Date: 2nd November, 2011 To: Abdul Hannan Chowdhury From: Riasat Rakin (081266030) Subject: Proposal to conduct

a research on analyzing the profitability of LC and its effect on net income.

INTRODUCTION: Citi Bank N.A. has established a strong presence in Bangladesh, It now has 4 branches, 4 service outlets and employs over 180 people. Citi's clients in Bangladesh comprise both public and private sector institutions. Citi has a well-developed Financial Institutions business supporting the cross-border transactions of nationalized and private sector banks in the country. Global Transaction Services (GTS) supports Bangladesh corporate, financial customers and public sector clients with its award winning cash management, trade services, agency & trust, and direct custody & clearing solutions. Citi's Corporate and Commercial Bank services local corporates and multinationals across several industries, providing vital linkage and an integrated perspective throughout the Bangladesh supply chain and business operation.

RESEARCH TOPIC: Analysis of LC profitability and the sources of revenue and expenses related to LC of Citi Bank N.A.

OBJECTIVE: The objective of my study is to analyze the sources of revenues and expense of foreign LC of CITI Bank N.A. I would also like to elaborate on the foreign currency settlement process with Bangladesh Bank and internal procedures regarding LC.

HYPOTHESIS: 1. Opening commission and acceptance commission are the most important factors while calculating the Profit from the Foreign L/C. 2. Independent Variables are not correlated with each other.

RESEARCH METHODOLOGY: For this internship report research will be conducted on different type of LCs. To fulfill the purpose of the research following dependent and independent variables are considered for statistical analysis and a secondary data set is collected from January, 2008 to November, 2010(monthly basis): Dependent Variable: Departmental Profit generated through foreign L/Cs. Independent Variables: All expenses and revenues related to the foreign L/Cs.

REQUEST FOR APPROVAL: I request your consent to do the research on Citi Bank N.A. I welcome you to provide me any kind of suggestions regarding my paper.