The Banca dell'Artigianato e dell'Industria S.p.A. (Credito Valtellinese banking Group member bank based in Brescia) confirms balance sheet for 2001

Brescia, February 22 2002 - The Banca dell'Artigianato e dell'Industria S.p.A.'s Board of Directors has confirmed the company results for the year 2001.

Basically, the year ended December 31 2001 saw a further growth in size for the bank in its home territory. In fact, three new branch offices have been opened in the province of Brescia.

A positive performance of all balance sheet items is noticed looking at figures concerning the main aggregates.

Investments amount to € 64,596,000 compared with € 42,546,000 for the year 2000 (+51.82%).

Direct deposits total € 39,700,000 compared with € 24,937,000 for the previous year (+59.2%). Assets under management total € 75,264,000 compared with € 61,605,000 for the previous year (+22.17%).

Savings deposits amount to € 4,071,000 compared with € 3,357,000 as at December 31 2000 (+21.26%).

Following the conversion of the first tranche of the convertible subordinated bond issue 2000-2005 and the exercise of the warrants, the BAI capital stock has been increased from € 15,480,000 to € 20,350,000.

As far as the profit and loss account is concerned, figures are as follows: Interest margin: - 6.44%, mainly because over 50% of the deposits consist of quite burdensome forms of deposits, such as bond issues (both ordinary and convertible) and repurchase agreements. Intermediation margin: € 2,924,000 compared with € 3,087,000 for the previous year (- 5.28%, mainly as a consequence of the above-mentioned decrease in the interest margin).

Administrative expenses amount to € 2,892,000 compared with € 2,252,000 for the previous year (+28.36%). Such an increase was mainly due to the personnel costs (10 more employees were recruited throughout the year), as well as to the costs for the opening of the new branches.

The gross operating income saw a loss of € 490,000 compared with an increase by € 435,000 for the year 2000. The negative result was a consequence of the costs associated with the extension of the branch network.

After entering adjustments in respect of credits and provisions for tax burden, the year ended with a loss for € 838,000.