Credito Valtellinese: signing of agreements to strengthen the partnership with Banca della Ciociaria

Sondrio, October 31 2006 - Agreements were signed today which will allow Credito Valtellinese s.c. to increase its holding in the share capital of Banca della Ciociaria S.p.A. from 10% to 37.9%. Banca della Ciociaria S.p.A. is based in Frosinone and boasts a network of fifteen branches throughout the provinces of Frosinone, Latina and Rome.

The maximum price of the share to be acquired set down in the agreements (which also provide for the carrying out of due diligence by Credito Valtellinese) is € 20.6 million.

The transaction forms part of a larger strategic partnership project involving the banking groups controlled by Credito Valtellinese and Banca della Ciociaria, aimed at strengthening the latter's role in its target area by developing commercial and operating partnerships.

To this end, the signed agreements provide for the following:

• definition of shared governance regulations through the stipulation of agreements with Banca della Ciociaria shareholders which presuppose amendment of the current articles of association;
• a possible, additional increase in Credito Valtellinese's holding in the share capital of Banca della Ciociaria by exercising an option to buy granted by the shareholders undersigning the aforementioned agreements.

Performance of the project is subject to obtainment of the necessary authorisation from the relevant authorities.

For further information, contact:

Tiziana Camozzi
Telephone 0280.637.471
fax 0280.637.398
camozzi.tiziana@creval.it

Raffaella Premoli
Telephone 0280.637.403
fax 0280.637.297
premoli.raffaella@creval.it