ICBC @ INDUSTRIAL ANO COMMERCIAL BANK OF CHINA LIMITED KARACHI BRANCH

Ms. Lubna Farooq Malik Din.:ctor - Banking Surveillance Department State Bank of Pakistan 11 ( hun

Industrial and Commercial Bank of China Limited - Pakistan Branches Condensed Interim Statement of Financial Position 1s at Septemher 30, 2015

ASSETS

Cash and balances with treasury banks Balances with other banks Lending~ to financial institutions Investments - ncl Advances - net Operating fixed assets Other assets

LIABILITIES

Bills payable Borrowmgs from financial institutions Deposits and other accounts C)ub-ordinated loans Liabilities against assets subject to finance lease Deferred tax liabilities Other liabilities

NET A'-,~fTS

REPRE~ENTED BY:

Head office capi!al account Reserves Unappropriated profit

Deficit on revaluation of investments - nel of ta>.

CONTINGENCIES AND COMMITMENTS

September 30, 2015

December 3 I, 201..t

(Un-audited) (Audited) Note (Rupees in '000)

6 7 8

9

10 II

12

lJ

15

16

.-,985.120 593.478 789,619

I 00,878,405 6,559,551

678,.361 1,163, 164

115,647,698

158,904 77,59-',685 28,068,642

--

11,061 3,625,019

I09,458,JI I

6,189,.387

3,772,663

2,405,.302 6,177,965

I t,422 6,189,.387

4.329,697 295.142

1,129.730 63,074,604 6,087,050

183.341 850,823

75.950.387

4,667 56,592,615 9.500.726

--

21.132 5,323,681

71,442,821

4,507.566

3.627.239

844,926 4.472.165

35,40 I 4,507.566

The annexed notes I to 23 fonn an integral pan of the condensed interim financial infonnation •

. ~ 4 Lynn Ye Niog Head of Finance

Industrial and Commercial Bank of China Limited - Pakistan Branches Condensed Interim Profit and Loss Account (Un-audited) For the Vim: Hcmrhs ended September 30, 2015

Mark-up I return I interest earned Mark-up I return I interest e:--pcnscd Net mark-up I return I interest income

PrO\ ision against non-pcrfonning loans ond advances - net Provision for diminution in the value ofinvestments - net Bad dcbLS written off direct()

Net Mark-up I interest income a11er pro\'isions

!'t O~ MARK-UP I INTEREST INCOME !'cc. commission und brokerage income Uividcnd income l.oss from dealing in foreign currencies Guin I (loss) on sale of securities Other income Total non-mark-up I interest income

NON MARK-UP / I NTEREST EXPENSES Administrative expenses Other pro' isions I " rite-oil's Other charges fotal non-mark-up I interest expenses

I xtro ordinary I unusual items PROFIT BEFORE TAXATION

I axalion - Current - Prior - Deferred

PROFIT AFTER TAXATION

Quarter Nine Months Quarter Nine Months ended ended ended ended

September JO, September JO. September .JO.

Industrial and Commercial Bank of China Limited - Pakistan Branches Condensed Interim Statement of Comprehensive Income (Un-audited) For the Nine Months ended September 30, 2015

Quarter Nine months Quarter Nine months ended ended ended cm.led

September September September 30. September 30, 30,2015 30,2015 2014 2014

(Rupees in '000) --

Profit after taxation for the period 760,194 1,560.376 225.795 679.398

Other comprehensive income

Items that will not be reclassified subsequently to profit and loss account

Exchange adjustment on revaluation of capital 98,655 145.424 138.238 (97.121)

Total comprehensive income 858,849 1,705,800 364,033 582.277

Components of comprehensive income not reflected with Head Office account

urpl us on revaluation of investments - net {211790} {231979} (2,039} 27,622

The annexed notes I to 23 form an integral part of the condensed interim financial in formation.

Lynn Ye Ning Officer Head of Finance

Industrial and Commercial Bank of China Limited - Pakistan Branches Condensed Interim Cash Flow Statement (Un-audited) For the Nine Months ended September 30, 2015

Cash nows from operating activities Profit before taxation

Adjustments for: Depreciation

(Increase) I decrease in operating assets Lendings Lo financial mst1tulions Advances Others assets

(Decrease) increase in operating liabilities Bills pa}able Borrowings Deposits and other accounts Other liabililies.

Income tax paid Net cashflowfrom operatmg activities

Cash nows from investing activities Investment in operating fixed assets Proceeds from maturity of I (net investment m)

available for sale securities Net cashjlowfrom investing activities

Cash flows from financing activities Remittance received from head office Vet cash flow from financing activities

Exchange adjustment on revaluation of capital Increase I (decrease) in cash and cash equivalents

Cash and cash equivalents at beginning of the period Cash and cash equivalents at end of the period

Note

18

Nine months Nine months ended ended

September JO, September 30. 2015 2014

(Rupees in '000)

2,517.360 1,042,116

662019 61,805 2,583,379 1,103,921

317,376 (472,501) ( 1.310.307) 312 41 308,132

(784.842) (684.799)

154,237 1.032,997 20,922,464 6,845,971 18,567,916 (5 , 166.660) ( 1,698,662) 511,862 37,945,955 3,224.170 39,744,492 3,643,292

~96720.55l p25,318) 38,777,437 3,417.974

(561,039) (9.367)

(37,827,780) (638.994) (38,388,819) (648,361)

1452424 ~97,121 l 534,042 2.672.492

3,543,941 2,979,827 41077,983 5,652,319

The annexed notes I to 23 fonn an integral part of the condensed mterim financial information.

Lynn Ye Ning Head of Finance

Industrial and Commercial Bank of China Limited - Pakistan Branches Condensed Interim Statement of Changes in Equity (Un-audited) For the Nine Months ended September JO 2015

Balance as at January 0 I. 2014

Total comprehensive income for the nine months ended September 30, 2014

Profit for the Nine months ended September 30, 20 14

Exchange adjustment on revaluation of capital

Balance as at September 30, 2014

Total comprehensive income for three months ended December 31 , 2014

Profit for three months ended December 31, 20 14

Exchange adjustment on revaluation of capital

Balance as at December 31. 20 14

Total comprehensive income for the nine months ended September 30, 2015

Profit for the nme months ended September 30, 20 15

£.\change adjustment on revaluation of capital

Balance as at September 30, 2015

Unappropriated Profit I

Head office Accumulated Total capital account (losses)

Note ---------(Rupees in '000) ------

3,802.007 (70.240) 3,731.767

679,398 679.398

(97.121) (97.121)

3,704.886 609.158 4,3 l·t044

235.768 235,768

(77,647) (77,647)

3.627.239 844,926 4.472.165

1,560,376 1,560,376

145.424 145.424

3.772,663 2,405,302 6,177,965

fhe annexed notes I to 23 form an integral part of the condensed interim financial information.

Lynn Ye Ning Head of Finance

Industrial and Commercial Bank of China Limited - Pakistan Branches Notes to the Condl!nscd Interim Financial Information (Un-audited) /·or th,· \'m.: \/11111/Js e11d.:c/St'f'le111ha JO. 2fl/5

I. STATllS AND l'ATllRI:!: OF DUSl'\ESS

Ilic PakiMan brnnches orlnJustrial anJ Commercial Bani\ of China LimitcJ ("the l'iranches") ha\c commcm:cJ their upcrutions in Paki:itun with effect from August 18, 2011. lnuustrial and Commercial Bani\ of China LimitcJ is incorporated in the People's Republic of China.

ll1c Bank present Ir operates through three hrunchc-. tDcceml'icr 31. 2014: three bmnchcsl in P.1kistan unu is cngagcJ in ha11king acti' ities permissible under the Hanlo..mg C11mpanic:. Ordinance. I %2. I he rcgistercd office or thc B

3.2 Ilic !'BP l1as ddi:m:d the applicabilit) of International ~ccounling Stand.1rd Cl \Sl 39. "Financial Instruments. Recognition Lmd Measurement" and lntermllional ,\ccl>untinc -..wndarJ (11\SJ 40, "lme~tmcnl Pnipcrt)" for hanking Cl>mpanies through B">D Cin:ular l.eltl·r "'lll1 IO dated , \ugust 26. 2002 till further instrucl1ons. Further. the '>l { P ha~ deterred the applicabilit) ol International Financial R1.:porting Standard (IJ RS) 7. "1-inancial lnslrumen1s: Disc.:losure" on bunks through its notification ~-R.O .t 11( i ). 2008 tho~ opplil.'tl ll> the llllnual lin~ncial

slutemcnb uf the hrnnches for the ) car coded December ~ I. 2014.

"lhc linanck1I risk management objccti\es and politic~ arc

7. I These Market Treasury Bills will mature upto March ~O 16(December2014: upto May 2015) and carry ~ ield ranging from 6 4°'o to 8.2°0 per annum (December 20 14 from 9 39°0 to 10 02% per annum).

8. AOV Al\ CFS - "lFT

Loans. cash crcdtts. running finances, etc. In Pakistan

Uills discounted and purchased (e:-..cluding market treasury bills)

Payable in Pakistan

Sept em her 30. December 31. 2015 201~

(Un-audited) (Audited) (Rupees in '000)

....... 58,..i35 J.9•18.633

2, J0l , l16 :!. 138.417 6,559,551 6,087,050

8.1 No advances have been placed u11der non-pcrfonning status (Dt.:ccmbcr JI. 201-1 : Nil).

9.

1(1.

OPERATLNG FIXED ASSETS

Additions during the period

t here were no disposal of operating lhed assets during the period .

BORROWI NGS FROM FINANCIAL INSTITUTIONS

In Pal..1stan Outside Pal..istan

I 0.1 Particulars of borrowings \\-ilh respect to currencies

In loca l cu rrcnc} In foreign currcnc~

I 0.2 Details of borrowing!>

Secured Repurchase .1greemcnt borrowings ( Rcpo)

Un,ecured Call borro\\ ings

Nme month'> ended Sc1Hcmbcr 30, "icptembcr 30,

2015 201-l (Rupees in '000)

=======56=1=,0=3=9= 9367

September 30, 2015

December 31, 2014

(Un-audited) (Audncd) (Rupees in '000)

200,000 77,394,685 77,59..i,685

200,000 77 ,394,685 77,594,685

77.59..i,685 77.594,685

I, 111.677 55.480.938 56.592.615

1.111.677 55.480.938 56.592.615

1, 111.677

55.480.938 56,52.615

10.3 These represent borrowings from linanciu l institutions and other ICBC branches al mnrk-up rates rangini.: from O 25% to 6.5% per annum (December 3 l. 2014: 0.08°0 to 9. "i

15. Sl/llPLlJS ON RFVALUATrON OF INVESTMENTS - NET OF TAX

Surplus on revaluation of Government securities Related deferred tux liability

16. CONTINGENCIES AND COMMITMENTS

16.1 Transaction related contingent liabilities

Government Others

16.2 Trade rclalcd conlingent liabilities

l.cuers or credit Acceptance

16.3 Commitments in respect of fonrnrd C\Chan~e contracts

Purchase Sale

I 6A Commicment., in rc.,pect of repo transactions

Repurchase Resale

16.5 Commitments to e\Cend credit - syndicated loan

17. LOSS FROM DEALING IN FOREIGN CURRENCIES

September 30, 2015

Decemher 3 I. 2014

(l.n-auditcd) (Audited) (llupccs in '000)

17.573 (6,151) 11 ,.a22

28.558.271 50,59.a,157 79.152,428

3,006,552

176.901,056 177,.aJ I, 189

54,463 (19.062) 35.401

:n.622.127 J.552.156 62,174.283

315.081 2.275,517

150.138.785 153.051.919

1.111.677

319.444

This represents e:\change ddkrenccs on currency swaps \\ith the financial institutions. fomard comracts, foreign currenc) transactions and balances.

18. CASH AND CASH EQUIVALENT~

Cash and balances\\ 1th treasury banb Oalonce with other banks Shon tcm1 lending Shon tern1 borrO\\ ing

September 30, Oeccmbl.!r 31 2015 2014

(Un-audited) (Audited) (Rupee

tltc F10a111:c Act, :!Ol:S has inlfoJuccJ certain amcnJ111cnL~ rch11111g tn Ul\armo nl'b;mk1ni: cnmpantt!S As f'

Pt•f'ortnt•I -- ~Hupt'l"I in '0001--------

~111rmll4:r JO. 2015 ( l n·autlitcd)

22.116.t

525.28.1 7119.61'>

Ji,62-l.212

67,l!ll

.l9.i70,-17J

~int' month\ cndtd '-rptcmber JU, 2015 (l n-11u1htcd)

70J,JH6

RC}

Man;1ge111.·111 l'ersonncl

68,670 l9J . .127

Other ICBC bllir1'hcs

289 207.117.5

fiend lJllicc

5•1J,111)1 7k'J,(tl9

22.11(,.j 7iJ'l.l,685

(111,959

l,207,.j76

----·------·(Rupees m '0001------·----

1.872

De.:cmbcr 31, .2014 (,\uJ1ttd)

IS,067

1,128

48,4l:'i 1.129,7:10

25.l:?0.77S ~O~it>0, 163 1,3%}11(>

Nmc month~ ended St'ptembcr JO, 2014 l Un-nudneJl

123 221 '197

62.010 11·1.3711

2')(,

10N,161

21>4 7t.2 l,l.:!9,7.10

18,067 55,,IR0,9lR

l;IUl.O·l-I

b2,·l2'J ~-111,408

21. 'lG\IF;;\ I' m :T \fl .' \\1111 Rf"SPUT TO Bl W\l:ss \( 11\' l I u'

l'ot:il income ln1cr s..-gmcnt re,enuc

l'nlill exrcn~cs Net m•om0r•I" f 'iuncr

I nulins: & Siles 01bc:I"\ local

(Ru11t·t, 111 'llllO) • . ------____ __:.:-.;~·i"'11e=-1110111h~ enckrl 1'.c111c111hcr JO, 201!'i

370,997 J,012.916 J,3113.913

--1!.!H,8-'61 _ _..(:.11,::::611::.:l'-",6,,,H,,,ll,._) (

Corporate ln1dmg& Finance Snlcs 01hers rota I

(Rupees m '000) Nine months ended September 30. :?014

1'11UJI '"'omc Inter segment revenue I oul c.xpenS