UTI Asset Management Company Limited UTI Mutual Fund

Press Release

Alternate product offered in lieu of UTI Senior Citizen Unit Scheme

UTI Mutual Fund announces the offer of an alternate health insurance product of
New India Assurance Company (NIAC) to the members (upto the age of 58 years)
in lieu of UTI Senior Citizen Unit Scheme/Plan (UTI-SCUP), which is being
terminated from the close of business on February 18, 2008. However for
members above the age of 58 years for whom insurance premia had been
paid out of existing investment, there will be no change and NIAC will
continue to honour its commitment on hospitalisation cover.

UTI-SCUP was launched by erstwhile Unit Trust of India (UTI) in the year 1993 in
association with NIAC to provide its members medical cover for hospitalisation on
completion of 58 years of age.

New membership under UTI-SCUP had been suspended since July 1, 2000, as
the scheme in its present form was not capable of meeting the insurance premia
requirements.

The interest rates have declined substantially and the premium charged by NIAC
has also increased substantially due to which the investment portfolio of the
Scheme is not self supporting the cost. Further, UTI-SCUP was not compliant with
the SEBI Mutual Fund regulations. Therefore, this decision has been taken with
the approval of all the appropriate authorities.

At our request, to meet the health insurance needs of UTI- SCUP investors,
NIAC has designed an alternate product with special features for these
investors. The alternate product will cover the health insurance needs
straightaway instead of waiting for insurance cover till the age of 58 years under
UTI-SCUP.

Options offered to UTI-SCUP investors falling under various age groups

Age Group Option 1 Option 2

Members who wish to opt for Members who do not wish to opt
alternate product of NIAC for alternate product of NIAC
Below 58 The premia to the new policy of The outstanding units will be
years NIAC for the 1st year will be paid redeemed at the prevailing NAV as
out of the proceeds of existing on February 18,2008.
UTI-SCUP calculated at the
prevailing NAV as on February
18, 2008. The balance amount, if
any, will be refunded to the
investors.

Sponsors: State Bank of India, Punjab National Bank, Bank of Baroda, Life Insurance Corporation of India
Corporate Office: UTI Tower, ‘Gn’ Block, Bandra-Kurla Complex, Bandra (East), Mumbai 400 051. Tel: 6678 6666 Website:www.utimf.com
UTI Asset Management Company Limited UTI Mutual Fund

59 to 61 years
Members will continue to be covered under the arrangement with NIAC
pursuant to UTI-SCUP and will be eligible for Hospitalisation cover on
the deduction of further premia from the proceeds of the outstanding
units at the prevailing NAV as on February 18, 2008
61 years and Members will continue to be covered under the arrangement with NIAC
above pursuant to UTI-SCUP and will be eligible for Hospitalisation cover and
will be paid the proceeds of the outstanding units at the prevailing NAV
as on February 18, 2008

Depending on the age of the members, Option Letters containing the details are
being issued to the UTI-SCUP members for exercising their option. The last date
for receiving the option letter along with any other documents, as applicable, is
February 4, 2008.

Some of the salient features of the alternate product of NIAC exclusively for UTI-
SCUP investors are enumerated below:

• No pre health check up of Members

• Pre existing diseases will be covered
• Sum insured will be Rs.150000 on floater basis for self and spouse
• 10% floater extra will be charged for spouse
• Special discount of 30% to UTI SCUP investors on the premia payable.
• The policy will be valid for a period of one year. For the first year of the Policy,
UTI Mutual Fund will arrange to pay the premium amount in advance out of the
repurchase proceeds of outstanding units of UTI-SCUP unitholders.

• Policy will be taken with the following office of the NIAC -

The New India Assurance Company Ltd,
D.O. No.130800, New India Centre, 7th Floor,
17-A, Cooperage Road,
Mumbai 400 039.

• Further renewals of the policy for the alternate product after the said one year
period, will have to be directly done by the Member of the Policy without any
break, only with the above mentioned divisional office of NIAC, who will be
administering the Policy. Further renewals of the Policy will have to be done by
the Member as per the prevailing terms of premium payment at the time of
renewal of the policy with the above office on a yearly basis. Renewals of the
Policy done with any other office of NIAC will not be eligible for the above
discount and other terms of NIAC pertaining to the policy offered to UTI-SCUP
Members.

• Premium rates and other terms and conditions will be as per the alternate
product.
Sponsors: State Bank of India, Punjab National Bank, Bank of Baroda, Life Insurance Corporation of India
Corporate Office: UTI Tower, ‘Gn’ Block, Bandra-Kurla Complex, Bandra (East), Mumbai 400 051. Tel: 6678 6666 Website:www.utimf.com
UTI Asset Management Company Limited UTI Mutual Fund

• Letter offering the Policy for the alternate product to individual member will be
issued by NIAC.

About UTI Mutual Fund

UTI Mutual Fund is a SEBI registered mutual fund whose Sponsors are State
Bank of India, Punjab National Bank, Bank of Baroda and Life Insurance
Corporation of India.

UTI Mutual Fund has assets under management of Rs.56854 crore and investor
accounts of over 8 million under its 74 domestic schemes (as of December 31,
2007).

Mumbai
January 8, 2008

Registered Office: UTI Tower, ‘Gn’ Block, Bandra - Kurla Complex, Bandra (E), Mumbai
- 400 051. Statutory Details: UTI Mutual Fund has been set up as a trust under the
Indian Trust Act, 1882. Sponsors: State Bank of India, Punjab National Bank, Bank of
Baroda and Life Insurance Corporation of India. ( Liability of sponsors limited to
Rs. 10,000/-) Trustee: UTI Trustee Co. (P) Ltd. (Incorporated under the Companies Act,
1956) Investment Manager: UTI Asset Management Co. Ltd. (Incorporated under the
Companies Act, 1956). Risk Factors: All investments in Mutual Funds and securities are
subject to market risks and the NAV of funds may go up or down depending on the
factors and forces affecting the securities markets. There is no assurance that the
scheme’s objectives will be achieved. Past performance of the Sponsor / Mutual Fund /
Scheme(s) / AMC is not necessarily an indicative of future results. UTI- SCUP is only the
name of the plan/scheme and does not in any manner indicate the quality of the
fund/scheme, its future prospects or returns. The mutual fund does not guarantee or
assure any dividend under the scheme and the same is subject to availability of
distributable surplus. Realisation of all assurances and promises made, if any are subject
to the laws of the land as they exist at any relevant point of time. The scheme is subject to
risks relating to Credit, Interest rates, Liquidity, Securities Lending, Investment in
Overseas markets, Trading in Equity and Debt derivatives (the specific risk could be
Credit, Market, Illiquidity, Judgemental Error, Interest Rate Swaps and Forward Rate
Agreements). For further information and those unitholders who do not receive option
letter by January 23, 2008, may please contact the nearest UTI Financial Center.

Sponsors: State Bank of India, Punjab National Bank, Bank of Baroda, Life Insurance Corporation of India
Corporate Office: UTI Tower, ‘Gn’ Block, Bandra-Kurla Complex, Bandra (East), Mumbai 400 051. Tel: 6678 6666 Website:www.utimf.com