Annual Report 2012

Sacombank | Annual Report 2012 | New Direction with Strong Values

266 - 268 Nam Ky Khoi Nghia Street, Ward 8, District 3, HCMC I Hotline: 1900 5555 88 Fax: (+84) 83 9320 424 I Email: info@sacombank.com I Swift Code: SGTTVNVX

DIRECTION NEW WITH VALUES

Our success is built upon the strong values we created for our customers, shareholders, employees and the community. With strong values such as strong foundation, strong enterprise, strong capabilities, strong capital and strong commitment, we are able respond swiftly to market dynamics with new direction in the areas of product innovation, business breakthrough, market frontiers, investment opportunities and sharing hope with the community. We are Sacombank.

TABLE OF CONTENTS

NEW DIRECTION WITH STRONG VALUES 3 Message from the Chairman of the BOD

NEW INNOVATION WITH STRONG FOUNDATION 7 8 10 12 Vision - Mission - Core Values General information Incorporation and development historical milestones Network

STRONG

NEW BREAKTHROUGH WITH STRONG ENTERPRISE 15 16 18 26 30 34 Financial indicators Strategic orientation for the 2011-2020 period Business performance in 2012 Business plan for 2013 2012 event highlights 2012 awards NEW FRONTIERS WITH STRONG CAPABILITIES 37 38 44 46 50 53 Organization structure About the BOD and its report About the BOS and its report About the BOM Matters related to the BOD, BOS and BOM Risk management in 2012 Human resources management

NEW OPPORTUNITIES WITH STRONG CAPITAL 57 Information for shareholders 60 Performance of STB shares in 2012 63 Performance of Subsidiaries

EDITORIAL TEAM CHIEF EDITOR Mr. Phan Huy Khang Chief Executive Officer DEPUTY CHIEF EDITOR Mr. Ha Van Trung Deputy CEO cum Finance Director MEMBER Ms. Tran Thi Binh Communications & Marketing Manager DESIGNED & PRODUCED by Aquarius Vietnam

NEW HOPE WITH STRONG COMMITMENT 65 Sustainable development report 67 Joining hands for the community

2012 FINANCIAL STATEMENTS 71 83 174 176 Separate financial statements Consolidated financial statements Notes to the consolidated financial statements Explanation about the consolidated financial statements Distribution network

Annual Report 2012

MESSAGE FROM THE CHAIRMAN

Over 21 years of incorporation and development (21st December 1991 21st December 2012), through all the ups and downs, Sacombank of today is proud to hold the position of one of the leading Vietnamese commercial joint stock banks...
Dear shareholders, investors and strategic partners, Over 21 years of incorporation and development (21st December 1991 21st December 2012), through all the ups and downs, Sacombank of today is proud to hold the position of one of the leading Vietnamese commercial joint stock banks, with total assets of over VND150 trillion, equity capital over VND14 trillion and especially a large network of 420 business locations in 48 out of 63 provinces and cities of Vietnam and in Laos and Cambodia. In 2012, despite various difficulties and challenges, Sacombank still maintained its growth rate, expressed in material indicators, such as deposit in economic organizations and residents grows by over 24%, loan growth by over 20%, bad debts controlled at the safe level in accordance with the regulations of the State Bank of Vietnam. As for profits, under the slogan of Side by side, we grow and sharing with customers to go through the temporary hard time of the economy, by means of product packages with preferential interest rates, preferential service fees and low-interest-rate credit packages exclusively for small and medium-sized enterprises and home businesses recently, Sacombank reserved the provision above prudent rate at more than VND2,000 billion; hence its profits before provision for risks amounted to VND1,315 billion and profits before tax were 39% of plan; this figure was much lower than initially expected, but was fairly satisfactory compared with the general level in the banking sector and some banks of the same scale, given the difficulties of the economy. Implementing the policies of the Government, since 2012, Sacombank has conducted comprehensive thorough restructuring. In terms of corporate governance, Sacombank conducted a restructuring from financial portfolio to business model.
VND10,740 BILLION VND13,414 BILLION VND151,282 BILLION
CHARTERed CAPITAL EQUITY CAPITAL TOTAL ASSETS

PROFIT BEFORE TAX

VND

1,315

BILLION

As for the Banks Development Strategy for the 2011-2020 period, it will persistently pursue the orientation To be the first modern universal retail bank in the region, with the strong focus on efficiency and sustainability. Key points in the Development Strategy for the new period include labor productivity improvement, effective cost management and innovation of management methods and business processes, maximization of value and benefits for customer, in parallel with corporate governance improvement in order to ensure safer and more efficient operation.

Annual Report 2012

In 2013, despite great difficulties, the world economy is forecast by international organizations to grow higher than in 2012. Along with the general objectives set out by the Government and the focal tasks of the Banking Sector in 2013, Sacombank has set out its orientation for 2013, i.e. SUSTAINABLE GROWTH AND REASONABLE EFFICIENCY. Accordingly, Sacombank will focus on: (i) prudent credit growth, in line with the orientation of the Banking Sector; (ii) step-by-step increase in the percentage of non-interest incomes to reach the sustainable income structure; (iii) investments in focus network expansion and increase in in-depth investments; (iv) innovations for a lean organization structure, with an expansion of the sales force. Sacombanks achievements today are based on the zeal and trust in the development strategy of the Board of Directors, the Board of Supervisors, the Board of Management and more than 10,000 employees of Sacombank in different periods; the strength of a broad transaction network; the financial strength; the modern technology system; the Leaderships professionalism and proficiency shown in corporate governance and control and the dedication to client service by the well-trained employees of Sacombank. Moreover, Sacombanks success results from the care and support from the State authorities; timely support and communication by the mass media agencies; the trust and good cooperation by investors and partners; and especially the trust, cooperation and loyalty of almost 2 million customers who are enterprises and individuals across the country, as well as in Laos and Cambodia. This is also a firm foundation strong motive force for us to confidently

and well fulfill the business plan for 2013. On behalf of the Board of Directors, the Board of Supervisors, the Board of Management and all the employees across the Sacombank network, I would like to take the honor to recognize and express my gratitude to you all for your valuable contributions and support for Sacombank in the past. From the foundation built by Sacombank over the past 21 years, we will continue to preserve, promote and improve the good values, and adjust, in a timely manner, the operational shortcomings and defects in order to keep up with the development trends of the domestic and international finance and banking sector and develop Sacombank into a regional-level retail bank. In order to soon materialize Sacombanks objectives, we hope and believe that we will continue to enjoy your support, cooperation, trust and loyalty in Sacombanks journey to development in future. Yours faithfully, For the Board of Directors Chairman

63,894
SHAREHOLDERS

2,000,000
CUSTOMERS

SACOMBANKS BUSINESS ORIENTATION FOR 2013 IS SUSTAINABLE GROWTH AND

PHAM HUU PHU

REASONABLE EFFICIENCY.

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Annual Report 2012

NEWINNOVATION WITH STRONG

FOUNDATION
Sacombank has had a strong foundation after 21 years operation, with over 10,000 employees, 416 business locations, modern technology system and stable financial capabilities. All is ready for its new innovations.

V ISION
To be the first modern universal retail bank in Vietnam and the region

C ORE VALUE
1. Pioneering to be an explorer and accept challenges to discover new horizons 2. Novel, Dynamic and Innovative to turn difficulties and challenges into growth opportunities 3. High Commitment with the highest professionalism, dedication and prestige towards customers and partners 4. Social Responsibility under its slogan: Side by side, we grow 5. Making a Difference with innovative breakthroughs in Products, Business Methods and Corporate Governance Models

M ISSION
yy Constantly maximize value for customers and shareholders yy Bring value to staff in terms of career development and wealth yy Contribute to the development of the community

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General information

Vietnamese name: English name: Abbreviated name: Head office: Telephone: Fax: Website:

Ngn hng Thng mi C phn Si Gn Thng Tn Saigon Thuong Tin Commercial Joint Stock Bank Sacombank 266-268 Nam Ky Khoi Nghia Street, District 3, HCMC (+84 8) 3932 0420 (+84 8) 3932 0424 www.sacombank.com.vn

Email: info@sacombank.com

Date of incorporation: 21 December 1991 Chartered capital: Date of listing: SWIFT code: Tax code: VND10,739,676,640,000 (as at 31 December 2012) 12 July 2006 SGTTVNVX 0301103908

Banking operations
Receipt of demand deposits, term deposits, savings deposits and other types of deposits. Issuance of certificates of deposit, bills of exchange, bills of credit, bonds for raising funds domestically and abroad. Grant of credit in the form of: - Lending; - Discount and rediscount of commercial instruments and other valuable papers; - Banks guarantee; - Credit card issuance; - Domestic factoring and forfeiting; international factoring and forfeiting with respect to banks allowed for international payments; - Other forms of credit granting upon approval from the State Bank of Vietnam. Opening of payment accounts for customers. Provision of payment facilities. Provision of the following payment services: - Rendering domestic payment services, including cheques, payment orders, bankers orders, bank collection, letters of credit, banking cards, entrusted collection and payment services; - International payment services and other payment services upon SBVs approval.

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INCORPORATION AND DEVELOPMENT HISTORICAL MILESTONES

SACOMBANK WAS THE FIRST BANK TO ISSUE SHARES at a par value of VND200,000 per share to the public to raise capital. SACOMBANK OPENED A BRANCH IN LAOS AND STARTED ITS MARKET EXPANSION PLAN ACROSS THE INDOCHINA REGION. Sacombank was the first Vietnamese commercial joint stock bank to open a branch in Laos, contributing to the promotion of Vietnam-Laos trading and investment cooperation relationships. Following the success of the Laos Branch, on 23 June 2009, Sacombank continued to expand its operations into Cambodia, marking the completion of its market strategy in Indochina. PROMOTING INTERNATIONAL COOPERATION, Sacombank was the first Vietnamese enterprise to be allowed to incorporate the VietFund Management Company (VFM), a joint venture between Sacombank and Dragon Capital.

Structural change of Shareholders and the BOD to move to a new development period by succeeding previous development strategy and supplementing new appropriate elements.

SACOMBANK WAS ONE OF THE FIRST COMMERCIAL JOINT STOCK BANKS TO BE INCORPORATED in HCMC through the merger of Go Vap Bank for Economic Development and 3 credit cooperatives: Tan Binh, Thanh Cong and Lu Gia Cooperatives.

SACOMBANK WAS THE PIONEER BANK TO RECEIVE INVESTMENT CAPITAL FROM FOREIGN SHAREHOLDERS. The first foreign shareholder was the financial group Dragon Financial Holding (UK), which contributed 10% of the chartered capital. This was followed by capital contribution from the International Financial Corporation (IFC) and ANZ Bank, raising the foreign shareholders capital to 30% of the chartered capital.

SACOMBANK OPENED A BANKING MODEL FOR WOMEN. This was the first exclusive banking model for women in Vietnam, and was set up by Sacombank for the development of modern Vietnamese women.

SACOMBANK COMPLETED ITS CORE BANKING SYSTEM UPGRADE FROM SMARTBANK TO T24, VERSION R8 over its entire system, and opened and put into operation the first international-standard modern Data Center among the commercial joint stock banks of Vietnam in 2008.

1996
SACOMBANK WAS THE FIRST COMMERCIAL JOINT STOCK BANK OF VIETNAM TO BE LISTED on the stock exchange with total listed shares valued at VND1,900 billion. The listing of Sacombanks shares (trading symbol STB) on the Stock Exchange of HCMC is evidence of Sacombanks prospects for development, and safe and sustainable growth.

SACOMBANK OPENED ITS HANOI BRANCH, CREATING SIGNIFICANT OPPORTUNITIES FOR GROWTH IN THE NORTHERN VIETNAM MARKET. As the first commercial bank in HCMC to have a branch in the capital city, Sacombank was a pioneer in providing quick money transfer services between Hanoi and Hochiminh City, reducing the use of cash between the countrys two biggest economic hubs.

SACOMBANK WAS THE FIRST BANK TO ESTABLISH CREDIT GROUPS OUTSIDE ITS URBAN MARKET COVERAGE (where no Sacombank Branches were based) to meet capital needs in rural communities and contribute to the improvement of the living conditions of farmer households and the reduction of usury in the economy.

THE DIVERSIFICATION OF SACOMBANKS FINANCIAL SERVICES AND PRODUCTS STARTED with the incorporation and operation of Sacombank Asset Management Company (SacombankSBA). This was followed by the incorporation and operation of other companies specializing in the money remittance sector (Sacombank-SBR), finance lease sector (SacombankSBL), and the gemstones and jewelry sector (Sacombank-SBJ).

SACOMBANK LAUNCHED ITS CORE BANKING SYSTEM through cooperation with Temenos Company (Switzerland). This investment marked Sacombanks commitment to improving management and operational quality, promoting electronic banking services and getting ready to approach the new-generation advanced banking technology in order to optimize banking operations for strong development in subsequent years.

SACOMBANK INCORPORATED A WHOLLY FOREIGN-OWNED BANK IN CAMBODIA This important event marked the transition to a new phase in the development and performance improvement strategy of Sacombank in Cambodia in particular and in Indochina in general, thus further promoting the good trading relationships of the business communities between Vietnam and Cambodia.

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NETWORK

Sacombank Network Interbank Transaction Offices

Archipelago

201 1

2012

business locations

416 780 3,155

ATM POS
As at 31 December 2012

Archipelago

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BREAKTHROUGH WITH ENTERPRISE

NEW

FINANCIAL INDICATORS

STRONG

Unit: Billion YEAR-ENd Total Assets Equity Capital Chartered Capital Total Deposits 2008 67,469 7,638 5,116 58,635 33,708 2009 2010 2011 2012 151,282 13,414 10,740 123,753 98,728

98,474 141,799 140,137 10,289 6,700 13,633 9,179 14,224 10,740

86,335 126,204 111,513 55,497 77,486 79,429

As one of the first commercial joint stock banks established in HCMC in 1991, Sacombank has become a pioneer in having flexible business solutions, issuing shares and getting listed on the stock exchange, receiving capital from foreign strategic partners, initiating banking models exclusively for women and the Chinese-speaking community, expanding business to Laos and Cambodia, etc. Pioneering and innovating continue to be among the core values of Sacombank in its new journey.

Total Loans ENTIRE yEAR Total Income Total Expenses Profit before Tax Profit after Tax Earnings per share (VND) (Based on the Consolidated Financial Statement)

8,377 7,286 1,091 973

8,489 6,588 1,901 1,484

12,774 10,348 2,426 1,799

18,729 15,989 2,740 2,033

17,619 16,304 1,315 987

1,896

2,771

2,373

2,241

1,029

FINANcIAL RATIOS Capital Adequacy Ratio (CAR) (at least 9%) Loans/Assets Loans/Deposits Non-performing Loan (NPL) Overdue Debts/Outstanding loans Non-interest income/Total operating income Operating expenses/Total expenses Earnings assets/Total assets Return on Equity (ROE) Return on Assets (ROA)

2008 12.16% 50% 57% 0.62% 0.99% 57% 15% 82% 13.14% 1.49%

2009 11.41% 56% 64% 0.69% 0.88% 41% 22% 85.00% 16.56% 1.79%

2010 9.97% 54.64% 61.40% 0.52% 0.56% 30.00% 18.78% 85.64% 15.04% 1.50%

2011 11.66% 57% 71% 0.56% 0.85% 16% 21% 84.36% 14.60% 1.44%

2012 9.53% 65% 80% 1.97% 2.39% 7.36% 25.10% 86.37% 7.15% 0.68%

* The financial indicators used in this Annual Report withdrawed from Sacombank 2012s Audited Single-Entity Financial Statements (Excluding the Performance of Subsidiaries).

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STRATEGIC ORIENTATION FOR THE 2011-2020 PERIOD

Since 2012, Sacombank has conducted comprehensive thorough restructuring. In terms of corporate governance, Sacombank conducted a restructuring from financial portfolio to business model. As for the Banks Development Strategies for the 2011-2020 period, it will persistently pursue the orientation To be the first modern universal retail bank in the region. The Banks seven groups of strategic objectives continue to be performed, but with proper adjustments in terms of priority level and schedule of implementation in line with actual conditions. Human resources strategies are critical to the success of any organization, including Sacombank. In 2012, the Bank continued to boost human resources training and improvement in order to improve employee productivity and selling skills. Information technology strategies aim to ensure information technology is the foundation for modernizing the Banks network, expanding business partnerships and increasing utilities of products and services, as well as boosting the development of card and electronic banking products and services for strong growth in future. The objective of improving employees productivity will be achieved through utilising the technology infrastructure. The most important thing is to accelerate the progress of implementation of data

exploitation projects in support of corporate governance, risk management, customer relationship management and effective resources allocation. Financial strategies continue to develop a low-risk and sustainable financial structure. The Banks AssetLiability portfolio will be strongly restructured in order to increase the percentage of profitable assets, improve the imbalance of terms between liabilities and assets, and improve the efficiency of use of capital resources through concentrating capital resources on core businesses. Furthermore, the efficiency of use of capital resources must be properly calculated and specifically analyzed for each business and each product line to boost the performance. Distribution channel strategies are implemented with the aim of strengthening and developing the existing network, especially the network of Transaction Offices, in order to increase business activities, improve competitive edge, gain market share and expand market coverage. This is the period of improving the quality and efficiency of the distribution network. In the short term, Transaction Offices will be upgraded into miniature branches thus increasing competitiveness and business performance in each geographical area. Business strategies will focus on retail activities, development of the personal customer base in order

to create a stable basis for business activities. Fullpackage selling programs and increases of utilities for customers will be prioritised in order to maximize value to the customer. The target is that 100% of customers use at least two products or services of Sacombank. In addition, marketing strategies will be managed on a centralized basis, and internal and external communications will be increased to promote the brand and corporate culture of Sacombank. Product and service strategies aim to improve the retail objective with a gradual increase in the percentage of service incomes in the income structure. Products and services must serve the objective of maximizing use of products and services by customer and are designed with multi-utility features in order to increase the frequency of use by customers. Especially, products and services must be unique and distinctive to improve the Banks competitiveness in the market, thus resulting in growth breakthroughs for the Bank. Governance strategies continue the restructuring of the Banks organization for leanness and efficiency, an increase in the percentage of resources used for the sales force to improve marketing and product distribution capabilities. In the centralized governance model from the Headquarters to each business location, intermediate-level management will be enhanced;

checks and corrections will be boosted; and alerts and self-checks will also be promoted in order for making proper decisions. In general, Sacombanks Development Strategies for the 2011-2020 period focus on efficiency and sustainability. Emphases in the Development Strategies for the coming period include improvement of employees productivity; focus on effective cost management and innovation of governance methods and business processes; maximization of revenue per customer; as well as improvement of corporate governance activities with a view to ensuring safer and more efficient operations.

Sacombanks Development Strategies for the 2011-2020 period focus on efficiency and sustainability.

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BUSINESS PERFORMANCE IN 2012

BUSINESS PERFORMANCE IN 2012

1. Total assets: Sacombanks total assets as at 31 December 2012 reached VND151,282 billion, an increase of VND11,145 billion, or 8%, from the beginning of the year. The structure of total assets changes with improvement of stability and safety criteria: Deposits from the market accounted for 76% of total assets, so the Bank enjoyed stable liquidity and was always ready to meet funding demands as well as cope with market changes. 2. Deposits: As at 31 December 2012, total deposits across the Banks system reached VND123,753 billion, an increase of 11% from the beginning of the year. Deposits from economic organizations and residents amounted to VND114,863 billion, an increase of 24% from the beginning of the year, and accounted for 3.6% of market share. Deposits in VND grew by 32% from 2011, equal to 105% of growth target for 2012. There were nearly 1.8 million depositors, an increase of 34% from the beginning of the year; these were mostly personal customers (an increase of over 435,000 people) and accounted for 97% of total number of customers. There were positive changes in deposits, which were in line with Sacombanks retail orientation and the monetary management viewpoint of the SBV. On the other hand, the economys recovery remains uncertain and cash flows in the economy have not been completely smooth, so the focus on stable growth of deposits from residents is a sustainable and highly feasible option. To achieve this result, Sacombank has constantly developed proper products and focal stimulus programs for each market segment with flexible interest rates, promoted the advantages of the Banks brand and broad network, introduced internal incentives, expanded the sales force and improved employees selling skills in order to grow deposits at business units. 3. Credit operations: As at 31 December 2012, total lending balance reached VND94,080 billion, representing 62% of total assets, an increase of VND15,631 billion, or 20% - twice as much as the growth rate of the banking industry (around 8.9%). Sacombank obtained a lending market share of

3.17%, slightly higher than at the beginning of the year. Although the targeted group of borrowers was narrowed down due to the credit tightening policy of the SBV and stagnation in the manufacturing industry, and funding demands almost fell to the bottom of the market, Sacombank enjoyed satisfactory lending balance growth. The loan structure was improved, reflecting the Banks efforts in meeting requirements on improvement of credit quality and capital use efficiency: Debt balance in VND sharply increased. This was in accordance with the Governments efforts in shifting currency transactions to the local currency and aimed at consistency with the current deposit structure of Sacombank. Distributed lending continued to be strengthened with measures for boosting lending to personal customers which has had good interest rate margin and low risks and served as a firm foundation for the Banks operations. This orientation helped satisfactorily meet market demands. For example: personal customers debt balance grew steadily month by month, the number of personal customers increased by 13,000 people from the beginning of the year; their loans were mostly to finance small business and production activities. Credit quality: In the context of many enterprises going bankruptcy and bad debts becoming a big problem of the economy, Sacombank focused on prevention and handling of past-due debts, conducted close and smooth monitoring of past-due debts in each location, added members and rules of operation to the Subcommittee for Prevention and Handling of Past-due Debts, applied flexible measures in disposition of assets used for offsetting debts, rewarded business units which have handled well past-due debts, etc. As a result, the percentage of past-due debts of Sacombank was well controlled and stayed in the lowest group in the banking industry. As at 31 December 2012, Sacombank pastdue debts accounted for 2.39% and bad debts 1.97%. 4. Service business: Sacombanks total net revenues from services in 2012 were VND724 billion, accounting for 11% of total revenues. Of this, revenues from International Payment Services accounted for a large percentage; international payment revenues reached US$5,722 million, a decrease by US$93.6 million (or -2%) from

2011. However, the structure of international payment revenues was improved, with a strong increase in exports, reducing the gap of exports to imports which prevailed like in previous years. Especially, remittance revenues sharply increased and reached VND4,294,897 billion, an increase of VND448,054 billion, equivalent to 11.6%, from 2011. With efforts to gradually shift business activities away from dependence on credit incomes and boost modern banking services, Sacombank has focused on developing the retail segment, providing the market with financial services packages at reasonable prices, making a difference in products and services, innovating remittance products on the basis of exploiting the advanced core banking applications and taking advantage of the broad network nationwide and abroad, in order to deliver practical efficiency and improve the Banks competitiveness. As a result, the ratio of service incomes to total incomes has been gradually improved compared with previous years.

TOTAL DEPOSITS FROM ECONOMIC ORGANIZATIONS AND RESIDENTS REACHED VND114,863 BILLION, an INCREASE OF 24% FROM THE BEGINNING OF THE YEAR.

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BUSINESS PERFORMANCE IN 2012

(continued)

5. Card and electronic banking services: The total number of cards in circulation up to 31 December 2012 had been 1.5 million, an increase of nearly 610,000 cards (+67%) from the beginning of the year. Debit cards accounted for 81.8%, credit cards 7.5% and prepaid cards 10.7%. There were totally 780 ATMs, an increase of 29 units; and 3,155 POS, an increase of 1,134 units, from the beginning of the year; With the aim of bringing Sacombanks card products to the leading position among commercial joint stock banks of Vietnam, the Card Center has made positive changes in its operations: reducing costs, improving employees productivity, strongly increasing the number of cards in circulation, developing new card products and services, and increasing revenues and profit. Accordingly, total profit from card services grew impressively at a monthly average of over VND10 billion per month during the last months of the year, an increase of 2.8 times as much as in the first months of the year. Total revenues from card services reached VND169 billion, an increase of 30% from 2011, and accounted for 23% of total service revenues of the Bank. This result was equal to 103% of target in 2012; Profit before tax was valued at VND84 billion, an increase of 120 times as much as in 2011, and was equal to 144% of target. It is proved that promoting card service business is the right choice and meets market demands. In addition, electronic banking services have recently seen positive and promising innovations in terms of service quality and business performance. Thanks to successfully implemented solutions (the Project for improvement of Internet Banking (IB) business performance, partnership with Infosys in preparation for upgrading the electronic banking system, sales promotion programs that meet the tastes of customers, etc.) impressive results have been achieved from electronic banking services: the number of IB transactions were 371,493, an increase of 200% from 2011 (or 251,493 IB transactions) and equal to 170% of target in 2012; Revenues from IB services amounted to around VND22.5 billion, 3.3 times as much as in 2011. 6. Business operation results: In 2012, difficulties of the economy have penetrated into almost all industries, shown in stagnation in business and production activities, increases in inventories and

past-due debts, many enterprises going bankrupt, etc. Therefore, the Government has introduced various solutions to addressing economic difficulties, in which accompanying and supporting enterprises was one of the requirements set out by the SBV for commercial banks. Accordingly, last year Sacombank supported and shared difficulties with enterprises across the country by maintaining reasonable interest rates; providing various credit packages with preferential interest rates to stabilize and stimulate manufacturing and create jobs for people; launching sales promotion programs with many partners for valorization and stimulation of consumption. Along with the objective of ensuring operational safety and increasing financial capabilities, the Bank made full provision for risks in accordance with the regulations of the SBV. Therefore, Sacombank only earned VND1,315 billion of profit before tax in 2012, equal to 39% of target in 2012. Although the Bank failed to earn targeted profit before tax in 2012, its core business profit remained stable and grew positively to reach 100% of target. This was a satisfactory result compared with the average result of the banking industry and that of some other banks of similar scale. This would be a firm foundation for Sacombank to grow safely and sustainably in subsequent years.

INVESTMENTS
In 2012, Vietnams economy saw many difficulties; high inflation rates; large inventories of enterprises remaining; reduced production scale; ceased operations or bankruptcies of enterprises; a frozen real estate market; and great changes in the stock market that worried investors. Facing these difficulties, Sacombank showed strong compliance with the States regulations and developed internal processes to ensure safety and improve efficiency in its investments. Sacombank also made timely decisions and conducted initial revaluation and restructuring of its investment portfolio to secure capital safety and create a firm foundation for its investment activities at present and in future. Up to 31 December 2012, Sacombanks investments have had significant contributions to its total incomes: yy Income from debt securities trading: VND2,475 billion; yy Income from capital securities trading: VND75,180 million; yy Provision for capital VND458,683 million; securities trading:

yy Income from capital contributions and buying shares: VND155,615 million; yy Provision for capital contributions and buying shares: VND140,785 million; In 2013, the countrys economy is forecast to continue to face great difficulties and unstable growth, which will significantly affect the investment activities of the Bank. Therefore, in addition to focusing on recovery of poorly-performing investments, Sacombank will continue to concentrate on restructuring its investment portfolio, target at highly profitable industries and control tightly capital resources to ensure compliance with regulations of the State Bank on investments, as well as maximize profit for the Bank.

Total revenues from card services reached

VND

an increase of 30% from 2011, and accounted for 23% of total service revenues of the Bank.

169

billion

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BUSINESS PERFORMANCE IN 2012

(continued)

2. Planning:

many proJects for banking technology modernization were implemented successfully, ensuring timely connection between business processes and new products, improving the performance of servers and availability of application systems...

Planning activities saw a new advancement. The Online Planning Program has been studied, developed and applied successfully across the Banks system, reducing time for data entry and summary. This program features real-time interaction between coordination and implementation units, and provides a convenient platform for evaluation and management of plans flexibly, quickly and accurately. Business targets set out are fair, advanced and accordant with the economic characteristics of each geographic area and the actual capabilities of each business unit, while satisfying Sacombanks general development requirements. In addition, depending on the actual situations of each business units and in each period, the Banks reward policy and the emulation programs among Divisions/Regions have been constantly innovated, and become real motive force for business units to strive for fulfilling their tasks. 3. Implementation of projects for banking technology modernization: In 2012, many projects for banking technology modernization were implemented successfully, ensuring timely connection between business processes and new products, improving the performance of servers and availability of application systems, expanding capabilities of meeting the requirements for transactions through automatic channels (Internet Banking, Mobile Banking, and SMS), expanding business and card service partnerships, upgrading the Sacombank Website, and supporting the programs of banking operation units. 4. Risk management: Risk management was conducted smoothly across the Banks system. The Automatic Credit Rating System was deployed successfully, and nearly 100% of new customers (local and overseas) have been rated and updated continuously to the system. With the consultancy of E&Y Company, Sacombank has completed its Expected Loss Calculation System used in credit granting as an important basis for minimizing credit risks at the Bank. Furthermore, focal risk management programs (the CIC Program, the Operational Risk Management System, and the Environmental Impact Assessment System) have provided active support for solutions to handling past-due debts and bad debts. As a result, the Banks past-due debts and bad debts were well controlled at fairly low levels compared with the entire banking industry.

ACHIEVEMENTS
1. Restructuring: Restructuring is conducted on a frequent and continuous basis, requires much thinking and must be in accordance with actual business operation conditions of Sacombank. In 2012, Sacombank conducted a restructuring covering all the 3 lines of Head Office Regions Branches for a lean organization and ensuring the principle of Consistent organization Centralized management Decentralized operation as well as clear segregation of the 3 areas of Business - Support - Monitoring. The restructuring was on schedule and in line with the roadmap set out. Restructuring plans all aim at customer orientation, expanding the workforce in charge of direct business operation activities, improving service quality and competitiveness, reducing costs, improving employees productivity, and ensuring tight control of risks within business units. So far, the new operation framework on all 3 lines across the Banks system has shown some advantages and delivered practical efficiency to the Bank.

5. Self-inspection and self-correction: Sacombank has been interested in conducting selfinspection and self-correction for years. As a result, business units are always highly self-conscious in improving themselves, enhancing business ethics for their employees and ensuring operation safety for the entire system. In addition to inspections at the Head Office, Regional Offices frequently coordinated with banking operation units to conduct periodical and extraordinary inspections at business locations to detect, alert and prevent in a timely manner risks and corruptions. Therefore, regulations of Sacombank, the banking industry and the State have always been strictly complied with. Moreover, Internal Auditors have coordinated with the State authorities in audits and inspections, and disclosed information transparently in compliance with banking practices.

6. Human resources management and training: The human factor is always the first priority of Sacombank in its development strategies. In 2012, the Bank launched the Online Individual Performance Evaluation Program, built the Competence Standards for Managerial Officials, innovated the Sacombank Potential Interns Program, organized the Sacombank Talent Contest, completed and put into use the E-learning Textbooks, the Framework Training Program Textbooks, developed in-house trainer teams in each Region, provided many richly informative training courses that meet general demands, etc. All is aimed at stabilizing and developing the human resources. By late 2012, Sacombank had 10,419 employees, an increase of 759 people (+7.9%) from 2011. The Bank also provided 1,663 training courses with 33,618 attendances by employees, and developed an in-house trainer team of 660 members.

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BUSINESS PERFORMANCE IN 2012

(continued)

7. Brand promotion activities: Information about Sacombank was frequently monitored, processed and provided in full to regulatory agencies and the mass media; Sacombanks brand and images have been expressed with increasing professionalism. With information technology support, the internal communication channel for employees worked effectively, as well as with innovations in organization, the emulation movements were warmly accepted by employees across the Banks system, and have become a sound playground for them. Moreover, through communications, positive contributions by Sacombank to the banking industry and the community in the period of 2011-2012 were recognized by the State authorities and financial institutions through local and international awards, including: 4 foreign awards and 7 local awards, plus Emulation Flags and Certificates of Merit from the Government, the State Bank of Vietnam, the Peoples Committees of provinces and cities.

8. Product and service research and development, and expansion of the customer base: This is a focal task in Sacombanks business development strategies since 2012. Accordingly, review/improvement of the existing set of products and services, research, development and launch of new products, and issue of multi-utility product and service packages to keep and develop customers, etc. were performed well last year. With strong support from information technology, added-value products, services and frameworks for customers were adjusted and deployed to attract long-term and stable deposits from residents for use in distributed lending activities and meet market demands. Furthermore, products and services for corporate customers were developed in cross-sale packages by segment, industry and group of customers. Structured and derivative products were also developed for the International Payment and Remittance Service businesses (interest rate swaps, UPAS, etc.). 9. Network development and improvement: In 2012, Sacombank officially opened and put into operation 8 business locations, including 1 Branch (the Ha Tinh Branch), 6 Transaction Offices in Vietnam and 1 Branch in Cambodia (the Kampong Cham Branch, bounded by Central Highlands provinces of Vietnam), raising the total number of business locations of the Bank to 416, present in 48 out of 63 provinces and cities of Vietnam and in the two neighboring countries: Laos and Cambodia. In general, the network development task was well prepared and implemented on schedule, with new offices put into operation as soon as legally qualified. In parallel with establishment of new business locations for market expansion and market share growth, the Bank had plans to improve the performance of its existing Transaction Offices to boost intrinsic strengths and exploit inherent potentials for growing in line with its current position. Accordingly, the Bank made in-depth analyses and assessments, and introduced various solutions to innovating its infrastructure, improving the quality of the human resources, increasing support tools in business operation activities, creating many incentives for boosting productivity and performance improvement at each Transaction Office across the system. So far, Transaction Offices have been improved to higher levels and ratings month after month last year. SAcOMbANKS NETWORK AS AT 31 DEcEMbER 2012: PROVINcE/ cITy WHERE IT IS bASEd 48 1 10 8 9 BUSINESS LOCATIONS BRANcH 72 8 10 8 9 TRANSACTION OFFICE 336 33 27 34 34 1 SAVING FUND 1 TOTAL 409 41 37 42 43

Sacombank opened and put into operation 8 business locations, raising the total number of business locations of the Bank to 416, present in 48 out of 63 provinces and cities of Vietnam and in the two neighboring countries: Laos and Cambodia.

NO.

REGION /COUNTRY

I. VIETNAM 1 2 3 4 HANOI NORTHERN REGION NORTHERN CENTRAL COASTAL REGION SOUTHERN CENTRAL COASTAL REGION & CENTRAL HIGHLANDS SOUTHEASTERN REGION HCMC SPECIALized REGION SOUTHWESTERN REGION CAMBODIA LAOS

5 6 7 8 1 2

6 1 13 3 2 1

6 14 7 10 6 5 1 78

38 86 33 51 1 1 337 1

44 100 40 61 7 5 2 416

II. OVERSEAS

ENTIRE BANK

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BUSINESS PLAN FOR 2013

The banking industrys focal task in 2013 has been determined to be: running tight and flexible monetary and financial policies; associating the financial policy with the monetary policy in pursuit of increasing macro-economic stability and ensuring reasonable growth with total payment facilities growing by 14-16% and credit by 12%; further lowering credit interest rates in accordance with inflation reduction; running foreign exchange rates according to market signals, protecting the value of the Vietnamese Dong; improving the gold market management policy; improving the balance of international payments and increasing foreign exchange reserves.

SACOMBANKS FINANCIAL TARGETS FOR 2013

MATERIAL fINANcIAL TARgETS
Total assets

(+/-) 2012

172,000 16,418 143,800 108,600 2,800

BILLION VND

14% 53% 16% 12% 113%

Chartered capital

BILLION VND

Total deposits

BILLION VND

Total loans

BILLION VND

Profit before tax

BILLION VND

OpERATIONAL SAfETy TARgETS

Capital Adequacy Ratio (CAR)

>9% <29% <50% <40% <25% <3%

Ratio of current capital used for long-term lending

Ratio of investment in fixed assets

Capital contribution percentage for share purchase

Subsidiary funding ratio

Delinquency ratio

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BUSINESS PLAN FOR 2013

(continued)

ORIENTATION AND FOCAL SOLUTIONS:

1. Boosting retail activities: All resources will be focused on growing personal customers in 2013 by 35%, in order to create a firm foundation for stable business growth. Network advantages will be utilized to grow deposits from economic organizations and residents, with a focus on medium- and long-term deposits, in parallel with launches of fund-raising products specific to geographical areas, and in combination with focal and distinctive sales promotion programs to attract customers. Small-sized lending will be boosted and focused on areas of incentives, rural and agricultural production, export of goods, etc. to mitigate risks and comply with the national monetary policy; 2. Conducting the selling package approach: Selling programs with full product packages will be carried out to effectively exploit existing customers and prospects of business units under Sacombank and its Subsidiaries; 3. Promoting network advantage, improving employees productivity and performance: Investments will be made intensively to improve the business performance and scale of Transaction Offices, as well as increase employees productivity and performance in each business unit while focusing on effective cost management; 4. Diversifying products and services, with a breakthrough in the service business: Electronic banking services will be boosted, and the number of users of electronic banking services will be increased by developing relevant technologies and software applications. Therefore, service quality will be secured, transaction cost reduced, and contribution of profit to the Bank increased; 5. Developing the card service business: The card service business will be boosted with card service quality improved for a sharp growth in market share of card service business in 2013; 6. Improving communication activities: Internal and external communications will continue to be increased to promote the brand and corporate culture of Sacombank;

7. Enhancing restructuring activities: Business model and organization of each business unit will be reviewed and adjusted for a lean organizational structure, and more resources will be used for expanding the sales force. Corporate governance will be increased at any level and in any aspect, especially proactive monitoring and response to market developments for proper decisions to meet the Banks development requirements in the new period; 8. Upgrading the Training Center and improving human resources management: Advanced human resources management tools will be developed and applied to improve human resources quality to meet innovation and integration demands. Training activities of the Bank will be professionalized from the Head Office to business units; 9. Improving capabilities to manage risks and handle past-due debts: The roles of intermediate units will be promoted in monitoring business activities for providing advice, support and resolution in a timely manner of matters arising in operations, with a view to mitigating risks, delivering efficiency and optimal profit for each Division, Region, business units and for the Bank; 10. Boosting the efficiency of information technology systems: Automation will be enhanced in products and services, business processes and the reporting system. The year 2012 was seen as a year of difficulties of not only the Vietnamese economy but also the global economy. The banking sector was also affected as a result. For Sacombank, although some business targets were not achieved as expected, most of its growth targets showed stability and sustainability. The Banks financial indicators and risk provisioning fully met safety requirements of the SBV, thus enabling Sacombank to cope with crisis conditions and serving as a firm basis for it to grow strongly upon recovery of the economy. On the other hand, compared with the average level of the banking industry, Sacombanks business operation results reflected strong determination, firm leadership of the management team of the Bank and the collaborative efforts of all its employees.

In 2013, the banking industry is forecast to continue to face many intrinsic difficulties as well as new challenges, but with strong will to overcome all challenges and rich experience accumulated after 21 years of incorporation and development, plus flexible strategic orientation and solutions in accordance with market trends, combined with strong solidarity and determination of all the Banks employees, Sacombank will turn challenges into opportunities, strive for comprehensively fulfilling all the business targets for 2013, and continue to hold the position of one of the leading commercial banks of Vietnam.

35%

ALL RESOURCES WILL BE FOCUSED ON GROWING PERSONAL CUSTOMERS BY

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2012 event highlights

1 2 3 4

3 FEB 2012

STB SHARES OF SACOMBANK WAS CHOSEN FOR THE VN30 GROUP

The Ho Chi Minh Stock Exchange (HOSE) organized the 2011 Market Summary Ceremony and made an announcement on the VN30 Index. The VN30 Index is calculated according to the market capitalization method, comprised of 30 items representing 30 companies listed in the HOSE. They account for around 80% of total market capitalization and 60% of total trading value in the entire market. Shares are selected for the VN30 group based on 3 criteria: capitalization, number of shares outstanding and high liquidity. STB shares of Sacombank are ranked first among the 30 items of the VN30 group, which shows the strong position and attractiveness of STB shares in the market.

10 FEB 2012

MOODYS AND S&P RATE SACOMBANK AS POTENTIALLY STABLE

Sacombank has been rated by the two global credit rating organizations, Moodys and Standard & Poors (S&P), for the first time. The common comments of these organizations were that Sacombank was potentially stable, reflecting the quality of its business performance and its adaptability before the challenges of the Vietnamese and world economies. The comments and ratings were based on Sacombanks business position, financial capacity, profitability, liquidity ratios, credit risk management, and capital adequacy ratio in correlation with the economic environment of Vietnam in general and the banking industry in particular.

29 FEB 2012

SACOMBANK AND COINSTAR INK REMITTANCE PAYMENT DEAL

Sacombank and Coinstar Money Transfer Company signed a deal for launching the Coinstar Remittance Payment Services for local individual customers with such currencies as USD and VND. The cooperation is to bring better benefits for remittance senders and receivers in and outside Vietnam as well as raise competitiveness of both sides in the field.

19 JUN 2012

SACOMBANK LISTS 50 TOP PERFORMING COMPANIES IN VIETNAM

On 19 June 2012, Sacombank took the honour to be listed in the 50 top-performing companies in Vietnam in 2012 run by Nhip Cau Dau Tu Magazine in partnership with Thien Viet Securities Company. This is an in-depth survey and company ranking program in search of 50 top-performing companies in the stock market of Vietnam. The methodology for selection focuses on both quantitative and qualitative measures, in order to evaluate accurately the business performance of companies from various industries listed in the stock market of Vietnam, based on 4 growth indicators, including revenues, profit, return on equity, and return on average equity for 3 years, from 2009 to 2011. Moreover, the listed companies must meet three requirements: market cap of VND500 billion or more, annual revenue in three most recent years (2009-2011) at least VND200 billion, and profit after tax VND20 billion or more.

Mr. Phan Huy Khang Chief Executive Officer (5th from left hand side), represented Sacombank to receive the certificate of 50 top-performing companies in Vietnam in 2012.

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2012 event highlights

(continued)

03 Jul 2012

SACOMBANK APPOINTS MR. PHAN HUY KHANG CHIEF EXECUTIVE OFFICER

Upon approval from the State Bank of Vietnam, Sacombank officially appointed Mr. Phan Huy Khang, Acting Chief Executive Officer, as Chief Executive Officer from 3 July 2012, and Mr. Phan Huy Khang is also the legal representative of Sacombank.

liquidity level of Sacombank. S&Ps rating reflects the satisfactory quality of business performance and growth rate of Sacombank before the challenges of Vietnamese and world economies today. The raise of BICRA rating for the entire banking sector as well as the raise of credit ratings for Sacombank reflect the trust of this organization in the banking industry of Vietnam.

2 Nov 2012

In addition to current services via Internet and mobile phones such as intra-bank and bank-tobank transfers, bill payments (electricity, water, telecommunications, etc.), online deposits, airlines ticket purchase, prepaid card top up, etc., Sacombanks customers can also use advanced functions and services such as personal financial management, liquidity management, online L/C, and particularly, corporate clients can submit payment orders via mobile phone after the E-Banking system upgrade in December 2013.

10 Jul 2012

SACOMBANK REPLACES PERSONNEL OF THE BOARD OF DIRECTORS

According to a resolution of the Board of Directors of Sacombank, from 2 November 2012, Mr. Dang Van Thanh resigned from the position of Chairman of the BOD of Sacombank. The BOD of Sacombank has also agreed to elect Mr. Pham Huu Phu - Permanent Vice Chairman of the BOD - to the position of Chairman of the BOD in place of Mr. Dang Van Thanh. Mr. Pham Huu Phu assumed the position of Chairman of the BOD of Sacombank from 2 November 2012. He was born in 1959 in Thua Thien - Hue Province, obtained a BSc degree from the University of Economics Ho Chi Minh City and has had 20 years experience in finance and banking. Mr. Pham Huu Phu has been a member of the BOD of Sacombank since 26 May 2012.
Mr. Nguyen Minh Tam - Sacombank Deputy CEO (right side) signed E-Banking Solution contract with Infosys.

FITCH RATINGS RATES SACOMBANK AS POTENTIALLY STABLE

The international credit rating organization Fitch Ratings recently announced that it rated Sacombank at level B/potentially stable. Accordingly, Fitch rated Sacombanks Issue Debt Rating (IDR) and Stand-alone Credit Profile at level B/potentially stable. Sacombanks IDR rating reflects the risks and challenges from the domestic business environment to the Banks financial independence capacity.

Sacombank adoptS the international standard ESMS

Sacombank officially became the first commercial bank in Vietnam to adopt the international standard Environmental and Social Management System (ESMS) with the support and consultation of PriceWaterhouse Coopers (PwC) Netherlands to strengthen the management of socio-environmental impact in credit lending to customers. By adopting the ESMS, Sacombank will achieve the following: to manage risks arising from issues related to the social environment to avoid and reduce reputation risk, to increase efficiency in business operations and investment opportunities in the environmental protection activities; to show the highest responsibility and commitment to the environment and surrounding community. In particular, through the application of ESMS, Sacombank will facilitate to access and attract foreign funds.

10 DEC 2012

10

26 Sep 2012

S&P RAISES CREDIT RATINGS FOR SACOMBANK

Standard & Poors (S&P) has set out new credit ratings for some Vietnamese banks after this agency adjusted Vietnams Banking Industry Country Risk Assessment (BICRA) from group 10 (very high risks) to group 9 (high risks). Accordingly, Sacombank was raised credit ratings by S&P from B+ to BB- with a stable outlook. These credit ratings reflect the strong business position, equity and profit growth rate, risk management capabilities and the sufficient

26 Nov 2012

SACOMBANK SIGNS A NEW E-BANKING SOLUTION CONTRACT WITH INFOSYS

Infosys - one of the leading technology consulting and e-banking software firms - entered into a contract of new E-Banking platform valued at US$5 million with Sacombank to help Sacombank developing better and more sophisticated internet banking products and services and improving customer satisfaction in the area of e-banking.

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2012 AWARDS

EXCELLENCE IN RETAIL FINANCIAL SERVICES

INTERNATIONAL AWARDS 2012
B E S T D I R E C T B A N K

BEST RETAIL BANK OF VIETNAM 2012

Awarded by The Asian Banker Journal

THIRD-CLASS LABOUR ORDER FOR OUTSTANDING ACHIEVEMENTS FOR THE PERIOD OF 2006-2010 AND CONTRIBUTIONS TO THE DEVELOPMENT OF SOCIALISM AND THE PROTECTION OF THE FATHERLAND
From the State President

50 TOP PERFORMING COMPANIES IN VIETNAM

Celebrated by Nhip Cau Dau Tu Magazine
FOREIGN BEST EX
CH

E PROVIDE ANG R

A RD AW

BEST FOREIGN EXCHANGE PROVIDER IN VIETNAM 2009, 2010, 2011, 2012

Awarded by Global Finance Magazine

EMULATION FLAG OF THE STATE BANK OF VIETNAM IN 2011 FOR SACOMBANK

From the Governor of the State Bank of Vietnam

. 20 1 1

6th RANK IN THE TOP 500 VIETNAMESE COMPANIES IN 2012

Announced by VietnamNet Newspaper

BANK OF THE YEAR 2011

Awarded by The Banker Magazine

CERTIFICATES OF MERIT FOR SACOMBANK AND ITS PEOPLE (FOR OUTSTANDING ACHIEVEMENTS AND CONTRIBUTIONS TO FULFILMENT OF THE BANKS TASKS IN 2010-2011)
From the Governor of the State Bank of Vietnam

CERTIFICATE OF MERIT: EXCELLENT LABOUR TEAM - FOR SACOMBANK IN 2011

From the Governor of the State Bank of Vietnam

ANNUAL REPORT AWARD 2011

Awarded by League of American Communications Professionals (LACP)

THE STRONGEST BRANDS OF VIETNAM AWARD 2012

Celebrated by Vietnam Economic Times

CREDIT REPORTING AWARDS FOR 3 CONSECUTIVE YEARS 2010-2011-2012

Given by the Credit Information Center (CIC) State Bank of Vietnam

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ORGANIZATION StrUCTURE
MANAGEMENT AND SUPERVISION
SHAREHOLDERS COMMITTEE

BOARD OF DIRECTORS

BOARD OF SUPERVISORS

Internal Audit Board of Directors Office

FINANCIAL INVESTMENT COUNCIL

CREDIT COUNCIL

*)

CEO

NEW FRONTIERS WITH STRONG

Investment Department Financial Institutions Department Communications and Marketing Department Balance Sheet Management Department Board of Productivity and Quality Human Resource Department Training Center Personal Banking E-Banking Priority Banking Customer Service

HR AND TRAINING

PERSONAL BANKING CARD CENTER CORPORATE BANKING TREASURY

CAPABILITIES

Corporate Banking Capital Market Department Forex Department Northern Region Treasury Center Appraisal Department Infrastructure Technical Department Core Banking Operation Department Application Development Department Systems Architecture Development Card Technology Department Information Security and Confidentiality Planning Department Accounting Department Capital Management Department International Payment Center Domestic Payment Center Risk Management Department Legal and Compliance Department Debt Management Department Administration Department Security Center Internal Audit Sector Appraisal Sector Business Support Sector

Sacombanks capabilities have been accumulated and proven over 21 years development, and have helped the Bank go through all the ups and downs of business while maintaining stable growth in all aspects. This results from great efforts of the Sacombank team in pursuing safe and efficient business strategy, enhancing capabilities in launching proper focal products, services and stimulus programs for each market segment; promoting brand and network advantages all over 3 Indochinese countries; developing internal incentives, strengthening the sales forces and improving customer care skills across the entire system. Sacombank also focuses on risk management following the mechanism of organizational consistency management concentration decentralized administration through a 3-tier governance framework: management, monitoring and support, in combination with promoting creativity and solidarity among staff in all the activities of the Bank.

TRANSACTION CENTER

INFORMATION TECHNOLOGY

OPERATIONS

FINANCE

OPERATION

RISK MANAGEMENT

SUPPORTING

REGIONS

Regional Offices

Head Office/Branches Transaction Offices/Saving Funds

SUBSIDIARIES

(SACOMBANK-SBL, SACOMBANK-SBA, SACOMBANK-SBR, SACOMBANK-SBJ, SACOMBANK CAMBODIA PLC)

(*) Besides Credit Council, the Organization also includes other Committees, Councils, Boards which found compliancing with legal regualtions and according to reality needs of particular periods.

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About the Board of Directors

From left to right: 1. Mr. Nguyen Mien Tuan 2. Mr. Tram Khai Hoa 3. Mr. Pham Huu Phu 4. Mr. Tram Be 5. Mr. Phan Huy Khang 6. Ms. Duong Hoang Quynh Nhu 7. Mr. Kieu Huu Dung

Full name

Title

Experience in Finance Banking Sector 21 years 9 years 21 years 15 years 19 years 5 years 6 years 24 years 7 years 13 years

AcTIVITIES Of THE BOARd Of DIREcTORS:

Sacombanks Board of Directors (BOD), with a term of five years, is responsible for managing the Bank with four major tasks: planning, organization, leadership and monitoring. The BOD comprises a Chairman, 2 Vice Chairmen and 4 Members, including a nonexecutive independent member. Meetings are held once every quarter and may be held extraordinarily if required. In addition, the Permanent Committee of the BOD has weekly meetings with the Board of Management to give instructions on routine works. The Chairman of the BOD approves that some members work on a regular basis (referred to as the Permanent Committee of the BOD) and assigns tasks to each member. Each assigned BOD member takes charge of specific Councils or Committees based on the experience and availability, as follows: - Councils, including: Credit Council, Asset Investment Council, Financial Investment Council, Reward/ Disciplinary Council, Loss Handling Council, and Training Council, among others. These Councils meet and decide all relevant matters at the proposals of the Board of Management. - Committees/Boards, including: Development Strategies and Policies Committee, Human Resources Committee, Risk Management Committee, Remuneration and Incentives Committee, Steering Committee for Prevention and Handling of Overdue Debts, Banking Technology Modernization Board, and Restructuring Board, among others. These Committees and Boards act as consulting bodies for the BOD on relevant matters, ranging from planning, organization and leadership to monitoring and assessing implementation. The Chairman of the BOD decides all matters under the BODs authority on its behalf on the basis of obtaining opinions from the BOD members and consultancy from the Committees and Councils. The Permanent Committee of the BOD handles matters arising during the intervals between BOD meetings on behalf of the BOD, and reports to the BOD at the nearest subsequent meeting. At the end of each month, quarter and sixmonth period, and at the end of the year, the Chairman of the BOD shall preside over meetings on assessment of the works already completed and business tasks for the next period. In general, with the defined functions and tasks of the management body of the Bank, and its responsibility to shareholders, the BOD members have adequately performed their managerial roles, providing timely instructions and support to the Board of Management and closely coordinated with the Board of Supervisors in the inspection and supervision of the operations of the Bank and its subsidiaries. The BOD is not only a firm source of support for the Board of Management of the Bank but also a central point of solidarity, leadership and planning for policies and legal frameworks in accordance with the laws, regulations and the Banks development orientation. As a result, Sacombank has operated with increasing stability, safety and efficiency, and has had outstanding achievements over the past time.

Mr. PHAM HUU PHU Mr. TRAM BE Mr. KIEU HUU DUNg Mr. NgUyEN MIEN TUAN Mr. PHAN HUy KHANg Mr. TRAM KHAI HOA Ms. DUONg HOANg QUyNH NHU Mr. DANg VAN THANH Mr. DANg HONg ANH Mr. TRAN XUAN HUy

Chairman of BOD Standing Vice Chairman of BOD Vice Chairman of BOD Member of BOD Member of BOD Member of BOD Member of BOD Member of BOD Resigned from 05/11/2012 Member of BOD Resigned from 11/12/2012 Member of BOD Resigned from 16/03/2013

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REPORT OF THE BOARD OF DIRECTORS

Regarding profit, incomes from core businesses (credit, services, and foreign exchange) grew well. However, in order to fully recognize of its financial position in 2012 and create a firm foundation for sustainable growth in subsequent years, Sacombank made timely and sufficient provisions (for credit risks, impairment of securities, and doubtful debts) in an amount of over VND2,054 billion. Therefore, its profit before tax only reached VND1,315 billion, equal to 39% of target. Furthermore, business operation results in 2012 of the subsidiaries of Sacombank were fairly good compared with the market and amounted to VND113 billion of total profit before tax (70% of target). Noticeably, Sacombank-SBL earned VND82 billion (93% of target) and controlled well its bad debts to 0.99% (SacombankSBL was considered as one of the few enterprises that best controlled bad debts in the finance lease industry nowadays) and Sacombank-SBR earned over VND11 billion of profit before tax and US$1.67 billion of revenues, remaining in the first position by remittance revenues among commercial banks of Vietnam. The general difficulties of the finance and banking sector in Vietnam and the world in 2012, changes in governmental policies during the banking sector restructuring process, along with Sacombanks own mistakes and shortcomings in management during several months of late 2011 and early 2012 and changes in the personnel of the Board of Directors and the Board of Management have created great challenges to Sacombank in selecting business strategies and running its business plan. Accordingly, the BOD of Sacombank had flexible management and governance strategies for 2012 in the context of market changes, continue to adopt and promote firm foundations on the principle of Safe Operations, Efficient Business and Sustainable Development to affirm its position as a leading commercial bank in Vietnam. Although some targets have not been achieved as planned, Sacombank obtained fairly satisfactory results in 2012 compared with the industry average and some banks of the same scale. monthly expanded meetings with leaders of regions and subsidiaries in order to grasp and exchange information and give instructions on implementation of important decisions of Sacombank. Clearly understanding the strategic viewpoint of EFFICIENCY is important but SAFETY always remains the first priority, strictly implementing the regulations of the SBV on tight control of credit disbursements and complying with the ceiling deposit interest rate policy, always securing financial safety ratios, in parallel with the principle of growing together to share difficulties and support the enterprise community through preferential interest rate lending packages for stimulation of business and production activities, Sacombank enjoyed stable growth in business operations in 2012. Accordingly, its total assets grew by 8% (while total assets of the group of commercial joint stock banks as a whole declined by 4.5% and those of the entire banking sector only grew by 2.54%); deposits from economic organizations and residents accounted for 93% of total deposits and grew by 24% from the previous year (while the banking sector saw a 1% growth in deposits); total lending balance increased by 24% from the beginning of the year (the banking sector 8.9%) and bad debt ratio had been 1.97% by the end of the year (an increase from 2011 but better than the average ratio of 8-10% of the entire banking sector). Sacombank was one of the three banks to be raised long-term credit ratings by S&P from B+ to BB- and kept short-term credit ratings at B level. In general, compared with the targets set out in the Resolution of General Meeting of Shareholders in 2011, Sacombank achieved satisfactory results. However, for objective reasons, some important tasks are still being performed and will be completed in 2013. These tasks include: 1. Issue of shares to raise chartered capital: In line with the Governments policies on restructuring credit institutions, Sacombank has reviewed its structure and operations, made strict corrections and proper adjustments at the recommendations and under the guidelines of the inspectors of the SBV to further enhance operational safety and efficiency. Therefore, the task of raising chartered capital in line with the Resolution of the General Meeting of Shareholders in 2011 is slightly behind schedule. Currently, the Bank has obtained approval from the SBV and the SSC for increasing by 17% Chartered Capital (14% in dividends of 2011 and 3% in shares to be issued to key personnel) and will try to complete this issue of shares in the second quarter of 2013. The remaining portion of the increased capital under the Resolution will be carried forward to the 2013 plan, since it is related to the transfer of treasury shares and selection of foreign strategic partners. 2. Search for foreign strategic partners: Implementing the policies of the General Meeting of Shareholders in 2011, the BOD has given instructions on searching for foreign strategic partners to further improve financial capabilities and learn advanced corporate governance models. After some time of research, there have been currently some worldwide leading financial institutions actively working on negotiations for long-term strategic partnerships with Sacombank. 3. Upgrade of the Lao Branch into a Subsidiary Bank: this task has also seen favorable progress. Currently, Sacombank has completed the transfer of funds to Laos, made ready other preparatory works, and is waiting for approval from the Bank of Lao PDR so that Sacombank Laos will officially operate as a Subsidiary Bank. 4. Selection and merger with other suitable banks: Sacombank has made initial smooth steps in signing a comprehensive business cooperation contract with Eximbank on the basis of boosting each banks own strengths to obtain the highest mutual performance and, furthermore, considering the possibility of merging the two banks in 3-5 subsequent years. Sacombank is also studying possibilities of mergers/acquisitions with other credit institutions with business orientation and potentials suitable for the Bank.

ACHIEVEMENTS AND LIMITATIONS

1. Achievements -- Ensuring stable operations: In the context of great changes in the economy and the transfer of management power of the BOD in 2012, the Bank stayed firm in all operations and resolved unsolved problems in a timely manner, thus further boosting intrinsic strength and maintain a proper growth rate in line with the developments of the banking sector. This can be seen as a remarkable achievement of Sacombank last year, especially given sensitive information that significantly affected its operations in 2012. -- Restructuring the Bank: On the basis of boosting firm foundations (people, network, technology systems, etc.) and persistently pursuing the strategic orientation of becoming the first modern universal retail bank in the region, the new BOD conducted an overall restructuring of Sacombanks operational system and has achieved initial satisfactory results. The Banks system is leaner on the principle of Consistent Organization Centralized Management Decentralized Operation so operational expenses have been reduced, and flexibility and performance have been improved.

IMPLEMENTATION OF BUSINESS PLAN FOR 2012

In 2012, to properly play its planning, organization, leadership and monitoring roles, the Board of Directors worked in accordance with the Banks regulations through periodical and extraordinary meetings and weekly hand-over meetings with the BOM, and

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REPORT OF THE BOARD OF DIRECTORS

(continued)

-- Developing customers: In the context of economic difficulties, Sacombank managed to not only keep existing customers but also attract nearly 500,000 new customers, at a growth rate of 40% from 2011. This can be seen as an extremely important achievement of the Bank in 2012. There was an impressive growth in the users of modern products and services of Sacombank, with card service users growing by 67% and electronic banking service users 200% from the previous year. In addition, according to results of a research conducted by AC Nielsen, the percentage of people aware of and interested in Sacombanks products and services grew significantly (from 30% in 2010 to 40% in 2012), reflecting the effectiveness of its business strategies and brand promotion activities over the past time. -- Developing the network: In 2012, Sacombank made big progress in developing its network intensively, which is shown in the upgrading of a series of qualified Transaction Offices into a chain of potential Transaction Offices, each of which is in the scale of a miniature branch. With the decision-making authority improved, as well as other supports, potential Transaction Offices have gradually improved their competitiveness, kept stable growth rates and increased the percentage of their contributions to the Banks business operation results. Sacombanks network has made a big progress in business performance. -- Modernizing the Banking technology and governance: The roadmap for upgrading Sacombanks technology system was on track; especially, new progress in risk management was made with a rating system which makes automatic continuous updates to the system. In addition, an Expected Loss Calculation System (supporting credit granting decision making and risk mitigation), a CIC Program, an Operational Risk Management System, an Environmental Impact Assessment System and support tools for automatic assessment reporting in order to improve managerial works are currently applied effectively at Sacombank. -- Enhancing determination, solidarity and devotion among Sacombank members: Shown in the zeal and trust of Leaders of multiple levels and over 10,000 employees in the Sacombank development strategies during different periods. Accordingly, combined with firm foundations in terms of good organization, a broad network, financial strength, modern technology systems, etc., the flexible and tight management and control by the Leadership and the solidarity,

professionalism and dedication of employees have helped Sacombank to grow increasingly stably and sustainably and soon become the first modern universal retail bank in the region. 2. Limitations: -- Non-interest incomes have not reached the expected percentage in the targeted income structure of Sacombank, mainly due to general market conditions and the tight management policy of the SBV. Furthermore, most of the Banks modern products and services are currently in their stage of demand stimulus with free-of-charge or discount schemes for customers experience. On the other hand, a subjective reason is that Sacombanks selling efforts did not prove really effective and cross-sale programs for exploiting existing customers were not implemented effectively in 2012. -- Bad debt ratio and past-due debt ratio remained lower than the banking sector as a whole, but grew higher than in 2011 and the progress of handling bad debts and past-due debts was slow. In addition, in 2012, performing the requirements of the Banking Supervisory Agency under the SBV, the BOD of Sacombank conducted a review of the collective responsibilities of the Board of Directors, the Board of Supervisors, and the Board of Management, as well as responsibilities of each individual involved in the violations mentioned in the Inspectors Conclusion. Accordingly, the Board of Directors of Sacombank strictly admitted its defects in failure to complete the tasks assigned by the General Meeting of Shareholders, its complaisance and lack of determination with respect to the violations of the laws by some individuals. On such basis, the Board of Directors set out solutions to rectification and relief of damages and risks to the Bank, attributed liability to violating individuals and applied strict sanctions against them. In summary, exercising the tasks and powers assigned by the General Meeting of Shareholders, and despite great changes in the personnel of the Board of Directors and the Board of Management, impacts on the business activities from objective and subjective factors, failure to achieve some of the business targets set out by the General Meeting of Shareholders, the BOD led Sacombank through 2012 with new advancements. Most of the Banks business operation activities enjoyed high growth from 2011, the organization structure has been stabilized, some problems have been solved,

financial safety ratios and risk provisioning have been secured, and the SBVs safety requirements were satisfied. Sacombank has been well-prepared to cope with crisis situations and obtained firm foundations for further growth. ACTION PLAN FOR 2013 AND ORIENTATION UP TO 2015 2013 can be seen as an important transitional year for Sacombank in the process of implementing its Development Strategies for the period of 2011 2015 with a vision up to 2020, in the context of mixed opportunities and challenges in Vietnamese and world economies. Accordingly, the BOD has set out some important action plans for 2013 as follows: 1. Inheriting and continuing to implement the Objectives and Solutions on the Roadmap determined in the Sacombank Development Strategies for the period of 2011 2020 approved by the General Meeting of Shareholders in 2010, but with adjustment of the implementation schedule in accordance with current market conditions. 2. Making the greatest efforts to fulfill the business plan for 2013. For example: total assets to grow by 14%; average deposits 16% (in which deposits from economic organizations and residents 22%); total lending balance to grow by 12%, and bad debts to be controlled at 3% in maximum and statutory financial safety ratios complied with; profit to reach VND2,800 billion and dividend payments ratio to be at 9-10%. 3. Accelerating negotiations for selection of foreign strategic partners: in order to improve financial capabilities to meet development needs of Sacombank in future. 4. Boosting risk management and accelerating bad debt management through review of each debt and application of proper handling measures to improve efficiency and profit per Vietnam Dong used. 5. Strongly boosting all the business activities, including: Focus on retail activities by developing the personal customer base; Diversification of products and services, especially modern banking services (Internet banking, mobile banking, telephone banking services) for more expanding more sustainable income sources and reducing dependence on credit operations; Increase of the card business market

share and promotion of non-cash payment activities; Professionalization of marketing activities with an overall strategy in accordance with the Banks overall business strategies as well as strategies for specific geographical areas. 6. Strengthening and further improving the performance of the transaction network, especially the Transaction Office network, through selling packages and an effective sale support policy in order to fully exploit customers of the Bank and its subsidiaries/subsidiary banks; in parallel with an effective policy on management and control of operational expenses to improve productivity and business performance. 7. Improving the restructuring task. Strong and synchronous innovations of the organization structure and corporate governance policies to boost proactiveness and sense of self-control and selfresponsibility in all activities, from the Head Office to the Regional Offices, Branches and Transaction Offices. 8. Focusing on improvement of the quality of the human resources and human resources policies, professionalizing training and development of successive personnel. 9. Increasing internal communications and boosting transparency of information to disseminate the viewpoints/development orientation of the Leadership and promote the specific corporate culture of the Bank; thus creating strong consensus and determination in implementing the objectives and action plans for 2013. Simultaneously, transparent and proactive disclosure of information will continue to be made on the operations of the Bank in which investors are interested. The tasks for 2013 will be onerous and with great pressure, but with a firm foundation after 21 years of operation and the consensus and teamwork of over 10,000 dynamic and dedicated employees, along with support from millions of customers and tens of thousands of shareholders, the BOD is ready with the greatest determination to implement successfully the Action Plans for 2013 and the Development Strategies for the period of 2011 2015.

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ABOUT THE BOARD OF SUPERVISORS

AcTIVITIES Of THE BOARd Of SUpERVISORS:

REPORT OF THE BOARD OF SUPERVISORS

The Board of Supervisors (BOS) overlooks the Banks operations; conducts internal audits; controls and assesses the compliance with the laws, internal regulations, the Charter, resolutions and decisions of the General Meeting of Shareholders and of the Board of Directors. The BOS is directly elected by the General Meeting of Shareholders to implement the following tasks: Supervise compliance with the laws and the Banks Charter in the management of the Bank. Give instructions to and supervise the activities of the Internal Audit function; conduct independent and objective review and assessment of the internal controls. Evaluate the financial statements of the Bank. Assess the reasonableness, legality, truthfulness and creditability of the Banks accounting and statistics, and prepare financial statements for submission to the Annual General Meeting of Shareholders. Perform the internal audit function.
From left to right: 1. 2. 3. 4. Ms. Nguyen Thi Thanh Mai Mr. Nguyen Van Ly Mr. Nguyen Tan Thanh Mr. Le Van Tong

in the Head Office and Subsidiaries. In addition, the BOS periodically visits Branches and Regional Offices to assess real business operating situations and management activities, and to collect and study feedbacks from Branches and Regional Offices on advantages and disadvantages in operation, and the timeliness and effectiveness of support from Regional Offices and functional departments of the Head Office for business units. 3. In 2012, the BOS requested internal auditors to audit 70 out of 72 branches, 2 overseas business units, 319 out of 336 Transaction Offices; 12 out of 28 operational units at the Head Office, 4 out of 4 Subsidiaries. Through the reports of internal auditors, the BOS fully understood the operational situations of the business units and provided instructions and issued documents reminding employees of compliance with regulations and raising awareness of risk prevention in performing works to ensure safety and efficiency in operations, provided alerts on highly risky industries and areas and requested for corrections in credit granting activities; requested for increasing management and confidentiality of usernames/passwords; requested for increasing management of assets received for offsetting debts in order to control tightly and improve the effectiveness of asset management by the Bank. In its strategy for internal audit in 2013, the BOS will increase the frequency and time of audits at business units compared with previous years in order to ensure that material risks in all the operational aspects of business units across the Banks system are identified and detected through inspection and control. Information technology will be applied to enhance the effectiveness of remote supervision. The BOS will also closely coordinate with the BOD and the BOM to achieve the supervision objectives.

The BOS carried out its tasks through the following activities: 1. On the basis of macro-economic forecasts and internal assessments on the operations of the Bank, the BOS set out specific action plans from the beginning of the year, focused on supervising compliance with the policies and decisions of the BOD and the Board of Management to achieve the Banks objectives. 2. Through a three-level control organization consisting of the BOS, Internal Auditors, and Regional Inspection and Control Teams for monitoring and controlling internal audit activities, and providing daily and weekly reports made by internal auditors, the BOS controls and supervises the operations of domestic and overseas Branches, departments

Full Name
Mr. Nguyen Tan Thanh Mr. Nguyen Van Ly Mr. Le Van Tong Ms. Nguyen Thi Thanh Mai

Title
Head Deputy Head Member Member

Experience in Finance - Banking Sector

24 years 24 years 24 years 19 years

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ABOUT THE BOARD OF MANAGEMENT

* Updated on 31 December 2013
MR. PHAN HUy KHANg

Member of the BOD cum Chief Executive Officer 19 years experience in Finance and Banking. BSc degree in Banking and Credit - Advanced Business Administration Certification. He joined the Board of Management of Sacombank in April 2012 and was appointed Chief Executive Officer of Sacombank in July 2012. With skills and zeal, he is expected to bring in stronger development for Sacombank in subsequent years.

MS. NgUyEN THI LE AN

Deputy Chief Executive Officer 9 years experience in Finance and Banking. BSc degree in Finance, Currency and Credit. She was appointed Deputy Chief Executive Officer of Sacombank in charge of Human Resource and Training in July 2012.

MR. PHAN DINH TUE

Deputy Chief Executive Officer 29 years experience in Finance, Accounting and Business Administration. BSc degree in Business Administration Foreign Trade Administration. Advanced Banking Management Certification. He joined the Board of Management of Sacombank from June 2012 and holds the position of Deputy Chief Executive Officer in charge of Credit.

MS. QUAcH THANH NgOc THUy

Deputy Chief Executive Officer 21 years experience in Accounting, International Payment, Evaluation and Investment. BSc degree in Business Administration. She has worked for Sacombank since 1994 and currently held the position of a Deputy Chief Executive Officer in charge of Operations.

MS. DUONg HOANg QUyNH NHU

Member of the BOD cum Deputy Chief Executive Officer 6 years experience in Finance and Banking. MBA, BSc degree in Finance, and BA degree in English Linguistics. In June 2012, she was appointed to the position of Member of the BOD cum Deputy Chief Executive Officer in charge of Treasury.

MR. HA VAN TRUNg Deputy Chief Executive Officer

16 years experience in Finance and Banking. MSc degree in Finance - Banking, BSc degree in Foreign Trade Administration. He has been working for Sacombank from 2004. He has made important contributions to planning financial strategies for Sacombank. In October 2012, he was appointed Deputy Chief Executive Officer cum Chief Financial Officer.

MR. BUI VAN DUNg

Deputy Chief Executive Officer 24 years experience in Finance and Banking Technology. BSc degree in Mathematics and Economic Cybernetics. He has been working for Sacombank from 2001. He was assigned important tasks in implementing banking technology modernization projects. He was appointed Deputy Chief Executive Officer in charge of Information Technology in 2012.

MR. LE MINH TAM

Deputy Chief Executive Officer 14 years experience in Finance and Banking. BSc degree in Finance and Credit. He has been working for Sacombank from 2002. He was appointed Deputy Chief Executive Officer in March 2012 in charge of Supporting.

MR. HA TON TRUNg HANH

Deputy Chief Executive Officer 29 years experience in Auditing. MSc degree in Economics, BSc degree in Finance and Banking, Certificate for the Professional Practice of Internal Auditing. He has joined Sacombank from June 2012 and held the position of Chief Internal Auditor. He was appointed Deputy Chief Executive Officer in charge of Risk Management in February 2013.

MR. NgUyEN MINH TAM

Deputy Chief Executive Officer 18 years experience in Finance and Banking. MSc degree in Economics. He has been working for Sacombank from 1995 and was one of the founders to develop Sacombanks overseas branches and subsidiary Bank. He is currently Deputy Chief Executive Officer of Sacombank in charge of Corporate Banking, Personal Banking, Card Center, and Overseas Business Areas.

MR. Ly HOAI VAN

Deputy Chief Executive Officer 12 years experience in monetary trading. MSc degree in Economics of Banking & Finance, BSc degree in Monetary Trading. He has been working for Sacombank from 2001. With the significant contributions in monetary trading activities, he was appointed Deputy Chief Executive Officer in charge of Currency in Aug 2010.

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ABOUT THE BOARD OF MANAGEMENT

(continued)

MATTERS RELATED TO THE BOARD OF DIRECTORS, BOARD OF SUPERVISORS AND BOARD OF MANAGEMENT

MS. HA QUyNH ANH

Deputy Chief Executive Officer 20 years experience in Finance and Banking. Bachelor of Laws (LLB) degree; BSc degree in Economics. She joined Sacombank in 1993. With important contributions to Sacombank in Hanoi Region, she was appointed Deputy Chief Executive Officer cum Director of the Hanoi Region in June 2012.

MR. DAO NgUyEN VU

Deputy Chief Executive Officer 21 years experience in Credit and Risk Management. BSc degree in Banking. He has working for Sacombank from 1993 and has made a substantial contribution to turning the business activities of Sacombank-Ho Chi Minh City Region into the business leader of the Bank for many years. In June 2007, he was appointed Deputy Chief Executive Officer in charge of operations in the Ho Chi Minh City Region.

MR. NGUYEN BA TRI

Deputy Chief Executive Officer 19 years experience in Finance and Banking. BSc degree in Economics. He has been working for Sacombank from 1996. In 2012, he was appointed Deputy Chief Executive Officer cum Specialized Regional Director.

CHANgES IN THE MEMbERS Of THE BOARd Of MANAgEMENT

In 2012, Sacombank saw great changes in the personnel of the Board of Management. On 3 July 2012, upon approval from the State Bank of Vietnam, Mr. Phan Huy Khang was officially appointed Chief Executive Officer in place of Mr. Tran Xuan Huy. In addition to the replacement of the Chief Executive Officer, Sacombank employed/appointed 11 new members to Deputy Chief Executive Officer positions, including Ms. Duong Hoang Quynh Nhu, Mr. Bui Van Dung, Mr. Phan Dinh Tue, Ms. Nguyen Thi Le An, Mr. Ho Doan Cuong, Mr. Nguyen Ba Tri, Ms. Ha Quynh Anh, Mr. Le Minh Tam, Mr. Ha Van Trung, Mr. Vo Anh Nhue and Mr. Ha Ton Trung Hanh. Meanwhile, Mr. Nguyen Dang Thanh and Ms. Nguyen Hai Tam - former Deputy Chief Executive Officer have resigned from their positions from 14/05/2012 and from 28/02/2013. Mr. Pham Nhat Vinh - former Deputy Chief Executive Officer also resigned from April 2013.

INcOMES, REMUNERATION ANd OTHER bENEfITS Of THE BOARd Of DIREcTORS, THE BOARd Of SUpERVISORS ANd THE BOARd Of MANAgEMENT.
Pursuant to the Resolution of the Annual General Meeting of Shareholders held in early 2012, the approved remuneration and operational expenses for the BOD and the BOS in 2012 were 2.5% of profit after tax. Actual remuneration of the BOD, the BOS and the BOM is recognized in Section 41 Related Party Transactions of the Notes to the Consolidated Financial Statements for 2012 in this report. The actual paid remuneration this year was higher than 2011 because while covering operational expenses for existing members of the BOD, BOS, Sacombank made payments under its employment policies to the former members of the BOD who early resigned in a bid to recognize their contributions to the development of Sacombank as reported at the General Meeting of Shareholders in early 2012.

MR. VO ANH NHUE

Deputy Chief Executive Officer 19 years experience in Finance and Banking. MSc/BSc degree in Economics. He has worked for Sacombank from 2004. In Oct 2012, he was appointed Deputy Chief Executive Officer cum Director of the Southwestern Region.

MR. HO dOAN cUONg

Deputy Chief Executive Officer 18 years experience in Finance and Banking. BSc degree in Business Administration. He joined Sacombank in 1995. In Oct 2012, he was appointed Deputy Chief Executive Officer cum Director of Southeastern Region.

MR. HUyNH THANH GIANg

Chief Accountant 18 years experience in Accounting and Auditing. MSc/ BSc degree in Economics. He joined Sacombank from June 2012 and currently he is the Manager of Accounting Department cum Chief Accountant.

In 2012, Sacombank saw great changes in the personnel of the Board of Management. In addition to the replacement of the Chief Executive Officer, Sacombank employed/appointed 11 new members to Deputy Chief Executive Officer positions.

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RISK MANAGEMENT IN 2012

30.000 With the aim of minimizing the occurrence of risks and minimizing the impacts of risks by means of effective tools, policies and frameworks, in 2012 Sacombank developed many tools and applied a series of solutions 25.000 the following results: to risk management and achieved

Given such difficulties, Sacombank maintained control and kept past due debts and bad debts at the lowest level compared with the average level of the local banking industry. Details are shown in the following chart: BAD DEBT OVERVIEW
2,200 2,000 1,800 1,600 1,400 1,200 1,000 800 600 400 200
31 Dec 2011 31 Mar 2012 30 June 2012 29 Sep 2012 31 Dec 2012
0.56% 0.79% 1.23% 1.29% 1.97%

3. Debt management policy: It sets out all the measures for debt management and framework for handling each specific debt, in order to give guidance and support for the employees in charge to utilize debt handling options. 4. Credit granting decision making authority system: the authority in making credit granting decisions is developed by Sacombank on the principle of quick, safe and effective decision making. The decision making authority system is based on the criteria of credit quality, credit scale, and geographic areas. 5. In addition, Sacombanks Administrative Regulations Documents consist of over 1,500 documents stipulating all the aspects of business, management, supervision, and operation in order to ensure strict compliance with the laws and accordance with Sacombanks conditions, whereby all business opportunities are taken advantage of on the basis of proper management of risks. Such results also came from effective advanced risk forecast, alert and scoring tools developed by Sacombank in accordance with Basel II standards, including: 1. Internal Credit Rating System (CRS): This is an effective and scientific automatic tool used by Sacombank for managing credit risks for both corporate and individual customers and financial institutions. This system scores customers based on qualitative and quantitative information in order to evaluate the risk exposure of each specific customer. Credit granting decision makers will use the results provided by the CRS as the basis for making credit granting decisions and perform the customer management policies. In terms of credit risk management, the CRS meets the requirement on restricting risks right from the start. Upon contact with customers, the system can calculate and quantify the risk exposure that such customers may cause to the Bank, thus providing directions for relevant individuals and business units to evaluate and approve the credit granting. The Internal Credit Rating System of Sacombank was developed with consultancy from IFC and has been put into operation since 2005, when

1. Delinquency ratio was controlled at less than 2% throughout 2012. 2. Operational safety ratios have been kept in accordance with the regulations of the SBV. 3. Operational risks have been 15.000 well controlled; the number of risk events and the degree of losses were 05/12 07/12 09/12 11/12 lower than banking standards and lower than in STB KLGD 2011. CREdIT RISKS: Credit risks are determined to be the first priority in risk management activities of Sacombank last year. From late 2011, Sacombank believed 2012 and subsequent years would be difficult years of the economy and the banking sector would be directly affected. And its prediction has come true: around 30% of enterprises went bankrupt, were dissolved or stopped operation; the real estate market stagnated; the stock market became uninteresting; some industries like iron and steel, seafoods and aquaproducts, rice, cashew nuts, etc. faced prolonged difficulties. These factors have significantly weakened the financial position of enterprises; their solvency with respect to bank loans became a big problem; while their collaterals, which are mostly real estates, are without liquidity. Therefore, past due debts arose, persisted and became bad debts for which the time to settle completely is hard to determined.
20.000

2.40% 1,951 2.20% 2.00% 1.80% 1.60% 1,212 1,007 628 1.40% 1.20% 1.00% 0,80% 0.60% 0.40%

3/12

Sacombank was considered the first bank to have a Credit Rating System under international standards. In 2011, with the consultancy of the audit firm Ernst & Young, Sacombank made innovations to the System to make it more suitable for the Vietnam market and compliant with the regulations of the State Bank of Vietnam. Compliance with international standards and accordance with the characteristics of the Vietnam market is an important advancement towards satisfaction of international standards on risk management as shown in Basel II and Basel III. Currently, all the customers having credit relationships with Sacombank are evaluated and rated by this system. 2. Expected Loss Calculation System: Sacombank is implementing an Expected Loss Calculation System to calculate the Probability of Default (PD) of each customer, measure the specific risk of each loan (Loss Given Default - LGD) and estimate the debt balance at default by customer (Exposer At Default - EAD) according to the basic internal approach of Basel II. From the calculation of PD, LGD, and EAD, the Bank can determine the amount of the loan based on the risk that the loan may bring to the Bank (EL Expected Loss). Market risk management There have been great advancements in 2012. The market risk management system at Sacombank is operated according to this process: Market forecast - Business strategy planning - Real-time monitoring of market changes - Analysis of impacts on business activities - Risk mitigation solutions and utilization of market changes for business development. The VAR management model, the models of management of maturity gap and interest rate gap, and the stress-testing technique were innovated and operated effectively, thus helping Sacombank to not only identify risks early but also look for business opportunities. A spotlight in market risk management is the role of the ALCO Committee. The importance of the ALCO Committee has been recognized for its proper decisions. The results achieved in 2012 were that all the safety indicators of Sacombank were within the limit permitted by the State Bank of Vietnam.

442

Bad debt (VND billion)

Delinquency ratio (%)

To achieve such results, Sacombank has utilized the power of its Administrative Regulations Documents. Sacombanks legal framework is completely built on the basis of anticipation of risks. It is continuously adjusted in accordance with actual situations on the basis of ensuring business performance within acceptable risk limits. Some typical documents include: 1. Credit policy: this is the highest regulation in credit granting, issued by the Board of Directors. It sets out all the matters related to credit granting, ranging from target customers, appraisal methods, how to review, monitor, etc. to risk limits in credit granting. XAU SJC The credit policy is frequently adjusted and updated in accordance with actual situations. USD (50,100) 2. Credit risk management policy: This policy came into existence to meet the SBVs requirements 20.835 and Sacombanks requirements for credit risk management, helping Sacombank with risk management orientation as well as proactive 20.830 control, detection, prevention, handling and mitigation in a timely manner of risks arising from credit granting operations that may cause losses 20.825 to Sacombank.
20.820 20.840 47.00

Sacombanks principle in risk management over the past years: Frequent monitoring - Timely alert 30.000

46.75

46.50

Effective handling.
25.000 20.000

46.25

46.00

20.815 15.000

45.75

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RISK MANAGEMENT IN 2012

(continued)

Human Resources Management

Following are some typical indicators: 1. Capital Adequacy Ratio (CAR) fluctuating at over 10% 2. Daily, weekly and monthly solvency ratios many times higher than stipulated in Circular 13. 3. Loan to deposit ratio less than 80%. 4. Ratio of current capital usef for long-term lending always less than 30%. 5. Total open positions to capital over 14%. OpERATIONAL RISK MANAgEMENT: In 2012, a series of gaps in corporate governance, core banking system, business processes, etc. have been taken advantage of by external and internal evildoers to appropriate assets by issuing false warranty deeds, false savings books, making fake collateral documents, appropriating cash disbursed by the banks to customers, stealing money from ATMs, stealing PIN code of ATM card holders, etc. at many banks in 2012. At Sacombank, operational risks, although not serious, have occurred in some cases and caused insignificant losses to the Bank, such as risks in installment financing to small business people at wet markets, risks in security and username protection, several breakdowns of the information technology system, etc. However, compared with the average level of the local banking industry, operational risks at Sacombank have always been controlled tightly. Sacombank has run the policies and procedures on operational risk management in all the aspects of its operations: 1. For products and services, risk management is involved right before products and services are launched. When products and services are launched, the risk management team will assess them to give alerts if necessary. Matters related to Internet Banking, ATM cards, credit cards, etc. are detected and alerted by risk management divisions to relevant Units for their timely adjustments. 2. For the core banking system, the risk management team conducts reviews to fix the gaps and errors of the system, and issues information technology safety and security policies.

3. Regarding people-related risks, management tools have been applied, such as the Operational Risk Management Program, the CIC Information Management Program, the Social and Environmental Impact Assessment System, etc. In addition, Internal Auditors play an important role in detection and prevention of risks through inspections, reviews, alerts and recommendations for the Board of Managements timely adjustment of their policies, thus restricting risks from an early stage. And, above all, in all the risk management areas, the relationship between risk management staff and operation staff and the consistency between regulations and support technology systems will decide the success or failure of risk management. Sacombanks principle in risk management over the past years: Frequent monitoring Timely alert Effective handling has proved effective to the maximum and will continue to be pursued by Sacombank in subsequent years.

The year 2012 witnessed unforeseeable changes in the economy of Vietnam in general and the finance and banking sector in particular. However, Sacombanks employment policies always try to remain its top position among commercial banks in Vietnam through competitive salary scheme and a professional work environment. They are crucial elements to enhance staffs creativity and the solidarity of the Bank. I. SALARY SCHEME AND REMUNERATION -- The actual average salary per month per employee (excluding 13th month salary and premium pay) is approximately VND9.5 million/employee/month. -- Year-end bonuses: in addition to a 13th month salary, each employee enjoys a bonus of 1.5 times as their monthly salary (including 1 months premium pay and bonus according to individual performance review result, at an average amount of 1 months basic salary per employee (the basic salary is equivalent to 0.5 times as much as the monthly salary of an employee)). -- Average per capita income per month (VND million): VND14,7 million/employee/month. II. APPROPRIATE EMPLOYMENT POLICIES With 10,419 employees to end of 2012, there are 70% less than 30 years of age on average and most of them are well trained and fully meet the Banks requirements on quantity and quality. Recently Sacombank has improved and introduced job description for each position and career path for each job title. This helps employees to immediately clarify their career path upon joining Sacombank. In 2012, Sacombank has continued implementing long-term management training project for each position as well as for the managerial levels, Sacombank has also organized extracurricular activities to prove staffs ability. Hence, individuals with excellence performance could be dedicated in time. Particularly, Sacombank Talent Contest 2012 held in 4Q was an opportunity for thousands of employees to confirmand honor professional values. The contest has discovered real talents to be planned as management staffs in the future.

Sacombanks employment policies always try to remain its top position among commercial banks in Vietnam through competitive salary scheme and a professional work environment.
In addition, Sacombank launched the Potential Internship Program 2012, which received and trained banking interns from universities, colleges and vocational schools in Ho Chi Minh City, Hanoi and the Mekong Delta provinces. As a result, Sacombank has maintained stable human resources while contributing to develop qualified human resources for banking sector. Also in 2012, Sacombank has issued the Key Performance Indicators for managerial levels at branches. This standard describes detailed requirements about knowledge (speciality and socioeconomic), skills, qualitifications and personality of these managerial levels. These information would facility them to choose the suitable career path. It could be said that this KPIs are addressing directly to the positions and more realistic. In 2013, Sacombank will extend the scale of this project to higher managerial levels in the Bank.

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HUMAN RESOURCES MANAGEMENT

(continued)

10,419
EMPLOYEES IN TOTAL IN 31 Dec 2012
Total employees (person) 6,041 7,300 8,200 9,618 10,419 Average per capita income per month (VND million) 6.6 7.5 9.4 13.8 14.7 6,041 III. TRAINING ACTIVITIES Last year, Sacombank has organized 1,663 training courses in which there are 142 managers participated in and were certified as Branch Director by the Natherlands Institute for Banking, Insurance and Investment and nearly 400 staffs participated in the Potential Transaction Office Manager programs across the country and abroad. With annual training budget of VND15 billion, these training programs are one of the most supporting factors to ensure and to stablize qualified staffs across the system. Besides, Sacombank has been continuously organizing abroad training courses and seminars as well as other researches in the international banks such as practical training at Citibank, HSBC Hong Kong, or the field works at UOB Banks, Deutschbank, DBS, JPMorgan, Bank of American in Singapore in 2Q/2012. Specifically, in 2012, Sacombank has implemented online training programs (e-learning) with four main features including: (1) Learning and testing on the computer which connecting to bank server anytime, (2) Record test results, allowing staff reviewing extensive knowledge, (3) Library with the intense professional knowledge, skills, (4) Forum to discuss studied topics in order to support staff despite of geographical difficulty. Due to the external policy, Sacombank focuses on collaborating with domestic and foreign universities to plan research projects and training programs. One of the effective results of this is the Modern Bank Management book which used commonly for students. Currently, Sacombank has completed 21 specialized textbooks for training activities. Key strategies to develop training activities for the 20132020 period: 1,467 1. Developing the comprehensive training system through the decentralized training activities. 2. Developing teaching staffs and materials. 100 300 3. Enhancing infrastructure and equipment for training activities. Human resource is the most valuable asset of any enterprises. But it is only expressed when there is a serious investment to promote this value. Sacombank is endeavouring to build a continuous learning culture and to create values in the development of Sacombank in particular and of the banking sector in general. 541 748 5,500 7,300 Index/Year 2008 2009 2010 2011 2012 8,200
1991 1999 2000 2001 2002

1,093

2003

2004

1,865

2005

2,657

2006

3,806

2007

2008

2009

2010

2011

9,618

WORKFORCE GROWTH CHART

2012

10,419

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Information for shareholders

CHANgES IN SHARE cApITAL:

Sacombanks chartered capital in 2012 remained unchanged from 2011. For some objective reasons, its plan to increase chartered capital in 2012 could not be carried out in accordance with the Resolution of the General Meeting of Shareholders in 2011.

NUMbER Of STB SHARES by yEAR

NEW OPPORTUNITIES WITH STRONG

CAPITAL
With strong financial position and structure, Sacombank has grasped good business opportunities, turned challenges into opportunities, and become the pioneer bank to receive capital resources at reasonable rates from international financial institutions to support small and medium-sized enterprises in Vietnam.
670,053,300 511,583,084 444,881,417

Unit: million

1,200 1,073,967,664 1,073,967,664 917,923,013 900 800 700 600 500 400 300 208,941,281 200 100 0 1,100 1,000

2006

2007

2008

2009

2010

2011

2012

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Information for shareholders

(continued)

TENTATIVE pROfIT dISTRIbUTION IN 2012

Unit: VND Indicators
1 Profit before tax 2 In which: Non-taxable income 3 Non-deductible expenses upon determination of taxable income 4 Taxable income 5 Corporate income tax payable in 2012 6 Corporate income tax payable in arrears in 2011 7 Current corporate income tax payable 8 Deferred corporate income tax in 2012 9 Profit after tax including deferred CIT asset A Profit after tax for distribution B Transfer to Reserves for Supplementary Chartered Capital C Transfer to Financial Reserve Fund D Profit after tax and statutory reserves E Transfer to Investment and Development Fund Transfer to Bonus and Welfare Funds F Transfer to Bonus Fund G Transfer to Welfare Fund H Dividend (Chartered capital x Dividend payout ratio) I Retained earnings of previous years K Profit of the previous year used for dividend payment L Profit after tax, statutory reserves and dividend payment M Residual profit including deferred CIT asset H- D- F- G I-K K+(8) Dx Dx 9,739,676,640,000 7% 7% 6% (1) - (7) +(8) (1) - (7) Ax (A - B) x A-BC Dx 0% 81,215,099,866 40,607,549,933 40,607,549,933 584,380,598,400 162,506,347,023 85,487,842,086 77,018,504,937 385,933,630,120 5% 10% (5) + (6)

Shareholders being members of the Board of Directors, Board of Supervisors and Board of Management as at 11 January 2013 NO. FULL NAME BOARD OF DIRECTORS 1 2 3 4 5 6 7 8 9 10 Mr. PHAM HUU PHU Mr. TRAM BE Mr. KIEU HUU DUNG Mr. PHAN HUY KHANG Mr. TRAM KHAI HOA Mr. NGUYEN MIEN TUAN Mr. DANG VAN THANH Mr. DANG HONG ANH Mr. TRAN XUAN HUY BOARD OF SUPERVISORS 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Mr. NGUYEN TAN THANH Mr. NGUYEN VAN LY Mr. LE VAN TONG Ms. NGUYEN THI THANH MAI BOARD OF MANAGEMENT Mr. PHAN DINH TUE Mr. NGUYEN MINH TAM Mr. LE MINH TAM Mr. DAO NGUYEN VU Mr. LY HOAI VAN Ms. NGUYEN HAI TAM Ms. HA QUYNH ANH Mr. BUI VAN DUNG Ms. NGUYEN THI LE AN Mr. NGUYEN BA TRI Mr. HA VAN TRUNG Mr. VO ANH NHUE Mr. HO DOAN CUONG Deputy CEO Deputy CEO Deputy CEO Deputy CEO Deputy CEO Deputy CEO Deputy CEO Deputy CEO Deputy CEO Deputy CEO Deputy CEO Deputy CEO Deputy CEO 0.00% 0.01% 0.01% 0.01% 0.01% 0.01% 0.01% Resigned in 28/02/2013 0.00% 0.00% 0.00% 0.00% 0.01% 0.01% 0.00% Chief Supervisor Deputy Chief Supervisor Member of the BOS Member of the BOS 0.10% 0.00% 0.06% 0.02% Chairman of the BOD Standing Vice Chairman Vice Chairman of the BOD Member of the BOD cum CEO Member of the BOD Member of the BOD Member of the BOD Member of the BOD Member of the BOD 0.00% 0.01% 0.00% 1.3% 0.57% 1.94% 0.00% 3.976% Resigned in 05/11/2012 3.459% Resigned in 11/12/2012 0.04% Resigned in 16/03/2013 CURRENT POSITION SHAREHOLDING REMARKS PERCENTAGE

NOTES PERcENTAgE

AMOUNT
1,314,557,471,538 210,034,363,309 1,391,625,453,706 2,550,436,073,178 631,653,423,441 4,415,327,419 636,068,750,860 308,915,125,183 987,403,845,861 678,488,720,679 33,924,436,034 64,456,428,464 580,107,856,181

Ms. DUONG HOANG QUYNH NHU Member of the BOD cum Deputy CEO

Ms. QUACH THANH NGOC THUY Deputy CEO

Shareholding Structure SHAREHOLDING STRUCTURE Individual Corporate Total Vietnamese shareholders Foreign shareholders Vietnamese shareholders Foreign shareholders NUMBER OF SHAREHOLDERS 62,918 688 228 60 63,894

(As at 28 December 2012) SHAREHOLDING PERCENTAGE TO CHARTERED CAPITAL 62.89% 0.34% 31.68% 5.09%

Transactions of STB shares by members of the BOD, BOS and BOM and their related persons up to 31 December 2012 included 2 purchases and 15 sales, with total transaction volume of 288,431,252 shares.

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Performance of STB shares in 2012

PRICE MOVEMENTS AND TRADING VOLUME FROM 3 jAN 2012 TO 28 DEC 2012
SHARE INFORMATION 12 month price margin Total trading shares Capitalization (28 Dec 2012) 15,500 26,500 973,967,664 VND19,382 billion EPS BV P/E 1,029 11,551 19.3 P/B ROA ROE 1.78 0.68% 7.15% Beta 2011 Dividend 12 months average trading volume 0.73 14% 1,406,672
20.835 20.840

500 450

30,000

20.830

25,000

20.825

400
20.820 20,000

350 300
Jan 2012 Mar 2012 May 2012 July 2012 Sep 2012 Nov 2012

20.815 15,000 20.810

2012 continued to be a year of uncertainty for the stock market of Vietnam and STB shares. In the context of XAUmarket SJC economic difficulties, transactions in the stock USD (50,100) stagnated when the demands of both speculators and investors declined. At the close of business on 28 December 2012, VN Index reached 413.7 points, an increase of 63.7 points from early last year (equivalent to 18.2%); the average transaction volume for the whole year was 46,297,569 shares per session. The market saw fairly good recovery during the first months of the year thanks to positive macro-economic news as well as expectations that the market would escape the bottom of depression in 2011 when, in mid-August, the VN Index reached 437 points, an increase of 87.3 points (equivalent to 24.9%) from the beginning of the year. However, the August Event happened with sensitive information related to the finance and banking sector and has broken investors weak confidence. After this event, the market fell into prolonged recession from September to November and only recovered during year-end transactions, when the indexes strongly increased again, liquidity became better and investors have witnessed green color in consecutive transaction sessions in the stock market. Although the VN Index has still been unable to return to the peak of 486 points in May 2012, what happened can give investors hope of a brighter 2013 for the stock market of Vietnam.

+3.76%
46.50 46.25

STB was one of the 5 symbols with the highest shareholding 47.00 percentage (6%) and saw the strongest increase in shareholding percentage 46.75 last year to

valued the growth potentials of Sacombank, and met 46.00 the Board of Directors requirements, i.e. calling for cooperation/investment from committed investors to together target at developing Sacombank bigger and 45.75 stronger. 2011 ANNUAL GENERAL MEETING OF SHAREHOLDERS AND SUCCESSFUL TRANSFER 45.50 OF MANAGEMENT POWER AT SACOMBANK

VNIndex

STB

15,000,000 12,000,000 9,000,000 6,000,000 3,000,000 0

Jan 2012 Mar 2012 May 2012 July 2012 Sep 2012 Nov 2012

30,000

At the close of business on 28 December 2012, STB shares reached a price of VND19,900 per share, up On 26 May 2012, Sacombank held its 2011 Annual 7.57% from early that month and up 28.4% from early General Meeting of Shareholders. At the meeting, last year. In general, STB shares in 2012 fluctuated in many important 45.25 20.805 matters on the new shareholding 1 3 4line 5 with 6 7 the 8 10 11 12 13 14 15 17 18 19 20 the 21 22 24months 25 26 27 28 29 31 market: price hikes during first structure and the business plan of the Bank for of the year, declines after the August Event and a year- 2012 were approved, including: (1) A plan for end recovery. increasing chartered capital from VND10,740 billion CHANGES IN CAPITAL CONTRIBUTION STRUCTURE During the first months of the year, divestments by major shareholders like REE (42 million shares sold, equivalent to 3.92%), ANZ (103 million shares sold, equivalent to 9.61%), along with the appearance of the Major Shareholders Group (including Eximbank) made minor shareholders worried about the future of Sacombank. The actual purposes for withdrawal of the long-established shareholders are completely normal, for example, for restructuring of their investment portfolio (Dragon Capital) or concentration on their core businesses (REE, ANZ). Eximbanks capital contribution to Sacombank showed that it highly

25,000

20,000

15,000

to VND14,176 billion (equivalent to an increase of 32%) in 2012; (2) Profit after tax for 2012 targeted at VND3,400 billion, an increase of 24% from 2011; (3) A plan for sale of at most 15% of shares to foreign strategic partners; (4) Policy on merger and acquisition (M&A) with other banks in the period of 2012 2015; and (5) Policy on equitization of Sacombank Lease and 2 Subsidiary Banks in Cambodia and Laos, among other matters. However, economic difficulties and adverse changes in the stock market over the past time caused many of these intentions impossible to be completed this year.

Trading Volume

STB
Source: Bloomberg, Sacombank

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Performance of STB shares in 2012

(continued)

PERFORMANCE OF SUBSIDIARIES
The year 2012 ended with many difficulties and challenges for the economy of Vietnam in particular and the world economy in general. The financial year policy in parallel with the tight monetary policy directly affected the operation of all the enterprises and the banking sector. Therefore, the Subsidiaries and Subsidiary Banks of Sacombank have been significantly affected by the general difficulties of the economy. With thorough understanding of the Safety and Efficiency viewpoint as well as richly experienced staff, the Companies strictly followed their business plan, set out various solutions to respond in a timely manner to changes in the market, made the most of business opportunities and the advantages of broad network at home and abroad, and thus maintained a stable growth rates and satisfactory business performance. According to the audited consolidated financial statements, as at 31 December 2012, Sacombanks total assets reached VND152,119 billion, an increase of 8% from 2011. Of this, profitable assets accounted for 86.08%; consolidated profit before tax was VND1,368 billion in 2012. Sacombank-SBA This Subsidiary earned profit before tax of VND13.4 billion. Besides performing well activities in support of the Parent Bank such as valuation for the purposes of credit granting and administration of mortgaged goods, the Company proactively exploited the warehouses put for lease beyond their capacity and attached services in order to increase incomes. Sacombank-SBL Directly impacted by the economic depression and poor absorption of capital by the economy, as at 31 December 2012, its outstanding balance from financial leasing amounted to VND964 billion, a decrease of 0.2% from the growth target. However, the Company maintained a stable outstanding balance by diversifying financial leasing products and restructuring the leasing portfolio. So, it earned significant profit and paved the way for and outstanding balance growth plan for next year. The Company earned profit before tax of VND81.6 billion, an increase of VND6.6 billion from 2011, equal to 93% of target. Moreover, nonperforming loans were well controlled by Sacombank-SBL at 0.99% and the Company is considered as one of the few companies that best controlled non-performing loans in the financial leasing sector nowadays. Sacombank-SBJ In the context of the general economic difficulties and changes in the macro-economic policies, gold trading activities of enterprises were largely affected. However, with good analysis and forecast of the domestic and world gold market developments, as well as constant efforts of sales promotion in order to strongly boost jewellery trading, Sacombank-SBJ managed to maintain stable business operation and earned profit before tax of VND6.9 billion. Sacombank-SBR Revenues from overseas national currency exchange through the Sacombank system reached over US$1.67 billion, an increase of 6.6% from the previous year and equal to 98.3% of target. This Subsidiary became one of the companies having the largest revenues from overseas national currency exchange in Vietnam. Sacombank-SBR earned profit before tax of VND11.2 billion, an increase of 23% from the previous year and equal to 81% of target. In 2012, the Company set out strong solutions to attracting overseas national currency exchange from traditional markets, increased marketing efforts in search of new markets, markets where there are many overseas Vietnamese residents, Vietnamese guest workers, etc. The Company also effectively applied information technology to payments and acknowledgement, shortened payment time for customers, increased payment revenues and reduced its business risks. Sacombank Cambodia After one years conversion from the Phnom Penh Branch to a foreign wholly-owned Subsidiary Bank, by the end of 2012, Sacombank Cambodia had 5 business locations. As at 31 December 2012, its total deposits reached US$45 million, an increase of US$1.2 million from late 2011. Of this, deposits from economic organizations and residents amounted to US$23.1 million, an increase of US$8.9 million (or 64%) from 2011. Sacombank Cambodia provided loans of totally US$62.9 million, an increase of US$6.9 million (or 29%) from 2011. It earned profit before tax of US$1.5 million (equivalent to VND32 billion) and became one of the foreign banks earning the highest profit in Cambodia.

Along with changes in the shareholding structure and the agreement in the General Meeting of Shareholders is the transfer of management power. Some former members of the Board of Directors withdrew for different reasons including Mr. Dang Van Thanh who founded and has developed the Bank for 21 years. There was a smooth hand-over of management power to new members with expectations that all the business operations of Sacombank would continue to be strengthened and developed further in the financial market of Vietnam. POSITIVE RATINGS FOR SACOMBANK BY CREDIT RATING ORGANIZATIONS Despite many changes last year, Sacombank was always well rated by international credit rating organizations with stable outlook, reflecting the quality of Sacombanks business performance and stable growth rate before the challenges of Vietnamese and world economies. - In a report in September 2012, Moodys rated Sacombanks stand-alone credit profile at E+, equivalent to long-term credit rating at level b1, thanks to Sacombanks current strengths. In addition, Moodys recognized that Sacombanks Capital Adequacy Ratio level 1 is higher than other local banks and its liquidity position is currently improved thanks to a 16% growth in deposits of personal and corporate customers, and its loan portfolio reduced by 3% from early last year. - S&P also had a positive view about Sacombank when raising credit rating for the Banks long-term Issue Credit Rating from B+ to BB-, and keeping its short-term Issue Credit Rating at B-, with a stable outlook for both ratings. In addition, S&P adjusted long-term credit ratings for Sacombank from axBB to axBB+ and kept its short-term credit rating at axB according to the ASEAN Regions scale. STB SHARES ARE SELECTED IN INVESTMENT PORTFOLIOS OF ETF FUNDS As already mentioned, the year 2012 saw many changes for the stock market in general and STB shares in particular; however, international investors still view STB shares as worth investing in. Last year, STB shares continuously appeared in higher percentages in the restructured investment portfolios of such ETF funds as Market Vectors Vietnam Index, FTSE Vietnam Index, etc. Currently in the investment portfolio of Market Vectors

Vietnam Index finalized as at 21 December, STB was one of the 5 symbols with the highest shareholding percentage (6%) and saw the strongest increase in shareholding percentage last year to +3.76%. Furthermore, in the investment portfolio of the biggest ETF Fund in the world, iShare, STB accounts for 0.35% and ranks 3rd by percentage among the 7 Vietnamese symbols invested by iShare (including CTG, BVH, STB, MSN, VCB, VIC, and DPM). SACOMBANK ANNOUNCES BUSINESS OPERATION RESULTS FOR 2012 In January 2013, Sacombank announced the business operation results of the Parent Bank for 2012. In the context of difficulties and bad debts in the economy last year, the Bank made significant provision for risks, so its business operation results were affected. Last year, Sacombanks profit before tax was VND1,315 billion, equivalent to 39% of target. Considering the scale and nature the business results of Sacombank in 2012 are in line with the viewpoint of safe and efficient operations. In 2012, total assets of the Bank were improved stably and sustainably and grew by 8% from 2011. Deposits from economic organizations and residents grew by over 24% in the context of increasing competition, thanks to launches of products and services and focal stimulus programs suitable for each market segment; promotion of brand and nation-wide network advantages; as well as internal incentives and improvement of the sales force and selling skills in order to enlarge the scale of deposits at business units across the Banks system. In general, adverse developments of the economy and the transfer of management power had certain impacts on Sacombanks business operations last year, which led to lower business operation results than expected. The economy of Vietnam in general and the banking sector in particular are forecast to continue to face many challenges in 2013. The Leadership and employees of Sacombank have developed specific action plans and will make their best efforts to achieve business objectives and maximize value for Shareholders and Investors.

In general, despite unfavourable economic conditions and great changes in the financial market, the Subsidiaries and Subsidiary Bank contributed significantly to the total profit of Sacombank in 2012. In future, the Subsidiaries and Subsidiary Bank will continue to make great efforts to boost all their business activities for sustainable growth and development in order to achieve the rate of return targeted by Sacombank.

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NEW HOPE WITH STRONG

COMMITMENT

SUSTAINABLE DEVELOPMENT REPORT

ENVIRONMENTAL AND SOCIAL SYSTEM OF SACOMBANK

MANAGEMENT

In the current market, environmental and social responsibility attracts increasing interest from financial institutions and can be a core differentiating factor between a good financial institution and an excellent financial institution. Whether big or small in terms of business scale, a financial institution that views environmental and social responsibility and sustainable development as important areas can set the foundation for stabile, ethical and responsible growth. In 2009, aware of the importance of sustainable development, Sacombank adopted Environmental Policies. Through such Environmental Policies, Sacombank has shown its commitment to providing financial services in an environmental and socially responsible manner; and environmental risks arising from the business activities of customers have been evaluated and classified at the same time as appraisal for credit granting.

Program Finance Initiative: announcements of financial institutions on environment and sustainable development; (iii) Tripartite declaration of principles concerning multinational enterprises and social policy prepared by the International Labour Organization (ILO); (iv) International Finance Corporation (IFC) Performance Standards and the Equator Principles criteria for project financing. The new ESMS system consists of: environmental policies; (ii) Procedures environmental impact assessment; (iii) a socio-environmental impact assessment, as (i) Socioof socioToolkit for follows:

Side by side, we grow is what committed by Sacombank in efforts of bringing the greatest value to its shareholders, customers, partners and employees. Sacombank is also the first bank in Vietnam to set out social and environmental policies in compliance with international standards, and conducts annual community development activities in the hope of contributing to the countrys development towards prosperity.

In 2011, with financial support and agreement from Developed Financial Institutions (FMO, DEG, BIO, NORFUN), Sacombank requested for PricewaterhouseCoopers to consult on redevelopment of its Environmental and Social Management System (ESMS). This is an advanced ESMS that promotes the application of international standards and practices in order to mitigate negative impacts on the environment and the community, including: (i) United Nations Global Compact; (ii) United Nations Environment
Screening

1. The Socio-environmental policies and procedures identify the scope of application to corporate/ individual customers approved for credit granting by Sacombank for business and production purposes, and specify a consistent socio-environmental risk management model from the Board of Directors (taking the highest responsibility for socioenvironmental risk management at Sacombank), the Board of Management (directly managing, leading and monitoring the management of the ESMS system) to each employee directly involved in the process of evaluation of socio-environmental risks arising from the business activities of customers and the transactions for which Sacombank is requested to finance. 2. Procedures of socio-environmental impact assessment: The procedures of socio-environmental impact assessment comprise the steps shown in the following chart:

Red Alert

Excluding Portfolio

Refusing/Referencing according to DFIs requirements

Appraising the effects to the Social and Environment at customers level

High Asking for ESMS opinions Submitting to responsible authorities to get approval Checking/Supervising the effects of customers to the Social and Environment Writing Social and Environmental Report

Yellow Alert
Appraising the effects to the Social and Environment at transaction level

Medium

Low

Green Alert

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SUSTAINABLE DEVELOPMENT REPORT

(continued)

JOINING HANDS FOR THE COMMUNITY

A customer-oriented approach in doing business and a community-oriented approach in community development activities are Sacombanks guidelines of action for the happiness and prosperity of the community. Right from its early days, despite difficulties in business and limited resources for community development, Sacombank warmly responded to charity and community development activities. Especially, in recent years, when business activities have become stable and increasingly profitable, Sacombank is more able to conduct community development activities and show its corporate social responsibility. In 2004, the Scholarship Fund Sacombank Nurturing Dreams came into existence with the aim of supporting needy students who show promise. The financial resources for this fund came from the appropriation of 1% of the annual net profit of Sacombank. In 2012, Sacombank granted more than 2,456 scholarships worth over VND3.7 billion in total to needy pupils and students with a high level of academic achievement and new valedictorians across the country in locations where Sacombanks Branches are based. On 17 September 2012, implementing the policies of the Peoples Committee of Ho Chi Minh City on supporting small business people to have better access to professional business style, contributing to building commercial culture and civilization in Ho Chi Minh City, Sacombank continued to coordinate with the Peoples Committee of Ho Chi Minh City, the Department of Industry and Trade of Ho Chi Minh City, the Vietnam Womens Union of Ho Chi Minh City, the University of Economics Ho Chi Minh City, and the Peoples Committees of districts to conduct the program Training on Selling Skills for Small Business People at Wet Markets of Ho Chi Minh City for the 4th time, with total expense of nearly VND650 million. This years training program attracted nearly 730 executives and 4,800 small business people at wet markets of 12 districts in HCMC. In 2012, Sacombank continued to accept Sacombank Potential Interns. The program of accepting students for internships at Sacombank is organized every year. Not only does this program give students the opportunity to access practical work experience, but it also serves as a large-scale personnel recruitment program for Sacombank through which students are chosen to share opportunities to accompany Sacombank and the financial and banking industry into the future.

General selection is to identify transactions that fall into the list of activities not approved for financing (Exclusion List). The selection results serve as alerts similar to a traffic light system, where green color means the transactions will be approved under a normal credit granting process, yellow color means deeper socio-environmental impact assessment steps will be required, and red color means such transactions are unacceptable. Customer-level socio-environmental impact assessment applies in case the transactions in question receive yellow color in the general selection result. The customer-level assessment focuses on evaluation of commitments to management of socio-environmental impacts from customers business activities, as well as the customers socio-environmental performance compared with industry standards and best practices. Results of this assessment level include: Above industry standard, At industry standard, Below industry standard and Weak. Transaction-level socio-environmental impact assessment applies in case the transactions in question receive yellow color in the general selection result. The transaction-level assessment helps identify and classify socio-environmental risks related to a specific transaction, including assessment of the effectiveness of management by customers of socioenvironmental risks identified at the customer-level assessment and classification of risk exposure of the transaction as Level A (the category having bad and serious social and/or environmental impacts, and being of diverse, irreversible or unprecedented nature), Level B (the category having bad but less serious social and/or environmental impacts) or Level C (the category only having minimal or no adverse social and/or environmental impacts). Upon completion of customer-level and transactionlevel assessments, the results of customers socioenvironmental risks include High, Medium, or Low, which are the basis for deciding whether such transaction will be forwarded to the Social and Environmental Team for their comments before submission to an authorized person for making the relevant financing decision.

3. The Toolkit for socio-environmental impact assessment (in Excel) consists of a collection of questions used for performing the General Selection, Customer-level Assessment and Transaction-level Assessment. By adopting the new ESMS system, Sacombank is able to assess and classify social and environmental risks arising from the business activities of customers and the transactions of customers that Sacombank intends to finance. Hence, Sacombank can identify possible social and environmental risks and the impacts of such risks on the business activities of Sacombank so that it can make proper financing decisions. In addition, Sacombank has also set up an ESMS Team for: (i) training of personnel directly involved in the assessments; and (ii) participation in the assessment of social and environmental impacts of customers. The new ESMS system has been officially adopted across Sacombanks network in Vietnam since the 8th of October 2012. Although the implementation of the new ESMS system may face many challenges in connection with possible changes in competition, with strong determination to become a pioneering bank in sustainable development in Vietnam, Sacombank will take this opportunity to differentiate from its competitors in the market and thus will have access to more international sponsors and investors interested in sustainable development. In addition, the new ESMS system also helps reduce negative socio-environmental impacts arising from the business activities of customers and impacts customers overall social and environmental performance. By doing so, Sacombank will contribute to building a more sustainable society for future generations. After 3 months of implementation of the ESMS, all the new customers and refinanced customers of Sacombank will be fully assessed by the Bank for social and environmental impacts. Although there remained errors in the use of the assessment tool in selection of proper responses, such errors are insignificant. For the ESMS system to be further improved to deliver higher efficiency during application, Sacombank has plans to continue to carry out the following works: (i) continue to improve the capabilities of the team conducting ESMSrelated works through training courses; (ii) integrate the socio-environmental impact assessment tool into the existing credit granting program; (iii) build a system for reporting loan portfolio, including information on socioenvironmental impact assessment results, used for reporting, statistics, and evaluation.

a community oriented approach in community development activities are Sacombank.

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JOINING HANDS FOR THE COMMUNITY

(continued)

Binh Duong, Dong Nai, Tra Vinh, Ben Tre, Tien Giang and Long An Provinces. In addition, in 2012, Sacombank participated in other activities such as: construction of houses of affection; sponsorship for charity houses; donation of stone benches to parks, cultural centers, schools and airports; contribution to a charitable fund for dioxin victims; contribution to the For The Poor Fund in provinces and cities in Vietnam and abroad, such as construction of houses of affection for needy people and Laotian mothers who have contributed to the revolution in Laos with total funding of US$5,000, sponsorship of eye surgery for needy blind people, support for victims of natural calamities, etc. In general, Sacombanks community development policies and activities are all aimed at supporting the vulnerable people in society in the most practical and effective manner possible, contributing to increasing social equality and showing the enterprises responsibility to the country.

All the community development policies and charity activities of Sacombank are based on the goal of supporting vulnerable groups in society in the most practical and effective manner, contributing to improve equality and showing its corporate social responsibilities.

Since 2004, Sacombank has officially organized the cross-country running prize Sacombank Running for community health and made it an annual event on the occasion of opening ceremonies and anniversaries of the Branches across its entire system. In 2012, Sacombank organized the crosscountry running prize in 46 out of 63 provinces and cities where Sacombanks Branches are based, helping to promote the emulation movement called wellness for start-up among pupils, students and young people nationwide. 3 February 2013: Sacombank coordinated with the HCMC Relief Association for Handicapped Children to organize the Year of the Snake Charity Festival the at Phu Tho Indoors Sports Stadium (HCMC) for over 6,000 lonely elderly people, street children and needy disabled children who are supported and cared for in nursing homes, orphanages and charity houses in HCMC and neighboring provinces. This was the 10th consecutive year that Sacombank had organized the Charity Festival at the beginning of the New Year. So far, total funding of Sacombank for this program has been VND22.5 billion, appropriated from the Welfare Fund and Labor Union Fund of Sacombank and contributions from customers. The organization of the Spring Charity Festival on an annual basis shows Sacombanks responsibility to the community, joining hands with the community to strive for a better life. As part of the Year of the Snake Charity Festival activities, from 14 to 20 January 2013, Sacombank visited, gave Tet wishes and presented 21 tons of rice, 1 ton of sugar, 100 kg of seasoning powder, 50 boxes of sweetened condensed milk and nearly VND320 million to some charity centers in HCMC,

NO. PROGRAMS 1 2 3 4 5 Sacombank Scholarship Nurturing Dreams Running for Community Health Charity Program welcoming the New Year of the Snake 2013 Stone bench donation Care for employees living conditions (March 8th, support for needy employees family, International Childrens Day June 1st)

AMOUNT 3,772,950,000 7,620,000,000 4,316,000,000 1,677,860,000 2,615,708,000 20,002,518,000

TOTAL

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2012

SEPARATE FINANCIAL STATEMENTS

For the year ended 31 december 2012

FINANCIAL
STATEMENTS
Separate financial statements Consolidated financial statements and Notes for Consolidated financial statements Explanations about Consolidated financial statements

CONTENTS
The Banks information Statement by the Board of General Directors Auditors report Balance sheet (Form B 02/TCTD) Income statement (Form B 03/TCTD) Cash flow statement (Form B 04/TCTD) Notes to the separate financial statements (Form B 05/TCTD) (*) For detail information, please access website by: http://www.sacombank.com.vn/en/investor/Pages/Annual-Report.aspx 72 74 75 77 80 81

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THE BANKS INFORMATION

Banking Licence No. Business Registration Certificate 0006/NHGP dated 5 December 1991 The Banking Licence was issued by the State Bank of Vietnam (the SBV) for a period of 50 years from the date of the licence. No.0301103908 dated 13 January 1992 The Business Registration Certificate and its subsequent amendments were issued by the Planning and Investment Department of Ho Chi Minh City. Board of General Directors

THE BANKS INFORMATION

(continued)

Board of Management Mr Pham Huu Phu Chairman Mr Dang Van Thanh Chairman Member Mr Tram Be Vice Chairman - Permanent Mr Dang Hong Anh Member Mr Tran Xuan Huy Member Ms Huynh Que Ha First Vice Chairwoman Mr Kieu Huu Dung Vice Chairman and independent member Mr Tram Khai Hoa Member Ms Duong Hoang Quynh Nhu Member Mr Phan Huy Khang Member Mr Nguyen Mien Tuan Member Mr Lim Peng Khoon Member Mr Pham Duy Cuong Member Mr Nguyen Chau Member Mr Nguyen Ngoc Thai Binh Member Board of Supervisors Mr Nguyen Tan Thanh Mr Le Van Tong Ms Nguyen Thi Thanh Mai Mr Nguyen Van Ly Chief Supervisor Supervisor Supervisor Supervisor

(appointed on 2 November 2012) (resigned on 2 November 2012) (appointed on 26 May 2012) (appointed on 23 April 2012) (appointed on 26 May 2012) (resigned on 26 May 2012) (appointed on 26 May 2012) (appointed on 26 May 2012) (appointed on 26 May 2012) (appointed on 26 May 2012) (appointed on 26 May 2012) (resigned on 26 May 2012) (resigned on 26 May 2012) (resigned on 26 May 2012) (resigned on 26 May 2012)

Mr Phan Huy Khang General Director (appointed on 3 July 2012) Mr Tran Xuan Huy General Director (resigned on 1 June 2012) Ms Quach Thanh Ngoc Thuy Deputy General Director Mr Ly Hoai Van Deputy General Director Mr Nguyen Minh Tam Deputy General Director Ms Duong Hoang Quynh Nhu Deputy General Director (appointed on 14 June 2012) Ms Nguyen Thi Le An Deputy General Director (appointed on 24 July 2012) Ms Ha Quynh Anh Deputy General Director (appointed on 28 June 2012) Ms Nguyen Hai Tam Deputy General Director (appointed on 23 April 2012) (resigned on 28 February 2013) Mr Nguyen Ba Tri Deputy General Director (appointed on 26 July 2012) Mr Phan Dinh Tue Deputy General Director (appointed on 14 June 2012) Mr Bui Van Dung Deputy General Director (appointed on 29 March 2012) Mr Pham Nhat Vinh Deputy General Director (resigned on 1 October 2012) Mr Le Minh Tam Deputy General Director (appointed on 26 March 2012) Mr Dao Nguyen Vu Deputy General Director Mr Nguyen Dang Thanh Deputy General Director (resigned on 14 May 2012) Mr Vo Anh Nhue Deputy General Director (appointed on 1 October 2012) Mr Ho Doan Cuong Deputy General Director (appointed on 1 October 2012) Mr Ha Van Trung Deputy General Director (appointed on 10 October 2012) Mr Ha Ton Trung Hanh Deputy General Director (appointed on 28 February 2013) LICENCED AcTiViTies The principal activities of Sacombank (the Bank) are to mobilise short, medium and longterm capital in the form of time deposits, demand deposits, certificates of deposit; receive investment funds; receive capital from local and overseas financial institutions; grant short, medium and longterm loans; discount commercial paper, bonds and valuable documents; investments in subsidiaries, associates, jointventures and other companies; provide settlement services to customers; deal in foreign exchange, gold; provide international settlements services; investment in bonds and other securities; provide investment and asset management services, other banking services.

The Banks registered office 266268 Nam Ky Khoi Nghia Street, District 3, Ho Chi Minh City (appointed on 26 May 2012) The Banks auditor PricewaterhouseCoopers (Vietnam) Limited

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Statement bY the BoarD of GeneraL DireCtors

STATEMENT OF THE RESPONSIBILITY OF THE BOARD OF GENERAL DIRECTORS IN RESPECT OF THE SEPARATE FINANCIAL STATEMENTS The Board of General Directors of Saigon Thuong Tin Commercial Joint Stock Bank (the Bank) is responsible for preparation of the separate financial statements which give a true and fair view of the financial position of the Bank as at 31 December 2012 and of its results of operations and cash flows for the year then ended. In preparing these separate financial statements, the Board of General Directors is required to: select suitable accounting policies and then apply them consistently; make judgments and estimates that are reasonable and prudent; and prepare the separate financial statements on a going concern basis unless it is inappropriate to presume that the Bank will continue in business. The Board of General Directors is responsible for ensuring that proper accounting records are kept which disclose, with reasonable accuracy at any time, the financial position of the Bank and which enable separate financial statements to be prepared which comply with the basis of accounting set out in Note 2 to the separate financial statements. The Board of General Directors is also responsible for safeguarding the assets of the Bank and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. APPROVAL OF THE SEPARATE FINANCIAL STATEMENTS We hereby approve the accompanying separate financial statements on page 77 to page 82 which give a true and fair view of the financial position of the Bank as at 31 December 2012 and of the results of its operations and cash flows for the year then ended in accordance with Vietnamese Accounting Standards, the Vietnamese Accounting System and regulations applicable to banks and other credit institutions operating in SR Vietnam. Users of these separate financial statements should read them together with the Groups consolidated financial statements as at 31 December 2012 and of the results of its operations and cash flows for the year then ended in order to obtain full information on the financial position, results of operations and changes in financial position of the Group as a whole. For and on behalf of the Board of General Directors

AUDitors rePort
INDEPENDENT AUDITORS REPORT TO THE SHAREHOLDERS OF SAIGON THUONG TIN COMMERCIAL JOINT STOCK BANK We have audited the accompanying separate financial statements of Saigon Thuong Tin Commercial Joint Stock Bank (the Bank) which were approved by the Board of General Directors on 1 April 2013. The separate financial statements comprise the balance sheet as at 31 December 2012, the income statement and cash flow statement for the year then ended, and explanatory notes to the separate financial statements including significant accounting policies, as set out on page 77 to 82. The Board of General Directors Responsibility for the separate Financial Statements The Board of General Directors of the Bank is responsible for the preparation and fair presentation of these separate financial statements in accordance with Vietnamese Accounting Standards, the Vietnamese Accounting System and regulations applicable to banks and other credit institutions operating in SR Vietnam. This responsibility includes: designing, implementing and maintaining internal controls relevant to the preparation and fair presentation of separate financial statements that are free from material misstatement, whether due to fraud or error; selecting and applying appropriate accounting policies and making accounting estimates that are reasonable in the circumstances. Auditors Responsibility Our responsibility is to express an opinion on these separate financial statements based on our audit. We conducted our audit in accordance with Vietnamese Standards on Auditing. Those standards require that we comply with ethical requirements and plan and perform the audit in order to obtain reasonable assurance as to whether the separate financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the separate financial statements. The procedures selected depend on the auditors judgment, including an assessment of the risks of material misstatement of the separate financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal controls relevant to the entitys preparation and fair presentation of the separate financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entitys internal controls. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the separate financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Opinion

Phan Huy Khang General Director Ho Chi Minh City, SR Vietnam 1 April 201

In our opinion, the separate financial statements present fairly, in all material respects, the financial position of the Bank as at 31 December 2012, and its financial performance and cash flows for the year then ended in accordance with Vietnamese Accounting Standards, the Vietnamese Accounting System and regulations applicable to banks and other credit institutions operating in SR Vietnam.

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FORM B 02/TCTD

AUDitors rePort
(continued)

BALANCE SHEET
As at 31 December 2012 Notes A I II III 1 2 3 IV 1 2 V VI 1 2 1 2 3 1 4 5 IX 1 a. ASSETS Cash, gold, silver and gemstone Balances with the State Bank Placements with and loans to other credit institutions Placements with other credit institutions Loans to other credit institutions Less: Provision for losses on loans to other credit institutions Trading securities Trading securities Less: Provision for diminution in value of trading securities Derivatives financial instruments and other financial assets Loans and advances to customers Loans and advances to customers Less: Provision for losses on loans and advances to customers Availableforsales investment securities Heldtomaturity investment securities Less: Provision for diminution in value of investment securities Investments in subsidiaries Other longterm investments Less: Provision for diminution in value of investments in other entities and longterm investments Fixed assets Tangible fixed assets Historical cost Accumulated depreciation Intangible fixed assets Historical cost Accumulated amortisation Other assets Other receivables Fee and interest income receivables Deferred tax assets Other assets Provisions for losses on other assets TOTAL ASSETS 34 13.2 13.3 13 13.1 12 12 8 8.8 9.1 9.2 9.1, 9.2 10 11 10, 11 6 6 7 5 5 5 3 4 9,557,433 4,425,789 7,959,841 3,350,221 4,648,231 (38,611) 1,272,179 1,424,765 (152,586) 383,377 92,669,316 94,079,957 (1,410,641) 19,922,640 19,605,574 800,000 (482,934) 2,057,131 1,848,294 477,202 (268,365) 4,769,056 2,434,763 3,129,056 (694,293) 2,334,293 2,609,166 (274,873) 8,264,776 4,547,096 2,168,218 308,915 1,954,125 (713,578) 151,281,538 11,644,700 2,572,440 9,672,911 8,693,734 980,542 (1,365) 349,355 504,786 (155,431) 2,852 77,669,353 78,448,928 (779,575) 24,368,177 24,164,301 232,124 (28,248) 2,463,418 1,837,294 783,582 (157,458) 3,439,254 1,847,129 2,382,776 (535,647) 1,592,125 1,757,306 (165,181) 7,954,514 4,753,705 2,220,949 979,860 140,136,974 Million VND 2011 Million VND

Emphasis of Matter Without qualifying our opinion, we draw attention to the following matters: As set out in Note 13.1(ii)(a) of the separate financial statements, the Bank entered into an agreement with Mr. Dang Van Thanh, the Banks former Chairman and Mr. Dang Hong Anh, the Banks Vice Chairman on 5 December 2012. In accordance with this agreement, the Bank agreed to use the 7.435% stake (79,842,647 shares) of Mr. Dang Van Thanh and Mr. Dang Hong Anh in the Bank to settle underlying related loans, investments in bonds and other receivables at the total agreed value of VND1,596,853 million. Accordingly, these shares were classified as foreclosed assets in the Banks financial statements for the year ended 31 December 2012 at the value of VND1,596,853 million. In this case, the Bank has used its own shares as the foreclosed assets. However, the Bank has already reported this agreement to the State Bank of Vietnam in Letter No. 778/CVKT dated 12 March 2013. The Bank has also informed the State Securities Commission and the Ho Chi Minh Stock Exchange about this agreement. As set out in Note 8.3 of the separate financial statements, in the year of 2012, the Bank granted to a number of companies certain significant loans for a short term of one year for long term purposes to refinance real estate projects. The total aggregate exposure of these loans as at 30 November 2012 and 31 December 2012 was VND7,954,894 million and VND9,019,894 million, respectively. As at 30 November 2012 and 31 December 2012, these loans were still performing and classified in Group 1 Current. It is evidenced that these loans were granted inappropriately following Decision No.1627/2001/QDNHNN dated 31 December 2001 regarding regulations on lending by credit institutions and Law on Credit Institutions No. 47/2010/QH12 in respect of conditions for lending, evaluation and decision on lending and monitoring of loan use purpose. As set out in Note 13.1 (iii) of the separate financial statements, in 2012, the Bank signed securities reserve repurchase agreements with a number of individuals. As at 31 December 2012, the total value of these agreements reduced to VND222,009 million from VND757,264 million as at 30 June 2012. This is a new business activity with material value to the Bank and the Bank has prepared its own accounting policy to apply for this activity as presented in Note 2.17. However, the Bank has stopped signing any new securities reserve repurchase agreement since September 2012.

VII Investment securities

VIII Investments in other entities and longterm investments

Richard Peters Nguyen Hoang Nam AC No. N.0561/KTV AC No. 0849/KTV Deputy General Director Authorised signatory PricewaterhouseCoopers (Vietnam) Limited Ho Chi Minh City, SR Vietnam Review report number HCM3639 1 April 2013 As indicated in Note 2.1 to the separate financial statements, the accompanying separate financial statements are not intended to present the financial position and results of operations and cash flows in accordance with accounting principles and practices generally accepted in countries and jurisdictions other than SR Vietnam, and furthermore their utilisation is not designed for those who are not informed about SR Vietnams accounting principles, procedures and practices.

b. 3 a. b. XI 1 2 3 4 5

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FORM B 02/TCTD

FORM B 02/TCTD

BALANCE SHEET
(continued)
OFF BALANCE SHEET ITEMS As at 31 December Notes
B I II 1 2 III V VI 1 2 3 LIABILITIES AND EQUITY Borrowings from the Government and the State Bank of Vietnam Placements and borrowings from other credit institutions Placements from other credit institutions Borrowings from other credit institutions Deposits from customers Capital financed, entrusted investments and other orrowings Valuable papers issued Fee and interest expense payable Other liabilities Other provisions ToTAl LiAbiliTies VIII EQUITY 1 a. b. c. d. 2 3 5 Capital Charter capital Share premium Treasury share Other capital Funds of credit institution Foreign exchange differences Undistributed earnings TOTAL EQUITY TOTAL LIABILITIES AND EQUITY 20.1 21 21 20.2 21 21 21 10,905,440 10,739,677 1,671,693 (1,506,878) 948 1,517,850 79,046 911,528 13,413,864 151,281,538 10,961,760 10,739,677 1,671,693 (1,450,558) 948 1,426,322 79,046 1,756,970 14,224,098 140,136,974 19.1 19.2 15 15 16 17 18 14 4,684,811 1,088,945 3,595,866 107,086,505 4,204,909 7,776,549 14,114,900 1,282,341 12,752,871 79,688 137,867,674 2,129,609 12,440,982 6,277,167 6,163,815 74,799,927 4,526,227 17,616,708 14,399,423 1,284,859 12,984,672 129,892 125,912,876

BALANCE SHEET
(continued)

As at 31 December Notes 2012 Million VND 2011 Million VND

2012 Million VND

2011 Million VND

I 1 2 3

Contingent liabilities Borrowing commitments Letter of credit commitments Other guarantees

37 37 37

10,987,417 350,743 7,200,715 3,435,959

8,263,238 35,700 5,649,112 2,578,426

VII Other liabilities

Luu Van Hoa Huynh Thanh Giang Preparer Chief Accountant

Phan Huy Khang General Director 1 April 2013

Luu Van Hoa Huynh Thanh Giang Preparer Chief Accountant

Phan Huy Khang General Director 1 April 2013

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FORM B 03/TCTD

FORM B 04/TCTD

INCOME STATEMENT
For the year ended 31 December Notes 1 2 I 3 4 II III IV V 5 6 VI VII VIII IX X XI 7 8 XII XIII Interest and similar income Interest and similar expenses Net interest income Fees and commission income Fees and commission expenses Net fee and commission income Net profit from dealing in foreign currencies, gold and derivative instruments Net profit/(loss) from trading of trading securities Net loss from trading of investment securities Other incomes Other expenses Net other (expense)/income Income/(loss) from investments in other entities General and administrative expenses Operating profit before provision for credit losses Provision for credit losses Profit before tax Business income tax current Business income tax deferred Business income tax Net profit for the year 34 34 5, 8.8, 13.3,19.2 32 30 31 27 28 29 25 26 23 24 2012 Million VND 16,631,311 (10,387,039) 6,244,272 1,135,269 (411,616) 723,653 183,356 3,585 (387,086) 38,138 (80,164) (42,026) 14,829 (4,092,172) 2.648.411 (1,333,855) 1,314,556 (636,069) 308,915 (327,154) 987,402 2011 Million VND 17,105,151 (11,609,503) 5,495,648 1,387,936 (452,496) 935,440 123,470 (79,609) (10,723) 261,039 (156,065) 104,974 (58,179) (3,394,750) 3.116.271 (376,041) 2,740,230 (707,045) (707,045) 2,033,185
17 18 19 20 21 23 11 12 13 14 16 01 02 03 04 05 07 08

CASH FLOW STATEMENT

For the year ended 31 December 2012 Million VND
CASH FLOWS FROM OPERATING ACTIVITIES Interest income and similar incomes received Interest expense and similar expenses paid Fee and commission income received Net amount received from other operating activities (foreign currencies, gold and securities) Other incomes Payments to employees and for administrative expenses Business income tax paid NET CASH FLOW FROM OPERATING ACTIVITIES BEFORE CHANGES IN WORKING CAPITAL Changes in operating assets Decrease in placements with and loans to other credit institutions Decrease/(increase) in trading securities (Increase)/decrease in derivative financial instruments and other financial assets Increase in loans and advances to customers Decrease/(increase) in other operating assets Decrease in other operating assets as a result of converting Cambodia Branch into the subsidiary Changes in operating liabilities Decrease in borrowings from the Government and the SBV Decrease in placements and borrowings from other credit institutions Increase/(decrease) in deposits from customers Decrease in valuable papers issued (Decrease)/increase in capital financed, entrusted investments and other borrowings (Decrease)/increase in other operating liabilities Decrease in other operating liabilities as a result from converting Cambodia Branch into the subsidiary 24 I Payments from funds of credit institutions NET CASH FLOWS FROM OPERATING ACTIVITIES (2,129,609) (7,756,171) 32,286,578 (9,840,159) (321,318) (1,190,080) (229,684) (1,374,933) (2,559,192) (2,939,188) (3,855,860) (7,329,428) 2,292,350 11,752,354 (305,659) (254,142) (2,059,950) 198,976 2,097,150 (380,525) (16,672,350) 408,044 4,352,432 (4,348,284) 4,230 (1,983,609) (1,012,182) 1,469,922 16,517,688 (10,398,239) 723,653 277,675 8,834 (4,260,250) (715,146) 2,154,215 16,441,214 (11,372,263) 935,440 97,421 47,161 (2,758,550) (734,117) 2,656,306

(Direct method)

2011 Million VND

Luu Van Hoa Huynh Thanh Giang Preparer Chief Accountant

Phan Huy Khang General Director 1 April 2013

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FORM B 04/TCTD

CASH FLOW STATEMENT

(Direct method) (continued)

For the year ended 31 December 2012 Million VND CASH FLOWS FROM INVESTING ACTIVITIES 01 02 07 08 09 Purchases of fixed assets Proceeds from disposals of fixed assets Payments for investments in other entities Proceeds from disposal of investments in other entities and other longterm investments Dividend income and income from investments in other entities Increase in investment as a result of converting Cambodia Branch into the subsidiary II NET CASH FLOWS FROM INVESTING ACTIVITIES CASH FLOWS FROM FINANCING ACTIVITIES 01 04 05 III IV V VII Increase in charter capital Dividends paid Payments for purchasing treasury shares NET CASH FLOWS FROM FINANCING ACTIVITIES NET DECREASE IN CASH AND CASH EQUIVALENTS CASH AND CASH EQUIVALENTS AT BEGINNING OF THE YEAR CASH AND CASH EQUIVALENTS AT END OF THE YEAR (40,103) (56,320) (96,423) (1,980,766) 18,774,569 16,793,803 1,560,447 (1,335,426) (1,450,558) (1,225,537) (5,327,028) 24,101,597 18,774,569 (758,683) 18,788 (11,000) 85,870 155,615 (509,410) (1,764,720) 174,973 (150,223) 260,686 141,991 (704,248) (2,041,541) 2011 Million VND

CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 31 December 2012

CONTENTS
The Banks information Statement by the Board of General Directors Auditors report Luu Van Hoa Huynh Thanh Giang Preparer Chief Accountant Phan Huy Khang General Director 1 April 2013 Consolidated balance sheet (Form B 02/TCTD HN) Consolidated income statement (Form B 03/TCTD HN) Consolidated cash flow statement (Form B 04/TCTD HN) Notes to theconsolidated financial statements (Form B 05/TCTD HN) 84 86 87 89 92 93 95

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The Banks information

Banking Licence No. Business Registration Certificate 0006/NHGP dated 5 December 1991 The Banking Licence was issued by the State Bank of Vietnam (the SBV) for a period of 50 years from the date of the licence. No.0301103908 dated 13 January 1992 The Business Registration Certificate and its subsequent amendments were issued by the Planning and Investment Department of Ho Chi Minh City Board of General Directors

The Banks information

(continued)

Board of Management Mr Pham Huu Phu Chairman Mr Dang Van Thanh Chairman Member Mr Tram Be Standing Vice Chairman Mr Dang Hong Anh Member Mr Tran Xuan Huy Member Ms Huynh Que Ha First Vice Chairwoman Mr Kieu Huu Dung Vice Chairman and independent member Mr Tram Khai Hoa Member Ms Duong Hoang Quynh Nhu Member Mr Phan Huy Khang Member Mr Nguyen Mien Tuan Member Mr Lim Peng Khoon Member Mr Pham Duy Cuong Member Mr Nguyen Chau Member Mr Nguyen Ngoc Thai Binh Member

(appointed on 2 November 2012) (resigned on 2 November 2012) (appointed on 26 May 2012) (appointed on 26 May 2012) (resigned on 26 May 2012) (appointed on 26 May 2012) (appointed on 26 May 2012) (appointed on 26 May 2012) (appointed on 26 May 2012) (appointed on 26 May 2012) (resigned on 26 May 2012) (resigned on 26 May 2012) (resigned on 26 May 2012) (resigned on 26 May 2012)

Mr Phan Huy Khang General Director (appointed on 3 July 2012) Mr Tran Xuan Huy General Director (resigned on 1 June 2012) Ms Quach Thanh Ngoc Thuy Deputy General Director Mr Ly Hoai Van Deputy General Director Mr Nguyen Minh Tam Deputy General Director Ms Duong Hoang Quynh Nhu Deputy General Director (appointed on 14 June 2012) Ms Nguyen Thi Le An Deputy General Director (appointed on 24 July 2012) Ms Ha Quynh Anh Deputy General Director (appointed on 28 June 2012) Ms Nguyen Hai Tam Deputy General Director (appointed on 23 April 2012) (resigned on 28 February 2013) Mr Nguyen Ba Tri Deputy General Director (appointed on 26 July 2012) Mr Phan Dinh Tue Deputy General Director (appointed on 14 June 2012) Mr Bui Van Dung Deputy General Director (appointed on 29 March 2012) Mr Pham Nhat Vinh Deputy General Director (resigned on 1 October 2012) Mr Le Minh Tam Deputy General Director (appointed on 26 March 2012) Mr Dao Nguyen Vu Deputy General Director Mr Nguyen Dang Thanh Deputy General Director (resigned on 14 May 2012) Mr Vo Anh Nhue Deputy General Director (appointed on 1 October 2012) Mr Ho Doan Cuong Deputy General Director (appointed on 1 October 2012) Mr Ha Van Trung Deputy General Director (appointed on 10 October 2012) Mr Ha Ton Trung Hanh Deputy General Director (appointed on 28 February 2013) PrincipAl AcTiViTies The principal activities of Sacombank (the Bank) are to mobilise short, medium and longterm capital in the form of time deposits, demand deposits, certificates of deposit; receive investment funds; receive capital from local and overseas financial institutions; grant short, medium and longterm loans; discount commercial paper, bonds and valuable documents; investments in subsidiaries, associates, jointventures and other companies; provide settlement services to customers; deal in foreign exchange, gold; provide international settlements services; investment in bonds and other securities; provide investment and asset management services, other banking services.

Board of Supervisors Mr Nguyen Tan Thanh Mr Le Van Tong Ms Nguyen Thi Thanh Mai Mr Nguyen Van Ly Chief Supervisor Supervisor Supervisor Supervisor

(appointed on 26 May 2012)

The Banks registered office 266268 Nam Ky Khoi Nghia Street, District 3, Ho Chi Minh City The Banks auditor PricewaterhouseCoopers (Vietnam) Limited

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Statement bY the BoarD of GeneraL DireCtors

STATEMENT OF THE RESPONSIBILITY OF THE BOARD OF GENERAL DIRECTORS IN RESPECT OF THE CONSOLIDATED FINANCIAL STATEMENTS The Board of General Directors of Saigon Thuong Tin Commercial Joint Stock Bank (the Bank) is responsible for preparation of the consolidated financial statements which give a true and fair view of the financial position of the Bank and its subsidiaries (together, the Group) as at 31 December 2012 and of its results of operations and cash flows for the year then ended. In preparing these consolidated financial statements, the Board of General Directors is required to: select suitable accounting policies and then apply them consistently; make judgments and estimates that are reasonable and prudent; and prepare the consolidated financial statements on a going concern basis unless it is inappropriate to presume that the Group will continue in business. The Board of General Directors is responsible for ensuring that proper accounting records are kept which disclose, with reasonable accuracy at any time, the financial position of the Group and which enable consolidated financial statements to be prepared which comply with the basis of accounting set out in Note 2 to the consolidated financial statements. The Board of General Directors is also responsible for safeguarding the assets of the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. APPROVAL OF THE CONSOLIDATED FINANCIAL STATEMENTS We hereby approve the accompanying consolidated financial statements on page 89 to page 173 which give a true and fair view of the financial position of the Group as at 31 December 2012 and of its results of operations and cash flows for the year then ended, in accordance with Vietnamese Accounting Standards, the Vietnamese Accounting System and regulations applicable to banks and other credit institutions operating in SR Vietnam. For and on behalf of the Board of General Directors

AUDitors rePort
INDEPENDENT AUDITORS REPORT TO THE SHAREHOLDERS OF SAIGON THUONG TIN COMMERCIAL JOINT STOCK BANK We have audited the accompanying consolidated financial statements of Saigon Thuong Tin Commercial Joint Stock Bank (the Bank) and its subsidiaries (together, the Group) as at 31 December 2012 which were approved by the Board of General Directors on 2 April 2013. The consolidated financial statements comprise the balance sheet as at 31 December 2012, the income statement and cash flow statement for the year then ended, and explanatory notes to the consolidated financial statements including significant accounting policies, as set out on page 89 to 173. The Board of General Directors Responsibility for the consolidated Financial Statements The Board of General Directors of the Bank is responsible for the preparation and fair presentation of these consolidated financial statements in accordance with Vietnamese Accounting Standards, the Vietnamese Accounting System and regulations applicable to banks and other credit institutions operating in SR Vietnam. This responsibility includes: designing, implementing and maintaining internal controls relevant to the preparation and fair presentation of separate financial statements that are free from material misstatement, whether due to fraud or error; selecting and applying appropriate accounting policies and making accounting estimates that are reasonable in the circumstances. Auditors Responsibility Our responsibility is to express an opinion on these consolidated financial statements based on our audit. We conducted our audit in accordance with Vietnamese Standards on Auditing. Those standards require that we comply with ethical requirements and plan and perform the audit in order to obtain reasonable assurance as to whether the consolidated financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the consolidated financial statements. The procedures selected depend on the auditors judgment, including an assessment of the risks of material misstatement of the consolidated financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal controls relevant to the entitys preparation and fair presentation of the consolidated financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entitys internal controls. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the consolidated financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Conclusion In our opinion, the consolidated financial statements present fairly, in all material respects, the financial position of the Group as at 31 December 2012, and its financial performance and cash flows for the year then ended in accordance with Vietnamese Accounting Standards, the Vietnamese Accounting System and regulations applicable to banks and other credit institutions operating in SR Vietnam.

Phan Huy Khang General Director Ho Chi Minh City, SR Vietnam 2 April 2013

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FORM B 02/TCTD HN

AUDitors rePort
(continued)

ConsoLiDateD baLanCe sheet

As at 31 December Notes A ASSETS I II III 1 2 3 IV 1 2 V VI 1 2 VII 1 2 3 VIII 3 4 5 IX 1 a b 2 a b 3 a b XI 1 2 3 4 5 3 Cash, gold, silver and gemstone 4 Balances with the State Bank Placements with and loans to other credit institutions Placements with other credit institutions 5 Loans to other credit institutions 5 Less: Provision for losses on loans to other credit institutions 5 Trading securities Trading securities 6 Less: Provision for diminution in value of trading securities 6 7 Derivatives financial instruments and other financial assets Loans, advances and finance leases to customers Loans, advances and finance leases to customers 8 Less: Provision for losses on loans, advances and finance leases to customers 8.8 Investment securities Availableforsale securities 9.1 Heldtomaturity securities 9.2 Less: Provision for diminution in value of investment securities 9.1,9.2 Investment in other entities and other longterm investments Investments in associate companies 10 Other longterm investments 11 Less: Provision for diminution in value of longterm investments 11 Fixed assets Tangible fixed assets 12 Historical cost Accumulated depreciation Leased assets 13 Historical cost Accumulated depreciation Intangible fixed assets 14 Historical cost Accumulated amortisation Other assets Other receivables 15.1 Accrued fees and interest incomes Deferred income tax assets 36 Other assets 15.2 Provision for losses on other assets 15.3 TOTAL ASSETS 9,703,738 4,598,716 7,574,411 2,964,791 4,648,231 (38,611) 1,272,179 1,424,765 (152,586) 383,377 94,887,813 96,334,439 (1,446,626) 19,983,644 19,666,578 800,000 (482,934) 240,936 32,099 477,202 (268,365) 5,218,768 2,768,831 3,648,790 (879,959) 1,031 1,607 (576) 2,448,906 2,739,315 (290,409) 8,254,943 4,690,528 2,193,462 308,915 1,775,616 (713,578) 152,118,525 11,857,270 2,807,350 9,621,309 8,642,132 980,542 (1,365) 349,355 504,786 (155,431) 2,852 79,726,547 80,539,487 (812,940) 24,368,177 24,164,301 232,124 (28,248) 665,511 822,969 (157,458) 3,707,863 2,105,523 2,722,323 (616,800) 2,024 2,337 (313) 1,600,316 1,769,943 (169,627) 8,362,483 5,534,232 2,237,418 590,833 141,468,717 2012 Million VND 2011 Million VND

Emphasis of Matter Without qualifying our opinion, we draw attention to the following matters: As set out in Note 15.1(ii)(a) of the consolidated financial statements, the Bank entered into an agreement with Mr. Dang Van Thanh, the Banks former Chairman and Mr. Dang Hong Anh, the Banks Vice Chairman on 5 December 2012. In accordance with this agreement, the Bank agreed to use the 7.435% stake (79,842,647 shares) of Mr. Dang Van Thanh and Mr. Dang Hong Anh in the Bank to settle underlying related loans, investments in bonds and other receivables at the total agreed value of VND1,596,853 million. Accordingly, these shares were classified as foreclosed assets in the Groups consolidated financial statements for the year ended 31 December 2012 at the value of VND1,596,853 million. In this case, the Bank has used its own shares as the fore closed assets. However, the Bank has already reported this agreement to the State Bank of Vietnam in Letter No. 778/CVKT dated 12 March 2013. The Bank has also informed the State Securities Commission and the Ho Chi Minh Stock Exchange about this agreement. As set out in Note 8.3 of the consolidated financial statements, in the year of 2012, the Bank granted to a number of companies certain significant loans for a short term of one year for long term purposes to refinance real estate projects. The total aggregate exposure of these loans as at 30 November 2012 and 31 December 2012 was VND7,954,894 million and VND9,019,894 million, respectively. As at 30 November 2012 and 31 December 2012, these loans were still performing and classified in Group 1 Current. It is evidenced that these loans were granted inappropriately following Decision No.1627/2001/QDNHNN dated 31 December 2001 regarding regulations on lending by credit institutions and Law on Credit Institutions No. 47/2010/QH12 in respect of conditions for lending, evaluation and decision on lending and monitoring of loan use purpose. As set out in Note 15.1 (iii) of the consolidated financial statements, in 2012, the Bank signed securities reserve repurchase agreements with a number of individuals. As at 31 December 2012, the total value of these agreements reduced to VND222,009 million from VND757,264 million as at 30 June 2012. This is a new business activity with material value to the Bank and the Bank has prepared its own accounting policy to apply for this activity as presented in Note 2.17. However, the Bank has stopped signing any new securities reserve repurchase agreement since September 2012.

Richard Peters Nguyen Hoang Nam AC No. N.0561/KTV AC No. 0849/KTV Deputy General Director Authorised signatory PricewaterhouseCoopers (Vietnam) Limited Ho Chi Minh City, SR Vietnam Review report number HCM3649 2 April 2013
As indicated in Note 2.1 to the consolidated financial statements, the accompanying consolidated financial statements are not intended to present the financial position and results of operations and cash flows in accordance with accounting principles and practices generally accepted in countries and jurisdictions other than SR Vietnam, and furthermore their utilisation is not designed for those who are not informed about SR Vietnams accounting principles, procedures and practices.

The notes on pages 95 to 173 are an integral part of these consolidated financial statements.

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FORM B 02/TCTD HN

FORM B 02/TCTD HN

ConsoLiDateD baLanCe sheet

(continued)
OFF BALANCE SHEET ITEMS As at 31 December Notes B LIABILITIES AND EQUITY I II 1 2 III V VI VII 1 2 3 Borrowings from the Government and the State Bank of Vietnam Deposits and borrowings from other credit institutions Deposits from other credit institutions Borrowings from other credit institutions Deposits from customers Capital financed, entrusted investments and other borrowings Valuable papers issued Other liabilities Accrued fees and interest expenses Other liabilities Provision for other liabilities TOTAL LIABILITIES VIII 1 a. b. c. d. 2 3 5 EQUITY Capital Charter capital Share premium Treasury share Other capital Funds of credit institution Foreign exchange differences Undistributed earnings TOTAL EQUITY IX MINORITY INTEREST TOTAL LIABILITIES AND EQUITY 23 16 4,730,526 1,134,660 3,595,866 107,458,698 4,545,100 7,776,549 13,908,902 1,292,562 12,536,652 79,688 138,419,775 10,905,440 10,739,677 1,671,693 (1,506,878) 948 1,636,016 87,640 1,069,643 13,698,739 11 152,118,525 2,129,609 12,823,589 6,659,775 6,163,814 75,092,252 4,713,679 17,616,708 14,545,997 1,288,768 13,122,129 135,100 126,921,834 10,961,760 10,739,677 1,671,693 (1,450,558) 948 1,539,899 87,216 1,958,008 14,546,883 141,468,717 2012 Million VND 2011 Million VND I Contingent liabilities

ConsoLiDateD baLanCe sheet

(continued)

As at 31 December Notes 2012 Million VND 10,987,417 39 39 39 350,743 7,200,715 3,435,959 2011 Million VND 8,263,238 35,700 5,649,112 2,578,426

1 Borrowing commitments 2 Letter of credit commitments 3 Other guarantees

17 17 18 19 20

21.1 21.2

Luu Van Hoa Huynh Thanh Giang Preparer Chief Accountant

Phan Huy Khang General Director 2 April 2013

22.1 23 23 22.2 23 23 23

Luu Van Hoa Huynh Thanh Giang Preparer Chief Accountant

Phan Huy Khang General Director 2 April 2013 The notes on pages 95 to 173 are an integral part of these consolidated financial statements.

The notes on pages 95 to 173 are an integral part of these consolidated financial statements.

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FORM B 03/TCTD HN

FORM B 04/TCTD HN

ConsoLiDateD inCome statement

Year ended 31 December Notes 1 Interest and similar income 2 Interest and similar expenses I 3 4 II III Net interest income Fees and commission income Fees and commission expenses Net fee and commission income Net profit from dealing in foreign currencies, gold and derivatives 28 29 30 31 32 26 27 2012 Million VND 16,869,623 (10,372,444) 6,497,179 1,292,300 (605,811) 686,489 218,164 3,585 (387,086) 95,324 (176,891) (81,567) 33 34 5, 8.8, 15.3, 21.2 36 36 (83,412) (4,154,236) 2,699,116 (1,331,265) 1,367,851 (674,396) 308,915 (365,481) 1,002,370 1,002,370 2011 Million VND 17,864,267 (12,022,040) 5,842,227 1,685,590 (644,195) 1,041,395 204,268 (186,449) (10,723) 508,433 (402,357) 106,076 (242,027) (3,589,136) 3,165,631 (394,957) 2,770,674 (774,817) (774,817) 1,995,857 (70,574) 2,066,431 VND/share 2,241

ConsoLiDateD Cash fLow statement

Year ended 31 December 2012 Million VND CASH FLOWS FROM OPERATING ACTIVITIES 01 Interest income and similar income received 02 Interest expense and similar expense paid 03 Fee and commission income received 04 Net amount received/paid from other operating activities (foreign currencies, gold and securities) 05 Other (expense)/income 07 Cash paid to employees and for related operating activities 08 Business income tax paid CASH FLOW FROM OPERATING ACTIVITIES BEFORE CHANGES IN WORKING CAPITAL Changes in operating assets 11 Decrease in placements with and loans to other credit institutions 12 Decrease/(increase) in trading securities 13 (Increase)/decrease in derivative financial instruments and other financial assets 14 Increase in loans, advances and finance leases to customers 16 Decrease/(increase) in other operating assets Changes in operating liabilities 17 Decrease in borrowings from the Government and the State Bank of Vietnam 18 Decrease in placements and borrowings from other credit institutions 19 Increase/(decrease) in deposits from customers 20 Decrease in valuable papers issued 24 1,029 21 (Decrease)/Increase in capital financed, entrusted investments and other borrowings 23 (Decrease)/increase in other operating liabilities 24 Payments from funds of credit institution NET CASH FLOWS FROM OPERATING ACTIVITIES (2,129,609) (8,093,063) 32,366,446 (9,840,159) (168,579) (1,532,085) (283,004) (1,593,829) (2,559,192) (2,564,000) (2,508,916) (7,329,428) 2,479,802 11,230,960 (282,538) (2,715,466) 251,364 2,036,146 (380,525) (16,836,273) 647,271 6,203,625 (4,348,284) 4,230 (4,274,644) (1,767,158) 16,757,667 (10,368,650) 686,489 286,504 (598) (4,242,313) (750,858) 2,368,241 17,296,369 (11,831,478) 1,041,395 104,732 52,075 (2,859,254) (803,762) 3,000,077 2011 Million VND

(Direct method)

IV Net profit/(loss) from trading of trading securities V Net loss from trading of investment securities 5 Other incomes 6 Other expenses VI Net other (expense)/income VII Loss from investments in other entities VIII General and administrative expenses IX Operating profit before provision for credit losses X Provision for credit losses XI Profit before tax 7 Business income tax current 8 Business income tax deferred XII Business income tax XIII Net profit for the year XIV Minority interest Profit attributable to the equity holders of the Bank during the year Earnings per share for profit attributable to the equity holders of the Bank during the year - Basic earnings per share

Luu Van Hoa Huynh Thanh Giang Preparer Chief Accountant

Phan Huy Khang General Director 2 April 2013 The notes on pages 95 to 173 are an integral part of these consolidated financial statements.

The notes on pages 95 to 173 are an integral part of these consolidated financial statements.

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FORM B 04/TCTD HN

FORM B 05/TCTD HN

ConsoLiDateD Cash fLow statement

(Direct method) (continued)

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012

Year ended 31 December Notes CASH FLOWS FROM INVESTING ACTIVITIES 01 Purchases of fixed assets 02 Proceeds from disposals of fixed assets 07 Payments for investments in other entities 08 Proceeds from disposals of investments in other entities and other longterm investments 09 Dividend income Net cash flow from converting a subsidiary into an associate II Net cash flows from investing activities CASH FLOWS FROM FINANCING ACTIVITIES 01 Increase in charter capital 04 Dividends paid 05 Purchases of treasury shares III Net cash flows from financing activities IV Net decrease in cash and cash equivalents V Cash and cash equivalents at beginning of the year Net decrease in cash and cash equivalents from disposal of a subsidiary VII Cash and cash equivalents at end of the year 25 25 (40,103) (56,320) (96,423) (2,390,454) 19,523,985 17,133,531 1,560,447 (1,337,624) (1,450,558) (1,227,735) (5,104,861) 27,677,230 (3,048,384) 19,523,985 (886,743) 24,496 106,770 55,275 (700,202) (1,873,541) 414,058 (150,223) 260,565 108,435 79,046 (1,161,660) 2012 Million VND 2011 Million VND

1 GENERAL INFORMATION Saigon Thuong Tin Commercial Joint Stock Bank (herein referred to as the Bank) is a jointstock bank registered in the Socialist Republic of Vietnam. Banking Licence No. 0006/NHGP was granted to the Bank by the State Bank of Vietnam (the SBV) effective on 5 December 1991. The licence is for a period of 50 years from the date of the licence and stipulates an initial share capital of VND3,000 million. The Bank obtained Business Registration Certificate No. 0301103908 dated 13 January 1992 and subsequent amendments which were issued by the Planning and Investment Department of Ho Chi Minh City. The Bank commenced its operation on 21 December 1991. The Banks chartered capital as at 31 December 2012 is VND10,739,677million. The revised operation period of the Bank is 100 years. The principal activities of the Bank are to mobilise short, medium and longterm capital in the form of time deposits, demand deposits, certificates of deposits; receive investment funds; receive capital from local and overseas financial institutions; grant short, medium and longterm loans; discount commercial paper, bonds and valuable documents; investments in subsidiaries, associates, jointventures and other companies; provide settlement services to customers; deal in foreign exchange, gold; provide international settlements services; investment in bonds and other securities; provide investment and asset management services, other banking services. The Banks Head Office is located at No. 266268 Nam Ky Khoi Nghia Street, District 3, Ho Chi Minh City. As at 31 December 2012, the Bank had one Head Office, one main transaction office, 72 branches (including one branch in Laos PDR), 337 transaction offices nationwide and one saving fund.

Luu Van Hoa Huynh Thanh Giang Preparer Chief Accountant

Phan Huy Khang General Director 2 April 2013

The notes on pages 95 to 173 are an integral part of these consolidated financial statements.

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FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

GENERAL INFORMATION (continued) As at 31 December 2012, the Bank had following subsidiaries and associate: % Indirect % Direct shareholding Total % shareholding through shareholding by the Bank subsidiary by the Group 100% 100% 100% 0% 0% 0% 100% 100% 100%

2 2.1

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of preparation of consolidated financial statements The consolidated financial statements have been prepared in accordance with Vietnamese Accounting Standards, the Vietnamese Accounting System and regulations applicable to banks and other credit institutions operating in SR Vietnam. The consolidated financial statements have been prepared under the historical cost convention. The accompanying consolidated financial statements are not intended to present the financial position and results of operations and cash flows in accordance with jurisdictions other than SR Vietnam. The accounting principles and practices utilised in SR Vietnam may differ from those generally accepted in countries and jurisdictions other than SR Vietnam.

Subsidiaries Sacombank Assets Management Co., Ltd. Sacombank Leasing Co., Ltd. Saigon Thuong Tin Remittance Express Co., Ltd. Saigon Thuong Tin Jewelry Co., Ltd.

Operating Licence

Nature of business

4104000053 Asset management 04/GPNHNN Leasing activities 90/QNHNN Money remittance

2.2

Fiscal year The Groups fiscal year is from 1 January to 31 December.

4104003812 Process and trade gold and precious metals and gemstone 0305584790 IT services, IT equipment trading and others N.27 Banking Process and trade gold and gemstone and gemstone 0309139367 Commodities exchange

100%

0%

100%

2.3 Currency The consolidated financial statements are measured in Vietnamese Dong and presented in million Vietnamese Dong.

HyperTech Co.,Ltd.

0%

100%

100%

Transactions arising in foreign currencies are translated at exchange rates ruling at the transaction dates. Foreign exchange different arising from these transactions are recognised in the income statement. Monetary assets and liabilities denominated in foreign currencies at each month end are translated at the rates of exchange ruling at the month end date. Foreign exchange differences from monthly revaluation are recorded in the foreign currency difference reserve in the balance sheet and transferred to the income statement at the end of the year. 2.4 Consolidation (i) Subsidiaries

Sacombank Cambodia PLC Saigon Thuong Tin Cambodia Jewelry Co., Ltd Associates Son Tin Commodity Exchange Joint Stock Company

100%

0%

100%

0% 0%

99.98% 20%

99.98% 20%

Subsidiaries are those companies over which the Bank has the power to govern the financial and operating policies. Subsidiaries are consolidated from the date on which control is transferred to the Bank. They are deconsolidated from the date on which control ceases. The purchase method of accounting is used to account for the acquisition of subsidiaries by the Bank. The cost of an acquisition is measured as the fair value of the assets given, equities instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the acquisition. Identifiable assets acquired and liabilities assumed in a business combination are measured initially at their fair value at the acquisition date, irrespective of the extent of the minority interest.

As at 31 December 2012, the Bank had 10,310 employees (31 December 2011: 9,596 employees).

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FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)
2 2.4 (i) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Consolidation (continued) Subsidiaries (continued) Intercompany balances, transactions and unrealised gains on transactions between those companies and the Group are eliminated. Unrealised losses are also eliminated unless transactions provide evidence of an impairment of the asset transferred. The accounting policies of subsidiaries have been changed where necessary to ensure the consistency with the policies adopted by the Bank. Financial statements of foreign subsidiaries are converted for consolidating into the Banks financial statements as follows: a) Assets and liabilities, both monetary and nonmonetary, of the foreign subsidiary are translated at the closing rate; b) Revenue, income and expense items of the foreign subsidiary are translated at the average exchange rate; c) Exchange differences arising from the conversion of the subsidiarys financial statements are recorded in the foreign exchange difference reserve under the Groups equity. (ii) Minority interest Minority interest is the portion of the profit or loss and net assets of a subsidiary attributable to equity interest that are not owned, directly or indirectly through subsidiaries, by the parent. (iii) Associates and jointventures Associates are all entities over which the Bank has significant influence but not control. Jointventure is a company whereby the Bank and other parties undertake an economic activity which is subject to joint control. The Bank uses the equity method for consolidating its investments in associates and jointventures. The Banks share of its associates and jointventures post acquisition profits or losses is recognised in the consolidated income statement. When the Banks share of losses in an associate and jointventure equals or exceeds the carrying amount of its investment in the associate and jointventure, the Bank does not recognise further losses in its consolidated financial statements, unless it has obligations to pay on behalf of the associate and jointventure. Accounting policies of associates and jointventures have been changed where necessary to ensure consistency with the policies adopted by the Bank. 2.6

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

2 2.5

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Form of record applied The Bank uses accounting software to record its transactions. Interest income and expenses nterest income and expense are recognised on an accruals basis. Interest income is derecognised when I a loan becomes overdue and is recorded offbalance sheet. Interest income on overdue loan is recognised in the income statement on receipt.

2.7

Fees and commissions income Fees and commission income consists of fees received for settlement services, treasury services, guarantees services and other services. Fees on guarantees services are recognised on an accruals basis. Fees and commissions arising from settlement services, treasury services and other services are recognised on receipt.

2.8

Loans, advances and finance leases to customers Measurement and recognition of loans, advances and finance leases to customers Loans, advances and finance leases to customers are stated at the amount of principle outstanding less provision for loss on loans, advances and finance leases to customers. Shortterm debts are those with a repayment date within one year of the debt disbursement date, mediumterm debt are those with a final repayment date between one and five years of the debt disbursement date and longterm debts are those with a repayment date of more than five years from the debt disbursement date. Classification of loans, advances and finance leases to customers Loans, advances and finance leases to customers are classified into five groups based on the payment arrears status and other qualitative factors as follows: Group 1: Current Undue debts which, according to the Groups assessment, could be fully recovered, both principal and interest, when they fall due; Debts which are overdue for less than 10 days and according to the Groups assessment, could be fully recovered, both overdue principal and interest in accordance with the remaining payment schedule. Group 2: Special mention Debts which are overdue from 10 days to 90 days; Firsttime extended debts which, according to the Groups assessment, could be fully recovered, both principal and interest, within the rescheduled payment term. Group 3: Substandard Debts which are overdue from 91 days to 180 days; Firsttime rescheduled debts, except for extended debts which are classified in Group 2; Debts of which interest was waived or reduced because customer was not able to fully repay interest in accordance with the loan agreement.

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FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)
2 2.8 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Loans, advances and finance leases to customers (continued) Group 4: Doubtful Debts which are overdue from 181 days to 360 days; Firsttime rescheduled debts which are overdue for less than 90 days within the rescheduled payment term; Secondtime rescheduled debts. Group 5: Bad Debts which are overdue for more than 360 days; Firsttime rescheduled debts which are overdue for 90 days and more within the rescheduled payment term; Secondtime rescheduled debts which are overdue within the secondtime rescheduled payment term; Debts which are rescheduled for the third times or more; Frozen debts and debts which are awaiting resolution. In accordance with Decision 780/QDNHNN dated 23 April 2012, credit ratings of rescheduled or extended debts of customers whose business and debt repayment ability are assessed to become positive after their debts are rescheduled or extended are remained unchanged. The Group has applied this Decision since the effective day. Where a customer owes more than one debt to the Group, and has any of its debts transferred to the group of debts with higher risk, the Group is obliged to classify the remaining debts of such customer into groups of debts with higher risk corresponding with their level of risk. The Group shall actively classify those debts into groups of debts with higher risk corresponding with their level of risk in the following situations: There are indications of adverse impact to the customers business environment and sector; Customers financial ratios or repayment capability is weakened; Customer does not accurately, completely and promptly provide the Group its financial information for the Groups assessment of customers repayment capability. 2.9

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

2 2.8

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Loans, advances and finance leases to customers (continued) Provision for losses on loans, advances and finance leases to customers

The determination of specific provision for credit risk is calculated using set rates applied to each group of debts as follows: Provision rates Group 1 Current 0% Group 2 Special mentioned 5% Group 3 Substandard 20% Group 4 Doubtful 50% Group 5 Bad 100% The specific provision is calculated based on net credit exposure of each borrower which equals to debt balance less value of collateral assets. The value of these assets is determined in accordance with Decision 493/2005/QDNHNN and Decision 18/2007/QDNHNN. In accordance with Decision 493/2005/QDNHNN dated 22 April 2005, a general provision is also required and should be equal to 0.75% of total balance of loans, advances and finance leases to customers and excluding the total balance of loans, advances and finance leases which are classified as bad. Written off loans, advances and finance leases to customers classified as bad Debts are writtenoff at the discretion of the Banks Risk Management Committee when they consider that all reasonable efforts for recovery of doubtful debts, including legal actions, have been exhausted. Debts are writtenoff in accordance with the requirements of Decision 493/2005/QDNHNN. After five (05) years since writtenoff, the debts will be eliminated from off Balance sheet only in the event that the clients are organisations or corporations which are in bankruptcy or in dissolution; or the clients are individuals being in death or lost. Offbalance sheet commitments Offbalance sheet commitments are classified into five groups based on quantitative and qualitative factors as follows: Group 1: Current Undue commitments which, according to the Groups assessment, could be fully settled when they fall due. Group 2: Special mentioned Undue commitments which, according to the Groups assessment, could not be fully settled when they fall due. Group 3: Substandard Undue commitments which, according to the Groups assessment, could not be fully settled when they fall due; Due commitments which are overdue for less than 30 days.

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FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

2 2.9

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Offbalance sheet commitments (continued) Group 4: Doubtful Undue commitments which, according to the Groups assessment, could not be fully settled when they fall due; Due commitments and contingencies which are overdue from 30 days to 90 days. Group 5: Bad Undue commitments which, according to the Groups assessment, could not be fully settled when they fall due; Due commitments which are overdue for more than 90 days. Provision for losses on offbalance sheet commitments The determination of specific provision for losses on offbalance sheet commitments is calculated using set rates applied to each group of offbalance sheet commitments as follows: Group 1 Group 2 Group 3 Group 4 Group 5 Current Special mentioned Substandard Doubtful Bad Provision rates 0% 5% 20% 50% 100%

2 2.10 (a)

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Investments (continued) Trading securities (continued) Gains or losses from the disposal of trading securities are recognised net in the income statement. The costs of trading securities disposed are determined by using the weighted average method.

(b)

Heldtomaturity investment securities Heldtomaturity investment securities are debt securities, which the Group acquires for investment purpose with fixed or determinable payment and fixed maturities where the BanksBoard of General Directors has the positive intention and ability to hold until maturity. Heldtomaturity investment securities are not allowed to be sold off before the maturity date or transferred to trading securities or availableforsale investment securities. Heldtomaturity investment securities are initially stated at cost of acquisition. They are subsequently measured at cost less provision. Provision is required when there is evidence of a longterm decline in the value of securities or the Group cannot recover its investments. Premium and discounts arising from purchases of heldtomaturity investment securities are amortised to the income statement using the straightline basis over the period from the acquisition dates to maturity dates. Postacquisition interest income of heldtomaturity investment securities is recognised in the income statement on an accruals basis. Preacquisition interest income of heldtomaturity investment securities is deducted against the cost of acquisition.

The specific provision is calculated based on net credit exposure of each customer which equals to off balance sheet commitment balance less estimated value of collateral assets. The value of these collateral assets is determined in accordance with Decision 493/2005/QDNHNN and Decision 18/2007/QDNHNN. In accordance with Decision 493/2005/QDNHNN dated 22 April 2005, a general provision is also required and should be equal to 0.75% of total balance of guarantees, loan commitments and settlement acceptances, excluding those are classified as bad. 2.10 Investments Investments in securities are classified into three categories in accordance with Letter 2601/NHNNTCKT dated 14 April 2009 issued by the SBV: i) trading securities, ii) held to maturity investment securities or iii) available for sale investment securities. The Group is required to classify investment securities into heldtomaturity investment securities, available for sale investment securities or trading securities at the purchase date. (a) Trading securities Trading securities are defined as debt securities or equity securities, which are held for trading and are acquired principally for the purpose of selling in the shortterm or if so designated by Management. Trading securities are initially recognised at cost of acquisition. They are subsequently measured at cost less provision. Provision is made for trading securities eligible for being freely traded in the market and where there is a diminution in value of these securities.

(c)

Availableforsales investment securities Availableforsales investment securities are defined as debt securities or equity securities, which are intended to be held for an indefinite period and may be sold at any time in response to needs for liquidation or changes in interest rates, exchange rates or equity prices. Availableforsales investment securities are initially stated at cost of acquisition. They are subsequently measured at cost less provision. Provision is made for availableforsale investment securities eligible for being freely traded in the market and where there is a diminution in value of these securities. Premium and discounts arising from purchases of availableforsale investment securities are amortised to the income statement using the straightline basis over the period from the acquisition dates to maturity dates. Gains or losses from disposal of availableforsale securities are recorded net in the income statement. The costs of availableforsale securities disposed is determined by using the weighted average method.

2.11

Other longterm investments Other long term investments are investments in the equity of other entities of less than 20% of the voting rights and the Group is the founding shareholder or the strategic investor or has influence over the finance and operation of the investee via written agreement to send personnel to join the Board of Directors/Board of Management of the investee, and the investment is held for more than one year. These investments are initially stated at cost of acquisition and subsequently accounted at cost less provision.

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FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

2 2.12

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Provision for investments in securities and long term investments In accordance with Circular 12/2006/TTBTC issued by the Ministry of Finance (MoF) on 21 February 2006 and Letter 2601/NHNNTCKT issued by the State Bank of Vietnam to credit institution on 14 April 2009, credit institutions are required to make provision for investment in securities and other long term investments in accordance with regulations applicable to corporate which is based on Circular 13/2006/ TTBTC issued on 27 February 2006. Circular 13 has been replaced by Circular 228/2009/TTBTC issued on 7 December 2009 by the Ministry of Finance. In accordance with Circular 228/2009/TTBTC, no provision is required for securities which are not allowed to be freely traded in the market. Provision is required for securities which are freely traded in the market and for which the market value is below the book value. Provisions are required for trading securities and availableforsale investment securities when the net realisation value (the market value) is lower than the book value. Provision is required for heldto maturity investment securities when there is indication of long term diminution in value. Provisions for investment in equity in entities (such as limited liability companies, joint stock companies, partnership, joint ventures and other long term investments) are required if the entities make losses, except when the loss was anticipated in their business plan before the date of investment.

2 2.15

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Fixed assets Tangible and intangible fixed assets Fixed assets are stated at historical cost less accumulated depreciation. Historical cost includes expenditure that is directly attributable to the acquisition of the fixed assets. Depreciation Fixed assets are depreciated using the straightline method to write off the cost of the assets over their estimated useful lives. The principal annual rates used are as follow: Buildings Office equipments Motor vehicles Other assets Computer software 2012 2011 2%5% 2% 12.5% 33.3% 12.5% 33.3% 10% 16.7% 4%10% 10% 20% 20%

During the year, the Bank changed the depreciation rates of its certain fixed assets in order to provide more reasonable estimated useful lives of those assets (see Note 12). Land use rights which are granted for a definite term are amortised, using the straightline method over the terms indicated in the land use right certificate. Land use rights which are granted for an indefinite term are carried out at cost and not amortised. Disposal Gains and losses on disposals are determined by comparing net disposal proceeds with the carrying amount and are recognised in the income statement. 2.16 Leased assets Leases of property, plant and equipment where the lessor has transferred substantially risks and rewards, are classified as finance leases. Finance leases are capitalised at the inception of the lease at the lower of the fair value of leased property or the present value of the minimum lease payments. Each lease payment is allocated between the liability and finance charges so as to achieve a constant rate on the finance balance outstanding. The corresponding rental obligations, net of finance charge, are included in longterm borrowings. The interest element of the finance cost is charged to the income statement over the lease period. The property, plant and equipment acquired under finance leasing contracts are depreciated over the shorter of the estimated useful life of the assets or the lease term. However, if there is reasonable certainty that the lessee will obtain ownership by the end of the lease term, depreciation is calculated over the estimated useful life of the assets. Leases where a significant portion of the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to the income statement on a straightline basis over the period of the lease. 2.17 Securities reverse repurchase agreements Securities purchased and under agreement to resell are not recognised as investments in the balance sheet. Cash paid for these transactions is initially recorded as an asset in other assets. These balances are subsequently measured at cost less provision. Provision for these transactions is determined based on Circular 228/2009/TTBTC dated 7 December 2009 issued by the Ministry of Finance.

2.13

Provision for other assets In accordance with Circular 12/2006/TTBTC issued by the Ministry of Finance (MoF) on 21 February 2006, credit institutions are required to make provision for doubtful debts (excluding credit loss provision) in accordance with regulations applicable to corporate which is based on Circular 13/2006/TTBTC issued on 27 February 2006. Circular 13 has been replaced by Circular 228/2009/TTBTC issued on 7 December 2009 by the Ministry of Finance. According to Circular 228/2009/TTBTC, provision for doubtful receivables are provided primarily based on the overdue status of the receivable amount at the following rates: Overdue status Provision rate Six months to one year One to two years Two to three years Over three years 30% 50% 70% 100%

2.14

Derivative financial instruments Derivatives are recorded in a balance sheet account at contract value on the date which a derivative contract is entered into and revalued subsequently at the rate of exchange ruling at month end. Realised gains or losses are recognised in the income statement. Unrealised gains or losses are recognised in foreign exchange revaluation reserves on balance sheet at the month end and transferred to the income statement at the year end.

106

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Annual Report 2012

107

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

2 2.18

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Cash and cash equivalents Cash and cash equivalents comprise cash, gold, silver and gemstone, demand deposit at the State Bank, demand and term deposits at other credit institutions with an original maturity of three months or less, Government bills and other valuable papers which qualify to be discounted at the State Bank of Vietnam, securities with term of original maturity within three months.

2 2.21

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Current and deferred income tax (continued) Deferred income tax is provided in full, using the liability method, on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements. Deferred income tax is not accounted for if it arises from initial recognition of an asset or liability in a transaction other than a business combination that at the time of occurrence affects neither the accounting nor the taxable profit or loss. Deferred income tax is determined at the tax rates that are expected to apply to the financial year when the asset is realised or the liability is settled, based on tax rates that have been enacted or substantively enacted by the balance sheet date. Deferred income tax assets are recognised to the extent that it is probable that future taxable profit will be available against which the temporary differences can be utilised.

2.19 Provisions Provisions are recognised when: the Group has a present legal or constructive obligation as a result of past events; it is probable that an outflow of resources will be required to settle the obligation; and the amount has been reliably estimated. Provisions are not recognised for future operating losses. Where there are a number of similar obligations, the likelihood that an outflow will be required in settlement is determined by considering the class of obligations as a whole. A provision is recognised even if the likelihood of an outflow with respect to any one item included in the same class of obligations may be small. Provisions are measured at the expenditures expected to be required to settle the obligation. If the time value of money is material, provisions will be measured at their present value using a pretax rate that reflects current market assessments of the time value of money and the risks specific to the obligation. The increase in the provision due to passage of time is recognised as interest expenses. 2.20 Provision for severance allowances In accordance with Vietnamese labour laws, employees of the Group are entitled to a severance allowance based on their years of service. This will be paid as a lump sum when the employee leaves the Group. A provision for severance allowance is made for the estimated liability for employment termination as a result of services rendered by employees. Pursuant to Law on Social Insurance, effective from 1 January 2009, the Group is required to contribute to an unemployment insurance fund managed by the Vietnam Social Insurance Agency. With the implementation of the unemployment scheme, the Group is no longer required to provide for the service period after 1 January 2009. However, provision for severance allowance as of 31 December 2012 is determined based on the employees number of years of service up to 31 December 2008 and their average salary for the sixmonth period prior to the balance sheet date. 2.21 Current and deferred income tax Income taxes include all income taxes which are based on taxable profits including profits generated from production and trading activities in other countries that the Socialist Republic of Vietnam has not signed any double tax relief agreement. Income tax expense comprises current tax expense and deferred tax expense. Current income tax is the amount of income taxes payable or recoverable in respect of the current year taxable profit and the current tax rates. Current and deferred tax should be recognised as income or an expense and included in profit or loss for the period, except to the extent that the tax arises from a transaction or event which is recognised, in the same or a different period, directly in equity. 2.25 2.23 2.22

Share capital Ordinary shares in issue are classified as equity. Incremental costs directly attributable to the issuance of new shares or options are shown in equity as a deduction from the proceeds. Where the Bank purchase the Banks equity share capital (treasury shares), the consideration paid, including directly attributable incremental costs, is deducted from equity attributable to the Banks equity holders until the shares are cancelled or reissued. Where such shares are subsequently sold or reissued, any consideration received less any directly attributable incremental transaction costs is included in equity attributable to the Banks equity holders. Dividend distribution Dividend distribution to the Banks shareholders is recognised as a liability in the financial statements in the period in which the dividends are approved by the Banks shareholders.

2.24

Science and Technology Development Fund In accordance with applicable regulations and Letter No. 10186/NHNNTCKT dated 24 December 2009 to the Bank issued by the State Bank of Vietnam, Science and Technology Fund is fully charged to general and administrative expenses when it is set up and credited to a specific account in other liabilities. Subsequently, this fund is used for capital expenditures or revenue expenditures which are qualified to be used from the fund. Related parties Enterprises and individuals that directly, or indirectly through one or more intermediaries, control, or are controlled by, or are under common control with the Group are related parties of the Group. Associates and individuals owning, directly or indirectly, an interest in the voting power of the Group that gives them significant influence over the enterprise, key management personnel, including directors and officers of the Group and close members of the family of these individuals and companies associated with these individuals also constitute related parties. In considering each possible related party relationship, attention is directed to the substance of the relationship, and not merely the legal form.

108

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Annual Report 2012

109

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

CASH, GOLD, SILVER AND GEMSTONE As at 31 December 2012 Million VND Cash in VND Cash in foreign currency Gold Valuable documents 1,811,308 1,149,511 6,742,322 597 9,703,738 2011 Million VND 2,920,570 1,656,308 7,279,669 723 11,857,270

PLACEMENTS WITH AND LOANS TO OTHER CREDIT INSTITUTIONS 31 December 2012 Denominated Denominated in in foreign Vietnamese currencies and Dong gold Million VND Million VND 64,312 124,250 188,562 325,655 2,336,054 114,520 2,776,229 416,560 416,560 3,192,789

Placements with other credit institutions Demand deposits with local credit institutions Demand deposits with oversea credit institutions Term deposits with local credit institutions Term deposits with oversea credit institutions Loans to other credit institutions Short term loans to local credit institutions (*) Less: Provision for losses on loans to other credit institutions

Total Million VND 389,967 2,336,054 124,250 114,520 2,964,791 4,648,231 (38,611) 4,609,620 7,574,411

BALANCES WITH THE STATE BANK (SBV) As at 31 December 2012 Million VND Deposits at the State Bank of Vietnam In VND In USD Deposits at the State Bank of Laos Deposits at the National Bank of Cambodia 3,303,102 480,421 642,267 172,926 4,598,716 1,388,927 1,070,778 112,796 234,849 2,807,350 2011 Million VND

4,231,671 (38,611) 4,193,060 4,381,622

31 December 2011 Denominated Denominated in in foreign Vietnamese currencies and Dong gold Million VND Million VND Placements with other credit institutions Demand deposits with local credit institutions Demand deposits with oversea credit institutions Term deposits with local credit institutions Term deposits with oversea credit institutions Loans to other credit institutions Short term loans to local credit institutions Less: Provision for losses on loans to other credit institutions 35,094 2,473,161 2,508,255 980,542 (1,365) 979,177 3,487,432 1,511,795 662,024 3,647,638 312,420 6,133,877 6,133,877

An obligatory reserve is required to be deposited with the SBV. The balance is adjusted once per month and is calculated as 3% of the average balance of customer deposits with terms within one year in Vietnamese dong and 1% of the average balance of customer deposits with terms from above one year. The balance is adjusted once per month and is calculated as 8% of the average balance of customer deposits with terms within one year in foreign currencies and 6% of the average balance of customer deposits with terms from above one year. Included in deposits at the State Bank of Laos is the restricted balance for capital contribution of Laos Branch at a minimum balance of 25% of contributed capital of Laos Branch and obligation reserve in accordance to the prevailing Laos regulations. Included in deposits at the National Bank of Cambodia is a restricted balance of USD3.8 million (as at 31 December 2011: USD3.8 million) for capital contribution which is equal to 10% of the contributed capital of Sacombank Cambodia Bank.

Total Million VND 1,546,889 662,024 6,120,799 312,420 8,642,132 980,542 (1,365) 979,177 9,621,309

(*) Included in loans to other credit institutions at 31 December 2012 is a loan of VND1,900,000 million (at 31 December 2011: nil) granted to Southern Bank, a related party, and a major shareholder of the Bank. (See Note 45 for the outstanding loan balance of Southern Bank as of the date of the consolidated financial statements).

110

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Annual Report 2012

111

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

6 TRADING SECURITIES As at 31 December 2012 Million VND Equity securities Equity securities issued by other credit institutions (*) Equity securities issued by local corporations Total trading securities Less: Provision for diminution in value of trading securities 1,188,898 235,867 1,424,765 (152,586) 1,272,179 2011 Million VND 215,822 288,964 504,786 (155,431) 349,355

DERIVATIVES AND OTHER FINANCIAL ASSETS 31 December 2012 Total contract value (at the foreign exchange rate at the contract date) Million VND Derivative currency financial instruments - Forward contracts - Swap contracts Total amount was recognised on derivatives financial instruments and other financial assets - Call Options - Put Options Total amount was recognised in other assets 1,497,697 5,118,397 Total book value (at the foreign exchange rate at 31 December 2012) Assets Million VND 410,519 Liabilities Million VND 27,142

6,616,094 916,094 747,182 1,663,276 8,279,370

410,519 20,450 20,450 430,969

27,142 17,565 17,565 44,707

(*) Included in equity securities issued by other credit institutions is VND914,432 million (As at 31 December 2011: nil) shares of related parties (Note 41). As at 31 December 2012 Million VND Equity securities Listed Nonlisted Total trading securities Less: Provision for diminution in value of trading securities 1,361,515 63,250 1,424,765 (152,586) 1,272,179 2011 Million VND 441,536 63,250 504,786 (155,431) 349,355

31 December 2011 Total contract value (at the foreign exchange rate at the contract date) Million VND Derivative currency financial instruments - Forward contracts - Swap contracts Total amount was recognised on derivatives financial instruments and other financial assets - Call Options - Put Options Total amount was recognised in other assets Total book (at the foreign exchange rate at 31 December 2011) Assets Million VND Liabilities Million VND

259,736 9,073,127

5,570

2,718

9,332,863 216,677 217,553 434,230 9,767,093

5,570 1,680 1,680 7,250

2,718 1,104 1,104 3,822

112

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113

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

LOANS, ADVANCES AND FINANCE LEASES TO CUSTOMERS Loans, advances and finance leases to customers were analysed as follows:

8 8.3

LOANS, ADVANCES AND FINANCE LEASES TO CUSTOMERS (continued) By quality of loans As at 31 December 2012 Million VND Current (*) Special mentioned Substandard Doubtful Loss 93,932,651 428,714 312,084 764,210 896,780 96,334,439 2011 Million VND

8.1 Analysis by type of accounts As at 31 December 2012 Million VND Loans to domestic businesses and individuals Discounted notes and valuable papers Finance leases Loans funded by Government, international and other institutions Loans to foreign businesses and individuals 92,357,372 1,514 943,715 505.323 2,526,515 96,334,439 2011 Million VND 77,787,144 548,706 923,953 492.895 786,789 80,539,487

79,840,392
235,868 101,981 193,335 167,911 80,539,487

Included in loans and advances to customers are the loans of VND765,997 million (As at 31 December 2011: VND3,007,161 million) granted to the Banks related parties (Note 41). 8.2 By business sector As at 31 December 2012 Million VND Trading Agriculture and forestry Manufacturing and processing Construction Individual and community services Warehousing, transportation and communication Training and education Estate agents and consultants Hotels and restaurants Others 10,905,997 10,343,891 28,548,070 13,030,751 10,909,750 2,724,649 2,839,076 6,751,551 473,021 9,807,683 96,334,439 2011 Million VND 12,286,051 9,276,180 29,064,738 5,638,495 6,920,640 2,035,586 2,329,765 3,569,053 988,912 8,430,067 80,539,487 8.4

(*) Included in current loans is VND9,019,894 million of a number of significant loans granted in the year of 2012 with the tenor of one year for the long term purposes to refinance real estate projects. Collateral assets for these loans are summarised as below: 31.12.2012 Million VND Land use rights and related expenses in relation to real estate projects Securities 7,680,709 976,346 8,657,055 By maturity As at 31 December 2012 Million VND Shortterm loans Mediumterm loans Longterm loans 59,849,996 22,652,341 13,832,102 96,334,439 2011 Million VND 49,972,927 16,330,141 14,236,419 80,539,487

114

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Annual Report 2012

115

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

8 8.5

LOANS, ADVANCES AND FINANCE LEASES TO CUSTOMERS (continued) By currency As at 31 December 2012 Million VND Denominated in Vietnamese Dong Denominated in foreign currencies 82,720,987 13,613,452 96,334,439 2011 Million VND 64,090,562 16,448,925 80,539,487

8 8.8

LOANS, ADVANCES AND FINANCE LEASES TO CUSTOMERS (continued) Provision for losses on loans, advances and finance leases to customers Specific provision General provision Million VND Million VND As at 1 January 2011 Charge for the year Bad debt written off during the year Reversal due to disposal of a subsidiary As at 31 December 2011 Charge for the year Effect of foreign exchange differences Bad debt written off during the year As at 31 December 2012 Total Million VND 820,603 110,269 (47,870) (70,062) 812,940 635,853 (1,701) (466) 1,446,626

218,921 87,028 (70,062)

(47,067)

601,682 23,241

(803)

8.6

By geography As at 31 December 2012 Million VND Ho Chi Minh City Mekong Delta Central and Eastern Northern Overseas 48,437,790 13,457,269 20,467,422 11,445,443 2,526,515 96,334,439 2011 Million VND 35,387,512 11,153,599 21,223,154 10,821,827 1,953,395 80,539,487 9

188,820
544,369

624,120
91,484

(466)
732,723

(1,701)
713,903

INVESTMENT SECURITIES

9.1 Availableforsale investment securities As at 31 December 2012 Million VND Debt securities Government bonds (i) Debt securities issued by other credit institutions Debt securities issued by local corporations (ii) Debt securities issued by overseas corporations Equity securities Equity securities issued by other credit institutions Equity securities issued by local corporations Total availableforsale securities Less: Provision for diminution in value of availableforsale securities 2011 Million VND

8.7

By type of customers As at 31 December 2012 Million VND Stateowned enterprises Jointstock companies Limited companies Private enterprises Cooperatives Joint ventures 100% foreignowned enterprises Individuals Others 5,907,494 27,063,884 26,137,288 3,378,908 89,861 28,733 175,948 33,453,531 2011 Million VND 3,677,347 20,086,296 23,774,054 4,859,534 127,391 331,227 264,200 27,254,519

11,167,819 5,934,083 2,142,077 61,004 19,304,983 269,696 91,899 361,595 19,666,578 (104,934) 19,561,644

7,180,072 12,927,090 3,904,987 24,012,149 34,860 117,292 152,152 24,164,301 (28,248) 24,136,053

98,792
96,334,439

164,919
80,539,487

(i) As at 31 December 2012, these bonds were all issued by the Government of Vietnam and a local government. (ii) Included in debt securities issued by local corporations as at 31 December 2012 and 31 December 2011 is respectively VND0 million and VND300,000 million of corporate bonds issued by related parties of the Bank (Note 41).

116

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117

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

9 9.2

INVESTMENT SECURITIES (continued) Heldtomaturity investment securities As at 31 December 2012 Million VND Debt securities issued by local corporations (*) Debt securities issued by overseas entities Less: Provision for diminution in value of heldtomaturity investment securities (*) 800,000 800,000 (378,000) 422,000 2011 Million VND 180,000 52,124 232,124 232,124

10 10.2

INVESTMENTS IN ASSOCIATES (continued) Movement of investments in associates at carrying value Year ended 31 December 2012 Million VND Beginning balance Increase in contributed capital in associates Transfer from other longterm investments Shared profit Closing balance 18,481 13,500 118 32,099 2011 Million VND

(*) The balance as at 31 December 2012 is VND800 billion convertible bond issued by Sacombank Securities Joint Stock Company (SBS), a related party of the Bank (31 December 2011: nil). As at 31 December 2012, a provision of VND378,000 million was made for this convertible bond. (See Note 45 for the update on SBS). The balance of VND180,000 million at 31 December 2011 is investment in bonds issued by a related party of the Bank (Note 41).

11

OTHER LONGTERM INVESTMENTS The Groups other longterm investments are investments in other entities with shareholding of less than 11% and comprise the following companies: As at 31 December 2012 Million VND Credit institutions Listed credit institutions Unlisted credit institutions Non credit institutions Listed corporations (*) Unlisted corporations Total longterm investments in other entities Less: Provision for diminution in value of other longterm investments 2011 Million VND

10 10.1

INVESTMENTS IN ASSOCIATES Balances of investments in associates 31 December 2012 At cost Million VND Investments in associates Carrying value Million VND 31 December 2011 At cost Carrying value Million VND Million VND

1,634 1,634 213,653 261,915 475,568 477,202 (268,365) 208,837

167,353 1,634 168,987 266,835 387,147 653,982 822,969 (157,458) 665,511

30,000

32,009

Investment in associates is the investment of a subsidiary of the Bank in Son Tin Commodity Exchange Joint Stock Company (STE) on 20 May 2012. The indirect shareholding of the Bank in STE as at 31 December 2012 is 20%.

(*) Included in other long term investments is VND138,700 million investment in a listed entity which is also a related party of the Bank at 31 December 2012 (31.12.2011: nil) (Note 41).

118

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119

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)
12 TANGIBLE FIXED ASSETS Office equipment 960,784 72,182 53,292 1,948 1,342 (9,277) (17) Motor vehicles 252,739 53,695 38,975 1,594 1,277 (11,328) 336,952

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

Currency: Million VND Buildings Other assets Total

12 TANGIBLE FIXED ASSETS (continued) Currency: Million VND 2011 Buildings Office equipment Motor vehicles Other assets Total

2012

Historical cost At 1 January 2012 1,135,235 New purchases 5,594 Transfers from construction in progress and purchase of fixed assets (Note 15.1(i)) 501,981 Transfers from finance lease assets (Note 13) Increase from purchase of a subsidiary Other increases (*) 110,085 Disposals (428) Other movements 1,719 At 31 December 2012 Accumulated depreciation At 1 January 2012 Charge for the year Transfers from finance lease assets (Note 13) Other increases (*) Charge to Science and Technology Development Fund (Note 21.1.a) Increase from purchase of a subsidiary Disposals Other movements At 31 December 2012 Net book value At 1 January 2012 At 31 December 2012

373,565 2,722,323 23,243 154,714 63,756 19,252 (2,505) 87 658,004 1,594 22,477 111,427 (23,538) 1,789

1,754,186 1,080,254

477,398 3,648,790

Historical cost At 1 January 2011 760,896 New purchases 2,567 Transfers from construction in progress and purchase of fixed assets (Note 15.1(i)) 609,494 Decrease from disposal of a subsidiary (115,094) Transfers from finance lease assets (Note 13) Converted a branch into a subsidiary Disposals (111,082) Reclassification (11,546) At 31 December 2011 Accumulated depreciation At 1 January 2011 Charge for the year Transfers from finance lease assets (Note 13) Decrease from disposal of a subsidiary Utilised Science and Technology Development Fund (Note 21.1.a) Converted a branch into a subsidiary Disposals Reclassification At 31 December 2011 Net book value At 1 January 2011 At 31 December 2011 1,135,235

824,380 60,214 175,846 (55,536) 2,448 (25,277) (21,291) 960,784

188,278 36,096 41,899 (4,789) 492 287 (8,120) (1,404) 252,739

247,672 2,021,226 23,396 122,273 88,399 (19,260) 10,610 45 (11,538) 34,241 915,638 (194,679) 11,102 2,780 (156,017)

(54,266) (34,371) (14,015) 14 7 (102,631)

(383,179) (108,604) (596) (3,893) (1,517) 6,722 (491,067)

(90,694) (17,445) (247) (633) 5,674 (103,345)

(88,661) (88,457) (6,763) 886 79 (182,916)

(616,800) (248,877) (247) (14,611) (3,893) (8,913) 13,296 86 (879,959)

373,565 2,722,323

(56,049) (22,863) 8,026 14,603 2,017 (54,266)

(272,601) (139,431) 29,013 (10,602) (668) 9,237 1,873 (383,179)

(63,992) (31,615) (334) 1,675 (76) 3,429 219 (90,694)

(26,190) (64,946) (803) 5,196 (8) 2,199 (4,109) (88,661)

(418,832) (258,855) (1,137) 43,910 (10,602) (752) 29,468 (616,800)

1,080,969 1,651,555

577,605 589,187

162,045 233,607

284,904 2,105,523 294,482 2,768,831

Included in office equipment are fixed assets funded by Science and Technology Development Fund with historical cost of VND53,012 million (As at 31 December 2011: VND53,012 million) and accumulated depreciation of VND25,743 million (As at 31 December 2011: VND21,848 million). The accounting policy for those fixed assets is different from similar assets which are purchased outside the Fund. Accordingly, depreciation for those fixed assets is deducted from Science and Technology Development Fund used (Note 21.1.a). As mentioned in Note 2.15, the change of depreciation rates of tangible fixed assets resulted in a lower charge of VND25.554 million to the depreciation expense and Science and Technology Development Fund in the year. (*) Other increases in historical cost and accumulated depreciation were due to the cancelation of the contracts signed with Thien Son Company to transfer the land use rights and assets of the warehouses no. MN I, II and III and warehouses Lot No. 1, 2, 3, 15, 16, 17, 18, 70, 75, 76 at Song Than I Industrial Park. Accordingly, these fixed assets were recognised again fully.

704,847 1,080,969

551,779 577,605

124,286 162,045

221,482 1,602,394 284,904 2,105,523

Included in office equipment are fixed assets funded by Science and Technology Development Fund with historical cost of VND53,012 million (As at 31 December 2011: VND53,012 million) and accumulated depreciation of VND21,848 million (As at 31 December 2011: VND11,246 million). The accounting policy for those fixed assets is different from similar assets which are purchased outside the Fund. Accordingly, depreciation for those fixed assets is deducted from Science and Technology Development Fund used (Note 21.1.a).

120

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121

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

13

FINANCE LEASE ASSETS 2012 Historical cost At 1 January 2012 Additions by new purchase Transfers to tangible fixed assets (Note 12) At 31 December 2012 Accumulated depreciation At 1 January 2012 Charge for the year Transfers to tangible fixed assets (Note 12) Other movements At 31 December 2012 Net book value At 1 January 2012 At 31 December 2012 2011 Historical cost At 1 January 2011 Additions by new purchase Decrease from disposal of a subsidiary Transfers to tangible fixed assets (Note 12) At 31 December 2011 Accumulated depreciation At 1 January 2011 Charge for the year Decrease from disposal of a subsidiary Transfers to tangible fixed assets (Note 12) At 31 December 2011 Net book value At 1 January 2011 At 31 December 2011 Motor vehicles Million VND 2,337 864 (1,594) 1,607 (313) (413) 247 (97) (576)

14

INTANGIBLE FIXED ASSETS

Currency: Million VND Land use rights 1,385,866 18,182 653,880 93,535 9,817 (13,219) 2,148,061 Other Computer intangible software fixed assets 384,041 2,166 89,594 115,566 11 (401) 590,977 36 241 277

2012 Historical cost At 1 January 2012 New purchases Transfers from construction in progress and purchase of fixed assets (Note 15.1(i)) Other increases (*) Reclassification Increase from purchase of a subsidiary Disposals At 31 December 2012 Accumulated depreciation At 1 January 2012 Charge for the year Other increases (*) Utilised Science And Technology Development Fund (Note 21.1.a) Increase from purchase a subsidiary Reclassification Disposal At 31 December 2012 Net book value At 1 January 2012

Total 1,769,943 20,348 743,474 209,101 9,828 241 (13,620) 2,739,315

2,024 1,031 Motor vehicles Million VND 24,249 594 (11,404) (11,102) 2,337

(11,236) (14,898) (12,494) (38,628)

(158,365) (75,618) (9,388) (8,590) (6) 262 (251,705)

(26) (14) (36) (76)

(169,627) (90,530) (21,882) (8,590) (36) (6) 262 (290,409)

1,374,630 2,109,433

225,676 339,272

10 201

1,600,316 2,448,906

(4,362) (367) 3,279 1,137 (313) 19,886 2,024

At 31 December 2012

Included in computer software are fixed assets funded by Science and Technology Development Fund with historical cost is VND42,949 million (As at 31 December 2011: VND42,949 million) and accumulated depreciation is VND25,689 million (As at 31 December 2011: VND17,099 million). The accounting policy for those fixed assets is different from similar assets which are purchased outside the Fund. Accordingly, depreciation for those fixed assets is deducted from Science and Technology Development Fund used (Note 21.1.a). (*) Other increases in historical cost and accumulated depreciation were due to the cancelation of the contracts signed with Thien Son Company to transfer the land use rights and assets of the warehouses no. MN I, II and III and warehouses Lot No. 1, 2, 3, 15, 16, 17, 18, 70, 75, 76 at Song Than I Industrial Park. Accordingly, these fixed assets were recognised again fully.

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FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

14

INTANGIBLE FIXED ASSETS (continued)

Currency: Million VND Computer software 356,010 3,514 58,857 (25,599) 1,166 (9,910) 3 384,041 Land use rights 1,275,381 349,473 (58,000) (180,951) (37) 1,385,866 Other intangible fixed assets 365 (363) 34 36

15 15.1

OTHER ASSETS Other receivables As at 31 December 2012 Million VND Construction in progress and purchase of fixed assets (i) Foreclosed assets (*) Foreclosed assets Mr. Dang Van Thanh's family (ii)(a) Receivables from Dang Huynh Company (ii) (c) Receivables from Tin Viet Company (ii) (d) Securities reverse repurchase agreements (iii) Receivables from the State Budget (iv) Advances and internal receivables Advances for Head Office rental (Note 40) Receivables from selling securities Other receivables Advances for a service agreement Deposit at another bank Recourse factoring (v) 600,501 664,081 1,596,853 312,645 427,503 222,009 60,485 126,081 29,827 107,937 542,606 2011 Million VND 1,567,033 412,939 99,730 173,155 31,087 290,223 1,324,886 438,000 816,000 381,179

2011 Historical cost At 1 January 2011 New purchases Transfers from construction in progress and purchase of fixed assets (Note 15.1(i)) Decrease from disposal of a subsidiary Converted a branch into a subsidiary Disposals Reclassification At 31 December 2011 Accumulated depreciation At 1 January 2011 Charge for the year Utilised Science and Technology Development fund (Note 21.1.a) Decrease from disposal of a subsidiary Converted a branch into a subsidiary Disposals Reclassification At 31 December 2011 Net book value At 1 January 2011 At 31 December 2011

Total 1,631,756 3,514 408,330 (83,599) 1,166 (191,224) 1,769,943

(105,736) (59,913) (8,590) 11,254 433 4,189 (2) (158,365)

(12,472) (9,695) 10,910 21 (11,236)

(309) (4) 306 (19) (26)

(118,517) (69,612) (8,590) 11,254 433 15,405 (169,627)

4,690,528
(i)

5,534,232

(*) These are foreclosed assets whose ownership right has been transferred to certain individuals delegated by the Bank. Construction in progress and purchase of fixed assets Year ended 31 December Million VND

2012

Million VND 1,153,791 1,932,399 (915,638) (408,330) (184,645) (10,544) 1,567,033

2011

250,274 225,676

1,262,909 1,374,630

56 10

1,513,239 1,600,316

Included in computer software are fixed assets funded by Science and Technology Development Fund with historical cost is VND42,949 million (As at 31 December 2010: VND42,949 million) and accumulated depreciation is VND17,099 million (As at 31 December 2010: VND8,509 million). The accounting policy for those fixed assets is different from similar assets which are purchased outside the Fund. Accordingly, depreciation for those fixed assets is deducted from Science and Technology Development Fund used (Note 21.1.a).

Beginning balance Additions Transfers to tangible fixed assets (Note 12) Transfers to intangible fixed assets (Note 14) Transfer to prepaid expenses and operating expenses Decrease due to disposal of a subsidiary Closing balance

1,567,033 849,271 (658,004) (743,474) (414,325) 600,501

Main constructions in progress are cost of construction of office building and purchase of warehouse.

124

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125

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

15 15.1 (ii)

OTHER ASSETS (continued) Other receivables (continued) Foreclosed assets from Mr. Dang Van Thanh and Mr. Dang Hong Anh This is the value of foreclosed assets as the Banks shares owned by Mr. Dang Van Thanh, the Banks former Chairman and Mr. Dang Hong Anh, the Banks Vice Chairman to settle for underlying related loans, investments in bonds and other receivables at the total agreed value of the Bank. The total of the settled exposures is VND1,596,853 million. These shares have been blocked at the depository accounts opened at Sacombank Securities Joint Stock Company. The Bank has already reported this agreement to the State Bank of Vietnam in Letter No. 778/CVKT dated 12 March 2013. The Bank has also informed the State Securities Commission and the Ho Chi Minh Stock Exchange about this agreement. n 5 December 2012, Sacombank signed an agreement with Mr. Dang Van Thanh and Mr. Dang Hong O Anh. In accordance with this agreement, the following have been executed:

15 15.1

OTHER ASSETS (continued) Other receivables (continued) Accordingly, on 11 December 2012, the Bank signed liquidation minutes with the above borrowers, derecognised these loans and bonds and released related collateral assets to these borrowers. The Bank also recognised the full exposure of VND1,596,853 million as the total agreed value of these shares in other assets as repossessed assets.

(b) For those assets transferred to Thien Son Company previously by Sacombank (Warehouses MN1, MN2 and MN3) and Sacombank Assets Management Company (Warehouses Lot No. 1, 2, 3, 15, 16, 17, 18, 70, 75, 76 at Song Than I Industrial Park), Sacombank received them back and returned cash proceed of VND376,410 million to Thien Son Company by the following method: - - - Net off with the outstanding loan exposure of VND215,477 million granted to Thien Son Company before; Settled those other losses to the Bank with regards to: Land use right at 40E Ut Tich (VND3,000 million), Land use right at Phuoc Trung, Ba Ria Vung Tau (VND1,800 million) and purchase of SacomReal valuation function (VND27,870 million). The remaining balance of VND128,263 million was used to net off with receivables from Tin Viet Company as mentioned in item (d) below.

(a) Used the 7.435% stake (79,842,647 shares) of Mr. Dang Van Thanh and Mr. Dang Hong Anh in Sacombank at the agreed value of VND20,000/share to: (i) settle VND171,737 million receivable from Tin Viet as mentioned in item (d) below and (ii) extinguish VND1,425,116 million of the following credit exposures in accordance with another noncancelable agreement signed between Sacombank and Mr. Dang Van Thanh and Mr. Dang Hong Anh and notarised by Public Notary of District 10 on 10 December 2012: - - - - - - Loan exposure granted to Saigon Thuong Tin Real Estate Company: VND678,227 million Investment exposure in bonds issued by Saigon Thuong Tin Real Estate Company: VND329,386 million Loan exposure granted to ThanhThanh Cong Company: VND18,023 million Investment exposure in bonds issued by ThanhThanh Cong Company: VND192,341 million Investment exposure in bonds issued by Dang Huynh Company: VND148,351 million Loan exposure granted to Thanh Ngoc Company: VND58,788 million.

(c) Cancelled the agreement in principle signed with Dang Huynh Company previously in relation to a lease of the land use right at Tan Kim Industrial Park. Dang Huynh Company is obligated to return the advance of VND362,645 million to Sacombank on the following basis: - - VND50,000 million was paid to Sacombank on 7 November 2012 The remaining balance will be paid quarterly installment within 18 months from the first payment as mentioned above. As at 31 December 2012, the outstanding balance due from Dang Huynh Company was VND312,645 million. (d) Transferred of 17 types of shares in the foreclosed assets at book value to Tin Viet Company at a total value of VND727,503 million. The payment will be made on the following basis: - - VND300,000 million was net off with the surplus arising from item (a) and (b) above; The remaining balance will be paid semiannually installment within 2 years.

Under this agreement, Mr. Dang Van Thanh and Mr. Dang Hong Anh fully authorise the Banks Board of Management to perform any work in connection with ownership transfer of the above shares on behalf of them, including but not limited to the following: - - Purchase, sell and determine the ownership of these shares; Liaise and work with Securities Depository Center and/or relevant State authorities and/or relevant organisations and individuals to perform procedures in connection with these shares as follows: o o o o o Decide to make purchase and sale orders and sign trading order ticket; Deposit securities; Withdraw or transfer cash; Decide and sign documents relating to subscription for purchase of additionally issued shares or transfer of call options for additionally issued shares arising from ownership of these shares in accounts; Perform relevant work and sign relevant documents on capacity of the account owner with respect to these shares in accordance with prevailing regulations.

As at 31 December 2012, the outstanding balance due from Tin Viet Company was VND427,503 million. This balance is secured by 17 types of shares sold as mentioned above.

126

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127

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

15 15.1 (iii)

OTHER ASSETS (continued) Other receivables (continued) Securities reverse repurchase agreements As at 31 December 2012, the Bank had outstanding reverse repurchase agreements singed with a number of individuals for underlying shares of Vietnam Thuong Tin Joint Stock Bank (VND50,000 million), Southern Joint Stock Bank (VND29,654 million) and Lien Viet Post Joint Stock Bank (VND142,356 million).

15 15.3

OTHER ASSETS (continued) Provisions for losses on other assets Year ended 31 December

2012
Million VND Beginning balance Charge for the year Utilisation Reclassification from other liabilities (Note 21.2) Closing balance (*) 658,166 55,412 713,578

2011
Million VND

(iv)

Receivables from the State Budget Included in receivables from the State Budget is VND29,905 million (as at 31 December 2011: VND57,825 million) of interest arose from the interest subsidy programs of the Government.

(v)

Recourse factoring In August 2011, the Bank sold loans and related accrued interests of 9 customers to an individual by a factoring with recourse contract. The payment term is within one year since the date of the contract and will mature in August 2012. The recourse rights can be exercised if the buyer is unable to collect these debts after 1 or 2 years from the contract dates depending on each contract. As at 31 December 2012, the recourse rights have been exercised and therefore, these loans were recognised back in loans to customers and were reclassified in Group 5 Bad debt.

(*) Provision for other long term assets consists of VND615,505 million of provision for foreclosed assets at 31 December 2012 (at 31 December 2011: nil), VND74,050 million of provision for receivables from selling securities on deferred payment basis (at 31 December 2011: VND50,204 million), VND23,726 million of provision for securities reserve repurchase agreement (at 31 December 2011: nil) and VND297 million of provision for other assets (At 31 December 2011: nil). 16 BORROWINGS FROM THE GOVERNMENT AND THE STATE BANK OF VIETNAM As at 31 December

15.2

Other assets As at 31 December 2012 Million VND Foreclosed assets (*) Deferred expenses Other assets 1,079,464 659,304 36,848 1,775,616 2011 Million VND 590,833 590,833 Denominated in VND Million VND Placements from other credit institutions Demand deposits Term deposits 277,978 277,978 Borrowings from other credit institutions 1,160,000 1,437,978 17 Borrowings by means of discounting, rediscounting valuable papers

2012
Million VND

2011
Million VND 2,129,609

PLACEMENTS AND BORROWINGS FROM OTHER CREDIT INSTITUTIONS 31 December 2012 Denominated in foreign currencies and gold Million VND 97,458 759,224 856,682 2,435,866 3,292,548

(*)

Foreclosed assets Foreclosed assets are pledged assets which were used to compensate for bad debts including loans and receivables. Ownership of these assets has been transferred to the Bank.

Total Million VND 375,436 759,224 1,134,660 3,595,866 4,730,526

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129

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

17

PLACEMENTS AND BORROWINGS FROM OTHER CREDIT INSTITUTIONS (continued) 31 December 2011 Denominated in foreign currencies and gold Million VND 10,188 1,969,304 1,979,492 5,363,814 7,343,306

18 18.2

DEPOSITS FROM CUSTOMERS (continued) By currency (continued) 31 December 2011 Denominated in foreign currency and gold Million VND 1,670,458 813,981 5,963,017 709,207 55,196 9,211,859

Denominated in VND Million VND Placements from other credit institutions Demand deposits Term deposits Borrowings from other credit institutions 391,283 4,289,000 4,680,283 800,000 5,480,283

Total Million VND 401,471 6,258,304 6,659,775 6,163,814 12,823,589 Current deposits Term deposits Saving deposits Marginal deposits Deposits for specific purposes

Denominated in VND Million VND 10,231,530 6,196,720 49,291,564 60,178 100,401 65,880,393

Total Million VND 11,901,988 7,010,701 55,254,581 769,385 155,597 75,092,252

Included in deposits and borrowings from other credit institutions is VND203 million (as at 31 December 2011: VND515.839 million) deposits and borrowings from related parties (Note 41). 18 18.1 DEPOSITS FROM CUSTOMERS By type of deposits As at 31 December 2012 Million VND Current deposits Term deposits Saving deposits Marginal deposits Deposits for specific purposes 13,133,828 12,965,106 80,573,146 781,836 4,782 107,458,698 18.2 By currency 31 December 2012 Denominated in VND Million VND Current deposits Term deposits Saving deposits Marginal deposits Deposits for specific purposes 11,966,559 11,285,826 76,245,895 192,976 1,922 99,693,178 Denominated in foreign currency and gold Million VND 1,167,269 1,679,280 4,327,251 588,860 2,860 7,765,520 2011 Million VND 11,901,988 7,010,701 55,254,581 769,385 155,597 75,092,252 18.3

Included in deposits from customers is VND970,356 million (As at 31 December 2011: VND39,747 million) balance with related parties (Note 41). By type of customers As at 31 December 2012 VND Stateowned enterprises Local private companies and joint stock companies 100% foreignowned enterprises Individuals Others 4,900,183 14,507,107 457,283 86,267,870 1,326,255 107,458,698 19 CAPITAL FINANCED, ENTRUSTED INVESTMENTS AND OTHER BORROWINGS As at 31 December 2012 Million VND Funds received from RDF Funds received from FMO Funds received from SMEDF Funds received from SMEFP Funds received from IFC Funds received from ADB Funds received from PROPARCO Funds received from MLFIII Funds received from NORFUND Funds received from others (i) (ii) (iii) (iv) (v) (vi) (vii) (viii) (ix) (x) 584,599 2,489,720 2,500 96,249 281,250 271,645 653,679 61,318 104,140 4,545,100 2011 Million VND 572,560 2,356,176 15,000 112,316 343,750 370,524 801,077 33,919 104,010 4,347 4,713,679 2011 VND 3,827,212 10,816,041 335,014 58,805,979 1,308,006 75,092,252

Total Million VND 13,133,828 12,965,106 80,573,146 781,836 4,782 107,458,698

130

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131

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

19

CAPITAL FINANCED, ENTRUSTED INVESTMENTS AND OTHER BORROWINGS (continued) (i) Funds received from the Rural Development Fund (RDF) are financed by the World Bank for a term from one to five years at interest rate of 0.5% per year of balance in USD and from 10.08% to 10.3% per year of balance in Vietnamese Dong. These funds are lent to borrowers in accordance with the Decision No. 25/QDNH21 dated 31 January 1997 issued by the Governor of the State Bank of Vietnam. These funds will mature in 2014. (ii) Funds received from Financierings Maatschappij Voor Ontwikkelingslarden (FMO), a bank in the Netherland, include 3 agreements as follow: und used for the sole purpose of making housing loans to retail nonbusiness clients which meet certain F requirements given by FMO. Interest is paid semiannually at the average rate of 6 month deposit of Vietcombank, Bank for Investment and Development of Vietnam, Asia Commercial Bank and HSBC Bank (Vietnam) Ltd. The fund will mature in 2016. Loan agreement for funding US$105 million which is treated as tier 2 capital with term of 10 years and interest rate of USD-ISDA interest rate plus a margin of 5.5% per annum for the first five years and 7.7% per annum for the remaining years. The principle is paid at maturity date and interest is paid semiannually. (iii) Funds received from the Small and Medium Enterprise Development Fund (SMEDF) are financed by the European Commission. The funds are used to finance Vietnamese small and medium enterprises who meet certain conditions required by the project. The interest rate is quoted as either a fixed rate or floating rate. Fixed rate is equal to the rate paid by the Government on its most recently issued five year bonds less a discount rate. Variable rate is equal to the reference interest rate less a discount rate and is determined every six months thereafter. Reference interest rate is the average 6 month VND deposit rate of Vietcombank, Incombank, Bank for Investment and Development of Vietnam and Bank for Agriculture and Rural Development. Discount rate is applied to each type of interest rates and is fixed by the lender on an annual basis. Discountrate for the first year of credit facility is 0.5% for fixed rate or 1% for variable rate. These funds will mature in 2013. (iv) Funds received from the Small and Medium Enterprise Development Fund (SMEDF) are financed by Japan International Cooperation Bank. The funds are used to finance Vietnamese small and medium enterprises. The total facility is VND120 billion at a fixed interest rate equal the Government bond 364 days coupon rate determined at the latest bidding. The first facility from SMEDF II will mature in 2017 and the second facility from SMEDF III will mature in 2020. (v) Funds received from the International Finance Corporation (IFC) are used to finance Vietnamese individuals to purchase and repair houses. The maximum lending period is 10 years and lending currency is Vietnamese dong. The interest rate is determined by a fixed component plus a margin of 1.5% p.a. Prepayment is made each six monthly, starting from 2010. These funds will mature in 2017.

19

CAPITAL FINANCED, ENTRUSTED INVESTMENTS AND OTHER BORROWINGS (continued) (vi) Funds received from Asia Development Bank (ADB) are used to finance borrowers which are small and medium enterprises (SME) in Vietnam. The Credit Facility is not exceeding USD25 million and has a maximum term of 6 years. Interest rates are based on LIBOR. Interest is paid on 30 June and 31 December, annually. The fund will mature in 2015. (vii) Funds received from Societe De Promotion Et De Participation Pour La Cooperation Economique S.A (PROPARCO) are used to finance or refinance medium and long term loans in USD to borrowers in Vietnam. The Credit Facility is not exceeding USD20 million and has a maximum term of 7 years. Interest rates are fixed or floating rates which are determined at the determination date. Interest is paid on 30 April and 31 October, annually. The fund will mature in 2016. (viii) Funds received from Micro Credit Fund as a part of Rural Development Fund financed by World Bank (MLFIII). The funds are used to finance trade retailers. The funds bear a floating interest rate which is determined on each drawdown and will mature in 2031. (ix) Funds received from Norwegian Investment Fund for Developing Countries (Norfund) for a credit facility of US$5 million for 5 years for granting loans to local borrowers at a floating rate of Libor 6 months plus 2.7% p.a.

(x) Funds received from Highway Development Company to entrust the Bank managing the funds. The funds are granted for 6 months at a fixed interest rate of 14% p.a. 20 VALUABLE PAPERS ISSUED Denominated in VND Million VND Shortterm Mediumterm 5,375,837 9,275 5,385,112 31 December 2012 Denominated in foreign currency and gold Million VND 2,383,993 7,444 2,391,437

Total Million VND 7,759,830 16,719 7,776,549

31 December 2011 Denominated in VND Million VND Shortterm Mediumterm Denominated in foreign currency and gold Million VND 3,680,839 410,124 4,090,963

Total Million VND 15,296,482 2,320,226 17,616,708

11,615,643 1,910,102
13,525,745

Included in valuable papers issued is VND2,645 million (As at 31 December 2011: nil) balance with related parties (Note 41).

132

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133

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

21 21.1

OTHER LIABILITIES Other liabilities As at 31 December 2012 Million VND Remittance in transit payable Payables to the State Budget Payable to customers (i) Added value gold contracts (ii) Unearned interest income Dividends payable (iii) Payables to employees Other payables Provision for severance allowance Science and Technology Development Fund (Note 21.1.a) 320,533 184,027 1,677,175 7,864,467 30,901 1,508,330 42,608 835,821 24,222 48,568 12,536,652 2011 Million VND 11,664 230,856 11,813,907 44,878 470,505 472,702 16,564 61,053 13,122,129

21

OTHER LIABILITIES

21.1.a Science and Technology Development Fund As at 31 December 2012 Million VND Science and Technology Development Fund not yet used (i) Science and Technology Development Fundused (ii) 4,040 44,528 48,568 (i) Movement of Science and Technology Development Fund not yet used: Year ended 31 December 2012 Million VND Beginning balance Utilisation during the year Closing balance (ii) Science and Technology Development Fundused: Year ended 31 December 2012 Million VND Beginning balance Decreases by accumulated depreciation of fixed assets financed by this fund Closing balance 21.2 Other provisions As at 31 December 2012 Million VND General provision for losses on credit contingencies and commitments (i) Provision for receivables from customers (ii) 2011 Million VND 57,013 (12,485) 44,528 2011 Million VND 76,205 (19,192) 57,013 4,040 4,040 2011 Million VND 4,040 4,040 2011 Million VND 4,040 57,013 61,053

(i) Included in payables to customers are VND1,126,165 million (as at 31 December 2011: Nil) as certificates of deposits which have already matured and awaiting to pay back according to clients request and VND545,522 million as gold kept in custodian for customers (as at 31 December 2011: VND11,801,501 million) . (ii) This is the total value of added value gold contracts. (iii) Included in dividends payable as at 31 December 2012 is VND1,503,555 million in relation to the 2011 dividend which was ratified at the 2012 Annual General Meeting on 26 May 2012. As at 31 December 2012, the Bank has been waiting for approval of the State Bank of Vietnam and the State Securities Commission of Vietnam to pay these dividends to the shareholders.

79,688 79,688

79,688 55,412 135,100

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135

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

21 21.2

OTHER LIABILITIES (continued) Other provisions (continued)

22 22.1

CAPITAL (continued) Share capital (continued)

(i) General provision for losses on credit contingencies and commitments Year ended 31 December 2012 Million VND Beginning balance Charge for the year Closing balance (ii) Provision for receivables from customers Year ended 31 December 2012 Million VND Beginning balance Charge for the year Utilisation Reclassification to other assets (*) Closing balance 55,412 (55,412) 2011 Million VND 256,830 (201,418) 55,412 79,688 79,688 2011 Million VND 52,388 27,300 79,688

(a) Number of shares As at 31 December 2012 Ordinary shares Number of shares registered Number of shares issued Number of shares repurchased Number of existing shares in issue b) Details of owners shareholding as at 5 February 2013 Ordinary shares Shareholding owned by corporations Shareholding owned by individuals Number of shares (c) Movement of share capital Number of shares At 1 January 2011 New issues to existing shareholders New issues to employees Purchase of treasury shares At 31 December 2011 Purchase of treasury shares As at 31 December 2012 2011 Million VND 10,739,677 Capital for finance of fixed assets and capital construction Others At 31 December 2012 22.2 Other capital As at 31 December 2012 Million VND 795 153 948 2011 Million VND 795 153 948 917,923,013 135,962,906 20,081,745 (96,343,400) 977,624,264 (3,656,600) 973,967,664 Ordinary shares Million VND 9,179,230 1,359,629 200,818 10,739,677 10,739,677 398,495,407 675,472,257 1,073,967,664 % 37 63 100 1,073,967,664 1,073,967,664 (100,000,000) 973,967,664 2011 Ordinary shares 1,073,967,664 1,073,967,664 (96,343,400) 977,624,264

(*) During the year, the Bank reclassified the provision for receivables from customers from other liabilities to be presented in other assets (Note 15.3). 22 CAPITAL 22.1 Share capital

Million VND Issued and fully paid chartered capital 10,739,677

136

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137

FORM B 05/TCTD-HN

Currency: Million VND

Total

13,939,206 1,995,857 1,359,629 200,818 (1,450,558) (1,376,885) 86,699 (282,538) 74,655

14,546,883 1,002,370 (56,320) (1,503,555) (7,058) (283,581)

13,698,739

FORM B 05/TCTD-HN

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

Undistributed earnings

1,759,560 1,995,857 (600,590) (1,376,885) (517) 74,549

106,034

1,958,008 1,002,370 (379,698) (1,503,555) (7,482)

1,069,643

23

MOVEMENTS IN OWNERS EQUITY (continued) In accordance with Law on Credit Institutions No.47/2010/QH12 effective as of 1 January 2011 and Decree No. 57/2012 dated 20 July 2012 issued by the Government, the Bank is required to establish the following reserves: Reserve for supplementary chartered capital: 5% of the net profit after business income tax each year is allocated until the reserve balance reach 100% of current capital. The reserve for supplementary chartered capital will be transferred to chartered capital upon approval from the SBV. Financial provision fund: 10% of the net profit after business income tax each year is allocated until the reserve balance reaches 25% of the current capital. Foreign exchange differences Foreign exchange differences were arised from revaluation of investment to Sacombank Cambodia when converted the branch to be a subsidiary of the Bank. Other reserves Other reserves include the fund for investment and development and the welfare and bonus fund. The allocations to the fund for investment and development and welfare and bonus fund have been approved by the Board of Management of the Bank and the Annual General Meeting on 26 May 2012. The use of these funds is in accordance with the Banks Charter. Dividend A dividend of 14% for 2011 was ratified at the 2012 Annual General Meeting on 26 May 2012 and was reflected in the consolidated financial statements for the year ended 31 December 2012. Dividends for 2012 to be declared are not accounted for until they have been ratified at the next Annual General Meeting. The Board of Management has planned to propose a dividend distribution at a range from 5% to 6% for the year ended 31 December 2012. The consolidated financial statements for the year ended 31 December 2012 do not reflect this plan, which, if subsequently ratified, will be accounted for in the shareholders equity as an appropriation of undistributed earnings in the year ending 31 December 2013. (*) The purchases of treasury shares in 2011 and 2012 were conducted in accordance with the approval No. 30/BBHTTC dated 1 November 2011 of the Banks Financial Investment Committee. The purchases were conducted in the period from 15 November 2011 to 16 January 2012.

184,916 282,783 (282,538) 106

(20,307)

164,960 267,187 (26,295) (275,522) 87,216 424 828,581 75,028 (7,836) (8,059) 546,358 37,483 34,131 (1,450,558) (56,320) 948 1,671,693 10,739,677 At 31 December 2011 Net profit for the year Appropriation to reserves Purchase of treasury shares (*) Dividends Reclassification Other movements Utilise fund

Foreign exchange differences

(650) 87,216

650

Financial provision fund

659,296 209,290

(40,005)

Reserve for supplementary Treasury chartered share capital

484,213 108,517

(46,372)

Notes to the ConsoLiDateD finanCiaL statements

(1,450,558)

948 1,671,693

Share premium

For the year ended 31 December 2012 (continued)

Other capital

Share capital

9,179,230 1,359,629 200,818

MOVEMENTS IN OWNERS EQUITY

At 1 January 2011 Net profit for the year Appropriation to reserves New issues to existing shareholders New issues to employees Purchase of treasury shares (*) Dividends paid by cash Other movements Utilise fund Transfers to minority interest Decrease from disposal of a subsidiary

23

At 31 December 2012

10,739,677

948 1,671,693

(1,506,878)

617,972

887,714

87,640

130,330

Other reserves

138

Annual Report 2012

Annual Report 2012

139

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

23

MOVEMENTS IN OWNERS EQUITY (continued) MINORITY INTEREST Currency: Million VND Share capital
As at 01 January 2011 Net loss for the year Appropriation to reserves Payment from reserves Received dividends in period Disposal of a subsidiary As at 31 December 2011 Shared capital As at 31 December 2012

25

CASH AND CASH EQUIVALENTS As at 31 December 2012 Million VND Cash, gold, silver and gemstone Balances with the State Bank Placements with other credits institutions with demand and term of original maturity within 3 months Valuable papers which have maturity date within 3 months from purchasing date 9,703,738 4,598,716 2,831,077 17,133,531 2011 Million VND 11,857,270 2,807,350 4,589,365 270,000 19,523,985

Share Foreign premium Undistributed exchange Other earnings differences reserves 61,189 (61,189) 31,907 (70,574) (3,975) (33,149) 75,791 730 27,178 3,975 (4,080)

Total 676,658 (70,574) (4,080) (33,149) 11 11 26

555,654 (555,654) 11 11

(730) (27,073) (568,855)

INTEREST AND SIMILAR INCOME Year ended 31 December 2012 Million VND On loans On deposits On investments On finance leases Other income from credit activities 13,617,818 360,507 2,500,892 122,349 268,057 16,869,623 2011 Million VND 13,625,019 1,298,090 2,706,829 105,774 128,555 17,864,267

24

BASIC EARNINGS PER SHARE Basic earnings per share is calculated by dividing the net profit attributable to the equity holders of the Bank by the weighted average number of ordinary shares in issue during the year. Year ended 31 December 2012 Million VND Profit attributable to the equity holders of the Bank (million VND) Net profit used to determine basic EPS (million VND) Weighted average number of ordinary shares in issue (share) Basic earnings per share (VND per share) 1,002,370 1,002,370 973,967,664 1,029 2011 Million VND 2,066,431 2,066,431 922,149,772 2,241 27

INTEREST AND SIMILAR EXPENSES Year ended 31 December 2012 Million VND On deposits On borrowings On certificates of deposits and bonds Others 8,125,002 638,545 1,416,600 192,297 10,372,444 2011 Million VND 8,934,421 1,541,729 1,448,125 97,765 12,022,040

140

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Annual Report 2012

141

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

28

FEES AND COMMISSION INCOME Year ended 31 December 2012 Million VND Guarantees Settlement services Cash services Services for securities activities Rental activities Other services 110,799 411,071 120,255 131,208 518,967 1,292,300 2011 Million VND 149,510 697,261 131,736 55,119 46,383 605,581 1,685,590

31

NET PROFIT/(LOSS) FROM TRADING OF TRADING SECURITIES Year ended 31 December 2012 Million VND Income from trading of trading securities Less: Expensesfor trading of trading securities Reversal/(charged) for diminution in value of trading securities 19,236 (18,496) 2,845 3,585 2011 Million VND 85,170 (158,657) (112,962) (186,449)

32 29 FEES AND COMMISSION EXPENSES Year ended 31 December 2012 Million VND On settlement activities Postage and telecommunication Commission Other expenses 101,310 62,392 47,261 394,848 605,811 2011 Million VND 89,809 57,801 122,124 374,461 644,195 33 30 NET PROFIT FROM DEALING IN FOREIGN CURRENCIES, GOLD AND DERIVATIVES Year ended 31 December 2012 Million VND Gains from dealing in foreign currencies, gold and derivative instruments Losses from dealing in foreign currencies, gold and derivative instruments Gains from revaluation in foreign currencies, gold and derivative instruments Losses from revaluation in foreign currencies, gold and derivative instruments 704,062 (428,478) 25,059 (82,479) 218,164 2011 Million VND 1,232,328 (1,163,553) 188,613 (53,120) 204,268

NET LOSS FROM TRADING OF INVESTMENT SECURITIES Year ended 31 December 2012 Million VND Income from trading of investment securities Less: Expenses for trading of investment securities Charge for provision for diminution in value of investment securities 78,309 (10,709) (454,686) (387,086) 2011 Million VND 7,645 (122) (18,246) (10,723)

LOSS FROM INVESTMENTS IN OTHER ENTITIES Year ended 31 December 2012 Million VND Dividend income from trading equity securities Dividend income from investment equity securities Dividend income from other longterm investments Income/(loss) from disposal of longterm investments Share of profit of investment in associates Goodwill Provision charged for diminution in value of longterm investments 32,356 6,400 16,519 6,842 118 1,981 (147,628) (83,412) 2011 Million VND 34,665 12,896 25,229 (158,569) (156,248) (242,027)

142

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Annual Report 2012

143

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

34

GENERAL AND ADMINISTRATIVE EXPENSES Year ended 31 December 2012 Million VND Tax, duties and fees Salaries and related expenses Depreciation Assets rental Expenses related to assets rental and others Administrative expenses Deposit insurance premiums 115,870 2,101,396 339,820 528,510 10,746 963,156 94,738 4,154,236 2011 Million VND 96,029 1,944,550 328,834 421,408 718,188 80,127 3,589,136

36

BUSINESS INCOME TAX (BIT) (continued) Year ended 31 December 2012 Million VND Current business income tax Income tax on land use right transfer Deferred business income tax (672,990) (1,406) 308,915 (365,481) 2011 Million VND (774,817) (774,817)

Deferred income tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against current tax liabilities and when the deferred income taxes relate to the same taxation authority. The offset amounts are as follows:

35 VALUE ADDED TAX Earned fees and commissions are subject to value added tax at the rate of 10% under the deduction method. All other banking activities of the Bank are exempt from value added tax. 36 BUSINESS INCOME TAX (BIT) Business income tax charge at a rate of 25% for the year ended 31 December 2012 is based on the estimated taxable income and is subject to the review and possible adjustment by the tax authorities. Year ended 31 December 2012 Million VND Net profit before tax Tax Effect of: Tax on income not subject to tax Tax on nondeductible expenses Difference in tax rate of the overseas business activities Difference in tax ratio of the overseas business activities Underprovided for previous years Adjustments relating to the cancellation of the sales of assets in prior year (Note 12 (*) and Note 14 (*)) Income tax from land use right transfer Tax deduction Current business income tax charge 1,367,851 341,963 (27,633) 368,751 1,291 6,071 (16,747) 1,406 (706) 674,396 2011 Million VND 2,770,674 719,257 (54,351) 104,465 5,361 85 774,817 Beginning of year Credited to the income statement End of year Deferred tax assets: Deferred tax asset to be recovered after more than 12 months

As at 31 December 2012 Million VND 2011 Million VND

308,915 308,915

The movement in deferred tax assets during the year, without taking into consideration the offsetting of balances within the same tax jurisdiction, is as follows: Year ended 31 December 2012 Million VND 2011 Million VND

308,915 308,915

Deferred tax assets arose from provision for investment in heldtomaturity bonds (VND94,500 million), provision for longterm investments (VND42,727 million), provision for other assets (VND165,769 million) and severance allowance (VND5,919 million).

144

Annual Report 2012

Annual Report 2012

145

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

37

OBLIGATIONS TO THE STATE BUDGET 1 January 2012 Million VND (20,063) 172,006 39,700 3,031 194,674 Movements During the year Payable Payments Million VND Million VND 201,874 674,396 314,439 325,009 1,515,718 (184,398) (750,858) (265,234) (325,875) (1,526,365) 31 December 2012 Million VND (2,587) 95,544 88,905 2,165 184,027

39

CONTINGENCIES AND COMMITMENTS (continued) 31 December 2012 Denominated Denominated in in VND foreign currencies Million VND Million VND Letters of credit at sight Deferred letters of credit Borrowing guarantees Payment guarantees Performance guarantees Bidding guarantees Other guarantees Foreign currency buying spot transactions Foreign currency selling spot transactions Foreign currency buying swap transactions Foreign currency selling swap transactions Foreign currency received call options Foreign currency received put options 1,514 35,700 1,421,269 350,177 97,083 318,914 55,478 1,482,623 3,762,758 3,538,974 2,108,624 63,487 24,167 2,605 300,724 2,395,720 2,313,784 14,151,758 12,447,245 433,353 435,106 38,215,547 Total Million VND 3,540,488 2,108,624 35,700 1,484,756 374,344 99,688 619,638 2,395,720 2,313,784 14,207,236 13,929,868 433,353 435,106 41,978,305

Items VAT BIT Other taxes Other fees

38

EMPLOYEES RENUMERATION Year ended 31 December 2012 Million VND Number of employees Employees remuneration Total salary fund Bonus Total remuneration Average annual salary/employee Average annual remuneration/employee 2011 Million VND

10,310 1,527,351 249,503 1,776,854 148 172

9,596 1,106,137 513,961 1,620,098 115 169

40

In the normal course of business, the Group makes various commitments and incurs certain contingent liabilities that are presented off balance sheet. The commitments and contingent liabilities include guarantees, letters of credit, foreign currency forward contracts and undue spot contracts. The Group does not anticipate any significant losses as a result of these transactions. OTHER COMMITMENTS As at 31 December 2012 Million VND Commitments under operating lease (i) Capital commitments (ii) Total minimum payments 10,377,425 195,009 10,572,434 2011 Million VND 1,523,112 364,148 1,887,260

39

CONTINGENCIES AND COMMITMENTS The aggregate amounts of outstanding guarantees, letters of credit and other commitments at the end of the period were: 31 December 2012 Denominated in VND Million VND Letters of credit at sight Deferred letters of credit Borrowing guarantees Payment guarantees Performance guarantees Bidding guarantees Other guarantees Foreign currency buying spot transactions Foreign currency selling spot transactions Foreign currency paid swap transactions Foreign currency received swap transactions Foreign currency received call options Foreign currency received put options 331,906 1,781,095 353,719 124,694 426,567 158,148 103,439 3,279,568 Denominated in foreign currencies Million VND 5,361,888 1,838,827 18,837 57,731 23,405 8,038 660,710 148,607 341,487 10,021,045 9,270,756 1,664,515 1,662,247 31,078,093 Total Million VND 5,361,888 1,838,827 350,743 1,838,826 377,124 132,732 1,087,277 148,607 341,487 10,179,193 9,374,195 1,664,515 1,662,247 34,357,661

(i) Commitments under operating lease represent the future minimum lease under a noncancellable operating lease. According to Office Rental Lease Contract No. 39/2006/HDTVP dated 8 April 2006 and revised contract No.241/2012/HDTVP dated 19 December 2011 between Sacombank (lessee) and Tadimex (lessor), for leasing the building at 266268 Nam Ky Khoi Nghia, District 3, Ho Chi Minh City with the term of 34 years from the initial contract date to 31 December 2045. Current monthly rental fees are VND364,500 (2011: VND128,755) and VND729,000 (2011: VND257,509) per square metre for the basement and the other floors, respectively. The rental fee for the year 2013 onwards will increase by 5% (2011: 1%) annually. (ii) Capital commitments represent payable contractible value in relation with the purchase of assets or construction in progress.

146

Notes to the ConsoLiDateD finanCiaL statements

FORM B 05/TCTD-HN

Annual Report 2012

For the year ended 31 December 2012 (continued)

41 During the period, the Group had the following transactions and balances with related parties: Year from 1 January 2012 to 31 December 2012

RELATED PARTY TRANSACTIONS AND BALANCES

Currency: Million VND

Associates Interest income and similar income Interest expense and similar expenses Fee and commission income Fee and commission expenses Purchase of debts Remuneration of Board of Management Remuneration of Board of General Directors 15,629 12 62,957 43,723 932,667 135,220 3,758 382 1,200,000

Key management

Parties relevant to key management (*) Major shareholders 9,292 314,927

Others

Total 941,959 465,776 3,770 382 1,200,000 62,957 43,723

(*) This is net income of the Board of Management and the Board of General Directors after deducting personal income tax (VND48,096 million) which was paid by the Bank and recorded in the expenses in 2012. Besides, there were some significant transactions with related parties made during the year of 2012 as follows: (i) On 28 February 2012, the Bank foreclosed certain assets from SBS to settle its due loans. The total value of these loans is VND645,521 million. The foreclosed asset portfolio was valued at VND623,820 million. The difference was recorded as a reduction to the interest income which had been accrued before. The value after provision of those foreclosed assets at 31 December 2012 was VND386,264 million. (ii) The agreement on receiving foreclosed assets of Mr. Dang Van Thanh and Mr. Dang Hong Anh is presented in Note 15.1 (ii)

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

FORM B 05/TCTD-HN

41

RELATED PARTY TRANSACTIONS AND BALANCES (continued) Year from 1 January 2011 to 31 December 2011 Currency: Million VND

Associates Interest income and similar income Interest expense and similar expenses Fee and commission income Dividends payment General and administration expenses Other income Other expense Remuneration of Board of Management Remuneration of Board of General Directors As at 31 December 2012

Key management 848 18,600 24,547

Parties relevant to key management (*) 455,904 40,440 9,778 37,834 1,997 384

Major shareholders

Others 131,385

Total 455,904 41,288 9,778 131,385 37,834 1,997 384 18,600 24,547 Currency: Million VND

Associates

Key management

Parties relevant to key management (*)

Major shareholders

Others

Total

Annual Report 2012

Placements with and loans to other credit institutions Trading securities Loans to customers Investment securities Heldtomaturity Longterm investments Other assets Deposits and borrowings from other credit institutions Deposits from customers Certificate of deposits Other liabilities

109,813 2,645 529

765,997 800,000 138,700 66,751 168 860,543 26,378

1,900,000 914,432 35

1,900,000 914,432 765,997 800,000 138,700 66,751 203 970,356 2,645 26,907

147

148

Annual Report 2012

Annual Report 2012

149

FORM B 05/TCTD-HN

(ii) Entitieswhich key management or close member of key managements family has significant influence over or are members of the key management personnel of these entities.

Currency: Million VND

Net trading and investment securities Million VND

22,213,441 94,100

22.307.541

3,007,161 300,000 180,000 243,669 515,839 39,747

Total

FORM B 05/TCTD-HN

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

38,213

Derivatives financial instruments (total contract value) Million VND

2,765,507 5,513,863

8,279,370

Others

43

FINANCIAL RISK MANAGEMENT The Groups business involves taking on risks in a targeted manner and managing them professionally. The core functions of the Groups risk management are to identify all key risks for the Group, measure these risks, manage the risk positions and determine capitalallocations. The Group regularly reviews its risk management policies and systems to reflect changes in markets, products and best market practice. The Groups aim is to achieve an appropriate balance between risk and return and minimise potential adverse effects on the Groups financial performance. The Group defines risk as the possibility of losses or profits foregone, which may be caused by internal or external factors. Risk management is carried out by a risk management department under policies approved by the Board of General Directors. The Risk Management Department identifies, evaluates and hedges financial risks in close cooperation with the Groups operating units. The Board provides written principles for overall risk management, as well as written policies covering specific areas, such as foreign exchange risk, interest rate risk, credit risk, use of derivative financial instruments and nonderivative financial instruments. In addition, internal audit is responsible for the independent review of risk management and the control environment. The risks arising from financial instruments to which the Group is exposed are financial risks, which includes credit risk, liquidity risk, market risk and operational risk.

Major shareholders

Certificate of Credit Fund received deposits commitments Million VND Million VND Million VND

5,114,598 5,872,819 4,545,100 106,361,635 1,097,063 7,776,549

Parties relevant to key management (*)

3,007,161 300,000 180,000 205,456 515,839

(i) Entities are controlled or jointly controlled by key management or close member of key managements family.

Key management

Notes to the ConsoLiDateD finanCiaL statements

39,747

CONCENTRATIONS OF ASSETS AND LIABILITIES BY GEOGRAPHICAL AREA

Deposits from customers Million VND

107,458,698

4,545,100

7,776,549 10,987,417

43.1

Credit risk Credit risk is the risk of suffering financial loss, should any of the Groups customers, clients or market counterparties fail to fulfil their contractual obligations to the Group. Credit risk arises mainly from lending activities and financial guarantees under many ways. The Group is also exposed to other credit risks arising from investments in debt securities and other exposures arising from its trading activities (trading exposures), including nonequity trading portfolio assets, derivatives and settlement balances with market counterparties. Credit risk is the single largest risk for the Groups business; management therefore carefully manages its exposure to credit risk. The credit risk management and control are centralised in a credit risk management team, which reports to the Board of General Directors and head of each business unit regularly.

RELATED PARTY TRANSACTIONS AND BALANCES (continued)

Associates

Deposits and borrowings from customers and Loans to other credit customers institutions Million VND Million VND

3,987,842 742,684 93,807,924 2,526,515 5,162,448 2,450,574 Domestic Overseas

For the year ended 31 December 2012 (continued)

(*) Parties relevant to key management are the following parties:

Loans to customers Investment securities Availablefor sale Investment securities Heldtomaturity Other assets Deposits and borrowings from other credit institutions Deposits from customers

Placements with and loans to other credit institutions Million VND

41

As at 31 December 2011

42

7,613,022

96,334,439

4,730,526

150

Annual Report 2012

Annual Report 2012

151

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

43 43.1

FINANCIAL RISK MANAGEMENT (continued) Credit risk (continued)

43 43.1

FINANCIAL RISK MANAGEMENT (continued) Credit risk (continued)

43.1.1 Credit risk measurement and provisioning policies (a) Loans and guarantees to customers Credit risk measurement is carried out before and during loan period. The Group has developed models to support the quantification of the credit risk. These rating and scoring models are in use for all key credit portfolios and form the basis for measuring default risks before and during loan period. The Group applies Decision 493/2005/QDNHNN dated 22 April 2005, Decision 18/2007/QNHNN dated 25 April 2007 and Decision 780/QDNHNN dated 23 April 2012 of the State Bank of Vietnam for measurement of credit risk and estimate of provision for loans and guarantees to customers as presented in Note 2.8 and Note 2.9. (b) Debt securities The Groups investment in debt securities are those issued by the Government, reputable credit institutions and economic organisations. The credit risk management is measured on a casebycase basis when the Group assesses that the risk profile of the counterparty is changed. The investments in those securities are viewed as a way to gain a better credit quality mapping and maintain a readily available source to meet the funding requirement at the same time. 43.1.2 Credit risk limit control and mitigation policies The Group manages credit risk by placing limits on exposures (for both on and off balance sheet exposures) in relation to one borrower, or groups of borrowers in accordance with regulation of the State Bank of Vietnam. In addition, exposure to credit risk is also managed through regularly reviewing the acceptance classes of collateral and analysing the ability of borrowers and potential borrowers to meet interest and capital repayment obligations. The Group has a range of policies and practices to mitigate credit risk. The most traditional of these is the taking of security for funds advances, which is common practice. The principal collateral types for loans and advances are: - - - Mortgages over residential properties; Charges over business assets such as premises, machineries and equipment, inventory and accounts receivable; Charges over financial instruments such as debt securities and equities.

43.1.2 Credit risk limit control and mitigation policies (continued) For secured loans, collateral is independently valued by the Group from which it applies specific discount rates to determine the maximum amount of loans that can be granted. The specific discount rates for each type of collateral are guided under Decision 493/2005/QD-NHNN dated 22 April 2005 and Decision 18/2007/Q-NHNN dated 25 April 2007 of the State Bank of Vietnam and are adjusted by the Group on case-by-case basis. When the value of collateral is reduced, the Group will ask the borrower to provide additional collateral to maintain the security over the loan exposure. Credit related commitments mainly include letters of credit and financial guarantee contracts which carry the same credit risk as loans. Documentary and commercial letters of credit which are written undertakings by the Group on behalf of a customer authorising a third party to draw drafts on the Group up to a stipulated amount under specific terms and conditions are collateralised by the underlying shipments of goods to which they relate and therefore carry less risk than a direct loan. Issuance of financial guarantee contracts and letters of credit are subject to the same credit assessment and approval process as those for loans and advances to customers, unless the customer places 100% margin deposits for the related commitment.

152

Annual Report 2012

Annual Report 2012

153

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

43

FINANCIAL RISK MANAGEMENT (continued)

43 43.1

FINANCIAL RISK MANAGEMENT (continued) Credit risk (continued)

43.1 Credit risk (continued) 43.1.3 Maximum exposure to credit risk before collateral held or other credit enhancements The maximum exposure to credit risk of each financial asset group is the gross carrying amount reported in the balance sheet as follows: As at 31 December 2012 Million VND Credit risk exposures relating to onbalance sheet assets: Balances with the State Bank Placements with and loans to other credit institutions Loans and advances to customers: To individuals To corporate entities Derivatives and other financial assets Investment securities: Debt securities available for sale Debt securities held to maturity Other financial assets 4,598,716 7,613,022 33,453,531 62,880,908 383,377 19,304,983 800,000 3,562,733 132,597,270 Credit risk exposures relating to offbalance sheet items: Financial guarantees Letters of credit commitment 2011 Million VND 2,807,350 9,621,309 27,507,141 53,032,346 2,852 24,012,151 232,124 5,647,042 122,862,315

43.1.4 Collaterals (i) Collaterals for loans and advances to customers As a common practice in Vietnam, the Group normally takes security for loans and advances to customers. The main types of collateral obtained by the Group are as follows: As at 31 December 2012 Million VND Real estate Machinery, tools Vehicles Inventories Valuable papers Others 99,441,086 4,639,429 5,114,432 6,011,755 55,176,237 11,688,724 182,071,663 2011 Million VND 87,652,798 4,587,163 6,545,859 7,686,786 14,303,534 5,983,998 126,760,138

Customers assets held as collateral are recorded off balance sheet at values determined by the Bank and not discounted in accordance with State Bank of Vietnam regulations.

3,786,702 7,200,715 10,987,417

2,614,126 5,649,112 8,263,238

(ii) For other assets As at 31 December 2012 Million VND Unlisted securities 869,859 2011 Million VND

The above table represents a worst case scenario of credit risk exposure of the Group at 31 December 2012 and 31 December 2011 without taking account of any collateral held or other credit enhancements attached.

154

Notes to the ConsoLiDateD finanCiaL statements

FORM B 05/TCTD-HN

Annual Report 2012

For the year ended 31 December 2012 (continued)

43 43.1 43.1.5 Credit quality Credit risk (continued)

FINANCIAL RISK MANAGEMENT (continued)

Credit quality is summarised as follows: Currency: Million VND Placements Derivatives Balances with with and loans Loans and and other Other the State to other credit advances to financial financial As at 31 December 2012 Bank institutions customers instruments Debt securities assets (*) Total Million VND Million VND Million VND Million VND Million VND Million VND Million VND Balances neither past due nor provided Balances past due but not provided (i) Balances with provision (ii) Gross value Less: provision for credit risk Net value Provision for credit risk Specific provision General provision (*) Financial assets do not include foreclosed assets. 38,611 38,611 4,598,716 7,574,411 94,887,813 732,723 713,903 1,446,626 4,598,716 7,613,022 (38,611) 96,334,439 (1,446,626) 4,598,716 7,613,022 90,488,272 3,444,379 2,401,788 383,377 383,377 383,377 19,304,983 800,000 20,104,983 (378,000) 19,726,983 378,000 378,000 3,312,441 250,292 3,562,733 (97,776) 3,464,957 97,776 97,776 125,700,811 3,444,379 3,452,080 132,597,270 (1,961,013) 130,636,257 1,208,499 752,514 1,961,013

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

FORM B 05/TCTD-HN

43 43.1

FINANCIAL RISK MANAGEMENT (continued) Credit risk (continued) Currency: Million VND

43.1.5 Credit quality (continued)

As at 31 December 2011 Balances neither past due nor provided Balances past due but not provided (i) Balances with provision (ii) Gross value Less: provision for credit risk Net value Provision for credit risk Specific provision General provision

Balances with the State Bank Million VND 2,807,350 2,807,350 2,807,350 . (*) Financial assets do not include foreclosed assets.

Placements with and loans to other credit institutions Million VND 9,621,309 9,621,309 (1,365) 9,619,944 1,365 1,365

Loans and advances to customers Million VND 78,374,393 1,465,999 699,095 80,539,487 (812,940) 79,726,547 188,820 624,120 812,940

Derivatives and other financial Other financial instruments Debt securities assets (*) Million VND Million VND Million VND 2,852 2,852 2,852 24,244,275 24,244,275 24,244,275 5,530,135 116,907 5,647,042 (55,412) 5,591,630 55,412 55,412

Total Million VND 120,580,314 1,465,999 816,002 122,862,315 (869,717) 121,992,598 244,232 625,485 869,717

Annual Report 2012

155

156

Annual Report 2012

Annual Report 2012

157

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)
43 43.1

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)
FINANCIAL RISK MANAGEMENT (continued) Credit risk (continued)

43 43.1

FINANCIAL RISK MANAGEMENT (continued) Credit risk (continued)

43.1.5 Credit quality (continued) (i) Balances past due but not provided As at 31 December 2012 Loans to customers Book value of collateral assets Amount of undercollateralisation As at 31 December 2011 Loans to customers Book value of collateral assets Amount of undercollateralisation (ii) Balances with provision As at 31 December 2012 Loans to customers Debt securities Other financial assets Gross amount Book value of collateral assets Specific provision made As at 31 December 2011 Loans to customers Other financial assets Gross amount Book value of collateral assets Specific provision made Individual Million VND 535,543 535,543 1,090,236 349,022 Individual Million VND 183,545 183,545 333,854 124,314 Corporate entity Million VND 1,866,245 800,000 250,292 2,916,537 1,604,831 866,457 Corporate entity Million VND 515,550 116,907 632,457 741,622 119,918 Total Million VND 2,401,788 800,000 250,292 3,452,080 2,695,067 1,215,479 Total Million VND 699,095 116,907 816,002 1,075,476 244,232 Individual Million VND 1,073,085 1,078,956 Individual Million VND 580,217 1,428,339 Corporate entity Million VND 2,371,294 2,502,389 Corporate entity Million VND 885,782 1,813,211 Total Million VND 3,444,379 3,581,345 Total Million VND 1,465,999 3,241,550

43.1.6 Concentration of risks of financial assets with credit risk exposure (a) Geographical sectors The following table breaks down the Groups main credit exposures at their carrying amounts, as categorised by geographical region as at 31 December 2012 and 31 December 2011. For this table, the Group has allocated exposures to regions based on the country of domicile of the counterparties. 2012 Balances with the State Bank Placements with and loans to other credit institutions Loans and advances to customers: To individuals To corporate entities Derivatives and other financial assets Investment securities: Debt securities available for sale Debt securities held to maturity Other financial assets At 31 December 2012 Credit risk exposures relating to offbalance sheet items: Financial guarantees Letters of credit commitment At 31 December 2012 Vietnam Cambodia Laos Million VND Million VND Million VND 3,783,524 7,351,106 33,038,244 60,769,680 383,377 19,243,979 800,000 3,495,894 128,865,804 172,926 135,507 1,310,768 61,004 60,515 1,740,720 642,266 126,409 415,287 800,460 6,324 Total Million VND 4,598,716 7,613,022 33,453,531 62,880,908 383,377 19,304,983 800,000 3,562,733

1,990,746 132,597,270

3,767,865 7,200,715 10,968,580

18,837 18,837

3,786,702 7,200,715 10,987,417

158

43

43.1

Annual Report 2012

2011

At 31 December 2011

Credit risk (continued)

(a) Geographical sectors (continued)

FINANCIAL RISK MANAGEMENT (continued)

Balances with the State Bank Placements with and loans to other credit institutions Loans and advances to customers: To individuals To corporate entities Derivatives and other financial assets Investment securities: Debt securities available for sale Debt securities held to maturity Other financial assets

Credit risk exposures relating to offbalance sheet items: Financial guarantees Letters of credit commitment Vietnam Million VND 2,459,705 9,133,350 27,016,129 51,569,963 2,852 120,016,225 24,012,151 180,000 5,642,075 2,614,126 5,649,112 234,849 165,177 324,513 842,093 1,566,632 52,124 4,967 2,614,126 5,649,112 24,012,151 232,124 5,647,042 1,279,458 122,862,315 112,796 322,782 166,499 620,290 9,621,309 27,507,141 53,032,346 2,852 2,807,350 Cambodia Laos Total Million VND Million VND Million VND

For the year ended 31 December 2012 (continued)

43.1.6 Concentration of risks of financial assets with credit risk exposure (continued)

Notes to the ConsoLiDateD finanCiaL statements

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

At 31 December 2011 8,263,238 8,263,238

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

43 43.1

FINANCIAL RISK MANAGEMENT (continued) Credit risk (continued)

43.1.6 Concentration of risks of financial assets with credit risk exposure (continued) (b) Industry sector The following table breaks down the Groups main credit exposures at their carrying amounts, as categorised by the industry sectors of the counterparties: Currency: Million VND
2012 Balances with the State Bank Placements with and loans to other credit institutions (*) Loans and finance leases to customers (*) Derivatives and other financial instruments Debt securities Other financial assets (*) As at 31 December 2012 Financial institutions and State Manufacturing 4,598,716 7,613,022 5,516 409,539 17,962,906 1,303,550 31,893,249 28,548,070 (26,135) 179,994 28,701,929 Real estate Wholesale and retail trade Public sector Construction 6,751,551 10,905,999 10,895,162 13,030,751 (27) 1,000,000 1,142,077 177,956 91,985 123,639 312,784 7,929,480 10,997,984 11,018,801 14,485,612 Agriculture and forestry Others 10,343,891 15,853,499 169,679 1,203,146 Total 4,598,716 7,613,022 96,334,439 383,377 20,104,983 3,562,733 10,513,570 17,056,645 132,597,270

Credit risk exposures relating to offbalance sheet items are as follows:

Financial institutions and State Manufacturing Financial guarantees Letters of credit commitment As at 31 December 2012 429,383 3,897,030 4,326,413

Real estate

Wholesale and retail trade 1,063,311 220,454 1,283,765

Public sector Construction 65,320 12,774 78,094 472,585 256,528 729,113

Agriculture and forestry 149,194 201,528 350,722

Others 1,606,909 2,612,401 4,219,310

Total 3,786,702 7,200,715 10,987,417

Annual Report 2012

(*) The above balances exclude provision.

159

160

Notes to the ConsoLiDateD finanCiaL statements

FORM B 05/TCTD-HN

Annual Report 2012

For the year ended 31 December 2012 (continued)

43 43.1 43.1.6 Concentration of risks of financial assets with credit risk exposure (continued) (b) Industry sector (continued)
2011 Real estate 3,569,052 12,287,965 2,050,008 287,513 200,382 5,906,573 12,488,347 6,920,640 37,943 6,958,583 Public sector Construction 5,638,495 1,554,981 173,859 7,367,335 Financial institutions and State Manufacturing 2,807,350 9,621,309 20,459,286 2,691,924 35,579,869 29,251,744 29,064,737 2,852 184,155 Wholesale and retail trade Agriculture and forestry

FINANCIAL RISK MANAGEMENT (continued) Credit risk (continued)

Currency: Million VND

Others 9,276,180 13,782,418 180,000 132,105 1,939,161 9,408,285 15,901,579 Total 2,807,350 9,621,309 80,539,487 2,852 24,244,275 5,647,042 122,862,315

Balances with the State Bank Placements with and loans to other credit institutions (*) Loans and finance leases to customers (*) Derivatives and other financial instruments Debt securities Other financial assets (*) As at 31 December 2011

Credit risk exposures relating to offbalance sheet items are as follows:

Financial institutions and State Manufacturing Real estate 433 4,996 5,429 Financial guarantees Letters of credit commitment As at 31 December 2011 1,856 3,396,827 1,856 349,317 3,047,510 Wholesale and retail trade 260,399 210,847 471,246 Public sector Construction 48,115 29,709 77,824 316,497 74,297 390,794 Agriculture and forestry 101,347 448,384 549,731 Others 1,536,162 1,833,369 3,369,531 Total 2,614,126 5,649,112 8,263,238

(*) The above balances exclude provision.

43 Market risk

43.2

FORM B 05/TCTD-HN

43.2.1 Foreign exchange risk Foreign exchange risk is the risk that the value of a financial instrument will fluctuate due to changes in foreign exchange rates. The Group was incorporated and operates in Vietnam, with VND as its functional currency. The major currency in which the Group transacts is VND. The exchange rate between VND and foreign currencies during the year fluctuated significantly. The Groups loans and advances were mainly denominated in VND with the remainder mainly in USD. However, some of the Group other assets are in currencies other than the functional currency and USD. The Group management has set limits on positions by currency. Positions are monitored on a daily basis and hedging strategies used to ensure positions are maintained within established limits.

FINANCIAL RISK MANAGEMENT (continued)

Annual Report 2012

The Group takes on exposure to market risks, which is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risks arise from open positions in interest rate, currency and equity products, all of which are exposed to general and specific market movements and changes in the level of volatility of market rates or prices such as interest rates, credit spreads, foreign exchange rates and equity prices.

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

161

162

Notes to the ConsoLiDateD finanCiaL statements

FORM B 05/TCTD-HN

Annual Report 2012

For the year ended 31 December 2012 (continued)

43 43.2 43.2.1 Foreign exchange risk (continued) The table below summarises the Groups exposure to currency risk at 31 December 2012.
As at 31 December 2012 Assets Cash, gold, silver and gemstone Balances with the State Bank Placements with and loans to other credit institutions (*) Trading securities (*) Derivatives financial instruments and other financial assets Loans and finance leases to customers (*) Investment securities (*) Other longterm investments (*) Fixed assets Other assets (*) 1,811,308 3,303,102 4,420,233 1,424,765 82,720,987 20,405,574 509,301 4,844,844 8,658,018 128,098,132 1,437,978 1,046,463 99,693,179 1,102,711 5,385,112 4,087,848 12,735,143 125,488,434 2,609,698 2,609,698 11,975,533 874,663 41,468 916,131 17,333,196 (1,253,224) (191,981) (1,445,205) 44,422 2,391,433 9,539,678 3,014,871 2,722,384 7,113,142 3,442,389 4 141,961 898,445 12,850,196 16,079,972 358,003 23 291,546 146,911 4,292 442,772 (84,769) (13,118) (97,887) 56,090 2 7,239 22,446 1,765 31,452 24,638 (16,631) 8,007 6,742,322 4,651,188 1,429,223 27,463 854,108 703,184 2,957,832 11,241,095 61,004 37,937 224,812 96,439 22,158 237,571 1,835 15,181 40,531 378 Total assets Liabilities and equity Borrowings from the Government and the State Bank of Vietnam Deposits and borrowings from other credit institutions Derivatives financial instruments and other financial liabilities Deposits from customers Capital financed, entrusted investments and other borrowings Valuable papers issued Other liabilities (*) Capital and reserves Total liabilities and equity Net onbalance sheet position Net offbalance sheet position Total position 68,455 94,045 9,443 171,943 2 131,372 11,755 3,776 146,905 25,038 (23,221) 1,817 VND GOLD USD EUR JPY AUD CAD 79,565 13,791 14,090 107,446 89,436 5,918 9,228 104,582 2,864 (1,539) 1,325

FINANCIAL RISK MANAGEMENT (continued) Market risk

Currency: Million VND

Others 36,360 592,430 64,432 60,507 705,563 335,987 32,482 1,827,761 277,650 39,878 420,925 40,666 65,151 844,270 983,491 12,141 995,632 Total 9,703,738 4,598,716 7,613,022 1,424,765 4,711,695 96,334,439 20,466,578 509,301 5,218,768 8,968,521 159,549,543 4,730,526 4,328,318 107,458,698 4,545,100 7,776,549 13,829,214 13,698,739 156,367,144 3,182,399 (192,881) 2,989,518

(*) The above balances exclude provision.

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

FORM B 05/TCTD-HN

43 43.2

FINANCIAL RISK MANAGEMENT (continued) Market risk (continued) Currency: Million VND
As at 31 December 2011 Assets Cash, gold, silver and gemstone Balances with the State Bank Placements with and loans to other credit institutions (*) Trading securities (*) Derivatives financial instruments and other financial assets Loans and finance leases to customers (*) Investment securities (*) Other longterm investments (*) Fixed assets Other assets Total assets Liabilities and equity Borrowings from the Government and the State Bank of Vietnam Deposits and borrowings from other credit institutions Derivatives financial instruments and other financial liabilities Deposits from customers Capital financed, entrusted investments and other borrowings Valuable papers issued Other liabilities (*) Capital and reserves Total liabilities and equity Net onbalance sheet position Net offbalance sheet position Total position VND 2,920,570 1,388,927 3,488,797 504,786 64,090,562 24,344,301 822,969 3,670,144 6,955,143 108,186,199 2,129,609 5,632,840 1,628,668 65,880,393 1,189,835 13,525,745 2,004,853 14,546,883 106,538,826 1,647,373 1,647,373 USD 947,913 1,330,081 4,831,623 14,573,130 309,718 21,992,465 7,190,069 884,819 8,634,351 3,523,844 46,969 241,346 20,521,398 1,471,067 (1,961,505) (490,438) GOLD 7,279,669 1,060,800 5,259,856 1,556,023 843,933 16,000,281 EUR 200,977 26,793 180,015 371 408,156 358 1,210,060 61,069 190,109 4,043,994 11,823,517 2,122 15,928,580 1,402,649 71,701 (994,493) 3,264 1,048,980 74,965 54,487 JPY 56,676 20,716 6,177 83,569 305 60,223 9,088 1,169 70,785 12,784 (13,682) (898) AUD 192,553 142,034 26,249 360,836 2 659,684 15,072 38,428 713,186 (352,350) 354,283 1,933 CAD 154,050 22,156 12,925 189,131 812,231 9,332 16,731 838,294 (649,163) 650,684 1,521 Others 104,862 88,342 29,755 19,665 139,757 52,124 37,719 207,957 680,181 15 20,984 292,838 282,731 596,568 83,613 (88) 83,525 Total 11,857,270 2,807,350 9,622,674 504,786 5,279,521 80,539,487 24,396,425 822,969 3,707,863 8,362,473 147,900,818 2,129,609 12,823,589 5,276,669 75,092,252 4,713,679 17,616,708 14,410,897 14,546,883 146,610,286 1,290,532 81,936 1,372,468 Annual Report 2012

43.2.1 Foreign exchange risk (continued)

(*) The above balances exclude provision.

163

164

43

43.2

Annual Report 2012

43.2.2 Interest rate risk

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

Market risk (continued)

FINANCIAL RISK MANAGEMENT (continued)

Cash flow interest rate risk is the risk that the future cash flows of a financial instrument will fluctuate because of changes in market interest rates. Fair value interest rate risk is the risk that the value of a financial instrument will fluctuate because of changes in market interest rates. The Group manages interest rate risks by monitoring the level of mismatch of interest rates by terms on a periodic basis.

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

43 43.2

FINANCIAL RISK MANAGEMENT (continued) Market risk (continued)

43.2.2 Interest rate risk (continued) The table below summaries the Groups exposure to interest rate risk. It includes the Groups financial instruments at carrying amounts, categorised by the earlier of contractual repricing or maturity dates: Currency: Million VND
As at 31 December 2012 Assets Cash, gold, silver and gemstone Balances with the State Bank Placements with and loans to other credit institutions (*) Trading securities (*) Derivatives financial instruments and other financial assets Loans and finance leases to customers (*) Investment securities (*) Other longterm investments (*) Fixed assets Other assets (*) Total assets Liabilities Borrowings from the Government and the State Bank of Vietnam Deposits and borrowings from other credit institutions Deposits from customers Capital financed, entrusted investments and other borrowings Valuable papers issued Other liabilities (*) Total liabilities Interest gap of balance sheet items Interest gap of off balance sheet items Total interest gap Overdue 2,401,788 2,401,788 2,401,788 2,401,788 Noninterest bearing 9,703,738 231,872 1,424,765 383,377 361,596 509,301 5,218,768 8,726,979 26,560,396 781,836 13,829,214 14,611,050 Up to 1 month 4,598,716 6,981,795 18,474,496 1,300,000 2,536 31,357,543 1,427,310 67,126,985 3,923,659 2,280,573 74,758,527 11,949,346 (43,400,984) 11,949,346 (43,400,984) 13 months 79,812 69,605,902 2,355,000 10,633 72,051,347 1,627,493 14,857,568 1,426,168 17,911,229 54,140,118 54,140,118 36 months 67,343 1,101,834 2,982,199 6,363 4,157,739 842,916 4,299,856 371,441 2,369,265 7,883,478 (3,725,739) (3,725,739) 612 Months 2,200 1,174,627 2,600,000 222,010 3,998,837 832,807 17,008,612 31,250 1,700,447 19,573,116 (15,574,279) (15,574,279) 15 years 250,000 2,831,311 10,816,418 13,897,729 3,372,217 218,750 96 3,591,063 10,306,666 10,306,666 Over 5 years 744,481 51,365 795,846 11,624 11,624 784,222 784,222 Total 9,703,738 4,598,716 7,613,022 1,424,765 383,377 96,334,439 20,466,578 509,301 5,218,768 8,968,521 155,221,225 4,730,526 107,458,698 4,545,100 7,776,549 13,829,214 138,340,087 16,881,138 16,881,138 Annual Report 2012

(*) The above balances exclude provision.

165

166

Notes to the ConsoLiDateD finanCiaL statements

FORM B 05/TCTD-HN

Annual Report 2012

For the year ended 31 December 2012 (continued)

43 43.2 43.2.2 Interest rate risk (continued)

As at 31 December 2011 Assets Cash, gold, silver and gemstone Balances with the State Bank Placements with and loans to other credit institutions (*) Trading securities (*) Derivatives financial instruments and other financial assets Loans and finance leases to customers (*) Investment securities (*) Other longterm investments (*) Fixed assets Other assets 699,095 699,095 28,178,395 30,991,482 56,016,189 7,952,043 11,857,270 2,807,350 454 504,786 2,852 152,151 822,969 3,707,863 8,322,700 5,989,547 21,756,648 3,245,287 1,752,864 51,715,012 2,509,485 38,828 1,724,461 1,762,935 4,463,702 945 155,348 2,161,354 4,778,009 7,094,711 Total assets Liabilities Borrowings from the Government and the State Bank of Vietnam Deposits and borrowings from other credit institutions Capital financed, entrusted investments and other borrowings Deposits from customers Valuable papers issued Other liabilities (*) 699,095 699,095 15,335,879 73,681,552 924,982 14,410,897 2,129,609 3,443,835 4,182,477 57,240,115 6,685,516 Total liabilities Interest gap of balance sheet items Interest gap of off balance sheet items Total interest gap Overdue Noninterest bearing Up to 1 month 13 months 36 months 612 Months 15 years 1,848,240 9,070,057 10,918,297

FINANCIAL RISK MANAGEMENT (continued) Market risk (continued) Currency: Million VND
Over 5 years 596,203 177,734 773,937 Total 11,857,270 2,807,350 9,622,674 504,786 2,852 80,539,487 24,396,425 822,969 3,707,863 8,362,473 142,624,149

4,358,300 8,897,701 3,322,518 16,578,519 39,437,670

2,020,358 218,702 1,729,586 4,493,074 8,461,720 (509,677)

3,000,247 31,250 1,151,399 3,107,544 7,290,440 (195,729)

849 250,000 5,144,330 8,056 5,403,235 5,515,062

31,250 4,139 35,389 738,548

2,129,609 12,823,589 4,713,679 75,092,252 17,616,708 14,410,897 126,786,734 15,837,415

12,842,516 (42,690,070)

39,437,670

(509,677)

(195,729)

5,515,062

738,548

15,837,415

12,842,516 (42,690,070)

(*) The above balances exclude provision.

43

43.2

FORM B 05/TCTD-HN

43.2.2 Interest rate risk (continued)

Balances with the State Bank Obligatory reserve in VND Obligatory reserve in USD Loans to customers

Market risk (continued)

FINANCIAL RISK MANAGEMENT (continued)

Annual interest rate applied for outstanding balances:

Commercial loans in VND Shortterm Mediumterm Longterm Commercial loans in foreign currencies Shortterm Mediumterm Longterm Commercial loans in gold Shortterm Mediumterm Longterm 10 18 13.2 20.8 7 20.5 N/A 3.3 4.2 3.48 7.1 12 3.3 4.6 3.48 8.4 4 8.1 0.6 6.5 3 8.5 6.5 9 5 9.5 4 8.5 As at 31 December 2012 2011 % % 15.5 24 12 22.8 7 22.16

Placements and loans to other credit institutions

Demand deposits with local credit institutions in VND Demand deposits with local credit institutions in foreign currencies Term deposits from overseas credit institutions in VND Demand deposits with overseas credit institutions in USD Demand deposits with overseas credit institutions in other foreign currencies Term deposits with local credit institutions in VND Term deposits with local credit institutions in foreign currencies Short term loans to overseas credit institutions in VND Term deposits with overseas credit institutions in foreign currencies Short term loans to local credit institutions in VND Short term loans to local credit institutions in foreign currencies Borrowings from the State Bank of Vietnam in foreign currencies Demand deposits with overseas credit institutions in VND 0.45 0.86 10 10.6 3.16 3.5 N/A 2.5 6 3.2 15 0.6 1.6 N/A N/A 0.2 0.73 9.5 13.5 0.02 10 N/A 2 19 28 N/A N/A N/A

Annual Report 2012

As at 31 December 2012 2011 % % 1.20 1.20 0.05 0.05

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

As at 31 December 2012 2011 % % 0.24 3.0 05 0 0.1 0 0.5 N/A N/A 0.01 0.2 0.01 0.05

167

168

Annual Report 2012

Annual Report 2012

169

FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

43 43.2

FINANCIAL RISK MANAGEMENT (continued) Market risk (continued)

43 43.2

FINANCIAL RISK MANAGEMENT (continued) Market risk (continued)

43.2.2 Interest rate risk (continued) Debt securities: As at 31 December 2012 % Government bonds in VND Securities issued by other local credit institutions in VND Securities issued by local corporations in VND Debt securities issued by overseas entities in foreign currencies Borrowings from the Government and the State Bank of Vietnam As at 31 December 2012 % Borrowings from the State Bank of Vietnam in VND Demand deposits with overseas credit institutions in VND 2011 % 14% 8.5 13.2 8.5 12.2 13.0 18.5 N/A 2011 % 7.0 13.2 8.1 15.3 13.0 4.0

43.2.2 Interest rate risk (continued) Deposits from customers

As at 31 December 2012 % 2011 % 2 12 14 0.1 0.5 2

Demand deposits in VND Term deposits in VND Specialised fund deposits in VND Margin deposits in VND Term deposits in foreign currencies Demand deposits in foreign currencies Specialised fund deposits in foreign currencies Margin deposits in foreign currencies 43.2.3 Price risk

2 8 13 0.1 0.5 2

Placements and borrowings from other credit institutions

As at 31 December 2012 % 2011 % 0 0.5 0 0.05 1.2 3 0 0.3 9 13.5 3 N/A 2.47 4.5 16.25 22.44 3.3 4.4 N/A 1.09 3.59 43.3

The Group is exposed to equity securities price risk. The price risk relating to held for trading equity securities is managed through the analysis of the market movement and investment decision is made based on the purpose of gaining profit in short term. Investments on available for sale equity investments are made based on business purpose of the Group taking into account of diversification in the investment portfolio. Liquidity risk Liquidity risk is the risk that the Group is unable to meet its payment obligations associated with its financial liabilities when they fall due and to replace funds when they are withdrawn. The consequence may be the failure to meet obligations to repay depositors and fulfil commitments to lend. The Groups treasury department is responsible for the liquidity management which is supervised by the Asset and Liability Committee (ALCO). The main management processes include: Monitor the daytoday mobilisation and lending activities; Maintain a portfolio of securities that can be easily converted into cash; and Monitor the balance sheet liquidity ratios against the regulatory requirements of the SBV.

Demand deposits from local credit institutions in VND Demand deposits from local credit institutions in foreign currencies Demand deposits from overseas credit institutions in VND Demand deposits from overseas credit institutions in foreign currencies Term deposits from local credit institutions in VND Term deposits from local credit institutions in foreign currencies Term deposits from local credit institutions in VND Term deposits from overseas credit institutions in foreign currencies Short term borrowings from local credit institutions in VND Short term borrowings from local credit institutions in foreign currencies Short term borrowings from overseas credit institutions in VND Short term borrowings from overseas credit institutions in foreign currencies

03 0 0.3 0.2 3 0 0.3 N/A 3.8 N/A 2.5 4.5 6 10 3.15 3.8 N/A 1.42 3.21

170

Notes to the ConsoLiDateD finanCiaL statements

FORM B 05/TCTD-HN

Annual Report 2012

For the year ended 31 December 2012 (continued)

43 43.3 Liquidity risk (continued) 43.3.1 Onbalance sheet items

FINANCIAL RISK MANAGEMENT (continued)

The table below analysed the Groups assets and liabilities into relevant maturity grouping based on the remaining period at the balance sheet date to the contractual maturity date: Currency: Million VND
Overdue As at 31 December 2012 Assets Cash, gold, silver and gemstone Balances with the State Bank Placements with and loans to other credit institutions (*) Trading securities (*) Derivatives financial instruments and other financial assets Loans and finance leases to customers (*) Investment securities (*) Other longterm investments (*) Fixed assets Other assets (*) 1,973,930 107,937 2,081,867 2,081,867 427,858 427,858 42,150,676 1,400,234 16,097 67,787,026 2,280,573 12,426,265 83,910,195 (41,759,519) 16,737,425 1,377,493 102,180 14,859,043 1,426,168 1,382,779 19,147,663 (2,410,238) 427,858 9,703,738 4,598,716 7,213,667 1,424,765 383,377 4,304,233 12,962,719 261 1,559,200 79,812 13,443,945 1,000,000 363 2,213,305 Total assets Liabilities Borrowings from the Government and the State Bank of Vietnam Deposits and borrowings from other credit institutions Capital financed, entrusted investments and other borrowings Deposits from customers Valuable papers issued Other liabilities (*) Total liabilities Net liquidity gap 69,543 41,759,744 4,355,000 23,170 2,226,610 48,434,067 1,702,799 498,838 21,322,129 4,069,712 12,152 27,605,630 20,828,437 Over 3 months Up to 3 months Up to 1 month 13 months 312 months Current 15 years 250,000 23,182,188 2,148,859 542,309 1,330,569 27,453,925 250,000 1,733,106 3,478,876 96 8,018 5,470,096 21,983,829 Over 5 years 11,242,541 509,301 4,652,665 1,530,900 17,935,407 2,194,879 11,624 2,206,503 15,728,904 Total 9,703,738 4,598,716 7,613,022 1,424,765 383,377 96,334,439 20,466,578 509,301 5,218,768 8,968,521 155,221,225 4,730,526 4,545,100 107,458,698 7,776,549 13,829,214 138,340,087 16,881,138

(*) The above balances exclude provision.

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

FORM B 05/TCTD-HN

43 43.3

FINANCIAL RISK MANAGEMENT (continued) Liquidity risk (continued) Currency: Million VND
As at 31 December 2011 Assets Cash, gold, silver and gemstone Balances with the State Bank Placements with and loans to other credit institutions (*) Trading securities (*) Derivatives financial instruments and other financial assets Loans and finance leases to customers (*) Investment securities (*) Other longterm investments (*) Fixed assets Other assets (*) Total assets Liabilities Borrowings from the Government and the State Bank of Vietnam Deposits and borrowings from other credit institutions Capital financed, entrusted investments and other borrowings Deposits from customers Valuable papers issued Other liabilities Total liabilities Net liquidity gap Overdue Over Up to 3 months 3 months 361,246 763 362,009 763 763 361,246 337,849 337,849 337,849 Up to 1 month 11,857,270 2,807,350 5,990,001 504,786 2,852 6,123,655 12,291,438 2,282 3,665,461 43,245,095 2,129,609 3,443,835 3,979 58,025,111 6,685,516 12,868,719 83,156,769 (39,911,674) 13 months 1,752,864 16,021,883 1,670,000 1,700 739,420 20,185,867 4,358,300 86,097 8,905,817 3,322,518 1,424,071 18,096,803 2,089,064 Current 312 months 1,879,809 28,719,198 7,749,987 28,150 3,108,779 41,485,923 5,020,605 498,278 2,893,056 7,600,618 53,650 16,066,207 25,419,716 15 years 16,900,524 2,685,000 780,427 848,050 21,214,001 849 1,831,941 5,261,124 8,056 63,694 7,165,664 14,048,337 Over 5 years 12,075,132 822,969 2,895,304 15,793,405 2,293,384 7,144 2,300,528 13,492,877 Total 11,857,270 2,807,350 9,622,674 504,786 2,852 80,539,487 24,396,425 822,969 3,707,863 8,362,473 142,624,149 2,129,609 12,823,589 4,713,679 75,092,252 17,616,708 14,410,897 126,786,734 15,837,415

43.3.1 Onbalance sheet items (continued)

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(*) The above balances exclude provision.

171

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FORM B 05/TCTD-HN

FORM B 05/TCTD-HN

Notes to the ConsoLiDateD finanCiaL statements

For the year ended 31 December 2012 (continued)

NOTES TO THE COnSOLIDATED FInAnCIAL STATEMEnTS

For the year ended 31 December 2012 (continued)

43 43.3

FINANCIAL RISK MANAGEMENT (continued) Liquidity risk (continued)

45

SUBSEQUENT BALANCE SHEET EVENTS With regard to an investment of the Group (Note 9.2) in the bond issued by Sacombank Securities Joint Stock Company (SBS), auditors report of SBS for the year ended 31 December 2012 emphasised on the going concern of SBS. SBS has been recently under a special supervision by the State Securities Commission and was forced to be delisted on 25 March 2013 according to Notice No. 136/2013/TB SGDHCM issued by the Ho Chi Minh City Stock Exchange on 23 February 2013. As of the date of the consolidated financial statements, the outstanding balance of the loan to Southern Bank was reduced to VND500,000 million which accounts for 3,7% of the Groups equity as at 31 December 2012.

43.3.2 Other offbalance sheet items Commitments on operating leases and capital commitments (Note 38) are analysed as follows: Less than 1 year 15 years Above 5 years

Unit: Million VND As at 31 December 2012 Commitments on operating leases Capital commitments

Total

142,012 195,009 337,021

633,685 633,685

9,601,728 9,601,728

10,377,425 195,009 10,572,434

The consolidated financial statements were approved by the Board of General Directors on 2 April 2013.

As at 31 December 2011 Commitments on operating leases Capital commitments

37,834 364,148 401,982

194,922 194,922

1,290,356 1,290,356

1,523,112 364,148 1,887,260 Luu Van Hoa Preparer

Huynh Thanh Giang Chief Accountant

Phan Huy Khang General Director

44

FAIR VALUE MEASUREMENT The financial assets and financial liabilities of the Group are measured at costs less provision for declining in assets value when applicable. Accordingly, the carrying values of the Groups financial assets and financial liabilities can be different to their fair values. Currently, the Group has not calculated the fair values of all of its financial assets and financial liabilities yet. The Group will present the fair values of its financial assets and financial liabilities when there are detailed guidance by the regulators.

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No:1043/2013/CV-KT

Explanation about THE Consolidated Financial Statements

Pursuant to Circular No. 52/2012/TT-BTC dated 5 April 2012 of the Ministry of Finance providing Guidelines on disclosure of information in the stock market (Circular 52 in short), Clause 4 of Article 10 stating, Where annual financial statements (FS) have been audited with qualified opinions / emphasis of matter, the audited entity must disclose an explanation on such qualified opinions / emphasis of matter, and paragraph 6 of Clause 1 of Article 11 stating, when there is an explanation concerning financial data disclosed by the company in accordance with the laws that are different from the financial data in the audited financial statements..., Saigon Thuong Tin Commercial Joint Stock Bank (Sacombank) hereby would like to explain about the emphasis of matter in its audited consolidated financial statements for 2012, as well as the differences in financial data between the audited and unaudited consolidated financial statements as follows: I. REGARDING THE EMPHASIS OF MATTER IN THE AUDITED CONSOLIDATED FINANCIAL STATEMENTS FOR 2012: 1. Emphasis 1: As set out in Note 15.1(ii)(a) of the consolidated financial statements, the Bank entered into an agreement with Mr. Dang Van Thanh, the Banks former Chairman and Mr. Dang Hong Anh, the Banks Vice Chairman on 5 December 2012. In accordance with this agreement, the Bank agreed to use the 7.435% stake (79,842,647 shares) of Mr. Dang Van Thanh and Mr. Dang Hong Anh in the Bank to settle underlying related loans, investments in bonds and other receivables at the total agreed value of VND1,596,853 million. Accordingly, these shares were classified as foreclosed assets in the Groups consolidated financial statements for the year ended 31 December 2012 at the value of VND1,596,853 million. In this case, the Bank has used its own shares as the foreclosed assets. However, the Bank has already reported this agreement to the State Bank of Vietnam in Letter No. 778/CV-KT dated 12 March 2013. The Bank has also informed the State Securities Commission and the Ho Chi Minh Stock Exchange about this agreement. Explanation: The total amount of VND1,596,853 million was agreed upon between the Bank and Mr. Dang Van Thanh and Mr. Dang Hong Anh for handling loans, investments in bonds and other receivables at the request of Inspectors from the SBV. The Bank recognized it as foreclosed assets in its financial statements for the year ended 31 December 2012. The Bank has had a plan to handle these assets by 31 May 2013 at the latest. 2. Emphasis 2: As set out in Note 8.3 of the consolidated financial statements, in the year of 2012, the Bank granted to a number of companies certain significant loans for a short term of one year for long term purposes to refinance real estate projects. The total aggregate exposure of these loans as at 30 November 2012 and 31 December 2012 was VND7,954,894 million and VND9,019,894 million, respectively. As at 30 November 2012 and 31 December 2012, these loans were still performing and classified in Group 1 Current. It is evidenced that these loans were granted inappropriately following Decision No.1627/2001/QD-NHNN dated 31 December 2001 regarding regulations on lending by credit institutions and Law on Credit Institutions No. 47/2010/QH12 in respect of conditions for lending, evaluation and decision on lending and monitoring of loan use purpose. Explanation: These loans aimed at financing property business for a one-year term. These loans are still immature; their interest has been paid in full and they are classified into Group 1 Current. The lending appraisal, consideration and approval process has been conducted in compliance with the laws and the Banks internal regulations. These loans are being repaid part by part by the customers on schedule, and will be finalized in 2013. Up to 29 March 2013, the customers had repaid early VND1,198 billion of debts and the debt balance of this group of customers had been VND7,821 billion. 3. Emphasis 3: As set out in Note 15.1 (iii) of the consolidated financial statements, in 2012, the Bank signed securities reserve repurchase agreements with a number of individuals. As at 31 December 2012, the total value of these agreements reduced to VND222,009 million from VND757,264 million as at 30 June 2012. This is a new business activity with material value to the Bank and the Bank has prepared its own accounting policy to apply for this activity as presented in Note 2.17. However, the Bank has stopped signing any new securities reserve repurchase agreement since September 2012. Explanation: These are securities reserve repurchase agreements emphasized in the audited semi-annual financial statements for 2012 with a balance of VND757,264 million as at 30 June 2012. Currently, this balance remained at VND222,009 million of immature agreements and will be finalized according to the term of the agreements signed. II. DIFFERENCES IN DATA BETWEEN THE AUDITED AND UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS 1. In the balance sheet - Total assets in the audited consolidated financial statements increased by VND203,134 million from those in the unaudited consolidated financial statements for the following 2 reasons: + Compliance with accounting standards: deferred corporate income tax asset for 2012 was recorded at VND308,915 million. This is an interim difference upon confirmation of taxable incomes, arising when there is a difference between the recognized accounting expenses and the corresponding tax basis of each item. + Due to the difference between the time of finalization of accounts and the date of 31 December 2012, the rearrangement of Liability items into other assets and exclusion of some internal transaction entries, resulting in a reduction of total assets by VND105,781 million. - Undistributed earnings in the audited financial statements increased by VND178,669 million from those in the unaudited consolidated financial statements for the following reasons: + Deferred corporate income tax assets in 2012 caused profit after tax to increase by VND308,915 million. + Appropriation of funds for the financial reserve fund and the reserve fund for capital increase, both amounting totally to VND109,118 million (no appropriation was made in the financial statements for the 4th quarter of 2012). + Corporate income tax for 2012 was added by VND21,128 million. 2. In the income statement Profit after tax in the audited financial statements increased by VND287,939 million from the unaudited financial statements (Profit before tax remained unchanged) for the following reasons: - Deferred corporate income tax for 2012 increased by VND308,915 million. - VND21,128 million was reduced due to an increase in CIT expenses. Saigon Thuong Tin Commercial Joint Stock Company would like to provide you with the above explanation for your information. Sincerely, CHIEF EXECUTIVE OFFICER

Phan Huy Khang Ho Chi Minh City, the Socialist Republic of Vietnam 3 April 2013

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DISTRIBUTION NETWORK
Head Office 266-268 Nam Ky Khoi Nghia Street, Ward 8, District 3, HCMC Hotline: 1900 5555 88
I. SPECIAL REGION Head Transaction Office 266-268 Nam Ky Khoi Nghia Street, Ward 8, District 3, HCMC Tel: (84 8) 3932 2670 Fax: (84 8) 3932 0425 Tran Huy Lieu Transaction Office 224B (former 184) Huynh Van Banh Street, Ward 11, Phu Nhuan District, HCMC Tel: (84 8 ) 3931 8816 Fax: (84 8) 3931 8817 Nam Ky Khoi Nghia Transaction Office 278 Nam Ky Khoi Nghia Street, Ward 8, District 3, HCMC Tel: (84 8) 3932 2585 Fax: (84 8) 3932 2584 Bach Dang Transaction Office Ground Floor 121-123 Bach Dang Street, Ward 2, Tan Binh District, HCMC Tel: (84 8) 3932 5861/63 Fax: (84 8) 3932 5862 Phan Xich Long Transaction Office 159 Phan Xich Long Street, Ward 7, Phu Nhuan District, HCMC Tel: (84 8) 3517 8887/83/84/85 Fax: (84 8) 3517 8886 Cach Mang Thang Tam Transaction Office 236 - 238 Cach Mang Thang Tam Street, Ward 10, District 3, HCMC Tel: (84 8) 3526 4361/62/64/65 Fax: (84 8) 3526 4363 Pho Quang Transaction Office 3G Pho Quang Street, Ward 2, Tan Binh District, HCMC Tel: (84 8) 3997 9887/891/892 Fax: (84 8) 3997 9883 8/3 Branch HCMC 41- 43 Tran Cao Van Street, Ward 6, District 3, HCMC (Ground & Mezzanine Floor Area A - 1st Floor, Master Building) Tel: (84 8) 3521 8318 Fax: (84 8) 3521 8319 8/3 Nguyen Trai Transaction Office 224-226/216 Nguyen Trai, Ward 3, District 5, HCMC Tel: (84 8) 3838 0719 Fax: (84 8) 3838 0706 Phong Lan Transaction Office 192-194 Ly Thuong Kiet Street, Ward 8, Tan Binh District, HCMC Tel: (84 8) 3971 7153 Fax: (84 8) 3971 2040 An Huu Transaction Office Hang Bac Transaction Office 87 Hang Bac Street, Hang Bac Ward, Hoan Kiem District, Ha Noi City Tel: (84 4) 3926 3467/4574 Fax: (84 4) 3926 1392 Dong Xuan Transaction Office 12 Tran Nhat Duat Street, Dong Xuan Ward, Hoan Kiem District, Ha Noi City Tel: (84 4) 3929 0135 Fax: (84 4) 3928 3725 Hoan Kiem Transaction Office 61A Duong Thanh Street, Cua Dong Ward, Hoan Kiem District, Ha Noi City Tel: (84 4) 3923 2140/0823 Fax: (84 4) 3923 0822 Thuy Khue Transaction Office 153A Thuy Khue Street, Thuy Khue Ward, Tay Ho District, Ha Noi City Tel: (84 4) 3728 1466 Fax: (84 4) 3728 1467 Ly Nam De Transaction Office 10A3 Ly Nam De Street, Hang Ma Ward, Hoan Kiem District, Ha Noi City Tel: (84 4) 3747 8418 Fax: (84 4) 3747 8419 Phan Dinh Phung Transaction Office Phan Dinh Phung Street, Ba Dinh District, Ha Noi City Tel: (84 4) 3848 9971/72 Fax: (84 4) 3848 9970 8/3 Branch 193 Ba Trieu Street, Le Dai Hanh Ward, Hai Ba Trung District, Ha Noi City Tel: (84 4) 3974 3833 Fax: (84 4) 3974 3823 Dao Tan Transaction Office 60 Dao Tan Street, Cong Vi Ward, Ba Dinh District, Ha Noi City Tel: (84 4) 3211 5599 Fax: (84 4) 3211 5690 Ha Noi Branch 65 Ngo Thi Nham Street, Hai Ba Trung District, Ha Noi City Tel: (84 4) 3943 7372 Fax: (84 4) 3943 2988 Cho Mo Transaction Office 442 Bach Mai Street, Truong Dinh Ward, Hai Ba Trung District, Ha Noi City Tel: (84 4) 6278 1707 Fax:(84 4) 6278 1700 Dinh Cong Transaction Office 12D18 Dinh Cong New Urban, Dinh Cong Ward, Hoang Mai District, Ha Noi City Tel: (84 4) 3640 4061 Fax: (84 4) 3640 4062 Bach Khoa Transaction Office 10 Ta Quang Buu Street, Bach Khoa Ward, Hai Ba Trung District, Ha Noi City Tel: (84 4) 6278 1536 Fax: (84 4) 6278 1545 Linh Nam Transaction Office 183 Linh Nam Street, Vinh Hung Ward, Hoang Mai District, Ha Noi City Tel: (84 4) 3646 2335/36 Fax: (84 4) 3646 2337 Ha Thanh Transaction Office 25-27 Cua Bac Street, Ba Dinh District, Ha Noi City Tel: (84 4) 3927 5415 Fax: (84 4) 3927 5416 Kim Nguu Transaction Office 286 Kim Nguu Street, Hai Ba Trung District, Ha Noi City Tel: (84 4) 3632 0491/492 Fax: (84 4) 3632 0490 Dong Da Branch 360 Tay Son Street, Dong Da District, Ha Noi City Tel: (84 4) 3564 0455 Fax: (84 4) 3564 0456 Ha Tay Transaction Office 737 Quang Trung Street, Quang Trung Ward, Ha Dong District, Ha Tay Province Tel: (84 343) 824 047 Fax: (84 343) 824 047 Kim Lien Transaction Office 222 Xa Dan Street, Phuong Lien Ward, Dong Da District, Ha Noi City Tel: (84 4) 3572 0569 Fax: (84 4) 3572 0570 Khuong Mai Transaction Office 112 Nguyen Ngoc Nai Street, Khuong Mai Ward, Thanh Xuan District, Ha Noi City Tel: (84 4) 3566 6920 Fax: (84 4) 3566 6921 Hao Nam Transaction Office 100 Hao Nam Street, O Cho Dua Ward, Dong Da District, Ha Noi City Tel: (84 4) 6275 6866/6565 Fax: (84 4) 6275 2753 Van Quan Transaction Office 139A Chien Thang District, Tan Trieu Ward, Thanh Tri District, Ha Noi City Tel: (84 4) 3552 7688 Fax: (84 4) 3552 7528 Long Bien Branch 484 Nguyen Van Cu Street, Gia Thuy Ward, Long Bien District, Ha Noi City Tel: (84 4) 3652 2055 Fax: (84 4) 3652 2066

Fax: (84 8) 3932 0424

Phu Nhuan Transaction Office 197 Phan Dang Luu Street, Ward 1, Phu Nhuan District, HCMC Tel: (84 8) 3855 3007 Fax: (84 8) 3855 3013 Hoa Viet Branch 382 A-B Tran Hung Dao Street, Ward 11, District 5, HCMC Tel: (84 8) 3855 3131 Fax: (84 8) 3855 3003 Ngo Quyen Transaction Office 271 Ngo Quyen Street, Ward 6, District 10, HCMC Tel: (84 8) 3957 4338 Fax: (84 8) 3957 4335 Han Hai Nguyen Transaction Office 278 - 280 Han Hai Nguyen Street, Ward 9, District 11, HCMC Tel: (84 8) 3969 9903/04/05 Fax: (84 8) 3969 9906 Long An Branch 165 - 167 Hung Vuong Street, Ward 2, Tan An City, Long An Province Tel: (84 72) 383 1590 Fax: (84 72) 383 1594 Ben Luc Transaction Office 90 Nguyen Huu Tho Street, Ben Luc Town, Long An Province Tel: (84 72) 363 3443 Fax: (84 72) 363 3442 Tan An Transaction Office 25 Nguyen Dinh Chieu Street, Ward 1, Tan An City, Long An Province Tel: (84 72) 355 3799/899 Fax: (84 72) 355 3699 Duc Hoa Transaction Office 531C Block 3, Duc Hoa Town, Duc Hoa District, Long An Province Tel: (84 72) 376 3976 Fax: (84 72) 376 3978 Can Giuoc Transaction Office Lot 7-8 Residental Area, Block 2, Highway No.50, Can Giuoc District, Long An Provinde Tel: (84 72) 374 1717/8 Fax: (84 72) 374 1719 Thu Thua Transaction Office 2/30B Phan Van Tinh Street, Thu Thua Town, Thu Thua District, Long An Province Tel: (84 72) 361 3660/61/63 Fax: (84 72) 361 3664

INSIDE VIETNAM (Updated from 31/12/2012)

Block 4, An Huu Ward, Cai Be District, Tien Giang Province Tel: (84 73) 376 7979/984 Fax: (84 73) 376 7984 Ben Tre Branch 14C1 Dong Khoi Boulevard, Phu Khuong Ward, Ben Tre City, Ben Tre Province Tel: (84 75) 383 9115 Fax: (84 75) 383 9116 Mo Cay Transaction Office 256 Block 2, Mo Cay Town, Mo Cay Nam District, Ben Tre Province Tel: (84 75) 3 662 662 Fax: (84 75) 3 662 663 Binh Dai Transaction Office 159/C Block 3, Binh Dai Town, Binh Dai District, Ben Tre Province Tel: (84 75) 374 2743 Fax: (84 75) 374 2744 Giong Trom Transaction Office 600 Block 2, Giong Trom Town, Giong Trom District, Ben Tre Province Tel: (84 75) 351 1113 Fax: (84 75) 351 1115 Cho Lach Transaction Office 137/14B Block 2, Cho Lach Town, Cho Lach District, Ben Tre Province Tel: (84 75) 387 1109/107/108 Fax: (84 75) 387 1106 Tra Vinh Branch 555 Nguyen Dang Street, Block 3, Ward 6, Tra Vinh City, Tra Vinh Province Tel: (84 74) 385 8711/15 Fax: (84 74) 385 8710 Cang Long Transaction Office 02 - 03 National Highway No.53, Cang Long Town, Cang Long District, Tra Vinh City Tel: (84 74) 388 4411 Fax: (84 74) 388 4409 Tieu Can Transaction Office 17, 30/4 Street, Block 1, Tieu Can Town, Tieu Can District, Tra Vinh City Tel: (84 74) 363 0996/997/998) Fax: (84 74) 363 0994 Cau Ngang Transaction Office Minh Thuan A Quarter, Cau Ngang Town, Cau Ngang District, Tra Vinh City Tel: (84 74) 376 3113 Fax: (84 74) 376 3112 II. HA NOI REGION Thu Do Head Transaction Office 88 Ly Thuong Kiet Street, Cua Nam Ward, Hoan Kiem District, Ha Noi City Tel: (84 4) 3942 8095 Fax: (84 4) 3942 8085

Can Duoc Transaction Office 22A National Highway 50 - Block 3, Can Duoc Town, Can Duoc District, Long An Province Tel: (84 72) 371 3555/888 Fax: (84 72) 371 3444 Moc Hoa Transaction Office 42A Hung Vuong Street, Moc Hoa Town, Moc Hoa District, Long An Province Tel: (84 72) 395 8330/333 Fax: (84 72) 395 8334 Go Den Transaction Office 31 National Highway 1A, Long Binh Quarter, Long Hiep Ward, Ben Luc District, Long An Province Tel: (84 73) 363 7551/52/53/54/55 Fax: (84 73) 363 7556 Tien Giang Branch 6 Dinh Bo Linh Street, Ward 2, My Tho District, Tien Giang Province Tel: (84 73) 397 3345/33 Fax: (84 73) 397 3342/44 Cai Be Transaction Office 875 Block 05, Phu An Ward, Cai Lay District, Tien Giang Province Tel: (84 73) 392 5777 Fax: (84 73) 392 5776 Go Cong Transaction Office 318 Vo Duy Ninh Street, Ward 1, Go Cong District, Tien Giang Province Tel: (84 73) 351 3133 Fax: (84 73)351 3143 Cai Lay Transaction Office 2/336 Block 5, Highway No. 868, Cai Lay Town, Cai Lay District, Tien Giang Province Tel: (84 73) 391 9883 Fax: (84 73) 391 9886 Vinh Kim Transaction Office Vinh Thanh Quarter, Vinh Kim Ward, Chau Thanh District, Tien Giang Province Tel: (84 73) 361 9123/124 Fax: (84 73) 361 9122 Cho Gao Transaction Office 130 - Block 1, Quarter 2, Cho Gao Town, Cho Gao District, Tien Giang Province Tel: (84 73) 365 4801/05 Fax: (84 73) 365 4806 My Tho A Transaction Office 194 Ap Bac Street, Ward 5, My Tho City, Tien Giang Province Tel: (84 73) 397 7901/905 Fax: (84 73) 397 7906

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DISTRIBUTION NETWORK
(continued)

Yen Vien Transaction Office 455 Ha Huy Tap Street, Yen Vien Ward, Gia Lam District, Ha Noi City Tel: (84 4) 3698 2936 Fax: (84 4) 3698 2936 Trau Quy Transaction Office 74A&74B To Voi Phuc Street, Trau Quy Town, Gia Lam District, Ha Noi City Tel: (84 4) 3676 3070 Fax: (84 4) 3676 3071 Ngo Gia Tu Transaction Office 675 Ngo Gia Tu Street, Duc Giang Ward, Long Bien District, Ha Noi City Tel: (84 4) 3652 2055 Fax: (84 4) 3652 2066 Dong Anh Transaction Office 55 Block 4, Dong Anh Town, Dong Anh District, Ha Noi City Tel: (84 4) 3965 5922 Fax: (84 4) 3965 5925 Thanh Tri Branch 337 Ngoc Hoi Street, Van Dien Ward, Thanh Tri District, Ha Noi City Tel: (84 4) 3681 4855 Fax: (84 4) 3681 4856 Thuong Tin Transaction Office Pho Ga Street, Thuong Tin Town, Thuong Tin Ward, Ha Tay Tel: (84 343) 765 536 Fax: (84 343) 765 534 Truong Dinh Transaction Office 701 Truong Dinh Street, Thinh Liet Ward, Hoang Mai District, Ha Noi City Tel: (84 4) 3642 1661 Fax: (84 4) 3642 1660 Dong Tam Transaction Office 168 Pho Vong Street, Phuong Liet Ward, Thanh Xuan District, Ha Noi City Tel: (84 4) 3628 5422/23/24 Fax: (84 4) 3628 5421 Thang Long Branch 60A Nguyen Chi Thanh Street, Lang Thuong Ward, Dong Da District, Ha Noi City Tel: (84 4) 3775 6707 Fax: (84 4) 3775 6708 Doi Can Transaction Office 149G Doi Can Street, Ba Dinh District, Ha Noi City Tel: (84 4) 3722 7361 Fax: (84 4) 3722 7362 Hoang Cau Transaction Office 163 Dang Tien Dong Street, Trung Liet Ward, Dong Da District, Ha Noi City Tel: (84 4) 3537 9961 Fax: (84 4) 3537 9960

Tran Duy Hung Transaction Office 82 Tran Duy Hung Street, Trung Hoa Ward, Cau Giay District, Ha Noi City Tel: (84 4) 3783 4176 Fax: (84 4) 378 34175 Doc Ngu Transaction Office 147 Doc Ngu, Ba Dinh District, Ha Noi City Tel: (84 4) 3232 1790/792 Fax: (84 4) 3232 1791 Dong Do Branch 363 Hoang Quoc Viet Street, Nghia Tan Ward, Cau Giay District, Ha Noi City Tel: (84 4) 3791 5299 Fax: (84 4) 3791 5289 Quan Hoa Transaction Office 243A Cau Giay Street, Quan Hoa Ward, Cau Giay District, Ha Noi City Tel: (84 4) 3791 0950 Fax: (84 4) 3767 8324 Tay Ho Transaction Office 71 Xuan La Street, Xuan La Ward, Tay Ho District, Ha Noi City Tel: (84 4) 3759 0099 Fax: (84 4) 3759 1586 Le Duc Tho Transaction Office A1-1, A2-2 Le Duc Tho Street, Tu Liem District, Ha Noi City Tel: (84 4) 3795 1711 Fax: (84 4) 3795 1712 Nguyen Phong Sac Transaction Office Level 1 - A/D6 Nguyen Phong Sac Street (extension) - Cau Giay New Urban, Dich Vong Ward, Cau Giay District, Ha Noi City Tel: (84 4) 3767 8228 Fax: (84 4) 3767 8229 III. NORTHERN REGION Hung Yen Branch Km22 + 500 National Highway No.5A, Ban Yen Nhan Town, My Hao District, Hung Yen Province Tel: (84 321) 394 2905 Fax: (84 321) 394 2387 Pho Hien Transaction Office 279 Dien Bien Street, Hung Yen City, Hung Yen Province Tel: (84 321) 386 6770 Fax: (84 321) 386 6769 Bo Thoi Transaction Office Bo Thoi Town, Hong Tien Ward, Khoai Chau District, Hung Yen Province Tel: (84 321) 392 0690 Fax: (84 321) 392 0689

Yen My Transaction Office 22 Yen My Town, Yen My District, Hung Yen Province Tel: (84 321) 396 2979 Fax: (84 321) 396 2978 Van Lam Transaction Office Ngoc Quynh Quarter, Nhu Quynh Town, Van Lam District, Hung Yen Province Tel: (84 321) 378 5614 Fax: (84 321) 378 5613 Van Giang Transaction Office 219 Pho Van Giang Street, Van Giang Town, Van Giang District, Hung Yen Province Tel: (84 321) 393 3505/506 Fax: (84 321) 393 3508 Bac Ninh Branch 122 Tran Phu Street, Dong Ngan Ward, Tu Son Town, Bac Ninh Province Tel: (84 241) 374 3965 Fax: (84 241) 376 0352 Tien Du Transaction Office 140-142 Ly Thuong Kiet Street, Lim Town, Tien Du District, Bac Ninh Province Tel: (84 241) 371 0711 Fax: (84 241) 371 0711 Nguyen Gia Thieu Transaction Office 113 Nguyen Gia Thieu Street, Suoi Hoa Ward, Bac Ninh City, Bac Ninh Province Tel: (84 241) 381 1622 Fax: (84 241) 381 1622 Que Vo Transaction Office 100 Block 1, Pho Moi Town, Que Vo District, Bac Ninh Province Tel: (84 241) 363 5853/852 Fax: (84 241) 363 5854 Thuan Thanh Transaction Office 89-91 Pho Ho, Ho Town, Thuan Thanh District, Bac Ninh Province Tel: (84 241) 377 5886 Fax: (84 241) 377 5339 Thanh Hoa Branch 126-128-130 Nguyen Trai Street, Ba Dinh Ward, Thanh Hoa City Tel: (84 373) 888 898 Fax: (84 373) 718 789 Phan Chu Trinh Transaction Office 753 Ba Trieu Street, Truong Thi Ward, Thanh Hoa City, Thanh Hoa Province Tel: (84 373) 757 661/62 Fax: (84 373) 757 675 Bim Son Transaction Office 73 Block 2, Ngoc Trao Ward, Bim Son Town, Thanh Hoa Province Tel: (84 373) 771 884/86 Fax: (84 373) 771887

Lam Son Transaction Office Block 6, Lam Son Town, Tho Xuan District, Thanh Hoa Province Tel: (84 37) 353 5588 Fax: (84 37) 353 5578 Tinh Gia Transaction Office 232 Block 3, Tinh Gia Town, Tinh Gia District, Thanh Hoa Province Tel: (84 37) 872 7899 Fax: (84 37) 8727897 Lang Son Branch 8 Ngo Quyen Street, Vinh Trai Ward, Lang Son City Tel: (84 25) 371 6324 Fax: (84 25) 371 6325 Tan Thanh Transaction Office Kiosk 86-88-90 Tan Thanh Border Main Road, Lang Son Province Tel: (84 25) 388 8579 Fax: (84 25) 388 8581 Hai Duong Branch 30 Tran Hung Dao Street, Hai Duong City, Hai Duong Province Tel: (84 320) 383 3208 Fax: (84 320) 383 3209 Sao Do Transaction Office 119 Nguyen Trai 1 Street, Sao Do Ward, Chi Linh Town, Hai Duong Province Tel: (84 320) 358 9347 Fax: (84 320) 358 9348 Phu Thai Transaction Office Pho Ga Street, Phu Thai Town, Kim Thanh District, Hai Duong Province Tel: (84 320) 372 6388 Fax: (84 320) 372 6389 Ke Sat Transaction Office 158 Khu nga 5, Trang Liet Ward, Binh Giang District, Hai Duong Province Tel: (84 320) 377 3371 Fax: (84 320) 377 3372 Thong Nhat Transaction Office 31 Thong Nhat Street, Le Thanh Nghi Ward, Hai Duong City, Hai Duong Province Tel: (84 320) 384 8318 Fax: (84 320) 384 8319 Nguyen Luong Bang Transaction Office Km1 Nguyen Luong Bang Street, Pham Ngu Lao Ward, Hai Duong City, Hai Duong Province Tel: (84 320) 389 8857 Fax: (84 320) 389 8858 Hoang Thach Transaction Office DVTM VHTT Minh Tan Residential Area, Kinh Mon District, Hai Duong Province Tel: (84 320) 352 2969 Fax: (84 320) 352 2970

Hai Phong Branch 62-64 Ton Duc Thang Street, Tran Nguyen Han Ward, Le Chan District, Hai Phong City Tel: (84 31) 371 9999 Fax: (84 31) 371 9991 Tam Bac Transaction Office 102A Quang Trung Street, Phan Boi Chau Ward, Hong bang District, Hai Phong City Tel: (84 31) 352 1058 Fax: (84 31) 352 1059 Van Cao Transaction Office 197 Van Cao, Dang Giang Ward, Ngo Quyen District, Hai Phong City Tel: (84 31) 373 4016 Fax: (84 31) 373 4017 Lac Vien Transaction Office 176 Da Nang Street, Lac Vien Ward, Ngo Quyen District, Hai Phong City Tel: (84 31) 371 9956/955 Fax: (84 31) 371 9957 Hoa Phuong Transaction Office 119-121 Dinh Tien Hoang Street, Hoang Van Thu Ward, Hong Bang District, Hai Phong City Tel: (84 31) 356 9113/345 Fax: (84 31) 356 9115 Thuy Nguyen Transaction Office 151 Bach Dang Street, Nui Deo Town, Thuy Nguyen District, Hai Phong City Tel: (84 31) 391 6755/756/766/786 Fax: (84 31) 391 6775 Quang Ninh Branch 607 Le Thanh Tong Street, Ha Long City, Quang Ninh Province Tel: (84 33) 369 6789 Fax: (84 33) 369 6966 Mong Cai Transaction Office 01 Tran Phu, Mong Cai Mall, Mong Cai City, Quang Ninh Province Tel: (84 33) 625 8688 Fax: (84 33)625 8226 Cam Pha Transaction Office 566 Tran Phu, Cam Thuy Ward, Cam Pha Town, Quang Ninh Province Tel: (84 33) 386 8682 Fax: (84 33) 386 8648 Thai Nguyen Branch 66 Hoang Van Thu, Hoang Van Thu Ward, Thai Nguyen City Tel: (84 280) 385 3155 Fax: (84 280)385 3266 Phu Tho Branch 1482 Hung Vuong, Gia Cam Ward, Viet Tri City, Phu Tho Province Tel: (84 210) 366 6555/366 6868 Fax: (84 210)386 8333/366 6686

Ha Nam Branch Block 1 Le Hoan, Minh Khai Ward, Phu Ly City, Ha Nam Province Tel: (84 351) 356 6666/382 8878 Fax: (84 351) 366 2222/382 8979 IV. NORTHERN CENTRAL REGION Nghe An Branch 72 Le Loi, Hung Binh Ward, Vinh City, Nghe An Province Tel: (84 38) 860 0777/667 Fax: (84 38) 860 0677 Dien Chau Transaction Office Group 4, Dien Chau Town, Dien Chau, Nghe An Province Tel: (84 38) 360 5777/678 Fax: (84 38) 360 0999 Hung Binh Transaction Office 85 Le Hong Phong, Vinh City, Nghe An Province Tel: (84 38) 869 6688/777 Fax: (84 38) 869 6678 Quan Banh Transaction Office 350 Nguyen Trai, Vinh City, Nghe An Province Tel: (84 38) 865 2777 Fax: (84 38) 865 2999 Quang Binh Branch 5 Quang Trung, Hai Dinh Ward, Dong Hoi, Quang Binh Province Tel: (84 52) 625 5255 Fax: (84 52) 384 4944/66/77 Bo Trach Transaction Office 1A National Highway TK2, Hoan Lao, Bo Trach, Quang Binh Province Tel: (84 52) 361 2444 Fax: (84 52) 361 2555 Dong Hoi Transaction Office 252 Tran Hung Dao Street, Nam Ly, Dong Hoi, Quang Binh Province Tel: (84 52) 384 7847/ 385 5666 Fax: (84 52) 385 5444 Ba Don Transaction Office Area 1, Ba Don Town, Quang Binh Tel: (84 52) 351 6516/351 7517 Fax: (84 52) 351 6567 Bac Ly Transaction Office Bac Ly Ward, Dong Hoi City, Quang Binh Tel: (84 52) 385 3853/385 3888 Fax: (84 52) 385 3999 Dong Son Transaction Office 81 Ly Thai To, Bac Nghia Ward, Dong Hoi City, Qung Bnh Tel: (84 52) 383 4834 Fax: (84 52) 383 4837

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DISTRIBUTION NETWORK
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Quang Tri Branch 43 Tran Hung Dao, Ward 1, Dong Ha, Quang Tri Tel: (84 53) 355 5889 Fax: (84 53) 355 5890 Vinh Linh Transaction Office Huu Nghi sub ward, Ho Xa Town , Vinh Linh, Quang Tri Tel: (84 53) 361 4888 Fax: (84 53) 362 2261 Trieu Hai Transaction Office 2220 Tran Hung Dao, Ward 2, Quang Tri, Quang Tri Tel: (84 53) 366 4458 Fax: (84 53) 366 4457 Dong Ha Transaction Office 86 Le Duan, Ward 1, Dong Ha, Quang Tri Tel: (84 53) 355 3800 Fax: (84 53) 355 3801 Huong Hoa Transaction Office Sub ward 1, Khe Sanh Town, Huong Hoa, Quang Tri Tel: (84 53) 378 1940 Fax: (84 53) 378 1941 Lao Bao Transaction Office Sub ward Tay Chinh, Lao Bao Town, Huong Hoa, Quang Tri Tel: (84 53) 377 8888/ 889 Fax: (84 53) 377 8887 Thua Thien Hue Branch 126 Nguyen Hue, Phu Nhuan Ward, Hue City, Thua Thien Hue Tel: (84 54) 383 4979 Fax: (84 54) 383 4980 An Cuu Transaction Office 144 Hung Vuong, Phu Nhuan Ward, Hue City, Thua Thien Hue Tel: (84 54) 381 4181 Fax: (84 54) 381 4243 Phu Bai Transaction Office 1227 Phu Bai Ward, Huong Thuy, Thua Thien Hue Tel: (84 54) 385 1032 Fax: (84 54) 385 1033 Tay Loc Transaction Office 172 (Old number: 02) Nguyen Trai, Tay Loc Ward, Hue City, Thua Thien Hue Tel: (84 54) 353 9366 Fax: (84 54) 353 9365 Phu Xuan Transaction Office 49 Tran Hung Dao, Phu Hoa Ward, Hue City, Thua Thien Hue Tel: (84 54) 351 3865 Fax: (84 54) 351 3850

Huong Tra Transaction Office 02 Doc Lap, Tu Ha Ward, Huong Tra, Thua Thien Hue Tel: (84 54) 375 8686 Fax: (84 54) 375 8689 Phu Hoi Transaction Office 02 Ben Nghe, Phu Hoi Ward, Hue City, Thua Thien Hue Tel: (84 54) 383 9002/ 003 Fax: (84 54) 383 9004 Mai Thuc Loan Transaction Office 43 Mai Thuc Loan, Thuan Thanh Ward, Hue City, Thua Thien Hue Tel: (84 54) 359 9399/ 398 Fax: (84 54) 359 9397 Branch Da Nang 1130-130A-132 Bach Dang, Hai Chau, Da Nang Tel: (84 511) 358 2612 Fax: (84 511) 358 2613 Cho Con Transaction Office 225 Ong Ich Khiem, Group 58, Cau Vong, Hai Chau, Da Nang Tel: (84 511) 386 6368 Fax: (84 511) 386 6369 Thank Khe Transaction Office 568 Dien Bien Phu, Thanh Khe Dong Ward, Thanh Khe, Da Nang Tel: (84 511) 372 5542 Fax: (84 511) 372 5543 Son Tra Transaction Office 783 Ngo Quyen, An Hai Bac Ward, Son Tra, Da Nang Tel: (84 511) 326 0099 Fax: (84 511) 326 0010 Cam Le Transaction Office 179 Ong Ich Duong, Khue Trung Ward, Cam Le, Da Nang Tel: (84 511) 324 7000 Fax: (84 511) 369 6700 Hoang Anh Plaza Transaction Office 1 Nguyen Van Linh, Nam Duong Ward, Hai Chau, Da Nang Tel: (84 511) 325 4767 Fax: (84 511) 325 4768 Hoang Dieu Transaction Office 202 Hoang Dieu, Nam Duong Ward, Hai Chau, Da Nang Tel: (84 511) 357 3665 Fax: (84 511) 325 1661 Lien Chieu Transaction Office 695 Ton Duc Thang, Hoa Khanh Ward, Lien Chieu, Da Nang Tel: (84 511) 373 9125/ 126 Fax: (84 511) 373 9124

Quang Nam Branch Lot 8 Trade Center, Tam Ky City, Quang Nam Province Tel: (84 510) 382 1821 Fax: (84 510) 382 1820 Nam Phuoc Transaction Office 37 Group 2, Area 2, Long Xuyen, Nam Phuoc, Duy Xuyen, Quang Nam Tel: (84 510) 377 7123 Fax: (84 510) 377 7125 Tam Ky Transaction Office 566 Phan Chu Trinh, Tam Ky City, Quang Nam Tel: (84 510) 383 5366 Fax: (84 510) 383 5355 Hoi An Transaction Office 91 Tran Hung Dao, Hoi An, Quang Nam Province Tel: (84 510) 391 1031 Fax: (84 510) 391 1266 Chu Lai Transaction Office 262 Pham Van Dong, Area 2 - Nui Thanh Town, Nui Thanh, Quang Nam Tel: (84 510) 357 1766 Fax: (84 510)357 1755 Dai Loc Transaction Office Area 7, Ai Nghia Town, Dai Loc, Quang Nam Tel: (84 510) 374 7476/ 475 Fax: (84 510) 374 7478 Quang Ngai Branch 449 Quang Trung, Quang Ngai, Quang Ngai City, Quang Ngai Tel: (84 55) 371 5555 Fax: (84 55) 371 5557 Hung Vuong Transaction Office 361 Hung Vuong, Tran Phu Ward, Quang Ngai City, Quang Ngai Tel:( 84 55) 371 6557/58/59 Fax: (84 55) 371 6555 Binh Son Transaction Office Area 2, 1A National Highway, Chau O Town, Binh Son, Quang Ngai Tel: (84 55) 352 3434/35/36 Fax: (84 55) 352 3437 Ha Tinh Branch 37-39 Dang Dung, Area 7, Nam Ha Ward, Ha Tinh, Ha Tinh Tel: (84 39) 368 5234/ 5693 Fax: (84 39) 368 5686/ 5687

V. SOUTH & CENTRAL HIGHLAND REGION Binh Dinh Branch 998 Mai Xuan Thuong, Ly Thuong Kiet Ward, Quy Nhon City, Binh Dinh Tel: (84 56) 381 7493 Fax: (84 56) 381 7312 Dap Da Transaction Office Bang Chau Area, Dap Da Town, An Nhon, Binh Dinh Tel: (84 56) 363 9702 Fax: (84 56) 363 9704 Le Loi Transaction Office 97 Le Loi, Tran Hung Dao Ward, Quy Nhon City, Binh Dinh Tel: (84 56) 381 7177 Fax: (84 56) 381 7176 Bong Son Transaction Office 243 Quang Trung, Bong Son Town, Hoai Nhon, Binh Dinh Tel: (84 56) 396 1370 Fax: (84 56) 396 1373 Tay Son Transaction Office 311 Quang Trung, Phu Phong Town, Tay Son, Binh Dinh Tel: (84 56) 358 0939 Fax: (84 56) 358 0940 Tam Quan Transaction Office 288 1A National Highway, Tam Quan Town, Hoai Nhon, Binh Dinh Tel: (84 56) 386 0180 Fax: (84 56) 386 0182 Nguyen Thai Hoc Transaction Office 265 Nguyen Thai Hoc, Ngo May Ward, Quy Nhon City, Binh Dinh Tel: (84 56) 352 1645/ 646 Fax: (84 56) 352 1647 Phu Yen Branch 205, 207, 209, 211 Hung Vuong, Ward 5, Tuy Hoa City, Phu Yen Tel: (84 57) 389 3341 Fax: (84 57) 389 3342 Nam Tuy Hoa Transaction Office 374 Nguyen Van Linh, Phu Lam Ward, Tuy Hoa City, Phu Yen Tel: (84 57) 385 1851 Fax: (84 57) 385 1850 Song Cau Transaction Office Tran Hung Dao, Xuan Phu Ward, Song Cau, Phu Yen Tel: (84 57) 372 8788 Fax: (84 57) 372 8789 Nguyen Hue Transaction Office 291 Nguyen Hue, Ward 5, Tuy Hoa City, Phu Yen Tel: (84 - 57) 381 0850/ 0868 Fax: (84 - 57) 381 0870

Khanh Hoa Branch 76 Quang Trung, Loc Tho Ward, Nha Trang City, Khanh Hoa Tel: (84 58) 381 7594 Fax:(84 58) 381 7698 Ninh Hoa Transaction Office 290 Tran Quy Cap, Ninh Hoa Ward, Ninh Hoa, Khanh Hoa Tel: (84 58) 363 0864 Fax: (84 58)363 0863 Nha Trang Transaction Office 65 Nguyen Trai, Phuoc Tien Ward, Nha Trang City, Khanh Hoa Tel: (84 58) 351 5495 Fax: (84 58) 351 5708 Le Hong Phong Transaction Office 193 Le Hong Phong, Phuoc Hoa Ward, Nha Trang City, Khanh Hoa Tel: (84 58) 388 9192 Fax: (84 58) 388 9194 Cam Ranh Transaction Office 134-136, 1 National Highway, Ba Ngoi Ward, Cam Ranh City, Khanh Hoa Tel: (84 58) 395 4300 Fax: (84 58) 395 4302 Van Ninh Transaction Office 128 Hung Vuong, Van Gia Town, Van Ninh, Khanh Hoa Tel: (84 58) 391 3264/391 3265 Fax: (84 58) 391 3266 Cam Lam Transaction Office 1A National Highway, Nghia Dong Group, Cam Duc Town, Cam Lam, Khanh Hoa Tel: (84 58) 398 3788/398 3789 Fax: (84 58) 398 3786 QTK Thang Loi Transaction Office 124 Sinh Trung, Van Thanh Ward, Nha Trang City, Khanh Hoa Tel: (84 58) 381 3888/381 3887 Fax: (84 58) 381 3886 Ninh Thuan Branch 757 Thong Nhat, Kinh Dinh Ward, Phan Rang City - Thap Cham, Ninh Thuan Tel: (84 68) 383 2300 Fax: (84 68) 383 2301 Phan Rang - Thap Cham Transaction Office 336 Thong Nhat, Phu Ha Ward, Phan Rang City - Thap Cham, Ninh Thuan Tel: (84 68) 382 7334 Fax: (84 68) 382 7335 Gia Lai Branch 38 Nguyen Thien Thuat, Dien Hong Ward, Pleiku City, Gia Lai Tel: (84 59) 372 0074 Fax: (84 59) 372 0073

An Khe Transaction Office 02 Hoang Van Thu, Tay Son Ward, An Khe, Gia Lai Tel: (84 59) 383 2268/929/930/939 Fax: (84 59) 383 2535 Chu Se Transaction Office 748 Hung Vuong, Chu Se Town, Chu Se, Gia Lai Tel: (84 59) 625 8006/007 Fax: (84 59) 625 8009 Kon Tum Branch 73A Phan Dinh Phung, Quang Trung Ward, Kontum City, Kon Tum Tel: (84 60) 391 3457 Fax: (84 60) 391 3458 Dac Ha Transaction Office 297 Hung Vuong, Dak Ha Town, Dak Ha, Kon Tum Tel: (84 60) 382 6789 Fax: (84 60) 382 6788 Ngoc Hoi Transaction Office 77 Hung Vuong, Pleinkan Town, Ngoc Hoi, Kon Tum Tel: (84 60) 383 2836 Fax: (84 60) 383 2837 Dak Lak Branch 130-132 Le Hong Phong, Thong Nhat Ward, Buon Me Thuot City, Dak Lak Tel: (84 500) 386 1105 Fax: (84 500) 386 1104 Eakar Transaction Office 3B Eakar Town, Eakar, Dak Lak Tel: (84 500) 362 6960 Fax: (84 500) 362 6961 Buon Me Thuot Transaction Office 362-364 Le Duan, Eatam Ward, Buon Me Thuot City, Dak Lak Tel: (84 500) 386 1108 Fax: (84 500) 386 1101 Buon Ho Transaction Office 215-217 Hung Vuong, Buon Ho, Dak Lak Tel: (84 500) 357 1458/357 1459 Fax: (84 500) 357 1457 EaHleo Transaction Office 565 Giai Phong, Eadrang Town, Eahleo, Dak Lak Tel: (84 500) 377 6670/672/673 Fax: (84 500) 377 6671 Cu Kuin Transaction Office 16A EaKmar, Ea Bhoc, Cu Kuin, Dak Lak Tel: (84 500) 364 0990/992/993 Fax: (84 500) 364 0991

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DISTRIBUTION NETWORK
(continued)

Dak Nong Branch Lot D1 Tam Thang Industrial Zone, Tam Thang, Cu Jut, Dak Nong Tel: (84 501) 368 3798 Fax: (84 501) 368 3632 Dak Mil Transaction Office 61 Nguyen Tat Thanh, Dakmil Town, Dakmil, Dak Nong Tel: (84 501) 375 1898 Fax: (84 501) 375 1897 Kien Duc Transaction Office 40 Nguyen Tat Thanh, Kien Duc Town, DakRLap, Dak Nong Tel: (84 501) 370 2456 Fax: (84 501) 364 7961 Gia Nghia Transaction Office 90 Truong Dinh, Nghia Thanh Ward, Gia Nghia, Dak Nong Tel: (84 501) 354 5443/354 5444 Fax: (84 501) 354 5442 Lam Dong Branch 5 Hai Ba Trung, Ward 6, Da Lat City, Lam Dong City Tel: (84 63) 354 9045 Fax: (84 63) 354 9047 Bao Loc Transaction Office 43 Le Thi Pha, Ward 1, Bao Loc City, Lam Dong Tel: (84 63) 371 1253/ 254 Fax: (84 63) 371 1256 Duc Trong Transaction Office 713, 20 National Highway, Lien Nghia Town, Duc Trong, Lam Dong Tel: (84 63) 364 9161 Fax: (84 63) 364 9162 Quang Trung Transaction Office A1 - Suong Mai Restaurant Area, Quang Trung, Ward 9, Da Lat City, Lam Dong Tel: (84 63) 382 6600 Fax: (84 63) 382 6600 Lam Ha Transaction Office 51 Bo Lieng, Dinh Van Town, Lam Ha, Lam Dong Tel: (84 63) 368 6662 Fax: (84 63) 368 6663 Da Lat Transaction Office 32 - Hoa Binh Area, 3-5, 3/2 Street, Ward 1, Da Lat City, Lam Dong Tel: (84 63) 351 1082 Fax: (84 63) 351 1083 Di Linh Transaction Office 671 Hung Vuong, Di Linh Town, Di Linh, Lam Dong Tel: (84 63) 379 2998 Fax: (84 63) 379 2999

VI. SOUTHEAST REGION Binh Thuan Branch 364 Tran Hung Dao, Duc Thang Ward, Phan Thiet City, Binh Thuan Tel: (84 62) 383 2426 Fax: (84 62) 383 4656 Lagi Transaction Office 63 Le Loi, Lagi Town, Binh Thuan Tel: (84 62) 384 1760 Fax: (84 62) 384 1761 Phan Ri Cua Transaction Office 239 Thong Nhat Street, Lagi Town, Binh Thuan Tel: (84 62) 397 2699 Fax: (84 62) 397 2686 Phan Thiet Transaction Office 126 Tran Hung Dao, Phu Thuy Ward, Phan Thiet City, Binh Thuan Tel: (84 62) 383 5610 Fax: (84 62) 383 5609 Binh Phuoc Branch Phu Thanh Quarter, Tan Phu Ward, Dong Xoai Town, Binh Phuoc Tel: (84 651) 388 8092 Fax: (84 651) 388 3569 Phuoc Long Transaction Office 5 Quarter, Long Phuoc Ward, Phuoc Long Town, Binh Phuoc Tel: (84 651) 377 5201 Fax: (84 651) 377 5201 Binh Long Transaction Office Phu Binh Quarter, An Loc Ward, Binh Long Town, Binh Phuoc Province Tel: (84 651) 368 2692 Fax: (84 651) 368 2692 Chon Thanh Transaction Office Block 2, Quarter 4, Chon Thanh Town, Chon Thanh District, Binh Phuoc Tel: (84 651) 366 0079 Fax: (84 651) 366 0080 Loc Ninh Transaction Office Block 2A, Loc Ninh Town, Loc Minh District, Binh Phuoc Tel: (84 651) 356 6775/356 6776 Fax: (84 651) 356 6775 Bu Dang Transactino Office 245, Duc Lap Block, Duc Phong Town, Bu Dang District, Binh Phuoc Tel: (84 651) 397 4848/878/397 5868 Fax: (84 651) 397 5848

Binh Duong Branch 431 Binh Duong Boulevard, Phu Cuong Ward, Thu Dau Mot Town, Binh Duong Tel: (84 650) 385 9595/385 9596 Fax: (84 650) 385 9591 Thu Dau Mot Transaction Office 21A Cach Mang Thang Tam Street, Phu Cuong Ward, Thu Dau Mot Town, Binh Duong Tel: (84 650) 385 9961/ 385 5109 Fax: (84 650) 385 9962 Ben Cat Transaction Office Block 5, Lai Uyen Ward, Ben Cat District, Binh Duong Tel: (84 650) 356 2863 Fax: (84 650) 355 2033 Di An Transaction Office 9/22 Tran Hung Dao Street, Binh Minh 2 Block, Di An Ward, Di An Town, Binh Duong Tel: (84 650) 373 4840 Fax: (84 650) 373 4841 Lai Thieu Transaction Office C186A Block 18, Binh Duc Quarter, Lai Thieu, Thuan An Town, Binh Duong Tel: (84 650) 376 0375 Fax: (84 650) 376 0437 My Phuoc Transaction Office Block 1, Binh Duong Boulevard, My Phuoc Town, Ben Cat District, Binh Duong Tel: (84 650) 355 9669 Fax: (84 650) 355 9668 Tan Phuoc Khanh Transaction Office Khanh Hoa Ward, Tan Phuoc Khanh Town, Tan Uyen District, Binh Phuoc Tel: (84 650) 361 2060 Fax: (84 650) 361 2062 Dau Tieng Transaction Office Ward 2, Dau Tieng Town, Dau Tieng District, Binh Duong Tel: (84 650) 352 2997/352 2998 Fax: (84 650) 352 2996 1K Highway Transaction Office 1 B, Noi Hoa 2 Quarter, Binh An Ward, Di An District, Binh Duong Tel: (84 650) 377 2223/24/25 Fax: (84 650) 377 2226 Phu Giao Transaction Office Block 2, Phuoc Vinh Town, Phu Giao District, Binh Duong Tel: (84 650) 367 5141/ 143 Fax: (84 650) 367 5142

Tan Uyen Transaction Office F4-F5 Block, Uyen Hung Commercial Resident, Uyen Hung Province, Binh Duong Tel: (84 650) 364 2927/ 929 Fax: (84 650) 364 2926 Tay Ninh Branch 149G Ward 1, Tay Ninh District, Tay Ninh Province Tel: (84 66) 381 0414 Fax: (84 66) 381 0419 Tan Chau Transaction Office Tan Chau Town, Tan Chau Province, Tay Ninh Province Tel: (84 66) 375 9023 Fax: (84 66) 375 9004 Go Dau Transaction Office KP4/9AC, Inner Ward, Go Dau Town, Go Dau District, Tay Ninh Province Tel: (84 66) 352 0300/ 2299 Fax: (84 66) 352 0299 Hoa Thanh Transaction Office Hung Vuong Street, Block 1, Hoa Thanh District, Tay Ninh Province Tel: (84 66) 383 1010 Fax: (84 66) 383 1009 Tan Bien Transaction Office Block 2, Tan Bien Town, Tan Bien District, Tay Ninh Province Tel: (84 66) 374 5666/ 777 Fax: (84 66) 374 5990 Trang Bang Transaction Office Highway No.22, Loc Thanh Block, Trang Bang Town, Trang Bang District, Tay Ninh Province Tel: (84 66) 389 0158 Fax: (84 66) 389 0159 Dong Nai Branch 87- 89, 30/4 Street, Thanh Binh Ward, Bien Hoa City, Dong Nai Province Tel: (84 61) 394 6067 Fax: (84 61) 394 6068 Long Khanh Transaction Office Block 5, Xuan Hoa Ward, Long Khanh Town, Dong Nai Province Tel: (84 61) 378 3587 Fax: (84 61) 378 3443 Ho Nai Transaction Office 11B/82 Block 1, Tan Bien Ward, Bien Hoa City, Dong Nai Province Tel: (84 61) 388 4149 Fax: (84 61) 388 4073

Bien Hoa Transaction Office 141/5, Highway No.15, Tam Hiep Ward, Bien Hoa City, Dong Nai Province Tel: (84 61) 391 3518 Fax: (84 61) 391 3513 Trang Bom Transaction Office 07 - Highway No.1A, Block 11, Thai Hoa Quarter, Ho Nai Ward, Trang Bom District, Dong Nai Province Tel: (84 61) 367 3970 Fax: (84 61) 367 3971 Gia Kiem Transaction Office 112/4 Tan Yen Quarter, Gia Tan 3 Ward, Thong Nhat District, Dong Nai Province Fax: (84 61) 377 8488 Long Binh Tan Trasaction Office C2/9 and 9B/2 Block 1, Long Binh Tan Ward, Bien Hoa City, Dong Nai Province Tel: (84 61) 383 4680 Fax: (84 61) 383 4680 Long Thanh Transaction Office Quarter 1, Van Hai Block, Long Thanh Town, Long Thanh District, Dong Nai Province Tel: (84 61) 350 1976/ 77 Fax: (84 61) 350 1978 Dong Hoa Transaction Office Highway No.1A, An Binh Quarter, Trung Hoa Ward, Trang Bom District, Dong Nai Province Tel: (84 61) 386 8819 Fax: (84 61) 386 8820 Phuong Lam Transaction Office Highway No.20, Thanh Tho 1 Ward, Tan Phu Disctrict, Dong Nai Province Tel: (84 61) 366 5455 Fax: (84 61) 366 5454 Ba Ria - Vung Tau Branch 67A Le Hong Phong Street, Ward 7, Vung Tau City, Ba Ria - Vung Tau Province Tel: (84 64) 355 3333 Fax: (84 64) 355 3336 Ba Ria Transaction Office No.3 Bach Mai Street, Phuoc Trung Ward, Dng Bach Mai, Phuoc Trung Ward, Ba Ria - Vung Tau District, Ba Ria - Vung Tau Province Tel: (84 64) 371 7148 Fax: (84 64) 371 7150 Chau Duc Transaction Office 291 - 293 Hung Vuong, Ngai Giao Ward, Chau Duc District, Ba Ria - Vung Tau Province Tel: (84 64) 396 3011 Fax: (84 64) 396 3033

Rach Dua Transaction Office No.196, 30/4 Street, Rach Dua Ward, Vung Tau City, Ba Ria - Vung Tau Province Tel: (84 64) 361 5298 Fax: (84 64) 361 5194 Long Hai Transaction Office 72, Street No.2, Phuoc Hung Ward, Long Dien District, Ba Ria - Vung Tau Province Tel: (84 64) 367 1555 Fax: (84 64) 367 1777 Tan Thanh Transaction Office Block 6, Doc Lap Street, Ngoc Ha Quarter, Phu My Town, Tan Thanh District, Ba Ria - Vung Tau Province Tel: (84 64) 389 5757/ 58 Fax: (84 64) 389 5759 Xuyen Moc Transaction Office 223/6 Highway No. 55, Phuoc Buu Town, Xuyen Moc District, Ba Ria - Vung Tau Province Tel: (84 64) 377 7770/ 771,772 Fax: (84 64) 377 7774 VII. HOCHIMINH REGION Sai Gon Branch 177-179-181 Nguyen Thai Hoc Street, Pham Ngu Lao Ward, District 1, HCMC Tel: (84 8) 3836 0243/ 3837 8778 Fax: (84 8) 3836 8598 Tan Dinh Transaction Office 129-131, 127-2nd Floor, and 133-1st Floor, Nguyen Huu Cau Street, Tan Dinh Ward, HCMC Tel: (84 8) 3820 4778/ 3820 4782/ 3820 4783 Fax: (84 8) 3820 4828 Vo Van Tan Transaction Office 291B - 291/1A Vo Van Tan Street, Ward 5, District 5, HCMC Tel: (84 8) 3833 5647/ 3929 3726 Fax: (84 8) 3833 5646 District 1 Transaction Office No. 63B Calmette, Nguyen Thai Binh Ward, District 1, HCMC Tel: (84 8) 3914 4515 Fax: (84 8) 3914 4516 Huynh Thuc Khang Transaction Office 2 - 4 (Ground Floor) and 6 Huynh Thuc Khang Street, Ben Nghe Ward, District 1, HCMC Tel: (84 8) 3914 7486 Fax: (84 8) 3914 7489

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Cong Quynh Transaction Office 260 Cong Quynh Street, Pham Ngu Lao Ward, District 1, HCMC Tel: (84 8) 3925 9260/ 61,62 Fax: (84 8) 3925 9263 Vo Thi Sau Transaction Office 38 Vo Thi Sau Street, Tan Dinh Ward, District 1, HCMC Tel: (84 8) 3820 6375/78 Fax: (84 8) 3820 7345 Nguyen Cu Trinh Transaction Office 1152 Tran Dinh Xu Street, Nguyen Cu Trinh Ward, District 1, HCMC Tel: (84 8) 3920 8911/12/13 Fax: (84 8) 3920 8914 Pham Ngu Lao Transaction Office 211-213-215 Pham Ngu Lao Street, Pham Ngu Lao Ward, District 1, HCMC Tel: (84 8) 3920 9471/72/73 Fax: (84 8) 3920 9474 Hung Dao Branch 99A Nguyen Van Cu Street, Ward 2, District 5, HCMC Tel: (84 8) 3923 2800 Fax: (84 8) 3923 2799 Dong Khanh Transaction Office 65-67 Tran Hung Dao Street, Ward 6, District 5, HCMC Tel: (84 8) 3838 4126 Fax: (84 8) 3838 4074 Le Dai Hanh Transaction Office 347 Le Dai Hanh Street, Ward 13, District 11, HCMC Tel: (84 8) 3965 0442 Fax: (84 8) 3965 0443 3 March Transaction Office 276-280, 3/2 Street, Ward 12, District 10, HCMC Tel: (84 8) 3868 0383 Fax: (84 8) 3868 0382 Hong Bang Transaction Office 517 Hong Bang Street, Ward 14, District 5, HCMC Tel: (84 8) 3855 2207 Fax: (84 8) 3855 2214 Minh Khai Transaction Office 530-532 Nguyen Thi Minh Khai Street, Ward 2, District 3, HCMC Tel: (84 8) 3938 1801/03 Fax: (84 8) 3938 1802 Cho Lon Branch 920-920A-920B Nguyen Chi Thanh Street, Ward 4, District 11, HCMC Tel: (84 8) 3955 5280 Fax: (84 8) 3955 6139

Binh Tan Transaction Office 467-469-471 Kinh Duong Vuong Street, An Lac Ward, Binh Tan District, HCMC Tel: (84 8) 3752 2271 Fax: (84 8) 3752 2272 Phu Lam Transaction Office 63A Kinh Duong Vuong Street, Ward 12, District 6, HCMC Tel: (84 8) 3751 5257 Fax: (84 8) 3751 5246 Binh Phu Transaction Office 152 Cho Lon Street, Ward 11, District 6, HCMC Tel: (84 8) 3755 1723 Fax: (84 8) 3755 1724 Binh Chanh Transaction Office B1/16-B1/17 Highway No.1 A, Quarter 2, Binh Chanh Ward, Binh Chanh District, HCMC Tel: (84 8) 3760 8140 Fax: (84 8) 3760 8141 Ly Thuong Kiet Transaction Office 104-106 Ly Thuong Kiet Street, Ward 7, District 10, HCMC Tel: (84 8) 3957 3137 Fax: (84 8) 3957 3138 Lac Long Quan Transaction Office 349L-349K Lac Long Quan Street, Ward 5, District 11, HCMC Tel: (84 8) 3975 0982 Fax: (84 8) 3975 0983 Lanh Binh Thang Transaction Office 294 - 294A Lanh Binh Thang Street, Ward 11, District 11, HCMC Tel: (84 8) 3965 0934/35/36 Fax: (84 8) 3965 0937 Au Lac Transaction Office 268 Au Co Street, Ward 9, Tan Binh District, HCMC Tel: (84 8) 3975 3296 Fax: (84 8) 3975 3299 Binh Tri Dong Transaction Office 234 Vanh Dai Trong, Binh Tri Dong B Ward, Binh Tan District, HCMC Tel: (84 8) 3817 0520/22 Fax: (84 8) 3817 0521 Tan Binh Branch 224 Le Van Sy Street, Ward 1, Tan Binh District, HCMC Tel: (84 8) 3990 7202 Fax: (84 8) 3990 7205 Ba Queo Transction Office 14/3A Truong Chinh Street, Ward 13, Tan Binh District, HCMC Tel: (84 8) 3849 5010 Fax: (84 8) 3849 5010

Lu Gia Transaction Office 3 Way No.2 - Lu Gia Apartment, Ward 15, District 11, HCMC Tel: (84 8) 3865 1204 Fax: (84 8) 3865 1204 Ong Tan Transaction Office 785-785A Cach Mang Thang Tam Street, Ward 6, Tan Binh District, HCMC Tel: (84 8) 3970 2230 Fax: (84 8) 3970 2230 E-town Transaction Office 364 Cong Hoa Street, Tan Binh District, HCMC Tel: (84 8) 3812 5701 Fax: (84 8) 3810 5702 Lang Cha Ca Transaction Office 315 Hoang Van Thu Street, Ward 2, Tan Binh District, HCMC Tel: (84 8) 3845 4470 Fax: (84 8) 3845 4471 Thanh Binh Transaction Office 170 (Ground and 1st Floor), Ly Thuong Kiet Street, Ward 8, HCMC Tel: (84 8) 3971 8143/44/45/ 3 8691 547 Fax: (84 8) 3971 8146 Lac Hong Transaction Office 1016 Lac Long Quan Street, Ward 8, Tan Binh District, HCMC Tel: (84 8) 3975 2940/41/42 Fax: (84 8) 3975 2943 Cong Hoa Transaction Office 298 Cong Hoa Street, Ward 13, Tan Binh District, HCMC Tel: (84 8) 3810 7880/81/83 Fax: (84 8) 3810 7884 Bau Cat Transaction Office 201-203-205 Bau Cat Street, Ward 14, Tan Binh District, HCMC Tel: (84 8) 3949 3094 Fax: (84 8) 3949 3095 Go Vap Branch 94-96-98 Nguyen Oanh Street, Ward 7, Go Vap, HCMC Tel: (84 8) 3894 3648 Fax: (84 8) 3894 1918 Cho Cau Transaction Office A-58 - Block 2, To Ky, Dong Hung Thuan Ward, District 12, HCMC Tel: (84 8) 3715 0828 Fax: (84 8) 3715 0828 Nguyen Van Nghi Transaction Office 134-136 Nguyen Van Nghi Street, Ward 5, Go Vap District, HCMC Tel: (84 8) 3894 1001/3985 5584 Fax: (84 8) 3895 4216

Xom Moi Transaction Office 20/401 Le Duc Tho Street, Ward 16, Go Vap District, HCMC Tel: (84 8) 3996 3090 Fax: (84 8) 3996 3090 Thong Tay Transaction Office 2/5 Quang Trung Street, Ward 11, Go Vap District, HCMC Tel: (84 8) 3895 8561 Fax: (84 8) 3996 7984 Thanh Loc Transaction Office 170 Ha Huy Giap Street, Ha Huy Giap Ward, District 12, HCMC Tel: (84 8) 3716 3903 Fax: (84 8) 3716 3904 Nguyen Thai Son Transaction Office 135-137 Nguyen Thai Son Street, Ward 4, Go Vap District, HCMC Tel: (84 8) 3588 8895/96 Fax: (84 8) 3588 8897 An Nhon Transaction Office 305-51/570 B Nguyen Oanh Street, Ward 17, Go Vap District, HCMC Tel: (84 8) 3984 8136 Fax: (84 8) 3984 8137 Phan Huy Ich Transaction Office 60/12 Phan Huy Ich Street, Ward 12, Go Vap District, HCMC Tel: (84 8) 3987 8586/587 Fax: (84 8) 3987 8584 Hoang Mai Transaction Office 602 - 604 Le Duc Tho Street, Ward 15, Go Vap District, HCMC Tel: (84 8) 3916 8660/661 Fax: (84 8) 3916 8662 Hoc Mon Branch 38 Truong Chinh Street, Block 6, Tan Hung Ward, District 12, HCMC Tel: (84 8) 3592 6001 Fax: (84 8) 3592 6010 Trung Chanh Transaction Office 145/5 Nguyen Anh Thu Street, Trung Chanh Ward, Hoc Mon District, HCMC Tel: (84 8) 3883 9325 Fax: (84 8) 3883 9324 Thoi An Transaction Office 25/3 Le Van Khuong Street, Thoi An Ward, District 12, HCMC Tel: (84 8) 3717 7308 Fax: (84 8) 3717 7310 An Suong Transaction Office 132/7 Truong Chinh Street, Block 5, Tan Thoi Nhat Ward, District 12, HCMC Tel: (84 8) 6256 8459 Fax: (84 8) 6256 8458

Hiep Thanh Transaction Office 3A Nguyen Anh Thu Street, Hiep Thanh Ward, District 12, HCMC Tel: (84 8) 3717 8389 Fax: (84 8) 3717 8388 Trang Trau Transaction Office 19/4A Ly Thuong Kiet Street, Hoc Mon Town, Hoc Mon District, HCMC Tel: (84 8) 3891 0179 Fax: (84 8) 3710 3545 Ba Diem Transaction Office 2/1A-2/1E Phan Van Hon Street, Trung Lan Quarter, Ba Diem Ward, Hoc Mon District, HCMC Tel: (84 8) 3590 1658/59/60/61 Fax: (84 8) 3590 1525 Cu Chi Transaction Office 345 Highway No.22 - Thuong Quarter, Tan Thong Hoi Ward, Cu Chi District, HCMC Tel: (84 8) 3790 1262 Fax: (84 8) 3790 0262 An Nhon Tay Transaction Office 1476 Way No.7 - Old Market Quarter, An Nhon Tay Ward, Cu Chi District, HCMC Tel: (84 8) 3794 7123 Fax: (84 8) 3794 7124 Tay Quy Transaction Office 1010 Way No.15 - Quarter 23, Tan Thanh Dong Ward, Cu Chi District, HCMC Tel: (84 8) 3795 4885 Fax: (84 8) 3795 4841 Tay Bac Transaction Office 805 Highway No. 22, Cu Chi Town, Cu Chi District, HCMC Tel: (84 8) 3792 4159 Fax: (84 8) 3792 4158 Thu Duc Branch 231 Vo Van Ngan, Linh Chieu Ward, Thu Duc District, HCMC Tel: (84 8) 3722 2799 Fax: (84 8) 3722 2800 Kien Thiet Transaction Office 83A Le Van Kiet Street, Block 3, Hiep Phu Ward, District 9, HCMC Tel: (84 8) 3736 0541 Fax: (84 8) 3736 0544 Binh Thai Transaction Office 270-272 Do Xuan Hop Street, Phuoc Long A Ward, District 9, HCMC Tel: (84 8) 3728 1973 Fax: (848)3728 1974 An Phu Transaction Office 27 Tran Nao, Binh An Ward, District 2, HCMC Tel: (84 8) 3740 2653/51/52 Fax: (84 8) 3740 2650

Cat Lai Transaction Office 634 Nguyen Thi Dinh Street, Block 2, Thanh My Loi Ward, District 2, HCMC Tel: (84 8) 3742 3865 Fax: (84 8) 3742 3869 Thao Dien Transaction Office 18 Thao Dien Street, Thao Dien Ward, District 2, HCMC Tel: (84 8) 3519 4368 Fax: (84 8) 3519 4372 District 8 Branch 324 Chanh Hung Street, District 8, HCMC Tel: (84 8) 3850 8340 Fax: (84 8) 3850 8341 Xom Cui Transaction Office 415-417 Tung Thien Vuong Street, Ward 2, District 8, HCMC Tel: (84 8) 3951 4893 Fax: (84 8) 3950 4403 Rach Ong Transaction Office 166-168 & 16P Nguyen Thi Tan Street, Ward 8, District 5, HCMC Tel: (84 8) 3983 0133 Fax: (84 8) 3983 0135 Trung Son Transaction Office 29 - 31 Street No. 9A - Trung Son Residental Area, Binh Hung Ward, Binh Chanh District, HCMC Tel: (84 8) 5431 7123 Fax: (84 8) 5431 8543 Pham The Hien Transaction Office 657 - 659A, Pham The Hien Street, Ward 4, District 8, HCMC Tel: (84 8) 3852 0220 Fax: (84 8) 3852 0221 District 4 Transaction Office 55-57, Hoang Dieu Street, District 4, HCMC Tel: (84 8) 3943 3963 Fax: (84 8) 3943 3983 Tan Thuan Transaction Office 384, Huynh Tan Phat Street, Binh Thuan Ward, District 7, HCMC Tel: (84 8) 3872 4288 Fax: (84 8) 3872 4289 My Toan Transaction Office 954-956, My Toan 3 Area Street, Nguyen Van Linh, Tan Phong Ward, District 7, HCMC Tel: (84 8) 5410 3944 Fax: (84 8) 5410 3959 Nha Be Transaction Office 83, Huynh Tan Phat Street, Nha Be Town, Nha Be District, HCMC Tel: (84 8) 3873 8827 Fax: (84 8) 3873 8826

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Can Thanh Transaction Office 199/3 Duyen Hai Street, Mieu Ba Quarter, Can Thanh Ward, Can Gio District, HCMC Tel: (84 8) 3786 1601/02/03 Fax: (84 8) 3786 1604 Nguyen Thi Thap Transaction Office 172, Nguyen Thi Thap Street, Binh Than Ward, District 7, HCMC Tel: (84 8) 3775 4635/36/37/38 Fax: (84 8) 3775 4639/640 Phu My Hung Transaction Office 17 My Hoang Block, Tan Phong Ward, District 7, HCMC Tel: (84 8) 5412 1631 Fax: (84 8) 5412 0923 Dien Bien Phu Branch 549 Dien Bien Phu Street, Ward 3, HCMC Tel: (84 8) 3938 1870 Fax: (84 8) 3938 1871 Nguyen Tri Phuong Transaction Office 335-337 Nguyen Tri Phuong Street, Ward 5, District 10, HCMC Tel: (84 8) 3834 7458 Fax: (84 8) 3834 5043 Bac Hai Transaction Office Block A - No. 24, Truong Son Street, Ward 15, District 10, HCMC Tel: (84 8) 5434 8190/92/93 Fax: (84 8) 5434 8191 Su Van Hanh Transaction Office 836-838, Su Van Hanh Street, Ward 14, District 10, HCMC Tel: (84 8) 5434 8199/201/202 Fax: (84 8) 5434 8200 District 10 Transaction Office 187, Ngo Gia Tu Street, Ward 3, District 10, HCMC Tel: (84 8) 5405 2025 Fax: (84 8) 5405 2026 Tan Phu Branch 47, Hoa Binh Street, Tan Thoi Hoa Ward, Tan Phu District, HCMC Tel: (84 8) 3973 7303/3961 8725 Fax: (84 8) 3961 8725/3961 8736 Phu Tho Hoa Transaction Office 322 - 324 Nguyen Son Street, Phu Tho Hoa Ward, Tan Phu District, HCMC Tel: (84 8) 3978 6034 Fax: (84 8) 3978 6034 Tan Quy Transaction Office 32 - 32A - 30/1 Go Dau, Tan Quy Ward, Tan Phu District, HCMC Tel: (84 8) 3810 9833 Fax: (84 8) 3810 9833

Tan Binh Industrial Zone Transaction Office 62-64 Tay Thanh Street, Thanh Thanh Ward, Tan Phu District, HCMC Tel: (84 8) 3815 6799 Fax: (84 8) 3815 6799 Au Co Transaction Office 615B Au Co Street, Hoa Thanh Ward, Tan Phu District, HCMC Tel: (84 8) 3975 1531 Fax: (84 8) 3975 1533 Le Trong Tan Transaction Office 143-145 Le Trong Tan (and 79 Son Ky), Son Ky Ward, Tan Phu District, HCMC Tel: (84 8) 3816 5685/86 Fax: (84 8) 3816 5687 Go Cat Transaction Office 768 - 770 Tan Ky-Tan Quy, Binh Hung Hoa Ward, Binh Tan District, HCMC Tel: (84 8) 3767 1596/97 Fax: (84 8) 3767 1598 Le Van Quoi Transaction Office 246 Le Van Quoi Street, Binh Hung Hoa Ward, Binh Tan District, HCMC Tel: (84 8) 3972 1815 Fax: (84 8) 3972 1817 Luy Ban Bich Transaction Office No 580 (Ground Floor &1st Floor), Hiep Tan Ward, Tan Phu District, HCMC Tel: (84 8) 3973 7303/304 Fax: (84 8) 3973 7311 Binh Thanh Branch 270B Bach Dang Street, Ward 24, Binh Thanh District, HCMC Tel: (84 8) 3551 2700 Fax: (84 8) 3551 2699 Thi Nghe Transaction Office 89-91 Xo Viet Nghe Tinh Street, Ward 17, Binh Thanh District, HCMC Tel: (84 8) 3514 4767 Fax: (84 8) 3514 4764 Thanh Da Transaction Office 552A - 552B Xo Viet Nghe Tinh Street, Ward 25, Binh Thanh District, HCMC Tel: (84 8) 3511 9570 Fax: (84 8) 3511 6108 Binh Hoa Transaction Office 95 Le Quang Dinh Street, Ward 14, Binh Thanh District, HCMC Tel: (84 8) 3551 0502 Fax: (84 8) 3516 0644 No Trang Long Transaction Office 202-204 No Trang Long Street, Ward 12, Binh Thanh District, HCMC Tel: (84 8) 3516 2227 Fax: (84 8) 3516 2285

Binh Tay Transaction Office 59-61-63-65 Hau Giang Street, Ward 2, District 6, HCMC Tel: (84 8) 3969 9351/52 Fax: (84 8) 3969 9361 Kim Bien Transaction Office 286 - 288 Hai Thuong Lan Ong Street, Ward 14, District 5, HCMC Tel: (84 8) 5405 2300 Fax: (84 8) 5405 2323/24 Cay Go Transaction Office 119-121-121A-121B Minh Phung Street, Ward 9, District 6, HCMC Tel: (84 8) 3969 8265/66 /67 Fax: (84 8) 3969 8264 Pham Van Chi Transaction Office 129-131 Pham Phu Thu, Ward 3, District 6, HCMC Tel: (84 8) 3967 6171/173 Fax: (84 8) 3967 6174 Tran Van Kieu Transaction Office 1240 Vo Van Kiet, Ward 10, District 5, HCMC Tel: (84 8) 3952 0301/302/296 Fax: (848) 3952 0300 Ba Hom Transaction Office 698 Way No.10 - Block 18, Binh Tri Dong Ward, Binh Tan District, HCMC Tel: (84 8) 3762 0760/61/62/63/64 Fax: (84 8) 3762 0765 VIII. WESTERN REGION An Giang Branch 333 Tran Hung Dao, My Quy Ward, Long Xuyen Town, An Giang Province Tel: (84 76) 392 4924 Fax: (84 76) 392 4900 Tan Chau Transaction Office 231 Ton Duc Thang Street, Long Thanh Ward, Tan Chau Town, An Gian Province Tel: (84 76) 353 4282 Fax: (84 76) 353 4284 Chau Phu Transaction Office 49-51 Highway No.91, Cai Dau Town, Chau Phu District, An Giang Province Tel: (84 76) 368 5856/857 Fax: (84 76) 368 5858 Nui Sam Transaction Office 9 Tan Lo Kieu Luong, Vinh Dong Block, Nui Sam Ward, Chau Doc Town, An Giang Province Tel: (84 76) 357 1678 Fax: (84 76) 357 1680

Cho Moi Transaction Office 169 Way No.942, My Luong Town, Cho Moi District, An Giang Province Tel: (84 76) 362 6554 Fax: (84 76) 362 6556 Chau Doc Transaction Office 88 Dong Da, Chau Phu A Ward, Chau Doc Town, An Giang Province Tel: (84 76) 326 0262 Fax: (84 76) 326 0264 Phu Tan Transaction Office 115 Chu Van An, Phu My Town, Phu Tan District, An Giang Province Tel: (84 76) 358 2444/358 7933/44 Fax: (84 76) 358 7955 Thoai Son Transaction Office 575 Nguyen Hue, Nui Sap Town, Thoai Son District, An Giang Province Tel: (84 76) 371 2770/771/772 Fax: (84 76) 371 2773 Tinh Bien Transaction Office 564-566 Highway No.91, Xuan Hoa Block, Tinh Bien Town, Tinh Bien District, An Giang Province Tel: (84 76) 375 1751/52/53 Fax: (84 76) 375 1754 Long Xuyen Transaction Office 56B Ton Duc Thang, My Binh Ward, Long Xuyen City, An Giang Province Tel: (84 76) 395 6516 Fax: (84 76) 395 6515 Chau Thanh Transaction Office 393 Highway No.91, An Chau Town, Chau Thanh District, An Giang Province Tel: (84 76) 365 1444/555/666 Fax: (84 76) 365 1888 Can Tho Branch 95-97-99 Vo Van Tan, Tan An Ward, Ninh Kieu District, Can Tho City Tel: (84 710) 384 3295 Fax: (84 710) 384 3289/294 Tra Noc Transaction Office 34 A2 Tra Noc 1 Industial Zone, Tra Noc Ward, Binh Thuy District, Can Tho City Tel: (84 710) 381 1022 Fax: (84 710)381 0523 Thot Not Transaction Office 314 Highway No.91, Long Thanh A Block, Thot Not Ward, Thot Not District, Can Tho City Tel: (84 710) 385 4636 Fax: (84 710) 385 4656 3 February Transaction Office 174 B 3 Feb, Hung Loi Ward, Ninh Kieu District, Can Tho City Tel: (84 710) 374 0611 Fax: (84 710) 374 0609

O Mon Transaction Office 958/6 26 March, Chau Van Liem Ward, O Mon District, Can Tho City Tel: (84 710) 366 5550/570/580 Fax: (84 710) 366 5560 Cai Khe Transaction Office 81 - 83 Tran Van Kheo, Cai Khe Ward, Ninh Kieu District, Can Tho City Tel: (84 710) 376 1687 Fax: (84 710) 376 1688 An Phu Transaction Office 228.1C - 228/1 Tran Hung Dao, An Hiep Ward, Ninh Kieu District, Can Tho City Tel: (84 710) 373 0002/03/04 Fax: (84 710) 373 0001 Cai Rang Transaction Office 415-418 Highway No.1A, Yen Ha Area, Le Binh Ward, Cai Rang District, Can Tho City Tel: (84 710) 352 7537/39/40 Fax: (84 710) 352 7538 Vinh Thanh Transaction Office 1315B-1315C Vinh Quoi Quarter, Vinh Thanh Town, Vinh Thanh District, Can Tho City Tel: (84 710) 364 1999 Fax: (84 710) 364 1983 Dong Thap Branch 56 Nguyen Hue, Ward 2, Cao Lanh City, Dong Thap Province Tel: (84 67) 387 1525 Fax: (84 67) 387 1535 Sa Dec Transaction Office 3A - 6 - 7 Nguyen Sinh Sac, Ward 2, Sa Dec Town, Dong Thap Province Tel: (84 67) 377 2355 Fax: (84 67) 377 2360 Hong Ngu Transaction Office 54-56 Hung Vuong, An Thanh Ward, Hong Ngu Town, Dong Thap Province Tel: (84 67) 356 2998 Fax: (84 67) 383 9888 Thap Muoi Transaction Office 29/D Tran Phu, My An Town, Thap Muoi District, Dong Thap Province Tel: (84 67) 394 1676/677/678 Fax: (84 67) 394 1679 Kien Giang Branch 137 Nguyen Hung Son, Vinh Thanh Ward, Rach Gia City, Kien Giang Province Tel: (84 773) 875 797 Fax: (84 773) 875 737 Tan Hiep Transaction Office 496 Highway No.80, Dong Thanh Quarter, Dong Thanh A Ward, Tan Hiep District, Kien Giang Province Tel: (84 773) 731 931/34/35 Fax: (84 773) 731 933

Rach Soi Transaction Office 27 Cach Mang Thang 8, Vinh Loi Ward, Rach Gia City, Kien Gian Province Tel: (84 773) 913 718 Fax: (84 773) 913 719 Hon Dat Transaction Office 47 Duong Hon Quarter, Hon Dat Town, Hon Dat District, Kien Giang Province Tel: (84 773) 786 133/35/36 Fax: (84 773) 786 134 Ha Tien Transaction Office 155-157 Mac Thien Tich, Binh San Ward, Ha Tien Town, Kien Giang Province Tel: (84 776) 260 230/250/290 Fax: (84 776) 260 300 Minh Luong Transaction Office 30 Highway No.61, Minh Luong Town, Chau Thanh District, Kien Giang Province Tel: (84 773) 619 363/64/65 Fax: (84 773) 619 366 Kien Luong Transaction Office 16-17-18 Block L2, Ba Hon New Urban Mall, Kien Luong District, Kien Giang Province Tel: (84 773) 751 951/52 Fax: (84 773) 751 954 Rach Gia Transaction Office 361 - 363 Nguyen Trung Truc, Vinh Lac Ward, Rach Gia City, Kien Giang Province Tel: (84 773) 690 778/79 Fax: (84 773) 690 777 Giong Rieng Transaction Office 94-95 Inner Area, Giong Rieng Town, Giong Rieng District, Kien Giang Province Tel: (84 773) 654 572/573/570 Fax: (84 773) 654 574 Phu Quoc Branch 52B 30 April, Block 1, Duong Dong Town, Phu Quoc District, Kien Giang Province Tel: (84 773) 995118 Fax: (84 773) 995 116 An Thoi Transaction Office Block 3, An Thoi Town, Phu Quoc District, Kien Giang Province Tel: (84 773) 999 771 Fax: (84 773) 999 773 Hau Giang Branch 31, 3/2 Street, Area 3 - Ward 5, Vi Thanh City, Hau Giang Province Tel: (84 711) 387 6075 Fax: (84 711) 387 6950

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DISTRIBUTION NETWORK
(continued)

Chau Thanh A Transaction Office 9A Highway No.61, Tap Phu, Phu Thanh Ward, Chau Thanh A District, Hau Giang Province Tel: (84 711) 395 2774 Fax: (84 711) 395 2773 Nga Bay Transaction Office 1041 Hung Vuong, Nga Bay Ward, Nga Bay Town, Hau Giang Province Tel: (84 711) 396 2826 Fax: (84 711) 396 2824 Long My Transaction Office 50-52, 30/4 Street, Hamlet 2, Long My Town, Long My, Hau Giang Tel: (84 711) 351 1618 Fax: (84 711) 351 1616 Chau Thanh Hau Giang Transaction Office B25-B26, Way No.925, Nga Sau Town, Chau Thanh District, Hau Giang Province Tel: (84 711) 395 6764 Fax: (84 711) 395 6762 Bac Lieu Branch B1A Block B, Tran Phu, Bac Lieu Mall, Ward 3, Bac Lieu City, Bac Lieu Province Tel: (84 781) 393 2206 Fax: (84 781) 393 2201 Ho Phong Transaction Office 151-153 Highway No.1A, Quarter 2, Ho Phong Town, Gia Rai District, Bac Lieu Province Tel: (84 781) 367 1484 Fax: (84 781) 367 1494 Hoa Binh Transaction Office 20 - Highway No.1A, Thi tran A1 Ward, Hoa Binh Town, Hoa Binh District, Bac Lieu Province Tel: (84 781) 388 3288 Fax: (84 781) 388 3289 Phuong Long Town Transaction Office 307A Inner Area Ward, Phuoc Long Town, Phuoc Long District, Bac Lieu Province Tel: (84 781) 358 1583 Fax: (84 781) 358 1584 Dong Hai Transaction Office C24-C25 Ganh Hao Mall, Ganh Hao Town, Dong Hai District, Bac Lieu Province Tel: (84 781) 384 4588 Fax: (84 781) 384 4577 Soc Trang Branch 30 Tran Hung Dao, Block 1 - Ward 2, Soc Trang City, Soc Trang Province Tel: (84 79) 361 6762 Fax: (84 79) 361 6761 My Xuyen Transaction Office 1 Way No.8, Thanh Loi Ward, My Xuyen Town, My Xuyen District, Soc Trang Province Tel: (84 79) 383 1427 Fax: (84 79) 383 1426

Dong Khoi Transaction Office 106 Dong Khoi, Block1, Ward 4, Soc Trang City, Soc Trang Province Tel: (84 79) 362 2624 Fax: (84 79) 362 2621 Vinh Chau Transaction Office 247A 30 April, Vinh Chau Town, Vinh Chau District, Soc Trang Province Tel: (84 79) 391 1567 Fax: (84 79) 391 1555 Thanh Phu Transaction Office 126 Highway No.1A, Block 3, Thanh Phu Ward, My Xuyen District, Soc Trang Province Tel: (84 79) 369 0044/55/66 Fax: (84 79) 369 0033 Nga Nam Transaction Office Block 15, 16, Nga Nam Mall, Mai Thanh The, Nga Nam Town, Nga Nam District, Soc trang Province Tel: (84 79) 352 4528 Fax: (84 79) 352 4522 Vinh Long Branch 35B 3/2 Street, Ward 1, Vinh Long City, Vinh Long Province Tel: (84 70) 387 8260 Fax: (84 70) 387 8261 Binh Minh Transaction Office 894 Ngo Quyen, Cai Von Ward, Binh Minh Town, Vinh Long Province Tel: (84 70) 374 1262 Fax: (84 70) 374 1272 Nguyen Hue Transaction Office 156 Nguyen Huy, Ward2, Vinh Long City, Vinh Long Province Tel: (84 70) 383 6898/97 Fax: (84 70) 383 6896 Tra On Transaction Office 15D - 16D Gia Long, Block1, Tra On Town Tel: (84 70) 377 2727/729 Fax: (84 70) 377 2728 Vung Liem Transaction Office 03B - 04B, Block 2, Vung Liem Town, Vinh Long Province Tel: (84 70) 397 1789 Fax: (84 70) 397 1788 Ca Mau Branch 164A Nguyen Tat Thanh, Ward 8, Ca Mau City, Ca Mau Province Tel: (84 780) 381 2001 Fax: (84 780) 381 2006 Nam Can Transaction Office H35, H36 Nguyen Tat Thanh, Nam Can Town, Nam Can District, Ca Mau Province Tel: (84 780) 373 0996 Fax: (84 780) 373 0999

Minh Hai Transaction Office 44 Ly Bon, Ward 2, Ca Mau City, Ca Mau Province Tel: (84 780) 366 0044 Fax: (84 780) 366 1324 Song Doc Transaction Office 116 Group 3 Block 10, Song Doc Town, Tran Van Thoi District, Ca Mau Province Tel: (84 780) 389 2303/304 Fax: (84 780) 389 2555 OUTSIDE VIETNAM (Updated from 31/03/2013) Sacombank Cambodia 60 Norodom Boulevard Sangkat Chey Chumnas Khan Daun Penh, Phnom Penh Tel: (855) 2322 3422 Fax: (855) 2322 3433 Olympic Branch 319 - 321 Preah Sihanouk Boulevard Sangkat Veal Vong, Khan 7 Makara, Phnom Penh Tel: (855) 2322 3420 Fax: (855) 2322 3402 Monivong Branch 537A B Monivong Boulevard Sangkat Beoung Keng Kang 2 Khan Chamkarmon, Phnom Penh Tel: (855) 2322 3421 Fax: (855) 2321 4734 Chbar Ampeou Branch 577A 578B National Road 1 Sangkat Chbar Ampeou II Khan Mean Chey, Phnom Penh Tel: (855) 2322 3418 Fax: (855) 2372 1571 Kampong Cham Branch 43 National Road 7, Sangkat Veal Vong Krong Kampong Cham, Kampong Cham Tel: (855) 4294 2800 Fax: (855) 4294 2801 Phsar Hengly Branch 25-27 A Street 271, Sangkat Tek Thla, Khan Sen Sok, Phnom Penh Tel: (855) 2388 1468 Fax: (855) 2388 1665 Laos 175/02 Saylom, Ban Hatsady, Chanthabury, Vientiane - Laos Tel: (856) 2126 0400 Fax: (856) 2126 0402 Cho Sang Transaction Office B#01-04 - 1st Floor - Cho Sang Trade Center, Chanthabury, Vientiane - Laos Tel: (856) 2128 5400 Fax: (859) 2128 5400

The soaring bird icon is designed using the number 21 as a symbolic articulation of the sustainable development of Sacombank over the past 21 years. Flying upwards towards a common shared vision, the soaring bird radiates energy, perseverance and confidence, capturing the essence of Sacombanks strong foundation, strong enterprise, strong capabilities, strong capital and strong commitment.