MIRA INFORM REPORT

Report Date :

08.11.2014

IDENTIFICATION DETAILS

Name :	UNION BANK OF INDIA LIMITED
Registered Office :	239, Vidhan Bhavan Marg, Nariman Point, Union Bank Bhavan, Mumbai – 400021, Maharashtra
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	11.11.1919
Com. Reg. No.:	11-000615
Capital Investment / Paid-up Capital :	Rs. 7413.063 Millions
CIN No.: [Company Identification No.]	U99999MH1919PTC000615
Legal Form :	Public Sector Bank
Line of Business :	Providing Banking and Financial services to its customers and majority of the Banks products and services.
No. of Employees :	33806 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Aa (75)

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Good
Payment Behaviour :	Regular
Litigation :	Exist
Comments :	Subject is a well-established and reputed bank having fine track record. The rating reflects UBI’s healthy financial risk profile marked by adequate capitalization levels and comfortable liquidity position of the bank. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitment. The bank can be considered good for 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.

INDIAN ECONOMIC OVERVIEW

N E W S

Verdict Implications : Apex court order may alter coal import dynamics. Traders go slow on talks over coal supply contracts, uncertainty over cancellation of blocks weigh on stocks.

Recent arrest of the Chennai head of the Registrar of Companies, the ministry of corporate affairs arm that ensures that companies file all the information required by the Companies Act is the latest manifestation of a messy fight between a father and his adopted son for the control of Rs 40000 mn business empire. The Central Bureau of Investigation arrested Manumeethi Cholan after he accepted Rs 10 lakhs as bribe from M A M Ramaswamy, a CBI official said.

Central Bureau of Investigation books Electrotherm for cheating Central Bank of Rs 4360 mn.

Infosys maintains revenue guidance. COO Rao says attrition still an area of concern and it would take a few more quarters to bring down levels to 13-15 %.

DHL to invest Euro 100 mn in India over next 2 years. The firm has chosen India to pilot its e-commerce business model for the Asia-Pacific region.

Blackstone may buy stake in BlueRidge SEZ in line with the fund’s real estate strategy in India.

Kingfisher Airlines Ltd grounded in October 2012 under the weight of heavy debt and accumulated losses, recently approached the Delhi high court for relief in two separate cases. The airline challenged a notice by Punjab & National Bank alleging that it had willfully defaulted on Rs 7700 mn of loans and sought more time to comply with the requirements under the listing agreements with the Stock Exchanges.

OnMobile likely to sack another 300 employees. The lay-offs follow a spate of senior-level exits over the past two years, starting with of its founder. The overall lay-offs could number around 600 and are driven by the need to cut costs, says a former employee.

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	Lower Tier II Bonds = AAA
Rating Explanation	Highest degree of safety and carry lowest credit risk.
Date	August 26, 2014

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 31-03-2014.

INFORMATION DECLINED

MANAGEMENT NON-COOPERATIVE

[CONTACT NO.: 91-22-22024647]

LOCATIONS

Registered Office :	239, Vidhan Bhavan Marg, Nariman Point, Union Bank Bhavan, Mumbai – 400021, Maharashtra, India
Tel. No.:	91-22-22024647/ 22026049/ 22892000
Fax No.:	91-22-22881979/ 22851167/ 22043654
E-Mail :	webmaster@unionbankofindia.com ibdhelpdesk@unionbankofindia.com ubicocad@vsnl.com dealingroom@unionbankofindia.com internetbanking@unionbankofindia.com
Website :	http://www.unionbankofindia.co.in

DIRECTORS

AS ON 31.03.2014

Name :	Mr. Arun Tiwari
Designation :	Chairman and Managing Director
Date of Birth/Age :	01.07.1957
Qualification :	M. Sc (Chemistry) and has also done a course in Computer Programming.
Date of Appointment :	26.12.2013
Background :	He started his career in Bank of Baroda as Probationary Officer in 1979. He has worked in almost all key segments of Banking, in various capacities – at Branches, Zonal Office, and at Corporate Office as General Manager – MSME and Wealth Management, Whole sale Banking. His tenure in the Bank spanned various geographies of the country and overseas centers at Kuala Lumpur and Singapore, as Chief Executive of the respective territories. He also headed Greater Mumbai Zone of Bank of Baroda, in the rank of General Manager. On his elevation as Executive Director, He assumed the Office of Executive Director at Allahabad Bank from 18.06.2012 and handled the portfolios of CREDIT, Credit Monitoring, HR, IT, Risk Management, Finance and Accounts, Inspection, Vigilance and Branch Expansion and Support Services. Under aegis of World Bank he did a Study Assignment in USA and Europe for export oriented Small Scale Industries in India. He has undergone many trainings and courses at various prestigious institutes, like Arthur D’Little, Boston, USA, Kellog School of Management, Northwestern University, Chicago, Indian School of Business, Hyderabad, NIBM, Pune, Bankers’ Training College, Mumbai, Indian Institute of Technology, Mumbai, etc. He was a Director on the board of All Bank Finance Limited. Presently he is one of the Directors on the Board of General Insurance Corporation of India (GIC Re).
Name :	Mr. Suresh Kumar Jain
Designation :	Executive Director
Date of Appointment :	01.09.2011
Background :	He has assumed charge as the Executive Director of Union Bank of India on 1st September 2011. He is a Gold Medalist in College and University with B. Sc (Hons.) and M.A. (Economics). He has been a Professional Banker for over 33 years, having worked in various capacities across the country and abroad with specialization in Credit and Foreign Exchange. Prior to joining the Bank, he was General Manager, Bank of India. He has rich experience in both domestic as well as international banking having worked in London and Hong Kong. He is a seasoned banker with varied experience in all areas of banking.
Name :	Mr. K. Subrahmanyam
Designation :	Executive Director
Date of Birth/Age :	15.07.1955
Qualification :	Graduate in Commerce and a Gold Medalist from Berhampur University, Orissa.
Date of Appointment :	21.01.2013
Background :	In his Banking career, in Indian Overseas Bank, spanning of over three decades, he held various positions across the country as well as overseas. His last posting was as General Manager in charge of Bank’s MSME portfolio. He joined Indian Overseas Bank as Probationary Officer in 1975. He served as Branch Head at Bank’s major branches in Hyderabad, Ahmedabad and Mumbai. He was the Regional Head of Kolkata and Vijayawada region between 2006 and 2008. He was posted overseas as Chief Executive of Bank’s Singapore Operations between September 2008 and August 2010. He is an avid reader and an ardent admirer of Carnatic music.
Name :	Mr. Rakesh Sethi
Designation :	Executive Director
Date of Birth/Age :	28.06.1956
Qualification :	B.Com, LLB and Diploma holder in Personnel Management.
Experience :	He is a Certified Associate of the Indian Institute of Banking and Finance. He has vast experience of 35 years in various facets of banking with Bank of India.
Background :	He has been a branch head of very large/exceptionally large and foreign branches of Bank of India and has worked extensively in the Credit Department at Regional office / Zonal office of the bank. He was also the Zonal manager, Chandigarh zone covering branches of Himachal Pradesh, Haryana and Chandigarh. As a General Manager, he headed the National Banking - South comprising all the six zones of entire Southern India having 565 branches. He also headed the Retail Banking division and Marketing Department at Head office and has been a member of various committees including ALCO, CORM, Investment Committee of the Bank. He has worked at different centres in India including Faridabad, Karnal, Chandigarh, Patiala, Indore, Jabalpur, New Delhi, Mumbai, Goa and Chennai. Over and above his domestic banking experience, He has had three foreign postings to his credit at Jersey - Channel Islands, Zambia and lastly as General Manager and Chief Executive of European operations of Bank of India. During his tenure in Bank of India his core areas have been Retail/MSME and International Banking with a focus on increasing the bank’s share in the customer wallet. Touring different places very close to nature in India and abroad is his hobby. He was elevated to the position of Executive Director of Union Bank of India on 5th August 2013 and since then he has been overseeing operations in Treasury both domestic and forex, Retail Banking and Marketing, Transaction Banking and Third Party Products Distribution; Personal Banking and Operations; Government Business with emphasis on outreach and customer service, Corporate Communications - to promote both product and corporate image, Central Audit and Inspection Dept. with focus on control aspects, Policy formulation relating to credit loans, retail, collateral, etc.
Name :	Mr. Mohammad Mustafa
Designation :	Government Nominee Director
Date of Appointment :	30.09.2013
Background :	He joined IAS in year 1995. He belongs to Uttar Pradesh Cadre. He did Masters in Philosophy. Besides Serving as Joint Magistrate and Chief Development Officer in many districts, he has served as Collector and District Magistrate of Kanpur, Pratapgarh, Rampur, Fatehpur and Balrampur. He has also served in various capacities in the Department of secondary Education, Higher Education, Social Welfare, Minorities Welfare, Housing and Urban Development, Health and Family Welfare, Science and Technology, Entertainment Tax, Commercial Tax, etc. He joined Department of Financial Services as Director in September, 2012. Prior to his nomination in the Union Bank, he had been a Govt. nominee Director in Andhra Bank
Name :	Mr. Deepak Singhal
Designation :	Regional Director of New Delhi office of the Reserve Bank of India.
Background :	Prior to the current assignment, he was Chief General Manager Incharge looking after Department of Banking Operations and Development of the RBI at Mumbai. He has vast experience as a central banker of the country. He has earlier headed the Premises Department and Human Resource Development Department at Central Office. He has served on several important working groups/committees of the Basel Committee on Bank Supervision, BIS and Reserve Bank of India. He graduated from Allahabad University in 1977. He also acquired his MBA from the same University in 1979 as also CAIIB during the course of his career in the Bank.
Name :	Mr. Jag Mohan Sharma
Designation :	C.A. Director
Date of Birth/Age :	64 years
Qualification :	B.Com (Hons) from Delhi University and is a practicing Chartered Accountant
Experience :	More than 33 years of experience and has been exclusively working for the Public sector Banks.
Background :	In the last 33 years he has conducted various kinds of audits of the Bank's Branches like regular Internal inspection, Concurrent audit, Statutory audit and having conducted stock audit, valuation of primary securities, due diligence and monitoring of large corporate domestic borrowers on behalf of Public sector Banks. He was also appointed as concurrent auditor of large borrowers under the CDR mechanism by the Monitoring Institution, Punjab National Bank under CDR cell of RBI. He has a deep commitment for the welfare of the rural people and the down trodden. In this regard he formulated and implemented a scheme under the name of PNB farmer welfare Trust under which requirement of comprehensive insurance policy was waived for all the tractors financed by the Bank and money saved from this has been utillzed in setting off the training centers in various parts of the country. It also aimed at improvement of farming technology, adult education, computer education for the wards of the farmers, provision of sewing machines to the female members of the farmers families and remained statutory auditor for five years since its inception. Besides above he created Punjab National Bank Employees Welfare Trust for the welfare of existing as well as retired employees under the Corporate Social responsibility. He has also created Punjab National Bank Centenary welfare Trust for purpose of the welfare of the members of Punjab National Bank without there being any profit motive and/or benefits to any particular religious community or caste. He has widely travelled in India and abroad.
Name :	Dr. Atul Agarwal
Designation :	Part Time Non-Official Director
Background :	He has been nominated by the Central Government, in exercise of the powers conferred by sub-section 3 (h) and (3-A) of Section 9 of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970/1980, read with sub-clause (1) of clause 3 of the Nationalized Banks (Management and Miscellaneous Provisions) Scheme, 1970/1980, as part-time non-official Director on the Board of Directors of Union Bank of India, for a period of three years from the date of notifi cation of his appointment i.e. 22.09.2011 or until further orders, whichever is earlier. He a Chartered Accountant, is qualified as B.Com, LLB, FCA, ISA(ICAI) and PhD in Commerce. He has been a practicing Chartered Accountant since 1984 and is a founder Partner of Agarwal and Saxena, Chartered Accountants. He has widely traveled all over the World with rich experience of more than two decade in the field of corporate consulting, strategic thinking, business reengineering and development and implementation of accounting systems. He has also held positions of Director in Bank of Baroda, Deposit Insurance and Credit Guarantee Corporation, Northern Coal Fields Limited and UP Stock Exchange Association Limited. His vast arena of expertise include being Member of Regional Direct Taxes Advisory Committee, Central Council Member of The Institute of Cost and Works Accountants of India (ICWAI), Member of various sub committees of ICWAI, Member of Direct Taxes Committee of ASSOCHAM, Member of the Defaults and Arbitration Committee of UP Stock Exchange, Member of study group on "Professional Ethics" and on "Corporate Governance" constituted by ICAI.
Name :	Mr. Shri Kant Misra
Designation :	Part Time Non-Official Director
Date of Birth/Age :	08.03.1955
Qualification :	Practicing Chartered Accountant since 1978.
Background :	At present he is the proprietor of S K N and Associates, having its head office at New Delhi. He was also a partner in Chaturvedi and Company from the year 1982 till December, 2012. During his professional career of more than 35 years, he has handled various assignments of Statutory Audit (including Central Statutory Audit of various Nationalized Banks and Life Insurance Companies), Internal/Management Audit of various big business groups like Balrampur Chini, Times of India, Shaw Wallace, Advance Group of Industries, Vikas Telecom etc., Project Financing, Management Consultancy, preparation of accounting manuals for electronic media and real estate and hospitality companies, Expert opinion in Company Law and Income Tax matters, Financial due diligence, Idea Validation and Project feasibility reports and mergers and acquisitions. He has travelled around the globe to acquire and strengthen his knowledge and capabilities. He has gained specialization in financial planning of real estate and hospitality projects. He was also Honorary Secretary of Backward Area Industries Development Association. He is a member of Working Committee of Sanatan Dharam Mahamandal.
Name :	Mrs. Sushri Anusuiya Sharma
Designation :	Part-time Non-Official Director
Background :	She has been appointed as part-time Non-Official Director on the Bank’s Board vide MOF notification dated 06th May, 2013 for a period of three years or until further orders. She born in a freedom fighter family has done her M.A in Sociology besides having degrees of B. Ed. and L.L.B. She has an active political background and has been a member of AICC, PCC, UPCC, etc. She is also in charge of the U.P. Women’s Congress Committee. She is also having an active Trade Union background and is holding various posts like Member, General Secretary, President, etc. of various Trade Union Committees/ Unions. She has also been a member of various Government Committees besides having participated in seminars, both National and International.
Name :	Dr. Ravindrarai H. Dholakia
Designation :	Shareholder Director
Date of Birth/Age :	61 Years
Qualification :	He is Master of Arts (Gold Medalist), Ph. D. in Economics (MSU, Baroda) and Post-Doctoral Fellow (Uni. Of Toronto).
Experience :	37 Years
Background :	He is a Director on the Boards of Air India, Adani Enterprises Limited and State Trading Corporation of India Limited. He was a Member of the Sixth Central Pay Commission and has worked as an expert Member on numerous High Powered Committees appointed by the Government of India and State Government of Gujarat. He has published several books, monographs and research papers in the field of economic development and policies.
Name :	Mr. Gopal Krishan Lath
Designation :	Shareholder Director
Date of Birth/Age :	61 Years
Qualification :	Commerce graduate with gold medal from Lucknow University and is a practicing Chartered Accountant
Experience :	More than 35 years
Background :	He is a senior managing partner of A. Sachdev and Company, Chartered Accountants, Lucknow since the last 25 years. He is in the panel of "Peer Reviewers" nominated by the ICAI and has also conducted peer reviews of various CA firms in accordance with the ICAI regulations in the last few years. Apart from vast experience of audits of banking industry, he has also handled various types of audit and other assignments of many private and public sector corporations, insurance companies, local bodies, central cooperative societies, government departments and several World Bank aided projects. He is also a member of the "Standing Tripartite Committee" and also the member of "Minimum Wages Advisory Board" nominated by the "Ministry of Labour and Employment, Government of India". He was also nominated by the Government of UP in the High Powered Committee constituted for fixation of fees of private engineering colleges in U.P.
Name :	Mr. Dipankar Chatterji
Designation :	Shareholder Director
Date of Birth/Age :	65 Years
Qualification :	Commerce graduate and a practicing Chartered Accountant
Experience :	Around 42 years of experience in auditing and consultancy.
Background :	He has been on the Board of other Public Sector Banks and is also on the Boards of a number of companies including Hindustan National Glass and Industries Limited, Peerless Financial Services Limited, Texmaco Infrastructure and Holdings Limited, West Bengal Industrial Development Corporation Limited, TRF Limited. Shri Chatterjee is the Chairman of The Calcutta Stock Exchange Ltd and is currently the Vice President of one of the top 10 Business schools in the Country. He has been member on various Committees set up by RBI/IBA/various Government authorities. He had been a Central Council member of ICAI and was the Chairman of Auditing Practices Committee of ICAI. He was also the Chairman of Eastern India Regional Council of the ICAI. He is a member of National Council of CII and also Chairman of National Committee on Accounting Standards of CII.
Name :	Mr. Baidya Nath Bhattacharjee
Designation :	Officer Employee Director
Background :	Central Government after consultation with Reserve Bank of India nominated he as an Officer Employee Director in exercise of the powers conferred by clause (f) of sub- section (3) of section 9 of The Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970/1980 read with sub-clause (1) and (2) of clause 9 of the Nationalized Banks (Management and Miscellaneous provisions) scheme 1970/1980 w.e.f. May 4, 2011. He is an active trade-unionist with a great passion and sacrificed his career and personal comforts for the cause of the officers’ fraternity. He a graduate from Lucknow University had pursued study of law. He became activist of the AIUBOF since 1989 and became Central Committee member since 1991. In 1997, he was elected as the Treasurer of the All India Union Bank Officers Federation and is continuing in the post till date. At present he is General Secretary of Union Bank of India Officers Association, WB and Sikkim, Vice President of the West Bengal state units of AIBOC and AINBOF. He is one of the founder activists towards formation of AINBOF. He takes keen interest in disciplinary proceedings and assisted number of cases of the officers including Deputy General Manager with flying colours. He takes keen interest in photography, numerology, Hindustani classical and folk music. He is a keen observer of contemporary issues on socio-political and economic developments. With his great ability and fascination in banking activities in the country, he performs the duty of the sub-editor of Union Vision, the house journal of AIUBOF. Being a tech-savvy person, he is administrator of website of the AIUBOF as well.
Name :	Mr. N. Shankar
Designation :	Workmen Employee Director
Background :	Government nominated Director under clause(e) of sub-section (3) of Section 9 of the Banking Companies(Acquisition and Transfer of Undertaking) Act, 1970. Bank employee since 1979 and is presently a Special Assistant in M.S. Marg branch Mumbai. Currently, he is the General Secretary of AIUBEA, the majority recognized Union in the Bank. He is also the working committee member of Maharashtra State Bank Employees Federation and the Central Committee Member of AIBEA the national Organisation. He is also a member of many Committess at various levels that take up updating AIBEA movement. He is a Graduate in the faculty of Science and a member of the Institute of Cost and Work Accountants of India. An employee representative of the PF trustee in the Union Bank of India employee PF Trust for the last ten years he has been instrumental in bringing about various improvements and streamlining the functioning of the department through Union Parivar resulting in speedy disbursement of PF loans and Retirement dues. He is also involved in the Cooperative Society movement in Navi Mumbai and was the key member of the action committee formed by Navi Mumbai Municipal corporation and Citizens to implement Municipal tax etc.

KEY EXECUTIVES

General Manager :

1) S K Sangar 2) P K Bansal 3) V J Mhatre 4) T R Sahni 5) P Dua 6) A K Thakur 7) Hrishikesh Behera 8) Ajit Kumar Rath 9) R C Lodha 10) R S Pandey 11) B P Dimri 12) R Maheshwaran 13) M R Prabhu 14) Ashok Kumar Gupta 15) Pankaj Sharma 16) Mayank K Mehta 17) Debajyoti Gupta 18) Rekha P Nayak 19) K N Reghunathan 20) K Chandrashekar 21) Suneet K Gupta 22) Shailendra K Singh 23) V K Jain 24) Ranbir Singh 25) Atul Kumar (C.V.O.) 26) D V Gupta 27) R K Chaudhary 28) G R Padalkar 29) R P Mishra

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2014

Category of Shareholder	Total No. of Shares	As a %
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Central Government / State Government(s)	384444316	60.47
Sub Total	384444316	60.47
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	384444316	60.47
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	31235541	4.91
Financial Institutions / Banks	1141886	0.18
Central Government / State Government(s)	10595	0.00
Insurance Companies	60118624	9.46
Foreign Institutional Investors	72195236	11.36
Sub Total	164701882	25.91
(2) Non-Institutions
Bodies Corporate	32065067	5.04
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 Million	48906841	7.69
Individual shareholders holding nominal share capital in excess of Rs. 0.100 Million	5083862	0.80
Any Others (Specify)	576868	0.09
Non Resident Indians	573809	0.09
Overseas Corporate Bodies	3059	0.00
Sub Total	86632638	13.63
Total Public shareholding (B)	251334520	39.53
Total (A)+(B)	635778836	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued
(1) Promoter and Promoter Group	0	0.00
(2) Public	0	0.00
Sub Total	0	0.00
Total (A)+(B)+(C)	635778836	100.00

SHAREHOLDING OF SECURITIES (INCLUDING SHARES, WARRANTS, CONVERTIBLE SECURITIES) OF PERSONS BELONGING TO THE CATEGORY PROMOTER AND PROMOTER GROUP

Sl. No.	Name of the Shareholder	Details of Shares held
		No. of Shares held	As a %
1	President of India	384444316	60.47
	Total	384444316	60.47

SHAREHOLDING OF SECURITIES (INCLUDING SHARES, WARRANTS, CONVERTIBLE SECURITIES) OF PERSONS BELONGING TO THE CATEGORY PUBLIC AND HOLDING MORE THAN 1% OF THE TOTAL NUMBER OF SHARES

Sl. No.	Name of the Shareholders	No. of Shares held	Shares as % of Total No. of Shares
1	Life Insurance Corporation of India	55810967	8.78
2	HDFC Standard Life Insurance Company Limited	15936183	2.51
3	HDFC Trustee Company Limited A/c HDFC Mid Cap Opportunities Fund	18827658	2.96
4	California Public Employees Retirement System Managed by Arrowstreet Capital L P	9027361	1.42
	Total	99602169	15.67

SHAREHOLDING OF SECURITIES (INCLUDING SHARES, WARRANTS, CONVERTIBLE SECURITIES) OF PERSONS (TOGETHER WITH PAC) BELONGING TO THE CATEGORY “PUBLIC” AND HOLDING MORE THAN 5% OF THE TOTAL NUMBER OF SHARES OF THE COMPANY

Sl. No.	Name(s) of the shareholder(s) and the Persons Acting in Concert (PAC) with them	No. of Shares	Shares as % of Total No. of Shares
1	Life Insurance Corporation of India	55810967	8.78
	Total	55810967	8.78

DETAILS OF LOCKED-IN SHARES

Sl. No.	Name of the Shareholder	No. of Shares	Locked-in Shares as % of Total No. of Shares
1	President of India	384444316	60.47
	Total	384444316	60.47

BUSINESS DETAILS

Line of Business :

Providing Banking and Financial services to its customers and majority of the Banks products and services.

GENERAL INFORMATION

Suppliers :

--

Customers :

--

No. of Employees :

33806 (Approximately)

Bankers :

Reserve Bank of India

Facilities :

PARTICULARS	31.03.2014	31.03.2013
A. Borrowings : Capital Instruments
I. Perpetual Bonds	10400.000	10400.000
II. Upper Tier II Capital	22500.000	22500.000
III. Lower Tier II Capital	52500.000	35000.000
B. Borrowings in India
I. Reserve Bank of India	15250.000	21252.700
II. Other Banks	0.000	2000.000
III. Other Institutions and agencies	12929.141	1461.394
C. Borrowings Outside India	179587.036	145358.651
Total	293166.177	237972.745
Secured Borrowings included in I and II Above	1336.622	1339.121

Banking Relations :	--
Auditors :
Name :	1) Price Patt and Company Chartered Accountants 2) S G C O and Company Chartered Accountants 3) Jindal and Company Chartered Accountants 4) Shah Gupta and Company Chartered Accountants 5) V. Rohatgi and Company Chartered Accountants 6) J. Gupta and Company Chartered Accountants
Subsidiaries :	· Union KBC Asset Management Company Private Limited · Union KBC Trustee Company Private Limited · Union Bank of India (UK) Limited
Joint Venture :	Star Union Dai-Ichi Life Insurance Company Limited
Associate :	Regional Rural Bank sponsored by the Parent Bank viz., Kashi Gomti Samyut Gramin Bank.

CAPITAL STRUCTURE

AS ON 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
3000000000	Equity Shares	Rs. 10/- each	Rs. 30000.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
378971753	Equity Shares held by Central Government	Rs. 10/- each	Rs. 3789.718 Millions
251334520	Equity Shares held by Public	Rs. 10/- each	Rs. 2513.345 Millions
	Perpetual No-Cumulative Preference Shares		Rs. 1110.000 Millions
	Total		Rs. 7413.063 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2014	31.03.2013	31.03.2012
CAPITAL AND LIABILITIES
Capital	7413.063	7077.942	6615.490
Reserves and Surplus	177340.516	165883.945	139715.088
Deposits	2976756.397	2637615.730	2228689.457
Borrowings	293166.177	237972.745	179094.877
Other Liabilities & Provisions	83132.870	72787.314	67999.463
TOTAL	3537809.023	3121337.676	2622114.375
ASSETS
Cash and Balances with Reserve Bank of India	184196.774	107629.177	116335.607
Balances with Banks and Money at Call and Short Notice	46531.947	54474.714	40415.800
Investments	937231.839	808304.456	623635.581
Advances	2291044.266	2081021.860	1778820.813
Fixed Assets	26084.685	24790.071	23357.979
Other Assets	52719.512	45117.398	39548.595
TOTAL	3537809.023	3121337.676	2622114.375
CONTINGENT LIABILITIES	1955241.641	3245952.368	2366217.800
Bills for Collection	124757.066	62522.423	22170.068

PROFIT & LOSS ACCOUNT

PARTICULARS	31.03.2014	31.03.2013	31.03.2012
INCOME
Interest Earned	293493.942	251247.007	210284.520
Other Income	28215.404	25520.269	24482.038
TOTAL	321709.346	276767.276	234766.558
EXPENDITURE
Interest expended	214700.691	175818.636	142353.856
Operating Expenses	54827.605	45121.646	39875.173
Provisions and contingencies	35219.017	34247.711	34666.168
TOTAL	304747.313	255187.993	216895.197
Net Profit for the year	16962.033	21579.283	17871.361
Add : Profit Brought Forward	4.074	6.128	1.591
TOTAL	16966.107	21585.411	17872.952
Appropriations
Transfer to Statutory Reserves	5088.610	6480.000	5370.000
Transfer to Capital Reserves	171.809	542.320	393.205
Transfer to Revenue and Other Reserves	6855.000	7040.000	5030.000
Proposed Dividend	2521.226	4774.354	4404.392
Provision for Div. On Pncps	99.900	94.350	105.450
Dividend Tax	445.460	827.436	731.609
Div. Tax of Prev. Year written back	0.000	0.000	(7.832)
Transfer to Foreign Currency Translation Reserve	0.000	2.877	0.000
Transfer to Special Reserve {Sec36(I)(Viii)}	1780.000	1820.000	1840.000
Balance in Profit and Loss Account	4.102	4.074	6.128
TOTAL	16966.107	21585.411	17872.952
Earnings Per Share (Basic and Diluted)	27.99	38.93	34.07

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Interest Earned	210284.520	251247.007	293493.942
		19.480	16.815

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Interest Earned	210284.520	251247.007	293493.942
Net Profit for the year	17871.361	21579.283	16962.033
	8.50%	8.59%	5.78%

LOCAL AGENCY FURTHER INFORMATION

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	Yes
8]	No. of employees	Yes
9]	Name of person contacted	No
10]	Designation of contact person	No
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	No
20]	Export / Import details (if applicable)	No
21]	Market information	--
22]	Litigations that the firm / promoter involved in	Yes
23]	Banking Details	Yes
24]	Banking facility details	Yes
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]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	No
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	Yes

LITIGATION DETAILS

HIGH COURT OF BOMBAY

CASE DETAILS

BENCH: BOMBAY

Presentation Date: 11.04.2014

Lodging No: SL/346/2014 Filing Date: 11.04.2014 Reg. No.: S/596/2014 Reg. Date: 24.07.2014

Petitioner: STERLING AND WILSON POWERGEN PVT LTD Respondent: UNION BANK OF INDIA AND 2 OTHERS

Petn. Adv : WADIA GHANDY & CO. (0) Resp.Adv.: SANTOSH SUBHASH MISHRA/ FRANCISCA

District: MUMBAI

Bench: SINGLE

Status: Pre-Admission Category: DECLARATORY SUITS

Last Date: 22.07.2014 Stage: FOR REJECTION [ORIGINAL SIDE MATTERS]

Last Coram: REGISTRAR(OS)/PROTHONOTARY & SR. MASTER

Act: Code of Civil Procedure 1908

CURRENT MATURITIES OF LONG TERM DEBT: NOT AVAILABLE

INDEX OF CHARGES: NO CHARGES EXIST FOR COMPANY

BUSINESS

Focused approach towards enhanced customer service and network expansion helped the Bank surpass Rs. 5000000.000 Millions mark in total business. It increased by Rs. 563340.000 Millions to Rs. 5320070.000 Millions, as of March 31, 2014, showing an annual growth rate of 11.8 per cent.

Total deposits increased to Rs. 2976750.000 Millions, as of March 31, 2014 from Rs. 2637620.000 Millions in the previous year, recording an annual growth of 12.9 per cent. During the year, the focus of the Bank remained on enhancing low cost current and savings deposits (CASA) along with containing high cost deposits. The share of CASA in total deposits as on March 31 2014 stood at 29.5 per cent. Credit portfolio increased by 10.6 per cent to Rs. 2343320.000 Millions as on March 31, 2014 from Rs. 2119110.000 Millions as on March 31, 2013. The credit growth was mainly contributed by the retail, agriculture and micro, small and medium enterprises (MSME) sectors. This also helped the Bank in achieving priority sector targets equivalent to 40.4 per cent of adjusted net bank credit (ANBC) while benchmark stipulated by the Reserve Bank of India is 40 per cent.

AWARDS AND ACCOLADES

During the year, the Bank received wide recognition and several awards for its performance and initiatives in multiple domains.

The Bank won the ‘MSME Banking Excellence Awards-2013’, conferred by ‘The Chamber of Indian Micro, Small and Medium Enterprises’. The Bank bagged special award under Institute of Development and Research in Banking Technology (IDBRT), ‘IT Excellence Award’ for innovative technologies introduced in financial inclusion project.

The Bank received the ‘Order of Merit’ Awards from SKOCH Group for implementation of financial inclusion initiative under the category of ‘Unique Technology Initiative’ during the 33rd Skoch Summit, conducted by SKOCH Consultancy at Delhi.

The Bank was also presented ‘Financial Inclusion Technology Initiative’ award in the ‘Global Conference on Financial Inclusion and Payment Systems’ held at New Delhi. The award recognized Bank’s initiatives in the areas of biometric smart card system, FI gateway and centralized bio-metric authentication system, AADHAAR enabled payment system, AADHAAR payment bridge system, kiosk banking application, demographic verification of Aadhaar holders, AADHAAR seeding and Direct Benefit Transfer.

The Bank won the Indian Banks’ Association’s (IBA) Technology Award under ‘Best Payment Initiatives’ category. The Bank was runner-up in IBA Technology awards under the categories of ‘Best Technology Bank of the year, ‘Use of Mobility Technology’ and ‘Internet Banking’.

The Bank also received the ‘e-INDIA’ award under the category of Green IT Initiatives for its business process re-engineering (BPR) initiative which enhances the customer experience by improving customer service and cutting operational costs.

MANAGEMENT DISCUSSION AND ANALYSIS

GLOBAL ECONOMY

Global activity is on recovery track with advanced economies (AEs) fine-tuning debt and deficit levels to augur a jobs-driven-recovery. Global growth, which showed signs of pick-up in early 2013, became broader gradually. Banks and financial institutions are gradually becoming stronger, though balance-sheet effects still have held up growth. With activity stabilizing and fiscal consolidation slowing in the AEs, investors are now less worried about debt sustainability. Although full recovery is seen still a year or two away, the key central banks have started pressing normalization levers of monetary policy.

Emerging market and developing economies (EMDEs) witnessed the consequent play of global linkage effects through trade, finance and confidence channels. Beginning FY 2013-14, in May 2013, the US Federal Reserve first signaled a possible reduction of monthly bond purchasing, popularly known as ‘tapering’ of stimulus. The EMDE markets suffered a capital flight to advanced economies as risk adjusted return got thinner. The yield on 10 year US treasury paper rose by 70-100 basis points between early May 2013 and early July 2013. Consequent erosion of the return differentials of EMDE assets vis-a-vis the US treasury paper, made FIIs turn net sellers in these markets. EMDEs, particularly those with large twin deficits viz. current account deficit and fiscal deficit, suffered sharp depreciation in the exchange rate, inviting unconventional responses by the policymakers. The Fed postponing ‘tapering’ in September 2013, however, yielded some time for the EMDEs to prepare for the eventual tapering in future. To their credit, when the Fed actually effected reducing its monthly bond purchases in December 2013 policy, the EMDEs had made encouraging gains on improving their domestic macros such that the ‘tapering’ was accepted by markets rather positively. Further, given ‘tapering’ also signaled a sustained pick-up in advanced economies, EMDEs have sensed increased demand for exports. Financial environment, however, is likely to remain challenging as the AEs gradually complete the normalization of monetary policy in 2014-15. 1.3. Global activity is expected to improve further in 2014-15, largely on account of recovery in the advanced economies. International Monetary Fund (IMF), in its April 2014 issue of World Economic Outlook, projects global output growth to be slightly higher in 2014, at around 3.7 per cent, rising to 3.9 per cent in 2015. Growth in the United States is expected to be 2.8 per cent in 2014, up from 1.9 per cent in 2013 and 3 per cent for 2015. The euro area is turning the corner from recession to recovery. Growth is projected to strengthen to 1.2 per cent in 2014 and 1.5 per cent in 2015, but the recovery is likely to be uneven. Growth in China rebounded strongly in the second half of 2013, largely due to acceleration in investment. This surge is expected to be temporary, in part because of policy measures aimed at slowing credit growth and raising the cost of capital. Growth in China is thus expected to moderate slightly, to remain around 7.5 per cent in 2014-15.

DOMESTIC ECONOMY

India has had another sub-potential growth year in financial year (FY) 2013-14. As per the advanced estimates of the Central Statistics Office, India’s annual gross domestic product (GDP) growth is estimated at 4.9 per cent during FY 2013-14 as compared to 4.5 per cent noted during FY 2012-13. Agriculture and Allied, Industry (including construction) and Services noted annual growth of 4.6 per cent, 0.7 per cent and 6.9 per cent respectively during FY 2013-14 as against 1.4 per cent, 1.0 per cent, and 7.0 per cent respectively during FY 2012-13. Services continued to be growth driver in FY 2013-14. Within services, ‘trade, hotels, transport and communication’ sectors remain the worst hit of slowdown (3.5 per cent annual growth as against growth of 5.1 per cent in the previous year). The sectors, ‘financing, insurance, real estate and business services’ and ‘community, social and personal services’ noted a growth rate of 11.2 per cent and 7.4 per cent respectively during FY 2013-14 as against 10.9 per cent and 5.3 per cent respectively during FY 2012-13.

On expenditure based estimation, the slowdown hit consumption which decelerated to 4.4 per cent in FY 2013-14 as against 5.2 per cent growth noted during FY 2012-13. Within consumption, the private expenditure and Government expenditure noted growth of 4.1 per cent and 5.5 per cent respectively in FY 2013-14 as against 5.0 per cent and 6.2 per cent respectively during FY 2012-13. Investments meanwhile stayed flat. Government efforts to control gold imports reflected in contraction in Valuables (declined 3.6 per cent). External sector however buoyed demand as net exports shrank in the period.

Inflation: Weak demand conditions in economy, stabilizing currency, slower increase in minimum support price (MSP) of food crops, and better harvest in a normal monsoon year have brought disinflationary pressures in economy. Wholesale price index (WPI) based build up inflation rate in the FY 2013-14 was 5.7 per cent. However, firming up of Core inflation suggests cost-push spiral risks building up in economy. Retail level inflation, as measured by consumer price index (CPI) meanwhile, remained sticky at about 10 per cent for most of FY 2013-14, though moderated to average 8.4 per cent in Q4 FY 2013-14.

Liquidity Conditions: Barring the market gyrations witnessed in July-September, 2013, which warranted deliberate liquidity tightening by the RBI in order to check speculative attacks on Rupee, liquidity situation remained within acceptable deficit levels from the RBI’s perspective. Term repo facility together with the foreign currency non-resident (FCNR) deposits scheme helped steadying the resource mobilization from banks to match incremental demand of loans. Though liquidity tightness reflected in positive spike of call rate spread over repo rate, overnight money market rates continued to remain in the target range, viz. +/-1 per cent spread over Repo, implying liquidity was effectively managed through open market operations (OMOs) and term Repos conducted by the RBI during second half of 2013-14.

BANKING AGGREGATES

As on March 21, 2014, annual growth in M3 noted at 13.5 per cent. Meanwhile, scheduled commercial banks’ (SCBs’) deposits and advances grew by 14.6 per cent and 14.3 per cent, respectively. SCBs’ investment in SLR securities noted 10.7 per cent annual growth. Spurt in deposits growth is also reflective of banks raising FCNR deposits to benefit from the RBI swap facility that confined to November 30, 2013.

Non-food bank credit increased by 14.3 per cent as on March 2014 as compared with the increase of 13.5 per cent in March 2013. Credit to agriculture and allied activities increased by 13.5 per cent while credit to industry increased by 13.1 per cent in March 2014. Deceleration in credit growth was observed in respect of mining and quarrying, textiles, wood and wood products, petroleum and coal products, chemical and chemical products, glass and glassware, cement and cement products, basic metals, engineering, gems and jewellery and infrastructure. Credit to the services sector increased by 16.1 per cent in March 2014. Personal loans increased by 15.5 per cent in March 2014.

OVERVIEW OF THE PERFORMANCE OF THE BANK

New Initiatives: The Bank has set for itself a mission to emerge as the leading retail bank in customer service excellence. During the year 2013-14 the Bank launched various initiatives to work its way up in the customer preference.

The Bank introduced ‘Union Family Scheme’ addressing the banking needs of the entire family. Grouping the accounts benefits the customers in terms of better personalization of product and deeper relationships with the Bank.

A new product ‘Union Progress’ for micro enterprises was introduced in March 2014 giving added benefits to the borrower. The threshold limit of the margin of the product ranges from 5 per cent to 15 per cent. All the eligible cases under the scheme are mandatorily covered under Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE). Bank absorbs the entire guarantee fee (1 per cent) payable to CGTMSE in respect of their borrower covered under the guarantee scheme. No processing fee is charged for limits up to Rs. 1.000 Million, while a nominal processing fee of Rs. 1,000 is payable for limits above Rs. 1.000 Million.

During the year, the Bank has brought disbursement of all the Central Government pensions under Central Pension Processing Centers (CPPC). Disbursements of telecom, railway and postal pensions have been centralized. The Bank now has 90,000 pension accounts under centralized system of disbursement.

Further extending banking facilities to the unbanked and under banked population the Bank has come up with the concept of ‘Mobile Van Banking’. 20 mobile vans shall be deployed in various states so that the people at remote villages may access banking services at their doorstep.

The Bank has entered into an agreement with ‘CSC e-Governance India Limited’ for launching kiosk banking at various places. Under the scheme the kiosks, which are already providing state/central government services such as electricity bill payment, property tax payment, issue of birth/death certificates, issue of land/ revenue etc. at village levels, will also provide banking services such as opening of accounts, deposit/ withdrawal from the accounts and other basic banking facilities. This project has been launched on pilot basis in Andhra Pradesh and Kerala and is going to be live at many centers shortly.

The Bank has taken the lead in appointing the ‘Internal Ombudsman’ for addressing the customer grievances in a focused way. The purpose of creating this post is to ensure quick redressal of grievances and prevention of escalation to ‘The Banking Ombudsman’. The Internal Ombudsman has started functioning from August 2013.

The Bank has successfully deployed the Fund Transfer Pricing and Profitability Management Modules of Oracle’s

Financial Services Analytical Application (OFSAA) with the assistance of HCL Technologies Limited. This is the first implementation of Oracle’s 5.6 version of OFSAA in India. From April 2013, the Bank has moved over to a more robust and scientific transfer pricing mechanism called ‘Matched Fund Transfer Pricing System’ from the existing gross basis concept where a single rate was fixed for all assets and another rate for all liabilities. This new system enabled account wise transfer pricing of all assets and liabilities based on the tenor, re-pricing and cash flow characteristics and would also enable centralization of interest rate risk at the Central Funding Unit. The Matched Fund Transfer Pricing System would help in better management of interest rate risk and margins.

INFORMATION TECHNOLOGY

The Banking industry has gone through many changes and the structure of the industry is continuously evolving with the rapid development in Information Technology. The Bank has proactively adopted innovative technologies and processes to serve the changing customer requirements and to ensure efficient and accessible services to the customer through Branch Network, ATMs, Internet Banking, Mobile Banking, SMS Banking and Call centers.

Along with the initiatives taken under Core Banking Solutions (CBS), the Bank has implemented other supporting systems such as Kiosk Banking Application for providing banking services to Financial Inclusion customers through Common Service Centers (CSC) Agent. Account opening form has been upgraded with the E-KYC. A two factor authentication has been implemented by the introduction of mobile OTP (one time password) for secure transactions through Internet Banking. Further to enhance the security of transactions happening in the branches, the Bank has implemented Bio-metric Authentication Solution in Core Banking for all the CBS users.

During the year 2013-14, the Bank has undergone significant developments in providing electronic services via various delivery channels namely IMPS P2A in Internet Banking, Online PPF through Internet Banking, EuroPay, MasterCard and Visa (EMV) card issuance to customers, Missed call facility for balance enquiry, SMS Banking facility for RRB (Kashi Gomti Samyukt Gramin Bank). These is the first bank to launch Interbank Cardto-Card balance transfer. An online portal for donations for Prime Minister Relief Fund and various other religious organizations has been made available. The Bank has introduced SMS alerts for loan installment due, deposit maturity, birthday wishes messages to the customers, etc. The facility to accept Aadhaar Seeding request through various channels (ATM, Internet Banking, and Corporate Website and SMS) and seeding into CBS after demographic verification with UIDAI has been enabled. Also the account opening process has been improved by introducing workflow to reduce TAT. As part of Business Continuity Planning and Disaster Recovery Management strategy, the Bank has successfully completed live switch-over and switch-back drills for critical applications, thus enhancing Bank’s readiness in responding to emergency situations.

CONTINGENT LIABILITIES:

Particulars	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
I. Claims against the bank not acknowledged as debts	35991.576	34912.835
II. Liability for partly paid investments	5.920	5.920
III. Liability on account of outstanding forward exchange contracts	1482332.111	2844077.459
IV. Guarantees given on behalf of Constituents i) In India	226257.305	179985.613
ii) Outside India	1380.625	4614.139
V. Acceptances, endorsements and other obligations	203600.004	177244.776
VI. Other items for which the bank is contingently Liable i) Disputed Tax demands under appeals	5674.100	4889.100
ii) Others	0.000	222.526
Total	1955241.641	3245952.368

FIXED ASSETS:

· Land

· Other Assets

· Computer Software

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. 61.52
UK Pound	1	Rs. 97.39
Euro	1	Rs. 76.16

INFORMATION DETAILS

Information Gathered by :	PRT
Analysis Done by :	KAR
Report Prepared by :	BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	9
PAID-UP CAPITAL	1~10	8
OPERATING SCALE	1~10	9
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	9
--PROFITABILIRY	1~10	8
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	8
--RESERVES	1~10	8
--CREDIT LINES	1~10	8
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	YES
--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
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		75

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.