INTRODUCTION

The rich heritage of State Bank of Patiala dates back to the year 1917, when it was founded by Late His Highness Bhupinder Singh, Maharaja of erstwhile Patiala state, with one branch by the name of 'Chowk Fort, Patiala' to begin with. The Bank, then known as the 'Patiala State Bank' was state owned and setup for the explicit purpose of fostering growth of agriculture, trade and industry. The constitution, scope and operations of the Bank underwent a sea change with the formation of the Patiala and east Punjab States Union (PEPSU) in 1948.The Bank was then reorganized and brought under the control of Reserve Bank of India. It was christened as the Bank of Patiala. Another milestone in history of the Bank was its becoming a subsidiary of the State Bank of India on 1st April,1960 when it was named as the State Bank of Patiala and since then it has grown significantly both in size and volume of business. During these glorious years, the Bank has been playing an important role in banking sphere. Our bank has now added a golden chapter to its history by fully networking all its brances on Core Banking Solutions on 08.08.2005 and become the first fully networked Public Sector Bank in the country.

Performance Highlights for 2009-10

Total Business crossed Rs. 1,11,111 crores. Operating Profit is Rs.1307.71 crore (growth 35.45%). The Capital Adequacy Ratio under Basel-II is 13.26%. NIM increased to 2.61% from 2.17% last year. Provisioning Coverage Ratio is 63.78%.

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Bank s Credit-Deposit Ratio stood at 73.31%. Book value of Rs.100 per share improved from Rs.1141 to Rs.1271. Cost of Deposit decreased to 6.82% from 7.89% on last year.

Performance for the last 5 years

Particulars Total Income Total Expenditure including provisions Net Profit Earning per share of Rs.100 each (Rs.) Return on Average Assets (%) Return on Equity (%) Yield on Advances (%) Cost of Deposits Paid up Capital & Reserve & Surplus Deposits Advances (including Bills) Total Assets/Liabilities Number of Branches Capital Adequacy Ratio(%) Basel-I Basel-II Net NPAs (%) Business per Branch -0.99 74.25 -0.83 89.09 13.56 0.60 106.48 12.60 0.60 122.51 13.26 1.04 125.17 2005-06 2808.58 2505.47 303.11 1225 0.73 13.56 8.06 4.90 2235 2006-07 3507.35 3140.82 366.53 1481 0.77 14.73 8.90 5.52 2488 2007-08 4905.94 4492.21 413.73 1672 0.83 15.27 10.53 7.31 2709 48570.54 36400.04 59060.04 798 (Rs. in crores) 2008-09 2009-10 6435.69 6649.71 5904.15 6098.82 531.54 193* 0.83 16.96 11.32 7.89 3134 550.89 200** 0.79 14.70 10.75 6.82 3747

33777.71 39183.62 22180.02 29055.76 41416.97 47460.70 758 766

60006.18 64551.94 43634.12 46347.23 69665.44 76076.97 846 886

13.55

12.38

12.50

11.44

12.45

* Bank raised its capital from Rs.24.75 crores to Rs.274.75 crores. ** Bank raised its capital from Rs.274.75 crores to Rs.294.75 crores.

INTEREST RATE
DOMESTIC DEPOSITS : INTEREST RATE

PERIOD
7 to 14 days 15 to 45 days 46 to 90 days 46 to 90 days
181 days to < 1 year

PUBLIC 6.25 6.25 6.25 7.25 8.25 9.50 9.75 9.25 9.25 9.25 9.25 8.75 8.75 8.75 9.00

SENIOR 6.25 6.25 6.25 7.25 8.25 10.00 10.25 9.75 10.25 9.75 9.25 9.25 9.25 9.25 ----

1year to 554 days

555 days

556 days to 2 years

2 years to 998 days

999 days

1000 days to < 3 years

3 years to < 5 years 5 years to < 8 years 8 years to 10 years Deposit for 18 years ( for girl child) Cir. No. PSB/PNS/34 dated 24.09.2010

AGRICULTURE FINANCE
INTEREST RATE STRUCTURE FOR AGRICULTURE LOANS FOR DIRECT & INDIRECT FINANCE Effective from 01-03-2010

SHORT TERM LOANS (AMOUNT UPTO Rs.25.00 LACS) Size of Credit Limit Upto Rs. 50,000/Above Rs.50,000/- and upto Rs.2.00 lacs Above Rs.2.00 lacs and upto Rs.3.00 lacs Above Rs.3.00 lacs and upto Rs.5.00 lacs Above Rs.5.00 lacs and upto Rs.25.00 lacs (BPLR@14.50 TO 15.00%) w.e.f 17.08.2011 (P.A.) 3.25% below BPLR i.e. 9.00% p.a. 2.25% below BPLR i.e. 10.00% p.a. 1.50% below BPLR i.e. 10.75% p.a. 0.50% below BPLR i.e. 11.75% p.a. 0.50% above BPLR i.e. 12.75% p.a.

SHORT TERM LOANS (AMOUNT ABOVE Rs.25.00 LACS) CRA Rating SB 1-2 SB 3-5 SB 6-7 SB 8-16 Note: 1. Crop loans/ production loans upto Rs. 3.00 lacs will be charged @7% p.a. on eligible accounts, as per directives of RBI. In all other cases normal rate of interest as stated above will be applicable. Additional concession of 1% in rate of interest will also be available to prompt paying farmers. 2. However, in respect of individual farmers availing loans above Rs. 25.00 Lacs for Direct agricultural advances credit rating norms are waived. For these borrowers proposed rate of interest is 0.50 % above BPLR (i.e. 12.75%). (BPLR@14.50 TO 15.00%) w.e.f 17.08.2011 (P.A.) BPLR i.e. 12.25 %p.a. 0.75% above BPLR i.e. 13.00 %p.a. 1.25% above BPLR i.e. 13.50 %p.a. 1.50% above BPLR i.e. 13.75 %p.a.

BOARD OF DIRECTORS

Shri Pratip Chaudhuri, Chairman, State Bank of India, Corporate Centre, MUMBAI

Shri R.Sridharan Managing Director& Group Executive (Associates & Subsidiaries) State Bank of India Corporate Centre Mumbai Shri B.S. Gopalakrishna, General Manager (Associate Banks), State Bank of India, Corporate Centre, MUMBAI 400021 Shri Swarn Singh Boparai, 67, Sector 9 A, CHANDIGARH

Shri Ashok Nayar, Managing Director, State Bank of Patiala, Head Office, The Mall, PATIALA 147001 Shri Rakesh Chander Jasra, Non-Workmen Director, State Bank of Patiala, Zonal Office, NEW DELHI

Shri B. Ramesh Babu, Dy. General Manager (Associates & Subsidiaries), State Bank of India, Corporate Centre, MUMBAI Shri Ashwani Kumar Gupta, 85, Green Park, Cool Road, JALANDHAR CITY

Dr. Abhijit Mukherjee, Director, Thapar University, PATIALA

Shri R.K. Sood, Under Secretary, Government of India, Ministry of Finance, Department of Financial Services, Jeevan Deep Building, Sansad Marg, NEW DELHI 110001 Dr. Amarendra Sahoo, Regional Director, Reserve Bank of India, LUCKNOW

Shri Jagdish Sharma Workmen Director, State Bank of Patiala, Shastri Bhawan NEW DELHI

Shri Verjinder Kumar Gupta, 261, Dalima Vihar, RAJPURA 140401