1. UNICREDITO ITALIANO GROUP “Growth through Specialisation, Quality and Innovation” Alessandro Profumo - CEO Merrill Lynch Banking & Insurance Conference London - October, 8 th 2003

2. 2 AGENDA Group Highlights Divisional overview Private & Asset Management Division New Europe Division Corporate Division Retail Division

3. 3 READY TO GROW In the last three years financial institutions faced a tough macroeconomic scenario, characterised by modest GDP growth rates, strong contraction of interest rates, low returns and higher volatility in the financial markets Thanks to its diversified portfolio of businesses, product innovation capabilities and commercial effectiveness, UCI was able to continue to grow and generate value UCI forecasts only a moderate recovery of the economic cycle starting from 2004 and has assumed a conservative scenario for its 2003-2006 strategic plan Leveraging on its client-focused organisational model, UCI will grow and create value for shareholders through the implementation of its clearly defined segment-tailored strategies even in a low growth macroeconomic environment … … being ready to exploit the opportunities arising from an improved scenario

4. 4 8.3% UCI ORGANISATIONAL MODEL: CUSTOMER DRIVEN DIVISIONALISATION… (1) Consumer Finance (2) Retail mortgages (3) M/l term corporate financing (4) Leasing Pekao New Europe division Private & AM division Pioneer Xelion Corporate division UBM BMC (3) Locat (4) Clarima (1) TradingLab Retail division Zagrebacka KFS Bulbank UniBanka UC Romania Zivnostenska 45.7%30.9% 15.1% Weight on 1H03 Group revenues pre Corporate Centre and elisions Employees (5) (Jun 2003) o/w Italy o/w New Europe (5) 70,356 40,228 30,128 Branches (5) (Jun 2003) o/w Italy o/w New Europe (5) 4,598 3,248 1,350 (5) KFS at 100% UniCredit Banca per la casa (2)

5. 5 PAY-OUT RATIO FROM 55.2% IN 2002 TO AN AVERAGE 65% IN THE 2003-2006 TIMEFRAME 2002 2006 … LEADING TO SUSTAINED EPS GROWTH, SOUND EFFICIENCY RATIOS AND HIGH PROFITABILITY, WITH SIGNIFICANT VALUE CREATION FOR SHAREHOLDERS … 2002 Revenue growth (mln) 10,2848.6 Cost/Income, % 54.650 Core Tier 1 ratio, % 7.26.8-7.2 ROE, % 17.221 CAGR 02-06 Op. Income growth (mln) 4,67011.5 EPS 0.2914.0 Retail Division 4,7288.0 Corporate Division 2,7349.9 Private & AM Division 1,07210.2 New Europe Division 1,8308.8

6. 6 Existing customers New customers EfficiencyRisk mgmt Intra-group synergies Pioneer UBI UCB UPB UBM UBI Pioneer UBM TradingLab Revenue growth... THROUGH TAILORED STRATEGIES FOR DIFFERENT CUSTOMER SEGMENTS AND GEOGRAPHIES High importance Low importance Corporate businessPrivate Banking businessNew Europe Retail business

7. 7 AGENDA Group Highlights Divisional overview Private & Asset Management Division New Europe Division Corporate Division Retail Division

8. 8 Retail mortgages GROWTH FROM BOTH EXISTING AND NEW CUSTOMERS ON THE TOP OF MARKET TREND, WITH PARTICULAR FOCUS ON HIGH GROWTH/HIGH VALUE BUSINESSES, LEVERAGING ON SPECIALISATION More business with existing customers Focus on high growth/high value businesses; in particular: New business from new customers THROUGH Quality approach to Small Business thanks to specialisation Consumer credit KEY GROWTH DRIVERS FOR THE MARKET: Decreasing households’ savings rates (from 15.8% in 2003E to 15.3% in 2006E) coupled with higher consumptions leading to a 8.1% 2003-2006 CAGR in total households’ loans 1 Alignment to Eurozone averages of weight of retail mortgages and consumer credit on GDP in Italy: Weight of retail mortgages on GDP in Italy: 12.2% in 2002 vs. 34.7% in Eurozone 2 Weight of consumer credit on GDP in Italy: 2.7% in 2002 vs. 8.2% in Eurozone 2 2 Source: Bank of Italy and ECB; data calculated taking into account consumer credit granted only by banks (financial enterprises not included) 1 Source: Bank of Italy. Data including only consumer households

9. 9 RESIDENTIAL MORTGAGES: A DEDICATED BANK TO GROW FASTER THAN MARKET Residential mortgages: Market growth in Italy (CAGR) 1 UCI Banca+UBCasa (stand alone): Market share evolution 2 2002 2006 ~12% > 15% + 25% 2002-06E 18.8% 1998-02 LEVERAGING ON: UB CASA: a dedicated and integrated (production + distribution) “mortgage centre” with a target of ~70,000 new customers for the division by 2006 OUTSTANDING FOR: Product innovation, as a response to more sophisticated and rapidly changing customer needs Processing of mortgage workflows: 3 days on average for response, 20 days on average for granting Credit scoring systems Multichannel distribution: captive UCI Banca network, proprietary dedicated branches, mortgage brokers, real estate agent networks (Tecnocasa, FIAIP), PFAs networks, non-captive banking and financial intermediaries 1 Source: Bank of Italy for 1998-2002 data; internal estimates for 2002-2006 CAGR ~10% UCI Banca+UBCasa (stand alone) Key figures ~21 bn residential mortgages as at 30.6.2003 (+6.4% on year-end 2002) 2 Calculated on total M/L term consumer households’ loans – Source: Internal estimates on Bank of Italy data ~2.9 bn flow of new residential mortgages in 1H03 (1.3 bn in 1Q and 1.6 bn in 2Q, +23% QoQ)

10. 10 ACQUISITION 1 OF ABBEY NATIONAL-ITALY: A SUCCESSFUL INITIATIVE TO BECOME LEADER AMONG THE SPECIALISED PLAYERS IN THE DOMESTIC MARKET, PERFECTLY FITTING WITH THE STRATEGIC PLAN N° of customers: 48,000 Mortgage portfolio 2 : 3.9 bn Market Share 3 in 2002: 3.2% Market Share 3 Jan-Aug03e: 4.0% Good asset quality thanks to an efficient in- house-made scoring system: combined analysis of real estate properties value and cash-flow capability of the borrower Strong multichannel sales approach: 14 branches located in the main Italian cities 60 Financial Advisors Many distribution agreements with banks, real estate brokers, PFAs networks and other financial intermediaries ABNI Key Highlights 2 As at 31 August 2003 1 Acquisition expected to be completed before year-end and subject to approval by the relevant authorities Wider product range Enhanced distribution capabilities through: proprietary branches in key- cities dedicated alternative channels Acceleration of growth, becoming: Leader among specialised players in Italy 4 th in the overall domestic market for flows of new mortgages granted in 2003, with ~5.5% market share UBCasa + ABNI 3 Calculated on flow of new mortgages granted in the periods UCI Banca + UBCasa + ABNI ~15% market share in Italy for total outstanding residential mortgages, starting point for additional growth

11. 11 STRONG CONTRIBUTION OF CONSUMER LENDING TO THE DIVISION’S GROWTH … 1 Source: internal calculations on Bank of Italy, Assofin and Eurofinas data for 1995-2002 CAGR; internal estimates for 2002- 2006 CAGR 3 MAIN DISTRIBUTION CHANNELS PARTNERSHIPS AND DIRECT MARKETING UCI Banca SPECIALISED FINANCIAL SHOPS Key goals: ~800,000 net acquisitions of customers from 2003 to 2006 Revolving cards / Total cards ratio higher than 50% (ratio higher than 60% as at 30.6.2003) Clarima as the “consumer credit specialist” of the Group Full commercial integration with UCI Banca Maximisation of UCI Banca customers potential as for credit cards and personal loans (~31,500 Clarima cards out of 1.1 mln Total cards as at 30.6.2003) Exploitation of a dedicated and alternative distribution channel traditionally strong in Italy Consumer lending: Market growth in Italy (CAGR) 1 Clarima + UCI Banca: Market share evolution 2002 2006 ~7.5% > 9% + 20% 2002-06E 13.5% 1995-02 LEVERAGING ON: 15-20% Clarima + UCI Banca: Key figures ~3.8 bn consumer loans as at 30.6.2003 (+10% vs year-end 2002), of which: ~2 bn pure consumer credit ~1.8 bn non-finalised short-term consumer loans Focus on “credit at point of sale” ~136,000 clients for Clarima as at 30.6.2003

12. 12 … THANKS TO TAILORED STRATEGIES FOR EACH DISTRIBUTION CHANNEL; FIRST POSITIVE EVIDENCE IN 1H03 RESULTS STRATEGIC GUIDELINES 1H03 COMMERCIAL RESULTS ~45,000 net new clients (from 91,000 as at 31.12.2002 to 136,000 as at 30.6.2003, +49%), of which ~70% from non-captive channels PARTNERSHIPS AND DIRECT MARKETING UNICREDIT BANCA SPECIALISED FINANCIAL SHOPS New selected partners strong for distribution capability, customer base and brand Low acquisition costs per client thanks to high integration of product/model with the partner Share of “revolving clients” on total direct channel new clients >80% Leverage on cross-selling Increase of penetration of Clarima cards on UCI Banca customer base Conversion of UCI Banca “optional” cards into revolving cards Increased share of wallet of UCI Banca clients (from 18% in 2002 to 31% in 2006) for personal loans Opening of 9 shops in selected high potential cities in January 2004 Other 15-20 openings starting from 2005 Revolving credit cards/Total outstanding credit cards around 50%, vs 7% as total market average 21,735 outstanding finalised loans as at 30.6.2003 vs 12,250 as at 31.12.2003 ~2.7 mln transactions with credit cards in 1H03 vs 1 mln in the whole 2002, accounting for more than Euro 134 mln vs Euro 88 mln in the whole 2002 (+53%) 23 strong partnerships as at 30.6.2003 Significant investments (~2 mln) to strengthen credit scoring systems in 1H03 ~Euro 1,200 average outstanding loans per customer 1 as at 30.06.2003 1 Calculated on active customers as at 30.6.2003

13. 13 SPECIALISED HIGH QUALITY APPROACH TO SMALL BUSINESS IN ORDER TO INCREASE CUSTOMER PENETRATION AND EXPAND THE CLIENT BASE Small Business lending: UCI Banca Market share evolution 1 2002 2006 < 7% > 8% + 20% THANKS TO: Small Business lending: UCI Banca Key figures ~13 bn loans as at 30.6.2003 (+1.0% on year-end 2002) ~550,000 clients Launch new segment-focused Imprendo packages Strengthening of specialised branches Leverage state of the art credit skills to: grow penetration on existing customers through specific and targeted credit campaigns (i.e.: Utilizza di Più) expand the client base – Target: +230,000 customers by year end 2006 ~ 103,000 customers involved (minimum Credit line 5,000 Euro) Good credit quality (top three – out of five – performing loan classes) Results Outstanding at 31.01.03 Outstanding at 31.05.03 Target Campaign Call centre & account rep contact Packaged pricing offer linked to new credit product Four months time frame starting 01.02.03 1,2 bn 1,4 bn +15% Leveraging on specialisation to grow penetration: An EXAMPLE – 1 st “Utilizza di Più” Campaign 2 1 Calculated on loans to sole proprietorships with up to 5 employees (=“Famiglie produttrici”), as a good proxy of the whole SB segment 2 A second campaign on other 62,000 clients, started at 28.8.2003 to last until year end, has shown in the first month a 9.6% increase of the outstanding loans (from 821 mln to 900 mln)

14. 14 AGENDA Group Highlights Divisional overview Private & Asset Management Division New Europe Division Corporate Division Retail Division

15. 15 Strong cooperation between UBI and UBM in order to offer high value added product and services Low risk profile, full implementation of Basel II guidelines Increase the share of wallet of selected existing customers and acquisition of new customers in selected areas through the development of a full range of high-value added products in order to become the main financial partner for integrated lending and services GROWTH IN SME’S MARKET THROUGH SPECIALISED APPROACH AND BETTER PENETRATION OF EXISTING CUSTOMER BASE

16. 16 The total amount of loans of UBI customers, either with UBI or with other banks, represents 76% of total loans In historical areas 3 the lending coverage increases to around 90% Room for further growth in coverage remains in some rich areas, such as Lombardy, and in some provinces in the North East UBI Core Clients Total Market Client coverage Lending coverage 1 Lombardy Southern Italy 10,248 5,702 …except in Lombardy… …except in the South 2 34,68829.5% Total 56,067117,32147.8%76.2% 66.8% 15,82136.0%57.5% 1 Lending coverage refers to the amount of total outstanding loans of UBI customers (both towards UBI and other banks) relative to the total stock of outstanding loans on the corporate market. Source: UBI calculations on internal data and Credit Bureau data High degree of client coverage UBI’S CORE CUSTOMER BASE REPRESENTS OVER 76% OF THE BANKING SYSTEM’S TOTAL OUTSTANDING LOANS WITH ROOM FOR FURTHER GROWHT IN LENDING COVERAGE … Ch. in Lending coverage 1 (Jun03/ Dec02, bp) +60 +40 -190 2 Abruzzo, Basilicata, Calabria, Campania, Molise, Apulia, Sicily, Umbria 3 Emilia-Romagna, Friuli-Venezia Giulia, Piedmont, Trentino-Alto Adige, Aosta Valley, Veneto Jun03

17. 17 The top 10% of UBI core customers generates: over 60% of total outstanding loans over 50% of UBI’s total revenues over 50% of commission margins (net of derivatives) The top 10% is fairly well distributed among large, medium and small enterprises I Decile 54.5% Total revenues (%) Outstanding loans (%) 63.9% Number of clients 5,607 II Quartile I Quartile III Quartile Total IV Quartile 76.4% 16.8% 6.2% 0.6% 100% 81.6% 12.8% 4.1% 1.6% 100% 14,017 56,067 14,017 14,016 14,017 Source: UBI calculations on internal data Revenues concentration … AND IN REVENUE STREAM GENERATED BY THE NON “TOP 10%” UBI’S CORE CUSTOMERS 1H03

18. 18 FIRST HINTS OF IMPROVEMENT IN LENDING MARKET SHARE IN 1H03 Source: Credit Bureau 1 With turnover > 50 mln (Euro mln) Largest 42 groups SMEs Public sector and others 2 Total Mar03 6,077 6,477 20,802 4,130 37,486 Dic02 4,990 21,489 5,174 39,103 7,450 Jun03 6,545 7,532 22,203 4,754 41,034 UBI % ch. Jun03/Mar03 +7.7 +16.3 +6.7 +15.1 +9.5 Other corporates 1 LOANS Loans to SMEs growing slightly faster than the system: system’s data show an increase of 1% (Jun03/Mar03) against +6.7% of UBI loans to SMEs Largest 42 groups: increase mainly due to the “Autostrade”and Fidis deals Share of wallet: 10.6% in 1H03 (from 10.2% in Dec02) in line with our 3 years plan target of 13% and long term target of 15% 2 Mainly financial companies and public entities as defined by Bank of Italy System % ch. Jun03/Mar03 +4.3 +2.7 +1.0 +3.8 +2.6

19. 19 887 Relationship managers Corporate derivatives total revenues (Euro mln) UBI UBM % ch. on 1H02 1H03 189 281 +28.8 GROUP TOTAL 474 +29.3 +27.7 Corporate finance 14 Derivatives 64 Foreign services 22 Product specialists KEY FACTORS FOR A SUSTAINABLE REVENUE STREAM: Market leadership with a substantial market share Entry barrier: internal flexible risk management tool able to cater future customer needs Mastery in risk management recognised by S&P assigning to UBM the same long term credit rating of the group (AA-) Margin per unit notional not expected to be under further pressure; product innovation will boost margins again Strict quality control in sales to favour recurrent custom Target customers in 3 years plan represents approx. 55% of group’s potential customers base (20,000 vs. 36,000) ORGANISATIONAL MODEL AND PRODUCT INNOVATION AS KEY SUCCESSFUL FACTORS FOR CORPORATE DERIVATIVES BUSINESS GROWTH, THAT CAN BE EXPLOITED IN THE OTHER BUSINESS LINES Efficient integration between product specialists and relationship managers

20. 20 AGENDA Group Highlights Divisional overview Private & Asset Management Division New Europe Division Corporate Division Retail Division

21. 21 GROWTH THANKS TO FIRST-CLASS PRODUCTS AND SERVICES, LEVERAGING ON STRONG INTEGRATION BETWEEN PRODUCTION AND DISTRIBUTION Growth from existing customers Growth from new customers THANKS TO: Portfolio optimisation and increased share of wallet with existing customers Acquisition of new customers leveraging on a widespread presence in attractive areas and on distinctive competitive advantages Independence of advice Quality of service Easiness and proximity to the client Wide offer with High-Alfa products Strong distribution capabilities in US and in the “International” business units Support fron/to UCI’s networks in Italy and new partnerships with third parties World-class performance thanks to active management

22. 22 WIDESPREAD NETWORK, CONCENTRATED IN THE MOST ATTRACTIVE ITALIAN “PROVINCES”, AND DISTINCTIVE COMPETITIVE ADVANTAGES AS KEY GROWTH DRIVERS Distribution of the first 36 Italian “provinces” by potential for private banking and presence of specialised competitors UniCredit PB is present in 59 (out of 103) “provinces”, representing 88% Total Private Banking Financial Assets in Italy UCI PB COMPETITIVE ADVANTAGES Focused strategy Wide-spread presence all- across the country Deeper knowledge/ understanding of the clients Wider offer of products/ services Higher service quality Superior skills Synergies with other Group companies Dedicated business model VS Foreign players: VS National domestic players: VS Local domestic players:

23. 23 1H03 RESULTS FULLY CONSISTENT WITH THE PLAN TARGETS; ING PROVIDING ADDITIONAL SALES CAPACITY AND PERFECTLY FITTING WITH THE COMPANY STRATEGY (1) Pro-forma including data of “former Xelion”, UniCredit Banca and OnBanca (2) Among top-players for Total AUMs as at 30.6.2003; 5 th taking into account all the Italian players (3) AM Products: Mutual Funds + Sicav + Segregated Accounts + Insurance products Total Fin. Assets 31.12.2002 Pro-forma 1 30.6.2003 4,883 5,988 +23% ~9,600 30.6.2003 Pro-forma with ING ING (Euro mln) Total Financial Assets 23% up vs 31.12.2002 Weight of AM products 3 from 70.5% as at end of March to 71.1% as at end of June (+68 bp) ING ADDS: ~Euro 3.6 bn Financial Assets (of which more than 90% in AM products 3 ), making Xelion the 5 th asset gatherer in Italy by Fin. Assets PFAs 31.12.2002 Pro-forma 1 30.6.2003 1,833 1,610 -223 ~2,360 30.6.2003 Pro-forma with ING ING Streamlining of the Network: 750 PFAs, reinforcing Xelion’s 5 th position among Italian PFAs networks ING ADDS: Exit of “marginal” PFAs (Euro 1.36 mln Average Tot. Financial Assets of lost PFAs) Recruitment of 125 new PFAs, generating on average Euro 2.9 mln net sales in 1H03 Net Sales 1H02 Pro-forma 1 1H03 570 1,008 +77% 1H03 Pro-forma with ING ING ~1,300 (Euro mln) Net sales 77% up YoY, ranking Xelion 1 st in Italy for Total Net Sales in 1H03 (around 15% market share) and 2 nd for Net sales per PFA 2 Improving QoQ trend (Euro 521 mln in 2Q vs Euro 487 mln in 1Q), with increasing weight of AM products 3 (83.2% in 2Q vs 67.8% in 1Q) ING ADDS: Important additional sales capacity (~Euro 300 mln in 1H03) Fin. Assets per PFA (Euro mln) 2.7 3.7 ~4.1

24. 24 STRONG NET SALES, TOP-CLASS PERFORMANCES AND FOCUS ON HIGH VALUE ALTERNATIVE INVESTMENTS: THREE MILESTONES TO MEET THE PLAN TARGETS 1 I ncluding Momentum 2 Data already included in the other business areas 3 Oak Ridge Large Cap Equity Fund (5 stars from Morningstar) and Oak Ridge Small Cap Equity Fund (4 stars from Morningstar) (Euro mln) Alternative Investments 2 470 2003 Net Sales (Jan-Aug) 2,064 Total AuMs as of 31.08.2003 Italy 2,32785,351+5.7 TOTAL PIONEER 6,767114,870 +10.8 +36.1 International (ex-Italy) 1 9965,064+35.4 % Ch. of AuMs on 31.12.2002 9062,413+58.4 New Europe US US in USD 2,538 2,819 22,042 24.085 +24.8 +30.0 Standard and Poor's Fund Rankings 2002 – Funds sold in Europe (Number of funds of different categories with top 10 rankings by Asset Manager) 0 1 2 3 4 5 6 7 8 9 10 JP Morgan PIONEER UBS Fidelity Merrill Lynch Dexia Pictet Vontobel Templeton AXA Credit Suisse Credit Agricole BNP Paribas Russell ING Baring Excellent +36.1% growth of Hedge Funds vs Dec. 2002, with increased weight on Total AUMs (1.8% vs 1.5% as at Dec. 2002) in line with the plan growth path (3.6% as at year end 2006) Acquisition from Oak Ridge Investments of 2 growth funds totalling around USD 24 mln and with high Morningstar ratings 3, in order to complete the product range adding 2 quality growth funds to Pioneer’s strong reputation in value funds ~11% AUMs growth in the first 8 months of 2003, in line with the plan target (+12% 2003-2006 CAGR) 77 2003 Perf. effect (Jan-Aug) 2,265 4,415 327 -16 1,839 2,741

25. 25 AGENDA Group Highlights Divisional overview Private & Asset Management Division New Europe Division Corporate Division Retail Division

26. 26 GROWTH LEVERAGING ON THE OPPORTUNITY OF AN UNDERPENETRATED BANKING SYSTEM AND ON UCI’S EXPERIENCE CLEAR LEADER BANKS 1 : profitability growth and consolidation of existing position RISING LEADER BANKS 2 : quick and healthy market share growth Focus on most profitable (golden) customer base: Private, Affluent and Small Business through offer of new value added products (i.e. AUM) to existing clients and new customer acquisition Selective approach for Large Corporate (except Bulgaria); cost control and cross- selling for mass market; no significant customer base increase is expected Aggressive new customer acquisition campaigns for both Retail and Corporate through enlargement of golden customer base with final goal of being in the “top 5” of the market Development of a common advanced product shelf, creation of joint factories and implementation of tailored segment service models supported by homogeneous IT systems and applications Future growth driven mainly by organic growth (with some potential acquisitions) Positive gap of New Europe in terms of GDP growth, compared to EU market, both in the recent past and in the forthcoming period Different strategic focus with: 1 Pekao, Zaba and Bulbank 2 UniBanka, KFS, UCR and Zivno Improvement in risk management and efficiency

27. 27 UCI IS PRESENT IN MAJOR NE COUNTRIES WITH SIGNIFICANT SCOPE FOR GROWTH IN A STILL UNDERDEVELOPED RETAIL MARKET Weight of country’s GDP on Total NE area GDP in 2002 (%) 27.4 Turkey 10.0 Hungary 10.5 Czech Rep. 3.6 Slovakia 3.3 Slovenia 3.4 Croatia 28.3 Poland Leading position of UCI in Poland, main country in NE area for GDP GDP growth in NE +4.6% (cagr 03-06) 1 Poland, Croatia, Hungary, Estonia, Slovenia, Czech Rep. Turkey, Latvia, Bulgaria, Romania, Slovakia, Lithuania 2 2001 figures Share loans retail over total loans (Loans+Deposits)/GDPCards per ths inhabitants 2 66% 224% New Europe 1 EU 52%52% New Europe 1 29% 1,280 EU New Europe 1 349 BANKING PENETRATION in 2002 Mortgages and consumer credit expected to be the key retail products Lower weight of Asset Management, expected to partially substitute deposits 45.0 UCI’s 3 Italian Banks UCI’s NE banks 34.8 Non Interest Income/Total revenues in 1H03 (%) Life Insuran. Pension Funds Mutual Funds Retail Bank Deposits 43% 14% 29% EU 3 87% 5% 4% New Europe 4 Breakdown of retail financial assets 3 2001 data considering France, Germany, Italy, Spain and UK as proxy for EU 4 Countries with UCI’s presence 2.4 Bulgaria Romania 6.8 4.3 Baltics 5 702 NE GDP (bn) 5 Lithuania, Latvia, Estonia

28. 28 To extend financial product offer in order to guarantee portfolio diversification To introduce product innovation in order to meet customer needs in term of security and yield To complete financial products offer with a segmented insurance offer with a particular focus on Life insurance STRENGTHENED SYNERGIES WITH INVESTMENT AND INSURANCE PRODUCT PROVIDERS IN NEW EUROPE MissionActivities Pioneer market leader in Poland with around 25% market share Bulbank first bank to distribute foreign mutual funds in Bulgaria Distribution or advisory agreements in place or under discussion (UCR and KOC) with NE Banks and group local Asset Managers TLAB - UBM Launch of structured TD (capital and minimum yield guaranteed) in Pekao, Unibanka and Zaba and negotiations in progress in the other Banks (Bulbank and Koc) Innovative product launched with strong success in different forms (also linked to Pioneer funds) PIONEER BANCASSURANCE Pekao best life insurance seller in Poland thanks to the Unit linked products Pre-joint venture agreement in Poland (with Pioneer asset manager) and distribution agreements for life and non life products in place (Unibanka, Bulbank, Zaba, Koc) or under discussion in the other Banks

29. 29 44.0% SUCCESSFUL ACHIEVEMENT IN THE FIRST HALF 2003 WITH HIGH GROWTH IN AUM AND DECREASED COST OF RISK VOLUMES (at unchanged FX) Assets under Management 1 (Euro bn) 1 New Europe business area of Pioneer Dec021H03 2.0 1.5 +34.4% BP target Higher Gross Loans on Deposits ratio to 67.2% in 1H03 (from 58.4% in 2002) well on track to achieve 2006 target (72.7%) 3 KFS 100% 2 Excluding the impact of 2002 extraordinary provisions 188 2 158 DECREASING COST OF RISK: Net Provisions/Net Loans (bp) Employees 3 28,188 31,006 30,128 119 20021H03 2006 COST OF RISK AND EFFICIENCY 20021H03 2006 14.8% Gross Loans (Euro bn) Dec021H03 14.1 13.8 +2.4% CAGR 02-06 8.7% Deposits (Euro bn) Dec021H03 21.0 21.1 -0.5% CAGR 02-06 2006 REVENUE TARGETS TOTAL REVENUES: +8.8% (cagr 02-06) Corporate 17.7% Retail 11.3%