INDIAN RAILWAY FINANCE CORPORATION LIMITED

Our Company and the Registrar shall credit the allotted Bonds to the respective beneficiary accounts/ dispatchthe Letters of Allotment or letters of regret/ Refund Orders by registered post/speed post/ordinary post at theApplicant’s sole risk, within 12 Working Days from the Issue Closure Date. We may enter into an arrangementwith one or more banks in one or more cities for refund to the account of the applicants through DirectCredit/RTGS/NEFT.Further,a) Allotment of Bonds in the Issue shall be made within a time period of 12 Working Days from the IssueClosure Date;b) Credit to dematerialised accounts will be given within two Working Days from the Date of Allotment;c) Interest at a rate of 15% per annum will be paid if the Allotment has not been made and/or the refund ordershave not been dispatched to the applicants within 12 Working Days from the Issue Closure Date, for thedelay beyond 12 Working Days; andd) Our Company will provide adequate funds to the Registrar for this purpose.Retention of oversubscriptionOur Company is making a public issue of bonds aggregating to ` 1,00,000 lakhs with an option to retainoversubscription upto the Shelf Limit (i.e. Upto ` 8,88,640 lakhs*)* Pursuant to the CBDT Notification, our Company has raised ` 1,11,360 lakhs through the private placementsof Bonds. In case our Company raises any further funds through private placement not exceeding ` 2,50,000lakhs, i.e. upto 25% of the allocated limit for raising funds through Tax Free Bonds during Fiscal Year 2013,during the process of the present Issue, the Shelf Limit for the Issue shall get reduced by such amount raised.Grouping of Applications and allocation ratioFor the purposes of the Basis of Allotment:A. Applications received from Category I Applicants: Applications received from Applicants belonging toCategory I shall be grouped together, (“QIB Portion”);B. Applications received from Category II Applicants: Applications received from Applicants belonging toCategory II, shall be grouped together, (“Corporate Portion”);C. Applications received from Category III Applicants: Applications received from Applicants belonging toCategory III shall be grouped together, (“High Net Worth Individual Portion”); andD. Applications received from Category IV Applicants: Applications received from Applicants belonging toCategory IV shall be grouped together, (“Retail Individual Investor Portion”).For removal of doubt, the terms “QIB Portion”, “Corporate Portion”, “High Net Worth Individual Portion”and “Retail Individual Investor Portion” are individually referred to as a “Portion” and collectively referredto as “Portions”.For the purposes of determining the number of Bonds available for allocation to each of the abovementionedPortions, our Company shall have the discretion of determining the number of Bonds to be allotted over andabove the Base Issue Size, in case our Company opts to retain any oversubscription in the Issue upto ` 8,88,640lakhs. The aggregate value of Bonds decided to be allotted over and above the Base Issue Size, (in case ourCompany opts to retain any oversubscription in the Issue), and/or the aggregate value of Bonds upto the BaseIssue Size shall be collectively termed as the “Overall Issue Size”.Allocation ratioReservations shall be made for each of the Portions in the below mentioned basis:81