Auditors Report 2011

Financials -2011
FINANCIALS -2011
(Auditors Report to the Shareholders)
Premier Bank Limited

Annual Report 2011
103
Howlader Yunus & Co.

Chartered Accountants
AUDITORS REPORT
TO THE SHAREHOLDERS OF THE PREMIER BANK LIMITED
Introduction
We have audited the accompanying Consolidated Financial Statements of The Premier Bank Limited (the
bank) which comprise Consolidated Balance Sheet as at December 31, 2011 and the consolidated Profit and
Loss account, Statement of Changes in Equity and Cash Flows Statement for the year then ended, and also
the Financial Statements of The Premier Bank Limited (the bank), which comprise the Balance Sheet as at
December 31, 2011 and the Profit and Loss account, Statement of Changes in Equity and Cash Flows
Statement for the year then ended, and a summary of significant accounting policies and other explanatory
notes.
The financial statements of the Bank for the year ended December 31, 2010 were audited by Hoda Vasi
Chowdhury & Co, Chartered Accountants who issued an unqualified opinion on March 01, 2011.
Managements responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these Consolidated Financial
Statements in accordance with Bangladesh Financial Reporting Standards (BFRSs), Bank Companies Act
1991, the rules and regulations issued by the Bangladesh Bank, the Companies Act 1994, the Securities and
Exchanges Rules 1987 and other applicable laws and regulations. This responsibility includes: designing,
implementing and maintaining internal control relevant to the preparation and fair presentation of Financial
Statements that are free from material misstatement, whether due to fraud or error; selecting and applying
appropriate accounting policies; and making accounting estimates that are reasonable in the circumstances.
Auditors responsibility
Our responsibility is to express an opinion on these Consolidated Financial Statements based on our audit.
We conducted our audit in accordance with Bangladesh Standards on Auditing (BSAs). Those standards
require that we comply with relevant ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the Consolidated Financial Statements are free from material
misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the
Consolidated Financial Statements. The procedures selected depend on the auditors judgment, including the
assessment of the risk of material misstatement of the Consolidated Financial Statements, whether due to
fraud or error. In making those risk assessments, we consider internal control relevant to the entitys
preparation and fair presentation of the Consolidated Financial Statements in order to design audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the entitys internal control. An audit also includes evaluating the appropriateness of
accounting policies used and the reasonableness of accounting estimates made by management, as well as
evaluating the overall presentation of the Consolidated Financial Statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our
audit opinion.
Opinion
In our opinion, the Consolidated Financial Statements referred prepared in accordance with Bangladesh
Accounting Standards (BASs) and Bangladesh Financial Reporting Standards (BFRSs) give a true and fair view
of the Consolidated Financial Position of The Premier Bank Limited as at December 31, 2011 and of the
results of its Financial Performance and its Cash Flows for the year then ended and comply with the Bank
Company Act 1991, the rules and regulations issued by the Bangladesh Bank, the Companies Act 1994, the
Securities and Exchange Rules 1987 and other applicable laws and regulations.
104

Annual Report 2011
We also report that:
i.
we have obtained all the information and explanations which to the best of our knowledge and belief
were necessary for the purposes of our audit and made due verification thereof;
ii.
in our opinion, proper books of account as required by law have been kept by the Bank so far as it
appeared from our examination of those books and proper returns adequate for the purposes of our
audit have been received from branches not visited by us;
iii.
the Banks Balance Sheet and Profit and Loss Account dealt with by the report are in agreement with
the books of account and returns;
iv.
the expenditure incurred was for the purposes of the Banks operations;
v.
the Financial Position of the Bank as at December 31, 2011 and the profit for the year then ended
have been properly reflected in the Financial Statements; the Financial Statements have been
prepared in accordance with the generally accepted accounting principles;
vi.
the Financial Statements have been drawn up in conformity with the Bank Companies Act. 1991 and
in accordance with the accounting rules and regulations issued by the Bangladesh Bank;
vii.
adequate provisions have been made for advances which are, in our opinion, doubtful of recovery;
ix.
the Financial Statements conform to the prescribed standards set in the accounting regulations issued
by the Bangladesh Bank after consultation with the professional accounting bodies of Bangladesh;
x.
guideline of Core Risk Management issued by the Bangladesh Bank vide BRPD Circular # 17 dated
07 October 2003 were complied;
xi.
the information and explanations required by us have been received and found satisfactory;
xii.
capital adequacy ratio (CAR) as required by law has been maintained adequately during the year;
AUDITORS REPORT
viii. the records and statements submitted by the branches have been properly maintained and
consolidated in the Financial Statements;
xiii. during the course of our audit we did not come across any matter which was to be brought to the
notice of the shareholders of the Bank; and
xiv. we have reviewed over 80% of the risk weighted assets of the Bank and we have spent around 5,000
person hours for the audit of the books and accounts of the Bank.
Dated: Dhaka
18 March 2012

Annual Report 2011
105
The Premier Bank Limited

Consolidated Balance Sheet as at 31st December 2011
Amount in Taka
PROPERTY AND ASSETS
Notes
At
2011
At
2010
Cash
In hand (including foreign currencies)
Balance with Bangladesh Bank and its agent bank(s)
(including foreign currencies)
3(a)
3.1(a)
3.2
5,145,249,299
627,653,018
4,517,596,281
3,706,403,939
489,589,724
3,216,814,215
Balance with other banks and financial institutions

In Bangladesh
Outside Bangladesh
Money at call on short notice
4(a)
4.3(a)
5
4,039,677,429
3,062,932,497
976,744,932
-
3,358,902,674
2,442,217,030
916,685,644
2,140,000,000
Investments
Government securities
Others
6(a)
6.1
6.2(a)
11,968,606,315
9,239,800,455
2,728,805,860
10,195,000,425
7,289,197,004
2,905,803,421
Loans, advances, and lease/ investments

Loans, cash credits, overdrafts, etc
Bills purchased and discounted
7(a)
7.2(a)
7.9
49,774,914,327
45,918,954,532
3,855,959,795
46,400,574,078
40,376,712,865
6,023,861,213
Fixed assets including premises, furniture and fixtures
8(a)
1,220,865,202
652,524,875
Other assets
Non-banking assets
9(a)
2,801,794,355
-
1,786,941,660
-
74,951,106,927
68,240,347,651
2,679,204,094
2,388,876,025
Total Assets
LIABILITIES AND CAPITAL
Liabilities
Borrowings from other banks, financial institutions and agents 10
Deposits and other accounts
Savings bank/ Mudaraba Saving deposits
Fixed deposits/Mudaraba term deposits
Current deposits and other accounts
Bills payable
11(a)
60,692,971,535
2,930,981,267
42,859,724,463
14,093,517,649
808,748,156
54,691,466,383
3,023,987,904
38,384,242,957
12,214,133,147
1,069,102,375
Other liabilities
12(a)
4,905,525,299
4,882,889,511
68,277,700,928
61,963,231,919
3,818,611,102
11,161
1,800,273,471
186,054,760
868,455,505
6,673,405,999
74,951,106,927
2,914,970,312
1,651,254,947
300,673,331
1,410,217,142
6,277,115,732
68,240,347,651
Total Liabilities
Capital/ Shareholders' Equity
Paid-up capital
Minority interest
Statutory reserve
Other reserve
Retained earnings
Total Shareholders' Equity
Total Liabilities and Shareholders' Equity
106

Annual Report 2011
13
14
15
16(a)

Consolidated Balance Sheet as at 31st December 2011
Amount in Taka
Notes
2011
2010
Contingent Liabilities
Acceptances and endorsements
Letters of guarantee
Irrevocable letters of credit
Bills for collection
Other contingent liabilities
17.1
17.2
Other commitments
18
Documentary credits and short term trade-related transactions
Forward assets purchase and forward deposits placement
Spot and forward foreign exchange contracts
Undrawn note issuance and revolving underwriting facilities
Undrawn formal standby facilities, credit lines and other commitments
Total Off-Balance Sheet Items
24,164,426,127
11,140,822,664
5,280,229,073
7,380,058,009
363,316,381
-
24,737,580,086
7,468,823,338
5,580,545,427
10,780,189,873
372,539,448
535,482,000
4,049,255,000
4,049,255,000
-
1,206,630,900
1,206,630,900
-
28,213,681,127
25,944,210,986
FINANCIALS -2011
Off-Balance Sheet Items
These Financial Statement should be read in conjunction with the annexed notes.
Chairman
Director
Director
Director
Managing Director
See annexed auditors' report to the shareholders of date
Dated : Dhaka
18 March 2012

Annual Report 2011
107


Consolidated Profit and Loss Statement for the year ended 31st December 2011
Amount in Taka
2011
Notes
2010
OPERATING INCOME
Interest income/profit on islamic investments
Interest/profit paid on deposits, borrowings,etc
Net interest income/ net profit on investments
20(a)
21(a)
7,417,020,486
(5,679,272,997)
1,737,747,489
4,979,096,308
(3,474,331,176)
1,504,765,132
Investment income
Commission, exchange and brokerage
Other operating income
22
23(a)
24(a)
881,538,702
898,353,374
806,766,248
2,586,658,324
4,324,405,813
1,826,345,437
709,515,239
735,825,602
3,271,686,278
4,776,451,410
25(a)
26(a)
27(a)
28(a)
29(a)
30
31
698,760,808
617,958,429
10,539,988
31,210,900
200,655,384
3,921,830
3,125,000
251,950
868,471,588
695,860,111
110,595,491
265,754,898
3,507,106,377
817,299,436
607,236,741
469,981,685
2,082,979
28,545,969
213,779,228
5,787,095
2,810,000
244,144
256,238,731
83,865,235
245,895,336
1,916,467,143
2,859,984,267
24,855,873
(52,591,882)
(1,575,472)
(29,311,481)
846,610,917
261,600,000
81,396,416
2,500,000
(13,330,410)
332,166,006
2,527,818,261
333,306,709
2,405,370
335,712,079
510,898,838
1,410,217,142
1,921,115,980
753,800,498
1,999,600
755,800,098
1,772,018,163
813,546,932
2,585,565,095
149,018,524
903,640,790
1,161
1,052,660,475
868,455,505
1.34
502,662,553
672,685,400
1,175,347,953
1,410,217,142
6.08
Total Operating Income (A)

OPERATING EXPENSES
Salary and allowances
Rent, taxes, insurance, electricity, etc
Legal expenses
Postage, stamps, telecommunication, etc
Stationery,printing, advertisement, etc
Chief executive's salary and fees
Directors' fees
Auditors' fee
Charges on loan losses (Annexure-E)
Charges on losses for portfolio
Depreciation and repair of Bank's assets
Other expenses
Total Operating Expenses (B)
Profit before provision (C = A-B)
32(a)
33(a)
Provision for loans and advances

Provision for off-balance sheet items
Provision for investment in shares
Other provisions
Total provision (D)
Profit before taxation (C-D)
Provision for taxation
Current tax
Deferred tax
34
12.3
12.4.4
12.4.2,3
12.5(aa)
Profit after taxation

Retained earnings brought forward
Profit available for appropriation
Appropriations
Statutory reserve
Issue of bonus shares
Minority interest
14
16
Retained earnings carried forward

Earnings per share (EPS)
35(a)
Chairman
Director
Director
Director
Managing Director

Dated : Dhaka
18 March 2012
108

Annual Report 2011


Consolidated Cost Flow Statement for the year ended 31st December 2011
Cash Flows from Operating Activities

Interest received in cash
Interest paid
Fee and commission received in cash
Payments to employees
Payments to suppliers
Income taxes paid
Receipts from other operating activities
Payments for other operating activities
Cash generated from operating activities before changes
in operating assets and liabilities
21(a)
12.5
24(a)
Increase/decrease in operating assets and liabilities

Loans and advances to customers
Other assets
Deposits from other banks
Deposits from customers
Other liabilities
Net cash from operating activities (A)
Cash Flows from Investing Activities
Purchase/sale of trading securities, shares, bonds, etc
Purchase of property, plant and equipment
Net cash used in investing activities (B)
Cash Flows from Financing Activities
Dividend paid
Issue of shares
Net cash from financing activities (C)
Net increase in cash (A+B+C)
Effects of exchange rate changes on cash and cash equivalents 23
Cash and cash equivalents at beginning of the year
Cash and cash equivalents at end of the year (*)
(*) Cash and cash equivalents at the end of the year:
Cash in hand (including foreign curriencies)
3.1(a)
Investments in government securities
5
Balance with Bangladesh Bank and its agent bank(s) 3.2
4(a)
Net operating cash flow per share (NOCFPS)
35.1(a) 35.1
2010
8,298,559,188
(5,679,272,997)
409,113,936
(682,682,638)
(227,904,351)
(806,562,316)
806,766,248
(943,780,835)
6,805,441,744
(3,474,331,176)
373,167,379
(563,023,836)
(232,571,910)
(559,169,124)
735,825,602
(1,011,276,404)
1,174,236,235
2,074,062,275
(4,242,811,837)
(1,014,852,695)
290,328,069
6,001,505,152
517,737,178
1,551,905,867
2,726,142,102
(12,735,986,813)
(426,669,802)
1,171,544,477
16,595,846,607
917,329,728
5,522,064,197
7,596,126,472
(518,852,550)
(609,763,962)
(1,128,616,512)
(2,265,441,959)
(188,047,414)
(2,453,489,373)
1,597,525,590
489,239,437
16,193,830,285
18,280,595,312
5,142,637,099
336,347,860
10,714,845,326
16,193,830,285
627,653,018
9,095,668,584
4,517,596,281
4,039,677,429
18,280,595,312
3.08
489,589,724
6,988,523,673
2,140,000,000
3,216,814,215
3,358,902,674
16,193,830,285
7.12
FINANCIALS -2011
Amount in Taka
2011
Notes
Chairman
Director
Director
Director
Managing Director
Dated : Dhaka
18 March 2012

Annual Report 2011
109
110

Annual Report 2011
Chairman
1,651,254,947
1,800,273,471
149,018,524
300,673,331
186,054,760
(156,541,460)
41,922,889
300,673,331
300,673,331
Other
reserve
Director
Director
Director
11,161
10,000
1,161
Minority
interest
Total
Amount in Taka
6,277,115,732
6,673,405,999
10,000
510,898,838
(156,541,460)
41,922,889
6,277,115,732
6,277,115,732
Managing Director
1,410,217,142
868,455,505
(903,640,790)
(149,018,524)
510,897,677
1,410,217,142
1,410,217,142
Retained
earnings
2,914,970,312
Balance at 31 December 2010
3,818,611,102
Minority interest
903,640,790
Issue of bonus shares for 2010
Transfer to general and other reserve
Payment of cash dividend
Net profit for the year
Transfer to statutory reserve
Net gains and losses not recognised in the profit and Loss Statement
Surplus/deficit on account of revaluation of investments
1,651,254,947
1,651,254,947
Statutory
reserve
Currency translation differences
2,914,970,312
2,914,970,312
Paid-up
capital
Surplus/deficit on account of revaluation of properties
Restated balance
Effects of changes in accounting policy
Balance at 01 January 2011
Particulars
Consolidated Statement of Changes in Equity for the year ended 31st December 2011


Annual Report 2011
111
Chairman
Director
3-12 months
maturity
831,052,334
428,806,924
10,517,327,507 23,458,214,019
2,550,000,000
10,474,005,363 20,760,612,116
43,322,144
147,601,903
200,000,000 2,650,000,000
749,990,000
10,916,800,000 20,012,100,000
231,579,841
474,930,943
11,348,379,841 23,887,020,943
1-3 months
maturity
1,870,946,097
10,585,174,953
129,204,094
6,395,148,892
4,060,821,967
9,087,485,196
2,107,428,545
4,037,166
1,257,170,143
12,456,121,050
1-5 months
maturity
FINANCIALS -2011
Director
Director
926,187,198
20,601,769,859
Total Liabilities (B)
Net Liquidity Excess/(Shortage) (C=A-B)
20,466,600,574
135,169,285
627,653,018
5,707,273,710
2,131,131,119
12,223,785,782
838,113,428
21,527,957,057
Up to 1 months
maturity
Borrowings from Bangladesh Bank,

other banks,financial institutions and agents
Provision and other liabilities
Cash
Investments
Loans and advances
Other assets
Non-banking assets
Total Assets (A)
Liabilities
Assets
Particulars
Consolidated Statement of Liquidity Analysis ( Maturity of Assets and Liabilities) at 31st December 2011

Total
6,673,405,999
Managing Director
2,616,413,446
3,115,214,590 68,277,700,928
2,679,204,094
2,596,604,590 60,692,971,535
518,610,000 4,905,525,299
627,653,018
8,557,273,710
- 11,968,606,315
4,514,800,000 49,774,914,327
1,216,828,036 1,220,865,202
2,801,794,355
5,731,628,036 74,951,106,927
More than 5 years

maturity
Amount in Taka



Balance Sheet as at 31st December 2011
2011
Notes
Amount in Taka
2010
PROPERTY AND ASSETS

Cash
3
3.1
3.2
5,145,095,242
627,498,961
4,517,596,281
3,706,403,939
489,589,724
3,216,814,215

In Bangladesh
Outside Bangladesh
4
4.2
4.3
5
3,885,679,875
2,913,035,543
972,644,332
-
3,358,902,674
2,442,217,030
916,685,644
2,140,000,000
Investments
Others
6
6.1
6.2
11,638,596,315
9,239,800,455
2,398,795,860
10,195,000,425
7,289,197,004
2,905,803,421
Loans, advances, and lease/ investments

Loans, cash credits, overdrafts, etc
7
7.2
7.9
50,101,109,748
46,245,149,953
3,855,959,795
46,400,574,078
40,376,712,865
6,023,861,213
1,216,308,396
652,524,875
Other assets
Non-banking assets
2,793,711,428
-
1,786,941,660
-
74,780,501,004
68,240,347,651
10
2,679,204,094
2,388,876,025

Savings bank/ Mudaraba Saving deposits
Fixed deposits/Mudaraba term deposits
Current deposits and other accounts
Bills payable
11
60,628,337,429
2,930,981,267
42,859,724,463
14,028,883,543
808,748,156
54,691,466,383
3,023,987,904
38,384,242,957
12,214,133,147
1,069,102,375
Other liabilities
12
4,849,273,597
4,882,889,511
68,156,815,120
61,963,231,919
3,818,611,102
1,800,273,471
186,054,760
818,746,551
6,623,685,884
74,780,501,004
2,914,970,312
1,651,254,947
300,673,331
1,410,217,142
6,277,115,732
68,240,347,651
Total Assets
Liabilities
Borrowings from other banks, financial institutions and agents
Total Liabilities
Capital/ Shareholders' Equity
Paid-up capital
Statutory reserve
Other reserve
Retained earnings
Total Shareholders' Equity
Total Liabilities and Shareholders' Equity
112

Annual Report 2011
13
14
15
16


2011
Notes
Amount in Taka
2010
17.2
24,164,426,127
11,140,822,664
5,280,229,073
7,380,058,009
363,316,381
-
24,737,580,086
7,468,823,338
5,580,545,427
10,780,189,873
372,539,448
535,482,000
Other commitments
18
Undrawn formal standby facilities, credit lines and other commitments
4,049,255,000
4,049,255,000
-
1,206,630,900
1,206,630,900
-
28,213,681,127
25,944,210,986
17.1
FINANCIALS -2011
Off-Balance Sheet Items
Chairman
Director
Director
Director
Managing Director
Dated : Dhaka
18 March 2012

Annual Report 2011
113

Profit and Loss Statement for the year ended 31st December 2011
2011
Notes
Amount in Taka
2010
OPERATING INCOME
Interest income/profit on islamic investments
Interest/profit paid on deposits, borrowings, etc
Net interest income/ net profit on investments
20
21
7,222,843,470
(5,540,047,409)
1,682,796,061
4,979,096,308
(3,474,331,176)
1,504,765,132
Investment income
22
23
24
881,538,702
859,376,503
766,185,356
2,507,100,561
4,189,896,622
1,826,345,437
709,515,239
735,825,602
3,271,686,278
4,776,451,410
25
26
27
28
29
30
31
685,119,497
582,094,613
9,440,878
31,000,779
200,015,325
3,921,830
3,125,000
251,950
868,471,588
695,860,111
109,341,965
256,160,465
3,444,804,001
745,092,621
607,236,741
469,981,685
2,082,979
28,545,969
213,779,228
5,787,095
2,810,000
244,144
256,238,731
83,865,235
245,895,336
1,916,467,143
2,859,984,267
24,855,873
(52,591,882)
(1,575,472)
(29,311,481)
774,404,102
261,600,000
81,396,416
2,500,000
(13,330,410)
332,166,006
2,527,818,261
310,810,009
2,405,370
313,215,379
461,188,723
1,410,217,142
1,871,405,865
753,800,498
1,999,600
755,800,098
1,772,018,163
813,546,932
2,585,565,095
149,018,524
903,640,790
1,052,659,314
818,746,551
1.21
502,662,553
672,685,400
1,175,347,953
1,410,217,142
6.08
Total Operating Income (A)

OPERATING EXPENSES
Legal expenses
Stationery,printing, advertisement, etc
Directors' fees
Auditors' fee
Charges on loan losses (Annexure-E)
Charges on losses for portfolio
Other expenses
Total Operating Expenses (B)
Profit before provision (C = A-B)
32
33
Provision for loans and advances

Provision for investment in shares
Other provisions
Total provision (D)
Profit before taxation (C-D)
Current tax
Deferred tax
34
12.3
12.4.4
12.4.2,3
12.5
Profit after taxation

Retained earnings brought forward
Profit available for appropriation
Appropriations
Statutory reserve
Issue of bonus shares
14
16
Retained earnings carried forward

35
Chairman
Director
Director
Director
Managing Director

Dated : Dhaka
18 March 2012
114

Annual Report 2011

Cash Flow Statement for the year ended 31st December 2011
2011
Notes
Cash Flows from Operating Activities
Interest received in cash
Interest paid
Fee and commission received in cash
Payments to employees
Payments to suppliers
Income taxes paid
Cash generated from operating activities before changes in
operating assets and liabilities
21
19
12.5
24
Increase/decrease in operating assets and liabilities

Other assets
Deposits from other banks
Other liabilities
Net cash from operating activities (A)
Cash Flows from Investing Activities
Purchase/sale of trading securities, shares, bonds, etc
Purchase of property, plant and equipment
Net cash used in investing activities (B)
Cash Flows from Financing Activities
Dividend paid
Issue of shares
Net cash from financing activities (C)
Net increase in cash (A+B+C)
Effects of exchange rate changes on cash and cash equivalents
Cash and cash equivalents at end of the year (*)
(*) Cash and cash equivalents at the end of the year:
Cash in hand (including foreign curriencies)
Investments in government securities
23
3.1
5
3.2
4
35.1
Amount in Taka
2010
8,104,382,172
(5,540,047,409)
370,137,066
(669,041,327)
(227,244,028)
(806,562,316)
766,185,356
(897,013,355)
6,805,441,744
(3,474,331,176)
373,167,379
(563,023,836)
(232,571,910)
(559,169,124)
735,825,602
(1,011,276,404)
1,100,796,159
2,074,062,275
(4,569,007,258)
(1,006,769,768)
290,328,069
5,936,871,046
483,982,175
1,135,404,264
2,236,200,423
(12,735,986,813)
(426,669,802)
1,171,544,477
16,595,846,607
917,329,728
5,522,064,197
7,596,126,472
(188,852,550)
(603,973,894)
(792,826,444)
(2,265,441,959)
(188,047,414)
(2,453,489,373)
1,443,373,979
489,239,437
16,193,830,285
18,126,443,701
5,142,637,099
336,347,860
10,714,845,326
16,193,830,285
627,498,961
9,095,668,584
4,517,596,281
3,885,679,875
18,126,443,701
2.88
489,589,724
6,988,523,673
2,140,000,000
3,216,814,215
3,358,902,674
16,193,830,285
7.12
FINANCIALS -2011
Chairman
Director
Director
Director
Managing Director

Dated : Dhaka
18 March 2012
Annual Report 2011
115
116

Annual Report 2011
Currency translation differences
"Net gains and losses not recognised in the Profit and Loss Statement"
Payment of cash dividend
Transfer to statutory reserve
Transfer to general and other reserve
Chairman
1,651,254,947
1,800,273,471
149,018,524
1,651,254,947
1,651,254,947
Statutory
reserve
300,673,331
186,054,760
(156,541,460)
41,922,889
300,673,331
Director
Director
300,673,331
Other
reserve
Director
2,914,970,312
3,818,611,102
New issue of shares through RPO
903,640,790
Surplus/deficit on account of revaluation of investments
Issue of bonus shares for 2010
2,914,970,312
2,914,970,312
Paid-up
capital
Surplus/deficit on account of revaluation of properties
Restated balance
Effects of changes in accounting policy
Particulars
Statement of Changes in Equity for the year ended 31st December 2011
6,277,115,732
6,623,685,884
461,188,723
(156,541,460)
41,922,889
6,277,115,732
6,277,115,732
Total
Managing Director
1,410,217,142
818,746,551
(903,640,790)
(149,018,524)
461,188,723
1,410,217,142
1,410,217,142
Retained
earnings
Amount in Taka


Annual Report 2011
117
Chairman
Director
Net Liquidity Excess/(Shortage) (C=A-B)
905,375,600
428,806,924
1,540,936,097
10,585,174,953
129,204,094
6,395,148,892
4,060,821,967
8,757,475,196
2,107,428,545
4,037,166
1,257,170,143
12,126,111,050
1-5 months
maturity
FINANCIALS -2011
Director
Director
Total
Amount in Taka
6,623,685,884
Managing Director
2,611,856,640
3,115,214,590 68,156,815,120
2,679,204,094
2,596,604,590 60,628,337,429
518,610,000 4,849,273,597
627,498,961
8,403,276,156
11,638,596,315
4,514,800,000 50,101,109,748
1,212,271,230 1,216,308,396
2,793,711,428
5,727,071,230 74,780,501,004
More than 5 years

maturity
1,136,710,623
20,563,290,244
Total Liabilities (B)
10,434,921,314 23,458,214,019
2,550,000,000
10,409,371,257 20,760,612,116
25,550,057
147,601,903
20,466,600,574
96,689,670
3-12 months
maturity
200,000,000 2,650,000,000
749,990,000
10,916,800,000 20,012,100,000
223,496,914
474,930,943
11,340,296,914 23,887,020,943
1-3 months
maturity
627,498,961
5,553,276,156
2,131,131,119
12,549,981,203
838,113,428
21,700,000,867
Up to 1 months
maturity
Cash
Investments
Loans and advances
Other assets
Non-banking assets
Total Assets (A)
Liabilities
Borrowings from Bangladesh Bank,
other banks,financial institutions and agents
Provision and other liabilities
Assets
Particulars
Statement of Liquidity Analysis ( Maturity of Assets and Liabilities) at 31st December 2011



Notes to Financial Statements for the year ended 31st December 2011
1.00 STATUS OF THE BANK
1.01 The Bank and its activities
The Premier Bank Ltd.(the "Bank") is a scheduled commercial bank in the private sector established under the Bank
Companies Act 1991 and incorporated in Bangladesh as a public limited company to carry out banking business in
Bangladesh.
The Bank has 52 branches and 12 SME Service Centres/ Agricultural Branches with no overseas branch as on 31
December, 2011. Another 5 branches will be opened by 31st March '2012.Out of the 52 branches 2 branches are
designated Islamic Banking branch complying with the rules of Islamic Shariah the modus operandi of which is
substantially different from other branches run on commercial conventional basis.The Premier Bank Ltd. offers
service for all commercial banking needs of the customers which includes deposit banking, loans and advances,
export import financing, inland and international remittance facility etc. The Bank is listed with Dhaka Stock
Exchange Limited and Chittagong Stock Exchange Limited as a publicly traded company.
In addition to the above The Bank has 02(Two) subsidiary company:
1) Premier Bank Securities Ltd.
2) Premier Money Transfer Company Limited
2.00 Significant Accounting Policies
2.01 Basis of preparation of the financial statements
The financial statements, namely, Balance Sheet, Profit and Loss Account, Cash Flow Statement, Statement of
Changes in Equity, Statement of Liquidity Analysis and relevant notes and disclosures thereto of the Bank are
prepared under historical cost convention except investments and in accordance with First Schedule of Bank
Companies Act 1991, relevant Bangladesh Bank circulars, International Accounting Standards (IASs), adopted by
the Institute of Chartered Accountants of Bangladesh (ICAB), named as Bangladesh Accounting Standards (BASs), the
Companies Act 1994, Securities and Exchange Ordinance 1969, Securities and Exchange Rules 1987 and other laws
and rules applicable thereto. Wherever appropriate, such principles are explained in succeeding notes.
The preparation of financial statements requires management to make judgements, estimates and assumptions that
affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses.
Actual results may differ from these estimates.
2.02 Islamic banking
The Bank operates Islamic banking in 2 branches designated for the purpose in complying with the rules of Islamic
Shariah. The Financial Statements of the branches have also been prepared as per Bank Companies Act 1991,
Bangladesh Accounting Standards. A separate balance sheet and profit and loss account are shown in Annexure-A
and figures under different heads appearing in the annexure have been converted into relevant heads of accounts
under conventional banking for consolidation and incorporation.
2.03 Consolidation
Statements of Affairs and Income and Expenditure Statements of all branches including Islamic banking
branches,Offshore Banking Units,Premier Bank Securities Limited, Premier Money Transfer Company Limited and
Head Office are consolidated together to prepare the financial statements of the Bank.
2.04 Foreign currency transactions
(a)
Foreign currency transactions are converted into equivalent Taka currency at the ruling exchange rates on the
respective dates of such transactions.
(b) Assets and liabilities in foreign currencies as at 31 December 2011 have been converted into Taka currency at
the average of the prevailing buying and selling rates of the relevant foreign currencies at that date except
"balances with other banks and financial institution" which have been converted as per directives of
Bangladesh Bank vide its circular no. BRPD (R) 717/2004-959 dated 21 November 2004.
(c) Differences arising through buying and selling transactions of foreign currencies on different dates of the year
have been adjusted by debiting /crediting exchange gain or loss account in the Profit and Loss Statement.
118

Annual Report 2011

2.5
Fixed assets and depreciation

(a)
Fixed assets have been shown at cost less accumulated depreciation.
(b) Depreciation is charged at the following rates on reducing balance method on all fixed assets other than
vehicles, which are depreciated on straight-line method.
Asset categories
Furniture and fixtures
Equipment and computers
Vehicles
Land & Building
"Rate of depreciation (%)"

10
20
20
2.50
Method of depreciation
Reducing balance
Reducing balance
Straight-line
Reducing balance
(c) For additions during the year, depreciation is charged for the remaining days of the year and in case of disposal,
depreciation is charged up to the date of disposal.
2.06 Investment
Value of investment has been enumerateted as follows:
Items
Government Treasury Bills
Bangladesh Government Treasury Bonds
Prize Bonds
Unquoted Shares
Quoted Shares
Applicable accounting value

At present value
At present value
At cost price
At cost
At market price
2.07 Advances and provisions

FINANCIALS -2011
Advances are stated at gross value.

Provision for loans and advances is made on the basis of periodical review by the management and of instruction
contained Bangladesh Bank BRPD Circular no.5 dated 5 June 2006. The classification rates are given below:
Particulars
General provision on:
Rate
Unclassified loans and advances

Small and Medium Enterprise
Consumer finance for house building loan and loans for professional setup
Other consumer finance
Special mention account
1%
1%
2%
5%
5%
Specific provision on:

Substandard loans and advances
Doubtful loans and advances
Bad/loss loans and advances
20%
50%
100%
Loans and advances are written off to the extent that (i) there is no realistic prospect of recovery, (ii) and against
which legal cases are filed and classified as bad loss as per guidelines of Bangladesh Bank. These write off
however will not undermine/affect the claim amount from borrower. Detailed memorandum records for all such
write off accounts are maintained and followed up.
2.08 Revenue and expenditures
The accounting policies adopted for the recognition of revenue as prescribed by BAS 18- are as follows:
(a)
Interest is calculated on daily product basis on unclassified loans and advances but charged on quarterly basis.
(b)
Interest is charged on classified loans and advances as per BCD and BRPD circulars of Bangladesh Bank and
such interests were not taken into income.
(c)
Commission and discounts on bills purchased and discounted are recognised at the time of realisation.
(d)
Investment income is recognized on accrual basis.
2.09 Cash Flow Statement

Cash Flow Statement is prepared principally in accordance with BAS 7 "Cash Flow Statement"; under direct method
as prescribed by BRPD circular no. 14 dated 25 June 2003.
Annual Report 2011
119

2.10 Retirement benefits
The Bank has a Provident Fund administered by a separate board of trustee, benefits of which are given to the
eligible employees of the Bank in accordance with the rules of the Provident Fund.
Provision for gratuity has been made for the year 2011 for past services of the employees which would be payable
at the time of their retirement/time of eligibility.
2.11 Reconciliation of books of account
Books of account in regard to inter-bank (in Bangladesh and outside Bangladesh) and inter-branch transactions are
reconciled and no material difference was found which may affect the financial statements significantly. There exist
no unreconciled revenue items in Nostro accounts as at 31 December 2011.
2.12 Reporting period
These financial statements cover one year from 01 January 2011 to 31 December 2011.
2.13 Off-Balance Sheet items
Under general banking transactions, liabilities against acceptances, endorsements and other obligations and bills
against which acceptances have been given and claims exist there against, have been shown as off-balance sheet
items. These are disclosed as per Bangladesh Bank's guidelines.
2.14 Related party transactions
a)
As on the Balance Sheet date, the Bank had the following transactions with the related parties in respect of
banking business like, loans and advances, guarantees and commitments.
Name of
Directors interested in the
Company / Firm
Name of
Advance
Value/ Taka
BG(Local)
5.00
BG(Foreign)
18.75
Dr.H.B.M Iqbal
Beacon Travels International Ltd
Dr.H.B.M Iqbal
Mr. Moin Iqbal
Air Concern International Ltd.
BG(Foreign)
19.77
Rajbithi Travels Ltd.
BG
18.77
Mr. B.H. Haroon

a)
Name of
the Company / Firm
The Bank entered into transactions with the following related party, other than banking business for Purchase
and repairs of computers, Money counting machine etc.
Name of
service- provider
National System
Solutions (Pvt) Ltd.
Particulars of service
Mr. Kutubuddin Ahmed, Shareholder and Mr. Abdus
Salam Murshedy, Director of the Bank are the Chairman
and Managing Director of National System Solutions (Pvt)
Ltd respectively.
Value/ Taka
113.93
Directors interest in different entities are given in Annexure D

2.15 Core risk management
Bangladesh Bank has identified 6 (six) core risks for management of the banks and has provided the necessary
guidelines for their implementation. The risks are:
Credit risk
Foreign exchange risk
Asset liability/ balance sheet risks
Money laundering risk
Internal control and compliance risk
ICT Risk
The prime objective of the risk management is that the Bank takes well calculated business risk to safeguard its
capital, financial resources and growth of sustainable profitability. In this context, the Bank has formed a management
committee (MANCOM) to overview proper implementation and regular monitoring of those critical areas.
120

Annual Report 2011

2.15.1 Credit risk
Credit risk is one of the major risks faced by the Bank. This can be described as potential loss arising from the
failure of a counter party to perform with agreed terms with the Bank. To assess and to mitigate the credit risk, the
management has implemented Credit Risk Management (CRM) Manual, which is considered an important tool
for retaining the quality and performance of the assets. Accordingly, Banks credit risk management functions
have been designed to address all these issues including risk that arises from global changes in banking, finance
and related issues.
The Bank has segregated duties of the officers/ executives engaged in the credit related activities. Moreover,
credit approval, administration, monitoring and recovery functions have been segregated. For this purpose, three
separate units have been formed within the Credit Department. These are
(i) Credit Risk Management Unit,
(ii) Credit Administration Unit, and
(iii) Credit Monitoring and Recovery Unit.
2.15.2 Foreign exchange risk
Foreign exchange risk is defined as the potential change in earnings arising due to unfavorable change in
exchange rates. Treasury front office conducts deal for commercial purpose and back office of treasury keeps
record and passes entries in books of account. The main risks in treasury and foreign exchange business are
exchange rates risk, fund management and liquidity risk. As per Bangladesh Bank guidelines, the Treasury
Department was operationally and physically divided into front office and back office to mitigate the risk.
Separate telephone and fax lines were installed in the dealing room to meet Bangladesh Bank guidelines.
2.15.3 Asset liability/ balance sheet risks
FINANCIALS -2011
The Bank has an Asset Liability Committee (ALCO) which is responsible for managing short-term and long-term
liquidity to ensure that the Bank has adequate liquidity at all times at the most appropriate funding cost. ALCO
reviews liquidity requirements of the Bank, maturity of assets and liabilities, deposit and lending pricing strategy
and the liquidity contingency plan. The Asset Liability Committee also monitors Balance Sheet risk. The Balance
Sheet risk is defined as potential changes in earnings due to changes in rate of interest and exchange rates which
are not of trading nature and the Bank is completely maintaining the risks.
2.15.4 Money laundering risk
Money laundering risk is defined as the loss of reputation and expenses incurred as penalty for being negligent in
prevention of money laundering. For mitigating the risk, the Bank has designated Chief Compliance Officer at
Head Office and Compliance Officers at Branches, who independently review the transactions of the accounts to
verify suspicious transactions. Manuals for Prevention of Money Laundering have been established and
transaction profile has been introduced. Training has been continuously given to all the categories of Executives
and Officers for developing awareness and skill for identifying suspicious transactions and other activities relating
to money laundering.
2.15.5 Internal control and compliance risk
Operational loss may arise from errors and fraud due to lack of internal control and compliance. Management
through Internal Control and Compliance Division controls operational procedure of the Bank. Internal Control
and Compliance Division undertakes periodical and special audit of the branches and departments at Head
Office for review of the operation and compliance of the statutory requirements. The Audit Committee of the
Board subsequently reviews the report of the Internal Control and Compliance Division and guides the Division
effectively to monitor the risks.
2.15.6 ICT risk
ICT risk management is embedded in Internal Control and Compliance Policy of the Bank which are widely used
for managing the union between business processes and information systems effectively. However, this control
emphasizes both business and technological regulation and monitoring which in turn support business
requirement and governance and at the same time ensure that ICT risks are properly identified and managed.
According to Central Bank ICT Guidelines, the Bank ICT Policies have been prepared and reviewed on regular
basis based on which operating procedures for all ICT functions are carried out. Besides, in order to assure the
appropriate usage of resources and information, the Bank IT Audit Policy ensures that the IT systems are properly
protected and is free from unauthorized access illegal tempering and malicious actions and all these actions are
continuously monitored and supervised by Bank's IT auditor.
Annual Report 2011
121

2.16
Audit committee
The Bank has constituted an audit committee comprising members of its board of directors with a view to act as a
bridge among the board of directors, executive authority, depositors, shareholders, etc so that the committee can
play an effective role in establishing an efficient, strong and secure banking system. Audit committee comprises
three members of the board of directors as follows:
Sl.
No.
Name
Status with the

committee
Status with
the Bank
Educational qualification
1.
Mr. Moin Iqbal
Chairman
Director
BBA
2.
Mr. Shah Md. Nahyan Haroon
Member
Director
Bar-at -Law (running)
3.
Mr. Kazi Abdul Mazid
Member
Independent
Director
Bachelor of Commerce,
Rajshahi University
The Audit Committee is assisting the Board of Directors and Executive Committee to fulfill their responsibilities
such as to set objectives, strategies and overall business plans for effective functioning of the Bank. The
committee reviews the financial reporting process, the system of internal control, Management Information
System, Management of Risks, the Bangladesh Bank and Internal Audit Reports and Audit process and
Compliance with laws and regulations and its own code of business conduct. The Committee also assisting the
Management to perform better to achieve the objectives set by the Board.
During the year ended on 31 December 2011, the Audit Committee conducted 41 (Forty one) meetings. The
meetings focused on the following broad areas:
The Board Audit Committee discussed the importance of compliance of the requirement of Bangladesh Bank,
other regulatory bodies and Banks own policies, rules, regulations to reduce the risk at the lowest level. Steps
have been taken to ensure that the compliance with regulatory requirements, both external and internal, is
recognized in each activity of the Bank and the Bank complies with all regulatory requirements while conducting
its business.
The Audit Committee of the Board has reviewed progress of implementation of Basel-II in the Bank as per
Bangladesh Bank guidelines and guiding the Management to implement the Basel II within specified time frame
The Committee evaluated the Management Information System (MIS), performance of Information Technology
Division, implementation status of Bangladesh Bank guidelines for Information and Communication Technology
for Banks
The Committee reviewed the non performing Loans and Advances of the Bank in its every meeting. After
reviewing the non-performing Loan and Advances of each branch and each account the Committee suggested the
Management action plan for Recovery of non-performing Loans and Advances. The Committee closely monitored
the progress of Recovery of Non Performing Loans. At the end of 2011 the nonperforming Loans and Advances of
the Bank reduced remarkably below 5% of total Loans and Advances of the Bank.
The Committee in its different meetings discussed the issue for proper documentation against credit facilities.
The Audit Committee discussed the guidelines of Credit Risk Management in detail and suggested the
Management to implement the Credit Risk Management (CRM) guidelines in full at our Bank. For transparency
and accountability credit approval has been separated form credit administration. The Branches have appointed
Credit Administration Officer in line with the CRM guidelines
The Audit Committee reviewed Bangladesh Bank Inspection Reports on our Bank and advised the
Management to rectify the irregularities as mentioned in the Audit Report, asked clarification for some
deficiencies and to implement the valuable suggestions / recommendations of Bangladesh Bank
The Committee in its every meeting followed up the implementation status of the decisions that have been
taken in the Executive Committee and Audit Committee Meetings.
The Audit Committee Reviewed the organogram and job description of Internal Control and Compliance
Division. The Committee evaluated the performance of each official of Internal Control and Compliance Division
and advised to improve their capacity and productivity. The Committee suggested Audit Format and Checklist for
quick and effective Audit & Inspections.
122

Annual Report 2011

2.17
Taxation
Income tax expenses represent the sum of the tax currently payable and deferred tax.
2.17.1 Current tax

Provision for current income tax for the year has been made @ 42.50% as prescribed in the Finance Act 2011 on
the accounting Profit made after considering some of the taxable add back income and disallowance of
expenditure.
2.17.2 Deferred taxation
FINANCIALS -2011
The Bank has adopted deferred tax accounting policy as per Bangladesh Accounting Standard (BAS) 12.
Accordingly deferred tax liability/asset is accounted for all temporary timing differences arising between the tax
base of the assets and liabilities and their carrying value for financial reporting purpose. Deferred tax is computed
at the prevailing tax rate as per Finance Act 2011.

Annual Report 2011
123

Notes to financial statements for the year ended 31st December 2011
2011
Balance Sheet
3.
Cash
3.1
Cash in hand
In local currency
In foreign currency
3.1(a)
3.2
Amount in Taka
2010
611,008,348
16,490,613
627,498,961
465,765,410
23,824,314
489,589,724
627,498,961
154,057
627,653,018
489,589,724
489,589,724
3,860,503,010
579,671,659
4,440,174,669
2,933,850,222
181,245,197
3,115,095,419
77,421,612
4,517,596,281
5,145,095,242
101,718,796
3,216,814,215
3,706,403,939
Consolidated Cash in hand

In Bangladesh
Premier Bank Limited (note 3.1)
Premier Bank Securites Limited
Balance with Bangladesh Bank
In local currency
In foreign currency
Sonali Bank (as an agent bank of Bangladesh Bank)-local currency
3(a)
Consolidated Cash and Balance With Bangladesh Bank and its agent Bank(s)
In Bangladesh
5,145,095,242
154,057
5,145,249,299
3.3
Statutory deposits
3.3.1
Cash reserve requirement/ratio (CRR) and statutory liquidity ratio (SLR)
3,706,403,939
3,706,403,939
Cash reserve requirement/ratio and statutory reserve ratio have been calculated and maintained in accordance
with section 33 of Bank Companies Act 1991 and subsequent Bangladesh Bank BCD circular no. 13 dated 24
May 1992, as amended by BRPD circular nos. 11 and 12 dated 25 August 2005,MPF Circular No. 04. dated
01.12.2010 and MPD Circular No.05 dated 01.12.2010
The statutory cash reserve ratio required on the Bank's time and demand liabilities at the rate of 6% has been
calculated and maintained with Bangladesh Bank in current account (Taka) and 19% for conventional Banking &
11.50% for Islamic Banking statutory liquidity ratio, including CRR, on the same liabilities is also maintained in
the form of treasury bills and bonds including balance with Bangladesh Bank. Both the reserves maintained by
the Bank are in excess of the statutory requirements, as shown below :
For Conventional Banking
124
(a)
Cash reserve requirement/ratio

Required reserve
Actual reserve maintained
Surplus
(b)
Statutory liquid reserve

Required reserve
Surplus
Total required reserve
Total actual reserve held with Bangladesh Bank
Total surplus

Annual Report 2011
3,202,879,000
3,516,259,000
313,380,000
2,655,922,000
2,845,256,000
189,334,000
10,142,449,000
15,202,722,760
5,060,273,760
13,345,328,000
18,718,981,760
5,373,653,760
8,410,418,000
10,632,958,280
2,222,540,280
11,066,340,000
13,478,214,280
2,411,874,280

2011
For Islamic Banking
(a) Cash reserve requirement/ratio
Required reserve
Surplus
(b) Statutory liquid reserve
Required reserve
Surplus
Total required reserve
Total actual reserve held with Bangladesh Bank
Total surplus
184,896,500
236,500,000
51,603,500
520,414,160
560,111,000
39,696,840
791,934,590
852,382,000
60,447,410
352,984,220
401,238,000
48,253,780
537,880,720
637,738,000
99,857,280
2,913,035,543
972,644,332
3,885,679,875
2,442,217,030
916,685,644
3,358,902,674
2,913,035,543
149,896,954
3,062,932,497
2,442,217,030
2,442,217,030
972,644,332
4,100,600
976,744,932
916,685,644
916,685,644
4,039,677,429
3,358,902,674
57,710,440
5,325,103
2,850,000,000
2,913,035,543
37,175,152
5,041,878
2,400,000,000
2,442,217,030
1,400,000,000
400,000,000
200,000,000
200,000,000
450,000,000
400
537,000
11,982,184
35,817
11,517,496
143,785
137
150,595
200,000,000
38,668,129
2,913,035,543
1,400,000,000
400,000,000
200,000,000
200,000,000
958,621
10,235,550
35,817
10,700,548
138,785
1,827
150,595
100,000,000
100,000,000
19,995,287
2,442,217,030

In Bangladesh (note 4.2)
Outside Bangladesh (note 4.3)
4(a)
271,520,430
292,271,000
20,750,570
Consolidated balance with other banks and financial institutions

In Bangladesh
Outside Bangladesh
Premier Money Transfer Company Ltd.
4.1
Account type-wise
Current account
STD account
Fixed deposit
4.2
In Bangladesh
AB Bank Limited
Southeast Bank Limited
Bank Asia limited
Shahjalal Islami Bank Ltd.
First Security Islamic Bank Ltd.
Export Import Bank Limited
Standard Bank Ltd.
United Commercial Bank Limited
Sonali Bank Limited
Islami Bank Bangladesh Limited
Standard Chartered Bank
National Bank Limited
Mercantile Bank Limited
Islami Bank Bangladesh Limited
National Bank Limited
The City Bank Limited
Union Capital
International Leasing & Financial Services Limited
Prime Finance & Investment Ltd.
Off-shore Banking Unit

Annual Report 2011
FINANCIALS -2011
4.
Amount in Taka
2010
125
126

Annual Report 2011
Location
New York
New York
Frankfurt
Singapure
New York
New York
New York
New York
Colombo
Mumbai
Kolkata
Karachi
Kolkata
Mumbai
Nepal
Frankfurt
Rome
Muenchen
Sydney
London
Toronto
Tokyo
Zurich
Riyadh
Jeddah
Mumbai
Name of the Bank
Mashreq Bank PSC

Commerz Bank AG
UBAF
Wachovia Bank
Citibank NA
HSBC
Habib American Bank
Bank of Ceylon
United Bank Ltd
State Bank of India
ICICI Bank
Himalayan Bank
Commerz Bank AG
Banca Nazionale Del Lavoro SpA
Baye-Hypo-und Vereinsbank AG
Westpac Banking Corporation
Mashreqbank psc
The Bank of Nova Scotia
Bank of Tokyo Mitsubishi Ltd
Habib Bank AG Zurich Switzerland
Al Rajhi Banking & Investment Corp.
National Commercial Bank
Mashreq Bank PSC
Total
Grand Total
4.3 Outside Bangladesh
USD
USD
USD
USD
USD
USD
USD
USD
ACUD
ACUD
ACUD
ACUD
ACUD
ACUD
ACUD
EURO
EURO
EURO
AUD
GBP
CAD
JPY
CHF
SAR
SAR
ACUD
Currency
512,144.01
1,538,606.93
90,243.53
194,355.76
1,584,481.70
16,723.71
42,767.72
52,693.14
91,209.42
109,543.57
3,410.00
813.85
3,646.66
70,777.18
68,786.54
46,798.09
97,672.00
9,132.69
120,450.07
83,250.00
230,563.23
Amount in
foreign
currency
81.7250
81.7250
81.7250
81.7250
81.7250
81.7250
81.7250
81.7250
81.7250
81.7250
81.7250
105.6909
105.6909
82.5300
126.3183
79.8409
1.0503
86.7109
21.7928
21.7928
81.7250
Conversion
rate
2011
41,854,969
125,742,651
7,375,152
15,883,724
129,491,767
1,366,745
3,495,192
4,306,347
7,454,090
8,952,448
278,682
86,017
385,419
5,841,241
8,688,999
3,736,402
102,585
791,904
2,624,944
1,814,251
18,842,780
389,116,309
583,528,023
972,644,332
Amount in
Taka
790,931.64
641,678.29
35,291.06
104,778.52
33,050.45
203,561.16
10,639.80
150,449.50
7,401.86
6,251.82
92,295.26
579.89
11,701.27
37,622.74
24,602.44
10,868.81
588,842.00
4,884.20
120,000.00
100,000.00
171,758.65
Amount in
foreign
currency
70.8250
70.8250
70.8250
70.8250
70.8250
70.8250
70.8250
70.8250
70.8250
70.8250
70.8250
93.6945
93.6945
72.0044
109.8355
70.8571
0.8697
75.1580
18.8852
18.8852
70.8250
Conversion
rate
2010
56,017,733
45,446,865
2,499,489
7,420,939
2,340,798
14,417,219
753,564
10,655,586
524,237
442,785
6,536,812
54,332
1,096,345
2,709,003
2,702,221
770,132
512,116
367,087
2,266,224
1,888,520
12,164,806
171,586,813
745,098,831
916,685,644
Amount in
Taka


Annual Report 2011
127
Location
New York
New York
Frankfurt
Singapure
New York
New York
New York
New York
Colombo
Mumbai
Kolkata
Karachi
Kolkata
Mumbai
Nepal
Frankfurt
Rome
Muenchen
Sydney
London
Toronto
Tokyo
Zurich
Riyadh
Jeddah
Mumbai
Name of the Bank
Mashreq Bank PSC

Commerz Bank AG
UBAF
Wachovia Bank
Citibank NA
HSBC
Habib American Bank
Bank of Ceylon
United Bank Ltd
State Bank of India
ICICI Bank
Himalayan Bank
Commerz Bank AG
Banca Nazionale Del Lavoro SpA
Baye-Hypo-und Vereinsbank AG
Westpac Banking Corporation
Mashreqbank psc
The Bank of Nova Scotia
Bank of Tokyo Mitsubishi Ltd
Habib Bank AG Zurich Switzerland
Al Rajhi Banking & Investment Corp.
National Commercial Bank
Mashreq Bank PSC
Total
Grand Total
4.3(a) Consolidated Outside Bangladesh
USD
USD
USD
USD
USD
USD
USD
USD
ACUD
ACUD
ACUD
ACUD
ACUD
ACUD
ACUD
EURO
EURO
EURO
AUD
GBP
CAD
JPY
CHF
SAR
SAR
ACUD
512,144.01
1,538,606.93
90,243.53
194,355.76
1,584,481.70
16,723.71
42,767.72
52,693.14
91,209.42
109,543.57
3,410.00
813.85
3,646.66
70,777.18
68,786.54
46,798.09
97,672.00
9,132.69
120,450.07
83,250.00
230,563.23
Amount in
foreign
currency
FINANCIALS -2011
Currency
81.7250
81.7250
81.7250
81.7250
81.7250
81.7250
81.7250
81.7250
81.7250
81.7250
81.7250
105.6909
105.6909
82.5300
126.3183
79.8409
1.0503
86.7109
21.7928
21.7928
81.7250
Conversion
rate
2011
41,854,969
125,742,651
7,375,152
15,883,724
129,491,767
1,366,745
3,495,192
4,306,347
7,454,090
8,952,448
278,682
86,017
385,419
5,841,241
8,688,999
3,736,402
102,585
791,904
2,624,944
1,814,251
18,842,780
389,116,309
583,528,023
4,100,600
976,744,932
Amount in
Taka
790,931.64
641,678.29
35,291.06
104,778.52
33,050.45
203,561.16
10,639.80
150,449.50
7,401.86
6,251.82
92,295.26
579.89
11,701.27
37,622.74
24,602.44
10,868.81
588,842.00
4,884.20
120,000.00
100,000.00
171,758.65
Amount in
foreign
currency
70.8250
70.8250
70.8250
70.8250
70.8250
70.8250
70.8250
70.8250
70.8250
70.8250
70.8250
93.6945
93.6945
72.0044
109.8355
70.8571
0.8697
75.1580
18.8852
18.8852
70.8250
Conversion
rate
2010
56,017,733
45,446,865
2,499,489
7,420,939
2,340,798
14,417,219
753,564
10,655,586
524,237
442,785
6,536,812
54,332
1,096,345
2,709,003
2,702,221
770,132
512,116
367,087
2,266,224
1,888,520
12,164,806
171,586,813
745,098,831
916,685,644
Amount in
Taka


2011
4.4
Maturity grouping of balance with other banks

Repayable on demand
Not more than 3 months
More than 3 months but not more than 1 year
More than 1 year but not more than 5 years
More than 5 years
4.4(a)
Maturity grouping of balance with other banks

Repayable on demand
More than 5 years
5.

Pubali Bank Limited
Agrani Bank Limited
Bank Asia Ltd
Dhaka Bank Ltd
Mutual Trust Bank Ltd
National Bank of Pakistan
AB Bank Limited
BRAC Bank Ltd
Eastern Bank Ltd
Prime Bank Limited
The City Bank Ltd
6.
Investments
6(a)
Consolidated Investment
6.1
Treasury bills
Bangladesh Bank bills
Treasury bonds
Repo
Prize bonds
6.2
Others
In shares and bonds (quoted and unquoted)
Quoted
Islamic Investment Bond
Investment in Shares - Islami
Investment in shares - General
Unquoted
Central Depository Bangladesh Limited
SWIFT Membership
Investment in PBL Securities
STS Holdings Limited (Preference Shares)
128

Annual Report 2011
Amount in Taka
2010
1,030,354,772
205,325,103
2,650,000,000
3,885,679,875
933,865,509
25,037,165
2,400,000,000
3,358,902,674
1,184,352,326
205,325,103
2,650,000,000
4,039,677,429
933,865,509
25,037,165
2,400,000,000
3,358,902,674
350,000,000
350,000,000
300,000,000
250,000,000
200,000,000
200,000,000
200,000,000
100,000,000
100,000,000
50,000,000
40,000,000
2,140,000,000
11,638,596,315
10,195,000,425
11,638,596,315
330,010,000
11,968,606,315
10,195,000,425
10,195,000,425
9,239,121,555
678,900
9,239,800,455
7,288,384,604
812,400
7,289,197,004
250,000,000
277,305,000
1,353,147,219
1,880,452,219
160,000,000
336,910,000
1,872,855,330
2,369,765,330
5,138,890
1,214,751
499,990,000
12,000,000
10,833,340
1,214,751
499,990,000
24,000,000
518,343,641
2,398,795,860
11,638,596,315
536,038,091
2,905,803,421
10,195,000,425

6.2(a)
Consolidated Unquoted Investment

Less:Investment in PBL Securities
6.3
Maturity grouping of Investment

Repayable on demand
More than 5 years
6.3(a)
Consolidated Maturity grouping of Investment

Repayable on demand
More than 5 years
7.
Loans and advances
7.1
Maturity grouping
Repayable on demand
More than 5 years
7.1(a)
Consolidated Maturity grouping

Repayable on demand
More than 5 years
7.2
Broad category-wise breakup

In Bangladesh
Loans
Overdrafts
Cash credits
Loans, cash credits, overdrafts
Outside Bangladesh
Loans
Overdrafts
Cash credits
Off-shore Banking Units
Amount in Taka
2010
2,398,795,860
499,990,000
830,000,000
2,728,805,860
2,905,803,421
2,905,803,421
2,131,131,119
749,990,000
8,757,475,196
3,875,277,730
619,990,000
5,699,732,695
11,638,596,315
10,195,000,425
2,131,131,119
749,990,000
9,087,485,196
3,875,277,730
619,990,000
5,699,732,695
11,968,606,315
10,195,000,425
50,101,109,748
46,400,574,078
12,549,981,203
10,916,800,000
20,012,100,000
2,107,428,545
4,514,800,000
50,101,109,748
12,640,132,036
9,640,200,000
13,521,100,000
5,888,300,000
4,710,842,042
46,400,574,078
12,223,785,782
10,916,800,000
20,012,100,000
2,107,428,545
4,514,800,000
49,774,914,327
12,640,132,036
9,640,200,000
13,521,100,000
5,888,300,000
4,710,842,042
46,400,574,078
27,750,762,356
12,271,354,459
6,223,033,138
46,245,149,953
3,130,720,903
49,375,870,856
26,635,807,340
7,691,206,081
6,049,699,444
40,376,712,865
5,026,836,875
45,403,549,740
148,757,688
576,481,204
725,238,892
50,101,109,748
244,144,421
752,879,917
997,024,338
46,400,574,078
Annual Report 2011
FINANCIALS -2011
2011
129

7.2(a)
Broad category-wise breakup

In Bangladesh
Loans
Overdrafts
Cash credits
Outside Bangladesh
Loans
Overdrafts
Cash credits
Off-share Banking Units
7.3
Industry wise concentration of Loans & Advances

including bills purchased & discounted
Advances to allied concerns of directors
Advances to chief executives and senior executives
Advances to industries
Textile & RMG industries
Cement and ceramic industries
Food and allied industries
Transport and communication industries
Iron and steel industries
Other industries
Advances to customer groups
Commercial lending
Export financing
House building
Consumer credit
Small and medium enterprises
Other staff loan
Other customers
7.3(a)
Consolidated Industry wise concentration of Loans &

Advances
Advances to allied concerns of directors
Advances to chief executives and senior executives
Advances to industries
Textile & RMG industries
Cement and ceramic industries
Food and allied industries
Transport and communication industries
Iron and steel industries
Other industries
Advances to customer groups
Commercial lending
Export financing
House building
Consumer credit
Small and medium enterprises
Other staff loan
Other customers
130

Annual Report 2011
2011
Amount in Taka
2010
27,424,566,935
12,271,354,459
6,223,033,138
45,918,954,532
3,130,720,903
49,049,675,435
26,635,807,340
7,691,206,081
6,049,699,444
40,376,712,865
5,026,836,875
45,403,549,740
148,757,688
576,481,204
725,238,892
49,774,914,327
244,144,421
752,879,917
997,024,338
46,400,574,078
32,536,070
122,898,581
8,372,500,000
834,441,545
1,151,200,000
3,901,600,000
1,723,500,000
1,288,682,048
17,271,923,593
8,016,500,000
718,316,418
1,717,312,811
2,536,600,000
1,276,220,719
1,586,664,033
15,851,613,981
13,256,124,198
3,528,660,594
3,230,000,000
603,389,965
8,403,015,710
314,354,223
3,461,105,395
32,796,650,085
50,101,109,748
14,420,320,204
5,253,459,324
2,145,606,438
1,088,600,000
1,445,651,473
187,284,234
5,885,139,843
30,426,061,516
46,400,574,078
32,536,070
122,898,581
8,372,500,000
834,441,545
1,151,200,000
3,901,600,000
1,723,500,000
1,288,682,048
17,271,923,593
8,016,500,000
718,316,418
1,717,312,811
2,536,600,000
1,276,220,719
1,586,664,033
15,851,613,981
13,256,124,198
3,528,660,594
3,230,000,000
603,389,965
8,403,015,710
314,354,223
3,134,909,974
32,470,454,664
49,774,914,327
14,420,320,204
5,253,459,324
2,145,606,438
1,088,600,000
1,445,651,473
187,284,234
5,885,139,843
30,426,061,516
46,400,574,078

2011
Classification of loans and advances
Unclassified
Standard
Classified
Substandard
Doubtful
Bad/Loss
7.5(a)
43,752,839,572
486,754,687
44,239,594,259
174,402,404
631,503,336
1,326,438,891
2,132,344,631
50,101,109,748
794,275,409
493,116,640
873,587,770
2,160,979,819
46,400,574,078
47,414,366,826
228,202,870
47,642,569,696
43,752,839,572
486,754,687
44,239,594,259
174,402,404
631,503,336
1,326,438,891
2,132,344,631
794,275,409
493,116,640
873,587,770
2,160,979,819
49,774,914,327
46,400,574,078
46,245,149,953
1,515,454,579
1,841,650,000
45,918,954,532
40,376,712,865
40,376,712,865
3,855,959,795
3,855,959,795
6,023,861,213
6,023,861,213
49,774,914,327
46,400,574,078
507,698,343
10,909,704
518,608,047
468,149,005
23,443,909
491,592,914
Consolidated Classification of loans and advances

Unclassified
Standard
Classified
Substandard
Doubtful
Bad/Loss
7(a)
47,740,562,247
228,202,870
47,968,765,117
Consolidated loans and advances

Premier Bank Securities Ltd.
Less: Inter Company Transaction
FINANCIALS -2011
7.5
Amount in Taka
2010
Consolidated bills purchased and discounted

7.6
Particulars of required provision for loans and advances

Status
Unclassified
Base for provision
Rate (%)
Standard
46,339,779,988 (*) Various
Special mentioned account
218,194,074
5
Sub-total (A)
(*) General provision is kept @ 1% on all unclassified loans and advances, 1% on small and medium enterprise
financing,2% on loan for professional,2% on housing loan and 5% on consumer financing.
Status
Classified
Base for provision
Rate(%)
Substandard
33,027,589
20
Doubtful
335,104,560
50
Bad/loss
424,550,833
100
Sub-total (B)
Required provision for loans and advances (C=A+B)
Total provision maintained (note 12.1)
Excess provision at 31 December 2011
6,605,520
167,552,284
424,550,833
598,708,637
1,117,316,684
1,117,410,000
93,316
105,683,737
103,690,066
382,758,096
592,131,899
1,083,724,813
1,091,600,000
7,875,187
Annual Report 2011
131

2011
7.7
Particulars of loans and advances

(i)
Loans considered good in respect of which the Bank is fully

secured;
(ii) Loans considered good against which the Bank holds no
security other than the debtors personal security;
(iii) Loans considered good secured by the personal undertaking
of one or more parties in addition to the personal security of
the debtors; [note 7.7 (a)]
(iv) Loans adversely classified but provision not maintained there against;
(v)
(vi)
(vii)
(viii)
(ix)
(x)
(xi)
7.8
Loans due by directors or officers of the Bank or any of them

either separately or jointly with any other persons;
Loans due from companies or firms in which the directors of
the Bank are interested as directors, partners or managing
agents or in case of private companies, as members;
Maximum total amount of advances, including temporary
advances made any time during the year to directors or
managers or officers of the Bank or any of them either
separately or jointly with any other persons;
Maximum total amount of advances, including temporary
advances granted during the year to companies or firms in
which the directors of the Bank are interested as directors,
partners or managing agents or, in case of private companies,
as members;
Due from banking companies;
Amount of classified loans on which interest has not
been charged
(a) Increase/decrease of provision (specific)
Amount of loan written off
Amount realised against loan previously written off
(b) Provision kept against loans classified as bad /loss
on the date of preparing Balance Sheet
(c) Interest charged in interest suspense account
Written off loan
Opening balance
During the period/year
Closing balance
41,220,417,896
36,641,755,461
4,461,551,858
3,361,806,818
4,419,139,994
50,101,109,748
6,397,011,799
46,400,574,078
346,890,293
310,182,815
346,890,293
310,182,815
2,132,344,631
2,160,979,819
868,471,588
1784127
256,238,731
-
424,550,833
677,711,145
382,758,096
693,861,875
304,924,286
868,471,588
1,173,395,874
48,685,555
256,238,731
304,924,286
Geographical location-wise (division) distribution of loan, advances,and lease/investments

In Bangladesh
Urban
Dhaka
40,352,203,339
37,395,103,615
Chittagong
6,003,352,125
5,763,149,436
Khulna
356,181,425
447,935,800
Sylhet
300,395,031
323,157,444
Rajshahi
453,015,107
174,659,824
Barisal
203,388,094
263,088,145
Rangpur
90,273,446
145,574,515
47,758,808,567
44,512,668,779
Rural
Dhaka
Chittagong
Outside Bangladesh
132
Amount in Taka
2010

Annual Report 2011
1,638,576,070
703,725,111
2,342,301,181
50,101,109,748
981,488,212
906,417,087
1,887,905,299
46,400,574,078
50,101,109,748
46,400,574,078

7.8(a)
Amount in Taka
2011
2010
Consolidated geographical location-wise (division) distribution of loan, advances,and lease/investments
In Bangladesh
Urban
Dhaka
Chittagong
Khulna
Sylhet
Rajshahi
Barisal
Rangpur
40,026,007,918
6,003,352,125
356,181,425
300,395,031
453,015,107
203,388,094
90,273,446
47,432,613,146
37,395,103,615
5,763,149,436
447,935,800
323,157,444
174,659,824
263,088,145
145,574,515
44,512,668,779
Dhaka
Chittagong
1,638,576,070
703,725,111
2,342,301,181
49,774,914,327
981,488,212
906,417,087
1,887,905,299
46,400,574,078
Outside Bangladesh
49,774,914,327
46,400,574,078
32,449,991,580
2,157,195,200
583,067,000
2,302,598,800
3,041,109,799
2,062,299,592
7,504,847,777
50,101,109,748
24,140,366,392
188,993,564
1,185,367,960
6,731,485,492
4,071,234,585
2,554,563,297
7,528,562,788
46,400,574,078
32,449,991,580
2,157,195,200
583,067,000
2,302,598,800
3,041,109,799
2,062,299,592
7,178,652,356
49,774,914,327
24,140,366,392
188,993,564
1,185,367,960
6,731,485,492
4,071,234,585
2,554,563,297
7,528,562,788
46,400,574,078
3,130,720,903
725,238,892
3,855,959,795
5,026,836,875
997,024,338
6,023,861,213
1,216,579,354
1,822,104,699
803,389,446
13,886,296
3,855,959,795
2,098,558,853
2,674,763,476
1,250,538,884
6,023,861,213
Rural
Details of pledged collaterals received against Loans and Advances

Collateral of movable/immovable assets
Local banks and financial institutions guarantee
Government guarantee
Foreign Banks guarantee
Export documents
Fixed deposit receipts
Personal guarantee
Other securities
FINANCIALS -2011
7.8.1
7.8.1(a) Details of pledged collaterals received against Loans and Advances

Collateral of movable/immovable assets
Local banks and financial institutions guarantee
Government guarantee
Foreign Banks guarantee
Export documents
Fixed deposit receipts
Personal guarantee
Other securities
7.9

In Bangladesh
Outside Bangladesh
7.9.1
Maturity grouping of bills discounted & purchased

Within 1 month
Over 1 month but below 3 months
Over 3 months but below 6 months
6 months or over

Annual Report 2011
133

2011
8.
Amount in Taka
2010
1,216,308,396
652,524,875
1,216,308,396
106,300
4,450,506
1,220,865,202
652,524,875
652,524,875
Details are shown in Annexure -B.

8(a)
Consolidated fixed assets including premises, furniture and fixtures

Premier Bank Limited (note- 8)
9.
Other assets
Income generating
Non-income generating
Adjusting account
Advance office rent and maintenance
Advance against interior decoration
Head Office general account
Stationery, stamps, printing materials, etc
Protested bills
Receivable on Sanchaya Patras (from Bangladesh Bank)
Security deposits
Others (note 9.1)
9.1
9(a)
134
Others
Income tax deducted at source on BGTB bonds
Sundry debtors
DD paid without advice
DD cancelled
Preliminary expenses
Prepaid expenses
Advance against TA/DA
Advance against petty cash
Advance against postage
Credit card account- local
Advance against suits/ cases
Advance against proposed branch
Cash remittance
Remittance for moneygram
Premier EXC.Co. Singapure
Premier money transfer co. ltd. UK
Haji Service
Clearing adjustment account
Consolidated other assets
Premier Bank Limited (note 9)

Annual Report 2011
358,648,058
1,421,652,836
101,827,185
43,234,974
17,160,905
9,713,144
23,708,202
1,951,611
815,814,513
2,793,711,428
2,793,711,428
313,689,646
747,746,330
56,740,267
284,246,281
22,308,392
9,920,344
27,520,429
1,961,611
322,808,360
1,786,941,660
1,786,941,660
40,385,987
600,582,852
15,733,844
798,340
36,574,916
1,653,635
565,664
7,000
340,840
93,797,684
3,300,000
132,962
14,243,289
197,475
7,500,025
815,814,513
40,375,987
121,914,744
30,986,978
75,300
5,915,978
921,302
192,692
36,400
7,000
97,574,042
5,500,000
669,952
233,219
18,404,766
322,808,360
2,793,711,428
7,201,592
881,335
2,801,794,355
1,786,941,660
1,786,941,660

2011
Head Office General account

Head Office general account represents outstanding inter branch and Head Office transactions originated before
but remaining un-reconciled as at 31 December 2011.
Aging of outstanding transactions
Up to 3 months
Over 3 months but within 6 months
Over 6 months
Number of unresponded
entries
Debit
Credit
407
398
33
36
109
57
549
491
10.

Outside Bangladesh
10.1
In Bangladesh
Bangladesh Bank (Refinance facility under Islamic Banking)
Bangladesh Bank (Refinance facility under SME)
Bangladesh Bank (Refinance facility under HBL)
Bangladesh Bank (Refinance facility under Women Enterprise)
10.2
Analysis by security
Secured
Unsecured
10.3
Repayment pattern
Repayable on demand
Repayable on maturity
11.
2,388,876,025
2,388,876,025
2,550,000,000
68,899,488
3,870,677
56,433,929
2,679,204,094
2,200,000,000
135,176,025
4,000,000
49,700,000
2,388,876,025
2,679,204,094
2,679,204,094
2,388,876,025
2,388,876,025
2,679,204,094
2,679,204,094
2,388,876,025
2,388,876,025
2,750,000,000
57,878,337,429
60,628,337,429
2,450,000,000
52,241,466,383
54,691,466,383
60,628,337,429
64,634,106
60,692,971,535
54,691,466,383
54,691,466,383
100,000,000
200,000,000
450,000,000
1,400,000,000
400,000,000
200,000,000
2,750,000,000
250,000,000
1,400,000,000
400,000,000
200,000,000
200,000,000
2,450,000,000
Consolidated deposits and other accounts

11.1
2,679,204,094
2,679,204,094

Inter-bank deposits (note 11.1)
Other deposits (note 11.2)
11(a)
Number of unresponded entries

(Amount in Taka)
Debit
Credit
901,912,000
863,988,000
769,000
825,000
7,153,000
1,459,000
909,834,000
866,272,000
FINANCIALS -2011
9.2
Amount in Taka
2010
Inter-bank deposits
Sonali Bank Limited
Shahjalal Islamic Bank Ltd.
First Security Islami Bank Ltd.
AB Bank Limited
Bank asia Limited
Export Import Bank Bangladesh Limited

Annual Report 2011
135

2011
11.2
Other deposits
Savings bank deposits
Fixed deposits:
One month
Three months
Six months
One year
Two years
Three years but not more than five years
Others:
Current account
Short-term deposits
Staff security deposits
Deposit in foreign currency
Monthly savings scheme
Monthly income account
Education savings scheme
Special deposit scheme
Double benefit scheme
Mudaraba Hajj deposit
Sundry deposits (note 11.3)
Bills payable (note 11.4)
136
Amount in Taka
2010
11.3
Sundry deposits
Sundry creditors
Margin on letter of credit
Margin on letter of guarantee
Sanchaya Patra
Back to Back letter of credit obligation
Income tax deducted at source
VAT payable to government
Margin on foreign documentary bill purchases
Advance deposits against consumer credit scheme
Other sundry deposits
11.4
Bills payable
Inside Bangladesh
Outside Bangladesh
11.5
Maturity analysis of inter-bank deposits

Repayable on demand
Repayable within 1 month
Over 1 month but within 3 months
Over 3 months but within 1 year
Over 1 year but within 5 years
Over 5 years but within 10 years
Unclaimed deposits for 10 years or more

Annual Report 2011
2,930,981,267
3,023,987,904
27,911,927
17,816,849,504
2,562,996,418
19,547,615,697
62,379,351
91,971,566
40,109,724,463
522,797
12,473,962,744
2,589,549,146
20,603,215,341
93,692,472
173,300,457
35,934,242,957
2,560,558,004
2,550,206,049
2,977,803
260,823,693
1,404,678,037
690,172,554
4,376,635
71,106,915
2,661,573,796
1,253,666
504,240,962
3,316,915,429
14,028,883,543
808,748,156
57,878,337,429
2,702,964,005
1,969,642,120
2,296,279
252,957,637
1,272,241,904
593,904,492
4,126,863
71,553,676
1,958,102,284
714,450
713,663,617
2,671,965,820
12,214,133,147
1,069,102,375
52,241,466,383
85,162,590
404,636,485
323,801,341
11,600,000
897,567
92,384,075
47,303,968
8,714,833
5,857,495
2,336,557,075
3,316,915,429
141,906,597
571,211,522
358,329,240
11,735,000
167,359,757
50,992,085
15,860,752
2,875,870
6,179,568
1,345,515,429
2,671,965,820
808,748,156
808,748,156
1,069,102,375
1,069,102,375
100,000,000
2,650,000,000
2,750,000,000
650,000,000
1,800,000,000
2,450,000,000

11.6
Maturity analysis of other deposits

Repayable on demand
Repayable within 1 month
Over 1 month but within 3 months
Over 3 months but within 1 year
Over 1 year but within 5 years
Over 5 years but within 10 years
12.
Other liabilities
Head office general account
Accumulated provision against loans and advances (note 12.1)
Provision for gratuity (note 12.2)
Provision for off-balance sheet items (note 12.3)
Other provision (note 12.4)
Provision for corporate taxation (note 12.5)
Interest suspense account (note 12.6)
Adjusting account
Credit card
Profit receivable on investment
Investment compensation
12(a)
Consolidated other liabilities

12.1
Accumulated provision against loans and advances
Amount in Taka
2010
7,250,599,459
5,216,001,115
17,809,371,257
22,110,612,116
2,895,148,892
2,596,604,590
57,878,337,429
11,403,053,381
8,625,217,598
8,442,604,777
14,222,864,487
7,456,618,778
2,091,107,362
52,241,466,383
1,117,410,000
96,689,670
192,200,000
17,561,708
147,601,903
677,711,145
2,006,365,926
488,322
7,500,027
585,744,896
4,849,273,597
1,091,600,000
91,629,340
244,791,882
19,137,180
640,948,840
693,861,875
1,237,946,764
7,027,170
102,093,405
794,846
753,058,209
4,882,889,511
4,849,273,597
38,479,615
17,772,087
4,905,525,299
4,882,889,511
4,882,889,511
600,000,000
600,000,000
830,000
1,784,127
2,154,127
598,800,000
450,000,000
450,000,000
150,000,000
600,000,000
491,600,000
27,010,000
518,610,000
1,117,410,000
380,000,000
111,600,000
491,600,000
1,091,600,000
91,629,340
20,000,000
14,939,670
96,689,670
47,106,900
50,000,000
5,477,560
91,629,340
FINANCIALS -2011
2011
On classified loans
Opening balance
Further provided
Less : Fully provided debts written off during the year
Add : Recovery of amounts previously written off
Add : Specific provision made during the year
Less : Recoveries and release of provision no longer required
Net charge to Profit and Loss Statement
Closing balance
On unclassified loans
Opening balance
Add : Provision for the year
Closing balance
Total closing balance
12.2
Provision for gratuity

Opening balance
Add: Provision made during the year
Less: Adjustment during the year
Closing balance

Annual Report 2011
137

2011
12.3

Opening balance
Closing balance
12.4
Other provisions
Provision for protested bills (note 12.4.2)
Provision for suspense account (note 12.4.3)
Provision for investment on shares (note 12.4.4)
Amount in Taka
2010
244,791,882
52,591,882
192,200,000
163,395,466
81,396,416
244,791,882
9,713,143
5,348,565
2,500,000
17,561,708
9,920,344
6,716,836
2,500,000
19,137,180
12.4.2 Provision for protested bills

Opening balance
Closing balance
9,920,344
207,201
9,713,143
23,250,754
13,330,410
9,920,344
12.4.3 Provision for suspense account

Opening balance
Closing balance
6,716,836
1,368,271
5,348,565
6,716,836
6,716,836
12.4.4 Provision for investment in shares

Opening balance
Add: Provision made during the year (General)
Add: Provision made during the year (Islami)
Closing balance
2,500,000
2,500,000
2,500,000
2,500,000
640,948,840
444,317,866
310,810,009
2,405,370
313,215,379
806,562,316
147,601,903
753,800,498
1,999,600
755,800,098
559,169,124
640,948,840
12.5
Provision for corporate taxation

Opening balance
Current tax
Deferred tax
Closing balance
Position of Bank's corporate income tax provision status is shown in Annexure - C.

12.5(a) Consolidated balance for provision for taxation
Premier Bank Limited (note-12.5)
Premier Bank Securities Limited
12.5(aa) Consolidated provision for taxation
Premier Bank Limited (note-12.5)
Current tax
Deferred tax
Premier Bank Securities Limited
12.6
138
Interest suspense account

Opening balance
Add: Transfer during the year
Less: Recovery during the year
Less: Write off during the year
Closing balance

Annual Report 2011
147,601,903
22,496,700
170,098,603
640,948,840
640,948,840
310,810,009
2,405,370
313,215,379
22,496,700
335,712,079
753,800,498
1,999,600
755,800,098
755,800,098
693,861,875
16,150,730
677,711,145
556,680,706
137,181,169
693,861,875

2011
Amount in Taka
2010
13.
Share Capital
3,818,611,102
2,914,970,312
13.1
Authorised Capital
600,000,000 ordinary shares of Taka 10 each
6,000,000,000
6,000,000,000
13.2
Issued, subscribed and paid-up capital

459,062,158
27,441,400
486,503,558
459,062,158
27,441,400
486,503,558
1,276,931,044
87,231,410
1,364,162,454
884,245,454
60,095,100
944,340,554
1,967,945,090
3,818,611,102
1,484,126,200
2,914,970,312
Issued for cash

Local sponsors: 45,906,215.80 ordinary shares of Taka 10 each
Foreign sponsors: 2,744,140 ordinary shares of Taka 10 each
Local sponsors: 127,693,104.40 bonus shares of Taka 10 each

Foreign sponsors: 8,723,141 bonus shares of Taka 10 each
No.of shares issued other than Directors & Sponsors
(General shareholders)
196,794,509 ordinary shares of Taka 10 each
13.3
FINANCIALS -2011
Issued for other than cash as bonus shares
Percentage of shareholding
Particulars
Sponsors & Directors

Local (individual)
Govt. of Bangladesh
Foreign (indiviual)
Independent Director
(individual)
Associated companies
Govt.of Bangladesh
Corporate bodies
Local
Foreign
General investors
Local (individual)
Non-resident Bangladeshis
Foreign individual
Others
2011
No. of shares
% of share holding
2010
No. of shares
% of share holding
165,810,381
11,467,281
131,000
126,572,820
8,753,650
100,000
43.42
3.00
0.03
-
43.42
3.00
0.04
-
80,435,098
-
21.06
-
54,316,330
-
18.63
-
122,797,755
964,417
255,177
381,861,109
32.16
0.25
0.07
100
100,804,790
762,320
187,120
291,497,030
34.58
0.26
0.07
100

Annual Report 2011
139

13.4
Names of the directors/shareholders and their shareholdings as on 31 December 2011

Name of the Director/Shareholder
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
Shareholding (Number of shares)

2011
2010
Status
Dr. H. B. M. Iqbal
Mr. B. H. Haroon
Mr. Moin Iqbal
Mr. Abdus Salam Murshedy
Mr. Shafiqur Rahman
Mrs. Nawrin Iqbal
Mrs. Shaila Shelly Khan
Mr. Yeh Cheng Min
Mr. Md. Masud Zaman
Mr. Shah Md. Nahyan Haroon
Mr. Mohammad Imran Iqbal
Mr. Md. Lutfur Rahman
Ms. Parsa Sanjana Amin
Dr. Arifur Rahman
Mr. Nurul Amin
Mr. Kutubuddin Ahmed
Mr. Sanwar Dito
Mrs. Rashida Ahmed
Mrs. Ferdous Amin
Mrs. Sharmin Salam
Mr. Md. Miraj Rahman
Mr. Maruf Rahman
Mr. Md. Moniruzzaman
Mr. Md. Wahiduzzaman
Mrs. Asma Begum
Mr. Shah Md. Adnan Haroon
Mr. Alif Alam
Mr. Jamal G. Ahmed
Mrs. Husne-Ara Begum
Mr.Adytta Amin
Mr. Kazi Abdul Mazid
Chairman
Vice Chairman
Director
Director
Director
Director
Director
Director
Director
Director
Director
Director
Director
Sponsor Shareholder
Sponsor Shareholder
Sponsor Shareholder
Sponsor Shareholder
Sponsor Shareholder
Sponsor Shareholder
Sponsor Shareholder
Sponsor Shareholder
Sponsor Shareholder
Sponsor Shareholder
Sponsor Shareholder
Sponsor Shareholder
Sponsor Shareholder
Sponsor Shareholder
Sponsor Shareholder
Sponsor Shareholder
Sponsor Shareholder
Independent Director
Sub-total
No.of shares owned by other than Directors & Sponsors
(General shareholders)
Total
26,878,697
14,007,764
1,772,862
16,080,328
5,693,875
6,536,834
19,086,686
11,467,281
2,908,579
1,120,587
1,136,765
1,286,053
2,144,208
13,231,000
2,656,208
12,119,648
9,942,336
649,694
5,172,390
1,373,993
798,261
798,261
2,852,839
2,852,839
1,618,950
2,072,564
5,956,596
568,356
1,233,797
3,259,411
131,000
20,518,090
10,692,950
1,353,330
12,275,060
4,346,470
4,989,950
14,569,990
8,753,650
2,220,290
855,410
867,760
981,720
1,636,800
10,100,000
2,027,640
9,251,640
7,589,570
495,950
3,948,390
1,048,850
609,360
609,360
2,177,740
2,177,740
1,235,840
1,582,110
4,547,020
433,860
941,830
2,488,100
100,000
177,408,662
135,426,470
204,452,447
381,861,109
156,070,560
291,497,030
13.4.1 Classification of shareholders by holding

Shareholding Range
01 - 500
501 - 5000
5001 - 10,000
10,001 - 20,000
20,001 - 30,000
30,001 - 40,000
40,001 - 50,000
50,001 - 100,000
100,001 - 1,000,000
Over 1,000,000
Total
140

Annual Report 2011
No. of
Shareholders
32,897
42,687
2,617
1,150
272
99
74
136
119
52
80,103
No. of
Shares
7,227,338
62,471,052
18,116,586
15,844,866
6,731,272
3,433,215
3,372,826
9,501,251
36,268,036
218,894,667
381,861,109
Percentage of
holding of shares
1.89
16.36
4.74
4.15
1.76
0.90
0.88
2.49
9.50
57.32
100.00

13.5
2011
Capital adequacy ratio (CAR)
Amount in Taka
2010
13.5.1 Core capital (Tier I)

Paid-up capital
Statutory reserve
Retained earnings
Dividend equalisation account
Minority interest
13.5.2 Supplementary capital (Tier II)
General provision (unclassified loans) (note 12.1)
Provision for off-balance sheet items (note 12.3)
Revaluation Reserve for Securities (50%) (note 15)
Revaluation Reserves for Fixed Assets (50%) ( note-15)
Exchange equalisation account
Total assets including off-Balance Sheet items
Total risk-weighted assets
Required capital (10% of risk-weighted assets)
13.6
Actual capital maintained

Core capital, Tier I (note 13.5.1)
Supplementary capital, Tier II (note 13.5.2)
Surplus/(shortfall)
Capital adequacy ratio
13.6
Capital requirement
Core capital
Supplementary capital
Total
3,818,611,102
1,800,273,471
868,455,505
11,161
6,487,351,239
2,914,970,312
1,651,254,947
1,410,217,142
5,976,442,401
518,610,000
192,200,000
72,065,936
20,961,445
803,837,381
7,291,188,620
103,164,788,055
69,128,900,000
6,912,890,000
491,600,000
244,791,882
150,336,666
886,728,548
6,863,170,949
94,184,558,637
68,578,000,000
6,172,020,000
6,487,351,239
803,837,381
7,291,188,620
378,298,620
5,976,442,401
886,728,548
6,863,170,949
691,150,949
10.55%
2011
Under Basel-II
Required
Holding
5.00%
5.00%
10.00%
9.39%
1.16%
10.55%
10.01%
2010
Under Basel-II
Required
Holding
4.50%
4.50%
9.00%
8.72%
1.29%
10.01%
14.
Statutory reserve
An amount equivlant to 20% of the profit has been transferred to the statutory reserve fund as under :
In Bangladesh
Opening balance
1,651,254,947
1,148,592,394
Add : Addition during the year (20% of operating profit)
149,018,524
502,662,553
Closing balance
1,800,273,471
1,651,254,947
15.
Other reserve
Revaluation on HFT securites
Opening balance
Add : Addition during the year
Less : Adjustment during the year
Closing balance
Fixed Assets Revaluation
Opening balance
Add : Addition during the year
Less : Adjustment during the year
Closing balance
FINANCIALS -2011
In terms of section 13(2) of Bank Companies Act 1991 and Bangladesh Bank BRPD circulars no. 01, 14, 10 and
05 dated 08 January 1996, 16 November 1996, 25 November 2002 and 14 May 2007 respectively and DOS
circular no-05/2008, required capital of the Bank at the close of business on 31 December 2011 is Taka
69,128,900,000 as against available core capital of Taka 6,487,351,239 and supplementary capital of Taka
803,837,381 that is, a total of Taka 7,291,188,620 thereby showing surplus capital/equity of Taka 378,298,620
at that date. Details are shown below:
300,673,331
156,541,460
144,131,871
433,619,919
132,946,588
300,673,331
41,922,889
41,922,889
186,054,760
300,673,331
Annual Report 2011
141

2011
16.
16(a)
Consolidated retained earnings

Premier Money Transfer Company Ltd. Ltd.
17.
17.1
Claims lodged with but not recognised by the Bank;
Money for which the Bank in contingently liable in respect of
guarantees issued favouring
Directors
Government
Banks and other financial institutions
Others
1,410,217,142
461,188,723
813,546,932
1,772,018,163
149,018,524
903,640,790
502,662,553
672,685,400
818,746,551
1,410,217,142
818,746,551
58,048,600
(8,339,646)
868,455,505
1,410,217,142
1,410,217,142
6,229,000
2,182,688,900
16,468,000
3,074,843,173
5,280,229,073
4,252,000
2,181,580,000
15,468,000
3,379,245,427
5,580,545,427
17.2

Litigation pending against the Bank
Value of traveller's cheques
Value of savings certificates
18.
Other Commitments
Undrawn formal standby facilities, credit lines and commitments to lend
Below 3 months
Over 3 months but below 1 year
Over 1 year but below 5 years
Over 5 years
4,049,255,000
Other exchange contracts
4,049,255,000
Income statement
Income
Interest, discount and similar income
8,298,559,188
Dividend income
15,256,598
Fee, commission and brokerage
409,113,937
Gains less losses arising from dealing in foreign currencies
489,239,437
791,509,650
10,003,678,810
Expenses
Interest, fee and commission
5,679,272,997
Losses on loans and advances
868,471,588
Losses on portfolio
695,860,111
Administrative expenses
702,682,638
Other operating expenses
1,156,745,516
Depreciation on banking assets
83,346,524
9,186,379,374
817,299,436
19.
142
Retained earnings
Opening balance
Add: Post-tax profit for the year
Add:Transfer to Classified loans
Add: Off-shore Banking Units
Add: Dividend equalisation reserve
Less: Transfer to statutory reserve
Less: Issue of bonus shares
Less: Cash dividend
Less: Transfer to dividend equalisation reserve
Closing balance
Amount in Taka
2010

Annual Report 2011
535,482,000
535,482,000
1,206,630,900
1,206,630,900
6,805,441,745
16,855,242
373,167,379
336,347,860
718,970,360
8,250,782,586
3,474,331,176
256,238,731
613,023,836
982,132,023
65,072,553
5,390,798,319
2,859,984,267

Interest income
Interest on call loans
Interest received from other banks and financial institutions
Interest received from foreign banks and
Bangladesh Bank F/C accounts
Interest received from customers, other than banks
Interest income on Off-shore Banking Unit
20(a)
Consolidated interest income

21.
Interest paid on deposits, borrowings, etc

Interest paid on deposits
Interest paid on borrowings
Interest paid on Deposit, Off- shore Banking Unit
21(a)
Consolidated interest paid on deposits, borrowings, etc

22.
Investment income
Interest on treasury bills, Bangladesh Bank bills,repo & R.repo
Interest on treasury bonds
Capital gain on sale of investment in shares(note 22.1)
22.1
Gain on sale of shares

Investment in portfolio
DSE & CSE membership
23.

Commission
Exchange earnings
23(a)
Consolidated Commission exchange and brokerage

24.
Other income
Services and other charges
Income from rent of lockers
Postage recoveries
Telex/fax/e-mail charges received
Dividend on shares
Incidental charges
Revaluation for HFT
Income from brokerage operation
Rent on property
Gain on sale of bank's property
Miscellaneous earnings
24(a)
Consolidated 0ther income

Amount in Taka
2010
185,844,444
207,712,858
75,430,247
119,326,625
36,272,738
6,735,177,905
57,835,525
7,222,843,470
16,883,566
4,739,030,456
28,425,414
4,979,096,308
7,222,843,470
194,177,016
7,417,020,486
4,979,096,308
4,979,096,308
5,382,077,629
128,461,230
29,508,550
5,540,047,409
3,372,003,298
88,407,961
13,919,917
3,474,331,176
5,540,047,409
139,225,588
5,679,272,997
3,474,331,176
3,474,331,176
333,140,386
548,348,316
50,000
881,538,702
27,000,733
538,914,451
1,260,430,253
1,826,345,437
50,000
50,000
740,049,253
520,381,000
1,260,430,253
370,137,066
489,239,437
859,376,503
373,167,379
336,347,860
709,515,239
859,376,503
38,731,052
245,819
898,353,374
709,515,239
709,515,239
273,431,346
970,375
19,239,498
21,370,355
15,256,598
23,201,517
163,479,536
18,982,914
11,033,648
727,152
218,492,417
766,185,356
94,609,105
673,164
20,838,169
25,590,644
16,855,242
20,474,563
138,995,521
205,565,100
6,723,467
205,500,627
735,825,602
766,185,356
40,580,892
806,766,248
735,825,602
735,825,602
Annual Report 2011
FINANCIALS -2011
20.
2011
143

144
25.

Basic pay
Allowances
Bonus
Provident fund contribution
Retirement benefits and gratuity
25(a)
Consolidated salary and allowances

PBL Securities Limited
26
Rent, taxes, insurance, electricity, etc.

Rent, rates and taxes
Insurance
Electricity, gas, water, etc
26(a)
Consolidated Rent, taxes, insurance, electricity, etc

27.
Legal expenses
Law charges
Other professional charges
27(a)
Consolidated Legal expenses

28.
Postage, stamp, telecommunication, etc

Telephone
Postage, stamp and swift charges
Telegram, telex, internet, fax and e-mail
28(a)
Consolidated Postage, stamp, telecommunication, etc

29.
Stationery, printing, advertisement, etc

Printing and stationery
Publicity, advertisement, contribution, etc
29(a)
Consolidated Stationary, printing, advertisement, etc


Annual Report 2011
2011
Amount in Taka
2010
256,477,819
297,020,923
84,850,325
21,706,635
25,063,795
685,119,497
216,722,583
238,732,853
79,154,382
18,159,990
54,466,933
607,236,741
685,119,497
11,258,158
2,383,153
698,760,808
607,236,741
607,236,741
493,212,741
37,372,493
51,509,379
582,094,613
399,157,463
31,433,678
39,390,544
469,981,685
582,094,613
32,586,949
3,276,867
617,958,429
469,981,685
469,981,685
8,757,108
683,770
9,440,878
1,132,557
950,422
2,082,979
9,440,878
1,099,110
10,539,988
1,132,557
950,422
2,082,979
6,270,542
17,397,497
7,332,740
31,000,779
5,445,976
16,206,128
6,893,865
28,545,969
31,000,779
118,160
91,961
31,210,900
28,545,969
28,545,969
66,927,349
133,087,976
200,015,325
59,504,349
154,274,879
213,779,228
200,015,325
568,057
72,002
200,655,384
213,779,228
213,779,228

Amount in Taka
2010
30.
3,921,830
3,921,830
5,787,095
5,787,095
31.
Directors' fees
3,125,000
3,125,000
2,810,000
2,810,000
32.

3,584,768
7,575,632
16,068,303
27,228,703
6,957,509
9,725,286
2,109,887
18,792,682
4,226,484
35,377,603
38,645,574
3,863,601
82,113,262
109,341,965
3,945,772
27,386,945
28,934,636
4,805,200
65,072,553
83,865,235
27,228,703
9,400
10,864
27,248,967
18,792,682
18,792,682
82,113,262
1,233,262
83,346,524
110,595,491
65,072,553
65,072,553
83,865,235
3,279,911
8,067,355
2,168,638
7,485,271
20,423,946
4,946,759
3,656,673
17,750
272,465
7,490,929
25,318,600
265,334
142,168,668
709,302
14,234,369
15,654,495
256,160,465
3,408,563
7,362,614
1,428,453
4,263,826
22,243,469
10,649,205
3,642,583
15,750
307,950
5,455,861
18,258,644
237,558
140,463,337
571,744
10,544,825
17,040,954
245,895,336
256,160,465
9,176,187
418,246
265,754,898
245,895,336
245,895,336
(2,154,127)
27,010,000
24,855,873
150,000,000
111,600,000
261,600,000
Repairs:
Office equipment
Renovation and maintenance of premises
Depreciation:
(Annexure - B)
Vehicles
Equipment & Computer
Land and building
32(a)
Consolidated Depreciation and repair of Bank's assets

Repairs:
Depreciation:
33.
Other expenses
Training expenses
Car maintenance
Washing and cleaning
Subscription
Entertainment
Travelling
Conveyance
Cartage and freight
Liveries and uniform
Cash carrying charges
Credit card fees
Remittance charges
Revaluation of HFT
Premium paid to Banks
AGM expenses
Financial assistance
Sundry expenses
33(a)
Consolidated other expenses

Premier Bank Limited (note -33)
34.
Provision against loans and advances

Specific provision
General provision

Annual Report 2011
FINANCIALS -2011
2011
145

2011
35.

Net profit after taxation (Numerator)
Number of ordinary shares outstanding (Denominator)
Amount in Taka
2010
461,188,723
381,861,109
1.21
1,772,018,163
291,497,030
6.08
Earnings per share (EPS) has been calculated in accordance with BAS - 33 : "Earnings per share (EPS)". Previous
year's figures have been adjusted with issuance of 90,364,079 bonus shares (for the year 2010) during the year.
35(a)
Consolidated earnings per share (CEPS)

Net profit after taxation (Numerator)
Number of ordinary shares outstanding (Denominator)
Consolidated earnings per share (CEPS)
510,898,838
381,861,109
1.34
1,772,018,163
291,497,030
6.08
Consolidated earnings per share (CEPS) has been calculated in accordance with BAS - 33 : "Consolidated
earnings per share (CEPS)". Previous year's figures have been adjusted with issuance of 90,364,079 bonus shares
(for the year 2010) during the year.
35.1

Cash generated from operating activities
Average number of ordinary shares outstanding
1,100,796,159
381,861,109
2.88
2,074,062,275
291,497,030
7.12
Net operating cash flow per share (NOCFPS) has been computed by dividing the basic earnings by the number of
ordinary shares outstanding as on 31st December 2011 as per Notification of Securities & Exchange Commission (SEC).
35.1(a) Consolidated net operating cash flow per share (CNOCFPS)
Cash generated from operating activities
Average number of ordinary shares outstanding
Consolidated net operating cash flow per share (CNOCFPS)
1,174,236,235
381,861,109
3.08
2,074,062,275
291,497,030
7.12
Consolidated net operating cash flow per share (CNOCFPS) has been computed by dividing the basic earnings by
the number of ordinary shares outstanding as on 31st December 2011 as per Notification of Securities &
Exchange Commission (SEC).
146
36.
Number of Employees
The number of employees engaged for the whole year or part thereof who received total remuneration of Tk.
36,000 p.a. or above were 1,117.
37.
Highlights of Activities
Paid-up capital
Total capital
Capital surplus/(shortfall)
Total assets
Total deposits
Total loans and advances
Total contingencies
Loan-deposit ratio
Ratio of classified loans against total loans
Profit after tax and provision
Loans classified during the year
Provision against classified loans
Provision surplus
Cost of funds
Profit-earning assets
Non-profit earning assets
Return on investments
Return on assets (profit after tax)
Income from investment
Earnings per share
Net income per share
Price earning ratio (approximate)

Annual Report 2011
3,818,611,102
7,241,479,666
328,589,666
74,780,501,004
60,628,337,429
50,101,109,748
28,213,681,127
82.64%
4.26%
461,188,723
598,800,000
93,316
9.40%
61,739,706,063
13,040,794,941
7.57%
0.62%
881,538,702
1.21
1.21
2.88
25.45 times
2,914,970,312
6,863,170,949
691,150,949
68,240,347,651
54,691,466,383
46,400,574,078
25,944,210,986
84.84%
4.66%
1,772,018,163
600,000,000
7,875,187
7.61%
58,735,574,503
9,504,773,148
17.91%
2.60%
1,826,345,437
6.08
6.08
7.12
10.59 times

Amount in Taka
2010
37(a)
Consolidated Highlights of Activities

Paid-up capital
Total capital
Capital surplus/(shortfall)
Total assets
Total deposits
Total loans and advances
Total contingencies
Loan-deposit ratio
Ratio of classified loans against total loans
Profit after tax and provision
Loans classified during the year
Provision against classified loans
Provision surplus
Cost of funds
Profit-earning assets
Non-profit earning assets
Return on investments
Return on assets (profit after tax)
Income from investment
Earnings per share
Net income per share
Price earning ratio (approximate)
38.
Assets and liabilities at 31 December 2011 denominated in foreign currencies have been converted to local
currency Bangladesh Taka (BDT) at the following exchange rates:
Currency
3,818,611,102
7,291,188,620
378,298,620
74,951,106,927
60,692,971,535
49,774,914,327
28,213,681,127
82.01%
4.28%
510,898,838
598,800,000
93,316
9.40%
61,743,520,642
13,207,586,285
7.37%
0.68%
881,538,702
1.34
1.34
3.08
22.98 times
Abbreviation and unit
British Pound Sterling

European Currency
Canadian Dollar
Australian Dollar
Japanese Yen
US Dollar
Saudi Aribh Riyal
Swiss Franc
GBP
EURO
CAD
AUD
JPY
USD
SAR
CHF
2,914,970,312
6,863,170,949
691,150,949
68,240,347,651
54,691,466,383
46,400,574,078
25,944,210,986
84.84%
4.66%
1,772,018,163
600,000,000
7,875,187
7.61%
58,735,574,503
9,504,773,148
17.91%
2.60%
1,826,345,437
6.08
6.08
7.12
10.59 times
Equivalent BDT
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
126.3183
105.6909
79.8409
82.5300
1.0503
81.7250
21.7928
86.7109
39.
No material events have occurred after the Balance Sheet date that could affect the values reported in the
financial statements.
40.
Figures in these notes and in the annexed financial statements have been rounded off to the nearest Taka.
41.
Wherever considered necessary, previous period figures have been rearranged for the purpose of comparison
with current year's presentation without causing any impact on the profit as well as value of assets and liabilities
as reported in the said financial.
42.
These notes form an integral part of the said financial statements and accordingly are to be read in conjunction
therewith.
Chairman
Director
Director
FINANCIALS -2011
2011
Director
Managing Director

Annual Report 2011
147

Balance Sheet of Islamic Banking Branches as at 31st December 2011
PROPERTY AND ASSETS

Cash
In Bangladesh
Outside Bangladesh
Placement with banks other financial institutions
Invstment in shares & securities
Government
Others
Investments (including bills)
General investment
Annexure A
Amount in Taka
2010
Note
2011
1.1
1.2
30,079,359
678,030
30,757,389
12,305,615
7,904,804
20,210,419
2,650,000,000
2,650,000,000
-
2,200,000,000
2,200,000,000
-
277,305,000
277,305,000
315,800
336,910,000
337,225,800
3,364,251,505
207,781,304
3,572,032,809
1,927,580,632
131,988,301
2,059,568,933
2
2.1
3
3.1
3.2
4
8,016,411
8,884,466
Other assets
3,262,238,091
3,523,327,023
Non-banking assets
Total Assets
9,800,349,700
8,149,216,641
2,550,000,000
2,200,000,000
193,263,534
5,833,056,958
221,357,972
4,894,995,310
706,320,027
17,580,908
6,750,221,427
532,202,178
32,420,235
5,680,975,695
500,128,273
268,240,946

Liabilities

Mudaraba savings deposits
Mudaraba term deposits
Other mudaraba deposits Al - waduah Current deposits and other accounts
Bills payable
Other liabilities
Deferred tax liabilities/(Assets)
Total Liabilities
9,800,349,700
8,149,216,641
624,971,000
36,973,017
256,162,585
163,350,832
1,081,457,434
1,081,457,434
107,655,500
53,064,568
307,666,000
52,671,426
521,057,494
521,057,494
Other commitments
148

Annual Report 2011

Annexure A
Profit and Loss Statement of Islamic Banking Branches

for the year ended 31st December 2011
Note
2011
Amount in Taka
2010
OPERATING INCOME
Investment income
973,343,375
503,354,307
Profit paid on deposits, borrowings, etc
10
(684,327,955)
(364,568,597)
289,015,420
138,785,710
20,338,063
10,151,601
Net investment income

11
12
Total operating income (A)
17,774,045
15,607,256
327,127,528
164,544,567
13
21,074,463
19,504,004
Rent, taxes, insurance, lighting, etc
14
6,544,990
6,209,543
Legal expenses
15
16
912,958
1,033,672
17
1,512,700
1,658,615
Other expenses
18
Total operating profit (C=A-B)
1,064,951
1,047,480
860,729
32,155,470
30,331,514
294,972,058
134,213,053
FINANCIALS -2011
Total operating expenses (B)
1,062,879

Annual Report 2011
149

Notes to financial statements of Islamic Banking Branches

1.
1.1
Cash
Cash in hand
In local currency
In foreign currency
1.2
Note
2011
Amount in Taka
2010
30,012,572
66,787
30,079,359
11,036,296
1,269,319
12,305,615
678,030
678,030
30,757,389
7,904,804
7,904,804
20,210,419
2,650,000,000
2,650,000,000
2,200,000,000
2,200,000,000
1,400,000,000
400,000,000
200,000,000
200,000,000
450,000,000
2,650,000,000
1,400,000,000
400,000,000
200,000,000
200,000,000
2,200,000,000
Balance with Bangladesh Bank

In local currency
In foreign currency
2.

In Bangladesh
Outside Bangladesh
2.1
In Bangladesh
AB Bank Limited
Bank Asia limited
Export Import Bank Limited
Shahjalal Islami Bank Ltd.
First Security Islami Bank Ltd.
3.
Investment in shares and securities
3.1
Treasury bills
Bangladesh Bank bills
Treasury bonds
Repo
Prize bonds
3.2
Others
In shares and bonds (quoted and unquoted)
Quoted
Islamic Investment Bond
Investment in Shares (Islami)
Unquoted
150
4.
Investments (including bills)

General investment
5.

Land and Building
Vehicles

Annual Report 2011
315,800
315,800
277,305,000
277,305,000
336,910,000
336,910,000
277,305,000
337,225,800
3,364,251,505
207,781,304
3,572,032,809
1,927,580,632
131,988,301
2,059,568,933
5,257,285
2,759,126
8,016,411
0
5,785,087
3,099,379
8,884,466

Note
6.
Other assets
Head Office general account
Adjusting account
Stock of stationery
Stamp in hand
Advance against interior decoration
Suspense A/c
Prepaid expenses
Sundry assets
7.

Outside Bangladesh
7.1
In Bangladesh
Bangladesh Bank (Refinance facility)
8.
Other liabilities
Adjusting account
Profit receivable on investment
Interest suspense A/c
Investment compensation
9.
Investment income
Profit received from customers other than banks
Profit received on Head Office general account
Profit received on deposit with other banks
Gain on sale of share
10.
Profit paid on deposits, borrowings, etc

Profit paid on deposits
11.

Commission
Exchange earnings
12.
Other income
Services and other charges
Postage recovers
Telex/fax/e-mail charges received
Incidental charges
Dividend on Share
Miscellaneous earnings
13.

Basic pay
Allowances
Bonus
Provident fund contribution
2011
Amount in Taka
2010
3,179,174,654
78,806,190
535,068
88,413
14,000
33,815
86,228
3,499,723
3,262,238,091
3,457,080,662
60,900,626
554,854
68,028
14,000
25,150
4,683,703
3,523,327,023
2,550,000,000
2,550,000,000
2,200,000,000
2,200,000,000
2,550,000,000
2,550,000,000
2,200,000,000
2,200,000,000
492,545,013
83,233
7,500,027
500,128,273
165,283,889
102,093,404
68,806
794,847
268,240,946
350,048,964
455,294,053
168,000,358
973,343,375
185,119,494
236,494,363
71,740,450
10,000,000
503,354,307
684,327,955
684,327,955
364,568,597
364,568,597
16,908,905
3,429,158
20,338,063
7,392,449
2,759,152
10,151,601
7,545,110
566,469
752,828
1,345,780
547,270
7,016,588
17,774,045
7,903,782
490,677
657,763
1,298,319
5,256,715
15,607,256
8,521,168
9,064,212
2,726,512
762,571
21,074,463
7,660,230
8,403,003
2,746,211
694,560
19,504,004
Annual Report 2011
FINANCIALS -2011

151


Note
14.

Rent, rates and taxes
Insurance
Electricity, gas, water, etc
15.
Postage, stamp, telecommunication, etc

Telephone
Postage, stamp and swift charges
Telegram, telex, fax and e-mail
16.

Printing and stationery
Publicity and advertisement
17.

Repairs:
Office equipment
Renovation and maintenance of premises
Depreciation:
Vehicles
Office equipment
18.
152
Other expenses
Washing and cleaning
Subscription
Entertainment
Travelling
Conveyance
Liveries and uniform
Cash carrying charges
Sundry expenses

Annual Report 2011
2011
Amount in Taka
2010
3,459,859
2,400,944
684,187
6,544,990
3,386,994
2,226,441
5 96,108
6,209,543
177,388
340,312
545,179
1,062,879
217,265
139,839
707,847
1,064,951
905,457
7,501
912,958
1,001,283
32,389
1,033,672
9,938
316,278
8,640
334,856
17,034
264,883
125,750
407,667
565,370
612,474
1,177,844
1,512,700
619,109
631,839
1,250,948
1,658,615
92,312
22,991
323,177
195,025
53,659
7,850
206,163
146,303
1,047,480
15,264
26,389
265,646
165,280
80,768
9,000
186,630
111,752
860,729

Annual Report 2011
153
305,745,283
937,956,404
749,908,990
Total at 31 December 2011
Total at 31 December 2010
32,589,694
398,685,308
Vehicles
200,936,119
At
01 Jan 2011
Land and Building
Particulars
Details of fixed assets at 31st December 2011
188,047,414
645,896,783
2,057,069
100,807,342
115,633,060
427,399,312
Additions
during
the year
Cost
937,956,404
1,583,853,187
34,646,763 20
406,552,625 20
514,318,368 10
628,335,431 2.5
Total at
Rate
31 December (%)
2011
FINANCIALS -2011
Adjustment
during
the year
3,863,601
Charge
for the year
4,226,484
220,358,976 65,072,553
285,431,529 82,113,262
26,383,113
140,213,870 38,645,574
112,504,226 35,377,603
6,330,320
Balance on
01 Jan 2011
4,037,166
227,693,181
366,436,539
618,141,510
285,431,529
652,524,875
367,544,791 1,216,308,396
30,609,597
178,859,444
147,881,829
10,193,921
Written Down
Adjustment Total balance at
Value at
for disposal
31 December 31 December 2011
during the year
2011
Depreciation
Amount in Taka
Annexure B

154

Annual Report 2011
2001-2002
2002-2003
2003-2004
2004-2005
2005-2006
2006-2007
2007-2008
2008-2009
2009-2010
2010-2011
2011-2012
2012-2013
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
Total
Assessment
year
Accounting
year
3,302,510,508
335,712,079
591,542,675
577,320,969
451,398,452
330,881,559
332,892,485
385,352,222
177,475,419
64,508,955
49,654,000
2,522,721,247
557,791,520
429,459,338
417,870,279
347,908,111
456,618,189
198,415,810
63,810,585
48,047,507
2,799,908
Taka
Taka
5,771,693
Tax as per
assessment order
Tax provision
as per accounts
Statement of Tax Position
(147,465,493)
19,529,449
21,939,114
(86,988,720)
(15,015,626)
(71,265,967)
(20,940,391)
698,370
1,606,493
2,971,785
Taka
Excess/(Shortage)
of provision
Return to be submitted
Return filed but assessment not yet completed
Return filed but assessment not yet completed
Appeal filed and pending
Appeal filed with High Court
Assessment completed
Present status
Annexure C


Name of Directors and the entities in which they had interest as at 31st December 2011
Annexure D
Sl.
No.
Name
Designation
Entities where they had interest
Position
1.
Dr. H. B. M. Iqbal
Chairman
Premier Group of Companies Ltd.

Premier Hotel & Resort Ltd.
Premier Hotel Management Co. Ltd.
Bengal Tiger Cement Industries Ltd
Premier Technology & Holdings Ltd.
ATAB Centre Ltd.
Air Concern International
Bukhara Restaurant (Pvt) Ltd.
Banani Travels & Tours Ltd.
The Premier Tele Link Ltd.
Beacon Travel In't Ltd.
Centaur Limited.
Nawrin Electronics Ltd.
Iqbal Centre
Concern International
Chairman
Chairman
Chairman
Chairman
Chairman
Chairman
Chairman
Chairman
Chairman
Chairman
Managing Director
Managing Director
Managing Director
Proprietor
Proprietor
2.
Mr. B. H. Haroon
Vice
Chairman
Al Arab Enterprise International

Benlub (Pvt) Ltd.
Bukhara Resturant (Pvt) Ltd.
Purabi General Insurance
Al-Humyra Group :
Al-Humyra Health Center Ltd.
Al-Humyra Development Ltd.
Al-Humyra Trade International
Al-Humyra Aviation Service
Al-Humyra Shipping
Proprietor
Chairman
Managing Director
Vice Chairman
Sponsor Director
100
20
15
15
5
Chairman
Chairman
Chairman
Chairman
Chairman
50
50
50
50
50
Premier Property Development Co. Ltd.

Bentley Sweater Ltd.
Air Concern International Ltd.
ATAB Centre Ltd.
Chairman
Chairman
Managing Director
Managing Director
Managing Director
Director
Director
Director
Director
Director
Envoy Garments Ltd.

Armour Garments Ltd.
Nadia Garments Ltd.
Pastel Apparels Ltd.
Astras Garments Ltd.
Regal Garments Ltd.
Epoch Garments Ltd.
Supreme Apparels Ltd.
Dornick Apparels Ltd.
Fontina Fashions Ltd.
Manta Apparels Ltd.
Envoy Fashions Ltd.
Envoy Design Ltd.
Laundry Industries Ltd.
Envoy Textiles Ltd.
Orex Network Ltd.
National System Solutions (Pvt) Ltd.
Information Technology Consultants Ltd.
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Vice Chairman
50
50
50
50
50
50
50
50
50
50
50
50
50
50
4
50
50
9
3.
4.
Mr. Moin Iqbal
Mr. Abdus Salam

Murshedy
Director
Director
Interest
(%)
FINANCIALS -2011

Annual Report 2011
155

Sl.
No.
156
Name
Designation
Annexure D
Position
Regional Power Ltd.

OIA Global Logistics (BD) Ltd.
Advanced Comtech Machines Ltd.
Lunar International Ltd.
Emerald Trading Ltd.
Geocentric Ltd.
Pinata Air International Ltd.
Peridot International Ltd.
KSM Preserves Ltd.
Envoy Shipping Ltd.
Envoy LPG Products Ltd.
Machinery Products Ltd.
Niloy Apartment Ltd.
New Energy Solutions Ltd.
Envoy Air Services Ltd.
Envoy Products Ltd.
Envoy Packages Ltd.
Envoy Towers Ltd.
Olio Apparels Ltd.
Building Products Ltd.
Sharmin Holdings Ltd.
Sports Media Ltd.
Sheltech Suit (Pvt) Ltd.
Sheltech Cond. (Pvt) Ltd.
Square Hospitals Ltd.
Vice Chairman
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Managing Director
Director
Director
Director
25
38
50
33
33
20
33
50
33
50
50
50
50
40
30
50
50
50
50
50
80
25
8
14
5
Managing Director
Proprietor
40
5.
Mr. Shafiqur
Rahman
Director
Rupsha Tyres & Chemical Ltd.

Rupsha Rubber Industries
Mrs. Nawrin Iqbal
Director

Managing Director
Vice Chairman
Vice Chairman
Director
Director
Premier Hotel Management Company Ltd.
Director
Centaur Ltd.
Director
Director
ATAB Centre Ltd.
Director
Gulf Medical Centre Ltd.
Director
Bengal Tiger Cement Ind.Ltd.
Director
7.
Mrs. Shaila Shelly Khan
Director
8.
Mr. Yeh Cheng Min
Director
9.
Mr. Md. Masud Zaman
Director
10.
Mr.Shah Md. Nahyan Haroon Director

Annual Report 2011
Interest
(%)
Alita (BD) Ltd.

Ace Bicycle (BD) Ltd.
Van Green (BD) Ltd.
Chairman
Managing Director
Chairman
70
70
70
Baly Yarn Dyeing Ltd.

Baly Plastic Industries Ltd.
Baly Shrimp Hatchery
Baly PVC and Rubber Industries Ltd.
Managing Director
Director
Managing Partner
Director
28.75
30.90
29
12.50
Managing Director
25

Name
11. Mr. Mohammad Imran Iqbal
12. Mr. Md. Lutfur Rahman
13. Ms. Parsa Sanjana Amin

14. Mr. Kazi Abdul Mazid
Designation
Director
Director
Director
Independent
Director

ATAB Centre Ltd.
Al-Khalig Travels Ltd.
Thai Terrace
Nirvana Builders International
Beacon Enterprise
Nirvana Builders Ltd.
MBF Clothing Ltd.
Isamoti Somaj Unnayan Uddog
Armah Fashions
Position
Interest
(%)
Managing Director
Add.Managing Director
Director
Director
Director
Director
Director
Director
Director
Proprietor
Proprietor
Proprietor
Managing Director
Director
75
5
Director
Secretary
Proprietor
FINANCIALS -2011
Sl.
No.
Annexure D

Annual Report 2011
157
Details of borrowers for charges on loan losses

Annexure E
(Amount in Taka)
Name of Borrowers
Sl. No.
158
Amount charges
Akther Enterprise
Ornate Service Ltd.
CARDONA APPARELS LTD
33,627,739
RAZEEN CORPORATION
10,250,991
Monsur & Brothers
13,150,841
Khandakar Business Intl
15,903,979
MamPower Limited
20,000,000
B.M. Steel Mills Pvt. Ltd.
24,365,339
M/s. Shagorika Trading
8,679,716
10
M/s. Ashraf Enterprise
39,093,554
11
M/s. Laskar Traders
27,918,194
12
M/s. Laskar Filling Station
13
K.I.C.L.
14
Kazi Enterprise
15
Pubali Construction
61,671,340
16
Rising Construction
74,278,892
17
Rumi Enterprise
46,119,577
18
RE-KICL-JV
19
Nirman Shilpi
11,664,662
20
N. Amin & Sons
46,079,495
21
STAR SWEATER LTD.
88,616,452
22
MAINUDDIN
2,472,876
23
Prianka Enterprise
2,873,063
24
Nurul Haque
106,144
25
Jasiah Hasnah
85,946
26
Prianka Enterprise
95,957
27
Ahmed Shakur
28
Nayeem Mashreki
85,040
29
Abu Sayeed Mostafa Jamal
95,232
30
M. S. H. Garments
31
Khlilur Rahman
102,557
32
Rafiqul Islam
717,426
33
Consumer Credit
128,720,000
Total
868,471,588

Annual Report 2011
14,805,543
150,000,000
2,110,702
26,060,332
9,152,135
8,301,050
100,218
1,166,596

Annual Report 2011
159
Ayesha Washing, Ayesha Clothing Co. Ltd.

& Cortz Apparels Ltd.
Shade group
Abul Khair Group
Orascom Telecom Bangladesh Limited
S. Alam Trading Co. Ltd.
Sinha Denim Limited
M. I. Yarn Dyeing Limited
Ashiyan Lands Development Ltd.
Gazi Auto Tyre
Excel Tele-com (Pvt) Ltd.
10
Borrower Name
Sl No.
Top-10 Borrowers as on 31.12.2011
FINANCIALS -2011
Total
60763.06
5611.76
4579.01
7223.63
6827.05
6688.45
8067.61
7558.30
7208.27
4042.71
2956.27
Funded
30775.89
1356.00
2534.13
0.00
1068.82
1302.81
0.00
524.22
1311.00
5109.66
17569.25
Non-Funded
Total
91538.95
6967.76
7113.14
7223.63
7895.87
7991.26
8067.61
8082.52
8519.27
9152.37
20525.52
Oustanding as on 31.12.2011
46196.00
10231.00
7793.00
7591.00
20581.00
Oustanding
as on 31.12.2010
(Amount in lac)
Annexure G



Particulars
Notes
PROPERTY AND ASSETS

Cash
Balance with Bangladesh Bank and its agent bank (s)
In Bangladesh
Outside Bangladesh
Loans and advances
Loans, cash credits, overdrafts, etc.
Other liabilities
Total liabilities
Capital / Shareholders' equity
Paid up capital
Statutory reserve
Foreign currency gain
Other reserve
Deficit in profit and loss account / Retained earnings
Total Shareholders' equity
Total liabilities and Shareholders' equity
160

Annual Report 2011
2011
4
5

Other assets
Non - banking assets
Total assets
Liabilities
Current deposits
Bills payable
Savings bank deposits
Term deposits
Sundry Deposit
USD
Taka
2010
USD
Taka
473,149
38,668,129
286,255
19,995,287
473,149
38,668,129
286,255
19,995,287
6,156,788 503,163,499
7,053,915 576,481,203
13,210,703 1,079,644,703
13,683,852 1,118,312,832
9,999,971 708,352,119
10,628,580 752,879,917
20,628,552 1,461,232,036
20,914,806 1,481,227,323
29,045
6,078,467
62,460
6,169,972
2,373,703
496,762,716
5,104,544
504,240,962
10,076,437
10,076,437
713,663,617
713,663,617
7,167,267 585,744,896
13,337,239 1,089,985,857
10,632,661 753,058,209
20,709,097 1,466,721,826
346,613
28,326,975
346,613
28,326,975
13,683,852 1,118,312,832
205,709
14,505,497
205,709
14,505,497
20,914,806 1,481,227,323

Particulars
Notes
USD
2011
Taka
2010
USD
Taka
OFF-BALANCE SHEET ITEMS

9
Other commitments
Documentary credits and short term trade -related transactions
Forward assets purchased and forward deposits placed
Undrawn formal standby facilities , credit lines and other commitments
Liabilities against forward purchase and sale
Other commitments
Other memorandum items

Value of travellers' cheques in hand
Value of Bangladesh sanchay patras in hand
Total Off-Balance Sheet items including contingent liabilities

Annual Report 2011
161
FINANCIALS -2011
Contingent liabilities


Profit and Loss Account
Particulars
Interest income
Interest paid on deposits, borrowings, etc.
Net interest
Commission, exchange, brokerage, etc.
Total operating income (A)
2011
Taka
2010
USD
Taka
57,835,525
(29,508,550)
28,326,975
28,326,975
403,113
(197,404)
205,709
205,709
28,425,413
(13,919,917)
14,505,497
14,505,497
Salaries and allowances

Rent, taxes, insurance, electricity, etc.
Legal expenses
Postage, stamp, telecommunication, etc.
Stationery, printing, advertisements, etc.
Auditors' fees
Other expenses
Total operating expenses (B)
Profit / (loss) before provision (C=A-B)
Provision for loans and advances / investments
Specific provision
General provision
346,613
28,326,975
205,709
14,505,497
Provision for diminution in value of investments

Other provision
Total provision (D)
Total profit / (loss) before taxes (C-D)
Current tax
Deferred tax

Annual Report 2011
10
11
USD
707,685
(361,071)
346,613
346,613
Net profit / (loss) after taxation

Retained earnings brought forward from previous years
162
Notes
346,613
28,326,975
205,709
14,505,497
346,613
346,613
28,326,975
28,326,975
205,709
205,709
14,505,497
14,505,497


Cash Flow Statement
Particulars
Increase / (decrease) in operating assets and liabilities

Loans and advances to other banks
Other assets
Deposits from other banks / borrowings
Other liabilities
Net cash from operating activities
C)
D)
E)
F)
G)
Taka
USD
2010
Taka
Cash flows from operating activities

Interest receipts in cash
Interest payments
Fees and commission receipts in cash
Cash payments to employees
Cash payments to suppliers
Cash generated from operating activities before changes
in operating assets and liabilities
B)
2011
707,685
-
57,835,525
-
403,113
-
28,425,413
-
(361,071)
(29,508,550)
(197,404)
(13,919,917)
346,613
28,326,975
205,709
14,505,497
7,417,849 606,223,710
(3,906,465) (319,255,852)
(3,465,394) (283,209,325)
45,990
3,758,533
392,603
32,085,508
Cash flows from investing activities

Purchase / sale of property, plant and equipment
Proceeds from sale of property, plant and equipment
Net cash used in investing activities
Cash flows from financing activities

Borrowing from Premier Bank Limited
Profit transferred to HO
Net Cash from financing activities
Net increase / (decrease) in cash and cash equivalents (A+B+C)

Effects of exchange rate changes on cash and cash equivalents
Cash and cash equivalents at end of the year (D+E+F)
Cash and cash equivalents at end of the year
Cash in hand (including foreign currencies)
Balance with Bangladesh Bank and its agent bank (s)
392,603
80,546
473,149
473,149
473,149
32,085,508
1,092,831
5,489,790
38,668,129
38,668,129
38,668,129
(20,628,552) (1,461,232,036)
10,076,437
713,663,617
10,632,661
753,058,209
80,546
5,489,790
286,254
19,995,287
-
(205,709)
(205,709)
(14,505,497)
(14,505,497)
80,545
80,545
5,489,790
5,489,790
80,545
80,545
5,489,790
5,489,790

Annual Report 2011
163
FINANCIALS -2011
A)
USD


Notes to the Financial Statements
164
1.1
Status of the units

Off-shore Banking Units of Premier Bank Limited, governed under the rules and guidelines of
Bangladesh Bank. The Bank obtained permission to operate 02(Two) Off-shore Banking Unit in
Dhaka EPZ and Chittagong EPZ vide letter no. BRPD (P3) 744 (102)/2009-4138 dated 10 November
2009. The Bank commenced the operation of its Off-shore Banking Unit from 07 December, 2009
from the Head Office. Presently 01 (one) unit is operating at full-fledged from Banani Branch
premises from July 2011.
1.1.1
Principal activities
The principal activities of the units are to provide all kinds of commercial banking services to its
customers ez. non-resident individuals/institutions specially of Export Processing Zone.
1.2
Significant accounting policies and basis of preparation of financial statements
1.2.1
Basis of accounting
The Off-shore Banking Units maintain its accounting records in USD from which accounts are
prepared according to the Bank Companies Act 1991, Bangladesh Accounting Standards and other
applicable directives issured by Bangladesh Bank.
1.2.2
Use of estimates and judgements

The preparation of financial statements requires management to make judgements, estimates and
assumptions that affect the application of accounting policies and the reported amounts of assets,
liabilities, income and expenses. Actual results may differ from these estimates.
Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting
estimates are recognised in the period in which the estimate is revised and in any future periods
affected.
1.2.3
Foreign currency transaction

Foreign currency transactions are converted into equivalent Taka using the ruling exchange rates on
the dates of respective transactions as per BAS-21" The Effects of Changes in Foreign Exchange
Rates". Foreign currency balances held in US Dollar are converted into Taka at weighted average rate
of inter-bank market as determined by Bangladesh Bank on the closing date of every month. Balances
held in foreign currencies other than US Dollar are converted into equivalent US Dollar at buying
rates of New York closing of the previous day and converted into Taka equivalent.
1.2.4
Cash flow statement

Cash flow statement has been prepared in accordance with the Bangladesh Accounting Standard-7 "
Cash Flow Statement" under direct method as recommanded in the BRPD Circular No. 14, dated
June 25, 2003 issued by the Banking Regulation & Policy Department of Bangladesh Bank.
1.2.5
Reporting period
These financial statements cover from January 01 to December 31, 2011.
General
1) These financial statements are presented in Taka, which is the Bank's functional currency.
Figures appearing in these financial statements have been rounded off to the nearest Taka.
2) Profit Transferred into Taka Currency @ US$1 = Taka 81.7250 at mid rate of December 31, 2011
Annual Report 2011

USD
3.

In Bangladesh (note-3.1)
Outside Bangladesh (note-3.2)
3.1
In Bangladesh
3.2
Outside Bangladesh (Nostro accounts)

Current account
4.
2011
Taka
USD
2010
Taka
473,149
473,149
38,668,129
38,668,129
286,255
286,255
19,995,287
19,995,287
473,149
38,668,129
286,255
19,995,287
Loans and advances

i) Loans, cash credits, overdrafts, etc.
Loan (General)
Lease finance
T.R Loan
6,156,788
6,156,788
503,163,499
503,163,499
9,999,971
9,999,971
708,352,119
708,352,119
ii) Bills purchased and discounted (note-5)
5.
7,053,915 576,481,203
7,053,915 576,481,203
13,210,703 1,079,644,703
10,628,580
752,879,917
10,628,580
752,879,917
20,628,552 1,461,232,036

Payable in Bangladesh
Payable outside Bangladesh
6.

Bank deposits
Customer deposits and other accounts (note-6.1)
6.1
Customer deposits and other accounts

Current deposits
Foreign currency deposits
Security deposits receipts
Sundry deposits
7.
Other liabilities
Interest on bills discount
Interest on borrowing
Accrued interest on FDR
Head Office DEPZ Dollar Account
8.
Retained earnings
Balance 1 Januray
Less: foreign currency translation gain for last year
Addition during the year
Add: foreign exchnage gain
7,053,915
7,053,915
576,481,203
576,481,203
10,628,580
10,628,580
752,879,917
752,879,917
6,169,972
6,169,972
504,240,962
504,240,962
10,076,437
10,076,437
713,663,617
713,663,617
29,045
6,078,467
62,460
6,169,972
2,373,703
496,762,716
5,104,544
504,240,962
10,076,437
10,076,437
713,663,617
713,663,617
40,267
7,127,000
7,167,267
3,290,821
582,454,075
585,744,896
112,381
10,520,280
10,632,661
7,959,378
745,098,831
753,058,209
346,613
346,613
346,613
346,613
28,326,975
28,326,975
28,326,975
28,326,975
205,709
205,709
205,709
205,709
14,505,497
14,505,497
14,505,497
14,505,497

Annual Report 2011
165
FINANCIALS -2011
Payable Inside Bangladesh

Inland bills purchased
Payable Outside Bangladesh
Foreign bills purchased and discounted

USD
9.
Contingent liabilities
9.1
Acceptance & endorsement

Back to Back bills
Less: Margin
9.2
Letters of credits
Letters of credits
Customer liabilities PAD
Back to Back letter of credit
Less: Margin
9.3
Letters of guarantee (Local)
Letters of guarantee (Foreign)
Foreign counter guarantees
Less: Margin
9.4

Outward local bills for collection
Outward foreign bills for collection
Inward local bills for collection
Inward foreign bills for collection
Less: Margin
10.
Interest income
Loan (general)
LTR loan
Lease finance
Payment against documents
Commission on bills purchased
Others
Interest on loans and advances
Interest on balance with other banks and financial institutions
Interest received from foreign banks
Total Interest income
11.
166
Interest on deposits, borrowings, etc.

a) Interest paid on deposits
b) Interest paid on local bank accounts
c) Interest paid on foreign bank accounts

Annual Report 2011
2011
Taka
USD
2010
Taka
706,543
736
405
707,685
57,742,254
60,184
33,086
57,835,525
294,812
108,300
403,113
20,788,629
7,636,784
28,425,413
707,685
57,835,525
403,113
28,425,413
361,071
361,071
29,508,550
29,508,550
197,404
197,404
13,919,917
13,919,917
PREMIER BANK SECURITIES LTD.

Iqbal Center (12th Floor)
42,Kamal Ataturk Avenue,
Banani,Dhaka-1213

AUDITORS' REPORT AND FINANCIAL STATEMENTS
FINANCIALS -2011
For the year ended December 31, 2011
Contents
*
*
*
*
*
*
Auditors' Report
Statement of Financial Position
Statement of Comprehensive Income
Statement of Changes in Equity
Statement of Cash Flows
Notes to the Financial Statements
K. M. HASAN & CO.
Home Town Apartment (8th & 9th Floor)
87, New Eskaton Road, Dhaka-1000
Phone : 9351457, 9351564
Fax : 88-02- 9345792
Web: kmhasan.com

Annual Report 2011
167
AUDITORS' REPORT TO THE SHAREHOLDERS

OF
We have audited the accompanying financial statements of PREMIER BANK SECURITIES LTD., which
comprise the statement of financial position as at December 31, 2011, the statement of comprehensive
income, statement of changes in equity for the year ended December 31, 2011 and statement of cash flows
for the year then ended and a summary of significant accounting policies and other explanatory information.
Management's Responsibility for the Financial Statements
Management of PREMIER BANK SECURITIES LTD. is responsible for the preparation and fair presentation of
these financial statements in accordance with Bangladesh Financial Reporting Standards (BFRS), and for such
internal control as management determines is necessary to enable the preparation of financial statements that
are free from material misstatement, whether due to fraud or error.
Auditor's Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit. We conducted
our audit in accordance with Bangladesh Standards on Auditing (BSA). Those standards require that we
comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the
financial statements. The procedures selected depend on the auditor's judgement, including the assessment
of the risks of material misstatement of the financial statements, whether due to fraud or error. In making
those risk assessments, the auditor considers internal control relevant to the entity's preparation and fair
presentation of the financial statements in order to design audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal
control. An audit also includes evaluating the appropriateness of accounting policies used and the
reasonableness of accounting estimates made by management, as well as evaluating the overall presentation
of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our
audit opinion.
Opinion
In our opinion, the financial statements, prepared in accordance with Bangladesh Financial Reporting
Standard (BFRS), give a true and fair view of the financial position as at December 31, 2011 and its financial
performance for the period from April 20, 2011 to December 31, 2011 and its cash flows for the period then
ended and comply with the Companies Act 1994, the Securities and Exchange Act 1993, the Securities and
Exchange Rules 1987, conditions and regulations issued by the Securities and Exchange Commission and
other applicable laws and regulations.
We also report that:
(a) we have obtained all the information and explanations which to the best of our knowledge and belief
were necessary for the purposes of our audit and made due verification thereof;
(b) in our opinion, proper books of account as required by law have been kept by the company so far as it
appeared from our examination of those books;
(c) the company's statement of financial position and statement of comprehensive income dealt with by
the report are in agreement with the books of account.
Dhaka, Bangladesh
Date : March 18, 2012
168

Annual Report 2011
K. M. HASAN & CO.


Statement of Financial Position
As at December 31, 2011
Notes
Amount in Taka
2011
ASSETS
Non-current assets
Fixed assets
Investment in membership
4
5
106,300
830,000,000
830,106,300
Current assets
Advances, deposits & prepayments
Accounts receivable
Cash and cash equivalents
6
7
8
7,201,592
1,515,454,579
150,051,011
1,672,707,182
2,502,813,482
500,000,000
58,049,761
558,049,761
10
11
12
1,841,650,000
64,634,106
38,479,615
1,944,763,721
2,502,813,482
Total assets
Capital and reserves

Share capital
Retained earnings
Current liabilities
Borrowing from PBL
Accounts payable
Provision for expenses
Total equity and liabilities
FINANCIALS -2011
EQUITY AND LIABILITIES
(The annexed notes form an integral part of these financial statements)

For Premier Bank Securities Ltd.
Director
Managing Director
Signed in terms of our report of even date annexed.
Dhaka, Bangladesh
K. M. HASAN & CO.


Annual Report 2011
169
Statement of Comprehensive Income

For the period from April 20 to December 31, 2011
Notes
Revenue
Less: Direct expenses
Gross profit
Less: Operating expenses
Operating profit / (Loss)
Add: Other income
13
14
15
16
Less: Financial expenses

Net profit before tax
Less: Provision for income tax
Net profit after tax transferred to retained earnings
17
18
Amount in Taka
2011
47,831,596
7,953,075
39,878,521
45,763,835
(5,885,315)
225,657,363
219,772,049
139,225,588
80,546,460
22,496,700
58,049,761
(The annexed notes form an integral part of these financial statements)

Director
Managing Director
Dhaka, Bangladesh
170

Annual Report 2011
K. M. HASAN & CO.


Statement of Changes in Equity
Amount in Taka
Particulars
Share capital
Retained earnings
Issue of share
500,000,000
Profit for the year
500,000,000
Total
500,000,000
58,049,761
58,049,761
58,049,761
558,049,761
Managing Director
FINANCIALS -2011
Director
Dhaka, Bangladesh
K. M. HASAN & CO.


Annual Report 2011
171

Statement of Cash Flows
Amount in Taka
2011
A.
B.
C.
Cash flows from operating activities

Increase in Advances, deposits & prepayments
Increase in accounts receivable
Increase in accounts payable
Increase in provision for expenses
Net Cash flow from Operating activities
58,049,761
(7,201,592)
(1,515,454,579)
64,634,106
38,479,615
(1,361,492,689)
Cash flow from investing activities

Purchase of fixed assets
Investment in membership
Net Cash flow from investing activities
(106,300)
(830,000,000)
(830,106,300)
Cash flow from financing activities

Share capital
Borrowing from PBL
Net cash flow from financing activities
500,000,000
1,841,650,000
2,341,650,000
Increase/(decrease) in cash and cash equivalents (A+B+C)

Opening cash and cash equivalents
Closing cash and cash equivalents
150,051,011
150,051,011
Director
Managing Director
Dhaka, Bangladesh
172

Annual Report 2011
K. M. HASAN & CO.


Notes to the financial statements
1.
Introduction
PREMIER BANK SECURITIES LTD. was incorporated on 29 June, 2010 as a private limited company
under the Companies Act 1994 vide certification of incorporation no. C-85332/10 dated 29 June 2010.
The registered office of the company is at Iqbal Center (3rd Floor) 42,Kamal Ataturk Avenue, Banani,
Dhaka-1213, Bangladesh.
2.
Principal activities
The main objects of the company is to act as Stock Broker and Stock Dealer to buy sell and deal in
shares, stocks, debentures, bonds and other securities, and to carry on any business as is permissible
for a broker and dealer house duly licensed by the Securities & Exchange Commission of Bangladesh
as described in the Memorandum and the Articles of Association of Premier Bank Securities Ltd.
3.
Significant accounting policies
FINANCIALS -2011
The financial statements have been prepared on a going concern concept under historical cost
convention in accordance with the International Accounting Standards (IASs)/ International Financial
Reporting Standards (IFRSs), applicable to the company as adopted by the Institute of Chartered
Accountants of Bangladesh as Bangladesh Accounting Standards (BASs) / Bangladesh Financial
Reporting Standards (BFRSs).
The disclosures of information have been made in accordance with the requirements of the above
mentioned standards and in compliance with the Companies Act 1994 and the statement of financial
position has been prepared according to BAS- 1 (Presentation of Financial Statement) based on accrual
basis and other applicable laws and regulations.
3.1
Depreciation on fixed assets

Depreciation has not been charged during the period.
3.2

Cash and cash equivalents include cash in hand and cash at banks which are available for use by the
Company without any restrictions. There is no significant risk of change in value of the same. Cash in
hand, Head Office & all Branches certified by the management.
3.3
Statement of cash flows

Statement of cash flows is prepared principally in accordance with BAS-7 "Statement of Cash Flows".
The statement of cash flows has been prepared under indirect method.
3.4
General
i)
These notes form an integral part of the annexed financial statements and accordingly are to be
read in conjunction therewith.
ii)
Figures in these notes and annexed financial statements have been rounded off to the nearest
Taka.

Annual Report 2011
173
K. M. HASAN & CO.

4.
Fixed assets
This represents of :
Office Equipment- Head Office
Office Equipment- Kakrail
Office Equipment- Motijheel
Office Equipment- Kalabagan
Office Equipment- Kawran Bazar
TWS Software-DSE
Electrical Equipments- Kawran bazar
5.
Investment in Membership
Membership License-DSE
Membership License-CSE
6.
Advances, deposits & prepayments

Security Deposit against Clearing House-CSE
AIT through DSE
AIT against Interest Income on Bank Deposit
7.
Accounts Receivable
This is consisted of :
Receivable from DSE- Normal
Receivable from CSE- Normal
Receivable from Clients (Margin Loan)
Interest Receivable:
from Bank Accounts
from Margin Loan
Management Fees Receivable from Margin Loan
8.

Cash in hand (8.1)
Cash at Bank (8.2)
8.1
Cash in hand
Head Office
Gulshan Extended Office of HO
Kakrail
Kawran Bazar
Kalabagan
Motijheel
O. R. Nizam Road (Ctg.)
8.2
Cash at Bank
The Premier Bank Ltd. (Banani Branch)
STD Account No. 1026
Revenue Account No. 2810
Revenue Account No. 2817
The City Bank Ltd. (Banani Branch)
174

Annual Report 2011
Amount in Taka
2011
3,800
12,500
8,400
8,400
6,300
55,000
11,900
106,300
650,000,000
180,000,000
830,000,000
25,000
6,815,921
360,671
7,201,592
(7,517,182)
51,309
1,518,130,384
2,560,068
1,950,000
280,000
1,515,454,579
154,057
149,896,954
150,051,011
63,495
23,706
4,895
13,901
11,525
20,117
16,418
154,057
16,714,209
85,398,496
5,297,947
37,460,395
5,025,905
149,896,954
K. M. HASAN & CO.

Share Capital
Authorised
100,000,000 Ordinary Shares of Tk. 10 each
1,000,000,000
Issued, Subscribed and Paid up:

50,000,000 Ordinary Shares of Tk. 10 each
Sl. No. Name of Shareholders
1
2
3
10.
11.
12.
The Premier Bank Ltd.

Mrs. Fauzia Rekza Banu
Mrs. Eliza Rahman
Borrowing from PBL

This figure represents of:
Borrowing for Margin Loan paid to Clients
Borrowing for Membership
Accounts Payable
Payable from DSE- Normal
Payable to Clients (Clients Deposit)
Payable to CDBL
Provision for Expenses
This represents payable for :
Provision for Interest on Borrowing
Provision for Expenses
Provision for IT for last quarter bank interest
Provision for Income Tax
13.
Revenue
Commission Income
Account Opening Fees
BO Maintenance Fees
CDBL Income
14.
Direct Expenses
Howla Charges
Laga charges
CDBL Charges-CDS Bill
CDBL Charges-BO Maintenance Bill
500,000,000
No. of Shares
49,998,000
1,000
1,000
50,000,000
499,980,000
10,000
10,000
500,000,000
1,506,650,000
335,000,000
1,841,650,000
(1,703,742)
65,712,159
625,689
64,634,106
FINANCIALS -2011
9.
Amount in Taka
2011
15,675,351
51,557
256,007
22,496,700
38,479,615
38,731,051
156,500
1,189,100
7,754,945
47,831,596
411,917
1,904,927
4,688,231
948,000
7,953,075

Annual Report 2011
175
K. M. HASAN & CO.

15.
Operating Expenses
Salary & Allowances
Authorisation Expenses-CSE
Car Maintenance
Casual Labour
Conveyance
DSE Monthly Expenses
Electricity Bill
Festival Bonus
Gas Bill
Internet Bill
Mobile Bill
Office Contingency
Office Maintenance
Office Rent
Paper & Periodicals
PF Comp. Contribution
Postage & Courier
Printing & Stationery
Renewal & Registration
Repair & Maintenance
Revenue Stamp
Service Charges
Stamp & Cartridge
Telephone Bill
Tour & Travel
Training Expenses
Wasa Bill
16.
Other Income
Interest Income
Service Charges
Misc. Income
17.
Financial Expenses
Bank Charges
Interest on Borrowing from PBL
18.
Provision for Income Tax

Net profit before Tax
Less : Income for separate consideration:
Brokerage Commission U/S 82 (C)
Tax calculation:
Brokerage Commission U/S 82 (C)
On Tk. 41,815,409 @ 37.5%
176

Annual Report 2011
Amount in Taka
2011
9,314,064
3,300
214,110
306,120
94,864
6,695
823,929
1,249,558
23,390
18,112
25,458
479,550
75,483
31,514,250
800
174,306
3,448
567,257
33,905
9,400
4,609
454,606
13,630
52,903
26,209
48,500
225,380
45,763,835
194,177,016
31,479,827
520
225,657,363
16,003
139,209,586
139,225,588
80,546,460
38,731,051
41,815,409
6,815,921
15,680,778
22,496,700
PREMIER MONEY TRANSFER COMPANY LTD.

FINANCIAL STATEMENTS
FOR THE 396 DAY PERIOD ENDED ON 31st DECEMBER 2011
FINANCIALS -2011
Registered number : 0708086

Annual Report 2011
177

DIRECTORS
ABU HANIFF KHAN
REGISTERED OFFICE
WHITHCHAPEL TECHNOLOGY CENTERE
75, WHITHCHAPEL ROAD
LONDON
E1 1DU
COMPANY NUMBER
07085086
BANKERS
BARCLAYS BANK PLC.
ACCOUNTANTS
Jahan & Co.
Chartered Management Accountants
22 Osborn Street
London
E1 6TD
178

Annual Report 2011

CONTENTS
Report of the Directors

Report of the Accountants
Profit and Loss Account
Balance Sheet
FINANCIALS -2011
Notes to the FINANCIAL STATEMENTS
The following do not form part of the statutory financial statements :

Trading and Profit and Loss Account
Proft and Loss Account Summaries

Annual Report 2011
179

DIRECTORS REPORT

The directors present their report and accounts for the 396 day period ended 31 December 2011
PRINCIPAL ACTIVITIES
The principal activity of the company in the 396 day period under review was Money Remittance & Bureau De
Change.
DIRECTORS
The directors who served during the year and their interests in the share capital for the company were as follows :
ABU HANIFFF KHAN
2011
No.
0
2010
No.
0
OWNERSHIP
The company is a 100% subsidiary of Premier Bank Limited, Bangladesh.
DIRECTORS RESPONSIBILITIES
The directors are responsible for preparing the Directors Report and the financial statements in accordance with
applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year Under that law they have
elected to prepare the financial statements in accordance with UK Accounting Standards and applicable law (UK
Generally Accepted Accounting Practice)
The financial statements are required by law to give a true and fair view for the state of affairs of the company and of
the profit or loss for that period.
The report of the directors has been prepared in accordance with the special provisions within Part 15 of the
Companies Act 2006.
This report was approved by the board on 18 March 2012
ABU HANIF KHAN

Director
180

Annual Report 2011

ACCOUNTANTS REPORT TO THE BOARD OF DIRECTORS ON THE UNAUDITED ACCOUNTS
OF PREMIER MONEY TRANSFER COMPANY LIMITED
In order to assist you to fulfill your duties under the companies Act 2006, we have prepared for your approval the
accounts of PREMIER MONEY TRANSFER COMPANY LIMITED for the 396 day period ended 31 December 2011
from the companys accounting records and from information and explanations you have given us.
As a practising member of the Chartered Institute of Management Accountants (CIMA), we are subject to its ethical
and other professional requirements which are detailed on their website.
This report is made solely to the Board of Directors of PREMIER MONEY TRANSFER COMPANY LIMITED, as a body
in accordance with the terms of our engagement letter. Our work has been undertaken solely to prepare for your
approval the accounts of PREMIER MONEY TRANSFER COMPANY LIMITED and state those matters that we have
agreed to state to the Board of Directors of PREMIER MONEY TRANSFER COMPANY LIMITED, as a body, in this
report, in accordance with the requirements of the Chartered Institute of Management Accountants (CIMA) as
detailed on their website. To the fullest extent permitted by law, we do not accept or assume responsibility to
anyone other than PREMIER MONEY TRANSFER COMPANY LIMITED and its Board of Directors as a body for our
work or for this report.
FINANCIALS -2011
It is your duty to ensure that PREMIER MONEY TRANSFER COMPANY LIMITED has kept adequate accounting
records and to prepare statutory accounts that give a true and fair view of the assets, liabilities, financial position and
profitability of PREMIER MONEY TRANSFER COMPANY LIMITED. You consider that PREMIER MONEY TRANSFER
COMPANY LIMITED is exempt from the statutory audit requirement for the 396 day period.
We have not been instructed to carry out an audit or a review of the accounts of PREMIER MONEY TRANSFER
COMPANY LIMITED, verified the accouracy or completeness of the accounting records or information and
explanations you have given to us and we do not, therefore, express any opinion on the statutory accounts.
Jahan & Co.

Chartered Management Accountants
22 Osborn Street
London
E1 6TD
18 March 2012

Annual Report 2011
181

PROFIT AND LOSS ACCOUNS
Notes
TURNOVER
GROSS PROFIT
Distribution costs
OPERATING LOSS
2010
1,946
1,946
(664)
(61,400)
(60, 118)
(200)
(5,702)
(5,902)
(60, 118)
(5,902)
LOSS ON ORDINARY ACTIVITIES AFTER TAXATION
(60, 118)
(5,902)
LOSS FOR THE FINANCIAL 398 DAY PERIOD
(60,118)
(5,902)
LOSS ON ORDINARY ACTIVITIES BEFORE TAXATION
182
2011

Annual Report 2011

BALANCE SHEET
AT 31st DECEMBER 2011
2011
Notes
FIXED ASSETS
Tangible assets
ASSETS
Debtors (amounts falling due within one year)
Debtors (amounts falling due after more than one year)
Cash at bank and in hand
6
6
CREDITORS: Amounts falling due within one year

NET CURRENT ASSETS / (LIABILITIES)
TOTAL ASSETS LESS CURRENT LIABILITIES
CREDITORS: Amounts filling due after more than one year
2010
35,232
68
7,009
32,462
39,539
25,724
LIABILITIES
67
67
1,000
13,815
49,047
(933)
(933)
114,967
4,967
(65,920)
(5,900)
100
(66,020)
(65,920)
2
(5,902)
(5,900)
Called up share capital

Profit and loss account
SHAREHOLDERS FUNDS
9
10
FINANCIALS -2011
CAPITAL AND RESERVES
For the period ended 31st December 2011 the company was entitled to exemption under section 477 of the Companies
Act 2006 relating to small companies.
The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act
2006.
The Directors acknowledge their responsibilities for complying with the requirements of the Act with respect to
accounting records and the preparation of accounts.
These accounts have been prepared in accordance with the provisions appliable to companies subject to the small
companies regime.
Approved by the board on 18th March 2012 and signed on their behalf by
ABU HANIFF KHAN

Director
JUDE MARK ROZARIO

Chief Executive Officer

Annual Report 2011
183

NOTES TO THE ACCOUNTS
1.
ACCOUNTING POLOICIES
1(a)
Basis of Accounting
The accounts have been prepared under the historical cost convention and in accordance with the Financial
Reporting Standard for Smaller Entitles (effective April 2008).
1(b)
Cash Flow Statement

The Company is exempt from including a statement of cash flows in its accounts in accordance with Financial
Reporting Standard for Smaller Entitles (effective April 2008).
1(c)
Depreciation
Depreciation has been provided at the following rates in order to write off the assets over their estimated useful
lives.
Plant and Machinery
Fixtures and Fittings
1(d)
reducing balance 20%

reducing balance 20%
Turnover
Turnover represents the invoiced value of goods and services supplied by the company, net of value added tax
and trade discounts.
2.
TURNOVER
The turnover and pre-tax result is affributable to Money Remittance & Bureau De Change.
2011
Remittance Commission
3.
1,946
1,946
OPERATING PROFIT
operating Profit is stated after charging :
Depreciation
4.
TAX ON ORDINARY ACTIVITIES
5.
TANGIBLE FIXED ASSETS

Cost
Additions
At 31 December 2011
Depreciation
For the 396 day period
At 31 December 2011
Net Book Amounts
At 31 December 2011
184
2010

Annual Report 2011
9,763
9,763
-
Plant and
Machinery
Fixtures
and Fittings
Total
3,609
3,609
41,386
41,386
44,995
44,995
783
783
8,980
8,980
9,763
9,763
2,826
32,406
35,232
2011
2010
6. DEBTORS
Amounts falling due within one year:
Other debtors
Amounts falling due after more than one year:
Rent Deposit
9.
CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Investment by Parent Company
689
18,366
6,669
25,724
1,000
1,000
114,967
114,967
4,967
4,967
100
100
2
2
98
98
(5,902)
(60,118)
(66,020)
(5,902)
(5,902)
SHARE CAPITAL
Allotted, issued and fully paid:
100 Ordinary shares of 1 each
New shares issued during period:
98 Ordinary shares of 1 each
10.
7,009
7,009
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Trade Ceredtors
TT Payable
Accruals
8.
67
67
PROFIT AND LOSS RESERVE

Opening balance
Loss for the 396 day period

Annual Report 2011
FINANCIALS -2011
7.
68
68
185

TRADING AND PROFIT AND LOSS ACCOUNT
2011
Turnover
Cost of Sales:
Gross Profit
Less:
Distribution costs
Net loss for the 396 day period before taxation
Net loss for the 396 day period after taxation
Retained losses brought forward
Retained losses carried forward
2010
1,946
1,946
1,946
664
61,400
200
5,702
62,064
(60,118)
(60,118)
(5,902)
(66,020)
5,902
(5902)
(5,902)
(5,902)
This page does not from part of the Companys Statutory Accounts and is prepared for the information of the Directors only.
186

Annual Report 2011

PROFIT AND LOSS ACCOUNT SUMMARIES
Distribution Costs:
Marketing
Travel
Business entertaining
Staff entertaining
2011
2010
266
68
212
118
664
200
200
25,803
86
15,329
3,537
2,900
300
565
138
555
728
610
95
991
1,000
3,936
15
751
-
783
8,980
61,400
5,702
Rent
Repairs and renewals
Wages - regular
NIC employer (wages and salaries)
Accountancy fees
Consultancy fees
Legal costs (revenue)
Insurance
Stationery & office supplies
Telephone
Subscriptions
Security costs
Bank charges
Depreciation and Amortisation:
Depreciation of plant and machinery
Depreciation of fixtures and fittings
FINANCIALS -2011
Administrative Expenses:
This page does not from part of the Companys Statutory Accounts and is prepared for the information of the Directors only.

Annual Report 2011
187

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Financials -2011

(Auditors Report to the Shareholders)

Premier Bank Limited

Howlader Yunus & Co.

Premier Bank Limited

We also report that:

Premier Bank Limited

The Premier Bank Limited

Balance with other banks and financial institutions

Loans, advances, and lease/ investments

Fixed assets including premises, furniture and fixtures

Premier Bank Limited

The Premier Bank Limited

Off-Balance Sheet Items

See annexed auditors' report to the shareholders of date

Premier Bank Limited

Howlader Yunus & Co.

The Premier Bank Limited

Total Operating Income (A)

Provision for loans and advances

Profit after taxation

Retained earnings carried forward

See annexed auditors' report to the shareholders of date

Premier Bank Limited

Howlader Yunus & Co.

The Premier Bank Limited

Cash Flows from Operating Activities

Increase/decrease in operating assets and liabilities

See annexed auditors' report to the shareholders of date

Premier Bank Limited

Premier Bank Limited

Balance at 31 December 2010

Balance at 31 December 2011

Issue of bonus shares for 2010

Transfer to general and other reserve

Payment of cash dividend

Net profit for the year

Transfer to statutory reserve

Surplus/deficit on account of revaluation of investments

Currency translation differences

Surplus/deficit on account of revaluation of properties

Effects of changes in accounting policy

Balance at 01 January 2011

The Premier Bank Limited

Howlader Yunus & Co.

Premier Bank Limited

Total Liabilities (B)

Net Liquidity Excess/(Shortage) (C=A-B)

Borrowings from Bangladesh Bank,

The Premier Bank Limited

More than 5 years

Howlader Yunus & Co.

Howlader Yunus & Co.

The Premier Bank Limited

PROPERTY AND ASSETS

Balance with other banks and financial institutions

Loans, advances, and lease/ investments

Fixed assets including premises, furniture and fixtures

Deposits and other accounts

Premier Bank Limited

Howlader Yunus & Co.

The Premier Bank Limited

Total Off-Balance Sheet Items

Off-Balance Sheet Items