MIRA INFORM REPORT

Report No. :	303355
Report Date :	14.01.2015

IDENTIFICATION DETAILS

Name :	BANK OF BARODA
Registered Office :	Bank of Baroda Building, Mandvi, Vadodara – 390006, Gujarat
Country :	India
Financials (as on) :	31.03.2014
Year of Establishment :	1908
Capital Investment / Paid-up Capital :	Rs. 4306.763 Millions
TAN No.: [Tax Deduction & Collection Account No.]	BRDB01794C
PAN No.: [Permanent Account No.]	AAACB1534F
Legal Form :	Subject is a Government of India Bank. The Bank’s Shares are traded on the Stock Exchanges.
Line of Business :	Banking Activities.
No. of Employees :	46001 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Aa (78)

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 :	Excellent
Payment Behaviour :	Regular
Litigation :	Exist
Comments :	Subject is amongst the oldest commercial banks in India with a substantial footprint in the domestic and international markets. In is a well-established and reputed bank having excellent track record. The rating takes into consideration bank’s long track record of business operation supported by overseas presence in 24 countries through network of 102 branches / offices, decent asset quality amongst public sector bank and healthy profitability profile 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.

ECGC Country Risk Classification List – September 30, 2014

Country Name	Previous Rating (30.06.2014)	Current Rating (30.09.2014)
India	A1	A1

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

EXTERNAL AGENCY RATING

Rating Agency Name	CARE
Rating	Basel Compliant Tier I Perpetual Bond = AA+
Rating Explanation	High degree of safety and very low credit risk.
Date	November 14, 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.

LOCATIONS

Registered / Head Office 1 :	Bank of Baroda Building, Mandvi, Vadodara – 390006, Gujarat, India
Tel. No.:	91-265-2330274/ 2563932
Fax No.:	91-265-2330824/ 2562445
E-Mail :	info@bankofbaroda.com
Website :	http://www.bankofbaroda.com
Corporate Office / Investor Services Department :	1st Floor, Baroda Corporate Centre, C-26, G-Block, Bandra Kurla, Bandra, Mumbai - 400051, Maharashtra, India
Tel. No.:	91-22-66985000/ 04
Fax No.:	91-22-26523500
Head Office 2 :	Suraj Plaza-1, Sayaji Ganj, Vadodara -390005, Gujarat, India
Tel. No.:	91-265-236 1852 (10 lines)
Fax No.:	91-265-2362395 / 2361824 / 2361806

DIRECTORS

AS ON 31.03.2014

Name :	Mr. S. S. Mundra
Designation :	Chairman and Managing Director
Name :	Mr. P. Srinivas
Designation :	Executive Director
Name :	Mr. Ranjan Dhawan
Designation :	Executive Director
Address :	533, Sector 16-D, Chandigarh, India
Date of Birth/Age :	09.09.1955
Qualification :	B. Com., M. B. A. ( Finance ), A. C. M. A. ( UK ) and C. I. A. ( USA )
Name :	Mr. Sudarshan Sen
Designation :	Executive Director
Name :	Mr. Vinil Kumar Saxena
Designation :	Executive Director
Name :	Mr. Maulin Arvind Vaishnav
Designation :	Director
Name :	Mr. Surendra Singh Bhandari
Designation :	Director
Name :	Mr. Rajib Sekhar Sahoo
Designation :	Executive Director
Name :	Mr. B. B. Joshi
Designation :	Executive Director
Name :	Dr. K. P. Krishnan
Designation :	Executive Director

KEY EXECUTIVES

Chief General Managers :	· V. H. Thatte · R. S. Setia · S. Kalyanaraman · K. N. Manvi
General Managers :	· Mohar Singh · R. P. Marathe · Rajesh Mahajan · J. D. Parmar · P. D. Singh · R. S. Abhyankar · D. K. Garg · V. K. Gupta · K. Venkata Rama Moorthy · K. P. Kharat · U.K. Bijapur · Nirmesh Kumar · L. M. Asthana · U. C. Singhvi · D. P. Trivedi · E. H. Rahiman · K. Srinivasa Rao · R. K. Sharma · N. N. Bhalerao · D. D. Singla · R. K. Arora · S. S. Ghag · B. R. Desai · R. Sowrirajan · Ms. Vindhya R. Vittal · K. Garg · Sreedharan V. · Ms. Usha Khamkar · V. K. Bhatia · Vipan Mahajan · V. K. Bhatia · Vipan Mahajan · S. K. Shaw · Sanjaya Agarwal · R. K. Malik · S Gnanavel · M. S. Phogat · V. N. Dhawan · V. Narang · M. V. Deshpande · R. L. Guttikar
Name :	Mr. Raju Gupta
Designation :	Chief Vigilance Officer
Name :	Dr.(Mrs.) Rupa Nitsure
Designation :	Chief Economist

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2014

Category of Shareholder	No. of Shares	Percentage of Holding
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Central Government / State Government(s)	241571283	56.26
Sub Total	241571283	56.26
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	241571283	56.26
(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	31096830	7.24
Financial Institutions / Banks	4550273	1.06
Insurance Companies	41545588	9.67
Foreign Institutional Investors	77116313	17.96
Sub Total	154309004	35.93
(2) Non-Institutions
Bodies Corporate	12252338	2.85
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 Million	17612101	4.10
Individual shareholders holding nominal share capital in excess of Rs. 0.100 Million	820018	0.19
Any Others (Specify)	2850343	0.66
Non Resident Indians	1908242	0.44
Overseas Corporate Bodies	22000	0.01
Trusts	743144	0.17
Clearing Members	176957	0.04
Sub Total	33534800	7.81
Total Public shareholding (B)	187843804	43.74
Total (A)+(B)	429415087	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)	429415087	100.00

BUSINESS DETAILS

Line of Business :	Banking Activities
Brand Names :	--
Agencies Held :	--
Exports :	Not Available
Imports :	Not Available
Terms :	Not Available

GENERAL INFORMATION

Suppliers :

Reference:	Not Available
Name of the Person (Designation):	Not Available
Contact Number:	Not Available
Since how long known:	Not Available
Maximum limit dealt:	Not Available
Experience:	Not Available
Remark	Not Available

Customers :

Reference:	Not Available
Name of the Person (Designation):	Not Available
Contact Number:	Not Available
Since how long known:	Not Available
Maximum limit dealt:	Not Available
Experience:	Not Available
Remark	Not Available

No. of Employees :

46001 (Approximately)

Bankers :

Reserve Bank of India

Facilities :

BORROWINGS	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
I. Borrowings in India
Reserve Bank of India	20000.000	0.000
Other Banks	20225.209	3354.189
Other Institutions and Agencies	20.822	2050.901
Innovative Perpetual Debt Instruments (IPDI)	19117.000	19117.000
Hybrid Debt Capital Instruments issued as bonds	50000.000	50000.000
Subordinated Bonds	44900.000	24900.000
II. Borrowings outside India (includes MTN Bonds of USD 1050 mn, INR equivalent of Rs.62911.000 Millions (previous year USD 300mn Rs.16285.500 Millions)	213866.657	166370.728
Total Borrowings (I & II)	368129.688	265792.818
Secured Borrowings included in above	36120.075	27677.747

Banking Relations :	---
Auditors :
Name :	· Laxminiwas Neeth and Company Chartered Accountants · Khandelwal Jain and Company Chartered Accountants · Ray and Ray Chartered Accountants · S. K. Mittal and Company Chartered Accountants · N. B. S. and Company Chartered Accountants · KASG and Company Chartered Accountants
Subsidiaries :	· BOB Capital Markets Limited · BOB Cards Limited · The Nainital Bank Limited · Bank of Baroda (Botswana) Limited · Bank of Baroda (Kenya) Limited · Bank of Baroda (Uganda) Limited · Bank of Baroda (Guyana) Inc. · Bank of Baroda (UK) Limited · Bank of Baroda (Tanzania) Limited · Baroda Capital Markets (Uganda) Limited. · (Subsidiary of Bank of Baroda Uganda Limited) · BOB Trinidad & Tobago Limited · Bank of Baroda (Ghana) Limited · Bank of Baroda (New Zealand) Limited
Associates :	· Baroda Uttar Pradesh Gramin Bank · Baroda Rajasthan Kshetriya Gramin Bank · Baroda Gujarat Gramin Bank · Baroda Pioneer Asset Management Company Limited · Indo Zambia Bank Limited · Baroda Pioneer Trustee Company Private Limited
Joint Ventures :	· India First Life Insurance Company Limited · India International Bank (Malaysia) Bhd. · India Infradebt Limited

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 Capital :

No. of Shares	Type	Value	Amount
432148587	Equity Shares	Rs.10/- each	Rs. 4321.485 Millions

Paid-up Capital :

No. of Shares	Type	Value	Amount
429415087	Equity Shares	Rs.10/- each	Rs. 4294.151 Millions
	Add : Forfeited Shares		Rs. 12.612 Millions
	Total		Rs. 4306.763 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

PARTICULARS	31.03.2014	31.03.2013	31.03.2012
CAPITAL & LIABILITIES
Capital	4306.763	4225.175	4123.846
Reserves and Surplus	355549.988	315469.210	270644.661
Deposits	5688943.885	4738833.375	3848711.059
Borrowings	368129.688	265792.818	235730.512
Other Liabilities and Provisions	178115.010	147033.825	114004.592
Total	6595045.334	5471354.403	4473214.670
ASSETS
Cash and Balances with Reserve Bank of India	186290.939	134520.783	216514.596
Balances with Banks & Money at Call & Short Notice	1122488.184	719468.260	425170.816
Investments	1161126.614	1213937.244	832094.001
Advances	3970058.108	3281857.649	2873772.935
Fixed Assets	27341.226	24531.160	23415.020
Other Assets	127740.263	97039.307	102247.302
Total	6595045.334	5471354.403	4473214.670
Contingent Liabilities	2599127.785	2046289.169	1525028.131
Bills for Collection	318649.158	259522.360	227669.937

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	389397.095	351966.544	296737.242
		Other Income	44627.441	36306.249	34223.282
		TOTAL	434024.536	388272.793	330960.524
Less	EXPENSES
		Interest Expended	269743.632	238813.891	193567.123
		Operating Expenses	71370.656	59467.363	51587.173
		Provisions & Contingencies	47499.418	45184.339	35736.666
		TOTAL	388613.706	343465.593	280890.962
	NET PROFIT FOR THE YEAR		45410.830	44807.200	50069.562
	APPROPRIATIONS
		Statutory Reserve	11352.708	11201.800	12517.391
		Capital Reserve	86.902	814.481	223.986
		Revenue and Other Reserves
		I) General Reserve	14013.788	13694.669	24538.608
		II) Special Reserve	9120.665	8500.000	5338.466
		III) Statutory Reserve (Foreign)	--	--	15.580
		Proposed Dividend (including Dividend Tax)	10836.767	10596.250	8122.904
		Investment Reserve Account	--	--	(687.373)
	TOTAL		45410.830	44807.200	50069.562
	Earnings Per Share (Rs.)		107.38	108.84	127.84

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)
Sales	296737.242	351966.544	389397.095
		18.612	10.635

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	296737.242	351966.544	389397.095
Profit	50069.562	44807.200	45410.830
	16.87%	12.73%	11.66%

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	No
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	No
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: 24.06.2014

Lodging No: CHSL/932/2014 Filing Date: 24.06.2014 Reg. No.: CHS/578/2014 Reg. Date: 07.07.2014

Main Matter

Lodging No: SL/3118/1999 Reg. No.: S/3821/1999

Petitioner: ICICI BANK LTD Respondent: BANK OF BARODA -

Petn. Adv : 0 (0) Resp. Adv.: KUNAL BHANAGE [APPLICANT] [0]

District: MUMBAI

Bench: SINGLE

Status: Pre-Admission

Last Date: 21.11.2014 Stage: FOR HEARING & FINAL DISPOSAL [ORIGINAL SIDE MATTERS]

Last Coram: HON’BLE SHRI JUSTICE G.S. PATEL

Act: Code of Civil Procedure 1908

INDEX OF CHARGES: NO CHARGES EXIST FOR THE COMPANY

PERFORMANCE HIGHLIGHTS

• Total Business (Deposit + Advances) increased to Rs.9659000.000 Millions reflecting a growth of 20.43% (y-o-y).
• Gross Profit and Net Profit were Rs 92910.000 Millions and Rs 45410.000 Millions respectively. Net Profit registered a growth of 1.35% over the previous year.
• Credit-Deposit Ratio stood at 86.15% as against 82.03% last year.
• Retail Credit posted a growth of 20.96% constituting 16.6% of the Bank’s Gross Domestic Credit in FY14.
• MSME Credit posted a growth of 21.21% constituting 20.3% of the Bank’s Gross Domestic Credit in FY14.
• Net Interest Margin (NIM) as per cent of interest earning assets in global operations was at the level of 2.36% and in domestic operations at 2.87% during FY14.
• Net NPAs to Net Advances stood at 1.52% this year against 1.28% last year.
• Capital Adequacy Ratio (CAR) as per Basel II stood at 12.87%.
• Capital Adequacy Ratio (CAR) as per Basel III stood at 12.28%
• Net Worth improved to Rs 349330.000 Millions registering a rise of 13.7%.
• Book Value improved from Rs 729.11 to Rs 813.50 on year.
• Business per Employee moved up from Rs 168.900 Millions to Rs186.500 Millions on year.

SEGMENT-WISE PERFORMANCE

The Segment Results for the year FY14 reveal that the contribution of Treasury Operations was Rs 15272.400 Millions that of Corporate/Wholesale Banking was minus Rs 4611.100 Millions that of Retail Banking was Rs 33598.400 Millions, and of their Banking Operations was Rs 24580.200 Millions. The Bank earned a Profit after Tax (PAT) of Rs 45410.800 Millions after deducting Rs 13866.800 Millions of unallocated expenditure and Rs 9562.300 Millions towards provision for tax.

MANAGEMENT DISCUSSION AND ANALYSIS

ECONOMIC SCENE IN FY14 AND OUTLOOK FOR FY15

The financial year 2013-14 (FY14) began with multifarious developments including elevation of inflation, heightened rupee volatility and worsening current account deficit apart from growth slowdown and sharp industrial contraction. However, as the year progressed, especially from the third quarter onwards, there were firm signs of stability on the external front, partial easing of inflationary pressures and positive outlook towards growth.

During the third week of May 2013, the US suggested the possibility of “scaling back of its monetary stimulus or tapering” and there were wide spread repercussions on the emerging markets in general and on India, in particular, wherein not only the financial markets and asset prices saw a sharp decline but even the growth-inflation dynamics worsened further. The rupee-dollar exchange rates slumped to a record low of Rs 68.8 in late August 2013. The money markets were also under pressure with call money rates spiking to 9.5% and hardening of government bond yields. In response, the Reserve Bank of India (RBI) took a series of policy initiatives in mid-July to address exchange rate volatility so that it does not risk macroeconomic stability and growth sustainability. The measures undertaken included initiatives to contain domestic liquidity by sharply increasing Marginal Standing Facility (MSF) rate, moderating outflows and encouraging FX inflows through liberalized External Commercial Borrowings (ECBs) and Foreign Currency Non Resident (Bank) or FCNR (B) deposits. Apart from these, the government increased customs duty on gold and compressed demand for oil as well as curbed nonessential imports. External inflows were also encouraged. Consequently, the rupee recovered rather sharply to over Rs 60.0 per US dollar and touched a high of Rs 59.9 per dollar on March 28, 2014.

As the uncertainties surrounding “taper” decimated and domestic policy initiatives had positive impact, there was significant reduction in rupee volatility. The Current Account Deficit (CAD) which had peaked due to heightened outflows also contracted to 0.9% of GDP in Q3, FY14 from 6.7% of GDP in Q3, FY13. As India’s currency stabilised, the RBI began unwinding the unconventional monetary measures from September, 2013 in an orderly fashion. Among them, the marginal standing facility (MSF) which was increased by 200 bps to 10.3% on July 15, 2013 was gradually reduced in stages to 9.0% on December 18, 2013 and maintained at that level till the end of the financial year.

In the real sector, the ongoing contraction of mining and manufacturing sectors pulled down the real GDP growth to 4.8% in Q3, FY14. While the growth concerns remained significant for industrial and services sectors, the favourable monsoon rainfall improved the agricultural performance during FY14. Yet, majority of private forecasting agencies estimate the full year’s growth for FY14 in the band of 4.6% to 4.8%.

As in the past few years, the inflationary situation remained a dominant macro risk for India throughout the year FY14. The CPI inflation averaged around 9.5% throughout the year FY14 on the back of elevated food and fuel inflation. Despite the correction in vegetable prices during Dec-Jan, FY14 as well as the favourable monsoon and agricultural production scenario in FY14, food inflation at the retail level remained elevated highlighting the innate supply chain inefficiencies. Additionally, the upward adjustment in diesel prices and electricity tariffs too impacted the CPI trajectory during FY14.

The Interim Budget for FY15 presented by Government of India showed continued fiscal consolidation, with a fall in the fiscal deficit from 4.9% of GDP in FY13 to 4.6% of GDP in FY14 and further to 4.1% of GDP in FY15. While the revised estimates of both the revenue and fiscal deficits for FY14 are lower than the budgeted estimates, the expenses on subsidies, interest payments and pensions overshot the budgeted target and their impact was absorbed by lower plan expenditure.

Most of the private and public think-tanks from across the globe including International Monetary Fund (IMF) believe that Indian economy will recover in FY15 and the recovery will be enabled by a relatively stronger world economy, improving export competitiveness and policies encouraging investment. While the CPI inflation is expected to remain an important challenge for India, it should continue to move onto a downward trajectory during the major part of FY15.

PERFORMANCE OF INDIAN BANKING SECTOR IN FY14 AND OUTLOOK FOR FY15

Against the backdrop of a slowdown in the domestic economy and tepid global recovery, the growth of the Indian banking sector remained under pressure even in FY14. The deposit and credit growth was marginally better than that in FY13. The growth in deposits of scheduled commercial banks (SCBs) at 14.6% in FY14 was marginally better than the growth at 14.2% in the previous financial year. However, this growth was primarily driven by the liberal policy adopted by the RBI towards non-resident Indian deposits. The credit growth at 14.3% in FY14 too was marginally better than that at 14.1% in FY13.

Due to exchange market pressures during Q2, FY14 the RBI had to take exceptional measures that resulted in firming up of both deposit and lending rates in September, 2013. With the ebbing of pressures on exchange rate, the RBI rolled back these exceptional measures in a calibrated manner and, in response to that the lending rates softened a bit in H2 of FY14. On balance, however, the lending rates were by and large sticky during the year. As inflation remained at elevated levels, the banks were compelled to offer attractive interest rates on their term deposits so as to protect their liability franchise. The sticky and elevated cost of deposits combined with subdued credit demand suppressed the banks’ earnings profile. Given the bleak macroeconomic environment and worsening repayment capacity of borrowers, the asset quality deteriorated and pipeline of restructured assets remained large during the financial year FY14.

However, most of the financial experts and analysts feel that the worst is over for the Indian banking industry, as there will be increased clarity on macroeconomic and political fronts during FY15. On the positive side, liquidity remains steady, inflation is expected to move downwards for the major part of FY15 and the RBI is in full control to manage any volatility. Macro recovery and potential for post-election reforms should see a gradual reduction in stressed loans on lower slippages and higher recoveries.

BACK OFFICE OPERATIONS

REGIONAL BACK OFFICES AND CITY BACK OFFICES

The Bank is having 12 Regional Back Offices (RBOs) at present with two RBOs opened during the year at Bareilly and Ahmedabad. One more RBO at Hyderabad is in advanced stages for a roll out, in order to have one RBO per zone for processing of CASA account opening forms and issue of Personalised cheque books. More than 4,200 branches of the Bank are linked for centralised account opening process through RBOs and more than 4,350 branches are linked for issuance of Personalised cheque books.

The Bank is having 85 centralised city back offices for processing of inward and outward cheques through clearing. During the year under review, 100.0% migration to CTS (Cheque Truncation System) clearing has taken place in Southern Grid and also at all the 20 MICR (Magnetic Ink Character Recognition) locations of the Western Grid.

NEW PRODUCTS LAUNCHED

In pursuance to the important measures announced by the RBI during August-September 2013 to augment inflow of NRI remittances from abroad, two special Retail Liability products styled as “Baroda Premium FCNR (B) deposit” and “Baroda Ultra-Premium FCNR (B) deposit” were introduced on 23rd September, 2013 and 10th October, 2013, respectively. The funds mobilized under these products facilitated the Bank to participate in concessional Dollar SWAP window of the RBI. Keeping in line with the closure of SWAP window of RBI on 30th November, 2013, the special deposit products were closed on 27th November, 2013. The Bank mobilized deposit of USD 42 million and USD 1,694 million, respectively and swapped with the RBI for an amount of USD 1.7 billion.

UNAUDITED FINANCIAL RESULTS FOR THE QUARTER/ HALF YEAR ENDED 30TH SEPTEMBER, 2014

[RS. IN MILLIONS]

SR. NO.		PARTICULARS	QUARTER ENDED		HALF YEAR ENDED
			30.09.2014	30.06.2014	30.09.2014
			Reviewed	Reviewed	Reviewed
1		Interest earned (a)+(b)+(c)+(d)	108256.700	106579.600	214836.300
	(a)	Interest /discount on advances/bills	78074.200	77403.500	155477.700
	(b)	Income on investments	23482.100	22605.300	46087.400
	(c)	Interest on balances with Reserve Bank of India and other interbank funds	4434.200	4530.900	8965.100
	(d)	Others	2266.200	2039.900	4306.100
2		Other Income	9916.500	10245.400	20161.900
3		Total Income (1 + 2)	118173.200	116825.000	234998.200
4		Interest Expended	74245.600	73296.500	147542.100
5		Operating Expenses (a) + (b)	19898.300	18732.500	38630.800
	(a)	Employees cost	11078.300	11055.000	22133.300
	(b)	Other operating expenses	8820.000	7677.500	16497.500
6		Total Expenditure (4+5) excluding provisions and contingencies	94143.900	92029.000	186172.900
7		Operating Profit before Provisions and Contingencies (3-6)	24029.300	24796.000	48825.300
8		Provisions (other than tax) and Contingencies	8880.400	5267.100	14147.500
9		Exceptional Items	--	--	--
10		Profit (+)/Loss (-) from Ordinary Activities before tax (7-8-9)	15148.900	19528.900	34677.800
11		Tax expenses	4106.700	5910.100	10016.800
12		Net Profit (+) / Loss (-) from Ordinary Activities after tax (10-11)	11042.200	13618.800	24661.000
13		Extraordinary items (net of tax expenses)	--	--	--
14		Net Profit (+) / Loss (-) for the period (12-13)	11042.200	13618.800	24661.000
15		Paid-up equity share capital (Face Value of Rs.10 each)	4306.800	4306.800	4306.800
16		Reserve excluding Revaluation Reserve (as per balance sheet of previous accounting year)	--	--	--
17		Analytical Ratios
	i)	Percentage of shares held by Government of India	56.26	56.26	56.26
	ii)	Capital Adequacy Ratio
	a	Capital Adequacy Ratio (%)- Basel-II	12.69	12.50	12.69
	b	Capital Adequacy Ratio (%)- Basel-III	12.19	11.91	12.19
	iii)	Earnings Per Share
		Basic and diluted EPS before and after Extraordinary items, net of tax expenses (not annualized) [in Rs.]	25.71	31.71	57.43
	iv)	NPA Ratios
	(a)	Gross NPA	130575.700	120868.100	130575.700
		Net NPA	67045.100	60207.800	67045.100
	(b)	% of Gross NPA	3.32	3.11	3.32
		% of Net NPA	1.74	1.58	1.74
	v)	Return on Assets (annualized) %	0.68	0.83	0.75
18		Public Shareholding
	-	No. of shares	18,78,43,804	18,78,43,804	18,78,43,804
	-	Percentage of shareholding	43.74	43.74	43.74
19		Promoters and promoter group Shareholding	24,15,71,283	24,15,71,283	24,15,71,283
	(a)	Pledged/Encumbered
	-	Number of shares	--	--	--
	-	Percentage of shares (as a % of the total shareholding of promoter and promoter group)	--	--	--
	-	Percentage of share (as a % of the total share capital of the bank)	--	--	--
	(b)	Non-encumbered
	-	Number of shares	24,15,71,283	24,15,71,283	24,15,71,283
	-	Percentage of shares (as a % of the total shareholding of promoter and promoter group)	100.00	100.00	100.00
	-	Percentage of share (as a % of the total share capital of the bank)	56.26	56.26	56.26

NOTES 

1.  The above financial results have been reviewed by the Audit Committee of Board in their meeting held on 6th November 2014 and approved by the Board of Directors in their meeting held on 7th November 2014. The same have been subjected to Limited Review by the Statutory Central Auditors of the Bank, in line with the guidelines issued by Reserve Bank of India and as per the requirement of listing agreement with Stock Exchanges.

2.  The above results for the quarter / half year ended 30th Sept, 2014 have been prepared following the same accounting policy as those followed in the annual financial statements for the year ended 31st March, 2014.

3.  In accordance with RBI circular no. DBOD.BP.BC.80/21.04.018/2010-11 dated 9th February, 2011, out of the additional pension fund, liability as on 31st March, 2011 of Rs. 18299.000 Millions towards serving employees who exercised option for pension, a proportionate sum of Rs. 915.000 Millions has been charged to the Profit and Loss Account during the quarter ended 30th Sept 2014. The unamortized pension fund liability of Rs. 1829.800 Millions will be charged proportionately in accordance with the directions contained in the said circular.

4.  The financial results for the quarter / half year ended 30th Sept, 2014 have been arrived at after considering provision for Non-performing Assets, Standard Assets, Restructured Assets and depreciation / provision for Investments on the basis of prudential norms and specific guidelines issued by RBI. Bank has made provision @ 20% on the Secured Sub-standard Advance as against the Regulatory requirement of 15%. Further, Bank has made additional ad-hoc provision of Rs. 3405.600 Millions during the half year (during the quarter -NIL-) in certain non-performing domestic advance accounts.

5.  Provision for taxes, employee benefits and other provisions for contingencies have been considered on estimated basis.

6.  Non Performing Loan Provisioning Coverage Ratio is 65.39 % as on 30th Sept, 2014.

7.  During the half year Bank has sold financial Assets with net book value of Rs. 1855.400 Millions to Assets reconstruction companies on cash and Security receipt basis in accordance with RBI guidelines (during current quarter -NIL-). The security receipts are treated as non SLR Investments.

8.  Based on available data, financial statements and the declaration wherever received from the borrowers, the bank has estimated the liability of Rs.301.000 Millions as on 30th September 2014 towards unhedged foreign currency exposures of its constituents in terms of RBI circular no. DBOD.BP.BC .85/21.06.200/2013-14 dated 15th January 2014 and circular no. DBOD.BP.BC.116/21.06.200/ 2013-14 dated 3rd June 2014 and has fully provided for the same.

9.  Details of Investor's complaints for the quarter ended 30.09. 2014: Pending at Beginning - Nil; Received - 71; Disposed off - 71; Closing – Nil

10.  Statement of Assets and Liabilities is as under:

PARTICULARS	As on 30th Sept 2014
	Reviewed
CAPITAL & LIABILITIES
Capital	4306.800
Reserves and Surplus	382042.300
Deposits	5669258.700
Borrowings	354941.900
Other Liabilities and Provisions	187075.600
TOTAL	6597625.300
ASSETS
Cash and Balances with Reserve Bank of India	174459.900
Balances with Banks and Money at Call and Short Notice	1128340.700
Investments	1299273.200
Advances	3857662.600
Fixed Assets	27953.000
Other Assets	109935.900
TOTAL	6597625.300

11.  The figures of previous period/ year have been regrouped/ rearranged wherever necessary so as to make them comparable with those of the current period.

SEGMENT REPORTING FOR THE QUARTER /HALF YEAR ENDED 30TH SEPTEMBER, 2014

Part A: Business Segments

SR. NO.	PARTICULARS	QUARTER ENDED		HALF YEAR ENDED
		30.09.2014	30.06.2014	30.09.2014
		Reviewed	Reviewed	Reviewed
1	Segment Revenue
	(a) Treasury Operations	28664.500	28242.100	56906.600
	(b) Wholesale Banking	46676.200	44775.500	91451.700
	(c) Retail Banking	28597.000	29441.000	58038.000
	(d) Banking & Other Operations	14235.500	14366.400	28601.900
	Total Revenue	118173.200	116825.000	234998.200
2	Segment Results
	(a) Treasury Operations	2350.800	9590.100	11940.900
	(b) Wholesale Banking	2530.900	(2865.900)	(335.000)
	(c) Retail Banking	7463.300	8189.600	15652.900
	(d) Banking & Other Operations	7967.600	9413.000	17380.600
	Total	20312.600	24326.800	44639.400
	Unallocated Expenditure	5163.700	4797.900	9961.600
	Profit before Tax	15148.900	19528.900	34677.800
	Provision for Tax	4106.700	5910.100	10016.800
	Net Profit	11042.200	13618.800	24661.000
3	Capital Employed
	(a) Treasury Operations	93824.800	85400.200	93824.800
	(b) Wholesale Banking	100092.000	101707.400	100092.000
	(c) Retail Banking	51452.000	48446.800	51452.000
	(d) Banking & Other Operations	136737.000	134360.100	136737.000
	(e) Unallocated	4243.300	4189.600	4243.300
	Total Capital Employed	386349.100	374104.100	386349.100

Part- B: Geographic Segments

SR. NO.	PARTICULARS	QUARTER ENDED		HALF YEAR ENDED
		30.09.2014	30.06.2014	30.09.2014
		Reviewed	Reviewed	Reviewed
1	Revenue
	(a) Domestic	103954.500	102465.200	206419.700
	(b) International	14218.700	14359.800	28578.500
	Total	118173.200	116825.000	234998.200
2	Assets
	(a) Domestic	4313630.700	4197619.800	4313630.700
	(b) International	2283994.600	2267275.900	2283994.600
	Total	6597625.300	6464895.700	6597625.300

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 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. 62.10
UK Pound	1	Rs. 94.10
Euro	1	Rs. 73.42

INFORMATION DETAILS

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	9
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	8
--RESERVES	1~10	9
--CREDIT LINES	1~10	9
--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	YES
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		78

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.