Key Ratios for CAMEL Rtings Th e ke y r a t i os us ed b y t h e ex am i n e rs t o det e rm i n e t he C AM E L r at i n g of an yinstitution are given below.

Capital-------------Total Assets This is a capital adequacy ratio that measures capital in relation to total assets.Capital provides a cushion to absorb losses, its rate of growth should equal or exceed therate of growth in total assets. Capital Estimates losses----------------------------------Total Assets This ratio measures the capital adequacy [capital less estimated losses] in relationto total assets. A low ratio value in relation to the peer group average indicates limitedability to withstand losses and / or future economic downturns. Delinquent loans-----------------------Total Assets This is an asset quality ratio that measures delinquent loans in relation to the totalloans. It indicates not only control but also potential losses. Net charge offs-----------------------Average loans This is an asset quality ratio that measures net charge -off in relation to averageloans. Charge-off is an important indicator of the effectiveness of lending and collection practices. Non earning assets-------------------------------Total Assets Basically this is an asset quality ratio. A high value ratio in relation to the peer group average may indicate that the bank is not maximizing its asset / earning potential. Operating expenses Provision for loan losses Interest expenses-------------------------------------------------------------------------------------Average Assets