Investor Presentation Q4 FY 2012 April 2012 Disclaimer This - - PDF document

Investor Presentation – Q4 FY 2012

April 2012

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This presentation is strictly confidential and may not be copied, published, distributed or transmitted. The information in this presentation is being provided by Development Credit Bank Limited (the “Bank”). This presentation has been prepared for information purposes only and is not an offer or invitation, directly or indirectly, to buy or sell any securities, nor shall part, or all, of this presentation form the basis of or be relied on in connection with, any contract or investment decision in relation to any securities. This presentation is not an offer document or a prospectus under the Companies Act, 1956, as amended, the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009, as amended and any other applicable law. This presentation contains forward-looking statements based on the currently held beliefs and assumptions of the management of the Bank, which are expressed in good faith and, in their opinion, reasonable. Forward-looking statements involve known and unknown risks, uncertainties and

• ther factors, which may cause the actual results, financial condition, performance, or achievements of the Bank or industry results to differ

materially from the results, financial condition, performance or achievements expressed or implied by such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding expansion plans and the benefits there from, fluctuations in our earnings, our ability to manage growth and implement strategies, intense competition in our business including those factors which may affect our cost advantage, our ability to attract and retain highly skilled professionals, changes in technology, availability of financing, our ability to successfully complete and integrate our business plans, liabilities, political instability and general economic conditions affecting our industry. Given these risks, uncertainties and other factors, recipients of this document are cautioned not to place undue reliance on these forward-looking statements. The Bank disclaims any obligation to update these forward-looking statements to reflect future events or developments. This presentation is not an offer of securities for sale in the United States or in any other jurisdiction. Securities may not be offered or sold in the United States absent registration or an exemption from registration. No shares or other securities may be offered or sold other than in compliance with the laws of relevant jurisdictions, including the United States Securities Act of 1933, as amended. By viewing this presentation you acknowledge that you will be solely responsible for your own assessment of the market and the market position of the Bank and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of the business of the Bank. Except as otherwise noted, all of the information contained herein is preliminary and indicative and is based on management information, current plans and estimates. Industry and market-related information is obtained or derived from industry publications and has not been verified by us. The information contained in this presentation, except as otherwise noted, is only current as of the date of the presentation, is subject to change without

• notice. The Bank may alter, modify or otherwise change in any manner the content of this presentation, without any obligation to notify any person
• f such revision or changes. Persons relying on the information in this presentation should do so at their own risk and the Bank shall not be

responsible for any kind of consequences or liability to any person arising out of, relying and acting upon any such information.

Disclaimer

Financial numbers are rounded off to nearest whole number

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DCB Bank – at a glance Comprehensive product range & scalable infrastructure Traditional loyal customer base Focus on building low cost franchise Pedigreed board and experienced management team

• Development Credit Bank Ltd (DCB Bank) http://www.dcbbank.com is a modern emerging new generation private sector bank.

Present since 1930s, DCB is the only co-operative bank in India to have been converted into a private sector commercial bank in 1995

• Distribution network of 84 branches across 28 cities and 320 ATMs (as on March 31, 2012)

Steady improvement in credit ratings

• Business model focused on achieving a balance between Micro SME, SME, Retail Mortgages, mid-Corporate and Agri /

Inclusive Banking

• Comprehensive range of banking products across all businesses
• Modern systems and infrastructure to support growth- Finacle, FinnOne, CMS, Internet and Mobile banking
• Traditional sticky customer base helped by presence of branch network in key areas of Maharashtra, Gujarat and AP
• Provides DCB Bank access to low cost deposits
• Continued focus on building a low cost Deposits and strong capital position
• CASA of 32.12% and CRAR of 15.41% under Basel II (as on March 31, 2012)
• Rating agencies have re-affirmed the rating guidelines for DCB Bank (as on September 30, 2011)
• Crisil rating (Long term): BBB + / Stable, Crisil rating (Short term): A1 and Fitch rating: BBB / Stable
• Nasser Munjee, Chairman: Ex- Executive Director – HDFC, instrumental in setting up IDFC & sits on the boards of many large

Indian companies

• Murali M. Natrajan, MD & CEO: worked in Standard Chartered Bank (Global Head – SME Banking), Citibank, American

Express; strong Retail Banking & SME experience in India & abroad

Robust promoter background

• DCB’s promoter, Aga Khan Fund for Economic Development (AKFED) http://www.akdn.org/akfed is present in 16 countries

employing over 30,000 people

• Promoter group holds 19.20% stake in DCB ( as on March 31, 2012)

DCB Bank – Overview

For detailed ‘Overview’, please refer to pages 29 - 33

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Financial Performance

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Highlights

INR mn Q4 FY 2012 Q4 FY 2011 Inc / (Dec) FY 2012 FY 2011 Inc / (Dec) Net Profit 173 114 52.2% 551 214 157.0% Total Income 870 794 9.5% 3,304 3,012 9.7% Operating Profit 239 220 8.7% 838 861 (2.6%) Provisions (66) (107) 38.3% (287) (646) 55.57% Cost to Income Ratio (72.49%) (72.31%)

• (74.63%)

(71.43%)

• INR mn

Mar 31, 2012 Mar 31, 2011 Deposits 63,356 56,102 CASA 20,347 19,755 Advances 52,844 42,817 INR mn Mar 31, 2012 Mar 31, 2011 CASA Ratio 32.12% 35.21% Gross NPA Ratio 4.40% 5.85% Net NPA Ratio 0.57% 0.96% Provision Coverage Ratio 91.17% 87.64% Credit/Deposit Ratio 83.41% 76.32% ROA 0.68% 0.32% ROE 8.38% 3.52%

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FY 2012 - Summary

What could have been better?

• CASA growth was weak although new

acquisitions was strong

• NIM compression in the last quarter due to

steep rise in cost of funds

• Credit / Deposit ratio is high due to tight

liquidity conditions

• Slippage in Corporate NPAs
• Cost to Income Ratio

What went well?

• Profits more than doubled
• Steady Income growth
• Diversified Fee Income
• Continued growth in Retail Deposits
• Strong growth in MSME, SME and Retail

Mortgages

• Further improvement in Gross and Net NPAs
• Coverage Ratio above 90%
• Capital raising completed in a difficult market

situation

• Permission to open branches in Tier 2 to Tier 6
• New ATMs roll out
• Stable management team

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Huge Improvement in Profits

Net Profit / Loss *

INR mn

* Net Profit / (loss) represents post tax numbers 173

156 133 88 114 Q4 FY11 Q1 FY12 Q2 FY12 Q3 FY12 Q4 FY12 383 (881) (785) 214

551 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012

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Steady improvement in Income, quality

Other Income

INR mn

Net Interest Income

INR mn

1,027

1,121 1,071 1,201 1,626 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012

299

262 231 234 292 Q4 FY11 Q1 FY12 Q2 FY12 Q3 FY12 Q4 FY12

571

597 591 519 502 Q4 FY11 Q1 FY12 Q2 FY12 Q3 FY12 Q4 FY12

2,277

1,891 1,420 1,972 1,861 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012

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Costs recycled to create new businesses

Staff Cost

INR mn

Other Cost

INR mn

1,220

1,088 1,127 1,376 1,420 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012

1,246

1,064 881 1,044 971 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012

310

317 315 304 292 Q4 FY11 Q1 FY12 Q2 FY12 Q3 FY12 Q4 FY12

321

317 298 284 282 Q4 FY11 Q1 FY12 Q2 FY12 Q3 FY12 Q4 FY12

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Cost to Income still a challenge

Operating Cost

INR mn

Operating Income

INR mn

3,304

3,012 2,491 3,173 3,487 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012

870

859 822 753 794 Q4 FY11 Q1 FY12 Q2 FY12 Q3 FY12 Q4 FY12

2,466

2,152 2,008 2,420 2,391

74.63% 71.43% 80.62% 76.27% 68.56%

FY 2008 FY 2009 FY 2010 FY 2011 FY 2012

630

634 613 588 574

72.50%

73.80% 74.62% 78.07% 72.31% Q4 FY11 Q1 FY12 Q2 FY12 Q3 FY12 Q4 FY12

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Operating Profit needs improvement, steep reduction in Provisions

Provisions

INR mn

Operating Profit

INR mn

* Provisions include provisions for NPAs, standard assets, income tax, fringe benefit tax, other assets, restructured advances etc Provisions also includes depreciation on investments and sacrifice of one time settlement 838

861 483 753 1,096 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012

239

225 209 165 220 Q4 FY11 Q1 FY12 Q2 FY12 Q3 FY12 Q4 FY12

287

646 1,268 1,634 713 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012

66

69 75 77 106 Q4 FY11 Q1 FY12 Q2 FY12 Q3 FY12 Q4 FY12

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INR mn Mar 31, 2008 Mar 31, 2009 Mar 31, 2010 Mar 31, 2011 Mar 31, 2012 CASA 14,743 14,411 16,927 19,755 20,347 Retail Term Deposits 17,502 18,132 23,056 27,085 34,320 Mortgages (sourced & acquired) 2,464 2,626 4,118 10,811 15,510 SME + Micro SME 1,673 4,483 6,004 10,219 14,362 Agri & Inclusive Banking 3,390 5,710 8,583 8,502 8,014 Corporate Banking 18,458 9,327 11,095 11,153 11,941

Growth in chosen Businesses continue

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61,367 74,129 76,220 80,478 59,430 75,775 82,610 86,769 Mar 31, 2008 Mar 31, 2009 Mar 31, 2010 Mar 31, 2011 Jun 30, 2011 Sep 30, 2011 Dec 31, 2011 Mar 31, 2012 34,597 42,817 52,844 43,064 42,344 40,688 32,740 43,1 47 M ar 31, 2008 M ar 31, 2009 M ar 31, 201 M ar 31 , 201 1 Jun 30, 201 1 Sep 30, 201 1 Dec 31 , 201 1 M ar 31, 2012

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Calibrated Growth in Balance Sheet

Total Assets

INR mn

* Net Advances – Gross advances less (net of) provisions

Net Advances*

INR mn

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Diversified Portfolio

Retail Banking - 26% Retail Banking - 40% Retail Banking - 35%

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

Portfolio* as on Mar 31, 2009 Portfolio* as on Mar 31, 2010 Portfolio* as on Mar 31, 2012

Co rpo rate B anking 32% SM E+M SM E 17% Others 3% AIB 25% C V/CE/STVL 8% M o rtgages 12% P erso nal Lo ans 3% PL/ CE/ STV L 0 .0 5% M ort gages 2 9 % Commercial V ehicle 2 % Corporate Banking 2 3 % AIB 15% Others 4 % SM E+M SM E 2 7% C V/C E/ST VL 17% A IB 17% C orporate B anking 29% SM E+M SM E 14% Others 5% P erso nal Lo ans 10% M o rtgages 8%

Portfolio* as on Mar 31, 2011

Retail Banking - 30%

SM E+M SM E 2 4 % Ot hers 3 % A IB 2 0 % Corporat e B anking 2 6 % Personal Loans 0 .2 % M ort gages 2 5% C V / CE/ STV L 2 %

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1 4,743 16,927 19,755 19,920 20,478 20,347 29,356 36,712 20,765 1 4,411 40,801 38,256 37,1 36 33,746 41 ,735 28,1 01 3,957 4,271 1,590 2,601 4,71 4 3,1 78 2,208 3,1 73 M ar 31, 2008 M ar 31 , 2009 M ar 31, 201 M ar 31, 201 1 Jun 30, 201 1 Sep 30, 201 1 Dec 31 , 2011 M ar 31 , 2011 CASA Term Deposits Other Deposits 15

Build Stable Deposit Base – Focus on CASA

INR mn Mar 31, 2008 Mar 31, 2009 Mar 31, 2010 Mar 31, 2011 Jun 30, 2011 Sep 30, 2011 Dec 31, 2011 Mar 31, 2012 51.95% 67.53% 81.54% 81.17% 81.95% 80.76% 82.91% 84.42%

Deposits

INR mn

Access to low cost stable funding source to support Advances growth without undue reliance on volatile wholesale funding Mar 31, 2008 Mar 31, 2009 Mar 31, 2010 Mar 31, 2011 Jun 30, 2011 Sep 30, 2011 Dec 31, 2011 Mar 31, 2012 24.27% 31.01% 35.36% 35.21% 33.31% 33.16% 33.08% 32.12%

Retails Deposits Vs Total Deposits CASA

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13,884 15,978 18,455 18,762 19,387 17,673 18,132 19,162 19,838 13,248 34,320 31,946 30,729 30,250 27,085 23,056 M ar 31, 2008 Mar 31, 2009 Mar 31, 2010 Mar 31, 2011 Jun 30, 2011 Sep 30, 2011 Dec 31, 2011 Mar 31, 2012 Retail CASA Retail Term Deposits

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Deposit Per Branch

Retail CASA & Retail Term Deposits

INR mn

Retail Deposits / Branch

INR mn

1 74 200 231 232 236 228 221 227 242 1 66 288 339 373 375 390 409

80 80 80

M ar 31 , 2008 M ar 31 , 2009 M ar 31 , 201 M ar 31 , 201 1 Jun 30, 201 1 Sep 30, 201 1 Dec 31 , 201 1 M ar 31 , 201 2 Retail CASA / Branch Retail Term Deposits / Branch

80 81 82 82 84 No of Branches

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48.40% 70.04% 85.55% 87.38% 91 .1 7% 66.20% 82.50% 1 00.00% 1 00.00% 1 00.00% 87.64% 87.89% 53.34% 1 00.00% 76.66% 1 00.00% 0.66% 8.78% 1 .49% 8.69% 5.85% 5.75% 5.67% 4.40% 5.90% 0.57% 3.88% 3.1 1 % 0.96% 1 .1 9% 0.97% 1 .03% M ar 31 , 2008 M ar 31 , 2009 M ar 31 , 201 M ar 31 , 201 1 Jun 30, 201 1 Sep 30, 201 1 Dec 31 , 201 1 M ar 31 , 201 2 Coverage Ratio - Bank Coverage Ratio - PL Gross NPA% Net NPA% 17

Strong Provision Coverage

INR mn Mar 31, 2008 Mar 31, 2009 Mar 31, 2010 Mar 31, 2011 Jun 30, 2011 Sep 30, 2011 Dec 31, 2011 Mar 31, 2012 Personal Loans 338 1,326 1,694 1,293 1,267 1,245 1,222 1,196 CV/CE/STVL* 71 533 599 452 426 394 350 322 Corporate 162 988 594 588 660 681 686 627 Others 63 209 305 303 270 285 306 273 Gross NPA 634 3,056 3,192 2,636 2,623 2,605 2,564 2,418 Net NPA** 270 1,270 1,076 412 504 421 443 302

Key Ratios

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

12 .6 0 % 13 .3 2 % 13 .58 % 12 .3 3 % 11.72 % 11.12 % 11.8 6 % 12 .6 6 % 12 .9 3 % 12 .9 1% 7.11% 7.2 7% 7.51% 6 .4 4 % 6 .2 4 % 5.8 3 % 6 .6 7% 6 .9 8 % 7.16 % 7.57%

10.50% 10.50% 10.50% 10.00% 9.50% 9.00% 8.50%

Y ield on A dvances C ost of Funds B ase R at e FY 2008 FY 2009 FY 2010 Q4 FY 11 FY 2011 Q1 FY 12 Q2 FY 12 Q3 FY 12 Q4 FY 12 FY 2012

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Net Interest Margin Yield on Advances, Base Rate & Cost of Funds

3.25% 3.12% 3.37% 3.41% 3.10% 3.13% 3.15% 2.79% 2.86% 3.03% FY 2008 FY 2009 FY 2010 Q4 FY11 FY 2011 Q1 FY12 Q2 FY12 Q3 FY12 Q4 FY12 FY 2012

Yield, Cost of Funds and NIM

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Capital Adequacy Ratios

DCB Bank raised approximately INR 940 million through QIP and INR 988 million via Preferential Allotment to increase its Tier I Capital

Capital Adequacy Ratios – Basel II

1 1 .50% 1 1 .1 0% 1 1 .07% 1 1.23% 1 3.81 % 1 .80% 2.92% 2.1 5% 1 .85% 1 .87% 1 .85% 1 1 .1 5% 1 1 .93% 1 .60% 1 3.30% 1 4.85% 1 3.25% 1 2.92% 1 3.1 0% 1 3.00% 1 5.41 % M ar 31 , 2009 M ar 31 , 201 M ar 31 , 201 1 Jun 30, 201 1 Sep 30, 201 1 Dec 31 , 201 1 M ar 31 , 201 2

T ier I T ier II

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Other Income

299 23 ‐ 21 (13) 26 243 Q4FY12 INR mn FY 2008 FY 2009 FY 2010 FY 2011 Q1FY12 Q2FY12 Q3FY12 FY 2012 Commission, exchange and brokerage 845 768 664 661 170 173 202 787 Sale of investments 15 20 178 253 48 25 18 118 Sale of land, buildings and other assets 102 47 (3) 11 (14) (1) (0) (28) Exchange transactions 229 224 64 90 21 9 19 69 Lease income 7 ‐ 9 ‐ ‐ ‐ ‐ ‐ Miscellaneous income 428 142 159 106 10 25 23 82 Total 1,626 1,201 1,071 1,121 235 231 262 1,027

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Treasury

INR mn Mar 31, 2008 Mar 31, 2009 Mar 31, 2010 Mar 31, 2011 Mar 31, 2012 SLR 17,145 12,675 15,789 17,512 20, 219 Non-SLR 4,201 3,542 4,390 5,439 4,959 Total Investments * 21,346 16,217 20,179 22,951 25,178 HTM 7,688 10,808 16,890 18,847 20,845 AFS 12,585 4,630 3,263 3,029 3,541 HFT 1,072 779 26 1,075 792 Total Investments * 21,346 16,217 20,179 22,951 25,178

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

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Balance Sheet

INR mn Mar 31, 2008 Mar 31, 2009 Mar 31, 2010 Mar 31, 2011 Jun 30, 2011 Sep 30, 2011 Dec 31, 2011 Mar 31, 2012 CASA 14,743 14,411 16,927 19,755 19,920 20,765 20,478 20,347 Other Deposits 46,006 32,058 30,946 36,347 39,885 41,850 41,434 43,009 Total Deposits 60,749 46,469 47,873 56,102 59,805 62,615 61,912 63,356 CASA Ratio 24.27% 31.01% 35.36% 35.21% 33.31% 33.16% 33.08% 32.12% INR mn Mar 31, 2008 Mar 31, 2009 Mar 31, 2010 Mar 31, 2011 Jun 30, 2011 Sep 30, 2011 Dec 31, 2011 Mar 31, 2012 Shareholder’s Equity 6,343 5,957 5,990 6,187 6,273 6,405 6,561 8,585 Deposits 60,749 46,469 47,873 56,102 59,805 62,615 61,912 63,356 Borrowings 1 4,268 3,455 5,035 8,607 7,238 8,464 10,455 11,235 Other Liabilities & Provisions 1 4,361 3,523 2,447 3,205 2,876 2,965 3,652 3,565 Cash, Inter-bank, etc 10,615 6,534 3,324 4,871 6,407 5,995 7,643 4,566 Investments 21,346 16,217 20,179 22,951 24,274 27,656 27,246 25,178 Advances 40,688 32,740 34,597 42,817 42,344 43,147 43,064 52,844 Fixed Assets 998 1,489 1,358 1,275 1,238 1,227 1,223 1,846 Other Assets 2,128 2,450 1,909 2,215 1,957 2,454 3,433 2,335 Credit Deposit Ratio 66.98% 70.46% 72.27% 76.32% 70.80% 68.91% 69.56% 83.41%

1 : Subordinated debt included in borrowings since March 31, 2010 as per RBI guidelines, same included in other liabilities and provisions in earlier periods

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Profit & Loss

INR mn FY 2008 FY 2009 FY 2010 Q4 FY11 FY 2011 Q1 FY12 Q2 FY12 Q3 FY12 Q4 FY12 FY 2012 Net Interest Income 1,861 1,972 1,420 502 1,891 519 591 597 571 2,277 Other Income 1,626 1,201 1,071 292 1,121 234 231 262 299 1,027 Operating Income 3,487 3,173 2,491 794 3,012 753 822 859 870 3,304 Operating Expenses (2,391) (2,420) (2,008) (574) (2,152) (588) (614) (634) (630) (2,466) Operating Profit 1,096 753 483 220 860 165 208 225 239 838 Total Provisions (713) (1,634) (1,268) (107) (646) (77) (75) (69) (66) (287) PAT 383 (881) (785) 113 214 88 133 156 173 551 Cost Income Ratio 68.56% 76.27% 80.62% 72.31% 71.43% 78.07% 74.62% 73.80% 72.49% 74.63%

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Business Strategy

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84 Branches, Strong Presence in the Western Region

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

Existing Branches 84 New Licenses 8 DCB ATMs 320 **Network 35,000 + ANDHRA PRADESH: (10)

• Hyderabad (8)
• Warangal (2)

GOA: (4)

• Mapusa (1)
• Margao (1)
• Panaji (1)
• Vasco -Da-Gama (1)

GUJARAT: (16)

• Ahmedabad (3)
• Ankleshwar (1)
• Bhuj (1)
• Daman (1)
• Dediapada (1)
• Gandhinagar (1)
• Mandvi (1)
• Netrang (1)
• Rajkot (1)
• Sidhpur (1)
• Silvassa (1)
• Surat (1)
• Vadodra (1)
• Vapi (1)

HARYANA: (1)

• Gurgaon (1)

KARNATAKA: (4)

• Bengaluru (4)

MADHYA PRADESH: (1)

• Itarsi (1)

MAHARASHTRA: (35)

• Aurangabad (1)
• Mumbai & Its Suburbs (28)
• Nanded (1)
• Nashik (1)
• Pune (4)

NEW DELHI: (6)

• Chandni Chowk (1)
• Connaught Place (1)
• Greater Kailash II (1)
• Kapashera Road (1)
• Kondli (1)
• Preet Vihar (1)

ORISSA: (1)

• Bargarh (1)

RAJASTHAN: (1)

• Jodhpur (1)

TAMIL NADU: (2)

• Chennai (2)

WEST BENGAL: (3)

• Kolkata (3)

May-11:DCB Bank received permission from Reserve Bank of India to open 10 new branches (6 - metros and 4 - Semi urban / Rural)

Branch Network

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Products & Services

Retail Banking

Deposit Products:

• Current and Savings
• Term Deposits
• NRI Deposits
• Corporate Salary
• POS Terminals
• Lockers

Cards:

• ATM Card
• Debit Card
• Travel Card****
• Secured Card
• Credit Card*
• Co-branded Prepaid Card**

Payments:

• Remittances
• Bill / Utility Payments
• RTGS / NEFT
• On-line Share Trading/Demat
• Tax Payments
• Visa Money Transfer

Loans:

• Auto Loans*
• Commercial Vehicle*
• Construction Equipment*
• Gold Loans
• Home Loans
• Loan Against Property
• Loan Against Shares
• Tractor Loans

Wealth Management:

• Investment Advice
• Mutual Funds
• Life Insurance and General

Insurance Services:

• 24/7 Phone Banking
• Any Branch Banking

Privilege Banking Internet Banking Mobile Banking

SME, Corporate Banking, NBFCs, Co-operative Banks

• Current Account
• Trade Current Account
• Working Capital
• Term Loans
• Supply Chain
• Portfolio Buyout
• Import /Export
• Bills Collection
• Foreign Exchange
• Letters of Credit
• Guarantees
• Statutory Reserves Management
• Liquidity Management
• Trading in Government Securities
• Foreign Exchange
• Corporate Bonds
• CDs
• Equity Investment

Treasury, NBFCs, Co-operative Banks

• Cash Management***
• RTGS /NEFT
• Internet Banking

DCB offers a comprehensive range of products and services

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

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Business Strategy Grow Micro SME, SME, Retail Mortgages, mid - Corporate and Agri & Inclusive

Banking with a “customer centric approach”. Concentrate on secured lending & diversified portfolio

Treasury – Liquidity management, opportunity for gains within acceptable

risks

Relentless focus on Costs / Income Ratio and Service Stringent mechanism for managing Credit and Operational risks Continuously improve people quality and delivery

• Retail – branch centric

Low cost deposits (CASA / Term) Secured lending (Home loans, Loan against property, Loan Against Term

Deposit)

Micro SME Traditional customer base Third party fee income

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Overview

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Key Milestones

In Existence Since 1930s

1981

Amalgamation of

Masalawala Co-

• perative Bank and

Ismailia Co-

• perative Bank into

Development Co-

• perative Bank Ltd.

1984

Multi-State Co-

• perative Bank

1995

Conversion to

Development Credit Bank Ltd.

Secured Foreign

Exchange License & became an Authorized Dealer 1988

Acquired

“Scheduled” status from Reserve Bank of India 2004

Classified as a

“New Generation Private Sector Bank” by the RBI 2006

IPO

Tier I Capital Raising

2006

Private Equity

investment of INR 519.9 mn by HDFC and Khattar Holdings and

• thers in

February 2006 2006

Raised INR 1.86 bn

through IPO, issue

• versubscribed

35 times 2009

Raised INR 810 mn

through QIP in November 2009 subscribed by life insurance companies, mutual funds and FIIs 2005

Private Equity

Investment by AKFED (Principal Promoter) of INR 1.38 bn in March 2005 2007

Preferential

Allotment of INR 2.8 bn in Aug 2007 to Al Bateen, TATA Capital, DCB Investments (SVG Capital) and others

29

2012

Raised INR 940 mn

through QIP and INR 988 mn through Preferential Allotment

in March 2012 subscribed by life insurance companies, mutual funds and PEs.

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Aga Khan Fund for Economic Development

Strong Investor Profile

Key non-promoter shareholders

• Tano Mauritius India FVCI II : 3.42%
• The South India Bank Ltd : 3.32%
• Al Bateen Investment Co LLC: 3. 07%
• Tata Capital Financial Services Ltd: 2.74%
• TVS Shriram Growth Fund India : 2.61%
• WCP Holdings III : 2.55%
• DCB Investments Ltd. (SVG Capital): 2.20%
• Bajaj Allianz Life Insurance Company Ltd.: 1.74%
• HDFC Ltd: 1.68%
• Satpal Khattar & Shareen Khattar: 1.35%
• Birla Sun Life Insurance Company Ltd.: 1.30%
• ICICI Prudential Life Insurance Company Ltd.:1.29%
• Sundaram

Mutual Fund A/c Sundaram Equity Multiplier : 1.19%

• Girdharilal Lakhi: 1.05%

Shareholding Pattern

Shareholding Pattern (March 31, 2012)

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

economically sound companies

• AKFED operates as a network of affiliates with more than 90 separate project companies employing over

30,000 people. The Fund is active in 16 countries in the developing world

*AKFED – Aga Khan Fund for Economic Development and PJI – Platinum Jubilee Investment Ltd. **Includes Clearing Members (1.39%), Non Resident Indians (2.47%), Foreign Corporate Bodies (7.83%), Directors and their relatives (0.04%) ***Institutions includes 9.63% held by FII

Bodies Corporate 10.24% Individuals 37.00% Others (Non- Institutions)** 11.73% ***Institutions 21.83% *AKFED and PJI 19.20%

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Sukh Dev Nayyar

• Associated with ANZ Grindlays Bank plc

for over 30 yrs. Last assignment with Grindlays as Head - Corporate Banking & Investment Banking. Independent Director

• n the boards of Diamond Trust Bank

Kenya and Greaves Cotton Nasim Devji

• Fellow of the Institute of Chartered

Accountants of England & Wales (FCA). Currently working as Managing Director of Diamond Trust Bank Kenya & Group CEO

• f Diamond Trust Banks in East Africa

Suhail Nathani

• Founder Partner of Economic Laws

Practice, a law firm. Serves as an Independent Director on the Board of Phoenix Mills, India Advisory Board of Duke University etc. Nasser Munjee Non- Executive Chairman

• Ex- Executive Director – HDFC,

instrumental in setting up IDFC. Sits on 15 corporate Boards in India including HDFC, Tata Motors etc Amir Sabuwala

• Specializes in Small Scale Industries. Set

up several small-scale industries over the past 32 years which include - Premier Chemicals, Asian Industries, Life Technologies, etc Darius Udwadia

• Solicitor & Advocate of the Bombay High

Court and Solicitor of the Supreme Court

• f England and Wales. Founder Partner of

Udwadia & Udeshi. Independent Director

• n the Boards of several corporate entities

Amin Manekia Pioneered in concept of automatic beverage vending machines in India. More than 20 years in various capacities in different institutions of the AKDN for the social-economic upliftment of the poor. Rajab Momin

• Bachelor of Commerce and Fellow of

Institute of Chartered Accountants of India. Experience in the field of accounting and audit Narayan Seshadri

• Specialization in the field of agriculture,

SSI & Rural economy. Corporate consultant and is on the Board of a number of companies

Experienced Board

Murali M. Natrajan Managing Director & CEO

• Standard Chartered Bank, Citibank,

American Express – *29 yrs exp.

* Worked in India & Abroad

Altaf Jiwani With expertise in Foreign Exchange, Risk Management and Trade Finance. He is Currently in-charge of two business segments namely power and carbo- chemical.

Private & Confidential

32

Gaurav Mehta Head – Marketing, Corporate Communication & Public Relations HSBC India, Convergys, GE Capital and Taj Group of Hotels – 17 yrs exp.

Strong Management Team

Murali M. Natrajan Managing Director & CEO Standard Chartered Bank, Citibank, American Express – *29 yrs exp. Praveen Kutty Head – Retail& SME Banking Citibank – *21 yrs exp. Rajesh Verma Head - Treasury & Corporate Banking

State Bank of India – *33 yrs exp.

* Worked in India & Abroad

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

• R. Venkattesh

Head - HR, IT & Operations Standard Chartered Bank, ANZ Grindlays Bank, Hindustan Petroleum – 22 yrs exp. Abhijit Bose Head – Retail Assets & Strategic Alliances Standard Chartered Bank, Citibank, Eldeco Housing Industries and GIC Housing – *20 yrs exp. Ravi Kumar Chief Internal Auditor Samba Financial Group, Ernst & Young – *15 yrs exp. Manoj Joshi Business Head – SME & MSME Banking ICICI Bank, Epcos Ferrites and Uniworth Group – 17 yrs exp. Narendranath Mishra Head - AIB ICICI Bank and Rallis India – 13 yrs exp.

• J. K Vishwanath

Chief Credit Officer Fullerton India, Citigroup and Eicher Group – 19 yrs exp. Sachin Patange Chief Compliance Officer Reserve Bank of India – 22 yrs exp. Hemant Barve Company Secretary Ritchie Steuart Investments and Union Bank of India – 38 yrs exp. Sridhar Seshadri Financial Controller ICICI Bank, Syndicate Bank and State Bank of India – 30 yrs exp.

Private & Confidential

33

Feb 28, 2009 Jul 31, 2009 Sep 30, 2011 CRISIL

• Long Term
• BBB/Stable

BBB +/Stable

• Short Term

P1 P1 A1 FITCH BBB/Negative BBB/Negative BBB/Stable Brickworks

• BWR A-/Stable

BWR A-/Stable

Ratings

Private & Confidential

34

Thank you