State Bank of India net profit declines 45.

66% in the June 2011 quarter State Bank of India net profit declined 45.66% to Rs 1583.55 crore in the quarter ended June 2011 as against Rs 2914.20 crore during the previous quarter ended June 2010. Operating income rose 31.14% to Rs 24197.44 crore in the quarter ended June 2011 as against Rs 18452.12 crore during the previous quarter ended June 2010.

Particulars Sales OPM % PBDT PBT NP

Quarter Ended Jun. 2011 Jun. 2010 % Var. 24197.44 18452.12 58.06 3085.54 3085.54 1583.55 65.26 4582.99 4582.99 2914.20 31 -11 -33 -33 -46

SBI inaugrate innovation lab: State Bank of India (SBI) has launched an Innovation Lab at its Corporate Headquarters at Mumbai. The Innovation Lab will provide a platform for checking out new ideas, where the hardware, software, connectivity with the Banks' core banking solution etc. are available for running pilot projects and finetuning/tweaking the solutions. State Bank Of India Updates: State Bank Of India has informed the Exchange that the Bank has revised the Base Rate upwards by 50 bps from 9.50% p.a. to 10.00% p.a. effective from August 13, 2011. State Bank Of India - Appointment of Director:

State Bank Of India has informed the Exchange that in exercise of the powers conferred by clause (e) of Section 19 of the State Bank of India Act, 1955 (23 of 1955), the Central Government, vide Gazette notification dated August 03, 2011, has nominated Shri D. K. Mittal, Secretary, Department of Financial Services, Ministry of Finance, as a Director on the Central Board of Directors of State Bank of India with immediate effect and until further orders, vice Shri Shashi Kant Sharma. Further the Bank has informed that, in exercise of the powers conferred by clause (f) of Section 19 of the State Bank of India Act, 1955 (23 of 1955), the Central Government, vide Gazette notification dated August 04, 2011, has also nominated Dr. Subir Vithal Gokran, Deputy Governor, Reserve Bank of India, as a Director on the Central Board of Directors of State Bank of India with immediate effect and until further orders, vice Smt. Shyamala Gopinath SBI sets up 14 tracking centres to check NPAs: The countrys largest lender SBI, which has witnessed huge erosion in its net profit, has set up 14 account tracking centres to check non-performing assets, Parliament was informed on Tuesday.

State Bank of India (SBI) has informed that they have set up account tracking centres in all 14 circles of the Bank to check non-performing assets (NPAs), Minister of State for Finance Namo Narain Meena said in a reply in Rajya Sabha.

SBI launches self-service kiosks Business Line Wednesday, August 03, 2011 State Bank of India (SBI) has opened a Self Service Kiosk (SSK)' at the Corporate salary branch, DLF Cyber City at Gachibowli today. SSK is a secure, user-friendly computer terminal which can be operated by the customer using his/her ATM-cum-debit card to conduct as many as 16 transactions. The facility was inaugurated by the Chief General Manager, Mr Rakesh Sharma. Among the transactions are fund transfer, passbook printing, cheque book request, balance enquiry, statement, internet banking registration, bill payment, opening of term deposit etc, a release from the SBI said. SSK, usually located along with an ATM, gives the customer the freedom to conduct these transactions on a 24/7 basis. There will be queue problems waiting time etc. Four more SSKs are being made available at the Vansathalipuram, Vidyanagar, Ramanthapur and Gandhinagar branches in the city, the release added. Many more functions such as railway ticket booking, SBI life premium payment, D-mat transactions would be added to the SSK to give customers the pleasure of a self-banking experience'. SBI gets to manage a lion's share of EPFO funds Indian Express Friday, July 15, 2011 State Bank of India, ICICI Securities, Reliance Capital and HSBC Asset Management Company have been appointed to manage the Rs 3.5 lakh crore corpus of the Employees' Provident Fund for a threeyear period, starting September 1. The decision was taken following a meeting of the EPFO's apex decision making body -- the Central Board of Trustees -- after the financial advisory council (FIC) had shortlisted five entities, including ICICI Securities, Reliance Capital, HSBC Asset Management Company (AMC), SBI and ICICI Prudential. ICICI Prudential, however, was dropped. SBI will get to manage 35 per cent of the EPFO's corpus, while ICICI Securities will manage 25 per cent. Reliance Capital and HSBC AMC will each get to manage 20 per cent of the funds.

SBI to set up more ATMs in urban, semi -urban areas Business Line Wednesday, July 13, 2011 Move to reduce traffic handled by a single ATM, facilitate more transactions In order to cut down on long queues outside its ATMs in urban and semi-urban areas, State Bank of India plans to ramp up its ATM network by 8,000-10,000 every year over the next three years. Currently, India's biggest bank and its five associate banks have a network of 25,444 ATMs, accounting for 32 per cent of the 78,959 ATMs (as of June-end 2011) of 57 banks which are linked to

the National Financial Switch. By going in for massive ATM network expansion, the bank is also eyeing the customers of other banks who could transact at its ATMs, thereby earning fee income. As a group, SBI and its associate banks have issued about 8 crore debit cards so far and the average number of cards per ATM currently is around 3,000. In our case, the number of cards per ATM, currently at 2,500-3,000, is huge. I understand that 1,500 cards per ATM is an acceptable level for ATM transactions to be efficient. So, to that extent we have to increase the number of ATMs to bring down the ratio from 2,500-3,000 to 1,500 cards per ATM, said Mr A. Krishna Kumar, Managing Director, SBI. Explaining the rationale for rapid ATM expansion, he said, in semi-urban and urban areas sometimes there are long queues in front of SBI ATMs because the single ATM is not able to handle so much traffic. A person takes two-three minutes to complete a transaction. At some ATMs, we have 350 -400 transactions per day. So, it becomes very difficult to manage the queues. So, what we are trying is to install a second or a third ATM in the same booth to manage the queues and get more transactions on our ATMs, he said. Because of the queues, people are going to other bank ATMs, resulting in SBI having to pay other banks.The problem is not so much in metros, as it is in urban and semi-urban areas. SBI plans to open around 1,000 branches this year, of which at least 50 per cent will be in unbanked rural areas. The bank will monitor the branch expansion closely to ensure that there is some focus on unbanked rural areas.

-The Bank earmarks 1% of its net profit every year for social causes. NTPC inks Rs 10,000-cr loan pact with SBI NTPC Ltd said on Friday it has inked a Rs 10,000-crore loan agreement with State Bank of India for meeting the capital expenditure requirements of some of its ongoing and upcoming projects. The rupee term-loan has a door-to-door maturity of 12 years with a drawdown period of four years, NTPC said in a statement. The loan amount would be the largest extended by SBI to any Indian or foreign corporate. The pact was signed by the NTPC Chairman and Managing Director, Mr Arup Roy Choudhury, and the SBI Chairman, Mr Pratip Chaudhuri, on Thursday. This is the single largest loan extended by State Bank of India to any corporate entity in India and abroad. For NTPC also, this is the single largest loan extended by any commercial bank, it said. SBI Completes 50 Lac Aadhaar Enrolments State Bank of lndia (SBI) has completed 50 Lac Aadhaar enrollments in the country making it the largest Non Government Registrar in the country. The next best Non Government Registrar figure is of 55,000 enrolments. SBI has used the Aadhaar enrollment program as a vehicle to reach out to the unbanked villages included in the Bank's Financial Inclusion Plan (FIP). SBI has covered over 1050 villages in 14 states within a period of 6 months. Going forward, the Bank plans to extend Aadhaar enrollment services in a phased manner to its staff and customers at non-FIP centers also, in coordination with UIDAI and the respective State Governments. Aadhaar enrollment for the SBI staff

has commenced with the enrollment of the Pratip Chaudhuri, Chairman, SBI and other senior executives at the bank's corporate centre. SBI plans 5,000 green channel counters Deccan Herald Sunday, July 03, 2011 Mumbai, July 2, (PTI): State Bank of India, on Saturday, said it will open over 5,000 green channel counters (GCCs) this year. Speaking on the occasion of banks 56th anniversary Chairman Pratip Chaudhuri said 57 GCCs had been inaugurated on SBI Day last year. Inaugurating the self-service kiosks, another new customer-friendly initiative from SBI, Chaudhuri said these kiosks are essentially a combination of a screen, a keypad, a passbook pr inter and a processor, which the customers can operate themselves using their debit cards. The objective is to popularise these kiosks so that customers become self-sufficient, and we progress towards decongesting the counters at our branches, he said. T hese kiosks can do as many as 16 basic functions, including funds transfer, passbook printing, cheque-book requisitions, TDR opening, stop payments etc, he said, adding in future, bill payments, Railway bookings, SBI Life payments etc, will also be enabled. The GCC aims at providing customers with simple, secure and quick way of executing banking transactions, as there is no need to carry passbooks, fill in pay-in-slips/ withdrawal forms, draw cheques etc. All one needs is ATM pin number.

List of Directors on the Central Board of State Bank of India (As on 4th August 2011) Sr. No. 1 2 3 4 5 6 7 8 9 10 11 12 13 Name Shri Pratip Chaudhuri Shri Hemant G. Contractor Shri Diwakar Gupta Shri A. Krishna Kumar Shri Dileep C. Choksi Shri S. Venkatachalam Shri D. Sundaram Shri Parthasarathy Iyengar Shri G. D. Nadaf Dr. Rajiv Kumar Shri Rashpal Malhotra Shri D. K. Mittal Dr. Subir V. Gokarn Designation Chairman Managing Director Managing Director Managing Director Director Director Director Director Officer Employee Director Director Director Director Director Under Section of SBI Act 1955 19 (a) 19 (b) 19 (b) 19 (b) 19 (c) 19 (c) 19 (c) 19 (c) 19 (cb) 19 (d) 19 (d) 19 (E) 19 (f)

ABOUT SBI :
The origin of the State Bank of India goes back to the first decade of the nineteenth century with the establishment of the Bank of Calcutta in Calcutta on 2 June 1806. Three years later the bank received its charter and was re-designed as the Bank of Bengal (2 January 1809). A unique institution, it was the first joint -stock bank of British India

sponsored by the Government of Bengal. The Bank of Bombay (15 April 1840) and the Bank of Madras (1 July 1843) followed the Bank of Bengal. These three banks remained at the apex of modern banking in India till their amalgamation as the Imperial Bank of India on 27 January 1921. An act was accordingly passed in Parliament in May 1955 and the State Bank of India was constituted on 1 July 1955. More than a quarter of the resources of the Indian banking system thus passed under the direct control of the State. Later, the State Bank of India (Subsidiary Banks) Act was passed in 1959, enabling the State Bank of India to take over eight former State-associated banks as its subsidiaries (later named Associates). The State Bank of India was thus born with a new sense of social purpose aided by the 480 offices comprising branches, sub offices and three Local Head Offices inherited from the Imperial Bank. The concept of banking as mere repositories of the community's savings and lenders to creditworthy parties was soon to give way to the concept of purposeful banking subserving the growing and diversified financial needs of planned economic development. The State Bank of India was destined to act as the pacesetter in this respect and lead the Indian banking system into the exciting field of national development.

The bank is entering into many new businesses with strategic tie ups Pension Funds, General Insurance, Custodial Services, Private Equity, Mobile Banking, Point of Sale Merchant Acquisition, Advisory Services, structured products etc each one of these initiatives having a huge potential for growth. The Bank is forging ahead with cutting edge technology and innovative new banking models, to expand its Rural Banking base, looking at the vast untapped potential in the hinterland and proposes to cover 100,000 villages in the next two years. It is also focusing at the top end of the market, on whole sale banking capabilities to provide Indias growing mid / large Corporate with a complete array of products and services. It is consolidating its global treasury operations and entering into structured products and derivative instruments. Today, the Bank is the largest provider of infrastructure debt and the largest arranger of external commercial borrowings in the country. It is the only Indian bank to feature in the Fortune 500 list. The Bank is changing outdated front and back end processes to modern customer friendly processes to help improve the total customer experience.

With four national level Apex Training Colleges and 54 learning Centres spread all over the country the Bank is continuously engaged in skill enhancement of its employees The bank is also looking at opportunities to grow in size in India as well as Internationally. It presently has 82 foreign offices in 32 countries across the globe. It has also 7 Subsidiaries in India SBI Capital Markets, SBICAP Securities, SBI DFHI, SBI Factors, SBI Life and SBI Cards - forming a formidable group in the Indian Banking scenario.

Bank s New Vision , Mission& Value statement (Co -created by SBI employees in 2008)

VISION y My SBI. y My Customer first. y My SBI: First in customer satisfaction MISSION y We will be prompt, polite and proactive with our customers. y We will speak the language of young India. y We will create products and services that help our customers achieve their goals. y We will go beyond the call of duty to make our customers feel valued. y We will be of service even in the remotest part of our country. y We will offer excellence in services to those abroad as much as we do to those in India. y We will imbibe state of the art technology to drive excellence. VALUES y We will always be honest, transparent and ethica l. y We will respect our customers and fellow associates. y We will be knowledge driven. y We will learn and we will share our learning. y We will never take the easy way out. y We will do everything we can to contribute to the community we work in. y We will nurture pride in India 21. HRD philosophy of SBI Facing Interview? 2011/Team SBLC Patna/PKM Page 40 Our HRD philosophy aims at enabling every member of the staff to work as part of an effective team and to activate his potential with the objective of a chieving the Banks goal. 22. Training philosophy of SBI Training in SBI is a Pro -active, Planned & Continuous process, as an integral part of the organizational development. It seeks to impart knowledge, improve skill and re-orient attitudes for individual growth and organizational effectiveness.

-----------************ ------------As per Basel II, the capital adequacy ratio of the Bank was 11.98% (Tier I : 7.77%) at the end of March11 (against 13.39% at the end of March10). To expand its outreach, your Bank has covered 6,599 allocated unbanked villages with population more than 2000 as at 31st March 2011 as against the target of 5,261 villages for the year. In accordance with RBI guidelines, the Bank has migrated to the Basel II framework, with the Standardised Approach for Credit Risk and Basic Indicator approach for Operational Risk w.e.f. March 31, 2008, having already implemented the Standardised Duration Method for Market Risk w.e.f. March 31, 2006.

In the realm of Information Technology, your B ank has implemented a secure, robust scalable WAN architecture network built with equipments owned by SBI, connecting 19,347 Branches/Offices and 25,005 ATMs of State Bank Group through leased lines, VSATs and CDMA technology. The State Bank Group crossed an important milestone of rolling out 25,000th ATM during the year. CBS roll out across the domestic branches is supported with a state -of-the-art centralized infrastructural setup, providing uninterrupted continuity of the Bank s operations. It facilitates the scalability for future growth, interfacing with multiple alternate channels, reduction in transaction costs, improved operating efficiency. Milestones of 52 million peak transactions in a day, 1,861 transactions per second and managing 258 million ac counts have been achieved in recent months. Operatives have been provided with tools for on-line real time transaction verification. E -Trade internet based front end application have been rolled out for corporate customers for processing various trade finance transactions. Your Bank has been supporting sustainable growth through its Green Banking initiatives. Your Bank launched its Green Channel Counter on the 1st July 2010, at select branches across the country, for reduction in paper usage as well as saving of transaction time. Windmills have been successfully commissioned in Maharashtra, Tamil Nadu and Gujarat and power thus generated is being wheeled to our branches/offices. Other energy efficient measures include installation of Solar ATMs. To encourage customers to reduce emission of Green House Gases your Bank has been extending project loans on concessionary interest rates, encouraging them to adopt efficient manufacturing practices through acquisition of latest technology. A pilot project to map its Carbon footprint levels has been launched by your Bank which will help in sustainable usage of energy in a cost effective way. Your Bank has received several awards. To name a few, SBI Home Loan has maintained its position as India s Most Preferred H ome Loan brand in CNBC-Awaaz consumer awards continuously for five years since 2006. In the Mobile Banking space, in June 2010 your Bank received the Prestigious IDRBT award for Best use of technology for mobile banking and payment application. Other awards include The Banker - Innovation in Banking Technology Award 2010 for GREEN ATM installation, the NASSCOM CNBC IT User Award 2010, VISA 2009 Global Service Award under which the Bank s ATM cum debit card was declared to have the lowest transaction response time, and IBA Technology Award: Best Customer Initiative and Best Online Banking.

SBI net slips 45.6% for first quarter

14 August 2011 Higher investment depreciation, loan loss provisions take a toll. Bank says wont require more provisions.

The countrys largest lender, State Bank of India (SBI), on Sunday reported a 45.66 per cent fall in its net profit for the first quarter of this financial year, on account of higher investment depreciation and loan loss provisions. The bank, however, has expressed hope it will not require further provisioning in the coming quarters and a part of what was made earlier will come back. SBIs net profit in the April -June quarter this year stood at Rs 1,584 crore, against Rs 2,914 crore in the same period of 2010 -11. The Mumbai-based bank had made provisions of Rs 5,659 crore during the quarter, against Rs 3,220 crore in the year -ago period an increase of 75.73 per cent. Provisions against bad loans increased 60.48 per cent, to Rs 2,782 crore, while provisioning on in vestment depreciation increased 451.29 per cent, to Rs 1,048 crore Gross non-performing assets (NPAs) of the bank increased to 3.52 per cent of the advances, compared to 3.14 per cent in the same quarter last year. Net NPAs on the other hand fell to 1.61 p er cent from 1.7 per cent. The operating profit of SBI increased 18.06 per cent to Rs 7,242 crore. Total income for the quarter, however, increased by 25 per cent to Rs 27,732 crore. The bank expects an operating profit of Rs 7,000 crore and net profit of Rs 2,500 crore in the second quarter. SBIs net interest income (NII) increased 32.80 per cent to Rs 9,700 crore, an all time high, compared to Rs 7,304 crore in the first quarter of last year. Net interest margin (NIM) for the June quarter was at 3.62 per cent.

New RBI rules about ATM usage

Economic Times 8 August 2011 Over the past couple of years, there has been a vast change in the way you conduct your banking transactions, be it online payments, swiping cards at shopping outlets or withdrawing cash from ATMs. The RBI regulations aimed at strengthening the safety infrastructure and banks encouraging the use of alternative channels like ATMs has meant that the routine transactions have become more userfriendly and secure.

Banks too are keen that ATMs are seen as more than just cash dispensing machines, resulting in their increased usage. "After the changes in the regulation on ATM usage, we have seen a four -fold increase in non-Standard Chartered customers accessing our ATMs," says Rajashree Nambiar, general manager, distribution, Standard Chartered Bank. Concurs Shalini Mehta, executive vicepresident, Kotak Mahindra Bank: "ATM usage has certainly gone up. The total transactions have increased by 106% since April 2009. Customers have adapted to ATMs as one of the most preferred channels for basic banking transactions." To make the most of this conducive environment, you need to be wellacquainted with the regulations governing ATM transactions that have been introduced in the past few months. Here are some you should know about. Limited free transactions The most recent stricture from the banking regulator concerns third-party ATM transactions. Beginning 1 July, the five free

transactions allowed at third-party ATMs include non-financial transactions as well. So, while earlier there was no limit on nonfinancial transactions like balance enquiry and taking a mini -statement, now these will be charged.

The HDFC Bank, for instance, charges Rs 20 per transaction for cash withdrawal and Rs 8.50 for non-financial transactions from account holders who exceed the free usage limit at third-party ATMs. Says Sumant Kathpalia, head, consumer banking, IndusInd Bank: "For savings account holders who maintain an average balance of Rs 10,000 or more, all third -party ATM transactions are free. For others, we charge Rs 20 per incremental cash withdrawal and Rs10 for non financial transactions after they have used their five free services per month. But for certain types of accounts, such as the premium account, the charges are waived." Not all banks have a differential charge structure and could levy the same charges for all kinds of transactions. Alerts for all transactions Another customer-friendly measure that has been introduced from 1 July is one that could minimise t he damage caused by misuse of lost or stolen cards. Banks have been asked to send SMS alerts to their customers for all card transactions, be it online, at merchant establishments or ATMs. Prior to this, banks sent alerts only if the value of transactions exceeded a

certain limit, usually Rs 5,000. With this facility being extended to all transactions, you will be in a better position to take immediate remedial measures, such as blocking the lost or stolen card in case a fraudulent transaction is conducted without your knowledge or consent. Compensation structure There have been several complaints, wherein an ATM fails to dispense cash but the amount is debited from the card holder's account. Besides, banks have been known to drag their feet over rectifying such errors. The RBI has now directed the banks to resolve such issues within seven working days of a complaint being made, failing which the banks will have to pay a compensation of Rs 100 for each day of delay. Before 1 July, the banks were given 12 day s to rectify the errors involving faulty debits by ATMs. However, to be eligible for the compensation, you need to have made the complaint within 30 days of the failed transaction.

PIN for all ATM transcations Since 1 January this year, the RBI has mandated that account holders will have to enter their PIN for every individual transaction at the ATM. Earlier, you could carry out several transactions by entering the PIN just once. This effectively rules out the possibility of anyone withdrawing cash from your account in case you forget your debit card in the ATM slot. Other services In an attempt to reduce the number of customers who visit branch offices, banks have introduced several services that can be availed of at ATM kiosks and, of course, through the bank Websites. Since these services have not been mandated by the RBI regulations, they haven't had a quick impact, but such efforts have helped in shedding the perception that the sole function of ATMs is to give out cash. Many banks offer services that not only save time but also effort. These include paying utility bills and taxes, fund transfers, donations to charities, etc, through their ATMs. "Our account holders can perform multiple transactions, which include prepaid mobile top -ups, fund transfer to any Stan-Chart account, request for cheque book or account statement, cash or cheque deposit (at select ATMs), and online/mobile banking registration," says Nambiar.