Milano, 02 September 2004

The Board of Directors of Intesa Mediocredito (Gruppo Intesa) met today in Milano chaired by Mario Zanone Poma and approved the Half-Year Report as at 30th June 2004.

The Bank achieved positive results in terms of both operating volumes and profitability. Operations were sustained by the offering of customised solutions to meet the medium-term requirements of companies and by the effective collaboration with the distribution networks of Gruppo Intesa.

The Bank registered a net interest and other banking income of 98.3 million euro, with a 2% rise with respect to the same period of 2003, and a net income of 36.4 million euro (+24%). Shareholders' equity exceeded 850 million euro.

Operating flows as at 30th June 2004 confirmed the standing of Intesa Mediocredito as the largest Italian bank specialised in financing the development of small and medium-sized companies: the loan portfolio exceeded 13.6 billion euro (+3%) and was made up of loans to over 20,000 business clients; loans disbursed in the semester reached 1.5 billion euro.

Intesa Mediocredito started operations in 2001 and continues the activities of Mediocredito Lombardo, established in 1953. It is Gruppo Intesa’s entity specialised in medium- and long-term lending.