Submitted by –

Gautam Gulati , Kapil Manwani , Rashmi Sharma , Mohit Motwani , Ankitha

Singavi
Bank Of Baroda
Third largest
•Public
in Sector
India, bank
of after State
India and Punjab Bank
National
••Founded Bank in 1908
Headquartered
Baroda at
It has
•branches
70 total of 3159
including
overseas
Has
•38063 a total staff of
CMD of BOB is
•M.D.Mallaya
Mission Statement
To be a top ranking National Bank of
International Standards committed to
augmenting stake holders' value through
concern, care and competence.
History
 1908: Maharaja Sayajirao Gaekwad III set up Bank of Baroda
(BOB).
 1910: established its first branch in Ahmedabad
 1953: established a branch in Mombasa and another in Kampala
 1959: acquired Hind Bank.
 1961: merged in New Citizen Bank of India. This merger helped it
increase its branch network in Maharashtra
 1963: acquired Surat Banking Corporation in Surat, Gujarat.
 1964: acquired two banks, Umbergaon People’s Bank in
southern Gujarat and Tamil Nadu Central Bank in Tamil Nadu state.
 1969: The Government of India nationalized 14 top banks,
including BOB
History contd.
1975: BOB acquired the majority shareholding and
management control of Bareilly Corporation Bank (est.
1928) and Nainital Bank (est. in 1954), both in Uttar
Pradesh
1998:BOB also acquired Punjab Cooperative Bank in a
rescue.
1999: BOB merged in Bareilly Corporation Bank in
another rescue. At the time, Bareilly had 64 branches,
including four in Delhi.
2007: In its centenary year, BOB's total business
crossed 2.09 lakh crores, its branches crossed 1000,
and its global customer base 29 million people.
2009: Bank of Baroda registered with the Reserve
Bank of New Zealand, enabling it to trade as a bank
in New Zealand 
 Services
Apart from the Loans, Deposits, Credit and Debit
Cards, Bank of Baroda offers other services to
make financial dealings easy and convenient.
Demat
Baroda health
Remittances(baroda money express)
Collection services
ECS(electronic clearing services)
Government business(PPF , tax collection and
savings bonds)
Subsidiaries

Domestic
◦ Bobcards ltd.
◦ BOB capital markets ltd.
◦ Nanital bank ltd.
Subsidiaries

Overseas
Bank of Baroda (Botswana) Ltd.
Bank of Baroda (Kenya) Ltd.
Bank of Baroda (Uganda) Ltd.
Bank of Baroda (Guyana) Ltd.
Bank of Baroda (UK) Ltd.
Bank of Baroda (Tanzania) Ltd
Bank of Baroda (Trinidad & Tobago)
Ltd.
Bank of Baroda (Ghana) Ltd.
Strategic initiative(2008-09)
 The Bank’s focus was optimise human resource management in a
highly motivating work environment, rawing maximum mileage
out of the available Information Technology and mbibing a full-
fledged marketing culture to promote a sense of professionalism in
approach and attitude.
 BOB completed Core Banking Solution (CBS) rollout in 1,922
domestic branches covering 94% of its business as at 31st March,
2009.
 The Bank launched several new IT products and services such as
Phone Banking, Corporate Cash Management System, Payment
Messaging Solution and Global Treasury.
 the Bank took many initiatives introducing new products both on
assets and liability sides during 2008-09 such as Loan for Earnest
Money Deposit, Baroda Additional Assured Advance to NRIs,
In its role as a partner to the rural
development, the Bank, besides meeting all
its credit deployment targets, established
four Baroda Swarojgar Vikas Sansthan
during the year 2008-09 for imparting
training to the unemployed youth and
facilitating their gainful self-employment.
It organised awareness programmes for
SME borrowers to educate them about
various products, services and
precautionary steps to be taken in view of
global financial crisis.
Total assets increased by 26.66% to Rs.
2.27 bn at year-end fiscal 2009 from Rs.
1.79 bn at year-end fiscal 2008.
Total investments at year-end fiscal 2009
increased by 19.5% due to
Increase in investment in Govt securities
and Debentures and Bonds in the fiscal
year 2009.
While there has been an decrease in
investment in Shares and Other approved
securities.
The Cash balances have increased from
Rs 93697.23 mn in the fiscal year 2008 to
Rs 10593.43 mn in the fiscal year 2009.
The balances with RBI in Current
Account has also increased .
There has been an increase in deposit
outside India in the form of Bank balances
and Money at call from Rs 86020.43 mn
in the fiscal year 2008 to Rs 120873.58
mn in the fiscal year 2009.
o Increasein net advances by 34.9% to Rs.
1.43 bn at year-end fiscal 2009 from Rs.
1.067bn at year-end fiscal 2008 due to
increase in advances inside and outside
India.
 Non Performing Asset (NPA)
Under the RBI guidelines, an asset is
classified as non-performing if any
amount of interest or principal remains
overdue for more than 90 days, in respect
of term loans. In respect of overdraft or
cash credit, an asset is classified as non-
performing if the account remains out of
order for a period of 90 days and in
respect of bills, if the account remains
overdue for more than 90 days.
 Based on the criteria stipulated by the
RBI NPAs are classified into
 sub-standard,
doubtful and
loss assets.
Advance 31st March Percentage 31st March Percentage
Category 2009 of Total 2008 of Total
(Gross)
Standard 143001.94 98.73 105690.44 98.16
Loss 345.34 0.24 366.12 0.34
Doubtful 832.32 0.57 887.65 0.82
Sub Standard 665.26 0.46 727.61 0.68
Gross NPA 1842.92 1.27 1981.38 1.84

Total 144844.86 100 107671.82 100

LIABILITIES

Capital &
 
Liabilities
Capital 1 365,52,77 365,52,77
Reserves & 124700135 10678,39,91
Surplus
2
Deposits 3 1923969517 152034,12,72
Borrowings 4 5636,08,59 3927,04,80
Other Liabilities & 5 16538,14,66 12594,41,42
Provisions

Total   227406,72,54 179599,51,62

 CAPITAL
 
As on 31st March, As on 31st March,
2009 2008
  Rs. Rs. Rs. Rs.
AUTHORISED CAPITAL        
150,00,00,000 Equity Shares of Rs.10/- each   1500,00,00   1500,00,0
0
ISSUED & SUBSCRIBED CAPITAL        
36,70,00,000 Equity Shares of Rs.10/- each   367,00,00   367,00,00
(previous year 36,70,00,000/-
SCHEDULE - 1 equity shares of
CAPITAL (000's omitted)
Rs. 10/- each)
36,42,66,500 (Previous Year 36,42,66,400)   364,26,65   364,26,64
Equity Shares of Rs.10 each including
19,60,00,000 Equity Shares (Previous year
19,60,00,000 Equity Shares) amounting to
Rs.196 crores held by Central Government

Add: Forfeited Shares   1,26,12   1,26,13

TOTAL   365,52,77   365,52,77

Reserves and Surplus
  As on 31st March, 2009
increase16.77
%
As on 31st March, 2008
  Rs. Rs. Rs. Rs.
I Statutory Reserves       

Opening Balance 2230,37,10   1871,49,06  

% Increase: 6.75%
Additions during the year
II  Capital Reserves (including revaluation reserve)
556,80,05
 
2787,17,15
 
358,88,04
 
2230,37,10
 
Opening Balance 1789,93,47   402,19,30  
Additions/ Adjustments during the year * 362,05,56   85,07,80  
* [After adjustment of Exchange fluctuation Rs.(37998)(Previous year 2151,99,03   487,27,10  
4295)]
Additions during the year on account of revaluation of properties -   1377,74,38  
Deductions:    
Depreciation on revalued fixed assets transferred to Profit & Loss account 72,40,75 2079,58,28 75,08,01 1789,93,47

III  Share Premium        

Opening Balance 2273,88,53   2273,88,43  
Additions/Adjustments during the year 3 2273,88,56 10 2273,88,53
SCHEDULE – 2 RESERVES
IV Revenue & Other Reserves        
a) Statutory Reserve (Foreign)   (000's omitted)  
Opening Balance
& SURPLUS 74,60,02   77,58,50  
Additions during the year 1,17,48   70,30  
Other Adjustments 16,57,63   -3,68,78  
92,35,13   74,60,02  
b) Special Reserve u/s 36(1)(viii) of Income Tax Act      
Opening Balance -   -  
Add: Transferred from General Reserve 200,00,00   -  
Add: Additions during the year for FY 2008-09 220,00,00   -  
420,00,00   -  
c) Other Reserves    
Opening Balance 4309,60,79   3659,25,71  
Transferred to Special Reserve u/s 36(1)(viii) for F.Y 2007-08 200,00,00   -  
Additions/Adjustments during the Year 707,41,44   650,35,08  
4817,02,23   4309,60,79  
TOTAL - IV (a, b & c)   5329,37,36   4384,20,81
TOTAL (I to IV)   12470,01,35   10678,39,91
 DEPOSITS increase 26.54%

  As on 31st March, 2009 As on 31st March, 2008

  Rs. Rs. Rs. Rs.
A.  I  Demand Deposits        
   i)  From Banks 682,99,04   616,16,58  

   ii)  From Others 13768,23,44 14451,22,48 11079,83,97 11696,00,55

II  Savings Bank Deposits   42487,27,78   35776,38,18

III  Term Deposits        

   i)  From Banks 16887,48,83   13416,55,88  
SCHEDULE - 3 DEPOSITS (000's omitted)
   ii)  From Others 118570,96,08 135458,44,91 91145,18,11 104561,73,99

TOTAL (I to III)   192396,95,17   152034,12,72

B.  I  Deposits of branches in India 151408,98,64   122479,35,32  

     II  Deposits of branches outside India 40987,96,53   29554,77,40  

TOTAL (I & II) 192396,95,17   152034,12,72  

 Borrowings increase 43.51%

  As on 31st March, 2009 As on 31st March, 2008

  Rs. Rs. Rs. Rs.

  Borrowings in India        
   i)  Reserve Bank of India   2700,00,00   -

   ii)  Other Banks   17,17,26   18,57,54

SCHEDULE - 4
(000's omitted)
BORROWINGS
   iii) Other Institutions and Agencies   442,94,17   670,56,83

TOTAL   3160,11,43   689,14,37

 Borrowings outside India   2475,97,16   3237,90,43

Total - Borrowings   5636,08,59   3927,04,80

Secured Borrowings included in above   242,94,17   740,22,47

RATIO
ANALYSIS
 Profitability Ratios
2008-09 2007-08

Return On Equity 6.09% 3.927%

Return on Asset 1.09% 0.89%

Interest Spread 4.02% 4.21%

Cost Income Ratio 45.38% 50.89%

Net interest margin 2.91% 2.90%

Credit-Deposit Ratio 82.36% 77.52%

ANALYSIS
Bank’s Cost income ratio decreased to
45.89% from previous yrs 50.89%
highlighting that banks costs are rising
but its interest income are rising at a
higher rate.
There is a increase in return on asset
depicting that assets were more efficiently
employed in 08-09 when compared to 07-
08.
 ASSET QUALITY RATIOS
2008-2009 2007-2008

NPA Coverage 75.52% 69.25%

Total Capital Adequacy 12.88% 12.91%

Ratio

Interest Income to AWFs 7.78% 7.63%

Net NPAs to net .31% .47%

advances
ANALYSIS
The Bank delivered a stellar performance in
asset quality management in 2008-09 despite a
severe industrial slowdown.
Through well coordinated and sustained
efforts, the Bank’s Global Gross NPA level was
brought down from 0.47% to 0.31% in the
course of one year.
Not not only the Gross NPA and Net NPA were
brought down in percentage terms but were
also reduced in absolute terms to Rs 1,842.92
crore and Rs 451.15 crore as at end-March,
2009 from the opening portfolio of Rs 1,981.38
crore and Rs 493.55 crore respectively
PERFORMANCE HIGHLIGHTS
Total Business (Deposit+Advances) increased
to Rs 3,36,383 crore reflecting a growth of
30.01%.
Gross Profit and Net Profit were Rs 4,305.01
crore and Rs 2,227.20 crore respectively. Net
Profit registered a growth of 55.2% over
previous year.
Retail Credit posted a modest growth of
16.3% constituting 17.8% of the Bank’s Gross
Domestic Credit in FY09.
Net Interest Margin (NIM) as per cent of
interest earning assets was at the level of
2.91%.
Contd...
Net Worth improved to Rs 11,387 crore
registering a rise of 19.52%.
Book Value improved from Rs 261.54 to
Rs 312.61 on year.
Business per Employee moved up from
Rs 710 lacs to Rs 914 lacs on year.
 V/
S
Comparison between
BOB n PNB
 Comparison on the basis on Ratios
24.22
25
19.37
20

15
8.71 9.629.75
10 7.48

5 1.791.92
bank of baroda
0 pnb
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( % (% (s % a t
nd rt h d R
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u o f un ic
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t a tw ta
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t/ o ne o Q
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 ASSETS
26.61 24.47%
%
300000
253,612.42
250000 227,406.72
203,744.46
200000 179,599.51

150000 2007-08
2008-09
100000

50000

0
BOB PNB
 Deposits
% Change in deposits

30

25

20
% Change in deposits
15 26.5 26

10

0
bank of baroda pnb
 Advances
% Change in advances

40

35

30
% Change in advances2
25 34.94
31.01
20

15

10
Bank of Baroda Pnb
THE ROAD AHEAD
During 2009-10, the Bank is targeting to achieve
the total business growth of about 20.0% to 22.0%.
Will focus on low-cost deposits, by prudent
management of cost of resources and by making
every possible effort to protect the asset quality with
a firm control on the process of credit origination.
It will place additional emphasis on business
process reengineering to reduce transaction costs
and will try to add at least 2.5 to 3.0 million quality
customers during the year.
During 2009-10, the emphasis would, inter alia, be
on improving the share of Retail / SME /
Agriculture in total business without any
compromise on the asset quality.
Reorienting its systems and procedures
towards customer convenience and
enhanced customer satisfaction.
Formulating and adhering to the best
corporate governance practices.
Focusing on a consistent and broad-based
resource mobilization plan.
Enlarging the base of retail customers by
leveraging technology and taking newer
technology based initiatives.