Siam City Bank Public Company Limited

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Siam City Bank Public Company Limited
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Focus on You
June 2005.
2
Siam City Bank Public Company Limited
1. Overview 2. Competitive Strengths 3.
Strategy 4. Performance 5. Industry Outlook 6.
Corporate Strengths
3
SCIB Background

• Founded with initial registered capital of Baht 1
  million
• Listed in the Stock Exchange of Thailand (SET)
• Became A GOOD BANK after transferring its
  NPLs to PAM in exchange for
• FIDF - guaranteed AMC Notes
• Bangkok Metropolitan Bank Pcl. (BMB) merged
  with SCIB
• Integration process between SCIB and BMB and Core
  Banking System was completed in August 2003
• Re-traded in the SET on Dec 1,2003, with free
  float of 17.5
• Changed status from a state - enterprise to a
  private commercial bank and free float increase
  to 52.42 on Nov 25, 2004
• Having a market capitalization of Baht 52,609
  million on Jun 30, 2005, ranked 5th in Banking
  sector

1941
1994
2001
2002
2003
2004

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Vision
To be a leading financial institution that
provides universal services to domestic
businesses and retail customers through its
branch network.
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Business Group Support
Siam City Bank
Max Life Assurance 100
Siam City Securities 99.78
Siam City AssetMgmt. 100
Siam City Insurance 45.5
SCIB Service 100
Life Insurance
Asset Mgmt.
Securities
Services
Non-Life Insurance
As of June 2005
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Products and Services
International Business
Capital Market Service
Insurance
Retail and Commercial Banking
Foreign Currency Deposit
Registrar Service
Life Insurance
Credit Card
Trustee
Deposit
Funds Transfer
Non - Life Insurance
Unit Trust Selling Agent
Consumer Loan
Corporate Loan
Escrow Agent
Import Export Service
Bancassurance
Mutual Fund
Cash Management
Foreign Exchange Service
Brokerage Investment Banking
Electronic Banking
Become a Universal Bank Providing Vast Product
Range
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Shareholding Structure
Public Offering (Dec. 1, 2003)
Current Status
Paid-up Capital Baht 21,128.11 million (2,112.81
million shares _at_ Par Baht 10)
As of June 2005
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Two Years After Acquisition
Unit Baht Million
Dec.2001
Rank
Dec.2004
Market Share
Jun.2005
Change Jun.05-Dec.01

• Assets
• Loans
• Deposit
• Employee
• Branch
• ATM

57 43 38 57 77 445
297,792 209,527 262,153 4,167 209 195
7.11 6.39 6.82 7.37 9.10 8.11
7 7 7 7 7 7
472,025 333,815 385,470 6,377 367 907
467,875 298,033 362,083 6,553 370 1,062
14,083 6,367
7,234 3,265
2,024

• Revenue
• Net Profit

(1)
(7,154)
Notes (1) Net Profit before Extraordinary
item Net Profit after
Extraordinary item Baht 38,075 Million

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Siam City Bank Public Company Limited
1. Overview 2. Competitive Strengths 3.
Strategy 4. Performance 5. Industry Outlook 6.
Corporate Strengths
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Clean Balance Sheet with Lowest NPLs
NPLs / Total Loans

Industry 11.94
13.24
THB 11,243 mn
8.52
7.30
3.77
(Excl.TPI1.57)
SCIB
Top 5 KTB, BBL, KBANK, SCB , TMB Med 2
SCIB, BAY Small 5 UOBR, SCNB, NBANK, BT, BOA
As of June 2005
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High Loan Loss Coverage Ratio
Classified Loans
Amount
THBmn Active 280,766 94.21 Special
Mention 6,023 2.02 Substandard 2,978 1.00 Doubtful
7,670 2.57 Bad Debt 596 0.20 Total 298,033 100.0
0
Industry 64


126
95
(Excl.TPI228)
60
54
Loan Loss Reserve
SCIB
Reserve Provided Baht 8,380 Million Reserve
Required by BoT Baht 4,356 Million Excess
Reserve Baht 4,024 Million of
Excess Reserve 92.38
(1)
Top 5 KTB, BBL, KBANK, SCB , TMB Med 2
SCIB, BAY Small 5 UOBR, SCNB, NBANK, BT, BOA
Note (1) Exclude reserve for loss from TDR Baht
2,309 million
As of June 2005
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Low Cost/Income Ratio
(1)
Cost / Income Ratio
Income / Employee Expense
Top 5 KTB, BBL, KBANK, SCB , TMB Med 2
SCIB, BAY Small 5 UOBR, SCNB, NBANK, BT, BOA
Note (1) Income Net Interest Income Non
Interest Income
As of June 2005
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Solid Capital Base to Support Loan Growth
Tier - 1 Capital

Industry 9.13
SCIB
Top 5 KTB, BBL, KBANK, SCB , TMB Med 2
SCIB, BAY Small 5 UOBR, SCNB, NBANK, BT, BOA
As of June 2005
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Distribution Channels Cover High Growth Area
Domestic Branches and Sub-Branches
9 34 Branches
9 32 Branches
21 79 Branches
49 181 Branches
12 44 Branches

• Total domestic branches of 370 in every province
  which cover high growth area in Thailand
• Broad network of 1,062 ATMs nationwide
• Adapt branch model to fit business volume in each
  area

As of June 2005
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Siam City Bank Public Company Limited
1. Overview 2. Competitive Strengths 3.
Strategy 4. Performance 5. Industry Outlook 6.
Corporate Strengths
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Strategy Overview
Broaden Customer Base
Strengthen Corporate Governance

• Emphasize on expanding customer base to small
  size and medium size customers
• Proactive marketing through its 370 branches
  nationwide

• Focus on professional management with good
  governance
• Implements high - standard risk management
  measures

Increase Products Services
Improve Quality Efficiency

• Increase and develop products services to
  satisfy customers needs
• Target its product range to complete to top -
  tier banks
• Utilize subsidiaries and strategic partners

• Enhance service quality
• Enhance capability of workforce

Develop More Efficient Sales Channel
Develop Enhance IT System

• Develop and increase low-cost channels
• Streamline improve branch operations and
  structure

• Implement Internet electronic banking
• Implement Customer relationship management
• Implement Profitability measurement system

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Focus Strategy

• Provide full - range services by developing new
  products and services to satisfy customers needs
• Focus on high growth fee-based businesses through
  cross-selling SCIBs group products and services
• Improve asset yield
• Cap cost to income ratio not exceeding 50
• Reduce cost of fund by adjusting deposit
  structure in line with industry
• Maintain good asset quality by controlling NPL
  not exceed 3
• Differentiate service with high personal touch
• Maximize shareholders wealth by increasing ROE
  in line with industry

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Siam City Bank Public Company Limited
1. Overview 2. Competitive Strengths 3.
Strategy 4. Performance 5. Industry Outlook 6.
Corporate Strengths
19
Income Statement Summary
(Baht Million) 2001 2002 2003 2004 1H05

• Interest and Dividend Income 11,060 16,501
  17,077 15,679 8,395
• Interest Expense 9,074 10,674 8,360 5,767 2,938
• Net Interest Income 1,986 5,827 8,717
  9,912 5,457
• Provision for Loan Losses(1) (2,843) (4,041)
  (3,815) (486) (213)
• Net Interest Income after Provision (857) 1,786
  4,902 9,426 5,244
• Non Interest Income 38 4,137 5,687
  4,171 1,777
• Non Interest Expense 6,318 5,041 6,958
  7,230 3,756
• Net Profit before Extra. Items (7,154) 882
  3,631 6,367 3,265
• Extra. Items 45,229 - - - -
• Net Profit 38,075 882 3,631 6,367 3,265

Note (1) Includes bad debts and doubtful
accounts and loss on trouble debt restructuring
items
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Performance Indicators
2002 2003
2004 1H05
(1)
0.54 0.20 3.29 0.22 16.53 14.46 1.08
1.72 0.75 10.74 0.76 15.45 10.24
1.35
3.01 1.40 19.33 1.35 15.73 10.24 1.03
1.55 - 19.29 1.39 16.31 10.71 0.92

• EPS (Baht per Share)
• Dividend (Baht per Share)
• ROE ()
• ROA ()
• Book Value (Baht per Share)
• BIS ()
• Tier 1
• Tier 2

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Asset and Loan Portfolio Breakdown
Asset Breakdown
Loan Portfolio Breakdown
Total Loans Baht 230,430 million
Total Assets Baht 467,875 million
Personal Consumption
Construction
Manufacturing Commercial
As of June 2005
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Strong Loan Growth
Total Loan (Include AMC)
Total Loan (Exclude AMC)
Baht Million
(1)
Baht Million
(2)
Loan Growth 18
Note (1) Redemption of AMC Note Baht 3,148
Million in 1Q04 and Baht 44,000 Million in Jun.
04 (2) Redemption of AMC Note Baht
55,080 Million in 1H05
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AMC Note Redemption leads to Higher Yield
AMC Notes
Terms of AMC Notes

• Issued by PAM in exchange for NPLs transfer
  during 2001 and 2002
• SCIB received 16 AMC Notes, totaling Baht 303,826
  million
• FIDF will redeem Baht 44,000 million of AMC Notes
  annually until 2005 and the remaining portion in
  2006
• AMC Notes carry an interest rate at a weighted
  average of interest rates payable to all types of
  bank deposits
• SCIB does not have to record additional
  gains/losses

Baht Million
(1)
(2)
Note (1) AMC Note Prepayment Bt. 3,148 Million
in 1Q04 (2) AMC Note Prepayment Bt.
5,080 Million in 1Q05 and Bt.6,000 Million in May
05
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Sources of Funds
Liabilities Breakdown
Deposit Breakdown
Total Baht 433,425 million
Total Baht 362,083 million
Fixed
Saving
Current
Interbank Money market 5
As of June 2005
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Improving Interest Spread
Interest Spread of Yield on Earning Assets Cost
of Funds
Per Annum
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Income Structure
Interest Dividend Income
Interest Expenses
Baht Million
Baht Million
17,077
16,501
10,674
15,679
8,360
7,896
8,395
5,767
2,990
2,938
6
2
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Widening Net Interest Dividend Income
Net Interest Dividend Income
Baht Million
Growth 11
28
Non-interest Income
Non-interest Income
Baht Million
5,687
4,171
4,137
2,482
1,777
-28
893
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Siam City Bank Public Company Limited
1. Overview 2. Competitive Strengths 3.
Strategy 4. Performance 5. Industry Outlook 6.
Corporate Strengths
30
Industry Outlook

• Strong economic growth and low interest rates are
  earnings driver
• The financial master plan strengthening the
  stability of financial institutions
• Strong market sentiment
• NPLs are in check

Economic Growth Breakdown
Banking Sector ROA, NPLs, Loans
Baht Billion
Baht Billion
(1)
1.50
1.51
1.21
0.62
0.20
-0.16
ROA
Note (1) Forecast
Note Estimated Loan Growth 2004 10 , 2005
6-7
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Siam City Bank Public Company Limited
1. Overview 2. Competitive Strengths 3.
Strategy 4. Performance 5. Industry Outlook 6.
Corporate Strengths
32
Corporate Strengths
Ample Room to Increase Profitability
Business Synergy from Subsidiary Companies
Rapid Loan Growth Potential
Strong Capital Base for Loan Expansion
Clean Bank with Lowest NPLs Level
Good Corporate Governance
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Legal Disclaimer
The material contains certain forward looking
statements. Such forward looking statements are
not guarantees of future performance and involve
risks and uncertainties, and actual results may
differ from those in the forward looking
statements as a result of various factors.