Caboto Rbs Medibanca launched a € 350 million senior bond for Credito Valtellinese

Credito Valtellinese has launched a € 350 million, 5-year senior variable-rate bond on the Euromarket. The bond, issued at a price of 99.772%, will pay a coupon of 25 base points above the EURIBOR rate at 3 months and redeems at par at maturity. Caboto and RBS acted as joint-bookrunners in listing the bonds, while Bancaperta (company belonging to the Credito Valtellinese Group) took on the role of co-lead manager.

The bond will be issued within Credito Valtellinese Euro Medium Term Notes Programme and will be listed on the Luxemburg Stock Exchange. The rating forecast for the issue is Baa1 (Moody's).

The issue was distributed by 55 qualified investors from 12 different countries. The majority of orders came from banks and funds, which made up 78.5% and 17.5% of the final total, respectively.

Based on the amount of the issue, demand from international investors can be broken down as follows: Germany (17%), Ireland (7%), the UK (11%), Austria (6%), and Spain/Portugal (4.5%), for an overall total of 56% from outside of Italy and 46% with Italian institutional investors.

The Credito Valtellinese Group, which had assets totalling € 14.5 billion on 30 September 2006, currently operates a network of 367 branches of local banks in the Lombardy, Tuscany, and Lazio regions of Italy (through Credito Valtellinese and Credito Artigiano), in the Veneto region of Italy (through Banca dell'Artigianato e dell'Industria), and in Sicily (through Credito Siciliano). In addition to the four local banks, the Group also comprises Bancaperta, Aperta SGR and Aperta Fiduciaria (specialised in finance), Mediocreval (medium and long-term credit), Creset (local tax management), and Finanziaria San Giacomo (management of non-performing receivables). The Group is rounded out by Deltas, Bankadati, Crypto, and Stelline Servizi Immobiliari, management and production companies that support the entire Group's operations.

The bank's core business areas include traditional retail banking for small businesses, SMEs, artisans and families. The Group offers a broad range of products in asset management, private banking, remote banking, bancassurance and technical services such as information technology and real estate management. Bancaperta, the Group's financial company, also manages the online services of the banc@perta product line, which currently has more than 254,500 customers.

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