A SUMMER TRAINING REPORT IN INALSA LTD.

ON
THE CONSUMER BANKING OF ABN-AMRO BANK, INDIA AND AN ANALYTICAL REVIEW OF ITS PAST, PRESENT AND FUTURE TRENDS

SUBMITTED IN PARTIAL FULFILLMENT OF REQUIREMENT OF BACHELOR OF BUSINESS ADMINISTRATION (B.B.A) GURU JAMBHESHWAR UNIVERSITY, HISAR

TRAINING SUPERVISOR
MAHESH KUMAR (SALES MANAGER)

SUBMITTED BY:
ENROLLMENT NO.:

JAGANNATH INSTITUTE OF MANAGEMENT SCIENCES

ROHINI DELHI-110085

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ACKNOWLEDGEMENT
A good project work requires sound knowledge of the subject concerned and skilled to make proper use of this knowledge. I am very grateful to all who equipped us with the right mindset to make us still more receptive to such knowledge and skill.

I am also sincerely thankful to Mr. Mahesh Kumar for imparting us wisdom and injecting marketing instincts in us.

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TABLE OF CONTEST
Project Title Company Certificate Acknowledgement Executive Summary Introduction About the industry Range of product and services RULES AND REGULATIONS SWOT analysis (Company) Research methodology Research Objectives Data sources Primary Data Secondary data Questionnaire design / formation Sample Design Sample element / unit Extent Time Frame Sampling Frame Limitations of research Company profile Data analysis and interpretation Conclusions and findings Recommendations Annexure Bibliography

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EXECUTIVE SUMMARY
Company Name: ABN-AMBRO BANK, INDIA Project Location: Greater Kailash-1 (Delhi)
A study of the consumer banking of ABN-AMRO Bank, India and an analytical review of its past, present and future trends ABN-Amro is the world's leading emerging markets bank. it employs 32,000 people in over 500 offices in more than 56 countries in the asia pacific region, south Asia, the middle east, Africa, united kingdom and the America . The bank is into serving both consumer and wholesale banking customers. the consumer bank provides credit cards, personal loans, mortgages, deposit taking activity and wealth management services to individuals and medium sized businesses. The wholesale bank provides services to multinational, regional and domestic corporate and institutional clients in trade finance, cash management, Custody, lending, foreign exchange, and interest rate management and debt capital markets. Foreign banks in India are subject to the same regulations as scheduled banks. They are permitted to accept deposits and provide credit in accordance with the banking laws and RBI regulations. Currently about 25 foreign banks are licensed to operate in India. Foreign bank branches in India finance trade through their global networks. The expertise of ABN-Ambro Bank with over 150 years' experience, global network of 500 offices in 56 countries making it one of the leading providers of treasury financial services. As the largest independent distributor of third party funds, ABN-Ambro Bank gives investors choice, unbiased evaluation of funds and a portfolio management account that matches your risk profile and investment goals.

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my project involved informal discussion with some of the executives in the field for improving the aggressive promotions which were found to be poor during the study.With years of banking experience. ABNAmbro Bank recognizes its Responsibilities lies to its staff and to the communities in which it operates. 5 . Apart from the above detailing. ABN-Ambro Bank is undoubtedly in a strong position to help growing businesses sail through the complexities they may face. Also I was associated with certain marketing tasks to locate some strategic areas in the region concerned where new bank branches and Atm could be put up.

All other banks had to do so by March 1996. BANKING India has an extensive banking network. India's government-owned banks dominate the market. in both urban and rural areas. numerous private and foreign banks exist. Their performance has been mixed. and all Indian financial institutions are in the public sector. An inter-departmental committee approves applications for entry and expansion. of these many commenced banking business. Though public sector banks currently dominate the banking industry. 6 . while Indian banks with overseas branches had until March 1995 to meet that target. All large Indian banks are nationalized. while keeping the national insurance companies in operation. The banking sector is to be used as a model for opening up of India's insurance sector to private domestic and foreign participants.INTRODUCTION ABOUT THE INDUSTRY The Reserve Bank of India (RBI) is India's central bank. Foreign banks operate more than 150 branches in India. economic and political bilateral relations. Several public sector banks are being restructured. CAPITAL ADEQUACY NORM Foreign banks were required to achieve an 8 percent capital adequacy norm by March 1993. and in some the government either already has or will reduce its ownership. with a few being consistently profitable. PRIVATE AND FOREIGN BANKS The RBI has granted operating approval to a few privately owned domestic banks. The entry of foreign banks is based on reciprocity.

Several licenses for private banks have been approved. more than 350 central cooperative banks. Despite fairly broad banking coverage nationwide. 20 land development banks. namely the State Bank of India and the nationalized banks. It is also responsible for granting licenses for new bank branches. It supervises and administers exchange control and banking regulations. Indian and foreign. 25 foreign banks operate in India with full banking Licenses. These are the scheduled commercial banks. which operate in rural areas. the regional rural banks. SCHEDULED AND NON SCHEDULED BANKS There are approximately 80 scheduled commercial banks. and the cooperative and special purpose rural banks. the financial system remains inaccessible to the poorest people in India. RANGE OF PRODUCT AND SERVICES • • • • Personal Finance Credit Cards Priority Banking Investment Advisory Services • • • • Personal Investments Insurance Deposits and Retail Services Retail FX Products 7 . not covered by the scheduled banks. In terms of business. INDIAN BANKING SYSTEM The banking system has three tiers. dominate the banking sector. and administers the government's monetary policy. It is the sole authority for issuing bank notes and the supervisory body for banking operations in India. almost 200 regional rural banks.RBI BANKING The Reserve Bank of India is the central banking institution. and a number of primary agricultural credit societies. the public sector banks.

ABNAMRO Bank not only stands high among all but is giving them a fierce competition. insurance and unit trusts. Not only this when made comparison with almost all the leading banks of India. It focuses on further exploiting new market solutions for support services with the aim to achieve better products and services for our clients at lower costs. RULES AND REGULATIONS Not only this. Foreign banks in India are subject to the same regulations as scheduled banks. SWOT ANALYSIS (ABN-AMRO BANK) Strenghts • • • • • • • • • Market position is strong Aggressive foreign bank Shareholders return has grown more than 7 times Maintains a position as a leading Asian Cash Management provider Brand . Currently about 25 foreign banks are licensed to operate in India. They are permitted to accept deposits and provide credit in accordance with the banking laws and RBI regulations. Foreign bank branches in India finance trade through their global networks. ABN-AMRO Bank provides well-developed remote channels for your banking convenience through our 24-hour phone banking and Internet banking.Services Services was established to create cost savings through consolidation and standardisation.SCB’s modern and dynamic look appeals to the growing middle income earners One of the most profitable MNC in India Improved product proposition Better geographic balances Multi-cultural organization that offers opportunities to good managers 8 . the bank provides the widest range of foreign currencies for your investment needs plus other products such as housing loan.

ICICI. ABN-Ambro Bank .Weakness • • • • • • • • • • • • HDFC. Citibank and HSBC are dominant players Has disadvantage due to last entry Fewer locations as compared to other MNC banks Service delivery perception is weak Branch expansion for rapid growth Increase focus on value creation in whole banking Improve shareholders return Build market share in consumer banking as consumer banking continues to offer highest potential for growth Broadening of the demographic base Tie ups with master card networks Integrated sales and service approach Can offer a complete corporate package into under proposed corporate relationship Threats • • • • IDBI is pitching in quite aggressively Citibank is expanding in new markets Competitive products and offers from ICICI and HDFC Proposed networking of all branches in next 6 months Reduced business in OECD busing Opportunities • 9 .

SAMPLE DESIGN /SAMPLE ELEMENT / UNIT The survey was done using Non-Probability Convenience Sampling. To study the brief history of the Bank. India. which provided an accurate snapshot of some aspect of market environment such as the services offered by ABNAmbro Bank in keeping up with the changed banking scenario in DELHINCR. 4.RESEARCH METHODOLOGY RESEARCH OBJECTIVE DESIGN 1. the hypothesis and the scope of the research. The sample size was fixed to eight offered services with 39 full-time operative Bank branches. 2. 2. SAMPLING FRAME  Descriptive. A study on the present standing of Bank’s Accounts in the industry. A pilot testing of the plot was done along with the Company sales team before going in to the actual field. Comparative study of the saving accounts with other leading MNC Banks of India. in tune with the changed business scenario (aggressive sales and promotions) of the banking sector is not adequate and effective. 5. experience-based research. To formulate a comprehensive SWOT Analysis. Study on the services being offered in tune to the ‘Consumer Banking’ approach.” The research methodology deals with the following questions: 1. 3. • PRIMARY SOURCE 10 . QUESTIONNAIRE DESIGN / FORMATION The following thoughts were kept in mind while acquiring data like  Clear research objective which describes the kind of information needed. DATA SOURCES “Services and facilities offered by ABN-Ambro Bank .

This research study was done to know about the perception of customers regarding ABN AMRO . All the branches in the targeted area were contacted to be a part of the study. Extent The research is concentrated in DELHI-NCR. and the constraints under which the researcher has to work caused these limitations. which cannot be avoided. The present study may have the following limitations. NEED OF RESEARCH The purpose of research is to discover answers to questions through the application of scientific procedures. Time Frame it took around 2 months for preparing this project. websites.. The secondary data could be collected from Journals. The needs of the study arise because other banks such as sbi. The data such collected is original in character. The advantages of secondary data can be economical. both in the term of money and time spent. SECONDARY SOURCES When an investigator uses the data that has been already collected by others is called secondary data. newspapers. Reports and Various Publications.Primary data is that kind of data which is collected by the investigator himself for the purpose of the specific study. These includes data which have already gone through stastical processes. 11 . LIMITATIONS OF THE STUDY In spite of all the care and effort has some basic limitations. It has been used in form of questionnaire and observation which are the two basic methods of collecting primary data and which suffices all research objectives.It includes data already provided by sources like company monthly fact sheet.hsbc is the main rival brand of ABN AMRO Bank and the Bank wants to know about the perception of the rival brand among the customers.

3. Every effort was made to extract the correct information from the respondents. and Other sources. the chance of some variables not appearing in the study could not be ruled out. The accuracy of result was limited to the reliability of method of investigation. Despite the best efforts to include all-important variables. The study is unable to escape the usual limitation due to constraints of Time. Money. sampling techniques and analysis of data. 4.sampling errors may have crept into the study. 12 . 6. 2. Some of the sampling and non. 5. Where as a wider geographical coverage would have made the study more representative. but the ignorance on their part could have played its role.1. The study was limited to 45 respondents only.

This lot was known as "the Cornerstone of Detroit". In 1981 Landmark Savings and Loan (Saginaw/Bay City. 1893-present Early years. Anne's Church. Wayne Federal Savings (Michigan) was acquired in 1975 and in 1980 First Federal Savings of Niles (Michigan) merged with Standard Federal. Offices opened in the basement of the old McGraw Building at the corner of Griswold and Lafayette in downtown Detroit. Also in 1973 Main offices were moved to a larger building in Troy at 2401 Big Beaver Road. 1893-1929 Standard Savings & Loan Association in Detroit was established on 25 April 1893. 13 . 1970-1987 In 1970. taking over the charter of the Workman's Savings and Loan Association. Michigan) and First Savings Association of Dowagiac (Michigan) were taken over. Conversions and expansion. Total assets in 1973 reached USD 1 billion.COMPANY PROFILE ABN-AMBRO BANK HISTORY Standard Federal Bank NA. as it was the site of the first building ever raised in Detroit: Ste. Land was purchased in 1927 and Standard then constructed its own headquarters at the north-west corner of Griswold and Jefferson in 1927. Main offices were moved to Birmingham on Woodward Avenue near 16 Mile Road. In that year assets surpassed USD 10 million. Standard moved to a larger building at the corner of Griswold and Larned Streets in 1914. Birmingham Federal Savings (Michigan) merged with Standard Federal. built in 1701.

This was one of the largest stock conversions by dollar amount in the history of the thrift industry. the bank acquired two savings institutions in Michigan: First Federal Savings and Loan Association of Kalamazoo (originally known as the Kalamazoo County Building Loan Association) and Peoples Savings Bank. Standard Federal celebrated its centenary. 78 of which were full-service branches. This was the largest 14 . Adrian (Michigan) was acquired with effect of 8 August 1992. Further acquisitions and a new parent company. First Federal Savings of Fort Wayne. During 1989. Standard Federal had 83 offices in 16 counties in Michigan and Indiana. The conversion from a mutual company to a publicly owned stock company listed on the New York Stock Exchange took place on 28 January 1987. On 6 September 1991. F. Standard acquired Heritage Federal Savings Bank in Taylor (Michigan). The bank stands as the largest thrift institution in the Midwest and the 7th largest in the United States. On 1 January 1985.S. Standard Federal entered the Ohio market. and South Bend Federal Savings and Loan Association (all of Indiana) were taken over in November 1983. gaining a significant presence in the north-west Ohio area through the acquisition of United Home Federal Savings and Loan Association of Toledo. the bank converted from a federally chartered mutual savings and loan association to a federally chartered mutual savings bank and changed its name from Standard Federal Savings and Loan Association to Standard Federal Bank.B. In December of the same year. Assets reached USD 5 billion in 1984. On 28 August 1986. Fort Wayne Federal Savings. As of 31 December 1986. in Monroe. First Federal Savings and Loan Association of Lenawee County. On 25 April 1993. the bank's Board of Directors adopted a Plan of Conversion providing for the bank's conversion from a mutual to a stock institution. with assets of approximately USD 10 billion. 1988-1996 The acquisition of Tower Federal Savings Bank of South Bend (Indiana) was completed on 18 June 1988.In the largest merger in Standard Federal's history: American Federal Savings of Fort Wayne.

Standard Federal's total assets amounted to USD 15. The acquisition was completed on 1 May 1997. The total price of USD 1.. Standard Federal was the largest savings bank in the Midwest of the US. loans serviced for others of USD 10.9 billion makes it the largest acquisition ever made by ABN AMRO. our strategic focus is on the mid-market segment. Private Banking. PROFILE ABN AMRO is an international bank with European roots. 15 . ABN AMRO reached an agreement to take over Standard Federal Bancorporation Inc. On 21 November 1996.7 billion. In 1996. and the fourth largest bank in the State of Michigan. This is the client area where we have a strong and distinctive competitive advantage and where we feel we can be most profitable in the future.5 billion and stockholders' equity of USD 956. We are active in four principal customer segments: Personal Banking. as well as private clients. a unitary thrift holding company.8 million. Inc. Effective 1 May 1995.0 billion.single acquisition in Standard Federal's history. The ABN AMRO Corporate Values and Business Principles provide the framework within which we carry out our operations. Business and Commercial and Corporate and Institutional. Standard Federal Bank became a wholly owned subsidiary of Standard Federal Bancorporation. Colonial Central Savings Bank (1994) and Fidelity Savings Bank (1996). Although we serve a broad range of clients. Other acquisitions by Standard Federal include Inter First Bankcorp (1993). At 31 December 1996. Our business mix gives us a competitive edge in our chosen markets and client segments. with total deposits of USD 11. Our strategy is built on leveraging our advantages as a Group to create the best value for – and with – our clients. We have a clear focus on consumer and commercial clients in our local markets and focus globally on select multinational corporations and financial institutions.

ABN AMRO ranks eighth in Europe and 13th in the world based on total assets. The BU Private Clients provides private banking services to wealthy individuals and families and has EUR 142 billion in Assets under Administration (as at 31 December 2006).000 full-time equivalents and total assets of EUR 987 billion (as at 31 December 2006).In brief. Organization We implement our strategy through a number of Business Units (BUs). We have two global Client BUs to serve clients with global needs. We have three Product BUs: Global Markets. Europe. These units are responsible for managing a distinct region. and commercial markets. client segment or product segment. Services 16 . Latin America and Asia. ABN AMRO is among the world's leading players in these businesses. We have five regional Client BUs: the Netherlands. our history going back to 1824. North America. private client. which is one of the world's leading asset managers.500 branches in 53 countries. Asset Management. Global Markets develops products for our commercial clients across the globe. Transaction Banking is our product organization covering all payments and trade in the bank for our retail.. These BUs serve about 20 million consumer clients and small to larger businesses worldwide. while also sharing expertise and operational excellence across the Group. a staff of more than 105. The BU Global Clients serves our 550 multinational clients. operates from over 20 locations worldwide and manages EUR 193 billion worth (as at 31 December 2006) of assets for private investors and institutional clients. Asset Management and Transaction Banking. with more than 4. ABN AMRO is a prominent international bank..

"We have set up the NBFC since that will increase our liquidity. Segments To provide all our clients with even better products and services. at a press conference held here. These segments focus on aligning the Client BUs with the Product BUs. an NBFC. The company hopes to build up a Rs 1. 17 . Its basic functions are governance (facilitating the implementation of Managing Board policy throughout the bank). non-convertible debentures and inter-corporate deposits in the local debt market." said .Services was established to create cost savings through consolidation and standardisation. and sharing expertise across the company.100-crore balance sheet in a year's time by disbursing funds to top corporate in India. which will be scaled up to $50 million over 18 months. standard and policy setting (setting the parameters that the BUs work within). which will be ABN-Ambro Bank 100 per cent subsidiary. we plan to raise commercial papers. Group Functions Group Functions collaborates with the BUs in maximising client and shareholder value. CEO. SCILL will start with an equity capital of $7. we also have a crossBU Consumer Client Segment and a cross-BU Commercial Client Segment. It focuses on further exploiting new market solutions for support services with the aim to achieve better products and services for our clients at lower costs.5 million. India Region. ABN-Ambro Bank . sharing best practices and exchanging winning formulas across the Group in order to deliver high-quality solutions to our client bases across the world. ABN-Ambro Bank sets up a 100 per cent Subsidiary Our Banking Bureau11 March 2007 Mumbai: ABN-Ambro Bank has set up ABNAmbro Bank Investments and Loans (India) Ltd (SCILL). The foreign bank has chosen this route to access the domestic capital markets.

and we hope to raise several cores of rupees for them. Over 100 charities will participate. Why Run for a Cause  Because it is a great way to show that you care. As a tribute to the spirit of Mumbai. to a cause you choose. India Business Standard. reach out and do so. Boston and Singapore marathons. ABN-Ambro Bank . The mood was upbeat. Ravikumar. and can be much easier than you think . 18 . Give India is the first "philanthropy exchange" in India. charity will be at the heart of this year's event. M.250 corers every year for their charities. and the national flag was held high as Mumbai and India wore its heart on its sleeve. 2005 The ABN-Ambro Bank Mumbai International Marathon 2005 was arguably one of the biggest sporting event in the city of Mumbai in recent times.000 people who run the London Marathon raise £35 million or over Rs. ABN-Ambro Bank Mumbai Marathon 2006 © 2005 ABN-Ambro Bank . A slew of support activities are planned and materials created to help anyone who would like to make a difference. January 25. said Mr.The NBFC's corporate clientele would be similar to that of the bank's client list. Give India doesn't seek donations for itself.1 crore was raised through the event for various charities. Managed by the nonprofit GIVE Foundation. Mumbai. Regional Head.A. Celebrities and corporate head honchos in 1000s ran and raised money for a cause they supported. Because running for a cause and raising pledges can be great fun. Special packages have been designed to encourage people to raise pledges for a cause of their choice.ask any of the people who did so last year. the adrenaline pumping. Over Rs. As do runners at the New York. but helps you make your donations more efficiently and effectively. Give India is the Official Charity Partner to the ABN-Ambro Bank Mumbai Marathon 2005 (SCMM 2005).  Because the 35. Global Markets.

joins the game Indian Express. Called Grind lays Relief Bond Fund. Says A. Chairman of the Association of Mutual Funds in India (AMFI). accountable and effective way to make a difference to the lives of the underprivileged. the offer from ABN-Ambro Bank Mutual Fund. There are 3 ways for an applicant to raise pledges  The Dream Team  The Corporate Challenge  The Pledges' United ABN-Ambro Bank Fund Mgmt. It is feared that the words “Relief Bond” will confuse the small investor who may associate the mutual fund with the RBI paper that is no longer in the market. HDFC AMC has already used the term “Relief Bond Fund” for its debt fund offering without offering any substantial reason for using the word ’relief’ in the scheme name. Wednesday December 15. Amfi will take an official view on 19 . but others in the industry are concerned about confusing nomenclature of scheme names. Kurten. is the second fund offering to call its debt fund a “Relief Bond Fund”. We need to examine what ’relief’ the fund houses are offering. 2004 3:26 AM By Monika Hal an ABN-Ambro Bank AMC’s draft offer document for its new closed end debt fund is now on the Sebi website. the industry association: “There should be truth in labeling of fund schemes. As reported earlier by this newspaper. a charity that you trust to use the pledges you raise in a transparent. The CEO of ABN-Ambro Bank AMC Naval Bir Kumar did not respond to calls to his office on this issue.P. Because you choose the cause or charity you would like to run for. but whose brand name is still popular.

The investment objective of the Grind lay’s scheme is “growth of capital by investing in a portfolio of fixed income securities normally in line with the duration of the scheme”. Primary data: It has been collected by meeting various managers of the ABNAMRO Bank. challenges from the competition and 20 . since they offered tax relief. Secondary data: From newspaper. The risk profile: Low to medium. There seems to be no reason given in the ABN-Ambro Bank offer document that offers a clue as to what the ’relief’ in the scheme will be. the scheme is not limited to buying government or institutional paper or offering low-risk. The data was collected by getting the respondents to interact on a one to one basis. However. things may look up for the retail investor because sources in SEBI say some change can be expected in the name of these funds. examining its performance in the financial cards market. GTB. Libraries. magazines. COLLECTING THE DATA Data collection has been done from both sources primary as well as secondary. The aim is growth that comes with low to medium risk. as it facilitated explaining to them questions in which they had doubt. Financial Cards Company Profile – Abn Amro Euro monitor’s ABN AMRO company profile offers detailed strategic analysis of the company’s business. The report examines company shares by region and sector. ICICI. UTI and IDBI. Citibank. So. The RBI paper was associated with zero risk and tax breaks. HSBC. market and distribution strategies. RBI had good reason to call its bonds ’relief’ bonds. tax-free returns.this in a couple of days”. ABN-Ambro Bank . HDFC. brand portfolio and new product developments. The asset allocation is debt and money market instruments (100 per cent).

Use this company profile to understand opportunities and threats facing the business and the factors driving success. offering quality products by means that are convenient to customer. Services Provided By ABN-Amro Bank Through the network of over 500 offices in more than 50 countries. Their long heritage of nearly years has enabled them to change with time. developing an understanding of customers changing financial needs at different stages of your life. ABN-Ambro Bank offers personal financial solutions relevant to you as an individual. We have a unique capability to develop reliable information resources to help drive informed strategic planning. ABN-Ambro Bank treasure building a relationship with the customer. ABN-AMRO Bank offer includes:     Personal Finance Credit Cards Priority Banking Investment Advisory Services    Personal Investments Insurance Deposits and Retail Services 21 .future prospects. With network of over 600 analysts worldwide.

re-decorating home. ABN-AMRO Bank's Personal Loans can help fulfill the dreams.  A simple mortgage process. without having to answer unnecessary questions. Personal Loans. Start by trying our "instant approval” service. especially in key markets of Hong Kong. Singapore.  Tax benefits. Whether planning a vacation. PERSONAL FINANCE Mortgages In many of the markets where ABN-Ambro Bank operate.  Quick approval and realization. Personal loan is specially designed to get the money need in time. Everything is done up front. option of flat or reducing interest rates  Low EMI (equated monthly installments)  No hidden costs like processing charge. paying for child's college education. Personal Loans ABN-AMRO Bank helps the customer to be in control of his/her own finances. and without any collateral or mortgages. 22 . without any guarantees or collaterals. Choose Installment Loan or Revolving Loan.  No unfair collateral demands.1. Malaysia. or simply wish to have a standby line of credit for unforeseen expenses. are available to customer to meet specific credit needs. they are reported to be the market leader for mortgages. whatever suits best. Their experienced and dedicated teams will guide the individual in every single step to enable him a smooth and hassle-free experience. offering him rates and repayment packages most suitable. Unique Features:  Low interest rates.

One can take out money from our own savings account .e. The bank can give credit line from Rs 25000 to maximum of Rs 250000 depending upon the banks qualifying criteria. i. One is required to pay only 5% of there outstanding and the rest as you like and no repayment penalties. ranging from a compact 12-month period to a comfortable 36-month span.Unique Features:  Choose the repayment plan most convenient. One gets an ABN AMRO BANK multicast cherub book and a free international Debit Card. no EMI’s with the credit line account.  Quick and easy processing. Now you can link your credit line account to your ABN AMRO BANK savings account 23 . whenever and wherever you want to 24 hrs a day and 365 days in a year. One can pay back as they like. Features1) 24*7 access to loan 2) Slab rate of interest 3) No fixed Emi’s In the facility being offered one can borrow from whenever and pay back at there convenience. Credit line ( Cash on your terms) Is the perfect loan over draft facility.  Free to use the money for renovating house or meeting some unexpected expenses etc.  No collateral or security.

Revolving credit facility. Priority Banking offers the very highest levels of personalized banking to match unique status. And lead a life of privilege and preferred financial solutions tailored perfectly for you . 24 .  World-class service assistance and 24-hour customer help line.with Priority Banking from ABN-Ambro Bank . allowing repaying card outstanding over time. Smart credit cards with special privileges and security. at a convenience.PRIORITY BANKING Experience new standards in banking.  Cash withdrawal in local currency at Visa and MasterCard linked ATMs across the world.     Platinum. Attractive rewards programs.2. Gold or Classic cards to suit lifestyle and needs. 3. worldwide acceptance. and round-the-clock convenience. Benefits:   Welcomed at the largest number of merchant outlets across the world. Affinity and co branded credit cards that give additional benefits from our partners. CREDIT CARDS ABN-AMRO Bank Visa and MasterCard credit cards ABN-Ambro Bank credit cards provide financial flexibility. Designed specially for those who appreciate only the finest things in life.

 A dedicated Customer Relationship Manager trained to understand specific financial needs and help to manage assets at home and abroad. a customer will find banking with a reassuring and secure experience.  Special invitations to exclusive events. who will settle for nothing but the best and demand the highest standards of service in all your banking relationships. Priority Banking. worldwide. It is as personalized as can be. Bank is committed to helping a plan. which are absolutely free of charge.  Entitled to exclusive benefits. Unique Features:  Personalized Priority card will give instant recognition of priority status at all branches of ABN-Ambro Bank.  Preferential pricing on our various products. Many account facilities.   A complimentary pre-approved Gold Standard Credit Card . ABN-AMRO Bank Priority Banking is created specifically for a chosen few individuals. build and protect wealth by offering individual attention as well as international banking and investment opportunities to meet current and future needs. Commission free VISA traveler's cherubs.By embracing a holistic approach to financial well being and commitment to personal Wealth Management with a full range of innovative products and services. 25 .  Special foreign exchange rates. It's like owning the bank.

assess risks and shortlist top-performing funds.  Available across 8 cities. evaluate risk profile and customize an asset allocation plan to realize financial aspirations. ABN-AMRO Bank Investment services puts a whole new world of possibilities within the reach of people who would like to achieve their financial goals but have many other demands on their time. INVESTMENT ADVISORY SERVICES The ABN-Ambro Bank Investment Advisory Services is comprehensive process that assists in planning for future. expertise and know how to seek the best performing investments around the world. With this service. PERSONAL INVESTMENTS ABN-AMRO Bank is the leading independent distributor of unit trusts and mutual funds in Asia. Bringing unmatched skill. 5.  Trained investment services counselors. they can help to review financial goals. Because they don't actually manage their own investment funds. Using a unique risk evaluation to gauge the level of risk customer can be comfortable with.4. customer can be ensured of a personalized investment portfolio catered to needs. Unique Features:  A one-stop shop offering a wide range of investment options to grow your wealth. they can help to make the right investment decisions. it can be assured of different investment options and a wealth of informative and relevant updates. 26 .  Sophisticated research franchise. conduct a financial health check. they are absolutely objective in fund evaluation process. coupled with a proprietary fund evaluation process to identify funds. With trained Investment Services Consultants from countries around the globe.

 Demand drafts. they offer premium interest savings plans like Higher Education Fund to turn the dreams into reality.  Foreign exchange services.DEPOSITS AND RETAIL SEVICES Deposits ABN-AMRO Bank offers a wide array of deposit products in both local and foreign currencies to help to earn competitive interest rates. They are dedicated to protecting the customer. These include:  Automated banking services.  Tailor made investment plans suited to risk taking ability. With a comprehensive range of products. his family. 7. INSURANCE ABN-Ambro Bank recognizes the things important to customer and his family. 27 . 6. Retail Services ABN-AMRO Bank offers a comprehensive range of retail services in many countries. Their strategic alliance with Prudential and CGU Insurance puts us in a very strong position to provide for Life and General Insurance needs. In some countries.  Safe deposit boxes.  Local and foreign currency cherubs. Their international network offers an extra convenience while abroad. and his hard earned assets and even his future earnings giving him the assurance he needs. Impartial and unbiased analysis on options best suited. ABN-Ambro Bank is set to protect the World.

PHONE BANKING As part of commitment to meeting all needs. No more queues. MOBILE AND E-MAIL ALERTS ABN-Ambro Bank always try and make life simple. With Secure Internet Banking ID and Password.  Transfer funds amongst your linked accounts. a customer can login and take care of his/her banking and credit card needs at his/her convenience and time. 3.  Inquire about the status of a particular cheque.  Make complaints and suggestions.’ Mobile and E-mail Alerts' service is designed just for that. ABN-Ambro Bank offer Phone Banking a service that enables you to access a wealth of financial information. Through Phone Banking:  Check your account balance.  Get information on deposit rates. 2. no more waiting.  Call Room Service to open your account.  Order demand drafts.  Get details about specific transactions. exchange rates and bank charges. 24 hours a day. 7 days a week. 4. ADDITIONAL SERVICES INTERNET BANKING You’re banking needs now taken care of at the click of a mouse. Telegraphic transfers. SMARTFILL DEBIT CARD 28 .  Access information on any of our products and services.  Traveler’s cherubs. lending rates.

launched in association with Bharat Petroleum. 29 . will help to save on fuel purchases and even gets you free fuel.Smart fill Debit Card.

365 days a year. 30 .Unique Features:  Earn reward points every time you use the card to make purchases ANYWHERE. Card bill amount automatically gets debited from your savings bank account. What's more. ATM ABN-AMRO Bank ATMs give the freedom to conduct most of the banking transactions 24 hours a day.5% surcharge levied on most credit or debit cards. besides benefits at leading retail outlets and restaurant.000 in India. the customer don't have to pay the 2. There are no transaction charges on the use of card. 6 CREDIT CARD HELP-LINE As part of commitment to meeting all needs. so that customer doesn’t have to worry about the last minute payment rush. Smart fill Debit Card is globally valid. customer can enjoy the advantages of ECS.     5. which you can then redeem for fuel at select Bharat Petroleum outlets. The ATM card is and absolutely free. 7. It gives access to 12 million merchant establishments worldwide and over 55. When the card is use to make purchases at select Bharat Petroleum outlets. use ATM card at any of the 50 ATM centers across the country. 24 hours a day. ABN-Ambro Bank offer the facility of calling them over the phone to access a wealth of information on credit cards. ELECTRONIC CLEARING SYSTEM ABN-Ambro Bank introduces ECS (Electronic Clearing System). Since this entire process happens through the Reserve Bank of India's electronic clearing mechanism. The card gets an exclusive discount of 5% at select In & Out stores at Bharat Petroleum outlets. an innovative facility for busy people.000 ATMs worldwide through the Visa ATM network. A customer can access over 3500 ATMs in India for FREE* and over 750. With this facility. 7 days a week.

ABNAmbro Bank fax a report of all transactions made the previous day. Customer will still receive his/her regular monthly statements. 31 . Every day.8. FAX BANKING It’s the most efficient way to stay on top of the business finance.

without ever having to carry cash! The Flex Plus account provides with a globally valid debit card that provides these and a host of other exciting benefits. wherein the numbers of transactions are few and which give the customer liquidity. with the facility to earn some interest on the residual balances.MAINTANING ACCOUNTS WITH ABN-AMRO BANK DEPOSITS Demand deposits Time deposits Saving account Current account Fixed deposits Individual Twin-one account Parivaar account SAVING ACCOUNT DEMAND DEPOSITS 1. 32 . With the Flex Plus account the customer can now access cash at over 1800 ATMs in India to free and at over 650. he can use his account to shop for goods and services at over 25. An account primarily opened for and operated by individuals. Besides.000 ATMs worldwide through the Visa network.000 outlets in India and at 10 million outlets worldwide. SAVING ACCOUNT ABN-Ambro Bank introduces Flex Plus .a revolutionary savings account that provides with unparalleled Flex Plus to money.

Multi-city banking.special privileges for shopping at select merchant outlets. letting you earn the High interest rate of a fixed deposit while you enjoy the flexibility of a savings & current account. extended banking hours.  Exciting usage benefits such as Travel Cash Back . 365 days branches.lost card insurance. Rasoi ongoing privileges in restaurants.discounts on airfare. each designed to provide the most convenient banking experience could ever get!  Free access to cash at over 1800 ATMs in 35 cities in India  Globally valid debit card  The debit can be used to make purchases at over 25.  Phone banking. 33 . purchase protection and personal accident cover.000 merchant outlets in India and at over 10 million outlets worldwide. Fab Deals .  Unique free insurance benefits . lockers facility and doorstep banking. PARIVAAR ACCOUNT One-stop solution for your entire family's banking needs: A unique Wealth Management Solution that offers the family flexibility and tools for wealth accumulation and preservation. 2-IN-1 ACCOUNT The best of both worlds: A unique account that offers you double advantage. Internet banking.Unique Features: There are several unique features about the ABN-Ambro Bank's Flex Plus account. discounts at all BPCL IN & Out stores and special rates on BPL electronic items plus a host of other discounts vouchers.

wherein the numbers of transactions are much higher than a normal savings account.2. Unique Features:  High Liquidity  Unlimited transactions  Zero Interest  Any branch banking TERMS DEPOSITS A term deposit is a deposit held for a contracted period of time and a contracted rate of interest.f.june27. Terms deposits rates: INTEREST RATE (CARDED) FOR TERM DEPOSITS w. The Rate of interest for term deposits is higher than that applicable for a normal savings account and Penal rates of interest is applicable if the deposit is withdrawn before the contracted period.e.2007 34 . No interest is paid on these accounts. CURRENT ACCOUNT An account opened and operated primarily by corporate for commercial use.

75% 5.180 days 181-187 days 188-188 days 189-7 months 7 month 1 day-8 month 8 months 1 days.50% 5.59 days 60-60 days 61-90 Days 91-98 Days 99-99 Days 100-120 days.50% 6.50% 5.00% 7.00% 35 3.50% 7.00% 5.75% 5.00% 5.00% 5.75% 6.755 8.50% 5.9 month 9 months 1 days.75% 6.00% 6.50% 6. 121-150 days 151.75% 5.50% 5.50% 7.00% 6.50% 7.>15 lakhs DOMESTIC/NRO <=15 lakhs <1 crore =1 crore 07-14 Days 15-30 Days 31-44Days 45-45 Days 46.00% 7.50% 5.00% 5.00% 4.75% 8.75% 5.50% 5.287 days 288-288 days 289.50% 5.50% 5.75% 5.00% 3.00% 4.75% 6.50% 6.00% 5.75% 5.50% 5.75% 5.50% 6.00% 5.50% 5.75% 5.10 months 0.0% 4.50% 7.50% 5.00% .50% 5.00% 6.71%% 5.06% 5.50% 5.50% 5.50% 5.75% 8.50% 5.00% 7.75% 5.50% 5.

00% 6.50% 6.25% 6. maar juist ook het potentieel in achterstandswijken centraal staat.35% 6. 3 Yrs 1 day-3 yrs 2 day.00% 6.10 months 1 days-11 month 11 month 1 day-1 yr 1 yr 1 day 400-400 days 401-18 months 18 months 1 day. 2) de fysieke omgeving. maar ook kansrijk! Het is tijd voor een aanpak in het wijkenbeleid. 6. de afwijkende culturele identiteit biedt vaak ook volop kansen voor economische ontwikkeling.50% 6.25% 6. Belangrijk in het rapport is de observatie dat het zicht op de positieve aspecten van de culturele identiteit van achterstandswijken de laatste jaren ten onrechte vertroebeld is. Sterker nog.35% 6. waarin niet alleen de problematiek.50% 6.35% 6. Veel wijken staan als kansarm te boek.50% 6.25% 6.25% 6. 3) voorwaarden voor ondernemerschap en 4) sociale cohesie. 2 yr 1 day.50% Economen ABN AMRO: achterstandswijken niet alleen kansarm. 36 . De economen: 'Een hoog aantal niet-westerse inwoners is niet per se onwenselijk.5% 6.25% 6.00% 9. Wijken en Integratie in Pulchri in Den Haag.00% 6.00% 6.00% 6.00% 6.5% 6.255 6. Dat stelt het Economisch Bureau van ABN AMRO in het rapport 'Kijk op de Wijk: Kansarm of Kansrijk?' dat op Prinsjesdag is aangeboden aan minister Vogelaar van Wonen.3yrs.5% 6.23 months 23 months 1 day-2 years.50% 6. maar zijn in feite tevens als kansrijk te beschouwen!' Het rapport doet aanbevelingen op vier hoofdterreinen:1) de ontplooiingskansen van de bevolking.00% 9.00% 9.

1. De grootschaligheid van scholen werkt te late probleemsignalering en een hoge mate van anonimiteit in de hand en moet dus worden teruggedrongen. Verder bestaat het hardnekkige (onjuiste) beeld dat 'witte' scholen beter zijn dan 'zwarte' scholen, omdat ze 'wit' zijn. De oorzaak is echter vooral de sociaal zwakkere uitgangspositie van de leerlingenpopulatie. Het financieren van scholen op basis van het aantal leerlingen met een slechte uitgangspositie is echter niet wenselijk. In plaats van achterstanden weg te werken, ontstaat daardoor het risico dat scholen gericht achterstandsleerlingen gaan werven. Als kinderen spijbelen of vroegtijdig hun school verlaten, doordat hun ouders hun verantwoordelijkheden verzaken, zou de kinderbijslag kunnen worden ingezet voor opvoedingsondersteuning. Allochtone studenten moeten meer worden gemotiveerd zich in te zetten voor huiswerkbegeleiding of mentoring. De sociale zekerheid moet activerender worden, bijvoorbeeld door een leerwerkplicht voor jongeren, zoals het kabinet die voorstelt.

2. De kunst is om degenen die erin slagen zich te ontplooien en zich aan de armoede te ontworstelen voor de wijk te behouden. De kwaliteit van de woonomgeving speelt daarbij een grote rol. De overheid moet geen formuleoplossingen ontwikkelen, maar alle bij de wijk betrokken partijen de mogelijkheid bieden om projecten te realiseren die bij hen en de wijk passen. De eenzijdigheid van de omgeving moet worden doorbroken door een evenwichtig aanbod van woningen, een gevarieerde architectuur en een mix van voorzieningen. Het opkopen en goedkoop doorverkopen van verloederde panden (klushuizen) blijkt kansen te bieden voor creatievelingen. Van corporaties mag gevraagd worden dat zij bijdragen aan de wijkaanpak, maar of Haagse belastingmaatregelen verstandig zijn, valt te betwijfelen: een lokale aanpak is beter. 3. Stimulering van het ondernemerschap verschaft wijken niet alleen meer economische dynamiek, maar kan ook allochtone jongeren en werklozen perspectief bieden. Succesvolle etnische ondernemers kunnen rolmodellen zijn voor kansarme jongeren. Dit potentieel wordt nog onvoldoende benut. Daarom moet de kleine kredietverlening worden verruimd via samenwerking tussen overheid, kredietverleners en ngo's. Banken 37

kunnen daarnaast ook een rol spelen door jonge ondernemers (meer) te coachen. De laatste jaren wordt weer gepleit voor regelvrije of kansenzones. Dat is echter niet verstandig: zulke zones werken administratieve verplaatsingen en uitholling van andere wijken in de hand en creeren nieuwe bureaucratie.

3.

Een betrokken gemeenschap en hoge mate van sociale cohesie bevorderen de

leefbaarheid van de wijk. Dat vraagt om investeringen in de sociale infrastructuur (zoals brede scholen en sport-, podiumvoorzieningen) en het ondersteunen van verenigingen bij het opzetten van hun bestuur/organisatie en het vergroten van de vaardigheden van trainers en begeleiders in de omgang met vele culturen. Ervaringen in het buitenland leren dat vrijwillige inzet van mensen uit lagere sociale klassen weliswaar moeilijk, maar met actieve (al dan niet materiele) prikkels wel degelijk is te organiseren. ABN AMRO offer update 17 September

ABN AMRO notes the announcement of the Ministry of Finance today regarding the offer of the Consortium of Royal Bank of Scotland, Fortis and Santander for ABN AMRO. The Minister has decided to grant declarations of no objection to members of the Consortium.

The declarations are each subject to conditions. These conditions are included in the announcement of the Ministry of Finance on: www.minfin.nl. This decision is based on positive advice from De Nederlandsche Bank, the Dutch Central Bank, which is available on: www.dnb.nl.

This is an announcement pursuant to article 9b paragraph 1 of the Dutch Securities Markets Supervision Decree (Besluit toezicht effectenverkeer 1995). 38

This document shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of securities, in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

Press contact: +31 20 6288900 IR contact: +31 20 6287835

Cautionary statement regarding forward-looking statements

This

announcement

contains

forward-looking

statements.

Forward-looking

statements are statements that are not historical facts, including statements about our beliefs and expectations. Any statement in this announcement that expresses or implies our intentions, beliefs, expectations or predictions (and the assumptions underlying them) is a forward-looking statement. These statements are based on plans, estimates and projections, as they are currently available to the management of ABN AMRO Holding N.V. ("ABN AMRO"). Forward-looking statements therefore speak only as of the date they are made, and we take no obligation to update publicly any of them in light of new information or future events.

Forward-looking statements involve inherent risks and uncertainties. A number of important factors could therefore cause actual future results to differ materially from those expressed or implied in any forward looking statement. Such factors include, without limitation, the outcome of the offers for our business by Barclays PLC ("Barclays") and the consortium of Banco Santander Central Hispano, S.A., Fortis SA/NV and the Royal Bank of Scotland Group plc ("RBS" and collectively, the 39

"Consortium"); the completion of our proposed disposition of LaSalle; the conditions in the financial markets in Europe, the United States, Brazil and elsewhere from which we derive a substantial portion of our trading revenues; potential defaults of borrowers or trading counterparties; the implementation of our restructuring including the envisaged reduction in headcount; the reliability of our risk management policies, procedures and methods; the outcome of ongoing criminal investigations and other regulatory initiatives related to compliance matters in the United States and the nature and severity of any sanctions imposed; and other risks referenced in our filings with the US Securities and Exchange Commission (the "SEC"). For more information on these and other factors, please refer to Part I: Item 3.D "Risk Factors" in our Annual Report on Form 20-F filed with the SEC and to any subsequent reports furnished or filed by us with the SEC. The forward-looking statements contained in this announcement are made as of the date hereof, and the companies assume no obligation to update any of the forward-looking statements contained in this announcement.

Additional Information

Barclays has filed with the SEC a Registration Statement on Form F-4, which contains a prospectus, and a Tender Offer Statement on Schedule TO. RBS has filed with the SEC a Registration Statement on Form F-4, which contains a prospectus, and RFS Holdings B.V., Fortis N.V., Fortis SA/NV, Fortis Nederland (Holding) N.V., RBS, Banco Santander Central Hispano, S.A.. and Santander Holanda B.V. have filed with the SEC a Tender Offer Statement on Schedule TO. ABN AMRO has filed with the SEC Solicitation/Recommendation Statements on Schedule 14D-9 in respect of the offer by each of Barclays and the Consortium.

40

gov). from Barclays and copies of the prospectus contained in the RBS Form F-4 may also be obtained. the making of the intended offer and the issuance and offering of Barclays and RBS ordinary shares may. een innovatief systeem waarmee medewerkers van de bank zelf de arbeidsvoorwaarden kunnen regelen.INVESTORS ARE URGED TO READ ANY DOCUMENTS REGARDING THE POTENTIAL TRANSACTIONS IF AND WHEN THEY BECOME AVAILABLE. in or into any jurisdiction in which the publication of this announcement and the making of the intended offer would not be in compliance with the laws of that jurisdiction. without charge. ABN AMRO winnaar P&O Actueel Innovatie Award 2007 ABN AMRO is door een vakkundige jury van HR-professionals uitgeroepen tot de winnaar van de P&O Actueel Innovatie Award. Copies of the prospectus contained in the Barclays Form F-4 may also be obtained. ABN AMRO wint de prijs voor haar Benefit Shop. be restricted by law. in some jurisdictions. directly or indirectly. Any failure to comply with these restrictions may constitute a violation of the securities laws of that jurisdiction. The publication and distribution of this document and any separate documentation regarding the intended offer. 41 . without charge. Investors may obtain a free copy of such filings without charge at the SEC's website (http://www. BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION. from RBS. This document is not being published and the intended offer is not being made.sec. Persons who come into possession of this announcement should inform themselves of and observe any of these restrictions.

a core tier 1 ratio of 6% and a tier 1 ratio of 8%. our capital ratios may be marginally below our target ratios at the end of the third quarter.Rob Charlier. notwithstanding the impact of the current turmoil in financial markets on our Global Markets results and continued disappointing performance of Antonveneta. Based on the results as per August year-to-date. Met deze prijs spreken. We do expect to meet our capital ratio targets. Zo kan de medewerker via de Benefit Shop vrije uren bijkopen of uren afstaan om bijvoorbeeld te sparen voor een sabbatical. by 42 .000 transacties gedaan via de Benefit Shop. directeur HR van ABN AMRO Nederland nam de prijs in ontvangst. Due to slightly higher demand for capital from our businesses. ook de vakcollega's hun waardering uit voor flexibiliteit en innovatie in human resources'. naast de ABN AMRO-collega's. De Benefit Shop is een online applicatie waarmee medewerkers zelf wijzigingen kunnen aanbrengen in hun arbeidsvoorwaardelijke regelingen. ABN AMRO announces updated outlook for the full year 2007 in connection with the Extraordinary General Meeting of Shareholders on 20 September ABN AMRO today announces an update on the expected earnings for the year 2007 and our capital ratios. Rob Charlier over de Benefit Shop: 'Inmiddels hebben medewerkers van de bank meer dan 60. De Benefit Shop is direct gekoppeld aan het personeelsinformatiesysteem en verwerkt online mutaties. we are on track to deliver an earnings per share (EPS) of approximately EUR 2.30 on an adjusted basis*.

For clarification purposes: ABN AMRO manages several asset-backed commercial paper (ABCP) conduits. ABN AMRO maintains a very substantial liquidity buffer to meet all contingent liquidity needs. We continue to monitor market developments.4 bln is in multi-seller conduits. Retail savings remain stable. ABN AMRO's overall liquidity position remains strong. It is noteworthy that up to 50% of the main multi-seller conduits can self-liquidate within a 3 month period.year end 2007 under a normal course of business and following through on our commitment to strict capital discipline. We are pleased to report that current market circumstances have not resulted in a revision of our loan loss provision forecast. In line with previous statements we expect the loan loss provisioning for our consumer portfolio to increase with the growth of the portfolio and to see somewhat higher levels of provisioning in the commercial portfolio due to the absence of write-backs and releases.5 bln. of which EUR 29. As part of our standard liquidity management process. The actual outstanding ABCP as per 13 September 2007 is EUR 51. ABN AMRO has a very limited exposure to the subprime segment. which are diversified in terms of geographical and asset coverage and the maturities of the ABCP are well spread over time. and remain comfortable with our liquidity position. All major conduits have been rolled over in the past weeks without any difficulty due to the underlying quality of the assets. * For further details of the adjustments we refer to the first half 2007 results press release of 30 July 2007 43 .

A number of important factors could therefore cause actual future results to differ materially from those expressed or implied in any forward looking statement. expectations or predictions (and the assumptions underlying them) is a forward-looking statement. These statements are based on plans. beliefs. Forward-looking statements involve inherent risks and uncertainties. estimates and projections. in any jurisdiction in which such offer. Cautionary statement regarding forward-looking statements This announcement contains forward-looking statements. as they are currently available to the management of ABN AMRO Holding N. including statements about our beliefs and expectations. ("ABN AMRO"). nor shall there be any sale of securities. solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. 44 .Press contact: +31 20 6288900 IR contact: +31 20 6287835 This document shall not constitute an offer to sell or the solicitation of an offer to buy any securities. Such factors include. and we take no obligation to update publicly any of them in light of new information or future events. Forward-looking statements are statements that are not historical facts.V. Forward-looking statements therefore speak only as of the date they are made. Any statement in this announcement that expresses or implies our intentions.

A. and RFS Holdings B.V. procedures and methods. which contains a prospectus. Fortis N. please refer to Part I: Item 3. the reliability of our risk management policies. and other risks referenced in our filings with the US Securities and Exchange Commission (the "SEC"). the conditions in the financial markets in Europe.V.. the implementation of our restructuring including the envisaged reduction in headcount. potential defaults of borrowers or trading counterparties.. and a Tender Offer Statement on Schedule TO. the United States. ABN AMRO 45 . and Santander Holanda B. the outcome of the offers for our business by Barclays PLC ("Barclays") and the consortium of Banco Santander Central Hispano. For more information on these and other factors. and the companies assume no obligation to update any of the forward-looking statements contained in this announcement. S. Fortis SA/NV.V. the completion of our proposed disposition of LaSalle.without limitation. The forward-looking statements contained in this announcement are made as of the date hereof... Fortis Nederland (Holding) N.D "Risk Factors" in our Annual Report on Form 20-F filed with the SEC and to any subsequent reports furnished or filed by us with the SEC. the outcome of ongoing criminal investigations and other regulatory initiatives related to compliance matters in the United States and the nature and severity of any sanctions imposed. RBS has filed with the SEC a Registration Statement on Form F-4.V. Additional Information Barclays has filed with the SEC a Registration Statement on Form F-4..A. S. Brazil and elsewhere from which we derive a substantial portion of our trading revenues. Fortis SA/NV and the Royal Bank of Scotland Group plc ("RBS" and collectively. the "Consortium"). have filed with the SEC a Tender Offer Statement on Schedule TO. RBS. which contains a prospectus. Banco Santander Central Hispano.

gov). in or into any jurisdiction in which the publication of this announcement and the making of the intended offer would not be in compliance with the laws of that jurisdiction. INVESTORS ARE URGED TO READ ANY DOCUMENTS REGARDING THE POTENTIAL TRANSACTIONS IF AND WHEN THEY BECOME AVAILABLE. BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION. without charge. Investors may obtain a free copy of such filings without charge at the SEC's website (http://www. directly or indirectly. ABN AMRO publishes shareholders' circular including reasoned opinion of the Boards 46 . the making of the intended offer and the issuance and offering of Barclays and RBS ordinary shares may. be restricted by law. Copies of the prospectus contained in the Barclays Form F-4 may also be obtained. Any failure to comply with these restrictions may constitute a violation of the securities laws of that jurisdiction. This document is not being published and the intended offer is not being made. from Barclays and copies of the prospectus contained in the RBS Form F-4 may also be obtained. Persons who come into possession of this announcement should inform themselves of and observe any of these restrictions. from RBS.has filed with the SEC Solicitation/Recommendation Statements on Schedule 14D-9 in respect of the offer by each of Barclays and the Consortium.sec. The publication and distribution of this document and any separate documentation regarding the intended offer. in some jurisdictions. without charge.

The shareholders' circular contains a reasoned opinion of the ABN AMRO Managing Board and the ABN AMRO Supervisory Board. Santander and Fortis. Reasoned opinion The ABN AMRO Managing Board and the ABN AMRO Supervisory Board have further reviewed and discussed the Offers with a view to forming a reasoned opinion on both Offers based on the current situation and taking into account the best interests of ABN AMRO shareholders and other stakeholders. further to the reasoned opinion as first published 30 July 2007. the ABN AMRO Managing Board and the ABN AMRO Supervisory Board assessed each Offer in the context of the following elements: Interest of shareholders and other stakeholders 47 . The full text of the shareholders' circular can be found on the ABN AMRO website and also contains other information in accordance with section 9q paragraph 2 of the Dutch Securities Markets Supervision Decree (Besluit toezicht effectenverkeer 1995). In accordance with Dutch law (as further explained in paragraph 7 of this shareholders' circular). based on the situation today.ABN AMRO today has published a circular to update shareholders on the view of ABN AMRO on the Offers that have been made for the bank by Barclays and the Consortium of RBS. the ABN AMRO Boards are of the opinion that the current Offers are superior for shareholders and other stakeholders of ABN AMRO. The ABN AMRO Managing Board and the ABN AMRO Supervisory Board have continued to compare the Offers with the stand-alone scenario. However. The text of the reasoned opinion is included below in this press release. in particular when taking into account the execution risks of the alternative scenarios for shareholders. as well as a 'managed break-up' alternative.

Employees: career opportunities. the wording of "Material Adverse Change" clauses and other pre-offer and offer conditions or fiduciary outs of each Offer.Shareholders: the current value of the Offers. legal and compliance risks and business integrity risks. break-up and integration risks. as well as views expressed by. capital adequacy and funding. 48 . of the value of the Offers to the offerors' share prices and proposed synergies. employee representative bodies. Company: fit with ABN AMRO's strategic growth objectives and aim to become a top 5 player by market-cap and create superior long-term value for our shareholders. as appropriate. including the likelihood and timing of regulatory approvals. the mix of consideration. the degree of sensitivity. Risks associated with each proposed transaction Execution risks. any proposed gross and net redundancies and the formal advice and opinions of. commitments. Post-acquisition risks: where relevant. Creditors: financial strength and long-term ratings of the ongoing businesses. Customers: service quality and continuity with regard to product offerings and business models.

The ABN AMRO Boards note that the proposed merger with Barclays is consistent with ABN AMRO's previously articulated strategic vision. 2007. Barclays Offer Barclays announced on July 23. 2007. likely distribution of senior and middle management positions. The revised Barclays Offer includes amended offer terms and has introduced a significant cash element. The European Commission concluded that consummation of the 49 . Barclays obtained shareholder approval for the consummation of the Barclays Offer. if not extended. ABN AMRO's assessment of the related post acquisition business and integration risks is that they are manageable and acceptable. on September 14. 2007 the proposed terms of the revised Barclays Offer. The value of the Barclays Offer remains highly dependent on the share price performance of Barclays. board structure and board representation. together with a mix-and-match alternative. 2007 and. The proposed transaction with Barclays has been cleared by the European Commission. closes on October 4.Corporate Governance Headquarter location. including the issuance of new ordinary shares. which was formally launched on August 6.

The ABN AMRO Boards also noted the commitments made to employees and trade unions in respect of employee's rights and respecting of existing agreements including redundancy plans. not in a position 50 . while recognizing the strategic benefits of the combination with Barclays. The ABN AMRO Managing Board and the ABN AMRO Supervisory Board will cooperate with Barclays in meeting these prescriptions and restrictions imposed by the DNB and the Dutch Ministry of Finance during a transition period following settlement. the Barclays Offer was at a 9. The ABN AMRO Boards also took into account the positive opinion of the European Staff Council and the positive advice of the Central Works Council in respect of the proposed combination with Barclays.7% discount to the see-through value of the Consortium Offer. As at the market close on September 14. 2007. Based on current valuation levels. our creditors and the financial system. the ABN AMRO Boards are therefore.8% discount to the ABN AMRO market price and at a 16.Barclays Offer would not significantly impede effective competition in the European economic area or any substantial part thereof. received by ABN AMRO as part of the consultation process. if the Barclays Offer would be successful. Barclays has publicly announced that its directors believe that Barclays will have no difficulty complying with these prescriptions and restrictions. The proposed transaction with Barclays has received a declaration of no objection from the Dutch Ministry of Finance and DNB with certain prescriptions and restrictions which are intended to ensure a smooth transition and integration process and to safeguard the interests of our customers.

This resulted in a better understanding of the strategy and plans of the Consortium members and how ABN AMRO's assets would contribute. In August and early September. ABN AMRO Managing Board members and senior business representatives of ABN AMRO had more than 30 meetings with the Consortium to discuss the ABN AMRO businesses and activities and to address possible issues associated with the Consortium Offer and its plans. to waive this condition and could therefore decide not to declare its Offer unconditional. is highly attractive to the ABN AMRO shareholders from a financial point of view.0% to the see-through value of the Barclays Offer. Consortium Offer The Consortium formally launched its Offer on July 21. The explanation of the Consortium approach with respect to clients and employees has considerably reduced the concerns in those 51 . 2007. 2007. Barclays is entitled to. the Consortium Offer was at a premium of 8. which has removed uncertainty about the outcome of the Consortium's respective shareholder votes. As at the market close on September 14. The shareholders of each of Fortis. 2007. RBS and Santander have approved the consummation of the Consortium Offer. The current value of the Offer. The tender offer period.2% to the ABN AMRO market price and of 20. It should be noted that the Barclays Offer remains subject to the condition that the ABN AMRO Boards recommend the Barclays Offer by the end of the offer period. if not extended. will end on October 5. but not obliged. with its high cash component.to recommend the Barclays Offer for acceptance to ABN AMRO shareholders from a financial point of view.

the proposed transaction with the Consortium has not been cleared by the European Commission. The ABN AMRO Boards welcomed the efforts made by the Consortium in establishing a dialogue with the ABN AMRO employee representative bodies and the commitments made to the ABN AMRO employees with respect to social plans. on terms and conditions acceptable to also ABN AMRO. the European Commission extended the review of the proposed transaction with the Consortium to October 3. If and when published. On September 13. the ABN AMRO Boards expect that any declaration of no objection from the Ministry of Finance and the DNB for the 52 . further to remedies offered by Fortis to the European Commission.areas. The outcome of the review by the European Commission is not yet known to ABN AMRO. 2007. 2007. The decision on the proposed transaction by the Ministry of Finance and the views of the DNB in this respect have not yet been published. September 17. the ABN AMRO Boards have assumed that the condition to the Consortium Offer regarding review of the proposed transaction by the European Commission is satisfied or waived prior to the end of the initial tender offer period of the Consortium Offer. After having reviewed the position taken by each of Fortis and the European Commission the ABN AMRO Boards concluded that the impact of the remedies offered by Fortis on customers and employees is not materially different from the impact of the Consortium Offer as such. collective labour agreements and redundancy procedures. Publication of the decision of the Ministry of Finance and the views of the DNB is expected on Monday. The ABN AMRO Boards have noted the discussions between Fortis and the European Commission. In coming to its reasoned opinion. At the date of this shareholders' circular. 2007. The ABN AMRO Boards acknowledge that remedies to be agreed upon by Fortis and the European Commission (if any) and the way of implementing such remedies might result in additional post-completion execution risks.

Conclusion 53 . which are intended to safeguard the interests of our customers. if the Consortium Offer would be successful. which will include at least prescriptions and restrictions similar to the Barclays Offer. The ABN AMRO Boards are not in a position to recommend the Consortium Offer for acceptance to ABN AMRO shareholders but acknowledge the clearly superior value of the Consortium Offer to the ABN AMRO shareholders. Nevertheless. The broadly defined "Material Adverse Change" clause as worded in the Consortium Offer remains unchanged and constitutes an area of continued concern during this period of increased market volatility. our creditors and the financial system and aim at mitigating certain risks related to the Consortium Offer. The ABN AMRO Boards have offered to cooperate with the Consortium in order to help mitigate the remaining identified risks associated with the Consortium Offer and to assist in meeting any prescriptions and restrictions imposed by the DNB and the Dutch Ministry of Finance during a transition period following settlement.Consortium Offer will have certain prescriptions and restrictions. the ABN AMRO Boards continue to see additional business and operational risks associated with the proposed break-up of ABN AMRO. The amount of the capital raisings yet to be completed by the Consortium members during the coming weeks to fund the cash component of the Consortium Offer is high in absolute and relative terms and market circumstances are volatile at this point in time.

Press contact: +31 20 6288900 IR contact: +31 20 6287835 Cautionary statement regarding forward-looking statements 54 . nor shall there be any sale of securities. ABN AMRO will continue to engage with both Barclays and the Consortium to facilitate removal of uncertainties and conditions where possible and the ABN AMRO Boards have offered to support the transition of ABN AMRO under both Offers. This document shall not constitute an offer to sell or the solicitation of an offer to buy any securities. the ABN AMRO Boards are not in a position to support the break-up of ABN AMRO but acknowledge that the Consortium Offer. with its high cash component and significant implied premium to the Barclays Offer. The combination with Barclays remains consistent with the strategic intent of ABN AMRO as an institution.The ABN AMRO Managing Board and the ABN AMRO Supervisory Board remain committed to ensuring that shareholders have the option to accept either the Consortium Offer or the Barclays Offer. is clearly superior for the ABN AMRO shareholders from a financial point of view based on current valuation levels. solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. Therefore. in any jurisdiction in which such offer. the ABN AMRO Managing Board and the ABN AMRO Supervisory Board refrain from recommending either Offer for acceptance to ABN AMRO shareholders. Furthermore.

and we take no obligation to update publicly any of them in light of new information or future events. For more information on these and other factors. estimates and projections. A number of important factors could therefore cause actual future results to differ materially from those expressed or implied in any forward looking statement. Fortis SA/NV and the Royal Bank of Scotland Group plc ("RBS" and collectively.A. as they are currently available to the management of ABN AMRO Holding N.. and the 55 . ("ABN AMRO").D "Risk Factors" in our Annual Report on Form 20-F filed with the SEC and to any subsequent reports furnished or filed by us with the SEC. Any statement in this announcement that expresses or implies our intentions. The forward-looking statements contained in this announcement are made as of the date hereof. Forward-looking statements involve inherent risks and uncertainties.V. the completion of our proposed disposition of LaSalle. expectations or predictions (and the assumptions underlying them) is a forward-looking statement. S. the outcome of ongoing criminal investigations and other regulatory initiatives related to compliance matters in the United States and the nature and severity of any sanctions imposed. potential defaults of borrowers or trading counterparties. the outcome of the offers for our business by Barclays PLC ("Barclays") and the consortium of Banco Santander Central Hispano. the United States.This announcement contains forward-looking statements. the "Consortium"). procedures and methods. the implementation of our restructuring including the envisaged reduction in headcount. Forward-looking statements therefore speak only as of the date they are made. Brazil and elsewhere from which we derive a substantial portion of our trading revenues. Forward-looking statements are statements that are not historical facts. the reliability of our risk management policies. Such factors include. the conditions in the financial markets in Europe. These statements are based on plans. please refer to Part I: Item 3. without limitation. and other risks referenced in our filings with the US Securities and Exchange Commission (the "SEC"). beliefs. including statements about our beliefs and expectations.

This document is not being published and the intended offer is not 56 . without charge. have filed with the SEC a Tender Offer Statement on Schedule TO. without charge. and Santander Holanda B. the making of the intended offer and the issuance and offering of Barclays and RBS ordinary shares may. Fortis SA/NV.. in some jurisdictions. Investors may obtain a free copy of such filings without charge at the SEC's website (http://www. S. Banco Santander Central Hispano. Fortis Nederland (Holding) N. which contains a prospectus.V. The publication and distribution of this document and any separate documentation regarding the intended offer.. and RFS Holdings B.companies assume no obligation to update any of the forward-looking statements contained in this announcement. Additional Information Barclays has filed with the SEC a Registration Statement on Form F-4.. which contains a prospectus. be restricted by law. from RBS. RBS has filed with the SEC a Registration Statement on Form F-4.. and a Tender Offer Statement on Schedule TO.sec. RBS.A.gov).V. Copies of the prospectus contained in the Barclays Form F-4 may also be obtained.V. INVESTORS ARE URGED TO READ ANY DOCUMENTS REGARDING THE POTENTIAL TRANSACTIONS IF AND WHEN THEY BECOME AVAILABLE. Fortis N. ABN AMRO has filed with the SEC Solicitation/Recommendation Statements on Schedule 14D-9 in respect of the offer by each of Barclays and the Consortium. from Barclays and copies of the prospectus contained in the RBS Form F-4 may also be obtained. BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION.V.

waardoor de intrinsieke waarde naar verwachting zal stijgen met ongeveer 0. De marktrente voor groenleningen wordt afgeleid van de marktrente voor vergelijkbare onderhandse niet-groene leningen door daarop een afslag toe te passen. De verhoging van de afslag leidt tot een verlaging van de disconteringsvoet. aanzienlijk kan fluctueren.V. directly or indirectly. Het aantal uitstaande participaties ligt vast waardoor de beurskoers.11 per participatie. alsmede van marktomstandigheden voor groenprojecten. in lijn met de ontwikkelingen op de markt van groenleningen. Op 13 september 2007 bedroeg de intrinsieke waarde EUR 48.7%. de slotkoers bedroeg EUR 44. Any failure to comply with these restrictions may constitute a violation of the securities laws of that jurisdiction. Met ingang van maandag 24 september 2007 zal de afslag. Deze afslag vormt een weerspiegeling van het belastingvoordeel voor beleggers in groenleningen. in or into any jurisdiction in which the publication of this announcement and the making of the intended offer would not be in compliance with the laws of that jurisdiction. Verlaging disconteringsvoet leidt tot hogere intrinsieke waarde van ABN AMRO Groen Fonds De beheerder van het ABN AMRO Groen Fonds.being made. maakt bekend dat na overleg met de accountant is besloten tot een aanpassing van de waarderingsgrondslag van groenleningen. afhankelijk van vraag en aanbod. 57 . ABN AMRO Investment Management Funds B. worden verhoogd van 75 basispunten tot 120 basispunten..05. Het ABN AMRO Groen Fonds is een beursgenoteerd beleggingsfonds met een closed-end structuur. Persons who come into possession of this announcement should inform themselves of and observe any of these restrictions.

Overview of the Consortium's public offer on all outstanding shares of ABN AMRO (Consortium consisting of Fortis. to be held in De Doelen in Rotterdam on 20 September 2007 (starting 10. The agenda will be: 1.30 CET) to discuss the offers by the Consortium of RBS. Opening of the Extraordinary General Meeting of Shareholders and Announcements 2. ABN AMRO publishes agenda for Extraordinary General Meeting of Shareholders on 20 September 2007 ABN AMRO today has published the agenda for the Extraordinary General Meeting of Shareholders.De portefeuille van het ABN AMRO Groen Fonds bestaat uit leningen met een goede kwaliteit en/of leningen welke worden gegarandeerd door een garantiesteller met een solide debiteurenkwaliteit. RBS and Santander) 4. (EGM). The Managing Board's and Supervisory Board's assessment of recent corporate developments and strategic options 3. Overview of Barclays' public offer on all outstanding shares of ABN AMRO 58 . Santander and Fortis and by Barclays.

5. Depending on further developments the ABN AMRO Boards may evaluate their position and inform the ABN AMRO Shareholders accordingly. Reasoned opinion of the Managing Board and Supervisory Board on the Consortium's offer and the Barclays' offer 6. Any other business The press release of 30 July 2007 reflects the current reasoned position of the ABN AMRO Boards (as meant in article 9q (2)(a) Bte) on both offers. 59 .

e 3%. people are high income i.The bank services are majorly used by the high income group people.out of 100% respondents majority of them i .e 60% group and then followed by middle income group i. 37% and the last is the low income group i. Interpretation. Of Respondents 18 11 1 P e r c e n t a g e o f R e p o n d e n t s w it h R e f e r e n c e t o In c o m e G ro u p 3% 37% H ig h 60% M i d d le Low Analysis.DATA ANALYSIS AND INTERPRETATION Percentage of Respondents with Reference to Income Group Income Group High Middle Low No. 60 .e.e.

13% are students and the rest 10 % are housewifes. Interpretation.Category No. Used Services Of ABN-Ambro Bank No.Out of the 100 respondents 44% are businessmen and 33% people are in service . Of 61 . Of Respondents Service Student Businessman House Wife 10 4 13 3 C a te g o r y W is e B r e a k U p o f R e s p o n d e n ts 10% 33% S e r v ic e 44% 13% S tu d e n t B u s in e s s m a n H o u s e W ife Analysis.The services of the bank are majorly used by the Business class people having the maximum 44%.

Respondents Yes No 9 21 Used Services Of Standard Chartered 30% Yes No 70% Analysis. Interpretation.Only 9 out 30 people prefer using the services of ABN AMRO Bank as compared to Standard chartered bank where there are more number of people using the services of standard chartered bank. 62 .Standard Chartered bank services are preferred more than ABN AMRO bank services.

Interpretation.The awareness of ABN AMRO Bank is mostly through friends and relatives and then through advertisements and then through peoples visit to bank and the other are miscellenous. 63 .The awareness of ABN AMRO bank is mostly recomandations through friends and relatives of the exiting customers of the bank. Of Respondents 25 20 15 10 5 0 21 6 5 Visit to Bank Source Of Information 19 Friends & Relatives No. Of Respondents (Out Of 30) Analysis.Awareness of Abn Amro Bank No.

Of Respondents 64 . HDFC-7. BOB-5.Banks ICICI SBI HDFC PNB HSBC BOB Others No. HSBC-4. PNB-11.Apart from the services given by ABN AMRO bank people like to use the services of other banks as well in which SBI is the most common and the preferred one.The number of other banks people use apart from ABN AMRO are with ICICI-12. Of Users 12 15 7 11 4 5 14 Others BOB HSBC Banks PNB HDFC SBI ICICI 0 10 7 5 4 11 14 No. Of Users 15 12 20 No. Interpretation. OTHERS-14. Features No. Of Users Analysis. SBI -15.

Good Customer Care Security Of Money Goodwill Of the Bank Network Of the Bank Location Of the Bank 25 19 18 16 16 Influencing Features Of A Bank No. Of Respondents 30 20 10 0 25 19 18 16 16 Good Security Of Goodwill Of Network Of Location Of Customer Money the Bank the . Of Respondents Services ATM Door Step Banking Phone Banking Mobile Banking Multicity Branching 24-Hour Banking Internet Banking No. Of Respondents 23 12 21 9 15 2 12 65 .Bank the Bank Care Features No.

door step banking-21.There are various services offered to the account owners of ABN AMRO bank .This survey shows us that people mostly prefer using the ATM service given by then bank because by using this service one can transfer money into there other accounts. 66 In te rn et B Ph on e M ob i le No. 24hr banking -2 . multicity banking-15 . Of Respondents . issue cheque book for themselves. But depending upon the need and the requirement of the customers they use the various services offered by the bank like. mobile banking-9.Services Used By Account Owners 25 23 21 20 No.ATM-23. can take out short statements which are free of cost otherwise the statements over the counter are chargeable and also to widhraw cash. Of Users 15 15 12 10 9 12 5 2 0 Ba nk in g Ba nk in g Ba nk in g Ba nk in g Br an ch in g an ki ng AT M D oo rS te p M ul tic ity 24 -H ou r Services Analysis. Interpretation. phone banking-21. internet banking-12.

Of Respondents ABN-Ambro Bank ATM 7 Door Step Banking 3 Phone Banking 2 Mobile Banking 1 Multicity Branching 5 24-Hour Banking 3 Internet Banking 1 Services Used By Existing Customers No. Of Users 10 5 0 7 3 2 Phone Bankin 1 5 Multicit y 3 1 Interne t No.If Yes Which Services Of No. Of Respondents ATM Services 67 .

Not Attributes Loan Facility Interest Rate Security Of Money Customer Care Good Network Personalized Services No. Of Respondents Very Good 0 2 3 1 0 1 Good 1 1 2 5 2 4 5 Neutral 4 3 2 2 4 3 Good 1 3 2 2 1 1 Bad 3 0 0 0 2 0 6 4 2 0 4 0 1 1 3 2 3 3 1 0 3 4 2 2 0 0 2 1 2 1 4 2 2 2 0 3 1 0 1 Loan Facility Interest Rate SecurityOf Money Customer Care Good Netw ork Personalised Services Attributes Very Good Good Neutral Not Good Bad 68 .

Not only this. ABN-AMRO Bank offers one of the widest ranges of banking products and services in the market today. Not only this when made comparison with almost all the leading banks of India. global network of 500 offices in 56 countries making it one of the leading providers of treasury financial services. They are permitted to accept deposits and provide credit in accordance with the banking laws and RBI regulations. ABN-AMRO Bank is undoubtedly in a strong position to help growing businesses sail through the complexities they may face. The bank provides the right kind of services and accounts at the right time and according to the needs of the market. the expertise of ABN-AMRO Bank with over 150 years' experience. Foreign banks in India are subject to the same regulations as scheduled banks. Foreign bank branches in India finance trade through their global networks. Managing a growing business demands most of your time and energy. ABN-AMRO Bank gives investors choice. Currently about 25 foreign banks are licensed to operate in India. That is why working with the right bank can help one’s business sail more smoothly and ABN-AMRO Bank helps in doing that as it understands today’s business requirements. As the largest independent distributor of third party funds. unbiased evaluation of funds and a portfolio management account that matches your risk profile and investment goals. ABNAMRO Bank not only stands high among all but is giving them a fierce competition.CONCLUSIONS AND FINDINGS With years of banking experience. 69 . ABN-AMRO Bank provides well-developed remote channels for your banking convenience through our 24-hour phone banking and Internet banking. insurance and unit trusts. the bank provides the widest range of foreign currencies for your investment needs plus other products such as housing loan.

Since July 1993. Foreign banks. or to make loans to the agricultural sector. foreign banks like ABN-AMRO Bank have been required to make 32 percent of their loans to the priority sector. are not required to open branches in rural areas. Forty percent of loans must be directed to "priority sectors" and the high liquidity ratio and cash reserve requirements severely limit the availability of deposits for lending. 70 . Within the target of 32 percent. two sub-targets for loans to the small-scale sector (minimum of 10 percent) and exports (minimum of 12 percent) have been fixed.All commercial banks including ABN-AMRO Bank face stiff restrictions on the use of both their assets and liabilities. however.

So better way of marketing can be sought which are low at cost. about the strong points that you have over and above your competitors. Whenever a new branch comes into existence it is necessary that they announce their birth. As said earlier it is a relationship of trust and this trust can be generated through better and better performance of the bank.RECOMMENDATIONS  STRONG NEED OF BRAND BUILDING The bank needs to make a lot of marketing effort. Same is the case in marketing. PROMOTIONAL STRATEGIES Press publicity:  Paper inserts  Advertisements in newspaper (local and national). These are discussed further. DELHI. A lot of noise is made whenever a child is born and as long as that noise is not made the doctors are not sure about the life of that child. Boast about yourself. Now as working with the bank for some time the facts have come out that they believe in low costing and want to keep low profile. 71 .  Interest cards distribution  Mailers/personal invitations to selective section of the society  Leaflets Outdoor publicity:  Banners in commercial areas and prime sites.  Air balloons at shopping complex. and similar is the case after the birth. Pull the consumer towards you. The level of recognition that may be desired by any brand has not been achieved by ABN-Ambro Bank. Here comes the pre-launch exercise. The name has to be taken again.

 Contacting senior citizens in parks in morning and evening.  Meetings. service class  Personal mailers.  Advertisements on Dividers and Railings.  Off site ATM for developing business.  Stick on the newspaper.  Leaflet on the wiper of the vehicles in the parking lots. Bus stands shelters.  Contacting at stoplights.  Contacting at parks during morning and evening walks. 72 . students. housewives. Face to face:  Personal interaction of marketing executives through.  Cable TV advertisements during prime time.  Detailing about schemes and updating them form time to time.  Event sponsoring in local clubs and social gathering. Media:  Local channel advertisement (cable TV scrolls).  Road shows.  Advertisements in news channels and business channels.  Road shows at market sights. Advertisement strategies segmented according to the target customer Senior citizens.

are really competitive and highest in this market. But this strategy could 73 .  Opening of extension counters (in case of large club). senior citizen clubs. And fee payment system of the students.  NEED A CHANGE IN MARKETING FOCUS The marketing team of the branch has until now focused on selling of their most competitive product. The rates of interest. Jain samaj)  Direct mailers. Professionals and other active samaj in the area (e. which are there fixed deposits. Local clubs like youth clubs. laughter clubs.Educational bodies  Sponsoring some events in schools and collages.  Meeting the top management for opening of salary accounts.  Cold calling.  Personal visits of the executives. which they provide on fixed deposits. ladies club.  temporary banners.g. etc.  Advertisements in club magazines.  Event sponsoring.  Informal gathering arranger by the bank for some social cause. Commercial places and market establishments:  Cold calling.

The bank cannot carry on its old image for both the segments of the market. For the past so many years it has been catering to these clients only and has generated an image of being a corporate bank. it is evident that people prefer strong networking system to make their banking life as comfortable and reachable as possible. bringing about new service to attract more and more consumers should carry on this tradition further. Even the survey conducted proved that the fastest selling product is savings account amongst the consumer. This needs a brain storming from the top management in the branch as to how about fixing the targets in each category of accounts. ABN-AMRO bank is known for its corporate operations. This product extension into the retail segment need separate focus and separate positioning in the market.not be held for a longer period of time as in the long run it would become liability to the bank to pay such high rate of interest and it would lower the revenues of the branch. It should be noted that both the type of clients differs from each other in their true nature. they should make efforts towards developing more and more ATM in the city and extension counters to facilitate better and fast service. ABN-Ambro Bank was the very first bank to start few of the very good service like Internet banking. One is a very low profile relationship. Very big names in the corporate world have their accounts with this bank. For this a distinctive advertising campaign has to be developed (refer to the promotional activities stated earlier) to reposition the brand in potential consumer’s mind. which talks about masses. Solid network required to develop the business further If we see the results of the survey. For ABNAmbro Bank to enjoy a good customer base. This type of 74 . Updating of technology from time to time is very necessary. With a network that is good enough this bank can make efforts to increase the market share in the area where the competition is so tough. Corrective positioning of ABN-Ambro Bank.

MAKE THE BRANCH SELF-INFORMATIVE The branch should be decorated in a manner. This is retail banking. trust. All the schemes and products. This was one of the things. which would provide maximum information to the customers without any difficulty. While on the other hand the second type of relationship is stronger. and support.client requires assurance. days and time of transactions should be printed in a beautiful manner and hanged on the walls of the branch where customer can see with ease. which is the corporate client that requires different setup all together. which were found to be absent in this branch. information. all the service charges. By doing so the customer would feel more attached and wall in will be converted in higher number of accounts. 75 .

Which all others banks are you a user of? ICICI Bank State Bank of India (SBI) HDFC Punjab National Bank (PNB) HSBC Bank of Baroda (BOB) Others 2. what they think about the bank and how ABN-AMRO can be an ideal bank] 1. What are the features that influence your decision while availing Any services of a bank? Good customer care Security of your money Goodwill of the Bank Network of the Bank 76 . If you would like to switch over to any other bank what will you like to choose? ICICI Bank HDFC Kotak Mahindra ABN-AMRO Bank Others 3.QUESTIONNAIRE ABN-AMRO BANK [This is to get the general information from all the customers.

Which all services of the bank do you use? ATM Door step Banking Phone Banking Internet Banking Mobile Banking 24 hours Banking 5. How often do you use the services of your Bank? Weekly Monthly Quarterly 6. If yes. Are you satisfied with the services provided by your Bank? Very much Satisfied Satisfied Dissatisfied Strongly Dissatisfied 7. Have you ever used any services of ABN-Ambro before? Yes No 8. which all banking services have you used? ATM Door step Banking 77 .Location of the Bank 4.

Your recommendations for ABN-AMRO Bank regarding Product/services.Phone Banking Internet Banking Mobile Banking 24 hours Banking 9. Rank the following attributes of ABN-AMRO Bank . ATTRIBUTES Loan facility Interest rate Security of money Customer care Good network Personalize services 10. VERY GOOD GOOD NEUTRAL NOT GOOD BAD ____________________________ PROFESSION: ______________________ PERSONAL INCOME: _________________ CONTACT NUMBER: ___________________ 78 .

indianexpoterregister.com http://www.jsp • Books: • banking and investments – edited by senior bankers Bank-net directory 2005-06 Banking and Finance Glossary White paper on Banking systems survey 2005-06 – Trends in Banking technology industry • • • • Journals of ABN-Ambro Bank 79 .com/com/about/profile.bis.newspaperarchieve.com www.abn-ambro bank.asp http://www.google.com www.BIBLIOGRAPHY Websites: • • • • • • • • www.com www.einnews.com/scripts/recommend/recommend.com www.org www.domain-b.abnamro.

January 25. Gupta. 2006.Thursday. Feb’07 80 . Statistical Methods by S. 11 March 2007 The Times of India. March’07 The Hindu – Sunday. 2007 Indian Express. Wednesday December 15.P.3:26 AM Our Banking Bureau. Articles: • • • • • Business Standard. Mumbai.• • ABN-Ambro Broachers and Manuals.

focused primarily on wholesale banking. which is highly flexible and easily scalable. ABN AMRO BANK . to service top-tier corporate clients. ABN AMRO was forced o look at a solution that would enable them to serve customers effectively across multiple delivery channels & bring down the TCO. This changed in the 1990s. quicker time-to-market. ABN AMRO 81 . In an effort to strengthen its retail banking presence.CASE STUDY Technology -led Excellence OVERVIEW The Challenge Confronted with a changing competitive landscape and a demanding customer. The Benefit ABN AMRO has increased operational efficiency due to integration across delivery channLes. lower TCO and increased ROI. The Solution A new-generation solution. owing customer base being ous new -age delivery channels e branch network. ensured ABN AMRO launched new & unique products and services. Traditionally bank providing a comprehensive ABN AMRO Bank started its India operations and like other foreign multinational banks.000 full-time equivalents AMRO Bank is listed on and Paris) and the New ABN AMRO Bank in India has an eight decade long experience of the Indian business scenario. across channels to the satisfaction of its customers.A PROFILE ABN AMRO Bank is a prominent international bank with its origins going back to 1 8 2 4 . when strategic business imperatives and an increased level of competition both from domestic and multinational banks in India led the bank to look at retail banking as a key area for growth. The out 97.

robust core banking solution. the existing solution was not flexible enough to meet the requirements of a competitive consumer banking environment. Being a multinational bank. a mere upgrade to a newer version of the existing. The cornerstone of a successful consumer banking strategy is to have a technology platform that can offer anytime. the platform was also proving to be a drain on the bank’s resources. aging system would not have met the objective. As a result. With frequent maintenance requirements. while seamlessly integrating them to provide a relationship view of customers’ interactions across all delivery channels. As part of the acquisition. ABN AMRO Bank was also keen to adopt best practices being followed in other countries. Equally important was the need to roll out these customizations rapidly so as to gain critical time-to-market advantage. where offering a range of products and services to customers across multiple delivery Channels are critical. such as the ability to roll out new products and services in line with domestic market requirements. the bank migrated to Bank of America’s technology infrastructure.acquired Bank of America’s retail banking operations in India. ATM. ABN AMRO Bank required a platform that could easily support existing delivery channels and add new ones. At the same time. to address its needs in core banking and consumer e-banking spaces. Some of the key features that Finacle offered were: True 24x7 banking Finacle enabled zero downtime at both the central and branch level server. ensuring that ABN AMRO was up and running on a 24x7 basis. However. mobiles and call centres. ABN AMRO chose Finacle. This could only be achieved by deploying a platform that was flexible and easily extensible. which was based on ICBS solution from Fiserv. anywhere banking through multiple delivery channels like the Internet. across electronic delivery channels and branches. Finacle’s architecture also enabled offering of basic consumer banking 82 . running on an IBM AS/400 platform. the focus at the bank was on reduction of TCO (Total Cost of Ownership) and therefore. the bank decided to replace the legacy system with a new generation. the newgeneration universal banking solution from Infosys. After intense discussions and evaluation.

•Card Management System (CMS): This is a repository of customer card information and 83 . Turnaround times have drastically reduced for issuing cheque books and account statements. launch new products. the bank offered incentives like charge free demand drafts based on certain business rules like maintaining specified minimum balances. geography and hierarchy. Some of the modules that have been quickly rolled out by ABN AMRO are: Direct Sales Agent (DSA) Module: To track the performance of Direct Sales Agents (DSAs) of the bank and have customized commission computation logic for the DSAs based on predefined parameters like product type. Leveraging Straight-Through-Processing (STP) Finacle provided an interoperable and open architecture that ensured tight integration with all delivery channels using standard message protocols. and modify processes. by seeking reference from the Finacle core banking database. The powerful STP feature ensured that several transactions were completed end-to-end. enabling it to easily and rapidly add new business rules. Such programs have helped the bank reap the twin benefits of customer retention and an increase in low cost funds. • Complaint and Request Tracking System (CARTS): To track customer request andcomplaints without manual intervention and assign priority based on customer profile and severity of request. either during the planned End of Day (EOD) black out windows. Unique extensibility features Finacle’s unique Xtensibility tool kit comprising Scripting Engine. ABN AMRO developed a loyalty reward program for its customers wherein. without manual intervention. Workflow.services to customers. Using this tool kit. unscheduled outages of the central data center of the bank or during disruptions in branch network connectivity. and Remote Application Interface (RAI) provided the much needed flexibility to ABN AMRO Bank. thereby enhancing productivity and customer satisfaction.

For instance. we have experienced over 60 percent increase in realization of fee-based income. REAPING THE BENEFITS For ABN AMRO Bank. reissue and aintenance. availability of an integration infrastructure with multiple delivery channels and reduced TCO. We are confident of achieving a very healthy ROI on this technology project and have already experienced various costs savings. We believe the Finacle universal banking solution from Infosys is not only functionally rich and technically robust and scalable. thus helping script a retail banking success story. but also that its new generation architecture based on the web paradigm.” Romesh Sobti Former EVP & Country Representative ABN AMRO. Besides. true 24x7 operability and straight-through-processing infrastructure provides ABN AMRO the crucial time-to-market advantage and business agility to gain and retain competitive leadership in the consumer banking space. in Infosys we see a strategic partner who has the global reach. An additional feature of this module is the ability to communicate on an online basis for activities like ‘hot carding’ a card. rich experience and expertise in financial services. Finacle has delivered on all of these points along with giving crucial time-tomarket advantage and business agility to the bank. and a wide range of technologies. the choice of an enterprise banking platform hinged on factors like flexibility translating into ease of customization.acts as a focal point in various events relating to cards. like issue. etc. India 84 . It is this rich repository of experience and skills that have helped them carry out this demanding implementation project within budgeted costs and time frames. “The continually changing business dynamics in the new age economy requires banks to respond with a high degree of agility. activation/deactivation of cards. technology has emerged as both the key enabler and driver of change. Today.

Finacle . (NASDAQ: INFY) defines. Infosys Technologies Ltd. Infosys. 85 . Infosys today has more than a third of its business coming from the banking and financial services industry and has a strategic focus on this segment.Universal Banking Solution Finacle. retail and corporate banks worldwide. empowers banks to transform their business by leveraging agile. With global revenues of $2.000 employees. consumer and corporate ebanking and web-based cash management requirements of universal. This modular solution addresses the core banking. treasury. designs and delivers IT enabled business solutions. the universal banking solution from Infosys.15 billion and more than 66. wealth management. new-generation technologies. The organization behind Finacle.

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