Public Issue of Bonds

LISTING AGREEMENT: CLAUSE 36

AUGMENTATION OF TIER II CAPITAL

THROUGH PUBLIC ISSUE OF BONDS

ISSUE AND ALLOTMENT OF BONDS

We refer to our letter no. CC/S&B/VKJ/2373 dated 30.12.2010 vide which we had advised that the Executive Committee of the Central Board of the Bank had accorded approval for raising Tier II Capital for an aggregate amount of Rs. 10,000 crore by way of Public Issue of Subordinated Bonds (Lower Tier II Bonds) during the remaining period of FY 2010-11 and in FY 2011-12, in different tranches and also for raising of Rs.1,000 crore with a green shoe option to retain Rs. 1,000 crore, along with an option to retain any amount of oversubscription under the Retail Category beyond Rs. 2000 crore but up to the rated amount of Rs. 10,000 crores, in the first tranche.

2. Accordingly, the First tranche of the Issue opened on 21.02.2011 and closed on 28.02.2011. In this connection, we advise that Executive Committee of the Central Board of the Bank, at its meeting held on March 16th 2011, has accorded approval for issue and allotment of 7,31,078 Series 3 Lower Tier II Bonds of face value Rs. 10,000.00 each and 47,65,918 Series 4 Lower Tier II Bonds of face value Rs. 10,000.00 each on 16th March 2011 to the eligible Applicants, in the first tranche, in terms of the Basis of Allotment approved on 15th March 2011 by Bombay Stock Exchange Limited, the Designated Stock Exchange in consultation with the Lead Managers and the Registrar to the Issue.

3., We further advise that the Record Date for payment of Interest on the Bonds, for the first Year, i.e. for the period commencing from 16.03.2011 to 31.03.2011, shall be 17th March 2011.

Yours faithfully,

General Manager