Though slippages ratio continued to remain high at 4.3%, it improved remarkably from 9.3% in Q2FY18. Nearly 65% of slippages came from corporate accounts, 93% of which camefrom the below investment grade loans. The bank also reported strong recovery and upgradations (282% QoQ) led by (i) substantial cash recovery in an IT/ITES account classified as NPA, (ii) upgradation of a steel account and (iii) NPA sales to stressed-asset funds. As a result, Gross/Net non-performing assets (NPA) ratio improved by 62/56 bps sequentially to 5.3%/2.6%. We believe that the bank is in an early stage of resolution and recovery. Hence, we expect Gross/Net NPA...