Annual Report of Mezan Bank

Annual Report 2009

Rising Higher-Exploring Horizons

Since its inception, Meezan Bank has

been committed to a set of core values

that were embodied by the Bank's

founders and remain the cornerstone

of our philosophy. These values shape

everything we do - from how we

develop and market our products to

how we serve our customers,

employees, and communities. By the

grace of Almighty Allah, 2009 marks

yet another milestone in the history of

Islamic banking in Pakistan as Meezan

Bank's network grows to 201 Branches

in 54 cities nationwide.

This year's Annual Report is a tribute

to the workforce of Meezan Bank.

Our constant commitment to

excellence has not only kept us at the

pinnacle of the Islamic Banking sector

of the country but has also earned us

recognition at the international level.

With each passing year, we continue

to expand and explore new horizons

of success with a vision of rising higher

and enhancing our expertise

for serving you better, insha'allah.

Rising Higher

Exploring Horizons

Contents

Vision & Mission 02

Our Values 03

Quaid's Concept of

Islamic Banking 04

Key Figures at a Glance 06

Shareholders 08

Organisation Structure 09

Corporate Information 10

History of Riba-Free Banking

in Pakistan 12

Chairman's Review 14

Charity for Social Walfare 16

Business and Operations Review 18

Directors' Report to the Members 30

Annexure to the Directors' Report 35

Statement of Value Added and

Distributed 36

Allocation of Income and Expenses

to Remunerative Depositors' Pool 37

Shariah Advisor's Report 38

Shariah Advisor's Report (Urdu) 45

Statement of Compliance with the

Code of Corporate Governance 46

Review Report to the Members 48

Statement of Sources and Uses of

Charity Fund 49

Notice of Annual General Meeting 50

Auditors' Report to the Members 54

Balance Sheet 55

Profit and Loss Account 56

Statement of Comprehensive

income 57

Cash Flow Statement 58

Statement of Changes in Equity 59

Notes to and forming part of the

Financial Statements 60

Consolidated Financial Statements 111

Pattern of Shareholding 174

Categories of Shareholders 175

Correspondent Banking Network 176

Branch Network 181

Proxy Form

Establish Islamic banking as banking

of