DateDdddd. UNITED BANK OF INDIA (The Bank that begins with U) Financial Results for Q-3 (FY ) PRESS RELEASE

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DateDdddd Date: 20 th January, 2011 UNITED BANK OF INDIA (The Bank that begins with U) Financial Results for Q-3 (FY 2010-11) PRESS RELEASE 1.

1 DateDdddd Date: 20 th January, 2011 UNITED BANK OF INDIA (The Bank that begins with U) Financial Results for Q-3 (FY ) PRESS RELEASE 1. Table of Contents Highlights for Q3 ended, December, 2010 (FY10-11) Other Key Highlights for Q3 ended, December, 2010 (FY10-11) 1 2 Page No. 2. Details of Performance 3-7

2 Performance Highlights of Q-3 ended December 31, 2010 Performance Highlights of Q-3 ended December 31, 2010 Net Profit up by 33.9 % to ` crore. Net Interest Income increased by 59.7 % to ` crore from ` Crore as on December 09. Operating Profit up by 84.5% to ` crore as against ` crore for the quarter ended December 09. Advance up by 19.1 % to reach at ` crore. Deposit up by 11.2 % to reach ` crore. Share of CASA increased to 40.2 %. Net Interest Margin at 3.20 % (2.14% in December 09.) Return on Average Assets (RoA) improved to 0.65 % from 0.52 % in December 09.). Net NPAs stood to ` 763 crore. Return on Equity-(RoE) of % (Page 1 of 7)

3 Other Key Highlights of Q-3 ended December 31st, 2010 MSME Advances grew by over 19 % reaching ` 7390 crore. Agriculture Advances increased to ` 4897 crore registering a growth of over 12.6%. Auto Loans increased by 60.5 % to reach ` 374 crore, Housing Loans to individuals grew by 22.4% to reach ` 2302 crore Education Loan increased by 13.4% to reach ` 441 crore. The Priority Sector Advances increased to ` Crore as on 31 st December, 2010 from ` Crore as on December 09 there by registering a growth of 22.9 % on y-oy basis. Book value per share of ` (Page 2 of 7)

4 Details of Performance United Bank of India today reported its financial performance for the Q-3 ended 31 st December, The Board of Directors of United Bank of India has taken on record the audited Q-3 ended (FY ) 31 st December, 2010 at its meeting held in Kolkata today. Shri Bhaskar Sen, Chairman & Managing Director of the Bank informed that the Bank performed well during the quarter in comparison to its industry peers and achieved a Total Business of ` Crore recording a y-o-y growth of 14.3 %. The Deposits soared to ` Crore registering a growth of 19.1 %. The share of CASA stood at 40.2 %. The Savings Bank deposits and Current Deposits increased to ` Crore and ` 6230 Crore respectively with y o-y growth of 30.5 % and 25.2 %. 1. The Net Profit of the Bank stood at ` Crore as on 31 st December, Bank s Interest Income during the Q-3 increased by 21.9 % on y-o-y basis to reach ` crore. 3. Capital Adequacy Ratio (CRAR) was at % as on 31 st December, As on 31 st December, 2010, the gross Advances increased to ` Crore recording a growth of 19.1 % on y-o-y basis. On a y-o-y basis, the MSME Advances grew by over 19% reaching ` 7390 crore as on 31 st December, 2010, Agriculture Advances increased to ` 4897 Crore registering a growth of 12.6 %, Retail Loans increased by 33.7 % to reach ` 6915 Crore, The Priority Sector Advances increased to ` Crore as on 31 st December, 2010, from ` Crore as on 31 st December, 2009 thereby registering a growth of 22.9 % on y- o-y basis. The CD Ratio of the Bank stood at 69.3 % as on 31 st December, As 31 st December, 2010 the Gross NPA ratio stands at 2.93 %. The Net NPA Ratio of the Bank stood at 1.52 % as on 31 st December, 2010 (Page 3 of 7)

5 6. Expansion Plan Under the Expansion Plan, the Bank has opened its two new Regional Offices, one at Chandigarh on 27 th October, 2010 and another at Raipur (Chattisgarh) on 1 st January, The Bank is also on the move of rapid branch expansion, across the country. 9 Branches were during the quarter and the bank has a plan for opening total 57 branches during the FY Initiatives on Bank s 61st Foundation Day (18 th Dec,2010): A. Setting up Arsenic Treatment Plant. To provide safe drinking water at an Arsenic affected village in Gaighata Block, North 24 Parganas District, Bank set up an Arsenic Treatment Plant. The plant will provide arsenic free safe drinking water to 3000 families in the locality. Bank has contributed `14.26 lakh from its Socio Economic Development Foundation Trust to set up this plant. B. Customer Service Points Bank has set up Customer Service Points in 61 unbanked villages of which 39 villages in West Bengal and 22 villages in Tripura to provide doorstep banking facilities using Biometric Smart Card through Business Correspondent Model. Initially villagers may undertake cash deposit and withdrawal in the No frills accounts and avail small value overdraft facility. Gradually bank will extend Term Deposit, Loan products like KCC, Remittance facility, Micro insurance and Micro Pension. All the Government benefits like payment under NREGA, Social security pension will be paid at the doorstep of the beneficiaries through this channel. 8. Financial Inclusion Plan Under the FIP Bank started full fledged Financial Inclusion Programme (FIP) on December 7, 2010 from Kumarhat village in South 24 Pargans District, West Bengal. Dr Subir Gokarn, Dy Governor, Reserve Bank of India had inaugurated the Customer Service Point of the Bank at Kumarhat. (Page 4 of 7)

6 Bank is speeding ahead towards implementation of its FIP as per the following initiatives- As per the Financial Inclusion Plan (FIP), United Bank of India will extend ICT based banking services in 4341 un-banked villages covering 83 Distt. in 11 states within the F.Y. ending Out of 4341 villages, 1841 villages are having population of more than 2000 and 2500 villages are having population of less than 2000 villages. Out of 4341 villages, 45 villages will be serviced through opening of Brick & mortar branches and rest of 4296 villages will be covered by Information & Communication Technology (ICT) based services through Banking Correspondent (BC) model. As per the roadmap, we shall extend banking services in 1400 villages during the F.Y and 2941 villages will be covered in the next F.Y. i.e Bank has initiated a Pilot project on FI at Purulia Districts wherein 64 villages have been taken up and about 10,000 households have been enrolled. Bank is also exploring the scope for Kiosk and Mobile Van based Financial Inclusion. In this direction, dialogue with the existing vendor is under process for integration with our CBS system. Our R-SETI, Rajpur in 24 Parganas (South) has been accredited by the IIBF for imparting training to Banking Correspondent (BC)/ Business Facilitator (BF). Shri Sen informed that for 100% Financial Inclusion, Bank has adopted Fulban-Haldi village under Sagardighi Gram Panchayat, Dist Murshidabad for all around development. As a part of Financial Inclusion, Bank is organizing regular Credit Delivery camps in the target areas. Bank has decided to form at least, two Farmers Clubs in the current financial year through Bank s each rural branch and these Farmers Clubs will help for extending agriculture credit. The Bank is having the responsibility of as a Convener SLBC in the states of West Bengal & Tripura, and is committed to implement the schemes of Financial Inclusion. (Page 5 of 7)

7 9. Opening of Central Processing Centre-Retail Hub To serve the esteemed customers, Bank opened its 1 st Central Processing Centre-Retail Hub at Bidhan Nagar, Salt Lake City, Kolkata on 1 st January, 2011 and is in the process of setting up another 26 Retail Hubs all over the country. These Retail Hubs will cater to the needs of the branches in processing and sanction of retail credit products. These Hubs will accelerate appraisal, sanction and disbursal of retail loans reducing thereby response time drastically. The Hub would automate the retail lending process through LAPS software that collects details of every applicant and presents a detailed risk profile based on predefined risk parameters. These Retail Hubs will also help in product innovation to match the requirement of customer segments. This new delivery channel will help in tapping of unexploited potential and increasing 10. Progress in rolling out of CBS Platform in Bank s Sponsored RRB Shri S.L.Bansal, Executive Director of the Bank,, mentioned that under special drive,bank has already started rolling out of CBS in the branches of Bank s sponsored Regional Rural Banks and Mitragunj was the 1 st Branch of Bank s Sponsored Bangiya Grameen Vikash Bank located in 24 Pargans (S) in WB, migrated to CBS platform on 1 st October So far 50 branches have been migrated under CBS. The Bank has also started this drive in other RRBs sponsored by the our Bank. Till date, 26 ( out of total 553)branches at Bangiya Gramin Vikash Bank, 13 ( out of total 360 ) branches at Assam Gramin Vikash Bank, 7 ( out of total 113) branches at Tripura Gramin Bank and 1 ( out of total 18) branches at Manipur Rural Bank, have been already brought into CBS platform. 11. BANK S R-SETIs Bank has set-up 7 Rural Self Employed Training Institutes (R-SETIs) till date. The 7 th R-SETI was inaugurated on at Durgapur, Raiganj, Uttar Dinajpur in West Bengal. Of these 7 R- SETIs, 4 R-SETIs are located in West Bengal, 2 in Assam and 1 in Tripura. All the institutes are having residential facilities. Skill and Entrepreneurship Development Training for self employment, boarding and lodging facilities are provided to the trainees free of cost. (Page 6 of 7)

8 On completion of training loans are provided to the eligible and willing trainees from the Bank for setting their own venture. Till date the R-SETIs have imparted training to 5273 beneficiaries of which 2765 (52%) are women beneficiaries trainees have been self employed after getting training from R-SETIs and the success rate is 71% trainees have got loan from Bank for setting up their units. Bank has plan to open 9 more R-SETIs of which 2 will be opened in West Bengal (Purulia and Dakshin Dinajpur Districts), 5 in Assam and 1 each in Tripura and Manipur. 12. HR Initiatives: The Bank is on the move for recruitment of recruitment of 776 Probationary Officers, 700 Clerks. During this period, Bank had also initiated recruitment drive to fill up the posts of Senior Manager / Manager (Risk Management), Manager (HR), Officer (Official Language Division) etc. Presently, the above recruitment processes are in the final stage and candidates are likely to join in February, During the quarter under review, Bank had also initiated campus recruitment programme for Marketing Officers in JMG Scale-I. Presently, the campus recruitment process is in operation where 31 Marketing Officers will be recruited for placement in all the regional offices. Campus recruitment of Chartered Accountants in MMG Scale-II is slated to take place on Bank is also going to recruit IT Officers in MMG Scale-II through Campus as well as through direct recruitment. The process of Direct recruitment of Chartered Accountants in MMG Scale-III has already been initiated. Major thrust of the HR Department during the last quarter was on recruitment of quality personnel. The thrust is given to acquire manpower to meet requirement against retirement, attrition and also to manage expanding business volume. Skill upgradation of the employees at all level remained an obsession with the HRD Department. The Staff Training College, Kolkata has been revamped. Decision has been taken to reopen the three erstwhile closed staff training centres and to convert the CBS Training Centres at New Delhi, Mumbai & Kolkata to full fledged training facility. Eligible employees have been liberally nominated to various external training programmes. During this period three top executive grade officers were nominated to take part in various overseas training programmes. Few officers in the Senior management grade have also been nominated to overseas training programmes. (Page 7 of 7)

UNITED BANK OF INDIA FINANCIAL RESULTS FY

29 th April, 2011 UNITED BANK OF INDIA FINANCIAL RESULTS FY 2010-11 PRESS RELEASE 1. Table of Contents Highlights for Q4 ended March 31, 2011 (Q4 FY11) Highlights for FY ended March 31, 2011 (FY11) Other