4.final term paper of fm

8/14/2019 4.Final Term Paper of FM

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TERM PAPER

OF

FINANCIAL

MANAGEMENT

TOPIC: AXIS BANK (UTI BANK)

SUBMITTED TO: - SUBMITTED BY:-

MS.KAWALPREET KAUR VISHAL PATYAL

ROLL NO. 03

CLASS:-BT MT CSE

SECTION- C

REG. NO:-3050060122


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Acknowledgements:-

First of all I would like to express my sinceregratitude to the almighty for encouraging me tocomplete this term paper. The following aresome important people in my life who gave mestrength and valuable suggestions to completethe task.

First, my parents, friends, whose love andaffection give me strength and encouragementto face challenges of life.

Second, my mam Kawalpreet kaur, whoseinspiration, motivation spiritual guidancealways keeps me in the right path and keeps myfaith in God almighty without whose blessingsnothing is possible.

Finally, thanks for the Lovely ProfessionalUniversity which gave me great opportunity tomake the term paper.


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Table of contents: -BACKGROUND OF AXIS BANK: -Branch Network

Resilient fundamentalsRisk and earnings perspective

History of axis bank: -

Management of Axis bank: -

Capital structure of axis bank

Dividend policy for Axis Bank: -

Liquidity position: -

Financial credibility through balance sheet: -

Profit and loss account: -

Track and report news releavant to company:-

Few milestones of Axis bank: -

Share capital of Axis Bank


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BACKGROUND OF AXIS BANK: -ABOUT AXIS BANK

Axis Bank was the first of the new private banks to have begun operations in 1994,

after the Government of India allowed new private banks to be established. TheBank was promoted jointly by the Administrator of the specified undertaking of

the Unit Trust of India (UTI - I), Life Insurance Corporation of India (LIC) and

General Insurance Corporation of India (GIC) and other four PSU insurance

companies, i.e. National Insurance Company Ltd., The New India Assurance

Company Ltd., The Oriental Insurance Company Ltd. and United India Insurance

Company Ltd.

The Bank today is capitalized to the extent of Rs. 358.89 crores with the publicholding (other than promoters) at 57.58%.

The Bank's Registered Office is at Ahmedabad and its Central Office is located at

Mumbai. Presently, the Bank has a very wide network of more than 729 branch

offices and Extension Counters. The Bank has a network of over 3082 ATMs

providing 24 hrs a day banking convenience to its customers. This is one of the

largest ATM networks in the country.

The Bank has strengths in both retail and corporate banking and is committed to

adopting the best industry practices internationally in order to achieve excellence.


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Axis Bank , previously called UTI Bank, was the first of the new private banks tohave begun operations in 1994, after the Government of India allowed new private

banks to be established. The Bank was promoted jointly by the Administrator of the Specified Undertaking of the Unit Trust of India (UTI-I), Life Insurance

Corporation of India (LIC), General Insurance Corporation Ltd., NationalInsurance Company Ltd., The New India Assurance Company, The OrientalInsurance Corporation and United Insurance Company Ltd. UTI-I holds a special

position in the Indian capital markets and has promoted many leading financialinstitutions in the country.P J Nayak is its Chairman and Managing Director.

As on the year ended March 31, 2006 the Bank had a networth of Rs. 2872.19crores with the public holding (other than promoters) at 56.65%. Net Profit for theyear was up 44.98% to Rs 485.08 crores.

Branch Network

At the end of April 2008,the Bank has a very wide network of more than 729 branch offices and Extension Counters. The Bank has a network of over 3802ATMs. The Bank's Registered Office is at Ahmedabad and its Central Office islocated at Mumbai.

Resilient fundamentals

Axis Bank stands apart from its private sector competitors ICICI

Bank and HDFC Bank in one crucial respect. While the other two banks haveenvisaged retail banking as a key area of strategic emphasis with the share of the retail business (both on the funding and asset sides) growing strongly year after year the share of retail business, particularly retail assets, has actually comedown quite sharply in the case of Axis Bank.

The numbers here are quite interesting. For ICICI Bank, retail loans now (as of June 2007) account for as much as 70 per cent of the banks total loan book of Rs2,00,000 crore. For HDFC Bank, retail assets are around 57 per cent (Rs 28,000

crore) of the total loans as of March 2007.In the case of Axis Bank, retail loans have declined from 30 per cent of the totalloan book of Rs 25,800 crore in June 2006 to around 23 per cent of loan book of Rs.41,280 crore (as of June 2007). Even over a longer period, while the overallasset growth for Axis Bank has been quite high and has matched that of the other

banks, retail exposures grew at a slower pace.
http://en.wikipedia.org/wiki/ICICI_Bankhttp://en.wikipedia.org/wiki/ICICI_Bankhttp://en.wikipedia.org/wiki/HDFC_Bankhttp://en.wikipedia.org/wiki/ICICI_Bankhttp://en.wikipedia.org/wiki/ICICI_Bankhttp://en.wikipedia.org/wiki/HDFC_Bank


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If the sharp decline in the retail asset book in the past year in the case of Axis Bank is part of a deliberate business strategy, this could have significant implications(not necessarily negative) for the overall future profitability of the business.

Despite the relatively slower growth of the retail book over a period of time andthe outright decline seen in the past year, the banks fundamentals are quiteresilient. With the high level of mid-corporate and wholesale corporate lending the

bank has been doing, one would have expected the net interest margins to have been under greater pressure. The bank, though, appears to have insulated such pressures. Interest margins, while they have declined from the 3.15 per cent seen in2003-04, are still hovering close to the 3 per cent mark. (The comparable marginsfor ICICI Bank and HDFC Bank are around 2.60 per cent and 4 per centrespectively. The margins for ICICI Bank are lower despite its much larger share

of the higher margin retail business, since funding costs also are higher).Risk and earnings perspective

Such strong emphasis and focus on lending also does not appear to have had anydeleterious impact on the overall asset quality. The banks non-performing loansare even now, after five years of extremely rapid asset build-up, below 1 per centof its total loans.

From a medium-term perspective, it appears that Axis Bank could be charting outa niche for itself in the private bank space. It appears to be following a businessstrategy quite different from the high-volume and commodity-style approach of ICICI Bank and HDFC Bank. That strategy also has its pluses in terms of therelatively higher margins in some segments of the retail business and the in-builtcredit risk diversification (and mitigation) achieved through a widely dispersedretail credit portfolio. But, as indicated above, Axis Bank has been to able tomaintain the quality of its loan portfolio despite the concentrated nature of wholesale corporate lending.

History of axis bank: -

- The Bank was incorporated on 3rd December and Certificate of businesson 14th December. The Bank transacts banking business of alldescription. UTI Bank Ltd. was promoted by Unit Trust of India,Life Insurance Corporation of India, General Insurance Corporation of India


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and its four subsidiaries.- The bank was the first private sector bank to get a license under the new guidelines issued

the RBI.1997- The Bank obtained license to act as Depository Participant with NSDL and applied

registration with SEBI to act as `Trustee to Debenture Holders'.- Rupees 100 crores was contributed by UTI, the rest from LIC Rs 7.5 crores, GIC and its fosubsidiaries Rs 1.5 crores each. 1998- The Bank has 28 branches in urban and semi urban areas as on 31stJuly. All the branches are fully computerized and networked throughVSAT. ATM services are available in 27 branches.- The Bank came out with a public issue of 1,50,00,000 No. of equityshares of Rs 10 each at a premium of Rs 11 per share aggregating toRs 31.50 crores and Offer for sale of 2,00,00,000 No. of equity sharesFor cash at a price of Rs 21 per share. Out of the public issue2,20,000 shares were reserved for allotment on preferencial basis toEmployees of UTI Bank. Balance of 3,47,80,000 shares were offered to thepublic.- The company offers ATM cards, using which account-holders canwithdraw money from any of the bank's ATMs across the country whichare inter-connected by VSAT.- UTI Bank has launched a new retail product with operational flexibility for its customers.- UTI Bank will sign a co-brand agreement with the market, leader,Citibank NA for entering into the highly promising credit card

business.- UTI Bank promoted by India's pioneer mutual fund Unit Trust of Indiaalong with LIC, GIC and its four subsidiaries.1999- UTI Bank and Citibank have launched an international co-brandedcredit card.- UTI Bank and Citibank have come together to launch anInternational co-branded credit card under the MasterCard umbrella.- UTI Bank Ltd has inaugurated an off site ATM at Ashok Nagar here,taking the total number of its off site ATMs to 13.m 2000- The Bank has announced the launch of Tele-Depository Services for

Its depository clients.- UTI Bank has launch of `connect', its Internet banking Product.- UTI Bank has signed a memorandum of understanding withEquitymaster.com for e-broking activities of the site.- Infinity.com financial Securities Ltd., an e-broking outfit isTyping up with UTI Bank for a banking interface.


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- Geojit Securities Ltd, the first company to start online tradingservices, has signed a MoU with UTI Bank to enable investors tobuy\sell demat stocks through the company's website.- Indiabulls has signed a memorandum of understanding with UTI Bank.

- UTI Bank has entered into an agreement with Stock HoldingCorporation of India for providing loans against shares to SCHCIL's customersAnd funding investors in public and rights issues.- ICRA has upgraded the rating og UTI Bank's Rs 500-croreCertificate of deposit programmed to A1+.- UTI Bank has tied up with L&T Trade.com for providing customizedonline trading solution for brokers.2001- UTI Bank launched a private placement of non-convertibleDebentures to raise up to Rs 75 crore.- UTI Bank has opened two offsite ATMs and one extension counter With an ATM in Mangalore, taking its total number of ATMs across theCountry to 355.- UTI Bank has recorded a 62 per cent rise in net profit for theQuarter ended September 30, 2001, at Rs 30.95 crore. For the secondQuarter ended September 30, 2000, the net profit was Rs 19.08 crore.The total income of the bank during the quarter was up 53 per centatRs 366.25 crore. 2002- UTI Bank Ltd has informed BSE that Shri B R Barwale has resigned asA Director of the Bank w.e.f. January 02, 2002. A C Shah, former

Chairman of Bank of Baroda, also retired from the banks board in the thirdquarter of last year. His place continues to be vacant. M Damodarantook over as the director of the board after taking in the reins of UTI. B S Pandit has also joined the banks board subsequent to theRetirement of K G Vassal.- UTI Bank Ltd has informed that Shri Paul Fletcher has beenAppointed as an Additional Director Nominee of CDC Financial Service(Mauritius) Ltd of the Bank.And Shri Donald Peck has been appointed as anAdditional Director (nominee of South Asia Regional Fund) of theBank.- UTI Bank Ltd has informed that on laying down the office of Chairman of LIC on being appointed as Chairman of SEBI, Shri G N Bajpai,Nominee Director of LIC has resigned as a Director of the Bank.2002- B Paranjpe & Abid Hussain ceases to be the Directors of UTI Bank.- UTI Bank Ltd has informed that in the meeting of the Board of Directors following decisions were taken: Mr Yash Mahajan, Vice


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Chairman and Managing Director of Punjab Tractors Ltd was appointedas an Additional Director with immediate effect. Mr N C Singhalformer Vice Chairman and Managing Director of SCICI was appointed asan Additional Director with immediate effect.

-ABN Amro, UTI Bank in pact to share ATMs.-UTI Bank Ltd has informed BSE that a meeting of the Board of Directors of the Bank is scheduled to be held on October 24, 2002 toconsider and take on record the unaudited half yearly/quarterlyfinancial results of the Bank for the half year/Quarter endedSeptember 30, 2002.-UTI Bank Ltd has informed that Shri J M Trivedi has been appointedas an alternate director to Shri Donald Peck with effect fromNovember 2, 2002. 2003-UTI Bank Ltd has informed BSE that at the meeting of the Board of Directors of the company held on January 16, 2003, Shri R NBharadwaj, Managing Director of LIC has been appointed as anAdditional Director of the Bank with immediate effect.- UTI Bank, the private sector bank has opeaned a branch at Nellore.The bank's Chairman and Managing Director, Dr P.J. Nayak,Inaugurating the bank branch at GT Road on May 26. Speaking on theoccasion, Dr Nayak said, This marks another step towards theextensive customer banking focus that we are providing across thecountry and reinforces our commitment to bring superior banking

services, marked by convenience and closeness to customers.-UTI Bank Ltd. has informed the Exchange that at its meeting held onJune 25, 2003 the BOD have decided the following: 1) To appoint Mr. AT Pannir Selvam, former CMD of Union Bank of India and Prof. JayanthVarma of the Indian Institute of Management, Ahmedabad as additionaldirectors of the Bank with immediate effect. Further, Mr. Pannir Selvam will be the nominee director of the Administrator of thespecified undertaking of the Unit Trust of India (UTI-I) and Mr.Jayanth Varma will be an Independent Director. 2) To issueNon-Convertible Unsecured Redeemable Debentures upto Rs.100 crs, inone or more tranches as the Bank's Tier - II capital.

-UTI has been authorized to launch 16 ATMs on the Western RailwayStations of Mumbai Division.-UTI filed suit against financial institutions IFCI Ltd in the debtRecovery tribunal at Mumbai to recover Rs.85cr in dues.


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-UTI bank made an entry to the Food Credit Programme, it has made anentry into the 59 cluster which includes private sector, public sector, old privatesector and co-operative banks.-Shri Ajeet Prasad, Nminee of UTI has resigned as the director of the

bank.-Banks Chairman and MD Dr.P.J.Nayak inaugurated a new branch atNellore.-UTI bank allots shares under Employee Stock Option Scheme to itsemployees.-Unveils pre-paid travel card 'Visa Electron Travel Currency Card'-Allotment of 58923 equity shares of Rs 10 each under ESOP.-UTI Bank ties up with UK govt fund for contract farming

Management of Axis bank: -

Name Designation

P J Nayak Chairman & CEO

N C Singhal Director

J R Varma Director

Rama Bijapurkar Director

M V Subbiah Director

K N Prithviraj Director

Name Designation

Surendra Singh Director

A T Pannir Selvam Director

R H Patil Director

R B L Vaish Director
http://www.moneycontrol.com/personality/P_J_Nayakhttp://www.moneycontrol.com/personality/P_J_Nayak


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Ramesh Ramanathan

Capital structure of axis bank

FromYear To YearClass Of Share

AuthorizedCapital

IssuedCapital

Paid UpShares (Nos)

Paid UpFace Value

2007 2008 Equity Share 500.00 357.71 357709669 10 352006 2007 Equity Share 300.00 281.63 281630787 10 282005 2006 Equity Share 300.00 278.69 278690727 10 272004 2005 Equity Share 300.00 273.80 273796444 10 272003 2004 Equity Share 300.00 231.58 231580570 10 232002 2003 Equity Share 300.00 230.19 230185579 10 232001 2002 Equity Share 230.00 191.81 191812870 10 192000 2001 Equity Share 230.00 131.90 131903170 10 131998 2000 Equity Share 230.00 131.90 131903170 10 131997 1998 Equity Share 300.00 115.00 115000070 10 111994 1995 Equity Share 300.00 115.00 115000070 10 11

Dividend policy for Axis Bank: -

We undertake Bulk dividend and interest payment of corporate houses through anAt Par facility. A central account, maintained by you with our Bank, needs to be

funded and we would ensure that the dividend/interest warrant presented at anyAxis Bank location is cleared under respective local clearing. A validation processensures that each warrant is paid after matching with the issue file and therebyavoids fraudulent payment.

dividendYear

Month Dividend (%)2008 Apr 60

2007 Apr 452006 Apr 352005 Apr 282004 Apr 252003 May 222002 May 202001 May 15


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2000 May 121999 May 10

Liquidity posit ion: -

Investment Dictionary: Liquidity

1. The degree to which an asset or security can be bought or sold in the marketwithout affecting the asset's price. Liquidity is characterized by a high level of trading activity.

2. The ability to convert an asset to cash quickly. Also known as "marketability".

Investopedia Says :1. It is safer to invest in liquid assets than illiquid ones because it is easier for youto get your money out of the investment.

2. Examples of assets that are easily converted into cash include blue chip andmoney market securities.

Banking Dictionary: liquidity

1. Ability of an organization to meet its current financial obligations. In banking,adequate liquidity means being able to meet the needs of depositors wanting towithdraw funds and borrowers wanting to be assured that their credit or cash needswill be met. Liquidity is also measured in terms of debt capacity or borrowingcapacity to meet short-term demands for funds. See also Liquidity Ratios .

2. Quality of an asset that is readily convertible into cash, with minimal loss invalue. Short-term securities, such as Treasury bills that are easily sold to other investors at relatively narrow spreads between bid and asked quotes, and inreasonably large trading volumes, are said to be highly liquid.

3. Characteristic of a market where a large amount of securities, futures contracts,and so on, can easily be traded with minimal price distortions occurring. Strongmarkets are characterized by stable prices and relatively narrow bid-asked spreads.Thin markets have wide spreads and extreme trading volatility.

Real Estate Dictionary: Liquidity
http://www.answers.com/library/Investment%20Dictionary-cid-47327http://www.answers.com/library/Banking%20Dictionary-cid-47327http://www.answers.com/topic/liquidity-ratiohttp://www.answers.com/library/Real%20Estate%20Dictionary-cid-47327http://www.answers.com/library/Investment%20Dictionary-cid-47327http://www.answers.com/library/Banking%20Dictionary-cid-47327http://www.answers.com/topic/liquidity-ratiohttp://www.answers.com/library/Real%20Estate%20Dictionary-cid-47327


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Ease of converting Assets to cash. Contrast with Illiquidity .Examples: Common stocks and U.S. Savings bonds have good liquidity. Real Estate and many types of collectibles generally have poor liquidity.

Answer Note : liquidity

This sales term refers to the volume of transactions. With sufficient buyers andsellers, a market enjoys continuous offers, bidding, and consummated transactions,thus achieving market liquidity.

Economics Dictionary: Liquidity

The condition of having enough money on hand to meet financial obligationswithout having to sell fixed assets , such as machinery or equipment.

Financial credibil i ty through balance sheet: -

Balance sheet Mar ' 08 Mar ' 07 Mar ' 06 Mar ' 05 MarSources of fundsOwner's fund
http://www.answers.com/topic/illiquidityhttp://www.answers.com/topic/real-estatehttp://www.answers.com/topic/real-estatehttp://www.answers.com/library/AnswerNotes-cid-47327http://www.answers.com/library/Economics%20Dictionary-cid-47327http://www.answers.com/topic/assethttp://www.answers.com/topic/illiquidityhttp://www.answers.com/topic/real-estatehttp://www.answers.com/topic/real-estatehttp://www.answers.com/library/AnswerNotes-cid-47327http://www.answers.com/library/Economics%20Dictionary-cid-47327http://www.answers.com/topic/asset


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Equity share capital 357.71 281.63 278.69 273.80 2Share application money 2.19 8.98 13.44 13.42 1Preference share capital - - - -Reserves & surplus 8,410.79 3,111.60 2,593.50 2,134.39 90

Loan fundsSecured loans - - - -Unsecured loans 87,626.22 58,785.60 40,113.53 31,712.00 20Total 96,396.91 62,187.81 42,999.16 34,133.60 22,0Uses of fundsFixed assetsGross block 1,384.70 1,098.93 898.68 764.78 5Less : revaluation reserve - - - -

Less : accumulated depreciation 590.33 450.55 345.33 261.98 18 Net block 794.37 648.38 553.34 502.80 40Capital work-in-progress 128.48 24.82 14.37 15.64 2Investments 33,705.10 26,897.16 21,527.35 14,274.95 7

Net current assetsCurrent assets, loans & advances 2,784.51 1,892.07 1,679.98 2,071.38 89Less : current liabilities & provisions 7,556.90 5,873.80 4,051.03 1,828.68 1,5Total net current assets -4,772.38 -3,981.73 -2,371.05 242.70 -6Miscellaneous expenses not written - - - - -Total 29,855.57 23,588.62 19,724.02 15,036.08 7,59

Notes:Book value of unquoted investments - - - - -Market value of quoted investments - - - - -Contingent liabilities 94,598.40 67,744.86 45,043.14 23,441.83 16

Number of equity sharesoutstanding(Lacs) 3577.10 2816.31 2786.91 2737.96

Profit and loss account: -

------------------- in Rs. Cr. -------------------


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Profit & Loss account

Mar '04 Mar '05 Mar '06 Mar '07 Mar '08

12 mths 12 mths 12 mths 12 mths 12 mth

IncomeInterest Earned 1,586.71 1,924.16 2,888.79 4,560.40 7,005.32Other Income 532.96 403.51 713.71 986.49 1,750.5Total Income 2,119.67 2,327.67 3,602.50 5,546.89 8,755.91ExpenditureInterest expended 1,021.45 1,192.98 1,810.56 2,993.32 4,419.96Employee Cost 121.25 176.85 240.20 381.35 670.25

Selling and Admin Expenses 396.88 207.10 406.12 589.31 952.61Depreciation 61.89 81.58 92.19 111.86 158.11Miscellaneous Expenses 246.81 345.38 568.35 812.03 1,483.94Preoperative Exp Capitalized 0.00 0.00 0.00 0.00 0.00Operating Expenses 662.76 572.11 925.19 1,387.06 2,454.0Provisions & Contingencies 164.07 238.80 381.67 507.49 810.88Total Expenses 1,848.28 2,003.89 3,117.42 4,887.87 7,684.87

Mar '04 Mar '05 Mar '06 Mar '07 Mar '08

12 mths 12 mths 12 mths 12 mths 12 mth

Net Profit for the Year 271.38 323.78 485.08 659.03 1,071.03Extraordionary Items 6.93 10.80 0.00 -31.80 0.00Profit brought forward 122.47 182.10 197.41 731.04 1,029.07Total 400.78 516.68 682.49 1,358.27 2,100.10Preference Dividend 0.00 0.00 0.00 0.00 0.00Equity Dividend 65.31 87.75 112.55 148.79 251.64Corporate Dividend Tax 0.00 0.00 0.00 0.00 0.00Per share data (annualised)Earning Per Share (Rs) 11.72 11.83 17.41 23.40 29.94Equity Dividend (%) 25.00 28.00 35.00 45.00 60.00Book Value (Rs) 49.07 87.96 103.06 120.49 245.13Appropriations


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Transfer to Statutory Reserves 153.36 231.52 -161.10 180.40 294.60Transfer to Other Reserves 0.01 0.00 0.00 0.00 -0.01Proposed Dividend/Transfer toGovt 65.31 87.75 112.55 148.79 251.64

Balance c/f to Balance Sheet 182.10 197.41 731.04 1,029.07 1,553.87Total 400.78 516.68 682.49 1,358.26 2,100.10

Profit loss account Mar ' 08 Mar ' 07 Mar ' 06 Mar ' 05Mar 'Income:Operating income 8,750.68 5,461.60 3,594.46 2,299.23 2,11ExpensesMaterial consumed - - - - -

Manufacturing expenses - - - - -Personnel expenses 670.25 381.35 240.20 176.85 121Selling expenses 74.41 29.62 17.05 11.47 10.Administrative expenses 1,551.27 864.23 575.74 302.21 468.Expenses capitalized - - - - -Cost of sales 2,295.92 1,275.19 833.00 490.53 600Operating profit 2,034.80 1,193.09 950.90 615.71 493Other recurring income 13.86 21.24 6.34 34.52 1.44

Adjusted PBDIT 2,048.66 1,214.32 957.24 650.24 494Financial expenses 4,419.96 2,993.32 1,810.56 1,192.98 1,02Depreciation 158.11 111.86 92.19 81.58 61.Other write offs - - - - -Adjusted PBT 1,890.54 1,102.46 865.05 568.66 432Tax charges 734.86 418.82 246.35 180.03 177


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Adjusted PAT 1,086.21 661.94 486.78 326.17 272 Nonrecurring items -15.18 -2.91 -1.70 -2.39 -1.4Other non cash adjustments - -31.80 - 10.80 6.93Reported net profit 1,071.03 627.23 485.08 334.58 278

Earnings before appropriation 2,100.10 1,358.26 682.49 516.68 400.7Equity dividend 251.64 148.79 112.55 87.75 65.3Preference dividend - - - - -Dividend tax - - - - -Retained earnings 1,848.47 1,209.47 569.94 428.93 335

Track and repor t news releavant to company:-

Axis Bank India, the first bank to begin operations as new private banks in 1994after the Government of India allowed new private banks to be established. AxisBank was jointly promoted by the Administrator of the specified undertaking of the Unit Trust of India (UTI-I), Life Insurance Corporation of India (LIC) andGeneral Insurance Corporation Ltd. Also with associates viz. National InsuranceCompany Ltd., The New India Assurance Company, The Oriental InsuranceCorporation and United Insurance Company Ltd.

Axis Bank in India today is capitalized with Rs.282.65 Crores with 57.05% public holding other than promoters. It has more than 574 branch officesand Extension Counters in the country with over 2428 Axis Bank ATM proving to be one of the largest ATM networks in the

country. It commits to adopt the best industry practices internationally to achieveexcellence. It has strengths in retail as well as corporate banking..

By the end of June 2007, Axis Bank in India had over 60 lakhs debit cards. This isthe first bank in India to offer the AT PAR Cheque facility, without any charges, toall its Savings Bank customers in all the places across the country where it has

presence.


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With the AT PAR cheque facility, customers can make cheque payments to any beneficiary at any of its existence place. The ceiling per instrument is Rs. 50,000/-

The latest offerings of the bank are the Australian Dollar and Canadian Dollar variants of the international Travel Currency Card along with the US Dollar, Euroand Pound Sterling variants. The Travel Currency Card is a signature based pre-

paid travel card which enables travelers global access to their money in localcurrency of the visiting country in a safe and convenient way. Along with this the

bank has also launched the credit cards in silver and gold variants which can beaccessed in 60 cities across the country.

The bank has also raised its reach to 341 cities, towns and villages. The bank hasthe outstanding deposit base of more than Rs. 61,000 crores with over 65 lakhaccounts.

Few milestones of Axis bank: -

Mar '07 : Axis Bank joins hands with IIFCL to provide leverage for infrastructural projects in the country.

Mar '07 : AXIS Bank comes up with full license bank branch in Hong Kong.Feb '07 : Finance minister Shri P. Chidambaram introduces Shriram AXIS Bank

Co - Branded Credit Card especially for Small Road Transport Operators(SRTOS).

Aug'06 :AXIS Bank holds the position of being the first Indian Bank tosuccessfully issue Foreign Currency Hybrid Capital in the InternationalMarket.

Aug '06 : AXIS Bank launches the beneficial scheme of issuance of "Senior Citizen ID Card" in collaboration with Dignity Foundation.

Dec '05 : AXIS Bank adds International Financing Review (IFR) Asia 'India BondHouse' award for the year 2005 in its appreciation record.

Jul '05 : AXIS Bank and Visa International launch Mobile Refill facility -

Anytime, Anywhere Pre-Paid Mobile Refill for all Visa Cardholders inIndia.Mar '05 : AXIS Bank gets counted on the London Stock Exchane, raises US$

239.30 million through Global.


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Share capital of Axis Bank Au thorised Share Capital :Rs. 300 Crores Paid Up Share Capital : Rs. 232.86 Crores

Shareholding pattern of Axis Bank: -As on 10/10/2008

Sr.No.

Name of the Shareholders No. of Shares Held

%Stake toTotal

A. Promoter Shareholding

1. Administrator of the Specified Undertaking of the Unit Trust of India -UTI - I (SUUTI)

9,72,24,373 27.09

2. Life Insurance Corporation of India 3,71,95,831 10.36

3. General Insurance Corporation of India 81,23,331 2.26

4. The New India Assurance Company Limited 38,06,443 1.06

5. National Insurance Company Limited 27,18,740 0.76

6. United India Insurance Company Limited 15,76,415 0.44

7. The Oriental Insurance Company Limited 15,39,118 0.43

Total Promoter Shareholding A 15,21,84,251 42.40

B. Non-Promoter Holding

8. Indian Financial Institutions (IFIs) 40,21,519 1.12

9. Mutual Funds 3,35,18,670 9.34

10. Others (Individuals/CorporateBodies/HUF/Trusts/Banks)

4,37,82,281 12.20

Total Non-Promoter Indian Shareholding B 8,13,22,470 22.66

C. Foreign Shareholding

11. FDI Route - GDRs Issue (2005 & 2007) 2,75,85,868 7.69


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12. Foreign Financial Institutions (FIIs) 9,25,48,177 25.79

13. NRIs/OCBs/FBD 52,53,194 1.46

Total Non-Promoter Foreign Shareholding C 12,53,87,239 34.94

Total A + B + C 35,88,93,960 100.00

4.final term paper of fm

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