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Investor Presentation Q3 FY 2013

January 2013

Development Credit Bank Limited

Disclaimer
This presentation is strictly confidential and may not be copied, published, distributed or transmitted. The information in this presentation is being provided by Development Credit Bank Limited (the Bank). This presentation has been prepared for information purposes only and is not an offer or invitation, directly or indirectly, to buy or sell any securities, nor shall part, or all, of this presentation form the basis of or be relied on in connection with, any contract or investment decision in relation to any securities. This presentation is not an offer document or a prospectus under the Companies Act, 1956, as amended, the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009, as amended and any other applicable law. This presentation contains forward-looking statements based on the currently held beliefs and assumptions of the management of the Bank, which are expressed in good faith and, in their opinion, reasonable. Forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, financial condition, performance, or achievements of the Bank or industry results to differ materially from the results, financial condition, performance or achievements expressed or implied by such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding expansion plans and the benefits there from, fluctuations in our earnings, our ability to manage growth and implement strategies, intense competition in our business including those factors which may affect our cost advantage, our ability to attract and retain highly skilled professionals, changes in technology, availability of financing, our ability to successfully complete and integrate our business plans, liabilities, political instability and general economic conditions affecting our industry. Given these risks, uncertainties and other factors, recipients of this document are cautioned not to place undue reliance on these forward-looking statements. The Bank disclaims any obligation to update these forward-looking statements to reflect future events or developments. This presentation is not an offer of securities for sale in the United States or in any other jurisdiction. Securities may not be offered or sold in the United States absent registration or an exemption from registration. No shares or other securities may be offered or sold other than in compliance with the laws of relevant jurisdictions, including the United States Securities Act of 1933, as amended.

By viewing this presentation you acknowledge that you will be solely responsible for your own assessment of the market and the market position of the Bank and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of the business of the Bank.
Except as otherwise noted, all of the information contained herein is preliminary and indicative and is based on management information, current plans and estimates. Industry and market-related information is obtained or derived from industry publications and has not been verified by us. The information contained in this presentation, except as otherwise noted, is only current as of the date of the presentation, is subject to change without notice. The Bank may alter, modify or otherwise change in any manner the content of this presentation, without any obligation to notify any person of such revision or changes. Persons relying on the information in this presentation should do so at their own risk and the Bank shall not be responsible for any kind of consequences or liability to any person arising out of, relying and acting upon any such information. Financial numbers are rounded off to nearest whole number

Private & Confidential

Development Credit Bank Limited

DCB Bank Overview


DCB Bank at a glance

Development Credit Bank Ltd (DCB Bank) http://www.dcbbank.com is a modern emerging new generation private sector bank.
Present since 1930s, DCB is the only co-operative bank in India to have been converted into a private sector commercial bank in 1995

Distribution network of 89 branches across 28 cities and 296 ATMs Business model focused on achieving a balance between Micro SME, SME, Retail Mortgages, Commercial Vehicle, Gold
Loans, mid-Corporate and Agri / Inclusive Banking

Comprehensive product range & scalable infrastructure

Comprehensive range of banking products across all businesses Modern systems and infrastructure to support growth- Finacle, FinnOne, CMS, Internet and Mobile banking Traditional sticky customer base helped by presence of branch network in key areas of Maharashtra, Gujarat and AP Provides DCB Bank access to low cost deposits

Traditional loyal customer base

Focus on building low cost franchise

Continued focus on building a low cost Deposits and strong capital position CASA of 28.87% and CRAR of 13.71% under Basel II

Steady improvement in credit ratings

Crisil rating (Long term): BBB + / Positive, Crisil rating (Short term): A1 and Brickwork Ratings: BWR A- (Stable)

Robust promoter background

DCBs promoter, Aga Khan Fund for Economic Development (AKFED) http://www.akdn.org/akfed is present in 16 countries
employing over 30,000 people

Promoter group holds 18.48% stake in DCB Nasser Munjee, Chairman: Ex- Executive Director HDFC, instrumental in setting up IDFC & sits on the boards of many large
Indian companies

Pedigreed board and experienced management team

Murali M. Natrajan, MD & CEO: worked in Standard Chartered Bank (Global Head SME Banking), Citibank, American
Express; strong Retail Banking & SME experience in India & abroad

For detailed Overview, please refer to pages 28 - 32


Private & Confidential

Development Credit Bank Limited

Financial Performance

Private & Confidential

Development Credit Bank Limited

Highlights
INR mn Q3 FY 2013 Q3 FY 2012 Inc / (Dec) FY 2012 FY 2011 Inc / (Dec)

Net Profit
Total Income Operating Profit Provisions Cost to Income Ratio INR mn Deposits CASA NRI Deposits Advances

269
1,009 318 (49) 68.52%

156
854 225 (69) 73.64% December 31, 2012 75,582 21,823 4,544 59,644

72.1%
18.2% 41.1% 29.3% -

551
3,281 838 (287) 74.45% December 31, 2011 61,912 20,478 2,413 43,064

214
3,012 861 (646) 71.43%

157.0%
8.9% (2.6%) 55.57% -

INR mn
CASA Ratio Gross NPA Ratio Net NPA Ratio Provision Coverage Ratio Credit/Deposit Ratio ROA ROE
Private & Confidential

December 31, 2012


28.87% 3.80% 0.73% 88.04% 78.91% 1.14% 11.66%
Development Credit Bank Limited

December 31, 2011


33.08% 5.67% 1.03% 87.38% 69.56% 0.77% 9.65%
5

Steady Improvement in Profits


Net Profit / Loss *
INR mn

269 221
189 173

156

551 214 (881) (785)

Q3 FY12

Q4 FY12

Q1 FY13

Q2 FY13

Q3 FY13

FY 2009

FY 2010

FY 2011

FY 2012

* Net Profit / (Loss) represents post tax numbers


Private & Confidential

Development Credit Bank Limited

Improvement in Income, quality


Net Interest Income
INR mn

2,277 1,972 1,416 1,891


597 570

639

670

720

FY 2009

FY 2010

FY 2011

FY 2012

Q3 FY12

Q4 FY12

Q1 FY13

Q2 FY13

Q3 FY13

Other Income

INR mn

281

275

275

289

1,201 1,075

257

1,121

1,004

FY 2009

FY 2010

FY 2011

FY 2012

Q3 FY12

Q4 FY12

Q1 FY13

Q2 FY13

Q3 FY13
7

Private & Confidential

Development Credit Bank Limited

Staff Cost and Other Cost


Staff Cost
INR mn

1,246
317 310

329

341

350

1,044 881

1,064

FY 2009

FY 2010

FY 2011

FY 2012

Q3 FY12

Q4 FY12

Q1 FY13

Q2 FY13

Q3 FY13

Other Cost

INR mn

1,376 1,127 1,088 1,197

312

337 303

339

341

FY 2009

FY 2010

FY 2011

FY 2012

Q3 FY12

Q4 FY12

Q1 FY13

Q2 FY13

Q3 FY13
8

Private & Confidential

Development Credit Bank Limited

Operating Income and Cost to Income


Operating Income
INR mn

3,173 2,491

3,012

3,281

854

851

914

945

1,009

FY 2009

FY 2010

FY 2011

FY 2012

Q3 FY12

Q4 FY12

Q1 FY13

Q2 FY13

Q3 FY13

Operating Cost

INR mn

73.64%
76.27% 80.62% 71.43% 74.45%

71.90%

72.85%

71.95% 680

68.52% 692

629

612

666

2,420 2,008 2,152

2,443

FY 2009
Private & Confidential

FY 2010

FY 2011

FY 2012

Q3 FY12

Q4 FY12

Q1 FY13

Q2 FY13

Q3 FY13
9

Development Credit Bank Limited

Operating Profit
Operating Profit
INR mn

318

860 753 483

838
225

239

248

265

FY 2009

FY 2010

FY 2011

FY 2012

Q3 FY12

Q4 FY12

Q1 FY13

Q2 FY13

Q3 FY13

Provisions
1,634 1,268
69 66 59 44

INR mn

646 287 FY 2009 FY 2010 FY 2011 FY 2012


Q3 FY12 Q4 FY12 Q1 FY13

49

Q2 FY13

Q3 FY13

* Provisions include provisions for NPAs, standard assets, income tax, fringe benefit tax, other assets, restructured advances etc Provisions also includes depreciation on investments and sacrifice of one time settlement
Private & Confidential

Development Credit Bank Limited

10

Growth in chosen Businesses continue

INR mn
CASA Retail Term Deposits Mortgages Commercial Vehicle SME + Micro SME Agri & Inclusive Banking Corporate Banking

Mar 31, 2010 16,927

Mar 31, 2011 19,755

Dec 31, 2011 20,478

Mar 31, 2012 20,347

Jun 30, 2012 20,662

Sep 30, 2012 21,723

Dec 31, 2012 21,823

23,056
4,118 1,951 6,004 8,583 11,095

27,085
10,811 727 10,219 8,502 11,153

31,946
15,102 195 12,579 4,169 8,907

34,320
15,510 1,048 14,038 8,014 11,941

36,721
17,889 968 13,943 7,244 12,599

38,888
19,494 966 14,930 6,115 13,097

42,084
21,296 1,050 15,035 5,856 14,120

Private & Confidential

Development Credit Bank Limited

11

Balance Sheet
Total Assets
INR mn

82,610
74,129

86,769

91,002

92,983

96,436

59,430

61,367

Mar 31, 2009

Mar 31, 2010

Mar 31, 2011

Dec 31, 2011

Mar 31, 2012

Jun 30, 2012

Sep 30, 2012

Dec 31, 2012

Net Advances*

INR mn

52,844 42,817 32,740 34,597 43,064

54,491

56,710

59,644

Mar 31, 2009

Mar 31, 2010

Mar 31, 2011

Dec 31, 2011

Mar 31, 2012

Jun 30, 2012

Sep 30, 2012

Dec 31, 2012

* Net Advances Gross advances less (net of) provisions


Private & Confidential

Development Credit Bank Limited

12

Diversified Portfolio
Portfolio* as on Mar 31, 2010 Portfolio* as on Mar 31, 2011

M o rtgages 12% Others 3% SM E+M SM E 17%

M o r t g ag es 2 5%

C V/ C E/ ST VL P erso nal Lo ans 8% 3% A IB 25%

C V / C E/ ST V L 2%

Per so nal Lo ans 0 .2 % A IB 20%

Ot her s 3% SM E+M SM E 24% C o r p o r at e B anking 26%

C o rpo rate B anking 32%

Portfolio* as on Mar 31, 2012

Portfolio* as on Dec 31, 2012

Gold Loan 1%

Commercial Vehicle 2% AIB 10%

M o rt g ag es 29%

PL/ C E/ ST V L 0 .0 5%

C o mmercial V ehicle 2% A IB 15%

Mortgages 36%

Corporate Banking 24%

Ot hers 4% SM E+M SM E 2 7%

C o rp o rat e B anking 23%

Others 2%
SME + MSME 25%

* AIB Agri & Inclusive Banking, MSME Micro SME, PL / CE / STVL Personal Loan, Construction Equipment and Small Ticket Vehicle Loan
Private & Confidential

Development Credit Bank Limited

13

Build Stable Deposit Base Focus on CASA


Deposits
3,075 2,705

INR mn INR mn
3,630 50,129

3,178 2,601
3,957 28,101 1,590 29,356 33,746

2,208 44,927

46,573

38,256

40,801

14,411

16,927

19,755

20,478

20,347

20,662

21,723

21,823

Mar 31, 2009

Mar 31, 2010

Mar 31, 2011

Dec 31, 2011

Mar 31, 2012

Jun 30, 2012

Sep 30, 2012

Dec 31, 2012

CASA

Term Deposits

Other Deposits

Retails Deposits Vs Total Deposits


Mar 31, 2009 67.53% Mar 31, 2010 81.54% Mar 31, 2011 81.17% Dec 31, 2011 82.91% Mar 31, 2012 84.42% Jun 30, 2012 82.72% Sep 30, 2012 83.22% Dec 31, 2012 82.96%

CASA
Mar 31, 2009 31.01% Mar 31, 2010 35.36% Mar 31, 2011 35.21% Dec 31, 2011 33.08% Mar 31, 2012 32.12% Jun 30, 2012 30.25% Sep 30, 2012 30.44% Dec 31, 2012 28.87%

Access to low cost stable funding source to support Advances growth without undue reliance on volatile wholesale funding
Private & Confidential

Development Credit Bank Limited`

14

Deposits Per Branch


Retail CASA & Retail Term Deposits
INR mn

51,333

53,482 34,320

56,492
36,721

59,394

62,701 42,083

45,540
39,034 31,380

38,888

31,946

23,056 15,978
Mar 31, 2010

27,085 19,162 Mar 31, 2012 Retail Term Deposits

18,132 13,248
Mar 31, 2009 18,455 Mar 31, 2011 19,387 Dec 31, 2011 Retail CASA

19,771

20,506 Sep 30, 2011

20,618

Jun 30, 2012 Total

Dec 31, 2012

Retail Deposits / Branch

INR mn

82 80 80 80 227 390

84 409

86

87
447

89 473

427

339

288

166

200

231

236

228

230

236

232

Mar 31, 2009


Private & Confidential

Mar 31, 2010

Mar 31, 2011

Dec 31, 2011

Mar 31, 2012

Jun 30, 2012

Sep 30, 2012

Dec 31, 2012

Retail Term Deposits / Branch

No of Branches

Development Credit Bank Limited

15

Strong Provision Coverage


Key Ratios
8.69% 82.50%
70.04% 100.00% 87.64%

100.00%

100.00%

100.00%

85.55% 5.90%

87.89% 5.75%

87.38% 5.67%

100.00% 91.17%

100.00%

100.00%

100.00% 88.04%

88.50%

89.25%

5.85%

4.40%

4.18%

3.86%

3.80%

3.11%

0.96%

1.19%

0.97%

1.03%

0.57%

0.75%

0.68%

0.73%

Mar 31, 2010

Mar 31, 2011

Jun 30, 2011

Sep 30, 2011

Dec 31, 2011


Coverage Ratio - PL

Mar 31, 2012

Jun 30, 2012

Sep 30, 2012


Net NPA%

Dec 31, 2012

Coverage Ratio - Bank

Gross NPA%

INR mn Personal Loans CV/CE/STVL* Corporate Others

Mar 31, 2010 1,694 599 594 305

Mar 31, 2011 1,293 452 588 303

Dec 31, 2011 1,222 350 686 306

Mar 31, 2012 1,196 322 627 273

Jun 30, 2012 968 297 624 473

Sep 30, 2012 945 278 499 538

Dec 31, 2012 926 261 506 646

Gross NPA
Net NPA**

3,192
1,076

2,636
412

2,564
443

2,418
302

2,362
409

2,260
384

2,339
435

* CV / CE / STVL represents Commercial Vehicle, Construction Equipment and Small Ticket Vehicle Loan ** Net NPA = Gross NPA (Balance in Interest Suspense account + DICGC/ECGC claims received and held pending adjustment + Part payment received and kept in suspense account + total provisions held)
Private & Confidential

Development Credit Bank Limited

16

Yield, Cost of Funds and NIM


Net Interest Margin

3.41%
3.13% 3.10%

3.37% 3.12%

3.25%

3.18%

3.24%

3.38%

2.79%

FY 2010

FY 2011

Q1 FY12

Q2 FY12

Q3 FY12

Q4 FY12

FY 2012

Q1 FY13

Q2 FY13

Q3 FY13

Yield on Advances, Base Rate & Cost of Funds


12.93% 12.91% 12.60% 12.71% 12.69% 12.73%

12.33% 11.12%

11.86%

12.66%

9.00%

9.50%

10.00%

10.50%

10.50%

10.50%

10.50%

10.50%

10.50%

6.44%

6.67% 5.83%

6.98%

7.16%

7.57%

7.80% 7.11%

7.74%

7.73%

FY 2010

FY 2011

Q1 FY 12

Q2 FY 12

Q3 FY 12

Q4 FY 12
Cost of Fu nds

FY 2012
Base Rate

Q1 2013

Q2 2013

Q3 FY 13 17

Yield on Advan ces

Private & Confidential

Development Credit Bank Limited

Capital Adequacy Ratios


Capital Adequacy Ratios Basel II

14.85%

15.41% 13.25%
2.15%

13.30%
1.80%

2.92%

13.00%
1.85%

1.60%

14.49%
1.31%

13.97%
1.26%

13.71%
1.08%

11.50%

11.93%

11.10%

11.15%

13.81%

13.18%

12.71%

12.63%

Mar 31, 2009

Mar 31, 2010

Mar 31, 2011

Dec 31, 2011


Tier I

Mar 31, 2012


Tier II

Jun 30, 2012

Sep 30, 2012

Dec 31, 2012

In Q3 FY 2013 - DCB Bank raised INR 402 million through Preferential Allotment to increase its Tier I Capital

Private & Confidential

Development Credit Bank Limited

18

Other Income
INR mn Commission, exchange and brokerage Sale of investments Sale of land, buildings and other assets Exchange transactions Bad Debt Recovered Miscellaneous income Total FY 2010 682 178 (3) 68 14 136 1,075 FY 2011 683 253 11 90 6 78 1,121 Q3FY12 202 18 19 2 16 257 Q4FY12 230 26 (13) 21 7 10 281 FY 2012 786 118 (28) 69 10 49 1,004 Q1FY13 206 38 (2) 18 10 5 275 Q2FY13 217 22 (1) 6 19 12 275 Q3FY13 222 27 20 14 6 289

Private & Confidential

Development Credit Bank Limited

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Treasury
INR mn SLR Non-SLR Total Investments * HTM AFS HFT Total Investments * Mar 31, 2010 15,789 4,390 20,179 16,890 3,263 26 20,179 Mar 31, 2011 17,512 5,439 22,951 18,847 3,029 1,075 22,951 Mar 31, 2012 20, 219 4,959 25,178 20,845 3,541 792 25,178 Dec 31, 2012 21,501 5,562 27,063 21,455 5,008 600 27,063

* Represents Net investments (HTM Held To Maturity, AFS Available For Sale, Held For Trading)
Private & Confidential

Development Credit Bank Limited

20

Balance Sheet
Mar 31, 2010 5,990 47,873 5,035 2,447 Mar 31, 2011 6,187 56,102 8,607 3,205 Dec 31, 2011 6,561 61,912 10,455 3,652 Mar 31, 2012 8,585 63,356 11,235 3,565 Jun 30, 2012 8,772 68,294 10,101 3,807 Sep 30, 2012 8,990 71,370 8,801 3,792 Dec 31, 2012 9,660 75,582 7,175 3,990

INR mn Shareholders Equity Deposits Borrowings 1 Other Liabilities & Provisions 1

Cash, Inter-bank, etc Investments Advances Fixed Assets Other Assets

3,324 20,179 34,597 1,358 1,909

4,871 22,951 42,817 1,275 2,215

7,643 27,246 43,064 1,809 2,847

4,566 25,178 52,844 1,846 2,335

5,804 26,367 54,491 1,844 2,496

5,334 26,312 56,710 2,376 2,250

5,171 27,063 59,644 2,370 2,188

Credit Deposit Ratio

72.27%
Mar 31, 2010 16,927 30,946 47,873 35.36%

76.32%
Mar 31, 2011 19,755 36,347 56,102 35.21%

69.56%
Dec 31, 2011 20,478 41,434 61,912 33.08%

83.41%
Mar 31, 2012 20,347 43,009 63,356 32.12%

79.79%
Jun 30, 2012 20,662 47,632 68,294 30.25%

79.46%
Sep 30, 2012 21,723 49,647 71,370 30.44%

78.91%
Dec 31, 2012 21,823 53,759 75,582 28.87%

INR mn CASA Other Deposits Total Deposits CASA Ratio

1 : Subordinated Debt included in Borrowings since March 31, 2010 as per RBI guidelines, same included in Other Liabilities and Provisions in earlier periods
Private & Confidential

Development Credit Bank Limited

21

Profit & Loss


Q3 FY12 597 257 854 (629) 225 (69) Q4 FY12 570 281 851 (612) 239 (66) Q1 FY13 639 275 914 (666) 248 (59) Q2 FY13 670 275 945 (680) 265 (44) Q3 FY13 720 289 1,009 (692) 318 (49)

INR mn Net Interest Income Other Income Operating Income Operating Expenses Operating Profit Total Provisions

FY 2010 1,416 1,075 2,491 (2,008) 483 (1,268)

FY 2011 1,891 1,121 3,012 (2,152) 860 (646)

FY 2012 2,277 1,004 3,281 (2,443) 838 (287)

PAT
Cost Income Ratio

(785)
80.62%

214
71.43%

156
73.64%

173
71.90%

551
74.45%

189
72.85%

221
71.95%

269
68.52%

Private & Confidential

Development Credit Bank Limited

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Business Strategy

Private & Confidential

Development Credit Bank Limited

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89 Branches, Strong Presence in the Western Region


Branch Network
ANDHRA PRADESH: (10) Hyderabad (8) Warangal (2) GOA: (4) Mapusa (1) Margao (1) Panaji (1) Vasco -Da-Gama (1) GUJARAT: (16) Ahmedabad (3) Ankleshwar (1) Bhuj (1) Daman (1) Dediapada (1) Gandhinagar (1) Kadodara (1) Mandvi (1) Netrang (1) Rajkot (1) Sidhpur (1) Silvassa (1) Surat (1) Vadodra (1) Vapi (1) HARYANA: (1) Gurgaon (1) KARNATAKA: (4) Bengaluru (4) Kerala: (1) Kochi (1) MADHYA PRADESH: (2) Itarsi (1) Pipariya (1) MAHARASHTRA: (35) Aurangabad (1) Mumbai & Its Suburbs (28) Nanded (1) Nashik (1) Pune (4) NEW DELHI: (6) Chandni Chowk (1) Connaught Place (1) Greater Kailash II (1) Kapashera Road (1) Kondli (1) Preet Vihar (1) ORISSA: (1) Bargarh (1) Hinjilicut (1) PUNJAB: (1) Ludhiana (1) RAJASTHAN: (1) Jodhpur (1) TAMIL NADU: (2) Chennai (2) WEST BENGAL: (3) Kolkata (3)
24

Existing Branches New Licenses DCB ATMs **Network

89 5 296 35,000 +

* Branch locations as shown on the map are approximate may not represent the exact location ** Tie up with Euronet enables DCB Bank customers to access VISA ATMs across the world

Private & Confidential

Development Credit Bank Limited

Products & Services


Retail Banking
Deposit Products: Current and Savings Term Deposits NRI Deposits Corporate Salary POS Terminals Lockers Cards: ATM Card Debit Card Travel Card**** Secured Card Credit Card* Co-branded Prepaid Card** Payments: Remittances Bill / Utility Payments RTGS / NEFT On-line Share Trading/Demat Tax Payments Visa Money Transfer Loans: Auto Loans* Commercial Vehicle* Construction Equipment* Gold Loans Home Loans Loan Against Property Loan Against Shares Tractor Loans Wealth Management: Investment Advice Mutual Funds Life Insurance and General Insurance Services: 24/7 Phone Banking Any Branch Banking

SME, Corporate Banking, NBFCs, Co-operative Banks

Current Account Trade Current Account Working Capital Term Loans Supply Chain Portfolio Buyout Import /Export Bills Collection Foreign Exchange Letters of Credit Guarantees

Cash Management*** RTGS /NEFT Internet Banking

Treasury, NBFCs, Co-operative Banks

Privilege Banking
Internet Banking Mobile Banking

Statutory Reserves Management Liquidity Management Trading in Government Securities Foreign Exchange Corporate Bonds CDs Equity Investment

DCB offers a comprehensive range of products and services


*Offered to existing customers only. **DCB Bank launched its prepaid card with ITZ Cash, which is sourced from select ITZ outlet. *** DCB Bank has tie up with HDFC Bank and Axis Bank to provide customers with cash management facilities at over 500 locations across india. **** Launched on trial basis
Private & Confidential

Development Credit Bank Limited

25

Business Strategy
Grow Micro SME, SME, Retail Mortgages, Commercial Vehicle, Gold Loans, mid Corporate and Agri & Inclusive Banking with a customer centric approach. Concentrate on secured lending & diversified portfolio

Retail branch centric


- Low cost deposits (CASA / Term) - Secured lending (Home loans, Loan against property, Gold Loans, Loan Against Term Deposit) - Micro SME - Traditional customer base - Third party fee income

Treasury Liquidity management, opportunity for gains within acceptable


risks

Relentless focus on Costs / Income Ratio and Service

Stringent mechanism for managing Credit and Operational risks Continuously improve people quality and delivery
Private & Confidential

Development Credit Bank Limited

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Overview

Private & Confidential

Development Credit Bank Limited

27

Key Milestones
In Existence Since 1930s

1981

1984

1988

1995

Amalgamation of Masalawala Cooperative Bank and Ismailia Cooperative Bank into Development Cooperative Bank Ltd.

2004

2006

Multi-State Cooperative Bank

Acquired Scheduled status from Reserve Bank of India

Conversion to Development Credit Bank Ltd. Secured Foreign Exchange License & became an Authorized Dealer

Classified as a New Generation Private Sector Bank by the RBI

IPO

Tier I Capital Raising

2005

2006

2006

2007

2009

2012

Private Equity Investment by AKFED (Principal Promoter) of INR 1.38 bn in March 2005

Private Equity investment of INR 519.9 mn in February 2006

Raised INR 1.86 bn through IPO, issue oversubscribed 35 times

Preferential Allotment of INR 2.8 bn in Aug 2007

Raised INR 810 mn through QIP in November 2009 subscribed

Raised INR 940 mn through QIP and INR 988 mn through Preferential Allotment in March 2012. The Bank raised INR 402 mn via Preferential Allotment in December 2012

Private & Confidential

Development Credit Bank Limited

28

Strong Investor Profile


Shareholding Pattern (December 31, 2012)
Key non-promoter shareholders

*AKFED and PJI 18.48% ***Institutions 23.60%

Tano Mauritius India FVCI II : 4.77%


WCP Holdings III : 4.70% The South India Bank Ltd : 3.36% Al Bateen Investment Co LLC: 2.96% Tata Capital Financial Services Ltd: 2.63% TVS Shriram Growth Fund India : 2.51% Sundaram Mutual Fund A/c Sundaram Select Midcap : 2.22% HDFC Ltd: 1.62% Bajaj Allianz Life Insurance Company Ltd.: 1.47% Satpal Khattar & Shareen Khattar: 1.30% ICICI Prudential Life Insurance Company Ltd.:1.23% Dimensional Emerging Markets Value Fund: 1.12% Girdharilal V Lakhi and Vandana G lakhi: 1.02% Sundaram Mutual Fund A/c Sundaram Equity Multipier Fund : 1.01%


Bodies Corporate 10.46%

Others (NonInstitutions)** 10.90%

Shareholding Pattern
Individuals 36.56%

*AKFED Aga Khan Fund for Economic Development and PJI Platinum Jubilee Investment Ltd. **Includes Clearing Members (0.76%), Non Resident Indians (2.45%), Foreign Corporate Bodies (7.65%), Directors and their relatives (0.03%) ***Institutions includes 10.21% held by FII


Aga Khan Fund for Economic Development

DCB Bank is promoted by the Aga Khan Fund for Economic Development (AKFED) http://www.akdn.org/akfed AKFED is an international development enterprise. It is dedicated to promoting entrepreneurship and building economically sound companies

AKFED operates as a network of affiliates with more than 90 separate project companies employing over 30,000 people. The Fund is active in 16 countries in the developing world

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Experienced Board
Amin Manekia Altaf Jiwani C Narasimhan
Pioneered in concept of automatic beverage vending machines in India. More than 20 years in various capacities in different institutions of AKDN for the social-economic upliftment of the poor. With expertise in Foreign Exchange, Risk Management and Trade Finance. He is currently in-charge of two business segments namely power and carbo-chemicals. A professional Banker. With SBI, held very senior level responsibilities across all important functions. He was a permanent invitee of SBIs Central Board and Audit Committees and on the Boards of SBI Group Cos. Solicitor & Advocate of the Bombay High Court and Solicitor of the Supreme Court of England and Wales. Founder Partner of Udwadia and Udeshi. Independent Director on the Boards of several corporate entities. Qualified Chartered Accountant and Cost Accountant. Advisor to several Corporate Managements and High Net worth Individuals on investment strategy and acted as consultant to reputed Mutual Fund. Rich experience in accounting, audit and finance. Partner of over 37 years with M/s. Kalyaniwala & Mistry, a C. A. firm. Independent Director on the Boards of several corporate entities and boards of Public Trusts. Standard Chartered Bank, Citibank, American Express *29 years experience.

Darius Udwadia

Imran Contractor Keki Elavia

Nasser Munjee Non- Executive Chairman


Ex-Executive Director HDFC, instrumental in setting up IDFC. Sits on 15 corporate Boards in India including HDFC, Tata Motors, etc.

Murali M Natrajan Managing Director & CEO Nalin Shah

Retired partner of Deloitte Haskins & Sells and S. B. Billimoria Co. Member of Expert Advisory Committee and Past member of Accounting Standards Board of ICAI and Company Law Committee of the Bombay Chambers. Fellow of the Institute of Chartered Accountants of England & Wales (FCA). Currently working as Managing Director of Diamond Trust Bank of Kenya & Group CEO of Diamond Trust Banks in East Africa. Founder Partner of Economic Laws Practice, a law firm. Serves as an Independent Director on the Board of Phoenix Mills, India Advisory Board of Duke University, etc. Retired as Chairman and Managing Director of Central Bank of India. Has also served as the Chairman and Managing Director of National Housing Bank (NHB) and Executive Director of EXIM Bank. Started career with SBI. Associated with ANZ Grindlays Bank plc for over 30 years. Last assignment with Grindlays as Head Corporate Banking & Investment Banking. Independent Director on the Boards of Diamond Trust Bank Kenya & Greaves Cotton.
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Nasim Devji

Suhail Nathani S Sridhar

Sukh Dev Nayyar


* Worked in India & Abroad
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Strong Management Team


Ajay Mathur Head Collections CGSL and Citibank 20 yrs exp Abhijit Bose Head Retail Assets & Strategic Alliances Standard Chartered Bank, Citibank, Eldeco Housing Industries and GIC Housing *20 yrs exp. Gaurav Mehta Head Marketing, Corporate Communication & Public Relations HSBC India, Convergys, GE Capital and Taj Group of Hotels 17 yrs exp.

J. K Vishwanath Chief Credit Officer Fullerton India, Citigroup and Eicher Group 19 yrs exp.

Bharat Sampat Chief Financial Officer ABN Amro Bank, Standard Chartered Bank, ANZ Banking Group, Hoechst India *28 yrs exp.

Manoj Joshi Business Head SME & MSME Banking ICICI Bank, Epcos Ferrites and Uniworth Group 17 yrs exp.

Narendranath Mishra Head - AIB ICICI Bank and Rallis India 13 yrs exp.

Murali M. Natrajan Managing Director & CEO Standard Chartered Bank, Citibank, American Express *29 yrs exp.

Praveen Kutty Head Retail & SME Banking Citibank *21 yrs exp.

Rajesh Verma Head - Treasury & Corporate Banking

State Bank of India *33 yrs exp.


R. Venkattesh Head - HR, IT & Operations Standard Chartered Bank, ANZ Grindlays Bank, Hindustan Petroleum 22 yrs exp.

Sachin Patange Chief Compliance Officer Reserve Bank of India 22 yrs exp.

Ravi Kumar Chief Internal Auditor Samba Financial Group, Ernst & Young *15 yrs exp.

Sukesh Bhowal Head - Mortgages


Times Bank Ltd., HSBC Ltd, Citibank and HDB Financial Service LTd. 16 yrs exp.

Sridhar Seshadri Financial Controller ICICI Bank, Syndicate Bank and State Bank of India 30 yrs exp.

Hemant Barve Company Secretary Ritchie Steuart Investments and Union Bank of India 38 yrs exp.

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* Worked in India & Abroad Only key profiles represented

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* Worked in India & Abroad

Ratings

Jul 31, 2009 CRISIL

Sep 30, 2011

Dec 31, 2012

- Long Term
- Short Term Brickworks

BBB/Stable
P1 BWR A-/Stable

BBB +/Stable
A1 BWR A-/Stable

BBB +/Positive
A1 BWR A-/Stable

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Thank you

Private & Confidential

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