MIRA INFORM REPORT

Report Date :

17.09.2012

IDENTIFICATION DETAILS

Name :	NATIONAL BANK OF FUJAIRAH PSC
Registered Office :	Hamad Bin Abdulla Street, P.O.Box 887, Fujairah
Country :	United Arab Emirates
Financials (as on) :	31.12.2011
Date of Incorporation :	05.08.1982
Legal Form :	Public Independent Company
Line of Business :	Subject is engaged in the provision of commercial banking and financial services
No. of Employees :	576 employees

RATING & COMMENTS

MIRA’s Rating :

Ba

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Status :	Satisfactory
Payment Behaviour :	No Complaints
Litigation :	Clear

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 – March 31^st, 2012

Country Name	Previous Rating (31.12.2011)	Current Rating (31.03.2012)
United Arab Emirates	A2	A2

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

United Arab Emirates - ECONOMIC OVERVIEW

The UAE has an open economy with a high per capita income and a sizable annual trade surplus. Successful efforts at economic diversification have reduced the portion of GDP based on oil and gas output to 25%. Since the discovery of oil in the UAE more than 30 years ago, the UAE has undergone a profound transformation from an impoverished region of small desert principalities to a modern state with a high standard of living. The government has increased spending on job creation and infrastructure expansion and is opening up utilities to greater private sector involvement. In April 2004, the UAE signed a Trade and Investment Framework Agreement with Washington and in November 2004 agreed to undertake negotiations toward a Free Trade Agreement with the US, however, those talks have not moved forward. The country's Free Trade Zones - offering 100% foreign ownership and zero taxes - are helping to attract foreign investors. The global financial crisis, tight international credit, and deflated asset prices constricted the economy in 2009. UAE authorities tried to blunt the crisis by increasing spending and boosting liquidity in the banking sector. The crisis hit Dubai hardest, as it was heavily exposed to depressed real estate prices. Dubai lacked sufficient cash to meet its debt obligations, prompting global concern about its solvency. The UAE Central Bank and Abu Dhabi-based banks bought the largest shares. In December 2009 Dubai received an additional $10 billion loan from the emirate of Abu Dhabi. The economy is expected to continue a slow rebound. Dependence on oil, a large expatriate workforce, and growing inflation pressures are significant long-term challenges. The UAE''s strategic plan for the next few years focuses on diversification and creating more opportunities for nationals through improved education and increased private sector employment.

Source : CIA

Company name & address

National Bank of Fujairah PSC

Hamad Bin Abdulla Street,

P.O.Box 887

Fujairah,

United Arab Emirates

Tel: 971-9-2224518

Fax: 971-9-2224516

Web: www.nbf.ae

Synthesis

Employees: 576

Company Type: Public Independent

Traded: Abu Dhabi Stock Exchange: NBF

Incorporation Date: 05-Aug-1982

Auditor: KPMG LLP

Financials in: USD (Millions)

Fiscal Year End: 31-Dec-2011

Reporting Currency: UAE Dirham

Annual Sales: 177.2 1

Net Income: 76.5

Total Assets: 4,060.2 2

Market Value: 1,587.2 (01-Jul-2012)

Business Description

National Bank of Fujairah PSC (NBF) is a United Arab Emirates-based public shareholding company engaged in the provision of commercial banking and financial services. The Bank is structured into two segments: Business and Personal. The Business segment provides account services, cash management, loans, trade services, receivables financing and guarantees under corporate and commercial banking, and sales, trading and structuring under Treasury services. The Personal segment offers current and savings accounts, max saver, fixed deposits, on demand deposit, dream deposit, personal loans, auto loan, home loan, and credit cards. The Bank has one wholly owned subsidiary, namely NBF Financial Services FZC. The Bank operates through a network of 13 branches located across the United Arab Emirates. For the six months ended 30 June 2012, National Bank of Fujairah PSC interest income increased 12% to AED363.2M. Net interest income after loan loss provision increased 11% to AED151.6M. Net income increased 8% to AED135.5M. Net interest income after loan loss provision reflects increase in interest earning assets and decrease in interest bearing liabilities. Net income was partially offset by Retail segment loss increase of 42% to AED26.2M.

Industry

Industry Commercial Banks

ANZSIC 2006: 6221 - Banking

NACE 2002: 6512 - Other monetary intermediation

NAICS 2002: 52211 - Commercial Banking

UK SIC 2003: 65121 - Banks

UK SIC 2007: 64191 - Banks

US SIC 1987: 6029 - Commercial Banks, Not Elsewhere Classified

Key Executives

Name	Title
Vince Cook	Chief Executive Officer
Adnan Anwar	Chief Financial Officer
Thoudman N. Sekhar	Chief Operations Officer
Abdullah Aleter	Head of Human Resources
P.B. Das	Head of Wholesale and Institutional Banking

Significant Developments

Topic	#*	Most Recent Headline	Date
Dividends	1	National Bank of Fujairah Recommends Cash Dividend for FY 2011	24-Jan-2012

* number of significant developments within the last 12 months

News

Title	Date
Capital Intelligence upholds National Bank of Fujairah's ratings Aii Data Processing Ltd (164 Words)	10-Sep-2012
United Arab Emirates : ISO CERTIFICATION secured by NATIONAL BANK OF FUJAIRAH'S AUDIT DEPARTMENT Mena Report (172 Words)	4-Aug-2012
United Arab Emirates : National Bank of Fujairah spearheads AED 265 million syndication for Pacific Control Systems Mena Report (351 Words)	7-May-2012
UNITED ARAB EMIRATES : National Bank of Fujairah PSC (NBF) 2011 Profit Surges 64.4 % To AED 280.9 Million Mena Report (465 Words)	24-Jan-2012

Financial Summary

As of 30-Jun-2012

Key Ratios	Company	Industry
Debt to Equity (MRQ)	0.0000
Sales 5 Year Growth	8.99	9.28
Net Profit Margin (TTM) %	41.54	23.51
Return on Assets (TTM) %	1.95	0.88
Return on Equity (TTM) %	14.54	7.73

Stock Snapshot

Traded: Abu Dhabi Stock Exchange: NBF

As of 1-Jul-2012

   Financials in: AED

Recent Price	5.30	EPS	0.26
52 Week High	5.30	Price/Sales	8.96
52 Week Low	3.37	Dividend Rate	0.10
Avg. Volume (mil)	0.0000	Price/Book	2.83
Market Value (mil)	5,830.00

	Price % Change	Rel S&P 500%
4 Week	0.0000%	-1.09%
13 Week	7.07%	1.93%
52 Week	12.77%	14.45%
Year to Date	16.48%	9.19%

1 - Profit & Loss Item Exchange Rate: USD 1 = AED 3.672958

2 - Balance Sheet Item Exchange Rate: USD 1 = AED 3.67305

Corporate Overview

Location

Hamad Bin Abdulla Street,

P.O.Box 887

Fujairah, United Arab Emirates

Tel: 971-9-2224518

Fax: 971-9-2224516

Web: www.nbf.ae

Quote Symbol - Exchange

NBF - Abu Dhabi Stock Exchange

Sales AED(mil): 650.8

Assets AED(mil): 14,913.4

Employees: 576

Fiscal Year End: 31-Dec-2011

Industry: Commercial Banks

Incorporation Date: 05-Aug-1982

Company Type: Public Independent

Quoted Status: Quoted

Chief Executive Officer: Vince Cook

Company Web Links

Company Contact/E-mail

Corporate History/Profile

Employment Opportunities

Executives

Financial Information

Home Page

News Releases

Products/Services

Contents

Industry Codes

Business Description

Financial Data

Market Data

Shareholders

Key Corporate Relationships

Industry Codes

ANZSIC 2006 Codes:

6221 - Banking

6230 - Non-Depository Financing

6411 - Financial Asset Broking Services

6229 - Other Depository Financial Intermediation

NACE 2002 Codes:

6512 - Other monetary intermediation

6712 - Security broking and fund management

6713 - Activities auxiliary to financial intermediation not elsewhere classified

6522 - Other credit granting

NAICS 2002 Codes:

52211 - Commercial Banking

522320 - Financial Transactions Processing, Reserve, and Clearinghouse Activities

523110 - Investment Banking and Securities Dealing

522291 - Consumer Lending

US SIC 1987:

6029 - Commercial Banks, Not Elsewhere Classified

6141 - Personal Credit Institutions

6211 - Security Brokers, Dealers, and Flotation Companies

6099 - Functions Related to Depository Banking, Not Elsewhere Classified

UK SIC 2003:

65121 - Banks

6712 - Security broking and fund management

6713 - Activities auxiliary to financial intermediation not elsewhere classified

6522 - Other credit granting

UK SIC 2007:

64191 - Banks

6612 - Security and commodity contracts brokerage

6619 - Other activities auxiliary to financial services, except insurance and pension funding

6492 - Other credit granting

Business Description

National Bank of Fujairah PSC (NBF) is a United Arab Emirates-based public shareholding company engaged in the provision of commercial banking and financial services. The Bank is structured into two segments: Business and Personal. The Business segment provides account services, cash management, loans, trade services, receivables financing and guarantees under corporate and commercial banking, and sales, trading and structuring under Treasury services. The Personal segment offers current and savings accounts, max saver, fixed deposits, on demand deposit, dream deposit, personal loans, auto loan, home loan, and credit cards. The Bank has one wholly owned subsidiary, namely NBF Financial Services FZC. The Bank operates through a network of 13 branches located across the United Arab Emirates. For the six months ended 30 June 2012, National Bank of Fujairah PSC interest income increased 12% to AED363.2M. Net interest income after loan loss provision increased 11% to AED151.6M. Net income increased 8% to AED135.5M. Net interest income after loan loss provision reflects increase in interest earning assets and decrease in interest bearing liabilities. Net income was partially offset by Retail segment loss increase of 42% to AED26.2M.

More Business Descriptions

· Commercial banking

Commercial Banking Services

Commercial Banking

Financial Data

Financials in:	AED(mil)
Revenue:	650.8
Net Income:	280.9
Assets:	14,913.4
Long Term Debt:	0.0
Total Liabilities:	12,852.2
Date of Financial Data:	31-Dec-2011

1 Year Growth

11.6%

64.4%

15.5%

Market Data

Quote Symbol:	NBF
Exchange:	Abu Dhabi Stock Exchange
Currency:	AED
Stock Price:	5.3
Stock Price Date:	07-01-2012
52 Week Price Change %:	12.8
Market Value (mil):	5,830,000.0
SEDOL:	B11ZKG6
ISIN:	AEN000801011
Equity and Dept Distribution:
03/2006, Complex capital change (Factor: 110.499680). 04/2007, Scrip Issue, 1 new share for every 10 shares held.

Shareholders

Major Shareholders

Government of Fujairah (36.78%); Government of Dubai (9.78%)

Key Corporate Relationships

Auditor:	KPMG LLP
Auditor:	KPMG LLP, KPMG

Executive report

Board of Directors

Name	Title	Function
Saleh Bin Mohammed Al Sharqi	Chairman	Chairman
Saleh Bin Mohammed Al Sharqi	Chairman of the Board	Chairman
Issa Saleh Al Gurg	Deputy Chairman of the Board	Vice-Chairman
Gurg, Easa Saleh Al	Board Member	Deputy Chairman
Sayegh, Hussain Mirza Al	Board Member	Director/Board Member
Suleiman Mousa Al Jassim	Member of the Board	Director/Board Member
Ali Ahmad Al Mehairi	Member of the Board	Director/Board Member
Saif Sultan Al Salami	Member of the Board	Director/Board Member
Hussein Mirza Al Sayegh	Member of the Board	Director/Board Member
Mohammed Obaid Bin Majed	Member of the Board	Director/Board Member
Nasser Khamas	Director	Director/Board Member
Naser Ali Khamas	Member of the Board	Director/Board Member

Executives

Name	Title	Function
Asad Ahmed	General Manager	Chief Executive Officer
Vince Cook	Chief Executive Officer	Chief Executive Officer
Tariq Ajaz	Head of Retail	Division Head Executive
Mohammad Masoud	Manager-Credit Administration	Division Head Executive
Jayne Savastano	Head of Corporate Support	Division Head Executive
Ahsan Aziz	Head of Operations	Operations Executive
Thoudman N. Sekhar	Chief Operations Officer	Operations Executive
Adnan Anwar	Chief Financial Officer	Finance Executive
Chris Taylor	Head of Internal Audit	Finance Executive
P.B. Das	Head of Wholesale and Institutional Banking	Investment Executive
Paul Ratman	Head of Treasury	Treasurer
Mark Domenic Zanelli	Head of Treasury	Treasurer
Abdullah Aleter	Head of Human Resources	Human Resources Executive
Sharif Mohammed Rafei	Head of Retail Banking and Fujairah Region	Other
Prasant Sarkar	Chief Risk Officer	Other

Significant Developments

National Bank of Fujairah Recommends Cash Dividend for FY 2011 Jan 24, 2012

National Bank of Fujairah announced that its Board of Directors has recommended the Distribution of 10% of the Bank's paid-up capital as cash dividends for the fiscal year 2011.

News

Capital Intelligence upholds National Bank of Fujairah's ratings Aii Data Processing Ltd (164 Words)	10-Sep-2012
United Arab Emirates : ISO CERTIFICATION secured by NATIONAL BANK OF FUJAIRAH'S AUDIT DEPARTMENT Mena Report (172 Words)	04-Aug-2012
United Arab Emirates : National Bank of Fujairah spearheads AED 265 million syndication for Pacific Control Systems Mena Report (351 Words)	07-May-2012
UNITED ARAB EMIRATES : National Bank of Fujairah PSC (NBF) 2011 Profit Surges 64.4 % To AED 280.9 Million Mena Report (465 Words)	24-Jan-2012

Articles

National Bank of Fujairah PSC's Operating Profit for the First Half of 2012 Grows 16.7% Islamic Finance News (Kuala Lumpur, Malaysia) (341 Words) (1 Page)	25-Jul-2012
UNITED ARAB EMIRATES : National Bank of Fujairah PSC (NBF) 2011 Profit Surges 64.4 % To AED 280.9 Million TendersInfo News (475 Words) (1 Page)	24-Jan-2012

Annual Income Statement

Financials in: USD (mil)

Except for share items (millions) and per share items (actual units)

	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
Period Length	12 Months	12 Months	12 Months	12 Months	12 Months
UpdateType/Date	Updated Normal 31-Dec-2011	Updated Normal 31-Dec-2010	Updated Normal 31-Dec-2009	Updated Normal 31-Dec-2008	Updated Normal 31-Dec-2007
Filed Currency	AED	AED	AED	AED	AED
Exchange Rate (Period Average)	3.672958	3.672899	3.672903	3.672848	3.672127
Auditor	KPMG LLP	KPMG LLP	KPMG LLP	KPMG LLP	KPMG LLP
Auditor Opinion	Unqualified	Unqualified	Unqualified	Unqualified	Unqualified
Interest & Dividends on Investment Securities	181.0	166.3	177.7	182.4	161.9
Interest Income, Bank	181.0	166.3	177.7	182.4	161.9
Interest on Other Borrowings	64.8	68.2	88.7	91.4	91.1
Total Interest Expense	64.8	68.2	88.7	91.4	91.1
Net Interest Income	116.1	98.0	89.0	91.1	70.8
Loan Loss Provision	30.9	55.8	58.3	48.9	1.3
Net Interest Income after Loan Loss Provision	85.3	42.2	30.6	42.1	69.5
Fees & Commissions from Operations	44.5	43.1	37.2	42.3	31.5
Investment Securities Gains	0.7	4.3	10.2	-61.8	19.1
Foreign Currency Gains	0.0	0.0	0.0	0.0	0.0
Other Revenue	2.2	2.0	2.1	1.8	2.7
Non-Interest Income, Bank	61.0	60.7	59.1	-6.8	58.4
Labor & Related Expenses	-49.8	-40.5	-42.9	-36.3	-28.9
Dealer Trading Account Loss	-	0.0	0.0	0.0	0.0
Other Expense	-20.1	-16.1	-18.5	-13.1	-10.6
Non-Interest Expense, Bank	-69.8	-56.4	-61.4	-49.0	-39.7
Income Before Tax	76.5	46.5	28.4	-13.7	88.2
Total Income Tax	0.0	0.0	0.0	0.0	0.0
Income After Tax	76.5	46.5	28.4	-13.7	88.2
Net Income Before Extraord Items	76.5	46.5	28.4	-13.7	88.2
Net Income	76.5	46.5	28.4	-13.7	88.2
Income Available to Common Excl Extraord Items	76.5	46.5	28.4	-13.7	88.2
Income Available to Common Incl Extraord Items	76.5	46.5	28.4	-13.7	88.2
Basic/Primary Weighted Average Shares	1,100.0	1,100.0	1,100.0	1,100.0	1,100.0
Basic EPS Excl Extraord Items	0.07	0.04	0.03	-0.01	0.08
Basic/Primary EPS Incl Extraord Items	0.07	0.04	0.03	-0.01	0.08
Dilution Adjustment	-	-	-	0.0	-
Diluted Net Income	76.5	46.5	28.4	-13.7	88.2
Diluted Weighted Average Shares	1,100.0	1,100.0	1,100.0	1,100.0	1,100.0
Diluted EPS Excl Extraord Items	0.07	0.04	0.03	-0.01	0.08
Diluted EPS Incl Extraord Items	0.07	0.04	0.03	-0.01	0.08
Dividends per Share - Common Stock Primary Issue	0.03	0.02	0.00	0.00	0.04
Gross Dividends - Common Stock	29.9	18.6	0.0	0.0	44.9
Depreciation, Supplemental	3.1	3.0	2.9	3.4	2.2
Normalized Income Before Tax	76.5	46.5	28.4	-13.7	88.2
Inc Tax Ex Impact of Sp Items	0.0	0.0	0.0	0.0	0.0
Normalized Income After Tax	76.5	46.5	28.4	-13.7	88.2
Normalized Inc. Avail to Com.	76.5	46.5	28.4	-13.7	88.2
Basic Normalized EPS	0.07	0.04	0.03	-0.01	0.08
Diluted Normalized EPS	0.07	0.04	0.03	-0.01	0.08
Amort of Intangibles, Supplemental	1.4	1.4	1.4	-	-
Bank Total Revenue	177.2	158.7	148.1	84.2	129.2

Annual Balance Sheet

Financials in: USD (mil)

	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
UpdateType/Date	Updated Normal 31-Dec-2011	Updated Normal 31-Dec-2010	Reclassified Normal 31-Dec-2010	Reclassified Normal 31-Dec-2009	Updated Normal 31-Dec-2007
Filed Currency	AED	AED	AED	AED	AED
Exchange Rate	3.67305	3.6731	3.67315	3.67305	3.6726
Auditor	KPMG LLP	KPMG LLP	KPMG LLP	KPMG LLP	KPMG LLP
Auditor Opinion	Unqualified	Unqualified	Unqualified	Unqualified	Unqualified
Cash & Due from Banks	740.0	652.1	713.7	591.5	872.3
Total Investment Securities	159.0	184.7	195.0	281.8	330.3
Other Earning Assets, Total	159.0	184.7	195.0	281.8	330.3
Total Gross Loans	3,037.7	2,552.3	2,258.6	2,538.8	1,958.3
Loan Loss Allowances	-177.6	-179.2	-130.5	-78.3	-29.4
Net Loans	2,860.1	2,373.1	2,128.1	2,460.6	1,928.9
Buildings	29.5	27.9	26.9	26.0	23.0
Land/Improvements	3.8	3.8	3.8	3.8	3.8
Machinery/Equipment	13.4	13.2	12.4	11.0	9.2
Property/Plant/Equipment - Gross	46.7	44.9	43.1	40.9	36.0
Accumulated Depreciation	-24.3	-21.4	-18.4	-16.1	-14.4
Property/Plant/Equipment - Net	22.4	23.5	24.6	24.8	21.7
Intangibles, Net	1.1	2.5	3.9	5.3	6.8
Other Assets	277.7	280.7	172.0	129.7	187.1
Other Assets, Total	277.7	280.7	172.0	129.7	187.1
Total Assets	4,060.2	3,516.5	3,237.2	3,493.6	3,347.1
Interest Bearing Deposits	3,211.8	2,725.8	2,604.4	2,916.5	2,680.0
Total Deposits	3,211.8	2,725.8	2,604.4	2,916.5	2,680.0
Total Long Term Debt	0.0	0.0	0.0	0.0	0.0
Total Debt	0.0	0.0	0.0	0.0	0.0
Other Liabilities	287.3	287.7	178.5	152.8	177.2
Other Liabilities, Total	287.3	287.7	178.5	152.8	177.2
Total Liabilities	3,499.0	3,013.6	2,783.0	3,069.3	2,857.2
Common Stock	299.5	299.5	299.5	299.5	299.5
Common Stock	299.5	299.5	299.5	299.5	299.5
Retained Earnings (Accumulated Deficit)	261.7	203.5	154.8	124.8	189.8
Other Equity	-	-	-	-	0.6
Other Equity, Total	-	-	-	-	0.6
Total Equity	561.2	503.0	454.2	424.3	489.9
Total Liabilities & Shareholders’ Equity	4,060.2	3,516.5	3,237.2	3,493.6	3,347.1
Shares Outstanding - Common Stock Primary Issue	1,100.0	1,100.0	1,100.0	1,100.0	1,100.0
Total Common Shares Outstanding	1,100.0	1,100.0	1,100.0	1,100.0	1,100.0
Employees	576	539	513	549	511
Accumulated Intangible Amort, Suppl.	6.3	4.9	3.5	-	-
Total Risk-Weighted Capital	3.8	3.4	3.1	3.3	2.9
Total Capital %	20.31%	21.39%	22.36%	17.75%	14.69%

Annual Cash Flows

Financials in: USD (mil)

	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
Period Length	12 Months	12 Months	12 Months	12 Months	12 Months
UpdateType/Date	Updated Normal 31-Dec-2011	Updated Normal 31-Dec-2010	Reclassified Normal 31-Dec-2010	Reclassified Normal 31-Dec-2009	Reclassified Normal 31-Dec-2008
Filed Currency	AED	AED	AED	AED	AED
Exchange Rate (Period Average)	3.672958	3.672899	3.672903	3.672848	3.672127
Auditor	KPMG LLP	KPMG LLP	KPMG LLP	KPMG LLP	KPMG LLP
Auditor Opinion	Unqualified	Unqualified	Unqualified	Unqualified	Unqualified
Net Income/Starting Line	76.5	46.5	28.4	-13.7	88.2
Depreciation	4.5	4.4	4.3	3.4	2.2
Depreciation/Depletion	4.5	4.4	4.3	3.4	2.2
Unusual Items	-0.7	-4.3	-10.3	61.8	-19.1
Other Non-Cash Items	-	-0.6	-0.6	-	-
Non-Cash Items	-0.7	-4.9	-10.9	61.8	-19.1
Loan Loss Provision	30.9	55.8	58.3	48.9	1.3
Other Assets	-527.7	-409.2	234.5	-528.2	-571.0
Other Liabilities	441.4	177.9	-140.3	220.5	658.4
Changes in Working Capital	-55.5	-175.6	152.6	-258.7	88.6
Cash from Operating Activities	24.8	-129.5	174.4	-207.3	159.9
Purchase of Fixed Assets	-2.8	-2.1	-2.7	-3.0	-4.8
Purchase/Acquisition of Intangibles	-	-	-	-	-7.3
Capital Expenditures	-2.8	-2.1	-2.7	-3.0	-12.2
Sale of Fixed Assets	0.0	0.0	0.0	0.1	-
Sale/Maturity of Investment	172.4	153.6	251.5	95.6	215.3
Purchase of Investments	-145.7	-136.8	-153.0	-115.2	-182.9
Other Investing Cash Flow Items, Total	26.7	16.8	98.6	-19.6	32.5
Cash from Investing Activities	23.9	14.7	95.8	-22.6	20.3
Other Financing Cash Flow	-	-	-	-0.6	-0.3
Financing Cash Flow Items	-	-	-	-0.6	-0.3
Cash Dividends Paid - Common	-18.6	-	-	-44.9	-27.2
Total Cash Dividends Paid	-18.6	-	-	-44.9	-27.2
Total Debt Issued	2.8	38.5	0.6	208.2	-
Total Debt Reduction	-	-	-	-130.0	-
Issuance (Retirement) of Debt, Net	2.8	38.5	0.6	78.1	-
Cash from Financing Activities	-15.8	38.5	0.6	32.6	-27.5
Net Change in Cash	32.9	-76.3	270.9	-197.2	152.7
Net Cash - Beginning Balance	546.4	622.7	351.8	549.1	396.5
Net Cash - Ending Balance	579.3	546.4	622.7	351.8	549.2

Annual Income Statement

Financials in: USD (mil)

Except for share items (millions) and per share items (actual units)

	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
Period Length	12 Months	12 Months	12 Months	12 Months	12 Months
UpdateType/Date	Updated Normal 31-Dec-2011	Updated Normal 31-Dec-2010	Updated Normal 31-Dec-2009	Updated Normal 31-Dec-2008	Updated Normal 31-Dec-2007
Filed Currency	AED	AED	AED	AED	AED
Exchange Rate (Period Average)	3.672958	3.672899	3.672903	3.672848	3.672127
Auditor	KPMG LLP	KPMG LLP	KPMG LLP	KPMG LLP	KPMG LLP
Auditor Opinion	Unqualified	Unqualified	Unqualified	Unqualified	Unqualified
Interest Income	181.0	166.3	177.7	182.4	161.9
Total Revenue	181.0	166.3	177.7	182.4	161.9
Interest Expense	64.8	68.2	88.7	91.4	91.1
Prov. Loan Losses	30.9	55.8	58.3	48.9	1.3
Total Operating Expense	95.7	124.1	147.0	140.3	92.3
Fees & Commissions	44.5	43.1	37.2	42.3	31.5
Foreign Exch. Income	13.6	11.3	9.6	10.9	5.1
Revaulation of Derivatives (net)	-	0.2	0.0	0.4	-0.2
Investment Income	0.7	4.3	10.2	-61.8	19.1
Other Income	2.2	2.0	2.1	1.8	2.7
Personnel Expenses	-49.8	-40.5	-42.9	-36.3	-28.9
Depreciation Amortisation	-4.5	-4.4	-4.3	-3.4	-2.2
Other Expenses	-15.6	-11.7	-14.2	-9.7	-8.4
Total Non-Interest Revenue	61.0	60.7	59.1	-6.8	58.4
Total Non-Interest Expense	-69.8	-56.4	-61.4	-49.0	-39.7
Net Income Before Taxes	76.5	46.5	28.4	-13.7	88.2
Provision for Income Taxes	0.0	0.0	0.0	0.0	0.0
Net Income After Taxes	76.5	46.5	28.4	-13.7	88.2
Net Income Before Extra. Items	76.5	46.5	28.4	-13.7	88.2
Net Income	76.5	46.5	28.4	-13.7	88.2
Income Available to Com Excl ExtraOrd	76.5	46.5	28.4	-13.7	88.2
Income Available to Com Incl ExtraOrd	76.5	46.5	28.4	-13.7	88.2
Basic Weighted Average Shares	1,100.0	1,100.0	1,100.0	1,100.0	1,100.0
Basic EPS Excluding ExtraOrdinary Items	0.07	0.04	0.03	-0.01	0.08
Basic EPS Including ExtraOrdinary Item	0.07	0.04	0.03	-0.01	0.08
Dilution Adjustment	-	-	-	0.0	-
Diluted Net Income	76.5	46.5	28.4	-13.7	88.2
Diluted Weighted Average Shares	1,100.0	1,100.0	1,100.0	1,100.0	1,100.0
Diluted EPS Excluding ExtraOrd Items	0.07	0.04	0.03	-0.01	0.08
Diluted EPS Including ExtraOrd Items	0.07	0.04	0.03	-0.01	0.08
DPS-Common Stock	0.03	0.02	0.00	0.00	0.04
Gross Dividends - Common Stock	29.9	18.6	0.0	0.0	44.9
Normalized Income Before Taxes	76.5	46.5	28.4	-13.7	88.2
Inc Tax Ex Impact of Sp Items	0.0	0.0	0.0	0.0	0.0
Normalized Income After Taxes	76.5	46.5	28.4	-13.7	88.2
Normalized Inc. Avail to Com.	76.5	46.5	28.4	-13.7	88.2
Basic Normalized EPS	0.07	0.04	0.03	-0.01	0.08
Diluted Normalized EPS	0.07	0.04	0.03	-0.01	0.08
Depreciation	3.1	3.0	2.9	3.4	2.2
Amort of Intangibles, Supplemental	1.4	1.4	1.4	-	-

Annual Balance Sheet

Financials in: USD (mil)

	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
UpdateType/Date	Updated Normal 31-Dec-2011	Updated Normal 31-Dec-2010	Reclassified Normal 31-Dec-2010	Reclassified Normal 31-Dec-2009	Updated Normal 31-Dec-2007
Filed Currency	AED	AED	AED	AED	AED
Exchange Rate	3.67305	3.6731	3.67315	3.67305	3.6726
Auditor	KPMG LLP	KPMG LLP	KPMG LLP	KPMG LLP	KPMG LLP
Auditor Opinion	Unqualified	Unqualified	Unqualified	Unqualified	Unqualified
Cash & Deposits	572.8	599.6	638.5	472.5	790.8
Due From Banks	167.2	52.5	75.1	119.1	81.4
Loans & Advances	3,037.7	2,552.3	2,258.6	2,538.8	1,958.3
Prov. Loan Loss	-177.6	-179.2	-130.5	-78.3	-29.4
Investments	159.0	184.7	195.0	281.8	330.3
Intangible Assets	1.1	2.5	3.9	5.3	6.8
Other Assets	276.4	280.1	171.7	129.4	184.8
Land	3.8	3.8	3.8	3.8	3.8
Buildings	29.5	27.9	26.9	26.0	23.0
Vehicles	13.4	13.2	12.4	11.0	9.2
Depreciation	-24.3	-21.4	-18.4	-16.1	-14.4
Capital Work in Progress	1.3	0.5	0.3	0.3	2.3
Total Assets	4,060.2	3,516.5	3,237.2	3,493.6	3,347.1
Customers' Acct.	2,814.7	2,357.0	2,285.4	2,451.1	2,166.2
Due to Banks	147.1	121.5	110.4	257.2	513.8
Term Borrowings	250.0	247.2	208.7	208.1	-
Other Liabs.	287.3	287.7	178.5	152.8	177.2
Total Liabilities	3,499.0	3,013.6	2,783.0	3,069.3	2,857.2
Share Capital	299.5	299.5	299.5	299.5	299.5
Statutory Reserv	77.2	69.5	64.9	62.1	62.1
Special Reserve	48.6	41.0	36.3	33.5	33.5
Available for Sale Revaluation Reser.	-2.3	-2.5	-4.8	-6.3	-
Dividend	29.9	18.6	0.0	-	44.9
Directors' Fees	-	-	-	-	0.6
Retained Erngs.	108.2	77.0	58.3	35.6	49.3
Total Equity	561.2	503.0	454.2	424.3	489.9
Total Liabilities & Shareholders' Equity	4,060.2	3,516.5	3,237.2	3,493.6	3,347.1
S/O-Common Stock	1,100.0	1,100.0	1,100.0	1,100.0	1,100.0
Total Common Shares Outstanding	1,100.0	1,100.0	1,100.0	1,100.0	1,100.0
Accumulated Intangible Amort, Suppl.	6.3	4.9	3.5	-	-
Capital Risk Ratio	20.31%	21.39%	22.36%	17.75%	14.69%
Total Risk Weighted Assets	3,794.7	3,381.2	3,052.2	3,338.6	2,943.4
Full-Time Employees	576	539	513	549	511

Annual Cash Flows

Financials in: USD (mil)

	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
Period Length	12 Months	12 Months	12 Months	12 Months	12 Months
UpdateType/Date	Updated Normal 31-Dec-2011	Updated Normal 31-Dec-2010	Reclassified Normal 31-Dec-2010	Reclassified Normal 31-Dec-2009	Reclassified Normal 31-Dec-2008
Filed Currency	AED	AED	AED	AED	AED
Exchange Rate (Period Average)	3.672958	3.672899	3.672903	3.672848	3.672127
Auditor	KPMG LLP	KPMG LLP	KPMG LLP	KPMG LLP	KPMG LLP
Auditor Opinion	Unqualified	Unqualified	Unqualified	Unqualified	Unqualified
Net Income	76.5	46.5	28.4	-13.7	88.2
Depreciation	4.5	4.4	4.3	3.4	2.2
Disposal of Assets	0.0	0.0	0.0	-	-
Impairment Losses	30.9	55.8	58.3	48.9	1.3
Disposal of Inv.	-1.4	-2.6	-7.5	2.2	-0.8
Unrlzd Gains on Inv.	0.8	-1.6	-2.7	59.6	-18.3
Directors' Remunerat	-	-0.6	-0.6	-	-
Deposits	-13.6	0.0	2.8	-2.8	-
Loans to Customers	-517.8	-300.8	274.1	-580.8	-545.7
Other Assets	3.7	-108.4	-42.4	55.4	-25.4
Inter Bank Borrowing	-15.8	-3.6	-1.0	-40.3	49.6
Customers' Deposits	457.7	71.6	-165.7	285.2	602.1
Other Liabilities	-0.5	109.8	26.4	-24.4	6.7
Cash from Operating Activities	24.8	-129.5	174.4	-207.3	159.9
Capital Expenditures	-2.8	-2.1	-2.7	-3.0	-4.8
Disposal of Assets	0.0	0.0	0.0	0.1	-
Intangibles	-	-	-	-	-7.3
Addition to Inv.	-145.7	-136.8	-153.0	-115.2	-182.9
Sale of Investments	172.4	153.6	251.5	95.6	215.3
Cash from Investing Activities	23.9	14.7	95.8	-22.6	20.3
Syndicated Borrowing Repaid	-	-	-	-130.0	-
Syndicated Borrowing Availed	2.8	38.5	0.6	208.2	-
Dividends Paid	-18.6	-	-	-44.9	-27.2
Directors' Fees	-	-	-	-0.6	-0.3
Cash from Financing Activities	-15.8	38.5	0.6	32.6	-27.5
Net Change in Cash	32.9	-76.3	270.9	-197.2	152.7
Net Cash - Beginning Balance	546.4	622.7	351.8	549.1	396.5
Net Cash - Ending Balance	579.3	546.4	622.7	351.8	549.2

Financial Health

Financials in: USD (mil)

Except for share items (millions) and per share items (actual units)

Key Indicators USD (mil)
Â	Quarter Ending 30-Jun-2012	Quarter Ending Yr Ago	Annual Year End 31-Dec-2011	1 Year Growth	3 Year Growth	5 Year Growth
Total Revenue1	48.5	16.68%	177.2	11.63%	28.13%	13.37%
Income Available to Common Excl Extraord Items1	19.3	-4.80%	76.5	64.41%	-	3.41%
Basic EPS Excl Extraord Items1	0.02	-4.72%	0.07	64.46%	-	3.41%
Capital Expenditures2	3.0	129.90%	2.8	33.08%	-2.83%	-6.07%
Cash from Operating Activities2	37.6	-	24.8	-	-	-24.78%
Free Cash Flow	34.7	-	22.0	-	-	-25.99%
Total Assets3	4,321.3	13.51%	4,060.2	15.46%	5.14%	11.57%
Total Liabilities3	3,751.2	14.12%	3,499.0	16.11%	4.47%	12.76%
Total Long Term Debt3	0.0	-	0.0	-	-	-
Employees3	-	-	576	6.86%	1.61%	7.62%
Total Common Shares Outstanding3	1,100.0	0.00%	1,100.0	0.00%	0.00%	0.00%
1-ExchangeRate: AED to USD Average for Period	3.673109	Â	3.672958	Â	Â	Â
2-ExchangeRate: AED to USD Average for Period	3.673126	Â	3.672958	Â	Â	Â
3-ExchangeRate: AED to USD Period End Date	3.673150	Â	3.673050	Â	Â	Â

Banking Industry Specific USD (mil)
Â	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
Interest Income, Bank1	181.0	166.3	177.7	182.4	161.9
Total Interest Expense1	64.8	68.2	88.7	91.4	91.1
Loan Loss Provision1	30.9	55.8	58.3	48.9	1.3
Cash & Due from Banks3	740.0	652.1	713.7	591.5	872.3
Loan Loss Provision2	30.9	55.8	58.3	48.9	1.3
Total Deposits3	3,211.8	2,725.8	2,604.4	2,916.5	2,680.0
1-ExchangeRate: AED to USD Average for Period	3.672958	3.672899	3.672903	3.672848	3.672127
2-ExchangeRate: AED to USD Average for Period	3.672958	3.672899	3.672903	3.672848	3.672127
3-ExchangeRate: AED to USD Period End Date	3.673050	3.673100	3.673150	3.673050	3.672600

Key Ratios
Â	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
Profitability
Pretax Margin	42.26%	27.98%	15.99%	-7.50%	54.48%
Net Profit Margin	42.26%	27.98%	15.99%	-7.50%	54.48%
Financial Strength
Long Term Debt/Equity	0.00	0.00	0.00	0.00	0.00
Total Debt/Equity	0.00	0.00	0.00	0.00	0.00
Management Effectiveness
Return on Assets	2.02%	1.38%	0.84%	-0.40%	3.10%
Return on Equity	14.37%	9.72%	6.47%	-2.99%	19.19%
Efficiency
Receivables Turnover	0.07	0.07	0.06	0.04	0.08
Asset Turnover	0.05	0.05	0.04	0.02	0.05

Market Valuation USD (mil)
P/E (TTM)	20.02	.	Enterprise Value2	834.9
Price/Sales (TTM)	8.32	.	Price/Book (MRQ)	2.78
Enterprise Value/EBITDA (TTM)	5.59	.	Market Cap1	1,587.2
1-ExchangeRate: AED to USD on 1-Jul-2012	3.673150
2-ExchangeRate: AED to USD on 30-Jun-2012	3.673150

Annual Ratios

Financials in: USD (mil)

Except for share items (millions) and per share items (actual units)

	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
Financial Strength
Long Term Debt/Equity	0.00	0.00	0.00	0.00	0.00
Total Debt/Equity	0.00	0.00	0.00	0.00	0.00
Long Term Debt/Total Capital	0.00	0.00	0.00	0.00	0.00
Total Debt/Total Capital	0.00	0.00	0.00	0.00	0.00
Payout Ratio	39.15%	39.92%	0.00%	0.00%	50.95%
Effective Tax Rate	0.00%	0.00%	0.00%	-	0.00%
Total Capital1	561.2	503.0	454.2	424.3	489.9
Efficiency
Asset Turnover	0.05	0.05	0.04	0.02	0.05
Receivables Turnover	0.07	0.07	0.06	0.04	0.08
Days Receivables Outstanding	5,390.70	5,175.87	5,653.75	9,509.94	4,681.55
Revenue/Employee2	307,585	294,458	288,728	153,428	252,781
Profitability
Pretax Margin	42.26%	27.98%	15.99%	-7.50%	54.48%
Net Profit Margin	42.26%	27.98%	15.99%	-7.50%	54.48%
Management Effectiveness
Return on Assets	2.02%	1.38%	0.84%	-0.40%	3.10%
Return on Equity	14.37%	9.72%	6.47%	-2.99%	19.19%
Valuation
Free Cash Flow/Share2	0.02	-0.12	0.16	-0.19	0.13
Operating Cash Flow/Share 2	0.02	-0.12	0.16	-0.19	0.15
1-ExchangeRate: AED to USD Period End Date	3.67305	3.6731	3.67315	3.67305	3.6726
2-ExchangeRate: AED to USD Average for Period	3.67305	3.6731	3.67315	3.67305	3.6726

Current Market Multiples
Market Cap/Earnings (TTM)	20.02
Market Cap/Equity (MRQ)	2.78
Market Cap/Revenue (TTM)	8.27
Market Cap/EBIT (TTM)	10.93
Market Cap/EBITDA (TTM)	10.62
Enterprise Value/Earnings (TTM)	10.53
Enterprise Value/Equity (MRQ)	1.46
Enterprise Value/Revenue (TTM)	4.35
Enterprise Value/EBIT (TTM)	5.75
Enterprise Value/EBITDA (TTM)	5.59

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.54.73
UK Pound	1	Rs.88.61
Euro	1	Rs.71.34

INFORMATION DETAILS

Report Prepared by :

MNL

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	----

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%)

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