Mumbai, May 12, 2017:
YES BANK would like to clarify that the disclosure on divergence in asset classification and provisions in NPAs in the Annual Audited Financial Statement is in conformity with the RBI circular issued on April 18, 2017, ‘Disclosure in the Notes to Accounts to the Financial Statements – Divergence in Asset Classification and Provisioning’. The reported divergence was for the prior period ended FY 15-16.
With ongoing remedial actions undertaken by the Bank during FY 16-17, there have been several reductions/ exits/partial sale to ARCs/improvements in account conduct which significantly reduced the overall gross NPA outstanding to Rs 1039.9 Cr as on March 31, 2017.
The outstanding GNPA as on March 31, 2017 includes one borrower with an exposure of INR 911.5 Crores (88%) which is expected to be recovered in near term. Specific provision held in this account was Rs 227.9 Crores.
After duly taking into account provision impact of the divergences, the Bank’s Credit Cost was at 53 bps for FY17 and 19 bps for Q4FY17.
Therefore, the Bank reiterates that there is No Carry Forward impact of the divergence observed by RBI in FY17-18.
About YES BANK
YES BANK, India’s fourth largest private sector Bank with a pan India presence across all 29 states and 7 Union Territories of India, headquartered in the Lower Parel Innovation District (LPID) of Mumbai, is the outcome of the professional & entrepreneurial commitment of its Founder Rana Kapoor and its Top Management team, to establish a high quality, customer centric, service driven, private Indian Bank catering to the future businesses of India.
YES BANK has adopted international best practices, the highest standards of service quality and operational excellence, and offers comprehensive banking and financial solutions to all its valued customers.
YES BANK has a knowledge driven approach to banking, and offers a superior customer experience for its retail, corporate and emerging corporate banking clients. YES BANK is steadily evolving as the Professionals’ Bank of India with the long term mission of “BUILDING THE FINEST QUALITY LARGE BANK OF THE WORLD IN INDIA”.
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