Banco Itaú Holding Financeira S.A. London April 2005 Presentation to: Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. Silvio de Carvalho Executive Director

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 2 Agenda  Brazilian Economy  Brazilian Banking System  Highlights  Strategy and In-depth Results  Performance of the Shares

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 3 Brazilian Macroeconomic Scenario High volatilityLower volatility High interest ratesDeclining interest rates Brazil riskStable risk Low growth Moderate and sustained growth Economic InstabilityPolitical Stability A Change of Perspective Pre Post- 2003

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 4 Sustained Stability Control of inflation through monetary policy Adjustment in the external accounts Fiscal Austerity Measures taken for Generating Growth Gradual decline expected in interest rates (SELIC) Continuing trade balance surplus Primary Surplus Change in the public debt profile: reduction in foreign currency exposure Enhanced government payment capacity Other initiatives: Social Security Reform, Reform of the Judiciary System and Tax Reform, the Bankruptcy Law, Political Reform, Trade Unions Reform, new rules for home mortgage finance, new regulatory framework for the electricity sector (regulatory agencies)

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 5  Exchange rate: remains constant in real terms, taking into account the difference between Brazil’s CPI (IPCA) inflation and US PPI inflation  Inflation expectations: 5.8% in 2005 and 5.0% in 2006 (Focus Survey on March 18,2005)  Interest rate path: compatible with limiting the aggregate demand acceleration in order to bring inflation back to the announced objective  Primary budget surplus: 4.25% of GDP in 2005 and 2006  GDP linear growth trend: 3.0% in 2005 and 3.5% in 2006  Commodities’ prices remain constant in the forecasting horizon  World trade real growth: 9% in 2005 and 8% in 2006 Baseline scenario

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 6 Agenda  Brazilian Economy  Brazilian Banking System  Highlights  Strategy and In-depth Results  Performance of the Shares

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 7 Brazilian Banking System Macro CharacteristicsMicro Scenario  Huge fixed costs  Cost reduction / efficiency  Strongly capitalized  Room for growth in credit  Satisfactory level of provisioning  Conservative approach  Advanced risk management  Advanced banking supervision; preparation for Basel II  Importance of banking service fees  Specific for each segment  Profitable  Target: to keep profitability in lower margins scenario  Oriented to services  Intensive use of technology, focused on self-service and Internet  All bills are paid in the banks  Huge transaction volumes  High spreads  Falling due to decline in interest rates  Dimension  Differentiated needs  High reserve requirements  High impact over spreads

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 8  Declining Interest Rates x Increasing Loan Demand: New Revenue Dynamics  Growing Fee Earnings and Tighter Cost Control To Offset Lower Treasury Gains  Focus on Higher-Yielding Consumer Finance and SME Lending  Efforts of Client Acquisition and Gains of Scale  Government Still Attracts Large Portions of the System ’ s Liquidity; Gradual Replacement of Bonds By Loans  Public Sector Banks Still Dominant: 45% of Deposits  More Aggressive Competition, Not Price Wars Current Scenario

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 9 1.Citigroup 2.Crédit Agricole Group 3.HSBC Holdings 4.Bank of America Corp. 5.JP Morgan Chase & Co. 6.Mizuho Financial Group 7.Mitsubishi Tokyo 8.Royal Bank of Scotland 9.Sumitomo Mitsui 10.BNP Paribas 20. ABN AMRO Bank 109. Bradesco 113. Bank of Taiwan 114. Banco Itaú 116. Standard Bank Group 117. Banco do Brasil 171. Unibanco December 2003 Assets 1,264 1,105 1, , US$ Billion 2 nd 4 th 5 th 15 th 13 th 1 st 8 th 10 th 9 th 7 th 18 th 139 th 125 th 197 th 115 th 117 th 268 th Rank BIS 12.0 % 10.5 % 12.0 % 11.9 % 11.8 % 11.4 % 13.0 % 11.8 % 11.4 % 12.9 % 11.7 % 19.9 % 14.6 % 19.8 % 14.8 % 13.7 % 18.6 % Index SE (1) US$ Billion ROA % 167 th 633 rd 401 st 154 th 382 th 638 th 536 th 361 st 755 th 569 th 510 th 309 th 816 th 17 th 283 rd 169 th 84 th Rank (*) Source: The Banker Top July/04 (1) Stockholder´ Equity 2.1 % 0.7 % 1.2 % 2.2 % 1.3 % 0.7 % 0.9 % 1.4 % 0.4 % 0.8 % 0.9 % 1.5 % 0.3 % 4.7 % 1.6 % 2.1 % 2.8 %

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 10 Capital (Tier One) / Assets (%) Source: THE BANKER - Top 1000 – July 2004

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A Citigroup 2.Bank of America Corp. 3.HSBC 4.JP Morgan Chase & Co. 5.RBS Group† 6.Wells Fargo & Co. 7.UBS AG 8.Wachovia Corp. 9.Santander 10.Barclays 13.Morgan Stanley 19.Merrill Lynch & Co. 20.US Bancorp 21.Credit Suisse Group 22.Goldman Sachs 23.Lloyds TSB 47.Hang Seng Bank 49.Bank of New York Co. Inc. 56.Banco Itaú Holding Financeira S.A. 65.Kookmin Bank 67.Bradesco 97.Banco do Brasil S.A. 139.Unibanco Banks Market Cap. 251, , , , , ,829 98,237 85,242 79,857 70,944 65,203 57,165 57,038 55,764 55,414 54,438 26,000 23,961 20,277 16,144 15,671 9,810 5,238 US$ Million United States United Kingdom United States United Kingdom United States Switzerland United States Spain United Kingdom United States Switzerland United States United Kingdom Hong kong United States Brasil Korea Brasil Country Source : UBS Global Banks Valuations 03/08/05 Itaú is the 2 nd largest bank by Market Cap. in Emerging Markets

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 12 Agenda  Brazilian Economy  Brazilian Banking System  Highlights  Strategy and In-depth Results  Performance of the Shares

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. Assets (R$ Billion) Credit Operations (R$ Billion) Stockholders’ Equity (R$ Billion) Technical Provisions – Insurance, Pension Plans and Capitalization (R$ Billion) Highlights

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. Net Income (R$ Million) Administrative Expenses (R$ Million) Banking Service Fees (R$ Million) Net Interest Margin (R$ Million) Highlights

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. ROE (%) ROA (%) BIS Ratio (%) Efficiency Ratio (%) Highlights

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. Branches+CSBs Internet Banking Clients (In million) ATMs Employees Highlights

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 17 Agenda  Brazilian Economy  Brazilian Banking System  Highlights  Strategy and In-depth Results  Performance of the Shares

Banco Itaú Holding Financeira S.A. Annual ING LatAm & EMEA Financial Conference 18 Highlights Growth of Credit Portfolio by Client Type (highlights): 4 th Quarter/04 -Individuals 19.7% and Small and Medium Sized Companies 15.7% Individuals 43.1% and Small and Medium Sized Companies 70.8% Net Interest Margin * 4 th Quarter/04 = 13.6% p.a. 3 rd Quarter/04= 12.4% p.a = 13.2% p.a = 13.9% p.a. Results: 4 th Quarter/04 – Net Income of R$ 1,030 million with ROE 32.9% p.a.; Net Income of R$ 3,776 million with ROE 27.0% p.a.; * Excluding the nonrecurring items of 4 th Quarter of 2004 Growth of Credit Portfolio (including endorsements and sureties): Total: 4 th Quarter/04 = 4.3% Excluding Corporate Clients: 4 th Quarter/04 = 14.8% 2004 = 19.5% 2004 = 43.8%

Banco Itaú Holding Financeira S.A. Annual ING LatAm & EMEA Financial Conference 19 Technical Provisions of Pension Plans: Balance at Dec/04 of R$ 8.6 billion – Growth of 56.4% in Full Amortization of Goodwill: ( R$ Million ) Without Tax Effects With Tax Effects CBD (3 rd Q./04) Credicard (4 th Q./04) Orbitall (4 th Q./04) Intercap - Sales promoter (4 th Q./04) TOTAL 1,400 1,274 Solvency - Nonperforming Loans Ratio: 4 th Quarter/04= 2.9% 3 rd Quarter/04= 3.2% 2004 = 2.9% 2003 = 4.1% Highlights

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 20 Exposure – Loans and Securities Loans Public Securities Private Securities Total Sep 30, 04 Dec 31, 04 Var Dec04/ Sep04 Dec 31, 03 R$ Million Var Dec04 / Dec03 (*) Rural Loans and Mortgage – Loans linked to the availability of Demand deposits and Savings deposits. 53,275 51,059 44, % 19.5% 7,486 9,369 14, % -47.7% 12,145 11,216 8, % 41.8% 72,906 71,644 67, % 8.1%

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 21 Credit Operations R$ Million CAGR: 21.1% CAGR: 22.5%

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 22 Change in the mix of the Credit Portfolio

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 23 (*) Provision for Loan Losses / Total Nonperforming Loans Nonperforming Loans Ratio and Coverage Ratio We are not expecting an ongoing improvement in these indicators, because of the focus on credit products with higher margins, but, at the same time, with a higher credit risk.

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 24 R$ Million Service Fees 4 th Q/043 rd Q/04 Asset Management (*) Current Account Services Credit Cards Sureties and Credits Granted Collection Services Other Total 2004 (*) Mutual Funds and Consortium Var 4Q04 -3Q04 Variation , , ,411 1,230 1, ,165 1,320 1, , ,044

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 25 Total Unrealized Interbank Deposits Securities and Derivatives Additional provision Adjustment – Securities Held to Maturity Credit Operations Investment on BPI Time and Interbank Deposits and Funds from acceptance and issuance of securities abroad Securitization of Payment Orders Abroad Subordinated Debt and Treasury Shares Unrealized Income/(Loss) (1) (2) Stockholders’ Equity 12/31/04 09/30/04 (1) Tax effects not considered. (2) Includes unrealized minority interest gains in Equity of R$ 271 million at December/04, R$ 284 million at September/04 and R$ 257 million at December/03. Financial Instruments – Market Value R$ Million 12/31/03 Stockholders’ Equity Stockholders’ Equity ,3192, (41) ,074

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 26 Diversification of the income sources Not dependent only from interest rates 829 (555) 3, ,776 Banco Itaú S.A. Banco Itaú BBA S.A. Corporation Total Net Income R$ Million 22.0% (14.7%) 92.7% % 100% 750 (335) 2, , % (10.6%) 86.8% % 100%

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 27 Banco Itaú Net Income Tier I Allocated Capital ROE (%) Credit Portfolio (*) Total Assets (*) Including endorsements and sureties. R$ Million Pro Forma Corpo- ration Corpo- ration Note: The Consolidated figures do not represent the sum of the parts because certain intercompany transactions were eliminated only at the Consolidated level. Conso- lidated Conso- lidated Banco Itaú BBA Banco Itaú Banco Itaú BBA 2,737 7, % 20,739 94,641 3,502 7, % 29, , , % 17,671 34,488 (555) 2, % - 6,597 3, % 47, , , % 17,919 30,490 (335) 1, % - 5,438 3,152 11, % 38, ,738

Banco Itaú S.A. Annual ING LatAm & EMEA Financial Conference 28 Diversification of income sources Not dependent only on interest rates Consolidated Net Income 4 th Q/043 rd Q/04 Variation 4Q/04 – 3Q/04 Banco Itaú - Banking1, Credit Cards Ins., Pension Pl. and Cap (12) Funds and Managed Port Total1, Variation Banco Itaú - Banking2,3841, Credit Cards Ins., Pension Pl. and Cap (14) Funds and Managed Port (3) Total3,5022,737765

Banco Itaú S.A. Annual ING LatAm & EMEA Financial Conference 29 Credit Cards R$ Million (Except where indicated) Participation in the Net Income of Orbitall and Redecard Nº of Cards - Itaucard (thousands) Nº of Cards - Credicard (thousands) (*) Nº of Cards - Total (thousands) Variation 7,085 3,595 10,680 12,956 6,519 19, ,780 2,246 8,026 10,603 4,787 15, ,305 1,349 2,654 2,353 1,732 4,085 (10) (9) (19) 22.6% 60.0% 33.1% 22.2% 36.2% 26.5% -2.5% -9.1% -3.8% (*) Corresponds to the share of Credicard owed by Itaú – 50% at 2004 and 33% at % Turnover - Itaucard Turnover - Credicard (*) Turnover - Total Net Income - Itaucard Net Income - Credicard (*) Net Income - Total

Banco Itaú S.A. Annual ING LatAm & EMEA Financial Conference Technical Provisions – Pension Plans: growth of 43% from Dec. 03 to Dec. 04 R$ Billion Insurance, Pension Plans and Capitalization

Banco Itaú S.A. Annual ING LatAm & EMEA Financial Conference 31 Var 4ºT04 -3ºT04 3º Tri/04 4º Tri/04 Result of Ins., Pension Plans and Cap. Combined Ratio Claim Ratio Insurance Premiums, Pension Plans Contributions and Premium Bonds Revenues Changes in Technical Provisions Selling Expenses Insurance Claims, Pension Plans Benefits and Premium Bonds Redemption Other Operating Income/(Expenses) Operating Margin Financial Income Administrative and Tax Expenses* Income Tax and Social Contribution Other R$ Million Insurance, Pension Plans and Capitalization 1,475 (636) (100) (591) 54 1,686 (843) (103) (579) (169) (23) (24) 115 (146) (39) (20) %93.5% 51%55% 14% 33% 3% -2% -24% 0% 16% -41% 21% -10% *Except for ISS, PIS and COFINS Var ,008 (2,578) (358) (1,508) 136 6,233 (2,957) (395) (2,251) (616) (141) (84) 623 (623) (166) (70) %97.2% 53%54% 24% 15% 11% 49% 30% 15% -22% -1% -15% 19% -3%

Banco Itaú S.A. Annual ING LatAm & EMEA Financial Conference 32 Resources Managed Growth of 23.0% in the volume of Funds and Portfolios under Management and 43.4% in the volume of Technical Provisions in relation to Dec/2003 R$ Billion Technical Provisions of Insurance, Pension Plans and Capitalization Volume of Mutual Funds and Portfolios under Management

Banco Itaú BBA Annual ING LatAm & EMEA Financial Conference 33 4 th Q/04 3 rd Q/04 Net Interest Margin Result from Loan Losses Service Fees Administrative and Tax Expenses* Tax Income and Social Contribution Other Net Income Tier I Allocated Capital ROE (%) 2003 R$ Million Pro Forma 2004 Variation (133) (147) (25) 196 3, % (159) (151) (27) 242 3, % 1, (622) (416) (55) 829 3, % 1,989 (513) 270 (613) (410) , % (586) (9) (6) (82) 79 (19) *Except for ISS, PIS and COFINS

Banco Itaú BBA Annual ING LatAm & EMEA Financial Conference 34 Strategy  Itaú BBA: wholesale bank integrated into a financial conglomerate;  Credit perspective for the corporate segment in Brazil: declining spreads, increase in the competition, limited client base. Currently 51% of all our revenues are non-credit related;  Challenge: to maintain current profitability levels in the next years considering lower margins in credit;  Our strategy: compensate lower gains in credit with an increase in the distribution of non-credit related products and services to our clients through:  Cross-selling – continue to take advantage of the synergy with Itaú, by increasing the selling of structured treasury operations such as hedging and also simpler products such as payroll and collection;  Investment banking – segment likely to expand in the next 5 years (we expect that by the end of this period Brazil becomes an investment grade country).  Itaú BBA is well-positioned in investment banking – leader in fixed income issuances and reinforcing our variable income team in order to build a strong investment banking. Investment banking currently stands for 5% of Itaú BBA´s revenues. In the next 5 to 6 years our goal is to increase this participation to 20%.

Banco Itaú Holding Financeira S.A. Annual ING LatAm & EMEA Financial Conference 35 Banco Itaú Holding in Focus in increasing the credit portfolio to Individuals and to Small and Medium Sized Companies; 2.Consolidation of initiatives related to consumer loans: (Taií, CBD, Lojas Americanas, Credicard…); 3.Costs constant in real terms, which will lead to an improvement in the efficiency ratio (at the same basis); 4.New Segment – Disclosure, starting in next quarter, of a new segment to reflect the performance of business areas related to consumer loans.

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 36 Credit for Individuals FIC 50% CBD 50% Itaú FAI 50% LASA 50% Itaú Own Stores 100% Itaú Payroll Credit 50% of  Fináustria  Itaucred Veículos  Banco Fiat  Intercap Vehicles Itaucred

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 37 Taií  New Brand Name (Itaú-based).  Focus on lower income consumers.  Proprietary platform.  Uses the Itaú ATM network.  Diversifies credit-related revenues.  Responsive and efficient.  Expansion of Focus on direct consumer credit  Long term partnership: 20 years, and renewal option  Operating Management under the responsibility of Itaú  Exclusivity in exploitation of financial products and services to retailers’ customers Retail partnerships CBD and LASA

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 38 Estimated Expansion Points of Sale 3FIC (CBD)250 0FAI (LASA)170 Taií – Own stores Subtotal570 CurrentlyYE 2005Stores New Itaú Branches100 Total670

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 39 Financial Products 3.3 million Own Credit Cards (Private Label) Currently FIC (CBD) FAI (LASA)186 thousand 480 thousand Credit Cards FIC (CBD) FAI (LASA)- - Personal Loan Contracts FIC (CBD) FAI (LASA)137 thousand 580 thousand Consumer Credit Contracts FIC (CBD) FAI (LASA)32 thousand 4.7 millionTotal In Quantities

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 40 8,0268,259 8,674 9,077 10,680 In Thousand Market Share: 20.3% Increase in Participation on Credicard Credit Card Base

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 41 Agenda  Brazilian Economy  Brazilian Banking System  Highlights  Strategy and In-depth Results  Performance of the Shares

Annual ING LatAm & EMEA Financial Conference Banco Itaú Holding Financeira S.A. 42 Evolution of Earnings per Share and Dividends per Share (*) CAGR = 28.6% R$ (*) In the previous years per lot of thousand shares, as in 2004 a reverse split of shares was carried out. CAGR = 26.2% Dividends per Share (*)Earnings per Share (*)

Banco Itaú Holding Financeira S.A. Annual ING LatAm & EMEA Financial Conference 43 US$ ,145 Russian Crisis Real Devaluation Mexican Crisis Asian Crisis Argentine Crisis Attack to WTC Itaú (1) Itaú (2) Ibov. 10 years 27.60%23.12% 6.75% 5 years 20.05%15.75%0.65% %58.79%28.23% Annual Average Appreciation in US$ (1)With dividends reinvestment. (2)Without dividends reinvestment. Election Period Preferred Shares Appreciation – in US$ Evolution of US$ 100 Invested from Dec. 94 to Dec. 04

Banco Itaú Holding Financeira S.A. London April 2005 Presentation to: Annual ING LatAm & EMEA Financial Conference Silvio de Carvalho Executive Director