ICICI Bank’s financial position - Press Release by K V Kamath

ICICI Bank’s financial position sound; rumours baseless and malicious: K. V. Kamath, Managing Director & CEO ICICI Bank Limited (NYSE: IBN) is aware that rumours are being repeatedly circulated in certain centres regarding the financial strength of the Bank. The Bank states that these rumours are baseless and malicious. As these rumours could create concern among the Bank’s customers, the Bank reiterates that: • ICICI Bank has a very strong capital position, having proactively raised Rs. 20,000 crore (about US$ 5 billion) in June 2007, almost doubling its capital base. It has a networth of over Rs. 47,000 crore (i.e. over US$ 10 billion) and a capital adequacy ratio of 13.4% at June 30, 2008, as against the regulatory requirement of 9.0%. This is among the highest levels of capital adequacy in large Indian banks. This reflects the healthy capital position and comfortable level of leverage. Its banking and non-banking subsidiaries are also well-capitalised. • ICICI Bank has consolidated total assets of over Rs. 484,000 crore (over US$ 105 billion), which is diversified across a wide range of asset classes in India and overseas. • ICICI Bank is profitable. It made a profit after tax of Rs. 4,158 crore (over US$ 900 million) in FY2008 and Rs. 728 crore (over US$ 155 million) in the first quarter of this year. This was due to the strong core performance, which more than offset the impact of adverse debt and equity market conditions in India and globally since the second half of FY2008. ICICI Bank’s wholly-owned subsidiary, ICICI Bank UK PLC has, as part of its normal treasury operations, a diversified investment portfolio. ICICI Bank UK PLC has zero exposure to US sub-prime credit, and zero non-performing loans. About 98% of its non-India investment book of US$ 3.5 billion is rated investment grade and above, with about 89% rated A- and above. In addition, ICICI Bank UK PLC holds cash equivalent instruments (inter-bank placements and certificates of deposit) of USD 1.1 billion. As on the last balance sheet date of June 30, 2008, ICICI Bank UK PLC had a capital adequacy ratio of 17.4%. • The absorption of the impact of current market conditions on investment portfolio valuation will not pose any challenge to ICICI Bank’s capital position.

ICICI Bank going bankrupt ??

A strong rumour that ICICI Bank has gone bankrupt sent several depositors rushing for ATMs to withdraw money late on sunday night . People thronged all possible ATMs as rumours of the popular bank going bankrupt got stronger as people gathered to withdraw their savings No one could pinpoint the origin of the rumour but sources said that a mention of the bank going bankrupt had appeared in a vernacular newspaper and that could have triggered the rumour. This needs to confirmed yet for ICICI bank officials

ICICI Bankrupt Latest News

The country’s largest private lender ICICI Bank, On Monday(29th Sept, 2008) said that 98 per cent of its UK arm’s non-India investment book is rated investment grade and above. The bank’s share on Monday fell to a two-year low on the domestic bourses even while other front-line lenders including HDFC Bank and the State Bank of India were trading over 30 per cent above their yearly lows.

icici bankrupt - icici bank news

The rumour that ICICI bank has gone bankrupt has been played around by some rumour mongers for quite some time since the collapse of two of the biggest American financial servies company. The truth is, investor sentiments all around are at their all time low since a long time. It's not only ICICI bank, but the entire economy that grappling with the uncertainties right now. After the stock price fell 12% on monday, it's likely icici bank gets beaten down today as well. what with US exchanges closing deeply in red on monday.