Tata Power Company

12 mths Sources Of Funds Total Share Capital Equity Share Capital Share Application Money Preference Share Capital Reserves Revaluation Reserves Networth Secured Loans Unsecured Loans Total Debt Total Liabilities 237.33 237.33 0.00 0.00 13,083.68 0.00 13,321.01 4,951.27 2,681.84 7,633.11 20,954.12 Mar '12 12 mths Application Of Funds Gross Block Less: Accum. Depreciation Net Block Capital Work in Progress Investments Inventories Sundry Debtors Cash and Bank Balance Total Current Assets Loans and Advances Fixed Deposits Total CA, Loans & Advances Deffered Credit Current Liabilities Provisions Total CL & Provisions Net Current Assets Miscellaneous Expenses Total Assets 12,494.72 5,297.02 7,197.70 585.37 9,792.68 854.47 1,196.63 1,087.35 3,138.45 4,267.10 0.00 7,405.55 0.00 3,160.52 866.66 4,027.18 3,378.37 0.00 20,954.12 10,518.92 4,735.98 5,782.94 1,469.50 7,939.91 629.57 1,974.32 235.11 2,839.00 2,571.53 602.18 6,012.71 0.00 2,273.30 702.49 2,975.79 3,036.92 0.00 18,229.27 10,010.80 4,258.06 5,752.74 476.21 6,688.62 589.36 1,976.31 66.97 2,632.64 2,205.44 1,210.67 6,048.75 0.00 1,767.97 702.57 2,470.54 3,578.21 0.00 16,495.78 8,985.86 3,795.32 5,190.54 761.16 5,443.47 644.14 1,587.97 45.50 2,277.61 2,493.82 0.00 4,771.43 0.00 1,624.05 651.99 2,276.04 2,495.39 0.00 13,890.56 6,481.99 3,476.50 3,005.49 1,681.74 4,430.00 473.61 1,414.52 28.70 1,916.83 2,039.90 0.00 3,956.73 0.00 1,354.03 585.44 1,939.47 2,017.26 1.69 11,136.18 237.33 237.33 0.00 0.00 11,002.66 0.00 11,239.99 4,753.91 2,235.37 6,989.28 18,229.27 Mar '11 12 mths 237.33 237.33 0.00 0.00 10,295.03 0.00 10,532.36 4,105.38 1,858.04 5,963.42 16,495.78 Mar '10 12 mths 221.44 221.44 0.00 0.00 8,422.06 0.00 8,643.50 3,931.71 1,315.35 5,247.06 13,890.56 Mar '09 12 mths 220.72 220.72 60.99 0.00 7,771.12 0.00 8,052.83 2,331.09 752.26 3,083.35 11,136.18 Mar '08 12 mths 12 mths 12 mths 12 mths 12 mths

Contingent Liabilities Book Value (Rs)

839.10 56.13

1,165.53 473.65

849.43 443.83

978.44 390.36

1,231.68 362.11

Profit & Loss account of Tata Power Company Mar '12 12 mths Income Sales Turnover Excise Duty Net Sales Other Income Stock Adjustments Total Income Expenditure Raw Materials Power & Fuel Cost Employee Cost Other Manufacturing Expenses Selling and Admin Expenses Miscellaneous Expenses Preoperative Exp Capitalised Total Expenses 8,578.78 16.64 8,562.14 983.46 0.00 9,545.60 21.34 0.00 512.65 5,685.21 66.30 492.01 0.00 6,777.51 Mar '12 12 mths Operating Profit 1,784.63

------------------- in Rs. Cr. ------------------Mar '11 12 mths Mar '10 12 mths Mar '09 12 mths Mar '08 12 mths

6,910.23 8.78 6,901.45 563.93 0.00 7,465.38 4,360.49 0.00 341.12 396.38 153.16 131.94 0.00 5,383.09 Mar '11 12 mths 1,518.36

7,105.77 1.55 7,104.22 298.13 0.00 7,402.35 4,353.68 0.00 305.29 305.61 155.16 98.38 -0.52 5,217.60 Mar '10 12 mths 1,886.62

7,257.65 0.60 7,257.05 651.62 -0.07 7,908.60 5,360.08 0.00 291.90 246.32 129.72 103.11 -3.15 6,127.98 Mar '09 12 mths 1,129.00

5,909.78 0.18 5,909.60 517.73 -0.74 6,426.59 4,299.95 0.00 249.69 241.47 130.09 56.19 -2.22 4,975.17 Mar '08 12 mths 933.69

PBDIT Interest PBDT Depreciation Other Written Off Profit Before Tax Extra-ordinary items PBT (Post Extra-ord Items) Tax Reported Net Profit Total Value Addition Preference Dividend Equity Dividend Corporate Dividend Tax Per share data (annualised) Shares in issue (lakhs) Earning Per Share (Rs) Equity Dividend (%) Book Value (Rs)

2,768.09 514.87 2,253.22 570.35 0.00 1,682.87 -9.10 1,673.77 511.97 1,169.73 6,756.17 0.00 296.92 39.75 23,730.72 4.93 125.00 56.13

2,082.29 459.80 1,622.49 510.14 0.00 1,112.35 18.48 1,130.83 189.34 941.49 1,022.60 0.00 296.92 16.27 2,373.07 39.67 125.00 473.65

2,184.75 420.64 1,764.11 477.94 0.00 1,286.17 -0.09 1,286.08 320.72 947.65 863.92 0.00 285.05 37.98 2,373.07 39.93 120.00 443.83

1,780.62 325.73 1,454.89 328.85 4.88 1,121.16 16.43 1,137.59 210.91 922.20 767.90 0.00 255.98 31.75 2,214.24 41.65 115.00 390.36

1,451.42 171.82 1,279.60 290.50 5.01 984.09 32.13 1,016.22 132.35 869.90 675.22 0.00 241.38 26.95 2,207.00 39.42 105.00 362.11

Cash Flow of Tata Power Company Mar '12 12 mths Net Profit Before Tax Net Cash From Operating Activities Net Cash (used in)/from Investing Activities Net Cash (used in)/from Financing Activities Net (decrease)/increase In Cash and Cash Equivalents Opening Cash & Cash Equivalents Closing Cash & Cash Equivalents 1682.87 620.84 -1664.56 1249.73 206.01 835.04 1041.05

------------------- in Rs. Cr. ------------------Mar '11 12 mths 1112.35 1674.51 -2623.36 473.37 -475.48 1318.95 843.47 Mar '10 12 mths 1259.26 1352.85 -1873.20 1793.80 1273.45 45.50 1318.95 Mar '09 12 mths 1116.68 648.61 -2220.52 1588.71 16.80 28.70 45.50 Mar '08 12 mths 970.12 1126.25 -2541.14 440.88 -974.01 1002.71 28.70

Key Financial Ratios of Tata Power Company

Mar '12 Investment Valuation Ratios Face Value Dividend Per Share Operating Profit Per Share (Rs) Net Operating Profit Per Share (Rs) Free Reserves Per Share (Rs) Bonus in Equity Capital Profitability Ratios Operating Profit Margin(%) Profit Before Interest And Tax Margin(%) Gross Profit Margin(%) Cash Profit Margin(%) Adjusted Cash Margin(%) Net Profit Margin(%) Adjusted Net Profit Margin(%) Return On Capital Employed(%) Return On Net Worth(%) Adjusted Return on Net Worth(%) Return on Assets Excluding Revaluations Return on Assets Including Revaluations Return on Long Term Funds(%) Liquidity And Solvency Ratios Current Ratio Quick Ratio Debt Equity Ratio Long Term Debt Equity Ratio Debt Coverage Ratios Interest Cover Total Debt to Owners Fund Financial Charges Coverage Ratio Financial Charges Coverage Ratio Post Tax Management Efficiency Ratios 1.00 1.25 7.52 36.08 -0.57 0.47 20.84 12.72 14.18 18.24 18.24 12.25 12.25 10.48 8.78 8.78 56.13 56.13 10.88 1.54 1.63 0.57 0.52 4.27 0.57 5.38 4.38

Mar '11

Mar '10

Mar '09

Mar '08

10.00 12.50 63.98 290.82 399.41 0.47 22.00 13.68 14.60 18.10 18.10 12.78 12.78 8.07 8.37 7.32 473.65 473.65 8.39 1.56 1.81 0.62 0.56 3.53 0.62 4.31 4.16

10.00 12.00 78.37 299.37 372.15 0.47 26.17 18.78 19.44 18.63 18.63 12.88 12.88 9.90 8.99 8.47 443.83 443.83 9.94 2.39 2.17 0.57 0.55 4.02 0.57 5.02 4.39

10.00 11.50 50.79 327.74 308.95 0.51 15.49 10.63 10.96 10.88 10.88 12.32 12.32 7.32 10.66 5.56 390.36 390.36 7.67 1.64 1.77 0.61 0.53 3.33 0.61 4.15 4.86

10.00 10.50 41.67 267.77 278.20 0.51 15.56 10.38 10.64 12.65 12.65 14.35 14.35 6.96 10.88 5.90 362.04 362.04 7.18 1.78 1.75 0.39 0.34 4.63 0.39 6.23 7.78

Inventory Turnover Ratio Debtors Turnover Ratio Investments Turnover Ratio Fixed Assets Turnover Ratio Total Assets Turnover Ratio Asset Turnover Ratio Average Raw Material Holding Average Finished Goods Held Number of Days In Working Capital Profit & Loss Account Ratios Material Cost Composition Imported Composition of Raw Materials Consumed Selling Distribution Cost Composition Expenses as Composition of Total Sales Cash Flow Indicator Ratios Dividend Payout Ratio Net Profit Dividend Payout Ratio Cash Profit Earning Retention Ratio Cash Earning Retention Ratio AdjustedCash Flow Times

10.04 5.40 10.04 0.69 0.41 0.69 --142.05 0.24 -0.77 7.37 28.78 19.34 71.25 80.67 4.38 Mar '12

17.79 3.49 17.79 0.66 0.38 0.66 --158.41 63.18 -0.88 1.70 33.26 21.57 61.97 76.52 5.24

18.98 3.99 18.98 0.71 0.43 0.71 --181.32 61.28 -0.74 0.78 34.08 22.65 63.82 76.44 4.35

15.49 4.83 15.49 0.81 0.52 0.81 --123.79 73.86 -0.67 4.47 31.20 22.90 40.16 64.68 6.44

18.70 4.09 18.70 0.91 0.53 0.91 --122.89 72.76 -0.59 0.31 30.84 23.02 43.09 65.02 4.02

Mar '11 39.67 473.65

Mar '10 39.93 443.83

Mar '09 41.65 390.36

Mar '08 39.42 362.11

Earnings Per Share Book Value

4.93 56.13

Capital Structure (Tata Power Company) Period From 2010 To 2011 Equity Share Instrument Authorized Capital
(Rs. cr)

Issued Capital
(Rs. cr)

-PAIDUPShares (nos) 237307236 Face Value 10 Capital 237.31

300

242.95

2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 1995 1994 1993 1992 1991 1990 1989 1988 1987 1986 1985 1984 1983

2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 1995 1994 1993 1992 1991 1990 1989 1988 1987 1986 1985 1984

Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share

300 300 300 300 300 300 229 229 229 229 229 229 229 229 229 229 229 59 59 26 26 26 26 26 16.25 16.25 16.25

242.95 227.06 226.34 203.54 203.54 203.54 203.54 203.54 203.54 203.54 115.68 115.68 115.68 115.68 110 110 102.23 48.73 20.52 20.52 20.52 20.46 20.45 20.45 15.89 15.88 15.95

237307236 221424443 220700162 197897864 197897864 197897864 197897864 197897864 197897864 197897864 115519248 115659778 115684378 115684378 110004790 110003390 5536627 4873359 2051625 2051625 2051625 2045750 2045445 2045340 1588735 1587935 1595275

10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 100 100 100 100 100 100 100 100 100 100 100

237.31 221.42 220.7 197.9 197.9 197.9 197.9 197.9 197.9 197.9 115.52 115.66 115.68 115.68 110 110 55.37 48.73 20.52 20.52 20.52 20.46 20.45 20.45 15.89 15.88 15.95

1981 1980 1975 1967 1961 1955 1953 1919

1982 1981 1980 1968 1967 1961 1954 1920

Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share

16.25 7.5 7.5 6 6 6 7.5 6

15.95 6.8 6.8 5.67 5.15 5.15 20.15 3.65

1595275 680275 680275 566896 51536 51536 36536 36536

100 100 100 100 1000 1000 1000 200

15.95 6.8 6.8 5.67 5.15 5.15 3.65 0.73

Balance Sheet

JK Pharmachem Ltd.
Particulars SOURCES OF FUNDS + Share Capital Share warrants & Outstandings + Total Reserve Shareholder's Funds + + Secured Loans Unsecured Loans Total Debts Total Liabilities APPLICATION OF FUNDS : Gross Block Less: Accumulated Depreciation Less: Impairment of Assets Net Block Lease Adjustment A/c Capital Work in Progress Pre-operative Expenses pending Assets in transit + Investments Current Assets, Loans & Advances + + Inventories Sundry Debtors Cash and Bank Other Current Assets Loans and Advances Total Current Assets 31.49 0.25 0.89 17.89 12.21 62.72 96.92 26.56 3.91 27.16 17.05 171.59 104.26 169.97 2.25 23.18 14.79 314.44 71.86 184.47 9.96 25.75 18.19 310.23 80.00 120.68 8.23 26.42 12.85 248.18 1918.04 856.37 0 1061.67 0 0 0 0 1.13 1924.92 856.47 0 1068.45 0 0 0 0 1.13 1916.60 757.66 0 1158.93 0 0.33 0 0 1.13 1905.08 661.69 0 1243.38 0 0.79 0 0 1.13 1895.11 564.40 0 1330.71 0 14.80 0 0 1.13 940.02 0.00 -1001.01 -60.99 1052.28 58.51 1110.79 1049.80 940.02 0.00 -876.23 63.79 996.85 70.43 1067.28 1131.07 940.02 0.00 -502.38 437.63 920.11 80.64 1000.75 1438.39 940.02 0.00 -446.01 494.01 947.21 81.19 1028.40 1522.41 940.02 0.00 -554.35 385.67 991.78 76.53 1068.31 1453.97 Sep 2005 Sep 2004 Sep 2003 Sep 2002 Sep 2001

Less : Current Liabilities and Provisions + + Current Liabilities Provisions Total Current Liabilities Net Current Assets Miscellaneous Expenses not written off Deferred Tax Assets Deferred Tax Liability Deferred Tax Assets / Liabilities Total Assets Contingent Liabilities 75.10 0.63 75.73 -13.00 0 0.00 0.00 0 1049.80 0 107.44 6.02 113.46 58.13 3.36 0.00 0.00 0 1131.07 0 113.02 6.25 119.27 195.18 7.66 271.37 196.21 75.16 1438.39 0 115.51 5.58 121.09 189.14 12.80 271.37 196.21 75.16 1522.41 0 161.96 4.65 166.61 81.57 25.75 0.00 0.00 0 1453.97 0

Profit & Loss

JK Pharmachem Ltd.
BSE Code ISIN Demat Book Value Particulars No of Months + Gross Sales Less :Inter divisional transfers Less: Sales Returns Less: Excise Net Sales EXPENDITURE : + + Increase/Decrease in Stock Raw Materials Consumed Power & Fuel Cost Employee Cost + Other Manufacturing Expenses 52.15 1.63 5.59 13.66 4.39 -10.76 215.69 191.23 38.29 46.18 -34.35 341.24 258.13 38.79 55.72 7.12 351.66 220.29 39.03 60.24 2.46 307.46 210.95 33.58 53.72 500218 INE335C01018 -6.51 NSE Code Dividend Yield % Market Cap Sep 2005 12 61.28 0 0 8.99 52.28 Sep 2004 12 445.94 0 0 62.24 383.70 NA 0.00 112.21 Sep 2003 12 906.37 0 0 122.88 783.49 P/E EPS Face Value Sep 2002 12 1100.38 0 0 147.13 953.25 0.00 -1.31 10 Sep 2001 12 815.86 0 0 112.46 703.40

General and Administration Expenses Selling and Distribution Expenses Miscellaneous Expenses Less: Pre-operative Expenses Capitalised Total Expenditure Operating Profit (Excl OI) + Other Income Interest Dividend Profits on sale of FA Profits on sale of

3.69 0.60 16.43 0 98.14 -45.86 4.48 0.47 0 0

10.05 1.88 34.64 0 527.20 -143.50 3.52 0.34 0 0

8.75 1.52 23.91 0 693.72 89.77 7.67 0.44 0 0

9.38 3.28 53.74 0 744.74 208.51 7.62 0.19 0 0

10.75 2.26 30.52 0 651.71 51.69 2.63 0.60 0 0

Balance sheet
Mar ' 11 Mar ' 10 Mar ' 09

(Rs crore) Mar ' 08 Mar ' 07

Sources of funds
Owner's fund

Equity share capital

34.05

34.05

28.98

26.54

17.82

Share application money

44.65

44.65

6.02

Preference share capital

Reserves & surplus

452.23

408.50

278.07

215.82

99.78

Loan funds
Secured loans 339.75 395.97 257.44 60.22 9.12

Unsecured loans

247.22

224.50

292.18

252.81

Total

1,117.90

1,107.67

856.67

555.39

132.74

Uses of funds
Fixed assets

Gross block

367.98

364.39

301.37

67.41

16.59

Less : revaluation reserve

Mar ' 11

Mar ' 10

Mar ' 09

Mar ' 08

Mar ' 07

Less : accumulated depreciation

126.07

73.71

35.76

8.12

4.95

Net block

241.91

290.69

265.62

59.29

11.65

Capital work-in-progress

194.02

206.55

31.44

119.30

10.91

Investments

2.49

2.05

2.08

2.05

Net current assets

Current assets, loans & advances 1,100.37 1,008.03 737.52 411.97 151.69

Less : current liabilities & provisions

420.88

399.64

179.99

38.70

43.12

Total net current assets

679.49

608.39

557.53

373.27

108.57

Miscellaneous expenses not written

1.49

1.61

Total

1,117.90

1,107.67

856.67

555.39

132.74

Notes:
Book value of unquoted investments 2.24 2.05 2.08 2.05 -

Market value of quoted investments

0.28

Contingent liabilities

147.30

269.60

800.09

Number of equity sharesoutstanding (Lacs)

340.49

340.49

289.77

265.35

178.19

Profit loss account

Mar ' 11 Mar ' 10 Mar ' 09 Mar ' 08

(Rs crore) Mar ' 07

Income
Operating income 597.05 580.11 375.89 183.35 63.52

Expenses
Material consumed 228.84 212.86 117.82 59.54 41.37

Manufacturing expenses

184.13

129.37

99.16

66.75

Personnel expenses

10.55

7.76

8.18

3.11

2.48

Selling expenses

1.26

0.06

0.14

1.17

0.29

Adminstrative expenses

16.13

13.05

11.85

4.07

2.17

Expenses capitalised

Cost of sales

440.92

363.10

237.14

134.64

46.30

Operating profit

156.13

217.01

138.75

48.71

17.21

Other recurring income

1.05

1.08

0.16

0.20

0.88

Adjusted PBDIT

157.18

218.09

138.91

48.91

18.09

Financial expenses

61.03

44.76

22.01

3.96

1.67

Mar ' 11

Mar ' 10

Mar ' 09

Mar ' 08

Mar ' 07

Depreciation

52.37

47.76

27.72

3.18

1.68

Other write offs

1.65

0.37

0.01

Adjusted PBT

43.79

125.57

87.53

41.40

14.72

Tax charges

-15.23

42.88

20.01

8.30

1.32

Adjusted PAT

59.01

82.69

67.52

33.09

13.41

Non recurring items

8.08

-23.88

-2.01

-0.36

0.05

Other non cash adjustments

-1.28

6.23

-17.39

Reported net profit

65.81

65.04

48.11

32.73

13.46

Earnigs before appropriation

223.62

161.79

101.53

53.47

20.74

Equity dividend

3.40

3.40

3.02

Preference dividend

Dividend tax

0.57

0.57

0.51

Retained earnings

219.65

157.82

98.00

53.47

20.74

Nestle India
Balance Sheet of Nestle India Dec '11 12 mths Sources Of Funds Total Share Capital Equity Share Capital Share Application Money Preference Share Capital Reserves Revaluation Reserves Networth Secured Loans Unsecured Loans Total Debt Total Liabilities 96.42 96.42 0.00 0.00 1,177.54 0.00 1,273.96 0.84 970.03 970.87 2,244.83 Dec '11 12 mths Application Of Funds Gross Block Less: Accum. Depreciation Net Block Capital Work in Progress Investments Inventories Sundry Debtors Cash and Bank Balance Total Current Assets Loans and Advances Fixed Deposits Total CA, Loans & Advances Deffered Credit Current Liabilities Provisions Total CL & Provisions 2,552.21 976.46 1,575.75 1,418.64 134.37 734.04 115.42 25.55 875.01 256.36 201.66 1,333.03 0.00 1,113.13 1,103.83 2,216.96 1,854.70 841.96 1,012.74 348.91 150.68 575.95 63.29 19.45 658.69 200.17 235.84 1,094.70 0.00 843.68 907.94 1,751.62 1,640.79 744.59 896.20 79.63 203.26 498.74 64.19 26.73 589.66 184.85 128.86 903.37 0.00 666.39 834.79 1,501.18 1,404.85 651.85 753.00 109.17 34.90 434.91 45.59 12.66 493.16 162.67 181.03 836.86 0.00 582.44 677.32 1,259.76 1,179.77 577.96 601.81 73.70 94.40 401.22 53.49 15.75 470.46 186.23 22.01 678.70 0.00 529.51 497.79 1,027.30 96.42 96.42 0.00 0.00 759.00 0.00 855.42 0.00 0.00 0.00 855.42 Dec '10 12 mths 96.42 96.42 0.00 0.00 484.85 0.00 581.27 0.00 0.00 0.00 581.27 Dec '09 12 mths 96.42 96.42 0.00 0.00 376.93 0.00 473.35 0.82 0.00 0.82 474.17 Dec '08 12 mths 96.42 96.42 0.00 0.00 322.01 0.00 418.43 2.87 0.00 2.87 421.30 Dec '07 12 mths ------------------- in Rs. Cr. ------------------Dec '10 12 mths Dec '09 12 mths Dec '08 12 mths Dec '07 12 mths

Net Current Assets Miscellaneous Expenses Total Assets Contingent Liabilities Book Value (Rs)

-883.93 0.00 2,244.83 0.00 132.13

-656.92 0.00 855.41 0.00 88.72

-597.81 0.00 581.28 63.07 60.29

-422.90 0.00 474.17 84.90 49.09

-348.60 0.00 421.31 63.27 43.40

Profit & Loss account Dec '11 12 mths Income Sales Turnover Excise Duty Net Sales Other Income Stock Adjustments Total Income Expenditure Raw Materials Power & Fuel Cost Employee Cost Other Manufacturing Expenses Selling and Admin Expenses Miscellaneous Expenses Preoperative Exp Capitalised Total Expenses 7,682.22 191.40 7,490.82 12.35 56.93 7,560.10 3,671.64 295.81 546.46 120.49 1,200.14 159.07 0.00 5,993.61 Dec '11 12 mths Operating Profit PBDIT Interest PBDT 1,554.14 1,566.49 9.06 1,557.43 6,382.78 122.57 6,260.21 27.25 83.67 6,371.13 3,168.18 219.20 433.44 110.91 1,026.88 130.66 0.00 5,089.27 Dec '10 12 mths 1,254.61 1,281.86 1.07 1,280.79 Dec '10 12 mths

------------------- in Rs. Cr. ------------------Dec '09 12 mths Dec '08 12 mths Dec '07 12 mths

5,232.59 90.69 5,141.90 14.26 6.30 5,162.46 2,478.94 158.87 432.38 94.05 839.22 115.98 0.00 4,119.44 Dec '09 12 mths 1,028.76 1,043.02 1.40 1,041.62

4,472.04 143.39 4,328.65 29.88 31.11 4,389.64 2,153.85 159.76 314.58 73.46 736.73 81.40 0.00 3,519.78 Dec '08 12 mths 839.98 869.86 1.64 868.22

3,647.49 146.53 3,500.96 21.24 71.01 3,593.21 1,763.54 123.94 269.44 62.14 496.22 172.54 0.00 2,887.82 Dec '07 12 mths 684.15 705.39 0.85 704.54

Depreciation Other Written Off Profit Before Tax Extra-ordinary items PBT (Post Extra-ord Items) Tax Reported Net Profit Total Value Addition Preference Dividend Equity Dividend Corporate Dividend Tax Per share data (annualised) Shares in issue (lakhs) Earning Per Share (Rs) Equity Dividend (%) Book Value (Rs)

153.33 0.00 1,404.10 0.00 1,404.10 426.38 961.55 2,321.97 0.00 467.62 75.39 964.16 99.73 485.00 132.13

127.75 0.00 1,153.04 0.00 1,153.04 326.45 818.66 1,921.08 0.00 467.62 77.20 964.16 84.91 485.00 88.72

111.27 0.00 930.35 0.00 930.35 261.97 655.00 1,640.50 0.00 467.62 79.47 964.16 67.94 485.00 60.29

92.36 0.00 775.86 0.00 775.86 238.74 534.08 1,365.92 0.00 409.77 69.64 964.16 55.39 425.00 49.09

74.74 0.00 629.80 0.00 629.80 214.80 413.81 1,124.29 0.00 318.17 52.21 964.16 42.92 330.00 43.40

ANDHRA PRADESH GRAMEENA VIKAS BANK HEAD OFFICE :: WARANGAL BALANCE SHEET & SCHEDULES AS AT 31 ST MARCH 2010ANDHRA PRADESH GRAMEENA VIKAS BANK HEAD OFFICE::WARANGAL BALANCE SHEET AS ON 31 st MARCH 2010 (Rs in thousand)

Particulars Sch. 31.03.2010 31.03.2009 CAPITAL AND LIABILITIES Capital 1-A 500,00 500,00 Share Capital Deposit 1-B 89,08,50 89,08,50 Reserves And Surplus 2 310,88,50 221,01,39 Deposits 3 3804,51,25 3393,88,50 Borrowings 4 1599,97,77 1398,64,71 Other Liabilities And Provisions 5 313,52,02 375,69,36 TOTAL 6122,98,04 5483,32,46 ASSETS Cash and Balances with RBI 6 302,72,58 252,68,79 Balances with Banks and Money at Call & Short Notice 7 1030,36,44 1154,09,90 Investments 8 Advances 9 814,95,71 712,82,99 3822,84,73 3258,53,28

Fixed Assets 10 20,24,30 10,79,07 Other Assets 11 131,84,28 94,38,43 TOTAL 6122,98,04 5483,32,46 Contingent Liabilities 12 4,86,47 8,48,56

Significant Accounting Policies Disclosures and Notes on Accounts As per our report even date 18

17

For C.P.J. & Associates Chartered Accountants sd/ sd/ sd/

For Andhra Pradesh Grameena Vikas Bank

(Chandra Prakash Jain) (K.Solomon) Partner

(T.Hanumantha Rao) Chairman

General Manager (Operations)

Membership No. 24716 Place: Warangal Date: 18-04-2010ANDHRA PRADESH GRAMEENA VIKAS BANK HEAD OFFICE::WARANGAL PROFIT & LOSS FOR THE YEAR ENDED 31 ST MARCH 2010 (Rs in thousand) As per our report even date For C.P.J. & Associates For Andhra Pradesh Grameena Vikas Bank Chartered Accountants

sd/ sd/ sd/ (Chandra Prakash Jain) Partner (K.Solomon) (T.Hanumantha Rao) Chairman

General Manager (Operations)

Membership No. 24716 Place: Warangal Date: 18-04-2010 Particulars Sch 31.03.2010 As on 31.03.2009 I. INCOME Interest Earned 13 577,39,41 447,17,21 Other Income 14 44,52,26 42,01,32 TOTAL 621,91,67 489,18,53 II. EXPENDITURE Interest Expended 15 325,99,88 262,18,18 Operating Expenses 16 135,72,51 146,34,28 Provisions and Contingencies Provisions no longer required written back As on

22,87,14 -10,93,55 11,83,20 (34,11,29) TOTAL 473,65,98 386,24,36 Profit before tax 148,25,69 102,94,16 Less: Provision for Taxation - Current tax-Income Tax 45,41,62 33,47,50 - Fringe Benefit Tax 19,24 Profit after Tax 102,84,07 69,27,42 Less Income tax of previous year 23,36 Provision for Salary Arrears 12,73,60 Net Profit for the Year 89,87,11 Brought Forward Profit 161,15,04 105,73,11 TOTAL 263,75,76 175,00,53 IV. APPROPRIATIONS Transfer to the Statutory Reserves 17,97,42 13,85,48 Transfer to Other Reserves Profit(+) /Loss(-) Carried

Over to Balance Sheet NIL 233,04,74 Nil 161,15,05 TOTAL 251,02,16 175,00,53 Significant Accounting Policies Disclosures and Notes on Accounts

17 18ANDHRA PRADESH GRAMEENA VIKAS BANK HEAD OFFICE::WARANGAL Schedules forming part of Balance Sheet as on 31 st March 2010 SCHEDULE 1 A CAPITAL (Rs in thousand) PARTICULARS As on 31.03.2010

As on 31.03.2009 I. For Nationalized Banks Capital (Fully owned by Central Government) NIL NIL II. For banks incorporated out side India a.The amount brought in by Banks by way of startup Capital as prescribed by Reserve Bank of India should be shown under this head NIL NIL b.Amount of deposits kept with Reserve Bank of India section II (2) of the B. R. Act, 1949 NIL NIL III. For other banks Authorised Capital (5,00,000 Equity shares of Rs.100/- each) 500,00 500,00 Issued Capital (5,00,000 Equity Shares Rs.100/-) 500,00 500,00

Subscribed Capital (5,00,000 Equity Shares Rs.100/-) 500,00 500,00 Called Up Capital (5,00,000 Equity Shares Rs.100/-) 500,00 500,00 Less: Calls Un Paid NIL NIL Add: Forfeited Shares NIL NIL TOTAL 500,00 500,00 SCHEDULE 1 B SHARE CAPITAL DEPOSIT (Rs in thousand) PARTICULARS As on 31.03.2010 As on 31.03.2009 Share Capital Deposit from a. Govt., of India b. State Bank of India c. Govt., of Andhra Pradesh

44,54,25 31,17,98 13,36,27 44,54,25 31,17,98 13,36,27 TOTAL 89,08,50 89,08,50ANDHRA PRADESH GRAMEENA VIKAS BANK HEAD OFFICE::WARANGAL SCHEDULE 2 RESERVES AND SURPLUS (Rs in thousand) PARTICULARS As on 31.03.2010 As on 31.03.2009 I. Statutory Reserve Opening Balance 45,53,65 31,68,17 13,85,48

Additions During the Year 17,97,43 Deductions During the Year NIL NIL TOTAL 63,51,08 45,53,65

II. Capital Reserve Opening Balance 1,20 1,20 Additions During the Year NIL NIL Deductions During the Year NIL NIL TOTAL 1,20 1,20

III. Share Premium Opening Balance NIL NIL Additions During the Year NIL NIL Deductions During the Year NIL NIL TOTAL NIL NIL IV. Revenue and Other Reserves Opening Balance 14,31,49 14,31,49 Additions During the Year NIL NIL Deductions During the Year NIL TOTAL 14,31,49 14,31,49 V. Balance In Profit & Loss Account 233,04,74 161,15,05 TOTAL 310,88,51 221,01,39ANDHRA PRADESH GRAMEENA VIKAS BANK HEAD OFFICE::WARANGAL SCHEDULE 3 DEPOSITS

(Rs in thousand) PARTICULARS As on 31.03.2010 As on 31.03.2009 A. I. Demand Deposits i) From Banks NIL NIL ii) From Others 129,80,13 163,17,95 II. Savings Bank Deposits 1567,67,96 1439,93,85 III. Term Deposits i) From Banks NIL NIL ii) From Others 2107,03,16 1790,76,70 TOTAL 3804,51,25 3393,88,50 B. i) Deposits of Branches In India 3804,51,25 3393,88,50 ii)Deposits of Branches Out Side India NIL NIL TOTAL 3804,51,25 3393,88,50 SCHEDULE 4 BORROWINGS (Rs in thousand) PARTICULARS As on

31.03.2010 As on 31.03.2009 I. Borrowings In India i) Reserve Bank Of India NIL NIL ii) Other Banks (SBI) 707,71,07 498,12,01 iii) Other Institutions and Agencies (NABARD & NHB) 892,26,70 900,52,70 II. Borrowings Out Side India NIL Nil TOTAL 1599,97,77 1398,64,71ANDHRA PRADESH GRAMEENA VIKAS BANK HEAD OFFICE :: WARANGAL SCHEDULE 5 OTHER LIABILITIES AND PROVISIONS (Rs in thousand) PARTICULARS As on 31.03.2010 As on 31.03.2009 I. Bills Payable/Bankers Cheque 39,63,41 86,56,63

II. Inter Office Adjustments (Net) 9,00,81 III. Interest Accrued 143,62,39 141,75,17

31,02

IV. General Provision on Standard Assets V. Provision on Investments in Mutual Funds VI. Provision towards restructuring of SME And Housing Loans 10,66,50 NIL 89,65 10,52,39 10,93,55 89,65 VII. Others NIL NIL -Audit Fee Provision 32,00 -Interest on borrowings Other Liabilities 82,26 14,89,19 30,00

6,99,99 58,45,19 -Gratuity NIL NIL NIL

-Staff Leave Encashment NIL -Bonus 7,92 10,00

VIII. Other Provisions IX Provision for Income Tax X Provision for Fringe Benefits Tax XI. Smart Card XII Provision for salaries 25,19,03 45,41,62 NIL NL 22,97,24 25,19,03 33,47,50

19,24 Nil

NIL TOTAL 313,52,02 375,69,36ANDHRA PRADESH GRAMEENA VIKAS BANK HEAD OFFICE:: WARANGAL SCHEDULE 6 CASH AND BALANCE WITH RESERVE BANK OF INDIA (Rs in thousand) PARTICULARS As on 31.03.2010 As on 31.03.2009 I. Cash in Hand (Including Foreign Currency Notes) 79,79,34 81,89,76 II. Balances With Reserve Bank of India i) In Current Accounts 222,93,24 170,79,03 ii) In Other Accounts NIL NIL TOTAL 302,72,58 252,68,79 SCHEDULE 7 BALANCES WITH BANKS AND MONEY AT CALL & SHORT NOTICE

(Rs in thousand) PARTICULARS As on 31.03.2010 As on 31.03.2009 I. In India i) Balances With Banks a) In Current Accounts 183,15,30 159,14,73 b) In Other Deposit Accounts 847,21,14 994,95,17 ii) Money At Call And Short Notice a) With Banks NIL NIL b) With Other Institutions NIL NIL TOTAL 1030,36,44 1154,09,90 II. Out Side India i) In Current Accounts NIL NIL ii) In Other Deposit Accounts NIL NIL iii) Money At Call And Short Notice NIL NIL TOTAL NIL NIL GRAND TOTAL 1030,36,44 1154,09,90ANDHRA PRADESH GRAMEENA VIKAS BANK HEAD OFFICE: WARANGAL

SCHEDULE 8 INVESTMENTS (Rs in thousand) PARTICULARS As on 31.03.2010 As on 31.03.2009 I. Investments In India i. Government Securities 758,90,71 621,17,99 ii. Other Approved Securities 46,05,00 NIL iii. Shares Long Term NIL NIL iv. Debentures and Bonds v. Subsidiaries And / or Joint Ventures NIL vi. Others 10,00,00 34,40,00 57,25,00

TOTAL 814,95,71 712,82,99 II. Investments Out Side India i) Government Securities (Including Local Authorities)

NIL NIL ii) Subsidiaries And / or Joint Ventures NIL NIL iii) Other Investments (To Be Specified) NIL NIL TOTAL NIL NIL GRAND TOTAL 814,95,71 712,82,99ANDHRA PRADESH GRAMEENA VIKAS BANK HEAD OFFICE:: WARANGAL SCHEDULE 9 ADVANCES (Rs in thousand) PARTICULARS As on 31.03.2010 As on 31.03.2009 A. 1. Bills Purchased And Discounted 4,78,40 13,65 2. Cash Credits, Over Drafts and Loans Repayable on

Demand 1194,02,23 1195,82,24 3. Term Loans 2624,04,10 2062,57,39 TOTAL 3822,84,73 3258,53,28 B.1. Secured by Tangible Assets 3426,35,66 3219,08,40 2. Covered by Bank/Govt. Guarantees NIL NIL 3.Un Secured 396,49,07 39,44,88 TOTAL 3822,84,73 3258,53,28 C. I. Advances in India 1. Priority Sector 3024,10,20 2626,67,77 2. Public Sector NIL NIL 3. Banks NIL NIL 4. Others 798,74,53 631,85,51 TOTAL 3822,84,73 3258,53,28 II. Advances Out Side India 1. Due from Banks NIL NIL 2. Due from Others NIL NIL TOTAL NIL NIL

TOTAL (C. I &II) 3822,84,73 3258,53,28ANDHRA PRADESH GRAMEENA VIKAS BANK HEAD OFFICE:: WARANGAL SCHEDULE 10 FIXED ASSETS (Rs in thousand) PARTICULARS As on 31.03.2010 As on 31.03.2009 I.Land At Cost as on 31 st March of the Preceding Year Additions During the Year NIL Nil Deductions During the Year TOTAL II.Other Fixed Assets (including Furniture And Fixtures NIL 3,72 3,72 5,72

2,00 3,72 At Cost as on 31 st March of the Preceding Year 24,37,90 18,92,25 Additions During the Year 14,71,95 5,45,65 Deductions During the Year NIL NIL Depreciation to date 18,89,27 13,62,55 TOTAL 20,20,58 10,75,35 TOTAL OF (I+II) 20,24,30 10,79,07 SCHEDULE 11 OTHER ASSETS (Rs in thousand) PARTICULARS As on 31.03.2010 As on 31.03.2009 1. Inter Office Adjustments (Net) NIL NIL

2.Interest Accrued 94,27,23 63,83,98 3. Tax Paid On Advance Tax 4.Fringe Benefit tax NIL Liability 19,78,27 17,00 25,98 37,78 4,60,85 17,78,27

5. Tax deducted at source during the year 6. Tax deducted at source during earlier years 4,60,85 7.Stationery and stamps 8. Telephone Deposit 9.Suspense 49 62,69 49 15,62 10. 2% Subvention receivable from GOI/ RBI/NABARD 8,34,55 5,95,96 11. PMIRP 2006 receivable from GOI 15,18 15,18 12. Prepaid expenses Insurance 37,07 7,68 13 Others 2,96,55 56,36

45,42 69,26

TOTAL 131,84,28 94,38,43ANDHRA PRADESH GRAMEENA VIKAS BANK HEAD OFFICE:: WARANGAL

SCHEDULE 12 CONTINGENT LIABILITIES (Rs in thousand) PARTICULARS As on 31.03.2010 As on 31.03.2009 1. Claims Against The Bank not Acknowledged as Debt NIL NIL 2. Liability For Partly Paid Investments NIL NIL 3. Liability On Account Of Outstanding Forward Exchange Contracts NIL NIL 4. Guarantees Given On Behalf On Constituents A.) In India 3,85,19 5,89,45

B) Out Side India NIL NIL 5. Acceptances, Endorsements And Other Obligations NIL NIL 6. Other Items For Which Bank Is Contingently Liable (Unclaimed Bankers Cheques Treated As Income) 1,01,28 2,59,11 TOTAL 4,86,47 8,48,56 SCHEDULE 13 INTEREST EARNED (Rs in thousand) PARTICULARS As on 31.03.2010 As on 31.03.2009 Interest/Discount On Advances/Bills 428,33,06 319,71,46

Interest On Investments 64,27,69 71,05,08 Interest On Balances With Reserve Bank Of India And Other Inter Bank Funds NIL NIL Others 84,78,66 56,40,67 TOTAL 577,39,41 447,17,21ANDHRA PRADESH GRAMEENA VIKAS BANK HEAD OFFICE:: WARANGAL SCHEDULE 14 OTHER INCOME (Rs in thousand) PARTICULARS As on 31.03.2010 As on 31.03.2009 Commission, Exchange And Brokerage 39,21,97 26,24,86 Profit On Sale Of Investments

44,12 NIL Profit On Revaluation Of Investments NIL NIL Profit On Sale Of Lands, Buildings And Other Assets NIL NIL Profit On Exchange Transactions NIL NIL Income Earned By Way Of Dividend Etc., From Subsidiaries / Companies And /Or Joint Ventures Abroad/In India NIL NIL Miscellaneous Income 4,86,17 15,76,46 TOTAL 44,52,26 42,01,32 SCHEDULE 15 INTEREST EXPENDED (Rs in thousand) PARTICULARS As on 31.03.2010

As on 31.03.2009 Interest On Deposits 212,62,77 169,93,95 Interest On Reserve Bank Of India/Inter Bank Borrowings 107,73,35 90,33,02 Others 5,63,76 1,91,21 TOTAL 325,99,88 262,18,18ANDHRA PRADESH GRAMEENA VIKAS BANK HEAD OFFICE:: WARANGAL SCHEDULE 16 OPERATING EXPENSES (Rs in thousand) PARTICULARS As on 31.03.2010 As on 31.03.2009 Salary Payments and Provisions to Employees 86,16,64 70,14,60 Rent, Taxes, Lighting and fuel 5,06,10 4,14,17 Printing and Stationery 1,56,08 1,75,21

Advertisement and Publicity 8,15 18,25 Directors Fee, Allowances And Exp. 3,62 2,70 Depreciation On Banks Property 5,26,72 1,83,61 Auditors Fee And Expenses 28,89 28,34 Legal Charges 10,64 19,72 Telephones charges 1,14,67 85,60 Postage 9,75 34,91 Repairs And Maintenance 24,84 31,28 Insurance 3,23,41 2,70,55 Travelling & Halting expenses 3,49,52 3,12,14 Leave Fare Concession 78,88 2,05,19 Leave Encashment Fund 2,96,41 7,79,16 Medical Expenses 1,29,57 1,29,76 Gratuity Contribution Fund 5,61,93 20,99,18 AMC for Software and Hardware 4,03,23 64,31 Amortisation provided on Govt. Securities 6,63,76 20,99,00 Books and Periodicals 29,28 25,49 Computerisation 48,57 13,92 Vehicle and Fuel 89,86 42,92 Smart Card Expenses NIL Nil

Bonus 41 4,53 Entertainment 41,31 30,33 Other Expenses(Sundries) 5,50,27 5,49,41 TOTAL 135,72,51 146,34,28ANDHRA PRADESH GRAMEENA VIKAS BANK HEAD OFFICE::WARANGAL SCHEDULE 17 SIGNIFICANT ACCOUNTING POLICIES A) ACCOUNTING POLICIES 1. General: a. The accompanying financial statements have been prepared on the historical cost basis and confirm to the statutory provisions and prevailing practices. b. Accounting policies not specifically mentioned otherwise are consistent and consonance with the accounting practices regularly followed by the Bank. 2. Revenue Recognition: a. Interest on performing Assets has been recognized on accrual basis and on Nonperforming Assets on realization basis as per RBI guidelines. b. Interest on investments and deposits has been recognized on accrual basis. c. Commission, Exchange and Brokerage are normally recognized on the date of receipt although income may relate to transaction period extending beyond the accounting period. d. Locker rent is recognized on realization basis.

e. Interest on overdue term deposits is accounted for on renewal. f. All other income/expenditure have been recognized on accrual basis except few items like electricity and telephone charges, rentals, property taxes etc. which are accounted for on cash basis. 3. Advances: Provisions on advances have been arrived at in accordance with RBI guidelines/directives as under, a) All advances have been classified under four categories i.e., Standard Assets, SubStandard Assets, Doubtful Assets and Loss Assets. b) Provisions on Advances are made as under, i) Standard Assets: General Provision for Standard Assets at the following rates; a) Direct advances to agricultural and SME sectors at 0.25% b) Commercial real estate sector at @ 1% c) All other advances not included in (a) & (b) above, at 0.40% ii) Sub-Standard Assets: 10% of the outstanding Advances for secured portion and 20% of unsecured portion of Advances.iii) Doubtful Assets I & II @ 20% or 30% of the secured portion based on the number of years the account remained as doubtful asset and @ 100% of unsecured portion of the adjusted outstandings after netting retainable amount of DICGC claim wherever received. iv) Doubtful Assets III: As per the revised guidelines on doubtful III category accounts existing as on 31.03.2010, 100% has been provided.

v) Loss Assets @ 100% of the adjusted outstandings after netting retainable amount of DICGC claim wherever received. 4. Fixed Assets: a) Fixed Assets have been accounted for on historical cost basis. b) Depreciation has been provided for the Written Down Value method at the rates specified in Income Tax Rules, on all assets except computers. c) In respect of Computers, depreciation has been provided on Straight Line Method (SLM) @ 33.33% p.a. as per RBI guidelines. 5. Investments: a) Investments are valued at cost or market value, whichever is lower as at the close of the year. b) Investments held in Government Securities are classified under Held to Maturity as per RBI guidelines. 6. Staff Benefits: a. Gratuity As per guidance note issued by ICAI the provision is made on the basis of valuation obtained from Actuarial Society of India. b. Leave Encashment As per guidance note issued by ICAI the provision is made on the basis of valuation obtained from Actuarial Society of India.

c. Bonus Bonus provision was made as per the Payment of Bonus Act, 1965. 7. Segment Reporting The bank operates solely in the banking sector industry including investments, not liable to deferent risks and rewards. Consequently, bank has not recognized any business segments or geographical segments and hence no disclosure is made.8. Income Tax Expense: The Income Tax and Fringe Benefit Tax is calculated in accordance with relevant Tax regulations applicable to the Bank. Deferred Tax asset / deferred tax liability is not recognized, since these are not material and significant. 9. Net Profit/Loss The Net Profit/Loss disclosed in the Profit & Loss account is after making a. Provision on Non-Performing Assets and b. Other usual and necessary provisions. The accounts of the bank have been drawn up in accordance with the revised Format III Schedule of Banking Regulation Act, 1949 to the extent practicable.ANDHRA PRADESH GRAMEENA VIKAS BANK Head Office: Warangal SCHEDULE 18 DISCLOSURES & NOTES ON ACCOUNTS I. Disclosures as per norms for RRBs 1. CAPITAL

Sr. Particulars Current year Previous year i) CRAR(%) 11.22 10.86 ii) CRAR Tier I Capital (%) 10.29 10.73 iii) CRAR Tier II Capital (%) 0.93 1.13 iv) Percentage of Shareholding of the a Government of India 50.00 50.00 b State Government 15.00 15.00 C Sponsor Bank 35.00 35.00 2. INVESTMENTS (Rs. In Lakhs) Sr. Particulars Current year Previous year 1 Value of Investments i) Gross value of Investments 81495.71 71282.99 ii) Provisions for Depreciation 0.00 1093.55 iii) Net value of Investments 81495.71 70189.44 2 Movement of provisions held towards depreciation on investments i) Opening Balance 1093.55 0.00 ii) Add: Provisions made during the year 0.00 1093.55 iii) Less: Write off / Write back of excess provisions during the year

1093.55 0.00 iv) Closing Balance 0.00 1093.55 3. REPO TRANSACTIONS Item Minimum outstanding during the year Maximum outstanding during the year Daily Average outstanding during the year As on 31 st

March, 2010

Securities Sold under Repos Nil Nil Nil Nil Securities purchased under reverse repos Nil Nil Nil Nil4. Non-SLR Investment portfolio (i) Issuer composition of Non SLR Investments (Rs. In Lakhs) No. Issuer Amount Extent of Private placement Extent of below investment grade securities Extent of unrated securities Extent of unlisted

securities 1234567 i) PSUs 4605.00 0.00 0.00 0.00 0.00 ii) FIs iii) Banks iv) Private Corporate v) Others 1000.00 0.00 0.00 0.00 0.00 vi) Provisions held towards depreciation XXX XXX XXX XXX Total 5605.00 (ii) Non-performing Non-SLR investments (Rs. In Lakhs) Particulars Amount Opening balance Nil Additions during the year since 1 st April Nil

Reductions during the above period Nil Closing Balance Nil Total provisions held Nil 5. Asset Quality 5.1 Non-Performing Assets (Rs.in Lakhs) No. Particulars Current year (2009-10) Previous year (2008-09) I Net NPAs to Net Advances (%) 1.08% 1.32% Ii Movement of NPAs (Gross) (a) Opening balance 8818 9812 (b) Additions during the year 3198 2764 (c) Reductions during the year 3190 3758 (d) Closing balance 8826 8818 iii Movement of Net NPAs (a) Opening balance 4283 5458 (b) Additons during the year 2612 1129 (c) Reductions during the year 2756 2304

(d) Closing balance 4139 4283 iv Movement of provisions for NPAs (excluding provisions on standard assets) (a) Opening balance 4013 3847 (b) Provisions made during the year 2240 1405 (c) Write-off / Write-back of excess provisions 2224 1239 (d) Closing balance 4029 40135.2 Details of Loan Assets subject to Restructuring (Rs.in Lakhs) Sr. Particulars Current year Previous year I Total amount of loan assets subject to restructuring, rescheduling, renegotiation Nil 1793 Ii The amount of Standard assets subjected to restructuring, rescheduling, renegotiation Nil 1793 Iii The amount of Sub-Standard assets subjected to restructuring, rescheduling, renegotiation NIl Nil iv The amount of Doubtful assets subjected to restructuring, rescheduling, renegotiation

NIl Nil Note (i) = (ii) + (iii) + (iv) 5.3 Details of financial assets sold to Securitisation (SC) / Reconstruction Company (RC) for Assets Reconstruction Sr. Particulars Current year Previous year I No. of accounts Nil Nil Ii Aggregate value (net of provisions) of accounts sold to SC/RC Nil Nil Iii Aggregate consideration Nil Nil iv Additional consideration realized in respect of accounts transferred in earlier years Nil Nil v Aggregate gain / loss over net book value Nil Nil 5.4 Details on non-performing financial assets purchased / sold A. Details of non-performing financial assets purchased: (Rs.in Lakhs) Sr. Particulars Current

year Previous Year 1 (a) No. of accounts / purchased during the year Nil- Nil(b) Aggregate outstanding Nil- Nil2 (a) Of these, number of account restructured during the year Nil- Nil(b) Aggregate outstanding Nil- NilB. Details of non-performing financial assets sold. (Rs.in Lakhs) Sr. Particulars Current year Previous year 1 No. of accounts sold Nil- Nil2 Aggregate outstanding Nil- Nil3 Aggregate consideration received Nil- Nil-5.5 Provisions on Standard Assets (Rs.in Lakhs) Sr. Particulars Current year (2009-10)

Previous year (2008-09) 1 Provisions towards Standard Assets 1066 1052 6. Business Ratios (Rs.in Lakhs) Sr. Particulars Current year Previous year I Interest income as a percentage to Working Funds 9.43 7.59 Ii Non-Interest income as a percentage to Working Funds 0.72 0.71 Iii Operating profit as a percentage to Working Funds 1.68 1.37 iv Returns on Assets (%) 10.15 8.30 v Business (Deposits plus advances) per employee 343.11 310.07 vi Profit per employee 4.62 3.21 7. Asset Liability Management Maturity pattern of certain terms of assets and liabilities (Rs.in Crores) Particulars 1 to 14 days 15 to

28 days 29 days to 3 months Over 3 months and upto 6 months Over 6 months and upto 1 year Over 1 year and upto 3

years Over 3 year and upto 5 years Over 5 years Total Deposits 1086.91 918.67 660.94 606.19 252.84 143.90 12,98 122.08 3804.51 Advances 189.97 595.54 766.62 265.48 407.18 796.17 340.90 507.86 3869.72 Investments 312.79 309.18 167.29 63.24 263.85 12.55 533.26 1662.16 Borrowings 48.74 0.00 0.00 267.01 896.12 325.68 58.12 4.29 1599.96 Foreign currency assets 0.000 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Foreign currency

liabilities 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 8. Exposures Exposure to Real Estate Sector (Rs. In Lakhs) Sr. Particulars Current year Previous year a Direct exposure I Residential Mortgages above Rs.20.00 lakhs lending fully secured by mortgages on residential property that is or will be occupied by the borrower or that is rented (individual housing loan upto Rs.20 lakh may be shown separately) 823 502 Up to Rs.20.00 lakhs 10812 9102 Ii Commercial Real Estate Lending secured by mortgages on commercial real estates (office buildings, retail space, multi-purpose commercial premises, multi-family residential buildings, multi-tenanted commercial premises, industrial or warehouse space, hotels,

land acquisition, development and construction, etc.) Exposurewould also include non-fund based (NFB) limits. Nil Nil Iii Investments in Mortgage Backed Securities (MBS) and other securitized exposures Nil Nil a. Residential Nil Nil b. Commercial Real Estate Nil Nil b) Indirect Exposure Nil Nil Fund-based and non-fund based exposures on National Housing Bank (NHB) and Housing Finance Companies (HFCs) Nil Nil9. Details of Single Borrower (SGL), Group Borrower Limit (GBL) exceeded by the bank: The bank had not exceeded the single borrower limit, group borrower limit fixed by the Board 10. Miscellaneous Amount of provisions made for Income tax during the year. (Rs. In Lakhs) Particulars Current Year Previous year Provision for Income Tax 4541.62 3347.50 Fringe Benefit tax 0.00 19.24 11. Disclosure of Penalties imposed by RBI

The bank has maintained CRR and SLR as per RBI and Banking Regulation Act and not defaulted during the financial yea under report 12. Additional Disclosures as per Accounting Standards applicable to the Bank. 12.1 Related party disclosure a) Related parties where control / significant influence exists or with whom transaction have taken place during the year. Sponsor Bank, their Subsidiaries and Associates:

e Insurance Company Limited

Key Management Personnel Shri. T. HANUMANTHA RAO, Chairman Shri. N. Ramesh, General Manager (Credit) Shri. K.Solomon, General Manager(Operations) Shri. P.A.S.Sudhaker Rao, General Manager(HR) Shri. M.Krishna Rao, General Manager(IT) 12.2 Particulars of related party accounts transactions The following is the summary of significant related party transactions: (Rs. In Lakhs)

For the year ended 31 st March 2010 For the year ended 31 st

March 2009 Refinance received from State Bank of India (SBI) 65000.00 45000.00 Interest paid on refinance to SBI 3724.47 2382.23 Investments made with: SBI in the form of TDRs SBI Fund Management Private Limited Interest received from SBI 8477.08 5640.67 Contributions to Gratuity Fund with SBI Life Insurance Company Limited 561.93 2099.18 Contributions to Group Leave Encashment Policy with SBI Life Insurance Company Limited Nil NIL 84721.12 99495.16

296.40 779.16 Current Account transactions with SBI (Amount in Rupees) For the year ended 31 st March 2010 For the year ended 31 st 3846.25 15914.7312.3 Particulars of Managerial Remuneration:

March 2009 CHAIRMAN 731607 1266263 GENERAL MANAGER(CREDIT) 693185 774121 GENERAL MANAGER(OPERATIONS) 696967 636524 GENERAL MANAGER (H R) 733199 757867 GENERAL MANAGER (IT) 707980 956257 12.4 Prior Period Items. There were no material prior period items of Income or Expenditure during the year. 12.5 Impairment of Assets

The Bank obtains Certificate from the branches stating the physical list of Assets from each branch. Based on such information necessary entries for write off are accounted for the impaired assets. 13. Provisions and Contingencies (Rs. in Lakhs) S.No. Particulars Current Year Previous Year a Opening balance in the floating provisions account 2519 8567 b The quantum of floating provision made in the accounting year NIl Nil c Amount of Draw down made during the accounting year Nil i.Agricultural Debt Waiver and Debt Relief Scheme2008 Residual balances written off Nil 1387 ii.Appropriated towards additional

provisions required for the year as per prudential norms Nil 1249 iii Provision written back to profit and Loss account Nil 3412 iv. Draw down total Nil 6048 d Closing balance in the floating Provisions account 2519 2519 14. Disclosure of complaints: A. Customer Complaints: Sr. Particulars Nos a No. of complaints pending at the beginning of the year. 04 b No. of complaints received during the year 42 c No. of complaints redressed during the year 40 d No. of complaints pending at the end of the year 06 B. Award passed by the Banking Ombudsman: Sr. Particulars Nos a No. of unimplemented Awards at the beginning of the year. 06

b No. of Awards passed by the Banking Ombudsman during the year. 12 c No. of Awards implemented during the year. 16 d No. of unimplemented Awards at the end of the year. 02II. NOTES ON ACCOUNTS 1) Fixed Assets Land has been gifted to the bank by certain donors for the construction of the Banks premises. The Bank had incurred only registration charges and development charges on such lands and the same is accounted as cost of land. However, market value of such lands is not considered for the purpose of financial statements. 2) Staff Benefits: a. Gratuity During the year an amount of Rs.561.93 Lakhs is debited to Profit & Loss account towards Gratuity. b. Leave Encashment During the year an amount of Rs.296.41 Lakhs is debited to Profit & Loss account towards Leave Encashment. c. Bonus During the year the Bank has debited an amount of Rs.7.92 lakhs towards Bonus. 3) Share Capital Deposit The amount received from Government of India, Sponsor Bank (State Bank of India) and Government of Andhra Pradesh towards cleansing of Balance Sheet under Restructuring of RRBs (phase II ) has

been shown under Share Capital Deposits in balance sheet . The total Share Capital Deposit is Rs.89,08,50,490/-. 4) Reconciliation Reconciliation of Inter Office Account and Bankers Cheques account has been done for the quarter ended September 2009. Reconciliation for the quarter ended 31 st Decemeber, 2009 is in progress. 5) Value of Stationery The value of Stationery and stamps of Rs. 42.41 Lakhs has been adopted as certified by the management. 6) Taxes a) As per Section 22 of The Regional Rural Banks act, 1976, Regional Rural Bank to be deemed to a Cooperative Society for the purpose of the Income Tax Act, 1961. As per this section any tax on income, profits as gains shall be deemed to be Co-operative Society. b) The Income Tax Assessment of erstwhile Sri Visakha Grameena Bank for the Assessment Year 2003-04 was completed. The department has raised a demand for Rs.2,62,116/- u/s 115JB. The bank has filed an appeal before the CIT (Appeals), Visakhapatnam contesting that the provision of 115JB are not applicable to the Bank as the Bank is registered under Co-operative Societies Act. Hence no provision was made. c) The income tax assessment of erstwhile Manjira Bank for assessment year 2005-06 was

completed and the department raised a demand of Rs. 2,08,31,690/- disallowing the exemption under section 80P of the Income Tax act on income earned on investments. The bank has successfully won the Departmental appeal before I.T. Tribunal.Hence, no provision is made. d) The Income Tax assessment of the Bank for Assessment year 2007-08 has been completed and the department has raised a demand of Rs. 9,58,45,269/ disallowing expenditure of Rs 27,95,02,982 claimed under various heads of account. The bank has filed an appeal before The Commissioner of Income tax (Appeals). The Income Tax Department had granted stay for the payment of disputed tax till disposal of the appeal against payment of Rs.3 crores. No provision is made since the matter is subjudice. 7) Investments in Government Securities: Investments in Government Securities includes premium paid on such investments. The investments (including premium) in Government Securities is treated as Held to Maturity category as per RBI norms, the premium is being amortized over the period remaining to maturity. The amount amortized to P&L account for the year 2009-10 was Rs.663.75 Lakhs and disclosed under the head Operating Expenses Schedule 16 of Profit & Loss Account. 8) The Bankers Cheques outstanding for more than three years Balances in Unpaid Bankers Cheque account and Sundry Deposit account outstanding for more than three years as on 31 st March 2010, amounting to Rs 59.09 Lakhs and Rs 53.00 Lakhs

respectively have been credited to P& L account. 9) Classification of Assets as on 31 st March, 2010. (Rs. In Thousands) CLASSIFICATION GROSS ADVANCES NET ADVANCES STANDARD ASSETS 37814596 37814596 SUB STANDARD ASSETS 319029 257868 BAD & DOUBTFUL ASSETS 563599 156010 TOTAL 38697224 38228474 ADD: INCA 65802 ADD: PROVISION ON SUB STANDARD AND DOUBTFUL ASSETS 402948 TOTAL GROSS ADVANCES 38697224 The Net advances are Net of provisions and INCA except provision on Standard Assets. 10) Receivable from Govt. of India under ADWDRS, 2008. An amount of Rs. 53.69 Crores is receivable from Govt. of India under Agricultural Debt Waiver and Debt Relief Scheme, 2008 out of Rs. 478 Crores claimed from the Govt. and credited to farmers accounts in Financial Year 2008-09.

11) During the year a provision of Rs.28,68,000/- made towards staff frauds has been adopted as certified by the Management.12) The figures mentioned in Balance Sheet, Profit & Loss Account and Schedules 1 to 16 have been rounded off to the nearest thousand rupees. 13) Previous years figures have been regrouped/ reclassified/recast wherever necessary. For ANDHRA PRADESH GRAMEENA VIKAS BANK

For C.P.J. & ASSOCIATES Chartered Accountants Sd/ sd/ sd/ (Chandra Prakash Jain) Partner

(K.Solomon)

(T. Hanumantha Rao)

General Manager Chairman

Membership No.24716 (Operations) Place: Warangal Date : 18 th April, 2010

CONSOLIDATED BALANCE SHEET Schedule SOURCES OF FUNDS SHAREHOLDERS' FUNDS Share capital 1 2,851.51 1,407.14

Share application money pending allotment 74.86 12.05 Reserves and surplus 66,127.19 52,826.30 LOAN FUNDS Secured loans Unsecured loans 757.26 620.92 Minority interest 0.00 265.33 66,884.45 53,712.55 APPLICATION OF FUNDS FIXED ASSETS Goodwill [refer note 19 (3)] 3,528.34 5,663.16 Gross block Less : Accumulated depreciation 12,910.14 9,951.77 Net block 11,905.46 10,947.86 5 24,815.60 20,899.63 3 4 450.58 215.89 306.68 405.03 2 63,200.82 51,407.11

Capital work-in-progress and advances 6,248.52 2,603.85 21,682.32 19,214.87 INVESTMENTS DEFERRED TAX ASSETS 593.50 495.00 CURRENT ASSETS, LOANS AND ADVANCES Inventories Sundry debtors Cash and bank balances Loans and advances 42,566.76 28,541.97 Less : CURRENT LIABILITIES AND PROVISIONS Liabilities Provisions 28,770.44 18,044.22 NET CURRENT ASSETS 13,796.32 10,497.75 66,884.45 53,712.55 Significant accounting policies and notes to accounts 19 11 18,526.94 12,742.08 12 10,243.50 5,302.14 7 8 9 10 2,064.61 1,747.25 21,271.58 15,518.30 8,857.70 5,713.57 10,372.87 5,562.85 6 30,812.31 23,504.93

The schedules referred above form an integral part of the consolidated balance sheet for BSR & Co. Chartered Accountants Azim Premji Chairman B C Prabhakar Director

Jamil Khatri Partner Membership No.102527 Bangalore May 06, 2006 (Rs. in Million) As of March 31, 2006 2005

Suresh C Senapaty Executive Vice President & Chief Financial Officer

V Ramachandaran Company Secretary

SCHEDULE 6 : SUNDRY DEBTORS* Secured - considered good Debts outstanding over six months 11 23 Other debts 77 5 88 28 Unsecured Debts outstanding over six months Considered good 14 5,25

Considered doubtful 6,70 8,69 6,84 13,94 Other debts Considered good 69,66 98,25 Considered doubtful 1,06 70,72 98,25 Total unsecured debts 77,56 112,19 Less : Provision for doubtful debts 7,76 8,69 69,80 103,50 Dues relating to sale of businesses - unsecured, considered good ### Debts outstanding over six months 4,97 76 75,65 104,54 * Include amounts aggregating Rs 259 lacs (2007-08 : Rs 195 lacs) due from bodies corporate under the same management as defined in Section 370(1B) of the Companies Act, 1956. For details refer to note 24, Schedule 16 ### Refer to note 5, Schedule 16 SCHEDULE 7 : CASH AND BANK BALANCES Cash in hand 1 2 Cheques in hand 2

Balances with scheduled banks : Current accounts 11,31 13,46 Fixed deposits held as margin money 31 29 Unclaimed dividend accounts 3,10 2,91 14,73 16,70 SCHEDULE 8 : LOANS AND ADVANCES (Unsecured and considered good unless otherwise stated) Loans and advances recoverable in cash or in kind or for value to be received : Considered good * 22,10 30,86 Considered doubtful 28 22,10 31,14 Less : Provision for doubtful advances 28 22,10 30,86 Balances with customs, port commissioners, railways, excise authorities etc. 3,45 3,64 Capital advances 98 64 Other deposits 7,00 3,78 Inter corporate deposits # 28,00 6,41 Advance tax 29,03 29,03 Interest accrued on investments/Inter Corporate Deposits $ 83 8 91,39 74,44