Union Bank of India received a significant credit rating upgrade from FITCH Ratings on February 25, 2026, with the agency upgrading the bank's Viability Rating to 'bb' from 'bb-' while affirming its Long-Term Issuer Default Rating at 'BBB-' with a stable outlook. The comprehensive rating action reflects the bank's improved financial profile and strengthened operational metrics across multiple parameters.

Rating Actions Overview

FITCH's rating action encompasses multiple rating categories, demonstrating the bank's enhanced creditworthiness across various metrics:

Key Rating Drivers

The viability rating upgrade is supported by substantial improvements in the bank's financial profile, including enhanced asset quality, strengthened capitalisation, and improved profitability metrics. FITCH expects these improvements to be sustained in an improving operating environment, with positive outlooks on most rating factor scores reflecting the potential for higher scores if the operating environment score is revised upward.

Financial Performance Improvements

The bank demonstrated significant progress across key financial metrics in 9MFY26. The impaired-loan ratio fell by 50bp to 3.10%, with credit costs declining to 0.30% of loans. Specific loan-loss cover increased by 100bp to 84.00%, while the operating profit/risk-weighted asset ratio reached 3.10% despite falling by 20bp due to slightly lower margins and loan growth.

Enhanced Capitalisation

FITCH revised the bank's capitalisation and leverage score to 'bb' from 'bb-', reflecting stronger capital buffers. The common equity Tier 1 ratio reached 15.70% including profits in 9MFY26, expected to be sustained more than 400bp above the 10.00% 'bb' category threshold. The loss-absorption buffer also improved with the net impaired loan/CET1 ratio reaching 4.90% compared to 5.80% in FY25.

Government Support and Franchise Strength

The Long-Term IDR and Government Support Rating remain equalised with the Indian sovereign's IDR, reflecting FITCH's assessment of high probability of extraordinary state support given the government's 75.00% ownership stake. The bank's status as India's fifth-largest state bank with a nationwide franchise supports sustained business and profit generation, particularly in the improving operating environment.

Risk Profile and Asset Quality

FITCH revised Union Bank's risk profile score to 'bb-' from 'b+', reflecting greater loan diversification, improved underwriting standards, and enhanced risk controls that have reduced corporate loan risk and lowered fresh impaired loan formation. The agency expects the impaired-loan ratio to stabilise around 3.00%, with the positive outlook on asset quality score reflecting potential for higher scores if recent improvements are sustained.

Funding and Liquidity Position

The bank maintains stable funding and liquidity metrics with customer deposits comprising approximately 94.00% of total non-equity funding in 9MFY26. The liquidity coverage ratio stands at 124.00%, while the loans/customer deposits ratio increased by about 800bp to 85.70%, remaining below the peer average of approximately 87.00%. This funding structure continues to represent a strength for Union Bank, similar to other state-owned banks.

Union Bank of India has announced its participation in a major investor conference scheduled for February 2026. The bank disclosed its involvement in compliance with regulatory requirements under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Conference Details

The bank will participate in the Annual Flagship Investor Conference - Chasing Growth 2026, conducted by Kotak Securities Limited on February 26, 2026 in Mumbai. The event represents a significant platform for investor engagement and corporate communication.

Participation Format

The conference participation details are structured as follows:

Regulatory Compliance

The disclosure was made pursuant to Regulation 30 read with Schedule III Part A Para A Serial Number 15 and Regulation 46(2)(o) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The announcement also follows the stock exchanges' guidance note dated July 29, 2022 on disclosures pertaining to investor meetings.

Information Sharing Protocol

Union Bank of India has established clear guidelines for the conference participation:

• The bank will reference only publicly available documents during discussions
• No unpublished price sensitive information will be shared during the meeting
• All interactions will comply with regulatory disclosure requirements

Documentation and Accessibility

The disclosure has been made available on the bank's official website at www.unionbankofindia.co.in , ensuring transparency and public access to the information. The announcement was digitally signed by Ashish Mishra, Company Secretary, on February 17, 2026.