#1Bank On Us SOUTH INDIAN Bank Experience Next Generation Banking Investor Presentation - July 2020#2Contents Hv SOUTH INDIAN Bank Q1 & FY21 Highlights Business Strategy Performance Matrix O Next Generation Bank ☑ About Us 2#3Hv Q1 FY21 Highlights 3#4Key Quarterly Highlights - Q1 FY21 Customer Deposits 76,544 +8% Advances +3% 82,469 65,819 63,652 19,719 Jun-19 Jun-20 Jun-19 Net Interest Income +10% 536 587 182 Other Income Jun-20 Jun-19 +57% 285 24.1% SOUTH INDIAN Bank CASA +12% 22,179 Jun-20 CASA (%) 280 bps 26.9% Jun-19 Jun-20 Jun-19 Jun-20 Jun-19 Jun-20 4#5Key Quarterly Highlights - Q1 FY21 318 Jun-19 205 PPOP +27% Provisions 404 73 Jun-20 Jun-19 Net Profit +11% +43% 293 45.1% SOUTH INDIAN Bank 82 Jun-20 PCR (%) 1370 bps 58.8% Jun-19 Jun-20 Jun-19 Jun-20 15#6Business Strategy 6#7Our Strategy... Expand Retail Business Strengthen SME Base Improve CASA Enhance Asset Quality • SOUTH INDIAN Bank Retail Banking Department to focus on retail loan & liability/investment products Efficient branches & processing centers for faster processing of loans Outbound Sales team Continuous training of work force • Advanced technology for ease of customers • • . Invest in Brand Building Cluster based approach in industry hubs Sole Banker to SMEs for all banking needs Dedicated vertical to penetrate SME banking Strategy & Road map in place to increase CASA funds Alternate channels for mobilising CASA Centralized processes allowing branches to focus on garnering low cost funds Continuous improvement/review of products • Granularise loan portfolio to spread out risk • Cautious approach on large corporate lending • Improve share of other • Income Special cell for monitoring non performing and restructured assets Focus on increasing banking services for SME, Retail, NRI • Enhance treasury capabilities & increase branch strength • Expand POS/ATM Network and all digital channels • Leveraging technology to deliver attractive products • Focus on 3rd Party/Investment products to generate more other income 7#8... Performance in Line with Strategy Strengthen Retail base Rs. 20,927 Cr INCREASE 10% YoY Improve CASA Rs. 22,179 Cr INCREASE 12% YoY Expand Agriculture & MSME base Rs. 26,636 Cr INCREASE 11% YoY Reduction of Corporate Exposure Rs. 18,256 Cr DECREASE 11% YoY SOUTH INDIAN Bank 8#9Shall continue to focus on 01 Increase... CASA 02 | Retail Business ... More Products Retail Relationships SOUTH INDIAN Bank SOUTH INDIAN Bank 03 SME Business ... 03|s Sole Banker MSME Relationships 06 | Sustainable... Asset Quality 05 | Increase... Fee Income 04 Improve NIM 6#10...Increase Retail & MSME Business 01 Centralized Marketing & Processing Centre (Kochi) SERVER Loan Processing • • . Entire Loan underwriting centralised Enhanced risk management KYC compliance and fraud prevention tools • 02 • Retail Hub Home Loan • Auto Loan • MSME Loan • • Mortgage SOUTH INDIAN Bank Retail Business Penetrate further in the existing set of Customers • Faster Sanctions 10 10#11*LAD ...by focus on Housing Loans in Retail Retail Breakup Rs. Cr. • 21,173 20,927 19,834 19,070 19,284 5,352 5,463 5,249 4,864 5,075 • 2,757 2,931 2,199 2,231 2,544 5,250 4,721 5,252 4,950 5,178 SOUTH INDIAN Bank Housing: Key Initiatives Retail centre in Kochi to increase focus on retail loans Dedicated Officers for marketing Retail Loans Tailor made products for different segments 3,355 3,415 3,075 2,837 2,898 April to June 2020 1,086 1,068 1,090 1,093 1,098 1,450 1,483 1,405 1,746 1,718 • Mortgage Loans Sanctioned: 889 Nos. 1,353 1,380 1,528 1,627 1,567 . Amount of Mortgage Loans Sanctioned: Rs. 232 Cr Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Housing Vehicle Loan Gold Others Mortgage Loans Loan against deposit* Business Loan = Loan against deposits 11#12...becoming a Banker of Choice to SMEs Average MSME Loan / Account SOUTH INDIAN Bank MSME Loan Book by Geography 53.8 53.8 54.2 54.9 Rs. Lakhs 65.0 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Rest of India 21% South (Ex- Kerala) 32% Kerala 47% • • • • SME Highlights Dedicated executive to ensure focus and better coordination with regions Focused 'Green Channel' branches to drive faster loan growth to SMEs Target to become banker of choice to SMEs thereby getting other business as well - liabilities, vehicle finance Ongoing training (in-house as well as external) Entire MSME loan processing centralized at Kochi at two centers - Special focus on applications up to Rs. 2.00 Cr and standardized, uniform risk-based approach on Rs. 2.00 Cr to Rs. 25.00 Cr Underwriting of loans through customized LOS (Loan Origination System) to ensure speedy, paperless processing with capabilities to integrate with Finacle, CIBIL, Rating Agencies etc. for seamless flow of data Regional Offices freed from processing of loan applications so as to focus on new customer acquisition and marketing 12#13...with the help of our Wide Network SOUTH INDIAN Bank Customer Touch Points +2% 876 900 909 923 929 929 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Jun-20 Total ATM Network 3% 1,287 1,320 1,382 1,406 1,424 1,426 Locations* No. Kerala 508 South India (Ex-Kerala) 272 Rest of India 149 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Jun-20 Total Customer Touch Points 929 *Map for illustration purpose only 13#14... and our Experienced Employees Employee Addition SOUTH INDIAN Bank Total Employees: 7,869* 304 129 7,869 7,717 57 80 29% 43% 7% 6% 15% ■ < 1 Year ■ 1-2 Years 2-5 Years Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Closing 5-10 Years > 10 Years *Full-time officers and clerks 14#15Performance Matrix MI 15#16SOUTH INDIAN Bank Strong Deposit Franchise June 2020 72,891 Deposits (excl. CDs) June 2020 9,578 June 2020 82,469 8% 10% 66,090 June 2019 Retail Deposit June 2020 3,848 10,454 June 2019 Bulk Deposit CASA Deposits June 2020 18,331 8% 76,544 June 2019 Total Deposits June 2020 22,179 12% 3,449 June 2019 Current Deposit 13% 16,269 June 2019 Savings Deposit 12% 19,719 June 2019 Total CASA Rs. Cr. Rs. Cr. 16#17Deposits across Regions Deposits (Excl CD) as on SOUTH INDIAN Bank 30.06.2019 30.06.2020 States Growth Amount % Break Up Amount % Break Up Kerala 43.969.00 57.4% 49,583.00 60.1% 12.8% Tamil Nadu 7,272.00 9.5% 8,019.00 9.7% 10.3% Karnataka 5,948.00 7.8% 5,644.00 6.8% (5.1%) Maharashtra 6,263.00 8.2% 5,606.00 6.8% (10.5%) Nct Of Delhi 3,614.00 4.7% 3,853.00 4.7% 6.6% Telangana 1,473.00 1.9% 1,657.00 2.0% 12.5% West Bengal 1,235.00 1.6% 1.145.00 1.4% (7.3%) Andhra Pradesh 1,815.00 2.4% 663.00 0.8% (63.5%) Others 4,955.00 6.5% 6,299.00 7.6% 27.1% Total 76,544.00 100.0% 82,469.00 100.0% 7.7% 17#18Retail Deposits Growing... Breakup of Deposits 81,723 82,946 84,874 SOUTH INDIAN Bank 83,034 82,469 Rs. Cr. ■Term 46,372 48,279 49,281 49,066 50,712 ■Savings ■Current Bulk 16,269 17,075 17,518 ■CD 17,552 18,331 3.449 3.539 3.904 3.208 10,454 10,536 9,748 3,848 10,874 5.179 3.517 4.423 9,578 2334 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Retail Term Deposits* 46,372 +9% Rs. Cr. 50,712 18 Jun-19 Jun-20 * Term Deposit exl. CD and Bulk Deposit#19Break Up of Non-Resident Deposits SOUTH INDIAN Bank NRI Deposits Jun Sep Dec Mar Jun Deposit Type Rs. Cr. 2019 2019 2019 2020 2020 24,661 23,710 NR SB 23,105 4,449 4,576 4,754 5,068 5,609 22,640 21,877 NR CD 23 25 27 26 30 FCNR (B), RFC & 1,886 1,925 1,942 1,907 1,850 Others Low-Cost NRI Deposit 6,358 6,526 6,723 7,001 7,489 (Sub Total) NRE Term Deposit 14,854 15,440 15,687 15,990 16,444 NRO Term Deposit 665 674 695 719 728 Total NRI Deposit 21,877 22,640 23,105 23,710 24,661 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 19#20Composition of Loan Book Corporate Advances (Rs. 25 Cr and above) SOUTH INDIAN Bank Advances (Excl. Corporate) (Below Rs. 25 Cr) Rs. Cr. Rs. Cr. +10% -11% 20,595 19,697 19,713 18,659 18,256 43,057 44,223 45,621 46,865 47,563 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Segment wise Break Up of Total Loan Book 10,317 15% Rs. Cr. 18,256 28% 16,319 25% 20,927 32% ■Corporate Retail MSME ■ Agriculture 20 20#21Large Corporate Loan Book Standard Large Corporate Advances (Rs.100 Cr and above) SOUTH INDIAN Bank -42% 10,121 10,592 10,146 9,997 9,437 6,516 5,920 Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Jun-20 21#22Advance across Regions Advance as on SOUTH INDIAN Bank 30.06.2019 30.06.2020 States Growth Amount % Break Up Amount % Break Up Kerala 25,729.00 40.4% 28,178.00 42.8% 9.5% Tamil Nadu 11,932.00 18.7% 12,495.00 19.0% 4.7% Maharashtra 8,701.00 13.7% 7,570.00 11.5% (13.0%) Karnataka 3,683.00 5.8% 4,197.00 6.4% 14.0% Net Of Delhi 3,749.00 5.9% 3,148.00 4.8% (16.0%) Telangana 3,066.00 4.8% 3,013.00 4.6% (1.7%) Gujarat 1,905.00 3.0% 2,101.00 3.2% 10.3% West Bengal 1,965.00 3.1% 1,804.00 2.7% (8.2%) Others 2,922.00 4.6% 3.313.00 5.0% 13.4% Total 63,652.00 100.0% 65,819.00 100.0% 3.4% 22 22#23Composition of Loan Book Break up of Loan book Advances (Rs. Cr) Jun-19 Sep-19 Dec-19 Mar-20 SOUTH INDIAN Bank Jun-20 Number Value Number Value Number Value Number Value Number Value Less than 5 Cr 364,352 30,967 370,095 31,725 369,517 32,821 374,069 33,462 367,238 33,195 5- 25 Cr 1,166 10,789 1,183 11,246 1,369 11,310 1,239 11,989 1,660 12,937 25 - 100 Cr 236 9,961 227 9,840 241 10,662 219 10,295 279 10,522 More than 100 Cr 49 8,781 45 7,964 42 7,297 40 40 6,516 33 5,920 Total 3,65,803 60,498 3,71,550 60,775 371,169 62,090 375,567 62,262 369,210 62,574 Gross NPA 8,258 3,154 8,281 3,145 8,276 3,244 8,026 3,262 7,819 3,245 Total Advances 374,061 63,652 379,831 63,920 379,527 65,334 383,593 65,524 377,029 65,819 23#24Rating Profile of Large Corporate Loan Book SOUTH INDIAN Bank Standard Advances above Rs. 100 Cr. External Rating 18.1% 19.1% 20.0% 18.7% 21.0% 34.5% 39.3% 36.0% 35.7% 37.2% 16.0% 15.8% 14.8% 15.0% 12.5% 21.1% 20.3% 19.5% 23.9% 26.5% 8.2% 9.7% 9.0% 5.2% Jun-19 Sep-19 3.0% Dec-19 Mar-20 Jun-20 ААА AA A BBB <BBB 24#25Key Focus: Retail, MSME & Agriculture Retail (Incl. Gold) SOUTH INDIAN Bank Rs. Cr. 19,070 19,284 19,834 21,173 20,927 Jun-19 Sep-19 Agriculture (Incl. Agri Gold) Dec-19 Mar-20 Jun-20 MSME (Incl. MSME Gold) Retail Loans and Agriculture rose by 10% and 15% resp., while MSME grew by 9% Rs. Cr. 10,317 9,431 9,746 9,873 15,000 15,508 16,041 15,819 Rs. Cr. 16,319 Over 50% of the 8,987 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Agriculture Loans are backed by Additional Security by way of GOLD 25#26Advances Across Regions SOUTH INDIAN Bank Rs. Cr. 65,334 65,524 65,819 63,652 63,920 17,293 16,977 16,884 18,353 17,579 20,683 20,715 20,757 19,570 19,898 25,729 26,443 27,358 27,832 28,178 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Rest of India South Ex- Kerala Kerala 26 26#27Net Interest Income - Quarter SOUTH INDIAN Bank Net Interest Income Cost of Deposits & Yield on Advances Rs. Cr. In % Cost Of Deposit Yield on Advances 584 602 596 587 9.69 9.78 9.82 536 9.59 9.35 Q1FY20 Q2FY20 Q3FY20 Q4FY20 Q1FY21 6.32 6.24 6.14 6.00 5.78 Q1 FY20 Q2 FY20 Q3 FY20 Q4 FY20 Q1 FY21 Net Interest Margin Cost of Funds & Yield on Funds In % In % Cost of Funds Yield on Funds 2.53 2.69 2.72 2.67 2.62 8.11 8.16 8.08 7.97 7.74 5.82 5.72 5.61 5.53 5.33 Q1FY20 Q2FY20 Q3FY20 Q4FY20 Q1FY21 Q1 FY20 Q2 FY20 Q3 FY20 Q4 FY20 Q1 FY21 27#28Improving Operating Efficiency Employee Additions 304 57 -80 -105 SOUTH INDIAN Bank Cost-to-Income Ratio In % 55.7 53.4 53.7 51.1 50.6 -129 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Q1 FY20 Q2 FY20 Q3 FY20 Q4 FY20 Q1 FY21 Business per Employee Rs. Cr. Business per Branch Rs. Cr. 17.9 17.9 17.3 17.9 168 17.6 163 164 165 166 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 28#29Non Interest Income Core Fee Income 63 63 12 79 34 36 42 29 42 57 33 SOUTH INDIAN Bank Treasury & Forex Income Rs. Cr. Rs. Cr. 60 00 29 29 226 140 57 57 57 59 65 49 83 49 32 Q1FY20 Q2FY20 Q3FY20 Q4FY20 Q1FY21 Q1FY20 Q2FY20 Transaction Fees Technology Other Q3FY20 Q4FY20 Q1FY21 Forex Profit on Sale of Investments Investment Book as on Jun-20 Details Rs. Cr. HTM 16,375 Modified Duration 5.71 AFS 4,211 3.31 HFT 15 7.37 Total 20,601 5.39 29 29#30Break Up of Provisions Particulars (Rs. Cr.) For NPA & NPI For Depreciation on Investments For Standard Assets SOUTH INDIAN Bank Q1 FY21 Q4 FY20 Q1 FY20 326 360 184 (58) 263 (1) 30 89 6 For Restructured Advances/Sacrifices & FITL (1) 15 For Unhedged Forex Exposure Others Taxes 0 15 0 (3) (3) 11 29 (47) 39 Total Provisions 322 677 244 30 30#31Non-Performing Assets Gross NPA Net NPA SOUTH INDIAN Bank 4.96 4.96 4.98 4.92 4.93 3.48 3.44 3.41 3.34 3.09 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Gross NPA Movement Net NPA Movement Rs. Cr. Jun-19 Sep-19 Dec-19 Mar-20 | Jun-20 Rs. Cr. Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Opening 3,132 3,154 3,145 3,244 3,262 Opening 2,164 2,135 2,193 2,212 2,151 Additions 241 435 361 332 161 Additions 195 352 301 268 136 Deductions 219 444 263 314 177 Deductions 224 294 282 329 294 Closing 3,154 3,145 3,244 3,262 3,245 Closing 2,135 2,193 2,212 2,151 1,993 31#32Stressed Assets - QoQ Rs. Cr. NPA SOUTH INDIAN Bank Gross Basis Net Basis Q4 FY20 Q1 FY21 Q4 FY20 Q1 FY21 3,262 3,245 2,151 1,993 Restructured Standard Advance 848 1,065 803 1,010 Other Stressed Advances Total Stressed Assets 4,109 4,310 2953 3,003 Advances 65,524 65,819 64,439 64,593 Stressed Assets 6.27% 6.55% 4.58% 4.65% (as % of Advances) 32#33Restructured Advances Breakup Restructured Standard Advance Rs. Cr. 1,065 848 742 516 292 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Sector Breakup 3.0% 16.0% 81.0% On Account of Kerala Floods On Account of MSME Restructuring General DCCO Extention - SOUTH INDIAN Bank Security Receipts Outstanding as on Jun 30, 2020 Book Value 1310.89* Provision 546.30 Rs. Cr. NAV 764.59 *of which Rs.993 Crore pertains to a single pool and this pool now holds a provision coverage of 63% 33#34Restructured Standard Asset Book SOUTH INDIAN Bank Rs. Cr. Infra Roads Construction EPC Restructured Standard Advances Inc/(Dec) in Opening Fresh Addition Existing Balance Upgradation from NPA to Std. Slippages to NPA Closing Balance Under MSME 650 188 43 23 858 Restructuring Under Kerala Floods General - DCCO Extention 198 34 =4 (12) 13 Total 848 222 31 173 34 36 36 1065#35Fresh Slippages / Advance Ratios Retail Slippage SOUTH INDIAN Bank Agriculture Slippage 0.17% 0.39% 0.41% 0.11% 0.30% 0.12% 0.08% 0.10% 0.19% 0.17% Q1 FY20 Q2 FY20 Q3 FY20 Q4 FY20 Q1 FY21 Q1 FY20 Q2 FY20 Q3 FY20 Q4 FY20 Q1 FY21 MSME Slippage 0.88% 0.78% 0.63% 0.67% 0.26% 0.12% Corporate Slippage 1.36% 1.26% 0.59% 0.00% Q1 FY20 Q2 FY20 Q3 FY20 Q4 FY20 Q1 FY21 Q1 FY20 Q2 FY20 Q3 FY20 Q4 FY20 Q1 FY21 Overall Slippage 0.65% 0.55% 0.51% 0.38% 0.24% Q1 FY20 Q2 FY20 Q3 FY20 Q4 FY20 Q1 FY21 35#36Capital Composition BASEL III SOUTH INDIAN Bank In % 13.4 13.5 12.2 12.1 12.0 2.6 2.7 2.5 2.5 2.4 10.8 10.8 9.7 9.6 9.6 Jun-19 Sep-19 Dec-19 Tier 2 Tier 1 Mar-20 Jun-20 36 36#37Profit & Loss Overview SOUTH INDIAN Bank Rs. Cr. Q1 FY21 Q1 FY20 Y-0-Y (%) Q4 FY20 Q-0-Q (%) Net Interest Income 587 536 10% 596 (2%) Other Income 285 182 57% 394 (28%) - Core Fee Income 139 120 15% 156 (11%) -Treasury & Forex 146 61 138% 238 (39%) Total Income 872 718 22% 990 (12%) Operating Expenses 468 400 17% 457 2% Operating Profit 404 318 27% 533 (24%) Provisions & 293 205 43% 724 (60%) Contingencies Profit Before Tax 111 113 (2%) (190) NA Provision for Tax 29 39 (26%) (47) ΝΑ Profit After Tax 82 73 11% (144) NA 37#38Balance Sheet Overview SOUTH INDIAN Bank Rs. Cr. Jun 2020 Jun 2019 Y-0-Y (%) Mar 2020 Q-0-Q (%) Capital & Liabilities 96,322 93,804 3% 97,032 (1%) Capital 181 181 0% 181 0% Reserves and Surplus 5,391 5,325 1% 5,294 2% Deposits 82,469 81,723 1% 83,034 (1%) Borrowings 6,248 5,003 25% 6,893 (9%) Other Liabilities & Provisions 2,033 1,572 29% 1,630 25% Assets 96,322 93,804 3% 97,032 (1%) Cash & Balances with RBI 2,847 3,607 (21%) 2,806 1% Balances with Banks 1,168 1,357 (14%) 1,384 (16%) Investments 19,884 20,249 (2%) 20,625 (4%) Advances 64,593 62,658 3% 64,439 0% Fixed Assets 790 790 0% 800 (1%) Other Assets 7,040 5.143 37% 6,978 1% Business (Advances + Deposits) 147,063 144,381 2% 147,473 0% Savings Accounts 18,331 16,269 13% 17,552 4% Current Accounts 3,848 3,449 12% 3,208 20% CASA Ratio 26.89% 24.13% 276 bps 25.00% 189 bps 38#39Key Metrics - Quarterly Particulars Q1 FY18 FY19 FY20 SOUTH INDIAN Bank FY21 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Net Interest Margin (NIM) 2.80% 2.95% 2.88% 2.73% 2.60% 2.61% 2.66% 2.46% 2.53% 2.69% 2.72% 2.67% 2.62% CRAR Basel III ROAA (Annualized) Provision Coverage CASA Gross NPA Net NPA 12.1% 11.7% 12.5% 12.7% 12.2% 12.1% 11.8% 12.6% 12.2% 12.1% 12.0% 13.4% 13.5% 0.6% 0.02% 0.6% 0.6% 0.1% 0.3% 0.4% 0.3% 0.3% 0.4% 0.4% -0.6% 0.3% 44.6% 44.1% 49.4% 41.2% 39.1% 41.9% 41.2% 42.5% 45.1% 48.1% 50.4% 54.2% 58.8% 25.2% 24.6% 24.9% 23.8% 24.7% 24.5% 24.3% 24.2% 24.1% 24.9% 25.2% 25.0% 26.9% 3.61% 3.57% 3.40% 3.59% 4.54% 4.61% 4.88% 4.92% 4.96% 4.92% 4.96% 4.98% 4.93% 2.54% 2.57% 2.35% 2.60% 3.27% 3.16% 3.54% 3.45% 3.41% 3.48% 3.44% 3.34% 3.09% 27.6 28.4 29.0 29.1 29.0 29.5 29.5 30.4 30.7 31.2 30.3 30.8 Book Value per Share (Rs.) 27.7 EPS (Rs.) (Annualized) 2.3 0.1 2.5 2.6 0.5 1.5 1.8 1.6 1.6 1.9 2.0 (3.2) 1.8 Customer Touch Points - Kerala 493 494 494 496 496 496 494 503 503 503 503 508 508 - South India (Ex-Kerala) 259 260 261 264 266 266 266 270 270 270 271 272 272 - Rest of India 149 149 149 149 149 150 150 150 150 149 149 149 149 Total 901 903 904 909 911 912 910 923 923 922 923 929 929 39#40COVID 19: Operational Impact ● . • SOUTH INDIAN Bank Quick Response Team is taking proactive steps to ensure business continuity. This is being reviewed periodically. Appropriate measures are taken as part of Business Continuity Plan, in order to ensure that no interruptions occur in any of the business activities. Employees were given work from home facility as a safety measure, with adequate IT infrastructure and enhanced cyber security measures which enabled safe and uninterrupted availability of service to customers. All necessary precautions are taken at branches/offices/ATMs to ensure safety of staff and customers. Ensured availability of services of more than 98% of branches/ATMs during the lock down period following all precautionary measures as per the guidelines. Ensured availability of digital and electronic channels round the clock to provide service to our customers. Digital transactions have gone up from 83% to 90% during lockdown period. Operationalized RBI'S COVID-19 regulatory package, thereby offering payment moratorium to its eligible borrowers. Offered loans under Guaranteed Emergency Credit Line to eligible borrowers. . Introduced SIB INSTA, for self on boarding (Aadhaar OTP e-KYC based) of customers. 40 40#41COVID 19: Moratorium Assessment of Loan Portfolio under Covid impact SOUTH INDIAN Bank Rs. Cr. Current balance of SMA 0/1/2 as on Feb 29, 2020 Sector Total Moratorium Portfolio extended (A) (B) As a percentage to total portfolio under moratorium and % of C to % of C to standstill benefit taken as B A on 30.06.20 (C) Agriculture 10,317 1,112 10.78% 22 1.98% 0.21% MSME 16,319 6,251 38.31% 48 48 0.77% 0.29% Retail 20,927 9,705 46.38% 175 1.80% 0.84% Corporate 18,256 6,794 37.22% 469 6.90% 2.57% Total 65,819 23,862 36.25% 714 2.99% 1.08% 41#42Next Generation Bank 42 42#43Present across Customer Touch Points Traditional & Alternate Channels SOUTH INDIAN Bank SIB Mirror + ATMs ATM3DW 1,426 ATMs across India Mobile Banking SOUTH INDIAN Bank Branches 875 Branches & 54 Extension Counters SIBerNeT SIB POS Internet Banking Point of Sale 43#44Technology Initiatives HOH 0 SHAKE TO TRANSFER MONEY AND DO MUCH MORE. SOUTH INDIAN Bank Mirror + is an all in one stop for your mobile banking needs, with additional features as IMPS (24/7) fund transfer, NEFT fund transfers, and full access to account information, and much more SIBerNet is a suite of comprehensive internet banking services positioning SIB as a technology-driven bank offering superior services to retail customers with added security like OTP, FRM Solution. Retail branches now interconnected with single-window service and providing real-time online, real-time transactions to customers. Instant account opening facility through Quick Account Opening, TAB Account Opening supported by e-KYC. SIB offers Visa, MasterCard, and RuPay debit cards with online access to users for secure domestic and international transactions VISA SERVE Centralized Processing Center allows enhanced risk management and customer creation with complete KYC compliance and fraud prevention tools 44#45Digital Initiatives SOUTH INDIAN Bank Channel Enhancements Digital Onboarding of new to bank customers, has augmented our customer base. Further, our Mobile & Internet Banking channels have been enhanced to facilitate branch processes such as loan repayment, cheque/debit card request, debit card PIN set/reset and others. Paperless instant account opening using SIB INSTA Aadhar and PAN. No forms to fill. No queue. KIOSK Digi-lounge KIOSKS help customers with speedy cheque deposits and passbook printing. Similarly, TAB account opening supplemented with e-KYC has helped us achieve an optimum TAT. DIYA (Do It Yourself using Aadhar) Revamped Aadhar based E-KYC account opening. Not only can an account get opened and activated in 20 minutes, but the customer can also take home an active card, passbook and Mirror+ instantaneously. Payments Bank offers different modes of digital payment methods like UPI, IMPS, NEFT/RTGS, bill payment, AePS, POS, e- Commerce, fund transfer, QR-based payments and others. As a result, the percentage of digital transaction volume has improved to 84.35% of total transactions in March 2020. Robotic Process Automation (RPA) As a measure of operation-cost reduction and TAT improvement different business processes have been automated to emulate and integrate the actions of a human interacting within digital systems for execution. 45#46Personal Banking: Technology Banking Active Internet Users Internet Transaction Volume Internet Transaction Value (000)'s (000)'s Rs. Cr. 1,060 1,125 1,178 1,181 9,638 10,102 949 8,330 8,783 7,373 403.00 425.00 451.00 472.00 487.00 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Mobile Transaction Volume Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 (000)'s 16,629 15,427 14,507 11,406 8,653 Mobile Transaction Value Rs. Cr. 7,285 6,610 6,355 5,524 4,918 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20#47Personal Banking: Debit Cards 2.7 Jun-19 No. of Active Debit Cards SOUTH INDIAN Bank Debit Card Transaction Volumes In Millions In Millions 3.1 26.5 28.1 29.5 27.8 3.0 2.9 18.9 2.8 Sep-19 Dec-19 Mar-20 Jun-20 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Debit Card Transaction Value Rs. Cr. 8,292 7,948 7,508 7,766 5,462 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 47 12#48Increasing Third-Party Tie Ups . Kotak Mahindra Life Insurance • SBI Life Insurance • LIC of India . Life Insurance المرسلة • Bajaj Allianz General Insurance . New India Assurance Bharti AXA General Insurance Insurance Health Insurance Mutual Funds SOUTH INDIAN Bank · • Max Bupa Health Insurance Manipal Cigna Health Insurance . • . Reliance Asset Management TATA Asset Management HDFC Mutual Fund DSP Blackrock Mutual Funds . Aditya Birla Sun Life Asset Management . ICICI Prudential Asset Management • Franklin Templeton Asset Management . Sundaram Mutual Fund . UTI Mutual Funds • HSBC Mutual Fund L&T Investments • Principal Mutual Funds . LIC Mutual Funds . SBI Mutual Funds . Axis Asset Management • Kotak Mahindra Asset Management Motilal Oswal Asset Management 48#49About Us 49 49#50Leadership Team Mr. V. G. Mathew, MD & CEO SOUTH INDIAN Bank Post Graduate in Physics and CAIIB with over 40 years of experience • Joined SIB in January, 2014 as Executive Vice President and appointed as MD & CEO in October 2014 Significant experience in Retail & Corporate Credit, Technology and Risk Management Joined SBI as a probationary officer in the Ahmadabad Circle in 1978 and was Chief General Manager before joining SIB ▪ The major assignments handled by Mr. Mathew in SBI are ◉ Dy. General Manager (IT Networking Project) Dy. General Manager and Branch Head, (Overseas Branch, Bangalore) General Manager, (Corporate Accounts Group-Mumbai Branch) Chief General Manager (Risk Management) " Chief General Manager (Corporate Accounts Group) ▪ He has served on various committees at Corporate Center of SBI such as Wholesale Banking Credit Committee, Investment Committee, Corporate Centre Credit Committee and was a Director on the Board of SBI Macquarie Infrastructure Trustee (P) Limited 50#51Leadership Team Mr. Thomas Joseph K, EVP (Operations) • • Bachelors Degree in Engineering and Diploma in Management & CAIIB SOUTH INDIAN Bank He is associated with SIB since 1984 and heads Departments such as Risk Management, Technology, Marketing, Corporate Financial Management, Human Resource and Inspection & Vigilance ⚫ He was Head of Credit handling a portfolio of Rs. 40,000 crores and was instrumental in the execution of the Retail Strategy of the Bank which saw significant growth in the MSME & Agriculture Sectors • Mr. G. Sivakumar, EVP (Credit) Postgraduate in Chemistry and holds Masters Degree in Business Administration & CAIIB He heads Credit and Legal Departments He has over 35 Years of Experience in Domestic and International Banking in India and Abroad ⚫ Before joining SIB, he was the General Manager and Head of Private Equity Vertical in State Bank of India where he • was responsible for Private Equity and Venture Capital Investments made by the Bank He was also a nominee director on the Board of Directors of four companies and Investment Committee of more than ten Alternative Investment Funds Mr. K. N. Reghunathan, EVP (Treasury) • Commerce Graduate & CAIIB He is responsible for Treasury Operations of the Bank along with International Banking Division . ⚫ Before joining SIB, he was associated with Union Bank of India and was General Manager of Treasury and International Banking Division. ⚫ He was the Bank's nominee on the Board of FIMMDA and SBI Global Factors and Member of the Advisory Committee of Metropolitan Stock Exchange of India, IDFC Investment Fund, TATA Growth Fund, TATA Innovative Fund, India Advantage Fund I & II 51#52SOUTH INDIAN Bank . • Management Team Mr. Benoy Varghese (Country Head - Wholesale Banking) Bachelors Degree in Arts & Masters Degree in Business Administration and CAIIB Mr. Raphael T.J., Chief General Manager (Chief Information Officer) Bachelors Degree in Commerce, Masters in EXIM, Diploma in Financial Management and CAIIB Mr. Shelly Joseph, (Country Head – Business Development) - Masters Degree in Commerce & CAIIB Mr. Anto George T, Senior General Manager (Head of Inspection & Vigilance Department and Chief of Internal Vigilance) . Bachelors Degree in Arts & Post Graduate Diploma in Computer Application and MBA in HR Management Certification in RDBMS & Oracle 8i and JAIIB Mr. Reddy NJ, Senior General Manager • Masters Degree in Commerce & LLB 52 52#53Management Team • Mr. Sanchay Kumar Sinha (Country Head - Retail Banking) Bachelor's degree in Arts, Post Graduate Certificate in Business Management (XLRI) Mrs. Chithra H, Chief Financial Officer © Bachelors Degree in Commerce • Fellow member of the Institute of Chartered Accountants of India Certified Associate of the Indian Institute of Banking & Finance Mr. Sibi P M, Chief Compliance Officer • Bachelor of Technology Certified Associate of Indian Institute of Banking & Finance FRM and GARP SOUTH INDIAN Bank Mr. Jimmy Mathew, Company Secretary Bachelors Degree in Commerce, Associate Member of Institute of Company Secretary of India and Institute of Cost & Management Accountants of India. Also a Certified Associate of the Indian Institute of Banking & Finance 53#54Safe Harbour No representation or warranty, express or implied is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of such information or opinions contained herein. The information contained in this presentation is only current as of its date. Certain statements made in this presentation may not be based on historical information or facts and may be “forward looking statements”, including those relating to the Company's general business plans and strategy, its future financial condition and growth prospects, and future developments in its industry and its competitive and regulatory environment. Actual results may differ materially from these forward-looking statements due to a number of factors, including future changes or developments in the Company's business, its competitive environment and political, economic, legal and social conditions in India. This communication is for general information purpose only, without regard to specific objectives, financial situations and needs of any particular person. This presentation does not constitute an offer or invitation to purchase or subscribe for any shares in the Company and neither any part of it shall form the basis of or be relied upon in connection with any contract or commitment whatsoever. The Company may alter, modify or otherwise change in any manner the content of this presentation, without obligation to notify any person of such revision or changes. This presentation can not be copied and/or disseminated in any manner. 54 54#55SOUTH INDIAN Bank For further information, please contact: Company The South Indian Bank Ltd. CIN-L65191KL1929PLC001017 Ms. Chithra H, CFO [email protected] Mr. Vijith S, Dy. General Manager [email protected] Mr. Chetan Parmar, Head IR [email protected] www.southindianbank.com Investor Relations Advisors Strategic Growth Advisors Pvt. Ltd. CIN U74140MH2010PTC204285 - Mr. Shogun Jain / Mr. Sagar Shroff [email protected]/[email protected] +91 77383 77756 / +91 98205 19303 www.sgapl.net 55