CORPORATE PRESENTATION SEPTEMBER 2014 DISCLAIMER This presentation - PowerPoint PPT Presentation

CORPORATE PRESENTATION SEPTEMBER 2014

DISCLAIMER This presentation has been prepared by and is the sole responsibility of The South Indian Bank Limited (the “ Bank ”). By accessing this presentation, you are agreeing to be bound by the trailing restrictions. This presentation does not constitute or form part of any offer or invitation or inducement to sell or issue, or any solicitation of any offer or recommendation to purchase or subscribe for, any securities of the Bank, nor shall it or any part of it or the fact of its distribution form the basis of, or be relied on in connection with, any contract or commitment therefor. In particular, this presentation is not intended to be a prospectus or offer document under the applicable laws of any jurisdiction, including India. No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are in all events not current after the date of this presentation. There is no obligation to update, modify or amend this communication or to otherwise notify the recipient if information, opinion, projection, forecast or estimate set forth herein, changes or subsequently becomes inaccurate. Certain statements contained in this presentation that are not statements of historical fact constitute “forward-looking statements.” You can generally identify forward-looking statements by terminology such as “aim”, “anticipate”, “believe”, “continue”, “could”, “estimate”, “expect”, “intend”, “may”, “objective”, “goal”, “plan”, “potential”, “project”, “pursue”, “shall”, “should”, “will”, “would”, or other words or phrases of similar import. These forward- looking statements involve known and unknown risks, uncertainties, assumptions and other factors that may cause the Bank’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward- looking statements or other projections. Important factors that could cause actual results, performance or achievements to differ materially include, among others: (a) volatility in interest rates and other market conditions; (b) failure to sustain or achieve growth of the Bank's deposit base, including the Bank's current and savings account deposit base; (c) the Bank exposure to the agricultural sector; (d) certain failures, including internal or external fraud, operational errors, systems malfunctions, or cyber security incidents; (e) decrease in the value of the Bank's collateral or delays in enforcing the Bank's collateral upon default by borrowers on their obligations to the Bank; (f) the Bank's inability to control the level of NPAs in the Bank's portfolio effectively; (g) material changes in the regulations governing the banking industry; (g) the Bank's inability to comply with the capital adequacy standards of the advanced Basel II Accord or the Basel III Accord; and (h) adverse changes in the economy of India. This presentation is for general information purposes only, without regard to any specific objectives, financial situations or informational needs of any particular person. The Bank may alter, modify or otherwise change in any manner the content of this presentation, without obligation to notify any person of such change or changes. 2

Section 1 Brief Company Overview Key Business Highlights 2 Future Business Strategy 3 4 Financial Performance 5 Annexure 3

BRIEF COMPANY OVERVIEW 4

South Indian Bank is emerging as a pan-India banking franchise Key Financials Bank Overview Data for Q1FY15 INR mn 85 year old bank, incorporated on January 25, 1929 in  Market Capitalization # Thrissur 37,742 Total Assets 538,769 802 branches, 1,026 ATMs located in 27 states and 3 Union  Territories* Net Advances 342,554 Total Deposits ~83% branches in southern states of Kerala, Tamil 464,892  Nadu, Andhra Pradesh and Karnataka Net Profit 1,267 Diversified business mix with growing focus on retail  CAR (Basel – III)% franchise CET 1/Tier I 10.6% Retail + MSME franchise contributes ~69% $ of total  CAR 12.2% business NNPAs (%) 0.9% Consistently growing franchise serving over 7 mn*  # Data as of September 5 th , 2014 customers presently Shareholding Structure $ Young workforce (avg. age of 34 years) with experienced  Corporations top management Others & Banks 31% 15% Strong focus on risk management with extensive use of  technology for managing operations Domestic During Q1FY15, the bank registered an Operating profit of  Institutions Foreign 8% Institutional INR 2,209 mn and PAT of INR 1,267 mn NRI Investors 5% 41% $ Data as of June 30 th , 2014 * Data as of July 31, 2014 5

Track record of Continuous Value Creation 2014: Authorized capital increased from INR 1,600 mn to INR 2,500 mn 2013: Achieves target of INR 5,000 mn in Net Profit; Business exceeds INR 750,000 mn 2012: Net Worth crosses INR 20,000 mn; Total Credit Crosses INR 250,000 mn; Equity offering for INR 4,426 mn to QIBs through the QIP route 2011: Business exceeds the landmark of INR 500,000 mn in Total Business; 2010: The face value of shares was sub-divided from Rs. 10 each to 10 equity shares of Re.1 each 2008: Bonus Issue of shares to equity shareholders; Opened 500 th branch in New Delhi 2007: Equity offering for INR 3,260 mn to QIBs through the QIP route 2006: Follow-On offering of equity shares of INR 1,480 mn 2004: Rights offering of Bank shares 1998: First Public issue of Shares of the bank (IPO) ahead of listing on BSE, NSE & CSE 1975: Received license from RBI to deal in Foreign Exchange 1971: 100 th branch opened at Ernakulam 1946 : Becomes a schedule bank under RBI Act 1941: Opened first branch outside Kerala at Coimbatore 1929: Commences operations as a Private limited company in a rented room in Thrissur 6

KEY BUSINESS HIGHLIGHTS 7

Key Business Highlights Strong Presence in South India with increasing pan-India presence Proven Experienced Business Management Model & Team Growth Track-Record Large Customer Base Delivering resulting in Shareholder increasing Returns deposit franchise High focus on Diversified Risk Advances management Portfolio with with Strong growing thrust Technology on Retail Platform 8

Building upon strong presence in South India to expand across India… Traditional & Alternate Channels Pan-India Branch Network Very strong presence in South India Branches 802 branches* ATMs Phone Banking Customer 1,026 ATMs 24 hour phone Touch Points banking service Mobile Banking Point of Sale 32% 32% 32% Internet Banking FY12 FY13 FY14 July 31,2014 No. of 700 750 800 802 Branches Traditional Channels Alternate Channels No. of ATMs 663 800 1,000 1,026 * Data as of July 31, 2014 9

Leading to Consistent Growth across Business Metrics... Assets Advances 362 550 539 343 318 498 273 404 FY12 FY13 FY14 Q1FY15 FY12 FY13 FY14 Q1FY15 Deposits Net Profit 5.0 5.1 475 465 443 4.0 365 1.3 FY12 FY13 FY14 Q1FY15 FY12 FY13 FY14 Q1FY15 All figures in INR bn 10

Strong Customer Base with Growing Retail Deposits Savings Account Deposits Current Account Deposits 84 79 19 19 67 15 59 13 FY12 FY13 FY14 Q1FY15 FY12 FY13 FY14 Q1FY15 Term Deposits Strong Retail Deposit Book CASA Retail Term Deposits Others 377 23% 362 360 29% 35% 36% 293 55% 50% 45% 45% 21% 22% 20% 19% FY12 FY13 FY14 Q1FY15 FY12 FY13 FY14 Q1FY15 * Others include Bulk Deposits and Certificate of Deposits All figures in INR bn 11

Well Diversified Advances Portfolio Consistently growing Advances Balanced Advances Mix 250 203 190 187 200 171 Other retail 160 153 132 30% 150 Agricultural + 102 MSME 100 30% 50 0 FY12 FY13 FY14 Q1FY15 Corporate WC Loans Term Loans 40% Strong Asset Quality Geographical break-up of Advances 0.6% East 98.5% 3% West South 0.8% 7% 84% North 0.1% 6% Standard Assets Sub Standard Assets Doubtful Assets Loss Assets All figures in INR bn; Break-up details as of June 30, 2014 12

Robust Retail, Agriculture & MSME Portfolio coupled with… Retail Advances Portfolio Retail Advances Gold Loans 129 140 126 Loans against bank’s own 110 120 102 deposits/ LIC/ KVP 34% 36% 100 Housing Loans 80 Vehicle Loans 60 Educational Loans 40 2% 8% Personal Loans & Consumer Credit 20 2% 2% Other Regulatory Retail Loans - 16% FY12 FY13 FY14 1QFY15 Agriculture & MSME Advances Agriculture & MSME Advances Portfolio 105 103 13% MSE General Loans 71 MSE Gold Loans 17% 42 Medium Enterprises 51% General Loans Agri General Loans 8% FY12 FY13 FY14 Q1FY15 Agri Gold Loans 11% All figures in INR bn; Break-up details as of June 30, 2014; FY12-FY14 numbers based on restated classification being followed from FY15 onwards 13

… Growing Corporate Advances Portfolio Corporate Advances Corporate Advances Portfolio 11% 2% 5% 153 140 125 30% 22% 103 8% 20% 2% Food Credit Infrastructure Textile Manufacturing Metal & Metal Products Other Manufacturing BFSI Traders Other Services FY12 FY13 FY14 Q1FY15 All figures in INR bn; Break-up details as of June 30, 2014; FY12-FY14 numbers based on restated classification being followed from FY15 onwards 14