PERIOD OF CLASSIFICATION OF NPA A/Cs

SMA SUB CATEGORY	BASIS FOR CLASSIFICATION
SMA 0	Principal or interest payment not overdue for more than 30 days but account showing
SMA 1	signs of incipient stress.
	Principal or interest payment overdue between 31 – 60 days.
SMA 2	Principal or interest payment overdue between 61 – 90 days.

PERIOD OF CLASSIFICATION OF NPA A/Cs

Classification	Period
Standard — Regular	Any period
Standard — Irregular or out of order or overdue	90 days
SMA-0 for first 30 days SMA-1 for 31 — 60 days
SMA-2 for 61 — 90 days
Sub-Standard	12 months
Doubtful- up to one year	12 months
Doubtful — above one year but up to 3 years	24 months
Doubtful — above three years	Uncertain
Loss	Uncertain

Further the banks are required to make provisions on these loans on the basis of asset classification.

SUMMARY OF PROVISIONS %AGES

Standard — General accounts		0.40%
Farm Credit in Agriculture and Micro & Small Enterprises		0.25%
Commercial real estate — Residential housing		0.75%
Commercial Real Estate		1.00%
Teaser Home Loans (provision will be 0.4% after one year of increase in		2.00%
Restructured accounts		5.00%
Sub-standard Secured		15%
Sub-standard Unsecured		25%
Sub-standard unsecured (infrastructure accounts)		20%
Doubtful — up to 12 months		25%
Doubtful — > 12 months but up to 3 years		40%
Doubtful — > 3 years (secured/unsecured):		100%
Loss account		100%
Provisioning coverage ratio to be calculated w.r.t. gross NPAs as on Sept		70%
2010 (ratio of	Excess amount (over and above account-wise
provisions / gross NPAs).