Content Content Content Content Contentsssss: SBI Global Factors LTD

SBI Global Factors Ltd.
Content
Contentss
List of Directors 2
Board of Directors 3
Directors’ Report 5
Corporate Governance Report 11
Management Discussion and Analysis 14
Auditors’ Report 16
Report of Comptroller & Auditor General of India 20
Balance Sheet 22
Profit and Loss Account 23
Cash Flow Statement 24
Schedules To Balance Sheet and Profit And Loss Account 25
Balance Sheet in US $ 54
Profit and Loss Account in US $ 55
Market Share 58
Events 59
SBIGFL
1 Annual Report 2009-2010
Li st of Dir
List ector
ectorss
Director
Name Designation
Shri. O. P. Bhatt Chairman
Shri. R. Sridharan Director
Smt. Bharati Rao Director
Shri V. Kannan Director
Shri. B.K.Vatsaraj Independent Director
Shri. Y. Vijayanand Independent Director *
Smt. Bhama Krishnamurthy Director*
Shri. S. Rajendran Director *
Shri. Ashwin Ankhad Independent Director*
Executive
Shri Sangeet Shukla Vice-Chairman
& C.E.O.
* as on 10th June 2010
SBIGFL
Annual Report 2009-2010 2
Boar
Boardd of Dir ector
ectorss
Director
Shri O.P. Bhatt

Chairman
Shri R. Sridharan Smt. Bharati Rao Shri V. Kannan Shri B.K. Vatsaraj
Director Director Director Director
Shri Y. Vijayanand Smt. Bhama Shri S. Rajendran Shri Ashwin Ankhad

Director Krishnamurthy Director Director
(From 10th June, 2010) Director (From 10th June, 2010) (From 10th June, 2010)
(From 10th June, 2010)
Shri Sangeet Shukla

(Executive Vice
Chairman & C.E.O.)
SBIGFL
Bankers
State Bank of India
Axis Bank
HDFC Bank
Standard Chartered Bank
Auditors
Contractor Nayak & Kisnadwala
Chartered Accountants
Jash Chambers, 3rd Floor,
7A, Sir P.M.Road, Fort,
Mumbai – 400001
Solicitors
K Ashar & Company
Meadows House, 4th & 5 th Floor,
39, Nagindas Master Road,
Fort, Mumbai – 400023
Paras Kuhad & Associates

903, Peninsula Towers,
Peninsula Corporate Park,
Ganpatrao Kadam Marg,
Lower Parel, Mumbai – 400013
Registered Office
th
6 Floor, The Metropolitan,
Bandra–Kurla Complex,
Bandra (East),
Mumbai - 400051
SBIGFL
Dir ector
Director s’ Report
ectors’
For the Financial Year Ended March 31, 2010
Your Directors have a pleasure in presenting the ninth Annual Report of SBI Global Factors Limited
(formerly Global Trade Finance Limited) along with the audited Balance Sheet as at March 31, 2010
and Profit and Loss Account for the year ended on that date.
Financial Performance
(i) During the year, the Company recorded a total turnover of Rs 129.78 billion (US $ 2.89 billion),
export turnover of Rs 11.42 billion (US $ 0.25 billion), import turnover of Rs 0.38 billion (US
$ 8.46 million) and domestic turnover of Rs 117.98 billion (US $ 2.63 billion). As at March
31, 2010, the Company had advances outstanding of Rs 30,298 million (US $ 674.79 million),
of which the export outstandings stood at Rs 1,955 million (US $ 43.54 million), import
outstandings at Rs 99 million (US $ 2.20 million) and domestic outstandings at Rs 28,244
million (US $ 629.04 million). Gross NPAs stand at Rs 6,352 million (US $ 141.47 million)
and Net NPAs stand at Rs 5,068 million (US $ 112.87 million). The amount to be transferred
to Reserve Fund is Rs 13.16 million (US $ 0.29 million).
Summary of Financial Results

2009-10 2008-09* Year-over-Year
(in Rs. Mn.) (in Rs. Mn.) Growth (%)
Total Turnover 1,29,781 1,82,825 (29.01)
Domestic Turnover 1,17,977 1,55,562 (24.16)
International Turnover 11,804 27,263 (56.70)
Advances Outstanding 30,294 45,139 (32.88)
Total Income 4,931 6,765 (27.11)
Profit Before Tax 108 1,850 (94.16)
Profit After Tax 66 1,219 (94.59)
* (includes figures of SBI Factors and Commercial Services Private Limited for the Year 2008-
09, since merged with the Company)
(ii) The Company recorded a total income of Rs 4,931 million (US $109.82 million)*, posted a
profit before tax of Rs 108 million (US $ 2.41 million) during the current year against a total
income of Rs 6,765 million (US $ 133.28 million) ** and a profit before tax of Rs 1,850 million
(US $ 36.47 million) reported in the previous year.
* 1US$ = Rs. 44.90 ** 1US$ = Rs. 50.72
Changes And Developments

During the Financial Year, pursuant to the “Scheme of Amalgamation of SBI Factors and
Commercial Services Private Limited (SBIF) with Global Trade Finance Limited”, sanctioned
by the Hon’ble High Court, Bombay vide its Order dated January 15, 2010 :
(i) The Registrar of Companies, Maharashtra, issued a Fresh Certificate of Incorporation consequent
upon Change of Name on March 18, 2010, approving change of the Company’s name from
Global Trade Finance Limited to SBI Global Factors Limited (“SBIGFL”).
(ii) Reserve Bank of India, issued a new NBFC Certificate of Registration dated March 23, 2010 in
the name of the Merged Entity viz., SBI Global Factors Limited.
(iii) From the Appointed Date of the Merger, all the Assets, Properties, Debts, Liabilities (including
Contingent Liabilities) of erstwhile SBI Factors and Commercial Services Private Limited have
been transferred to SBIGFL.
SBIGFL
International Associations
SBI Global Factors Limited (formerly Global Trade Finance Limited) is a member of Factors Chain
International (FCI), an umbrella Organisation of worldwide Factoring Companies. FCI is a global
network of leading Factoring Companies with a common aim to facilitate international trade through
factoring and related financial services. Currently, the FCI network counts 247 Factors in 66 countries,
actively engaged in more than half of the world’s cross-border factoring volume.
Human Resources
All permanent Employees of erstwhile SBIF have become permanent Employees of SBIGFL.
SBIGFL is a professionally managed Company that constantly innovates and tries to adopt global
best practices in this field. Alignment with the long-term business direction and co-creation of
shared values help each individual meet the Company’s objectives. The Company believes in investing
in people to develop and expand their skill-sets.
During the year,
(i) Shri Sangeet Shukla took over as the Executive Vice Chairman & C.E.O. in November, 2009.
(ii) Shri K.S. Subramanian has joined as Executive Vice President of the Merged Entity.
Post merger, the staff strength of SBIGFL is 164, including 27 employees on deputation from SBI.
M/s. Ernst & Young (P) Ltd. have been appointed as a Consultant to look into HR integration
process.
Information Technology
In order to bring operations of both the merged Companies on to a common IT platform, the following
activities have been undertaken :
1. Domain name change for e-communication :-
Global Trade Finance Ltd and SBI Factors and Commercial Services Pvt. Ltd. were using two
different domains “sbifactors.com” and “gtfindia.com” for e-mail facility. Post merger, new e-
mail domain “sbiglobal.in” has been registered and e-mail ids of all the users of the merged
entity have been created with access to their old/ archive mails globally over the internet.
2. Domain name changed for the web-site:-
A New domain, “www.sbiglobal.in” for the website has been registered and restructuring of
the web-site is under process.
3. Change of factoring software:-
A Technical Evaluation Committee was formed to oversee the system related aspects of the
merger. It was decided to purchase a factoring software “Trade Free Solutions”, which is an
upgraded version of the software “Octopus” used by GTF. SBIF database has been migrated to
“TradeFree” which was commissioned on 1st April 2010. Testing of seamless transfer of data
from “TradeFree” to the accounting platform has been completed.
4 Network:-
The combined entity has migrated to the “SBI Connect” for accessing and transfer of data
through Intranet.
SBIGFL
Credit Rating
During the year, various Rating Agencies have assigned the ratings to GTF and SBIGFL (post merger)
for its funding requirements as given below :
Rating Rating Amount Particulars

Agency in Rs. Crore
ICRA A1+ 3550 Short Term
Debt Program
ICRA A1+ 3276 Short Term
Bank Facilities
ICRA LAAA with a 100 Non-Convertible
stable outlook Debenture Program
ICRA LAAA with Non-Convertible
a stable outlook 30 Debenture Program
ICRA LAAA with 50 Redeemable
a stable outlook Preference Shares
CRISIL P1+ 2000 Short Term
Debt Program
CRISIL AAA/Stable 100 Long Term
Non-Convertible
Debentures
CRISIL AAA/Stable 50 Redeemable
Long Term
Preference Shares
The ratings indicate the highest degree of safety with regard to timely payment of interest and
principal on the rated instruments.
SBIGFL continues to augment resources from competitive sources and during the year under review,
it has raised Rupee resources by borrowing through debt instruments like Commercial Papers,
NCDs, short-term credit facilities from leading commercial banks and money market instruments. It
has tapped Foreign Currency lines from various domestic and international banks at competitive
interest rates.
NPA Management
Due to economic downturn, accounts of a number of clients of the Company have become Non
Performing. In some cases, irregularities such as fake invoices and undervaluation of securities
were also noticed. The Company has classified these accounts as frauds and reported these cases
for criminal investigation. The Company has adequately provided for these NPAs in its books out
of the Current Year’s profits. The Company has NPAs aggregating Rs. 6352 Mn. in 83 accounts with
provision of Rs. 1284 Mn. as on March 31, 2010. Further, 18 accounts with outstanding of Rs. 1849
Mn. have been technically written off with legal and recovery action continued. Taking into account
a carry forward provision of Rs. 664 Mn. from the previous year, total provision for NPAs made out
of current year’s profits comes to Rs. 2469 Mn. The Company has put a focus on the recovery of
NPAs. The efforts have already started paying dividends.
Dividend
In view of substantial provision for NPAs made during the year as explained above, the Company
has posted Profit after Tax of Rs. 66 Mn. for the year ended March 31, 2010 as against Rs. 1,219 Mn.
during the previous Financial Year. In view of the above, the Directors do not propose payment of
SBIGFL
Dividend to the Equity Shareholders for the Financial Year ended March 31, 2010. However, a
Dividend on Preference Share Capital (Rs. 100 Mn.) at the rate of 9.5 % is being recommended to
the Shareholders for approval.
Share Capital
As per the Scheme of Amalgamation of SBI Factors and Commercial Services Private Limited with
Global Trade Finance Limited, the Shareholders of the Company at their Extraordinary General Meeting
held on February 19, 2010, approved increase in the Authorized Share Capital of the Company from Rs.
2,000,000,000 (Rupees Two Billion Only) divided into 120,000,000 (One Hundred Twenty Million)
Equity Shares of Rs. 10/- each and 80,000,000 (Eighty Million) Preference Shares of Rs. 10/- each to Rs.
3,000,000,000 (Rupees Three Billion) divided into 180,000,000 (One Hundred Eighty Million) Equity
shares of Rs.10/- each and 120,000,000 (One Hundred Twenty Million) Preference shares of Rs.10/-
each.
Subsequently, on March 26, 2010, 4,71,17,510 Equity Shares of the Company were issued/ allotted to
the Equity Shareholders of erstwhile SBI Factors and Commercial Services Private Limited (since merged
with the Company) as on February 11, 2010 (i.e. Record Date), in the proportion of 100 (One Hundred)
fully paid Equity Shares of Rs. 10/- (Rupees Ten) each in the Company for every 111 (One Hundred and
Eleven) Equity Shares of Rs. 10/- (Rupees Ten) each held in SBI Factors and Commercial Services
Private Limited (viz. 3,01,55,207 Equity Shares to State Bank of India, 28,27,050 Equity Shares to State
Bank of Indore, 47,11,751 Equity Shares to Union Bank of India, and 94,23,502 Equity Shares to Small
Industries Development Bank of India (SIDBI)).
Consequently, the Equity Shareholding Pattern of the Merged Entity as on March 31, 2010 is as
under:
Name of Nos. of Equity % of pre Nos. of new Total % of post

the Shareholder Shares held merger paid Equity shares merger
in Global Trade up issued in paid up
Finance Equity Shares the Merged Equity
Limited Capital held Entity Capital
(a) (b) (c=a+b) held
State Bank of India 90,199,998 92.85 3,01,55,207 12,03,55,205 83.43
State Bank of Indore Nil Nil 28,27,050 28,27,050 1.96
Union Bank of India Nil Nil 47,11,751 47,11,751 3.27
SIDBI Nil Nil 94,23,502 94,23,502 6.53
Bank of Maharashtra 69,42,857 7.15 Nil 69,42,857 4.81
TOTAL 9,71,42,855 100.00 4,71,17,510 14,42,60,365 100.00
Conservation of Energy, Technology Absorption & Foreign Exchange

Earnings & Outgoings
Information required to be provided under Section 217(1)(e) of the Companies Act, 1956 read with
the Companies (Disclosure of particulars in the Report of the Board of Directors) Rules, 1988 in
relation to the Conservation of Energy and Technological Absorption is not applicable to the Company.
Particulars of foreign currency earnings and outgo during the year are given in Schedule 17 to the
Notes to the Accounts forming part of the Annual Accounts.
Internal Audit and Limited Review of Quarterly Accounts

SBIGFL has appointed an independent firm of Chartered Accountants, M/s., M.P. Chitale & Co., as
Internal and Concurrent Auditors. Internal Audit & Compliance is focused on independently
evaluating the adequacy of internal controls, ensuring adherence to operating guidelines and
regulatory and legal requirements and pro-actively recommending improvements in operational
SBIGFL
processes and service quality. The half yearly results are also subjected to a limited review by the
Statutory Auditors.
Particulars of Employees
Any Shareholder interested in obtaining a copy of the Statement of Particulars of Employees may
write to the Company Secretary of the Company to obtain the same.
Corporate Governance Report

The report on Corporate Governance is appended herewith.
Management Discussions & Analysis Report

Annual Report has a separate Chapter on Management Discussions and Analysis.
Directors
The Board of Directors of the Company at present consists of eight Directors. During the Financial
Year ended on 31 st March, 2010,
(i) Consequent upon transfer of Shri R. Venkatachalam, CGM (MCG), SBI, as nominated by SBI,
Smt. Bharati Rao, the then Advisor (Mergers & Acquisitions), SBI, was appointed as an
Additional Director of the Company with effect from July 03, 2009, in place of Shri R.
Venkatachalam.
(ii) Shri Sangeet Shukla, Dy. Managing Director, State Bank of India, has joined the Board as Executive
Vice Chairman & C.E.O. with effect from November 06, 2009, in terms of his nomination by the
Chairman of State Bank of India.
(iii) Shri Arvind Sonmale was re-designated as Managing Director as against his earlier designation
as Managing Director & C.E.O. of the Company with effect from November 6, 2009.
(iv) Consequent upon retirement, Shri V.K. Gupta relinquished the Office of the Joint Managing
Director of the Company on March 31, 2010.
Public Deposits
During the Financial Year ended March 31, 2010, the Company has not accepted any deposits from
the public within the meaning of the provisions of the Non-Banking Financial Companies (Reserve
Bank) Directions, 1998.
Auditors
M/s. Contractor, Nayak & Kishnadwala, Chartered Accountants, the present Statutory Auditors of
the Company appointed by the Comptroller & Auditor General of India (“C&AG of India”), will
retire at the close of the 9th Annual General Meeting of the Company. Consequent upon merger of
SBI Factors and Commercial Services Private Limited with Global Trade Finance Limited with effect
from April 01, 2009 (i.e. the Appointed Date), they have conducted the Audit of the merged Entity
for FY 2009-10 with the approval of C&AG of India.
The Statutory Auditors of the Company for the Financial Year 2010-11 would be appointed as and
when and as may be directed/ informed to the Company by the C&AG, pursuant to Section 619 and
other applicable provisions of the Companies Act, 1956.
Comments of the Comptroller and Auditor General of India Under Section

619(4) of the Companies Act, 1956 on the Accounts of the Company for the
Financial Year ended March 31, 2010
The Comptroller and Auditor General of India (“C&AG of India”), on conducting a Supplementary
Audit under Section 619 (3)(b) of the Companies Act, 1956, of the Financial Statements of the
SBIGFL
Company for the Financial Year ended 31 st March, 2010, have commented that ‘nothing significant
has come to their knowledge which would give rise to any comment upon or supplement to Statutory
Auditors’ Report under Section 619(4) of the Companies Act, 1956’.
Directors’ Responsibility Statement

Pursuant to Section 217(2AA) of the Companies Act, 1956, your Directors confirm that:
a) in the preparation of the annual accounts, the applicable accounting standards have been duly
followed;
b) the Directors have selected such accounting policies and applied them consistently and made
judgments and estimates that are reasonable and prudent so as to give a true and fair view of
the state of affairs of the Company at the end of the financial year and of the profit or loss of the
Company for that period;
c) the Directors have taken proper and sufficient care for the maintenance of adequate records in
accordance with the provisions of the Companies Act, 1956 for safeguarding the assets of the
Company and for preventing and detecting frauds and other irregularities;
d) the Directors have prepared the annual accounts on a ‘going concern’ basis.
Acknowledgements
The Directors thank the Shareholding Banks/Financial Institutions and the Reserve Bank of India,
for their continued support. They are thankful to the Clients and Customers for their continued
patronage. The Directors wish to acknowledge the support of SBI in lending the services of their
experienced Executives/ Managers to the Company. The Directors also wish to convey their
appreciation to employees at all levels for their hard work, dedication and commitment.
For and on behalf of the Board of Directors
Place : Mumbai O.P. Bhatt

Date : 27/04/2010 Chairman
SBIGFL
Corpor ate Governance Report

Corporate
1. Board of Directors (Board)
At the core of our Corporate Governance practice is the Board, which oversees how the
management serves and protects the long-term interests of all the Stakeholders and the
Shareholders of the Company. We believe that an active, well-informed and independent Board
is necessary to ensure the highest standards of Corporate Governance. The Board is independent
of the Company’s Management.
At the end of Financial Year 2009-10, the Board comprised of nine (9) members, which consisted
of four (4) Non-Executive Directors, two (2) Independent Directors, and three (3) full-time
Executive Directors.
The Board of Directors meets, as often as necessary, in addition to meeting on a quarterly basis
to review the performance and give future directions to the Senior Management Team of the
Company.
The particulars of Directors, their attendance during the financial year 2009 – 2010 and also
other Directorships are as under:
Name and Designation Category of Director No. of Board No. of

of Director Meetings Directorships
Attended in other
companies
Shri O. P. Bhatt Non-Executive 5 10*
Chairman
Shri R. Sridharan Non-Executive 6 8*
Director
Shri Sangeet Shukla
Additional Director Full-time Executive 2 -
(Executive Vice Chairman (Since 06/11/2009)
& C.E.O.)
Shri V. K. Gupta Full-time Executive 6 -
Jt. Managing Director (upto 31/03/2010)
Smt. Bharati Rao Non-Executive 4 4**
Director (Since 03/07/2009)
Shri R. Venkatachalam Non-Executive
Director (upto 02/07/2009) 1 -
Shri M. G. Bhide Independent 5 8
Director Non –Executive
Shri B.K. Vatsaraj Independent 4 1
Director Non- Executive
Shri V. Kannan Non Executive 3 -
Director
Shri Arvind Sonmale Full-time Executive 6 1
Managing Director
* Excluding Banks, Foreign Companies, Corporations etc.

** Excluding a Foreign Company
Meetings of the Board

During the Financial Year ended on 31st March, 2010, 6 (six) Board Meetings were held on April
28, 2009, July 18, 2009, October 09, 2009, October 26, 2009, January 19, 2010 and February 19,
2010.
SBIGFL
2. Audit Committee
Upon the induction of Shri B.K. Vatsaraj as a Member of the Audit Committee of the Board of
Directors w.e.f. April 28, 2009, the Audit Committee, at present, comprises five Members of
which, three are Non – Executive Directors and two are Independent Directors.
Members of the Audit Committee are as follows:

1. Shri M.G. Bhide Chairman
2. Shri R. Sridharan Member
3. Smt. Bharati Rao Member
4. Shri V. Kannan Member
5. Shri B.K. Vatsaraj Member
During the Financial Year ended on March 31, 2010, the Audit Committee met 4 times viz: on
25/04/2009, 18/07/2009, 22/10/2009, and 19/01/2010.
The attendance of the Audit Committee Members at such meetings is as stated below:
Name of the Member No. of Audit Committee Meetings attended

Shri M.G. Bhide 4
Shri R. Sridharan 4
Shri R.Venkatachalam* 1
Smt. Bharati Rao** 3
Shri V. Kannan 3
Shri B.K. Vatsaraj *** 3
* Director upto : 02/07/2009

** Date of appointment : 03/07/2009
*** Date of appointment : 28/04/2009
In addition, the Statutory Auditors and Internal Auditors attend and participate in the
deliberations at the meetings of the Audit Committee.
3. Executive Committee of the Board:

The Company has an Executive Committee of the Board which, inter – alia, approves the
Credit proposals beyond a certain limit, and also directs the Senior Management Team of the
Company. It supplements the right insight and business perspective in order to aid the
Company’s Management in achieving its goals and mission.
During the year,
a. With effect from July 03, 2009, Smt. Bharati Rao was appointed as a Member of the Executive
Committee of the Board of Directors, in place of Shri Venkatachalam.
b. With effect from November 06, 2009, Shri Sangeet Shukla, Executive Vice Chairman &
C.E.O. of the Company, was appointed as Member of the Executive Committee of the
Board,
c. With effect from March 19, 2010, Shri B.K. Vatsaraj was appointed as Member of the
Executive Committee of the Board.
d. Upon retirement, Shri V.K. Gupta relinquished the Office of the Joint Managing Director of
the Company on March 31, 2010. Accordingly, he ceased to be a Member of the Executive
Committee of the Board.
SBIGFL
The Executive Committee of the Board at present consists of the following Members :
1. Shri Sangeet Shukla (Executive Vice Chairman & C.E.O.) (Member),
2. Smt. Bharati Rao (Member),
3. Shri V. Kannan (Member),
4. Shri B.K. Vatsaraj (Member), and
5. Shri Arvind Sonmale, Managing Director (Member)
4. General Body Meetings:

Particulars of the last three Annual General Meetings (AGMs) of the Company:
AGM Financial Date of Time Venue

Year the AGM
Sixth 2006-2007 04/05/07 10.00 a.m. 6th Floor, The Metropolitan,
Bandra Kurla Complex, Bandra (East),
Mumbai 400 051
Seventh 2007-2008 21/04/08 12.30 p.m. State Bank Bhavan, Corporate Centre,
18th Floor, Madame Cama Road,
Nariman Point, Mumbai – 400 021
Eighth 2008-2009 18/07/09 04.30 p.m. State Bank Bhavan, Corporate Centre,
18th Floor, Madame Cama Road,
Nariman Point, Mumbai – 400 021
The following Special Resolutions were passed at the above AGMs :
AGM DETAILS OF THE SPECIAL RESOLUTION

Sixth (1) Re-appointment of M/s. Deloitte, Haskins & Sells, Chartered Accountants as
Statutory Auditors
(2) Re-classification of the Company’s Authorised Share Capital from 200,000,000
Shares (Rs. 2,000,000,000/-) divided into 164,000,000 Equity Shares of Rs. 10/-
each and 36,000,000 Preference Shares of Rs. 10/- each to 200,000,000 Shares
(Rs. 2,000,000,000) divided into 150,000,000 Equity Shares of Rs. 10/- each and
50,000,000 Preference Shares of Rs. 10/- each,
(3) Appointment of Managing Director & C.E.O.,
(4) Further issue of 65,000,000 Equity Shares of Rs. 10/- each of the Company,
(5) Further issue of 26,500,000 Non-Convertible Redeemable Preference Shares of
Rs. 10/- each of the Company
Seventh (1) Further issue of 66,66,666 Equity Shares of Rs. 10/- each at a premium of Rs. 65-
per Share,
(2) Extension of term of appointment of Managing Director & C.E.O. previously
approved by the Board of Directors.
Eighth (1) Appointment of Statutory Auditors for the Financial Year 2009-10, as directed
by the Comptroller & Auditor General of India,
(2) Extension of term of appointment of Managing Director & C.E.O., previously
approved by the Board of Directors
5. General Shareholder Information:

Financial Year April 01, 2009 to March 31, 2010
Registrar and Transfer Agents Datamatics Financial Services Limited
Address for correspondence 6th Floor, The Metropolitan
Bandra-Kurla Complex, Bandra (East)Mumbai – 400 051
SBIGFL
Management Di scu
Discu ss
scuss ion and Analy
ssion Analyssis
Global Economic Scenario:
Past two years were the most volatile years for the world economy since great depression of 1929.
Though the domestic economies of India and China were relatively less impacted, their exports
substantially declined as a result of global recession. However, with the sign of revival in the global
economy specially the US economy from the third quarter of the year (Fourth quarter GDP growth of
5.6%), the growth has started showing signs of pick up. Although the outlook for the current and
the coming quarters may be marginally better than that of the previous year, the recent turbulence
due to poor fiscal discipline of some of the European countries has unsettled the Euro and drawn
attention to the divergence in growth potential and fiscal health of various countries in Europe and
as a result, the confidence is impacted.
Indian Economic Scenario: Resilience of the Indian Economy

India faced the financial crisis better than the West. Various measures like soft interest rates and
reduced excise and service taxes were brought in as a part of the stimulus package. These have
helped the economy to post more than 7% growth in 2009-10. The stimulus has helped exports and
manufacturing to grow after months of decline. The Index of Industrial Production (IIP) rose by
16.7% in January and 15.10% in February 2010. In 2010-11 economic growth is projected at 8%+.
The sales of the Corporate India grew by 13.4% in December 2009 and 4.7% for the year. Sectors
like automobiles, auto ancillaries, tyre and textiles have benefitted from the pickup in the demand.
The resilient economy could absorb the impact of the weakest monsoon since 1972.
However, the stimulus packages while sustaining growth have triggered the inflationary pressures
and the inflation is now a matter of concern. Oil prices have started increasing and crossed the
USD90 per barrel and are a major cause of concern. WPI rose by 9.9% in March 2010. To tame the
inflation, RBI has initiated measures in its annual policy and announced hike in CRR and also
raised the key rates.
Interest Rate Scenario:

Interest rates remained stable during the year due to the stimulus package and easy liquidity. The
rates are likely to harden as the RBI takes measures to suck a part of the liquidity out of the system
and pick up in the credit expected in the second quarter. The Company is engaged in financing of
short term receivables and is subject to Rate Risk due to volatility in rates in the short term. To
mitigate this risk the Company matches the maturity profile of its assets with short term funding
options.
Merger of SBIF with GTF:

The process of merger of SBI Factors & Commercial Services Pvt. Ltd., with the Company initiated
last year has been completed successfully during the year under the order of the Hon’ble Bombay
High Court with effect from 11th February 2010. The merged company has been named as SBI
Global Factors Ltd with effect from 23 rd March 2010. The new entity commands 85% market share.
The SBIGFL has now 17 branches in strategic locations in India. The combined entity enjoys highest
ratings of A1+ & LAAA (Stable) from ICRA and CARE respectively for its short and long terms
borrowings. The new Company has adopted a new logo. The new logo while preserving the brand
recall of both the Companies symbolizes the synergy between the two Companies and the lineage of
the merged entity.
The Company has appointed leading consultant Ernst & Young to prepare a new HR policy. Both
the merged Companies operated on different software platforms developed by different vendors.
For the merged entity, a new software has been commissioned and developed, which has since
been successfully implemented in the Company.
SBIGFL
Outlook for the Factoring Services:

The factoring services were launched in India in 1991 by SBI by promoting SBI Factors & Commercial
Services Pvt. Ltd. In the last 19 years many Factoring companies entered the market and also shut
their shops. However, the contribution of factoring products in meeting the total working capital
requirement of the companies in India is less than 0.50%. As per the reports of Factors Chain
International, an umbrella organization of factoring companies world-wide, in last 8 years the
factoring turnover in China grew from 2,640 Mi EUR to 67,300 Mi EUR. In comparison, the turnover
in India increased from 1615 Mi EUR to 2650 Mi EUR. Despite the growth in Indian Factoring in
last five years at more than 60% compared to the worldwide growth of 50% in the same period, the
share of Indian Factoring is less than 1% of the total volumes generated in the world. The reasons
for the slow growth are several like inadequacies in the legal framework and ad valorem stamp duty
on the assignment of debts. A comprehensive legislation to address the legal hurdles affecting the
growth of the factoring industry is under consideration of Government of India. In spite of these
impediments factoring products have gained popularity with the SMEs more particularly auto
ancillary industry, component manufacturers for engineering companies etc. A number of such
units are dealing satisfactorily with us and with revival of economy and auto industries in particular,
the factoring can record a good growth in near future.
Performance of the Company:

Due to economic downturn the accounts of a number of clients of the Company have become non-
performing. In some client accounts, irregularities such as fake invoices and under valuation of
securities were also noticed. The Company has classified these accounts as frauds and reported
these for criminal investigation. The Company has adequately provided for these NPAs in its books
out of current year’s profits, which has affected its profits for the year. The Company has put a
focus on the recovery of the NPA. The efforts have already started yielding dividend.
SBIGFL
Auditors’ Report
Auditors’
To,
The Board of Directors,
SBI GLOBAL FACTORS LIMITED
(Formerly Known as GLOBAL TRADE FINANCE LIMITED)
Mumbai.
We have audited the accounts of SBI GLOBAL FACTORS LIMITED (formerly known as GLOBAL
TRADE FINANCE LIMITED) for the year ended 31st March, 2010.
As required by the Non Banking financial Companies Auditor’s Report (Reserve Bank) Directions,
2008 dated 18th September 2008, we give below our report on the matters specified in the above
mentioned directions and state that:
1. The Company is engaged in the business of non-banking financial Institution and has obtained
a Certificate of Registration (N-13.01518) on the 28th April 2001 from Reserve Bank of India
2. The company is entitled to continue to hold such Certificate of Registration in terms of its
assest / income pattern as on 31st March, 2010
3. The Board of Directors had passed a resolution for non acceptance of any public deposit in
their meeting held on 28th April, 2009
4. The Company has not accepted any public deposits during the relevant year 2009-2010.
5. The Company has complied with the prudential norms relating to Income Recognition,
accounting standards, asset classification and provisioning for the bad and doubtful debts as
specified to it in terms of Non-Banking Financial (Non Deposit Accepting or Holding) Companies
Prudential Norms (Reserve Bank) Directions, 2007.
6. The capital adequacy ratio as disclosed in the return submitted to the Bank on 10th June,
2009, In Form NBS-7, has been correctly arrived at and such ratio is in compliance with the
minimum CRAR prescribed by the Reserve Bank of India;
7. The company has furnished to the Reserve Bank of India the annual statement of capital funds
risk assets/exposures and risk asset ratio (NBS-7) on 10th June, 2009, within the stipulated
period.
For Contractor, Nayak & KIshnadwala

(G.S. Nayak)
Partner
M.No. 38127
Firm Registration No.101961 W
Place: Mumbai
Date: 27th April, 2010
SBIGFL
Auditors’ Report
Auditors’
To
The Members,
SBI Global Factors Limited
(formerly known as Global Trade Finance Limited)
We have audited the attached Balance Sheet of SBI Global Factors Limited (formerly known as Global
Trade Finance Limited) (‘the Company’), as at 31st March 2010 and also the Profit and Loss Account
and the Cash Flow Statement for the year ended on that date, including the accounts of erstwhile SBI
Factors and Commercial Services Private Limited for the year ended 31st March 2010 consequent to its
amalgamation with the Company with effect from 1st April 2009, annexed thereto.
These financial statements are the responsibility of the Company’s management. Our responsibility is
to express an opinion on these financial statements based on our audit.
We have conducted our audit in accordance with auditing standards generally accepted in India. Those
standards require that we plan and perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. Audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. Audit also includes assessing the
accounting principles used and significant estimates made by management as well as evaluating the
overall financial statement presentation. We believe that our audit provides a reasonable basis for our
opinion.
We report that:
1. 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;
2. In our opinion, proper books of account, as required by law, have been kept by the company in so
far as appears from our examination of those books;
3. The Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt with by this report are
in agreement with the books of account;
4. In our opinion, the Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt with by
this report comply with the Mandatory Accounting Standards referred to in sub-section (3C) of
section 211 of the Companies Act, 1956;
5. On the basis of written representations received from directors as on 31st March 2010, and taken on
record by the Board of Directors, we report that none of the directors is disqualified as on 31st March,
2010 from being appointed as a director in terms of clause (g) of sub-section (1) of section 274 of the
Companies Act, 1956;
6. In our opinion and to the best of our information and according to the explanations given to us, the
said accounts read together with notes forming part of it, give the information required by the Companies
Act, 1956, in the manner so required and give a true and fair view in conformity with the accounting
principles generally accepted in India;
a) In the case of the Balance Sheet, of the state of affairs of the Company as at 31st March, 2010, and
b) In the case of the Profit and Loss Account, of the profit for the year ended on that date.
c) In the case of Cash Flow Statement, of the cash flows for the year ended on that date.
7. As required by the Companies’ (Auditors’ Report) Order, 2003, as amended by the Companies
(Auditor’s Report) (Amendment) Order, 2004 issued by the Central Government of India in terms of
sub-section (4A) of section 227 of the Companies Act, 1956 and according to the information and
explanations given to us during the course of the audit and on the basis of such checks as were
considered appropriate, we report that:
The Company is engaged in the business of factoring of debts/receivables and the requirements of
clauses (ii), (viii) and (xiii) of paragraph 4 of the order are not applicable to the company.
SBIGFL
i) (a) The Company has maintained proper records showing full particulars including quantitative
details and situation of the fixed assets;
(b) As per the information and explanations given to us, the management has carried out the
physical verification of some of the fixed assets during the year, in accordance with a program
of verification, which in our opinion provides physical verification of all assets at reasonable
intervals. The discrepancies noticed on such verification, which were not material, have been
appropriately dealt with in the accounts.
(c) The Company has not disposed of significant part of fixed assets during the year and the
question of effect on the going concern of the Company does not arise.
ii) (a) As per the information and explanations given to us, the Company has not granted nor taken
unsecured loans to/from Companies, firms or other parties covered in the register maintained
under section 301 of the Companies Act, 1956. Hence sub clauses (b), (c), (d), (e), (f) & (g) are
not applicable to the Company.
iii) In our opinion and according to the information and explanations given to us, there are adequate
internal control procedures commensurate with the size of the Company and the nature of its
business with regard to purchase of fixed assets and sale of services. There are no transactions of
purchase of inventory and for sale of goods. During the course of our audit, no major weakness
has been noticed in the internal control system and there is no continuing failure for the same.
iv) In our opinion and according to the information and explanations given to us, there are no contracts
or arrangements referred to in Section 301 of the Companies Act, 1956. Accordingly the provisions
of the clause (v) of the Companies (Auditor’s Report) Order, 2003 are not applicable to the Company.
v) The Company has not accepted deposits from the public and therefore the question of compliance
with the provisions of Section 58A and 58AA or any other relevant provisions of the Companies
Act, 1956 and rules made thereunder for the deposits accepted from the public does not arise.
vi) In our opinion, the Company generally has an internal audit system commensurate with the size
and nature of its business.
vii) (a) According to the information and explanations given to us and the records examined by us,
the Company is regular in depositing with appropriate authorities undisputed statutory dues
including provident fund, investors education and protection fund, or employees’ state
insurance, income tax, sales tax, wealth tax, excise duty, custom duty, service tax, cess and
other statutory dues applicable to it and there are no undisputed statutory dues outstanding
as at 31st March 2010, for a period of more than six months from the date they became payable.
(b) According to the information and explanation given to us, there are no dues of sales tax,
customs duty, excise duty, wealth tax and cess which have not been deposited on account of
any dispute. According to the information and explanation given to us, the details of Income
tax and service tax dues which have not been deposited on account of disputes are as follows:
Name of the Statute Amount Rs. Period for Forum where dispute is
which the pending
amount relates
In case of the company:
Income Tax Act, 1961 500,000 FY 2002-03 Income Tax Appellate Tribunal
Income Tax Act, 1961 8,455,754 FY 2003-04 Commissioner of Income Tax (Appeals)
Service Tax under 10,157,247 2004-2009 Commissioner of Excise &
Finance Act 1994 Service Tax (Appeals)
In case of erstwhile SBI Factors and Commercial Services Pvt. Ltd.
SBIGFL
viii) The company has no accumulated losses as on 31st March 2010 and no cash losses in the
immediately preceding financial year. The Company has not incurred any cash loss during
the financial year.
ix) Based on the information and explanations given to us, the Company has not defaulted in the
repayment of dues to financial institutions or banks or debenture holders.
x) Based on our examination of the records and the information and explanations given to us,
the Company has maintained adequate documents and records where the Company has granted
any loans and/or advances on the basis of security by way of pledge of shares, debentures
and other securities.
xi) Based on the information and explanation provided to us, on our examination of the records
and documents and our evaluation of the related internal controls, the Company has maintained
proper records and timely entries are being made in respect of its dealing in units of mutual
funds. All investments including units of mutual funds and bonds have been held by the
Company in its own name. There are no transactions in shares or other investments.
xii) According to the information and explanations given to us, the Company has not given any
guarantees for loans taken by others from banks or financial institutions other than credit
protection in the case of import factoring and guarantee to banks for letters of credit issued by
banks for the Company's clients, the terms and conditions of which are not prejudicial to the
interest of the company.
xiii) In our opinion and according to the information and explanations given to us, the funds
raised through term loans have been applied for the purpose for which they were obtained.
xiv) According to the information and explanations given to us and on an overall examination of
the balance sheet of the Company, we report that funds raised for short-term basis during the
year have been prima facie not utilised for long term investment.
xv) According to the information and explanation given to us, the Company has not made any
preferential allotment of shares, during the year, to parties and companies covered in the
register maintained under section 301 of the Act, and accordingly the question of the price
being prejudicial to the interest of the Company does not arise.
xvi) The Company has issued unsecured debentures, and therefore the question of creation of
security does not arise.
xvii) The Company has not raised any money by public issues during the year covered by our
report and therefore the question of end use thereof does not arise.
xviii) According to the information and explanation given to us, no fraud by the Company has been
noticed or reported during the year. As regards frauds on the Company during the year, the
Company is investigating 8 cases of fraud in respect of documents submitted by clients,
involving principal of Rs.1,704,940 thousand, which is written off in the books of the
Company.
For and on behalf of
Contractor, Nayak & Kishnadwala

Place: Mumbai G. S. Nayak

Date: 27th April 2010 Partner
Membership No.38127
ICAI Firm Registration No.101961W
SBIGFL
Comment
Commentss of the Comptr oller and Auditor
Comptroller
Gener al of India Under Section 6
General 19(4) of the
619(4)
Companies Act, 1956 on The Account
Accountss Of SBI
Global Factor
Factorss Limited for the Year Ended 3
Year 311
Mar ch 20
March 10.
201
The preparation of financial statements of SBI Global Factors Limited for the year ended 31 March
2010 in accordance with the financial reporting framework prescribed under the Companies Act,
1956 is the responsibility of the management of the company. The statutory auditor appointed by
the Comptroller and Auditor General of India under Section 619(2) of the Companies Act, 1956 is
responsible for expressing opinion on these financial statements under Section 227 of the Companies
Act, 1956 based on independent audit in accordance with the auditing and assurance standards
prescribed by their professional body the Institute of Chartered Accountants of India. This is stated
to have been done by them vide their Audit Report dated 27 April 2010.
I, on behalf of the Comptroller and Auditor General of India, have conducted a supplementary audit
under Section 619(3)(b) of the Companies Act, 1956 of the financial statements of SBI Global Factors
Limited for the year ended 31 March 2010. This supplementary audit has been carried out
independently without access to the working papers of the statutory auditor and is limited primarily
to the inquiries of the statutory auditor and Company personnel and a selective examination of
some of the accounting records. On the basis of my audit nothing significant has come to my
knowledge which would give rise to any comment upon or supplement to Statutory Auditors’
report under Section 619(4) of the Companies Act, 1956.
For and on the behalf of the

Comptroller and Auditor General of India
(Alka. R. Bhardwaj)
Principal Director of Commercial Audit and
Ex-Officio Member, Audit Board-I, Mumbai
Place: Mumbai
Date :11 June, 2010
SBIGFL
Comment
Commentss of the Comptr oller and Auditor
Comptroller
Gener al of India Under Section 6
General 19(4) of the
619(4)
Companies Act, 1956 on the Account
Accountss Of SBI
Factor
Factorss And Commer cial Services Private Limited
Commercial
for the Y ear Ended 3
Year 311 Mar ch 2008
March
The preparation of financial statements of SBI Factors and Commercial Services Private
Limited for the year ended 31 March 2008 in accordance with the financial reporting
framework prescribed under the Companies Act, 1956 is the responsibility of the
management of the Company, The Statutory Auditor appointed by the Comptroller and
Auditor General of India under Section 619(2) of the Companies Act 1956 is responsible
for expressing opinion on these financial statements under Section 227 of the Companies
Act, 1956 based on independent audit in accordance with the auditing and assurance
standards prescribed by their professional body the institute of Chartered Accountants
of India. This is stated to have been done by them vide their Audit Report dated
17.4.2008.
I on behalf of the Comptroller and Auditor General of India, have decided not to review
the report of the Statutory Auditor on the accounts of SBI Factors and Commercial
Services Private Limited for the year ended 31 March 2008 and as such have no
comments to make under Section 619 (4) of the Companies Act, 1956.
For and on the behalf of the

Comptroller and Auditor General of India
(Alka. R. Bhardwaj)
Principal Director of Commercial Audit and
Ex-Officio Member, Audit Board-I, Mumbai
Place: Mumbai
Date :4 March 2010
SBIGFL
(Formerly known as Global Trade Finance Limited)
Balance Sheet
As At March 31, 2010
March 31, 2010 March 31, 2009

Schedule (Rs. ‘000) (Rs. ‘000) (Rs. ‘000)
SOURCES OF FUNDS
Shareholders’ Funds
Share Capital 1 1,542,604 1,071,429
Reserves and Surplus 2 4,209,107 2,815,125
5,751,711 3,886,554
Loan Funds
Unsecured Loans 3 25,666,098 29,451,223
Total 31,417,809 33,337,777
APPLICATION OF FUNDS
Fixed Assets 4
Gross Block 290,917 242,326
Less: Depreciation / Amortisation 161,070 107,711
Net Block 129,847 134,615
Capital Advances 510 2,974
130,357 137,589
Investments 5 189,360 -
Deferred Tax Asset (Net) 6 434,533 209,762
Current Assets, Loans and Advances
Sundry Debtors 7 30,298,262 30,173,367
Cash and Bank Balances 8 240,224 3,289,110
Other Current Assets 9 9,559 13,426
Loans and Advances 10 334,258 57,493
30,882,303 33,533,396
Less: Current Liabilities and Provisions 11
Current Liabilities 202,771 303,323
Provisions 15,973 239,647
218,744 542,970
Net Current Assets 30,663,559 32,990,426
Total 31,417,809 33,337,777
Significant Accounting Policies 18
and Notes to Accounts
Schedules 1 to 18 referred to herein above form an integral part of the Balance Sheet.
As per our attached report of For and on behalf of the Board of Directors
even date
For Contractor, O.P. Bhatt Sangeet Shukla

Nayak & Kishnadwala Chairman Executive Vice Chairman & CEO
G. S. Nayak Amita Joshi

Partner Company Secretary
M. No. 38127
ICAI Firm Registration No.101961W
Mumbai Mumbai
Dated : April 27, 2010 Dated : April 27, 2010
SBIGFL
Profit And Loss Account
For The Year Ended March 31, 2010
Year Ended Year Ended
March 31, 2010 March 31, 2009
Schedule Rs. ‘000) (Rs. ‘000)
INCOME
Income from Factoring 12 4,336,883 4,611,372
Interest Income 13 51,725 130,195
Profit on Sale of Current Investments (Net) 475,167 328,945
Other Income 14 67,015 51,281
Total 4,930,790 5,121,793
EXPENDITURE
Employee Costs 15 114,473 112,135
Operating and Other Expenses 16 2,695,645 826,763
Interest and Financial Charges 17 1,980,324 2,948,380
Depreciation / Amortisation 32,475 33,781
Total 4,822,917 3,921,059
PROFIT BEFORE TAXATION 107,873 1,200,734
Provision for Taxation
-Current Taxation 245,000 583,000
-Excess Provision for Taxation for Earlier Years Written Back (12,660) -
-Deferred Taxation (190,342) (174,511)
-Wealth Tax 63 65
-Fringe Benefits Tax - 1,300
42,061 409,854
PROFIT AFTER TAXATION 65,812 790,880
Profit and Loss Account Balance 921,615 606,418
Brought Forward from Previous Year
Add : On account of amalgamation of erstwhile
SBI Factors & Commercial Services Pvt. Ltd.
(Refer Note 2 of Schedule 18) 10,000 -
BALANCE AVAILABLE FOR APPROPRIATION 997,427 1,397,298
APPROPRIATIONS:
Dividend Paid
- Equity - -
- Preference - -
Proposed Dividend
- Equity - 194,286
- Preference 9,500 9,500
Corporate Tax on Dividend 1,615 34,633
Transfer to General Reserve - 79,088
Transfer to Reserve Fund 13,163 158,176
Transfer to Contingency Reserve 150,537 -
Profit and Loss Account Balance 822,612 921,615
Carried to the Balance Sheet
Earnings per Share - Basic (Rs.) 0.38 8.45
Earnings per Share - Diluted (Rs.) 0.38 8.45
(Nominal Value of Share Rs. 10 each)
(Refer Note 6 of Schedule 18)
Significant Accounting Policies and Notes to Accounts 18
Schedules 1 to 18 referred to herein above form an integral part of the Profit and Loss Account.
As per our attached report of even date For and on behalf of the Board of Directors
For Contractor, O.P. Bhatt Sangeet Shukla
Nayak & Kishnadwala Chartered Accountants Chairman Executive Vice Chairman & CEO
G. S. Nayak
Partner
M. No. 38127 Amita Joshi
ICAI Firm Registration No.101961W Company Secretary
Mumbai Mumbai
SBIGFL
Cash Flow Statement

March 31, 2010 March 31, 2009
(Rs. ‘000) (Rs. ‘000) (Rs. ‘000) (Rs. ‘000)
Cash flow from Operating Activities:
Net profit before tax 107,873 1,200,734
Add: Interest Cost 1,954,780 2,930,405
Net profit before tax and Interest 2,062,653 4,131,139
Adjustments in:
(Profit) / Loss on sale of fixed assets 1,420 1,688
Liabilities No Longer Required, Written Back (30,656) (1,007)
Provision No Longer Required, Written Back - (131,323)
Provision for doubtful debts & advances 786,783 631,901
Bad Debts written off 1,681,728
Share Issue Expenses written off - 750
Interest income on Fixed Deposits (51,707) (129,926)
Provision for Leave Encashment (1,258) (676)
Interest income (18) (269)
Profit on sale of current investments (475,167) (328,945)
Interest cost (1,954,780) (2,930,405)
(11,180) (2,854,431)
Operating profit before working capital changes 2,051,473 1,276,708
Increase / (Decrease) in secured loans 0
Increase / (Decrease) in unsecured loans (16,495,345) (432,665)
(Increase) / Decrease in trade and other receivables 12,139,659 1,291,082
Change in unexpired discount of Commercial Paper (2,270) -
Increase / (Decrease) in trade and other payables (367,931) 24,134
(4,725,887) 882,551
Cash (used)/generated in and from operations (2,674,414) 2,159,259
Direct taxes paid (net) (449,083) (605,358)
Net cash (used)/generated in and from operating activities (A) (3,123,497) 1,553,901
Cash flow from Investing Activities:
Purchase of fixed assets (19,656) (22,288)
Sale of fixed assets 1,242 634
Interest Income Received 57,862 170,578
Purchase in current investments (1,390,305,155) (805,020,907)
Sale of current investments 1,390,780,322 805,349,850
Net cash from investing activities (B) 514,615 477,867
Cash flow from financing activities:
Fresh Issue of Equity Share Capital - 750,000
Share issue expenses - (750)
Dividend paid (Final) (431,461) (131,072)
Net cash generated from financing activities ( C) (431,461) 618,178
Net increase in cash and cash equivalents (A + B + C) (3,040,343) 2,649,946

Cash and cash equivalents as at March 31, 2010/ 2009
- Cash in Hand 2,596 1,423
- Cash & Bank Balances in current/FD account with banks 234,551 3,275,499
(Net of balances overdrawn as per books Rs. 3,077 thousand;
Previous Year 402,450 thousand.)
237,147 3,276,922
Less: Cash and cash equivalents as at March 31, 2010 / 2009 3,277,490 626,976
(3,040,343) 2,649,946
Note:
1. Cash and cash equivalents includes Fixed Deposit of Rs. NIL (Previous year Rs. 150,000 thousand) kept with bank as margin money for opening of client LCs.
2. Cash and cash equivalents includes unrealised gain (loss) of Rs. (213) thousand [Previous period Rs.(238) thousand] on account of translation of foreign currency
bank balances.
3. The Company has changed its accounting policy for components of cash equivalents and it is considered that the change would result in a more appropriate
presentation of financial statements. Earlier the cash and cash equivalents were net of Fixed Dep
4. The cash flow statement is prepared by the indirect method set out in Accounting Standard 3 notified by National Advisory Committee on Accounting
Standards on Cash Flow Statement.
5. Previous Year figures have been regrouped / reclassified / rearranged wherever necessary.
For Contractor,
Nayak & Kishnadwala Chartered Accountants O.P. Bhatt Sangeet Shukla
G. S. Nayak Chairman Executive Vice Chairman & CEO
Partner
Mumbai Mumbai
SBIGFL
Schedules Annexed to and Forming Part of The Balance Sheet

March 31, March 31,
2010 2009
(Rs. ‘000) (Rs. ‘000) (Rs. ‘000)
SCHEDULE 1
SHARE CAPITAL
Authorised :
180,000,000 (Previous Year 120,000,000) 1,800,000 1,200,000
Equity Shares of Rs. 10 each
120,000,000 (Previous Year 80,000,000) 1,200,000 800,000
Preference Shares of Rs. 10 each 3,000,000 2,000,000
Issued, Subscribed and Paid-up :
144,260,365 (Previous Year 97,142,855)
Equity Shares of Rs. 10 each, fully paid-up (Note 1 and 3) 1,442,604 971,429
10,000,000 9.5% Non-convertible Redeemable
Preference Shares of Rs. 10 each (Note 2) 100,000 100,000
1,542,604 1,071,429
Note 1 : Includes 32,142,856 shares issued on conversion of 6.25% Cumulative Convertible Preference Shares
Note 2 : Redeemable at par on September 26, 2010.
Note 3 : 120,355,205 (Previous Year 90,199,998) shares are held by the holding company, State
Bank of India and its nominees
SCHEDULE 2
RESERVES AND SURPLUS

General Reserve
As per last Balance Sheet 97,481 18,393
Add : Balance of erstwhile SBI Factors & Commercial
Services P Ltd (Refer Note 2 of Schedule 18) 518,062 -
Add: Difference in the net assets of erstwhile 51,829
SBI Factors & Commercial Services Pvt Ltd. and the face
value of the new shares issued, pursuant to the scheme
of Amalgamation (Refer Note 2 of Schedule 18)
Add/(Less): Adjustments to opening balances of SBI
Factors & Commercial Services P Ltd
(Refer Note 2 of Schedule 18)
a) provisions on debts 50,237
b) depreciation on fixed assets (4,268)
Add: Transfer from Profit and Loss Account - 79,088
713,341 97,481
Reserve Fund (as required u/s 45 IC of RBI Act):
Add:Transfer from erstwhile SBI Factors &
Commercial Services P Ltd on account of Amalgamation 205,519 -
Add: Transfer from Profit and Loss Account 13,163 158,176
626,351 407,669
Contingency Reserve: (Refer Note below)
Add:Transfer from erstwhile SBI Factors & Commercial 20,910 -
Services P Ltd on account of Amalgamation
Add: Transfer from Profit and Loss Account 150,537 -
221,236 49,789
Securities Premium Account
As per last Balance Sheet 1,338,571 688,571
Add:On account of Amalgamation with erstwhile SBI Factors 160,000 -
& Commercial Services P Ltd (Refer Note 2 of Schedule 18)
SBIGFL
Schedules Annexed To And Forming Part of The Balance Sheet

March 31, 2010 March 31, 2009
(Rs. ‘000) (Rs. ‘000) (Rs. ‘000
Add: On account of conversion of Preference shares of erstwhile
SBI Factors & Commercial Services Pvt Ltd. during the year 326,996
Add: Additions during the year - 650,000
1,825,567 1,338,571
Profit and Loss Account 822,612 921,615
4,209,107 2,815,125
Note:
Contingency Reserve represents appropriation of profits as a prudent measure to meet any contingency
arising out of non-realisation of debts factored.
Transfer to Contingency Reserve is the aggregate of 0.125% of the total turnover and 0.5% of the uninsured
portion of credit protection provided as an Import Factor, to the extent the same exceeds the amount
transferred to Reserve Fund.
SCHEDULE 3
UNSECURED LOANS
Commercial Paper
Maturity date: Apr 05, 2010 2,000,000 -
Maturity date: Apr 07, 2010 1,000,000 -
Maturity date: Apr 09, 2010 500,000 -
(Maximum outstanding balance Rs. 12,250,000 thousand) 3,500,000 -
Overdraft facility from Banks - 75

(Repayable within one year Rs. NIL;
March 31, 2009 Rs. 75 thousand)
Short Term Rupee Loans from Banks 14,645,199 22,999,891

(Repayable within one year Rs. 14,645,199
thousand; March 31, 2009 Rs. 22,999,891 thousand)
Short Term Rupee Loan from State Bank of India 3,932,559 2,708,161
(Repayable within one year Rs. 3,932,559;
March 31, 2009 2,708,161 thousand)
Short Term Foreign Currency Loans from Banks 102,455 1,724,096
(USD 2,270 thousand ; March 31, 2009 USD
68,372 thousand and EUR 7,225 thousand)
(Repayable within one year Rs. 102,455 thousand;
March 31, 2009 Rs. 1,724,096 thousand)
Short Term Foreign Currency Loan from 2,185,885 1,019,000
State Bank of India
(USD 47,782 thousand, EUR 127 thousand and GBP 313
thousand; March 31, 2009 USD 34,309 thousand)
(Repayable within one year 2,185,885
thousand; March 31, 2009 1,019,000 thousand)
8.60 % 7 Years Non-Convertible Redeemable Debentures
(Subordinated Debt) (Maturity date: May 17, 2013)
- From Banks 20,000 20,000
- From Others 58,000 58,000

(Subordinated Debt) (Maturity date: July 02, 2012)
- From Banks 220,000 220,000
- From Others 2,000 2,000
SBIGFL

March 31, 2010 March 31, 2009
(Rs. ‘000) (Rs. ‘000) (Rs. ‘000

(Subordinated Debt) (Maturity date: Aug 23, 2012)
- From Banks 200,000 200,000
10.40 % 5 Years 7 Months Non-Convertible Redeemable Debentures

(Subordinated Debt) (Maturity date: Apr 18, 2013)
- From Banks 174,000 224,000
- From Others 78,000 28,000
10.30 % 5 Years 7 Months Non-Convertible Redeemable Debentures

(Subordinated Debt) (Maturity date: Jul 18, 2013)
- From Banks 100,000 140,000
- From Others 50,000 10,000
9.75 % 7 Years 1 Month Non-Convertible Redeemable Debentures

- From Others 98,000 98,000
7.35% Promissory Notes of Rs. 100 Lakhs each

- From Banks 50,000 -
- From Others 250,000 -
25,666,098 29,451,223
SBIGFL
SCHEDULE 4
FIXED ASSETS
SBIGFL
[Refer Notes 2(iii) and 2(iv) of Schedule 18] (Rs. ‘000)
Particulars Gross Block (At Cost) Depreciation / Amortisation Net Block

As at Additions Additions on Deductions/ As at As at For On Additions As at As at As at

April 1, during amalgamation Adjustments March April 1, the Deductions on March March March
2009 the Year during during the 31, 2009 year during the amalgmation 31, 31, 31,
the Year Year 2010 Year during the year 2010 2010 2009
Annual Report 2009-2010

Tangible Assets
28
Building * 94,284 113 4,782 - 99,179 10,089 1,617 - 373 12,079 87,100 84,195
Office Equipment 16,001 2,390 4,401 1,904 20,888 7,904 3,442 1,490 3,588 13,444 7,444 8,097
Computers - Hardware 35,349 2,594 12,966 1,327 49,582 29,232 5,485 1,200 11,157 44,674 4,908 6,117
Furniture and Fixtures 27,504 1,646 10,120 3,548 35,722 18,890 4,383 3,163 8,901 29,011 6,711 8,614
Vehicles 12,081 1,116 - 537 12,660 7,098 2,684 337 - 9,445 3,215 4,983
Leasehold Improvements 36,207 11,026 - 4,491 42,742 18,532 11,358 2,955 - 26,935 15,807 17,675
Intangible Assets
Computers - Software 20,900 3,235 6,009 - 30,144 15,966 3,506 - 6,010 25,482 4,662 4,934
Total 242,326 22,120 38,278 11,807 290,917 107,711 32,475 9,145 30,029 161,070 129,847 134,615
Previous Year 222,637 27,464 - 7,775 242,326 79,383 33,781 5,453 - 107,711
Capital Advances 510 2,974

130,357 137,589
* Includes Rs. 500 being the value of shares in Co-operative Housing Society

March 31, 2010 March 31, 2009
(Rs. ‘000) (Rs. ‘000) (Rs. ‘000)
SCHEDULE 5
INVESTMENTS
Long Term Unquoted trade Investments
2,367 (Previous Year Nil) Optionally Convertible

Redeemable Bonds of M/s. K. Sera Sera Productions
Ltd. of Rs.100,000 each 236,700 -
Less : Provision for Doubtful Investments 47,340 189,360 -
189,360 -
SCHEDULE 6
DEFERRED TAX (LIABILITY)/ASSET
Deferred Tax Asset arising on account of
timing differences in:
- Provision for Doubtful Debts 410,721 212,928
- Provision for Doubtful Investments 15,725
- Disallowances U/s 43B 203 380
- Depreciation 1,238 (3,546)
- Allowability of Amalgamation expenses 6,646 -
434,533 209,762
434,533 209,762
SCHEDULE 7
SUNDRY DEBTORS
(Secured)
Debts Factored (Considered Good)
Debts outstanding for a Period Exceeding Six Months* 1,818,157 318,080
Other Debts 10,223,256 4,870,093
12,041,413 5,188,173
(Unsecured)
Debts Factored
Debts outstanding for a Period Exceeding Six Months
- Considered Good * 6,232,998 5,650,299
- Considered Doubtful 1,23,461 626,442
7,469,459 6,276,741
Other Debts (Considered Good)
- Considered Good 12,023,851 19,334,895
- Considered Doubtful - -
12,023,851 19,334,895
19,493,310 25,611,636
31,534,723 30,799,809
Less: Provision for Doubtful Debts 1,236,461 626,442
30,298,262 30,173,367
* These debts include debts which are either not due or not overdue for a period of more than six months
and, hence, do not require a provision as at March 31, 2010 in accordance with the Company policy as
stated in Note 2(vii) on Schedule 18.
SBIGFL

March 31, 2010 March 31, 2009
(Rs. ‘000) (Rs. ‘000) (Rs. ‘000)
SCHEDULE 8
CASH AND BANK BALANCES
Cash on Hand (Including Stamp Papers on
hand Rs. 2,517 thousand [Previous
Year Rs. 1,338 thousand]) 2,596 1,423
Balances with Scheduled Banks in:
- Current Accounts 236,628 137,687
- Fixed Deposit Accounts 1,000 3,150,000
240,224 3,289,110
SCHEDULE 9
OTHER CURRENT ASSETS
Interest Receivable 7,289 13,426
Unexpired discount on issue of Commercial Papers 2,270 -
(Refer Note 2[xiv] on Schedule 18)
9,559 13,426
SCHEDULE 10
LOANS AND ADVANCES
(Unsecured and Considered Good)
Advances Recoverable in Cash or in Kind
or for Value to be Received 4,484 1,764
Import Factor Commission Receivable - 300
Prepaid Expenses 3,267 2,668
Deposits 45,921 22,118
Advance Tax and Tax Deducted at Source
(Net of Provision for Tax Rs. 1,927,776
thousands [Previous Year Rs. 1,267,600 thousands]) 280,078 30,597
Advance Fringe Benefit Tax (Net of Provision for
Tax Rs. 5,839 thousands [Previous
Year Rs. 4,415 thousands]) 508 46
334,258 57,493
SBIGFL

March 31, 2010 March 31, 2009

(Rs. ‘000) (Rs. ‘000) (Rs. ‘000)
SCHEDULE 11
CURRENT LIABILITIES AND PROVISIONS
Current Liabilities
Sundry Creditors
- Dues to Micro Enterprises and Medium Enterprises - -
- Dues to Others 11,914 19,458
11,914 19,458
The Company has not received any intimation from
suppliers regarding their status under the Micro, Small
and Medium Enterprises Development Act, 2006 and
hence disclosures, if any, relating to amounts unpaid
as at the year end together with interest paid/payable
as required under the said Act have not been given.
Other Liabilities [Including Rs. 2,196 thousand towards
gratuity (previous year Rs.494 thousand)] 42,940 138,757
Discount Charges Received in Advance, not accrued 130,644 79,012
Balance with Scheduled Banks overdrawn as per books 3,077 12,188
(Note : Arising on account of cheques issued
against expected receipts)
Interest Accrued But Not Due 14,196 53,908
202,771 303,323
Provisions
Proposed Dividend
- Equity - 194,286
- Preference 9,500 9,500
Provision for Compensatory Absenses 608 1,120
Wealth Tax (Net of Advance Tax Rs. 211 Thousand 106 108
[Previous Year Rs. 147 Thousand])
Income Tax (Net of Advances Tax Rs. 114,110 Thousand) 4,143 -
Fringe Benefit Tax (Net of Advances Tax Rs. 1,253 1
Thousand) 15,973 239,647
218,744 542,970
SBIGFL
Schedules Annexed To And Forming Part of The Profit & Loss Account
March 31, 2010 March 31, 2009

(Rs. ‘000) (Rs. ‘000)
SCHEDULE 12
INCOME FROM FACTORING
Discount Charges 4,122,875 4,215,770
Factoring Charges 165,889 308,590
(Tax Deducted at Source Rs. 46,732 thousand;
Previous Year Rs. 45,320 thousand)
Processing Charges - Gross 48,119 86,760
(Tax Deducted at Source Rs. 603 thousand;
Import Factor Commission - 252
4,336,883 4,611,372
SCHEDULE 13
INTEREST INCOME
Interest on Balances with Banks 11 269
Interest on Fixed Deposits with Banks - Gross 51,707 129,926
(Tax Deducted at Source Rs. 13,820 thousand;
Other Interest Income 7 -
51,725 130,195
SCHEDULE 14
OTHER INCOME
Income on Foreign Exchange Transactions 24,218 43,766
Exchange Gain (net) 2,467 1,938
Liabilities No Longer Required, Written Back 1,703 1,007
Provision for Earlier Years Written Back 28,953 -
Miscellaneous 9,674 4,570
67,015 51,281
SCHEDULE 15
EMPLOYEE COSTS
Salaries * 95,010 72,922
Contribution to Provident Fund 4,805 3,372
Staff Welfare 7,727 5,340
Gratuity 2,189 494
Compensatory Absenses (1,258) 7
Bonus and Exgratia 6,000 30,000
114,473 112,135
*- Includes prior period expenditure of Rs. 282 thousand (Previous Year Nil)
SBIGFL
Schedules Annexed To And Forming Part of The Profit & Loss Account
March 31, 2010 March 31, 2009

(Rs. ‘000) (Rs. ‘000)
SCHEDULE 16
OPERATING AND OTHER EXPENSES
Correspondent Fees 674 1,910
Credit Insurance Charges 6,954 59,018
Rent, Rates and Taxes 66,147 29,105
Repairs and Maintenance
- Building 2,105 2,014
- Others 13,965 9,337
Communication 10,500 9,865
Travelling 11,447 6,084
Conveyance 763 327
Advertisement & Publicity 463 2,441
Auditors’ Remuneration 1,550 1,500
Utilities 7,614 4,914
Insurance 1,921 1,794
Membership and Subscription 2,395 1,777
Motor Car Running Expenses 1,624 2,694
Printing and Stationery 3,105 3,240
Legal and Professional Fees 82,897 36,674
Syndication Fees - 6,165
Outsourcing Costs 4,704 5,854
Director’s Sitting Fees 958 860
(Profit)/Loss on Sale of Fixed Assets (net) 1,420 1,688
Provision for Doubtful Debts 739,443 631,901
Bad Debts written of 1,858,018
Less : Provisions Written Back 176,290 1,681,728 2,411
Provision of Doubtful Investments 47,340 -
Security Charges 1,851 1,910
Service Tax 886 1,061
Share Issue Expenses 750
Miscellaneous 3,191 1,469
2,695,645 826,763
SCHEDULE 17
FINANCIAL EXPENSES
Interest on :
- Non-Convertible Redeemable Debentures 699,806 745,009
- Short Term Loans (including Overdraft) 915,718 2,024,492
- Others - 60
Bank Charges 10,234 9,878
Credit Rating Fees 8,684 6,318
Discount on Issue of Commercial Papers 339,256 160,904
Brokerage on Market Borrowing 2,780 -
Stamp Duty 3,846 1,719
1,980,324 2,948,380
SBIGFL
Schedule Annexed To And Forming Part of The Balance Sheet As At March 31, 2010 And Profit
And Loss Account For The Year Ended March 31, 2010
SCHEDULE 18: SIGNIFICANT ACCOUNTING POLICIES AND NOTES TO ACCOUNTS
1 SIGNIFICANT ACCOUNTING POLICIES
i) Basis of Accounting
The Accounts are prepared under historical cost convention from the books of account
maintained on accrual basis, and comply in all material respects with the accounting standards
notified by the Companies Accounting Standard Rules, 2006 as amended and the relevant
provisions of the Companies Act, 1956, of India (the Act).
ii) Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting
principles requires estimates and assumptions to be made that affect the reported amount of
assets and liabilities on the date of the financial statements and the reported amount of
revenues and expenses during the reporting period. Difference between the actual results
and estimates are recognised in the period in which the results are known/materialised.
iii) Fixed Assets

a. Tangible Assets
Tangible assets are stated at cost of acquisition, less accumulated depreciation.
b. Intangible Assets
Intangible Assets are stated at cost of acquisition less accumulated amortisation.
iv) Depreciation / Amortisation

a . Tangible Assets
The Company provides depreciation on following assets on the straight-line method at the
rates higher than those prescribed in Schedule XIV to the Companies Act, 1956
Asset Rate
Office Equipment 20.00%
Computer Hardware 33.33%
Furniture & Fixtures 20.00%
Vehicles 25.00%
On other assets, the Company provides depreciation on the straight-line method at the rates
and in the manner prescribed in Schedule XIV to the Companies Act, 1956.
Assets individually costing Rs. 5,000 or less are depreciated at the rate of 100% in the year of
purchase. Leasehold improvements are amortised over the period of lease.
b. Intangible Assets
Computer Software is amortised on straight-line method over a period of 3 years.
v) Impairment of Fixed Assets

An asset is treated as impaired when the carrying cost of assets exceeds its recoverable value.
An impairment loss is charged to the Profit and Loss Account in the year in which an asset
is identified as impaired. The impairment loss recognised in prior accounting periods is
reversed if there has been a change in the estimate of recoverable amount.
vi) Reserve Bank of India Prudential Norms

The Company follows the guidelines issued by the Reserve Bank of India, in respect of
income recognition and valuation of investments. In respect of asset classification, the company
follows the guidelines issued by the Reserve Bank of India / stricter norms.
SBIGFL
vii) Provisioning Norms

The provisioning norms followed by the Company are more stringent than those prescribed
by Reserve Bank of India and are as follows:
I. Classification of Non-performing asset:

Category Criteria
Sub-Standard Assets Principal and/or Interest overdue for 6 months or more
Doubtful Assets Principal and/or Interest overdue for 24 months or more
Loss Assets 1. An asset which has been identified as loss asset by the
company or its internal or external auditor or by the Reserve
Bank of India during the inspection of the company, to the
extent it is not written off by the company; and
2. An asset which is adversely affected by a potential threat
of non- recoverability due to either erosion in the value of
security or non-availability of security or due to any
fraudulent act or omission on the part of the borrower
II. Provisioning for Non-performing asset:

(a) The portion of advance/ asset not covered by value of tangible security will be provided
for cumulatively as under:
Category Provision
Sub Standard Assets 20%
Doubtful Assets 100%
Loss Assets 100%
(b) In addition to II (a) above, the portion of advance/ asset covered by value of tangible
security will be provided for cumulatively as under:
Provision %
Sub-Standard Asset 20%
Period for which the advance remains doubtful
Period for which the advance remains doubtful Provision %
Upto 1 year 20%
More than 1 year and upto 3 years 50%
More than 3 years – full loan will migrate to Loss Asset 100%
III. Additional provisions is also made as and when considered necessary.
viii) Investments
Current Investments are valued at lower of cost and fair value.
ix) Foreign Currency Transactions

Foreign currency transactions are recorded at the exchange rates prevailing on the date of
such transactions. Monetary assets and liabilities as at the Balance Sheet date, are translated
at the rates of exchange prevailing at the date of the Balance Sheet. In case of assets and
liabilities covered by forward contracts, the forward premium is recognized over the life of
the Contract and the difference between the year end rate and rate on date of contract is
recognized as exchange difference. Gains and losses arising on account of differences in
foreign exchange rates on settlement/ translation of monetary assets and liabilities are recognized
in the Profit and Loss Account.
SBIGFL
x) Revenue Recognition
(i) Discount charges and interest on advances are accrued on time basis on the balances in
the prepayment accounts at the applicable discount/ interest rates.
(ii) Factoring charges are accrued on factoring of debts at the applicable rates.
(iii) Processing charges are accrued at the time of sanction of the factoring/ financing limits
by the Company.
(iv) Revenue excludes Service Tax, wherever recovered.
xi) Debts Factored

Debts factored by the Company are included under Current Assets as Sundry Debtors (to
the extent funds are paid to the clients).
xii) Taxes on Income

a) Current tax is determined as the amount of tax payable in respect of taxable income for
the period.
b) Deferred tax expense or benefit is recognised on timing differences being the difference
between taxable income and accounting income that originate in one period and are
capable of reversal in one or more subsequent periods. Deferred tax asset and liabilities
are measured using the tax rates and tax laws that have been enacted or substantively
enacted at the Balance Sheet date.
Deferred Tax Asset in respect of carry forward of losses and depreciation is recognised
only to the extent that there is virtual certainty that sufficient taxable income will be
available to realise this asset. All other deferred tax assets are recognised only to the
extent that there is reasonable certainty that sufficient future taxable income will be
available to realise these assets.
xiii) Employee Benefits

Short term employee benefits : All employee benefits payable wholly within 12 months of
rendering service are classified as short term employee benefits. These benefits include
compensated leave such as paid annual leave and sick leave in case of the company’s
employees. For such compensatory absenses provision is made on actual basis based on
balance of unutilized leave available to the employees as at the balance sheet date. The
undiscounted amout of short term employee benefits expected to be paid in exchange for
services rendered by employees is recognized an an expense during the year.
Long term employee benefits : Provident Fund is a defined contribution scheme and the
company’s contributions are charged to the profit & loss account of the year. Long term
compensated absence (in the case employees of ertswhile SBI Factors & Commercial Services
Pvt. Ltd. only) are provided for based on an actuarial valuation. Retirement benefits in the
form of gratuity liability is provided at the end of each year, on the basis of an actuarial
valuation based on the projected unit credit method as per Accounting Standard 15 on
Employee Benefits. Actuarial gains/losses are recognized immediately in the profit and loss
account.
xiv) Discount on issue of Commercial Paper

Discount on issue of commercial papers is amortised over the period to maturity of the
commercial paper. Unexpired discount as at the year end is included under Other Current
Assets.
xv) Provision, Contingent Liabilities and Contingent Assets

Provisions involving substantial degree of estimation in measurement are recognised when
there is a present obligation as a result of past events and it is probable that there will be an
outflow of resources. Contingent Liabilities are not recognised but are disclosed in the
notes. Contingent Assets are neither recognised nor disclosed in the financial statements.
SBIGFL
xvi) Borrowing Costs

All borrowing costs are charged to revenue.
xvii) Leased Assets

Rentals in respect of assets taken on operating lease by the company are expensed as per the
terms of the lease agreement.
2 The Scheme of Amalgamation (‘the Scheme’) of SBI Factors and Commercial Services Private
Limited (the transferor company) (hereinafter referred to as “SBIF”) with the Company (the
transferee company) as approved by the shareholders and was subsequently sanctioned by the
Hon’ble High Court at Mumbai vide its Order passed on 15th January 2010 and filed with the
Registrar of Companies on February 1, 2010.
The transferor company (erstwhile SBIF) is engaged in the business of offering factoring services
to client mostly in the small and medium enterprises sector to meet their working capital
requirements. The transferee company (GTF) is also engaged in factoring services.
In accordance with the scheme all the assets, liabilities, reserves, duties and obligations of SBIF
were transferred to and vested in the Company with effect from 1st April, 2009 (‘ The Appointed
Date’) and these financial statements include the assets, liabilities and reserves of SBIF with
effect from 1 April, 2009.
The results for the year ended 31st March 2010, pending completion of relevant formalities of
transfer of assets, liabilities and arrangements acquired pursuant to the above mentioned scheme,
include such assets, liabilities and arrangements remain in the name of erstwhile SBIF.
As per the Scheme of Amalgamation, each of the shareholders of the erstwhile SBIF, was allotted
100 fully paid up equity shares of Rs.10 each of the company, for every 111 fully paid up equity
shares held by them in SBIF as on the record date (including those equity shares which were
allotted after the conversion of the CCP shares). Accordingly 47,117,510 fully paid up equity
shares of Rs.10 each have been allotted to the shareholders of erstwhile SBIF. These equity
shares rank pari passu with the existing equity shares of the company.
The amalgamation has been accounted for under the “pooling of interests” method as prescribed
by Accounting Standard 14 (AS 14) “Accounting for Amalgamations” issued under Companies
Accounting Standard Rules, 2006 and the relevant provisions of the Companies Act, 1956.
Accordingly, the assets, liabilities and other reserves of the erstwhile SBIF as at 1st April, 2009
have been taken over at their book values as under
Rs. ‘000
Assets taken over at book values:
Fixed Assets 12,567
Current Assets, Loans & Advances 16,357,694
Less: Liabilities taken over at book value:
Reserves & Surplus (after conversion of the preference shares)* 1,241,486
Secured Loans 8,454,714
Unsecured Loans 4,255,506
Current Liabilities and provisions 1,895,551
Net assets taken over 523,004
* In accordance with the Scheme of Amalgamation the balances in the following Reserves as at
the appointed date have been transferred to the Company at their book values:
Reserves & Surplus Rs. ‘000
Share Premium (after conversion of the preference shares) 486,996
General Reserve 518,062
Profit & Loss Account 10,000
Contingency Reserve 20,910
Statutory Reserve u/s 45IC of RBI Act. 205,518
1,241,486
SBIGFL
In accordance with the Scheme of Amalgamation, an amount of Rs. 51,829 thousands, being the
difference in the aggregate of the net assets of SBIF and the aggregate face value of the new shares
issued to the transferor company, pursuant to this scheme has been credited to the General
Reserve.
Pursuant to the scheme of amalgamation, the company has decided to change the policy of
providing depreciation on assets of the erstwhile SBIF (which was written down value method)
so as to make it consistent with the policy of providing depreciation in case of the company
(which is straight line method). As a result of the above, as per the scheme of amalgamation, an
amount of Rs. 4,268 thousands, being the difference in the carrying value of fixed assets as on
1st April 2009 (the appointed date) because of this change has been debited to General Reserve.
Pursuant to the scheme of amalgamation, the company has decided to change the policy of
provisioning norms on assets of the erstwhile SBIF so as to make it consistent with that of the
company. As a result of the above, as per the scheme of amalgamation, an amount of Rs. 50,237
thousands, being the difference in the provision for doubtful debts as on 1st April 2009 (the
appointed date) on account of this change has been credited to General Reserve.
In view of aforesaid amalgamation with effect from 1April, 2009, the figures for the current year
are strictly not comparable to those of the prior year.
3 Contingent Liabilities :
a) No provision has been made in respect of certain disputed demands of Income Tax/Service
Tax pending disposal of appeals/rectification filed by the company with the appellate authorities
amounting to Rs. 71,839 Thousand (As at March 31, 2009 Rs. 24,023 Thousand).
b) Contingent liability not provided for in respect of credit protection provided by the company
as an Import Factor amounted to Rs. 2,563 Thousand (as at 31st March, 2009 Rs. 11,985
Thousand). In case of the credit protection being enforced, the company has insured itself to the
extent of 90% of the liability which amounts to NIL (as at 31st March, 2009 Rs. 10,787 Thousand).
c) Contingent liability not provided for in respect of credit protection provided by the company
on Bank Letter of Credit (LCs) opened for the clients amounting to NIL (as at 31st March 2009 -
Rs. 11,485 Thousand).
4 Details of Operating Leases as lessee:
Particulars Current Year Previous Year

Rs. ‘000 Rs. ‘000
Lease payments debited to the 65,584 29,105

Profit and Loss Account on account
of cancelable lease agreements
SBIGFL
5 The company has a defined benefit gratuity plan for its employees and is funded in a separate gratuity
trust. Where as for employees of erstwhile SBI Factors it is a defined contribution plan and is funded
with an insurance company in the form of a group gratuity policy.
Disclosure for Gratuity in case of employees of the company, as per revised Accounting Standard 15
on “Employee Benefits”, (AS 15) is as follows:
Table 1
Amount to be Recognized in Balance Sheet
Year Ended 31/03/2010 Year Ended 31/03/2009
(in Rs. ‘000) (in Rs. ‘000)
Present Value of Funded Obligations 1,862 2,188

Fair Value of Plan Assets (2,257) (1,694)
Present Value of Unfunded Obligations - -
Unrecognized Past Service Cost - -
Net Liability (395) 494
Amounts in the Balance Sheet
Liabilities (395) 494
Assets - -
Net Liability (395) 494
Table 2
Expense Recognized in Statement of Profit & Loss Account
(in Rs. ‘000) (in Rs. ‘000)
Current Service Cost 605 935

Interest on Defined Benefit Obligation 175 162
Expected Return on Plan Assets (136) (83)
Net Actuarial Losses / (Gains) Recognized in Year (1,039) (520)
Past Service Cost - -
Losses / (Gains) on “Curtailments & Settlements” - -
Total, included in “Employee Benefit Expense” (395) 494
Actual Return on Plan Assets 68 50
Table 3
Reconciliation of Benefit Obligations & Plan Assets for the Period

(in Rs. ‘000) (in Rs. ‘000)
Change in Defined Benefit Obligation
Opening Defined Benefit Obligation 2,188 1,644
Current Service Cost 605 935
Interest Cost 175 162
Actuarial Losses / (Gain) (1,106) (553)
Liabilities Extinguished on Curtailment - -
Liabilities Extinguished on Settlements - -
Liabilities Assumed on Acquisition - -
Exchange Difference on Foreign Plans - -
Benefits Paid - -
Closing Defined Benefit Obligation 1,862 2,188
Change in the Fair Value of Assets

Opening Fair Value of Plan Assets 1,694 1,111
Expected Return on Plan Assets 136 83
Actuarial Gains / (Losses) (67) (33)
Assets Distributed on Settlements - -
Contributions by Employer 494 533
Assets Acquired due to Acquisition - -
Exchange Difference on Foreign Plans - -
Benefits Paid - -
Closing Fair Value of Plan Assets 2,257 1,694
SBIGFL
Table 4
Asset Information
Category of Assets Year Ended 31/03/2010 Year Ended 31/03/2009
% %
Government of India Securities 0% 0%
Corporate Bonds 0% 0%
Special Deposit Scheme 0% 0%
Equity Shares of Listed Companies 0% 0%
Property 0% 0%
Insurer Managed Funds 0% 0%
Others; Bank Deposits 100% 100%
Total 100% 100%
The approximate market value of the assets as at 31 March 2010 was Rs. 2,257 thousand a break up of the
same is as follows:
Category of Assets (Rs. ‘000) (Rs. ‘000)
Government of India Securities - -
Corporate Bonds - -
Special Deposit Scheme - -
Equity Shares of Listed Companies - -
Property - -
Insurer Managed Funds - -
Others; Bank Deposits 2.257 1,694
Total 2,257 1,694
Table 5
Summary of Actuarial Assumptions
Financial Assumptions at the Valuation Date:
March 31, 2010 March 31, 2009
Discount Rate 8.00% 8.00%
Expected Rate of Return on Plan Assets 8.00% 8.00%
Salary Escalation Rate 5% 5%
Disclosure for Gratuity in case of employees of erstwhile SBI Factors and Commercial Services Pvt. Ltd.,
as per revised Accounting Standard 15 on “Employee Benefits”, (AS 15) is as follows:
Profit & Loss Account

Net Employee benefit expense (recognised in Employee Cost)
31-Mar-10
(Rs. ‘000)
Current service cost 301
Interest cost on benefit obligation 175
Expected return on plan assets -89
Net actuarial (gain) / loss recognised in the year 1
Past service cost 0
Net benefit expense 387
0
Actual return on plan assets 154
Balance sheet
Details of Provision for gratuity
Defined benefit obligation 2373

Fair value of plan assets 1215
-1158
Less: Unrecognised past service cost
Plan asset / (liability) -1158
Changes in the present value of the defined benefit obligation are as follows:
31-Mar-10
(Rs. ‘000)
Opening defined benefit obligation 1942
Interest cost 175
SBIGFL
Current service cost 301

Benefits paid -109
Actuarial (gains) / losses on obligation 65
Closing defined benefit obligation 2373
Changes in the fair value of plan assets are as follows:

31-Mar-10
(Rs. ‘000)
Opening fair value of plan assets 898
Expected return 89
Contributions by employer 273
Benefits paid -109
Actuarial gains / (losses) 64
Closing fair value of plan assets 1215
The Company expects to contribute Rs.464 thousand to gratuity in 2010-11.

The major categories of plan assets as a percentage of the fair value of total plan assets are as follows:
31-Mar-10
%
Investments with insurer 100%
The overall expected rate of return on assets is determined based on the market prices prevailing on that
date, applicable to the period over which the obligation is to be settled.
The principal assumptions used in determining gratuity and post-employment medical benefit obligations
for the Company’s plans are shown below:
31-Mar-10
%
Discount rate 8%
Expected rate of return on Plan assets 8%
Salary Escalation Rate 5%
6 Earnings Per Share:

Current Year Previous Year
Rs. ‘000 Rs. ‘000
Net Profit after tax 65,812 790,880
Less: Dividend to Preference Shareholders
(incl. tax thereon) 11,115 26,176
Profit available to Equity Shareholders (A) 54,697 764,704
Weighted average number of Equity shares
outstanding during the period (Refer Note 19) (B) 144,260,365 77,252,146
Nominal Value of Equity Shares (Rs.) 10 10
Basic and Diluted Earnings Per Share (Rs.) (A) / (B) 0.38 9.90
7 Segment information for primary segment reporting (by business segments)
Based on guiding principles given in the Accounting Standard on ‘Segment Reporting’ (AS-17), the Primary
segment of the Company is business segment, which comprises of factoring activity. As the company operates
in a single primary business segment, no segment information thereof is given.
Segment information for secondary segment reporting (by geographical segments)
The Company has a customer base within and outside India.
(Rs. ‘000)
Particulars Domestic International Total
Revenues from external customers 4,080,156 256,722 4,336,879
(Previous Year) 4,036,695 574,677 4,611,372
Segment assets 23,409,319 6,889,696 30,299,016
(Previous Year) 30,606,288 3,274,459 33,880,747
Capital Expenditure
-Tangible 18,885 - 18,885
(Previous Year) 17,938 - 17,938
-Intangible 3,235 - 3,235
(Previous Year) 4,350 - 4,350
SBIGFL
8 Disclosure on Derivatives
The Foreign Currency Exposures that have not been hedged by a derivatives instrument or otherwise as
on 31st March, 2010 are as follows:
Currency Amount
Currency Amount ‘000 Rs. ‘000
(a) Assets (Receivables)
USD 47,397 2,139,510
(52,058) (2,652,368)
EUR 138 8,333
(1,191) (80,364)
GBP 322 21,931
(9) (665)
(b) Liability (Payables)
USD 16 733
(160) (8,175)
EUR 9 523
(3) (172)
GBP 3 172
(2) 163
(c) Loans Payable
USD 50,052 2,259,354
(52,309) (2,665,157)
EUR 137 8,302
(1,155) (77,939)
GBP 495 33,671
- -
As the Company has Foreign Currency outstanding Receivables & Payables which offset each other, the net foreign
currency exposure is minimal.
The above disclosure have been made consequent to an announcement by the Institute of Chartered Accountant of
India in December, 2005, which is applicable to the financial period ending on or after 31st March, 2006.
9A Related Party Disclosures

Name of Related Party Relationship
1 Mr. Sangeet Shukla Key Management Personnel (KMP)
2 Mr. Arvind Sonmale Key Management Personnel (KMP)
3 Mr. V. K. Gupta Key Management Personnel (KMP)
4 State Bank of India (SBI) Holding Company
5 SBI Mutual Fund Associate
6 SBI Capital Markets Limited Fellow Subsidiary (Non-Banking)
7 SBI Funds Management Private Limited Fellow Subsidiary (Non-Banking)
8 SBI DFHI Limited Fellow Subsidiary (Non-Banking)
9 SBI Cards & Payments Services Pvt. Ltd. (SBICPSL) Fellow Subsidiary (Non-Banking)
10 State Bank of Bikaner and Jaipur (SBBJ) Fellow Subsidiary (Banking)
11 State Bank of Hyderabad (SBH) Fellow Subsidiary (Banking)
12 State Bank of Indore (SBIr) Fellow Subsidiary (Banking)
13 State Bank of Mysore (SBM) Fellow Subsidiary (Banking)
14 State Bank of Patiala (SBP) Fellow Subsidiary (Banking)
15 State Bank of Travancore (SBT) Fellow Subsidiary (Banking)
16 SBICI Bank Ltd Fellow Subsidiary (Banking)
17 State Bank of India International
(Mauritius) Ltd Fellow Subsidiary (Banking)
18 State Bank of India (California) Fellow Subsidiary (Banking)
19 State Bank of India (Canada) Fellow Subsidiary (Banking)
20 INMB Bank Ltd, Lagos Fellow Subsidiary (Banking)
21 SBI Life Insurance Company Ltd (SBI LIFE) Fellow Subsidiary (Non-Banking)
22 SBICAP Securities Ltd Fellow Subsidiary (Non-Banking)
SBIGFL
B List of Related Current Year (Rs. ‘000)

Party Transactions: (Previous years’ figures are given in brackets)
Sr. Transactions Holding Fellow Associates Key Mgt

No. Company Subsidiaries Personnel
(KMP)
1 EQUITY SHARE CAPITAL
State Bank of India
Opening balance 902,000
(802,000)
Acquired during the year -
(-)
Issue during the year * 301,552
(100,000)
Closing Balance 1,203,552
(902,000)
Allotted on Conversion of 7.5% Compulsorily 46,723
Convertible Preference Shares #
SIDBI
Allotted on Conversion of 7.5% 14,601
Compulsorily Convertible Preference Shares #
State Bank of Indore

Opening balance -
(-)
Acquired during the year -
(-)
Issue during the year * 28,271
(-)
Allotted on Conversion of 7.5% Compulsorily 4,380
Convertible Preference Shares # (-)
Closing Balance 28,271
(-)
B. 7.5% COMPULSORILY CONVERTIBLE

PREFERENCE SHARES
State Bank of India
(-)
Additions during the year -
(256,000)
Converted into Equity Shares during the year # 256,000
(-)
Closing Balance -
(256,000)
State Bank of Indore
(-)
(24,000)
(-)
Closing Balance -
(24,000)
SIDBI
(-)
(80,000)
(-)
Closing Balance -
(80,000)
SBIGFL


(KMP)
B. SECURITIES PREMIUM
State Bank of India
Opening balance 1,300,000
(650,000)
Issue during the year * -
(650,000)
(1,300,000)
2. UNSECURED LOAN
SBI International - Mauritius
(752,333)
Loans taken during the existence of relationship 8,730,399
(12,834,711)
Loans repaid during the existence of relationship 9,764,601
(12,450,387)
(1,136,657)
SBI London
(759,984)
Loans taken during the 12,879,329
existence of relationship (7,035,600)
Loans repaid during the 12,814,043
(2,124,506)
State Bank of Mysore

Opening balance -
(1,000,000)
Loans taken during the -
existence of relationship (-)
Loans repaid during the -
Closing Balance -
(-)
State Bank of Hyderabad
999,998
existence of relationship (999,998)
(4,000,000)
State Bank of Patiala
(-)
Loans repaid during the 500,000
Closing Balance -
(500,000)
SBIGFL


(KMP)
State Bank of India

(600,000)
(3,108,161)
State Bank of Travancore

-
(2,500,000)
State Bank of India CP

Opening balance -
(-)
Closing Balance -
(-)
State Bank of India -7.35% Subordinate Debt

(-)
Loans repaid during the -
(-)
3 BANK BALANCE
State Bank of India (Admin) CC A/c
Closing Balance -7,101
(-)
State Bank of Mysore (INR Loan)
(725,908)
Closing Balance (290)
(647,452)
SBIGFL


(KMP)
State Bank of Patiala

(1,291,719)
Closing Balance (300)
(1,088,148)
State Bank of India INR
(9,834,659)
Closing Balance (43,240)
(5,771,619)
4 INTEREST PAYABLE
SBI International - Mauritius -
(1,380)
SBI - London 1,349
(2,738)
State Bank of India ODD A/c 732
(-)
SBI London - FC Line of credits 1,180
(-)
5 INTEREST EXPENSES
SBI International - Mauritius 27,370
(42,691)
State Bank of Hyderabad 53,932
(106,952)
State Bank of Mysore 11,833
(93,524)
State Bank of Patiala 17,611
(97,698)
State Bank of Travancore 135,175
(16,374)
State Bank of India ODD A/c 5,184
(181,916)
SBI - London 21,935
(25,263)
SBI Commercial Paper 50,474
(-)
State Bank of India 178,507
(234,861)
6 SBI Capital Market Ltd 4,413
(-)
SBICAP Securities Ltd 2
(-)
7 GIFTS & PRESENATAION
State Bank of India 460
(499)
SBIGFL


(KMP)
8 RENT PAID

(-)
9 Salary paid to Deputed Staff

(147)
10 BANK CHARGES / PROCESSING FEES
SBI International - Mauritius 2,497

(3,449)
State Bank of India INR 2,658
(2,020)
State Bank of Patalia INR 2,995
(-)
State Bank of Mysore 1
(-)
11 Meeting Fees
State Bank of India 363
(590)
12 INVESTMENT
SBI Mutual Fund
Opening balance -
Investment made during the year 9,287,225

(19,661)
Investment liquidqted during the year 9,292,624
(19,672)
Closing Balance -
(-)
Profit of Investments 5,399
(11)
13 REMUNERATION TO KEY MANAGERIAL PERSONS
Mr. Sangeet Shukla
Opening Balance Payable -
(-)
Remuneration for the year 995
(-)
Closing Balance Payable -
(-)
Mr. Arvind Sonmale
(-)
Remuneration for the year 5,331
(4735)
(-)
Mr. V K Gupta
(-)
Remuneration for the year 3,538
(2493)
(-)
SBIGFL
10 Estimated amount of contracts to be executed on capital account for
- Tangible Assets Rs. Nil (Previous Year Rs. 56 thousand)

- Intangible Assets Rs. 5900 thousand (Previous Year 2,284 thousand)
11 Managerial Remuneration

Rs. ‘000 Rs. ‘000
Salaries and Bonus * 5,539 4.885
Contribution to PF & Other Fund 301 296
Monetary Value of Perquisites 4,024 2,047
Total Managerial Remuneration 9,864 7,228
12 Auditors’ Remuneration:

Rs. ‘000 Rs. ‘000
As Auditors 900 1,200
In Other Capacity
- As Tax Auditors 200 300
- In any other manner (Including certification) 25 510
Out of Pocket Expenses 123 28
1,248 2,038
13 Expenditure in Foreign Currency (On Accrual basis)

Rs. ‘000 Rs. ‘000
Correspondent Fees 674 1,910
Travelling 693 467
Membership and Subscription 311 10
Interest on Short Term Loans 61,584 123,456
Directors Sitting Fees - 100
Advertising - 155
Legal Fees & Expenses 389 -
Others 3,296 3,531
14 Earnings in Foreign Currency:

Rs. ‘000 Rs. ‘000
Income from Factoring
- Discount Charges 164,353 262,200
- Factoring Charges 17,888 53,493
- Import Factoring Charges - 252
- Processing Charges 3,504 15,664
Bank Interest 11 269
Miscellaneous Income 5 8
SBIGFL
15 Details of Purchase and Sale of Investments during the year ended March 31, 2010
Mutual Funds
Name of Scheme Amount of Purchase Quantity
(Rs. ‘000) Purchased/Sold
ABN/Fortis Money Plus Inst.Growth 1,700,149 125,566,937
ABN/Fortis Overnight -Inst.Plus Growth 1,700,000 152,040,422
Birla Cash Plus Inst.Premium Growth 153,000,000 10,595,415,469
BOB Pioneer Liquid IP Growth 79,850,000 7,803,326,675
BOB Pioneer Treas.Advantage Fund -Inst.Growth 850,099 84,027,591
Canbank Liquid plus Inst Growth 6,000,000 559,077,791
Canbank Liquid Super Inst Growth 107,822,000 9,870,244,482
Canbank MF Floating Rate STP Instt.Growth 100,000 7,346,891
DBS Chola Freedom Income STP Inst.-Cum-Org 6,200,663 429,086,510
DBS Chola Liquid Super Inst.Plan-Growth 13,952,537 1,121,825,192
DWS Insta Cash Plus Fund-Super Inst.Plan Growth 109,000,000 9,376,057,554
Fidelity MF Cash Fund Super I.P. Growth 6,900,000 566,721,502
Fidelity Ultra Short Term Debt Super IP Growth 3,150,313 272,299,389
HDFC Cash Management Fund savings Plan Growth 12,100,000 641,752,377
HDFC Cash Mgt.- Treasy.Adv. Wholesale Growth 8,501,103 433,992,173
HDFC MF Liquid Fund Premium-Growth 61,602,758 3,395,485,568
IDFC Cash Fund Super IP Growth 49,513,000 4,502,227,283
IDFC Money Manager -Treasury SIP Plan Growth 7,300,885 689,654,527
ING Vysya Liquid Super Inst.Plan Growth 11,560,095 869,923,862
ING Vysya Treasury Adv.Fund-Inst.Growth 200,025 16,571,972
J.P.Morgan India Liquid Fund Growth Plan 850,000 74,632,654
J.P.Morgan India Liquid Fund Super Inst .Growth Plan 2,450,000 210,258,614
J.P.Morgan India Treas.Fund Super Inst- Growth 150,014 12,615,652
J.P.Morgan India Treasury Fund Super Inst- Growth 2,550,319 220,200,333
JM High Liquidity Fund Super Ins.Plan-Growth 24,152,784 1,719,193,982
JM Money Manager Fund Super Plus Plan -Growth 8,250,981 654,475,687
Kotak Liquid Institutional Prem.Growth 140,950,000 7,692,029,945
LIC MF Floating Rate -Short Term Growth Plan 29,483,590 2,027,175,816
LIC MF Liquid Fund-Growth 45,281,824 2,761,860,019
Lotus MF-Liquid Inst.Premium Growth 5,820,000 480,516,346
Lotus Ultra Short Term Fund.Inst.Growth 2,550,376 209,956,445
Principal Cash Mangt.Inst.Premium -Growth 22,321,000 1,592,153,546
Pru ICICI Liquid Inst. Cum-P31INP 8,100,000 621,698,143
Pru ICICI Liquid Inst. Plus SIP Growth 171,550,000 7,828,624,021
Reliance Floating Rate Fund - Growth 50,515,000 3,534,345,367
Reliance Liquid Fund-Treasury Plan- Growth 1,690,000 75,536,691
Reliance Liquidity Fund -Growth 4,190,000 310,462,968
Reliance Liquidity Fund -Treasury Plan Inst.-Growth 41,459,000 1,904,807,857
Reliance Money Manager Fund Int.-Growth 3,650,425 2,970,595
Religare Liquid Fund Inst.Grwth 39,622,000 3,151,533,177
Religare Liquid Fund.Super Inst.Growth 39,211,789 3,172,078,156
Religare Ultra Short Term Fund.Inst.Growth 4,250,467 343,402,388
SBI Magnum Insta Cash Fund-Cash Option 3,450,000 172,085,380
SBI MF Inst.Cash Plan-Growth 1,500,000 78,767,943
SBI MF Magnum Insta Cash Option 657,000 33,277,676
SBI MF Premier Liquid Super IP Growth 1,230,000 87,508,551
SBI-SHF-Ultra Short Term Fund-Int.Plan Growth 2,450,225 209,437,379
Sundaram Money Fund Super IP Growth 9,679,610 512,225,986
Sundaram Ultra ST Fund Super Inst.Growth 6,350,696 528,608,461
Tata MF Floating Rate Short Term Inst.Growth 2,000,000 143,227,893
Tata MF Liquid Super High Inv.Dividend Appreciation 3,120,000 1,892,520
Tata MF Liquid Super High Invest.Plan Growth 19,600,000 11,834,432
TATA Treasury Manager Super High Inv.Plan-Growth 1,650,182 1,606,679
Templeton India TMA Super IP Growth 7,750,000 5,819,104
Templeton India Ultra Short Bond Fund SIP Growth 2,550,306 220,808,271
Templeton MF Floating Rate ST IP Growth 2,050,000 154,285,989
UTI Liquid Cash Plan Institutional Growth 2,300,000 1,563,145
UTI Liquid Inst.Cash Plan Growth 3,650,000 2,494,927
UTI Money Market Fund Institutional Growth Plan 850,000 84,768,582
UTI Money Market Fund Growth Plan 19,512,734 327,080,732
UTI Treasury Advantage Fund IP- Growth 9,901,206 8,157,304
Total 1,390,305,155 92,698,623,519
Note 1: No loss has been incurred on any sale during the year.
SBIGFL
16 Schedule in terms of Paragraph 13 of Prudential Norms as per Notification No.DNBS.

193 DG(VL)- 2007 dated February 22, 2007 issued by Reserve Bank of India.
LIABILITIES SIDE : Amount Amount Amount Amount
Outstanding Overdue Outstanding Overdue
Rs. ‘000 Rs. ‘000 Rs. ‘000 Rs. ‘000
1 Loans and advances availed by the NBFCs
inclusive of interest accrued thereon but not paid:
(a) Debentures :
- Secured - - - -
- Unsecured (other than falling within the meaning 1,313,294 - 1,013,294 -
of public deposits*)
(b) Deferred Credits - - - -
(c) Term Loans 24,366,999 - 28,491,837 -
(d) Inter-corporate loans and borrowing - - - -
(e) Commercial Paper - - - -
(f) Other Loans (specify nature) - - - -
Amount Outstanding
ASSETS SIDE: Current Year Previous Year
Rs. ‘000 Rs. ‘000
2 Break-up of Loans and Advances including bills
receivables [other than those included
in (3) below: ] #
(a) Secured - -
(b)Unsecured 53,672 26,851
(Excludes Advance Payment of Tax)
3 Break up of Leased Assets and stock on hire and

hypothecation loans counting towards
AFC activities (net of provision)
(i) Lease assets including lease rentals under sundry debtors
(a) Financial lease - -
(b) Operating lease - -
(ii) Stock on hire including hire charges under sundry debtors:
(a) Assets on hire - -
(b) Repossessed Assets - -
(iii) Other loans counting towards AFC activities
(a) Loans where assets have been repossessed - -
(b) Loans other than (a) above - -
# Debts Shown under Sundry Debtors have not been Considered
4 Break-up of Investments :
Current Investments: - -
1. Quoted : - -
(i) Shares : (a) Equity - -
(b) Preference - -
(ii) Debentures and Bonds - -
(iii) Units of mutual funds - -
(iv) Government Securities - -
(v) Others (please specify) - -
2. Unquoted :
(b) Preference - -
SBIGFL
Amount Outstanding
ASSETS SIDE: Current Year Previous Year

Rs. ‘000 Rs. ‘000

Long Term investments :

1. Quoted : - -
(b) Preference - -
2. Unquoted :
(b) Preference - -
(ii) Debentures and Bonds 189,360 -
5 Borrower group-wise classification of all leased assets, stock-on-hire and loans and advances:
Amount net of provisions
Category Secured Unsecured Total
1. Related Parties
(a) Subsidiaries
(b) Companies in the same group
(c) Other related parties - - -
2. Other than related parties 53,672 53,672

(Previous Year) - 26,851 26,851
Total (Current year) - 53,672 53,672
Total (Previous year) 26,851 26,851
SBIGFL
6 Investor group-wise classification of all investments (current and long term) (both quoted and
unquoted):
Category Market Value Book Value Market Value Book Value

Break-up (net of Break-up (net of
or fair Provisions) or fair Provisions)
value or NAV value or NAV
1. Related Parties
a) Subsidiaries - - - -
b) Companies in the same group - - - -
(c) Other related parties - - - -
2. Other than related parties - - - -
Total - - - -
7 Other Information
Rs. ‘000 Rs. ‘000
Particulars
(i) Gross Non Performing Assets
(a) Related Party - -
(B) Other than Related Parties 6,351,920 3,132,211
(ii) Net Non-Performing Assets

(a) Related Party - -
(B) Other than Related Parties 5,068,119 2,505,769
(iii) Assets acquired in satisfaction of debts - -
17 Disclosures as per circular No. DNBS (PD). CC. No. 125/03.05.002/2008-2009 dated August 1, 2008,
relating to guidelines for NBFC-ND-SI as regards to Capital Adequacy, Liquidity and disclosure norms.
A) CRAR
Items Items Current Year Previous Year

i) CRAR (%) 19.88% 14.51%
ii) CRAR - Tier I Capital (%) 16.25% 11.60%
iii) CRAR - Tier II Capital (%) 3.63% 2.91%
SBIGFL
B) Exposure to Real Estate Sector

(Rs. ‘000)
Category Current Year Prvious Year
a Direct Exposure* 116,250 191,363
(i) Residential Mortgages - Lending fully
secured by mortgages on residential property
that is or will be occupied by the borrower or that
is rented; (Individual housing loans up to
Rs.15 lakh may be shown separately) - -
(ii) Commercial Real Estate - Lending secured by
mortgages on commercial real estates (office
buildings, retail space, multipurpose commercial
premises,multi-family residential buildings,
multi-tenanted commercial premises, industrial or
warehouse space, hotels, land acquisition,
development and construction, etc.).
Exposure would also include non-fund
based (NFB) limits; - -
(iii) Investments in Mortgage Backed Securities (MBS)
and other securitised exposures -
a. Residential - -
b. Commercial Real Estate - -
b) Indirect Exposure
Fund based and non-fund based exposures on National
Housing Bank (NHB) and Housing Finance Companies (HFCs). - -
* Exposure is unsecured
C) Asset Liability Management

Maturity pattern of certain items of assets and liabilities
(Rs. in crore)
1 day to Over Over 2 Over 3 Over 6 Over 1 Over 3 Over 5 Total
30/31 1 month months months months to 3 to 5 years
days to 2 to 3 to 6 to 1 years years
(One months months months year
month)
Liabilities
Borrowings from Banks 1,792 2 2 157 150 - - - 2,103
Market Borrowing 350 - 1 4 7 63 85 11 520
Assets
Advances 1,721 690 432 186 - - - - 3,030
Investments - - - - - - - - -
18. The previous year’s figures have been reworked, regrouped, rearranged and reclassified wherever
necessary. Accordingly, amounts and other disclosures for the preceding year are included as an
integral part of the current year financial statements and are to be read in relation to the amounts and
other disclosures relating to the current year.
Signatures to Schedules 1 to 18 forming part of the Accounts.
For Contractor,
Nayak & Kishnadwala
Chartered Accountants O.P. Bhatt Sangeet Shukla
G. S. Nayak Chairman Executive Vice Chairman & CEO
Partner
Mumbai Mumbai
SBIGFL
Balance Sheet In US $
Balance Sheet As At March 31, 2010
March 31, 2010 March 31, 2009

US $* US $ * US $**
SOURCES OF FUNDS
Shareholders’ Funds
Share Capital 34,356,437 21,124,389
Reserves and Surplus 93,744,031 55,503,253
128,100,468 76,627,642
Loan Funds
Unsecured Loans 571,628,018 580,662,914
Total 699,728,486 657,290,556
APPLICATION OF FUNDS
Fixed Assets
Gross Block 6,479,220 4,777,721
Less: Depreciation 3,587,305 2,123,640
Net Block 2,891,915 2,654,081
Capital Advances 11,359 58,636
2,903,274 2,712,717
Investments 4,217,372 -
Deferred Tax Asset 9,677,795 4,135,686
Current Assets, Loans and Advances
Sundry Debtors 674,794,254 594,900,769
Cash and Bank Balances 5,350,200 64,848,383
Other Current Assets 212,895 264,708
Loans and Advances 7,444,509 1,133,537
687,801,859 661,147,397
Less: Current Liabilities and Provisions
Liabilities 4,516,058 5,980,343
Provisions 355,756 4,724,901
4,871,814 10,705,244
Net Current Assets 682,930,045 650,442,153
Total 699,728,486 657,290,556
* 1 US $ = Rs. 44.90
** 1 US $ = Rs. 50.72
Note: Previous year’s figures have been regrouped / recast / reworked / rearranged / reclassified
wherever necessary
SBIGFL
Profit And Loss Account In US $

Profit And Loss Account For The Year Ended March 31, 2010
Year Ended Year Ended
March 31, 2010 March 31, 2009
US $* US $**
INCOME
Income from Factoring 96,589,822 90,918,218
Interest Income 1,152,004 2,566,936
Profit on Sale of Current Investments (Net) 10,582,784 6,485,509
Other Income 1,492,539 1,011,061
Total 109,817,149 100,981,724
EXPENDITURE
Employee Costs 2,549,510 2,210,864
Operating and Other Expenses 60,036,637 16,300,532
Interest and Financial Charges 44,105,212 58,130,521
Total 107,414,633 77,307,946
PROFIT BEFORE TAXATION
Provision for Taxation 2,402,516 23,673,778
- Current Taxation 5,456,570 11,494,479
- Excess Provision for Taxation for Earlier Years
Written Back (281,960) -
- Deferred Taxation (4,239,243) (3,440,674)
- Wealth Tax 1,403 1,282
- Fringe Benefits Tax - 25,631
936,770 8,080,718
PROFIT AFTER TAXATION 1,465,746 15,593,061
Profit and Loss Account Balance Brought
Forward from Previous Year 20,525,947 11,956,191
Add : On account of amalgamation of erst while 222,717
SBI Factors and Commercial and Services Pvt. Ltd.
20,748,664 11,956,191
PROFIT AVAILABLE FOR APPROPRIATION 22,214,410 27,549,252
APPROPRIATIONS:
Proposed Dividend
- Equity - 3,830,560
- Preference 211,581 187,303
Transfer to General Reserve - 1,559,306
Transfer to Reserve Fund 293,163 3,118,612
Transfer to Contingency Reserve 3,352,717 -
Profit and Loss Account Balance 18,320,980 18,170,644
Carried to the Balance Sheet
22,214,410 27,549,252
Note : Previous year’s figures have been regrouped / recast / reworked / rearranged / reclassified wherever necessary
SBIGFL
SBI GLOBAL FACTORS LIMITED

Formerly Known as GLOBAL TRADE FINANCE LIMITED
Additional information pursuant to Part IV of Schedule VI to the Companies Act, 1956, of India
Balance Sheet Abstract and Company’s General Business Profile
I Registration Details
Registration No. U 6 5 9 2 9 M H 2 0 0 1
P T C 1 3 1 2 0 3
State Code 1 1
Balance Sheet Date 3 1 0 3 1 0
II Capital Raised during the Year (Amount in Rs. Thousands)

Public Issue Rights Issue
N I L N I L
Bonus Issue Private Placement
N I L 4 7 1 1 7 5
III Position of Mobilisation and Deployment of Funds (Amount in Rs. Thousands)
Total Liabilities Total Assets
3 1 6 3 6 5 5 3 3 1 6 3 6 5 5 3
Sources of Funds
Paid-Up Capital Reserves and Surplus
1 5 4 2 6 0 4 4 2 0 9 1 0 7
Secured Loans Unsecured Loans
N I L 2 5 6 6 6 0 9 8
Application of Funds
Net Fixed Assets Investments
1 3 0 3 5 7 1 8 9 3 6 0
Net Current Assets Deferred Tax Asset
3 0 6 6 3 5 5 9 4 3 4 5 3 3
Miscellaneous Expenditure Accumulated Losses
N I L N I L
IV Performance of Company (Amount in Rs. Thousands)
Turnover and Other Income Total Expenditure
4 9 3 0 7 9 0 4 8 2 2 9 1 7
+ - Profit/Loss Before Tax + - Profit / Loss After Tax
1 0 7 8 7 3 6 5 8 1 2
(Please tick appropriate box + for Profit, - for Loss)
+ - Earnings per Share in Rs. Dividend Rate %
0 . 3 8 0 0 . 0 0
(Please tick appropriate box + for Earnings, - for Loss)
V Generic Names of three Principal Products/Services of the Company (as per monetary terms)
Item Code No.(ITC Code) Product Description
N A F A C T O R I N G O F
D E B T S
For and on behalf of the Board of Directors
O. P. Bhatt Sangeet Shukla Amita Joshi

Chairman Executive Vice Chairman & CEO Company Secretary
Mumbai
Dated: April 27, 2010
SBIGFL
Registered Office Coimbatore

3rd Floor, chamber Towers, 8/732
Mumbai Avanashi Road,Coimbatore - 641 018
6th Floor, The Metropolitan, Bandra-Kurla Tel: +91-422 – 2222001
Complex, Bandra (E), Mumbai - 400 051 Fax: +91-422 – 2222279
Tel: +91-22- 30440300
Fax: +91-22-6694 6098/99
Hubli
Ground Floor, T B Revenkar Comforts,Travelers
Regional Offices Bunglow Road, Near Court Circle,
Hubli - 580 029
Ahmedabad Tel: +91-836 - 2353423/25
401, Sakar II, Ellis bridge, Ahmedabad - 380 006 Fax: +91-836 – 2353424
Tel: + 91-79-4006 8501/ 02/03
Fax: +91-79-4006 8504 Jaipur
1st Floor, Silver Square, C-18,Bhagwan Das
Bangalore Road, C-Scheme, Jaipur - 302 001
S 821/822, 8th Floor Manipal Centre, Tel: +91-141-4002178 / 79 / 80
47 Dickenson Road, Fax: +91-141-4002170
Bangalore - 560 042
Tel: +91-80-30569749 Kochi
Fax: +91-80-40923761/25583619 41/418 E, 4th Floor, Chicago Plaza, Rajaji Road,
Ernakulam - 682 035
Chennai Tel: +91-484-2378431/32
2nd Floor, Karumuthu Centre,634-Anna Salai, Fax: +91-484-2378430
Nandanam, Chennai - 600 035
Tel: +91-44-2434 1201/02/03 Visakhapatnam
Fax: +91-44-2434 1204 Ground Floor, Narayana Towers, 43-9-16/13,
Diamond Park Extension, Beside Trinetra
Hyderabad Supermarket, Railway New Colony, Main Road,
S-2, ANR Centre,Road # 1, Banjara Visakhapatnam - 530 016
Hills,Hyderabad - 500 034 Tel: +91-891 - 2716179/80
Tel: +91-40-3064 8460/61 Fax: +91-891 – 2716178
Fax: +91-40-3064 8466
Pune
Kolkata Office No.103, 1st Floor,
Surabhi Merlin, 8/1/2 Loudon Street, “Renaissance” 1277,
Kolkata - 700 017 Jangli Maharaj Rd.,
Tel: +91-33-2289 6366 / 67 / 68 Pune - 411 004.
Fax: +91-33-2289 6383 Tel: 020 25536777
Fax: 020 25536700
New Delhi
906-907 Narain Manzil, Barakhamba Road, Ludhiana
Connaught Place, New Delhi - 110 001 BXXXI-14627, Gandhi Nagar,
Tel: +91-11-4160 8581/82/83 G.T. Road, Near Dholewal Bridge,
Fax: +91-11-4160 8580 Ludhiana-141 003
Tel: 0161-2545626
Satellite Offices Fax: 0161-2544426
Chandigarh Indore
SCO 51-52, Sector 8C, Madhya Marg, LG-1&2, Starlit Towers, YN Road,
Chandigarh - 160 018 Indore 452 003
Tel: +91-172-4668752 Tel: 0731 4280025
Fax: +91-172-4668751 Fax: 0731 4280023
SBIGFL
Shar
Sharee of MSME
MSMEss in number of SBIGFL
SBIGFL’’s Client Account
Accountss
as on March 31, 2010
MSME
Non-MSME
43%
57%
SBIGFL
SBIGFL’’s International Factoring Market Shar
Sharee
SBIGFL
Competitors 30%
70%
According to FCI figures

published for CY 2009
SBIGFL
SBIGFL’’s Domestic Factoring Market Shar
Sharee
SBIGFL
20 %
Competitors
80 %
According to FCI figures

published for CY 2009
SBIGFL

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SBI Global Factors Ltd.

Corporate Governance Report 11

Management Discussion and Analysis 14

Report of Comptroller & Auditor General of India 20

Profit and Loss Account 23

Cash Flow Statement 24

Schedules To Balance Sheet and Profit And Loss Account 25

Profit and Loss Account in US $ 55

Shri. O. P. Bhatt Chairman

Shri. R. Sridharan Director

Smt. Bharati Rao Director

Shri V. Kannan Director

Shri. B.K.Vatsaraj Independent Director

Shri. Y. Vijayanand Independent Director *

Smt. Bhama Krishnamurthy Director*

Shri. S. Rajendran Director *

Shri. Ashwin Ankhad Independent Director*

* as on 10th June 2010

Shri O.P. Bhatt

Shri Y. Vijayanand Smt. Bhama Shri S. Rajendran Shri Ashwin Ankhad

Shri Sangeet Shukla

Paras Kuhad & Associates

Summary of Financial Results

* 1US$ = Rs. 44.90 ** 1US$ = Rs. 50.72

Changes And Developments

During the year,

1. Domain name change for e-communication :-

2. Domain name changed for the web-site:-

3. Change of factoring software:-

Rating Rating Amount Particulars

Name of Nos. of Equity % of pre Nos. of new Total % of post

Conservation of Energy, Technology Absorption & Foreign Exchange

Internal Audit and Limited Review of Quarterly Accounts

Corporate Governance Report

Management Discussions & Analysis Report

Comments of the Comptroller and Auditor General of India Under Section

Directors’ Responsibility Statement

For and on behalf of the Board of Directors

Place : Mumbai O.P. Bhatt

Corpor ate Governance Report

Name and Designation Category of Director No. of Board No. of

* Excluding Banks, Foreign Companies, Corporations etc.

Meetings of the Board

Members of the Audit Committee are as follows:

Name of the Member No. of Audit Committee Meetings attended

* Director upto : 02/07/2009

3. Executive Committee of the Board:

During the year,

4. General Body Meetings:

AGM Financial Date of Time Venue

The following Special Resolutions were passed at the above AGMs :

AGM DETAILS OF THE SPECIAL RESOLUTION

5. General Shareholder Information:

Indian Economic Scenario: Resilience of the Indian Economy

Interest Rate Scenario:

Merger of SBIF with GTF:

Outlook for the Factoring Services:

Performance of the Company:

For Contractor, Nayak & KIshnadwala

For and on behalf of

Contractor, Nayak & Kishnadwala

Place: Mumbai G. S. Nayak