Credito Artigiano approves quarterly report as of September 30, 2004

Milan, November 2, 2004 - In a meeting chaired by Mr Angelo Palma, the Board of Directors of Credito Artigiano has approved the quarterly report on operations for the period June 30-September 30, 2004, which recorded appreciable increases in all balance-sheet aggregates as well as in the main economic indicators, perfectly in line with growth targets and budget forecasts.

As at September 30, 2004, direct deposits stood at € 3,472 million, compared with € 3,312 million at December 31, 2003 (+4.8%). Indirect deposits stood at € 4,020 million, compared with € 3,817 million (+5%). Deposits held for administration, including insurance deposits, totalled € 1,873 million (+ 6.1% if compared with € 1,765 million at December, 2003). Credits to the customers stood at € 3,133 million (+ 11% if compared with € 2,821 million at December, 2003).

The interest margin stood at € 70.2 million, posting a growth of 9.4 percent over December, 2003 (€ 64.1 million). Net banking commissions rose to € 36.5 million, compared with € 30.7 million at December 2003 (+ 18.6%).

The operating margin stood at € 113.6 million, posting a growth of 11 percent over the same period last year.

Operating costs amounted in all to € 69 million, compared with 67.6 million for the same period last year (+ 2.2%). Value adjustments in respect of tangible and intangible fixed assets remained substantially unchanged, at € 7.3 million.

The gross operating income recorded € 37.2 million posting a growth of 34.8 percent over the same period last year (€ 27.6 million).