Andhra Bank Welcomes to the press meet

ANDHRA BANK PROFILE/ PERFORMANCE HIGHLIGHTS

ANDHRA BANK - the driving force behind our performance

Brief Profile Established by a Freedom Fighter – Dr Bhogaraju Pattabhi Sitaramayya. Established on November 20 th 1923 Nationalized on 15 th April 1980 Total Business Delivery Channels – 1764 Total Business Rs.56,000 Crores Sponsored two Regional Rural Banks Dividends Declared – 14%, 24%, 28%, 30% and 35% during the last five years Andhra Bank

Performance Highlights for FY 2006 Total Business crossed Rs crores. Distributable Profit increased by 42.22%. (From Rs cr in 2005 to Rs cr in 2006) Annualized yield works out to FPO Equity Holders at 26.78%. Low NPA levels – Gross 1.94% & Net 0.24%. Andhra Bank

Business channels Andhra Bank As onBranchesECsSatellite Offices ATMsTotal  Bank has presence in 21 States and 2 Union Territories.

Business Levels Andhra Bank Details Amount (Rs. in cr) Amount (Rs. in cr) Deposits Advances (GBC) Investments C / D Ratio(%) Total Interest Income Net Interest Income Core Operating Profit (excluding Profit on sale of Investments) Operating Profit Core Net Profit (excluding profit on sale of Investments) Net Profit520486

DEPOSITS – Composition (Rs. in Crores) Type of Deposit Current Deposits Growth (%) Savings Deposits Growth (%) Term Deposits Growth (%) Total Deposits Growth (%) Andhra Bank

SECTOR Growth (%) Gross Bank Credit Non - Food Credit Medium & Large Inds., Priority Sector Agriculture SME Sector Retail Credit Housing Loans Educational Loans ADVANCES – SECTOR WISE EXPOSURE Andhra Bank (Rs. in crores)

INVESTMENTS – COMPOSITION Type of Investments Government Securities Percentage Govt. Sec. to Investments Other Approved Securities Shares Debentures and Bonds Subsidiaries and/ or Joint Ventures9.31 Others Total Investments Andhra Bank (In Rs crores)

PARAMETER GROSS BANK CREDIT GROSS NPAs % OF GROSS NPAs NET NPAs % OF NET NPAs ASSET QUALITY Rs. in Cr. Andhra Bank

CAPITAL STRUCTURE PARAMETER TIER-I CAPITAL TIER-II CAPITAL TOTAL CAPITAL % OF TIER-I TO TOTAL CAPITAL INTELLECTUAL CAPITAL ( STAFF STRENGTH IN NUMBER ) Andhra Bank (In Rs. Crores)

Andhra Bank FINANCIAL PERFORMANCE Key Ratios and Indicators at a Glance Ratios (Figures in %) FY 2005FY 2006 Cost of Deposits4.86 Cost of Funds Yield on Advances Yield on Investments Yield on Funds Net Yield on Funds Earning per Share (annualised) Book Value per Share Staff Cost to Average working funds Other Operating Expenses to AWF Business per employee (Rs. In Cr) Business per Branch (Rs. In Cr)

Technology Initiatives  100% Branches Computerized.  No. of ATM/Debit Cards stood at 1.83 million against 1.29 million in the previous year.  ATM Network shared with IDBI Bank, UTI Bank, Indian Bank, HDFC Bank, SBI Group etc.  Total ATM distributory channels  Mobile banking - branches connected 453 and registered users  Business units covered under cluster based core banking solution. It covers 92.58% of business. Andhra Bank

Technology Initiatives (contd.)  AB Kisan Vikas ATM card introduced for easy access to money to Farming community.  Mobile ATM first of its kind launched to enhance the reach of the bank to unbanked areas.  Shortly introducing - Internet Payment Gateway and Internet Banking. Andhra Bank

Value Added Services  Insurance linked savings deposits – Abhaya, Abhaya Gold, Jeevan Abhaya, Jeevan Prakash, Jeevan Prakash plus, Arogyadaan, AB Flex etc. offered.  Bancassurance – Tied up with LIC and United Insurance companies for sale of Life and non- life products.  Associated for sale of Mutual Fund products with major companies.  Introduced Depository participatory services.  Cash Management Service covered 84 customers in 123 branches. Turnover for the year crossed Rs.1147 Crore. Andhra Bank

Value Added Services (Contd..) * Introduced 8 a.m. to 8 p.m. and 7 day Banking in select branches to extend the Service hours to clientele. * Opened a Representative Office in Dubai to coordinate with NRIs for increasing our NRI customer base. * Imparting training to Agriculturists, Rural Un- employed youth on vocational courses by our 9 Rural Development Institutes Andhra Bank

ISO 9001:2000 CERTIFICATE ISO 9001:2000 Certification has been awarded to two of our offices - STAFF COLLEGE - DATA CENTRE at Department of Information Technology -- Andhra Bank

 Ranked 683 rd among Top 1000 Banks in the World for 2005 by “The Banker”a London Based publication.  Ranked as Number 1 in Asia under the “Return on Capital”for 2005 by “The Banker”.  Adjudged as the Best Bank under Large Banks category by “The Analyst” an ICFAI publication.  Assigned CGR – 2 by ICRA for Corporate Governance. Awards received by the Bank Andhra Bank

Awards received by the Bank (Contd.)  Awarded Silver Shield for excellence in financial reporting for 2005 by ICAI.  Runner up award under best payment initiative by IBA for  FINTECH Asia 2006 Award for Any Branch Banking (ABB). Andhra Bank

ANDHRA BANK MAKING A DIFFERENCE WITH PEOPLE, IDEAS AND SOLUTIONS. COMMITMENTS TO VALUES FULFILLED THANK YOU