.

• Due to certain specific technical security functioning in the ATMs, the transactions have become more secure.

• Visa-card holders of their bank can safely conduct e-commerce transactions such as online shopping, ticket booking for airline, railway and movies, bill payments, mobile recharge, etc.

• To ensure security, CCTV cameras have been installed in most branches of the bank and ATMs. This has facilitated supervision of the daily functioning of the bank.

• New software has been created to provide information regarding customers’ loans per month to Credit Information Bureau India Ltd (CIBIL), through which information regarding credit rating of customers can be conveniently sent to the Credit Information Bureau India Ltd (CIBIL).

• The bank has provided its customers facility to link more than one account in the bank to their mobile numbers. Thus it will be possible for customers to link up to a maximum of 9 different accounts in their bank to one mobile number. This will be helpful for SMS Banking facility. This technology will also be used for Financial Inclusion.

• Separate software has been created for resolution of complaints from customers who are unable to withdraw cash from their account despite sufficient balance in the account. This software will facilitate resolution of ATM related complaints in less than 7 days of period as stipulated by the Reserve Bank of India.

COSMOS VISA DEBIT CARD:

The use of plastic money for shopping and other financial transactions is gaining wide popularity as it eliminates the risks involved in carrying large amounts of cash. For this, their bank has made a number of cards available to its customers. Under the Visa Debit Card facility, customers can benefit from a variety of cards like Visa Gold, Visa Classic and Visa Business. Customers can usethese cards to withdraw money from over 98 thousand ATMs nationally and 19 lakh ATMs internationally. Besides, these cards can be used nationally and abroad for shopping at various Points of Sale (POS).

SMS BANKING SERVICE:

Their bank has started SMS Baking service to allow customers to know their account balance, details of last 3 transactions, status of cheques deposited, and if the account balance is insufficient to pass a cheque. This service has been activated through the Centralized Banking Solution implemented by the bank.

Besides these, changes in interest rate, information about new schemes, special events, details of shopping from Point of Sale or ATM transactions, alerts about termination of the tenure of recurring account, can also be obtained via SMS Banking. This facility is available to all customers on all mobiles. This service is free, and customers are requested to kindly register their mobile numbers at their branch to take full advantage of the service for maximum security of the account and transactions.

INTERNET BANKING:

A proposal has been made to the Reserve Bank to make internet banking available to customers. The required preparation has been made for the same, concerned people have been given training, and tests have successfully been carried out at the office level as well. This facility will be made available to customers immediately after approval from the Reserve Bank.

ATM:

As of 31st March 2012, there are 110 ATMs in branch offices and extension counters, and 6 offsite, that is 116 ATMs of their bank are functioning. Also, since their bank is a member of both National Financial Switch (NFS) and BANCS networks, customers can avail this facility not only from their bank’s ATMs, but those of more than 98 thousand nationalized and private banks ATMs all over the country. No charges are levied on the use of their bank’s card in other ATMs for the first 5 transactions from savings account per month.

OVERVIEW:

Subject was established on 18th January, 1906. The bank is a multi-state scheduled co-operative bank having 110 branches and 9 extension counters in 6 states as on 31st March, 2012. The Bank is licensed by the Reserve Bank of India (RBI) as ‘Authorized Dealers’ in Foreign Exchange transactions.

ACCOUNTING FOR AMALGAMATION:

The bank has taken over the Amravati Peoples Co-operative Bank Limited, Amravati during the year, details of which are as under:

Name of the Bank	Date of merger	Merger Order From Competent Authority
The Amravati Peoples Co-op. Bank Limited, Amravati.	18.05.2011	No. URB/ D-4/ Amravati P. / Cosmos/ Bank / Merg 963/ 2011 Dated 27.04.2011 from Office of the Commissioner for Cooperation and Registrar of Co-operative Societies, M.S. State, Pune - 411 001

The net worth of the Bank was negative at the time of merger. However, the share money to the existing shareholders of Amravati Peoples Co-operative Bank will be refunded proportionately after five years from the date of merger if the total loss as on date of merger is recovered within a period of five years. A separate collection account is maintained after merger. Recovery in the pending interest as on date of merger, release of BDDR provision of recovery is credited to this account.

The excess of liabilities over assets of the bank is shown as “Goodwill” in the books of accounts in terms of RBI circular UBD. PCB. Cir. No. 5/09.16. 901/ 2007-08 dated 13.07.2007. As per circular, Goodwill is required to be amortized within five years from the date of merger. After a period of five years from the date of merger, the recovery amount in excess of goodwill (amount at the time of merger), will be refunded to shareholders proportionately to the maximum of their respective share amounts.

The Goodwill of above bank and earlier merged banks is amortized / written off by debiting Profit and Loss Account as under:

Rs. in Millions

Bank	Merger Date	Goodwill on merger	Debit/ Credit to goodwill after merger	Goodwill written off upto 31/3/2011	Goodwill written Off During 2011-12	Goodwill c/f
Union Comm. Co-operative Bank. Limited, Ahmedabad	21.07.2008	1.838	--	1.103	0.368	0.367
Jarandeshwar Sahakari Bank. Limited, Satara	25.08.2008	4.471	0.105	2.749	0.914	0.913
Shreeram Sahakari Bank Limited, Nipani	06.01.2009	3.393	(0.144)	1.949	0.650	0.650
Phaltan Urban Co-operative Bank Limited, Phaltan	25.05.2009	66.318	83.604	60.386	29.845	59.691
Sushilkumar Nahata Urban Co-operative Bank Limited, Bhusawal	28.08.2010	37.457	(22.522)	7.426	7.509	0.000
Amravati Peoples Co-operative Bank Limited, Amravati	18.05.2011	96.988	(12.035)	--	16.990	67.963
Total		210.465	49.008	73.613	56.276	129.584

Merger of Co-operative Bank of Ahmedabad Limited, Unnati Co-operative Bank Limited and Annapurna Co-operative Bank Limited

As per the merger scheme, the bank had amortized 20% each of accumulated loss of Co-operative Bank of Ahmedabad (CBA) and Unnati Co-operative Bank (UCB) over a period of five years, by corresponding credit to provision for loss on merger. During the period of merge scheme, the bank had received certain amounts on account of recovery of bad and doubtful debts and other dues which had been debited to provision for losses. On comparison of losses provided upto financial year 2010-11 with credits received on account of recovery, the excess provision on account of amortization of losses, is Rs.35.030 Millions and Rs.6.388 Millions in respect of CBA and UCB respectively and the total amount of Rs.41.418 Millions is written back to profit and loss account, the details of which are as under.

Rs. in Millions

Bank Name	Accum. losses on merger	Net credit to losses on A/C of Recovery etc.	Losses C/F to be Provided.	Loss Provided upto 2010-2011	Excess Provided w/ back during the year 2011-12	Accumulated loss pending to be Provided over the next year
Co-operative Bank of Ahmedabad Limited, Ahmedabad	220.738	105.085	115.653	150.683	(35.030)	--
Unnati Co-operative Bank Limited, Baroda.	45.247	45.247	0.000	6.388	(6.388)	--
Annapurna Mahila Co-operative Bank Limited, Hyderabad	0.828	0.000	0.828	0.828	--	Provision is set off against loss during the year
Total	266.813	150.332	116.481	157.899	(41.418)	--

CONTINGENT LIABILITIES:

Particulars	31.03.2012 (Rs. in millions)	31.03.2011 (Rs. in millions)
Bank Guarantees	2872.017	2143.038
Letters of Credit (LC + Buyer’s Credit)	5128.438	3482.914
Forward Exchange contracts Purchase/Sale	2312.348	1426.597
Total	10312.803	7052.549

FIXED ASSETS:

• Freehold Land
• Leasehold Land/ Premises
• Buildings
• Furniture and Fixtures
• Computers and Others H/W and Electric Items
• Vehicles
• Work In progress

WEBSITE DETAILS:

HISTORY:

Established in 1906, Subject is one of the oldest urban co-operative banks in the country, reputed for its quality services.

· Today, the Subject is one of the leading Multi-state Scheduled Co-operative banks.

· The bank has carved a niche in the urban banking sector with its rich heritage, integrity, adherence to the prudent banking practices, technology savvy customer services.

· Has attained multi-faceted growth not only in terms of financial indicators / standards but also in overall expansion of activities.

NEWS:

24^TH MARCH, 2011

COSMOS CO-OPERATIVE BANK SELECTS IBM TO RUN ITS CORE BANKING SOLUTION

THE COSMOS CO-OPERATIVE BANK LIMITED (COSMOS BANK), ONE OF THE LEADING MULTI-STATE CO-OPERATIVE BANKS TODAY ANNOUNCED THAT IT HAS SELECTED IBM’S ROBUST POWER 7 SYSTEMS TO RUN ITS CORE BANKING SOLUTION.

The Cosmos Co-operative Bank Limited (Cosmos Bank), one of the leading multi-state co-operative banks today announced that it has selected IBM’s robust POWER 7 systems to run its core banking solution. Cosmos Bank has consolidated its sprawling server infrastructure of over 8 Power 5+ servers (which included P570, P55A and 52A servers) onto three IBM POWER 7 servers (POWER 750) to run its core banking application. With the new system, the bank expects to increase performance by 50% (with 100% additional headroom for growth within each server) while reducing operating costs by 40%. Power consumption is also expected to be reduced by 65%.

Headquartered in Pune, Cosmos Bank is one of the oldest Urban Co-operative Bank in India with more than 119 service outlets across the country. With plans to expand operations in the forthcoming years, the bank’s current infrastructure was unable to keep pace with the rapidly growing volume of data being generated. IBM POWER7 systems will help the bank analyze customer data, helping it to better manage current demand for its products and services as well as predict areas of potential future growth. The new system will also enable Cosmos Bank to manage applications and services at less cost, with technology breakthroughs in virtualization, increased energy savings and more cost-efficient use of memory

Cosmos Bank has been delivering quality financial services to its customers since 1906 and has carved a niche in the urban banking sector. We turned to IBM to help transform our core banking systems and bring in intelligence throughout our branches by analyzing data in real time, helping to improve customer service while increasing efficiency. IBM provided the best combination of price/performance and technology/industry leadership, said Vasant Manwadkar- General Manager-IT, Cosmos Bank.

IBM "smarter systems"  have over the years helped mid-sized banks and financial institutions to manage their vast amounts of data, handle analytic and transactional workloads 20 times faster, scale as their needs grow, enable efficient and agile data centers, and remain secure and highly available. This partnership reaffirms the confidence that clients have on AiX and reiterates the value that our POWER 7 systems bring to the table for our clients. Viswanthan Ramaswamy, Country Manager Power Systems, Systems and Technology Group, IBM India/SA

There would be two POWER 750 servers located in the primary data center and the third is located in the company’s disaster recovery environment. All of the POWER 750 servers use IBM POWERHA for AIX and Linux software will provide a complete failover solution that promotes high availability. The POWER 750 platforms performance is enhanced with the following IBM STG System Software:

IBM Systems Director Active Energy Manager software, which helps the bank monitor energy consumption and thermal usage

IBM Systems Director software, which provides in-depth manageability over the POWER 750 platforms with predictive failure analysis and remote supervisor adapter capabilities

IBM Server Virtualization software, which allows for the creation of multiple logical partitions (LPAR) on each physical server with dedicated input/output (I/O) ports for each to promote complete redundancy.

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 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.55.54
UK Pound	1	Rs.87.39
Euro	1	Rs.68.72

INFORMATION DETAILS

Information Gathered by :	PJA
Report Prepared by :	TPT

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	8
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	8
--PROFITABILIRY	1~10	8
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	8
--RESERVES	1~10	8
--CREDIT LINES	1~10	7
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		69

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.