CASSA SAN GIACOMO S.P.A.: AGAIN PROFIT-MAKING THANKS TO A CONSTANT STRENGTHENING PROCESS

Caltagirone, April 1 2000 - Cassa San Giacomo S.p.A. General Meeting, which was held on Saturday afternoon, April 1, unanimously confirmed the balance sheet for 1999. The meeting also decided to use profits to partly counterbalance the losses of the previous year. Cassa San Giacomo shareholders unanimously confirmed also the audit company that will be entrusted with the audit from 2000 to 2002.

After joining Credito Valtellinese banking Group, the bank has been innovating and strengthening its activity, which lead to increase volume of business and profits. Such results were achieved thanks to the strong relationship established with the home territory.

As at December 31 1999, overall incomes amounted to l. 428 billion (+0.8 per cent in comparison with L. 425 billion in 1998). In particular, asset management portfolios held for administration with the co-operation of BANCAPERTA Spa. totalled L. 18.2 billion. As regards disbursement of credit facilities, the strict policy adopted lead to a decrease (-3.9%). Such a policy allowed nevertheless improving the quality of credit.

As regards the profit and loss account, the interest margin totalled L. 13.5 billion (-20.4%). The intermediation margin decreased by 13% (from L. 21.4 billion to L. 18.6 billion). Operating costs totalled L. 17.8 billion (+7.5%). Provisions and value adjustments totalled L. 2.5 billion (- 88.7%). Thanks also to extraordinary incomes amounting to L. 3 billion, gross earnings attained L. 1.4 billion, definitely a better result in comparison with the previous year (- 16.2 billion)