Press Release

JCR-VIS Reaffirms Ratings of Samba Bank Limited at A/A-1

Karachi, June 29, 2010: JCR-VIS Credit Rating Company Ltd has reaffirmed the entity ratings of Samba Bank Limited (Samba) at ‘A/A-1’ (Single A / A- One). Outlook on the assigned ratings is ‘Stable’.

Ratings incorporate the continued support exhibited by the sponsor, Samba Financial Group (SFG), reflected in the recent capital injection, following which SFG’s stake in the bank has increased to 80.68%. The capital injection of Rs. 3.2b has allowed the bank to exceed the minimum capital requirement stipulated for December-2009 end.

The high level of overheads and cost of funds continue to put pressure on the profitability position of the bank. Furthermore, the bank is currently focusing on top tier clients, where margins are thin. To alleviate pressure on profitability, the bank is increasingly focused on generating low cost deposits and improving operational efficiency, with positive initial results in this respect. On a timeline basis, liquidity indicators have showcased improvement, with increase in core deposits, although overall the deposit base remains concentrated, with further room for improvement.

Business has picked up momentum along with a significant decline in losses in recent months, relative to the out-going year. Trends with respect to the same will continue to be monitored, going forward. To augment the revenue stream, the bank is also developing fee-based products in the areas of its core competencies.

For further information on this rating announcement, please contact the undersigned (Ext: 604) or Ms. Sobia Maqbool (Ext: 506) at 35311861-70 or fax to 35311873.

Safdar Kazi

Information herein was obtained from sources believed to be accurate and reliable; however, VIS Credit Rating Company Limited VIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information.VIS, the analysts involved in the rating process and members of its rating committee do not have any conflict of interest relating to the rating(s)/ranking(s) mentioned in this report.VIS is paid a fee for most rating assignments. This rating/ranking is an opinion and is not a recommendation to buy or sell any securities. Copyright 2010 VIS Credit Rating Company Limited. All rights reserved. Contents may be used by news media with credit to VIS.

JCR-VIS Credit Rating Company Limited