Investor Presentation MARCH-2013

IMPORTANT NOTICE

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No representation or warranty, express or implied is made as to, and no reliance should be placed on, thefairness, accuracy, completeness or correctness of such information or opinions contained herein. The informationcontained in this presentation is only current as of its date. Certain statements made in this presentation may not bebased on historical information or facts and may be “forward looking statements”, including those relating to theCompany’s general business plans and strategy, its future financial condition and growth prospects, and futuredevelopments in its industry and its competitive and regulatory environment. Actual results may differ materially fromthese forward-looking statements due to a number of factors, including future changes or developments in theCompany’s business, its competitive environment and political, economic, legal and social conditions in India. Thiscommunication is for general information purpose only, without regard to specific objectives, financial situations andneeds of any particular person. This presentation does not constitute an offer or invitation to purchase or subscribe forany shares in the Company and neither any part of it shall form the basis of or be relied upon in connection with anycontract or commitment Important Notice whatsoever. The Company may alter, modify or otherwise change in anymanner the content of this presentation, without obligation to notify any person of such revision or changes. Thispresentation can not be copied and/or disseminated in any manner.

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Table of Contents

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• Overview • Snapshot • Transformation• Strategy

• Business Performance • Financial Highlights • Results

• Network• Shareholders• Accolades

Snapshot

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Last 5 year CAGR: 26% business; PAT CAGR of 27%; RoAA up from 1.09% to 1.17%. Improving asset yield as bank builds fee income streams in addition to interest income

Steadily improving asset quality; GNPA at 1.36%, NNPA 0.78%

Mr. Amitabha Guha , Non Exec, Chairman (ex-Joint MD of SBI, ex MD -SBT, SBH)Proactive management led by Dr. V. A. Joseph, well supported by 2 ExecutiveDirectors, 2CGMs and 6 GMs – 6 GMs life time bankers at the bank

Young workforce (avg. age of 36 years) with continuity of management2 CEOs in the last decade

84 year old franchise; Leading position in Kerala; Expanding fast outside

Strong protection of stakeholder interestStock return of 592% since IPO, and 10.71% since QIP in 2012

Growth and Profitability

Quality

Board and Management

Building for future

Track record

Stakeholder value

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Significant Transformation Since 2009

3.17

2.77

3.063.10

3.21

2.50

2.60

2.70

2.80

2.90

3.00

3.10

3.20

3.30

FY 09 FY 10 FY 11 FY 12 FY 13

NIM

0.96

0.92

0.89

0.991.01

0.820.840.860.880.900.920.940.960.981.001.02

FY 09 FY 10 FY 11 FY 12 FY 13

RoA

47.80

47.1446.82

48.65

47.48

45.50

46.00

46.50

47.00

47.50

48.00

48.50

49.00

FY 09 FY 10 FY 11 FY 12 FY 13

Cost to Income1.13

0.390.29 0.28

0.78

0.00

0.20

0.40

0.60

0.80

1.00

1.20

FY 09 FY 10 FY 11 FY 12 FY 13

Net NPA

Strategy

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50 addition to branches, 100 ATM additions per yearProportion of branches outside Kerala : 1:1Second largest player in Kerala among private banks

Priority banking in 80 centres; NRE banking to attract depositsCASA ratio to increase 1% per annumCost/Income to decline 1% per annum

30% from wholesale banking ; 30% from SME and 40% from retail by FY15Credit growth rate of 25% till FY15; NIM to be maintained in 3% rangeFee income to be 10%NNPA to be under 0.50%

Strong distribution network

Low cost liabilities and Cost/Income

Growth with quality

Business Performance

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Financial Highlights – As on March 2013

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Rs. In Crore

Q4FY13 Q4FY12 Y-o-Y (%) Q3FY13 Q-o-Q (%)

Capital & LiabilitiesCapital 133.85 113.39 18.04 133.62 0.17Reserves & Surplus 2,869.76 2054.11 39.71 2,823.89 1.62Deposits 44,262.30 36500.53 21.26 38,939.56 13.67Borrowings 1,284.56 588.19 118.39 971.14 32.27Other Liabs. &Provisions 1,244.56 1113.84 11.74 1,011.19 23.08

Total 49,795.03 40370.06 23.35 43,879.40 13.48AssetsCash & Balances with RBI 1,696.70 1571.84 7.94 1,844.98 -8.04Balances with Banks 2,639.20 1068.70 146.95 1,516.03 74.09Investments 12,523.47 9399.87 33.23 10,509.92 19.16Advances 31,815.53 27280.74 16.62 29,039.41 9.56Fixed Assets 396.12 377.51 4.93 386.52 2.48Other Assets 724.01 671.40 7.84 582.54 24.28Total 49,795.03 40370.06 23.35 43,879.40 13.48Business (Advances+Deposit) 76,077.83 63781.27 19.28 67,979 11.91

Balance Sheet Overview

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Result Review

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Rs. In CroreProfit and Loss Account (Cumulative)

Q4FY13 Q4FY12 Y-o-Y (%) Q3FY13 Q-o-Q (%)

Net Interest Income 333.70 284.56 17.27 352.62 -5.37Other Income 120.96 82.50 46.62 66.16 82.83Total Income 454.66 367.06 23.87 418.78 8.57Operating Expenses 248.56 204.03 21.83 183.42 35.51Operating Profit 206.10 163.03 26.42 235.36 -12.43

Provisions & Contingencies 65.89 12.33 434.39 45.49 44.85Profit before Tax 140.21 150.70 -6.96 189.87 -26.15Provision for Tax -13.62 28.75 -147.37 61.62 -122.10Profit after Tax 153.83 121.95 26.14 128.25 19.95

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Performance Highlights Mar-12 June-12 Sep-12 Dec-12 Mar-13

CRAR Basel 2 (%) 14.0% 13.2% 14.4% 13.8% 13.9%RoAA (Annualised) 1.1% 1.2% 1.1% 1.1% 1.2%NIM (%) 3.1% 3.2% 3.1% 3.2% 3.2%Gross NPA (%) 1.0% 1.1% 1.7% 1.6% 1.3%Net NPA (%) 0.3% 0.4% 0.9% 0.7% 0.8%Provision Coverage 71.4% 67.7% 51.2% 58.6% 53.2%CASA % 19.7% 21.1% 20.0% 20.4% 18.6%

Other Performance Highlights

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11

Composition of Other Income

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Composition of Other Income

Q4FY13 Q4FY12 Y-o-Y (%) Q3FY13 Q-o-Q (%)

Commission & Exchange 11.49 13.53 -15.07 9.62 19.44

Processing Fees 7.67 6.07 26.35 4.82 59.13

Profit on Sale of Investments 13.74 8.96 53.35 13.17 4.33

Foreign Exchange Profit 11.89 6.15 93.33 3.90 204.87

Others 76.17 47.79 59.38 34.65 119.83

Total 120.96 82.50 46.67 66.16 82.83

Rs. In Crore

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Trend in Cost of Deposits

Trend in Cost & Yield (Annualized)

Trend in Yield on Advances

7.3 6.9 6.6

7.9 8.3

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0

Mar-09 Mar-10 Mar-11 Mar-12 Mar-13

11.7

11.110.9

12.512.7

9.5

10.0

10.5

11.0

11.5

12.0

12.5

13.0

Mar-09 Mar-10 Mar-11 Mar-12 Mar-13

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Break-up of Provision (other than tax)

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Particulars 4Q FY 13 4Q FY12 3Q FY 13

For NPA advance 42.07 13.70 25.97For Depreciation on Investments 9.73 -10.41 1.51For standard assets 15.46 11.55 9.75For Restructured advances -0.12 0.67 8.21Others -14.88 25.56 61.67

Total Provisions and Contingencies 52.26 41.07 107.11

Rs. In Crore(Quarter alone)

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Composition of Loan Book

56809188

6782

49263730 6675

10052

1455518706

0

5000

10000

15000

20000

25000

30000

35000

Mar'11 Mar'12 Mar'13

Retail Adv SME & Agri Corporate

Rs. In Crore

27%33%

21%

24% 14%21%

49%53% 58%

0%

20%

40%

60%

80%

100%

120%

Mar'11 Mar'12 Mar'13

Retail Adv SME & Agri Corporate

In %

Retail Advance - exposure less than Rs. 5 Crore

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Advances – Composition (March 2013)

Sector Total % to Total

Gold Loan 6,972 21.7 %

Infrastructure 5,340 16.6 %

MSE 4,525 14.1 %

Large Industry(Ex. Infra) 4,501 14.0 %

UBP/LC 2,868 8.9 %

Agriculture 2,149 6.7 %

Others 1,801 5.6 %

Housing 1,621 5.0 %

FSLD 1,051 3.3 %

Medium Industries 649 2.0 %

Food Credit 555 1.7 %

CRE 131 0.4 %32,163 100 %

Rs. In Crore

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Strong Core Capital. Low Dependence on Capital Instruments

Strong Core Capital (Tier 1 & Tier 2 CRAR)

Quarterly data for Tier I excludes profit for the period

11.5410.90

12.32 11.78 12.05

2.46 2.26 2.11 2.07 1.86

0

2

4

6

8

10

12

14

Mar-12 Jun-12 Sep-12 Dec-12 Mar-13

Tier I CRAR Tier II CRAR

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Branch Network

No. of Branches

North 46

South 634

East 24

West 46

Total 750

Target 1:1 Outside Kerala

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Strong Retail Franchise

Total Branch NetworkTotal ATM Network

ATM : Branch ratio above 1.0x

280

373

489

663

800

0

100

200

300

400

500

600

700

800

900

FY 09 FY 10 FY 11 FY 12 FY 13

530580

641700

750

0

100

200

300

400

500

600

700

800

FY 09 FY 10 FY 11 FY 12 FY 13

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Marquee Investor List

Major Institutional Shareholders

Public, 32.36

Domestic, 9.00NRI,

2.25

FII, 43.97

Corp & Banks, 9.57

Others, 2.75

Strong Institutional Ownership

INDIA CAPITAL FUND LIMITED 5.9%

IFCI LTD 4.98%

FIRST CARLYLE VENTURES MAURITIUS 4.97%

ARGONAUT VENTURES 4.24%

IIFL INC A/C MULTIPLES PRIVATE EQUITY FII I 4.05%

LIFE INSURANCE CORPORATION OF INDIA 3.69%

Recognitions

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TECHNOLOGY EXCELLENCE AWARD 2011-12 FROM IDRBT

BUSINESSWORLD INDIA’s BEST BANK 2010 AWARD to SOUTH INDIAN BANK

SOUTH INDIAN BANK BAGS TWO PRESTIGIOUS D&B BANK AWARDS

SOUTH INDIAN BANK BAGS FIRST MASTERCARD INNOVATION AWARD FOR ACTIVATION AND USAGE PROGRAM