Credito Artigiano: Quarterly report at 30.09.06 approved

(figures shown in €/000)	30.9.2006	30.9.2005	Change %
Net profit for the period	24,187	19,188	+ 26
Interest margin	93,743	80,383	+ 16.6
Brokerage margin	143,373	125,895	+ 13.9
Net result of financial operations	127,356	110,209	+ 15.6
Gross operating profit	39,886	31,586	+ 26.3
(figures shown in millions of euros)	30.9.2006	31.12.2005	Change
Direct deposits	4,446	3,922	+ 13.4%
Indirect deposits	4,599	4,469	+ 2.9%
Overall deposits	9,045	8,391	+ 7.8%
Loans to customers	4,164	3,716	+ 12%

Milan, November 7 2006 - The Board of Directors of Credito Artigiano, chaired by Prof. Angelo Palma, today examined and approved the quarterly report at September 30 2006 which confirms the balanced growth in asset aggregates and the consistent increase in earning indicators, in line with set targets.

With regard to the income statement, compared to the corresponding period of the previous year, the interest margin grew by 16.6%, basically due to the progressive development of managed assets, and totalled € 93.7 million. Net commissions totalled € 44.5 million, a 8.1% improvement in correlation with the very positive trend of commissions on loan operations and financial brokerage and, for a lesser amount, with the significant increase in commissions for current accounts and payment services. The brokerage margin amounted to € 143.4 million, up by 13.9% compared to € 125.9 million.

Net value adjustments to financial assets, mainly loans, for a total of € 16 million, confirm the net financial operating profit of € 127.4 million, up by 15.6% compared to the first nine months of 2005. Operating costs totalled € 87.5 million, showing an annual increase of 11.2%. The gross operating profit equalled €39.9 million which, when compared to € 31.6 million in 2005, recorded an annual increase of 26.3%. Profit on shares valued at net equity, equal to € 4 million and taxes - estimated at € 20 million - confirm the net profit for the period of € 24.2 million, showing an annual increase of 26%.

Overall deposits amounted to € 9,045 million, up by 7.8% compared to December 31 2005. Direct deposits totalled € 4,446 million, showing a 13.4% increase while indirect deposits, which amounted to € 4,599 million, recorded an increase of 2.9%. Managed savings, equal to € 2,101 million, remained largely unchanged.

Loans to customers, totalling € 4,164 million, recorded an increase of over 12%. Medium and long term loans totalled € 1,697 million, up by 17.8%. Doubtful debts totalled € 32.7 million compared to € 17.4 million at December 2005, while other doubtful debts amounted to € 65.4 million compared to € 59.3 million. The ratio of net doubtful debts to net loans to customers equalled 0.78% and the ratio of other doubtful debts to loans to customers equalled 1.57%. Both indicators point to limited credit risk, although slightly up compared with the same figures from the end of 2005.

Significant events subsequent to 30.09.06 and forecast development of operations

According to the Board of Directors over the next few months further progress will likely be made in meeting operating goals with balanced, sustainable growth in the medium term.

For further information, contact:

Tiziana Camozzi
Institutional Communication Service
Telephone 02 80637471
Email: camozzi.tiziana@creval.it

Vittorio Pellegatta
Administrative Offices
Telephone 02 80637365
Email: pellegatta.vittorio@creval.it


Accounting schedules: reclassified balance sheet and income statement
- available in Italian