The positive evolution of Intesa Holding Centro S.p.A. is summarised by income from operating activities which reached 54.4 million euro, up by over 35% with respect to the same period of the previous year. This figure is one of the key elements of the report containing the operating results of all the 7 participated Saving banks in the first half of 2003 examined by the Board of Directors of Intesa Holding Centro.

Intesa Holding Centro, chaired by Alberto Pacifici, holds the majority stakes in the following Saving banks: Cassa di Risparmio di Ascoli Piceno, Cassa di Risparmio di Città di Castello, Cassa di Risparmio di Foligno, Cassa di Risparmio di Rieti, Cassa di Risparmio di Spoleto and Cassa di Risparmio di Viterbo and recently acquired control of Cassa di Risparmio di Terni e Narni further strengthening its market position in Central Italy.

Figures relative to the first half show a further significant progress compared to the positive results generated at the end of last year, with an “aggregate” net income of 26.6 million euro, with a 9% growth rate with respect to June 2002.

Net interest and other banking income equalled million euro and registered a 4.4% growth rate due to the positive trend recorded by interest margin, almost 104 million euro, which, despite unfavourable market conditions, showed a 5.3% increase; net income from services also progressed and equalled 49.3 million euro, with a 2.4% rise.

Consistently with the strategic guidelines aimed at cost containment, operating costs decreased by 7.2% as a result of effective interventions which modernised processes and improved productivity. Intermediated volumes increased: loans to customers equalled 3,515 million euro, with a 9% growth rate compared to the banking sector increase of + 6.64%; direct customer deposits reached 4,529 million euro up by 4.7%; indirect customer deposits totalled 4,359 million euro, with a 4.9% increase and a substantial increase (12.3%) of “managed funds”. Customer deposits under administration amounted to 8,888 million euro and recorded a 3.6% rise. “All the figures – commented Mr. Giovanni Boccolini, Managing Director of Intesa Holding – are in line with the budget and confirm the positive relation between the Saving banks and their customers and their capacity to expand the respective market shares despite fierce competition and the difficult economic context. Also as concerns operating efficiency significant progress has been made: the cost/income ratio equalled 64.5%, with an 8 point decrease with respect to 2002 and will be under 64% within the end of the year, certain Saving banks are already under the 60% threshold”. The Chairman Alberto Pacifici underlines the importance of the aggregation project: “the federal project of the Saving banks within Gruppo Intesa is now out of the test phase and represents a experimented reality; the economic value of the identity of our Banks and their relations on the local markets is confirmed by numbers and the capacity to respond to the needs of local families and small and medium-sized companies”.