Bank of baroda

(Rs. in million)
Sr.
 AUDITED
LIMITED REVIEW
No.
 AS AT 31ST MARCH
HALF YEAR ENDED
2001
2002
2003
2004
2005
Sep-04
Sep-05
Represented by:
(D)
Share Capital
2,943.38
2,943.39
2,943.42
2,945.26
2,945.27
2,945.30
2,945.27
(E)
Share 
Application 
Money
- - - - - - - 
(F)
RESERVES AND SURPLUS
1
Statutory Reserve
6,674.93
8,039.74
9,971.75
12,389.25
14,081.35
12,389.25
14,081.35
2
Capital Reserve
1,640.78
1,643.62
1,714.29
1,739.39
1,739.39
1,739.39
1,739.39
3
Revaluation Reserve
2,764.48
2,732.11
2,618.43
2,492.70
2,367.55
2,492.64
2,360.62
4
Investment Fluctuation Reserve
385.04
2,568.44
5,675.44
10,425.44
10,425.44
10,425.44
10,425.44
5
Revenue & Other Reserve
11,781.00
12,977.07
13,572.94
13,929.58
17,330.83
13,966.56
17,352.34
6
Deferred Tax Reserve
-
-
-
-
-
-
-
7
Balance of Profit & Loss Account
-
-
-
-
-
5,063.00
4,160.09
8
Share Premium
7,373.14
7,373.25
7,373.49
7,387.60
7,387.72
7,387.66
7,387.72
TOTAL
30,619.37
35,334.23
40,926.34
48,363.96
53,332.27
53,463.92
57,506.95
Less:Revaluation 
Reserve
2,764.48
2,732.11
2,618.43
2,492.70
2,367.55
2,492.64
2,360.62
Less Deferred Tax Asset (DTA)
907.68
948.62
430.41
1,448.21
514.23
TOTAL - (F)
27,854.89
32,602.11
37,400.23
44,922.64
50,534.31
49,523.07
54,632.10
NET WORTH (D+E+F)
30,798.27
35,545.50
40,343.65
47,867.90
53,479.59
52,468.37
57,577.37
(G)
Contingent 
Liabilities
1
Claims against The Bank not
2,383.41
1,521.72
3,428.14
8,276.32
10,513.72
8,281.36
8,545.89
acknowledged as debt
2
Liabilitity for partly paid investments
2.80
10.65
3.59
2.80
761.02
3,064.57
585.98
3
Liability on account of outstanding
133,134.35
88,748.24 176,161.47 223,092.96
236,627.99
263,293.71
196,136.74
forward exchange contracts
4
Guarantees given on behlaf of
constituents:
in 
India
20,071.31
19,040.93
20,599.30
21,560.81
25,283.66
26,630.03
27,826.62
Outside 
India
14,434.43
13,568.26
14,251.32
12,022.91
13,348.13
16,318.46
15,338.18
5
Acceptances, Endorcements &
21,216.94
19,859.38
25,272.25
27,537.76
35,672.85
38,851.16
36,198.99
other Obligations
6
Other items for which the Bank is
5,956.58
6,407.84
4,478.94
10,689.66
44,896.39
58,074.36
92,281.06
contingently liable
TOTAL - (G)
197,199.81 149,157.02 244,195.00 303,183.24
367,103.77
414,513.65
376,913.46
Bills for collection
39,317.57
43,102.96
42,273.44
48,310.09
62,009.83
59,989.68
50,652.63

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166
BANK OF BARODA
STATEMENT OF CASH FLOW
ANNEXURE - A-III
(Rs. in million)
Sr.
 AUDITED
Reviewed
No.
 YEAR ENDED 31ST MARCH
Half Year ended
2001
2002
2003
2004
2005
Sep-04
Sep-05
A.
Cash flow from operating activities:
Net Profit before taxes
4,498.04
7,874.01
11,605.00
15,329.11
8,631.17
7,385.61
5,680.86
Adjustments for:
Depreciation on fixed assets
761.45
930.61
869.09
734.36
818.77
426.57
394.15
Amortisation of lease assets
11.03
(17.91)
17.01
21.34
22.94
10.67
0.00
Amortisation of expenses of VRS
1,749.43
1,671.16
1,710.29
1,710.29
1,710.29
855.15
0.00
Depreciation on investments
583.75
(135.37)
11.52
(1,014.42)
8,098.14
1,119.69
2,849.56
(including on Matured debentures)
Bad debts written-off/Provision in
4,820.86
5,171.54
5,329.75
9,679.27
4,562.15
2,269.82
1,441.62
respect of non-performing assets
Provision for Standard Assets
91.61
96.45
120.00
3.23
75.64
0.96
141.88
Provision for Other items
370.49
85.95
100.00
855.70
1,652.03
687.95
118.89
Profit/(loss) on sale of fixed assets
1.27
(11.38)
(0.49)
1.14
0.20
0.82
0.16
Payment/provision for interest on
1,605.29
1,499.23
1,499.54
1,544.27
1,673.29
839.03
847.67
subordinated debt (treated separately)
Dividend received from Subsidiaries/
(14.06)
(50.83)
(63.62)
(114.70)
(189.65)
(187.38)
(110.97)
others (treated separately)
Sub total
14,479.16
17,113.46
21,198.09
28,749.61
27,054.98
13,408.89
11,363.82
Adjustments for:
(Increase)/Decrease in investments
(13,662.69)
(39,024.79) (63,282.97) (76,751.83)
(1,345.55) (21,997.25) (14,922.86)
(Increase)/Decrease in advances
(35,098.52)
(67,594.64) (22,180.75)
(6,012.60) (82,481.52) (20,299.23) (56,819.08)
(Increase)/Decrease in other assets
3760.34
(8,500.57)
3,981.99
(241.93)
(6,675.15)
1,095.72
9,727.76
Increase/(Decrease)in borrowings
5676.07
(1,589.63)
(673.22)
2,497.78
7657.25
2,581.12
9,786.13
Increase/(Decrease) in deposits
2,7100.63
77,340.26
45,619.02
65,259.23
83,661.41
56,665.87
48,382.49
Increase/(Decrease) in other liabilities
1180.12
(5,722.83)
2,972.18
1,200.39
(7,676.91)
(5,282.63)
764.03
and provisions
Payment towards VRS
(2,137.63)
0.00
0.00
0.00
0.00
0.00
0.00
Direct taxes paid (Net of Refund)
(2,403.16)
(2,130.00)
(4,447.70)
(8,430.45)
4,301.21
(1,906.22)
(1,723.70)
Net cash from operating activities (A)
(1,105.68) (30,108.75) (16,813.36)
6,270.20
24,495.71
24,266.27
6,558.59

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167
(Rs. in million)
Sr.
 AUDITED
Reviewed
No.
 YEAR ENDED 31ST MARCH
Half Year ended
2001
2002
2003
2004
2005
Sep-04
Sep-05
B.
Cash flow from investing activities:
Purchase of fixed assets
(1,301.60)
(1,548.40)
(935.47)
(1,838.89) (1,468.74)
(376.66)
(583.39)
Changes in Trade related investments
138.46
600.00
(190.92)
628.03
0.00
5.54
(1,086.55)
(Subsidiaries & others)
Dividend received from Subsidiaries/
14.06
50.83
63.62
114.70
189.65
187.38
110.97
others
Net cash from investing activities (B)
(1,149.09)
(2,097.56)
(1,062.78)
(1,096.17) (1,279.09)
(183.74)
(1,558.97)
C.
Cash flow from financing activities:
Share Capital
0.10
0.01
0.03
0.00
0.00
0.01
0.00
Share premium
0.78
0.11
0.24
1.83
0.02
0.05
0.00
Unsecured Redeemable bonds
4,758.67
0.00
0.00
14.11
0.12
0.00
0.00
Unsecured Subordinated Bonds
0.00
0.00
0.00
3,000.00
0.00
0.00
7,700.00
Dividend
(1,304.77)
(1,184.00)
(1,927.70)
(2,150.43) (1,669.56)
0.00
0.00
Interest paid / payable on unsecured
(1,605.29)
(1,499.23)
(1,499.54)
(1,544.27) (1,673.29)
(839.03)
(847.67)
redeemable bonds
Net cash from financing activities (C)
1,849.49
(2,683.12)
(3,426.97)
(676.93) (3,342.72)
(838.97)
6,852.33
Net increase in cash & cash
(405.27) (34,889.43) (21,303.10)
4497.10
19,873.91
23,243.56
11,851.95
equivalents (A)+(B)+(C)
Cash and cash equivalents - Opening
124,768.81 124,363.54
89,474.11
68,171.01
72,668.10
72,668.10
92,542.01
Cash and cash equivalents - Closing
124,363.54
89,474.11
68,171.01
72,668.10
92,542.01
95,911.66 104,393.96

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168
BANK OF BARODA
ANNEXURE – A-IV
SIGNIFICANT ACCOUNTING POLICIES AS AT 31
ST
 MARCH 2005.
1.
Accounting Conventions:
The financial statements are drawn up on a historical cost basis, unless otherwise stated, and conform to statutory
provisions and practices prevailing in India and the respective countries in which foreign branches are situated.
2.
Translation / Conversion of foreign currencies:
2.1.1 Financial statements of foreign branches are translated at mid-rate of exchange at the year -end. The
accumulated net difference, between Head Office figures and corresponding figures of foreign branches on
account of assigned capital, Head Office interest free funds and unremitted profit / loss, is carried over, if in
profit and written off to Profit & Loss Account, if in loss.
2.1.2 Foreign currency balances of Indian branches including outstanding forward exchange contracts, acceptances,
endorsements and other obligations including guarantees and interest income and interest expenses relating
thereto are converted at year end mid-rate of exchange as advised by FEDAI.
2.1.3 Other income and expenditure transactions of Indian branches are accounted for at exchange rates as ruling
on the date of transaction.
3.
Investments:
3.1
The Investment portfolio of the bank is classified, in accordance with the Reserve Bank of India guidelines,
into:
a.
“Held to Maturity” comprising investments acquired with the intention to hold them till maturity.
b.
“Held for Trading” comprising investments acquired with the intention to trade.
c.
“Available for Sale” comprising investments not covered by (a) and (b) above i.e. those which are
acquired neither for trading purposes nor for being held till maturity.
3.2
Investments classified as “Held to Maturity” are carried at weighted average acquisition cost unless it is more
than the face value, in which case the premium is amortised over the period remaining to maturity.
Investments classified as “Held to Maturity” includes debentures / bonds which are deemed to be in the
nature of / treated as advances, for which provision is made by applying the Reserve Bank of India prudential
norms of assets classification and provisioning applicable to advances, and investments in Regional Rural
Banks, Treasury Bills, Commercial Papers, Indira Vikas Patras, Kisan Vikas Patras and Certificates of Deposit
which has been valued at carrying cost.
3.3
Profit / Loss on sale of investments classified as “Held to Maturity” is recognised in the Profit & Loss Account
based on the weighted average cost / book value of the related investments and an amount equivalent of the
profit on sale of investments in “Held to Maturity” classification is appropriated to Capital Reserve Account.
3.4
Investments classified as ”Held for Trading” are marked to market scrip-wise and the resultant depreciation is
recognised in the Profit and Loss Account while the appreciation, if any, is ignored.
3.5
Investments classified as “Available for Sale” are marked to market scrip-wise and the resultant net depreciation,
if any, in each category disclosed in the Balance Sheet is provided, while net appreciation, if any, is ignored.
3.6
In respect of non-performing securities, income is not recognised and provision is made for depreciation in
the value of such securities as per Reserve Bank of India guidelines.
3.7
Cost of acquisition of investments is net of incentives, front-end fees, commission, brokerage and stamp duty.
3.8
For the purpose of valuation of quoted investments in ”Held for Trading” and “Available for Sale” categories,
the market rates / quotes on the Stock exchanges, the rates declared by Primary Dealers Association of India
(PDAI) / Fixed Income Money Market and Derivatives Association (FIMMDA) are used.

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169
Investments for which such rates / quotes are not available, are valued as per norms laid down by Reserve
Bank of India, which are as under: -
a)
Government / Approved securities - on Yield to Maturity basis.
b)
Equity Shares, PSU and Trustee shares - at book value as per the latest balance sheet (not more than
12 months old), otherwise Re.1 per company.
c)
Preference Shares - on Yield to Maturity basis.
d)
PSU Bonds - on Yield to Maturity basis with appropriate credit spread mark - up.
e)
Units of Mutual Funds - at the latest repurchase price / NAV declared by the Fund in respect of each
scheme.
3.9
Investments are net of securities lent and include securities borrowed under repo arrangements.
3.10 In respect of Investments at Overseas Branches, Reserve Bank of India guidelines or those of the host
countries, whichever are more stringent are followed. In case of those branches situated in countries where
no guidelines are specified, the guidelines of the Reserve Bank of India are followed.