VSoft Technologies – Confidential Cheque Image Processing Technology Outsourcing Opportunity

VSoft Technologies – Confidential 2 VSoft Corporation Overview Incorporated in 1996 We are a financial marketplace solution provider specializing in information systems. Our strength is developing, implementing, and supporting state of the art software solutions for the financial services industry. Offices Atlanta, USA Hyderabad, India Manilla, Philippines Products End-to-end Cheque Truncation Solutions Core Banking Software Document Imaging Financial Inclusion Solution

VSoft Technologies – Confidential 3 Customers * Approximate volumes per day

VSoft Technologies – Confidential What are banks doing in India? Business plans  Increasing Geographic presence  Increasing Service Window times  Getting ready for Cheque truncation by region Financial plans  Reduce operating expense  Increase Revenue  Improve Customer Service  Increase Cross Selling touch points Slide 4

VSoft Technologies – Confidential Cheque is here to stay Reduction in Volume  EFT  RTGS  Debit Card  Credit Card Increase Cost of Processing Slide 5

VSoft Technologies – Confidential VSoft Solution  Totally Outsourced Model  Hardware  Infrastructure  Software  Resources  What is different?  Technology  Costs  Total Responsibility Slide 6

VSoft Technologies – Confidential Image Capture  Log Batches from Branch  Capture Batch Ticket  Capture MICR Line  Capture Front and Back Images as per RBI guidelines  Endorsement Images as per RBI guidelines  Unique Sequence Number By Branch / Scanner  Flow mode Capture Cheque Imaging Workflow Branch / Hub Image Capture Batch Logging Slide 7

VSoft Technologies – Confidential Cheque Imaging Workflow Branch / Hub Image Capture Batch Logging Image Quality Management Image Quality  Global Image Quality  Partial Image  Excessive Image Skew  Piggy Backed Image  Image Too Light or Too Dark  Image Contains Streaks and/or Bands  Below Minimum Image Size  Exceeds Maximum Image Size Slide 8

VSoft Technologies – Confidential Cheque Imaging Workflow Branch / Hub Image Capture Batch Logging Image Quality Management Image Review  Image Review displays images of all items that have failed Image Quality check  Teller reviews images and optionally Re-Scans bad images Image Re-Scan  Selected Items are Re-Scanned for a better Image  System validates MICR to make sure the image replaces the right item Piggyback Partial Document Too Light Image (Re) scan Slide 9

VSoft Technologies – Confidential Cheque Imaging Workflow Branch / Hub Image Capture Batch Logging Image Quality Management Image (Re) scan Reports Archive Local Archive  5 day Storage  Backup in case of Lost Cheques  Same Day Availability of Images Slide 10

VSoft Technologies – Confidential Cheque Imaging Workflow Branch / Hub Image Capture Batch Logging Image Quality Management Image (Re) scan Reports Archive Secure File Transfer Protocol Image & Data Secured Transmission  Status based Transmission  Files transmitted to central site in a variation of the X9.37 format  Transmission uses  Secured FTP Client  128-bit Encrypted secured connection  Connection via Secure Sockets Layer [SSL] Slide 11

VSoft Technologies – Confidential Cheque Imaging Workflow Branch / Hub Image Capture Batch Logging Image Quality Management Image (Re) scan Reports Archive Secure File Transfer Protocol Image & Data Operations Center IRIS DIGITAL DASHBOARD 1. MICR line of Rejects only  If the cheque was run upside down, IRIS rotates the cheque  If the cheque was run front side backwards, IRIS flips the cheque 2. Updates the Database with the corrected MICR 3. Writes audit trail 4. Saves the New Image Orientation. ICR on MICR Slide 12

VSoft Technologies – Confidential Cheque Imaging Workflow Branch / Hub Image Capture Batch Logging Image Quality Management Image (Re) scan Reports Archive Secure File Transfer Protocol Image & Data Operations Center IRIS DIGITAL DASHBOARD Image Character Recognition  Courtesy Amount Read (CAR)  Legal Amount Read (LAR)  Payee Date  Payee Name  Depositor Account Number Rear of Cheque CAR/LAR/ Forms Slide 13

VSoft Technologies – Confidential Cheque Imaging Workflow Branch / Hub Image Capture Batch Logging Image Quality Management Image (Re) scan Reports Archive Secure File Transfer Protocol Image & Data Operations Center IRIS DIGITAL DASHBOARD CAR/LAR/ Forms Reconcilement & Balancing Reject Repair Amount Entry Payee Name High Speed Amount Entry  Key amounts – upwards of 2500 iph  Only 30% is manual Image Reject Repair  Fix rejects as per sort pattern  Only 20% is Manual Balancing  Next Out Of Balance transaction  Image Correction Payee Name  Fix only unreadables  Only 10% is Manual Slide 14

VSoft Technologies – Confidential Cheque Imaging Workflow Branch / Hub Image Capture Batch Logging Image Quality Management Image (Re) scan Reports Archive Secure File Transfer Protocol Image & Data Operations Center IRIS DIGITAL DASHBOARD CAR/LAR/ Forms Reconcilement & Balancing Reject Repair Amount Entry Payee Name  Real-Time Status of all Batches  Various Institution / Branch information  Transmissions statuses  Online On Demand  Operator productivity  Operator Audits  Scanner Statistics  Recognition Rates eReceipt Reports Exceptions Status Slide 15

VSoft Technologies – Confidential Cheque Imaging Workflow Branch / Hub Image Capture Batch Logging Image Quality Management Image (Re) scan Reports Archive Secure File Transfer Protocol Image & Data Operations Center IRIS DIGITAL DASHBOARD CAR/LAR/ Forms Reconcilement & Balancing Reject Repair Amount Entry Payee Name Notification  Central Site System sends an “e-Receipt” to the designated Branch address  The “e-Receipt” details the total Deposit value and number of items  Sends an End-Of-Day total deposit summary receipt to the branch supervisor eReceipt Reports Exceptions Status Slide 16

VSoft Technologies – Confidential Cheque Imaging Workflow Branch / Hub Image Capture Batch Logging Image Quality Management Image (Re) scan Reports Archive Secure File Transfer Protocol Image & Data Operations Center IRIS DIGITAL DASHBOARD CAR/LAR/ Forms Reconcilement & Balancing Reject Repair Amount Entry Payee Name eReceipt Reports Exceptions Status Archive Host Application Power Encode Reserve Bank of India Direct Exchange Slide 17 Exchange Monitor

VSoft Technologies – Confidential Technology Outsourcing Opportunity… Summary  Environment  Completely Automated  Less Expensive Hardware  Distributed Infrastructure  Technology  Image Based  Cheque Truncation Ready  Future Products  Nationwide Archive  Merchant Capture  Benefits  Lower Cost of Processing  Faster Processing  Greater Accuracy  Higher Accountability

VSoft Technologies – Confidential Thank You!